Company: ABR-PF
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001253986-25-000014
Chunk: 205

Company: ARBOR REALTY TRUST INC
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 8
Chunk 205
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%127.91 %N/AJanuary 2025136.19 %122.10 %123.89 %N/AOctober 2024129.98 %123.14 %124.20 %N/AJuly 2024127.64 %121.78 %123.67 %N/A________________________(1)This table represents the quarterly trend of our overcollateralization ratio, however, the CLO determination dates are monthly and we were in compliance with this test for all periods presented.

The ratio will fluctuate based on the performance of the underlying assets, transfers of assets into the CLOs prior to the expiration of their respective replenishment dates, purchase or disposal of other investments, and loan payoffs. No payment due under the junior subordinated indentures may be paid if there is a default under any senior debt and the senior lender has sent notice to the trustee. The junior subordinated indentures are also cross-defaulted with each other. 

Note 11 — Allowance for Loss-Sharing Obligations

Our allowance for loss-sharing obligations related to the Fannie Mae DUS program is as follows (in thousands):Three Months Ended June 30,Six Months Ended June 30,2025202420252024Beginning balance$85,515 $72,790 $83,150 $71,634 Provisions for loss sharing 6,471 4,714 8,649 5,773 Provisions reversal for loan repayments(2,256)(381)(2,647)(394)Recoveries (charge-offs), net27 (562)605 (452)Ending balance$89,757 $76,561 $89,757 $76,561 When a loan is sold under the Fannie Mae DUS program, we undertake an obligation to partially guarantee the performance of the loan. A liability is recognized for the fair value of the guarantee obligation undertaken for the non-contingent aspect of the guarantee and is removed only upon either the expiration or settlement of the guarantee. At June 30, 2025 and December 31, 2024, we had $35.0 million and $34.8 million, respectively, of guarantee obligations included in the allowance for loss-sharing obligations.In addition to and separately from the fair value of the guarantee, we estimate our allowance for loss-sharing under CECL over the contractual period in which we are exposed to credit risk. The general