Company: ABR-PF
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001253986-25-000014
Chunk: 59

Company: ARBOR REALTY TRUST INC
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 1
Chunk 59
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143)— — — — — (19,143)Ending balance$152,320 $78,190 $7,312 $3,293 $1,700 $463 $243,278 Six Months Ended June 30, 2024Allowance for credit losses:Beginning balance$110,847 $78,058 $1,624 $3,293 $1,700 $142 $195,664 Provision for credit losses (net of recoveries)42,501 392 2,289 — — 65 45,247 Charge-offs(1,988)— — — — — (1,988)Ending balance$151,360 $78,450 $3,913 $3,293 $1,700 $207 $238,923 ________________________(1)Represents the allowance for credit losses on 2 multifamily bridge loans that were charged-off in connection with the foreclosure of the underlying collateral as real estate owned ("REO") assets at fair value.(2)Represents the allowance for credit losses on 3 multifamily bridge loans and a multifamily mezzanine loan that were charged-off in connection with the foreclosure of the underlying collateral as REO assets at fair value.  The additional provision for credit losses during the three and six months ended June 30, 2025 was primarily attributable to specifically impaired multifamily loans, and to a lesser extent a weakening in the macroeconomic outlook of the commercial real estate market. Our estimate of allowance for credit losses on our structured portfolio, including related unfunded loan commitments, was based on a reasonable and supportable forecast period that reflects recent observable data, including price indices for commercial real estate, unemployment rates, and interest rates.The expected credit losses over the contractual period of our loans also include the obligation to extend credit through our unfunded loan commitments. Estimates of current expected credit losses (“CECL”) for unfunded loan commitments are adjusted quarterly and correspond with the associated outstanding loans. At June 30, 2025 and December 31, 2024, we had outstanding unfunded commitments of $2.22 billion and $2.20 billion, respectively, that we are obligated to fund as borrowers meet certain requirements. The outstanding unfunded commitments are predominantly related to our SFR build-to-rent ("BTR") business.

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