Company: ABR-PF
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001253986-25-000022
Chunk: 82

Company: ARBOR REALTY TRUST INC
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 1
Chunk 82
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FR plus 2.00%, one loan bears interest at a rate of 7.32%, subject to a floor of SOFR plus 3.00%, and one loan bears interest at a rate of 5.00% subject to a floor of SOFR plus 0.50% in the first year, 5.60% subject to a floor of SOFR + 1.10% in the second year and 6.00% subject to a floor of SOFR plus 1.50% in the third year. Three of the new financings provided were deemed to be a significant financing component of the transactions and, as a result, for the three and nine months ended September 30, 2025, we recorded a loss and corresponding liability of $0.4 million and $3.2 million, respectively, as an adjustment to the purchase price, which will be 

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Table of ContentsARBOR REALTY TRUST, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

accreted into interest income over the life of the loans. The net losses of these transactions were recorded through (loss) gain on real estate on the consolidated statements of income.See Note 3 for details of properties foreclosed and sold within the same reporting period. At September 30, 2025 and December 31, 2024, we had mortgage notes payable totaling $190.7 million and $74.9 million, respectively, which are collateralized by our REO assets. Interest rates on the mortgage notes range from PRIME plus 1.35% to SOFR plus 3.25%, with maturities spanning from December 2025 to June 2027.At September 30, 2025 and December 31, 2024, our multifamily REO properties had a weighted average occupancy rate of approximately 37% and 77%, respectively. At both September 30, 2025 and December 31, 2024, both our office buildings were vacant.We recorded depreciation expense related to the REO assets of $4.3 million and  $11.8 million for the three and nine months ended September 30, 2025, respectively, and $0.8 million and $2.1 million for the three and nine months ended September 30, 2024, respectively.Subsequent Event. In October 2025, we foreclosed on five loans with a total