Company: ADAMM
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001273685-25-000028
Chunk: 246

Company: ADAMAS TRUST, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 7
Chunk 246
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,426)(88,235)12,809 Total expenses related to real estate(175,480)(203,076)27,596 Net loss from real estate$(42,841)$(31,302)$(11,539) 

The increase in net loss from real estate in 2024 was primarily attributable to a reduction in rental income as a result of the sale or de-consolidation, since December 31, 2023, of certain multi-family real estate assets owned by entities in which we had joint venture equity investments. 

Expenses related to real estate decreased due to a decrease in interest expense on mortgages payable and a decrease in operating expenses due to the aforementioned sales or de-consolidation of multi-family real estate assets. This decrease was partially offset by an increase in depreciation expense and amortization of lease intangibles as a result of the return of certain multi-family real estate assets owned by entities in which we have joint venture equity investments to held and used since December 2023.

Other Loss

Realized Losses, Net

The following table presents the components of realized losses, net recognized for the years ended December 31, 2024 and 2023, respectively (dollar amounts in thousands):

For the Years Ended December 31,20242023$ ChangeResidential loans and real estate owned$(28,133)$(12,738)$(15,395)Investment securities(1,218)(14,321)13,103 Total realized losses, net$(29,351)$(27,059)$(2,292)

Net realized losses related to our residential loan portfolio increased in 2024, primarily as a result of increased losses incurred on foreclosed properties and recognized on the sale of residential loans and a decrease in net realized gain from payoffs of residential loans. We also recognized net realized losses of $1.2 million on write-downs of non-Agency RMBS in 2024.

In 2023, we recognized net realized losses of $14.3 million related to investment securities primarily attributable to the sale of ABS, CMBS and non-Agency RMBS.

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Unrealized (Losses) Gains, Net

The following table presents the components of unrealized (losses) gains, net recognized for the years ended December 31, 2024 and 2023, respectively (dollar amounts in thousands):

For the Years Ended December 31,20242023$ ChangeResidential loans$1,285