Commercial Mortgage REIT Dividends and Delinquencies Compared

How to read the table: each company defines its own terms

Every figure below is the company's own, from its own 10-Q, and the columns are not the same measure at every company. Four differences matter more than any others:

• Distributable earnings are not one number. The nine companies each define it differently. KREF's is after realized losses (a loss of $(0.58)), and it also reports $0.10 before them. Claros reports $(0.63) after and $(0.07) before realized gains and losses. BXMT's $0.31 includes realized gains and losses, and its $0.48 excludes them. FBRT states its figure on a “fully converted” share count. ACRE and LADR give theirs in the earnings release (Form 8-K), not in the 10-Q. We divide each company's headline figure into its dividend and label it “our arithmetic.”
• A 4 or 5 rating is each company's own scale. BXMT, KREF, CMTG, ACRE, TRTX and FBRT all use a 1-to-5 scale. FBRT's 10-Q says new loans are “assigned an initial risk rating of 2,” so its scale starts higher and its weighted average (2.4) is not comparable with BXMT's 3.0. The shares in the table use each company's own basis (net book value, principal, carrying value, amortized cost or par), which we name in each cell.
• Non-accrual starts at different points. KREF puts a loan on nonaccrual when it is 90 days or more past due, TRTX at 90 days or on a maturity default, ACRE at 30 days or more, ABR classifies a loan as non-performing at more than 60 days, and BXMT suspends accrual at 90 days or when recovery “becomes doubtful.” ACRE's 30-day trigger means its non-accrual list is, by construction, earlier than KREF's.
• STWD, LADR and ABR do not publish a rating split in the 10-Q. LADR says its “primary credit quality indicator” is the loan portfolio by collateral type. We searched the STWD 10-Q and found no risk-rating table; its loan quality appears as loans 90 days past due and nonaccrual loans.

Dividend and earnings coverage, quarter by quarter against a year earlier

Dividend is the amount declared for the quarter ended June 30. “Covered” divides the company's own headline earnings figure by that dividend (our arithmetic); the figure in brackets is the company's alternative that excludes realized losses or charge-offs, where it gives one.

Three readings stand out. First, “unchanged dividend” does not mean “covered”: BXMT paid $0.47 against $0.31 on its headline measure this year and $0.19 last year, and the payout sits closer to its figure before realized gains and losses ($0.48 and $0.45). Second, the three cutters were at 96% (KREF, before realized losses; negative after them), 76% (FBRT) and 83% (ABR) a year earlier by the same arithmetic, so the prior-year ratio alone did not mark them out. Third, ACRE's $0.15 is paid out of earnings that were a loss of $(0.51) a year ago and $0.12 now; its CFO says in the release that the company will “rebuild earnings to levels that are expected to meet or exceed the current dividend level.”

The loan books and what each company rates 4 or 5

Loan amounts are each company's own basis, named in the cell. “Rated 4 or 5” is rating 4 plus rating 5 on that basis divided by total loans (our arithmetic from each company's rating table).

The mix shows two different stories. BXMT and CMTG shrank their books (BXMT's principal fell $2.47 billion in a year, our arithmetic) and cut the share rated 4 or 5 at BXMT; ACRE's book grew by $0.48 billion while its share fell; KREF and FBRT have more loans at the bottom of their scales than a year ago. Claros has had roughly half its book rated 4 or 5 in both quarters; the change is that the whole book is 36% smaller.

Non-accrual and non-performing loans, reserves and real estate owned

The three loan-quality columns use each company's own definition and are therefore not additive across rows. “CECL allowance” is the allowance for credit losses on loans, except for ACRE and TRTX where we show the company's total including unfunded commitments. The percentage after each allowance is allowance divided by loans before allowance (our arithmetic). “REO” is real estate owned as the company labels it.

Two features of this table are rarely visible in a quote screen. The first is the gap between a loan being late and a loan being on a non-accrual list: BXMT says one rated-4 loan of $148.8 million was “in payment default” and “less than 90 days past due” and was “not impaired,” so it sits in neither a non-accrual nor a rated-5 count. ABR has $91.2 million of loans more than 60 days past due that it still classifies as performing. The second is that some companies show the stress in real estate owned rather than in non-accrual: Claros holds $722.6 million and KREF $493.0 million of REO, against $1.54 billion and an unquantified list of non-accrual loans.

ABR also reports a second delinquency series on loans it services for Fannie Mae and others rather than holds: $1.12 billion of delinquent loans at June 30, 2026, against $959.0 million at December 31, 2025. That is not a loan on its balance sheet and is not in the row above; see our Arbor Realty Trust page for the quarter-by-quarter record. STWD and LADR each have their own page with more detail on their loan books.

Book value and leverage

Leverage is the ratio each company reports, with its own definition; “n/r” means the 10-Q does not state it. For ACRE and LADR we show a simple balance-sheet ratio of our own, labelled.

CMTG and KREF are the two where book value has moved most. CMTG's fell from $12.27 to $8.58 as specific reserves rose from $193.5 million to $516.8 million; KREF's fell from $13.84 to $10.24 as its allowance rose from $171.6 million to $291.9 million and it wrote off loans. FBRT's $14.51 is the highest here and the least changed (down 1.3%), although it cut its dividend by 44%.

What changed after June 30, 2026

The latest 10-Qs are for June 30, 2026; third-quarter reports are not out as of October 14, 2026. Last year's third-quarter 10-Qs were filed between October 21 and November 10, 2025 (KREF October 21, LADR October 27, TRTX October 28, BXMT October 29, ABR October 31, CMTG and FBRT November 5, ACRE November 7, STWD November 10), so expect this year's in the same window. Between the 10-Qs and today we found two 8-Ks that change a row:

• ACRE, September 18, 2026: a wholly owned subsidiary “completed the sale of a multi-building office property located in North Carolina to an unaffiliated buyer for a cash purchase price of $64 million.” ACRE took the property by deed in lieu of foreclosure on September 19, 2024, and its 10-Q already showed it as held for sale.
• ACRE, October 5, 2026: amendments to its repurchase facilities with Citibank, Morgan Stanley and Wells Fargo “reduced the Company’s minimum tangible net worth requirement under each facility from $500 million to $400 million.” For the Wells Fargo facility the new requirement is $400 million plus 80% of the net proceeds from future equity issuances. The 8-K does not say why the lenders agreed.

For readers holding a non-traded commercial real estate credit fund

If your money is in a non-traded vehicle that lends against commercial property, such as FS Credit Real Estate Income Trust, Starwood Credit Real Estate Income Trust, Invesco Commercial Real Estate Finance Trust or Goldman Sachs Real Estate Finance Trust, this table is a listed yardstick. It does not say how your fund compares; it shows the range that publicly traded lenders report on the same lines your fund's filings use:

• Non-accrual share of loans runs from none (TRTX a year ago) and 2.3% (LADR) to 45.9% (CMTG) on UPB (our arithmetic). A fund that reports non-accrual loans as a percentage should be read against that range.
• Allowance for credit losses as a share of loans runs from 1.3% (FBRT) to 16.9% (CMTG) (our arithmetic).
• Dividend versus earnings is the one a listed company cannot hide, because the share price re-rates it every day; a non-traded fund's distribution is set against a NAV that is updated monthly. For how the two structures differ on exits, see non-traded REIT vs publicly traded REIT and the listing discount.

What a reader can do with this

This page is analysis of public documents. These are checks the filings let you run yourself:

• Compare dividend to the earnings measure the company itself uses, and look at both versions. BXMT, KREF and CMTG report one figure after realized losses and one before; the gap is the loss already booked.
• Read the non-accrual definition before the number. ACRE's 30-day trigger and KREF's 90-day trigger will make otherwise identical books look different.
• Look at REO as well as non-accrual. A lender that foreclosed ($722.6 million at CMTG) shows less non-accrual than one that has not.
• Watch the next three dates: the third-quarter 10-Qs in late October and early November, the dividend declarations that come with them, and any further covenant amendments like ACRE's.
• For how bridge lenders get their money back, see bridge loans from the borrower's side, the commercial real estate debt maturity wall and a smaller listed lender, Ready Capital.

FAQ

All figures are from SEC EDGAR filings read on October 14, 2026: Forms 10-Q for the quarter ended June 30, 2026 of Blackstone Mortgage Trust (accession 0001061630-26-000069), Starwood Property Trust (0001465128-26-000029), KKR Real Estate Finance Trust (0001628280-26-049028), Claros Mortgage Trust (0001193125-26-323733), Ares Commercial Real Estate (0001628280-26-052072), TPG RE Finance Trust (0001630472-26-000026), Ladder Capital (0001577670-26-000040), Franklin BSP Realty Trust (0001562528-26-000024) and Arbor Realty Trust (0001253986-26-000048); the matching Forms 10-Q for June 30, 2025 (0001061630-25-000101, 0001465128-25-000010, 0001631596-25-000041, 0000950170-25-104004, 0001628280-25-037529, 0001630472-25-000022, 0001577670-25-000029, 0001562528-25-000030, 0001253986-25-000014); the earnings-release 8-Ks of Ares Commercial Real Estate (0001628280-26-052071 and 0001628280-25-037527) and Ladder Capital (0001577670-26-000032 and 0001577670-25-000027); and the Ares Commercial Real Estate 8-Ks of September 22, 2026 (0001628280-26-063051) and October 9, 2026 (0001628280-26-065542). Percentages, coverage ratios, sums and the two book values and balance-sheet ratios marked as ours are our arithmetic. Each company's figures use its own definitions. This is analysis of public documents, not investment, legal or tax advice.