ACRES Commercial Realty Corp. Q4 FY2025 earnings call

Mark Vogel highlighted loan operations, real estate investments, and investment portfolio health. Fourth quarter 2025 closed new commitments of $571M, net increase to loan portfolio $443.8M. Closed Acres 2026 FL4, $1 billion deal. Portfolio generally performing well, weighted average risk rating decreased. Exceptional asset management resolved 21 loans, only 2 remaining unresolved. Sold REO asset in Austin, charged off legacy mezzanine loan

Fourth quarter 2025, closed new commitments of $571 million, offset by loan payoffs and net unfunded commitments totaling $127.2 million, producing a net increase to the loan portfolio of $443.8 million. Weighted average spread on newly originated loans is 2.83%. Ended the quarter with $1.8 billion of commercial real estate loans. Weighted average risk rating was 2.7, number of loans rated four or five was 10, down from 13, portion rated four or five based on economic interest was 17% at Dec 31st, down from 32% at Sep 30th

Expect net growth in portfolio of $500 million to $700 million in 2026. Projecting about $500 million of repayments in 2026, mostly older vintage assets. Intend to be above 2.83% spread in other asset classes

Certain statements are forward-looking, subject to trends, risks, and uncertainties in SEC filings, risk factor section of Form 10K

Q: Could you touch a little bit more on the loans that you guys completed this quarter...

A: This is Mark. The color on that portfolio is it was mostly multifamily type execution...

Q: For year-to-date originations, has there been any change in spreads...

A: In 2026, originations to date have mostly been multifamily...

Q: Question on repayments in 26...

A: We expect that repayments in 26 will be healthy. We're projecting about $500 million of repayments in 26, mostly older vintage assets.