Brightspire Capital Inc (BRSP) 2024 Q2 法說會逐字稿

Hello, and welcome to the BrightSpire Capital, Inc. second quarter 2024 earnings call. (Operator Instructions) As a reminder, this conference is being recorded.

您好，歡迎參加 BrightSpire Capital, Inc. 2024 年第二季財報電話會議。（操作員指示）謹此提醒，本次會議正在錄製中。

It's now my pleasure to turn the conference over to David Palame, General Counsel. Please go ahead, David.

現在我很高興將會議交給總法律顧問 David Palame。請繼續，大衛。

Good morning, and welcome to BrightSpire Capital's second quarter 2024 earnings conference call. We will refer to BrightSpire Capital as BrightSpire, BRSP or the company throughout this call. Speaking on the call today are the company's Chief Executive Officer, Mike Mazzei; President and Chief Operating Officer, Andy Witt; and Chief Financial Officer, Frank Saracino.

早安，歡迎參加 BrightSpire Capital 2024 年第二季財報電話會議。在本次電話會議中，我們將 BrightSpire Capital 稱為 BrightSpire、BRSP 或公司。今天在電話會議上發言的是該公司執行長 Mike Mazzei；總裁兼營運長安迪·威特；和首席財務官弗蘭克·薩拉西諾。

Before I hand the call over, please note this call certain information presented contains forward-looking statements. These statements, which are based on management's current expectations, are subject to risks, uncertainties and assumptions. Potential risks and uncertainties could cause the company's business and financial results to differ materially.

在我轉交電話之前，請注意本次電話會議中提供的某些資訊包含前瞻性陳述。這些陳述是基於管理階層目前的預期，受到風險、不確定性和假設的影響。潛在的風險和不確定性可能導致公司的業務和財務表現出現重大差異。

For a discussion of risks that could affect results, please see the Risk Factors section of our most recent 10-K and other risk factors and forward-looking statements in the company's current and periodic reports filed with the SEC from time-to-time. All information discussed on this call is as of today, July 31, 2024, and the company does not intend and undertakes no duty to update for future events or circumstances.

有關可能影響結果的風險的討論，請參閱我們最新的 10-K 的風險因素部分以及公司不時向 SEC 提交的當前和定期報告中的其他風險因素和前瞻性聲明。本次電話會議討論的所有資訊均截至今天（2024 年 7 月 31 日），本公司不打算也不承擔針對未來事件或情況進行更新的義務。

In addition, certain financial information presented on this call represents non-GAAP financial measures. The company's earnings release and supplemental presentation, which was released yesterday afternoon and is available on the company's website presents reconciliations to the appropriate GAAP measures and an explanation of why the company believes such non-GAAP financial measures are useful to investors.

此外，本次電話會議中提供的某些財務資訊代表非公認會計準則財務指標。該公司昨天下午發布的收益報告和補充說明可在公司網站上查閱，其中對適當的公認會計原則措施進行了調整，並解釋了為什麼公司認為此類非公認會計原則財務措施對投資者有用。

Before I turn the call over to Mike, I will provide a brief recap on our second quarter 2024 results. The company reported GAAP net loss attributable to common stockholders of $67.9 million or $0.53 per share, distributable earnings of $17.0 million or $0.13 per share, adjusted distributable earnings of $28.8 million or $0.22 per share and cash earnings of $26.8 million or $0.21 per share.

在將電話轉給 Mike 之前，我將簡要回顧我們 2024 年第二季的業績。該公司公佈的GAAP 普通股股東應佔淨虧損為6,790 萬美元或每股0.53 美元，可分配收益為1,700 萬美元或每股0.13 美元，調整後可分配收益為2,880 萬美元或每股0.22 美元，現金收益為2,680 萬美元或每股0.21 美元。

Current liquidity stands at $317 million, of which $152 million is unrestricted cash. The company also reported GAAP net book value of $8.41 per share and undepreciated book value of $9.08 per share as of June 30, 2024. Finally, during this call, management may refer to distributable earnings as DE.

目前流動資金為 3.17 億美元，其中 1.52 億美元為非限制性現金。該公司還報告，截至 2024 年 6 月 30 日，GAAP 帳面淨值為每股 8.41 美元，未折舊帳面值為每股 9.08 美元。最後，在這次電話會議中，管理層可能將可分配收益稱為 DE。

With that, I would now like to turn the call over to Mike.

有了這個，我現在想把電話轉給麥克。

Thank you, David. Welcome to our second quarter 2024 earnings call, and thank you for joining us this morning.

謝謝你，大衛。歡迎參加我們的 2024 年第二季財報電話會議，感謝您今天早上加入我們。

Throughout the second quarter, the BrightSpire team remained focused on asset management initiatives in order to improve certainty around the portfolio and position the firm to move forward. We like most welcome the anticipated interest rate cuts starting in September. This will provide further momentum for our watchlist and REO resolutions. To note, in aggregate, while watchlist has remained stable quarter-over-quarter, but with some underlying movement that we will discuss.

在整個第二季度，BrightSpire 團隊仍然專注於資產管理計劃，以提高投資組合的確定性並幫助公司向前發展。我們最歡迎預期從 9 月開始的降息。這將為我們的觀察名單和 REO 決議提供進一步的動力。需要注意的是，總的來說，雖然觀察名單季度環比保持穩定，但我們將討論一些潛在的變化。

Now, I would like to provide insights as to our results. This quarter, we are taking impairments on certain legacy office equity investments. These investments were made roughly nine years ago by a predecessor companies prior to the formation of BrightSpire. These have been highlighted in past filings I mentioned in my prepared remarks last quarter.

現在，我想就我們的結果提供一些見解。本季度，我們將對某些遺留辦公室股權投資進行減損。這些投資是大約九年前由 BrightSpire 成立之前的前身公司進行的。我在上個季度準備的發言中提到的過去的文件中已經強調了這些內容。

And taking the impairments, we will write down these investments to zero. This write-off makes up approximately 80% of our book value adjustment during the second quarter. The remainder of the book value adjustment is attributable to the increase in our CECL reserve, which now stands at $1.32 per share.

考慮到減值，我們將把這些投資減記為零。此次沖銷約佔第二季帳面價值調整的 80%。帳面價值調整的剩餘部分歸因於我們的 CECL 儲備金的增加，目前該儲備金為每股 1.32 美元。

The most significant impairment of these equity investments is the Norway investment. As of this month, we are no longer receiving cash flow income from this asset. As a reminder, last quarter, we also stated that we anticipated losing cash flow income on the two other office equity investments in the coming quarters.

這些股權投資減損最嚴重的是挪威投資。截至本月，我們不再從該資產獲得現金流收入。提醒一下，上個季度，我們也表示，我們預計未來幾季將損失另外兩項辦公室股權投資的現金流收入。

Importantly, we have also recently commenced loan originations and will redeploy capital, which will, in part, offset the lost cash flow earnings associated with the legacy equity positions. While the loss of these cash flows occur over six months, our capital deployment is anticipated to have an impact over a lengthier time period.

重要的是，我們最近也開始發放貸款，並將重新部署資本，這將在一定程度上抵消與遺留股權頭寸相關的現金流量收益損失。雖然這些現金流的損失發生在六個月內，但我們的資本部署預計將在更長的時間內產生影響。

I highlighted this dynamic last quarter. This timing mismatch became a significant factor in the decision to reduce our quarterly dividend from $0.20 to $0.16 per share beginning in the third quarter of this year. A reduction in our dividend will preserve shareholder equity in the near term. This will also allow the company to be more deliberate in pursuing value-enhancing strategies within the existing portfolio as we work through watchlist and REO investments.

我在上個季度強調了這一動態。這種時間錯配成為我們決定從今年第三季開始將季度股利從每股 0.20 美元減少到 0.16 美元的一個重要因素。減少股利將在短期內保留股東權益。當我們透過觀察名單和 REO 投資進行工作時，這也將使公司能夠更審慎地在現有投資組合中追求價值提升策略。

More specifically, as it relates to our Norway investment, although the debt comes due in June of 2025, a cash flow sweep went into effect this month. As a reminder, this is a net lease property and the global headquarters of Equinor, the state oil company of Norway. Equinor has been evaluating their future office requirements. The options include remaining at our property, leasing and alternative building or constructing a new headquarters.

更具體地說，由於與我們在挪威的投資有關，儘管債務將於 2025 年 6 月到期，但現金流清理已於本月生效。提醒一下，這是淨租賃財產，也是挪威國家石油公司 Equinor 的全球總部。Equinor 一直在評估他們未來的辦公室需求。選擇包括留在我們的財產、租賃和替代建築或建造新總部。

For us to accomplish a sale or refinancing, we would need to be able to negotiate a lease extension beyond its current 2030 exploration. If Equinor decides to remain on our property under the current terms of the lease, the five-year remaining term beyond the debt maturity is insufficient to refinance the property without a significant pay down of the debt.

為了完成出售或再融資，我們需要能夠協商將租賃期限延長到目前的 2030 年勘探之後。如果 Equinor 決定根據當前租賃條款繼續保留我們的財產，則債務到期後的五年剩餘期限不足以在不大幅償還債務的情況下為該財產進行再融資。

Also, Equinor's time line for their occupancy decision may not align with the maturity of our mortgage debt. We will continue to work alongside Equinor and in our process. We will also engage with the lender group in an effort to modify the debt to improve the outcome. But at this time, investing more capital into this asset does not appear likely.

此外，Equinor 做出入住決定的時間表可能與我們抵押貸款債務的到期日不一致。我們將繼續與 Equinor 並在我們的流程中合作。我們還將與貸方團體合作，努力修改債務以改善結果。但目前看來不太可能向該資產投入更多資金。

Unlike Norway, the two US office equity investments or multi-tenanted properties financed with CMBS mortgages. Although the respective underlying property cash flows provide more than adequate coverage on both interest and amortization, these investments fall short of the criteria necessary to refinance in today's market.

與挪威不同，美國的兩處辦公室股權投資或多租戶房產均採用 CMBS 抵押貸款融資。儘管各自的基礎房地產現金流量足以涵蓋利息和攤銷，但這些投資仍達不到當今市場再融資所需的標準。

A cash flow sweep on these assets is anticipated to commence at their respective loan maturities in October 2024 and January 2025. Therefore, we have proactively initiated discussions with the servicer to explore options for maturity extensions. But given the uncertainties, we took the prudent approach of incurring impairments on both of these investments.

預計這些資產的現金流量清理將於 2024 年 10 月和 2025 年 1 月各自的貸款到期時開始。因此，我們主動與服務商進行討論，探討延長期限的選擇。但考慮到不確定性，我們採取謹慎的態度對這兩項投資進行減損。

During the second quarter and subsequent to quarter end, we successfully resolved a number of watchlist loans and REO. In addition, we continue to be conservative in our approach to risk ratings and in doing so, we downgraded certain other loans. However, on a net basis, the watchlist loan count and aggregate loan balance remained constant.

在第二季和季末之後，我們成功解決了一些觀察名單貸款和 REO。此外，我們在風險評級方面繼續採取保守態度，為此我們下調了某些其他貸款的評級。然而，以淨額計算，觀察名單貸款數量和總貸款餘額保持不變。

Furthermore, 65% of the aggregate watchlist is current in interest payments. The largest portion of the nonaccrual is attributed to our San Jose hotel loan, which Andy will discuss in his remarks.

此外，總計觀察名單中的 65% 是當前的利息支付。非應計費用的最大部分歸因於我們的聖荷西酒店貸款，安迪將在他的演講中討論這一點。

At this point in time, we do not anticipate meaningful migration on to the watchlist. Alternatively, we believe that the remainder of the year will provide a window for significant resolutions and reduction to the current watchlist.

目前，我們預計不會出現有意義的遷移到觀察清單的情況。另外，我們認為今年剩餘時間將為重大決議和減少當前觀察名單提供一個窗口。

As we head into the second half of the year, we have experienced improved visibility on our liquidity needs. And as a result, we have reengaged loan origination efforts to deploy capital. While it is still early, we are encouraged to see opportunities emanating from the pullback by regional banks. We also expect future rate cuts will provide a boost to dislodge more assets for refinancing. The private credit sector should be a net winner in this pivot away from regional banks.

隨著進入下半年，我們的流動性需求可見度有所提升。因此，我們重新啟動了貸款發放工作以部署資本。雖然現在還為時過早，但我們很高興看到區域銀行撤資所帶來的機會。我們也預期未來的降息將推動更多資產進行再融資。在遠離區域銀行的過程中，私人信貸部門應該成為淨贏家。

Lastly, reselling originations underscores our continued progress in our anticipation of resolving underperforming loans and REO. Again, we believe the second half of the year will yield significant progress on this front.

最後，轉售產品凸顯了我們在解決不良貸款和 REO 問題上的持續進展。我們再次相信，今年下半年將在這方面取得重大進展。

And with that, I will now turn the call over to our President, Andy Witt.

現在，我將把電話轉給我們的總統安迪威特。

Thank you, Mike. During the quarter, we received $85 million in repayments and resolution proceeds across four investments. Deployment for the quarter totaled $18 million, consisting of $9 million of future funding obligations and a $9 million loan upsize. As highlighted last quarter, proceeds from the loan upsize were used to consolidate collateral related to a mixed-use asset in Pasadena, California.

謝謝你，麥克。本季度，我們在四項投資中收到了 8,500 萬美元的還款和處置收益。本季的部署總額為 1800 萬美元，其中包括 900 萬美元的未來融資義務和 900 萬美元的貸款增加。正如上季所強調的那樣，貸款規模擴大的收益被用於合併與加州帕薩迪納混合用途資產相關的抵押品。

The initial collateral includes a fully leased 94,000 square foot office building with developable land. The upsized loan proceeds allowed the borrower to complete the purchase of the additional land parcels previously under contract and consolidate collateral underlying a fully entitled 310 units senior living development project. The borrower is currently evaluating a refinancing and or disposition of the office property and development site.

最初的抵押品包括一棟完全出租的 94,000 平方英尺辦公大樓以及可開發土地。增加的貸款資金使借款人能夠完成購買先前合約規定的額外地塊，並鞏固完全有權的 310 套高級住宅開發項目的抵押品。借款人目前正在評估辦公物業和開發場地的再融資和/或處置。

In terms of the watchlist progress, during the second quarter, we resolved the previously downgraded Miami, Florida office loan. Additionally, we completed the sale of the property collateralizing the risk rank by Denver, Colorado multifamily loans.

就觀察名單進展而言，第二季度，我們解決了先前降級的佛羅裡達州邁阿密辦公室貸款。此外，我們也完成了以科羅拉多州丹佛市多戶家庭貸款風險等級為抵押的房產出售。

Additionally, we upgraded a Las Vegas multifamily loan as a result of sustained positive progress over the past quarters. As for REO updates, the Washington DC office property is under contract and subsequent to quarter end, we received a hard deposit and the transaction is currently scheduled to close on August 1 at our net asset value.

此外，由於過去幾季持續取得積極進展，我們升級了拉斯維加斯多戶家庭貸款。至於 REO 的最新情況，華盛頓特區的辦公物業已簽訂合同，在季度末後，我們收到了硬押金，該交易目前計劃於 8 月 1 日按我們的資產淨值結束。

As Mike mentioned, we continue to have a conservative approach to our watchlist. In doing so, we downgraded three loans during the quarter which included two mezzanine loans, one located in Milpitas, California, the other in Las Vegas, Nevada. Both loans had a pick component to the payment structure.

正如麥克所提到的，我們對觀察列表仍然採取保守的態度。為此，我們在本季下調了三筆貸款的評級，其中包括兩筆夾層貸款，一筆位於加州米爾皮塔斯，另一筆位於內華達州拉斯維加斯。這兩筆貸款的支付結構都有一個選擇部分。

The Milpitas loan was placed on nonaccrual in Q1, and the Las Vegas loan was placed on nonaccrual subsequent to quarter end. We elected to move these investments to the watchlist, given where these loans sit within their respective capital structures combined with the current uncertainty in the capital markets.

米爾皮塔斯貸款在第一季被列為非應計貸款，拉斯維加斯貸款在季度末後被列為非應計貸款。考慮到這些貸款在各自資本結構中的位置以及當前資本市場的不確定性，我們選擇將這些投資移至觀察名單。

The assets themselves are best-in-class. In the case of the Milpitas property, it is fully leased, whereas the Las Vegas property is nearing completion and starting to lease up. The third addition to the watchlist is the Dallas multifamily loan. In this case, the property has tracked behind business plan and the borrowers unable to capitalize the remainder of the business plan.

資產本身是一流的。就米爾皮塔斯的房產而言，它已完全出租，而拉斯維加斯的房產已接近完工並開始出租。觀察名單中的第三個新增項目是達拉斯多戶家庭貸款。在這種情況下，該財產已落後於商業計劃，借款人無法利用商業計劃的剩餘部分。

As a result, we are evaluating our options, which include selling the property or taking control of the asset and executing a value-enhancing business plan, utilizing our vertically integrated asset management platform. Our warehouse lenders have indicated they will cooperate with us should we elect to do the latter.

因此，我們正在評估我們的選擇，包括出售財產或控制資產並利用我們的垂直整​​合資產管理平台執行增值業務計劃。我們的倉庫貸款人已表示，如果我們選擇後者，他們將與我們合作。

Lastly, as it relates to the watchlist, our San Jose hotel loan for $136 million had a payment default in June on both our first mortgage and the mezzanine loan, which is held by a third-party. As a reminder, this loan was initially added to the watchlist in the first quarter of 2020 during COVID.

最後，與觀察名單相關的是，我們 1.36 億美元的聖荷西酒店貸款在 6 月出現了我們的第一抵押貸款和由第三方持有的夾層貸款的付款違約。提醒一下，這筆貸款最初是在 2020 年第一季新冠疫情期間添加到觀察名單中的。

The loan remained on the watchlist as a risk rank for, although the loan had been current on its interest payments. Despite a loan paydown of $57 million in November of 2023, we did not reduce the general CECL reserve attributable to loan given uncertainty.

儘管該貸款已按時支付利息，但該貸款仍作為風險評級列入觀察名單。儘管 2023 年 11 月償還了 5700 萬美元的貸款，但鑑於不確定性，我們並未減少因貸款而產生的一般 CECL 準備金。

During the second quarter, BrightSpire placed the loan on nonaccrual, downgraded the loan to a risk ranking of five from a four and has since commenced foreclosure proceedings. In coordination with our warehouse lender and in anticipation of this potential eventuality, we have secured a commitment from our existing lender to maintain funding throughout this process.

在第二季度，BrightSpire 將貸款定為非應計貸款，將貸款的風險評級從 4 級下調至 5 級，並已開始取消抵押品贖回權程序。透過與我們的倉庫貸款人協調並預見這種潛在的可能性，我們已獲得現有貸款人的承諾，將在整個過程中維持資金支持。

Given the commencement of foreclosure, which is in the public domain, we will refrain from discussing this matter further. Although it was an active quarter as it relates to the watchlist, the total number of loans did not change quarter-over-quarter at 12%. The corresponding watchlist NAV remained relatively flat quarter-over-quarter at $543 million or 20% of the portfolio, 5% of which is attributable to the San Jose hotel loan.

鑑於取消抵押品贖回權的開始，這是在公共領域，我們將避免進一步討論這個問題。儘管與觀察名單相關，這是一個活躍的季度，但貸款總數環比沒有變化，為 12%。相應的觀察名單資產淨值環比保持相對平穩，為 5.43 億美元，佔投資組合的 20%，其中 5% 來自聖荷西酒店貸款。

As it relates to the loan portfolio, as of June 30, 2024, excluding cash and net assets on the balance sheet, the loan portfolio is comprised of 83 investments, with an aggregate carrying value of $2.8 billion and the net carrying value of $877 million or 83% of the total investment portfolio.

就貸款組合而言，截至2024年6月30日，不包括資產負債表上的現金和淨資產，貸款組合由83項投資組成，總帳面價值為28億美元，帳面淨值為8.77億美元或總投資組合的83%。

Our weighted average risk ranking remained flat quarter-over-quarter at 3.2%. The average loan size is $33 million. First mortgages constitute 97% of our loan portfolio, of which 100% are floating rate. The multifamily portion of our portfolio remains our largest segment with 49 loans representing 54% of the loan portfolio or $1.5 billion of aggregate carrying value. Office comprises 30% of the loan portfolio consisting of $800 million and $21 million of aggregate carrying value across 24 loans with an average loan balance of $34 million.

我們的加權平均風險排名與上一季持平，為 3.2%。平均貸款規模為 3,300 萬美元。第一抵押貸款占我們貸款組合的 97%，其中 100% 為浮動利率。我們投資組合中的多戶住宅部分仍然是我們最大的部分，有 49 筆貸款，佔貸款組合的 54%，總帳面價值為 15 億美元。Office 佔貸款組合的 30%，其中包括 24 筆貸款的總帳面價值 8 億美元和 2,100 萬美元，平均貸款餘額為 3,400 萬美元。

The remainder of our portfolio is comprised of 8% hospitality with mixed-use and industrial collateral, making up the remainder. As of quarter end, remaining future funding obligations stand at $127 million or 4% of total outstanding commitments.

我們投資組合的其餘部分包括 8% 的酒店業以及混合用途和工業抵押品，構成其餘部分。截至季末，剩餘的未來融資義務為 1.27 億美元，佔未償承諾總額的 4%。

With that, I will turn the call over to Frank Saracino, our Chief Financial Officer, to elaborate on the second quarter results. Frank?

接下來，我將把電話轉給我們的財務長 Frank Saracino，詳細介紹第二季的業績。坦率？

Thank you, Andy, and good morning, everyone. Before discussing our second quarter results, I want to mention that our second quarter 2024 supplemental financial report is available on the Investor Relations section of our website.

謝謝你，安迪，大家早安。在討論我們第二季的業績之前，我想提一下，我們的 2024 年第二季補充財務報告可在我們網站的投資者關係部分取得。

For the second quarter, we generated adjusted DE of $28.8 million or $0.22 per share. Second quarter DE was $17 million or $0.13 per share. DE includes a specific reserve of approximately $12 million. Additionally, we reported total company GAAP net loss of $67.9 million or $0.53 per share which reflects operating real estate impairments as well as increases in our CECL reserves.

第二季度，我們調整後的 DE 為 2,880 萬美元，即每股 0.22 美元。第二季 DE 為 1,700 萬美元，即每股 0.13 美元。DE 包括約 1200 萬美元的特定儲備金。此外，我們報告的公司 GAAP 淨虧損總額為 6,790 萬美元，即每股 0.53 美元，這反映了經營性房地產減損以及我們的 CECL 儲備金的增加。

Quarter-over-quarter, total company GAAP net book value decreased to $8.41 from $9.10 per share. Undepreciated book value decreased to $9.08 from $10.57 per share. This change is mainly driven by impairments taken on our operating real estate assets and an increase in our CECL reserves, partially offset by adjusted DE in excess of dividends acquired.

與上一季相比，該公司 GAAP 帳面淨值總額從每股 9.10 美元下降至 8.41 美元。未折舊帳面價值從每股 10.57 美元降至 9.08 美元。這項變更主要是由於我們的經營性房地產資產減損和 CECL 儲備金的增加造成的，部分被調整後的 DE 超過所獲得的股利所抵銷。

Looking at reserves. During 2Q, we recorded a specific CECL reserve of $13 million related to the Miami, Florida office loan. As Andy mentioned, this one was downgraded to a four in 1Q and resolved during 2Q. As the Denver, Colorado multifamily loan was also resolved in 2Q, we charged off the specific reserves related to both loans during the quarter and as a result, ended the second quarter with no specific reserves.

看看儲備。第二季度，我們記錄了與佛羅裡達州邁阿密辦公室貸款相關的 1300 萬美元的特定 CECL 儲備金。正如安迪所提到的，這個問題在第一季被降級為四，並在第二季解決。由於科羅拉多州丹佛市的多戶家庭貸款也在第二季度得到解決，我們在本季度沖銷了與這兩項貸款相關的特定準備金，因此，第二季結束時沒有特定準備金。

Our general CECL provision stands at $172 million or 597 basis points of total loan commitments, an increase of $28 million from the prior quarter. The increase in the general CECL was primarily driven by specific inputs on certain loans. Looking at our watchlist loans, our one risk ranked five loan represents 5% of the total loan portfolio carrying value, 11 loans equating to 15% of the total loan portfolio carrying value or risk rate for.

我們的一般 CECL 撥備為 1.72 億美元，即貸款承諾總額的 597 個基點，比上一季增加了 2,800 萬美元。整體CECL的成長主要是由某些貸款的具體投資所推動的。從我們的觀察名單貸款來看，我們的一項風險排名第五的貸款佔貸款組合總帳面價值的 5%，11 項貸款相當於貸款組合總帳面價值或風險率的 15%。

This concludes our prepared remarks. And with that, let's open it up for questions. Operator?

我們準備好的演講到此結束。接下來，讓我們開始提問。操作員？

(Operator Instructions) Stephen Laws, Raymond James.

（操作員說明）Stephen Laws、Raymond James。

Hi, good morning. Appreciate the comments so far. I definitely jumping in the transcript to get some of the details, Andy. But as you think about the watchlist loans as we move through the back half of the year, which of those 12 do you think are potential second half resolutions? And which ones do you think you continue to work through as you move into '25?

嗨，早安。感謝迄今為止的評論。安迪，我肯定會跳進文字記錄來了解一些細節。但是，當您考慮今年下半年的觀察名單貸款時，您認為這 12 項貸款中哪些是下半年可能的解決方案？當你進入 25 年後，你認為你會繼續解決哪些問題？

Now let me take that first, Stephen, it's Mike. I would say that out of the 12, I would say, the majority of them are in various stages of progress. And we think, as we said in the prepared remarks, we'll make significant progress between now and the half of the year -- the end of the back half of the year. I don't want to identify specific loans on the watchlist other than the fact that the largest one, the San Jose loan, is now in default on its interest payment.

現在讓我先說，史蒂芬，我是麥克。我想說，在這 12 個專案中，大多數都處於不同的進展階段。我們認為，正如我們在準備好的發言中所說，從現在到今年下半年——下半年年底，我們將取得重大進展。我不想透露觀察名單上的具體貸款，除了最大的一筆貸款，即聖荷西貸款，現在拖欠利息這一事實。

And so we have started and it's public. We started the foreclosure process on that property. So we are moving toward a resolution. It's in the state of California. So that typically takes, call it, about 120 days, and we're into it for about approximately 30 days.

所以我們已經開始並且是公開的。我們啟動了該房產的取消抵押品贖回權程序。因此，我們正在朝著解決方案邁進。它位於加利福尼亞州。因此，這通常需要大約 120 天，而我們大約需要 30 天。

So there's -- that's another example of something that we are clearly moving in the direction of resolution on. So I'd say a substantial number of the assets on the watchlist are in various states of play and we're really looking for the second half of the year to give us significant progress.

這是我們顯然正在朝著解決方案方向前進的另一個例子。因此，我想說，觀察清單中的大量資產都處於不同的運作狀態，我們確實希望下半年能夠取得重大進展。

Great. Appreciate the comments, Mike.

偉大的。感謝您的評論，邁克。

And also on that note. Stephen, I'm sorry. Also just to reiterate the fact that 65% of the loans are current. And so we don't have a full say in that as long as the borrowers are maintaining payments, they're somewhat in the driver seat there. So 65% of that portfolio is current and the largest, as we said, nonaccrual is the San Jose loan.

也在這一點上。史蒂芬，對不起。我還要重申一個事實，就是 65% 的貸款是流動貸款。因此，我們沒有完全的發言權，只要藉款人維持還款，他們就在某種程度上處於主導地位。因此，該投資組合的 65% 是流動的，正如我們所說，最大的非應計貸款是聖荷西貸款。

Yeah. No, that's a good point. I appreciate you pointing that out up to 65%, Mike. As my follow-up question, I wanted to touch on your comment about you've got better visibility into your liquidity needs, you've reengaged discussions on new originations.

是的。不，這是一個好點。麥克，我很感謝你指出了這一點（高達 65%）。作為我的後續問題，我想談談您的評論，即您對流動性需求有了更好的了解，您重新參與了有關新起源的討論。

Can you maybe talk about your pipeline of deploying capital and then how that balances against expected repayments in the second half of the year, kind of getting to an answer of kind of net portfolio growth, net portfolio flat? Or do you think you see some shrinkage here in the back half before you get originations ramp back up?

您能否談談您的資本部署管道，以及如何與下半年的預期還款相平衡，從而得出淨投資組合成長、淨投資組合持平的答案？或者你認為在你的起始量恢復之前，你會在後半段看到一些收縮嗎？

No, we expect the portfolio to start growing. We have $152 million of cash on the balance sheet. And as we continue to execute on the plan for under levered loans, unlevered REO or loans, the watchlist that is going to generate more cash to reinvest.

不，我們預計投資組合將開始成長。我們的資產負債表上有 1.52 億美元的現金。隨著我們繼續執行低槓桿貸款、無槓桿 REO 或貸款計劃，觀察名單將產生更多現金進行再投資。

So we think that this, as I said, over the -- in the prepared remarks, over the period of the reinvestment and relevering between now and through next year. So it will be a steady flow, if you will, of deployment.

因此，正如我在準備好的演講中所說，我們認為，從現在到明年的再投資和再槓桿化期間。因此，如果您願意的話，這將是一個穩定的部署流程。

And again, $152 million is on the balance sheet now in cash, and the rest of it will come from asset resolutions, which we feel the visibility on that, along with the stability in the portfolio at this point, where we don't think anything that we can see is going to move on to the watchlist. We feel confident in redeploying. And I also think that we look to hopefully accumulate enough by midyear 2025 to execute on a 2025 CLO.

再說一次，資產負債表上現在有 1.52 億美元是現金，其餘部分將來自資產決議，我們認為這方面的可見性，以及目前投資組合的穩定性，我們認為這不會我們看到的任何內容都將進入監視清單。我們對重新部署充滿信心。我還認為，我們希望在 2025 年年中之前累積足夠的資金來執行 2025 年的 CLO。

All right. Appreciate the comments. Thanks, Mike.

好的。感謝您的評論。謝謝，麥克。

Steve Delaney, JMP Securities.

史蒂夫·德萊尼，JMP 證券。

Thanks, good morning everyone. Appreciate all the detail on the impairments. Just looking at the comments on Norway. Looking at the debt, just trying to reconcile here on Page five, the $1.32 of total impairments. And then on Page six, we get the non-GAAP impairment of $0.98. Is the $0.98 simply Norway and the difference are the other impairments and charges that you took trying to reconcile this to?

謝謝大家早安。了解有關損傷的所有細節。看看挪威的評論就知道了。看看債務，只是想在第五頁核對總減值 1.32 美元。然後在第六頁，我們得到了 0.98 美元的非 GAAP 減損。 $0.98 只是挪威嗎？

Sure, Steve. This is Frank. So $0.34 of that impairment came through as a GAAP-related impairment. And as GAAP has certain rules requiring what you can take as far as impairment and you can only impair down to GAAP value.

當然，史蒂夫。這是弗蘭克.因此，其中 0.34 美元的減損作為 GAAP 相關減損計入。由於 GAAP 有一定的規則，要求您可以採取多大的減值，並且您只能減值至 GAAP 值。

And really, the difference between the undepreciated book value and GAAP book value is the accumulated amortization and depreciation that gets added back to GAAP book value. So we're eliminating that and saying don't add that back from GAAP book value, and that equates to $0.98.

實際上，未折舊帳面價值和 GAAP 帳面價值之間的差異是累計攤銷和折舊加回 GAAP 帳面價值。因此，我們將消除這一點，並表示不要將其從 GAAP 帳面價值中添加回來，這相當於 0.98 美元。

And then switching to new lending. Obviously, you're seeing some repayments. So the portfolio is shrinking near term. Could you just comment on where you stand with evaluating new loans? Do you actually have a pipeline at this time? I know you commented on the opportunity, Mike, when you were at Nareit, but just curious how close we are to actually issuing commitment letters and funding new loans.

然後轉向新的貸款。顯然，您看到了一些還款。因此，投資組合近期正在萎縮。您能否評論一下您在評估新貸款方面的立場？現在你真的有管道嗎？麥克，當您在 Nareit 時，我知道您對這個機會發表了評論，但只是好奇我們離實際發出承諾函和為新貸款提供資金還有多遠。

Yes, we are actively looking at product today. We're meeting on investment committees and quote committees every week. Nothing has been committed to yet, but that process has been fully engaged and we're out there speaking to mortgage bankers, brokers and all of our borrowing constituents out there looking for new product.

是的，我們今天正在積極尋找產品。我們每週都會召開投資委員會和報價委員會會議。目前還沒有做出任何承諾，但這一過程已經全面啟動，我們正在與抵押貸款銀行家、經紀人和所有正在尋找新產品的借款人進行交談。

And as I said in the script that we are seeing a lot from the regional banks. We don't expect anything -- any game to break there. We don't expect massive bulk sales unless banks go under, which we don't see at this point.

正如我在劇本中所說，我們從地區銀行看到了很多。我們不期望任何事情——任何遊戲都會在那裡中斷。我們預計不會出現大規模的大量銷售，除非銀行破產（目前我們還沒有看到這種情況）。

But we are seeing the banks allowing what I would call runoff, where there is a construction loan or a mini perm, the bank is not renewing that loan without some sort of significant pay down and they're not letting borrowers off the hook for recourse on a construction loan. And so those loans are starting to come into the nonbank market.

但我們看到銀行允許我所說的徑流，如果有建築貸款或迷你燙髮，銀行不會在沒有某種重大還款的情況下續簽貸款，而且他們不會讓借款人擺脫追索權建築貸款。因此，這些貸款開始進入非銀行市場。

And I think, after we get a Fed cut and as we move into the fourth quarter, that's going to enable a lot of those borrowers to start to get refinancing away from the bank. So we're still encouraged about the flow that we're going to see from the regional banks and the community banks. But we are actively engaged, absolutely, but no commitments yet.

我認為，在聯準會降息之後，進入第四季度，這將使許多藉款人開始從銀行獲得再融資。因此，我們仍然對區域銀行和社區銀行的流量感到鼓舞。但我們絕對積極參與，但尚未做出任何承諾。

Encouraging. Okay. And while the banks don't want that paper on their books, you sense they're still more than willing to finance you on repo lines to carry the loans on balance sheet?

令人鼓舞。好的。雖然銀行不希望這些文件出現在他們的帳上，但你感覺他們仍然非常願意透過回購額度為你提供融資，以便將貸款記入資產負債表上？

Yes. These are regional and more community banks where you're seeing commercial real estate loan exposure at 300 times their Tier One, capital or in excess of that and there could be hundreds of those. The money center banks are not in that position. The money center banks are probably somewhere as a fraction of loan exposure relative to their Tier One, capital and our money center banks to finance us on warehouse are very actively engaged in that.

是的。這些是區域性和更多社區銀行，您會看到商業房地產貸款風險是其一級資本的 300 倍或更多，而且可能有數百家。貨幣中心銀行並非處於這種地位。相對於其一級資本，貨幣中心銀行可能只佔貸款風險的一小部分，而我們的貨幣中心銀行在倉庫上為我們提供融資，他們非常積極地參與其中。

It's an asset class that's publicly been their best performing asset class in commercial real estate warehouse lending in terms of risk reward. I think, they probably have suffered no or very little losses there. So we're very actively engaged with us, and we'd like to grow their exposure to us. Yes.

就風險回報而言，該資產類別已公開成為商業房地產倉庫貸款中表現最佳的資產類別。我認為，他們在那裡可能沒有遭受損失或損失很小。因此，我們非常積極地與我們互動，我們希望增加他們對我們的了解。是的。

But thanks for the clarification between the regionals and the money centers. I know asset management is hand-to-hand combat, but it's the only way to get through it, right, and get to the end and get your portfolio and your balance sheet cleaned up. So all the best in --

但感謝地區和貨幣中心之間的澄清。我知道資產管理是肉搏戰，但這是唯一的方法來完成它，對吧，並到達最後並清理你的投資組合和資產負債表。所以一切順利--

Well we've been doing this for two years now. And so I think at this point in time, we see enough stability in the portfolio. As we said, earlier. We don't see anything in the front window that is going to come on to the wash list, and we see more of the resolutions because we've been working on these assets for quite some time.

嗯，我們這樣做已經兩年了。因此，我認為目前我們的投資組合具有足夠的穩定性。正如我們之前所說的。我們在前窗中沒有看到任何將出現在清洗清單中的內容，我們看到了更多的決議，因為我們已經在這些資產上工作了相當長一段時間。

We see more resolutions toward the second half of the year. So I think we're feeling encouraged about with the cash on balance sheet that we have today and the cash that we're going to generate from these resolutions that we should go [full] on origination.

我們看到下半年會有更多決議。因此，我認為我們對今天資產負債表上的現金以及我們將從這些決議中產生的現金感到鼓舞，我們應該[全額]發起。

Thanks for the comments, Mike.

感謝您的評論，邁克。

Matt Howlett, B. Riley Securities.

馬特‧豪利特 (Matt Howlett)，B. 萊利證券 (Riley Securities)。

Mike, just on the comments with the current loan portfolio, you feel pretty good about the status going forward. And then the general CECL that you took this quarter, the reserve I mean, I don't want to hold you to it, but is this it in terms of just an increase in general CECL, meaning where the core EPS now where the dividend is going to be? I mean, book value should be basically at a bottom or near bottom?

麥克，就目前貸款組合的評論而言，您對未來的狀況感覺非常好。然後是你本季採取的一般CECL，即準備金，我不想讓你堅持下去，但這只是一般CECL的增加，這意味著核心每股收益現在是股息將會是？我的意思是，帳面價值應該基本上處於底部或接近底部？

What I would say is that we feel pretty good that it's on the high side at 6% of the loan book and roughly 15% of the book value and with the fact that we think that we're going to make a lot of progress on the second half of this year, I think we're feeling that, that is on the highlight.

我想說的是，我們感覺很好，因為貸款帳面的 6% 和帳面價值的大約 15% 處於較高水平，而且我們認為我們將在這方面取得很大進展。到了，這是一個亮點。

I also would underscore a part of that is due to the fact that we have a very low average loan balance and our loan concentrations are low, and we will not have any loans over $100 million after the resolution of the San Jose loan.

我還要強調，部分原因是我們的平均貸款餘額非常低，貸款集中度也很低，而且在聖荷西貸款解決後，我們不會有任何超過 1 億美元的貸款。

So that's giving us more confidence as we look at what we have now in our existing portfolio. And as we emphasize with the San Jose hotel loan, when that loan was reducing balance last year by 30%, we maintained the CECL amount on that loan. We did not reduce the CECL on a pro rata basis. So that's another reason why we're feeling like we're relatively conservative on our CECL reserves right now.

因此，當我們審視現有投資組合中的現有內容時，這讓我們更有信心。正如我們在聖荷西酒店貸款中所強調的那樣，去年該貸款餘額減少了 30% 時，我們維持了該貸款的 CECL 金額。我們沒有按比例減少 CECL。這就是我們現在對 CECL 儲備相對保守的另一個原因。

And then in terms of the office portfolio, we have a number of office loans on the watchlist. And we think that the office portfolio is probably going to shrink a little bit more over the course of the remaining part of the year and into next year.

然後就辦公室投資組合而言，我們在觀察名單上有許多辦公室貸款。我們認為，在今年剩餘時間和明年，辦公室投資組合可能會進一步縮減。

So that is giving us some confidence on our CECL reserves at the levels that they're at now. And I want to also mention that we don't have any life science. I know that our peer group emphasizes that they have an office category in a life science category. We do not have any life science loans and we kind of view life science as office product that has 3 times the amount of loan per square foot for refrigeration and turbo HVAC, but we don't have that exposure here.

因此，這讓我們對 CECL 儲備目前的水平有一些信心。我還想提一下，我們沒有任何生命科學。我知道我們的同行群體強調他們在生命科學類別中有一個辦公室類別。我們沒有任何生命科學貸款，我們將生命科學視為辦公產品，每平方英尺的冷凍和渦輪暖通空調貸款金額是其三倍，但我們在這裡沒有這種風險。

And so we see that loan exposure in the office sector dropping over the course of the next six months and into next year as well. So overall, I'm not going to never say never, but we are feeling that it is on the high side at 6% of the loan book.

因此，我們看到辦公部門的貸款風險在未來六個月和明年都會下降。總的來說，我不會說永遠不會，但我們感覺貸款利率的 6% 偏高。

And then when you look at sort of adjusted EPS in the dividend now at $0.16 you should be -- we'll run our models, but you should be covering. There shouldn't be any sort of degradation of not covering it on a core basis.

然後，當你查看股息中調整後的每股收益現在為 0.16 美元時，你應該——我們將運行我們的模型，但你應該覆蓋。不應該在核心基礎上覆蓋它而造成任何形式的退化。

Yeah, we feel good about maintaining the dividend here. We feel it was right-sized primarily to prevent leakage. We looked at it from a negative coverage basis on cash flow, not just DE, but on actual cash flow of the book.

是的，我們對維持這裡的股利感到滿意。我們認為它的尺寸合適主要是為了防止洩漏。我們從現金流的負面覆蓋基礎來看它，不僅僅是DE，而是帳面的實際現金流。

And we feel we'll get back into a positive comp on a cash flow basis and retained earnings as a result of executing on the build back to hopefully a $0.20 dividend in the future. So right now, we feel confident that we can maintain the dividend where it is.

我們認為，由於未來預計將實現 0.20 美元的股息，我們將在現金流和留存收益的基礎上恢復正值。因此，現在我們有信心能夠維持現有股利。

I appreciate those comments. And it's great to hear that you guys want to take it back up to $0.20 when you can do it. I figured I'd asked the question because, look, it's great to hear that you're back in the market. We all know the opportunity with non-banks from the market and you guys being internally managed, being efficient, being out there with rate sheets, it's great to hear.

我很欣賞這些評論。很高興聽到你們希望在可以的情況下將其恢復到 0.20 美元。我想我問這個問題是因為，聽著，很高興聽到你回到市場。我們都知道市場上非銀行機構的機會，你們是內部管理的，效率很高，有費率表，很高興聽到。

But I want to ask the question. We've heard a lot of your peers talk about, in the meantime, things aren't that busy. They're busy, but they're not that busy going to buy AAA CMBS where we can get 20% yields and or I'll take it to the other side. We could buy back stock here. If you think book is good at $9, you're trading at under [6], hey, why don't we buy back stock until we get things going?

但我想問一個問題。我們聽到很多同行談論，同時，事情並沒有那麼忙。他們很忙，但他們並沒有那麼忙去買 AAA CMBS，在那裡我們可以獲得 20% 的收益率，或者我會把它帶到另一邊。我們可以在這裡回購股票。如果你認為這本書的價格是 9 美元，那麼你的交易價格低於 [6]，嘿，為什麼我們不回購股票，直到事情進展順利？

Well, in terms of the buyback, we are looking at that. Having said that, we're reducing our scale. And when we look at loan origination and potentially executing a CLO and the ROE on that looks pretty compelling versus the buyback. The buyback would make sense.

嗯，就回購而言，我們正在考慮這一點。話雖如此，我們正在縮小規模。當我們考慮貸款發放以及可能執行的 CLO 和 ROE 時，與回購相比，這看起來相當引人注目。回購是有道理的。

Really, if you look at doing a secondary equity offering in the near-term horizon, I mean that makes it absolutely compelling. But just in terms of deployment of capital, rather than reduce scale, I think we feel that originating loans and executing on a CLO in 2025 will give us a better ROE.

確實，如果你考慮在短期內進行二次股權發行，我的意思是這絕對具有吸引力。但就資本配置而言，我認為我們認為在 2025 年發放貸款並執行 CLO 將為我們帶來更好的 ROE，而不是減少規模。

With regard to buying AAAs. We haven't done that in the past, others might be doing it but we don't think you can get that in enough scale. When you lever those up 75%, 80% on a securities warehouse line, you're really not deploying a lot of equity. So -- and putting out $10 million, $15 million, $20 million in AAA securities and levering them up 80%, you really don't move the needle that much.

關於購買 AAA。我們過去沒有這樣做過，其他人可能正在這樣做，但我們認為您無法達到足夠的規模。當你在證券倉庫線上槓桿化 75%、80% 時，你實際上並沒有部署大量股權。因此，發行 1000 萬美元、1500 萬美元、2000 萬美元的 AAA 證券並將其槓桿提高到 80%，實際上並沒有多大作用。

Right. That may feel to get involved with that. Okay. And then just, I guess, on that CLO, can you give us a sense of what size? I mean what would you -- what could you tell us? Are you talking about $400 million-plus deal? And what you tell us --

正確的。那可能會讓人感覺參與其中。好的。然後，我想，在那個 CLO 上，你能給我們一個大概的尺寸嗎？我的意思是你會 - 你能告訴我們什麼？您是在談論價值超過 4 億美元的交易嗎？以及您告訴我們的--

We're talking on to 2025. So I think we would look at what traditionally gets done. If you're looking at a CLO, you're probably trying to do something greater than $500 million, maybe shy of $1 billion, which is what we've done in our first 2 CLOs.

我們正在談論 2025 年。所以我認為我們應該看看傳統上會做什麼。如果你正在考慮 CLO，你可能會嘗試做一些超過 5 億美元的事情，可能低於 10 億美元，這就是我們在前 2 個 CLO 中所做的事情。

But I think that when you look at the ROE that we have typically gotten after executing a CLO, you're probably adding several hundred basis points or maybe more to your returns on your loan book. And so that's where when we look at originating loans and then executing the CLO versus a buyback of stock.

但我認為，當您查看我們在執行 CLO 後通常獲得的 ROE 時，您可能會在貸款簿上的回報上增加數百個基點或更多。這就是我們在考慮發放貸款然後執行 CLO 與股票回購時的情況。

As we move into 2025, we think that the CLO execution is something we prefer because, again, we really don't want to necessarily reduce our scale at this point. So right now, yes, we'll look at buybacks, but right now, we think just executing on the business plan gives us as attractive or better returns.

當我們進入 2025 年時，我們認為 CLO 執行是我們更喜歡的方式，因為我們確實不想在此時縮小我們的規模。所以現在，是的，我們會考慮回購，但現在，我們認為僅僅執行業務計劃就能為我們帶來有吸引力或更好的回報。

Appreciate the comments.

感謝您的評論。

Jason Weaver, Jones Trading.

賈森‧韋弗，瓊斯貿易公司。

So Mike, taking your few last answers regarding originations into account. We've heard a lot about new private capital coming into the space on the sidelines. So how are you thinking about the competitive environment going into year-end and beyond?

所以麥克，考慮一下你關於起源的最後幾個答案。我們聽說很多新的私人資本正在旁觀這個領域。那麼您如何看待年底及以後的競爭環境呢？

It's going to be competitive, flat out. I'm still trying to get my arms around what private credit means outside of leveraged finance. It must -- it absolutely means real estate. I guess, it means anything that in the wholesale lending side of a bank not consumer related that the private credit groups want to get into. But yes, we see a lot of demand for credit coming out of that sector.

這將是一場激烈的競爭，勢均力敵。我仍在努力了解私人信貸在槓桿融資之外的意義。它必須——它絕對意味著房地產。我想，這意味著私人信貸集團想要進入的銀行批發貸款方面與消費者無關的任何事情。但是，是的，我們看到該行業對信貸的大量需求。

Also, though, we've seen hundreds of banks execute on commercial real estate loans over the course of the last three, four-plus years where we didn't know who these banks were. And then I think the analogy to is like watching the C level wise, you can't tell because all of these banks are doing loans and you're not seeing these repeat banks come up.

不過，在過去三、四年多的時間裡，我們看到數百家銀行執行商業房地產貸款，但我們不知道這些銀行是誰。然後我認為類比就像觀察 C 級明智一樣，你無法分辨，因為所有這些銀行都在提供貸款，而你沒有看到這些重複銀行出現。

And [inaudible], here we are after several banks go longer, you're realizing that there are hundreds of banks out there with commercial real estate exposure that at many multiples times their Tier One capital. We didn't see that happening over the past three or four years.

[聽不清楚]，在幾家銀行延長期限之後，您會意識到有數百家銀行的商業房地產風險敞口是其一級資本的許多倍。在過去的三、四年裡我們沒有看到這種情況發生。

We may have seen 10 banks or some of the New York big banks that went under here, Signature Bank and what's happened at New York Community Bank. But outside of those banks, we really couldn't detect that volume. And so we think there's a lot that's going to come off of those regional and community banks that's enough to satisfy our peer group in 2025, '26.

我們可能已經看到了 10 家銀行或一些紐約大銀行在這裡倒閉，Signature 銀行以及紐約社區銀行所發生的事情。但在這些銀行之外，我們確實無法偵測到這個數量。因此，我們認為這些區域和社區銀行將帶來許多成果，足以讓我們的同儕群體在 2025 年（26 年）滿意。

That's helpful color. And then I know we just discussed it only recently, maybe at Nareit and you've only had them for a year, but do you have any update on the repositioning or the lease-up of that Long Island City asset?

這是有用的顏色。然後我知道我們最近才討論過這個問題，也許是在 Nareit，你只擁有它們一年，但是你有關於長島市資產重新定位或租賃的任何更新嗎？

We continue to work on that, and we are on, as we said in the past, not to hold on to REO for this protracted period of time. And so I think that based on how long we've held on to it. We feel like there's something there, that's worth holding onto for. And so we should have something to report, as we said, the back half of this year we think, will be significant. And I would put the Long Island City assets in that category.

我們將繼續為此努力，正如我們過去所說，我們不會在這段較長的時間內保留 REO。所以我認為這取決於我們堅持了多久。我們覺得那裡有一些東西值得我們堅持下去。因此，我們應該有一些東西要報告，正如我們所說，我們認為今年下半年將會很重要。我會將長島市的資產歸入該類別。

All right. Thank you very much.

好的。非常感謝。

Tom Catherwood, BTIG.

湯姆·卡瑟伍德，BT​​IG。

Good morning, everybody. Maybe starting with Andy, you've made opportunistic investments in the past. Is there a chance BrightSpire could take a more direct position in the South Pasadena office land asset as the sponsor looks to refinance that project?

大家早安。也許從安迪開始，您過去曾進行過機會主義投資。由於贊助商希望為該項目進行再融資，BrightSpire 是否有機會在南帕薩迪納辦公大樓土地資產中採取更直接的立場？

So right now, that particular asset is fully entitled. It's really an office building that's fully leased in a development site and the borrower is in the process of looking to either refinance or capitalize the development project. And we've looked at it in a number of different ways and really don't think it fits our strategy and mandate moving forward. But we agree, it's a tremendous project.

所以現在，該特定資產已完全享有權利。這實際上是一座在開發場地完全出租的辦公大樓，借款人正在尋求再融資或將開發項目資本化。我們以多種不同的方式看待它，但確實認為它不符合我們前進的策略和使命。但我們同意，這是一個巨大的項目。

Makes total sense. Then maybe, Mike, I know you said you're confident in watchlist stability. But is there a potential scenario where a pickup in transaction activity, especially if we get the rate cuts actually accelerates watchlist migration as price discovery drives certain sponsors to back away from assets sooner than would otherwise be expected.

完全有道理。那麼，麥克，我知道您說過您對監視清單的穩定性充滿信心。但是否存在一種潛在的情況，即交易活動的回升，特別是如果我們降息實際上會加速觀察名單的遷移，因為價格發現促使某些贊助商比預期更早地退出資產。

Anything could happen. But when we look at that portfolio right now, we do not see anything migrating on to the watchlist near term. And so that's why I think we're comfortable with our CECL reserve at this point. But anything can happen over the course of next year, particularly around really the office loans.

什麼事情都可能發生。但當我們現在查看該投資組合時，我們沒有看到任何東西會在短期內遷移到觀察清單中。這就是為什麼我認為我們目前對 CECL 儲備感到滿意。但明年任何事情都可能發生，尤其是在辦公室貸款方面。

But right now, as I said, we see that portfolio shrinking, and we don't see anything there that we'll migrate on to the watchlist in the next coming quarters. So I think the CECL reserve feels, as I said, on the high side, at 6% of book value. And I would say that we feel very reasonable about where we are.

但現在，正如我所說，我們看到投資組合正在萎縮，我們沒有看到任何可以在未來幾季轉移到觀察名單上的東西。因此，正如我所說，我認為 CECL 準備金感覺偏高，為帳面價值的 6%。我想說，我們對自己的處境感到非常合理。

Appreciate those thoughts. That's it for me. Thanks, everyone.

欣賞這些想法。對我來說就是這樣。謝謝大家。

Thank you. We reach the end of our question-and-answer session. I'd like to turn the floor back over to Mike for any further or closing comments.

謝謝。我們的問答環節即將結束。我想將發言權轉回給麥克，以徵求進一步的意見或結束意見。

Well, thank you all for joining us today, and thank you for your continued support. As always, we are available for one-on-ones as we press it. Otherwise, we will see you in November.

好的，感謝大家今天加入我們，也感謝大家一直以來的支持。一如既往，我們隨時可以提供一對一的服務。否則，我們將在十一月見到你。

Thank you. That does conclude today's teleconference. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today.

謝謝。今天的電話會議到此結束。此時您可以斷開線路，度過美好的一天。我們感謝您今天的參與。