CORRESP 1 filename1.htm Document

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August 1, 2023

VIA EDGAR

Mr. Eric McPhee
Mr. Wilson Lee
United States Securities and Exchange Commission
Division of Corporation Finance
100 F Street, NE
Washington, D.C. 20549

Re:
New York Mortgage Trust, Inc.
Form 10-K for the year ended December 31, 2022
File No. 001-322116

Dear Mr. McPhee and Mr. Lee:

New York Mortgage Trust, Inc., a Maryland corporation (the “Company”), is submitting this letter in response to the comment of the staff of the Division of Corporation Finance (the “Staff”) of the Securities and Exchange Commission (the “Commission”) contained in your letter dated July 19, 2023.

For convenience of reference, the comment contained in your July 19, 2023 letter is reprinted below in italics, numbered to correspond with the paragraph number assigned in your letter, and is followed by the corresponding response of the Company.


Mr. Eric McPhee
Mr. Wilson Lee
United States Securities and Exchange Commission
August 1, 2023

Form 10-K for the year ended December 31, 2022

Consolidated Statements of Operations, page F-6

1.We note your October 13, 2022 response to comment 2 from our comment letter dated September 29, 2022, which indicates that you would present rental income and other real estate income as separate categories of revenue and present interest expense, mortgages payable on real estate, depreciation and amortization, and other real estate expenses as separate categories of costs and expenses applicable to revenues from real estate in your Consolidated Statements of Operations for the year ended December 31, 2022, but it appears that you have instead presented these revenue and expense items as components of Non-Interest (Loss) Income and General, Administrative and Operating Expenses, respectively, as proposed in your September 19, 2022 response letter. Please tell us what consideration you gave to presenting rental income and other real estate income as separate categories of revenue and presenting interest expense, mortgage payable on real estate, depreciation and amortization, and other real estate expenses as separate categories of costs and expenses applicable to revenues. Reference is made to Rules 5-03(b)(1) and 5-03(b)(2) of Regulation S-X.

RESPONSE:

The Company acknowledges and understands the requirements of Rules 5-03(b)(1) and 5-03(b)(2) of Regulation S-X to present each prescribed class of gross revenues and each prescribed class of costs and expenses applicable to revenues separately in a consolidated statement of comprehensive income.

In response to the Staff’s comment, upon further consideration, the Company will revise its disclosures in future filings beginning with the Condensed Consolidated Statements of Operations in the Company’s Quarterly Report on Form 10-Q for the three and nine months ended September 30, 2023 in the format shown on the following page. The revision will include presentation of total net loss from real estate with separate income from real estate categories for rental income and other real estate income and interest expense, mortgages payable on real estate, depreciation and amortization, and other real estate expenses as separate categories of costs and expenses applicable to income from real estate.




Mr. Eric McPhee
Mr. Wilson Lee
United States Securities and Exchange Commission
August 1, 2023

NEW YORK MORTGAGE TRUST, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share data)
For the Years Ended December 31,
202220212020
NET INTEREST INCOME:
Interest income$258,388 $206,866 $350,161 
Interest expense129,419 79,284 223,068 
Total net interest income128,969 127,582 127,093 
NET LOSS FROM REAL ESTATE:
Rental income126,293 14,303 408 
Other real estate income15,363 927 11 
Total income from real estate141,656 15,230 419 
Interest expense, mortgages payable on real estate56,011 3,964 — 
Depreciation and amortization126,824 19,250 386 
Other real estate expenses72,400 9,599 377 
Total expenses related to real estate255,235 32,813 763 
Total net loss from real estate(113,579)(17,583)(344)
NON-INTEREST (LOSS) INCOME:
Realized gains (losses), net27,549 21,451 (148,058)
Realized loss on de-consolidation of Consolidated K-Series— — (54,118)
Unrealized (losses) gains, net(321,081)95,649 (160,161)
Income from equity investments15,074 33,896 26,670 
Impairment of goodwill— — (25,222)
Other income16,289 5,515 678 
Total non-interest (loss) income(262,169)156,511 (360,211)
GENERAL, ADMINISTRATIVE AND OPERATING EXPENSES:
General and administrative expenses52,440 48,908 42,228 
Portfolio operating expenses40,888 26,668 11,572 
Total general, administrative and operating expenses93,328 75,576 53,800 
(LOSS) INCOME FROM OPERATIONS BEFORE INCOME TAXES(340,107)190,934 (287,262)
Income tax expense542 2,458 981 
NET (LOSS) INCOME(340,649)188,476 (288,243)
Net loss (income) attributable to non-controlling interests42,044 4,724 (267)
NET (LOSS) INCOME ATTRIBUTABLE TO COMPANY(298,605)193,200 (288,510)
Preferred stock dividends(41,972)(42,859)(41,186)
Preferred stock redemption charge— (6,165)— 
NET (LOSS) INCOME ATTRIBUTABLE TO COMPANY'S COMMON STOCKHOLDERS$(340,577)$144,176 $(329,696)
Basic (loss) earnings per common share$(0.90)$0.38 $(0.89)
Diluted (loss) earnings per common share$(0.90)$0.38 $(0.89)
Weighted average shares outstanding-basic377,287 379,232 371,004 
Weighted average shares outstanding-diluted377,287 380,968 371,004 



Mr. Eric McPhee
Mr. Wilson Lee
United States Securities and Exchange Commission
August 1, 2023


If you have any questions or comments regarding the foregoing, or have additional questions or comments, please contact the undersigned at (212) 792-0107.

Sincerely,
By:/s/ Kristine R. Nario-Eng
Kristine R. Nario-Eng
Chief Financial Officer

cc:
Jason T. Serrano, Chief Executive Officer
Christopher C. Green, Vinson & Elkins L.L.P.