Segment Reporting

3 Months Ended

Mar. 31, 2013

Segment Reporting

Segment Reporting

12. Segment Reporting

        The Company conducts its business through the following segments:

• •

  The CRE debt business is focused on originating, acquiring and asset managing CRE debt investments including first mortgage loans, subordinate mortgage and mezzanine loans and participations in such loans and preferred equity interests.

  •

  The CRE equity business includes other select equity investments, including the preferred equity interest in the PE Fund JV. Although it is structured as a preferred equity investment, the Company categorizes it as an equity investment as the underlying collateral in the funds is primarily real estate.

• •

  The CRE securities business is focused on investing in and asset managing CRE securities primarily consisting of CMBS and may include unsecured REIT debt, CDO notes and other securities.

        The following tables present segment reporting for the three months ended March 31, 2013 and 2012 (dollars in thousands):

Three Months Ended March 31, 2013	Real Estate Debt		Preferred Equity			Real Estate Securities		Corporate(1)			Total
Net Interest Income
Interest income	$	11,725	$	—		$	942	$	—		$	12,667
Interest expense		2,490		—			48		—			2,538
Net interest income		9,235		—			894		—			10,129
Expenses		69		1,588			7		3,758			5,422
Income (loss) from operations		9,166		(1,588	)		887		(3,758	)		4,707
Equity in earnings (losses) of unconsolidated ventures		—		3,215			—		—			3,215
Net income (loss)	$	9,166	$	1,627		$	887	$	(3,758	)	$	7,922

Three Months Ended March 31, 2012	Real Estate Debt		Real Estate Securities		Corporate(1)			Total
Net Interest Income
Interest income	$	2,097	$	467	$	—		$	2,564
Interest expense		25		225		—			250
Net interest income		2,072		242		—			2,314
Expenses		9		—		797			806
Income (loss) from operations		2,063		242		(797	)		1,508
Unrealized gain (loss) on investments and other		—		502		—			502
Net income (loss)	$	2,063	$	744	$	(797	)	$	2,010

(1)

Includes unallocated advisory fees—related party and general and administrative expenses.

        The following table presents total assets by segment as of March 31, 2013 and December 31, 2012 (dollars in thousands):

Total Assets	Real Estate Debt		Preferred Equity		Real Estate Securities		Corporate(1)		Total
March 31, 2013	$	745,857	$	123,538	$	54,386	$	145,459	$	1,069,240
December 31, 2012	$	617,705	$	—	$	29,712	$	212,521	$	859,938

(1)

Includes cash, unallocated receivables and deferred costs and other assets, net.