At September 30, 2012 and 2011, information as to real estate loans, all of which are earning interest, is summarized as follows (dollars in thousands):

	September 30, 2012						September 30, 2011

	Real Estate Loans			Percent			Real Estate Loans			Percent
Multi-family residential	$	35,096			95	%	$	26,300			39.2	%
Retail		2,000			5	%		4,117			6.1	%
Office		—			—			24,975			37.1	%
Industrial		—			—			11,874			17.6	%
		37,096			100	%		67,266			100	%

Deferred fee income		(512	)					(576	)

Real estate loans, net	$	36,584					$	66,690

There were no non-earning loans and no allowance for possible losses at September 30, 2012 and 2011.

A summary of the changes in non-earning loans before allowance for possible losses of $3,165,000 (as of September 30, 2010) for the years ended September 30, 2011 and 2010, is as follows (dollars in thousands):

	2011			2010

Beginning principal balance	$	35,143		$	2,836
Additions		—			34,563
Total additions		—			34,563
Payoffs and paydowns		—			(2,256	)
Sale of loan		(26,655	)		—
Reclassified to real estate loan held for sale		(8,488	)		—

Total reductions		(35,143	)		(2,256	)

Ending principal balance	$	—		$	35,143

At September 30, 2012, 2011 and 2010, no earning loans were deemed impaired and accordingly no loan loss allowances have been established against our earning portfolio. During the years ended September 30, 2012, 2011 and 2010, respectively, an average of $0, $7,758,000 and $23,526,000, respectively, of real estate loans were deemed impaired, and no interest income was recognized in any period relating to these loans.

The Trust recognized cash basis interest of $0, $621,000 and $571,000 on non-earning loans in the years ended September 30, 2012, 2011 and 2010, respectively.

Loans originated by the Trust generally provide for interest rates indexed to the prime rate with a stated minimum. However in 2011, the Trust also originated loans where the interest rate is fixed for the initial term, and converts to a floating rate loan if the extension option, if any, is exercised.

At September 30, 2012, the Trust's portfolio consists primarily of senior mortgage loans, secured by residential or commercial property, 39% of which are located in New York, 37% in Georgia, 17% in Michigan, and 7% in Florida. All real estate loans in the portfolio at September 30, 2012 mature in fiscal 2013.

If a loan is not repaid at maturity, the Trust may either extend the loan or commence foreclosure proceedings. The Trust analyzes each loan separately to determine the appropriate course of action. In analyzing each situation, management examines various aspects of the loan receivable, including the value of the collateral, the financial condition of the borrower, past payment history and plans of the owner of the property. Of the $55,393,000 of real estate loans receivable scheduled to mature in fiscal 2012, $2,556,000 were extended, and $52,837,000 were paid off.

At September 30, 2012, no single borrower had loans outstanding in excess of 5% of the Trust's total assets.

At September 30, 2012, the three largest real estate loans had principal balances outstanding of approximately $13,753,000, $7,812,000 and $6,295,000. These three loans accounted for 16.1%, 7.8% and 1.3% of the total interest and fees earned on our loan portfolio in the year ended September 30, 2012.

On December 5, 2012, the Trust originated a first mortgage loan in the gross amount of $23,000,000. Gould Investors, a related party, purchased a $7,500,000 pari passu participation in this loan.