Chicago Atlantic Real Estate Finance Announces First Quarter 2023 Financial Results

About this update from Chicago Atlantic Real Estate Finance, Inc.

[{"type":"text","content":"CHICAGO, May 09, 2023 (GLOBE NEWSWIRE) -- Chicago Atlantic Real Estate Finance, Inc. (NASDAQ: REFI) (“Chicago Atlantic” or the “Company”), a commercial real estate finance company, today announced its results for the first quarter ended March 31, 2023. John Mazarakis, Executive Chairman of Chicago Atlantic, noted, “The better-than-anticipated results reflect the benefit of four principal paydowns during the quarter and the timing of our redeployment of the proceeds. We are entering what we believe will be a period of favorable demand for capital from a proven lending platform such as ours. With our fortress balance sheet, we have purposefully reined in our originations to continue to focus on higher yielding investments and funding vertically integrated operators with the strongest credit profile.” Tony Cappell, Chief Executive Officer, added, “Our portfolio has continued to perform well with the percentage of floating rate loans increasing to 88%, the weighted average yield to maturity remaining above 19% and our loan to values well below the rest of the lenders in the industry. The balance sheet is under levered, and we have over $50 million of liquidity available to selectively fund the best operators in the cannabis industry.” Portfolio Performance As of March 31, 2023, total loan commitments of approximately $328.1 million ($313.9 million funded, $14.2 million in future fundings) across 24 portfolio companies.Weighted average yield to maturity was approximately 19.4% as of March 31, 2023 compared with approximately 19.7% as of December 31, 2022.Real estate collateral coverage was 1.6x compared with 1.7x as of December 31, 2022.Loan to enterprise value (calculated as outstanding principal balance divided by total value of collateral) was approximately 41.0% and 44.1% as of March 31, 2023 and December 31, 2022, respectivelyThe percentage of loans which bear a variable interest rate increased to 88.0% as of March 31, 2023 compared with 83.1% as of December 31, 2022. Investment Activity During the first quarter, Chicago Atlantic had total gross originations of $34.1 million, of which $33.3 million and $0.8 million were funded to new borrowers and an existing borrower, respectively. New originations were offset by principal repayments of $59.2 million, of which $57.8 million was attributable to unscheduled early repayments and s...

More updates from Chicago Atlantic Real Estate Finance, Inc.