Claros Mortgage Trust, Inc. · NYSE:CMTG
Claros Mortgage Trust — Q4 2024 Earnings Presentation
32 slides from Claros Mortgage Trust's earnings presentation, Feb 21, 2025
Slide 1: Investor Presentation Claros Mortgage Trust, Inc. (CMTG) February 2025
Investor Presentation Claros Mortgage Trust, Inc. (CMTG) February 2025 The properties above are not representative of all transactions.
Slide 2: Fourth Quarter 2024 Highlights
Financial GAAP net loss of $100.7 million, or $0.72 per share; distributable loss of $83.2 million, or $0.59 per share; and distributable earnings prior to realized gains and losses of $25.4 million, or $0.18 per share 3 Provision for CECL reserves of $30.0 million, or $0.21 per share, for the quart
Slide 3: Mack Real Estate Group: integrated real estate investor, operator, developer and lender
Integrated real estate investor, operator, developer and lender Mack Real Estate Group The firm’s principals have decades of global real estate investing experience Invests institutional and high net worth capital in real estate equity and debt assets
Slide 4: Mack Real Estate Group Businesses
Mack Real Estate Group Businesses Real Estate Credit (“MRECS”) Direct lending (first mortgage, mezzanine, preferred equity) and other debt investments Property Management (“MPM”) Property management of MREG and third-party owned residential and commercial assets Comprehensive Property Management Ser
Slide 5: MREG National Presence
MREG National Presence Includes employees across the firm’s credit, equity, and property management business as of the date on this presentation. Integrated platform with investment, development, property management and lending activities across the United States WA NV CA AZ CO TX IL MI TN NC FL VA
Slide 6: CMTG Overview
CMTG Overview KEY DIFFERENTIATORS “Ownership mindset” investment approach Well-capitalized, institutional borrowers Markets with local intelligence / experience / expertise Proactive asset management with a focus on staying ahead of the borrower Focus on downside protection; highly structured loans
Slide 7: Loan Portfolio Overview
Loan Portfolio Overview Key Portfolio Metrics 2,b December 31, 2024 September 30, 2024 Loan Portfolio 1 $6.1Bn $6.3Bn Total Loan Commitments 8 $6.7Bn $7.0Bn Number of Loans 52 57 Adjusted LTV 9 72.2% 71.6% Average Commitment Size $129MM $123MM Weighted Average All-In Yield 10 7.6% 8.4% Floating Rate
Slide 8: Loan Portfolio Overview (cont'd)
$ amounts in millions Region Exposure by Carrying Value and as a % of Total Carrying Value Collateral Type Number of Loans Carrying Value 1 % of Total Carrying Value West Northeast Mid Atlantic Southeast Southwest Midwest Other Multifamily 19 $2,585 43% $1,141 / 19% $390 / 7% $266 / 4% - $502 / 8% $
Slide 9: Available Liquidity at December 31, 2024 and February 17, 2025
Available Liquidity at December 31, 2024 and February 17, 2025 ($ in millions) Since 2023, we deleveraged the portfolio by $643 million, with $286 million occurring in 2024 Liquidity Overview Cash and Cash Equivalents Approved and Undrawn Credit Capacity Total Available Liquidity 5 As of December 31
Slide 10: Unfunded Loan Commitments and Source of Funds
Unfunded Loan Commitments and Source of Funds ($ in millions) Unfunded Loan Commitments a. As of December 31, 2024, we had unfunded loan commitments of $498 million and $299 million of in-place or expected financing, excluding $3 million of approved and undrawn credit capacity, resulting in net unfu
Slide 11: Financial Overview
Financial Overview a. See page 11 for book value bridge. Key Financial Metrics 4Q-2024 3Q-2024 2Q-2024 1Q-2024 FY 2024 GAAP Net Loss ($MM) Per Share $(100.7) $(0.72) $(56.2) $(0.40) $(11.6) $(0.09) $(52.8) $(0.39) $(221.3) $(1.60) Distributable Earnings (Loss) ($MM) 3 Per Share $(83.2) $(0.59) $(24.
Slide 12: Book Value per Share Roll-Forward
Book Value per Share Roll-Forward Totals may not foot due to rounding. $17.03 Adjusted BV per Share $15.17 Adjusted BV per Share Book Value per Share Book Value at 12/31/2023 Distributable Earnings (Excl. Realized Gains/Losses) Realized Gains/Losses and Non-Cash Items Cash Dividend RSUs and Other Bo
Slide 13: Loan Repayment and Sale Activity
In 2024, we received $1.3 billion of loan repayment and sale proceeds net of principal charge-offs, generating $435 million in liquidity primarily used to make deleveraging payments of $286 million Pace of realizations is increasing; year-over-year gross realizations increased from $0.8 billion to $
Slide 14: Loan Activity
During the quarter: Received loan repayments of $99 million, including the full repayment of three loans with $80 million of UPB Funded $75 million on existing loan commitments Reclassified one loan to held-for-sale and sold at par after year end; UPB of $101 million Sold an additional loan at 99% o
Slide 15: Risk Rated 5 Loan Summary
$ amounts in millions Number of Loans UPB Specific Reserve Specific Reserve % of UPB Anticipated REO Multifamily AZ / NV / TX 5 $329.9 $38.9 11.8% Office CA / GA 2 $180.0 $48.4 Land VA 1 $152.8 $32.7 24.5% Other a NY / Other 2 $2.5 $0.9 Total 10 $665.3 $120.9 18.2% Risk Rated 5 Loan Summary Totals m
Slide 16: Risk Rated Loan Summary
Risk Rated 4 Loan Summary $ amounts in millions Number of Loans UPB General Reserve General Reserve % of UPB Anticipated Near-Term Repayments Multifamily CA / NY 2 $792.3 $43.8 5.5% Multifamily AZ / CO / TX 4 $537.3 $68.0 4.9% Office CA / CT / GA / TX 4 $533.0 Hospitality CA / NY 2 $157.1 Land NY 2
Slide 17: Real Estate Owned
Real Estate Owned In Q1 2021, we acquired legal title to a portfolio of seven limited service hotels located in New York, NY Underlying asset performance continues to be strong, exceeding pre-COVID levels Classified as held-for-sale at December 31, 2024, expected to generate ~$60 million of liquidit
Slide 18: Financing Activity
$126 During the quarter, net financing outstanding decreased by $244 million In 2024, net financing outstanding decreased by $794 million Financing Activity $(244) Net Change in UPB Q4 2024 – Financing Activity ($ in millions) UPB at 9/30/2024 Advances a Repayments a UPB at 12/31/2024 Totals may not
Slide 19: Financing Mix and Leverage
Net Debt / Equity Ratio Total Leverage Ratio Financing Mix and Leverage Total financing capacity of $6.7 billion, unchanged from September 30, 2024 Undrawn capacity of $1.8 billion increased from $1.6 billion at September 30, 2024 11 $ amounts in millions Capacity UPB Weighted Average Spread 12 Repu
Slide 20: Appendix A
Appendix A The properties above are not representative of all transactions.
Slide 21: CMTG Leadership and Select MREG Personnel
Dave Germond** MD, Head of Capital Raising and Investor Relations, MREG Barden Gale* Vice Chairman, MREG Paul Keller*** Vice Chairman, MREG Richard Mack* CEO and Chairman, CMTG; Co-Founder and CEO, MREG Mike McGillis* President and CFO, CMTG; President, MREG Priyanka Garg* Executive Vice President,
Slide 22: CMTG Watchlist Loan Summary as of December 31, 2024
CMTG Watchlist Loan Summary as of December 31, 2024 ($ amounts in millions) Loan Carrying Value 1 Unpaid Principal Balance Loan Commitment 8 Origination Date Property Type Location Loan Basis (Commitment/CV) a Risk Rating Loan 13 120.1 152.8 152.8 1/9/2018 Land VA $159/SF 5 Loan 23 118.1 119.1 122.0
Slide 23: Portfolio Details
Portfolio Details CMTG Portfolio Details by Unpaid Principal Balance as of December 31, 2024 ($ amounts in millions) Loan Carrying Value 1 Unpaid Principal Balance Loan Commitment 8 Origination Date Property Type Location Loan Type Construction Risk Rating Loan 1 401.5 402.3 405.0 12/16/2021 Multifa
Slide 24: Portfolio Details
Portfolio Details CMTG Portfolio Details by Unpaid Principal Balance as of December 31, 2024 ($ amounts in millions) Loan Carrying Value 1 Unpaid Principal Balance Loan Commitment 8 Origination Date Property Type Location Loan Type Construction Risk Rating Loan 21 123.1 123.3 127.3 6/17/2022 Multifa
Slide 25: Portfolio Details
Portfolio Details CMTG Portfolio Details by Unpaid Principal Balance as of December 31, 2024 ($ amounts in millions) Loan Carrying Value 1 Unpaid Principal Balance Loan Commitment 8 Origination Date Property Type Location Loan Type Construction Risk Rating Loan 41 40.2 68.5 81.8 8/27/2021 Office GA
Slide 26: Consolidated Balance Sheets
Consolidated Balance Sheets As of December 31, 2024, September 30, 2024 and December 31, 2023 Source: CMTG financials. ($ amounts in thousands) December 31, 2024 September 30, 2024 December 31, 2023 Assets Cash and cash equivalents $ 99,075 $ 113,920 $ 187,301 Restricted cash 34,425 30,466 27,588 Lo
Slide 27: Consolidated Statements of Operations
Consolidated Statements of Operations For the Three Months Ended December 31, 2024, September 30, 2024 and December 31, 2023 Source: CMTG financials. Three Months Ended Three Months Ended Three Months Ended ($ amounts in thousands, except share and per share data) December 31, 2024 September 30, 202
Slide 28: Distributable Earnings (Loss) Reconciliation
Distributable Earnings (Loss) Reconciliation Q4 2024 Q3 2024 Q2 2024 Q1 2024 Total 2024 Net loss $ (100,698) $ (56,218) $ (11,554) $ (52,795) $ (221,265) Adjustments: Non-cash stock-based compensation expense 4,777 4,972 3,999 4,353 18,101 Provision for current expected credit loss reserve 29,976 78
Slide 29: Book Value per share Reconciliation
Book Value per share Reconciliation December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 ($ in 000’s except for per share data) Total Equity $ 2,008,086 $ 2,103,959 $ 2,171,402 $ 2,215,883 Number of shares of common stock outstanding and RSUs 142,187,015 141,903,667 142,164,611 142,486,
Slide 30: Important Notices
Important Notices The information herein generally speaks as of the date hereof or such earlier date referred to on specific pages herein. In furnishing this document, Claros Mortgage Trust, Inc. and its consolidated subsidiaries (the “Company” or “CMTG”) do not undertake to update the information h
Slide 31: Important Notices (cont'd)
Important Notices (cont’d) Forward-Looking Statements This document and oral statements made in connection therewith contain forward-looking statements within the meaning of U.S. federal securities laws. Forward-looking statements express CMTG’s views regarding future plans and expectations. They in
Slide 32: Endnotes
Endnotes Based on carrying value net of specific CECL reserves; excludes loans held-for-sale if applicable. Excludes our real estate owned (REO) investments, unless otherwise noted. Refer to page 27 for a reconciliation of net income (loss) to distributable earnings (loss) and distributable earnings
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