Slide 1: Arbor Realty Trust Investor Presentation
Arbor Realty Trust Investor Presentation March 2017 ARBORREALTYTRUST.COM
Slide 2: Overview of our franchise - business platforms
Overview of our franchise - business platforms Senior management team with 30 plus years of successful operating capability in the financial services industry that are fully aligned with over 38% ownership Balance Sheet Loan Origination & Structured GSE (Agency) Loan Origination and Servicing Invest
Slide 3: Significant Accomplishments 2016
Significant Accomplishments 2016 Acquired the agency platform of Arbor Commercial Mortgage, LLC on July 14, 2016 Immediate accretion to core earnings and dividends contributing to AFFO of $0.79 in 2016, a 9% ROE Increased our dividend run rate to $0.68 per share, a 13% increase from 2015 and i
Slide 4: Substantial Value Play
Substantial Value Play ABR’s stock price trades significantly below the Commercial Mortgage REIT (“CMR”) peer group average: Arbor Realty Trust (ABR) Peer Group Avg. (Source: Thomson Reuters) Price to book value of 0.87% Price to book value of 1.04% Price to tangible book value of 0.95% ~ 8%
Slide 5: Diversification & duration of income sources
Diversification & duration of income sources 2015 income sources Pro Forma 2016 income sources REO operations Residential and gain on investment disposal 7% 1% Net interest Structured income on loan transactions portfolio and equity 28% kickers 13% 7-year 22––55year year Over half duration duration
Slide 6: Leading, nationwide origination and servicing platform
Leading, nationwide origination and servicing platform Total Originations – GSE (Agency) Business ($mm) Overview of origination platform Fannie Mae Freddie Mac Conduit FHA Operating since 1995, originated over $24 billion since $3,764 inception 57 $12.9 billion in aggregate originations from 201
Slide 7: Leading, nationwide origination and servicing platform
Leading, nationwide origination and servicing platform Servicing platform – Servicing portfolio growth ($mm) Overview of servicing platform Fannie Mae Freddie Mac FHA ~13.6 billion servicing portfolio at 12/31/2016 18% five year annual growth rate 24% growth in 2016 $13,555 ~48 bps weighted
Slide 8: Capital Structure
Capital Structure Capital structure ($mm) $2,142 CLO IV 219 Extensive experience with CRE CLOs Match-funded with locked-in spreads $737mm 268 Non-recourse, 75% advance rate with long replenishment CLO V CLOs features 63% of total financing (excluding TruPS) target range of 65% to 250 75% CLO
Slide 9: Financial Performance
Financial Performance For the year ended December 31, (Amounts in 000s except per share amounts) 2014 2015 2016 Net interest income $59,869 $59,185 $53,505 Servicing revenue - - 30,759 Gain on sale, including fee based services, net - - 24,594 REO assets NOI and gains from disposals 6,388 12,212 1,8