Chicago Atlantic Real Estate Finance, Inc. · NASDAQ:REFI
Chicago Atlantic Real Estate Finance — Q2 2025 Earnings Presentation
23 slides from Chicago Atlantic Real Estate Finance's earnings presentation, Aug 7, 2025
Slide 1: Earnings Supplemental
REAL ESTATE FINANCE EARNINGS SUPPLEMENTAL For the quarter ended June 30, 2025 CONFIDENTIAL | Chicago Atlantic Advisers, LLC
Slide 2: Important Disclosure Information
Important Disclosure Information Forward Looking Statements This presentation contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities and Exchange Act of 1934, as amended (the “Exchange Act”), regarding future
Slide 3: Important Disclosure Information
Important Disclosure Information Market and Industry Data In this presentation, the Company relies on and refers to certain information and statistics obtained from third-party sources which it believes to be reliable, including reports by market research firms. The Company has not independently ver
Slide 4: Chicago Atlantic Real Estate Finance: Company Overview
Chicago Atlantic Real Estate Finance: ➢ Commercial mortgage REIT and institutional lender to state- Company Overview licensed operators in the cannabis industry. ➢ Manages a diversified portfolio of borrowers, geographies and $2.8B+ 100+ asset types with strong real estate collateral coverage and lo
Slide 5: Industry-Leading Management and Investment Team
Industry-Leading Management and Investment Team Deep Cannabis, Credit and Real Estate Expertise With Entrepreneurial Approach John Mazarakis(1) Tony Cappell(1) Peter Sack(1) Executive Chairman Co-CEO Co-CEO ▪ Originated over $500mm in cannabis credit ▪ Debt investor with over 15 years of ▪ Former Pr
Slide 6: Veteran Independent Directors
Veteran Independent Directors Significant Public Board, REIT, Financial and Corporate Governance Expertise Jason Brandon Michael Elizabeth Papastavrou Konigsberg Steiner Stavola ▪ Lead Independent Director ▪ Former CFO at J.P. Morgan Securities and ▪ Founder and President of Service Energy ▪ Founder
Slide 7: Target Loan Profile
Target Loan Profile USES OF CAPITAL Real estate financing, capital expenditure and growth/acquisition capital SIZE $10-$50 million TERM 2-3 years STRUCTURE Term loans and delayed draw term loans COLLATERAL Mortgage/deed of trust, stock pledge, all asset UCC-1 lien, guarantees AMORTIZATION 50-150 bps
Slide 8: Portfolio Diversification
Portfolio Diversification Our portfolio is diversified by size and interest rate type P R I N C I P A L O U T S T A N D I N G ( 1) BY LOAN BY RATE TYPE(2) FLOATING LOANS BY PRIME RATE FLOOR (2) $90,000,000 $80,000,000 30.2% $70,000,000 38.4% 37.4% 40.7% Average Loan Size $421.9M $60,000,000 = 3.0% $
Slide 9: Portfolio Diversification (Continued)
Portfolio Diversification (Continued) Our portfolio is diversified across operators, geographies, and asset types P R I N C I P A L O U T S T A N D I N G ( 1) BY LOCATION3 BY REAL ESTATE PERCENTAGE OF REAL ESTATE COLLATERAL COLLATERAL TYPE VALUE BY STATE AND OPERATOR TYPE2 3.8% 25.0% 4% 6% 8% 6% 9%
Slide 10: Loan Collateral Coverage
Loan Collateral Coverage 43.2% loan to enterprise value and 1.2x real estate collateral coverage LOAN TO ENTERPRISE VALUE RATIO(1)(2) REAL ESTATE COVERAGE RATIO(2) 45.0% $180,000,000 $160,000,000 40.0% $140,000,000 35.0% $120,000,000 30.0% $100,000,000 25.0% $80,000,000 20.0% $60,000,000 15.0% $40,0
Slide 11: Distributable Earnings and Dividends
Distributable Earnings and Dividends1 $0.70 $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 $- Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Basic Distributable EPS Regular Dividend Special Dividend 1Distributable earnings per share based
Slide 12: The Cannabis Landscape in the U.S.
The Cannabis Landscape in the U.S. Where We See Opportunities LACK OF TRADITIONAL FINANCING Banks generally don’t lend to firms in this industry, allowing higher interest rates, attractive collateral, and lender-friendly covenants. HIGH BARRIERS TO ENTRY Each state has unique investment characterist
Slide 13: The Cannabis Landscape in the U.S.
The Cannabis Landscape in the U.S. A significant amount of positive change over the past 6 years 2019 2025 Legalized recreational and medical use Legalized medical use only No regulated use ✓ Legal in 35 states and the District of Columbia1 ✓ Legal in 41 states and the District of Columbia1 ✓ Medica
Slide 14: The Cannabis Industry: Size of Opportunity and Growth Projections
The Cannabis Industry: Size of Opportunity and Growth Projections The U.S. cannabis industry is estimated to be $35B in top-line Assuming the cannabis market enterprise value at 1x retail revenue in 2025 and is projected to grow to $69B by revenue, and a 35% debt to 65% equity capital structure2, 20
Slide 15: Competitive Investment Landscape
Competitive Investment Landscape COMPETITORS: GROUPS COMPETITIVE ADVANTAGES Shorter loan durations Greater diversification Sale/ Mortgage Leaseback REITs REITs Lower LTVs Deal leads Close relationships with Ability to upsize management teams Cannabis- REIT shares 50% of the Community We negotiate th
Slide 16: Comprehensive Investment Process
Comprehensive Investment Process 1 2 OVERVIEW GEOGRAPHY / INDUSTRY FINANCIALS / OPERATIONS SOURCE AND REVIEW ▪ Direct Origination ▪ Focus primarily on U.S. borrowers ▪ Historical financial statements / tax returns ▪ Brand Recognition ▪ (Local) industry dynamics ▪ Projects of the business and financi
Slide 17: Comprehensive Investment Process (cont’d)
Comprehensive Investment Process (cont’d) 4 CAPITAL PREDICTABLE EXIT RETURN CONSERVATIVE STRONG CURRENT PRESERVATION STRATEGY ENHANCEMENT STRUCTURE INCOME STRUCTURING ▪ Typically, a first lien on the ▪ Fixed amortization and ▪ Additional yield generation ▪ Conservative leverage and ▪ Contractual cou
Slide 18: Financial Overview
Appendix Financial Overview For the three months ended June 30, 2025
Slide 19: Consolidated Balance Sheets
Consolidated Balance Sheets Chicago Atlantic Real Estate Finance, Inc 19
Slide 20: Portfolio Overview
Portfolio Loan Number Location(s) Maturity Date Principal Balance Unfunded Percentage Commitment of Portfolio Rate Type3 Cash Rate PIK Rate YTM IRR Overview1 1 Various 10/30/2026 $19,186,876 $- 4.5% Floating (P) 14.00% 0.00% 17.1% 2 Michigan 12/31/2025 27,110,506 - 6.4% Floating (P) 11.50% 0.00% 17.
Slide 21: Consolidated Statements of Operation
Consolidated Statements of Operation Chicago Atlantic Real Estate Finance, Inc 21
Slide 22: Reconciliation of Distributable Earnings to GAAP Net Income
Reconciliation of Distributable Earnings to GAAP Net Income Chicago Atlantic Real Estate Finance, Inc 22
Slide 23: About Chicago Atlantic
About CHICAGOATLANTIC The Sponsor is a credit-focused investment firm founded in 2019 INCEPTION REFI completed its IPO in December 2021 ✓ Sponsor capital under management: $1.9B (1)(2) SIZE ✓ One of the largest institutional lenders in the cannabis space TEAM 95+ professionals, including over 30 inv
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