Ladder Capital is an internally managed commercial real estate finance REIT focused primarily on originating and holding senior first mortgage bridge loans on transitional commercial properties — think multifamily buildings in lease-up or newly built industrial facilities. Ladder targets middle-market borrowers, with average loan sizes around $25–30M, though it has been moving toward larger $50–100M loans. Bridge loans are typically floating-rate, priced at 275–400 bps over SOFR, and made at roughly 70% LTV to real estate owners who need short-term financing while stabilizing or repositioning a property. Alongside its core lending business, Ladder holds a large portfolio of AAA-rated CMBS, which it uses as a liquid, income-generating placeholder while building its loan pipeline. A smaller third business involves owning 149 single-tenant net lease properties, which are 100% occupied and generate stable rental income under long-term leases. Ladder makes money primarily on the spread between loan and securities yields and its cost of debt. A defining feature of Ladder's model is its capital structure: 71% of debt is unsecured, fixed-rate corporate bonds, which insulates Ladder from margin calls and market volatility — a deliberate contrast to peers that rely on CLOs or repo facilities. In mid-2025, Ladder became the only investment-grade-rated commercial mortgage REIT, which reduced its cost of debt. Ladder's capital allocation rotates dynamically among loans, securities, and real estate based on relative value, with management targeting a total asset base of roughly $6B.