Paul Elenio: Yes. I think, Crispin, and just to add on to Ivan’s comments on the repos. I mean, I think we’ve done a great job of continuing to de-lever the balance sheet from natural runoff in the portfolio. Obviously, there is no balance sheet lending going on right now that makes any sense. So as loans run off, we’re naturally delevering the balance sheet. And I think we’ve done a great job of managing the efficiency in our CLO vehicles to help do that. I think currently today, we stand with 70% of our secured indebtedness in non-recourse, non-mark-to-market vehicles. And as you look, those leverage numbers continue to come down quarter-over-quarter. So while we’re very confident that our repo lines are healthy, and we will have no issue rolling them as we’ve never had.
And as Ivan said, the banks are getting more aggressive, just prudently, we’re delevering the balance sheet and putting us in a much better spot. So I think we’ve been focusing on that for a while knowing how you go through these cycles. As far as the rate caps in our book, it’s always been a big part of our strategy to have certain structural efficiencies in our loans and a good portion of our loan book have rate caps. I think it’s somewhere in the high 60s the low 70s, but also a good portion of our loans have interest reserves and interest or replenishment guarantees probably in the same range, probably about 60%. And then there is a crossover that certain loans that have rate caps and interest rate reserves. I don’t have that percentage handy, but a good portion of our book has rate caps and interest reserves.
Crispin Love: Okay. I appreciate that. And then just during the quarter, did you buy any loans to add in on your CLOs? And if so, are you able to drive that?
Paul Elenio: I don’t recall doing that during the quarter. I have to look, we do have similar amount of credit risk assets designated in our CLOs as we did last quarter, $114 million. But Ivan, do you know if we purchased anything back, I’m not aware. If we did, it was one loan, but I have to look.
Ivan Kaufman: I don’t recall off hand.
Crispin Love: Alright. Thanks. I appreciate you taking my questions.
Paul Elenio: Thanks Crispin.
Operator: Thank you. We will take our next question from Jay McCanless with WedBush.
Jay McCanless: Hey, good morning, everyone. It looks like special mentioned loans in the multifamily portfolio went up about $500 million from the first quarter to the second quarter. Could you maybe talk about what drove that decision? Is there any type of geographic or vintage risk we need to be mindful of with that book and the loans that moved to special mention.
Paul Elenio: Yes. Sure. Yes. So it’s a natural progression as loans get closer to maturity and move on to have your ratings move all around. I will preface this that we originate loans that are special mention. Special mention is not a category that gives us a concern that there is a pending loss or delinquency or nonperformance coming. It’s just one of the tools we use as a management tool to focus more on a loan if we think certain things are changing or certain things in the market are changing. I have the numbers going up from 32% last quarter to 37% this quarter in special mention. But there is nothing specific I can say related to a group of loans, a geographic location. It’s just the natural progression of our loans.
