Lument Finance Trust's Shocking $664M Move: What You MUST Know NOW!

On November 21, 2025, Lument Finance Trust, Inc. (NYSE: LFT) announced the pricing of its latest issuance, LMNT 2025-FL3, a substantial $663.8 million managed Commercial Real Estate Collateralized Loan Obligation (CRE-CLO). This move is noteworthy as it aims to place approximately $585.0 million of investment-grade securities with institutional investors, thereby facilitating term financing on a non-mark-to-market, non-recourse basis.

Key features of the LMNT 2025-FL3 include a 30-month reinvestment period, an impressive advance rate of 88.1%, and a weighted average interest rate at issuance set at Term SOFR plus 1.91%, prior to transaction costs. This strategic financing vehicle is expected to close on or around December 10, 2025, pending customary closing conditions.

Adding to the company's recent activity, Lument Finance Trust also announced that on November 18, 2025, it successfully redeemed LFT 2021-FL1, which had $436.4 million of investment-grade securities outstanding at the time of redemption. This redemption highlights the company's proactive management of its portfolio amidst fluctuating market conditions.

In navigating the complexities of commercial real estate financing, Lument Finance Trust benefits from its partnership with J.P. Morgan Securities LLC, which is acting as sole structuring agent, lead manager, and sole bookrunner for the LMNT 2025-FL3 issuance. Additionally, Citizens JMP Securities, LLC serves as a co-manager, underscoring the significance of institutional support in this market.

Lument Finance Trust's business model primarily focuses on investing in, financing, and managing a diverse portfolio of commercial real estate debt investments. The company has a particular emphasis on transitional floating-rate commercial mortgage loans, especially in the middle-market multi-family sector. This focus positions LFT to capitalize on potential growth in this niche of the real estate market, especially as housing demand continues to evolve.

For investors and stakeholders seeking further information, Lument Finance Trust provides resources on its website at https://lumentfinancetrust.com and through the U.S. Securities and Exchange Commission at https://www.sec.gov/.

As the market landscape continues to shift, the implications of Lument Finance Trust's latest issuance and redemption may reverberate across the commercial real estate sector. Investors will be keenly observing the company's future performance and strategic maneuvers, particularly as it navigates the complexities of financing in today's economic climate.