On January 15, 2019, Hunt Companies Finance Trust, Inc. (the Company), together with Five Oaks Acquisition Corp. and Hunt CMT Equity, LLC (together with the Company, the “Credit Parties”), entered into a senior secured corporate term loan (the “Senior Secured Term Loan”) with the lenders party thereto and Cortland Capital Market Services, LLC, as administrative agent (in such capacity, the “Agent”), providing for a term facility (the “Credit Agreement”) to be drawn in an aggregate principal amount of $40,250,000 with a maturity of 6 years. The borrowings under the Senior Secured Term Loan are joint and several obligations of the Credit Parties. In addition, the Credit Parties’ obligations under the Senior Secured Term Loan are secured by substantially all the assets of the Credit Parties through pledge and security documentation. Amounts advanced under the Senior Secured Term Loan are subject to compliance with a borrowing base comprised of assets of the Credit Parties and certain of their subsidiaries that comply on each applicable measurement date with certain representations and warranties made by the Credit Parties on such measurement date with respect to each asset (except to the extent compliance with any one or more of such representations and warranties is waived by the Agent) and certain eligibility criteria, and includes senior and subordinated commercial real estate mortgage loans, preferred equity in a commercial real estate asset (directly or indirectly), commercial real estate construction mortgage loans and certain types of equity interests (the “Eligible Assets”). The borrowing base is determined on the last day of each quarter. For each Eligible Asset, the applicable advance rates vary depending on the type of Eligible Asset. Borrowings under the Senior Secured Term Loan bear interest at a fixed rate of 7.25% for the five year period following the initial draw-down, which is subject to step up by 0.25% for the first four months after the fifth anniversary of the borrowing of the Senior Secured Term Loan, then by 0.375% for the following four months, then by 0.50% for the last four months until the maturity. The Senior Secured Term Loan is subject to a borrowing base, which is equal the sum of the borrowing base value of each Eligible Asset (the “Borrowing Base”).