Results

Invesco Commercial Real Estate Finance Trust Inc.

12/16/2025 | Press release | Distributed by Public on 12/16/2025 13:06

Material Event (Form 8-K)

Item 8.01 Other Events.
Invesco Commercial Real Estate Finance Trust, Inc. (referred to herein as the "Company," "we," "our," or "us") is filing this Current Report on Form 8-K in order to provide an update regarding our net asset value ("NAV").
January 1, 2026 Transaction Price
The transaction price for each share class of our common stock is equal to such share class's NAV per share as of November 30, 2025. A calculation of the NAV per share is set forth below.
November 30, 2025 NAV per Share
Our NAV per share is calculated in accordance with valuation guidelines that have been approved by our board of directors. Our NAV per share, which is updated as of the last calendar day of each month, is made available to our current stockholders on our website at www.invesco.com/INCREF and on our toll-free, automated telephone line at 833-834-4924.
Transactions or events have occurred since November 30, 2025 that could have a material impact on our NAV per share, upon which our transaction and repurchase price is based. We have included a breakdown of the components of total NAV and NAV per share for November 30, 2025.
Our total NAV presented in the following tables includes the aggregate NAV of our outstanding shares of common stock. The following table provides a breakdown of the major components of our total NAV as of November 30, 2025:
$ in thousands
November 30, 2025
Commercial real estate loan investments $ 4,505,215
Real estate related securities 16,394
Cash and cash equivalents 44,572
Restricted cash 22,396
Interest receivable 17,046
Derivative assets 1,451
Other assets 15,538
Secured financing facilities (2,513,423)
Collateralized loan obligations (1,005,236)
Revolving credit facility -
Interest payable (9,609)
Derivative liabilities (1,214)
Subscriptions received in advance (22,156)
Due to affiliates (5,010)
Due to affiliate - Management fee (1,288)
Due to affiliate - Performance fee (4,039)
Accounts payable, accrued expenses and other liabilities (6,541)
Common stock dividends payable (6,305)
Net asset value $ 1,047,791
The following table provides a breakdown of our total NAV and NAV per share by class as of November 30, 2025. We did not issue any Class D-1 shares as of November 30, 2025.
$ in thousands,
except per share data
Class S
Class S-1 Class D Class I
Class E
Class F
Total(1)
Net asset value $ 35,010 $ 483,351 $ 30,100 $ 229,301 $ 41,746 $ 228,283 $ 1,047,791
Number of outstanding common shares 1,404,433 19,309,189 1,208,499 9,173,516 1,622,920 8,825,584 41,544,140
NAV per share $ 24.9279 $ 25.0322 $ 24.9070 $ 24.9959 $ 25.7233 $ 25.8660
(1) Share amounts are rounded to the nearest whole share.
We include no discounts to our NAV for the illiquid nature of our shares, including the limitations on our stockholders' ability to sell shares under our Share Repurchase Plan and our ability to suspend or terminate our Share Repurchase Plan at any time. Our NAV generally does not consider exit costs (e.g., selling costs and commissions related to the sale of an investment) that would likely be incurred if our assets and liabilities were liquidated or sold. While we may use market pricing concepts to value individual components of NAV, NAV per Share is not derived from the market pricing information of open-end real estate debt funds listed on stock exchanges.
Our NAV is not a representation, warranty or guarantee that (1) a stockholder would be able to realize the NAV per shares for the shares a stockholder owns if the stockholder attempts to sell its shares; ( 2) stockholder would ultimately realize distributions per share equal to the NAV per share upon liquidation of our assets and settlement of our liabilities or a sale of the Company; (3) shares would trade at their NAV per share on a national securities exchange; (4) a third party would offer the NAV per share for shares in an arm's-length transaction to purchase all or substantially all of the shares; and/or (5) the NAV per share would equate to a market price of an open-ended real estate debt fund.
Valuation of Commercial Real Estate Loan Investments
The following table summarizes the estimated significant unobservable inputs supporting the fair value measurement of our commercial real estate loan investments:
Valuation Technique Unobservable Input
Weighted Average Rate(2)
Range
Weighted Average Life(1)(2)
Discounted cash flow Discount rate 6.44% 5.10% - 11.62% 0.32 years
(1) Based on expected cash flows and potential prepayments.
(2) Weighted average rate and life are not applicable for loans held by the consolidated collateralized loan obligations ("CLO"), as they were not valued using a discounted cash flow approach. Loans held by the CLO are valued using the more observable fair value of the notes issued by the CLO.
The discount rate above is subject to change based on changes in economic and market conditions, in addition to changes in the underlying economics of the arrangement, such as changes in the underlying property valuation and debt service. These rates are also based on the location, type and nature of each underlying property and related industry publications. Changes in discount rates result in increases or decreases in the fair values of these investments. The discount rate encompasses, among other things, uncertainties in the valuation models with respect to the amount and timing of cash flows. It is not possible for us to predict the effect of future economic or market conditions based on our estimated fair values.
Valuation of Secured Financing Facilities
The following table summarizes the estimated significant unobservable inputs used in the fair value measurement of our secured financing facilities:
Valuation Technique Unobservable Input Weighted Average Rate Range
Weighted Average Life(1)
Discounted cash flow Discount rate 5.41% 4.08% - 6.22% 0.30 years
(1) Based on expected cash flows and potential prepayments.
The discount rate above is subject to change based on changes in economic and market conditions, in addition to changes in the underlying economics of the pledged commercial real estate loan, such as changes in the loan-to-value ratio, credit profile and debt service. These rates are also based on the location, type and nature of each pledged property underlying the commercial real estate loan and related industry publications. Changes in discount rates result in increases or decreases in the fair values of these investments. The discount rate encompasses, among other things, uncertainties in the valuation models with respect to the amount and timing of cash flows. It is not possible for us to predict the effect of future economic or market conditions based on our estimated fair values.
Portfolio Update
As of November 30, 2025, the Company's commercial real estate loan portfolio has a fair value of $4.5 billion and outstanding principal balance of $4.5 billion.
In November 2025, the Company closed on one U.S. loan origination; a $115.2 million whole loan secured by a portfolio of twenty multifamily properties in San Francisco, California.
Invesco Commercial Real Estate Finance Trust Inc. published this content on December 16, 2025, and is solely responsible for the information contained herein. Distributed via Edgar on December 16, 2025 at 19:06 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]