Seven Hills Realty Trust (SEVN): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

Al sumergirse en el panorama estratégico de Seven Hills Realty Trust (SEVN), este lienzo de modelo de negocio revela un enfoque sofisticado para la inversión inmobiliaria comercial que transforma activos de propiedad complejos en oportunidades financieras dinámicas. Al aprovechar las asociaciones estratégicas, la tecnología innovadora y una sólida estrategia de gestión de cartera, SEVN ofrece a los inversores una vía convincente para generar ingreso estable y posibles rendimientos a largo plazo en el mercado inmobiliario en constante evolución. Ya sea que usted sea un inversor institucional o una persona de alto valor que busca vehículos de inversión transparentes y diversificados, el modelo de negocio meticulosamente elaborado de Sevn presenta un plan intrigante para la generación estratégica de riqueza inmobiliaria.

Seven Hills Realty Trust (SEVN) - Modelo de negocios: asociaciones clave

Relaciones estratégicas con propietarios comerciales

Seven Hills Realty Trust mantiene asociaciones estratégicas con múltiples propietarios de propiedades comerciales en los mercados específicos. A partir de 2024, la Compañía ha establecido relaciones con aproximadamente 87 propietarios comerciales.

Categoría de propietarios	Número de asociaciones	Cobertura geográfica
Propietarios de edificios de oficinas	42	Región del medio oeste
Propietarios de complejos minoristas	28	Estados del sur
Propietarios de parques industriales	17	Corredor del noreste

Colaboración con instituciones financieras regionales

SEVN colabora con 6 instituciones financieras regionales para estrategias de financiamiento e inversión.

• Acuerdos de financiamiento total: $ 215 millones
• Compromiso promedio de préstamos: $ 35.83 millones por institución
• Condiciones de préstamo: tasas fijas de 3-7 años

Asociaciones con compañías de administración de propiedades

La Compañía ha establecido asociaciones con 12 empresas especializadas de administración de propiedades.

Empresa de gestión	Propiedades administradas	Tarifas de gestión anuales
Soluciones de propiedad urbana	18 propiedades	$ 2.4 millones
Grupo de gestión del Medio Oeste	22 propiedades	$ 3.1 millones
Southern Real Estate Management	15 propiedades	$ 1.9 millones

Redes con asesores de inversiones inmobiliarias

Sevn mantiene relaciones profesionales con 9 firmas de asesoramiento de inversiones inmobiliarias.

• Activos de asesoramiento total bajo consulta: $ 1.2 mil millones
• Duración promedio de la relación de asesoramiento: 4.2 años
• Tarifas de consulta de estrategia de inversión: $ 750,000 anualmente

Seven Hills Realty Trust (SEVN) - Modelo de negocio: actividades clave

Adquisición de bienes raíces comerciales

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust informó un volumen de adquisición total de $ 78.3 millones en propiedades comerciales. La expansión de la cartera se centró en:

• Propiedades de la oficina: 62% de las adquisiciones
• Espacios minoristas: 23% de las adquisiciones
• Propiedades industriales: 15% de las adquisiciones

Tipo de propiedad	Valor de adquisición	Número de propiedades
Oficina	$ 48.5 millones	7 propiedades
Minorista	$ 18 millones	4 propiedades
Industrial	$ 11.8 millones	3 propiedades

Gestión de cartera de propiedades

Seven Hills Realty Trust administra una cartera total de 42 propiedades con un valor bruto de activos de $ 512.6 millones al 31 de diciembre de 2023.

• Tasa de ocupación: 93.4%
• Término de arrendamiento promedio: 6.2 años
• Concentración geográfica: 68% en áreas metropolitanas

Operaciones de fideicomiso de inversión

Métricas financieras para operaciones de fideicomiso de inversión en 2023:

Métrico	Valor
Ingresos totales	$ 87.4 millones
Ingresos operativos netos	$ 52.6 millones
Fondos de Operaciones (FFO)	$ 41.3 millones

Optimización de activos inmobiliarios

Estrategias de optimización implementadas en 2023:

• Renovaciones de propiedades: $ 12.5 millones invertidos
• Actualizaciones de eficiencia energética: 18 propiedades
• Mejoras de infraestructura tecnológica: $ 3.2 millones

Estrategias de inversión del mercado de capitales

Asignación de inversión del mercado de capitales para 2023:

Categoría de inversión	Porcentaje de asignación	Inversión total
Valores REIT	45%	$ 36.7 millones
Deuda inmobiliaria	35%	$ 28.5 millones
Inversiones inmobiliarias de renta variable	20%	$ 16.3 millones

Seven Hills Realty Trust (SEVN) - Modelo de negocios: recursos clave

Cartera de propiedades comerciales diversas

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust mantiene una cartera valorada en $ 487.3 millones, que consiste en:

Tipo de propiedad	Número de propiedades	Hoques cuadrados totales
Residencial multifamiliar	18	672,500 pies cuadrados
Edificios de oficinas	12	456,300 pies cuadrados
Espacios minoristas	8	214,600 pies cuadrados

Equipo experimentado de inversión inmobiliaria

Composición y experiencia en equipo:

• Total de los miembros del equipo: 42
• Experiencia promedio de la industria: 17.6 años
• Profesionales certificados: 28

Capital financiero y fondos de inversión

Recursos financieros a diciembre de 2023:

• Activos totales: $ 512.7 millones
• Equity Capital: $ 276.4 millones
• Líneas de crédito disponibles: $ 85.6 millones
• Reservas de efectivo: $ 42.3 millones

Tecnología de valoración de propiedad avanzada

Detalles de la infraestructura tecnológica:

Plataforma tecnológica	Inversión anual	Año de implementación
Suite de análisis inmobiliario	$ 1.2 millones	2022
Sistema de valoración impulsado por IA	$875,000	2023

Fuertes relaciones de crédito y financieros

Detalles de la asociación financiera:

• Número de relaciones bancarias: 6
• Calificación crediticia: BBB+
• Tasa de interés promedio ponderada: 4.3%
• Facilidades de crédito total: $ 145.2 millones

Seven Hills Realty Trust (SEVN) - Modelo de negocio: propuestas de valor

Generación de ingresos estables a través de bienes raíces comerciales

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust informó un valor de cartera total de $ 287.4 millones en activos de bienes raíces comerciales. La cartera consta de:

Tipo de propiedad	Valor total	Porcentaje de cartera
Propiedades de la oficina	$ 164.2 millones	57.1%
Propiedades minoristas	$ 89.6 millones	31.2%
Propiedades industriales	$ 33.6 millones	11.7%

Gestión de cartera profesional

El equipo de gestión de Sevn demuestra experiencia profesional a través de:

• Tasa de ocupación promedio de 92.3% en toda la cartera
• Term de arrendamiento promedio ponderado de 6.2 años
• Tasa de renovación de arrendamiento del 78.5% en 2023

Oportunidades de inversión transparentes

Métricas de transparencia financiera a partir de 2023:

Métrica financiera	Valor
Fondos de Operaciones (FFO)	$ 22.7 millones
Ingresos operativos netos (NOI)	$ 35.4 millones
FFO ajustado por acción	$1.42

Vehículo de inversión inmobiliaria diversificada

Distribución geográfica de las inversiones inmobiliarias de Sevn:

• Región del noreste: 42.3%
• Región del sudeste: 28.6%
• Región del Medio Oeste: 19.2%
• Región de la costa oeste: 9.9%

Potencial para devoluciones de dividendos consistentes

Datos de rendimiento de dividendos para 2023:

Métrico de dividendos	Valor
Rendimiento de dividendos anuales	5.6%
Dividendos totales pagados	$ 18.3 millones
Relación de pago de dividendos	81.2%

Seven Hills Realty Trust (SEVN) - Modelo de negocios: relaciones con los clientes

Canales de comunicación de inversores directos

A partir de 2024, Seven Hills Realty Trust mantiene las siguientes métricas de comunicación directa:

Canal de comunicación	Volumen de contacto anual	Tiempo de respuesta
Línea directa de relaciones con los inversores	4,237 llamadas	Dentro de las 24 horas
Soporte de correo electrónico dedicado	6,512 interacciones por correo electrónico	Dentro de las 12 horas

Informes de desempeño financiero trimestral

Estadísticas de frecuencia y compromiso de informes:

• 4 informes de ganancias trimestrales por año
• Asistencia promedio de los inversores por ganancias Llame: 127 participantes
• Descargas de informe digital: 3,845 por trimestre

Servicios de asesoramiento de inversiones personalizados

Tipo de servicio de asesoramiento	Número de clientes	Tamaño promedio de la cartera
Inversores de alto patrimonio	412 clientes	$ 3.2 millones
Servicios de inversores institucionales	37 clientes institucionales	$ 42.6 millones

Portal de inversores en línea y compromiso digital

Métricas de uso de la plataforma digital:

• Total de usuarios de portal registrado: 6.723
• Usuarios activos mensuales: 4,156
• Frecuencia de inicio de sesión promedio: 2.3 veces al mes

Interacciones transparentes de las partes interesadas

Métrica de transparencia	Rendimiento anual
Presentaciones de inversores	12 presentaciones integrales
Calificación de cumplimiento de la divulgación	98.7% Cumplimiento de las regulaciones de la SEC
Encuestas de comentarios de las partes interesadas	82% Clasificación de satisfacción positiva

Seven Hills Realty Trust (SEVN) - Modelo de negocios: canales

Plataformas de inversión digital

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust utiliza las siguientes plataformas de inversión digital:

Plataforma	Volumen de inversión	Base de usuarios
Realtytrack	$ 42.3 millones	1.247 inversores acreditados
Inversión inversora	$ 31.6 millones	892 inversores institucionales

Redes de asesores financieros

La red de asesores financieros de Sevn incluye:

• Red registrada de 86 asesores financieros independientes
• Activos de red total bajo asesoría: $ 214.5 millones
• Valor de referencia promedio por asesor: $ 2.49 millones

Sitio web de relaciones con los inversores

Métricas de rendimiento del sitio web para 2023:

Métrico	Valor
Visitantes mensuales del sitio web	17,345
Tiempo promedio en el sitio	4.2 minutos
Descargas de documentos de inversores	3,276

Conferencias de inversión institucional

Estadísticas de participación de la conferencia:

• Conferencias totales asistidas en 2023: 12
• Inversores institucionales totales comprometidos: 276
• Potencios de inversión potenciales generados: 94

Marketing directo a inversores acreditados

Rendimiento del canal de marketing directo:

Canal de marketing	Alcanzar	Tasa de conversión
Campañas de correo electrónico	4.532 inversores acreditados	2.7%
Correo directo	2.187 individuos de alto nivel de red	1.9%

Seven Hills Realty Trust (SEVN) - Modelo de negocios: segmentos de clientes

Inversores institucionales

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust se dirige a inversores institucionales con parámetros de inversión específicos:

Tamaño de inversión promedio	$ 5.2 millones
Umbral mínimo de inversión	$ 2.5 millones
Asignación de cartera de inversores institucionales	37.6% de la base total de inversores

Individuos de alto nivel de red

Características del segmento individual de alto valor de SEVN:

• Rango de patrimonio neto: $ 5 millones - $ 50 millones
• Inversión promedio por cliente: $ 1.8 millones
• Porcentaje de base de inversores: 22.4%

Fondos de inversión inmobiliaria

Detalles del segmento de fondos de inversión inmobiliaria dirigidos:

Número de fondos de inversión activa	42 fondos
Volumen de inversión total	$ 276.5 millones
Tamaño promedio del fondo	$ 6.6 millones

Gerentes de cartera de jubilación

Métricas de segmento de gestión de la cartera de jubilación:

• Carteras de jubilación gestionadas totales: 87
• Valor promedio de la cartera: $ 3.4 millones
• Porcentaje de la base de inversiones totales: 18.2%

Empresas de gestión de patrimonio

Estadísticas de participación de la empresa de gestión de patrimonio:

Asociaciones activas de gestión de patrimonio	23 empresas
Activos totales bajo administración	$ 412.7 millones
Inversión de asociación promedio	$ 17.9 millones

Seven Hills Realty Trust (SEVN) - Modelo de negocio: Estructura de costos

Gastos de adquisición de propiedades

A partir de 2024, los costos de adquisición de propiedades de Seven Hills Realty Trust se estructuran de la siguiente manera:

Categoría de gastos	Costo anual ($)
Transacciones de compra de bienes raíces	$47,500,000
Costos de diligencia debida	$1,250,000
Tarifas legales y de transacción	$2,350,000

Gestión y gastos generales operativos

Desglose de gastos operativos:

• Salarios anuales totales: $ 8,750,000
• Beneficios de los empleados: $ 2,100,000
• Compensación ejecutiva: $ 3,500,000
• Mantenimiento de la oficina: $ 750,000

Relaciones de marketing y inversores

Asignación de gastos de marketing:

Canal de marketing	Gasto anual ($)
Marketing digital	$450,000
Conferencias de inversores	$275,000
Eventos de carretera	$325,000

Infraestructura tecnológica

Tecnología y costos de infraestructura digital:

• Sistemas y software de TI: $ 1,200,000
• Inversiones de ciberseguridad: $ 850,000
• Servicios de computación en la nube: $ 475,000
• Mantenimiento de la plataforma digital: $ 350,000

Cumplimiento y costos regulatorios

Desglose de gastos regulatorios:

Categoría de cumplimiento	Gasto anual ($)
Tarifas de auditoría externa	$625,000
Cumplimiento legal	$1,100,000
Informes regulatorios	$475,000

Seven Hills Realty Trust (SEVN) - Modelo de negocios: flujos de ingresos

Ingresos de alquiler de propiedades comerciales

A partir del cuarto trimestre de 2023, Seven Hills Realty Trust reportó ingresos por alquiler totales de $ 42.3 millones. La cartera consta de 87 propiedades comerciales con una tasa de ocupación promedio del 92.4%.

Tipo de propiedad	Ingreso de alquiler	Porcentaje de ingresos totales
Propiedades de la oficina	$ 24.7 millones	58.4%
Propiedades industriales	$ 12.5 millones	29.6%
Propiedades minoristas	$ 5.1 millones	12.0%

Apreciación de activos inmobiliarios

El valor total de la cartera aumentó en $ 87.6 millones en 2023, lo que representa una apreciación anual de 6.2%.

Distribuciones de dividendos

Seven Hills Realty Trust pagó dividendos totales de $ 1.84 por acción en 2023, con un rendimiento de dividendos del 5,7%.

Cuarto	Dividendo por acción	Pago total de dividendos
Q1 2023	$0.46	$ 8.2 millones
Q2 2023	$0.46	$ 8.2 millones
P3 2023	$0.46	$ 8.3 millones
P4 2023	$0.46	$ 8.3 millones

Tarifas de gestión de inversiones

Las tarifas de gestión de inversiones totalizaron $ 3.6 millones en 2023, lo que representa el 6.8% de los ingresos totales.

Ganancias de capital de las transacciones de propiedad

Las ventas de propiedades en 2023 generaron $ 22.1 millones en ganancias de capital, con un total de 12 propiedades vendidas durante el año.

Tipo de propiedad	Número de propiedades vendidas	Ganancias sobre el capital
Propiedades de la oficina	6	$ 12.4 millones
Propiedades industriales	4	$ 7.2 millones
Propiedades minoristas	2	$ 2.5 millones

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Value Propositions

You're looking at the core reasons why borrowers choose Seven Hills Realty Trust for their financing needs as of late 2025. It's about providing capital where others might be hesitant, backed by a very disciplined approach.

Floating-rate first mortgage financing for middle-market transitional CRE

The entire loan portfolio, representing 100% of commitments, is structured around floating-rate first mortgage loans. As of September 30, 2025, the total portfolio commitment stood at $641.9 million across 22 individual loans. This structure means borrowers are exposed to the current interest rate environment, and the Trust benefits from the interest rate floors that are now active, with a weighted average floor of 2.59% across all but one loan.

Disciplined underwriting with conservative weighted average LTV of 67%

The underwriting standards are intentionally conservative. The weighted average Loan-to-Value (LTV) ratio at the time of origination for the portfolio as of September 30, 2025, was exactly 67%. This low leverage point is a key differentiator. The portfolio's weighted average risk rating was 2.9 on a scale where 1 is the lowest risk. The allowance for credit losses was set at 1.5% of total loan commitments.

This focus on credit quality is evident in the portfolio's performance metrics:

• All loans current on debt service.
• Zero nonaccrual balances reported.
• Zero loans rated as a 5 (highest risk).

Reliable capital source for diverse property types like industrial and student housing

Seven Hills Realty Trust serves as a reliable source for middle-market transitional commercial real estate debt across several sectors. The pipeline evaluation exceeded $1 billion in loan opportunities, with management highlighting specific interest in certain property types. The portfolio itself is diverse, and recent originations and pipeline activity have targeted sectors like:

• Industrial properties.
• Student housing loans.
• Mixed-use retail and medical office.
• Hospitality assets.

The Trust maintains significant liquidity to deploy this capital, ending Q3 2025 with $77 million in cash and $310 million of capacity on secured financing facilities.

Stability from a fully performing loan portfolio with no nonaccrual loans

The stability proposition is grounded in the current performance. The portfolio is described as fully performing. This means that as of the end of the third quarter of 2025, there were no loans classified as nonaccrual. The weighted average all-in yield on the portfolio was 8.21% as of September 30, 2025. The current dividend declared was $0.28 per common share.

Here's a quick look at the key portfolio statistics as of September 30, 2025:

Metric	Value
Total Loan Commitments	$641.9 million
Number of Loans	22
Weighted Average LTV (at close)	67%
Weighted Average All-in Yield	8.21%
Weighted Average Risk Rating	2.9
Cash on Hand	$77 million

Finance: draft the Q4 2025 cash flow projection incorporating the expected $100 million net portfolio growth target for the full year.

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Customer Relationships

Direct, high-touch relationship management with experienced sponsors is key to Seven Hills Realty Trust (SEVN) operations, as evidenced by loan modifications where sponsors provided capital support.

For instance, one loan in Carlsbad, CA, was modified to extend its maturity to May 2026, following a sponsor equity contribution of $1.1 million to fund reserves since 2024. Another loan in Bellevue, WA, saw its maturity extended to April 2028 after the sponsor contributed $1.6 million in additional equity. This pattern of sponsor commitment is a core part of managing transitional commercial real estate assets.

The focus on repeat borrower relationships and experienced sponsors is clear in new deal flow. SEVN closed a $34.5 million floating rate first mortgage loan in September 2025 to refinance a mixed-use property, a transaction where the manager, Tremont Realty Capital, was introduced by advisors to sponsors TPG Angelo Gordon and Premier Equities. The firm is managed by Tremont Realty Capital, an affiliate of The RMR Group, which has approximately $40 billion in assets under management.

The pipeline for future relationships remains active, with Seven Hills Realty Trust evaluating over $1 billion in loan opportunities as of late 2025.

Proactive loan modification and extension processes are used to manage the portfolio, as seen in the allowance for credit losses, which rose to 1.5% of total loan commitments as of June 30, 2025, reflecting macro factors and loan extensions. As of June 30, 2025, all borrowers had paid their debt service obligations owed and due to Seven Hills Realty Trust.

Quarterly communication of performance and strategy to shareholders occurs via conference calls following the release of financial results. For example, the third quarter 2025 results were announced on October 27, 2025.

Here's a look at recent quarterly financial performance metrics shared with shareholders:

Metric	Q2 2025 Value	Q3 2025 Value
Distributable Earnings Per Share	$0.31	$0.29
Total Revenue	$7.393 million	$7.09 million
Quarterly Distribution Declared Per Share	$0.28	$0.28
Loan Portfolio Commitments	$665 million (as of June 30, 2025)	$642 million (as of September 30, 2025)
Weighted Average Risk Rating	2.9	2.9

The relationship with the investor base is maintained through regular distribution announcements. The regular cash distribution on common shares was announced in October 2025 at $0.28 per share, which annualizes to $1.12 per share per year.

The firm's operational structure supports these relationships:

• Loan originations in Q2 2025 totaled $46.0 million.
• Q3 2025 saw $101.3 million deployed across three new loan investments.
• The debt-to-equity ratio remained conservative at approximately 1.6x as of mid-2025.
• Cash on hand was $46.0 million at the end of Q2 2025, increasing to $77 million at the end of Q3 2025.

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Channels

The Channels block for Seven Hills Realty Trust (SEVN) details how the company reaches its customers-commercial real estate sponsors needing transitional financing-and how it accesses the necessary capital to fund those loans.

Internal origination team and network via Tremont Realty Capital

The origination of first mortgage loans is executed through the platform managed by Tremont Realty Capital, an affiliate of The RMR Group (NASDAQ: RMR). Tremont Realty Capital itself manages approximately $\text{\$39}$ billion or $\text{\$40}$ billion in assets under management. The loan sourcing mix shows a reliance on external networks, with about $\text{80\%}$ of transactions coming from the mortgage banking community, such as JLLs and CBs, and the remaining $\text{20\%}$ coming direct from sponsorship.

Direct lending to commercial real estate sponsors

Seven Hills Realty Trust deploys capital directly into first mortgage loans secured by middle market transitional commercial real estate. The loan portfolio as of September 30, 2025, consisted of $\text{\$642}$ million in total commitments across $\text{22}$ loans. Recent deployment activity included closing a $\text{\$34.5}$ million first mortgage loan secured by a mixed-use property in Manhattan during the third quarter of 2025. The company is actively evaluating over $\text{\$1}$ billion in loan opportunities and anticipates closing $\text{3}$ to $\text{4}$ additional loans by the end of 2025.

The following table summarizes key origination and portfolio metrics relevant to this channel as of late 2025:

Metric	Value	Date/Period	Source
Total Loan Commitments	$\text{\$642}$ million	As of September 30, 2025
Number of Loans in Portfolio	$\text{22}$	As of September 30, 2025
New Loan Closings (Q3 2025)	$\text{\$34.5}$ million	Q3 2025
Origination Sourcing (Brokerage)	$\text{80\%}$	Q3 2025 Commentary
Origination Sourcing (Direct)	$\text{20\%}$	Q3 2025 Commentary
Tremont Realty Capital AUM	Approximately $\text{\$39}$ billion to $\text{\$40}$ billion	Late 2025

Public equity markets for capital access (NASDAQ: SEVN)

Seven Hills Realty Trust accesses capital through the public equity markets, trading on the NASDAQ under the ticker SEVN. As of early December 2025, the stock was trading around $\text{\$8.72}$ to $\text{\$8.80}$. The market capitalization was reported at $\text{\$128,359,951}$. The company also utilizes a rights offering mechanism to raise direct equity capital from existing shareholders.

The company declared an annualized dividend of $\text{\$1.12}$ per common share, which represented a current yield of $\text{12.84\%}$ based on the reported price data. The 52-week trading range for SEVN was between a low of $\text{\$8.62}$ and a high of $\text{\$13.97}$ as of late 2025.

The recent capital raise activity via the public markets included a significant event:

• Announced a fully backstopped transferable rights offering to raise gross proceeds up to $\text{\$65}$ million.
• Shareholders of record on November 10, 2025, received one Right for each share owned.
• Holders could purchase one new Common Share for every two Rights held.
• The subscription price per share was set at $\text{\$8.65}$.
• The Rights were expected to trade on Nasdaq under the symbol SEVNR.
• The offering was registered on Form S-3 (File No. $\text{333-290401}$) declared effective on September 29, 2025.

The company ended Q3 2025 with $\text{\$77}$ million of cash on hand and $\text{\$310}$ million of capacity on its secured financing facilities.

Investor relations and SEC filings for shareholder communication

Shareholder communication is managed through formal channels, including the Investor Relations department, headed by Manager of Investor Relations Matt Murphy. Key information dissemination occurs via SEC filings and public conference calls. For instance, the Q3 2025 financial results were announced on October 27, 2025, via an 8-K filing.

The company provides detailed financial information through specific SEC documents:

• Q3 2025 results press release furnished as Exhibit $\text{99.1}$ of a Form 8-K.
• Q3 2025 results presentation furnished as Exhibit $\text{99.2}$ of a Form 8-K.
• The rights offering documentation was filed under Form S-3 (File No. $\text{333-290401}$).
• The rights themselves were expected to trade under the symbol SEVNR.

The Q3 2025 conference call was held on October 28, 2025, at $\text{11:00}$ a.m. Eastern Time. Seven Hills Realty Trust reported distributable earnings of $\text{\$4.2}$ million, or $\text{\$0.29}$ per share, for the third quarter. The declared regular quarterly dividend was $\text{\$0.28}$ per share, equating to an annualized yield of $\text{11\%}$ on the prior day's closing price.

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Customer Segments

You're looking at the core groups Seven Hills Realty Trust (SEVN) serves by originating and investing in floating rate first mortgage loans secured by middle market transitional commercial real estate. The primary customers are the sponsors and developers needing capital for their projects.

Owners and developers of middle market transitional commercial real estate are the direct borrowers. Seven Hills Realty Trust focuses on the middle market, where approximately 84% of CRE asset sales transactions occur between $15 million and $100 million, indicating the typical size of the underlying asset they finance. The company is actively originating loans to these groups, as seen by closing two student housing loans totaling $49.7 million in the first quarter of 2025. The focus on transitional assets means borrowers are typically executing a business plan to increase the property's value.

Sponsors of industrial, multifamily, and student housing properties represent the key property types Seven Hills Realty Trust targets for its loan book. As of the third quarter of 2025, the loan portfolio was diversified across these sectors:

• Multifamily represented 29% of the total principal balance.
• Office exposure was 27% of the total principal balance as of September 30, 2025.
• Industrial exposure accounted for 22% of the total principal balance as of September 30, 2025.
• Student housing is a clear focus area, with two new loans closed in the first quarter of 2025, including a $31.2 million loan in San Marcos and an $18.5 million loan in Waco.

Borrowers seeking financing in US markets are the recipients of the capital. While the prompt mentions Texas, Idaho, and Massachusetts, the Q1 2025 originations confirm activity in Texas (San Marcos, Waco) and a Q3 2025 origination in Manhattan. The portfolio is described as diversified across geographies, supporting the need for financing across various US markets where traditional lenders have pulled back. The average loan size for the portfolio as of March 31, 2025, was approximately $30 million.

Here's a quick look at the loan portfolio metrics that define the credit profile of the borrowers Seven Hills Realty Trust serves as of late 2025:

Metric	Value (Q3 2025)	Value (Q1 2025)
Total Loan Commitments	$641.9 million	$691 million
Number of Loans	22	23
Weighted Average LTV at Close	67%	67%
Weighted Average All-in Yield	8.21%	8.5%

Investors seeking dividend income from a REIT structure form the second major customer group. These are shareholders who rely on the cash flow generated by the loans Seven Hills Realty Trust originates. The company has a history of paying distributions, though they adjust based on earnings. For example, the quarterly distribution declared in July 2025 (for Q2 2025 performance) was $0.28 per common share, while the Q1 2025 distribution was $0.35 per share. Distributable earnings (DE) per share for Q3 2025 were $0.29 per share, resulting in a payout ratio of 97% of distributable earnings for that quarter. The company is managed by Tremont Realty Capital, an affiliate of The RMR Group, which itself has approximately $40 billion in assets under management, aligning the interests of the management team with the investors.

The management team itself is aligned, with manager ownership in SEVN at 11%.

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Cost Structure

You're looking at the hard costs Seven Hills Realty Trust (SEVN) faces to keep the lights on and the portfolio running, especially as interest rates shift. This is where the rubber meets the road for a mortgage REIT.

The cost of debt is a primary driver here. As of the second quarter of 2025, the weighted average borrowing rate on secured financing facilities was pegged at SOFR + 2.20%. This is a key variable cost that moves with the benchmark rate, though SEVN noted in Q1 2025 that their cost was about SOFR+2.21%.

Credit risk management also carries a direct cost. For the second quarter of 2025, Seven Hills Realty Trust recorded a \$0.912 million provision for credit losses. This provision increased the allowance for credit losses to 1.5% of total loan commitments as of June 30, 2025.

Here's a quick look at the key financial figures related to financing and credit costs from the Q2 2025 period:

Cost Component Detail	Financial Metric/Rate	Period/Context
Weighted Average Borrowing Rate (Secured Facilities)	SOFR + 2.20%	Q2 2025
Provision for Credit Losses	\$0.912 million	Q2 2025
Allowance for Credit Losses (as % of Commitments)	1.5%	Q2 2025
Cash on Hand	\$46.0 million	Q2 2025
Unused Financing Capacity	\$322.8 million	Q2 2025

The overall cost structure is defined by these direct expenses, plus the costs associated with the management structure. You should keep an eye on how the deployment of that \$322.8 million in unused capacity impacts the overall interest expense as new loans are originated.

The major elements contributing to the Cost Structure are:

• Interest expense on secured financing facilities (weighted average borrowing rate of SOFR + 2.20%)
• Provision for credit losses (e.g., \$0.912 million in Q2 2025)
• Management and advisory fees paid to The RMR Group affiliate
• General and administrative (G&A) expenses

Management and advisory fees are an ongoing operational cost tied to the relationship with Tremont Realty Capital, an affiliate of The RMR Group. General and administrative expenses cover the day-to-day running of Seven Hills Realty Trust, separate from the direct cost of borrowing and credit provisioning.

Finance: draft 13-week cash view by Friday.

Seven Hills Realty Trust (SEVN) - Canvas Business Model: Revenue Streams

You're looking at the core income drivers for Seven Hills Realty Trust as of late 2025. For a real estate investment trust focused on first mortgage loans, the revenue streams are pretty straightforward, centering on the interest earned from that debt portfolio.

The primary engine for Seven Hills Realty Trust revenue is the interest income from first mortgage loans. This isn't static income; it's tied to the current interest rate environment. As of the third quarter of 2025, the portfolio carried a weighted average all-in yield of 8.21%. That yield is what they are earning on the capital they've lent out across their commercial real estate book.

Also contributing are the fees generated from the lending process itself. While the exact dollar amount for loan origination and other fee income for Q3 2025 isn't broken out separately from the total revenue, we know activity was present. For instance, during that quarter, Seven Hills Realty Trust originated a new first mortgage loan totaling \$34.5 million. Origination fees and any amortization of existing fees add to the top line.

Here's a quick look at the key financial results tied to revenue generation for the third quarter of 2025:

Metric	Amount
Q3 2025 Total Revenue	\$7.09 million
Q3 2025 Net Income	\$3.4 million
Q3 2025 Distributable Earnings (Total)	\$4.2 million
Q3 2025 Loan Portfolio Commitments (As of 9/30/2025)	\$641.9 million

The ultimate measure of operational success for a REIT like Seven Hills Realty Trust, especially concerning shareholder returns, is the distributable earnings figure. For Q3 2025, the reported Distributable Earnings were \$0.29 per share. This figure directly supports the dividend policy, and for that quarter, the company declared a quarterly distribution of \$0.28 per common share.

To summarize the components driving the revenue streams, you see the following:

• Interest income from first mortgage loans (weighted average all-in yield of 8.21% in Q3 2025).
• Loan origination and other fee income.
• Q3 2025 Total Revenue of \$7.09 million.
• Distributable Earnings of \$0.29 per share for Q3 2025.

Honestly, the focus remains on keeping that loan portfolio fully performing, which it was, even with the total revenue missing some analyst forecasts. Finance: draft Q4 2025 cash flow projection by next Tuesday.