Dear Partners,

The Constitution Real Estate Credit Fund delivered net returns of 8.15% YTD through Q2 2026. Q2 delivered net returns of 4.35% comprised of 0.37% in April, 0.94% in May and 3.00% in June.Please find the fund and portfolio updates through Q2 2026 and our thoughts on the year ahead. 

Learn more about the fund

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Administrative

Updated 2025 Audit & Financials: Now available in our Investor Data Room for all investors.

Reporting: The Q3 fund update will be released within 3-4 weeks, after which we will resume timely monthly reporting. 

Fund Minimum: The current fund minimum is $50,000. Effective November 1, 2026, the minimum will increase to $250,000 due to strong investor demand. 

Investor Event: We welcome you to join us October 23rd at 5pm EST at our Greenwich office.

RSVP FOR INVESTOR EVENT HERE!

Performance

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• Net Return YTD thru Q2 2026: 8.15%
• Net Return Q2 2026: 4.35%
• Net Return FY 2025: 37.67%
• Net Return FY 2024: 57.60%
• NAV as of June 30, 2026: $23,121,015.96 
• Platform-wide AUM: $230MM (Fund, individual notes, REO, joint ventures)

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Net P/L Performance by Month Breakdown

Jan 2024
-1.21%

Feb 2024
2.85%

Mar 2024
6.59%

Apr 2024
3.38%

May 2024
5.84%

Jun 2024
5.78%

Jul 2024
4.68%

Aug 2024
3.83%

Sep 2024
0.06%

Oct 2024
2.69%

Nov 2024
4.11%

Dec 2024
8.02%

YTD 2024
57.60%



Jan 2025
10.27%

Feb 2025
2.18%

Mar 2025
2.25%

Apr 2025
2.52%

May 2025
0.61%

Jun 2025
1.63%

Jul 2025
2.32%

Aug 2025
3.92%

Sep 2025
1.70%

Oct 2025
0.92%

Nov 2025
0.11%

Dec 2025
3.05%

YTD 2025
37.67%

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Jan 2026
1.81%

Feb 2026
2.64%

Mar 2026
-0.82%

Apr 2026
0.37%

May 2026
0.94%

Jun 2026
3.00%

YTD 2026
8.15%

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Portfolio Insights and Highlights

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• As of June 30, the Fund holds 15 active investments.
• Four loans paid off in Q2, representing about 16% of the Fund's positions. That capital was quickly redeployed into two new investments.
• The two new investments are a retail shopping center NPL, a type of asset that has performed well for us recently, and an NPL secured by a 97-unit multifamily property in Bristol, CT. Both fit squarely within our core strategy and are in markets we know well.
• Fund NAV reached $23.12 million. Across the broader Constitution platform, AUM now exceeds $230 million, including the Fund, individual and prefunding notes, real estate owned, and joint ventures.
• The Fund now has over 150 limited partners, and more than 500 investors have participated across the platform.

Asset Updates

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Bristol CT | 97 Unit Multifamily Portfolio:
Strategy: Non-Performing Mortgage | Acquired: June 2026

• In June, we acquired a non-performing senior loan secured by two buildings totaling 97 units. 
• We inherited the existing foreclosure action, so we did not need to start the process from scratch. The court has also already appointed a receiver, meaning rents are collected by a property management company rather than the borrower. 
• This protects the property's value and occupancy while we work toward title. The property is 92% occupied, so we expect minimal work once we take ownership. 

• We acquired a non-performing senior loan secured by this 31,000 sq ft shopping center in 2024. 
• Since taking title, we have increased occupancy from 50% to 95%. Our newest tenant is Wingstop, a fast-casual chain with over 2,500 locations. 

• Constitution acquired a non-performing senior loan secured by multiple buildings totaling 22 units in Stamford, Connecticut in April 2025. We have now signed a stipulation agreement with the borrower that they will pay off an agreed amount by 9/1/26 or we will be able to put the properties up for auction. 
• This investment will end up being a 28%+ unlevered net return to fund investors and is an example of the type of positions we try to put ourselves in. High default interest rate and a very low basis relative to the value of the collateral. 

• Our largest Q4 2025 investment. The borrower abandoned the project to avoid prolonged litigation, and we now hold title following foreclosure. 
• The property has received its Certificate of Occupancy, and our in-house leasing team is working to stabilize occupancy and cash flow over the next nine months. 

• Alongside a longtime JV partner, we acquired this $70M+ loan position. The borrower paid off the loan in early April, less than 70 days after acquisition. 
• Producing an IRR of 53%+ on the Fund's position. 
• This shows our ability to source, execute and exit at scale without needing to take ownership or go through a lengthy workout.

Market Insights & Pipeline

• The 10-year Treasury yield has risen from 4.30% to 5.32% over the past six months. Higher long-term rates benefit distressed loan investors like us: banks and debt funds that had been holding problem loans are now being forced to revalue them or sell positions they were previously on the fence about.
• Our pipeline is approaching $150 million of NPLs that meet our criteria, and rates staying higher for longer continues to push more distressed loans off bank and debt fund balance sheets.
• We are actively sourcing new NPL opportunities; if you see something, say something! Partner referrals remain a valuable source of off-market deals. 

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Thanks to the support of our limited partners. We are grateful for your continued trust and support.

Have questions? Contact Investor Relations @  203.292.1169 or Abby@Constlending.com

‍Learn more about investing in the Constitution Real Estate Credit Fund

All the best,
Ricardo, Kyle, and Joe
200 Pemberwick Road, Greenwich CT 06831

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Invest@ConstLending.com
203-423-3534

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