David Friedman
Executive Vice President, Chief Credit Officer and Head of Non-Agency Production & Syndications at ARBOR REALTY TRUST
Executive
About David Friedman
David E. Friedman (age 44) is Executive Vice President, Chief Credit Officer and Head of Non-Agency Production & Syndications at Arbor Realty Trust (ABR). He joined Arbor in 2022 to lead its syndicated lending platform and was promoted in May 2024 to set credit policy (non‑Agency) and oversee non‑Agency production, syndications and related capital markets efforts . He holds an MS in Real Estate Finance & Investment from NYU Schack and a BS in Business Administration from Babson College . Company performance during his tenure is shown below.
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Company TSR ($100 base, 12/31/2019 basis) | 122 | 158 | 164 |
| FTSE Nareit Mortgage REITs TSR ($100 base) | 69 | 80 | 80 |
| Net Income ($) | $353,827,809 | $400,556,657 | $283,918,655 |
| Distributable Earnings ($) | $405,695,825 | $452,478,707 | $358,019,878 |
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Greystone | Leadership roles in CRE lending, origination, credit, syndications | — | Established/managed multiple programs across lending and capital markets |
| TD Bank | Leadership roles | — | Institutional lending/credit experience leveraged for platform building |
| Bank of America Merrill Lynch | Leadership roles | — | Managed underwriting/syndication efforts at institutional scale |
| PNC Bank | Leadership roles | — | CRE lending/credit foundation |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial ownership (common) | 63,913 shares; <1% of common outstanding |
| Shares outstanding (reference) | 192,161,707 common; 16,173,761 special voting preferred; 208,335,468 total voting |
| Stock ownership guidelines (effective 3/6/2025) | EVPs/other Covered Officers must hold company stock equal to 2x base salary by 12/31/2027; NEOs 5x salary |
| Pledging/hedging policy | Prohibited for covered persons (no pledging, no derivatives, no hedging) |
| Dividends on unvested restricted stock | Cash dividends paid on all restricted stock (aligns holders with shareholders) |
| Section 16 compliance (2024) | Company reports all Forms 3/4/5 were filed timely for year ended 12/31/2024 |
Employment Terms
| Term | Detail |
|---|---|
| Current role | EVP, Chief Credit Officer & Head of Non‑Agency Production & Syndications |
| Joined Arbor | 2022 (promoted to Chief Credit Officer/Head of Non‑Agency in May 2024) |
| Officer election/term | Executive officers are elected annually; serve one‑year terms until successors qualify |
| Employment/severance/CoC agreement | Proxy states the company does not maintain employment, severance or change‑in‑control agreements with NEOs other than the CEO; no individual agreement for Friedman is disclosed |
| Clawback policy | NYSE‑compliant clawback enables recovery of erroneously awarded incentive compensation from Covered Officers upon an accounting restatement |
Compensation Structure (what’s disclosed vs. not)
- For NEOs other than the CEO, the Compensation Committee annually sets base salary and incentive awards considering CEO recommendations, historical levels and company performance; it does not use specific performance‑based goals or formal benchmarking for those NEOs . Friedman is not listed as an NEO in 2024/2025 proxy disclosures, and his individual compensation details (base salary, target bonus, equity grant values) are not disclosed. The company discloses that restricted stock is the primary equity vehicle, with multi‑year vesting schedules and dividends payable on unvested shares .
Performance Compensation (company design context)
- Company‑level design elements disclosed: CEO’s annual performance‑based cash bonus metrics are distributable EPS, corporate capital growth, balance sheet management, efficiency and portfolio risk; equity includes time‑based restricted stock and performance‑vesting RSUs tied to TSR goals . For other executives, the proxy indicates the Committee does not utilize specific performance‑based goals (outside CEO) when determining compensation levels . Restricted stock grants to executives have historically used multi‑year schedules; for 2024 performance grants made in March 2025 to the NEO group (ex‑CEO), one‑third vested at grant, and one‑third each on the first and second anniversaries (continued employment required) .
Governance, Controls, and Policies Relevant to Incentives
- Insider trading and alignment controls: no derivatives, no pledging, no hedging for covered employees (including NEOs) ; senior officer code of ethics applies to the Chief Credit Officer role .
- Related party transaction oversight: independent directors review/approve related person transactions per a formal policy (Item 404 standard; >$120,000 threshold) .
- Stock ownership guidelines: 2x salary requirement for EVPs/other Covered Officers by 12/31/2027; compliance tested annually using December 31 value or the average of quarterly values, whichever is higher .
Investment Implications
- Alignment: Prohibition on pledging/hedging and dividend‑paying restricted stock promote long‑term alignment; the new 2x salary ownership guideline for EVPs by 12/31/2027 should incrementally support insider share accumulation and reduce misalignment risk .
- Retention risk: ABR does not disclose an individual employment/severance/CoC agreement for Friedman and explicitly states no such agreements for NEOs other than the CEO; this can elevate retention risk in volatile cycles, partly offset by ongoing equity vesting .
- Performance linkage: While CEO incentives are tightly tied to distributable EPS/TSR and capital growth, the Committee does not apply specific performance goals for other NEOs; absent individualized disclosure for Friedman, payout sensitivity to performance is less transparent for investors .
- Trading signals: Section 16 filings were timely in 2024, reducing governance red‑flag risk; however, without Form 4 transaction detail in the proxy, real‑time selling pressure assessment requires separate insider trade monitoring .