KDM makes loans to borrowers and issues Mortgage Secured Notes (MSNs) to fund the loans. MSNs are issued to fund loans on single properties or pools of properties owned by a single borrower. Repayment of each series of MSNs is dependent upon the mortgage payments received on a specific loan made by KDM. Each MSN is linked to a specific underlying property or pool of properties. Cash returns to investors from MSNs result directly from the mortgage payments from a specific property or pool of properties and a specific borrower.
