Palogic Value Fund, LP, a Dallas-based investment firm that holds over one million shares of Granite Point Mortgage Trust Inc. (NYSE: GPMT), sent a letter to the company's Board of Trustees on August 18, 2026, calling for significant operational and strategic changes.

The letter, written by Palogic principals Ryan Vardeman and Scott Williams, cited a decline in Granite Point's GAAP book value from $17.27 per share as of June 30, 2021, to $5.70 per share as of June 30, 2026. The company's stock price declined approximately 89.8% over the same period. At the August 14 closing price of $1.19, shares were trading at roughly 21% of reported book value.

Palogic raised concerns about credit deterioration across multiple commercial real estate property types, including hotel, mixed-use, and multifamily loans, in addition to office properties. The firm noted that specific CECL reserves stood at 47.4% across the five loans rated at the highest risk level in Granite Point's Q2 2026 Earnings Supplement.

The letter also pointed to rising costs relative to assets. Compensation and benefits were $4.3 million in Q2 2026 against an asset base of $1.4 billion, compared to $5 million against $3.9 billion in assets in Q2 2021. That ratio rose from 0.51% to 1.3% of assets on an annualized basis.

Net interest income fell from $22.7 million to $4.7 million over the same five-year period, as total assets contracted from approximately $3.9 billion to $1.4 billion.

Palogic urged the board to accelerate resolution of legacy assets through loan payoffs, participation sales, and whole loan sales. The firm also asked management to engage outside servicers to reduce costs and to stop pursuing new loan originations, directing proceeds instead toward debt repayment.