Terra Property Trust, Inc. (the "Company") announced today that it has commenced its offer to exchange (the "Exchange Offer") any and all of its outstanding 6.00% Notes due June 30, 2026 (the "Existing Notes"), for a combination of (i) newly issued 8.00% Senior Secured Notes due December 31, 2028 of the Company (the "Exchange Notes") and (ii) cash, upon the terms and subject to the conditions set forth in the Company's pre-effective registration statement on Form S-4 (the "Registration Statement") filed with the U.S. Securities and Exchange Commission (the "SEC") on May 7, 2026.

On March 30, 2026, the Company completed the previously disclosed exchange offers pursuant to which it exchanged an aggregate of approximately $25.6 million Existing Notes and 7.00% Senior Notes due March 31, 2026 of Terra Income Fund 6, LLC, a Delaware limited liability company and the Company's wholly owned subsidiary ("Terra LLC"), for an equal principal balance of the Company's then newly issued 7.00% Senior Secured Notes due 2029 (the "Existing Secured Notes"). On March 31, 2026, Terra LLC repaid the remaining approximately $36.8 million principal balance of the Terra LLC Notes. The Exchange Notes will rank pari passu to the Existing Secured Notes and will share in the collateral securing the Existing Secured Notes.