Notes receivable consist of mezzanine loans and working capital loans. The following table summarizes our investments in notes receivable at June 30, 2025 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | Interest | | | | | | | Type of | | Gross | | | | | Type of | | Rate | | IRR | | | Maturity | | Loan | | Investment | | | # of loans | | Property | | 8.0% | | 11.0 | % | | 2027 | | Mezzanine | | $ | 25,000 | | | 1 | | SH | | 0.0% | | — | | | 2028 | | Working capital | | | 1,178 | | | 1 | | SNF | | 8.8% | | 12.0 | % | | 2028 | | Mezzanine | | | 17,000 | | | 1 | | SH | | 7.6% | | — | | | 2030 | | Working capital | | | 957 | | | 1 | | SH | | | | | | | | | | | $ | 44,135 | (1) | | 4 | | | |
| (1) | Excludes the impact of credit loss reserve. |
The following table is a summary of our notes receivable components as of June 30, 2025 and December 31, 2024 (in thousands): | | | | | | | | At June 30, 2025 | | At December 31, 2024 | | Mezzanine loans | $ | 42,000 | | $ | 42,000 | | Working capital loans | | 2,135 | | | 5,717 | | Notes receivable credit loss reserve | | (441) | | | (477) | | Total notes receivable, net of credit loss reserve | $ | 43,694 | | $ | 47,240 | |
The following table summarizes our notes receivable activity for the six months ended June 30, 2025 and 2024 (in thousands): | | | | | | | | Six Months Ended June 30, | | | | 2025 | | | 2024 | | Advances under notes receivable | $ | — | | $ | 188 | | Principal payments received under notes receivable | | (888) | | | (2,294) | | Write-off of notes receivable | | (2,693) | (1) | | — | | Recovery of credit losses | | 36 | | | 21 | | Net decrease in notes receivable | $ | (3,545) | | $ | (2,085) | |
| (1) | Represents the write-off of Anthem Memory Care LLC (“Anthem”) working capital note in connection with the conversion of Anthem’s Triple-Net leases to SHOP. |
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