As of June 30, 2025, the Company held 7.12% and 6.98% interests in AB Commercial Real Estate Debt Fund, SICAV-SIF (“AB CRED II”) and AB Commercial Real Estate Debt Fund III, SICAV-SIF S.C.Sp. (“AB CRED III”), respectively, entities managed by affiliates of the Investment Manager, and unconsolidated joint ventures for which the Company is not the primary beneficiary, at their carrying values of $3.3 million and $23.8 million, respectively. As of December 31, 2024, the carrying value was $3.7 million and $27.3 million, respectively. The Company reported its share of the net asset value of AB CRED II and AB CRED III in its Consolidated Balance Sheets, presented as “Equity method investments”. The reporting period of the investments’ financial statements lags the Company’s financial reporting period, but such lag is never more than three months.

At acquisition of the equity investments, the Company allocated the basis difference to the mortgage loans held by the entities; the basis difference is amortized over the estimated life of the investments or recognized when a loan is repaid. Net amortization of the basis differences increased the carrying values of the Company’s equity investments during the three and six months ended June 30, 2024 in the amount of $0.1 million and $0.3 million, respectively. As of June 30, 2025 no unamortized basis difference remains on the equity method investments. As of June 30, 2024, the unamortized basis difference on the equity method investments were $1.0 million.

During the three and six months ended June 30, 2025 the Company recorded impairment of the equity method investments of $0.5 million for both periods. During the three and six months ended June 30, 2024, the Company did not record an impairment on the equity method investments.