ALLOWANCE FOR CREDIT LOSSES (Tables)

12 Months Ended

Dec. 31, 2025

Receivables [Abstract]

Schedule of expected credit loss

A rollforward of our allowance for credit losses, summarized by financial instrument type and internal credit risk rating, for the years ended December 31, 2025, 2024 and 2023 is as follows:


Rating		Financial Statement Line Item	Allowance for Credit Loss as of December 31, 2024			Provision (recovery) for Credit Loss for the year ended December 31, 2025⁽¹⁾			Write-offs charged against allowance for the year ended December 31, 2025			Other additions to the allowance for the year ended December 31, 2025			Allowance for Credit Loss as of December 31, 2025
			(in thousands)
1		Real estate loans receivable	$	312		$	(98)		$	—		$	—		$	214
2		Real estate loans receivable		492			(312)			—			—			180
3		Real estate loans receivable		10,991			(1,019)			—			—			9,972
4		Real estate loans receivable		22,528			(3,431)			—			—			19,097
5		Real estate loans receivable		25,476			9,677			—			—			35,153
6		Real estate loans receivable		11,450			(1,230)			—			—			10,220
		Sub-total		71,249			3,587	⁽²⁾		—			—			74,836

5		Investment in direct financing leases		1,605			—			—			(1,605)	⁽³⁾		—
		Sub-total		1,605			—			—			(1,605)			—

2		Non-real estate loans receivable		37			2			—			—			39
3		Non-real estate loans receivable		1,868			(826)			—			—			1,042
4		Non-real estate loans receivable		2,268			(1,362)			—			—			906
5		Non-real estate loans receivable		43,287			(2,159)			—			—			41,128
6		Non-real estate loans receivable		75,335			3,321			(21,509)	⁽⁴⁾		—			57,147
		Sub-total		122,795			(1,024)	⁽²⁾		(21,509)			—			100,262

2		Unfunded real estate loan commitments		1			(1)			—			—			—
3		Unfunded real estate loan commitments		461			(52)			—			—			409
4		Unfunded real estate loan commitments		40			4,560			—			—			4,600
5		Unfunded real estate loan commitments		1,767			(1,767)			—			—			—
2		Unfunded non-real estate loan commitments		13			(7)			—			—			6
3		Unfunded non-real estate loan commitments		183			(107)			—			—			76
4		Unfunded non-real estate loan commitments		433			(154)			—			—			279
6		Unfunded non-real estate loan commitments		65			(65)			—			—			—
		Sub-total		2,963			2,407			—			—			5,370

		Total	$	198,612		$	4,970		$	(21,509)		$	(1,605)		$	180,468

(1)

During the year ended December 31, 2025, we received proceeds of $2.1 million from the liquidating trust related to the $25.0 million DIP credit facility to Gulf Coast Health Care LLC (“Gulf Coast”) and proceeds of $0.5 million related to two other real estate loans, which resulted in a recovery for credit losses of $2.6 million. These loans and related reserves were previously written off, so the $2.6 million aggregate recovery is not included in the rollforward above.

(2)

These amounts include cash recoveries of $5.6 million related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery method in which any payments received are applied directly against the principal balance outstanding. This amount also includes $2.3 million related to principal payments received on loans that were fully reserved.

(3)	Represents the allowance for credit losses related to an investment in a direct financing lease that was reclassified to real estate assets in connection with the termination of the lease in the first half of 2025 as discussed further in Note 3 – Real Estate Asset Acquisitions and Development.

(4)

Amount reflects the write-off of the reserves associated with the $10.0 million DIP financing and the $8.3 million term loan to LaVie (which were both previously fully reserved) that were discharged as part of the LaVie plan of reorganization that was made effective on June 1, 2025, along with one other non-real estate loan that was previously fully reserved.


Rating		Financial Statement Line Item	Allowance for Credit Loss as of December 31, 2023			Provision (recovery) for Credit Loss for the year ended December 31, 2024⁽¹⁾			Write-offs charged against allowance for the year ended December 31, 2024			Other reductions to the allowance for the year ended December 31, 2024			Allowance for Credit Loss as of December 31, 2024
			(in thousands)
1		Real estate loans receivable	$	1,501		$	(1,189)		$	—		$	—		$	312
2		Real estate loans receivable		291			201			—			—			492
3		Real estate loans receivable		12,635			(1,644)			—			—			10,991
4		Real estate loans receivable		65,113			(42,585)	⁽²⁾		—			—			22,528
5		Real estate loans receivable		—			25,476	⁽²⁾		—			—			25,476
6		Real estate loans receivable		11,450			—			—			—			11,450
		Sub-total		90,990			(19,741)			—			—			71,249

5		Investment in direct financing leases		2,489			(884)			—			—			1,605
		Sub-total		2,489			(884)			—			—			1,605

2		Non-real estate loans receivable		1,151			(1,114)			—			—			37
3		Non-real estate loans receivable		3,903			(2,035)			—			—			1,868
4		Non-real estate loans receivable		720			1,548			—			—			2,268
5		Non-real estate loans receivable		43,404			(117)			—			—			43,287
6		Non-real estate loans receivable		72,453			16,393			(13,511)			—			75,335
		Sub-total		121,631			14,675	⁽³⁾		(13,511)			—			122,795

2		Unfunded real estate loan commitments		10			(9)			—			—			1
3		Unfunded real estate loan commitments		335			126			—			—			461
4		Unfunded real estate loan commitments		4,314			(4,274)	⁽²⁾		—			—			40
5		Unfunded real estate loan commitments		—			1,767	⁽²⁾		—			—			1,767
2		Unfunded non-real estate loan commitments		692			(679)			—			—			13
3		Unfunded non-real estate loan commitments		46			137			—			—			183
4		Unfunded non-real estate loan commitments		63			370			—			—			433
5		Unfunded non-real estate loan commitments		1,594			(1,594)			—			—			—
6		Unfunded non-real estate loan commitments		—			65			—			—			65
		Sub-total		7,054			(4,091)			—			—			2,963

		Total	$	222,164		$	(10,041)		$	(13,511)		$	—		$	198,612

(1)

During the year ended December 31, 2024, we received proceeds of $5.3 million from the liquidating trust related to the DIP credit facility with Gulf Coast, which resulted in a recovery for credit losses of $5.3 million that is not included in the rollforward above since we had previously written-off the loan balance and related reserves.

(2)	Amount reflects the movement of reserves associated with the Maplewood Revolver due to an adjustment to the internal risk rating on the loan from 4 to 5 during the first quarter of 2024. See Note 7 – Real Estate Loans Receivable for additional information.

(3)

This amount includes cash recoveries of $4.7 million related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery in which any payments received are applied directly against the principal balance outstanding. This amount also includes $0.6 million related to principal payments received on loans that were fully reserved.


Rating		Financial Statement Line Item	Allowance for Credit Loss at December 31, 2022			Provision (recovery) for Credit Loss for the year ended December 31, 2023⁽¹⁾			Write-offs charged against allowance for the year ended December 31, 2023			Other additions to the allowance for the year ended December 31, 2023			Allowance for Credit Loss as of December 31, 2023
			(in thousands)
1		Real estate loans receivable	$	162		$	1,339		$	—		$	—		$	1,501
2		Real estate loans receivable		157			134			—			—			291
3		Real estate loans receivable		15,110			(2,475)			—			—			12,635
4		Real estate loans receivable		33,666			31,447			—			—			65,113
6		Real estate loans receivable		52,265			(3,860)			(36,955)	⁽²⁾		—			11,450
		Sub-total		101,360			26,585			(36,955)			—			90,990

5		Investment in direct financing leases		2,816			(327)			—			—			2,489
		Sub-total		2,816			(327)			—			—			2,489

2		Non-real estate loans receivable		859			292			—			—			1,151
3		Non-real estate loans receivable		2,079			1,824			—			—			3,903
4		Non-real estate loans receivable		634			86			—			—			720
5		Non-real estate loans receivable		18,619			(415)			—			25,200	⁽³⁾		43,404
6		Non-real estate loans receivable		61,677			10,776			—			—			72,453
		Sub-total		83,868			12,563			—			25,200			121,631

2		Unfunded real estate loan commitments		—			10			—			—			10
3		Unfunded real estate loan commitments		—			335			—			—			335
4		Unfunded real estate loan commitments		84			4,230			—			—			4,314
2		Unfunded non-real estate loan commitments		207			485			—			—			692
3		Unfunded non-real estate loan commitments		29			17			—			—			46
4		Unfunded non-real estate loan commitments		—			63			—			—			63
5		Unfunded non-real estate loan commitments		—			1,594			—			—			1,594
		Sub-total		320			6,734			—			—			7,054

		Total	$	188,364		$	45,555		$	(36,955)		$	25,200		$	222,164

(1)

During the year ended December 31, 2023, we received proceeds of $1.0 million from the liquidating trust related to the DIP credit facility with Gulf Coast, which resulted in a recovery for credit losses of $1.0 million that is not included in the rollforward above since we had previously written-off the loan balance and related reserves.

(2)	This amount relates to the write-off of the allowance for the Guardian mortgage note in connection with the settlement and partial forgiveness of the note in the second quarter of 2023. See Note 7 – Real Estate Loans Receivable for additional information on the write-off.

(3)	This amount relates to the additional $25.2 million allowance recorded during the first quarter of 2023 to reserve the aggregate deferred rent amount that is included within Agemo Replacement Loan B. See Note 8 – Non-Real Estate Loans Receivable for additional details.

Schedule by segment balance by vintage and credit quality indicator

Included below is a summary of the amortized cost basis of our financial instruments by year of origination and internal risk rating and a summary of our gross write-offs by year of origination:


Rating	Financial Statement Line Item	2025		2024		2023		2022		2021		2020 & older		Revolving Loans		Balance as of December 31, 2025
		(in thousands)
1	Real estate loans receivable	$	—	$	—	$	—	$	20,000	$	—	$	—	$	—	$	20,000
2	Real estate loans receivable		—		29,700		—		—		—		—		—		29,700
3	Real estate loans receivable		34,787		230,939		160,875		16,600		72,420		—		—		515,621
4	Real estate loans receivable		31,010		84,877		88,154		—		31,713		379,438		—		615,192
5	Real estate loans receivable		—		—		—		—		—		—		263,580		263,580
6	Real estate loans receivable		—		—		—		—		—		11,692		—		11,692
	Sub-total		65,797		345,516		249,029		36,600		104,133		391,130		263,580		1,455,785

2	Non-real estate loans receivable		—		—		—		—		—		—		10,438		10,438
3	Non-real estate loans receivable		1,992		3,273		67,299		14,037		—		2,822		49,155		138,578
4	Non-real estate loans receivable		11,698		4,411		—		—		—		129,610		29,725		175,444
5	Non-real estate loans receivable		500		6,000		—		—		—		41,374		—		47,874
6	Non-real estate loans receivable		—		6,386		1,500		24,457		—		25,907		—		58,250
	Sub-total		14,190		20,070		68,799		38,494		—		199,713		89,318		430,584

	Total	$	79,987	$	365,586	$	317,828	$	75,094	$	104,133	$	590,843	$	352,898	$	1,886,369

	Year to date gross write-offs	$	—	$	—	$	(3,658)	$	—	$	(7,851)	$	—	$	(10,000)	$	(21,509)