We have financed a portion of our loans through the CLOs and the European Loan Securitization, all of which are VIEs.

We are the primary beneficiary of, and therefore consolidate, the CLOs and the European Loan Securitization on our

balance sheet as we (i) control the relevant interests of the CLOs and the European Loan Securitization that give us power

to direct the activities that most significantly affect the CLOs and the European Loan Securitization, and (ii) have the right

to receive benefits and obligation to absorb losses of the CLOs and the European Loan Securitization through the

During the year ended December 31, 2025, we modified three loans that included, among other changes, control over

decision making at the respective properties. Similarly, during 2024, we modified two other loans that included, among

other changes, an equity interest in and/or control over decision-making at the property. As a result of these modifications,

our investments in these loans are VIEs. As of December 31, 2025, we are the primary beneficiary of, and therefore

consolidated the assets of these VIEs on our balance sheet as we (i) have the power to direct the activities that most

significantly affect the property, and (ii) have the right to receive excess sale proceeds upon exit.

The following table details the assets and liabilities of our consolidated VIEs ($ in thousands):


	December 31, 2025	December 31, 2024
Assets
Cash and cash equivalents	$58,663	$9,145
Loans receivable	2,422,505	2,338,201
Current expected credit loss reserve	(23,609)	(202,400)
Loans receivable, net	2,398,896	2,135,801
Owned real estate, net	603,130	177,322
Other assets	196,840	126,518
Total assets	$3,257,529	$2,448,786
Liabilities
Securitized debt obligations, net	$2,139,719	$1,936,956
Other liabilities	47,645	13,277
Total liabilities	$2,187,364	$1,950,233

Assets held by these VIEs are restricted and can be used only to settle obligations of the VIEs, including the subordinate

interests of the securitized debt obligations owned by us. The liabilities of these VIEs are non-recourse to us and can only

be satisfied from the assets of the VIEs. The consolidation of these VIEs results in an increase in our gross assets,

liabilities, revenues and expenses; however, it does not affect our stockholders’ equity or net income. We are not obligated