| Schedule of Fair Value, by Balance Sheet Grouping |
The table below details the fair values and carrying values for our notes and mortgage note receivable, and interest rate swaps at June 30, 2026 and December 31, 2025. | | | | | | | | | | | | | | | | | | | June 30, 2026 | | December 31, 2025 | | (Dollars in thousands) | Carrying Value | Fair Value | | Carrying Value | Fair Value | | | | | | | | Notes and mortgage note receivable, level 2 | $ | 3,530 | | $ | 3,588 | | | $ | 3,830 | | $ | 3,964 | | Notes receivable, net of credit loss, level 3(1)(2) | $ | — | | $ | — | | | $ | — | | $ | — | | | Interest rate swap asset | $ | 9,047 | | $ | 9,047 | | | $ | 6,691 | | $ | 6,691 | | | | | | | | | | | | | | | ___________________ | | | | | | | (1) These notes were fully reserved as of June 30, 2025 and the fair value measurement of these notes moved from utilizing Level 2 inputs to utilizing Level 3 inputs, based on its estimated value of the underlying collateral. | (2) Calculated utilizing Level 3 inputs at June 30, 2026 and December 31, 2025. See the table below for Level 3 activity for the six months ended June 30, 2026 and the year ended December 31, 2025. |
| | | | | | | | | | | | | | Level 3 Inputs | | Notes Receivable: | | June 30, 2026 | December 31, 2025 | | Beginning fair value | | $ | — | | $ | 10,547 | | | Payments | | — | | (1,875) | | | | | | | Credit loss reserve | | — | | (8,672) | | | Ending fair value | | $ | — | | $ | — | |
|