tiaareal-20260630

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2026.

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from__________to __________

Commission file number: 33-92990; 333-294258

TIAA REAL ESTATE ACCOUNT

(Exact name of registrant as specified in its charter)


New York						NOT APPLICABLE
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)
C/O TEACHERS INSURANCE AND ANNUITY ASSOCIATION OF AMERICA
730 Third Avenue						10017-3206
New York, New York						(Zip code)
(Address of principal executive offices)

(212) 490-9000

Registrant’s telephone number, including area code

NOT APPLICABLE

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange of which registered
NONE

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☐

Non-accelerated filer

☒

Smaller Reporting Company

☐

Emerging Growth Company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

TABLE OF CONTENTS


			Page
Part I	Financial Information
	Item 1.	Unaudited Consolidated Financial Statements
		Consolidated Statements of Assets and Liabilities	3
		Consolidated Statements of Operations	4
		Consolidated Statements of Changes in Net Assets	5
		Consolidated Statements of Cash Flows	6
		Notes to the Consolidated Financial Statements	8
		Condensed Consolidated Schedules of Investments	29
	Item 2.	Management's Discussion and Analysis of the Account's Financial Condition and Results of Operations	34
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	55
	Item 4.	Controls and Procedures	57
Part II	Other Information
	Item 1.	Legal Proceedings	58
	Item 1A.	Risk Factors	58
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	59
	Item 3.	Defaults Upon Senior Securities	59
	Item 4.	Mine Safety Disclosures	59
	Item 5.	Other Information	59
	Item 6.	Exhibits	60
Signatures			63

PART I. FINANCIAL INFORMATION

ITEM 1. UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES

(Unaudited)

(In millions, except per accumulation unit amounts)


	June 30,		December 31,
	2026		2025

ASSETS
Investments, at fair value:
Real estate properties (cost: $13,026.0 and $12,973.4)	$	15,978.2	$	15,975.4
Real estate joint ventures (cost: $5,109.8 and $5,115.5)	5,206.6		5,098.8
Real estate funds (cost: $935.6 and $918.3)	806.2		839.6
Real estate operating business (cost: $623.5 and $621.8)	1,245.1		1,072.6

Marketable securities (cost: $1,656.2 and $1,728.6)	1,655.8		1,728.7
Loans receivable (principal: $707.4 and $945.1)	432.2		620.1
Loans receivable with related parties (principal: $41.8 and $70.3)	41.8		70.3
Total investments (cost: $22,100.3 and $22,373.0)	$	25,365.9	$	25,405.5
Cash and cash equivalents	88.6		74.9
Cash held by wholly owned properties	114.2		113.3
Due from investment manager	—		5.1

Other	209.7		215.2
TOTAL ASSETS	$	25,778.4	$	25,814.0
LIABILITIES
Loans payable, at fair value (principal outstanding: $760.8 and $892.4)	729.4		830.3
Line of credit, at fair value (principal outstanding: $250.0 and $160.0)	250.0		160.0
Other unsecured debt, at fair value (principal outstanding: $1,600.0 and $1,600.0)	1,550.4		1,568.7
Due to investment manager	27.9		—
Accrued real estate property expenses	194.1		211.7

Payable for securities purchased	19.9		223.6
Other	55.6		53.1
TOTAL LIABILITIES	$	2,827.3	$	3,047.4
COMMITMENTS AND CONTINGENCIES
NET ASSETS
Accumulation Fund	22,498.8		22,312.7
Annuity Fund	452.3		453.9
TOTAL NET ASSETS	$	22,951.1	$	22,766.6
NUMBER OF ACCUMULATION UNITS OUTSTANDING	46.0		46.5
NET ASSET VALUE, PER ACCUMULATION UNIT	$	489.635	$	479.558

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions, Unaudited)


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2026		2025		2026		2025
INVESTMENT INCOME
Real estate income, net:
Rental income	$	314.5	$	314.9	$	618.3	$	636.7
Real estate property level expenses and taxes:
Operating expenses	73.9		73.9		156.5		156.8
Real estate taxes	44.1		45.5		87.5		91.4
Interest expense	10.3		13.2		21.4		33.3
Total real estate property level expenses	128.3		132.6		265.4		281.5
Real estate income, net	186.2		182.3		352.9		355.2
Income from real estate joint ventures	40.6		45.2		83.8		96.7
Income from real estate funds	(0.4)		2.7		3.0		14.9
Interest income	24.3		28.4		49.8		64.8


TOTAL INVESTMENT INCOME	250.7		258.6		489.5		531.6
Expenses:
Investment management charges	18.3		15.8		36.6		34.4
Administrative charges	13.2		13.1		28.2		28.5
Distribution charges	2.6		2.0		5.1		5.1

Liquidity guarantee charges	15.9		15.8		31.6		31.4
Interest expense	20.9		10.5		41.6		20.1
TOTAL EXPENSES	70.9		57.2		143.1		119.5
INVESTMENT INCOME, NET	179.8		201.4		346.4		412.1
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT
Net realized gain (loss) on:
Real estate properties	39.1		(482.6)		(50.6)		(670.0)
Real estate joint ventures	(1.0)		(13.0)		(62.2)		(3.5)
Real estate funds	—		—		25.7		—
Foreign currency translation	—		0.1		—		0.1


Loans receivable	—		(92.9)		(56.0)		(92.9)
Loans payable	—		61.7		34.7		61.7
Net realized gain (loss) on investments and debt	38.1		(526.7)		(108.4)		(704.6)
Net change in unrealized gain (loss) on:
Real estate properties	(76.1)		501.2		(49.8)		612.4
Real estate joint ventures	68.4		(46.1)		128.5		35.0
Real estate funds	(28.4)		5.4		(50.6)		1.7
Real estate operating business	161.5		(27.8)		170.9		(28.0)

Marketable securities	(0.2)		0.1		(0.4)		—
Loans receivable	(5.6)		85.5		49.8		86.3

Loans payable	(5.9)		(1.0)		(30.7)		3.3
Other unsecured debt	3.4		(7.8)		18.3		(14.3)
Net change in unrealized gain (loss) on investments and debt	117.1		509.5		236.0		696.4
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT	155.2		(17.2)		127.6		(8.2)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	335.0	$	184.2	$	474.0	$	403.9

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS

(In millions, Unaudited)


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2026		2025		2026		2025
FROM OPERATIONS
Investment income, net	$	179.8	$	201.4	$	346.4	$	412.1
Net realized gain (loss) on investments and debt	38.1		(526.7)		(108.4)		(704.6)
Net change in unrealized gain (loss) on investments and debt	117.1		509.5		236.0		696.4
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	335.0		184.2		474.0		403.9
FROM TRANSACTIONS BY CONTRACT OWNERS AND TIAA
Premiums	602.8		648.8		1,284.5		1,462.8

Annuity payments	(10.6)		(10.8)		(21.2)		(21.8)
Death benefits	(42.6)		(35.2)		(75.5)		(68.1)
Withdrawals	(669.7)		(692.1)		(1,477.3)		(1,588.2)
NET (DECREASE) INCREASE IN NET ASSETS RESULTING FROM TRANSACTIONS BY CONTRACT OWNERS AND TIAA	(120.1)		(89.3)		(289.5)		(215.3)
NET INCREASE (DECREASE) IN NET ASSETS	214.9		94.9		184.5		188.6
NET ASSETS
Beginning of period	22,736.2		22,580.6		22,766.6		22,486.9
End of period	$	22,951.1	$	22,675.5	$	22,951.1	$	22,675.5

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions, Unaudited)


	For the Six Months Ended June 30,
	2026		2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net increase in net assets resulting from operations	$	474.0	$	403.9
Adjustments to reconcile net changes in net assets resulting from operations to net cash provided by (used in) operating activities:
Net realized (gain) loss on investments	108.4		704.6
Net change in unrealized (gain) loss on investments and debt	(236.0)		(696.4)
Purchase of real estate properties	(351.9)		(435.4)
Capital improvements on real estate properties	(119.0)		(139.1)
Proceeds from sales of real estate properties	356.7		462.0
Purchases of real estate joint ventures, funds and operating business	(126.8)		(335.2)
Proceeds from sales of other real estate investments	120.6		286.8
Purchases and originations of loans receivable	(5.4)		(6.2)
Purchases and originations of loans receivable with related parties	(0.1)		(0.1)

Proceeds from payoffs of loans receivable	188.2		0.6
Proceeds from payoffs of loans receivable from related parties	—		27.8
Decrease (Increase) in other investments	92.3		55.8
Net change in from/due to investment manager	33.0		(9.9)

(Decrease) in payable for securities purchased	(223.6)		—
Decrease (Increase) in other assets	5.8		(23.5)
(Decrease) Increase in other liabilities	(14.3)		(38.0)
NET CASH PROVIDED BY OPERATING ACTIVITIES	301.9		257.7
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from line of credit borrowings	90.0		219.0




Payments of mortgage loans	(87.5)		(371.9)
Premiums	1,284.5		1,462.8

Annuity payments	(21.2)		(21.8)
Death benefits	(75.5)		(68.1)
Withdrawals	(1,477.3)		(1,588.2)
NET CASH USED IN FINANCING ACTIVITIES	(287.0)		(368.2)
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, CASH HELD BY WHOLLY OWNED PROPERTIES AND RESTRICTED CASH	14.9		(110.5)
CASH, CASH EQUIVALENTS, CASH HELD BY WHOLLY OWNED PROPERTIES AND RESTRICTED CASH
Beginning of period cash, cash equivalents, cash held by wholly owned properties and restricted cash	213.8		323.9
Net (decrease) increase in cash, cash equivalents, cash held by wholly owned properties and restricted cash	14.9		(110.5)
End of period cash, cash equivalents, cash held by wholly owned properties and restricted cash	$	228.7	$	213.4
SUPPLEMENTAL DISCLOSURES
Cash paid for interest	$	65.1	$	51.7
SUPPLEMENTAL NON-CASH DISCLOSURES
Loan assignment as part of a real estate disposition	$	—	$	227.0

Loan receivable forgiven or extinguished	$	56.0	$	—
Debt forgiven in disposition of property	$	—	$	50.0
Debt extinguished in disposition of property	$	44.1	$	—
Conversion of loan receivable from related parties to equity	$	28.5	$	—
Marketable securities purchase pending settlement	$	19.9	$	—
Interest forgiven in disposition of property	$	—	$	11.7

See notes to the consolidated financial statements

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Statements of Assets and Liabilities that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows (in millions):


	As of June 30,
	2026		2025
Cash, cash equivalents and cash held by wholly owned properties	$	202.8	$	179.5
Restricted cash(1)	25.9		33.9
TOTAL CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	228.7	$	213.4

(1) Restricted cash is included within other assets in the Consolidated Statements of Assets and Liabilities.

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1—Organization and Significant Accounting Policies

Business: The TIAA Real Estate Account (“Account”) is an insurance separate account of Teachers Insurance and Annuity Association of America (“TIAA”) and was established by resolution of TIAA’s Board of Trustees (the “Board”) on February 22, 1995, under the insurance laws of the State of New York, for the purpose of funding variable annuity contracts issued by TIAA. The Account offers individual and group accumulating annuity contracts (with contributions made on a pre-tax or after-tax basis), as well as individual lifetime and term-certain variable payout annuity contracts (including the payment of death benefits to beneficiaries). Investors are entitled to transfer funds to or from the Account, and make withdrawals from the Account on a daily basis, under certain circumstances. Funds invested in the Account for each category of contract are expressed in terms of units, and unit values will fluctuate depending on the Account’s performance.

The investment objective of the Account is to seek favorable total returns primarily through the rental income and appreciation of a diversified portfolio of directly held, private real estate investments and real estate-related investments while offering investors guaranteed, daily liquidity. The Account holds real estate properties directly and through subsidiaries wholly-owned by TIAA for the sole benefit of the Account. The Account also holds limited interests in real estate joint ventures, funds and operating business, as well as investments in loans receivable with commercial real estate properties as underlying collateral. Additionally, the Account invests in real estate-related and non-real estate-related publicly traded securities, cash and other instruments to maintain adequate liquidity levels for operating expenses, capital expenditures and to fund benefit payments (withdrawals, transfers and related transactions).

Segment Reporting: The Account has identified the Managing Director, Portfolio Management, and Head of TIAA Real Estate Account and Senior Director, Annuities Product Management, as the chief operating decision makers (“CODMs”), who use Investment Income, Net and Net Change in Net Assets Resulting from Operations, as presented in the Consolidated Statements of Operations, to evaluate the results of operations and to manage the Account. The measure of segment assets is reported on the Consolidated Statements of Assets and Liabilities as Total Assets. The Account’s operations constitute a single operating segment and therefore, a single reportable segment, because the CODMs manage the business activities using information of the Account as a whole. The accounting policies used to measure the profit and loss of the segment are the same as those described below. The Account has no major tenants.

Interim Financial Information: The Consolidated Financial Statements of the Account as of June 30, 2026 and for the three and six months ended June 30, 2026 and 2025 are unaudited and include all adjustments necessary to present a fair statement of results for the interim periods presented. Results of operations for the interim periods are not necessarily indicative of results for the entire year. These Consolidated Financial Statements have been prepared in accordance with the applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted from this report pursuant to the rules of the SEC. As a result, these Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and notes thereto included in the Account’s Annual Report on Form 10-K for the year ended December 31, 2025 (“2025 Form 10-K”).

Use of Estimates: The Consolidated Financial Statements were prepared in accordance with GAAP, which requires the use of estimates made by management. Actual results may vary from those estimates and such differences may be material.

Basis of Presentation: The accompanying Consolidated Financial Statements include the Account and those subsidiaries wholly-owned by TIAA for the benefit of the Account. Certain prior period amounts have been reclassified for comparative purposes to conform to the current period financial statement presentation. These

reclassifications had no effect on previously reported results of operations. All significant intercompany accounts and transactions between the Account and such subsidiaries have been eliminated.

The Accumulation Unit Value (“AUV”) used for financial reporting purposes may differ from the AUV used for processing transactions. The AUV used for financial reporting purposes includes security and contract owner transactions, as well as purchases and sales of liquidity units by TIAA, effective through the period end date to which this report relates. Total return is computed based on the AUV used for processing transactions.

Significant Accounting Policy Updates: There have been no changes to the Account’s significant accounting policies as described in the Account’s 2025 Form 10-K.

Recent Accounting Pronouncements: In November 2024, the FASB issued ASU No. 2024-03, Income Statement— Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40). The amendments in ASU 2024-03 improve financial reporting by requiring that public business entities disclose additional information about specific expense categories in the notes to financial statements at interim and annual reporting periods. This information is generally not presented in the financial statements today. The amendments in ASU 2024-03 are effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Early adoption is permitted. Management is currently assessing the impact this standard will have on our Consolidated Financial Statements as well as the method by which we will adopt the new standard.

In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270) Narrow Scope Improvements (“ASU 2025-11”). The amendments in ASU 2025-11 provide a comprehensive list of interim disclosures that are required by GAAP. ASU 2025-11 also includes a disclosure principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. The amendments in ASU 2025-11 are effective for interim reporting periods within annual reporting periods beginning after December 15, 2027, for public business entities and for interim reporting periods within annual reporting periods beginning after December 15, 2028, for entities other than public business entities. Early adoption is permitted. Management is currently assessing the impact this standard will have on our Consolidated Financial Statements as well as the method by which we will adopt the new standard.

Note 2—Related Party Transactions

Investment management, administrative and distribution services are provided on an at-cost basis to the Account by TIAA and one of its subsidiaries. All such services provided at cost are paid by the Account on a daily basis based upon projected expenses to be provided to the Account. Payments are adjusted periodically to ensure daily payments are as close as possible to the Account’s actual expenses incurred. Differences between actual expenses and the amounts paid by the Account are reconciled and adjusted quarterly.

Investment management services for the Account are provided by TIAA officers, under the direction and control of the Board, pursuant to investment management procedures adopted by TIAA for the Account. TIAA’s investment management guidelines for the Account are subject to review by the Account’s independent fiduciary. TIAA also provides various portfolio accounting and related services for the Account.

Part of TIAA’s compensation for provision of at cost investment management services to the Account includes reimbursement of costs incurred by TIAA to manage certain of the Account’s joint ventures. Such joint ventures also reimburse the Account directly in its capacity as general partner or managing member (collectively, the “GP”) of the joint venture in the form of an asset management fee for GP-related services provided by the Account, and such fee is based on a percentage of the fair market value of the underlying properties held in the joint venture.

The Account is a party to a distribution agreement for the contracts issued by TIAA and funded by the Account, dated January 1, 2008 (the “Distribution Agreement”), by and among TIAA, for itself and on behalf of the Account, and TIAA-CREF Individual and Institutional Services, LLC (“Services”), a wholly-owned subsidiary of TIAA, a registered broker-dealer and a member of the Financial Industry Regulatory Authority. Pursuant to the Distribution Agreement, Services performs distribution services for the Account which include, among other things, (i) distribution of annuity contracts issued by TIAA and funded by the Account, (ii) advising existing annuity contract owners in connection with their accumulations and (iii) helping employers implement and manage retirement plans.

In addition, TIAA performs administrative functions for the Account, which include, among other things, (i) maintaining accounting records and performing accounting services, (ii) receiving and allocating premiums, (iii) calculating and making annuity payments, (iv) processing withdrawal requests, (v) providing regulatory compliance and reporting services, (vi) maintaining the Account’s records of contract ownership and (vii) otherwise assisting generally in all aspects of the Account’s operations. Both distribution services (pursuant to the Distribution Agreement) and administrative services are provided to the Account by Services and TIAA, as applicable, on an at cost basis. The Distribution Agreement is terminable by either party upon 60 days written notice and terminates automatically upon any assignment thereof.

In addition to providing the services described above, TIAA may charge the Account fees to bear certain mortality and expense risks and risks with providing the liquidity guarantee. These fees are charged as a percentage of the net assets of the Account. Rates for these fees are established annually.

Once an Account contract owner begins receiving lifetime annuity income benefits, payment levels cannot be reduced as a result of the Account’s actual mortality experience. As such, mortality and expense risk are contractual charges for TIAA’s assumption of this risk.

TIAA provides the Account with a liquidity guarantee enabling the Account to have funds available to meet contract owner redemption, transfer or cash withdrawal requests. The liquidity guarantee is required by the New York State Department of Financial Services and is subject to a prohibited transaction exemption that the Account received in 1996 from the U.S. Department of Labor (“PTE 96-76”). The Account pays TIAA for the risk associated with providing the liquidity guarantee through a daily deduction from the Account’s net assets. Whether the liquidity guarantee is exercised is based on the cash level of the Account from time to time, as well as recent contract owner withdrawal activity and the Account’s expected working capital, debt service and cash needs, and subject to the oversight of the Account's independent fiduciary. If the Account cannot fund contract owner withdrawal or redemption requests from the Account’s own cash flow and liquid investments, TIAA will fund them by purchasing accumulation units issued by the Account (accumulation units that are purchased by TIAA are generally referred to as “liquidity units”). TIAA guarantees that contract owners can redeem their accumulation units at the accumulation unit value next determined after their transfer or cash withdrawal request is received in good order. Liquidity units owned by TIAA are valued in the same manner as accumulation units owned by the Account’s contract owners.

Pursuant to its existing liquidity guarantee obligation, beginning August 31, 2023 through the year ended December 31, 2025, the TIAA General Account purchased a cumulative total of 1.8 million liquidity units issued by the Account, amounting to $911.3 million. The Account did not experience significant net contract owner outflows during the second quarter of 2026, and the TIAA General Account was not required to purchase any liquidity units. The independent fiduciary, which has the right to adjust the percentage of total accumulation units that TIAA’s ownership should not exceed (the “trigger point”), has established the trigger point at 45% of the outstanding accumulation units. As of June 30, 2026, the TIAA General Account owned approximately 4.03% of the outstanding accumulation units of the Account. The independent fiduciary will continue to monitor TIAA's ownership interest in the Account and provide further recommendations as necessary.

Expenses for the services and fees described above are identified as such in the accompanying Consolidated Statements of Operations and are further identified as "Expenses" in Note 14—Financial Highlights.

The Account has loans receivable outstanding with related parties as of June 30, 2026. Two of the loans are with a joint venture partner and the other loans are with joint ventures in which the Account also has an equity interest. The loans are held at fair value in accordance with the valuation policies described in Note 1—Organization and Significant Accounting Policies of the Account's 2025 Form 10-K. References to "SOFR" in the table below and elsewhere in these Notes mean the Secured Overnight Financing Rate, a benchmark interest rate based on the U.S. Treasury bond repurchase market for U.S. dollar-denominated instruments. The following table presents the key terms of the loans as of the reporting date (in millions):


Principal				Related Party	Equity Ownership Interest	Interest Rate	Maturity Date	Fair Value at
June 30, 2026		December 31, 2025						June 30, 2026		December 31, 2025

$	4.8	$	4.8	MR MCC 3 Sponsor, LLC(1)	—%	6.00%	12/1/2025	$	4.8	$	4.8
36.5		36.5		MRA Hub 34 Holding, LLC	95.00%	2.50% + SOFR	12/15/2026	36.5		36.5
0.5		0.5		MRA 34 LLC(1)	—%	3.75% + SOFR	12/15/2026	0.5		0.5

—		28.5		TREA SV 355 West 52nd Street	95.00%	5.20%	6/14/2027	—		28.5
TOTAL LOANS RECEIVABLE WITH RELATED PARTIES								$	41.8	$	70.3

(1) The loan is currently in default.

Note 3—Concentrations of Risk

Concentrations of risk may arise when a number of properties are located in a similar geographic region such that the economic conditions of that region could impact tenants’ obligations to meet their contractual obligations or cause the values of individual properties to decline. Additionally, concentrations of risk may arise if any one tenant comprises a significant amount of the Account's rent, or if tenants are concentrated in a particular industry.

As of June 30, 2026, the Account had no significant concentrations of tenants as no single tenant had annual contract rent that made up more than 4% of the rental income of the Account. Moreover, the Account's tenants have no notable concentration present in any one industry.

The Account’s wholly-owned real estate investments and investments in joint ventures are primarily located in the United States. The following table represents the diversification of the Account’s portfolio by region and property type as of June 30, 2026:


Diversification by Fair Value(1)
	West(2)		South(3)		East(4)		Midwest(5)		Foreign(6)		Total
Industrial	18.5	%	12.2	%	3.6	%	2.1	%	—	%	36.4	%
Apartment	7.1	%	10.4	%	7.8	%	1.0	%	—	%	26.3	%
Office	4.8	%	5.2	%	6.9	%	0.3	%	—	%	17.2	%
Retail	4.5	%	4.7	%	2.4	%	1.2	%	—	%	12.8	%
Other(7)	2.0	%	2.5	%	1.7	%	0.3	%	0.8	%	7.3	%
Total	36.9	%	35.0	%	22.4	%	4.9	%	0.8	%	100.0	%

(1)Wholly-owned properties are represented at fair value and gross of any debt, while joint venture properties are represented at the net equity value.

(2)Properties in the “West” region are located in: AK, AZ, CA, CO, HI, ID, MT, NM, NV, OR, UT, WA, WY.

(3)Properties in the “South” region are located in: AL, AR, FL, GA, LA, MS, OK, TN, TX.

(4)Properties in the “East” region are located in: CT, DC, DE, KY, MA, MD, ME, NC, NH, NJ, NY, PA, RI, SC, VA, VT, WV.

(5)Properties in the “Midwest” region are located in: IA, IL, IN, KS, MI, MN, MO, ND, NE, OH, SD, WI.

(6)Represents developable land investments in Ireland and United Kingdom.

(7)Represents interests in Storage Portfolio investments, a hotel investment and land.

Note 4—Leases

The Account’s wholly-owned real estate properties are leased to tenants under operating lease agreements which expire on various dates through 2115. Rental income is recognized in accordance with the billing terms of the lease agreements. The leases do not have material variable payments, material residual value guarantees or material restrictive covenants. Certain leases have the option to extend or terminate at the tenant's discretion, with termination options resulting in additional fees due to the Account. Aggregate minimum annual rentals for wholly-owned real estate investments owned by the Account through the non-cancelable lease term, excluding short-term residential leases, as of June 30, 2026 and December 31, 2025, are as follows (in millions):


	As of
Years Ended	June 30, 2026			December 31, 2025
2026	$	291.1	(1)	$	584.2
2027	570.6			543.6
2028	493.5			461.1
2029	424.2			388.5
2030	360.5			319.7
Thereafter	1,225.3			1,129.0
Total	$	3,365.2		$	3,426.1

(1) Representative of minimum rents owed for the remaining months of the calendar year ending December 31, 2026.

Certain leases provide for additional rental amounts based upon the recovery of actual operating expenses in excess of specified base amounts, sales volume or contractual increases as defined in the lease agreement. These contractual contingent rentals are not included in the table above.

The Account has ground leases for which the Account is the lessee. The leases do not contain material residual value guarantees or material restrictive covenants. The fair value of right-of-use assets and lease liabilities related to ground leases are reflected on the balance sheet within other assets and other liabilities, respectively.

The fair values and key terms of the right-of-use assets and lease liabilities related to the Account's ground leases are as follows (in millions):


	As of
	June 30, 2026			December 31, 2025

Assets:
Right-of-use assets, at fair value	$	37.5		$	36.6
Liabilities:
Ground lease liabilities, at fair value	$	37.5		$	36.6
Key Terms:
Weighted-average remaining lease term (years)	60			59.8
Weighted-average discount rate(1)	9.21		%	9.03		%

(1) Discount rates are reflective of the rates utilized during the most recent appraisal of the associated real estate investments.

For the six months ended June 30, 2026 and 2025, operating lease costs related to ground leases were $1.4 million and $1.2 million, respectively. These costs include variable lease costs, which are immaterial. Aggregate future minimum annual payments for ground leases held by the Account are as follows (in millions):


	As of
	June 30, 2026			December 31, 2025
Years Ended
2026	$	1.5	(1)	$	2.7
2027	3.1			2.7
2028	3.1			2.8
2029	3.2			2.8
2030	3.2			2.9
Thereafter	480.9			451.8
Total	$	495.0		$	465.7

(1) Representative of minimum rents owed for the remaining months of the calendar year ending December 31, 2026.

Note 5—Assets and Liabilities Measured at Fair Value on a Recurring Basis

Valuation Hierarchy: The Account’s fair value measurements are grouped into three levels, as defined by the FASB. The levels are defined as follows:

•Level 1 fair value inputs are quoted prices for identical items in active, liquid and visible markets such as stock exchanges.

•Level 2 fair value inputs are observable information for similar items in active or inactive markets, and appropriately consider counterparty creditworthiness in the valuations.

•Level 3 fair value inputs reflect our best estimate of inputs and assumptions market contract owners would use in pricing an asset or liability at the measurement date. The inputs are unobservable in the market and significant to the valuation estimate.

An asset or liability's categorization within the valuation hierarchy described above is based upon the lowest level of input that is significant to the fair value measurement. Real estate fund investments are excluded from the valuation hierarchy, as these investments are fair valued using their net asset value as a practical expedient since market quotations or values from independent pricing services are not readily available. See Note 1—Organization and Significant Accounting Policies of the Account's 2025 Form 10-K for further discussion regarding the use of a practical expedient for the valuation of real estate funds.

The following tables show the major categories of assets and liabilities measured at fair value on a recurring basis as of June 30, 2026 and December 31, 2025, using unadjusted quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3) (in millions):


Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Total at June 30, 2026
Real estate properties	$	—	$	—	$	15,978.2	$	15,978.2
Real estate joint ventures	—		—		5,206.6		5,206.6

Real estate operating business	—		—		1,245.1		1,245.1
Marketable securities:

U.S. government agency notes	—		763.3		—		763.3
U.S treasury securities	—		475.3		—		475.3
Reverse repurchase agreements	—		417.2		—		417.2


Loans receivable(1)	—		—		474.0		474.0

Loans payable	—		—		(729.4)		(729.4)
Line of credit	—		—		(250.0)		(250.0)
Other unsecured debt	—		(1,550.4)		—		(1,550.4)


Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Total at December 31, 2025
Real estate properties	$	—	$	—	$	15,975.4	$	15,975.4
Real estate joint ventures	—		—		5,098.8		5,098.8

Real estate operating business	—		—		1,072.6		1,072.6
Marketable securities:
U.S. government agency notes	—		621.1		—		621.1

U.S. treasury securities	—		899.4		—		899.4
Reverse repurchase agreements	—		208.2		—		208.2

Loans receivable(1)	—		—		690.4		690.4

Loans payable	—		—		(830.3)		(830.3)
Line of credit	—		—		(160.0)		(160.0)
Other unsecured debt	—		(1,568.7)		—		(1,568.7)

(1) Includes loans receivable with related parties.

The following tables show the reconciliation of the beginning and ending balances for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three and six months ended June 30, 2026 and 2025 (in millions):


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(2)		Total Level 3 Investments		Loans Payable		Line of Credit
For the three months ended June 30, 2026
Beginning balance April 1, 2026	$	16,023.0	$	5,136.9	$	1,082.0	$	564.3	$	22,806.2	$	(809.8)	$	(160.0)
Total realized and unrealized gains (losses) included in changes in net assets	(37.0)		67.4		161.5		(5.6)		186.3		(5.9)		—
Purchases(1)	170.2		11.6		1.6		2.2		185.6		—		(90.0)
Sales	(178.0)		—		—		—		(178.0)		—		—
Settlements(3)	—		(9.3)		—		(86.9)		(96.2)		86.3		—
Ending balance June 30, 2026	$	15,978.2	$	5,206.6	$	1,245.1	$	474.0	$	22,903.9	$	(729.4)	$	(250.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(2)		Total Level 3 Investments		Loans Payable		Line of Credit
For the six months ended June 30, 2026
Beginning balance January 1, 2026	$	15,975.4	$	5,098.8	$	1,072.6	$	690.4	$	22,837.2	$	(830.3)	$	(160.0)
Total realized and unrealized gains (losses) included in changes in net assets	(100.4)		66.3		170.9		(6.2)		130.6		4.0		—
Purchases(1)	469.3		70.0		1.6		5.5		546.4		—		(90.0)
Sales	(366.1)		—		—		—		(366.1)		—		—
Settlements(3)	—		(28.5)		—		(215.7)		(244.2)		96.9		—
Ending balance June 30, 2026	$	15,978.2	$	5,206.6	$	1,245.1	$	474.0	$	22,903.9	$	(729.4)	$	(250.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(2)		Total Level 3 Investments		Loans Payable		Line of Credit
For the three months ended June 30, 2025
Beginning balance April 1, 2025	$	15,546.3	$	5,234.5	$	1,058.8	$	852.6	$	22,692.2	$	(1,355.8)	$	—
Total realized and unrealized gains (losses) included in changes in net assets	18.6		(59.1)		(27.8)		(7.4)		(75.7)		60.7		—
Purchases(1)	392.6		47.6		2.1		4.2		446.5		—		(219.0)
Sales	(506.5)		—		—		—		(506.5)		—		—
Settlements(3)	—		(2.2)		—		(0.3)		(2.5)		361.8		—
Ending balance June 30, 2025	$	15,451.0	$	5,220.8	$	1,033.1	$	849.1	$	22,554.0	$	(933.3)	$	(219.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(2)		Total Level 3 Investments		Loans Payable		Line of Credit
For the six months ended June 30, 2025
Beginning balance January 1, 2025	$	15,607.0	$	5,381.4	$	931.8	$	877.8	$	22,798.0	$	(1,585.5)	$	—
Total realized and unrealized gains (losses) included in changes in net assets	(57.6)		31.5		(28.0)		(6.6)		(60.7)		65.0		—
Purchases(1)	578.9		91.3		129.3		6.3		805.8		—		(219.0)
Sales	(677.3)		—		—		—		(677.3)		—		—
Settlements(3)	—		(283.4)		—		(28.4)		(311.8)		587.2		—
Ending balance June 30, 2025	$	15,451.0	$	5,220.8	$	1,033.1	$	849.1	$	22,554.0	$	(933.3)	$	(219.0)

(1)Includes purchases, contributions for joint ventures, capital expenditures, lending for loans receivable, assumption of loans payable and line of credit borrowings.

(2)Includes loans receivable with related parties.

(3) Includes operating income for real estate joint ventures net of distributions, payments of loans receivable, and payments of loans payable.

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements as of June 30, 2026.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.8% - 12.8% (8.5%)

5.5% - 9.5% (6.9%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

5.0% - 12.5% (7.0%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.7% - 8.5% (7.2%)

5.3% - 6.8% (5.7%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.0% - 6.3% (5.2%)

Residential

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.5% - 7.8% (7.0%)

5.3% - 6.3% (5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.3% - 5.8% (5.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.5% - 12.0% (7.5%)

5.3% - 9.5% (6.3%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

5.0% - 9.0% (6.1%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

10.0%

8.0%

Income Approach—Direct Capitalization

Overall Capitalization Rate

6.5%

Land

Sales Comparison Approach

Price per projected unit

$55.00 - $149.79 ($102.82)(2)

Real Estate Operating

Business(3)

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Growth Rate

Terminal EBITDA Multiple

13.5%

11.9%

20.0x

Market Approach

EBITDA Multiple

34.3x

Loans Receivable, including those with related parties

Office

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

53.4% - 71.2% (57.9%)

6.4% - 6.4% (6.4%)

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Residential

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

56.4% - 56.4% (56.4%)

8.3% - 8.3% (8.3%)

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

41.5% - 54.9% (50.9%)

5.6% - 7.3% (6.6%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

41.5% - 54.9% (50.9%)

1.1 - 1.2 (1.2)

Industrial

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

30.3% - 40.0% (34.8%)

5.6% - 5.7% (5.6%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

30.3% - 40.0% (34.8%)

1.1 - 1.1 (1.1)

Residential

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

44.5% - 71.2% (54.5%)

5.0% - 6.2% (5.5%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

44.5% - 71.2% (54.5%)

1.2 - 1.5 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

48.4% - 76.1% (55.5%)

5.7% - 7.1% (6.5%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

48.4% - 76.1% (55.5%)

1.2- 1.7 (1.3)

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements as of December 31, 2025.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.8% - 11.0% (8.5%)

5.5% - 10.3% (6.9%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

5.0% - 12.5% (6.9%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.5% - 8.1% (7.2%)

5.2% - 6.8% (5.6%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

3.8% - 6.3% (5.2%)

Residential

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.5% - 9.3% (7.0%)

5.0% - 7.8% (5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.8% - 7.0% (5.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

6.5% - 12.0% (7.4%)

5.5% - 9.5% (6.3%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

5.0% - 9.0% (6.0%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate

Terminal Capitalization Rate

10.0%

8.0%

Income Approach—Direct Capitalization

Overall Capitalization Rate

7.8%

Land

Sales Comparison Approach

Price per projected unit

$55.00 - $140.00 ($101.00)(2)

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Operating

Business(3)

Income Approach—Discounted Cash Flow

Discount Rate

13.0%

Terminal Growth Rate

11.4

Market Approach

EBITDA Multiple

30.3x

Terminal EBITDA Multiple

20.0x

Loans Receivable,
including those with
related parties

Office

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

55.0% - 73.3% (63.6%)

6.2% - 9.3% (6.7%)

Industrial

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

51.6% - 68.8% (55.9%)

5.3% - 8.3% (6.0%)

Residential

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

58.3% - 61.7% (60.6%)

7.0% - 8.3% (7.4%)

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

42.4% - 80.0% (71.4%)

5.8% - 6.7% (6.5%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

42.4% - 80.0% (71.4%)

1.1 - 1.9 (1.7)

Industrial

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

30.3% - 40.6% (35.1%)

5.4% - 5.9% (5.6%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital Risk Premium Multiple

30.3% - 40.6% (35.1%)

1.1 - 1.1 (1.1)

Residential

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

44.8% - 72.8% (56.3%)

4.7% - 6.0% (5.2%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital

Risk Premium Multiple

44.8% - 72.8% (56.3%)

1.2 - 1.5 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio

Equivalency Rate

48.7% - 75.4% (53.9%)

5.5% - 7.3% (6.3%)

Net Present Value

Loan to Value Ratio

Weighted Average Cost of Capital

Risk Premium Multiple

48.7% - 75.4% (53.9%)

1.2 - 1.6 (1.3)

(1) Equivalency Rate is defined as the prevailing market interest rate used to discount the contractual loan payments.

(2) Calculated per Floor Area Ratio and applied to the planned building area that can be constructed on site.

(3) The fair value measurement was additionally based upon information developed by the third-party valuation provider (including recent transactions), corroborated by the Independent Fiduciary for reasonableness. The valuation of the real estate operating business is then determined based on a weighting of the income approach - discounted cash flow, market approach, and transactions. Transactions for these measurements were utilized in the December 31, 2025 10-K report and not in the current report as of June 30, 2026.

Significant increases (decreases) in any of those inputs in isolation would result in significantly lower (higher) fair value measurements, respectively, with the exception of the price per projected unit for land and terminal growth rate, terminal EBITDA and EBITDA multiple applied to the real estate operating business, for which significant increases (decreases) in isolation would result in significantly higher (lower) fair value measurements, respectively.

Line of Credit: The Account's line of credit under the Credit Agreement are recorded at par as Management believes par approximates fair value due to the short-term nature of the Credit Agreement.

During the six months ended June 30, 2026 and 2025, there were no transfers between Levels 1, 2 or 3.

The amount of total net unrealized (losses) gains included in changes in net assets relating to Level 3 investments and loans payable using significant unobservable inputs still held as of the reporting date is as follows (millions):


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(1)		Total Level 3 Investments		Loans Payable
For the Three Months ended June 30, 2026	$	(39.7)	$	79.1	$	161.5	$	(5.7)	$	195.2	$	(5.9)
For the Six Months ended June 30, 2026	$	(42.4)	$	97.2	$	170.9	$	(6.7)	$	219.0	$	(5.6)
For the Three Months ended June 30, 2025	$	102.0	$	(56.7)	$	(27.8)	$	(7.3)	$	10.2	$	(1.1)
For the Six Months ended June 30, 2025	$	34.7	$	36.3	$	(28.0)	$	(6.5)	$	36.5	$	3.2

(1) Amount shown is reflective of loans receivable and loans receivable with related parties.

Note 6—Investments in Joint Ventures

The Account owns interests in several real estate properties through joint ventures and receives distributions and allocations of profits and losses from the joint ventures based on the Account’s ownership interest in those investments. Several of these joint ventures have loans payable collateralized by the properties owned by the aforementioned joint ventures. At June 30, 2026, the Account held investments in joint ventures with ownership interest percentages that ranged from 2.0% to 98.78%. Certain joint ventures are subject to adjusted distribution percentages when earnings in the investment reach a predetermined threshold.

A condensed summary of the results of operations of the combined joint ventures is shown below (millions):


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2026		2025		2026		2025
Operating Revenue and Expenses
Revenues	$	258.5	$	263.7	$	521.3	$	543.6
Expenses	157.9		170.1		326.6		358.0
Excess of revenues over expenses	$	100.6	$	93.6	$	194.7	$	185.6

Note 7—Investments in Real Estate Funds

The Account has ownership interests in real estate funds (each a “Fund”, and collectively the “Funds”). The Funds are set up as limited partnerships or entities similar to a limited partnership, and as such, meet the definition of a Variable Interest Entity ("VIE") as the limited partners collectively lack the power, through voting or similar rights, to direct the activities of the Fund that most significantly impact the Fund's economic performance. Management has determined that the Account is not the primary beneficiary for any of the Funds, as the Account lacks the power to direct the activities of each Fund that most significantly impact the respective Fund's economic performance, and the Account further lacks substantive kick-out rights to remove the entity with these powers. Refer to Note 1—Organization and Significant Accounting Policies of the Account's 2025 Form 10-K for a description of the methodology used to determine the primary beneficiary of a VIE.

No financial support (such as loans or financial guarantees) was provided to the Funds during the six months ended June 30, 2026. The Account is contractually obligated to make additional capital contributions in certain Funds in future years. These commitments are included in the maximum exposure to loss presented below.

The carrying amount and maximum exposure to loss relating to unconsolidated VIEs in which the Account holds a variable interest but is not the primary beneficiary were as follows at June 30, 2026 (in millions):


Fund Name	Carrying Amount		Maximum Exposure to Loss		Liquidity Provisions	Investment Strategy
LCS SHIP Venture I, LLC (90.0% Account Interest)	$	3.8	$	3.8	Redemptions prohibited prior to liquidation.	To invest in senior housing properties.
					The fund is currently in liquidation.
					The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.
Veritas - Trophy VI, LLC (90.4% Account Interest)	$	120.0	$	120.0	Redemptions prohibited prior to liquidation.	To invest in multi-family properties primarily in the San Francisco Bay and Los Angeles metropolitan statistical area ("MSA").
					The Account can sell or transfer its interest in the fund with the consent and approval of the manager.

SP V - II, LLC (61.8% Account Interest)	$	63.1	$	68.7	Redemptions prohibited prior to liquidation.	To invest in medical office properties in the U.S.
					Liquidation estimated to begin no earlier than 2029.
					The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.
Taconic New York City GP Fund, LP (60.0% Account Interest)	$	4.2	$	4.2	Redemptions prohibited prior to liquidation.	To invest in real estate and real estate-related assets in the New York City MSA.
					The fund is currently in liquidation
					The Account is permitted to sell its interest in the fund, subject to consent and approval of the general partner.
Silverpeak NRE FundCo LLC (90.0% Account Interest)	$	97.4	$	134.5	Redemptions prohibited prior to liquidation.	To invest in alternative real estate investments primarily in major U.S. metropolitan markets.
					Sales have commenced and the Account anticipates liquidation will continue through 2029.
					The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
IDR - Core Property Index Fund, LLC (0.7% Account Interest)	$	34.4	$	34.4	Redemptions are permitted for a full calendar quarter and upon at least 90 days prior written notice, subject to fund availability.	To invest primarily in open-ended funds that fall within the NFI-ODCE Index and are actively managed.

					The Account is permitted to sell its interest in the fund, subject to consent and approval of the manager.
Townsend Group Value-Add Fund (99.0% Account Interest)	$	157.9	$	179.9	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the U.S. market.
					Liquidation estimated to begin no earlier than 2027.
					The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion


Fund Name	Carrying Amount		Maximum Exposure to Loss		Liquidity Provisions	Investment Strategy
Flagler REA Healthcare Properties Partnership (90.0% Account Interest)	$	5.6	$	5.6	Redemptions prohibited prior to liquidation.	To acquire healthcare properties within the top 50 MSA's in the U.S.
					Liquidation estimated to begin in 2026
					The Account is permitted to transfer its interest in the fund to a qualified institutional investor, subject to the right first offer by the partner, following the one year anniversary of the fund launch.
Grubb Southeast Real Estate Fund VI, LLC (66.7% Account Interest)	$	11.9	$	11.9	Redemptions prohibited prior to liquidation.	To acquire office investments across the Southeast.
					Liquidation estimated to begin no earlier than 2026.
					The Account is permitted to sell or transfer its interest in the fund with the consent and approval of the manager.
Silverpeak NRE FundCo 2 LLC (90.0% Account Interest)	$	93.9	$	125.3	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the top 25 major U.S. metropolitan markets.
					Sales have commenced and the Account anticipates liquidation will continue through 2029.
					The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
JCR Capital - REA Preferred Equity Parallel Fund (31.1% Account Interest)	$	79.3	$	89.2	Redemptions prohibited prior to liquidation.	To invest primarily in multi-family properties.
					Liquidation estimated to begin no earlier than 2026.
					The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion

Silverpeak NRE FundCo 3 LLC (90.0% Account Interest)	$	81.8	$	115.8	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the top 25 major U.S. metropolitan markets.
					Sales have commenced and the Account anticipates liquidation will continue through 2029.
					The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
Silverpeak NRE FundCo 4 LLC (90.0% Account Interest)	$	52.9	$	200.0	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the top 25 major U.S. metropolitan markets.
					Liquidation estimated to begin no earlier than 2028.
					The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
Total	$	806.2	$	1,093.3

Note 8—Investment in Real Estate Operating Business

In September 2020, the Account made an initial $250.0 million investment to acquire an ownership stake in DataBank, an owner/operator of data centers. The investment represents an opportunity for the Account to continue to grow its digital real estate exposure alongside a market leading owner/operator poised to capture incremental demand nationally. The Account is part of a larger consortium of other investors providing funding to DataBank to enable their planned acquisition of 44 data centers, across 23 markets.

In January 2025, the Account made an additional capital contribution of $127.2 million, which fulfilled the remaining commitment entered into in 2024.

During June 2026, the Account recognized a significant increase in the fair value of DataBank driven by a positive valuation adjustment. The increase is driven by new contracts and the planned expansion of additional data center capacity, which is expected to be completed in phases over approximately five years.

The Account’s investment in DataBank at June 30, 2026, represents an ownership stake of 14.8%.


	June 30, 2026				December 31, 2025
Operating Business	Cost		Fair Value		Cost		Fair Value
	(in millions)				(in millions)
DataBank(1)	$	623.5	$	1,245.1	$	621.8	$	1,072.6

(1) The Account invests in DataBank through DigitalBridge Zeus Partners, LP and DigitalBridge Zeus Partners III, LP (collectively, the "Databank" investment).

Note 9—Reverse Repurchase Agreements

The Account periodically enters into reverse repurchase agreements (or "repos") with third parties. Repos are transactions in which the Account purchases securities with a contractual obligation to resell them at a specific date and price, generally overnight or with a short maturity (e.g., one to seven days). The Account enters into these repos pursuant to an existing agreement with State Street Bank & Trust Company (“State Street”) as a part of the liquid, fixed-income investment portion of the Account’s portfolio. The Account’s repo transactions include cash collateral received on securities loaned, certain overdraft credit agreements, and securities purchased under resale agreements. The securities underlying these repo transactions consist primarily of U.S. government and agency securities, which are monitored for market value daily. Under the Account’s existing reverse repurchase agreement with State Street, the Account generally has a right to obtain additional collateral or return excess collateral as market values fluctuate and to sell or repledge securities received as collateral. Repos have the risk that the counterparty to the transaction fails to pay the agreed upon resale price on the delivery date and the value of the collateral after the costs of disposing the collateral and any delay in foreclosing is less than the repurchase price. As of June 30, 2026, the aggregate fair value of securities held by the Account under the repos was $417.2 million, which represents 1.8% of the Account’s total net assets as of June 30, 2026.

Note 10—Loans Receivable

The Account’s loan receivable portfolio is primarily comprised of mezzanine loans secured by the borrower’s indirect interests in commercial real estate. Mezzanine loans are subordinate to first mortgages on the underlying real estate collateral. The following property types represent the underlying real estate collateral for the Account's mezzanine loans (in millions):


	June 30, 2026						December 31, 2025

	Principal Outstanding		Fair Value		% of Fair Value		Principal Outstanding		Fair Value		% of Fair Value
Office(1)(2)	$	498.3	$	269.6	56.9	%	$	672.7	$	394.7	57.2	%
Apartment(1)	156.5		154.0		32.5	%	157.2		154.1		22.3	%
Industrial	50.4		50.4		10.6	%	136.8		136.9		19.8	%

Retail(2)	44.0		—		—	%	44.0		—		—	%
Land	—		—		—	%	4.7		4.7		0.7	%
	$	749.2	$	474.0	100.0	%	$	1,015.4	$	690.4	100.0	%

(1) Includes loans receivable with related parties.

(2) Property associated with this sector is in default.

The Account monitors the risk profile of the loan receivable portfolio with the assistance of a third-party rating service that models the loans and assigns risk ratings based on inputs such as loan-to-value ratios, yields, credit quality of the borrowers, property types of the collateral, geographic and local market dynamics, physical condition of the collateral, and the underlying structure of the loans. Ratings for loans are updated monthly. Assigned ratings can range from AAA to C, with an AAA designation representing debt with the lowest level of credit risk and C representing a greater risk of default or principal loss. Loans that are delinquent or in default are generally assigned a D rating unless the value of the collateral asset is estimated to be greater than, or equal to, the outstanding loan balance. Debt in good health is typically reflective of a risk rating in the B range (e.g., BBB, BB, or B), as these ratings reflect borrowers' having adequate financial resources to service their financial commitments, or the value of the collateral asset is estimated to be greater than, or equal to, the outstanding loan balance, but also acknowledging that adverse economic conditions, should they occur, would likely impede on a borrowers' ability to pay.

The following table presents the fair values of the Account's loan portfolio based on the risk ratings as of June 30, 2026 (in millions), listed in order of the strength of the risk rating (from strongest to weakest):


	June 30, 2026					December 31, 2025
	Number of Loans	Fair Value		% of Fair Value		Number of Loans	Fair Value		% of Fair Value


A+	1	$	127.7	26.9	%	1	$	127.9	18.5	%
A	—	—		—	%	1	39.2		5.7	%


BBB	1	38.1		8.1	%	—	—		—	%
BBB-	—	—		—	%	2	149.3		21.6	%
BB+	1	42.6		9.0	%	—	—		—	%
BB	1	46.0		9.7	%	1	99.5		14.4	%
BB-	2	120.3		25.4	%	1	107.8		15.6	%
B+	—	—		—	%	1	33.8		4.9	%
B	1	57.4		12.1	%	1	53.1		7.7	%





C	—	—		—	%	1	9.5		1.4	%
D	5	0.1		—	%	5	—		—	%
NR(1)	3	41.8		8.8	%	4	70.3		10.2	%
	15	$	474.0	100.0	%	18	$	690.4	100.0	%

(1) "NR" designates loans not assigned an internal credit rating. As of June 30, 2026 and December 31, 2025, all loans with NR designations were with related parties. The loans are collateralized by equity interests in real estate investments.

The Account recognizes interest income from real estate loans when it is earned and deemed collectible, or until the loan becomes past due in accordance with the terms of the loan agreement. Loans are placed in nonaccrual status if they are more than 90 days in arrears or if management determines the full collection of either interest or principal is unlikely. If a loan is not yet matured, any payments received while in nonaccrual status are first applied to reduce any account receivables. Once all accrued interest is collected, subsequent payments are recognized as income. No amounts are applied to the principal balance unless the loan is amortizing. For amortizing loans, payments are allocated between principal and interest based on the terms of the loan agreement. A loan may be returned to accrual

status once all past due amounts have been fully repaid and the borrower has demonstrated the ability to meet ongoing payment obligations in accordance with the agreement.

The following table represents loans receivable in nonaccrual status as of June 30, 2026 (in millions).


Aging	Number of Loans	Principal Outstanding		Fair Value
Past Due - 90 Days +	6	$	257.7	$	5.4

Note 11—Loans Payable

At June 30, 2026 and December 31, 2025, the Account had outstanding loans payable secured by the following properties (in millions):


Property	Annual Interest Rate and Payment Frequency	Principal Amounts Outstanding as of				Maturity
		June 30, 2026		December 31, 2025






32 South State Street(1)	4.48% paid monthly	24.0		24.0		June 6, 2025

Reserve at Chino Hills(2)	1.61% + SOFR paid monthly	82.2		82.2		August 9, 2026
Vista Station Office Portfolio(3)	4.20% paid monthly	38.1		38.7		November 1, 2026
Project Sonic(2)	2.00% + SOFR paid monthly	34.7		94.0		June 9, 2027
Marketplace at Mill Creek	3.82% paid monthly	39.6		39.6		September 11, 2027
Overlook At King Of Prussia	3.82% paid monthly	40.8		40.8		September 11, 2027
Winslow Bay(5)	3.82% paid monthly	—		25.8		September 11, 2027
Liberty Park	1.80% + SOFR paid monthly	60.2		60.2		December 9, 2027
1900 K Street, NW(3)	3.93% paid monthly	150.1		151.8		April 1, 2028
One Biscayne(2)	2.45% + SOFR paid monthly	80.0		80.0		September 9, 2028
Ashford Meadows(4)	5.76% paid monthly	64.6		64.6		October 1, 2028
803 Corday(4)	5.76% paid monthly	62.2		62.2		October 1, 2028
Churchill on the Park(4)	5.76% paid monthly	40.5		40.5		October 1, 2028
Carrington Park(4)	5.76% paid monthly	43.8		43.8		October 1, 2028
Five Oak(5)	1.47% + SOFR paid monthly	—		44.2		August 9, 2029














Total Principal Outstanding		$	760.8	$	892.4
Fair Value Adjustment(6)		(31.4)		(62.1)
Total Loans Payable		$	729.4	$	830.3

(1)This loan is currently in default.

(2)The loan is collateralized by a mezzanine loan receivable, which is collateralized by the property listed in the above table.

(3)The mortgage is adjusted monthly for principal payments.

(4)These loans are part of a cross-collateralized credit facility pursuant to the Credit Agreement.

(5)Debt was extinguished as part of the disposition of the collateral property.

(6)The fair value adjustment consists of the difference (positive or negative) between the principal amount of the outstanding debt and the fair value of the outstanding debt. See Note 1 - Organization and Significant Accounting Policies.

Note 12—Credit Facility

On September 16, 2022, the Account entered into a credit agreement (the “Credit Agreement”) with a syndicate of third-party bank lenders, including JPMorgan Chase Bank, N.A., comprised of revolving credit loans (“Line of Credit”) up to $500.0 million and up to $500.0 million in term loans (“Term Loans”). On August 11, 2023, the Credit Agreement was amended to increase the revolving credit loans commitment to $1.4 billion and convert the $500.0 million in outstanding term loans into revolving credit loans. The term loans may not be redrawn and all references to Term Loans have been removed from the agreement.

On June 26, 2026, the Account's Credit Agreement was amended to increase the revolving credit loans commitment and eliminate the credit spread adjustment applicable to SOFR rate elections. The amendment also increased the accordion feature, allowing for additional funding up to $300.0 million at any time prior to the June 26, 2028 Commitment Termination Date. In addition, the amendment provides three one-year extension options.

The Account may use the proceeds of borrowings under the Credit Agreement for general organizational purposes in the ordinary course of business, including to finance certain real estate portfolio investments. The Account may prepay borrowings under the Credit Agreement at any time during the life of the loan without penalty.

The Account may elect for each borrowing under the Credit Agreement to bear annual interest at an adjusted base rate (“ABR”) or SOFR, plus an applicable margin which is dependent on the leverage ratio of the Account. The applicable margin for SOFR Revolving Credit Loans ranges from 0.875% to 1.30% and for ABR Revolving Credit Loans ranges from 0.00% to 0.30%. In addition, the Account pays facility fees ranging from 0.125% to 0.20%, depending on the leverage ratio of the Account, on the total revolving commitments (used and unused) under the Credit Agreement.

As of June 30, 2026, the Account was in compliance with all covenants required by the Credit Agreement.

The following table provides a summary of the key characteristics of the Credit Agreement, as of June 30, 2026:

Current Balance - Line of Credit (in millions)

250.0

Maximum Capacity (in millions)

1,450.0

Inception Date

September 16, 2022

Revolving Commitment Termination

June 26, 2028

Extension Option(1)

Yes

ABR Revolving Credit Loans Interest Rate

ABR + Applicable Margin

SOFR Revolving Credit Loans Interest Rate(2)

SOFR + Applicable Margin

(1) The Account holds three extension options, each of which would extend the Commitment Termination Date by an additional twelve months. The Account may also request additional funding, not to exceed $300.0 million, at any time prior to the Commitment Termination Date; however, this request is subject to approval at the sole discretion of the lenders and is not guaranteed.

(2) The weighted average interest rate for the three and six months ended June 30, 2026 was 4.58% and 4.65%

Note 13—Senior Notes Payable

In June 2022, the Account entered into a note purchase agreement with certain qualified institutional investors. Under the note purchase agreement, the Account issued $500.0 million of debt securities, in the form of Series A senior notes (the “Series A Notes”) and Series B senior notes (the “Series B Notes”) that mature on June 10, 2029 and 2032, respectively. The Account is obligated to repay the Series A and B Notes at par, plus accrued and unpaid interest to, but not including, the date of repayment. The Series A Notes bear interest at an annual rate of 3.24%, payable semi-annually, and the Series B Notes bear interest at an annual rate of 3.35%, payable semi-annually. The Account may also prepay the Series A and B Notes in whole or in part at any time, or from time to time, at the Account's option at par plus accrued interest to the prepayment date and, if prepaid on or before 90 days prior to the applicable maturity date, a make-whole premium.

On March 21, 2023, the Account entered into another note purchase agreement with certain qualified institutional investors. Under this note purchase agreement, the Account issued $400.0 million of debt securities on May 30, 2023, in the form of Series C senior notes (the “Series C Notes”) that will mature on May 30, 2027. The Series C

Notes bear interest at an annual rate of 5.50%, payable semi-annually and are subject to the same prepayment terms as the Series A and B Notes.

On October 22, 2025, the Account entered into a note purchase agreement with certain qualified institutional investors. Under the note purchase agreement, the Account issued $700.0 million of debt securities, in the form of $375.0 million Series D senior note (the "Series D Notes") and $325.0 million Series E senior note (the "Series E Notes") that mature on October 22, 2030 and 2032, respectively. The Series D Notes bear interest at an annual rate of 4.89% payable semi-annually, and the Series E Notes bear interest at an annual rate of 5.13% payable semi-annually. The Account may also prepay the Series D and E Notes in whole or in part (in any amount not less than 5% of the aggregate principal amount of the Notes) at any time, from time to time, at the Account's option at par plus accrued interest to the prepayment date and, if redeemed on or before 90 days prior to the applicable maturity date, a make-whole premium.

As of June 30, 2026, the Account was in compliance with all covenants required by the note purchase agreements.

The following table provides a summary of the key characteristics of the outstanding senior notes payable, as of June 30, 2026:


	Principal (in millions)		Interest Rate	Maturity Date
Series A	$	300.0	3.24%	June 10, 2029
Series B	$	200.0	3.35%	June 10, 2032
Series C	$	400.0	5.50%	May 30, 2027
Series D	$	375.0	4.89%	October 22, 2030
Series E	$	325.0	5.13%	October 22, 2032

Note 14—Financial Highlights

Selected condensed financial information for an Accumulation Unit of the Account is presented below. Per Accumulation Unit data is calculated on average units outstanding.


	For the Six Months Ended June 30, 2026			Years Ended December 31,
				2025			2024			2023

Per Accumulation Unit Data:
Rental income	$	13.383		$	26.577		$	28.407		$	27.323
Real estate property level expenses	5.745			11.694			13.098			12.858
Real estate income, net	7.638			14.883			15.309			14.465
Other income	2.957			6.533			7.209			7.539
Total income	10.595			21.416			22.518			22.004
Interest expense	0.900			1.225			1.117			1.339
Expense charges(1)	2.197			4.217			4.701			4.877
Investment income, net	7.498			15.974			16.700			15.788
Net realized and unrealized gain (loss) on investments and debt	2.579			2.341			(36.511)			(91.657)
Net increase (decrease) in Accumulation Unit Value	10.077			18.315			(19.811)			(75.869)
Accumulation Unit Value:
Beginning of period	$	479.558		$	461.243		$	481.054		$	556.923
End of period	$	489.635		$	479.558		$	461.243		$	481.054
Total return(2)	2.10		%	3.97		%	(4.12)		%	(13.62)		%
Ratios to Average net assets(3):
Expense charges(4)	0.90		%	0.88		%	0.99		%	0.93		%
Investment income, net	3.07		%	3.32		%	3.52		%	3.00		%


	For the Six Months Ended June 30, 2026			Years Ended December 31,
				2025			2024			2023

Portfolio turnover rate(3):
Real estate properties(5)	2.2		%	6.9		%	2.7		%	1.4		%
Marketable securities(6)	—		%	—		%	23.6		%	21.6		%
Accumulation Units outstanding at end of period (millions)	46.0			46.5			47.8			48.0
Net assets end of period (millions)	$	22,951.1		$	22,766.6		$	22,486.9		$	23,618.9

(1)Expenses per Accumulation Unit reflect the year-to-date Account level expenses, which excludes interest expense on Account-level debt and also excludes real estate property level expenses, which are included in real estate income, net. Expense charges are deducted from the net assets of the Account and include fees for investment management services, administrative services, distribution services, mortality and expense risk charges and liquidity guarantee charges, all of which are described further in Note 2 - Related Party Transactions.

(2)Percentages for the six months ended June 30, 2026 are not annualized.

(3)Percentages for the six months ended June 30, 2026 are annualized.

(4)Ratio of expenses to average net assets reflects the year-to-date Account level expense charges, which excludes interest expense on Account-level debt and also excludes property level expenses, which are included in real estate income, net.

(5)Real estate investment portfolio turnover rate is calculated by dividing the lesser of purchases or sales of real estate property investments (including contributions to, or return of capital distributions received from, existing real estate joint ventures and fund investments) by the average value of the portfolio of real estate investments held during the period.

(6)Marketable securities portfolio turnover rate is calculated by dividing the lesser of purchases or sales of securities, excluding securities having maturity dates at acquisition of one year or less, by the average value of the portfolio securities held during the period.

Note 15—Accumulation Units

Changes in the number of Accumulation Units outstanding were as follows (in millions):


	For the Six Months Ended June 30, 2026	For the Year Ended December 31, 2025

Outstanding:
Beginning of period	46.5	47.8
Credited for premiums	2.7	6.1

Annuity, other periodic payments, withdrawals and death benefits	(3.2)	(7.4)
End of period	46.0	46.5

Note 16—Commitments and Contingencies

Commitments—As of June 30, 2026 and December 31, 2025, the Account had the following immediately callable commitments, inclusive of recallable distributions, to purchase additional interests in its real estate funds or provide additional funding through its loans receivable investments (in millions):


		Commitment Expiration	June 30, 2026(5)		December 31, 2025(5)

Real Estate Funds(1)
	JCR Capital - REA Preferred Equity Parallel Fund	08/2025(2)	9.9		9.9
	Silverpeak NRE FundCo LLC	12/2025(2)(3)	37.1		37.1
	Silverpeak NRE FundCo 3 LLC	12/2026(3)	34.0		30.5
	Townsend Group Value-Add Fund	12/2026(2)	22.0		29.7
	Silverpeak NRE FundCo 2 LLC	12/2026(2)(3)	31.4		51.5
	SP V - II, LLC	09/2029(2)	5.6		6.4
	Silverpeak NRE FundCo 4 LLC	02/2028	147.1		—
			$	287.1	$	165.1


		Commitment Expiration	June 30, 2026(5)		December 31, 2025(5)
Loans Receivable(4)


	MRA Hub 34 Holding, LLC	12/2026	1.4		1.5


	One Biscayne Tower Senior Loan	07/2028	28.0		30.3
	One Biscayne Tower Mezzanine	07/2028	9.3		10.0
			$	38.7	$	41.8



	TOTAL COMMITMENTS		$	325.8	$	206.9

(1)Additional capital can be called during the commitment period at any time. The commitment period can only be extended by the manager with the consent of the Account. The commitment expiration date is reflective of the most recent signed agreement between the Account and the fund manager, including any side letter agreement.

(2)The commitment and investment terms for this fund have expired; however the remaining unfunded equity relates solely to existing investments where capital is still required. No new investments will be made. The commitment expiration date has been updated to reflect the end of the investment term.

(3)Commitment expiration date represents the Recallable Commitment Termination date

(4)Advances from the Account can be requested during the commitment period at any time. The commitment expiration date is reflective of

the most recent signed agreement between the Account and the borrower, including any side letter agreements. Certain loans contain extension clauses on the term of the loan that do not require the Account's prior consent. If elected, the Account's commitment may be extended through the extension term.

(5)Funds commitments could include cumulative recallable commitments.

Contingencies—In the normal course of business, the Account may be named, from time to time, as a defendant or may be involved in various legal actions, including arbitration, class actions and other litigation.

The Account establishes an accrual for all litigation and regulatory matters when it believes it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. Once established, accruals are adjusted, as appropriate, in light of additional information. The amount of loss ultimately incurred in relation to those matters may be higher or lower than the amounts accrued for those matters.

As of the date of this report, management of the Account does not believe that the results of any such claims or litigation, individually or in the aggregate, will have a material effect on the Account’s business, financial position or results of operations.

Note 17—Subsequent Events

In preparing these financial statements, Management has evaluated events and transactions for potential recognition or disclosure subsequent to June 30, 2026.

On July 10, 2026, the Account drew $282.0 million on the line of credit provided by the Credit Agreement.

The following property-related transactions occurred subsequent to June 30, 2026 (in millions):

Real Estate Properties and Joint Ventures

Purchases

Property Name

Purchase Date

Ownership Percentage

Sector

Location

Net Purchase Price(1)

The Ashton Venture(2)

07/2/2026

90.0%

Multi-family

Washington, DC

24.3

Innovation Drive (3)

07/22/2026

100.0%

Industrial

Chicago, IL

57.1

Shakopee(3)

07/22/2026

100.0%

Industrial

Shakopee, MN

16.7

Lombard(3)

07/22/2026

100.0%

Industrial

Lombard, IL

22.3

Alft Lane(3)

07/22/2026

100.0%

Industrial

Elgin, IL

35.3

Galvin Drive(3)

07/22/2026

100.0%

Industrial

Galvin, IL

38.4

Gilberts(3)

07/22/2026

100.0%

Industrial

Gilberts, IL

28.2

Maple Grove(3)

07/22/2026

100.0%

Industrial

Maple Grove, MN

32.6

Rogers(3)

07/22/2026

100.0%

Industrial

Rogers, MN

51.9

(1) The net purchase price represents the purchase price and closing costs.

(2) On July 2, 2026, the Account sold 10% of its ownership in The Ashton and transferred the remaining 90% to a newly formed joint venture with Lowe Enterprises. The amounts shown represent the Account's 90% interest in the joint venture investment.

(3) Property is held in North Central Core Portfolio.

Sales

Property Name

Sales Date

Ownership Percentage

Sector

Location

Net Sales Price(1)

Realized Gain (Loss) on Sale(2)

Fort Point Creative Exchange Portfolio(3)

07/1/2026

100.0%

Office

Boston, MA

27.6

(47.0)

The Forum - Sam Houston

07/1/2026

97.0%

Multi-family

Huntsville, TX

25.3

(10.0)

The Ashton(4)

07/2/2026

100.0%

Multi-family

Washington, DC

25.7

(17.2)

Park 10

07/30/2026

100.0%

Industrial

Houston, TX

16.6

(0.5)

The Henley at Kingstowne

07/30/2026

100.0%

Multi-family

Alexandria, VA

106.0

(5.5)

(1) The net sales price represents the sales price, less selling expenses.

(2) Majority of the realized gain/(loss) has been previously recognized as unrealized gains (losses) in the Account's Consolidated Statements of Operations.

(3) Partial disposition of portfolio assets.

(4) On July 2, 2026, the Account sold 10% of its ownership in The Ashton and transferred the remaining 90% to a newly formed joint venture with Lowe Enterprises.

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)


REAL ESTATE PROPERTIES
Location/Sector	June 30, 2026				December 31, 2025
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Alabama
Retail	25.6		0.1	%	25.6		0.1	%
	$	25.6	0.1	%	$	25.6	0.1	%
Arizona
Industrial	118.2		0.5	%	90.6		0.4	%


	$	118.2	0.5	%	$	90.6	0.4	%
California
Industrial	3,006.0		13.1	%	3,032.3		13.3	%
Apartment	940.8		4.1	%	1,002.0		4.4	%
Retail	496.5		2.2	%	487.9		2.1	%
Office	57.1		0.2	%	56.5		0.3	%
	$	4,500.4	19.6	%	$	4,578.7	20.1	%
Colorado

Industrial	43.6		0.2	%	43.9		0.2	%
Office	38.9		0.2	%	42.5		0.2	%

	$	82.5	0.4	%	$	86.4	0.4	%
Connecticut
Office	23.7		0.1	%	25.1		0.1	%
	$	23.7	0.1	%	$	25.1	0.1	%
Florida
Apartment	972.0		4.2	%	955.4		4.2	%
Industrial	861.2		3.8	%	837.3		3.7	%
Retail	76.7		0.3	%	76.2		0.3	%

	$	1,909.9	8.3	%	$	1,868.9	8.2	%
Georgia
Industrial	539.4		2.4	%	299.5		1.3	%
Apartment	369.7		1.6	%	376.8		1.7	%
Retail	134.8		0.6	%	135.4		0.6	%
	$	1,043.9	4.6	%	$	811.7	3.6	%
Illinois
Retail	244.1		1.1	%	242.3		1.1	%
Industrial	215.1		0.9	%	214.1		0.9	%
Apartment	214.4		0.9	%	201.4		0.9	%

	$	673.6	2.9	%	$	657.8	2.9	%
Indiana
Industrial	98.5		0.4	%	98.2		0.4	%
	$	98.5	0.4	%	$	98.2	0.4	%
Maryland
Industrial	92.6		0.4	%	87.3		0.4	%
Apartment	72.7		0.3	%	76.2		0.3	%
Retail	53.1		0.3	%	55.6		0.3	%
	$	218.4	1.0	%	$	219.1	1.0	%

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)


REAL ESTATE PROPERTIES
Location/Sector	June 30, 2026				December 31, 2025
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Massachusetts
Apartment	165.7		0.7	%	167.0		0.7	%
Industrial	132.5		0.6	%	137.8		0.6	%
Retail	88.5		0.4	%	89.7		0.4	%
Office	28.4		0.1	%	88.7		0.4	%
	$	415.1	1.8	%	$	483.2	2.1	%
Minnesota
Industrial	135.1		0.6	%	134.2		0.6	%

	$	135.1	0.6	%	$	134.2	0.6	%
Nevada
Industrial	91.6		0.4	%	92.4		0.4	%
	91.6		0.4	%	92.4		0.4	%
New Jersey
Industrial	369.8		1.6	%	373.2		1.6	%
Retail	88.3		0.4	%	87.0		0.4	%
Land	33.3		0.1	%	28.7		0.1	%
	$	491.4	2.1	%	$	488.9	2.1	%
New York
Office	285.0		1.2	%	259.7		1.1	%
Apartment	253.1		1.1	%	256.4		1.1	%
	$	538.1	2.3	%	$	516.1	2.2	%
North Carolina
Industrial	108.1		0.5	%	102.7		0.5	%
Apartment	77.2		0.3	%	78.2		0.3	%
Retail	48.9		0.2	%	106.5		0.5	%
	$	234.2	1.0	%	$	287.4	1.3	%
Oregon
Apartment	30.7		0.2	%	29.9		0.1	%
Office	27.4		0.1	%	51.0		0.2	%
	$	58.1	0.3	%	$	80.9	0.3	%
Pennsylvania
Retail	55.5		0.2	%	59.4		0.3	%
	$	55.5	0.2	%	$	59.4	0.3	%



South Carolina
Apartment	90.0		0.4	%	87.7		0.4	%

	$	90.0	0.4	%	$	87.7	0.4	%
Tennessee
Retail	95.7		0.4	%	85.6		0.4	%
Industrial	80.9		0.4	%	77.1		0.3	%
Apartment	46.0		0.2	%	43.2		0.2	%
	$	222.6	1.0	%	$	205.9	0.9	%

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)


REAL ESTATE PROPERTIES
Location/Sector	June 30, 2026				December 31, 2025
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Texas
Industrial	1,019.7		4.4	%	1,114.0		4.9	%
Office	669.8		2.9	%	676.2		3.0	%
Apartment	549.8		2.5	%	513.8		2.3	%
Retail	101.1		0.4	%	100.0		0.4	%
Hotel	95.5		0.4	%	96.0		0.4	%
	$	2,435.9	10.6	%	$	2,500.0	11.0	%
Utah
Office	45.2		0.2	%	45.5		0.2	%
Industrial	36.7		0.2	%	36.7		0.2	%
	$	81.9	0.4	%	$	82.2	0.4	%
Virginia
Apartment	399.5		1.7	%	409.1		1.8	%
Retail	131.6		0.6	%	135.5		0.6	%
Office	85.2		0.4	%	79.4		0.3	%
	$	616.3	2.7	%	$	624.0	2.7	%
Washington
Industrial	651.6		2.8	%	658.4		2.9	%
Apartment	290.9		1.3	%	285.7		1.3	%
	$	942.5	4.1	%	$	944.1	4.2	%
Washington D.C.
Office	608.0		2.6	%	640.2		2.8	%
Apartment	267.2		1.2	%	286.7		1.3	%
	$	875.2	3.8	%	$	926.9	4.1	%
TOTAL REAL ESTATE PROPERTIES
(Cost: $13,026.0 and $12,973.4)	$	15,978.2	69.6	%	$	15,975.4	70.2	%


REAL ESTATE JOINT VENTURES
Location/Sector	June 30, 2026				December 31, 2025
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Arizona
Apartment	32.2		0.1	%	31.7		0.1	%

	$	32.2	0.1	%	$	31.7	0.1	%
California
Office	647.2		2.8	%	597.2		2.6	%
Retail	76.5		0.4	%	38.7		0.2	%

	$	723.7	3.2	%	$	635.9	2.8	%
Florida
Retail	386.2		1.7	%	398.6		1.8	%
	$	386.2	1.7	%	$	398.6	1.8	%
Georgia
Apartment	18.3		0.1	%	18.2		0.1	%

	$	18.3	0.1	%	$	18.2	0.1	%

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)


REAL ESTATE JOINT VENTURES
Location/Sector	June 30, 2026					December 31, 2025
	Fair Value			% of Net Assets		Fair Value		% of Net Assets
Maryland
Office	35.7			0.1	%	36.5		0.2	%
Retail	16.8			0.1	%	17.1		0.1	%

	$	52.5		0.2	%	$	53.6	0.3	%
Massachusetts
Office	156.2			0.7	%	156.5		0.7	%
	$	156.2		0.7	%	$	156.5	0.7	%
Nevada
Retail	384.6			1.7	%	414.8		1.8	%
	$	384.6		1.7	%	$	414.8	1.8	%
New York
Industrial	66.6			0.3	%	67.3		0.3	%
Office	48.8			0.2	%	19.5		0.1	%
Retail	30.4			0.1	%	28.3		0.1	%
Apartment	—			—	%	46.6		0.2	%
	$	145.8		0.6	%	$	161.7	0.7	%
North Carolina
Office	43.7			0.2	%	22.8		0.1	%
Land	23.8			0.1	%	23.6		0.1	%
Apartment	1.6			—	%	—		—	%
Retail	0.7		(1)	—	%	3.8		—	%
	$	69.8		0.3	%	$	50.2	0.2	%
South Carolina
Apartment	105.1			0.5	%	106.1		0.5	%

	$	105.1		0.5	%	$	106.1	0.5	%
Tennessee
Retail	180.7			0.8	%	182.5		0.8	%
	$	180.7		0.8	%	$	182.5	0.8	%
Texas
Office	313.2			1.4	%	305.9		1.3	%
Industrial	53.4			0.2	%	49.1		0.2	%

	$	366.6		1.6	%	$	355.0	1.5	%



Various(2)
Storage	1,222.0			5.3	%	1,206.5		5.3	%
Apartment	667.5			2.9	%	660.0		2.9	%
Office	526.1			2.3	%	500.9		2.2	%
	$	2,415.6		10.5	%	$	2,367.4	10.4	%
Foreign(3)
Land	169.3			0.7	%	166.6		0.7	%
	$	169.3		0.7	%	$	166.6	0.7	%
TOTAL REAL ESTATE JOINT VENTURES
(Cost: $5,109.8 and $5,115.5)	$	5,206.6		22.7	%	$	5,098.8	22.4	%

(1)Represents residual equity value of the joint venture investment after property disposition.

(2)Properties within these investments are located throughout the United States.

(3)Property is located outside of the United States.

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)


MARKETABLE SECURITIES
	June 30, 2026				December 31, 2025
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
U.S. government agency notes	763.3		3.3	%	621.1		2.7	%
U.S. treasury securities	475.3		2.1	%	899.4		3.9	%
Reverse repurchase agreements	417.2		1.8	%	208.2		0.9	%

TOTAL MARKETABLE SECURITIES
(Cost: $1,656.2 and $1,728.6)	$	1,655.8	7.2	%	$	1,728.7	7.5	%

TOTAL REAL ESTATE FUNDS
(Cost: $935.6 and $918.3)	$	806.2	3.5	%	$	839.6	3.7	%

TOTAL REAL ESTATE OPERATING BUSINESS
(Cost: $623.5 and $621.8)	$	1,245.1	5.4	%	$	1,072.6	4.7	%

TOTAL LOANS RECEIVABLE
(Cost: $707.4 and $945.1)	$	432.2	1.9	%	$	620.1	2.7	%



TOTAL LOANS RECEIVABLE WITH RELATED PARTIES
(Cost: $41.8 and $70.3)	$	41.8	0.2	%	$	70.3	0.3	%

TOTAL INVESTMENTS
(Cost: $22,100.3 and $22,373.0)	$	25,365.9	110.5	%	$	25,405.5	111.5	%

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF THE ACCOUNT'S FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of the Account’s financial condition and results of operations should be read together with the Consolidated Financial Statements and notes contained in this report, the audited Consolidated Financial Statements and accompanying notes contained in the Account’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 12, 2026 (the “Form 10-K”), and with consideration to the sub-section entitled “Forward-Looking Statements,” which begins below, the section entitled “Item 1A. Risk Factors” of the Account's 2025 Form 10-K and the section entitled “Item 1.A Risk Factors” of this Quarterly Report on Form 10-Q and the Account’s previous Quarterly Reports on Form 10-Q, as such risk factors may be updated in subsequent reports. The past performance of the Account is not indicative of future results.

Forward-looking Statements

Some statements in this Form 10-Q which are not historical facts may be “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about management’s expectations, beliefs, intentions or strategies for the future, include the assumptions and beliefs underlying these forward-looking statements, and are based on current expectations, estimates and projections about the real estate industry, domestic and global economic conditions, including conditions in the credit and capital markets, employment rates, the sectors, markets and businesses in which the Account invests and operates, and the transactions described in this Form 10-Q. While management believes the assumptions underlying any of its forward-looking statements and information to be reasonable, such information may be subject to uncertainties and may involve certain risks which may be difficult to predict and are beyond management’s control. These risks and uncertainties could cause actual results to differ materially from those contained in any forward-looking statement. These risks and uncertainties include, but are not limited to, the risks associated with the following:

•Acquiring, owning and selling real property and real estate investments, including risks related to general economic and real estate market conditions, the risk that the Account’s properties become too concentrated (whether by geography, sector or by tenant mix) and the risk that the sales price of a property might differ from its estimated or appraised value;

•Property valuations, including the fact that the Account’s appraisals are generally obtained on a quarterly basis and there may be periods in between appraisals of a property during which the value attributed to the property for purposes of the Account’s daily accumulation unit value may be more or less than the actual realizable value of the property;

•Financing the Account’s properties, including the risk of default on loans secured by the Account’s properties (which could lead to foreclosure);

•Contract owner transactions, in particular that (i) significant net contract owner transfers out of the Account may impair our ability to pursue or consummate new investment opportunities, (ii) significant net contract owner transfers into the Account may result, on a temporary basis, in our cash holdings and/or holdings in liquid non-real estate-related investments exceeding our long-term targeted holding levels and (iii) high levels of cash and liquid non-real estate-related investments in the Account during times of appreciating real estate values can impair the Account’s overall return;

•Joint ventures and real estate funds, including the risk that the Account may have limited rights with respect to the joint venture or that a co-venturer or fund manager may have financial difficulties;

•Governmental regulatory matters such as zoning laws, rent control laws, and property and other taxes;

•Potential liability for damage to the environment or injury to individuals caused by hazardous substances used or found on its properties, as well as risks associated with federal and state environmental laws, that may impose restrictions on the manner in which a property may be used;

•Certain catastrophic losses that may be uninsurable, as well as risks related to climate-related changes and hazards, which could adversely impact the Account’s investment returns;

•ESG criteria used to assess economic risk or financial opportunity projections in the evaluation of commercial real estate investments may not materialize in the way we have anticipated, resulting in the Account

subsequently underperforming relative to other investment vehicles that did not utilize such ESG criteria in selecting and managing portfolio properties;

•Countries with emerging market, foreign commercial real properties, foreign real estate loans, foreign debt investments and foreign securities investments that may experience unique risks such as changes in currency exchange rates, imposition of market controls or currency exchange controls, seizure, expropriation or nationalization of assets, political, social or diplomatic events or unrest (for example, the wars in Ukraine and Gaza), regulatory and taxation risks and risks associated with enforcing judgments in foreign countries that could cause the Account to lose money;

•Investments in REITs, including changes in the value of the underlying properties or by the quality of any credit extended, as well as exposure to market risk due to changing conditions in the financial markets;

•Investments in mortgage-backed securities, which are subject to the same risks inherent in real estate investing, making mortgage loans and investing in debt securities. For example, the underlying mortgage loans may experience defaults, are subject to prepayment risks and are sensitive to economic conditions impacting the credit markets generally;

•Risks associated with the Account’s investments in mortgage or mezzanine loans, including (i) borrower default that results in the Account being unable to recover its original investment, (ii) liens that may have priority over the Account’s security interest, (iii) a deterioration in the financial condition of tenants, and (iv) changes in interest rates for the Account’s variable-rate mortgage loans and other debt instruments;

•Risks associated with the Account’s investments in, and leasing of, single-family real estate include risks relating to the condition of the properties, the credit quality and employment stability of the tenants, and compliance with applicable local laws regarding the acquisition and leasing of single family real estate (which may include manufactured housing);

•Investment securities issued by U.S. Government agencies and U.S. Government-sponsored entities, including the risk that the issuer may not have their securities backed by the full faith and credit of the U.S. Government, which could adversely affect the pricing and value of such securities;

•Risks associated with investments in liquid, fixed-income investments and real estate-related liquid assets (which could include, from time to time, registered or unregistered REIT securities and CMBS), and non-real estate-related liquid assets,

•Conflicts of interests associated with TIAA serving as investment manager of the Account and provider of the liquidity guarantee while also serving as an investment manager to other real estate accounts or funds;

•Lending securities, which has the Account bear the market risk with respect to the investment of collateral or a portion of the income generated by interest paid by the securities lending agent on the cash collateral balance;

•The Account’s requirement to sell property in the event that TIAA owns too large of a percentage of the Account’s accumulation units, which sales could occur at a time or price that is not optimal for the Account’s returns; and

•The tax rules applicable to the contracts vary and your rights under a contract may be subject to the terms of your employer's retirement plan itself, regardless of the terms of the contract. We cannot provide detailed information on all tax aspects of owning the contracts. Tax rules may change without notice, and we cannot predict whether, when, or how tax rules could change or what, if any, tax legislation will actually be proposed or enacted;

•Continued liquidity risks within the Account's portfolio. Additional detail regarding the recent triggering of the Account’s Liquidity Guarantee is included below in the sub-section entitled “Liquidity and Capital Resources.”

More detailed discussions of certain of these risk factors are contained in the section of the Form 10-K entitled “Item 1A. Risk Factors” and "Part II, Item 1A, Risk Factors" in this Report and also in the section below entitled “Quantitative and Qualitative Disclosures About Market Risk.” These risks could cause actual results to differ materially from historical experience or management’s present expectations.

Caution should be taken not to place undue reliance on management’s forward-looking statements, which represent management’s views only as of the date that this report is filed. Neither management nor the Account undertake any obligation to update publicly or revise any forward-looking statement, whether as a result of new information, changed assumptions, future events or otherwise.

Commercial real estate market statistics discussed in this section are obtained by the Account from sources that management considers reliable, but some of the data are preliminary for the period ended June 30, 2026 and may be subsequently revised. Prior period data may have been adjusted to reflect updated calculations. Investors should not rely exclusively on the data presented below in forming a judgment regarding the current or prospective performance of the commercial real estate market generally.

ABOUT THE TIAA REAL ESTATE ACCOUNT

The Account was established, under the laws of New York, in February 1995 as a separate account of TIAA and interests in the Account were first offered to eligible contract owners on October 2, 1995. The Account offers individual and group accumulating annuity contracts (with contributions made on a pre-tax or after-tax basis), as well as individual lifetime and term-certain variable payout annuity contracts (including the payment of death benefits to beneficiaries). Investors are entitled to transfer funds to or from the Account under certain circumstances. Funds invested in the Account for each category of contract are expressed in terms of units, and unit values will fluctuate depending on the Account’s performance.

Investment Objective and Strategy

The Real Estate Account seeks to generate favorable total returns primarily through the rental income and appreciation of a diversified portfolio of directly held, private real estate investments and real estate-related investments, while offering investors guaranteed, daily liquidity.

Real Estate-Related Investments. The Account intends to have between 75% and 85% of its net assets invested directly in real estate or real estate-related investments with the goal of producing favorable long-term returns primarily through rental income and appreciation. These investments may consist of:

•Direct ownership interests in domestic and foreign real estate;

•Direct ownership of real estate through interests in joint ventures;

•Indirect interests in real estate through real estate-related securities: such as

◦private real estate limited partnerships and limited liability companies (collectively, “real estate funds”);

◦real estate operating businesses;

◦investments in equity or debt securities of domestic and foreign companies whose operations involve real estate (i.e., that primarily own, develop or manage real estate) which may not be real estate investment trusts (“REITs”);

◦domestic or foreign loans, including conventional commercial mortgage loans, participating mortgage loans, secured domestic and foreign mezzanine loans, subordinated loans and collateralized mortgage obligations, including commercial mortgage-backed securities (“CMBS”), collateralized mortgage obligations (“CMOs”),and other similar investments; and

◦public and/or privately placed, domestic and foreign, registered and unregistered equity investments in REITs, which investments may consist of registered or unregistered common or preferred stock interests.

The Account’s principal strategy is to purchase direct ownership interests in income-producing real estate, including the four primary sectors of industrial, multi-family, office, and retail, as well as alternative real estate sectors (defined as real estate outside of the four primary sectors noted above). The Account targets holding between 65% and 85% of the Account’s net assets in such direct ownership interests.

In addition, the Account is authorized to hold up to 25% of its net assets in liquid real estate-related securities, including publicly traded REITs and CMBS. Management intends that the Account will not hold more than 10% of net assets in such securities on a long-term basis. As of June 30, 2026, the Account did not hold any publicly traded REITs or CMBS.

In making commercial real estate investments within the Account, TIAA seeks to make investments that are suitable from a financial perspective, taking into account the potential financial impacts associated with industry recognized environmental, social and governance (“ESG”) criteria to the extent that such criteria are reasonably expected to impact the financial performance of the investment and not to achieve a desired outcome or as an investment

qualification or screen. TIAA believes awareness, and, as appropriate, implementation of ESG criteria in commercial real estate holdings is beneficial to total long-term returns for the Account Ultimately, the Account will make an investment decision that incorporates ESG criteria only to the extent that the criteria are reasonably expected to enhance our understanding of the investment’s ability to achieve desired returns for the Account.

Liquid, Fixed-Income Investments. The Account will invest the remaining portion of its assets (targeted to be between 15% and 25% of its net assets) in the following types of liquid, fixed income investments:

•U.S. Treasury or U.S. Government agency securities;

•Intermediate-term or long-term government related instruments, such as bond or other fixed-income securities issued by U.S. Government agencies, U.S. states or municipalities or U.S. Government-sponsored entities as well as foreign governments and their agencies (including those in emerging markets) and supranational or multinational organizations (e.g., European Union);

•Intermediate-term or long-term non-government related instruments, such as corporate debt securities, domestic- or foreign mezzanine or other debt, and structured securities, (e.g. unsecured debt obligations with a return linked to the performance of an underlying asset). Such structured securities may include asset-backed securities (“ABS”) issued by domestic or foreign entities, mortgage backed securities (“MBS”), residential mortgage backed securities (“RMBS”), debt securities of foreign governments, and collateralized debt (“CDO”), collateralized bond (“CBO”) and collateralized loan (“CLO”) obligations, but only if such non-government related instruments are investment-grade securities;

•Money market instruments and other cash equivalents. These will usually be high-quality, short-term debt instruments, including U.S. Government or government agency securities, commercial paper, certificates of deposit, bankers’ acceptances, repurchase agreements, interest-bearing time deposits, and corporate debt securities; and

•To a limited extent, privately issued (or non-publicly traded) debt securities, including Rule 144A securities, issued by domestic and foreign companies that do not primarily own or manage real estate, but only if such domestic and foreign privately issued debt securities are investment-grade securities.

However, the Account’s liquid, fixed-income investments may comprise less than 15% of its net assets especially during and following periods of significant net contract owner outflows. In addition, the Account, on a temporary basis, may hold in excess of 25% of its net assets in liquid, fixed-income investments, particularly during times of significant inflows into the Account and/or a lack of attractive real estate–related investments available in the market.

Liquid Securities Generally. Primarily due to management’s need to manage fluctuations in cash flows, in particular during and following periods of significant contract owner net transfer activity into or out of the Account, the Account may, on a temporary or long term basis (i) exceed the upper end of its targeted holdings (currently 35% of the Account’s net assets) in liquid securities of all types including both publicly traded non-real estate-related liquid investments and liquid real estate–related securities, such as REITs and structured securities (including ABS, RMBS, CMBS and MBS), or (ii) be below the low end of its targeted holdings in such liquid securities (currently 15% of the Account’s net assets).

The portion of the Account’s net assets invested in liquid investments of all types may exceed the upper end of its target, for example, if (i) the Account receives a large inflow of money in a short period of time, in particular due to significant contract owner transfer activity into the Account, (ii) the Account receives significant proceeds from sales or financings of direct real estate assets, (iii) there is a lack of attractive direct real estate investments available on the market, and/or (iv) the Account anticipates more near-term cash needs, including to acquire or improve direct real estate investments, pay expenses or repay indebtedness. Conversely, the portion of the Account's net assets invested in liquid investments of all types may exceed the lower end of its target, for example, during and immediately following periods of significant net contract owner outflows.

Foreign Investments. The Account may also make foreign real estate, foreign real estate-related investments and foreign liquid, fixed-income investments. Under the Account’s investment guidelines, investments in direct foreign real estate and real estate loans, together with foreign real estate-related securities and foreign liquid, fixed-income

investments may not comprise more than 25% of the Account’s net assets. However, management does not intend such foreign investments, in the aggregate, to exceed 10% of the Account's net assets. As of June 30, 2026, the fair value of the Account's foreign real estate investments was $169.3 million, or 0.7% of net assets.

In managing any domestic or foreign mezzanine debt or other domestic or foreign loans or securities, the Account may enter into certain derivatives transactions (including forward currency contracts and swaps, futures contracts, put and call options and other hedging transactions) in order to hedge against the risks of exchange rate uncertainties, interest rate uncertainties and foreign currency or market fluctuations impacting the Account’s domestic or foreign investments. The Account does not intend to speculate in such transactions.

SECOND QUARTER 2026 U.S. ECONOMIC AND COMMERCIAL REAL ESTATE OVERVIEW

The Account invests primarily in high-quality, core real estate in order to meet its investment objective of obtaining favorable long-term returns through rental income and the appreciation of its real estate holdings.

Economic Overview and Outlook



Key Macro Economic Indicators*	Actuals			Forecast
	2025	2Q 2026	2026		2027
Economy(1)
Gross Domestic Product (“GDP”)	2.0%	2.3%		2.1%		1.9%
Employment Growth (2)	10	111		71		58
Unemployment Rate	4.4%	4.2%		4.5%		4.7%
Interest Rates(3)
10 Year Treasury	4.2%	4.4%		4.4%		4.4%

Sources: Bureau of Economic Analysis, Bureau of Labor Statistics, Federal Reserve and Moody’s Analytics

*Data subject to revision

(1)GDP growth rates are annual rates. Quarterly unemployment rates are the reported value for the final month of the quarter while annual values represent a twelve-month average.

(2)Values presented in thousands. Forecast values represent average monthly employment growth in the respective periods.

(3)Treasury rates are an average over the stated period.

Global economic growth continued at a moderate pace in the second quarter 2026, as resilience in the U.S. and modest improvements in the Eurozone has helped offset softening in China’s economy. The global economy continues to wrangle with the effects of the U.S. and Iran conflict plus elevated oil prices, but increased investment in AI-related infrastructure have helped to sustain overall economic activity. Oil prices have retreated from mid-quarter highs amid ongoing negotiations between the U.S. and Iran, but uncertainty surrounding the conflict remains a risk area for the global economy.

The U.S. economy expanded at an estimated annualized rate of 2.3% in the second quarter of 2026, modestly accelerating from the first quarter of 2026's 2.1% pace, supported primarily by consumer spending and continued investment in artificial intelligence infrastructure, though housing and broader non-AI capital expenditure remained areas of weakness. Inflationary pressures intensified during the quarter as a surge in oil prices tied to the outbreak of conflict with Iran pushed the Consumer Price Index to a three-year high of 4.3% at mid-quarter, before moderating to 3.5% in June. The labor market showed incremental improvement, averaging 111,000 added jobs per month during the quarter, though decelerating wage growth barely outpaced inflation by quarter-end, leaving real wage gains limited and representing a potential headwind to consumer spending in the periods ahead.

The Federal Reserve held short-term interest rates steady again in the second quarter after slowly lowering interest rates in 2024 and 2025. Federal officials remain concerned about underlying price pressures and inflation expectations in the economy, and have signaled that they are open to a potential rate hike should inflation conditions worsen. Markets have recalibrated their expectations, no longer anticipating further rate cuts for the remainder of 2026. Any additional easing is now expected to occur in 2027 or later. Yields on 10-year Treasuries rose sharply mid-quarter, peaking at 4.67% in May, before easing to 4.44% by the end of June.

Growth in Europe remained subdued in the 2nd quarter as renewed inflation concerns have pressured consumers in major economies like Germany and France. The developed economies in Europe are net importers of energy and as

such, are more exposed to the effects of supply disruptions in the Middle East than the U.S. Inflation picked up across the region in the second quarter, prompting the European Central Bank to raise interest rates for the first time since 2023. The United Kingdom has comparatively experienced less inflation in recent months, allowing the Bank of England to hold rates steady during the second quarter.

In Asia, China's economy grew 4.3% year-over-year in the second quarter, falling short of market expectations and slightly below the Chinese government’s target growth of 4.5% for 2026. Growth in China has been sustained by robust activity in the export sector, which has been helped by reduced tariff burdens in the U.S. However, domestic activity in China has sputtered in recent months, hampered by sluggish consumer spending and declining residential real estate investment. Like Europe, most of Asia's largest economies are net energy importers and face higher inflation and downward pressure on domestic activity as Middle East tensions persist. However, the global boom in AI-related infrastructure has provided a tailwind for export-oriented Asian economies such as South Korea and Singapore.

Real Estate Market Conditions and Outlook

Despite ongoing macroeconomic uncertainty, the recovery in commercial real estate continued in the second quarter. A broad slowdown in construction activity across all major property types supports sector fundamentals and should provide some insulation even if macroeconomic conditions deteriorate materially in the coming quarters. The current environment also benefits from the correction in values from mid-2022 through mid-2024, making the present an attractive entry point for investors seeking to capitalize on a potential recovery. Accordingly, commercial real estate has drawn increased attention from investment capital: preliminary data from Real Capital Analytics show U.S. sales volume totaled $128.2 billion in the second quarter of 2026, up 9.1% year-over-year and the ninth consecutive quarter of annual transaction gains. This activity has brought greater stability to property values, which rose 1.4% from the prior quarter and are up 4.1% year-over-year, according to Green Street's Commercial Property Price Index—the seventh consecutive quarter of annual gains following a 21.0% decline from the early-2022 peak.

The Account returned 1.48% in the second quarter of 2026 and 4.27% since June 30, 2025. The Account’s portfolio displayed strong property fundamentals in the second quarter. Future transaction activity is expected to be consistent with the Account’s multi-year strategy of increasing allocations to anticipated outperforming sectors such as housing, industrial, necessity retail, and alternatives.

Data for the Account’s top five markets in terms of market value as of June 30, 2026 are provided below. The five markets presented below represent 40.0% of the Account’s total real estate portfolio. Across all markets, the Account’s properties are 89.9% leased.


Top 5 Metro Areas by Fair Market Value	Account % Leased	Number of Property Investments	Metro Area Fair Value as a % of Total RE Portfolio*	Metro Area Fair Value as a % of Total Investments*
Dallas-Fort Worth-Arlington, TX	96.1%	12	9.0%	7.5%
Riverside-San Bernardino-Ontario, CA	78.7%	6	8.6%	7.1%
Los Angeles-Long Beach-Anaheim, CA	88.2%	19	8.4%	7.1%
Washington-Arlington-Alexandria, DC-VA-MD-WV	86.7%	16	8.0%	6.7%
San Diego-Chula Vista-Carlsbad, CA	89.4%	8	6.0%	5.0%

*Wholly-owned properties are represented at fair value and gross of any debt, while joint venture properties are represented at the net equity value.

Office

The office sector continued its slow recovery in the second quarter. Demand growth was positive for the fourth consecutive quarter following three straight years of declines with 5.6 million square feet of net absorption according to Costar. Demand is expected to remain historically weak due to limited employment growth in traditional office-using segments of the macroeconomy. On the supply side, net supply growth has been negative in each of the last three quarters after factoring in demolitions and conversions of obsolete space into other uses, leading to the largest decline in office vacancy in nearly 8 years. In addition, office construction starts remain near record lows, signaling limited new supply over the medium-term. This has opened opportunities for investment in

the office sector, particularly for high-quality assets in gateway markets. Newer properties have collectively seen improving occupancy since early 2024 and should benefit from limited new competing supply in coming quarters. Office property prices have gained 5.9% since bottoming in the first half of 2025 according to Green Street, helping to drive a compelling relative value opportunity in the sector.

According to CoStar, the nationwide office vacancy rate edged down slightly in the second quarter of 2026, declining to 13.9% from 14.0% in the first quarter, even as leasing activity increased by 1.8 percentage points to 84.7%, driven by new lease signings, tenant retention, and continued return-to-office momentum through the first half of the year. Within the Account's office portfolio, vacancy similarly improved, falling to 15.3% in the second quarter from 17.1% in the first quarter, with the decline concentrated in the Dallas and San Diego metro areas. This improvement was supported by constrained new supply, inventory reduction, and strong demand for Class A space, as older office properties have undergone renovation to attract and retain modern tenants.


					Account Vacancy				Market Vacancy*
Top 5 Office Metropolitan Areas	Total Sector by Metro Area ($M)		% of Total Investments		Q2 2026		Q1 2026		Q2 2026		Q1 2026
All Office					15.3	%	17.1	%	13.9	%	14.0	%
Washington-Arlington-Alexandria, DC-VA-MD-WV	$	729.0	2.9	%	20.9	%	20.8	%	17.4	%	17.7	%
San Diego-Chula Vista-Carlsbad, CA	641.2		2.5	%	6.4	%	11.0	%	12.4	%	12.4	%
Dallas-Fort Worth-Arlington, TX	639.8		2.5	%	5.2	%	9.3	%	17.4	%	17.6	%
New York-Newark-Jersey City, NY-NJ-PA	356.3		1.4	%	9.9	%	9.8	%	12.8	%	13.0	%
Houston-The Woodlands-Sugar Land, TX	313.2		1.2	%	11.5	%	10.5	%	19.5	%	19.9	%

*Source: CoStar. Market vacancy is defined as the percentage of space available for rent. The Account's vacancy is defined as the percentage of unleased square footage.

Industrial

Industrial fundamentals improved modestly in the second quarter, with sector vacancy holding steady at 7.5%, according to CoStar. Demand growth registered 42.1 million square feet during the quarter and 76.4 million square feet in the first half of 2026, more than 3.5 times the demand growth recorded in the first half of 2025. Supply growth, which drove much of the vacancy increase in 2023–2024, slowed further in the second quarter to a 10-year low of 44.9 million square feet. With the existing supply pipeline back in line with pre-pandemic levels and new construction starts hovering near decade lows, the sector is expected to remain insulated from significant supply risk in the coming quarters. Demand growth remains constrained by softness in the housing sector and general macroeconomic uncertainty, but the sector continues to benefit from meaningful long-term tailwinds, including e-commerce growth and supply chain diversification, that should support tenant demand over the next several years.

The average vacancy rate of the industrial properties held by the Account rose from 9.3% in the first quarter of 2026 to 12.2% in the second quarter. This increase was driven by a combination of multiple lease expirations, dispositions, and subdued tenant demand, with the Riverside metro area bearing the brunt of these factors. Conversely, the Los Angeles metro market continued to show improved fundamentals, with vacancy rates compressing as heightened port and distribution activity and limited additions to industrial inventory.


					Account Vacancy				Market Vacancy*
Top 5 Industrial Metropolitan Areas	Total Sector by Metro Area ($M)		% of Total Investments		Q2 2026		Q1 2026		Q2 2026		Q1 2026
All Industrial					12.2	%	9.3	%	7.5	%	7.5	%
Riverside-San Bernardino-Ontario, CA	$	1,811.2	7.1	%	21.3	%	8.7	%	8.8	%	8.7	%
Dallas-Fort Worth-Arlington, TX	764.4		3.0	%	1.9	%	1.9	%	8.5	%	8.5	%
Seattle-Tacoma-Bellevue, WA	651.6		2.6	%	19.9	%	14.9	%	10.2	%	9.7	%
Los Angeles-Long Beach-Anaheim, CA	596.6		2.4	%	14.5	%	17.7	%	6.6	%	6.6	%
Miami-Fort Lauderdale-Pompano Beach, FL	578.9		2.3	%	2.0	%	1.4	%	7.6	%	7.4	%

*Source: CoStar. Market vacancy is defined as the percentage of space available for rent. The Account's vacancy is defined as the percentage of unleased square footage.

Multi-Family

The multi-family sector continued to make modest improvements in the second quarter. Data from Costar shows that net absorption in the second quarter of 2026 registered over 158,000 units, up 11.5% from the second quarter of 2025 and the third strongest second quarter on record. The recent crackdown in immigration has curbed population growth in the U.S. economy and weighed on apartment demand, but high interest rates and affordability challenges in the housing market are expected to continue to drive demand in coming quarters. Meanwhile, supply growth remains generally elevated compared to historic trends, but the number of units delivered in the second quarter of 2026 was down 23.5% year-over-year. Like other sectors, construction activity for multi-family projects has slowed significantly in recent quarters, and multi-family fundamentals should continue to improve as the pipeline of projects currently under construction is delivered.

The national apartment vacancy rate decreased modestly to 6.8% in the second quarter of 2026, down from 7.0% in the previous quarter, as reported by CoStar. The vacancy rate of the Account's apartment properties declined from 5.4% in the first quarter of 2026 to 4.8% in the second quarter. This decrease was driven by continued improvement in tenant demand and steady lease renewal activity, coupled with a decline in new construction that allowed available inventory to be absorbed more rapidly.


					Account Vacancy				Market Vacancy*
Top 5 Apartment Metropolitan Areas	Total Sector by Metro Area ($M)		% of Total Investments		Q2 2026		Q1 2026		Q2 2026		Q1 2026
All Apartment					4.8	%	5.4	%	6.8	%	7.0	%
Washington-Arlington-Alexandria, DC-VA-MD-WV	$	739.4	2.9	%	4.4	%	4.7	%	7.1	%	7.2	%
Los Angeles-Long Beach-Anaheim, CA	612.3		2.4	%	3.4	%	5.0	%	5.2	%	5.1	%
Miami-Fort Lauderdale-Pompano Beach, FL	510.3		2.0	%	4.5	%	4.2	%	5.6	%	5.7	%
Atlanta-Sandy Springs-Alpharetta, GA	434.9		1.7	%	5.6	%	5.5	%	9.5	%	9.9	%
Dallas-Fort Worth-Arlington, TX	299.9		1.2	%	5.9	%	4.3	%	9.7	%	10.0	%

*Source: RealPage. Market vacancy is the percentage of units vacant. The Account's vacancy is defined as the percentage of unleased square footage.

Retail

Retail fundamentals have proven to be resilient in the first half of the year despite heightened pressure on consumer conditions and discretionary spending. Demand growth rebounded in the second quarter after a decline in the first quarter as net absorption reached 10.4 million square feet according to Costar. Leasing continues to be dominated by smaller format, freestanding, or in-line spaces with service-based tenants leading growth. Within the retail sector, high-end malls continue to perform well and can attract quality tenants while lower-tier malls face high vacancies and struggling consumer activity. Grocery-anchored centers remain highly stable investments, as essential food

shopping provides a reliable buffer during uncertain economic cycles. Like commercial real estate overall, construction activity and supply growth in retail has been limited in recent quarters and should provide support for occupancy rates should demand moderate.

The Account's retail portfolio is composed primarily of high-end lifestyle shopping centers and regional malls located in large metropolitan and tourist markets, property types that inherently carry higher vacancy rates relative to the broader national retail market. The portfolio spans more than 1,100 retailers, with the largest single retailer representing less than 5.0% of total retail rentable area, reflecting a deliberate strategy to limit concentration risk. While the national retail vacancy rate remained stable at 4.4% through the first two quarters of the year, the average vacancy rate across the Account's retail properties rose from 7.4% to 7.5% over the same period, driven largely by challenges within the lifestyle and mall segment where weak-tier properties struggled following the loss of anchor tenants, difficulty backfilling vacant space, and store closures outpacing new openings at specific locations. Conversely, the power center component of the portfolio continued on a positive trajectory, as vacancy declined again in the second quarter supported by the sustained expansion of necessity-based retailers and the productive absorption of previously vacant spaces.


					Account Vacancy				Market Vacancy*
	Total Exposure ($M)		% of Total Investments		Q2 2026		Q1 2026		Q2 2026		Q1 2026
All Retail					7.5	%	7.4	%	4.4	%	4.4	%
Lifestyle & Mall	$	1,147.5	4.5	%	5.2	%	4.3	%	8.5	%	8.6	%
Neighborhood, Community & Strip	995.7		3.9	%	10.8	%	11.3	%	6.2	%	6.2	%
Power Center**	344.5		1.4	%	9.4	%	10.5	%	4.9	%	4.9	%

*Source: CoStar. Market vacancy is the percentage of space available for rent. The Account’s vacancy is defined as the percentage of unleased square footage.

**The Power Center designation is reserved for properties with three or more anchor units. Anchor units are leased to large retailers such as department stores, home improvement stores, and warehouse clubs. Properties with the Neighborhood, Community and Strip designation consist of two or fewer anchor units.

Hotel

The Account's hotel investment continued its decline in vacancy into the second quarter of 2026, supported by continued improvement in lodging demand and increased occupancy from higher business and leisure travel activity. Looking ahead, the outlook for hotel occupancy is generally positive, though growth may be tempered by economic uncertainty and rising operating expenses.

The Account's exposure to the hospitality sector is limited to a single hotel in the Dallas metro area. Located in a business park, the property caters largely to business travelers. Key metrics for tracking hotel performance include occupancy, average daily rate ("ADR"), and revenue per available room ("RevPAR"). For the quarter ended June 30, 2026, occupancy increased to 75.1%, compared to 63.9% in the previous quarter. ADR and RevPAR were $158.10 and $118.81, respectively, for the second quarter of 2026, compared to $165.27 and $105.63, respectively, in the prior quarter.

INVESTMENTS

As of June 30, 2026, the Account had total net assets of $22.9 billion, a 0.8% increase from December 31, 2025.

As of June 30, 2026, the Account held 83.5% of its total investments in real estate and real estate joint ventures. The Account also held a real estate operating business representing 4.9% of total investments, real estate funds representing 3.2% of total investments, U.S. government agency notes representing 3.0% of total investments, U.S treasury securities representing 1.9% of total investments, investments in loans receivable, including those with related parties, representing 1.9% of total investments and U.S. short term repos representing 1.6% of total investments.

The outstanding principal on loans payable on the Account’s wholly-owned real estate portfolio as of June 30, 2026 was $0.6 billion. The Account’s proportionate share of outstanding principal on loans payable within its joint

venture investments was $2.5 billion, which is netted against the underlying properties when determining the joint venture investment’s fair value presented on the Consolidated Schedules of Investments. As of June 30, 2026, the total outstanding principal on the Account’s portfolio was $5.1 billion, inclusive of loans payable within the joint venture investments, $1,600.0 million in senior notes payable, $250.0 million outstanding on the Account's line of credit, and $196.8 million in loans collateralized by a loan receivable. This amount represented a loan-to-value ratio of 18.0%.

Management believes that the Account’s real estate portfolio is diversified by location and property type. The Account does not intend to buy and sell its real estate investments simply to make short-term profits. Rather, the Account’s general strategy in selling real estate investments is to dispose of those assets that management believes (i) have maximized in value, (ii) have underperformed or face deteriorating property-specific or market conditions, (iii) need significant capital infusions in the future, (iv) are appropriate to dispose of in order to remain consistent with the Account’s intent to diversify the Account by property type and geographic location (including reallocating the Account’s exposure to or away from certain property types in certain geographic locations), or (v) otherwise no longer satisfy the investment objectives of the Account. Management, from time to time, will evaluate the need to manage liquidity in the Account as part of its analysis as to whether to undertake a particular asset sale. The Account may reinvest any sale proceeds that it does not need to pay operating expenses or to meet debt service or redemption requests (e.g., contract owner withdrawals or benefit payments).

The following table lists the Account's ten largest investments as of June 30, 2026. For information regarding the Account's diversification of real estate assets by region and property type, see Note 3—Concentrations of Risk.


Ten Largest Real Estate Investments
Property Investment Name	Ownership Percentage	City	State	Type	Gross Real Estate Fair Value(1)		Debt Fair Value(2)		Net Real Estate Fair Value(3)		Property as a % of Total Real Estate Portfolio(4)	Property as a % of Total Investments(5)
Simpson Housing Portfolio	80.00%	Various	U.S.A.	Apartment	$	1,021.8	$	477.3	$	544.5	4.3%	3.7%
Ontario Industrial Portfolio	100.00%	Ontario	CA	Industrial	951.9		—		951.9		4.0%	3.4%
Fashion Show	50.00%	Las Vegas	NV	Retail	790.5		413.5		377.0		3.4%	2.8%
Campus Pointe Consolidation	42.10%	San Diego	CA	Office	643.8		—		643.8		2.7%	2.3%
Lincoln Centre	100.00%	Dallas	TX	Office	598.0		—		598.0		2.5%	2.1%
Storage Portfolio II	90.00%	Various	U.S.A.	Storage	578.3		171.2		407.1		2.5%	2.1%
The Florida Mall	50.00%	Orlando	FL	Retail	533.7		307.4		226.3		2.3%	1.9%
Dallas Industrial Portfolio	100.00%	Dallas	TX	Industrial	523.3		—		523.3		2.2%	1.9%
1001 Pennsylvania Avenue	100.00%	Washington	D.C.	Office	416.0		—		416.0		1.8%	1.5%
Seavest MOB	98.78%	Various	U.S.A.	Office	410.7		72.8		337.9		1.7%	1.5%

(1)The Account's share of the fair value of the property investment, gross of debt.

(2)Debt fair values are presented at the Account's ownership interest.

(3)The Account's share of the fair value of the property investment, net of debt.

(4)Total real estate portfolio is the aggregate fair value of the Account's wholly-owned properties and the properties held within a joint venture, gross of debt.

(5)Total investments are the aggregate fair value of all investments held by the Account, gross of debt. Total investments, as calculated within this table, will vary from total investments, as calculated in the Account's Schedule of Investments, as joint venture investments are presented in the Schedule of Investments at their net equity position in accordance with accounting principles generally accepted in the United States (U.S. GAAP").

Results of Operations

Three months ended June 30, 2026 compared to Three months ended June 30, 2025

Net Investment Income

The following table shows the results of operations for the three months ended June 30, 2026 and 2025 and the dollar and percentage changes for those periods (dollars in millions).


	For the Three Months Ended June 30,				Change
	2026		2025		$		%
			2
Real estate income, net:
Rental income	$	314.5	$	314.9	$	(0.4)	(0.1)	%
Real estate property level expenses:
Operating expenses	73.9		73.9		—		—	%
Real estate taxes	44.1		45.5		(1.4)		(3.1)	%
Interest expense	10.3		13.2		(2.9)		(22.0)	%
Total real estate property level expenses	128.3		132.6		(4.3)		(3.2)	%
Real estate income, net	186.2		182.3		3.9		2.1	%
Income from real estate joint ventures	40.6		45.2		(4.6)		(10.2)	%
Income from real estate funds	(0.4)		2.7		(3.1)		(114.8)	%
Interest income	24.3		28.4		(4.1)		(14.4)	%


TOTAL INVESTMENT INCOME	250.7		258.6		(7.9)		(3.1)	%
Expenses:
Investment management charges	18.3		15.8		2.5		15.8	%
Administrative charges	13.2		13.1		0.1		0.8	%
Distribution charges	2.6		2.0		0.6		30.0	%

Liquidity guarantee charges	15.9		15.8		0.1		0.6	%
Interest expense	20.9		10.5		10.4		99.0	%
TOTAL EXPENSES	70.9		57.2		13.7		24.0	%
INVESTMENT INCOME, NET	$	179.8	$	201.4	$	(21.6)	(10.7)	%

The table below illustrates and compares rental income, operating expenses and real estate taxes for properties held by the Account for the three months ended June 30, 2026 and 2025, "same property", as compared to the comparative increases or decreases associated with the acquisition and disposition of properties made in either period.


	Rental Income								Operating Expenses								Real Estate Taxes
					Change								Change								Change
	2026		2025		$		%		2026		2025		$		%		2026		2025		$		%
Same Property	$	277.3	$	286.5	$	(9.2)	(3.2)	%	$	66.0	$	67.2	$	(1.2)	(1.8)	%	$	39.6	$	42.3	$	(2.7)	(6.4)	%
Properties Acquired	28.9		—		28.9		N/M		5.4		—		5.4		N/M		4.3		—		4.3		N/M
Properties Sold	8.3		28.4		(20.1)		(70.8)	%	2.5		6.7		(4.2)		(62.7)	%	0.2		3.2		(3.0)		(93.8)	%
Impact of Properties Acquired/Sold	37.2		28.4		8.8		31.0	%	7.9		6.7		1.2		17.9	%	4.5		3.2		1.3		40.6	%
Total Property Portfolio	$	314.5	$	314.9	$	(0.4)	(0.1)	%	$	73.9	$	73.9	$	—	—	%	$	44.1	$	45.5	$	(1.4)	(3.1)	%

N/M—Not meaningful

Rental Income:

Rental income decreased by $0.4 million, or 0.1%, when compared to the second quarter of 2025, attributable to lower rent percentages due to tenant move-outs and lease expirations specifically in the industrial and retail sectors.

Additionally, the prior year quarter benefited from higher rental rates, recovery of bad debt and improved expense recoveries.

Operating Expenses:

Operating expenses remained relatively flat compared to the second quarter of 2025, as property acquisitions in the current quarter and dispositions in the prior year quarter largely offset each other.

Real Estate Taxes:

Real estate taxes decreased $1.4 million, or 3.1%, when compared to the second quarter of 2025, primarily attributable to a reduction in real estate taxes resulting from prior period abatements, partially offset by net disposition and acquisition activity.

Interest Expense:

Interest expense decreased $2.9 million, or 22.0%, primarily attributable to a reduction in the average outstanding principal balance on loans payable during the second quarter of 2026, as compared to the same quarter in 2025.

Income from Real Estate Joint Ventures:

Income from real estate joint ventures decreased $4.6 million, or 10.2%, as compared to the corresponding second quarter in 2025, driven primarily by a reduction in distributed income from a retail property located in Orlando, Florida and an office property located in Boston, Massachusetts. The decline in distributed income is attributable to higher operating expenses incurred by the Account's joint ventures.

Income from Real Estate Funds:

Income from real estate funds decreased $3.1 million, or 114.8%, as compared to the corresponding quarter in 2025, primarily attributable to lower dividends received from two of the Account's real estate fund investments, driven by higher operating expenses incurred, which reduced the distributable income available to the Account.

Interest Income:

Interest income decreased $4.1 million, or 14.4%, in comparison to the same quarter of 2025, due to a reduction in the Account's loan receivable portfolio, resulting in lower interest earned on these investments.

Expenses:

Investment management, administrative and distribution expenses charged to the Account by TIAA and one of its affiliates are charged on an at-cost basis and are associated with managing the Account. Investment management charges are comprised primarily of fixed components, but fluctuate based on the size of the Account's portfolio of investments, whereas administrative and distribution charges are comprised of more variable components that generally correspond with movements in net assets. Both distribution services (pursuant to the Distribution Agreement) and administrative services are provided to the Account by Services and TIAA, respectively, on an at-cost basis. Investment management expenses increased by $2.5 million when compared to the prior year second quarter due to elevated transaction activity. Administrative expenses increased $0.1 million due to greater technology and software expenditures and employee related costs. Distribution charges increased $0.6 million when compared to the prior year second quarter due to higher average net assets resulting in increased servicing fees.

Mortality and expense risk and liquidity guarantee expenses are contractual charges to the Account from TIAA for TIAA's assumption of these risks and provision of the liquidity guarantee. The rate for these charges is established annually and are charged at a fixed rate based on the Account's net assets. Mortality and expense risk expenses were not applicable in the comparative periods as this charge was not yet in effect. Liquidity guarantee expenses were $0.1 million higher than the comparable period of 2025, though the overall level of expense remained relatively modest in both periods.

Interest expense on the Account's unsecured debt increased $10.4 million when compared to the same quarter of 2025, driven by growth in the Account's credit facility and senior notes payable.

Net Realized and Unrealized Gains and Losses on Investments and Debt

The following table shows the net realized and unrealized losses on investments and debt for the three months ended June 30, 2026 and 2025 and the dollar and percentage changes for those periods (millions).


	For the Three Months Ended June 30,				Change
	2026		2025		$		%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT
Net realized gain (loss) on:
Real estate properties	$	39.1	$	(482.6)	$	521.7	108.1	%
Real estate joint ventures	(1.0)		(13.0)		12.0		92.3	%

Foreign currency translation	—		0.1		(0.1)		(100.0)	%


Loans receivable	—		(92.9)		92.9		100.0	%
Loans payable	—		61.7		(61.7)		(100.0)	%
Total realized gain (loss) on investments and debt	38.1		(526.7)		564.8		107.2	%
Net change in unrealized gain (loss) on:
Real estate properties	(76.1)		501.2		(577.3)		(115.2)	%
Real estate joint ventures	68.4		(46.1)		114.5		248.4	%
Real estate funds	(28.4)		5.4		(33.8)		(625.9)	%
Real estate operating business	161.5		(27.8)		189.3		680.9	%

Marketable securities	(0.2)		0.1		(0.3)		(300.0)	%
Loans receivable	(5.6)		85.5		(91.1)		(106.5)	%

Loans payable	(5.9)		(1.0)		(4.9)		(490.0)	%
Other unsecured debt	3.4		(7.8)		11.2		143.6	%
Net change in unrealized gain (loss) on investments and debt	117.1		509.5		(392.4)		(77.0)	%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT	$	155.2	$	(17.2)	$	172.4	1,002.3	%

N/M—Not meaningful

Real Estate Properties:

Wholly-owned real estate investments experienced net realized and unrealized losses of $37.0 million during the second quarter of 2026, compared to $18.6 million of net realized and unrealized gains during the comparable quarter of 2025. Current period realized losses in the second quarter of 2026 were attributable to the dispositions of a retail property in Mooresville, North Carolina and an industrial property in Houston, Texas. Unrealized losses were largely attributable to the industrial and multi-family sectors, due to softening rent growth, elevated vacancy and broader market uncertainty associated with tariff policies. Realized losses in the second quarter of 2025 were attributable to the dispositions of three multi-family property in California and Minnesota; and five office properties in Virginia, Massachusetts and California. Unrealized gains were largely attributable to office and industrial properties, due to resilient demand, positive rent growth and stabilized interest rates.

Real Estate Joint Ventures:

Real estate joint ventures experienced net realized and unrealized gains of $67.4 million during the second quarter of 2026, compared to $59.1 million of net realized and unrealized losses during the second quarter of 2025. Unrealized gains for the current quarter were primarily driven by the Account's joint venture investments in the office and retail sectors, reflecting improved occupancy due to subleasing opportunities, rent growth in prime retail assets, principally grocery-anchored and neighborhood centers, as well as office spaces. Realized loss was attributable to the disposition of a medical office property in Minnesota. Prior period unrealized losses were attributable to the Account's joint venture investments in the office and storage sectors, reflecting decreased market demand and political pressures during the period.

Real Estate Funds:

Real estate funds experienced unrealized losses of $28.4 million during the second quarter of 2026, compared to $5.4 million of unrealized gains during the comparable period of 2025. Unrealized losses in the second quarter of 2026 were driven by unfavorable changes in capitalization rates and lowered investor demand, resulting in unfavorable valuations for the Account's real estate fund investments. Prior period gains were due to favorable changes in capitalization rates and strengthened investor demand, resulting in favorable valuations for the Account's real estate fund investments.

Real Estate Operating Business:

The Account's real estate operating business experienced unrealized gains of $161.5 million during the second quarter of 2026, compared to $27.8 million of unrealized losses in the comparable period of 2025. Unrealized gains in the second quarter of 2026 were primarily attributable to increased appraised valuations reflecting anticipated capacity expansion projects scheduled for 2027 and 2032. The prior period unrealized loss was the result of unfavorable valuation adjustments recognized during that quarter.

Marketable Securities:

The Account's marketable securities recognized unrealized losses of $0.2 million during the second quarter of 2026, driven by fluctuations in U.S. Treasury rates during the period, compared to unrealized gains of $0.1 million recorded in the second quarter of 2025, representing a modest unfavorable movement period over period.

Loans Receivable, including those with related parties:

Loans receivable, including those with related parties, experienced unrealized losses of $5.6 million during the second quarter of 2026, compared to $7.4 million of net realized and unrealized losses during the comparable quarter of 2025. The current period unrealized losses are primarily attributed to an unfavorable valuation on a single loan during the quarter. The appraised values of the collateral asset properties were lower than the principal value of the loans, which resulted in the unfavorable valuation of the loans receivable. The comparable period net realized and unrealized losses are mainly attributed to unfavorable valuations of two loans during the period

Loans Payable:

Loans payable experienced unrealized losses of $5.9 million in the second quarter of 2026, compared to $60.7 million of net realized and unrealized gains during the comparable quarter of 2025. The unrealized losses in the current period were primarily driven by a decline in the fair value of debt attributable to rising inflation affecting market interest rates during the quarter. The net gains in the second quarter of 2025 were attributable to interest and debt forgiven from a disposed office property in Massachusetts.

Other Unsecured Debt:

The Account's other unsecured debt experienced unrealized gains of $3.4 million in the second quarter of 2026, compared to $7.8 million of unrealized losses during the comparable quarter of 2025. The unrealized gains recognized in the current period were primarily attributable to widening credit spreads and improved market perception during the quarter. The unrealized losses recorded in the prior period were driven by changes in the risk free yield curve and market assumptions due to political pressures.

Six months ended June 30, 2026 compared to Six months ended June 30, 2025

Net Investment Income

The following table shows the results of operations for the six months ended June 30, 2026 and 2025 and the dollar and percentage changes for those periods (dollars in millions).


	For the Six Months Ended June 30,				Change
	2026		2025		$		%
INVESTMENT INCOME
Real estate income, net:
Rental income	$	618.3	$	636.7	$	(18.4)	(2.9)	%
Real estate property level expenses:
Operating expenses	156.5		156.8		(0.3)		(0.2)	%
Real estate taxes	87.5		91.4		(3.9)		(4.3)	%
Interest expense	21.4		33.3		(11.9)		(35.7)	%
Total real estate property level expenses	265.4		281.5		(16.1)		(5.7)	%
Real estate income, net	352.9		355.2		(2.3)		(0.6)	%
Income from real estate joint ventures	83.8		96.7		(12.9)		(13.3)	%
Income from real estate funds	3.0		14.9		(11.9)		(79.9)	%
Interest income	49.8		64.8		(15.0)		(23.1)	%


TOTAL INVESTMENT INCOME	489.5		531.6		(42.1)		(7.9)	%
Expenses:
Investment management charges	36.6		34.4		2.2		6.4	%
Administrative charges	28.2		28.5		(0.3)		(1.1)	%
Distribution charges	5.1		5.1		—		—	%

Liquidity guarantee charges	31.6		31.4		0.2		0.6	%
Interest expense	41.6		20.1		21.5		107.0	%
TOTAL EXPENSES	143.1		119.5		23.6		19.7	%
INVESTMENT INCOME, NET	$	346.4	$	412.1	$	(65.7)	(15.9)	%

The following table illustrates and compares rental income, operating expenses and real estate taxes for properties held by the Account for the six months ended June 30, 2026 and 2025. The comparative increases or decreases associated with the acquisition and disposition of properties made in either period is compared to "same property" (dollars in millions).


	Rental Income								Operating Expenses								Real Estate Taxes
					Change								Change								Change
	2026		2025		$		%		2026		2025		$		%		2026		2025		$		%
Same Property	$	541.9	$	548.6	$	(6.7)	(1.2)	%	$	138.7	$	132.2	$	6.5	4.9	%	$	78.9	$	79.9	$	(1.0)	(1.3)	%
Properties Acquired	56.2		17.1		39.1		228.7	%	11.4		5.2		6.2		119.2	%	8.0		1.6		6.4		400.0	%
Properties Sold	20.2		71.0		(50.8)		(71.5)	%	6.4		19.4		(13.0)		(67.0)	%	0.6		9.9		(9.3)		(93.9)	%
Impact of Properties Acquired/Sold	76.4		88.1		(11.7)		(13.3)	%	17.8		24.6		(6.8)		(27.6)	%	8.6		11.5		(2.9)		(25.2)	%
Total Property Portfolio	$	618.3	$	636.7	$	(18.4)	(2.9)	%	$	156.5	$	156.8	$	(0.3)	(0.2)	%	$	87.5	$	91.4	$	(3.9)	(4.3)	%

N/M—Not meaningful

Rental Income:

Rental income decreased by $18.4 million, or 2.9%, when compared to the first six months of 2025, primarily due to a reduction in parking revenue, lower rental rates resulting from tenant move-outs and lease expirations, and reduced tenant reimbursements primarily in the retail sector.

Operating Expenses:

Operating expenses decreased $0.3 million, or 0.2%, when compared to the same period of 2025, primarily due to net property dispositions, as indicated in the table above.

Real Estate Taxes:

Real estate taxes decreased $3.9 million, or 4.3%, when compared to the same period in 2025, primarily due to net property dispositions, as noted in the table above, as well as tax abatements and accrual true-ups for supplemental taxes that reduced taxes primarily in the office sector.

Interest Expense:

Interest expense decreased by $11.9 million when compared to the same period in 2025, primarily due to a lower average outstanding principal balance on the Account's loans payable.

Income from Real Estate Joint Ventures:

Income from real estate joint ventures decreased $12.9 million compared to the corresponding period in 2025, driven primarily by a reduction in distributed income from a student housing portfolio located across various markets and a retail property located in Las Vegas, Nevada. The decline in distributed income is attributable to higher operating expenses incurred by the Account's joint ventures.

Income from Real Estate Funds:

Income from real estate funds decreased $11.9 million, when compared to the corresponding period in 2025, primarily attributable to lower dividends received from two of the Account's real estate fund investments, driven by higher operating expenses incurred, which reduced the distributable income available to the Account.

Interest Income:

Interest income decreased $15.0 million compared to the same period in 2025, due to a reduction in the loan receivable portfolio. The prior period reflected higher interest income attributable to a larger outstanding loan receivable portfolio during that period.

Expenses:

Investment management, administrative and distribution expenses charged to the Account by TIAA and one of its affiliates are charged on an at-cost basis and are associated with managing the Account. Investment management charges are comprised primarily of fixed components, but fluctuate based on the size of the Account's portfolio of investments, whereas administrative and distribution charges are comprised of more variable components that generally correspond with movements in net assets. Both distribution services (pursuant to the Distribution Agreement) and administrative services are provided to the Account by Services and TIAA, respectively, on an at-cost basis. Investment management expenses increased by $2.2 million when compared to the prior year due to elevated transaction activity increasing the Account's total investments. Administrative expenses decreased $0.3 million due to lower personnel costs and professional fees. Distribution charges were relatively flat when compared to the prior year.

Mortality and expense risk and liquidity guarantee expenses represent contractual charges to the Account from TIAA in exchange for TIAA's assumption of these risks and its provision of the liquidity guarantee. These charges are established annually and assessed at a fixed rate based on the Account's net assets. Mortality and expense risk charges were not applicable during the comparative periods, as this charge had not yet been put into effect. Liquidity guarantee expenses were $0.2 million higher than the comparable period of 2025, reflecting slight growth in the Account's average net assets over the period.

Interest expense from the Account's other unsecured debt and line of credit increased $21.5 million when compared to the same period of 2025, due to an increase in the Account's credit facility and senior notes payable.

Net Realized and Unrealized Gains and Losses on Investments and Debt

The following table shows the net realized and unrealized gains and losses on investments and debt for the six months ended June 30, 2026 and 2025 and the dollar and percentage changes for those periods (dollars in millions).


	For the Six Months Ended June 30,				Change
	2026		2025		$		%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT
Net realized gain (loss) on:
Real estate properties	$	(50.6)	$	(670.0)	$	619.4	92.4	%
Real estate joint ventures	(62.2)		(3.5)		(58.7)		(1,677.1)	%
Real estate funds	25.7		—		25.7		N/M
Foreign currency translation	—		0.1		(0.1)		(100.0)	%

Loans receivable	(56.0)		(92.9)		36.9		39.7	%
Loans payable	34.7		61.7		(27.0)		(43.8)	%
Total realized gain (loss) on investments and debt:	(108.4)		(704.6)		596.2		84.6	%
Net change in unrealized gain (loss) on:
Real estate properties	(49.8)		612.4		(662.2)		(108.1)	%
Real estate joint ventures	128.5		35.0		93.5		267.1	%
Real estate funds	(50.6)		1.7		(52.3)		(3,076.5)	%
Real estate operating business	170.9		(28.0)		198.9		710.4	%

Marketable securities	(0.4)		—		(0.4)		N/M
Loans receivable	49.8		86.3		(36.5)		(42.3)	%

Loans payable	(30.7)		3.3		(34.0)		(1,030.3)	%
Other unsecured debt	18.3		(14.3)		32.6		228.0	%
Net change in unrealized gain (loss) on investments and debt	236.0		696.4		(460.4)		(66.1)	%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND DEBT	$	127.6	$	(8.2)	$	135.8	1,656.1	%

N/M—Not meaningful

Real Estate Properties:

Wholly-owned real estate investments experienced net realized and unrealized losses of $100.4 million during the first half of 2026, compared to $57.6 million of net realized and unrealized losses during the comparable period of 2025. Current period realized losses in the first half of 2026 were attributable to the dispositions of two office properties in Massachusetts and Oregon; two multi-family properties in Texas and California; two retail properties in Pennsylvania and North Carolina and an industrial portfolio in Texas. Unrealized losses were largely attributable to office and multi-family properties, due to reduced demand associated with the continued adoption of hybrid work models, shortage of prime, tenant ready space to attract new occupancy and weak demand amid a higher interest rate environment. The realized losses in the first half of 2025 were attributable to the sale of four multi-family properties in Texas, California and Minnesota; and six office properties in Washington, D.C, Virginia, Massachusetts and California. Unrealized gains were primarily driven by office and multi-family properties in the Western and Eastern region due to resilient demand, positive rent growth and stabilized interest rates.

Real Estate Joint Ventures:

Real estate joint ventures experienced net realized and unrealized gains of $66.3 million during the first six months of 2026, compared to net realized and unrealized gains of $31.5 million during the comparable period of 2025. Unrealized gains for the current period were primarily driven by the Account's joint venture investments in the office and multifamily sectors, reflecting continued growth in market demand and compressed capitalization rates. Realized losses was attributable to the disposition of a multi-family property in New York and a medical office in

Minnesota. Unrealized gains in the first half of 2025 were primarily driven by retail and multi-family properties due to increased regional market demand and improved asset specific performances.

Real Estate Funds:

Real estate funds experienced net realized and unrealized losses of $24.9 million during the first six months of 2026, compared to unrealized gains of $1.7 million during the first six months of 2025. Realized gains in the first half of 2026 are due to sales within one of the Account's real estate fund portfolios. Unrealized losses were driven by unfavorable changes in capitalization rates and lowered investor demand, resulting in unfavorable valuations for the Account's real estate fund investments. Prior period gains were due to favorable valuations of four of the Account's real estate funds, due to lower capitalization rates.

Real Estate Operating Business:

The Account's real estate operating business experienced unrealized gains of $170.9 million during the first half of 2026, compared to $28.0 million of unrealized losses in the comparable period of 2025. Unrealized gains were primarily attributable to favorable valuation adjustments, largely resulting from reduced development costs, increased income from core operations, and anticipated capacity expansion projects scheduled for 2027 and 2032. Unrealized losses in the prior period were primarily attributable to unfavorable valuation adjustments driven by additional debt incurred during that period.

Marketable Securities:

The Account's marketable securities holdings experienced unrealized losses of $0.4 million during the first half of 2026, compared to none in the comparable period of 2025. The losses recognized in the current period were driven by fluctuations in U.S. Treasury rates during the first half of 2026, the impact of which was not present in the prior period.

Loans Receivable, including those with related parties:

Loans receivable, including those with related parties, experienced net realized and unrealized losses of $6.2 million during the first six months of 2026, compared to $6.6 million of net realized and unrealized losses during the comparable period of 2025. Current period realized losses are primarily attributable to the foreclosure of a loan collateralized by an office portfolio and the payoff of two loans collateralized by office properties, partially offset by unrealized gains resulting from favorable valuation adjustments on two investments. The appraised values of the collateral properties exceeded the principal balances of the respective loans, supporting the favorable valuation adjustments recognized in the period. Prior period net realized and unrealized losses are primarily attributable to realized losses associated with two loans paid off by the borrower, offset by favorable valuations

Loans Payable:

Loans payable recognized net realized and unrealized gains of $4.0 million in the first half of 2026, compared to $65.0 million of net realized and unrealized gains in the comparable period of 2025. The realized gains in the first half of 2026 were primarily attributable to the forgiveness of debt associated with an office property in Portland, Oregon, and debt extinguishment related to a retail property in Mooresville, North Carolina. The unrealized losses were primarily driven by unfavorable valuation adjustments on debt resulting from rising market interest rates and widening credit spreads during the period. In the comparable period of 2025, realized gains were primarily attributable to the forgiveness of interest and debt associated with a disposed office property in Massachusetts, while unrealized gains were primarily driven by an increase in the fair value of debt due to improved market conditions.

Other Unsecured Debt:

Other unsecured debt experienced unrealized gains of $18.3 million in the first six months of 2026, attributable to favorable changes in credit spreads and improved market perception. Prior year unrealized losses of $14.3 million were attributable to unfavorable changes in credit spreads and market assumptions due to political pressures.

Liquidity and Capital Resources

As of June 30, 2026 and December 31, 2025, the Account’s cash and cash equivalents and non-real estate-related marketable securities had a value of $1.7 billion and $1.8 billion, respectively (7.6% and 7.9% of the Account’s net assets at such dates, respectively). The Account’s liquid assets continue to be available to purchase suitable real estate properties, meet the Account’s debt obligations, expense needs, and contract owner redemption requests (i.e., contract owner transfers, withdrawals or benefit payments). In addition, as disclosed in the Account's 2025 Form 10-K, the Account is able to meet its short-term and long-term liquidity needs through cash provided by operating activities, the available borrowing capacity under its Credit Agreement and the liquidity guarantee provided by TIAA as described below.

Liquidity Guarantee

The liquidity guarantee ensures that the account will be able to meet its cash requirements with respect to redeeming accumulation unit contract owners, both in the short- and long-term. In accordance with the liquidity guarantee obligation, TIAA guarantees that all contract owners in the Account may redeem their accumulation units at their accumulation unit value next determined after their transfer or cash withdrawal request is received in good order. The Account pays TIAA a fee for the risks associated with providing the liquidity guarantee through a daily deduction from the Account’s net assets.

Although the Account experienced mixed net contract owner outflows and inflows during the second quarter of 2026, the TIAA General Account was not required to purchase any liquidity units during the period. TIAA's ownership is approximately 4.03% of the outstanding accumulation units of the Account as of June 30, 2026. The independent fiduciary, which has the right to adjust the percentage of total accumulation units that TIAA’s ownership should not exceed (the “trigger point”), has established the trigger point at 45% of the outstanding accumulation units.

Net Investment Income

Net investment income continues to be an additional source of liquidity for the Account. Net investment income was $346.4 million for the six months ended June 30, 2026, as compared to $412.1 million for the comparable period of 2025. The decrease in total net investment income is described more fully in the Results of Operations section.

Leverage

As of June 30, 2026, the Account’s ratio of outstanding principal amount of debt (inclusive of the Account’s proportionate share of debt held within its joint venture investments, senior notes payable and any loans outstanding on the Account's Credit Agreement) to total gross asset value (i.e., a "loan -to-value ratio") was 18.0%. The Account intends to maintain its loan-to-value ratio at or below 30% (this ratio is measured at the time of incurrence and after giving effect thereto). The Account’s total gross asset value, for these purposes, is equal to the total fair value of the Account’s assets (including the fair value of the Account’s net equity interest in joint ventures), with no reduction associated with any indebtedness on such assets.

The Account's Credit Agreement, which is a $1.4 billion unsecured line of credit or credit facility, that facilitates near-term investment objectives, as further described in Note 12—Credit Facility. As of June 30, 2026, the Account had $250.0 million outstanding on the line of credit. The Credit Agreement was recently amended to increase the maximum capacity and provide for three extension options. The amendment also increased the accordion feature, allowing the Account to request additional funding of up to $300.0 million at any time prior to the Commitment Termination date, and removed the credit spread adjustment from the SOFR rate election. Any request for additional funding beyond the base commitment is subject to approval at the sole discretion of the lenders and is not guaranteed.

As of June 30, 2026, the total principal outstanding for mortgages on properties held directly by the Account (three of which are collateralized by a loan receivable), the Credit Agreement and senior notes payable were $2.6 billion. The Account has four mortgage obligations secured by wholly-owned real estate investments, totaling $179.0 million, that are scheduled to mature within the next twelve months. This total includes a loan currently in default

totaling $24.0 million. The Account currently has sufficient liquidity in the form of cash and cash equivalents, short-term securities, and available capacity on the Account's line of credit under the Credit Agreement that can be drawn to meet its current mortgage obligations.

In times of high net inflow activity, in particular during times of high net contract owner transfer inflows, management may determine to apply a portion of such cash flows to make prepayments of indebtedness prior to scheduled maturity, which would have the effect of reducing the Account’s loan-to-value ratio.

Statements of Cash Flows

The following table sets forth the Account's sources and uses of cash flows for the six months ended June 30, 2026 and 2025 (in millions)


	As of Six Months Ended June 30,
	2026		2025
Cash flows provided by (used in):
Operating activities	$	301.9	$	257.7
Financing activities	$	(287.0)	$	(368.2)

The following provides information regarding the Account's cash flows from operating and financing activities for the six months ended June 30, 2026.

Operating Activities: The Account's operating cash flows are primarily impacted by net investment income and the purchase or sale of investments and debt. Cash provided by operating activities for the six months ended June 30, 2026, as compared to the prior year period, increased by approximately $44.2 million. This increase was primarily driven by:

•$291.9 million in net decrease of purchases of wholly owned properties, real estate joint ventures and funds;

•$187.6 million increase in the proceeds from the payoffs of loans receivable, when compared to second quarter of prior year;

•$36.5 million net decrease in the purchase of marketable securities; and

•$20.1 million net decrease of capital improvements on wholly owned properties.

Offsetting the increase in cash provided by operating activities above was the following;

•$299.3 million in net decrease in proceeds from sale of real estate properties, real estate joint ventures, funds and payoff of loans receivable from related parties;

•$223.6 million in decrease in payable for securities purchased.

Financing Activities: The Account's financing cash flows are primarily impacted by contract owner transactions and repayments of debt. For the period ended June 30, 2026, cash used in financing activities decreased $81.2 million compared to the comparable period in 2025, primarily driven by:

•A decrease in net debt repayments of $284.4 million;

Offsetting the decrease in cash used in financing activities above was the following;

•A decrease in proceeds from line of credit borrowings of $129.0 million;

•A decrease in net contract owner outflows of $74.2 million, when compared to the first six months of prior year.

Long-Term Financing and Capital Needs

The Account expects to meet its long-term liquidity requirements, such as debt maturities, property acquisitions and financing of development activities, through the use of unsecured debt and credit facilities, proceeds received from the disposition of certain properties and joint ventures, along with cash generated from operations after all distributions. The Account has a significant number of unencumbered properties available to secure additional mortgage borrowings should unsecured capital be unavailable or the cost of alternative sources of capital be too high. The value of and cash flow from these unencumbered properties are in excess of the requirements the Account must maintain in order to comply with covenants under its unsecured notes and Credit Agreement.

A summary of the Account's outstanding debt is as follows (in millions):


	June 30, 2026				December 31, 2025
	Principal Balance		% of Total		Principal Balance		% of Total
Secured	$	760.8	29.1	%	$	892.4	33.6	%
Unsecured	1,850.0		70.9	%	1,760.0		66.4	%
Total	$	2,610.8	100.0	%	$	2,652.4	100.0	%
Fixed Rate Debt:
Secured	$	503.7	19.3	%	$	531.8	20.1	%
Unsecured	1,600.0		61.3	%	1,600.0		60.3	%
Fixed Rate Debt	$	2,103.7	80.6	%	$	2,131.8	80.4	%
Floating Rate Debt:
Secured	$	257.1	9.8	%	$	360.6	13.6	%
Unsecured	250.0		9.6	%	160.0		6.0	%
Floating Rate Debt	$	507.1	19.4	%	$	520.6	19.6	%
Total	$	2,610.8	100.0	%	$	2,652.4	100.0	%

Recent Transactions

The following describes property and property-related transactions by the Account during the second quarter of 2026. Except as noted, the expenses for operating the properties purchased are either borne or reimbursed, in whole or in part, by the property tenants, although the terms vary under each lease.

Real Estate Properties and Joint Ventures

Purchases

Property Name

Purchase Date

Ownership Percentage

Sector

Location

Net Purchase Price(1)

8514 Sunstate Street

05/15/2026

100.00%

Industrial

Tampa, FL

13.1

Vantage at Spring Creek

06/11/2026

100.00%

Multi-family

Richardson, TX

90.9

(1) Represents the purchase price net of closing costs.

Sales


Property Name	Transaction Date	Ownership Percentage	Sector	Location	Net Sales Price(1)				Realized Gain (Loss) on Disposition(2)
Mercy Healthcare(3)	04/28/2026	50.00%	Office	Coon Rapids, MN	$	9.1	$	(19.8)	$	(1.2)
Winslow Bay Commons	05/12/2026	100.00%	Retail	Mooresville, NC	60.3				6.9
NW Houston Industrial Portfolio	06/16/2026	100.00%	Industrial	Houston, TX	115.7				32.2

(1) Represents the sales price, less selling expenses.

(2) Majority of the realized gain (loss) was previously recognized as unrealized gains (losses) in the Account's Consolidated Statements of Operations.

(3) Property is held in Juniper MOB Portfolio.

Financings

Debt Payoff

Property Name

Transaction Date

Interest Rate

Sector

Maturity Date

Principal Amount

Winslow Bay Commons(1)

05/12/2026

3.82%

Retail

09/11/2027

25.8

(1) Debt was extinguished with the sale of the property.

Critical Accounting Estimates

Management’s discussion and analysis of the Account’s financial condition and results of operations is based on the

Account’s Consolidated Financial Statements, which have been prepared in accordance with U.S. GAAP. The preparation of the Account’s financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, income and expenses. Management considers the valuation of real estate properties and valuation of real estate joint ventures to be critical accounting estimates because they involve a significant level of estimation uncertainty and have a material impact on the Account’s financial condition and results of operations.

There have been no material changes to the Account's critical accounting policies described in the Account's Annual Report on Form 10-K for the year ended December 31, 2025.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The Account’s real estate holdings, including real estate joint ventures, funds, an operating business and loans receivable, including those with related parties, which, as of June 30, 2026, represented 93.5% of the Account’s total investments, expose the Account to a variety of risks. These risks include, but are not limited to:

•General Real Estate Risk—The risk that the Account’s property values or rental and occupancy rates could go down due to general economic conditions, a weak market for real estate generally, disruptions in the credit and/or capital markets, or changing supply and demand for certain types of properties;

•Appraisal Risk—The risk that the sale price of an Account property (i.e., the value that would be determined by negotiations between independent parties) might differ substantially from its estimated or appraised value, leading to losses or reduced profits to the Account upon sale;

•Risk Relating to Property Sales—The risk that the Account might not be able to sell a property at a particular time for its full value, particularly in a poor market. This might make it difficult to raise cash quickly and also could lead to Account losses;

•Risks of Borrowing—The risk that interest rate changes may impact Account returns if the Account borrows against a Credit Agreement, takes out a mortgage on a property, buys a property subject to a mortgage or holds a property subject to a mortgage, and hedging against such interest rate changes, if undertaken by the Account, may entail additional costs and be unsuccessful; and

•Foreign Currency Risk—The risk that the value of the Account’s foreign investments, related debt, or rental income could increase or decrease due to changes in foreign currency exchange rates or foreign currency exchange control regulations, and hedging against such currency changes, if undertaken by the Account, may entail additional costs and be unsuccessful.

The Account believes the diversification of its real estate portfolio, both geographically and by sector, along with its quarterly valuation procedure, helps manage the real estate and appraisal risks described above.

As of June 30, 2026, 6.5% of the Account’s total investments were comprised of marketable securities. Marketable securities may include high-quality debt instruments (i.e., government agency notes, repos and U.S. treasury securities) and REIT securities. The Account's Consolidated Statements of Investments sets forth the general financial terms of these instruments, along with their fair values, as determined in accordance with procedures described in Note 1–Organization and Significant Accounting Policies to the Account’s Consolidated Financial Statements of the Account's 2025 Form 10-K. As of June 30, 2026, the Account does not invest in derivative financial instruments, although it does engage in hedging activity related to foreign currency denominated investments.

Risks associated with investments in real estate-related liquid assets (which could include, from time to time, REIT securities and CMBS), and non-real estate-related liquid assets, include the following:

•Financial/Credit Risk—The risk, for debt securities, that the issuer will not be able to pay principal and interest when due (and/or declare bankruptcy or be subject to receivership) and, for equity securities such as common or preferred stock, that the issuer’s current earnings will fall or that its overall financial soundness will decline, reducing the security’s value.

•Market Volatility Risk—The risk that the Account’s investments will experience price volatility due to changing conditions in the financial markets regardless of the credit quality or financial condition of the underlying issuer. This risk is particularly acute to the extent the Account holds equity securities, which have experienced significant short-term price volatility over the past year. Also, to the extent the Account holds debt securities, changes in overall interest rates can cause price fluctuations.

•Interest Rate Volatility—The risk that interest rate volatility may affect the Account’s current income from an investment.

•Deposit/Money Market Risk—The risk that, to the extent the Account’s cash held in bank deposit accounts exceeds federally insured limits as to that bank, the Account could experience losses if banks fail. The Account does not believe it has exposure to significant concentration of deposit risk. In addition, there is some risk that investments held in money market accounts can suffer losses.

In addition, to the extent the Account were to hold mortgage-backed securities (including commercial mortgage-backed securities) these securities are subject to prepayment risk or extension risk (i.e., the risk that borrowers will repay the loans earlier or later than anticipated). If the underlying mortgage assets experience faster than anticipated repayments of principal, the Account could fail to recoup some or all of its initial investment in these securities, since the original price paid by the Account was based in part on assumptions regarding the receipt of interest payments. If the underlying mortgage assets are repaid later than anticipated, the Account could lose the opportunity to reinvest the anticipated cash flows at a time when interest rates might be rising. The rate of prepayment depends on a variety of geographic, social and other functions, including prevailing market interest rates and general economic factors. The fair value of these securities is also highly sensitive to changes in interest rates. Note that the potential for appreciation, which could otherwise be expected to result from a decline in interest rates, may be limited by any increased prepayments. These securities may be harder to sell than other securities.

In addition to these risks, real estate equity securities (such as REIT stocks and mortgage-backed securities) would be subject to many of the same general risks inherent in real estate investing, making mortgage loans and investing in debt securities. For more information on the risks associated with all of the Account’s investments, see Item 1A. Risk Factors, of the Form 10-K for the year ended December 31, 2025, as such risk factors may be updated in Item 1A of this Form 10-Q or in subsequent reports.

ITEM 4. CONTROLS AND PROCEDURES

(a) The registrant maintains a system of disclosure controls and procedures that are designed to provide reasonable assurance that information required to be disclosed in the registrant’s reports under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including the registrant’s Principal Executive Officer (“PEO”) and the Principal Financial Officer (“PFO”), as appropriate, to allow timely decisions regarding required disclosure.

Under the supervision and participation of the registrant’s management, including the registrant’s PEO and PFO, the registrant conducted an evaluation of the effectiveness of the registrant’s disclosure controls and procedures as defined in Rule 13a-15(e) under the Exchange Act as of June 30, 2026. Based upon management’s review, the PEO and PFO concluded that the registrant’s disclosure controls and procedures, as of the end of the period covered by this report, were effective to provide reasonable assurance that the objectives of disclosure controls and procedures are met.

(b) There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS.

In the normal course of business, the Account may be named, from time to time, as a defendant or may be involved in various legal actions, including arbitration, class actions and other litigation.

ITEM 1A. RISK FACTORS.

Continued liquidity challenges could adversely impact the Account’s operations, financial condition, growth and prospects and continue to trigger the Account’s Liquidity Guarantee

The Account requires sufficient liquidity to fund ongoing Account-level loan and debt commitments to make payments on its debt obligations as they become due, satisfy contract owner redemption requests, fund purchases and maintenance of portfolio properties, and meet other cash and contractual commitments. Starting in late 2023, the Account experienced a decrease in liquid assets, which was largely due to a spike in contract owner redemption requests (i.e., contract owner withdrawals or benefit payments), influenced by negative trends in the U.S commercial real estate market. These trends were exacerbated by higher interest rates that adversely affected property values. TIAA was required to trigger the Liquidity Guarantee by purchasing liquidity units beginning August 31, 2023 through the second quarter of 2024. The pace of net contract owner outflows has slowed over the period covered by this report and no additional liquidity units were purchased during the second quarter of 2026; however, any reversal or adverse change in the pace or scope of these outflows in future fiscal quarters or periods could have a material adverse effect on the Account’s business, financial condition and results of operations.

Cybersecurity and Other Business Continuity Risks

With the increased use of connected technologies such as the Internet to conduct business, the Account and its service providers (including, but not limited to, TIAA, Services, the independent fiduciary and the Account’s custodian and financial intermediaries) are susceptible to cybersecurity risks. In general, cybersecurity attacks can result from infection by computer viruses or other malicious software or from deliberate actions or unintentional events, including gaining unauthorized access through “hacking” or other means to digital systems, networks, or devices that are used to service the Account’s operations in order to misappropriate assets or sensitive information, corrupt data, or cause operational disruption. Cybersecurity attacks can also be carried out in a manner that does not require gaining unauthorized access, including by carrying out a “denial-of-service” attack on the Account or its service providers. In addition, authorized persons could inadvertently or intentionally release and possibly destroy confidential or proprietary information stored on the Account’s systems or the systems of its service providers.

Cybersecurity failures by the Account or any of its service providers, or the issuers of any portfolio securities in which the Account invests (e.g., issuers of REIT stocks or debt securities), have the ability to result in disruptions to and impacts on business operations and may adversely affect the Account and the value of your accumulation units. Such disruptions or impacts may result in: financial losses; interference with the processing of contract transactions, including the processing of orders from TIAA’s website; interfere with the Account’s ability to calculate AUVs; barriers to trading and order processing; Account contract owners’ inability to transact business with the Account; violations of applicable federal and state privacy or other laws; regulatory fines, penalties, reputational damage, reimbursement or other compensation costs; or additional compliance costs. The Account and its service providers may also maintain sensitive information (including relating to personally identifiable information of investors) and a cybersecurity breach may cause such information to be lost, improperly accessed, used or disclosed. The Account

may incur additional, incremental costs to prevent and mitigate the risks of cybersecurity attacks or incidents in the future. The Account and its contract owners could be negatively impacted by such cybersecurity attacks or incidents. Although the Account has established business continuity plans and risk-based processes and controls to address such cybersecurity risks, there are inherent limitations in such plans and systems in part due to the evolving nature of technology and cybersecurity attack tactics. As a result, it is possible that the Account or the Account’s service providers will not be able to adequately identify or prepare for all cybersecurity attacks. In addition, the Account cannot directly control the cybersecurity plans or systems implemented by its service providers.

Other disruptive events, including, but not limited to, natural disasters, terrorism, or public health or pandemic crises (such as the COVID-19 pandemic from early 2020), may adversely affect the Account’s ability to conduct business. Such adverse effects may include the inability of TIAA’s employees, or the employees of its affiliates and the Account’s service providers, to perform their responsibilities as a result of any such event. Any resulting disruptions to the Account’s business operations can interfere with our processing of contract transactions (including the processing of orders from our website), impact our ability to calculate annuity unit values, or cause other operational issues.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.

Not applicable.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES.

Not applicable.

ITEM 4. MINE SAFETY DISCLOSURES.

Not applicable.

ITEM 5. OTHER INFORMATION.

While the Account has no officers, directors, or employees, none of the directors or officers of TIAA responsible for the management of the Account adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement (as defined in Item 408(c) of Regulation S-K) in respect of the Account during the quarterly period covered by this report.

ITEM 6. EXHIBITS


(1)	(A)	Distribution Agreement for the Contracts Funded by the TIAA Real Estate Account, dated as of January 1, 2008, by and among Teachers Insurance and Annuity Association of America, for itself and on behalf of the Account, and TIAA-CREF Individual & Institutional Services, LLC1
(3)	(A)	Restated Charter of TIAA (as amended)2
	(B)	Amended Bylaws of TIAA3
(4)	(A)	Forms of RA, GRA, GSRA, SRA, IRA Real Estate Account Endorsements,4 Keogh Contract,5 Retirement Choice and Retirement Choice Plus Contracts5 and Retirement Select and Retirement Select Plus Contracts and Endorsements6
	(B)	Forms of Income-Paying Contracts4
	(C)	(1) Form of Contract Endorsement for Internal Transfer Limitation7
		(2) Form of Contract Endorsement for Internal Transfer Limitation25
	(D)	(1) Form of Non-ERISA Retirement Choice Plus Contract9
		(2) Form of Non-ERISA Retirement Choice Plus Certificate9
	(E)	(1) Form of Trust Company Retirement Choice Contract10
		(2) Form of Trust Company Retirement Choice Certificate10
		(3) Form of Trust Company Retirement Choice Contract26
		(4) Form of Trust Company Retirement Choice Certificate27
	(F)	(1) Form of Trust Company Retirement Choice Plus Certificate11
		(2) Form of Trust Company Retirement Choice Plus Contract11
		(3) Form of Trust Company Retirement Choice Plus Contract28
		(4) Form of Trust Company Retirement Choice Plus Certificate29
	(G)	Form of Income Test Drive Endorsement for Retirement Annuity Contracts. After-Tax Retirement Annuity Contracts, Supplemental Retirement Annuity Contracts and IRA Contracts (including Rollover IRA, Contributory IRA, Roth IRA, OneIRA)14
	(H)	Form of Income Test Drive Endorsement for Group Retirement Annuity Certificates, Group Supplemental Retirement Annuity Certificates, Keogh Certificates, Retirement Choice Certificates, Retirement Choice Plus Certificates, Non-ERISA Retirement Choice Plus Certificates, Trust Retirement Choice Certificates, and Trust Retirement Choice Plus Certificates15
	(I)	Form of OneIRA Non-Qualified Deferred Annuity Contract (and Rate Schedule)16
	(J)	(1) Form of Endorsement to Retirement Choice and Retirement Choice Plus Contracts for Custom Portfolios17
		(2) Form of Endorsement to Retirement Choice and Retirement Choice Plus Certificates for Custom Portfolios17
	(K)	Form of Endorsement to Group Supplemental Retirement Annuity (GSRA) Certificate18
	(L)	(1)Form of Contract, Rate Schedule and Certificate for Multiple Employer Plan Retirement Choice Annuity Contract19
		(2)Form of Contract, Rate Schedule and Certificate for Multiple Employer Plan Retirement Choice Plus Annuity Contract19
	(M)	Form of Retirement Plan Loan Endorsement to Group Retirement Annuity Certificate20
	(N)	Form of Retirement Plan Loan Endorsement to Retirement Annuity Contract21
	(O)	Form of Retirement Plan Loan Endorsement to Supplemental Retirement Annuity Contract22
	(P)	Form of Required Minimum Distribution Endorsement to All Annuity Contracts23
	(Q)	Form of Required Minimum Distribution Endorsement to All Annuity Contracts24
(10)	(A)	Amended and Restated Independent Fiduciary Letter Agreement, dated as of February 21, 2018, between TIAA, on behalf of the Registrant, and RERC, LLC12
	(B)	Custodian Agreement, dated as of March 3, 2008, by and between TIAA, on behalf of the registrant, and State Street Bank and Trust Company, N.A.8
	(C)	Independent Fiduciary Letter Agreement, dated as of February 10, 2022, between TIAA, on behalf of the Registrant, and Situs AMC Real Estate Valuation Services, LLC.13
	(D)	Form of Note Purchase Agreement, dated as of June 10, 2022, by and between TIAA, on behalf of the registrant, and the purchasers party thereto.30
	(E)	Form of Note Purchase Agreement, dated as of March 21, 2023, by and between TIAA, on behalf of the registrant, and the purchasers party thereto.31


	(F)	First Amendment to the Custodian Agreement, dated as of September 25, 2024 by and between TIAA, on behalf of the registrant, and State Street Bank and Trust Company, N.A.32
	(G)	Form of Note Purchase Agreement, dated as of October 22, 2025, by and between TIAA on behalf of the Registrant, and the Purchasers party thereto.33
(19)		TIAA Enterprise Material Non-Public Information and Insider Trading Policy34
(31)		Rule 13a - 14(a) Certifications*
(32)		Rule 13a - 14(b) and Section 1350 Certifications*
(101)		The following financial information from the Quarterly Report on Form 10-Q for the period ended June 30, 2026 (Unaudited), formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Statements of Assets and Liabilities as of June 30, 2026 (Unaudited), (ii) the Consolidated Statements of Operations for the three and six months ended June 30, 2026 and 2025 (Unaudited), (iii) the Consolidated Statements of Changes in Net Assets for the three and six months ended June 30, 2026 and 2025 (Unaudited), (iv) the Consolidated Statements of Cash Flows for the six months ended June 30, 2026 and 2025 (Unaudited), and (v) the Notes to the Consolidated Financial Statements (Unaudited).**
(104)		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).**

*Filed herewith.

**Furnished electronically herewith.

(1)Previously filed and incorporated herein by reference to Exhibit 1(A) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 15, 2013 (File No. 333-187309).

(2)Previously filed and incorporated herein by reference to Exhibit 3(A) to the Account’s Registration Statement on Form S-1, filed with the Commission on April 22, 2015 (File No. 333-202583).

(3)Previously filed and incorporated herein by reference to Exhibit 3(B) to the Account’s Registration Statement on Form S-1, filed with the Commission on April 22, 2015 (File No. 333-202583).

(4)Previously filed and incorporated herein by reference to the Account’s Post-Effective Amendment No. 2 to the Registration Statement on Form S-1, filed with the Commission on April 30, 1996 (File No. 33-92990).

(5)Previously filed and incorporated herein by reference to Exhibit 4(A) to the Account’s Post-Effective Amendment No. 1 to the Registration Statement on Form S-1, filed with the Commission on May 2, 2005 (File No. 333-121493).

(6)Previously filed and incorporated herein by reference to the Account’s Pre-Effective Amendment No. 1 to the Registration Statement on Form S-1, filed with the Commission on April 29, 2004 (File No. 333-113602).

(7)Previously filed and incorporated by reference to Exhibit 4(C) to the Account’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2010 and filed with the Commission on November 12, 2010 (File No. 33-92990).

(8)Previously filed and incorporated herein by reference to Exhibit 10(B) to the Account's Annual Report on Form 10-K for the fiscal year ended December 31, 2012 and filed with the Commission on March 14, 2013 (File No. 33-92990).

(9)Previously filed and incorporated herein by reference to Exhibit 4(D)(1) and 4(D)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(10)Previously filed and incorporated herein by reference to Exhibit 4(E)(1) and 4(E)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(11)Previously filed and incorporated herein by reference to Exhibit 4(F)(1) and 4(F)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(12)Previously filed and incorporated by reference to Exhibit 10.1 to the Account’s Current Report on Form 8-K, filed with the Commission on March 1, 2018 (File No. 33-92990).

(13)Previously filed and incorporated by reference to Exhibit 10.1 to the Account's Current Report on Form 8-K, filed with the Commission on February 16, 2022 (File No. 33-92990).

(14)Previously filed and incorporated herein by reference to Exhibit 4(G) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(15)Previously filed and incorporated herein by reference to Exhibit 4(H) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(16)Previously filed and incorporated herein by reference to Exhibit 4(I) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(17)Previously filed and incorporated herein by reference to Exhibit 4(J)(1) and 4(J)(2) to the Account’s Current Report on Form 10-K, filed with the Commission on March 14, 2019 (File No. 33-92990).

(18)Previously filed and incorporated herein by reference to Exhibit 4(K) to the Account’s Current Report on Form 10-K, filed with the Commission on March 14, 2019 (File No. 33-92990).

(19)Previously filed and incorporated herein by reference to Exhibit 4(L)(1) and 4(L)(2) to the Account's Current Report on Form 10-K, filed with the Commission on March 12, 2020 (File No. 33-92990).

(20)Previously filed and incorporated herein by reference to Exhibit 4(M) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(21)Previously filed and incorporated herein by reference to Exhibit 4(N) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(22)Previously filed and incorporated herein by reference to Exhibit 4(O) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(23)Previously filed and incorporated herein by reference to Exhibit 4(P) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(24)Previously filed and incorporated herein by reference to Exhibit 4(Q) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(25)Previously filed and incorporated herein by reference to Exhibit 4(C)(2) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 9, 2023 (File No. 33-92990).

(26)Previously filed and incorporated herein by reference to Exhibit 4(E)(3) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 9, 2023 (File No. 33-92990).

(27)Previously filed and incorporated herein by reference to Exhibit 4(E)(4) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 9, 2023 (File No. 33-92990).

(28)Previously filed and incorporated herein by reference to Exhibit 4(F)(3) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 9, 2023 (File No. 33-92990).

(29)Previously filed and incorporated herein by reference to Exhibit 4(F)(4) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 9, 2023 (File No. 33-92990).

(30)Previously filed and incorporated herein by reference to Exhibit 10(C) to the Account’s Current Report on Form 10-Q, filed with the Commission on August 5, 2022 (File No. 33-92990).

(31)Previously filed and incorporated herein by reference to Exhibit 10(C) to the Account’s Current Report on Form 10-Q, filed with the Commission on August 4, 2023 (File No. 33-92990).

(32)Previously filed and incorporated herein by reference to Exhibit 10(E) to the Account’s Current Report on Form 10-Q, filed with the Commission on November 1, 2024 (File No. 33-92990).

(33)Previously filed and incorporated herein by reference to Exhibit 10(G) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 12, 2026 (File No. 33-92990).

(34)Previously filed and incorporated herein by reference to Exhibit 19 to the Account’s Annual Report on Form 10-K, filed with the Commission on March 12, 2026 (File No. 33-92990).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant, TIAA Real Estate Account, has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized, on the fifth day of August 2026.


	TIAA REAL ESTATE ACCOUNT

	By:	TEACHERS INSURANCE AND ANNUITY ASSOCIATION OF AMERICA

	By:	/s/ Colbert Narcisse
August 5, 2026		Colbert Narcisse Senior Executive Vice President, Chief Product Officer, Head of Insurance Solutions & New Markets, Teachers Insurance and Annuity Association of America (Principal Executive Officer)

August 5, 2026	By:	/s/ Christopher Baraks
		Christopher Baraks Senior Vice President, Chief Accounting Officer and Corporate Controller of Teachers Insurance and Annuity Association of America (Principal Financial and Accounting Officer)