Noncontrolling Interests—The Company consolidates the Operating Partnership, a VIE in which the Company is considered the primary beneficiary. The Company has the power to direct the activities of the Operating Partnership that most significantly affect the Operating Partnership’s performance, and through its interest in the Operating Partnership, has both the right to receive benefits from and the obligation to absorb losses of the Operating Partnership.

The Company has entered into ventures with unrelated third parties to own real estate and has concluded that such ventures are VIEs. As the Company exercises power over and receives economic benefits from the VIEs, the Company is considered the primary beneficiary and consolidates the VIEs.

During the three months ended June 30, 2026, the Company entered into two joint ventures, pursuant to which the Company contributed an aggregate of $16.2 million into the joint ventures that purchased the real estate and operations of one senior housing community in Arizona, with one joint venture acquiring the real estate and the other acquiring the operations. The joint venture partners contributed the remaining $0.3 million of the total investment. The Company holds a 98% common equity interest in each joint venture, with the joint venture partner holding the remaining 2%.

During the three months ended June 30, 2026, the Company entered into a joint venture, pursuant to which the Company contributed $28.5 million into the joint venture that purchased two senior housing communities in California. The joint venture partner contributed the remaining $0.7 million of the total investment. The Company holds a 97.5% interest in the joint venture, consisting of 95.0% preferred and 2.5% common equity interests, with the joint venture partner holding the remaining 2.5% common interest.

Total assets and total liabilities on the Company's condensed consolidated balance sheets include VIE assets and liabilities, excluding those of the Operating Partnership, as follows (dollars in thousands):


	June 30, 2026		December 31, 2025
Assets:






Real estate investments, net	$	855,098	$	822,457
Cash and cash equivalents	14,578		12,806
Accounts and other receivables	392		78
Prepaid and other assets	5,166		5,961
Total assets	$	875,234	$	841,302
Liabilities:
Accounts payable, accrued liabilities and deferred rent liabilities	$	5,802	$	4,856
Total liabilities	$	5,802	$	4,856

The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not exercise power over and/or does not have potentially significant economic exposure from the VIEs. The Company’s investment in the unconsolidated VIEs are carried in other real estate related investments on the condensed consolidated balance sheets and include two mortgage secured loans issued by the VIEs.

The fair value of the Company’s investment in the unconsolidated VIEs were £35.5 million and £15.5 million at June 30, 2026 and December 31, 2025, respectively. The Company’s maximum exposure to loss from the unconsolidated VIEs were £35.5 million and £15.5 million at June 30, 2026 and December 31, 2025, respectively.