| Leases |
Leases Our leases provide for base rent payments and, in addition, may include variable payments. Rental income from operating leases, including any payments derived by index or market-based indices, is recognized on a straight line basis over the lease term once we have determined that the collectability of substantially all of the lease payments is probable. Some of our leases have options to extend or terminate the lease exercisable at the option of our tenants, which are considered when determining the lease term. Allowances for bad debts are recognized as a direct reduction of rental income. In certain circumstances, some leases provide the tenant with the right to terminate if the legislature or other funding authority does not appropriate the funding necessary for the tenant to meet its lease obligations; we have determined the fixed non-cancelable lease term of these leases to be the full term of the lease because we believe the occurrence of early terminations to be a remote contingency based on both our historical experience and our assessments of the likelihood of lease cancellation on a separate lease basis. We recorded rental income under our leases during the three and six months ended June 30, 2026 and 2025, including adjustments to increase rental income to record revenue on a straight line basis during the three and six months ended June 30, 2026 and 2025 as follows: | | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from April 1 through June 17, 2026 | | Three Months Ended June 30, 2025 | | Rental income from leases | $ | 17,076 | | | | $ | 90,373 | | | $ | 105,082 | | | Non-cash straight line rent adjustments included in rental income | $ | 1,337 | | | | $ | (2,999) | | | $ | 6,636 | |
| | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from January 1 through June 17, 2026 | | Six Months Ended June 30, 2025 | | Rental income from leases | $ | 17,076 | | | | $ | 192,139 | | | $ | 211,544 | | | Non-cash straight line rent adjustments included in rental income | $ | 1,337 | | | | $ | (1,063) | | | $ | 13,492 | |
As of June 30, 2026 (Successor) and December 31, 2025 (Predecessor), accounts receivable, excluding properties classified as held for sale, included $1,337 and $151,525 of straight line rents receivable, respectively. We do not include in our measurement of our lease receivables certain variable payments, including payments determined by changes in the index or market-based indices after the inception of the lease, certain tenant reimbursements and other income until the specific events that trigger the variable payments have occurred. Such payments are included in the following table for the three and six months ended June 30, 2026 and 2025: | | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from April 1 through June 17, 2026 | | Three Months Ended June 30, 2025 | | Variable lease payments | $ | 3,121 | | | | $ | 16,274 | | | $ | 18,916 | | | Tenant reimbursements included in variable lease payments | $ | 2,992 | | | | $ | 15,582 | | | $ | 18,164 | |
| | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from January 1 through June 17, 2026 | | Six Months Ended June 30, 2025 | | Variable lease payments | $ | 3,121 | | | | $ | 35,650 | | | $ | 38,770 | | | Tenant reimbursements included in variable lease payments | $ | 2,992 | | | | $ | 34,148 | | | $ | 37,256 | |
|
| Leases |
Leases Our leases provide for base rent payments and, in addition, may include variable payments. Rental income from operating leases, including any payments derived by index or market-based indices, is recognized on a straight line basis over the lease term once we have determined that the collectability of substantially all of the lease payments is probable. Some of our leases have options to extend or terminate the lease exercisable at the option of our tenants, which are considered when determining the lease term. Allowances for bad debts are recognized as a direct reduction of rental income. In certain circumstances, some leases provide the tenant with the right to terminate if the legislature or other funding authority does not appropriate the funding necessary for the tenant to meet its lease obligations; we have determined the fixed non-cancelable lease term of these leases to be the full term of the lease because we believe the occurrence of early terminations to be a remote contingency based on both our historical experience and our assessments of the likelihood of lease cancellation on a separate lease basis. We recorded rental income under our leases during the three and six months ended June 30, 2026 and 2025, including adjustments to increase rental income to record revenue on a straight line basis during the three and six months ended June 30, 2026 and 2025 as follows: | | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from April 1 through June 17, 2026 | | Three Months Ended June 30, 2025 | | Rental income from leases | $ | 17,076 | | | | $ | 90,373 | | | $ | 105,082 | | | Non-cash straight line rent adjustments included in rental income | $ | 1,337 | | | | $ | (2,999) | | | $ | 6,636 | |
| | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from January 1 through June 17, 2026 | | Six Months Ended June 30, 2025 | | Rental income from leases | $ | 17,076 | | | | $ | 192,139 | | | $ | 211,544 | | | Non-cash straight line rent adjustments included in rental income | $ | 1,337 | | | | $ | (1,063) | | | $ | 13,492 | |
As of June 30, 2026 (Successor) and December 31, 2025 (Predecessor), accounts receivable, excluding properties classified as held for sale, included $1,337 and $151,525 of straight line rents receivable, respectively. We do not include in our measurement of our lease receivables certain variable payments, including payments determined by changes in the index or market-based indices after the inception of the lease, certain tenant reimbursements and other income until the specific events that trigger the variable payments have occurred. Such payments are included in the following table for the three and six months ended June 30, 2026 and 2025: | | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from April 1 through June 17, 2026 | | Three Months Ended June 30, 2025 | | Variable lease payments | $ | 3,121 | | | | $ | 16,274 | | | $ | 18,916 | | | Tenant reimbursements included in variable lease payments | $ | 2,992 | | | | $ | 15,582 | | | $ | 18,164 | |
| | | | | | | | | | | | | | | | | | | | | | Successor | | | Predecessor | | Period from June 18 through June 30, 2026 | | | Period from January 1 through June 17, 2026 | | Six Months Ended June 30, 2025 | | Variable lease payments | $ | 3,121 | | | | $ | 35,650 | | | $ | 38,770 | | | Tenant reimbursements included in variable lease payments | $ | 2,992 | | | | $ | 34,148 | | | $ | 37,256 | |
|