Loans at Fair Value

6 Months Ended

Jun. 30, 2026

Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]

4. LOANS, AT FAIR VALUE

The following table summarizes the Company's loan held at fair value as of June 30, 2026:



Loan	Location(s)	Maturity Date	Principal Balance		Amortized Cost		Fair Value		Interest Rate	Periodic Payment
51	New York	5/22/2028	$	41,000,000	$	40,612,435	$	40,612,435	P+5.25%	I/O

		Subtotal	$	41,000,000	$	40,612,435	$	40,612,435

During the three months ended June 30, 2026, the Company, through its wholly-owned subsidiary, Chicago Atlantic Lincoln, LLC, originated a $41.0 million second-lien secured term loan to a related party, which is included within Loans, at fair value - related party on the consolidated balance sheet. Further, all interest collected on this loan is included within interest income on the income statement.

The Loan bears interest at the Prime Rate plus 5.25% per annum, subject to a Prime Rate floor of 6.75%, resulting in an all-in interest rate of 12.00% as of June 30, 2026. The aggregate commitment under this loan was approximately $41.0 million. The loan is current on all interest and principal payments due.

The Loan is secured by a second-priority mortgage and a second-priority lien on all personal property, fixtures, leases, and rents of the borrower. The Company elected the fair value option for this asset due to other indebtedness of the borrower that is senior to our loan and the potential sale of the asset which was contemplated at the time of underwriting. Both of these factors contributed to management's uncertainty with respect to the intent to hold the loan to maturity or payoff. See Note 13 for additional information on fair value measurement.