Prior to the Merger, the predecessor entity held an interest in FR-ICG EVO Parent LLC (the parent entity of the EVO Controlled Subsidiary) as an equity method investment. As a result of the Merger, the Company acquired an additional interest in this investment and reassessed the appropriate accounting treatment. As of June 30, 2026, the Company determined that FR-ICG EVO Parent LLC is a VIE for which it is the primary beneficiary, and accordingly consolidates it. As this entity was held as an equity method investment by the predecessor and was not consolidated prior to the Merger, the December 31, 2025 comparative balances in the table below reflects no activity for this entity.

The Company does not provide performance guarantees and has no other financial obligation to provide funding to FR-ICG EVO Parent LLC, except for contractual capital contribution commitments related to FR-ICG EVO Parent LLC, if any. The assets of these consolidated subsidiaries may only be used to settle their respective obligations. In addition, there is no recourse to the Company for their liabilities.

The NCI is related to the ownership interest held by a third party in FR-ICG EVO Parent LLC, in which the Company has a controlling financial interest. Net income or loss attributable to the NCI is presented separately in the accompanying condensed consolidated statements of operations.

The table below presents the carrying amounts of the assets and liabilities of the consolidated VIE, FR-ICG EVO Parent LLC, included in the Company's condensed consolidated balance sheets as of the periods presented (amounts in thousands):


	As of June 30, 2026 (unaudited)		As of December 31, 2025
Cash and cash equivalents	$	528	$	-
Restricted cash	498		-
Other assets, net	124		-
Investments in real estate properties, net	113,736		-
Total VIE Assets	$	114,886	$	-

Other liabilities	$	633	$	-
Mortgages payable, net	68,771		-
Total VIE Liabilities	$	69,404	$	-
Total VIE Equity	45,482		-
Less: Non-controlling interests	(396)		-
Company's interest in VIE, net	$	45,086	$	-

As of June 30, 2026, the Company has identified Mezza JV LP (the parent entity of the Mezza subsidiary) and HCP Project Company, LLC as VIEs; however, we are not the primary beneficiary and therefore account for these investments under the equity method of accounting. The aggregate carrying amount of the Company's investments in these unconsolidated VIEs, which are included in "Investments in equity method investees" on the condensed consolidated balance sheets, was approximately $14.9 million as of June 30, 2026. This carrying amount also represents the Company's maximum exposure to loss because the Company has no unfunded commitments, guarantees, liquidity arrangements, or other obligations to provide financial support to these entities.