v3.26.3
Fair Value Measurements (Tables)
9 Months Ended
Sep. 30, 2026
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table details our financial instruments measured at fair value on a recurring basis:
September 30, 2026
Fair Value Measurements Using:
in thousandsLevel 1Level 2Level 3NAV as a Practical ExpedientTotal at Fair Value
Assets:
Investments in real estate-related securities$1,793 $40,063 $— $— $41,856 
Investments in commercial loans— — 198,243 — 198,243 
Investment in affiliated fund— — — 6,802 6,802 
Interest rate swaps— 541 — — 541 
Total assets$1,793 $40,604 $198,243 $6,802 $247,442 
December 31, 2025
Fair Value Measurements Using:
in thousandsLevel 1Level 2Level 3NAV as a Practical ExpedientTotal at Fair Value
Assets:
Investments in real estate-related securities$2,008 $31,251 $— $— $33,259 
Investments in commercial loans— — 95,335 — 95,335 
Investment in affiliated fund— — — 12,545 12,545 
Interest rate swap— 405 — — 405 
Total assets$2,008 $31,656 $95,335 $12,545 $141,544 
Liabilities:
Interest rate swaps$— $524 $— $— $524 
Total liabilities$— $524 $— $— $524 
Schedule of Reconciliation of Fair Value Measurements of Commercial Real Estate Loan Investments The following table shows a reconciliation of the beginning and ending fair value measurements of our commercial real estate loan investments:
in thousandsInvestments in Commercial Loans
Balance as of December 31, 2025$95,335 
Loan originations and fundings115,048 
Unrealized gain (loss)105 
Loan repayment(12,245)
Balance as of September 30, 2026$198,243 
Schedule of Fair Value Measurements of Investments in Commercial Loans
The following tables show the significant unobservable inputs related to the Level 3 fair value measurement of our investments in commercial loans as of September 30, 2026 and December 31, 2025:
Valuation TechniqueUnobservable InputWeighted Average RateRange
September 30, 2026Discounted cash flowDiscount rate6.57%
6.42% - 6.77%
December 31, 2025Discounted cash flowDiscount rate8.75%N/A
Schedule of Carrying Value and Estimated Fair Value of our Liabilities
The following table presents the principal balance and estimated fair value of our liabilities that are not carried at fair value on the condensed consolidated balance sheets:
September 30, 2026December 31, 2025
in thousandsPrincipal BalanceEstimated Fair ValuePrincipal BalanceEstimated Fair Value
Mortgage notes payable$235,853 $235,477 $235,318 $234,532 
Secured lending agreement158,447 158,544 66,480 66,480 
Revolving credit facility32,000 32,000 40,000 40,000 
Total$426,300 $426,021 $341,798 $341,012