On August 6, 2024, we entered into a construction loan agreement to lend up to $52.1 million to a developer (the “Borrower”). The construction loan will accrue interest monthly at a fixed market rate of 9.00% per annum. The construction loan shall be re-paid in full on or before August 31, 2027, the maturity date. Upon completion of the development, we have the option to purchase at fair value all of the issued and outstanding membership interest from the Borrower in a special purpose entity (“SPE”) which solely holds the developed property. We hold a variable interest in the SPE, but we do not consolidate the SPE as we are not the primary beneficiary due to our lack of power to direct significant activities performed by the SPE.

A summary of our real estate loan receivable consisted of the following (in thousands):


	December 31, 2024			December 31, 2023
Real estate loan receivable	$	35,517		$	—
Allowance for credit losses		(1,436	)		—
Real estate loan receivable, net	$	34,081		$	—

During the year ended December 31, 2024, we recognized interest income from our real estate loan receivable of $1.2 million. No interest income was recognized from real estate loan receivables during the years ended December 31, 2023, and 2022. Interest income from our real estate loan receivable is included within Other income on our Consolidated Statements of Operations. As of December 31, 2024, we recognized an allowance for credit loss liability of $0.1 million for the undrawn capacity on the construction loan. Allowance for credit loss liability is included within Accounts payable, accrued expenses and other liabilities on our Consolidated Balance Sheets.

The fair value of this real estate loan receivable was approximately $35.9 million as of December 31, 2024.