LOANS RECEIVABLE AND INVESTMENTS

12 Months Ended

Dec. 31, 2024

Loans Receivable And Investments [Abstract]

LOANS RECEIVABLE AND INVESTMENTS

NOTE 6 – LOANS RECEIVABLE AND INVESTMENTS

As of December 31, 2024 and 2023, we held $173.0 million and $54.1 million, respectively, of loans receivable and investments, net of allowance, relating to senior housing and healthcare operators or properties. The following is a summary of our loans receivable and investments, net, including amortized cost, fair value and unrealized gains or losses on available for sale investments, if applicable (dollars in thousands):

	Amortized Cost		Allowance		Carrying Amount		Fair Value
As of December 31, 2024:
Secured/mortgage loans and other, net (1)	$	144,872	$	—	$	144,872	$	146,229
Non-mortgage loans receivable, net (2)	31,939		(3,810)		28,129		27,640
Total loans receivable and investments, net	$	176,811	$	(3,810)	$	173,001	$	173,869
As of December 31, 2023:
Secured/mortgage loans and other, net (1)	$	27,986	$	—	$	27,986	$	27,947
Non-mortgage loans receivable, net (2)	30,128		(3,976)		26,152		25,200
Total loans receivable and investments, net	$	58,114	$	(3,976)	$	54,138	$	53,147

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(1)Investments have contractual maturities ranging from 2025 to 2027.

(2)Included in Other assets on our Consolidated Balance Sheets.

2024 Activity

In September 2024, we provided new secured debt financing of $109.0 million to the owner of a senior housing property, secured by the asset and with additional credit support. The loan provides us with a right of first offer to purchase the asset on certain terms and conditions. The loan has a 3-year term and bears interest at a variable rate based on one-month SOFR, subject to a floor of 4.50%, plus a spread of 5.75%, increasing to 6.00% commencing October 1, 2025.

2023 Activity

On May 1, 2023, we took ownership of the properties that secured the Company’s cash-pay non-recourse mezzanine loan to Santerre Health Investors (the “Santerre Mezzanine Loan”) by converting the outstanding principal amount of the Santerre Mezzanine Loan to equity, with no additional consideration being paid. As a result, the Santerre Mezzanine Loan is no longer outstanding. The properties consisted of a diverse pool of outpatient medical buildings, senior housing communities, triple-net leased skilled nursing facilities and hospital assets in the United States, which, at the time, also secured a $1 billion non-recourse senior mortgage loan issued under the CHC Commercial Mortgage Trust 2019-CHC (the “CHC Mortgage Loan”). For additional information regarding the CHC Mortgage Loan, see “Note 10 – Senior Notes Payable and Other Debt.”

Upon taking ownership of the portfolio, we reversed the previously recorded (in 2022) $20.0 million CECL allowance and recognized a Gain on foreclosure of real estate of $29.1 million in our Consolidated Statements of Income. The gain is the fair value of the properties that secured the Santerre Mezzanine Loan, less the fair value of the CHC Mortgage Loan, less the principal amount of the Santerre Mezzanine Loan on May 1, 2023 (after the reversal of previously recorded allowances), and net of non-real estate assets and liabilities and transaction costs. For additional information, see “Note 11 – Fair Values of Financial Instruments.”