Variable Interest Entities

6 Months Ended

Jun. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entities

Variable Interest Entities 

We have entered into joint ventures and have certain subsidiaries that are either wholly owned by us or by consolidated joint ventures which own real estate investments and are deemed to be VIEs. Our VIEs primarily hold real estate assets within our Seniors Housing Operating and Triple-net portfolios, the nature and risk of which are consistent with our overall portfolio. We have concluded that we are the primary beneficiary of these VIEs based on a combination of operational control of the entities and the rights to receive residual returns or the obligation to absorb losses arising from the entities. Except for capital contributions associated with the initial entity formations, the entities have been and are expected to be funded from the ongoing operations of the underlying properties. Additionally, we consolidate a levered entity that has been deemed a VIE and is invested in our Fund. We have no ownership interest in the entity but have concluded that we are the primary beneficiary primarily due to the guarantee of its unsecured debt to third parties. Accordingly, such entities have been consolidated, and the table below summarizes the balance sheets of consolidated VIEs in the aggregate (in thousands):

	June 30, 2025		December 31, 2024
Assets:
Net real estate investments	$	4,498,516	$	3,503,190
Cash and cash equivalents	11,874		14,274
Receivables and other assets	214,086		152,071
Investments in unconsolidated entities	134,225		—
Total assets (1)	$	4,858,701	$	3,669,535
Liabilities and equity:
Senior unsecured notes	$	120,615	$	—
Secured debt	242,870		232,530
Lease liabilities	2,535		2,536
Accrued expenses and other liabilities	14,946		14,867
Total equity(2)	4,477,735		3,419,602
Total liabilities and equity	$	4,858,701	$	3,669,535

(1) As noted above, in the case of the VIE that invests in the Fund, Welltower has guaranteed the unsecured third party debt. For all other VIEs, assets of the consolidated VIEs can only be used to settle obligations relating to such VIEs. Liabilities of the consolidated VIEs represent claims against the specific assets of the VIEs and the VIEs' creditors do not have recourse to Welltower.

(2) Includes noncontrolling interests.

We recognized revenues from consolidated VIEs in the aggregate of $167,671,000 and $312,134,000 for the three and six months ended June 30, 2025, and $111,654,000 and $221,584,000 for the same periods in 2024, respectively.

In addition, we have certain entities that qualify as unconsolidated VIEs including borrowers of loans receivable and in substance real estate investments. Our maximum exposure on these entities is limited to the net carrying value of the investments. Refer to Note 7 and Note 8 for additional details.