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Loans Receivable
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Loans Receivable Loans Receivable
Loans receivable are recorded on our Consolidated Balance Sheets in real estate loans receivable, net of credit allowance, or for non-real estate loans receivable, in receivables and other assets. Real estate loans receivable consists of mortgage loans and other real estate loans, which are primarily collateralized by a first, second or third mortgage lien, a leasehold mortgage on, or an assignment or pledge of the partnership interest in, the related properties, as well as corporate guarantees and/or personal guarantees. Non-real estate loans are generally corporate loans with no real estate backing. Interest income on loans is recognized as earned based on the principal amount outstanding, subject to an evaluation of the risk of credit loss. Accrued interest receivable was $30,725,000 and $23,497,000 as of March 31, 2026 and December 31, 2025, respectively, and is included in receivables and other assets on the Consolidated Balance Sheets.
The following is a summary of our loans receivable as of the dates indicated (in thousands):
 March 31, 2026December 31, 2025
Mortgage loans$1,639,243 $1,021,355 
Other real estate loans948,031 827,742 
Allowance for credit losses on real estate loans receivable(19,710)(17,887)
Real estate loans receivable, net of credit allowance2,567,564 1,831,210 
Non-real estate loans291,143 258,205 
Allowance for credit losses on non-real estate loans receivable(6,937)(7,150)
Non-real estate loans receivable, net of credit allowance284,206 251,055 
Total loans receivable, net of credit allowance$2,851,770 $2,082,265 
The following is a summary of our loan activity for the periods presented (in thousands):    
 Three Months Ended
 March 31, 2026March 31, 2025
Advances on loans receivable$1,382,728 $19,672 
Less: Receipts on loans receivable737,926 100,372 
Net cash advances (receipts) on loans receivable$644,802 $(80,700)
During the three months ended March 31, 2026, we provided two mortgage loans collateralized by a first mortgage lien in the aggregate principal amount of $895,000,000, each collateralized by a portfolio of skilled nursing facilities. The loans bear interest at 8% per annum.
The allowance for credit losses on loans receivable is maintained at a level believed adequate to absorb potential losses in our loans receivable. The determination of the credit allowance is based on a quarterly evaluation of all outstanding loans, including general economic conditions and estimated collectability of loan payments. We evaluate the collectability of our loans receivable based on a combination of credit quality indicators, including, but not limited to, payment status, historical loan charge-offs, financial strength of the borrower and guarantors, and nature, extent, and value of the underlying collateral.
A loan is considered to have deteriorated credit quality when, based on current information and events, it is probable that we will be unable to collect all amounts due as scheduled according to the contractual terms of the loan agreement. For those loans we identified as having deteriorated credit quality, we determine the amount of credit loss on an individual basis. Placement on non-accrual status may be required. Consistent with this definition, all loans on non-accrual status are deemed to have deteriorated credit quality. To the extent circumstances improve and the risk of collectability is diminished, we may return these loans to income accrual status. While a loan is on non-accrual status, any cash receipts are applied against the outstanding principal balance.
For the remaining loans, we generally assess credit loss on a collective pool basis and use our historical loss experience for similar loans and expectations of future performance of the borrowers to determine the reserve for credit losses. The following is a summary of our loans by credit loss category (in thousands):
March 31, 2026
Loan categoryYears of OriginationLoan Carrying ValueAllowance for Credit LossNet Loan BalanceNo. of Loans
Deteriorated loans(1)
2007 - 2019$130,184 $(8,039)$122,145 5 
Collective loan pool2010 - 2021102,317 (693)101,624 17 
Collective loan pool202295,471 (646)94,825 13 
Collective loan pool202359,239 (401)58,838 5 
Collective loan pool202458,615 (397)58,218 7 
Collective loan pool20251,067,225 (7,228)1,059,997 13 
Collective loan pool20261,365,366 (9,243)1,356,123 9 
Total loans$2,878,417 $(26,647)$2,851,770 69 
(1) Interest recognized on loans classified as deteriorated loans as of the end of the respective reporting period was $3,733,000 for the three months ended March 31, 2026.
During the year ended December 31, 2025, we reclassified the entirety of the secured notes receivable from Genesis to the deteriorated loan category following Genesis’s initiation of Chapter 11 bankruptcy proceedings. The carrying value of the outstanding notes as of March 31, 2026 is $120,806,000. The notes receivable were evaluated on an individual basis to determine the appropriateness of the allowance for credit losses, which included an estimate of collectability, collateral valuation and the anticipated recovery through the bankruptcy process.
The total allowance for credit losses balance is deemed sufficient to absorb expected losses relating to our loan portfolio. The following is a summary of the activity within the allowance for credit losses on loans receivable for the periods presented (in thousands):
Three Months Ended
March 31, 2026March 31, 2025
Balance at beginning of period$25,037 $33,797 
Provision for loan losses, net1,632 (2,007)
Effect of foreign currency(22)311 
Balance at end of period$26,647 $32,101