Summarized Financial Information of Equity Affiliates (Tables)

9 Months Ended

Sep. 30, 2024

Equity Method Investments and Joint Ventures [Abstract]

Limited Liability Companies Accounted for Under Equity Method

The following property table represents the four LLCs/LPs in which we owned a non-controlling interest and were accounted for under the equity method as of September 30, 2024:

Name of LLC/LP	Ownership			Property Owned by LLC/LP
Suburban Properties		33	%	St. Matthews Medical Plaza II
Brunswick Associates (a.)(b.)		74	%	Mid Coast Hospital MOB
FTX MOB Phase II (c.)		95	%	Forney Medical Plaza II
Grayson Properties II (d.)(e.)		95	%	Texoma Medical Plaza II

(a.)This LLC has a third-party term loan of $8.2 million, which is non-recourse to us, outstanding as of September 30, 2024.

(b.)We are the lessee with a third party on a ground lease for land.

(c.)During the first quarter of 2021, this LP paid off its $4.7 million mortgage loan upon maturity, utilizing pro rata equity contributions from the limited partners as well as a $3.5 million member loan from us to the LP which was funded utilizing

borrowings from our revolving credit agreement. During the first quarter of 2023, the LP repaid $175,000 of the member loan and the remaining $3.3 million member loan balance was converted to an equity investment in the LP.

Condensed Combined Statements of Income (Unaudited) for LLCs/LPs Accounted Under Equity Method

Below are the condensed combined statements of income (unaudited) for the four LLCs/LPs accounted for under the equity method at September 30, 2024 and 2023:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
	(amounts in thousands)				(amounts in thousands)
Revenues	$	2,217	$	2,269	$	6,524	$	6,538
Operating expenses		951		967	$	2,675		2,684
Depreciation and amortization		476		478	$	1,422		1,394
Interest, net		142		199	$	443		638
Net income	$	648	$	625	$	1,984	$	1,822
Our share of net income	$	300	$	314	$	956	$	953

Condensed Combined Balance Sheets (Unaudited) for LLCs/LPs Accounted Under Equity Method

Below are the condensed combined balance sheets (unaudited) for the four above-mentioned LLCs/LPs that were accounted for under the equity method as of September 30, 2024 and December 31, 2023:

	September 30, 2024			December 31, 2023
	(amounts in thousands)
Net property, including construction in progress	$	27,391		$	28,488
Other assets (a.)		5,132			4,667
Total assets	$	32,523		$	33,155
Other liabilities (a.)	$	2,628		$	2,074
Mortgage notes payable, non-recourse to us		15,165			21,206
Equity		14,730			9,875
Total liabilities and equity	$	32,523		$	33,155
Investments in and advances to LLCs before amounts included in
accrued expenses and other liabilities	$	14,260		$	9,102
Amounts included in accrued expenses and other liabilities		(1,760	)		(1,729	)
Our share of equity in LLCs, net	$	12,500		$	7,373

(a.)Other assets and other liabilities as of September 30, 2024 and December 31, 2023 include approximately $649,000 and $651,000, respectively, of right-of-use land assets and right-of-use land liabilities related to ground leases whereby the LLC/LP is the lessee, with third party lessors, including subsidiaries of UHS.

Aggregate Principal Amounts Due on Mortgage Notes Payable by Unconsolidated LLC's/LPs Accounted Under Equity Method

As of September 30, 2024, and December 31, 2023, aggregate principal amounts due on mortgage notes payable by unconsolidated LLCs/LPs, which are accounted for under the equity method and are non-recourse to us, are as follows (amounts in thousands):

	Mortgage Loan Balance (a.)
Name of LLC/LP	9/30/2024		12/31/2023		Maturity Date
Brunswick Associates (2.80% fixed rate mortgage loan)	$	8,244	$	8,453	December, 2030
Grayson Properties II (3.70% fixed rate construction loan) (b.)		6,921		12,753	March, 2026
	$	15,165	$	21,206

(a.)All mortgage loans require monthly principal payments through maturity and include a balloon principal payment upon maturity.

(b.)This construction loan required interest on the outstanding principal balance to be paid on a monthly basis through December 1, 2022. On January 1, 2023, monthly principal and interest payments on this loan commenced. During the first quarter of 2024, $5.7 million of the third-party construction loan was repaid utilizing pro-rate equity contributions from the partners, as discussed above. As a result of the repayment of a portion of the construction loan, an associated $3.1 million letter of credit was terminated.