Quarterly report [Sections 13 or 15(d)]

Receivables and Other Assets

v3.26.1
Receivables and Other Assets
 6 Months Ended
Jun. 30, 2026
Receivables [Abstract]  
Receivables and Other Assets
Note 4 – Receivables and Other Assets
Accounts receivable, net consisted of the following as of the dates indicated below (in thousands):
June 30, 2026 December 31, 2025
Accounts receivable, net $ 5,290  $ 4,899 
Straight-line rent receivable, net 35,821  30,434 
Total $ 41,111  $ 35,333 
Other assets, net consisted of the following as of the dates indicated below (in thousands):
June 30, 2026 December 31, 2025
Right-of-use assets, net (1)
 $ 19,538  $ 21,260 
Deferred costs, net (2)
5,399  1,158 
Prepaid expenses 2,902  2,130 
Other assets, net 1,786  2,038 
Notes receivable (3)
—  678 
Restricted escrow deposits —  350 
Total $ 29,625  $ 27,614 
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(1)Includes right-of-use finance leases of $5.6 million, right-of-use operating leases of $9.9 million, and a below-market right-of-use asset, net of $4.1 million as of June 30, 2026. Includes right-of-use finance leases of $5.6 million, right-of-use operating leases of $9.4 million, and a below-market right-of-use asset, net of $6.3 million as of December 31, 2025. Amortization expense for the below market right-of-use asset was less than $0.1 million for the three and six months ended June 30, 2026 and 2025. During the six months ended June 30, 2026, the Company recognized a $2.7 million operating lease right-of-use asset in connection with the relocation of its Phoenix corporate office following the scheduled expiration of the previous Phoenix corporate office sub-lease in February 2026. In June 2026, the Company acquired the fee simple interest in land at a property in Lincoln, Nebraska. As a result, $2.1 million previously classified as a below-market right-of-use asset, net was reclassified to land in the Company’s consolidated balance sheet.
(2)Includes accumulated amortization for deferred costs related to the New Revolving Facility, as defined in Note 6 – Debt, Net, of $0.9 million as of June 30, 2026, and related to the Original Revolving Facility, as defined in Note 6 – Debt, Net, of $10.0 million as of December 31, 2025. Amortization expense for deferred costs related to the Original and New Revolving Facility was $0.7 million for the three months ended June 30, 2026 and 2025, and $1.3 million and $1.5 million for the six months ended June 30, 2026 and 2025, respectively. During the six months ended June 30, 2026, the Company capitalized additional deferred costs of $5.8 million in connection with the New Revolving Facility and wrote-off net deferred costs of $0.2 million to loss on extinguishment of debt, net in the consolidated statements of operations in connection with the refinancing of the Original Revolving Facility with the New Revolving Facility and resulting in a net reduction in total borrowing capacity.
(3)Notes receivable includes a Member Loan, net of reserves, discussed in Note 3 – Real Estate Investments and Related Intangibles – Investment in Unconsolidated Joint Venture. The gross balance receivable on the Member Loan was $5.5 million and $6.6 million as of June 30, 2026 and December 31, 2025, respectively. See Note 3 – Real Estate Investments and Related Intangibles – Investment in Unconsolidated Joint Venture for discussion regarding the loan loss reserve recorded against the Member Loan. During the six months ended June 30, 2026, the Company received $1.1 million of repayments on the Member Loan, of which $0.4 million was previously reserved and is recognized in recovery of reserve on Member Loan in the accompanying consolidated statements of operations during the six months ended June 30, 2026.