What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2026-05-08 compared with 2025-11-14 · 370 added, 729 removed, 643 unchanged (63% of the section changed)

3 unchanged sentences

(In thousands, except share and per share amounts) (Unaudited)

September 30, 2025 December 31, 2024

March 31, 2026 December 31, 2025

Investments in real estate, net $ 695,479 $ 698,087

2 unchanged sentences

Restricted cash 21,987 22,246

Loans receivable, net (Note 5) 51,517 56,210

Accounts receivable, net 4,347 2,598

2 unchanged sentences

Other assets 7,463 4,732

Assets held for sale, net (Note 5) — 65,859

TOTAL ASSETS $ 792,321 $ 859,187

4 unchanged sentences

Other liabilities 11,801 11,406

Liabilities associated with assets held for sale, net (Note 5) — 21,966

Total liabilities 535,486 592,938

COMMITMENTS AND CONTINGENCIES (Note 15)

REDEEMABLE PREFERRED STOCK:

Series A cumulative redeemable preferred stock, $0.001 par value;

0 and 25,045,401 shares authorized as of September 30, 2025 and December 31, 2024, respectively;

no shares issued or outstanding as of September 30, 2025 and 913,630 and 913,590 shares issued and outstanding, respectively, as of December 31, 2024;

liquidation preference of $ 25.00 per share, subject to adjustment

Series A cumulative redeemable preferred stock, $ 0.001 par value;

31,200,554 and 31,305,025 shares authorized as of September 30, 2025 and December 31, 2024, respectively;

8,820,338 and 4,020,892 shares issued and outstanding, respectively, as of September 30, 2025 and 8,820,338 and 4,125,363 shares issued and outstanding, respectively, as of December 31, 2024;

28,890,857 and 30,848,680 shares authorized as of March 31, 2026 and December 31, 2025, respectively;

8,820,338 and 1,711,195 shares issued and outstanding, respectively, as of March 31, 2026 and 8,820,338 and 3,669,018 shares issued and outstanding, respectively, as of December 31, 2025;

liquidation preference of $25.00 per share, subject to adjustment

1 unchanged sentence

Series A1 cumulative redeemable preferred stock, $0.001 par value;

24,851,185 and 25,045,401 shares authorized as of September 30, 2025 and December 31, 2024, respectively;

12,240,878 and 9,092,063 shares issued and outstanding, respectively, as of September 30, 2025 and 11,327,248 and 8,372,689 shares issued and outstanding, respectively, as of December 31, 2024;

16,774,534 and 24,508,664 shares authorized as of March 31, 2026 and December 31, 2025, respectively;

12,240,878 and 1,015,412 shares issued and outstanding, respectively, as of March 31, 2026 and 12,240,878 and 8,749,542 shares issued and outstanding, respectively, as of December 31, 2025;

liquidation preference of $25.00 per share, subject to adjustment

1 unchanged sentence

Series D cumulative redeemable preferred stock, $0.001 par value;

26,991,590 shares authorized as of September 30, 2025 and December 31, 2024;

56,857 and 48,447 shares issued and outstanding, respectively, as of both September 30, 2025 and December 31, 2024;

26,965,708 and 26,987,468 shares authorized as of March 31, 2026 and December 31, 2025, respectively;

56,857 and 22,565 shares issued and outstanding, respectively, as of March 31, 2026 and 56,857 and 44,325 shares issued and outstanding, respectively, as of December 31, 2025;

liquidation preference of $25.00 per share, subject to adjustment

1 unchanged sentence

900,000,000 shares authorized;

789,251 shares issued and outstanding as of September 30, 2025 and 466,176 shares issued and outstanding as of December 31, 2024

2,639,158 shares issued and outstanding as of March 31, 2026 and 26,997 shares issued and outstanding as of December 31, 2025

Additional paid-in capital 1,285,605 1,019,044

1 unchanged sentence

Total stockholders’ equity 256,055 265,361

Non-controlling interests 1,020 1,748

Noncontrolling interests 780 888

Total equity 256,835 266,249

TOTAL LIABILITIES, REDEEMABLE PREFERRED STOCK, AND EQUITY

$ 792,321 $ 859,187

The accompanying notes are an integral part of these consolidated financial statements.

2 unchanged sentences

(In thousands, except per share amounts) (Unaudited)

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

Three Months Ended March 31,

Rental and other property income $ 16,298 $ 17,220

11 unchanged sentences

Loss on early extinguishment of debt (Note 7) 705 —

Impairment of real estate (Note 3) — — 221 —

Total Expenses 38,195 37,295

Loss from unconsolidated entities ( 1,376 ) ( 1,151 )

Gain on sale of real estate (Note 3) 679 — 679 —

Gain on sale of First Western (Note 5) 1,737 —

LOSS BEFORE PROVISION FOR INCOME TAXES ( 8,417 ) ( 6,151 )

1 unchanged sentence

NET LOSS ( 8,417 ) ( 6,272 )

Net loss attributable to non-controlling interests 131 192 441 423

Net loss attributable to noncontrolling interests 108 158

NET LOSS ATTRIBUTABLE TO THE COMPANY ( 8,309 ) ( 6,114 )

Redeemable preferred stock dividends declared or accumulated (Note 11) ( 4,180 ) ( 5,484 )

Redeemable preferred stock deemed dividends (Note 11) — ( 327 ) — ( 755 )

Redeemable preferred stock redemptions (Note 11) ( 22,206 ) ( 300 )

4 unchanged sentences

WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING:

Basic 754 114 695 103

Diluted 492 6

3 unchanged sentences

(In thousands, except share and per share amounts) (Unaudited)

Nine Months Ended September 30, 2025

Three Months Ended March 31, 2026

Common Stock Preferred Stock

Value Shares Par

Value Additional

Capital Distributions

in Excess of Earnings Total Stockholders’ Equity Non-controlling

Interests Total Equity

Balances, December 31, 2024

466,180 $ 119 12,546,499 $ 311,903 $ 994,973 $ ( 1,002,479 ) $ 304,516 $ 1,748 $ 306,264

Additional Distributions Total Non-

Par Par Paid - in in Excess Stockholders’ controlling Total

Shares Value Shares Value Capital of Earnings Equity Interests Equity

Balances as of December 31, 2025 26,997 $ 3 12,462,885 $ 310,446 $ 1,019,044 $ ( 1,064,132 ) $ 265,361 $ 888 $ 266,249

Stock based compensation expense — — — — 55 — 55 — 55

Par value adjustment — ( 237 ) — — 237 — — — —

— ( 107 ) — — 107 — — — —

Redemption of Series A1 Preferred Stock paid in Common Stock 2,084,881 203 ( 7,734,130 ) ( 191,566 ) 212,504 ( 18,542 ) 2,599 — 2,599

96,283 5 ( 194,216 ) ( 4,813 ) 4,982 ( 131 ) 43 — 43

Dividends to holders of Series A1 Preferred Stock ($ 0.4425 per share)

Dividends to holders of A1 Preferred Stock ($0.39938 per share)

— — — — — ( 3,010 ) ( 3,010 ) — ( 3,010 )

Redemption of Series D Preferred Stock paid in Common Stock 5,941 1 ( 21,760 ) ( 536 ) 560 ( 19 ) 6 — 6

Dividends to holders of Series D Preferred Stock ($0.35313 per share)

1 unchanged sentence

Redemption of Series A Preferred Stock paid in Common Stock 521,339 56 ( 1,957,823 ) ( 49,094 ) 53,205 ( 3,645 ) 522 — 522

192,144 3 ( 104,471 ) ( 2,606 ) 2,796 ( 170 ) 23 — 23

Dividends to holders of Series A Preferred Stock ($0.34375 per share)

1 unchanged sentence

Net loss — — — — — ( 8,309 ) ( 8,309 ) ( 108 ) ( 8,417 )

Balances, March 31, 2025

754,607 $ 20 12,247,812 $ 304,484 $ 1,002,913 $ ( 1,014,372 ) $ 293,045 $ 1,590 $ 294,635

Contributions to noncontrolling interests — — — — — — — 8 8

Distributions to noncontrolling interests — — — — — — — ( 285 ) ( 285 )

Balances as of March 31, 2026 2,639,158 $ 26 2,749,172 $ 69,250 $ 1,285,605 $ ( 1,098,826 ) $ 256,055 $ 780 $ 256,835

Three Months Ended March 31, 2025

Preferred Stock

Additional Distributions Total Non-

Par Par Paid - in in Excess Stockholders’ controlling Total

Shares Value Shares Value Capital of Earnings Equity Interests Equity

Balances as of December 31, 2024 4,662 $ 119 12,546,499 $ 311,903 $ 994,973 $ ( 1,002,479 ) $ 304,516 $ 1,748 $ 306,264

Stock based compensation expense — — — — 55 — 55 — 55

Par value adjustment — ( 107 ) — — 107 — — — —

— ( 19 ) — — 19 — — — —

Reclassification of Series A1 Preferred Stock to Permanent Equity — — 364,714 9,491 ( 1,196 ) — 8,295 — 8,295

Dividends to holders of Series A1 Preferred Stock ($ 0.42688 per share)

— — — — — ( 3,881 ) ( 3,881 ) — ( 3,881 )

Dividends to holders of Series D Preferred Stock ($ 0.35313 per share)

— — — — — ( 17 ) ( 17 ) — ( 17 )

Dividends to holders of Series A Preferred Stock ($ 0.34375 per share)

— — — — — ( 1,389 ) ( 1,389 ) — ( 1,389 )

Net loss — — — — — ( 8,999 ) ( 8,999 ) ( 152 ) ( 9,151 )

Balances, June 30, 2025 754,607 $ 1 12,612,526 $ 313,975 $ 1,001,791 $ ( 1,028,658 ) $ 287,109 $ 1,161 $ 288,270

Contributions to noncontrolling interests — — — — — — — — —

Distributions to noncontrolling interests — — — — — — — ( 10 ) ( 10 )

Stock-based compensation expense 34,644 2 — — 55 — 57 — 57

Reclassification of Series A1 Preferred Stock to Permanent Equity — — 548,876 13,894 ( 1,392 ) — 12,502 — 12,502

Dividends to holders of Series A1 Preferred Stock ($ 0.42688 per share)

— — — — — ( 3,881 ) ( 3,881 ) — ( 3,881 )

Dividends to holders of Series D Preferred Stock ($ 0.35313 per share)

— — — — — ( 17 ) ( 17 ) — ( 17 )

Dividends to holders of Series A Preferred Stock ($ 0.34375 per share)

— — — — — ( 1,384 ) ( 1,384 ) — ( 1,384 )

Net loss — — — — — ( 12,455 ) ( 12,455 ) ( 131 ) ( 12,586 )

Balances, September 30, 2025 789,251 $ 3 13,161,402 $ 327,869 $ 1,000,454 $ ( 1,046,395 ) $ 281,931 $ 1,020 $ 282,951

Nine Months Ended September 30, 2024

Common Stock Preferred Stock

Value Shares Par

Value Additional

Capital Distributions

in Excess of Earnings Total Stockholders’ Equity Non-controlling

Interests Total Equity

Balances, December 31, 2023 91,146 $ 23 17,858,629 $ 443,829 $ 852,476 $ ( 921,925 ) $ 374,403 $ 2,366 $ 376,769

Stock-based compensation expense — — — — 55 — 55 — 55

Common dividends ($ 0.085 per share)

— — — — — ( 1,937 ) ( 1,937 ) — ( 1,937 )

Issuance of Series A1 Preferred Stock — — 853,879 21,246 ( 2,180 ) — 19,066 — 19,066

Redemption of Series A1 Preferred Stock paid in cash — — ( 24,046 ) ( 595 ) 52 ( 24 ) ( 567 ) — ( 567 )

Dividends to holders of Series A1 Preferred Stock ($ 0.48938 per share)

— — — — — ( 5,251 ) ( 5,251 ) — ( 5,251 )

Dividends to holders of Series D Preferred Stock ($ 0.35313 per share)

— — — — — ( 17 ) ( 17 ) — ( 17 )

Redemption of Series A Preferred Stock paid in cash — — ( 389,506 ) ( 9,698 ) 831 ( 776 ) ( 9,643 ) — ( 9,643 )

Dividends to holders of Series A Preferred Stock ($ 0.34375 per share)

— — — — — ( 2,491 ) ( 2,491 ) — ( 2,491 )

Net loss — — — — — ( 3,730 ) ( 3,730 ) ( 175 ) ( 3,905 )

Balances, March 31, 2024 91,146 $ 23 18,298,956 $ 454,782 $ 851,234 $ ( 936,151 ) $ 369,888 $ 2,191 $ 372,079

Distributions to noncontrolling interests

— — — — — — — ( 43 ) ( 43 )

Stock based compensation expense — — — — 55 — 55 — 55

Common dividends ($ 0.085 per share)

— — — — — ( 1,937 ) ( 1,937 ) — ( 1,937 )

Redemption of Series A1 Preferred Stock paid in cash

— — ( 32,002 ) ( 791 ) 69 ( 16 ) ( 738 ) — ( 738 )

Dividends to holders of Series A1 Preferred Stock $ 0.48938 per share)

— — — — — ( 5,491 ) ( 5,491 ) — ( 5,491 )

Redeemable preferred stock accretion — — — — — ( 428 ) ( 428 ) — ( 428 )

Dividends to holders of Series D Preferred Stock ($ 0.35313 per share)

— — — — — ( 17 ) ( 17 ) — ( 17 )

Redemption of Series A Preferred Stock paid in cash

— — ( 287,474 ) ( 7,162 ) 621 ( 558 ) ( 7,099 ) — ( 7,099 )

Dividends to holders of Series A Preferred Stock ($ 0.34375 per share)

— — — — — ( 2,368 ) ( 2,368 ) — ( 2,368 )

Net loss — — — — — ( 796 ) ( 796 ) ( 56 ) ( 852 )

Balances, June 30, 2024 91,146 $ 23 17,979,480 $ 446,829 $ 851,979 $ ( 947,762 ) $ 351,069 $ 2,092 $ 353,161

Stock based compensation expense 431 — — — 55 — 55 — 55

Stock dividend ($ 0.04 per share)

— 3 — — 3,336 ( 3,339 ) — — —

Redemption of Series A1 Preferred Stock paid in cash — — ( 31,967 ) ( 791 ) 70 ( 17 ) ( 738 ) — ( 738 )

Redemption of Series A1 Preferred Stock paid in Common Stock 963 5 ( 194,216 ) ( 4,813 ) 4,982 ( 131 ) 43 — 43

131,995 33 ( 2,590,616 ) ( 64,127 ) 70,147 ( 8,440 ) ( 2,387 ) — ( 2,387 )

Dividends to holders of Series A1 Preferred Stock ($0.4425 per share)

2 unchanged sentences

— — — — — ( 17 ) ( 17 ) — ( 17 )

Redeemable preferred stock accretion — — — — — ( 327 ) ( 327 ) — ( 327 )

Redemption of Series A Preferred Stock paid in cash — — ( 247,627 ) ( 6,214 ) 530 ( 459 ) ( 6,143 ) — ( 6,143 )

Redemption of Series A Preferred Stock paid in Common Stock 1,921 3 ( 104,471 ) ( 2,606 ) 2,796 ( 170 ) 23 — 23

110,215 28 ( 2,167,156 ) ( 53,927 ) 58,861 ( 7,180 ) ( 2,218 ) — ( 2,218 )

Dividends to holders of Series A Preferred Stock ($0.34375 per share)

1 unchanged sentence

Net loss — — — — — ( 6,114 ) ( 6,114 ) ( 158 ) ( 6,272 )

Balances, September 30, 2024 333,787 $ 87 12,942,114 $ 321,770 $ 984,978 $ ( 985,874 ) $ 320,961 $ 1,900 $ 322,861

Balances as of March 31, 2025 7,546 $ 20 12,247,812 $ 304,484 $ 1,002,913 $ ( 1,014,372 ) $ 293,045 $ 1,590 $ 294,635

The accompanying notes are an integral part of these consolidated financial statements.

2 unchanged sentences

(In thousands) (Unaudited)

Nine Months Ended

September 30,

Three Months Ended March 31,

CASH FLOWS FROM OPERATING ACTIVITIES:

2 unchanged sentences

Depreciation and amortization, net 7,716 6,634

Gain on sale of real estate ( 679 ) —

Impairment of real estate 221 —

Straight-line rental income 386 631

(Gain) loss on interest rate caps ( 17 ) 78

Loss on early extinguishment of debt 705 —

Gain on sale of First Western ( 1,737 ) —

Amortization of deferred debt origination costs 614 735

Amortization of premiums and discounts on debt 28 26

Unrealized premium adjustment on loans receivable 343 549

Unrealized premium adjustment — 165

Amortization of deferred costs and accretion of fees on loans receivable, net — ( 160 )

Write-offs of uncollectible receivables 88 168

Write-off of other deferred costs — 491

Loss on interest rate caps 142 425

Deferred income taxes — ( 24 )

12 unchanged sentences

Due to related parties ( 20,440 ) 4,130

Net cash provided by operating activities 2,471 15,880

Net cash (used in) provided by operating activities ( 25,991 ) 1,208

CASH FLOWS FROM INVESTING ACTIVITIES:

1 unchanged sentence

Receipt of deferred key money 787 —

Proceeds from sale of real estate, net 1,161 1,096

Investment in unconsolidated entity — ( 815 )

Distributions from unconsolidated entity — 330

Return of investment from unconsolidated entity 14 —

Proceeds from sale of assets held for sale, net 44,630 —

Loans funded — ( 1,200 )

Principal collected on loans — 3,174

Net cash used in investing activities ( 9,297 ) ( 14,704 )

Net cash provided by (used in) investing activities 41,438 ( 5,157 )

CASH FLOWS FROM FINANCING ACTIVITIES:

2 unchanged sentences

Payment of principal on secured borrowings — ( 12 )

Payment of deferred preferred stock offering costs — ( 1,029 )

Payment of deferred debt origination costs ( 2,964 ) ( 622 )

Payment of common dividends — ( 5,811 )

Payment of deferred costs ( 66 ) ( 228 )

Net proceeds from issuance of Preferred Stock ( 14 ) ( 8 )

Payment of preferred stock dividends ( 5,010 ) ( 5,965 )

Redemption of Preferred Stock — ( 24,943 )

Contributions from noncontrolling interests 8 —

Distributions to noncontrolling interests ( 295 ) ( 43 )

Net cash provided by (used in) financing activities 2,185 ( 9,429 )

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

Consolidated Statements of Cash Flows (Continued)

(In thousands) (Unaudited)

Nine Months Ended

September 30,

NET DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH ( 4,641 ) ( 8,253 )

Net cash (used in) provided by financing activities ( 15,356 ) 206

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH 91 ( 3,743 )

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH:

7 unchanged sentences

Cash paid during the period for interest $ 7,852 $ 7,686

Federal income taxes paid $ 284 $ 366

SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING AND FINANCING ACTIVITIES:

1 unchanged sentence

Other amounts due from Unconsolidated Joint Venture partners included in other assets $ 396 $ 396

Accrued preferred stock offering costs $ — $ 714

Escrow receivable in connection with sale of First Western $ 1,000 $ —

Accrued deferred debt origination costs $ — $ 100

Accrual of dividends payable to preferred stockholders $ 1,002 $ 5,423

Preferred stock offering costs offset against redeemable preferred stock in permanent equity $ — $ 508

Preferred stock offering costs offset against redeemable preferred stock in temporary equity $ — $ 912

Reclassification of Series A1 Preferred Stock from temporary equity to permanent equity $ 20,799 $ —

Deferred debt origination costs included in accounts payable $ 5 $ —

Write off of deferred debt origination costs $ 158 $ —

Redeemable preferred stock deemed dividends $ — $ 755

Accrued Redeemable Preferred Stock fees $ 241 $ 183

Write-off of preferred stock deferred offering costs $ — $ 5,123

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited)

March 31, 2026 (Unaudited)

ORGANIZATION AND OPERATIONS

1 unchanged sentence

The Company primarily acquires, develops, owns and operates both premier multifamily properties situated in vibrant communities throughout the United States and Class A and creative office real assets in markets with similar business and employment characteristics to its multifamily investments.

The Company also owns one hotel in northern California and a lending platform that originates loans under the Small Business Administration (“SBA”) 7(a) loan program.

The Company seeks to apply the expertise of CIM Group Management, LLC (“CIM Group”) and its affiliates to the acquisition, development and operation of premier multifamily properties and creative office assets that cater to rapidly growing industries such as technology, media and entertainment in vibrant and emerging communities throughout the United States.

The Company’s common stock, $ 0.001 par value per share (“Common Stock”), is currently traded on the Nasdaq Capital Market (“Nasdaq”) under the ticker symbol “CMCT.” On August 15, 2025, the Company voluntarily delisted its Common Stock from the Tel Aviv Stock Exchange (the “TASE”), where it had previously been listed under the ticker symbol “CMCT.” See Part II Item 5 of this Quarterly Report on Form 10-Q.

On January 6, 2025, the Company effected a 1-for-10 reverse stock split (the “January Reverse Stock Split”) on its Common Stock.

On April 14, 2025, the Company received approval from the Listing Qualifications Department of The Nasdaq Stock Market, LLC to transfer the listing of the Company’s Common Stock from the Nasdaq Global Market to the Nasdaq Capital Market.

The transfer of listing became effective on April 17, 2025.

The Nasdaq Capital Market is a continuous trading market that operates in substantially the same manner as the Nasdaq Global Market.

All companies whose securities are listed on the Nasdaq Capital Market must meet certain financial requirements and adhere to Nasdaq’s corporate governance standards.

On April 15, 2025, the Company effected a 1-for-25 reverse stock split (the “April Reverse Stock Split”) on its Common Stock.

Unless otherwise specified, all Common Stock and per share of Common Stock amounts set forth in this Quarterly Report on Form 10-Q have been adjusted to give retroactive effect to both the January Reverse Stock Split and the April Reverse Stock Split.

The Company also owns one hotel in northern California.

The Company seeks to apply the expertise of CIM Group Management, LLC (“CIM Group” or “CIM”) and its affiliates to the acquisition, development and operation of premier multifamily properties and creative office assets that cater to rapidly growing industries such as technology, media and entertainment in vibrant and emerging communities throughout the United States.

The Company’s common stock, $ 0.001 par value per share (“Common Stock”), is currently traded on the Nasdaq Capital Market (“Nasdaq”) under the ticker symbol “CMCT.” Nasdaq is a continuous trading market that operates in substantially the same manner as the Nasdaq Global Market.

All companies whose securities are listed on Nasdaq must meet certain financial requirements and adhere to Nasdaq’s corporate governance standards.

On August 15, 2025, the Company voluntarily delisted its Common Stock from the Tel Aviv Stock Exchange, where it had previously been listed under the ticker symbol “CMCT.” See Part II Item 5 of this Quarterly Report on Form 10-Q.

On March 26, 2026, the Company effected a 1-for-10 reverse stock split on its Common Stock, and on April 20, 2026, the Company effected a 1-for-10 reverse stock split on its Common Stock (collectively, the “Reverse Stock Splits”).

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

4 unchanged sentences

The accompanying financial information reflects all adjustments which are, in the opinion of the Company’s management, of a normal recurring nature and necessary for a fair presentation of the Company’s financial position, results of operations and cash flows for the interim periods.

Operating results for the three and nine months ended September 30, 2025 are not necessarily indicative of the results that may be expected for the year ending December 31, 2025.

Operating results for the three months ended March 31, 2026 are not necessarily indicative of the results that may be expected for the year ending December 31, 2026.

The accompanying interim consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.

3 unchanged sentences

The Company’s judgment with respect to its level of influence or control over an entity and whether the Company is the primary beneficiary of a VIE involves consideration of various factors, including the form of the Company’s ownership interest, the Company’s voting interest, the size of the Company’s investment (including loans), and the Company’s ability to participate in major policy-making decisions.

The Company’s ability to correctly assess its influence or control over an entity affects the presentation of these investments in real estate on the Company’s consolidated financial statements.

In addition, as of March 31, 2026, the Company has determined that its Unconsolidated Joint Ventures (as defined below) are considered VIEs.

Applying the consolidation requirements for VIEs, the Company determined that it is not the primary beneficiary based on its lack of power to direct activities and its

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

The Company’s ability to correctly assess its influence or control over an entity affects the presentation of these investments in real estate on the Company’s consolidated financial statements.

As of September 30, 2025, the Company has determined that the trust formed for the benefit of the note holders (the “Trust”) for the securitization of the unguaranteed portion of certain of the Company’s SBA 7(a) loans receivable is considered a VIE.

Applying the consolidation requirements for VIEs, the Company determined that it is the primary beneficiary based on its power to direct activities through its role as servicer and its obligations to absorb losses and right to receive benefits.

In addition, as of September 30, 2025, the Company has determined that its Unconsolidated Joint Ventures (as defined below) are considered VIEs.

Applying the consolidation requirements for VIEs, the Company determined that it is not the primary beneficiary based on its lack of power to direct activities and its obligations to absorb losses and right to receive benefits.

March 31, 2026 (Unaudited) – (Continued)

obligations to absorb losses and right to receive benefits.

Therefore, the Unconsolidated Joint Ventures do not qualify for consolidation.

The Company accounts for its investments in Unconsolidated Joint Ventures as equity method investments.

Reclassifications —Certain amounts in the Company’s prior period consolidated financial statements have been reclassified to conform to the current period presentation.

The Company has broken out $ 631,000 of straight-line rental income from the change in other assets in the consolidated statement of cash flows for the three months ended March 31, 2025.

This reclassification had no effect on the previously reported total cash flows from operating activities.

Investments in Real Estate —Investments in real estate are stated at depreciated cost.

3 unchanged sentences

Tenant improvements Lesser of useful life or lease term

The fair value of real estate acquired is recorded to acquired tangible assets, consisting primarily of land, land improvements, building and improvements, tenant improvements, furniture, fixtures, and equipment, and identified intangible assets and liabilities, consisting of the value of acquired above-market and below-market leases, in-place leases and ground leases, if any, based in each case on their respective relative fair values.

The purchase consideration of the real estate acquired, which includes the transaction costs incurred in connection with such acquisitions, is recorded at fair value to the acquired tangible assets, consisting primarily of land, land improvements, building and improvements, tenant improvements, furniture, fixtures, and equipment, and identified intangible assets and liabilities, consisting of the value of acquired above-market and below-market leases, in-place leases and ground leases, if any, based in each case on their respective relative fair values.

Loan premiums, in the case of above-market rate loans, or loan discounts, in the case of below-market rate loans, are recorded based on the fair value of any loans assumed in connection with acquiring the real estate.

1 unchanged sentence

The Company capitalizes project costs, including pre-construction costs, interest expense, property taxes, insurance, and other costs directly related and essential to the development, redevelopment, or construction of a project, while activities are ongoing to prepare an asset for its intended use.

Costs incurred after a project is substantially complete and ready for its intended use are expensed as incurred.

Such costs incurred after a project is substantially complete and ready for its intended use are expensed as incurred.

Improvements and replacements are capitalized when they extend the useful life, increase capacity, or improve the efficiency of the asset.

9 unchanged sentences

When an asset is identified by the Company as held for sale, the Company will cease recording depreciation and amortization of the asset.

The Company recognized an impairment of long-lived assets of $ 0 and $ 221,000 during the three and nine months ended September 30, 2025, respectively.

No impairment of long-lived assets was recognized during the three and nine months ended September 30, 2024 (Note 3).

No impairment of long-lived assets was recognized during the three months ended March 31, 2026 and 2025 (Note 3).

Investments in Unconsolidated Entities —The Company accounts for its investments in the unconsolidated joint ventures (the “Unconsolidated Joint Ventures”) under the equity method, as the Company has the ability to exercise significant influence over the investments.

1 unchanged sentence

As such, the Company records its share of the Unconsolidated Joint Ventures’ unrealized gains or losses as well as its share of the revenues and expenses on a quarterly basis as an adjustment to the carrying value of the investment on the Company’s consolidated balance sheet and such share is recognized within the Company’s income from unconsolidated entities on the consolidated statements of operations.

Derivative Financial Instruments —As part of risk management and operational strategies, from time to time, we may enter into derivative contracts with various counterparties.

All derivatives are recognized on the balance sheet at their

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Derivative Financial Instruments —As part of risk management and operational strategies, from time to time, we may enter into derivative contracts with various counterparties.

All derivatives are recognized on the balance sheet at their estimated fair value.

March 31, 2026 (Unaudited) – (Continued)

estimated fair value.

On the date that we enter into a derivative contract, we designate the derivative as a fair value hedge, a cash flow hedge, a foreign currency fair value or cash flow hedge, a hedge of a net investment in a foreign operation, or a trading or non-hedging instrument.

20 unchanged sentences

Lease incentives paid to tenants are included in other assets and amortized as a reduction to rental revenue on a straight-line basis over the term of the related lease.

As of September 30, 2025 and December 31, 2024, lease incentives of $ 1.3 million and $ 3.9 million, respectively, are presented net of accumulated amortization of $ 1.0 million and $ 3.6 million, respectively.

As of March 31, 2026 and December 31, 2025, lease incentives of $ 1.4 million and $ 1.3 million, respectively, are presented net of accumulated amortization of $ 1.1 million and $ 1.1 million, respectively.

Reimbursements from tenants, consisting of amounts due from tenants for common area maintenance, real estate taxes, insurance, and other recoverable costs, are recognized as revenue and are included in rental and other property income in the period the expenses are incurred, with the corresponding expenses included in rental and other property operating expense.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

For the three and nine months ended September 30, 2025 and 2024, the Company recognized rental income as follows (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

March 31, 2026 (Unaudited) – (Continued)

For the three months ended March 31, 2026 and 2025, the Company recognized rental income as follows (in thousands):

Three Months Ended March 31,

Rental and other property income

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Variable lease payments (2)

2,476 2,753 7,159 8,089

Rental and other property income $ 16,298 $ 17,220

______________________

(1) Fixed lease payments include contractual rents under lease agreements with tenants recognized on a straight-line basis over the lease term, including amortization of acquired above-market leases, below-market leases and lease incentives.

(2) Variable lease payments include expense reimbursements billed to tenants and percentage rent, net of bad debt expense from the Company’s operating leases plus cash payments from tenants deemed not probable of collection.

Collectability of Future Lease Payments

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The Company does not use a general reserve approach.

As of September 30, 2025 and December 31, 2024, the Company had identified certain tenants where collection was no longer considered probable and decreased outstanding receivables by $ 590,000 and $ 640,000 , respectively.

As of March 31, 2026 and December 31, 2025, the Company had identified certain tenants where collection was no longer considered probable and decreased outstanding receivables by $ 229,000 and $ 371,000 , respectively.

Revenue from lending activities

Interest income included in interest and other income is comprised of interest earned on loans and the Company’s short-term investments and the accretion of loan discounts.

Interest income on loans is accrued as earned with the accrual of interest suspended when the related loan becomes a Non-Accrual Loan (as defined below).

Interest income is accrued as earned.

Revenue from hotel activities

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

March 31, 2026 (Unaudited) – (Continued)

At inception of a contract with a customer for hotel goods and services, the contractual price is equivalent to the transaction price as there are no elements of variable consideration to estimate.

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Below is a reconciliation of the hotel revenue from contracts with customers to the total hotel segment revenue disclosed in Note 17 (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

Three Months Ended March 31,

Hotel properties

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Hotel revenues $ 12,376 $ 12,681

Tenant recoveries outside of the lease agreements

Tenant recoveries outside of the lease agreements are related to construction projects in which the Company’s tenants have agreed to fully reimburse the Company for all costs related to construction.

These services include architectural, permit expediter and construction services.

At inception of the contract with the customer, the contractual price is equivalent to the transaction price as there are no elements of variable consideration to estimate.

While these individual services are distinct, in the context of the arrangement with the customer, all of these services are bundled together and represent a single package of construction services requested by the customer.

The Company satisfies its performance obligation and recognizes revenues associated with these services over time as the construction is completed.

No such amounts were recognized for tenant recoveries outside of the lease agreements for each of the three and nine months ended September 30, 2025 and 2024.

As of September 30, 2025, there were no remaining performance obligations associated with tenant recoveries outside of the lease agreements.

Loans Receivable —The Company’s loans receivable are carried at their unamortized principal balance less

unamortized acquisition discounts and premiums, retained loan discounts and reserves for expected credit losses.

Acquisition discounts or premiums, origination fees and retained loan discounts are amortized as a component of interest and other income using the effective interest method over the expected life of the respective loans, or on a straight-line basis when it approximates the effective interest method.

All loans were originated pursuant to programs sponsored by the Small Business Administration (the “SBA”) under the SBA 7(a) Small Business Loan Program (the “SBA 7(a) Program”).

Pursuant to the SBA 7(a) Program, the Company sells the portion of the loan that is guaranteed by the SBA.

Upon sale of the SBA guaranteed portion of the loans, which are accounted for as sales, the unguaranteed portion of the loan retained by the Company is recorded at fair value and a discount is recorded as a reduction in basis of the retained portion of the loan.

Unamortized retained loan discounts were $ 7.0 million and $ 7.9 million as of September 30, 2025 and December 31, 2024, respectively.

A loan receivable is generally classified as non-accrual (a “Non-Accrual Loan”) if (i) it is past due as to payment of principal or interest for a period of 60 days or more, (ii) any portion of the loan is classified as doubtful or is charged-off or (iii) the repayment in full of the principal and/or interest is in doubt.

Generally, loans are charged-off when management determines that the Company will be unable to collect any remaining amounts due under the loan agreement, either through liquidation of collateral or other means.

Interest income, included in interest and other income, on a Non-Accrual Loan is recognized on the cost recovery basis.

Current Expected Credit Losses — The current expected credit losses (“CECL”) required under Accounting Standards Update (“ASU”) No.

2016-13, Financial Instruments Credit Losses, and subsequent amendments (“ASU 2016-13”) reflects the Company’s estimate of potential credit losses related to the Company’s loans receivable included in the consolidated balance sheets.

While ASU 2016-13 does not require any particular method for determining CECL, it does specify the allowance should be based on relevant information about past events, including historical loss experience, current portfolio and market conditions, and reasonable and supportable forecasts for the duration of each respective loan.

In addition, other than a few narrow exceptions, ASU 2016-13 requires that all financial instruments subject to the credit loss model have some

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

amount of loss reserve to reflect the GAAP principal underlying the credit loss model that all loans, debt securities, and similar assets have some inherent risk of loss, regardless of credit quality, subordinate capital, or other mitigating factors.

The Company adopted ASU 2016-13 using the modified retrospective method for all financial assets measured at amortized cost.

As of September 30, 2025 and December 31, 2024, the Company had a total CECL of $ 2.6 million and $ 2.0 million, respectively.

The Company estimates CECL for its loans primarily using its historical experience with loan write-offs, historical charge-offs from third-party firms, and the weighted average remaining maturity method, which has been identified as an acceptable method for estimating CECL reserves in the Financial Accounting Standards Board (“FASB”) Staff Q&A Topic 326, No.

This method requires the Company to reference historical loan loss data across a comparable data set and apply such loss rate to each loan investment over its expected remaining term, taking into consideration expected economic conditions over the relevant timeframe.

The Company considers loans that are both (i) expected to be substantially repaid through the operation or sale of the underlying collateral and (ii) for which the borrower is experiencing financial difficulty, to be “collateral-dependent” loans.

For loans that the Company determines that foreclosure of the collateral is probable, the Company measures the expected losses based on the difference between the fair value of the collateral less costs to sell and the amortized cost basis of the loan as of the measurement date.

For collateral-dependent loans with respect to which the Company determines foreclosure is not probable, the Company applies a practical expedient to estimate expected losses using the difference between the collateral’s fair value (less costs to sell the asset if repayment is expected through the sale of the collateral) and the amortized cost basis of the loan.

The Company may use other acceptable alternative approaches in the future depending on, among other factors, the type of loan, underlying collateral and availability of relevant historical market loan loss data.

Quarterly, the Company evaluates the risk of all loans receivable and assigns a risk rating based on a variety of factors, which are grouped as follows:

(i) loan and credit structure, including the as-is loan-to-value (“LTV”) ratio and structural features;

(ii) quality and stability of real estate value and operating cash flow, including debt yield, dynamics of the geography, local market, physical condition and stability of cash flow;

and (iii) quality, experience and financial condition of the borrower.

Based on a 5-point scale, the Company’s loans receivable are rated “1” through “5,” from least risk to greatest risk, respectively, which ratings are defined as follows:

1- Acceptable — These are assets of high quality;

2- Other Assets Especially Mentioned (“OAEM”) — These are assets that are generally profitable but exhibit potential weakness or weaknesses, including, but not limited to, no significant pay history as detailed below for loans originated generally within the last year.

Such weaknesses could result in deterioration if not corrected ;

3- Substandard — These assets generally have a well-defined weakness or weaknesses which could hinder collection efforts;

4- Doubtful — These assets have weakness or weaknesses similar to substandard loans;

however, the weakness or weaknesses are so extreme that significant loss potential exists in all cases and

5- Loss — Assets assigned this classification have no value and thus have been or are in the process of being charged off.

The Company generally assigns a risk rating of “1” to all newly originated loans (generally within one year of origination) due to lack of management experience and/or lack of adequate historical debt coverage at the origination date.

Deferred Rent Receivable and Charges —Deferred rent receivable and charges consist of deferred rent, deferred leasing costs, deferred offering costs (Note 11), deferred financing costs and other deferred costs.

Deferred leasing costs, which represent lease commissions and other direct costs associated with the acquisition of tenants, are capitalized and amortized on a straight-line basis over the terms of the related leases.

Deferred offering costs represented direct costs incurred in connection with the Company’s offerings of Series A1 Preferred Stock (as defined below), Series A Preferred Stock (as defined below), and Series D Preferred Stock (as defined below), excluding costs specifically identifiable to a closing, such as commissions, dealer-manager fees, and other offering fees and expenses.

Generally, for a specific issuance of securities, issuance-specific offering costs are recorded as a reduction of

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

proceeds raised on the issuance date and offering costs incurred but not directly related to a specifically identifiable closing of a security are deferred.

Deferred offering costs were first allocated to each issuance of a security on a pro-rata basis equal to the ratio of the number of securities issued in a given issuance to the maximum number of securities that were expected to be issued in the related offering.

With respect to shares of Series A1 Preferred Stock issued from June 2024 through September 2024, in the event a holder of Series A1 Preferred Stock requests redemption of such shares and such redemption takes place prior to the first anniversary of the date of original issuance, the Company is required to pay such redemption in cash.

As a result, from June 2024 through September 2024, deferred offering costs allocated to each issuance were recorded as reductions to temporary equity and will subsequently be reclassified to permanent equity on the first anniversary of each issuance.

In the case of the Series A Preferred Stock issued prior to February 2020, the issuance-specific offering costs and the deferred offering costs allocated to such issuance were further allocated to the Series A Preferred Stock and Series A Preferred Warrants issued in such issuance based on the relative fair value of the instruments on the date of issuance.

The deferred offering costs allocated to the Series A Preferred Stock and Series A Preferred Warrants were reductions to temporary equity and permanent equity, respectively, with the deferred offering costs allocated to Series A Preferred Stock being reclassified from temporary equity to permanent equity on the first anniversary of each issuance.

Deferred financing costs related to the securing of a revolving line of credit are presented as an asset and amortized ratably over the term of the line of credit arrangement.

As such, the Company’s current and corresponding prior period total deferred costs, net in the accompanying consolidated balance sheets relate only to the revolving loan portion of the credit facilities.

As of September 30, 2025 and December 31, 2024, deferred rent receivable and charges consist of the following (in thousands):

September 30, 2025 December 31, 2024

As such, the Company’s prior period total deferred costs, net in the accompanying consolidated balance sheets relate only to the revolving loan portion of the credit facilities.

As of March 31, 2026 and December 31, 2025, deferred rent receivable and charges, net consist of the following (in thousands):

March 31, 2026 December 31, 2025

Deferred rent receivable $ 10,464 $ 10,850

Deferred leasing costs, net of accumulated amortization of $ 5,435 and $ 5,749 , respectively

Deferred financing costs, net of accumulated amortization of $ 61 and $ 2,654 , respectively

Deferred financing costs, net of accumulated amortization of $ 112

Deferred rent receivable and charges, net $ 17,134 $ 18,692

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As a result, beginning from June 2024 through September 2024, the Company recorded issuances of Series A1 Preferred Stock in temporary equity.

With respect to shares of Series A1 Preferred Stock issued from June 2024 through September 2024, on the first anniversary of the date of original issuance of a particular share of Series A1 Preferred Stock the Company reclassifies such share of Series A1 Preferred Stock from temporary equity to permanent equity as the feature giving rise to temporary equity classification, the requirement to satisfy redemption requests in cash, lapses on the first anniversary date.

Non-controlling Interests —Non-controlling interests represent the interests in various properties owned by third parties.

Restricted Cash —The Company’s mortgage loan and hotel management agreements provide for depositing cash into restricted accounts reserved for capital expenditures, free rent, tenant improvement and leasing commission obligations.

Restricted cash also includes cash required to be segregated in connection with certain of the Company’s loans receivable and with its SBA 7(a) loan-backed notes.

With respect to shares of Series A1 Preferred Stock issued from June 2024 through September 2024, on the first anniversary of the date of original issuance of a particular share of Series A1 Preferred Stock the Company reclassified such share of Series A1 Preferred Stock from temporary equity to permanent equity as the feature giving rise to temporary equity classification, the requirement to satisfy redemption requests in cash, lapses on the first anniversary date.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Key Money —Key money received in connection with the hotel management agreement which the Company has entered into with the franchisor of its hotel property in Sacramento, California (the “Sheraton Management Agreement”) following the completion of specific capital projects is deferred and amortized over the term of the Sheraton Management Agreement.

March 31, 2026 (Unaudited) – (Continued)

Noncontrolling Interests —Noncontrolling interests represent the interests in various properties owned by third parties.

Deferred key money is classified as deferred income and recorded in other liabilities in the Company’s accompanying consolidated balance sheet and amortized as an offset to management fees paid to the franchisor under the Sheraton Management Agreement.

As of September 30, 2025, deferred key money of $ 2.3 million was presented net of accumulated amortization of $ 21,000 .

No deferred key money had been recorded as of December 31, 2024.

As of March 31, 2026, deferred key money of $ 5.5 million was presented net of accumulated amortization of $ 101,000 .

As of December 31, 2025, deferred key money of $ 4.7 million was presented net of accumulated amortization of $ 48,000 .

Use of Estimates —The preparation of consolidated financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period.

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Actual results could differ from those estimates.

Recently Issued Accounting Pronouncements —In August 2023, the FASB issued ASU No.

2023-05, Business Combinations-Joint Venture Formations (Subtopic 805-60):

Recognition and Initial Measurement (“ASU 2023-05”).

ASU 2023-05 applies to the formation of a joint venture and requires a joint venture to initially measure all contributions received upon its formation at fair value.

The guidance is intended to reduce diversity in practice and provide users of joint venture financial statements with more decision-useful information.

The amendments are effective prospectively for all joint venture formations with a formation date on or after January 1, 2025.

The adoption of ASU 2023-05 did not impact the Company’s financial statements.

In November 2023, the FASB issued ASU No.

2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures (“ASU 2023-07”).

ASU 2023-07 enhances the disclosures required for reportable segments on an annual and interim basis.

ASU 2023-07 is effective on a retrospective basis for annual periods beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024, and early adoption is permitted.

The adoption of ASU No.

2023-07 has not impacted the Company’s financial statements but has resulted in incremental disclosures, which are included within Note 17 — Segment Disclosure.

In December 2023, the FASB issued ASU No.

2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures, (“ASU 2023-09”).

ASU 2023-09 enhances annual income tax disclosures by requiring additional disaggregation of information in the effective tax rate reconciliation and regarding income taxes paid.

ASU 2023-09 is effective for annual periods beginning after December 15, 2025, and interim periods within fiscal years beginning after December 15, 2026, and early adoption is permitted.

The Company is currently evaluating whether the adoption of ASU 2023-09 will have a material impact on its consolidated financial statements and disclosures.

In November 2024, the FASB issued ASU No.

Recently Issued Accounting Pronouncements— In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.

2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40) (“ASU 2024-03”).

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The Company is currently evaluating whether the adoption of ASU 2024-03 will have a material impact on its consolidated financial statements and disclosures.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

INVESTMENTS IN REAL ESTATE

Investments in real estate consist of the following (in thousands):

September 30, 2025 December 31, 2024

March 31, 2026 December 31, 2025

Land $ 172,614 $ 172,614

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Net investments in real estate $ 695,479 $ 698,087

For the three months ended September 30, 2025 and 2024, the Company recorded depreciation expense of $ 6.9 million and $ 5.9 million, respectively.

For the nine months ended September 30, 2025 and 2024, the Company recorded depreciation expense of $ 18.6 million and $ 17.5 million, respectively.

Impairment —The Company performs quarterly impairment review procedures, primarily through continuous monitoring of events and changes in circumstances that could indicate that the carrying value of certain of its investments in real estate may not be recoverable.

See Note 2 for a discussion of the Company’s accounting policies regarding impairment of investments in real estate.

During the nine months ended months ended September 30, 2025, one office property in Austin, Texas, with a carrying value of $ 2.1 million, was deemed to be impaired and its carrying value was reduced to an estimated fair value of $ 1.9 million, resulting in impairment charges of $ 0 and $ 221,000 during the three and nine months ended September 30, 2025, respectively.

The Company recorded no impairment charges during the three and nine months ended September 30, 2024.

See Note 2 for a discussion of the Company’s policies regarding impairment of real estate assets.

See Note 13 for a further discussion regarding these impairment charges during the three and nine months ended September 30, 2025.

2025 and 2024 Transactions and Assets Held for Sale —In July 2025, the Company sold a vacant land parcel adjacent to its multifamily property at 1150 Clay Street in Oakland, California (“1150 Clay”).

The Company received proceeds of $ 1.2 million, net of transaction costs of $ 89,000 , and recorded a gain on the sale of $ 679,000 during the three and nine months ended September 30, 2025.

In connection with the sale, the Company used a portion of the proceeds to make a repayment of $ 696,000 under the mortgage loan at 1150 Clay.

There were no acquisitions or dispositions during the nine months ended September 30, 2024.

For the three months ended March 31, 2026 and 2025, the Company recorded depreciation expense of $ 7.0 million and $ 5.9 million, respectively.

2026 and 2025 Transactions —There were no acquisitions or dispositions of investments in real estate during the three months ended March 31, 2026 and 2025.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

March 31, 2026 (Unaudited) – (Continued)

INVESTMENT IN UNCONSOLIDATED ENTITIES

The following table details the Company’s equity method investments in its Unconsolidated Joint Ventures.

The following table details the Company’s equity method investments in the Unconsolidated Joint Ventures.

See Note 2 - Basis of Presentation and Summary of Significant Accounting Policies (dollars in thousands):

Ownership Interest Carrying Value

Joint Venture Asset Type Location Acquisition Date September 30, 2025 September 30, 2025 December 31, 2024

Joint Venture

Asset Type Location Date of Acquisition March 31, 2026 March 31, 2026 December 31, 2025

1910 Sunset Boulevard (1)

Office / Multifamily (Development)

Office / Multifamily

Los Angeles, CA February 11, 2022 44.2 % $ 12,760 $ 12,941

4750 Wilshire Boulevard (2)

Office / Multifamily

Multifamily / Office

Los Angeles, CA February 17, 2023 20.0 % 4,106 5,368

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(1) 1910 Sunset Boulevard is an office building with 105,064 square feet of office space and 2,760 square feet of retail space.

The 1910 Sunset JV (defined below) is nearing completion on its 1915 Park Project (defined below) to build 36 multifamily units on the 1915 Park Avenue land parcel adjacent to the office building.

(2) 4750 Wilshire Boulevard is a three-story office building with 30,335 square feet of office space located on the first floor.

The 1910 Sunset JV (defined below) has completed construction on its 1915 Park Project (defined below) to build 36 multifamily units on the 1915 Park Avenue land parcel adjacent to the office building.

(2) 4750 Wilshire Boulevard is a three-story building with 30,335 square feet of office space located on the first floor.

The remainder of the building was substantially converted into 68 for-lease multifamily units in September 2024.

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The site is being evaluated for different development options, including creative office or other commercial space.

As of September 30, 2025, this property was in pre-development phase and the Company has not finalized the formal development plan for the property.

1910 Sunset Boulevard — In February 2022, the Company invested in an Unconsolidated Joint Venture (the “1910 Sunset JV”) with a CIM-managed separate account (the “1910 Sunset JV Partner) to purchase an office property located at 1910 Sunset Boulevard in Los Angeles, California along with an adjacent vacant land parcel located at 1915 Park Avenue, for a gross purchase price of approximately $ 51.0 million, of which the Company initially contributed approximately $ 22.4 million and the 1910 Sunset JV Partner initially contributed the remaining balance.

As of March 31, 2026, this property was in pre-development phase and the formal development plan has not been finalized for the property.

1910 Sunset Boulevard — In February 2022, the Company invested in an Unconsolidated Joint Venture (the “1910 Sunset JV”) with a CIM-managed separate account (the “1910 Sunset JV Partner”) to purchase an office property located at 1910 Sunset Boulevard in Los Angeles, California (the “1910 Sunset Office Building”) along with an adjacent vacant land parcel located at 1915 Park Avenue, for a gross purchase price of approximately $ 51.0 million, of which the Company initially contributed approximately $ 22.4 million and the 1910 Sunset JV Partner initially contributed the remaining balance.

In September 2022, the 1910 Sunset JV obtained financing through a mortgage loan of $ 23.9 million secured by the office property (the “1910 Sunset Mortgage Loan”).

The Company provided a limited guarantee to the lender under the 1910 Sunset Mortgage Loan.

As of September 30, 2025, the 1910 Sunset JV is nearing completion on its project to build 36 multifamily units on the 1915 Park Avenue land parcel adjacent to the office building (the “1915 Park Project”).

The 1910 Sunset JV is financing the project through a combination of cash from operations at its office property, additional equity contributions from existing investors, and proceeds from a mortgage loan from a third-party lender (which has a balance of $ 6.4 million as of September 30, 2025 and total borrowing availability of $ 9.4 million).

As of September 30, 2025, the 1910 Sunset JV had incurred total costs of $ 12.5 million in connection with the 1915 Park Project.

During the year ended December 31, 2025, the 1910 Sunset JV completed its project to build 36 multifamily units on the 1915 Park Avenue land parcel adjacent to the office building (the “1915 Park Project”) and began leasing during the fourth quarter of 2025.

The 1910 Sunset JV financed the project through a combination of cash from operations at its office property, additional equity contributions from existing investors, and proceeds from a mortgage loan from a third-party lender (which has a balance of $ 8.1 million as of March 31, 2026 and total borrowing availability of $ 9.4 million).

As of March 31, 2026, the 1910 Sunset JV had incurred total costs of $ 12.7 million in connection with the 1915 Park Project.

Beginning on October 1, 2025, in connection with the 1910 Sunset JV’s commencement of leasing at the 1915 Park Project, the Company began reporting its share of the income from the operations of the 1915 Park Project in its multifamily segment, while income from the operations of the 1910 Sunset Office Building continue to be reported in its office segment.

4750 Wilshire Boulevard — In February 2023, three co-investors (the “4750 Wilshire JV Partners”) acquired an 80 % interest in a property owned by a subsidiary of the Company located at 4750 Wilshire Boulevard in Los Angeles, California (“4750 Wilshire”) for a gross sales price of $ 34.4 million (excluding transaction costs).

The Company retained a 20 % interest in 4750 Wilshire through an Unconsolidated Joint Venture arrangement between the Company and the 4750 Wilshire JV Partners (the “4750 Wilshire JV”).

The goal of the 4750 Wilshire JV was to convert two of the three floors of 4750 Wilshire from office-use into 68 for-lease multifamily units (the “4750 Wilshire Project”), with the first floor of 4750 Wilshire continuing to function as 30,335 square feet of office space.

The 4750 Wilshire Project was substantially completed in September 2024.

The 4750 Wilshire JV has commenced leasing of the multifamily units.

The 4750 Wilshire Project which was financed by a combination of equity contributions from the 4750 Wilshire JV Partners and a third-party construction loan, secured by 4750 Wilshire, which closed in March 2023 and had a balance of $ 37.8 million as of September 30, 2025 (with total borrowing availability of $ 38.5 million) (the “4750 Wilshire Construction Loan”).

The Company provided a limited guarantee to the lender under the

Two of the three floors of 4750 Wilshire were converted from office-use into 68 for-lease multifamily units (the “4750 Wilshire Project”), with the first floor of 4750 Wilshire continuing to function as 30,335 square

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

4750 Wilshire Construction Loan.

As of September 30, 2025, total costs of $ 28.6 million had been incurred by the 4750 Wilshire JV in connection with the 4750 Wilshire Project.

March 31, 2026 (Unaudited) – (Continued)

feet of office space.

The 4750 Wilshire Project which was financed by a combination of equity contributions from the 4750 Wilshire JV Partners and a third-party construction loan, secured by 4750 Wilshire, which closed in March 2023 and had a balance of $ 38.2 million as of March 31, 2026 (with total borrowing availability of $ 38.5 million) (the “4750 Wilshire Construction Loan”).

The Company provided a limited guarantee to the lender under the 4750 Wilshire Construction Loan.

As of March 31, 2026, total costs of $ 28.9 million had been incurred by the 4750 Wilshire JV in connection with the 4750 Wilshire Project.

Pursuant to the co-investment agreement, the 4750 Wilshire JV pays an ongoing management fee to the Company.

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Subsequent to this contribution, the Company’s ownership share of the 1902 Park JV was 25.5 %.

In addition, the Company and the 1902 Park JV Partner will be receiving an ongoing management fee from such third party co-investor in connection with its co-investment in 1902 Park JV.

Pursuant to the co-investment agreement, the 1902 Park JV pays an ongoing management fee to the Company.

1015 N Mansfield Avenue — In October, 2023, the Company and a co-investor affiliated with CIM Group (the “1015 N Mansfield JV Partner”) acquired from an unrelated third party a 100 % fee-simple interest in a plot of land located in the Sycamore media district of Los Angeles, California for a gross purchase price of $ 18.0 million (excluding transaction costs) (the “1015 N Mansfield JV”).

The property has a site area of approximately 44,141 square feet and contains a parking garage that has been leased to a third-party tenant.

The site is being evaluated for different creative office or other commercial space development options and was in pre-development phase as the Company has not finalized the formal development plan for the property.

The site is being evaluated for different creative office or other commercial space development options and was in pre-development phase as the formal development plan has not been finalized for the property.

The Company owns 28.8 % of the 1015 N Mansfield JV.

The Company recorded a loss of $ 697,000 and $ 2.3 million related to its investment in the Unconsolidated Joint Ventures during the three and nine months ended September 30, 2025, respectively, and a loss of $ 1.2 million and $ 442,000 during the three and nine months ended September 30, 2024, respectively.

LOANS RECEIVABLE

Loans receivable consist of the following (in thousands):

September 30, 2025 December 31, 2024

SBA 7(a) loans receivable, subject to credit risk $ 22,170 $ 19,306

SBA 7(a) loans receivable, subject to loan-backed notes 28,846 34,930

SBA 7(a) loans receivable, subject to secured borrowings 1,343 1,383

SBA 7(a) loans receivable, held for sale 770 1,494

The Company recorded a loss of $ 1.4 million and $ 1.2 million related to its investment in the Unconsolidated Joint Ventures during the three months ended March 31, 2026 and 2025, respectively.

LOANS RECEIVABLE

Deferred capitalized costs, net 1,005 1,129

Current Expected Credit Losses

Loans receivable, net $ 51,517 $ 56,210

SBA 7(a) Loans Receivable, Subject to Credit Risk —Represents the unguaranteed portions of loans originated under the SBA 7(a) Program which were retained by the Company.

SBA 7(a) Loans Receivable, Subject to Loan-Backed Notes —Represents the unguaranteed portions of loans originated under the SBA 7(a) Program which were transferred to a trust and are held as collateral in connection with a securitization transaction.

The proceeds received from the transfer were reflected as loan-backed notes payable (Note 7).

These loans are subject to credit risk.

SBA 7(a) Loans Receivable, Subject to Secured Borrowings —Represents the government guaranteed portions of loans originated under the SBA 7(a) Program which were sold with the proceeds received from the sale reflected as secured borrowings—government guaranteed loans.

There is no credit risk associated with these loans since the SBA guarantees payment of the principal.

SBA 7(a) Loans Receivable, Held for Sale — Represents the government guaranteed portion of loans held for sale at the end of the period or that had been sold but in respect of which proceeds had not been received as of the end of the period.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Current Expected Credit Losses

CECL reflects the Company’s current estimate of potential credit losses related to loans receivable included in the Company’s consolidated balance sheets as of September 30, 2025 pursuant to ASU 2016-13 as implemented effective January 1, 2023.

Refer to Note 2 for further discussion of CECL.

The following table presents the activity in the Company’s CECL for the nine months ended September 30, 2025 and September 30, 2024 (dollar amounts in thousands):

Current expected credit losses (“CECL”) reflected the Company’s estimate of potential credit losses related to loans receivable included in the Company’s consolidated balance sheets pursuant to ASU No.

2016-13, Financial Instruments Credit Losses, and subsequent amendments.

There was no activity in the Company’s CECL for the three months ended March 31, 2026, due to the sale of the Company’s lending division in January 2026, as further discussed below.

The following table presents the activity in the Company’s CECL for the three months ended March 31, 2025 (dollar amounts in thousands):

Loans Receivable

Current expected credit losses as of December 31, 2024

Net adjustment to reserve for expected credit losses

Current expected credit losses as of March 31, 2025

Net adjustment to reserve for expected credit losses 380

Current expected credit losses as of June 30, 2025 2,451

Net adjustment to reserve for expected credit losses

Current expected credit losses as of September 30, 2025 $ 2,617

Current expected credit losses as of December 31, 2023

Net adjustment to reserve for expected credit losses ( 36 )

Current expected credit losses as of March 31, 2024

Net adjustment to reserve for expected credit losses ( 37 )

Current expected credit losses as of June 30, 2024 1,607

Allowance for credit losses as of December 31, 2024 $ 2,032

Net adjustment to reserve for expected credit losses 39

Current expected credit losses as of September 30, 2024 $ 1,866

The net adjustments to the reserve for expected credit losses are recognized through net income on the Company’s consolidated statements of operations.

During the three and nine months ended September 30, 2025, the Company recorded an increase of $ 166,000 and $ 585,000 , respectively, in its CECL related to its loans receivable, which was recorded in general and administrative expenses in the consolidated statement of operations.

During the three and nine months ended September 30, 2024, the Company recorded an increase of $ 259,000 and $ 186,000 , respectively, in its CECL related to its loan receivable, which is recorded in general and administrative expenses in the consolidated statement of operations.

As further described in Note 2 - Basis of Presentation and Summary of Significant Accounting Policies, the Company evaluates its loans receivable portfolio on a quarterly basis.

Each quarter, the Company assesses the risk factors of each loan and assigns a risk rating based on several factors.

Factors considered in the assessment include, but are not limited to, loan and credit structure, current LTV ratio, debt yield, collateral performance and the quality and condition of the sponsor, borrower and guarantor(s).

Loans are rated “1” (less risk) through “5” (greater risk), which ratings are defined in Note 2 - Basis of Presentation and Summary of Significant Accounting Policies.

Allowance for credit losses as of March 31, 2025 $ 2,071

The net adjustments to the reserve for expected credit losses were recognized through net income on the Company’s consolidated statements of operations.

During the three months ended March 31, 2025, the Company recorded an increase of $ 39,000 in its CECL related to its loans receivable, which was recorded in general and administrative expenses in the consolidated statement of operations.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

The Company’s primary credit quality indicator is its risk ratings, which are further discussed above.

The following table presents the net book value of the Company’s loans receivable portfolio as of September 30, 2025 by year of origination, loan type and risk rating (dollar amounts in thousands):

Amortized Cost of Loans Receivable by Year of Origination

As of September 30, 2025

Number of Loans 2025 2024 2023 2022 2021 Prior Total

Loans by internal risk rating:

1 82 $ 2,628 $ 3,590 $ 4,597 $ 2,799 $ 2,546 $ 9,907 $ 26,067

2 62 589 4,848 4,792 3,129 3,087 5,377 $ 21,822

3 2 — — — — — 774 $ 774

4 3 — — 866 718 — 769 $ 2,353

5 — — — — — — — $ —

Total 149 $ 3,217 $ 8,438 $ 10,255 $ 6,646 $ 5,633 $ 16,827 $ 51,016

SBA 7(a) loans receivable, subject to secured borrowings (1)

Deferred capitalized costs, net 1,005

Current expected credit losses

Held for sale guaranteed portion

Total loans receivable, net $ 51,517

Weighted average risk rating 1.5

____________________

(1) The Company does not assign a risk rating to its SBA 7(a) loans receivable that are subject to secured borrowings or the government guaranteed portion of loans held for sale.

The Company has determined there is no credit risk associated with these loans since the SBA has guaranteed payment of the principal.

As of September 30, 2025 and December 31, 2024, 99.4 % and 99.5 %, respectively, of the Company’s loans subject to credit risk were concentrated in the hospitality industry.

As of September 30, 2025 and December 31, 2024, 92.0 % and 92.3 %, respectively, of the Company’s loans subject to credit risk were current.

The Company classifies loans with negative characteristics in substandard categories ranging from special mention to doubtful.

As of September 30, 2025 and December 31, 2024, $ 6.4 million and $ 4.8 million, respectively, of loans subject to credit risk were classified in substandard categories.

March 31, 2026 (Unaudited) – (Continued)

Assets and Liabilities Held for Sale

As previously announced on November 12, 2025, the Company and First Western SBLC, LLC, a Florida limited liability company (formerly known as First Western SBLC, Inc.) and an indirect wholly owned subsidiary of the Company (“First Western”), entered into a membership interest purchase agreement, dated as of November 6, 2025 (the “Membership Interest Purchase Agreement”), with PG FR Holding, LLC, a Delaware limited liability company (the “Buyer”).

The closing (the “Closing”) of the transactions contemplated by the Membership Interest Purchase Agreement (the “Transactions”) occurred on January 21, 2026, for a gross purchase price of $ 44.9 million (which is net of the outstanding balance of debt related to the 2023 securitization of certain loan receivables), resulting in proceeds of $ 31.2 million after the repayment of the Lending Division Revolving Credit Facility, and a net gain of $ 1.7 million.

Subsequent to March 31, 2026, the Company received $ 1.0 million of escrow proceeds in connection with the Transactions.

As of December 31, 2025, the Company classified the assets and liabilities of First Western as held for sale.

The following is the detail of the carrying amounts of assets and liabilities classified as held for sale on the consolidated balance sheets as of December 31, 2025:

December 31, 2025

Restricted cash $ 4,423

Loans receivable, net (1) 54,213

Accounts receivable, net 633

Other intangible assets (2) 2,957

Other assets 3,633

Total assets held for sale $ 65,859

Debt, net (3) $ 17,330

Accounts payable and accrued expenses 2,508

Other liabilities 2,128

Total liabilities associated with assets held for sale $ 21,966

(1) Loans receivable, net as of December 31, 2025 consisted of total Small Business Administration (the “SBA”) 7(a) loans receivable of $ 53.2 million and net deferred capitalized costs of $ 1.0 million.

Upon the reclassification of First Western to held for sale, the CECL balance related to the loans receivable was reversed.

The loans receivable were subsequently written down to their estimated fair value (based on the contractual sales price) less costs to sell, resulting in a loss on assets held for sale of $ 298,000 for the year ended December 31, 2025.

Following the loss on assets held for sale, as of December 31, 2025, the aggregate net assets and liabilities of First Western were recorded at fair value, less costs to sell.

During the three months ended March 31, 2026, the Company finalized the sale and based on additional operating and investing activity at First Western and certain transaction-related adjustments, recognized a net gain of $ 1.7 million.

(2) Other intangible assets as of December 31, 2025 represented First Western’s trade name and SBA license, with an aggregate carrying value of $ 3.0 million.

(3) Debt, net as of December 31, 2025 consisted of the following:

Secured borrowings – government guaranteed loans of $ 1.3 million, along with net unamortized premiums of $ 19,000 , and SBA 7(a) loan-backed notes of $ 16.4 million, net of deferred debt origination costs of 402,000 .

There were no assets or liabilities classified as held for sale as of March 31, 2026.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

OTHER INTANGIBLE ASSETS AND LIABILITIES

A schedule of the Company’s intangible assets and liabilities and related accumulated amortization and accretion as of September 30, 2025 and December 31, 2024 is as follows (in thousands):

September 30, 2025 December 31, 2024

March 31, 2026 (Unaudited) – (Continued)

OTHER INTANGIBLE ASSETS

A schedule of the Company’s intangible assets and related accumulated amortization and accretion as of March 31, 2026 and December 31, 2025, is as follows (in thousands):

March 31, 2026 December 31, 2025

Intangible assets:

Acquired in-place leases, net of accumulated amortization of $ 894 and $ 1,874 , respectively, with an average useful life of 11 and 2 years, respectively.

Acquired above-market leases, net of accumulated amortization of $ 0 and $ 36 , respectively, with an average useful life of 0 and 7 years, respectively.

Trade name and license 2,957 2,957

Total intangible assets, net $ 3,427 $ 3,568

Amortization of the acquired above-market leases is recorded as a reduction to rental and other property income, and amortization of the acquired in-place leases is included in depreciation and amortization in the accompanying consolidated statements of operations.

Amortization of the acquired below-market leases is recorded as an increase to rental and other property income in the accompanying consolidated statements of operations.

During the three and nine months ended September 30, 2025 and 2024, the Company recognized amortization related to its intangible assets and liabilities as follows (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

Amortization of acquired above-market leases, if any, is recorded as a reduction to rental and other property income, and amortization of acquired in-place leases is included in depreciation and amortization in the accompanying consolidated statements of operations.

Amortization of acquired below-market leases, if any, is recorded as an increase to rental and other property income in the accompanying consolidated statements of operations.

During the three months ended March 31, 2026 and 2025, the Company recognized amortization related to its intangible assets as follows (in thousands):

Three Months Ended March 31,

Acquired above-market lease amortization $ — $ 1

Acquired in-place lease amortization $ 30 $ 79

A schedule of future amortization and accretion of acquired intangible assets and liabilities as of September 30, 2025, is as follows (in thousands):

Years Ending December 31, Acquired

2025 (Three months ending December 31, 2025) $ 30

A schedule of future amortization and accretion of acquired intangible assets as of March 31, 2026, is as follows (in thousands):

Years Ending December 31,

2026 (Nine months ending December 31, 2026) $ 92

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

The following table summarizes the debt balances as of September 30, 2025 and December 31, 2024 and the debt activity for the nine months ended September 30, 2025 (in thousands):

During the Nine Months Ended September 30, 2025

Balances as of December 31, 2024 Debt Issuances & Assumptions Repayments (1) Accretion & (Amortization) Balances as of September 30, 2025

March 31, 2026 (Unaudited) – (Continued)

The following table summarizes the debt balances as of March 31, 2026 and December 31, 2025, and the debt activity for the three months ended March 31, 2026 (in thousands):

During the Three Months Ended March 31, 2026

Balances as of December 31, 2025 Debt Issuances & Assumptions Repayments Accretion & (Amortization) Balances as of March 31, 2026

Mortgages Payable:

2 unchanged sentences

476,959 333 ( 150 ) — 477,142

Deferred debt origination costs — Mortgages Payable ( 3,995 ) ( 2,326 ) — 1,885 ( 4,436 )

Deferred debt issuance costs — Mortgages Payable ( 3,520 ) ( 66 ) — 614 ( 2,972 )

Total Mortgages Payable 473,439 267 ( 150 ) 614 474,170

Secured Borrowings — Government Guaranteed Loans:

Outstanding Balance 1,361 — ( 38 ) — 1,323

Unamortized premiums 22 — — ( 2 ) 20

Total Secured Borrowings — Government Guaranteed Loans 1,383 — ( 38 ) ( 2 ) 1,343

Lending division revolving credit facility — 9,250 — — 9,250

2022 credit facility revolver 1,367 — ( 1,367 ) — —

2022 credit facility term loan 13,633 — ( 13,633 ) — —

Lending division credit facility 10,449 — ( 10,449 ) — —

Junior subordinated notes 27,070 — — — 27,070

SBA 7(a) loan-backed notes 27,857 — ( 7,429 ) — 20,428

Deferred debt origination costs — other ( 733 ) — 59 218 ( 456 )

Discount on junior subordinated notes ( 1,190 ) — — 28 ( 1,162 )

1 unchanged sentence

Total Debt, Net $ 509,768 $ 267 $ ( 10,599 ) $ 642 $ 500,078

(1) The write-off of $ 59,000 of deferred debt issuance costs associated with the 2022 Credit Facility Term Loan (as defined below) resulting from the early extinguishment of debt incurred during the nine months ended September 30, 2025 is reflected here within deferred debt issuance costs — other.

See further discussion under 2022 Credit Facility.

Fixed Rate Mortgages Payable —The Company’s fixed rate mortgages payable are non-recourse and are secured by, among other things, first priority deeds of trust, security agreements or other similar security instruments on the fee simple interests in properties underlying such mortgages and assignments of rents receivable.

As of September 30, 2025, the Company’s fixed rate mortgages payable had fixed interest rates of 6.25 %, 4.14 % and 7.41 % per annum, with payments of interest only and maturity dates of June 7, 2026, July 1, 2026, and January 11, 2030, respectively.

In regards to the mortgage payable with a balance of $ 66.3 million as of September 30, 2025 maturing on June 7, 2026 (the “1150 Clay Mortgage”), the Company executed the final one-year extension option under the mortgage in June 2025.

As of March 31, 2026, the Company’s fixed rate mortgages payable had fixed interest rates of 6.25 %, 4.14 % and 7.41 % per annum, with payments of interest only and initial maturity dates of June 7, 2026, July 1, 2026 and January 11, 2030, respectively.

With regard to the mortgage payable with a balance of $ 66.3 million as of March 31, 2026 maturing on June 7, 2026 (the “1150 Clay Mortgage”), the Company executed the final one-year extension option under the mortgage in June 2025.

The Company intends to work with the lender in order to refinance the 1150 Clay Mortgage beyond its stated maturity date of June 7, 2026.

1 unchanged sentence

If the Company and the lender under the 1150 Clay Mortgage cannot agree on an extension of the mortgage and the Company fails to repay the loan in full upon its contractual maturity date, such failure would constitute an event of default under the mortgage and would allow the lender to, among other remedies, take possession of the property.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

In regards to the mortgage payable with a balance of $ 97.1 million as of September 30, 2025 maturing on July 1, 2026 (the “1 Kaiser Mortgage”), the Company intends to work with the lender in order to refinance the 1 Kaiser Mortgage beyond its stated maturity date of July 1, 2026.

With regard to the mortgage payable with a balance of $ 97.1 million as of March 31, 2026 maturing on July 1, 2026 (the “1 Kaiser Mortgage”), the Company intends to work with the lender in order to refinance the 1 Kaiser Mortgage beyond its stated maturity date of July 1, 2026.

Although the Company believes it is likely it will be able to refinance the 1 Kaiser Mortgage prior to July 1, 2026, there can be no assurance that such refinancing will occur.

1 unchanged sentence

Variable Rate Mortgages Payable —The Company’s variable rate mortgages payable are non-recourse and are secured by, among other things, first priority deeds of trust, security agreements or other similar security instruments on the Company’s fee simple and leasehold interests in its hotel asset and adjacent parking garage and by a deed of trust on and assignment of rents receivable from a multifamily property.

As of September 30, 2025, the Company’s variable rate mortgages payable had a variable interest rate of SOFR plus 4.35 %, SOFR plus 3.36 %, SOFR plus 3.00 % and SOFR plus 2.95 %, with a maturity date of January 1, 2027, January 31, 2027, February 14, 2027 and April 3, 2028, respectively.

The mortgages with maturity dates of January 1, 2027, January 31, 2027, and February 14, 2027 have monthly payments of interest only, while the mortgage with a maturity date of April 3, 2028 has monthly payments of interest plus $ 50,000 of principal.

With regards to the mortgage payable with a balance of $ 81.0 million as of September 30, 2025 secured by a multifamily property in Oakland,California, (the “Channel House Mortgage”), on August 4, 2025 the Company reached an agreement with the lender to extend the maturity date through January 31, 2027 (the “Channel House Mortgage Extension”).

In connection with the Channel House Mortgage Extension, the Company made a repayment of $ 6.0 million under the Channel House Mortgage, reducing it from its previous balance of $ 87.0 million.

Secured Borrowings — Government Guaranteed Loans —Secured borrowings—government guaranteed loans represent sold loans which are treated as secured borrowings because the loan sales did not meet the derecognition criteria provided for in ASC 860-30, Secured Borrowing and Collateral .

These loans included cash premiums that are amortized as a reduction to interest expense over the life of the loan using the effective interest method and are fully amortized when the underlying loan is repaid in full.

As of September 30, 2025, the Company’s secured borrowings-government guaranteed loans included $ 340,000 of loans sold for a premium and excess spread, with a variable rate, reset quarterly, based on prime rate with weighted average coupon rate of 8.21 % at September 30, 2025, and $ 983,000 of loans sold for an excess spread, with a variable rate, reset quarterly, based on prime rate with weighted average coupon rate of 5.85 % at September 30, 2025.

Lending Division Revolving Credit Facility— In June 2025, a subsidiary of the Company, as borrower, entered into an agreement (the “Lending Division Revolving Credit Facility”) with a bank that included a $ 20.0 million revolving credit facility secured by the unguaranteed portion of certain of such subsidiary’s SBA 7(a) loans receivable and other assets of such subsidiary, subject to a borrowing base calculation, and fully guaranteed by the Company.

Loans included in the borrowing base calculation may not be included for more than 12 calendar months unless certain financial ratios are met and in no case can loans be included for more than 18 months.

The Lending Division Revolving Credit Facility bears interest at (i) the base rate plus 2.00 % or (ii) SOFR plus 3.00 %, at the borrower’s election, and has an initial maturity date of June 13, 2027, with two one-year extension options.

As of September 30, 2025, the effective interest rate for the Lending Division Revolving Credit Facility was 7.19 % and, pursuant to the borrowing base calculation, there was no availability for additional borrowings under the Lending Division Revolving Credit Facility.

In connection with the Company’s guaranty of the Lending Division Revolving Credit Facility (the “Parent Guaranty”), the Company is subject to certain financial covenants, including maintenance of (i) a consolidated fixed charge coverage ratio of at least 1.05 to 1.00, (ii) a minimum net worth of $ 200.0 million, (iii) a total leverage ratio no greater than 2.50 to 1.00 and (iv) $ 10.0 million of liquidity.

If the Company fails to comply with the financial covenants set forth in the Parent Guaranty, the lender under the Lending Division Revolving Credit Facility has the right to require the Company to post cash collateral for the benefit of the lender in an amount equal to 105 % of the outstanding principal balance under the facility plus all accrued and unpaid interest under such facility.

On October 22, 2025, the Company entered into an amendment to the Parent Guaranty to modify the Parent Guaranty’s consolidated fixed charge coverage ratio covenant.

Pursuant to the amendment, the Company must maintain a consolidated fixed charge coverage ratio of (x) for the fiscal quarters ending September 30, 2025 and December 31, 2025, not less than 1.00 to 1.00, and (y) for any fiscal quarter ending after December 31, 2025, not less than 1.15 to 1.00.

2022 Credit Facility —In December 2022, the Company refinanced its 2018 credit facility and replaced it with a new 2022 credit facility (the “2022 Credit Facility”), entered into with a bank syndicate, that included a $ 56.2 million term loan (the “2022 Credit Facility Term Loan”) as well as a revolver that originally allowed the Company to borrow up to $ 150.0 million (the “2022 Credit Facility Revolver”), both of which were collectively subject to a borrowing base calculation.

At the time the 2022 Credit Facility was entered into, it was collateralized by six of the Company’s office properties, as well as the Company’s

As of March 31, 2026, the Company’s variable rate mortgages payable had a variable interest rate of SOFR plus 4.35 %, SOFR plus 3.36 %, SOFR plus 3.00 % and SOFR plus 2.95 %, with a maturity date of January 1, 2027 (with three one-year extension options), January 31, 2027, February 14, 2027 (with one one-year extension option) and April 3, 2028 (with two one-year extension options), respectively.

The mortgages with maturity dates of January 1, 2027, January 31, 2027, and February 14, 2027 have monthly payments of interest only, while the mortgage with an initial maturity date of April 3, 2028 (the “Penn Field Mortgage”) has monthly payments of interest plus $ 50,000 of principal.

With regard to the Penn Field Mortgage, during the three months ended March 31, 2026, the Company entered into an amendment to, among other things, provide additional borrowing advances in the amount of $ 2.5 million under the Penn

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

hotel property and adjacent parking garage (the “Hotel Properties”).

The 2022 Credit Facility originally had a maturity date in December 2025 and provided for two one-year extension options.

In December 2024, using proceeds from the closing of a variable rate mortgage on the Hotel Properties and a fixed rate mortgage on three of the Company’s office properties, the Company repaid $ 111.7 million on the 2022 Credit Facility Revolver and $ 42.6 million on the 2022 Credit Facility Term Loan.

On April 3, 2025, the Company completed the refinancing of an office property in Austin, Texas and used a portion of the proceeds from such refinancing to repay the 2022 Credit Facility in full and, in connection with such repayment, the 2022 Credit Facility was terminated.

In connection with termination of the 2022 Credit Facility, the Company recorded a loss on early extinguishment of debt during the nine months ended September 30, 2025 of $ 88,000 related to the write-off of deferred debt origination costs of $ 29,000 associated with the 2022 Credit Facility Revolver and $ 59,000 associated with the 2022 Credit Facility Term Loan.

March 31, 2026 (Unaudited) – (Continued)

Field Mortgage and increase the monthly payments to interest plus $ 60,000 of principal, with the increased monthly payments beginning subsequent to March 31, 2026.

With regard to the mortgage payable with a balance of $ 81.0 million as of March 31, 2026 secured by a multifamily property in Oakland, California (the “Channel House Mortgage”), on August 4, 2025 the Company reached an agreement with the lender to extend the maturity date through January 31, 2027 (the “Channel House Mortgage Extension”).

In connection with the Channel House Mortgage Extension, the Company made a repayment of $ 6.0 million under the Channel House Mortgage, reducing it from its previous balance of $ 87.0 million.

Although the Company believes it is likely it will be able to refinance the Channel House Mortgage prior to January 31, 2027, there can be no assurance that such refinancing will occur.

If the Company and the lender under the Channel House Mortgage cannot agree on an extension of the mortgage and the Company fails to repay the loan in full upon its contractual maturity date, such failure would constitute an event of default under the mortgage and would allow the lender to, among other remedies, take possession of the property.

In connection with the closing of the sale of First Western on January 21, 2026, as further discussed in Note 5, the remaining balance of $ 10.4 million under the Lending Division Revolving Credit Facility was paid in full, resulting in the termination of the Lending Division Revolving Credit Facility.

The Company recorded a loss on early extinguishment of debt during the three months ended March 31, 2026 of $ 705,000 related to the write-off of deferred debt origination costs previously recorded in deferred rent receivable and charges, net in the Company’s consolidated balance sheets.

Junior Subordinated Notes —The Company has junior subordinated notes with a variable interest rate which resets quarterly based on the three-month SOFR plus 3.51 %, with quarterly interest only payments.

1 unchanged sentence

The junior subordinated notes may be redeemed at par at the Company’s option.

SBA 7(a) Loan-Backed Notes —On March 9, 2023, the Company completed a securitization of the unguaranteed portion of certain of its SBA 7(a) loans receivable with the issuance of $ 54.1 million of unguaranteed SBA 7(a) loan-backed notes (the “SBA 7(a) Loan-Backed Notes”) (with net proceeds of approximately $ 43.3 million, after payment of fees and expenses in connection with the securitization and the funding of a reserve account and an escrow account).

The SBA 7(a) Loan-Backed Notes are collateralized by the right to receive payments and other recoveries attributable to the unguaranteed portions of certain of the Company’s SBA 7(a) loans receivable.

The SBA 7(a) Loan-Backed Notes mature on March 20, 2048, with monthly payments due as payments on the collateralized loans are received.

The SBA 7(a) loan-backed notes bear interest at a per annum rate equal to the lesser of (i) 30-day average compounded SOFR plus 2.90 % and (ii) prime rate minus 0.35 %.

As of September 30, 2025, the variable interest rate was 7.15 %.

The Company reflects the SBA 7(a) loans receivable as assets on its consolidated balance sheet and the SBA 7(a) Loan-Backed Notes as debt on its consolidated balance sheet.

The restricted cash on the Company’s consolidated balance sheets included funds related to the Company’s SBA 7(a) Loan-Backed Notes was $ 3.6 million as of September 30, 2025.

Other —Deferred debt issuance costs, which represent legal and third-party fees incurred in connection with the Company’s borrowing activities, are capitalized and amortized to interest expense on a straight-line or effective interest method over the life of the related loan.

Other —Deferred debt issuance costs, which represent certain legal and third-party fees incurred in connection with the Company’s borrowing activities, are capitalized and amortized to interest expense on a straight-line or effective interest method over the life of the related loan.

Deferred debt issuance costs are presented net of accumulated amortization and are a reduction to total debt.

As of September 30, 2025 and December 31, 2024, accrued interest and unused commitment fees payable of $ 2.4 million and $ 1.1 million, respectively, were included in accounts payable and accrued expenses.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Future principal payments on the Company’s debt (face value) as of September 30, 2025 are as follows (in thousands):

Years Ending December 31, Mortgage Payable (1)

Secured Borrowings Principal (2)

Lending Division Revolving Credit Facility Other (2) (3)

2025 (Three months ending December 31, 2025) $ 150 $ 25 $ — $ 1,020 $ 1,195

2026 164,004 102 — 8,504 172,610

As of March 31, 2026 and December 31, 2025, accrued interest and unused commitment fees payable of $ 2.3 million and $ 1.8 million, respectively, are included in accounts payable and accrued expenses.

Future principal payments on the Company’s debt (face value) as of March 31, 2026 are as follows (in thousands):

Years Ending December 31, Mortgages Payable (1)

Junior Subordinated Notes

2026 (Nine months ending December 31, 2026) $ 163,944 $ — $ 163,944

2027 178,008 — 178,008

3 unchanged sentences

$ 477,142 $ 27,070 $ 504,212

______________________

(1) In regards to the $ 66.3 million 1150 Clay Mortgage, which matures on June 7, 2026, see the discussion under Fixed Rate Mortgages Payable.

In regards to the $ 97.1 million 1 Kaiser Mortgage, which matures on July 1, 2026, see the discussion under Fixed Rate Mortgages Payable.

(2) Principal payments on secured borrowings and SBA 7(a) loan-backed notes, which are included in Other, are generally dependent upon cash flows received from the underlying loans.

The Company’s estimate of their repayment is based on scheduled payments on the underlying loans.

The Company’s estimate will differ from actual amounts to the extent the Company experiences prepayments and/or loan liquidations or charge-offs.

(3) Represents the junior subordinated notes and SBA 7(a) Loan-Backed Notes.

(1) With regard to the $ 66.3 million 1150 Clay Mortgage, which matures on June 7, 2026, and the $ 97.1 million 1 Kaiser Mortgage, which matures on July 1, 2026, see the discussion under Fixed Rate Mortgages Payable.

With regard to the $ 81.0 million Channel House Mortgage, which matures on January 31, 2027, see the discussion under Variable Rate Mortgages Payable.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

In the ordinary course of business, the Company may use certain types of derivative instruments for the purpose of managing or hedging its interest rate risk.

The following table summarizes the terms of the Company’s interest rate cap agreements as of September 30, 2025 (dollar amounts in thousands):

The following table summarizes the terms of the Company’s interest rate cap agreements as of March 31, 2026 (dollar amounts in thousands):

Outstanding Notional Fair Value of Assets

Balance Sheet Amount as of Strike Effective Maturity as of

Location September 30, 2025 Rates (1)

Dates Dates September 30, 2025

Interest Rate Caps Other assets $ 171,049

4.5 % to 5.75 %

Location March 31, 2026 Rates (1)

March 31, 2026

Interest Rate Caps

Other assets $ 172,288 4.5 % to 5.75 %

12/6/2024 - 8/04/2025

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(1) The index used for the Company’s interest rate cap agreements is 1-Month Term SOFR.

Additional disclosures related to the fair value of the Company’s derivative instrument is included in Note 13.

The notional amount under the derivative instrument is an indication of the extent of the Company’s involvement in the instrument, but does not represent exposure to credit, interest rate or market risks.

Additional disclosures related to the fair value of the Company’s derivative instruments are included in Note 13.

The notional amount under the derivative instruments is an indication of the extent of the Company’s involvement in the instruments, but does not represent exposure to credit, interest rate or market risks.

Accounting for changes in the fair value of a derivative instrument depends on the intended use and designation of the derivative instrument.

1 unchanged sentence

The change in fair value of the derivative instrument that is not designated as a hedge is recorded directly to earnings as interest expense on the accompanying consolidated statements of operations.

During the three and nine months ended September 30, 2025, the Company recorded an unrealized loss of $ 43,000 and $ 142,000 , respectively, which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

During the three and nine months ended September 30, 2024, the

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Company recorded an unrealized loss of $ 407,000 and $ 425,000 , respectively, which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

During the three months ended March 31, 2026, the Company recorded an unrealized gain of $ 17,000 , which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

During the three months ended March 31, 2025, the Company recorded an unrealized loss of $ 78,000 , which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

STOCK-BASED COMPENSATION PLANS

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The Company has granted awards of restricted shares of Common Stock to each of the independent members of the Board of Directors under the Equity Incentive Plan as follows:

Grant Date (1) Vesting Date Restricted Shares of Common Stock - Individual Restricted Shares of Common Stock - Aggregate

Grant Date (1)

Vesting Date Restricted Shares of Common Stock - Individual Restricted Shares of Common Stock - Aggregate

August 2024 August 2025 1 4

August 2025 August 2026 86 344

______________________

(1) Compensation expense related to these restricted shares of Common Stock is recognized over the vesting period, and generally vests based on one year of continuous service.

The Company recorded compensation expense related to these restricted shares of Common Stock in the amount of $ 55,000 for both the three months ended September 30, 2025 and 2024, and $ 165,000 for both the nine months ended September 30, 2025 and 2024.

As of September 30, 2025, there was $ 183,000 of total unrecognized compensation expense related to restricted shares of Common Stock which will be recognized ratably over the remaining vesting period.

The Company recorded compensation expense related to these restricted shares of Common Stock in the amount of $ 55,000 for both the three months ended March 31, 2026 and 2025.

As of March 31, 2026, there was $ 73,000 of total unrecognized compensation expense related to restricted shares of Common Stock which will be recognized ratably over the remaining vesting period.

EARNINGS PER SHARE (“EPS”)

The computation of basic EPS is based on the Company’s weighted average shares outstanding.

No shares of Series D Preferred Stock, Series A Preferred Stock, or Series A1 Preferred Stock outstanding as of September 30, 2025 or 2024 were included in the computation of diluted EPS because they had no dilutive effect.

Outstanding Series A Preferred Warrants were not included in the computation of diluted EPS for the three and nine months ended September 30, 2025 and 2024 because their impact was either anti-dilutive or such warrants were not exercisable during such periods (Note 12).

EPS for the year-to-date period may differ from the sum of quarterly EPS amounts due to the required method for computing EPS in the respective periods.

In addition, EPS is calculated independently for each component and may not be additive due to rounding.

No shares of Series D Preferred Stock, Series A Preferred Stock, or Series A1 Preferred Stock outstanding as of March 31, 2026 or 2025 were included in the computation of diluted EPS because they had no dilutive effect.

Outstanding Series A Preferred Warrants were

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

The following table reconciles the numerator and denominator used in computing the Company’s basic and diluted per-share amounts for net loss attributable to common stockholders for the three and nine months ended September 30, 2025 and 2024 (in thousands, except per share amounts):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

March 31, 2026 (Unaudited) – (Continued)

not included in the computation of diluted EPS for the three months ended March 31, 2025 because their impact was either anti-dilutive or such warrants were not exercisable during such periods (Note 12).

As of March 31, 2025, all of the Series A Preferred Warrants had expired.

EPS for the year-to-date period may differ from the sum of quarterly EPS amounts due to the required method for computing EPS in the respective periods.

In addition, EPS is calculated independently for each component and may not be additive due to rounding.

The following table reconciles the numerator and denominator used in computing the Company’s basic and diluted per-share amounts for net loss attributable to common stockholders for the three months ended March 31, 2026 and 2025 (in thousands, except per share amounts):

Three Months Ended March 31,

Net loss attributable to common stockholders $ ( 34,695 ) $ ( 11,898 )

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Diluted net loss attributable to common stockholders

$ ( 34,695 ) $ ( 11,898 )

Basic weighted average shares of Common Stock outstanding

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Net loss attributable to common stockholders per share:

Basic $ ( 23.52 ) $ ( 305.04 ) $ ( 63.18 ) $ ( 550.84 )

Diluted $ ( 23.52 ) $ ( 305.04 ) $ ( 63.18 ) $ ( 550.84 )

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

$ ( 70.52 ) $ ( 1,983.00 )

REDEEMABLE PREFERRED STOCK

The table below provides information regarding the issuances, reclassifications and redemptions of each class of the Company’s preferred stock in permanent equity during the three and nine months ended September 30, 2025 and 2024 (dollar amounts in thousands):

The table below provides information regarding the issuances, reclassifications and redemptions of each class of the Company’s preferred stock in permanent equity during the three months ended March 31, 2026 and 2025 (dollar amounts in thousands):

Preferred Stock

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Balances, December 31, 2024 8,372,689 $ 207,387 4,125,363 $ 103,326 48,447 $ 1,190 12,546,499 $ 311,903

Issuance of A1 Preferred Stock 853,879 21,246 — — — — 853,879 21,246

Redemption of Series A1 Preferred Stock ( 24,046 ) ( 595 ) — — — — ( 24,046 ) ( 595 )

Redemption of Series A Preferred Stock — — ( 389,506 ) ( 9,698 ) — — ( 389,506 ) ( 9,698 )

Balances, March 31, 2024 11,208,176 $ 277,586 7,042,333 $ 176,006 48,447 $ 1,190 18,298,956 $ 454,782

Redemption of Series A1 Preferred Stock ( 32,002 ) ( 791 ) — — — — ( 32,002 ) ( 791 )

Redemption of Series A Preferred Stock — — ( 287,474 ) ( 7,162 ) — — ( 287,474 ) ( 7,162 )

Balances, June 30, 2024 11,176,174 $ 276,795 6,754,859 $ 168,844 48,447 $ 1,190 17,979,480 $ 446,829

Redemption of Series A1 Preferred Stock paid in cash ( 31,967 ) ( 791 ) — — — — ( 31,967 ) ( 791 )

Redemption of Series A1 Preferred Stock paid in Common Stock ( 194,216 ) ( 4,813 ) — — — — ( 194,216 ) ( 4,813 )

Redemption of Series A Preferred Stock paid in cash — — ( 247,627 ) ( 6,214 ) — — ( 247,627 ) ( 6,214 )

Redemption of Series A Preferred Stock paid in Common Stock — — ( 104,471 ) ( 2,606 ) — — ( 104,471 ) ( 2,606 )

Balances, September 30, 2024 8,553,591 $ 211,877 4,340,076 $ 108,703 48,447 $ 1,190 12,942,114 $ 321,770

Balances, March 31, 2025 8,178,473 $ 202,574 4,020,892 $ 100,720 48,447 $ 1,190 12,247,812 $ 304,484

Balances, December 31, 2025 8,749,542 $ 217,451 3,669,018 $ 91,906 44,325 $ 1,089 12,462,885 $ 310,446

Redemption of Series A1 Preferred Stock paid in Common Stock ( 7,734,130 ) ( 191,566 ) — — — — ( 7,734,130 ) ( 191,566 )

( 194,216 ) ( 4,813 ) — — — — ( 194,216 ) ( 4,813 )

Redemption of Series D Preferred Stock paid in Common Stock — — — — ( 21,760 ) ( 536 ) ( 21,760 ) ( 536 )

Redemption of Series A Preferred Stock paid in Common Stock — — ( 1,957,823 ) ( 49,094 ) — — ( 1,957,823 ) ( 49,094 )

— — ( 104,471 ) ( 2,606 ) — — ( 104,471 ) ( 2,606 )

Balances, March 31, 2026 1,015,412 $ 25,885 1,711,195 $ 42,812 22,565 $ 553 2,749,172 $ 69,250

Reclassification of Series A1 Preferred Stock to Permanent Equity 364,714 9,491 — — — — 364,714 9,491

Balances, June 30, 2025 8,543,187 $ 212,065 4,020,892 $ 100,720 48,447 $ 1,190 12,612,526 $ 313,975

Reclassification of Series A1 Preferred Stock to Permanent Equity 548,876 $ 13,894 — $ — — $ — 548,876 $ 13,894

Balances, September 30, 2025 9,092,063 $ 225,959 4,020,892 $ 100,720 48,447 $ 1,190 13,161,402 $ 327,869

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

Series A1 Preferred Stock —From June 2022 through September 2024, the Company conducted a public offering with respect to shares of its Series A1 Preferred Stock, par value $ 0.001 per share with an initial stated value of $ 25.00 per share, subject to adjustment.

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As a result, net proceeds from the issuance of shares of Series A1 Preferred Stock from June 2024 and through September 2024 were initially recorded in temporary equity at an amount equal to the gross proceeds allocated to such shares of Series A1 Preferred Stock minus the costs specifically identifiable to the issuance of such shares and the non-issuance specific offering costs allocated to such shares.

With respect to shares of Series A1 Preferred Stock issued from June 2024 through September 2024, on the first anniversary of the issuance of a particular share of such Series A1 Preferred Stock, the Company reclassified such share of Series A1 Preferred Stock from temporary equity to permanent equity as the feature giving rise to temporary equity classification, the requirement to satisfy redemption requests in cash, lapses on the first anniversary date.

As of September 30, 2025, the Company had reclassified an aggregate of $ 20.8 million in net proceeds from temporary equity to permanent equity.

As of September 30, 2025, the Company had issued in registered public offerings 12,040,878 shares of the Series A1 Preferred Stock and received gross proceeds of $ 298.2 million, and additionally had issued 200,000 shares of Series A1 Preferred Stock as payment for services to CIM Service Provider, LLC (the “Administrator”), for which no cash proceeds were

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

As of March 31, 2026, the Company had reclassified an aggregate of $ 20.8 million in net proceeds from temporary equity to permanent equity.

As of March 31, 2026, the Company had issued in registered public offerings 12,040,878 shares of the Series A1 Preferred Stock and received gross proceeds of $ 298.2 million and additionally had issued 200,000 shares of Series A1 Preferred Stock as payment for services to CIM Service Provider, LLC (the “Administrator”), for which no cash proceeds were received.

In connection with the issuance of shares of Series A1 Preferred Stock, $ 22.0 million of costs specifically identifiable to the offering of Series A1 Preferred Stock was allocated to the Series A1 Preferred Stock.

Such costs include commissions, dealer manager fees and other offering fees and expenses but do not include non-issuance-specific costs of $ 11.9 million related to the Company’s offering of Series A Preferred Stock, Series A Preferred Warrants, Series A1 Preferred Stock and Series D Preferred Stock.

As of September 30, 2025, the Company had reclassified and allocated $ 5.0 million from deferred charges to Series A1 Preferred Stock as a reduction to the gross proceeds received.

Such reclassification was based on the cumulative number of securities issued relative to the maximum number of securities expected to be issued under the offering.

Such costs include commissions, dealer manager fees and other offering fees and expenses.

If the net proceeds from the issuance of shares of Series A1 Preferred Stock are less than the redemption value of such shares at the time they were issued, or if the redemption value of such shares subsequently becomes greater than the carrying value of such shares, an adjustment is recorded to increase the carrying amount of such shares to their redemption value as of the balance sheet date.

Such adjustment is considered a deemed dividend for purposes of calculating basic and diluted EPS.

The Company recorded no redeemable preferred stock deemed dividends related to such adjustments during the three and nine months ended September 30, 2025 and $ 327,000 and $ 755,000 during the three and nine months ended September 30, 2024.

As of September 30, 2025, there were 9,092,063 shares of Series A1 Preferred Stock outstanding and 3,148,815 shares of Series A1 Preferred Stock had been redeemed.

The Company recorded no redeemable preferred stock deemed dividends related to such adjustments during both the three months ended March 31, 2026 and March 31, 2025.

As of March 31, 2026, there were 1,015,412 shares of Series A1 Preferred Stock outstanding and 11,225,466 shares of Series A1 Preferred Stock had been redeemed.

Of the 11,225,466 shares of Series A1 Preferred Stock that have been redeemed, the redemption of 183,081 shares of Series A1 Preferred Stock were paid in cash (all of which were redeemed at the option of the holders).

As of September 30, 2025, the Company had, at its option, redeemed 2,589,606 shares of Series A1 Preferred Stock, all of which were paid in shares of Common Stock, including all accrued and unpaid dividends as of each redemption date and, in addition, as of September 30, 2025, 376,128 shares redeemed at the option of the holders were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date (collectively, the “Series A1 In-Kind Redemptions”).

The Series A1 In-Kind Redemptions resulted in the aggregate issuance of 288,981 shares of Common Stock.

As of March 31, 2026, the Company had, at its option, redeemed 10,129,244 shares of Series A1 Preferred Stock, all of which were paid in shares of Common Stock, including all accrued and unpaid dividends as of each redemption date and, in addition, as of March 31, 2026, 913,141 shares redeemed at the option of the holders were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date (collectively, the “Series A1 In-Kind Redemptions”).

The Series A1 In-Kind Redemptions resulted in the aggregate issuance of 2,096,914 shares of Common Stock (adjusted for the Reverse Stock Splits).

Series A Preferred Stock —The Company conducted a continuous public offering of Series A Preferred Stock, with each issued share of Series A Preferred Stock initially accompanied by one warrant (“Series A Preferred Warrant”) to purchase 0.25 of a share of Common Stock, subject to adjustment, from October 2016 through January 2020.

2 unchanged sentences

In June 2022, the Company concluded the offering of Series A Preferred Stock.

As of September 30, 2025, the Company had issued in registered public offerings 8,251,657 shares of Series A Preferred Stock and 4,603,287 Series A Preferred Warrants and received gross proceeds of $ 205.4 million and $ 761,000 , respectively, and additionally, had issued 568,681 shares of Series A Preferred Stock as payment for services to the Administrator, for which no cash proceeds were received.

In connection with the cumulative issuance of Series A Preferred Stock and Series A Preferred Warrants, $ 17.0 million and $ 142,000 of costs specifically identifiable to the offering of the Series A Preferred Stock and Series A Preferred Warrants, respectively, were allocated to the Series A Preferred Stock and Series A Preferred Warrants, respectively.

As of September 30, 2025, the Company had reclassified and allocated $ 1.9 million and $ 5,000 from deferred charges to Series A Preferred Stock and Series A Preferred Warrants, respectively, as a reduction to the gross proceeds received.

Such reclassification was based on the cumulative number of securities issued relative to the maximum number of securities expected to be issued under the offering.

On the first anniversary of the issuance of a particular share of Series A Preferred Stock, the Company reclassifies such share of Series A Preferred Stock from temporary equity to permanent equity as the feature giving rise to temporary equity classification, the requirement to satisfy redemption requests in cash, lapses on the first anniversary date.

As of September 30, 2025, the Company had reclassified an aggregate of $ 199.6 million in net proceeds from temporary equity to permanent equity.

As of September 30, 2025, there were 4,020,892 shares of Series A Preferred Stock outstanding and 4,799,446 shares of Series A Preferred Stock had been redeemed.

Of the 4,799,446 shares of Series A Preferred Stock that have been redeemed, the redemption of 2,330,186 shares of Series A Preferred Stock were paid in cash, 2,313,106 of which were redeemed at the option of the holders and 17,080 of which were redeemed at the option of the Company.

As of September 30, 2025, the Company had, at its option, redeemed 2,150,076 shares of Series A Preferred Stock, all of which were paid in shares of

As of March 31, 2026, the Company had issued in registered public offerings 8,251,657 shares of Series A Preferred Stock and 4,603,287 Series A Preferred Warrants and received gross proceeds of $ 205.4 million and $ 761,000 , respectively, and additionally, had issued 568,681 shares of Series A Preferred Stock as payment for services to the Administrator, for which no cash proceeds were received.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Common Stock, including all accrued and unpaid dividends as of each redemption date and, in addition, as of September 30, 2025, 319,184 shares redeemed at the option of the holders were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date (collectively, the “Series A In-Kind Redemptions”).

The Series A In-Kind Redemptions resulted in the aggregate issuance of 367,311 shares of Common Stock.

March 31, 2026 (Unaudited) – (Continued)

A Preferred Warrants, respectively, were allocated to the Series A Preferred Stock and Series A Preferred Warrants, respectively.

Such costs include commissions, dealer manager fees and other offering fees and expenses.

As of March 31, 2026, the Company had reclassified an aggregate of $ 199.6 million in net proceeds from temporary equity to permanent equity.

As of March 31, 2026, there were 1,711,195 shares of Series A Preferred Stock outstanding and 7,109,143 shares of Series A Preferred Stock had been redeemed.

Of the 7,109,143 shares of Series A Preferred Stock that have been redeemed, the redemption of 2,330,186 shares of Series A Preferred Stock were paid in cash, 2,313,106 of which were redeemed at the option of the holders and 17,080 of which were redeemed at the option of the Company.

As of March 31, 2026, the Company, at its option, redeemed 4,019,649 shares of Series A Preferred Stock, all of which were paid in shares of Common Stock, including all accrued and unpaid dividends as of each redemption date and, in addition, as of March 31, 2026, 759,308 shares redeemed at the option of the holders were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date (collectively, the “Series A In-Kind Redemptions”).

The Series A In-Kind Redemptions resulted in the aggregate issuance of 534,863 shares of Common Stock (adjusted for the Reverse Stock Splits).

Series D Preferred Stock —From February 2020 through June 2022, the Company conducted a continuous public offering with respect to shares of its Series D Preferred Stock, par value $ 0.001 per share, subject to adjustment.

2 unchanged sentences

In June 2022, the Company concluded the offering of its Series D Preferred Stock.

As of September 30, 2025, the Company had issued in registered public offerings 56,857 shares of Series D Preferred Stock and received gross proceeds of $ 1.4 million.

As of March 31, 2026, the Company had issued in registered public offerings 56,857 shares of Series D Preferred Stock and received gross proceeds of $ 1.4 million.

In connection with such issuance, $ 35,000 of costs specifically identifiable to the offering of Series D Preferred Stock were allocated to the Series D Preferred Stock.

As of September 30, 2025, the Company had reclassified and allocated $ 13,000 from deferred charges to Series D Preferred Stock as a reduction to the gross proceeds received.

Such reclassification was based on the cumulative number of securities issued relative to the maximum number of securities expected to be issued under the offering.

As of September 30, 2025, there were 48,447 shares of Series D Preferred Stock outstanding and 8,410 shares of Series D Preferred Stock had been redeemed (all such redemptions were paid in cash and redeemed at the option of the holders).

Such costs include commissions, dealer manager fees and other offering fees and expenses.

As of March 31, 2026, there were 22,565 shares of Series D Preferred Stock outstanding and 34,292 shares of Series D Preferred Stock had been redeemed.

Of the 34,292 shares of Series D Preferred Stock that have been redeemed, the redemption of 8,410 shares of Series D Preferred Stock were paid in cash (all of which were redeemed at the option of the holders) .

As of March 31, 2026, the Company had, at its option, redeemed 21,760 shares of Series D Preferred Stock, all of which were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date and, in addition, as of March 31, 2026, 4,122 shares redeemed at the option of the holders were paid in shares of Common Stock, including all accrued and unpaid dividends as of the redemption date (collectively, the “Series D In-Kind Redemptions”).

The Series D In-Kind Redemptions resulted in the aggregate issuance of 6,057 shares of Common Stock (adjusted for the Reverse Stock Splits).

Dividends —With respect to the payment of dividends or the distribution of amounts upon liquidation, dissolution or winding-up, the Series A1 Preferred Stock, the Series A Preferred Stock and Series D Preferred Stock rank on parity with respect to each other and senior to the Common Stock.

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Dividends on each share of Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock begin accruing on, and are cumulative from, the date of issuance.

During the nine months ended September 30, 2025, the Company paid $ 12.4 million, $ 4.2 million, and $ 51,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively.

Additionally, during the nine months ended September 30, 2025, the Company paid dividends of $ 45,000 and $ 16,000 on the Series A1 Preferred Stock and Series A Preferred Stock, respectively, in shares of Common Stock due to these dividends being accrued and unpaid at the time that such applicable shares of Preferred Stock were redeemed in shares of Common Stock.

During the nine months ended September 30, 2024, the Company paid $ 16.2 million, $ 7.3 million, and $ 51,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively.

Redemptions —The Company’s Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock are redeemable at the option of the holder or the Company.

The redemption schedule of the Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock allows redemptions at the option of the holder of Series A1 Preferred Stock, Series A Preferred Stock or Series D Preferred Stock from the date of original issuance of any such shares at the Series A1 Preferred Stock Stated Value, Series A Preferred Stock Stated Value or Series D Preferred Stock Stated Value, respectively, less a redemption fee applicable prior to the fifth anniversary of the issuance of such shares, plus accrued and unpaid dividends.

The Company has the right to redeem the Series A1 Preferred Stock after the date that is twenty-four months following the original issuance of such shares of Series A1 Preferred Stock at the Series A1 Preferred Stock Stated Value, plus accrued and

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

unpaid dividends.

March 31, 2026 (Unaudited) – (Continued)

During the three months ended March 31, 2026, the Company paid $ 3.7 million, $ 1.3 million and $ 16,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively.

Additionally, during the three months ended March 31, 2026, the Company paid dividends of $ 2.6 million, $ 567,000 and $ 6,000 on the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively, in shares of Common Stock due to these dividends being accrued and unpaid at the time that such applicable shares of Preferred Stock were redeemed in shares of Common Stock.

During the three months ended March 31, 2025, the Company paid $ 4.5 million, $ 1.4 million and $ 17,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock, respectively.

Additionally, during the three months ended March 31, 2025, the Company paid dividends of $ 45,000 and $ 16,000 on the Series A1 Preferred Stock and Series A Preferred Stock, respectively, in shares of Common Stock due to these dividends being accrued and unpaid at the time that such applicable shares of Preferred Stock were redeemed in shares of Common Stock.

During the three months ended March 31, 2026, the Company recorded $ 3.0 million, $ 1.2 million, and $ 14,000 , related to the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively, in redeemable preferred stock dividends declared or accumulated on the consolidated statements of operations.

These amounts reflect dividends declared during the period as well as dividends accumulated for the period on the Company’s cumulative redeemable preferred stock, in each case regardless of whether such dividends were paid during the period.

These amounts are deducted from net loss attributable to the Company to arrive at net loss attributable to common stockholders.

During the three months ended March 31, 2025, the Company recorded $ 4.1 million, $ 1.4 million and $ 17,000 , related to Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively, in redeemable preferred stock dividends declared or accumulated on the consolidated statements of operations.

Redemptions —The Company’s Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock are redeemable at the option of the holder or the Company.

The Company has the right to redeem the Series A Preferred Stock or Series D Preferred Stock after the fifth anniversary of the date of original issuance of such shares at the Series A Preferred Stock Stated Value or Series D Preferred Stock Stated Value, respectively, plus accrued and unpaid dividends.

1 unchanged sentence

provided that the redemption price of any shares of Series A1 Preferred Stock issued in June 2024 and thereafter that are redeemed prior to the first anniversary of the date of original issuance of such shares must be paid in cash.

The Company currently plans to continue to satisfy some or all redemption requests submitted by holders of its shares of Preferred Stock in shares of Common Stock during 2025, when legally permitted, which the Company currently expects will be in the fourth quarter of 2025.

On March 16, 2026, the Company redeemed, at the Company’s option, 1,869,573 shares of Series A Preferred Stock, 7,539,638 shares of Series A1 Preferred Stock and 21,760 shares of Series D Preferred Stock in shares of Common Stock (the “March 2026 Redemption”).

Other than the March 2026 Redemption, the Company does not currently intend to redeem, at the Company’s election, additional Preferred Stock in shares of Common Stock.

However, the Company will evaluate redemption requests submitted by holders of its shares of Preferred Stock at the time it receives them and may elect to redeem those Preferred Shares in Common Stock or cash, at the Company’s discretion.

As of May 1, 2026, the Company has received redemption requests related to Series A1 Preferred Stock and Series A Preferred Stock, totaling approximately $ 204,000 , which the Company intends to redeem in shares of Common Stock as soon as practical after the Company opens its trading window in accordance with its Insider Trading Policy.

During the three months ended March 31, 2026, the Company recorded $ 18.5 million, $ 3.6 million, $ 19,000 related to the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively, in redeemable preferred stock redemptions on the consolidated statements of operations, which reflect the excess amount of the redemption value over the carrying value of the Preferred Stock at the time of the redemption and is deducted from net loss attributable to the Company to arrive at net loss attributable to common stockholders.

During the three months ended March 31, 2025, the Company recorded $ 130,000 and $ 170,000 related to the Series A1 Preferred Stock and Series A Preferred Stock, respectively, in redeemable preferred stock redemptions on the consolidated statements of operations.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

STOCKHOLDERS’ EQUITY

Holders of the Company’s Common Stock are entitled to receive dividends, if, as and when authorized by the Board of Directors and declared by the Company out of legally available funds.

In determining the Company’s dividend policy, the Board of Directors considers many factors including the amount of cash resources available for dividend distributions, capital spending plans, cash flow, the Company’s financial position, applicable requirements of the MGCL, any applicable contractual restrictions, and future growth in NAV and cash flow per share prospects.

In determining the Company’s dividend policy, the Board of Directors considers many factors including the amount of cash resources available for dividend distributions, capital spending plans, cash flow, the Company’s financial position, applicable requirements of the Maryland General Corporation Law (“MGCL”), any applicable contractual restrictions, and future growth in NAV and cash flow per share prospects.

Consequently, the dividend rate on a quarterly basis does not necessarily correlate directly to any individual factor.

Cash dividends per share of Common Stock paid in respect of the nine months ended September 30, 2024 consisted of the following ( no cash dividends were declared for the nine months ended September 30, 2025):

Declaration Date Payment Date Type Cash Dividend Per Share of Common Stock

September 16, 2024 October 8, 2024 Regular Quarterly (a.)

June 25, 2024 July 22, 2024 Regular Quarterly $ 21.25

March 27, 2024 April 8, 2024 Regular Quarterly $ 21.25

_____________________

The Company’s Board of Directors declared a stock dividend of $ 10.00 (or 5.05 shares of Common Stock, as determined on a reverse split-adjusted basis) per share of Common Stock, payable in shares of Common Stock, using a price of $ 496.25 per share, resulting in the issuance of 6,739 shares of Common Stock.

The stock dividend was retrospectively applied to the periods reflected in the consolidated statements of operations included in this Quarterly Report on Form 10-Q.

No cash dividends were declared for the three months ended March 31, 2026 or 2025.

Series A Preferred Warrants

Prior to February 2020, the Series A Preferred Stock was sold as a unit that included one share of Series A Preferred Stock and one Series A Preferred Warrant that could be exercised to purchase 0.25 of a share of Common Stock.

The Series A Preferred Warrants are exercisable beginning on the first anniversary of the date of their original issuance until and including the fifth anniversary of the date of such issuance.

The Series A Preferred Warrants were exercisable beginning on the first anniversary of the date of their original issuance until and including the fifth anniversary of the date of such issuance.

Proceeds and expenses from the sale of the Series A Preferred Stock and Series A Preferred Warrants were allocated to the Series A Preferred Stock and Series A Preferred Warrants using their relative fair values on the date of issuance.

As of September 30, 2025, all of the Series A Preferred Warrants had expired.

As of March 31, 2025, all of the Series A Preferred Warrants had expired.

Share Repurchase Program

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The SRP has no termination date and may be suspended or discontinued at any time.

There were no repurchases during the three and nine months ended September 30, 2025.

As of September 30, 2025, the Company had repurchased 2,650 shares of Common Stock for $ 4.7 million.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

There were no repurchases during the three months ended March 31, 2026 or 2025.

As of March 31, 2026, the Company had repurchased 27 shares of Common Stock (adjusted for the Reverse Stock Splits) for $ 4.7 million.

FAIR VALUE MEASUREMENTS

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Accordingly, Level 3 inputs are used to measure fair value.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

In general, estimates of fair value may differ from the carrying amounts of the financial assets and liabilities primarily as a result of the effects of discounting future cash flows.

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The following describes the methods the Company uses to estimate the fair value of the Company’s financial assets and liabilities.

Debt —The carrying amounts of the Company’s secured borrowings - government guaranteed loans, SBA 7(a) loan-backed notes, Lending Division Revolving Credit Facility and variable rate mortgage payable approximate their fair values, as the interest rates on these securities are variable and approximate current market interest rates.

Debt —The carrying amounts of the Company’s secured borrowings - government guaranteed loans, SBA 7(a) loan-backed notes, Lending Division Revolving Credit Facility and variable rate mortgages payable approximate their fair values, as the interest rates on these securities are variable and approximate current market interest rates.

The Company determines the fair value of fixed rate mortgage notes payable and junior subordinated notes by discounting the expected cash flows based on estimated borrowing rates available to the Company as of the measurement date.

Current and prior period liabilities’ carrying and fair values exclude net deferred financing costs.

Loans Receivable —The Company determines the fair value of loans receivable by performing a present value analysis for the anticipated future cash flows using an appropriate market discount rate taking into consideration the credit risk and using an anticipated prepayment rate.

The value of the government guaranteed portions of loans held for sale is based primarily on the anticipated proceeds to be received upon sale.

The following summarizes the ranges of discount rates and prepayment rates used to arrive at the estimated fair values of the Company’s loans receivable:

September 30, 2025 December 31, 2024

Discount Rate Prepayment Rate Discount Rate Prepayment Rate

SBA 7(a) loans receivable, subject to credit risk 7.05 % - 10.50 %

4.07 % - 17.50 %

7.30 % - 10.75 %

4.07 % - 17.50 %

SBA 7(a) loans receivable, subject to loan-backed notes 9.25 % - 10.50 %

4.81 % - 17.50 %

9.00 % - 10.75 %

4.81 % - 17.50 %

SBA 7(a) loans receivable, subject to secured borrowings 10.00 % - 10.00 %

5.00 % - 17.50 %

10.25 % - 10.25 %

5.00 % - 17.50 %

Loans Receivable —As of December 31, 2025, the Company reclassified the assets and liabilities of First Western as held for sale, including the Company’s portfolio of loans receivable.

See Items Measured at Fair Value on a Non-Recurring Basis (Including Impairment Charges) later in this footnote for further discussion of the fair value measurement of the assets held for sale.

Derivative Instruments — The Company’s derivative instruments are comprised of two interest rate caps.

All derivative instruments are carried at fair value and are valued using Level 2 inputs.

The fair value of these instruments is

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

determined using interest rate market pricing models.

The fair value of these instruments is determined using interest rate market pricing models.

In addition, credit valuation adjustments are incorporated into the fair values to account for the Company’s potential nonperformance risk and the performance risk of the respective counterparties.

Other Financial Instruments —The carrying amounts of the Company’s cash and cash equivalents, restricted cash, accounts receivable, accounts payable, and accrued expenses approximate their fair values due to their short-term maturities at September 30, 2025 and December 31, 2024.

Due to the short-term maturities of these instruments, Level 1 inputs are utilized to estimate the fair value of these financial instruments.

The estimated fair values of those financial instruments which are not recorded at fair value on a recurring basis on the Company’s consolidated balance sheets are as follows (dollar amounts in thousands):

September 30, 2025 December 31, 2024

Amount Estimated

Fair Value Carrying

Amount Estimated

Fair Value Level

SBA 7(a) loans receivable, subject to credit risk $ 21,447 $ 21,940 $ 18,850 $ 18,994 3

SBA 7(a) loans receivable, subject to loan-backed notes $ 27,935 $ 30,857 $ 34,452 $ 37,657 3

SBA 7(a) loans receivable, subject to secured borrowings $ 1,343 $ 1,343 $ 1,383 $ 1,383 3

SBA 7(a) loans receivable, held for sale $ 792 $ 823 $ 1,525 $ 1,600 3

March 31, 2026 December 31, 2025

Carrying Estimated Carrying Estimated

Amount Fair Value Amount Fair Value Level

Mortgages payable (1)

2 unchanged sentences

$ 27,070 $ 26,195 $ 27,070 $ 26,176 3

______________________

(1) The carrying amounts for the mortgages payable and junior subordinated notes represents the principal outstanding amounts, excluding deferred debt issuance costs and discounts.

(1) The carrying amounts for the mortgages payable and junior subordinated notes represent the principal outstanding amounts, excluding deferred debt issuance costs and discounts.

Items Measured at Fair Value on a Non-Recurring Basis (Including Impairment Charges)

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The Company’s process for identifying and recording impairment related to investments in real estate is discussed in Note 2.

As discussed in Note 3, during the nine months ended September 30, 2025, one property was deemed to be impaired due to a revised cash flow estimate that was less than its carrying value, and its carrying value was reduced to an estimated fair value of $ 1.9 million, resulting in impairment charges of $ 221,000 .

The revised cash flow estimate was a result of a decline in performance and a change in the Company’s intended use for the property in the medium term.

The Company estimated fair values using Level 3 inputs and a market approach, specifically using the sales comparison approach.

The sales comparison approach to valuing investments in real estate uses actual sales prices for comparable assets to determine the investment’s fair value.

The sales prices of the comparable assets are adjusted to reflect their condition relative to the subject property, the time and resources necessary to ready the comparable properties for sale, and the terms of the comparable properties sales.

The following table presents the impairment charges by asset class recorded during the three and nine months ended September 30, 2025 (in thousands):

Three Months Ended September 30, 2025 Nine Months Ended September 30, 2025

Asset class impaired:

Work in progress — $ ( 221 )

Total impairment loss $ — $ ( 221 )

As of December 31, 2025, the Company reclassified the assets and liabilities of First Western as held for sale, including the Company’s portfolio of loans receivable.

See Note 5 for more detail on the assets and liabilities held for sale.

Upon the reclassification of First Western to held for sale, the CECL balance related to the loans receivable was reversed.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

March 31, 2026 (Unaudited) – (Continued)

RELATED-PARTY TRANSACTIONS

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Asset Management Fees;

Administrative Fees and Expenses — CIM Urban Partners, L.P., a wholly-owned subsidiary of the Company, and CIM Capital, LLC, an affiliate of CIM Group (“CIM Capital”), have an investment management agreement, pursuant to which CIM Urban engaged CIM Capital to provide certain services to CIM Urban (the “Investment Management Agreement”).

Administrative Fees and Expenses —CIM Urban Partners, L.P.

(“CIM Urban”), a wholly owned subsidiary of the Company, and CIM Capital, LLC, an affiliate of CIM Group (“CIM Capital”), have an investment management agreement, pursuant to which CIM Urban engaged CIM Capital to provide certain services to CIM Urban (the “Investment Management Agreement”).

CIM Capital has assigned its duties under the Investment Management Agreement to its four wholly owned subsidiaries:

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

March 31, 2026 (Unaudited) – (Continued)

“Adjusted Common Equity” means Common Equity plus Excluded Depreciation and Amortization.

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(a) any costs incurred to sell such property, and (b) the current gross value of the property (meaning the property’s original acquisition price plus any subsequent, non-reimbursed capital improvements thereon paid for by the Company).

Pursuant to the Investment Management Agreement, the asset management fee prior to January 1, 2022 fee was calculated (without giving effect to the Fee Waiver) as a percentage of the daily average adjusted fair value of CIM Urban’s assets as follows (dollar amounts in thousands):

Pursuant to the Investment Management Agreement, the asset management fee prior to January 1, 2022 was calculated (without giving effect to the Fee Waiver) as a percentage of the daily average adjusted fair value of CIM Urban’s assets as follows (dollar amounts in thousands):

Daily Average Adjusted Fair

Value of CIM Urban’s Assets

Quarterly Fee

From Greater of To and Including

Value of CIM Urban’s Assets Quarterly Fee

From Greater of To and Including Percentage

$ — $ 500,000 0.2500 %

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In addition, pursuant to the terms of the Master Services Agreement, the Administrator may receive compensation and/or reimbursement for performing certain services for the Company and its subsidiaries that are not covered by the Base Fee.

During the years ended December 31, 2023 and 2022, such services performed by the Administrator and its affiliates included accounting, tax, reporting, internal audit, legal, compliance, risk management, IT, human resources, corporate communications, operational and on-going support in connection with the Company’s offering of Preferred Stock.

During the three months ended March 31, 2026 and 2025, such services performed by the Administrator and its affiliates included accounting, tax, reporting, internal audit, legal, compliance, risk management, IT, human resources, corporate communications, operational and ongoing support in connection with the Company’s Preferred Stock.

The Company will also reimburse the Administrator for the Company’s share of broken deal expenses that are incurred by the Administrator and its affiliates (i.e., fees and expenses relating to investments that were contemplated but the Company did not make and/or transactions that could have been executed by the Company but that the Company did not consummate, including fees and expenses associated with performing due diligence review and negotiating the terms of such investments or transactions).

The Administrator’s compensation is based on the salaries and benefits of the employees of the Administrator and/or its affiliates who performed these services (allocated based on the percentage of time spent on the affairs of the

The Administrator’s compensation is based on the salaries and benefits of the employees of the Administrator and/or its affiliates

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Company and its subsidiaries).

March 31, 2026 (Unaudited) – (Continued)

who performed these services (allocated based on the percentage of time spent on the affairs of the Company and its subsidiaries).

The expense for such services is included in expense reimbursements to related parties—corporate in the accompanying consolidated statements of operations.

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Construction management fees and development management reimbursements are capitalized to investments in real estate on the accompanying consolidated balance sheets.

Lending Segment Expenses — The Company has a Staffing and Reimbursement Agreement with CIM SBA Staffing, LLC (“CIM SBA”), an affiliate of CIM Group, and the Company’s subsidiary, PMC Commercial Lending, LLC.

The agreement provides that CIM SBA will provide personnel and resources to the Company and that the Company will reimburse CIM SBA for the costs and expenses of providing such personnel and resources.

The expense for such services is included in expense reimbursements to related parties—lending segment in the accompanying consolidated statements of operations.

Offering-Related Fees — CCO Capital, LLC (“CCO Capital”) became the exclusive dealer manager for the Company’s public offering of the Series A Preferred Stock and Series A Preferred Warrants effective as of May 31, 2019.

Lending Segment Expenses — The Company had a Staffing and Reimbursement Agreement with CIM SBA Staffing, LLC (“CIM SBA”), an affiliate of CIM Group, and the Company’s subsidiary, PMC Commercial Lending, LLC.

The agreement provided that CIM SBA would provide personnel and resources to the Company and that the Company would reimburse CIM SBA for the costs and expenses of providing such personnel and resources.

The expense for such services was included in expense reimbursements to related parties—lending segment in the accompanying consolidated statements of operations.

Offering-Related Fees — CCO Capital, LLC (“CCO Capital”) became the exclusive dealer manager for the Company’s prior public offering of the Series A Preferred Stock and Series A Preferred Warrants effective as of May 31, 2019.

CCO Capital is a registered broker dealer and is under common control with the Operator and the Administrator.

The Company’s offering of the Series A Preferred Warrants ended at the end of January 2020.

On January 28, 2020, the Company entered into the Second Amended and Restated Dealer Manager Agreement, pursuant to which CCO Capital acted as the exclusive dealer manager for the Company’s public offering of its Series A Preferred Stock and Series D Preferred Stock.

On January 28, 2020, the Company entered into the Second Amended and Restated Dealer Manager Agreement, pursuant to which CCO Capital acted as the exclusive dealer manager for the Company’s prior public offering of its Series A Preferred Stock and Series D Preferred Stock.

The Second Amended and Restated Dealer Manager Agreement was subsequently amended by the Company and CCO Capital to address changes to, among other things, selling commissions and dealer manager fees.

On November 22, 2022, the Company entered into the Fourth Amended and Restated Dealer Manager Agreement, pursuant to which CCO Capital has been acting as the exclusive dealer manager for the Company’s public offering of its Series A1 Preferred Stock.

Thereunder, the Company agreed to compensate CCO Capital, as the dealer manager for the offering, as follows:

(1) a dealer manager fee of up to 3.00 % of the selling price of each share of Series A1 Preferred Stock sold and (2) selling commissions of up to 7.00 % of the selling price of each share of Series A1 Preferred Stock sold.

The Company has been informed that CCO Capital generally reallows 100 % of the selling commissions on sales of Series A1 Preferred Stock and generally reallows substantially all of the dealer manager fee on sales of Series A1 Preferred Stock, to participating broker-dealers.

In addition, pursuant to the Third Amended and Restated Dealer Manager Agreement, CCO Capital will no longer solicit or make any offers for the sale of shares of Series A Preferred Stock or Series D Preferred Stock.

On November 22, 2022, the Company entered into the Fourth Amended and Restated Dealer Manager Agreement, pursuant to which CCO Capital acted as the exclusive dealer manager for the Company’s prior public offering of its Series A1 Preferred Stock.

The Company recorded fees and expense reimbursements as shown in the table below for services provided by related parties related to the services described above during the periods indicated (in thousands):

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Three Months Ended September 30, Nine Months Ended September 30, 2025

2025 2024 2025 2024

Three Months Ended March 31,

Asset Management Fees:

2 unchanged sentences

Property management fees (1)

$ 478 $ 582 $ 1,541 $ 1,742

Onsite management and other cost reimbursements (2)

Onsite management and other cost reimbursement (2)

$ 1,824 $ 1,760

Leasing commissions (3)

$ 86 $ 97 $ 268 $ 335

Construction management fees (4)

$ 70 $ 362 $ 498 $ 552

Development management reimbursements (5)

$ 275 $ 397 $ 984 $ 1,410

Administrative Fees and Expenses:

2 unchanged sentences

Expense reimbursements to related parties - lending segment (6)

$ 679 $ 672 $ 2,016 $ 1,908

Offering-Related Fees:

Upfront dealer manager and trailing dealer manager fees (7)

$ — $ 169 $ — $ 546

Non-issuance specific offering costs (8)

$ — $ 183 $ — $ 606

______________________

(1) Does not include the Company’s share of the property management fees from the Unconsolidated Joint Ventures of $ 25,000 and $ 69,000 for the three and nine months ended September 30, 2025, respectively, and $ 24,000 and $ 74,000 for the three and nine months ended September 30, 2024, respectively.

(2) Does not include the Company’s share of the onsite management and other cost reimbursements from the Unconsolidated Joint Ventures of $ 117,000 and $ 338,000 for the three and nine months ended September 30, 2025, respectively, and $ 176,000 and $ 414,000 for the three and nine months ended September 30, 2024, respectively.

(3) Does not include the Company’s share of the leasing commissions from the Unconsolidated Joint Ventures of $ 0 and $ 70,000 for the three and nine months ended September 30, 2025, respectively, and $ 0 and $ 10,000 for the three and nine months ended September 30, 2024, respectively.

(4) Does not include the Company’s share of the construction management fees from the Unconsolidated Joint Ventures of $ 21,000 and $ 144,000 for the three and nine months ended September 30, 2025, respectively, and $ 6,000 and $ 128,000 for the three and nine months ended September 30, 2024, respectively.

(5) Does not include the Company’s share of the development management reimbursements from the Unconsolidated Joint Ventures of $ 73,000 and $ 334,000 for the three and nine months ended September 30, 2025, respectively, and $ 241,000 and $ 625,000 for the three and nine months ended September 30, 2024, respectively.

(6) Expense reimbursements to related parties - lending segment do not include personnel costs capitalized to deferred loan origination costs of $ 24,000 and $ 48,000 for the three and nine months ended September 30, 2025, respectively, and $ 24,000 and $ 84,000 for the three and nine months ended September 30, 2024, respectively.

(7) Represents fees earned by CCO Capital and allocated to Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock.

(8) As of September 30, 2025 and 2024, $ 0 and $ 3.2 million, respectively, was included in deferred costs as reimbursable expenses incurred pursuant to the Master Services Agreement and the then applicable dealer manager agreement with CCO Capital.

These non-issuance specific costs are allocated against the gross proceeds from the sale of the Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock on a pro rata basis for each issuance as a percentage of the total offering.

(1) Does not include the Company’s share of the property management fees from the Unconsolidated Joint Ventures of $ 27,000 and $ 20,000 for the three months ended March 31, 2026 and 2025, respectively.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

As of September 30, 2025 and December 31, 2024, due to related parties consisted of the following (in thousands):

September 30, 2025 December 31, 2024

March 31, 2026 (Unaudited) – (Continued)

(2) Does not include the Company’s share of the onsite management and other cost reimbursements from the Unconsolidated Joint Ventures of $ 118,000 and $ 91,000 for the three months ended March 31, 2026 and 2025, respectively.

(3) Does not include the Company’s share of the leasing commissions from the Unconsolidated Joint Ventures of $ 11,000 and $ 7,000 for the three months ended March 31, 2026 and 2025, respectively.

(4) Does not include the Company’s share of the construction management fees from the Unconsolidated Joint Ventures of $ 2,000 and $ 58,000 for the three months ended March 31, 2026 and 2025, respectively.

(5) Does not include the Company’s share of the development management reimbursements from the Unconsolidated Joint Ventures of $ 73,000 and $ 175,000 for the three months ended March 31, 2026 and 2025, respectively.

(6) Expense reimbursements to related parties - lending segment do not include personnel costs capitalized to deferred loan origination costs of $ 18,000 for the three months ended March 31, 2025.

As of March 31, 2026 and December 31, 2025, due to related parties consisted of the following (in thousands):

March 31, 2026 December 31, 2025

Asset management fees $ 588 $ 1,303

3 unchanged sentences

Upfront dealer manager and trailing dealer manager fees 241 203

Non-issuance specific offering costs — 289

Other amounts due to the CIM Management Entities and certain of its affiliates 93 516

10 unchanged sentences

The Company owns 28.8 % of the 1015 N Mansfield JV.

On May 15, 2019, an affiliate of CIM Group entered into an approximately 11-year lease that runs through May 2030 for approximately 30,000 rentable square feet with respect to a property owned 4750 Wilshire JV, in which the Company has a 20 % interest.

For the three and nine months ended September 30, 2025 the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 85,000 and $ 251,000 .

For the three and nine months ended September 30, 2024, the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 84,000 and $ 248,000 .

In connection with the loan agreement for one of the Company’s fixed rate mortgages payable secured by three of the Company’s office properties in Los Angeles, California (the “Wilshire Mortgage Loan”), the Company (in such capacity, the “REIT Guarantor”) and CIM Group Investments, LLC, an affiliate of CIM Group (the “CIM Guarantor,” and, together with the REIT Guarantor, the “Guarantor”), delivered a customary non-recourse carveout guaranty to the lenders (the “Guaranty Agreement”), under which (i) the Company agreed to indemnify the lenders with respect to certain “non-recourse carveout events” and to be fully liable for the Wilshire Mortgage Loan in certain circumstances (e.g., the voluntary bankruptcy of the Borrowers and other insolvency events (collectively, the “Bankruptcy Events”)) and (ii) the CIM Guarantor is jointly and severally fully liable with the Company for the Wilshire Mortgage Loan in the case of Bankruptcy Events (collectively, the “Guaranties”).

The Guaranty Agreement requires the Guarantor to maintain a net worth of no less than $ 105.0 million and liquid assets of no less than $ 6.0 million, in each case, exclusive of the values of the collateral for the Wilshire Mortgage Loan, provided that in the event of any partial prepayment or partial defeasance of the Wilshire Mortgage Loan, the above-referenced net worth and liquidity requirements will be reduced in proportion to the principal amount of the Wilshire Mortgage Loan that is partially prepaid and/or defeased, as the case may be.

COMMITMENTS AND CONTINGENCIES

Loan Commitments —Commitments to extend credit are agreements to lend to a customer when the terms established in the contract are met.

The Company’s outstanding commitments to fund loans were $ 16.5 million as of September 30, 2025,

On May 15, 2019, an affiliate of CIM Group entered into an approximately 11-year lease that runs through May 2030 for approximately 30,000 rentable square feet with respect to a property owned by 4750 Wilshire JV, in which the Company has a 20 % interest .

For the three months ended March 31, 2026, the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 84,000 .

For the three months ended March 31, 2025, the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 82,000 .

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

all of which are for prime-based loans to be originated by the Company’s subsidiary engaged in SBA 7(a) Small Business Loan Program lending, the government guaranteed portion of which is intended to be sold.

Commitments generally have fixed expiration dates.

Since some commitments are expected to expire without being drawn upon, total commitment amounts do not necessarily represent future cash requirements.

March 31, 2026 (Unaudited) – (Continued)

events” and to be fully liable for the Wilshire Mortgage Loan in certain circumstances (e.g., the voluntary bankruptcy of the Borrowers and other insolvency events (collectively, the “Bankruptcy Events”)) and (ii) the CIM Guarantor is jointly and severally fully liable with the Company for the Wilshire Mortgage Loan in the case of Bankruptcy Events (collectively, the “Guaranties”).

On December 29, 2025, an affiliate of CIM Group extended an unsecured term loan facility to the Company with total available principal of $ 4.0 million and with an applicable interest rate of 7.5 %.

The unsecured term loan facility expired concurrent with the closing of the sale of First Western on January 21, 2026, and the Company did not borrow any amounts under the facility prior to its maturity.

COMMITMENTS AND CONTINGENCIES

General —In connection with the ownership and operation of real estate properties, the Company has certain obligations for the payment of tenant improvement allowances and lease commissions in connection with new leases and renewals.

The Company had a total of $ 6.0 million in future obligations under leases to fund tenant improvement as of September 30, 2025.

As of September 30, 2025, $ 13.5 million was funded to reserve accounts included in restricted cash on the Company’s consolidated balance sheet for these tenant improvement obligations in connection with various mortgage loan agreements.

The Company had a total of $ 5.0 million in future obligations under leases to fund tenant improvement as of March 31, 2026.

As of March 31, 2026, $ 13.0 million was funded to reserve accounts included in restricted cash on the Company’s consolidated balance sheet for tenant improvement obligations in connection with various mortgage loan agreements.

Under the terms of the Sheraton Management Agreement, the Company is obligated to complete specific renovation projects at its hotel property (the “Sheraton Renovations”) .

As of September 30, 2025, the expected costs to complete the Sheraton Renovations was $ 7.2 million.

As of September 30, 2025, the Company was entitled to receive an additional $ 5.7 million of key money under the Sheraton Management Agreement, to be made available to the Company upon completion of specific aspects of the Sheraton Renovation.

The Company also has available borrowings of $ 2.2 million under a mortgage loan agreement at its hotel property which can be used to finance remaining costs related to the Sheraton Renovations.

Employment Agreements —The Company has an employment agreement with one of its officers.

Under certain circumstances, this employment agreement provides for (1) severance payment equal to the annual base salary paid to the officer and (2) death and disability payments in an amount equal to two times and one time, respectively, the annual base salary paid to the officer.

As of March 31, 2026, the expected costs to complete the Sheraton Renovations was $ 2.6 million.

As of March 31, 2026, the Company was entitled to receive an additional $ 2.5 million of key money under the Sheraton Management Agreement, to be made available to the Company upon completion of specific aspects of the Sheraton Renovation.

The Company also has available borrowings of $ 911,000 under a mortgage loan agreement at its hotel property which can be used to finance remaining costs related to the Sheraton Renovations.

Litigation —The Company is not currently involved in any material pending or threatened legal proceedings nor, to the Company’s knowledge, are any material legal proceedings currently threatened against the Company, other than routine litigation arising in the ordinary course of business.

In the normal course of business, the Company is periodically party to certain legal actions and proceedings involving matters that are generally incidental to the Company’s business.

While the outcome of these legal actions and proceedings cannot be predicted with certainty, in management’s opinion, the resolution of these legal proceedings and actions will not have a material adverse effect on the Company’s business, financial condition, results of operations, cash flow or the Company’s ability to satisfy its debt service obligations or to maintain its level of distributions on our Preferred Stock or pay dividends on our Common Stock.

While the outcome of these legal actions and proceedings cannot be predicted with certainty, in management’s opinion, the resolution of these legal proceedings and actions will not have a material adverse effect on the Company’s business, financial condition, results of operations, cash flow or the Company’s ability to satisfy its debt service obligations or to maintain its level of distributions on its Preferred Stock or renew dividends on its Common Stock.

A subsidiary of the Company is a defendant in a lawsuit in connection with injuries sustained by a third-party contractor at a property previously owned by such subsidiary.

1 unchanged sentence

The Company anticipates that such payment will be made directly from the Company’s insurance carrier, which will be responsible for the entire payment.

Accordingly, the Company does not expect this lawsuit to have any adverse effect on the Company’s business, financial condition, results of operations, cash flow or the Company’s ability to satisfy its debt service obligations or to maintain the level of distributions on the Company’s Preferred Stock or pay dividends on our Common Stock.

SBA Related —If the SBA establishes that a loss on an SBA guaranteed loan is attributable to significant technical deficiencies in the manner in which the loan was originated, funded or serviced under the SBA 7(a) Small Business Loan Program, the SBA may seek recovery of the principal loss related to the deficiency from the Company.

As of September 30, 2025, the Company serviced an aggregate of $ 204.2 million of the guaranteed portion of SBA 7(a) loans.

With respect to the guaranteed portion of SBA loans that have been sold, the SBA will first honor its guarantee and then seek compensation from the Company in the event that a loss is deemed to be attributable to technical deficiencies.

Based on historical experience, the Company does not expect that this contingency is probable to be asserted.

However, if asserted, it could have a material adverse effect on the Company’s business, financial condition, results of operations, cash flow or the Company’s ability to satisfy its debt service obligations or to maintain its level of distributions on our Preferred Stock or pay dividends on our Common Stock.

Environmental Matters —In connection with the ownership and operation of real estate properties, the Company may be potentially liable for costs and damages related to environmental matters, including asbestos-containing materials.

The Company has not been notified by any governmental authority of any noncompliance, liability, or other claim in connection with any of the properties, and the Company is not aware of any other environmental condition with respect to any of the properties that management believes will have a material adverse effect on the Company’s business, financial condition, results of operations, cash flow or the Company’s ability to satisfy its debt service obligations or to maintain its level of distributions on our Preferred Stock or pay dividends on our Common Stock.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

Future minimum rental revenue under long-term operating leases as of September 30, 2025, excluding tenant reimbursements of certain costs, are as follows (excludes unconsolidated properties, in thousands):

Years Ending December 31, Total

2025 (Three months ending December 31, 2025) $ 13,894

March 31, 2026 (Unaudited) – (Continued)

Future minimum rental revenue under long-term operating leases as of March 31, 2026, excluding tenant reimbursements of certain costs, are as follows (excludes unconsolidated properties, in thousands):

Years Ended December 31, Total

2026 (Nine months ending December 31, 2026) $ 39,702

Thereafter 52,991

SEGMENT DISCLOSURE

The Company’s reportable segments during the three and nine months ended September 30, 2025 and 2024 consist of three types of commercial real estate properties, namely, office, hotel and multifamily, as well as a segment for the Company’s lending business.

The Company’s reportable segments during the three months ended March 31, 2026 and 2025 consist of three types of commercial real estate properties, namely, office, hotel and multifamily.

As previously disclosed, the Company completed the sale of its lending business on January 21, 2026, and, as a result, the Company’s lending business ceased to be one of the Company’s reportable segments during the three months ended March 31, 2026.

As the lending segment activity was de minimis during the period it remained under the Company’s ownership for the three months ended March 31, 2026, the related amounts are included within non-segment interest and other income, interest expense, and general and administrative, as applicable.

Management internally evaluates the operating performance and financial results of the segments based on net operating income.

9 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

The net operating income (loss) of the Company’s segments for the three and nine months ended September 30, 2025 and 2024 is as follows (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

March 31, 2026 (Unaudited) – (Continued)

The net operating income (loss) of the Company’s segments for the three months ended March 31, 2026 and 2025 is as follows (in thousands):

Three Months Ended March 31,

Revenues $ 12,578 $ 13,054

3 unchanged sentences

Total property expenses 6,141 5,924

(Loss) income from unconsolidated entities ( 528 ) ( 834 ) ( 382 ) 487

Income (loss) from unconsolidated entities 62 ( 29 )

Segment net operating income—office 6,499 7,101

12 unchanged sentences

Loss from unconsolidated entities

Segment net operating income—multifamily 792 508 361 3,677

( 1,438 ) ( 1,122 )

Segment net operating loss—multifamily ( 613 ) ( 620 )

Revenues — 2,378

6 unchanged sentences

Total segment net operating income $ 9,842 $ 11,755

(1) Beginning in the quarter ended December 31, 2024, the Company reclassified its investment in the 4750 Wilshire JV to include income from the investment in the multifamily segment from its previous classification in the office segment.

This change corresponded with the 4750 Wilshire JV’s substantial completion of the 4750 Wilshire Project.

In the above table, the Company’s income earned from its investment in the 4750 Wilshire JV prior to October 1, 2024 is included within the office segment and its income earned from its investment in the 4750 Wilshire JV subsequent to October 1, 2024 is included within the multifamily segment.

In addition, beginning in the quarter ended December 31, 2024, the Company reclassified its consolidated property located at 4750 Wilshire Boulevard (Backlot) in Los Angeles, California to include the property in the multifamily segment, from its previous classification in the office segment.

In the above table, activity related to 4750 Wilshire Boulevard (Backlot) occurring prior to October 1, 2024 is included within the office segment and such activity subsequent to October 1, 2024 is included within the multifamily segment.

In the above table, activity related to both the 1910 Sunset JV and 1015 N Mansfield JV are included within the office segment, while activity related to the 1902 Park JV is included in the multifamily segment.

(1) In the above table, activity re lated to 1015 N Mansfield JV is included within the office segment, while activity related to the 1902 Park JV and the 4750 Wilshire JV is included in the multifamily segment.

(2) Lending segment was sold in connection with the closing of the sale of First Western on January 21, 2026.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

A reconciliation of segment net operating income to net income attributable to the Company for the three and nine months ended September 30, 2025 and 2024 is as follows (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

March 31, 2026 (Unaudited) – (Continued)

A reconciliation of the Company’s segment net operating income to net loss attributable to the Company for the three months ended March 31, 2026 and 2025 is as follows (in thousands):

Three Months Ended March 31,

Total segment net operating income $ 9,842 $ 11,755

7 unchanged sentences

Loss on early extinguishment of debt ( 705 ) —

Impairment of real estate — — ( 221 ) —

Gain on sale of real estate 679 — 679 —

Gain on sale of First Western

Loss before provision for income taxes

( 8,417 ) ( 6,151 )

Provision for income taxes — ( 121 )

Net loss ( 12,586 ) ( 10,576 ) ( 28,009 ) ( 15,333 )

Net loss attributable to non-controlling interests 131 192 441 423

( 8,417 ) ( 6,272 )

Net loss attributable to noncontrolling interests

Net loss attributable to the Company

The condensed assets for each of the segments as of September 30, 2025 and December 31, 2024 are as follows (in thousands):

September 30, 2025 December 31, 2024

$ ( 8,309 ) $ ( 6,114 )

The condensed assets for each of the segments as of March 31, 2026 and December 31, 2025 are as follows (in thousands):

March 31, 2026 December 31, 2025

Condensed assets:

5 unchanged sentences

Total assets $ 792,321 $ 859,187

(1) Beginning in the quarter ended December 31, 2024, the Company reclassified its consolidated property located at 4750 Wilshire Boulevard (Backlot) in Los Angeles, California to include the property in the multifamily segment, from its previous classification in the office segment.

In the above table, the assets related to 4750 Wilshire Boulevard (Backlot) as of September 30, 2025 and December 31, 2024 are included in with Multifamily.

(1) Lending segment was sold in connection with the closing of the sale of First Western on January 21, 2026.

As of December 31, 2025, the Company had reclassified $ 65.9 million of lending segment assets as held-for-sale, in connection with the sale .

SUBSEQUENT EVENTS

On November 6, 2025, the Company and First Western SBLC, Inc., a Florida corporation and an indirect wholly owned subsidiary of the Company (“First Western”) and which represents the Company’s lending business which originates loans under the SBA 7(a) Program, entered into a membership interest purchase agreement (the “Membership Interest Purchase Agreement”), with PG FR Holding, LLC, a Delaware limited liability company (the “Buyer”).

Pursuant to the Membership Interest Purchase Agreement, and upon the terms and subject to the conditions therein, Buyer will purchase from the Company all of the issued and outstanding equity interests of First Western (the “Transactions”).

The Company estimates that, pursuant to the Membership Interest Purchase Agreement and based on information related to First Western’s assets and other matters as of

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025 (Unaudited) – (Continued)

September 30, 2025, the purchase price will be approximately $ 44 million (which is net of the outstanding balance of SBA 7(a) Loan-Backed Notes), subject to adjustment and updated information through the closing (the “Closing”) of the Transactions.

Upon the Closing and giving effect to the payment of other debt, transaction expenses and other matters, the Transactions are expected to yield net cash proceeds to the Company of approximately $ 31 million.

The Closing is subject to the receipt of the SBA’s consent to the acquisition by the Buyer of the equity interests in First Western and certain customary closing conditions, including (i) the absence of any law or order that challenges or may prevent the consummation of the Transactions, (ii) the accuracy of the representations and warranties of each party, subject to certain materiality thresholds, (iii) the performance and compliance by each party with the covenants and obligations of such party pursuant to the Membership Interest Purchase Agreement in all material respects and (iv) Barry Berlin not terminating, providing a notice of his intention to terminate, or otherwise rescinding his agreement to work for an affiliate of Buyer following the Closing.

The Company evaluated events subsequent to March 31, 2026, and concluded that, other than those items already disclosed elsewhere in the notes to the consolidated financial statements, no subsequent events have occurred that would require recognition or disclosure in the consolidated unaudited financial statements.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements