What changed in this filing

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Item 1. Financial Statements

2026-08-14 compared with 2026-05-08 · 349 added, 244 removed, 769 unchanged (44% of the section changed)

3 unchanged sentences

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

March 31, 2026 December 31, 2025

June 30, 2026 December 31, 2025

Investments in real estate, net $ 693,740 $ 698,087

5 unchanged sentences

Other intangible assets, net 378 439

Other assets 7,463 4,732

Prepaid expenses and other assets 5,698 4,732

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

9 unchanged sentences

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

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;

28,851,591 and 30,848,680 shares authorized as of June 30, 2026 and December 31, 2025, respectively;

8,820,338 and 1,671,929 shares issued and outstanding, respectively, as of June 30, 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;

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;

16,752,499 and 24,508,664 shares authorized as of June 30, 2026 and December 31, 2025, respectively;

12,240,878 and 993,377 shares issued and outstanding, respectively, as of June 30, 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;

26,965,708 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;

26,965,708 and 26,987,468 shares authorized as of June 30, 2026 and December 31, 2025, respectively;

56,857 and 22,565 shares issued and outstanding, respectively, as of June 30, 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;

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

2,947,493 shares issued and outstanding as of June 30, 2026 and 26,997 shares issued and outstanding as of December 31, 2025

Additional paid-in capital 1,287,344 1,019,044

9 unchanged sentences

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

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Rental and other property income $ 16,691 $ 15,779 $ 32,989 $ 32,999

5 unchanged sentences

Expense reimbursements to related parties—corporate

852 891 1,727 1,517

Expense reimbursements to related parties—lending segment

— 678 — 1,337

Interest 9,046 10,176 18,170 19,934

3 unchanged sentences

Loss on early extinguishment of debt (Note 7) — 88 705 88

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

Casualty loss, net 455 — 455 —

Total Expenses 36,447 38,245 74,642 75,540

13 unchanged sentences

WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING:

Basic 2,722 8 1,613 7

Diluted 2,722 8 1,613 7

3 unchanged sentences

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

Three Months Ended March 31, 2026

Six Months Ended June 30, 2026

Common Stock Preferred Stock

16 unchanged sentences

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

Stock based compensation expense — — — — 73 — 73 — 73

Cancelled shares ( 344 ) — — — — — — — —

Par value adjustment — ( 23 ) — — 23 — — — —

Redemption of Series A1 Preferred Stock paid in Common Stock 99,599 — ( 22,035 ) ( 563 ) 580 ( 10 ) 7 — 7

Dividends to holders of A1 Preferred Stock ($ 0.38375 per share)

— — — — — ( 387 ) ( 387 ) — ( 387 )

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

— — — — — ( 8 ) ( 8 ) — ( 8 )

Redemption of Series A Preferred Stock paid in Common Stock 209,080 — ( 39,266 ) ( 984 ) 1,063 ( 72 ) 7 — 7

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

— — — — — ( 585 ) ( 585 ) — ( 585 )

Net loss — — — — — ( 9,896 ) ( 9,896 ) ( 90 ) ( 9,986 )

Balances as of June 30, 2026 2,947,493 $ 3 2,687,871 $ 67,703 $ 1,287,344 $ ( 1,109,784 ) $ 245,266 $ 690 $ 245,956

Six Months Ended June 30, 2025

Preferred Stock

15 unchanged sentences

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

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

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

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

Par value adjustment — ( 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 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 as of June 30, 2025 7,546 $ 1 12,612,526 $ 313,975 $ 1,001,791 $ ( 1,028,658 ) $ 287,109 $ 1,161 $ 288,270

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

2 unchanged sentences

(In thousands) (Unaudited)

Three Months Ended March 31,

Six Months Ended June 30,

CASH FLOWS FROM OPERATING ACTIVITIES:

4 unchanged sentences

(Gain) loss on interest rate caps ( 13 ) 99

Impairment of real estate — 221

Casualty loss, net 455 —

Loss on early extinguishment of debt 705 88

19 unchanged sentences

Due to related parties ( 21,188 ) ( 137 )

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

Net cash used in operating activities ( 22,543 ) ( 1,271 )

CASH FLOWS FROM INVESTING ACTIVITIES:

12 unchanged sentences

Payment of deferred costs ( 80 ) ( 2,069 )

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

Net fees from issuance of Preferred Stock ( 253 ) ( 8 )

Payment of Preferred Stock dividends ( 6,012 ) ( 11,395 )

Noncontrolling interests’ distributions — ( 285 )

Noncontrolling interests’ contributions — 8

Net cash (used in) provided by financing activities ( 18,549 ) 16,487

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

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH ( 975 ) 4,990

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH:

7 unchanged sentences

Cash paid during the period for interest $ 16,355 $ 17,035

Federal income taxes paid $ — $ 110

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

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

Accrued deferred debt origination costs $ — $ 100

Accrual of dividends payable to preferred stockholders $ 964 $ 5,280

Reclassification of Series A1 Preferred Stock from temporary equity to permanent equity $ — $ 8,295

Deferred debt origination costs included in accounts payable $ — $ 232

Write off of deferred debt origination costs $ — $ 158

Accrued Redeemable Preferred Stock fees $ 4 $ 183

2 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited)

June 30, 2026 (Unaudited)

ORGANIZATION AND OPERATIONS

2 unchanged sentences

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 seeks to apply the expertise of CIM Group, Inc.

(“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.

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

Operating results for the three and six months ended June 30, 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.

4 unchanged sentences

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.

In addition, as of June 30, 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

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

June 30, 2026 (Unaudited) – (Continued)

obligations to absorb losses and right to receive benefits.

2 unchanged sentences

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.

The Company has broken out $ 865,000 of straight-line rental income from the change in other assets in the consolidated statement of cash flows for the six months ended June 30, 2025.

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

18 unchanged sentences

Changes in the assumptions could have a significant impact on either the fair value, the amount of impairment charge, if any, or both.

The Company’s assessment of impairment as of June 30, 2026 was based on the most current information available to the Company, including expected holding periods.

If the Company’s expected holding periods for assets change, subsequent tests for impairment could result in additional impairment charges in the future.

The Company can provide no assurance that material impairment charges with respect to the Company’s real estate assets will not occur in future periods.

Any asset held for sale is reported at the lower of the asset’s carrying amount or fair value, less costs to sell.

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

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.

The Unconsolidated Joint Ventures record their assets and liabilities at fair value.

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

No impairment of long-lived assets was recognized during the three and six months ended June 30, 2026.

The Company recognized an impairment of long-lived assets of $ 221,000 during the three and six months ended June 30, 2025 (Note 3).

Casualty Related Losses —The Company carries liability insurance to mitigate its exposure to certain losses, including property damage.

In these cases, the Company estimates the replacement cost of the damaged property and records a casualty loss for the amount.

The Company records the estimated amount of expected insurance proceeds within other assets (typically a receivable from the Company’s insurance carriers) on the accompanying consolidated balance sheets and

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

estimated fair value.

June 30, 2026 (Unaudited) – (Continued)

recognizes insurance recoveries, up to the amount of recognized losses, within casualty loss, net on the accompanying consolidated statements of operations when recovery is deemed probable.

Any amount of insurance recovery in excess of recognized losses represents a gain contingency and is recognized in the period in which the insurance proceeds are received.

Certain Unconsolidated Joint Ventures record their assets and liabilities at fair value.

For such investments, 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 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 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.

As of June 30, 2026 and December 31, 2025, lease incentives of $ 1.5 million and $ 1.3 million, respectively, are presented net of accumulated amortization of $ 1.2 million and $ 1.1 million, respectively.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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.

3 unchanged sentences

Percentage rent is recognized once lessees’ specified sales targets have been met.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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,

For the three and six months ended June 30, 2026 and 2025, the Company recognized rental income as follows (in thousands):

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Rental and other property income

2 unchanged sentences

Variable lease payments (2)

2,334 1,832 4,612 4,683

Rental and other property income $ 16,691 $ 15,779 $ 32,989 $ 32,999

8 unchanged sentences

The Company does not use a general reserve approach.

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.

As of June 30, 2026 and December 31, 2025, the Company had identified certain tenants where collection was no longer considered probable and decreased outstanding receivables by $ 284,000 and $ 371,000 , respectively.

Revenue from lending activities

8 unchanged sentences

• ancillary services including facility usage and food or beverage.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

Cancellable reservations represent a single performance obligation of providing lodging services at the hotel.

3 unchanged sentences

The Company satisfies its performance obligation and recognizes revenues associated with these services at a point in time when the good or service is delivered to the customer.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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.

1 unchanged sentence

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 March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Hotel properties

3 unchanged sentences

Hotel revenues $ 12,780 $ 11,635 $ 25,156 $ 24,316

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 Rent Receivable and Charges —Deferred rent receivable and charges consist of deferred rent, deferred leasing costs, 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.

1 unchanged sentence

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

As of June 30, 2026 and December 31, 2025, deferred rent receivable and charges, net consist of the following (in thousands):

June 30, 2026 December 31, 2025

Deferred rent receivable $ 10,469 $ 10,850

3 unchanged sentences

Redeemable Preferred Stock —Beginning on the date of original issuance of any given shares of Series A1 Preferred Stock, par value $ 0.001 per share (“Series A1 Preferred Stock”), with an initial stated value of $ 25.00 per share, subject to adjustment (the “Series A1 Preferred Stock Stated Value”), Series A Preferred Stock, par value $ 0.001 per share (“Series A Preferred Stock”) with an initial stated value of $ 25.00 per share, subject to adjustment (the “Series A Preferred Stock Stated Value”), or Series D Preferred Stock, par value $ 0.001 per share (“Series D Preferred Stock”), with an initial stated value of $ 25.00 per share, subject to adjustment (the “Series D Preferred Stock Stated Value”), the holder of such shares has the right to require the Company to redeem such shares, subject to certain limitations as discussed in Note 11.

The Company records the activity related to the Series A1 Preferred Stock (for issuances prior to June 2024), Series A Preferred Stock, Series A Preferred Warrants and Series D Preferred Stock in permanent equity.

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, 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 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.

The Company records the activity related to the Series A1 Preferred Stock (for issuances prior to June 2024), Series A Preferred Stock, Series A Preferred

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

June 30, 2026 (Unaudited) – (Continued)

Warrants and Series D Preferred Stock in permanent equity.

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 requested redemption of such shares and such redemption took place prior to the first anniversary of the date of original issuance, the Company was required to pay such redemption in cash.

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

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

2 unchanged sentences

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

As of June 30, 2026, deferred key money of $ 5.5 million was presented net of accumulated amortization of $ 148,000 .

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

7 unchanged sentences

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

June 30, 2026 (Unaudited) – (Continued)

INVESTMENTS IN REAL ESTATE

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

March 31, 2026 December 31, 2025

June 30, 2026 December 31, 2025

(in thousands)

Land $ 172,614 $ 172,614

7 unchanged sentences

Net investments in real estate $ 693,740 $ 698,087

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.

For the three months ended June 30, 2026 and 2025, the Company recorded depreciation expense of $ 6.6 million and $ 5.8 million, respectively.

For the six months ended June 30, 2026 and 2025, the Company recorded depreciation expense of $ 13.5 million and $ 11.7 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.

The Company recorded no impairment charges during the three and six months ended June 30, 2026.

During the three and six months ended June 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 $ 221,000 , which were recorded in the consolidated statement of operations.

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

Casualty Related Losses —During the three and six months ended June 30, 2026, the Company recorded a $ 992,000 reduction in the carrying value of the Company’s hotel as a result of water damage and recognized $ 537,000 of estimated insurance proceeds, for which recovery was deemed probable.

As a result, the Company recognized a net casualty loss of $ 455,000 , which is included within casualty loss, net on the accompanying consolidated statements of operations.

2026 and 2025 Transactions —There were no acquisitions or dispositions of investments in real estate during the six months ended June 30, 2026 and 2025.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

June 30, 2026 (Unaudited) – (Continued)

INVESTMENT IN UNCONSOLIDATED ENTITIES

2 unchanged sentences

Ownership Interest Carrying Value

Joint Venture

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

Joint Venture Asset Type Location Date of Acquisition June 30, 2026 June 30, 2026 December 31, 2025

1910 Sunset Boulevard (1)

18 unchanged sentences

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

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.

As of June 30, 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 (excluding transaction costs), 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”).

1 unchanged sentence

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.

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 June 30, 2026 and total borrowing availability of $ 9.4 million).

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.

1 unchanged sentence

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”).

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

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”).

June 30, 2026 (Unaudited) – (Continued)

balance of $ 38.2 million as of June 30, 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.

9 unchanged sentences

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

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.

The Company recorded a loss of $ 3.2 million and $ 4.6 million related to its investment in the Unconsolidated Joint Ventures during the three and six months ended June 30, 2026, respectively, and a loss of $ 437,000 and $ 1.6 million during the three and six months ended June 30, 2025, respectively.

LOANS RECEIVABLE

2 unchanged sentences

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):

There was no activity in the Company’s CECL for the six months ended June 30, 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 six months ended June 30, 2025 (dollar amounts in thousands):

Loans Receivable

2 unchanged sentences

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

Net adjustment to reserve for expected credit losses 380

Allowance for credit losses as of June 30, 2025 $ 2,451

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.

During the three and six months ended June 30, 2025, the Company recorded an increase of $ 380,000 and $ 419,000 , respectively, 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

March 31, 2026 (Unaudited) – (Continued)

June 30, 2026 (Unaudited) – (Continued)

Assets and Liabilities Held for Sale

1 unchanged sentence

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.

The Company received $ 1.0 million of incremental proceeds held in escrow which was previously contemplated in connection with the Transactions during the three months ended June 30, 2026.

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

15 unchanged sentences

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.

During the six months ended June 30, 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.

1 unchanged sentence

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.

There were no assets or liabilities classified as held for sale as of June 30, 2026.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

June 30, 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

A schedule of the Company’s intangible assets and related accumulated amortization and accretion as of June 30, 2026 and December 31, 2025, is as follows (in thousands):

June 30, 2026 December 31, 2025

Intangible assets:

2 unchanged sentences

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,

During the three and six months ended June 30, 2026 and 2025, the Company recognized amortization related to its intangible assets as follows (in thousands):

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Acquired above-market lease amortization $ — $ — $ — $ 1

Acquired in-place lease amortization $ 31 $ 30 $ 61 $ 109

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

A schedule of future amortization and accretion of acquired intangible assets as of June 30, 2026, is as follows (in thousands):

Years Ending December 31, Leases

2026 (Six months ending December 31, 2026) $ 61

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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

June 30, 2026 (Unaudited) – (Continued)

The following table summarizes the debt balances as of June 30, 2026 and December 31, 2025, and the debt activity for the six months ended June 30, 2026 (in thousands):

During the Six Months Ended June 30, 2026

Balances as of December 31, 2025 Debt Issuances & Assumptions Repayments Accretion & (Amortization) Balances as of June 30, 2026

Mortgages Payable:

10 unchanged sentences

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 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.

As of June 30, 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, 2027, July 1, 2026 and January 11, 2030, respectively.

With regard to the mortgage payable with a balance of $ 64.3 million as of June 30, 2026 (the “1150 Clay Mortgage”), on May 29, 2026, the Company reached an agreement with the lender to extend the maturity date through June 7, 2027 (the “1150 Clay Mortgage Extension”).

In connection with the 1150 Clay Mortgage Extension, the Company made a $ 2.0 million repayment under the 1150 Clay Mortgage.

The Company intends to refinance the 1150 Clay Mortgage beyond its stated maturity date of June 7, 2027.

Although the Company believes it is likely it will be able to refinance the 1150 Clay Mortgage prior to June 7, 2027, there can be no assurance that such refinancing will occur.

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.

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.

If the Company and the lender under the 1 Kaiser 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.

If the Company cannot refinance 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.

With regard to the mortgage payable with a balance of $ 97.1 million as of June 30, 2026 (the “Oakland Office Mortgage”), the Company has been in maturity default since July 1, 2026 as the outstanding mortgage payable was not repaid on its contractual maturity date of July 1, 2026.

The Company is evaluating its options with respect to the maturity default, including potential discussions with the lender regarding a resolution of the matured indebtedness and an extension of the Oakland Office Mortgage.

There can be no assurance regarding the timing or outcome of this matter.

If the Company and the lender under the Oakland Office Mortgage cannot agree on a resolution and the Company fails to repay the loan in full, such failure would allow the lender to, among other remedies, take possession of the property.

As a result of the maturity default, all rents, profits and income derived from the property are the property of the lender and must be held in trust for the benefit of the lender.

Further, pursuant to the loan agreement entered into in connection with the Oakland Office Mortgage, upon an event of default, all accrued and unpaid interest in respect of the Oakland Office Mortgage and any other amounts due under the loan agreement, accrue interest at the specified default rate per annum equal to the lesser of (a) the maximum legal rate as set forth in the loan agreement or (b) 5.0 % above the interest rate of 4.14 % per annum.

In addition, the Company is party to a guaranty related to certain obligations associated with the Oakland Office Mortgage.

Upon the occurrence of specified events, the Company may be required to fund such obligations.

See Note 15 for further information regarding the guaranty.

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 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

As of June 30, 2026, the Company’s variable rate mortgages

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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”).

June 30, 2026 (Unaudited) – (Continued)

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.

With regard to the mortgage with an initial maturity date of April 3, 2028 (the “Penn Field Mortgage”), during the six months ended June 30, 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 Field Mortgage and increase the monthly payments from interest plus $ 50,000 of principal to interest plus $ 60,000 of principal, with the increased monthly payments beginning April 2026.

With regard to the mortgage payable with a balance of $ 81.0 million as of June 30, 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.

The Company intends to refinance the Channel House Mortgage beyond its stated maturity date of January 31, 2027.

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.

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.

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.

The Company recorded a loss on early extinguishment of debt during the six months ended June 30, 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.

3 unchanged sentences

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

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):

As of June 30, 2026 and December 31, 2025, accrued interest and unused commitment fees payable of $ 2.2 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 June 30, 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

Junior Subordinated Notes Total

2026 (Six months ending December 31, 2026) $ 97,460 $ — $ 97,460

2027 242,554 — 242,554

3 unchanged sentences

$ 475,204 $ 27,070 $ 502,274

(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)

June 30, 2026 (Unaudited) – (Continued)

(1) With regard to the $ 64.3 million 1150 Clay Mortgage, which matures on June 7, 2027, and the $ 97.1 million Oakland Office Mortgage, which matured 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.

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 March 31, 2026 (dollar amounts in thousands):

The following table summarizes the terms of the Company’s interest rate cap agreements as of June 30, 2026 (dollar amounts in thousands):

Outstanding Notional Fair Value of Assets

Balance Sheet Amount as of Strike Effective Maturity as of

Location March 31, 2026 Rates (1)

March 31, 2026

Location June 30, 2026 Rates (1)

Dates Dates June 30, 2026

Interest Rate Caps

9 unchanged sentences

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 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.

During the three and six months ended June 30, 2026, the Company recorded an unrealized loss of $ 4,000 and an unrealized gain of $ 13,000 , respectively, which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

During the three and six months ended June 30, 2025, the Company recorded an unrealized loss of $ 21,000 and $ 99,000 , respectively, which was included in interest expense on the accompanying consolidated statements of operations related to its interest rate caps.

STOCK-BASED COMPENSATION PLANS

1 unchanged sentence

On June 27, 2023, the 2015 Equity Incentive Plan was amended by the Board of Directors, and subsequently approved by the Company’s stockholders, to authorize additional shares of Common Stock for issuance as compensation .

On July 30, 2026, the Company’s stockholders approved the 2026 Equity Incentive Plan, which permits the grant of restricted shares or restricted stock units to the Company’s independent directors.

On August 11, 2026, pursuant to the 2026 Equity Incentive Plan, the Company’s four independent directors were each granted 11,652 restricted shares of the Company ’ s Common Stock, which generally vest based on one year of continuous service.

The Company has granted awards of restricted shares of Common Stock to each of the independent members of the Board of Directors under the 2015 Equity Incentive Plan as follows:

2 unchanged sentences

August 2024 August 2025 1 4

August 2025 August 2026 86 344

August 2025 (2)

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 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 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

The Company recorded compensation expense related to these

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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).

June 30, 2026 (Unaudited) – (Continued)

restricted shares of Common Stock in the amount of $ 73,000 and $ 55,000 for the three months ended June 30, 2026 and 2025, respectively, and $ 128,000 and $ 110,000 for the six months ended June 30, 2026 and 2025, respectively.

(2) These restricted shares of Common Stock were subsequently terminated and cancelled for cash consideration during the three months ended June 30, 2026.

As a result, the Company recognized accelerated compensation expense of $ 18,000 related to these restricted shares of Common Stock during the three months ended June 30, 2026.

As of June 30, 2026, there was no unrecognized compensation expense related to restricted shares of Common Stock.

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 June 30, 2026 or 2025 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 six months ended June 30, 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.

1 unchanged sentence

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,

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 six months ended June 30, 2026 and 2025 (in thousands, except per share amounts):

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Net loss attributable to common stockholders $ ( 10,958 ) $ ( 14,279 ) $ ( 45,653 ) $ ( 26,177 )

1 unchanged sentence

Diluted net loss attributable to common stockholders $ ( 10,958 ) $ ( 14,279 ) $ ( 45,653 ) $ ( 26,177 )

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

Basic weighted average shares of Common Stock outstanding 2,722 8 1,613 7

4 unchanged sentences

$ ( 4.03 ) $ ( 1,784.88 ) $ ( 28.30 ) $ ( 3,739.57 )

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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 months ended March 31, 2026 and 2025 (dollar amounts in thousands):

The table below provides information regarding the issuances, reclassifications and redemptions of each class of the Company’s preferred stock (“Preferred Stock”) in permanent equity during the three and six months ended June 30, 2026 and 2025 (dollar amounts in thousands):

Preferred Stock

Series A1 Series A Series D Total

4 unchanged sentences

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

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

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

3 unchanged sentences

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

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

Redemption of Series A1 Preferred Stock paid in Common Stock ( 22,035 ) ( 563 ) — — — — ( 22,035 ) ( 563 )

Redemption of Series A Preferred Stock paid in Common Stock — — ( 39,266 ) ( 984 ) — — ( 39,266 ) ( 984 )

Balances, June 30, 2026 993,377 $ 25,322 1,671,929 $ 41,828 22,565 $ 553 2,687,871 $ 67,703

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.

4 unchanged sentences

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, lapsed on the first anniversary date.

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.

As of June 30, 2026, the Company had reclassified an aggregate of $ 20.8 million in net proceeds from temporary equity to permanent equity.

As of June 30, 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.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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 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.

The Company recorded no redeemable Preferred Stock deemed dividends related to such adjustments during both the three and six months ended June 30, 2026 and June 30, 2025.

As of June 30, 2026, there were 993,377 shares of Series A1 Preferred Stock outstanding and 11,247,501 shares of Series A1 Preferred Stock had been redeemed.

Of the 11,247,501 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 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”).

As of June 30, 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 June 30, 2026, 935,176 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 2,196,513 shares of Common Stock (adjusted for the Reverse Stock Splits).

3 unchanged sentences

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

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

March 31, 2026 (Unaudited) – (Continued)

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

As of June 30, 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.

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.

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

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, lapsed on the first anniversary date.

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.

As of June 30, 2026, the Company had reclassified an aggregate of $ 199.6 million in net proceeds from temporary equity to permanent equity.

As of June 30, 2026, there were 1,671,929 shares of Series A Preferred Stock outstanding and 7,148,409 shares of Series A Preferred Stock had been redeemed.

Of the 7,148,409 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”).

As of June 30, 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 June 30, 2026, 798,574 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 743,943 shares of Common Stock (adjusted for the Reverse Stock Splits).

3 unchanged sentences

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

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.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

As of June 30, 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.

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.

As of June 30, 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”).

As of June 30, 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 June 30, 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).

4 unchanged sentences

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.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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.

During the six months ended June 30, 2026, the Company paid $ 4.1 million, $ 1.8 million and $ 24,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock, and Series D Preferred Stock, respectively.

Additionally, during the six months ended June 30, 2026, the Company paid dividends of $ 2.6 million, $ 577,000 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 six months ended June 30, 2025, the Company paid $ 8.6 million, $ 2.8 million and $ 34,000 of cash dividends on the Series A1 Preferred Stock, Series A Preferred Stock and Series D Preferred Stock, respectively.

Additionally, during the six months ended June 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 three months ended June 30, 2026, the Company recorded $ 387,000 , $ 585,000 , and $ 8,000 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.

During the six months ended June 30, 2026, the Company recorded $ 3.4 million, $ 1.7 million, and $ 22,000 , 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.

During the three months ended June 30, 2025, the Company recorded $ 3.9 million, $ 1.4 million, and $ 17,000 , 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.

During the six months ended June 30, 2025, the Company recorded $ 7.9 million, $ 2.8 million and $ 34,000 , related to Series A1

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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.

7 unchanged sentences

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)

During the three months ended June 30, 2026, the Company recorded $ 10,000 and $ 72,000 related to Series A1 Preferred Stock and Series A Preferred Stock, respectively, in redeemable Preferred Stock redemptions on the consolidated statements of operations.

During the six months ended June 30, 2026, the Company recorded $ 18.6 million, $ 3.7 million and $ 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 six months ended June 30, 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.

STOCKHOLDERS’ EQUITY

2 unchanged sentences

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

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

No cash dividends were declared for the six months ended June 30, 2026 or 2025.

Series A Preferred Warrants

3 unchanged sentences

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

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

Share Repurchase Program

3 unchanged sentences

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

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.

There were no repurchases during the three and six months ended June 30, 2026 or 2025.

As of June 30, 2026, the Company had repurchased 27 shares of Common Stock (adjusted for the Reverse Stock Splits) for $ 4.7 million.

FAIR VALUE MEASUREMENTS

12 unchanged sentences

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.

2 unchanged sentences

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 mortgages 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 Lending Division Revolving Credit Facility (which was paid in full in connection with the closing of the sale of First Western on January 21, 2026) 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.

1 unchanged sentence

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.

See Items Measured at Fair Value on a Non-Recurring

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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.

2 unchanged sentences

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 March 31, 2026 and December 31, 2025.

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 amount in thousands):

March 31, 2026 December 31, 2025

June 30, 2026 December 31, 2025

Carrying Estimated Carrying Estimated

7 unchanged sentences

Certain financial and nonfinancial assets and liabilities are measured at fair value on a nonrecurring basis and are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment.

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

The Company’s process for identifying and recording impairment related to investments in real estate, including the assumptions and uncertainties utilized in the evaluation, is discussed in Note 2.

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.

2 unchanged sentences

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.

As discussed in Note 3, during the three and six months ended June 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

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

June 30, 2026 (Unaudited) – (Continued)

and resources necessary to ready the comparable properties for sale, and the terms of the comparable properties sales.

No impairment charges were incurred during the three and six months ended June 30, 2026.

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

Three and Six Months Ended June 30, 2025

Asset class impaired:

Work in progress $ ( 221 )

Total impairment loss $ ( 221 )

RELATED-PARTY TRANSACTIONS

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A base asset management fee (the “Base Fee”) is payable quarterly in arrears to the Operator in an amount equal to an annual rate of 1 % (or 0.25 % per quarter) of the average of the “Net Asset Value Attributable to Common Stockholders” as of the first and last day of the applicable quarter.

Net Asset Value Attributable to Common stockholders is defined as (a) the sum of the Company’s (1) investments in real estate at fair value, (2) cash, (3) loans receivable at fair value and (4) the book value of the other assets of the Company, excluding deferred costs and net of other liabilities at book value, less (b) the Company’s (i) debt at face value, (ii) outstanding preferred stock at stated value, and (iii) non-controlling interests at book value;

Net Asset Value Attributable to Common stockholders is defined as (a) the sum of the Company’s (1) investments in real estate at fair value, (2) cash and (3) the

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

book value of the other assets of the Company, excluding deferred costs and net of other liabilities at book value, less (b) the Company’s (i) debt at face value, (ii) outstanding Preferred Stock at stated value, and (iii) non-controlling interests at book value;

provided, that, non-controlling interests in any UPREIT operating partnership relating to the Company shall not be excluded.

5 unchanged sentences

Revised Incentive Fees payable for any partial quarter will be appropriately prorated.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026 (Unaudited) – (Continued)

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

18 unchanged sentences

Under the Master Services Agreement, for fiscal quarters prior to April 1, 2020, the Company paid a base service fee (the “Base Service Fee”) to the Administrator initially set at $ 1.0 million per year (subject to an annual escalation by a specified inflation factor beginning on January 1, 2015), payable quarterly in arrears.

On May 11, 2020, the Master Services Agreement was amended to replace the Base Service Fee with an incentive fee pursuant to which the Administrator was entitled to receive, on a quarterly basis, 15.00 % of the Company’s quarterly core funds from operations in excess of a quarterly threshold equal to 1.75 % (i.e., 7.00 % on an annualized basis) of the Company’s average Adjusted Common Equity (defined above) for such quarter.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

The amendment was effective as of April 1, 2020 and was further modified by the Fee Waiver described above.

1 unchanged sentence

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 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.

During the six months ended June 30, 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

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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 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 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.

13 unchanged sentences

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.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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):

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Asset Management Fees:

Asset management fees

$ 859 $ 349 $ 1,443 $ 709

Property Management Fees and Reimbursements:

Property management fees (1)

$ 514 $ 509 $ 1,037 $ 1,063

Onsite management and other cost reimbursement (2)

1 unchanged sentence

Leasing commissions (3)

$ 46 $ 53 $ 69 $ 182

Construction management fees (4)

$ 177 $ 196 $ 357 $ 428

Development management reimbursements (5)

$ 93 $ 307 $ 347 $ 709

Administrative Fees and Expenses:

2 unchanged sentences

Expense reimbursements to related parties - lending segment (6)

(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.

$ — $ 678 $ — $ 1,337

(1) Does not include the Company’s share of the property management fees from the Unconsolidated Joint Ventures of $ 31,000 and $ 58,000 for the three and six months ended June 30, 2026, respectively, and $ 24,000 and $ 44,000 for the three and six months ended June 30, 2025, respectively.

(2) Does not include the Company’s share of the onsite management and other cost reimbursements from the Unconsolidated Joint Ventures of $ 70,000 and $ 188,000 for the three and six months ended June 30, 2026, respectively, and $ 130,000 and $ 221,000 for the three and six months ended June 30, 2025, respectively.

(3) Does not include the Company’s share of the leasing commissions from the Unconsolidated Joint Ventures of $ 11,000 for the six months ended June 30, 2026, and $ 63,000 and $ 70,000 for the three and six months ended June 30, 2025, respectively.

(4) Does not include the Company’s share of the construction management fees from the Unconsolidated Joint Ventures which were de minimis for the three and six months ended June 30, 2026 and $ 65,000 and $ 123,000 for the three and six months ended June 30, 2025, respectively.

(5) Does not include the Company’s share of the development management (credits) reimbursements from the Unconsolidated Joint Ventures of $( 44,000 ) and $ 29,000 for the three and six months ended June 30, 2026, respectively, and $ 86,000 and $ 261,000 for the three and six months ended June 30, 2025, respectively.

(6) Expense reimbursements to related parties - lending segment do not include personnel costs capitalized to deferred loan origination costs of $ 6,000 and $ 24,000 for the three and six months ended June 30, 2025, respectively.

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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

June 30, 2026 (Unaudited) – (Continued)

As of June 30, 2026 and December 31, 2025, due to related parties consisted of the following (in thousands):

June 30, 2026 December 31, 2025

Asset management fees $ 870 $ 1,303

6 unchanged sentences

Investments with Affiliates of CIM Group

In February 2022, the Company invested with the 1910 Sunset JV Partner, a CIM-managed separate account, in the 1910 Sunset JV which purchased an office property in Los Angeles, California 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 February 2022, the Company invested with the 1910 Sunset JV Partner, a CIM-managed separate account, in the 1910 Sunset JV which purchased an office property in Los Angeles, California for a gross purchase price of approximately $ 51.0 million (excluding transaction costs) , of which the Company initially contributed approximately $ 22.4 million and the 1910 Sunset JV Partner initially contributed the remaining balance .

See Note 2 and Note 4 for more information.

In February 2023, the Company and the 1902 Park JV Partner invested in the 1902 Park JV, which purchased a multifamily property in the Echo Park neighborhood of Los Angeles, California for a gross purchase price of $ 19.1 million, with the Company owning a 50 % interest.

In October 2024, the 1902 Park JV admitted a new third-party co-investor and used part of the net capital contribution of such third party co-investor to satisfy the 1902 Park JV’s mortgage loan in full.

4 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 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

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 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 the 4750 Wilshire JV, in which the Company has a 20% interest .

For the three and six months ended June 30, 2026, the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 87,000 and $ 171,000 , respectively.

For the three and six months ended June 30, 2025, the Company’s share of the income from the tenant earned by the 4750 Wilshire JV was $ 84,000 and $ 166,000 , respectively.

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.

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.

The unsecured term loan facility expired

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2026 (Unaudited) – (Continued)

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 $ 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.

The Company had a total of $ 7.1 million in future obligations under leases to fund tenant improvements and leasing commissions as of June 30, 2026.

In addition, as of June 30, 2026, $ 13.3 million was funded to reserve accounts included in restricted cash on the Company’s consolidated balance sheet for tenant improvement and leasing commission 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 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.

As of June 30, 2026, the expected costs to complete the Sheraton Renovations was $ 2.4 million.

As of June 30, 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 $ 669,000 under a mortgage loan agreement at its hotel property which can be used to finance remaining costs related to the Sheraton Renovations.

Guaranty of Obligation —The Company is party to a guaranty agreement (the “Guaranty”) related to certain obligations associated with its office property in Oakland, California securing the Oakland Office Mortgage.

Under the Guaranty, the Company may be required to fund certain obligations upon the occurrence of specified events.

As of June 30, 2026, no such triggering events had occurred and the Company had not recorded a liability related to the Guaranty as the potential obligation was not considered probable and reasonably estimable.

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.

9 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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):

June 30, 2026 (Unaudited) – (Continued)

Future minimum rental revenue under long-term operating leases as of June 30, 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

2026 (Six months ending December 31, 2026) $ 28,135

Thereafter 54,093

SEGMENT DISCLOSURE

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.

The Company’s reportable segments during the three and six months ended June 30, 2026 and 2025 consist of three types of commercial real estate properties, namely, office, hotel and multifamily.

As the lending segment activity was de minimis during the period it remained under the Company’s ownership for the six months ended June 30, 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.

1 unchanged sentence

The reportable segments are accounted for on the same basis of accounting as described in the notes to the Company’s audited consolidated financial statements for the year ended December 31, 2025 included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.

For the Company’s real estate segments, the Company defines net operating income (loss) as rental and other property income and expense reimbursements less property related expenses, and excludes non-property income and expenses, interest expense, depreciation and amortization, corporate related general and administrative expenses, gain (loss) on sale of real estate, gain (loss) on early extinguishment of debt, impairment of real estate, transaction costs, and provision (benefit) for income taxes.

For the Company’s real estate segments, the Company defines net operating income (loss) as rental and other property income and expense reimbursements less property related expenses, and excludes non-property income and expenses, interest expense, depreciation and amortization, corporate related general and administrative expenses, gain (loss) on sale of real estate, gain (loss) on early extinguishment of debt, impairment of real estate, casualty losses, net, transaction costs, and provision (benefit) for income taxes.

For the Company’s lending segment, the Company defines net operating income as interest income net of interest expense and general overhead expenses.

5 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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,

June 30, 2026 (Unaudited) – (Continued)

The net operating income (loss) of the Company’s segments for the three and six months ended June 30, 2026 and 2025 is as follows (in thousands):

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Revenues $ 12,491 $ 11,877 $ 25,069 $ 24,931

3 unchanged sentences

Total property expenses 6,227 6,533 12,368 12,457

Income (loss) from unconsolidated entities 62 ( 29 )

(Loss) income from unconsolidated entities ( 2,217 ) 175 ( 2,155 ) 146

Segment net operating income—office 4,047 5,519 10,546 12,620

12 unchanged sentences

Loss from unconsolidated entities ( 1,005 ) ( 612 ) ( 2,443 ) ( 1,734 )

( 1,438 ) ( 1,122 )

Segment net operating loss—multifamily ( 613 ) ( 620 )

Segment net operating income (loss)—multifamily 638 189 25 ( 431 )

Revenues — 2,090 — 4,468

4 unchanged sentences

Total lending expenses — 2,137 — 3,925

Segment net operating income—lending — 590

Segment net operating (loss) income—lending — ( 47 ) — 543

Total segment net operating income $ 9,309 $ 9,819 $ 19,151 $ 21,574

2 unchanged sentences

(2) Lending segment was sold in connection with the closing of the sale of First Western on January 21, 2026.

As the lending segment activity was de minimis during the period it remained under the Company’s ownership for the six months ended

CREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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,

June 30, 2026 (Unaudited) – (Continued)

June 30, 2026, the related amounts are included within non-segment interest and other income, interest expense, and general and administrative, as applicable, in the following table.

A reconciliation of the Company’s segment net operating income to net loss attributable to the Company for the three and six months ended June 30, 2026 and 2025 is as follows (in thousands):

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Total segment net operating income $ 9,309 $ 9,819 $ 19,151 $ 21,574

7 unchanged sentences

Loss on early extinguishment of debt — ( 88 ) ( 705 ) ( 88 )

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

Casualty loss, net ( 455 ) — ( 455 ) —

Gain on sale of First Western — 0 — 1,737 —

Loss before provision for income taxes ( 9,986 ) ( 8,993 ) ( 18,403 ) ( 15,144 )

( 8,417 ) ( 6,151 )

Provision for income taxes — ( 158 ) — ( 279 )

( 8,417 ) ( 6,272 )

Net loss ( 9,986 ) ( 9,151 ) ( 18,403 ) ( 15,423 )

Net loss attributable to noncontrolling interests 90 152 198 310

Net loss attributable to the Company $ ( 9,896 ) $ ( 8,999 ) $ ( 18,205 ) $ ( 15,113 )

$ ( 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:

Office $ 400,246 $ 402,151

Hotel 115,713 114,994

Multifamily 267,616 270,645

Lending (1) — 67,867

Non-segment assets

Total assets $ 792,321 $ 859,187

(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

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.

The Company has been in maturity default since July 1, 2026 on the Oakland Office Mortgage as the outstanding mortgage payable was not repaid on its contractual maturity date of July 1, 2026.

See Note 7 and Note 15 for additional detail regarding the maturity default on the Oakland Office Mortgage.

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