36 unchanged sentences
Incorporated by Reference
−Removed: Description Form File No.
−Removed: Exhibit Filing Date
Agreement and Plan of Merger, dated as of August 30, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor II Merger Sub, LLC and Cole Office & Industrial REIT (CCIT II), Inc.
−Removed: 8-K 000-54939 2.1 8/31/2020
Amendment to Agreement and Plan of Merger, dated as of October 22, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor II Merger Sub, LLC and Cole Office & Industrial REIT (CCIT II), Inc.
−Removed: 8-K 000-54939 2.3 10/28/2020
Amendment to Agreement and Plan of Merger, dated as of October 24, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor II Merger Sub, LLC and Cole Office & Industrial REIT (CCIT II), Inc.
−Removed: 8-K 000-54939 2.4 10/28/2020
Agreement and Plan of Merger, dated as of August 30, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor III Merger Sub, LLC and Cole Office & Industrial REIT (CCIT III), Inc.
−Removed: 8-K 000-54939 2.2 8/31/2020
Amendment No.
1 to Agreement and Plan of Merger, dated as of November 3, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor III Merger Sub, LLC and Cole Office & Industrial REIT (CCIT III), Inc.
−Removed: 8-K 000-54939 2.1 11/4/2020
Agreement and Plan of Merger, dated as of August 30, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor V Merger Sub, LLC and Cole Credit Property Trust V, Inc.
−Removed: 8-K 000-54939 2.3 8/31/2020
Amendment to Agreement and Plan of Merger, dated as of October 22, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor V Merger Sub, LLC and Cole Credit Property Trust V, Inc.
−Removed: 8-K 000-54939 2.1 10/28/2020
Amendment to Agreement and Plan of Merger, dated as of October 24, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor V Merger Sub, LLC and Cole Credit Property Trust V, Inc.
−Removed: 8-K 000-54939 2.2 10/28/2020
Amendment No.
3 to Agreement and Plan of Merger, dated as of October 29, 2020, by and among CIM Real Estate Finance Trust, Inc., Thor V Merger Sub, LLC and Cole Credit Property Trust V, Inc.
−Removed: 8-K 000-54939 2.1 11/2/2020
Agreement and Plan of Merger, dated as of September 21, 2021, by and among CIM Real Estate Finance Trust, Inc., Cypress Merger Sub, LLC and CIM Income NAV, Inc.
−Removed: 8-K 000-54939 2.1 9/22/2021
Articles of Amendment and Restatement of CIM Real Estate Finance Trust, Inc.
−Removed: 8-K 000-54939 3.1 8/20/2019
Second Amended and Restated Bylaws of CIM Real Estate Finance Trust, Inc.
−Removed: 10-K 000-54939 3.2
Description of Registrant’s Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934.
−Removed: 10-K 000-54939 4.1 3/30/2020
Second Amended and Restated Distribution Reinvestment Plan.
−Removed: 8-K 000-54939 4.1 5/1/2020
−Removed: Supplemental Indenture No.
−Removed: 1 to the Master Indenture, dated as of July 30, 2024, by and among CMFT Net Lease Master Issuer LLC, as issuer, and Citibank, N.A., as indenture trustee.
−Removed: 000-54939 4.2.1
Master Indenture, dated as of July 28, 2021, by and among CMFT Net Lease Master Issuer, LLC, as issuer, and Citibank N.A., as indenture trustee.
−Removed: 8-K 000-54939 4.1 8/3/2021
Supplemental Indenture No.
1 unchanged sentence
Series 2021-1 Indenture Supplement, dated as of July 28, 2021, by and among CMFT Net Lease Master Issuer, LLC, as issuer, and Citibank N.A., as indenture trustee.
−Removed: 8-K 000-54939 4.2 8/3/2021
Second Amended and Restated Management Agreement by and between CIM Real Estate Finance Trust, Inc.
and CIM Real Estate Finance Management, LLC, dated March 22, 2023.
−Removed: 10-K 000-54939 10.1 3/28/2023
Amended and Restated Agreement of Limited Partnership of Cole Operating Partnership IV, LP, by and between Cole Credit Property Trust IV, Inc.
and the limited partners thereto.
−Removed: S-11 333-169533 10.2 1/24/2012
First Amendment to the Amended and Restated Agreement of Limited Partnership of CIM Real Estate Finance Operating Partnership, LP, dated August 15, 2019.
−Removed: 8-K 000-54939 10.2 8/20/2019
Credit and Security Agreement, dated December 31, 2019, by and between CMFT Corporate Credit Securities, LLC, as borrower, CMFT Securities Investments, LLC, as collateral manager and equityholder, the lenders from time to time party thereto, Citibank, N.A., as administrative agent, Citibank, N.A.
(acting through its Agency & Trust division), as custodian and as collateral agent, and Virtus Group, LP, as collateral administrator.
−Removed: 8-K 000-54939 10.1 1/7/2020
Amendment No.
1 unchanged sentence
(acting through its Agency & Trust division), as collateral custodian and as collateral agent, and Virtus Group, LP, as collateral administrator.
−Removed: 8-K 000-54939 10.1 3/24/2020
Amendment No.
1 unchanged sentence
(acting through its Agency & Trust division), as collateral custodian and as collateral agent, and Virtus Group, LP, as collateral administrator.
−Removed: 8-K 000-54939 10.1 10/8/2021
Amendment No.
1 unchanged sentence
(acting through its Agency & Trust division), as collateral custodian and as collateral agent, and Virtus Group, LP, as collateral administrator.
−Removed: 8-K 000-54939 10.1 6/29/2022
Amendment No.
1 unchanged sentence
(acting through its Agency & Trust division), as collateral custodian and as collateral agent, and Virtus Group, LP, as collateral administrator.
−Removed: 000-54939 10.1
Amended and Restated CIM Real Estate Finance Trust, Inc.
2022 Equity Incentive Plan.
−Removed: 10-Q 000-54939 10.5 8/12/2022
CIM Real Estate Finance Trust, Inc.
1 unchanged sentence
Investment Advisory and Management Agreement by and between CMFT Securities Investments, LLC and CIM Capital IC Management, LLC, dated December 6, 2019.
−Removed: 8-K 000-54939 10.1 12/12/2019
−Removed: Sub-Advisory Agreement by and between CIM Capital IC Management, LLC and OFS Capital Management, LLC, dated December 6, 2019.
−Removed: 8-K 000-54939 10.2 12/12/2019
+Added: Amended and Restated Sub-Advisory Agreement by and between CIM Capital IC Management, LLC and OFS Capital Management, LLC, dated May 12, 2025 .
Form of Indemnification Agreement.
−Removed: 8-K 000-54939 10.1 8/14/2020
Amended and Restated Master Repurchase Agreement, dated December 19, 2023, by and between CMFT RE Lending RF Sub CB, LLC, and Citibank, N.A.
−Removed: 000-54939 10.1
−Removed: A mended and Restated Master R epurchase Agreement dated March 5, 2025, by and between CMFT RE Lending R F Sub CB , LLC, and C itibank, N.A.
+Added: Amended and Restated Master Repurchase Agreement dated March 5, 2025, by and between CMFT RE Lending RF Sub CB, LLC, and Citibank, N.A.
Master Repurchase Agreement, dated December 19, 2023, by and between CLR RE Lending RF Sub CB, LLC and Citibank, N.A.
−Removed: 000-54939 10.2
Guaranty, dated as of June 4, 2020, by CIM Real Estate Finance Trust, Inc.
for the benefit of Citibank, N.A.
−Removed: 8-K 000-54939 10.2 6/9/2020
Guaranty, dated as of July 28, 2021, by CIM Real Estate Finance Operating Partnership, LP for the benefit of Citibank N.A., as indenture trustee.
−Removed: 8-K 000-54939 10.1 8/3/2021
Guaranty, dated as of December 19, 2023, by CIM Real Estate Finance Trust, Inc.
and CIM Commercial Lending REIT for the benefit of Citibank, N.A.
−Removed: 000-54939 10.3
Amended and Restated Master Repurchase Agreement, dated December 4, 2023, by and between CMFT RE Lending RF Sub BB, LLC and Barclays Bank PLC.
−Removed: 8-K 000-54939 10.1 12/8/2023
Master Repurchase Agreement, dated December 4, 2023, by and between CLR RE Lending RF Sub BB, LLC and Barclays Bank PLC.
−Removed: 8-K 000-54939 10.2
Guaranty, dated as of September 21, 2020, by CIM Real Estate Finance Trust, Inc.
for the benefit of Barclays Bank PLC.
−Removed: 8-K 000-54939 10.2 9/24/2020
Guaranty, dated as of December 4, 2023, by CIM Real Estate Finance Trust, Inc.
and CIM Commercial Lending REIT for the benefit of Barclays Bank PLC.
−Removed: 8-K 000-54939 10.3
Master Repurchase Agreement, dated May 20, 2021, by and between CMFT RE Lending RF Sub WF, LLC and Wells Fargo Bank, N.A.
−Removed: 8-K 000-54939 10.1 5/26/2021
First Amendment to Master Repurchase Agreement, dated October 28, 2021, by and between CMFT RE Lending RF Sub WF, LLC and Wells Fargo Bank, N.A.
−Removed: 8-K 000-54939 10.1 11/3/2021
Second Amendment to Master Repurchase Agreement, dated March 4, 2022, by and between CMFT RE Lending RF Sub WF, LLC and Wells Fargo Bank, N.A.
−Removed: 8-K 000-54939 10.1 3/10/2022
Third Amendment to Master Repurchase and Securities Contract and Termination of Preferred Equity Related Pledge and Security Agreement, dated August 31, 2022, by and among CMFT RE Lending RF Sub WF, LLC, as seller, Wells Fargo Bank, N.A., as buyer, and CMFT Securities Investments, LLC, and preferred equity pledgor.
−Removed: 8-K 000-54939 10.1 9/7/2022
Guaranty and Subordination Agreement, dated as of May 20, 2021, by CIM Real Estate Finance Trust, Inc.
for the benefit of Wells Fargo Bank, N.A.
−Removed: 8-K 000-54939 10.2 5/26/2021
Loan and Servicing Agreement, dated as of March 16, 2022, among CMFT RE Lending Sub MM Holdco, LLC, as Holdings, CMFT RE Lending Sub MM, LLC, as the Borrower, Massachusetts Mutual Life Insurance Company and the other lenders from time to time party hereto, Trimont Real Estate Advisors, LLC, as the Administrative Agent, Massachusetts Mutual Life Insurance Company, as the Facility Servicer, and CMFT RE Lending Sub MM, LLC, as the Portfolio Asset Servicer.
−Removed: 10-Q 000-54939 10.6 8/12/2022
Loan and Security Agreement, dated as of June 16, 2023, by and among CMFT RE Lending Sub CBSQ, LLC, as Borrower, Citibank, N.A., as Class A Lender, and CMFT RE Lending Sub CBSQ Holdco, LLC, as Subordinated Lender, and CIM Commercial Lending REIT, as EU/UK Retention Holder.
1 unchanged sentence
Property Management Agreement, dated as of July 28, 2021, by and among CMFT Net Lease Master Issuer, LLC, as issuer, CIM Real Estate Finance Operating Partnership, LP, as issuer manager, CREI Advisors, LLC, as property manager and special servicer, KeyBank National Association, as back-up manager, and Citibank N.A., as indenture trustee.
−Removed: 8-K 000-54939 10.2 8/3/2021
Master Repurchase Agreement, dated October 8, 2021, by and between CMFT RE Lending RF Sub DB, LLC and Deutsche Bank AG, New York Branch.
−Removed: 8-K 000-54939 10.1 10/14/2021
Amended and Restated Master Repurchase Agreement, dated December 23, 2021, by and between CMFT RE Lending RF Sub DB, LLC and Deutsche Bank AG, New York Branch.
−Removed: 8-K 000-54939 10.1 12/29/2021
First Amendment to Amended and Restated Master Repurchase Agreement, dated September 15, 2023, by and between CMFT RE Lending RF Sub DB, LLC, as seller, CMFT RE Lending Sub DB Holdco, LLC, as member, and Deutsche Bank AG, New York Branch, as buyer.
Second Amendment to Amended and Restated Master Repurchase Agreement, dated December 22, 2023, by and between CMFT RE Lending RF Sub DB, LLC, as seller, CMFT RE Lending Sub DB Holdco, LLC, as member, and Deutsche Bank AG, New York Branch, as buyer.
−Removed: 000-54939 10.1
Amended and Restated Guaranty, dated as of December 22, 2023, by CIM Real Estate Finance Trust, Inc.
and CIM Commercial Lending REIT for the benefit of Deutsche Bank AG, New York Branch.
−Removed: 000-54939 10.2
Master Repurchase Agreement, dated June 1, 2022, by and between CMFT Real Estate Securities I, LLC and J.P.
Morgan Securities LLC.
−Removed: 8-K 000-54939 10.1 6/2/2022
Loan and Security Agreement, dated February 10, 2023, by and between CMFT CL Lending Sub AB, LLC, as borrower, each of the lenders from time to time party thereto, Ally Bank, as administrative agent and arranger, U.S.
1 unchanged sentence
Bank National Association, as document custodian.
−Removed: 8-K 000-54939 10.1 2/16/2023
Loan and Security Agreement, dated February 10, 2023, and conformed through the First Amendment to the Loan and Security Agreement, dated December 13, 2023, by and between CMFT CL Lending Sub AB, LLC, as borrower, each of the lenders from time to time party hereto, Ally Bank, as administrative agent and arranger, U.S.
1 unchanged sentence
Bank National Association, as document custodian.
−Removed: 000-54939 10.28.1
+Added: Second Amendment to Loan and Security Agreement, dated February 6, 2026, by and between CMFT CL Lending Sub AB, LLC, as borrower, each of the lenders from time to time party thereto, Ally Bank, as administrative agent and arranger, and U.S.
+Added: Bank Trust Company, National Association, as collateral custodian.
Modification Agreement and Limited Consent, dated December 21, 2020 by and between Cole Operating Partnership V, LP, the Lenders party thereto, and JPMorgan Chase Bank, N.A., as administrative agent for the Lenders.
−Removed: 10-K 000-54939 10.17 3/31/2021
Modification Agreement and Limited Consent, dated December 21, 2020 by and between CIM Real Estate Finance Operating Partnership, LP, the Lenders party thereto, and JPMorgan Chase Bank, N.A., as administrative agent for the Lenders.
−Removed: 10-K 000-54939 10.18 3/31/2021
Modification Agreement and Limited Consent, dated December 16, 2021, by and among CIM Income NAV Operating Partnership, LP, the Lenders party thereto, and JPMorgan Chase, N.A., as administrative agent for the Lenders.
−Removed: 10-Q 000-54939 10.4 5/11/2022
−Removed: Agreement of Purchase and Sale, dated as of December 20, 2021, by and among certain indirect subsidiaries of CIM Real Estate Finance Trust, Inc., American Finance Operating Partnership, L.P., ARG SSSTRPA001, LLC, ARG SMSHPPA001, LLC, ARG CCCARPA001, LLC and American Finance Trust, Inc.
−Removed: 8-K 000-54939 10.1 12/20/2021
−Removed: Agreement of Purchase and Sale, dated as of December 29, 2022, by and between certain indirect subsidiaries of CIM Real Estate Finance Trust, Inc.
−Removed: and certain subsidiaries of Realty Income Corporation.
−Removed: 8-K 000-54939 10.1 12/30/2022
−Removed: I nsider Trading Policy
+Added: Fourth Amendment to Master Repurchase and Securities Contract, dated August 15, 2025 by and between Wells Fargo Bank, N.A.
+Added: and CMFT RE Lending RF Sub WF, LLC.
+Added: Fifth Amendment to Master Repurchase and Securities Contract, dated March 12 , 202 6 by and between Wells Fargo Bank, N.A.
+Added: and CMFT RE Lending RF Sub WF, LLC.
+Added: Master Repurchase and Securities Contract, dated August 15, 2025, by and between CLR RE Lending Sub WF, LLC and Wells Fargo Bank, N.A.
+Added: Guaranty and Subordination Agreement , dated as of August 15 , 202 5 , by CIM Real Estate Finance Trust, Inc.
+Added: and CIM Commercial Lending REIT for the benefit of Wells Fargo Bank, N.A.
+Added: Reaffirmation Agreement, dated as of March 13, 2026, by CIM Real Estate Finance Trust, Inc.
+Added: and CIM Commercial Lending REIT for the benefit of Wells Fargo Bank, N.A.
+Added: Insider Trading Policy
Subsidiaries of the Registrant.
4 unchanged sentences
Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
−Removed: 101.INS* XBRL Instance Document.
−Removed: 101.SCH* XBRL Taxonomy Extension Schema Document.
−Removed: 101.CAL* XBRL Taxonomy Extension Calculation Linkbase Document.
−Removed: 101.DEF* XBRL Taxonomy Extension Definition Linkbase Document.
−Removed: 101.LAB* XBRL Taxonomy Extension Label Linkbase Document.
−Removed: 101.PRE* XBRL Taxonomy Extension Presentation Linkbase Document.
+Added: XBRL Instance Document.
+Added: XBRL Taxonomy Extension Schema Document.
+Added: XBRL Taxonomy Extension Calculation Linkbase Document.
+Added: XBRL Taxonomy Extension Definition Linkbase Document.
+Added: XBRL Taxonomy Extension Label Linkbase Document.
+Added: XBRL Taxonomy Extension Presentation Linkbase Document.
Cover Page Interactive Data File (formatted as InLine XBRL and contained in Exhibit 101).
11 unchanged sentences
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the date indicated.
−Removed: Signature Title Date
/s/ RICHARD S.
−Removed: RESSLER Chairman of the Board of Directors, Chief Executive Officer and President March 28, 2025
−Removed: Ressler (Principal Executive Officer)
+Added: Chairman of the Board of Directors, Chief Executive Officer and President
+Added: March 27, 2026
+Added: (Principal Executive Officer)
/s/ NATHAN D.
−Removed: DEBACKER Chief Financial Officer, Principal Accounting Officer and Treasurer March 28, 2025
−Removed: DeBacker (Principal Financial Officer and Principal Accounting Officer)
−Removed: PATRICK DUNCAN Independent Director March 28, 2025
+Added: Chief Financial Officer, Principal Accounting Officer and Treasurer
+Added: March 27, 2026
+Added: (Principal Financial Officer and Principal Accounting Officer)
PATRICK DUNCAN
−Removed: BRIAN KRETZMER Independent Director March 28, 2025
+Added: Independent Director
+Added: March 27, 2026
+Added: Patrick Duncan
BRIAN KRETZMER
+Added: Independent Director
+Added: March 27, 2026
+Added: Brian Kretzmer
/s/ HOWARD A.
−Removed: SILVER Independent Director March 28, 2025
−Removed: /s/ JASON SCHREIBER Director March 28, 2025
+Added: Independent Director
+Added: March 27, 2026
+Added: /s/ JASON SCHREIBER
+Added: March 27, 2026
Jason Schreiber
INDEX TO CONSOLIDATED FINANCIAL STATEMENTS
−Removed: Financial Statements Page
+Added: Financial Statements
Report of Independent Registered Public Accounting Firm (PCAOB ID No.
1 unchanged sentence
Consolidated Statements of Operations for the Years Ended December 31, 202 5 , 202 4 and 202 3
−Removed: Consolidated Statements of Comprehensive (Loss) Income for the Years Ended December 31, 202 4 , 202 3 and 202 2
+Added: Consolidated Statements of Comprehensive Income (Loss) for the Years Ended December 31, 202 5 , 202 4 and 202 3
Consolidated Statements of Equity for the Years Ended December 31, 202 5 , 202 4 and 202 3
7 unchanged sentences
We have audited the accompanying consolidated balance sheets of CIM Real Estate Finance Trust, Inc.
−Removed: and subsidiaries (the “Company”) as of December 31, 2024 and 2023, the related consolidated statements of operations, comprehensive (loss) income, equity, and cash flows, for each of the three years in the period ended December 31, 2024, and the related notes and the schedules listed in the Index at Item 15 (collectively referred to as the “financial statements”).
+Added: and subsidiaries (the “Company”) as of December 31, 2025 and 2024, the related consolidated statements of operations, comprehensive income (loss), equity, and cash flows, for each of the three years in the period ended December 31, 2025, and the related notes and the schedules listed in the Index at Item 15 (collectively referred to as the “financial statements”).
In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with accounting principles generally accepted in the United States of America.
20 unchanged sentences
The Company continually monitors events and changes in circumstances that could indicate that the carrying amounts of its real estate assets may not be recoverable.
−Removed: Impairment indicators that the Company considers include, but are not limited to, bankruptcy or other credit concerns of a property’s major tenant, vacancies, reduced lease rates, changes in anticipated holding periods, significant increases to budgeted costs for units under development, or a reduction in prevailing market values for assets being considered for disposition.
+Added: Impairment indicators that the Company considers include, but are not limited to, bankruptcy or other credit concerns of a property’s major tenant, a significant decrease in a property’s revenues due to lease terminations, vacancies, reduced lease rates, changes in anticipated holding periods, or a reduction in prevailing market values for assets being considered for disposition.
When indicators of potential impairment are present, the Company assesses the recoverability of the assets by determining whether the carrying amount of the assets will be recovered through the undiscounted future cash flows expected from the use of the assets and their eventual disposition.
5 unchanged sentences
Our audit procedures related to the evaluation of real estate assets for possible indications of impairment included the following, among others:
−Removed: • We evaluated management’s impairment indicator analysis by testing real estate assets for possible indications of impairment, including searching for adverse asset-specific and/or market conditions, such as vacancies, tenant bankruptcies and other credit concerns, among others, as well as assessing changes in anticipated holding periods.
−Removed: • We inspected budgeted costs for units under development and performed corroborating inquiries with management, to determine whether there were significant increases to budgeted costs.
+Added: • We evaluated management’s impairment indicator analysis by testing real estate assets for possible indications of impairment, including searching for adverse asset-specific and/or market conditions such as vacancies and reduced lease rates, as well as assessing changes in anticipated holding periods.
+Added: • We selected certain major tenants and performed an independent search for bankruptcy or other credit concerns.
• We performed inquiries with management, including property accounting and portfolio oversight, to determine whether factors were identified in the current period that may be an impairment indicator, including changes in anticipated holding periods or reduced lease rates, and corroborated these inquiries through review of third-party market reports and inspection of meeting minutes of the Board of Directors.
−Removed: Assessment of Current Expected Credit Losses (“CECL”) Reserve – Refer to Notes 2, 7 and 8 to the financial statements
+Added: Current Expected Credit Losses (“CECL”) Reserve – Estimation of CECL for Collateral-Dependent Loans and Real Estate-Related Securities – Refer to Notes 2, 7 and 8 to the financial statements
Critical Audit Matter Description
−Removed: The Company estimates its CECL reserve primarily using the Weighted Average Remaining Maturity (“WARM”) method for its first mortgage loans and the probability of default and loss given default method for its liquid corporate senior loans and corporate senior loans.
−Removed: For collateral-dependent loans that the Company determines foreclosure is probable, the Company measures the expected losses based on the difference between the fair value of the collateral less costs to sell and the amortized cost basis of the loan as of the measurement date.
+Added: CECL reflects the Company’s current estimate of potential credit losses related to the Company’s loans held-for-investment, CMBS and CLO included in the consolidated balance sheets.
+Added: For collateral-dependent loans that the Company determines foreclosure of the collateral is probable, the Company measures the expected losses based on the difference between the fair value of the collateral less costs to sell and the amortized cost basis of the loan as of the measurement date.
For collateral-dependent loans that the Company determines foreclosure is not probable, the Company applies a practical expedient to estimate expected losses using the difference between the collateral’s fair value and the amortized cost basis of the loan.
−Removed: Significant judgments are required in determining the CECL reserve, including the evaluation of historical market loan loss data, the impact of expected economic conditions on the loan portfolio, and determining collateral fair values of collateral-dependent loans.
−Removed: For commercial mortgage-backed securities (“CMBS”), the Company determines whether a decline in the estimated fair value of a security below its amortized cost has resulted from a credit loss by considering a variety of factors, including, but not limited to, recent events specific to the security, failure to make scheduled payments, and changes to external credit ratings.
+Added: Significant judgments are required in determining the CECL reserve, including determining collateral fair values of collateral-dependent loans.
+Added: In estimating credit losses related to real estate-related securities, the Company determines whether a decline in the estimated fair value of a security below its amortized cost has resulted from a credit loss by considering a variety of factors, including, but not limited to, recent events specific to the security, failure to make scheduled payments, and changes to external credit ratings.
Credit losses are estimated by calculating the difference between the present value of estimated cash flows and the amortized cost basis of the security.
Significant judgment is used in estimating expected future cash flows for the Company’s real estate-related securities.
−Removed: We identified the assessment of the CECL reserve as a critical audit matter because of the subjectivity, complexity, and estimation uncertainty in determining the CECL reserve.
−Removed: This required a high degree of auditor judgment and an increased extent of effort, including the need to involve our specialists when evaluating the CECL methodology, analytical models, and key inputs and assumptions used in the models.
+Added: We identified the estimation of CECL for collateral-dependent loans and real estate-related securities as a critical audit matter because of the subjectivity, complexity, and estimation uncertainty in estimating the CECL reserve.
+Added: This required a high degree of auditor judgment and an increased extent of effort, including the need to involve fair value specialists.
How the Critical Audit Matter Was Addressed in the Audit
Our audit procedures related to the CECL reserve included the following, among others:
−Removed: • We tested the impact of expected economic conditions on the loan portfolio, and other assumptions used in determining the CECL reserve.
−Removed: • We evaluated the service auditor's report for the third-party WARM method CECL model, which is used to calculate the expected loss for the Company’s first mortgage loans.
−Removed: • With the assistance of our fair value specialists for selected collateral-dependent loans, we evaluated the reasonableness of the valuation methodology and significant assumptions made, including whether the significant inputs used to determine the fair value were appropriate and consistent with what market participants would use to value the collateral.
−Removed: • We evaluated the appropriateness of each model and significant assumptions used, independently calculated each model’s computational accuracy, and utilized our credit specialists to assist us with these evaluations specific to the WARM method CECL model.
−Removed: • With the assistance of our fair value specialists, we developed independent fair value estimates for selected CMBS determined to have a credit loss, and compared our estimates to management’s estimates.
+Added: • With the assistance of fair value specialists for selected collateral-dependent loans, we evaluated the reasonableness of the valuation methodology and significant assumptions made, including whether the significant inputs used to determine the fair value were appropriate and consistent with what market participants would use to value the collateral.
+Added: • We evaluated the appropriateness of each model and significant assumptions used, and performed independent calculations for computational accuracy.
+Added: • With the assistance of fair value specialists, we developed independent fair value estimates for selected real estate-related securities determined to have a credit loss and compared our estimates to management’s estimates.
/s/ Deloitte & Touche LLP
5 unchanged sentences
(in thousands, except share and per share amounts)
−Removed: December 31, 2024 December 31, 2023
+Added: December 31, 2025
+Added: December 31, 2024
Real estate assets:
−Removed: Land $ 290,275 $ 317,844
Buildings, fixtures and improvements
6 unchanged sentences
Real estate-related securities and other, at fair value, net of credit loss allowances of $ 182,104 and $ 110,062 as of December 31, 2025 and 2024, respectively
−Removed: 345,828 519,714
Loans held-for-investment and related receivables, net
7 unchanged sentences
Accrued interest receivable
−Removed: Total assets $ 5,197,749 $ 6,446,476
−Removed: LIABILITIES AND STOCKHOLDERS’ EQUITY
+Added: LIABILITIES, REDEEMABLE COMMON STOCK AND EQUITY
Repurchase facilities, notes payable and credit facilities, net
7 unchanged sentences
Redeemable common stock
−Removed: STOCKHOLDERS’ EQUITY
Preferred stock, $ 0.01 par value per share;
4 unchanged sentences
Accumulated distributions in excess of earnings
−Removed: Accumulated other comprehensive loss
( 1,774,685 )
+Added: ( 1,676,562 )
+Added: Accumulated other comprehensive loss
Total stockholders’ equity
Non-controlling interests
−Removed: Total equity 1,775,202 2,266,077
−Removed: Total liabilities, redeemable common stock, non-controlling interests and stockholders’ equity $ 5,197,749 $ 6,446,476
+Added: Total liabilities, redeemable common stock and equity
The accompanying notes are an integral part of these consolidated financial statements.
3 unchanged sentences
Year Ended December 31,
−Removed: 2024 2023 2022
Rental and other property income
15 unchanged sentences
Gain on investment in unconsolidated entities
−Removed: Unrealized (loss) gain on equity securities ( 15,888 ) 4,751 ( 15,117 )
−Removed: Other (expense) income, net ( 1,138 ) ( 26,459 ) 8,671
+Added: Unrealized gain (loss) on equity securities
+Added: Other income (expense), net
Loss on extinguishment of debt
Total other income
−Removed: 2,228 35,568 107,764
−Removed: Net (loss) income ( 292,290 ) 28,086 143,866
+Added: Net income (loss)
Net income allocated to non-controlling interest
−Removed: Net (loss) income attributable to the Company $ ( 292,301 ) $ 28,078 $ 143,800
+Added: Net income (loss) attributable to the Company
Weighted average number of common shares outstanding:
Basic and diluted
−Removed: Net (loss) income per common share:
+Added: Net income (loss) per common share:
Basic and diluted
1 unchanged sentence
CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME
+Added: CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(in thousands)
Year Ended December 31,
−Removed: 2024 2023 2022
−Removed: Net (loss) income $ ( 292,290 ) $ 28,086 $ 143,866
−Removed: Other comprehensive (loss) income
−Removed: Unrealized loss on CMBS ( 5,789 ) ( 85,623 ) ( 51,304 )
+Added: Net income (loss)
+Added: Other comprehensive income (loss)
+Added: Unrealized gain (loss) on CMBS
Unrealized loss on CLO subordinated note
Reclassification adjustment for realized loss included in income as other income
−Removed: Amount of loss reclassified from other comprehensive (loss) income into income as an increase in provision for credit losses — 13,594 —
−Removed: Unrealized gain on interest rate swaps — — 2,361
−Removed: Amount of gain reclassified from other comprehensive (loss) income into income as interest expense, net — — ( 2,532 )
−Removed: Total other comprehensive loss ( 5,140 ) ( 32,617 ) ( 51,475 )
−Removed: Comprehensive (loss) income ( 297,430 ) ( 4,531 ) 92,391
+Added: Amount of loss reclassified from other comprehensive income into income as an increase in provision for credit losses
+Added: Total other comprehensive income (loss)
+Added: Comprehensive income (loss)
Comprehensive income allocated to non-controlling interest
−Removed: Comprehensive (loss) income attributable to the Company $ ( 297,441 ) $ ( 4,539 ) $ 92,325
+Added: Comprehensive income (loss) attributable to the Company
The accompanying notes are an integral part of these consolidated financial statements.
2 unchanged sentences
(in thousands, except share amounts)
−Removed: Common Stock Capital in
−Removed: of Par Value Accumulated
−Removed: Distributions in Excess of Earnings Accumulated Other Comprehensive Income (Loss)
−Removed: Stockholders’
−Removed: Equity Non-Controlling Interests Total Equity
−Removed: Shares Par Value
+Added: Capital in Excess of Par Value
+Added: Accumulated Distributions in Excess of Earnings
+Added: Accumulated Other Comprehensive (Loss) Income
+Added: Total Stockholders’ Equity
+Added: Non-Controlling Interests
+Added: Number of Shares
Balance, January 1, 2023
+Added: ( 1,029,287 )
Issuance of common stock
1 unchanged sentence
Distributions declared on common stock — $ 0.425 per common share
−Removed: — — — ( 164,526 ) — ( 164,526 ) — ( 164,526 )
Redemptions of common stock
+Added: ( 6,764,875 )
Changes in redeemable common stock
−Removed: Distributions to non-controlling interests — — — — — — ( 1,147 ) ( 1,147 )
Comprehensive income (loss)
Balance, December 31, 2023
+Added: ( 1,187,125 )
Issuance of common stock
1 unchanged sentence
Distributions declared on common stock — $ 0.45 per common share
−Removed: — — — ( 185,916 ) — ( 185,916 ) — ( 185,916 )
Redemptions of common stock
+Added: ( 7,319,583 )
Changes in redeemable common stock
−Removed: Comprehensive income (loss) — — — 28,078 ( 32,617 ) ( 4,539 ) 8 ( 4,531 )
+Added: Contributions from non-controlling interests
+Added: Comprehensive (loss) income
Balance, December 31, 2024
+Added: ( 1,676,562 )
Issuance of common stock
1 unchanged sentence
Distributions declared on common stock — $ 0.34 per common share
−Removed: — — — ( 197,136 ) — ( 197,136 ) — ( 197,136 )
Redemptions of common stock
+Added: ( 6,778,287 )
Changes in redeemable common stock
Contributions from non-controlling interests
−Removed: Comprehensive (loss) income — — — ( 292,301 ) ( 5,140 ) ( 297,441 ) 11 ( 297,430 )
+Added: Comprehensive income
Balance, December 31, 2025
+Added: ( 1,774,685 )
The accompanying notes are an integral part of these consolidated financial statements.
3 unchanged sentences
Year Ended December 31,
−Removed: 2024 2023 2022
Cash flows from operating activities:
−Removed: Net (loss) income $ ( 292,290 ) $ 28,086 $ 143,866
−Removed: Adjustments to reconcile net (loss) income to net cash provided by operating activities:
+Added: Net income (loss)
+Added: Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization, net
2 unchanged sentences
Amortization of premiums and discounts on credit investments
+Added: Accretion of interest income on CLO subordinated note
Capitalized interest income on real estate-related securities and loans held-for-investment
1 unchanged sentence
Straight-line rental income
−Removed: Write-offs for uncollectible lease-related receivables ( 115 ) ( 336 ) ( 894 )
+Added: Recovery of uncollectible lease-related receivables
Gain on disposition of real estate assets and condominium developments, net
1 unchanged sentence
Gain on investment in unconsolidated entities
−Removed: Gain on sale of marketable security — — ( 22 )
−Removed: Unrealized loss (gain) on equity security 15,888 ( 4,751 ) 15,139
−Removed: Amortization of fair value adjustment and gain on interest rate swaps — — ( 2,398 )
+Added: Unrealized (gain) loss on equity securities
Impairment of real estate assets
Increase in provision for credit losses
−Removed: Loss (gain) on interest rate caps — 5,040 ( 4,586 )
+Added: Loss on interest rate caps
Return on investment in unconsolidated entities
4 unchanged sentences
Accrued interest receivable
−Removed: 6,551 ( 5,339 ) ( 17,893 )
Accrued expenses and accounts payable
9 unchanged sentences
Investment in real estate assets and capital expenditures
+Added: Net proceeds from deeds-in-lieu of foreclosure
Origination and funding of first mortgage loans
2 unchanged sentences
Principal payments received on real estate-related securities
+Added: Proceeds from the repayment on the CLO subordinated note
Net proceeds from sale of real estate-related securities
1 unchanged sentence
Net proceeds from sale of liquid corporate senior loans
−Removed: Redemption of investment in unconsolidated entities — — 60,663
Payment of property escrow deposits
Refund of property escrow deposits
−Removed: Proceeds from the settlement of insurance claims — — 619
−Removed: Net cash provided by (used in) investing activities 720,561 559,473 ( 576,528 )
+Added: Net cash provided by investing activities
CIM REAL ESTATE FINANCE TRUST, INC.
2 unchanged sentences
Year Ended December 31,
−Removed: 2024 2023 2022
Cash flows from financing activities:
3 unchanged sentences
Repayments of borrowings, and prepayment penalties
−Removed: Termination of interest rate swaps — — ( 239 )
+Added: ( 1,051,669 )
Deferred financing costs paid
−Removed: Contributions (distributions) from (to) non-controlling interests 333 — ( 1,147 )
−Removed: Net cash (used in) provided by financing activities ( 957,179 ) ( 699,265 ) 430,250
−Removed: Net (decrease) increase in cash and cash equivalents and restricted cash ( 75,372 ) 83,988 32,421
+Added: Contributions from non-controlling interests
+Added: Net cash used in financing activities
+Added: Net increase (decrease) in cash and cash equivalents and restricted cash
Cash and cash equivalents and restricted cash, beginning of period
13 unchanged sentences
As of December 31, 2025, the Company’s loan portfolio consisted of 78 loans with a net book value of $ 3.5 billion, and investments in real estate-related securities and other of $ 169.2 million.
−Removed: The Company conducts and expects to continue to conduct its commercial real estate lending business through CIM Commercial Lending REIT (“CLR”), a Maryland statutory trust and subsidiary of the Company which the Company expects to be taxed as a REIT for U.S.
+Added: The Company conducts its commercial real estate lending business through CIM Commercial Lending REIT (“CLR”), a Maryland statutory trust and subsidiary of the Company which the Company expects to be taxed as a REIT for U.S.
federal income tax purposes.
−Removed: As of December 31, 2024 , CLR holds a diversified portfolio of approximately $ 1.5 billion, which includes first mortgage loans with a net book value of $ 1.05 billion, CMBS with an estimated fair value of $ 241.3 million, and an investment in the Unconsolidated Joint Venture (as defined in Note 2 — Summary of Significant Accounting Policies) with a carrying value of $ 171.8 million .
+Added: As of December 31, 2025 , CLR holds a diversified portfolio of approximately $ 1.6 billion, which includes first mortgage loans with a net book value of $ 1.4 billion, commercial mortgage-backed securities (“CMBS”) with an estimated fair value of $ 64.2 million, and an investment in the Unconsolidated Joint Venture (as defined in Note 2 — Summary of Significant Accounting Policies) with a carrying value of $ 138.7 million.
As of December 31, 2025 the Company owned 202 commercial real estate properties, comprising approximately 6.7 million rentable square feet of commercial space located in 37 states.
−Removed: As of December 31, 2024, the rentable square feet at these properties were 100.0 % leased, including month-to-month agreements, if any.
+Added: As of December 31, 2025, the rentable square feet at these properties was 96.5 % leased, including month-to-month agreements, if any.
As of December 31, 2025, the Company owned condominium developments with a net book value of $ 12.0 million.
3 unchanged sentences
CIM Group is headquartered in Los Angeles, California and has offices in Atlanta, Georgia, Chicago, Illinois, Dallas, Texas, New York, New York, Orlando, Florida, Phoenix, Arizona, London, UK and Tokyo, Japan.
−Removed: CIM Group also maintains additional offices with distribution staff and JV partnerships.
+Added: CIM Group also maintains additional offices with distribution staff and joint venture partnerships.
The Company relies upon CIM Capital IC Management, LLC, the Company’s investment advisor (the “Investment Advisor”), to provide substantially all of the day-to-day management of its subsidiary, CMFT Securities Investments, LLC (“CMFT Securities”), with respect to investments in securities and certain other investments held by CMFT Securities and its subsidiaries.
Collectively, CMFT Management, the Company’s manager, and the Investment Advisor, together with certain other affiliates of CIM Group, serve as the Company’s sponsor, which is referred to as the Company’s “sponsor” or “CIM”.
−Removed: On January 26, 2012, the Company commenced its initial public offering on a “best efforts” basis of up to a maximum of $ 2.975 billion in shares of common stock (the “Initial Offering”).
−Removed: The Company ceased issuing shares in the Initial Offering on April 4, 2014.
−Removed: At the completion of the Initial Offering, a total of approximately 297.4 million shares of common stock had been issued, including approximately 292.3 million shares of common stock sold to the public pursuant to the primary portion of the Initial Offering and approximately 5.1 million shares of common stock issued pursuant to the distribution reinvestment plan (“DRIP”) portion of the Initial Offering.
−Removed: The remaining approximately 404,000 unsold shares from the Initial Offering were deregistered.
−Removed: The Company registered $ 247.0 million of shares of common stock under the DRIP (the “Initial DRIP Offering”) pursuant to a Registration Statement on Form S-3 (Registration No.
+Added: The Company conducted its initial public offering on a “best efforts” basis from January 26, 2012 to April 4, 2014 (the “Initial Offering”), during which a total of approximately 297.4 million shares of common stock were issued, including approximately 292.3 million shares of common stock that were sold to the public pursuant to the primary portion of the Initial Offering and approximately 5.1 million shares of common stock issued pursuant to the distribution reinvestment plan (“DRIP”) portion of the Initial Offering.
+Added: The Company then issued a total of approximately $ 241.7 million of shares of common stock under the DRIP (the “Initial DRIP Offering”) pursuant to a Registration Statement on Form S-3 until June 30, 2016.
+Added: Subsequently, the Company registered an additional $ 600.0 million of shares of common stock under the DRIP (the “Secondary DRIP Offering,” and together with the Initial DRIP Offering, the “DRIP Offerings,” and the DRIP Offerings collectively with the Initial Offering, the “Offerings”) pursuant to a Registration Statement on Form S-3 (Registration No.
333-212832), which was filed with the U.S.
−Removed: Securities and Exchange Commission (the “SEC”) on December 19, 2013 and automatically became effective with the SEC upon filing.
−Removed: The Company ceased issuing shares under the Initial DRIP Offering effective as of June 30, 2016.
−Removed: At the completion of the Initial DRIP Offering, a total of approximately $ 241.7 million of shares of common stock had been issued.
−Removed: The remaining $ 5.3 million of unsold shares from the Initial DRIP Offering were deregistered.
−Removed: The Company registered an additional $ 600.0 million of shares of common stock under the DRIP (the “Secondary DRIP Offering,” and together with the Initial DRIP Offering, the “DRIP Offerings,” and the DRIP Offerings collectively with the Initial Offering, the “Offerings”) pursuant to a Registration Statement on Form S-3 (Registration No.
−Removed: 333-212832), which was filed with the SEC on August 2, 2016 and automatically became effective with the SEC upon filing.
−Removed: The Company began to
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: issue shares under the Secondary DRIP Offering on August 2, 2016 and continues to issue shares under the Secondary DRIP Offering.
+Added: Securities and Exchange Commission (the “SEC”) on August 2, 2016 and automatically became effective upon filing.
+Added: The Company began to issue shares under the Secondary DRIP Offering on August 2, 2016 and continues to issue shares under the Secondary DRIP Offering.
The Company’s board of directors (the “Board”) establishes an updated estimated per share net asset value (“NAV”) of the Company’s common stock on at least an annual basis for purposes of assisting broker-dealers that participated in the Initial Offering in meeting their customer account reporting obligations under Financial Industry Regulatory Authority Rule 2231.
Distributions are reinvested in shares of the Company’s common stock for participants in the DRIP at the estimated per share NAV as determined by the Board.
−Removed: Additionally, the estimated per share NAV as determined by the Board serves as the per share NAV for purposes of the share redemption program.
−Removed: As of December 31, 2024, the estimated per share NAV of the Company’s common stock was $ 6.09 , which was established by the Board on February 29, 2024 using a valuation date of January 31, 2024.
+Added: Additionally, the estimated per share NAV as determined by the Board serves as the per
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: share NAV for purposes of the share redemption program.
+Added: As of December 31, 2025, the estimated per share NAV of the Company’s common stock was $ 5.22 , which was established by the Board on March 20, 2025 using a valuation date of December 31, 2024.
Subsequent to December 31, 2025, the Board established an updated estimated per share NAV of the Company’s common stock on March 19, 2026, using a valuation date of December 31, 2025, of $ 5.14 per share.
1 unchanged sentence
The Company’s estimated per share NAVs are not audited or reviewed by its independent registered public accounting firm.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
12 unchanged sentences
In addition, as of December 31, 2025, the carrying value of CLR’s investment in CIM NP JV Holdings, LLC (“NP JV Holdings”) was $ 138.7 million.
−Removed: CLR had $ 904.0 million of debt outstanding, net of deferred financing costs, as of December 31, 2024.
+Added: CLR had $ 1.1 billion of debt outstanding, as of December 31, 2025.
During the year ended December 31, 2024, the Company sold a portion of the Company’s portfolio of liquid corporate senior loans with an aggregate principal balance of $ 265.4 million to OFSI BSL XIV CLO, Ltd., an exempted company incorporated with limited liability under the laws of the Cayman Islands, resulting in net proceeds of $ 259.7 million after closing costs and a loss of $ 2.9 million.
6 unchanged sentences
Additionally, the collateral manager, which does direct the activities that most significantly affect the entity’s economic performance, was deemed to not be under common control with the Company.
−Removed: As such, the Company was determined to not be
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: the primary beneficiary and the CLO is not consolidated on the Company’s financial statements.
+Added: As such, the Company was determined to not be the primary beneficiary and the CLO is not consolidated on the Company’s financial statements.
As of December 31, 2025, the fair value of the CLO subordinated note is $ 19.6 million and is included in real estate-related securities and other on the Company’s accompanying consolidated balance sheets.
For more information, refer to Note 7 — Real Estate-Related Securities and Other.
+Added: Reclassifications
+Added: Certain amounts in the Company’s prior period consolidated financial statements have been reclassified to conform to the current period presentation.
+Added: The company has broken out $ 1.6 million of accreted interest income on the CLO subordinated note from amortization of premiums and discounts on credit investments in the consolidated statement of cash flows for the year ended December 31, 2024.
+Added: This reclassification had no effect on the previously reported total cash flows from operating activities.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Use of Estimates
5 unchanged sentences
The estimated useful lives of the Company’s real estate assets by class are generally as follows:
−Removed: Buildings 40 years
−Removed: Site improvements 15 years
−Removed: Tenant improvements Lesser of useful life or lease term
−Removed: Intangible lease assets Lease term
+Added: Site improvements
+Added: Tenant improvements
+Added: Lesser of useful life or lease term
+Added: Intangible lease assets
+Added: The Company may assume legal title or physical possession of the collateral underlying a loan through a foreclosure or the execution of a deed-in-lieu of foreclosure.
+Added: The acquired property is initially recognized at fair value in accordance with the asset acquisition provisions under the Financial Accounting Standards Board (“FASB”), Accounting Standards Codification (“ASC”) Topic 805, Business Combinations (“ASC 805”) within total real estate assets, net on the Company’s consolidated balance sheet when the Company assumes legal title or physical possession.
+Added: The value of acquired property is allocated based on the relative fair values of assets acquired and liabilities assumed, including, but not limited to, land, buildings, fixtures and improvements, and intangibles.
+Added: For additional information, refer to Note 4 — Real Estate Assets.
Recoverability of Real Estate Assets
21 unchanged sentences
A discontinued operation includes only the disposal of a component of an entity and represents a strategic shift that has (or will have) a major effect on an entity’s financial results.
−Removed: Given the Company’s current asset portfolio and strategy, the Company’s dispositions during the years ended December 31, 2024 and 2023 did not qualify for discontinued operations presentation and thus, the results of the properties and condominiums that were sold will not be reported as discontinued operations, and any associated gains or losses from the dispositions are included in
+Added: Given the Company’s current asset portfolio and strategy, the Company’s dispositions during the years ended December 31, 2025 and 2024 did not qualify for discontinued operations presentation and thus, the results of the properties and condominiums that were
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: gain on disposition of real estate and condominium developments, net.
+Added: sold will not be reported as discontinued operations, and any associated gains or losses from the dispositions are included in gain on disposition of real estate and condominium developments, net.
See Note 4 — Real Estate Assets for a discussion of the disposition of individual properties and condominiums during the years ended December 31, 2025 and 2024.
Allocation of Purchase Price of Real Estate Assets
−Removed: Upon the acquisition of real properties, the Company allocates the purchase price to acquired tangible assets, consisting of land, buildings and improvements, and to identified intangible assets and liabilities, consisting of the value of above- and below-market leases and the value of in-place leases and other intangibles, based in each case on their relative fair values.
+Added: Upon the acquisition of real properties or after taking control of real assets through deeds-in-lieu of foreclosure as described above, the Company allocates the purchase price to acquired tangible assets, consisting of land, buildings and improvements, and to identified intangible assets and liabilities, consisting of the value of above- and below-market leases and the value of in-place leases and other intangibles, based in each case on their relative fair values.
The Company utilizes independent appraisals to assist in the determination of the fair values of the tangible assets of an acquired property (which includes land and buildings).
1 unchanged sentence
Other information in the appraisal, such as building value and market rents, may be used by the Company’s management in estimating the allocation of purchase price to the building and to intangible lease assets and liabilities.
−Removed: The appraisal firm has no involvement in management’s allocation decisions other than providing this market information.
The fair values of above- and below-market lease intangibles are recorded based on the present value (using a discount rate which reflects the risks associated with the leases acquired) of the difference between (1) the contractual amounts to be paid pursuant to the in-place leases and (2) an estimate of fair market lease rates for the corresponding in-place leases, which is generally obtained from independent appraisals, measured over a period equal to the remaining non-cancelable term of the lease including, for below-market leases, any bargain renewal periods.
The above- and below-market lease intangibles are capitalized as intangible lease assets or liabilities, respectively.
−Removed: Above-market leases are amortized as a reduction to rental income in the accompanying consolidated statement of operations over the remaining terms of the respective leases.
−Removed: Below-market leases are amortized as an increase to rental income in the accompanying consolidated statement of operations over the remaining terms of the respective leases, including any bargain renewal periods.
+Added: Above-market leases are amortized as a reduction to rental income in the accompanying consolidated statements of operations over the remaining terms of the respective leases.
+Added: Below-market leases are amortized as an increase to rental income in the accompanying consolidated statements of operations over the remaining terms of the respective leases, including any bargain renewal periods.
In considering whether or not the Company expects a tenant to execute a bargain renewal option, the Company evaluates economic factors and certain qualitative factors at the time of acquisition, such as the financial strength of the tenant, the remaining lease term, the tenant mix of the leased property, the Company’s relationship with the tenant and the availability of competing tenant space.
2 unchanged sentences
Direct costs associated with obtaining a new tenant include leasing commissions, legal and other related expenses and are estimated in part by utilizing information obtained from independent appraisals and management’s consideration of current market costs to execute a similar lease.
−Removed: The intangible values of opportunity costs, which are calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absorption period for a similar lease, are capitalized as intangible lease assets and are amortized to depreciation and amortization expense in the accompanying consolidated statement of operations over the remaining term of the respective leases.
+Added: The intangible values of opportunity costs, which are calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absorption period for a similar lease, are capitalized as intangible lease assets and are amortized to depreciation and amortization expense in the accompanying consolidated statements of operations over the remaining term of the respective leases.
If a lease were to be terminated prior to its stated expiration, all unamortized amounts of in-place lease assets relating to that lease would be expensed.
7 unchanged sentences
The use of alternative estimates may result in a different allocation of the Company’s purchase price, which could materially impact the Company’s results of operations.
−Removed: Certain acquisition-related expenses related to asset acquisitions are capitalized and allocated to tangible and intangible assets and liabilities, as described above.
−Removed: Acquisition-related manager expense reimbursements are expensed as incurred and are
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: included in expense reimbursements to related parties in the accompanying consolidated statements of operations.
+Added: Certain acquisition-related expenses related to asset acquisitions are capitalized and allocated to tangible and intangible assets and liabilities, as described above.
+Added: Acquisition-related manager expense reimbursements are expensed as incurred and are included in expense reimbursements to related parties in the accompanying consolidated statements of operations.
Other acquisition-related expenses continue to be expensed as incurred and are included in transaction-related expenses in the accompanying consolidated statements of operations.
6 unchanged sentences
For more information, refer to Note 6 — Investment in Unconsolidated Entities.
−Removed: Non-controlling Interest in 2022 Consolidated Joint Venture
−Removed: From December 2021 to July 2022, the Company determined it had a controlling interest in a consolidated joint venture arrangement (the “2022 Consolidated Joint Venture”) and, therefore, met the requirements for consolidation.
−Removed: During the year ended December 31, 2022, the Company recorded net income of $ 66,000 and paid distributions of $ 1.1 million to the non-controlling interest.
−Removed: During the year ended December 31, 2022, the Company disposed of the underlying properties previously owned through the 2022 Consolidated Joint Venture, as further discussed in Note 4 — Real Estate Assets.
Cash and Cash Equivalents and Restricted Cash
4 unchanged sentences
Although the Company bears risk on amounts in excess of those insured by the FDIC, it has not experienced and does not anticipate any losses due to the high quality of the institutions where the deposits are held.
−Removed: Included in cash and cash equivalents was $ 1.2 million and $ 2.2 million of unsettled liquid corporate senior loan purchases as of December 31, 2024 and 2023, respectively.
+Added: During the year ended December 31, 2024, included in cash and cash equivalents was $ 1.2 million of unsettled liquid corporate senior loan purchases.
+Added: There were no unsettled liquid corporate senior loan purchases included in cash and cash equivalents as of December 31, 2025.
The Company had $ 4.6 million and $ 3.9 million in restricted cash as of December 31, 2025 and December 31, 2024, respectively.
2 unchanged sentences
Also included in restricted cash was $ 2.0 million of construction reserves, amounts held by lenders in escrow accounts for real estate taxes and other lender reserves for certain properties, in accordance with the associated lender’s loan agreement as of both December 31, 2025 and 2024.
−Removed: In addition, the Company had a $ 9.2 million deposit held as cash collateral included in restricted cash as of December 31, 2023, that was applied by Barclays Bank PLC (“Barclays”) as repayment of certain eligible assets transferred under the Master Repurchase Agreement with Barclays (as described in more detail in Note 10 — Repurchase Facilities, Notes Payable and Credit Facilities) during the year ended December 31, 2024.
Real Estate-Related Securities and Other
−Removed: Real estate-related securities and other consists primarily of the Company’s investments in commercial mortgage-backed securities (“CMBS”), CLOs, and equity securities.
+Added: Real estate-related securities and other consists primarily of the Company’s investments in CMBS, CLOs, and equity securities.
The Company determines the appropriate classification for real estate-related securities at the time of purchase and reevaluates such designation as of each balance sheet date.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: As of December 31, 2024, the Company classified its investments in CMBS and CLO as available-for-sale as the Company is not actively trading the securities;
+Added: As of December 31, 2025, the Company classified its investments in CMBS and CLO subordinated note as available-for-sale as the Company is not actively trading the securities;
however, the Company may sell them prior to their maturity.
−Removed: These investments are carried at their estimated fair value with unrealized gains and losses reported in other comprehensive (loss) income.
+Added: These investments are carried at their estimated fair value with unrealized gains and losses reported in other comprehensive income (loss).
The amortized cost of the Company’s CMBS is adjusted for amortization of premiums and accretion of discounts to maturity computed under the effective interest method.
2 unchanged sentences
The Company’s investments in equity securities of public and private companies are carried at their estimated fair values with unrealized gains and losses reported on the consolidated statements of operations.
−Removed: Dividend income is included in other (expense) income, net on the consolidated statements of operations, of which the Company recorded $ 5.1 million and $ 5.6 million, respectively, during the years ended December 31, 2024 and 2023.
−Removed: The Company monitors its CMBS and CLO for changes in fair value.
+Added: Dividend income is included in other
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: income (expense), net on the consolidated statements of operations, of which the Company recorded $ 3.7 million and $ 5.1 million, respectively, during the years ended December 31, 2025 and 2024.
+Added: The Company monitors its CMBS and CLO subordinated note for changes in fair value.
A loss is recognized when the Company determines that a decline in the estimated fair value of a security below its amortized cost has resulted from a credit loss or other factors, such as market conditions.
Such losses that are credit related are recorded as a current expected credit loss in increase in provision for credit losses on the Company’s consolidated statements of operations.
−Removed: Subsequent cumulative adverse changes in expected cash flows on the Company’s CMBS and CLO are recognized as an increase to current expected credit losses.
−Removed: However, the allowance is limited to the amount by which the CMBS and CLO’s amortized cost exceeds its fair value.
+Added: Subsequent cumulative adverse changes in expected cash flows on the Company’s CMBS and CLO subordinated note are recognized as an increase to current expected credit losses.
+Added: However, the allowance is limited to the amount by which the CMBS and CLO subordinated note’s amortized cost exceeds its fair value.
Favorable changes in expected cash flows are recognized as a decrease to current expected credit losses.
For additional information regarding the Company’s process for estimating current expected credit losses for its real estate-related securities, see the Current Expected Credit Losses section below.
−Removed: Interest earned is either received in cash or capitalized to CMBS in the Company’s consolidated balance sheets.
+Added: Interest earned is either received in cash or capitalized to real estate-related securities and other in the Company’s consolidated balance sheets.
Interest is capitalized when certain conditions are met as specified in each security agreement.
8 unchanged sentences
Current Expected Credit Losses
−Removed: Current expected credit losses (“CECL”) required under the Financial Accounting Standards Board (“FASB”), Accounting Standards Codification Topic 326, Financial Instruments - Credit Losses (“ASC 326”), reflects the Company’s current estimate of potential credit losses related to the Company’s loans held-for-investment, CMBS and CLO included in the consolidated balance sheets.
+Added: Current expected credit losses (“CECL”) required under the FASB ASC Topic 326, Financial Instruments - Credit Losses (“ASC 326”), reflects the Company’s current estimate of potential credit losses related to the Company’s loans held-for-investment, CMBS and CLO included in the consolidated balance sheets.
Changes to current expected credit losses are recognized through net income on the Company’s consolidated statements of operations.
1 unchanged sentence
In addition, other than a few narrow exceptions, ASC 326 requires that all financial instruments subject to the credit loss model should have some amount of loss reserve to reflect the GAAP framework underlying the credit loss model that all loans, debt securities, and similar assets have some inherent risk of loss, regardless of credit quality, subordinate capital, or other mitigating factors.
−Removed: The Company estimates the current expected credit loss for its first mortgage loans primarily using the Weighted Average Remaining Maturity method, which has been identified as an acceptable method for estimating CECL reserves in the FASB
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: Staff Q&A Topic 326, No.
+Added: The Company estimates the current expected credit loss for its first mortgage loans primarily using the Weighted Average Remaining Maturity method, which has been identified as an acceptable method for estimating CECL reserves in the FASB Staff Q&A Topic 326, No.
This method requires the Company to reference historic loan loss data across a comparable data set and apply such loss rate to each loan investment over its expected remaining term, taking into consideration expected economic conditions over the relevant timeframe.
1 unchanged sentence
For such loans that the Company determines that foreclosure of the collateral is probable, the Company measures the expected losses based on the difference between the fair value of the collateral less costs to sell and the amortized cost basis of the loan as of the measurement date.
−Removed: For collateral-dependent loans that the Company determines foreclosure is not probable, the Company applies a practical expedient to estimate expected losses using the difference between the collateral’s fair value and the amortized cost basis of the loan.
−Removed: For the Company’s liquid corporate senior loans and corporate senior loans, the Company uses a probability of default and loss given default method using a comparable data set.
+Added: For collateral-dependent loans that the Company determines foreclosure is not probable, the Company applies a practical expedient to estimate expected losses using the difference between the collateral’s fair value (reduced by certain adjustments such as estimated costs to sell the asset if repayment is expected through the sale of the collateral) and the amortized cost basis of the loan.
+Added: For the Company’s liquid corporate senior loans and corporate senior loans, the Company uses a probability of default and loss given default method
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: using a comparable data set.
The Company may use other acceptable alternative approaches in the future depending on, among other factors, the type of loan, underlying collateral, and availability of relevant historical market loan loss data.
36 unchanged sentences
The Company generally assigns a risk rating of “3” to all newly originated or acquired loans held-for-investment during a most recent quarter, except in the case of specific circumstances warranting an exception.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
In estimating credit losses related to real estate-related securities, management considers a variety of factors, including, but not limited to, the extent to which the fair value is less than the amortized cost basis, recent events specific to the security, industry or geographic area, the payment structure of the security, the failure of the issuer of the security to make scheduled interest or principal payments, and external credit ratings and recent changes in such ratings.
1 unchanged sentence
Significant judgment is used in estimating future cash flows for the Company’s real estate-related securities.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Deferred Financing Costs
24 unchanged sentences
Significant judgments and assumptions are inherent in not only determining if a contract contains a lease, but also the lease classification, terms, payments, and, if needed, discount rates.
−Removed: Judgments include the nature of any options, including if they
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: will be exercised, evaluation of implicit discount rates and the assessment and consideration of “fixed” payments for straight-line rent revenue calculations.
+Added: Judgments include the nature of any options, including if they will be exercised, evaluation of implicit discount rates and the assessment and consideration of “fixed” payments for straight-line rent revenue calculations.
Lease costs represent the initial direct costs incurred in the origination, negotiation and processing of a lease agreement.
2 unchanged sentences
Upon successful lease execution, leasing commissions are capitalized.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Development Activities
26 unchanged sentences
Interest collected is recognized on a cash basis when received as investment income or as a reduction in the amortized cost basis, based on specific facts and circumstances, until accrual is resumed when the loan becomes contractually current and the Company believes all future principal and interest will be received according to the contractual loan terms.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The Company elected to be taxed, and currently qualifies, as a REIT for federal income tax purposes under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, commencing with the taxable year ended December 31, 2012.
1 unchanged sentence
REITs are subject to a number of other organizational and operational requirements.
−Removed: Even if the Company maintains its qualification for taxation as a REIT, it or its subsidiaries may be subject to certain state and local taxes on its income and property, and federal income and excise taxes on its undistributed income.
+Added: Even if the Company maintains its qualification for taxation as a REIT, it or its subsidiaries may
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: be subject to certain state and local taxes on its income and property, and federal income and excise taxes on its undistributed income.
Earnings (Loss) and Distributions Per Share
14 unchanged sentences
Except as otherwise stated below, the Company is currently evaluating the effect that certain new accounting requirements may have on the Company’s accounting and related reporting and disclosures in the Company’s consolidated financial statements.
−Removed: In June 2022, the FASB issued Accounting Standards Update (“ASU”) No.
−Removed: 2022-03, Fair Value Measurement (Topic 820):
−Removed: Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (“ASU 2022-03”).
−Removed: The amendments in this update clarify the guidance in Topic 820 when measuring the fair value of an equity security subject to contractual sale restrictions and introduce new disclosure requirements related to such equity securities.
−Removed: The amendments are effective for fiscal years beginning after December 15, 2023, including interim periods within those annual periods, with early adoption permitted.
−Removed: The ASU became effective for the Company beginning January 1, 2024.
−Removed: ASU 2022-03 did not have a material impact on the Company’s consolidated financial statements and disclosures during the year ended December 31, 2024.
−Removed: In August 2023, the FASB issued ASU No.
+Added: In August 2023, the FASB issued Accounting Standards Update (“ASU”) No.
2023-05, Business Combinations-Joint Venture Formations (Subtopic 805-60):
3 unchanged sentences
The amendments are effective prospectively for all joint venture formations with a formation date on or after January 1, 2025.
−Removed: The Company does not believe the adoption of ASU 2023-05 will have a material impact on its consolidated financial statements and disclosures.
−Removed: In November 2023, the FASB issued ASU No.
−Removed: 2023-07, Segment Reporting (Topic 280):
−Removed: Improvements to Reportable Segment Disclosures (“ASU 2023-07”).
−Removed: ASU 2023-07 enhances the disclosures required for reportable segments on an annual
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: and interim basis.
−Removed: ASU 2023-07 is effective on a retrospective basis for annual periods beginning after December 15, 2023, for interim periods within fiscal years beginning after December 15, 2024, and early adoption is permitted.
−Removed: Adoption of ASU 2023-07 has resulted in incremental disclosures, which are included within Note 18 — Segment Reporting.
+Added: ASU 2023-05 became effective for the Company beginning January 1, 2025 and did not have a material impact on its consolidated financial statements and disclosures.
In November 2024, the FASB issued ASU No.
3 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.
+Added: In December 2025, the FASB issued ASU No.
+Added: 2025-08, Financial Instruments - Credit Losses (Topic 326):
+Added: Purchased Loans (“ASU 2025-08”).
+Added: ASU 2025-08 eliminates the distinction between purchased credit-deteriorated and non-credit-deteriorated loans and expands the use of the gross-up approach for substantially all purchased financial assets.
+Added: ASU 2025-08 is effective for annual periods beginning after December 15, 2026 and interim periods within that year, with early adoption permitted.
+Added: The Company is currently evaluating whether the adoption of ASU 2025-08 will have a material impact on its consolidated financial statements and disclosures.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 3 — FAIR VALUE MEASUREMENTS
19 unchanged sentences
Repurchase facilities, notes payable and credit facilities — The fair value is estimated by discounting the expected cash flows based on estimated borrowing rates available to the Company as of the measurement date.
−Removed: Current and prior period
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: liabilities’ carrying and fair values exclude net deferred financing costs.
+Added: Current and prior period liabilities’ carrying and fair values exclude net deferred financing costs.
These financial instruments are valued using Level 2 inputs.
3 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.
−Removed: Although the Company has determined that the majority of the inputs used to value its derivatives has generally fallen within Level 2 of the fair value hierarchy, certain credit valuation adjustments associated with such derivatives may utilize Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and its counterparties.
+Added: Although the Company has determined that the majority of the inputs used to value its derivatives has generally fallen within Level 2 of the fair value hierarchy, certain credit valuation adjustments associated with such derivatives may utilize
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and its counterparties.
Loans held-for-investment — The Company’s loans held-for-investment are recorded at cost upon origination, net of loan origination fees and discounts.
3 unchanged sentences
In accordance with the fair value hierarchy described above, the following table details the net book value and fair value of the financial instruments described above as of December 31, 2025 and 2024 (in thousands):
−Removed: December 31, 2024 December 31, 2023
+Added: December 31, 2025
+Added: December 31, 2024
Net Book Value
−Removed: Net Book Value Fair Value Level
+Added: Net Book Value
Financial assets:
First mortgage loans
−Removed: $ 3,085,104 $ 3,141,665 $ 3,539,111 $ 3,596,662 3
Liquid corporate senior loans
−Removed: 35,653 32,062 518,252 515,839 (2)
Corporate senior loans
−Removed: 250,120 256,543 207,102 211,167 3
Total financial assets
−Removed: $ 3,370,877 $ 3,430,270 $ 4,264,465 $ 4,323,668
Financial liabilities:
Repurchase facilities, notes payable and credit facilities
−Removed: $ 3,182,614 $ 3,098,368 $ 3,939,125 $ 3,827,782 2
Total financial liabilities
____________________________________
−Removed: ____________________________________
−Removed: (1) Includes two first mortgage loans secured by assets that the Company took control of via deeds-in-lieu of foreclosure subsequent to December 31, 2024, as discussed in Note 19 — Subsequent Events.
(1) As of December 31, 2025, $ 15.6 million and $ 3.7 million of the Company’s liquid corporate senior loans were classified in Level 2 and Level 3 of the fair value hierarchy, respectively.
4 unchanged sentences
Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize, or be liable for, upon disposition of the financial assets and liabilities.
−Removed: The Company evaluates its hierarchy disclosures each quarter and depending
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: on various factors, it is possible that an asset or liability may be classified differently from quarter to quarter.
+Added: The Company evaluates its hierarchy disclosures each quarter and depending on various factors, it is possible that an asset or liability may be classified differently from quarter to quarter.
The Company does not expect that changes in classifications between levels will be frequent.
Items Measured at Fair Value on a Recurring Basis
−Removed: In accordance with the fair value hierarchy described above, the following tables show the fair value of the Company’s financial assets that are required to be measured at fair value on a recurring basis as of December 31, 2024 and 2023 (in thousands):
+Added: In accordance with the fair value hierarchy described above, the following tables show the fair value of the Company’s financial assets that are required to be measured at fair value on a recurring basis as of December 31, 2025 and 2024 (in
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Balance as of December 31, 2025
−Removed: Quoted Prices in
−Removed: Active Markets for
−Removed: Identical Assets
−Removed: (Level 1) Significant Other
−Removed: Observable Inputs
−Removed: (Level 2) Significant
+Added: Quoted Prices in Active Markets for Identical Assets (Level 1)
+Added: Significant Other Observable Inputs (Level 2)
+Added: Significant Unobservable Inputs (Level 3)
Financial assets:
−Removed: CMBS $ 286,757 $ — $ 241,341 $ 45,416
CLO subordinated note
−Removed: 26,901 — — 26,901
Equity securities
−Removed: 32,170 31,547 — 623
Total financial assets
Balance as of December 31, 2024
−Removed: Quoted Prices in
−Removed: Active Markets for
−Removed: Identical Assets
−Removed: (Level 1) Significant Other
−Removed: Observable Inputs
−Removed: (Level 2) Significant
+Added: Quoted Prices in Active Markets for Identical Assets (Level 1)
+Added: Significant Other Observable Inputs (Level 2)
+Added: Significant Unobservable Inputs (Level 3)
Financial assets:
−Removed: CMBS $ 476,715 $ — $ 347,634 $ 129,081
+Added: CLO subordinated note
Equity security
−Removed: 42,999 42,999 — —
Total financial assets
2 unchanged sentences
Total gains and losses:
−Removed: Unrealized loss included in other comprehensive (loss) income, net
+Added: Unrealized loss on CMBS included in other comprehensive income (loss), net
Current expected credit losses
+Added: Unrealized loss on CLO subordinated note
Purchases and payments received:
+Added: Conversion to equity securities (1)
+Added: Investment in CLO subordinated note
+Added: Accreted interest income
Discounts, net
2 unchanged sentences
Total gains and losses:
−Removed: Unrealized loss on CMBS included in other comprehensive (loss) income, net
+Added: Unrealized gain on CMBS included in other comprehensive income (loss), net
Current expected credit losses
1 unchanged sentence
Purchases and payments received:
−Removed: Conversion to equity securities (2)
−Removed: Investment in CLO subordinated note
+Added: Proceeds from the repayment on the CLO subordinated note
Accreted interest income
3 unchanged sentences
____________________________________
−Removed: (1) Does not include $ 7.1 million of unrealized losses recognized prior to January 1, 2023 that were reclassified from other comprehensive loss on the consolidated statements of comprehensive (loss) income to increase in provision for credit losses on the consolidated statements of operations during the year ended December 31, 2023.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: (2) During the year ended December 31, 2024, two of the Company’s defaulted liquid corporate senior loans were equitized into a Level 3 equity security, as further discussed in Note 7 — Real Estate-Related Securities and Other.
+Added: (1) During the year ended December 31, 2024, two of the Company’s defaulted liquid corporate senior loans were equitized into a Level 3 equity security.
Items Measured at Fair Value on a Non-Recurring Basis (Including Impairment Charges)
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.
−Removed: The Company’s process for identifying and recording impairment related to credit investments, real estate assets and intangible assets is discussed in Note 2 — Summary of Significant Accounting Policies.
+Added: The Company’s process for
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: identifying and recording impairment related to credit investments, real estate assets and intangible assets is discussed in Note 2 — Summary of Significant Accounting Policies.
+Added: Properties acquired through deeds-in-lieu of foreclosure are recognized at fair value and included in total real estate assets, net on the Company’s consolidated balance sheets upon foreclosure in accordance with the asset acquisition provisions of ASC 805.
+Added: The Company is required to disclose real estate owned, a nonfinancial asset, at fair value on a non-recurring basis, in accordance with ASC 820, Fair Value Measurement and Disclosures (“ASC 820”).
+Added: Under ASC 820, the Company may utilize the income, market or cost approach (or combination thereof) to determine the fair value of real estate owned.
+Added: During the year ended December 31, 2025, the Company took control of the assets securing two of its risk-rated 5 first mortgage loans, which are comprised of two office buildings, through deeds-in-lieu of foreclosure.
+Added: The Company utilized independent appraisals to assist in the determination of the fair value of the net real estate assets.
+Added: The Company considered a variety of inputs including cash flow estimates, market data and comparable sales, as applicable.
+Added: For the two properties, the independent appraisals utilized significant unobservable inputs, including discount rates of 10.8 % and 10.0 % and capitalization rates of 9.0 % and 8.5 %, respectively.
+Added: At the time of acquisition, the Company determined the aggregate fair value of the net real estate assets to be $ 151.0 million.
+Added: During the year ended December 31, 2025, the Company disposed of a property acquired via deed-in-lieu of foreclosure for an aggregate sales price of $ 91.3 million, resulting in proceeds of $ 87.8 million after closing costs and a gain of $ 1.1 million.
+Added: As of December 31, 2025, the Company had an aggregate $ 236.1 million asset-specific credit loss reserve on funded and unfunded commitments related to six of the Company’s first mortgage loans with an aggregate carrying value of $ 851.8 million.
As of December 31, 2024, the Company had an aggregate $ 324.9 million asset-specific credit loss reserve on funded and unfunded commitments related to seven of the Company’s first mortgage loans with an aggregate carrying value of $ 1.0 billion.
−Removed: As of December 31, 2023, the Company had an aggregate $ 57.8 million asset-specific credit loss reserve on funded and unfunded commitments related to two of the Company’s first mortgage loans with an aggregate carrying value of $ 263.4 million.
−Removed: The asset-specific credit loss reserve was recorded based on the Company’s estimation of the fair value of the first mortgage loans’ aggregate underlying collateral, less costs to sell the underlying collateral, as of December 31, 2024 and 2023, respectively.
+Added: The asset-specific credit loss reserve was recorded based on the Company’s estimation of the fair value of the first mortgage loans’ aggregate underlying collateral, and reflects adjustments for estimated costs to sell, as well as the timing and manner in which the collateral is expected to be monetized as of December 31, 2025 and 2024, respectively.
These loans are therefore measured at fair value on a nonrecurring basis using significant unobservable inputs, and are classified as Level 3 assets in the fair value hierarchy.
−Removed: The Company considered a variety of inputs including property performance, market data and comparable sales, as applicable.
+Added: The Company considered a variety of inputs in estimating the collateral fair value including property performance, market data and comparable sales, as applicable.
The significant unobservable inputs used include the terminal capitalization rate, which ranged from 8.3 % to 9.5 %, and the discount rate, which ranged from 9.5 % to 11.5 %.
For additional information regarding the first mortgage loans, refer to Note 8 — Loans Held-For-Investment.
−Removed: As discussed in Note 4 — Real Estate Assets, during the year ended December 31, 2024, real estate assets related to ten properties were deemed to be impaired due to sales prices or revised cash flow estimates that were less than their respective carrying values, and their carrying values were reduced to an estimated fair value of $ 131.0 million, resulting in impairment charges of $ 52.2 million.
+Added: As discussed in Note 4 — Real Estate Assets, during the year ended December 31, 2025, four properties were deemed to be impaired due to sales prices or revised cash flow estimates that were less than their respective carrying values, and their carrying values were reduced to an estimated fair value of $ 111.3 million, resulting in impairment charges of $ 9.9 million.
The revised cash flow estimates were a result of continued deterioration of fundamentals at certain office properties, including weakened leasing activity and increased capitalization rates, and a revision in assumed holding periods at certain properties.
+Added: Additionally, during the year ended December 31, 2025, no condominium units were deemed to be impaired.
+Added: During the year ended December 31, 2024, real estate assets related to 10 properties were deemed to be impaired due to sales prices or revised cash flow estimates that were less than their respective carrying values, and their carrying values were reduced to an estimated fair value of $ 131.0 million, resulting in impairment charges of $ 52.2 million.
Additionally, during the year ended December 31, 2024, certain condominium units were deemed to be impaired, primarily due to a decrease in expected sales prices and an increase in budgeted costs for certain units under development, and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 9.1 million.
1 unchanged sentence
Additionally, during the year ended December 31, 2023, certain condominium units were deemed to be impaired, primarily due to a decrease in expected sales prices and an increase in budgeted costs for certain units under development, and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 14.7 million.
−Removed: During the year ended December 31, 2022, real estate assets related to 23 properties were deemed to be impaired, all of which were due to sales prices that were less than their respective carrying values and their carrying values were reduced to an estimated fair value of $ 123.9 million, resulting in impairment charges of $ 16.2 million.
−Removed: Additionally, during the year ended December 31, 2022, certain condominium units were deemed to be impaired, primarily due to a decrease in list prices and an increase in budgeted costs for certain units under development, and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 16.1 million.
The Company estimates fair values using Level 3 inputs and a combined income and market approach, specifically using discounted cash flow analysis and recent comparable sales transactions.
7 unchanged sentences
The Company determined that the selling prices used to determine the fair values were Level 2 inputs.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following summarizes the ranges of discount rates and terminal capitalization rates used for the Company’s impairment test for the real estate assets during the years ended December 31, 2025 and 2024 :
1 unchanged sentence
Year Ended December 31, 2024
−Removed: Discount Rate Terminal Capitalization Rate Discount Rate Terminal Capitalization Rate
+Added: Discount Rate
+Added: Terminal Capitalization Rate
+Added: Discount Rate
+Added: Terminal Capitalization Rate
9.5 % - 11.9 %
2 unchanged sentences
7.3 % - 11.2 %
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following table presents the impairment charges by asset class recorded during the years ended December 31, 2025, 2024 and 2023 (in thousands):
Year Ended December 31,
−Removed: 2024 2023 2022
Asset class impaired:
−Removed: Land $ 8,487 $ 4,980 $ 3,553
Buildings, fixtures and improvements
5 unchanged sentences
Property Acquisitions
+Added: During the year ended December 31, 2025, the Company took control of the assets securing two of its risk-rated 5 first mortgage loans, which are comprised of two office buildings, through deeds-in-lieu of foreclosure, with an aggregate fair value at the time of acquisition of $ 151.0 million.
+Added: Additionally, the Company acquired 18 commercial properties for an aggregate purchase price of $ 58.1 million (the “2025 Property Acquisitions”), which includes $ 720,000 of external acquisition-related expenses that were capitalized.
+Added: The Company funded the 2025 Property Acquisitions with cash on hand.
During the year ended December 31, 2024, the Company acquired two commercial properties for an aggregate purchase price of $ 44.1 million (the “2024 Property Acquisitions”), which includes $ 148,000 of external acquisition-related expenses that were capitalized.
The Company funded the 2024 Property Acquisitions with proceeds from the sale of loans held-for-investment.
−Removed: During the years ended December 31, 2023 and 2022, the Company did no t acquire any properties.
−Removed: The following table summarizes the purchase price allocation for the 2024 Property Acquisitions (in thousands):
+Added: During the year ended December 31, 2023, the Company did no t acquire any properties.
+Added: The following table summarizes the purchase price allocation for the 2025 Property Acquisitions and 2024 Property Acquisitions (in thousands):
2025 Property Acquisitions
+Added: 2024 Property Acquisitions
Buildings, fixtures and improvements
Acquired in-place leases and other intangibles (1)
+Added: Acquired above-market leases (2)
+Added: Acquired below-market leases (3)
Total purchase price
____________________________________
−Removed: (1) The amortization period for acquired in-place leases and other intangibles is 20.0 years.
+Added: (1) The amortization period for acquired in-place leases and other intangibles is 7.5 years and 20.0 years, for the 2025 and 2024 Property Acquisitions, respectively.
+Added: (2) The amortization period for acquired above-market leases is 5.9 years.
+Added: (3) The amortization period for acquired below-market leases is 14.5 years.
Condominium Development Project
−Removed: During the years ended December 31, 2024 and 2023, the Company capitalized $ 16.5 million and $ 12.0 million, respectively, of expenses associated with the development of condominiums acquired via foreclosure, which is included in condominium developments in the accompanying consolidated balance sheets.
−Removed: Included in the amounts capitalized during the year ended December 31, 2023 was $ 1.0 million of capitalized interest expense.
−Removed: No capitalized interest expense was included in capitalized expenditures during the year ended December 31, 2024.
+Added: During the years ended December 31, 2025 and 2024, the Company capitalized $ 7.8 million and $ 16.5 million, respectively, of expenses associated with the development of condominiums acquired via foreclosure.
+Added: As of December 31,
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: 2025, $ 5.5 million of the capitalized expenses remain included in condominium developments in the accompanying consolidated balance sheets.
+Added: No capitalized interest expense was included in capitalized expenditures during the years ended December 31, 2025 and 2024.
Condominium Dispositions
5 unchanged sentences
2025 Property Dispositions
−Removed: During the year ended December 31, 2024, the Company disposed of seven properties, including five retail properties, one industrial property and one office property, for an aggregate gross sales price of $ 90.6 million, resulting in proceeds of $ 87.2
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: million after closing costs and a gain of $ 1.9 million.
+Added: During the year ended December 31, 2025, the Company disposed of five properties, including four retail properties and one office property, for an aggregate gross sales price of $ 107.1 million, resulting in proceeds of $ 102.7 million after closing costs and a gain of $ 1.5 million.
The Company has no continuing involvement that would preclude sale treatment with these properties.
2024 Property Dispositions
+Added: During the year ended December 31, 2024, the Company disposed of seven properties, including five retail properties, one industrial property and one office property, for an aggregate gross sales price of $ 90.6 million, resulting in proceeds of $ 87.2 million after closing costs and a gain of $ 1.9 million.
+Added: The Company has no continuing involvement that would preclude sale treatment with these properties.
+Added: 2023 Property Dispositions
On December 29, 2022, certain subsidiaries of the Company entered into an Agreement of Purchase and Sale (the “Realty Income Purchase and Sale Agreement”) with certain subsidiaries of Realty Income Corporation (NYSE:
6 unchanged sentences
The gain on sale of real estate is included in gain on disposition of real estate and condominium developments, net in the consolidated statements of operations.
−Removed: 2022 Property Dispositions
−Removed: On December 20, 2021, certain subsidiaries of the Company entered into an Agreement of Purchase and Sale, as amended (the “RTL Purchase and Sale Agreement”), with American Finance Trust, Inc.
−Removed: (subsequently RTL), American Finance Operating Partnership, L.P.
−Removed: (subsequently known as The Necessity Retail REIT Operating Partnership, L.P.) (“RTL OP”), and certain of their subsidiaries (collectively, the “Purchaser”) to sell to the Purchaser 79 shopping centers and two single-tenant properties encompassing approximately 9.5 million gross rentable square feet of commercial space across 27 states for total consideration of $ 1.32 billion (the “Purchase Price”).
−Removed: The Purchase Price included the Purchaser’s option to seek the assumption of certain existing debt, and the Purchaser’s issuance of up to $ 53.4 million in value of RTL’s Class A common stock, par value $ 0.01 per share (“RTL Common Stock”) (now GNL Common Stock;
−Removed: refer to Note 2 — Summary of Significant Accounting Policies for additional information), or Class A units in RTL OP (“RTL OP Units”), subject to certain limits described more fully in the RTL Purchase and Sale Agreement.
−Removed: During the year ended December 31, 2022, the Company disposed of 134 properties, including 69 retail properties, 56 anchored shopping centers, six industrial properties and three office buildings, and an outparcel of land for an aggregate gross sales price of $ 1.69 billion, resulting in net proceeds of $ 1.69 billion after closing costs and a gain of $ 117.8 million.
−Removed: Included in this amount of properties disposed were the two properties previously owned through the 2022 Consolidated Joint Venture.
−Removed: The sale of 81 of these properties closed pursuant to the RTL Purchase and Sale Agreement for total consideration of $ 1.33 billion, which consisted of $ 1.28 billion in cash proceeds and $ 53.4 million of RTL Common Stock, which shares were subsequently registered and are now freely tradable.
−Removed: Such shares are included in real estate-related securities in the consolidated balance sheets.
−Removed: During the year ended December 31, 2022, the Company recognized earnout income of $ 70.0 million related to the disposition of properties pursuant to the RTL Purchase and Sale Agreement, and recorded a related receivable of $ 12.2 million, which is included in prepaid expenses and other assets in the consolidated balance sheets as of December 31, 2022.
−Removed: Subsequent to December 31, 2022, the Company collected the $ 12.2 million earnout income related receivable in full.
−Removed: The Company has no continuing involvement that would preclude sale treatment with these properties.
−Removed: The gain on sale of real estate, including the earnout income, is included in gain on disposition of real estate and condominium developments, net in the consolidated statements of operations.
−Removed: During the year ended December 31, 2023, the Company received $ 5.3 million in additional earnout proceeds upon the settlement of earnout claims related to the disposition of the properties pursuant to the RTL Purchase and Sale Agreement, which is included in gain on disposition of real estate and condominium developments, net in the consolidated statements of operations.
+Added: During the year ended December 31, 2023, the Company received $ 5.3 million in additional earnout proceeds upon the settlement of earnout claims related to the disposition of the properties pursuant to an Agreement of Purchase and Sale, entered into by certain subsidiaries of the Company with The Necessity Retail REIT, Inc.
+Added: (formerly known as American Finance Trust, Inc.), and The Necessity Retail REIT Operating Partnership, L.P.
+Added: (formerly known as American Finance Operating Partnership, L.P.), and certain of their subsidiaries, dated December 20, 2021, as amended.
+Added: Both entities subsequently entered into an agreement and plan of merger with Global Net Lease, Inc., among others.
+Added: The earnout proceeds are included in gain on disposition of real estate and condominium developments, net in the consolidated statements of operations.
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 real estate assets may not be recoverable.
2 unchanged sentences
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: During the year ended December 31, 2024, ten properties totaling approximately 915,000 square feet with a carrying value of $ 183.2 million were deemed to be impaired and their carrying values were reduced to an estimated fair value of $ 131.0 million, resulting in impairment charges of $ 52.2 million, which were recorded in the consolidated statements of operations.
+Added: During the year ended December 31, 2025, four properties totaling approximately 512,000 square feet with a carrying value of $ 121.2 million were deemed to be impaired and their carrying values were reduced to an estimated fair value of $ 111.3 million, resulting in impairment charges of $ 9.9 million, which were recorded in the consolidated statements of operations.
+Added: No condominium units were deemed to be impaired during the year ended December 31, 2025.
+Added: During the year ended December 31, 2024, 10 properties totaling approximately 915,000 square feet with a carrying value of $ 183.2 million were deemed to be impaired and their carrying values were reduced to an estimated fair value of $ 131.0 million, resulting in impairment charges of $ 52.2 million, which were recorded in the consolidated statements of operations.
Additionally, during the year ended December 31, 2024, certain condominium units were deemed to be impaired and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 9.1 million, which were recorded in the consolidated statements of operations.
1 unchanged sentence
Additionally, during the year ended December 31, 2023, certain condominium units were deemed to be impaired and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 14.7 million, which were recorded in the consolidated statements of operations.
−Removed: During the year ended December 31, 2022, 23 properties totaling approximately 962,000 square feet with a carrying value of $ 140.1 million were deemed to be impaired and their carrying values were reduced to an estimated fair value of $ 123.9 million, resulting in impairment charges of $ 16.2 million, which were recorded in the consolidated statements of operations.
−Removed: Additionally, during the year ended December 31, 2022, certain condominium units were deemed to be impaired and their carrying values were reduced to their estimated fair value, resulting in impairment charges of $ 16.1 million, which were recorded in the consolidated statements of operations.
See Note 3 — Fair Value Measurements for a further discussion regarding impairment charges during the years ended December 31, 2025, 2024 and 2023.
Property Concentrations
−Removed: As of December 31, 2024, one of the Company’s tenants, CVS, accounted for 10 % of the Company’s 2024 annualized rental income across 33 properties.
−Removed: As of December 31, 2024, the Company had properties located in Ohio, which accounted for 16 % of the Company’s 2024 annualized rental income.
−Removed: In addition, the Company had tenants in the health and personal care stores, manufacturing, and sporting goods, hobby, and musical instrument retailers industries, which accounted for 15 %, 12 %, and 11 %, respectively, of the Company’s 2024 annualized rental income.
+Added: As of December 31, 2025, the Company had properties located in Virginia and Ohio, which accounted for 16 % and 12 %, respectively, of the Company’s 2025 annualized rental income.
+Added: In addition, the Company had tenants in the health and personal care stores and manufacturing industries;
+Added: each of which accounted for 13 % of the Company’s 2025 annualized rental income.
NOTE 5 — INTANGIBLE LEASE ASSETS AND LIABILITIES
3 unchanged sentences
In-place leases and other intangibles, net of accumulated amortization of $ 59,881 and $ 51,282 , respectively (with a weighted average life remaining of 11.6 years and 11.8 years, respectively)
−Removed: $ 88,698 $ 97,537
Acquired above-market leases, net of accumulated amortization of $ 5,332 and $ 3,213 , respectively (with a weighted average life remaining of 7.9 years and 10.6 years, respectively)
2 unchanged sentences
Acquired below-market leases, net of accumulated amortization of $ 7,078 and $ 6,036 , respectively (with a weighted average life remaining of 12.5 years and 11.2 years, respectively)
−Removed: $ 11,812 $ 13,354
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following table summarizes the amortization related to the intangible lease assets and liabilities for the years ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
−Removed: 2024 2023 2022
In-place lease and other intangible amortization
1 unchanged sentence
Below-market lease amortization
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
As of December 31, 2025, the estimated amortization relating to the intangible lease assets and liabilities is as follows (in thousands):
−Removed: Year Ending December 31, In-Place Leases and Other Intangibles Above-Market Leases Below-Market Leases
−Removed: 2025 $ 9,181 $ 390 $ 1,064
−Removed: 2026 8,459 372 1,064
−Removed: 2027 8,215 356 1,064
−Removed: 2028 7,508 343 1,064
−Removed: 2029 7,208 316 1,064
−Removed: Thereafter 48,127 1,670 6,492
−Removed: Total $ 88,698 $ 3,447 $ 11,812
+Added: Year Ending December 31,
+Added: In-Place Leases and Other Intangibles
+Added: Above-Market Leases
+Added: Below-Market Leases
NOTE 6 — INVESTMENT IN UNCONSOLIDATED ENTITIES
17 unchanged sentences
Loans held-for-investment - at fair value, net of deferred fees
−Removed: $ 1,093,202 $ 1,026,599
−Removed: $ 1,186,794 $ 1,043,397
Liabilities and equity:
Repurchase facilities and securitized debt, net of deferred fees
−Removed: $ 777,239 $ 761,162
Total liabilities
−Removed: $ 798,626 $ 764,297
−Removed: $ 388,168 $ 279,100
Year Ended December 31,
−Removed: 2024 2023 2022
Total revenues
−Removed: $ 93,666 $ 82,164 $ 34,992
Total expenses
−Removed: 65,261 54,164 19,515
−Removed: Total other income (expense)
−Removed: 1,002 ( 2,011 ) —
−Removed: $ 29,407 $ 25,989 $ 15,477
−Removed: On December 16, 2021, as a result of the merger with CIM Income NAV, Inc.
−Removed: (the “CIM Income NAV Merger”, the Company acquired a limited partnership interest in CIM UII Onshore, L.P.
−Removed: (“CIM UII Onshore”).
−Removed: CIM UII Onshore’s sole purpose is to invest all of its assets in CIM Urban Income Investments, L.P.
−Removed: (“CIM Urban Income”), which is a private institutional fund that acquires, owns and operates substantially stabilized, diversified real estate and real estate-related assets in urban markets primarily located throughout North America.
−Removed: During the year ended December 31, 2022, the Company recognized an equity method net gain of $ 5.2 million related to its investment in CIM UII Onshore, in the consolidated statements of operations.
−Removed: The Company recognized distributions of $ 531,000 related to its investment in CIM UII Onshore during the year ended December 31, 2022, all of which was recognized as a return on investment.
−Removed: On March 31, 2022, the Company fully redeemed its $ 60.7 million investment in CIM UII Onshore, which represented less than 5 % ownership of CIM UII Onshore and approximated fair value.
+Added: Total other (expense) income
NOTE 7 — REAL ESTATE-RELATED SECURITIES AND OTHER
−Removed: As of December 31, 2024, the Company’s real estate-related securities and other had an aggregate estimated fair value of $ 345.8 million, which included 16 CMBS investments, one CLO subordinated note, and four equity securities.
−Removed: The CMBS investments have initial maturity dates ranging from January 2025 through June 2058 and have interest rates ranging from 0.2 % to 11.7 % as of December 31, 2024, with one CMBS earning a zero coupon rate.
+Added: As of December 31, 2025, the Company’s real estate-related securities and other had an aggregate estimated fair value of $ 169.2 million, which included nine CMBS investments, one CLO subordinated note and four equity securities.
+Added: The CMBS investments have initial maturity dates ranging from March 2026 through June 2058 and have interest rates ranging from 0.2 % to 7.9 % as of December 31, 2025, with one CMBS earning a zero coupon rate.
+Added: As of December 31, 2025, two tranches of a CMBS position held by the Company did not mature as anticipated in July 2025 and were therefore in maturity default.
As of December 31, 2025, the CLO subordinated note has an initial maturity date of July 2037 and an estimated effective yield of 15.4 %.
2 unchanged sentences
Gross Unrealized
−Removed: Amortized Cost Basis Gains
−Removed: CMBS $ 480,767 $ 512 $ ( 84,460 ) $ ( 110,062 ) $ 286,757
+Added: Amortized Cost Basis
CLO subordinated note
−Removed: 29,218 — ( 2,317 ) — 26,901
Equity securities
−Removed: 58,447 — ( 26,277 ) — 32,170
Total real estate-related securities and other
−Removed: $ 568,432 $ 512 $ ( 113,054 ) $ ( 110,062 ) $ 345,828
CIM REAL ESTATE FINANCE TRUST, INC.
1 unchanged sentence
The following table provides the activity for the real estate-related securities and other during the years ended December 31, 2025 and 2024 (in thousands):
−Removed: Amortized Cost Basis Unrealized (Loss) Gain
+Added: Amortized Cost Basis
+Added: Unrealized (Loss) Gain
Real estate-related securities as of January 1, 2024
−Removed: $ 640,037 $ ( 63,646 ) $ — $ 576,391
Face value of real estate-related securities acquired
+Added: Investment in CLO subordinated note
+Added: Converted equity securities
+Added: Discount on purchase of CLO subordinated note
Discounts on purchase of real estate-related securities, net of acquisition costs
−Removed: ( 2,953 ) — — ( 2,953 )
−Removed: Amortization of discount on real estate-related securities 18,912 — — 18,912
+Added: Accretion of discount on real estate-related securities
+Added: Accretion of interest income on CLO subordinated note
Sale of real estate-related securities
−Removed: ( 116,797 ) 39,412 — ( 77,385 )
Capitalized interest income on real estate-related securities
Principal payments received on real estate-related securities (1)
−Removed: ( 60,159 ) — — ( 60,159 )
−Removed: Unrealized loss on real estate-related securities, net
−Removed: — ( 67,279 ) — ( 67,279 )
+Added: Unrealized loss on real estate-related securities and other, net
Provision for credit losses
−Removed: — — ( 35,808 ) ( 35,808 )
Real estate-related securities and other as of January 1, 2025
−Removed: 647,035 ( 91,513 ) ( 35,808 ) 519,714
Face value of real estate-related securities acquired
−Removed: Investment in CLO subordinated note 31,825 — — 31,825
−Removed: Converted equity securities
−Removed: 5,060 — — 5,060
−Removed: Discount on purchase of CLO subordinated note
−Removed: ( 4,179 ) — — ( 4,179 )
Discounts on purchase of real estate-related securities, net of acquisition costs
−Removed: ( 63 ) — — ( 63 )
Accretion of discount on real estate-related securities
−Removed: 2,417 — — 2,417
Accretion of interest income on CLO subordinated note
−Removed: 1,572 — — 1,572
Sale of real estate-related securities
−Removed: ( 34,045 ) 2,966 — ( 31,079 )
Capitalized interest income on real estate-related securities
Principal payments received on real estate-related securities (1)
−Removed: ( 107,404 ) — — ( 107,404 )
−Removed: Unrealized loss on real estate-related securities and other, net
−Removed: — ( 23,995 ) — ( 23,995 )
+Added: Proceeds from the repayment on the CLO subordinated note
+Added: Unrealized gain on real estate-related securities and other, net
+Added: Unrealized loss reclassified to CECL
Provision for credit losses
−Removed: — — ( 74,254 ) ( 74,254 )
Real estate-related securities and other as of December 31, 2025
____________________________________
−Removed: ____________________________________
−Removed: (1) Includes the repayment of the Company’s position in six CMBS instruments and two different tranches of a CMBS instrument during the years ended December 31, 2024 and 2023, respectively, prior to their stated maturity dates.
−Removed: During the year ended December 31, 2024, the Company received $ 5.1 million in equity securities through the equitization of two existing liquid corporate senior loan positions, comprised of a $ 927,000 preferred equity security and $ 4.1 million in two common equity securities, all of which are included in real estate-related securities and other on the accompanying consolidated balance sheets.
−Removed: Unrealized gains and losses on equity securities are reported on the accompanying consolidated statements of operations.
−Removed: During the year ended December 31, 2024, the Company invested $ 27.6 million in a CLO subordinated note as further described in Note 2 — Summary of Significant Accounting Policies.
−Removed: Additionally, during the year ended December 31, 2024, the Company invested $ 24.9 million in CMBS.
−Removed: During the same period, the Company sold CMBS with an aggregate amortized cost basis of $ 34.0 million, resulting in net proceeds of $ 31.1 million and a loss of $ 3.0 million, the loss of which was reclassified from other comprehensive (loss) income as an increase to other (expense) income, net in the accompanying consolidated statements of operations.
−Removed: Unrealized gains and losses on CMBS and the CLO subordinated note are recorded in other comprehensive (loss) income, with a portion of the amount subsequently reclassified into other (expense) income, net in the accompanying consolidated statements of operations as securities are sold and gains and losses are recognized.
−Removed: During the year ended December 31, 2024, the Company recorded $ 24.0 million of net unrealized loss on its real estate-related securities and other, $ 3.0 million of which was realized as a loss in the accompanying consolidated statements of operations upon the sale of CMBS as noted above.
−Removed: The remaining $ 21.0 million of net unrealized loss is comprised of a $ 2.8 million unrealized loss on CMBS and a $ 2.3 million unrealized loss on the CLO subordinated note, which are included in other comprehensive (loss) income in the accompanying consolidated statements of comprehensive (loss) income and a $ 15.9 million unrealized loss on the Company’s equity securities, which is included in unrealized (loss) gain on equity securities in the accompanying consolidated
+Added: (1) Includes the full repayment of the Company’s position in six CMBS instruments prior to their stated maturity dates during each of the years ended December 31, 2025 and 2024.
+Added: During the year ended December 31, 2025, the Company invested $ 26.7 million in CMBS.
+Added: During the same period, the Company sold CMBS with an aggregate amortized cost basis of $ 75.9 million, resulting in net proceeds of $ 75.6 million and a loss of $ 261,000 , the loss of which was reclassified from other comprehensive income (loss) as a decrease to other income (expense), net in the accompanying consolidated statements of operations.
+Added: Unrealized gains and losses on CMBS and the CLO subordinated note are recorded in other comprehensive income (loss), with a portion of the amount subsequently reclassified into other income (expense), net in the accompanying consolidated statements of operations as securities are sold and gains and losses are recognized.
+Added: During the year ended December 31, 2025, the Company recorded $ 1.3 million of net unrealized gain on its real estate-related securities and other, comprised of a $ 921,000 unrealized gain on CMBS and a $ 5.3 million unrealized loss on the CLO subordinated note, which are included in other comprehensive income (loss) in the accompanying consolidated statements of comprehensive income (loss) and a $ 5.7 million unrealized gain on the Company’s equity securities, which is included in unrealized gain (loss) on equity securities in the accompanying consolidated statements of operations.
+Added: During the year ended December 31, 2024, the Company recorded $ 24.0 million of net unrealized loss on its real estate-related securities and other, $ 3.0 million of which was realized as a loss in the accompanying consolidated statements of operations upon the sale of CMBS.
+Added: The remaining $ 21.0 million of net unrealized loss is comprised of a $ 2.8 million unrealized loss on CMBS and a $ 2.3 million unrealized loss on the CLO subordinated note, which are included in other comprehensive income (loss) in the accompanying consolidated statements of comprehensive income (loss) and a $ 15.9 million unrealized loss
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: statements of operations.
−Removed: During the year ended December 31, 2023, the Company recorded $ 67.3 million of net unrealized loss on its real estate-related securities and other, $ 39.4 million of which was realized as a loss in the accompanying consolidated statements of operations upon the sale of CMBS.
−Removed: The remaining $ 27.8 million of net unrealized loss was comprised of a $ 32.6 million unrealized loss on CMBS, which is included in other comprehensive (loss) income in the accompanying consolidated statements of comprehensive (loss) income and a $ 4.8 million unrealized gain on the Company’s equity securities, which is included in unrealized (loss) gain on equity securities in the accompanying consolidated statements of operations.
+Added: on the Company’s equity securities, which is included in unrealized gain (loss) on equity securities in the accompanying consolidated statements of operations.
The scheduled maturities of the Company’s CMBS and CLO subordinated note as of December 31, 2025 are as follows (in thousands):
−Removed: Amortized Cost Estimated Fair Value
+Added: CMBS and CLO Subordinated Note (1)
+Added: Amortized Cost
+Added: Estimated Fair Value
Due within one year
2 unchanged sentences
Due after ten years
−Removed: Total $ 509,985 $ 313,658
+Added: ____________________________________
+Added: (1) Excludes two tranches of a CMBS position held by the Company that were in maturity default as of December 31, 2025.
+Added: The CMBS had an aggregate amortized cost and estimated fair value of $ 192.8 million and $ 10.7 million, respectively, as of December 31, 2025.
Actual maturities of real estate-related securities can differ from contractual maturities because borrowers on certain corporate credit securities may have the right to prepay their respective debt obligations at any time.
In addition, factors such as prepayments and interest rates may affect the yields on such securities.
−Removed: Current Expected Credit Losses
+Added: Current Expected Credit Losses - Real Estate-Related Securities
Current expected credit losses reflect the Company’s current estimate for potential credit losses related to real estate-related securities included in the Company’s consolidated balance sheets.
1 unchanged sentence
Refer to Note 2 — Summary of Significant Accounting Policies for further discussion of the Company’s current expected credit losses.
−Removed: The following table presents the activity in the Company’s current expected credit losses related to its position in two different tranches of a CMBS instrument for the years ended December 31, 2024 and 2023 (in thousands):
+Added: The following table presents the activity in the Company’s current expected credit losses related to its positions in two different tranches of a CMBS instrument for the years ended December 31, 2025 and 2024 (in thousands):
Current expected credit losses as of January 1, 2024
3 unchanged sentences
Current expected credit losses as of December 31, 2025
−Removed: During the year ended December 31, 2023, the loan collateralizing one of the Company’s CMBS positions was transferred from the master servicer to a special servicer due to payment default generated by halted rent payments on the underlying office properties being mortgaged.
−Removed: In March 2023, the underlying collateral of the loan was appraised by the special servicer, resulting in an appraisal reduction representing approximately 44 % of one of the CMBS position’s tranches in which the Company is invested.
−Removed: Though the appraisal reduction was partially reversed during the year ended December 31, 2023, the initial appraisal reduction resulted in reduced cash flows received from the respective CMBS position during the year ended December 31, 2023.
−Removed: In addition, during the year ended December 31, 2024, the Company received notice of preliminary sales transaction activity in relation to the underlying collateral of this CMBS position, as well as an additional position in a separate tranche of this instrument, indicative of a bid below the carrying value of the investment.
+Added: During the year ended December 31, 2023, the loan collateralizing one of the Company’s CMBS positions went into payment default and was appraised by a special servicer, resulting in an appraisal reduction that reduced cash flows received from the respective CMBS position during the year ended December 31, 2023.
+Added: During the year ended December 31, 2024, the CMBS was modified to provide for an extended maturity date of July 2025 plus a six-month extension option, and to reduce the interest rate to a fixed 0.019 % per annum.
+Added: Additionally, during the year ended December 31, 2024, the Company received notice of preliminary sales transaction activity in relation to the underlying collateral of this CMBS position, as well as an additional position in a separate tranche of this instrument, indicative of a bid below the carrying value of the investment.
The Company considered various factors, including the factors noted above, in determining whether a credit loss existed.
−Removed: The present value of cash flows expected to be collected from the CMBS positions did not exceed their amortized cost basis, and as such the Company determined both tranches of the security the Company is invested in had incurred a credit loss.
−Removed: In addition, the CMBS positions were in maturity default during the year ended December 31, 2024 as they did not mature as anticipated on the initial maturity date during December 2023.
−Removed: As of December 31, 2024, the CMBS positions were no longer in maturity default as the CMBS was modified to provide for an extended maturity date of July 2025 plus a six-month extension option, as well as a permanently reduced interest rate to 0.019 % per annum.
−Removed: The Company does not intend to sell the CMBS position and it is not considered more likely than not that the Company will be forced to sell the security prior to recovering the amortized cost.
+Added: The present value of cash flows expected to be collected from the CMBS positions did not exceed their amortized cost basis.
+Added: As such, the Company determined both tranches of the security the Company is invested in had incurred a credit loss.
+Added: During the year ended December 31, 2025, the properties collateralizing the CMBS positions were re-appraised by the special servicer resulting in a further reduction to the appraisal value.
+Added: As a result, the Company concluded it is considered more likely than not that the Company will not be able to recover the amortized cost prior to disposal, resulting in a reclassification of unrealized losses previously determined to be driven by non-credit specific factors, as further discussed below.
+Added: As of December 31, 2025, the CMBS was in maturity default as it was not repaid as anticipated during July 2025 and the extension option was not exercised.
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: As a result of the credit loss incurred, the Company reclassified $ 13.6 million of unrealized loss from other comprehensive (loss) income on the consolidated statements of comprehensive (loss) income to increase in provision for credit losses on the consolidated statements of operations during the year ended December 31, 2023, and recorded an incremental $ 22.2 million to increase in provision for credit losses on the consolidated statements of operations identified as part of the Company’s quantitative credit loss assessment during the year ended December 31, 2023.
+Added: As a result of the credit loss incurred, the Company recorded a $ 1.0 million increase to the provision for credit losses on the consolidated statements of operations during the year ended December 31, 2025 and reclassified $ 71.0 million of unrealized loss previously recorded in other comprehensive income (loss) in the accompanying consolidated statements of comprehensive income (loss) to increase in provision for credit losses on the consolidated statements of operations.
During the year ended December 31, 2024, the Company recorded a $ 74.3 million increase to the provision for credit losses on the consolidated statements of operations.
1 unchanged sentence
The Company will continue to monitor for changes in expected cash flows in order to continue to measure the credit loss.
−Removed: As of December 31, 2024, the Company had six CMBS positions and one CLO subordinated note with aggregate fair values of $ 161.1 million and $ 26.9 million, respectively, with unrealized losses reflected in other comprehensive (loss) income in the accompanying consolidated statements of comprehensive (loss) income.
−Removed: Upon evaluating these securities at the individual security level, the Company concluded that the unrealized losses included in other comprehensive (loss) income as of December 31, 2024 were noncredit-related and would be recovered from the securities’ estimated future cash flows.
+Added: As of December 31, 2025, the Company had two CMBS positions and one CLO subordinated note with aggregate fair values of $ 36.9 million and $ 19.6 million, respectively, with unrealized losses reflected in other comprehensive income (loss) in the accompanying consolidated statements of comprehensive income (loss).
+Added: Upon evaluating these securities at the individual security level, the Company concluded that the unrealized losses included in other comprehensive income (loss) as of December 31, 2025 were noncredit-related and would be recovered from the securities’ estimated future cash flows.
The Company considered various factors in reaching this conclusion, including that the Company did not intend to sell the securities, it was not considered more likely than not that the Company would be forced to sell the securities prior to recovering the amortized cost, and there were no material credit events that would have caused the Company to conclude that the amortized cost would not be recovered.
3 unchanged sentences
First mortgage loans (1)
−Removed: $ 3,466,929 $ 3,648,351
Total CRE loans held-for-investment and related receivables, net
5 unchanged sentences
____________________________________
−Removed: ____________________________________
−Removed: (1) As of December 31, 2024 and 2023, first mortgage loans included $ 19.0 million and $ 20.2 million, respectively, of contiguous mezzanine loan components that, as a whole, have expected credit quality similar to that of a first mortgage loan.
+Added: (1) As of December 31, 2024, first mortgage loans included $ 19.0 million of contiguous mezzanine loan components that, as a whole, have expected credit quality similar to that of a first mortgage loan.
+Added: During the year ended December 31, 2025 the contiguous mezzanine loan was repaid in full.
The following table details overall statistics for the Company’s loans held-for-investment as of December 31, 2025 and 2024 (dollar amounts in thousands):
CRE Loans (1) (2)
−Removed: Liquid Corporate Senior Loans Corporate Senior Loans
−Removed: As of December 31, As of December 31, As of December 31,
−Removed: 2024 2023 2024 2023 2024 2023
+Added: Liquid Corporate Senior Loans
+Added: Corporate Senior Loans
+Added: As of December 31,
+Added: As of December 31,
+Added: As of December 31,
Number of loans
2 unchanged sentences
Weighted-average interest rate (3)
−Removed: 7.7 % 8.7 % 9.9 % 9.3 % 10.5 % 11.9 %
Weighted-average maximum years to maturity (4)
−Removed: 2.8 (4) 3.7 4.2 3.5 3.8
Unfunded loan commitments (5)
____________________________________
−Removed: ____________________________________
−Removed: (1) As of December 31, 2024, 95.5 % of the Company’s CRE loans by principal balance earned a floating rate of interest, indexed to the Secured Overnight Financing Rate (“SOFR”).
+Added: (1) As of December 31, 2025, 91.1 % of the Company’s CRE loans by principal balance earned a floating rate of interest primarily indexed to the Secured Overnight Financing Rate (“SOFR”).
CIM REAL ESTATE FINANCE TRUST, INC.
2 unchanged sentences
however, the loans may be repaid prior to such date.
−Removed: (3) The weighted-average interest rate is based on the relevant floating benchmark plus a spread.
+Added: (3) The weighted-average interest rate is based on the relevant fixed rate or floating benchmark plus a spread.
Excludes loans on nonaccrual status.
−Removed: (4) As of December 31, 2023, two of the Company’s first mortgage loans were in maturity default.
−Removed: During January 2024, the loans were refinanced, each with a fully extended maturity date of January 7, 2028 and are no longer in maturity default.
−Removed: Upon the closings of each refinance, the accrued default interest was waived, if any.
+Added: (4) Excludes positions in maturity default.
(5) Unfunded loan commitments are subject to the satisfaction of borrower milestones and are not reflected in the accompanying consolidated balance sheets.
1 unchanged sentence
CRE Loans (1)
−Removed: Liquid Corporate Senior Loans Corporate Senior Loans Total Loan Portfolio
+Added: Liquid Corporate Senior Loans
+Added: Corporate Senior Loans
+Added: Total Loan Portfolio
Balance, January 1, 2024
−Removed: $ 3,264,841 $ 680,345 $ 56,368 $ 4,001,554
Loan originations, acquisitions and funding
−Removed: 483,099 125,107 157,918 766,124
Sale of loans (2)
Principal repayments received
−Removed: ( 120,394 ) ( 75,389 ) ( 1,196 ) ( 196,979 )
Capitalized interest
+Added: Conversion to equity securities (3)
+Added: Charge-offs of CECL (4)
Deferred fees and other items (5)
−Removed: ( 8,273 ) ( 4,480 ) ( 3,858 ) ( 16,611 )
Accretion and amortization of fees and other items
(Provision for) reversal of credit losses (6)
−Removed: ( 88,888 ) 1,457 ( 2,823 ) ( 90,254 )
Balance, January 1, 2025
−Removed: 3,539,111 518,252 207,102 4,264,465
Loan originations, acquisitions and funding
−Removed: 162,892 66,963 80,886 310,741
Sale of loans
−Removed: — ( 467,197 ) — ( 467,197 )
Principal repayments received
−Removed: ( 356,649 ) ( 85,795 ) ( 36,795 ) ( 479,239 )
+Added: Transfer to real estate assets (7)
Capitalized interest
−Removed: Conversion to equity securities (6)
−Removed: — ( 5,060 ) — ( 5,060 )
−Removed: Write-offs charged (7)
−Removed: — ( 4,989 ) — ( 4,989 )
+Added: Charge-offs of CECL (8)
Deferred fees and other items (5)
−Removed: ( 2,174 ) ( 1,584 ) ( 2,158 ) ( 5,916 )
Accretion and amortization of fees and other items
−Removed: (Provision for) reversal of credit losses (4)
−Removed: ( 272,585 ) 13,924 ( 877 ) ( 259,538 )
+Added: Reversal of (provision for) credit losses (6)
Balance, December 31, 2025
____________________________________
−Removed: ____________________________________
−Removed: (1) Loan originations, acquisitions and funding include $ 15.6 million in protective advances while principal repayments received include $ 15.2 million of cost-recovery proceeds received on the Company’s nonaccrual first mortgage loans during the year ended December 31, 2024.
−Removed: (2) Includes the repayment of a $ 105.0 million first mortgage loan prior to the maturity date.
+Added: (1) Loan originations, acquisitions and funding include $ 4.1 million and $ 15.6 million in protective advances during the years ended December 31, 2025 and 2024, respectively, while principal repayments received include $ 3.7 million and $ 15.2 million of cost-recovery proceeds received on the Company’s nonaccrual first mortgage loans during the years ended December 31, 2025 and 2024, respectively.
+Added: (2) Includes $ 265.4 million in sales of liquid corporate senior loans to OFSI BSL XIV CLO, Ltd., as further discussed in Note 2 — Summary of Significant Accounting Policies.
+Added: (3) During the year ended December 31, 2024, two of the Company’s defaulted liquid corporate senior loans were equitized into shares of common equity and a preferred equity security.
+Added: (4) Includes a $ 2.1 million charge-off on four liquid corporate senior loans as a result of distressed restructurings of the positions, which is included in increase in provision for credit losses on the Company’s consolidated statements of operations during the year ended December 31, 2024.
(5) Other items primarily consist of purchase discounts or premiums and deferred origination expenses.
1 unchanged sentence
Such amounts are included in accrued expenses and accounts payable on the accompanying consolidated balance sheets.
−Removed: (5) Includes $ 265.4 million in sales of liquid corporate senior loans to OFSI BSL XIV CLO, Ltd., as further discussed in Note 2 — Summary of Significant Accounting Policies.
−Removed: (6) During the year ended December 31, 2024, two of the Company’s defaulted liquid corporate senior loans were equitized into shares of common equity and a preferred equity security, as further discussed in Note 7 — Real Estate-Related Securities and Other.
−Removed: (7) Includes a $ 2.1 million write-off on four liquid corporate senior loans as a result of distressed restructurings of the positions, which is included in increase in provision for credit losses on the Company’s consolidated statements of operations.
+Added: (7) During the year ended December 31, 2025, the Company took control of the assets securing two of its risk-rated 5 first mortgage loans through deeds-in-lieu of foreclosure, as further discussed in Note 4 — Real Estate Assets.
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: (8) Includes an $ 87.5 million charge-off on two first mortgage loans transferred to real estate assets and a $ 5.4 million charge-off on five liquid corporate senior loans that were disposed of during the year ended December 31, 2025.
As of December 31, 2025, the Company’s CRE loans had the following characteristics based on carrying value (dollar amounts in thousands):
1 unchanged sentence
As of December 31, 2025
−Removed: Office $ 1,779,324 51.2 %
−Removed: Multifamily 1,023,514 29.5 %
−Removed: Industrial 331,269 9.6 %
−Removed: Hospitality 137,541 4.0 %
−Removed: Mixed Use 69,786 2.0 %
−Removed: Retail 64,677 1.9 %
−Removed: Self-Storage 60,818 1.8 %
Total first mortgage loans
3 unchanged sentences
As of December 31, 2025
−Removed: South $ 1,350,617 38.9 %
−Removed: West 1,009,262 29.1 %
−Removed: East 795,688 23.0 %
−Removed: Various 311,362 9.0 %
Total first mortgage loans
1 unchanged sentence
Total first mortgage loans, net
−Removed: Current Expected Credit Losses
+Added: Current Expected Credit Losses - Loans Held-For-Investment
Current expected credit losses reflect the Company’s current estimate of potential credit losses related to loans held-for-investment included in the Company’s consolidated balance sheets.
Refer to Note 2 — Summary of Significant Accounting Policies for further discussion of the Company’s current expected credit losses.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following table presents the activity in the Company’s current expected credit losses related to loans held-for-investment by loan type for the year ended December 31, 2025 and 2024 (in thousands):
−Removed: First Mortgage Loans Unfunded First Mortgage Loans (1)
−Removed: Liquid Corporate Senior Loans Unfunded or Unsettled Liquid Corporate Senior Loans (1)
−Removed: Corporate Senior Loans Unfunded Corporate Senior Loans (1)
+Added: First Mortgage Loans
+Added: Unfunded First Mortgage Loans (1)
+Added: Liquid Corporate Senior Loans
+Added: Unfunded or Unsettled Liquid Corporate Senior Loans (1)
+Added: Corporate Senior Loans
+Added: Unfunded Corporate Senior Loans (1)
Current expected credit losses as of December 31, 2023
−Removed: $ 20,352 $ 1,890 $ 21,195 $ 377 $ 797 $ 66 $ 44,677
Provision for (reversal of) credit losses
−Removed: 88,888 8,172 ( 1,457 ) ( 374 ) 2,823 429 98,481
+Added: Charge-offs of CECL
Current expected credit losses as of December 31, 2024
−Removed: 109,240 10,062 19,738 3 3,620 495 143,158
−Removed: Provision for (reversal of) credit losses 272,585 3,855 ( 8,935 ) ( 3 ) 877 182 268,561
+Added: (Reversal of) provision for credit losses
Charge-offs of CECL
−Removed: — — ( 4,989 ) — — — ( 4,989 )
Current expected credit losses as of December 31, 2025
____________________________________
−Removed: ____________________________________
(1) Current expected losses for unfunded or unsettled loan commitments are included in accrued expenses and accounts payable on the accompanying consolidated balance sheets.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: Changes to current expected credit losses are recognized through net (loss) income on the Company’s consolidated statements of operations.
−Removed: During the year ended December 31, 2024, the Company recorded a net increase of $ 263.6 million in the current expected credit loss reserve against the loans held-for-investment portfolio, bringing the total current expected credit loss reserve on funded and unfunded commitments to $ 406.7 million.
−Removed: The increase was primarily driven by seven collateral dependent, risk-rated 5 first mortgage loans, all of which are collateralized by office properties.
−Removed: During the year ended December 31, 2023, the Company recorded a net increase of $ 98.5 million in the current expected credit loss reserve against the loans held-for-investment portfolio, bringing the total current expected credit loss reserve on funded and unfunded commitments to $ 143.2 million.
+Added: Changes to current expected credit losses are recognized through net income (loss) on the Company’s consolidated statements of operations.
+Added: During the year ended December 31, 2025, the Company recorded a net decrease of $ 89.9 million in the current expected credit loss reserve against the loans held-for-investment portfolio, bringing the total current expected credit loss reserve on funded and unfunded commitments to $ 316.8 million.
+Added: The net decrease in the current expected credit loss reserve was primarily driven by the combined $ 87.5 million charge-off on the two first mortgage loans transferred to real estate assets, as noted above.
The current expected credit loss reserve reflects certain loans assessed for impairment as well as macroeconomic and current portfolio conditions.
−Removed: As of December 31, 2024, the Company had three collateral dependent risk-rated 5 first mortgage loan investments on nonaccrual status:
−Removed: (i) a $ 135.0 million commercial first mortgage loan on an office building in Massachusetts primarily due to a decrease in rent collection, reduced leasing activity, stabilization costs required, and past due interest payments during the year ended December 31, 2024;
−Removed: (ii) a $ 125.5 million commercial first mortgage loan on an office building in Virginia primarily due to slower than anticipated leasing activity driven by COVID-accelerated office trends, decreased in-place occupancy, and past due interest payments during the year ended December 31, 2024;
−Removed: and (iii) a $ 113.3 million commercial first mortgage loan on an office building in California primarily due to being past due on its interest payments during the year ended December 31, 2024.
−Removed: During the year ended December 31, 2024, the Company recognized $ 960,000 , $ 982,000 , and $ 7.8 million, respectively, of interest income on each of the first mortgage loans prior to payment default.
−Removed: No interest income was received as of December 31, 2024 on the risk-rated 5 first mortgage loans on nonaccrual status as of December 31, 2024 following payment default.
−Removed: As of December 31, 2024, two of the risk-rated 5 first mortgage loans noted above were more than 90 days past due on their interest payments and one of the risk-rated 5 mortgage loans was less than 90 days past due on its interest payments.
−Removed: Future interest collections related to these loans will be accounted for on a cash basis when received as interest income or as a reduction to the amortized cost basis, based on specific facts and circumstances at the time of payment.
−Removed: Subsequent to December 31, 2024, the Company completed foreclosure proceedings to take control of the assets securing two of these risk-rated 5 first mortgage loans, and resumed accrual on the third risk-rated 5 first mortgage loan upon executing a loan modification and the loan becoming contractually current on its interest payments, as further discussed in Note 19 — Subsequent Events.
−Removed: In addition, during the year ended December 31, 2024, accrual was resumed on one of the Company’s first mortgage loans previously on nonaccrual status, and it resumed anticipated interest payments and repaid outstanding overdue interest in accordance with the loan modification discussed below.
+Added: As of December 31, 2025, the Company did not have any first mortgage loan investments on nonaccrual status.
As of December 31, 2025 and 2024, the Company’s asset-specific credit loss reserve totaled $ 239.8 million and $ 330.2 million, respectively, on funded and unfunded commitments, which related to the Company’s risk-rated 5 first mortgage loans and liquid corporate senior loans.
−Removed: The asset-specific credit loss reserve is recorded based on the Company’s estimation of the fair value of each loan’s underlying collateral, less costs to sell the underlying collateral where applicable, as of December 31, 2024.
+Added: The asset-specific credit loss reserve is recorded based on the Company’s estimation of the fair value of each loan’s underlying collateral, reduced by certain adjustments such as estimated costs to sell the underlying collateral where applicable, as of December 31, 2025.
+Added: Refer to Note 3 — Fair Value Measurements for further discussion of the asset-specific credit loss reserve for first mortgage loans.
As further described in Note 2 — Summary of Significant Accounting Policies, the Company evaluates its loans held-for-investment portfolio on a quarterly basis.
2 unchanged sentences
Loans are rated “1” (less risk) through “5” (greater risk), which ratings are defined in Note 2 — Summary of Significant Accounting Policies.
−Removed: The Company’s primary credit quality indicator is its risk ratings, which are further discussed above.
−Removed: The following table presents the net book value of the Company’s loans held-for-investment portfolio as of December 31, 2024 by year of
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: origination, loan type, and risk rating (dollar amounts in thousands):
+Added: The Company’s primary credit quality indicator is its risk ratings, which are further discussed above.
+Added: The following table presents the net book value of the Company’s loans held-for-investment portfolio as of December 31, 2025 by year of origination, loan type, and risk rating (dollar amounts in thousands):
Amortized Cost of Loans Held-For-Investment by Year of Origination (1)
As of December 31, 2025
−Removed: Number of Loans 2024 2023 2022 2021 2020 Prior
+Added: Number of Loans
First mortgage loans by internal risk rating:
−Removed: 1 — $ — $ — $ — $ — $ — $ — $ —
−Removed: 2 — — — — — — — —
−Removed: 3 18 77,193 390,377 599,958 586,438 70,904 — 1,724,870
−Removed: 4 8 102,170 — 254,148 337,240 — — 693,558
−Removed: 5 7 — — 467,225 528,147 — 53,129 1,048,501
Total first mortgage loans
Liquid corporate senior loans by internal risk rating:
−Removed: 1 — — — — — — — —
−Removed: 2 — — — — — — — —
−Removed: 3 5 3,510 2,902 13,577 3,279 — — 23,268
−Removed: 4 5 6,057 — — 3,016 — — 9,073
−Removed: 5 385 1,120 — 7,621 — — 9,126
Total liquid corporate senior loans
Corporate senior loans by internal risk rating:
−Removed: 1 — — — — — — — —
−Removed: 2 — — — — — — — —
−Removed: 3 17 123,453 63,521 28,971 — — — 215,945
−Removed: 4 3 — 11,425 27,247 — — — 38,672
−Removed: 5 — — — — — — — —
Total corporate senior loans
4 unchanged sentences
____________________________________
−Removed: ____________________________________
(1) Date loan was originated or acquired by the Company.
Origination dates are subsequently updated to reflect material loan modifications.
−Removed: (2) As of December 31, 2024, four of the Company’s risk-rated 5 liquid corporate senior loan investments were on nonaccrual status with an aggregate carrying value of $ 6.4 million, which represented less than 1.0 % of the carrying value of the Company’s loans held-for-investment portfolio.
−Removed: Additionally, one of the Company’s risk-rated 5 liquid corporate senior loan investments was downgraded from a risk-rating of 4 during the quarter ended December 31, 2024 due to significant decreases in revenue driving increased risk of default and principal loss.
+Added: (2) As of December 31, 2025, three of the Company’s liquid corporate senior loan investments were on nonaccrual status with an aggregate carrying value of $ 6.0 million, which represented less than 1.0 % of the carrying value of the Company’s loans held-for-investment portfolio.
(3) Weighted average risk rating calculated based on carrying value at period end.
8 unchanged sentences
Loan modifications that allow for the option to pay interest in-kind (“PIK”) result in the interest being capitalized and added to the outstanding principal balance of the respective loan.
−Removed: During the year ended December 31, 2024, the Company entered into five loan modifications that require disclosure pursuant to ASC 326.
−Removed: During the year ended December 31, 2024, the Company modified a first mortgage loan collateralized by an office property.
−Removed: As of December 31, 2024, the loan had a carrying value of $ 277.1 million, representing approximately 8.0 % of the Company’s first mortgage loans and was risk-rated 5.
−Removed: The loan modification provided for the borrower to exercise the remaining extension options and for the accrual of PIK interest for any portion of interest exceeding a fixed 6.25 % interest rate.
+Added: During the year ended December 31, 2025, the Company entered into four loan modifications that require disclosure pursuant to ASC 326.
+Added: During the year ended December 31, 2025, the Company modified a first mortgage loan collateralized by an office property into two distinct mortgage loans with a principal balance of $ 78.2 million (“Note A”) and $ 52.9 million (“Note B”).
+Added: As of December 31, 2025, the loans had an aggregate carrying value of $ 130.8 million, representing approximately 3.9 % of the Company’s first mortgage loans and were risk-rated 5.
+Added: The loan modification extended the initial maturity date from January 7, 2025 to February 7, 2029, with two one-year extension options and allows for future funding advances up to an aggregate amount of $ 14.5 million.
+Added: In addition, the variable interest rate on Note A was modified from 2.90 % plus Term SOFR (as defined in the applicable loan documents) to a fixed interest rate of 5.0 % through February 7, 2026, then 6.0 % through the initial maturity date and allows for the accrual of PIK interest for any portion of the interest unable to be paid on a monthly basis due to insufficient cash flow.
+Added: Note B is not subject to any interest payments, provided no event of default occurs as defined in the loan agreement.
+Added: The Company received a $ 12.0 million repayment in connection with the loan modification.
+Added: During the year ended December 31, 2025, interest accrual was resumed on Note A, after previously being on nonaccrual status.
The borrower elected to PIK $ 1.7 million of interest during the year ended December 31, 2025.
−Removed: The Company modified a first mortgage loan collateralized by four office properties during the year ended December 31, 2024.
−Removed: As of December 31, 2024, the loan had a carrying value of $ 53.1 million, representing approximately 1.5 % of the Company’s first mortgage loans and was risk-rated 5.
−Removed: The loan modification extended the maturity date from February 1, 2025 to April 1, 2027, with no extension options.
The Company modified a first mortgage loan collateralized by an office property during the year ended December 31, 2025.
As of December 31, 2025, the loan had a carrying value of $ 169.5 million, representing approximately 5.0 % of the Company’s first mortgage loans and was risk rated 4.
−Removed: The loan modification extended the maturity date from July 7, 2026 to July 7, 2029, with no extension options, exempted $ 20.0 million of the principal balance from accruing interest, modified the variable interest rate from 3.55 % plus Term SOFR to a fixed interest rate of 6.25 %, and allowed for the accrual of PIK interest for 2.25 % of the fixed interest rate.
−Removed: The borrower elected to PIK $ 2.8 million of interest during the year ended December 31, 2024.
−Removed: The Company modified a first mortgage loan collateralized by a multifamily property during the year ended December 31, 2024.
−Removed: As of December 31, 2024, the loan had a carrying value of $ 97.8 million, representing approximately 2.8 % of the Company’s first mortgage loans and was risk-rated 3.
−Removed: The loan modification extended the maturity date from October 7, 2025 to October 7, 2028, with two extension options.
−Removed: During the year ended December 31, 2024, the Company modified a first mortgage loan collateralized by an office property.
+Added: The loan modification extended the initial maturity date from February 7, 2025, with two one-year extension options, to February 7, 2028, with one one-year extension option.
+Added: The Company received a $ 10.0 million repayment in connection with the loan modification.
+Added: The Company modified a first mortgage loan and a contiguous mezzanine loan with principal balances of $ 57.2 million and $ 19.1 million, respectively, collateralized by two multifamily properties during the year ended December 31, 2025.
+Added: The loan modifications increased the minimum strike rate for the interest rate protection from 3.0 % to 4.5 % for each respective loan.
+Added: In addition, during the year ended December 31, 2024, the borrower exercised a one-year extension option with a new maturity date of December 16, 2025 and paid down $ 4.7 million.
+Added: As of December 31, 2025, the first mortgage loan and contiguous mezzanine loan were repaid in full.
+Added: The Company modified a corporate senior loan during the year ended December 31, 2025.
+Added: As of December 31, 2025, the loan had a carrying value of $ 19.4 million, representing approximately 5.3 % of the Company’s corporate senior loans and was risk-rated 4.
+Added: The loan modification requires the accrual of additional PIK interest at a rate of 0.5 % per annum, commencing on July 1, 2025 through December 31, 2025.
+Added: PIK interest will continue to accrue from January 1, 2026 until the leverage ratio falls below the defined threshold specified in the credit agreement.
+Added: The Company received a $ 1.0 million repayment in connection with the loan modification and recognized $ 51,000 of PIK during the year ended December 31, 2025.
+Added: Other Modifications
+Added: While not required to be disclosed pursuant to ASU 2022-02 because the financial difficulty criteria was not met, the Company modified and restructured a first mortgage loan collateralized by a multifamily property during the year ended December 31, 2025.
As of December 31, 2025, the loan had a carrying value of $ 54.6 million, representing approximately 1.6 % of the Company’s first mortgage loans and was risk rated 3.
−Removed: The loan modification allowed for the accrual of PIK interest for any portion of interest exceeding the payable interest of 1.0 % plus Term SOFR.
−Removed: The borrower elected to PIK $ 2.4 million of interest during the year ended December 31, 2024.
−Removed: These modified loans are performing in accordance with their respective contractual terms as of December 31, 2024.
−Removed: As of December 31, 2024, four of these loans are risk-rated 5 as a result of the increased risk of potential principal loss and as collateral performance was deemed to be worse than underwriting.
−Removed: As such, the Company had an asset-specific credit loss reserve recorded for each of these risk-rated 5 modified first mortgage loans as of December 31, 2024.
+Added: The loan modification restructured the loan amount from $ 72.0 million to $ 55.0 million, extended the initial maturity date from February 6, 2026 with one one-year extension option to March 6, 2028 with two one-year extension options, and modified the variable interest rate from 3.20 % plus Term SOFR to 2.85 % plus Term SOFR.
+Added: The Company received a $ 15.9 million repayment in connection with the loan modification.
+Added: The loan modification was accounted for as a new loan for GAAP purposes.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 9 — DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
6 unchanged sentences
The Company had interest rate caps which were used to manage exposure to interest rate movements, but did not meet the requirements to be designated as a hedging instrument.
−Removed: The change in fair value of the derivative instruments that are not designated as hedges is recorded directly to earnings in other (expense) income, net on the accompanying
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: consolidated statements of operations.
+Added: The change in fair value of the derivative instruments that are not designated as hedges is recorded directly to earnings in other income (expense), net on the accompanying consolidated statements of operations.
Interest rate swaps are designated as cash flow hedges in order to hedge the variability of the anticipated cash flows on the Company’s variable rate debt.
−Removed: The change in fair value of the derivative instruments designated as hedges is recorded in other comprehensive (loss) income, with a portion of the amount subsequently reclassified to interest expense as interest payments are made on the Company’s variable rate debt.
−Removed: For the years ended December 31, 2024 and 2023, no amounts were reclassified from other comprehensive (loss) income as a change to interest expense.
−Removed: For the year ended December 31, 2022, the amount of gain reclassified from other comprehensive (loss) income as a decrease to interest expense was $ 2.5 million.
−Removed: No unrealized amounts on interest rate swaps were remaining in other comprehensive (loss) income as of December 31, 2024, 2023 and 2022.
+Added: The change in fair value of the derivative instruments designated as hedges is recorded in other comprehensive income (loss), with a portion of the amount subsequently reclassified to interest expense as interest payments are made on the Company’s variable rate debt.
+Added: For the years ended December 31, 2025, 2024 and 2023, no amounts were reclassified from other comprehensive income (loss) as a change to interest expense.
+Added: No unrealized amounts on interest rate swaps were remaining in other comprehensive income (loss) as of December 31, 2025, 2024 and 2023 .
The Company includes cash flows from interest rate swap agreements in net cash flows provided by operating activities on its consolidated statements of cash flows, as the Company’s accounting policy is to present cash flows from hedging instruments in the same category in its consolidated statements of cash flows as the category for cash flows from the hedged items.
10 unchanged sentences
During the Year Ended December 31, 2025
−Removed: Balance as of December 31, 2023 Debt Issuances & Assumptions (1)
+Added: Balance as of December 31, 2024
+Added: Debt Issuances & Assumptions (1)
Repayments & Modifications
−Removed: Amortization Balance as of December 31, 2024
+Added: Balance as of December 31, 2025
Notes payable – variable rate debt
2 unchanged sentences
Repurchase facilities
−Removed: Total debt 3,939,125 169,098 ( 925,609 ) — 3,182,614
Deferred costs – variable rate debt
2 unchanged sentences
____________________________________
−Removed: (1) Includes deferred financing costs incurred during the period.
−Removed: For more information regarding the Company’s debt activity during the year ended December 31, 2023, see Notes to Consolidated Financial Statements of the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.
−Removed: Notes Payable
−Removed: As of December 31, 2024, the Company had $ 606.5 million of variable rate debt outstanding, the borrowings of which are financed through note on note financing arrangements with Massachusetts Mutual Life Insurance Company (the “Mass Mutual Financing”), Citibank, N.A.
−Removed: (“Citibank” and such financing, the “Citibank Financing”), and Barclays (the “Barclays Financing”) to provide financing for the Company’s CRE mortgage loans (the “Note on Note Financing Arrangements”).
+Added: (1) Includes deferred financing costs incurred during the period, if any.
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: For more information regarding the Company’s debt activity during the year ended December 31, 2024, see Notes to Consolidated Financial Statements of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
+Added: Notes Payable
+Added: As of December 31, 2025, the Company had $ 378.8 million of variable rate debt outstanding, the borrowings of which are financed through note on note financing arrangements with Massachusetts Mutual Life Insurance Company (“Mass Mutual” and such financing, the “Mass Mutual Financing”), Citibank, N.A.
+Added: (“Citibank” and such financing, the “Citibank Financing”), and Barclays Bank PLC (“Barclays” and such financing, the “Barclays Financing”) to provide financing for the Company’s CRE mortgage loans (the “Note on Note Financing Arrangements”).
The following table is a summary of the Note on Note Financing Arrangements as of December 31, 2025 (dollar amounts in thousands):
6 unchanged sentences
Amount Financed
−Removed: 6/16/2023 8/9/2025 2 / 1 yr.
____________________________________
−Removed: 10/20/2023 8/9/2025 2 / 1 yr.
−Removed: 5.7 % 162,770 122,078
−Removed: Mass Mutual 3/16/2022 (3)
−Removed: N/A 6.6 % 550,086 415,526
−Removed: Total $ 804,654 $ 606,452
−Removed: ____________________________________
(1) Represents the number of extension options remaining and the term of each option.
1 unchanged sentence
(2) Note on Note Financing Arrangement is held through CLR.
−Removed: (3) Borrowings under the Mass Mutual Financing mature on various dates from July 2027 through January 2028.
+Added: (3) Borrowings under the Mass Mutual Financing mature on various dates from October 2027 through January 2028.
ABS Mortgage Notes
On July 28, 2021, the Company issued $ 774.0 million aggregate principal amount of asset backed securities (“ABS”) mortgage notes, Series 2021-1 (the “Class A Notes”) in six classes, as shown below:
−Removed: Class of Notes Initial Principal Balance Principal Balance as of December 31, 2024
−Removed: Note Rate Anticipated Repayment Date Rated Final Payment Date Credit Rating (1)
−Removed: A-1 (AAA) $ 146,400,000 $ 140,208,000 2.09 % July 2028 July 2051 AAA (sf)
−Removed: A-2 (AAA) 219,600,000 210,312,000 2.57 % July 2031 July 2051 AAA (sf)
−Removed: A-3 (AA) 39,200,000 39,200,000 2.51 % July 2028 July 2051 AA (sf)
−Removed: A-4 (AA) 58,800,000 58,800,000 3.04 % July 2031 July 2051 AA (sf)
−Removed: A-5 (A) 124,000,000 124,000,000 2.91 % July 2028 July 2051 A (sf)
−Removed: A-6 (A) 186,000,000 186,000,000 3.44 % July 2031 July 2051 A (sf)
−Removed: $ 774,000,000 $ 758,520,000
+Added: Class of Notes
+Added: Initial Principal Balance
+Added: Principal Balance as of December 31, 2025
+Added: Anticipated Repayment Date
+Added: Rated Final Payment Date
+Added: Credit Rating (1)
____________________________________
6 unchanged sentences
As of December 31, 2025, CMFT CL Lending Sub AB, LLC (the “Borrower”), an indirect wholly owned subsidiary of the Company, had a revolving loan and security agreement (the “Loan and Security Agreement”) with each of the lenders from time to time party thereto (the “Lenders”), Ally Bank as administrative agent and arranger (“Ally Bank”), U.S.
−Removed: Bank Trust Company, National Association, as the collateral custodian, and U.S.
−Removed: Bank National Association as the document custodian, which provides for borrowings in an aggregate principal amount up to $ 300.0 million (the “Loan Facility”), which may be increased during the revolving period (as defined below) to an aggregate principal amount up to $ 500.0 million as agreed to by the Borrower, any applicable Lender and Ally Bank.
−Removed: Borrowings under the Loan and Security Agreement will bear interest equal to SOFR for the relevant interest period, plus an applicable rate.
−Removed: The applicable rate is 2.875 % per annum (and an additional 2.00 % per annum following an event of default under the Loan and Security Agreement).
−Removed: The revolving period began on February 10, 2023 and concludes on the day preceding the earlier to occur of (i) the scheduled revolving period end date of February 10, 2026, (ii) the date of the declaration of the revolving period end date upon the occurrence and continuation of an event of default, and (iii) the termination date.
−Removed: The termination date is the earlier to occur of (i) February 10, 2028 (two years after the revolving period end date) and (ii) the date of the declaration of the termination date or the date of the automatic occurrence of the termination date upon the occurrence
+Added: Bank Trust Company, National Association, as the collateral custodian (the “Collateral Custodian”), and U.S.
+Added: Bank National Association as
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: and continuation of an event of default.
+Added: the document custodian, which provides for borrowings in an aggregate principal amount up to $ 300.0 million (the “Loan Facility”), which may be increased during the revolving period (as defined below) to an aggregate principal amount up to $ 500.0 million as agreed to by the Borrower, any applicable Lender and Ally Bank.
+Added: As of December 31, 2025, borrowings under the Loan and Security Agreement bore interest equal to SOFR for the relevant interest period, plus an applicable rate.
+Added: The applicable rate was 2.875 % per annum (and an additional 2.00 % per annum following an event of default under the Loan and Security Agreement).
+Added: The revolving period began on February 10, 2023, and as of December 31, 2025, concluded on the day preceding the earlier to occur of (i) the scheduled revolving period end date of February 10, 2026, (ii) the date of the declaration of the revolving period end date upon the occurrence and continuation of an event of default, and (iii) the termination date.
+Added: The termination date was the earlier to occur of (i) February 10, 2028 (two years after the revolving period end date) and (ii) the date of the declaration of the termination date or the date of the automatic occurrence of the termination date upon the occurrence and continuation of an event of default.
As of December 31, 2025, the amounts borrowed and outstanding under the Loan Facility totaled $ 175.0 million at a weighted average interest rate of 6.5 %.
+Added: Subsequent to December 31, 2025, on February 6, 2026, the Borrower entered into an amendment to the Loan and Security Agreement with the Lenders, Ally Bank and the Collateral Custodian, as described in further detail in Note 19 — Subsequent Events.
CMFT Corporate Credit Securities, LLC, an indirect wholly-owned, bankruptcy-remote subsidiary of the Company, has a revolving credit and security agreement (the “Fourth Amended Credit and Security Agreement”) with the lenders from time to time parties thereto, Citibank, as administrative agent, CMFT Securities, as equityholder and as collateral manager, Citibank (acting through its Agency & Trust division), as both a collateral agent and as a collateral custodian, and Virtus Group, LP, as collateral administrator.
11 unchanged sentences
Repurchase Facilities
−Removed: As of December 31, 2024, indirectly owned subsidiaries of the Company (collectively, the “CMFT Lending Subs”), had Master Repurchase Agreements with Citibank, Barclays, Wells Fargo Bank, N.A.
+Added: As of December 31, 2025, indirectly owned subsidiaries of the Company (individually, a “Lending Sub”, and collectively, the “Lending Subs”), had Master Repurchase Agreements with Citibank, Barclays, Wells Fargo Bank, N.A.
(“Wells Fargo”), Deutsche Bank AG (“Deutsche Bank”), and J.P.
1 unchanged sentence
Morgan”) (collectively, the “Repurchase Agreements”) to provide financing primarily through each bank’s purchase of the Company’s CRE mortgage loans and CMBS and future funding advances (the “Repurchase Facilities”).
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following table is a summary of the Repurchase Facilities as of December 31, 2025 (dollar amounts in thousands):
−Removed: Repurchase Facility Date of Agreement Maturity Date
+Added: Repurchase Facility
+Added: Date of Agreement
+Added: Maturity Date
Remaining Extension Options (1)
Maximum Facility Size
−Removed: Weighted Average Interest Rate Loans Financed under Repurchase Facility (2)
+Added: Weighted Average Interest Rate
+Added: Loans Financed under Repurchase Facility (2)
Amount Financed
−Removed: Citibank 6/4/2020 8/16/2025 1 / 1 yr.
−Removed: $ 70,485 6.5 % (3)
−Removed: $ 190,876 $ 47,814
−Removed: 12/19/2023 12/19/2025 3 / 1 yr.
−Removed: 579,515 6.2 % (3)
−Removed: 334,889 253,454
−Removed: 9/21/2020 9/22/2025 2 / 1 yr.
−Removed: 558,947 6.2 % (3)
−Removed: 865,735 420,246
−Removed: 12/4/2023 12/4/2026 2 / 1 yr.
−Removed: 691,053 6.3 % (3)
−Removed: 257,833 187,893
−Removed: Wells Fargo 5/20/2021 8/30/2025 2 / 1 yr.
−Removed: 750,000 6.2 % (3)
−Removed: 726,059 512,004
+Added: Wells Fargo (4)
Deutsche Bank (4)
−Removed: 10/8/2021 10/8/2025 2 / 1 yr.
__________________________________
−Removed: 234,619 167,701
−Removed: 208,414 104,030
−Removed: Total $ 2,950,000 $ 2,818,425 $ 1,693,142
−Removed: __________________________________
(1) Represents the number of extension options remaining and the term of each option.
Such extension options are subject to certain conditions as set forth within each respective Repurchase Agreement.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
(2) CRE mortgage loan balances financed under the Repurchase Facilities with Citibank, Barclays, Wells Fargo and Deutsche Bank reflect the aggregate outstanding principal balance while the CMBS balance financed under the J.P.
Morgan Repurchase Facility (as defined below) reflects fair value.
−Removed: (3) Advances under the Repurchase Agreements accrue interest at per annum rates based on Term SOFR (as such term is defined in the applicable Repurchase Agreement) or the daily compounded SOFR plus a spread ranging from 1.30 % to 3.00 % to be determined on a case-by-case basis between Citibank, Barclays, Wells Fargo or Deutsche Bank and the CMFT Lending Subs.
+Added: (3) Advances under the Repurchase Agreements accrue interest at per annum rates based on Term SOFR (as such term is defined in the applicable Repurchase Agreement) or the daily compounded SOFR plus a spread ranging from 1.30 % to 3.00 % to be determined on a case-by-case basis between Citibank, Barclays, Wells Fargo or Deutsche Bank and the Lending Subs.
(4) Repurchase facility is held through CLR.
+Added: (5) Subsequent to December 31, 2025, the maximum facility size on the repurchase facilities held with Wells Fargo were amended, as described in further detail in Note 19 — Subsequent Events.
(6) Facilities under the repurchase facility with J.P.
6 unchanged sentences
The Repurchase Agreements provide for agreements by each of Citibank, Barclays, Wells Fargo, Deutsche Bank and J.P.
−Removed: Morgan to re-sell such purchased CRE mortgage loans and CMBS back to CMFT Lending Subs at a certain future date or upon demand.
−Removed: In connection with certain of the Repurchase Agreements, the Company (as the guarantor) entered into guaranties with Citibank, Barclays, Wells Fargo, and Deutsche Bank (the “Initial Guaranties”), under which the Company agreed to guarantee up to 25 % of the CMFT Lending Subs’ obligations under certain Repurchase Agreements.
−Removed: In addition, in connection with certain of the Repurchase Agreements, the Company (as the “Initial Guarantor”) and certain of the CMFT Lending Subs (individually as a “Replacement Guarantor”, collectively as the “Replacement Guarantors” and together with the Initial Guarantor, the “Guarantors”) entered into or amended guaranties with Citibank, Barclays and Deutsche Bank during the year ended December 31, 2023 (the “2023 Guaranties”, and together with the Initial Guaranties, the “Guaranties”), on a joint and several basis until the satisfaction of certain conditions as set forth in the guaranties, at which point the Replacement Guarantor will become the sole guarantor under the guaranty (the “Guarantor Replacement Event”).
−Removed: Under the 2023 Guaranties, the Initial Guarantor and the Replacement Guarantors agreed to guarantee the respective CMFT Lending Subs’ obligations under the applicable Repurchase Agreements.
+Added: Morgan to re-sell such purchased CRE mortgage loans and CMBS back to Lending Subs at a certain future date or upon demand.
+Added: In connection with certain of the Repurchase Agreements, the Company (as the guarantor) entered into guaranties with Citibank, Barclays, Wells Fargo, and Deutsche Bank (the “Initial Guaranties”), under which the Company agreed to guarantee up to 25 % of the obligations of the applicable Lending Sub under certain Repurchase Agreements.
+Added: In addition, in connection with certain of the Repurchase Agreements, the Company (as the “Initial Guarantor”) and CLR (as a “Replacement Guarantor” and together with the Initial Guarantor, the “Guarantors”) entered into or amended guaranties with Citibank, Barclays and Deutsche Bank during the year ended December 31, 2023 (the “2023 Guaranties”, and together with the Initial Guaranties, the “Guaranties”), on a joint and several basis until the satisfaction of certain conditions as set forth in the guaranties, at which point the Replacement Guarantor will become the sole guarantor under the guaranty (the “Guarantor Replacement Event”).
+Added: Under the 2023 Guaranties, the Initial Guarantor and the Replacement Guarantors agreed to guarantee the respective Lending Subs’ obligations under the applicable Repurchase Agreements.
+Added: Additionally, during the year ended December 31, 2025, in connection with the J.P.
+Added: Morgan Repurchase Facility and the Wells Fargo Repurchase Facility, the Company and CLR (as the guarantors) entered into a guaranty with each of J.P.
+Added: Morgan and Wells Fargo, under which the Company and CLR agreed to guarantee the obligations of the Lending Sub under the Repurchase Agreements with J.P.
+Added: Morgan and Wells Fargo on a joint and several basis until the Company is permitted to be removed as a guarantor upon the satisfaction of certain conditions set forth in the guaranty, leaving CLR as the sole guarantor under the guaranties with J.P.
+Added: Morgan and Wells Fargo.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The Repurchase Agreements and the Guaranties contain representations, warranties, covenants, conditions precedent to funding, events of default and indemnities that are customary for agreements of these types.
5 unchanged sentences
The Company believes it was in compliance with the financial covenants under the Repurchase Agreements as of December 31, 2025.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Liquidity and Financial Condition — The Company has $ 1.7 billion of debt maturing within the next 12 months following the date these financial statements are issued.
2 unchanged sentences
The following table summarizes the scheduled aggregate principal repayments for the Company’s outstanding debt subsequent to December 31, 2025 (in thousands):
−Removed: Year Ending December 31, Principal Repayments
−Removed: 2025 $ 1,696,175
−Removed: Thereafter 455,112
−Removed: Total $ 3,182,614
+Added: Year Ending December 31,
+Added: Principal Repayments
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 11 — SUPPLEMENTAL CASH FLOW DISCLOSURES
1 unchanged sentence
Year Ended December 31,
−Removed: 2024 2023 2022
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
2 unchanged sentences
Construction reserve allocation
−Removed: Mortgage note payable assumed by buyer in connection with disposition of real estate assets $ — $ — $ ( 356,477 )
−Removed: Equity security received in connection with disposition of real estate assets $ — $ — $ ( 53,388 )
+Added: Real estate acquired via deed-in-lieu of foreclosure
+Added: Assumption of other assets and liabilities related to real estate acquired via deed-in-lieu of foreclosure
+Added: Transfer of loans held-for-investment to real estate acquired via deed-in-lieu of foreclosure
Accrued deferred financing costs
Common stock issued through distribution reinvestment plan
−Removed: Change in fair value of derivative instruments $ — $ — $ 2,252
Change in fair value of real estate-related securities
−Removed: Conversion of preferred units to loans held-for-investment $ — $ — $ 68,242
Conversion of loan held-for-investment to equity securities
5 unchanged sentences
The Company is not aware of any material pending legal proceedings, other than ordinary routine litigation incidental to the Company’s business, to which the Company is a party or of which the Company’s properties are the subject.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Unfunded Commitments
−Removed: As of December 31, 2024, the Company had $ 261.7 million of unfunded loan commitments related to its existing CRE loans held-for-investment, corporate senior loans, and liquid corporate senior loans, and $ 33.9 million of unfunded commitments related to NewPoint JV.
+Added: As of December 31, 2025, the Company had $ 217.3 million of unfunded loan commitments related to its existing CRE loans held-for-investment and corporate senior loans and $ 60.3 million of unfunded commitments related to NewPoint JV.
These commitments are not reflected in the accompanying consolidated balance sheets.
Current expected credit losses for unfunded or unsettled loan commitments are included in accrued expenses and accounts payable on the accompanying consolidated balance sheets.
−Removed: As of December 31, 2024, the Company had $ 1.2 million of unsettled liquid corporate senior loan acquisitions, all of which settled subsequent to December 31, 2024.
−Removed: Additionally, the Company had $ 3.0 million of unsettled liquid corporate senior loan sales as of December 31, 2024, all of which of which settled subsequent to December 31, 2024.
−Removed: Unsettled acquisitions are included in cash and cash equivalents in the accompanying consolidated balance sheets and unsettled sales are included in loans held-for-investment and related receivables, net in the accompanying consolidated balance sheets.
Environmental Matters
5 unchanged sentences
The Company is not aware of any environmental matters which it believes are reasonably likely to have a material effect on its results of operations, financial condition or liquidity.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 13 — RELATED-PARTY TRANSACTIONS AND ARRANGEMENTS
9 unchanged sentences
Because the Managed Assets are excluded from the calculation of management fees payable by the Company to CMFT Management pursuant to the Management Agreement, the total management and advisory fees payable by the Company to its external advisors are not increased as a result of the Investment Advisory and Management Agreement.
−Removed: In addition, the Investment Advisor has a sub-advisory agreement dated December 6, 2019 (the “Sub-Advisory Agreement”) with OFS Capital Management, LLC (the “Sub-Advisor”) to act as an investment sub-advisor to CMFT Securities.
+Added: In addition, the Investment Advisor has a sub-advisory agreement dated May 12, 2025 (the “Sub-Advisory Agreement”) with OFS Capital Management, LLC (the “Sub-Advisor”) to act as an investment sub-advisor to CMFT Securities.
The Sub-Advisor is registered as an investment adviser under the Advisers Act and is an affiliate of the Investment Advisor.
1 unchanged sentence
The Sub-Advisor may allocate a portion of these corporate credit-related securities to its other clients, including affiliates of CIM Group.
−Removed: On a quarterly basis, the Investment Advisor designates
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: 50 % of the sum of the Investment Advisory Fee and incentive compensation attributable to the assets for which the Sub-Advisor has provided investment management services payable to the Investment Advisor as sub-advisory fees.
+Added: On a quarterly basis, the Investment Advisor designates 50 % (or 25 % if related to CMBS) of the sum of the Investment Advisory Fee and incentive compensation attributable to the assets for which the Sub-Advisor has provided investment management services payable to the Investment Advisor as sub-advisory fees.
CMFT Management is entitled to receive incentive compensation, payable with respect to each quarter, which is generally equal to the excess of (a) the product of (i) 20 % and (ii) the excess of (A) Core Earnings (as defined in the Management Agreement) of the Company for the previous 12-month period, over (B) the product of (1) the Company’s Consolidated Equity (as defined in the Management Agreement) in the previous 12-month period, and (2) 7 % per annum, over (b) the sum of any incentive compensation paid to CMFT Management with respect to the first three calendar quarters of such previous 12-month period (or such lesser number of completed calendar quarters preceding the applicable period, if applicable).
2 unchanged sentences
In the event that the incentive compensation is earned and payable with respect to any quarter, CMFT Management calculates the portion of the incentive compensation that was attributable to the Managed Assets and payable to the Investment Advisor.
−Removed: The Company’s subsidiary, CLR, entered into a separate management agreement (“CLR Management Agreement”) with CMFT Management on February 29, 2024 (“CLR Effective Date”) for the day-to-day management of CLR and its non-securities assets, pursuant to which CLR will pay CMFT Management a base management fee, payable in arrears, equal to 1.25 % of CLR’s net asset value per share (or 0.90 % of its net asset value per share for its founder share classes), plus a performance fee that is, subject to certain adjustment in the calculation for the measurement periods applicable to CLR’s Core Earnings (as defined in the CLR Management Agreement) during the first four calendar quarters, generally equal to the excess of (A) the product of (I) 10 % and (II) the excess of (y) CLR’s Core Earnings for the previous 12-month period, over (z) the product of (i) CLR’s average adjusted capital, and (ii) a hurdle rate of 6.5 % ( 7.25 % for its founder share classes), each considered on an annualized basis, over (B) the sum of any performance fee paid to CMFT Management or the Investment Advisor with respect to the first three calendar quarters of such previous 12-month period (or such lesser number of completed calendar quarters preceding the applicable period, if applicable).
+Added: The Company’s subsidiary, CLR, entered into a separate management agreement (“CLR Management Agreement”) with CMFT Management on February 29, 2024 (“CLR Effective Date”) for the day-to-day management of CLR and its non-securities assets, pursuant to which CLR will pay CMFT Management a base management fee, payable in arrears, equal to 1.25 % of CLR’s net asset value per share (or 0.90 % of its net asset value per share for its founder share classes), plus a performance fee that is, subject to certain adjustment in the calculation for the measurement periods applicable to CLR’s Core Earnings (as defined in the CLR Management Agreement) during the first four calendar quarters, generally equal to the excess of (A) the product of (I) 10 % and (II) the excess of (y) CLR’s Core Earnings for the previous 12-month period, over (z) the product of (i) CLR’s average adjusted capital, and (ii) a hurdle rate of 6.5 % ( 7.25 % for its founder share classes), each considered on an annualized basis, over (B) the sum of any performance fee paid to CMFT Management or the Investment Advisor with respect to the first three calendar quarters of such previous 12-month period (or such lesser number of completed
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: calendar quarters preceding the applicable period, if applicable).
No performance fee shall be payable by CLR to CMFT Management or the Investment Advisor with respect to any calendar quarter unless CLR’s Core Earnings for the 12 most recently completed calendar months (or such lesser number of completed calendar quarters following the CLR Effective Date) in the aggregate are greater than zero.
6 unchanged sentences
If either CLR Advisory Agreement is terminated without cause, CMFT Management and/or the Investment Advisor, as applicable, shall receive a termination fee pursuant to the terminated CLR Advisory Agreement equal to three times the sum of (a) the average annual management fee and (b) the average annual incentive compensation incurred under the terminated CLR Advisory Agreement during the 24-month period prior to the termination.
−Removed: The Company and CMFT Management have entered into an agreement (the “Offset Agreement”) whereby, (i) for so long as CMFT Management is the external manager of the Company and an affiliate of CIM Group, the Company’s management fee payable to CMFT Management will be reduced by the Company’s proportional share, based on its ownership of CLR, of the base management fee and performance fee payable to CMFT Management by CLR, and (ii) if the Management Agreement and either or both of the CLR Advisory Agreements are simultaneously terminated without cause, the termination fee payable by
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: the Company to CMFT Management or the Investment Advisor, as applicable, under the applicable CLR Advisory Agreement shall be reduced by the Company’s proportional share, based on its ownership of CLR, of the termination fee payable to CMFT Management or the Investment Advisor by CLR under the applicable CLR Advisory Agreement, such that, in each case, the Company will not pay more fees than would otherwise be payable under its Management Agreement or Investment Advisory and Management Agreement, as applicable.
+Added: The Company and CMFT Management have entered into an agreement (the “Offset Agreement”) whereby, (i) for so long as CMFT Management is the external manager of the Company and an affiliate of CIM Group, the Company’s management fee payable to CMFT Management will be reduced by the Company’s proportional share, based on its ownership of CLR, of the base management fee and performance fee payable to CMFT Management by CLR, and (ii) if the Management Agreement and either or both of the CLR Advisory Agreements are simultaneously terminated without cause, the termination fee payable by the Company to CMFT Management or the Investment Advisor, as applicable, under the applicable CLR Advisory Agreement shall be reduced by the Company’s proportional share, based on its ownership of CLR, of the termination fee payable to CMFT Management or the Investment Advisor by CLR under the applicable CLR Advisory Agreement, such that, in each case, the Company will not pay more fees than would otherwise be payable under its Management Agreement or Investment Advisory and Management Agreement, as applicable.
The Offset Agreement also provides that CMFT Management will reimburse to the Company 50 % of the organization and offering expenses paid by the Company for CLR, which reimbursement may be paid as a reduction in the management fee payable to CMFT Management under the Management Agreement.
Organization and offering expenses is defined in the CLR Management Agreement as any and all costs and expenses incurred by or on behalf of CLR in connection with the formation of CLR and the marketing and distribution of its common shares of beneficial interest.
−Removed: During the year ended December 31, 2024, the Company received $ 1.1 million from CMFT Management as reimbursement for organization and offering expenses paid by the Company for CLR.
+Added: During the year ended December 31, 2025, the Company did not receive any reimbursements from CMFT Management for organization and offering expenses paid by the Company for CLR.
The Investment Advisor has engaged the Sub-Advisor to act as an investment sub-advisor with respect to the assets held by CLR Securities.
3 unchanged sentences
Pursuant to the Offset Agreement, fees payable by the Company to CMFT Management or the Investment Advisor will be offset by the Company’s proportional share, based on its ownership of CLR, of the fees payable by CLR or its affiliates under the CLR Management Agreement or CLR Investment Advisory Agreement to CMFT Management or the Investment Advisor.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: From time to time, the Company guarantees certain of CLR’s indebtedness, as discussed further in Note 10 — Repurchase Facilities, Notes Payable and Credit Facilities.
Expense reimbursements to related parties
3 unchanged sentences
Year Ended December 31,
−Removed: 2024 2023 2022
Management fees
Expense reimbursements to related parties
−Removed: $ 13,501 $ 13,285 $ 16,567
−Removed: ____________________________________
−Removed: (1) Excludes $ 1.1 million of expense reimbursements recorded during the year ended December 31, 2022 attributable to earnout leasing costs under the RTL Purchase and Sale Agreement, which are included in gain on disposition of real estate and condominium developments, net in the consolidated statements of operations.
Due to Affiliates
Of the amounts shown above, $ 12.7 million and $ 13.7 million had been incurred, but not yet paid, for services provided by CMFT Management or its affiliates in connection with the management and operating activities during the years ended December 31, 2025 and 2024, respectively, and such amounts were recorded as liabilities of the Company as of such dates.
+Added: The following table details the components of due to affiliates as of December 31, 2025 and 2024 (in thousands):
+Added: December 31, 2025
+Added: December 31, 2024
+Added: Accrued management fees
+Added: Accrued expense reimbursement to related parties
+Added: Total due to affiliates
Development and Property Management Agreements
1 unchanged sentence
Upon foreclosure, and with the approval of the Board’s former valuation, compensation and affiliate transactions committee, CIM NY Management, LLC, an affiliate of the Company’s manager, CMFT Management, entered into a Development Management Agreement with the indirect wholly owned subsidiaries of the Company that own each of the four buildings (the “Building Owners”), wherein CIM NY Management, LLC will act as project manager in overseeing the development and construction of property improvements in accordance with each respective Development Management Agreement (the “Development Services”).
−Removed: In consideration for the Development Services, CIM NY Management, LLC will receive a development
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: management fee from the Building Owners equal to 4 % of the aggregate gross project costs expended during the term of the Development Management Agreement, subject to the conditions in each respective Development Management Agreement.
+Added: In consideration for the Development Services, CIM NY Management, LLC will receive a development management fee from the Building Owners equal to 4 % of the aggregate gross project costs expended during the term of the Development Management Agreement, subject to the conditions in each respective Development Management Agreement.
During the years ended December 31, 2025 and 2024, the Company recorded $ 351,000 and $ 722,000 , respectively, in development management fees.
1 unchanged sentence
The Development Management Agreement shall remain in effect until the project completion date, and is terminable by either party with fifteen days prior notice to the other party, with or without cause.
−Removed: Additionally, on January 9, 2025, the Company took control of an office building in McLean, Virginia, through a deed-in-lieu of foreclosure, which previously secured one of its first mortgage loans, as discussed in Note 19 — Subsequent Events.
+Added: Additionally, on January 9, 2025, the Company took control of an office building in McLean, Virginia, through a deed-in-lieu of foreclosure, which previously secured one of its first mortgage loans, as discussed in Note 4 — Real Estate Assets.
Upon taking control of the asset, and with the approval of the Board, CIM Management, Inc.
−Removed: (“CIM Management”), an affiliate of the Company’s manager, CMFT Management, entered into a Property Management and Services Agreement with the indirect wholly owned subsidiaries of the Company that owns the office building (the “Office Building Owners”), wherein CIM Management will act as a property manager and property co-manager, as applicable, in overseeing the property’s day to day operations and as project manager in overseeing the development and construction of property improvements in accordance with the Property Management and Services Agreement (the “Management and Development Services”).
+Added: (“CIM Management”), an affiliate of the Company’s manager, CMFT Management, entered into a Property Management and Services Agreement with the indirect wholly owned subsidiaries of the Company that own the office building (the “Office Building Owners”), wherein CIM Management will act as a property manager and property co-manager, as applicable, in overseeing the property’s day to day
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: operations and as project manager in overseeing the development and construction of property improvements in accordance with the Property Management and Services Agreement (the “Management and Development Services”).
In consideration for the Management and Development Services, CIM Management will receive a property management fee from the Office Building Owners equal to 1.5 % of the operating receipts, as defined in the Property Management and Services Agreement, received by the Office Building Owners from operating the property, subject to the conditions set forth in the Property Management and Services Agreement.
3 unchanged sentences
Investments with Affiliates of the Manager
−Removed: In September 2021, the Company co-invested $ 68.4 million in preferred units and $ 138.8 million in a first mortgage loan to a third-party for the purchase of a multi-family, office and retail building in Fort Lauderdale, Florida with CIM Real Assets & Credit Fund, a f und that is advised by affiliates of CMFT Management (“CIM RACR”).
+Added: In September 2021, the Company co-invested $ 68.4 million in preferred units and $ 138.8 million in a first mortgage loan to a third-party for the purchase of a multi-family, office and retail building in Fort Lauderdale, Florida with CIM Real Assets & Credit Fund, a fund that is advised by affiliates of CMFT Management (“CIM RACR”).
The Company redeemed its investment in the preferred units during the year ended December 31, 2022 in exchange for an investment in a first mortgage loan.
As of December 31, 2025, $ 199.9 million of the first mortgage loan was outstanding.
+Added: Subsequent to December 31, 2025, the first mortgage loan, which was in maturity default as of December 31, 2025, was repaid in full.
In October 2021, the Company invested in a $ 130.0 million first mortgage loan, with an initial advance of $ 119.0 million, to a third-party, the proceeds of which were used to finance the acquisition of a property from a fund that is advised by an affiliate of CMFT Management.
4 unchanged sentences
In December 2021, the Company invested in a $ 155.0 million first mortgage loan, with an initial advance of $ 154.0 million, to a third-party, the proceeds of which were used to finance the acquisition of a property from a fund that is advised by an affiliate of CMFT Management.
−Removed: As of December 31, 2024, $ 154.0 million of the first mortgage loan was outstanding.
+Added: As of December 31, 2025, the first mortgage loan is held by the Company’s consolidated subsidiary, CLR, and $ 155.0 million of the first mortgage loan was outstanding.
In April 2022, the Company invested in a $ 147.0 million first mortgage loan, with an initial advance of $ 143.0 million, to a third-party, which was previously funded by a fund that is advised by an affiliate of CMFT Management.
+Added: During the year ended December 31, 2025, the Company sold the first mortgage loan to its consolidated subsidiary, CLR, for $ 120.0 million.
As of December 31, 2025, $ 120.4 million of the first mortgage loan was outstanding.
−Removed: During the year ended December 31, 2022 , the Company and CIM RACR co-invested $ 75.9 million and $ 14.7 million, respectively, in five corporate senior loans to a third party.
−Removed: During the year ended December 31, 2023, the Company and CIM
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: RACR co-invested $ 105.8 million and $ 16.4 million, respectively, in nine corporate senior loans to a third party.
+Added: During the year ended December 31, 2023 , the Company and CIM RACR co- invested $ 105.8 million and $ 16.4 million, respectively, in nine corporate senior loans to a third party.
+Added: During the year ended December 31, 2024, the Company and CIM RACR had no new co-invest activity and as of December 31, 2024, $ 145.5 million of the corporate senior loans was outstanding.
+Added: During the year ended December 31, 2025, the Company and CIM RACR co-invested $ 13.0 million and $ 1.6 million, respectively, in three corporate senior loans to a third party.
As of December 31, 2025, $ 152.9 million of the corporate senior loans was outstanding.
3 unchanged sentences
is OFS CLO Management II, LLC, an affiliate of the Sub-Advisor.
−Removed: During the year ended December 31, 2024, the sale of 185 liquid corporate senior loans closed pursuant to the Master Participation Agreement, with an aggregate principal balance of $ 265.4 million, resulting in net proceeds of $ 259.7 million after closing costs and a loss of $ 2.9 million.
+Added: During the year ended December 31, 2024, the sale of 185 liquid corporate senior loans closed pursuant to the Master
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: Participation Agreement, with an aggregate principal balance of $ 265.4 million, resulting in net proceeds of $ 259.7 million after closing costs and a loss of $ 2.9 million.
The liquid corporate senior loans served as the initial positions for the formation of a CLO, in which the Company subsequently invested $ 27.6 million in a CLO subordinated note.
7 unchanged sentences
The par value of stockholder proceeds raised from the DRIP Offerings is classified as common stock, with the remainder allocated to capital in excess of par value.
−Removed: On August 11, 2010, the Company sold 20,000 shares of common stock, at $ 10.00 per share, to Cole Holdings Corporation (“CHC”).
−Removed: On April 5, 2013, the ownership of such shares was transferred to CREInvestments, LLC, an affiliate of CMFT Management.
−Removed: On February 7, 2014, the ownership of such shares was transferred to VEREIT Operating Partnership, L.P.
−Removed: (“VEREIT OP”), a former affiliated entity of the Company’s sponsor.
−Removed: On February 1, 2018, the ownership of such shares was transferred by VEREIT OP to CMFT Management.
−Removed: On December 16, 2021, in connection with the consummation of the CIM Income NAV Merger, the Company issued 74.8 million shares of common stock for consideration of $ 7.20 per share.
Distribution Reinvestment Plan
8 unchanged sentences
and (2) funding for the redemption of shares will be limited, among other things, to the net proceeds the Company receives from the sale of shares under the DRIP Offering, net of shares redeemed to date.
−Removed: In an effort to accommodate redemption requests throughout the calendar year, the Company intends to limit quarterly redemptions to
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: approximately 1.25 % of the weighted average number of shares outstanding during the trailing 12-month period ending on the last day of the fiscal quarter for which the redemptions are being paid, and to the net proceeds the Company receives from the sale of shares in the respective quarter under the Secondary DRIP Offering.
+Added: In an effort to accommodate redemption requests throughout the calendar year, the Company intends to limit quarterly redemptions to approximately 1.25 % of the weighted average number of shares outstanding during the trailing 12-month period ending on the last day of the fiscal quarter for which the redemptions are being paid, and to the net proceeds the Company receives from the sale of shares in the respective quarter under the Secondary DRIP Offering.
Any of the foregoing limits might prevent the Company from accommodating all redemption requests made in any fiscal quarter or in any 12-month period.
4 unchanged sentences
therefore, if the volume of requests to redeem deceased stockholders’ shares in a particular quarter were large enough to cause the annual or quarterly percentage caps to be exceeded, even if no other redemption requests were processed, the redemptions of deceased stockholders’ shares would be completed in full, assuming sufficient proceeds from the sale of shares under the DRIP, net of shares redeemed to date, were available.
−Removed: If sufficient proceeds from the sale of shares under the DRIP, net of shares redeemed to date, were not available to pay all such redemptions in full, the requests to redeem deceased stockholders’ shares and shareholders deemed to have exigent circumstances would be honored on a pro rata basis.
+Added: If sufficient proceeds from the sale of shares under the DRIP, net of shares redeemed
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: to date, were not available to pay all such redemptions in full, the requests to redeem deceased stockholders’ shares and shareholders deemed to have exigent circumstances would be honored on a pro rata basis.
The Company next will give priority to requests for full redemption of accounts with a balance of 250 shares or less at the time the Company receives the request, in order to reduce the expense of maintaining small accounts.
11 unchanged sentences
The Board authorized the following monthly distribution amounts per share, payable to stockholders as of the record date for the applicable month, for the periods indicated below:
−Removed: Period Commencing Period Ending Monthly Distribution Amount
−Removed: January 2022 September 2022 $ 0.0305
−Removed: October 2022 December 2022 $ 0.0339
−Removed: January 2023 September 2023 $ 0.0350
−Removed: October 2023 December 2023 $ 0.0367
−Removed: January 2024 December 2024 $ 0.0375
−Removed: January 2025 June 2025 $ 0.0283
+Added: Period Commencing
+Added: Period Ending
+Added: Monthly Distribution Amount
+Added: September 2023
+Added: December 2023
+Added: December 2024
As of December 31, 2025, the Company had distributions payable of $ 14.5 million.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Equity-Based Compensation
−Removed: On August 10, 2018, the Board approved the adoption of the Company’s 2018 Equity Incentive Plan (the “2018 Plan”), under which 400,000 of the Company’s shares of common stock were reserved for issuance.
On April 27, 2022, the Board and the compensation committee of the Board approved the Amended and Restated CIM Real Estate Finance Trust, Inc.
2022 Equity Incentive Plan (the “2022 Plan”) and the 2022 Plan was approved by the Company’s stockholders at the Company’s 2022 Annual Meeting of Stockholders held on July 12, 2022.
−Removed: The 2022 Plan superseded and replaced the 2018 Plan.
Awards that are granted on or after the effective date of the 2022 Plan are subject to the terms and provisions of the 2022 Plan.
−Removed: The total number of shares of Company common stock reserved and available for issuance under the 2022 Plan at any time during the term of the 2022 Plan is 250,000 shares, which is a reduction from 400,000 shares authorized for issuance under the 2018 Plan, and awards of approximately 71,000 shares of common stock are available for future grant at December 31, 2024.
+Added: The total number of shares of Company common stock reserved and available for issuance under the 2022 Plan at any time during the term of the 2022 Plan is 250,000 shares, and awards of approximately 4,000 shares of common stock are available for future grant at December 31, 2025.
Under the 2022 Plan, the Board or the compensation committee of the Board has the authority to grant certain awards to employees, non-employee directors, and consultants or advisors of the Company, including stock option awards, restricted stock awards or deferred stock awards, which awards will further align such persons’ interests with the interests of the Company’s stockholders.
4 unchanged sentences
The Manager Plan provides for the grant of non-qualified stock options, restricted stock awards, restricted stock unit awards, and stock appreciation right awards, and dividend equivalents, to eligible named executive officers (as defined in Item 402 of Regulation S-K) of the Company or to CMFT Management, which in turn will transfer such incentives to employees, advisors, or consultants of CMFT Management and its affiliates who provide services to CMFT Management or its affiliates in support of the Company and its subsidiaries.
−Removed: The maximum number of shares of common stock of the Company that may be subject to awards granted under the Manager Plan is 12,000,000 shares.
+Added: The maximum number of shares of common stock of the Company that may be subject to awards granted under the Manager
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
+Added: Plan is 12,000,000 shares.
As of December 31, 2025, there were approximately 6.4 million shares remaining that may be subject to awards granted under the Manager Plan.
2 unchanged sentences
Restricted Stock Grants (2022 Plan)
−Removed: Restricted Stock Grants (2022 Plan)
Restricted Stock Units (Manager Plan) (1)
1 unchanged sentence
Outstanding as of December 31, 2022
−Removed: Granted 22,892 66,667 — $ 645
−Removed: Vested ( 43,899 ) — — N/A
−Removed: Forfeited — — — N/A
Outstanding as of December 31, 2023
−Removed: Granted — 73,059 — $ 480
−Removed: Vested — ( 66,667 ) — N/A
−Removed: Forfeited — — — N/A
Outstanding as of December 31, 2024
−Removed: Granted — 39,409 3,370,474 $ 20,766
−Removed: — ( 73,059 ) ( 759,113 ) N/A
−Removed: Forfeited — — — N/A
−Removed: Outstanding as of December 31, 2024
( 1,123,491 )
+Added: Outstanding as of December 31, 2025
____________________________________
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
(1) Each restricted stock unit represents a contingent right to receive one share of the Company’s common stock, payable 50 % in the Company’s common stock and 50 % in the cash value thereof.
1 unchanged sentence
Compensation expense related to the restricted shares and restricted stock units are recognized over the vesting period.
−Removed: The Company recorded compensation expense of $ 6.3 million and $ 480,000 for the years ended December 31, 2024 and 2023, respectively, related to the restricted shares and restricted stock units, which is included in general and administrative expenses in the accompanying consolidated statements of operations.
+Added: The Company recorded compensation expense of $ 8.8 million and $ 6.3 million for the years ended December 31, 2025 and 2024, respectively, related to the restricted shares and restricted stock units, which is included in general and administrative expenses in the accompanying consolidated statements of operations.
As of December 31, 2025, there was $ 15.7 million of total unrecognized compensation expense related to these restricted shares and restricted stock units, which will be recognized ratably over the remaining respective periods of service.
2 unchanged sentences
Restricted Stock Units (Manager Plan)
−Removed: 2025 39,409 1,123,491
−Removed: 2026 — 1,123,491
−Removed: 2027 — 364,379
−Removed: 39,409 2,611,361
NOTE 16 — INCOME TAXES
1 unchanged sentence
Nondividend distributions will reduce U.S stockholders’ basis (but not below zero) in their shares.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following table shows the character of the distributions the Company paid on a percentage basis for the years ended December 31, 2025, 2024 and 2023:
1 unchanged sentence
Character of Distributions:
−Removed: 2024 2023 2022
Ordinary dividends
1 unchanged sentence
Capital gain distributions
−Removed: Total 100 % 100 % 100 %
−Removed: During the years ended December 31, 2024, 2023 and 2022, the Company incurred state and local income and franchise taxes of $ 1.2 million, $ 1.1 million, and $ 1.3 million, respectively, which were recorded in general and administrative expenses in the consolidated statements of operations.
−Removed: Additionally, during the year ended December 31, 2024, the Company recognized income tax expense of $ 750,000 on undistributed capital gains which is recorded in general and administrative expenses in the consolidated statements of operations.
+Added: During the year ended December 31, 2025, the Company had a net state and local income and franchise tax benefit of $ 47,000 as a result of a reduction to the prior year taxes payable and a reduction in activity in states that impose franchise or capital-based taxes.
+Added: During the years ended December 31, 2024 and 2023, the Company incurred state and local income and franchise taxes of $ 1.2 million and $ 1.1 million, respectively, which were recorded in general and administrative expenses in the consolidated statements of operations.
+Added: Additionally, during the year ended December 31, 2024, the Company recognized income tax expense of $ 750,000 on undistributed capital gains which was recorded in general and administrative expenses in the consolidated statements of operations.
The Company had no unrecognized tax benefits as of or during the years ended December 31, 2025 and 2024.
7 unchanged sentences
The Company accounts for lease and non-lease components as a single, combined operating lease component.
−Removed: Non-lease components primarily consist of maintenance
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: services, including CAM, real estate taxes, insurance and utilities paid for by the lessor but consumed by the lessee.
+Added: Non-lease components primarily consist of maintenance services, including CAM, real estate taxes, insurance and utilities paid for by the lessor but consumed by the lessee.
Non-lease components are considered to be variable rental and other property income and are recognized in the period incurred.
4 unchanged sentences
As of December 31, 2025, the future minimum rental income from the Company’s real estate assets under non-cancelable operating leases, assuming no exercise of renewal options for the succeeding five fiscal years and thereafter, was as follows (in thousands):
−Removed: Year Ending December 31, Future Minimum Rental Income
−Removed: 2025 $ 84,399
−Removed: Thereafter 520,038
−Removed: Total $ 919,155
+Added: Year Ending December 31,
+Added: Future Minimum Rental Income
A certain amount of the Company’s rental and other property income is from tenants with leases which are subject to contingent rent provisions.
1 unchanged sentence
For the years ended December 31, 2025, 2024 and 2023, the amount of the contingent rent earned by the Company was not significant.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Rental and other property income during the years ended December 31, 2025, 2024 and 2023 consisted of the following (in thousands):
Year Ended December 31,
−Removed: 2024 2023 2022
Fixed rental and other property income (1)
−Removed: $ 87,796 $ 106,755 $ 192,982
Variable rental and other property income (2)
−Removed: 6,116 8,624 20,407
Total rental and other property income
7 unchanged sentences
As of December 31, 2025, the Company’s scheduled future minimum rental payments related to its operating ground lease is approximately $ 250,000 annually for 2026 through 2030, and $ 667,000 thereafter through the maturity date of the lease in August 2033.
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 18 — SEGMENT REPORTING
6 unchanged sentences
The CODM uses net income (loss) to make key operating decisions, such as identifying attractive investment opportunities, evaluating underwriting standards, determining the appropriate level of leverage to enhance returns on equity and deciding on the sources of financing.
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The following tables present segment reporting for the years ended December 31, 2025, 2024 and 2023 (in thousands):
Year Ended December 31, 2025
−Removed: Real Estate Credit Corporate/Other (1)
+Added: Corporate/Other (1)
Company Total
13 unchanged sentences
Total expenses
−Removed: 122,779 603,837 51,802 778,418
Other income (expense)
2 unchanged sentences
Unrealized gain on equity security
−Removed: — ( 15,888 ) — ( 15,888 )
−Removed: Other income (expense), net
−Removed: 413 ( 6,795 ) 5,244 ( 1,138 )
+Added: Other income, net
Loss on extinguishment of debt
−Removed: Total other income (expense)
−Removed: 2,268 ( 10,034 ) 9,994 2,228
−Removed: Segment net loss
−Removed: ( 26,986 ) ( 223,883 ) ( 41,421 ) ( 292,290 )
+Added: Total other income
+Added: Segment net income (loss)
Segment net income attributable to non-controlling interest
−Removed: Segment net loss attributable to the Company
−Removed: $ ( 26,986 ) $ ( 223,894 ) $ ( 41,421 ) $ ( 292,301 )
+Added: Segment net income (loss) attributable to the Company
Total assets as of December 31, 2025
__________________________________
−Removed: __________________________________
(1) Includes condominium and rental units acquired via foreclosure during the year ended December 31, 2021.
2 unchanged sentences
Year Ended December 31, 2024
−Removed: Real Estate Credit Corporate/Other (1)
+Added: Corporate/Other (1)
Company Total
13 unchanged sentences
Total expenses
−Removed: 105,874 412,341 58,126 576,341
Other income (expense):
2 unchanged sentences
Unrealized gain on equity security
−Removed: — 4,751 — 4,751
−Removed: Other (expense) income, net
−Removed: ( 4,380 ) ( 31,984 ) 9,905 ( 26,459 )
+Added: Other income (expense), net
Loss on extinguishment of debt
Total other income (expense)
−Removed: Segment net income (loss) 53,341 23,465 ( 48,720 ) 28,086
+Added: Segment net loss
Segment net income attributable to non-controlling interest
−Removed: Segment net income (loss) attributable to the Company $ 53,333 $ 23,465 $ ( 48,720 ) $ 28,078
+Added: Segment net loss attributable to the Company
Total assets as of December 31, 2024
__________________________________
−Removed: __________________________________
(1) Includes condominium and rental units acquired via foreclosure during the year ended December 31, 2021 .
2 unchanged sentences
Year Ended December 31, 2023
−Removed: Real Estate Credit Corporate/Other (1) (2)
+Added: Corporate/Other (1)
Company Total
13 unchanged sentences
Total expenses
−Removed: 176,207 171,624 68,213 416,044
Other income (expense):
1 unchanged sentence
Gain on investment in unconsolidated entities
−Removed: — 6,780 5,172 11,952
−Removed: Unrealized (loss) gain on equity security
−Removed: — ( 15,139 ) 22 ( 15,117 )
−Removed: Other income, net
−Removed: 5,012 3,395 264 8,671
+Added: Unrealized gain on equity security
+Added: Other (expense) income, net
Loss on extinguishment of debt
5 unchanged sentences
__________________________________
−Removed: __________________________________
(1) Includes condominium and rental units acquired via foreclosure during the year ended December 31, 2021.
−Removed: (2) Includes the Company’s investment in CIM UII Onshore.
NOTE 19 — SUBSEQUENT EVENTS
5 unchanged sentences
On March 19, 2026, the Board established an updated estimated per share NAV of the Company’s common stock as of December 31, 2025, of $ 5.14 per share.
−Removed: Commencing on March 28, 2025, distributions will be reinvested in shares of the
+Added: Commencing on March 27, 2026, distributions will be reinvested in shares of the Company’s common stock under the DRIP at a price of $ 5.14 per share and $ 5.14 serves as the most recent estimated per share NAV for purposes of the share redemption program.
CIM REAL ESTATE FINANCE TRUST, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
−Removed: Company’s common stock under the DRIP at a price of $ 5.22 per share and $ 5.22 serves as the most recent estimated per share NAV for purposes of the share redemption program.
Investment and Disposition Activity
Subsequent to December 31, 2025, the Company’s investment and disposition activity included the following:
−Removed: • Disposed of two properties and condominium units for an aggregate gross sales price of $ 20.1 million, resulting in net proceeds of $ 18.7 million after closing costs and a gain of approximately $ 1.0 million.
−Removed: • Settled $ 1.2 million of liquid corporate senior loan purchases, all of which were traded as of December 31, 2024, and settled $ 7.1 million of liquid corporate senior loan sales, $ 3.0 million of which were traded as of December 31, 2024.
−Removed: • Settled $ 18.3 million on purchases of two corporate senior loans.
−Removed: • Sold $ 44.0 million of CMBS and received $ 1.7 million of principal repayments on CMBS.
−Removed: • Originated two first mortgage loans with an aggregate principal balance of $ 61.0 million, funded an aggregate amount of $ 24.2 million to 13 of the Company’s first mortgage loans, and received $ 40.6 million of principal repayments on four of the Company’s first mortgage loans, $ 22.0 million of which was received in connection with the two loan modifications discussed below.
−Removed: • Modified a first mortgage loan to extend the initial maturity date from February 7, 2025, with two one-year extension options, to February 7, 2028, with one one-year extension option.
−Removed: The Company received a $ 10.0 million principal repayment subsequent to December 31, 2024 in connection with this loan modification.
−Removed: • Modified a first mortgage loan to extend the initial maturity date from January 7, 2025 to February 7, 2029, with two one-year extension options, modify the variable interest rate from 2.90 % plus Term SOFR to a fixed interest rate of 5.0 % through February 7, 2026, then 6.0 % through the initial maturity date, and allow for future funding advances up to an aggregate amount of $ 14.5 million.
−Removed: The Company received a $ 12.0 million principal repayment subsequent to December 31, 2024 in connection with the loan modification, and resumed accrual upon becoming contractually current on its interest payments.
+Added: • Disposed of one property for a gross sales price of $ 13.2 million, resulting in net proceeds of $ 12.0 million after closing costs and a gain of approximately $ 3.8 million.
+Added: • Settled $ 37.4 million on purchases of four corporate senior loans.
+Added: • Originated one first mortgage loan with a principal balance of $ 56.0 million, funded an aggregate amount of $ 10.5 million to six of the Company’s first mortgage loans, and received full payoffs of $ 443.6 million on five of the Company’s first mortgage loans.
Financing Activity
Subsequent to December 31, 2025, the Company’s financing activity included the following:
−Removed: • Financed two first mortgage loans for an aggregate amount of $ 45.6 million under the repurchase facility with Barclays and refinanced a first mortgage loan for $ 44.0 million under the repurchase facility with Citibank.
−Removed: • Repaid $ 94.2 million of borrowings under the repurchase facilities with Barclays, Deutsche Bank, and J.P.
−Removed: • Repaid $ 19.0 million of borrowings under the Loan Facility with Ally Bank.
−Removed: • Amended the Master Repurchase Agreement with Citibank to, among other things, extend the initial maturity date to March 5, 2027 and provide for two one-year extension options.
−Removed: Deed-in-Lieu of Foreclosure
−Removed: Subsequent to December 31, 2024, the Company took control of the assets securing two of it risk-rated 5 first mortgage loans, which are comprised of two office buildings, through deeds-in-lieu of foreclosure.
−Removed: The loans had a combined net book value of $ 149.0 million as of December 31, 2024.
+Added: • Repaid $ 86.9 million of borrowings under the repurchase facilities with Citibank and J.P.
+Added: Morgan, both of which are held through CLR.
+Added: In addition, repaid $ 167.0 million of borrowings under the repurchase facility with Wells Fargo and $ 126.5 million of borrowings under the note on note financing arrangement with Mass Mutual.
+Added: • Borrowed $ 8.5 million under the repurchase facilities with Barclays and J.P.
+Added: Morgan, both of which are held through CLR.
+Added: • Borrowed $ 25.0 million under the Loan Facility with Ally Bank.
+Added: • Entered into an amendment (the “Second Amendment”) to the Loan and Security Agreement with the Lenders, Ally Bank and the Collateral Custodian to, among other things, extend the scheduled revolving period end date from February 10, 2026 to February 6, 2029 and extend the termination date to be the earlier of (i) the date that is two years after the revolving period end date or (ii) the date of the declaration of the termination date or the date of the automatic occurrence of the termination date upon the occurrence and continuation of an event of default.
+Added: Additionally, the Second Amendment amends the interest rate under the Loan and Security Agreement from SOFR for the relevant interest period plus an applicable rate of 2.875 % (and an additional 2.00 % per annum following an event of default) to an interest rate of SOFR plus an applicable rate of 2.10 % per annum (and an additional 2.00 % per annum following an event of default).
+Added: • Entered into an amendment to the Master Repurchase and Securities Contract with Wells Fargo, to amend and restate the fee letter, that was entered into in connection with the Master Repurchase and Securities Contract, to reduce the maximum facility amount of the repurchase facility from approximately $ 512.0 million to approximately $ 277.5 million.
+Added: Additionally, the Company and a subsidiary of CLR (“CLR Seller”), amended and restated the fee letter that was entered into in connection with the Master Repurchase and Securities Contract by and between CLR Seller and Wells Fargo to, among other things, increase the maximum facility amount of the repurchase facility from $ 250.0 million to $ 500.0 million.
CIM REAL ESTATE FINANCE TRUST, INC.
1 unchanged sentence
(in thousands)
−Removed: Initial Costs to Company Gross Amount at
+Added: Initial Costs to Company
+Added: Gross Amount at
Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
Real Estate Held for Investment the Company has Invested in:
AAA Office Park:
−Removed: Hamilton, NJ $ — $ 5,427 $ 22,970 $ ( 16,278 ) $ 12,119 $ 169 12/16/2021 2016
Actuant Campus:
−Removed: Columbus, WI 12,975 2,090 14,633 — 16,723 1,812 12/21/2020 2014
AKRS Equipment:
2 unchanged sentences
Apex Technologies:
−Removed: Mason, OH — 1,288 11,127 — 12,415 1,014 12/16/2021 2013
Bass Pro Shop:
2 unchanged sentences
Fort Myers, FL
−Removed: Roanoke, VA 15,496 4,509 14,545 — 19,054 1,609 11/25/2020 2018
−Removed: Defiance, OH 2,573 501 2,781 — 3,282 250 12/16/2021 2011
−Removed: Dover, OH 2,529 552 1,930 — 2,482 165 12/16/2021 2013
−Removed: Dundee, MI 1,842 526 1,298 — 1,824 119 12/16/2021 2011
Gallipolis, OH
Hagerstown, MD
−Removed: Hamilton, OH 1,930 446 2,359 — 2,805 193 12/16/2021 2014
Hummelstown, PA
1 unchanged sentence
Mayfield Heights, OH
−Removed: Monroe, MI 2,193 623 2,177 — 2,800 256 12/21/2020 1998
Northwood, OH
−Removed: Peoria, IL 892 620 524 — 1,144 85 12/21/2020 1995
−Removed: Piqua, OH 2,017 413 2,187 — 2,600 248 12/21/2020 1989
−Removed: Bottom Dollar Grocery:
−Removed: Ambridge, PA — 519 2,985 — 3,504 856 11/5/2013 2012
−Removed: Yukon, OK 1,206 500 1,141 — 1,641 142 12/21/2020 1989
−Removed: Acworth, GA 21,644 4,979 18,775 — 23,754 3,752 9/25/2017 2014
−Removed: Avon, OH 12,346 2,755 10,751 — 13,506 2,183 9/25/2017 2016
−Removed: La Vista, NE 20,986 3,260 16,923 — 20,183 3,253 9/25/2017 2006
Sun Prairie, WI
2 unchanged sentences
Lake Jackson, TX
−Removed: Richmond, VA 4,225 1,453 3,323 — 4,776 469 7/30/2020 2020
San Antonio, TX
2 unchanged sentences
Fort Myers, FL
−Removed: Cash & Carry:
−Removed: Salt Lake City, UT — 863 4,149 — 5,012 480 12/21/2020 2006
Dickson City, PA
+Added: Tallahassee, FL
+Added: Asheville, NC
CIM REAL ESTATE FINANCE TRUST, INC.
1 unchanged sentence
(in thousands)
−Removed: Initial Costs to Company Gross Amount at
+Added: Initial Costs to Company
+Added: Gross Amount at
Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
−Removed: Tallahassee, FL $ 8,004 $ 9,497 $ — $ — $ 9,497 $ — 12/11/2012 2006
−Removed: Arnold, MO 3,962 2,043 2,367 — 4,410 673 12/13/2013 2013
−Removed: Asheville, NC 1,871 1,108 1,084 — 2,192 362 4/26/2012 1998
−Removed: Austin, TX 4,320 1,076 3,475 — 4,551 981 12/13/2013 2013
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
Bloomington, IN
3 unchanged sentences
Chesapeake, VA
−Removed: Cicero, IN 3,436 487 3,099 — 3,586 879 12/13/2013 2013
−Removed: Eminence, KY 3,465 872 2,511 — 3,383 704 12/13/2013 2013
Goose Creek, SC
Greenwood, IN
−Removed: Hazlet, NJ 5,928 3,047 3,610 — 6,657 1,020 12/13/2013 2013
Hillcrest Heights, MD
2 unchanged sentences
Indianapolis, IN
−Removed: Irving, TX 3,574 745 3,034 — 3,779 952 10/5/2012 2000
Janesville, WI
−Removed: Katy, TX 3,121 1,149 2,462 — 3,611 684 12/13/2013 2013
−Removed: London, KY 4,130 1,445 2,661 — 4,106 773 9/10/2013 2013
North Wilkesboro, NC
Poplar Bluff, MO
−Removed: Salem, NH 5,204 3,456 2,351 — 5,807 658 11/18/2013 2013
San Antonio, TX
Sand Springs, OK
−Removed: Santa Fe, NM 6,206 2,243 4,619 — 6,862 1,290 12/13/2013 2013
−Removed: Sedalia, MO 2,580 466 2,318 — 2,784 660 12/13/2013 2013
−Removed: John, MO — 1,546 2,601 — 4,147 738 12/13/2013 2013
−Removed: Vineland, NJ 3,531 813 2,926 — 3,739 856 12/13/2013 2010
Waynesboro, VA
2 unchanged sentences
Dave & Buster's
−Removed: Rosemont, IL 20,687 2,441 15,859 — 18,300 126 9/30/2024 2014
Dollar General:
Parchment, MI
+Added: Andalusia, AL
+Added: Gainestown, AL
+Added: Hayesville, NC
+Added: Locust Fork, AL
+Added: Alder Creek, NY
+Added: Odenville, AL
+Added: Cochecton, NY
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION — (Continued)
+Added: (in thousands)
+Added: Initial Costs to Company
+Added: Gross Amount at
+Added: Which Carried
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
+Added: Dynatect Manufacturing
+Added: Valparaiso, IN
+Added: New Berlin, WI
+Added: New Berlin, WI
Duluth Trading:
−Removed: Denton, TX — 1,662 2,918 — 4,580 365 12/21/2020 2017
−Removed: Noblesville, IN — 1,212 3,436 — 4,648 461 12/21/2020 2003
Family Dollar:
−Removed: Salina, UT — 211 1,262 — 1,473 179 12/21/2020 2014
Plainfield, IL
1 unchanged sentence
Wood Dale, IL
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION — (Continued)
−Removed: (in thousands)
−Removed: Initial Costs to Company Gross Amount at
−Removed: Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
−Removed: Shelton, WA $ 8,889 $ 1,180 $ 11,040 $ — $ 12,220 $ 3,425 4/30/2014 1994
−Removed: Conway, AR 3,180 510 2,577 — 3,087 690 6/13/2014 2014
−Removed: Asheboro, NC 6,944 1,098 6,722 50 7,870 1,912 6/23/2014 1994
Cincinnati, OH
2 unchanged sentences
North Dartmouth, MA
−Removed: Oxford, AL 10,657 1,668 7,622 369 9,659 2,738 6/28/2013 1999
Tuscaloosa, AL
1 unchanged sentence
McAlister’s Deli:
−Removed: Lawton, OK 2,102 805 1,057 — 1,862 312 5/1/2014 2013
Mister Car Wash:
−Removed: Athens, AL 2,507 384 1,150 — 1,534 242 9/12/2017 2008
−Removed: Decatur, AL 1,228 257 559 — 816 127 9/12/2017 2005
−Removed: Decatur, AL 2,792 486 1,253 — 1,739 302 9/12/2017 2014
−Removed: Decatur, AL 1,433 359 1,152 — 1,511 274 9/12/2017 2007
Hartselle, AL
−Removed: Hudson, FL — 1,229 1,562 ( 503 ) 2,288 — 12/16/2021 2007
−Removed: Madison, AL 3,823 562 1,139 — 1,701 279 9/12/2017 2012
National Tire & Battery:
−Removed: Cypress, TX 2,792 910 2,224 — 3,134 583 9/1/2015 2005
Montgomery, IL
North Richland Hills, TX
−Removed: Pasadena, TX 2,851 908 2,307 — 3,215 605 9/1/2015 2005
Natural Grocers:
3 unchanged sentences
Bennettsville, SC
−Removed: Clayton, GA 1,294 501 945 — 1,446 219 1/29/2016 2015
−Removed: Flowood, MS 1,338 505 1,288 — 1,793 169 12/21/2020 2014
−Removed: Iron Mountain, MI 1,206 249 1,400 — 1,649 186 12/21/2020 2014
−Removed: Independence, MO 1,155 333 680 — 1,013 186 6/27/2014 2005
−Removed: Raising Cane’s:
−Removed: Avondale, AZ 3,209 1,774 2,381 — 4,155 203 12/16/2021 2013
−Removed: Reno, NV 3,275 1,841 2,259 — 4,100 278 12/21/2020 2014
−Removed: Juneau, AK 10,709 6,174 8,791 — 14,965 1,104 12/21/2020 2017
−Removed: Milford, OH — 4,137 23,153 ( 16,238 ) 11,052 211 12/21/2020 1991
CIM REAL ESTATE FINANCE TRUST, INC.
1 unchanged sentence
(in thousands)
−Removed: Initial Costs to Company Gross Amount at
+Added: Initial Costs to Company
+Added: Gross Amount at
Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
+Added: Iron Mountain, MI
+Added: Independence, MO
+Added: Raising Cane’s:
Simpsonville, SC
Greenfield, WI
−Removed: Madison, WI 11,008 3,227 8,531 — 11,758 758 12/16/2021 2017
Palm City, FL
−Removed: Oglesby, IL 12,660 2,505 11,777 — 14,282 1,277 12/16/2021 1996
−Removed: Andrews, TX 877 230 862 — 1,092 98 12/21/2020 1994
−Removed: Bedford, TX 895 283 837 — 1,120 115 12/21/2020 2009
−Removed: Burleson, TX 1,115 471 936 — 1,407 122 12/21/2020 1994
−Removed: Burleson, TX 822 201 837 — 1,038 99 12/21/2020 2010
−Removed: Burleson, TX 640 394 407 — 801 96 12/21/2020 2003
Cedar Hill, TX
−Removed: Hereford, TX 822 50 995 — 1,045 110 12/21/2020 1993
−Removed: Irving, TX 457 120 445 — 565 54 12/21/2020 1989
−Removed: Irving, TX 822 210 818 — 1,028 96 12/21/2020 1987
−Removed: Lubbock, TX 1,261 151 1,428 — 1,579 154 12/21/2020 2002
−Removed: Midland, TX 1,663 192 1,861 — 2,053 200 12/21/2020 1995
Mineral Wells, TX
5 unchanged sentences
Tractor Supply:
−Removed: Ashland, VA 3,026 500 2,696 175 3,371 836 11/22/2013 2013
Blytheville, AR
Cambridge, MN
−Removed: Carlyle, IL 2,339 707 2,386 175 3,268 403 12/21/2020 2015
−Removed: Fortuna, CA 4,473 568 3,819 175 4,562 1,127 6/27/2014 2014
−Removed: Logan, WV 2,979 597 3,232 175 4,004 432 12/21/2020 2006
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION — (Continued)
+Added: (in thousands)
+Added: Initial Costs to Company
+Added: Gross Amount at
+Added: Which Carried
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
Lumberton, NC
3 unchanged sentences
Weaverville, NC
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION — (Continued)
−Removed: (in thousands)
−Removed: Initial Costs to Company Gross Amount at
−Removed: Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
Bellflower, CA
−Removed: $ 1,915 $ 1,246 $ 788 $ — $ 2,034 $ 204 9/30/2014 2001
−Removed: Brea, CA 2,873 2,393 658 — 3,051 170 9/30/2014 1984
−Removed: Carson, CA 5,343 2,354 4,821 — 7,175 576 12/21/2020 1958
−Removed: 1,849 1,533 568 — 2,101 147 9/30/2014 2008
−Removed: 1,645 1,225 368 — 1,593 95 9/30/2014 2000
Fallbrook, CA
1 unchanged sentence
Hawthorne, CA
−Removed: La Habra, CA 2,398 1,971 571 — 2,542 147 9/30/2014 2000
−Removed: Lakewood, CA 3,655 2,499 2,400 — 4,899 290 12/21/2020 1973
−Removed: Lawndale, CA 2,193 1,462 862 — 2,324 223 9/30/2014 2001
Long Beach, CA
Los Angeles, CA
−Removed: 3,216 1,927 1,484 — 3,411 384 9/30/2014 2007
Los Angeles, CA
−Removed: 2,741 2,182 701 — 2,883 181 9/30/2014 1964
Los Angeles, CA
Los Angeles, CA
−Removed: 3,150 1,852 1,489 — 3,341 385 9/30/2014 1995
San Clemente, CA
3 unchanged sentences
San Diego, CA
−Removed: 2,602 1,877 883 — 2,760 228 9/30/2014 2006
Santa Ana, CA
−Removed: 2,259 2,063 334 — 2,397 86 9/30/2014 1986
−Removed: 2,193 2,028 418 — 2,446 109 9/30/2014 2010
−Removed: Whittier, CA 2,463 1,629 985 — 2,614 255 9/30/2014 1997
−Removed: Sanford, FL — 1,031 1,807 ( 1,861 ) 977 92 10/23/2012 1999
Valeo North American HQ:
−Removed: Troy, MI — 1,880 9,813 — 11,693 1,355 12/16/2021 2007
Valeo Production Facility:
East Liberty, OH
−Removed: — 357 4,989 46 5,392 508 12/16/2021 2016
Valvoline HQ:
Lexington, KY
+Added: Austintown, OH
+Added: Dearborn Heights, MI
+Added: Fort Madison, IA
CIM REAL ESTATE FINANCE TRUST, INC.
1 unchanged sentence
(in thousands)
−Removed: Initial Costs to Company Gross Amount at
+Added: Initial Costs to Company
+Added: Gross Amount at
Which Carried
−Removed: Buildings, Fixtures and Total Adjustment At December 31, 2024
−Removed: Accumulated Depreciation Date Date
−Removed: Description (a) Encumbrances Land Improvements to Basis (b) (c) (d) (e) (e) (f) (g) Acquired Constructed
−Removed: Austintown, OH $ 3,560 $ 637 $ 4,173 $ 128 $ 4,938 $ 1,202 8/19/2013 2002
−Removed: Dearborn Heights, MI 6,045 2,236 3,411 — 5,647 1,010 7/9/2013 2008
−Removed: Fort Madison, IA 3,472 514 3,723 — 4,237 1,084 9/20/2013 2008
+Added: Buildings, Fixtures and
+Added: Total Adjustment
+Added: At December 31, 2025
+Added: Accumulated Depreciation
+Added: Description (a)
Las Vegas, NV
−Removed: Lawton, OK 2,759 860 2,539 106 3,505 768 7/3/2013 1998
Little Rock, AR
−Removed: 4,386 548 4,676 — 5,224 1,237 6/30/2014 2011
−Removed: 3,527 565 3,257 103 3,925 1,031 10/11/2012 2000
Metropolis, IL
1 unchanged sentence
San Antonio, TX
−Removed: Suffolk, VA 4,020 1,261 3,461 — 4,722 1,181 5/14/2012 2007
−Removed: Anderson, SC 9,517 2,424 9,719 — 12,143 2,228 11/5/2015 2015
−Removed: Florence, SC 8,815 2,013 9,225 — 11,238 2,105 11/5/2015 2015
Tallahassee, FL
1 unchanged sentence
West Bend, WI
−Removed: Grafton, VA 1,579 540 894 — 1,434 247 6/27/2014 1985
____________________________________
−Removed: ____________________________________
(a) Initial costs exclude subsequent impairment charges.
2 unchanged sentences
(d) The following is a reconciliation of total real estate carrying value for the years ended December 31 (in thousands):
−Removed: 2024 2023 2022
Balance, beginning of period
−Removed: Acquisitions 31,841 — —
−Removed: Improvements 489 619 1,245
Total additions
3 unchanged sentences
Balance, end of period
+Added: ____________________________________
+Added: (1) Includes one property we acquired through deed-in-lieu of foreclosure, which the Company disposed of during the year end December 31, 2025.
(e) Gross intangible lease assets of $ 168.9 million and the associated accumulated amortization of $ 65.2 million are not reflected in the table above.
3 unchanged sentences
(f) The following is a reconciliation of accumulated depreciation for the years ended December 31 (in thousands):
−Removed: 2024 2023 2022
Balance, beginning of period
11 unchanged sentences
(in thousands)
−Removed: Carrying Amount of
−Removed: Amount of Loans Subject
−Removed: Final Periodic Face Mortgages at to Delinquent
−Removed: Interest Maturity Payment Prior Amount of December 31, Principal or
−Removed: Loan Type Description / Location Rate (a)
−Removed: Liens Mortgages (d)
−Removed: First mortgage loan Office / Duluth, Georgia + 3.25 %
−Removed: N/A $ 53,167 $ 53,129 $ —
−Removed: First mortgage loan Office / Orlando, Florida + 4.10 %
−Removed: 10/9/2025 I/O N/A 71,140 70,904 —
−Removed: First mortgage loan Office / San Diego, California + 4.66 %
−Removed: 12/7/2025 I/O N/A 113,625 113,301 113,625
−Removed: First mortgage loan
+Added: Loans Subject
+Added: to Delinquent
+Added: Description / Location
+Added: Mortgages (d)
+Added: Office / Duluth, Georgia
+Added: Office / Orlando, Florida
+Added: Office / Irvine, California
+Added: Office / Bethesda, Maryland
+Added: Multifamily / Fort Lauderdale, Florida
+Added: Multifamily / Los Angeles, California
+Added: Multifamily / Gainesville, Florida
+Added: Office / Boston, Massachusetts
+Added: Office / Boston, Massachusetts
+Added: Multifamily / Miami, Florida
+Added: Office / Tampa, Florida
+Added: Office / Atlanta, Georgia
+Added: Office / Phoenix, Arizona
+Added: Mixed-Use / Alpharetta, Georgia
+Added: Office / Washington D.C.
+Added: Industrial / Spanish Fork, Utah
+Added: Self-Storage / Various
+Added: Industrial / Various
+Added: Hospitality / Orlando, Florida
+Added: Hospitality / Philadelphia, Pennsylvania
Office / Houston, Texas
−Removed: 1/7/2028 I/O N/A 102,170 102,170 —
−Removed: First mortgage loan Office / Irvine, California Fixed 6.25 %
−Removed: 7/7/2029 I/O N/A 154,866 154,345 —
−Removed: First mortgage loan Office / Bethesda, Maryland + 3.86 %
−Removed: 9/16/2026 I/O N/A 58,693 58,452 —
−Removed: First mortgage loan Multifamily / Fort Lauderdale, Florida + 1.72 % - 7.07 %
−Removed: 1/7/2025 I/O N/A 199,930 199,627 —
−Removed: First mortgage loan Multifamily / Los Angeles, California + 2.60 %
−Removed: 10/7/2028 I/O N/A 98,000 97,753 —
−Removed: First mortgage loan Retail / Glendale, New York + 4.26 %
−Removed: 11/7/2026 I/O N/A 65,000 64,677 —
−Removed: First mortgage loan Multifamily / Arlington, Virginia + 2.75 %
−Removed: 12/15/2026 I/O N/A 84,867 84,449 —
−Removed: First mortgage loan Multifamily / Brooklyn, New York + 3.61 %
−Removed: 12/17/2026 I/O N/A 57,225 56,896 —
−Removed: First mortgage loan (f)
−Removed: Multifamily / Brooklyn, New York + 3.61 %
−Removed: 12/17/2026 I/O N/A 19,075 18,965 —
−Removed: First mortgage loan Office / McLean, Virginia + 3.41 %
−Removed: 2/5/2027 I/O N/A 126,279 125,460 126,279
−Removed: First mortgage loan Multifamily / Gainesville, Florida + 3.20 %
−Removed: 2/6/2027 I/O N/A 70,908 70,737 —
−Removed: First mortgage loan Office / Boston, Massachusetts + 2.90 %
−Removed: 1/7/2027 I/O N/A 135,828 135,040 135,828
−Removed: First mortgage loan Multifamily / Miami, Florida + 2.60 %
−Removed: 1/7/2027 I/O N/A 154,000 153,644 —
−Removed: First mortgage loan Multifamily / Nashville, Tennessee + 3.00 %
−Removed: 1/7/2027 I/O N/A 118,750 118,478 —
−Removed: First mortgage loan Office / Tampa, Florida + 3.28 %
−Removed: 2/7/2027 I/O N/A 174,012 173,423 —
−Removed: First mortgage loan Office / Atlanta, Georgia + 3.40 %
−Removed: 3/7/2027 I/O N/A 278,266 277,141 —
−Removed: First mortgage loan Office / Phoenix, Arizona + 3.34 %
−Removed: 4/7/2027 I/O N/A 327,317 325,873 —
−Removed: First mortgage loan Mixed-Use / Alpharetta, Georgia + 4.70 %
−Removed: 4/7/2027 I/O N/A 70,068 69,786 —
−Removed: First mortgage loan Multifamily / Phoenix, Arizona + 3.05 %
−Removed: 5/7/2027 I/O N/A 143,919 143,480 —
−Removed: First mortgage loan Office / Washington D.C.
−Removed: 6/6/2027 I/O N/A 190,879 190,085 —
−Removed: First mortgage loan Industrial / Spanish Fork, Utah + 3.50 %
−Removed: 7/7/2026 I/O N/A 81,000 80,725 —
−Removed: First mortgage loan Self-Storage / Various + 3.95 %
−Removed: 9/7/2027 I/O N/A 61,120 60,818 —
−Removed: First mortgage loan Industrial / Various + 2.40 %
−Removed: 8/9/2027 I/O N/A 254,568 250,545 —
−Removed: First mortgage loan Hospitality / Orlando, Florida + 4.40 %
−Removed: 9/7/2028 I/O N/A 34,950 34,676 —
−Removed: First mortgage loan Hospitality / Tampa, Florida + 4.15 %
−Removed: 8/7/2028 I/O N/A 27,124 26,900 —
−Removed: First mortgage loan Multifamily / Los Angeles, California + 3.25 %
−Removed: 1/5/2029 I/O N/A 47,500 47,300 —
−Removed: First mortgage loan Hospitality / Philadelphia, Pennsylvania + 4.05 %
−Removed: 1/7/2029 I/O N/A 31,249 30,958 —
−Removed: First mortgage loan
Hospitality / Salt Lake City, Utah
−Removed: 3/7/2029 I/O N/A 14,459 14,300 —
−Removed: CIM REAL ESTATE FINANCE TRUST, INC.
−Removed: SCHEDULE IV – MORTGAGE LOANS ON REAL ESTATE
−Removed: (in thousands)
−Removed: Carrying Amount of
−Removed: Amount of Loans Subject
−Removed: Final Periodic Face Mortgages at to Delinquent
−Removed: Interest Maturity Payment Prior Amount of December 31, Principal or
−Removed: Loan Type Description / Location Rate (a)
−Removed: Liens Mortgages (d)
−Removed: First mortgage loan
Hospitality / Alexandria, Virginia
−Removed: 9/7/2029 I/O N/A $ 31,000 $ 30,707 $ —
−Removed: First mortgage loan
Multifamily / Salt Lake City, Utah
−Removed: 11/9/2029 I/O
−Removed: N/A 32,500 32,185 —
−Removed: Total loans $ 3,483,454 $ 3,466,929 $ 375,732
−Removed: Current expected credit losses (g)
−Removed: — ( 381,825 ) —
+Added: Industrial / Houston, Texas
+Added: Hospitality / Casper, Wyoming
+Added: Hospitality / Prussia , Pennsylvania
+Added: Hospitality / New Orleans, Louisianna
+Added: Multifamily / Phoenix, Arizona
+Added: Multifamily / Salt Lake City, Utah
+Added: Mixed-Use / Boston, Massachusetts
+Added: Hospitality / Various
+Added: Hospitality / Various
+Added: Hospitality / Various
+Added: Mixed-Use / Dallas, Texas
+Added: Current expected credit losses (h)
Total loans, net
+Added: CIM REAL ESTATE FINANCE TRUST, INC.
+Added: SCHEDULE IV – MORTGAGE LOANS ON REAL ESTATE
+Added: (in thousands)
____________________________________
4 unchanged sentences
(e) The tax basis of the loans included above is $ 3.4 billion as of December 31, 2025.
−Removed: (f) As of December 31, 2024, the first mortgage loan is comprised of contiguous mezzanine loan components that, as a whole, have expected credit quality similar to that of a first mortgage loan.
−Removed: (g) As of December 31, 2024, the Company’s current expected credit losses related to its loans held-for-investment totaled $ 392.1 million, $ 381.8 million of which was related to the CRE loans.
+Added: (f) As of December 31, 2025, the first mortgage loan was in maturity default.
+Added: Subsequent to December 31, 2025, the first mortgage loan was repaid in full, inclusive of $ 4.6 million in accrued interest and fees.
+Added: (g) The Company modified the first mortgage loan during the year ended December 31, 2025 and as a result of the modification, is not subject to any interest payments, provided no event of default occurs as defined in the loan agreement, as further discussed in Note 8 — Loans Held-For-Investment
+Added: (h) As of December 31, 2025, the Company’s current expected credit losses related to its loans held-for-investment totaled $ 297.9 million, $ 287.2 million of which was related to the CRE loans.
The following table reconciles mortgage loans on real estate for the years ended December 31 (in thousands):
Year Ended December 31,
−Removed: 2024 2023 2022
Balance, beginning of period
Additions during period:
−Removed: New loans 162,892 483,099 1,401,539
+Added: Loan originations, acquisitions and funding
Capitalized interest
4 unchanged sentences
Capitalized interest
−Removed: Foreclosures — — —
+Added: Transfer to real estate assets
+Added: Charge-offs of CECL
Deferred fees and other items
1 unchanged sentence
Provision for credit losses
−Removed: ( 272,585 ) ( 88,888 ) ( 10,422 )
Net balance, end of period
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.