OMEGA HEALTHCARE INVESTORS INC 10-Q

Item 1 - Financial Statements OMEGA HEALTHCARE INVESTORS, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share amounts) ​ ​ ​ ​ ​ ​ ​ ​ March 31, December 31, ​ 2025 2024 ​ ​ (Unaudited) ​ ​ ​ ASSETS ​ ​ ​ ​ ​ Real estate assets ​ ​ Buildings and improvements ​ $ 7,499,035 $ 7,342,497 Land ​ ​ 1,087,663 ​ ​ 996,701 Furniture and equipment ​ ​ 519,025 ​ ​ 510,106 Construction in progress ​ ​ 6,820 ​ ​ 210,870 Total real estate assets ​ ​ 9,112,543 ​ ​ 9,060,174 Less accumulated depreciation ​ ( 2,779,419 ) ( 2,721,016 ) Real estate assets – net ​ 6,333,124 6,339,158 Investments in direct financing leases – net ​ — 9,453 Real estate loans receivable – net ​ 1,406,189 1,428,298 Investments in unconsolidated joint ventures ​ 88,691 88,711 Assets held for sale ​ — 56,194 Total real estate investments ​ ​ 7,828,004 ​ ​ 7,921,814 Non-real estate loans receivable – net ​ 329,656 332,274 Total investments ​ 8,157,660 8,254,088 ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ 367,957 518,340 Restricted cash ​ 36,115 30,395 Contractual receivables – net ​ 14,036 12,611 Other receivables and lease inducements ​ ​ 263,008 ​ ​ 249,317 Goodwill ​ 644,063 643,664 Other assets ​ 222,899 189,476 Total assets ​ $ 9,705,738 $ 9,897,891 ​ ​ ​ ​ ​ ​ ​ LIABILITIES AND EQUITY ​ Revolving credit facility ​ $ — $ — Secured borrowings ​ 248,288 243,310 Senior notes and other unsecured borrowings – net ​ 4,197,975 4,595,549 Accrued expenses and other liabilities ​ 327,452 328,193 Total liabilities ​ 4,773,715 5,167,052 ​ ​ ​ ​ ​ ​ ​ Preferred stock $ 1.00 par value authorized – 20,000 shares, issued and outstanding – none ​ ​ — ​ ​ — Common stock $ 0.10 par value authorized – 350,000 shares, issued and outstanding – 286,238 shares as of March 31, 2025 and 279,129 shares as of December 31, 2024 ​ 28,623 ​ 27,912 Additional paid-in capital ​ 8,179,841 ​ 7,915,873 Cumulative net earnings ​ 4,195,939 ​ 4,086,907 Cumulative dividends paid ​ ( 7,706,034 ) ​ ( 7,516,750 ) Accumulated other comprehensive income ​ 42,566 ​ 22,731 Total stockholders’ equity ​ 4,740,935 ​ 4,536,673 Noncontrolling interest ​ 191,088 ​ 194,166 Total equity ​ 4,932,023 ​ 4,730,839 Total liabilities and equity ​ $ 9,705,738 $ 9,897,891 See notes to consolidated financial statements . 2 Table of Contents OMEGA HEALTHCARE INVESTORS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS Unaudited (in thousands, except per share amounts) ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ March 31, ​ 2025 2024 Revenues ​ ​ ​ ​ ​ ​ Rental income ​ $ 232,178 ​ $ 206,921 Interest income ​ 43,116 ​ 35,836 Miscellaneous income ​ 1,491 ​ 542 Total revenues ​ 276,785 ​ 243,299 ​ ​ ​ ​ ​ ​ ​ Expenses ​ ​ Depreciation and amortization ​ 79,875 ​ 74,557 General and administrative ​ 32,057 ​ 21,532 Real estate taxes ​ ​ 3,311 ​ ​ 3,798 Acquisition, merger and transition related costs ​ 1,464 ​ 2,603 Impairment on real estate properties ​ 1,235 ​ 5,292 Provision for credit losses ​ 5,092 ​ 8,470 Interest expense ​ 52,280 ​ 57,820 Total expenses ​ 175,314 ​ 174,072 ​ ​ ​ ​ ​ ​ ​ Other income (expense) ​ ​ ​ Other income – net ​ 3,047 ​ 5,276 Loss on debt extinguishment ​ — ​ ( 1,283 ) Gain (loss) on assets sold – net ​ ​ 10,075 ​ ​ ( 1,391 ) Total other income ​ 13,122 ​ 2,602 ​ ​ ​ ​ ​ ​ ​ Income before income tax expense and income from unconsolidated joint ventures ​ 114,593 ​ 71,829 Income tax expense ​ ( 3,611 ) ​ ( 2,581 ) Income from unconsolidated joint ventures ​ 1,078 ​ 98 Net income ​ 112,060 ​ 69,346 Net income attributable to noncontrolling interest ​ ( 3,028 ) ​ ( 1,985 ) Net income available to common stockholders ​ $ 109,032 ​ $ 67,361 ​ ​ ​ ​ ​ ​ ​ Earnings per common share available to common stockholders: ​ ​ Basic: ​ ​ Net income available to common stockholders ​ $ 0.34 ​ $ 0.27 Diluted: ​ ​ Net income available to common stockholders ​ $ 0.33 ​ $ 0.27 ​ See notes to consolidated financial statements . ​ 3 Table of Contents OMEGA HEALTHCARE INVESTORS, INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Unaudited (in thousands) ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ March 31, ​ 2025 2024 Net income ​ $ 112,060 ​ $ 69,346 Other comprehensive income (loss) ​ ​ ​ Foreign currency translation ​ 25,371 ​ ( 4,288 ) Cash flow hedges ​ ( 4,961 ) ​ 6,877 Total other comprehensive income ​ 20,410 ​ 2,589 Comprehensive income ​ 132,470 ​ 71,935 Comprehensive income attributable to noncontrolling interest ​ ( 3,603 ) ​ ( 2,060 ) Comprehensive income attributable to common stockholders ​ $ 128,867 ​ $ 69,875 ​ See notes to consolidated financial statements. ​ ​ 4 Table of Contents OMEGA HEALTHCARE INVESTORS, INC. CONSOLIDATED STATEMENTS OF EQUITY Three Months Ended March 31, 2025 and 2024 Unaudited (in thousands, except per share amounts) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Accumulated ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Common ​ Additional ​ Cumulative ​ Cumulative ​ Other ​ Total ​ ​ ​ ​ ​ ​ Stock ​ Paid-in ​ Net ​ Dividends ​ Comprehensive ​ Stockholders’ ​ Noncontrolling ​ Total ​ Par Value Capital Earnings Paid Income Equity Interest Equity Balance at December 31, 2024 ​ $ 27,912 ​ $ 7,915,873 ​ $ 4,086,907 ​ $ ( 7,516,750 ) ​ $ 22,731 ​ $ 4,536,673 ​ $ 194,166 ​ $ 4,730,839 Stock related compensation ​ ​ — ​ ​ 15,878 ​ ​ — ​ ​ — ​ ​ — ​ ​ 15,878 ​ ​ — ​ ​ 15,878 Issuance of common stock ​ ​ 711 ​ ​ 260,012 ​ ​ — ​ ​ — ​ ​ — ​ ​ 260,723 ​ ​ — ​ ​ 260,723 Common dividends declared ($ 0.67 per share) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 189,284 ) ​ ​ — ​ ​ ( 189,284 ) ​ ​ — ​ ​ ( 189,284 ) Vesting/exercising of Omega OP Units ​ ​ — ​ ​ ( 11,922 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 11,922 ) ​ ​ 11,922 ​ ​ — Omega OP Units distributions ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 18,603 ) ​ ​ ( 18,603 ) Other comprehensive income ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ 19,835 ​ ​ 19,835 ​ ​ 575 ​ ​ 20,410 Net income ​ ​ — ​ ​ — ​ ​ 109,032 ​ ​ — ​ ​ — ​ ​ 109,032 ​ ​ 3,028 ​ ​ 112,060 Balance at March 31, 2025 ​ $ 28,623 ​ $ 8,179,841 ​ $ 4,195,939 ​ $ ( 7,706,034 ) ​ $ 42,566 ​ $ 4,740,935 ​ $ 191,088 ​ $ 4,932,023 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balance at December 31, 2023 ​ $ 24,528 ​ $ 6,671,198 ​ $ 3,680,581 ​ $ ( 6,831,061 ) ​ $ 29,338 ​ $ 3,574,584 ​ $ 187,707 ​ $ 3,762,291 Stock related compensation ​ ​ — ​ ​ 9,284 ​ ​ — ​ ​ — ​ ​ — ​ ​ 9,284 ​ ​ — ​ ​ 9,284 Issuance of common stock ​ ​ 108 ​ ​ 32,242 ​ ​ — ​ ​ — ​ ​ — ​ ​ 32,350 ​ ​ — ​ ​ 32,350 Common dividends declared ($ 0.67 per share) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 164,815 ) ​ ​ — ​ ​ ( 164,815 ) ​ ​ — ​ ​ ( 164,815 ) Vesting/exercising of Omega OP Units ​ ​ — ​ ​ ( 7,722 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 7,722 ) ​ ​ 7,722 ​ ​ — Conversion and redemption of Omega OP Units to common stock ​ ​ 1 ​ ​ 331 ​ ​ — ​ ​ — ​ ​ — ​ ​ 332 ​ ​ ( 332 ) ​ ​ — Omega OP Units distributions ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 10,452 ) ​ ​ ( 10,452 ) Other comprehensive income ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ 2,514 ​ ​ 2,514 ​ ​ 75 ​ ​ 2,589 Net income ​ ​ — ​ ​ — ​ ​ 67,361 ​ ​ — ​ ​ — ​ ​ 67,361 ​ ​ 1,985 ​ ​ 69,346 Balance at March 31, 2024 ​ $ 24,637 ​ $ 6,705,333 ​ $ 3,747,942 ​ $ ( 6,995,876 ) ​ $ 31,852 ​ $ 3,513,888 ​ $ 186,705 ​ $ 3,700,593 ​ ​ 5 Table of Contents OMEGA HEALTHCARE INVESTORS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS Unaudited (in thousands) ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 Cash flows from operating activities ​ ​ Net income ​ $ 112,060 ​ $ 69,346 Adjustment to reconcile net income to net cash provided by operating activities: ​ ​ ​ Depreciation and amortization ​ 79,875 ​ 74,557 Impairment on real estate properties ​ 1,235 ​ 5,292 Straight-line rent and other write-offs ​ 10,000 ​ — Provision for credit losses ​ 5,092 ​ 8,470 Amortization of deferred financing costs and loss on debt extinguishment ​ 1,380 ​ 4,959 Stock-based compensation expense ​ 15,812 ​ 9,227 (Gain) loss on assets sold – net ​ ( 10,075 ) ​ 1,391 Straight-line rent and effective interest receivables ​ ( 12,583 ) ​ ( 9,201 ) Interest paid-in-kind ​ ​ ( 2,471 ) ​ ​ ( 3,575 ) (Income) loss from unconsolidated joint ventures ​ ​ ( 121 ) ​ ​ 827 Other non-cash items ​ 255 ​ ( 497 ) Change in operating assets and liabilities – net: ​ ​ ​ Contractual receivables ​ ( 1,425 ) ​ 915 Lease inducements ​ ( 9,750 ) ​ 233 Other operating assets and liabilities ​ ( 7,332 ) ​ ( 10,470 ) Net cash provided by operating activities ​ 181,952 ​ 151,474 Cash flows from investing activities ​ ​ ​ ​ Acquisition deposit ​ ( 30,111 ) ​ — Acquisition of real estate ​ ( 58,365 ) ​ ( 13,262 ) Net proceeds from sale of real estate investments ​ 120,881 ​ 10,089 Investments in construction in progress ​ ( 15,081 ) ​ ( 14,506 ) Investment in loan receivables and other ​ ( 41,111 ) ​ ( 48,113 ) Collection of loan principal ​ 62,757 ​ 14,342 Investments in unconsolidated joint ventures ​ ​ ( 1,014 ) ​ ​ ( 61 ) Distributions from unconsolidated joint ventures in excess of earnings ​ 1,156 ​ 942 Capital improvements to real estate investments ​ ( 20,173 ) ​ ( 6,941 ) Proceeds from net investment hedges ​ — ​ 8,429 Receipts from insurance proceeds ​ 322 ​ 1,627 Net cash provided by (used in) investing activities ​ 19,261 ​ ( 47,454 ) Cash flows from financing activities ​ ​ Payments of long-term borrowings ​ ( 400,600 ) ​ ( 41,878 ) Payments of financing related costs ​ — ​ ( 1,283 ) Net proceeds from issuance of common stock ​ 260,723 ​ 32,350 Dividends paid ​ ( 189,218 ) ​ ( 164,758 ) Distributions to Omega OP Unit Holders ​ ( 18,603 ) ​ ( 10,452 ) Net cash used in financing activities ​ ( 347,698 ) ​ ( 186,021 ) Effect of foreign currency translation on cash, cash equivalents and restricted cash ​ 1,822 ​ 297 Decrease in cash, cash equivalents and restricted cash ​ ( 144,663 ) ​ ( 81,704 ) Cash, cash equivalents and restricted cash at beginning of period ​ 548,735 ​ 444,730 Cash, cash equivalents and restricted cash at end of period ​ $ 404,072 ​ $ 363,026 ​ See notes to consolidated financial statements . ​ ​ 6 Table of Contents OMEGA HEALTHCARE INVESTORS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Unaudited March 31, 2025 ​ NOTE 1 – BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Business Overview and Organization Omega Healthcare Investors, Inc. (“Parent”) is a Maryland corporation that, together with its consolidated subsidiaries (collectively, “Omega,” the “Company,” “we,” “our” or “us”) invests in healthcare-related real estate properties located in the United States (“U.S.”) and the United Kingdom (“U.K.”). Our core business is to provide financing and capital to the long-term healthcare industry with a particular focus on skilled nursing facilities (“SNFs”), assisted living facilities (“ALFs”), and to a lesser extent, independent living facilities (“ILFs”), rehabilitation and acute care facilities (“specialty facilities”) and medical office buildings. Our core portfolio consists of long-term “triple net” leases and real estate loans with healthcare operating companies and affiliates (collectively, our “operators”). In addition to our core investments, we make loans to operators and/or their principals. From time to time, we also acquire equity interests in joint ventures or entities that support the long-term healthcare industry and our operators. Omega has elected to be taxed as a real estate investment trust (“REIT”) for federal income tax purposes and is structured as an umbrella partnership REIT (“UPREIT”) under which all of Omega’s assets are owned directly or indirectly by, and all of Omega’s operations are conducted directly or indirectly through, its operating partnership subsidiary, OHI Healthcare Properties Limited Partnership (collectively with its subsidiaries, “Omega OP”). Omega has exclusive control over Omega OP’s day-to-day management pursuant to the partnership agreement governing Omega OP. As of March 31, 2025, Parent owned 97 % of the issued and outstanding units of partnership interest in Omega OP (“Omega OP Units”), and other investors owned 3 % of the outstanding Omega OP Units. Basis of Presentation and Principles of Consolidation The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and notes required by U.S. generally accepted accounting principles (“GAAP”) for complete financial statements. In our opinion, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The results of operations for the interim periods reported herein are not necessarily indicative of results to be expected for the full year. These unaudited consolidated financial statements should be read in conjunction with the financial statements and the footnotes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2024. Omega’s consolidated financial statements include the accounts of Omega Healthcare Investors, Inc., its wholly-owned subsidiaries and the joint ventures (“JVs”) and variable interest entities (“VIEs”) that it controls, through voting rights or other means. All intercompany transactions and balances have been eliminated in consolidation. Reclassifications Certain line items in our Consolidated Statements of Cash Flows have been combined to conform to the current period presentation. 7 Table of Contents Recent Accounting Pronouncements ASU – 2024-01, Compensation – Stock Compensation (Topic 718): Scope Application of Profits Interests and Similar Awards In March 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-01, which adds an example that illustrates how to apply the scope guidance to determine whether a profits interest award should be accounted for as a share-based payment arrangement under Topic 718 or another accounting standard. The guidance is effective for the annual periods beginning after December 15, 2024 and interim periods within those annual periods. The amendments may be applied either retrospectively or prospectively on the date of adoption. Early adoption is permitted. We adopted the guidance in the first quarter of 2025. The Company evaluated and concluded that there is no impact of this new guidance on its financial statements. ASU – 2024-03, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses In November 2024, the FASB issued ASU 2024-03, which requires disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. The guidance is effective for the first annual reporting period beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027. The amendments in this update are to be applied on a prospective basis, with the option for retrospective application. Early adoption is permitted. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and disclosures. ASU – 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, which modifies the rules on income tax disclosures to require entities to disclose (i) specific categories in the rate reconciliation, (ii) the income or loss from continuing operations before income tax expense or benefit (separated between domestic and foreign) and (iii) income tax expense or benefit from continuing operations (separated by federal, state and foreign). The guidance also requires entities to disclose their income tax payments to international, federal, state and local jurisdictions. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The guidance should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and disclosures. NOTE 2 – REAL ESTATE ASSETS At March 31, 2025, our leased real estate properties included 575 SNFs, 296 ALFs, 19 ILFs, 18 specialty facilities and one medical office building. The following table summarizes the Company’s rental income: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Fixed income from operating leases $ 228,195 ​ $ 203,292 Variable income from operating leases ​ 3,803 ​ ​ 3,377 Interest income from direct financing leases ​ 180 ​ ​ 252 Total rental income $ 232,178 ​ $ 206,921 ​ Our variable income from operating leases primarily represents the reimbursement by operators for real estate taxes that Omega pays directly. 8 Table of Contents Asset Acquisitions The following table summarizes the asset acquisitions that occurred during the three months ended March 31, 2025: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of ​ ​ ​ Total Real Estate ​ Initial ​ ​ Facilities ​ Assets Acquired (1) Annual ​ Period ​ SNF ALF ​ Country/State ​ (in millions) ​ Cash Yield (2) ​ Q1 ​ — 2 TX ​ $ 10.6 ​ 9.9 % Q1 ​ — 4 ​ U.K. ​ ​ 47.7 ​ 10.0 % Total — 6 ​ ​ $ 58.3 ​ ​ (1) Represents the acquisition cost that was allocated to our real estate assets on a relative fair value basis. This also represents the total cost of the acquisition unless specifically noted within the table, as the assets acquired in our acquisitions typically consists of only real estate assets. From time to time we may have acquisitions in which additional assets and liabilities are assumed. (2) Initial annual cash yield reflects the initial annual contractual cash rent divided by the purchase price. In addition to the asset acquisitions disclosed above, we also made a £ 23.8 million deposit during the first quarter of 2025 which is discussed further in Note 18 – Commitments and Contingencies. Construction in Progress and Capital Expenditure Investments We invested $ 35.3 million and $ 21.4 million under our construction in progress and capital improvement programs during the three months ended March 31, 2025 and 2024, respectively. As of March 31, 2025, construction in progress included three projects consisting of the development of a SNF in Virginia, a SNF in Florida and a SNF in Maryland. During the first quarter of 2025, we purchased a real estate property located in Maryland for approximately $ 4.0 million that will be redeveloped into a SNF. Concurrent with the acquisition, we amended our lease with an existing operator to include the property in the lease. We are committed to a maximum funding of $ 22.5 million for the development of the property. As of March 31, 2025, $ 4.0 million was included in construction in progress related to this development project. In February 2025, we placed a $ 201.8 million construction in progress project, Inspir Embassy Row, a development of an ALF in Washington D.C., into service and began recognizing rental income associated with this project. The facility is subject to a 24-year single facility lease with an entity that is jointly owned by Maplewood Senior Living (along with affiliates, “Maplewood”) and a third-party investor. The lease provides for an annual cash yield of 6 % in the first year following the completion of construction. We recognized full contractual rental income of $ 2.1 million associated with the lease for the new facility for the three months ended March 31, 2025. Direct Financing Lease As of December 31, 2024, we had one direct financing lease with a net investment of $ 9.5 million. During the first quarter of 2025, we terminated the direct financing lease, along with several operating leases with the same operator, and entered into a new consolidated operating lease for all facilities leased to the operator. In connection with the termination of the direct financing lease, we reclassified $ 9.4 million from investment in direct financing lease to real estate assets. In connection with the execution of the new consolidated lease agreement, we paid $ 10.0 million to the operator, which was treated as lease inducement. As this operator is on a cash basis of revenue recognition, the inducement was immediately expensed and was recorded as a reduction to the rental income recognized for the three months ended March 31, 2025. See additional discussion within Note 4 – Contractual Receivables and Other Receivables and Lease Inducements. 9 Table of Contents NOTE 3 – ASSETS HELD FOR SALE, DISPOSITIONS AND IMPAIRMENTS Periodically we sell facilities to reduce our exposure to certain operators, geographies and non-strategic assets or due to the exercise of a tenant purchase option. The following is a summary of our assets held for sale: ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ 2025 2024 Number of facilities held for sale ​ — ​ ​ 12 Amount of assets held for sale (in thousands) $ — ​ $ 56,194 ​ Asset Sales During the three months ended March 31, 2025, we sold 27 facilities ( 26 SNFs and one ALF) for $ 120.9 million in net cash proceeds. As a result of these sales, we recognized a net gain of $ 10.1 million. For one 12-facility sale recognized during the quarter, Omega could receive additional consideration, at a future date, contingent upon the occurrence of certain events that are outside of our control. Given these events are not within Omega’s control, the uncertainty surrounding the timing of the events, and the probability of collection, we have not recognized any of this additional consideration as of the sale date. During the three months ended March 31, 2024, we sold four facilities ( four SNFs) for approximately $ 10.1 million in net cash proceeds. As a result of these sales, we recognized a net loss of $ 1.4 million. Sales Not Recognized As of March 31, 2025 and December 31, 2024, we had three facility sales that were not recognized as a result of not meeting the contract criteria under ASC 610-20 at the legal sale date. During the three months ended March 31, 2025 and 2024, we received interest of $ 1.1 million and $ 0.3 million, respectively, related to seller financing provided in connection with sales that were not recognized. The interest received was deferred and recorded as a contract liability within accrued expenses and other liabilities on our Consolidated Balance Sheets. Real Estate Impairments During the three months ended March 31, 2025, we recorded an impairment of $ 1.2 million on one held for use facility for which the carrying value exceeded the fair value. During the three months ended March 31, 2024, we recorded impairments of $ 5.3 million on three held for use facilities for which the carrying value exceeded the fair value. To estimate the fair value of the facilities for the impairments noted above, we utilized a market approach that considered binding sale agreements (a Level 1 input) or non-binding offers from unrelated third parties and/or broker quotes (a Level 3 input). NOTE 4 – CONTRACTUAL RECEIVABLES AND OTHER RECEIVABLES AND LEASE INDUCEMENTS Contractual receivables relate to the amounts currently owed to us under the terms of our lease and loan agreements. Effective yield interest receivables relate to the difference between the interest income recognized on an effective yield basis over the term of the loan agreement and the interest currently due to us according to the contractual agreement. Straight-line rent receivables relate to the difference between the rental revenue recognized on a straight-line basis and the amounts currently due to us according to the contractual agreement. Lease inducements result from value provided by us to the lessee, at the inception, modification or renewal of the lease, and are amortized as a reduction of rental income over the non-cancellable lease term. 10 Table of Contents A summary of our net receivables and lease inducements by type is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ ​ 2025 2024 ​ ​ (in thousands) ​ Contractual receivables – net ​ $ 14,036 ​ $ 12,611 ​ ​ ​ ​ ​ ​ ​ ​ ​ Effective yield interest receivables ​ $ 1,968 ​ $ 1,839 ​ Straight-line rent receivables ​ 252,406 ​ 238,690 ​ Lease inducements ​ 8,634 ​ 8,788 ​ Other receivables and lease inducements ​ $ 263,008 ​ $ 249,317 ​ ​ Cash Basis Operators and Straight-Line Receivable Write-Offs We review our collectibility assumptions related to rental income from our operator leases on an ongoing basis. During the three months ended March 31, 2025, we did no t place any operators on a cash basis of revenue recognition . During the three months ended March 31, 2024, we entered into a lease with a new operator as part of the transition of facilities from another operator. As we had no previous relationship with this new operator and collection of substantially all contractual lease payments due from the new operator was not deemed probable, we placed the new operator on a cash basis of revenue recognition. We did no t have any straight-line receivable write-offs through rental income as a result of placing operators on a cash basis during either of the three months ended March 31, 2025 and 2024, respectively. As of March 31, 2025, we had 20 operators on a cash basis for revenue recognition, which represent 18.6 % and 19.4 % of our total revenues for the three months ended March 31, 2025 and 2024, respectively. Rent Deferrals and Application of Collateral During the three months ended March 31, 2025 and 2024, we allowed two and three operators to defer $ 1.4 million and $ 0.9 million, respectively, of contractual rent and interest. The deferrals during the three months ended March 31, 2025 and 2024 primarily related to Maplewood ($ 1.2 million and $ 0.7 million, respectively). During the three months ended March 31, 2025 and 2024, we received repayments of deferred rent of $ 0.8 million and $ 0.5 million, respectively. Additionally, we allowed one and four operators to apply collateral, such as security deposits or letters of credit, to contractual rent and interest during the three months ended March 31, 2025 and 2024, respectively. The total collateral applied to contractual rent and interest was $ 4.3 million and $ 0.5 million for the three months ended March 31, 2025 and 2024, respectively. Operator Collectibility Updates Maplewood In the first quarter of 2025, Maplewood paid $ 13.6 million of contractual rent, a short pay of $ 6.0 million of the $ 19.6 million (consisting of $ 17.3 million of contractual rent and $ 2.3 million of contractual interest) due under its lease and loan agreements. These amounts do not include contractual rent and payments related to Inspir Embassy Row in Washington D.C. of $ 2.1 million, which is separately disclosed in Note 2 – Real Estate Assets. Maplewood initially short-paid the contractual rent amount due under its lease agreement during the second quarter of 2023 and has not made full contractual rent and interest payments since that time. Maplewood is on a cash basis of revenue recognition for lease purposes, and we recorded rental income of $ 13.6 million and $ 11.3 million for the three months ended March 31, 2025 and 2024, respectively, for contractual rent payments that were received from Maplewood. 11 Table of Contents As discussed further in Note 5 – Real Estate Loans Receivable, no interest income was recorded on the Maplewood secured revolving credit facility during the three months ended March 31, 2025 and 2024 as the loan is on non-accrual status for interest recognition. In April 2025, Maplewood short-paid the contractual rent and interest amounts due under its lease and loan agreements by $ 2.1 million. As previously disclosed, we entered into a settlement agreement with the Greg Smith, principal and chief executive officer of Maplewood, estate (the “Estate”) in the third quarter of 2024 that, among other things, grants Omega the right to direct the assignment of Mr. Smith’s equity to the key members of the existing Maplewood management team or their designee(s) or another designee of Omega’s choosing, with the Estate remaining liable under Mr. Smith’s guaranty until the transition is complete or one year from the court’s approval date, if earlier, and requires Omega to refrain from exercising contractual rights or remedies in connection with the defaults. We are still awaiting regulatory approvals related to licensure of the operating assets before the transition will be completed. LaVie In the first quarter of 2025, LaVie Care Centers, LLC (“LaVie”) paid full contractual rent of $ 9.3 million. As LaVie is on a cash basis of revenue recognition for lease purposes, rental income recorded was equal to cash received of $ 9.3 million and $ 4.4 million during the three months ended March 31, 2025 and 2024, respectively. We did no t recognize any interest income related to LaVie during the three months ended March 31, 2025 and 2024 as the three loans outstanding have PIK interest and are on non-accrual status. For additional discussion on the LaVie loans please see Note 6 – Non-Real Estate Loans Receivable. In April 2025, LaVie paid full contractual rent of $ 3.1 million due under its lease agreement. LaVie commenced voluntary cases under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division (the “Bankruptcy Court”) in June 2024. On December 5, 2024, a plan of reorganization was confirmed by the Bankruptcy Court, pursuant to which the LaVie master lease agreement will be assumed and assigned by certain of the debtor(s) to operators designated by the Plan Sponsor upon the effective date of the plan. Genesis Genesis Healthcare, Inc. (“Genesis”) was placed on a cash basis during the third quarter of 2020 based on information the Company received from Genesis regarding substantial doubt as to their ability to continue as a going concern. Genesis continued to make their rent and interest payments to us until March 2025, when it failed to make the rent payment due under its lease agreement and the interest payment due under one of its three loan agreements. As Genesis is on a cash basis of revenue recognition, we recognized rental income of $ 12.5 million related to Genesis during the three months ended March 31, 2025, which includes $ 8.3 million for contractual rent payments received and $ 4.2 million from the application of proceeds from the letter of credit that was held as collateral from Genesis. During the three months ended March 31, 2024, we recognized rental income of $ 11.9 million for contractual rent payments received from Genesis. In addition, we recognized $ 4.2 million (which includes $ 0.1 million from the application of proceeds from the letter of credit) related to three loans with Genesis and $ 3.5 million of interest income related to two loans with Genesis during the three months ended March 31, 2025 and 2024, respectively. After the application of proceeds from the letter of credit, there is $ 3.5 million remaining under the letter of credit. For additional information on the loans with Genesis, see Note 6 – Non-real Estate Loans Receivable and Note 7 – Allowance for Credit losses. In April 2025, Genesis paid full contractual rent and interest of $ 4.8 million. Lease Inducements As discussed in Note 2 – Real Estate Assets, in connection with a new lease agreement entered into during the first quarter of 2025, we agreed to provide a one-time payment of $ 10.0 million to an operator as a lease inducement. As this operator is on a cash basis of revenue recognition, the inducement was immediately expensed and was recorded as a reduction to the rental income recognized for the three months ended March 31, 2025. 12 Table of Contents NOTE 5 – REAL ESTATE LOANS RECEIVABLE Real estate loans consist of mortgage notes and other real estate loans which are primarily collateralized by a first, second or third mortgage lien or a leasehold mortgage on, or an assignment of the partnership interest in the related properties. As of March 31, 2025, our real estate loans receivable consists of 21 fixed rate mortgage notes on 95 long-term care facilities and 19 other real estate loans. The facilities subject to the mortgage notes are operated by 16 independent healthcare operating companies and are located in 11 U.S. states and within the U.K. We monitor compliance with our real estate loans and, when necessary, have initiated collection, foreclosure and other proceedings with respect to certain outstanding real estate loans. A summary of our real estate loans receivable by loan type and by borrower and/or guarantor is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of March 31, 2025 ​ ​ ​ ​ ​ ​ Weighted ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ Average ​ ​ Average Years ​ ​ March 31, ​ December 31, ​ Interest Rate ​ ​ to Maturity ​ ​ 2025 2024 ​ ​ ​ ​ ​ ​ ​ ​ (in thousands) Mortgage notes receivable – gross ​ 10.9 % ​ 4.4 (1) ​ $ 944,108 $ 982,327 Allowance for credit losses on mortgage notes receivable ​ ​ ​ ​ ​ ​ ​ ​ ( 37,167 ) ​ ​ ( 39,562 ) Mortgage notes receivable – net ​ ​ ​ ​ ​ ​ ​ ​ 906,941 ​ ​ 942,765 Other real estate loans – gross ​ 9.1 % ​ 6.9 (2) ​ ​ 537,485 ​ ​ 517,220 Allowance for credit losses on other real estate loans ​ ​ ​ ​ ​ ​ ​ ( 38,237 ) ​ ( 31,687 ) Other real estate loans – net ​ ​ ​ ​ ​ ​ ​ ​ 499,248 ​ ​ 485,533 Total real estate loans receivable – net ​ ​ ​ ​ ​ ​ ​ $ 1,406,189 ​ $ 1,428,298 (1) Consists of mortgage notes with maturity dates ranging from 2025 through 2037 (with $ 194.1 million maturing in 2025). Two of the mortgage notes with an aggregate principal balance of $ 12.9 million are past due and have been written down, through our allowance for credit losses, to the estimated fair value of the underlying collateral of $ 1.5 million. (2) Consists of other real estate loans with maturity dates ranging from 2025 through 2035 (with $ 39.6 million maturing in 2025). Interest income on real estate loans is included within interest income on the Consolidated Statements of Operations and is summarized as follows: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Mortgage notes – interest income $ 26,005 $ 19,843 Other real estate loans – interest income 7,157 ​ 8,896 Total real estate loans interest income $ 33,162 ​ $ 28,739 ​ The following is a summary of advances and principal repayments under our real estate loans: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Advances on new real estate loans receivable (1) $ 20,047 $ 41,241 Advances on existing real estate loans receivable ​ 6,491 ​ 2,761 Principal repayments on real estate loans receivable (2) ( 43,504 ) ​ ( 3,990 ) Net cash advances (repayments) on real estate loans receivable $ ( 16,966 ) ​ $ 40,012 (1) Consists of advances under two and seven new real estate loans with a weighted average interest rate of 10.8 % and 9.6 % during the three months ended March 31, 2025 and 2024, respectively. (2) Includes $ 40.6 million of early repayments on mortgage notes with a weighted average interest rate of 11.6 % , as of March 31, 2025, subject to the master mortgage agreement with Ciena Healthcare Management, Inc (“Ciena”). Excludes principal recoveries on loans written off in prior periods and cash recoveries related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery method in which any payments received are applied directly against the principal balance outstanding. 13 Table of Contents Included below is additional discussion on any significant new loans issued and significant updates to any existing loans. Maplewood Revolving Credit Facility We have a $ 320 million revolving credit facility with Maplewood (the “Maplewood Revolver”) that bears interest at 7 % per annum ( 4 % cash interest and 3 % PIK for 2025) and matures in June 2035 . The amortized cost basis of the Maplewood Revolver was $ 263.6 million as of March 31, 2025 and December 31, 2024. Due to liquidity issues of the borrower, the Maplewood Revolver is on non-accrual status. During the three months ended March 31, 2025 and 2024, Maplewood failed to make aggregate cash interest payments of $ 2.3 million and $ 0.5 million that were required under the loan agreement. As such, we did no t record any interest income for the Maplewood Revolver during the three months ended March 31, 2025 and 2024. As discussed within Note 4 – Contractual Receivables and Other Receivables and Lease Inducements, Omega entered into a settlement agreement with the Estate during the third quarter of 2024 that, among other things, grants Omega the right to direct the assignment of Mr. Smith’s equity to the key members of the existing Maplewood management team or their designee(s), with the Estate remaining liable under Mr. Smith’s guaranty until the transition is complete or one year from the court’s approval date, if earlier, and requires Omega to refrain from exercising contractual rights or remedies in connection with the defaults. We are still awaiting regulatory approvals related to licensure of the operating assets before the transition will be completed. There is no certainty that the regulatory approvals will be received or that this transition will be completed as intended, on a timely basis, or at all. If the proposed transition plan is not completed, we may incur a substantial loss on the Maplewood Revolver up to the amortized cost basis of the loan. As of March 31, 2025, the internal risk rating on the loan is a 5, which reflects the risk of the loan as a result of the missed interest payments starting in 2024, discussed above, and due to the status of the on-going negotiations with the Estate. We believe the internal risk rating of a 5 appropriately reflects the risks as of March 31, 2025. See the allowance for credit losses attributable to real estate loans with a 5 internal risk rating within Note 7 – Allowance for Credit Losses. NOTE 6 – NON-REAL ESTATE LOANS RECEIVABLE Our non-real estate loans consist of fixed and variable rate loans to operators or principals. These loans may be either unsecured or secured by the collateral of the borrower, which may include the working capital of the borrower and/or personal guarantees. As of March 31, 2025, we had 45 loans with 29 different borrowers. A summary of our non-real estate loans by borrower and/or guarantor is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of March 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ Weighted ​ ​ ​ ​ ​ ​ Average ​ Average Years ​ ​ March 31, December 31, ​ Interest Rate ​ to Maturity ​ ​ 2025 2024 ​ ​ ​ ​ ​ ​ ​ (in thousands) Working capital loans receivable 9.6 % ​ 0.9 (1) ​ $ 59,790 ​ $ 57,071 Other loans receivable 10.0 % ​ 4.4 (2) ​ 395,364 ​ 397,998 Non-real estate loans receivable – gross ​ ​ ​ ​ ​ ​ ​ 455,154 ​ ​ 455,069 Allowance for credit losses on non-real estate loans receivable ​ ​ ​ ​ ​ ​ ​ ( 125,498 ) ​ ​ ( 122,795 ) Total non-real estate loans receivable – net ​ ​ ​ ​ ​ ​ $ 329,656 ​ $ 332,274 (1) Consists of revolving working capital loans receivable collateralized by the accounts receivable of the borrower with maturity dates ranging from 2025 to 2029 (with $ 54.4 million maturing in 2025). (2) Consists of other loans receivable with maturity dates ranging from 2025 to 2037 (with $ 41.5 million maturing in 2025 ). Three of the other notes outstanding with an aggregate principal balance of $ 19.3 million are past due and have been reserved down to the estimated fair value of the underlying collateral of zero through our allowance for credit losses. For the three months ended March 31, 2025 and 2024, non-real estate loans generated interest income of $ 10.0 million and $ 7.1 million, respectively. Interest income on non-real estate loans is included within interest income on the Consolidated Statements of Operations. 14 Table of Contents The following is a summary of advances and principal repayments under our non-real estate loans: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Advances on new non-real estate loans receivable $ 122 $ — Advances on existing non-real estate loans receivable ​ 14,405 ​ 4,110 Principal repayments on non-real estate loans receivable (1) ( 16,020 ) ​ ( 6,915 ) Net cash advances (repayments) on non-real estate loans receivable $ ( 1,493 ) ​ $ ( 2,805 ) (1) Excludes principal recoveries on loans written off in prior periods and cash recoveries related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery method in which any payments received are applied directly against the principal balance outstanding. Included below is additional discussion on any significant new loans issued and/or significant updates to any existing loans. LaVie Non-Real Estate Loans As of March 31, 2025, we had three non-real estate loans outstanding with LaVie that are all fully reserved, which includes a $ 10.0 million debtor-in-possession (“DIP”) financing provided during the second quarter of 2024 related to the bankruptcy filing. All three loans are on non-accrual status. During the first quarter of 2025, we funded an additional $ 4.0 million under the DIP loan, bringing the DIP loan principal balance outstanding to $ 10.0 million as of March 31, 2025. We reserved an additional $ 4.0 million through the provision for credit losses to reserve the DIP loan down to zero following the additional draws during the first quarter of 2025. We did no t record any interest income for any LaVie loans for the three months ended March 31, 2025 and 2024. Genesis Non-Real Estate Loans As of March 31, 2025, we had two non-real estate loans outstanding with Genesis that had an aggregate balance of $ 118.3 million both maturing on June 30, 2026 . The loans currently bear interest at a weighted average fixed interest rate of 13.2 % per annum, of which 8.2 % is paid-in-kind and 5 % is cash interest. The loans are collateralized by a first lien on the equity of several ancillary businesses of Genesis. Genesis made all required interest payments under both of the non-real estate loans during the first quarter of 2025. As discussed in Note 4 - Contractual Receivables and Other Receivables and Lease Inducements, Omega applied collateral to cover March 2025 contractual rent under its lease agreement and March 2025 contractual interest due under a $ 13.0 million other real estate loan agreement with Genesis. As part of our ongoing credit loss procedures, we evaluated the fair value of the collateral available to us under the two non-real estate loan agreements and estimate there is sufficient collateral to support the outstanding principal on the loans. 15 Table of Contents NOTE 7 – ALLOWANCE FOR CREDIT LOSSES A rollforward of our allowance for credit losses for the three months ended March 31, 2025 is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Rating ​ Financial Statement Line Item Allowance for Credit Loss as of December 31, 2024 ​ Provision (Recovery) for Credit Loss for the three months ended March 31, 2025 (1) ​ Write-offs charged against allowance for the three months ended March 31, 2025 ​ Other reductions to the allowance for the three months ended March 31, 2025 ​ Allowance for Credit Loss as of March 31, 2025 ​ ​ ​ (in thousands) 1 ​ Real estate loan receivable $ 312 ​ $ ( 9 ) ​ $ — ​ $ — ​ $ 303 2 ​ Real estate loans receivable ​ 492 ​ ​ ( 59 ) ​ ​ — ​ ​ — ​ ​ 433 3 ​ Real estate loans receivable ​ 10,991 ​ ​ 443 ​ ​ — ​ ​ — ​ ​ 11,434 4 ​ Real estate loans receivable ​ 22,528 ​ ​ ( 1,503 ) (2) ​ — ​ ​ — ​ ​ 21,025 5 ​ Real estate loans receivable ​ 25,476 ​ ​ 5,299 (2) ​ — ​ ​ — ​ ​ 30,775 6 ​ Real estate loans receivable ​ 11,450 ​ ​ ( 16 ) ​ ​ — ​ ​ — ​ ​ 11,434 ​ ​ Sub-total ​ 71,249 ​ ​ 4,155 ​ ​ — ​ ​ — ​ ​ 75,404 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 5 ​ Investment in direct financing leases ​ 1,605 ​ ​ — ​ ​ — ​ ​ ( 1,605 ) (3) ​ — ​ ​ Sub-total ​ 1,605 ​ ​ — ​ ​ — ​ ​ ( 1,605 ) ​ ​ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2 ​ Non-real estate loans receivable ​ 37 ​ ​ ( 3 ) ​ ​ — ​ ​ — ​ ​ 34 3 ​ Non-real estate loans receivable ​ 1,868 ​ ​ ( 89 ) ​ ​ — ​ ​ — ​ ​ 1,779 4 ​ Non-real estate loans receivable ​ 2,268 ​ ​ ( 866 ) ​ ​ — ​ ​ — ​ ​ 1,402 5 ​ Non-real estate loans receivable ​ 43,287 ​ ​ 125 ​ ​ — ​ ​ — ​ ​ 43,412 6 ​ Non-real estate loans receivable ​ 75,335 ​ ​ 3,536 ​ ​ — ​ ​ — ​ ​ 78,871 ​ ​ Sub-total ​ 122,795 ​ ​ 2,703 (4) ​ — ​ ​ — ​ ​ 125,498 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2 ​ Unfunded real estate loan commitments ​ 1 ​ ​ — ​ ​ — ​ ​ — ​ ​ 1 3 ​ Unfunded real estate loan commitments ​ 461 ​ ​ 84 ​ ​ — ​ ​ — ​ ​ 545 4 ​ Unfunded real estate loan commitments ​ 40 ​ ​ 2 ​ ​ — ​ ​ — ​ ​ 42 5 ​ Unfunded real estate loan commitments ​ 1,767 ​ ​ ( 252 ) ​ ​ — ​ ​ — ​ ​ 1,515 2 ​ Unfunded non-real estate loan commitments ​ 13 ​ ​ ( 8 ) ​ ​ — ​ ​ — ​ ​ 5 3 ​ Unfunded non-real estate loan commitments ​ 183 ​ ​ ( 19 ) ​ ​ — ​ ​ — ​ ​ 164 4 ​ Unfunded non-real estate loan commitments ​ 433 ​ ​ 150 ​ ​ — ​ ​ — ​ ​ 583 6 ​ Unfunded non-real estate loan commitments ​ 65 ​ ​ ( 65 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ Sub-total ​ 2,963 ​ ​ ( 108 ) ​ ​ — ​ ​ — ​ ​ 2,855 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total $ 198,612 ​ $ 6,750 ​ $ — ​ $ ( 1,605 ) ​ $ 203,757 ​ (1) During the three months ended March 31, 2025, we received proceeds of $ 1.4 million from the liquidating trust related to the $ 25.0 million debtor in possession facility to Gulf Coast Health Care LLC and proceeds of $ 0.3 million related to one other real estate loan, which resulted in a recovery for credit losses of $ 1.7 million. Both of the aforementioned loans and related reserves were previously written off so the $ 1.7 million aggregate recovery is not included in the rollforward above. (2) Amount reflects the movement of reserves associated with the $ 13.0 million other real estate loan with Genesis due to an adjustment to the internal risk rating on the loan from 4 to 5 during the first quarter of 2025. As discussed in further detail in Note 4 - Contractual Receivables and Other Receivables and Lease Inducements, Omega applied collateral in order to cover interest due in March 2025 on the loan. (3) Represents the allowance for credit losses related to an investment in direct financing lease that was reclassified to real estate assets in connection with the termination of the lease in the first quarter of 2025 as discussed further in Note 2 – Real Estate Assets. (4) The amount includes cash recoveries of $ 1.6 million related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery method in which any payments received are applied directly against the principal balance outstanding. This amount also includes $ 3.1 million related to principal payments received on loans that were fully reserved. 16 Table of Contents A rollforward of our allowance for credit losses for the three months ended March 31, 2024 is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Rating ​ Financial Statement Line Item Allowance for Credit Loss at December 31, 2023 ​ Provision (Recovery) for Credit Loss for the three months ended March 31, 2024 (1) ​ Write-offs charged against allowance for the three months ended March 31, 2024 ​ Allowance for Credit Loss as of March 31, 2024 ​ ​ ​ (in thousands) 1 ​ Real estate loans receivable $ 1,501 ​ $ ( 193 ) ​ $ — ​ $ 1,308 2 ​ Real estate loans receivable ​ 291 ​ ​ 269 ​ ​ — ​ ​ 560 3 ​ Real estate loans receivable ​ 12,635 ​ ​ 1,056 ​ ​ — ​ ​ 13,691 4 ​ Real estate loans receivable ​ 65,113 ​ ​ ( 29,915 ) (2) ​ — ​ ​ 35,198 5 ​ Real estate loans receivable ​ — ​ ​ 38,235 (2) ​ — ​ ​ 38,235 6 ​ Real estate loans receivable ​ 11,450 ​ ​ — ​ ​ — ​ ​ 11,450 ​ ​ Sub-total ​ 90,990 ​ ​ 9,452 ​ ​ — ​ ​ 100,442 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 5 ​ Investment in direct financing leases ​ 2,489 ​ ​ ( 191 ) ​ ​ — ​ ​ 2,298 ​ ​ Sub-total ​ 2,489 ​ ​ ( 191 ) ​ ​ — ​ ​ 2,298 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2 ​ Non-real estate loans receivable ​ 1,151 ​ ​ 191 ​ ​ — ​ ​ 1,342 3 ​ Non-real estate loans receivable ​ 3,903 ​ ​ 206 ​ ​ — ​ ​ 4,109 4 ​ Non-real estate loans receivable ​ 720 ​ ​ ( 110 ) ​ ​ — ​ ​ 610 5 ​ Non-real estate loans receivable ​ 43,404 ​ ​ 2,723 ​ ​ — ​ ​ 46,127 6 ​ Non-real estate loans receivable ​ 72,453 ​ ​ ( 605 ) ​ ​ ( 3,092 ) ​ ​ 68,756 ​ ​ Sub-total ​ 121,631 ​ ​ 2,405 (3) ​ ( 3,092 ) ​ ​ 120,944 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2 ​ Unfunded real estate loan commitments ​ 10 ​ ​ ( 5 ) ​ ​ — ​ ​ 5 3 ​ Unfunded real estate loan commitments ​ 335 ​ ​ 121 ​ ​ — ​ ​ 456 4 ​ Unfunded real estate loan commitments ​ 4,314 ​ ​ ( 4,239 ) ​ ​ — ​ ​ 75 5 ​ Unfunded real estate loan commitments ​ — ​ ​ 4,924 ​ ​ — ​ ​ 4,924 2 ​ Unfunded non-real estate loan commitments ​ 692 ​ ​ ( 112 ) ​ ​ — ​ ​ 580 3 ​ Unfunded non-real estate loan commitments ​ 46 ​ ​ ( 2 ) ​ ​ — ​ ​ 44 4 ​ Unfunded non-real estate loan commitments ​ 63 ​ ​ ( 21 ) ​ ​ — ​ ​ 42 5 ​ Unfunded non-real estate loan commitments ​ 1,594 ​ ​ ( 1,594 ) ​ ​ — ​ ​ — ​ ​ ​ ​ 7,054 ​ ​ ( 928 ) ​ ​ — ​ ​ 6,126 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total $ 222,164 ​ $ 10,738 ​ $ ( 3,092 ) ​ $ 229,810 (1) During the three months ended March 31, 2024, we received proceeds of $ 2.3 million from the liquidating trust related to the $ 25.0 million senior unsecured debtor in possession facility to Gulf Coast Health Care LLC, which resulted in a recovery for credit losses of $ 2.3 million that is not included in the rollforward above since we had previously written-off loan balance and related reserve. (2) Amount reflects the movement of reserves associated with the Maplewood Revolver due to an adjustment to the internal risk rating on the loan from 4 to 5 during the first quarter of 2024. See Note 5- Real Estate Loans Receivable for additional information. (3) The amount includes cash recoveries of $ 1.2 million related to interest payments received on loans that are written down to fair value and are being accounted for under the cost recovery method in which any payments received are applied directly against the principal balance outstanding. This amount also includes $ 0.2 million related to principal payments received on loans that were fully reserved. 17 Table of Contents A summary of our amortized cost basis by year of origination and credit quality indicator is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Rating Financial Statement Line Item 2025 2024 2023 2022 2021 2020 2019 & older Revolving Loans Balance as of March 31, 2025 ​ ​ (in thousands) 1 Real estate loans receivable $ — $ — $ — $ 20,000 $ — $ — $ — $ — $ 20,000 2 Real estate loans receivable ​ — ​ 29,700 ​ 8,680 ​ — ​ — ​ 21,325 ​ — ​ — ​ 59,705 3 Real estate loans receivable ​ 4,623 ​ 259,173 ​ 160,173 ​ 26,600 ​ 72,420 ​ — ​ — ​ — ​ 522,989 4 Real estate loans receivable ​ 15,420 ​ 79,632 ​ 82,300 ​ — ​ 31,763 ​ 72,465 ​ 307,833 ​ — ​ 589,413 5 Real estate loans receivable ​ — ​ 13,000 ​ — ​ — ​ — ​ — ​ — ​ 263,580 ​ 276,580 6 Real estate loans receivable ​ — ​ — ​ — ​ — ​ — ​ — ​ 12,906 ​ — ​ 12,906 ​ Sub-total ​ 20,043 ​ 381,505 ​ 251,153 ​ 46,600 ​ 104,183 ​ 93,790 ​ 320,739 ​ 263,580 ​ 1,481,593 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2 Non-real estate loans receivable ​ — ​ — ​ — ​ — ​ — ​ — ​ — ​ 16,239 ​ 16,239 3 Non-real estate loans receivable ​ — ​ 3,996 ​ 79,415 ​ 16,837 ​ — ​ — ​ 2,615 ​ 53,441 ​ 156,304 4 Non-real estate loans receivable ​ — ​ 4,411 ​ — ​ — ​ — ​ — ​ 119,314 ​ 28,982 ​ 152,707 5 Non-real estate loans receivable ​ — ​ 6,000 ​ 1,500 ​ — ​ — ​ — ​ 43,532 ​ — ​ 51,032 6 Non-real estate loans receivable ​ — ​ 5,470 ​ 3,812 ​ 24,457 ​ 7,851 ​ — ​ 27,282 ​ 10,000 ​ 78,872 ​ Sub-total ​ — ​ 19,877 ​ 84,727 ​ 41,294 ​ 7,851 ​ — ​ 192,743 ​ 108,662 ​ 455,154 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total $ 20,043 $ 401,382 $ 335,880 $ 87,894 $ 112,034 $ 93,790 $ 513,482 $ 372,242 $ 1,936,747 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year to date gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — ​ Interest Receivable on Real Estate Loans and Non-Real Estate Loans We have elected the practical expedient to exclude interest receivable from our allowance for credit losses. As of March 31, 2025 and December 31, 2024, we have excluded $ 12.7 million and $ 11.1 million, respectively, of contractual interest receivables and $ 2.0 million and $ 1.8 million, respectively, of effective yield interest receivables from our allowance for credit losses. We write-off contractual interest receivables to provision for credit losses in the period we determine the interest is no longer considered collectible. During the three months ended March 31, 2025 and 2024, we recognized $ 0.5 million and $ 1.0 million, respectively, of interest income related to loans on non-accrual status as of March 31, 2025. NOTE 8 – VARIABLE INTEREST ENTITIES Unconsolidated Variable Interest Entities We hold variable interests in several VIEs through our investing and financing activities, which are not consolidated, as we have concluded that we are not the primary beneficiary of these entities as we do not have the power to direct activities that most significantly impact the VIE’s economic performance and/or the variable interest we hold does not obligate us to absorb losses or provide us with the right to receive benefits from the VIE which could potentially be significant. 18 Table of Contents Below is a summary of our assets, liabilities, collateral and maximum exposure to loss associated with these unconsolidated VIEs as of March 31, 2025 and December 31, 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ ​ ​ 2025 2024 ​ ​ ​ (in thousands) ​ Assets ​ ​ ​ ​ ​ ​ ​ Real estate assets – net ​ $ 1,248,315 ​ $ 1,250,131 ​ Real estate loans receivable – net ​ 573,047 ​ ​ 534,048 ​ Investments in unconsolidated joint ventures ​ ​ 10,696 ​ ​ 9,754 ​ Non-real estate loans receivable – net ​ 17,241 ​ ​ 38,463 ​ Contractual receivables – net ​ 1,679 ​ ​ 994 ​ Other assets ​ ​ 769 ​ ​ 1,539 ​ Total assets ​ 1,851,747 ​ 1,834,929 ​ ​ ​ ​ ​ ​ ​ ​ ​ Liabilities ​ ​ ​ ​ ​ ​ ​ Accrued expenses and other liabilities ​ ​ ( 49,745 ) ​ ​ ( 52,692 ) ​ Total liabilities ​ ( 49,745 ) ​ ( 52,692 ) ​ ​ ​ ​ ​ ​ ​ ​ ​ Collateral ​ ​ ​ Personal guarantee ​ ( 48,000 ) ​ ​ ( 48,000 ) ​ Other collateral (1) ​ ( 1,346,990 ) ​ ​ ( 1,422,096 ) ​ Total collateral ​ ( 1,394,990 ) ​ ​ ( 1,470,096 ) ​ ​ ​ ​ ​ ​ ​ ​ ​ Maximum exposure to loss ​ $ 407,012 ​ $ 312,141 ​ (1) Amount excludes accounts receivable that Omega has a security interest in as collateral under the two working capital loans with operators that are unconsolidated VIEs. The fair value of the accounts receivable available to Omega was $ 3.8 million and $ 5.5 million as of March 31, 2025 and December 31, 2024, respectively. In determining our maximum exposure to loss from the unconsolidated VIEs, we considered the underlying carrying value of the real estate subject to leases with the operator and other collateral, if any, supporting our other investments, which may include accounts receivable, security deposits, letters of credit or personal guarantees, if any, as well as other liabilities recognized with respect to these operators. The table below reflects our total revenues from the operators that are considered unconsolidated VIEs, following the date they were determined to be VIEs, for the three months ended March 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ ​ ​ 2025 2024 ​ ​ ​ (in thousands) Revenue ​ ​ ​ Rental income ​ ​ $ 32,887 ​ $ 19,128 Interest income ​ ​ 7,326 ​ 2,964 Total ​ ​ $ 40,213 ​ $ 22,092 ​ Consolidated VIEs The Company consolidates Omega OP, a VIE in which the Company is considered the primary beneficiary. The Company, as managing member, has the power to direct the activities of Omega OP that most significantly affect Omega OP’s performance, and through its interest in Omega OP, has both the right to receive benefits from and the obligation to absorb losses of Omega OP. ​ 19 Table of Contents Additionally, we own a partial equity interest in a joint venture that we have determined is a VIE. We have consolidated this VIE because we have concluded that we are the primary beneficiary of this VIE based on a combination of our ability to direct the activities that most significantly impact the joint venture’s economic performance and our rights to receive residual returns and obligation to absorb losses arising from the joint venture. As of March 31, 2025 and December 31, 2024, this joint venture has $ 24.0 million and $ 24.3 million, respectively, of total assets, and $ 20.8 million of total liabilities which are included in our Consolidated Balance Sheets. NOTE 9 – INVESTMENTS IN JOINT VENTURES Unconsolidated Joint Ventures The following is a summary of our investments in unconsolidated joint ventures (dollars in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Carrying Amount ​ ​ Ownership ​ Facility ​ Facility ​ March 31, ​ December 31, Entity ​ % (1) ​ Type ​ Count (1) ​ 2025 2024 Lakeway Realty, L.L.C. ​ 51 % ​ Specialty facility ​ 1 ​ $ 66,260 ​ $ 67,541 Second Spring Healthcare Investment ​ 15 % ​ N/A ​ — ​ ​ 7,241 ​ 7,117 Other Real Estate JVs (2)(3) ​ 20 % – 50 % ​ Various ​ 6 ​ 6,792 ​ 6,736 Other Healthcare JVs (3)(4) ​ 9 % – 25 % ​ N/A ​ N/A ​ ​ 8,398 ​ ​ 7,317 ​ ​ ​ ​ ​ ​ ​ ​ $ 88,691 ​ $ 88,711 (1) Ownership percentages and facility counts are as of March 31, 2025. (2) Includes three joint ventures formed for the purpose of owning or providing financing for SNFs, ALFs or specialty facilities. (3) As of March 31, 2025, and December 31, 2024, we had an aggregate of $ 18.5 million of loans outstanding with these joint ventures. (4) Includes six joint ventures engaged in business that support the long-term healthcare industry and our operators. ​ NOTE 10 – GOODWILL AND OTHER INTANGIBLES The following is a summary of our goodwill as of March 31, 2025 and December 31, 2024: ​ ​ ​ ​ ​ (in thousands) Balance as of December 31, 2024 ​ $ 643,664 Foreign currency translation ​ 399 Balance as of March 31, 2025 ​ $ 644,063 ​ The following is a summary of our intangible assets and liabilities as of March 31, 2025 and December 31, 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ ​ 2025 ​ 2024 ​ ​ ​ (in thousands) ​ Assets: ​ ​ ​ ​ Above market leases ​ $ 32,746 ​ $ 31,864 ​ Accumulated amortization ​ ( 4,546 ) ( 3,800 ) ​ Net above market leases ​ $ 28,200 ​ $ 28,064 ​ ​ ​ ​ ​ ​ ​ ​ ​ Liabilities: ​ ​ ​ ​ Below market leases ​ $ 33,014 ​ $ 34,723 ​ Accumulated amortization ​ ( 25,936 ) ( 26,647 ) ​ Net below market leases ​ $ 7,078 ​ $ 8,076 ​ ​ Above market leases, net of accumulated amortization, are included in other assets on our Consolidated Balance Sheets. Below market leases, net of accumulated amortization, are included in accrued expenses and other liabilities on our Consolidated Balance Sheets. The net amortization related to the above and below market leases is included in our Consolidated Statements of Operations as an adjustment to rental income. 20 Table of Contents For the three months ended March 31, 2025 and 2024, our net amortization related to intangibles was $( 0.2 ) million and $ 0.5 million, respectively. The estimated net amortization expense related to these intangibles for the remainder of 2025 and the next four years is as follows: remainder of 2025 – $( 1.5 ) million; 2026 – $( 2.0 ) million; 2027 – $( 2.0 ) million; 2028 – $( 2.0 ) million and 2029 – $( 2.1 ) million. As of March 31, 2025, the weighted average remaining amortization period of above market lease assets is ten years and below market lease liabilities is nine years . ​ NOTE 11 – CONCENTRATION OF RISK As of March 31, 2025, our portfolio of real estate investments (including properties associated with mortgages, direct financing leases, assets held for sale and consolidated joint ventures) consisted of 1,004 healthcare facilities, located in 42 states, Washington, D.C. and the U.K. and operated by 86 third-party operators. Our investment in these facilities, net of impairments and allowances, totaled $ 10.0 billion at March 31, 2025, with 98 % of our real estate investments related to long-term healthcare facilities. Our portfolio is made up of (i) 575 SNFs, 296 ALFs, 19 ILFs, 18 specialty facilities and one medical office building and (ii) fixed rate mortgages on 50 SNFs, 43 ALFs, one specialty facility and one ILF. At March 31, 2025, we also held other real estate loans receivable (excluding mortgages) of $ 499.2 million, non-real estate loans receivable of $ 329.7 million and $ 88.7 million of investments in 11 unconsolidated joint ventures. As of March 31, 2025 and December 31, 2024, we had investments with one operator or manager that approximated or exceeded 10% of our total investments: Maplewood. Maplewood generated 6.3 % and 4.7 % of our total revenues for the three months ended March 31, 2025 and 2024, respectively. During the three months ended March 31, 2025, we also have one operator with total revenues that exceeded 10% of our total revenues: CommuniCare Health Services, Inc. (“CommuniCare”). CommuniCare generated 11.0 % and 12.9 % of our total revenues for the three months ended March 31, 2025 and 2024, respectively. As of March 31, 2025, CommuniCare represented 8.4 % of our total investments. As of March 31, 2025, the three geographic locations in which we had our highest concentration of investments were the U.K. ( 14.9 %), Texas ( 8.6 %) and Indiana ( 6.2 %). ​ NOTE 12 – STOCKHOLDERS’ EQUITY Stock Repurchase Program During the three months ended March 31, 2025 and 2024, we did no t repurchase any shares of our outstanding common stock under the $ 500 Million Stock Repurchase Program, which expired in March 2025. Dividends The following is a summary of our declared cash dividends on common stock: ​ ​ ​ ​ ​ ​ Record Date Payment Date Dividend per Common Share February 10, 2025 ​ February 18, 2025 ​ $ 0.67 May 5, 2025 ​ May 15, 2025 ​ ​ 0.67 ​ Dividend Reinvestment and Common Stock Purchase Plan The following is a summary of the shares issued under the Dividend Reinvestment and Common Stock Purchase Plan for the three months ended March 31, 2025 and 2024 (in thousands): ​ ​ ​ ​ ​ ​ ​ Period Ended Shares issued ​ Gross Proceeds Three Months Ended March 31, 2024 29 ​ $ 882 Three Months Ended March 31, 2025 2,667 ​ ​ 99,751 ​ 21 Table of Contents At-The-Market Offering Programs The following is a summary of the shares issued under our former $ 1.0 billion 2021 At-The-Market Offering Program (the “2021 ATM Program”) and our current $ 1.25 billion 2024 At-The-Market Offering Program (the “2024 ATM Program,” and together with the 2021 ATM Program, the “ATM Programs”) for the three months ended March 31, 2025 and 2024 (in thousands except average price per share): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Average Net Price ​ ​ ​ ​ ​ Period Ended Shares issued Per Share (1) Gross Proceeds Net Proceeds Three Months Ended March 31, 2024 1,041 $ 30.49 $ 32,295 $ 31,738 Three Months Ended March 31, 2025 4,390 ​ 37.06 ​ 164,449 ​ 162,670 (1) Represents the average price per share after issuance costs. We did not utilize the forward provisions under the ATM Programs during the three months ended March 31, 2025 and 2024. Accumulated Other Comprehensive Income (Loss) The following is a summary of our accumulated other comprehensive income (loss), net of tax as of March 31, 2025 and December 31, 2024: ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ 2025 2024 ​ ​ (in thousands) Foreign currency translation ​ ( 35,458 ) ​ ( 66,110 ) Derivative instruments designated as cash flow hedges ​ 71,752 ​ ​ 76,713 Derivative instruments designated as net investment hedges 6,617 ​ 11,898 Total accumulated other comprehensive income before noncontrolling interest 42,911 ​ 22,501 Add: portion included in noncontrolling interest ( 345 ) ​ 230 Total accumulated other comprehensive income for Omega $ 42,566 ​ $ 22,731 ​ ​ During the three months ended March 31, 2025 and 2024, we reclassified $ 1.4 million and $ 2.6 million, respectively, of realized gains out of accumulated other comprehensive income into interest expense on our Consolidated Statements of Operations associated with our cash flow hedges. ​ NOTE 13 – TAXES Omega was organized, has operated and intends to continue to operate in a manner that enables Omega to qualify for taxation as a REIT under Sections 856 through 860 of the Code. We have elected to treat certain of our active subsidiaries as taxable REIT subsidiaries (“TRSs”). Our domestic TRSs are subject to federal, state and local income taxes at the applicable corporate rates. Our foreign subsidiaries are subject to foreign income taxes and withholding taxes. Income taxes included within the financial statements primarily represents U.S. federal, state and local income taxes as well as non-U.S. income based or withholding taxes on certain investments located in jurisdictions outside the U.S. The following is a summary of our provision for income taxes: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Federal, state and local income tax expense $ 268 $ 518 Foreign tax expense ​ 3,343 ​ 2,063 Total income tax expense (1) $ 3,611 ​ $ 2,581 (1) The above amounts do not include gross income receipts or franchise taxes payable to certain states and municipalities. 22 Table of Contents The income tax expense for both the three months ended March 31, 2025 and 2024 was primarily due to income from foreign jurisdictions that subject to foreign income taxes and withholding taxes. As of March 31, 2025 and December 31, 2024, deferred tax assets totaled $ 19.6 million and $ 19.4 million, respectively, and deferred tax liabilities totaled zero . Our deferred tax assets relate primarily to loss carryforwards. NOTE 14 – STOCK-BASED COMPENSATION Stock-based compensation expense was $ 15.8 million and $ 9.2 million for the three months ended March 31, 2025 and 2024, respectively. Stock-based compensation expense of $ 15.8 million for the three months ended March 31, 2025 includes $ 6.6 million of non-cash stock-based compensation expense associated with the transition discussed in the “Leadership Transition” section below. Stock-based compensation expense is included within general and administrative expenses on our Consolidated Statements of Operations. We granted 3,065 time-based restricted stock units (“RSUs) and 215,606 time-based profits interest units (“PIUs”) during the first quarter of 2025 to certain officers and employees, and those units vest on December 31, 2027 ( three years after the grant date), subject to continued employment and vesting in connection with certain other events. We granted 1,832,700 performance-based PIUs and 28,027 performance-based RSUs during the first quarter of 2025 to certain officers and employees, which are earned based on the level of performance over the performance period (normally three years ) and vest quarterly in the four th year, subject to continued employment and vesting in connection with certain other events. We also granted 63,578 performance-based RSUs during the first quarter of 2025 to certain employees, which are earned based on the level of performance over the performance period (normally three years ) and vest on December 31, 2027, subject to continued employment. Time-based and performance-based grants made to named executive officers and key employees that meet certain conditions under the Company’s retirement policy (length of service, age, etc.) vest on an accelerated basis pursuant to the terms of our 2018 Stock Incentive Plan. Leadership Transition In January 2025, the Company and Daniel J. Booth, Chief Operating Officer, mutually agreed that Mr. Booth’s employment agreement with the Company would terminate effective January 2, 2025. The Company entered into a Transition Agreement and Release (the “Transition Agreement”) as of January 1, 2025 with Mr. Booth in connection with his departure and transitioning of his responsibilities. The Transition Agreement provides that Mr. Booth will be entitled to receive the payments and benefits due in connection with a termination of employment by the Company without cause pursuant to his Employment Agreement, as amended, dated effective January 1, 2024, provided that vesting of his previously granted equity incentives shall be prorated through January 1, 2026, and he shall be entitled to certain continued benefits under his supplemental life insurance policy. In connection with the transition discussed above and the modification of certain of Mr. Booth’s equity awards, the Company incurred incremental non-cash stock-based compensation expense of $ 6.6 million, which is reflected within general and administrative expense within the consolidated statements of operations in the first quarter of 2025. General and administrative expense also includes the accrual of $ 2.2 million of transition payments to Mr. Booth to be made over the 24 month period and other costs incurred related to the transaction. 23 Table of Contents NOTE 15 – BORROWING ACTIVITIES AND ARRANGEMENTS The following is a summary of our borrowings: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Annual ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest Rate ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ as of ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ ​ March 31, ​ December 31, ​ Maturity 2025 ​ 2025 2024 ​ ​ ​ ​ (in thousands) Secured borrowings: ​ ​ ​ 2026 mortgage loan (1) 2026 9.84 % ​ $ 237,622 ​ $ 231,148 Deferred financing costs – net ​ ​ ​ ( 3,288 ) ​ ( 3,753 ) Premium – net (2) ​ ​ 13,954 ​ 15,915 Total secured borrowings ​ ​ ​ ​ ​ ​ ​ 248,288 ​ ​ 243,310 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unsecured borrowings: ​ ​ ​ Revolving Credit Facility (3)(4) 2025 5.64 % ​ — ​ — ​ ​ ​ ​ ​ ​ ​ ​ — ​ ​ — Senior notes and other unsecured borrowings: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2025 notes (3)(5) 2025 4.50 % ​ — ​ 400,000 2026 notes (3) 2026 5.25 % ​ 600,000 ​ 600,000 2027 notes (3) 2027 4.50 % ​ 700,000 ​ 700,000 2028 notes (3) 2028 4.75 % ​ 550,000 ​ 550,000 2029 notes (3) 2029 3.63 % ​ 500,000 ​ 500,000 2031 notes (3) ​ 2031 ​ 3.38 % ​ ​ 700,000 ​ ​ 700,000 2033 notes (3) ​ 2033 ​ 3.25 % ​ ​ 700,000 ​ ​ 700,000 2025 term loan (3)(6) ​ 2025 5.60 % ​ 428,500 ​ 428,500 OP Term Loan (7)(8) 2025 5.52 % ​ 50,000 ​ 50,000 Deferred financing costs – net ​ ​ ​ ( 13,567 ) ​ ( 14,843 ) Discount – net ​ ​ ( 16,958 ) ​ ( 18,108 ) Total senior notes and other unsecured borrowings – net ​ ​ 4,197,975 ​ 4,595,549 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total unsecured borrowings – net ​ ​ 4,197,975 ​ 4,595,549 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total secured and unsecured borrowings – net (9)(10) ​ ​ $ 4,446,263 ​ $ 4,838,859 (1) Wholly owned subsidiaries of Omega OP are the obligors on this borrowing. (2) Represents the remaining fair value adjustment associated with the 2026 mortgage loan, that was assumed as part of an asset acquisition in July 2024, that is being amortized over the remaining contractual term of the loan. (3) Guaranteed by Omega OP. (4) As of March 31, 2025 and December 31, 2024, there were no borrowings outstanding under Omega’s $ 1.45 billion senior unsecured multicurrency revolving credit facility (“Revolving Credit Facility”). The applicable interest rate on the USD tranche and on the GBP borrowings under the alternative currency tranche of the Revolving Credit Facility were 5.64 % and 5.77 % , respectively, as of March 31, 2025. In April 2025, the maturity date was extended from April 30, 2025 to October 30, 2025 following Omega’s election to utilize one of two six-month extension options. (5) The Company repaid the $ 400 million of 4.50 % senior notes that matured on January 15, 2025 using available cash. (6) The weighted average interest rate of the $ 428.5 million 2025 term loan has been adjusted to reflect the impact of the interest rate swaps that effectively fix the SOFR -based portion of the interest rate at 4.047 % . (7) Omega OP is the obligor on this borrowing. (8) The weighted average interest rate of the $ 50 million term loan (“OP Term Loan”) has been adjusted to reflect the impact of the interest rate swaps that effectively fix the SOFR -based portion of the interest rate at 3.957 % . Omega previously provided notification in January 2025 to extend the maturity date from April 30, 2025 to October 30, 2025 . Subsequent to quarter end, Omega elected to repay the OP Term Loan on April 29, 2025, prior to its original maturity date. (9) All borrowings are direct borrowings of Parent unless otherwise noted. (10) Certain of our other secured and unsecured borrowings are subject to customary affirmative and negative covenants, including financial covenants. As of March 31, 2025 and December 31, 2024, we were in compliance with all applicable covenants for our borrowings . 24 Table of Contents NOTE 16 – DERIVATIVES AND HEDGING We are exposed to, among other risks, the impact of changes in foreign currency exchange rates as a result of our investments in the U.K. and interest rate risk related to our capital structure. As a matter of policy, we do not use derivatives for trading or speculative purposes. Our risk management program is designed to manage the exposure and volatility arising from these risks, and utilizes foreign currency forward contracts, interest rate swaps and debt issued in foreign currencies to offset a portion of these risks. As of March 31, 2025, we have 12 interest rate swaps with $ 478.5 million in notional value and four interest rate caps with £ 190.0 million in notional value. The swaps and the majority of the caps are designated as cash flow hedges of the interest payments on three of Omega’s variable interest loans. Additionally, we have 11 foreign currency forward contracts with £ 258.0 million in notional value issued at a weighted average GBP-USD forward rate of 1.2899 that are designated as net investment hedges. The location and fair value of derivative instruments designated as hedges, at the respective balance sheet dates, were as follows: ​ ​ ​ ​ ​ ​ ​ March 31, ​ December 31, ​ 2025 2024 Cash flow hedges: (in thousands) Other assets $ 95 ​ $ 381 Accrued expenses and other liabilities $ 4,210 ​ $ 554 ​ ​ ​ ​ ​ ​ Net investment hedges: ​ ​ ​ ​ ​ Other assets $ 3,602 ​ $ 8,434 Accrued expenses and other liabilities $ 450 ​ $ — ​ The fair value of the interest rate swaps and foreign currency forwards is derived from observable market data such as yield curves and foreign exchange rates and represents a Level 2 measurement on the fair value hierarchy. NOTE 17 – FINANCIAL INSTRUMENTS The net carrying amount of cash and cash equivalents, restricted cash, contractual receivables, other assets and accrued expenses and other liabilities reported in the Consolidated Balance Sheets approximates fair value because of the short maturity of these instruments (Level 1). At March 31, 2025 and December 31, 2024, the net carrying amounts and fair values of our other financial instruments were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2025 ​ December 31, 2024 ​ Carrying Fair Carrying Fair ​ Amount Value Amount Value ​ ​ (in thousands) Assets: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Investments in direct financing leases – net $ — ​ $ — $ 9,453 $ 9,453 Real estate loans receivable – net ​ 1,406,189 ​ 1,434,854 ​ 1,428,298 ​ 1,447,262 Non-real estate loans receivable – net ​ 329,656 ​ 338,060 ​ 332,274 ​ 340,025 Total ​ $ 1,735,845 ​ $ 1,772,914 ​ $ 1,770,025 ​ $ 1,796,740 Liabilities: ​ ​ ​ ​ Revolving Credit Facility ​ $ — ​ $ — ​ $ — ​ $ — 2026 mortgage loan ​ 248,288 ​ 251,576 ​ 243,310 ​ 247,063 2025 term loan ​ ​ 427,639 ​ ​ 428,500 ​ ​ 427,044 ​ ​ 428,500 OP Term Loan ​ 49,992 ​ 50,000 ​ 49,966 ​ 50,000 4.50 % notes due 2025 – net ​ — ​ — ​ 399,968 ​ 399,856 5.25 % notes due 2026 – net ​ 599,435 ​ 601,080 ​ 599,259 ​ 600,714 4.50 % notes due 2027 – net ​ 697,132 ​ 696,689 ​ 696,766 ​ 691,040 4.75 % notes due 2028 – net ​ 547,185 ​ 548,674 ​ 546,933 ​ 542,553 3.63 % notes due 2029 – net ​ ​ 494,610 ​ ​ 467,520 ​ ​ 494,308 ​ ​ 461,180 3.38 % notes due 2031 – net ​ ​ 689,409 ​ ​ 631,337 ​ ​ 688,962 ​ ​ 620,809 3.25 % notes due 2033 – net ​ ​ 692,573 ​ ​ 593,418 ​ ​ 692,343 ​ ​ 585,389 Total ​ $ 4,446,263 ​ $ 4,268,794 ​ $ 4,838,859 ​ $ 4,627,104 ​ 25 Table of Contents Fair value estimates are subjective in nature and are dependent on a number of important assumptions, including estimates of future cash flows, risks, discount rates and relevant comparable market information associated with each financial instrument (see Note 2 – Summary of Significant Accounting Policies in our Annual Report on Form 10-K for the year ended December 31, 2024). The use of different market assumptions and estimation methodologies may have a material effect on the reported estimated fair value amounts. The following methods and assumptions were used in estimating fair value disclosures for financial instruments. ● Real estate loans receivable: The fair value of the real estate loans receivables are estimated using a discounted cash flow analysis, using interest rates being offered for similar loans to borrowers with similar credit ratings (Level 3). ● Non-real estate loans receivable: Non-real estate loans receivable are primarily comprised of notes receivable. The fair values of notes receivable are estimated using a discounted cash flow analysis, using interest rates being offered for similar loans to borrowers with similar credit ratings (Level 3). ● Revolving Credit Facility, OP Term Loan and 2025 term loan: The carrying amount of these approximate fair value because the borrowings are interest rate adjusted. Differences between carrying value and the fair value in the table above are due to the inclusion of deferred financing costs and discounts in the carrying value. ● 2026 mortgage loan: The 2026 mortgage loan was recorded at fair market value in July 2024, as of the date it was assumed. The fair market value was determined by discounting the remaining contractual cash flows using a current market rate of interest of comparable debt instruments. Differences between carrying value and the fair value in the table above are due to the inclusion of deferred financing costs in the carrying value. ● Senior notes: The fair value of the senior unsecured notes payable was estimated based on (Level 1) publicly available trading prices . NOTE 18 – COMMITMENTS AND CONTINGENCIES Litigation Gulf Coast Subordinated Debt In August 2021, we filed suit in the Circuit Court for Baltimore County (the “Court”) against the holders of certain Subordinated Debt (the “Debt Holders”) associated with our Gulf Coast master lease agreement, following an assertion by the Debt Holders that our prior exercise of offset rights in connection with Gulf Coast’s non-payment of rent had resulted in defaults under the terms of the Subordinated Debt. The suit seeks a declaratory judgment to, among other items, declare that the aggregate amount of unpaid rent due from Gulf Coast under the master lease agreement exceeds all amounts which otherwise would be due and owing by an indirect subsidiary of Omega (“Omega Obligor”) under the Subordinated Debt, and that all principal and interest due and owing under the Subordinated Debt may be (and was) offset in full as of December 31, 2021. In October 2021, the Debt Holders filed a motion to dismiss for lack of personal jurisdiction. On November 3, 2022, the Court granted the Debt Holders’ motion to dismiss for lack of personal jurisdiction, and Omega filed a timely appeal of the ruling. While Omega believes Omega Obligor is entitled to the enforcement of the offset rights sought in the action, Omega cannot predict the outcome of the declaratory judgment action, irrespective of whether (a) it is ultimately litigated in the Court if Omega Obligor prevails in its appeal or (b) if the order granting the motion to dismiss for lack of personal jurisdiction is affirmed and the issues are litigated in the Delaware Court (as defined below). 26 Table of Contents On or about January 19, 2023, the Debt Holders served a lawsuit against the Omega Obligor in the Superior Court of the State of Delaware (the “Delaware Court”), asserting claims for (i) breach of the instruments evidencing the Subordinated Debt, (ii) declaratory judgment, and (iii) unjust enrichment, all claims that are factually based on the claims that are the subject of Omega Obligor’s suit in the Court and that are now on appeal. On February 8, 2023, Omega Obligor filed a motion to dismiss or, in the alternative, to stay this action pending the outcome of the above-referenced lawsuit in Maryland. On July 10, 2023, the Delaware state court case stayed the proceeding pending further developments in the Maryland litigation. Omega believes that the claims are baseless and is evaluating procedural and substantive legal options in connection with this recently filed suit to the extent the stay is lifted. Other In addition to the matters above, we are subject to various other legal proceedings, claims and other actions arising out of the normal course of business. While any legal proceeding or claim has an element of uncertainty, management believes that the outcome of each lawsuit, claim or legal proceeding that is pending or threatened, or all of them combined, will not have a material adverse effect on our consolidated financial position or results of operations. Indemnification Agreements In connection with certain facility transitions, we have agreed to indemnify certain operators in certain events. As of March 31, 2025, our maximum funding commitment under these indemnification agreements was $ 7.8 million. Claims under these indemnification agreements generally may be made within 18 months to 72 months of the transition date. These indemnification agreements were provided to certain operators in connection with facility transitions and generally would be applicable if the prior operators do not perform under their transition agreements. Commitments We have committed to fund the construction of new leased and mortgaged facilities, capital improvements and other commitments. We expect the funding of these commitments to be completed over the next several years. Our remaining commitments at March 31, 2025, are outlined in the table below (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Lessor construction and capital commitments under lease agreements ​ $ 227,813 ​ ​ Non-real estate loan commitments ​ 56,338 ​ ​ Real estate loan commitments ​ 40,038 ​ ​ Total remaining commitments (1) ​ $ 324,189 ​ ​ (1) Includes finance costs. In February 2025, Omega executed a purchase agreement for a portfolio of facilities in the U.K. and in the Bailiwick of Jersey for a purchase price of £ 238 million, which is not included in the table above. Concurrently with execution of the purchase agreement, Omega made a £ 23.8 million deposit (or $ 30.1 million) into escrow that is refundable only upon the occurrence of certain regulatory and seller conditions that result in the termination of the purchase. The acquisition deposit was included in other assets in our Consolidated Balance Sheets as of March 31, 2025. The acquisition closed during the second quarter of 2025. Please see Note 22 – Subsequent Events, for additional information on the acquisition . 27 Table of Contents NOTE 19 – EARNINGS PER SHARE The following tables set forth the computation of basic and diluted earnings per share: ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands, except per share amounts) Numerator: ​ ​ Net income $ 112,060 ​ $ 69,346 Less: adjustments to basic numerator (1) ( 16,213 ) ​ ( 1,985 ) Net income available to common stockholders – basic $ 95,847 ​ $ 67,361 Add: net income attributable to OP Units 2,794 ​ 2,036 Net income available to common stockholders – diluted $ 98,641 ​ $ 69,397 Denominator: ​ Denominator for basic earnings per share 283,015 ​ 246,071 Effect of dilutive securities: ​ ​ ​ Common stock equivalents 3,703 ​ 3,756 Noncontrolling interest – Omega OP Units 8,210 ​ 7,437 Denominator for diluted earnings per share 294,928 ​ 257,264 ​ ​ ​ ​ ​ ​ Earnings per share – basic: ​ Net income available to common stockholders $ 0.34 ​ $ 0.27 Earnings per share – diluted: ​ ​ ​ Net income available to common stockholders $ 0.33 ​ $ 0.27 (1) Includes adjustments to remove income related to non-controlling interests and participating shares including time-based and performance-based PIUs and time-based and performance-based RSUs. ​ ​ NOTE 20 – SUPPLEMENTAL DISCLOSURE TO CONSOLIDATED STATEMENTS OF CASH FLOWS The following are supplemental disclosures to the Consolidated Statements of Cash Flows for the three months ended March 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ ​ 2025 2024 ​ (in thousands) ​ Reconciliation of cash and cash equivalents and restricted cash: ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 367,957 ​ $ 361,773 ​ Restricted cash ​ 36,115 ​ 1,253 ​ Cash, cash equivalents and restricted cash at end of period ​ $ 404,072 ​ $ 363,026 ​ ​ ​ ​ ​ ​ ​ ​ ​ Supplemental information: ​ ​ ​ ​ ​ Interest paid during the period, net of amounts capitalized ​ $ 63,050 ​ $ 58,412 ​ Taxes paid during the period ​ $ 516 ​ $ 1,249 ​ ​ ​ ​ ​ ​ ​ ​ ​ Non-cash financing activities: ​ ​ ​ Change in fair value of hedges ​ $ ( 9,234 ) ​ $ 9,675 ​ Remeasurement of debt denominated in a foreign currency ​ $ 7,074 ​ $ ( 184 ) ​ ​ 28 Table of Contents NOTE 21 – SEGMENTS We conduct our operations and report financial results as one business segment. The presentation of financial results as one reportable segment is consistent with the way we operate our business and is consistent with the manner in which our Chief Operating Decision Maker (“CODM”), our Chief Executive Officer, evaluates performance and makes resource and operating decisions for the business. The CODM evaluates performance and makes resource and operating decisions for the business based on net income that is reported on the Consolidated Statements of Operations. The measure of segment assets is reported on the Consolidated Balance Sheets as total assets. The CODM uses net income to evaluate whether to make new investments, borrow or pay-off debt and/or issue or repurchase equity. The Company’s CODM periodically reviews interest expense and treats it as a significant segment expense. Interest expense is the largest recurring cash expense of the Company because debt is one of our primary sources of funds for new investments. Dependent on market conditions, our CODM seeks to mitigate the effects of fluctuations in interest rates by matching the terms of new investments with long-term fixed rate borrowings to the extent possible. Additionally, the CODM also utilizes hedging instruments as discussed in Note 16 – Derivatives and Hedging, to help manage interest rate risk and limit significant fluctuations in interest expense for variable rate borrowings. Interest expense related to the Company’s reportable segment is as follows: ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ 2025 2024 ​ (in thousands) Interest expense $ 50,900 $ 54,144 Interest – amortization of deferred financing costs (1) 1,380 ​ 3,676 Interest expense – net $ 52,280 ​ $ 57,820 (1) Includes amortization of deferred financing costs, discounts and premiums. NOTE 22 – SUBSEQUENT EVENTS In April 2025, we closed on the acquisition for which we funded a £ 23.8 million deposit during the first quarter of 2025, as detailed in Note 18 – Commitments and Contingencies. The acquisition included 45 facilities in the U.K. ( 43 facilities) and in the Bailiwick of Jersey ( 2 facilities) for total consideration, including transaction expenses, of £ 259.8 million. The facilities will be leased to 4 existing operators and 2 new operators with a weighted average initial cash yield of 10.0 %. ​ 29 Table of Contents