National Healthcare Properties, Inc. (including, as required by context, National Healthcare Properties Operating Partnership, L.P. (the "OP") and its subsidiaries, the "Company") is a real estate investment trust ("REIT") for U.S. federal income tax purposes. The Company acquires, owns and manages a diversified portfolio of healthcare-related real estate, focused on outpatient medical facilities ("OMFs") and senior housing operating properties ("SHOPs"). As of June 30, 2025, the Company owned 175 properties (including one land parcel and one property classified as held for sale) located in 30 states and comprised of 7.3 million rentable square feet. Substantially all of the Company's business is conducted through the OP and its wholly-owned subsidiaries, including taxable REIT subsidiaries ("TRSs"). Prior to the consummation of the Internalization (as defined below) on September 27, 2024, the Company's former advisor, Healthcare Trust Advisors, LLC (the "Advisor"), managed its day-to-day business with the assistance of its property manager, Healthcare Trust Properties, LLC (the "Property Manager"); the Advisor and Property Manager were under common control with AR Global Investments, LLC (the "Advisor Parent"), and these related parties received compensation and fees for providing services to the Company. See the "Internalization" section in this Note for additional information. As of June 30, 2025, the Company owned 41 (including one property classified as held for sale) SHOPs using the REIT Investment Diversification and Empowerment Act of 2007 ("RIDEA") structure in its SHOP segment. Under RIDEA, a REIT may lease "qualified healthcare properties" on an arm's length basis to a TRS if the property is operated on behalf of such subsidiary by a person who qualifies as an "eligible independent contractor". As of June 30, 2025, the Company had four eligible independent contractors operating 41 SHOPs. The Company has two operating and reportable business segments: OMFs and SHOPs. All of the Company's properties acro