Core Viewpoint - The company's Q4 2025 performance was significantly affected by the foreclosure of the Thompson Hotel, leading to a reduction in distributable earnings by approximately $0.03 per share due to its nonaccrual status [1] Group 1: Financial Impact - The foreclosure of the Thompson Hotel in San Antonio was a primary factor in the reduced distributable earnings [1] - Management indicated that the hotel's underperformance was due to increased local market deliveries and a slower-than-expected operational ramp-up, rather than a systemic weakness in the portfolio [1] Group 2: Strategic Direction - The company is transitioning from a passive lender to an active owner of the Thompson Hotel, planning to hire a premier broker to market the asset and recover value through a sale and personal guarantees [1] - Strategic positioning is focused on the Southern United States, targeting transitional real estate where bespoke structures can provide higher risk-adjusted returns compared to commoditized multifamily or industrial sectors [1] Group 3: Operational Focus - The TCG real estate platform affiliation allows the company to have scalable infrastructure and participate in larger transactions than its standalone balance sheet would permit [1] - The operational focus is shifting towards 'off-the-run' transactions, where market dislocation and rate volatility create opportunities that traditional lenders tend to avoid [1] - Management emphasized a disciplined approach to capital deployment, opting to be discerning rather than pursuing volume in a tightening spread environment [1]

Core Viewpoint - Dunhill Partners, Inc. has successfully acquired Commerce Square Shopping Center, enhancing its strategy of acquiring high-quality retail assets in strong Texas communities at below-market pricing [1][5]. Group 1: Acquisition Details - Commerce Square is a 150,459 square-foot shopping center located on 22 acres in a prime retail corridor, fully leased and attracting approximately 1.3 million annual visits [2][3]. - The center is anchored by Aldi and includes a diverse mix of national and credit tenants, with 82% of rental income coming from these tenants, ensuring a stable income stream [3][4]. Group 2: Investment Strategy - The acquisition aligns with Dunhill's strategy of investing in grocery-anchored centers that serve as essential retail destinations, focusing on markets with strong local demand and limited new supply [5][6]. - The merchandise mix at Commerce Square includes 49% apparel, 32% business and retail services, 26% service-oriented uses, and 17% food and beverage, supporting consistent daily traffic and capturing discretionary spending [4]. Group 3: Company Overview - Dunhill Partners, Inc. specializes in the acquisition and management of retail shopping centers across Texas, focusing on grocery-anchored and necessity-based retail with strong fundamentals and long-term value creation potential [6].