Risk Factors Update Summary

• Increased risk of default due to inability to satisfy debt covenants, including cash flow coverage tests.
• Concentration risk increased as the two largest tenants' revenue share decreased from 9.6% to 4.9%.
• Change in organizational documents may limit shareholder recourse for actions of directors and officers.
• Decline in percentage rent payments from Park Hotels Portfolio in 2022 compared to 2023.
• Percentage rent from Park Hotels Portfolio increased to $2.8 million in 2023 from $0 in 2022.
• Potential dilution of common stock due to issuance or sale of additional Caret units.
• Material uncertainty and risk due to the possibility of another epidemic, pandemic, or health crisis.
• Cybersecurity risks highlighted; potential disruptions, financial data integrity, and increased costs identified.
• Risks related to failure to qualify as a REIT, including tax consequences and reduced cash flow.
• Ground Lease transactions with developers pose risks due to construction completion uncertainties.
• Increased expenses related to the Merger and challenges in realizing anticipated synergies.
• Introduction of joint ventures with different investment profiles, posing additional risks.
• Potential conflicts of interest between holders of common stock and Caret units due to management ownership.
• Potential adverse impact on financial condition and results of operations due to financing risks.
• Tenant bankruptcy risk highlighted; potential impact on property income and ownership in case of default.
• Limitations on ability to make changes to agreements that could benefit the company without Caret unitholder consent.
• Increased vulnerability to economic downturns and limitations in reacting to market conditions.
• Ownership of commercial properties exposes the company to risks associated with property ownership.
• Risks related to the Merger impacting future dividends and potential changes in dividend practices.
• Limitation on shareholder recourse and access to judicial fora due to organizational document provisions.
• Competition risks noted; competition for investments may impact costs, returns, and business growth.