UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, ~~2021.~~2022.

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from__________to __________

Commission file number: 33-92990; ~~333-237134~~333-254314

TIAA REAL ESTATE ACCOUNT

(Exact name of registrant as specified in its charter)

New York

(State or other jurisdiction

of incorporation or organization)

NOT APPLICABLE

(I.R.S. Employer Identification No.)

C/O TEACHERS INSURANCE AND

ANNUITY ASSOCIATION OF AMERICA

730 Third Avenue

New York, New York 10017-3206

(Address of principal executive offices, including zip code)

Registrant’s telephone number, including area code: (212) 490-9000

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☐

Non-accelerated filer

(Do not check if a smaller reporting company)

☒

Smaller Reporting Company

☐

Emerging Growth Company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

TABLE OF CONTENTS


			Page
Part I	Financial Information
	Item 1.	Unaudited Consolidated Financial Statements
		Consolidated Statements of Assets and Liabilities	3
		Consolidated Statements of Operations	4
		Consolidated Statements of Changes in Net Assets	5
		Consolidated Statements of Cash Flows	6
		Notes to the Consolidated Financial Statements	7
		Condensed Consolidated Schedules of Investments	3025
	Item 2.	Management's Discussion and Analysis of the Account's Financial Condition and Results of Operations	3830
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	5548
	Item 4.	Controls and Procedures	5649
Part II	Other Information
	Item 1.	Legal Proceedings	5750
	Item 1A.	Risk Factors	5750
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	5750
	Item 3.	Defaults Upon Senior Securities	5750
	Item 4.	Mine Safety Disclosures	5750
	Item 5.	Other Information	5750
	Item 6.	Exhibits	5851
Signatures			6053

PART I. FINANCIAL INFORMATION

ITEM 1. UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES

(Unaudited)

(In millions, except per accumulation unit amounts)

March 31, December 31,
2021 2020
ASSETS
Investments, at fair value:
Real estate properties
(cost: $14,038.3 and $13,986.3)
$ 16,816.5 $ 16,476.7
       Real estate joint ventures and funds
       (cost: $5,509.3 and $5,395.2)
6,677.2 6,522.1
       Real estate operating business
       (cost: $250.2 and $250.2)
250.0 250.0
Marketable Securities
(cost: $830.0 and $739.3)
830.2 739.3
Loans receivable
(principal: $1,481.3 and $1,527.6)
1,460.2 1,493.2
Loans receivable with related parties
(principal: $69.3 and $69.3)
69.4 69.4
Total investments
(cost: $22,178.4 and $21,967.9)
$ 26,103.5 $ 25,550.7
Cash and cash equivalents 30.3 37.8
Due from investment manager 13.5 17.9
Other 308.1 331.4
TOTAL ASSETS $ 26,455.4 $ 25,937.8
LIABILITIES
Loans payable, at fair value
(principal outstanding: $2,377.0 and $2,381.3)
2,403.6 2,411.4
Accrued real estate property expenses 242.5 246.5
Other 37.2 36.0
TOTAL LIABILITIES $ 2,683.3 $ 2,693.9
COMMITMENTS AND CONTINGENCIES 0 0
NET ASSETS
Accumulation Fund 23,253.8 22,729.0
Annuity Fund 518.3 514.9
TOTAL NET ASSETS $ 23,772.1 $ 23,243.9
NUMBER OF ACCUMULATION UNITS OUTSTANDING 52.1 52.0
NET ASSET VALUE, PER ACCUMULATION UNIT $ 446.469 $ 436.722


	March 31,		December 31,
	2022		2021

ASSETS
Investments, at fair value:
Real estate properties (cost: $14,226.1 and $14,163.2)	$	20,179.1	$	18,903.9
Real estate joint ventures (cost: $5,505.6 and $5,497.9)	7,253.3		7,175.9
Real estate funds (cost: $696.7 and $692.9)	805.8		811.5
Real estate operating business (cost: $352.5 and $251.6)	487.6		326.3

Marketable securities (cost: $2,579.1 and $2,217.0)	2,541.2		2,207.8
Loans receivable (principal: $1,270.0 and $1,434.3)	1,259.3		1,422.7
Loans receivable with related parties (principal: $69.8 and $69.8)	69.9		69.9
Total investments (cost: $24,699.8 and $24,326.7)	$	32,596.2	$	30,918.0
Cash and cash equivalents	34.9		21.2
Due from investment manager	9.2		9.9
Receivable for securities sold	4.8		—
Other	304.7		327.3
TOTAL ASSETS	$	32,949.8	$	31,276.4
LIABILITIES
Loans payable, at fair value (principal outstanding: $2,323.8 and $2,362.6)	2,338.0		2,380.5
Line of credit, at fair value	500.0		500.0

Accrued real estate property expenses	257.5		287.6

Payable for securities purchased	45.0		—
Other	38.3		36.3
TOTAL LIABILITIES	$	3,178.8	$	3,204.4
COMMITMENTS AND CONTINGENCIES	0		0
NET ASSETS
Accumulation Fund	29,141.9		27,476.0
Annuity Fund	629.1		596.0
TOTAL NET ASSETS	$	29,771.0	$	28,072.0
NUMBER OF ACCUMULATION UNITS OUTSTANDING	53.7		53.4
NET ASSET VALUE, PER ACCUMULATION UNIT	$	542.752	$	514.765

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions)

(Unaudited)

For the Three Months Ended March 31,
2021 2020
INVESTMENT INCOME
Real estate income, net:
Rental income $ 288.8 $ 299.7
Real estate property level expenses and taxes:
Operating expenses 69.0 69.2
Real estate taxes 54.8 50.1
Interest expense 22.9 24.3
Total real estate property level expenses and taxes 146.7 143.6
Real estate income, net 142.1 156.1
Income from real estate joint ventures and funds 45.1 55.2
Interest 19.9 42.5
Dividends 0 4.5
TOTAL INVESTMENT INCOME 207.1 258.3
Expenses:
Investment management charges 17.2 17.2
Administrative charges 14.8 11.7
Distribution charges 8.3 7.6
Mortality and expense risk charges 0.3 0.3
Liquidity guarantee charges 13.9 16.2
TOTAL EXPENSES 54.5 53.0
INVESTMENT INCOME, NET 152.6 205.3
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE
Net realized gain (loss) on investments:
Real estate properties 3.0 (59.2)
Real estate joint ventures and funds 0 (460.3)
Marketable securities 0 35.2
Loans receivable (0.7) (1.6)
Net realized gain (loss) on investments 2.3 (485.9)
Net change in unrealized appreciation (depreciation) on:
Real estate properties 287.8 196.7
Real estate joint ventures and funds 58.3 300.5
Marketable securities 0 (230.8)
Loans receivable 13.3 (10.6)
Loans receivable with related parties 0 (0.5)
Loans payable 3.5 45.7
Net change in unrealized appreciation on investments and loans payable 362.9 301.0
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE 365.2 (184.9)
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 517.8 $ 20.4


	For the Three Months Ended March 31,
	2022		2021
INVESTMENT INCOME
Real estate income, net:
Rental income	$	303.7	$	288.8
Real estate property level expenses and taxes:
Operating expenses	73.6		69.0
Real estate taxes	51.7		54.8
Interest expense	20.9		22.9
Total real estate property level expenses and taxes	146.2		146.7
Real estate income, net	157.5		142.1
Income from real estate joint ventures	60.5		43.0
Income from real estate funds	6.0		2.1
Interest	20.7		19.9

Other	0.8		—
TOTAL INVESTMENT INCOME	245.5		207.1
Expenses:
Investment management charges	22.5		17.2
Administrative charges	13.5		14.8
Distribution charges	7.3		8.3
Mortality and expense risk charges	0.4		0.3
Liquidity guarantee charges	22.7		13.9
TOTAL EXPENSES	66.4		54.5
INVESTMENT INCOME, NET	179.1		152.6
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE
Net realized gain (loss) on investments:
Real estate properties	(8.4)		3.0
Real estate joint ventures	50.9		—

Marketable securities	(1.0)		—
Loans receivable	—		(0.7)
Net realized gain on investments	41.5		2.3
Net change in unrealized gain (loss) on:
Real estate properties	1,212.4		287.8
Real estate joint ventures	71.9		65.9
Real estate funds	(9.4)		(7.6)
Real estate operating business	60.4		—
Marketable securities	(28.6)		—
Loans receivable	1.0		13.3

Loans payable	3.7		3.5
Net change in unrealized gain on investments and loans payable	1,311.4		362.9
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS AND LOANS PAYABLE	1,352.9		365.2
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	1,532.0	$	517.8

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS

(In millions)

(Unaudited)

For the Three Months Ended March 31,
2021 2020
FROM OPERATIONS
Investment income, net $ 152.6 $ 205.3
Net realized gain (loss) on investments 2.3 (485.9)
Net change in unrealized appreciation on investments and loans payable 362.9 301.0
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 517.8 20.4
FROM PARTICIPANT TRANSACTIONS
Premiums 688.1 702.6
Annuity payments (12.0) (12.3)
Withdrawals and death benefits (665.7) (2,003.5)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM PARTICIPANT TRANSACTIONS 10.4 (1,313.2)
NET INCREASE (DECREASE) IN NET ASSETS 528.2 (1,292.8)
NET ASSETS
Beginning of period 23,243.9 27,307.9
End of period $ 23,772.1 $ 26,015.1


	For the Three Months Ended March 31,
	2022		2021
FROM OPERATIONS
Investment income, net	$	179.1	$	152.6
Net realized gain on investments	41.5		2.3
Net change in unrealized gain on investments and loans payable	1,311.4		362.9
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	1,532.0		517.8
FROM PARTICIPANT TRANSACTIONS
Premiums	808.4		688.1
Annuity payments	(12.5)		(12.0)
Withdrawals and death benefits	(628.9)		(665.7)
NET INCREASE IN NET ASSETS RESULTING FROM PARTICIPANT TRANSACTIONS	167.0		10.4
NET INCREASE IN NET ASSETS	1,699.0		528.2
NET ASSETS
Beginning of period	28,072.0		23,243.9
End of period	$	29,771.0	$	23,772.1

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions, Unaudited)


		For the Three Months Ended March 31,					For the Three Months Ended March 31,
		2021		2020			2022		2021
CASH FLOWS FROM OPERATING ACTIVITIES	CASH FLOWS FROM OPERATING ACTIVITIES					CASH FLOWS FROM OPERATING ACTIVITIES
Net increase in net assets resulting from operations	Net increase in net assets resulting from operations	$	517.8	$	20.4	Net increase in net assets resulting from operations	$	1,532.0	$	517.8
Adjustments to reconcile net changes in net assets resulting from operations to net cash (used in) provided by operating activities:
Net realized (gain) loss on investments		(2.3)		485.9
Net change in unrealized appreciation on investments and loans payable		(362.9)		(301.0)
Adjustments to reconcile net changes in net assets resulting from operations to net cash used in operating activities:						Adjustments to reconcile net changes in net assets resulting from operations to net cash used in operating activities:
Net realized gain on investments						Net realized gain on investments	(41.5)		(2.3)
Net change in unrealized gain on investments and loans payable						Net change in unrealized gain on investments and loans payable	(1,311.4)		(362.9)
Purchase of real estate properties	Purchase of real estate properties	(0.6)		(1,097.7)		Purchase of real estate properties	(137.2)		(0.6)
Capital improvements on real estate properties	Capital improvements on real estate properties	(56.0)		(68.5)		Capital improvements on real estate properties	(84.8)		(56.0)
Proceeds from sale of real estate properties		3.0		347.6
Purchases of long term investments		(96.7)		(701.7)
Proceeds from long term investments		0		1,385.8
Proceeds from sales of real estate properties						Proceeds from sales of real estate properties	157.7		3.0
Purchases of other real estate investments						Purchases of other real estate investments	(369.8)		(96.7)
Proceeds from sales of other real estate investments						Proceeds from sales of other real estate investments	310.8		—
Purchases and originations of loans receivable	Purchases and originations of loans receivable	(46.6)		(107.7)		Purchases and originations of loans receivable	(5.2)		(46.6)

Proceeds from sales of loans receivable	Proceeds from sales of loans receivable	81.2		28.0		Proceeds from sales of loans receivable	161.4		81.2
Proceeds from payoffs of loans receivable	Proceeds from payoffs of loans receivable	10.9		11.4		Proceeds from payoffs of loans receivable	8.2		10.9
(Increase) decrease in other investments		(90.8)		2,788.6
Net Change in due to/from investment manager		4.4		24.5
Increase in other investments						Increase in other investments	(363.2)		(90.8)
Net change in due to/from investment manager						Net change in due to/from investment manager	0.7		4.4
Increase in receivable for securities sold	Increase in receivable for securities sold	0		(363.5)		Increase in receivable for securities sold	(4.8)		—
Increase in payable for securities purchased	Increase in payable for securities purchased	0		251.6		Increase in payable for securities purchased	45.0		—
Decrease in other assets	Decrease in other assets	21.2		16.3		Decrease in other assets	20.3		21.2
Increase (decrease) in other liabilities		1.7		(8.3)
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES		(15.7)		2,711.7
(Increase) decrease in other liabilities						(Increase) decrease in other liabilities	(35.0)		1.7
NET CASH USED IN OPERATING ACTIVITIES						NET CASH USED IN OPERATING ACTIVITIES	(116.8)		(15.7)
CASH FLOWS FROM FINANCING ACTIVITIES	CASH FLOWS FROM FINANCING ACTIVITIES					CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from line of credit		0		400.0
Payments on line of credit		0		(460.0)

Mortgage loan proceeds received						Mortgage loan proceeds received	3.0		—
Payments of mortgage loans	Payments of mortgage loans	(4.3)		(3.3)		Payments of mortgage loans	(41.8)		(4.3)
Premiums	Premiums	688.1		702.6		Premiums	808.4		688.1
Annuity payments	Annuity payments	(12.0)		(12.3)		Annuity payments	(12.5)		(12.0)
Withdrawals and death benefits	Withdrawals and death benefits	(665.7)		(2,003.5)		Withdrawals and death benefits	(628.9)		(665.7)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES		6.1		(1,376.5)
NET (DECREASE) INCREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH		(9.6)		1,335.2
NET CASH PROVIDED BY FINANCING ACTIVITIES						NET CASH PROVIDED BY FINANCING ACTIVITIES	128.2		6.1
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH						NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	11.4		(9.6)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH	CASH, CASH EQUIVALENTS AND RESTRICTED CASH					CASH, CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period cash, cash equivalents and restricted cash	Beginning of period cash, cash equivalents and restricted cash	61.1		40.4		Beginning of period cash, cash equivalents and restricted cash	46.0		61.1
Net (decrease) increase in cash, cash equivalents and restricted cash		(9.6)		1,335.2
Net increase (decrease) in cash, cash equivalents and restricted cash						Net increase (decrease) in cash, cash equivalents and restricted cash	11.4		(9.6)
End of period cash, cash equivalents and restricted cash	End of period cash, cash equivalents and restricted cash	$	51.5	$	1,375.6	End of period cash, cash equivalents and restricted cash	$	57.4	$	51.5
SUPPLEMENTAL DISCLOSURES:	SUPPLEMENTAL DISCLOSURES:					SUPPLEMENTAL DISCLOSURES:
Cash paid for interest	Cash paid for interest	$	23.5	$	24.3	Cash paid for interest	$	21.9	$	23.5
Mortgage loan assumed as part of real estate acquisition		$	0	$	289.6
Loan receivable converted to equity in real estate investment		$	0	$	(3.3)

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Statements of Assets and Liabilities that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows (in millions):


		As of March 31,				As of March 31,
		2021		2020				2022		2021
Cash and cash equivalents	Cash and cash equivalents	$	30.3	$	1,354.1		Cash and cash equivalents	$	34.9	$	30.3
Restricted cash(1)	Restricted cash(1)	21.2		21.5			Restricted cash(1)	22.5		21.2
TOTAL CASH, CASH EQUIVALENTS AND RESTRICTED CASH	TOTAL CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	51.5	$	1,375.6		TOTAL CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	57.4	$	51.5

(1) Restricted cash is included within other assets in the Consolidated Statements of Assets and Liabilities.

See notes to the consolidated financial statements

TIAA REAL ESTATE ACCOUNT

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1—Organization and Significant Accounting Policies

Business: The TIAA Real Estate Account (“Account”) is an insurance separate account of Teachers Insurance and Annuity Association of America (“TIAA”) and was established by resolution of TIAA’s Board of Trustees (the “Board”) on February 22, 1995, under the insurance laws of the State of New York, for the purpose of funding variable annuity contracts issued by TIAA. The Account offers individual and group accumulating annuity contracts (with contributions made on a pre-tax or after-tax basis), as well as individual lifetime and term-certain variable payout annuity contracts (including the payment of death benefits to beneficiaries). Investors are entitled to transfer funds to or from the Account, and make withdrawals from the Account on a daily basis, under certain circumstances. Funds invested in the Account for each category of contract are expressed in terms of units, and unit values will fluctuate depending on the Account’s performance.

The investment objective of the Account is to seek favorable total returns primarily through the rental income and appreciation of a diversified portfolio of directly held, private real estate investments and real estate-related investments while offering investors guaranteed, daily liquidity. The Account holds real estate properties directly and through subsidiaries wholly-owned by TIAA for the sole benefit of the Account. The Account also holds limited interests in real estate joint ventures and funds, as well as investments in loans receivable with real estate properties as underlying collateral. Additionally, the Account invests in real estate-related and non-real estate-related publicly traded securities, cash and other instruments to maintain adequate liquidity levels for operating expenses, capital expenditures and to fund benefit payments (withdrawals, transfers and related transactions).

Interim Financial Information: The Consolidated Financial Statements of the Account as of March 31, ~~2021~~2022 and for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 are unaudited and include all adjustments necessary to present a fair statement of results for the interim periods presented. Results of operations for the interim periods are not necessarily indicative of results for the entire year. These Consolidated Financial Statements have been prepared in accordance with the applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted from this report pursuant to the rules of the SEC. As a result, these Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and notes thereto included in the Account’s ~~annual report~~Annual Report on Form 10-K for the year ended December 31, ~~2020.~~2021 (“2021 Form 10-K”).

Basis of Presentation: The accompanying Consolidated Financial Statements include the Account and those subsidiaries wholly-owned by TIAA for the benefit of the Account. Certain prior period amounts have been reclassified for comparative purposes to conform to the current period financial statement presentation. These reclassifications had no effect on previously reported results of operations. All significant intercompany accounts and transactions between the Account and such subsidiaries have been eliminated.

The Accumulation Unit Value (“AUV”) used for financial reporting purposes may differ from the AUV used for processing transactions. The AUV used for financial reporting purposes includes security and participant (or "contract owner") transactions effective through the period end date to which this report relates. Total return is computed based on the AUV used for processing transactions.

Use of Estimates: The Consolidated Financial Statements were prepared in accordance with GAAP, which requires the use of estimates made by management. Actual results may vary from those estimates and such differences may be material.

The outbreak of the novel coronavirus (commonly known as “COVID-19”) and the subsequent global pandemic began significantly impacting the U.S. and global financial markets and economies during the first quarter of 2020. During the second and third quarters of 2020, the Account received multiple requests for rent and loan payment relief as a result of the COVID-19 ~~pandemic,~~pandemic; however, the requests were ~~minimal~~slowed during the fourth quarter of 2020 and first quarter of 2021. Requests have generally been comprised of deferrals, with payments generally postponed for a brief period (i.e., less than six months) and then repaid over the remaining duration of the contract.

~~As of March 31, 2021, the Account has not had material exposure to rent concessions, tenant defaults or loan defaults. The long-term duration and impact of the ongoing COVID-19 pandemic cannot be~~ reasonably estimated at this time. The ultimate impact of the COVID-19 pandemic and the extent to which the

COVID-19 pandemic impacts the Account’s business, results of operations, investments, and cash flows will depend on future developments, which are highly uncertain and difficult to predict.

~~Basis of Presentation:~~Significant Accounting Policy Updates: ~~The accompanying Consolidated Financial Statements include~~In the quarter ended March 31, 2022, the Account ~~and those subsidiaries wholly-owned by TIAA~~began hedging its foreign currency risk through the use of derivative instruments. The impact of this hedging activity was not material to the results of operations for the ~~benefit~~first quarter of 2022 or the Consolidated Statement of Assets and Liabilities at March 31, 2022. Other than the addition of the ~~Account. All significant intercompany accounts and transactions between the Account and such subsidiaries have been eliminated.~~

The Accumulation Unit Value (“AUV”) used for financial reporting purposes may differ from the AUV used for processing transactions. The AUV used for financial reporting purposes includes security and participant (or "contract owner") transactions effective through the period end datefollowing accounting policy related to ~~which this report relates. Total return is computed based on the AUV used for processing transactions.~~

~~Determination of Investments at Fair Value:~~ ~~The Account reports all investments at fair value in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 946—Financial Services—Investment Companies~~ ~~(“ASC 946”)~~. ~~Further in accordance with the adoption of the fair value option allowed under ASC 825—Financial Instruments~~, and at the election of Account management, loans payable and a line of credit are reported at fair value. The FASB has defined fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants excluding transaction costs.

~~The following is a description of the valuation methodologies used to determine the fair value of the Account’s investments and investment related loans payable.~~

~~Valuation of Real Estate Properties~~—Investments in real estate properties are stated at fair value, as determined in accordance with policies and procedures reviewed by the Investment Committee of the Board and in accordance with the responsibilities of the Board as a whole. Accordingly, the Account does not record depreciation. Determination of fair value involves significant levels of judgment because the actual fair value of real estate can be determined only by negotiation between the parties in a sales transaction.

The Account’s primary objective when valuing its real estate investments will be to produce a valuation that represents a reasonable estimate of the fair value of its investments. Implicit in the Account’s definition of fair value are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:

•~~Buyer and seller are similarly motivated;~~

•~~Both parties are well informed or well advised, and acting in what they consider their best interests;~~

•~~A reasonable time is allowed for exposure in the open market;~~

•~~Payment is made in terms of cash or in terms of financial arrangements comparable thereto; and~~

•~~The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.~~

Property and investment values are affected by, among other things, the availability of capital, occupancy rates, rental rates, and interest and inflation rates. As a result, determining real estate and investment values involves many assumptions. Key inputs and assumptions include, but are not limited to, rental income and expense amounts, related rental income and expense growth rates, capital expenditures, discount rates and capitalization rates. Valuation techniques include discounted cash flow analysis, prevailing market capitalization rates or multiples applied to earnings from the property, analysis of recent comparable sales transactions, actual sale negotiations and bona fide purchase offers received from third parties. Amounts ultimately realized from each investment may vary significantly from the fair value presented.

Real estate properties owned by the Account are initially valued based on an independent third party appraisal, as reviewed by TIAA’s internal appraisal staff and as applicable by the Account’s independent fiduciary at the time of the closing of the purchase. Such initial valuation may result in a potential unrealized gain or loss reflecting the difference between an investment’s fair value (i.e., exit price) and its cost basis (which is inclusive of transaction costs).

Subsequently, each property is appraised each quarter by an independent third party appraiser, reviewed by TIAA’s internal appraisal staff and as applicable the Account’s independent fiduciary. In general, the Account obtains appraisals of its real estate properties spread out throughout the quarter, which is intended to result in appraisal adjustments, and thus, adjustmentsderivative instruments, there were no changes to the ~~valuations of its holdings (to the extent such adjustments are made) that happen regularly throughout each quarter and not on one specific day or month in each period.~~

Further, management reserves the right to order an appraisal and/or conduct another valuation outside of the normal quarterly process when facts or circumstances at a specific property change. For example, under certain circumstances a valuation adjustment could be made when the account receives a bona fide bid for the sale of a property held within the Account or one of the Account’s joint ventures. Adjustments may be made for events or circumstances indicating an impairment of a tenant’s ability to pay amounts due to the Account under a lease (including due to a bankruptcy filing of that tenant). Alternatively, adjustments may be made to reflect the execution or renewal of aAccount's significant ~~lease. Also, adjustments may be made to reflect factors (such~~accounting policies as sales values for comparable properties or local employment rate) bearing uniquely on a particular region in which the Account holds properties. TIAA’s internal appraisal staff oversees the entire appraisal process, in conjunction with the independent fiduciary (the independent fiduciary is more fully described in the ~~following paragraph). Any differences in~~Account's Annual Report on Form 10-K for the conclusions of TIAA’s internal appraisal staff and the independent appraiser will be reviewed by the independent fiduciary, which will make a final determination on the matter (which may include ordering a subsequent independent appraisal).

The independent fiduciary, RERC, LLC, has been appointed by a special subcommittee of the Investment Committee of the Board to, among other things, oversee the appraisal process. The independent fiduciary must approve all independent appraisers used by the Account. All appraisals are performed in accordance with Uniform Standards of Professional Appraisal Practices, the real estate appraisal industry standards created by The Appraisal Foundation. Real estate appraisals are estimates of property values based on a professional’s opinion. Appraisals of properties held outside of the U.S. are performed in accordance with industry standards commonly applied in the applicable jurisdiction. These independent appraisers are always expected to be MAI-designated members of the Appraisal Institute (or its European equivalent, Royal Institute of Chartered Surveyors) and state certified appraisers from national or regional firms with relevant property type experience and market knowledge. Under the Account’s current procedures, each independent appraisal firm will be rotated off of a particular property at least every three years, although such appraisal firm may perform appraisals of other Account properties subsequent to such rotation.year ended December 31, 2021.

Also, the independent fiduciary may require additional appraisals if factors or events have occurred that could materially change a property’s value (including those identified previously) and such change is not reflected in the quarterly valuation review, or otherwise to ensure that the Account is valued appropriately. The independent fiduciary must also approve any valuation change of real estate-related assets where a property’s value changed by more than 6% from the most recent independent annual appraisal, or if the value of the Account would change by more than 4% within any calendar quarter or more than 2% since the prior calendar month. When a real estate property is subject to a mortgage, the property is valued independently of the mortgage and the property and mortgage fair values are reported separately (see Foreign Currency Forwards~~Valuation of Loans Payable). The independent fiduciary reviews and approves all mortgage valuation adjustments before such adjustments are recorded by the Account.~~ —The Account ~~continues~~uses foreign currency forward contracts to ~~use the revised value for each real estate property and mortgage loan payable~~manage foreign currency exchange rate risk related to ~~calculate the Account’s daily net asset value until the next valuation review or appraisal.~~

~~Valuation of Real Estate Joint Ventures—Real estate joint ventures~~foreign currency-denominated investments. Foreign currency forward contracts are stated at the fair value of the Account’s ownership interests of the underlying entities. The Account’s ownership interests are valued based on the fair value of the underlying real estate, any related loans payable, and other factors, such as ownership percentage, ownership rights, buy/sell agreements, distribution provisions and capital call obligations. The fair value of real estate and loans payable held by joint ventures is determined in the same manner described above in ~~Valuation of Real Estate Properties.~~ ~~The independent fiduciary reviews and approves all valuation adjustments before such adjustments are~~ recorded by the Account. Upon the disposition of all real estate investments by an investee entity, the Account will continue to state its equity in the remaining net assets of the investee entity during the wind down period, if any, which occurs prior to the dissolution of the investee entity.

~~Valuation of Real Estate Funds—Real estate fund interests are stated at the fair value of the Account’s ownership in~~

the real estate fund. Management uses net asset value information provided by fund managers as a practical expedient to estimate fair value. The Account receives estimates from limited partners on a quarterly basis, and audited information is provided annually. Upon receipt of the information, management reviews and determines whether the net asset values provided are an appropriate representation of the fair value of the Account's interests in the real estate funds and makes valuation adjustments as necessary. Valuation of real estate funds proceeds under

~~the direction of the Investment Committee of the Board and in accordance with the responsibilities of the Board as a whole.~~

~~Valuation of Real Estate Operating Businesses~~—Real estate operating businesses are held at fair value, which is equal to their cost basis on the initial investment date. Subsequently, valuations are completed on a quarterly basis, with a third-party vendor utilized semi-annually and the interim quarters completed by TIAA’s internal valuation department. Valuations are subject to review by the independent fiduciary. Fair value is based on the enterprise value of the business, subject to any preferential distributions that would be required upon liquidation, if applicable. Management reserves the right to order an external valuation outside of the normal quarterly process when facts or circumstances at the business materially change from the latest available valuation. Any differences in the conclusions of TIAA’s internal valuation department and the external vendor will be reviewed by the independent fiduciary, which will make a final determination on the matter (which may include ordering a subsequent additional valuation).

~~Valuation of Marketable Securities~~—Equity securities listed or traded on any national market or exchange are valued at the last sale price as of the close of the principal securities market or exchange on which such securities are traded or, if there is no sale, at the mean of the last bid and ask prices on such market or exchange, exclusive of transaction costs.

~~Valuation of Debt Securities~~—Debt securities with readily available market quotations, other than money market instruments, are generally valued at the most recent bid price or the equivalent quoted yield for such securities (or those of comparable maturity, quality and type). Debt securities for which market quotations are not readily available, are valued at fair value as determined by management and the Investment Committee of the Board and in accordance with the responsibilities of the Board as a whole.

~~Short-term investments are valued in the same manner as debt securities, as described above.~~

~~Money market instruments are valued at amortized cost, which approximates fair value.~~

~~Valuation of Loans Receivable (i.e., the Account as a creditor)—Loans receivable are stated~~ at fair value and are initially valued at the face amount of the loan funding. Subsequently, loans receivable are valued at least quarterly by TIAA’s internal valuation department based on market factors, such as market interest rates and spreads for comparable loans, the liquidity for loans of similar characteristics, the performance of the underlying collateral (such as the loan-to-value ratio and the cash flow of the underlying collateral) and the credit quality of the counterparty. The independent fiduciary reviews and approves all loan receivable valuation adjustments before such adjustments are recorded by the Account. The Account continues to use the revised value for each loan receivable to calculate the Account’s daily net asset value until the next valuation review.

~~Valuation of Loans Payable (i.e., the Account as a debtor)~~—Mortgage or other loans payable, including the Account's lines of credit, are stated at fair value. The estimated fair value of loans payable is generally based on the amount at which the liability could be transferred in a current transaction, exclusive of transaction costs. Fair values are estimated based on market factors, such as market interest rates and spreads on comparable loans, the liquidity for loans of similar characteristics, the performance of the underlying collateral (such as the loan-to-value ratio and the cash flow of the underlying collateral), the maturity date of the loan, the return demands of the market, and the credit quality of the Account. Different assumptions or changes in future market conditions could significantly affect estimated fair values. At times, the Account may assume debt in connection with the purchase of real estate, including under the Credit Agreements (as defined below) or additional credit facilities or other lines of credit in the future or the issuance (if permitted by applicable insurance law) of debt securities by the Account.

~~See~~ ~~Note 5~~—~~Assets and Liabilities Measured at Fair Value on a Recurring Basis~~ ~~for further discussion and disclosure regarding the determination of the fair value of the Account’s investments.~~

~~Accumulation and Annuity Funds:~~ The accumulation fund represents the net assets attributable to contract owners in the accumulation phase of their investment (“Accumulation Fund”). The annuity fund represents the net assets attributable to the contract owners currently receiving annuity payments (“Annuity Fund”). The net increase or decrease in net assets from investment operations is apportioned between the funds based upon their relative daily

net asset values. Once an Account contract owner begins receiving lifetime annuity income benefits, payment levels cannot be reduced as a result of the Account’s actual mortality experience. In addition, the contracts pursuant to which the Account is offered are required to stipulate the maximum expense charge for all Account level expenses that can be assessed, which is not to exceed 2.5% of average net assets per year. The Account pays a fee to TIAA to assume mortality and expense risks.

~~Accounting for Investments:~~ ~~The investments held by the Account are accounted for as follows:~~

~~Real Estate Properties~~—Rent from real estate properties consists of all amounts earned under tenant operating leases, including base rent, recoveries of real estate taxes and other expenses and charges for miscellaneous services provided to tenants. Rental income is recognized in accordance with the billing terms of the lease agreements. The Account bears the direct expenses of the real estate properties owned. These expenses include, but are not limited to, fees to local property management companies, property taxes, utilities, maintenance, repairs, insurance, and other operating and administrative costs. An estimate of the net operating income earned from each real estate property is accrued by the Account on a daily basis and such estimates are adjusted when actual operating results are determined.

~~Real Estate Joint Ventures~~—The Account has ownership interests in various real estate joint ventures (collectively, the “joint ventures”). The Account records its contributions as increases to its investments in the joint ventures, and distributions from the joint ventures are treated as income within income from real estate joint ventures and real estate funds in the Account’s Consolidated Statements of Operations. Distributions that are identified as returns of capital are recorded as a reduction to the cost basis of the investment, whereas distributions identified as capital gains or losses are recorded as realized gains or losses. Income distributions from the joint ventures are recorded based on the Account’s proportional interest of the income distributed by the joint ventures. Income and losses incurred but not yet distributed or realized from the Account by the joint ventures are recorded as unrealized gains and losses.

~~Real Estate Funds~~—The Account has limited ownership interests in various private real estate funds. The Account records its contributions as increases to the investments, and distributions from the investments are treated as income within income from real estate joint ventures and real estate funds in the Account’s Consolidated Statements of Operations. Distributions that are identified as returns of capital are recorded as a reduction to the cost basis of the investment, whereas distributions identified as capital gains or losses are recorded as realized gains or losses. Unrealized gains and losses are recorded based upon the changes in the net asset values of the real estate funds as determined from the financial statements of the real estate funds when received by the Account. Prior to the receipt of the financial statements from the real estate funds, the Account estimates the value of its interest using information provided by the fund managers. Changes in value based on such estimates are recorded by the Account as unrealized gains and losses.

~~Real Estate Operating Business~~—The Account has a non-controlling ownership interest in one real estate operating business. The Account records contributions into the business as increases to the cost basis of its investment. Distributions are characterized by the business as either income, capital gains, or return of capital. Distributions classified as income are presented within income from real estate joint ventures, funds, and operating business in the Account’s Consolidated Statements of Operations. Distributions identified as capital gains are presented as realized gains in the Account’s Consolidated Statements of Operations. Distributions identified as returns of capital are recorded as a reduction to the cost basis of the investment. Unrealized gains and losses are recorded based upon the changes in the fair value of the enterprise value of the business.

~~Marketable Securities~~—Transactions in marketable securities are accounted for as of the date the securities are purchased or sold (trade date). Interest income is recorded as earned. Dividend income is recorded on the ex-dividend date within dividend income. Dividends that are identified as returns of capital are recorded as a reduction to the cost basis of the investment, whereas dividends identified as capital gains or losses are recorded as realized gains or losses. Realized gains and losses on securities transactions are accounted for on the specific identification method.

~~Loans Receivable~~—The Account may originate, purchase or sell loans collateralized by real estate. The cost basis of originated loans is comprised of the principal balance and direct costs incurred that represent a component of the loan’s reported fair value. The cost basis of purchased loans consists of the purchase price of the loan and additional direct costs incurred that represent a component of the loan’s reported fair value. Additional costs incurred by the Account to originate or purchase loans that do not represent a component of a loan’s fair value are recorded as expenses in the period incurred. Nonrefundable origination fees paid by borrowers are recognized as interest income once all activities required to execute the loan are completed. Prepayment fees received from the payoff of loans in advance of their maturity date are recognized as interest income on the date the payoff occurs.

Interest income from loans in accrual status is recognized based on the current coupon rate of the loans. Interest income accruals are suspended when a loan becomes a non-performing loan, defined as a loan more than ninety days in arrears or at any point when management believes the full collection of principal is doubtful. Interest income on non-performing loans is recognized only as cash payments are received. Loans can be rehabilitated to accrual status once all past due interest has been collected and management believes the full collection of principal is likely.

~~Realized and Unrealized Gains and Losses~~—Realized gains and losses are recorded at the time an investment is sold or a distribution is received in relation to an investment sale from a real estate joint venture or fund. Real estate and loan receivable transactions are accounted for as of the date on which the purchase or sale transactions close (settlement date). The Account recognizes a realized gain on the sale of an investment to the extent that the contract sales price exceeds the cost-to-date of the investment being sold. A realized loss occurs when the cost-to-date exceeds the sales price. Realized gains and losses from partial sales of non-financial assets are recognized in accordance with ASC 610-20 - ~~Gains and Losses from the Derecognition of Nonfinancial Assets. Realized gains and losses from the sale of financial assets are recognized in accordance with ASC 860 -~~ ~~Transfers and Servicing. Unrealized gains and losses are recorded as the fair values of the Account’s investments are adjusted, and as discussed within the~~ ~~Real Estate Joint Ventures, Real Estate Funds and Loans Receivable~~ ~~sections above.~~

~~Net Assets—The Account’s net assets as of the close of each valuation day are valued by taking the sum of:~~

•~~the value of the Account’s cash, cash equivalents, and short-term and other debt instruments;~~

•~~the value of the Account’s other securities and other non-real estate assets;~~

•~~the value of the individual real properties (based on the most recent valuation of that property) and other real estate-related investments owned by the Account;~~

•an estimate of the net operating income accrued by the Account from its properties, other real estate-related investments and non-real estate-related investments (including short-term marketable securities) since the end of the prior valuation day; and

•actual net operating income earned from the Account’s properties, other real estate-related investments and non-real estate-related investments (but only to the extent any such item of income differs from the estimated income accrued for on such investments),

and then reducing the sum by liabilities held within the Account, including the daily investment management fee, administration and distribution fees, mortality and expense fee, liquidity guarantee fee, and certain other expenses attributable to operating the Account. Daily estimates of net operating income are adjusted to reflect actual net operating income on a monthly basis, at which time such adjustments (if any) are reflected in ~~the Account’s unit value.~~

After the end of every quarter, the Account reconciles the amount of expenses deducted from the Account (which is established in order to approximate the costs that the Account will incur) with the expenses the Account actually incurred. If there is a difference, the Account adds it to or deducts it from the Account in equal daily installments over the remaining days of the following quarter. Material differences may be repaid in the current calendar quarter. The Account’s at cost deductions are based on projections of Account assets and overall expenses, and the size of any adjusting payments will be directly affected by the difference between management’s projections and the Account’s actualOther assets or ~~expenses.~~

~~Variable Interest Entities:~~ Variable interests are financial relationships which expose a reporting entity to the risks and rewards of variability in the entity's assets and operations. When variable interests exist, they are subject to evaluation under the variable interest entity ("VIE") model if any one of the following four characteristics are

present: (a) the entity is insufficiently capitalized; (b) the equity holders do not have power to control the activities that most significantly impact the entity's financial performance; (c) the voting rights of the equity holders are not proportionate to their economic interests; or (d) the equity holders are not exposed to the residual losses or benefits that would normally be associated with equity interests.

~~ASC 810 -~~ ~~Consolidation~~ ~~prohibits a reporting entity that qualifies as an investment company under ASC 946~~from consolidating an investee that is not an investment company. This scope exception does not apply to situations in which an investment company has an interest in another investment company. Accordingly, the Account's investments in other investment companies (e.g., real estate funds) are subject to evaluation under the VIE model.

The Account consolidates a VIE if it concludes that the Account is the primary beneficiary of the VIE. The primary beneficiary has both: (i) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and (ii) the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. The following activities have been identified by the Account as having the most significant impact on a VIE's economic performance:

•~~control over the ability to acquire and dispose of investments held by the entity;~~

•~~the ability to kick out a managing entity without cause, either unilaterally or with a group of equity investors;~~

•~~the ability to modify the power of the managing entity without its consent; and~~

•~~control over the day-to-day decision making of the underlying investments~~

An equity investor in a VIE may not actively be involved in the significant activities (i.e., it may cede day-to-day decision making to a third party), but if the equity investor has approval rights or some other mechanism to retain ultimate control, the equity investor with these rights would be concluded as having power over the activity.

On a quarterly basis, the Account evaluates all involvements with VIEs, including any changes to governing powers of continuing VIEs. The consolidation status of VIEs may change as a result of such continued evaluation. At the reporting date, the Account was not deemed to be the primary beneficiary of any VIEs. Refer to ~~Note 7—Investments in Real Estate Funds~~ ~~for additional detail.~~

~~Cash and Cash Equivalents:~~ Cash and cash equivalents are balances held by the Account in bank deposit accounts which, at times, may exceed federally insured limits. The Account’s management monitors these balances to mitigate the exposure of risk due to concentration and has not experienced any losses from such concentration.

~~Other Assets and Other Liabilities:~~ ~~Other assets and other~~ liabilities consist of operating assets and liabilities utilized and held at each individual real estate property investment. Other assets consist of, amongst other items, cash, tenant receivables and prepaid expenses; whereas other liabilities primarily consist of security deposits. Other assets also include cash collateral held for securities on loan.

~~Federal Income Taxes:~~ Based on provisions of the Internal Revenue Code of 1986, Section 817, as amended, the Account is taxed as a segregated asset account of TIAA and as such, the Account incurs no material federal income tax attributable to the net investment activity of the Account. The Account’s federal income tax return is generally subject to examination for a period of three years after filed. State and local tax returns may be subject to examination for an additional period of time depending on the jurisdiction. Management has analyzed the Account’s tax positions taken for all open federal income tax years and has concluded that no provision for federal income tax is required in the Account’s Consolidated Financial Statements.

~~Restricted Cash:~~ The Account held restricted cash in escrow accounts for security deposits, as required by certain states, as well as for property taxes, insurance, and various other property related matters as required by certain creditors related to outstanding loans payable collateralized by certain real estate investments. These amounts are recorded within other assets on the Consolidated Statements of Assets and Liabilities. ~~See~~ ~~Note 9—Loans Payable~~ ~~for additional information regarding the Account’s outstanding loans payable.~~

~~Changes in Net Assets:~~ Premiums include premiums paid by existing accumulation unit holders in the Account and transfers into the Account. Withdrawals and death benefits include withdrawals out of the Account which include transfers out of the Account and required minimum distributions.

~~Due to/from Investment Manager:~~ ~~Due to/from investment manager represents amounts that are to be paid or received by TIAA on behalf of the Account. Amounts generally are paid or received by the Account within~~ ~~one~~ or ~~two~~ ~~business days and no interest is contractually charged on these amounts.~~

~~Securities Lending:~~The Account may lend securities to qualified borrowers to earn additional income. The Account receives cash collateral against the loaned securities and maintains cash collateral in an amount not less than 100% of the marketfair value of ~~loaned securities during~~foreign currency forward contracts is determined using the ~~period of the loan; any additional collateral required due to changes in security values~~prevailing forward exchange rate which is ~~delivered to the Account the next business day. Cash collateral received~~derived from quotes provided by ~~the Account is invested exclusively in~~ an interest-bearing deposit account. The value of the loaned securities and the liability to return the cash collateral received are reflected in the Consolidated Statements of Assets and Liabilities. When loaning securities, the Account retains the benefits of owning the securities, including the economic equivalent of dividends or interest generated by the securities. All income generated by the securities lending program is reflected within interest income on the Consolidated Statements of Operations.independent pricing source.

Securities lending transactions are for real estate-related equity securities, and the resulting loans are continuous, can be recalled at any time, and have no set maturity. Securities lending income recognized by the Account consists of interest earned on cash collateral and lending fees, net of any rebates to the borrower and compensation to the agent. Such income is reflected within interest income on the Consolidated Statements of Operations. In lending its securities, the Account bears the market risk with respect to the investment of collateral and the risk that the agent may default on its contractual obligations to the Account. The agent bears the risk that the borrower may default on its obligation to return the loaned securities as the agent is contractually obligated to indemnify the Account if at the time of a default by a borrower some or all of the loan securities have not been returned.

Recent Accounting Pronouncements: In July 2021, the FASB issued ASU 2021-05—Leases (Topic 842): Lessors—Certain Leases with Variable Lease Payments (“ASU 2021-05”). The amendments in ASU 2021-05 amend the lease classification requirements for lessors to align them with practice under Topic 840. Lessors should classify and account for a lease with variable lease payments that do not depend on a reference index or a rate as an operating lease if certain criteria are met. When a lease is classified as operating, the lessor does not recognize a net investment in the lease, does not derecognize the underlying asset, and, therefore, does not recognize a selling profit or loss. The amendments are effective for fiscal years beginning after December 15, 2021, for all entities, and interim periods within those fiscal years for public business entities. Entities that have adopted Topic 842 before the issuance date of ASU 2016-05 have the option to apply the amendments either (1) retrospectively to leases that commenced or were modified on or after the adoption of Update 2016-02 or (2) prospectively to leases that commence or are modified on or after the date that an entity first applies the amendments. Management has adopted the guidance and it did not materially impact the Account.

In March 2020, the FASB issued ASU 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The guidance provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging 12 relationships, subject to meeting certain criteria, that reference the London Interbank Offered Rate ("LIBOR") or another reference rate expected to be discontinued. The expedients and exceptions are effective for the period from March 12, 2020 through December 31, 2022. Management does not expect the guidance to materially impact the Account.

Note 2—Related Party Transactions

Investment management, administrative and distribution services are provided to the Account at cost by TIAA or certain affiliates of TIAA. Services provided at cost are paid by the Account on a daily basis based upon projected expenses to be provided to the Account. Payments are adjusted periodically to ensure daily payments are as close as possible to the Account’s actual expenses incurred. Differences between actual expenses and the amounts paid by the Account are reconciled and adjusted quarterly.

Investment management services for the Account are provided by TIAA officers, under the direction and control of the Board, pursuant to investment management procedures adopted by TIAA for the Account. TIAA’s investment management decisions for the Account are subject to review by the independent fiduciary. TIAA also provides various portfolio accounting and related services for the Account.

The Account is a party to the Distribution Agreement for the Contracts Funded by the TIAA Real Estate Account (the “Distribution Agreement”), dated January 1, 2008, by and among TIAA, for itself and on behalf of the Account, and TIAA-CREF Individual and Institutional Services, LLC (“Services”). Services is a direct wholly-owned subsidiary of TIAA, and is registered with the SEC as a broker-dealer and a registered investment adviser and is a member of the Financial Industry Regulatory Authority. Pursuant to the Distribution Agreement, Services performs distribution services for the Account which include, among other things, (i) distribution of annuity contracts issued by TIAA and funded by the Account, (ii) advising existing annuity contract owners in connection

with their accumulations and (iii) helping employers implement and manage retirement plans. In addition, TIAA performs administrative functions for the Account, which include, among other things, (i) maintaining accounting records and performing accounting services, (ii) receiving and allocating premiums, (iii) calculating and making annuity payments, (iv) processing withdrawal requests, (v) providing regulatory compliance and reporting services,

(vi) maintaining the Account’s records of contract ownership and (vii) otherwise assisting generally in all aspects of the Account’s operations. Both distribution services (pursuant to the Distribution Agreement) and administrative services are provided to the Account by Services and TIAA, as applicable, on an at cost basis. The Distribution Agreement is terminable by either party upon 60 days written notice and terminates automatically upon any assignment thereof.

In addition to providing the services described above, TIAA charges the Account fees to bear certain mortality and expense risks and risks with providing the liquidity guarantee. These fees are charged as a percentage of the net assets of the Account. Rates for these fees are established annually.

Once an Account ~~contract owner~~participant begins receiving lifetime annuity income benefits, payment levels cannot be reduced as a result of the Account’s actual mortality experience. As such, mortality and expense risk ~~expenses~~ are contractual charges for TIAA’s assumption of this risk.

TIAA provides the Account with a liquidity guarantee enabling the Account to have funds available to meet contract owner redemption, transfer or cash withdrawal requests. The liquidity guarantee is required by the New York State Department of Financial Services and is subject to a prohibited transaction exemption that the Account received in 1996 (96-76) from the U.S. Department of Labor (the “PTE 96-76”). The Account pays TIAA for the risk associated with providing the liquidity guarantee through a daily deduction from the Account’s net assets. Whether the liquidity guarantee is exercised is based on the cash level of the Account from time to time, as well as recent contract owner withdrawal activity and the Account’s expected working capital, debt service and cash needs, and subject to the oversight of the independent fiduciary. If the Account cannot fund contract owner withdrawal or redemption requests from the Account’s own cash flow and liquid investments, TIAA will fund them by purchasing accumulation units issued by the Account (accumulation units that are purchased by TIAA are generally referred to as “liquidity units”). TIAA guarantees that contract owners can redeem their accumulation units at the accumulation unit value next determined after their transfer or cash withdrawal request is received in good order. Liquidity units owned by TIAA are valued in the same manner as accumulation units owned by the Account’s contract owners. The independent fiduciary, which has the right to adjust the percentage of total accumulation units that TIAA’s ownership should not exceed (the “trigger point”), has established the trigger point at 45% of the outstanding accumulation units.

Expenses for the services and fees described above are identified as such in the accompanying Consolidated Statements of Operations and are further identified as "Expenses" in Note 11—Financial Highlights.

The Account has loans receivable outstanding with related parties as of March 31, ~~2021. The~~2022. One loan is with a joint venture partner and the other loans are with joint ventures in which the Account also has an equity interest. The loans are held at fair value in accordance with the valuation policies described in Note 1—Organization and Significant Accounting Policies.of the Account's 2021 Form 10-K. The following table presents the key terms of the loans as of the reporting date (in millions):


			Related Party		Equity Ownership Interest	Interest Rate		Maturity Date		Fair Value at												Related Party		Equity Ownership Interest			Interest Rate		Maturity Date		Fair Value at
Principal	Principal						March 31, 2021			December 31, 2020		Principal														March 31, 2022				December 31, 2021
2021		2020
2022															2022			2021					Related Party			Equity Ownership Interest		Interest Rate		Maturity Date			March 31, 2022			December 31, 2021

36.5	36.5	36.5		MRA Hub 34 Holding, LLC			95.00%		2.50% + LIBOR				9/1/2022			$	36.5			$	36.5				36.5				36.5									$	36.5	$	36.5
0.5															0.5			0.5				MRA 34 LLC				—%		3.75% + LIBOR		8/26/2022			0.5			0.5
32.8	32.8	32.8		THP Student Housing, LLC		97.00%		3.20%		9/1/2024			32.9			32.9			32.8			32.8		THP Student Housing, LLC			97.00%		3.20%		9/1/2024			32.9			32.9
TOTAL LOANS RECEIVABLE WITH RELATED PARTIES	TOTAL LOANS RECEIVABLE WITH RELATED PARTIES									$	69.4		$	69.4	TOTAL LOANS RECEIVABLE WITH RELATED PARTIES																$	69.9		$	69.9

Note 3—Concentrations of Risk

Concentrations of risk may arise when a number of properties are located in a similar geographic region such that the economic conditions of that region could impact tenants’ obligations to meet their contractual obligations or cause the values of individual properties to decline. Additionally, concentrations of risk may arise if any one tenant comprises a significant amount of the Account's rent, or if tenants are concentrated in a particular industry.

As of March 31, ~~2021,~~2022, the Account had no significant concentrations of tenants as no single tenant had annual contract rent that made up more than 4% of the rental income of the Account. Moreover, the Account's tenants have no notable concentration present in any one industry.

The Account’s wholly-owned real estate investments and investments in joint ventures are primarily located in the United States. The following table represents the diversification of the Account’s portfolio by region and property type as of March 31, ~~2021:~~2022:


Diversification by Fair Value(1)	Diversification by Fair Value(1)											Diversification by Fair Value(1)
		West		East		South		Midwest		Total			West(2)		South(3)		East(4)		Midwest(5)		Foreign(6)		Total
Office	Office	13.6	%	18.4	%	5.7	%	0.1	%	37.8	%	Office	10.6	%	5.7	%	14.5	%	0.2	%	—	%	31.0	%
Apartment	Apartment	9.9	%	6.5	%	8.0	%	1.1	%	25.5	%	Apartment	9.0	%	9.7	%	6.8	%	1.0	%	—	%	26.5	%
Industrial												Industrial	15.3	%	6.1	%	2.4	%	1.5	%	—	%	25.3	%
Retail	Retail	6.2	%	3.3	%	7.2	%	0.8	%	17.5	%	Retail	3.9	%	5.0	%	2.8	%	0.7	%	—	%	12.4	%
Industrial		10.4	%	1.5	%	4.8	%	0.5	%	17.2	%
Other~~(2)~~(7)	Other~~(2)~~(7)	0.7	%	0.4	%	0.8	%	0.1	%	2.0	%	Other~~(2)~~(7)	1.3	%	2.1	%	1.1	%	0.2	%	0.1	%	4.8	%
Total	Total	40.8	%	30.1	%	26.5	%	2.6	%	100.0	%	Total	40.1	%	28.6	%	27.6	%	3.6	%	0.1	%	100.0	%

(1)Wholly-owned properties are represented at fair value and gross of any debt, while joint venture properties are represented at the net equity value.

(2)~~Represents interests in Storage Portfolio investments, a hotel investment and land.~~

Properties in the “West” region are located in: AK, AZ, CA, CO, HI, ID, MT, NM, NV, OR, UT, WA, WY.

(3)Properties in the “South” region are located in: AL, AR, FL, GA, LA, MS, OK, TN, TX.

(4)Properties in the “East” region are located in: CT, DC, DE, KY, MA, MD, ME, NC, NH, NJ, NY, PA, RI, SC, VA, VT, WV.

~~Properties in the “South” region are located in: AL, AR, FL, GA, LA, MS, OK, TN, TX.~~

(5)Properties in the “Midwest” region are located in: IA, IL, IN, KS, MI, MN, MO, ND, NE, OH, SD, WI.

(6)Represents a developable land investment in Ireland.

(7)Represents interests in Storage Portfolio investments, a hotel investment and land.

Note 4—Leases

The Account’s wholly-owned real estate properties are leased to tenants under operating lease agreements which expire on various dates through 2051. Rental income is recognized in accordance with the billing terms of the lease agreements. The leases do not have material variable payments, material residual value guarantees or material restrictive covenants. Certain leases have the option to extend or terminate at the tenant's discretion, with termination options resulting in additional fees due to the Account. Aggregate minimum annual rentals for wholly-owned real estate investments owned by the Account through the non-cancelable lease term, excluding short-term residential leases, as of March 31, ~~2021~~2022 and December 31, ~~2020~~2021 are as follows (in millions):


		As of						As of
Years Ended	Years Ended	March 31, 2021			December 31, 2020		Years Ended	March 31, 2022			December 31, 2021
2021		$	479.2	(1)	$	638.6
2022	2022	587.8			576.0		2022	$	477.4	(1)	$	635.8
2023	2023	522.3			504.6		2023	599.7			594.2
2024	2024	449.7			430.2		2024	526.2			517.7
2025	2025	371.6			353.2		2025	445.5			436.1
2026							2026	341.2			330.2
Thereafter	Thereafter	1,148.1			1,037.6		Thereafter	1,207.0			1,172.7
Total	Total	$	3,558.7		$	3,540.2	Total	$	3,597.0		$	3,686.7

(1) Representative of minimum rents owed for the remaining months of the calendar year ending December 31, ~~2021.~~2022.

Certain leases provide for additional rental amounts based upon the recovery of actual operating expenses in excess of specified base amounts, sales volume or contractual increases as defined in the lease agreement. These contractual contingent rentals are not included in the table above.

The Account has ground leases for which the Account is the lessee. The leases do not contain material residual value guarantees or material restrictive covenants. The fair value of right-of-use assets and leases liabilities related to ground leases are reflected on the balance sheet within other assets and other liabilities, respectively.

The fair values and key terms of the right-of-use assets and lease liabilities related to the Account's ground leases are as follows (in millions):


		As of							As of
		March 31, 2021			December 31, 2020				March 31, 2022			December 31, 2021

Assets:	Assets:							Assets:
Right-of-use assets, at fair value	Right-of-use assets, at fair value	$	37.1		$	36.8		Right-of-use assets, at fair value	$	38.6		$	40.3
Liabilities:	Liabilities:							Liabilities:
Ground lease liabilities, at fair value	Ground lease liabilities, at fair value	$	37.1		$	36.8		Ground lease liabilities, at fair value	$	38.6		$	40.3
Key Terms:	Key Terms:							Key Terms:
Weighted-average remaining lease term (years)	Weighted-average remaining lease term (years)	68.4			69.4			Weighted-average remaining lease term (years)	67.9			69.5
Weighted-average discount rate(1)	Weighted-average discount rate(1)	8.10		%	8.05		%	Weighted-average discount rate(1)	7.71		%	7.71		%

(1) Discount rates are reflective of the rates utilized during the most recent appraisal of the associated real estate investments.

For the three months ended March 31, ~~2021~~2022 and ~~2020,~~2021, operating lease costs related to ground leases were ~~$0.6~~$0.5 million and ~~$0.4~~$0.6 million, respectively. These costs include variable lease costs, which are immaterial. Aggregate future minimum annual payments for ground leases held by the Account are as follows (in millions):

As of
March 31, 2021 December 31, 2020
Years Ended
2021(1)
$ 1.7 (1) $ 2.2
2022 2.3 2.3
2023 2.4 2.3
2024 2.4 2.3
2025 2.4 2.3
Thereafter 427.6 402.8
Total $ 438.8 $ 414.2

~~(1)~~ ~~Representative of minimum rents owed for the remaining months of the calendar year ending December 31, 2021.~~


	As of
	March 31, 2022		December 31, 2021
Years Ended
2022	$	1.7	$	2.3
2023	2.4		2.3
2024	2.5		2.4
2025	2.5		2.4
2026	2.5		2.4
Thereafter	438.4		414.0
Total	$	450.0	$	425.8

In April 2020, the FASB staff released guidance focused on treatment of concessions related to the effects of the COVID-19 pandemic on the application of lease modification guidance in Accounting Standards Codification (“ASC”) 842, “Leases.” The guidance provides a practical expedient to forgo the associated reassessments required by ASC 842 when changes to a lease result in similar or lower future consideration. There was no material exposure to rent concessions or lease defaults for tenants impacted by the COVID-19 pandemic for the ~~quarter~~three months ended March 31, ~~2021.~~2022.

Note 5—Assets and Liabilities Measured at Fair Value on a Recurring Basis

Valuation Hierarchy: The Account’s fair value measurements are grouped into three levels, as defined by the FASB. The levels are defined as follows:

•Level 1 fair value inputs are quoted prices for identical items in active, liquid and visible markets such as stock exchanges.

•Level 2 fair value inputs are observable information for similar items in active or inactive markets, and appropriately consider counterparty creditworthiness in the valuations.

•Level 3 fair value inputs reflect our best estimate of inputs and assumptions market participants would use in pricing an asset or liability at the measurement date. The inputs are unobservable in the market and significant to the valuation estimate.

An investment’s categorization within the valuation hierarchy described above is based upon the lowest level of input that is significant to the fair value measurement. Real estate fund investments are excluded from the valuation hierarchy, as these investments are fair valued using their net asset value as a practical expedient since market quotations or values from independent pricing services are not readily available. See Note 1—Organization and Significant Accounting Policies of the Account's 2021 Form 10-K for further discussion regarding the use of a practical expedient for the valuation of real estate funds.

The following tables show the major categories of assets and liabilities measured at fair value on a recurring basis as of March 31, ~~2021~~2022 and December 31, ~~2020,~~2021, using unadjusted quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3); and fair value using the practical expedient (millions):


Description	Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Fair Value Using Practical Expedient		Total at March 31, 2021		Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Fair Value Using Practical Expedient		Total at March 31, 2022
Real estate properties	Real estate properties	$	—	$	—	$	16,816.5	$	—	$	16,816.5	Real estate properties	$	—	$	—	$	20,179.1	$	—	$	20,179.1
Real estate joint ventures	Real estate joint ventures	—		—		6,215.3		—		6,215.3		Real estate joint ventures	—		—		7,253.3		—		7,253.3
Real estate funds	Real estate funds	—		—		—		461.9		461.9		Real estate funds	—		—		—		805.8		805.8
Real estate operating business	Real estate operating business	—		—		250.0		—		250.0		Real estate operating business	—		—		487.6		—		487.6
Marketable securities:	Marketable securities:											Marketable securities:

Government agency notes		—		339.0		—		—		339.0
United States treasury securities		—		491.2		—		—		491.2

U.S. government agency notes												U.S. government agency notes	—		1,076.5		—		—		1,076.5
Foreign government agency notes												Foreign government agency notes	—		17.1		—		—		17.1
U.S. treasury securities												U.S. treasury securities	—		875.2		—		—		875.2
Corporate bonds												Corporate bonds	—		572.4		—		—		572.4

Loans receivable(1)	Loans receivable(1)	—		—		1,529.6		—		1,529.6		Loans receivable(1)	—		—		1,329.2		—		1,329.2
Total Investments at March 31, 2021		$	0	$	830.2	$	24,811.4	$	461.9	$	26,103.5
Total Investments at March 31, 2022												Total Investments at March 31, 2022	$	—	$	2,541.2	$	29,249.2	$	805.8	$	32,596.2
Loans payable	Loans payable	$	—	$	—	$	(2,403.6)	$	—	$	(2,403.6)	Loans payable	$	—	$	—	$	(2,338.0)	$	—	$	(2,338.0)
Line of credit												Line of credit	$	—	$	—	$	(500.0)	$	—	$	(500.0)

Description Level 1: Quoted Prices in Active Markets for Identical Assets Level 2: Significant Other Observable Inputs Level 3: Significant Unobservable Inputs Fair Value Using Practical Expedient Total at December 31, 2020
Real estate properties $ — $ — $ 16,476.7 $ — $ 16,476.7
Real estate joint ventures — — 6,128.9 — 6,128.9
Real estate funds — — — 393.2 393.2
Real estate operating business — — 250.0 — 250.0
Marketable securities:
Government agency notes — 157.0 — — 157.0
United States treasury securities — 582.3 — — 582.3
Loans receivable(1)
— — 1,562.6 — 1,562.6
Total Investments at December 31, 2020 $ 0 $ 739.3 $ 24,418.2 $ 393.2 $ 25,550.7
Loans payable $ — $ — $ (2,411.4) $ — $ (2,411.4)


Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Fair Value Using Practical Expedient		Total at December 31, 2021
Real estate properties	$	—	$	—	$	18,903.9	$	—	$	18,903.9
Real estate joint ventures	—		—		7,175.9		—		7,175.9
Real estate funds	—		—		—		811.5		811.5
Real estate operating business	—		—		326.3		—		326.3
Marketable securities:
U.S. government agency notes	—		864.1		—		—		864.1
Foreign government agency notes	—		7.6		—		—		7.6
U.S. treasury securities	—		784.3		—		—		784.3
Corporate bonds	—		551.8		—				551.8

Loans receivable(1)	—		—		1,492.6		—		1,492.6
Total Investments at December 31, 2021	$	—	$	2,207.8	$	27,898.7	$	811.5	$	30,918.0
Loans payable	$	—	$	—	$	(2,380.5)	$	—	$	(2,380.5)
Line of credit	$	—	$	—	$	(500.0)	$	—	$	(500.0)

(1) ~~Amount shown is reflective of loans receivable and~~Includes loans receivable with related parties.

The following tables show the reconciliation of the beginning and ending balances for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 (in millions):


		Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable			Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable		Line of Credit
For the three months ended March 31, 2021
Beginning balance January 1, 2021		$	16,476.7	$	6,128.9	$	250.0	$	1,562.5	$	24,418.1	$	(2,411.4)
For the three months ended March 31, 2022														For the three months ended March 31, 2022
Beginning balance January 1, 2022														Beginning balance January 1, 2022	$	18,903.9	$	7,175.9	$	326.3	$	1,492.6	$	27,898.7	$	(2,380.5)	$	(500.0)
Total realized and unrealized gains included in changes in net assets	Total realized and unrealized gains included in changes in net assets	290.8		54.3		—		12.6		357.7		3.5		Total realized and unrealized gains included in changes in net assets	1,204.0		122.8		60.4		1.0		1,388.2		3.7		—
Purchases(1)	Purchases(1)	52.0		32.2		—		46.6		130.8		—		Purchases(1)	228.9		251.3		100.9		5.2		586.3		(3.0)		—
Sales~~(4)~~	Sales~~(4)~~	(3.0)		—		—		(81.2)		(84.2)		—		Sales~~(4)~~	(157.7)		—		—		(161.4)		(319.1)		—		—
Settlements(2)	Settlements(2)	—		(0.1)		—		(10.9)		(11.0)		4.3		Settlements(2)	—		(296.7)		—		(8.2)		(304.9)		41.8		—
Ending balance March 31, 2021		$	16,816.5	$	6,215.3	$	250.0	$	1,529.6	$	24,811.4	$	(2,403.6)
Ending balance March 31, 2022														Ending balance March 31, 2022	$	20,179.1	$	7,253.3	$	487.6	$	1,329.2	$	29,249.2	$	(2,338.0)	$	(500.0)

Real Estate
Properties Real Estate
Joint Ventures
Loans
Receivable(3)
Total
Level 3
Investments
Loans
Payable Line of Credit
For the three months ended March 31, 2020
Beginning balance January 1, 2020 $ 15,835.0 $ 7,204.2 $ 1,572.1 $ 24,611.3 $ (2,365.0) $ (250.0)
Total realized and unrealized gains (losses) included in changes in net assets 137.5 (156.4) (12.7) (31.6) 45.7 —
    Purchases(1)
1,457.2 20.6 107.7 1,585.5 (289.6) (400.0)
    Sales (347.6) — — (347.6) — —
    Settlements(2)
— (831.0) (36.1) (867.1) 3.3 460.0
Ending balance March 31, 2020 $ 17,082.1 $ 6,237.4 $ 1,631.0 $ 24,950.5 $ (2,605.6) $ (190.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2021
Beginning balance January 1, 2021	$	16,476.7	$	6,128.9	$	250.0	$	1,562.5	$	24,418.1	$	(2,411.4)
Total realized and unrealized gains included in changes in net assets	290.8		54.3		—		12.6		357.7		3.5
Purchases(1)	52.0		32.2		—		46.6		130.8		—
Sales(4)	(3.0)		—		—		(81.2)		(84.2)		—
Settlements(2)	—		(0.1)		—		(10.9)		(11.0)		4.3
Ending balance March 31, 2021	$	16,816.5	$	6,215.3	$	250.0	$	1,529.6	$	24,811.4	$	(2,403.6)

(1)Includes purchases, contributions for joint ventures, capital expenditures, lending for loans receivable and assumption of loans payable.

(2)Includes operating income for real estate joint ventures net of distributions, principal payments and payoffs of loans receivable, and principal payments and extinguishment of loans payable.

(3)~~Amount shown is reflective of loans receivable and~~Includes loans receivable with related parties.

(4)Real estate properties amount shown is inclusive of post closing realized losses.

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements for the quarter ended March 31, 2022.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.8% - 9.8% (6.6%)

4.5% - 8.5% (5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.0% - 8.0% (5.0%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

4.8% - 8.0% (5.8%)

3.5% - 6.8% (4.4%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

2.0% - 6.0% (3.8%)

Apartment

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.3% - 7.0% (5.8%)

4.0% - 5.5% (4.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

3.5% - 5.0% (4.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

6.0% - 11.5% (7.0%)

5.0% - 8.7% (5.7%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.5% - 8.6% (5.2%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

9.8% (9.8%)

7.8% (7.8%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

7.5% (7.5%)

Real Estate Operating Business

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Growth Rate

8.2%

5.3%

Market Approach

EBITDA Multiple

25.0x

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

35.8% - 57.5% (45.4%)

1.8% - 3.7% (3.2%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

35.8% - 57.5% (45.4%)

1.2 - 1.4 (1.3)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

31.2% - 38.4% (34.1%)

3.3% - 3.9% (3.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

31.2% - 38.4% (34.1%)

1.2 - 1.3 (1.2)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

27.2% - 67.8% (41.2%)

1.9% - 3.2% (2.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

27.2% - 67.8% (41.2%)

1.2 - 1.5 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

34.8% - 74.2% (45.4%)

3.2% - 4.2% (3.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

34.8% - 74.2% (45.4%)

1.2- 1.8 (1.4)

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Loans Receivable, including those with related parties

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

40.4% - 94.7% (69.8%)

2.3% - 9.5% (5.6%)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

29.9% - 71.3% (65.3%)

4.3% - 5.2% (4.7%)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

38.4% - 76.5% (49.0%)

2.5% - 8.6% (5.0%)

Retail & Hospitality

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

59.8% - 79.8% (67.6%)

3.0% - 7.3% (4.3%)

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements as of ~~March~~December 31, 2021.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.8% - ~~9.3% (6.7%~~9.5% (6.6%)

~~4.8%~~4.5% - 8.5% ~~(5.6%~~(5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.0% - 8.0% (5.0%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

~~5.2%~~5.0% - ~~9.0% (6.4%~~8.3% (6.0%)

~~4.3%~~4.0% - ~~7.3% (5.2%~~6.8% (4.6%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

~~3.3%~~2.5% - ~~7.0% (4.6%~~6.5% (4.0%)

Apartment

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

~~5.5%~~5.3% - ~~7.8% (6.3%~~7.3% (5.9%)

~~4.3%~~4.0% - ~~6.8% (5.0%~~5.8% (4.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

~~3.8%~~3.5% - ~~6.0% (4.5%~~5.3% (4.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

~~5.3%~~6.0% - ~~12.0% (6.8%~~11.8% (7.0%)

~~4.5%~~5.0% - 9.5% (5.7%)

~~Type~~

~~Asset Class~~

Valuation
Technique(s)

~~Unobservable~~

~~Inputs(1)~~

~~Range (Weighted Average)~~

Income Approach—Direct Capitalization

Overall Capitalization Rate

~~4.3%~~4.5% - ~~12.0% (5.3%~~9.3% (5.2%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

~~10.3% (10.3%)~~9.8%

7.8% ~~(7.8%)~~

Income Approach—Direct Capitalization

Overall Capitalization Rate

~~7.8% (7.8%)~~7.3%

Real Estate Operating
Business

Income Approach—Discounted Cash Flow

Discount Rate

7.3

Terminal Growth Rate

~~7.3%~~

~~2.5%~~

4.0

Market Approach

EBITDA Multiple

~~13.9x~~21.6x

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~35.4%~~36.1% - ~~53.6% (45.4%~~63.5% (45.8%)

~~2.3%~~1.8% - ~~3.4% (3.1%~~3.7% (3.2%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

~~35.4%~~36.1% - ~~53.6% (45.4%~~63.5% (45.8%)

1.2 - 1.4 (1.3)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~49.2%~~34.0% - ~~56.1% (52.2%~~44.9% (38.3%)

3.3% - ~~3.4% (3.3%)~~

~~Net Present Value~~

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

~~49.2% - 56.1% (52.2%)~~

~~1.4 - 1.5 (1.4)~~

~~Apartment~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~43.2% - 65.6% (50.9%)~~

~~2.5% - 3.0% (2.7%)~~

~~Net Present Value~~

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

~~43.2% - 65.6% (50.9%)~~

~~1.2 - 1.7 (1.4)~~

~~Retail~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~40.0% - 73.6% (47.5%)~~

~~3.0% - 4.5%~~3.7% (3.4%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

~~40.0%~~34.0% - ~~73.6% (47.5%~~44.9% (38.3%)

~~1.3- 1.8~~1.2 - 1.3 (1.3)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

28.8% - 53.6% (40.0%)

2.1% - 3.0% (2.8%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

28.8% - 53.6% (40.0%)

1.3 - 1.4 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

36.0% - 76.3% (46.0%)

3.1% - 4.0% (3.5%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

36.0% - 76.3% (46.0%)

1.2 - 1.9 (1.4)

Loans Receivable, including those with related parties

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~50.8%~~41.9% - ~~91.8% (77.7%~~94.7% (73.1%)

~~3.6%~~2.4% - ~~9.8% (6.9%~~9.5% (5.7%)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~30.9%~~29.9% - ~~68.7%~~71.3% (65.9%)

4.3% - 5.1% ~~(4.7%~~(4.6%)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~47.3%~~38.4% - 77.3% ~~(64.6%~~(49.1%)

~~2.9%~~2.5% - ~~7.3% (4.8%~~8.6% (5.0%)

Retail & Hospitality

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

~~64.6%~~59.8% - ~~86.2% (73.9%~~79.8% (65.0%)

~~4.0% - 7.4% (5.1%)~~

~~The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements as of March 31, 2020.~~

~~Type~~

~~Asset Class~~

Valuation
Technique(s)

~~Unobservable~~

~~Inputs(1)~~

~~Range (Weighted Average)~~

~~Real Estate Properties and Joint Ventures~~

~~Office~~

~~Income Approach—Discounted Cash Flow~~

Discount Rate
Terminal Capitalization Rate

~~5.5% - 8.5% (6.6%)~~

~~4.0% - 7.5% (5.5%)~~

~~Income Approach—Direct Capitalization~~

~~Overall Capitalization Rate~~

~~3.9% - 7.0% (4.9%)~~

~~Industrial~~

~~Income Approach—Discounted Cash Flow~~

Discount Rate
Terminal Capitalization Rate

~~5.2% - 9.3% (6.7%)~~

~~4.3% - 8.3% (5.4%)~~

~~Income Approach—Direct Capitalization~~

~~Overall Capitalization Rate~~

3.5% - ~~7.7% (4.8%)~~

~~Apartment~~

~~Income Approach—Discounted Cash Flow~~

Discount Rate
Terminal Capitalization Rate

~~5.3% - 7.8% (6.4%)~~

~~4.3% - 6.8% (5.1%)~~

~~Income Approach—Direct Capitalization~~

~~Overall Capitalization Rate~~

~~3.8% - 6.0% (4.6%)~~

~~Retail~~

~~Income Approach—Discounted Cash Flow~~

Discount Rate
Terminal Capitalization Rate

~~5.3% - 11.7% (6.7%)~~

~~5.0% - 9.4% (5.6%)~~

~~Income Approach—Direct Capitalization~~

~~Overall Capitalization Rate~~

~~4.0% - 11.0% (5.1%)~~

~~Hotel~~

~~Income Approach—Discounted Cash Flow~~

Discount Rate
Terminal Capitalization Rate

~~10.3% (10.3%)~~

~~7.8% (7.8%)~~

~~Income Approach—Direct Capitalization~~

~~Overall Capitalization Rate~~

~~7.8% (7.8%)~~

~~Loans Payable~~

~~Office and Industrial~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~31.1% - 59.3% (45.8%)~~

~~3.2% - 4.3% (3.8%)~~

~~Net Present Value~~

Loan to Value Ratio
Weighted Average Cost of Capital Risk
Premium Multiple

~~31.1% - 59.3% (45.8%)~~

~~3.2 - 4.3 (3.8)~~

~~Apartment~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~30.0% - 69.0% (46.6%)~~

~~3.1% - 4.1% (3.7%)~~

~~Net Present Value~~

Loan to Value Ratio
Weighted Average Cost of Capital Risk
Premium Multiple

~~30.0% - 69.0% (46.3%)~~

~~1.2 - 1.6 (1.3)~~

~~Retail~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~37.1% - 63.8% (44.2%)~~

~~3.1% - 4.5% (3.9%)~~

~~Net Present Value~~

Loan to Value Ratio
Weighted Average Cost of Capital Risk
Premium Multiple

~~37.1% - 63.8% (44.2%)~~

~~1.2 - 1.5 (1.3)~~

~~Loans Receivable, including those with related parties~~

~~Apartment, Hotel, Industrial, Office, Retail and Storage~~

~~Discounted Cash Flow~~

Loan to Value Ratio
Equivalency Rate

~~30.9% - 90.2% (73.0%)~~

~~3.1% - 10.3% (6.0%~~6.9% (5.2%)

(1) Equivalency Rate is defined as the prevailing market interest rate used to discount the contractual loan payments.

Real Estate Properties and Joint Ventures: The significant unobservable inputs used in the fair value measurement of the Account’s real estate property and joint venture investments are the selection of certain investment rates (Discount Rate, Terminal Capitalization Rate, and Overall Capitalization Rate). Significant increases (decreases) in any of those inputs in isolation would result in significantly lower (higher) fair value measurements, respectively.

Real Estate Operating Business: The significant unobservable inputs used in the fair value measurement of the Account's real estate operating business are the selection of certain investment rates and ratios (Discount Rate, Terminal Growth Rate, and EBITDA Multiple). Significant increases (decreases) in any of those inputs in isolation would result in significantly lower (higher) fair value measurements, respectively.

Loans Receivable: The significant unobservable inputs used in the fair value measurement of the Account’s loans receivable are the loan to value ratios and the selection of certain credit spreads. Significant increases (decreases) in any of those inputs in isolation would result in a significantly lower (higher) fair value, respectively.

Loans Payable: The significant unobservable inputs used in the fair value measurement of the Account’s loans payable are the loan to value ratios and the selection of certain credit spreads and weighted average cost of capital risk premiums. Significant increases (decreases) in any of those inputs in isolation would result in a significantly lower (higher) fair value, respectively.

~~Loans Receivable:~~Line of Credit: The ~~significant unobservable inputs used in~~Account's line of credit is recorded at par as Management believes par approximates fair value

due to the ~~fair value measurement~~short-term nature of the Account’s loans receivable are the loan to value ratios and the selection of certain credit spreads. Significant increases (decreases) in any of those inputs in isolation would result in a significantly lower (higher) fair value, respectively.facility.

During the three months ended March 31, ~~2021~~2022 and ~~2020,~~2021, there were no transfers between Levels 1, 2 or 3.

The amount of total net unrealized gains ~~(losses)~~ included in changes in net assets relating to Level 3 investments and loans payable using significant unobservable inputs still held as of the reporting date is as follows (millions):


													Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(1)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2022												For the three months ended March 31, 2022	$	1,202.3	$	125.6	$	60.4	$	0.9	$	1,389.2	$	3.7
		Real Estate Properties		Real Estate Joint Ventures		Loans Receivable(1)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2021	For the three months ended March 31, 2021	$	287.8	$	50.0	$	5.0	$	342.8	$	3.5	For the three months ended March 31, 2021	$	287.8	$	50.0	$	—	$	5.0	$	342.8	$	3.5

For the three months ended March 31, 2020		$	147.7	$	(62.6)	$	(11.1)	$	74.0	$	45.7

(1) Amount shown is reflective of loans receivable and loans receivable with related parties.

Note 6—Investments in Joint Ventures

The Account owns interests in several real estate properties through joint ventures and receives distributions and allocations of profits and losses from the joint ventures based on the Account’s ownership interest in those investments. Several of these joint ventures have loans payable collateralized by the properties owned by the aforementioned joint ventures. At March 31, ~~2021,~~2022, the Account held investments in joint ventures with ownership interest percentages that ranged from 33.3% to ~~98.0%~~98.5%. Certain joint ventures are subject to adjusted distribution percentages when earnings in the investment reach a predetermined threshold.

A condensed summary of the results of operations of the joint ventures are shown below (millions):


		For the Three Months Ended March 31,					For the Three Months Ended March 31,
		2021		2020				2022	2021
Operating Revenue and Expenses	Operating Revenue and Expenses					Operating Revenue and Expenses
Revenues	Revenues	$	251.7	$	285.5	Revenues		$269.2	$251.7
Expenses	Expenses	143.0		154.6		Expenses		167.3	143.0
Excess of revenues over expenses	Excess of revenues over expenses	$	108.7	$	130.9	Excess of revenues over expenses		$101.9	$108.7

Note 7—Investments in Real Estate Funds

The Account has ownership interests in real estate funds (each a “Fund”, and collectively the “Funds”). The Funds are setup as limited partnerships or entities similar to a limited partnership, and as such, meet the definition of a VIE as the limited partners collectively lack the power, through voting or similar rights, to direct the activities of the Fund that most significantly impact the Fund's economic performance. Management has determined that the Account is not the primary beneficiary for any of the Funds, as the Account lacks the power to direct the activities of each Fund that most significantly impact the respective Fund's economic performance, and the Account further lacks substantive kick-out rights to remove the entity with these powers. Refer to Note 1—Organization and Significant Accounting Policies of the Account's 2021 Form 10-K for a description of the methodology used to determine the primary beneficiary of a VIE.

No financial support (such as loans or financial guarantees) was provided to the Funds during the three months ended March 31, ~~2021.~~2022. The Account is contractually obligated to make additional capital contributions in certain Funds in future years. These commitments are ~~identified~~included in ~~Note 13—Commitments and Contingencies~~.the maximum exposure to loss presented below.

The carrying amount and maximum exposure to loss relating to unconsolidated VIEs in which the Account holds a variable interest but is not the primary beneficiary were as follows at March 31, ~~2021~~2022 (in millions):


Fund Name	Fund Name	Carrying Amount		Maximum Exposure to Loss		Liquidity Provisions			Investment Strategy	Fund Name	Carrying Amount				Maximum Exposure to Loss				Liquidity Provisions			Investment Strategy
LCS SHIP Venture I, LLC (90.0% Account Interest)	LCS SHIP Venture I, LLC (90.0% Account Interest)	$	205.4	$	205.4	Redemptions prohibited prior to liquidation.			To invest in senior housing properties.	LCS SHIP Venture I, LLC (90.0% Account Interest)	$	224.5			$	224.5			Redemptions prohibited prior to liquidation.			To invest in senior housing properties.
						Liquidation estimated to begin no earlier than 2025.													Liquidation estimated to begin no earlier than 2025.
						The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.													The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.
Veritas - Trophy VI, LLC (90.4% Account Interest)	Veritas - Trophy VI, LLC (90.4% Account Interest)	$	58.9	$	58.9	Redemptions prohibited prior to liquidation.			To invest in multi-family properties primarily in the San Francisco Bay and Los Angeles metropolitan statistical area ("MSA").	Veritas - Trophy VI, LLC (90.4% Account Interest)	$	80.2			$	100.1			Redemptions prohibited prior to liquidation.			To invest in multi-family properties primarily in the San Francisco Bay and Los Angeles metropolitan statistical area ("MSA").
						The Account is not permitted to sell or transfer its interest in the fund until August 2022. After this date, the Account can sell or transfer its interest in the fund with the consent and approval of the manager.													The Account is not permitted to sell or transfer its interest in the fund until August 2022. After this date, the Account can sell or transfer its interest in the fund with the consent and approval of the manager.

SP V - II, LLC (61.8% Account Interest)	SP V - II, LLC (61.8% Account Interest)	$	49.8	$	49.8		Redemptions prohibited prior to liquidation.					To invest in medical office properties in the U.S.		SP V - II, LLC (61.8% Account Interest)	$	102.2			$	115.2		Redemptions prohibited prior to liquidation.		To invest in medical office properties in the U.S.
						Liquidation estimated to begin no earlier than 2022.											Liquidation estimated to begin no earlier than 2022.
						The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.											The Account is permitted to sell or transfer its interest in the fund, subject to consent and approval of the manager.
Taconic New York City GP Fund, LP (60.0% Account Interest)	Taconic New York City GP Fund, LP (60.0% Account Interest)	$	31.6	$	31.6	Redemptions prohibited prior to liquidation.			To invest in real estate and real estate-related assets in the New York City MSA.	Taconic New York City GP Fund, LP (60.0% Account Interest)	$			29.8			$	34.0			Redemptions prohibited prior to liquidation.		To invest in real estate and real estate-related assets in the New York City MSA.
						Liquidation estimated to begin no earlier than 2024.													Liquidation estimated to begin no earlier than 2024.
						The Account is permitted to sell its interest in the fund, subject to consent and approval of the general partner.													The Account is permitted to sell its interest in the fund, subject to consent and approval of the general partner.
Silverpeak - REA Alt Inv Fund LP (90.0% Account Interest)		$	29.3	$	29.3	Redemptions prohibited prior to liquidation.			To invest in alternative real estate investments primarily in major U.S. metropolitan markets.
Silverpeak NRE FundCo LLC (90.0% Account Interest)										Silverpeak NRE FundCo LLC (90.0% Account Interest)	$			70.1			$	100.1			Redemptions prohibited prior to liquidation.		To invest in alternative real estate investments primarily in major U.S. metropolitan markets.
						Liquidation estimated to begin no earlier than 2028.													Liquidation estimated to begin no earlier than 2028.
						The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.			To invest in alternative real estate investments primarily in major U.S. metropolitan markets.										The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
IDR - Core Property Index Fund, LLC (1.9% Account Interest)		$	24.5	$	24.5	Redemptions are permitted for a full calendar quarter and upon at least 90 days prior written notice, subject to fund availability.
IDR - Core Property Index Fund, LLC (1.8% Account Interest)							IDR - Core Property Index Fund, LLC (1.8% Account Interest)	$		40.4			$	40.4			Redemptions are permitted for a full calendar quarter and upon at least 90 days prior written notice, subject to fund availability.				To invest primarily in open-ended funds that fall within the NFI-ODCE Index and are actively managed.
							Redemptions are permitted for a full calendar quarter and upon at least 90 days prior written notice, subject to fund availability.			To invest primarily in open-ended funds that fall within the NFI-ODCE Index and are actively managed.
																			The Account is permitted to sell its interest in the fund, subject to consent and approval of the manager.
Townsend Group Value-Add Fund (99.0% Account Interest)		$	20.8	$	20.8	Redemptions prohibited prior to liquidation.
						Liquidation estimated to begin no earlier than 2027.			To invest in value-add real estate investment opportunities in the U.S. market.
						The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion
Flagler REA Healthcare Properties Partnership (90.0% Account Interest)		$	18.0	$	18.0	Redemptions prohibited prior to liquidation.
						Liquidation estimated to begin no earlier than 2025.			To acquire healthcare properties within the top 50 MSA's in the U.S.
						The Account is permitted to transfer its interest in the fund to a qualified institutional investor, subject to the right first offer by the partner, following the one year anniversary of the fund launch.

2317


Fund Name	Fund Name	Carrying Amount		Maximum Exposure to Loss		Liquidity Provisions	Investment Strategy	Fund Name	Carrying Amount		Maximum Exposure to Loss		Liquidity Provisions	Investment Strategy
Townsend Group Value-Add Fund (99.0% Account Interest)								Townsend Group Value-Add Fund (99.0% Account Interest)	$	122.3	$	240.7	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the U.S. market.
													Liquidation estimated to begin no earlier than 2027.
													The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion
Flagler REA Healthcare Properties Partnership (90.0% Account Interest)								Flagler REA Healthcare Properties Partnership (90.0% Account Interest)	$	26.1	$	27.3	Redemptions prohibited prior to liquidation.	To acquire healthcare properties within the top 50 MSA's in the U.S.
													Liquidation estimated to begin no earlier than 2025.
													The Account is permitted to transfer its interest in the fund to a qualified institutional investor, subject to the right first offer by the partner, following the one year anniversary of the fund launch.
Grubb Southeast Real Estate Fund VI, LLC (66.7% Account Interest)	Grubb Southeast Real Estate Fund VI, LLC (66.7% Account Interest)	$	16.4	$	16.4	Redemptions prohibited prior to liquidation.	To acquire office investments across the Southeast.	Grubb Southeast Real Estate Fund VI, LLC (66.7% Account Interest)	$	21.4	$	21.4	Redemptions prohibited prior to liquidation.	To acquire office investments across the Southeast.
						Liquidation estimated to begin no earlier than 2026.							Liquidation estimated to begin no earlier than 2026.
						The Account is not permitted to sell or transfer its interest in the fund until June 2021. After this date, the Account can sell or transfer its interest in the fund with the consent and approval of the manager.							The Account is permitted to sell or transfer its interest in the fund with the consent and approval of the manager.
JCR Capital - REA Preferred Equity Parallel Fund (39.7% Account Interest)		$	7.2	$	7.2	Redemptions prohibited prior to liquidation.	To invest primarily in multi-family properties.
Silverpeak NRE FundCo 2 LLC (90.0% Account Interest)								Silverpeak NRE FundCo 2 LLC (90.0% Account Interest)	$	64.7	$	106.5	Redemptions prohibited prior to liquidation.	To invest in value-add real estate investment opportunities in the top 25 major U.S. metropolitan markets.
													The Account is permitted to sell its interest in the fund to qualified institutional investors, subject to consent and approval of the manager.
JCR Capital - REA Preferred Equity Parallel Fund (31.1% Account Interest)								JCR Capital - REA Preferred Equity Parallel Fund (31.1% Account Interest)	$	24.1	$	100.2	Redemptions prohibited prior to liquidation.	To invest primarily in multi-family properties.
						Liquidation estimated to begin no earlier than 2026.	To invest primarily in multi-family properties.						Liquidation estimated to begin no earlier than 2026.
						The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion							The Account is prohibited from transferring its interest in the fund without consent by the general partner, which can be withheld in their sole discretion

Total	Total	$	461.9	$	461.9			Total	$	805.8	$	1,110.4

Note 8—Loans Receivable

The Account’s loan receivable portfolio is primarily comprised of mezzanine loans secured by the borrower’s direct and indirect interests in commercial real estate. Mezzanine loans are subordinate to first mortgages on the underlying real estate collateral. The following property types represent the underlying real estate collateral for the Account's mezzanine loans (in millions):


		March 31, 2021						December 31, 2020							March 31, 2022						December 31, 2021

		Principal Outstanding		Fair Value		% of Fair Value		Principal Outstanding		Fair Value		% of Fair Value			Principal Outstanding		Fair Value		% of Fair Value		Principal Outstanding		Fair Value		% of Fair Value
Office(1)	Office(1)	$	795.4	$	780.1	51.0	%	$	794.5	$	778.4	49.9	%	Office(1)	$	867.4	$	858.1	64.6	%	$	862.4	$	853.4	57.2	%
Apartments(1)	Apartments(1)	307.9		305.3		20.0	%	262.2		259.7		16.6	%	Apartments(1)	253.5		252.1		19.0	%	253.3		252.0		16.9	%
Industrial	Industrial	194.3		194.3		12.7	%	194.3		194.3		12.4	%	Industrial	—		—		—	%	161.4		161.3		10.8	%
Hotel														Hotel	125.2		125.3		9.4	%	125.3		125.3		8.4	%
Retail	Retail	127.7		125.8		8.2	%	128.6		126.5		8.1	%	Retail	93.7		93.7		7.0	%	101.7		100.6		6.7	%
Hotel		125.3		124.1		8.1	%	135.3		129.9		8.3	%
Storage		0		0		0	%	82.0		73.8		4.7	%
		$	1,550.6	$	1,529.6	100.0	%	$	1,596.9	$	1,562.6	100.0	%		$	1,339.8	$	1,329.2	100.0	%	$	1,504.1	$	1,492.6	100.0	%

(1) Includes loans receivable with related parties.

The Account monitors the risk profile of the loan receivable portfolio with the assistance of a third-party rating service that models the loans and assigns risk ratings based on inputs such as loan-to-value ratios, yields, credit quality of the borrowers, property types of the collateral, geographic and local market dynamics, physical condition of the collateral, and the underlying structure of the loans. Ratings for loans are updated monthly. Assigned ratings can range from AAA to C, with an AAA designation representing debt with the lowest level of credit risk and C representing a greater risk of default or principal loss. Loans that are more than 90 days past due are classified as delinquent and assigned a D rating. Mezzanine debt in good health is typically reflective of a risk rating in the B range (e.g., BBB, BB, or B), as these ratings reflect borrowers' having adequate financial resources to service their financial commitments, but also acknowledging that adverse economic conditions, should they occur, would likely impede on a borrowers' ability to pay.

All borrowers of loans rated C or higher are current as of March 31, 2021. NaN of the Account's loans are currently in forbearance. The total principal outstanding on these 2 loans is $125.3 million as of March 31, 2021. The forbearance allows for the deferral of the June, July and August 2020 debt service payments. The deferred payments are being repaid in 12 equal installments over the period from January 9, 2021 to December 9, 2021, at which time the forbearance period will end. The forbearance period is not based upon current COVID-19 relief provided under2022.

~~the CARES Act. Interest income continues to be accrued during the forbearance period so long as future collection of the deferred payments are probable.~~

The following table presents the fair values of the Account's loan portfolio based on the risk ratings as of March 31, ~~2021~~2022 (in millions), listed in order of the strength of the risk rating (from strongest to weakest):


		March 31, 2021					December 31, 2020						March 31, 2022					December 31, 2021
													Number of Loans	Fair Value		% of Fair Value		Number of Loans	Fair Value		% of Fair Value
		Number of Loans	Fair Value		% of Fair Value		Number of Loans	Fair Value		% of Fair Value
AA												AA	—	—		—	%	1	62.6		4.2	%
A	A	3	205.1		13.4	%	0	0		0	%	A	2	195.4		14.7	%	4	248.5		16.6	%
A-												A-	1	51.4		3.9	%	—	—		—	%
BBB	BBB	9	478.8		31.4	%	1	69.6		4.5	%	BBB	2	102.1		7.7	%	6	374.7		25.1	%
BBB-												BBB-	4	117.3		8.8	%	—	—		—	%
BB+												BB+	5	197.1		14.8	%	—	—		—	%
BB	BB	9	447.4		29.2	%	10	444.6		28.5	%	BB	3	156.6		11.8	%	10	437.8		29.3	%
BB-												BB-	2	129.1		9.7	%	—	—		—	%
B+												B+	2	74.7		5.6	%	—	—		—	%
B	B	0	0		0	%	11	758.2		48.5	%	B	2	77.1		5.8	%	5	144.3		9.7	%
C	C	4	328.9		21.5	%	2	147.0		9.4	%	C	2	158.5		11.9	%	2	154.8		10.4	%
D		0	0		0	%	1	73.8		4.7	%
NR(1)	NR(1)	2	69.4		4.5	%	2	69.4		4.4	%	NR(1)	3	69.9		5.3	%	3	69.9		4.7	%
		27	$	1,529.6	100.0	%	27	$	1,562.6	100.0	%		28	$	1,329.2	100.0	%	31	$	1,492.6	100.0	%

(1) "NR" designates loans not assigned an internal credit rating. As of March 31, ~~2021~~2022 and December 31, ~~2020,~~2021, this is comprised of 23 loans with related parties. The loans are collateralized by equity interests in real estate investments.

Note 9—Loans Payable

At March 31, ~~2021,~~2022, the Account had outstanding loans payable secured by the following assets ~~(millions)~~(in millions):

Property

Annual Interest Rate and

Payment Frequency(2)

Principal
Amounts Outstanding as of

Maturity

Property

Annual Interest Rate and

Payment Frequency(2)

Principal
Amounts Outstanding as of

Maturity

March 31, 2021

December 31, 2020

March 31, 2022

December 31, 2021

Ascent at Windward

3.51% paid monthly

34.6

January 1, 2022

The Palatine(1)

4.25% paid monthly

74.0

74.4

January 10, 2022

The Forum at Carlsbad(1)

4.25% paid monthly

83.5

84.0

March 1, 2022

Fusion 1560

3.42% paid monthly

37.4

June 10, 2022

Fusion 1560(5)

3.42% paid monthly

—

37.4

June 10, 2022

San Diego Office Portfolio(4)

3.62% paid monthly

51.2

August 15, 2022

San Diego Office Portfolio(4)

3.62% paid monthly

52.3

51.4

August 15, 2022

The Colorado(1)

3.69% paid monthly

85.9

86.4

November 1, 2022

The Colorado(1)

3.69% paid monthly

84.2

84.7

November 1, 2022

The Legacy at Westwood(1)

3.69% paid monthly

43.8

44.0

November 1, 2022

The Legacy at Westwood(1)

3.69% paid monthly

42.9

43.2

November 1, 2022

Regents Court(1)

3.69% paid monthly

37.1

37.3

November 1, 2022

Regents Court(1)

3.69% paid monthly

36.4

36.6

November 1, 2022

1001 Pennsylvania Avenue(1)

3.70% paid monthly

312.6

314.3

June 1, 2023

1001 Pennsylvania Avenue(1)

3.70% paid monthly

306.5

308.1

June 1, 2023

Biltmore at Midtown

3.94% paid monthly

36.4

July 5, 2023

Biltmore at Midtown

3.94% paid monthly

36.4

July 5, 2023

Cherry Knoll

3.78% paid monthly

35.3

July 5, 2023

Cherry Knoll

3.78% paid monthly

35.3

July 5, 2023

Lofts at SoDo

3.94% paid monthly

35.1

July 5, 2023

Lofts at SoDo

3.94% paid monthly

35.1

July 5, 2023

Pacific City

2.00 + LIBOR paid monthly

105.0

October 1, 2023

Pacific City

2.00% + LIBOR paid monthly

105.0

October 1, 2023

The Stratum(4)

2.45% paid monthly

39.8

May 9, 2024

Spring House Innovation Park(4)

1.25% + LIBOR paid monthly

42.6

40.5

July 9, 2024

1401 H Street NW

3.65% paid monthly

115.0

November 5, 2024

1401 H Street NW

3.65% paid monthly

115.0

November 5, 2024

The District on La Frontera(1)

3.84% paid monthly

38.3

38.4

December 1, 2024

The District on La Frontera(1)

3.84% paid monthly

37.6

37.8

December 1, 2024

The District on La Frontera(1)

4.96% paid monthly

4.2

December 1, 2024

The District on La Frontera(1)

4.96% paid monthly

4.2

December 1, 2024

Circa Green Lake

3.71% paid monthly

52.0

March 5, 2025

Circa Green Lake

3.71% paid monthly

52.0

March 5, 2025

Union - South Lake Union

3.66% paid monthly

57.0

March 5, 2025

Union - South Lake Union

3.66% paid monthly

57.0

March 5, 2025

Holly Street Village

3.65% paid monthly

81.0

May 1, 2025

Holly Street Village

3.65% paid monthly

81.0

May 1, 2025

Henley at Kingstowne(1)

3.60% paid monthly

69.9

70.3

May 1, 2025

Henley at Kingstowne(1)

3.60% paid monthly

68.7

69.1

May 1, 2025

32 South State Street

4.48% paid monthly

24.0

June 6, 2025

32 South State Street

4.48% paid monthly

24.0

June 6, 2025

Vista Station Office Portfolio(1)

4.00% paid monthly

19.7

19.9

July 1, 2025

Vista Station Office Portfolio(1)

4.00% paid monthly

19.1

19.3

July 1, 2025

780 Third Avenue

3.55% paid monthly

150.0

August 1, 2025

780 Third Avenue

3.55% paid monthly

150.0

August 1, 2025

780 Third Avenue

3.55% paid monthly

20.0

August 1, 2025

780 Third Avenue

3.55% paid monthly

20.0

August 1, 2025

Reserve at Chino Hills(4)

1.50% + LIBOR paid monthly

68.2

August 9, 2025

Vista Station Office Portfolio(1)

4.20% paid monthly

42.7

42.9

November 1, 2025

Sixth & Main(4)

1.87% + LIBOR paid monthly

40.4

November 9, 2025

701 Brickell Avenue(1)

3.66% paid monthly

181.2

182.0

April 1, 2026

Marketplace at Mill Creek

3.82% paid monthly

39.6

September 11, 2027

Overlook At King Of Prussia

3.82% paid monthly

40.8

September 11, 2027

Winslow Bay

3.82% paid monthly

25.8

September 11, 2027

1900 K Street, NW

3.93% paid monthly

163.0

April 1, 2028

99 High Street

3.90% paid monthly

277.0

March 1, 2030

Total Principal Outstanding

2,323.8

2,362.6

Fair Value Adjustment(3)

14.2

17.9

Total Loans Payable

2,338.0

2,380.5

(1)

Property
Annual Interest Rate and
Payment Frequency(2)
Principal
Amounts Outstanding as of Maturity
March 31, 2021 December 31, 2020
Vista Station Office Portfolio(1)
4.20% paid monthly $ 43.8 $ 43.9 November 1, 2025
701 Brickell Avenue 3.66% paid monthly 184.0 184.0 April 1, 2026
Marketplace at Mill Creek 3.82% paid monthly 39.6 39.6 September 11, 2027
Overlook At King Of Prussia 3.82% paid monthly 40.8 40.8 September 11, 2027
Winslow Bay 3.82% paid monthly 25.8 25.8 September 11, 2027
1900 K Street, NW 3.93% paid monthly 163.0 163.0 April 1, 2028
99 High Street 3.90% paid monthly 277.0 277.0 March 1, 2030
Total Principal Outstanding $ 2,377.0 $ 2,381.3
Fair Value Adjustment(3)
26.6 30.1
Total Loans Payable $ 2,403.6 $ 2,411.4
The mortgage is adjusted monthly for principal payments.

~~(1)~~(2)All interest rates are fixed except for Pacific City, Spring House Innovations Park, Reserve at Chino Hills and Sixth & Main, which ~~has a~~have variable interest ~~rate~~rates based on a spread above the one month London Interbank Offered Rate, as published by ICE Benchmark Administration Limited. Some mortgages held by the Account are structured to begin principal and interest payments after an initial interest only period.

~~(2)~~(3)The fair value adjustment consists of the difference (positive or negative) between the principal amount of the outstanding debt and the fair value of the outstanding debt. See Note 1—Organization and Significant Accounting ~~Policies.~~Policies of the Account's 2021 Form 10-K.

(4)The loan is collateralized by a mezzanine loan receivable. The mezzanine loan receivable is collateralized by the property reflected within the table above.

(5)The principal amount of the outstanding debt was paid off during the quarter.

Note 10—~~Lines~~Line of Credit

The Account has 2a senior revolving unsecured ~~revolving~~line of credit ~~agreements~~with a syndicate of third-party bank lenders, including JPMorgan Chase Bank, N.A. (“Credit ~~Agreements”~~Agreement”)~~, each~~ with a maximum total commitment of $500.0 million. Draws against the Credit ~~Agreements~~Agreement can take the form of Eurodollar Loans or Alternate Base Rate Loans (“ABR Loans”). Eurodollar Loans and ABR Loans require a minimum funding of $5.0 million. The Account previously held an unused, stand-alone, $500.0 million unsecured line of credit scheduled to mature in August 2021 that was terminated in May 2021.

Eurodollar Loans are issued for a term of twelve months or less and bear interest during the period (“Interest Period”) at a rate equal to the Adjusted London Interbank Offered Rate (“Adjusted LIBOR”) plus a spread (the “Eurodollar Applicable Rate”), with the spread dependent upon the leverage ratio of the Account. Adjusted LIBOR is calculated by multiplying the Statutory Reserve Rate, as determined by the Federal Reserve Board for Eurodollar liabilities, by LIBOR, as determined by the Intercontinental Exchange on the date of issuance that corresponds to the length of the Interest Period. The Account may prepay Eurodollar Loans at any time during the life of the loan without penalty. The Account is limited to 5 active Eurodollar Loans on ~~each~~the Credit Agreement; however, the Account may retire and initiate new Eurodollar Loans without restriction so long as the total number of loans in active status does not exceed the limit.

ABR Loans are issued for a specific length of time and bear interest at a rate equal to the highest rate among the following calculations plus a spread (the "ABR Applicable Rate"), with the spread dependent on the leverage ratio of the Account: (i) the Prime Rate on the date of issuance, with the Prime Rate being defined as the rate of interest last quoted by the Wall Street Journal as the Prime Rate; (ii) the Federal Reserve Bank of New York (“NYFRB”) rate as provided by the NYFRB on the date of issuance plus 0.5%; or (iii) the Adjusted LIBOR rate plus 1.0%. The Account may prepay ABR Loans at any time during the life of the loan without penalty.

As of March 31, ~~2021,~~2022, the Account was in compliance with all covenants required by the Credit ~~Agreements.~~

Agreement.

The following table provides a summary of the key characteristics of the Credit ~~Agreements~~Agreement as of March 31, ~~2021:~~2022:

Line of Credit I Line of Credit II
Current Balance (in millions) $ 0 $ 0
Maximum Capacity (in millions) $ 500.0 $ 500.0
Inception Date September 20, 2018 August 18, 2020
Maturity Date September 20, 2021 August 16, 2021
Extension Option Yes (1) No
Eurodollar Applicable Rate Range 0.85% - 1.05% 1.60% - 1.80%
ABR Applicable Rate Range 0.85% - 1.05% 0.60% - 0.80%
Unused Fee (2)
0.20% per annum 0.25% per annum
(1) The line of credit expires on September 20, 2021, with an option to extend for 2 consecutive twelve month terms at the Account’s election. The Account may request an additional $250.0 million in commitments from the Lenders at any time; however, this request is subject to approval at the sole discretion of the Lenders and is not a guarantee that an expansion beyond the original $500.0 million commitment will be granted.
(2) The Account is charged a fee on the unused portion of the Credit Agreements.

Current Balance (in millions)

500.0

Maximum Capacity (in millions)

500.0

Inception Date

September 20, 2018

Maturity Date

September 20, 2022

(1)

Extension Option

Yes

(1)

Eurodollar Applicable Rate Range

0.85% - 1.05%

ABR Applicable Rate Range

0.85% - 1.05%

Unused Fee (2)

0.20% per annum

(1) On July 16, 2021, the Account exercised its option to extend the commitment terms until September 20, 2022, with 1 consecutive twelve month extension option remaining. The Account may request an additional $250.0 million in commitments from the lenders at any time; however, this request is subject to approval at the sole discretion of the lenders and is not a guarantee that an expansion beyond the original $500.0 million commitment will be granted.

(2) The Account is charged a fee on the unused portion of the Credit Agreement.

Note 11—Financial Highlights

Selected condensed financial information for an Accumulation Unit of the Account is presented below. Per Accumulation Unit data is calculated on average units outstanding.

For the Three Months Ended March 31, 2021 Years Ended December 31,
2020 2019 2018
Per Accumulation Unit Data:
Rental income $ 5.543 $ 21.145 $ 18.165 $ 17.757
Real estate property level expenses and taxes 2.816 10.067 8.734 8.548
Real estate income, net 2.727 11.078 9.431 9.209
Other income 1.248 4.980 6.752 6.162
Total income 3.975 16.058 16.183 15.371
Expense charges(1)
1.046 3.562 3.439 3.161
Investment income, net 2.929 12.496 12.744 12.210
Net realized and unrealized gain (loss) on investments and loans payable 6.818 (16.196) 10.262 6.877
Net increase (decrease) in Accumulation Unit Value 9.747 (3.700) 23.006 19.087
Accumulation Unit Value:
Beginning of period 436.722 440.422 417.416 398.329
End of period $ 446.469 $ 436.722 $ 440.422 $ 417.416
Total return(3)
2.23 % (0.84) % 5.51 % 4.79 %
Ratios to Average net assets(2):
Expenses(1)
0.94 % 0.81 % 0.78 % 0.76 %
Investment income, net 2.64 % 2.85 % 2.90 % 2.95 %
Portfolio turnover rate(3):
Real estate properties(4)
0.5 % 7.1 % 7.8 % 11.8 %
Marketable securities(5)
0 % 113.4 % 28.7 % 5.1 %
Accumulation Units outstanding at end of period (millions) 52.1 52.0 60.8 60.7
Net assets end of period (millions) $ 23,772.1 $ 23,243.9 $ 27,307.9 $ 25,842.6


	For the Three Months Ended March 31, 2022			Years Ended December 31,
				2021			2020			2019

Per Accumulation Unit Data:
Rental income	$	5.677		$	22.672		$	21.145		$	18.165
Real estate property level expenses and taxes	2.733			10.731			10.067			8.734
Real estate income, net	2.944			11.941			11.078			9.431
Other income	1.645			5.474			4.980			6.752
Total income	4.589			17.415			16.058			16.183
Expense charges(1)	1.241			3.987			3.562			3.439
Investment income, net	3.348			13.428			12.496			12.744
Net realized and unrealized gain (loss) on investments and loans payable	24.639			64.615			(16.196)			10.262
Net increase (decrease) in Accumulation Unit Value	27.987			78.043			(3.700)			23.006
Accumulation Unit Value:
Beginning of period	514.765			436.722			440.422			417.416
End of period	$	542.752		$	514.765		$	436.722		$	440.422
Total return(3)	5.44		%	17.87		%	(0.84)		%	5.51		%
Ratios to Average net assets(2):
Expenses(1)	0.94		%	0.84		%	0.81		%	0.78		%
Investment income, net	2.52		%	2.82		%	2.85		%	2.90		%
Portfolio turnover rate(3):
Real estate properties(4)	1.7		%	7.6		%	7.1		%	7.8		%
Marketable securities(5)	2.0		%	—		%	113.4		%	28.7		%
Accumulation Units outstanding at end of period (millions)	53.7			53.4			52.0			60.8
Net assets end of period (millions)	$	29,771.0		$	28,072.0		$	23,243.9		$	27,307.9

(1)Expense charges per Accumulation Unit and the Ratio of Expenses to average net assets reflect the ~~year to date~~year-to-date Account level expenses and exclude real estate property level expenses which are included in real estate income, net.

(2)Percentages for the three months ended March 31, ~~2021~~2022 are annualized.

(3)Percentages for the three months ended March 31, ~~2021~~2022 are not annualized.

(4)Real estate investment portfolio turnover rate is calculated by dividing the lesser of purchases or sales of real estate property investments (including contributions to, or return of capital distributions received from, existing real estate joint ventures and fund investments) by the average value of the portfolio of real estate investments held during the period.

(5)Marketable securities portfolio turnover rate is calculated by dividing the lesser of purchases or sales of securities, excluding securities having maturity dates at acquisition of one year or less, by the average value of the portfolio securities held during the period.

Note 12—Accumulation Units

Changes in the number of Accumulation Units outstanding were as follows (in millions):


		For the Three Months Ended March 31, 2021	For the Year Ended December 31, 2020		For the Three Months Ended March 31, 2022	For the Year Ended December 31, 2021

Outstanding:	Outstanding:			Outstanding:
Beginning of period	Beginning of period	52.0	60.8	Beginning of period	53.4	52.0
Credited for premiums	Credited for premiums	1.6	4.6	Credited for premiums	1.5	6.4
Annuity, other periodic payments, withdrawals and death benefits	Annuity, other periodic payments, withdrawals and death benefits	(1.5)	(13.4)	Annuity, other periodic payments, withdrawals and death benefits	(1.2)	(5.0)
End of period	End of period	52.1	52.0	End of period	53.7	53.4

Note 13—Commitments and Contingencies

Commitments—As of March 31, ~~2021~~2022 and December 31, ~~2020,~~2021, the Account had the following immediately callable commitments to purchase additional interests in its real estate funds or provide additional funding through its loans receivable investments (in millions):


			Commitment Expiration	March 31, 2021		December 31, 2020				Commitment Expiration	March 31, 2022		December 31, 2021

Real Estate Funds(1)	Real Estate Funds(1)							Real Estate Funds(1)

		Flagler - REA Healthcare Properties Partnership	04/2021	$	10.0	$	49.6
		LCS SHIP Venture I, LLC	06/2021	28.1		28.1			Veritas Trophy VI, LLC	08/2022	$	20.0	$	20.6
		Townsend Group Value-Add Fund	06/2021	226.9		241.9			SP V - II, LLC	09/2022	12.9		12.9
		Grubb Southeast Real Estate Fund VI, LLC	06/2021	80.7		81.5			JCR Capital - REA Preferred Equity Parallel Fund	12/2022	76.1		75.3
		Silverpeak - REA Alt Inv Fund LP	12/2021	70.7		81.1			Silverpeak NRE FundCo 2 LLC	12/2022	41.8		43.7
		Veritas Trophy VI, LLC	08/2022	27.1		29.4			Silverpeak NRE FundCo LLC	12/2022	30.0		37.3
		SP V - II, LLC	09/2022	48.5		67.1			Taconic New York City GP Fund	11/2023	4.2		4.2
		JCR Capital - REA Preferred Equity Parallel Fund	12/2022	92.3		92.3			Flagler - REA Healthcare Properties Partnership	02/2025	1.2		1.2
		Taconic New York City GP Fund	11/2023	6.0		6.0			Townsend Group Value-Add Fund	12/2026	118.4		125.9
				$	590.3	$	677.0				$	304.6	$	321.1
Loans Receivable(2)	Loans Receivable(2)							Loans Receivable(2)
		311 South Wacker Mezzanine	06/2021	$	4.6	$	5.4		BREP VIII Industrial Mezzanine	03/2022	$	—	$	22.4
		Rosemont Towson Mezzanine	09/2021	1.1		1.2			311 South Wacker Mezzanine	06/2022	2.2		2.2
		Liberty Park Mezzanine	11/2021	3.1		3.1			San Diego Office Portfolio Senior Loan	08/2022	5.9		6.8
		BREP VIII Industrial Mezzanine	03/2022	15.5		15.5			San Diego Office Portfolio Mezzanine	08/2022	2.0		2.2
		SCG Oakland Portfolio Mezzanine	03/2022	6.5		6.5			MRA Hub 34 Holding, LLC	08/2022	1.5		1.5
		San Diego Office Portfolio Senior Loan	08/2022	7.0		7.0			1330 Broadway Mezzanine	09/2022	10.9		10.9
		San Diego Office Portfolio Mezzanine	08/2022	2.3		2.3			Liberty Park Mezzanine	11/2022	2.6		2.6
		MRA Hub 34 Holding, LLC	09/2022	1.4		1.5			Colony New England Hotel Portfolio Senior Loan	11/2022	14.1		14.1
		1330 Broadway Mezzanine	09/2022	10.9		10.9			Colony New England Hotel Portfolio Mezzanine	11/2022	4.7		4.7
		Colony New England Hotel Portfolio Senior Loan	11/2022	14.1		14.1			Exo Apartments Mezzanine	01/2023	2.4		2.4
		Colony New England Hotel Portfolio Mezzanine	11/2022	4.7		4.7			SCG Oakland Portfolio Mezzanine	03/2023	5.8		6.1
									Five Oak Mezzanine	03/2023	1.6		1.6
									5 Points Towers Mezzanine	03/2024	4.0		4.2
									The Stratum Senior Loan	05/2024	2.0		2.0
									The Stratum Mezzanine	05/2024	0.7		0.7
									Spring House Innovation Park Senior Loan	07/2024	35.4		38.0
									Spring House Innovation Park Mezzanine	07/2024	11.8		12.7
									The Reserve at Chino Hills	08/2025	20.0		20.0
									Sixth and Main Senior Loan	11/2025	6.9		6.9

2823

Commitment Expiration March 31, 2021 December 31, 2020
Exo Apartments Senior Loan 01/2023 $ 7.1 $ 7.1
Exo Apartments Mezzanine 01/2023 2.4 2.4
Five Oak Mezzanine 03/2023 2.3 2.3
5 Points Towers Mezzanine 03/2024 4.3 0
$ 87.3 $ 84.0
TOTAL COMMITMENTS $ 677.6 $ 761.0


	Commitment Expiration	March 31, 2022		December 31, 2021
Sixth and Main Mezzanine	11/2025	3.7		3.7
		$	138.2	$	165.7

TOTAL COMMITMENTS		$	442.8	$	486.8

(1)Additional capital can be called during the commitment period at any time. The commitment period can only be extended by the manager with the consent of the Account. The commitment expiration date is reflective of the most recent signed agreement between the Account and the fund manager, including any side letter agreements.

(2)Advances from the Account can be requested during the commitment period at any time. The commitment expiration date is reflective of the most recent signed agreement between the Account and the borrower, including any side letter agreements. Certain loans contain extension clauses on the term of the loan that do not require the Account's prior consent. If elected, the Account's commitment may be extended through the extension term.

Contingencies—In the normal course of business, the Account may be named, from time to time, as a defendant or may be involved in various legal actions, including arbitration, class actions and other litigation.

The Account establishes an accrual for all litigation and regulatory matters when it believes it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. Once established, accruals are adjusted, as appropriate, in light of additional information. The amount of loss ultimately incurred in relation to those matters may be higher or lower than the amounts accrued for those matters.

As of the date of this report, management of the Account does not believe that the results of any such claims or litigation, individually or in the aggregate, will have a material effect on the Account’s business, financial position or results of operations.

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)

~~REAL ESTATE PROPERTIES—64.4% and 64.5%~~

Property Name Location Property Type Fair Value at
March 31, 2021 December 31, 2020
River Ridge Alabama Retail $ 27.1 $ 29.0
Riverchase Village Alabama Retail 36.1 36.1
Camelback Center Arizona Office 52.0 52.0
Riverside 202 Industrial Arizona Industrial 30.4 30.4
88 Kearny Street California Office 202.0 199.3
101 Pacific Coast Highway California Office 94.8 94.7
200 Middlefield Road California Office 60.3 60.2
30700 Russell Ranch California Office 39.5 36.5
Allure at Camarillo California Apartments 62.0 62.0
Almond Avenue California Land 23.4 13.4
BLVD63 California Apartments 146.0 145.1
Bridgepointe Shopping Center California Retail 118.0 124.1
Centre Pointe and Valley View California Industrial 66.5 62.1
Cerritos Industrial Park California Industrial 180.2 171.8
Charleston Plaza California Retail 85.7 95.3
Creekside at Alta Loma California Apartments 86.0 85.5
Frontera Industrial Business Park California Industrial 104.1 101.2
Great West Industrial Portfolio California Industrial 222.1 215.1
Holly Street Village California Apartments 147.1 (1) 153.1 (1)
Larkspur Courts California Apartments 144.0 141.0
Northern CA RA Industrial Portfolio California Industrial 126.4 117.2
Oakmont IE West Portfolio California Industrial 128.5 123.9
Oceano at Warner Center California Apartments 89.0 90.1
Ontario Industrial Portfolio California Industrial 591.8 540.4
Ontario Mills Industrial Portfolio California Industrial 83.5 79.2
Otay Mesa Industrial Portfolio California Industrial 42.8 40.2
Pacific City California Retail 158.0 (1) 158.0
Pacific Plaza California Office 123.1 111.0
Rancho Cucamonga Industrial Portfolio California Industrial 105.0 95.4
Rancho Del Mar California Apartments 93.5 93.5
Regents Court California Apartments 105.0 (1) 103.0 (1)
Southern CA RA Industrial Portfolio California Industrial 182.2 160.9
Stella California Apartments 158.1 161.0
Stevenson Point California Industrial 76.8 75.0
Terra House California Apartments 145.2 140.2
The Forum at Carlsbad California Retail 203.0 (1) 203.0 (1)
The Legacy at Westwood California Apartments 149.0 (1) 149.1 (1)
West Lake North Business Park California Office 58.5 58.3
Westcreek California Apartments 52.2 55.4
Westwood Marketplace California Retail 161.0 150.0
Wilshire Rodeo Plaza California Office 312.0 311.4
1600 Broadway Colorado Office 119.0 116.0
Palomino Park Colorado Apartments 394.0 352.1
South Denver Marketplace Colorado Retail 63.4 65.1
Wilton Woods Corporate Campus Connecticut Office 94.7 100.0
5 West Florida Apartments 63.0 63.0
701 Brickell Avenue Florida Office 436.2 (1) 421.5 (1)
Boca Arbor Club Florida Apartments 65.9 63.9


REAL ESTATE PROPERTIES
Location/Sector	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets

Alabama
Retail	62.2		0.2	%	61.8		0.2	%
	$	62.2	0.2	%	$	61.8	0.2	%
Arizona
Industrial	49.0		0.2	%	33.3		0.1	%
Office	56.9		0.2	%	55.0		0.2	%
	$	105.9	0.4	%	$	88.3	0.3	%
California
Apartments	1,813.8		6.1	%	1,759.2		6.3	%
Industrial	3,493.5		11.7	%	2,939.8		10.5	%
Office	763.0		2.6	%	771.1		2.7	%
Retail	440.0		1.5	%	507.1		1.8	%

	$	6,510.3	21.9	%	$	5,977.2	21.3	%
Colorado

Office	110.0		0.4	%	108.0		0.4	%
Retail	—		—	%	69.5		0.2	%
	$	110.0	0.4	%	$	177.5	0.6	%
Connecticut
Office	72.4		0.2	%	73.7		0.3	%
	$	72.4	0.2	%	$	73.7	0.3	%
Florida
Apartments	1,174.6		3.9	%	1,074.5		3.8	%
Industrial	500.6		1.7	%	452.5		1.6	%
Office	489.9		1.6	%	490.3		1.8	%
Retail	153.4		0.6	%	153.4		0.5	%
Other	102.1		0.3	%	55.2		0.2	%
	$	2,420.6	8.1	%	$	2,225.9	7.9	%
Georgia
Apartments	422.9		1.4	%	393.1		1.4	%
Industrial	224.5		0.7	%	193.0		0.7	%
Retail	255.7		0.9	%	242.8		0.9	%
	$	903.1	3.0	%	$	828.9	3.0	%
Illinois
Apartments	122.0		0.4	%	120.0		0.4	%
Industrial	166.0		0.6	%	149.6		0.5	%
Retail	198.7		0.6	%	196.7		0.7	%
	$	486.7	1.6	%	$	466.3	1.6	%
Indiana
Industrial	119.0		0.4	%	115.0		0.4	%
	$	119.0	0.4	%	$	115.0	0.4	%
Maryland
Apartments	88.7		0.3	%	73.1		0.3	%
Industrial	68.0		0.2	%	67.7		0.2	%
Retail	76.5		0.3	%	73.5		0.3	%
	$	233.2	0.8	%	$	214.3	0.8	%

3025

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)

Property Name Location Property Type Fair Value at
March 31, 2021 December 31, 2020
Broward Industrial Portfolio Florida Industrial $ 69.4 $ 68.5
Casa Palma Florida Apartments 97.5 98.7
Cypress Trace Florida Retail 35.7 35.9
Fusion 1560 Florida Apartments 71.7 (1) 72.7 (1)
Lakepointe at Jacaranda Florida Apartments 50.3 48.7
Lofts at SoDo Florida Apartments 67.8 (1) 65.3 (1)
Market Square Florida Retail 19.7 20.1
Orion on Orpington Florida Apartments 51.9 51.6
Publix at Weston Commons Florida Retail 70.0 69.6
Seneca Industrial Park Florida Industrial 130.4 128.7
Shoppes at Lake Mary Florida Retail 19.8 19.6
Sole at Brandon Florida Apartments 80.2 78.0
Sole at City Center Florida Apartments 100.0 100.0
The Manor Apartments Florida Apartments 47.7 47.5
The Manor at Flagler Village Florida Apartments 131.0 131.2
The Residences at the Village of Merrick Park Florida Apartments 69.6 69.5
Weston Business Center Florida Industrial 83.9 81.7
Ascent at Windward Georgia Apartments 72.3 (1) 72.3 (1)
Atlanta Industrial Portfolio Georgia Industrial 43.7 41.5
Biltmore at Midtown Georgia Apartments 72.9 (1) 72.6 (1)
Eisenhower Crossing Georgia Retail 10.8 12.9
Fayette Pavilion Georgia Retail 102.4

101.4
Glen Lake Georgia Apartments 59.7 59.0
Heritage Pavilion Georgia Retail 44.8

40.6
Marketplace at Mill Creek Georgia Retail 76.6 (1) 76.4 (1)
Newnan Pavilion Georgia Retail 39.1 40.0
Shawnee Ridge Industrial Portfolio Georgia Industrial 111.6 104.0
Woodstock Square Georgia Retail 32.0

32.0
32 South State Street Illinois Retail 45.3 (1) 48.5 (1)
803 Corday Illinois Apartments 92.9 92.6
Chicago Caleast Industrial Portfolio Illinois Industrial 80.7 85.3
Chicago Industrial Portfolio Illinois Industrial 35.3 33.0
Village Crossing Illinois Retail 137.0

136.1
Cherry Knoll Maryland Apartments 60.3 (1) 57.8 (1)
Landover Logistics Center Maryland Industrial 55.5 54.3
The Shops at Wisconsin Place Maryland Retail 75.9 72.1
99 High Street Massachusetts Office 532.4 (1) 540.2 (1)
350 Washington Massachusetts Retail 121.0 121.0
Fort Point Creative Exchange Portfolio Massachusetts Office 266.4 264.6
Northeast RA Industrial Portfolio Massachusetts Industrial 46.5 44.2
One Beeman Road Massachusetts Industrial 41.5 36.0
The Bridges Minnesota Apartments 67.0 66.0
The Knoll Minnesota Apartments 38.2 37.2
10 New Maple Avenue New Jersey Industrial 22.8 21.0
200 Milik Street New Jersey Industrial 60.2 59.1
Marketfair New Jersey Retail 95.1 98.4
South River Road Industrial New Jersey Industrial 145.4 138.5
21 Penn Plaza New York Office 302.1 302.5
780 Third Avenue New York Office 360.0 (1) 354.3 (1)


REAL ESTATE PROPERTIES
Location/Sector	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Massachusetts
Industrial	145.9		0.5	%	127.0		0.5	%
Office	737.0		2.5	%	736.7		2.6	%
Retail	127.0		0.4	%	125.0		0.4	%
	$	1,009.9	3.4	%	$	988.7	3.5	%
Minnesota
Apartments	109.2		0.4	%	107.9		0.4	%
Industrial	137.3		0.4	%	—		—	%
	$	246.5	0.8	%	$	107.9	0.4	%
New Jersey
Industrial	354.3		1.2	%	306.4		1.1	%
Retail	92.7		0.3	%	96.1		0.3	%
	$	447.0	1.5	%	$	402.5	1.4	%
New York
Apartments	263.3		0.9	%	260.2		0.9	%
Office	899.1		3.0	%	890.0		3.2	%
	$	1,162.4	3.9	%	$	1,150.2	4.1	%
North Carolina
Apartments	79.5		0.3	%	79.4		0.3	%
Retail	90.8		0.3	%	89.4		0.3	%
	$	170.3	0.6	%	$	168.8	0.6	%
Oregon
Apartments	42.7		0.1	%	38.9		0.1	%
	$	42.7	0.1	%	$	38.9	0.1	%
Pennsylvania
Retail	71.8		0.2	%	70.8		0.3	%
	$	71.8	0.2	%	$	70.8	0.3	%
Rhode Island
Retail	—		—	%	12.5		—	%
	$	—	—	%	$	12.5	—	%
South Carolina
Apartments	87.0		0.3	%	89.2		0.3	%
Retail	48.6		0.2	%	48.2		0.2	%
	$	135.6	0.5	%	$	137.4	0.5	%
Tennessee
Industrial	75.0		0.3	%	70.8		0.3	%
Retail	138.3		0.5	%	132.3		0.5	%
	$	213.3	0.8	%	$	203.1	0.8	%
Texas
Apartments	652.6		2.1	%	622.7		2.2	%
Industrial	823.8		2.8	%	733.0		2.6	%
Office	613.8		2.1	%	583.1		2.1	%
Other(1)	106.0		0.4	%	98.1		0.4	%
	$	2,196.2	7.4	%	$	2,036.9	7.3	%
Utah
Office	128.6		0.4	%	124.5		0.4	%
	$	128.6	0.4	%	$	124.5	0.4	%

3126

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)

Property Name Location Property Type Fair Value at
March 31, 2021 December 31, 2020
837 Washington Street New York Office $ 201.0 $ 211.0
The Colorado New York Apartments 239.1 (1) 243.1 (1)
Alexander Place North Carolina Retail 39.9 39.9
Centric Gateway North Carolina Apartments 74.2 74.0
Winslow Bay Commons North Carolina Retail 47.3 (1) 46.9 (1)
The Cordelia Oregon Apartments 40.5 40.8
1619 Walnut Street Pennsylvania Retail 17.1 16.7
Overlook at King of Prussia Pennsylvania Retail 55.4 (1) 55.6 (1)
Warwick Shopping Center Rhode Island Retail 18.0 17.8
Columbiana Station South Carolina Retail 46.6

47.0
Greene Crossing South Carolina Apartments 81.0 81.3
Bellevue Place Tennessee Retail 8.6 8.4
Midway 840 Tennessee Industrial 51.2 50.9
Pavilion at Turkey Creek Tennessee Retail 51.1 51.1
Southside at McEwen Tennessee Retail 48.7 48.2
Town and Country Tennessee Retail 30.4 30.7
3131 McKinney Texas Office 41.9 39.3
Carrington Park Texas Apartments 73.5 66.7
Chisolm Trail Texas Industrial 5.2 5.2
Churchill on the Park Texas Apartments 72.3 72.3
Cliffs at Barton Creek Texas Apartments 47.9 45.6
Dallas Industrial Portfolio Texas Industrial 278.7 258.3
District on La Frontera Texas Apartments 73.3 (1) 72.4 (1)
Houston Apartment Portfolio Texas Apartments 158.1 157.3
Lincoln Centre Texas Office 493.4 467.7
Lincoln Centre - Hilton Dallas Texas Hotel 69.6 63.6
Northwest Houston Industrial Portfolio Texas Industrial 75.7 75.5
Park 10 Distribution Texas Industrial 12.1 12.0
Park Creek Apartments Texas Apartments 44.7 43.1
Pinnacle Industrial Portfolio Texas Industrial 78.8 75.5
Pinto Business Park Texas Industrial 161.3 153.8
The Maroneal Texas Apartments 59.1 58.8
Vista Station Office Portfolio Utah Office 118.4 (1) 116.3 (1)
8270 Greensboro Drive Virginia Office 44.5 46.0
Ashford Meadows Apartments Virginia Apartments 110.1 107.4
Creeks at Virginia Center Virginia Retail 44.3 47.5
Henley at Kingstowne Virginia Apartments 107.1 (1) 107.4 (1)
Plaza America Virginia Retail 109.0 103.0
The Ellipse at Ballston Virginia Office 80.4 79.8
The Palatine Virginia Apartments 127.0 (1) 125.0 (1)
Circa Green Lake Washington Apartments 96.2 (1) 96.0 (1)
Northwest RA Industrial Portfolio Washington Industrial 51.1 49.6
Pacific Corporate Park Washington Industrial 72.5 66.8
Prescott Wallingford Apartments Washington Apartments 68.1 67.4
Rainier Corporate Park Washington Industrial 182.4 169.9
Regal Logistics Campus Washington Industrial 145.0 132.0
Union - South Lake Union Washington Apartments 109.1 (1) 111.0 (1)
1001 Pennsylvania Avenue Washington D.C. Office 798.3 (1) 806.8 (1)
1401 H Street, NW Washington D.C. Office 222.2 (1) 217.1 (1)


REAL ESTATE PROPERTIES
Location/Sector	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Virginia
Apartments	420.0		1.4	%	392.6		1.4	%
Office	114.0		0.4	%	122.5		0.4	%
Retail	156.0		0.5	%	154.7		0.6	%
	$	690.0	2.3	%	$	669.8	2.4	%
Washington
Apartments	336.6		1.1	%	330.5		1.2	%
Industrial	582.5		2.0	%	509.2		1.8	%
	$	919.1	3.1	%	$	839.7	3.0	%
Washington D.C.
Apartments	351.6		1.2	%	347.6		1.2	%
Office	1,370.7		4.6	%	1,375.7		4.9	%
	$	1,722.3	5.8	%	$	1,723.3	6.1	%
TOTAL REAL ESTATE PROPERTIES
(Cost: $14,226.1 and $14,163.2)	$	20,179.1	67.8	%	$	18,903.9	67.3	%


REAL ESTATE JOINT VENTURES
Location/Sector	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
California
Office	1,480.0		5.0	%	1,582.9		5.6	%
Retail	52.9		0.2	%	92.4		0.3	%
Industrial	62.2		0.2	%	59.0		0.2	%
	$	1,595.1	5.4	%	$	1,734.3	6.1	%
Florida
Retail	654.1		2.2	%	826.8		3.0	%
	$	654.1	2.2	%	$	826.8	3.0	%
Maryland
Other(1)	24.2		0.1	%	22.2		0.1	%
	$	24.2	0.1	%	$	22.2	0.1	%
Massachusetts
Office	468.4		1.6	%	458.0		1.6	%
	$	468.4	1.6	%	$	458.0	1.6	%
Nevada
Retail	568.2		1.9	%	557.8		2.0	%
	$	568.2	1.9	%	$	557.8	2.0	%
New York
Apartments	121.9		0.4	%	114.7		0.4	%
Industrial	82.0		0.3	%	82.3		0.3	%
Office	147.9		0.5	%	148.3		0.5	%
Retail	30.6		0.1	%	31.2		0.1	%
	$	382.4	1.3	%	$	376.5	1.3	%
North Carolina
Office	49.0		0.2	%	47.4		0.2	%
Retail	138.8		0.4	%	127.7		0.5	%
Other(1)	27.5		0.1	%	—		—	%
	$	215.3	0.7	%	$	175.1	0.7	%

3227

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)

Property Name Location Property Type Fair Value at
March 31, 2021 December 31, 2020
1900 K Street, NW Washington D.C. Office $ 337.0 (1) $ 338.0 (1)
Mass Court Washington D.C. Apartments 160.0 160.0
The Ashton Washington D.C. Apartments 29.0 30.7
The Louis at 14th Washington D.C. Apartments 157.0 160.1
TOTAL REAL ESTATE PROPERTIES
(Cost $14,038.3 and $13,986.3) $ 16,816.5 $ 16,476.7


REAL ESTATE JOINT VENTURES
Location/Sector	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
South Carolina
Apartments	58.1		0.2	%	58.7		0.2	%
	$	58.1	0.2	%	$	58.7	0.2	%
Tennessee
Retail	119.1		0.4	%	116.6		0.5	%
	$	119.1	0.4	%	$	116.6	0.5	%
Texas
Industrial	59.8		0.2	%	50.6		0.2	%
Office	351.4		1.2	%	347.4		1.2	%

	$	411.2	1.4	%	$	398.0	1.4	%
Washington
Office	161.8		0.5	%	164.3		0.6	%
	$	161.8	0.5	%	$	164.3	0.6	%
Various(2)
Apartments	1,039.8		3.5	%	938.6		3.3	%
Office	470.9		1.6	%	406.4		1.5	%
Other(1)	1,048.3		3.5	%	902.7		3.2	%
	$	2,559.0	8.6	%	$	2,247.7	8.0	%
Foreign
Other(3)	36.4		0.1	%	39.9		0.1	%
	$	36.4	0.1	%	$	39.9	0.1	%
TOTAL REAL ESTATE JOINT VENTURES
(Cost: $5,505.6 and $5,497.9)	$	7,253.3	24.4	%	$	7,175.9	25.6	%

~~REAL ESTATE JOINT VENTURES AND FUNDS—25.6%~~(1)Represents investments outside of the Account's core sectors such as storage portfolios, hotels and ~~25.5%~~land.

~~REAL ESTATE JOINT VENTURES—23.8% and 24.0%~~(2)Properties within these investments are located throughout the United States.

Property/Entity Name Property Type Fair Value at
Account Interest Location March 31, 2021 December 31, 2020
Colorado Center LP
       Colorado Center 50.00% California Office $ 341.8 (2) $ 346.4 (2)
TREA GM Industrial Road Owner LLC
       150 Industrial Road 98.00% California Office 125.6 101.2
ARE-SD Region No 39 LLC
        9625 Towne Centre Drive 49.90% California Office 61.7 60.6
TREA Campus Pointe 1, LLC
        Campus Pointe 1 45.00% California Office 182.4 177.3
TREA Campus Pointe 2 & 3, LLC
        Campus Pointe 2 & 3 45.00% California
Office (5)
159.8 154.7
ARE-SD Region No 47 LLC
        Campus Pointe 4 45.00% California Office 12.2 11.2
TREA Campus Pointe 5, LLC
        Campus Pointe 5 45.00% California Office 48.2 45.0
ARE-SD Region No 58, LLC
        Campus Pointe 6 45.00% California Office 135.4 130.6
ARE-San Francisco No 36 LLC
        1500 Owens Street 49.90% California Office 92.1 89.8
TREA JP Venture Fairfield LLC
        Fairfield Tolenas Development 95.00% California Land 34.1 26.6
T-C Foundry Square II Venture LLC
        Foundry Square II 50.10% California Office 305.9 307.5
ARE-San Francisco No 43 LLC
       409-499 Illinois Street 40.00% California Office 248.0 242.8
Valencia Town Center Associates LP
       Valencia Town Center 50.00% California Retail 89.6 (2) 93.0 (2)
Florida Mall Associates, Ltd
       The Florida Mall 50.00% Florida Retail 654.3 (2) 655.8 (2)
TREA Florida Retail, LLC
       Florida Retail Portfolio 80.00% Florida Retail 142.3 155.5
West Dade County Associates
      Miami International Mall 50.00% Florida Retail 99.6 (2) 110.0 (2)
WP Project Developer
      The Shops at Wisconsin Place 33.33% Maryland Retail 15.9 17.2
One Boston Place REIT
      One Boston Place 50.25% Massachusetts Office 261.1 259.3
ARE-MA Region No 34 LLC
      225 Binney Street 70.00% Massachusetts Office 234.4 233.6
(3)Property is located outside of the United States.


MARKETABLE SECURITIES
	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
Corporate bonds	572.4		1.9	%	551.8		2.0	%
U.S. government agency notes	1,076.5		3.6	%	864.1		3.1	%
Foreign government agency notes	17.1		0.1	%	7.6		—	%
U.S. treasury securities	875.2		2.9	%	784.3		2.8	%
TOTAL MARKETABLE SECURITIES
(Cost: $2,579.1 and $2,217.0)	$	2,541.2	8.5	%	$	2,207.8	7.9	%

TOTAL REAL ESTATE FUNDS
(Cost: $696.7 and $692.9)	$	805.8	2.7	%	$	811.5	2.9	%

TOTAL REAL ESTATE OPERATING BUSINESS
(Cost: $352.5 and $251.6)	$	487.6	1.6	%	$	326.3	1.2	%

TOTAL LOANS RECEIVABLE
(Cost: ($1,270.0 and $1,434.3)	$	1,259.3	4.2	%	$	1,422.7	5.1	%

3328

TIAA REAL ESTATE ACCOUNT

CONDENSED CONSOLIDATED SCHEDULES OF INVESTMENTS

(Dollar values shown in millions)

Property/Entity Name Property Type Fair Value at
Account Interest Location March 31, 2021 December 31, 2020
T-C 501 Boylston Street Venture LLC
      501 Boylston 50.10% Massachusetts Office $ 195.4 (2) $ 195.1 (2)
Fashion Show Holding I, LLC
      Fashion Show 50.00% Nevada Retail 559.6 (2) 568.7 (2)
NAP Birkdale, LLC
      Birkdale Village 93.00% North Carolina Retail 108.8 (2) 109.0 (2)
401 West 14th Associates LLC
      401 West 14th Street 42.19% New York Retail 28.7 (2) 27.1 (2)
440 Ninth Avenue Holdings LLC
      440 Ninth Avenue 88.52% New York Office 133.1 (2) 133.1 (2)
817 Broadway Holdings LLC
      817 Broadway 61.46% New York Office 27.4 (2) 26.0 (2)
MRA Hub 34 Holdings LLC
      The Hub 95.00% New York Office 78.1 (2) 79.2 (2)
RGM 42, LLC
      MiMA 70.00% New York Apartments 92.5 (2) 92.2 (2)
Crescent/TREA 101 North Tryon Venture LLC 101 N. Tryon Street 85.00% North Carolina Office 51.1 (2) 56.0 (2)
West Town Mall Joint Venture
      West Town Mall 50.00% Tennessee Retail 120.9 (2) 122.9 (2)
Four Oaks Venture LP
       Four Oaks Place LP 51.00% Texas Office 337.8 (2) 336.2 (2)
FW I-35 Logistics Center LLC
        I-35 Logistics Center 95.00% Texas Land 36.4 33.1
CLPF T-C 4th and Madison LLC
        Fourth and Madison 51.00% Washington Office 168.8 (2) 172.0 (2)
Juniper MOB Investment Venture, LLC(7)
       Juniper MOB Portfolio
50.00% Various, U.S.A. Office 76.8 (3) 65.4 (3)
TREA SH Venture LLC
       Simpson Housing Portfolio 80.00% Various, U.S.A. Apartments 445.9 (2,3) 427.5 (2,3)
Storage Portfolio I, LLC
       Storage Portfolio I 66.02% Various, U.S.A. Storage 106.5 (2,3) 93.6 (2,3)
Storage Portfolio II, LLC
       Storage Portfolio II 90.00% Various, U.S.A. Storage 159.9 (2,3) 131.7 (2,3)
Storage Portfolio III JV LLC
       Storage Portfolio III 90.00% Various, U.S.A. Storage 53.8 (3) 53.3 (3)
THP Student Housing, LLC
       THP Student Housing Portfolio 97.00% Various, U.S.A. Apartments 189.4 (2,3) 188.7 (2,3)
TOTAL REAL ESTATE JOINT VENTURES
(Cost $5,071.3 and $5,021.9)
$ 6,215.3 $ 6,128.9

~~REAL ESTATE FUNDS— 1.8% and 1.5%~~
Fair Value at
Fund Name Account Interest March 31, 2021 December 31, 2020
LCS SHIP Venture I, LLC 90.00% $ 205.4 $ 200.9
Veritas - Trophy VI, LLC 90.40% 58.9 54.6
Taconic New York City GP Fund, LP 60.00% 31.6 31.6
SP V - II, LLC 61.80% 49.8 31.3
IDR - Core Property Index Fund, LLC 1.90% 24.5 24.6
Townsend Group Value-Add Fund 99.00% 20.8 5.8
Silverpeak - REA Alt Inv Fund LP 90.00% 29.3 18.8


	March 31, 2022				December 31, 2021
	Fair Value		% of Net Assets		Fair Value		% of Net Assets
TOTAL LOANS RECEIVABLE WITH RELATED PARTIES
(Cost: $69.8 and $69.8)	$	69.9	0.3	%	$	69.9	0.2	%

TOTAL INVESTMENTS
(Cost: $24,699.8 and $24,326.7)	$	32,596.2	109.5	%	$	30,918.0	110.2	%

~~TIAA REAL ESTATE ACCOUNT~~

~~CONSOLIDATED SCHEDULES OF INVESTMENTS~~

~~(Dollar values shown in millions)~~

Fair Value at
Fund Name Account Interest March 31, 2021 December 31, 2020
Grubb Southeast Real Estate Fund VI, LLC 66.70% $ 16.4 $ 18.0
JCR Capital - REA Preferred Equity Parallel Fund 39.70% 7.2 7.2
Flagler - REA Healthcare Properties Partnership 90.00% 18.0 0.4
TOTAL REAL ESTATE FUNDS
(Cost $438.0 and $373.3)
$ 461.9 $ 393.2
TOTAL REAL ESTATE JOINT VENTURES AND FUNDS
(Cost $5,509.3 and $5,395.2)
$ 6,677.2 $ 6,522.1
~~REAL ESTATE OPERATING BUSINESS— 1.0% and 1.0%~~

Fair Value at
Fund Name Account Interest March 31, 2021 December 31, 2020
Colony Zeus Partners LP 34.70% $ 250.0 $ 250.0
TOTAL REAL ESTATE OPERATING BUSINESS
(Cost $250.2 and $250.2)
$ 250.0 $ 250.0

~~MARKETABLE SECURITIES—3.2% and 2.9%~~

~~U.S. GOVERNMENT AGENCY NOTES—1.3% and 0.6%~~

Issuer
Yield(4)
Maturity
Date Fair Value at
Principal March 31, 2021 December 31, 2020
2021 2020
$ 4.0 $ — Farmer Mac Discount Note 0.010% 4/1/2021 $ 4.0 $ —
15.0 15.0 Farmer Mac Discount Note 0.127% 12/20/2021 15.0 15.0
6.0 — Federal Farm Credit Bank Discount Note 0.010% 4/6/2021 6.0 —
0.9 — Federal Home Loan Bank Discount Note 0.010% 4/23/2021 0.9 —
15.0 — Federal Home Loan Bank Discount Note 0.010% 5/3/2021 15.0 —
30.0 — Federal Home Loan Bank Discount Note 0.040% 5/10/2021 30.0 —
— 24.0 Federal Home Loan Bank Discount Note 0.086% 5/19/2021 — 24.0
71.4 65.0 Federal Home Loan Bank Discount Note 0.010%-0.091% 5/26/2021 71.4 65.0
29.0 — Federal Home Loan Bank Discount Note 0.030% 6/16/2021 29.0 —
20.0 — Federal Home Loan Bank Discount Note 0.020% 6/30/2021 20.0 —
8.0 — Federal Home Loan Bank Discount Note 0.050% 8/11/2021 8.0 —
11.0 — Federal Home Loan Bank Discount Note 0.060% 8/18/2021 11.0 —
21.2 — Federal Home Loan Bank Discount Note 0.056% 9/3/2021 21.2 —
20.0 — Federal Home Loan Bank Discount Note 0.060% 9/8/2021 20.0 —
13.0 — Federal Home Loan Bank Discount Note 0.050% 9/24/2021 13.0 —
53.0 43.0 Federal Home Loan Bank Discount Note 0.035%-0.101% 10/29/2021 53.1 43.0
13.4 10.0 Federal Home Loan Bank Discount Note 0.035%-0.091% 11/19/2021 13.4 10.0
8.0 — Tennessee Valley Authority Discount Note 0.020% 4/14/2021 8.0 —
TOTAL U.S. GOVERNMENT AGENCY NOTES
(Cost $339.0 and $157.0)
$ 339.0 $ 157.0

~~TIAA REAL ESTATE ACCOUNT~~

~~CONSOLIDATED SCHEDULES OF INVESTMENTS~~

~~(Dollar values shown in millions)~~

~~UNITED STATES TREASURY SECURITIES—1.9% and 2.3%~~
Principal Issuer
Yield / Coupon Rate(4)
Maturity
Date Fair Value at
March 31, 2021 December 31, 2020
2021 2020
$ — $ 24.1 United States Treasury Bill 0.071% 1/19/2021 $ — $ 24.1
— 84.0 United States Treasury Bill 0.091% 1/21/2021 — 84.0
— 100.0 United States Treasury Bill 0.094% 1/28/2021 — 100.0
— 50.0 United States Treasury Bill 0.091% 2/23/2021 — 50.0
— 47.8 United States Treasury Bill 0.092% 3/2/2021 — 47.8
— 80.0 United States Treasury Bill 0.092% 3/11/2021 — 79.9
81.0 — United States Treasury Bill 0.075% 4/20/2021 81.0 —
25.0 — United States Treasury Bill 0.040% 5/20/2021 25.0 —
43.4 — United States Treasury Bill 0.040% 6/17/2021 43.4 —
50.0 — United States Treasury Bill 0.050% 8/26/2021 50.0 —
— 5.0 United States Treasury Cash Management Bill 0.010% 1/5/2021 — 5.0
— 56.5 United States Treasury Cash Management Bill 0.108% 1/12/2021 — 56.5
— 85.0 United States Treasury Cash Management Bill 0.086% 3/9/2021 — 85.0
50.0 50.0 United States Treasury Cash Management Bill 0.100% 4/13/2021 50.0 50.0
50.0 — United States Treasury Cash Management Bill 0.040% 6/29/2021 50.0 —
91.8 — United States Treasury Cash Management Bill 0.041%-0.047% 7/6/2021 91.8 —
50.0 — United States Treasury Cash Management Bill 0.050% 7/13/2021 50.0 —
50.0 — United States Treasury Cash Management Bill 0.0005 7/20/2021 50.0 —
TOTAL UNITED STATES TREASURY SECURITIES
(Cost $491.0 and $582.3)
$ 491.2 $ 582.3

~~LOANS RECEIVABLE—5.6% and 5.8%~~

Borrower Property Type
Interest Rate(6)
Maturity Date Fair Value at
Principal March 31, 2021 December 31, 2020
2021 2020
90.6 89.7 311 South Wacker Mezzanine Office 4.70% + LIBOR 6/7/2021 $ 87.7 $ 86.5
60.0 60.0 River North Point Junior Mezzanine Office 4.30% + LIBOR 7/9/2021 60.0 59.2
67.7 68.6 Blackstone RioCan Retail Portfolio Mezzanine Retail 4.65% + LIBOR 7/9/2021 65.8 66.5
60.0 60.0 SoNo Collection Mezzanine Retail 6.75% + LIBOR 8/6/2021 60.0 60.0
124.7 124.7 Project Glacier Mezzanine Industrial 4.40% + LIBOR 10/9/2021 124.7 124.7
16.7 16.7 Liberty Park Office 6.08% 11/9/2021 16.6 16.6
125.0 125.0 State Street Financial Center Mezzanine Office 6.50% 11/10/2021 121.9 122.0
54.3 54.3 SCG Oakland Portfolio Office 4.25% + LIBOR 3/1/2022 54.3 54.3
20.0 20.0 Modera Observatory Park Mezzanine Apartments 4.34% + LIBOR 6/10/2022 19.7 19.7
17.1 — San Diego Office Portfolio Mezzanine Office 2.45% + LIBOR 8/9/2022 16.0 16.1
51.2 — San Diego Office Portfolio Senior Loan Office 2.45% + LIBOR 8/9/2022 51.5 51.6
20.8 20.8 Rosemont Towson Mezzanine Apartments 4.15% + LIBOR 9/9/2022 20.7 20.7
31.3 33.8 Colony New England Hotel Portfolio Mezzanine Hotel 2.80% + LIBOR 11/9/2022 29.6 30.5
93.9 101.4 Colony New England Hotel Portfolio Senior Loan Hotel 2.80% + LIBOR 11/9/2022 94.4 99.4
33.9 33.9 Exo Apartments Mezzanine Apartments 2.30% + LIBOR 1/9/2023 32.2 32.0

~~TIAA REAL ESTATE ACCOUNT~~

~~CONSOLIDATED SCHEDULES OF INVESTMENTS~~

~~(Dollar values shown in millions)~~

Borrower Property Type
Interest Rate(6)
Maturity Date Fair Value at
Principal March 31, 2021 December 31, 2020
2021 2020
101.6 101.6 Exo Apartments Senior Loan Apartments 2.30% + LIBOR 1/9/2023 $ 103.3 $ 102.9
13.5 13.4 Five Oak Mezzanine Office 2.35% + LIBOR 4/9/2023 13.5 13.4
30.6 30.6 1330 Broadway Mezzanine Office 5.01% + LIBOR 8/10/2023 30.2 30.2
— 82.0 Great Value Storage Portfolio Mezzanine Storage 7.875% 12/6/2023 — 73.8
85.0 85.0 Park Avenue Tower Mezzanine Office 4.35% + LIBOR 3/9/2024 85.0 85.0
45.7 — 5 Points Towers Mezzanine Apartments 5.50% + LIBOR 3/9/2024 45.8 —
69.6 69.6 BREP VIII Industrial Loan Facility Mezzanine Industrial 5.00% + LIBOR 3/9/2026 69.6 69.6
20.0 20.0 Aspen Lake Office Portfolio Mezzanine Office 8.250% 3/10/2028 20.0 20.0
95.0 95.0 Merritt on the River Office Portfolio Mezzanine Office 8.000% 8/1/2028 87.0 87.0
100.0 100.0 Charles River Plaza North Mezzanine Office 6.080% 4/6/2029 100.0 100.0
53.0 53.0 Sol y Luna Apartments 6.550% 1/6/2030 50.7 51.5
TOTAL LOANS RECEIVABLE
(Cost $1,481.3 and $1,527.6)
$ 1,460.2 $ 1,493.2

~~LOANS RECEIVABLE WITH RELATED PARTIES—0.2% and 0.3%~~

Related Party Property Type
Interest Rate(6)
Maturity Date Fair Value at
Principal March 31, 2021 December 31, 2020
2021 2020
$ 36.5 $ 36.5 MRA Hub 34 Holding, LLC Office 2.50% + LIBOR 9/1/2022 $ 36.5 $ 36.5
32.8 32.8 THP Student Housing, LLC Apartment 3.20% 9/1/2024 32.9 32.5
TOTAL LOANS RECEIVABLE WITH RELATED PARTIES
(Cost $69.3 and $69.3)
$ 69.4 $ 69.4
TOTAL INVESTMENTS
(Cost $22,178.4 and $21,967.9)
$ 26,103.5 $ 25,550.7

~~(1)The investment has a loan payable outstanding, as indicated in~~ ~~Note 9~~—~~Loans Payable~~.

~~(2)The fair value reflects the Account’s interest in the joint venture and is net of debt.~~

~~(3)Properties within this investment are located throughout the United States.~~

~~(4)For zero-coupon securities issued at a discount or premium to par, yield represents the annualized yield to maturity. For all other securities, the coupon rate is presented.~~

~~(5)A portion of this investment consists of land currently under development.~~

~~(6)~~Fixed interest rate loans are represented with a single rate. Variable interest rate loans are presented with their base spread and the corresponding index rate. All variable interest loans currently held by the Account use the one month LIBOR rate on U.S. dollar deposits as the index rate, as published by ICE Benchmark Administration Limited.

~~(7)Medical Office Building ("MOB").~~

3729

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of the Account’s financial condition and results of operations should be read together with the Consolidated Financial Statements and notes contained in this report and with consideration to the sub-section entitled “Forward-Looking Statements,” which begins below, and the section entitled “Item 1A. Risk Factors,” of the ~~Account’s~~Account's Annual Report on Form 10-K for the year ended December 31, ~~2020~~2021, filed with the Securities and Exchange Commission on March 10, 2022 (the ~~“Form 10-K”~~"Form 10-K") ~~entitled “Item 1A. Risk Factors.”~~, as such risk factors may be updated in Item 1A of this Form 10-Q or in subsequent reports. The past performance of the Account is not indicative of future results.

Forward-looking Statements

Some statements in this Form 10-Q which are not historical facts may be “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about management’s expectations, beliefs, intentions or strategies for the future, include the assumptions and beliefs underlying these forward-looking statements, and are based on current expectations, estimates and projections about the real estate industry, domestic and global economic conditions, including conditions in the credit and capital markets, the sectors, and markets in which the Account invests and operates, and the transactions described in this Form 10-Q. While management believes the assumptions underlying any of its forward-looking statements and information to be reasonable, such information may be subject to uncertainties and may involve certain risks which may be difficult to predict and are beyond management’s control. These risks and uncertainties could cause actual results to differ materially from those contained in any forward-looking statement. These risks and uncertainties include, but are not limited to, the risks associated with the following:

•Acquiring, owning and selling real property and real estate investments, including risks related to general economic and real estate market conditions, the risk that the Account’s properties become too concentrated (whether by geography, sector or by tenant mix) and the risk that the sales price of a property might differ from its estimated or appraised value;

•Property valuations, including the fact that the Account’s appraisals are generally obtained on a quarterly basis and there may be periods in between appraisals of a property during which the value attributed to the property for purposes of the Account’s daily accumulation unit value may be more or less than the actual realizable value of the property;

•Financing the Account’s properties, including the risk of default on loans secured by the Account’s properties (which could lead to foreclosure);

•Contract owner transactions, in particular that (i) significant net contract owner transfers out of the Account may impair our ability to pursue or consummate new investment opportunities, (ii) significant net contract owner transfers into the Account may result, on a temporary basis, in our cash holdings and/or holdings in liquid non-real estate-related investments exceeding our long-term targeted holding levels and (iii) high levels of cash and liquid non-real estate-related investments in the Account during times of appreciating real estate values can impair the Account’s overall return;

•Joint ventures and real estate funds, including the risk that the Account may gave limited rights with respect to the joint venture or that a co-venturer or fund manager may have financial difficulties;

•Governmental regulatory matters such as zoning laws, rent control laws, and property taxes;

•Potential liability for damage to the environment or injury to individuals caused by hazardous substances used or found on its properties, as well as risks associated with federal and state environmental laws may impose restrictions on the manner in which a property may be used;

•Certain catastrophic losses that may be uninsurable, as well as risks related to climate-related changes and hazards, which could adversely impact the Account’s investment returns;

•The utilization of ESG criteria in its commercial real estate underwriting may result in the Account foregoing some commercial real estate market opportunities and subsequently underperforming relative to other investment vehicles that do not utilize such ESG criteria in selecting portfolio properties;

•Especially with respect to countries with emerging market, foreign commercial real properties, foreign real estate loans, foreign debt investments and foreign securities investments may experience unique risks such as

changes in currency exchange rates, imposition of market controls or currency exchange controls, seizure, expropriation or nationalization of assets, political, social or diplomatic events or unrest, regulatory and taxation risks and risks associated with enforcing judgments in foreign countries that could cause the Account to lose money;

•Investments in REITs, including changes in the value of the underlying properties or by the quality of any credit extended, as well as exposure to market risk due to changing conditions in the financial markets;

•Investments in mortgage-backed securities, which are subject to the same risks inherent in real estate investing, making mortgage loans and investing in debt securities. For example, the underlying mortgage loans may experience defaults, are subject to prepayment risks and are sensitive to economic conditions impacting the credit markets generally;

•Risks associated with the Account’s investments in mortgage loans, including (i) borrower default that results in the Account being unable to recover its original investment, (ii) liens that may have priority over the Account’s security interest, (iii) a deterioration in the financial condition of tenants, and (iv) changes in interest rates for the Account’s variable-rate mortgage loans and other debt instruments;

•Investment securities issued by U.S. Government agencies and U.S. Government-sponsored entities, including the risk that the issuer may not have their securities backed by the full faith and credit of the U.S. Government, which could adversely affect the pricing and value of such securities;

•Risks associated with investments in liquid, fixed-income investments and real estate-related liquid assets (which could include, from time to time, registered or unregistered REIT securities and CMBS), and non-real estate-related liquid assets, including the risk that:

•the issuer will not be able to pay principal and interest when due (or in the case of structured securities, the risk that the underlying collateral for the security may be insufficient to support such interest or principal payments) or that the issuer’s earnings will fall;

•credit spreads may increase;

•the changing conditions in financial markets may cause the Account’s investments or interest rates to experience volatility;

•securities (or the underlying collateral in the case of structured securities) are downgraded should TIAA and/or rating agencies believe the issuer’s business outlook or creditworthiness has deteriorated;

•the level of current income from a portfolio of fixed-income investments may decline in certain interest rate environments;

•during periods of falling interest rates, an issuer may call (or repay) a fixed-income security prior to maturity, or pay off their loans sooner than expected, resulting in a decline in income;

•during periods of rising interest rates, borrowers may pay off their mortgage and other loans later than expected, preventing the Account from reinvesting principal proceeds at higher interest rates;

•securities issued by the U.S. Government or one of its agencies or instrumentalities may receive varying levels of support from the U.S. Government, which could affect the Account’s ability to recover should they default;

•events affecting states and municipalities, including severe financial difficulties, may adversely impact the Account’s investments and its performance;

•the issuer of non-U.S. sovereign debt or the governmental authorities that control the repayment of such debt may be unable or unwilling to repay principal or interest when due;

•the inability to receive the principal or interest collectable on multinational or supranational foreign debt;

•the Account’s investment decisions may cause the Account to underperform relative to others in the marketplace;

•foreign (non-U.S.) currencies may decline in value relative to the U.S. dollar and adversely affect the value of the Account’s investments impacted by foreign currencies;

•investments in derivatives and other types of hedging strategies may result in the Account losing more than the principal amount invested;

•currency management strategies may substantially change the Account’s exposure to currencies and currency exchange rates and could result in losses to the Account;

•transactions involving a counterparty to a derivative or other instrument, or to a third party responsible for servicing the instrument, are subject to the credit risk of the counterparty or third party;

•SEC Rule 144A securities may be less liquid and have less investor protections than publicly traded securities;

•illiquid investments may be difficult for the Account to sell for the value at which they are carried; and

•the Account could experience losses if banks fail;

•Conflicts of interests associated with TIAA serving as investment manager of the Account and provider of the liquidity guarantee while also serving as an investment manager to other real estate accounts or funds;

•Lending securities, which has the Account bear the market risk with respect to the investment of collateral or a portion of the income generated by interest paid by the securities lending agent on the cash collateral balance; and

•The Account’s requirement to sell property in the event that TIAA owns too large of a percentage of the Account’s accumulation units, which sales could occur at a time or price that is not optimal for the Account’s returns.

More detailed discussions of certain of these risk factors are contained in the section of the Form 10-K entitled “Item 1A. Risk Factors” and "Part II, Item 1A, Risk Factors" in this Report and also in the section below entitled “Quantitative and Qualitative Disclosures About Market Risk.” These risks could cause actual results to differ materially from historical experience or management’s present expectations.

Caution should be taken not to place undue reliance on management’s forward-looking statements, which represent management’s views only as of the date that this report is filed. Neither management nor the Account undertake any obligation to update publicly or revise any forward-looking statement, whether as a result of new information, changed assumptions, future events or otherwise.

Commercial real estate market statistics discussed in this section are obtained by the Account from sources that management considers reliable, but some of the data are preliminary for the period ended March 31, ~~2021~~2022 and may be subsequently revised. Prior period data may have been adjusted to reflect updated calculations. Investors should not rely exclusively on the data presented below in forming a judgment regarding the current or prospective performance of the commercial real estate market generally.

ABOUT THE TIAA REAL ESTATE ACCOUNT

The Account was established, under the laws of New York, in February 1995 as a separate account of TIAA and interests in the Account were first offered to eligible contract owners on October 2, 1995. The Account offers individual and group accumulating annuity contracts (with contributions made on a pre-tax or after-tax basis), as well as individual lifetime and term-certain variable payout annuity contracts (including the payment of death benefits to beneficiaries). Investors are entitled to transfer funds to or from the Account under certain circumstances. Funds invested in the Account for each category of contract are expressed in terms of units, and unit values will fluctuate depending on the Account’s performance.

Investment Objective and Strategy

The Account seeks to generate favorable total returns primarily through the rental income and appreciation of a diversified portfolio of directly held, private real estate investments and real estate-related investments, while offering investors guaranteed, daily liquidity.

Real Estate-Related Investments. The Account intends to have between 75% and 85% of its net assets invested directly in real estate or real estate-related investments with the goal of producing favorable long-term returns primarily through rental income and appreciation. These investments may consist of:

•Direct ownership interests in domestic and foreign real estate;

•Direct ownership of real estate through interests in joint ventures; or

•Indirect interests in real estate through real estate-related securities, such as:

◦public and/or privately placed, domestic and foreign, registered and unregistered equity investments in REITs, which investments may consist of registered or unregistered common or preferred stock interests;

◦private real estate limited partnerships and limited liability companies (collectively, "real estate funds");

◦investments in equity or debt securities of domestic and foreign companies whose operations involve real estate (i.e., that primarily own, develop or manage real estate) which may not be REITs; and

◦domestic or foreign loans, including conventional commercial mortgage loans, participating mortgage loans, secured domestic and foreign (including U.K.) mezzanine loans, subordinated loans and collateralized mortgage obligations, including CMBS and other similar investments.

The Account’s principal investment strategy is to purchase direct ownership interests in income-producing real estate, primarily office, industrial, retail and multi-family properties. The Account is targeted to hold between 65% and 85% of the Account’s net assets in such direct ownership interests.

In addition, the Account is authorized to hold up to 25% of its net assets in liquid real estate-related securities, including publicly traded REITs and CMBS. Management intends that the Account will not hold more than 10% of net assets in such securities on a long-term basis. As of March 31, ~~2021,~~2022, the Account did not hold any publicly traded REIT securities or CMBS.

In making commercial real estate investments within the Account, TIAA seeks to make investments that are suitable from a financial perspective and whose activities are generally consistent with industry recognized ESG criteria. The Account intends to promote awareness of these criteria to its joint venture partners, vendors and other stakeholders in connection with portfolio related activity involving commercial real estate transactions. TIAA believes awareness, and, as appropriate, implementation of ESG criteria in commercial real estate holdings is beneficial to total long-term returns for the Account. In its evaluation of commercial real estate opportunities, the Account will take ESG considerations into account as part of the financial assessment of a commercial real estate portfolio asset, and not to achieve a desired outcome or as an investment qualification or screen. Ultimately, the Account will make an investment decision that incorporates ESG criteria only to the extent that the criteria is reasonably expected to enhance the ability to achieve desired returns for the Account.

Liquid, Fixed-Income Investments. The Account will invest the remaining portion of its assets (targeted to be between 15% and 25% of its net assets) in the following types of liquid, fixed income investments;

•U.S. Treasury or U.S. Government agency securities;

•Intermediate-term or long-term government related instruments, such as bond or other fixed-income securities issued by U.S. Government agencies, U.S. States or municipalities or U.S. Government-sponsored entities as well as foreign governments and their agencies (including those in emerging markets) and supranational or multinational organizations (e.g., the European Union);

•Intermediate-term or long-term non-government related instruments, such as corporate debt securities or asset-backed securities (“ABS”) issued by domestic or foreign entities, including domestic or foreign mezzanine or other debt, MBS, RMBS, debt securities of foreign governments, and collateralized debt (“CDO”), collateralized bond (“CBO”) and collateralized loan (“CLO”) obligations, but only if such non-government related instruments are investment-grade securities;

•Money market instruments and other cash equivalents. These will usually be high-quality, short-term debt instruments, including U.S. Government or government agency securities, commercial paper, certificates of deposit, bankers’ acceptances, repurchase agreements, interest-bearing time deposits, and corporate debt securities; and

•To a limited extent, privately issued (or non-publicly traded) debt securities, including Rule 144A securities, issued by domestic and foreign companies that do not primarily own or manage real estate, but only if such domestic and foreign privately issued debt securities are investment-grade securities.

The Account’s liquid, fixed-income investments may comprise less than 15% (and possibly less than 10%) of its assets (on a net basis), especially during and immediately following periods of significant net contract owner outflows. In addition, the Account, from time to time and on a temporary basis, may hold in excess of 25% of its net

assets in liquid, fixed-income investments, particularly during times of significant inflows into the Account and/or a lack of attractive real estate-related investments available in the market.

Liquid Securities Generally. Primarily due to management’s need to manage fluctuations in cash flows, in particular during and immediately following periods of significant contract owner net transfer activity into or out of the Account, the Account may, on a temporary basis (i) exceed the upper end of its targeted holdings (currently 35% of the Account’s net assets) in liquid securities of all types, including both publicly traded non-real estate-related liquid investments and liquid real estate-related securities, such as REITs, ABS, RMBS, CMBS and MBS, or (ii) be below the low end of its targeted holdings in such liquid securities (currently 15% of the Account’s net assets).

The portion of the Account’s net assets invested in liquid investments of all types may exceed the upper end of its target, for example, if (i) the Account receives a large inflow of money in a short period of time, in particular due to significant contract owner transfer activity into the Account, (ii) the Account receives significant proceeds from sales or financings of direct real estate assets, (iii) there is a lack of attractive direct real estate investments available on the market, and/or (iv) the Account anticipates more near-term cash needs, including to acquire or improve direct real estate investments, pay expenses or repay indebtedness.

Foreign Investments. The Account may also make foreign real estate and foreign real estate-related investments and foreign liquid, fixed-income investments. Under the Account’s investment guidelines, investments in direct foreign real estate and real estate loans, together with foreign real estate-related securities and foreign liquid, fixed-income investments may not comprise more than 25% of the Account’s net assets. However, management doesn't intend such foreign investments, in the aggregate, to exceed 10% of the Account's net assets. As of March 31, ~~2021,~~2022, the ~~Account did not hold any~~fair value of the Account's foreign real estate ~~investments.~~investments was $36.4 million.

In managing any domestic or foreign mezzanine debt or other domestic or foreign loans or securities, the Account may enter into certain derivatives transactions (including forward currency contracts and swaps, futures contracts, put and call options and other hedging transactions) in order to hedge against the risks of exchange rate uncertainties, interest rate uncertainties and foreign currency or market fluctuations impacting the Account’s domestic or foreign investments. The Account does not intend to speculate in such transactions.

FIRST QUARTER ~~2021~~2022 U.S. ECONOMIC AND COMMERCIAL REAL ESTATE OVERVIEW

The Account invests primarily in high-quality, core real estate in order to meet its investment objective of obtaining favorable long-term returns through rental income and the appreciation of its real estate holdings.

Economic Overview and Outlook


Key Macro Economic Indicators*	Key Macro Economic Indicators*	Actuals			Forecast					Key Macro Economic Indicators*		Actuals						Forecast
		2020	1Q 2021	2021		2022	Key Macro Economic Indicators*		2021					1Q 2022			2022	2023
Economy(1)	Economy(1)								Economy(1)
Gross Domestic Product ("GDP")	Gross Domestic Product ("GDP")	(3.5)%	5.4%		6.2%			4.0%			Gross Domestic Product ("GDP")		5.7%			(1.4)%			3.1%		2.3%
Employment Growth (Contraction) (3)		(785)	1,617		560		275
Employment Growth (2)										Employment Growth (2)		549			562			353		159
Unemployment Rate	Unemployment Rate	6.0%	6.0%		5.5%		4.2%			Unemployment Rate		5.4%			3.8%			4.2%		3.8%
Interest Rates~~(2)~~(3)	Interest Rates~~(2)~~(3)									Interest Rates~~(2)~~(3)
10 Year Treasury	10 Year Treasury	0.9%	1.3%		1.8%		2.1%			10 Year Treasury		1.5%			2.3%			2.7%		2.9%

Sources: Bloomberg, BEA, Bureau of Labor Statistics (“BLS”), Federal Reserve and Moody’s Analytics

*Data subject to revision

(1)GDP growth rates are annual rates. Quarterly unemployment rates are the reported value for the final month of the quarter while annual values represent a twelve-month average.

(2)Values presented in thousands. Forecast values represent average monthly employment growth in the respective periods.

(3)Treasury rates are an average over the stated period.

~~(3)Values presented in thousands.~~

Expectations for U.S. economic growth in 2021 are becoming increasingly optimistic. Fueled by a massive fiscal expansion and rapid vaccine deployment, the U.S. economy may set the pace this year for the global economic recovery from the COVID-19 pandemic. GDP is projected to increase by 5.4% quarter-over-quarter in Q1 2021 and be positive year-over-year (a 0.1% increase as of Q1 2021) for the first time since the COVID-19 pandemic began.

4234

Initial 2022 outlook themes generally played out as expected in the first quarter: strong but slower economic growth, persistently higher inflation, the onset of interest rate hikes, and further bouts of elevated market volatility. Two developments were unexpected: The geopolitical and humanitarian crisis unleashed by Russia’s invasion of Ukraine and a worsening disconnect between hard economic data and investor sentiment. Risks of a premature end to this young cycle have increased, given the steep path of interest rate increases. U.S. GDP is estimated to have decreased by 1.4% quarter-over-quarter (seasonally adjusted annualized rate) in the first quarter of 2022 but increased 3.6% year-over-year. The U.S. labor market has restored almost 14all (20.5 million of the 21 ~~million~~million) jobs lost at the beginning of the ~~COVID-19~~ pandemic, as measured by ~~non-farm~~nonfarm employment, bringing the unemployment rate to ~~6.0%~~3.8% as of March ~~2021.~~2022. The economy ~~is projected to have~~ gained ~~1.62~~1.7 million jobs in the first quarter of ~~2021,~~2022, according to the ~~March 2021 non-farm~~nonfarm payroll measurement from the ~~BLS.~~U.S. Bureau of Labor Statistics.

Russian military activity in Ukraine escalated rapidly in February and has resulted in full-scale armed conflict, with growing uncertainty about how it will continue to impact global markets. Management expects additional volatility should events deteriorate further. While Management does not expect military action to spread beyond the borders of Ukraine, the economic ramifications could be relatively far-reaching. Half of Europe's energy supplies originate in Russia, and Germany has already canceled a planned pipeline due to the current hostilities. This development will increase energy prices and cause further inflationary pressure in the U.S. and globally.

Management does not expect the ongoing turmoil to shift the pattern of a global economic expansion. While further inflationary pressures are a concern, we do not believe the current disruption will shift the Federal Reserve's goal of raising interest rates to a neutral long-term rate. The Federal Reserve may increase interest rates at a faster pace than otherwise expected due to increased inflationary pressures, or it could hold off if the potentially rising cost of energy slows the economy. Management does not believe broad economic contagion will be a concern, but supply chain disruptions, sanctions and higher energy prices could cause some regions and economic sectors to suffer. If the situation deteriorates, however, with sanctions being added, there could be an increased risk of spreading economic effects.

The energy price shock has arguably boosted already high inflation across developed and emerging markets. March likely marked the peak for headline and core inflation in most major economies, with many goods prices likely to fall outright and wage pressures showing signs of easing. Disinflation would be welcomed by policymakers and investors alike, and falling inflation would seem to go hand in hand with falling interest rates; however, we expect 10-year government bond yields to rise further from here. While rates are already up considerably — and by much more than we expected — this is mainly due to higher inflation expectations. We expect real rates to rise as policy turns more hawkish and inflation moderates, producing slightly higher nominal yields by the end of the year.

While geopolitical and inflation concerns remain, the coronavirus pandemic has become a much more minor risk to the economy. As of March 31, ~~2021,~~2022, the 7-day averages of COVID-19 cases and deaths, 28,814 and 630, respectively, according to the Center for Disease Control and Prevention, have decreased significantly from the winter highs caused by the spread of the Omicron variant of COVID-19. Deaths from COVID-19 are ~~65,000 and 950, respectively, representing a significant decrease from their previous highs, of 250,000 and~~still considerably lower than they were in January 2021, when the 7-day average death rate peaked at 3,500. As of March 31, ~~2021, 97.5~~2022, 218 million ~~American adults~~Americans have been fully vaccinated against COVID-19, and 98 million have received ~~at least one dose~~the COVID-19 vaccine booster. Most states are now removing the remaining mitigation strategies that were in place to control the spread of COVID-19 due to the low spread of the COVID-19 vaccine. Mitigation strategies are being rolled back in most states as more adults become vaccinated. Additionally, Congress passed the American Rescue Plan Act signed in early March. The stimulus, which included provisions such as $350 billion of support for state and city budgets and $1,400 in direct payments to individuals who make $75,000 or less, has raised GDP growth expectations and will likely accelerate the economic recovery with the housing and logistic sectors as prime beneficiaries. Even before the various aid provisions in that bill took effect, personal incomes have also increased, causing both spending and savings rates to remain historically high.

Forecasts for economic growth have been pulled forward into the first half of this year. Financial markets have rotated out of last year’s winners into more economically sensitive sectors, with energy the biggest winner so far. Projected GDP growth in 2021, which could be the highest in more than a decade, may translate into high corporate earnings growth. This could ease equity market valuations, push stock prices higher, or some combination of both. However, there are also downsides to the upside scenario. Improved growth expectations could also lead to rising interest rates and potentially higher inflation.

Inflation is almost certain to rise in 2021. As the weaker economic data from the first half of last year roll out of the 12-month observation period, year-on-year inflation will almost certainly increase. With that said, in the second quarter of 2021, inflation may remain modest as some pandemic-related restrictions will remain. The more significant concern is that inflation may continue to rise this summer as more consumers shift their spending from goods to services, which will likely produce a relative shift in price pressures that could cause overall price levels to rise. This is especially true if businesses encounter difficulty quickly expanding their operating capacity in the face of a sudden increase in demand. Small business surveys already show this becoming an issue as employers are having trouble finding new workers to fill open slots, and a large number of those businesses expect to raise their prices in the next few months.virus.

Real Estate Market Conditions and Outlook

~~We expect that a~~The strong U.S. economic recovery ~~will benefit~~is benefiting real estate prices overall. ~~As the~~The COVID-19 vaccine ishas been widely administered, and ~~COVID-19~~ pandemic-related restrictions ~~are removed, the U.S.~~have largely been removed. Private real estate ~~recovery is expected to track with the broader~~investments have been relatively insulated from recent market volatility, and we believe continuing global economic ~~recovery; however, we expect certain regions, cities,~~reopening and ~~property types to continue to outperform and others to continue to underperform. Commercial~~strong capital flows should provide ongoing tailwinds. U.S. commercial real estate should benefit ~~from~~even during a ~~low-interest-rate environment, attracting more investors~~rising interest rate environment. Management believes real-estate assets will continue to be a higher-yielding alternative to fixed-income holdings in the ~~space as they seek higher-yielding alternatives relative to fixed income assets.~~short term.

The ~~COVID-19~~ pandemic severely impacted real estate property types ~~that depend~~dependent on social interactions, such as retail, office, and ~~lodging, but while~~lodging. While the ~~retail has sector has~~mall and office sectors have continued to ~~struggle,~~underperform, the lodging ~~sector is showing signs that it will recover more quickly.~~and strip center sectors

have recovered quickly, with prices exceeding pre-pandemic levels in particular sub-sectors. Simultaneously, the ~~COVID-19~~ pandemic ~~has~~ accelerated online shopping, the movement to the suburbs and Sunbelt cities, and the shift to the digital economy. As a result, warehouse, storage, single-family rentals, and data center values have risen since the onset of the ~~crisis~~pandemic and have continued to outperform during recent quarters. Additionally, health care and medical research spending is increasing, which has benefited the life science and medical office sectors. According to Real Capital Analytics, U.S. real estate transaction volumes ~~were down 32% in 2020 relative to 2019. During this period,~~are up 34% year-to-year as of February 2022. In 2021, apartments and industrial property transactions captured ~~almost 60%~~approximately 62% of total U.S. transaction volumes, illustrating the strong investor interest in these two property types.

~~For~~The Account experienced materially positive appreciation within the warehouse, apartment, and alternative real estate sectors during the first quarter ~~ending~~of 2022, driving a net participant return of 5.44%. Attractive supply and demand fundamentals, favorable borrowing costs, and heightened investor appetite for the industrial and apartment sectors, in particular, have largely contributed to property appreciation in the first quarter. As of March 31, ~~2021,~~2022, the ~~Account’s directly held real estate~~Account's leverage position was 17.4%. This low level of leverage and ability to access financing at attractive rates allows the Account to opportunistically deploy capital during periods of market volatility when other funds may focus on shoring up balance sheets. The Account expects to continue to seek opportunities that improve portfolio diversification throughout 2022 by selling lower productivity assets ~~generated a return of 2.57%.~~

and acquiring assets with higher growth potential and economic resiliency.

Data for the Account’s top five markets in terms of market value as of March 31, ~~2021~~2022 are provided below. The five markets presented below represent ~~42.5%~~42.9% of the Account’s total real estate portfolio. Across all markets, the Account’s properties are ~~91.1%~~91.2% leased.


Top 5 Metro Areas by Fair Market Value(1)	Top 5 Metro Areas by Fair Market Value(1)	Account % Leased Fair Value Weighted(2)	Number of Property Investments	Metro Area Fair Value as a % of Total RE Portfolio(3)	Metro Area Fair Value as a % of Total Investments	Top 5 Metro Areas by Fair Market Value(1)	Account % Leased Fair Value Weighted(2)	Number of Property Investments	Metro Area Fair Value as a % of Total RE Portfolio(3)	Metro Area Fair Value as a % of Total Investments
Los Angeles-Long Beach-Anaheim, CA						Los Angeles-Long Beach-Anaheim, CA	86.2%	22	10.7%	9.0%
Washington-Arlington-Alexandria, DC-VA-MD-WV	Washington-Arlington-Alexandria, DC-VA-MD-WV	82.9%	17	11.0%	9.7%	Washington-Arlington-Alexandria, DC-VA-MD-WV	85.7%	18	9.8%	8.3%
Los Angeles-Long Beach-Anaheim, CA		85.2%	18	10.2%	9.0%
Boston-Cambridge-Newton, MA-NH		88.9%	8	7.5%	6.6%
Riverside-San Bernardino-Ontario, CA						Riverside-San Bernardino-Ontario, CA	100.0%	7	8.7%	7.3%
New York-Newark-Jersey City, NY-NJ-PA	New York-Newark-Jersey City, NY-NJ-PA	83.0%	12	7.3%	6.5%	New York-Newark-Jersey City, NY-NJ-PA	82.5%	12	6.9%	5.8%
San Francisco-Oakland-Hayward, CA		92.6%	10	6.5%	5.7%
Miami-Fort Lauderdale-West Palm Beach, FL						Miami-Fort Lauderdale-West Palm Beach, FL	94.7%	14	6.8%	5.7%

(1)The table above has been standardized to depict metropolitan statistical area ("MSA") definitions. ~~Prior iterations of this table presented metropolitan divisions, which represent a subset of the larger MSA.~~

(2)Weighted by fair value, which differs from the calculations provided for market comparisons to CoStar and RealPage data and are used here to reflect the fair value of the Account’s monetary investments in those markets.

(3)Wholly-owned properties are represented at fair value and gross of any debt, while joint venture properties are represented at the net equity value.

Office

~~As the~~The effects of the COVID-19 pandemic ~~remain, it is expected that~~can still be seen in the office ~~vacancy will continue to trend at a high rate through 2021 and into 2022. While many states have opened sufficiently to allow employees back into physical offices, many~~sector as concerns over infections remain. Many companies are still moving cautiously ~~and planning for gradual~~in regards to reentry into the office ~~throughout 2021. As a result, companies~~and are continuing to invest in telecommuting options and infrastructure to facilitate remote work (e.g. new hardware, additional data storage), which will likely persist after the pandemic subsides. Companies may begin requiring less space due to reduced on-site employee ~~presence,~~presence; however, some companies may require additional space to better facilitate open-office concepts that incorporate distancing between employees. ~~The continued~~Current uncertainty ~~around~~surrounding the geopolitical climate and inflation have also contributed to the delay of long-term commitment for space; however, despite these uncertainties, the demand for ~~office~~ space is expected ~~to keep investment volume in the sector low through 2021.~~improve throughout 2022.

Vacancy nationwide ~~increased~~remained relatively flat with a slight increase from ~~11.2%~~12.2% in the fourth quarter of ~~2020~~2021 to ~~11.9%~~12.3% in the first quarter of ~~2021,~~2022, as reported by CoStar. Vacancy rates have remained high in large downtown markets, such as New York and Los Angeles. New construction effectively stalled with the arrival of the COVID-19 pandemic, but the completion of construction already underway has continued to deliver new supply into a weak leasing ~~environment. The new supply continues to be~~environment; although, the ~~main driver behind the national vacancy increase.~~first quarter of 2022 saw net positive absorption. The vacancy rate of the Account’s office portfolio ~~decreased~~increased to ~~14.0%~~18.0% in the first quarter of ~~2021,~~2022, as compared to ~~14.8%~~16.9% in the prior

~~quarter, driven primarily by new leases, most notably in the New York and Los Angeles metro area.~~ quarter. The above-average vacancy rate in the New York metro area is driven by two properties currently undergoing

redevelopment to increase the long term value of the properties. The vacancy rate in the New York metro ~~will~~is expected to remain elevated over the near term as legacy tenants fully vacate the properties and redevelopment efforts continue. The increased vacancy rate in the Los Angeles and Washington D.C. metro areas can both be attributed to expired leases.

As of March 31, ~~2021,~~2022, the Account's rents from office tenants were not materially affected by the COVID-19 pandemic, but the duration of the effects of the COVID-19 pandemic remain unknown. Tenants requesting rent relief have generally requested rent deferrals for a limited period of time (i.e., less than six months), with the unpaid rent to be paid over the duration of the remaining lease. Additionally, if tenants vacate due to lease expirations, redeployment of the vacated space may be challenging in the near term due to unfavorable leasing conditions.


						Account Square Foot Weighted Average Vacancy				Market Vacancy(2)									Account Square Foot Weighted Average Vacancy				Market Vacancy(2)
Top 5 Office Metropolitan Areas(1)	Top 5 Office Metropolitan Areas(1)	Total Sector by Metro Area ($M)		% of Total Investments		Q1 2021		Q4 2020		Q1 2021		Q4 2020		Top 5 Office Metropolitan Areas(1)	Total Sector by Metro Area ($M)		% of Total Investments		Q1 2022		Q4 2021		Q1 2022		Q4 2021
Account / Nation						14.0	%	14.8	%	11.9	%	11.2	%
																			18.0	%	16.9	%	12.3	%	12.2	%
Washington-Arlington-Alexandria, DC-VA-MD-WV														Washington-Arlington-Alexandria, DC-VA-MD-WV	$	1,484.6	4.6	%	15.3	%	11.0	%	14.8	%	14.7	%
Boston-Cambridge-Newton, MA-NH	Boston-Cambridge-Newton, MA-NH	$	1,489.7	5.7	%	12.7	%	12.5	%	9.4	%	8.7	%	Boston-Cambridge-Newton, MA-NH	1,205.4		3.7	%	21.6	%	21.7	%	9.2	%	9.3	%
Washington-Arlington-Alexandria, DC-VA-MD-WV		1,482.4		5.7	%	11.2	%	13.0	%	14.5	%	13.8	%
New York-Newark-Jersey City, NY-NJ-PA	New York-Newark-Jersey City, NY-NJ-PA	1,101.7		4.2	%	27.6	%	35.9	%	11.3	%	9.8	%	New York-Newark-Jersey City, NY-NJ-PA	1,047.0		3.2	%	30.7	%	28.3	%	12.3	%	12.2	%
San Francisco-Oakland-Hayward, CA		1,033.9		4.0	%	6.3	%	4.5	%	12.4	%	10.4	%
Los Angeles-Long Beach-Anaheim, CA	Los Angeles-Long Beach-Anaheim, CA	853.6		3.3	%	13.4	%	9.9	%	12.9	%	12.2	%	Los Angeles-Long Beach-Anaheim, CA	942.6		2.9	%	17.7	%	16.0	%	13.6	%	13.5	%
San Diego-Carlsbad, CA														San Diego-Carlsbad, CA	775.9		2.4	%	2.7	%	2.7	%	11.3	%	11.3	%

(2)Source: CoStar. Market vacancy is the percentage of space available for rent. Account vacancy is the square foot-weighted percentage of unleased space. Market vacancy rates are subject to change.

Industrial

The industrial sector ~~continues to demonstrate resiliency through~~saw record-breaking activity in the ~~COVID-19 pandemic.~~first quarter of 2022. The pandemic has accelerated consumers' long-term shift to e-commerce, and this shift has ~~allowed~~caused demand for industrial space to ~~remain stable. When compared against~~rise to unprecedented levels. Construction of industrial properties is also at a record high as developers try to keep up with the ~~other three core real estate sectors, the industrial sector is best positioned to weather the economic uncertainty caused by the COVID-19 pandemic. Investors continue to view the sector favorably.~~demand but timing of delivery remains uncertain as supply chain issues are creating challenges.

The national industrial availability rate ~~decreased slightly in~~for the first quarter of ~~2021~~2022 was 4.1%, which is the lowest level ever recorded, as compared to ~~5.4%, down from 5.6% in~~4.2% during the prior quarter, as reported by CoStar. The average vacancy rate of the industrial properties held by the Account dropped from ~~9.1%~~4.2% in the fourth quarter of ~~2020~~2021 to ~~5.1%~~3.9% in the first quarter of ~~2021,~~2022, due to new ~~leases totaling just over one million square feet.~~leases.

As of March 31, ~~2021,~~2022, the Account's rents from industrial tenants were not materially affected by the COVID-19 pandemic, but the duration of the effects of the COVID-19 pandemic remain unknown. Tenants requesting rent relief have generally requested rent deferrals for a limited period of time (i.e., less than six months), with the unpaid rent to be paid over the duration of the remaining lease. Additionally, if tenants vacate due to lease expirations, redeployment of the vacated space may be challenging in the near term due to unfavorable leasing conditions, though demand for industrial space has been relatively steady throughout the pandemic.

4537


						Account Square Foot Weighted Average Vacancy				Market Vacancy(2)									Account Square Foot Weighted Average Vacancy				Market Vacancy(2)
Top 5 Industrial Metropolitan Areas(1)	Top 5 Industrial Metropolitan Areas(1)	Total Sector by Metro Area ($M)		% of Total Investments		Q1 2021		Q4 2020		Q1 2021		Q4 2020		Top 5 Industrial Metropolitan Areas(1)	Total Sector by Metro Area ($M)		% of Total Investments		Q1 2022		Q4 2021		Q1 2022		Q4 2021
Account / Nation	Account / Nation					5.1	%	9.1	%	5.4	%	5.6	%	Account / Nation					3.9	%	4.2	%	4.1	%	4.2	%
Riverside-San Bernardino-Ontario, CA	Riverside-San Bernardino-Ontario, CA	$	1,130.9	4.3	%	0.0	%	13.8	%	3.4	%	3.6	%	Riverside-San Bernardino-Ontario, CA	$	2,264.4	6.9	%	—	%	—	%	1.3	%	1.4	%
Los Angeles-Long Beach-Anaheim, CA														Los Angeles-Long Beach-Anaheim, CA	719.9		2.2	%	1.6	%	1.8	%	1.6	%	1.7	%
Seattle-Tacoma-Bellevue, WA	Seattle-Tacoma-Bellevue, WA	451.0		1.7	%	2.9	%	2.9	%	5.4	%	5.4	%	Seattle-Tacoma-Bellevue, WA	582.5		1.8	%	—	%	—	%	4.0	%	4.3	%
Los Angeles-Long Beach-Anaheim, CA		428.9		1.6	%	7.6	%	7.1	%	2.9	%	3.3	%
Dallas-Fort Worth-Arlington, TX	Dallas-Fort Worth-Arlington, TX	357.5		1.4	%	—	%	3.9	%	6.7	%	7.2	%	Dallas-Fort Worth-Arlington, TX	502.9		1.5	%	—	%	—	%	5.7	%	5.3	%
Miami-Fort Lauderdale-West Palm Beach, FL	Miami-Fort Lauderdale-West Palm Beach, FL	283.7		1.1	%	2.7	%	0.8	%	5.2	%	5.5	%	Miami-Fort Lauderdale-West Palm Beach, FL	500.6		1.5	%	1.2	%	1.5	%	3.1	%	3.2	%

(1)The table above has been standardized to depict MSA definitions. ~~Prior iterations of this table presented metropolitan divisions, which represent a subset of the larger MSA.~~

(2)Source: CoStar. Market vacancy is the percentage of space available for rent. Account vacancy is the square foot-weighted percentage of unleased space. Market vacancy rates are subject to change.

Multi-Family

Apartment demand is driven by a combination of economic and demographic forces including job growth, household formations, and changes in the U.S. homeownership rate. Lost wages due to the COVID-19 pandemic resulted in a demand for more affordable housing inventory. Urban submarkets were impacted more than suburban submarkets as amenities normally associated with urban living became limited (i.e. entertainment, restaurants/bars, public transit) and people desired areas with more living space as they began spending more time at home. Student housing properties are also challenged by the pandemic, as many universities opted to utilize remote learning options for the near term. The multi-family sector is expected to hit a full recovery by 2022 as the economy rebounds, and the recovery is expected to be led by the suburban submarkets through 2021.

The national apartment vacancy rate ~~remained relatively flat~~decreased from 2.6% in the fourth quarter ~~2020~~of 2021 to 2.5% in the first quarter ~~2021, increasing slightly from 4.4% to 4.5%,~~of 2022, as reported by RealPage. This can be attributed to ~~low vacancy and~~ moderate growth in the more affordable ~~markets.~~markets, although, urban submarkets are recovering as renters are coming back to the cities to return to the office, or in anticipation of returning to office, allowing them to take advantage of the favorable leasing environment created by the COVID-19 pandemic. The vacancy rate of the Account’s apartment properties ~~decreased~~increased to ~~7.5%~~6.4% in the first quarter of ~~2021~~2022 as compared to ~~8.4%~~5.9% in the prior quarter driven by ~~new leases, particularly at student housing properties as COVID-19 pandemic-related restrictions are lifted and students return to housing.~~expiring leases.

As of March 31, ~~2021,~~2022, the Account's rents from multifamily tenants were not materially affected by the COVID-19 pandemic, but the duration of the effects of the COVID-19 pandemic remain unknown. Additionally, if tenants vacate due to lease expirations, redeployment of the vacated space may be challenging in the near term due to unfavorable leasing conditions. Rent concessions for new and existing tenants have moderately increased in recent months in an effort to generate and keep occupancy.

Account Units Weighted
Average Vacancy
Market
Vacancy(2)
Top 5 Apartment Metropolitan Areas(1)
Total Sector
by Metro Area
($M) % of Total
Investments Q1 2021 Q4 2020 Q1 2021 Q4 2020
Account / Nation 7.5 % 8.4 % 4.5 % 4.4 %
Washington-Arlington-Alexandria, DC-VA-MD-WV $ 750.4 2.9 % 8.9 % 7.9 % 5.4 % 5.2 %
Los Angeles-Long Beach-Anaheim, CA 659.6 2.5 % 6.4 % 8.6 % 4.6 % 4.5 %
Miami-Fort Lauderdale-West Palm Beach, FL 562.0 2.2 % 7.2 % 7.8 % 4.8 % 4.8 %
Denver-Aurora-Lakewood, CO 456.8 1.7 % 6.2 % 5.5 % 5.4 % 5.1 %
New York-Newark-Jersey City, NY-NJ-PA 331.6 1.3 % 0.9 % 2.8 % 4.7 % 4.0 %


					Account Units Weighted Average Vacancy				Market Vacancy(2)
Top 5 Apartment Metropolitan Areas(1)	Total Sector by Metro Area ($M)		% of Total Investments		Q1 2022		Q4 2021		Q1 2022		Q4 2021
Account / Nation					6.4	%	5.9	%	2.5	%	2.6	%
Los Angeles-Long Beach-Anaheim, CA	$	951.9	2.9	%	6.2	%	5.3	%	2.1	%	2.3	%
Washington-Arlington-Alexandria, DC-VA-MD-WV	860.4		2.6	%	8.4	%	6.8	%	2.6	%	2.9	%
Miami-Fort Lauderdale-West Palm Beach, FL	712.0		2.2	%	6.4	%	4.5	%	1.5	%	2.0	%
Atlanta-Sandy Springs-Roswell, GA	422.9		1.3	%	11.9	%	7.6	%	3.1	%	3.0	%
New York-Newark-Jersey City, NY-NJ-PA	385.2		1.2	%	2.2	%	—	%	1.5	%	2.1	%

(1)The table above has been standardized to depict MSA definitions. ~~Prior iterations of this table presented metropolitan divisions, which represent a subset of the larger MSA.~~

(2)Source: RealPage. Market vacancy is the percentage of units vacant. The Account’s vacancy is the percentage of unleased units. Market vacancy rates are subject to change.

Retail

While all core real estate sectors have been negatively impacted by the COVID-19 pandemic to some degree, the impact to the retail sector has been especially pronounced. Retailers have attempted to find alternative ways to deliver products to customers through e-commerce solutions, but retail is still highly dependent on customer traffic in stores to generate revenue. Most states have reopened sufficiently to allow for customer traffic to return, but some consumers remain hesitant to venture into enclosed spaces, and most states still maintain strict occupancy limits, although those limits are beginning to increase as restrictions ease. Traditionalpronounced since traditional retail was facing ongoing challenges from e-commerce platforms long before the COVID-19 ~~pandemic, and~~pandemic. However, the sector continued to strengthen in the first quarter of 2022 despite the lingering effects of the pandemic, ~~has accelerated~~supply chain challenges, and economic uncertainty created by the shift in consumers' preferences from brick-and-mortar retail to digital storefronts. However, there is an expectation that brick-and-mortar retail locations will begin seeing more traffic in 2021. As COVID-19 restrictions gradually ease and rolloutRussian invasion of the COVID-19 vaccines progress, we expect that consumers will desire a more physical buying experience. New retail concepts, health and wellness, grocery stores, and quick services restaurants, among others, are expected to repurpose space vacated by previous retailers, eliminating the immediate need for new inventory.Ukraine.

The Account's retail portfolio is composed primarily of high-end lifestyle shopping centers and regional malls in large metropolitan or tourist centers. The retail portfolio is managed to minimize significant exposure to any single retailer. The Account has over 1,100 retailers across its portfolio, with its largest retail exposure comprising less than 5.0% of total retail rentable area. The Account’s retail vacancy ~~increased to 11.0%~~was 10.8% in the first quarter of ~~2021~~2022, up from ~~7.3%~~10.2% in the prior ~~quarter, primarily driven by scheduled~~quarter. The increase can be attributed to lease expirations.

~~During the quarter ended March 31, 2021, requests for rent relief were more common among retail~~Retail tenants ~~than other sectors. Tenants~~ requesting rent relief have generally requested rent deferrals for a limited period of time (i.e., less than six months), with the unpaid rent to be paid over the duration of the remaining lease. IfThe duration of the ~~severity~~effects of the COVID-19 pandemic ~~persists throughout 2021,~~remain unknown; the likelihood that tenants may request additional rent deferrals, rent concessions or default increases. Additionally, if tenants vacate due to lease expirations, redeployment of the vacated space may be challenging in the near term due to unfavorable leasing conditions. The Account is closely monitoring the collectability of accrued rental income and adjusting its allowances for uncollectible rent as needed.


						Account Units Weighted Average Vacancy				Market Vacancy(1)									Account Units Weighted Average Vacancy				Market Vacancy*
		Total Exposure ($M)		% of Total Investments		Q1 2021		Q4 2020		Q1 2021		Q4 2020			Total Exposure ($M)		% of Total Investments		Q1 2022		Q4 2021		Q1 2022		Q4 2021
All Retail	All Retail					11.0	%	7.3	%	5.1	%	5.1	%	All Retail					10.8	%	10.2	%	4.6	%	4.6	%
Lifestyle & Mall	Lifestyle & Mall	$	2,072.1	7.9	%	14.1	%	7.2	%	5.1	%	5.1	%	Lifestyle & Mall	$	1,572.1	4.8	%	14.0	%	12.6	%	7.3	%	7.4	%
Neighborhood, Community & Strip~~(2)~~	Neighborhood, Community & Strip~~(2)~~	1,422.2		5.4	%	8.8	%	7.4	%	7.6	%	7.6	%	Neighborhood, Community & Strip~~(2)~~	1,340.6		4.1	%	7.3	%	8.7	%	6.6	%	6.7	%
Power Center(2)		585.1		2.2	%	10.4	%	7.1	%	5.7	%	5.5	%
Power Center**														Power Center**	467.0		1.4	%	15.2	%	13.3	%	5.2	%	5.3	%

~~(1)~~*Source: CoStar. Market vacancy is defined as the percentage of space available for rent. The Account’s vacancy is the square foot-weighted percentage of unleased space. Market vacancy rates are subject to change.

~~(2)~~**The Power Center designation is reserved for properties with three or more anchor units. Anchor units are leased to large retailers such as department stores, home improvement stores, and warehouse clubs. Properties with the Neighborhood, Community and Strip designation consist of two or less anchor units.

Hotel

The impact of the COVID-19 pandemic on the hospitality sector has been especially severe among hotels that cater primarily to business travelers. Business travel has been curtailed significantly, with travel limited primarily to those who must travel for essential reasons. Business travel remained depressed during the first quarter of 2022 but is ~~likely~~expected to ~~continue~~grow significantly in 2022 as more employees return to ~~be significantly depressed in the coming months, with businesses shifting~~office and conferences shift back to ~~virtual meetings and conferences.~~inperson. Leisure travel has ~~partially recovered domestically, benefiting from the inability of American travelers~~continued to ~~travel overseas. All hotel operators are faced with rising costs from measures taken to mitigate the spread of the virus,~~increase and ~~few operators are experiencing~~

increases in revenue to offset those costs. Hotel revenues and occupancy rates will continue to be challenged over the near term, although improvements will start to be seen as the rollout of the COVID-19 vaccines progresses. Recovery in markets with significant drive-to destinations and outdoor attractions, such as beaches and mountains, areis expected to ~~be seen later in 2021, while we expect recovery will begin to even out across all markets by 2022 and 2023.~~remain steady, especially with the approaching summer season, which generally sees an influx of travelers.

The Account's exposure to the hospitality sector is limited to one hotel in the Dallas metro area. The hotel is located in a business park in the Dallas metro area and caters largely to business travelers. Key metrics to track hotel performance include occupancy, the average daily rate (“ADR”) and revenue per available room (“RevPAR”). For the quarter ended March 31, ~~2021,~~2022, occupancy of the property increased to ~~35.7%~~35.5%, as compared to ~~20.2%~~34.2% in the previous quarter. ADR and RevPAR were ~~$107.45~~$126.66 and ~~$48.62,~~$69.03, respectively, for the first quarter of ~~2021,~~2022, as compared to ~~$92.21~~$111.73 and ~~$26.06,~~$50.63, respectively, in the prior quarter.

INVESTMENTS

As of March 31, ~~2021,~~2022, the Account held ~~88.2%~~84.1% of its total investments in real estate and real estate joint ventures. The Account also held investments in loans receivable, including those with related parties, representing ~~5.8%~~4.1% of total investments, U.S. treasury securities representing ~~1.9%~~2.7% of total investments, real estate funds representing ~~1.8%~~2.5% of total investments, U.S. government agency notes representing ~~1.3%~~3.3% of total investments, ~~and~~corporate bonds representing 1.7% of total investments, a real estate operating business representing ~~1.0%~~1.5% of total ~~investments.~~investments and foreign government agency notes representing 0.1% of total investments,

The outstanding principal on loans payable on the Account’s wholly-owned real estate portfolio as of March 31, ~~2021~~2022 was ~~$2.4~~$2.1 billion. The Account’s proportionate share of outstanding principal on loans payable within its joint venture investments was ~~$3.0~~$3.5 billion, which is netted against the underlying properties when determining the joint venture investment’s fair value presented on the Consolidated Schedules of Investments. Total outstanding principal on the Account’s portfolio as of March 31, ~~2021,~~2022, inclusive of loans payable within the joint venture investments, $243.3 million in loans collateralized by a loan receivable and $500.00 million outstanding on the Account's line of credit, was ~~$5.4~~$6.4 billion, which represented a loan-to-value ratio of ~~18.2%~~17.4%.

Management believes that the Account’s real estate portfolio is diversified by location and property type. The Account does not intend to buy and sell its real estate investments simply to make short-term profits. Rather, the Account’s general strategy in selling real estate investments is to dispose of those assets that management believes (i) have maximized in value, (ii) have underperformed or face deteriorating property-specific or market conditions, (iii) need significant capital infusions in the future, (iv) are appropriate to dispose of in order to remain consistent with the Account’s intent to diversify the Account by property type and geographic location (including reallocating the Account’s exposure to or away from certain property types in certain geographic locations), or (v) otherwise do not satisfy the investment objectives of the Account. Management, from time to time, will evaluate the need to manage liquidity in the Account as part of its analysis as to whether to undertake a particular asset sale. The Account may reinvest any sale proceeds that it does not need to pay operating expenses or to meet debt service or redemption requests (e.g., contract owner withdrawals or benefit payments).

The following table lists the Account's ten largest investments as of March 31, ~~2021.~~2022. For information regarding the Account's diversification of real estate assets by region and property type, see Note 3—Concentrations of Risk.


Ten Largest Real Estate Investments	Ten Largest Real Estate Investments													Ten Largest Real Estate Investments
Property Investment Name	Property Investment Name	Ownership Percentage	City	State	Type	Gross Real Estate Fair Value(1)		Debt Fair Value(2)		Net Real Estate Fair Value(3)		Property as a % of Total Real Estate Portfolio(4)	Property as a % of Total Investments(5)	Property Investment Name	Ownership Percentage	City	State	Type	Gross Real Estate Fair Value(1)		Debt Fair Value(2)		Net Real Estate Fair Value(3)		Property as a % of Total Real Estate Portfolio(4)	Property as a % of Total Investments(5)
Ontario Industrial Portfolio														Ontario Industrial Portfolio	100%	Ontario	CA	Industrial	$	1,095.0	$	—	$	1,095.0	3.6%	3.0%
Simpson Housing Portfolio														Simpson Housing Portfolio	80%	Various	U.S.A.	Apartment	1,048.0		392.9		655.1		3.4%	2.9%
Fashion Show	Fashion Show	50%	Las Vegas	NV	Retail	$	967.2	$	425.1	$	542.1	3.7%	3.3%	Fashion Show	50%	Las Vegas	NV	Retail	979.4		420.1		559.3		3.2%	2.7%
Simpson Housing Portfolio		80%	Various	U.S.A.	Apartment	829.4		393.5		435.9		3.2%	2.9%
1001 Pennsylvania Avenue	1001 Pennsylvania Avenue	100%	Washington	D.C.	Office	798.3		314.2		484.1		3.1%	2.8%	1001 Pennsylvania Avenue	100%	Washington	DC	Office	800.9		306.4		494.5		2.6%	2.2%
The Florida Mall	The Florida Mall	50%	Orlando	FL	Retail	784.5		151.5		633.0		3.0%	2.7%	The Florida Mall	50%	Orlando	FL	Retail	736.1		299.8		436.3		2.4%	2.0%
Colorado Center	Colorado Center	50%	Santa Monica	CA	Office	599.7		279.7		320.0		2.3%	2.1%	Colorado Center	50%	Santa Monica	CA	Office	634.0		276.8		357.2		2.1%	1.8%
Ontario Industrial Portfolio		100%	Ontario	CA	Industrial	591.8		—		591.8		2.3%	2.0%
Lincoln Centre														Lincoln Centre	100%	Dallas	TX	Office	566.8		—		566.8		1.8%	1.6%
99 High Street	99 High Street	100%	Boston	MA	Office	532.4		285.9		246.5		2.1%	1.8%	99 High Street	100%	Boston	MA	Office	531.2		282.6		248.6		1.7%	1.5%
Lincoln Centre		100%	Dallas	TX	Office	493.4		—		493.4		1.9%	1.7%
Storage Portfolio II														Storage Portfolio II	90%	Various	USA	Other	502.3		183.0		319.3		1.6%	1.4%
701 Brickell Avenue	701 Brickell Avenue	100%	Miami	FL	Office	436.2		186.3		249.9		1.7%	1.5%	701 Brickell Avenue	100%	Miami	FL	Office	489.9		182.5		307.4		1.6%	1.4%
Four Oaks Place		51%	Houston	TX	Office	413.9		83.3		330.6		1.6%	1.4%

(1)The Account's share of the fair value of the property investment, gross of debt.

(2)Debt fair values are presented at the Account's ownership interest.

(3)The Account's share of the fair value of the property investment, net of debt.

(4)Total real estate portfolio is the aggregate fair value of the Account's wholly-owned properties and the properties held within a joint venture, gross of debt.

(5)Total investments are the aggregate fair value of all investments held by the Account, gross of debt. Total investments, as calculated within this table, will vary from total investments, as calculated in the Account's ~~Consolidated~~ Schedule of Investments, as joint venture investments are presented in the ~~Consolidated Schedules~~Schedule of Investments at their net equity position in accordance with ~~previously defined GAAP.~~U.S. Generally Accepted Accounting Principals ("GAAP").

Results of Operations

Three months ended March 31, ~~2021~~2022 compared to three months ended March 31, ~~2020~~2021

Net Investment Income

The following table shows the results of operations for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 and the dollar and percentage changes for those periods (dollars in millions).


		For the Three Months Ended March 31,				Change					For the Three Months Ended March 31,				Change
		2021		2020		$		%			2022		2021		$		%
INVESTMENT INCOME	INVESTMENT INCOME									INVESTMENT INCOME
Real estate income, net:	Real estate income, net:									Real estate income, net:
Rental income	Rental income	$	288.8	$	299.7	$	(10.9)	(3.6)	%	Rental income	$	303.7	$	288.8	$	14.9	5.2	%
Real estate property level expenses:	Real estate property level expenses:									Real estate property level expenses:
Operating expenses	Operating expenses	69.0		69.2		(0.2)		(0.3)	%	Operating expenses	73.6		69.0		4.6		6.7	%
Real estate taxes	Real estate taxes	54.8		50.1		4.7		9.4	%	Real estate taxes	51.7		54.8		(3.1)		(5.7)	%
Interest expense	Interest expense	22.9		24.3		(1.4)		(5.8)	%	Interest expense	20.9		22.9		(2.0)		(8.7)	%
Total real estate property level expenses	Total real estate property level expenses	146.7		143.6		3.1		2.2	%	Total real estate property level expenses	146.2		146.7		(0.5)		(0.3)	%
Real estate income, net	Real estate income, net	142.1		156.1		(14.0)		(9.0)	%	Real estate income, net	157.5		142.1		15.4		10.8	%
Income from real estate joint ventures and funds		45.1		55.2		(10.1)		(18.3)	%
Income from real estate joint ventures										Income from real estate joint ventures	60.5		43.0		17.5		40.7	%
Income from real estate funds										Income from real estate funds	6.0		2.1		3.9		N/M
Interest	Interest	19.9		42.5		(22.6)		(53.2)	%	Interest	20.7		19.9		0.8		4.0	%
Dividends		—		4.5		(4.5)		N/M

Other										Other	0.8		—		0.8		N/M
TOTAL INVESTMENT INCOME	TOTAL INVESTMENT INCOME	207.1		258.3		(51.2)		(19.8)	%	TOTAL INVESTMENT INCOME	245.5		207.1		38.4		18.5	%
Expenses:	Expenses:									Expenses:
Investment management charges	Investment management charges	17.2		17.2		—		—	%	Investment management charges	22.5		17.2		5.3		30.8	%
Administrative charges	Administrative charges	14.8		11.7		3.1		26.5	%	Administrative charges	13.5		14.8		(1.3)		(8.8)	%
Distribution charges	Distribution charges	8.3		7.6		0.7		9.2	%	Distribution charges	7.3		8.3		(1.0)		(12.0)	%
Mortality and expense risk charges	Mortality and expense risk charges	0.3		0.3		—		—	%	Mortality and expense risk charges	0.4		0.3		0.1		33.3	%
Liquidity guarantee charges	Liquidity guarantee charges	13.9		16.2		(2.3)		(14.2)	%	Liquidity guarantee charges	22.7		13.9		8.8		63.3	%
TOTAL EXPENSES	TOTAL EXPENSES	54.5		53.0		1.5		2.8	%	TOTAL EXPENSES	66.4		54.5		11.9		21.8	%
INVESTMENT INCOME, NET	INVESTMENT INCOME, NET	$	152.6	$	205.3	$	(52.7)	(25.7)	%	INVESTMENT INCOME, NET	$	179.1	$	152.6	$	26.5	17.4	%

The following table illustrates and compares rental income, operating expenses and real estate taxes for properties held by the Account for the three months ended March 31, ~~2021~~2022 and ~~2020.~~2021. The comparative increases or decreases associated with the acquisition and disposition of properties made in either period is compared to "same property" (dollars in millions).

Rental Income Operating Expenses Real Estate Taxes
Change Change Change
2021 2020 $ % 2021 2020 $ % 2021 2020 $ %
Same Property $ 260.2 $ 276.7 $ (16.5) (6.0) % $ 60.9 $ 65.9 $ (5.0) (7.6) % $ 50.0 $ 47.5 $ 2.5 5.3 %
Properties Acquired 29.2 17.8 11.4 N/M 7.8 2.3 5.5 N/M 4.8 2.1 2.7 N/M
Properties Sold (0.6) 5.2 (5.8) N/M 0.3 1.0 (0.7) N/M — 0.5 (0.5) N/M
Impact of Properties Acquired/Sold 28.6 23.0 5.6 N/M 8.1 3.3 4.8 N/M 4.8 2.6 2.2 N/M
Total Property Portfolio $ 288.8 $ 299.7 $ (10.9) (3.6) % $ 69.0 $ 69.2 $ (0.2) (0.3) % $ 54.8 $ 50.1 $ 4.7 9.4 %

~~N/M—Not meaningful~~

5041


	Rental Income								Operating Expenses								Real Estate Taxes
					Change								Change								Change
	2022		2021		$		%		2022		2021		$		%		2022		2021		$		%
Same Property	$	290.2	$	266.0	$	24.2	9.1	%	$	70.9	$	64.3	$	6.6	10.3	%	$	49.4	$	51.3	$	(1.9)	(3.7)	%
Properties Acquired	8.1		22.8		(14.7)		(64.5)	%	1.4		4.7		(3.3)		(70.2)	%	1.1		3.5		(2.4)		(68.6)	%
Properties Sold	5.4		—		5.4		N/M		1.3		—		1.3		N/M		1.2		—		1.2		N/M
Impact of Properties Acquired/Sold	13.5		22.8		(9.3)		(40.8)	%	2.7		4.7		(2.0)		(42.6)	%	2.3		3.5		(1.2)		(34.3)	%
Total Property Portfolio	$	303.7	$	288.8	$	14.9	5.2	%	$	73.6	$	69.0	$	4.6	6.7	%	$	51.7	$	54.8	$	(3.1)	(5.7)	%

N/M—Not meaningful

Rental Income:

Rental income ~~decreased~~increased by ~~$10.9~~$14.9 million, or ~~3.6%~~5.2%, when compared to the first quarter of ~~2020. Income from properties held in both periods declined $16.5 million, or 6.0%, primarily~~2021, driven by increases across the industrial, apartment and retail sectors due to ~~increases~~reductions in bad debt expenses and decreases in rent ~~concessions, most notably among the apartment portfolios, as an incentive to keep and generate occupancy.~~concessions. The Account's ~~one~~ hotel property also ~~saw a steep decline~~experienced an increase in income ~~due~~which can be attributed to ~~decreased~~an increase in occupancy, ~~related~~which was previously stifled by the restrictions placed on the hotel industry due to the COVID-19 pandemic.

Operating Expenses:

Operating expenses ~~decreased $0.2~~increased $4.6 million, or ~~0.3%. Operating expenses among properties held in both periods were down $5.0 million,~~6.7%, when compared to the first quarter of 2021.The increase is attributed to ~~decreases~~increases in ~~certain discretionary costs as a result of the COVID-19 pandemic. These declining costs, which include expenses such as marketing~~repair and maintenance ~~were most notable at the Account's one hotel property,~~costs, as well as ~~among properties within~~utility costs, across the office, ~~sector.~~industrial, and apartment sectors. The Account's hotel property also saw a large increase in operating expenses as occupancy increased.

Real Estate Taxes:

Real estate taxes ~~increased $4.7~~decreased $3.1 million, or ~~9.4%~~5.7%, when compared to the same period in ~~2020,~~2021, due to slight ~~increases~~decreases in property taxes across ~~all sectors.~~the office sector.

Interest Expense:

Interest expense decreased ~~$1.4~~$2.0 million, or ~~5.8%~~8.7%, ~~as a result of a lower average interest rates on outstanding principal balances of loans payable, as~~when compared to the same period in ~~2020.~~2021, as a result of lower average interest rates and outstanding principal balances on loans payable.

Income from Real Estate Joint ~~Ventures and Funds:~~Ventures:

Income from real estate joint ventures ~~and funds decreased $10.1~~increased $17.5 million, ~~or 18.3%, which is primarily attributed~~when compared to the ~~loss~~same period in 2021, as a result of higher distributed income, most notably from ~~DDRTC Core Retail Fund LLC, which was sold~~the Account's storage portfolios.

Income from Real Estate Funds:

Income from real estate funds increased $3.9 million, when compared to the same period in 2021, primarily as a result of the ~~first quarter~~increase in investments in real estate funds and the purchase of ~~2020, paired with an overall decline in income from multiple retail joint ventures, particularly in the Southern market.~~additional interests pursuant to existing commitments.

Interest ~~and Dividend~~ Income:

Interest income ~~decreased $22.6 million due~~remained relatively flat in comparison to the ~~reduction~~same period of ~~short-term securities held by the Account. Dividend income decreased $4.5 million, due to the Account selling its REIT holdings at the end of 2020.~~2021.

Expenses:

Investment management, administrative and distribution costs ~~are~~ charged to the Account are associated with managing the Account. Investment management charges are comprised primarily of fixed components, but fluctuate based on the size of the Account’s portfolio of investments, whereas administrative and distribution charges are comprised of more variable components that generally correspond with movements in net assets. Both distribution services (pursuant to the Distribution Agreement) and administrative services are provided to the Account by Services and TIAA, ~~as applicable,~~respectively, on an at cost basis. These expenses increased ~~$3.8~~$3.0 million ~~from~~over the comparable period of ~~2020, primarily attributed to increased IT related expenses.~~2021.

Mortality and expense risk and liquidity guarantee expenses are contractual charges to the Account from TIAA for TIAA’s assumption of these risks and provision of the liquidity guarantee. The rate for these charges is established

annually and are charged at a fixed rate based on the Account’s net assets. Mortality and expense risk expenses remained relatively unchanged between the comparative periods. Liquidity guarantee expenses ~~decreased $2.3~~were $8.8 million higher than the comparable period of 2021 as a result of ~~the decline in~~a higher liquidity guarantee expense charge and higher average net assets.

Net Realized and Unrealized Gains and Losses on Investments and Loans Payable

The following table shows the net realized and unrealized gains and losses on investments and loans payable for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 and the dollar and percentage changes for those periods (dollars in millions).


		For the Three Months Ended March 31,				Change					For the Three Months Ended March 31,				Change
		2021		2020		$		%			2022		2021		$		%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE	NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE									NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE
Net realized gain (loss) on investments:	Net realized gain (loss) on investments:									Net realized gain (loss) on investments:
Real estate properties	Real estate properties	$	3.0	$	(59.2)	$	62.2	N/M		Real estate properties	$	(8.4)	$	3.0	$	(11.4)	N/M
Real estate joint ventures and funds		—		(460.3)		460.3		N/M
Real estate joint ventures										Real estate joint ventures	50.9		—		50.9		N/M

Marketable securities	Marketable securities	—		35.2		(35.2)		N/M		Marketable securities	(1.0)		—		(1.0)		N/M
Loans receivable	Loans receivable	(0.7)		(1.6)		0.9		(56.3)		Loans receivable	—		(0.7)		0.7		N/M
Total realized gain (loss) on investments:		2.3		(485.9)		488.2		N/M
Net change in unrealized appreciation (depreciation) on:
Total realized gain on investments:										Total realized gain on investments:	41.5		2.3		39.2		N/M
Net change in unrealized gain (loss) on:										Net change in unrealized gain (loss) on:
Real estate properties	Real estate properties	287.8		196.7		91.1		46.3	%	Real estate properties	1,212.4		287.8		924.6		N/M
Real estate joint ventures and funds		58.3		300.5		(242.2)		(80.6)	%
Real estate joint ventures										Real estate joint ventures	71.9		65.9		6.0		9.1	%
Real estate funds										Real estate funds	(9.4)		(7.6)		(1.8)		23.7	%
Real estate operating business										Real estate operating business	60.4		—		60.4		N/M
Marketable securities	Marketable securities	—		(230.8)		230.8		N/M		Marketable securities	(28.6)		—		(28.6)		N/M
Loans receivable	Loans receivable	13.3		(10.6)		23.9		N/M		Loans receivable	1.0		13.3		(12.3)		(92.5)	%
Loans receivable with related parties		—		(0.5)		0.5		N/M

Loans payable	Loans payable	3.5		45.7		(42.2)		(92.3)	%	Loans payable	3.7		3.5		0.2		5.7	%
Net change in unrealized appreciation on investments and loans payable		362.9		301.0		61.9		20.6	%
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND LOANS PAYABLE		$	365.2	$	(184.9)	$	550.1	N/M
Net change in unrealized gain on investments and loans payable										Net change in unrealized gain on investments and loans payable	1,311.4		362.9		948.5		N/M
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS AND LOANS PAYABLE										NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS AND LOANS PAYABLE	$	1,352.9	$	365.2	$	987.7	N/M

N/M—Not meaningful

Real Estate Properties:

Wholly-owned real estate investments experienced net realized and unrealized gains of ~~$290.8 million~~$1.2 billion during the first quarter of ~~2021,~~2022, compared to ~~$137.5~~$290.8 million of net realized and unrealized gains during the comparable period of ~~2020. Net gains~~2021. While the Account saw appreciation across various real estate sectors in the first quarter of 2022, unrealized gains were primarily driven by industrial properties in the Western ~~and Southern~~ region due to ~~high demand for industrial properties from investors as the sector is viewed favorably.~~increased average market and contract rents, reflective of increased demand.

Real Estate Joint ~~Ventures and Funds:~~Ventures:

Real estate joint ventures experienced net realized and ~~funds experienced~~ unrealized gains of ~~$58.3~~$122.8 million during the first quarter of ~~2021,~~2022, compared to ~~$159.8~~$65.9 million ~~of net realized and unrealized losses~~ during the ~~comparable period~~first quarter of ~~2020.~~2021. Net gains in the first quarter of ~~2021~~2022 were primarily driven by the Account's joint venture investments in storage ~~properties, as well as Western office properties and apartments~~facilities, which saw a large increase in appreciation, reflective of capitalization rate compression in the ~~Southern region. Retail values continue~~self-storage industry, coupled with gains from sales.

Real Estate Funds:

Real estate funds experienced unrealized losses of $9.4 million during the first quarter of 2022, compared to ~~struggle as market rents in~~$7.6 net unrealized losses during the ~~retail sector have flattened for several consecutive quarters. These~~first quarter of 2021. Unrealized losses were driven by unfavorable ~~trends were present in retail prior to arrival~~valuations of two of the ~~COVID-19 pandemic~~funds.

Real Estate Operating Business:

The Account's real estate operating business experienced unrealized gains of $60.4 million during the first quarter of 2022, which were primarily attributed to favorable projected cash flow and ~~are likely to continue over the near term.~~industry share price growth.

Marketable Securities:

The Account's marketable securities ~~did not experience any~~positions experienced net realized orand unrealized ~~gains or~~ losses of $29.6 million in the first quarter of ~~2021.~~2022, The ~~Account sold its entire REIT portfolio in the fourth quarter of 2020 in order to prepare for~~change is a ~~potential triggering~~result of the ~~liquidity guarantee. The~~short and intermediate-term nature of the Account's U.S. Treasuries, government agency notes and corporate bond holdings, ~~had~~paired with a nominal ~~impact due to~~fluctuation in U.S. Treasury rates during the ~~short and intermediate-term nature of these investments, respectively.~~quarter.

Loans Receivable, including those with related parties:

Loans receivable, including those with related parties, experienced ~~net realized and~~ unrealized gains of ~~$12.6~~$1.0 million during the first quarter of ~~2021~~2022 compared to a ~~$12.7~~$12.6 million of net realized and unrealized ~~losses~~gains during the comparable period of ~~2020.~~2021. Net gains ~~are primarily attributed to the sale of the Great Value Storage Portfolio mezzanine loan~~ in the first quarter of ~~2021, which had been in an unrealized loss position due~~2022 are attributed to ~~its default status.~~

favorable valuations on loans associated with two office properties.

Loans Payable:

Loans payable experienced unrealized gains of ~~$3.5~~$3.7 million in the first quarter of ~~2021,~~2022, compared to ~~$45.7~~$3.5 million of unrealized gains during the comparable period of ~~2020.~~2021. The ~~recent~~unrealized gains ~~are consistent with the rising average~~in 2022 were attributable to increases in U.S. Treasury ~~rates, which fell during the second half~~yields driven by inflation risk, partially offset by narrowing of ~~2020 but began to tick upward in the fourth quarter of 2020 and continued to rise during the first quarter of 2021.~~credit spreads.

Liquidity and Capital Resources

As of March 31, ~~2021~~2022 and December 31, ~~2020,~~2021, the Account’s cash and cash equivalents and ~~non-real estate-related~~ marketable securities had a value of ~~$0.9~~$2.6 billion and $~~0.8~~2.2 billion representing ~~3.6%~~8.7% and ~~3.3%~~7.9% of the Account’s net assets at such dates, respectively. The Account’s liquid assets continue to be available to purchase suitable real estate properties, meet the Account’s debt obligations, expense needs, and contract owner redemption requests (i.e., contract owner withdrawals or benefit payments). In addition, as disclosed in the Account's Form 10-K for the period ended December 31, ~~2020,~~2021, the Account is able to meet its short-term and long-term liquidity needs through the Liquidity Guarantee provided by TIAA.

Net Income and Debt Outstanding

The Account’s net investment income is a source of liquidity for the Account. Net investment income was ~~$152.6~~$179.1 million for the three months ended March 31, ~~2021,~~2022, as compared to ~~$205.3~~$152.6 million for the comparable period of ~~2020.~~2021. The decrease in total net investment income is described more fully in the Results of Operations section.

The Account has ~~$1.0 billion in two~~a $500 million unsecured ~~lines~~line of credit, accessible as needed to fund the Account's near-term investment objectives, as further described in Note 10—~~Lines~~Line of Credit.As of March 31, ~~2021,~~2022, the ~~Account had no outstanding borrowings on either~~Account's line of ~~credit.~~credit was fully drawn.

The Account may from time to time borrow money and assume or obtain a mortgage on a property to make leveraged real estate investments. The Account is authorized to borrow money in accordance with its investment guidelines. Under the Account’s current investment guidelines, the Account’s loan to value ratio (as described below) is to be maintained at or below 30% (measured at the time of incurrence and after giving effect thereto). Such ~~incurrences~~incurrence of debt from time to time may include:

•placing new debt on properties;

•refinancing outstanding debt;

•assuming debt on acquired properties or interests in the Account’s properties;

•extending the maturity date of outstanding debt;

•an unsecured line of credit, credit facility or bank loan; or

•the issuance of debt securities.

As of March 31, ~~2021,~~2022, the Account’s loan-to-value ratio was ~~18.2%~~17.4%. The Account's loan-to-value ratio at any time is based on the outstanding principal amount of debt to the Account's total gross asset value, and excludes leverage, if any, employed by REITs and real estate funds in which the Account invests. The ratio will be measured at the

time of any debt incurrence and will be assessed after giving effect thereto. The Account’s total gross asset value, for these purposes, is equal to the total fair value of the Account’s assets (including the fair value of the Account’s interest in joint ventures), with no reduction associated with any indebtedness on such assets. In calculating outstanding indebtedness, we include only the Account’s actual percentage interest in any borrowings on a joint venture investment and not that of any joint venture partner. Also, at the time the Account (or a joint venture in which the Account is a partner) enters into a revolving or other line of credit, management includes only amounts outstanding when calculating outstanding indebtedness.

The Account may borrow up to 70% of the then-current value of a property, although construction loans may be for 100% of costs incurred in developing the property. Except for construction loans, any mortgage loans on a property will be non-recourse to the Account. For this purpose, non-recourse means that if there is a default on a loan in respect to a specific property, the lender will have recourse to (i.e., be able to foreclose on) only the property

encumbered (or the joint venture owning the property), or to other specific Account properties that may have been pledged as security for the defaulted loan, but not to any other assets of the Account. Currently, TIAA, on behalf of the Account, maintains ~~(i)~~ a senior revolving unsecured line of credit ~~pursuant to an existing credit agreement~~ with a syndicate of third-party bank lenders, including JPMorgan Chase Bank, N.A.~~, as administrative agent~~ (the ~~“Syndicated Credit~~“Credit Agreement”~~), and (ii) a stand-alone unsecured line of credit from JPMorgan Chase Bank, N.A. (the “JPM Credit Agreement”) (collectively, the “Credit Agreements”~~). The Account may use the proceeds of borrowings under the Credit ~~Agreements~~Agreement for funding general organizational purposes of the Account in the ordinary course of business, including financing certain real estate portfolio investments. The Account may enter into additional unsecured lines of credit, credit facilities and term bank loans underwritten by one or more third-party lenders. In addition, from time to time, the Account may, if permitted by applicable insurance laws, borrow capital for operating or other needs by offering debt securities

As of March 31, ~~2021,~~2022, there are ~~three~~four mortgage obligations secured by real estate investments wholly-owned by the Account ~~maturing~~that mature within the next twelve months. The Account has sufficient liquidity to meet its mortgage obligations.

Recent Transactions

The following describes transactions occurring during the first quarter of ~~2021~~2022 related to real estate properties, real estate joint ventures, real estate funds, loans receivable, and loans payable. Except as noted, expenses for operating the properties purchased are either borne or reimbursed, in whole or in part, by the property tenants, although the terms vary under each lease. Dollar amounts are shown in millions.

Real Estate Properties and Joint Ventures

Purchases

Property Name

Purchase Date

Ownership Percentage

Sector

Location

Net Purchase Price(1)

Property Name

Transaction Date

Ownership Percentage

Sector

Location

Net Purchase Price(1)

Arapahoe Medical Center(2)

3/30/2021

50.00%

Office

Centennial, CO

7.1

Sun Holdings Multifamily Portfolio

01/06/2022

95.00%

Apartments

Atlanta, GA

87.0

Sun Holdings Multifamily Portfolio

01/06/2022

95.00%

Apartments

Lawrenceville, GA

70.1

Sun Holdings Multifamily Portfolio

01/06/2022

95.00%

Apartments

San Marcos, TX

62.5

Sun Holdings Multifamily Portfolio

01/06/2022

95.00%

Apartments

Katy, TX

67.0

Storage Portfolio IV(2)

01/12/2022

90.00%

Storage

Marietta, GA

20.9

Storage Portfolio IV(2)

01/12/2022

90.00%

Storage

Tucker, GA

17.7

Minneapolis Core Portfolio (Northpark III)

02/04/2022

100.00%

Industrial

Brooklyn Park, MN

38.9

Minneapolis Core Portfolio (Northpark V)

02/04/2022

100.00%

Industrial

Brooklyn Park, MN

27.9

Minneapolis Core Portfolio (Park 81 East)

02/04/2022

100.00%

Industrial

Brooklyn Park, MN

56.3

Minneapolis Core Portfolio (Constellation Business Center)

02/04/2022

100.00%

Industrial

Brooklyn Park, MN

14.0

Carson South End Co-GP Development

02/18/2022

75.00%

Land

Charlotte, NC

28.9

Bethpage Land(3)

03/03/2022

98.30%

Land

Bethpage, NY

0.3

Marin Cancer Institute(4)

03/07/2022

50.00%

Office

Greenbrae, CA

18.4

Lakeside Medical Building(4)

03/07/2022

50.00%

Office

San Francisco, CA

10.2

Valley Medical Building I(4)

03/07/2022

50.00%

Office

Van Nuys, CA

8.6

Valley Medical Building II(4)

03/07/2022

50.00%

Office

Van Nuys, CA

7.8

Fountain Grove Medical Building(4)

03/07/2022

50.00%

Office

Santa Rosa, CA

5.0

Archway Baytown

03/30/2022

95.00%

Land

Baytown, TX

8.6

(1) The net purchase price represents the purchase price and closing costs.

(2) During the first quarter of 2022, the Account purchased multiple storage properties located in various cities throughout the United States. These properties are held in the Account's Storage Portfolio IV joint venture investment, in which the Account has a 90% interest.

(3) Property held in Seavest MOB Portfolio.

(4)Property held in Juniper MOB Portfolio.

Sales


Property Name	Transaction Date	Ownership Percentage	Sector	Location	Net Sales Price(1)		Realized Gain (Loss) on Sale(2)
150 Industrial Road	02/01/2022	98.00%	Office	San Carlos, CA	$	147.7	$	49.5
Warwick Center	03/03/2022	100.00%	Retail	Warwick, RI	$	11.8	$	0.3
South Denver Marketplace	03/03/2022	100.00%	Retail	Lone Tree, CO	$	73.0	$	1.0
Charleston Plaza	03/30/2022	100.00%	Retail	Mountain View, CA	$	71.1	$	(9.8)

(1) The net sales price represents the sales price, less selling expenses.

(2) Majority of the realized gain (loss) has been previously recognized as unrealized gains (losses) in the Account's Consolidated Statements of Operations.

Loans Receivable

~~Originations~~Payoffs and Sales

~~Borrower Name~~Description

~~Origination~~Transaction Date

Interest Rate

Sector

Maturity Date

Amount

~~5 Points Tower~~BREP VIII Industrial Loan Facility Mezzanine

3/03/29/~~2021~~2022

~~5.50%~~5.00% + LIBOR

~~Apartment~~Industrial

03/09/~~2024~~2023

~~45.8~~61.8

Project Glacier Mezzanine

03/29/2022

4.40% + LIBOR

Industrial

10/09/2022

98.7

~~Sales~~Financings

Borrower Name Sale Date Interest Rate Sector Maturity Date Amount
Great Value Storage Portfolio 3/08/2021 8.715% Storage 12/6/2023 $ 82.0
New Debt

Description

Transaction Date

Interest Rate

Sector

Maturity Date

Amount

Sun Holdings Multifamily Portfolio

01/06/2022

1.92%+SOFR

Apartments

02/01/2029

56.7

Sun Holdings Multifamily Portfolio

01/06/2022

1.92%+SOFR

Apartments

02/01/2029

45.9

Sun Holdings Multifamily Portfolio

01/06/2022

1.92%+SOFR

Apartments

02/01/2029

41.8

Sun Holdings Multifamily Portfolio

01/06/2022

1.92%+SOFR

Apartments

02/01/2029

45.5

(*) Secured Overnight Financing Rate (“SOFR”).

Debt Payoff

Description

Transaction Date

Interest Rate

Sector

Maturity Date

Amount

Fusion 1560

02/22/2022

3.42%

Apartments

06/10/2022

37.4

Debt Re-finance

Description

Transaction Date

Interest Rate

Sector

Maturity Date

Amount

Florida Mall

02/04/2022

2.02%

Retail

02/09/2024

300.0

Critical Accounting Estimates

Management’s discussion and analysis of the Account’s financial condition and results of operations is based on the

Account’s Consolidated ~~Interim~~ Financial Statements, which have been prepared ~~by management~~ in accordance with GAAP. The preparation of the Account’s financial statements ~~in conformity with GAAP~~ requires management to make estimates and assumptions that affect the ~~financial statements~~reported amounts of assets, liabilities, income and ~~disclosures. Some~~expenses. Management considers the valuation of ~~these estimates~~real estate properties and ~~assumptions require application~~valuation of difficult, subjective, and/or complex judgments about the effect of matters that are inherently uncertain and that may change in subsequent periods. Management evaluates its estimates and assumptions on an ongoing basis. Management bases its estimates on historical experience and on various other assumptions that it believesreal estate joint ventures to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities of the Account that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

~~In the Form 10-K for the year ended December 31, 2020, management identified the~~ critical accounting ~~policies which affect its~~estimates because they involve a significant ~~estimates~~level of estimation uncertainty and ~~assumptions used in preparing~~have a material impact on the Account’s financial ~~statements. Certain~~condition and results of ~~these accounting policies are described in~~ ~~Note 1—Organization and Significant Accounting Policies~~ ~~in this Form 10-Q.~~operations.

There have been no material changes to ~~these~~the Account's critical accounting policies ~~from those disclosed~~described in the Account's Annual Report on Form 10-K for the year ended December 31, ~~2020.~~2021.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The Account’s real estate holdings, including real estate joint ventures, funds, an operating business and loans receivable, including those with related parties, which, as of March 31, ~~2021,~~2022, represented ~~96.8%~~92.2% of the Account’s total investments, expose the Account to a variety of risks. These risks include, but are not limited to:

•General Real Estate Risk—The risk that the Account’s property values or rental and occupancy rates could go down due to general economic conditions, a weak market for real estate generally and/or in specific locations where the Account may own property, including, among other reasons, as a result of an epidemic, pandemic or other health-related issue in one or more markets where the Account owns property, disruptions in the credit and/or capital markets, or changes in supply and demand for certain types of properties;

•Appraisal Risk—The risk that the sale price of an Account property (i.e., the value that would be determined by negotiations between independent parties) might differ substantially from its estimated or appraised value, leading to losses or reduced profits to the Account upon sale;

•Risk Relating to Property Sales—The risk that the Account might not be able to sell a property at a particular time for its full value, particularly in a poor market. This might make it difficult to raise cash quickly and also could lead to Account losses;

•Risks of Borrowing—The risk that interest rate changes may impact Account returns if the Account borrows against a credit facility, takes out a mortgage on a property, buys a property subject to a mortgage or holds a property subject to a mortgage, and hedging against such interest rate changes, if undertaken by the Account, may entail additional costs and be unsuccessful; and

•Foreign Currency Risk—The risk that the value of the Account’s foreign investments, related debt, or rental income could increase or decrease due to changes in foreign currency exchange rates or foreign currency exchange control regulations, and hedging against such currency changes, if undertaken by the Account, may entail additional costs and be unsuccessful.

The Account believes the diversification of its real estate portfolio, both geographically and by sector, along with its quarterly valuation procedure, helps manage the real estate and appraisal risks described above.

As of March 31, ~~2021, 3.2%~~2022, 7.8% of the Account’s total investments were comprised of marketable securities. Marketable securities include high-quality debt instruments (i.e., government agency notes and corporate bond securities) and, when applicable, REIT securities. The Account's Consolidated Statements of Investments sets forth the general financial terms of these instruments, along with their fair values, as determined in accordance with procedures described ~~earlier in Critical Accounting Policies section above and~~ in Note 1–Organization and Significant Accounting Policies to the Account’s Consolidated Financial Statements ~~included herewith. As~~ of the ~~date~~Account's 2021 Form 10-K.

During the first quarter of ~~this report,~~2022, the Account ~~does not invest in derivative financial investments, nor does the Account engage in any hedging activity, although it may do so in selected circumstances in the future.~~entered into currency forward contracts to hedge foreign currency risks.

Risks associated with investments in real estate-related liquid assets (which could include, from time to time, REIT securities and CMBS), and non-real estate-related liquid assets, include the following:

•Financial/Credit Risk—The risk, for debt securities, that the issuer will not be able to pay principal and interest when due (and/or declare bankruptcy or be subject to receivership) and, for equity securities such as common or preferred stock, that the issuer’s current earnings will fall or that its overall financial soundness will decline, reducing the security’s value.

•Market Volatility Risk—The risk that the Account’s investments will experience price volatility due to changing conditions in the financial markets regardless of the credit quality or financial condition of the underlying issuer. This risk is particularly acute to the extent the Account holds equity securities, which have experienced significant short-term price volatility over the past year. Also, to the extent the Account holds debt securities, changes in overall interest rates can cause price fluctuations.

•Interest Rate Volatility—The risk that interest rate volatility may affect the Account’s current income from an investment.

•Deposit/Money Market Risk—The risk that, to the extent the Account’s cash held in bank deposit accounts exceeds federally insured limits as to that bank, the Account could experience losses if banks fail. The Account

does not believe it has exposure to significant concentration of deposit risk. In addition, there is some risk that investments held in money market accounts can suffer losses.

In addition, to the extent the Account were to hold MBS (including CMBS) these securities are subject to prepayment risk or extension risk (i.e., the risk that borrowers will repay the loans earlier or later than anticipated). If the underlying mortgage assets experience faster than anticipated repayments of principal, the Account could fail to recoup some or all of its initial investment in these securities, since the original price paid by the Account was based in part on assumptions regarding the receipt of interest payments. If the underlying mortgage assets are repaid later than anticipated, the Account could lose the opportunity to reinvest the anticipated cash flows at a time when interest rates might be rising. The rate of prepayment depends on a variety of geographic, social and other functions, including prevailing market interest rates and general economic factors. The fair value of these securities is also highly sensitive to changes in interest rates. Note that the potential for appreciation, which could otherwise be expected to result from a decline in interest rates, may be limited by any increased prepayments. These securities may be harder to sell than other securities.

In addition to these risks, real estate equity securities (such as REIT securities and MBS) would be subject to many of the same general risks inherent in real estate investing, making mortgage loans and investing in debt securities. For more information on the risks associated with all of the Account’s investments, see ~~the "Risk Factors" section~~Item 1A. Risk Factors, of the ~~Account’s most recent prospectus.~~Account's Annual Report on Form 10-K for the year ended December 31, 2021, file with the Securities and Exchange Commission on March 10, 2022, as such risk factors may be updated in Item 1A of this Form 10-Q or in subsequent reports.

ITEM 4. CONTROLS AND PROCEDURES

(a) The registrant maintains a system of disclosure controls and procedures that are designed to provide reasonable assurance that information required to be disclosed in the registrant’s reports under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including the registrant’s Principal Executive Officer (“PEO”) and the Principal Financial Officer (“PFO”), as appropriate, to allow timely decisions regarding required disclosure.

Under the supervision and participation of the registrant’s management, including the registrant’s PEO and PFO, the registrant conducted an evaluation of the effectiveness of the registrant’s disclosure controls and procedures as defined in Rule 13a-15(e) under the Exchange Act as of March 31, ~~2021.~~2022. Based upon management’s review, the PEO and PFO concluded that the registrant’s disclosure controls and procedures, as of the end of the period covered by this report, were effective to provide reasonable assurance that material information required to be included in the Account's periodic reports is recorded, processed, summarized and reported within the time periods specified in the relevant SEC rules and forms.

(b) ~~Changes in internal control over financial reporting.~~ There have been no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5649

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS.

In the normal course of business, the Account may be named, from time to time, as a defendant or may be involved in various legal actions, including arbitration, class actions and other litigation.

ITEM 1A. RISK FACTORS.

There have been no material changes from the Account’s risk factors as previously reported in the Account’s Annual Report on Form 10-K for the year ended December 31, ~~2020.~~2021.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.

Not applicable.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES.

Not applicable.

ITEM 4. MINE SAFETY DISCLOSURES.

Not applicable.

ITEM 5. OTHER INFORMATION.

Not applicable.

5750

ITEM 6. EXHIBITS


(1)	(A)	Distribution Agreement for the Contracts Funded by the TIAA Real Estate Account, dated as of January 1, 2008, by and among Teachers Insurance and Annuity Association of America, for itself and on behalf of the Account, and TIAA-CREF Individual & Institutional Services, LLC1
(3)	(A)	Restated Charter of TIAA (as amended)2
	(B)	Amended Bylaws of TIAA3
(4)	(A)	Forms of RA, GRA, GSRA, SRA, IRA Real Estate Account Endorsements,4 Keogh Contract,5 Retirement Choice and Retirement Choice Plus Contracts5 and Retirement Select and Retirement Select Plus Contracts and Endorsements6
	(B)	Forms of Income-Paying Contracts4
	(C)	Form of Contract Endorsement for Internal Transfer Limitation7
	(D)	(1) Form of Non-ERISA Retirement Choice Plus Contract9
		(2) Form of Non-ERISA Retirement Choice Plus Certificate9
	(E)	(1) Form of Trust Company Retirement Choice Contract10
		(2) Form of Trust Company Retirement Choice Certificate10
	(F)	(1) Form of Trust Company Retirement Choice Plus Certificate11
		(2) Form of Trust Company Retirement Choice Plus Contract11
	(G)	Form of Income Test Drive Endorsement for Retirement Annuity Contracts. After-Tax Retirement Annuity Contracts, Supplemental Retirement Annuity Contracts and IRA Contracts (including Rollover IRA, Contributory IRA, Roth IRA, OneIRA)12
	(H)	Form of Income Test Drive Endorsement for Group Retirement Annuity Certificates, Group Supplemental Retirement Annuity Certificates, Keogh Certificates, Retirement Choice Certificates, Retirement Choice Plus Certificates, Non-ERISA Retirement Choice Plus Certificates, Trust Retirement Choice Certificates, and Trust Retirement Choice Plus Certificates13
	(I)	Form of OneIRA Non-Qualified Deferred Annuity Contract (and Rate Schedule)14
	(J)	(1) Form of Endorsement to Retirement Choice and Retirement Choice Plus Contracts for Custom Portfolios16
		(2) Form of Endorsement to Retirement Choice and Retirement Choice Plus Certificates for Custom Portfolios16
	(K)	Form of Endorsement to Group Supplemental Retirement Annuity (GSRA) Certificate17
	(L)	(1)Form of Contract, Rate Schedule and Certificate for Multiple Employer Plan Retirement Choice Annuity Contract18
		(2)Form of Contract, Rate Schedule and Certificate for Multiple Employer Plan Retirement Choice Plus Annuity Contract18
	(M)	Form of Retirement Plan Loan Endorsement to Group Retirement Annuity Certificate2019
	(N)	Form of Retirement Plan Loan Endorsement to Retirement Annuity Contract2120
	(O)	Form of Retirement Plan Loan Endorsement to Supplemental Retirement Annuity ~~Contrac~~tContract2221
	(P)	Form of Required Minimum Distribution Endorsement to All Annuity Contracts2322
	(Q)	Form of Required Minimum Distribution Endorsement to All Annuity Contracts2423
(10)	(A)	~~Amended and Restated~~Engagement Letter Agreement with Independent Fiduciary, ~~Letter Agreement,~~ dated ~~as of~~ February ~~21, 2018 (the "Independent Fiduciary Agreement"),~~10, 2022, between TIAA, on behalf of the ~~registrant,~~Registrant, and ~~RERC,~~SitusAMC Real Estate Valuation Services, LLC15
	(B)	Custodian Agreement, dated as of March 3, 2008, by and between TIAA, on behalf of the registrant, and State Street Bank and Trust Company, N.A.8
	~~(C)~~	~~Side Letter Agreement, dated as of September 22, 2020, between TIAA, on behalf of the registrant, and RERC, LLC extending the term of the Independent Fiduciary Agreement~~.19
(31)		Rule 13(a)Rule 13(a)-15(e)/ Rule 13a-15(e)/15d-15(e) Certifications(e)/ Rule 13a-15(e)/15d-15(e) Certifications
(32)		Section 1350 Certifications*
(101)		The following financial information from the Quarterly Report on Form 10-Q for the period ended March 31, ~~2021~~2022 (Unaudited), formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Statements of Assets and Liabilities as of March 31, ~~2021~~2022 (Unaudited), (ii) the Consolidated Statements of Operations for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 (Unaudited), (iii) the Consolidated Statements of Changes in Net Assets for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 (Unaudited), (iv) the Consolidated Statements of Cash Flows for the three months ended March 31, ~~2021~~2022 and ~~2020~~2021 (Unaudited), and (v) the Notes to the Consolidated Financial Statements (Unaudited).**

*Filed herewith.

**Furnished electronically herewith.

(1)Previously filed and incorporated herein by reference to Exhibit 1(A) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 15, 2013 (File No. 333-187309).

(2)Previously filed and incorporated herein by reference to Exhibit 3(A) to the Account’s Registration Statement on Form S-1, filed with the Commission on April 22, 2015 (File No. 333-202583).

(3)Previously filed and incorporated herein by reference to Exhibit 3(B) to the Account’s Registration Statement on Form S-1, filed with the Commission on April 22, 2015 (File No. 333-202583).

(4)Previously filed and incorporated herein by reference to the Account’s Post-Effective Amendment No. 2 to the Registration Statement on Form S-1, filed with the Commission on April 30, 1996 (File No. 33-92990).

(5)Previously filed and incorporated herein by reference to Exhibit 4(A) to the Account’s Post-Effective Amendment No. 1 to the Registration Statement on Form S-1, filed with the Commission on May 2, 2005 (File No. 333-121493).

(6)Previously filed and incorporated herein by reference to the Account’s Pre-Effective Amendment No. 1 to the Registration Statement on Form S-1, filed with the Commission on April 29, 2004 (File No. 333-113602).

(7)Previously filed and incorporated by reference to Exhibit 4(C) to the Account’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2010 and filed with the Commission on November 12, 2010 (File No. 33-92990).

(8)Previously filed and incorporated herein by reference to Exhibit 10(B) to the Account's Annual Report on Form 10-K for the fiscal year ended December 31, 2012 and filed with the Commission on March 14, 2013 (File No. 33-92990).

(9)Previously filed and incorporated herein by reference to Exhibit 4(D)(1) and 4(D)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(10)Previously filed and incorporated herein by reference to Exhibit 4(E)(1) and 4(E)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(11)Previously filed and incorporated herein by reference to Exhibit 4(F)(1) and 4(F)(2) to the Account’s Registration Statement on Form S-1, filed with the Commission on March 21, 2017 (File No. 333-216849).

(12)Previously filed and incorporated herein by reference to Exhibit 4(G) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(13)Previously filed and incorporated herein by reference to Exhibit 4(H) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(14)Previously filed and incorporated herein by reference to Exhibit 4(I) to the Account’s Annual Report on Form 10-K, filed with the Commission on March 15, 2018 (File No. 333-216849).

(15)Previously filed and incorporated ~~herein~~ by reference to Exhibit 10.1 to the ~~Account’s~~Account's Current Report on Form 8-K, filed with the Commission on ~~March 1, 2018~~February 16, 2022 (File No. 33-92990).

(16)Previously filed and incorporated herein by reference to Exhibit 4(J)(1) and 4(J)(2) to the Account’s Current Report on Form 10-K, filed with the Commission on March 14, 2019 (File No. 33-92990).

(17)Previously filed and incorporated herein by reference to Exhibit 4(K) to the Account’s Current Report on Form 10-K, filed with the Commission on March 14, 2019 (File No. 33-92990).

(18)Previously filed and incorporated herein by reference to Exhibit 4(L)(1) and 4(L)(2) to the Account's Current Report on Form 10-K, filed with the Commission on March 12, 2020 (File No. 33-92990).

(19)Previously filed and incorporated herein by reference to ~~Account's~~Exhibit 4(M) to the Account’s Current Report on Form ~~8-K,~~10-K, filed with the Commission on ~~September 24, 2020~~March 11, 2021 (File No. 33-92990).

(20)Previously filed and incorporated herein by reference to Exhibit ~~4(M)~~4(N) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(21)Previously filed and incorporated herein by reference to Exhibit ~~4(N)~~4(O) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(22)Previously filed and incorporated herein by reference to Exhibit ~~4(O)~~4(P) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

(23)~~Previously filed and incorporated herein by reference to Exhibit 4(P) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).~~

~~(24)~~Previously filed and incorporated herein by reference to Exhibit 4(Q) to the Account’s Current Report on Form 10-K, filed with the Commission on March 11, 2021 (File No. 33-92990).

5952

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant, TIAA Real Estate Account, has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized, ~~in New York, New York,~~ on the ~~13th~~6th day of May ~~2021.~~2022.


	TIAA REAL ESTATE ACCOUNT

	By:	TEACHERS INSURANCE AND ANNUITY ASSOCIATION OF AMERICA

May ~~13, 2021~~6, 2022	By:	/s/ ~~Liza M. Tyler~~Christine E. Dugan
		~~Liza M. Tyler~~Christine E. Dugan ~~Senior Managing Director,~~Executive Vice President and Product General Manager –Institutional Lifetime Income, Teachers Insurance and Annuity Association of America ~~(Principal~~ (Principal Executive Officer)

May ~~13, 2021~~6, 2022	By:	/s/ Austin P. Wachter
		Austin P. Wachter ~~Senior~~ Executive Vice President, Chief Accounting Officer and Corporate Controller of Teachers Insurance and Annuity Association of America (Principal Financial and Accounting Officer)

6053


Property	Annual Interest Rate and Payment Frequency(2)	Principal Amounts Outstanding as of				Maturity
		March 31, 2021		December 31, 2020

Vista Station Office Portfolio(1)	4.20% paid monthly	$	43.8	$	43.9	November 1, 2025
701 Brickell Avenue	3.66% paid monthly	184.0		184.0		April 1, 2026
Marketplace at Mill Creek	3.82% paid monthly	39.6		39.6		September 11, 2027
Overlook At King Of Prussia	3.82% paid monthly	40.8		40.8		September 11, 2027
Winslow Bay	3.82% paid monthly	25.8		25.8		September 11, 2027
1900 K Street, NW	3.93% paid monthly	163.0		163.0		April 1, 2028
99 High Street	3.90% paid monthly	277.0		277.0		March 1, 2030
Total Principal Outstanding		$	2,377.0	$	2,381.3
Fair Value Adjustment(3)		26.6		30.1
Total Loans Payable		$	2,403.6	$	2,411.4


Property Name	Location	Property Type	Fair Value at
			March 31, 2021			December 31, 2020

River Ridge	Alabama	Retail	$	27.1		$	29.0
Riverchase Village	Alabama	Retail	36.1			36.1
Camelback Center	Arizona	Office	52.0			52.0
Riverside 202 Industrial	Arizona	Industrial	30.4			30.4
88 Kearny Street	California	Office	202.0			199.3
101 Pacific Coast Highway	California	Office	94.8			94.7
200 Middlefield Road	California	Office	60.3			60.2
30700 Russell Ranch	California	Office	39.5			36.5
Allure at Camarillo	California	Apartments	62.0			62.0
Almond Avenue	California	Land	23.4			13.4
BLVD63	California	Apartments	146.0			145.1
Bridgepointe Shopping Center	California	Retail	118.0			124.1
Centre Pointe and Valley View	California	Industrial	66.5			62.1
Cerritos Industrial Park	California	Industrial	180.2			171.8
Charleston Plaza	California	Retail	85.7			95.3
Creekside at Alta Loma	California	Apartments	86.0			85.5
Frontera Industrial Business Park	California	Industrial	104.1			101.2
Great West Industrial Portfolio	California	Industrial	222.1			215.1
Holly Street Village	California	Apartments	147.1		(1)	153.1		(1)
Larkspur Courts	California	Apartments	144.0			141.0
Northern CA RA Industrial Portfolio	California	Industrial	126.4			117.2
Oakmont IE West Portfolio	California	Industrial	128.5			123.9
Oceano at Warner Center	California	Apartments	89.0			90.1
Ontario Industrial Portfolio	California	Industrial	591.8			540.4
Ontario Mills Industrial Portfolio	California	Industrial	83.5			79.2
Otay Mesa Industrial Portfolio	California	Industrial	42.8			40.2
Pacific City	California	Retail	158.0		(1)	158.0
Pacific Plaza	California	Office	123.1			111.0
Rancho Cucamonga Industrial Portfolio	California	Industrial	105.0			95.4
Rancho Del Mar	California	Apartments	93.5			93.5
Regents Court	California	Apartments	105.0		(1)	103.0		(1)
Southern CA RA Industrial Portfolio	California	Industrial	182.2			160.9
Stella	California	Apartments	158.1			161.0
Stevenson Point	California	Industrial	76.8			75.0
Terra House	California	Apartments	145.2			140.2
The Forum at Carlsbad	California	Retail	203.0		(1)	203.0		(1)
The Legacy at Westwood	California	Apartments	149.0		(1)	149.1		(1)
West Lake North Business Park	California	Office	58.5			58.3
Westcreek	California	Apartments	52.2			55.4
Westwood Marketplace	California	Retail	161.0			150.0
Wilshire Rodeo Plaza	California	Office	312.0			311.4
1600 Broadway	Colorado	Office	119.0			116.0
Palomino Park	Colorado	Apartments	394.0			352.1
South Denver Marketplace	Colorado	Retail	63.4			65.1
Wilton Woods Corporate Campus	Connecticut	Office	94.7			100.0
5 West	Florida	Apartments	63.0			63.0
701 Brickell Avenue	Florida	Office	436.2		(1)	421.5		(1)
Boca Arbor Club	Florida	Apartments	65.9			63.9


Property/Entity Name			Property Type	Fair Value at
	Account Interest	Location		March 31, 2021			December 31, 2020

Colorado Center LP Colorado Center	50.00%	California	Office	$	341.8	(2)	$	346.4	(2)
TREA GM Industrial Road Owner LLC 150 Industrial Road	98.00%	California	Office	125.6			101.2
ARE-SD Region No 39 LLC 9625 Towne Centre Drive	49.90%	California	Office	61.7			60.6
TREA Campus Pointe 1, LLC Campus Pointe 1	45.00%	California	Office	182.4			177.3
TREA Campus Pointe 2 & 3, LLC Campus Pointe 2 & 3	45.00%	California	Office (5)	159.8			154.7
ARE-SD Region No 47 LLC Campus Pointe 4	45.00%	California	Office	12.2			11.2
TREA Campus Pointe 5, LLC Campus Pointe 5	45.00%	California	Office	48.2			45.0
ARE-SD Region No 58, LLC Campus Pointe 6	45.00%	California	Office	135.4			130.6
ARE-San Francisco No 36 LLC 1500 Owens Street	49.90%	California	Office	92.1			89.8
TREA JP Venture Fairfield LLC Fairfield Tolenas Development	95.00%	California	Land	34.1			26.6
T-C Foundry Square II Venture LLC Foundry Square II	50.10%	California	Office	305.9			307.5
ARE-San Francisco No 43 LLC 409-499 Illinois Street	40.00%	California	Office	248.0			242.8
Valencia Town Center Associates LP Valencia Town Center	50.00%	California	Retail	89.6		(2)	93.0		(2)
Florida Mall Associates, Ltd The Florida Mall	50.00%	Florida	Retail	654.3		(2)	655.8		(2)
TREA Florida Retail, LLC Florida Retail Portfolio	80.00%	Florida	Retail	142.3			155.5
West Dade County Associates Miami International Mall	50.00%	Florida	Retail	99.6		(2)	110.0		(2)
WP Project Developer The Shops at Wisconsin Place	33.33%	Maryland	Retail	15.9			17.2
One Boston Place REIT One Boston Place	50.25%	Massachusetts	Office	261.1			259.3
ARE-MA Region No 34 LLC 225 Binney Street	70.00%	Massachusetts	Office	234.4			233.6


				Issuer	Yield(4)	Maturity Date	Fair Value at
Principal							March 31, 2021		December 31, 2020
2021		2020

$	4.0	$	—	Farmer Mac Discount Note	0.010%	4/1/2021	$	4.0	$	—
15.0		15.0		Farmer Mac Discount Note	0.127%	12/20/2021	15.0		15.0
6.0		—		Federal Farm Credit Bank Discount Note	0.010%	4/6/2021	6.0		—
0.9		—		Federal Home Loan Bank Discount Note	0.010%	4/23/2021	0.9		—
15.0		—		Federal Home Loan Bank Discount Note	0.010%	5/3/2021	15.0		—
30.0		—		Federal Home Loan Bank Discount Note	0.040%	5/10/2021	30.0		—
—		24.0		Federal Home Loan Bank Discount Note	0.086%	5/19/2021	—		24.0
71.4		65.0		Federal Home Loan Bank Discount Note	0.010%-0.091%	5/26/2021	71.4		65.0
29.0		—		Federal Home Loan Bank Discount Note	0.030%	6/16/2021	29.0		—
20.0		—		Federal Home Loan Bank Discount Note	0.020%	6/30/2021	20.0		—
8.0		—		Federal Home Loan Bank Discount Note	0.050%	8/11/2021	8.0		—
11.0		—		Federal Home Loan Bank Discount Note	0.060%	8/18/2021	11.0		—
21.2		—		Federal Home Loan Bank Discount Note	0.056%	9/3/2021	21.2		—
20.0		—		Federal Home Loan Bank Discount Note	0.060%	9/8/2021	20.0		—
13.0		—		Federal Home Loan Bank Discount Note	0.050%	9/24/2021	13.0		—
53.0		43.0		Federal Home Loan Bank Discount Note	0.035%-0.101%	10/29/2021	53.1		43.0
13.4		10.0		Federal Home Loan Bank Discount Note	0.035%-0.091%	11/19/2021	13.4		10.0
8.0		—		Tennessee Valley Authority Discount Note	0.020%	4/14/2021	8.0		—
TOTAL U.S. GOVERNMENT AGENCY NOTES (Cost $339.0 and $157.0)							$	339.0	$	157.0


Principal				Issuer	Yield / Coupon Rate(4)	Maturity Date	Fair Value at
							March 31, 2021		December 31, 2020
2021		2020

$	—	$	24.1	United States Treasury Bill	0.071%	1/19/2021	$	—	$	24.1
—		84.0		United States Treasury Bill	0.091%	1/21/2021	—		84.0
—		100.0		United States Treasury Bill	0.094%	1/28/2021	—		100.0
—		50.0		United States Treasury Bill	0.091%	2/23/2021	—		50.0
—		47.8		United States Treasury Bill	0.092%	3/2/2021	—		47.8
—		80.0		United States Treasury Bill	0.092%	3/11/2021	—		79.9
81.0		—		United States Treasury Bill	0.075%	4/20/2021	81.0		—
25.0		—		United States Treasury Bill	0.040%	5/20/2021	25.0		—
43.4		—		United States Treasury Bill	0.040%	6/17/2021	43.4		—
50.0		—		United States Treasury Bill	0.050%	8/26/2021	50.0		—
—		5.0		United States Treasury Cash Management Bill	0.010%	1/5/2021	—		5.0
—		56.5		United States Treasury Cash Management Bill	0.108%	1/12/2021	—		56.5
—		85.0		United States Treasury Cash Management Bill	0.086%	3/9/2021	—		85.0
50.0		50.0		United States Treasury Cash Management Bill	0.100%	4/13/2021	50.0		50.0
50.0		—		United States Treasury Cash Management Bill	0.040%	6/29/2021	50.0		—
91.8		—		United States Treasury Cash Management Bill	0.041%-0.047%	7/6/2021	91.8		—
50.0		—		United States Treasury Cash Management Bill	0.050%	7/13/2021	50.0		—
50.0		—		United States Treasury Cash Management Bill	0.0005	7/20/2021	50.0		—
TOTAL UNITED STATES TREASURY SECURITIES (Cost $491.0 and $582.3)							$	491.2	$	582.3


		Borrower	Property Type	Interest Rate(6)	Maturity Date	Fair Value at
Principal						March 31, 2021		December 31, 2020
2021	2020

90.6	89.7	311 South Wacker Mezzanine	Office	4.70% + LIBOR	6/7/2021	$	87.7	$	86.5
60.0	60.0	River North Point Junior Mezzanine	Office	4.30% + LIBOR	7/9/2021	60.0		59.2
67.7	68.6	Blackstone RioCan Retail Portfolio Mezzanine	Retail	4.65% + LIBOR	7/9/2021	65.8		66.5
60.0	60.0	SoNo Collection Mezzanine	Retail	6.75% + LIBOR	8/6/2021	60.0		60.0
124.7	124.7	Project Glacier Mezzanine	Industrial	4.40% + LIBOR	10/9/2021	124.7		124.7
16.7	16.7	Liberty Park	Office	6.08%	11/9/2021	16.6		16.6
125.0	125.0	State Street Financial Center Mezzanine	Office	6.50%	11/10/2021	121.9		122.0
54.3	54.3	SCG Oakland Portfolio	Office	4.25% + LIBOR	3/1/2022	54.3		54.3
20.0	20.0	Modera Observatory Park Mezzanine	Apartments	4.34% + LIBOR	6/10/2022	19.7		19.7
17.1	—	San Diego Office Portfolio Mezzanine	Office	2.45% + LIBOR	8/9/2022	16.0		16.1
51.2	—	San Diego Office Portfolio Senior Loan	Office	2.45% + LIBOR	8/9/2022	51.5		51.6
20.8	20.8	Rosemont Towson Mezzanine	Apartments	4.15% + LIBOR	9/9/2022	20.7		20.7
31.3	33.8	Colony New England Hotel Portfolio Mezzanine	Hotel	2.80% + LIBOR	11/9/2022	29.6		30.5
93.9	101.4	Colony New England Hotel Portfolio Senior Loan	Hotel	2.80% + LIBOR	11/9/2022	94.4		99.4
33.9	33.9	Exo Apartments Mezzanine	Apartments	2.30% + LIBOR	1/9/2023	32.2		32.0