1. Organization CNL Healthcare Properties, Inc. (Company) was incorporated on June 8, 2010 and elected to be taxed as a real estate investment trust (REIT) for U.S. federal income tax purposes beginning with the year ended December 31, 2012.The Company is externally advised by CNL Healthcare Corp. (Advisor) and its property manager is CNL Healthcare Manager Corp. (Property Manager), each of which is an affiliate of CNL Financial Group, LLC (Sponsor).The Sponsor is an affiliate of CNL Financial Group, Inc. (CNL) and CNL Securities Corp. (Managing Dealer), the managing dealer of the Companys public offerings (Offerings).The Advisor is responsible for managing the Companys affairs on a day-to-day basis and for identifying and making acquisitions and investments on behalf of the Company pursuant to an advisory agreement among the Company, the operating partnership and the Advisor.Substantially all of the Companys acquisition, operating, administrative and certain property management services are provided by affiliates of the Advisor and the Property Manager.In addition, third-party sub-property managers have been engaged to provide certain property management services. The Company conducts substantially all of its operations either directly or indirectly through: (1) an operating partnership, CHP Partners, LP, in which the Company is the sole limited partner and its wholly owned subsidiary, CHP GP, LLC, is the sole general partner; (2) a wholly owned taxable REIT subsidiary (TRS), CHP TRS Holding, Inc.; (3) property owner subsidiaries and lender subsidiaries, which are single purpose entities; and (4) investments in joint ventures. On September 30, 2015, the Company completed its Offerings pursuant to a registration statement on Form S-11 under the Securities Act of 1933 with the Securities and Exchange Commission (SEC).In October 2015, the Company deregistered the unsold shares of its common stock under its previous registration statement on Form S-11, except for 20,000,000 shares