What changed in this filing

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Item 1. Financial Statements

2026-08-13 compared with 2026-05-07 · 366 added, 227 removed, 929 unchanged (39% of the section changed)

14 unchanged sentences

Restricted cash

Investment in unconsolidated real estate funds

Investment in unconsolidated real estate fund

Accounts receivable, prepaids and other assets, net

12 unchanged sentences

6.0 % Series A Redeemable Preferred Stock, liquidation preference $ 25.00 per share, 30,000,000 shares authorized;

6,473,063 and 6,288,703 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

6,457,698 and 6,288,703 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively

7.5 % Series B Redeemable Preferred Stock, liquidation preference $ 25.00 per share, 14,000,000 shares authorized;

104,288 and no shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

351,304 and no shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively

Stockholders’ Equity

Preferred stock, $ 0.01 par value, 206,000,000 shares authorized;

no shares issued and outstanding at March 31, 2026 and December 31, 2025

no shares issued and outstanding at June 30, 2026 and December 31, 2025

Common stock - Class A, $ 0.01 par value, 562,500,000 shares authorized;

4,043,514 and 4,047,114 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

4,099,539 and 4,047,114 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively

Common stock - Class C, $ 0.01 par value, 187,500,000 shares authorized;

8,489 shares issued and outstanding at March 31, 2026 and December 31, 2025

8,489 shares issued and outstanding at June 30, 2026 and December 31, 2025

Additional paid-in-capital

Cumulative earnings in excess of distributions

Accumulated other comprehensive gain

Accumulated (deficit) earnings

Accumulated other comprehensive income

Total Stockholders’ Equity

9 unchanged sentences

Three Months Ended

Six Months Ended

Rental and other property revenues

16 unchanged sentences

Gain on sale of real estate investments, net

Gain on sale of available-for-sale investments, net

Loss on extinguishment of debt costs

1 unchanged sentence

Interest income

Total other expense

Total other (expense) income

Loss before income taxes

12 unchanged sentences

Other comprehensive income

Unrealized gain on available for sale investments

Unrealized gain on available-for-sale investments, net

Less unrealized gain attributable to Operating partnership units

4 unchanged sentences

BLUEROCK HOMES TRUST, INC.

FOR THE THREE MONTHS ENDED MARCH 31, 2026

FOR THE THREE MONTHS ENDED JUNE 30, 2026

CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY (Unaudited)

4 unchanged sentences

Noncontrolling

Balance, January 1, 2026

(Forfeiture) issuance of restricted Class A common stock for equity incentive plan compensation

Balance, April 1, 2026

Issuance of restricted Class A common stock for equity incentive plan compensation, net of shares withheld for employee taxes and forfeitures

Issuance of long-term incentive plan units (“LTIP Units”) for equity incentive plan compensation

Issuance of C-LTIP Units to Bluerock Homes Manager, LLC (“Manager”)

Issuance of C-LTIP Units to Bluerock Homes Manager, LLC (the “Manager”)

Common stock distributions declared

11 unchanged sentences

Net income (loss)

Balance, March 31, 2026

Balance, June 30, 2026

See Notes to Consolidated Financial Statements

BLUEROCK HOMES TRUST, INC.

FOR THE THREE MONTHS ENDED MARCH 31, 2025

FOR THE THREE MONTHS ENDED JUNE 30, 2025

CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY (Unaudited)

4 unchanged sentences

Noncontrolling

Balance, April 1, 2025

Issuance of restricted Class A common stock for equity incentive plan compensation, net of shares withheld for employee taxes and forfeitures

Issuance of LTIP Units for equity incentive plan compensation

Issuance of C-LTIP Units to the Manager

Common stock distributions declared

Series A Preferred Stock distributions declared

Series A Preferred Stock accretion

Distributions to Operating Partnership noncontrolling interests

Distributions to partially owned properties’ noncontrolling interests

Contributions from noncontrolling interests

Total comprehensive income

Cash redemption of Operating Partnership Units

Holder redemption of Series A Preferred Stock and conversion into Class A common stock

Cash redemption of Series A Preferred Stock

Adjustment for noncontrolling interest ownership in the Operating Partnership

Adjustment for noncontrolling interest ownership in partially owned properties

Net income (loss)

Balance, June 30, 2025

See Notes to Consolidated Financial Statements

BLUEROCK HOMES TRUST, INC.

FOR THE SIX MONTHS ENDED JUNE 30, 2026

CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY (Unaudited)

(In thousands, except share amounts)

Class A Common Stock

Class C Common Stock

Comprehensive

Noncontrolling

Balance, January 1, 2026

Issuance of restricted Class A common stock for equity incentive plan compensation, net of shares withheld for employee taxes and forfeitures

Issuance of LTIP Units for equity incentive plan compensation

Issuance of C-LTIP Units to the Manager

Common stock distributions declared

Series A Preferred Stock distributions declared

Series A Preferred Stock accretion

Series B Preferred Stock distributions declared

Series B Preferred Stock accretion

Distributions to Operating Partnership noncontrolling interests

Distributions to partially owned properties’ noncontrolling interests

Contributions from noncontrolling interests

Total comprehensive income

Cash redemption of Series A Preferred Stock

Adjustment for noncontrolling interest ownership in the Operating Partnership

Adjustment for noncontrolling interest ownership in partially owned properties

Net income (loss)

Balance, June 30, 2026

See Notes to Consolidated Financial Statements

BLUEROCK HOMES TRUST, INC.

FOR THE SIX MONTHS ENDED JUNE 30, 2025

CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY (Unaudited)

(In thousands, except share amounts)

Class A Common Stock

Class C Common Stock

Comprehensive

Noncontrolling

(Loss) Income

Balance, January 1, 2025

(Forfeiture) issuance of restricted Class A common stock for equity incentive plan compensation

Issuance of restricted Class A common stock for equity incentive plan compensation, net of shares withheld for employee taxes and forfeitures

Issuance of LTIP Units for equity incentive plan compensation

Issuance of C-LTIP Units to Manager

Issuance of C-LTIP Units to the Manager

Common stock distributions declared

5 unchanged sentences

Total comprehensive income

Cash redemption of Operating Partnership Units

Holder redemption of Series A Preferred Stock and conversion into Class A common stock

Cash redemption of Series A Preferred Stock

Adjustment for noncontrolling interest ownership in the Operating Partnership

1 unchanged sentence

Net income (loss)

Balance, March 31, 2025

Balance, June 30, 2025

See Notes to Consolidated Financial Statements

2 unchanged sentences

(In thousands)

Three Months Ended

Six Months Ended

Cash flows from operating activities

6 unchanged sentences

Impairment of real estate investments

Gain on sale of available-for-sale investments, net

Fair value adjustment of interest rate caps and swaps

3 unchanged sentences

Distributions of income from preferred equity investments

Distributions from investments in unconsolidated real estate funds

Distributions of income from investments in unconsolidated real estate funds

Share-based compensation attributable to equity incentive plan

1 unchanged sentence

Changes in operating assets and liabilities:

Due from affiliates, net

Due (from) to affiliates, net

Accounts receivable, prepaids and other assets

5 unchanged sentences

Capital expenditures

Repayments on notes receivable

Proceeds from sale of real estate investments

Investment in preferred equity investments

Net cash provided by investing activities

Purchase of interest rate cap

Proceeds from sale of real estate investments

Proceeds from sale and redemption of preferred equity investments

Investment in unconsolidated real estate fund

Repayments on notes receivable

Net cash used in investing activities

Cash flows from financing activities:

4 unchanged sentences

Contributions from noncontrolling interests

Borrowings on mortgages payable

Repayments on mortgages payable

Proceeds from revolving credit facilities

Repayments on revolving credit facilities

Payments of deferred financing fees

Shares withheld for employee taxes upon vesting of awards

Net proceeds from issuance of 6.0 % Series A Redeemable Preferred Stock

1 unchanged sentence

Net proceeds from issuance of 7.5 % Series B Redeemable Preferred Stock

Net cash used in financing activities

Net (decrease) increase in cash, cash equivalents and restricted cash

Payments to redeem Operating Partnership Units

Net cash provided by financing activities

Net increase in cash, cash equivalents and restricted cash

Cash, cash equivalents and restricted cash, beginning of year

11 unchanged sentences

Distributions payable to preferred stockholders – declared and unpaid

Repayment of revolving credit facility with borrowings on mortgages payable

Capital expenditures held in accounts payable and other accrued liabilities

9 unchanged sentences

The Company’s Value-Add strategy focuses on repositioning lower-quality, less current assets to drive rent growth and expand margins to increase net operating income and maximize the Company’s return on investment.

As of March 31, 2026, the Company held twenty-four real estate investments, consisting of eighteen consolidated investments, five preferred equity investments, and one unconsolidated real estate fund investment.

As of June 30, 2026, the Company held twenty-four real estate investments, consisting of eighteen consolidated investments, five preferred equity investments, and one unconsolidated real estate fund investment.

The twenty-three consolidated and preferred equity investments represent an aggregate of 5,420 residential units, comprised of 4,271 consolidated units, of which 410 units are under development or in lease-up, and 1,149 units through preferred equity investments, which includes planned units and those under development.

8 unchanged sentences

The consolidated financial statements include the Company’s accounts and those of the Operating Partnership and its subsidiaries.

As of March 31, 2026, limited partners other than the Company owned approximately 69.50 % of the common units of the Operating Partnership, of which 55.44 % were held by holders of limited partnership interest in the Operating Partnership (“OP Units”) and 14.06 % were held by holders of the Operating Partnership’s long-term incentive plan units (“LTIP Units”), including 2.36 % which were not vested at March 31, 2026.

Certain amounts in prior year financial statement presentation have been reclassified to conform to the current year presentation.

Specifically, impairment of real estate amounts that were previously included with gains on sales of real estate in a single line item on the consolidated statements of operations and comprehensive income (loss) are now presented separately within impairment of real estate investments.

In addition, in-place lease intangible assets that were previously presented as a separate line item on the consolidated balance sheets have been reclassified and are included within other intangible assets, net.

As of June 30, 2026, limited partners other than the Company owned approximately 69.48 % of the common units of the Operating Partnership, of which 54.71 % were held by holders of limited partnership interest in the Operating Partnership (“OP Units”) and 14.77 % were held by holders of the Operating Partnership’s long-term incentive plan units (“LTIP Units”), including 2.50 % which were not vested at June 30, 2026.

Certain prior year amounts have been reclassified to conform to the current year presentation.

Specifically, impairment of real estate amounts that were previously included with gains on sales of real estate in a single line item on the consolidated statements of operations and comprehensive income (loss) and on the consolidated statement of cash flows are now presented separately within impairment of real estate investments.

These reclassifications had no impact on net income (loss) as reported in the consolidated statements of operations and comprehensive income (loss), total assets, liabilities or equity as reported in the consolidated balances sheets, or the classifications within the consolidated statements of cash flows.

1 unchanged sentence

Refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 as filed with the Securities and Exchange Commission (“SEC”) on February 27, 2026 for discussion of the Company’s significant accounting policies.

During the three months ended March 31, 2026, there were no material changes to these policies.

During the six months ended June 30, 2026, there were no material changes to these policies.

Consolidated Investments in Real Estate, Preferred Equity Investments, Notes Receivable and Unconsolidated Funds

15 unchanged sentences

For investments that meet the criteria of a security under ASC 320 Investments – Debt Securities , the Company classifies each investment as an available-for-sale (“AFS”) debt security as it does not have the positive intent to hold all investments to maturity.

The Company accounts for these investments as preferred equity investments in its consolidated balance sheets, and it earns a fixed return on these investments which is included within income from preferred equity investments in its consolidated statements of operations and comprehensive income (loss).

AFS debt securities are carried at fair value in the Company’s consolidated balance sheets, and any unrealized gains or losses on AFS debt securities are reported as a component of accumulated other comprehensive income in its consolidated balance sheets, and as a component of other comprehensive income in its consolidated statements of operations and comprehensive income (loss).

The Company accounts for these investments as preferred equity investments on its consolidated balance sheets, and it earns a fixed return on these investments which is included within income from preferred equity investments on its consolidated statements of operations and comprehensive income (loss).

AFS debt securities are carried at fair value on the Company’s consolidated balance sheets, and any unrealized gains or losses on AFS debt securities are reported as a component of accumulated other comprehensive income (loss) on its consolidated balance sheets, and as a component of other comprehensive income (loss) on its consolidated statements of operations and comprehensive income (loss).

The Company evaluates each AFS debt security that has an unrealized loss recorded at the reporting date for a provision for credit loss, as applicable.

Refer to the Current Expected Credit Losses (“CECL”) section of this Note for further information regarding CECL and the Company’s provision for credit losses.

As of March 31, 2026 and December 31, 2025, the Company classifies all preferred equity investments as AFS debt securities as it does not have the positive intent to hold all such investments to maturity.

As of June 30, 2026 and December 31, 2025, the Company classifies all preferred equity investments as AFS debt securities as it does not have the positive intent to hold all such investments to maturity.

For investments that do not meet the criteria of a security under ASC 320 Investments – Debt Securities , the Company evaluates the characteristics and the facts and circumstances to determine if loan accounting treatment is appropriate.

10 unchanged sentences

The Company amortizes the value of in-place leases to expense over the remaining non-cancelable term of the respective leases, which is on average six months .

Amortization expense related to in-place leases was $ 1.5 million and $ 1.9 million for the three months ended March 31, 2026 and 2025, respectively.

The following table summarizes the Company’s in-place lease intangible assets at March 31, 2026 and December 31, 2025 (amounts in thousands):

Amortization expense related to in-place leases was $ 0.6 million and $ 1.2 million, and $ 2.1 million and $ 3.1 million, for the three and six months ended June 30, 2026 and 2025, respectively.

The following table summarizes the Company’s in-place lease intangible assets at June 30, 2026 and December 31, 2025 (amounts in thousands):

Gross carrying value

1 unchanged sentence

Net carrying value

The following table summarizes the Company’s in-place lease activity for the three months ended March 31, 2026 and year ended December 31, 2025 (amounts in thousands):

The following table summarizes the Company’s in-place lease activity for the six months ended June 30, 2026 and year ended December 31, 2025 (amounts in thousands):

Beginning balances as of January 1, 2026 and 2025, respectively

In-place lease intangible assets, net, end of period

At March 31, 2026, the Company’s estimated aggregate amortization of its in-place lease intangible assets for the next five years is $ 0.6 million, with the full amount expected to be incurred in 2026 and no amount thereafter.

Real estate tax abatement - In connection with the acquisition of Skytop Apartments in September 2025, the Company allocated approximately $ 5.5 million of the purchase price to a real estate tax abatement, which is recorded within other intangible assets, net on the Company’s consolidated balance sheets.

The tax abatement is being amortized on a straight-line basis over its estimated remaining useful life of approximately 12.8 years.

During the three months ended March 31, 2026, the Company recorded amortization expense of $ 0.1 million related to the tax abatement.

The following table summarizes the real estate tax abatement at March 31, 2026 (amounts in thousands):

During the three and six months ended June 30, 2026, the Company recorded amortization expense of $ 0.1 million and $ 0.2 million, respectively, related to the tax abatement.

The following table summarizes the real estate tax abatement at June 30, 2026 and December 31, 2025 (amounts in thousands):

Gross carrying value

1 unchanged sentence

Net carrying value

The following table presents the estimated future amortization expense of the real estate tax abatement as of March 31, 2026 (amounts in thousands):

The following table presents the estimated future amortization expense of the real estate tax abatement as of June 30, 2026 (amounts in thousands):

Impairment of Operating Real Estate Assets

6 unchanged sentences

Fair value is determined by using valuation techniques appropriate to the specific operating asset, which may include discounted cash flow analysis or a broker’s opinion of value.

No impairment losses on operating real estate and related intangible assets were recorded during the three months ended March 31, 2026 and 2025.

No impairment losses on operating real estate and related intangible assets were recorded during the three and six months ended June 30, 2026 and 2025.

Held for Sale Real Estate Assets

1 unchanged sentence

Real estate assets classified as held for sale are reported at the lower of their carrying value or estimated fair value less costs to sell and are presented separately within operating real estate held for sale, net on the consolidated balance sheets.

At March 31, 2026 and December 31, 2025, the Company classified an aggregate of 58 units and 107 units, respectively, as held for sale on its consolidated balance sheets, with all units reported in the Company’s scattered single-family homes segment.

At March 31, 2025, the Company classified an aggregate of 138 units as held for sale.

For the three months ended March 31, 2026 and 2025, the Company recorded impairments of $ 0.6 million and $ 0.1 million, respectively, related to held for sale units which is included in impairment of real estate investments on its consolidated statements of operations and comprehensive income (loss).

At June 30, 2026 and December 31, 2025, the Company classified an aggregate of 81 units and 107 units, respectively, as held for sale on its consolidated balance sheets, with all units reported in the Company’s scattered single-family homes segment.

At June 30, 2025, the Company classified an aggregate of 94 units as held for sale.

For the three and six months ended June 30, 2026 and 2025, the Company recorded impairments of $ 0.5 million and $ 0.1 million, and $ 1.1 million and $ 0.2 million, respectively, related to held for sale units which is included in impairment of real estate investments on its consolidated statements of operations and comprehensive income (loss).

The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, and has qualified since the taxable year ended December 31, 2022.

7 unchanged sentences

The Company’s operating partnerships are flow-through entities which are generally not subject to income taxes.

Income taxes for the three months ended March 31, 2026 and 2025 were comprised mainly of state income and franchise taxes and federal income taxes related to the taxable REIT subsidiaries.

Income taxes for the three and six months ended June 30, 2026 and 2025 were comprised mainly of state income and franchise taxes and federal income taxes related to the taxable REIT subsidiaries.

The Company records these amounts in income tax expense on the Company’s consolidated statements of operations and comprehensive income (loss).

42 unchanged sentences

As such, a provision for credit loss is recorded, limited by the amount that the fair value is less than the amortized cost basis.

Any remaining noncredit loss component of unrealized loss would be recognized as a component of other comprehensive income.

Any remaining noncredit loss component of unrealized loss would be recognized as a component of other comprehensive income (loss).

Changes in the provision for credit loss are recorded as a provision for (or recovery of) credit loss expense.

16 unchanged sentences

Parkside at Summers Corner

On February 26, 2026, the Company acquired, with full ownership interest, an additional 10 units at Parkside at Summers Corner located in Summerville, South Carolina for an aggregate purchase price of $ 2.6 million.

Units are to be acquired in tranches as construction is completed, and as of March 31, 2026, the Company had acquired 22 of the total 100 units it has committed to purchase.

During 2026, the Company acquired, with full ownership interest, an additional 40 units at Parkside at Summers Corner for an aggregate purchase price of $ 10.3 million.

Units are to be acquired in tranches as construction is completed, and as of June 30, 2026, the Company acquired 52 of the total 100 units it has committed to purchase.

Purchase Price Allocation

The real estate acquisition above has been accounted for as an asset acquisition.

The purchase price was allocated to the acquired assets based on their estimated fair values at the date of acquisition.

The following table summarizes the assets acquired at the acquisition date for the 10 units at Parkside at Summers Corner (amounts in thousands).

The Company made no real estate acquisitions during the three months ended March 31, 2025.

The real estate acquisitions described above have been accounted for as asset acquisitions.

The purchase prices were allocated to the acquired assets based on their respective estimated fair values at the acquisition dates.

The following table summarizes the allocation of the purchase price to the assets acquired for acquisitions completed during the six months ended June 30, 2026 and 2025 (amounts in thousands):

Six Months Ended June 30,

Purchase Price Allocation

Building improvements

1 unchanged sentence

Furniture and fixtures

Other intangible assets, net

Total assets acquired (1)

(1) The $ 2.7 million of total assets acquired includes $ 0.1 million of acquisition expenses that have been capitalized as the acquisition of the 10 units at Parkside at Summers Corner has been accounted for as an asset acquisition.

Note 4 – Sale of Real Estate Assets and Held for Sale Real Estate Assets

Sale of Consolidated Operating Units

During the first quarter 2026, the Company closed on the following sales:

(1) For 2026, the $ 10.7 million of total assets acquired includes $ 0.3 million of acquisition expenses that have been capitalized as the 40 units acquired at Parkside at Summers Corner have been accounted for as asset acquisitions.

For 2025, the $ 58.7 million of total assets acquired includes $ 2.1 million of acquisition expenses that have been capitalized as the acquisitions have been accounted for as asset acquisitions.

Note 4 – Sale of Real Estate Assets

Sales of Consolidated Operating Units

During the three months ended June 30, 2026, the Company closed on the following sales:

25 units in the Ballast portfolio, 28 units in the Golden Pacific portfolio, 4 units in the ILE portfolio, 2 units in the Indy-Springfield portfolio, and 2 units in the Peak JV 2 portfolio, pursuant to the terms and conditions of multiple separate purchase and sale agreements.

The 61 units, including 31 units classified as held for sale as of March 31, 2026, were all previously classified as held for sale and sold for an aggregate of approximately $ 17.8 million, subject to certain closing costs, prorations and adjustments typical in such real estate transactions.

After deducting the paydown of existing mortgage indebtedness encumbering 2 units in the ILE portfolio of approximately $ 0.3 million, the sales of the 61 units generated net proceeds of approximately $ 15.7 million and a gain on sales of approximately $ 0.3 million.

The gain on sales is included in gain on sale of real estate investments, net on the Company’s consolidated statements of operations and comprehensive income (loss).

During the six months ended June 30, 2026, the Company closed on the following sales:

35 units in the Ballast portfolio, 47 units in the Golden Pacific portfolio, 29 units in the ILE portfolio, 8 units in the Indy-Springfield portfolio, 31 units in the Peak JV 2 portfolio, and the remaining 42 units in the Peak JV 3 portfolio, pursuant to the terms and conditions of multiple separate purchase and sale agreements.

The 131 units were all previously classified as held for sale and sold for an aggregate of approximately $ 22.0 million, subject to certain closing costs, prorations and adjustments typical in such real estate transactions.

The 192 units, including 92 units classified as held for sale as of December 31, 2025, were all previously classified as held for sale and sold for an aggregate of approximately $ 39.8 million, subject to certain closing costs, prorations and adjustments typical in such real estate transactions.

After deducting the paydown of existing mortgage indebtedness encumbering 27 units in the ILE portfolio of approximately $ 3.8 million, the sales of the 192 units generated net proceeds of approximately $ 33.0 million and a gain on sales of approximately $ 0.9 million.

1 unchanged sentence

Held for Sale

The 58 units classified as held for sale at March 31, 2026 are included in the following portfolios:

19 units of Ballast, 22 units of Golden Pacific, 1 unit of ILE, 12 units of Indy-Springfield, and 4 units of Peak JV 2.

At March 31, 2025, the Company classified an aggregate of 138 units as held for sale, with all units reported in the Company’s scattered single-family homes segment.

As of June 30, 2026 and December 31, 2025, the Company classified an aggregate of 81 units and 107 units, respectively, as held for sale on its consolidated balance sheets, with all units reported in the Company’s scattered single-family homes segment.

The 81 units classified as held for sale at June 30, 2026 are included in the following portfolios:

16 units of Ballast, 45 units of Golden Pacific, 8 units of ILE, 10 units of Indy-Springfield, and 2 units of Peak JV 2.

As of June 30, 2025, the Company classified an aggregate of 94 units as held for sale, with all units reported in the Company’s scattered single-family homes segment.

Units classified as held for sale were identified based on submarket analysis and individual unit-level operational review.

2 unchanged sentences

Note 5 - Investments in Real Estate

As of March 31, 2026, the Company held eighteen consolidated investments and five preferred equity investments.

As of June 30, 2026, the Company held eighteen consolidated investments and five preferred equity investments.

The following tables provide summary information regarding the Company’s consolidated investments and preferred equity investments.

30 unchanged sentences

(1) Total number of units includes an aggregate of 81 units classified as held for sale, with such units included in the following portfolios:

19 units of Ballast, 22 units of Golden Pacific, 1 unit of ILE, 12 units of Indy-Springfield, and 4 units of Peak JV 2.

16 units of Ballast, 45 units of Golden Pacific, 8 units of ILE, 10 units of Indy-Springfield, and 2 units of Peak JV 2.

(2) Amira at Westly and Skytop Apartments are held through the Company’s DST Program (refer to Note 9 for further information).

1 unchanged sentence

(3) District at Parkview and Southern Pines Reserve are held through the Company’s DST Program.

(4) Represents a development project with no units delivered as of March 31, 2026.

(4) Represents a development project with no units delivered as of June 30, 2026.

(5) Parkside at Summers Corner represents a development project with units to be acquired in tranches as construction is completed.

Of the total 100 units that the Company has committed to acquire, 22 units had been acquired as of March 31, 2026.

Depreciation expense was $ 7.3 million and $ 5.6 million for the three months ended March 31, 2026 and 2025, respectively.

Of the total 100 units that the Company has committed to acquire, 52 units had been acquired as of June 30, 2026.

Depreciation expense was $ 7.2 million and $ 6.0 million, and $ 14.4 million and $ 11.6 million, for the three and six months ended June 30, 2026 and 2025, respectively.

Intangibles related to the Company’s consolidated investments in real estate consist of the value of in-place leases.

Amortization expense related to the in-place leases was $ 1.5 million and $ 1.9 million for the three months ended March 31, 2026 and 2025, respectively.

Amortization expense related to the in-place leases was $ 0.6 million and $ 1.2 million, and $ 2.1 million and $ 3.1 million, for the three and six months ended June 30, 2026 and 2025, respectively.

Preferred Equity Investments

3 unchanged sentences

Canvas at Wildwood

Brunswick, GA

Sanford Marketplace

Total Development Units

Lease-up Investment Name

Brunswick, GA

Total Lease-up Units

Operating Investment Name (1)

4 unchanged sentences

Note 6 – Notes and Interest Receivable

At March 31, 2026 and December 31, 2025, the Company held no loan investments and there were no outstanding interest receivable amounts due to the Company.

At June 30, 2026 and December 31, 2025, the Company held no loan investments and there were no outstanding interest receivable amounts due to the Company.

Allowance for Credit Losses

The allowance for credit losses of the Company’s loan investments at December 31, 2025 is summarized in the table below (amounts in thousands).

The Company had no allowance for credit loss activity on loan investments during the period ended March 31, 2026.

The Company had no allowance for credit loss activity on loan investments during the period ended June 30, 2026.

Beginning balance, net as of January 1, 2025

3 unchanged sentences

The recovery of credit losses during the year ended December 31, 2025 was attributable to the removal of the two remaining investments from the pool of assets.

Following is a summary of the interest income from loan investments for the three months ended March 31, 2025 (amounts in thousands).

The Company did no t record any interest income from loan investments during the three months ended March 31, 2026 as it held no loan investments during this period.

Following is a summary of the interest income from loan investments for the three and six months ended June 30, 2025 (amounts in thousands).

The Company did no t record any interest income from loan investments during the corresponding periods ended June 30, 2026 as it held no loan investments in 2026.

Three Months Ended

Six Months Ended

Investment Name

3 unchanged sentences

Note 7 – Investment in Unconsolidated Real Estate Fund

At March 31, 2026, the Company, through a wholly-owned subsidiary of the Operating Partnership, had one investment in an unconsolidated real estate fund which is accounted for under the equity method.

At June 30, 2026, the Company, through a wholly-owned subsidiary of the Operating Partnership, had one investment in an unconsolidated real estate fund which is accounted for under the equity method.

The Company earns a return on its investment which is recognized on a one-quarter lag and is recorded in share of net earnings of equity method investment on its consolidated statements of operations and comprehensive income (loss).

The carrying amount and ownership percentage of the Company’s investment in the unconsolidated real estate fund at March 31, 2026 and December 31, 2025 is summarized below (amounts in thousands).

March 31, 2026

The carrying amount and ownership percentage of the Company’s investment in the unconsolidated real estate fund at June 30, 2026 and December 31, 2025 is summarized below (amounts in thousands):

June 30, 2026

December 31, 2025

6 unchanged sentences

Carrying Value

Marble Capital Income and Impact Fund, LP (2)

(1) Represents the Company’s ownership percentage at March 31, 2026 and at December 31, 2025.

(2) The Company accounts for its investment in the Marble Capital Income and Impact Fund, LP under the equity method as the Company considers its degree of influence to be significant.

Summary combined financial information for the Company’s investment in the unconsolidated real estate fund at December 31, 2025, and for the three months and year ended December 31, 2025, is summarized below (amounts in thousands):

Marble Capital Income and Impact Fund, LP (“Marble Fund”) (2)

(1) Represents the Company’s ownership percentage as of the last day in the period presented.

(2) The Company accounts for its investment in the Marble Fund under the equity method as the Company considers its degree of influence to be significant.

Summary combined financial information for the Company’s investment in the unconsolidated real estate fund at March 31, 2026 and December 31, 2025, and for the three months ended March 31, 2026 and 2025, is summarized below (amounts in thousands):

Balance Sheet

6 unchanged sentences

Operating Statement

December 31, 2025

Investment income

1 unchanged sentence

Net unrealized gain on investments

Net increase from non-controlling interest

Net increase in partners’ capital

Note 8 – Preferred Equity Investments

At March 31, 2026, the Company, through wholly-owned subsidiaries of the Operating Partnership, had entered into five joint venture agreements for preferred equity investments which are classified as available-for-sale debt securities.

At June 30, 2026, the Company, through wholly-owned subsidiaries of the Operating Partnership, had entered into five joint venture agreements for preferred equity investments which are classified as available-for-sale debt securities.

The Company earns a fixed return on these investments which is included within income from preferred equity investments on its consolidated statements of operations and comprehensive income (loss).

Each joint venture’s purpose is to develop or operate a portfolio of residential units.

The carrying amount of the Company’s preferred equity investments at March 31, 2026 and December 31, 2025 is summarized in the table below (amounts in thousands):

The carrying amount of the Company’s preferred equity investments at June 30, 2026 and December 31, 2025 is summarized in the table below (amounts in thousands):

Investment Name

4 unchanged sentences

Gross unrealized gain, net

The following table summarizes the net carrying amount and fair value of the Company’s preferred equity investments, which are classified as available-for-sale debt securities, by contractual maturity at March 31, 2026 (amounts in thousands):

Available-for-sale

3 unchanged sentences

Due after three years

The following table summarizes the Company’s income from preferred equity investments for the three months ended March 31, 2026 and 2025 (amounts in thousands):

Three Months Ended March 31,

The following table summarizes the Company’s income from preferred equity investments for the three and six months ended June 30, 2026 and 2025 (amounts in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Investment Name

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(3) Total income from preferred equity investments includes both current and accrued income amounts.

For the three months ended March 31, 2026 and 2025, the accrued portion of the total income was $ 1.5 million and $ 2.9 million, respectively.

At March 31, 2026 and December 31, 2025, the Company had $ 9.4 million and $ 7.9 million, respectively, of total accrued preferred equity income, which is recorded in accounts receivable, prepaids and other assets, net on its consolidated balance sheets.

For the three and six months ended June 30, 2026 and 2025, the accrued portion of total income was $ 2.0 million and $ 2.1 million, and $ 3.6 million and $ 4.0 million, respectively.

At June 30, 2026 and December 31, 2025, the Company had $ 11.4 million and $ 7.9 million, respectively, of total accrued preferred equity income, which is recorded in accounts receivable, prepaids and other assets, net on its consolidated balance sheets.

Preferred Equity Investment Summary

In February 2026, the Company increased its original capital commitment for preferred equity interests in Canvas at Wildwood by $ 1.5 million, increasing its total investment to $ 16.1 million.

As of March 31, 2026, the Company had funded $ 28.0 million of its $ 48.8 million aggregate commitment to fund capital for preferred equity interests in Archer at RiverBlue, Canvas at Wildwood, River Ford, and Sanford Marketplace.

As of June 30, 2026, the Company funded $ 40.0 million of its $ 48.8 million aggregate commitment to fund capital for preferred equity interests in Archer at RiverBlue, Canvas at Wildwood, River Ford, and Sanford Marketplace.

Note 9 – DST Program

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Under the master lease, a wholly-owned indirect subsidiary of the Operating Partnership is responsible for subleasing the property to tenants, paying certain underlying costs associated with operating the property, and remitting rent to the DST that owns such property.

The following table summarizes the Company’s offerings in its DST Program at March 31, 2026 (amounts in thousands):

The following table summarizes the Company’s offerings in its DST Program at June 30, 2026 (amounts in thousands):

Net Offering Proceeds

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KeyBank Credit Facility

In October 2024, the Company, through a subsidiary of its Operating Partnership, entered into a credit agreement with KeyBank National Association (the “KeyBank Credit Facility”) related to the Company’s DST Program.

In October 2024, the Company, through a subsidiary of its Operating Partnership, entered into a credit agreement (the “KeyBank Credit Facility”) with KeyBank National Association (“KeyBank”) related to the Company’s DST Program.

The KeyBank Credit Facility provides for a revolving loan with a maximum commitment amount of $ 50 million.

3 unchanged sentences

The KeyBank Credit Facility matures on October 25, 2026 and contains certain financial and operating covenants, including maximum leverage ratio, minimum debt service coverage ratio and minimum tangible net worth.

At March 31, 2026 and December 31, 2025, the Company had no outstanding balance on the KeyBank Credit Facility.

At June 30, 2026 and December 31, 2025, the Company had no outstanding balance on the KeyBank Credit Facility.

The Company is engaged in discussions with KeyBank regarding an amendment and extension of the KeyBank Credit Facility prior to its maturity date.

Note 11 – Mortgages Payable

The following table summarizes certain information at March 31, 2026 and December 31, 2025 with respect to the Company’s senior mortgage indebtedness (amounts in thousands):

The following table summarizes certain information at June 30, 2026 and December 31, 2025 with respect to the Company’s senior mortgage indebtedness (amounts in thousands):

Outstanding Principal

As of March 31, 2026

As of June 30, 2026

Interest-only

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Yauger Park Villas (3)

April 1, 2026

Total Fixed Rate

7 unchanged sentences

October 1, 2027

Parkside at Summers Corner (7)

Interest-only

Wayford at Concord (8)

Yauger Park Villas (3)

Interest-only

April 1, 2033

Total Floating Rate

6 unchanged sentences

refer to Note 13 for further information.

CA1 matures in 2026;

CA2 matures in 2028.

The ILE credit agreements contain certain financial and operating covenants, including minimum liquidity and minimum debt service coverage.

CA2 matures in 2028;

CA1 matured on June 7, 2026.

As of June 30, 2026, the Company was in discussions with the lender regarding an extension of CA1;

refer to Note 18 for further information.

The loan requires monthly payments of principal and interest.

The principal balance includes a $ 9.4 million senior loan at a fixed rate of 4.81 % and a $ 4.2 million supplemental loan at a fixed rate of 4.96 %.

On April 1, 2026, the Company entered into a new floating rate loan and paid off the previous fixed rate senior and supplemental loans.

The Deutsche Bank loan (“DB Loan”) bears interest at one-month Term SOFR plus 2.95 %.

In March 2026, the one-month Term SOFR was 3.67 %.

In April 2026, the Company entered into a new floating rate loan and paid off the previous fixed rate senior and supplemental loans.

The Yauger Park Villas loan bears interest at the 30-day average SOFR ( 3.59 % in June 2026) plus 1.86 %.

SOFR rate is subject to a 7.05 % rate cap through March 2029;

refer to Note 13 for further information.

The Yauger Park Villas loan contains certain financial and operating covenants, including a minimum net worth requirement for the Company, which is a guarantor on the loan.

The Deutsche Bank loan (“DB Loan”) bears interest at one-month Term SOFR ( 3.62 % in June 2026) plus 2.95 %.

The Term SOFR rate is subject to a 2.50 % rate cap through April 2027;

2 unchanged sentences

Represents a construction loan with a maximum commitment of $ 46.5 million.

At March 31, 2026, a negligible amount was drawn on the loan.

The ILE loan bears interest at one-month Term SOFR plus 2.85 %, subject to a 6.50 % rate floor, and contains a minimum debt service coverage covenant.

In March 2026, the one-month Term SOFR was 3.67 %.

The Wayford at Concord loan bears interest at the 30-day average SOFR plus 2.23 %.

In March 2026, the 30-day average SOFR was 3.67 %.

At June 30, 2026, a negligible amount was drawn on the loan.

The ILE loan bears interest at one-month Term SOFR ( 3.62 % in June 2026) plus 2.85 %, subject to a 6.50 % rate floor, and contains a minimum debt service coverage covenant.

In May 2026, the Company entered into a new floating rate loan.

The Parkside at Summers Corner loan bears interest at one-month Term SOFR ( 3.62 % in June 2026) plus an initial margin of 2.25 %.

The margin can be reduced to 2.00 % if certain debt service coverage ratio requirements are met.

SOFR rate is subject to a rate floor of 2.25 %.

The Parkside at Summers Corner loan has a maximum commitment of $ 16.4 million and contains a minimum debt service covenant.

The loan has two (2) one-year extension options available.

The Wayford at Concord loan bears interest at the 30-day average SOFR ( 3.59 % in June 2026) plus 2.23 %.

SOFR rate is subject to a 2.50 % rate cap through April 2027;

2 unchanged sentences

Costs incurred in obtaining long-term financing are amortized on a straight-line basis to interest expense over the terms of the related financing agreements, as applicable, which approximates the effective interest method.

Amortization of deferred financing costs, including amounts related to the revolving credit facility (refer to Note 10 for further information), for the three months ended March 31, 2026 and 2025 was $ 0.7 million and $ 0.7 million, respectively.

Amortization of deferred financing costs, including any amounts related to the revolving credit facility (refer to Note 10 for further information), for the three and six months ended June 30, 2026 and 2025 was $ 0.7 million and $ 0.6 million, and $ 1.4 million and $ 1.2 million, respectively.

Fair value adjustments of debt

1 unchanged sentence

The fair value adjustments are being amortized to interest expense over the remaining life of the loans.

Amortization of fair value adjustments for the three months ended March 31, 2026 and 2025 was $0.1 million and $0.1 million, respectively.

Amortization of fair value adjustments for the three and six months ended June 30, 2026 and 2025 was $ 0.1 million and $ 0.1 million, and $ 0.2 million and $ 0.2 million, respectively.

Loss on Extinguishment of Debt and Debt Modification Costs

1 unchanged sentence

Prepayment penalties incurred on the early repayment of debt and costs incurred in a debt modification that are not capitalized would also be included within loss on extinguishment of debt and debt modification costs on the consolidated statements of operations and comprehensive income (loss).

The Company had a negligible amount of loss on extinguishment of debt and no debt modification costs during the three months ended March 31, 2026 and 2025.

The Company had a negligible amount of loss on extinguishment of debt and debt modification costs during the three and six months ended June 30, 2026 and 2025.

Debt maturities

The following table summarizes the Company’s contractual principal payments of its borrowings at March 31, 2026 for the five subsequent years and thereafter (amounts in thousands):

2026 (April 1 – December 31)

The following table summarizes the Company’s contractual principal payments of its borrowing at June 30, 2026 for the five subsequent years and thereafter (amounts in thousands):

2026 (July 1 – December 31)

Unamortized fair value debt adjustment

Deferred financing costs, net

The net book value of real estate assets providing collateral for these above borrowings was $ 770.1 million at March 31, 2026.

The net book value of real estate assets providing collateral for these above borrowings was $ 777.1 million at June 30, 2026.

The mortgage loans encumbering the Company’s properties are nonrecourse, subject to certain exceptions for which the Company would be liable for any resulting losses incurred by the lender.

19 unchanged sentences

Fair Value of Financial Instruments

At March 31, 2026 and December 31, 2025, the carrying values of cash and cash equivalents, restricted cash, accounts receivable, due from and due to affiliates, accounts payable, other accrued liabilities, and distributions payable approximate their fair value based on their highly liquid nature and/or short-term maturities and are classified in Level 1 of the fair value hierarchy.

The carrying values of notes receivable approximate fair value because stated interest rate terms are consistent with interest rate terms on new deals with similar leverage and risk profiles.

The fair values of notes receivable are classified in Level 3 of the fair value hierarchy due to the significant unobservable inputs that are utilized in their respective valuations.

At March 31, 2026 and December 31, 2025, the fair value of the Marble Fund is based upon the net asset value reported within the Marble Fund’s financial information.

At June 30, 2026 and December 31, 2025, the carrying values of cash and cash equivalents, restricted cash, accounts receivable, due from and due to affiliates, accounts payable, other accrued liabilities, and distributions payable approximate fair value based on their highly liquid nature and/or short-term maturities and are classified in Level 1 of the fair value hierarchy.

At June 30, 2026 and December 31, 2025, the fair value of the Marble Fund is based upon the net asset value reported within the Marble Fund’s financial information.

This financial information represents market prices within an inactive market as the Marble Fund prices units based on the net asset value of the fund.

2 unchanged sentences

Refer to Note 7 for further information on the Marble Fund.

At March 31, 2026 and December 31, 2025, based on the discounted amount of future cash flows using rates currently available to the Company for similar liabilities, the fair value of the Company’s mortgages payable is estimated at $ 422.1 million and $ 436.4 million, respectively, compared to the carrying amounts, before adjustments for deferred financing costs, net, of $ 426.5 million and $ 438.7 million, respectively.

At June 30, 2026 and December 31, 2025, based on the discounted amount of future cash flows using rates currently available to the Company for similar liabilities, the fair value of the Company’s mortgages payable is estimated at $ 411.8 million and $ 436.4 million, respectively, compared to the carrying amounts, before adjustments for deferred financing costs, net, of $ 431.6 million and $ 438.7 million, respectively.

The fair value of mortgages payable is estimated based on interest rates obtained from a third party for similar types of borrowing arrangements and accordingly, the fair value of mortgages payable is classified in Level 2 of the fair value hierarchy.

The carrying values and fair values of the Company’s financial instruments recorded at fair value on a recurring basis at March 31, 2026 and December 31, 2025 are summarized in the table below (amounts in thousands):

March 31, 2026

The carrying values and fair values of the Company’s financial instruments recorded at fair value on a recurring basis at June 30, 2026 and December 31, 2025 are summarized in the table below (amounts in thousands):

June 30, 2026

December 31, 2025

16 unchanged sentences

The inputs used in the valuation of interest rate caps and swaps fall within Level 2 of the fair value hierarchy.

The Company’s operating units classified as held for sale for which it has recorded impairments, measured at fair value on a non-recurring basis, for the three months ended March 31, 2026 and 2025 are summarized in the table below (amounts in thousands).

The Company’s operating units classified as held for sale for which it has recorded impairments, measured at fair value on a non-recurring basis, for the three and six months ended June 30, 2026 and 2025 are summarized in the table below (amounts in thousands).

The units classified as held for sale are all reported in the Company’s scattered single-family homes segment.

Three Months Ended

Six Months Ended

Investment in operating units classified as held for sale (Level 3)

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These valuation methods utilize inputs that fall within Level 3 of the fair value hierarchy.

No impairment losses on operating real estate and related intangible assets were recorded during the three months ended March 31, 2026 and 2025.

No impairment losses on operating real estate and related intangible assets were recorded during the three and six months ended June 30, 2026 and 2025.

Note 13 – Derivative Financial Instruments

12 unchanged sentences

The Company does not use derivative financial instruments for trading or speculative purposes.

At March 31, 2026, the Company had interest rate caps and swaps which effectively limit the Company’s exposure to interest rate risk by providing a ceiling on the underlying interest rate for $ 92.4 million of the Company’s debt.

The following table summarizes the Company’s derivative financial instruments at March 31, 2026 ($ in thousands):

At June 30, 2026, the Company had interest rate caps and swaps which effectively limit the Company’s exposure to interest rate risk by providing a ceiling on the underlying interest rate for $ 106.9 million of the Company’s debt.

The following table summarizes the Company’s derivative financial instruments at June 30, 2026 ($ in thousands):

Interest Rate Caps

4 unchanged sentences

Latest maturity date

(1) In April 2026, the Company executed a new interest rate cap agreement associated with the DB loan (refer to Note 11 for more information).

The new agreement became effective upon the expiration of the prior rate cap in May 2026.

The new rate cap provides for a notional amount of $ 55.0 million and carries a maturity date of May 2027.

The table below presents the classification and fair value of the Company’s derivative financial instruments on its consolidated balance sheets at March 31, 2026 and December 31, 2025 (amounts in thousands):

The table below presents the classification and fair value of the Company’s derivative financial instruments on its consolidated balance sheets at June 30, 2026 and December 31, 2025 (amounts in thousands):

Derivatives not designated as hedging

2 unchanged sentences

Balance Sheet Location

March 31, 2026

June 30, 2026

December 31, 2025

3 unchanged sentences

Accounts receivable, prepaids and other assets, net

The table below presents the classification and effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income (loss) for the three months ended March 31, 2026 and 2025 (amounts in thousands):

The table below presents the classification and effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income (loss) for the three and six months ended June 30, 2026 and 2025 (amounts in thousands):

The Effect of Derivative Instruments

1 unchanged sentence

Derivatives not designated as hedging

Location of Loss

Three Months Ended March 31,

Location of (Loss) Gain

Three Months Ended June 30,

Six Months Ended June 30,

instruments under ASC 815-20

15 unchanged sentences

The number of C-LTIP Units payable and issued to the Manager for the base management fee, the incentive fee and expense reimbursements will be equal to the dollar amount (of the portion deemed payable in C-LTIP Units) of the fees earned or reimbursement amount divided by the average of the closing prices of the Class A common stock for the five business days prior to issuance.

For the three months ended March 31, 2026, the Company recorded a base management fee of $ 2.7 million, of which $ 0.2 million shall be paid in C-LTIP Units with the remainder paid in cash.

For the three months ended March 31, 2025, the Company recorded a base management fee of $ 2.5 million, of which $ 0.2 million was paid in C-LTIP Units with the remainder paid in cash.

For the three and six months ended June 30, 2026, the Company recorded base management fees of $ 2.7 million and $ 5.4 million, respectively, of which $ 0.2 million and $ 0.4 million, respectively, were, or shall be, paid in C-LTIP Units with the remainder paid in cash.

For the three and six months ended June 30, 2025, the Company recorded base management fees of $ 2.6 million and $ 5.1 million, respectively, of which $ 0.2 million and $ 0.4 million, respectively, were paid in C-LTIP Units with the remainder paid in cash.

There have been no incentive fee expenses incurred during 2026 or the year ended December 31, 2025.

For the three months ended March 31, 2026 and 2025, the Company recorded (i) operating expense reimbursements of $ 1.0 million and $ 1.0 million, respectively, and (ii) direct expense reimbursements of $ 0.1 million and $ 0.1 million, respectively.

Both the operating and direct expense reimbursements were, or shall be, paid in cash to the Manager and recorded as part of general and administrative expenses on the Company’s consolidated statements of operations and comprehensive income (loss).

The table below presents the related party amounts payable to the Manager at March 31, 2026 and December 31, 2025 pursuant to the terms of the Management Agreement (amounts in thousands).

For the three and six months ended June 30, 2026 and 2025, the Company recorded (i) operating expense reimbursements of $ 1.0 million and $ 1.0 million, and $ 2.0 million and $ 2.0 million, respectively, and (ii) direct expense reimbursements of $ 0.1 million and $ 0.2 million, and $ 0.2 million and $ 0.3 million, respectively.

Both the operating and direct expense reimbursements were, or shall be, paid in cash to the Manager and were recorded as part of general and administrative expenses on the Company’s consolidated statements of operations and comprehensive income (loss).

The table below presents the related party amounts payable to the Manager at June 30, 2026 and December 31, 2025 pursuant to the terms of the Management Agreement (amounts in thousands).

The Company records these payables in due to affiliates on its consolidated balance sheets.

6 unchanged sentences

The Company, through consolidated subsidiaries associated with its DST Program, incurs a one-time acquisition fee for each DST private placement offering.

The Company did not incur any one-time acquisition fees during the three months ended March 31, 2026 and 2025 as it did not acquire any properties associated with its DST Program during these periods.

During the three and six months ended June 30, 2025, the Company incurred one-time acquisition fees of zero and $ 1.4 million, respectively.

The Company did no t record any one-time acquisition fees during the corresponding periods ended June 30, 2026 as it did no t acquire any properties associated with its DST Program during these periods.

Refer to Note 9 for further information on the Company’s DST Program.

2 unchanged sentences

The Company has agreed to pay an asset management fee equal to a stated percentage per annum of the purchase price of each property in the DST Program.

During the three months ended March 31, 2026 and 2025, the Company incurred asset management fees related to the DST Program of $ 0.2 million and $ 0.05 million, respectively, which are recorded within property management and asset management fees on the Company’s consolidated statements of operations and comprehensive income (loss).

The table below presents amounts payable to related parties at March 31, 2026 and December 31, 2025 (amounts in thousands) related to the Company’s DST Program.

During the three and six months ended June 30, 2026 and 2025, the Company incurred asset management fees related to the DST Program of $ 0.2 million and $ 0.07 million, and $ 0.3 million and $ 0.1 million, respectively, which are recorded within property management and asset management fees on the Company’s consolidated statements of operations and comprehensive income (loss).

The table below presents amounts payable to related parties at June 30, 2026 and December 31, 2025 (amounts in thousands) related to the Company’s DST Program.

The Company records these payables in due to affiliates on its consolidated balance sheets.

Amounts payable to related parties – DST Program

March 31, 2026

June 30, 2026

December 31, 2025

4 unchanged sentences

In December 2025, the Company, through a DST, acquired District at Parkview to be included in its DST Program.

The purchase price of $ 66.6 million was funded with (i) a $ 38.6 million senior loan secured by District at Parkview, (ii) cash of $ 21.3 million funded by the Company, and (iii) cash of $ 9.7 million funded by Bluerock Real Estate Holdings, LLC, an affiliate of the Manager, with amounts inclusive of certain adjustments typical in such real estate transactions.

The purchase price of $ 66.6 million was funded with (i) a $ 38.6 million senior loan secured by District at Parkview, (ii) cash of $ 21.3 million funded by the Company, and (iii) cash of $ 9.7 million funded by Bluerock Real Estate Holdings, LLC (“BREH”), an affiliate of the Manager, with amounts inclusive of certain adjustments typical in such real estate transactions.

Unconsolidated Real Estate Fund

2 unchanged sentences

At March 31, 2026 and December 31, 2025, the Company had $ 0.2 million and $ 0.2 million, respectively, of related party amounts payable to the Marble Fund pertaining to carried interest.

At June 30, 2026 and December 31, 2025, the Company had $ 0.2 million and $ 0.2 million, respectively, of related party amounts payable to the Marble Fund pertaining to carried interest.

The Company records these payables in due to affiliates on its consolidated balance sheets.

2 unchanged sentences

The NY Premises Lease commenced in November 2024 when the landlord made the NY Premises available to the Company to begin its own alterations and improvements.

With respect to the NY Premises, the Company and Bluerock Real Estate Holdings, LLC (“BREH”), which is an affiliate of the Manager, entered into a leasehold cost-sharing agreement (the “Leasehold Cost-Sharing Agreement”) to provide for the allocation and sharing between BREH and the Company of the costs thereunder, including costs associated with tenant improvements.

With respect to the NY Premises, the Company and BREH entered into a leasehold cost-sharing agreement (the “Leasehold Cost-Sharing Agreement”) to provide for the allocation and sharing between BREH and the Company of the costs thereunder, including costs associated with tenant improvements.

BREH and certain of its respective subsidiaries and/or affiliates will share occupancy of the NY Premises.

2 unchanged sentences

Payment by BREH of any amounts payable under the Leasehold Cost-Sharing Agreement to the Company will be made in cash.

The table below presents the related party amounts receivable from BREH at March 31, 2026 and December 31, 2025 pursuant to the terms of the Leasehold Cost-Sharing Agreement (amounts in thousands).

The table below presents the related party amounts receivable from BREH at June 30, 2026 and December 31, 2025 pursuant to the terms of the Leasehold Cost-Sharing Agreement (amounts in thousands).

The Company records these receivables in due from affiliates on its consolidated balance sheets.

Amounts receivable from BREH under the Leasehold Cost-Sharing Agreement

March 31, 2026

June 30, 2026

December 31, 2025

2 unchanged sentences

Total amounts receivable from BREH

At March 31, 2026 and December 31, 2025, the Company had no other receivables due from any related parties.

At June 30, 2026 and December 31, 2025, the Company had no other receivables due from related parties.

Harmony at Clear Creek Development

1 unchanged sentence

Separately, the Harmony JV entered into a joint venture agreement with BTR Preferred Investments, LLC (“BTR Preferred”), an entity that includes an affiliate of the Manager, in which BTR Preferred committed to fund up to $ 16.8 million of preferred equity interests in the Harmony at Clear Creek development.

At March 31, 2026, BTR Preferred had no t funded any of the committed amount.

As of June 30, 2026, BTR Preferred had no t funded any of the committed amount.

Archer at RiverBlue

3 unchanged sentences

Selling Commissions and Dealer Manager Fees

The Company engaged Bluerock Capital Markets, LLC, an affiliate of the Manager, as dealer manager for offerings in its DST Program, the offering of its Series B Preferred Stock, and previous offering of its Series A Preferred Stock (refer to Note 15 for further information on the Company’s preferred stock offerings).

The Company engaged Bluerock Capital Markets, LLC, an affiliate of the Manager, as dealer manager for (i) offerings in its DST Program, (ii) the offering of its Series B Preferred Stock, and (iii) the previous offering of its Series A Preferred Stock (refer to Note 15 for further information on the Company’s preferred stock offerings).

For offerings in its DST Program, the Company pays up to 8.65 % of the gross offering proceeds from the offerings as selling commissions and dealer manager fees.

The dealer manager re-allows the substantial majority of the selling commissions and dealer manager fees to participating broker-dealers.

For its offering of Series B Preferred Stock and its previous offering of Series A Preferred Stock (refer to Note 15 for further information), the Company pays up to 10 % of the gross offering proceeds from the offering as selling commissions and dealer manager fees.

For its offering of Series B Preferred Stock and its previous offering of Series A Preferred Stock, the Company pays up to 10 % of the gross offering proceeds from the offering as selling commissions and dealer manager fees.

The dealer manager re-allows the substantial majority of the selling commissions and dealer manager fees to participating broker-dealers and incurs costs in excess of the 10 %, which costs are borne by the dealer manager without reimbursement by the Company.

For the three months ended March 31, 2026 and related to the offering of its Series B Preferred Stock, the Company incurred $ 0.2 million in selling commissions and discounts and $ 0.1 million in dealer manager fees and discounts.

For the three months ended March 31, 2026 and related to the previous offering of its Series A Preferred Stock, the Company incurred $ 0.3 million in selling commissions and discounts and $ 0.1 million in dealer manager fees and discounts.

In addition, the Manager was, or shall be, reimbursed by the Company for offering costs of $ 0.1 million and $ 0.1 million in conjunction with the offering of its Series B Preferred Stock and previous offering of its Series A Preferred Stock, respectively, during the three months ended March 31, 2026.

The selling commissions, dealer manager fees, discounts and reimbursements for offering costs were recorded as a reduction to the proceeds of the offering.

For the six months ended June 30, 2026, in connection with the offering of its Series B Preferred Stock, the Company incurred (i) approximately $ 0.6 million in selling commissions and discounts and $ 0.3 million in dealer manager fees and discounts, and (ii) $ 0.2 million of offering costs which were, or shall be, reimbursed to the Manager.

During the first quarter of 2026, in connection with the previous offering of its Series A Preferred Stock (terminated in March 2026), the Company incurred (i) approximately $ 0.3 million in selling commissions and discounts and $ 0.1 million in dealer manager fees and discounts, and (ii) $ 0.1 million of offering costs which were reimbursed to the Manager.

No additional commissions, dealer manager fees, sales discounts, or offering costs have been incurred following the termination of the Series A Preferred Stock offering.

All selling commissions, dealer manager fees, discounts, and offering cost reimbursements were recorded as a reduction of offering proceeds.

Note 15 – Stockholders’ Equity and Redeemable Preferred Stock

6 unchanged sentences

Earnings per share is not affected by the two-class method because the Company’s Class A and C common stock participate in dividends on a one -for- one basis.

The following table reconciles the components of basic and diluted net loss per common share for the three months ended March 31, 2026 and 2025 (amounts in thousands, except share and per share amounts):

The following table reconciles the components of basic and diluted net loss per common share for the three and six months ended June 30, 2026 and 2025 (amounts in thousands, except share and per share amounts):

Three Months Ended

Six Months Ended

Less preferred stock dividends

9 unchanged sentences

Amounts relate to shares of the Company’s Class A and Class C common stock outstanding.

For the three months ended March 31, 2026 and 2025, the diluted shares calculations exclude the following as the effects are antidilutive:

(i) potential vesting of restricted Class A common stock of 30,041 shares and 3,607 shares, respectively, (ii) potential conversion of the Series A Preferred Stock into Class A common stock of 14,111,462 shares and 9,135,723 shares, respectively, and (iii) potential conversion of the Series B Preferred Stock into Class A common stock of 63,793 shares and zero shares, respectively.

For the three months ended June 30, 2026 and 2025, the diluted shares calculations exclude the following as the effects are antidilutive:

(i) potential vesting of restricted Class A common stock of zero shares and 47 shares, respectively, (ii) potential conversion of the Series A Preferred Stock into Class A common stock of 14,150,732 shares and 11,280,500 shares, respectively, and (iii) potential conversion of the Series B Preferred Stock into Class A common stock of 738,402 shares and zero shares, respectively.

For the six months ended June 30, 2026 and 2025, the diluted shares calculations exclude the following as the effects are antidilutive:

(i) potential vesting of restricted Class A common stock of zero shares and 4,923 shares, respectively, (ii) potential conversion of the Series A Preferred Stock into Class A common stock of 14,198,035 shares and 10,204,806 shares, respectively, and (iii) potential conversion of the Series B Preferred Stock into Class A common stock of 745,141 shares and zero shares, respectively.

The effect of the conversion of OP Units, which are exchangeable for Class A common stock on a one-for-one basis, and LTIP Units are not reflected in the computation of basic and diluted earnings per share, as they are exchangeable for Class A common stock on a one-for-one basis.

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333-269415) (the “2023 Registration Statement”) offering a maximum of 20,000,000 shares of 6.0 % Series A Redeemable Preferred Stock (the “Series A Preferred Stock”) at $ 25.00 per share (the “Stated Value”), for a maximum offering amount of $ 500 million in Series A Preferred Stock (the “Series A Preferred Offering”).

During the three months ended March 31, 2026, the Company issued 190,200 shares of Series A Preferred Stock pursuant to the Series A Preferred Offering with net proceeds of approximately $ 4.2 million after commissions, dealer manager fees, sales discounts and costs related to establishing the offering of Series A Preferred Stock.

On March 20, 2026, the Company made the final issuance of Series A Preferred Stock pursuant to the Series A Preferred Offering, and on March 31, 2026, the SEC declared effective the Company’s post-effective amendment to the 2023 Registration Statement to terminate the effectiveness of the 2023 Registration Statement and remove all unsold shares of Series A Preferred Stock from registration pursuant to the 2023 Registration Statement.

The Company issued a total of 6,527,513 shares of Series A Preferred Stock pursuant to the Series A Preferred Offering, with total net proceeds of approximately $ 141.8 million after commissions, dealer manager fees, sales discounts and offering costs.

Additionally, as of March 31, 2026, the Company, at the request of holders, had redeemed a total of 10,960 shares of Series A Preferred Stock through the issuance of 18,653 shares of Class A common stock and redeemed a total of 43,490 shares of Series A Preferred Stock for $ 1.0 million in cash.

As of June 30, 2026, the Company, at the request of holders, redeemed a total of 10,960 shares of Series A Preferred Stock through the issuance of 18,653 shares of Class A common stock and redeemed a total of 58,855 shares of Series A Preferred Stock for $ 1.4 million in cash.

At the date of issuance, the carrying amount of the Series A Preferred Stock was less than the redemption value.

As a result of the Company’s determination that holder redemption is probable, the carrying value will be increased by periodic accretions so that the carrying value will equal the redemption value net of early redemption fees at the earliest redemption date.

As of March 31, 2026, the Company had recorded a total of $ 5.6 million of accretion related to the Series A Preferred Stock.

As of June 30, 2026, the Company had recorded a total of $ 7.0 million of accretion related to the Series A Preferred Stock.

Series B Redeemable Preferred Stock

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333-290772) offering a maximum of 14,000,000 shares of 7.5 % Series B Redeemable Preferred Stock (the “Series B Preferred Stock”) at $ 25.00 per share, for a maximum offering amount of $ 350 million in Series B Preferred Stock (the “Series B Preferred Offering”), and on February 20, 2026, the Company made the initial issuances of Series B Preferred Stock pursuant to the Series B Preferred Offering.

As of March 31, 2026, the Company had issued 104,288 shares of Series B Preferred Stock pursuant to the Series B Preferred Offering with net proceeds of approximately $ 1.5 million after commissions, dealer manager fees, sales discounts and costs related to establishing the offering of Series B Preferred Stock.

As of March 31, 2026, the Company had not redeemed any shares of Series B Preferred Stock.

As of June 30, 2026, the Company issued 351,304 shares of Series B Preferred Stock pursuant to the Series B Preferred Offering with net proceeds of approximately $ 6.9 million after commissions, dealer manager fees, sales discounts and costs related to establishing the offering of Series B Preferred Stock.

As of June 30, 2026, the Company had not redeemed any shares of Series B Preferred Stock.

At the date of issuance, the carrying amount of the Series B Preferred Stock was less than the redemption value.

As of March 31, 2026, the Company had recorded a total of $ 0.2 million of accretion related to the Series B Preferred Stock.

As of June 30, 2026, the Company had recorded a total of $ 0.3 million of accretion related to the Series B Preferred Stock.

Class A Common Stock Repurchase Plan

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Open market repurchases will be structured to occur in conformity with the method, timing, price and volume requirements of Rule 10b-18 of the Exchange Act.

As of March 31, 2026, no repurchases of Class A common stock had been made by the Company.

As of June 30, 2026, no repurchases of Class A common stock had been made by the Company.

Operating Partnership and Long-Term Incentive Plan Units

As of March 31, 2026, limited partners other than the Company owned approximately 69.50 % of the common units of the Operating Partnership ( 7,365,404 OP Units, or 55.44 %, were held by OP Unit holders, and 1,867,211 LTIP Units, or 14.06 %, were held by LTIP Unit holders, including 2.36 % which were not vested as of March 31, 2026).

As of June 30, 2026, limited partners other than the Company owned approximately 69.48 % of the common units of the Operating Partnership ( 7,365,404 OP Units, or 54.71 %, were held by OP Unit holders, and 1,988,190 LTIP Units, or 14.77 %, were held by LTIP Unit holders, including 2.50 % which were not vested as of June 30, 2026).

Subject to certain restrictions set forth in the Operating Partnership’s Partnership Agreement, OP Units are exchangeable for Class A common stock on a one -for-one basis, or, at the Company’s election, redeemable for cash.

LTIP Units and C-LTIP Units may be convertible into OP Units under certain conditions and then may be settled in shares of the Company’s Class A common stock or, at the Company’s election, cash.

On February 18, 2026, the Company granted 22,252 C-LTIP Units, or approximately $ 210,000 , to the Manager pursuant to the Management Agreement as partial payment of the total base management fee of $ 2.7 million for the fourth quarter 2025.

Such C-LTIP Units were fully vested upon issuance.

On February 18, 2026, the Company granted 22,252 C-LTIP Units, or approximately $ 210,000 , to the Manager as partial payment of the total base management fee of $ 2.7 million for the fourth quarter 2025.

On May 12, 2026, the Company granted 19,074 C-LTIP Units, or approximately $ 210,000 , to the Manager as partial payment of the total base management fee of $ 2.7 million for the first quarter 2026.

Such C-LTIP Units were issued pursuant to the Management Agreement and were fully vested upon issuance.

In the future, the Operating Partnership may issue OP Units or preferred OP Units from time to time in connection with acquisitions of properties or for financing, compensation or other reasons.

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LTIP Unit and Restricted Stock Grants

Under the BHM Incentive Plans, (i) certain of the Manager’s executive management team and personnel who provide services to the Manager were granted LTIP Units and/or shares of Class A common stock as restricted stock grants (“RSGs”) that vest over a three-year period, and (ii) each independent member of the Board was granted LTIP Units in payment of the equity portion of their respective annual retainers, with such LTIP Units fully vested upon issuance.

Under the BHM Incentive Plans, (i) certain of the Manager’s executive management team and personnel who provide services to the Manager (collectively, the “BREH Personnel”) were granted LTIP Units and/or shares of Class A common stock as restricted stock grants (“RSGs”) that vest over a three-year period, and (ii) each independent member of the Board was granted LTIP Units in payment of the equity portion of their respective annual retainers, with such LTIP Units fully vested upon issuance.

On January 1, 2026, the Company granted 7,824 LTIP Units pursuant to the BHM Incentive Plans to each independent member of the Board in payment of the equity portion of their respective annual retainers.

Such LTIP Units were fully vested upon issuance and the Company recognized expense of $ 0.3 million based on the fair value at the date of grant, with such expense recorded as part of general and administrative expenses on the Company’s consolidated statements of operations and comprehensive income (loss).

On April 1, 2026, the Company issued 108,699 LTIP Units pursuant to the BHM Incentive Plans directly to and among certain of the BREH Personnel as an annual long-term incentive equity grant for the year ended December 31, 2025.

Such LTIP Units will vest ratably on an annual basis over a three-year period from the date of grant.

The Company recognizes compensation expense ratably over the vesting period for time-based LTIP Units based on the fair value at the date of grant.

During the three months ended March 31, 2026 and 2025, the Company recognized compensation expense for such LTIP Units of approximately $ 0.7 million and $ 0.7 million, respectively.

During the three and six months ended June 30, 2026 and 2025, the Company recognized compensation expense for such LTIP Units of approximately $ 0.8 million and $ 0.8 million, and $ 1.5 million and $ 1.5 million, respectively.

Such expense was recorded as part of general and administrative expenses on the Company’s consolidated statements of operations and comprehensive income (loss).

As of March 31, 2026, there was $ 3.7 million of total unrecognized compensation expense related to unvested LTIP Units granted under the BHM Incentive Plans.

As of June 30, 2026, there was $ 4.2 million of total unrecognized compensation expense related to unvested LTIP Units granted under the BHM Incentive Plans.

The remaining expense is expected to be recognized over a period of 1.7 years.

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Restricted Stock

On April 1, 2026, the Company issued 84,055 shares of Class A common stock as RSGs pursuant to the BHM Incentive Plans directly to and among certain of the BREH Personnel as an annual long-term incentive equity grant for the year ended December 31, 2025.

Such RSGs will vest ratably on an annual basis over a three-year period from the date of grant.

The Company recognizes compensation expense ratably over the vesting period for time-based RSGs.

During the three months ended March 31, 2026 and 2025, the Company recognized compensation expense for RSGs of approximately $ 0.2 million and $ 0.2 million, respectively.

During the three and six months ended June 30, 2026 and 2025, the Company recognized compensation expense for RSGs of approximately $ 0.3 million and $ 0.2 million, and $ 0.5 million and $ 0.4 million, respectively.

Such expense was recorded as part of general and administrative expenses on the Company’s consolidated statements of operations and comprehensive income (loss).

As of March 31, 2026, there was $ 1.2 million of total unrecognized compensation expense related to the unvested RSGs granted under the BHM Incentive Plans.

As of June 30, 2026, there was $ 1.8 million of total unrecognized compensation expense related to the unvested RSGs granted under the BHM Incentive Plans.

The remaining expense is expected to be recognized over a period of 2.1 years.

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April 2, 2026

June 12, 2026

June 25, 2026

Class C common stock

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April 2, 2026

June 12, 2026

June 25, 2026

Series A Preferred Stock

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April 2, 2026

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

Series A Preferred Enhanced Special Dividend (1)

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April 2, 2026

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

Series B Preferred Stock (2)

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April 2, 2026

Holders of record of newly issued Series A Preferred Stock shares and Series B Preferred Stock shares that are held only a portion of the applicable monthly dividend period will receive a prorated dividend based on the actual number of days in the applicable dividend period during which each such share of Series A Preferred Stock and Series B Preferred Stock was outstanding.

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

(1) Holders of record of Series A Preferred Stock shares are entitled to an enhanced special dividend equal to the amount by which (i) the Stated Value of the Series A Preferred Stock multiplied by (a) the sum of (I) the average of the one-month Term SOFR for each day commencing on the 26 th of the prior month to the 25 th of the applicable month, plus (II) two percent, divided by (b) twelve , exceeds (ii) the standard monthly dividend of $ 0.125 per share of Series A Preferred Stock.

The enhanced special dividend will be aggregated with the standard monthly dividend so as to effect a dividend rate on the Series A Preferred Stock that is subject to a 6.5 % minimum and 8.5 % maximum annual rate.

(2) Holders of record of newly issued Series B Preferred Stock shares that are held only a portion of the applicable monthly dividend period will receive a prorated dividend based on the actual number of days in the applicable dividend period during which each such share of Series B Preferred Stock was outstanding.

A portion of each dividend may constitute a return of capital for tax purposes.

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Holders of restricted stock, OP Units, LTIP Units and C-LTIP Units are entitled to receive “distribution equivalents” at the same time as dividends are paid to holders of the Company’s Class A common stock.

Distributions declared and paid for the three months ended March 31, 2026 were as follows (amounts in thousands):

Distributions declared and paid for the six months ended June 30, 2026 were as follows (amounts in thousands):

Distributions

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Total first quarter

Second Quarter

Class A common stock

Class C common stock

Series A Preferred Stock (1)

Series B Preferred Stock

LTIP / C-LTIP Units

Total second quarter

Series A Preferred Stock amounts include the standard dividend at an annual rate of 6.0 % of the Stated Value and any enhanced special dividends.

Note 16 – Commitments and Contingencies

The aggregate amount of the Company’s contractual commitments to fund future cash obligations in certain of its preferred equity investments was $ 20.8 million and $ 27.0 million at March 31, 2026 and December 31, 2025, respectively.

The aggregate amount of the Company’s contractual commitments to fund future cash obligations in certain of its preferred equity investments was $ 8.8 million and $ 27.0 million as of June 30, 2026 and December 31, 2025, respectively.

In addition, the Company has two consolidated residential communities (Abode Wendell Falls and Harmony at Clear Creek) under construction comprised of an aggregate of 358 units.

At March 31, 2026, the Company estimates the remaining costs to complete the construction of these two residential communities to be approximately $ 111.3 million.

At June 30, 2026, the Company estimates the remaining costs to complete the construction of these two residential communities to be approximately $ 107.9 million.

The Company intends to finance these costs through a combination of available cash, proceeds from construction loans, and preferred equity capital contributions.

The Company also committed to acquire an aggregate of 100 residential community units known as Parkside at Summers Corner.

The Company expects acquisitions to occur in tranches as construction is completed, and as of March 31, 2026, 78 units remain to be acquired, representing an aggregate purchase price of $ 20.0 million.

The Company expects acquisitions to occur in tranches as construction is completed, and as of June 30, 2026, 48 units remain to be acquired, representing an aggregate purchase price of $ 12.3 million.

The Company is subject to various legal actions and claims arising in the ordinary course of business.

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In accordance with ASC Topic 842 Leases , the Company classifies the Lease as an operating lease, and by way of practical expedient, the Company has elected to account for lease and non-lease (ex.

common area maintenance) components of the Lease as a single lease component in its consolidated statements of operations and comprehensive income (loss).

common area maintenance) components of the Lease as a single lease component on its consolidated statements of operations and comprehensive income (loss).

The Company recognizes the single lease component on a straight-line basis over the term of the Lease, and expenses that are non-components of the lease, such as real estate taxes for which the Company is not a direct beneficiary of the arrangement, are expensed in the period in which the obligation for those payments are incurred.

For the three months ended March 31, 2026 and 2025, the Company recorded $ 0.1 million and $ 0.1 million, respectively, of net rent expense related to the Lease.

For the three and six months ended June 30, 2026 and 2025, the Company recorded $ 0.1 million and $ 0.1 million, and $ 0.2 million and $ 0.2 million, respectively, of net rent expense related to the Lease.

Upon commencement of the Lease in November 2024, the Company recorded a right-of-use asset of $ 5.1 million and a lease liability of $ 5.0 million on its consolidated balance sheets.

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As such, the Company used a third-party analysis to determine that a discount rate of 7.61 % approximated the incremental borrowing rate that it would incur for a loan that was of a similar term as the Lease and with a similar form of underlying collateral.

At March 31, 2026, the remaining right-of-use asset and lease liability balances were $ 4.2 million and $ 4.7 million, respectively, and the remaining Lease term was approximately 5.3 years.

As of June 30, 2026, the remaining right-of-use asset and lease liability balances were $ 4.1 million and $ 4.6 million, respectively, and the remaining Lease term was approximately 5.1 years.

In addition, the Company incurred tenant improvement costs related to the renovation and buildout of the NY Premises which are capitalized and included within net real estate investments on the Company’s consolidated balance sheets.

Such tenant improvement costs are depreciated on a straight-line basis over the term of the Lease.

The following table summarizes the future minimum lease payments and total operating lease liability as of March 31, 2026 (amounts in thousands):

2026 (April 1 – December 31)

The following table summarizes the future minimum lease payments and total operating lease liability as of June 30, 2026 (amounts in thousands):

2026 (July 1 – December 31)

Total future minimum lease payments (undiscounted cash flows)

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Scattered single-family homes segment includes the ownership, management, and renovation of scattered single-family homes, which are, generally, detached homes with no onsite property management.

The following table summarizes NOI by the Company’s reportable segments for the three months ended March 31, 2026 and 2025, and reconciles NOI to net loss attributable to common stockholders on the Company’s statements of operations and comprehensive income (loss) (amounts in thousands):

Three Months Ended March 31,

The following table summarizes NOI by the Company’s reportable segments for the three and six months ended June 30, 2026 and 2025, and reconciles NOI to net loss attributable to common stockholders on the Company’s statements of operations and comprehensive income (loss) (amounts in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Rental and other property revenues

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Gain on sale of real estate investments, net

Gain on sale of available-for-sale investments

Loss on extinguishment of debt

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Net loss attributable to common stockholders

The following table reconciles the Company’s total rental and other property revenues for reportable segments to total revenues on the Company’s consolidated statements of operations and comprehensive income (loss) for the three months ended March 31, 2026 and 2025 (amounts in thousands):

Three Months Ended March 31,

The following table reconciles the Company’s total rental and other property revenues for reportable segments to total revenues on the Company’s consolidated statement of operations and comprehensive income (loss) for the three and six months ended June 30, 2026 and 2025 (amounts in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Rental and other property revenues

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Total revenues

At March 31, 2026 and December 31, 2025, net real estate assets totaled $ 558.0 million and $ 556.2 million for residential communities, respectively, and $ 288.9 million and $ 311.8 million for scattered single-family homes, respectively.

At June 30, 2026 and December 31, 2025, net real estate assets totaled $ 565.4 million and $ 556.2 million for residential communities, respectively, and $ 271.0 million and $ 311.8 million for scattered single-family homes, respectively.

Note 18 – Subsequent Events

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Series A Preferred Stock

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

July 10, 2026

July 24, 2026

August 5, 2026

July 10, 2026

August 25, 2026

September 4, 2026

July 10, 2026

September 25, 2026

October 5, 2026

Series A Preferred Enhanced Special Dividend

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

July 10, 2026

July 24, 2026

August 5, 2026

July 10, 2026

August 25, 2026

September 4, 2026

July 10, 2026

September 25, 2026

October 5, 2026

Series B Preferred Stock (2)

April 13, 2026

April 24, 2026

April 13, 2026

June 25, 2026

July 10, 2026

July 24, 2026

August 5, 2026

July 10, 2026

August 25, 2026

September 4, 2026

July 10, 2026

September 25, 2026

October 5, 2026

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Distributions Paid

The following distributions were declared and/or paid to the Company’s stockholders subsequent to March 31, 2026 (amounts in thousands):

The following distributions were declared and/or paid to the Company’s stockholders subsequent to June 30, 2026 (amounts in thousands):

Declaration Date

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Class A common stock

March 10, 2026

March 25, 2026

April 2, 2026

June 12, 2026

June 25, 2026

Class C common stock

March 10, 2026

March 25, 2026

April 2, 2026

June 12, 2026

June 25, 2026

Series A Preferred Stock (1)

January 15, 2026

March 25, 2026

April 13, 2026

June 25, 2026

Series B Preferred Stock

January 15, 2026

March 25, 2026

April 13, 2026

March 10, 2026

March 25, 2026

April 2, 2026

June 25, 2026

June 12, 2026

June 25, 2026

LTIP / C-LTIP Units

March 10, 2026

March 25, 2026

April 2, 2026

June 12, 2026

June 25, 2026

Series A Preferred Stock (1)

April 13, 2026

April 24, 2026

July 10, 2026

July 24, 2026

August 5, 2026

Series B Preferred Stock

April 13, 2026

April 24, 2026

July 10, 2026

July 24, 2026

August 5, 2026

(1) Series A Preferred Stock distribution per share amounts include the standard dividend at an annual rate of 6.0 % of the Stated Value and any enhanced special dividends.

Parkside at Summers Corner

On April 23, 2026, the Company acquired, with full ownership interest, an additional 10 units at Parkside at Summers Corner located in Summerville, South Carolina for an aggregate purchase price of $ 2.6 million.

On July 23, 2026, the Company acquired, with full ownership interest, an additional 10 units at Parkside at Summers Corner located in Summerville, South Carolina for an aggregate purchase price of $ 2.6 million.

Units are to be acquired in tranches as construction is completed, and as of the date of this Quarterly Report on Form 10-Q, the Company has acquired 62 of the total 100 units it has committed to purchase.

ILE Loan Amendment

CA1, one of ILE’s two credit agreements (refer to Note 11 for further information), matured on June 7, 2026.

As of June 30, 2026, the Company was engaged in discussions with the lender regarding an extension.

In July 2026, the loan was amended to extend the maturity date to October 7, 2026.

Under the amended terms, loan payments are interest-only from June 7, 2026 through maturity at the lender’s floating prime rate ( 6.75 % in June 2026) plus 0.50 %.

The Company will account for the amendment as a debt modification in accordance with ASC 470-50 Debt – Modifications and Extinguishments .

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements