Company: INRE
Filing Date: 2025-03-05
Form Type: 10-K
Source: 0000950170-25-033568
Chunk: 146

Company: Inland Real Estate Income Trust, Inc.
Filing Date: 2025-03-05
Form: 10-K
Item: Item 1A
Chunk 146
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 Interest Rates

Inflationary pressures and volatility in interest rates, in particular, could reduce consumer spending and adversely impact retailer profitability, particularly if rates rise which may impact our ability to increase rents as well as tenant demand for new and existing store locations. Regardless of inflation levels, base rent under most of our long-term anchor leases remain constant (subject to tenants’ exercise of renewal options at pre-negotiated rent increases) until the expiration of their lease terms, regardless of the inflation rate for any particular period. While many of our leases require tenants to pay their share of shopping center operating expenses (including common area maintenance, real estate tax and insurance expenses), our ability to collect the expense increases passed through to tenants is dependent on their ability to absorb and pay these increases. Inflation may also impact other aspects of our operating costs, including fees paid to service providers, the cost to complete redevelopments and build-outs of recently leased vacancies and interest rate costs relating to variable rate loans and refinancing of lower fixed-rate indebtedness. While we have not been significantly impacted by any 

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of these items to date, no assurances can be provided that these inflationary pressures will not have a material adverse effect on our business in the future.

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LIQUIDITY AND CAPITAL RESOURCES

General

Our primary uses and sources of cash are as follows:

    Uses
     
    Sources

    
    Interest and principal payments on mortgage loans and Credit Facility
     
    
    Cash receipts from our tenants

    
    Property operating expenses
     
    
    Sale of shares through the DRP (if reinstated)

    
    General and administrative expenses
     
    
    Proceeds from new or refinanced mortgage loans

    
    Distributions to stockholders
     
    
    Borrowing on our Credit Facility

    
    Fees payable to our Business Manager and Real Estate Manager
     
    
    Proceeds from sales of real estate (if any)

    
    Repurchases of shares under the SRP (if reinstated)
     
    
    Proceeds from issuance of securities (if any) other than through the DRP

    
    Capital expenditures, tenant improvements and leasing commissions

    
    Acquisitions of real estate directly or through joint ventures

    
    Redevelopments of entire properties or certain spaces within our properties