Company: BHM
Filing Date: 2025-04-09
Form Type: 424B3
Source: 0001104659-25-033384
Chunk: 200

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-09
Form: 424B3
Chunk 200
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 Shares”).
The Pledging Policy requires executive officers and directors to pre-certify and obtain pre-approval from the audit committee for any
such new pledging arrangement, and require re-certification to the audit committee of compliance with the Pledging Policy with respect
to existing pledging arrangements. In addition, the Pledging Policy requires all pledgors to annually certify to the audit committee his
or her ongoing compliance therewith.

The Pledging Policy further
limits the number of permitted Pledged Shares by setting a maximum leverage rate of thirty percent (30%), such that the number of Pledged
Shares cannot exceed, on an annual basis, thirty percent (30%) of the time-weighted value of the lender’s entire collateral package,
inclusive of the Pledged Shares.

The audit committee monitors
compliance with the Pledging Policy by requiring certain certifications from each executive officer or director with a new or existing
loan secured in part by Pledged Shares. Prior to entering into any such new pledge, an executive officer or director must certify to the
audit committee that the pledge is limited to only such company securities held in excess of the applicable Stock Ownership Guidelines,
and that its sole purpose is not to serve as a hedging arrangement. With respect to previously existing pledge arrangements, promptly
following adoption of the Pledging Policy, each executive officer or director must certify to the audit committee that its existing pledge
arrangement is not for the sole purpose of serving as a hedging arrangement. In addition, within ten (10) days following each annual
meeting of the company’s stockholders, each pledgor must certify to the audit committee that its Pledged Shares comprised thirty
percent (30%) or less of the time-weighted value of the creditor’s collateral package, inclusive of the Pledged Shares.

The Pledging Policy’s
restrictions, structuring and certification obligations are intended to mitigate the risks from a forced sale due to a default under the
subject loan or as a result of a decline in the market price of our Class A common stock, should such market price be the valuation
parameter applicable to the lender’s collateral package. First, even if an event occurred that would enable a lender to exercise
forced sale rights, the fact that the Pledged Shares will be limited to thirty percent (30%) of the time-weighted collateral package means
that the lender should have other sources of collateral with which to cover its loan, and thus may not pursue a forced sale, even if authorized
to