Company: BHM
Filing Date: 2025-04-07
Form Type: POS AM
Source: 0001104659-25-032524
Chunk: 143

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-07
Form: POS AM
Chunk 143
---
 A Preferred Stock in accordance with the terms which require monthly dividends. While our distributions
through December 31, 2024 have been paid from cash flow from operations and in accordance with our policy, distributions in the
future may be paid from cash flow from operations, proceeds from the offering of our Series A Preferred Stock, proceeds from the
DST Program, the sales of assets, and additional sources, such as from borrowings.

We have notes receivable in conjunction with properties that are in lease-up. To date, these investments have been structured as senior loans, and in the future, we may also provide mezzanine financing to these types of projects. The notes receivable provide a current stated return and require repayment based on a fixed maturity date. If the property does not repay the notes receivable upon maturity, our income, FFO, CFFO and cash flows could be reduced below the stated returns currently being recognized if the property does not produce sufficient cash flow to pay its operating expenses and debt service, or to refinance its debt obligations.

We also have preferred equity
interests in properties that are in various stages of development and in lease-up, and our preferred equity investments are structured
to provide a current and/or accrued preferred return during all phases. Each joint venture in which we own a preferred equity interest
is required to redeem our preferred equity interests, plus any accrued preferred return, based on a fixed maturity date, generally in
relation to the property’s construction loan or mortgage loan maturity. Upon redemption of the preferred equity interests, our
income, FFO, CFFO and cash flows could be reduced below the preferred returns currently being recognized. Alternatively, if the joint
ventures do not redeem our preferred membership interest when required, our income, FFO, CFFO and cash flows could be reduced if the
development project does not produce sufficient cash flow to pays its operating expenses, debt service and preferred return obligations.
As we evaluate our capital position and capital allocation strategy, we may consider alternative means of financing our development loan
and preferred equity investment activities at the subsidiary level.

Off-Balance Sheet Arrangements

As of December 31, 2024, we have off-balance sheet arrangements that may have a material effect on our financial condition, revenues or expenses, results of operations, liquidity, capital resources or capital expenditures. As of December 31, 2024, we own investments in eight joint ventures that are accounted for as available-for-sale debt securities.

Cash Flows

Cash