Company: BHM
Filing Date: 2025-03-28
Form Type: POS AM
Source: 0001104659-25-029225
Chunk: 116

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-28
Form: POS AM
Chunk 116
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 or through majority
owned subsidiaries, in one or more of certain specified businesses. These specified businesses include the real estate business described
in Section 3(c)(5)(C) of the Investment Company Act. It also excludes from the definition of investment company any company
primarily engaged, directly or through majority owned subsidiaries, in one or more of such specified businesses from which at least 25%
of such company’s gross income during its last fiscal year is derived, together with any additional business or businesses
other than investing, reinvesting, owning, holding, or trading in securities. Although the SEC staff has issued little interpretive guidance
with respect to Section 3(c)(6), we believe that we and our Operating Partnership may rely on Section 3(c)(6) if 55% of
the assets of our Operating Partnership consist of, and at least 55% of the income of our Operating Partnership is derived from, qualifying
real estate assets owned by wholly owned or majority owned subsidiaries of our Operating Partnership.

In addition, we believe that
the nature of our assets and the sources of our income exclude us from the definition of an investment company pursuant to Rule 3a-1
under the Investment Company Act. Rule 3a-1 provides an exclusion from registration as an investment company if an issuer meets both
an asset and an income test and is not otherwise primarily engaged in an investment company business by, among other things, holding itself
out to the public as such or by taking controlling interests in companies with a view to realizing profits through subsequent sales of
these interests. Generally, an issuer satisfies the asset test of Rule 3a-1 if it has no more than 45% of the value of its total
assets (exclusive of U.S. government securities and cash items) in the form of securities other than interests in majority owned subsidiaries
and companies which it primarily controls. A company satisfies the income test of Rule 3a-1 if it has derived no more than 45% of
its net income after taxes for its last four fiscal quarters combined from securities other than interests in majority owned subsidiaries
and primarily controlled companies through which it engages primarily in a business other than investing in securities. We believe that
as long as we control more than 25% of the voting power, which control is greater than any other person’s, of our Operating Partnership
we may rely on Rule 3a-1.

To ensure that neither we,
nor our Operating Partnership nor subsidiaries are required