Company: BHM
Filing Date: 2025-03-28
Form Type: POS AM
Source: 0001104659-25-029225
Chunk: 353

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-28
Form: POS AM
Chunk 353
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 Series A Redeemable Preferred Stock, such non-U.S. stockholder
will be required to recognize gain in an amount equal to the lesser of (1) the gain realized and (2) the amount of cash
received, except with respect to any cash attributable to a fractional share and so long as certain FIRPTA-related reporting requirements
are satisfied. However, such non-U.S. stockholders will recognize no loss on the redemption. If our Class A common stock does not
constitute a USRPI, the redemption will be treated as a taxable exchange of our Series A Redeemable Preferred Stock for our Class A
common stock, as described above.

If we elect to pay the entire
redemption price in cash, such redemption of our Series A Redeemable Preferred Stock by a non-U.S. stockholder whose income derived
from the investment in shares of our Series A Redeemable Preferred Stock is not effectively connected with the conduct of a trade
or business in the U.S. will be treated under Section 302 of the Code as a distribution that is taxable as dividend income (to the
extent of our current or accumulated earnings and profits), unless the redemption satisfies certain tests set forth in Section 302(b) of
the Code enabling the redemption to be treated as sale of our Series A Redeemable Preferred Stock (in which case the redemption will
be treated in the same manner as a sale described above in “Dispositions”). The redemption will satisfy such tests if it (i) is
“substantially disproportionate” with respect to the holder’s interest in our stock, (ii) results in a “complete
termination” of the holder’s interest in all our classes of stock, or (iii) is “not essentially equivalent to a
dividend” with respect to the holder, all within the meaning of Section 302(b) of the Code. In determining whether any
of these tests have been met, stock considered to be owned by the holder by reason of certain constructive ownership rules set forth
in the Code, as well as stock actually owned, generally must be taken into account. Because the determination as to whether any of the
three alternative tests of Section 302(b) of the Code described above will be satisfied with respect to any particular holder
of our Series A Redeemable Preferred Stock depends upon the facts and circumstances at the time that the determination must be made,
prospective investors are advised to consult their tax advisors to determine such tax treatment. If a