Company: BHM
Filing Date: 2025-04-07
Form Type: POS AM
Source: 0001104659-25-032524
Chunk: 320

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-07
Form: POS AM
Chunk 320
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 the tenant
either is a related party tenant or fails to qualify for the exceptions to the related party tenant rule for qualifying TRSs, or
(3) we furnish noncustomary services to the tenants of the property, or manage or operate the property, other than through a qualifying
independent contractor or a TRS, none of the rent from that property would qualify as “rents from real property.”

We intend to lease, through
our Operating Partnership and its subsidiaries, substantially all our properties to tenants that are individuals. Our leases will typically
have a term of at least one year and require the tenant to pay fixed rent. We do not anticipate leasing significant amounts of personal
property pursuant to our leases. Moreover, we do not intend to perform any services other than customary ones for our tenants, unless
such services are provided through independent contractors or a TRS. Accordingly, we believe that our leases will generally produce rent
that qualifies as “rents from real property” for purposes of the 75% and 95% gross income tests.

In addition to the rent, the
tenants may be required to pay certain additional charges. To the extent that such additional charges represent reimbursements of amounts
that we are obligated to pay to third parties, such charges generally will qualify as “rents from real property.” To the extent
that such additional charges represent penalties for nonpayment or late payment of such amounts, such charges should qualify as “rents
from real property.” However, to the extent that late charges do not qualify as “rents from real property,” they instead
will be treated as interest that qualifies for the 95% gross income test.

Interest.
The term “interest” generally does not include any amount received or accrued, directly or indirectly, if the determination
of such amount depends, in whole or in part, on the income or profits of any person. However, interest generally includes the following:

| · | an amount that is based on a fixed percentage or percentages of receipts or sales; and |

| · | an amount that is based on the income or profits of a debtor, as long as the debtor derives substantially all of its income from the real property securing the debt from leasing substantially all of its interest in the property, and only to the extent that the amounts received by the debtor would be qualifying “rents from real property” if received directly by a REIT. |

If a loan contains a provision
that entitles a REIT to a percentage of the borrower’s