Company: BHM
Filing Date: 2025-03-28
Form Type: POS AM
Source: 0001104659-25-029225
Chunk: 138

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-28
Form: POS AM
Chunk 138
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 at Timberlin Park during the third quarter 2024, and Amira at Westly and Allure at Southpark during the fourth quarter 2024. The
increase was partially offset by the sale of Navigator Villas and single-family units in our portfolio since January 1, 2023.

Other Income and Expense

Other income and expenseamounted to income of $6.6 million for the year ended December 31, 2024 compared to income of
$0.6 million for the same prior year period. This was primarily due to a $11.5 million increase in gain on sales of real estate investments
and a $2.8 million increase in interest income from our short-term cash investments. These income sources were partially offset by a
$5.0 million net increase in interest expense primarily attributable to a decrease in the fair value of the interest rate caps and swaps
and an increase in the outstanding debt to $381.6 million at December 31, 2024 as compared to $166.7 million at December 31,
2023, and a $3.4 million increase in impairment on real estate.

Net Operating Income

We
believe that net operating income (“NOI”) is a useful measure of our operating performance. We define NOI as total property
revenues less total property operating expenses, excluding depreciation and amortization and interest. Other REITs may use different
methodologies for calculating NOI, and accordingly, our NOI may not be comparable to other REITs. NOI also is a computation made by analysts
and investors to measure a real estate company’s operating performance.

We
believe that this measure provides an operating perspective not immediately apparent from operating income or net income prepared in
conformity with accounting principles generally accepted in the United States of America (“GAAP”). NOI allows us to evaluate
the operating performance of our properties because it measures the core operations of property performance by excluding corporate level
expenses and other items not related to property operating performance and captures trends in rental housing and property operating expenses.

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However,
NOI should only be used as a supplemental measure of our financial performance. The following table reflects net loss attributable to
common stockholders together with a reconciliation to NOI, as computed in accordance with GAAP for the years ended December 31,
2024 and 2023 (amounts in thousands):

|                                                                               |     | 2024 |         |   |     | 2023 |