Company: BHM
Filing Date: 2025-07-08
Form Type: DRS
Source: 0001104659-25-066400
Chunk: 6

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-07-08
Form: DRS
Chunk 6
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, 2025, our consolidated operating investments were approximately 91.9% occupied; excluding units classified as held
for sale and down/renovation units, our consolidated operating investments were approximately 94.1% occupied. For more information, see
“Our Business and Properties—Our Portfolio.”

Our Target Markets

We focus on Knowledge/Quality
markets with strong job growth, expanding populations and favorable quality of life characteristics. These Knowledge/Quality markets
are typically non-gateway regions, with access to good healthcare, highly-rated school systems, lower crime rates, robust infrastructure,
good affordability and a growing economic base. They are generally anchored by major universities, technology, healthcare, trade, next-generation
high value-add manufacturing or government industries as well as right to work laws, growing populations, and strong household formations.

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Because employment growth
is highly correlated with rental demand, we generally select markets with job growth above the national average. In addition, because
income growth is highly correlated with ability to deliver rent growth, we select markets with exposure to industries with attractive
and growing compensation levels. We believe our approach of focusing on Knowledge/Quality markets with employment and income growth should
not only contribute to achieving strong rental demand and occupancy but should also enable us to achieve revenue growth to deliver attractive
risk-adjusted returns within our portfolio.

Geographically, the majority
of our existing portfolio is positioned in the Sunbelt. According to Moody’s Analytics, as of Q1 2024, the Sunbelt is home to approximately
50% of all U.S. households and is expected to experience average population growth of nearly 7% between 2024 and 2034. Additional existing
markets include high-growth areas of the West (excluding California) and other markets with similar attractive demographics as warranted.
We believe that the diverse balance of larger and smaller markets within our core footprint, along with a strong current cash flow base
and value-add upside, will enable us to deliver attractive investment returns across a full economic cycle.

We select and continuously evaluate our target
markets through an analysis of demographic data at both the market and submarket levels, which may include the following:

| · | Strong                                                                                                                               
 Economic Drivers. Economy characterized by growth industries and jobs of the future such as healthcare and technology, signaling     
 near- and long-term employment growth, relatively low housing affordability and low rent-to-income ratios that allow for future rent 
 increases.                                                                                                                           |

| · | Favorable