Company: INRE
Filing Date: 2025-03-05
Form Type: 10-K
Source: 0000950170-25-033568
Chunk: 3

Company: Inland Real Estate Income Trust, Inc.
Filing Date: 2025-03-05
Form: 10-K
Item: Item 1
Chunk 3
---
 will only consider evaluating net asset value and publishing an estimate if the strategic review does not result in a liquidity event or the board terminates its review of strategic alternatives. In the most recent past, the value of real estate assets generally has been negatively impacted by, among other things, changing assumptions regarding interest rates and Federal Reserve policy including the possibility that the Federal Reserve will not reduce the “federal funds rate” during calendar year 2025 at the rate originally expected by market participants. The value ascribed to real estate assets for purposes of estimating net asset value or by purchasers of real estate assets is sensitive to, and impacted by, the level of actual and expected interest rates, a slowing growth rate for, or the potential for declines in, gross national product, slowing growth or declines in the retail sector, concerns regarding inflation, and the uncertain impact of tariffs and tax policy. See also the Risk Factors captioned “There is no established public trading market for our shares of common stock and the prior Estimated Per Share NAV should not be used;” and “Market disruptions may adversely impact many aspects of our operating results and the value of our assets.”

Historically, we have provided our stockholders with the option to reinvest distributions and the limited ability to resell shares to the Company.

Distribution Reinvestment Plan. The distribution reinvestment plan or “DRP” provides stockholders the option to purchase additional shares from us by reinvesting distributions, subject to certain share ownership restrictions. The shares are purchased at a price equal to the Estimated Per Share NAV at the time the distributions are reinvested. There are no selling commissions or other fees such as a marketing contribution or due diligence expense reimbursements paid in connection with any purchases under the DRP. During the years ended December 31, 2024, 2023 and 2022, reinvestment of distributions by stockholders generated proceeds to us of $5.0 million, $7.0 million and $7.3 million, respectively. As noted herein, these proceeds were generally used to repurchase shares under the share repurchase plan. As a result of the board’s decisions to review strategic alternatives, the DRP was suspended effective October 1, 2024. During the suspension, stockholders participating in the DRP will not be permitted to reinvest distributions paid by us in additional shares. Any prior reinvested distributions will not be impacted.

The price per share for shares of common stock purchased under the DRP was equal to the Estimated Per Share NAV unless and until the