# EDGAR Filing Document

**Accession Number:** 0002049595
**File Stem:** 0000950170-25-106905
**Filing Date:** 2025-8
**Character Count:** 328283
**Document Hash:** 8b4dfe49d2ff2a835552e3dc1be026b2
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000950170-25-106905.hdr.sgml**: 20250812

**ACCESSION NUMBER**: 0000950170-25-106905

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 63

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250812

**DATE AS OF CHANGE**: 20250812

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** BlackRock Monticello Debt Real Estate Investment Trust
- **CENTRAL INDEX KEY:** 0002049595
- **STANDARD INDUSTRIAL CLASSIFICATION:** REAL ESTATE INVESTMENT TRUSTS [6798]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 336595754
- **STATE OF INCORPORATION:** MD
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-56720
- **FILM NUMBER:** 251203949

**BUSINESS ADDRESS:**
- **STREET 1:** 50 HUDSON YARDS
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10001
- **BUSINESS PHONE:** 212 810-5300

**MAIL ADDRESS:**
- **STREET 1:** 50 HUDSON YARDS
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10001

?xml version='1.0' encoding='ASCII'? 10-Q

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**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

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**FORM** 10-Q

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**(Mark One)**

☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** 

**For the quarterly period ended** **June 30,** 2025

**OR**

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the Transition period from __________ to __________.**

**Commission file number** 000-56720

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BlackRock Monticello Debt Real Estate Investment Trust

(**Exact name of Registrant as specified in Its Charter)**

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---

| | | |
|:---|:---|:---|
| Maryland | 50 Hudson Yards<br>New York**,** NY 10001 | 33-6595754 |
| **(State or other jurisdiction of**<br>**incorporation or organization)** | **(Address of principal executive offices) (Zip Code)** | **(I.R.S. Employer**<br>**Identification No.)** |

---

**Registrant's telephone number, including area code: (**212**)** 810-5300

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Securities registered pursuant to Section 12(b) of the Act: None

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| | | |
|:---|:---|:---|
| **Title of each class** | **Trading**<br>**Symbol(s)** | **Name of each exchange on which registered** |

---

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

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| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☐ |
| Non-accelerated filer | ☒ | Smaller reporting company | ☒ |
|  |  | Emerging growth company | ☒ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

As of August 12, 2025, the registrant had the following shares outstanding: 260,080 Class E common shares, and 3,261,426 Class F-I common shares. There are no outstanding Class S common shares, Class T common shares, Class D common shares, Class I common shares, Class F-S common shares, or Class F-D common shares.

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| **PART I.** | [**<u>FINANCIAL INFORMATION</u>**](#part_i_financial_information) |  |
| ITEM 1. | [<u>FINANCIAL STATEMENTS</u>](#item_1_financial_statements) |  |
|  | Condensed Consolidated Financial Statements (Unaudited): |  |
|  | [<u>Condensed Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024</u>](#consolidated_balance_sheets_unaudited) | 1 |
|  | &nbsp;&nbsp;&nbsp;&nbsp;[<u>Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2025</u>](#consolidated_statements_of_oper_and_comp) | 2 |
|  | &nbsp;&nbsp;&nbsp;&nbsp;[<u>Condensed Consolidated Statements of Changes in Redeemable Common Shares and Equity for the Three and Six Months Ended June 30, 2025</u>](#consolidated_stat_of_chang_in_equity_una) | 3 |
|  | [<u>Condensed Consolidated Statement of Cash Flows for the Six Months Ended June 30, 2025</u>](#consolidated_statement_of_cash_flows_una) | 4 |
|  | [<u>Notes to Condensed Consolidated Financial Statements</u>](#notes_to_consolidated_financial_stateme) | 5 |
| ITEM 2. | [<u>MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS</u>](#mda) | 16 |
| ITEM 3. | [<u>QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK</u>](#item_3_quantitative_and_qualitative_dis) | 23 |
| ITEM 4. | [<u>CONTROLS AND PROCEDURES</u>](#item_4_controls_and_procedures) | 23 |
| **PART II.** | [**<u>OTHER INFORMATION</u>**](#part_ii_other_information) | 24 |
| ITEM 1. | [<u>LEGAL PROCEEDINGS</u>](#item_1_legal_proceedings) | 24 |
| ITEM 1A. | [<u>RISK FACTORS</u>](#item_1a_risk_factors) | 24 |
| ITEM 2. | [<u>UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS</u>](#item_2_unregistered_sales_of_equity_secu) | 24 |
| ITEM 3. | [<u>DEFAULTS UPON SENIOR SECURITIES</u>](#item_3_defaults_upon_senior_securities) | 24 |
| ITEM 4. | [<u>MINE SAFETY DISCLOSURES</u>](#item_4_mine_safety_disclosures) | 24 |
| ITEM 5. | [<u>OTHER INFORMATION</u>](#item_5_other_information) | 24 |
| ITEM 6. | [<u>EXHIBITS</u>](#item_6_exhibits) | 25 |

---

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**PART I. FINANCIAL INFORMATION**

**ITEM 1. FINANCIAL STATEMENTS**

**BlackRock Monticello Debt Real Estate Investment Trust**

**Condensed Consolidated Balance Sheets (Unaudited)**

**(in thousands, except for share and per share data)**

---

| | | |
|:---|:---|:---|
|  | **June 30, 2025** | **December 31, 2024** |
| **Assets** |  |  |
| Cash and cash equivalents | $1326 | $2 |
| Real estate loan investments, at fair value | 127453 |  |
| Accrued interest receivable | 425 |  |
| Due from affiliates | 59 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $**129263** | $**2** |
| **Liabilities and Equity** |  |  |
| Debt obligations, at fair value | $122320 | $— |
| Accrued interest payable | 223 |  |
| Accrued expenses | 216 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities** | **122759** |  |
| Commitments and contingencies (see Note 13) |  |  |
| Redeemable common shares, par value $0.01 per share; 260,080 and 80 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively (see Note 7) | 6504 | 2 |
| **Equity** |  |  |
| Accumulated earnings (deficit) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total equity** | **—** | **—** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities, redeemable common shares and equity** | $**129263** | $**2** |

---

*See accompanying notes to condensed consolidated financial statements.*

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**BlackRock Monticello Debt Real Estate Investment Trust**

**Condensed Consolidated Statements of Operations (Unaudited)**

**(in thousands, except for share and per share data)**

---

| | | |
|:---|:---|:---|
|  | **For the Three Months Ended<br>June 30, 2025** | **For The Six Months Ended<br>June 30, 2025** |
| **Revenue** |  |  |
| Interest income | $742 | $742 |
| Other income | 5 | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** | **747** | **747** |
| **Expenses** |  |  |
| Interest and fees on debt obligations | 554 | 554 |
| General and administrative | 191 | 191 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total expenses** | **745** | **745** |
| **Gains (losses) from operations and financing** |  |  |
| Unrealized gain (loss) on real estate loan investments |  |  |
| Unrealized gain (loss) on debt obligations |  |  |
| Total gain (loss) from operations and financing, net |  |  |
| **Net income (loss)** | $**2** | $**2** |
| **Net income (loss) per common share, basic and diluted (Note 9)** | $**0.02** | $**0.03** |
| **Weighted-average common shares outstanding, basic and diluted (Note 9)** | **100080** | **50356** |

---

*The Company was formed on November 7, 2024. There were no operations during the three and six months ended June 30, 2024.*

*See accompanying notes to condensed consolidated financial statements.* 

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**BlackRock Monticello Debt Real Estate Investment Trust**

**Condensed Consolidated Statements of Changes in Redeemable Common Shares and Equity (Unaudited)**

**(in thousands)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Redeemable<br>Common<br>Shares** <sup>(1)</sup> | **Common<br>Shares** | **Additional<br>Paid-In<br>Capital** | **Accumulated<br>Earnings<br>(Deficit)** | **Total Equity** |
| **Balance as of December 31, 2024** | $2 | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income (loss) |  |  |  |  |  |
| **Balance as of March 31, 2025** | $**2** | $— | $— | $— | $— |
|  | **Redeemable<br>Common<br>Shares** <sup>(1)</sup> | **Common<br>Shares** | **Additional<br>Paid-In<br>Capital** | **Accumulated<br>Earnings<br>(Deficit)** | **Total Equity** |
| **Balance as of March 31, 2025** | $2 | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Common shares issued | 6500 |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income (loss) <sup>(2)</sup> | 2 |  |  |  |  |
| **Balance as of June 30, 2025** | $**6504** | $— | $— | $— | $— |

---

(1)Redeemable common shares pertain to Class E shares purchased by the Advisors or affiliates of the Advisors. See Note 7.

(2)Net income (loss) of $2 thousand is allocated to redeemable common shares and $0 to common shares.

*The Company was formed on November 7, 2024. There were no operations during the three and six months ended June 30, 2024.*

*See accompanying notes to condensed consolidated financial statements.*

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**BlackRock Monticello Debt Real Estate Investment Trust**

**Condensed Consolidated Statement of Cash Flows (Unaudited)**

**(in thousands)**

---

| | |
|:---|:---|
|  | **For The Six Months Ended<br>June 30, 2025** |
| **Cash flows from operating activities** |  |
| Net income (loss) | $2 |
| **Change in assets and liabilities** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) decrease in accrued interest receivable | (425) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) decrease in due from affiliate | (59) |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase (decrease) in accrued interest payable | 223 |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase (decrease) in accrued expenses | 216 |
| **Net cash used in operating activities** | **(43)** |
| **Cash flow from investing activities** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Originations and fundings of real estate loan investments | (127453) |
| **Net cash used in investing activities** | **(127453)** |
| **Cash flows from financing activities** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from issuance of common shares | 6500 |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings under debt obligations | 122320 |
| **Net cash provided by financing activities** | **128820** |
| **Net change in cash and cash equivalents** | 1324 |
| **Cash and cash equivalents, beginning of the period** | 2 |
| **Cash and cash equivalents, end of the period** | $**1326** |
| **Supplemental disclosure of cash flow information:** |  |
| Cash paid for interest | 316 |

---

*The Company was formed on November 7, 2024. There were no operations during the three and six months ended June 30, 2024.*

*See accompanying notes to condensed consolidated financial statements.*

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**BlackRock Monticello Debt Real Estate Investment Trust**

**Notes to Condensed Consolidated Financial Statements**

**(Unaudited)**

**Note 1. Organization**

BlackRock Monticello Debt Real Estate Investment Trust (the "Company") was formed on November 7, 2024 as a Maryland statutory trust and intends to qualify as a real estate investment trust ("REIT") for federal income tax purposes. The Company's sponsors are BlackRock, Inc. ("BlackRock") and MONTICELLOAM, LLC (together with its affiliates, "Monticello") (each, a "Sponsor", and together, the "Sponsors"). BlackRock Financial Management, Inc. (the "BlackRock Advisor"), an affiliate of BlackRock, and MONTICELLOAM, LLC (in its capacity as investment adviser to the Company, the "Monticello Advisor"), serve as the external advisors to the Company (each, an "Advisor" and, together, the "Advisors").

The Company seeks to (1) provide shareholders with current income in the form of regular, stable cash distributions in order to achieve an attractive distribution yield; (2) preserve and protect shareholders' invested capital by focusing on high quality real estate assets that typically have current cash-flow and/or limited business plan risk; (3) reduce downside risk through conservative loan-to-value ratios against high quality real estate assets with meaningful borrower equity or implied equity; and (4) provide an investment alternative for shareholders seeking to allocate a portion of their investment portfolios to real estate loan investments with lower volatility than publicly traded securities and compelling risk-adjusted returns compared to fixed income alternatives.

The Company's primary investment strategy is to originate, acquire, finance, manage and dispose of a portfolio consisting primarily of real estate loan investments, including senior mortgage loans, subordinated debt and other similar investments. The real estate loans are expected to be secured by properties located in the United States and include, without limitation multifamily, seniors housing and other commercial real estate assets. To a lesser extent, the Company invests in publicly traded real estate-related debt or securities, private real estate-related debt, and other securities, including collateralized loan obligations and/or cash equivalent investments.

The Company is a "perpetual-life REIT," meaning the Company will be an investment vehicle of indefinite duration, whose shares are intended to be sold monthly on a continuous basis at a price generally equal to the Company's prior month's net asset value ("NAV") per share.

**Note 2. Significant Accounting Policies**

The Company believes the following significant accounting policies, among others, affect its significant estimates and assumptions used in the preparation of the condensed consolidated financial statements.

**Principles of Consolidation and Basis of Presentation**: The accompanying unaudited condensed consolidated financial statements and related notes of the Company are prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The unaudited condensed consolidated financial statements include the accounts of the Company and its consolidated subsidiaries, and all intercompany transactions and balances have been eliminated. In the opinion of management, all adjustments considered necessary for a fair presentation of the Company's balance sheets, results of operations and cash flows have been included and are of a normal and recurring nature.

**Use of Estimates:** The preparation of the condensed consolidated financial statements in conformity with GAAP requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the balance sheet and the reported amounts of revenues. Actual results may ultimately differ materially from those estimates.

**Cash and Cash Equivalents:** Cash and cash equivalents represents demand deposits held in banks and investments in overnight money market funds. The Company may have bank balances in the future that are in excess of federally insured amounts; however, the Company deposits its cash and cash equivalents with high credit-quality institutions to minimize credit risk exposure. Cash is carried at cost which approximates fair value. In accordance with the fair value hierarchy under Accounting Standards Codification 820-Fair Value Measurements, cash and cash equivalents are considered level 1.

**Fair Value Option:** The Company has elected the fair value option for certain eligible financial assets and liabilities including real estate loan investments, and the Company's debt obligations. The fair value elections were made to create a more direct alignment between the Company's financial reporting and the calculation of net asset value per share used to determine the prices at which investors can purchase and redeem shares of the Company's common stock.

The decision to elect the fair value option is determined on an instrument-by-instrument basis and must be applied to an entire instrument and is irrevocable once elected. Assets and liabilities measured at fair value pursuant to this guidance are required to be reported separately on the Company's balance sheets from those instruments using another accounting method.

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The Company's fair value option elections will be made in accordance with the guidance in Accounting Standards Codification 825, *Financial Instruments,* that allows entities to make an irrevocable election of fair value as the initial and subsequent measurement attribute for certain eligible financial assets and liabilities. In the cases of real estate loan investments for which the fair value option is elected, costs related to the origination or acquisition of the instrument should be immediately recognized in earnings. Unrealized gains and losses on assets and liabilities for which the fair value option has been elected are also reported in earnings without deferral. This is because under the fair value option, a lender reports the instrument at its exit price (i.e., the price that would be received to sell the instrument in an orderly transaction), which reflects the market's assessment of the instrument's cash flows and risks and does not include any entity-specific costs or fees.

As of June 30, 2025, the Company has elected the fair value option for its real estate loan investments reported in Note 3 and debt obligations reported in Note 4.

**Redeemable Common Shares:** The Company classifies common shares held by the Advisors or affiliates of the Advisors as redeemable common shares on the Condensed Consolidated Balance Sheets at the greater of their carrying amount or their redemption value. Changes in the fair value of redeemable common shares are recorded to additional paid-in capital.

**Real estate loan investments:** The Company originates or acquires mortgage loans secured by the borrower's interest in underlying real estate. In addition, the Company may acquire subordinate participation interests in mortgage or mezzanine loans originated by our affiliates or in the secondary market. Changes in fair value are recorded as unrealized gain (loss) on real estate loan investments in the Company's Condensed Consolidated Statements of Operations.

**Repurchase agreements:** The Company finances loan investments using repurchase agreements and secures these financing transactions with real estate loan investments. The repurchase agreements are therefore treated as collateralized financing transactions, and recorded at fair value within debt obligations on the Condensed Consolidated Balance Sheets. Changes in the fair value are recorded as unrealized gain (loss) on debt obligations in the Company's Condensed Consolidated Statements of Operations.

**Revenue Recognition:** Interest income on real estate loan investments is accrued based on the outstanding principal amount and contractual terms of the instrument**.** Other non loan investment interest income is earned on overnight cash investments and is recorded within other income.

**Interest and fees on debt obligations:** The Company expenses contractual interest due in accordance with repurchase agreements and revolving credit facility agreements as incurred. Minimum utilization and unused fees are expensed as incurred in accordance with the terms of the respective debt agreements.

**Income Taxes:** The Company intends to elect to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, commencing with its taxable year ending December 31, 2025. A REIT is subject to several organizational and operational requirements including that it must distribute at least 90% of its REIT taxable income to its shareholders each year. Even if the Company qualifies for taxation as a REIT, it may be subject to certain state and local taxes on its income and property, and federal income and excise taxes on its undistributed income.

**Organization, Offering and Certain Operating Expenses:** The Advisors have agreed to advance all of the Company's organization and offering expenses and certain operating expenses on its behalf through the first anniversary of the initial closing (the "Initial Retail Closing") of the Company's continuous, blind pool private offering (the "Private Offering") that includes investors other than the Sponsors and the Advisors. These expenses may include legal, accounting, printing, mailing, subscription processing and filing fees and expenses, reasonable bona fide due diligence expenses of participating broker-dealers supported by detailed and itemized invoices, costs in connection with preparing sales materials, design and website expenses, fees and expenses of our escrow agent and transfer agent, and expense reimbursements for actual costs incurred by employees of the Dealer Manager (as defined in Note 10) in the performance of wholesaling activities, but exclude upfront selling commissions, dealer manager fees and the shareholder servicing fee.

The Company will reimburse the Advisors for all such advanced expenses ratably over the 60 months following the first anniversary of the Initial Retail Closing. As of June 30, 2025, total organization and offering expenses incurred by the Advisors as well as certain operating expenses subject to future reimbursement by the Company are estimated to be approximately $5.23 million, comprised of $3.67 million of organization expenses and offering costs and $1.56 million of certain general and administrative operating expenses. Organization costs include the legal costs of structuring and forming the Company, its subsidiaries and its board of trustees, drafting of the governing documents of the Company and its subsidiaries and service provider agreements, and legal costs and auditor fees related to various SEC filings. Offering costs are related to the marketing and selling of the Company's common shares including costs incurred in the preparation of the private placement. These organization, offering and operating expenses are not recorded on the accompanying condensed consolidated financial statements because such costs are not the Company's liabilities until the date on which the Company has its Initial Retail Closing. When recorded by the Company, organization and operating expenses will be expensed as incurred and offering expenses will be charged to shareholders' equity. Any amount due to the Advisors but not paid will be recognized as a liability on the balance sheet.

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**Concentration of Credit Risk:** Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, real estate loan investments and interest receivable. The Company may place cash in excess of insured amounts with high quality financial institutions. The Company performs ongoing analysis of credit risk concentrations in its investment portfolio by evaluating exposure to various markets, underlying property types, term, tenant mix and other credit metrics.

**Segment Reporting:** The Company operates and reports its business as a single reportable segment, which includes originating, acquiring, managing and investing in real estate loan investments, including senior mortgage loans, subordinated debt and other similar investments. The Company's chief operating decision maker ("CODM") is our senior management team, comprised of our chief executive officer, our chief financial officer, and the investment management teams from our Advisors. The CODM makes key operating decisions, evaluates financial results, investment performance, and allocates resources at the consolidated level for the entire portfolio based on consolidated revenues, expenses, and net income as reported on the Condensed Consolidated Statements of Operations. Accordingly, the Company has a single operating and reportable segment and the CODM evaluates profitability using net income. Net income is used by the CODM in assessing the operating performance of the segment. All expense categories on the Condensed Consolidated Statements of Operations are significant and there are no significant segment expenses that require disclosure. The measure of segment assets is reported as total assets in our Condensed Consolidated Balance Sheets.

**Recent Accounting Pronouncements:** In November 2024, the FASB issued Accounting Standards Update No. 2024-03, "*Income Statement — Reporting Comprehensive Income — Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses*", which requires disclosure of certain costs and expenses on an interim and annual basis in the notes to the condensed consolidated financial statements. The guidance is effective for annual reporting periods beginning after December 15, 2026 and interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. The guidance is to be applied either (1) prospectively to financial statements issued for reporting periods after the effective date or (2) retrospectively to any or all prior periods presented in the financial statements. The Company is currently evaluating the potential impact of adopting this new guidance on its condensed consolidated financial statements and related disclosures.

**Note 3. Real Estate Loan Investments, at fair value**

The following table presents the Company's real estate loan investments as of June 30, 2025 ($ in thousands):

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Property<br>Type** | **Location** | **Origination<br>Date** | **Stated<br>Interest Rate**<sup>(3)</sup> | **Original<br>Loan<br>Amount** | **Current<br>Principal<br>Outstanding** | **Fair<br>Value** | **Unfunded<br>Commitments** | **Payment<br>Terms** <sup>(5)</sup> | **Current<br>Maturity<br>Date** | **Maximum<br>Maturity<br>Date**<sup>(4)</sup> |
| Multifamily | Maryland | 5/29/2025 | 1M SOFR + 2.65% | $65150 | $65150 | $65150 | $6050 | Monthly; I/O | 6/1/2027 | 6/1/2030 |
| Multifamily | Florida | 6/6/2025 | 1M SOFR + 2.65% | 41500 | 41500 | 41500 | NA | Monthly; I/O | 7/1/2028 | 7/1/2030 |
| Senior<br>Housing | Wisconsin | 5/30/2025<sup>(1)</sup> | 1M SOFR + 4.55% | 1333 | 1333 | 1333 | 290 | Monthly, I/O-A | 5/30/2027 | 5/30/2028 |
| Senior<br>Housing | Kentucky | 6/6/2025<sup>(2)</sup> | 1M SOFR + 11.74% | 4970 | 4970 | 4970 | 251 | Monthly, I/O-A | 12/6/2027 | 12/6/2028 |
| Senior<br>Housing | New York | 6/27/2025<sup>(1)</sup> | 1M SOFR + 4.25% | 8500 | 8500 | 8500 | 118 | Monthly, I/O-A | 6/26/2028 | 6/26/2028 |
| Senior<br>Housing | North<br>Carolina | 6/27/2025<sup>(2)</sup> | 1M SOFR + 12.13% | 6000 | 6000 | 6000 | N/A | Monthly, I/O-A | 6/27/2028 | 6/27/2029 |
|  |  |  |  | $127453 | $127453 | $127453 | $6708 |  |  |  |

---

(1)Investment is a subordinate participation interest in a mortgage loan originated by affiliates of the Monticello Advisor.

(2)Investment is a participation interest in a mezzanine loan originated by affiliates of the Monticello Advisor.

(3)Represents the stated interest rate of the most recent interest period in effect for each loan as of period end. Mortgage loans earn interest at the one-month Term Secured Overnight Financing Rate ("SOFR") plus a spread. On June 30, 2025, one-month Term SOFR was 4.32%.

(4)Maximum maturity date assumes all extension options are exercised by the borrower; however, loans may be repaid prior to such date. Extension options are typically subject to satisfaction of certain predefined conditions as defined in the respective loan agreements.

(5)Payment terms are interest only (I/O), or initially interest only and amortize at a future period in accordance with the terms of the respective agreements (I/O-A).

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**Note 4. Debt Obligations, at fair value**

The following table presents the Company's debt obligations as of June 30, 2025 ($ in thousands):

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Description** | **Stated<br>Interest Rate**<sup>(2)</sup> | **Maximum<br>Facility<br>Size**<sup>(3)</sup> | **Available<br>Capacity**<sup>(3)</sup> | **Debt<br>Amount<br>Outstanding** | **Fair Value<br>of Debt** | **Fair<br>Value of<br>Collateral** | **Current<br>Maturity<br>Date** | **Maximum<br>Maturity<br>Date** |
| Natixis Repurchase Agreement<sup>(1)</sup> | 1M SOFR + 1.40% | $150000 | $64680 | $85320 | $85320 | $127453 | 5/23/2028 | 5/23/2029 |
| JPM Revolving Credit Facility | 1M SOFR + 1.95% | 43875 | 5075 | 37000 | 37000 | N/A<sup>(4)</sup> | 5/21/2026 | 5/21/2027 |
|  |  |  |  | $122320 | $122320 |  |  |  |

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(1)The Natixis repurchase agreement is secured by the Company's real estate loan portfolio as of June 30, 2025. As of June 30, 2025, all real estate loan investments were originated in the Seller (as defined below) under terms of such repurchase agreement and considered collateral under such purchase agreement.

(2)Represents the stated interest rate of the most recent interest period in effect for each loan as of period end. Borrowings under the Company's debt obligations carry interest at one-month Term SOFR plus a spread. On June 30, 2025, one-month Term SOFR was 4.32%.

(3)Represents maximum facility size under the initial agreement and remaining available capacity to borrow after taking into account outstanding indebtedness as of June 30, 2025. Debt obligations may provide for increased borrowing capacity subject to the consent of the lender in its sole discretion.

(4)The Company's obligations under the JPM Credit Agreement (as defined below) are secured by outstanding capital commitments of the BlackRock Advisor. As of June 30, 2025, the remaining outstanding capital commitment of the BlackRock Advisor was $46.75 million.

*Repurchase agreement*

On May 23, 2025, BLKM I, LLC (the "Seller"), an indirect, wholly-owned special-purpose financing subsidiary of the Company, entered into a Master Repurchase Agreement and Securities Contract (together with the related transaction documents, the "Repurchase Agreement"), with Natixis, New York Branch ("Natixis"), to finance the acquisition by the Seller of eligible loans as more particularly described in the Repurchase Agreement. The Repurchase Agreement provides for asset purchases by Natixis for up to an initial amount of $150 million, which may be increased to $300 million, subject to the consent of Natixis, in its sole discretion. The initial maturity date of the Repurchase Agreement is May 23, 2028, subject to extension to a date in the future generally not to exceed the repurchase date of the last remaining eligible loan subject to the Repurchase Agreement, subject to satisfaction of certain customary conditions. In connection with the Repurchase Agreement, the Company provided a Guaranty (the "Guaranty"), which may become full recourse to the Company upon the occurrence of certain events, such as material breach of covenants, change of control, or reorganization of the guarantor as described in the Guaranty. The Guaranty contains operational covenants, and covenants to maintain certain financial ratios and liquidity amounts customary for agreements of this type. The covenants to maintain certain financial ratios and liquidity amounts are not effective until the quarter commencing October 1, 2025.

*Revolving credit facility* 

On May 22, 2025, the Company entered into a revolving credit agreement (as it may be amended from time to time, the "JPM Credit Agreement") with JPMorgan Chase Bank, N.A. ("JPM"), as lender. The JPM Credit Agreement provides for revolving loans of up to a maximum aggregate availability of $43.9 million. The Company's obligations under the JPM Credit Agreement are secured by outstanding capital commitments of the BlackRock Advisor. The JPM Credit Agreement may be increased to an amount as agreed between the Company and JPM, subject to the consent of JPM and other customary conditions. In addition, at no time may the outstanding obligations under the JPM Credit Agreement exceed 90% of the total uncalled capital commitments of the BlackRock Advisor. The JPM Credit Agreement also contains certain operational covenants customary for agreements of this type. As of June 30, 2025, the total uncalled capital commitments of the BlackRock Advisor were $46.75 million and obligations under the JPM Credit Agreement were limited to $42.08 million. The Company is permitted to borrow under the JPM Credit Agreement for any purpose permitted under its constituent documents. The maturity date of the JPM Credit Agreement is May 21, 2026, which may be extended upon the Company's request to a date no longer than 12 months after the then-effective maturity date, subject to the consent of JPM and other customary conditions.

**Note 5. Fair Value Measurements** 

Our board of trustees, including a majority of our independent trustees, has adopted valuation guidelines that contain a comprehensive set of methodologies to be used by the Advisors and the Independent Valuation Advisor (as defined herein) in connection with estimating the values of our assets and liabilities. These guidelines are designed to seek to produce a fair and accurate estimate of the price that would be received for our investments in an arm's-length transaction between a willing buyer and a willing seller in possession of all material information about our investments. Periodically, our board of trustees, including a majority of our independent trustees, and the Valuation Committee (as defined herein) will review the appropriateness of our valuation procedures.

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The Company has engaged an Independent Valuation Advisor (the "Independent Valuation Advisor"), which was approved by our board of trustees, including a majority of our independent trustees. Valuations of the Company's real estate loan investments and the Company's debt obligations are determined by the Advisors (through the Valuation Committee) based on valuations prepared by the Independent Valuation Advisor.

The Company's Advisors have formed a Valuation Committee (the "Valuation Committee"), which approves the proposed estimates of fair value of the Company's real estate loan investments and the Company's debt obligations. Each Advisor has designated two voting representatives on the Valuation Committee, and these representatives serve as the four voting members of the Valuation Committee, which includes other non-voting members agreed upon by the Advisors.

The fair values of our real estate loan investments are determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, on a monthly basis. Newly originated or acquired real estate loan investment are initially valued at cost in the month that they are closed, which represents fair value at that time. For each month after the initial month in which a loan investment is closed, the fair value of such investment is determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor. Valuations of the Company's real estate loan investments reflect changes in interest rates, spreads, collateral value, loan tests (including loan impairment testing) and metrics, risk ratings, and anticipated liquidation timing and proceeds, among others. The fair values are determined by discounting the future contractual cash flows to the present value using a current market interest rate or spread. The market rate is determined through consideration of the interest rates for debt of comparable quality and maturity, and, where applicable, the value of the underlying real estate investment.

The fair values of our debt obligations are determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, on a monthly basis. New debt obligations are valued at par in the month that they are closed, which represents fair value at that time. Each month thereafter, the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, determine the valuation of debt obligations. Any changes to the fair value of debt obligations reflect changes in interest rates, spreads, and key loan metrics and tests utilizing the collateral value and cash flows, including the estimated liquidation timing and proceeds.

U.S. GAAP establishes a hierarchy of valuation techniques based on the observability of inputs utilized in measuring financial assets and liabilities at fair value. U.S. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs. The three levels of the hierarchy are described below:

Level I—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.

Level II—Inputs (other than quoted prices included in Level I) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument's anticipated life.

Level III—Inputs reflect management's best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.

**Fair Value Disclosure:** The following table presents the Company's financial assets and liabilities carried at fair value on a recurring basis in the Condensed Consolidated Balance Sheets by their level in the fair value hierarchy ($ in thousands):

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| | | | |
|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
|  | **Level I** | **Level II** | **Level III** |
| **Financial Assets:** |  |  |  |
| &nbsp;&nbsp;Real estate loan investments, at fair value | $— | $— | $127453 |
| **Financial Liabilities:** |  |  |  |
| &nbsp;&nbsp;Debt obligations, at fair value | $— | $— | $122320 |

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For the three and six months ended June 30, 2025, there were no changes in fair value for our real estate loan investments or debt obligations, nor were there any transfers into or out of level 3 classification.

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The following table contains the quantitative inputs and assumptions used for items categorized in Level III of the fair value hierarchy as of June 30, 2025 ($ in thousands):

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
|  | **Fair Value** | **Valuation<br>Technique** | **Unobservable<br>Inputs** | **Impact to<br>valuation<br>from increase<br>in input** | **Range of Inputs** | **Weighted<br>Average<br>of Inputs** |
| **Financial Assets:** |  |  |  |  |  |  |
| Real estate loan investments | $66483 | Discounted cash flow | Discount Rate | Decrease | 7.0% - 8.9% | 7.1% |
| Real estate loan investments | 60970 | Recent transaction price | Transaction price | N/A | N/A | N/A |
| **Total Real estate loan investments, at fair value** | $**127453** |  |  |  |  |  |
| **Financial Liabilities:** |  |  |  |  |  |  |
| Debt obligations | $122320 | Discounted cash flow | Discount Rate | Decrease | 5.8% - 6.3% | 6.0% |
| **Total Debt obligations, at fair value** | $**122320** |  |  |  |  |  |

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No financial assets or liabilities were held by the Company as of December 31, 2024.

**Note 6. Equity**

The Company is authorized to issue an unlimited number of common shares of beneficial interest, par value $0.01 per share, including unlimited common shares classified as Class T shares, unlimited common shares classified as Class S shares, unlimited common shares classified as Class D shares, unlimited common shares classified as Class I shares, unlimited common shares classified as Class F-S shares, unlimited common shares classified as Class F-D shares, unlimited common shares classified as Class F-I shares, and unlimited common shares classified as Class E shares, and an unlimited number of shares classified as preferred shares of beneficial interest, par value $0.01 per shares. The Company intends to offer and sell to a limited number of investors its common shares in the Private Offering.

The share classes have different upfront selling commissions, dealer manager fees and ongoing shareholder servicing fees, as well as different management and performance fees. See Note 10.

The BlackRock Advisor has agreed to purchase from the Company an aggregate amount of not less than $50 million in Class E shares at a price per share equal to the Company's most recently determined NAV of its Class E shares, or if a NAV has yet to be calculated, then $25.00 (the "Initial BlackRock Investment"). In connection with the Initial BlackRock Investment, the BlackRock Advisor purchased 130,000 Class E shares of the Company for $3.25 million at $25.00 per share. Additionally, an affiliate of the Monticello Advisor also purchased 130,000 Class E shares of the Company for $3.25 million at $25.00 per share. The Class E shares purchased by the BlackRock Advisor and the affiliate of the Monticello Advisor are considered redeemable common shares and are presented as such in the Condensed Consolidated Statements of Changes in Redeemable Common Shares and Equity. Redeemable common shares are also presented as temporary equity in the Company's Condensed Consolidated Balance sheets as they are required to be repurchased following applicable liquidity dates in accordance with the shareholder's respective subscription agreement (See Note 7). As of June 30, 2025, the only shares of the Company outstanding were redeemable common shares purchased by the Advisors or the Advisors' affiliates for an aggregate of $6.5 million.

The per share purchase price for each class of our common shares sold in the Initial Retail Closing will be equal to the most recently determined NAV per share for the Class E shares issued in respect of the Initial BlackRock Investment (which is deemed to be $25.00 until the last calendar day of the month during which BlackRock makes its first investment), plus applicable upfront selling commissions and dealer manager fees or, where no Class E shares have been issued in respect of the Initial BlackRock Investment, then $25.00, in each case, plus applicable upfront selling commissions and dealer manager fees. Thereafter, the purchase price per share of each class of common shares will vary and generally will be equal to the prior month's NAV per share for such class as of the last calendar day of such month, plus applicable upfront selling commissions and dealer manager fees.

No distributions were declared or paid by the Company from inception through June 30, 2025.

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**Note 7. Redeemable Common Shares**

On December 23, 2024 (date of initial capitalization), the Sponsors invested an aggregate of $2,000 to capitalize the Company, with each Sponsor investing $1,000 in consideration for 40 common shares of beneficial interest, par value $0.01 per share, of the Company. These redeemable common shares were exchanged into an equivalent number of issued and outstanding redeemable Class E shares as of March 4, 2025.

The Company also entered into (i) a subscription agreement, dated March 14, 2025, by and between the Company and the BlackRock Advisor, as amended by Amendment No. 1, dated May 22, 2025, pursuant to which the BlackRock Advisor agreed, from time to time, to purchase from the Company an aggregate amount of not less than $50 million in Class E shares, and (ii) a subscription agreement, dated May 6, 2025, by and between the Company and Monticello Capital Partners, LLC, a Delaware limited liability company and an affiliate of MONTICELLOAM, LLC (the "Monticello Investor" and, together with the Blackrock Advisor, the "Sponsor Investors"), pursuant to which the Monticello Investor agreed, from time to time, to purchase from the Company an aggregate amount of not less than $3.25 million in Class E shares (the "Initial Monticello Investment" and, together with the Initial BlackRock Investment, the "Initial Sponsor Investments"), in each case, at a price per share equal to the Company's most recently determined NAV of its Class E shares. On May 27, 2025, pursuant to the terms of the Initial Sponsor Investments, the Company issued 130,000 of its Class E shares to each of the Sponsor Investors (260,000 Class E shares in total) at a price per share of $25.00 for an aggregate purchase price of $6.5 million.

As of June 30, 2025, all 260,080 issued Class E shares are considered redeemable common shares as reflected in the Condensed Consolidated Statements of Changes in Redeemable Common Shares and Equity. These redeemable common shares are classified in temporary equity given that the Class E shares held by the Sponsor Investors are required to be repurchased upon request following the applicable liquidity dates set forth in the subscription agreements of the Sponsor Investors as described below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•The BlackRock Advisor has agreed not to submit for repurchase to us any of the Class E shares issued in respect of the Initial BlackRock Investment until the BlackRock Liquidity Date, which is the earlier of (i) the first date that our NAV reaches $1.0 billion and (ii) the third anniversary of the Initial Retail Closing (the "BlackRock Liquidity Date"). Following the BlackRock Liquidity Date, the BlackRock Advisor may, from time to time, request to have such Class E shares repurchased by us at a price per share equal to the most recently determined NAV per Class E share as of the repurchase date. The Class E shares issued in respect of the Initial BlackRock Investment are not eligible for repurchase pursuant to our share repurchase plan and are not therefore subject to the quarterly limitation or the Early Repurchase Deduction (see Note 8).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•The Monticello Investor has agreed not to submit for repurchase to the Company any of the Class E shares issued in respect of the Initial Monticello Investment until the earlier of (i) the first date that the Company's NAV reaches $1.0 billion and (ii) the third anniversary of the Initial Retail Closing of the Private Offering (the "Monticello Liquidity Date"). Following the Monticello Liquidity Date, the Monticello Investor may, from time to time, request to have such Class E shares repurchased by the Company at a price per share equal to the most recently determined NAV per Class E share as of the repurchase date. The Class E shares issued in respect of the Initial Monticello Investment are not eligible for repurchase pursuant to the Company's share repurchase plan and are not therefore subject to the quarterly limitation or any Early Repurchase Deduction (see Note 8).

The redeemable common shares are recorded at the greater of (i) their carrying amount, or (ii) their redemption value, which is equivalent to the fair value of the shares at the end of each measurement period. Any changes in the fair value of redeemable common shares are recorded to additional paid-in capital. No such adjustment was recorded as of June 30, 2025.

**Note 8. Share Repurchase Plan**

On March 4, 2025, the Company's board of trustees adopted a share repurchase plan, which it presently expects to commence in the first full calendar quarter following the Initial Retail Closing. Pursuant to the share repurchase plan, shareholders may request on a quarterly basis that the Company repurchase all or a portion of their common shares. The Company is not obligated to repurchase any common shares and may choose to repurchase only some, or even none, of the common shares that have been requested to be repurchased in any particular quarter in its discretion. Repurchases will be made at the transaction price in effect on the repurchase date, which will generally be equal to our prior month's NAV per share, except that common shares that have not been outstanding for at least one year will be repurchased at 95% of the transaction price (an "Early Repurchase Deduction"). The one year holding period is measured from the first calendar day of the month in which the shares were issued to the subscription closing date immediately following the prospective repurchase date. The Early Repurchase Deduction will not apply to shares acquired through our distribution reinvestment plan.

The aggregate NAV of total repurchases of all classes under the share repurchase plan will be limited to no more than 5% of the aggregate NAV per calendar quarter (measured using the aggregate NAV as of the end of the immediately preceding month). Common shares issued to the Advisors pursuant to the Advisory Agreements or in connection with the Initial Sponsor Investments will not be subject to these repurchase limitations.

In the event that the Company determines to repurchase some but not all of the common shares submitted for repurchase during any calendar quarter, common shares repurchased at the end of the calendar quarter will be repurchased on a pro rata basis. All unsatisfied repurchase requests must be resubmitted after the start of the next calendar quarter, or upon the recommencement of the share repurchase plan, as applicable, subject in each case to the limitations of the share repurchase plan.

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**Note 9. Net Income Per Common Share**

As of June 30, 2025, there were no dilutive instruments impacting net income per share, therefore there is no difference between basic and diluted net income per common share. Net income per common share for the three and six months ended June 30, 2025, is computed as follows ($ in thousands, except for share and per share data):

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| | | |
|:---|:---|:---|
|  | **For the Three Months Ended<br>June 30, 2025** | **For the Six Months Ended<br>June 30, 2025** |
| **Basic and Diluted:** |  |  |
| Net income (loss) | $2 | $2 |
| Weighted-average common shares outstanding, (basic and diluted) | 100080 | 50356 |
| Basic and Diluted net income per common share | $0.02 | $0.03 |

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**Note 10. Related Party Transactions**

**Management Fee:** The services to be provided by the Advisors and the compensation to be paid by the Company are set forth in the advisory agreements between the Company and each of the Advisors (the "Advisory Agreements"). Pursuant to the terms of the Advisory Agreements, the Company will pay the Advisors a combined management fee equal to (i) 1.25% of NAV for its Class S shares, Class T shares, Class D shares and Class I shares and (ii)(a) 0.0% of NAV for its Class F-S shares, Class F-D shares and Class F-I shares for the period beginning on the Initial Retail Closing until the first anniversary of the Initial Retail Closing (such date, the "Reduced Fee Expiration Date") (b), 0.75% of NAV for its Class F-S shares, Class F-D shares and Class F-I shares for the period from the Reduced Fee Expiration Date until the fifth anniversary of the Initial Retail Closing, and (c) 1.25% of NAV for its Class F-S shares, Class F-D shares and Class F-I shares thereafter, in each case, per annum, accrued monthly and payable quarterly in arrears.

The management fee may be paid, at each Advisor's election, in cash or Class E shares of the Company, or any combination thereof. The Company will not pay the Advisors a management fee with respect to the Class E shares. As of June 30, 2025, only Class E shares were issued by the Company, and therefore no management fee was earned or paid to the Advisors for the three and six months ended June 30, 2025.

**Performance Fee:** The Advisors may be entitled to a combined performance fee, which is accrued monthly and payable quarterly (or part thereof that the Advisory Agreements are in effect) in arrears. The performance fee generally will be an amount, not less than zero, equal to (i) 12.5% of cumulative Core Earnings (as defined below) for the immediately preceding four calendar quarters (or such shorter period until the Company has operated for four full calendar quarters) (each such period, a "4-Quarter Performance Measurement Period"), subject to a hurdle rate, expressed as an annual rate of return on adjusted capital, equal to 5.0% (the "Annual Hurdle Rate"), (ii) subject to a 100% catch-up provision (as described below) and minus (iii) the sum of any performance fees paid to the Advisors with respect to the other calendar quarters in the applicable 4-Quarter Performance Measurement Period. As a result, the Advisors generally do not earn the performance fee for any calendar quarter until Core Earnings for the applicable 4-Quarter Performance Measurement Period exceed the Annual Hurdle Rate.

Once Core Earnings in the applicable 4-Quarter Performance Measurement Period exceeds the Annual Hurdle Rate, the Advisors are generally entitled to a "catch-up" fee equal to 100% of the amount of Core Earnings in excess of the Annual Hurdle Rate, until Core Earnings as a percentage of the adjusted capital for such 4-Quarter Performance Measurement Period is equal to 5.714% (the result of (i) the Annual Hurdle Rate divided by (ii) 0.875 (or 1 minus 0.125)). Thereafter, the Advisors are entitled to receive 12.5% of Core Earnings. Proportional performance fee calculation methods apply in the periods prior to the period in which the Company has completed four full calendar quarters.

For purposes of calculating the performance fee, "Core Earnings" means, for the applicable 4-Quarter Performance Measurement Period, the net income (loss) attributable to shareholders of Class S shares, Class T shares, Class D shares, Class I shares, Class F-S shares, Class F-D shares and Class F-I shares, computed in accordance with GAAP, including realized gains (losses) not otherwise included in GAAP net income (loss) and excluding (i) the performance fee, (ii) depreciation, (iii) any unrealized gains or losses for the applicable reporting period, (iv) one-time events pursuant to changes in GAAP, and (v) certain non-cash adjustments and certain material non-cash income or expense items, in each case for this clause (v) after discussions between the Advisors and the Company's independent trustees and approved by a majority of the Company's independent trustees.

The performance fee may be paid, at each Advisor's election, in cash or Class E shares of the Company, or any combination thereof. The Company will not pay the Advisors a performance fee on Class E shares. For the three and six months ended June 30, 2025, no performance fee was earned or paid to the Advisors.

**Organizational and Offering Expenses:** The Advisors have agreed to advance all of the Company's organization and offering expenses on its behalf (including legal, accounting, printing, mailing, subscription processing and filing fees and expenses, reasonable bona fide due diligence expenses of participating broker-dealers supported by detailed and itemized invoices, costs in connection with preparing sales materials, design and website expenses, fees and expenses of our escrow agent and transfer agent, and expense reimbursements for actual costs incurred by employees of the Dealer Manager in the performance of wholesaling activities (but excluding upfront selling commissions, dealer manager fees and the shareholder servicing fee)) through the first anniversary of the Initial Retail Closing of the Private Offering. The Company will reimburse the Advisors for all such advanced expenses ratably over the 60 months following the first anniversary of the Initial Retail Closing of the Private Offering. Wholesaling compensation expenses of persons associated with the Dealer Manager will be paid by

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the Advisors without reimbursement from the Company. As of June 30, 2025, organizational and offering expenses incurred by the Advisors subject to future reimbursement by the Company are estimated to be $3.67 million.

**Operating Expense Reimbursement:** The Company will reimburse the Advisors and their affiliates for out-of-pocket costs and expenses they incurred in connection with the services they provide, including, but not limited to, (1) the actual cost of goods and services used and obtained, whether payable to an affiliate or a non-affiliated person, including fees paid to administrators, consultants, attorneys, technology providers and other service providers, fees relating to investment valuations and any fees relating to the Company's operations and administration, and brokerage fees paid in connection with the purchase and sale of investments and securities, (2) expenses of managing and operating the Company's investments, whether payable to an affiliate or a non-affiliated person, (3) out-of-pocket expenses in connection with the selection, evaluation, structuring, acquisition, origination and financing of investments, whether or not such investments are acquired and (4) expenses of personnel of the Advisors and their affiliates other than those who provide investment advisory services to us or serve as the Company's executive officers, provided, that the Advisors may be reimbursed for services performed by an executive officer that are outside the scope of such role. No operating expenses were reimbursed to the Advisors for the three and six months ended June 30, 2025.

The Company will reimburse the Advisors for such expenses advanced through the first anniversary of the Initial Retail Closing of the Private Offering, ratably over the 60 months following the first anniversary of the Initial Retail Closing. Operating expenses incurred after the first anniversary of the Initial Retail Closing of the Private Offering will be paid by the Company as incurred. As of June 30, 2025, certain general and administrative operating expenses incurred by the Advisors subject to future reimbursement by the Company are estimated to be $1.56 million.

**Origination Fees:** The Advisors receive loan origination fees, extension fees, exit fees, prepayment fees, loan assumption fees, underwriting fees, administration fees, and/or other similar fees paid by borrowers in connection with the origination of each new loan (collectively, "Origination Fees"). Any Origination Fees received by the Advisors are retained by the Advisors. The Company reimburses the Advisors for out-of-pocket expenses in connection with the selection, origination and acquisition of investments, whether or not such investments are acquired. No out-of-pocket expenses were reimbursed to the Advisors for the three and six months ended June 30, 2025.

**Fees or Reimbursements for Other Services:** The Company may retain certain of the Advisors' affiliates, from time to time, for services relating to Company investments or operations, which may include, but are not limited to, accounting and administration services, tax services, compliance services, reporting services, capital markets services, restructuring services, valuation services, underwriting and diligence services, and special servicing, as well as services related to mortgage servicing, group purchasing, healthcare, consulting/brokerage, capital markets/credit origination, loan servicing and asset management, property, title and other types of insurance, management consulting and other similar operational and investment matters. Any fees or reimbursements paid to the Advisors' affiliates for any such services will not reduce the management fee. No fees or reimbursements for other services were paid to the Advisors for the three and six months ended June 30, 2025.

**Upfront Selling Commissions and Dealer Manager Fees:** The Dealer Manager is entitled to receive upfront selling commissions of up to 3.0%, and upfront dealer manager fees of 0.5%, of the transaction price of each Class T share sold in the primary offering, however such amounts may vary at certain participating broker-dealers provided that the sum will not exceed 3.5% of the transaction price of each Class T share sold. The Dealer Manager is entitled to receive upfront selling commissions of up to 3.5% of the transaction price of each Class S share and Class F-S share sold in the primary offering. The Dealer Manager may be entitled to receive upfront selling commissions of up to 1.5% of the transaction price of each Class D share and Class F-D share sold in the primary offering. The Dealer Manager anticipates that all or a portion of the upfront selling commissions and dealer manager fees will be retained by, or reallowed (paid) to, participating broker-dealers.

No upfront selling commissions or dealer manager fees are paid with respect to purchases of Class I, Class F-I, Class E shares or on shares of any class purchased under the Company's distribution reinvestment plan.

**Shareholder Servicing Fees:** BlackRock Investments, LLC, a broker-dealer affiliated with the BlackRock Advisor, will act as the dealer manager for the offering of shares (the "Dealer Manager") pursuant to a dealer manager agreement between the Company and the Dealer Manager. In addition, the Dealer Manager will engage third party broker-dealers and registered investment advisers to participate in the distribution of the offering of shares.

The Company will pay the Dealer Manager shareholder servicing fees over time for ongoing services rendered to shareholders by participating broker-dealers or broker-dealers servicing investors' accounts equal to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•with respect to outstanding Class T shares, 0.85% per annum of the aggregate NAV of outstanding Class T shares, consisting of a financial adviser shareholder servicing fee of 0.65% per annum, and a dealer manager shareholder servicing fee of 0.20% per annum. Amounts paid for shareholder servicing fee and the dealer manager shareholder servicing fee may be adjusted as long as it does not exceed 0.85% per annum of the NAV of such shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•with respect to outstanding Class S shares and Class F-S shares, 0.85% per annum of the aggregate NAV of outstanding Class S shares and Class F-S shares, respectively; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•with respect to outstanding Class D shares and Class F-D shares, 0.25% per annum of the aggregate NAV of outstanding Class D shares and Class F-D shares, respectively.

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The Company will not pay a shareholder servicing fee with respect to outstanding Class I, Class F-I or Class E shares.

**Note 11. Income Taxes**

The Company intends to elect to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, commencing with the taxable year ended December 31, 2025. As a REIT, U.S. federal income tax law generally requires us to distribute annually at least 90% of our REIT taxable income, without regard to the deduction for dividends paid and excluding net capital gains, and that we pay tax at regular corporate rates to the extent that we annually distribute less than 100% of our net taxable income. We are also subject to U.S. federal, state and local income taxes on our domestic taxable REIT subsidiaries ("TRS") based on the tax jurisdictions in which they operate.

During the three and six months ended June 30, 2025, there was no current income tax provision related to the activities of our taxable REIT subsidiaries. Additionally, no deferred tax assets or liabilities were recorded as of June 30, 2025.

**Note 12. Economic Dependency**

The Company is dependent on the Advisors and their affiliates for certain services that are essential to it, including the sale of the Company's common shares, investment acquisition and disposition decisions, and certain other responsibilities. In the event that the Advisors and/or their affiliates are unable or unwilling to provide such services, the Company would be required to find alternative advisors and service providers.

**Note 13. Commitments and Contingencies**

As of June 30, 2025, the Company was not subject to any material litigation nor is the Company aware of any material litigation threatened against it.

*Loan Commitments*

As of June 30, 2025, the Company had $6.7 million of unfunded commitments related to real estate loan investments. The timing and amounts of future loan fundings under these commitments are uncertain as these commitments may relate to loans for construction costs, capital expenditures, leasing costs, interest and carry costs, among others. As such, the timing and amounts of future fundings depend on the progress and performance of the underlying assets of our loans. Certain of our lenders are contractually obligated to fund their ratable portion of these loan commitments over time, while other lenders have some degree of discretion over future loan funding obligations. The total unfunded commitment is expected to be funded over the remaining tenors of these loans.

**Note 14. Subsequent Events**

The Company has evaluated the impact of all subsequent events through August 12, 2025, the date the condensed consolidated financial statements were available for issuance.

*Retail Closing*

In connection with the continuous private offering of the Company, on July 1, 2025, the Company sold an aggregate of 1,059,497 Class F-I common shares for aggregate consideration of approximately $26.5 million (the "Initial Retail Closing").

On August 1, 2025, the Company sold an additional 1,999 of its Class F-I common shares for aggregate consideration of approximately $50 thousand. The offer and sale of the Shares was exempt from the registration provisions of the Securities Act of 1933, as amended, by virtue of Section 4(a)(2) and Rule 506 of Regulation D promulgated thereunder.

*Anchor Investment*

On July 1, 2025, the Company entered into subscription agreements by and between the Company and certain unaffiliated investors (collectively, the "Anchor Investors"), pursuant to which the Anchor Investors agreed, from time to time, and on or before August 31, 2025, to purchase from the Company an aggregate amount of not less than $55.0 million in Class F-I common shares, at a price per share equal to either (i) where the Company has not yet calculated a NAV per share of the Class F-I common shares, the most recently determined NAV per share of the Class E common shares of the Company or (ii) after the date on which the Company calculates a NAV per share of the Class F-I common shares, the most recently determined NAV of its Class F-I common shares (the "Anchor Investment"). On July 1, 2025, pursuant to the terms of the Anchor Investment, the Company issued an aggregate of 1,100,308 of its Class F-I common shares to the Anchor Investors at a price per share of $24.99 for an aggregate purchase price of $27.5 million. On August 1, 2025, the Company issued an additional 1,099,622 Class F-I common shares to the Anchor Investors at a price per share of $25.01, for an aggregate purchase price of $27.5 million.

The offer and sale of the Class F-I common shares to the Anchor Investors was exempt from the registration provisions of the Securities Act of 1933, as amended, by virtue of Section 4(a)(2) and Rule 506 of Regulation D promulgated thereunder.

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*Paydown of Debt Obligations*

On July 1, 2025, the Company utilized proceeds from the aforementioned Initial Retail Closing and Anchor Investment to pay down $19.0 million of outstanding principal on the JPM Credit Agreement, and $33.0 million of outstanding principal on the Repurchase Agreement.

*Credit Agreement - Customers Bank*

On July 30, 2025, BLKM III, LLC (the "Borrower"), an indirect subsidiary of the Company, entered into a credit agreement with Customers Bank ("Customers Bank Credit Agreement"), as administrative agent (in such capacity, the "Administrative Agent") and account bank, MonticelloAM Servicing, LLC, as servicer, and certain other lenders party thereto. In connection with the Customers Bank Credit Agreement, the Company provided a guaranty which may become full recourse to the Company upon the occurrence of certain events as described in the Customers Bank Credit Agreement.

The maximum aggregate commitments under the Customers Bank Credit Agreement is $150 million. The Borrower's obligations under the Customers Bank Credit Agreement will be secured by all right, title and interest in healthcare commercial real estate loans of the Borrower. The maximum aggregate commitment under the Customers Bank Credit Agreement may be increased to an amount as agreed between the Borrower and Administrative Agent. The Customers Bank Credit Agreement includes certain financial covenants applicable to the Borrower and the Company, including certain leverage and liquidity requirements. The Customers Bank Credit Agreement will mature on July 30, 2030, subject to early repayment and customary events of default.

Advances under the Customers Bank Credit Agreement generally bear interest at a rate per annum equal to the Term SOFR plus (i) 2.00%, until July 30, 2028, or (ii) 2.50%, from July 31, 2028. The Company pays a commitment fee on a monthly basis to the lender on the daily unused amount of its commitment at a rate per annum of 0.25%.

*Dividends*

On July 31, 2025, the Company declared distributions for each class of its common shares in the amount per share set forth below:

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| | | | |
|:---|:---|:---|:---|
|  | **Gross Distribution** | **Shareholder <br>Servicing Fee** | **Net Distribution** |
| Class F-I Common Shares | $0.1927 | $- | $0.1927 |
| Class E Common Shares | $0.1927 | $- | $0.1927 |

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*Real estate loan investments and related financing*

From July 1, 2025 through August 12, 2025, the Company closed on four real estate loan investments with aggregate outstanding principal of $113.3 million. The investments included three floating rate wholly-originated mortgage loans for $109.8 million which earn interest at one-month Term SOFR, plus a spread ranging from 3.95%-4.45%. The Company also closed on one participation interest in a mezzanine loan for $3.5 million which earns interest at a fixed rate of 14.5%.

The Company utilized a combination of cash on hand and available borrowings on the Repurchase Agreement and Customers Bank Credit Agreement to facilitate the closing of the four real estate loan investments. $22.0 million was borrowed pursuant to the Repurchase Agreement and $87.8 million was borrowed pursuant to the Customers Bank Credit Agreement.

*Advisory agreements* 

On August 8, 2025, the Company entered into the (i) Second Amended and Restated Advisory Agreement (the "BLK A&R Advisory Agreement") by and between the Company and the BlackRock Advisor and (ii) Second Amended and Restated Advisory Agreement (the "MAM A&R Advisory Agreement" and, together with the BLK A&R Advisory Agreement, the "Advisory Agreements") by and between the Company and the Monticello Advisor, in each case, in connection with the consideration for services rendered by the Advisors, to amend the calculation of the management fee and the performance fee payable to each Advisor. There is no change in the management fee and performance fee payable by the Company in the aggregate. Pursuant to the Advisory Agreements, the Advisors will continue to manage the Company's day-to-day operations subject to the supervision of the Company's board of trustees.

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**ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS** **OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS**

*References herein to "BlackRock Monticello Debt Real Estate Investment Trust.," "Company," "we," "us," or "our" refer to BlackRock Monticello Debt Real Estate Investment Trust and its subsidiaries unless the context specifically requires otherwise.*

*The following discussion should be read in conjunction with the unaudited condensed consolidated financial statements and notes thereto appearing elsewhere in this Quarterly Report on Form 10-Q. In addition to historical data, this discussion contains forward-looking statements about our business, operations and financial performance based on current expectations that involve risks, uncertainties and assumptions. Our actual results may differ materially from those in this discussion as a result of various factors, including but not limited to those discussed under Item 1A. "Risk Factors" in our Registration Statement on Form 10, (as amended, the "Registration Statement") filed with U.S. Securities and Exchange Commission (the "SEC").*

**Forward-Looking Statements**

Some of the statements in this Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this Form 10-Q may include statements as to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our future operating results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our business prospects and the prospects of the assets in which we may invest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the impact of the investments that we expect to make;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to raise sufficient capital to execute our investment and lending strategies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to source adequate investment and lending opportunities to efficiently deploy capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our current and expected financing arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the effect of global and national economic and market conditions generally upon our operating results, including, but not limited to, changes with respect to inflation, interest rate changes and supply chain disruptions, and changes in government rules, regulations and fiscal policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the adequacy of our cash resources, financing sources and working capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the timing and amount of cash flows, distributions and dividends, if any, from our investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our contractual arrangements and relationships with third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•actual and potential conflicts of interest with the Advisors or any of their affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the dependence of our future success on the general economy and its effect on the assets in which we may invest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our use of financial leverage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the ability of the Advisors to locate suitable investments for us and to monitor and administer our investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the ability of the Advisors or their affiliates to attract and retain highly talented professionals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to structure investments in a tax-efficient manner and the effect of changes to tax legislation and our tax position; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the tax status of the assets in which we may invest.

In addition, words such as "may," "will," "should," "target," "project," "estimate," "continue," "anticipate," "believe," "expect" or "intend" or the negatives thereof or other variations thereon or comparable terminology indicate a forward-looking statement, although not all forward-looking statements include these words. The forward-looking statements contained in this Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in "*Item 1A. Risk Factors*" section of Post-Effective Amendment No. 1 to the Registration Statement filed with the SEC and elsewhere in this Form 10-Q. Other factors that could cause actual results to differ materially include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•changes in the economy, particularly those affecting the real estate industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•risks associated with possible disruption in our operations or the economy generally due to terrorism, war and military conflicts, natural disasters and climate-related risks, epidemics or other events having a broad impact on the economy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•adverse conditions in the areas where our investments or the properties underlying such investments are located and local real estate conditions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our portfolio may be concentrated in certain industries and geographies, and, as a consequence, our aggregate return may be substantially affected by adverse economic or business conditions affecting that particular type of asset or geography;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•limitations on our business and our ability to satisfy requirements to maintain our exclusion from registration under the Investment Company Act of 1940, as amended (the "Investment Company Act") or to maintain our qualification as a REIT for U.S. federal income tax purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•since there is no public trading market for our common shares, repurchase of common shares by us will likely be the only way to dispose of your shares. Our share repurchase plan provides shareholders with the opportunity to request that we repurchase their common shares on a quarterly basis, but we are not obligated to repurchase any common shares and may choose to repurchase only some, or even none, of our common shares that have been requested to be repurchased in any particular calendar quarter in our discretion. In addition, repurchases will be subject to available liquidity and other significant restrictions. Further, our board of trustees may make exceptions to, modify and suspend our share repurchase plan if, in its reasonable determination, it deems such action to be in our best interest. As a result, our common shares should be considered as having only limited liquidity and at times may be illiquid;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•distributions are not guaranteed and may be funded from sources other than cash flow from operations, including, without limitation, borrowings, offering proceeds, the sale of our assets, and repayments of our real estate loan investments, and we have no limits on the amounts we may fund from such sources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the purchase and repurchase prices for our common shares are generally based on our prior month's net asset value ("**NAV**") and are not based on any public trading market; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•future changes in laws or regulations and conditions in our operating areas.

Although we believe that the assumptions on which these forward-looking statements are based are reasonable, any of those assumptions could prove to be inaccurate, and, as a result, the forward-looking statements based on those assumptions also could be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this Form 10-Q should not be regarded as a representation by us that our plans and objectives will be achieved. These forward-looking statements apply only as of the date of this Form 10-Q. Moreover, we assume no duty and do not undertake to update the forward-looking statements.

**Overview**

We are a Maryland statutory trust formed on November 7, 2024. Our investment strategy is to originate, acquire, finance, manage and dispose of a portfolio consisting primarily of real estate loan investments, including senior mortgage loans, subordinated debt and other similar investments (the "Loan Portfolio"). Our real estate loans are expected to be secured by properties located in the United States and include, without limitation multifamily, seniors housing and other commercial real estate assets. To a lesser extent, we invest in publicly traded real estate-related debt or securities, private real estate-related debt, and other securities, including collateralized loan obligations ("CLOs") and/or cash and cash equivalent investments (collectively, the "Liquid Investments Portfolio"). Our sponsors are BlackRock, Inc. ("BlackRock") and MONTICELLOAM, LLC ("Monticello") (each, a "Sponsor", and together, the "Sponsors"). BlackRock Financial Management, Inc. (the "BlackRock Advisor"), an affiliate of BlackRock, and MONTICELLOAM, LLC (in its capacity as investment adviser to the Company, the "Monticello Advisor"), serve as our external advisors (each, an "Advisor" and together, the "Advisors").

We are an externally advised, perpetual-life REIT formed to pursue the following investment objectives:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•provide shareholders with current income in the form of regular, stable cash distributions in order to achieve an attractive distribution yield;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•preserve and protect shareholders' invested capital by focusing on high quality real estate assets that typically have current cash-flow and/or limited business plan risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•reduce downside risk through conservative loan-to-value ratios against high quality real estate assets with meaningful borrower equity or implied equity; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•provide an investment alternative for shareholders seeking to allocate a portion of their investment portfolios to real estate loan investments with lower volatility than publicly traded securities and compelling risk-adjusted returns compared to fixed income alternatives.

We may not achieve our investment objectives. See "Item 1A. Risk Factors" in the Registration Statement filed with the SEC.

We are structured as a non-listed, perpetual-life REIT, and therefore our securities are not listed on a national securities exchange and, as of the date of this Form 10-Q, there is no plan to list our securities on a national securities exchange. We are organized as a holding company and conduct our business primarily through our various subsidiaries. We intend to elect and qualify to be taxed as a real estate investment trust ("REIT") under the Internal Revenue Code of 1986, as amended, commencing with our taxable year ending December 31, 2025.

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Our board of trustees will at all times have ultimate oversight and policy-making authority over us, including responsibility for governance, financial controls, compliance and disclosure. Pursuant to the Advisory Agreements (as defined herein), however, we have delegated to the Advisors the authority to source, evaluate and monitor our investment opportunities and make decisions related to the acquisition, management, financing and disposition of our assets, in accordance with our investment objectives, guidelines, policies and limitations, subject to oversight by our board of trustees.

We are not aware of any material trends or uncertainties, favorable or unfavorable, other than national economic conditions affecting real estate generally, that may be reasonably anticipated to have a material impact on either capital resources or the revenues or income to be derived from acquiring properties or real estate-related securities, other than those referred to in this Form 10-Q.

**Q2 2025 Highlights**

***Capital Activity***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Raised $6.5 million of net proceeds from the issuance of Class E common shares to Sponsor Investors during the three months ended June 30, 2025 (see Note 7 in the footnotes of the unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q).

***Investing Activity***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Originated two floating rate senior commercial real estate loans with a total commitment amount of $112.7 million and total outstanding principal amount of $106.7 million as of June 30, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Invested in four loan participations; including two subordinate participation interests in floating rate senior commercial real estate loans and two participation interests in mezzanine loans with a total commitment amount of $21.5 million and total outstanding principal amount of $20.8 million as of June 30, 2025.

***Financing Activity***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•On May 22, 2025, the Company entered into the JPM Credit Agreement with JP Morgan Chase Bank, N.A. The agreement provides for revolving loans of up to a maximum aggregate availability of $43.9 million. As of June 30, 2025, the Company had $37.0 million outstanding borrowings from the JPM Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•On May 23, 2025, BLKM I, LLC (the "Seller"), an indirect, wholly-owned special-purpose financing subsidiary of the Company, entered into a Master Repurchase Agreement and Securities Contract (together with the related transaction documents, the "Repurchase Agreement"), with Natixis, New York Branch ("Natixis"), to finance the acquisition by the Seller of eligible loans as more particularly described in the Repurchase Agreement. The Repurchase Agreement provides for asset purchases by Natixis for an initial amount of $150 million, which may be increased to $300 million, subject to the consent of Natixis, in its sole discretion. The Company had $85.3 million of outstanding borrowings from the Repurchase Agreement as of June 30, 2025.

**Results of Operations**

The following table sets forth information regarding our Condensed Consolidated Results of Operations for the three and six months ended June 30, 2025. The Company did not start substantial operations until Q2 2025. The Company was formed on November 7, 2024 and there were no operations during the three and six months ended June 30, 2024.

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| | | |
|:---|:---|:---|
|  | **For the Three Months Ended<br>June 30, 2025** | **For The Six Months Ended<br>June 30, 2025** |
| **Revenue** |  |  |
| Interest income | $742 | $742 |
| Other income | 5 | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenue** | **747** | **747** |
| **Expenses** |  |  |
| Interest and fees on debt obligations | 554 | 554 |
| General and administrative | 191 | 191 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total expenses** | **745** | **745** |
| **Gains (losses) from operations and financing** |  |  |
| Unrealized gain (loss) on real estate loan investments |  |  |
| Unrealized gain (loss) on debt obligations |  |  |
| Total gain (loss) from operations and financing, net |  |  |
| **Net income (loss)** | $**2** | $**2** |
| **Net income (loss) per common share, basic and diluted (Note 9)** | $**0.02** | $**0.03** |
| **Weighted-average common shares outstanding, basic and diluted (Note 9)** | **100080** | **50356** |

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**Revenues**

During the three and six months ended June 30, 2025, revenues totaled approximately $0.7 million consisting of interest income on our real estate loan investments. Other income pertained to investment income from money market interest.

**Expenses**

*Interest and fees on debt obligations*

During the three and six months ended June 30, 2025, interest and fees on debt obligations was approximately $0.6 million representing interest expense and other minimum utilization fees on our debt obligations.

*General and administrative* 

During the three and six months ended June 30, 2025, the Company incurred approximately $0.2 million of general and administrative costs related to professional and trustee fees.

**Accounting Policies**

See Note 2 in the condensed consolidated financial statements included in this Form 10-Q for a discussion of accounting policies and recent accounting developments expected to impact the Company.

**Income Taxes**

The Company intends to elect to be taxed as a REIT under the Internal Revenue Code of 1986, as amended, commencing with its taxable year ending December 31, 2025. Provided that we make a timely election and qualify as a REIT, we will not be subject to federal income tax with respect to the portion of our income that meets certain criteria and is distributed annually to shareholders. We intend to operate in a manner that allows us to meet the requirements for taxation as a REIT. Many of these requirements, however, are highly technical and complex. We will monitor the business and transactions that may potentially impact our REIT status. If we were to fail to meet these requirements, we could be subject to federal income tax on our taxable income at regular corporate rates. We would not be able to deduct distributions paid to shareholders in any year in which the Company fails to qualify as a REIT. We would also be disqualified for the four taxable years following the year during which qualification was lost unless we were entitled to relief under specific statutory provisions.

The Company has formed, and may form in the future, one or more subsidiaries to function as taxable REIT subsidiaries ("TRS") and will file TRS elections, together with such subsidiaries, with the U.S. Internal Revenue Service. In general, a TRS may perform additional services for the Company's tenants and generally may engage in any real estate or non-real estate-related business other than management or operation of a lodging facility or a health care facility. The TRS will be subject to taxation at the federal, state, local and non-U.S. levels, as applicable, at the regular corporate tax rates. The Company will account for applicable income taxes by utilizing the asset and liability method. As such, the Company will record deferred tax assets and liabilities for the future tax consequences resulting from the difference between the carrying value of existing assets and liabilities and their respective tax basis. A valuation allowance for deferred tax assets will be provided if the Company believes all or some portion of the deferred tax asset may not be realized.

**Liquidity and Capital Resources**

Liquidity is a measure of our ability to meet our cash requirements, including ongoing commitments to repay borrowings, fund and maintain our assets and operations, make new investments where appropriate, pay distributions to our shareholders and other general business needs. We closely monitor our liquidity position and believe that we have sufficient current liquidity and access to additional liquidity to meet our financial obligations for at least the next 12 months.

The BlackRock Advisor and Monticello Capital Partners, LLC, an affiliate of the Monticello Advisor (the "Monticello Investor"), have each agreed to purchase from us an aggregate amount of not less than $50 million, in the case of the BlackRock Advisor, and $3.25 million in the case of the Monticello Investor, in each case, in Class E shares of the Company, at a price per share equal to the Company's most recently determined NAV of its Class E shares, or if a NAV has yet to be calculated, then $25.00. As of June 30, 2025, the remaining capital commitment of the BlackRock Advisor was $46.75 million. We expect to generate cash primarily from (i) the net proceeds of our continuous private offering, (ii) cash flows from our operations, (iii) any financing arrangements we may enter into in the future and (iv) any future offerings of our equity or debt securities.

Our primary uses of cash will be for (i) origination or acquisition of commercial mortgage loans and other commercial debt investments, commercial mortgage-backed securities and other commercial real estate-related debt investments in accordance with our investment guidelines, (ii) the cost of operations (including the management fee and performance fee), (iii) debt service of any borrowings, (iv) periodic repurchases, including under our share purchase plan (as described herein), and (v) cash distributions (if any) to the holders of our shares to the extent authorized by our board of trustees and declared by us.

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The Company will seek to enter into bank debt, credit facility, and / or other financing arrangements on at least customary and market terms; however, such incurrence would be subject to prevailing market conditions, the Company's liquidity requirements, contractual and regulatory restrictions and other factors.

As of June 30, 2025, the Company has entered into a Repurchase Agreement where the Company has pledged loans as collateral. Under the Repurchase Agreement the Company is permitted to borrow as much as $150 million based on the value of the loans pledged as collateral and the maximum advance rates attributed to each loan by the lender. The Company also entered into a revolving credit agreement (as it may be amended from time to time, the "JPM Credit Agreement") with JP Morgan Chase Bank, N.A., as lender with an aggregate borrowing capacity of $43.9 million secured by outstanding commitments of the BlackRock Advisor. As of June 30, 2025, the Company has $122.3 million in outstanding debt. See Note 4.

Our primary sources of liquidity include cash and cash equivalents and available borrowings under our debt facilities. The following table summarizes amounts available under these sources as of June 30, 2025 ($ in thousands):

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| | |
|:---|:---|
|  | **June 30, 2025** |
| Cash and cash equivalents | $1326 |
| Unutilized borrowing capacity - repurchase agreements | 64680 |
| Available borrowings on revolving credit facility | 5075 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total liquidity and capital resources | $71081 |

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Subsequent to June 30, 2025, the Company executed several financing transactions as described below. See Note 14 for additional details.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•We completed our initial retail closing on July 1, 2025, and issued 1,059,497 Class F-I common shares for aggregate consideration of $26.5 million. On August 1, 2025, the Company issued an additional 1,999 F-1 common shares for aggregate consideration of $50 thousand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•On July 1, 2025, we entered into subscription agreements with unaffiliated investors (the "Anchor Investors") pursuant to which the Anchor Investors agreed, from time to time, and on or before August 31, 2025, to purchase from the Company an aggregate amount of not less than $55.0 million in Class F-I common shares. On July 1, 2025, pursuant to terms of the subscription agreements, the Company issued 1,100,308 Class F-I common shares to the Anchor investors for aggregate consideration of $27.5 million. On August 1, 2025, the Company issued an additional 1,099,622 F-I common shares to the Anchor Investors for aggregate consideration of $27.5 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•We utilized proceeds from the July 1, 2025 initial retail closing and Anchor Investment to pay down $19 million of outstanding indebtedness pursuant to the JPM Credit Agreement, and $33 million of outstanding indebtedness pursuant to the Repurchase Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•On July 30, 2025, we entered into a credit agreement with Customers Bank ("Customers Bank Credit Agreement"), which provides maximum aggregate commitments of up to $150 million. Obligations under the agreement are secured by the Company's real estate loan investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•To facilitate the closing of four real estate investments for aggregate outstanding principal of $113.3 million, the Company utilized available borrowings on the Repurchase Agreement and Customers Bank Credit Agreement. $22.0 million was borrowed pursuant to the Repurchase Agreement and $87.8 million was borrowed pursuant to the Customers Bank Credit Agreement.

*Cash Flows - For the Six Months Ended June 30, 2025*

We experienced a $1.3 million net increase in cash and cash equivalents during the six months ended June 30, 2025, reflecting cash used in operating activities of ($0.04) million, cash used in investing activities of ($127.5) million, and cash provided by financing activities of $128.8 million.

Net cash used in operating activities of ($0.04) million was primarily driven by an increase in general and administrative costs and interest expense on debt obligations, offset by interest income on our real estate loan investment portfolio.

Net cash used in investing activities of ($127.5) million was driven by origination of $106.7 million of mortgage loans and the purchase of $20.8 million of participation interests in mortgage and mezzanine loans originated by affiliates of the Monticello Advisor.

Net cash provided by financing activities of $128.8 million was comprised of $37 million of borrowings pursuant to the JPM Credit Agreement, $85.3 million of borrowings pursuant to the Repurchase Agreement, and $6.5 million of proceeds from the issuance of Class E shares to our Advisors.

**Distribution Policy**

Any distributions we make will be at the discretion of our board of trustees, considering factors such as our earnings, cash flow, capital needs and general financial condition. As a result, our distribution rates and payment frequency may vary from time to time.

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Our board of trustees' discretion as to the payment of distributions will be directed, in substantial part, by its determination to cause us to comply with the REIT requirements. To maintain our qualification as a REIT, we generally are required to make aggregate annual distributions to our shareholders of at least 90% of our REIT taxable income, determined without regard to the deduction for dividends paid and excluding net capital gains.

We intend to declare monthly distributions for each class of common shares then-outstanding, which will be paid in the subsequent month and will be the same gross distribution per share for each class. The net distribution may vary for each class based on the applicable shareholder servicing fee, which is deducted from the gross distribution per share.

On July 31, 2025, we declared a dividend of $0.1927 per share, which will be paid on or around August 21, 2025 to shareholders of record as of July 31, 2025.

**Net Asset Value** 

Our NAV presented in the following table includes the NAV of our outstanding classes of common shares. As of June 30, 2025 only Class E common shares were outstanding. The following table provides a breakdown of the major components of our NAV as of June 30, 2025 ($ in thousands):

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| | |
|:---|:---|
| **Components of NAV** | **June 30, 2025** |
| Cash and cash equivalents | $1326 |
| Real estate loan investments, at fair value | 127453 |
| Accrued interest receivable | 425 |
| Due from affiliates | 59 |
| Debt Obligations, at fair value | (122320) |
| Accrued interest payable | (223) |
| Accrued expenses | (216) |
| Net asset value | $6504 |
| Number of outstanding shares | 260080 |
| NAV Per Share as of June 30, 2025 | $25.01 |

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Our NAV for each class of common shares is calculated by our fund administrator (the "Administrator") with the assistance of the Advisors based on the valuations of our investments, the addition of any other assets (such as cash on hand), and the deduction of any liabilities, including, as applicable with respect to any particular class of shares, the accrual of any management fees and performance fees to the Advisors, and will also include the deduction of any ongoing shareholder servicing fees specifically applicable to such class of common shares. The Advisors review and approve the NAV.

*Valuation Guidelines and the Valuation Committee*

Our board of trustees, including a majority of our independent trustees, has adopted valuation guidelines that contain a comprehensive set of methodologies to be used by the Advisors and the Independent Valuation Advisor (as defined herein) in connection with estimating the values of our assets and liabilities for purposes of our NAV calculation. These guidelines are designed to seek to produce a fair and accurate estimate of the price that would be received for our investments in an arm's-length transaction between a willing buyer and a willing seller in possession of all material information about our investments. Periodically, our board of trustees, including a majority of our independent trustees, and the Valuation Committee (as defined herein) will review the appropriateness of our valuation procedures. From time to time, our board of trustees, including a majority of our independent trustees, may adopt changes to the valuation guidelines if it (1) determines that such changes are likely to result in a more accurate reflection of NAV or a more efficient or less costly procedure for the determination of NAV without having a material adverse effect on the accuracy of such determination or (2) otherwise reasonably believes a change is appropriate for the determination of NAV.

The Advisors have formed a Valuation Committee (the "Valuation Committee"), which reviews and approves the proposed estimates of fair values of the Company's Loan Portfolio investments, and debt facility liabilities, that are prepared by the Independent Valuation Advisor as well as the fair values of the Liquid Investments Portfolio prepared by the Advisors, in each case, prior to their use by the Administrator and the Advisors in determining our NAV. The Valuation Committee is comprised of a total of four voting members, two of whom are designated by each Advisor. The Valuation Committee has adopted a charter and procedures that are consistent with our valuation guidelines that are discussed below.

The calculation of our NAV is intended to be a calculation of the fair value of our assets less our outstanding liabilities as described below and will likely differ from the book value of our equity reflected in our condensed consolidated financial statements, which will be prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP").

To calculate our NAV for the purpose of establishing a purchase and repurchase price for our common shares, we have adopted valuation guidelines to assist in the calculation of the fair values of our assets and liabilities in accordance with our valuation guidelines. Because these

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fair value calculations involve significant professional judgment in the application of both observable and unobservable attributes, the calculated fair value of assets may differ from their actual realizable value or future fair value. While we believe these NAV calculation methodologies are consistent with standard industry practices, there is no rule or regulation that requires we calculate NAV in a certain way. As a result, other REITs may use different methodologies or assumptions to determine NAV. In addition, NAV is not a measure used under U.S. GAAP and the valuations of and certain adjustments made to our assets and liabilities used in the determination of NAV may differ from U.S. GAAP. Shareholders should not consider NAV to be equivalent to shareholders' equity or any other U.S. GAAP measure.

Our board of trustees is involved in the periodic valuation of our assets and liabilities and will periodically receive and review such information about the valuation of our assets and liabilities as it deems necessary to exercise its oversight responsibility. In addition, our board of trustees has delegated to the Advisors the responsibility for monitoring significant events that may materially affect the values of our investments and for determining whether the values of the applicable investments should be reevaluated prior to the next regularly scheduled valuation in light of such significant events.

*Independent Valuation Advisor*

We have engaged an Independent Valuation Advisor (the "Independent Valuation Advisor"), which was approved by our board of trustees, including a majority of our independent trustees. Valuations of the investments that comprise the Loan Portfolio and the Company's debt facility liabilities will be determined by the Advisors (through the Valuation Committee) based on valuations prepared by the Independent Valuation Advisor. The Independent Valuation Advisor is engaged in the business of rendering opinions regarding the value of real estate-related investments and related liabilities and is not affiliated with us or the Advisors.

The Advisors, with the approval of our board of trustees, including a majority of independent trustees, may engage additional independent valuation advisors in the future as our portfolio grows and diversifies. While the Independent Valuation Advisor will provide estimated fair value for our investments held in the Loan Portfolio and the Company's debt facility liabilities each month in accordance with the Company's valuation guidelines, it is not responsible for, and does not calculate, our NAV.

The Independent Valuation Advisor may be replaced at any time, in accordance with agreed-upon notice requirements, by a majority vote of our board of trustees, including a majority of our independent trustees. The Independent Valuation Advisor will discharge its responsibilities in accordance with our valuation guidelines.

We pay fees to the Independent Valuation Advisor in accordance with the valuation services agreement. The compensation paid to the Independent Valuation Advisor is not based on the estimated values of our assets and liabilities or any confirmation thereof.

The Independent Valuation Advisor and its affiliates have provided and is expected to continue to provide real estate appraisal, appraisal management and valuation advisory services to BlackRock, Monticello and their affiliates and have received, and are expected to continue to receive, fees in connection with such services. The Independent Valuation Advisor and its affiliates will from time to time perform other commercial real estate and financial advisory services for BlackRock, Monticello and their affiliates, or in transactions related to collateral that is a component of the subjects of the valuations being performed for us, or otherwise, so long as such other services do not adversely affect the independence of the Independent Valuation Advisor as certified in the applicable valuation report.

<u>Loan Portfolio Valuation</u>

The fair values of the investments comprising our Loan Portfolio will be determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, on a monthly basis. Newly originated or acquired loan investments will initially be valued at cost in the month that they are closed, which is expected to represent fair value at that time. For each month after the initial month in which a loan investment is closed, the fair value of such investment will be determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor.

Valuations of real estate loan investments reflect changes in interest rates, spreads, collateral value, loan tests (including loan impairment testing) and metrics, risk ratings, and anticipated liquidation timing and proceeds, among others. The fair values are determined by discounting the future contractual cash flows to the present value using a current market interest rate or spread. The market rate is determined through consideration of the interest rates for debt of comparable quality and maturity, and, where applicable, the value of the underlying real estate investment.

*Valuation of Collateral*

For real estate loan investments, an appraisal will be completed by an independent appraisal firm prior to the closing of each transaction. Appraised values of property collateral are based on comparable sales, occupancy, leasing rates and expirations, discounted cash flows and anticipated liquidation timing and proceeds, among other factors. The Advisors or the Valuation Committee may choose to obtain an updated third-party appraisal subsequent to the loan closing date if a material event occurs and impacts the collateral.

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*Evaluated pricing not available*

If evaluated pricing is not readily available at the time of the investment (or are otherwise not reliable for a particular investment), the Advisors will initially value the investment at the acquisition price. Each such investment will then be valued by the Advisors monthly as determined in good faith, in certain cases as provided to the Advisors by third-party valuation agents. Due to the inherent uncertainty of these estimates, estimates of fair value may differ from the values that would have been used had a ready market for these investments existed and the differences could be material. Market quotes are considered not readily available in circumstances where there is an absence of current or reliable market-based data (e.g., trade information, bid/ask information, or broker-dealer quotations).

<u>Valuation of Liabilities</u>

Our NAV calculation includes the fair values of our debt facility liabilities, each as determined by the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, on a monthly basis. New debt facility liabilities will initially be valued at par, which is expected to represent fair value at that time. Each month thereafter, the Advisors (through the Valuation Committee), based on valuations prepared by the Independent Valuation Advisor, will prepare the debt facility liability valuations. Any changes to the fair value of debt facility liabilities are expected to reflect changes including interest rates, spreads, and key loan metrics and tests utilizing the collateral value and cash flows, including the estimated liquidation timing and proceeds. The fair value of any financing liabilities will generally be measured using the valuations guidelines discussed above.

In addition to debt facility liabilities, we expect that our liabilities will include the management fees and performance fees payable to the Advisors, upfront sales commissions and shareholder servicing fees payable to the Dealer Manager, accounts payable, accrued operating expenses and other liabilities. All liabilities will be valued using widely accepted methodologies specific to each type of liability. Liabilities related to shareholder servicing fees will be allocable to the applicable classes and will only be included in the NAV calculation for that class. Liabilities related to the management fee and performance fee will be allocable to only such classes to which the management fee and performance fee relate.

For purposes of calculating our NAV, neither (1) organization and offering expenses paid by the Advisors through the first anniversary of the initial closing of the Company's continuous, blind pool Private Offering (the "Initial Retail Closing"), nor (2) certain operating expenses paid by the Advisors, incurred by us during the period through the first anniversary of the Initial Retail Closing, are recognized as expenses or as a component of equity and reflected in our NAV until we reimburse the Advisors for these costs.

**ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

As a smaller reporting company, as defined in Rule 12b-2 under the Securities Exchange Act of 1934, (as amended, the "Exchange Act"), we are not required to provide the information required under this item.

**ITEM 4. CONTROL** **S AND PROCEDURES**

**Evaluation of Disclosure Controls and Procedures**

An evaluation of the effectiveness of the design and operation of our "disclosure controls and procedures" (as defined in Rule 13a-15(e) under the Exchange Act), as of the end of the period covered by this Quarterly Report on Form 10-Q was made under the supervision and with the participation of our management, including our President and Chief Financial Officer ("CFO"). Based upon this evaluation, our President and CFO have concluded that our disclosure controls and procedures (i) are effective to ensure that information required to be disclosed by us in reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the time periods specified by the SEC rules and forms and (ii) include, without limitation, controls and procedures designed to ensure that information required to be disclosed by us in reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our President and CFO, as appropriate to allow timely decisions regarding required disclosure. Any controls and procedures, no matter how well designed and operated, can provide only reasonable assurances of achieving the desired control objectives.

**Changes in Internal Controls Over Financial Reporting**

There have been no changes in our "internal control over financial reporting" (as defined in Rule 13a-15(f) of the Exchange Act) that occurred during the period covered by this Quarterly Report on Form 10-Q that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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**PART II. OTHE** **R INFORMATION**

**ITEM 1. LEGAL** **PROCEEDINGS**

From time to time, we may be involved in various claims and legal actions arising in the ordinary course of business. As of June 30, 2025, we were not involved in any material legal proceedings.

**ITEM 1A. R** **ISK FACTORS**

For information regarding factors that could affect our results of operations, financial condition and liquidity, see the risk factors discussed in Item 1A. Risk Factors in the Registration Statement filed with the SEC, as amended. As of June 30, 2025, there have been no material changes from the risk factors set forth in Item 1A. Risk Factors in the Registration Statement.

**ITEM 2. UNREGISTERED SALES OF EQ** **UITY SECURITIES AND USE OF PROCEEDS**

*Share Repurchase Plan*

Under the Company's share repurchase plan, shareholders may request repurchase all or a portion of their shares each quarter. The Company is not obligated to repurchase any shares and may choose to repurchase only some, or even none, of the shares that have been requested to be repurchased in any quarter at the Company's discretion. To the extent the Company chooses to repurchase shares in any quarter, it will only repurchase shares as of the second to last business day of the applicable quarter (each such date, a "Repurchase Date").

Repurchases will be made at the transaction price in effect on the Repurchase Date, except for shares that have not been outstanding for at least one year will be repurchased at 95% of the transaction price (the "Early Repurchase Deduction"). The Early Repurchase Deduction may be waived in the case of repurchase requests arising from the death, qualified disability, or divorce of the shareholder.

The aggregate NAV of total repurchases of common shares will be limited to no more than 5% of the Company's aggregate NAV per calendar quarter (measured using the average aggregate NAV attributable to shareholders as of the end of the immediately preceding month).

The board of trustees of the Company may modify or suspend the share repurchase plan if it deems such action to be in the Company's best interest and the best interest of its shareholders.

**ITEM 3. DEFAULTS U** **PON SENIOR SECURITIES**

None.

**ITEM 4. MINE SA** **FETY DISCLOSURES**

Not applicable.

**ITEM 5.** **OTHE** **R INFORMATION**

On August 8, 2025, the Company entered into the (i) Second Amended and Restated Advisory Agreement (the "BLK A&R Advisory Agreement") by and between the Company and the BlackRock Advisor and (ii) Second Amended and Restated Advisory Agreement (the "MAM A&R Advisory Agreement" and, together with the BLK A&R Advisory Agreement, the "Advisory Agreements") by and between the Company and the Monticello Advisor, in each case, in connection with the consideration for services rendered by the Advisors, to amend the calculation of the management fee and the performance fee payable to each Advisor. There is no change in the management fee and performance fee payable by the Company in the aggregate. Pursuant to the Advisory Agreements, the Advisors will continue to manage the Company's day-to-day operations subject to the supervision of the Company's board of trustees.

The foregoing description of each of the Advisory Agreements does not purport to be complete and is qualified in its entirety by reference to the BLK A&R Advisory Agreement and the MAM A&R Advisory Agreement, which are filed as Exhibits 10.6 and 10.7 to this Quarterly Report on Form 10-Q and incorporated herein by reference

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**ITEM 6.** **EXHIBITS**

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| | |
|:---|:---|
| **Exhibit**<br>**Number** | **Description** |
| 3.1 | [<u>Certificate of Trust of the Company, dated November 7, 2024 (filed as Exhibit 3.1 to the Company's Registration Statement on Form 10 filed on January 15, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525007032/d900272dex31.htm) |
| 3.2 | [<u>Third Amended and Restated Declaration of Trust of the Company, dated as of June 30, 2025 (filed as Exhibit 3.1 to the Company's Current Report on Form 8-K filed on July 7, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525156175/d63473dex31.htm) |
| 3.3 | [<u>Bylaws of the Company (filed as Exhibit 3.3 to the Company's Registration Statement on Form 10 filed on March 14, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525054892/d900272dex33.htm) |
| 4.1 | [<u>Distribution Reinvestment Plan of the Company (filed as Exhibit 4.1 to the Company's Registration Statement on Form 10 filed on March 14, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525054892/d900272dex41.htm) |
| 4.2 | [<u>Share Repurchase Plan, effective June 30, 2025 (filed as Exhibit 4.1 to the Company's Current Report on Form 8-K filed on July 7, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525156175/d63473dex41.htm) |
| 10.1 | [<u>Credit Agreement, dated May 22, 2025, by and between BlackRock Monticello Debt Real Estate Investment Trust, as borrower, and JPMorgan Chase Bank, N.A., as lender (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed on May 29, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525129612/d11879dex101.htm) |
| 10.2 | [<u>Master Repurchase Agreement and Securities Contract, dated May 23, 2025, by and between BLKM I, LLC, as Seller, and Natixis, New York Branch, as purchaser (filed as Exhibit 10.2 to the Company's Current Report on Form 8-K filed on May 29, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525129612/d11879dex102.htm) |
| 10.3 | [<u>Guaranty, dated May 23, 2025, made by BlackRock Monticello Debt Real Estate Investment Trust for the benefit of Natixis, New York Branch (filed as Exhibit 10.3 to the Company's Current Report on Form 8-K filed on May 29, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525129612/d11879dex103.htm) |
| 10.4 | [<u>Form of Anchor Subscription Agreement (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed on July 7, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525156175/d63473dex101.htm) |
| 10.5 | [<u>Credit Agreement, dated July 30, 2025, by and between BLKM III, LLC, as borrower, and Customers Bank, as administrative agent and account bank (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed on August 5, 2025 and incorporated by reference herein)</u>](https://www.sec.gov/Archives/edgar/data/2049595/000119312525173584/d18508dex101.htm) |
| 10.6\* | [<u>Second Amended and Restated Advisory Agreement between the Company and BlackRock Financial Management, Inc., dated as of August 8, 2025</u>](ck0002049595-ex10_6.htm) |
| 10.7\* | [<u>Second Amended and Restated Advisory Agreement between the Company and MONTICELLOAM, LLC, dated as of August 8, 2025</u>](ck0002049595-ex10_7.htm) |
| 31.1\* | [<u>Certification of Principal Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002</u>](ck0002049595-ex31_1.htm) |
| 31.2\* | [<u>Certification of Principal Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002</u>](ck0002049595-ex31_2.htm) |
| 32.1\*\* | [<u>Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002</u>](ck0002049595-ex32_1.htm) |
| 32.2\*\* | [<u>Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002</u>](ck0002049595-ex32_2.htm) |
| 101.INS | Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document |
| 101.SCH | Inline XBRL Taxonomy Extension Schema With Embedded Linkbase Documents |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

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\* Filed herewith

\*\* Furnished herewith

The agreements and other documents filed as exhibits to this report are not intended to provide factual information or other disclosure other than with respect to the terms of the agreements or other documents themselves, and you should not rely on them for that purpose. In particular, any representations and warranties made by us in these agreements or other documents were made solely within the specific context of the relevant agreement or document and may not describe the actual state of affairs as of the date they were made or at any other time.

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**SIGNATURES**

Pursuant to the requirements of Section 13 or Section 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

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| | |
|:---|:---|
| BlackRock Monticello Debt Real Estate Investment Trust | BlackRock Monticello Debt Real Estate Investment Trust |
| August 12, 2025 | /s/ Robert P. Karnes |
| Date | Robert P. Karnes |
|  | President<br>(Principal Executive Officer) |
| August 12, 2025 | /s/ Barry W. Szarvas Jr. |
| Date | Barry W. Szarvas Jr. |
|  | Chief Financial Officer<br>(Principal Financial Officer and Principal<br>Accounting Officer) |

---

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## Exhibit 10.6

**Exhibit 10.6**

**SECOND AMENDED AND RESTATED ADVISORY AGREEMENT**

**BETWEEN**

**BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST**

**AND**

**BLACKROCK FINANCIAL MANAGEMENT, INC.**

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**<u>**TABLE OF CONTENTS**</u>**

**<u>Page</u>**

1. Definitions 1

2. Appointment 6

3. Duties of the BlackRock Advisor 6

4. Authority of BlackRock Advisor 10

5. Bank Accounts 11

6. Records; Access 11

7. Limitations on Activities 11

8. Other Activities of the BlackRock Advisor 11

9. Relationship with Trustees and Officers 14

10. Compensation 14

11. Expenses 16

12. Other Services 19

13. No Joint Venture 20

14. Term 20

15. Termination by the Parties 21

16. Assignment to an Affiliate 21

17. Payments to and Duties of BlackRock Advisor Upon Termination 21

18. Indemnification by the Trust 22

19. Indemnification by BlackRock Advisor 22

20. Non-Solicitation 22

21. Miscellaneous 22

i

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**<u>SECOND AMENDED AND RESTATED ADVISORY AGREEMENT</u>**

**THIS SECOND AMENDED AND RESTATED ADVISORY AGREEMENT** (this "<u>Agreement</u>"), dated as of August 8, 2025 (the "<u>Effective Date</u>"), is by and between BlackRock Monticello Debt Real Estate Investment Trust, a Maryland statutory trust (the "<u>Trust</u>"), and BlackRock Financial Management, Inc., a Delaware corporation (the "<u>BlackRock Advisor</u>"). Capitalized terms used herein shall have the meanings ascribed to them in Section 1 below.

**W I T N E S S E T H**

**WHEREAS**, the Trust intends to qualify as a REIT, and to invest its funds in (i) a portfolio consisting primarily of real estate debt investments, including senior mortgage loans, subordinated debt and other similar investments (the "<u>Loan Portfolio</u>") and (ii) publicly traded real estate-related debt or securities, private real estate-related debt, and other securities, including collateralized loan obligations and/or cash and cash equivalent investments (collectively, "<u>Liquid Investments Portfolio</u>"), in each case, as permitted by the terms of Sections 856 through 860 of the Code;

**WHEREAS**, as of the date hereof, the Trust will also appoint MONTICELLOAM, LLC, a Delaware limited liability company (the "<u>Monticello Advisor</u>" and, together with the BlackRock Advisor, the "<u>Advisors</u>"), to serve as its advisor with respect to the Trust's investments that comprise the Loan Portfolio on the terms and subject to the conditions set forth in the agreement effecting such appointment (the "<u>Monticello Advisory Agreement</u>");

**WHEREAS**, the Trust desires to avail itself of the knowledge, experience, sources of information, advice, assistance and certain facilities available to the BlackRock Advisor and to have the BlackRock Advisor serve as its advisor with respect to the Liquid Investments Portfolio and to undertake the other duties and responsibilities hereinafter set forth, on behalf of, and subject to the supervision of, the board of trustees of the Trust (the "<u>Board</u>"), all as provided herein;

**WHEREAS**, the Trust and the BlackRock Advisor are party to that certain Amended and Restated Advisory Agreement, dated May 6, 2025 (the "Original Advisory Agreement"), for the purpose of having the BlackRock Advisor furnish investment advisory services to the Trust;

**WHEREAS**, the Trust and the BlackRock Advisor desire to amend and restate the Original Advisory Agreement in its entirety as set forth in this Agreement; and

**WHEREAS**, the BlackRock Advisor is willing to undertake to render such services, subject to the supervision of the Board, on the terms and conditions hereinafter set forth.

**NOW, THEREFORE**, in consideration of the foregoing and of the mutual covenants and agreements contained herein, the parties agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1. Definitions.** As used in this Agreement, the following terms have the definitions hereinafter indicated:

"**<u>4-Quarter Performance Measurement Period</u>**" shall have the meaning set forth in the definition of Performance Fee.

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"**<u>Acquisition Expenses</u>**" shall mean any and all expenses incurred by the Trust, the Advisors or any of their respective Affiliates either in connection with the selection, evaluation, structuring, acquisition, origination, financing and development of any investments, whether or not acquired, including, without limitation, legal fees and expenses, travel and communications expenses, costs of appraisals, accounting fees and expenses and title insurance premiums and the costs of performing due diligence.

"**<u>Adjusted Capital</u>**" means cumulative net proceeds generated from sales of Class S Common Shares, Class F-S Common Shares, Class T Common Shares, Class D Common Shares, Class F-D Common Shares, Class I Common Shares and Class F-I Common Shares (including proceeds from the distribution reinvestment plan) reduced for any Distributions deemed to be a return of paid-in capital paid to such Shareholders and amounts paid to such Shareholders for share repurchases pursuant to the Trust's share repurchase plan.

"**<u>Advisors</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Affiliate</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Agreement</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Annual Hurdle Rate</u>**" shall have the meaning set forth in the definition of Performance Fee.

"**<u>BlackRock</u>**" means, collectively, BlackRock, Inc., a Delaware corporation, and any Affiliate thereof.

"**<u>BlackRock Advisor</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>BlackRock Advisor Expenses</u>**" shall have the meaning set forth in Section 11(a).

"**<u>BlackRock Management Fee</u>**" shall have the meaning set forth in Section 10(a).

"**<u>BlackRock Performance Fee</u>**" shall have the meaning set forth in Section 10(b).

"**<u>Board</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Bylaws</u>**" shall mean the bylaws of the Trust, as amended from time to time.

"**<u>Cause</u>**" shall mean (a) with respect to the termination of this Agreement by the Trust, fraud, criminal conduct, willful misconduct or willful or gross negligent breach of fiduciary duty by the BlackRock Advisor in connection with performing its duties hereunder or the breach of a material provision of this Agreement by the BlackRock Advisor after notice of such breach and a reasonable time to cure (to the extent that such breach is curable) or (b) with respect to the termination of this Agreement by the BlackRock Advisor, material breach by the Trust of (x) this Agreement after notice of such breach and reasonable time to cure (to the extent that such breach is curable) or (y) the Monticello Advisory Agreement, the occurrence of which results in the termination of the Monticello Advisory Agreement by the Monticello Advisor.

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"**<u>CEA</u>**" shall mean the U.S. Commodity Exchange Act, as amended.

"**<u>Change of Control</u>**" shall mean any event (including, without limitation, issue, transfer or other disposition of shares of the Trust, merger, share exchange or consolidation) after which any "person" (as that term is used in Sections 13(d) and 14(d) of the Exchange Act) is or becomes the "beneficial owner" (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Trust representing greater than 50% or more of the combined voting power of Trust's then outstanding securities, respectively; provided, that, a Change of Control shall not be deemed to occur as a result of any widely distributed offering of the Shares.

"**<u>Class D Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class E Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-D Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-I Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-S Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class I Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class S Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class T Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Code</u>**" shall mean the Internal Revenue Code of 1986, as amended.

"**<u>Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Core Earnings</u>**" shall mean for the applicable 4-Quarter Performance Measurement Period, the net income (loss) attributable to shareholders of Class S Common Shares, Class T Common Shares, Class D Common Shares, Class I Common Shares, Class F-S Common Shares, Class F-D Common Shares and Class F-I Common Shares, computed in accordance with GAAP, including realized gains (losses) not otherwise included in GAAP net income (loss) and excluding (i) the Performance Fee, (ii) depreciation, (iii) any unrealized gains or losses for the applicable reporting period, (iv) one-time events pursuant to changes in GAAP and (v) certain non-cash adjustments and certain material non-cash income or expense items, in each case for this clause (v) after discussions between the Advisors and the Independent Trustees and approved by a majority of the Independent Trustees.

"**<u>Dealer Manager</u>**" shall mean BlackRock Investments, LLC, or such other Person selected by the Board to act as the dealer manager or distribution agent.

"**<u>Declaration of Trust</u>**" shall mean the Third Amended and Restated Declaration of Trust of the Trust, dated as of June 30, 2025, as it may be amended, amended and restated and/or supplemented from time to time.

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"**<u>Distributions</u>**" shall mean any distributions, pursuant to Section 7.7 of the Declaration of Trust, by the Trust to owners of Common Shares, including distributions that may constitute a return of capital for federal income tax purposes.

"**<u>Effective Date</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Effective Termination Date</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Exchange Act</u>**" shall mean the Securities Exchange Act of 1934, as amended.

"**<u>GAAP</u>**" shall mean generally accepted accounting principles as in effect in the United States of America from time to time.

"**<u>Founder Shares</u>**" shall mean, collectively, the Class F-S Common Shares, Class F-D Common Shares and Class F-I Common Shares.

"**<u>Independent Trustee</u>**" shall have the meaning set forth in the Declaration of Trust.

**"<u>Initial Period</u>"** shall mean any period in which the NAV of the Trust (measured as of the end of such month prior to effecting any repurchases, if applicable) is $2 billion or less.

"**<u>Initial Retail Closing</u>**" shall mean July 1, 2025.

"**<u>Investment Company Act</u>**" shall mean the Investment Company Act of 1940, as amended.

"**<u>Investment Guidelines</u>**" shall mean the investment guidelines adopted by the Board, as amended from time to time, pursuant to which the Advisors have discretion to acquire and dispose of investments for the Trust without the prior approval of the Board.

"**<u>Liquid Investments Portfolio</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Loan Portfolio</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Management Fee</u>**" shall mean an amount equal to (i) 1.25% of NAV for the Class S Common Shares, Class T Common Shares, Class D Common Shares and Class I Common Shares, plus (ii) (a) 0.0% of NAV for the Founder Shares for the period beginning on the Initial Retail Closing through June 30, 2026, (b) 0.75% of NAV for the Founder Shares for the period commencing on July 1, 2026 through June 30, 2030, or (c) 1.25% of NAV for the Founder Shares for any period commencing on or after July 1, 2030, in each case, per annum. For the avoidance of doubt, no Management Fee shall be paid on Class E Common Shares.

"**<u>Monticello</u>**" means, collectively, MONTICELLOAM, LLC, a Delaware limited liability company, and any Affiliate thereof (including, for the avoidance of doubt, Monticello Capital Partners LLC).

"**<u>Monticello Advisor</u>**" shall have the meaning set forth in the preamble of this Agreement.

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"**<u>Monticello Advisory Agreement</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>NAV</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Notice of Proposal to Negotiate</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Organization and Offering Expenses</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Origination Fees</u>**" shall mean loan origination fees, extension fees, exit fees, prepayment fees, loan assumption fees, underwriting fees, administration fees and/or other similar fees paid by borrowers in connection with the origination of each new loan by the Trust.

"**<u>Other Accounts</u>**" shall mean, collectively, Other BlackRock Accounts and Other Monticello Accounts.

"**<u>Other BlackRock Accounts</u>**" shall mean any investment funds, REITs, vehicles, separately managed accounts, products or other similar arrangements sponsored, advised or managed by BlackRock or its affiliates, whether currently in existence or subsequently established (in each case, including any related successor funds, alternative vehicles, supplemental capital vehicles, surge funds, overflow funds, co-investment vehicles and other entities formed in connection with BlackRock side-by-side or additional general partner investments with respect thereto).

"**<u>Other Monticello Accounts</u>**" shall mean any investment funds, REITs, vehicles, separately managed accounts, products or other similar arrangements sponsored, advised or managed by Monticello or its affiliates, including entities set up for the benefit of affiliates of the Monticello Advisor and its related persons, whether currently in existence or subsequently established (in each case, including any related successor funds, alternative vehicles, supplemental capital vehicles, surge funds, overflow funds, co-investment vehicles and other entities formed in connection with Monticello side-by-side or additional general partner investments with respect thereto).

"**<u>Performance Fee</u>**" shall mean an amount, not less than zero, equal to 12.5% of the Trust's cumulative Core Earnings for the immediately preceding four calendar quarters (or such shorter period until the Trust has operated for four full calendar quarters) (each such period, a "<u>4-Quarter Performance Measurement Period</u>"), subject to a hurdle rate, expressed as an annual rate of return on Adjusted Capital, equal to 5.0% (the "<u>Annual Hurdle Rate</u>"), (ii) subject to a 100% catch-up provision (as described below) and minus (iii) the sum of any Performance Fees paid to the BlackRock Advisor with respect to the other calendar quarters in the applicable 4-Quarter Performance Measurement Period. Once the Trust's Core Earnings for the applicable 4-Quarter Performance Measurement Period exceed the Annual Hurdle Rate, the Performance Fee shall be subject to a "catch-up" equal to the amount of Core Earnings in excess of the Annual Hurdle Rate, until Core Earnings as a percentage of the Adjusted Capital for such 4-Quarter Performance Measurement Period is equal to 5.7143%. Thereafter, the Performance Fee shall be equal to 12.5% of the Trust's Core Earnings. The Trust will not pay the Performance Fee with respect to the Class E Common Shares.

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"**<u>Person</u>**" shall mean an individual, corporation, business trust, estate, trust, partnership, joint venture, limited liability company or other legal entity.

"**<u>Pre-NAV Break Management Fee</u>**" means the Pre-NAV Break Ratio multiplied by the Management Fee.

"**<u>Pre-NAV Break Performance Fee</u>**" means the Pre-NAV Break Ratio multiplied by the Performance Fee.

"**<u>Pre-NAV Break Ratio</u>**" means the quotient of (i) $2 billion, divided by (ii) the Trust's aggregate NAV.

"**<u>Post-NAV Break Management Fee</u>**" means the Post-NAV Break Ratio multiplied by the Management Fee.

"**<u>Post-NAV Break Performance Fee</u>**" means the Post-NAV Break Ratio multiplied by the Performance Fee.

"**<u>Post-NAV Break Ratio</u>**" means the quotient of (i) the amount of the Trust's NAV in excess of $2 billion, divided by (ii) the Trust's aggregate NAV.

**"<u>Post-Initial Period</u>"** shall mean any period in which the NAV of the Trust (measured as of the end of such month prior to effecting any repurchases, if applicable) is greater than $2 billion.

"**<u>PPM</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>REIT</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shareholder</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shareholder Servicing Fee</u>**" shall mean the shareholder servicing fee payable to the Dealer Manager and reallowable to soliciting dealers with respect to Shares, as applicable and as described in the PPM.

"**<u>Termination Date</u>**" shall mean the date of termination of this Agreement or expiration of this Agreement in the event this Agreement is not renewed for an additional term.

"**<u>Termination Notice</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Trust</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Trustees</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Upfront Sales Load</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Valuation Guidelines</u>**" shall mean the valuation guidelines of the Trust as have been adopted by the Board, as amended from time to time.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2. Appointment.** The Trust hereby appoints the BlackRock Advisor to serve as its investment advisor with respect to the Liquid Investments Portfolio on the terms and conditions set forth in this Agreement, and to undertake the other duties and responsibilities hereinafter set forth, and the BlackRock Advisor hereby accepts such appointment. Except as otherwise provided in this Agreement, the BlackRock Advisor hereby agrees to use its commercially reasonable efforts to perform the duties set forth herein, provided that the Trust pays the BlackRock Advisor the fees set forth in Section 10 and reimburses the BlackRock Advisor for costs and expenses in accordance with Section 11. The BlackRock Advisor further acknowledges that the Trust has appointed the Monticello Advisor to serve as its investment advisor with respect to the Loan Portfolio pursuant to the Monticello Advisory Agreement and, subject to the terms and conditions thereof, has delegated to the Monticello Advisor all investment decisions with respect to the Loan Portfolio.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3. Duties of the BlackRock Advisor.** Subject to the oversight of the Board and the terms and conditions of this Agreement and the Investment Guidelines and consistent with the provisions of the Trust's most recent PPM, the Declaration of Trust and Bylaws, the BlackRock Advisor will have plenary authority with respect to the management of the business and affairs of the Trust and, to the extent it relates to the Liquid Investments Portfolio, will be responsible for implementing the investment strategy of the Trust; provided that the Monticello Advisor, rather than the BlackRock Advisor, will be solely responsible for implementing the investment strategy of the Trust to the extent it relates to the Loan Portfolio. The BlackRock Advisor will perform (or cause to be performed through one or more of its Affiliates or third parties) such services and activities relating to the foregoing scope of authority as may be appropriate or otherwise mutually agreed from time to time, which may include, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) serving as an advisor to the Trust with respect to the Liquid Investments Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) serving as an advisor to the Trust with respect to the establishment and periodic review of the Investment Guidelines for the Trust's investments (other than with respect to the Loan Portfolio), financing activities and operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) managing the Trust's day-to-day operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) sourcing, evaluating and monitoring the Trust's investment opportunities and executing the acquisition, origination, management, financing and disposition of the Trust's assets, in each case, only with respect to such investments that comprise the Liquid Investments Portfolio and in accordance with the Investment Guidelines and the Trust's investment policies, strategies, objectives and limitations, subject to oversight by the Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) with respect to prospective acquisitions, originations, purchases, sales, exchanges or other dispositions of investments that comprise or will comprise the Liquid Investments Portfolio, conducting negotiations on the Trust's behalf with borrowers, sellers, purchasers and other counterparties and, if applicable, their respective agents, advisors and representatives, and determining the structure and terms of such transactions;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) with respect to the Liquid Investments Portfolio, providing the Trust with portfolio management and other related services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) subject to oversight by the Board, providing to the Trust operational services (with the support of the Monticello Advisor), including accounting and audit (including valuation support), account management, corporate secretarial, data management, information technology, finance and budget, human resources, legal, risk management, tax and other similar operational services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) serving as an advisor to the Trust with respect to decisions regarding any of the Trust's financings, hedging activities or borrowing relating to the Liquid Investments Portfolio, including (1) assisting the Trust in developing criteria for financing that is specifically tailored to the Trust's investment objectives related to the Liquid Investments Portfolio, (2) advising the Trust with respect to obtaining appropriate financing for the investments that comprise the Liquid Investments Portfolio (which, in accordance with applicable law and the terms and conditions of this Agreement and the Declaration of Trust and Bylaws, as applicable, may include financing by the BlackRock Advisor, the Monticello Advisor or their respective Affiliates) and (3) negotiating and entering into, on the Trust's behalf, financing arrangements (including one or more credit facilities), repurchase agreements, interest rate or currency swap agreements, hedging arrangements, foreign exchange transactions, derivative transactions, and other agreements and instruments required or appropriate in connection with the Trust's activities related to the Liquid Investments Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) engaging and supervising, on the Trust's behalf and at the Trust's expense, independent contractors, advisors, consultants, attorneys, accountants, administrators, auditors, appraisers, independent valuation agents, escrow agents and other service providers (which may include Affiliates of either of the Advisors) that provide various services with respect to the Trust, including, without limitation, accounting, investment banking, securities brokerage, mortgage brokerage, credit analysis, risk management services, asset management services, other financial, legal or accounting services, due diligence services, underwriting review services, and all other services (including custody and transfer agent and registrar services) as may be required by the Trust's activities or investments (or potential investments);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) communicating on the Trust's behalf with the holders of any of the Trust's equity or debt securities as required to satisfy the reporting and other requirements of any governmental bodies or agencies or trading markets and to maintain effective relations with such holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) advising the Trust in connection with policy decisions to be made by the Board, particularly those related to the Liquid Investments Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) providing the daily management of the Trust, including performing and supervising the various administrative functions reasonably necessary for the management of the Trust;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) engaging one or more sub-advisors with respect to the management of the Liquid Investments Portfolio, including, where appropriate, Affiliates of the BlackRock Advisor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) evaluating and recommending to the Board hedging strategies and engaging in hedging activities on the Trust's behalf, consistent with the Trust's qualification as a REIT and with the Investment Guidelines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) investing and reinvesting any moneys and securities of the Trust (excluding investments related to the Loan Portfolio but including investing in short-term investments (for example money market accounts and other interest-bearing accounts) pending investment in other investments, payment of fees, costs and expenses, or payments of dividends or Distributions to the Shareholders) and advising the Trust as to its capital structure and capital raising;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) together with the Monticello Advisor, determining valuations for the assets and liabilities of the Trust and supervising the calculation of, as of the last day of each month, the NAV per Common Share in accordance with the Valuation Guidelines, and in connection therewith, obtain appraisals performed by a third party appraisal firms, as needed, or conduct fair valuation determinations concerning the value of the Trust's assets and liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) together with the Monticello Advisor, providing input in connection with the appraisals and/or valuation reports of the Trust's investments, as needed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) monitoring the Trust's investments in the Liquid Investments Portfolio for events that may be expected to have a material impact on the most recent estimated values;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) together with the Monticello Advisor, monitoring each appraiser's and/or valuation advisor's valuation process to ensure that it complies with the Valuation Guidelines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) delivering to, or maintaining on behalf of, the Trust copies of appraisals and/or valuation reports obtained in connection with its investments in the Liquid Investments Portfolio, if any;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) in the event that the Trust is a commodity pool under the CEA, acting as the Trust's commodity pool operator for the period and on the terms and conditions set forth in this Agreement, including, for the avoidance of doubt, the authority to make any filings, submissions or registrations (including for exemptive or "no action" relief) to the extent required or desirable under the CEA (and, to the extent necessary, the Trust hereby appoints the BlackRock Advisor to act in such capacity and the BlackRock Advisor accepts such appointment and agrees to be responsible for such services);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) with respect to the Liquid Investments Portfolio, placing, or arranging for the placement of, orders of investments pursuant to the BlackRock Advisor's investment determinations for the Trust either directly with the issuer or with a broker or dealer (including any Affiliated broker or dealer);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) making from time to time, or at any time reasonably requested by the Board, reports to the Board of its performance of services to the Trust under this Agreement, including reports with respect to conflicts of interest involving the BlackRock Advisor or any of its Affiliates and the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) subject to Section 7(ii), advising the Trust regarding the Trust's ability to elect REIT status, and thereafter the Trust's ability to maintain its status as a REIT, and monitoring compliance with the various REIT qualification tests and other rules set out in the Code and the regulations promulgated thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) taking all necessary actions to enable the Trust to make required tax filings and reports, including soliciting Shareholders for required information to the extent provided by the REIT provisions of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) assisting the Trust in maintaining the registration of the Shares under federal and state securities laws, as applicable, with respect to any offering and complying with all federal, state and local regulatory requirements applicable to the Trust with respect to any offering and the Trust's business activities (including the Sarbanes-Oxley Act of 2002, as amended), including, with respect to any offering, preparing or causing to be prepared all supplements to the PPM and financial statements and all reports and documents, if any, required under the Securities Act of 1933, as amended, and the Exchange Act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) performing such other services from time to time in connection with the management of the Trust's investment activities (other than relating to the Loan Portfolio) as the Board shall reasonably request and/or the BlackRock Advisor shall deem appropriate under the particular circumstances;

provided that, in each case and notwithstanding anything to the contrary in this Agreement, (i) the Monticello Advisor, rather than the BlackRock Advisor, is solely responsible for providing the services described above, as appropriate, to the Trust to the extent that they relate to, or arise from, the Loan Portfolio and to the subsidiaries of the Trust (and the BlackRock Advisor shall not be responsible for supervising the Monticello Advisor or any other service provider in respect of such services), (ii) in connection with the BlackRock Advisor providing the services hereunder, the BlackRock Advisor shall be entitled to rely on the information provided by the Monticello Advisor relating to the Loan Portfolio and to the subsidiaries of the Trust and shall not be responsible for the accuracy of such information provided by the Monticello Advisor, (iii) the BlackRock Advisor shall not be required to provide the services described above to the extent that its ability to provide such services is dependent on the Monticello Advisor providing information to it or performing services relating to the Loan Portfolio or to the subsidiaries of the Trust and such information has not been provided or is incomplete or such services have not been performed and (iv) to the extent that the Monticello Advisory Agreement provides that the Monticello Advisor will perform any of the services described above, the BlackRock Advisor and the Monticello Advisor will perform such services together.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. **Authority of BlackRock Advisor**.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Pursuant to the terms of this Agreement (including the restrictions included in this Section 4 and in Section 7), and subject to the continuing and exclusive authority of the Board over the management of the Trust, the Board (by virtue of its approval of this Agreement and authorization of the execution hereof by the officers of the Trust) hereby delegates to the BlackRock Advisor the authority to take, or cause to be taken, any and all actions and to execute and deliver any and all agreements, certificates, assignments, instruments or other documents (including loan documentation) and to do any and all things that, in the judgment of the BlackRock Advisor, may be necessary or advisable in connection with the BlackRock Advisor's duties described in Section 3, including, with respect to the Liquid Investments Portfolio, the making of any investment that fits within the Investment Guidelines and objectives, policies and limitations of the Trust and within the discretionary limits and authority as granted to the BlackRock Advisor from time to time by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing, any investment that does not fit within the Investment Guidelines will require the prior approval of the Board or any duly authorized committee of the Board, as the case may be. For the avoidance of doubt, except as otherwise set forth herein, in the Investment Guidelines or in the Declaration of Trust, any investment with respect to the Liquid Investments Portfolio that fits within the Investment Guidelines may be made by the BlackRock Advisor on the Trust's behalf without the prior approval of the Board, any duly authorized committee of the Board or any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The prior approval of a majority of the Trustees (including a majority of the Independent Trustees) not otherwise interested in the transaction will be required for each transaction to which the BlackRock Advisor or its Affiliates is a party (other than those specifically contemplated by this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Board will review the Investment Guidelines periodically, in its discretion, and may, at any time upon the giving of notice to the Advisors, amend the Investment Guidelines; provided, however, that such amendment shall be effective upon receipt by the Advisors or such later date as is specified by the Board and included in the notice provided to the Advisors and such amendment shall not be applicable to investment transactions to which the BlackRock Advisor has committed the Trust prior to the date of receipt by the BlackRock Advisor of such notification, or if later, the effective date of such amendment specified by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The BlackRock Advisor may retain, for and on behalf, and at the sole cost and expense, of the Trust, such services as the BlackRock Advisor deems necessary or advisable in connection with the management and operations of the Trust, which may include the BlackRock Advisor, the Monticello Advisor or their respective Affiliates or unaffiliated third parties; provided, that, any such services may only be provided by the BlackRock Advisor, the Monticello Advisor or their respective Affiliates to the extent such services are approved by a majority of the Trustees (including a majority of the Independent Trustees) not otherwise interested in such transactions as being fair and reasonable to the Trust and on terms and conditions not less favorable to the Trust than those available from non-Affiliated third parties. For the avoidance of doubt, no additional approvals shall be required in connection with any services provided by the BlackRock

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Advisor or its Affiliates that are specifically contemplated by this Agreement and for which it will be paid and reimbursed in accordance with Section 10 and Section 11. In performing its duties under Section 3, the BlackRock Advisor shall be entitled to rely reasonably (x) on qualified experts and professionals (including, without limitation, accountants, legal counsel and other professional service providers) hired by the BlackRock Advisor at the Trust's sole cost and expense and (y) with respect to any matter related to, or arising from, the Loan Portfolio or the subsidiaries of the Trust, on the Monticello Advisor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5. Bank Accounts.** The BlackRock Advisor may establish and maintain one or more bank accounts in the name of the Trust and any subsidiary thereof and may collect and deposit into any such account or accounts, and disburse from any such account or accounts, any money on behalf of the Trust, consistent with the BlackRock Advisor's authority under this Agreement, provided, that, no funds shall be commingled with the funds of the BlackRock Advisor; and the BlackRock Advisor shall from time to time render, upon request by the Board, its audit committee or the auditors of the Trust, appropriate accountings of such collections and payments to the Board, its audit committee and the auditors of the Trust, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6. Records; Access.** The BlackRock Advisor shall maintain, or shall cause to be maintained, appropriate records of its activities hereunder and make such records, or shall cause such records to be made, available for inspection by the Board and by counsel, auditors and authorized agents of the Trust, at any time or from time to time during normal business hours. The BlackRock Advisor shall at all reasonable times have access to the books and records of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7. Limitations on Activities.** The BlackRock Advisor shall refrain from knowingly taking any action that, in its sole judgment made in good faith, (i) is not in compliance with the Investment Guidelines, (ii) after taking into account the information provided by the Monticello Advisor with respect to the Loan Portfolio and the subsidiaries of the Trust, would cause the Trust to fail to qualify as a REIT under the Code or require the Trust to register as an investment company under the Investment Company Act, or (iii) would materially violate any law, rule or regulation of any governmental body or agency having jurisdiction over the Trust or of any exchange on which the securities of the Trust may be listed or that would otherwise not be permitted by the Declaration of Trust or Bylaws. If the BlackRock Advisor is ordered to take any action by the Board, the BlackRock Advisor shall notify the Board if it is the BlackRock Advisor's reasonable judgment that such action would adversely and materially affect such status or violate any such law, rule or regulation or the Declaration of Trust or Bylaws. Notwithstanding the foregoing, neither the BlackRock Advisor nor any of its Affiliates shall be liable to the Trust, the Board, or the Shareholders for any act or omission by the BlackRock Advisor or any of its Affiliates, except as provided in Section 19 of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. **Other Activities of the BlackRock Advisor**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Nothing in this Agreement shall (i) prevent the BlackRock Advisor or any of its Affiliates, officers, trustees or employees from engaging in other businesses or from rendering services of any kind to any other Person or entity, whether or not the investment objectives or policies of any such other Person are similar to those of the Trust, including, without limitation, the sponsoring, closing, advising and/or managing of any Other BlackRock Accounts, (ii) in any way bind or restrict the BlackRock Advisor or any of its

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Affiliates, officers, directors or employees from buying, selling or trading any securities or commodities for their own accounts or for the account of others (including Other BlackRock Accounts) for whom the BlackRock Advisor or any of its Affiliates, officers, directors or employees may be acting, or (iii) prevent the BlackRock Advisor or any of its Affiliates, officers, directors or employees from receiving fees or other compensation or profits from such activities described in this Section 8(a) which shall be for the sole benefit of the BlackRock Advisor (and/or its Affiliates, officers, directors or employees). While information and recommendations supplied to the Trust shall, in the BlackRock Advisor's reasonable and good faith judgment, be appropriate under the circumstances and in light of the investment objectives and policies of the Trust, such information and recommendations may be different in certain material respects from the information and recommendations supplied by the BlackRock Advisor or any Affiliate of the BlackRock Advisor to others (including, for greater certainty, the Other BlackRock Accounts and their investors, as described more fully in Section 8(b)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The BlackRock Advisor and the Trust acknowledge and agree that notwithstanding any other provision to the contrary contained herein, (i) the BlackRock Advisor and its Affiliates sponsor, advise and/or manage Other BlackRock Accounts and may in the future sponsor, advise and/or manage additional Other BlackRock Accounts and (ii) with respect to Other BlackRock Accounts with investment objectives or guidelines that overlap with the Trust, the BlackRock Advisor and its Affiliates will allocate investment opportunities between the Trust and such Other BlackRock Accounts in accordance with BlackRock's prevailing policies and procedures on a basis that the BlackRock Advisor and its Affiliates determine to be reasonable in their sole discretion, and there may be circumstances where investments that are consistent with the Investment Guidelines may be shared with or allocated to one or more Other BlackRock Accounts (in lieu of the Trust) in accordance with BlackRock's prevailing policies and procedures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In connection with the services of the BlackRock Advisor hereunder, the Trust and the Board acknowledge and agree that (i) as part of BlackRock's regular businesses, personnel of the BlackRock Advisor and its Affiliates will devote a substantial amount of their working time and resources to projects and matters other than the Trust (including with respect to one or more Other BlackRock Accounts), and that conflicts may arise with respect to the allocation of personnel between the Trust and one or more Other BlackRock Accounts and/or the BlackRock Advisor and such other Affiliates, (ii) unless prohibited by the Declaration of Trust, Other BlackRock Accounts may invest, from time to time, in investments in which the Trust also invests (including at a different level of an issuer's capital structure (e.g., an investment by an Other BlackRock Account in a mezzanine debt interest with respect to the same issuer to whom the Trust has made a mortgage loan)) and while BlackRock will seek to resolve any such conflicts in a fair and reasonable manner in accordance with its prevailing policies and procedures with respect to conflicts resolution among Other BlackRock Accounts generally (as outlined in the PPM and/or the BlackRock Advisor's Form ADV), such transactions are not required to be presented to the Board or any committee thereof for approval (unless otherwise required by Section 8(d), the Declaration of Trust or the Investment Guidelines), and there can be no assurance that any conflicts will be resolved in the Trust's favor, (iii) in addition to the compensation paid to the BlackRock Advisor pursuant to Section 10 hereof and the

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reimbursement paid to the BlackRock Advisor pursuant to Section 11 hereof, the Trust may pay additional amounts to the BlackRock Advisor for services to the extent they are approved in accordance with Section 4(e), (iv) the BlackRock Advisor and its Affiliates may from time to time receive fees from entities in which the Trust holds an investment or other issuers for providing services, including with respect to Other BlackRock Accounts and such entities, and while such fees may give rise to conflicts of interest, the Trust will not receive the benefit of any such fees, and (v) the terms and conditions of the governing agreements of such Other BlackRock Accounts (including with respect to the economic, reporting, and other rights afforded to investors in such Other BlackRock Accounts) are materially different from the terms and conditions applicable to the Trust and the Shareholders, and neither the Trust nor the Shareholders (in such capacity) shall have the right to receive the benefit of any such different terms applicable to investors in such Other BlackRock Accounts as a result of an investment in the Trust or otherwise. The BlackRock Advisor shall keep the Board reasonably informed on a periodic basis in connection with the foregoing, to the extent employees of the BlackRock Advisor that provide services to the Trust have knowledge thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Without limiting the prohibition set forth in Section 4(c), the BlackRock Advisor is not permitted to consummate on the Trust's behalf any transaction that involves (i) the sale of any investment to or (ii) the acquisition of any investment from BlackRock, any Other BlackRock Account or any of their Affiliates unless such transaction is approved by a majority of the Trustees, including a majority of the Independent Trustees, not otherwise interested in such transaction as being fair and reasonable to the Trust. The BlackRock Advisor will seek to resolve any conflicts of interest in a fair and reasonable manner in accordance with its prevailing policies and procedures with respect to conflicts resolution among Other BlackRock Accounts generally (as outlined in the PPM and/or the BlackRock Advisor's Form ADV), but only those transactions set forth in this Section 8(d) will be expressly required to be presented for approval to the Independent Trustees or any committee thereof (unless otherwise required by the Declaration of Trust or the Investment Guidelines).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) For the avoidance of doubt, it is understood that neither the Trust nor the Board has the authority to determine the salary, bonus or any other compensation paid by the BlackRock Advisor to any director, officer, member, partner, employee, or shareholder of the BlackRock Advisor or its Affiliates, including any person who is also a Trustee, officer or employee of the Trust or any person who provides services to the Trust for which the BlackRock Advisor or its Affiliates are reimbursed pursuant to Section 11.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) In connection with the services of the BlackRock Advisor hereunder, the Trust acknowledges and agrees that it has carefully reviewed and understood fully the information contained in the BlackRock Advisor's Form ADV. The Trust further acknowledges and agrees that the BlackRock Advisor and any of its Affiliates may engage in any of and all the activities of the type or character described or contemplated in this Agreement or described in the BlackRock Advisor's Form ADV, whether or not such activities have had or could have an adverse effect on the affairs of the Trust or any Affiliate of the Trust or its investments and that, subject to the indemnification provisions of Section 19, no such activity, nor the receipt of compensation or other consideration in connection

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therewith, will in and of itself result in liability to the BlackRock Advisor or any of its Affiliates or constitute a breach of any duty owed by the BlackRock Advisor to the Trust or any Affiliate of the Trust. The Trust consents, by agreeing to be bound by this Agreement, to the risk factors and conflicts of interest to which the BlackRock Advisor and its Affiliates are subject in the operation of the Trust as outlined in the BlackRock Advisor's Form ADV. The Trust covenants not to object to or bring any proceeding against the BlackRock Advisor or any of its Affiliates relating to any such risks or conflicts of interest; provided, that (x) the Persons in question have complied with the standard of liability set forth in Section 19 and (y) the provisions of this Section 8(f) shall not be construed so as to relieve (or attempt to relieve) the BlackRock Advisor or any of its Affiliates of any liability, to the extent (but only to the extent) that such liability may not be waived, modified or limited under applicable law, but shall be construed so as to effectuate such provisions to the maximum extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. **Compensation**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In consideration for services rendered pursuant to the terms of this Agreement, the Trust will pay the BlackRock Advisor a fee equal to (i) during any Initial Period, (A) 0.4, multiplied by (B) the Management Fee or (ii) during any Post-Initial Period, (A) (I) 0.4, multiplied by (II) the Pre-NAV Break Management Fee, plus (B) (I) 0.35, multiplied by (II) the Post-NAV Break Management Fee (the "BlackRock Management Fee"). The BlackRock Management Fee shall be accrued monthly and payable quarterly in arrears, before giving effect to any accruals for the Management Fee, the Shareholder Servicing Fee, the Performance Fee or any Distributions. For the avoidance of doubt, the aggregate Management Fee payable in any given period pursuant to this Agreement and the Monticello Advisory Agreement shall be equal to the aggregate Management Fee payable by the Trust in respect of such period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In addition to the BlackRock Management Fee, and in consideration for services rendered pursuant to the terms of this Agreement, the Trust shall pay the BlackRock Advisor a performance-related fee in an amount, not less than zero, equal to (i)

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during any Initial Period, (A) 0.4, multiplied by (B) the Performance Fee or (ii) during any Post-Initial Period, (A) the Pre-NAV Break Performance Fee, multiplied by (B) 0.4, plus (A) the Post-NAV Break Performance Fee, multiplied by (B) 0.35 (the "BlackRock Performance Fee"). The BlackRock Performance Fee shall be accrued monthly (or part thereof that this Agreement is in effect) and payable quarterly in arrears. For the avoidance of doubt, the BlackRock Advisor shall not earn the BlackRock Performance Fee for any calendar quarter until the Trust's Core earnings for the applicable 4-Quarter Performance Measurement Period exceed the Annual Hurdle Rate. For the avoidance of doubt, the aggregate Performance Fee payable in any given period pursuant to this Agreement and the Monticello Advisory Agreement shall be equal to the aggregate Performance Fee payable by the Trust in respect of such period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The BlackRock Management Fee and/or the BlackRock Performance Fee may be paid, at the BlackRock Advisor's election, in cash or cash equivalent aggregate NAV amounts of Class E Common Shares, or any combination thereof. If the BlackRock Advisor elects to receive any portion of the BlackRock Management Fee or BlackRock Performance Fee in Class E Common Shares, the BlackRock Advisor or any subsequent transferee thereof may elect to have the Trust repurchase such Class E Common Shares from the BlackRock Advisor or such transferee at a later date at a repurchase price per Class E Common Share equal to the then applicable NAV per Class E Common Share. Class E Common Shares obtained by the BlackRock Advisor will not be subject to the Trust's share repurchase plan, including the repurchase limits or any early repurchase deduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event this Agreement is terminated or its term expires without renewal, the BlackRock Advisor will be entitled to receive each of its prorated BlackRock Management Fee and BlackRock Performance Fee through the date of termination. Such pro ration shall take into account the number of days of any partial calendar month or calendar year for which this Agreement was in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) In the event the Trust commences a liquidation of its investments during any calendar year, the Trust will pay the BlackRock Advisor the BlackRock Management Fee and the BlackRock Performance Fee from the proceeds of the liquidation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Trust shall not be entitled to retain any Origination Fees received, directly or indirectly, by the Advisors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. **Expenses**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to Sections 4(e), 8(c) and 11(b), the BlackRock Advisor shall be responsible for the expenses related to any and all personnel of the BlackRock Advisor who provide investment advisory services to the Trust pursuant to this Agreement (including, without limitation, each of the officers of the Trust and any Trustees who are also directors, officers or employees of the BlackRock Advisor or any of its Affiliates), including, without limitation, salaries, bonus and other wages, payroll taxes and the cost of employee benefit plans of such personnel, and costs of insurance with respect to such personnel (collectively, "BlackRock Advisor Expenses").

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In addition to the compensation paid to the BlackRock Advisor pursuant to Section 10 hereof, the Trust shall pay all of its costs and expenses directly or reimburse the BlackRock Advisor or its Affiliates for costs and expenses of the BlackRock Advisor and its Affiliates incurred in connection with providing services to the Trust, other than BlackRock Advisor Expenses. Without limiting the generality of the foregoing, it is specifically agreed that the following costs and expenses of the Trust are not BlackRock Advisor Expenses and shall either be paid by the Trust or, if they are paid by the BlackRock Advisor or its Affiliates, the Trust shall reimburse the BlackRock Advisor for such costs and expenses and, in any event, such costs and expenses shall not be borne by the BlackRock Advisor or Affiliates of the BlackRock Advisor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Organization and Offering Expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Acquisition Expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) fees, costs and expenses in connection with the issuance and transaction costs incident to the trading, origination, settling, disposition and financing of the Trust's investments (whether or not consummated), including brokerage commissions, hedging costs, prime brokerage fees, custodial expenses, clearing and settlement charges, and other investment costs fees and expenses actually incurred in connection with the pursuit, making, holding, originating, settling, monitoring or disposing of actual or potential investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the cost of goods and services used by the Trust and obtained from either Affiliates of the BlackRock Advisor or Persons not Affiliated with the BlackRock Advisor, including fees paid to administrators, consultants, attorneys, technology providers and other services providers, and brokerage fees paid in connection with the origination, acquisition and/or sale of investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) all fees, costs and expenses of legal, tax, accounting, consulting, auditing (including internal audit), finance, administrative, investment banking, capital market, transfer agency, escrow agency, custody, prime brokerage, asset management, data, technology, financial reporting, valuation, client services, hedging and currency management, transfer pricing, investment and fund structuring, provision of money laundering reporting officer (MLRO) and related services, and other non-investment advisory services rendered to the Trust by the BlackRock Advisor or its Affiliates including, without limitation, an allocable portion (as determined by the BlackRock Advisor) of the salaries, bonus and other wages, payroll taxes and the cost of employee benefit plans and insurance with respect to all personnel of the BlackRock Advisor who provide services to the Trust, other than those who provide investment advisory services to the Trust or serve as executive officers or Trustees of the Trust (but solely in respect of their service as executive officers or Trustees of the Trust), as described in Section 9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) expenses of acquiring, originating, managing and disposing the Trust's investments, whether payable to an Affiliate of the BlackRock Advisor or a non-Affiliated Person (other than BlackRock Advisor Expenses);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the compensation and expenses of the Trustees (excluding those trustees who are directors, officers or employees of the BlackRock Advisor (but solely in respect of their service as Trustees)) and the cost of liability insurance to indemnify the Trustees and officers and expenses incurred in connection with preparation of materials for meetings of the Board and its committees as well as subsequent compensation and expenses incurred in relation to such meetings of the Board and its committees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) interest and fees and expenses arising out of borrowings made by the Trust, including, but not limited to, costs associated with the establishment and maintenance of any of the Trust's credit facilities, other financing arrangements, or other indebtedness of the Trust (including commitment fees, accounting fees, legal fees, closing and other similar costs) or any of the Trust's securities offerings, whether or not any facilities arrangements or indebtedness are implemented or such securities are offered;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) expenses connected with communications to holders of the Trust's securities or securities of any subsidiary of the Trust and other bookkeeping and clerical work necessary in maintaining relations with holders of such securities and in complying with the continuous reporting and other requirements of governmental bodies or agencies, including, without limitation, all costs of preparing and filing required reports with the SEC, the costs payable by the Trust to any transfer agent and registrar, expenses in connection with the listing and/or trading of the Trust's securities on any exchange, the fees payable by the Trust to any such exchange in connection with its listing, costs of preparing, printing and mailing the Trust's annual report to the Shareholders and proxy materials, if any, with respect to any meeting of the Shareholders and any other reports or related statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the Trust's allocable share of costs associated with technology-related expenses, including without limitation, any computer software or hardware, electronic equipment or purchased information technology services from third-party vendors or Affiliates of the BlackRock Advisor, technology service providers and related software/hardware utilized in connection with the Trust's investment and operational activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the Trust's allocable share of expenses incurred by managers, officers, personnel and agents of the BlackRock Advisor for travel on the Trust's behalf and other out-of-pocket expenses incurred by them in connection with the purchase, financing, refinancing, sale or other disposition of an investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) expenses relating to compliance-related matters and regulatory filings relating to the Trust's activities (including, without limitation, expenses relating to the preparation and filing of Form PF, Form ADV, reports to be filed with the U.S. Commodity Futures Trading Commission, reports, disclosures, and/or other regulatory filings of the BlackRock Advisor and its Affiliates relating to the Trust's activities (including the Trust's pro rata share of the costs of the BlackRock

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Advisor and its Affiliates of regulatory expenses that relate to the Trust and Other BlackRock Accounts));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the costs of any litigation involving the Trust or its assets and the amount of any judgments or settlements paid in connection therewith, trustees and officers liability or other insurance and indemnification or extraordinary expense or liability relating to the affairs of the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) all taxes and statutory, regulatory or license fees or other governmental charges;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) all insurance costs incurred in connection with the operation of the Trust's business, including, for example, directors and officers' insurance (or the equivalent thereof) in respect of the Trustees and officers of the Trust, except for the costs attributable to the insurance that the BlackRock Advisor elects to carry for itself and its personnel (other than Trustees and officers insurance covering BlackRock personnel in respect of their serving as Trustees and officers of the Trust and other than as provided in clause (v) above);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) expenses incurred in connection with maintaining the status of the Trust as a REIT or the payments of interest, dividends or Distributions in cash or any other form authorized or caused to be made by the Board to or on account of holders of the Trust's securities, including, without limitation, in connection with any distribution reinvestment plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any judgment or settlement of pending or threatened proceedings (whether civil, criminal or otherwise) against the Trust, or against any Trustee or officer of the Trust or in his or her capacity as such for which the Trust is required to indemnify such Trustee or officer by any court or governmental agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) expenses incurred in connection with the formation, organization, continuation, liquidation and/or restructuring of any corporation, partnership, joint venture or other entity through which the Trust's investments are made or in which any such entity invests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) expenses incurred related to industry association memberships or related to employees of the BlackRock Advisor attending industry conferences, to the extent doing so on behalf of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The BlackRock Advisor may, at its option, elect not to seek reimbursement for certain expenses during a given period, which determination shall not be deemed to construe a waiver of reimbursement for similar expenses in future periods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any reimbursement payments owed by the Trust to the BlackRock Advisor may be offset by the BlackRock Advisor against amounts due to the Trust from the BlackRock Advisor (if applicable). Cost and expense reimbursement to the BlackRock Advisor shall be subject to adjustment at the end of each calendar year in connection with the annual audit of the Trust.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding the foregoing, the Advisors shall pay for all Organization and Offering Expenses (other than Upfront Sales Loads and Shareholder Servicing Fees) incurred prior to July 1, 2026. All such Organization and Offering Expenses paid by the Advisors pursuant to this Section 11(e) shall be reimbursed by the Trust to the Advisors in 60 equal monthly installments commencing on July 1, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding the foregoing, the BlackRock Advisor may pay for certain of the costs and expenses of the Trust contemplated by Section 11(b) above (excluding Organization and Offering Expenses, which are subject to Section 11(e)) incurred prior to July 1, 2026. All such expenses (excluding Organization and Offering Expenses, which are subject to Section 11(e)) paid by the BlackRock Advisor pursuant to this Section 11(f) shall be reimbursed by the Trust to the BlackRock Advisor in 60 equal monthly installments commencing on July 1, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12. Other Services.** Should the Board request that the BlackRock Advisor or any director, manager, officer or employee thereof render services for the Trust other than set forth in Section 3, such services shall be approved in accordance with Section 4(e) and separately compensated at such rates and in such amounts as are agreed by the BlackRock Advisor and the Independent Trustees, subject to the limitations contained in the Declaration of Trust, and shall not be deemed to be services pursuant to the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13. No Joint Venture.** The Trust, on the one hand, and the BlackRock Advisor, on the other, are not partners or joint venturers with each other, and nothing in this Agreement shall be construed to make them such partners or joint venturers or impose any liability as such on either of them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. **Term**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall continue in effect for two years from the Effective Date, and will continue automatically for successive two-year renewal periods thereafter unless (i) at least two-thirds of the Independent Trustees agree not to renew it in accordance with Section 14(b) or (ii) otherwise terminated in accordance with Section 15.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without penalty or fee, the Trust may elect not to renew this Agreement upon the expiration of the initial two-year term (or any subsequent renewal term) upon 180 days' prior written notice to the BlackRock Advisor (the "Termination Notice"), but only if at least two-thirds of the Independent Trustees agree that (i) there has been unsatisfactory performance by the BlackRock Advisor that is materially detrimental to the Trust or (ii) the compensation payable to the BlackRock Advisor under this Agreement is unfair; provided that the Trust does not have the right to terminate this Agreement under this clause (ii) if the BlackRock Advisor agrees to continue to provide the services under this Agreement at a reduced fee that is the greater of (x) the compensation that the Independent Trustees determine to be consistent with current market level compensation rates for comparable work and fair in accordance with this Section 14(b) or (y) two-thirds of the compensation resulting from the application of the compensation computation methodology applied in the immediately preceding period to the activity occurring during the renewal period. If the Trust issues the Termination Notice, the Trust shall be obligated

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to specify the reason for nonrenewal in the Termination Notice and, in the event that such Termination Notice states that it is given because the Trust determined that the compensation payable to the BlackRock Advisor is unfair, the BlackRock Advisor shall have the right to renegotiate such compensation by delivering to the Trust, no fewer than 60 days prior to the prospective last day of the initial term (or any subsequent renewal term) (the "Effective Termination Date"), written notice (any such notice, a "Notice of Proposal to Negotiate") of its intention to renegotiate its compensation under this Agreement. Thereupon, the Trust (represented by the Independent Trustees) and the BlackRock Advisor shall endeavor to negotiate in good faith the revised compensation payable to the BlackRock Advisor under this Agreement, and if the BlackRock Advisor and at least two-thirds of the Independent Trustees agree to terms of revised compensation to be payable to the BlackRock Advisor or if the BlackRock Advisor agrees to continue to provide the services under this Agreement at the reduced fee as set forth in clause (ii)(y) above within 60 days following the receipt of the Notice of Proposal to Negotiate, the Termination Notice shall be deemed of no force and effect and this Agreement shall continue in full force and effect on the terms stated in this Agreement, except that, beginning on the date following the Effective Termination Date originally set forth in the Termination Notice, the compensation payable to the BlackRock Advisor hereunder will be the revised compensation then agreed upon by the BlackRock Advisor and the Independent Trustees or the amount set forth in clause (ii)(y) above, as applicable. In the event that the Trust and the BlackRock Advisor are unable to agree to the terms of the revised compensation to be payable to the BlackRock Advisor during such 60-day period, this Agreement shall terminate and such termination to be effective on the date which is the later of (A) 10 days following the end of such 60-day period and (B) the Effective Termination Date originally set forth in the Termination Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15. Termination by the Parties.** This Agreement may be terminated (i) at the option of the BlackRock Advisor, (a) immediately for Cause or upon a Change of Control of the Trust or (b) upon written notice by the BlackRock Advisor to the Trust of its intention to decline to renew this Agreement; provided, that such written notice shall be delivered no later than 180 days prior to the expiration of the initial two-year term (or any subsequent renewal term); provided further, that the BlackRock Advisor may provide in its notice that such termination (as a result of such non-renewal) will only be effective if the Monticello Advisory Agreement is terminated by the Trust pursuant to Section 14(b) of such agreement, in which case this Agreement will terminate on the same day on which the Monticello Advisory Agreement terminates, and (ii) at the option of the Trust, immediately for Cause or upon the bankruptcy of the BlackRock Advisor. The provisions of Sections 16 through 21 survive termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16. Assignment to an Affiliate.** Except as set forth herein, the BlackRock Advisor shall not assign, sell or otherwise dispose of all or any part of its right, title and interest in and to this Agreement to any Persons other than an Affiliate without the approval of a majority of the Trustees (including a majority of the Independent Trustees). Notwithstanding the foregoing, the BlackRock Advisor may assign any rights to receive fees or other payments under this Agreement to any Person without obtaining the consent of the Board. This Agreement shall not be assigned by the Trust without the approval of the BlackRock Advisor, except in the case of an assignment by the Trust to a corporation or other organization which is a successor to all of the assets, rights and obligations of the Trust, in which case such successor organization shall be bound hereunder

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and by the terms of said assignment in the same manner as the Trust is bound by this Agreement. This Agreement shall be binding on successors to the Trust resulting from a Change of Control or sale of all or substantially all the assets of the Trust, and shall likewise be binding on any successor to the BlackRock Advisor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17. Payments to and Duties of BlackRock Advisor Upon Termination.** After the Termination Date, the BlackRock Advisor shall not be entitled to compensation for further services hereunder except it shall be entitled to receive from the Trust within 30 days after the effective date of such termination all unpaid reimbursements of expenses and all earned but unpaid fees payable to the BlackRock Advisor prior to termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The BlackRock Advisor shall promptly upon termination:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) pay over to the Trust all money collected and held for the account of the Trust pursuant to this Agreement, after deducting any accrued compensation and reimbursement for its expenses to which it is then entitled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) deliver to the Board a full accounting, including a statement showing all payments collected by it and a statement of all money held by it, covering the period following the date of the last accounting furnished to the Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) deliver to the Board all assets, including all investments, and documents of the Trust then in the custody of the BlackRock Advisor; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) cooperate with, and take all reasonable actions requested by, the Trust and Board in making an orderly transition of the advisory function.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**18. Indemnification by the Trust.** The Trust shall indemnify and hold harmless the BlackRock Advisor and its Affiliates, including their respective officers, managers, directors, partners and employees, from all liability, claims, damages or losses arising in the performance of their duties hereunder, and related expenses, including reasonable attorneys' fees, to the extent such liability, claims, damages or losses and related expenses are not fully reimbursed by insurance, and to the fullest extent possible without such indemnification being inconsistent with the laws of the State of Maryland or the Declaration of Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**19. Indemnification by BlackRock Advisor.** The BlackRock Advisor shall indemnify and hold harmless the Trust from contract or other liability, claims, damages or losses and related expenses, including attorneys' fees (collectively, "Losses"), to the extent that (i) Losses are not fully reimbursed by insurance and (ii) are either (a) incurred by reason of the BlackRock Advisor's bad faith, fraud, willful misconduct, gross negligence or reckless disregard of its duties under this Agreement or (b) arise from an anticipated, threatened, or known claim concerning or relating to use of the name or term "BlackRock"; provided, however, that the BlackRock Advisor shall not have liability for Losses to the extent that such Losses are incurred by reason of any action or inaction by the Monticello Advisor relating to the Loan Portfolio, including the Monticello Advisor failing to provide to the BlackRock Advisor with information relating to the Loan Portfolio (or it providing such information late or providing inaccurate information) or the Monticello Advisor failing to perform services with respect to the Loan Portfolio of the Trust.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**20. Non-Solicitation.** During the term of this Agreement and for two (2) years after the Termination Date, the Trust shall not, without the consent of the BlackRock Advisor, employ or otherwise retain any employee of the BlackRock Advisor or any of its Affiliates or any person who has been employed by the BlackRock Advisor or any of its Affiliates at any time within the two (2) year period immediately preceding the date on which such person commences employment with or is otherwise retained by the Trust. The Trust acknowledges and agrees that, in addition to any damages, the BlackRock Advisor may be entitled to equitable relief for any violation of this Section 20 by the Trust, including, without limitation, injunctive relief.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. **Miscellaneous**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **<u>Notices</u>.** Any notice, report or other communication required or permitted to be given hereunder shall be in writing unless some other method of giving such notice, report or other communication is required by the Declaration of Trust, the Bylaws, or accepted by the party to whom it is given, and shall be given by being delivered by hand, by courier or overnight carrier, by registered or certified mail or by electronic mail using the contact information set forth herein:

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| | |
|:---|:---|
| The Trust: | BlackRock Monticello Debt Real Estate Investment Trust<br>50 Hudson Yards<br>New York, NY 10001<br>Attention: Robert Weiss<br>Email: <u>robert.weiss@blackrock.com</u> |
| with a required copies to: | Simpson Thacher & Bartlett LLP<br>900 G Street NW<br>Washington, D.C. 20001<br>Attention: Daniel B. Honeycutt<br>Email: <u>daniel.honeycutt@stblaw.com</u><br>Simpson Thacher & Bartlett LLP<br>425 Lexington Avenue<br>New York, NY 10017<br>Attention: Ryan Bekkerus<br>Email: <u>rbekkerus@stblaw.com</u><br>|
| The BlackRock Advisor: | BlackRock Financial Management, Inc. <br>50 Hudson Yards<br>New York, NY 10001<br>Attention: General Counsel<br>|
| with a required copies to: | Simpson Thacher & Bartlett LLP<br>900 G Street NW<br>Washington, D.C. 20001<br>Attention: Daniel B. Honeycutt<br>Email: <u>daniel.honeycutt@stblaw.com</u><br>|

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Simpson Thacher & Bartlett LLP<br>425 Lexington Avenue<br>New York, NY 10017<br>Attention: Ryan Bekkerus<br>Email: <u>rbekkerus@stblaw.com</u>

Any party may at any time give notice in writing to the other parties of a change in its address for the purposes of this Section 21(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **<u>Modification</u>.** This Agreement shall not be changed, modified, terminated, or discharged, in whole or in part, except by an instrument in writing signed by the parties hereto, or their respective successors or assignees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **<u>Severability.</u>** The provisions of this Agreement are independent of and severable from each other, and no provision shall be affected or rendered invalid or unenforceable by virtue of the fact that for any reason any other or others of them may be invalid or unenforceable in whole or in part.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **<u>Governing Law; Exclusive Jurisdiction; Jury Trial.</u>** The provisions of this Agreement shall be construed and interpreted in accordance with the laws of the State of New York. The parties hereby irrevocably submit to the exclusive jurisdiction of the courts of the State of New York and the Federal courts of the United States of America located in Borough of Manhattan, New York for purposes of any suit, action or other proceeding arising from this Agreement, and hereby waive, and agree not to assert, as a defense in any action, suit or proceeding for the interpretation or enforcement hereof or thereof, that it is not subject thereto or that such action, suit or proceeding may not be brought or is not maintainable in such courts or that the venue thereof may not be appropriate or that this Agreement or any such document may not be enforced in or by such courts. Each of the parties hereby consents to and grants any such court jurisdiction over the person of such parties and over the subject matter of any such dispute. EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **<u>Entire Agreement.</u>** This Agreement contains the entire agreement and understanding among the parties hereto with respect to the subject matter hereof, and supersedes all prior and contemporaneous agreements, understandings, inducements and conditions, express or implied, oral or written, of any nature whatsoever with respect to the subject matter hereof. The express terms hereof control and supersede any course of performance or usage of the trade inconsistent with any of the terms hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **<u>Indulgences, No Waivers.</u>** Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude any other or further exercise of the same or of any other right, remedy, power or privilege, nor shall any waiver of any right, remedy, power or privilege with

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respect to any occurrence be construed as a waiver of such right, remedy, power or privilege with respect to any other occurrence. No waiver shall be effective unless it is in writing and is signed by the party asserted to have granted such waiver.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **<u>Gender; Number; Construction.</u>** Words used herein regardless of the number and gender specifically used, shall be deemed and construed to include any other number, singular or plural, and any other gender, masculine, feminine or neuter, as the context requires. The word "including" when used herein shall be deemed and construed to be immediately followed by the words "without limitation."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) **<u>Headings.</u>** The titles and headings of Sections and Subsections contained in this Agreement are for convenience only, and they neither form a part of this Agreement nor are they to be used in the construction or interpretation hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **<u>Execution in Counterparts.</u>** This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature appears thereon, and all of which shall together constitute one and the same instrument. Counterparts may be delivered via facsimile, electronic mail (including any electronic signature covered by the U.S. federal ESIGN Act of 2000, Uniform Electronic Transactions Act, the Electronic Signatures and Records Act or other applicable law (e.g., www.docusign.com)), or other transmission method. This Agreement shall become binding when one or more counterparts hereof, individually or taken together, shall bear the signatures of all of the parties reflected hereon as the signatories.

[*Signature Page Follows*]

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**IN WITNESS WHEREOF**, the parties hereto have executed this Second Amended and Restated Advisory Agreement as of the date and year first above written.

**BlackRock Monticello Debt Real Estate Investment Trust**

By: <u>/s/ Robert P. Karnes</u> 

Name: Robert P. Karnes

Title: President

**BlackRock Financial Management, Inc.** 

By: <u>/s/ Brendan Kyne</u> 

Name: Brendan Kyne

Title: Managing Director

[*Signature page to the Second Amended and Restated BlackRock Advisory Agreement*]

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## Exhibit 10.7

**Exhibit 10.7**

**SECOND AMENDED AND RESTATED ADVISORY AGREEMENT**

**BETWEEN**

**BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST**

**AND**

**MONTICELLOAM, LLC**

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**<u>**TABLE OF CONTENTS**</u>**

**<u>Page</u>**

1. Definitions 1

2. Appointment 6

3. Duties of the Monticello Advisor 6

4. Authority of Monticello Advisor 9

5. Bank Accounts 10

6. Records; Access 11

7. Limitations on Activities 11

8. Other Activities of the Monticello Advisor 11

9. Relationship with Trustees and Officers 13

10. Compensation 13

11. Expenses 14

12. Other Services 18

13. No Joint Venture 18

14. Term 18

15. Termination by the Parties 18

16. Assignment to an Affiliate 18

17. Payments to and Duties of Monticello Advisor Upon Termination 19

18. Indemnification by the Trust 19

19. Indemnification by Monticello Advisor 19

20. Non-Solicitation 19

21. Miscellaneous 20

i

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**<u>SECOND AMENDED AND RESTATED ADVISORY AGREEMENT</u>**

**THIS SECOND AMENDED AND RESTATED ADVISORY AGREEMENT** (this "<u>Agreement</u>"), dated as of August 8, 2025 (the "<u>Effective Date</u>"), is by and between BlackRock Monticello Debt Real Estate Investment Trust, a Maryland statutory trust (the "<u>Trust</u>"), and MONTICELLOAM, LLC, a Delaware corporation (the "<u>Monticello Advisor</u>"). Capitalized terms used herein shall have the meanings ascribed to them in Section 1 below.

**W I T N E S S E T H**

**WHEREAS**, the Trust intends to qualify as a REIT, and to invest its funds in (i) a portfolio consisting primarily of real estate debt investments, including senior mortgage loans, subordinated debt and other similar investments (the "<u>Loan Portfolio</u>") and (ii) publicly traded real estate-related debt or securities, private real estate-related debt, and other securities, including collateralized loan obligations and/or cash and cash equivalent investments (collectively, "<u>Liquid Investments Portfolio</u>"), in each case, as permitted by the terms of Sections 856 through 860 of the Code;

**WHEREAS**, as of the date hereof, the Trust will also appoint Blackrock Financial Management, Inc., a Delaware limited liability company (the "<u>BlackRock Advisor</u>" and, together with the Monticello Advisor, the "<u>Advisors</u>"), to serve as its advisor with respect to the Trust's investments that comprise the Liquid Investments Portfolio on the terms and subject to the conditions set forth in the agreement effecting such appointment (the "<u>BlackRock Advisory Agreement</u>");

**WHEREAS**, the Trust desires to avail itself of the knowledge, experience, sources of information, advice, assistance and certain facilities available to the Monticello Advisor and to have the Monticello Advisor serve as its advisor with respect to the Loan Portfolio and to undertake the other duties and responsibilities hereinafter set forth, on behalf of, and subject to the supervision of, the board of trustees of the Trust (the "<u>Board</u>"), all as provided herein;

**WHEREAS,** the Trust and the Monticello Advisor are party to that certain Amended and Restated Advisory Agreement, dated May 6, 2025 (the "Original Advisory Agreement"), for the purpose of having the Monticello Advisor furnish investment advisory services to the Trust;

**WHEREAS,** the Trust and the Monticello Advisor desire to amend and restate the Original Advisory Agreement in its entirety as set forth in this Agreement; and

**WHEREAS**, the Monticello Advisor is willing to undertake to render such services, subject to the supervision of the Board, on the terms and conditions hereinafter set forth.

**NOW, THEREFORE**, in consideration of the foregoing and of the mutual covenants and agreements contained herein, the parties agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1. Definitions.** As used in this Agreement, the following terms have the definitions hereinafter indicated:

"**<u>4-Quarter Performance Measurement Period</u>**" shall have the meaning set forth in the definition of Performance Fee.

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"**<u>Acquisition Expenses</u>**" shall mean any and all expenses incurred by the Trust, the Advisors or any of their respective Affiliates either in connection with the selection, evaluation, structuring, acquisition, origination, financing and development of any investments, whether or not acquired, including, without limitation, legal fees and expenses, travel and communications expenses, costs of appraisals, accounting fees and expenses and title insurance premiums and the costs of performing due diligence.

"**<u>Adjusted Capital</u>**" means cumulative net proceeds generated from sales of Class S Common Shares, Class F-S Common Shares, Class T Common Shares, Class D Common Shares, Class F-D Common Shares, Class I Common Shares and Class F-I Common Shares (including proceeds from the distribution reinvestment plan) reduced for any Distributions deemed to be a return of paid-in capital paid to such Shareholders and amounts paid to such Shareholders for share repurchases pursuant to the Trust's share repurchase plan.

"**<u>Advisors</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Affiliate</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Agreement</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Annual Hurdle Rate</u>**" shall have the meaning set forth in the definition of Performance Fee.

"**<u>BlackRock</u>**" means, collectively, BlackRock, Inc., a Delaware corporation, and any Affiliate thereof.

"**<u>BlackRock Advisor</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>BlackRock Advisory Agreement</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Board</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Bylaws</u>**" shall mean the bylaws of the Trust, as amended from time to time.

"**<u>Cause</u>**" shall mean (a) with respect to the termination of this Agreement by the Trust, fraud, criminal conduct, willful misconduct or willful or gross negligent breach of fiduciary duty by the Monticello Advisor in connection with performing its duties hereunder or the breach of a material provision of this Agreement by the Monticello Advisor after notice of such breach and a reasonable time to cure (to the extent that such breach is curable) or (b) with respect to the termination of this Agreement by the Monticello Advisor, material breach by the Trust of (x) this Agreement after notice of such breach and reasonable time to cure (to the extent that such breach is curable) or (y) the BlackRock Advisory Agreement, the occurrence of which results in the termination of the BlackRock Advisory Agreement by the BlackRock Advisor.

"**<u>CEA</u>**" shall mean the U.S. Commodity Exchange Act, as amended.

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"**<u>Change of Control</u>**" shall mean any event (including, without limitation, issue, transfer or other disposition of shares of the Trust, merger, share exchange or consolidation) after which any "person" (as that term is used in Sections 13(d) and 14(d) of the Exchange Act) is or becomes the "beneficial owner" (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Trust representing greater than 50% or more of the combined voting power of Trust's then outstanding securities, respectively; provided, that, a Change of Control shall not be deemed to occur as a result of any widely distributed offering of the Shares.

"**<u>Class D Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class E Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-D Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-I Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class F-S Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class I Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class S Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Class T Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Code</u>**" shall mean the Internal Revenue Code of 1986, as amended.

"**<u>Common Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Core Earnings</u>**" shall mean for the applicable 4-Quarter Performance Measurement Period, the net income (loss) attributable to shareholders of Class S Common Shares, Class T Common Shares, Class D Common Shares, Class I Common Shares, Class F-S Common Shares, Class F-D Common Shares and Class F-I Common Shares, computed in accordance with GAAP, including realized gains (losses) not otherwise included in GAAP net income (loss) and excluding (i) the Performance Fee, (ii) depreciation, (iii) any unrealized gains or losses for the applicable reporting period, (iv) one-time events pursuant to changes in GAAP and (v) certain non-cash adjustments and certain material non-cash income or expense items, in each case for this clause (v) after discussions between the Advisors and the Independent Trustees and approved by a majority of the Independent Trustees.

"**<u>Dealer Manager</u>**" shall mean BlackRock Investments, LLC, or such other Person selected by the Board to act as the dealer manager or distribution agent.

"**<u>Declaration of Trust</u>**" shall mean the Third Amended and Restated Declaration of Trust of the Trust, dated as of June 30, 2025, as it may be amended, amended and restated and/or supplemented from time to time.

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"**<u>Distributions</u>**" shall mean any distributions, pursuant to Section 7.7 of the Declaration of Trust, by the Trust to owners of Common Shares, including distributions that may constitute a return of capital for federal income tax purposes.

"**<u>Effective Date</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Effective Termination Date</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Exchange Act</u>**" shall mean the Securities Exchange Act of 1934, as amended.

"**<u>GAAP</u>**" shall mean generally accepted accounting principles as in effect in the United States of America from time to time.

**"Founder Shares"** shall mean, collectively, the Class F-S Common Shares, Class F-D Common Shares and Class F-I Common Shares.

"**<u>Independent Trustee</u>**" shall have the meaning set forth in the Declaration of Trust.

**"<u>Initial Period</u>"** shall mean any period in which the NAV of the Trust (measured as of the end of such month prior to effecting any repurchases, if applicable) is $2 billion or less.

"**<u>Initial Retail Closing</u>**" shall mean July 1, 2025.

"**<u>Investment Company Act</u>**" shall mean the Investment Company Act of 1940, as amended.

"**<u>Investment Guidelines</u>**" shall mean the investment guidelines adopted by the Board, as amended from time to time, pursuant to which the Advisors have discretion to acquire and dispose of investments for the Trust without the prior approval of the Board.

"**<u>Liquid Investments Portfolio</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Loan Portfolio</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Management Fee</u>**" shall mean an amount equal to (i) 1.25% of NAV for the Class S Common Shares, Class T Common Shares, Class D Common Shares and Class I Common Shares, plus (ii) (a) 0.0% of NAV for the Founder Shares for the period beginning on the Initial Retail Closing through June 30, 2026, (b) 0.75% of NAV for the Founder Shares for the period commencing on July 1, 2026 through June 30, 2030, or (c) 1.25% of NAV for the Founder Shares for any period commencing on or after July 1, 2030, in each case, per annum. For the avoidance of doubt, no Management Fee shall be paid on Class E Common Shares.

"**<u>Monticello</u>**" means, collectively, MONTICELLOAM, LLC, a Delaware limited liability company, and any Affiliate thereof (including, for the avoidance of doubt, Monticello Capital Partners LLC).

"**<u>Monticello Advisor</u>**" shall have the meaning set forth in the preamble of this Agreement.

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"**<u>Monticello Advisor Expenses</u>**" shall have the meaning set forth in Section 11(a).

**"<u>Monticello Management Fee</u>"** shall have the meaning set forth in Section 10(a).

**"<u>Monticello Performance Fee</u>"** shall have the meaning set forth in Section 10(b).

"**<u>NAV</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Notice of Proposal to Negotiate</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Organization and Offering Expenses</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Origination Fees</u>**" shall mean loan origination fees, extension fees, exit fees, prepayment fees, loan assumption fees, underwriting fees, administration fees and/or other similar fees paid by borrowers in connection with the origination of each new loan by the Trust.

"**<u>Other Accounts</u>**" shall mean, collectively, Other BlackRock Accounts and Other Monticello Accounts.

"**<u>Other BlackRock Accounts</u>**" shall mean any investment funds, REITs, vehicles, separately managed accounts, products or other similar arrangements sponsored, advised or managed by BlackRock or its affiliates, whether currently in existence or subsequently established (in each case, including any related successor funds, alternative vehicles, supplemental capital vehicles, surge funds, overflow funds, co-investment vehicles and other entities formed in connection with BlackRock side-by-side or additional general partner investments with respect thereto).

"**<u>Other Monticello Accounts</u>**" shall mean any investment funds, REITs, vehicles, separately managed accounts, products or other similar arrangements sponsored, advised or managed by Monticello or its affiliates, including entities set up for the benefit of affiliates of the Monticello Advisor and its related persons, whether currently in existence or subsequently established (in each case, including any related successor funds, alternative vehicles, supplemental capital vehicles, surge funds, overflow funds, co-investment vehicles and other entities formed in connection with Monticello side-by-side or additional general partner investments with respect thereto).

"**<u>Performance Fee</u>**" shall mean an amount, not less than zero, equal to 12.5% of the Trust's cumulative Core Earnings for the immediately preceding four calendar quarters (or such shorter period until the Trust has operated for four full calendar quarters) (each such period, a "<u>4-Quarter Performance Measurement Period</u>"), subject to a hurdle rate, expressed as an annual rate of return on Adjusted Capital, equal to 5.0% (the "<u>Annual Hurdle Rate</u>"), (ii) subject to a 100% catch-up provision (as described below) and minus (iii) the sum of any Performance Fees paid to the Monticello Advisor with respect to the other calendar quarters in the applicable 4-Quarter Performance Measurement Period. Once the Trust's Core Earnings for the applicable 4-Quarter Performance Measurement Period exceed the Annual Hurdle Rate, the Performance Fee shall be subject to a "catch-up" equal to the amount of Core Earnings in excess of the Annual Hurdle Rate, until Core Earnings as a percentage of the Adjusted Capital for such 4-Quarter Performance

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Measurement Period is equal to 5.7143%. Thereafter, the Performance Fee shall be equal to 12.5% of the Trust's Core Earnings. The Trust will not pay the Performance Fee with respect to the Class E Common Shares.

"**<u>Person</u>**" shall mean an individual, corporation, business trust, estate, trust, partnership, joint venture, limited liability company or other legal entity.

"**<u>Pre-NAV Break Management Fee</u>**" means the Pre-NAV Break Ratio multiplied by the Management Fee.

"**<u>Pre-NAV Break Performance Fee</u>**" means the Pre-NAV Break Ratio multiplied by the Performance Fee.

"**<u>Pre-NAV Break Ratio</u>**" means the quotient of (i) $2 billion, divided by (ii) the Trust's aggregate NAV.

"**<u>Post-NAV Break Management Fee</u>**" means the Post-NAV Break Ratio multiplied by the Management Fee.

"**<u>Post-NAV Break Performance Fee</u>**" means the Post-NAV Break Ratio multiplied by the Performance Fee.

"**<u>Post-NAV Break Ratio</u>**" means the quotient of (i) the amount of the Trust's NAV in excess of $2 billion, divided by (ii) the Trust's aggregate NAV.

**"<u>Post-Initial Period</u>"** shall mean any period in which the NAV of the Trust (measured as of the end of such month prior to effecting any repurchases, if applicable) is greater than $2 billion.

"**<u>PPM</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>REIT</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shares</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shareholder</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Shareholder Servicing Fee</u>**" shall mean the shareholder servicing fee payable to the Dealer Manager and reallowable to soliciting dealers with respect to Shares, as applicable and as described in the PPM.

"**<u>Termination Date</u>**" shall mean the date of termination of this Agreement or expiration of this Agreement in the event this Agreement is not renewed for an additional term.

"**<u>Termination Notice</u>**" shall have the meaning set forth in Section 14(b).

"**<u>Trust</u>**" shall have the meaning set forth in the preamble of this Agreement.

"**<u>Trustees</u>**" shall have the meaning set forth in the Declaration of Trust.

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"**<u>Upfront Sales Load</u>**" shall have the meaning set forth in the Declaration of Trust.

"**<u>Valuation Guidelines</u>**" shall mean the valuation guidelines of the Trust as have been adopted by the Board, as amended from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2. Appointment.** The Trust hereby appoints the Monticello Advisor to serve as its investment advisor with respect to the Loan Portfolio on the terms and conditions set forth in this Agreement, and to undertake the other duties and responsibilities hereinafter set forth, and the Monticello Advisor hereby accepts such appointment. Except as otherwise provided in this Agreement, the Monticello Advisor hereby agrees to use its commercially reasonable efforts to perform the duties set forth herein, provided that the Trust pays the Monticello Advisor the fees set forth in Section 10 and reimburses the Monticello Advisor for costs and expenses in accordance with Section 11. The Monticello Advisor further acknowledges that the Trust has appointed the BlackRock Advisor to serve as its investment advisor with respect to the Liquid Investments Portfolio pursuant to the BlackRock Advisory Agreement and, subject to the terms and conditions thereof, has delegated to the BlackRock Advisor all investment decisions with respect to the Liquid Investments Portfolio.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3. Duties of the Monticello Advisor.** Subject to the oversight of the Board and the terms and conditions of this Agreement and the Investment Guidelines and consistent with the provisions of the Trust's most recent PPM, the Declaration of Trust and Bylaws, the Monticello Advisor will have plenary authority with respect to the management of the business and affairs of the Trust and, to the extent it relates to the Loan Portfolio, will be responsible for implementing the investment strategy of the Trust; provided that the BlackRock Advisor, rather than the Monticello Advisor, will be solely responsible for implementing the investment strategy of the Trust to the extent it relates to the Liquid Investments Portfolio. The Monticello Advisor will perform (or cause to be performed through one or more of its Affiliates or third parties) such services and activities relating to the foregoing scope of authority as may be appropriate or otherwise mutually agreed from time to time, which may include, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) serving as an advisor to the Trust with respect to the Loan Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) serving as an advisor to the Trust with respect to the establishment and periodic review of the Investment Guidelines for the Trust's investments, financing activities and operations (other than with respect to the Liquid Investments Portfolio);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) managing the Trust's day-to-day operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) sourcing, evaluating and monitoring the Trust's investment opportunities and executing the acquisition, origination, management, financing and disposition of the Trust's assets, in each case, only with respect to such investments that comprise the Loan Portfolio and in accordance with the Investment Guidelines and the Trust's investment policies, strategies, objectives and limitations, subject to oversight by the Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) with respect to prospective acquisitions, originations, purchases, sales, exchanges or other dispositions of investments that comprise or will comprise the Loan Portfolio, conducting negotiations on the Trust's behalf with borrowers, sellers, purchasers and other

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counterparties and, if applicable, their respective agents, advisors and representatives, and determining the structure and terms of such transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) with respect to the Loan Portfolio, providing the Trust with portfolio management and other related services (other than loan servicing and related services);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) serving as an advisor to the Trust with respect to decisions regarding any of the Trust's financings, hedging activities or borrowing relating to the Loan Portfolio, including (1) assisting the Trust in developing criteria for financing that is specifically tailored to the Trust's investment objectives related to the Loan Portfolio, (2) advising the Trust with respect to obtaining appropriate financing for the investments that comprise the Loan Portfolio (which, in accordance with applicable law and the terms and conditions of this Agreement and the Declaration of Trust and Bylaws, as applicable, may include financing by the BlackRock Advisor, the Monticello Advisor or their respective Affiliates) and (3) negotiating and entering into, on the Trust's behalf, financing arrangements (including one or more credit facilities), repurchase agreements, interest rate or currency swap agreements, hedging arrangements, foreign exchange transactions, derivative transactions, and other agreements and instruments required or appropriate in connection with the Trust's activities related to the Loan Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) supporting the Blackrock Advisor in operational services provided to the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) engaging and supervising, on the Trust's behalf and at the Trust's expense, independent contractors, advisors, consultants, attorneys, accountants, administrators, auditors, appraisers, independent valuation agents, escrow agents and other service providers (which may include Affiliates of either of the Advisors) that provide various services with respect to the Trust, including, without limitation, accounting, investment banking, securities brokerage, mortgage brokerage, credit analysis, risk management services, asset management services, loan servicing, other financial, legal or accounting services, due diligence services, underwriting review services, and all other services (including custody and transfer agent and registrar services) as may be required by the Trust's activities or investments (or potential investments);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) communicating on the Trust's behalf with the holders of any of the Trust's equity or debt securities as required to satisfy the reporting and other requirements of any governmental bodies or agencies or trading markets and to maintain effective relations with such holders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) advising the Trust in connection with policy decisions to be made by the Board, particularly those related to the Loan Portfolio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) providing the daily management of the Trust, including performing and supervising the various administrative functions reasonably necessary for the management of the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) engaging one or more sub-advisors with respect to the management of the Loan Portfolio, including, where appropriate, Affiliates of the Monticello Advisor;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) evaluating and recommending to the Board hedging strategies and engaging in hedging activities on the Trust's behalf, consistent with the Trust's qualification as a REIT and with the Investment Guidelines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) investing and reinvesting any moneys and securities of the Trust (excluding investments related to the Liquid Investments Portfolio but including investing in short-term investments (for example money market accounts and other interest-bearing accounts) pending investment in other investments, payment of fees, costs and expenses, or payments of dividends or Distributions to the Shareholders) and advising the Trust as to its capital structure and capital raising;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) together with the BlackRock Advisor, determining valuations for the assets and liabilities of the Trust and supervising the calculation of, as of the last day of each month, the NAV per Common Share in accordance with the Valuation Guidelines, and in connection therewith, obtain appraisals performed by a third party appraisal firms, as needed, or conduct fair valuation determinations concerning the value of the Trust's assets and liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) together with the BlackRock Advisor, providing input in connection with the appraisals and/or valuation reports of the Trust's investments, as needed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) monitoring the Trust's investments in the Loan Portfolio for events that may be expected to have a material impact on the most recent estimated values;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) together with the BlackRock Advisor, monitoring each appraiser's and/or valuation advisor's valuation process to ensure that it complies with the Valuation Guidelines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) delivering to, or maintaining on behalf of, the Trust copies of appraisals and/or valuation reports obtained in connection with its investments in the Loan Portfolio, if any;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) making from time to time, or at any time reasonably requested by the Board, reports to the Board of its performance of services to the Trust under this Agreement, including reports with respect to conflicts of interest involving the Monticello Advisor or any of its Affiliates and the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) subject to Section 7(ii), advising the Trust regarding the Trust's ability to elect REIT status, and thereafter the Trust's ability to maintain its status as a REIT, and monitoring compliance with the various REIT qualification tests and other rules set out in the Code and the regulations promulgated thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) taking all necessary actions to enable the Trust to make required tax filings and reports, including soliciting Shareholders for required information to the extent provided by the REIT provisions of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) assisting the Trust in maintaining the registration of the Shares under federal and state securities laws, as applicable, with respect to any offering and complying with all federal, state and local regulatory requirements applicable to the Trust with respect to any offering and the Trust's business activities (including the Sarbanes-Oxley Act of 2002, as amended), including, with respect to any offering, preparing or causing to be prepared all supplements to the PPM and

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financial statements and all reports and documents, if any, required under the Securities Act of 1933, as amended, and the Exchange Act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) performing such other services from time to time in connection with the management of the Trust's investment activities (other than relating to the Liquid Investments Portfolio) as the Board shall reasonably request and/or the Monticello Advisor shall deem appropriate under the particular circumstances;

provided that, in each case and notwithstanding anything to the contrary in this Agreement, (i) the BlackRock Advisor, rather than the Monticello Advisor, is solely responsible for providing the services described above, as appropriate, to the Trust to the extent that they relate to, or arise from, the Liquid Investments Portfolio (and the Monticello Advisor shall not be responsible for supervising the BlackRock Advisor or any other service provider in respect of such services), (ii) in connection with the Monticello Advisor providing the services hereunder, the Monticello Advisor shall be entitled to rely on the information provided by the BlackRock Advisor relating to the Liquid Investments Portfolio and shall not be responsible for the accuracy of such information provided by the BlackRock Advisor, (iii) the Monticello Advisor shall not be required to provide the services described above to the extent that its ability to provide such services is dependent on the BlackRock Advisor providing information to it or performing services relating to the Liquid Investments Portfolio and such information has not been provided or is incomplete or such services have not been performed and (iv) to the extent that the BlackRock Advisory Agreement provides that the BlackRock Advisor will perform any of the services described above, the Monticello Advisor and the BlackRock Advisor will perform such services together.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. **Authority of Monticello Advisor**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Pursuant to the terms of this Agreement (including the restrictions included in this Section 4 and in Section 7), and subject to the continuing and exclusive authority of the Board over the management of the Trust, the Board (by virtue of its approval of this Agreement and authorization of the execution hereof by the officers of the Trust) hereby delegates to the Monticello Advisor the authority to take, or cause to be taken, any and all actions and to execute and deliver any and all agreements, certificates, assignments, instruments or other documents (including loan documentation) and to do any and all things that, in the judgment of the Monticello Advisor, may be necessary or advisable in connection with the Monticello Advisor's duties described in Section 3, including, with respect to the Loan Portfolio, the making of any investment that fits within the Investment Guidelines and objectives, policies and limitations of the Trust and within the discretionary limits and authority as granted to the Monticello Advisor from time to time by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the foregoing, any investment that does not fit within the Investment Guidelines will require the prior approval of the Board or any duly authorized committee of the Board, as the case may be. For the avoidance of doubt, except as otherwise set forth herein, in the Investment Guidelines or in the Declaration of Trust, any investment with respect to the Loan Portfolio that fits within the Investment Guidelines may be made by the Monticello Advisor on the Trust's behalf without the prior approval of the Board, any duly authorized committee of the Board or any other Person.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The prior approval of a majority of the Trustees (including a majority of the Independent Trustees) not otherwise interested in the transaction will be required for each transaction to which the Monticello Advisor or its Affiliates is a party (other than those specifically contemplated by this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Board will review the Investment Guidelines periodically, in its discretion, and may, at any time upon the giving of notice to the Advisors, amend the Investment Guidelines; provided, however, that such amendment shall be effective upon receipt by the Advisors or such later date as is specified by the Board and included in the notice provided to the Advisors and such amendment shall not be applicable to investment transactions to which the Monticello Advisor has committed the Trust prior to the date of receipt by the Monticello Advisor of such notification, or if later, the effective date of such amendment specified by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Monticello Advisor may retain, for and on behalf, and at the sole cost and expense, of the Trust, such services as the Monticello Advisor deems necessary or advisable in connection with the management and operations of the Trust, which may include the Monticello Advisor, the BlackRock Advisor or their respective Affiliates or unaffiliated third parties; provided, that, any such services may only be provided by the Monticello Advisor, the BlackRock Advisor or their respective Affiliates to the extent such services are approved by a majority of the Trustees (including a majority of the Independent Trustees) not otherwise interested in such transactions as being fair and reasonable to the Trust and on terms and conditions not less favorable to the Trust than those available from non-Affiliated third parties. For the avoidance of doubt, no additional approvals shall be required in connection with any services provided by the BlackRock Advisor or its Affiliates that are specifically contemplated by this Agreement and for which it will be paid and reimbursed in accordance with Section 10 and Section 11. In performing its duties under Section 3, the Monticello Advisor shall be entitled to rely reasonably (x) on qualified experts and professionals (including, without limitation, accountants, legal counsel and other professional service providers) hired by the Monticello Advisor at the Trust's sole cost and expense and (y) with respect to any matter related to, or arising from, the Liquid Investments Portfolio, on the BlackRock Advisor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5. Bank Accounts.** The Monticello Advisor may establish and maintain one or more bank accounts in the name of the Trust and any subsidiary thereof and may collect and deposit into any such account or accounts, and disburse from any such account or accounts, any money on behalf of the Trust, consistent with the Monticello Advisor's authority under this Agreement, provided, that, no funds shall be commingled with the funds of the Monticello Advisor; and the Monticello Advisor shall from time to time render, upon request by the Board, its audit committee or the auditors of the Trust, appropriate accountings of such collections and payments to the Board, its audit committee and the auditors of the Trust, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6. Records; Access.** The Monticello Advisor shall maintain, or shall cause to be maintained, appropriate records of its activities hereunder and make such records, or shall cause such records to be made, available for inspection by the Board and by counsel, auditors and authorized agents of the Trust, at any time or from time to time during normal business hours. The Monticello Advisor shall at all reasonable times have access to the books and records of the Trust.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7. Limitations on Activities.** The Monticello Advisor shall refrain from knowingly taking any action that, in its sole judgment made in good faith, (i) is not in compliance with the Investment Guidelines, (ii) after taking into account the information provided by the BlackRock Advisor with respect to the Liquid Investments Portfolio, would cause the Trust to fail to qualify as a REIT under the Code or require the Trust to register as an investment company under the Investment Company Act, or (iii) would materially violate any law, rule or regulation of any governmental body or agency having jurisdiction over the Trust or of any exchange on which the securities of the Trust may be listed or that would otherwise not be permitted by the Declaration of Trust or Bylaws. If the Monticello Advisor is ordered to take any action by the Board, the Monticello Advisor shall notify the Board if it is the Monticello Advisor's reasonable judgment that such action would adversely and materially affect such status or violate any such law, rule or regulation or the Declaration of Trust or Bylaws. Notwithstanding the foregoing, neither the Monticello Advisor nor any of its Affiliates shall be liable to the Trust, the Board, or the Shareholders for any act or omission by the Monticello Advisor or any of its Affiliates, except as provided in Section 19 of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. **Other Activities of the Monticello Advisor**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Nothing in this Agreement shall (i) prevent the Monticello Advisor or any of its Affiliates, officers, trustees or employees from engaging in other businesses or from rendering services of any kind to any other Person or entity, whether or not the investment objectives or policies of any such other Person are similar to those of the Trust, including, without limitation, the sponsoring, closing, advising and/or managing of any Other Monticello Accounts, (ii) in any way bind or restrict the Monticello Advisor or any of its Affiliates, officers, directors or employees from buying, selling or trading any securities or commodities for their own accounts or for the account of others (including Other Monticello Accounts) for whom the Monticello Advisor or any of its Affiliates, officers, directors or employees may be acting, or (iii) prevent the Monticello Advisor or any of its Affiliates, officers, directors or employees from receiving fees or other compensation or profits from such activities described in this Section 8(a) which shall be for the sole benefit of the Monticello Advisor (and/or its Affiliates, officers, directors or employees). While information and recommendations supplied to the Trust shall, in the Monticello Advisor's reasonable and good faith judgment, be appropriate under the circumstances and in light of the investment objectives and policies of the Trust, such information and recommendations may be different in certain material respects from the information and recommendations supplied by the Monticello Advisor or any Affiliate of the Monticello Advisor to others (including, for greater certainty, the Other Monticello Accounts and their investors, as described more fully in Section 8(b)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Monticello Advisor and the Trust acknowledge and agree that notwithstanding any other provision to the contrary contained herein, (i) the Monticello Advisor and its Affiliates sponsor, advise and/or manage Other Monticello Accounts and may in the future sponsor, advise and/or manage additional Other Monticello Accounts and (ii) with respect to Other Monticello Accounts with investment objectives or guidelines that overlap with the Trust, the Monticello Advisor and its Affiliates will allocate investment opportunities between the Trust and such Other Monticello Accounts in accordance with Monticello's prevailing policies and procedures on a basis that the Monticello Advisor and its Affiliates determine to be reasonable in their sole discretion, and there may be circumstances where investments that are consistent with

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the Investment Guidelines may be shared with or allocated to one or more Other Monticello Accounts (in lieu of the Trust) in accordance with Monticello's prevailing policies and procedures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In connection with the services of the Monticello Advisor hereunder, the Trust and the Board acknowledge and agree that (i) as part of Monticello's regular businesses, personnel of the Monticello Advisor and its Affiliates will devote a substantial amount of their working time and resources to projects and matters other than the Trust (including with respect to one or more Other Monticello Accounts), and that conflicts may arise with respect to the allocation of personnel between the Trust and one or more Other Monticello Accounts and/or the Monticello Advisor and such other Affiliates, (ii) unless prohibited by the Declaration of Trust, Other Monticello Accounts may invest, from time to time, in investments in which the Trust also invests (including at a different level of an issuer's capital structure (e.g., an investment by an Other Monticello Account in a mezzanine debt interest with respect to the same issuer to whom the Trust has made a mortgage loan)) and while Monticello will seek to resolve any such conflicts in a fair and reasonable manner in accordance with its prevailing policies and procedures with respect to conflicts resolution among Other Monticello Accounts generally (as outlined in the PPM and/or the Monticello Advisor's Form ADV), such transactions are not required to be presented to the Board or any committee thereof for approval (unless otherwise required by Section 8(d), the Declaration of Trust or the Investment Guidelines), and there can be no assurance that any conflicts will be resolved in the Trust's favor, (iii) in addition to the compensation paid to the Monticello Advisor pursuant to Section 10 hereof and the reimbursement paid to the Monticello Advisor pursuant to Section 11 hereof, the Trust may pay additional amounts to the Monticello Advisor for services to the extent they are approved in accordance with Section 4(e), (iv) the Monticello Advisor and its Affiliates may from time to time receive fees from entities in which the Trust holds an investment or other issuers for providing services, including with respect to Other Monticello Accounts and such entities, and while such fees may give rise to conflicts of interest, the Trust will not receive the benefit of any such fees, and (v) the terms and conditions of the governing agreements of such Other Monticello Accounts (including with respect to the economic, reporting, and other rights afforded to investors in such Other Monticello Accounts) are materially different from the terms and conditions applicable to the Trust and the Shareholders, and neither the Trust nor the Shareholders (in such capacity) shall have the right to receive the benefit of any such different terms applicable to investors in such Other Monticello Accounts as a result of an investment in the Trust or otherwise. The Monticello Advisor shall keep the Board reasonably informed on a periodic basis in connection with the foregoing, to the extent employees of the Monticello Advisor that provide services to the Trust have knowledge thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Without limiting the prohibition set forth in Section 4(c), the Monticello Advisor is not permitted to consummate on the Trust's behalf any transaction that involves (i) the sale of any investment to or (ii) the acquisition of any investment from Monticello, any Other Monticello Account or any of their Affiliates unless such transaction is approved by a majority of the Trustees, including a majority of the Independent Trustees, not otherwise interested in such transaction as being fair and reasonable to the Trust. The Monticello Advisor will seek to resolve any conflicts of interest in a fair and reasonable manner in accordance with its prevailing policies and procedures with respect to conflicts resolution among Other Monticello Accounts generally (as outlined in the PPM and/or the Monticello Advisor's Form ADV), but only those transactions set forth in this Section 8(d) will be expressly required to be presented for approval to the

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Independent Trustees or any committee thereof (unless otherwise required by the Declaration of Trust or the Investment Guidelines).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) For the avoidance of doubt, it is understood that neither the Trust nor the Board has the authority to determine the salary, bonus or any other compensation paid by the Monticello Advisor to any director, officer, member, partner, employee, or shareholder of the Monticello Advisor or its Affiliates, including any person who is also a Trustee, officer or employee of the Trust or any person who provides services to the Trust for which the BlackRock Advisor or its Affiliates are reimbursed pursuant to Section 11.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) In connection with the services of the Monticello Advisor hereunder, the Trust acknowledges and agrees that it has carefully reviewed and understood fully the information contained in the Monticello Advisor's Form ADV. The Trust further acknowledges and agrees that the Monticello Advisor and any of its Affiliates may engage in any of and all the activities of the type or character described or contemplated in this Agreement or described in the Monticello Advisor's Form ADV, whether or not such activities have had or could have an adverse effect on the affairs of the Trust or any Affiliate of the Trust or its investments and that, subject to the indemnification provisions of Section 19, no such activity, nor the receipt of compensation or other consideration in connection therewith, will in and of itself result in liability to the Monticello Advisor or any of its Affiliates or constitute a breach of any duty owed by the Monticello Advisor to the Trust or any Affiliate of the Trust. The Trust consents, by agreeing to be bound by this Agreement, to the risk factors and conflicts of interest to which the Monticello Advisor and its Affiliates are subject in the operation of the Trust as outlined in the Monticello Advisor's Form ADV. The Trust covenants not to object to or bring any proceeding against the Monticello Advisor or any of its Affiliates relating to any such risks or conflicts of interest; provided, that (x) the Persons in question have complied with the standard of liability set forth in Section 19 and (y) the provisions of this Section 8(f) shall not be construed so as to relieve (or attempt to relieve) the Monticello Advisor or any of its Affiliates of any liability, to the extent (but only to the extent) that such liability may not be waived, modified or limited under applicable law, but shall be construed so as to effectuate such provisions to the maximum extent permitted by law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. **Compensation**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In consideration for services rendered pursuant to the terms of this Agreement, the Trust will pay the Monticello Advisor a fee equal to (i) during any Initial Period, (A) 0.6, multiplied by (B) the Management Fee or (ii) during any Post-Initial Period, (A) (I) 0.6, multiplied by (II) the Pre-NAV Break Management Fee, plus (B) (I) 0.65, multiplied by (II) the Post-NAV Break Management Fee (the "Monticello Management Fee"). The Monticello Management Fee shall be accrued monthly and payable quarterly in arrears, before giving effect to any accruals for the Management Fee, the Shareholder Servicing Fee, the Performance Fee or any Distributions. For the avoidance of doubt, the aggregate Management Fee payable in any given period pursuant to this Agreement and the BlackRock Advisory Agreement shall be equal to the aggregate Management Fee payable by the Trust in respect of such period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In addition to the Monticello Management Fee, and in consideration for services rendered pursuant to the terms of this Agreement, the Trust shall pay the Monticello Advisor a performance-related fee in an amount, not less than zero, equal to (i) during any Initial Period, (A) 0.6, multiplied by (B) the Performance Fee or (ii) during any Post-Initial Period, (A) the Pre-NAV Break Performance Fee, multiplied by (B) 0.6, plus (A) the Post-NAV Break Performance Fee, multiplied by (B) 0.65 (the "Monticello Performance Fee"). The Monticello Performance Fee shall be accrued monthly (or part thereof that this Agreement is in effect) and payable quarterly in arrears. For the avoidance of doubt, the Monticello Advisor shall not earn the Monticello Performance Fee for any calendar quarter until the Trust's Core earnings for the applicable 4-Quarter Performance Measurement Period exceed the Annual Hurdle Rate. For the avoidance of doubt, the aggregate Performance Fee payable in any given period pursuant to this Agreement and the BlackRock Advisory Agreement shall be equal to the aggregate Performance Fee payable by the Trust in respect of such period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Monticello Management Fee and/or the Monticello Performance Fee may be paid, at the Monticello Advisor's election, in cash or cash equivalent aggregate NAV amounts of Class E Common Shares, or any combination thereof. If the Monticello Advisor elects to receive any portion of the Monticello Management Fee or Monticello Performance Fee in Class E Common Shares, the Monticello Advisor or any subsequent transferee thereof may elect to have the Trust repurchase such Class E Common Shares from the Monticello Advisor or such transferee at a later date at a repurchase price per Class E Common Share equal to the then applicable NAV per Class E Common Share. Class E Common Shares obtained by the Monticello Advisor will not be subject to the Trust's share repurchase plan, including the repurchase limits or any early repurchase deduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event this Agreement is terminated or its term expires without renewal, the Monticello Advisor will be entitled to receive each of its prorated Monticello Management Fee and Monticello Performance Fee through the date of termination. Such pro ration shall take into account the number of days of any partial calendar month or calendar year for which this Agreement was in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) In the event the Trust commences a liquidation of its investments during any calendar year, the Trust will pay the Monticello Advisor the Monticello Management Fee and the Monticello Performance Fee from the proceeds of the liquidation.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Trust shall not be entitled to retain any Origination Fees received, directly or indirectly, by the Advisors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. **Expenses**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to Sections 4(e), 8(c) and 11(b), the Monticello Advisor shall be responsible for the expenses related to any and all personnel of the Monticello Advisor who provide investment advisory services to the Trust pursuant to this Agreement (including, without limitation, each of the officers of the Trust and any Trustees who are also directors, officers or employees of the Monticello Advisor or any of its Affiliates), including, without limitation, salaries, bonus and other wages, payroll taxes and the cost of employee benefit plans of such personnel, and costs of insurance with respect to such personnel (collectively, "Monticello Advisor Expenses").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In addition to the compensation paid to the Monticello Advisor pursuant to Section 10 hereof, the Trust shall pay all of its costs and expenses directly or reimburse the Monticello Advisor or its Affiliates for costs and expenses of the Monticello Advisor and its Affiliates incurred in connection with providing services to the Trust other than Monticello Advisor Expenses. Without limiting the generality of the foregoing, it is specifically agreed that the following costs and expenses of the Trust are not Monticello Advisor Expenses and shall either be paid by the Trust or, if they are paid by the Monticello Advisor or its Affiliates, the Trust shall reimburse the Monticello Advisor for such costs and expenses and, in any event, such costs and expenses shall not be borne by the Monticello Advisor or Affiliates of the Monticello Advisor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Organization and Offering Expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Acquisition Expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) fees, costs and expenses in connection with the issuance and transaction costs incident to the trading, origination, settling, disposition and financing of the Trust's investments (whether or not consummated), including brokerage commissions, hedging costs, prime brokerage fees, custodial expenses, clearing and settlement charges, and other investment costs fees and expenses actually incurred in connection with the pursuit, making, holding, originating, settling, monitoring or disposing of actual or potential investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the cost of goods and services used by the Trust and obtained from either Affiliates of the Monticello Advisor or Persons not Affiliated with the Monticello Advisor, including fees paid to administrators, consultants, attorneys, technology providers and other services providers, and brokerage fees paid in connection with the origination, acquisition and/or sale of investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) all fees, costs and expenses of legal, tax, accounting, consulting, auditing (including internal audit), finance, administrative, investment banking, capital market, transfer agency, escrow agency, custody, prime brokerage, asset management, data, technology, financial reporting, valuation, client services, hedging and currency management, transfer pricing, investment and fund structuring, provision of money laundering reporting officer (MLRO) and related

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services, and other non-investment advisory services rendered to the Trust by the Monticello Advisor or its Affiliates including, without limitation, an allocable portion (as determined by the Monticello Advisor) of the salaries, bonus and other wages, payroll taxes and the cost of employee benefit plans and insurance with respect to all personnel of the Monticello Advisor who provide services to the Trust, other than those who provide investment advisory services to the Trust or serve as executive officers or Trustees of the Trust (but solely in respect of their service as executive officers or Trustees of the Trust), as described in Section 9;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) expenses of acquiring, originating, managing and disposing the Trust's investments, whether payable to an Affiliate of the Monticello Advisor or a non-Affiliated Person (other than Monticello Advisor Expenses);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the compensation and expenses of the Trustees (excluding those trustees who are directors, officers or employees of the Monticello Advisor (but solely in respect of their service as Trustees)) and the cost of liability insurance to indemnify the Trustees and officers and expenses incurred in connection with preparation of materials for meetings of the Board and its committees as well as subsequent compensation and expenses incurred in relation to such meetings of the Board and its committees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) interest and fees and expenses arising out of borrowings made by the Trust, including, but not limited to, costs associated with the establishment and maintenance of any of the Trust's credit facilities, other financing arrangements, or other indebtedness of the Trust (including commitment fees, accounting fees, legal fees, closing and other similar costs) or any of the Trust's securities offerings, whether or not any facilities arrangements or indebtedness are implemented or such securities are offered;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) expenses connected with communications to holders of the Trust's securities or securities of any subsidiary of the Trust and other bookkeeping and clerical work necessary in maintaining relations with holders of such securities and in complying with the continuous reporting and other requirements of governmental bodies or agencies, including, without limitation, all costs of preparing and filing required reports with the SEC, the costs payable by the Trust to any transfer agent and registrar, expenses in connection with the listing and/or trading of the Trust's securities on any exchange, the fees payable by the Trust to any such exchange in connection with its listing, costs of preparing, printing and mailing the Trust's annual report to the Shareholders and proxy materials, if any, with respect to any meeting of the Shareholders and any other reports or related statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the Trust's allocable share of costs associated with technology-related expenses, including without limitation, any computer software or hardware, electronic equipment or purchased information technology services from third-party vendors or Affiliates of the Monticello Advisor, technology

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service providers and related software/hardware utilized in connection with the Trust's investment and operational activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the Trust's allocable share of expenses incurred by managers, officers, personnel and agents of the Monticello Advisor for travel on the Trust's behalf and other out-of-pocket expenses incurred by them in connection with the purchase, financing, refinancing, sale or other disposition of an investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) expenses relating to compliance-related matters and regulatory filings relating to the Trust's activities (including, without limitation, expenses relating to the preparation and filing of Form PF, Form ADV, reports to be filed with the U.S. Commodity Futures Trading Commission, reports, disclosures, and/or other regulatory filings of the Monticello Advisor and its Affiliates relating to the Trust's activities (including the Trust's pro rata share of the costs of the Monticello Advisor and its Affiliates of regulatory expenses that relate to the Trust and Other Monticello Accounts));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) the costs of any litigation involving the Trust or its assets and the amount of any judgments or settlements paid in connection therewith, trustees and officers liability or other insurance and indemnification or extraordinary expense or liability relating to the affairs of the Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) all taxes and statutory, regulatory or license fees or other governmental charges;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) all insurance costs incurred in connection with the operation of the Trust's business, including, for example, directors and officers' insurance (or the equivalent thereof) in respect of the Trustees and officers of the Trust, except for the costs attributable to the insurance that the Monticello Advisor elects to carry for itself and its personnel (other than Trustees and officers insurance covering Monticello personnel in respect of their serving as Trustees and officers of the Trust and other than as provided in clause (v) above);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) expenses incurred in connection with maintaining the status of the Trust as a REIT or the payments of interest, dividends or Distributions in cash or any other form authorized or caused to be made by the Board to or on account of holders of the Trust's securities, including, without limitation, in connection with any distribution reinvestment plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) any judgment or settlement of pending or threatened proceedings (whether civil, criminal or otherwise) against the Trust, or against any Trustee or officer of the Trust or in his or her capacity as such for which the Trust is required to indemnify such Trustee or officer by any court or governmental agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) expenses incurred in connection with the formation, organization, continuation, liquidation and/or restructuring of any corporation, partnership, joint venture or other entity through which the Trust's investments are made or in which any such entity invests; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) expenses incurred related to industry association memberships or related to employees of the BlackRock Advisor attending industry conferences, to the extent doing so on behalf of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Monticello Advisor may, at its option, elect not to seek reimbursement for certain expenses during a given period, which determination shall not be deemed to construe a waiver of reimbursement for similar expenses in future periods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any reimbursement payments owed by the Trust to the Monticello Advisor may be offset by the Monticello Advisor against amounts due to the Trust from the Monticello Advisor (if applicable). Cost and expense reimbursement to the Monticello Advisor shall be subject to adjustment at the end of each calendar year in connection with the annual audit of the Trust.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding the foregoing, the Advisors shall pay for all Organization and Offering Expenses (other than Upfront Sales Loads and Shareholder Servicing Fees) incurred prior to July 1, 2026. All such Organization and Offering Expenses paid by the Advisors pursuant to this Section 11(e) shall be reimbursed by the Trust to the Advisors in 60 equal monthly installments commencing on July 1, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Notwithstanding the foregoing, the Monticello Advisor may pay for certain of the costs and expenses of the Trust contemplated by Section 11(b) above (excluding Organization and Offering Expenses, which are subject to Section 11(e)) incurred prior to July 1, 2026. All such expenses (excluding Organization and Offering Expenses, which are subject to Section 11(e)) paid by the Monticello Advisor pursuant to this Section 11(f) shall be reimbursed by the Trust to the Monticello Advisor in 60 equal monthly installments commencing on July 1, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12. Other Services.** Should the Board request that the Monticello Advisor or any director, manager, officer or employee thereof render services for the Trust other than set forth in Section 3, such services shall be approved in accordance with Section 4(e) and separately compensated at such rates and in such amounts as are agreed by the Monticello Advisor and the Independent Trustees, subject to the limitations contained in the Declaration of Trust, and shall not be deemed to be services pursuant to the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13. No Joint Venture.** The Trust, on the one hand, and the Monticello Advisor, on the other, are not partners or joint venturers with each other, and nothing in this Agreement shall be construed to make them such partners or joint venturers or impose any liability as such on either of them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. **Term**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall continue in effect for two years from the Effective Date, and will continue automatically for successive two-year renewal periods thereafter unless (i) at least two-thirds of the Independent Trustees agree not to renew it in accordance with Section 14(b) or (ii) otherwise terminated in accordance with Section 15.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without penalty or fee, the Trust may elect not to renew this Agreement upon the expiration of the initial two-year term (or any subsequent renewal term) upon 180 days' prior written notice to the Monticello Advisor (the "Termination Notice"), but only if at least two-thirds of the Independent Trustees agree that (i) there has been unsatisfactory performance by the Monticello Advisor that is materially detrimental to the Trust or (ii) the compensation payable to the Monticello Advisor under this Agreement is unfair; provided that the Trust does not have the right to terminate this Agreement under this clause (ii) if the Monticello Advisor agrees to continue to provide the services under this Agreement at a reduced fee that is the greater of (x) the compensation that the Independent Trustees determine to be consistent with current market level compensation rates for comparable work and fair in accordance with this Section 14(b) or (y) two-thirds of the compensation resulting from the application of the compensation computation methodology applied in the immediately preceding period to the activity occurring during the renewal period. If the Trust issues the Termination Notice, the Trust shall be obligated to specify the reason for nonrenewal in the Termination Notice and, in the event that such Termination Notice states that it is given because the Trust determined that the compensation payable to the Monticello Advisor is unfair, the Monticello Advisor shall have the right to renegotiate such compensation by delivering to the Trust, no fewer than 60 days prior to the prospective last day of the initial term (or any subsequent renewal term) (the "Effective Termination Date"), written notice (any such notice, a "Notice of Proposal to Negotiate") of its intention to renegotiate its compensation under this Agreement. Thereupon, the Trust (represented by the Independent Trustees) and the Monticello Advisor shall endeavor to negotiate in good faith the revised compensation payable to the Monticello Advisor under this Agreement, and if the Monticello Advisor and at least two-thirds of the Independent Trustees agree to terms of revised compensation to be payable to the Monticello Advisor or if the Monticello Advisor agrees to continue to provide the services under this Agreement at the reduced fee as set forth in clause (ii)(y) above within 60 days following the receipt of the Notice of Proposal to Negotiate, the Termination Notice shall be deemed of no force and effect and this Agreement shall continue in full force and effect on the terms stated in this Agreement, except that, beginning on the date following the Effective Termination Date originally set forth in the Termination Notice, the compensation payable to the Monticello Advisor hereunder will be the revised compensation then agreed upon by the Monticello Advisor and the Independent Trustees or the amount set forth in clause (ii)(y) above, as applicable. In the event that the Trust and the Monticello Advisor are unable to agree to the terms of the revised compensation to be payable to the Monticello Advisor during such 60-day period, this Agreement shall terminate and such termination to be effective on the date which is the later of (A) 10 days following the end of such 60-day period and (B) the Effective Termination Date originally set forth in the Termination Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15. Termination by the Parties.** This Agreement may be terminated (i) at the option of the Monticello Advisor, (a) immediately for Cause or upon a Change of Control of the Trust or (b) upon written notice by the Monticello Advisor to the Trust of its intention to decline to renew this Agreement; provided, that such written notice shall be delivered no later than 180 days prior to the expiration of the initial two-year term (or any subsequent renewal term); provided further, that the Monticello Advisor may provide in its notice that such termination (as a result of such non-renewal) will only be effective if the BlackRock Advisory Agreement is terminated by the Trust pursuant to Section 14(b) of such agreement, in which case this Agreement will terminate on the same day on which the BlackRock Advisory Agreement terminates, and (ii) at the option

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of the Trust, immediately for Cause or upon the bankruptcy of the Monticello Advisor. The provisions of Sections 16 through 21 survive termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16. Assignment to an Affiliate.** Except as set forth herein, the Monticello Advisor shall not assign, sell or otherwise dispose of all or any part of its right, title and interest in and to this Agreement to any Persons other than an Affiliate without the approval of a majority of the Trustees (including a majority of the Independent Trustees). Notwithstanding the foregoing, the Monticello Advisor may assign any rights to receive fees or other payments under this Agreement to any Person without obtaining the consent of the Board. This Agreement shall not be assigned by the Trust without the approval of the Monticello Advisor, except in the case of an assignment by the Trust to a corporation or other organization which is a successor to all of the assets, rights and obligations of the Trust, in which case such successor organization shall be bound hereunder and by the terms of said assignment in the same manner as the Trust is bound by this Agreement. This Agreement shall be binding on successors to the Trust resulting from a Change of Control or sale of all or substantially all the assets of the Trust, and shall likewise be binding on any successor to the Monticello Advisor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17. Payments to and Duties of Monticello Advisor Upon Termination.** After the Termination Date, the Monticello Advisor shall not be entitled to compensation for further services hereunder except it shall be entitled to receive from the Trust within 30 days after the effective date of such termination all unpaid reimbursements of expenses and all earned but unpaid fees payable to the Monticello Advisor prior to termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Monticello Advisor shall promptly upon termination:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) pay over to the Trust all money collected and held for the account of the Trust pursuant to this Agreement, after deducting any accrued compensation and reimbursement for its expenses to which it is then entitled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) deliver to the Board a full accounting, including a statement showing all payments collected by it and a statement of all money held by it, covering the period following the date of the last accounting furnished to the Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) deliver to the Board all assets, including all investments, and documents of the Trust then in the custody of the Monticello Advisor; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) cooperate with, and take all reasonable actions requested by, the Trust and Board in making an orderly transition of the advisory function.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**18. Indemnification by the Trust.** The Trust shall indemnify and hold harmless the Monticello Advisor and its Affiliates, including their respective officers, managers, directors, partners and employees, from all liability, claims, damages or losses arising in the performance of their duties hereunder, and related expenses, including reasonable attorneys' fees, to the extent such liability, claims, damages or losses and related expenses are not fully reimbursed by insurance, and to the fullest extent possible without such indemnification being inconsistent with the laws of the State of Maryland or the Declaration of Trust.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**19. Indemnification by Monticello Advisor.** The Monticello Advisor shall indemnify and hold harmless the Trust from contract or other liability, claims, damages or losses and related expenses, including attorneys' fees (collectively, "Losses"), to the extent that (i) Losses are not fully reimbursed by insurance and (ii) are either (a) incurred by reason of the Monticello Advisor's bad faith, fraud, willful misconduct, gross negligence or reckless disregard of its duties under this Agreement or (b) arise from an anticipated, threatened, or known claim concerning or relating to use of the name or term "Monticello"; provided, however, that the Monticello Advisor shall not have liability for Losses to the extent that such Losses are incurred by reason of any action or inaction by the BlackRock Advisor relating to the Liquid Investments Portfolio, including the BlackRock Advisor failing to perform services with respect to the Liquid Investments Portfolio.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**20. Non-Solicitation.** During the term of this Agreement and for two (2) years after the Termination Date, the Trust shall not, without the consent of the Monticello Advisor, employ or otherwise retain any employee of the Monticello Advisor or any of its Affiliates or any person who has been employed by the Monticello Advisor or any of its Affiliates at any time within the two (2) year period immediately preceding the date on which such person commences employment with or is otherwise retained by the Trust. The Trust acknowledges and agrees that, in addition to any damages, the Monticello Advisor may be entitled to equitable relief for any violation of this Section 20 by the Trust, including, without limitation, injunctive relief.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. **Miscellaneous**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **<u>Notices</u>.** Any notice, report or other communication required or permitted to be given hereunder shall be in writing unless some other method of giving such notice, report or other communication is required by the Declaration of Trust, the Bylaws, or accepted by the party to whom it is given, and shall be given by being delivered by hand, by courier or overnight carrier, by registered or certified mail or by electronic mail using the contact information set forth herein:

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---

| | |
|:---|:---|
| The Trust: | BlackRock Monticello Debt Real Estate Investment Trust<br>50 Hudson Yards<br>New York, NY 10001<br>Attention: Robert Weiss <br>Email: <u>robert.weiss@blackrock.com</u><br>|
| with a required copies to: | Simpson Thacher & Bartlett LLP<br>900 G Street NW<br>Washington, D.C. 20001<br>Attention: Daniel B. Honeycutt<br>Email: <u>daniel.honeycutt@stblaw.com</u><br>Simpson Thacher & Bartlett LLP<br>425 Lexington Avenue<br>New York, NY 10017<br>Attention: Ryan Bekkerus<br>Email: <u>rbekkerus@stblaw.com</u><br>|
| The Monticello Advisor: | MONTICELLOAM, LLC <br>600 Third Avenue, 21<sup>st</sup> Floor<br>New York, NY 10016<br>Attention: Jonathan Litt<br>Email: <u>jlitt@monticelloam.com</u><br>|
| with a required copies to: | Simpson Thacher & Bartlett LLP<br>900 G Street NW<br>Washington, D.C. 20001<br>Attention: Daniel B. Honeycutt<br>Email: <u>daniel.honeycutt@stblaw.com</u><br>Simpson Thacher & Bartlett LLP<br>425 Lexington Avenue<br>New York, NY 10017<br>Attention: Ryan Bekkerus<br>Email: <u>rbekkerus@stblaw.com</u><br>|

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Any party may at any time give notice in writing to the other parties of a change in its address for the purposes of this Section 21(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **<u>Modification</u>.** This Agreement shall not be changed, modified, terminated, or discharged, in whole or in part, except by an instrument in writing signed by the parties hereto, or their respective successors or assignees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **<u>Severability</u>.** The provisions of this Agreement are independent of and severable from each other, and no provision shall be affected or rendered invalid or unenforceable

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by virtue of the fact that for any reason any other or others of them may be invalid or unenforceable in whole or in part.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **<u>Governing Law; Exclusive Jurisdiction; Jury Trial</u>.** The provisions of this Agreement shall be construed and interpreted in accordance with the laws of the State of New York. The parties hereby irrevocably submit to the exclusive jurisdiction of the courts of the State of New York and the Federal courts of the United States of America located in Borough of Manhattan, New York for purposes of any suit, action or other proceeding arising from this Agreement, and hereby waive, and agree not to assert, as a defense in any action, suit or proceeding for the interpretation or enforcement hereof or thereof, that it is not subject thereto or that such action, suit or proceeding may not be brought or is not maintainable in such courts or that the venue thereof may not be appropriate or that this Agreement or any such document may not be enforced in or by such courts. Each of the parties hereby consents to and grants any such court jurisdiction over the person of such parties and over the subject matter of any such dispute. EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **<u>Entire Agreement</u>.** This Agreement contains the entire agreement and understanding among the parties hereto with respect to the subject matter hereof, and supersedes all prior and contemporaneous agreements, understandings, inducements and conditions, express or implied, oral or written, of any nature whatsoever with respect to the subject matter hereof. The express terms hereof control and supersede any course of performance or usage of the trade inconsistent with any of the terms hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **<u>Indulgences, No Waivers</u>.** Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude any other or further exercise of the same or of any other right, remedy, power or privilege, nor shall any waiver of any right, remedy, power or privilege with respect to any occurrence be construed as a waiver of such right, remedy, power or privilege with respect to any other occurrence. No waiver shall be effective unless it is in writing and is signed by the party asserted to have granted such waiver.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **<u>Gender; Number; Construction</u>.** Words used herein regardless of the number and gender specifically used, shall be deemed and construed to include any other number, singular or plural, and any other gender, masculine, feminine or neuter, as the context requires. The word "including" when used herein shall be deemed and construed to be immediately followed by the words "without limitation."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) **<u>Headings</u>.** The titles and headings of Sections and Subsections contained in this Agreement are for convenience only, and they neither form a part of this Agreement nor are they to be used in the construction or interpretation hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **<u>Execution in Counterparts</u>.** This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature appears thereon, and all of which shall together constitute one and the same instrument.

------

Counterparts may be delivered via facsimile, electronic mail (including any electronic signature covered by the U.S. federal ESIGN Act of 2000, Uniform Electronic Transactions Act, the Electronic Signatures and Records Act or other applicable law (e.g., www.docusign.com)), or other transmission method. This Agreement shall become binding when one or more counterparts hereof, individually or taken together, shall bear the signatures of all of the parties reflected hereon as the signatories.

[*Signature Page Follows*]

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**IN WITNESS WHEREOF**, the parties hereto have executed this Second Amended and Restated Advisory Agreement as of the date and year first above written.

**BlackRock Monticello Debt Real Estate Investment Trust**

By: <u>/s/ Robert P. Karnes</u> 

Name: Robert P. Karnes

Title: President

**MONTICELLOAM, LLC** 

By: <u>/s/ Jonathan Litt</u> 

Name: Jonathan Litt

Title: Treasurer

[*Signature page to the Second Amended and Restated Monticello Advisory Agreement*]

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## Exhibit 31.1

**Exhibit 31.1**

**CERTIFICATION**

**PURSUANT TO 17 CFR 240.13A-14**

**PROMULGATED UNDER**

**SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Robert P. Karnes, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of BlackRock Monticello Debt Real Estate Investment Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 12, 2025 | /s/ Robert P. Karnes |
|  | Robert P. Karnes |
|  | President<br>(Principal Executive Officer) |

---

------

## Exhibit 31.2

**Exhibit 31.2**

**CERTIFICATION**

**PURSUANT TO 17 CFR 240.13A-14**

**PROMULGATED UNDER**

**SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Barry W. Szarvas Jr., certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of BlackRock Monticello Debt Real Estate Investment Trust;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 12, 2025 | /s/ Barry W. Szarvas Jr. |
|  | Barry W. Szarvas Jr. |
|  | Chief Financial Officer<br>(Principal Financial Officer and Principal Accounting Officer) |

---

------

## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO**

**18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report of BlackRock Monticello Debt Real Estate Investment Trust (the "Company") on Form 10-Q for the period ended June 30, 2025 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Robert P. Karnes President of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| |
|:---|
| /s/ Robert P. Karnes |
| Robert P. Karnes |
| President<br>(Principal Executive Officer) |
| August 12, 2025 |

---

This certification accompanies each Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.

A signed original of this written statement required by Section 906 has been provided by the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

------

## Exhibit 32.2

**Exhibit 32.2**

**CERTIFICATION PURSUANT TO**

**18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report of BlackRock Monticello Debt Real Estate Investment Trust (the "Company") on Form 10-Q for the period ended June 30, 2025 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Barry W. Szarvas Jr., Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| |
|:---|
| /s/ Barry W. Szarvas Jr. |
| Barry W. Szarvas Jr. |
| Chief Financial Officer |
| (Principal Financial Officer and Principal Accounting Officer) |
| August 12, 2025 |

---

This certification accompanies each Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.

A signed original of this written statement required by Section 906 has been provided by the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

------