Other Expenses

6 Months Ended

Jun. 30, 2025

OTHER EXPENSES

Our other expenses consist of the management and incentive fees we pay to our Manager and our general and

administrative expenses.

Management and Incentive Fees

Pursuant to a management agreement between our Manager and us, or our Management Agreement, our Manager earns a

base management fee in an amount equal to 1.50% per annum multiplied by our Equity, as defined in the Management

Agreement. In addition, our Manager is entitled to an incentive fee in an amount equal to the product of (i) 20% and (ii) the

excess of (a) our Core Earnings (as defined in our Management Agreement) for the previous 12-month period over (b) an

amount equal to 7.00% per annum multiplied by our Equity, provided that our Core Earnings over the prior three-year

period is greater than zero. Core Earnings, as defined in our Management Agreement, is generally equal to our GAAP net

income (loss), including realized gains and losses not otherwise recognized in current period GAAP net income (loss), and

excluding (i) non-cash equity compensation expense, (ii) depreciation and amortization, (iii) unrealized gains (losses), (iv)

net income (loss) attributable to our legacy portfolio, (v) certain non-cash items, and (vi) incentive management fees.

During the three and six months ended June 30, 2025, we incurred $17.0 million and $34.3 million, respectively, of

management fees payable to our Manager compared with $18.7 million and $37.7 million, respectively, during the same

periods in 2024. During the three and six months ended June 30, 2025 and 2024, we did not incur any incentive fees

payable to our Manager.

As of June 30, 2025 and December 31, 2024, we had accrued management fees payable to our Manager of $17.0 million

and $18.5 million, respectively.

General and Administrative Expenses

General and administrative expenses consisted of the following ($ in thousands):


	Three Months Ended June 30,		Six Months Ended June 30,
	2025	2024	2025	2024
Professional services	$4,281	$3,817	$8,192	$7,957
Operating and other costs	1,942	1,881	3,730	3,357
Subtotal(1)	6,223	5,698	11,922	11,314
Non-cash compensation expenses
Restricted class A common stock earned	7,131	7,761	13,923	15,672
Director stock-based compensation	172	201	345	402
Subtotal	7,303	7,962	14,268	16,074
Total general and administrative expenses	$13,526	$13,660	$26,190	$27,388

(1)During the three and six months ended June 30, 2025, we recognized an aggregate $106,000 and $192,000,

respectively, of expense related to our Multifamily Joint Venture, compared to $320,000 and $543,000, respectively,

during the same periods in 2024.