0001644378falseSeptember 302023Q300016443782022-10-012023-06-300001644378us-gaap:CommonClassAMember2023-08-08xbrli:shares0001644378us-gaap:CommonClassBMember2023-08-080001644378rmr:CommonClassB2Member2023-08-0800016443782023-06-30iso4217:USD00016443782022-09-300001644378us-gaap:RelatedPartyMember2023-06-300001644378us-gaap:RelatedPartyMember2022-09-300001644378us-gaap:CommonClassAMember2022-09-30iso4217:USDxbrli:shares0001644378us-gaap:CommonClassAMember2023-06-300001644378us-gaap:CommonClassBMember2023-06-300001644378us-gaap:CommonClassBMember2022-09-300001644378rmr:CommonClassB2Member2022-09-300001644378rmr:CommonClassB2Member2023-06-300001644378us-gaap:ManagementServiceMember2023-04-012023-06-300001644378us-gaap:ManagementServiceMember2022-04-012022-06-300001644378us-gaap:ManagementServiceMember2022-10-012023-06-300001644378us-gaap:ManagementServiceMember2021-10-012022-06-300001644378rmr:ManagementServicesIncentiveAndTerminationMember2023-04-012023-06-300001644378rmr:ManagementServicesIncentiveAndTerminationMember2022-04-012022-06-300001644378rmr:ManagementServicesIncentiveAndTerminationMember2022-10-012023-06-300001644378rmr:ManagementServicesIncentiveAndTerminationMember2021-10-012022-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember2023-04-012023-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember2022-04-012022-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember2022-10-012023-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember2021-10-012022-06-300001644378rmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:ReimbursementPayrollRelatedAndOtherCostsMember2023-04-012023-06-300001644378rmr:ReimbursementPayrollRelatedAndOtherCostsMember2022-04-012022-06-300001644378rmr:ReimbursementPayrollRelatedAndOtherCostsMember2022-10-012023-06-300001644378rmr:ReimbursementPayrollRelatedAndOtherCostsMember2021-10-012022-06-300001644378rmr:ReimbursementClientCompanyEquityBasedConpensationMember2023-04-012023-06-300001644378rmr:ReimbursementClientCompanyEquityBasedConpensationMember2022-04-012022-06-300001644378rmr:ReimbursementClientCompanyEquityBasedConpensationMember2022-10-012023-06-300001644378rmr:ReimbursementClientCompanyEquityBasedConpensationMember2021-10-012022-06-300001644378rmr:ReimbursementsOtherMember2023-04-012023-06-300001644378rmr:ReimbursementsOtherMember2022-04-012022-06-300001644378rmr:ReimbursementsOtherMember2022-10-012023-06-300001644378rmr:ReimbursementsOtherMember2021-10-012022-06-300001644378rmr:ReimbursementMember2023-04-012023-06-300001644378rmr:ReimbursementMember2022-04-012022-06-300001644378rmr:ReimbursementMember2022-10-012023-06-300001644378rmr:ReimbursementMember2021-10-012022-06-3000016443782023-04-012023-06-3000016443782022-04-012022-06-3000016443782021-10-012022-06-300001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-09-300001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2022-09-300001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2022-09-300001644378us-gaap:AdditionalPaidInCapitalMember2022-09-300001644378us-gaap:RetainedEarningsMember2022-09-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-09-300001644378us-gaap:ParentMember2022-09-300001644378us-gaap:NoncontrollingInterestMember2022-09-300001644378us-gaap:AdditionalPaidInCapitalMember2022-10-012022-12-310001644378us-gaap:ParentMember2022-10-012022-12-3100016443782022-10-012022-12-310001644378us-gaap:RetainedEarningsMember2022-10-012022-12-310001644378us-gaap:NoncontrollingInterestMember2022-10-012022-12-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-10-012022-12-310001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-12-310001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2022-12-310001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2022-12-310001644378us-gaap:AdditionalPaidInCapitalMember2022-12-310001644378us-gaap:RetainedEarningsMember2022-12-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-12-310001644378us-gaap:ParentMember2022-12-310001644378us-gaap:NoncontrollingInterestMember2022-12-3100016443782022-12-310001644378us-gaap:AdditionalPaidInCapitalMember2023-01-012023-03-310001644378us-gaap:ParentMember2023-01-012023-03-3100016443782023-01-012023-03-310001644378us-gaap:RetainedEarningsMember2023-01-012023-03-310001644378us-gaap:NoncontrollingInterestMember2023-01-012023-03-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2023-01-012023-03-310001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2023-03-310001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2023-03-310001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2023-03-310001644378us-gaap:AdditionalPaidInCapitalMember2023-03-310001644378us-gaap:RetainedEarningsMember2023-03-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2023-03-310001644378us-gaap:ParentMember2023-03-310001644378us-gaap:NoncontrollingInterestMember2023-03-3100016443782023-03-310001644378us-gaap:AdditionalPaidInCapitalMember2023-04-012023-06-300001644378us-gaap:ParentMember2023-04-012023-06-300001644378us-gaap:RetainedEarningsMember2023-04-012023-06-300001644378us-gaap:NoncontrollingInterestMember2023-04-012023-06-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2023-04-012023-06-300001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2023-06-300001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2023-06-300001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2023-06-300001644378us-gaap:AdditionalPaidInCapitalMember2023-06-300001644378us-gaap:RetainedEarningsMember2023-06-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2023-06-300001644378us-gaap:ParentMember2023-06-300001644378us-gaap:NoncontrollingInterestMember2023-06-300001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2021-09-300001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2021-09-300001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2021-09-300001644378us-gaap:AdditionalPaidInCapitalMember2021-09-300001644378us-gaap:RetainedEarningsMember2021-09-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2021-09-300001644378us-gaap:ParentMember2021-09-300001644378us-gaap:NoncontrollingInterestMember2021-09-3000016443782021-09-300001644378us-gaap:AdditionalPaidInCapitalMember2021-10-012021-12-310001644378us-gaap:ParentMember2021-10-012021-12-3100016443782021-10-012021-12-310001644378us-gaap:RetainedEarningsMember2021-10-012021-12-310001644378us-gaap:NoncontrollingInterestMember2021-10-012021-12-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2021-10-012021-12-310001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2021-12-310001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2021-12-310001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2021-12-310001644378us-gaap:AdditionalPaidInCapitalMember2021-12-310001644378us-gaap:RetainedEarningsMember2021-12-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2021-12-310001644378us-gaap:ParentMember2021-12-310001644378us-gaap:NoncontrollingInterestMember2021-12-3100016443782021-12-310001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-01-012022-03-310001644378us-gaap:AdditionalPaidInCapitalMember2022-01-012022-03-310001644378us-gaap:ParentMember2022-01-012022-03-3100016443782022-01-012022-03-310001644378us-gaap:RetainedEarningsMember2022-01-012022-03-310001644378us-gaap:NoncontrollingInterestMember2022-01-012022-03-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-01-012022-03-310001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-03-310001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2022-03-310001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2022-03-310001644378us-gaap:AdditionalPaidInCapitalMember2022-03-310001644378us-gaap:RetainedEarningsMember2022-03-310001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-03-310001644378us-gaap:ParentMember2022-03-310001644378us-gaap:NoncontrollingInterestMember2022-03-3100016443782022-03-310001644378us-gaap:AdditionalPaidInCapitalMember2022-04-012022-06-300001644378us-gaap:ParentMember2022-04-012022-06-300001644378us-gaap:RetainedEarningsMember2022-04-012022-06-300001644378us-gaap:NoncontrollingInterestMember2022-04-012022-06-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-04-012022-06-300001644378us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-06-300001644378us-gaap:CommonStockMemberus-gaap:CommonClassBMember2022-06-300001644378rmr:CommonClassB2Memberus-gaap:CommonStockMember2022-06-300001644378us-gaap:AdditionalPaidInCapitalMember2022-06-300001644378us-gaap:RetainedEarningsMember2022-06-300001644378us-gaap:AccumulatedDistributionsInExcessOfNetIncomeMember2022-06-300001644378us-gaap:ParentMember2022-06-300001644378us-gaap:NoncontrollingInterestMember2022-06-3000016443782022-06-300001644378us-gaap:CapitalUnitClassAMemberus-gaap:CommonClassAMember2023-06-300001644378us-gaap:CapitalUnitClassBMember2023-06-300001644378rmr:RMRLLCMember2022-10-012023-06-30xbrli:pure0001644378rmr:CapitalUnitRedeemableClassMemberrmr:AbpTrustMember2023-06-300001644378rmr:RMRLLCMemberrmr:CapitalUnitRedeemableClassMemberrmr:AbpTrustMember2022-10-012023-06-30rmr:real_estate_investment_trust0001644378rmr:ManagedEquityREITMember2022-10-012023-06-300001644378rmr:ManagedEquityREITMember2023-06-300001644378rmr:ManagedEquityREITMember2023-04-012023-06-300001644378rmr:ManagedEquityREITMember2022-04-012022-06-300001644378rmr:ManagedEquityREITMember2021-10-012022-06-300001644378rmr:ManagedEquityREITMember2021-10-012022-09-300001644378rmr:ManagedEquityREITMember2020-10-012021-09-300001644378rmr:ManagedOperatingCompaniesMember2022-10-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2023-04-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2022-04-012022-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2022-10-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2021-10-012022-06-300001644378rmr:TerminationFeeMember2023-05-152023-05-150001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMemberrmr:TremontAdvisorsMember2022-10-012023-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMemberrmr:TremontAdvisorsMember2023-04-012023-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMemberrmr:TremontAdvisorsMember2022-04-012022-06-300001644378us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMemberrmr:TremontAdvisorsMember2021-10-012022-06-300001644378rmr:TremontAdvisorsMember2022-10-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceIncentiveMember2022-10-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceIncentiveMember2023-04-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceIncentiveMember2022-04-012022-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceIncentiveMember2021-10-012022-06-300001644378rmr:TremontAdvisorsMembersrt:MinimumMember2022-10-012023-06-300001644378srt:MaximumMemberrmr:TremontAdvisorsMember2022-10-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceMember2023-04-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceMember2022-04-012022-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceMember2022-10-012023-06-300001644378rmr:TremontAdvisorsMemberus-gaap:ManagementServiceMember2021-10-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:SevenHillsRealtyTrustMemberrmr:TremontRealityCapitalMember2023-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:TremontRealityCapitalMember2023-06-300001644378us-gaap:FairValueInputsLevel1Memberrmr:SevenHillsRealtyTrustMemberus-gaap:FairValueMeasurementsRecurringMember2023-06-300001644378us-gaap:FairValueInputsLevel1Memberrmr:SevenHillsRealtyTrustMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001644378rmr:SevenHillsRealtyTrustMember2023-04-012023-06-300001644378rmr:SevenHillsRealtyTrustMember2022-04-012022-06-300001644378rmr:SevenHillsRealtyTrustMember2022-10-012023-06-300001644378rmr:SevenHillsRealtyTrustMember2021-10-012022-06-300001644378rmr:RMRLLCMemberrmr:TravelCentersOfAmericaLLCMember2023-03-310001644378rmr:BPProductsNorthAmericaIncMemberrmr:TravelCentersOfAmericaLLCMember2023-05-150001644378rmr:TravelCentersOfAmericaLLCMember2023-05-152023-05-150001644378rmr:TravelCentersOfAmericaLLCMember2023-04-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMember2022-04-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMember2022-10-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMember2021-10-012022-06-300001644378us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2023-06-300001644378us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001644378us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberrmr:TravelCentersOfAmericaLLCMember2023-06-300001644378us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberrmr:TravelCentersOfAmericaLLCMember2022-09-300001644378rmr:SevenHillsRealtyTrustMemberus-gaap:RelatedPartyMemberrmr:AdamDPortnoyMember2023-06-300001644378us-gaap:RelatedPartyMemberrmr:DiversifiedHealthcareTrustMemberrmr:AdamDPortnoyMember2023-06-300001644378us-gaap:RelatedPartyMemberrmr:OfficePropertiesIncomeTrustMemberrmr:AdamDPortnoyMember2023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMemberus-gaap:RelatedPartyMemberrmr:AdamDPortnoyMember2023-06-300001644378us-gaap:RelatedPartyMemberrmr:TravelCentersOfAmericaLLCMemberrmr:AdamDPortnoyMember2023-06-300001644378rmr:ServicePropertiesTrustMemberus-gaap:RelatedPartyMemberrmr:AdamDPortnoyMember2023-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:DiversifiedHealthcareTrustMember2023-04-012023-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:DiversifiedHealthcareTrustMember2022-04-012022-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:ReimbursementMemberrmr:IndustrialLogisticsPropertiesTrustMember2023-04-012023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2023-04-012023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:ReimbursementMemberrmr:IndustrialLogisticsPropertiesTrustMember2022-04-012022-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2022-04-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMember2023-04-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMember2022-04-012022-06-300001644378rmr:ManagementAndAdvisoryServicesMemberrmr:ServicePropertiesTrustMember2023-04-012023-06-300001644378rmr:ReimbursementMemberrmr:ServicePropertiesTrustMember2023-04-012023-06-300001644378rmr:ServicePropertiesTrustMember2023-04-012023-06-300001644378rmr:ManagementAndAdvisoryServicesMemberrmr:ServicePropertiesTrustMember2022-04-012022-06-300001644378rmr:ReimbursementMemberrmr:ServicePropertiesTrustMember2022-04-012022-06-300001644378rmr:ServicePropertiesTrustMember2022-04-012022-06-300001644378rmr:ManagedEquityREITMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:ManagedEquityREITMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:ManagedEquityREITMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:ManagedEquityREITMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:SevenHillsRealtyTrustMember2023-04-012023-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:SevenHillsRealtyTrustMember2022-04-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMember2023-04-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMember2022-04-012022-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:AlerisLifeIncMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:AlerisLifeIncMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:AlerisLifeIncMember2023-04-012023-06-300001644378rmr:AlerisLifeIncMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:AlerisLifeIncMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:AlerisLifeIncMember2022-04-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMember2023-04-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMember2022-04-012022-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:OtherPrivateEntitiesMember2023-04-012023-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:OtherPrivateEntitiesMember2022-04-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ReimbursementMember2023-04-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMember2023-04-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ReimbursementMember2022-04-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMember2022-04-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378us-gaap:RelatedPartyMemberrmr:ReimbursementMember2023-04-012023-06-300001644378us-gaap:RelatedPartyMember2023-04-012023-06-300001644378us-gaap:RelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:ReimbursementMember2022-04-012022-06-300001644378us-gaap:RelatedPartyMember2022-04-012022-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2023-04-012023-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ReimbursementMember2023-04-012023-06-300001644378us-gaap:NonrelatedPartyMember2023-04-012023-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2022-04-012022-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ReimbursementMember2022-04-012022-06-300001644378us-gaap:NonrelatedPartyMember2022-04-012022-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:DiversifiedHealthcareTrustMember2022-10-012023-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:DiversifiedHealthcareTrustMember2021-10-012022-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:ReimbursementMemberrmr:IndustrialLogisticsPropertiesTrustMember2022-10-012023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2022-10-012023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:ReimbursementMemberrmr:IndustrialLogisticsPropertiesTrustMember2021-10-012022-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2021-10-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMember2022-10-012023-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:OfficePropertiesIncomeTrustMember2021-10-012022-06-300001644378rmr:ManagementAndAdvisoryServicesMemberrmr:ServicePropertiesTrustMember2022-10-012023-06-300001644378rmr:ReimbursementMemberrmr:ServicePropertiesTrustMember2022-10-012023-06-300001644378rmr:ServicePropertiesTrustMember2022-10-012023-06-300001644378rmr:ManagementAndAdvisoryServicesMemberrmr:ServicePropertiesTrustMember2021-10-012022-06-300001644378rmr:ReimbursementMemberrmr:ServicePropertiesTrustMember2021-10-012022-06-300001644378rmr:ServicePropertiesTrustMember2021-10-012022-06-300001644378rmr:ManagedEquityREITMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:ManagedEquityREITMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:ManagedEquityREITMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:ManagedEquityREITMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:SevenHillsRealtyTrustMember2022-10-012023-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:SevenHillsRealtyTrustMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:SevenHillsRealtyTrustMember2021-10-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMember2022-10-012023-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:TravelCentersOfAmericaLLCMember2021-10-012022-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:AlerisLifeIncMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:AlerisLifeIncMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:AlerisLifeIncMember2022-10-012023-06-300001644378rmr:AlerisLifeIncMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:AlerisLifeIncMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:AlerisLifeIncMember2021-10-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMember2022-10-012023-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:SonestaInternationalHotelsCorporationMember2021-10-012022-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:OtherPrivateEntitiesMember2022-10-012023-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:OtherPrivateEntitiesMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:OtherPrivateEntitiesMember2021-10-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ReimbursementMember2022-10-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMember2022-10-012023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMemberrmr:ReimbursementMember2021-10-012022-06-300001644378rmr:ManagedPrivateRealEstateCapitalMember2021-10-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378us-gaap:RelatedPartyMemberrmr:ReimbursementMember2022-10-012023-06-300001644378us-gaap:RelatedPartyMember2022-10-012023-06-300001644378us-gaap:RelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:ReimbursementMember2021-10-012022-06-300001644378us-gaap:RelatedPartyMember2021-10-012022-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2022-10-012023-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ReimbursementMember2022-10-012023-06-300001644378us-gaap:NonrelatedPartyMember2022-10-012023-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ManagementAndAdvisoryServicesMember2021-10-012022-06-300001644378us-gaap:NonrelatedPartyMemberrmr:ReimbursementMember2021-10-012022-06-300001644378us-gaap:NonrelatedPartyMember2021-10-012022-06-300001644378rmr:DiversifiedHealthcareTrustMemberrmr:JointVentureWithInstitutionalInvestorMember2021-12-232021-12-230001644378rmr:DiversifiedHealthcareTrustMemberrmr:JointVentureWithInstitutionalInvestorMember2021-12-230001644378rmr:DiversifiedHealthcareTrustMemberrmr:JointVentureWithInstitutionalInvestorMember2022-06-292022-06-290001644378rmr:DiversifiedHealthcareTrustMemberrmr:JointVentureWithInstitutionalInvestorMember2022-06-290001644378rmr:DiversifiedHealthcareTrustMember2023-06-300001644378rmr:DiversifiedHealthcareTrustMember2022-09-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2023-06-300001644378rmr:IndustrialLogisticsPropertiesTrustMember2022-09-300001644378rmr:OfficePropertiesIncomeTrustMember2023-06-300001644378rmr:OfficePropertiesIncomeTrustMember2022-09-300001644378rmr:ServicePropertiesTrustMember2023-06-300001644378rmr:ServicePropertiesTrustMember2022-09-300001644378rmr:ManagedEquityREITMember2022-09-300001644378rmr:SevenHillsRealtyTrustMember2023-06-300001644378rmr:SevenHillsRealtyTrustMember2022-09-300001644378rmr:TravelCentersOfAmericaLLCMember2023-06-300001644378rmr:TravelCentersOfAmericaLLCMember2022-09-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2023-06-300001644378rmr:ManagedManagedPublicRealEstateCapitalMember2022-09-300001644378rmr:AlerisLifeIncMember2023-06-300001644378rmr:AlerisLifeIncMember2022-09-300001644378rmr:SonestaInternationalHotelsCorporationMember2023-06-300001644378rmr:SonestaInternationalHotelsCorporationMember2022-09-300001644378rmr:OtherPrivateEntitiesMember2023-06-300001644378rmr:OtherPrivateEntitiesMember2022-09-300001644378rmr:ManagedPrivateRealEstateCapitalMember2023-06-300001644378rmr:ManagedPrivateRealEstateCapitalMember2022-09-300001644378rmr:AbpTrustAndManagedReitMember2023-04-012023-06-300001644378rmr:AbpTrustAndManagedReitMember2022-04-012022-06-300001644378rmr:AbpTrustAndManagedReitMember2022-10-012023-06-300001644378rmr:AbpTrustAndManagedReitMember2021-10-012022-06-300001644378rmr:AbpTrustMemberrmr:UpCTransactionMember2022-10-012023-06-300001644378rmr:AbpTrustMemberrmr:UpCTransactionMember2023-06-300001644378rmr:RMRLLCMemberrmr:AbpTrustAndManagedReitMember2022-10-012023-06-300001644378rmr:RMRLLCMemberrmr:AbpTrustAndManagedReitMember2021-10-012022-06-300001644378rmr:RMRLLCMember2022-10-012023-06-300001644378rmr:RMRLLCMember2021-10-012022-06-300001644378rmr:AbpTrustMemberrmr:RMRLLCMember2022-10-012023-06-300001644378rmr:AbpTrustMemberrmr:RMRLLCMember2021-10-012022-06-300001644378us-gaap:RelatedPartyMemberrmr:SevenHillsRealtyTrustMemberrmr:TremontRealityCapitalMember2022-05-112022-05-110001644378us-gaap:RelatedPartyMemberrmr:SevenHillsRealtyTrustMemberrmr:AdamDPortnoyMember2023-06-300001644378rmr:BPProductsNorthAmericaIncMemberrmr:TravelCentersOfAmericaLLCMemberus-gaap:RelatedPartyMember2023-05-150001644378us-gaap:RelatedPartyMemberrmr:TravelCentersOfAmericaLLCMember2023-05-152023-05-150001644378us-gaap:RelatedPartyMemberrmr:RMRLLCMemberrmr:TravelCentersOfAmericaLLCMember2023-06-300001644378us-gaap:RelatedPartyMemberrmr:TerminationFeeMember2023-05-152023-05-150001644378rmr:DiversifiedHealthcareTrustMember2022-10-012023-06-300001644378rmr:RetirementAgreementMemberrmr:JonathanMPertchikMember2023-03-272023-03-270001644378rmr:FormerNonexecutiveOfficerMemberus-gaap:RelatedPartyMember2023-04-012023-06-300001644378rmr:FormerNonexecutiveOfficerMemberus-gaap:RelatedPartyMember2022-04-012022-06-300001644378rmr:FormerNonexecutiveOfficerMemberus-gaap:RelatedPartyMember2022-10-012023-06-300001644378rmr:FormerNonexecutiveOfficerMemberus-gaap:RelatedPartyMember2021-10-012022-06-300001644378rmr:SevenHillsRealtyTrustMemberus-gaap:SubsequentEventMember2023-07-012023-07-310001644378rmr:ConstructionSupervisionFeesMemberrmr:SevenHillsRealtyTrustMemberus-gaap:SubsequentEventMember2023-07-012023-07-310001644378us-gaap:CommonClassAMemberrmr:A2016OmnibusEquityPlanMember2023-06-30rmr:vesting_installment0001644378us-gaap:CommonClassAMemberrmr:A2016OmnibusEquityPlanMember2023-03-292023-03-290001644378us-gaap:CommonClassAMemberrmr:A2016OmnibusEquityPlanMember2023-03-290001644378us-gaap:CommonClassAMemberrmr:A2016OmnibusEquityPlanMember2022-10-012023-06-300001644378us-gaap:ShareBasedCompensationAwardTrancheOneMember2022-10-012023-06-300001644378us-gaap:ShareBasedCompensationAwardTrancheTwoMember2022-10-012023-06-300001644378us-gaap:ShareBasedCompensationAwardTrancheThreeMember2022-10-012023-06-300001644378rmr:SharebasedCompensationAwardTrancheFourMember2022-10-012023-06-300001644378rmr:CommonClassAndB1Member2022-11-172022-11-170001644378rmr:CommonClassAndB1Member2023-02-162023-02-160001644378rmr:CommonClassAndB1Member2023-05-182023-05-180001644378rmr:CommonClassAndB1Member2022-10-012023-06-300001644378rmr:CommonClassAndB1Member2021-11-182021-11-180001644378rmr:CommonClassAndB1Member2022-02-172022-02-170001644378rmr:CommonClassAndB1Member2022-05-192022-05-190001644378rmr:CommonClassAndB1Member2021-10-012022-06-300001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2022-11-172022-11-170001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2022-11-172022-11-170001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2022-11-172022-11-170001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2023-02-162023-02-160001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2023-02-162023-02-160001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2023-02-162023-02-160001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2022-05-182022-05-180001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2022-05-182022-05-180001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2022-05-182022-05-180001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2022-10-012023-06-300001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2022-10-012023-06-300001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2022-10-012023-06-300001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2021-11-182021-11-180001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2021-11-182021-11-180001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2021-11-182021-11-180001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2022-02-172022-02-170001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2022-02-172022-02-170001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2022-02-172022-02-170001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2022-05-192022-05-190001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2022-05-192022-05-190001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2022-05-192022-05-190001644378rmr:MembershipUnitsMemberrmr:RMRLLCMember2021-10-012022-06-300001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:RMRIncMember2021-10-012022-06-300001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMember2021-10-012022-06-300001644378rmr:CommonClassAndB1Memberus-gaap:SubsequentEventMember2023-07-132023-07-130001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberus-gaap:SubsequentEventMember2023-07-132023-07-130001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberus-gaap:SubsequentEventMemberrmr:RMRIncMember2023-07-132023-07-130001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberus-gaap:SubsequentEventMember2023-07-130001644378rmr:MembershipUnitsMemberrmr:AbpTrustMemberrmr:RMRLLCMemberus-gaap:SubsequentEventMember2023-07-132023-07-130001644378rmr:MembershipUnitsMemberrmr:RMRLLCMemberrmr:AbpTrustMemberus-gaap:SubsequentEventMember2023-07-130001644378us-gaap:CapitalUnitClassAMember2022-10-012023-06-300001644378rmr:MPCPartnershipHoldingsLLCMemberus-gaap:SubsequentEventMember2023-07-292023-07-290001644378rmr:MPCPartnershipHoldingsLLCMemberus-gaap:SubsequentEventMember2023-07-29

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
 
FORM 10-Q
 
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2023
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Commission file number 001-37616
 
THE RMR GROUP INC.
(Exact Name of Registrant as Specified in Its Charter)
 
Maryland47-4122583
(State of Organization)(IRS Employer Identification No.)
 
Two Newton Place, 255 Washington Street, Suite 300, Newton, MA 02458-1634
(Address of Principal Executive Offices)                            (Zip Code)
Registrant’s Telephone Number, Including Area Code 617-796-8230
Securities registered pursuant to Section 12(b) of the Act:
Title Of Each ClassTrading SymbolName Of Each Exchange On Which Registered
Class A common stock, $0.001 par value per shareRMRThe Nasdaq Stock Market LLC
 (Nasdaq Capital Market)
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 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, a 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.
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 in 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 Exchange Act). Yes   No
As of August 8, 2023, there were 15,612,179 shares of Class A common stock, par value $0.001 per share, 1,000,000 shares of Class B-1 common stock, par value $0.001 per share, and 15,000,000 shares of Class B-2 common stock, par value $0.001 per share outstanding.


Table of Contents
THE RMR GROUP INC.

FORM 10-Q

June 30, 2023
 
Table of Contents

Page
 
 

2

Table of Contents
PART I. Financial Information
Item 1. Financial Statements
The RMR Group Inc.
Condensed Consolidated Balance Sheets
(dollars in thousands, except per share amounts)
(unaudited)
June 30,September 30,
20232022
Assets
Current assets:
Cash and cash equivalents$295,423 $189,088 
Due from related parties102,101 108,821 
Prepaid and other current assets6,486 5,372 
Total current assets404,010 303,281 
Property and equipment, net5,501 2,495 
Due from related parties, net of current portion6,632 14,557 
Equity method investments accounted for under the fair value option17,525 49,114 
Goodwill and intangible assets, net of amortization2,034 2,057 
Operating lease right of use assets29,272 28,894 
Deferred tax asset18,578 17,112 
Other assets, net of amortization117,833 124,895 
Total assets$601,385 $542,405 
Liabilities and Equity
Current liabilities:
Reimbursable accounts payable and accrued expenses$74,263 $80,221 
Accounts payable and accrued expenses40,316 16,745 
Operating lease liabilities5,056 4,693 
Employer compensation liability1,039 7,516 
Total current liabilities120,674 109,175 
Operating lease liabilities, net of current portion25,406 25,626 
Amounts due pursuant to tax receivable agreement, net of current portion23,308 23,308 
Employer compensation liability, net of current portion6,632 14,557 
Total liabilities176,020 172,666 
Commitments and contingencies
Equity:
Class A common stock, $0.001 par value; 31,950,000 and 31,600,000 shares authorized, respectively; 15,614,152 and 15,606,115 shares issued and outstanding, respectively
16 16 
Class B-1 common stock, $0.001 par value; 1,000,000 shares authorized, issued and outstanding
1 1 
Class B-2 common stock, $0.001 par value; 15,000,000 shares authorized, issued and outstanding
15 15 
Additional paid in capital115,479 113,136 
Retained earnings405,400 355,949 
Cumulative common distributions(282,427)(262,496)
Total shareholders’ equity238,484 206,621 
Noncontrolling interest186,881 163,118 
Total equity425,365 369,739 
Total liabilities and equity$601,385 $542,405 
See accompanying notes.
3

Table of Contents
The RMR Group Inc.
Condensed Consolidated Statements of Income
(amounts in thousands, except per share amounts)
(unaudited)
Three Months EndedNine Months Ended
June 30,June 30,
2023202220232022
Revenues:
Management services$45,872 $51,819 $141,490 $144,867 
Termination and incentive business management fees45,474  45,474  
Advisory services1,141 1,137 3,371 3,392 
Total management and advisory services revenues92,487 52,956 190,335 148,259 
Reimbursable compensation and benefits15,235 14,189 44,441 42,092 
Reimbursable equity based compensation1,622 (69)7,143 2,896 
Other reimbursable expenses170,881 144,012 497,465 397,063 
Total reimbursable costs187,738 158,132 549,049 442,051 
Total revenues280,225 211,088 739,384 590,310 
Expenses:
Compensation and benefits34,239 32,170 102,039 95,671 
Equity based compensation2,100 512 8,719 4,719 
Separation costs1,064 400 2,002 617 
Total compensation and benefits expense37,403 33,082 112,760 101,007 
General and administrative9,575 8,323 28,198 24,464 
Other reimbursable expenses170,881 144,012 497,465 397,063 
Transaction and acquisition related costs1,196  1,196  
Depreciation and amortization281 253 821 731 
Total expenses219,336 185,670 640,440 523,265 
Operating income60,889 25,418 98,944 67,045 
Interest income2,833 279 6,837 402 
Gain (loss) on equity method investments accounted for under the fair value option663 (5,489)23,513 (8,853)
Income before income tax expense64,385 20,208 129,294 58,594 
Income tax expense(9,214)(2,943)(18,581)(8,448)
Net income55,171 17,265 110,713 50,146 
Net income attributable to noncontrolling interest(30,530)(9,695)(61,262)(28,142)
Net income attributable to The RMR Group Inc.$24,641 $7,570 $49,451 $22,004 
Weighted average common shares outstanding - basic16,435 16,343 16,416 16,332 
Weighted average common shares outstanding - diluted16,435 31,353 31,431 31,342 
Net income attributable to The RMR Group Inc. per common share - basic
$1.48 $0.46 $2.98 $1.33 
Net income attributable to The RMR Group Inc. per common share - diluted$1.48 $0.46 $2.97 $1.33 
Substantially all revenues are earned from related parties. See accompanying notes.
4

Table of Contents
The RMR Group Inc.
Condensed Consolidated Statements of Shareholders’ Equity
(dollars in thousands)
(unaudited)
Class A Common StockClass B-1 Common StockClass B-2 Common StockAdditional Paid In CapitalRetained EarningsCumulative Common DistributionsTotal Shareholders' EquityNoncontrolling InterestTotal Equity
Balance at September 30, 2022$16 $1 $15 $113,136 $355,949 $(262,496)$206,621 $163,118 $369,739 
Share awards, net— — — 594 — — 594 — 594 
Net income— — — — 6,337 — 6,337 7,903 14,240 
Tax distributions to member— — — — — — — (3,839)(3,839)
Common share distributions— — — — — (6,642)(6,642)(4,800)(11,442)
Balance at December 31, 202216 1 15 113,730 362,286 (269,138)206,910 162,382 369,292 
Share awards, net— — — 1,015 — — 1,015 — 1,015 
Net income— — — — 18,473 — 18,473 22,829 41,302 
Tax distributions to member— — — — — — — (4,545)(4,545)
Common share distributions— — — — — (6,641)(6,641)(4,800)(11,441)
Balance at March 31, 202316 1 15 114,745 380,759 (275,779)219,757 175,866 395,623 
Share awards, net— — — 734 — — 734 — 734 
Net income— — — — 24,641 — 24,641 30,530 55,171 
Tax distributions to member— — — — — — — (14,715)(14,715)
Common share distributions— — — — — (6,648)(6,648)(4,800)(11,448)
Balance at June 30, 2023$16 $1 $15 $115,479 $405,400 $(282,427)$238,484 $186,881 $425,365 
See accompanying notes.
5

Table of Contents
The RMR Group Inc.
Condensed Consolidated Statements of Shareholders’ Equity (Continued)
(dollars in thousands)
(unaudited)
Class A Common StockClass B-1 Common StockClass B-2 Common StockAdditional Paid In CapitalRetained EarningsCumulative Common DistributionsTotal Shareholders' EquityNoncontrolling InterestTotal Equity
Balance at September 30, 2021$15 $1 $15 $109,910 $321,945 $(236,766)$195,120 $152,595 $347,715 
Share awards, net— — — 613 — — 613 — 613 
Net income— — — — 8,042 — 8,042 10,250 18,292 
Tax distributions to member— — — — — — — (1,979)(1,979)
Common share distributions— — — — — (6,264)(6,264)(4,500)(10,764)
Balance at December 31, 202115 1 15 110,523 329,987 (243,030)197,511 156,366 353,877 
Share awards, net1 — — 1,144 — — 1,145 — 1,145 
Net income— — — — 6,392 — 6,392 8,197 14,589 
Tax distributions to member— — — — — — — (4,277)(4,277)
Common share distributions— — — — — (6,265)(6,265)(4,500)(10,765)
Balance at March 31, 202216 1 15 111,667 336,379 (249,295)198,783 155,786 354,569 
Share awards, net— — — 729 — — 729 — 729 
Net income— — — — 7,570 — 7,570 9,695 17,265 
Tax distributions to member— — — — — — — (4,154)(4,154)
Common share distributions— — — — — (6,601)(6,601)(4,800)(11,401)
Balance at June 30, 2022$16 $1 $15 $112,396 $343,949 $(255,896)$200,481 $156,527 $357,008 
See accompanying notes.
6

Table of Contents
The RMR Group Inc.
Condensed Consolidated Statements of Cash Flows
(dollars in thousands)
(unaudited)
Nine Months Ended June 30,
20232022
Cash Flows from Operating Activities:
Net income$110,713 $50,146 
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization821 731 
Straight line office rent(235)(247)
Amortization expense related to other assets7,062 7,062 
Deferred income taxes(1,466)(132)
Operating expenses paid in The RMR Group Inc. common shares2,522 2,518 
Distributions from equity method investments1,623 415 
(Gain) loss on equity method investments accounted for under the fair value option(23,513)8,853 
Changes in assets and liabilities:
Due from related parties243 (8,550)
Prepaid and other current assets(1,114)18 
Reimbursable accounts payable and accrued expenses(5,958)12,205 
Accounts payable and accrued expenses22,994 16,837 
Net cash from operating activities113,692 89,856 
Cash Flows from Investing Activities:
Purchase of property and equipment(3,227)(915)
Equity method investment in Seven Hills Realty Trust (9,469)
Proceeds from sale of TravelCenters of America Inc. common shares53,479  
Net cash provided by (used in) investing activities50,252 (10,384)
Cash Flows from Financing Activities:
Distributions to noncontrolling interest(37,499)(24,210)
Distributions to common shareholders(19,931)(19,130)
Repurchase of common shares(179)(31)
Net cash used in financing activities(57,609)(43,371)
Increase in cash and cash equivalents106,335 36,101 
Cash and cash equivalents at beginning of period189,088 159,835 
Cash and cash equivalents at end of period$295,423 $195,936 
Supplemental Cash Flow Information and Non-Cash Activities:
Income taxes paid$16,978 $7,392 
Recognition of right of use assets and related lease liabilities$4,119 $783 
See accompanying notes.
7


The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements
(dollars in thousands, except per share amounts)


Note 1. Basis of Presentation
The RMR Group Inc., or RMR Inc., is a holding company and substantially all of its business is conducted by its majority owned subsidiary, The RMR Group LLC, or RMR LLC. RMR Inc. is a Maryland corporation and RMR LLC is a Maryland limited liability company. RMR Inc. serves as the sole managing member of RMR LLC and, in that capacity, operates and controls the business and affairs of RMR LLC. In these financial statements, unless otherwise indicated, “we”, “us” and “our” refer to RMR Inc. and its direct and indirect subsidiaries, including RMR LLC.
As of June 30, 2023, RMR Inc. owned 15,614,152 class A membership units of RMR LLC, or Class A Units, and 1,000,000 class B membership units of RMR LLC, or Class B Units. The aggregate RMR LLC membership units RMR Inc. owns represented 52.6% of the economic interest of RMR LLC as of June 30, 2023. We refer to economic interest as the right of a holder of a Class A Unit or Class B Unit to share in distributions made by RMR LLC and, upon liquidation, dissolution or winding up of RMR LLC, to share in the assets of RMR LLC after payments to creditors. A wholly owned subsidiary of ABP Trust, a Maryland statutory trust, owns 15,000,000 redeemable Class A Units, representing 47.4% of the economic interest of RMR LLC as of June 30, 2023, which is presented as a noncontrolling interest within the condensed consolidated financial statements. Adam D. Portnoy, the Chair of our Board, one of our Managing Directors and our President and Chief Executive Officer, is the sole trustee of ABP Trust, and owns all of ABP Trust’s voting securities.
RMR LLC was founded in 1986 to manage public investments in real estate and, as of June 30, 2023, managed a diverse portfolio of real estate and real estate related businesses. RMR LLC provides management services to four publicly traded equity real estate investment trusts, or REITs: Diversified Healthcare Trust, or DHC, which owns medical office and life science properties, senior living communities and wellness centers; Industrial Logistics Properties Trust, or ILPT, which owns and leases industrial and logistics properties; Office Properties Income Trust, or OPI, which owns office properties primarily leased to single tenants and those with high quality credit characteristics, including the government; and Service Properties Trust, or SVC, which owns a diverse portfolio of hotels and net lease service and necessity-based retail properties. DHC, ILPT, OPI and SVC are collectively referred to as the Managed Equity REITs. On April 11, 2023, OPI and DHC entered into an agreement to merge, pursuant to which DHC will be merged with and into OPI, with OPI continuing as the surviving entity in the merger. RMR LLC will continue to manage the surviving entity following the merger. For additional information, see Note 6, Related Person Transactions.
RMR LLC’s wholly owned subsidiary, Tremont Realty Capital LLC, or Tremont, an investment adviser registered with the Securities and Exchange Commission, or SEC, provides advisory services for Seven Hills Realty Trust, or SEVN. SEVN is a publicly traded mortgage REIT that focuses on originating and investing in first mortgage loans secured by middle market and transitional commercial real estate. Tremont has in the past and may in the future manage additional accounts that invest in commercial real estate debt. Tremont may also act as a transaction broker for non-investment advisory clients for negotiated fees, which we refer to as the Tremont business.
RMR LLC also provided management services to TravelCenters of America Inc., or TA, until it was acquired by BP Products North America Inc., or BP, on May 15, 2023. TA is a real estate operating company that operates and franchises travel centers primarily along the U.S. interstate highway system, many of which are owned by SVC, and standalone truck service facilities. The Managed Equity REITs, SEVN, and until May 15, 2023, TA, are collectively referred to as the Perpetual Capital clients.
In addition, RMR LLC provides management services to private capital vehicles, including ABP Trust, AlerisLife Inc., or AlerisLife, Sonesta International Hotels Corporation, or Sonesta, and other private entities that own commercial real estate, of which certain of our Managed Equity REITs own minority equity interests. These clients are collectively referred to as the Private Capital clients. AlerisLife is an operator of senior living communities, many of which are owned by DHC, and as discussed in Note 6, Related Person Transactions, was a publicly traded company until March 20, 2023 when it was acquired by a subsidiary of ABP Trust. As a result of this transaction, amounts relating to AlerisLife are characterized as Private Capital for all periods presented. Sonesta is a privately owned franchisor and operator of hotels, resorts and cruise ships in the United States, Latin America, the Caribbean and the Middle East, and many of the U.S. hotels that Sonesta operates are owned by SVC.
The accompanying condensed consolidated financial statements are unaudited. Certain information and disclosures required by U.S. Generally Accepted Accounting Principles, or GAAP, for complete financial statements have been condensed or omitted. We believe the disclosures made are adequate to make the information presented not misleading.
8

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
However, the accompanying condensed consolidated financial statements should be read in conjunction with the financial statements and notes contained in our Annual Report on Form 10-K for the fiscal year ended September 30, 2022, or our 2022 Annual Report. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair statement of results for the interim period have been included. All intercompany transactions and balances with or among our consolidated subsidiaries have been eliminated. Our operating results for interim periods are not necessarily indicative of the results that may be expected for the full year.
We report our results in a single reportable segment, which reflects how our chief operating decision maker allocates resources and evaluates our financial results. Preparation of these financial statements in conformity with GAAP requires our management to make certain estimates and assumptions that may affect the amounts reported in these condensed consolidated financial statements and related notes. The actual results could differ from these estimates.
Note 2. Revenue Recognition
Revenues from services that we provide are recognized as earned over time as the services provided represent performance obligations that are satisfied over time.
Management Agreements with the Managed Equity REITs
We are party to a business management and a property management agreement with each Managed Equity REIT. The following is a summary of the fees we earn pursuant to our business management agreements with the Managed Equity REITs. For a summary of the fees we earn pursuant to our property management agreements with the Managed Equity REITs, please see Property Management Agreements, below.
Base Business Management Fees We earn annual base business management fees from the Managed Equity REITs by providing continuous services pursuant to business management agreements equal to the lesser of:
the sum of (a) 0.5% of the historical cost of transferred real estate assets, if any, as defined in the applicable business management agreement, plus (b) 0.7% of the average invested capital (exclusive of the transferred real estate assets), as defined in the applicable business management agreement, up to $250,000, plus (c) 0.5% of the average invested capital exceeding $250,000; and
the sum of (a) 0.7% of the average market capitalization, as defined in the applicable business management agreement, up to $250,000, plus (b) 0.5% of the average market capitalization exceeding $250,000.
The foregoing base business management fees are paid in cash monthly in arrears. 
We earned aggregate base business management fees from the Managed Equity REITs of $21,037 and $25,446 for the three months ended June 30, 2023 and 2022, respectively, and $63,894 and $73,085 for the nine months ended June 30, 2023 and 2022, respectively.
Incentive Business Management Fees We also may earn annual incentive business management fees from the Managed Equity REITs under the business management agreements. The incentive business management fees, which are payable in cash, are contingent performance based fees recognized only when earned at the end of each respective measurement period. Incentive business management fees are excluded from the transaction price until it becomes probable that there will not be a significant reversal of cumulative revenue recognized.
The incentive business management fees are calculated for each Managed Equity REIT as 12.0% of the product of (a) the equity market capitalization of the Managed Equity REIT, as defined in the applicable business management agreement, on the last trading day of the year immediately prior to the relevant measurement period and (b) the amount, expressed as a percentage, by which the Managed Equity REIT’s total return per share, as defined in the applicable business management agreement, exceeded the applicable benchmark total return per share, as defined in the applicable business management agreement, of a specified REIT index identified in the applicable business management agreement for the measurement period, as adjusted for net share issuances during the period and subject to caps on the values of the incentive fees. The measurement period for the annual incentive business management fees is defined as the three year period ending on December 31 of the year for which such fee is being calculated.
We did not earn incentive business management fees from the Managed Equity REITs for calendar years 2022 or 2021.
9

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
Other Management Agreements
We earn management fees by providing continuous services pursuant to the management agreements with AlerisLife, Sonesta and until May 15, 2023, TA, equal to 0.6% of: (i) in the case of AlerisLife, AlerisLife’s revenues from all sources reportable under GAAP, less any revenues reportable by AlerisLife with respect to properties for which it provides management services, plus the gross revenues at those properties determined in accordance with GAAP; (ii) in the case of Sonesta, Sonesta’s revenues from all sources reportable under GAAP, less any revenues reportable by Sonesta with respect to hotels for which it provides management services, plus the gross revenues at those hotels determined in accordance with GAAP; and (iii) in the case of TA, the sum of TA’s gross fuel margin, as defined in the applicable agreement, plus TA’s total nonfuel revenues. These management fees are estimated and payable in cash monthly in advance.
We also earn management fees from certain Private Capital clients based on a percentage of average invested capital, as defined in the applicable management agreements. These management fees are payable in cash monthly in arrears.
We earned aggregate base business management fees from TA and the Private Capital clients of $9,134 and $11,107 for the three months ended June 30, 2023 and 2022, respectively, and $29,874 and $28,296 for the nine months ended June 30, 2023 and 2022, respectively. In addition, in connection with BP’s acquisition of TA on May 15, 2023, TA terminated its business management agreement with us and paid us the applicable termination fee of $45,282.
Property Management Agreements
We earn property management fees by providing continuous services pursuant to property management agreements with the Managed Equity REITs and certain Private Capital clients. We generally earn fees under these agreements equal to 3.0% of gross collected rents. Also, under the terms of the property management agreements, we receive additional fees for construction supervision services up to 5.0% of the cost of such construction.
For the three months ended June 30, 2023 and 2022, we earned aggregate property management fees of $15,649 and $15,220, respectively, including construction supervision fees of $4,418 and $4,596, respectively. For the nine months ended June 30, 2023 and 2022, we earned aggregate property management fees of $47,670 and $43,387, respectively, including construction supervision fees of $14,120 and $11,623, respectively.
Management Agreements with Advisory Clients
Tremont is primarily compensated pursuant to its management agreement with SEVN at an annual rate of 1.5% of equity, as defined in the applicable agreement. We earned advisory services revenue of $1,141 and $1,137 for the three months ended June 30, 2023 and 2022, respectively, and $3,371 and $3,392 for the nine months ended June 30, 2023 and 2022, respectively.
Tremont may also earn an incentive fee under its management agreement with SEVN equal to the difference between: (a) the product of (i) 20% and (ii) the difference between (A) core earnings, as defined in the agreement, for the most recent 12 month period (or such lesser number of completed calendar quarters, if applicable), including the calendar quarter (or part thereof) for which the calculation of the incentive fee is being made, and (B) the product of (1) equity in the most recent 12 month period (or such lesser number of completed calendar quarters, if applicable), including the calendar quarter (or part thereof) for which the calculation of the incentive fee is being made, and (2) 7% per year and (b) the sum of any incentive fees paid to Tremont with respect to the first three calendar quarters of the most recent 12 month period (or such lesser number of completed calendar quarters preceding the applicable period, if applicable). No incentive fee shall be payable with respect to any calendar quarter unless core earnings for the 12 most recently completed calendar quarters in the aggregate is greater than zero. The incentive fee may not be less than zero. Tremont earned incentive fees from SEVN of $192 for the three and nine months ended June 30, 2023. Tremont did not earn incentive fees from SEVN for the three or nine months ended June 30, 2022.
The Tremont business earns between 0.5% and 1.0% of the aggregate principal amounts of any loans it brokers. The Tremont business earned fees for such brokerage services of $52 and $46 for the three months ended June 30, 2023 and 2022, respectively, and $52 and $99 for the nine months ended June 30, 2023 and 2022, respectively, which amounts are included in management services revenue in our condensed consolidated statements of income.
Reimbursable Costs
Reimbursable Compensation and Benefits Reimbursable compensation and benefits include reimbursements, at cost, that arise primarily from services our employees provide pursuant to our property management agreements at the properties of
10

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
our clients. A significant portion of these compensation and benefits are charged or passed through to and paid by tenants of our clients. We recognize the revenue for reimbursements when we incur the related reimbursable compensation and benefits expense on behalf of our clients.
Reimbursable Equity Based Compensation Reimbursable equity based compensation includes awards of common shares by our clients directly to certain of our officers and employees in connection with the provision of management services to those clients. The revenue in respect of each award is based on the fair value as of the award date for those shares that have vested, with subsequent changes in the fair value of the unvested awards being recognized in our condensed consolidated statements of income over the requisite service periods. We record an equal, offsetting amount as equity based compensation expense for the value of these awards.
Other Reimbursable Expenses Other reimbursable expenses include reimbursements that arise from services we provide pursuant to our property management agreements, which include third party costs related to matters such as maintenance and repairs, development costs, security and cleaning services, a significant portion of which are charged or passed through to and paid by tenants of our clients.
Note 3. Equity Method Investments
Seven Hills Realty Trust
As of June 30, 2023, Tremont owned 1,708,058, or approximately 11.6%, of SEVN’s outstanding common shares. We account for our investment in SEVN using the equity method of accounting because we are deemed to exert significant influence, but not control, over SEVN’s most significant activities. We elected the fair value option to account for our equity method investment in SEVN and determine fair value using the closing price of SEVN’s common shares as of the end of the period, which is a Level 1 fair value input. The aggregate market value of our investment in SEVN at June 30, 2023 and September 30, 2022, based on quoted market prices, was $17,525 and $15,577, respectively. The unrealized gain (loss) in our condensed consolidated statements of income related to our investment in SEVN was $974 and $(209) for the three months ended June 30, 2023 and 2022, respectively, and $3,571 and $675 for the nine months ended June 30, 2023 and 2022, respectively. We received distributions from SEVN of $598 and $207 for the three months ended June 30, 2023 and 2022, respectively, and $1,623 and $415 for the nine months ended June 30, 2023 and 2022, respectively.
TravelCenters of America Inc.
We previously owned 621,853, or approximately 4.1%, of TA’s outstanding common shares, that had a cost of $13,701 and were accounted for using the equity method of accounting under the fair value option. As discussed in Note 6, Related Person Transactions, BP acquired TA on May 15, 2023 for $86.00 per share in cash. In connection with that acquisition, we received $53,479 for the TA common shares we owned and realized a gain of $39,778. We previously accounted for our investment in TA using the equity method of accounting because we were deemed to exert significant influence, but not control, over TA’s most significant activities. Under the fair value option, we determined fair value using the closing price of TA’s common shares as of the end of the period, which was a Level 1 fair value input, and recorded changes in fair value in earnings in our condensed consolidated statements of income. Net gains and losses recorded in our condensed consolidated statements of income related to our investment in TA was $(311) and $5,280 for the three months ended June 30, 2023 and 2022, respectively, and $19,942 and $(9,528) for the nine months ended June 30, 2023 and 2022, respectively.
Note 4. Income Taxes
We are the sole managing member of RMR LLC. We are a corporation subject to U.S. federal and state income tax with respect to our allocable share of any taxable income of RMR LLC and its tax consolidated subsidiaries. RMR LLC is treated as a partnership for U.S. federal and most applicable state and local income tax purposes. As a partnership, RMR LLC is generally not subject to U.S. federal and most state income taxes. Any taxable income or loss generated by RMR LLC is passed through to and included in the taxable income or loss of its members, including RMR Inc. and ABP Trust, based on each member’s respective ownership percentage.
For the three months ended June 30, 2023 and 2022, we recognized estimated income tax expense of $9,214 and $2,943, respectively, which includes $6,751 and $2,162, respectively, of U.S. federal income tax and $2,463 and $781, respectively, of state income taxes. For the nine months ended June 30, 2023 and 2022, we recognized estimated income tax expense of $18,581 and $8,448, respectively, which includes $13,614 and $6,205, respectively, of U.S. federal income tax and $4,967 and $2,243, respectively, of state income taxes.
11

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
A reconciliation of the statutory income tax rate to the effective tax rate is as follows:
Three Months Ended June 30,Nine Months Ended June 30,
2023202220232022
Income taxes computed at the federal statutory rate21.0 %21.0 %21.0 %21.0 %
State taxes, net of federal benefit3.1 %3.1 %3.0 %3.1 %
Permanent items0.2 %0.6 %0.3 %0.4 %
Net income attributable to noncontrolling interest(10.0)%(10.1)%(9.9)%(10.1)%
Total14.3 %14.6 %14.4 %14.4 %
ASC 740, Income Taxes, provides a model for how a company should recognize, measure and present in its financial statements uncertain tax positions that have been taken or are expected to be taken with respect to all open years and in all significant jurisdictions. Pursuant to this topic, we recognize a tax benefit only if it is “more likely than not” that a particular tax position will be sustained upon examination or audit. To the extent the “more likely than not” standard has been satisfied, the benefit associated with a tax position is measured as the largest amount that is greater than 50.0% likely to be realized upon settlement. As of June 30, 2023 and 2022, we had no uncertain tax positions.
Note 5. Fair Value of Financial Instruments
As of June 30, 2023 and September 30, 2022, the fair values of our financial instruments, which include cash and cash equivalents, amounts due from related parties, accounts payable and accrued expenses and reimbursable accounts payable and accrued expenses, were not materially different from their carrying values due to the short term nature of these financial instruments.
On a recurring basis, we measure certain financial assets and financial liabilities at fair value based upon quoted market prices. ASC 820, Fair Value Measurements, establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1), and the lowest priority to unobservable inputs (Level 3). A financial asset’s or financial liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement.
The following table presents our assets and liabilities that have been measured at fair value using Level 1 inputs in the fair value hierarchy as of June 30, 2023 and September 30, 2022:
June 30,September 30,
20232022
Current portion of due from related parties related to share based payment awards$1,039 $7,516 
Long term portion of due from related parties related to share based payment awards6,632 14,557 
Equity method investment in SEVN17,525 15,577 
Equity method investment in TA 33,537 
Current portion of employer compensation liability related to share based payment awards1,039 7,516 
Long term portion of employer compensation liability related to share based payment awards6,632 14,557 
Note 6. Related Person Transactions
Adam D. Portnoy, Chair of our Board, one of our Managing Directors and our President and Chief Executive Officer, is the sole trustee of our controlling shareholder, ABP Trust, and owns all of ABP Trust’s voting securities and a majority of the economic interests of ABP Trust. RMR Inc.’s other executive officers are officers and employees of RMR LLC, and Jennifer B. Clark, our other Managing Director, and Matthew P. Jordan, our Executive Vice President, Chief Financial Officer and Treasurer, are also officers of ABP Trust.
Mr. Portnoy is the chair of the board and a managing trustee of each of the Perpetual Capital clients, the controlling shareholder and a director of Sonesta (and its parent) and was the chair of the board and a managing director of AlerisLife until March 20, 2023 when AlerisLife was acquired by ABP Trust. Since March 20, 2023, Mr. Portnoy is the sole director of AlerisLife. Mr. Portnoy was the chair of the board and a managing director of TA until May 15, 2023 when TA was acquired
12

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
by BP. Ms. Clark is a managing trustee of OPI and a director of Sonesta (and its parent), and she previously served as a managing director of AlerisLife until March 20, 2023. Ms. Clark also serves as the secretary of all the Perpetual Capital clients, Sonesta and AlerisLife.
As of June 30, 2023, Adam D. Portnoy beneficially owned 13.5% of SEVN’s outstanding common shares (including through Tremont and ABP Trust) and 9.8% of DHC’s outstanding common shares (including through ABP Trust). In addition, Mr. Portnoy beneficially owns shares of ILPT, OPI, SVC, and prior to May 15, 2023, TA, comprising less than 5.0% of the outstanding shares of each of those respective companies.
The Managed Equity REITs and SEVN have no employees. RMR LLC provides or arranges for all the personnel, overhead and services required for the operation of the Managed Equity REITs pursuant to management agreements with them. The officers of the Managed Equity REITs and ABP Trust are officers or employees of RMR LLC. All the officers, overhead and required office space of SEVN are provided or arranged by Tremont. SEVN’s officers are officers or employees of Tremont or RMR LLC. Some of the executive officers of TA (prior to May 15, 2023), AlerisLife and Sonesta are officers or employees of RMR LLC. Our executive officers are also managing trustees of certain of the Perpetual Capital clients.
Additional information about our related person transactions appears in Note 7, Shareholders’ Equity, below and in our 2022 Annual Report.
13

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
Revenues from Related Parties
For the three months ended June 30, 2023 and 2022, we recognized revenues from related parties as set forth in the following table:
Three Months Ended June 30, 2023Three Months Ended June 30, 2022
TotalTotal
ManagementManagement
and AdvisoryTotaland AdvisoryTotal
ServicesReimbursableTotalServicesReimbursableTotal
RevenuesCostsRevenuesRevenuesCostsRevenues
Perpetual Capital:
DHC$5,655 $37,352 $43,007 $7,208 $41,318 $48,526 
ILPT9,113 10,664 19,777 9,803 8,126 17,929 
OPI9,363 89,220 98,583 10,640 80,083 90,723 
SVC10,308 34,643 44,951 10,721 10,412 21,133 
Total Managed Equity REITs34,439 171,879 206,318 38,372 139,939 178,311 
SEVN1,333 1,193 2,526 1,137 1,006 2,143 
TA (1)
47,238  47,238 4,441 527 4,968 
83,010 173,072 256,082 43,950 141,472 185,422 
Private Capital:
AlerisLife (2)
1,381  1,381 1,239 99 1,338 
Sonesta2,796  2,796 2,491 46 2,537 
Other private entities5,248 14,666 19,914 5,230 16,515 21,745 
9,425 14,666 24,091 8,960 16,660 25,620 
Total revenues from related parties92,435 187,738 280,173 52,910 158,132 211,042 
Revenues from unrelated parties52  52 46  46 
Total revenues$92,487 $187,738 $280,225 $52,956 $158,132 $211,088 
(1)On May 15, 2023, BP acquired TA and TA terminated its management agreement with us. In connection with the termination of TA’s management agreement, we received the applicable termination fee of $45,282. For further information, please see “TA Merger” below.
(2)On March 20, 2023, AlerisLife merged with and into a subsidiary of ABP Trust and ceased to be a public company. As a result, the revenues earned with respect to AlerisLife are characterized as Private Capital for all periods presented. For further information about this transaction, please see “ABP Trust’s Acquisition of AlerisLife” below.
14

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
For the nine months ended June 30, 2023 and 2022, we recognized revenues from related parties as set forth in the following table:
Nine Months Ended June 30, 2023Nine Months Ended June 30, 2022
TotalTotal
ManagementManagement
and AdvisoryTotaland AdvisoryTotal
ServicesReimbursableTotalServicesReimbursableTotal
RevenuesCostsRevenuesRevenuesCostsRevenues
Perpetual Capital: (1)
DHC$17,593 $117,821 $135,414 $23,737 $109,241 $132,978 
ILPT27,377 30,615 57,992 21,545 20,387 41,932 
OPI29,448 268,204 297,652 31,722 221,249 252,971 
SVC30,046 75,468 105,514 34,113 43,641 77,754 
Total Managed Equity REITs104,464 492,108 596,572 111,117 394,518 505,635 
SEVN3,563 3,516 7,079 3,392 4,563 7,955 
TA (2)
55,214 3,476 58,690 11,499 1,235 12,734 
163,241 499,100 662,341 126,008 400,316 526,324 
Private Capital: (1)
AlerisLife (3)
4,014 97 4,111 3,610 245 3,855 
Sonesta6,954 544 7,498 6,092 84 6,176 
Other private entities16,074 49,308 65,382 12,450 41,406 53,856 
27,042 49,949 76,991 22,152 41,735 63,887 
Total revenues from related parties190,283 549,049 739,332 148,160 442,051 590,211 
Revenues from unrelated parties52  52 99  99 
Total revenues$190,335 $549,049 $739,384 $148,259 $442,051 $590,310 
(1)On December 23, 2021, DHC sold a 35% equity interest in its existing joint venture with an institutional investor. Following this sale, DHC owned a 20% equity interest in this joint venture. As a result, the revenues earned with respect to this joint venture are characterized as Private Capital for periods on and after December 23, 2021 and as Perpetual Capital for periods prior to December 23, 2021. On June 29, 2022, DHC sold an additional 10% equity interest in this joint venture. Following this additional sale, DHC owns a 10% equity interest in this joint venture.
(2)On May 15, 2023, BP acquired TA and TA terminated its management agreement with us. In connection with the termination of TA’s management agreement, we received the applicable termination fee of $45,282. For further information, please see “TA Merger” below.
(3)On March 20, 2023, AlerisLife merged with and into a subsidiary of ABP Trust and ceased to be a public company. As a result, the revenues earned with respect to AlerisLife are characterized as Private Capital for all periods presented. For further information about this transaction, please see “ABP Trust’s Acquisition of AlerisLife” below.
15

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
Amounts Due From Related Parties
The following table presents amounts due from related parties as of the dates indicated:
June 30, 2023September 30, 2022
AccountsReimbursableAccountsReimbursable
ReceivableCostsTotalReceivableCostsTotal
Perpetual Capital:
DHC$4,692 $15,525 $20,217 $8,098 $14,148 $22,246 
ILPT3,928 7,739 11,667 3,235 13,717 16,952 
OPI6,125 45,206 51,331 335 47,943 48,278 
SVC4,640 6,096 10,736 5,627 5,357 10,984 
Total Managed Equity REITs19,385 74,566 93,951 17,295 81,165 98,460 
SEVN3,115 1,433 4,548 1,768 1,262 3,030 
TA (1)
   124 11,635 11,759 
22,500 75,999 98,499 19,187 94,062 113,249 
Private Capital:
AlerisLife (2)
68  68 112 492 604 
Sonesta65  65 127 290 417 
Other private entities4,166 5,935 10,101 1,658 7,450 9,108 
4,299 5,935 10,234 1,897 8,232 10,129 
$26,799 $81,934 $108,733 $21,084 $102,294 $123,378 
(1)On May 15, 2023, BP acquired TA and TA terminated its management agreement with us. For further information about this transaction, please see “TA Merger” below.
(2)On March 20, 2023, AlerisLife merged with and into a subsidiary of ABP Trust and ceased to be a public company. As a result, the amounts due from related parties with respect to AlerisLife are characterized as Private Capital for all periods presented. For further information about this transaction, please see “ABP Trust’s Acquisition of AlerisLife” below.
Leases
As of June 30, 2023, RMR LLC leased from ABP Trust and certain Managed Equity REITs office space for use as our headquarters and local offices. We incurred rental expense under related party leases aggregating $1,221 and $1,470 for the three months ended June 30, 2023 and 2022, respectively, and $4,052 and $4,444 for the nine months ended June 30, 2023 and 2022, respectively.
Tax-Related Payments
Pursuant to our tax receivable agreement with ABP Trust, RMR Inc. pays to ABP Trust 85.0% of the amount of cash savings, if any, in U.S. federal, state and local income tax or franchise tax that RMR Inc. realizes as a result of (a) the increases in tax basis attributable to our dealings with ABP Trust and (b) tax benefits related to imputed interest deemed to be paid by us as a result of the tax receivable agreement. As of June 30, 2023, our condensed consolidated balance sheet reflects a liability related to the tax receivable agreement of $25,583, including $2,275 classified as a current liability in accounts payable and accrued expenses that we expect to pay to ABP Trust during the fourth quarter of fiscal year 2023.
Under the RMR LLC operating agreement, RMR LLC is also required to make certain pro rata distributions to each member of RMR LLC quarterly on the basis of the estimated tax liabilities of its members, subject to future adjustment based on actual results. For the nine months ended June 30, 2023 and 2022, pursuant to the RMR LLC operating agreement, RMR LLC made required quarterly tax distributions to holders of its membership units totaling $48,857 and $21,969, respectively, of which $25,758 and $11,559, respectively, was distributed to us and $23,099 and $10,410, respectively, was distributed to ABP Trust, based on each membership unit holder’s respective ownership percentage. The amounts distributed to us were eliminated in our condensed consolidated financial statements, and the amounts distributed to ABP Trust were recorded as a reduction of
16

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
its noncontrolling interest. We use funds from these distributions to pay certain of our U.S. federal and state income tax liabilities and to pay part of our obligations under the tax receivable agreement.
Purchase of SEVN Shares
On May 11, 2022, Tremont Realty Capital purchased 882,407 SEVN common shares of beneficial interest from Diane Portnoy, the mother of Adam D. Portnoy, for an aggregate purchase price of $9,469. As of June 30, 2023, Tremont owned 1,708,058 SEVN common shares, and Mr. Portnoy beneficially owned 13.5% of SEVN’s outstanding common shares of beneficial interest (including through Tremont and ABP Trust).
ABP Trust’s Acquisition of AlerisLife
On March 20, 2023, ABP Trust acquired AlerisLife. In connection with that acquisition, AlerisLife terminated its management agreement with RMR LLC and RMR LLC waived its right to receive payment of the termination fee that would have otherwise resulted due to the acquisition. In consideration of this waiver, RMR LLC and ABP Trust amended and restated their management agreement to provide that (i) RMR LLC will also provide services to AlerisLife at ABP Trust’s request, (ii) ABP Trust will pay to RMR LLC management fees with respect to AlerisLife, which fees are calculated based upon AlerisLife’s revenues in the same manner as such fees would have been calculated under AlerisLife’s terminated management agreement with RMR LLC, and (iii) AlerisLife’s properties will not be subject to ABP Trust’s property management agreement with RMR LLC.
TA Merger
On May 15, 2023, BP acquired TA in a merger transaction for $86.00 per TA common share in cash, or the TA Merger. RMR LLC received $53,479 for its TA common shares pursuant to that acquisition. In connection with that acquisition, RMR LLC, which owned an aggregate amount of 4.1% of TA’s outstanding common shares, entered into a voting agreement with BP pursuant to which RMR LLC agreed to vote all of its TA common shares to approve the transaction. Upon consummation of the acquisition, TA terminated its business management agreement with us and in accordance with its terms paid us the applicable termination fee of $45,282.
OPI’s Merger Agreement with DHC
On April 11, 2023, DHC and OPI entered into an Agreement and Plan of Merger, or the DHC-OPI Merger Agreement, pursuant to which, on the terms and subject to the satisfaction or waiver of the conditions thereof, DHC will be merged with and into OPI, with OPI continuing as the surviving entity in the merger, or the DHC-OPI Merger. The DHC-OPI Merger is expected to close during the third quarter of calendar 2023. Contemporaneously with the execution of the DHC-OPI Merger Agreement, we, DHC and OPI entered into a letter agreement, or the RMR Letter Agreement, pursuant to which, on the terms and subject to conditions contained therein, we and DHC have acknowledged and agreed that, effective upon consummation of the DHC-OPI Merger, DHC shall have terminated its business and property management agreements with us for convenience, and we shall have waived our right to receive payment of the termination fee pursuant to each such agreement upon such termination. We will continue to manage the surviving entity following the DHC-OPI Merger. Contemporaneously with the execution of the DHC-OPI Merger Agreement, RMR LLC and OPI entered into a Third Amended and Restated Property Management Agreement, or the Amended Property Management Agreement. The effectiveness of the Amended Property Management Agreement is conditioned upon and will be concurrent with the consummation of the DHC-OPI Merger. Pursuant to the Amended Property Management Agreement, at the effective time of the DHC-OPI Merger, properties then owned by DHC that are subject to its existing property management agreement with RMR LLC, including its medical office and life science properties, will become subject to the terms and conditions of the Amended Property Management Agreement. Also pursuant to the Amended Property Management Agreement, we will be entitled to a renovation and repositioning fee equal to 3% of the cost of any major capital projects and repositionings at senior living communities owned by DHC that the surviving entity may request us to oversee from time to time, consistent with DHC’s existing property management agreement. The terms of the Amended Property Management Agreement are otherwise consistent with the terms of RMR LLC’s existing property management agreement with OPI.
Separation Arrangements
We entered into retirement agreements with certain of our former executive officers. Pursuant to these agreements, we made various cash payments and accelerated the vesting of unvested shares of RMR Inc. previously awarded to these retiring officers. We also enter into separation arrangements from time to time with executive and nonexecutive officers and employees
17

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
of ours. All costs associated with separation arrangements, for which there remain no substantive performance obligations, are recorded in our condensed consolidated statements of income as separation costs.
RMR LLC entered into a letter agreement, or the Separation Agreement, dated March 27, 2023, with Jonathan M. Pertchik, a former Executive Vice President of RMR LLC. Mr. Pertchik also served as chief executive officer and was a managing director of TA. Mr. Pertchik resigned as our Executive Vice President, effective 11:59 p.m. on May 14, 2023, the date prior to the closing of the TA Merger, or the Separation Date. Pursuant to the Separation Agreement, RMR LLC paid Mr. Pertchik $211 following the TA Merger and our Compensation Committee approved the acceleration of vesting of Mr. Pertchik’s unvested shares of RMR Inc., effective as of the Separation Date. The Separation Agreement contains other customary terms and conditions, including confidentiality, non-solicitation, and other covenants and a waiver and release.
For the three months ended June 30, 2023 and 2022, we recognized separation costs of $1,064 and $400, respectively, including cash separation costs of $708 and $252, respectively, and equity based separation costs of $356 and $148, respectively. For the nine months ended June 30, 2023 and 2022, we recognized separation costs of $2,002 and $617, respectively, including cash separation costs of $1,520 and $469, respectively, and equity based separation costs of $482 and $148, respectively.
SEVN Property Management Agreement
We entered into a new property management agreement with SEVN in July 2023 with respect to an office property SEVN owns. Pursuant to this agreement, we will provide property management services and SEVN will pay us fees equal to 3.0% of gross collected rents. Also under the terms of this property management agreement, SEVN will pay us additional fees for construction supervision services equal to 5.0% of the cost of such construction. Either we or SEVN may terminate this agreement upon 30 days’ prior notice. No termination fee would be payable as a result of terminating the agreement.
Note 7. Shareholders’ Equity
We award our Class A common stock, or Class A Common Shares, to our Directors, officers and employees under the Amended and Restated 2016 Omnibus Equity Plan, or the 2016 Plan. Director share awards vest immediately. Officer and employee share awards vest in five equal, consecutive, annual installments, with the first installment vesting on the date of award. We recognize forfeitures as they occur. Compensation expense related to share awards is determined based on the market value of our shares on the date of award, with the aggregate value of the awarded shares amortized to expense over the related vesting period. Expense recognized for Director share awards are included in general and administrative expenses and expense recognized for officer and employee share awards are included in equity based compensation in our condensed consolidated statements of income.
On March 29, 2023, we awarded 3,000 of our Class A Common Shares, valued at $25.80 per share, the closing price of our Class A Common Shares on The Nasdaq Stock Market LLC, or Nasdaq, on that day, to each of our Directors as part of his or her annual compensation for serving as a Director. For the nine months ended June 30, 2023, we recorded general and administrative expense of $464 for these awards.
Equity based compensation expense related to shares awarded to certain officers and employees was $478 and $581 for the three months ended June 30, 2023 and 2022, respectively, and $1,576 and $1,823 for the nine months ended June 30, 2023 and 2022, respectively. As of June 30, 2023, we had 170,420 unvested shares outstanding which are scheduled to vest as follows: 62,160 shares in 2023, 49,920 shares in 2024, 36,740 shares in 2025 and 21,600 in 2026.
In connection with the vesting and issuance of awards of our Class A Common Shares to our Directors, officers and employees, we provide for the ability to repurchase our Class A Common Shares to satisfy tax withholding and payment obligations for those eligible to do so. The repurchase price is based on the closing price of our Class A Common Shares on Nasdaq on the date of repurchase. The aggregate value of 7,383 Class A Common Shares repurchased during the nine months ended June 30, 2023 was $179, which is recorded as a decrease to additional paid in capital within shareholders’ equity in our condensed consolidated balance sheets.
In connection with the issuances and repurchases of our Class A Common Shares, and as required by the RMR LLC operating agreement, RMR LLC concurrently issues or acquires an identical number of Class A Units from RMR Inc.
18

Table of Contents
The RMR Group Inc.
Notes to Unaudited Condensed Consolidated Financial Statements (Continued)
(dollars in thousands, except per share amounts)
Distributions
During the nine months ended June 30, 2023 and 2022, we declared and paid dividends on our Class A Common Shares and Class B-1 common stock, or Class B-1 Common Shares, as follows:
DeclarationRecordPaidDistributionsTotal
DateDateDatePer Common ShareDistributions
Nine Months Ended June 30, 2023
10/13/202210/24/202211/17/2022$0.40 $6,642 
1/12/20231/23/20232/16/20230.40 6,641 
4/13/20234/24/20235/18/20230.40 6,648