Other Expenses |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other Income and Expenses [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other Expenses | OTHER EXPENSES Our other expenses consist of the management and incentive fees we pay to our Manager and our general and administrative expenses. Management and Incentive Fees Pursuant to a management agreement between our Manager and us, or our Management Agreement, our Manager earns a base management fee in an amount equal to 1.50% per annum multiplied by our Equity, as defined in the Management Agreement. In addition, our Manager is entitled to an incentive fee in an amount equal to the product of (i) 20% and (ii) the excess of (a) our Core Earnings (as defined in our Management Agreement) for the previous 12-month period over (b) an amount equal to 7.00% per annum multiplied by our Equity, provided that our Core Earnings over the prior three-year period is greater than zero. Core Earnings, as defined in our Management Agreement, is generally equal to our GAAP net income (loss), including realized gains and losses not otherwise recognized in current period GAAP net income (loss), and excluding (i) non-cash equity compensation expense, (ii) depreciation and amortization, (iii) unrealized gains (losses), (iv) net income (loss) attributable to our legacy portfolio, (v) certain non-cash items, and (vi) incentive management fees. During the years ended December 31, 2025, 2024, and 2023, we incurred $67.6 million, $74.8 million, and $74.8 million, respectively, of management fees payable to our Manager. During the years ended December 31, 2025 and 2024, we did not incur any incentive fees payable to our Manager. During the year ended December 31, 2023, we incurred $44.2 million of incentive fees payable to our Manager. As of December 31, 2025 and 2024, we had accrued management fees payable to our Manager of $16.4 million and $18.5 million, respectively. General and Administrative Expenses General and administrative expenses consisted of the following ($ in thousands):
(1)During the years ended December 31, 2025, 2024 and 2023, we recognized an aggregate $266,000, $743,000 and $1.2 million, respectively, of expenses related to our Multifamily Joint Venture
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