Distributions |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Equity [Abstract] | |
| Distributions | Distributions Distributions are calculated based on members of record each day during the respective distribution period. During the three and six months ended June 30, 2026, total distributions declared to members, the Sponsor, and its affiliates were approximately $32.1 million, none of which had been paid as of June 30, 2026. Of this amount, approximately $31.9 million was declared in the second quarter of 2026 prior to the closing of the Merger April 29, 2026. These distributions are payable solely to investors who were shareholders of record of Fundrise Equity REIT, LLC as of the applicable declaration dates, and are not payable to shareholders who joined the Company through the Merger from the other Merger Entities. The remaining approximate $200,000 was declared following the Merger close and is payable to all members of record of the Company as of the applicable declaration date. In connection with the Merger, the Company also assumed approximately $6.0 million of previously declared but unpaid distributions of the non-predecessor Merger Entities. West Coast Opportunistic eREIT, LLC, East Coast Opportunistic eREIT, LLC, and Growth eREIT II, LLC had unpaid distributions in the amounts of approximately $50,000, $4.0 million and $1.9 million, respectively. These distributions are payable solely to investors who were shareholders of record of each respective Merger Entity as of the applicable declaration dates. In aggregate, approximately $38.1 million of distributions were payable as of June 30, 2026, substantially all of which is payable to investors based on their record date ownership in their respective predecessor fund prior to the Merger. All distributions payable as of June 30, 2026 will be paid within twelve months of the period end to satisfy REIT distribution requirements. Management expects to fund the $38.1 million in distributions payable through a combination of: (i) unrestricted cash on hand; (ii) National Lending loan repayments from affiliated funds; and (iii) if necessary, proceeds from asset dispositions. However, repayments from affiliated funds and asset dispositions depend on the execution of management plans and the actions of third parties, none of which can be assured as of the issuance of these financial statements. The Merger Entities and the Company have a demonstrated history of obtaining external financing collateralized by unencumbered real estate assets and, if necessary, management believes it could obtain similar financing that would be sufficient to supplement its resources and fund its obligations over the next twelve months following the issuance of these financial statements. Management has evaluated these sources in the aggregate and the Company believes they are sufficient to satisfy the distribution obligations by their respective required payment dates, although there can be no assurance that financing will be obtained on favorable terms. During the three and six months ended June 30, 2025, total distributions declared were approximately $71,000 and $144,000, respectively. For the three and six months ended June 30, 2025, cash distributions exceeded net cash provided by operating activities; accordingly, a portion of distributions was funded from returns of investment received from equity method investees. Distributions payable were approximately $11,000 as of December 31, 2025.
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