NEWTON, Mass.--(BUSINESS WIRE)--Tremont Mortgage Trust (Nasdaq: TRMT) today announced that its manager, Tremont Realty Advisors LLC, has agreed to waive its annual base management fee for the period July 1, 2018 through June 30, 2020. The annual base management fee equals 1.5% of TRMT’s “equity,” as measured for the applicable period. In addition, TRMT will have no obligation to pay an incentive management fee for the 2018 or 2019 calendar years.
“While it has taken us longer to invest our capital than we originally expected, we remain confident in our ability to execute on our business model. We believe obtaining this two year management fee waiver demonstrates our manager’s commitment to our business and our shareholders. We also believe it affords us financial flexibility to execute our business plan and pay distributions to our shareholders,” said David Blackman, Chief Executive Officer.
A definition and explanation of “equity” can be found in TRMT’s quarterly and annual filings with the Securities and Exchange Commission, or the SEC, which can be accessed from TRMT’s website, www.trmtreit.com, or the SEC’s website, www.sec.gov.
Tremont Mortgage Trust (Nasdaq: TRMT) is a real estate finance company that focuses primarily on originating and investing in first mortgage loans secured by middle market and transitional commercial real estate. TRMT is managed by Tremont Realty Advisors LLC, an SEC registered investment adviser, which is an indirect subsidiary of The RMR Group Inc.
WARNING CONCERNING FORWARD LOOKING STATEMENTS
THIS PRESS RELEASE CONTAINS STATEMENTS THAT CONSTITUTE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTHER SECURITIES LAWS. ALSO, WHENEVER TRMT USES WORDS SUCH AS “BELIEVE”, “EXPECT”, “ANTICIPATE”, “INTEND”, “PLAN”, “ESTIMATE”, “WILL”, “MAY” AND NEGATIVES OR DERIVATIVES OF THESE OR SIMILAR EXPRESSIONS, TRMT IS MAKING FORWARD LOOKING STATEMENTS. THESE FORWARD LOOKING STATEMENTS ARE BASED UPON TRMT’S PRESENT INTENT, BELIEFS OR EXPECTATIONS, BUT FORWARD LOOKING STATEMENTS ARE NOT GUARANTEED TO OCCUR AND MAY NOT OCCUR. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTAINED IN OR IMPLIED BY TRMT’S FORWARD LOOKING STATEMENTS AS A RESULT OF VARIOUS FACTORS. FOR EXAMPLE:
- THIS PRESS RELEASE DESCRIBES FEE WAIVERS BY TRMT’S MANAGER, TREMONT REALTY ADVISORS LLC. AN IMPLICATION OF THIS DESCRIPTION MAY BE THAT TRMT WILL BE ABLE TO OPERATE PROFITABLY IN THE FUTURE. IN FACT, THERE ARE MANY FACTORS THAT WILL IMPACT THE PROFITABILITY OF TRMT’S FUTURE OPERATIONS, AND TRMT HAS YET TO REPORT OPERATING PROFITS AND HAS ACCUMULATED LOSSES SINCE ITS INITIAL PUBLIC OFFERING. TRMT CANNOT BE SURE THAT IT WILL BE ABLE TO PRODUCE FUTURE OPERATING PROFITS.
- THIS PRESS RELEASE STATES THAT THE FEE WAIVERS WILL HELP TRMT EXECUTE ITS BUSINESS PLAN AND PAY DISTRIBUTIONS TO ITS SHAREHOLDERS. TO DATE, TRMT HAS MADE ONLY ONE INVESTMENT AND TRMT MAY BE UNABLE TO MAKE ADDITIONAL INVESTMENTS OR IT MAY TAKE TRMT AN EXTENDED PERIOD OF TIME TO FULLY DEPLOY ITS CURRENT CAPITAL. AS A RESULT, TRMT MAY NOT DECLARE ANY DISTRIBUTIONS TO ITS SHAREHOLDERS IN THE FUTURE AND THE TIMING FOR WHEN IT MAY DECLARE AND PAY ANY DISTRIBUTION IS UNCERTAIN AND MAY NOT OCCUR FOR AN EXTENDED PERIOD OF TIME, IF AT ALL. FURTHER, ANY DISTRIBUTION TRMT MAY DECLARE AND PAY MAY NOT BE SUSTAINED FOR FUTURE PERIODS AND COULD DECLINE IN AMOUNT OR BE SUSPENDED OR DISCONTINUED.
- THE FEE WAIVERS THAT TRMT OBTAINED FROM ITS MANAGER ARE SUBJECT TO CONDITIONS, INCLUDING THAT THE MANAGEMENT AGREEMENT REMAINS IN EFFECT.
THE INFORMATION CONTAINED IN TRMT’S FILINGS WITH THE SEC, INCLUDING UNDER “RISK FACTORS” IN TRMT’S PERIODIC REPORTS, OR INCORPORATED THEREIN, IDENTIFIES OTHER IMPORTANT FACTORS THAT COULD CAUSE TRMT’S ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE STATED IN OR IMPLIED BY TRMT’S FORWARD LOOKING STATEMENTS. TRMT’S FILINGS WITH THE SEC ARE AVAILABLE ON THE SEC'S WEBSITE AT WWW.SEC.GOV.
YOU SHOULD NOT PLACE UNDUE RELIANCE UPON FORWARD LOOKING STATEMENTS.
EXCEPT AS REQUIRED BY LAW, TRMT DOES NOT INTEND TO UPDATE OR CHANGE ANY FORWARD LOOKING STATEMENTS AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.
A Maryland Real Estate Investment Trust with transferable shares of
beneficial interest listed on the Nasdaq.
No shareholder, Trustee or officer is personally liable for any act or obligation of the Trust.