FS Credit Real Estate Income Mutual Fund Class I Stock Price, News & Analysis

FS Credit Real Estate Income Trust, Inc. (often referenced in SEC filings as "FS CREIT" or "FSCREIT") is a Maryland corporation that reports to the U.S. Securities and Exchange Commission under Commission File Number 000-56163 and Employer Identification Number 81-4446064. According to its SEC filings, the company uses a series of indirect, wholly owned special-purpose financing subsidiaries to enter into credit facilities and repurchase arrangements related to real estate and mortgage assets. Its principal business activities, as described in multiple Form 8-K filings, involve financing the acquisition and origination of assets such as commercial and multifamily mortgage loans and related interests. The company is based in Philadelphia, Pennsylvania.

FS Credit Real Estate Income Trust, Inc. does not list any securities registered under Section 12(b) of the Securities Exchange Act of 1934, and its filings state that there is no trading symbol and no exchange listing for its securities under that section. Instead, the company appears in SEC reports in connection with privately negotiated financing arrangements and facilities entered into by its subsidiaries, for which FS Credit Real Estate Income Trust, Inc. often provides guarantees.

Business focus and financing facilities

Based on its Form 8-K disclosures, FS Credit Real Estate Income Trust, Inc. operates through several indirect, wholly owned special-purpose entities that act as borrowers or sellers under various loan, repurchase, and securities contract agreements. These facilities are used to finance "Eligible Assets" described in the filings as performing senior commercial and multifamily mortgage loans, A-notes, pari passu participation interests, mezzanine loans, and in some cases real estate owned assets or REO mortgage loans.

Examples of these financing structures include:

• MS-1 Facility: An Amended and Restated Master Repurchase and Securities Contract Agreement entered into by FS CREIT Finance MS-1 LLC with Morgan Stanley Mortgage Capital Holdings LLC, Morgan Stanley Bank, N.A., and other financial institutions. The facility is intended to finance the acquisition and origination of Eligible Assets, including performing senior commercial and multifamily mortgage loans, A-notes, pari passu participation interests, and mezzanine loans. FS Credit Real Estate Income Trust, Inc. provides an Amended and Restated Guaranty Agreement in connection with this facility.
• CO-1 Facility: A Master Repurchase and Securities Contract Agreement entered into by FS CREIT Finance CO-1 LLC with Capital One, National Association, as buyer. This facility is also described as financing Eligible Assets such as performing senior commercial and multifamily mortgage loans, A-notes, pari passu participation interests, and mezzanine loans. FS Credit Real Estate Income Trust, Inc. guarantees certain obligations under a related Guaranty Agreement.
• JP-1 Facility: A Master Repurchase Agreement entered into by FS CREIT Finance JP-1 LLC with JP Morgan Chase Bank, National Association, as buyer. The JP-1 Facility is used to finance Eligible Assets that include performing senior commercial or multifamily mortgage loans, A-notes related to such loans, participation interests in those loans, mezzanine loans, and REO mortgage loans. FS Credit Real Estate Income Trust, Inc. provides a Guaranty that may become full recourse upon certain events, such as specified bankruptcy actions.
• MM-1 Facility: A loan and servicing arrangement involving FS CREIT Finance MM-1 LLC as borrower under an Amended and Restated Loan and Servicing Agreement with Wells Fargo Bank, National Association as administrative agent, and institutional lenders including Massachusetts Mutual Life Insurance Company and C.M. Life Insurance Company. A Fourth Amendment to this agreement increases the maximum facility amount, adjusts the applicable spread, extends the scheduled maturity date, and provides for financing of certain real estate owned assets. FS Credit Real Estate Income Trust, Inc. enters into a Guaranty Agreement in favor of the administrative agent for the benefit of secured parties.
• NTX-1 Facility: A Third Amendment to a Master Repurchase and Securities Contract Agreement entered into by FS CREIT Finance NTX-1 LLC with Natixis, New York Branch, as buyer. The amendment increases the maximum facility amount, provides an option for further increases, and extends both the reinvestment period and the facility termination date. FS Credit Real Estate Income Trust, Inc. reaffirms its guarantee in connection with this facility.

Across these facilities, FS Credit Real Estate Income Trust, Inc. is consistently described as the guarantor of obligations owed by its special-purpose subsidiaries. The facilities typically accrue price differential at a spread over Term SOFR and include customary representations, warranties, covenants, events of default, and indemnities for agreements of this type, as stated in the filings.

Financial covenants and risk profile

The company’s Form 8-K disclosures outline financial covenants that apply to FS Credit Real Estate Income Trust, Inc. in connection with several of its facilities. These covenants include requirements to maintain:

• An adjusted tangible net worth calculated with reference to net cash proceeds of equity issuances, available capital commitments, and amounts expended for equity redemptions or repurchases.
• An EBITDA to interest expense ratio not less than a specified minimum, calculated on a trailing four-quarter basis.
• A total indebtedness to tangible net worth ratio that does not exceed a stated maximum.
• Minimum liquidity measured as the greater of a fixed dollar amount or a percentage of the aggregate amount outstanding under the relevant facility.

These covenants, as described in the SEC filings, are designed to govern leverage, liquidity, and coverage metrics for FS Credit Real Estate Income Trust, Inc. in its role as guarantor. The Guaranty Agreements often specify that the guaranty may become full recourse upon the occurrence of certain events, including the commencement of certain bankruptcy actions with respect to the company or the relevant financing subsidiary.

Regulatory status and reporting

In each of the provided Form 8-K filings, FS Credit Real Estate Income Trust, Inc. states that it has no securities registered under Section 12(b) of the Exchange Act and that there is no trading symbol or exchange listing for such securities. The company identifies itself as a Maryland corporation and indicates in some filings whether it is considered an emerging growth company under SEC rules, with check-box disclosures included on the cover pages.

The company files current reports on Form 8-K to disclose material definitive agreements, amendments to existing facilities, and the creation of direct financial obligations or obligations under off-balance sheet arrangements. These filings often include exhibits such as Master Repurchase and Securities Contract Agreements, Loan and Servicing Agreements, amendments, and Guaranty Agreements, which are incorporated by reference for full details of the terms.

Headquarters and corporate structure

According to the SEC filings, FS Credit Real Estate Income Trust, Inc. is headquartered in Philadelphia, Pennsylvania. The filings list Philadelphia addresses for the registrant and, in one case, identify a prior address as a former name or address. The company’s operating model, as described in the filings, relies on indirect, wholly owned special-purpose financing subsidiaries (such as FS CREIT Finance MS-1 LLC, FS CREIT Finance CO-1 LLC, FS CREIT Finance JP-1 LLC, FS CREIT Finance MM-1 LLC, and FS CREIT Finance NTX-1 LLC) to enter into financing and repurchase arrangements with major financial institutions.

These subsidiaries serve as borrowers or sellers under the respective facilities, while FS Credit Real Estate Income Trust, Inc. provides guarantees for certain obligations. This structure is typical of transactions where a parent company supports financing activities conducted through special-purpose entities, as reflected in the descriptions of the agreements, covenants, and guaranty provisions in the Form 8-K reports.

How investors and analysts may view FS Credit Real Estate Income Trust, Inc.

From the available SEC filings, observers can see that FS Credit Real Estate Income Trust, Inc. focuses on financing arrangements tied to commercial and multifamily mortgage-related assets and real estate owned assets through structured facilities with large financial counterparties. The company’s risk and capital profile, to the extent described in these filings, is shaped by its guaranty obligations, leverage and liquidity covenants, and the terms of its repurchase and loan agreements.

Because the filings do not describe any securities listed on a national securities exchange under Section 12(b), investors interested in FS Credit Real Estate Income Trust, Inc. would typically rely on SEC reports such as Form 8-K, and potentially other periodic reports not provided here, to understand its financing activities, obligations, and exposure to commercial and multifamily mortgage assets. The exhibits referenced in the filings contain the detailed contractual terms that govern these arrangements.