Ares Real Estate (ZARE) renews 2026 advisory pact and completes Reg D share sale
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Ares Real Estate Income Trust Inc. renewed its advisory arrangement by entering into an Amended and Restated Advisory Agreement (2026) with AREIT Operating Partnership LP and Ares Commercial Real Estate Management LLC, effective April 30, 2026, extending the prior agreement’s term through April 30, 2027 and making immaterial clarifications around services for private placements.
On May 1, 2026, the company completed unregistered issuances under Regulation D, selling 2,122,979 Class S-PR shares for gross proceeds of $17,383,452 and 3,274,049 Class I-PR shares for gross proceeds of $26,672,693. The Class S-PR proceeds include upfront selling commissions and dealer manager fees totaling $88,176, and figures include activity from the distribution reinvestment plan.
Positive
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Negative
- None.
8-K Event Classification
3 items: 1.01, 3.02, 9.01
3 items
Item 1.01
Entry into a Material Definitive Agreement
Business
The company signed a significant contract such as a merger agreement, credit facility, or major partnership.
Item 3.02
Unregistered Sales of Equity Securities
Securities
The company sold equity securities in a private placement or other unregistered transaction.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Advisory agreement term end: April 30, 2027
Class S-PR shares issued: 2,122,979 shares
Class S-PR gross proceeds: $17,383,452
+4 more
7 metrics
Advisory agreement term end
April 30, 2027
End date of renewed Amended and Restated Advisory Agreement (2026)
Class S-PR shares issued
2,122,979 shares
Unregistered issuance on May 1, 2026 under Regulation D
Class S-PR gross proceeds
$17,383,452
Gross proceeds from Class S-PR issuance including DRIP activity
Class I-PR shares issued
3,274,049 shares
Unregistered issuance on May 1, 2026 under Regulation D
Class I-PR gross proceeds
$26,672,693
Gross proceeds from Class I-PR issuance including DRIP activity
Class S-PR fees
$88,176
Upfront selling commissions and dealer manager fees included in Class S-PR gross proceeds
Exhibit 10.1
Advisory Agreement (2026)
Amended and Restated Advisory Agreement filed with the report
Key Terms
Amended and Restated Advisory Agreement, Regulation D, distribution reinvestment plan, upfront selling commissions, +1 more
5 terms
Amended and Restated Advisory Agreement financial
"entered into the Amended and Restated Advisory Agreement (2026) (the “2026 Advisory Agreement”)"
Regulation D regulatory
"transactions exempt from the registration provisions of the Securities Act of 1933, as amended, pursuant to Regulation D"
Regulation D is a set of rules that govern how companies can raise money from investors without going through the full process required for public stock offerings. It provides simplified options for private placements, making it easier for companies to seek investments from a smaller group of investors. For investors, it offers opportunities to invest in private companies, often with fewer restrictions, but also with different levels of risk and disclosure.
distribution reinvestment plan financial
"Number of shares issued and gross proceeds include activity from shares issued pursuant to our distribution reinvestment plan"
An automatic program that uses cash distributions—such as dividends or other payouts—from a stock or fund to buy additional shares of the same security instead of handing out cash to the investor. Think of it like using store credit you’d otherwise pocket to buy more items: it makes your holding grow over time without you having to manually reinvest, which can compound returns, reduce transaction costs and change the timing of taxable income.
upfront selling commissions financial
"Gross proceeds for Class S-PR shares include upfront selling commissions and dealer manager fees, in aggregate, of $88,176"
emerging growth company regulatory
"Emerging growth company"
An emerging growth company is a recently public or smaller public firm that qualifies for temporary, lighter regulatory and disclosure rules to reduce the cost and effort of being public. For investors, it means the company may provide less historical financial detail and face fewer reporting requirements than larger firms, so it can grow more quickly but also carries higher uncertainty—like buying a promising early-stage product with fewer user reviews.
FAQ
What advisory agreement did Ares Real Estate Income Trust (ZARE) renew in 2026?
Ares Real Estate Income Trust renewed its Amended and Restated Advisory Agreement by entering into the 2026 Advisory Agreement effective April 30, 2026, with AREIT Operating Partnership LP and Ares Commercial Real Estate Management LLC, extending the prior 2025 advisory term through April 30, 2027 on substantially the same terms.
Did Ares Real Estate Income Trust (ZARE) include distribution reinvestment plan activity in the May 2026 share totals?
Yes. The reported numbers of shares issued and gross proceeds for both Class S-PR and Class I-PR shares include activity from shares issued pursuant to Ares Real Estate Income Trust’s distribution reinvestment plan, which allows investors to reinvest distributions into additional shares rather than receiving cash payments.
What exhibits accompanied Ares Real Estate Income Trust’s April 30, 2026 8-K filing?
The filing included Exhibit 10.1, the Amended and Restated Advisory Agreement (2026) among the company, its operating partnership, and its advisor, dated April 30, 2026. It also listed Exhibit 104, the cover page interactive data file embedded within the Inline XBRL document associated with the report.