Sunrise Realty Trust manager cuts incentive fee to 17.5%, lowers hurdle rate to 7%
SUNS•Merger agreement changes
Sunrise Realty Trust’s merger with Southern Realty Trust includes changes to its external management agreement with Sunrise Manager.
- Incentive fee rate set to fall to 17.5% from 20%; hurdle rate set to drop to 7% from 8%.
- Sunrise Manager to provide $0.05 per SRT share in cash as additional merger consideration.
- Manager to waive $1 million of management fees over four quarters following closing.
- SRT’s external manager to fund a special distribution before closing; it will waive any termination fee tied to ending its management agreement.
