{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/720/974/","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","number":"720-974","topic":"720","title":"Real Estate—Real Estate Investment Trusts","area":"Expenses","paragraphs":7,"summary":"This subtopic governs how a real estate investment trust (REIT) accounts for \"operating support\" received from its external adviser — arrangements designed to guarantee the REIT a certain return, such as buying loans or property above fair value, debt forgiveness, advisory fee reductions, compensating balances, or cash payments. The REIT must adjust any transferred assets or liabilities to fair value at the transaction date and recognize the support effectively obtained as income or as a reduction of advisory fees. The effect of these transactions must be reported separately in the income statement and fully disclosed as a related party relationship.","concepts":["real estate investment trust","operating support from adviser","advisory fees","fair value adjustment on transfer","related party transactions","separate income statement presentation","debt forgiveness","compensating balances"],"categories":["Recognition","Presentation","Disclosure","Industry-specific"],"level":"intermediate","topic_title":"Other Expenses","sections":[{"number":"00","label":"00 Status","anchor":"00-status","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"720-974-00-1","para":"00-1","html":"<div class=\"asc-body\"><div class=\"norm-text\">The following table identifies the changes made to this Subtopic.</div><div class=\"norm-text\"><table class=\"asc-table\" id=\"SL51794569-203505\"><tr><td class=\"entry\"><strong class=\"ph b\">Paragraph</strong></td><td class=\"entry\"><strong class=\"ph b\">Action</strong></td><td class=\"entry\"><strong class=\"ph b\">Accounting Standards Update</strong></td><td class=\"entry\"><strong class=\"ph b\">Date</strong></td></tr><tr><td class=\"entry\"></td><td class=\"entry\"></td><td class=\"entry\"></td><td class=\"entry\"></td></tr><tr><td class=\"entry\"><a href=\"/glossary/r/#real-estate-investment-trust\" class=\"term\" title=\"Real estate investment trusts generally are formed as trusts, associations, or corporations. They employ equity capital, coupled with substantial amounts of debt financing, in making real estate loans and investments. Real estate investment trusts must distribute substantially all of their taxable income to their shareholders annually in order to retain their favorable tax status (that is, dividends paid are treated as deductions in arriving at taxable income).\"><span>Real Estate Investment Trust</span></a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"></td><td class=\"entry\"></td><td class=\"entry\"></td><td class=\"entry\"></td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-05-1\" class=\"xref\">974-720-05-1</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-15-1\" class=\"xref\">974-720-15-1</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-25-1\" class=\"xref\">974-720-25-1</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-25-2\" class=\"xref\">974-720-25-2</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-45-1\" class=\"xref\">974-720-45-1</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr><tr><td class=\"entry\"><a href=\"/asc/720/974/#720-974-50-1\" class=\"xref\">974-720-50-1</a></td><td class=\"entry\">Added</td><td class=\"entry\"><a href=\"/updates/asu-2014-09/\" class=\"xref\">Accounting Standards Update No. 2014-09</a></td><td class=\"entry\">05/28/2014</td></tr></table></div></div>","snippet":"The following table identifies the changes made to this Subtopic.\nParagraph | Action | Accounting Standards Update | Date |\n| | | |\nReal Estate Investment Trust | Added | Accounting Standards Update No. 2014-09 | 05/28/2…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8f839de8cb2b7e5a59455b047781c858563a9939743c0408653399617f89d68f","downloaded_from":"2026-09-10T01:13:54.098Z","last_downloaded_at":"2026-09-10T01:13:54.098Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478341","source_sha256":"cf1026f91bb645a4ef1841869a57829d43441ff0f1ad3c4399c631f0d8b0bcba"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:ff7e3590e163991899ef0a5d072974b4e7d939b03cb0978f34c561f656b121e7","downloaded_from":"2026-09-10T01:13:54.098Z","last_downloaded_at":"2026-09-10T01:13:54.098Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478341","source_sha256":"cf1026f91bb645a4ef1841869a57829d43441ff0f1ad3c4399c631f0d8b0bcba"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:84f7955154de8539ff5883ccb0f5dfa2fe07d32b366b96bf26c41f34ac870ab0","downloaded_from":"2026-09-10T01:13:54.098Z","last_downloaded_at":"2026-09-10T01:13:54.098Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478341","source_sha256":"cf1026f91bb645a4ef1841869a57829d43441ff0f1ad3c4399c631f0d8b0bcba"}},{"number":"05","label":"05 Overview and Background","anchor":"05-overview-and-background","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"720-974-05-1","para":"05-1","html":"<div class=\"asc-body\"><div class=\"norm-text\">This Subtopic addresses recognition, disclosure, and other presentation matters for <a href=\"/glossary/r/#real-estate-investment-trust\" class=\"term\" title=\"Real estate investment trusts generally are formed as trusts, associations, or corporations. They employ equity capital, coupled with substantial amounts of debt financing, in making real estate loans and investments. Real estate investment trusts must distribute substantially all of their taxable income to their shareholders annually in order to retain their favorable tax status (that is, dividends paid are treated as deductions in arriving at taxable income).\"><span>real estate investment trusts</span></a>.</div></div>","snippet":"This Subtopic addresses recognition, disclosure, and other presentation matters for real estate investment trusts.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1c6d7b01b8053ff272a54063a5191388d2db7ec59ddfd95745e24efc3874fee7","downloaded_from":"2026-09-10T01:13:56.431Z","last_downloaded_at":"2026-09-10T01:13:56.431Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477331","source_sha256":"bd42f9a48acc27bfb0417b81f97f524df7a072c7165fb5a185c9b8920b76ccb6"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5f7435bb883e40e09206f34920421a55c1bee3c872ce3275bbd819e2518cabb3","downloaded_from":"2026-09-10T01:13:56.431Z","last_downloaded_at":"2026-09-10T01:13:56.431Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477331","source_sha256":"bd42f9a48acc27bfb0417b81f97f524df7a072c7165fb5a185c9b8920b76ccb6"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b7a53a0cd91dde433125554fb878b14f940cfee174d49b539cee70fbeb7c3091","downloaded_from":"2026-09-10T01:13:56.431Z","last_downloaded_at":"2026-09-10T01:13:56.431Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477331","source_sha256":"bd42f9a48acc27bfb0417b81f97f524df7a072c7165fb5a185c9b8920b76ccb6"}},{"number":"15","label":"15 Scope and Scope Exceptions","anchor":"15-scope-and-scope-exceptions","is_sec":false,"groups":[{"block":null,"heading":"Overall Guidance","paragraphs":[{"citation":"720-974-15-1","para":"15-1","html":"<div class=\"asc-body\"><div class=\"norm-text\">This Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section <a altsource=\"GUID-D8DE7A33-B082-4C60-A04C-427F8169FE67.ditamap\" class=\"ditamap\">974-10-15</a>.</div></div>","snippet":"This Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section 974-10-15.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1c8c62ab5e03cc1a0efb6f2270686ea72d8c50c67fdc18fec80002a38a53230b","downloaded_from":"2026-09-10T01:13:58.077Z","last_downloaded_at":"2026-09-10T01:13:58.077Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478771","source_sha256":"595529be0f36e06f6e8ab8974fe71ba2536ca48d42ca53cd200e81c5840dca57"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:180361500beb653142d001a2d11fb6af14515b3d0526e915686d7088377cb56a","downloaded_from":"2026-09-10T01:13:58.077Z","last_downloaded_at":"2026-09-10T01:13:58.077Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478771","source_sha256":"595529be0f36e06f6e8ab8974fe71ba2536ca48d42ca53cd200e81c5840dca57"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:47f8942f852bced0ea72a221e52e9329e89276343f7c02d1074ba69d6ae5782a","downloaded_from":"2026-09-10T01:13:58.077Z","last_downloaded_at":"2026-09-10T01:13:58.077Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478771","source_sha256":"595529be0f36e06f6e8ab8974fe71ba2536ca48d42ca53cd200e81c5840dca57"}},{"number":"25","label":"25 Recognition","anchor":"25-recognition","is_sec":false,"groups":[{"block":null,"heading":"Operating Support of the Real Estate Investment Trust by the Adviser","paragraphs":[{"citation":"720-974-25-1","para":"25-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_2CCB8DD4-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Various methods are employed by advisers to ensure a certain return to the <a href=\"/glossary/r/#real-estate-investment-trust\" class=\"term\" title=\"Real estate investment trusts generally are formed as trusts, associations, or corporations. They employ equity capital, coupled with substantial amounts of debt financing, in making real estate loans and investments. Real estate investment trusts must distribute substantially all of their taxable income to their shareholders annually in order to retain their favorable tax status (that is, dividends paid are treated as deductions in arriving at taxable income).\"><span>real estate investment trust</span></a> for certain periods. Some of these methods are: </span></span><ol class=\"ol-norm\"><li class=\"li-norm\"><span class=\"linum\">a</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB8F52-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Purchasing a loan or a property at an amount in excess of fair value</span></span></div></li><li class=\"li-norm\"><span class=\"linum\">b</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB90A5-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Forgiving indebtedness</span></span></div></li><li class=\"li-norm\"><span class=\"linum\">c</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB91DA-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Reducing advisory fees</span></span></div></li><li class=\"li-norm\"><span class=\"linum\">d</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB92DD-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Providing required compensating balances</span></span></div></li><li class=\"li-norm\"><span class=\"linum\">e</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB93D9-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Making outright cash payments.</span></span></div></li></ol></div></div>","snippet":"Various methods are employed by advisers to ensure a certain return to the real estate investment trust for certain periods. Some of these methods are:\n(a) Purchasing a loan or a property at an amount in excess of fair v…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a86bd06f92b34d69b9dd4b53a1981c898ef4e440279a12b03e92c85f3ace2006","downloaded_from":"2026-09-10T01:14:03.031Z","last_downloaded_at":"2026-09-10T01:14:03.031Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478690","source_sha256":"ab1263d3ea38c8272a895f80a971bdd967663ad3ff335bc05d744810600f0f01"}},{"citation":"720-974-25-2","para":"25-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_2CCB94AD-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Accounting by a real estate investment trust for operating support from its adviser would include either of the following: </span></span><ol class=\"ol-norm\"><li class=\"li-norm\"><span class=\"linum\">a</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB9573-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Adjustment of any assets (or liabilities) which will be transferred between the entities to fair value as of the date of the transaction </span></span></div></li><li class=\"li-norm\"><span class=\"linum\">b</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_2CCB9670-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Recognition, as income or as a reduction of advisory fees, of the operating support effectively obtained. </span></span></div></li></ol></div></div>","snippet":"Accounting by a real estate investment trust for operating support from its adviser would include either of the following:\n(a) Adjustment of any assets (or liabilities) which will be transferred between the entities to f…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b50f126a56bfb58776d5eeef32c5638283691be56e93a7b6954236e9b5455ee3","downloaded_from":"2026-09-10T01:14:03.031Z","last_downloaded_at":"2026-09-10T01:14:03.031Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478690","source_sha256":"ab1263d3ea38c8272a895f80a971bdd967663ad3ff335bc05d744810600f0f01"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:061d03b54f17a481c6ed151aca430a1fd9db7b9a43729e393f357de5d06098af","downloaded_from":"2026-09-10T01:14:03.031Z","last_downloaded_at":"2026-09-10T01:14:03.031Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478690","source_sha256":"ab1263d3ea38c8272a895f80a971bdd967663ad3ff335bc05d744810600f0f01"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8ac1cc4bb6da0efd3b0251934fed1875bf4b7b9961467132c3345cda1511975a","downloaded_from":"2026-09-10T01:14:03.031Z","last_downloaded_at":"2026-09-10T01:14:03.031Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478690","source_sha256":"ab1263d3ea38c8272a895f80a971bdd967663ad3ff335bc05d744810600f0f01"}},{"number":"45","label":"45 Other Presentation Matters","anchor":"45-other-presentation-matters","is_sec":false,"groups":[{"block":null,"heading":"Operating Support of the Real Estate Investment Trust by the Adviser","paragraphs":[{"citation":"720-974-45-1","para":"45-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_2CDF2F75-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The effect of the operating support transactions described in paragraphs <a href=\"/asc/720/974/#720-974-25-2\" class=\"xref\">974-720-25-2</a> and <a href=\"/asc/720/974/#720-974-50-1\" class=\"xref\">974-720-50-1</a> shall be reported separately in the income statement. </span></span></div></div>","snippet":"The effect of the operating support transactions described in paragraphs 974-720-25-2 and 974-720-50-1 shall be reported separately in the income statement.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:673ca05d19ceba0fc3b21d8414433a3b94d32ef8c90f892da645b4d530f36a43","downloaded_from":"2026-09-10T01:14:05.868Z","last_downloaded_at":"2026-09-10T01:14:05.868Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478425","source_sha256":"88d434b4647bfdfd82a18b5acfc56b67fa77564d4d9f8d4a814bc90c5d65b210"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a842a55bbc8236f4bc2aa602ff5b36d872787b4e3e1310ea87a1a36f47c358c0","downloaded_from":"2026-09-10T01:14:05.868Z","last_downloaded_at":"2026-09-10T01:14:05.868Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478425","source_sha256":"88d434b4647bfdfd82a18b5acfc56b67fa77564d4d9f8d4a814bc90c5d65b210"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:de66f6a0507eafb8972d85d72f3919fabf8f67eee7db1a1c9af7579c774c9a21","downloaded_from":"2026-09-10T01:14:05.868Z","last_downloaded_at":"2026-09-10T01:14:05.868Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478425","source_sha256":"88d434b4647bfdfd82a18b5acfc56b67fa77564d4d9f8d4a814bc90c5d65b210"}},{"number":"50","label":"50 Disclosure","anchor":"50-disclosure","is_sec":false,"groups":[{"block":null,"heading":"Operating Support of the Real Estate Investment Trust by the Adviser","paragraphs":[{"citation":"720-974-50-1","para":"50-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_2CF0CF37-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">A <a href=\"/glossary/r/#real-estate-investment-trust\" class=\"term\" title=\"Real estate investment trusts generally are formed as trusts, associations, or corporations. They employ equity capital, coupled with substantial amounts of debt financing, in making real estate loans and investments. Real estate investment trusts must distribute substantially all of their taxable income to their shareholders annually in order to retain their favorable tax status (that is, dividends paid are treated as deductions in arriving at taxable income).\"><span>real estate investment trust</span></a> with operating support from its adviser shall make full disclosure of the relationship between the parties and the nature and amount of the transactions. </span></span></div></div>","snippet":"A real estate investment trust with operating support from its adviser shall make full disclosure of the relationship between the parties and the nature and amount of the transactions.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:3884f98323011b09ee5ba16904ddc5a738982a53ec2903caa0b004a102959558","downloaded_from":"2026-09-10T01:14:08.726Z","last_downloaded_at":"2026-09-10T01:14:08.726Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477728","source_sha256":"7f44d6a2bfd297bd0663b5b50066102edd2fe5b17c19f3c34877a967b083876b"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8c8a85f6ded0690b0d211f97c4cc033968c76d5fd1e2b9cf5a970d7d818b3efc","downloaded_from":"2026-09-10T01:14:08.726Z","last_downloaded_at":"2026-09-10T01:14:08.726Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477728","source_sha256":"7f44d6a2bfd297bd0663b5b50066102edd2fe5b17c19f3c34877a967b083876b"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1b19e524c3e759e8a9ec5ef8879e36a817107ff3bfd4b74205cc534f78e640ac","downloaded_from":"2026-09-10T01:14:08.726Z","last_downloaded_at":"2026-09-10T01:14:08.726Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477728","source_sha256":"7f44d6a2bfd297bd0663b5b50066102edd2fe5b17c19f3c34877a967b083876b"}}],"enrichment":{"summary":"This subtopic governs how a real estate investment trust (REIT) accounts for \"operating support\" received from its external adviser — arrangements designed to guarantee the REIT a certain return, such as buying loans or property above fair value, debt forgiveness, advisory fee reductions, compensating balances, or cash payments. The REIT must adjust any transferred assets or liabilities to fair value at the transaction date and recognize the support effectively obtained as income or as a reduction of advisory fees. The effect of these transactions must be reported separately in the income statement and fully disclosed as a related party relationship.","key_points":["Adviser support methods that can produce a guaranteed return to the REIT include purchasing a loan or property above fair value, forgiving indebtedness, reducing advisory fees, providing compensating balances, and outright cash payments (720-974-25-1).","Accounting for operating support requires adjusting assets or liabilities transferred between the REIT and its adviser to fair value as of the transaction date (720-974-25-2(a)).","Alternatively (or additionally), the operating support effectively obtained is recognized as income or as a reduction of advisory fees (720-974-25-2(b)).","The effect of operating support transactions must be reported separately in the income statement (720-974-45-1).","A REIT receiving operating support must make full disclosure of the relationship between the parties and the nature and amount of the transactions (720-974-50-1).","Scope follows the Overall REIT Subtopic, Section 974-10-15 (720-974-15-1)."],"categories":["Recognition","Presentation","Disclosure","Industry-specific"],"audience_level":"intermediate","student_note":"The point is substance over form: an adviser cannot dress up a subsidy as an ordinary purchase or fee arrangement — the excess over fair value is income (or a fee reduction) that must be shown separately, not buried in operating results. A common misunderstanding is treating an above-fair-value asset purchase by the adviser as a normal sale rather than recognizing support income and writing the transferred asset to fair value.","related_topics":["974-10","974-720","850","820","946"],"key_concepts":["real estate investment trust","operating support from adviser","advisory fees","fair value adjustment on transfer","related party transactions","separate income statement presentation","debt forgiveness","compensating balances"],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:dc83d895b832bf7aa54dbc182fe8c1067e9a0222eeef322c3e604d6d5172ab46","downloaded_from":"2026-09-10T01:13:54.098Z","last_downloaded_at":"2026-09-10T01:14:12.248Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval 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Ventures","score":0.762,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2a2ca9cacdded6c3d7b7a68e4aa49d77890bfeab60224e3023f2db4e3569d086","downloaded_from":"2026-09-09T23:43:04.021Z","last_downloaded_at":"2026-09-09T23:43:16.668Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"842-974","title":"Real Estate—Real Estate Investment Trusts","topic_title":"Leases","score":0.7581,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:82af6aa79a567ecab27ca49a4b5f0840ac65103da8eb7bfc11d92e479b2826ae","downloaded_from":"2026-09-10T01:58:41.636Z","last_downloaded_at":"2026-09-10T01:58:53.121Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"810-974","title":"Real Estate—Real Estate Investment Trusts","topic_title":"Consolidation","score":0.7554,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d787ce94aec42f0cf81c7816987a8adad48d8c7420dcfeee39c20e4fefc1ed9b","downloaded_from":"2026-09-10T01:33:51.197Z","last_downloaded_at":"2026-09-10T01:34:06.992Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"835-974","title":"Real Estate—Real Estate Investment 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