Cantor Fitzgerald Income Trust, Inc.

Principal Executive Offices

The Company’s principal executive and administrative offices are located in leased space at 110 East 59th Street, New York, New York 10022. The Company considers these facilities to be suitable and adequate for the management and operations of the Company’s business.

• Pandemics or other health crises may adversely affect the Company’s tenants’ financial condition and the profitability of the Company’s properties.
• Unfavorable market, economic and real estate conditions may have a material adverse effect on the Company’s results of operations, financial condition and ability to pay distributions to the Company’s shareholders.
• Leases with retail properties’ tenants may restrict the Company from re-leasing space.
• The Company may invest in healthcare properties. Adverse trends in healthcare provider operations may negatively affect the Company’s lease revenues and the Company’s ability to make distributions to the Company’s stockholders.
• The Company or its borrowers may be unable to renew leases, lease vacant space or re-lease space as leases expire, which could adversely affect the Company’s financial condition, results of operations, cash flow, cash available for distribution and the Company’s ability to satisfy the Company’s debt service obligations.
• Changing circumstances and market conditions, some of which may be beyond the Company's control, could impair the Company's ability to access the Company's existing cash and cash equivalents and investments.
• High levels of unemployment could adversely affect the occupancy and rental rates of any multifamily residential properties the Company acquire, with high quality multifamily communities suffering even more severely.
• The Company may recognize substantial impairment charges on the Company’s properties.
• The Company has no established investment criteria limiting the geographic or industry concentration of the Company’s investments. If the Company’s investments are concentrated in an area or asset class that experiences adverse economic conditions, the Company’s investments may lose value and the Company may experience losses.
• The Company may be adversely affected by trends in office real estate, including work from home trends.
• The Company has no established investment criteria limiting the size of each investment the Company makes. If the Company has an investment that represents a material percentage of the Company’s assets and that investment experiences a loss, the value of the Company’s stockholders’ investment in the Company could be significantly diminished.
• Industry concentration of the Company’s tenants or the Company’s investments may make us particularly susceptible to adverse economic developments in these industries.
• The Company’s joint venture partners could take actions that decrease the value of an investment to the Company and lower the Company’s stockholders’ overall potential return.
• If the Company enters into long-term leases with tenants, those leases may not result in market rental rates over time, which could adversely affect the Company’s revenues and ability to make distributions.
• Highly leveraged tenants may have a higher possibility of filing for bankruptcy or insolvency.
• The Company may incur costs to finish build-to-suit properties.
• The Company’s operating results may be negatively affected by potential development and construction delays and resultant increased costs and risks.
• Lease agreements may have specific provisions that create risks to the Company’s business and may adversely affect the Company.
• Environmentally hazardous conditions may adversely affect the Company’s operating results.
• Costs of complying with environmental laws and regulations may adversely affect the Company’s income and the cash available for any distributions.
• The costs associated with complying with the Americans with Disabilities Act may reduce the amount of cash available for distribution.
• The Company may not have funding for future tenant improvements which may adversely affect the value of the Company’s assets, the Company’s results of operations and returns to the Company’s stockholders.
• The Company’s properties are subject to property and other taxes that may increase in the future, which could adversely affect the Company’s cash flow.
• The Company depends on the availability of public utilities and services, especially for water and electric power. Any reduction, interruption or cancellation of these services may adversely affect the Company.
• The Company’s operating expenses may increase in the future and to the extent such increases cannot be passed on to the Company’s tenants, the Company’s cash flow and the Company’s operating results would decrease.
• Retail properties depend on anchor tenants to attract shoppers and could be adversely affected by the loss of a key anchor tenant.
• The Company’s industrial tenants may be adversely affected by a decline in manufacturing activity in the United States.
• Short-term multifamily community leases associated with any multifamily residential properties the Company acquires may expose us to the effects of declining market rent and could adversely impact the Company’s ability to make cash distributions to you.
• The hospitality or leisure industry is seasonal.
• The hospitality or leisure market is highly competitive and generally subject to greater volatility than the Company’s other market segments.
• If the Company invests in student housing, the Company’s results of operations will be subject to risks inherent in the student housing industry, including a concentrated lease-up period, seasonal cash flows and a potential decrease in enrollment.
• The Company faces competition for the investments the Company makes.
• Valuations that the Company obtains may include leases in place on the property being appraised, and if the leases terminate, the value of the property may become significantly lower.
• The use of, or inability to use, artificial intelligence by the Company, the Company’s tenants, and the Company’s investors presents risks and challenges that may adversely impact the Company’s business and operating results or the business and operating results of the Company’s tenants and vendors or may adversely impact the requirements and demand for properties.
• Risks Related to The Company’s Commercial Real Estate Debt and Securities Investments
• The commercial real estate debt the Company may originate and invest in and the commercial real estate loans underlying the commercial real estate securities the Company invests in could be subject to delinquency, foreclosure and loss, which could result in losses to the Company.
• The B Notes in which the Company may invest may be subject to additional risks relating to the privately negotiated structure and terms of the transaction, which may result in losses to the Company.
• The mezzanine loans which the Company may originate or in which the Company may invest would involve greater risks of loss than senior loans secured by the same properties.
• Transitional mortgage loans may involve a greater risk of loss than conventional mortgage loans.
• Investment in non-conforming and non-investment grade loans may involve increased risk of loss.
• The Company’s investments in subordinated loans and subordinated commercial mortgage-backed securities may be subject to losses.
• The quality of the CMBS is dependent on the credit quality and selection of the mortgages for each issuance.
• There are certain risks associated with the servicers of commercial real estate loans underlying CMBS and other investments.
• Construction loans involve a high risk of loss if the Company is unsuccessful in raising the unfunded portion of the loan or if a borrower otherwise fails to complete the construction of a project.
• Risks of cost overruns and non-completion of the construction or renovation of the properties underlying loans the Company makes or acquires may materially and adversely affect the Company’s investment.
• Investments that are not United States government insured involve risk of loss.
• The commercial mortgage-backed securities in which the Company may invest are subject to the risks of the mortgage securities market as a whole and risks of the securitization process.
• Interest rate fluctuations could increase the Company’s financing costs and reduce the Company’s ability to generate income on the Company’s investments, either of which could lead to a significant decrease in the Company’s results of operations and cash flows and the market value of the Company’s investments.
• The phase-out of LIBOR and transition to an Alternative Benchmark Interest Rate could have adverse effects.
• Prepayments can adversely affect the yields on the Company’s investments.
• If credit spreads widen before the Company obtains long-term financing for the Company’s assets, the value of the Company’s assets may suffer.
• The Company’s investments in debt securities and preferred and common equity securities will be subject to the specific risks relating to the particular issuer of the securities and may involve greater risk of loss than secured debt financings.
• The Company’s dependence on the management of other entities in which the Company invests may adversely affect the Company’s business.
• Many of the Company’s investments will be illiquid and the Company may not be able to vary the Company’s portfolio in response to changes in economic and other conditions.
• Some of the Company’s investments will be carried at an estimated fair value and the Company will be required to disclose the fair value of other investments monthly. The estimated fair value will be determined by the Advisor and, as a result, there may be uncertainty as to the value of these investments.
• The Company’s due diligence may not reveal all of a borrower’s liabilities and may not reveal other weaknesses in its business.
• The Company may depend on debtors for the Company’s revenue, and, accordingly, the Company’s revenue and the Company’s ability to make distributions to the Company’s stockholders will be dependent upon the success and economic viability of such debtors.
• Delays in restructuring or liquidating non-performing debt-related securities could reduce the return on the Company’s stockholders’ investment.
• If the Company forecloses on the collateral that will secure the Company’s investments in loans receivable, the Company may incur significant liabilities for deferred repairs and maintenance, property taxes and other expenses, which would reduce cash available for distribution to stockholders.
• Failure to obtain or maintain required approvals and/or state licenses necessary to operate the Company’s mortgage-related activities may adversely impact the Company’s investment strategy.
• Risks Related to The Company’s Financing Strategy
• The Company will incur debt to finance the Company’s operations, which may subject the Company to an increased risk of loss.
• Hedging against interest rate exposure may adversely affect the Company’s earnings, limit the Company’s gains or result in losses, which could adversely affect cash available for distribution to the Company’s stockholders.
• Hedging instruments often are not traded on regulated exchanges, guaranteed by an exchange or its clearing house, or regulated by any U.S. or foreign governmental authorities and involve risks and costs.
• Changes in laws or regulations governing the Company's operations, changes in the interpretation thereof or newly enacted laws or regulations and any failure by the Company to comply with these laws or regulations, could require changes to certain of the Company's business practices, negatively impact the Company's operations, cash flow or financial condition, impose additional costs on the Company, subject the Company to increased competition or otherwise adversely affect the Company's business.
• The Company’s use of borrowings to partially fund acquisitions and improvements on properties could result in foreclosures and unexpected debt service expenses upon refinancing, both of which could have an adverse impact on the Company’s operations and cash flow.
• The Company has broad authority to incur borrowings and high levels of borrowings could hinder the Company’s ability to make distributions and could decrease the value of the Company’s stockholders’ investment.
• Lenders may require the Company to enter into restrictive covenants relating to the Company’s operations, which could limit the Company’s ability to make distributions.