Form 4: CIM Real Estate Finance Trust CFO Nathan DeBacker Reports Vesting of Restricted Stock Units

Nathan David DeBacker, Chief Financial Officer and Treasurer of CIM Real Estate Finance Trust, Inc., reported the vesting of 9,578.543 restricted stock units, resulting in the acquisition of 4,789.272 shares of common stock and an equivalent cash value.

Summary

• Nathan David DeBacker, Chief Financial Officer and Treasurer of CIM Real Estate Finance Trust, Inc., reported a transaction on June 30, 2025.
• This transaction involved the vesting of 9,578.543 restricted stock units (RSUs) that were originally granted on November 12, 2024, under the Issuer's 2024 Manager Equity Incentive Plan.
• Upon vesting, each RSU was settled 50% in the Issuer's common stock and 50% in the cash value thereof.
• As a result, Mr. DeBacker acquired 4,789.272 shares of CIM Real Estate Finance Trust, Inc. common stock.
• Following this transaction, Mr. DeBacker beneficially owns 94,449.604 derivative securities, primarily restricted stock units, which include future vesting tranches from grants on January 9, 2024, November 12, 2024, and April 14, 2025.

Sentiment

Score: 7

Explanation: The document reports a routine, pre-scheduled executive compensation event (RSU vesting). This is generally positive as it indicates executive retention and alignment with shareholder interests, without introducing new risks or negative financial news.

Positives

• Nathan David DeBacker, CFO and Treasurer, received compensation through the vesting of 9,578.543 restricted stock units.
• The vesting resulted in the acquisition of 4,789.272 shares of common stock, increasing the executive's direct ownership in the company.
• The settlement structure, 50% stock and 50% cash, provides both equity alignment and liquidity to the executive.

Future Outlook

Remaining 19,157.087 restricted stock units from the November 12, 2024 grant will vest in equal annual installments on June 30, 2026, and June 30, 2027, settling 50% in common stock and 50% in cash. An additional 36,978.341 restricted stock units granted on January 9, 2024, will vest in equal annual installments on December 15, 2025, and December 15, 2026. A further 38,314.176 restricted stock units granted on April 14, 2025, will vest in three equal annual installments beginning April 15, 2026.

Management Comments

• Nathan David DeBacker is identified as the Chief Financial Officer and Treasurer.
• The transaction is a result of the vesting of restricted stock units granted under the Issuer's 2024 Manager Equity Incentive Plan.

Industry Context

The vesting of restricted stock units is a common form of executive compensation in the financial and real estate industries, aligning management's interests with shareholder value over time. This particular filing reflects a routine compensation event for a key executive at a real estate finance trust.

Comparison to Industry Standards

• The use of Restricted Stock Units (RSUs) as a component of executive compensation is a standard practice across various industries, including real estate finance.
• The vesting schedule, typically over several years with annual installments, is consistent with common industry practices designed to promote long-term retention and performance alignment.
• The 50% stock and 50% cash settlement for vested RSUs is a common hybrid approach, balancing equity ownership with liquidity for the executive, seen in many public companies.

Related Party Transactions

• The transaction involves the vesting of equity awards to a key executive (Chief Financial Officer and Treasurer) under an approved company equity incentive plan, which is a standard form of related party compensation.

Stakeholder Impact

• Shareholders: Minor dilution from the issuance of new shares (4,789.272 shares) as part of the RSU settlement, but also potential benefit from continued executive alignment and retention.
• Employees: Reflects the company's ongoing executive compensation practices, which may influence broader employee incentive programs.
• Executive (Nathan David DeBacker): Receives compensation in the form of company stock and cash, increasing personal wealth and direct stake in the company.

Next Steps

• Future vesting of 19,157.087 restricted stock units on June 30, 2026, and June 30, 2027.
• Future vesting of 36,978.341 restricted stock units on December 15, 2025, and December 15, 2026.
• Future vesting of 38,314.176 restricted stock units in three equal annual installments beginning April 15, 2026.

Key Dates

Keywords

SEC Form 4, Insider transaction, Restricted Stock Units, RSU vesting, Equity compensation, CIM Real Estate Finance Trust, Nathan David DeBacker, Common stock, Manager Equity Incentive Plan, Executive compensation