Form 4: Director Krasnoff Boosts Stake in FS Credit REIT

Jeffrey P. Krasnoff, a director of FS Credit Real Estate Income Trust, Inc., reported an acquisition of Class I Restricted Stock Units and existing beneficial ownership of common stock.

Summary

• Jeffrey P. Krasnoff, a director of FS Credit Real Estate Income Trust, Inc., reported his beneficial ownership and recent acquisition of securities.
• He indirectly owns 476,183.442 shares of Class I Common Stock through Rialto Capital Management, LLC.
• He also indirectly owns 22,702.351 shares of Class I Common Stock and 38,079.649 shares of Class F Common Stock through JTK RCM, LLC, which includes shares from reinvested distributions.
• On January 13, 2026, Krasnoff acquired 156,595.816 Class I Restricted Stock Units (RSUs).
• These RSUs are part of an administrative services fee paid by the Company to its Adviser, equal to 1.0% of the Company's net asset value per annum, payable quarterly.
• The administrative services fee is split 50/50 between the Adviser and Rialto Capital Management LLC.
• The RSUs are subject to time-based vesting and will be exchanged for Class I Common Stock.
• His total indirect beneficial ownership of derivative securities (Class I RSUs) following this transaction is 1,890,150.512 through Rialto Capital Management, LLC.
• Krasnoff disclaims beneficial ownership of shares held by Rialto Capital Management, LLC that exceed his pecuniary interest.

Sentiment

Score: 6

Explanation: Slightly positive due to the acquisition of RSUs, which aligns director interests with shareholders, but it's a routine compensation event rather than a significant new investment.

Positives

• Director Jeffrey P. Krasnoff acquired 156,595.816 Class I Restricted Stock Units, aligning his interests with shareholders.
• The RSUs are part of a compensation structure (administrative services fee) that ties management incentives to the company's net asset value.

Risks

• The value of the Class I Restricted Stock Units and common stock holdings is subject to market fluctuations and the performance of FS Credit Real Estate Income Trust, Inc.
• Vesting of RSUs is time-based, meaning the director's full ownership is contingent on continued service.

Future Outlook

The acquired Class I Restricted Stock Units are subject to time-based vesting and will be exchanged for Class I Common Stock in the future, aligning the director's long-term interests with the company's performance.

Management Comments

• The reporting person disclaims beneficial ownership of any shares held by Rialto Capital Management, LLC that exceed his pecuniary interest therein, and the inclusion of these shares in this report shall not be deemed an admission of beneficial ownership of all of the reported shares for purposes of Section 16 or for any other purpose.

Industry Context

This Form 4 filing reflects a routine insider transaction for a director of a real estate income trust, a common occurrence in the financial industry where executive compensation often includes equity-based awards to align management with shareholder interests.

Corporate Governance

Related Party Transactions

• The administrative services fee is paid to the Adviser and split 50/50 with Rialto Capital Management LLC, where the reporting person (Jeffrey P. Krasnoff) has an interest.
• JTK RCM, LLC, through which Krasnoff indirectly holds common stock, is jointly owned by the reporting person and his spouse.

Stakeholder Impact

• Shareholders: Increased alignment of a director's interests with shareholders through equity ownership.
• Management/Adviser: Compensation structure includes equity, tying their financial outcomes to the company's performance.

Next Steps

• Vesting of Class I Restricted Stock Units over time, leading to their exchange for Class I Common Stock.

Key Dates

Keywords

FS Credit Real Estate Income Trust, Jeffrey P. Krasnoff, Form 4, Beneficial Ownership, Restricted Stock Units, RSUs, Director, Common Stock, Real Estate Income Trust, SEC Filing, Insider Trading Report