What is your location (city/state)?

Watering routine if any?

Type of grass seed, (Fescue, Bluegrass, Rye, etc.)? and mix percentage? - should be on the bag.

Can you take a picture from further back with the trees and other stuff in it please? How many hours of sun per day in this area?

Thanks hawksster - I'm in Holcombe, WI 54745. I have sprinkler system that runs 3 times a week. Seems like the burnt part is the area that the sunlight actually seeps through the trees, but not entirely sure. This area gets morning sunlight but not sure how many hours exactly due to all the shade. I've attached photos with more broad view, one from above looking down and one from below looking up. The other photo is the grass seed breakdown. Appreciate any suggestions!!

At the beginning you might have gotten some rye and Kentucky bluegrass to germinate, but with your shade, those would certainly be dying out after the initial germination. Spring seeding in general is a hazardous thing to do. Between weed pressure and summer heat, spring seeded grass is doomed. But in WI I would not expect the summer heat to be a big issue. Because of the shade the only grass you can use is a shade tolerant fescue like the one in your mix. In the future stick with shade type grass mixes.

You are watering far too frequently. You should be watering deeply more like once every 2-3 weeks in the summer. The mushrooms are caused by the excess watering, not the trees. Here's more on that topic.

Watering: Deep and infrequent is the mantra for watering. This is for all turf grass all over the place. Deep means 1 inch all at one time. Put some cat food or tuna cans around the yard, and time how long it takes your sprinkler(s) to fill all the cans. Memorize that time. That will be the time you water from now on. My hose, sprinkler and water pressure takes 8 full hours to fill the cans. Your time will likely be less. I like gentle watering. As for watering frequency, that depends on the daytime air temperature. With temps in the 90s, deep water once per week. With temps in the 80s, deep water once every 2 weeks. With temps in the 70s, deep water once every 3 weeks. With temps below 70, deep water once a month. Note that you have to keep up with quickly changing temps in the spring and fall. This deep and infrequent schedule works in Phoenix and in Vermont, so it should work for you. The reason for deep and infrequent is to grow deeper, more drought resistant roots and to allow the soil to dry completely at the surface for several days before watering again. If it rains, reset your calendar to account for the rainfall.

thank you for your suggestions dchall