XML 38 R11.htm IDEA: XBRL DOCUMENT
v3.25.3

Real Estate Dispositions, Held for Sale and Impairment Charges | 9 Months Ended
--- | ---
Sep. 30, 2025
Real Estate [Abstract] |
Real Estate Dispositions, Held for Sale and Impairment Charges | Real Estate Dispositions, Held for Sale and Impairment Charges Real Estate Dispositions We sold two properties and completed the sale transaction related to one property during the nine months ended September 30, 2025 and sold six properties during the nine months ended September 30, 2024. During the nine months ended September 30, 2025, we continued to execute our capital recycling program, whereby we sell properties outside of our core markets and redeploy proceeds to either fund property acquisitions in our target secondary growth markets, or repay outstanding debt. We expect to continue to execute our capital recycling plan and sell non-core properties as reasonable disposition opportunities become available. During the nine months ended September 30, 2025, we sold two non- core properties, located in Hickory, North Carolina and Oklahoma City, Oklahoma, which is summarized in the table below (dollars in thousands):
Aggregate Square Footage Sold |  | Aggregate Sales Price |  | Aggregate Sales Costs |  | Aggregate Impairment Charge for the Nine Months Ended September 30, 2025 |  | Aggregate Gain on Sale of Real Estate, net
116,000 |  |  | $ | 8,025 |  |  | $ | 487 |  |  | $ | 9 |  |  | $ | 367 |
On April 30, 2025, we completed the transaction to sell our 676,031 square foot property in Tifton, Georgia for $18.5 million, incurring $0.3 million in closing costs, which are included in other expense in the condensed consolidated statements of operations and comprehensive income for the three and nine months ended September 30, 2025. During the year ended December 31, 2024, we recorded a sales-type lease receivable on this property and derecognized the carrying value of this property, recognizing a $3.9 million selling profit from sales-type lease, net, that was included in the gain on sale of real estate, net, in the consolidated statement of operations. Our dispositions during the nine months ended September 30, 2025 were not classified as discontinued operations because they did not represent a strategic shift in operations, nor will they have a major effect on our operations and financial results. Accordingly, the operating results of these properties are included within continuing operations for all periods reported. The table below summarizes the components of operating income from the real estate and related assets disposed of during the three and nine months ended September 30, 2025 and 2024 (dollars in thousands):
|  | For the three months ended September 30, |  | For the nine months ended September 30, |
|  | 2025 |  | 2024 |  | 2025 |  | 2024 |
Operating revenue |  | $ | — |  |  | $ | 279 |  |  | $ | 291 |  |  | $ | 995 |  |
Operating expense |  | (2) |  |  | 130 |  |  | 184 |  | (2) | 1,190 |  |
Other income (expense), net |  | (10) |  | (1) | — |  |  | 367 |  | (3) | — |  |
Income (expense) from real estate and related assets sold |  | $ | (8) |  |  | $ | 149 |  |  | $ | 474 |  |  | $ | (195) |  |
(1)Includes a $0.01 million loss on sale of real estate, net, from one property sale. (2)Includes a $0.01 million impairment charge on one property. (3)Includes a $0.4 million gain on sale of real estate, net, from two property sales. Real Estate Held for Sale At September 30, 2025, we did not have any properties classified as held for sale. At December 31, 2024, we had two properties classified as held for sale, located in Tifton, Georgia and Hickory, North Carolina, and which have been sold as described above. The table below summarizes the components of the assets and liabilities held for sale at December 31, 2024, reflected on the accompanying condensed consolidated balance sheets (dollars in thousands):
|  |  |  | December 31, 2024
Assets Held for Sale |  |  |  |
Total real estate held for sale |  |  |  | $ | 4,337 |
Lease intangibles, net |  |  |  | 26 |
Total Assets Held for Sale |  |  |  | $ | 4,363 |
Impairment Charges We evaluated our portfolio for triggering events to determine if any of our held and used assets were impaired during the nine months ended September 30, 2025 and did not recognize an impairment charge. We recognized an impairment charge of $0.01 million on one held for sale asset, located in Oklahoma City, Oklahoma, during the nine months ended September 30, 2025. In performing our held for sale assessment, the carrying value of this asset was above the fair value, less costs of sale. As a result, we impaired this property to equal the fair market value less costs of sale. We did not recognize an impairment charge on our held and used assets during the nine months ended September 30, 2024. We recognized impairment charges of $5.0 million on two held for sale assets, located in Richardson, Texas and Fridley, Minnesota, during the nine months ended September 30, 2024. In performing our held for sale assessments, the carrying value of these assets were above the fair value, less costs of sale. As a result, we impaired these properties to equal the fair market value less costs of sale.

X
- References No definition available. + Details
Name: | us-gaap_RealEstateAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for certain real estate investment financial statements, real estate investment trust operating support agreements, real estate owned, retail land sales, time share transactions, as well as other real estate related disclosures. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 974 -SubTopic 720 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477728/974-720-50-1 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 976 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/976/tableOfContent Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 978 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/978/tableOfContent Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 970 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/970/tableOfContent Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 972 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/972/tableOfContent Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 974 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/974/tableOfContent + Details
Name: | us-gaap_RealEstateDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration