XML 28 R13.htm IDEA: XBRL DOCUMENT v3.8.0.1
SALES OF PROPERTIES AND IMPAIRMENT LOSS
 12 Months Ended
Dec. 31, 2017
SALES OF PROPERTIES AND IMPAIRMENT LOSS  
SALES OF PROPERTIES AND IMPAIRMENT LOSS

 

NOTE 5—SALES OF PROPERTIES AND IMPAIRMENT LOSS

Sales of Properties

        The following chart details the Company's sales of real estate during 2017 and 2016 (amounts in thousands):

                                                                                                                                                                                    

Description of Property

 

Date Sold

 

Gross
Sales Price

 

Gain on Sale of
Real Estate, Net

 

Retail property,

 

 

 

 

 

 

 

 

 

Greenwood Village, Colorado

 

May 8, 2017

 

$
9,500

 

$
6,568

 

Retail property,

 

 

 

 

 

 

 

 

 

Kansas City, Missouri(a)

 

July 14, 2017

 

 
10,250

 

 
2,180

 

Retail property,

 

 

 

 

 

 

 

 

 

Niles, Illinois

 

August 31, 2017

 

 
5,000

 

 
1,089

 

Restaurant property,

 

 

 

 

 

 

 

 

 

Ann Arbor, Michigan(a)(b)

 

November 14, 2017

 

 
2,300

 

 

—

 

​

​

​

​

​  

​  

​

​  

​  

​

Totals for 2017

 

 

 

$
27,050

 

$
9,837

 

​

​

​

​

​  

​  

​

​  

​  

​

​

​

​

​

​  

​  

​

​  

​  

​

Portfolio of eight retail properties,

 

 

 

 

 

 

 

 

 

Louisiana and Mississippi

 

February 1, 2016

 

$
13,750

 

$
787

 

Retail property,

 

 

 

 

 

 

 

 

 

Killeen, Texas

 

May 19, 2016

 

 
3,100

 

 
980

 

Land,

 

 

 

 

 

 

 

 

 

Sandy Springs, Georgia

 

June 15, 2016

 

 
8,858

 

 
2,331

 

Industrial property,

 

 

 

 

 

 

 

 

 

Tomlinson, Pennsylvania

 

June 30, 2016

 

 
14,800

 

 
5,660

 

Retail property,

 

 

 

 

 

 

 

 

 

Island Park, NY

 

December 22, 2016

 

 
2,702

 

 
213

 

​

​

​

​

​  

​  

​

​  

​  

​

 

 

 

 

 
43,210

 

 
9,971

 

Partial condemnation of land,

 

 

 

 

 

 

 

 

 

Greenwood Village, Colorado(c)

 

July 5, 2016

 

 
153

 

 
116

 

​

​

​

​

​  

​  

​

​  

​  

​

Totals for 2016

 

 

 

$
43,363

 

$
10,087

 

​

​

​

​

​  

​  

​

​  

​  

​

​

​

​

​

​  

​  

​

​  

​  

​

 

 

 

 

(a)          

See Note 11 for information on the payoff of the mortgage on this property and the early termination of the interest rate swap derivative.

(b)          

See "—Impairment Loss" for additional information.

(c)          

Represents amount received from the Colorado Department of Transportation ("CDOT"), as a result of a partial condemnation of land and easements obtained by CDOT.

        In January 2015, a consolidated joint venture of the Company sold a property located in Cherry Hill, New Jersey for $16,025,000, net of closing costs. The sale resulted in a gain of $5,392,000, recorded as Gain on sale of real estate, net, for the year ended December 31, 2015. In connection with the sale, the Company paid off the $7,376,000 mortgage balance on this property and incurred a $472,000 swap termination fee (included in Prepayment costs on debt). The non-controlling interest's share of income from the transaction was $1,320,000 and is included in net income attributable to non-controlling interests.

Sale of Property Subsequent to December 31, 2017

        On January 30, 2018, the Company sold a property located in Fort Bend, Texas and owned by a consolidated joint venture in which the Company held an 85% interest, for approximately $9,000,000, net of closing costs, and paid off the $4,400,000 mortgage. This property accounted for less than 1.2% of the Company's rental income, net, during 2017, 2016 and 2015. The Company anticipates recognizing a gain of approximately $2,400,000 during the three months ending March 31, 2018. The non-controlling interest's share of the gain from the transaction will be approximately $800,000.

Impairment Loss

        In November 2017, the Company sold its property formerly tenanted by Joe's Crab Shack, located in Ann Arbor, Michigan. As the sales price was less than the net book value, the Company determined that the property was impaired and recorded an impairment loss of $153,000, representing the difference, at September 30, 2017, between the net sales price and the net book value. The impairment loss is included in the accompanying consolidated statement of income for the year ended December 31, 2017.