Operating Leases

3 Months Ended

Oct. 31, 2025

5. Operating Leases:

Lessor

The Company leases office and retail space to tenants under operating leases in commercial buildings. Most rental terms range from approximately 5 to 49 years. The leases provide for the payment of fixed base rent payable monthly in advance as well as reimbursements of real estate taxes and common area costs. The Company has elected to account for lease revenues and the reimbursements of common area costs as a single component included as rental income in our consolidated statements of operations.

The following table disaggregates the Company’s revenues by lease and non-lease components:


	Three Months Ended October 31,
	2025		2024
Base rent - fixed	$	4,763,680	$	5,087,276
Reimbursements of common area costs		152,889		150,732
Non-lease components (real estate taxes)		334,845		301,121
Rental income	$	5,251,414	$	5,539,129

Future minimum non-cancelable rental income for leases with initial or remaining terms of one year or more is as follows:


	As of October 31, 2025
Fiscal Year	Company Owned Property		Leased Property		Total
For the remainder of 2026	$	7,697,580	$	4,014,887	$	11,712,467
2027		8,486,631		4,972,934		13,459,565
2028		7,605,023		4,926,445		12,531,468
2029		6,842,429		3,986,809		10,829,238
2030		5,192,158		2,337,182		7,529,340
2031		3,846,493		1,632,802		5,479,295
After 2031		13,517,142		6,420,552		19,937,694
Total	$	53,187,456	$	28,291,611	$	81,479,067

Lessee

The Company’s real estate operations include leased properties under long-term, non-cancelable operating lease agreements. The leases expire at various dates through 2073, including options to extend or terminate the lease when it is reasonably certain the Company will exercise that option. Certain leases provide for increases in future minimum annual rental payments as defined in the lease agreements. As of October 31, 2025, our operating leases had a weighted average remaining lease term of 15.90 years and a weighted average discount rate of 3.76%.

In August 2025, the Company exercised the second of four five-year option periods with its landlord to extend the Jamaica Avenue at 169th Street, Jamaica, New York property lease beyond May 31, 2035 for a total of five years through May 31, 2040. The effect of the five-year lease extension on the measurement of operating right-of-use assets, liabilities, and monthly rent expense follows:


	Jamaica Avenue at 169th Street
	Increase in		Increase in		Decrease in
	Operating		Operating		Monthly
	Lease Right-		Lease		Rent
	of-Use Asset		Liability		Expense
Remeasurement change resulting from August 2025 lease extension	$	1,575,690	$	1,575,690	$	(14,766	)

As of October 31, 2025, it is not reasonably certain the remaining two options to extend the lease from May 31, 2040 to May 31, 2050 will be exercised by the Company. The landlord is Weinstein Enterprises, Inc., an affiliated company principally owned by the Chairman of the Board of Directors who also principally owns the Company.

Sublease rental income from the Company’s real estate operations for leased real property exceeded operating lease costs as follows:

Schedule of sublease rental income
	Three Months Ended October 31,
	2025			2024
Sublease rental income	$	1,873,637		$	1,821,654
Operating lease costs		(705,166	)		(749,125	)
Excess of sublease income over lease cost	$	1,168,471		$	1,072,529


	Three Months Ended October 31,
	2025		2024
Other information:
Operating cash flows from operating leases	$	544,894	$	540,300

The following is a maturity analysis of the annual undiscounted cash flows of the operating lease liabilities as of October 31, 2025:


Period Ended October 31,	Operating Leases
2026	$	2,272,955
2027		2,333,737
2028		2,354,249
2029		2,375,443
2030		2,152,730
Thereafter		22,039,738
Total undiscounted cash flows		33,528,852
Less: present value discount		(8,229,013	)
Total Lease Liabilities	$	25,299,839