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Property and Equipment, net
 9 Months Ended
Sep. 30, 2025
Property, Plant and Equipment, Net [Abstract]  
Property and Equipment, net Note 9 – Property and Equipment, net

Property and equipment are recorded at historical cost. Depreciation is provided for in amounts sufficient to relate the cost of depreciable assets to operations over their estimated service lives on a straight-line basis. The life of the building acquired in connection with the ALT purchase transaction was determined to be 25 years. Leasehold improvements are amortized over the useful life of the asset or the lease term, whichever is shorter. Estimated service lives are five years for furniture, fixtures and office equipment and three years for software and technology assets. Expenditures for repairs and maintenance not considered to substantially lengthen the life of the asset or increase capacity or efficiency are charged to expense as incurred.

On February 11, 2025, the Company purchased real estate for $7.4 million consisting of land and a building which will be used as the Company’s future corporate headquarters and as future warehouse and office space for the operations of HGP. The Company allocated $2.8 million of the purchase price to the building and $4.6 million to the land. The life of the building was determined to be 30 years and depreciation will begin when the building is placed into service upon the completion of construction in progress. As of September 30, 2025, the Company capitalized $0.6 million of construction in progress related to ongoing building improvements. Also included in the purchase transaction was an agreement for a short-term leaseback to the seller, which ended on March 31, 2025, and resulted in a credit within the closing statement of approximately $0.1 million. This credit is considered rental income and classified as service revenue on our consolidated statement of income, and reflected as gross profit within our Corporate and other segment.

The following summarizes the components of the Company’s property and equipment (in thousands):

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Building

 

$

3,797

 

 

$

985

 

Land

 

 

4,985

 

 

 

397

 

Furniture, fixtures and office equipment

 

 

352

 

 

 

352

 

Software and technology assets

 

 

452

 

 

 

443

 

Vehicles

 

 

11

 

 

 

11

 

Construction in progress

 

 

591

 

 

 

-

 

 

 

 

10,188

 

 

 

2,188

 

Accumulated depreciation

 

 

(702

)

 

 

(545

)

Property and equipment, net

 

$

9,486

 

 

$

1,643