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Real Estate Assets
 6 Months Ended
Jun. 30, 2012
Real Estate and Accumulated Depreciation Disclosure [Abstract]  
Real Estate and Accumulated Depreciation Disclosure [Text Block]
3. REAL ESTATE ASSETS AND LEASE INTANGIBLES
             
A summary of the properties owned by the Company as of June 30, 2012 is as follows:
  
             
           Real estate
   Date    Square Property assets, net
 Property Name Acquired Location  Footage Description (in thousands)
 Casa Grande Apartments  April 1999 Cheyenne, Wyoming 29,250 Residential $ 1,393.2
 Havana/Parker Complex  June 2006 Aurora, Colorado 114,000 Office   5,342.2
 7-Eleven  September 2006 Escondido, California 3,000 Retail   1,271.6
 Garden Gateway Plaza  March 2007 Colorado Springs, Colorado 115,052 Office   12,746.7
 World Plaza  September 2007 San Bernardino, California 55,098 Retail   6,959.4
 Regatta Square  October 2007 Denver, Colorado 5,983 Retail   2,001.1
 Sparky’s Palm Self-Storage  November 2007 Highland, California 50,250 Self-Storage   4,542.6
 Sparky’s Joshua Self-Storage  December 2007 Hesperia, California 149,750 Self-Storage   7,069.5
 Executive Office Park  July 2008 Colorado Springs, Colorado 65,084 Office   8,589.2
 Waterman Plaza  August 2008 San Bernardino, California 21,170 Retail   6,657.1
 Pacific Oaks Plaza  September 2008 Escondido, California 16,000 Office   4,486.5
 Morena Office Center  January 2009 San Diego, California 26,784 Office   5,984.2
 Fontana Medical Plaza  February 2009 Fontana, California 10,500 Office   2,090.0
 Rangewood Medical Office Building  March 2009 Colorado Springs, Colorado 18,222 Office   2,365.2
 Sparky’s Thousand Palms Self-Storage  August 2009 Thousand Palms, California 113,126 Self-Storage   5,760.5
 Sparky’s Hesperia East Self-Storage  December 2009 Hesperia, California 72,940 Self-Storage   2,712.9
 Sparky’s Rialto Self-Storage  May 2010 Rialto, California 101,343 Self-Storage   5,093.2
 Genesis Plaza  August 2010 San Diego, California 57,685 Office   9,261.0
 Dakota Bank Buildings May 2011 Fargo, North Dakota 119,749 Office   8,981.3
 Yucca Valley Retail Center September 2011 Yucca Valley, California 103,596 Retail   7,681.1
 Sparky’s Sunrise Self-Storage  December 2011 Hesperia, California 93,851 Self-Storage   2,210.9
 Port of San Diego Complex December 2011 San Diego, California 146,700 Industrial   14,428.8
 Shoreline Medical Building May 2012 Half Moon Bay, California 15,335 Retail   6,338.5
             
             
  NetREIT, Inc properties           133,966.7
       Homes     
 Model home properties  Various in  CA, AZ, WA, TX, SC,       
  held in limited partnerships 2009-2012 NC, and NJ  71 Residential   20,952.7
             
             
 Model home properties  Various in          
  held in income and investment funds 2003-2008, CA, AZ, TX, WA, OH,        
   2010 & 2011 NC, NV, NJ and MI 24 Residential   7,438.8
             
             
  Model home properties           28,391.5
             
     Total real estate assets and lease intangibles, net $ 162,358.2
             

A summary of the properties owned by the Company as of December 31, 2011 is as follows:
  
             
           Real estate
   Date    Square Property assets, net
 Property Name Acquired Location  Footage Description (in thousands)
 Casa Grande Apartments  April 1999 Cheyenne, Wyoming 29,250 Residential $ 1,428.5
 Havana/Parker Complex  June 2006 Aurora, Colorado 114,000 Office   5,399.5
 7-Eleven  September 2006 Escondido, California 3,000 Retail   1,282.4
 Garden Gateway Plaza  March 2007 Colorado Springs, Colorado 115,052 Office   13,008.6
 World Plaza  September 2007 San Bernardino, California 55,098 Retail   6,933.7
 Regatta Square  October 2007 Denver, Colorado 5,983 Retail   2,027.6
 Sparky’s Palm Self-Storage  November 2007 Highland, California 50,250 Self-Storage   4,598.9
 Sparky’s Joshua Self-Storage  December 2007 Hesperia, California 149,750 Self-Storage   7,155.8
 Executive Office Park  July 2008 Colorado Springs, Colorado 65,084 Office   8,710.1
 Waterman Plaza  August 2008 San Bernardino, California 21,170 Retail   6,716.3
 Pacific Oaks Plaza  September 2008 Escondido, California 16,000 Office   4,536.2
 Morena Office Center  January 2009 San Diego, California 26,784 Office   5,918.8
 Fontana Medical Plaza  February 2009 Fontana, California 10,500 Office   2,118.4
 Rangewood Medical Office Building  March 2009 Colorado Springs, Colorado 18,222 Office   2,407.3
 Sparky’s Thousand Palms Self-Storage  August 2009 Thousand Palms, California 113,126 Self-Storage   5,832.4
 Sparky’s Hesperia East Self-Storage  December 2009 Hesperia, California 72,940 Self-Storage   2,724.8
 Sparky’s Rialto Self-Storage  May 2010 Rialto, California 101,343 Self-Storage   5,144.7
 Genesis Plaza  August 2010 San Diego, California 57,685 Office   9,428.2
 Dakota Bank Buildings May 2011 Fargo, North Dakota 119,749 Office   9,287.0
 Yucca Valley Retail Center September 2011 Yucca Valley, California 85,996 Retail   6,687.6
 Sparky’s Sunrise Self-Storage  December 2011 Hesperia, California 93,851 Self-Storage   2,207.2
 Port of San Diego Complex December 2011 San Diego, California 146,700 Industrial   14,500.0
             
  NetREIT, Inc properties           128,054.0
             
 Model home properties  Various in    Homes     
  held in limited partnerships 2009, 2010  CA, AZ, OR, WA, TX, SC, 59 Residential   15,019.4
   & 2011 NC, ID and FL       
             
 Model home properties  Various in          
  held in income and investment funds 2003-2008, TX, WA, OH, NC,       
   2010 & 2011 NV, CA, NJ and MI 19 Residential   4,681.5
             
             
  Model home properties           19,700.9
             
     Total real estate assets and lease intangibles, net $ 147,754.9
             

  The following table sets forth the components of the Company’s real estate assets:
        
    June 30,  December 31,
    2012  2011
  Land $ 40,782,131 $ 38,109,616
  Buildings and other   126,939,084   113,238,188
  Tenant improvements   6,090,914   5,766,096
  Lease intangibles  4,405,764   4,186,764
     178,217,893   161,300,664
  Less:     
  Accumulated depreciation and amortization   (15,859,710)   (13,545,777)
  Real estate assets, net $ 162,358,183 $ 147,754,887

The Company disposed of the following properties in 2011:

 

During the twelve months ended December 31, 2011, NetREIT Dubose and the other model home entities disposed of twenty-two model home properties. The sales price, net of selling costs, aggregated approximately $8.5 million and approximately $5.7 million in mortgage notes payable were retired in connection with these sales.

 

The Company allocated the purchase price of the properties acquired during the six months ended June 30, 2012.
as follows:
              Total    
     Buildings In-placeLeasing Purchase     
  Land and other Leases Costs Price     
                     
Rite Aid$ 366,000 $ 759,000 $ - $ - $ 1,125,000     
                     
Shoreline                   
 Medical Building  1,820,000   4,311,000   83,000   136,000   6,350,000     
                     
Model Home                    
 Properties  1,146,622   12,430,993   -   -   13,577,615     
                     
                     
The Company allocation of the properties sold during the six months ended June 30, 2012 as follows:
                     
                    
     Buildings Total           
   Land and other  Cost           
                     
Model Home                    
 Properties$ 660,110 $ 4,150,893 $ 4,811,003           
                     
                     
The Company allocated the purchase price of the properties acquired during the year ended December 31, 2011 as follows:
 
                 Above  
        Tenant       and BelowTotal
     Buildings Improve-  In-place Leasing Market Purchase
   Land and other  ments  Leases  Costs  LeasesPrice
                     
Dakota Bank                    
 Buildings$ 832,000 $ 8,123,461 $ - $ 131,982 $ 45,186 $ 442,371$ 9,575,000
                     
Yucca Valley                    
 Retail Center  2,445,331   3,549,162   520,485   819,979   -   (567,257)  6,767,700
                     
Sparky’s Sunrise                    
 Self-Storage   1,123,000   1,077,000   -   -   -   -  2,200,000
                     
Port of San Diego                   
  Complex  9,613,000   4,078,816   141,373   29,470   128,448   508,893  14,500,000
                     
Model Home                    
 Properties  2,012,217   9,633,813   -   -   -   -  11,646,030
                     
The Company allocation of the properties sold during the year ended December 31, 2011 as follows:
 
                    
     Buildings Total           
   Land and other  Cost           
                     
Model Home                    
 Properties$ 1,094,267 $ 7,331,915 $ 8,426,182           
                     

Lease Intangibles
                   
The following table summarizes the net value of other intangible assets and the accumulated amortization for each
class of intangible asset:
   June 30, 2012  December 31, 2011
         Lease        Lease
   Lease  Accumulated  intangibles,  Lease  Accumulated  intangibles,
   intangibles   amortization   net   intangibles   amortization   net
In-place leases $ 1,988,059 $ (1,038,854) $ 949,205 $ 1,905,059 $ (838,512) $ 1,066,547
Leasing costs   1,312,285   (700,665)   611,620   1,176,285   (595,386)   580,899
Tenant                 
 relationships 332,721   (332,721)   -   332,721   (332,721)   -
Below-market                 
 leases (841,425)   23,391   (818,034)   (841,425)   9,296   (832,129)
Above-market                 
 leases 1,614,124   (594,078)   1,020,046   1,614,124   (347,317)   1,266,807
                   
  $ 4,405,764 $ (2,642,927) $ 1,762,837 $ 4,186,764 $ (2,104,640) $ 2,082,124

As of June 30, 2012, the estimated aggregate amortization expense for six months ended December 31, 2012
and each of the five succeeding fiscal years and thereafter is as follows:
   Estimated
   Aggregate
   Amortization
   Expense
Six month period ending December 31, 2012 $ 536,037
2013   624,911
2014   542,913
2015   389,557
2016   133,609
Thereafter (principally below market rent amortization)   (464,190)
  $ 1,762,837
    
The weighted average amortization period for the intangible assets, in-place leases, leasing costs, tenant
relationships and below-market leases acquired as of June 30, 2012 was 16.0 years.