7. SEGMENTS

The Company's reportable segments consist of the four types of commercial real estate properties for which the Company's decision-makers internally evaluate operating performance and financial results: Residential Properties, Industrial and Office Properties, Retail Properties and Self-Storage Properties. The Company also has certain corporate level activities including accounting, finance, legal administration and management information systems which are not considered separate operating segments.

The Company's chief operating decision maker evaluates the performance of its segments based upon net operating income. Net operating income is defined as operating revenues (rental income, tenant reimbursements and other property income) less property and related expenses (property expenses, real estate taxes, ground leases and provisions for bad debts) and excludes other non-property income and expenses, interest expense, depreciation and amortization, and general and administrative expenses. The accounting policies of the reportable segments are the same as those described in the Company's significant accounting policies. There is no intersegment activity.

The following tables reconcile the Company's segment activity to its results of operations and financial position as of and for the three and six months ended June 30, 2014 and 2013, respectively.

	Three Months Ended June 30,				Six Months Ended June 30,
	2014		2013		2014		2013
Industrial/Office Properties:
Rental income	$	2,639,041	$	2,634,708	$	5,246,281	$	5,210,357
Property and related expenses		1,102,117		806,970		2,141,203		1,657,430
Net operating income, as defined		1,536,924		1,827,738		3,105,078		3,552,927

Residential Properties:
Rental income		572,876		756,100		1,244,062		1,630,418
Property and related expenses		38,108		189,205		44,843		331,318
Net operating income, as defined		534,768		566,895		1,199,219		1,299,100

Retail Properties:
Rental income		630,863		644,498		1,271,689		1,640,372
Property and related expenses		215,072		203,009		429,804		387,304
Net operating income, as defined		415,791		441,489		841,885		1,253,068

Self-Storage Properties:
Rental income		849,091		821,963		1,709,678		1,544,718
Property and related expenses		387,533		424,753		794,295		809,821
Net operating income, as defined		461,558		397,210		915,383		734,897

Reconciliation to Net Loss Available to Common Shareholders:
Total net operating income, as defined, for reportable segments	$	2,949,041		$	3,346,482		$	6,061,565		$	7,018,476
Unallocated other income:
Total other income		41,790			70,439			60,159			91,695
Gain on sale of real estate		779,379			410,258			1,204,324			856,911
Gain on dissolution of partnership interests		-			-			302,831			-
General and administrative expenses		1,563,793			1,350,968			2,688,649			2,583,729
Interest expense		1,371,123			1,219,329			2,641,085			2,553,355
Depreciation and amortization		1,426,916			1,325,534			2,772,673			2,640,738
Net (loss) income		(591,622	)		(68,652	)		(473,528	)		189,260
Noncontrolling interests		504,797			327,550			982,905			638,611
Net loss	$	(1,096,419	)	$	(396,202	)	$	(1,456,433	)	$	(449,351	)

	June 30, 2014		December 31, 2013
Assets:
Industrial/Office Properties:
Land, buildings and improvements, net (1)	$	89,156,948	$	84,458,209
Total assets (2)		94,500,645		89,813,764

Residential Properties:
Land, buildings and improvements, net (1)		18,749,671		23,093,296
Total assets (2)		19,811,948		25,434,100

Retail Properties:
Land, buildings and improvements, net (1)		21,942,854		21,931,330
Total assets (2)		23,640,729		23,354,122

Self-Storage Properties:
Land, buildings and improvements, net (1)		29,413,460		29,972,327
Total assets (2)		30,189,041		31,028,008

Reconciliation to Total Assets:
Total assets for reportable segments		168,142,363		169,629,994
Other unallocated assets:
Cash and cash equivalents		9,981,937		10,207,001
Other assets, net		3,915,188		1,408,387
Total Assets	$	182,039,488	$	181,245,382

____________

(1) Includes lease intangibles and the land purchase option related to property acquisitions.

(2) Includes land, buildings and improvements, current receivables, deferred rent receivables and deferred leasing costs and other related intangible assets, all shown on a net basis.

	Six Months Ended June 30,
	2014		2013
Capital Expenditures:(1)
Industrial/Office Properties:
Acquisition of operating property	$	5,350,000	$	-
Capital expenditures and tenant improvements		1,387,057		1,407,645

Residential Properties:
Acquisition of operating properties		1,781,300		1,139,715

Retail Properties:
Capital expenditures and tenant improvements		378,473		-

Self-Storage Properties:
Acquisition of operating properties		-		3,650,000
Capital expenditures and tenant improvements		76,208		8,903

Acquisition of operating properties		7,131,300		4,789,715
Capital expenditures and tenant improvements		1,841,738		1,416,548
Total real estate investments	$	8,973,038	$	6,206,263

____________

(1)	Total consolidated capital expenditures are equal to the same amounts disclosed for total reportable segments.