SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2019

The following tables reconcile the Company’s segment activity to its results of operations and financial position as of and for the three and nine months ended September 30, 2019:


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2019		2018		2019		2018
Office/Industrial Properties:
Rental, fees and other income	$	5,137,114	$	6,118,429	$	16,087,363	$	18,333,962
Property and related expenses	(2,237,392)		(2,348,533)		(7,041,306)		(7,005,626)
Net operating income, as defined	2,899,722		3,769,896		9,046,057		11,328,336
Model Home Properties:
Rental, fees and other income	1,083,470		1,211,327		3,167,072		3,504,983
Property and related expenses	(42,258)		(44,704)		(140,866)		(132,055)
Net operating income, as defined	1,041,212		1,166,623		3,026,206		3,372,928
Retail Properties:
Rental, fees and other income	780,286		952,846		2,046,686		2,832,906
Property and related expenses	(253,414)		(325,058)		(640,444)		(892,746)
Net operating income, as defined	526,872		627,788		1,406,242		1,940,160
Reconciliation to net loss:
Total net operating income, as defined, for reportable segments	4,467,806		5,564,307		13,478,505		16,641,424
General and administrative expenses	(1,451,873)		(1,384,974)		(4,632,244)		(4,041,453)
Depreciation and amortization	(1,755,253)		(2,268,896)		(5,714,446)		(6,873,828)
Interest expense	(2,830,858)		(3,281,088)		(7,867,932)		(9,505,244)
Other income (expense)	9,294		8,466		19,227		2,624
Registration fees	—		—		—		(1,507,599)
Income tax expense	(338,713)		(69,683)		(611,952)		(225,341)
Impairment of real estate assets	—		(532,951)		—		(532,951)
Gain on sale of real estate	4,853,186		366,032		6,243,819		795,521
Net income (loss)	$	2,953,589	$	(1,598,787)	$	914,977	$	(5,246,847)

Reconciliation of Assets by Segment to Total Assets


Assets by Reportable Segment:	September 30, 2019		December 31, 2018
Office/Industrial Properties:
Land, buildings and improvements, net (1)	$	126,342,992	$	138,694,773
Total assets (2)	$	129,424,221	$	143,620,315
Model Home Properties:
Land, buildings and improvements, net (1)	$	43,794,703	$	48,762,869
Total assets (2)	$	43,978,782	$	48,864,060
Retail Properties:
Land, buildings and improvements, net (1)	$	25,425,715	$	23,650,423
Total assets (2)	$	26,529,153	$	27,702,384
Reconciliation to Total Assets:
Total assets for reportable segments	$	199,932,156	$	220,186,759
Other unallocated assets:
Cash equivalents and restricted cash	11,071,439		9,776,215
Other assets, net	4,901,748		3,087,066
Total Assets	$	215,905,343	$	233,050,040

(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.

Reconciliation of Capital Expenditures by Segment to Total Real Estate Investments


Capital Expenditures by Reportable Segment	For the Nine Months Ended September 30,
			2019			2018
Office/Industrial Properties:
Capital expenditures and tenant improvements	$	5,161,786		$	2,122,291
Model Home Properties:
Acquisition of operating properties	6,116,035			15,225,886
Retail Properties:
Capital expenditures and tenant improvements	20,247			19,260
Totals:
Acquisition of operating properties, net	6,116,035			15,225,886
Capital expenditures and tenant improvements	5,182,033			2,141,551
Total real estate investments	$	11,298,068		$	17,367,437