XML 27 R18.htm IDEA: XBRL DOCUMENT
v3.23.3

Note 12 - Segments | 9 Months Ended
--- | ---
Sep. 30, 2023
Notes to Financial Statements |
Segment Reporting Disclosure [Text Block] | 12. SEGMENTS The Company’s reportable segments consist of three types of real estate properties for which the Company’s decision-makers internally evaluate operating performance and financial results: Office/Industrial Properties, Model Home Properties and Retail 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. There is no material inter-segment activity. The Company evaluates the performance of its segments based upon net operating income (“NOI”), which is a non-GAAP supplemental financial measure. The Company defines NOI for its segments as operating revenues (rental income, tenant reimbursements and other operating income) less property and related expenses (property operating expenses, real estate taxes, insurance, asset management fees, impairments and provision for bad debt). NOI excludes certain items that are not considered to be controllable in connection with the management of an asset such as non-property income and expenses, depreciation and amortization, real estate acquisition fees and expenses and corporate general and administrative expenses. The Company uses NOI to evaluate the operating performance of the Company’s real estate investments and to make decisions regarding allocation of resources. The following tables compare 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, 2023, and September 30, 2022:
|  | Three Months Ended September 30, |  |  | Nine Months Ended September 30, |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
Office/Industrial Properties: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rental, fees and other income |  | $ | 2,928,103 |  |  | $ | 3,175,608 |  |  | $ | 8,810,167 |  |  | $ | 9,448,747 |
Property and related expenses |  |  | (1,303,654 | ) |  |  | (1,278,805 | ) |  |  | (3,966,587 | ) |  |  | (3,809,729 | )
Net operating income, as defined |  |  | 1,624,449 |  |  |  | 1,896,803 |  |  |  | 4,843,580 |  |  |  | 5,639,018 |
Model Home Properties: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rental, fees and other income |  |  | 1,093,778 |  |  |  | 718,331 |  |  |  | 2,970,940 |  |  |  | 2,125,623 |
Property and related expenses |  |  | (44,201 | ) |  |  | (23,479 | ) |  |  | (121,998 | ) |  |  | (76,687 | )
Net operating income, as defined |  |  | 1,049,577 |  |  |  | 694,852 |  |  |  | 2,848,942 |  |  |  | 2,048,936 |
Retail Properties: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rental, fees and other income |  |  | 457,292 |  |  |  | 498,038 |  |  |  | 1,396,160 |  |  |  | 1,722,723 |
Property and related expenses |  |  | (125,623 | ) |  |  | (131,943 | ) |  |  | (391,772 | ) |  |  | (490,481 | )
Net operating income, as defined |  |  | 331,669 |  |  |  | 366,095 |  |  |  | 1,004,388 |  |  |  | 1,232,242 |
Reconciliation to net income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total net operating income, as defined, for reportable segments |  |  | 3,005,695 |  |  |  | 2,957,750 |  |  |  | 8,696,910 |  |  |  | 8,920,196 |
General and administrative expenses |  |  | (1,635,610 | ) |  |  | (1,509,139 | ) |  |  | (5,413,413 | ) |  |  | (4,306,835 | )
Depreciation and amortization |  |  | (1,351,705 | ) |  |  | (1,318,164 | ) |  |  | (4,054,109 | ) |  |  | (3,973,582 | )
Interest expense |  |  | (1,375,199 | ) |  |  | (1,382,120 | ) |  |  | (3,579,381 | ) |  |  | (3,485,693 | )
Loss on Conduit marketable securities |  |  | (17,682,154 | ) |  |  | — |  |  |  | (17,682,154 | ) |  |  | — |
Gain on deconsolidation of SPAC |  |  | 40,321,483 |  |  |  | — |  |  |  | 40,321,483 |  |  |  | — |
Other income, net |  |  | 254,486 |  |  |  | 590,586 |  |  |  | 1,394,687 |  |  |  | 757,318 |
Income tax expense |  |  | (134,620 | ) |  |  | (294,996 | ) |  |  | (632,147 | ) |  |  | (819,520 | )
Gain on sale of real estate |  |  | 757,285 |  |  |  | 1,307,258 |  |  |  | 2,294,574 |  |  |  | 4,057,527 |
Net income |  | $ | 22,159,661 |  |  | $ | 351,175 |  |  | $ | 21,346,450 |  |  | $ | 1,149,411 |
|  | September 30, |  |  | December 31, |
Assets by Reportable Segment: |  | 2023 |  |  | 2022 |
Office/Industrial Properties: |  |  |  |  |  |  |  |
Land, buildings and improvements, net (1) |  | $ | 76,477,337 |  |  | $ | 76,400,983 |
Total assets (2) |  | $ | 77,334,728 |  |  | $ | 79,057,998 |
Model Home Properties: |  |  |  |  |  |  |  |
Land, buildings and improvements, net (1) |  | $ | 45,991,453 |  |  | $ | 37,933,824 |
Total assets (2) |  | $ | 45,181,672 |  |  | $ | 35,274,545 |
Retail Properties: |  |  |  |  |  |  |  |
Land, buildings and improvements, net (1) |  | $ | 15,959,020 |  |  | $ | 16,142,613 |
Total assets (2) |  | $ | 16,534,252 |  |  | $ | 16,810,627 |
Reconciliation to Total Assets: |  |  |  |  |  |  |  |
Total assets for reportable segments |  | $ | 139,050,652 |  |  | $ | 131,143,170 |
Other unallocated assets: |  |  |  |  |  |  |  |
Cash, cash equivalents and restricted cash |  |  | 2,380,691 |  |  |  | 8,570,121 |
Other assets, net |  |  | 36,502,046 |  |  |  | 151,638,363 |
Total Assets |  | $ | 177,933,389 |  |  | $ | 291,351,654 |
(1) | Includes lease intangibles and the land purchase option related to property acquisitions.
(2) | Includes land, buildings and improvements, cash, cash equivalents, and restricted cash, current receivables, deferred rent receivables and deferred leasing costs and other related intangible assets, all shown on a net basis.
|  | For the Nine Months Ended September 30, |
Capital Expenditures by Reportable Segment |  | 2023 |  |  | 2022 |
Office/Industrial Properties: |  |  |  |  |  |  |  |
Capital expenditures and tenant improvements |  | $ | 2,691,721 |  |  | $ | 1,832,806 |
Model Home Properties: |  |  |  |  |  |  |  |
Acquisition of operating properties |  |  | 13,715,923 |  |  |  | 8,087,250 |
Retail Properties: |  |  |  |  |  |  |  |
Capital expenditures and tenant improvements |  |  | 126,065 |  |  |  | 106,906 |
Totals: |  |  |  |  |  |  |  |
Acquisition of operating properties, net |  |  | 13,715,923 |  |  |  | 8,087,250 |
Capital expenditures and tenant improvements |  |  | 2,817,786 |  |  |  | 1,939,712 |
Total real estate investments |  | $ | 16,533,709 |  |  | $ | 10,026,962 |

X
- References No definition available. + Details
Name: | us-gaap_DisclosureTextBlockAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-22 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-15 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-31 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-42 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-40 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//280/tableOfContent Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-26 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-34 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-41 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration