A significant portion of the Company's land, buildings and improvements serve as collateral for the Company's secured term loans. Accordingly, restrictions exist as to the encumbered properties' transferability, use and other common rights typically associated with property ownership.

The Company's depreciation expense on investment properties was $2.1 million and $2.5 million for the three months ended September 30, 2024 and 2023, respectively, and $5.8 million and $7.8 million for the nine months ended September 30, 2024 and 2023, respectively.

During the three and nine months ended September 30, 2024, the Company recorded impairment charges of approximately $1.1 million on Oregon Avenue, located in Philadelphia, Pennsylvania. These impairment charges are included in operating income in the accompanying condensed consolidated statements of operations.

The following properties were sold during the nine months ended September 30, 2024 and 2023:


Disposal Date	Property	Contract Price		Gain (Loss)		Net Proceeds
9/12/2024	Kings Plaza	$	14,200,000	$	1,703,000	$	13,746,000
6/26/2024	Oakland Commons	6,000,000		(55,000)		5,662,000
7/11/2023	Carll's Corner outparcel building	3,000,000		2,662,000		2,759,000

At September 30, 2024, real estate held for sale includes South Philadelphia, as the Company has committed to a plan to sell components of the property. There was no real estate held for sale as of December 31, 2023.


	September 30,		December 31,
	2024		2023
Real estate, net	$	14,520,000	$	—
Receivables, net - unbilled straight-line rent	434,000		—
Deferred costs and other assets, net	799,000		—

Total real estate held for sale	$	15,753,000	$	—