Real Estate Held-for-Sale

9 Months Ended

Sep. 30, 2011

Real Estate Held-for-Sale

Real Estate Held-for-Sale

6. Real Estate Held-for-Sale

As of March 31, 2011, the Company classified its investment in Lealand as held-for-sale, resulting in the property being presented as held-for-sale on the consolidated balance sheet since such date.  The Company reviewed the carrying value of its investment in Lealand as of September 30, 2011, and it was determined that the estimate of the fair value less cost to sell of the property exceeded its carrying value.  The following table presents the summary of assets and liabilities of Lealand at September 30, 2011 and December 31, 2010:

	September 30,			December 31,
(In Thousands)	2011			2010 (1)
Real Estate Assets and Liabilities:
Land and buildings, net of accumulated depreciation	$	10,651		$	10,732
Cash and other assets	839			240
Accrued interest and other payables(2)	(302		)	(130		)
Real estate assets, net	$	11,188		$	10,842

(1) At December 31, 2010, Lealand was held-for-investment.

(2) The Company has a loan to Lealand which had a balance of $445,000 at September 30, 2011 and $439,000 at December 31, 2010.  This loan and the related interest accounts are eliminated in consolidation.

The following table presents the summary results of operations for Lealand for the three and nine months ended September 30, 2011 and 2010:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(In Thousands)	2011			2010			2011			2010
Revenue from operations of real estate	$	390		$	369		$	1,146		$	1,100
Mortgage interest expense and prepayment penalty	—			—			—			(392		) (1)
Other real estate operating expense	(237		)	(216		)	(660		)	(637		)
Depreciation and amortization expense	—		(2)	(90		)	(114		)	(269		)
Income/(loss) from real estate operations, net	$	153		$	63		$	372		$	(198	)

(1) A mortgage collateralized by the property, which was due to mature in February 2011, was repaid in May 2010, for which a prepayment penalty of $130,000 was incurred.

(2) On March 31, 2011, the Company classified its investment in Lealand as held-for-sale and accordingly ceased depreciating assets related to this investment as of such date.