Discontinued Operations

9 Months Ended

Sep. 30, 2012

Discontinued Operations [Abstract]

DISCONTINUED OPERATIONS

NOTE 16 – DISCONTINUED OPERATIONS

We report in discontinued operations the results of operations for properties that have either been sold or are classified as held for sale. We also report any gains or losses from the sale of properties in discontinued operations.

2012

During the first quarter of 2012, the operating partnership sold a 4,500 square foot retail property in Norfolk, Nebraska for approximately $350,000 and recognized a loss of approximately $88,000.

During the second quarter of 2012, the operating partnership sold vacant land in Minot, North Dakota for approximately $583,000 and recognized a gain of approximately $114,300.

During the third quarter of 2012, there were no dispositions.

2011

During the first quarter of 2011, there were no dispositions.

During the second quarter of 2011, the operating partnership sold an assisted living facility in Williston, North Dakota for $1.45 million and recognized a gain of $366,990.

During the third quarter of 2011, the operating partnership sold a retail property in Norfolk, Nebraska for $1,375,000 and recognized a loss of $66,921.

The following table shows the effect on net income and the gains or losses from the sale of properties classified as discontinued operations for the three and nine months ended September 30, 2012 and 2011:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2012			2011			2012			2011
INCOME FROM RENTAL OPERATIONS	$	—		$	11,836		$	—		$	109,294
EXPENSES FROM RENTAL OPERATIONS
Interest		—			14,130			—			66,041
Depreciation and amortization		—			13,188			1,117			50,375
Real estate taxes		945			1,581			945			27,044
Property management fees		—			800			—			6,375
Utilities		—			1,121			—			10,738
Repairs and maintenance		—			(4,040	)		—			5,340
Administrative		—			2,502			(1,427	)		9,313
		945			29,282			635			175,226
Administration of REIT
Administrative expenses		—			—			—			15,170
Disposition expenses		—			80,000			27,975			123,500
Legal and accounting		—			4,644			1,612			5,926
		—			84,644			29,587			144,596
Total expenses		945			113,926			30,222			319,822
OTHER INCOME
Interest income		—			—			2,915			—
		—			—			2,915			—
INCOME FROM DISCONTINUED OPERATIONS BEFORE GAIN (LOSS) ON SALE		(945	)		(102,090	)		(27,307	)		(210,528	)
GAIN (LOSS) ON SALE OF DISCONTINUED OPERATIONS		—			(66,921	)		26,336			300,069
INCOME (LOSS) FROM DISCONTINUED OPERATIONS	$	(945	)	$	(169,011	)	$	(971	)	$	89,541