REAL ESTATE HELD FOR INVESTMENT (Tables)

6 Months Ended

Jun. 30, 2020

The following table summarizes the Company’s real estate held for investment as of June 30, 2020 and December 31, 2019, respectively (in thousands):


	June 30, 2020		December 31, 2019
Land	$	181,392	$	175,317
Buildings and improvements	639,060		618,974
Tenant origination and absorption costs	28,778		30,569
Total real estate, cost	849,230		824,860
Accumulated depreciation and amortization	(80,816)		(65,381)
Total real estate, net	$	768,414	$	759,479

The following table provides summary information regarding the Company’s real estate held for investment as of June 30, 2020 (in thousands):


Property	Date Acquired or Foreclosed on	City	State	Property Type	Land		Building and Improvements		Tenant Origination and Absorption		Total Real Estate, at Cost		Accumulated Depreciation and Amortization		Total Real Estate, Net		Ownership %
Richardson Portfolio:
Palisades Central I	11/23/2011	Richardson	TX	Office	$	1,037	$	12,518	$	—	$	13,555	$	(3,991)	$	9,564	90.0	%
Palisades Central II	11/23/2011	Richardson	TX	Office	810		21,412		—		22,222		(6,199)		16,023		90.0	%
Greenway I	11/23/2011	Richardson	TX	Office	561		2,456		—		3,017		(1,147)		1,870		90.0	%
Greenway III	11/23/2011	Richardson	TX	Office	702		3,896		—		4,598		(1,545)		3,053		90.0	%
Undeveloped Land	11/23/2011	Richardson	TX	Undeveloped Land	3,134		—		—		3,134		—		3,134		90.0	%
Total Richardson Portfolio					6,244		40,282		—		46,526		(12,882)		33,644
Park Highlands ⁽¹⁾	12/30/2011	North Las Vegas	NV	Undeveloped Land	36,315		—		—		36,315		—		36,315		100.0%⁽¹⁾
Park Centre	03/28/2013	Austin	TX	Office	3,251		34,766		—		38,017		(7,586)		30,431		100.0	%
1180 Raymond	8/20/2013	Newark	NJ	Apartment	8,292		39,194		—		47,486		(8,537)		38,949		100.0	%
Park Highlands II ⁽¹⁾	12/10/2013	North Las Vegas	NV	Undeveloped Land	27,622		—		—		27,622		—		27,622		100.0%⁽¹⁾
Richardson Land II	09/04/2014	Richardson	TX	Undeveloped Land	3,418		—		—		3,418		—		3,418		90.0	%
Crown Pointe	02/14/2017	Dunwoody	GA	Office	22,590		69,661		4,204		96,455		(13,487)		82,968		100.0	%
The Marq	03/01/2018	Minneapolis	MN	Office	10,387		81,587		3,551		95,525		(8,612)		86,913		100.0	%
City Tower	03/06/2018	Orange	CA	Office	13,930		136,184		7,299		157,413		(15,659)		141,754		100.0	%
Eight & Nine Corporate Centre	06/08/2018	Franklin	TN	Office	17,401		57,920		4,518		79,839		(5,861)		73,978		100.0	%
Georgia 400 Center	05/23/2019	Alpharetta	GA	Office	11,431		73,521		7,466		92,418		(5,347)		87,071		100.0	%
Single-Family Homes Portfolio ⁽²⁾:
Birmingham Homes	11/04/2019	Birmingham	AL	Home	2,444		11,162		162		13,768		(292)		13,476		100.0	%
Houston Homes	11/04/2019	Houston	TX	Home	6,154		22,823		432		29,409		(666)		28,743		100.0	%
Jacksonville Homes	11/04/2019	Jacksonville	FL	Home	2,986		24,253		353		27,592		(647)		26,945		100.0	%
Memphis Homes	11/04/2019	Memphis	TN	Home	2,679		15,809		266		18,754		(426)		18,328		100.0	%
Atlanta Homes	11/04/2019	Atlanta	GA	Home	783		3,884		65		4,732		(120)		4,612		100.0	%
Oklahoma Homes	11/04/2019	Oklahoma City	OK	Home	2,082		14,416		199		16,697		(411)		16,286		100.0	%
Illinois Homes	05/28/2020	Chicago	IL	Home	3,383		13,598		263		17,244		(283)		16,961		100.0	%
Total Single-Family Homes Portfolio					20,511		105,945		1,740		128,196		(2,845)		125,351
					$	181,392	$	639,060	$	28,778	$	849,230	$	(80,816)	$	768,414

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⁽¹⁾ The Company owns 100% of the common members’ equity of Park Highlands and Park Highlands II. On September 7, 2016 and January 8, 2019, a subsidiary of the Company that owns a portion of Park Highlands and Park Highlands II, sold 820 units of 10% Class A non-voting preferred membership units for $0.8 million and 1,927 units of 10% Class A2 non-voting preferred membership units for $1.9 million, respectively, to accredited investors. The amount of the Class A and A2 non-voting preferred membership units raised, net of offering costs, is included in other liabilities on the accompanying consolidated balance sheets.

⁽²⁾ On July 1, 2020, the Company exchanged 4.5% of the outstanding common equity units of the subsidiary that owns the Company’s single family portfolio. See Note 16, “Subsequent Events - Battery Point Trust Inc. Acquisition” for more information.

Schedule of Future Minimum Rental Income for Company's Properties

As of June 30, 2020, the future minimum rental income from the Company’s properties, excluding apartment leases and single family homes, under non-cancelable operating leases was as follows (in thousands):


July 1, 2020 through December 31, 2020	$	27,533
2021	55,750
2022	49,710
2023	41,525
2024	35,962
Thereafter	88,394
	$	298,874

Schedule of Real Estate by Industry

The Company’s highest tenant industry concentrations (greater than 10% of annualized base rent) were as follows:


Industry	Number of Tenants	Annualized Base Rent ⁽¹⁾ (in thousands)		Percentage of Annualized Base Rent
Computer Systems Design	26	$	7,395	12.6	%
Insurance	25	7,185		12.2	%
Health Care and Social Assistance	15	6,769		11.5	%
		$	21,349	36.3	%

_____________________

(1) Annualized base rent represents annualized contractual base rental income as of June 30, 2020, adjusted to straight-line any contractual tenant concessions (including free rent), rent increases and rent decreases from the lease’s inception through the balance of the lease term.