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LEASES
 3 Months Ended
Sep. 30, 2024
LEASES [Abstract]  
LEASES

NOTE 6 –LEASES



Lessee Arrangements



As discussed in Note 2, we acquired six partnerships which had solar equipment leases in place. We reassessed the leases as of the acquisition date and recorded them as finance leases in accordance with ASC 842. Our leases have remaining terms of 3.92 to 8.50 years. Right-of-use assets and lease liabilities by lease type, and the associated balance sheet classifications, are as follows:


  Balance Sheet Classification  
September 30, 2024
     June 30, 2024  
Right-of-use assets:
              
Finance leases
Real estate assets, net
  
$
2,283,692
     $
1,799,962  
                   
Lease liabilities:
                  
Finance leases
Finance lease liabilities
  
$
2,431,963
     $
1,887,984  



We have included these leases in real estate assets, net as follows:


   
September 30, 2024
     June 30, 2024  
Building, fixtures and improvements
  
$
2,622,675
     $
2,022,675  
Accumulated depreciation
    
(338,983
)
     (222,713 )
Real estate assets, net
  
$
2,283,692
     $
1,799,962  


Lease Expense



The components of total lease cost were as follows for the three months ended September 30, 2024 and 2023:


   
September 30, 2024
    September 30, 2023
 
Finance lease cost
            
Right-of-use asset amortization
  
$
116,270
     $
20,493  
Interest expense
    
24,967
       7,083  
Total lease cost
  
$
141,237
     $
27,576  

Lease Obligations



Future undiscounted lease payments for finance leases with initial terms of one year or more are as follows:
Fiscal Year Ending June 30, :
  
Finance Leases
  
2025 (remainder)
  
$
267,706
  
2026
    
378,742
  
2027
    
388,783
  
2028
    
399,268
  
2029
    
563,133
  
Thereafter
    
811,288
  
Total undiscounted lease payments
    
2,808,920
  
Less: Imputed interest
    
(376,957
)
Net lease liabilities
  
$
2,431,963
  

Supplemental Lease Information

   
September 30, 2024
     June 30, 2024  
Finance lease weighted average remaining lease term (years)
  
6.07 years
       5.83 years
  
Finance lease weighted average discount rate
    
5.0%

    5.0%
                 
Cash paid for amounts included in the measurement of lease liabilities
                
Financing cash flows from finance leases
  
$
56,021
     $
104,416  
             
 
Right-of-use assets obtained in exchange for new finance lease liabilities
  
$
600,000
     $
1,363,980