
	December 31, 2023		December 31, 2022

Land	$	183,194	$	158,802
Building	647,201		625,655
In-place leases and other intangibles	116,831		114,687
Undepreciated real estate and related lease intangibles	947,226		899,144
Less: Accumulated depreciation and amortization	(220,784)		(199,008)

Real estate and related lease intangibles, net(1)	$	726,442	$	700,136

Below market lease intangibles, net (other liabilities)(2)	$	(28,860)	$	(30,892)

(2)Below market lease intangibles is net of $15.8 million and $13.6 million of accumulated amortization as of December 31, 2023 and December 31, 2022, respectively.


	Year Ended December 31,
		2023		2022		2021
Depreciation expense(1)		$	24,166	$	25,770	$	30,659
Amortization expense		5,748		6,903		7,142
Total real estate depreciation and amortization expense		$	29,914	$	32,673	$	37,801

(1)Depreciation expense on the consolidated statements of income also includes $0.4 million, $41 thousand, and $99 thousand of depreciation on corporate fixed assets for the years ended December 31, 2023, 2022 and 2021, respectively.

The Company’s intangible assets are comprised of in-place leases, above market leases and other intangibles. The following tables present additional detail related to our intangible assets ($ in thousands):


	December 31, 2023		December 31, 2022

Gross intangible assets(1)	$	116,831	$	114,689
Accumulated amortization	55,782		49,725
Net intangible assets	$	61,049	$	64,964

(1)Includes $2.8 million of unamortized above market lease intangibles, which are included in real estate and related lease intangibles, net on the consolidated balance sheets as of December 31, 2023 and December 31, 2022.

The following table presents increases/reductions in operating lease income related to the amortization of above or below market leases recorded by the Company ($ in thousands):


	Year Ended December 31,
		2023		2022		2021

Reduction in operating lease income for amortization of above market lease intangibles acquired		$	(309)	$	(305)	$	(367)
Increase in operating lease income for amortization of below market lease intangibles acquired		2,106		2,068		2,255
Total		$	1,797	$	1,763	$	1,888

The following table presents expected adjustment to operating lease income and expected amortization expense during the next five years and thereafter related to the above and below market leases and acquired in-place lease and other intangibles for property owned as of December 31, 2023 ($ in thousands):


Period Ending December 31,	Increase/(Decrease) to Operating Lease Income		Amortization Expense

2024	$	1,726	$	6,725
2025	1,722		5,181
2026	1,735		4,519
2027	1,699		4,332
2028	1,625		4,167
Thereafter	17,528		33,304
Total	$	26,035	$	58,228

There were $1.1 million and $1.3 million of rent receivables included in other assets on the consolidated balance sheets as of December 31, 2023 and December 31, 2022, respectively.

The following is a schedule of non-cancellable, contractual, future minimum rent under leases (excluding property operating expenses paid directly by tenant under net leases) at December 31, 2023 ($ in thousands):

Tenant reimbursements, which consist of real estate taxes and other municipal charges paid by the Company, which were reimbursable by our tenants pursuant to the terms of the lease agreements, were $4.8 million, $5.2 million, and $5.0 million for the years ended December 31, 2023, 2022, and 2021, respectively. Tenant reimbursements are included in operating lease income on the Company’s consolidated statements of income.

The Company acquired the following properties during the year ended December 31, 2023 ($ in thousands):


Acquisition Date		Type	Primary Location(s)	Purchase Price/Fair Value on the Date of Foreclosure		Ownership Interest (1)
September 2023	(2)	Mixed Use	New York, NY	$	30,400	100%
November 2023	(3)	Multifamily	Pittsburgh, PA	34,479		100%
December 2023	(4)	Retail	New York, NY	22,647		100%
Total real estate acquisitions				$	87,526

(2)In September 2023, the Company acquired a multifamily portfolio consisting of four properties in New York, NY via foreclosure. The portfolio served as collateral for a mortgage loan receivable held for investment. The Company obtained a third-party appraisal of the property. The $30.4 million fair value was determined by using the sales comparison and income approaches. The appraiser utilized a terminal capitalization rate of 5.5%. There was no gain or loss resulting from the foreclosure of the loan. The key inputs used to determine fair value were determined to be Level 3 inputs.

(3)In November 2023, the Company acquired a multifamily property in Pittsburgh, PA via foreclosure. The property served as collateral for a mortgage loan receivable held for investment. The Company obtained a third-party appraisal of the property. The $34.5 million fair value was determined by using the sales comparison and income approaches. The appraiser utilized a terminal capitalization rate of 6.00%. There was no gain or loss resulting from the foreclosure of the loan. The key inputs used to determine fair value were determined to be Level 3 inputs.

(4)In December 2023, the Company acquired a retail property in New York, NY via foreclosure. The property served as collateral for two mortgage loan receivables held for investment. The Company obtained a third-party appraisal of the property. The $22.6 million fair value was determined by using the sales comparison and income approaches. The appraiser utilized a terminal capitalization rate of 5.25%. There was no gain or loss resulting from the foreclosure of the loan. The key inputs used to determine fair value were determined to be Level 3 inputs.


Acquisition Date		Type	Primary Location(s)	Purchase Price/Fair Value on the Date of Foreclosure		Ownership Interest (1)





























February 2022	(2)	Apartments	New York, NY	$	15,436	100%
November 2022	(3)	Office	Houston, TX	9,386		100%




Total real estate acquisitions				$	24,822

(2)In February 2022, the Company acquired, via change in control, a previously held interest in a non-controlling equity investment in a mixed use property with one remaining residential condo unit and one remaining retail condo unit in New York, New York. The carrying value of the property at the time of change in control was $15.4 million, which was determined to be fair value. The fair value of the remaining condo unit was determined based on comparable sales in the building and the value of the remaining retail unit was valued utilizing a direct capitalization rate of 5.5%. The key inputs used to determine fair value were determined to be Level 3 inputs.

(3)In November 2022, the Company acquired an office property in Houston, TX via foreclosure. The property served as collateral for a mortgage loan receivable held for investment with a basis of $10.3 million. In connection with the foreclosure, the Company received $0.9 million of cash. The Company obtained a third-party appraisal of the property. The $9.4 million fair value was determined by using the sales comparison and income approaches. The appraiser utilized a terminal capitalization rate of 9.5% and a discount rate of 10.5%. There was no gain or loss resulting from the foreclosure of the loan.


Acquisition Date		Type	Primary Location(s)	Purchase Price/Fair Value on the Date of Foreclosure		Ownership Interest (1)





























February 2021	(2)	Hotel	Miami, FL	$	43,750	100%
August 2021		Apartments	Stillwater, OK	20,452		80%
December 2021	(3)	Hotel	Schaumburg, IL	38,000		100%



Total real estate acquisitions				$	102,202

(2)In February 2021, the Company acquired a hotel in Miami, FL via foreclosure, recognizing a $25.8 thousand loss, which is included in its consolidated statements of income. The property previously served as collateral for a mortgage loan receivable held for investment with a basis of $45.1 million, net of an asset-specific loan loss provision of $1.2 million recorded in the three months ended December 31, 2020. In February 2021, the foreclosed property was sold without any gain or loss. The Company recorded no revenues from its 2021 acquisitions for the year ended December 31, 2021.

(3)In December 2021, the Company acquired a hotel in Schaumburg, IL via foreclosure. The property served as collateral for a mortgage loan receivable held for investment with a basis of $38.0 million. The Company obtained a third-party appraisal of the property. The $38.0 million fair value was determined by using the sales comparison and income approaches. The appraiser utilized a terminal capitalization rate of 8.0% and a discount rate of 10.0%. There was no gain or loss resulting from the foreclosure of the loan.

The Company allocates purchase consideration based on relative fair values, and real estate acquisition costs are capitalized as a component of the cost of the assets acquired for asset acquisitions. During the years ended December 31, 2023, 2022, and 2021, all acquisitions were determined to be asset acquisitions.

The Company sold the following properties during the year ended December 31, 2023 ($ in thousands):


Sales Date	Type	Primary Location(s)		Sales Proceeds		Net Book Value		Realized Gain/(Loss)		Properties
August 2023	Hotel	San Diego, CA	(1)	$	43,335	$	34,526	$	8,808	1





Totals				$	43,335	$	34,526	$	8,808


Sales Date	Type	Primary Location(s)		Net Sales Proceeds		Net Book Value		Realized Gain/(Loss)		Properties
March 2022	Office	Ewing, NJ		$	38,694	$	24,175	$	14,519	1
March 2022	Warehouse	Conyers, GA		40,752		26,116		14,636		1
June 2022	Apartments	Stillwater, OK		23,314		18,032		5,283		1
June 2022	Apartments	Miami, Fl		60,856		37,585		23,270		1
September 2022	Retail	Wichita, KS		9,503		5,110		4,393		1
December 2022	Apartments	New York, NY	(1)	7,935		7,402		533		1
December 2022	Retail	Sennett, NY		10,599		4,245		6,354		1
December 2022	Office	Richmond, VA		118,872		71,862		47,010		1

Totals			(2)	$	310,525	$	194,527	$	115,998

(2)Excludes $4.4 million of prepayment costs upon repayment of mortgage financings in connection with certain sales that is recorded within interest expense on the consolidated statement of income, such amount was correspondingly paid by the buyer and received by the Company as part of the sale and recorded in fee and other income on the consolidated statement of income.


Sales Date	Type	Primary Location(s)	Net Sales Proceeds		Net Book Value		Realized Gain/(Loss)		Properties


February 2021	Hotel	Miami, FL	$	43,750	$	43,750	$	—	1
June 2021	Net Lease	North Dartmouth, MA	38,732		19,343		19,389		1
August 2021	Net Lease	Pittsfield, MA	18,651		10,564		8,087		1
August 2021	Net Lease	Ankeny, IA	19,021		13,341		5,680		1
August 2021	Apartments	Arlington/Fort Worth, TX	26,496		22,498		3,998		2
November 2021	Net Lease	Bessemer City, NC	33,447		21,333		12,114		1
December 2021	Land	Los Angeles, CA	19,469		21,452		(1,983)		1
December 2021	Net Lease	Snellville, GA	9,695		5,483		4,212		1
December 2021	Net Lease	Columbia, SC	9,941		5,674		4,269		1
Totals			$	219,202	$	163,438	$	55,766