On August 13, 2021, the Company entered into a tenancy-in-common (“TIC”) structure whereby the TIC acquired a 15,288 square foot single tenant building in Rockford, IL for total consideration of approximately $4.5 million. The Company acquired a 36.8% interest in the TIC acquisition with Sunny Ridge HHP, LLC (“Sunny Ridge”) holding the remaining TIC interest. Funding for the Company’s interest was primarily funded through a Redeemable Non-Controlling Interest Contribution from Mr. Hornstrom to one of our subsidiaries for $0.65 million. The remainder of the purchase price of the property was funded by Sunny Ridge of $1.2 million and debt financing of approximately $2.7 million. Mr. Hornstorm owns 50% of Sunny Ridge and also contributed $600,000 of $950,000 Redeemable Non-Controlling Interest contribution for the Plant City, FL property. The Rockford, IL property was accounted for under the equity method and as of March 31, 2022 it had a value of approximately $734 thousand.

The acquisition of this property was financed in part through the issuance of a Promissory note for $2,715,000 by a financial institution. The Note was issued on August 13, 2021 and can be prepaid at any time without penalty and is secured by the Lazy Boy - Rockford, IL property. The Company's share of this debt is approximately $1.0 million. The Company’s President has personally guaranteed the repayment of the $2.7 million loan. The loan has normal covenants which includes DSCR 1.50:1.0.

The condensed income statement for the three months ended March 31, 2022 for the Tenant in Common Investment is as follows:

	Total		Company Portion
Revenue	$	93,139	$	34,312
Total operating expenses		69,924		25,760
Operating income	$	23,215	$	8,552

The condensed balance sheets as of March 31, 2022 and December 31, 2021, respectively for the Tenant in Common Investment are as follows:

	March 31,		December 31,
	2022		2021
Prepaid expenses	$	2,007	$	522
Deferred rent asset		3,689		2,108
Property, net of depreciation		4,323,875		4,341,285
Acquired lease intangible asset, net of amortization		267,756		279,850
Due from tenant-in-common		86,871		47,350
Total assets	$	4,684,198	$	4,671,115

Accounts payable	$	—	$	845
Accounts payable - related party		24,724		13,696
Accrued expenses		4,751		4,751
Acquired lease intangible liability, net of amortization		41,135		42,993
Mortgage payable net of unamortized debt issuance costs		2,683,149		2,677,446
Equity, GIP Inc. Tenant-in-common		733,635		725,082
Equity, Sunny Ridge Tenant-in-common		1,196,804		1,206,302
Total liabilities and equity	$	4,684,198	$	4,671,115