Intangibles

12 Months Ended

Dec. 31, 2022

Intangible Assets, Net (Excluding Goodwill) [Abstract]

Intangibles

Note 4 - Intangibles

The amortization of acquired above-market and/or below-market leases is recorded as an adjustment to Rental revenue on the consolidated statements of operations. For the years ended December 31, 2022 and December 31, 2021, the net amount of such amortization was included as an increase to rental income of $1,489,482 and $790,901, respectively.

The amortization of in-place leases is recorded as an adjustment to Depreciation and amortization expense on the consolidated statements of operations. For the year ended December 31, 2022 and December 31, 2021, the net amount of such amortization was $11,666,361 and $6,571,803, respectively.

The amortization of tax abatement on property improvements is recorded as an adjustment to Depreciation and amortization expense on the consolidated statements of operations. For the year ended December 31, 2022 and December 31, 2021, the net amount of such amortization was $1,045,714 and $87,143, respectively.

As of December 31, 2022, and December 31, 2021, the gross carrying amount and accumulated amortization of the Company’s intangible assets consisted of the following:

	December 31, 2022			December 31, 2021
Intangible assets:
In-place lease intangibles	$	92,190,479		$	55,734,750
Above-market lease intangibles		2,112,734			2,112,734
Tax abatement on property improvements intangibles		14,640,000			14,640,000
Total intangible assets		108,943,213			72,487,484
Accumulated amortization:
In-place lease amortization		(22,243,941	)		(10,577,580	)
Above-market lease amortization		(435,246	)		(238,867	)
Tax abatement on property improvements amortization		(1,132,857	)		(87,143	)
Total accumulated amortization		(23,812,044	)		(10,903,590	)
Intangible assets, net	$	85,131,169		$	61,583,894

The estimated future amortization on the Company’s intangible assets for each of the next five years and thereafter as of December 31, 2022 is as follows:

Year	In-place Lease Intangibles		Above-market Lease Intangibles		Tax Abatement on Property Improvements		Total
2023		9,143,737		196,378		1,045,714		10,385,829
2024		7,592,653		196,378		1,045,714		8,834,745
2025		7,274,653		196,378		1,045,714		8,516,745
2026		6,526,776		196,378		1,045,714		7,768,868
2027		5,280,474		196,378		1,045,714		6,522,566
Thereafter		34,128,245		695,598		8,278,573		43,102,416
	$	69,946,538	$	1,677,488	$	13,507,143	$	85,131,169

As of December 31, 2022, and December 31, 2021, the gross carrying amount and accumulated amortization of the Company’s Intangible liabilities consisted of the following:

	December 31, 2022			December 31, 2021
Intangible liabilities:
Below-market lease intangibles	$	25,186,312		$	11,487,001
Accumulated amortization:
Below-market lease amortization		(3,914,404	)		(2,201,745	)
Intangible liabilities, net	$	21,271,908		$	9,285,256

The estimated future amortization on the Company’s intangible liabilities for each of the next five years and thereafter as of December 31, 2022 is as follows:

Year	Below-market Lease Intangibles
2023	$	1,982,809
2024	$	1,982,809
2025	$	1,982,809
2026	$	1,891,681
2027	$	1,556,636
Thereafter	$	11,875,164
	$	21,271,908