Real Estate, net (Tables)

6 Months Ended

Jun. 30, 2023

Real Estate [Abstract]

Schedule of Operating Real Estate Properties

The following table presents the Company’s net lease portfolio, net, as of June 30, 2023 and December 31, 2022 (dollars in thousands):

	June 30, 2023		December 31, 2022
Land and improvements	$	124,422	$	128,608
Buildings, building leaseholds, and improvements	487,021		505,297
Tenant improvements	18,812		17,851
Subtotal	$	630,255	$	651,756
Less: Accumulated depreciation	(92,938)		(87,109)
Net lease portfolio, net	$	537,317	$	564,647

The following table presents the Company’s portfolio of other real estate, net as of June 30, 2023 and December 31, 2022 (dollars in thousands):

	June 30, 2023		December 31, 2022
Land and improvements	$	54,955	$	29,582
Buildings, building leaseholds, and improvements	190,615		152,186
Tenant improvements	23,485		18,757
Furniture, fixtures and equipment	323		135
Construction-in-progress	3,906		3,011
Subtotal	$	273,284	$	203,671
Less: Accumulated depreciation	(39,218)		(35,850)
Other portfolio, net	$	234,066	$	167,821

Property Operating Income

For the three and six months ended June 30, 2023 and 2022 the components of property operating income were as follows (dollars in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Lease revenues
Minimum lease revenue	$	18,958	$	19,334	$	38,346	$	39,068
Variable lease revenue	2,569		2,388		5,592		5,214
	$	21,527	$	21,722	$	43,938	$	44,282
Hotel operating income	—		—		—		1,566
Total property operating income(1)	$	21,527	$	21,722	$	43,938	$	45,848

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(1)Excludes net amortization income related to above and below-market leases of $0.2 million and $0.3 million for the three and six months ended June 30, 2023, respectively. Excludes de minimis and $0.1 million of net amortization income related to above and below-market leases for the three and six months ended June 30, 2022, respectively.

Schedule of Future Minimum Rental Income under Non-cancellable Operating Leases

The following table presents approximate future minimum rental income under noncancellable operating leases, excluding variable lease revenue of tenant reimbursements, to be received over the next five years and thereafter as of June 30, 2023 (dollars in thousands):

Remainder of 2023	$	38,500
2024	76,826
2025	71,723
2026	64,888
2027	60,654
2028 and thereafter	330,495
Total	$	643,086

Schedule of Asset Acquisition

The following table summarizes the Company’s real estate acquisitions for three months ended June 30, 2023 (dollars in thousands):

					Purchase Price Allocation
Acquisition Date	Property Type and Location	Number of Buildings	Purchase Price(1)		Land and Improvements(2)		Building and Improvements(2)		Lease Intangible Assets(2)		Other Assets		Lease Intangible Liabilities(2)		Other Liabilities
Three Months Ended June 30, 2023
June	Office - New York(1)	1	$	36,177	$	10,380	$	24,484	$	1,898	$	432	$	(528)	$	(489)
June	Office - New York(1)	1	36,922		14,786		15,958		6,867		876		(193)		(1,372)
			$	73,099	$	25,166	$	40,442	$	8,765	$	1,308	$	(721)	$	(1,861)

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(1)    Represents assets acquired by the Company through deeds-in-lieu of foreclosure.

(2)    Useful life of real estate acquired is 45 years for buildings, eight to nine years for tenant improvements, and three to 12 years for lease intangibles.