Investments in Real Estate, net

12 Months Ended

Dec. 31, 2023

Investments in real estate, net consist of:


$ in thousands	December 31, 2023		December 31, 2022
Building and improvements	$	563,958	$	612,374
Land and land improvements	148,411		158,191
Furniture, fixtures and equipment	11,349		11,514
Total	723,718		782,079
Accumulated depreciation	(38,115)		(22,618)
Investments in real estate, net	$	685,603	$	759,461

Acquisitions

There were no properties acquired during the year ended December 31, 2023. The following table details the properties acquired during the year ended December 31, 2022:


$ in thousands
Property Name	Ownership Interest	Number of Properties	Segment	Acquisition Date	Purchase Price(1)
Capital Park 2919 (f/k/a Grove City Industrial)	95%	1	Industrial	January 2022	$	28,030
Cortlandt Crossing	100%	1	Grocery-anchored retail	February 2022	65,553
3101 Agler (f/k/a 3101 Agler Road)	95%	1	Industrial	March 2022	20,503
Earth City 13330 (f/k/a Earth City Industrial)	95%	1	Industrial	March 2022	37,418
University Parkway Storage (f/k/a Winston-Salem Self-Storage)	100%	1	Self-storage	April 2022	12,154
Everly Roseland(2)	57%	1	Multifamily	April 2022	162,023
Bend Self-Storage Portfolio (f/k/a Bend Self-Storage)	100%	2	Self-storage	June 2022	18,078
Clarksville Self-Storage Portfolio (f/k/a Clarksville Self-Storage)	100%	3	Self-storage	July 2022	24,529
		11			$	368,288

(1)Purchase price includes acquisition-related costs.

(2)In April 2022, we acquired a 95% consolidated interest in Everly Roseland (f/k/a Everly Roseland Apartments). In May 2022, we sold 40% of our 95% interest in the Everly Roseland to an affiliate of Invesco. We continue to consolidate the property subsequent to the sale due to our controlling financial interest.

The following table summarizes the allocation of the total cost for properties acquired during the year ended December 31, 2022:


	For the Year Ended December 31,
$ in thousands		2022
Building and improvements		$	244,921
Land and land improvements		93,949
Lease intangibles(1)		26,088
Capitalized tax abatement(2)		1,666
Furniture, fixtures and equipment		2,263
Above-market lease intangibles		629
Below-market lease intangibles		(1,228)

Total purchase price(3)		$	368,288

(1)Lease intangibles consist of in-place leases and leasing commissions.

(2)We obtained a tax abatement in conjunction with our purchase of the 3101 Agler property with expiration date of December 31, 2031. We are amortizing the tax abatement over the remaining useful life as a component of property operating expenses in the consolidated statements of operations.

(3)Includes acquisition-related costs.

The weighted-average amortization periods for intangible assets and liabilities acquired in connection with our acquisitions during the year ended December 31, 2022 were as follows:


	In-place lease intangibles	Leasing commissions	Above-market lease intangibles	Below-market lease intangibles
Weighted-average amortization periods (in years)	7.77	13.39	7.58	9.86

Dispositions

On November 8, 2023, we sold Cortona at Forest Park (f/k/a Cortona Apartments), a property in the multifamily segment, to an unaffiliated third party for $62.0 million. After repaying the mortgage associated with the property, we received proceeds of $15.7 million and recorded a net gain from disposition of real estate of $0.1 million in our consolidated statements of operations.

Impairment

During the year ended December 31, 2023, we recognized an aggregate of $7.9 million of impairment charges We recognized impairment of $1.7 million related to Cortona at Forest Park at the time the asset was classified as held-for-sale, as the carrying amount exceeded the fair value, which was based on the estimated sales price, less estimated closing costs. The remaining impairment of $6.2 million was related to an office property in which the current expectation was more likely than not that the investment would be sold significantly before the end of its previously estimated hold period. Of the $6.2 million impairment charge, $5.8 million was allocated to investments in real estate, net, $0.5 million was allocated to in-place lease intangibles and leasing commissions within intangible assets, net and $0.2 million was allocated to below-market lease intangibles within accounts payable, accrued expenses and other liabilities. The fair value of the investment was determined using the income approach based on future assumptions of cash flows. As the fair value inputs are unobservable, the significant inputs used to value the investment are classified as Level 3. Refer to Note 13 — “Fair Value Measurements” for additional information on Level 3 inputs.

We did not recognize any impairment charges during the years ended December 31, 2022 and 2021.