Real Estate under Development

9 Months Ended

Mar. 31, 2023

Real Estate [Abstract]

Real Estate under Development

8. Real Estate under Development

In January 2023, MBTS completed purchases of certain land parcels located in Canton, Mississippi, and Midway, Florida. Contemporaneously with the land purchases, MBTS entered into commercial lease agreements, as a lessor, in respect to the land parcels and build-to-suit improvements to be constructed thereon. The leases will commence upon substantial completion of the build-to-suit development, which is expected not later than the first calendar quarter of 2024. We intend to sell the land and improvements with the attached leases at or close to the respective lease commencement date.

During the three and nine months ended March 31, 2023, the Company capitalized costs of $1.7 million within real estate under development (current) on its balance sheet, representing the cost of land and development and construction costs directly identifiable with the two real estate projects.