INTANGIBLE ASSETS AND LIABILITIES

6 Months Ended

Jun. 30, 2024

INTANGIBLE ASSETS AND LIABILITIES

INTANGIBLE ASSETS AND LIABILITIES

NOTE 9. INTANGIBLE ASSETS AND LIABILITIES

Intangible assets and liabilities consist of the value of above-market and below-market leases, the value of in-place leases, and the value of leasing costs, based in each case on their fair values. Intangible assets and liabilities consisted of the following as of June 30, 2024 and December 31, 2023 (in thousands):

	As of
	June 30, 2024		December 31, 2023
Intangible Lease Assets:
Value of In-Place Leases	$	96,388	$	90,246
Value of Above Market In-Place Leases		30,993		31,533
Value of Intangible Leasing Costs		26,728		24,974
Sub-total Intangible Lease Assets		154,109		146,753
Accumulated Amortization		(59,055)		(49,644)
Sub-total Intangible Lease Assets—Net		95,054		97,109
Intangible Lease Liabilities:
Value of Below Market In-Place Leases		(19,373)		(14,848)
Sub-total Intangible Lease Liabilities		(19,373)		(14,848)
Accumulated Amortization		5,952		4,407
Sub-total Intangible Lease Liabilities—Net		(13,421)		(10,441)
Total Intangible Assets and Liabilities—Net	$	81,633	$	86,668

The following table reflects the net amortization of intangible assets and liabilities during the three and six months ended June 30, 2024 and 2023 (in thousands):

	Three Months Ended				Six Months Ended
	June 30, 2024		June 30, 2023		June 30, 2024		June 30, 2023
Amortization Expense	$	4,811	$	4,496	$	9,344	$	8,887
Accretion to Income Properties Revenue		244		627		718		1,306
Net Amortization of Intangible Assets and Liabilities	$	5,055	$	5,123	$	10,062	$	10,193

The estimated future amortization expense (income) related to net intangible assets and liabilities is as follows (in thousands):

Year Ending December 31,	Future Amortization Amount		Future Accretion to Income Property Revenue		Net Future Amortization of Intangible Assets and Liabilities
Remainder of 2024	$	9,622	$	490	$	10,112
2025		17,407		1,047		18,454
2026		16,536		1,008		17,544
2027		13,786		327		14,113
2028		9,925		309		10,234
2029		3,836		395		4,231
2030 and Thereafter		5,910		1,035		6,945
Total	$	77,022	$	4,611	$	81,633

As of June 30, 2024, the weighted average amortization period of total intangible assets and liabilities was 6.0 years and 5.7 years, respectively.