REAL ESTATE PROPERTIES (Tables)

9 Months Ended

Sep. 30, 2023

Real Estate Investment Property, Net [Abstract]

The Company’s Real estate properties and Development and value-add properties at September 30, 2023 and December 31, 2022 were as follows:


	September 30, 2023		December 31, 2022
	(In thousands)
Real estate properties:
Land	$	808,077	730,445
Buildings and building improvements	3,271,579		3,012,319
Tenant and other improvements	678,359		633,817
Right of use assets — Ground leases (operating) (1)	18,340		19,391
Development and value-add properties (2)	552,461		538,449
	5,328,816		4,934,421
Less accumulated depreciation	(1,246,312)		(1,150,814)
	$	4,082,504	3,783,607

(1)EastGroup applies the principles of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 842, Leases, and its related Accounting Standards Updates (“ASUs”) to account for its ground leases, which are classified as operating leases. The related operating lease liabilities for ground leases are included in Other liabilities on the Consolidated Balance Sheets.

(2)Value-add properties are defined as properties that are either acquired but not stabilized or can be converted to a higher and better use. Acquired properties meeting either of the following two conditions are considered value-add properties: (1) Less than 75% occupied as of the acquisition date (or will be less than 75% occupied within one year of the acquisition date based on near term lease termination), or (2) 20% or greater of the acquisition cost will be spent to redevelop the property.