Operating Leases

6 Months Ended

Jan. 31, 2022

7.Operating Leases:

Lessor

The Company leases office and retail space to tenants under operating leases in commercial buildings. The rental terms range from approximately 5 to 49 years. The leases provide for the payment of fixed base rent payable monthly in advance as well as reimbursements of real estate taxes and common area costs. The Company has elected to account for lease revenues and the reimbursements of common area costs as a single component included as rental income in our consolidated statements of operations.

The following table disaggregates the Company's revenues by lease and non-lease components:

	Three Months Ended				Six Months Ended
	January 31				January 31
	2022		2021		2022		2021
Base rent - fixed	$	4,907,556	$	4,629,553	$	9,583,388	$	9,062,131
Reimbursements of common area costs		182,843		152,164		343,160		306,695
Non-lease components (real estate taxes)		237,950		265,150		481,348		513,035
Rental income	$	5,328,349	$	5,046,867	$	10,407,896	$	9,881,861

Future minimum non-cancelable rental income for leases with initial or remaining terms of one year or more is as follows:


	As of January 31, 2022
	Company
	Owned		Leased
Fiscal Year	Property		Property		Total
For the remainder of 2022	$	6,072,221	$	2,600,817	$	8,673,038
2023		9,191,692		3,238,674		12,430,366
2024		7,342,648		2,958,708		10,301,356
2025		6,993,387		2,575,496		9,568,883
2026		6,144,341		2,441,013		8,585,354
2027		2,926,183		4,848,001		7,774,184
After 2027		29,030,452		2,302,619		31,333,071
Total	$	67,700,924	$	20,965,328	$	88,666,252

Lessee

The Company’s real estate operations include leased properties under long-term, non-cancelable operating lease agreements. The leases expire at various dates through 2073, including options to extend or terminate the lease when it is reasonably certain the Company will exercise that option. Certain leases provide for increases in future minimum annual rental payments as defined in the lease agreements.

-13-

Index

Operating lease costs for leased real property was exceeded by sublease rental income from the Company’s real estate operations as follows:

	Three Months Ended January 31						Six Months Ended January 31
	2022			2021			2022			2021
Sublease income	$	1,810,962		$	1,740,248		$	3,597,138		$	3,468,281
Operating lease cost		(832,709	)		(832,707	)		(1,665,420	)		(1,665,420	)
Excess of sublease income over lease cost	$	978,253		$	907,541		$	1,931,718		$	1,802,861

Three Months Ended

January 31

Six Months Ended

January 31

Other information:

2022

2021

2022

2021

Operating cash flows from operating leases

528,073

497,281

1,055,287

989,613

The following is a maturity analysis of the annual undiscounted cash flows of the operating lease liabilities as of January 31, 2022:

	Operating
Period Ended	Leases
January 31, 2023	$	2,124,546
January 31, 2024		2,141,424
January 31, 2025		2,158,823
January 31, 2026		2,181,170
January 31, 2027		2,262,743
Thereafter		24,194,029
Total undiscounted cash flows		35,062,735
Less: present value discount		(7,882,432	)
Total Lease Liabilities	$	27,180,303

As of January 31, 2022, our operating leases had a weighted average remaining lease term of 17.04 years and a weighted average discount rate of 2.87%