SALE OF PROPERTIES AND PROPERTY HELD-FOR-SALE

6 Months Ended

Jun. 30, 2022

SALE OF PROPERTIES AND PROPERTY HELD-FOR-SALE

SALE OF PROPERTIES AND PROPERTY HELD-FOR-SALE

NOTE 5 – SALES OF PROPERTIES AND PROPERTY HELD-FOR-SALE

Sales of Properties

The following table details the Company’s sales of real estate during the six months ended June 30, 2022 and 2021 (amounts in thousands):

		Gross		Gain on Sale of
Description of Property	Date Sold	Sales Price		Real Estate, Net
Wendys restaurant property,
Palmyra, Pennsylvania	March 22, 2022	$	2,555	$	1,200	(a)
Wendys restaurant property,
Reading, Pennsylvania	March 22, 2022		2,525		1,184	(a)
Wendys restaurant property,
Reading, Pennsylvania	March 22, 2022		2,485		1,175	(a)
Wendys restaurant property,
Trexlertown, Pennsylvania	March 22, 2022		2,435		1,090	(a)
Orlando Baking industrial property,
Columbus, Ohio (b)	May 2, 2022		8,500		6,925
Havertys retail property,
Fayetteville, Georgia	June 17, 2022		4,800		1,125	(c)
Totals - Six months ended June 30, 2022		$	23,300	$	12,699
Whole Foods retail property & parking lot,
West Hartford, Connecticut (d)	June 17, 2021	$	40,510	$	21,491	(e)
Totals - Six months ended June 30, 2021		$	40,510	$	21,491

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(a) As a result of these sales, the Company wrote-off, as a reduction to Gain on sale of real estate, net, an aggregate of $512 of unbilled rent receivable.

(b) This property was classified as held-for-sale in the accompanying consolidated balance sheet at December 31, 2021.

(c) As a result of this sale, the Company wrote-off, as a reduction to Gain on sale of real estate, net, $7 of unbilled rent receivable, $1 of unamortized intangible lease assets and $5 of unamortized intangible lease liabilities. In connection with the sale, the Company paid off the $1,563 mortgage.

(d) In connection with the sale, the Company paid-off the $15,403 mortgage and incurred a $799 fee in connection with the early termination of the interest rate swap derivative (see Note 12), which was recorded as Prepayment costs on debt.

(e) As a result of the sale, the Company wrote-off, as a reduction to Gain on sale of real estate, net, $1,148 of unbilled rent receivable and $967 of unamortized intangible lease assets

Property Held-for-Sale

In February 2022, the Company entered into a contract to sell a retail property located in Columbus, Ohio for a gross sales price of $8,300,000. The buyer’s right to terminate the contract without penalty expired on June 6, 2022. At June 30, 2022, the Company classified the $3,766,000 net book value of the property’s land, building and improvements as Property held-for-sale in the accompanying consolidated balance sheet. The property is scheduled to be sold in early August 2022 and it is anticipated the sale will result in a gain of approximately $4,000,000, which will be recognized as Gain on sale of real estate, net, on the consolidated statements of income for the three and nine months ending September 30, 2022.