Dispositions and Impairment

6 Months Ended

Jun. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

The following table summarizes the Company's dispositions during the six months ended June 30, 2025 and June 30, 2024, respectively.


Sale of real estate (dollars in $000's)	June 30, 2025		June 30, 2024
Number of buildings	2		2
Building square feet	731,127		338,301
Net proceeds from sale of real estate	$	73,502	$	15,493
Net book value	$	17,467	$	9,018
Gain on the sale of real estate(1)	$	56,035	$	8,352

(1) For the six months ended June 30, 2025, excludes a net casualty loss of $80, which represents the Company's insurance deductible relating to the fire at the warehouse facility located in McDonough, Georgia that occurred on May 10, 2025.

The Company had no property classified as held for sale as of June 30, 2025 and as of December 31, 2024.

The Company assesses on a regular basis whether there are any indicators that the carrying value of its real estate assets may be impaired. Potential indicators may include prolonged vacancy at a property, tenant financial instability, change in the estimated holding period of the asset, the potential sale or transfer of the property in the near future and changes in economic conditions. An asset is determined to be impaired if the asset's carrying value is in excess of its estimated fair value and the Company estimates that its cost will not be recovered.

The Company did not incur any impairment charges on real estate during the six months ended June 30, 2025 and June 30, 2024.

On May 10, 2025, the Company experienced a fire at a warehouse facility located in McDonough, Georgia, which resulted in damage to certain property, plant and equipment. The affected assets primarily included a portion of the roof and a small portion of the exterior wall of the building. Based on the preliminary assessment, the Company recorded an estimated loss of $1,329 offset by $1,249 in insurance proceeds receivable that the Company believes are probable of receipt. The net casualty loss of $80, which represents the non-reimbursable portion of the Company's insurance deductible, is included in Gain on sale or disposal of, and recovery on, real estate, net in the Condensed Consolidated Statements of Operations for the three and six month periods ended June 30, 2025. As of June 30, 2025, the final damage assessment and settlement with the insurance carrier are still pending and the timing and final values remain subject to the final assessment and confirmation with the insurance carrier.