Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 28, 2022 | Jun. 30, 2021 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Entity File Number | 1-12879 | ||
Entity Registrant Name | INDUS REALTY TRUST, INC. | ||
Entity Incorporation, State or Country Code | MD | ||
Entity Tax Identification Number | 06-0868496 | ||
Entity Address, Address Line One | 641 Lexington Avenue | ||
Entity Address, City or Town | New York | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 10022 | ||
City Area Code | 212 | ||
Local Phone Number | 218-7910 | ||
Title of 12(b) Security | Common Stock $0.01 par value per share | ||
Trading Symbol | INDT | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 10,186,143 | ||
Entity Public Float | $ 349,094,663 | ||
Auditor Name | RSM US LLP | ||
Auditor Firm ID | 49 | ||
Auditor Location | Hartford, Connecticut | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001037390 | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Real estate assets at cost, net | $ 394,166 | $ 242,321 |
Cash and cash equivalents | 150,263 | 28,124 |
Restricted cash | 10,644 | 2,551 |
Real estate assets held for sale, net | 6,802 | |
Other assets | 35,573 | 19,586 |
Total assets | 590,646 | 299,384 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Mortgage loans and construction loan, net of debt issuance costs | 169,818 | 160,655 |
Deferred revenue | 7,985 | 9,586 |
Accounts payable and accrued liabilities | 9,738 | 3,669 |
Dividends payable | 1,629 | |
Warrant liability | 8,790 | |
Other liabilities | 15,399 | 17,567 |
Total liabilities | 204,569 | 200,267 |
Commitments and Contingencies (Note 11) | ||
Stockholders' Equity | ||
Common stock, par value $0.01 per share, 50,000,000 authorized, 10,183,730 shares issued and outstanding, and 10,000,000 shares authorized, 5,663,040 shares issued and outstanding, respectively | 102 | 57 |
Additional paid-in capital | 399,754 | 116,732 |
Accumulated deficit | (10,869) | (9,817) |
Accumulated other comprehensive loss | (2,910) | (7,855) |
Total stockholders' equity | 386,077 | 99,117 |
Total liabilities and stockholders' equity | $ 590,646 | $ 299,384 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
Consolidated Balance Sheets | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 50,000,000 | 10,000,000 |
Common stock, shares issued | 10,183,730 | 5,663,040 |
Common stock, shares outstanding | 10,183,730 | 5,663,040 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Operations | |||
Rental revenue | $ 3,345 | $ 42,339 | $ 37,650 |
Operating expenses of rental properties | 497 | 5,003 | 4,680 |
Real estate taxes | 482 | 6,293 | 5,636 |
Depreciation and amortization expense | 1,122 | 15,352 | 13,686 |
General and administrative expenses | 1,172 | 11,816 | 10,503 |
Total expenses | 3,273 | 38,464 | 34,505 |
Gain on sales of real estate assets | 24,758 | 2,329 | |
Interest expense | (602) | (6,877) | (7,294) |
Impairment of real estate assets | (3,000) | (2,085) | |
Change in fair value of financial instruments | 2,785 | (2,746) | (3,189) |
Losses on early extinguishment of debt | (2,114) | ||
Investment and other income | 7 | 260 | 46 |
Other expense | (281) | 14 | (281) |
Total other income (expense) | 1,909 | 10,295 | (10,474) |
Income (loss) before income taxes | 1,981 | 14,170 | (7,329) |
Income tax expense | (26) | (3,152) | |
Net income (loss) | $ 1,981 | $ 14,144 | $ (10,481) |
Basic and diluted net income (loss) per common share | |||
Basic net income (loss) per common share | $ 0.35 | $ 1.79 | $ (1.97) |
Diluted net income (loss) per common share | $ 0.34 | $ 1.75 | $ (1.97) |
Weighted average shares outstanding - basic | 5,663,000 | 7,908,000 | 5,309,000 |
Weighted average shares outstanding - diluted | 5,844,000 | 8,081,000 | 5,309,000 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Comprehensive Income (Loss) | |||
Net income (loss) | $ 1,981 | $ 14,144 | $ (10,481) |
Other comprehensive income (loss): | |||
Reclassifications included in net income (loss) | 182 | 2,082 | 1,246 |
Unrealized gain (loss) on cash flow hedges | 14 | 2,863 | (6,561) |
Total other comprehensive income (loss) | 196 | 4,945 | (5,315) |
Total comprehensive income (loss) | $ 2,177 | $ 19,089 | $ (15,796) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total |
Balance at beginning of period at Dec. 31, 2019 | $ 57 | $ 113,275 | $ 664 | $ (2,540) | $ (20,329) | $ 91,127 |
Balance (in shares) at Dec. 31, 2019 | 5,668,043 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Exercise of stock options, including shares tendered related to stock options exercised | $ 1 | 1,569 | (1,358) | 212 | ||
Exercise of stock options, including shares tendered related to stock options exercised (in shares) | 54,930 | |||||
Sale of common stock | $ 5 | 23,037 | 23,042 | |||
Sale of common stock (in shares) | 557,883 | |||||
Stock-based compensation expense | 532 | $ 532 | ||||
Retirement of treasury stock | $ (6) | (21,681) | 21,687 | |||
Retirement of treasury stock (in shares) | (617,816) | (617,816) | ||||
Total other comprehensive income (loss) | (5,315) | $ (5,315) | ||||
Net income (loss) | (10,481) | (10,481) | ||||
Balance at end of period at Dec. 31, 2020 | $ 57 | 116,732 | (9,817) | (7,855) | 99,117 | |
Balance (in shares) at Dec. 31, 2020 | 5,663,040 | |||||
Balance at beginning of period at Nov. 30, 2020 | $ 63 | 138,372 | (11,798) | (8,051) | (21,687) | 96,899 |
Balance (in shares) at Nov. 30, 2020 | 6,280,856 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Stock-based compensation expense | 41 | 41 | ||||
Retirement of treasury stock | $ (6) | (21,681) | $ 21,687 | |||
Retirement of treasury stock (in shares) | (617,816) | |||||
Total other comprehensive income (loss) | 196 | 196 | ||||
Net income (loss) | 1,981 | 1,981 | ||||
Balance at end of period at Dec. 31, 2020 | $ 57 | 116,732 | (9,817) | (7,855) | 99,117 | |
Balance (in shares) at Dec. 31, 2020 | 5,663,040 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Exercise of stock options, including shares tendered related to stock options exercised | 442 | 442 | ||||
Exercise of stock options, including shares tendered related to stock options exercised (in shares) | 25,201 | |||||
Sale of common stock | $ 44 | 261,433 | 261,477 | |||
Sale of common stock (in shares) | 4,370,277 | |||||
Special dividend | $ 1 | 7,845 | (11,250) | (3,404) | ||
Special dividend (in shares) | 125,212 | |||||
Reclassification of warrants | 12,192 | 12,192 | ||||
Stock-based compensation expense | 1,110 | 1,110 | ||||
Common stock dividends | (3,946) | (3,946) | ||||
Total other comprehensive income (loss) | 4,945 | 4,945 | ||||
Net income (loss) | 14,144 | 14,144 | ||||
Balance at end of period at Dec. 31, 2021 | $ 102 | $ 399,754 | $ (10,869) | $ (2,910) | $ 386,077 | |
Balance (in shares) at Dec. 31, 2021 | 10,183,730 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) | 12 Months Ended |
Dec. 31, 2021$ / shares | |
Consolidated Statements of Changes in Stockholders' Equity | |
Special dividend per share (in dollars per share) | $ 1.99 |
Common dividend per share (in dollars per share) | $ 0.46 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating activities: | |||
Net income (loss) | $ 1,981 | $ 14,144 | $ (10,481) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Gain on sales of real estate assets | (24,758) | (2,329) | |
Depreciation and amortization | 1,122 | 15,352 | 13,686 |
Noncash impairment charge | 3,000 | 2,085 | |
Change in fair value of financial instruments | (2,785) | 2,746 | 3,189 |
Noncash rental revenue including straight-line rents | (250) | (2,617) | (2,696) |
Stock-based compensation expense | 41 | 1,110 | 532 |
Amortization of debt issuance costs | 42 | 1,047 | 452 |
Losses on early extinguishment of debt | 74 | ||
Amortization of terminated swap agreement | 66 | ||
Deferred income taxes | 3,357 | ||
Changes in assets and liabilities: | |||
Other assets | 1,000 | (656) | 287 |
Accounts payable and accrued liabilities | (42) | 148 | 386 |
Deferred revenue | (378) | 243 | 841 |
Other liabilities | 146 | 954 | 411 |
Net cash provided by operating activities | 877 | 10,853 | 9,720 |
Investing activities: | |||
Acquisitions of land and buildings | (125,599) | (13,670) | |
Additions to real estate assets | (768) | (47,703) | (10,396) |
Proceeds from sales of real estate assets, net of expenses | 42,344 | 3,086 | |
Deposits on building and land acquisitions | (9,800) | (365) | |
Deferred leasing costs and other | (41) | (3,282) | (1,766) |
Changes in short-term investments, net | 1,011 | ||
Net cash used in investing activities | (809) | (144,040) | (22,100) |
Financing activities: | |||
Proceeds from sale of common stock | 261,477 | 27,281 | |
Proceeds from mortgage and construction loans | 26,273 | 20,100 | |
Principal payments on mortgage loans | (417) | (17,100) | (7,948) |
Dividends paid to stockholders | (5,721) | ||
Payment of debt issuance costs | (1,886) | (445) | |
Proceeds from exercise of stock options | 442 | 212 | |
Payment for termination of interest rate swap agreement | (66) | ||
Net repayment on revolving lines of credit | (3,000) | ||
Proceeds from sale of warrants | 2,018 | ||
Net cash provided by financing activities | (417) | 263,419 | 38,218 |
Net increase in cash and cash equivalents and restricted cash | (349) | 130,232 | 25,838 |
Cash and cash equivalents and restricted cash at beginning of period | 31,024 | 30,675 | 4,837 |
Cash and cash equivalents and restricted cash at end of period | $ 30,675 | $ 160,907 | $ 30,675 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Basis of Presentation and Consolidation INDUS Realty Trust, Inc., a Maryland corporation, (“INDUS” or the “Company”) (f/k/a Griffin Industrial Realty, Inc.) is a real estate business principally engaged in developing, acquiring, managing and leasing high-quality industrial and logistics properties in select supply-constrained markets in the United States. The Company conducts substantially all of its business through its operating partnership, INDUS RT, LP, a Maryland limited partnership (the “Operating Partnership”). The Company is the sole general partner of the Operating Partnership. As used herein, the “Company” refers to INDUS Realty Trust, Inc. and its consolidated subsidiaries and partnerships, including the Operating Partnership, except where context otherwise requires. INDUS seeks to add to its property portfolio through the development of land or the acquisition of modern, market-appropriate logistics buildings in the markets it targets, all of which can serve multiple drivers of demand in the modern supply chain. INDUS also owns a limited number of office/flex properties and undeveloped land parcels much of which is not consistent with the Company’s core industrial and logistics strategy and therefore the Company sells certain non-core properties periodically over time. On December 30, 2020, pursuant to an Agreement and Plan of Merger (the “Merger Agreement”), by and among INDUS, Griffin Industrial Realty, Inc., a Delaware corporation, and Griffin Industrial Maryland, LLC, a Maryland limited liability company and a wholly-owned subsidiary of INDUS, the Company completed an internal merger to reincorporate in Maryland. On December 30, 2020, following this merger, the Company changed its name to INDUS Realty Trust, Inc. On February 5, 2021, Griffin Industrial Maryland, LLC changed its name to INDUS Realty Trust, LLC and on June 28, 2021, was converted to INDUS RT, LP, a Maryland limited partnership. On January 4, 2021, the Company announced that it intends to elect to be taxed as a real estate investment trust (“REIT”) under sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Code”) for its taxable year ended December 31, 2021 (see Note 5). On March 8, 2021, INDUS paid a distribution of the Company’s estimated accumulated earnings and profits (the “E&P Distribution”) based on the Company’s estimated taxable income through December 31, 2020 (see Note 8). INDUS’ consolidated financial statements reflect its accounts and its consolidated subsidiaries. INDUS consolidates the subsidiaries it controls through (i) voting rights or similar rights or (ii) by means other than voting rights if the Company is the primary beneficiary of a variable interest entity (“VIE”). There are no VIEs in which the Company is not a primary beneficiary. INDUS manages its operations on an aggregated, single segment basis for purposes of assessing performance and making operating decisions and, accordingly, has only one reporting and operating segment. Reporting Year Through November 30, 2020, INDUS reported on a twelve month fiscal year that ended on November 30. On November 17, 2020, in connection with the anticipated election to become a REIT, the Company’s Board of Directors approved a change in the Company’s fiscal year from November 30 to December 31, effective beginning with the Company’s next fiscal year, which began on January 1, 2021 and ended on December 31, 2021. As a result of this change, INDUS had a one-month transition period (the “Transition Period”) that began on December 1, 2020 and ended on December 31, 2020 (see Note 10). The Company has included its audited consolidated financial statements for the Transition Period in this Annual Report on Form 10-K. The consolidated statement of operations, consolidated statement of comprehensive income and consolidated statement of cash flows for the year ended December 31, 2020 have been recast to disclose the comparable twelve month activity and, therefore, include the results of the Transition Period. COVID-19 Since March 2020, the world has been impacted by the coronavirus (“COVID-19”) pandemic, which has created significant economic uncertainty and volatility. The full extent to which the coronavirus pandemic further impacts the Company’s business or impacts the Company’s operations, liquidity and financial results will depend on numerous evolving factors that the Company is not able to predict at this time, including: the duration and scope of the pandemic; development and spread of new variants of the virus; governmental, business and individuals’ actions that have been and continue to be taken in response to the pandemic; the availability, adoption and effectiveness of vaccines and treatments to combat COVID-19; the impact on economic activity from the pandemic and actions taken in response, including ongoing travel restrictions; the impact on the availability and pricing of certain materials and supplies; the effect on the Company’s tenants and their businesses; the ability of tenants to make their rental payments; any closures of tenants’ facilities; the ability of existing or prospective tenants to evaluate or enter into leases; and the Company’s ability to complete sales and acquisitions of real estate assets or planned construction and development. Any of these events could materially adversely impact the Company’s business, financial condition, results of operations or stock price. COVID-19 has also disrupted the availability, supply and costs of construction materials which has resulted in an increase in the Company’s cost of construction and delays in completion of the Company’s construction projects. If these disruptions and higher costs worsen, it could have material adverse impacts on the Company’s business, financial results and financial position in the future. COVID-19 did not have a material impact on INDUS’ rent collections for the year ended December 31, 2021 and 2020. Exchange Accommodation Titleholder INDUS may acquire property using a reverse like-kind exchange structure (a “Reverse 1031 Like-Kind Exchange”) under the Code to defer taxable gains on the subsequent sale of real estate property. As such, the acquired property (the “Parked Property”) remains in the possession of a VIE whose legal equity interests are owned by a qualified intermediary engaged to execute the Reverse 1031 Like-Kind Exchange until the subsequent sale transaction and the Reverse 1031 Like-Kind Exchange are completed. Although the VIE is legally owned by the qualified intermediary, INDUS retains essentially all of the legal and economic benefits and obligations related to the VIE (which holds the legal title to the Parked Property prior to the completion of the Reverse 1031 Like-Kind Exchange) and, as its designated manager, has the key decision-making power over the Parked Property. The VIE (including the Parked Property) is included in INDUS’ consolidated financial statements as a consolidated VIE until legal title is transferred to the Company upon completion of the Reverse 1031 Like-Kind Exchange. There were no consolidated VIEs on INDUS’ consolidated balance sheets as of December 31, 2021 and 2020. Real Estate Assets Real estate assets are recorded at cost. Salaries, interest, property taxes, insurance and other incremental costs directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are amortized over the asset's estimated useful life. Depreciation is determined on a straight-line basis over the estimated useful asset lives for financial reporting purposes and for tax purposes. Repair and maintenance costs are expensed as incurred. Real estate acquisitions are evaluated in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 805, “Business Combinations.” Generally, all of the Company’s purchases have been determined to be asset acquisitions and are recorded at relative fair value and allocated among the components of the acquired assets, which consist of land and improvements, buildings and improvements and related lease intangibles. INDUS’ intangible assets consist of: (i) the value of in-place leases; and (ii) the value of the associated relationships with tenants. INDUS’ intangible liabilities consists of the value of below market leases. Acquisition costs incurred are capitalized and included in the basis of the acquired entity. Amortization of the value of in-place leases, included in depreciation and amortization expense, is on a straight-line basis over the lease terms. Amortization of the value of below market leases, included in rental revenue, is on a straight-line basis over the lease term. INDUS classifies a property as “held for sale” when all of the following criteria for a plan of sale have been met: (1) management, having the authority to approve the action, commits to a plan to sell the property; (2) the property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (3) an active program to locate a buyer and other actions required to complete the plan to sell, have been initiated; (4) the sale of the property is probable and is expected to be completed within one year or the property is under a contract to be sold; (5) the property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When all of these criteria have been met, the property is classified as “held for sale.” Assets classified as “held for sale” are reported at the lower of their carrying value or fair value less costs to sell. Depreciation of assets ceases upon designation of a property as “held for sale.” Cash, Cash Equivalents and Restricted Cash INDUS considers all highly liquid investments with a maturity of three months or less at the date of purchase to be cash equivalents. INDUS’ restricted cash primarily consists of reserves for real estate taxes as required by certain mortgage note obligations as well as proceeds from property sales held by a qualified intermediary to be used for a tax deferred Section 1031 Like-Kind Exchanges (“1031 Like-Kind Exchange”) under the Code. The following table presents a reconciliation of cash, cash equivalents and restricted cash: December 31, December 31, 2021 2020 Cash and cash equivalents $ 150,263 $ 28,124 Restricted cash 10,644 2,551 Total cash, cash equivalents and restricted cash $ 160,907 $ 30,675 Stock-Based Compensation INDUS accounts for stock options and restricted stock units of Common Stock (“RSUs”) at fair value in accordance with FASB ASC 718, “Compensation - Stock Compensation” and FASB ASC 505-50, “Equity – Equity-Based Payments to Non-Employees.” The Company recognizes the expense ratably over the vesting periods. Impairment of Investments in Long-Lived Assets INDUS reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If indicators of impairment are present, INDUS evaluates the carrying value of the assets in relation to the operating performance and expected future undiscounted cash flows or the estimated fair value based on expected future cash flows of the underlying assets. If the undiscounted cash flows are less than the carrying value of an asset, INDUS would reduce the carrying value of a long-lived asset to its fair value if that asset’s fair value is determined to be less than its carrying value. Revenue and Gain Recognition Rental revenue is accounted for on a straight-line basis over the applicable lease term. Rental revenue includes payments received from tenants for certain building improvements owned by INDUS that are recognized over the lease term and the amortization of below market leases. INDUS elected the “non-separation practical expedient” provided for in Accounting Standards Codification Topic 842, Leases (“ASC 842”), which alleviates the requirement to separately present lease and non-lease components of lease contracts if certain criteria are met. As a result, INDUS accounts for and presents all rental income earned pursuant to tenant leases, including tenant reimbursements, as a single component in one line, “Rental revenue,” in its consolidated statements of operations. In accordance with ASC 842, the Company assesses the collectability of lease receivables (including future minimum rental payments) on a regular basis. If the Company’s assessment of collectability changes during the lease term, any difference between the revenue that would have been received under the straight-line method and the lease payments that have been collected will be recognized as a current period adjustment to rental revenue. Rental revenue associated with leases where collectability has been deemed less than probable is recognized on a cash basis. Gains on the sale of real estate assets are recognized based on the specific terms of each sale. Income Taxes As discussed above, INDUS intends to be taxed as a REIT under Sections 856 through 860 of the Code commencing with its taxable year ended December 31, 2021. To qualify as a REIT, INDUS is required (among other things) to distribute at least 90% of its REIT taxable income to its stockholders and meet various other organization and operating requirements. As a REIT, INDUS will be entitled to a tax deduction for the dividend it pays to shareholders, accordingly INDUS will not be subject to federal income taxes if it distributes 100% of its taxable income for each year to its stockholders. INDUS intends to adhere to the requirements for qualification and taxation as a REIT and maintain its REIT status. However, any taxable income from a taxable REIT subsidiary is subject to federal, state and local income taxes. INDUS has elected taxable REIT subsidiary (“TRS”) status for one of its consolidated subsidiaries which provides services that would otherwise be considered impermissible for a REIT. Accordingly, the Company has recognized an insignificant amount of income tax expense for the federal and state income taxes incurred by its TRS. If the Company fails to qualify as a REIT in any taxable year, and it is unable to avail itself of certain savings provisions set forth in the Code, all of its taxable income will be subject to regular federal corporate income tax, and it may not be able to qualify as a REIT for four subsequent taxable years. Additionally, even if INDUS qualifies for taxation as a REIT, it may be subject to certain state and local taxes on its income and property and to federal income taxes and excise taxes on its undistributed taxable income. The Company may also be subject to a corporate income tax on any gains recognized during a five-year period following the REIT conversion that are attributable to built-in gains with respect to assets that were owned on January 1, 2021. INDUS evaluates each tax position taken in its tax returns and recognizes a liability for any tax position deemed less likely than not to be sustained under examination by the relevant taxing authorities. INDUS has analyzed its federal and significant state filing positions with respect to FASB ASC 740, “Income Taxes” (“ASC 740”) and believes that its income tax filing positions will be sustained on examination and does not anticipate any adjustments that would result in a material change on its financial statements. As a result, no accrual for uncertain income tax positions has been recorded pursuant to ASC 740. INDUS’ policy for recording interest and penalties, related to uncertain tax positions, is to record such items as part of its provision for federal and state income taxes. Environmental Matters Environmental expenditures related to land and buildings are expensed or capitalized as appropriate, depending upon their future economic benefit. Expenditures that relate to an existing condition caused by past operations, and that do not have future economic benefit, are expensed. Expenditures that create future benefit or contribute to future revenue generation are capitalized. Liabilities related to future remediation costs are recorded when environmental assessments and/or cleanups are probable, and the costs can be reasonably estimated. Interest Rate Swap Agreements As of December 31, 2021, INDUS was a party to twelve interest rate swap agreements to hedge its interest rate exposures. The Company does not use derivatives for speculative purposes. INDUS applies FASB ASC 815, “Derivatives and Hedging,” (“ASC 815”) as amended, which establishes accounting and reporting standards for derivative instruments and hedging activities. ASC 815 requires the Company to recognize all derivatives as either assets or liabilities on its consolidated balance sheet and measure those instruments at fair value. The changes in the fair values of the interest rate swap agreements are measured in accordance with ASC 815 and reflected in the carrying values of the interest rate swap agreements on INDUS’ consolidated balance sheet. The estimated fair values are based primarily on projected future swap rates. INDUS applies cash flow hedge accounting to its interest rate swap agreements that are designated as hedges of the variability of future cash flows attributable to the contractually specified interest rates. All changes in the fair value of these interest rate swaps are recorded as a component of accumulated other comprehensive income (“AOCI”) in stockholders’ equity. Amounts recorded to AOCI are then reclassified to interest expense as interest on the hedged borrowing is recognized. At the inception of a hedge, INDUS documents certain items, including the relationship between the hedging instrument and the hedged item, the risk management objective and the nature of the risk being hedged, a description of how effectiveness will be measured, an evaluation of hedge transaction effectiveness at adoption and the contractually specified interest rate being hedged. Financial Instruments Pursuant to a Securities Purchase Agreement (the “Securities Purchase Agreement”) dated as of August 24, 2020, between INDUS and CM Change Industrial LP (“Conversant”), an investment entity managed by Conversant Capital LLC (f/k/a Cambiar Management LLC), INDUS, among other things, issued a warrant (the “Warrant”) to Conversant to acquire 504,590 shares of INDUS’ common stock (subject to adjustment as set forth therein), par value $0.01 per share (the “Common Stock”) (as exercised, collectively, the “Warrant Shares”) as part of a private placement of Common Stock to raise capital (see Note 2). INDUS applied ASC 815 to the Warrant and it was classified as a derivative liability on the Company’s consolidated balance sheet. The Warrant was initially recorded at its fair value and reported at fair value at each subsequent reporting date while liability classification of the Warrant was appropriate. Changes in the fair value of the Warrant were included in the change in fair value of financial instruments on INDUS’ consolidated statement of operations during the period of the change. The cash settlement provision of the Warrant expired on August 24, 2021 and the Warrant liability was reclassified to equity on that date. Conditional Asset Retirement Obligations INDUS accounts for its conditional asset retirement obligations in accordance with FASB ASC 410, “Asset Retirement and Environmental Obligations,” which requires an entity to recognize a liability for the fair value of a conditional asset retirement obligation if the fair value can be reasonably estimated even though uncertainty exists about the timing and/or method of settlement. The conditional asset retirement obligations relate principally to tobacco barns and other structures on INDUS’ land holdings that contain asbestos, primarily in roofing materials. These structures remain from the tobacco growing operations of former affiliates of INDUS, are not material to the Company’s operations and do not have any book value. Treasury Stock The Company’s shares of treasury stock were retired upon the reincorporation into Maryland on December 30, 2020. The treasury stock balance was offset by reductions to common stock and additional paid-in capital. Total stockholders’ equity was not affected by the retirement of treasury stock. Prior to that date, treasury stock was recorded at cost as a reduction of stockholders’ equity on INDUS’ consolidated balance sheets. Income (Loss) Per Share Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the year. The calculation of diluted net income (loss) per common share reflects adjusting INDUS’ outstanding shares assuming the exercise of all potentially dilutive INDUS stock options, restricted stock units and warrants. Risks and Uncertainties INDUS’ future results of operations involve a number of risks and uncertainties. Factors that could affect INDUS’ future operating results and cause actual results to vary materially from historical results include, but are not limited to, the geographical concentration of the Company’s real estate holdings, credit risk and market risk. INDUS’ real estate holdings are concentrated in the north submarket of Hartford, Connecticut area, the Lehigh Valley of Pennsylvania, the greater Charlotte, North Carolina area, Central Florida and Charleston, South Carolina. The market and economic challenges experienced by the U.S. economy as a whole or the local economic conditions in the markets in which INDUS holds properties may affect the Company’s real estate business. INDUS’ results of operations, financial condition or ability to expand may be adversely affected as a result of the following, any of which may be exacerbated by the continuance of the COVID-19 pandemic: (i) poor economic conditions or unfavorable financial changes to INDUS’ tenants, which may result in tenant defaults under leases or may lead to a curtailment of expansion plans; (ii) significant job losses, which could adversely affect the demand for rental space causing market rental rates and property values to be negatively impacted; (iii) the ability of INDUS to borrow on terms and conditions that it finds acceptable; and (iv) possibly reduced values of INDUS’ properties potentially limiting the proceeds from a sale of its properties or from debt financing collateralized by its properties. INDUS holds floating rate debt under nonrecourse mortgage loans, the interest on which is based on LIBOR. The Company entered into interest rate swap agreements whereby the floating LIBOR rates under all mortgage loans are hedged, effectively fixing the interest rate on those loans. FASB Topic 848, “Reference Rate Reform” anticipates the effect on financial reporting of the discontinuation of LIBOR and provides a means to maintaining effective hedge accounting. In adopting a practical expedient under ASU 2020-04 (see below), INDUS can continue to assert that the occurrence of the hedged forecasted transactions as they were originally documented remain probable even though the reference rate for the interest payments is modified or expected to be modified. INDUS’ cash equivalents consisted of overnight investments that are not significantly exposed to interest rate risk. Reclassifications Certain prior year amounts have been reclassified to conform to the current year’s presentation. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and revenue and expenses during the periods reported. Actual results could differ from those estimates. INDUS’ significant estimates include the impairment evaluation of its long-lived assets, derivative financial instruments, revenue and gain recognition including the estimated costs to complete required offsite improvements related to land sold and assumptions used in determining stock compensation. Recent Accounting Pronouncements Adopted In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU No. 2020-04”). ASU No. 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another rate that is expected to be discontinued. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. INDUS adopted the practical expedient related to the probability of the hedged forecasted transaction during 2020 (see above). The application of ASU No. 2020-04 did not have an impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” (“ASU No. 2018-13”). ASU No. 2018-13 removes, modifies and adds certain disclosure requirements in FASB ASC 820, “Fair Value Measurement” (“ASC 820”). The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively in the year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. ASU No. 2018-13 became effective for INDUS in the Transition Period. The application of ASU No. 2018-13 did not have an impact on its consolidated financial statements. There are various other updates recently issued which represent technical corrections to the accounting literature or apply to specific industries. INDUS does not expect the application of any of these other updates to have an impact on its consolidated financial statements. |
Sales of Common Stock
Sales of Common Stock | 12 Months Ended |
Dec. 31, 2021 | |
Sales of Common Stock | |
Sales of Common Stock | 2. Sales of Common Stock Public Offerings On February 2, 2021, INDUS filed a universal shelf registration statement on Form S-3 (the “Universal Shelf”) with the SEC. Under the Universal Shelf, the Company could offer and sell up to $500,000 of a variety of securities including the Company’s Common Stock, preferred stock, warrants, depositary shares, units or any combination of such securities during the three year period that commenced on February 22, 2021. Under the Universal Shelf, the Company may periodically offer one or more types of securities in amounts, at prices and on terms announced. On March 5, 2021, under its Universal Shelf, INDUS completed an underwritten public offering of 1,750,000 shares of its Common Stock at a price to the underwriters of $56.85 per share. On March 15, 2021, the underwriters exercised their option to purchase an additional 177,049 shares of common stock from INDUS at the same price. INDUS received net proceeds of $108,676, after expenses, from the aggregate of 1,927,049 shares issued on March 5, 2021, and March 15, 2021. The Company has used the proceeds from the issuance of its Common Stock to finance its acquisition and development pipeline and for other corporate purposes. On July 9, 2021, INDUS and INDUS RT, LP filed an updated universal shelf registration statement on Form S-3 (the “Updated Universal Shelf”) with the SEC. Under the Updated Universal Shelf, the Company may offer and sell up to $500,000 of a variety of securities including Common Stock, preferred stock, debt securities, warrants, depositary shares, rights or units, INDUS RT, LP’s debt securities or guarantees thereof by the Company, or any combination of such securities during the three year period that commenced on August 10, 2021. Under the Updated Universal Shelf, which adds debt securities of the Company and of INDUS RT, LP that the Universal Shelf did not include, the Company may periodically offer one or more types of securities in amounts, at prices and on terms announced. Effective September 1, 2021, the Company’s Board of Directors approved the establishment of an “at the market” equity issuance program (“ATM Program”), pursuant to which the Company may offer and sell Common Stock with an aggregate gross sales price of up to $100,000. There have not been any issuances of Common Stock under the ATM Program. On October 8, 2021, INDUS completed an underwritten public offering of 2,150,000 shares of its Common Stock under its Updated Universal Shelf at a price to the underwriters of $62.70 per share. On October 22, 2021, the underwriters exercised their option to purchase an additional 293,228 shares of Common Stock from INDUS at the same price. INDUS received net proceeds of $152,801, after expenses, from the aggregate of 2,443,228 shares issued on October 8, 2021, and October 22, 2021. The Company is using the proceeds from this issuance of its Common Stock to finance its acquisition and development pipeline and for other corporate purposes. When INDUS obtains additional capital by issuing equity, the interests of its existing stockholders will be diluted. If the Company incurs additional indebtedness, that indebtedness may impose financial and other covenants that may significantly restrict INDUS’ operations. Private Placement On August 24, 2020, pursuant to the Securities Purchase Agreement, INDUS: (i) sold 504,590 shares of its Common Stock; and (ii) issued the Warrant to Conversant to acquire 504,590 additional shares of Common Stock (subject to adjustment as set forth therein) at an exercise price of $60.00 per share (the “Exercise Price”). Conversant paid $50.00 per share of Common Stock and $4.00 per Warrant Share for the Warrant for total proceeds, after expenses, of $26,799. Pursuant to the Securities Purchase Agreement, for so long as Conversant owns shares of Common Stock constituting more than 4.9% of INDUS’ Common Stock issued and outstanding, Conversant will have the right to designate one member (the “Purchaser Nominee”) to INDUS’ Board of Directors (subject to certain terms and conditions set forth therein) and such Purchaser Nominee shall be nominated by the Board for re-election as a director at each subsequent meeting of the Company’s stockholders. The Warrant is exercisable from the date of issuance and has a term of three years. The Exercise Price and the number of shares of Common Stock issuable upon exercise of the Warrant is subject to appropriate adjustments in the event of certain stock dividends, stock splits, stock combinations, reclassifications or similar events affecting the Common Stock. The number of shares of Common Stock issuable upon exercise of the Warrant was increased to 515,747 shares and the exercise price was reduced to $58.70 as a result of the shares issued on March 8, 2021 in connection with the E&P Distribution (see Note 8). Upon a Fundamental Transaction (as defined in the Warrant) in which the consideration consists solely of cash, solely of marketable securities, or a combination thereof, the remaining unexercised portion of the Warrant will automatically be deemed to be exercised or the Warrant will be terminated, depending on whether the purchase price per share of one share of Common Stock in such fundamental transaction is greater or less than the Exercise Price. The holder will not be entitled to exercise any portion of the Warrant, which, upon giving effect to such exercise, would cause the aggregate number of shares of Common Stock beneficially owned by the holder of the Warrant (together with its affiliates) to exceed 9.90% of the number of shares of Common Stock outstanding immediately after giving effect to the exercise, as such percentage ownership is determined in accordance with the terms of the Warrant. However, the holder may increase or decrease such percentage to any other percentage not in excess of 19.90% upon at least 61 days’ prior notice from the holder to INDUS, subject to the terms of the Warrant. Subject to certain customary exceptions set forth in the Securities Purchase Agreement, Conversant and its affiliates are prohibited from, among other things: (i) acquiring securities or assets of INDUS; (ii) effecting a tender offer, merger, acquisition, business combination, exchange offer, recapitalization, restructuring, liquidation, dissolution or similar transaction of INDUS; (iii) making or participating in any proxy solicitation relating to the election of directors that has not been approved by the independent directors of INDUS; and (iv) seeking to control or influence the management or policies of INDUS, in each case, until the later of (x) twenty-four months following the date of the Securities Purchase Agreement and (y) such time as Conversant is no longer entitled to nominate a Purchaser Nominee to INDUS’ Board of Directors. On August 24, 2020, INDUS and Conversant also entered into a Contingent Value Rights Agreement (the “CVRA”), pursuant to which Conversant was entitled to a one-time cash payment (“CVR”) in the event that INDUS’ volume weighted average share price per share of Common Stock for the thirty trading day period ending on the date of the one-year anniversary of the date of the Securities Purchase Agreement was less than the purchase price paid by Conversant in respect of each common share, subject to adjustment as described therein. There were no payments made under the CVRA, which expired on August 24, 2021. The proceeds of the Securities Purchase Agreement were as follows: Common Stock, net of costs $ 20,542 Warrants 4,915 CVR 1,342 Total $ 26,799 Both the Warrant and the CVRs were derivative financial instruments and reported as liabilities at their fair values on INDUS’ consolidated balance sheet as of December 31, 2020 (see Notes 3 and 10). On March 3, 2020, Gordon F. DuGan was appointed to serve as a Director of INDUS, effective immediately. Mr. DuGan was also appointed as Chairman of the Board of Directors. Mr. DuGan and INDUS entered into a Chairmanship and Advisory Agreement (the “Advisory Agreement”), on March 3, 2020 (subsequently amended on May 7, 2021), whereby Mr. DuGan agreed to also serve as a non-employee advisor to INDUS on, amongst other things, growth strategy, including identifying markets, acquisitions and other transactions, recruitment of key personnel, potential capital raising efforts and general management advice (collectively the “Advisory Services”). As compensation to Mr. DuGan for providing such Advisory Services, Mr. DuGan received: (i) a non-qualified stock option to acquire 48,000 shares of INDUS Common Stock at an exercise price of $45.98 per share (subsequently adjusted to 49,061 shares at $44.99 per share due to the shares issued in connection with the E&P Distribution in the 2021 first quarter) under the 2009 Stock Option Plan (see Note 8) and (ii) a non-qualified stock option to acquire 52,000 shares of INDUS Common Stock at an exercise price of $46.91 per share (subsequently adjusted to 53,149 shares at $45.90 per share due to the stock dividend in the 2021 first quarter) under the 2020 Incentive Award (see Note 8). On March 9, 2020, INDUS completed the sale of 53,293 shares of its Common Stock at a price per share of $46.91, for cash proceeds of $2,500, in accordance with the Advisory Agreement and pursuant to a Stock Purchase Agreement, dated as of March 5, 2020, between Mr. DuGan and INDUS. |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value | |
Fair Value | 3. Fair Value INDUS applies the provisions of ASC 820, which establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs, when measuring fair value. The categorization of an asset or liability within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 establishes three levels of inputs that may be used to measure fair value, as follows: Level 1 applies to assets or liabilities for which there are quoted market prices in active markets for identical assets or liabilities. Level 2 applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, such as quoted prices for similar assets or liabilities in active markets; quoted prices for assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. Level 2 assets and liabilities include INDUS’ interest rate swap agreements (see Notes 1, 6 and 8). These inputs are readily available in public markets or can be derived from information available in publicly quoted markets, therefore, INDUS has categorized these derivative instruments as Level 2 within the fair value hierarchy. Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. As of December 31, 2020, INDUS’ consolidated balance sheet included the Warrant liability and CVR liability related to the private placement on August 24, 2020 (see Notes 2 and 10). INDUS derived these values based on the Cox-Ross- Rubenstein option-pricing model and a Monte Carlo simulation valuation methodology, respectively. Therefore, INDUS recognized these liabilities as Level 3 within the fair value hierarchy. During 2021 and 2020, INDUS did not transfer any assets or liabilities in or out of Levels 1 and 2. The following are INDUS’ financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: December 31, 2021 Quoted Prices in Significant Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Interest rate swap asset $ — $ 188 $ — Interest rate swap liabilities $ — $ 3,995 $ — December 31, 2020 Quoted Prices in Significant Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Interest rate swap liabilities $ — $ 8,766 $ — Common stock warrant liability $ — $ — $ 8,790 Contingent value rights liability $ — $ — $ 656 The amounts included in the consolidated financial statements for cash and cash equivalents, restricted cash, leasing receivables from tenants and accounts payable and accrued liabilities and interest rate swap assets and liabilities approximate their fair values because of the short-term maturities of these instruments. The fair values of the interest rate swaps (used for purposes other than trading) are determined based on discounted cash flow models that incorporate the cash flows of the derivatives as well as the current Overnight Index Swap Rate and swap curve along with the other market data, taking into account current interest rates and the credit worthiness of the counterparty for assets and the credit worthiness of INDUS for liabilities. The fair values of the mortgage loans and construction loan, net of debt issuance costs, are estimated based on current rates offered to INDUS for similar debt of the same remaining maturities and, additionally, INDUS considers its credit worthiness in determining the fair value of its mortgage loans. At December 31, 2021 and 2020, the carrying values of the mortgage loans and construction loan were $169,818 and $160,655, respectively, and the fair values of the mortgage loans and construction loan were $180,731 and $163,906, respectively. The Warrant was included on the Company’s consolidated balance sheet as a liability carried at its fair value from the date it was issued, August 24, 2020, through the first anniversary of its issuance date when the Warrant’s cash settlement provision expired (see Notes 2 and 8). The Warrant’s fair value was estimated using the Cox-Ross-Rubenstein option-pricing model. A summary of the weighted-average significant unobservable inputs (Level 3 inputs) used in determining the fair value of the Warrant as of August 24, 2021 is as follows: Warrant Liability Expected volatility 46.24 % Risk free interest rate 0.23 % Expected term (in years) 2.00 Annual dividend yield 0.89 % Fair Value of Derivative Warrant Liability Fair value at December 31, 2020 $ 8,790 Change in fair value December 31, 2020 through August 24, 2021 3,402 Reclassification to equity at August 24, 2021 $ 12,192 The fair value of the CVR liability, prior to its expiration on August 24, 2021 (see Note 2), was estimated using a Monte Carlo simulation valuation methodology. The weighted-average was comprised of unobservable inputs including expected volatility, risk free interest rate, expected term and annual dividend yield (Level 3 inputs). The change in the fair value of the CVR liability in 2021 reflected the expiration of the CVRA on August 24, 2021, and elimination of the CVR liability, which was $656 as of December 31, 2020. The loss on the fair value of financial instruments of $2,746 in 2021 reflected the loss of $3,402 for the change in the fair value of the Warrant liability from December 31, 2020, through August 24, 2021, the date it was reclassified into stockholders’ equity, partially offset by the elimination of the CVR liability. |
Real Estate Assets
Real Estate Assets | 12 Months Ended |
Dec. 31, 2021 | |
Real Estate Assets | |
Real Estate Assets | 4 . Real Estate Assets Real estate assets consist of: Estimated Useful Lives December 31, 2021 December 31, 2020 Land $ 55,135 $ 33,084 Land improvements 10 67,360 45,827 Buildings and improvements 10 311,360 233,250 Tenant improvements Shorter of useful life or terms of related lease 35,061 34,899 Machinery and equipment 3 — 10,958 Construction in progress 21,137 4,036 Development costs 3,673 5,106 493,726 367,160 Accumulated depreciation (99,560) (124,839) $ 394,166 $ 242,321 Total depreciation expense related to real estate assets was as follows: Month Ended Year Ended December 31, December 31, 2021 2020 2020 Depreciation expense $ 12,944 $ 11,930 $ 977 On November 12, 2021, INDUS closed on the purchase of 7770 Palmetto Commerce Parkway (“7770 Palmetto”), an approximately 196,500 square foot industrial/logistics building in Charleston, South Carolina for $28,488, including acquisition costs. On October 12, 2021, INDUS closed on the purchase of 2345 Township Road (“2345 Township”), an approximately 128,000 square foot industrial/logistics building in Charlotte, North Carolina for $14,935, including acquisition costs. On August 5, 2021, INDUS closed on the purchase of 2850 Interstate Drive (“2850 Interstate”), an approximately 139,500 square foot industrial/logistics building in Lakeland, Florida for $17,859, including acquisition costs. On June 28, 2021, INDUS, through a consolidated VIE, purchased 7800 Tuckaseegee Road (“7800 Tuckaseegee”), an approximately 395,500 square foot industrial/logistics building in Charlotte, North Carolina for $42,502, including acquisition costs. On May 12, 2021, INDUS, through a consolidated VIE, purchased 6355 Farm Bureau Road (“6355 Farm Bureau”), an approximately 127,500 square foot industrial/logistics building in the Lehigh Valley of Pennsylvania for $11,928, including acquisition costs. For both of these acquisitions, INDUS provided all of the funding to the VIEs for the purchases. The acquisitions of 7800 Tuckaseegee and 6355 Farm Bureau were made utilizing Reverse 1031 Like-Kind Exchanges that were entered into at the time the properties were acquired (see below). On December 1, 2021, INDUS closed on the sale of 1985 Blue Hills Avenue (“1985 BHA”), an approximately 165,000 square foot industrial/logistics building in Windsor, Connecticut and two adjacent parcels of undeveloped land aggregating approximately 39 acres to the in-place full-building tenant (the “Blue Hills Sale”) for a purchase price of $18,000, before transaction costs, and recorded a gain of $13,271. The proceeds from the Blue Hills Sale were used to complete the Reverse 1031 Like-Kind Exchange on 7800 Tuckaseegee (see above). At the time of closing, INDUS also repaid the mortgage collateralized by 1985 BHA with proceeds from the Blue Hills Sale (see Note 6). On July 23, 2021, INDUS closed on the sale of approximately 34 acres of undeveloped land in Bloomfield, Connecticut for a purchase price of $600, before transaction costs, and recorded a gain of $504 . The proceeds of this sale were used to complete the Reverse Like-Kind Exchange on 6355 Farm Bureau (see above). On December 10, 2021, INDUS closed on the purchase of two parcels of undeveloped land in Allentown, Pennsylvania for a combined purchase price of $4,229, after transaction and entitlement costs (the “American Parkway Land”). The American Parkway Land totals approximately 23 acres in the Lehigh Valley and INDUS plans to construct an approximately 206,000 square foot industrial/logistics building on this site. On April 13, 2021, INDUS closed on the purchase of an approximately 14 acre parcel of undeveloped land in Orlando, Florida (the “Jetport Land”) for a purchase price of $5,658, after transaction and entitlement costs. The Jetport Land is a replacement property as part of a 1031 Like-Kind Exchange under the Code. INDUS acquired the Jetport Land utilizing $1,993 of proceeds from the sales of one of its office/flex buildings and two smaller land parcels that were completed in November 2020 (see below). The balance of the purchase price was paid from the Company’s cash on hand and INDUS plans to construct two industrial/logistics buildings totaling approximately 195,000 square feet on the Jetport Land (see above). In 2021 and 2020, INDUS recorded impairment losses of $3,000 and $2,085, respectively, to reduce the carrying value of 5 and 7 Waterside Crossing, the Company’s two multi-story office buildings in Griffin Center in Windsor, Connecticut aggregating approximately 161,000 square feet. On November 16, 2021, the Company completed the sale (the “5&7 WSC Sale”), for a price of $5,200, before transaction costs of: (a) 5 and 7 Waterside Crossing (“5&7 WSC”); (b) 21 Griffin Road North, an approximately 48,000 square foot office/flex building; and (c) 25 Griffin Road North, an approximately 8 acre parcel of undeveloped land. INDUS recorded a loss of $158 on the 5&7 WSC Sale. At the time of closing, INDUS also repaid the mortgage collateralized by 5&7 WSC with proceeds from the 5&7 WSC Sale (see Note 6). On December 29, 2021, INDUS closed on the sale of all of the assets, including approximately 670 acres of land in Granby and East Granby, Connecticut, that were previously leased to a third-party nursery operator for a purchase price of $10,300, before transaction costs, and recorded a gain of $9,331. The net proceeds of $10,091 were deposited into escrow for the potential acquisition of a replacement property as part of a 1031 Like-Kind Exchange. On January 19, 2022, INDUS closed on the purchase of an approximately 217,000 square foot industrial/logistics building in the Charlotte, North Carolina market as a replacement property under this 1031 Like-Kind Exchange (see Note 12). On November 5, 2021, INDUS closed on the sale of all of the assets, including approximately 1,066 acres of land in Quincy, Florida, that were previously leased to a third-party operator for a purchase price of $1,000, before transaction costs, and recorded a gain of $430. On March 9, 2020, INDUS, through a consolidated VIE, purchased 170 Sunport Lane (“170 Sunport”), an approximately 68,000 square foot industrial/logistics building in Orlando, Florida, for $5,749, including acquisition costs. INDUS provided all of the funding to the VIE to purchase 170 Sunport. On February 18, 2020, INDUS, through a consolidated VIE, purchased 3320 Maggie Boulevard (“3320 Maggie”), an approximately 108,000 square foot industrial/logistics building in Orlando, Florida, for $7,921, including acquisition costs. INDUS provided all of the funding to the VIE to purchase 3320 Maggie. The acquisitions of 170 Sunport and 3320 Maggie were each made utilizing a Reverse 1031 Like-Kind Exchange. As the Company did not complete the sale transactions contemplated under the Reverse 1031 Like-Kind Exchanges within the required time, the legal titles of 170 Sunport and 3320 Maggie were transferred from the qualified intermediary to INDUS. On November 17, 2020, INDUS closed on the sale (the “55 GRS Sale”) of 55 Griffin Road South, its approximately 40,000 square foot office/flex building in Griffin Center South in Bloomfield, Connecticut. INDUS received cash proceeds of $1,400, before transaction costs and reimbursements, and recorded a pretax gain of $982 on the 55 GRS Sale. The net cash proceeds of $1,409 from the 55 GRS Sale were deposited into escrow for the potential acquisition of a replacement property as part of a 1031 Like-Kind Exchange under the Code. In November 2020, $587 of proceeds from two smaller land sales were also deposited into escrow for the potential acquisition of a replacement property as part of a 1031 Like-Kind Exchange. The combined proceeds from these sales were used to purchase the Jetport Land (see above) and complete the 1031 Like-Kind Exchanges. INDUS allocated the purchase price to the real estate assets and intangible assets (see Note 9) on a relative fair value basis. Real estate assets are being depreciated over ten and intangible assets and intangible liabilities are being amortized over the term of the associated lease. The intangible assets are included in other assets and the intangible liabilities are included in other liabilities on INDUS’ consolidated balance sheet. The purchase prices for acquisitions were allocated as follows: 2021 7770 Palmetto 2345 Township 2850 Interstate 7800 Tuckaseegee 6355 Farm Bureau Jetport Land American Pkwy Land Total Land $ 3,166 $ 1,197 $ 2,369 $ 4,606 $ 2,163 $ 5,658 $ 4,229 $ 23,388 Land improvements 4,182 671 2,832 3,526 388 — — 11,599 Buildings and improvements 20,077 12,337 12,280 33,348 10,036 — — 88,078 Tenant improvements 113 20 48 200 132 — — 513 Intangible assets 950 710 558 1,462 918 — — 4,598 Intangible liabilities — — (228) (640) (1,709) — — (2,577) $ 28,488 $ 14,935 $ 17,859 $ 42,502 $ 11,928 $ 5,658 $ 4,229 $ 125,599 2020 170 Sunport 3320 Maggie Total Land $ 1,407 $ 1,555 $ 2,962 Land improvements 523 390 913 Buildings and improvements 3,748 5,887 9,635 Tenant improvements — 109 109 Intangible assets 71 770 841 Intangible liabilities — (790) (790) $ 5,749 $ 7,921 $ 13,670 On December 31, 2021, there were no real estate assets held for sale. On December 31, 2020, real estate assets held for sale, net consisted of: Land $ 505 Land improvements 269 Development costs 6,028 $ 6,802 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes | |
Income Taxes | 5. Income Taxes In connection with the election to be taxable as a REIT for the taxable year ended December 31, 2021 (see Note 1), the Company reassessed its deferred tax assets and deferred tax liabilities during the fourth quarter of its previous fiscal year ended November 30, 2020, which resulted in de-recognizing all of its deferred tax assets and deferred tax liabilities. This de-recognition occurred because the expected recovery or settlement of the related assets and liabilities would not result in deductible or taxable amounts in any taxable year in which INDUS qualifies as a REIT. As a result of the de-recognition valuation, INDUS recorded an income tax expense for the year ended December 31, 2020 of $4,005. Accordingly, the only income tax provision reflected in the Company’s results of operations for 2021 is related to its TRS. There was no income tax expense in the Transition Period. The income tax provision for 2021 and 2020 is summarized as follows: 2021 2020 Current federal $ (22) $ — Current state and local (4) — Deferred federal — (1,966) Deferred state and local — (1,186) Total income tax provision $ (26) $ (3,152) The differences between the income tax provision at the U.S. statutory income tax rate and the actual income tax provision for 2021 and 2020 are as follows: 2021 2020 Tax (provision) benefit at statutory rate $ (22) $ 1,955 Deferred tax adjustment due to REIT election - (4,005) State and local taxes, including valuation allowance, net of federal tax effect (4) 115 Permanent items - (1,257) Other - 40 Total income tax provision $ (26) $ (3,152) INDUS evaluated each tax position taken in its tax returns and recognized a liability for any tax position deemed less likely than not to be sustained under examination by the relevant taxing authorities. The Company believes that its income tax filing positions will be sustained on examination and does not anticipate any adjustments that would result in a material change on its financial statements. As a result, no accrual for uncertain income tax positions has been recorded pursuant to ASC 740. Federal income tax returns for the Transition Period, fiscal year ended November 30, 2020 and fiscal year ended November 30, 2019 are open to examination by the Internal Revenue Service. |
Mortgage Loans, Construction Lo
Mortgage Loans, Construction Loan and Interest Rate Swaps | 12 Months Ended |
Dec. 31, 2021 | |
Mortgage Loans, Construction Loan and Interest Rate Swaps | |
Mortgage Loans, Construction Loan and Interest Rate Swaps | 6. Mortgage Loans, Construction Loan and Interest Rate Swaps INDUS’ nonrecourse mortgage loans and construction loan consist of: Mortgage loans: December 31, 2021 December 31, 2020 4.39%, due January 2, 2025 * $ 17,824 $ 18,453 4.17%, due May 1, 2026 * 12,291 12,696 3.79%, due November 17, 2026 * 23,152 23,911 4.39%, due August 1, 2027 * 9,476 9,750 3.97%, due September 1, 2027 11,174 11,419 4.57%, due February 1, 2028 * 17,145 17,601 3.60%, due January 2, 2030 * 6,182 6,350 3.48%, due February 1, 2030 14,287 14,682 3.50%, due July 1, 2030 * 4,914 5,046 4.33%, due August 1, 2030 15,867 16,244 4.51%, due April 1, 2034 13,356 13,688 4.72%, due October 3, 2022 * — 4,061 5.09%, due July 1, 2029 — 5,214 5.09%, due July 1, 2029 — 3,653 Mortgage loans 145,668 162,768 Debt issuance costs (1,745) (2,113) Mortgage loans, net of debt issuance costs 143,923 160,655 Construction loan: One-month LIBOR plus 1.65%, due May 7, 2023 26,273 — Debt issuance costs (378) — Construction loan, net of debt issuance costs 25,895 — Mortgage loans and construction loan, net of debt issuance costs $ 169,818 $ 160,655 *Variable rate loans for which INDUS has entered into interest rate swap agreements to effectively fix the interest rates on these loans to the rates reflected above. INDUS’ weighted average interest rate on its mortgage and construction loans, including the effect of its interest rate swap agreements, was 3.76% and 4.18% as of December 31, 2021 and 2020, respectively. The aggregate annual principal payment requirements under the terms of the nonrecourse mortgage loans for the years 2022 through 2026 are $4,349, $4,535, $4,722, $19,932 and $33,233, respectively. The aggregate book value of land and buildings that are collateral for the nonrecourse mortgage loans was $164,736 at December 31, 2021. On December 1, 2021, INDUS repaid two of its nonrecourse mortgage loans with the proceeds from the Blue Hills Sale (see Note 4). The first nonrecourse loan was collateralized by 1985 BHA with a fixed interest rate of 5.09% and a due date of July 1, 2029. INDUS paid the principal amount then outstanding of $4,759 and incurred $1,226 in debt extinguishment costs. The second nonrecourse loan was collateralized by two industrial/logistics buildings, 20 and 25 International Drive, in Windsor, Connecticut with a fixed interest rate of 5.09% and a due date of July 1, 2029. INDUS paid the principal amount then outstanding on that loan of $3,335 and incurred $873 in debt extinguishment costs. On November 16, 2021, INDUS repaid its nonrecourse mortgage loan collateralized by 5&7 WSC (the “Webster Loan”) with the proceeds from the 5&7 WSC Sale (see Note 4). The Webster Loan was a nonrecourse loan with a floating rate of the one-month LIBOR plus 2.75% with a due date of October 3, 2022. The Webster Loan was effectively fixed at 4.72% with an interest rate swap agreement (the “Webster Swap”). INDUS paid the principal amount then outstanding of $3,961 and incurred $15 in debt extinguishment costs. INDUS paid $66 in connection with the termination of the Webster Swap, which was recorded as interest expense. On May 7, 2021, a subsidiary of INDUS entered into a construction loan agreement (the “2021 JPM Construction Loan”) with JPMorgan to provide a portion of the funds for the site work and development of the Charlotte Build-to-Suit. Total borrowings under the 2021 JPM Construction Loan will be the lesser of $28,400 or 67.5% of the project cost (as defined in the 2021 JPM Construction Loan) of the Charlotte Build-to-Suit. INDUS expects to complete the final borrowing on the 2021 JPM Construction Loan in the first quarter of 2022. The term of the 2021 JPM Construction Loan is two years, with a one-year extension at the Company’s option. Initial interest under the 2021 JPM Construction Loan, adjusted monthly, is one-month LIBOR plus 1.65%, reduced to one-month LIBOR plus 1.40% upon completion of the Charlotte Build-to-Suit. INDUS completed the Charlotte Build-to-Suit and the commencement of rental payments by the tenant in the Charlotte Build-to-Suit began in October 2021. The final certificate of occupancy was received in the first quarter of 2022 and the interest rate on the 2021 JPM Construction Loan was reduced to one-month LIBOR plus 1.40% at that time. On June 30, 2020, a wholly-owned subsidiary of INDUS (the “2020 Borrower”) closed on a nonrecourse mortgage loan (the “2020 Webster Mortgage”) with Webster Bank, N.A. (“Webster Bank”) for $5,100, collateralized by 3320 Maggie. The 2020 Webster Mortgage has a ten-year term with monthly principal payments based on a twenty-five year amortization schedule. The interest rate for the 2020 Webster Mortgage is a floating rate of the one month LIBOR rate plus 2.56%. At the time the 2020 Webster Mortgage closed, INDUS entered into an interest rate swap agreement with Webster Bank that effectively fixes the interest rate of the 2020 Webster Mortgage at 3.50% for the entire loan term. Under the terms of the 2020 Webster Mortgage, the 2020 Borrower must maintain a minimum debt service coverage ratio (the “DSCR”), calculated by dividing the trailing twelve months net operating income of 3320 Maggie by the debt service on the 2020 Webster Mortgage for the DSCR test period, as further described under the terms of the 2020 Webster Mortgage, equal to or greater than 1.25 times, and the Loan to Value Ratio (as defined and further described under the 2020 Webster Mortgage) may not exceed 65%. The terms of the 2020 Webster Mortgage require that commencing on January 1, 2024, an annual amount equal to a total of $1.00 per square foot shall be deposited by the 2020 Borrower into an escrow account with Webster Bank until such escrow account balance reaches $300. Subject to certain terms and conditions under the 2020 Webster Mortgage, (i) the funds in the escrow account may be released by Webster Bank upon extension of 3320 Maggie’s existing lease, or entry into any other Approved Lease (as defined and further described under the 2020 Webster Mortgage) on terms and conditions acceptable to Webster Bank, in each case for a term that runs for a minimum of one year beyond the maturity date of the 2020 Webster Mortgage, or (ii) a portion of the funds in the escrow account may be released by Webster Bank for tenant improvements and lease commissions related to Approved Leases (as defined under the 2020 Webster Mortgage). On January 23, 2020, two wholly-owned subsidiaries of INDUS closed on a nonrecourse mortgage loan (the “2020 State Farm Mortgage”) with State Farm Life Insurance Company (“State Farm”) for $15,000. The 2020 State Farm Mortgage is collateralized by two industrial/logistics buildings, 6975 Ambassador Drive and 871 Nestle Way, each in the Lehigh Valley of Pennsylvania, that aggregate approximately 254,000 square feet. The 2020 State Farm Mortgage has a ten-year term with monthly principal payments based on a twenty-five-year amortization schedule. The interest rate for the 2020 State Farm Mortgage is 3.48%. $3,191 of the proceeds from the 2020 State Farm Mortgage were used to repay the mortgage loan on 871 Nestle Way that was scheduled to mature on January 27, 2020. As of December 31, 2021, INDUS was a party to twelve interest rate swap agreements with notional amounts totaling $90,984 related to its variable rate nonrecourse mortgages on certain of its real estate assets. On December 31, 2020, INDUS was a party to thirteen interest rate swap agreements with notional amounts totaling $97,868 related to its variable rate nonrecourse mortgages on certain of its real estate assets. The Company accounts for its interest rate swap agreements as effective cash flow hedges (see Notes 1, 3 and 8). Amounts in AOCI will be reclassified into interest expense over the term of the swap agreements to achieve fixed rates on each mortgage. None of the interest rate swap agreements contain any credit risk related contingent features. In 2021 and the Transition Period, INDUS recognized gains, included in other comprehensive income, of $4,945 and $196, respectively, on its interest rate swap agreements. In 2020, INDUS recognized a loss, included in other comprehensive loss, of $5,315 , on its interest rate swap agreements. As of December 31, 2021, $1,557 is expected to be reclassified over the next twelve months from AOCI to interest expense. As of December 31, 2021, the net fair value of the Company’s interest rate swap agreements was a liability of $3,807, with $188 included in other assets and $3,995 included in other liabilities on INDUS’ consolidated balance sheet. As of December 31, 2020, the net fair value of the Company’s interest rate swap agreements was a liability of $8,766, which is included in other liabilities on INDUS’ consolidated balance sheet. Total interest expense recognized during the years ended December 31, 2021, December 31, 2020 and the Transition Period was $6,877, $7,294 and $602 respectively, of which, $2,082, $1,246 and $182, respectively, was recognized related to interest rate swaps. |
Revolving Credit Agreements
Revolving Credit Agreements | 12 Months Ended |
Dec. 31, 2021 | |
Revolving Credit Agreements | |
Revolving Credit Agreements | 7. Revolving Credit Agreements On August 5, 2021, INDUS, as parent guarantor, INDUS RT, LP, as borrower, certain subsidiaries of INDUS RT, LP as guarantors, JPMorgan as Administrative Agent, Joint Lead Arranger and Joint Bookrunner, CITIBANK, N.A. as Joint Lead Arranger, Joint Bookrunner and Syndication Agent and the other parties thereto entered into an agreement for a new secured revolving credit facility of up to $100,000 (the “New Credit Facility”) with several banks that replaced the Company’s former Amended Webster Credit Line (as defined below) and Acquisition Credit Line (as defined below) with Webster Bank. The New Credit Facility has a three year term with two one-year extensions at the Company’s option and also includes an uncommitted incremental facility, which would enable the New Credit Facility to be increased up to $250,000 in the aggregate. Borrowings under the New Credit Facility will bear interest subject to a pricing grid for changes in the Company’s total leverage. Based on the Company’s current leverage, the annual interest rate under the New Credit Facility is the one-month LIBOR plus 1.20% compared to a rate of one-month LIBOR plus 2.50% and one-month LIBOR plus 2.75% under its former revolving credit line and acquisition credit line, respectively, with Webster Bank. In the event that JPMorgan determines that LIBOR is no longer available, the New Credit Facility contemplates that JPMorgan shall transition to a comparable rate of interest to the LIBOR rate. Under the terms of the New Credit Facility, INDUS must maintain: (i) a consolidated tangible net worth of $319,149 plus 75% of the aggregate increases in stockholders’ equity of the Company by reason of issuance or sale of equity of the Company; (ii) a fixed charge coverage ratio of (a) 1.25 to 1.0 through March 31, 2022, and (b) 1.50 to 1.0 on and after June 30, 2022; (iii) a maximum leverage ratio of total indebtedness to total assets of less than 60% on the last day of any fiscal quarter; (iv) a maximum secured leverage ratio of total secured indebtedness to total asset value of (a) 50% through December 31, 2022, and (b) 40% on and after March 31, 2023; (v) a minimum borrowing base of (a) $30,000 through December 30, 2022, (b) $50,000 from December 31, 2022 through December 30, 2023, and (c) $100,000 on and after December 31, 2023; and (vi) a minimum of (a) five industrial unencumbered properties from June 30, 2021 through December 30, 2023, and (b) eight industrial unencumbered properties on and after December 31, 2023. As of December 31, 2021, the Company was in compliance with the covenants of the New Credit Facility. Based on the collateral in place as of December 31, 2021, $91,472 could be borrowed under the New Credit Facility. There have been no borrowings under the New Credit Facility, however, the New Credit Facility secures certain unused standby letters of credit aggregating $3,034 that are related to INDUS’ development activities. On March 17, 2021, INDUS executed an amendment (the “Revolving Credit Line Amendment”) to its $19,500 revolving credit line (the “Webster Credit Line” and, as amended by the Revolving Credit Line Amendment, the “Amended Webster Credit Line”) with Webster Bank that was scheduled to expire on September 30, 2021. The Revolving Credit Line Amendment increased the amount of the Amended Webster Credit Line from $19,500 to $35,000, while adding two industrial/logistics buildings to the collateral for the Amended Webster Credit Line. The Amended Webster Credit Line was replaced by the New Credit Facility (see above). INDUS also had a credit line of $15,000 with Webster Bank that was used to finance certain property acquisitions (the “Acquisition Credit Line”). The Acquisition Credit Line was unsecured and also scheduled to expire on September 30, 2021. The Acquisition Credit Line was replaced by the New Credit Facility (see above). |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity | |
Stockholders' Equity | 8. Stockholders’ Equity Per Share Results Basic and diluted results per share were based on the following: Month Ended Year Ended December 31, December 31, 2021 2020 2020 Net income (loss) $ 14,144 $ (10,481) $ 1,981 Weighted average shares outstanding for computation of basic per share results 7,908,000 5,309,000 5,663,000 Incremental shares from assumed exercise of stock options and warrants and the grant of restricted stock units (a) 173,000 — 181,000 Adjusted weighted average shares for computation of diluted per share results 8,081,000 5,309,000 5,844,000 (a) Incremental shares from the assumed exercise of INDUS stock options and the Warrant and the grant of restricted stock units are not included in periods where the inclusion of such shares would be anti-dilutive. The incremental shares from the assumed exercise of stock options and the Warrant for 2020 would have been 68,000 . Equity Compensation Plans Stock Options On March 3, 2020, INDUS’ Board of Directors adopted and approved the INDUS Realty Trust, Inc. and INDUS Realty, LLC 2020 Incentive Award Plan (the “2020 Incentive Award Plan”). The 2020 Incentive Award Plan replaced the 2009 Stock Option Plan and authorizes for grant a total of 300,000 shares (plus any shares subject to awards under the 2009 Stock Option Plan, as of the date of stockholder approval of the 2020 Incentive Award Plan, that are forfeited, expire, are converted to shares of another person or are settled for cash), subject to certain adjustments in the 2020 Incentive Award Plan. In addition to granting stock options, the 2020 Incentive Award Plan also enables INDUS to grant stock appreciation rights, restricted stock awards, restricted stock unit awards, partnership interests, other equity or cash based awards and dividend equivalents. No new awards will be granted under the 2009 Stock Option Plan; however, all outstanding awards under the 2009 Stock Option Plan remain outstanding in accordance with their terms. There were no stock options granted in 2021. The following options were granted by INDUS in 2020 under the 2020 Incentive Award Plan: Fair Value per Number of Option at Shares Grant Date Non-employee directors 111,258 $ 11.00 - 14.17 The fair values of all options granted were estimated as of the grant date using the Black-Scholes option-pricing model. Assumptions used in determining the fair value of the stock options granted in 2020 were as follows: Expected volatility 29.7 - 30.3 % Risk free interest rates 0.5 - 0.9 % Expected option term (in years) 8.5 Annual dividend yield 1.3 % The forfeiture rate used was 2% based on the historical activity of the grantees. Number of option holders at December 31, 2021 14 As of December 31, 2021, the unrecognized compensation expense related to nonvested stock options that will be recognized during future periods is as follows: 2022 $ 372 2023 $ 231 2024 $ 111 2025 $ 15 The total grant date fair value of options vested during 2021 and 2020 was $428 and $458, respectively. The intrinsic value of options exercised in 2021 and 2020 was $746 and $1,216, respectively. There were no options vested or exercised in the Transition Period. A summary of INDUS’ stock option activity is as follows: Weighted Avg. Options Exercise Price Outstanding at December 31, 2019 189,822 $ 28.23 Granted 111,258 $ 45.72 Exercised (54,930) $ 28.58 Outstanding at December 31, 2020 246,150 $ 36.06 Adjustment for stock dividend 5,413 $ 34.29 Exercised (29,559) $ 26.34 Forfeited (1,067) $ 37.49 Outstanding at December 31, 2021 220,937 $ 36.47 Weighted Avg. Remaining Range of Exercise Prices for Outstanding at Weighted Avg. Contractual Life Total Intrinsic Outstanding Options December 31, 2021 Exercise Price (in years) Value $23.00 - $28.00 81,987 $ 26.23 4.2 $ 4,496 $28.00 - $32.00 14,073 $ 29.84 3.5 721 $32.00 - $47.00 124,877 $ 43.93 8.0 4,636 220,937 $ 36.47 6.3 $ 9,853 Vested options 111,258 $ 28.13 4.4 $ 5,889 Restricted Stock Units Under the 2020 Incentive Award Plan, INDUS granted the following RSUs in 2021: Time-Based Vesting Performance-Based Vesting Fair Value per Fair Value per Number of Unit at Number of Unit at Units Grant Date Shares Grant Date Employees 8,508 $ 63.15 8,508 $ 79.33 Non-employee directors 4,682 $ 67.28 - 13,190 8,508 The time-based vesting RSUs were granted to employees on February 1, 2021 and, subject to the recipient’s continued employment, will vest over three years in equal installments on February 1 of each year beginning in 2022. The performance-based vesting RSUs granted in 2021 will vest after a period of three years and be measured over the three-year period on pre-established goals. The time-based vesting RSUs granted to non-employee directors were granted on June 17, 2021 and will vest in one year. The holders of RSUs will receive credit for dividends, but do not have voting rights. The RSUs may not be sold, assigned, transferred, pledged or otherwise disposed of and are subject to risk of forfeiture prior to the expiration of the applicable vesting period. As of December 31, 2021, the unrecognized compensation expense related to RSUs that will be recognized during future periods is as follows: 2022 $ 503 2023 $ 270 2024 $ 22 Compensation expense for stock options and RSUs were as follows: Month Ended Year Ended December 31, December 31, 2021 2020 2020 Compensation expense $ 1,110 $ 532 $ 41 Warrant As of December 31, 2021, exercise of the Warrant would result in the issuance 515,747 shares of Common Stock at a price of $58.70 per share. The Warrant expires on August 24, 2023. As the Warrant contained a cash surrender provision, it was recorded at its fair value and classified as a liability on the Company’s consolidated balance sheet at the time it was issued, with changes in its fair value included in the Company’s consolidated statement of operations. On August 24, 2021, upon the expiration of the cash settlement provision of the Warrant, the fair value of the Warrant at that time, $12,192, was reclassified from a liability into stockholders’ equity (see Note 3). Dividends On January 13, 2021, in conjunction with its conversion to a REIT, INDUS announced a special dividend of $11,250 or $1.99 per share payable on March 8, 2021 in the form of cash or additional shares of the Company’s Common Stock, to holders of record as of January 22, 2021. The cash portion of the special dividend $3,404 and 125,212 shares of Common Stock were issued. The special dividend included the E&P Distribution based on the Company’s estimated taxable income through December 31, 2020. For the year ended December 31, 2021, the Company’s common dividends are as follows: Quarter Ended Record Date Payment Date Common dividend per share June 30, 2021 June 16, 2021 June 30, 2021 $0.15 September 30, 2021 September 16, 2021 September 30, 2021 $0.15 December 31, 2021 December 30, 2021 January 14, 2022 $0.16 INDUS did not declare or pay a cash dividend in 2020. Treasury Stock The Company’s 617,816 shares of treasury stock were retired upon the reincorporation into Maryland on December 30, 2020. The treasury stock balance was offset by reductions to common stock and additional paid-in capital. Total stockholders’ equity was not affected by the retirement of treasury stock (see Note 10). Stock Repurchases See Supplemental Cash Flow Information in Note 10 for information on Common Stock received in connection with the exercise of stock options. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases | |
Leases | 9. Leases The Company’s rental revenue reflects the leasing of industrial/logistics and, to a much lesser extent, office/flex space and certain land parcels. INDUS does not have any variable payment leases with its tenants. All of INDUS’ leases with its tenants are classified as operating leases with the exception of a sixty-five year ground lease of a small land parcel which is a sale-type lease. As such, a gain of approximately $1,000 on that lease is included in gain on sales of real estate assets in the Company’s consolidated statements of operations for 2021. The following is a schedule of minimum future cash rentals on the Company’s operating leases as of December 31, 2021. The schedule does not reflect future rental revenues from the renewal or replacement of existing leases or for facilities not yet in service and excludes real estate taxes and property operating expense reimbursements: 2022 32,795 2023 31,250 2024 30,173 2025 27,095 2026 22,152 Thereafter 64,038 $ 207,503 In 2016, INDUS, as lessee, entered into a ten-year sublease (the “New York Office Lease”) for approximately 1,920 square feet in New York City for its executive offices. The sublease is with Bloomingdale Properties, Inc., an entity that is controlled by certain members of the Cullman and Ernst Group, which is considered a related party to the Company. The New York Office Lease was approved by the Audit Committee of INDUS’ Board of Directors and the lease rates under the sublease were at market rate at the time the sublease was signed. Expenses related to operating leases where INDUS is the lessee were $138 in both 2021 and 2020. Expenses related to operating leases where INDUS is the lessee in the Transition Period were $12. The weighted average remaining lease term for these leases as of December 31, 2021, was 4.8 years. Maturities of lease liabilities as of December 31, 2021 are as follows: 2022 $ 143 2023 140 2024 141 2025 140 2026 117 Total undiscounted payments 681 Less: imputed interest (55) Present value of minimum lease payments $ 626 |
Supplemental Financial Statemen
Supplemental Financial Statement Information | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Financial Statement Information | |
Supplemental Financial Statement Information | 10. Supplemental Financial Statement Information Other Assets INDUS’ other assets are comprised of the following: December 31, 2021 December 31, 2020 Deposits on building and land acquisitions $ 9,800 $ 365 Deferred leasing costs, net 6,866 5,352 Straight-line rents 6,334 6,700 Intangible assets, net 5,495 2,126 Prepaid expenses 3,412 2,618 Deferred financing costs related to revolving lines of credit 917 162 Accounts receivable (primarily leases) 713 254 Right-of-use assets 593 707 Furniture, fixtures and equipment, net 369 181 Registration statement costs 341 — Interest rate swap asset 188 — Prepaid development costs 143 798 Other 402 323 Total other assets $ 35,573 $ 19,586 INDUS’ intangible assets relate to the acquisition of several industrial/logistics buildings and consist of the values of in-place leases and the associated relationships with tenants (see Note 4). The values of in-place leases and tenant relationships are amortized to depreciation and amortization expense over the remaining non-cancelable term of their respective leases. INDUS’ intangible liabilities relate to the acquisition of several industrial/logistics buildings and consist of the values of below-market leases (see Note 4). The values of the below-market leases are amortized as an increase to rental revenue over the remaining non-cancelable term of their respective leases. Intangible assets and liabilities consist of the following: Year Ended December 31, 2021 2020 Intangible assets: In-place leases, net of accumulated amortization of $2,476 and $1,596, respectively $ 5,036 $ 1,318 Tenant relationships, net of accumulated amortization of $953 and $604, respectively 459 808 Total intangible assets $ 5,495 $ 2,126 Intangible liabilities: Below market leases, net of accumulated amortization of $367 and $95, respectively $ 3,000 $ 695 Total intangible liabilities $ 3,000 $ 695 INDUS recorded amortization expense of intangible assets of $1,229, $588 and $45 in 2021, 2020 and the Transition Period, respectively. INDUS recorded an increase to rental revenue from the amortization of intangible liabilities of $272, $95 and $10 in 2021, 2020 and the Transition Period, respectively. Estimated amortization expense of intangible assets and liabilities over each of the next five years is: 2022 2023 2024 2025 2026 In-place leases $ 1,312 $ 805 $ 603 $ 484 $ 476 Tenant relationships 141 91 55 55 28 Total to be included in depreciation and amortization expense $ 1,453 $ 896 $ 658 $ 539 $ 504 Below market lease liabilities $ (409) $ (405) $ (329) $ (318) $ (318) Total to be included in rental revenue $ (409) $ (405) $ (329) $ (318) $ (318) Deferred leasing costs, net, reflected accumulated amortization of $6,673 and $7,439 as of December 31, 2021 and 2020, respectively. Amortization expense related to deferred leasing costs in 2021, 2020 and the Transition Period was $1,091, $1,086 and $94, respectively. Furniture, fixtures and equipment, net, reflected accumulated depreciation of $1,051 and $1,072 as of December 31, 2021 and 2020, respectively. Total depreciation expense related to furniture, fixtures and equipment in 2021, 2020 and the Transition Period was $88, $83 and $7, respectively. Accounts Payable and Accrued Liabilities INDUS’ accounts payable and accrued liabilities are comprised of the following: December 31, 2021 December 31, 2020 Accrued construction costs and retainage $ 5,813 $ 94 Accrued salaries, wages and other compensation 1,796 1,027 Accrued interest payable 556 580 Trade payables 503 1,093 Accrued lease commissions 468 233 Other 602 642 Total accounts payable and accrued liabilities $ 9,738 $ 3,669 Other Liabilities INDUS’ other liabilities are comprised of the following: December 31, 2021 December 31, 2020 Deferred compensation plan $ 5,097 $ 4,335 Interest rate swap liabilities 3,995 8,766 Intangible liability, net 3,000 695 Prepaid rent from tenants 1,555 1,345 Security deposits of tenants 973 710 Lease liabilities 626 739 Contingent value rights liability — 656 Other 153 321 Total other liabilities $ 15,399 $ 17,567 Supplemental Cash Flow Information In 2020, INDUS received 24,893 shares of its Common Stock in connection with the exercise of stock options as consideration for the exercise price and for reimbursement of income tax withholdings related to those stock option exercises. The shares received were recorded as treasury stock, which resulted in an increase in treasury stock of $1,358 in 2020, and did not affect the Company’s cash. Upon INDUS’ reincorporation into Maryland on December 30, 2020, all treasury stock was retired (see Note 8). Accounts payable and accrued liabilities related to additions to real estate assets increased by $5,719 in 2021 and decreased by $789 in 2020. INDUS received a tax refund in 2020 of $202 related to alternative minimum taxes paid in prior years. The Company did not receive any income tax refunds in 2021 or the Transition Period. Interest payments in 2021, 2020 and the Transition Period were $7,018, $6,932 and $576, respectively, including capitalized interest of $1,164, $126 and $12 in 2021, 2020 and the Transition Period, respectively. Savings Plan INDUS maintains the INDUS Realty Trust, Inc. 401(k) Savings Plan (the “INDUS Savings Plan”) for its employees, a defined contribution plan whereby INDUS matches 60% of each employee’s contribution, up to a maximum of 5% of base salary. The Company’s contributions to the INDUS Savings Plan in 2021, 2020 and the Transition Period were $89, $72 and $9, respectively. Deferred Compensation Plan INDUS maintains a non-qualified deferred compensation plan (the “Deferred Compensation Plan”) for certain of its employees who, due to IRC regulations, cannot take full advantage of the INDUS Savings Plan. The Company’s liability under its Deferred Compensation Plan at December 31, 2021 and 2020 was $5,097 and $4,335, respectively. Noncash expense related to the Deferred Compensation Plan in 2021, 2020 and the Transition Period was $677, $544 and $155, respectively. These amounts are included in other liabilities on INDUS’ consolidated balance sheets. The expense for the Company’s matching benefit to the Deferred Compensation Plan in 2021, 2020 and the Transition Period was $9, $12 and $1, respectively. The Deferred Compensation Plan is unfunded, with benefits to be paid from INDUS’ assets. The liability for the Deferred Compensation Plan reflects the amounts withheld from employees, the Company’s matching benefit and any gains or losses on participant account balances based on the assumed investment of amounts credited to participants’ accounts in certain mutual funds. Participant balances are tracked and any gain or loss is determined based on the performance of the mutual funds as selected by the participants and included in general and administrative expenses on INDUS’ consolidated statements of operations. Effective January 1, 2022, INDUS closed the Deferred Compensation Plan to any further contributions. Transition Period Financial Information On November 17, 2020, in connection with the anticipated election to become a REIT, the Company’s Board of Directors approved a change in the Company’s fiscal year from November 30 to December 31, effective beginning with the Company’s next fiscal year, which began on January 1, 2021 and ended on December 31, 2021. As a result of this change, INDUS had a one-month transition period (the “Transition Period”) that began on December 1, 2020 and ended on December 31, 2020 (see Note 1). The consolidated statement of operations, consolidated statement of comprehensive income and consolidated statement of cash flows for the year ended December 31, 2020 have been recast to disclose the comparable twelve month activity and, therefore, include the results of the Transition Period. The following table presents certain unaudited comparative financial information of the same period of the prior year: Month Ended Month Ended December 31, December 31, 2019 (amounts in thousands, except per share data) 2020 (unaudited) Consolidated statement of operations data: Rental revenue $ 3,345 $ 3,083 Expenses (1,364) (3,414) Pretax income (loss) 1,981 (331) Income tax benefit — 76 Net income (loss) 1,981 (255) Per share data: Basic net income (loss) per common share $ 0.35 $ (0.05) Diluted net income (loss) per common share $ 0.34 $ (0.05) Weighted average shares outstanding - basic 5,663 5,075 Weighted average shares outstanding - diluted 5,844 5,075 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | 11. Commitments and Contingencies As of December 31, 2021, INDUS had committed purchase obligations of approximately $25,583, principally related to the construction of an approximately 234,000 square foot industrial/logistics building in Windsor, Connecticut and the construction of two industrial/logistics buildings in Orlando, Florida totaling approximately 195,000 square feet, as well as improvements of its real estate assets. On November 23, 2021, the Company entered into an agreement (the “Charlotte Forward Purchase Agreement”) to acquire, for a purchase price of $21,200, before transaction costs, an approximately 231,000 square foot industrial/logistics building in the Charlotte, North Carolina market to be built by the seller. Closing on the Charlotte Forward Purchase Agreement is subject to a number of contingencies including completion of construction. There can be no guarantee that the Charlotte Forward Purchase Agreement will be completed under its current terms, or at all. On November 3, 2021, the Company entered into an agreement (the “Charleston Forward Purchase Agreement”) to acquire, for a purchase price of $28,000, before transaction costs, an approximately 263,000 square foot industrial/logistics building in Charleston, South Carolina to be built by the seller. Closing on the Charleston Forward Purchase Agreement is subject to a number of contingencies including completion of construction. There can be no guarantee that the Charleston Forward Purchase Agreement will be completed under its current terms, or at all. On August 5, 2021, INDUS entered into an agreement (the “Forward Purchase Agreement”) to acquire, for a purchase price of $31,500, an under-construction, approximately 184,000 square foot industrial/logistics portfolio in Nashville, Tennessee (the “Nashville Acquisition”) being developed on speculation by the seller and, upon completion, will be comprised of two buildings. Closing on the purchase of the Nashville Acquisition is subject to a number of contingencies including completion of construction. There can be no guarantee that the Nashville Acquisition will be completed under its current terms, or at all. From time to time, INDUS is involved, as a defendant, in various litigation matters arising in the ordinary course of business. In the opinion of management, based on the advice of legal counsel, the ultimate liability, if any, with respect to these matters is not expected to be material, individually or in the aggregate, to the Company's consolidated financial position, results of operations or cash flows. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events. | |
Subsequent Events | 12. Subsequent Events In accordance with FASB ASC 855, “Subsequent Events,” INDUS has evaluated all events or transactions occurring after December 31, 2021, the balance sheet date, and noted that there have been no such events or transactions which would require recognition or disclosure in the consolidated financial statements as of and for the year ended December 31, 2021, other than the disclosures herein. On March 2, 2022, INDUS entered into an agreement (the “Forward Acquisition Agreement”) to acquire, for a purchase price of $28,500, an under-construction, approximately 280,000 square foot industrial/logistics building in Greenville-Spartanburg, South Carolina (the “Greenville-Spartanburg Acquisition”), being developed on speculation by the seller. Closing on the purchase of the Greenville-Spartanburg Acquisition is subject to a number of contingencies including completion of construction. There can be no guarantee that the Greenville-Spartanburg Acquisition will be completed under its current terms, or at all. See Note 4 for disclosure of the subsequent event related to the purchase of an industrial/logistics building in the Charlotte, North Carolina market. On March 7, 2022, INDUS announced its intention to sell its remaining office/flex buildings (the “Office/Flex Portfolio”) and fully exit its legacy investment in office properties. The Office/Flex Portfolio is comprised of seven buildings located in Windsor and Bloomfield Connecticut totaling approximately 175,200 square feet. The Office/Flex Portfolio is approximately 70% leased and includes certain space occupied by INDUS. Additionally, INDUS intends to sell an approximately 18,000 square foot building that is located adjacent to the Office/Flex Portfolio and is principally used for storage by INDUS’ property management group. |
Schedule III-Real Estate and Ac
Schedule III-Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2021 | |
Schedule III-Real Estate and Accumulated Depreciation | |
Schedule III-Real Estate and Accumulated Depreciation | Schedule III – Real Estate and Accumulated Depreciation December 31, 2021 (dollars in thousands) Cost Capitalized Gross Amount Initial Cost Subsequent at December 31, 2021 Bldg. & to Acquisition Land Bldg. & Bldg. Tenant Construction Development Accumulated Date of Date of Depr. Description Encumbrances Land Improve. Improvements Land Improvements Improvements Improvements in Progress Costs Total Depreciation Construction Acquisition Life CT Industrial/Logistics Properties Industrial/Logistics Building - Bloomfield $ - $ 1 $ - $ 883 $ 1 $ 93 $ 790 $ - $ - $ - $ 884 $ (692) 1988 40 yrs. Industrial/Logistics Building - Bloomfield - (b) 251 1,198 1,599 251 327 1,752 718 - - 3,048 (1,202) 1997 2007 40 yrs. Industrial/Logistics Building - East Granby 12,291 4 1,722 1,224 4 780 2,139 27 - - 2,950 (2,101) 1982 1989 40 yrs. Industrial/Logistics Building - East Granby - (a) 4 - 2,177 4 231 1,664 282 - - 2,181 (1,681) 1978 40 yrs. Industrial/Logistics Building - East Granby - (a) 4 - 3,264 4 360 2,356 548 - - 3,268 (2,590) 1980 40 yrs. Industrial/Logistics Building - Windsor - (a) 259 - 5,966 259 1,422 3,866 678 - - 6,225 (3,038) 1998 40 yrs. Industrial/Logistics Building - Windsor - (a) 13 - 7,605 13 596 5,645 1,364 - - 7,618 (3,493) 2008 40 yrs. Industrial/Logistics Building - Windsor - 12 - 9,849 12 396 5,867 3,586 - - 9,861 (6,877) 1999 40 yrs. Industrial/Logistics Building - Windsor - 7 - 3,495 7 48 3,216 231 - - 3,502 (2,030) 2001 40 yrs. Industrial/Logistics Building - Windsor 15,867 13 - 6,468 13 95 5,438 935 - - 6,481 (3,347) 2003 40 yrs. Industrial/Logistics Building - Windsor - (a) 16 - 7,867 16 112 7,036 709 10 - 7,883 (4,123) 2006 40 yrs. Industrial/Logistics Building - Windsor - (a) 15 - 17,292 15 199 13,920 3,173 - - 17,307 (8,120) 2005 40 yrs. Industrial/Logistics Building - Windsor 9,476 57 - 16,084 57 1,055 13,932 1,097 - - 16,141 (6,078) 2009 40 yrs. Industrial/Logistics Building - Windsor 17,145 20 - 10,274 20 804 8,187 1,283 - - 10,294 (4,270) 2007 40 yrs. Industrial/Logistics Building - Windsor - (a) 12 - 6,978 12 473 6,288 217 - - 6,990 (3,118) 2007 40 yrs. Industrial/Logistics Building - Windsor - (a) 16 - 10,017 16 2,364 6,917 736 - - 10,033 (1,852) 2017 40 yrs. Industrial/Logistics Building - Windsor 13,356 26 - 15,556 26 3,357 11,087 1,112 - - 15,582 (1,981) 2018 40 yrs. PA Industrial/Logistics Properties Industrial/Logistics Building - Breinigsville 14,287 832 4,599 - 832 349 4,029 221 - - 5,431 (2,028) 2006 2010 40 yrs. Industrial/Logistics Building - Allentown - (a) 2,344 - 9,764 2,344 3,004 5,902 858 - - 12,108 (1,224) 2018 40 yrs. Industrial/Logistics Building - Lower Nazareth Township 17,824 1,351 - 15,727 1,351 1,402 13,075 1,250 - - 17,078 (4,610) 2014 40 yrs. Industrial/Logistics Building - Lower Nazareth Township - (a) 721 - 11,331 721 1,422 9,064 845 - - 12,052 (4,015) 2012 40 yrs. Industrial/Logistics Building - Hanover Township 23,152 3,620 - 17,061 3,620 4,608 10,353 2,100 - - 20,681 (4,025) 2016 40 yrs. Industrial/Logistics Building - Hanover Township - (a) 4,022 - 16,632 4,022 4,016 11,185 1,431 - - 20,654 (4,613) 2015 40 yrs. Industrial/Logistics Building - Allentown - (b) 2,163 - 10,728 2,163 392 10,204 132 - - 12,891 (186) 1982 2021 40 yrs. NC Industrial/Logistics Property Industrial/Logistics Building - Concord 11,174 1,600 15,189 325 1,600 1,598 13,042 874 - - 17,114 (2,895) 2015 2017 40 yrs. Industrial/Logistics Building - Concord - (b) 1,412 - 10,452 1,412 2,675 6,586 1,191 - - 11,864 (1,087) 2019 40 yrs. Industrial/Logistics Building - Concord - (b) 1,304 - 9,375 1,304 2,461 5,730 234 950 - 10,679 (649) 2019 40 yrs. Industrial/Logistics Building - Charlotte - (b) 4,606 - 37,677 4,606 3,526 33,348 200 603 - 42,283 (595) 2020 2021 40 yrs. Industrial/Logistics Building - Charlotte 26,273 5,714 - 33,549 5,714 17,146 12,872 3,524 7 - 39,263 (339) 2021 40 yrs. Industrial/Logistics Building - Charlotte - (b) 1,197 - 13,028 1,197 671 12,337 20 - - 14,225 (103) 2000 2021 40 yrs. SC Industrial/Logistics Property Industrial/Logistics Building - North Charleston - 3,166 - 24,372 3,166 4,182 20,077 113 - - 27,538 (119) 2019 2021 40 yrs. FL Industrial/Logistics Property Industrial/Logistics Building - Orlando 6,182 1,150 8,204 - 1,150 833 6,517 854 - - 9,354 (849) 1973 2019 40 yrs. Industrial/Logistics Building - Orlando 4,914 1,555 6,386 - 1,555 390 5,268 728 - - 7,941 (579) 1985 2020 40 yrs. Industrial/Logistics Building - Orlando - (b) 1,407 4,277 1,349 1,407 588 4,779 259 - - 7,033 (388) 1997 2020 40 yrs. Industrial/Logistics Building - Orlando - (b) 2,369 4,277 10,891 2,369 2,832 12,288 48 - - 17,537 (194) 2007 2021 40 yrs. Cost Capitalized Gross Amount Initial Cost Subsequent at December 31, 2021 Bldg. & to Acquisition Land Bldg. & Bldg. Tenant Construction Development Accumulated Date of Date of Depr. Description Encumbrances Land Improve. Improvements Land Improvements Improvements Improvements in Progress Costs Total Depreciation Construction Acquisition Life Office/Flex Properties Office/Flex Building - Bloomfield - (b) 5 - 4,632 5 771 3,111 750 - - 4,637 (3,989) 1977 40 yrs. Office/Flex Building - Bloomfield - 2 - 2,341 2 385 1,731 225 - - 2,343 (1,918) 1988 40 yrs. Office/Flex Building - Bloomfield - (b) 2 - 3,261 2 215 2,301 697 48 - 3,263 (1,779) 1989 40 yrs. Office/Flex Building - Bloomfield - (b) 3 - 2,011 3 149 1,460 402 - - 2,014 (1,418) 1990 40 yrs. Office/Flex Building - Bloomfield - (b) 3 - 2,264 3 90 1,638 449 87 - 2,267 (1,343) 1991 40 yrs. Office/Flex Building - Bloomfield - (b) 3 - 882 3 93 674 115 - - 885 (730) 1991 40 yrs. Office/Flex Building - Bloomfield - (b) 10 - 4,781 10 45 3,689 845 202 - 4,791 (2,704) 2001 40 yrs. Other Undeveloped land - New England Tradeport - 713 - 6,389 713 91 - - 5,383 915 7,102 (77) Undeveloped land - Griffin Center/Griffin Center South - 355 - 1,031 355 23 - - - 1,008 1,386 (21) Undeveloped land - Phoenix Crossing - 48 - 1,409 48 - - - - 1,409 1,457 - Undeveloped land - Other - 615 - 1,032 615 691 - - - 341 1,647 (490) Undeveloped land - Lehigh County, PA - 6,455 - 10,176 6,455 - - - 10,176 - 16,631 - Undeveloped land - Orange County, FL - 5,658 - 3,671 5,658 - - - 3,671 - 9,329 - $ 171,941 $ 55,135 $ 45,852 $ 392,739 $ 55,135 $ 67,360 $ 311,360 $ 35,061 $ 21,137 $ 3,673 $ 493,726 (c) $ (99,560) ● Building included in mortgage listed in the above line. ● Buildings included as collateral for a $100,000 revolving line of credit. ● As of December 31, 2021, the aggregate cost for Federal income tax purposes is $452,388 . Year ended December 31, 2021 Cost Reserve Balance at beginning of year $ 367,160 $ (124,839) Changes during the year: Additions to real estate assets 177,000 — Additions to reserve charged to costs and expense — (13,563) Reclassification from real estate held for sale (27,463) 18,871 Impairment loss (3,000) — Writeoff of fully depreciated assets (19,971) 19,971 Balance at end of year $ 493,726 $ (99,560) Year ended December 31, 2020 Cost Reserve Balance at beginning of year $ 354,586 $ (115,642) Changes during the year: Additions to real estate assets 23,226 — Additions to reserve charged to costs and expense — (11,930) Reclassification to real estate held for sale (8,314) 2,480 Impairment loss (2,085) — Writeoff of fully depreciated assets (253) 253 Balance at end of year $ 367,160 $ (124,839) |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation INDUS Realty Trust, Inc., a Maryland corporation, (“INDUS” or the “Company”) (f/k/a Griffin Industrial Realty, Inc.) is a real estate business principally engaged in developing, acquiring, managing and leasing high-quality industrial and logistics properties in select supply-constrained markets in the United States. The Company conducts substantially all of its business through its operating partnership, INDUS RT, LP, a Maryland limited partnership (the “Operating Partnership”). The Company is the sole general partner of the Operating Partnership. As used herein, the “Company” refers to INDUS Realty Trust, Inc. and its consolidated subsidiaries and partnerships, including the Operating Partnership, except where context otherwise requires. INDUS seeks to add to its property portfolio through the development of land or the acquisition of modern, market-appropriate logistics buildings in the markets it targets, all of which can serve multiple drivers of demand in the modern supply chain. INDUS also owns a limited number of office/flex properties and undeveloped land parcels much of which is not consistent with the Company’s core industrial and logistics strategy and therefore the Company sells certain non-core properties periodically over time. On December 30, 2020, pursuant to an Agreement and Plan of Merger (the “Merger Agreement”), by and among INDUS, Griffin Industrial Realty, Inc., a Delaware corporation, and Griffin Industrial Maryland, LLC, a Maryland limited liability company and a wholly-owned subsidiary of INDUS, the Company completed an internal merger to reincorporate in Maryland. On December 30, 2020, following this merger, the Company changed its name to INDUS Realty Trust, Inc. On February 5, 2021, Griffin Industrial Maryland, LLC changed its name to INDUS Realty Trust, LLC and on June 28, 2021, was converted to INDUS RT, LP, a Maryland limited partnership. On January 4, 2021, the Company announced that it intends to elect to be taxed as a real estate investment trust (“REIT”) under sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Code”) for its taxable year ended December 31, 2021 (see Note 5). On March 8, 2021, INDUS paid a distribution of the Company’s estimated accumulated earnings and profits (the “E&P Distribution”) based on the Company’s estimated taxable income through December 31, 2020 (see Note 8). INDUS’ consolidated financial statements reflect its accounts and its consolidated subsidiaries. INDUS consolidates the subsidiaries it controls through (i) voting rights or similar rights or (ii) by means other than voting rights if the Company is the primary beneficiary of a variable interest entity (“VIE”). There are no VIEs in which the Company is not a primary beneficiary. INDUS manages its operations on an aggregated, single segment basis for purposes of assessing performance and making operating decisions and, accordingly, has only one reporting and operating segment. |
Reporting Year | Reporting Year Through November 30, 2020, INDUS reported on a twelve month fiscal year that ended on November 30. On November 17, 2020, in connection with the anticipated election to become a REIT, the Company’s Board of Directors approved a change in the Company’s fiscal year from November 30 to December 31, effective beginning with the Company’s next fiscal year, which began on January 1, 2021 and ended on December 31, 2021. As a result of this change, INDUS had a one-month transition period (the “Transition Period”) that began on December 1, 2020 and ended on December 31, 2020 (see Note 10). The Company has included its audited consolidated financial statements for the Transition Period in this Annual Report on Form 10-K. The consolidated statement of operations, consolidated statement of comprehensive income and consolidated statement of cash flows for the year ended December 31, 2020 have been recast to disclose the comparable twelve month activity and, therefore, include the results of the Transition Period. |
Exchange Accommodation Titleholder | Exchange Accommodation Titleholder INDUS may acquire property using a reverse like-kind exchange structure (a “Reverse 1031 Like-Kind Exchange”) under the Code to defer taxable gains on the subsequent sale of real estate property. As such, the acquired property (the “Parked Property”) remains in the possession of a VIE whose legal equity interests are owned by a qualified intermediary engaged to execute the Reverse 1031 Like-Kind Exchange until the subsequent sale transaction and the Reverse 1031 Like-Kind Exchange are completed. Although the VIE is legally owned by the qualified intermediary, INDUS retains essentially all of the legal and economic benefits and obligations related to the VIE (which holds the legal title to the Parked Property prior to the completion of the Reverse 1031 Like-Kind Exchange) and, as its designated manager, has the key decision-making power over the Parked Property. The VIE (including the Parked Property) is included in INDUS’ consolidated financial statements as a consolidated VIE until legal title is transferred to the Company upon completion of the Reverse 1031 Like-Kind Exchange. There were no consolidated VIEs on INDUS’ consolidated balance sheets as of December 31, 2021 and 2020. |
Real Estate Assets | Real Estate Assets Real estate assets are recorded at cost. Salaries, interest, property taxes, insurance and other incremental costs directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are amortized over the asset's estimated useful life. Depreciation is determined on a straight-line basis over the estimated useful asset lives for financial reporting purposes and for tax purposes. Repair and maintenance costs are expensed as incurred. Real estate acquisitions are evaluated in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 805, “Business Combinations.” Generally, all of the Company’s purchases have been determined to be asset acquisitions and are recorded at relative fair value and allocated among the components of the acquired assets, which consist of land and improvements, buildings and improvements and related lease intangibles. INDUS’ intangible assets consist of: (i) the value of in-place leases; and (ii) the value of the associated relationships with tenants. INDUS’ intangible liabilities consists of the value of below market leases. Acquisition costs incurred are capitalized and included in the basis of the acquired entity. Amortization of the value of in-place leases, included in depreciation and amortization expense, is on a straight-line basis over the lease terms. Amortization of the value of below market leases, included in rental revenue, is on a straight-line basis over the lease term. INDUS classifies a property as “held for sale” when all of the following criteria for a plan of sale have been met: (1) management, having the authority to approve the action, commits to a plan to sell the property; (2) the property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (3) an active program to locate a buyer and other actions required to complete the plan to sell, have been initiated; (4) the sale of the property is probable and is expected to be completed within one year or the property is under a contract to be sold; (5) the property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When all of these criteria have been met, the property is classified as “held for sale.” Assets classified as “held for sale” are reported at the lower of their carrying value or fair value less costs to sell. Depreciation of assets ceases upon designation of a property as “held for sale.” |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash INDUS considers all highly liquid investments with a maturity of three months or less at the date of purchase to be cash equivalents. INDUS’ restricted cash primarily consists of reserves for real estate taxes as required by certain mortgage note obligations as well as proceeds from property sales held by a qualified intermediary to be used for a tax deferred Section 1031 Like-Kind Exchanges (“1031 Like-Kind Exchange”) under the Code. The following table presents a reconciliation of cash, cash equivalents and restricted cash: December 31, December 31, 2021 2020 Cash and cash equivalents $ 150,263 $ 28,124 Restricted cash 10,644 2,551 Total cash, cash equivalents and restricted cash $ 160,907 $ 30,675 |
Stock-Based Compensation | Stock-Based Compensation INDUS accounts for stock options and restricted stock units of Common Stock (“RSUs”) at fair value in accordance with FASB ASC 718, “Compensation - Stock Compensation” and FASB ASC 505-50, “Equity – Equity-Based Payments to Non-Employees.” The Company recognizes the expense ratably over the vesting periods. |
Impairment of Investments in Long-Lived Assets | Impairment of Investments in Long-Lived Assets INDUS reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If indicators of impairment are present, INDUS evaluates the carrying value of the assets in relation to the operating performance and expected future undiscounted cash flows or the estimated fair value based on expected future cash flows of the underlying assets. If the undiscounted cash flows are less than the carrying value of an asset, INDUS would reduce the carrying value of a long-lived asset to its fair value if that asset’s fair value is determined to be less than its carrying value. |
Revenue and Gain Recognition | Revenue and Gain Recognition Rental revenue is accounted for on a straight-line basis over the applicable lease term. Rental revenue includes payments received from tenants for certain building improvements owned by INDUS that are recognized over the lease term and the amortization of below market leases. INDUS elected the “non-separation practical expedient” provided for in Accounting Standards Codification Topic 842, Leases (“ASC 842”), which alleviates the requirement to separately present lease and non-lease components of lease contracts if certain criteria are met. As a result, INDUS accounts for and presents all rental income earned pursuant to tenant leases, including tenant reimbursements, as a single component in one line, “Rental revenue,” in its consolidated statements of operations. In accordance with ASC 842, the Company assesses the collectability of lease receivables (including future minimum rental payments) on a regular basis. If the Company’s assessment of collectability changes during the lease term, any difference between the revenue that would have been received under the straight-line method and the lease payments that have been collected will be recognized as a current period adjustment to rental revenue. Rental revenue associated with leases where collectability has been deemed less than probable is recognized on a cash basis. Gains on the sale of real estate assets are recognized based on the specific terms of each sale. |
Income Taxes | Income Taxes As discussed above, INDUS intends to be taxed as a REIT under Sections 856 through 860 of the Code commencing with its taxable year ended December 31, 2021. To qualify as a REIT, INDUS is required (among other things) to distribute at least 90% of its REIT taxable income to its stockholders and meet various other organization and operating requirements. As a REIT, INDUS will be entitled to a tax deduction for the dividend it pays to shareholders, accordingly INDUS will not be subject to federal income taxes if it distributes 100% of its taxable income for each year to its stockholders. INDUS intends to adhere to the requirements for qualification and taxation as a REIT and maintain its REIT status. However, any taxable income from a taxable REIT subsidiary is subject to federal, state and local income taxes. INDUS has elected taxable REIT subsidiary (“TRS”) status for one of its consolidated subsidiaries which provides services that would otherwise be considered impermissible for a REIT. Accordingly, the Company has recognized an insignificant amount of income tax expense for the federal and state income taxes incurred by its TRS. If the Company fails to qualify as a REIT in any taxable year, and it is unable to avail itself of certain savings provisions set forth in the Code, all of its taxable income will be subject to regular federal corporate income tax, and it may not be able to qualify as a REIT for four subsequent taxable years. Additionally, even if INDUS qualifies for taxation as a REIT, it may be subject to certain state and local taxes on its income and property and to federal income taxes and excise taxes on its undistributed taxable income. The Company may also be subject to a corporate income tax on any gains recognized during a five-year period following the REIT conversion that are attributable to built-in gains with respect to assets that were owned on January 1, 2021. INDUS evaluates each tax position taken in its tax returns and recognizes a liability for any tax position deemed less likely than not to be sustained under examination by the relevant taxing authorities. INDUS has analyzed its federal and significant state filing positions with respect to FASB ASC 740, “Income Taxes” (“ASC 740”) and believes that its income tax filing positions will be sustained on examination and does not anticipate any adjustments that would result in a material change on its financial statements. As a result, no accrual for uncertain income tax positions has been recorded pursuant to ASC 740. INDUS’ policy for recording interest and penalties, related to uncertain tax positions, is to record such items as part of its provision for federal and state income taxes. |
Environmental Matters | Environmental Matters Environmental expenditures related to land and buildings are expensed or capitalized as appropriate, depending upon their future economic benefit. Expenditures that relate to an existing condition caused by past operations, and that do not have future economic benefit, are expensed. Expenditures that create future benefit or contribute to future revenue generation are capitalized. Liabilities related to future remediation costs are recorded when environmental assessments and/or cleanups are probable, and the costs can be reasonably estimated. |
Interest Rate Swap Agreements | Interest Rate Swap Agreements As of December 31, 2021, INDUS was a party to twelve interest rate swap agreements to hedge its interest rate exposures. The Company does not use derivatives for speculative purposes. INDUS applies FASB ASC 815, “Derivatives and Hedging,” (“ASC 815”) as amended, which establishes accounting and reporting standards for derivative instruments and hedging activities. ASC 815 requires the Company to recognize all derivatives as either assets or liabilities on its consolidated balance sheet and measure those instruments at fair value. The changes in the fair values of the interest rate swap agreements are measured in accordance with ASC 815 and reflected in the carrying values of the interest rate swap agreements on INDUS’ consolidated balance sheet. The estimated fair values are based primarily on projected future swap rates. INDUS applies cash flow hedge accounting to its interest rate swap agreements that are designated as hedges of the variability of future cash flows attributable to the contractually specified interest rates. All changes in the fair value of these interest rate swaps are recorded as a component of accumulated other comprehensive income (“AOCI”) in stockholders’ equity. Amounts recorded to AOCI are then reclassified to interest expense as interest on the hedged borrowing is recognized. At the inception of a hedge, INDUS documents certain items, including the relationship between the hedging instrument and the hedged item, the risk management objective and the nature of the risk being hedged, a description of how effectiveness will be measured, an evaluation of hedge transaction effectiveness at adoption and the contractually specified interest rate being hedged. |
Financial Instruments | Financial Instruments Pursuant to a Securities Purchase Agreement (the “Securities Purchase Agreement”) dated as of August 24, 2020, between INDUS and CM Change Industrial LP (“Conversant”), an investment entity managed by Conversant Capital LLC (f/k/a Cambiar Management LLC), INDUS, among other things, issued a warrant (the “Warrant”) to Conversant to acquire 504,590 shares of INDUS’ common stock (subject to adjustment as set forth therein), par value $0.01 per share (the “Common Stock”) (as exercised, collectively, the “Warrant Shares”) as part of a private placement of Common Stock to raise capital (see Note 2). INDUS applied ASC 815 to the Warrant and it was classified as a derivative liability on the Company’s consolidated balance sheet. The Warrant was initially recorded at its fair value and reported at fair value at each subsequent reporting date while liability classification of the Warrant was appropriate. Changes in the fair value of the Warrant were included in the change in fair value of financial instruments on INDUS’ consolidated statement of operations during the period of the change. The cash settlement provision of the Warrant expired on August 24, 2021 and the Warrant liability was reclassified to equity on that date. |
Conditional Asset Retirement Obligations | Conditional Asset Retirement Obligations INDUS accounts for its conditional asset retirement obligations in accordance with FASB ASC 410, “Asset Retirement and Environmental Obligations,” which requires an entity to recognize a liability for the fair value of a conditional asset retirement obligation if the fair value can be reasonably estimated even though uncertainty exists about the timing and/or method of settlement. The conditional asset retirement obligations relate principally to tobacco barns and other structures on INDUS’ land holdings that contain asbestos, primarily in roofing materials. These structures remain from the tobacco growing operations of former affiliates of INDUS, are not material to the Company’s operations and do not have any book value. |
Treasury Stock | Treasury Stock The Company’s shares of treasury stock were retired upon the reincorporation into Maryland on December 30, 2020. The treasury stock balance was offset by reductions to common stock and additional paid-in capital. Total stockholders’ equity was not affected by the retirement of treasury stock. Prior to that date, treasury stock was recorded at cost as a reduction of stockholders’ equity on INDUS’ consolidated balance sheets. |
Income (Loss) Per Share | Income (Loss) Per Share Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the year. The calculation of diluted net income (loss) per common share reflects adjusting INDUS’ outstanding shares assuming the exercise of all potentially dilutive INDUS stock options, restricted stock units and warrants. |
Risks and Uncertainties | Risks and Uncertainties INDUS’ future results of operations involve a number of risks and uncertainties. Factors that could affect INDUS’ future operating results and cause actual results to vary materially from historical results include, but are not limited to, the geographical concentration of the Company’s real estate holdings, credit risk and market risk. INDUS’ real estate holdings are concentrated in the north submarket of Hartford, Connecticut area, the Lehigh Valley of Pennsylvania, the greater Charlotte, North Carolina area, Central Florida and Charleston, South Carolina. The market and economic challenges experienced by the U.S. economy as a whole or the local economic conditions in the markets in which INDUS holds properties may affect the Company’s real estate business. INDUS’ results of operations, financial condition or ability to expand may be adversely affected as a result of the following, any of which may be exacerbated by the continuance of the COVID-19 pandemic: (i) poor economic conditions or unfavorable financial changes to INDUS’ tenants, which may result in tenant defaults under leases or may lead to a curtailment of expansion plans; (ii) significant job losses, which could adversely affect the demand for rental space causing market rental rates and property values to be negatively impacted; (iii) the ability of INDUS to borrow on terms and conditions that it finds acceptable; and (iv) possibly reduced values of INDUS’ properties potentially limiting the proceeds from a sale of its properties or from debt financing collateralized by its properties. INDUS holds floating rate debt under nonrecourse mortgage loans, the interest on which is based on LIBOR. The Company entered into interest rate swap agreements whereby the floating LIBOR rates under all mortgage loans are hedged, effectively fixing the interest rate on those loans. FASB Topic 848, “Reference Rate Reform” anticipates the effect on financial reporting of the discontinuation of LIBOR and provides a means to maintaining effective hedge accounting. In adopting a practical expedient under ASU 2020-04 (see below), INDUS can continue to assert that the occurrence of the hedged forecasted transactions as they were originally documented remain probable even though the reference rate for the interest payments is modified or expected to be modified. INDUS’ cash equivalents consisted of overnight investments that are not significantly exposed to interest rate risk. |
Reclassifications | Reclassifications Certain prior year amounts have been reclassified to conform to the current year’s presentation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and revenue and expenses during the periods reported. Actual results could differ from those estimates. INDUS’ significant estimates include the impairment evaluation of its long-lived assets, derivative financial instruments, revenue and gain recognition including the estimated costs to complete required offsite improvements related to land sold and assumptions used in determining stock compensation. |
Recent Accounting Pronouncements Adopted | Recent Accounting Pronouncements Adopted In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU No. 2020-04”). ASU No. 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another rate that is expected to be discontinued. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. INDUS adopted the practical expedient related to the probability of the hedged forecasted transaction during 2020 (see above). The application of ASU No. 2020-04 did not have an impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” (“ASU No. 2018-13”). ASU No. 2018-13 removes, modifies and adds certain disclosure requirements in FASB ASC 820, “Fair Value Measurement” (“ASC 820”). The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively in the year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. ASU No. 2018-13 became effective for INDUS in the Transition Period. The application of ASU No. 2018-13 did not have an impact on its consolidated financial statements. There are various other updates recently issued which represent technical corrections to the accounting literature or apply to specific industries. INDUS does not expect the application of any of these other updates to have an impact on its consolidated financial statements. |
COVID 19 | |
COVID-19 | COVID-19 Since March 2020, the world has been impacted by the coronavirus (“COVID-19”) pandemic, which has created significant economic uncertainty and volatility. The full extent to which the coronavirus pandemic further impacts the Company’s business or impacts the Company’s operations, liquidity and financial results will depend on numerous evolving factors that the Company is not able to predict at this time, including: the duration and scope of the pandemic; development and spread of new variants of the virus; governmental, business and individuals’ actions that have been and continue to be taken in response to the pandemic; the availability, adoption and effectiveness of vaccines and treatments to combat COVID-19; the impact on economic activity from the pandemic and actions taken in response, including ongoing travel restrictions; the impact on the availability and pricing of certain materials and supplies; the effect on the Company’s tenants and their businesses; the ability of tenants to make their rental payments; any closures of tenants’ facilities; the ability of existing or prospective tenants to evaluate or enter into leases; and the Company’s ability to complete sales and acquisitions of real estate assets or planned construction and development. Any of these events could materially adversely impact the Company’s business, financial condition, results of operations or stock price. COVID-19 has also disrupted the availability, supply and costs of construction materials which has resulted in an increase in the Company’s cost of construction and delays in completion of the Company’s construction projects. If these disruptions and higher costs worsen, it could have material adverse impacts on the Company’s business, financial results and financial position in the future. COVID-19 did not have a material impact on INDUS’ rent collections for the year ended December 31, 2021 and 2020. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Summary of Significant Accounting Policies | |
Schedule of reconciliation of cash, cash equivalents and restricted cash | December 31, December 31, 2021 2020 Cash and cash equivalents $ 150,263 $ 28,124 Restricted cash 10,644 2,551 Total cash, cash equivalents and restricted cash $ 160,907 $ 30,675 |
Sales of Common Stock (Tables)
Sales of Common Stock (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Sales of Common Stock | |
Schedule of proceeds from the Securities Purchase Agreement | The proceeds of the Securities Purchase Agreement were as follows: Common Stock, net of costs $ 20,542 Warrants 4,915 CVR 1,342 Total $ 26,799 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value | |
Schedule of financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | December 31, 2021 Quoted Prices in Significant Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Interest rate swap asset $ — $ 188 $ — Interest rate swap liabilities $ — $ 3,995 $ — December 31, 2020 Quoted Prices in Significant Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Interest rate swap liabilities $ — $ 8,766 $ — Common stock warrant liability $ — $ — $ 8,790 Contingent value rights liability $ — $ — $ 656 |
Summary of the weighted-average significant unobservable inputs used in determining fair value of the warrant liability | Warrant Liability Expected volatility 46.24 % Risk free interest rate 0.23 % Expected term (in years) 2.00 Annual dividend yield 0.89 % Fair Value of Derivative Warrant Liability Fair value at December 31, 2020 $ 8,790 Change in fair value December 31, 2020 through August 24, 2021 3,402 Reclassification to equity at August 24, 2021 $ 12,192 |
Real Estate Assets (Tables)
Real Estate Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Real Estate Assets | |
Schedule of real estate assets | Estimated Useful Lives December 31, 2021 December 31, 2020 Land $ 55,135 $ 33,084 Land improvements 10 67,360 45,827 Buildings and improvements 10 311,360 233,250 Tenant improvements Shorter of useful life or terms of related lease 35,061 34,899 Machinery and equipment 3 — 10,958 Construction in progress 21,137 4,036 Development costs 3,673 5,106 493,726 367,160 Accumulated depreciation (99,560) (124,839) $ 394,166 $ 242,321 |
Schedule of total depreciation expense and capitalized interest related to real estate assets | Month Ended Year Ended December 31, December 31, 2021 2020 2020 Depreciation expense $ 12,944 $ 11,930 $ 977 |
Schedule of purchase price allocation | 2021 7770 Palmetto 2345 Township 2850 Interstate 7800 Tuckaseegee 6355 Farm Bureau Jetport Land American Pkwy Land Total Land $ 3,166 $ 1,197 $ 2,369 $ 4,606 $ 2,163 $ 5,658 $ 4,229 $ 23,388 Land improvements 4,182 671 2,832 3,526 388 — — 11,599 Buildings and improvements 20,077 12,337 12,280 33,348 10,036 — — 88,078 Tenant improvements 113 20 48 200 132 — — 513 Intangible assets 950 710 558 1,462 918 — — 4,598 Intangible liabilities — — (228) (640) (1,709) — — (2,577) $ 28,488 $ 14,935 $ 17,859 $ 42,502 $ 11,928 $ 5,658 $ 4,229 $ 125,599 2020 170 Sunport 3320 Maggie Total Land $ 1,407 $ 1,555 $ 2,962 Land improvements 523 390 913 Buildings and improvements 3,748 5,887 9,635 Tenant improvements — 109 109 Intangible assets 71 770 841 Intangible liabilities — (790) (790) $ 5,749 $ 7,921 $ 13,670 |
Schedule of real estate held for sale | Land $ 505 Land improvements 269 Development costs 6,028 $ 6,802 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes | |
Schedule of income tax (provision) benefit in continuing operations | 2021 2020 Current federal $ (22) $ — Current state and local (4) — Deferred federal — (1,966) Deferred state and local — (1,186) Total income tax provision $ (26) $ (3,152) |
Schedule of differences between the income tax benefit at the United States statutory income tax rates and the actual income tax benefit on continuing operations | 2021 2020 Tax (provision) benefit at statutory rate $ (22) $ 1,955 Deferred tax adjustment due to REIT election - (4,005) State and local taxes, including valuation allowance, net of federal tax effect (4) 115 Permanent items - (1,257) Other - 40 Total income tax provision $ (26) $ (3,152) |
Mortgage Loans, Construction _2
Mortgage Loans, Construction Loan and Interest Rate Swaps (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Mortgage Loans, Construction Loan and Interest Rate Swaps | |
Schedule of mortgage and construction loans | Mortgage loans: December 31, 2021 December 31, 2020 4.39%, due January 2, 2025 * $ 17,824 $ 18,453 4.17%, due May 1, 2026 * 12,291 12,696 3.79%, due November 17, 2026 * 23,152 23,911 4.39%, due August 1, 2027 * 9,476 9,750 3.97%, due September 1, 2027 11,174 11,419 4.57%, due February 1, 2028 * 17,145 17,601 3.60%, due January 2, 2030 * 6,182 6,350 3.48%, due February 1, 2030 14,287 14,682 3.50%, due July 1, 2030 * 4,914 5,046 4.33%, due August 1, 2030 15,867 16,244 4.51%, due April 1, 2034 13,356 13,688 4.72%, due October 3, 2022 * — 4,061 5.09%, due July 1, 2029 — 5,214 5.09%, due July 1, 2029 — 3,653 Mortgage loans 145,668 162,768 Debt issuance costs (1,745) (2,113) Mortgage loans, net of debt issuance costs 143,923 160,655 Construction loan: One-month LIBOR plus 1.65%, due May 7, 2023 26,273 — Debt issuance costs (378) — Construction loan, net of debt issuance costs 25,895 — Mortgage loans and construction loan, net of debt issuance costs $ 169,818 $ 160,655 *Variable rate loans for which INDUS has entered into interest rate swap agreements to effectively fix the interest rates on these loans to the rates reflected above. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Schedule of basic and diluted per share results | Month Ended Year Ended December 31, December 31, 2021 2020 2020 Net income (loss) $ 14,144 $ (10,481) $ 1,981 Weighted average shares outstanding for computation of basic per share results 7,908,000 5,309,000 5,663,000 Incremental shares from assumed exercise of stock options and warrants and the grant of restricted stock units (a) 173,000 — 181,000 Adjusted weighted average shares for computation of diluted per share results 8,081,000 5,309,000 5,844,000 (a) Incremental shares from the assumed exercise of INDUS stock options and the Warrant and the grant of restricted stock units are not included in periods where the inclusion of such shares would be anti-dilutive. The incremental shares from the assumed exercise of stock options and the Warrant for 2020 would have been 68,000 . |
Schedule of options granted by INDUS under the Stock Option Plan to non-employee directors | Fair Value per Number of Option at Shares Grant Date Non-employee directors 111,258 $ 11.00 - 14.17 |
Schedule of options granted under RSU | Time-Based Vesting Performance-Based Vesting Fair Value per Fair Value per Number of Unit at Number of Unit at Units Grant Date Shares Grant Date Employees 8,508 $ 63.15 8,508 $ 79.33 Non-employee directors 4,682 $ 67.28 - 13,190 8,508 |
Schedule of assumptions used in determining fair values of options | Expected volatility 29.7 - 30.3 % Risk free interest rates 0.5 - 0.9 % Expected option term (in years) 8.5 Annual dividend yield 1.3 % The forfeiture rate used was 2% based on the historical activity of the grantees. |
Schedule of option holders | Number of option holders at December 31, 2021 14 |
Schedule of unrecognized compensation expense related to nonvested stock options | 2022 $ 372 2023 $ 231 2024 $ 111 2025 $ 15 |
Summary of the activity under the INDUS Stock Option Plan | Weighted Avg. Options Exercise Price Outstanding at December 31, 2019 189,822 $ 28.23 Granted 111,258 $ 45.72 Exercised (54,930) $ 28.58 Outstanding at December 31, 2020 246,150 $ 36.06 Adjustment for stock dividend 5,413 $ 34.29 Exercised (29,559) $ 26.34 Forfeited (1,067) $ 37.49 Outstanding at December 31, 2021 220,937 $ 36.47 |
Schedule of options by range of exercise prices | Weighted Avg. Remaining Range of Exercise Prices for Outstanding at Weighted Avg. Contractual Life Total Intrinsic Outstanding Options December 31, 2021 Exercise Price (in years) Value $23.00 - $28.00 81,987 $ 26.23 4.2 $ 4,496 $28.00 - $32.00 14,073 $ 29.84 3.5 721 $32.00 - $47.00 124,877 $ 43.93 8.0 4,636 220,937 $ 36.47 6.3 $ 9,853 Vested options 111,258 $ 28.13 4.4 $ 5,889 |
Summary of company's common dividends | For the year ended December 31, 2021, the Company’s common dividends are as follows: Quarter Ended Record Date Payment Date Common dividend per share June 30, 2021 June 16, 2021 June 30, 2021 $0.15 September 30, 2021 September 16, 2021 September 30, 2021 $0.15 December 31, 2021 December 30, 2021 January 14, 2022 $0.16 |
Restricted Stock Units (RSUs) [Member] | |
Schedule of unrecognized compensation expense related to nonvested stock options | 2022 $ 503 2023 $ 270 2024 $ 22 |
Schedule of compensation expense and related tax benefits for stock options | Month Ended Year Ended December 31, December 31, 2021 2020 2020 Compensation expense $ 1,110 $ 532 $ 41 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases | |
Schedule of future minimum lease payments to be received under noncancelable operating leases | The following is a schedule of minimum future cash rentals on the Company’s operating leases as of December 31, 2021. The schedule does not reflect future rental revenues from the renewal or replacement of existing leases or for facilities not yet in service and excludes real estate taxes and property operating expense reimbursements: 2022 32,795 2023 31,250 2024 30,173 2025 27,095 2026 22,152 Thereafter 64,038 $ 207,503 |
Schedule of maturities of lease liabilities | 2022 $ 143 2023 140 2024 141 2025 140 2026 117 Total undiscounted payments 681 Less: imputed interest (55) Present value of minimum lease payments $ 626 |
Supplemental Financial Statem_2
Supplemental Financial Statement Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Financial Statement Information | |
Schedule of other assets | December 31, 2021 December 31, 2020 Deposits on building and land acquisitions $ 9,800 $ 365 Deferred leasing costs, net 6,866 5,352 Straight-line rents 6,334 6,700 Intangible assets, net 5,495 2,126 Prepaid expenses 3,412 2,618 Deferred financing costs related to revolving lines of credit 917 162 Accounts receivable (primarily leases) 713 254 Right-of-use assets 593 707 Furniture, fixtures and equipment, net 369 181 Registration statement costs 341 — Interest rate swap asset 188 — Prepaid development costs 143 798 Other 402 323 Total other assets $ 35,573 $ 19,586 |
Schedule of intangible assets and liabilities | Year Ended December 31, 2021 2020 Intangible assets: In-place leases, net of accumulated amortization of $2,476 and $1,596, respectively $ 5,036 $ 1,318 Tenant relationships, net of accumulated amortization of $953 and $604, respectively 459 808 Total intangible assets $ 5,495 $ 2,126 Intangible liabilities: Below market leases, net of accumulated amortization of $367 and $95, respectively $ 3,000 $ 695 Total intangible liabilities $ 3,000 $ 695 |
Schedule of estimated amortization expense of intangible assets and liabilities | 2022 2023 2024 2025 2026 In-place leases $ 1,312 $ 805 $ 603 $ 484 $ 476 Tenant relationships 141 91 55 55 28 Total to be included in depreciation and amortization expense $ 1,453 $ 896 $ 658 $ 539 $ 504 Below market lease liabilities $ (409) $ (405) $ (329) $ (318) $ (318) Total to be included in rental revenue $ (409) $ (405) $ (329) $ (318) $ (318) |
Schedule of accounts payable and accrued liabilities | December 31, 2021 December 31, 2020 Accrued construction costs and retainage $ 5,813 $ 94 Accrued salaries, wages and other compensation 1,796 1,027 Accrued interest payable 556 580 Trade payables 503 1,093 Accrued lease commissions 468 233 Other 602 642 Total accounts payable and accrued liabilities $ 9,738 $ 3,669 |
Schedule of other liabilities | December 31, 2021 December 31, 2020 Deferred compensation plan $ 5,097 $ 4,335 Interest rate swap liabilities 3,995 8,766 Intangible liability, net 3,000 695 Prepaid rent from tenants 1,555 1,345 Security deposits of tenants 973 710 Lease liabilities 626 739 Contingent value rights liability — 656 Other 153 321 Total other liabilities $ 15,399 $ 17,567 |
Schedule of transition period financial information | Month Ended Month Ended December 31, December 31, 2019 (amounts in thousands, except per share data) 2020 (unaudited) Consolidated statement of operations data: Rental revenue $ 3,345 $ 3,083 Expenses (1,364) (3,414) Pretax income (loss) 1,981 (331) Income tax benefit — 76 Net income (loss) 1,981 (255) Per share data: Basic net income (loss) per common share $ 0.35 $ (0.05) Diluted net income (loss) per common share $ 0.34 $ (0.05) Weighted average shares outstanding - basic 5,663 5,075 Weighted average shares outstanding - diluted 5,844 5,075 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) $ / shares in Units, $ in Thousands | Mar. 15, 2021shares | Aug. 24, 2020$ / sharesshares | Dec. 31, 2021USD ($)segmentderivative$ / shares | Dec. 31, 2020derivative$ / shares |
Fiscal Year | ||||
Length of fiscal year | 12 months | |||
Transition period | 1 month | |||
Number of reporting segment | segment | 1 | |||
Income Taxes | ||||
Accrual for uncertain income tax positions | $ | $ 0 | |||
Financial Instruments | ||||
Sale of common stock (in shares) | shares | 1,927,049 | 1 | ||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||
Interest rate swap agreement | ||||
Interest Rate Swap Agreements | ||||
Number of interest rate swap derivatives | derivative | 12 | 13 | ||
Securities Purchase Agreement | ||||
Financial Instruments | ||||
Sale of common stock (in shares) | shares | 504,590 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Nov. 30, 2020 | Dec. 31, 2019 |
Summary of Significant Accounting Policies | ||||
Cash and cash equivalents | $ 150,263 | $ 28,124 | ||
Restricted cash | 10,644 | 2,551 | ||
Total cash, cash equivalents and restricted cash | $ 160,907 | $ 30,675 | $ 31,024 | $ 4,837 |
Sale of Common Stock (Details)
Sale of Common Stock (Details) $ / shares in Units, $ in Thousands | Oct. 22, 2021USD ($)shares | Oct. 22, 2021shares | Oct. 08, 2021$ / sharesshares | Jul. 09, 2021USD ($) | Mar. 15, 2021USD ($)shares | Mar. 15, 2021shares | Mar. 05, 2021$ / sharesshares | Feb. 02, 2021USD ($) | Aug. 24, 2020USD ($)D$ / sharesshares | Mar. 09, 2020USD ($)$ / sharesshares | Mar. 03, 2020$ / sharesshares | Mar. 31, 2020$ / sharesshares | Dec. 31, 2021USD ($)$ / sharesshares | Dec. 31, 2020USD ($)shares | Sep. 01, 2021USD ($) |
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Maximum offering from universal shelf registration | $ | $ 500,000 | $ 500,000 | |||||||||||||
Term of securities offered under self registration | 3 years | 3 years | |||||||||||||
Sale of common stock (in shares) | shares | 1,927,049 | 1 | |||||||||||||
Proceeds from sale of common stock | $ | $ 108,676 | $ 261,477 | $ 27,281 | ||||||||||||
Exercise price | $ / shares | $ 58.70 | $ 58.70 | |||||||||||||
Proceeds from the Securities Purchase Agreement | $ | $ 26,799 | ||||||||||||||
Number of warrants exercised | shares | 515,747 | ||||||||||||||
Stock options granted (in shares) | shares | 0 | 111,258,000 | |||||||||||||
Exercise of stock options (shares) | shares | 29,559,000 | 54,930,000 | |||||||||||||
Proceeds from exercise of stock options | $ | $ 442 | $ 212 | |||||||||||||
2009 Stock Option Plan | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Stock options granted (in shares) | shares | 48,000 | 49,061 | 0 | ||||||||||||
Exercise price (in dollars per share) | $ / shares | $ 45.98 | $ 44.99 | |||||||||||||
2020 Incentive Award Plan | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Stock options granted (in shares) | shares | 52,000 | 53,149 | |||||||||||||
Exercise price (in dollars per share) | $ / shares | $ 46.91 | $ 46.91 | $ 45.90 | ||||||||||||
Exercise of stock options (shares) | shares | 53,293 | ||||||||||||||
Proceeds from exercise of stock options | $ | $ 2,500 | ||||||||||||||
Public Offering [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Sale of common stock (in shares) | shares | 1,750,000 | ||||||||||||||
Share price | $ / shares | $ 56.85 | ||||||||||||||
Over-Allotment Option [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Sale of common stock (in shares) | shares | 293,228 | 2,443,228 | 2,150,000 | 177,049 | |||||||||||
Share price | $ / shares | $ 62.70 | ||||||||||||||
Proceeds from sale of common stock | $ | $ 152,801 | ||||||||||||||
Securities Purchase Agreement | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Sale of common stock (in shares) | shares | 504,590 | ||||||||||||||
Share price | $ / shares | $ 50 | ||||||||||||||
Minimum period to nominate member to board of directors | 24 months | ||||||||||||||
Additional shares of common stock | shares | 504,590 | ||||||||||||||
Exercise price | $ / shares | $ 60 | ||||||||||||||
Warrant Price | $ / shares | $ 4 | ||||||||||||||
Proceeds from the Securities Purchase Agreement | $ | $ 26,799 | ||||||||||||||
Percentage of ownership interest | 4.90% | ||||||||||||||
Contingent Value Rights Agreement [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percentage of warrants | 9.90% | ||||||||||||||
Proceeds from the Securities Purchase Agreement | $ | $ 1,342 | ||||||||||||||
Warrant Term | 3 years | ||||||||||||||
Trading days | D | 30 | ||||||||||||||
Contingent Value Rights Agreement [Member] | Received Minimum Sixty One Days Prior Notice from Holder | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percentage of warrants | 19.90% | ||||||||||||||
Increase (Decrease) in beneficial ownership interest | 61 days | ||||||||||||||
At The Market Offering [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Aggregate gross sale offering amount | $ | $ 100,000 | ||||||||||||||
Common Stock | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Proceeds from the Securities Purchase Agreement | $ | $ 20,542 | ||||||||||||||
Warrant | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Proceeds from the Securities Purchase Agreement | $ | $ 4,915 |
Fair Value (Details)
Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Assets, transfers from Level 1 to Level 2 | $ 0 | $ 0 |
Liabilities, transfers from Level 1 to Level 2 | 0 | 0 |
Assets, transfers from Level 2 to Level 1 | 0 | 0 |
Liabilities, transfers from Level 2 to Level 1 | 0 | 0 |
Interest rate swap liabilities | 3,995 | 8,766 |
Contingent Value Rights Liability | ||
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Common stock warrant liability | 656 | |
Recurring basis | Significant Observable Inputs (Level 2) | ||
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Interest rate swap assets | 188 | |
Interest rate swap liabilities | 3,995 | 8,766 |
Recurring basis | Level 3 | ||
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Common stock warrant liability | 8,790 | |
Contingent value rights liability | 656 | |
Carrying Value | ||
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Contingent value rights liability | 169,818 | 160,655 |
Estimated Fair Value | ||
Financial assets and liabilities carried at fair value and measured at fair value on a recurring basis: | ||
Contingent value rights liability | $ 180,731 | $ 163,906 |
Fair Value - Fair value of warr
Fair Value - Fair value of warrant liability (Details) - Level 3 - Warrant Liability - Valuation Technique, Option Pricing Model | Aug. 24, 2021Y |
Expected volatility | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Weighted average significant input for fair value measurement | 46.24 |
Risk free interest rates | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Weighted average significant input for fair value measurement | 0.23 |
Expected term (in years) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Weighted average significant input for fair value measurement | 2 |
Annual dividend yield | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Weighted average significant input for fair value measurement | 0.89 |
Fair Value - Fair value of wa_2
Fair Value - Fair value of warrant liability reconciliation (Details) - USD ($) $ in Thousands | 8 Months Ended | 12 Months Ended | |
Aug. 24, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Warrant Liability | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Initial fair value at inception, Beginning balance | $ 8,790 | $ 8,790 | |
Change in fair value | 3,402 | ||
Reclassification to equity, Ending balance | $ 12,192 | $ 8,790 | |
Loss on fair value | $ 2,746 | ||
Contingent Value Rights Liability | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Change in fair value | $ (656) |
Real Estate Assets (Details)
Real Estate Assets (Details) - USD ($) $ in Thousands | Nov. 16, 2021 | Nov. 17, 2020 | Dec. 31, 2020 | Nov. 30, 2020 | Dec. 31, 2021 | Dec. 31, 2020 |
Real Estate Assets | ||||||
Land | $ 33,084 | $ 55,135 | $ 33,084 | |||
Land improvements | 45,827 | 67,360 | 45,827 | |||
Buildings and improvements | 233,250 | 311,360 | 233,250 | |||
Tenant improvements | 34,899 | 35,061 | 34,899 | |||
Machinery and equipment | 10,958 | 10,958 | ||||
Construction in progress | 4,036 | 21,137 | 4,036 | |||
Development costs | 5,106 | 3,673 | 5,106 | |||
Real estate assets, gross | 367,160 | 493,726 | 367,160 | |||
Accumulated depreciation | (124,839) | (99,560) | (124,839) | |||
Real estate assets, net | 242,321 | 394,166 | 242,321 | |||
Depreciation expense | $ 977 | 12,944 | 11,930 | |||
Real estate assets | ||||||
Noncash impairment charge | $ 3,000 | 2,085 | ||||
Proceeds from land sale deposited in escrow | $ 587 | |||||
Minimum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 10 years | |||||
Maximum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 40 years | |||||
5 and 7 Waterside Crossing | ||||||
Real estate assets | ||||||
Noncash impairment charge | $ 3,000 | $ 2,085 | ||||
Gain (loss) on sale of assets | $ (158) | |||||
Office or Flex Building at 55 Griffin Road South | ||||||
Real estate assets | ||||||
Cash received on sale of land | $ 1,400 | |||||
Gain (loss) on sale of assets | 982 | |||||
Proceeds from land sale deposited in escrow | $ 1,409 | |||||
Land improvements | Minimum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 10 years | |||||
Land improvements | Maximum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 30 years | |||||
Buildings and improvements | Minimum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 10 years | |||||
Buildings and improvements | Maximum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 40 years | |||||
Machinery and equipment. | Minimum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 3 years | |||||
Machinery and equipment. | Maximum | ||||||
Real Estate Assets | ||||||
Estimated Useful Lives | 20 years |
Real Estate Assets - 2021 Acqui
Real Estate Assets - 2021 Acquisitions (Details) $ in Thousands | Dec. 10, 2021USD ($)aft²item | Dec. 09, 2021USD ($)a | Dec. 01, 2021USD ($)aft²item | Nov. 16, 2021USD ($)ft² | Nov. 12, 2021USD ($)ft² | Nov. 05, 2021USD ($)a | Oct. 12, 2021USD ($)ft² | Aug. 05, 2021USD ($)ft² | Jul. 23, 2021USD ($)a | Jun. 28, 2021USD ($)ft² | May 12, 2021USD ($)ft² | Apr. 13, 2021USD ($)aft²building | Nov. 30, 2020USD ($) | Dec. 31, 2021USD ($)ft² | Dec. 31, 2020USD ($) | Jan. 19, 2022ft² |
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 55,135 | $ 33,084 | ||||||||||||||
Land improvements | 67,360 | 45,827 | ||||||||||||||
Buildings and improvements | 311,360 | 233,250 | ||||||||||||||
Tenant improvements | 35,061 | 34,899 | ||||||||||||||
Real estate assets, net | 394,166 | 242,321 | ||||||||||||||
Area of land | ft² | 217,000 | |||||||||||||||
Proceeds from land sale deposited in escrow | $ 587 | |||||||||||||||
Impairment charges | 3,000 | 2,085 | ||||||||||||||
2021 Acquisitions | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | 23,388 | |||||||||||||||
Land improvements | 11,599 | |||||||||||||||
Buildings and improvements | 88,078 | |||||||||||||||
Tenant improvements | 513 | |||||||||||||||
Value of in-place lease | 4,598 | |||||||||||||||
Value of below market lease | (2,577) | |||||||||||||||
Real estate assets, net | $ 125,599 | |||||||||||||||
7770 Palmetto | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 3,166 | |||||||||||||||
Land improvements | 4,182 | |||||||||||||||
Buildings and improvements | 20,077 | |||||||||||||||
Tenant improvements | 113 | |||||||||||||||
Value of in-place lease | 950 | |||||||||||||||
Real estate assets, net | $ 28,488 | |||||||||||||||
Area of building | ft² | 196,500 | |||||||||||||||
Cash paid for real estate | $ 28,488 | |||||||||||||||
2345 Township | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 1,197 | |||||||||||||||
Land improvements | 671 | |||||||||||||||
Buildings and improvements | 12,337 | |||||||||||||||
Tenant improvements | 20 | |||||||||||||||
Value of in-place lease | 710 | |||||||||||||||
Real estate assets, net | $ 14,935 | |||||||||||||||
Area of building | ft² | 128,000 | |||||||||||||||
Cash paid for real estate | $ 14,935 | |||||||||||||||
2850 Interstate | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 2,369 | |||||||||||||||
Land improvements | 2,832 | |||||||||||||||
Buildings and improvements | 12,280 | |||||||||||||||
Tenant improvements | 48 | |||||||||||||||
Value of in-place lease | 558 | |||||||||||||||
Value of below market lease | (228) | |||||||||||||||
Real estate assets, net | $ 17,859 | |||||||||||||||
Area of building | ft² | 139,500 | |||||||||||||||
Sale price of land | $ 17,859 | |||||||||||||||
7800 Tuckaseegee | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 4,606 | |||||||||||||||
Land improvements | 3,526 | |||||||||||||||
Buildings and improvements | 33,348 | |||||||||||||||
Tenant improvements | 200 | |||||||||||||||
Value of in-place lease | 1,462 | |||||||||||||||
Value of below market lease | (640) | |||||||||||||||
Real estate assets, net | $ 42,502 | |||||||||||||||
Area of building | ft² | 395,500 | |||||||||||||||
Cash paid for real estate | $ 42,502 | |||||||||||||||
1985 Blue Hills | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of building | ft² | 165,000 | |||||||||||||||
Area of land | a | 39 | |||||||||||||||
Number of parcels | item | 2 | |||||||||||||||
Sale price of land | $ 18,000 | |||||||||||||||
Gain (loss) on sale of assets | $ 13,271 | |||||||||||||||
Bloomfield, CT | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of land | a | 34 | |||||||||||||||
Sale price of land | $ 600 | |||||||||||||||
Gain (loss) on sale of assets | $ 504 | |||||||||||||||
Granby and East Granby, Connecticut | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of land | a | 670 | |||||||||||||||
Sale price of land | $ 10,300 | |||||||||||||||
Gain (loss) on sale of assets | 9,331 | |||||||||||||||
Proceeds from land sale deposited in escrow | $ 10,091 | |||||||||||||||
Quincy, Florida | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of land | a | 1,066 | |||||||||||||||
Sale price of land | $ 1,000 | |||||||||||||||
Gain (loss) on sale of assets | $ 430 | |||||||||||||||
6355 Farm Bureau | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 2,163 | |||||||||||||||
Land improvements | 388 | |||||||||||||||
Buildings and improvements | 10,036 | |||||||||||||||
Tenant improvements | 132 | |||||||||||||||
Value of in-place lease | 918 | |||||||||||||||
Value of below market lease | (1,709) | |||||||||||||||
Real estate assets, net | $ 11,928 | |||||||||||||||
Area of building | ft² | 127,500 | |||||||||||||||
Cash paid for real estate | $ 11,928 | |||||||||||||||
Allentown, Pennsylvania | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of building | ft² | 206,000 | |||||||||||||||
Area of land | a | 23 | |||||||||||||||
Number of parcels | item | 2 | |||||||||||||||
Sale price of land | $ 4,229 | |||||||||||||||
Jetport Land | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | $ 5,658 | |||||||||||||||
Real estate assets, net | $ 5,658 | |||||||||||||||
Area of land | a | 14 | |||||||||||||||
Sale price of land | $ 5,658 | |||||||||||||||
Escrow deposit disbursements related to property acquisition | $ 1,993 | |||||||||||||||
Number of planned development buildings | building | 2 | |||||||||||||||
Area of land to be acquired | ft² | 195,000 | |||||||||||||||
American Pkwy Land | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Land | 4,229 | |||||||||||||||
Real estate assets, net | $ 4,229 | |||||||||||||||
Office Or Flex Buildings | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of building | ft² | 48,000 | |||||||||||||||
5 and 7 Waterside Crossing | ||||||||||||||||
Real Estate Properties [Line Items] | ||||||||||||||||
Area of building | ft² | 161,000 | |||||||||||||||
Sale price of land | $ 5,200 | |||||||||||||||
Gain (loss) on sale of assets | $ (158) | |||||||||||||||
Impairment charges | $ 3,000 | $ 2,085 |
Real Estate Assets - 2020 Acqui
Real Estate Assets - 2020 Acquisitions (Details) $ in Thousands | Nov. 17, 2020USD ($)ft² | Mar. 09, 2020USD ($)ft² | Feb. 18, 2020USD ($)ft² | Nov. 30, 2020USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Real Estate Properties [Line Items] | ||||||
Land | $ 55,135 | $ 33,084 | ||||
Land improvements | 67,360 | 45,827 | ||||
Buildings and improvements | 311,360 | 233,250 | ||||
Tenant improvements | 35,061 | 34,899 | ||||
Real estate assets, net | $ 394,166 | 242,321 | ||||
Proceeds from land sale deposited in escrow | $ 587 | |||||
2020 Acquisitions | ||||||
Real Estate Properties [Line Items] | ||||||
Land | 2,962 | |||||
Land improvements | 913 | |||||
Buildings and improvements | 9,635 | |||||
Tenant improvements | 109 | |||||
Value of in-place lease | 841 | |||||
Value of below market lease | (790) | |||||
Real estate assets, net | $ 13,670 | |||||
170 Sunport | ||||||
Real Estate Properties [Line Items] | ||||||
Land | $ 1,407 | |||||
Land improvements | 523 | |||||
Buildings and improvements | 3,748 | |||||
Value of in-place lease | 71 | |||||
Real estate assets, net | $ 5,749 | |||||
Area of building | ft² | 68,000 | |||||
Cash paid for real estate | $ 5,749 | |||||
3320 Maggie | ||||||
Real Estate Properties [Line Items] | ||||||
Land | $ 1,555 | |||||
Land improvements | 390 | |||||
Buildings and improvements | 5,887 | |||||
Tenant improvements | 109 | |||||
Value of in-place lease | 770 | |||||
Value of below market lease | (790) | |||||
Real estate assets, net | $ 7,921 | |||||
Area of building | ft² | 108,000 | |||||
Cash paid for real estate | $ 7,921 | |||||
Office or Flex Building at 55 Griffin Road South | ||||||
Real Estate Properties [Line Items] | ||||||
Area of building | ft² | 40,000 | |||||
Gain (loss) on sale of assets | $ 982 | |||||
Proceeds from land sale deposited in escrow | $ 1,409 |
Real Estate Assets - Assets hel
Real Estate Assets - Assets held for sale (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Real Estate Assets | ||
Real estate assets held for sale, net | $ 0 | $ 6,802 |
Land. | ||
Real Estate Assets | ||
Real estate assets held for sale, net | 505 | |
Land improvements | ||
Real Estate Assets | ||
Real estate assets held for sale, net | 269 | |
Development costs | ||
Real Estate Assets | ||
Real estate assets held for sale, net | $ 6,028 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income tax benefit (expense) on continuing operations | |||
Current federal | $ (22) | ||
Current state and local | (4) | ||
Deferred federal | $ (1,966) | ||
Deferred state and local | (1,186) | ||
Total income tax provision | $ (76) | (26) | (3,152) |
Income Taxes, additional disclosures | |||
Inocme tax expense as a result of de-recognition of deferred tax asstes | 4,005 | ||
Income tax benefit | 76 | 26 | 3,152 |
Differences between income tax benefits at the United States statutory income tax rates and the actual income tax benefits on continuing operations | |||
Tax (provision) benefit at statutory rate | (22) | 1,955 | |
Deferred tax adjustment due to REIT election | (4,005) | ||
State and local taxes, including valuation allowance, net of federal tax effect | (4) | 115 | |
Permanent items | (1,257) | ||
Other | 40 | ||
Total income tax provision | $ (76) | (26) | $ (3,152) |
Operating loss carryforwards | |||
Accrual for uncertain income tax positions | $ 0 |
Mortgage Loans, Construction _3
Mortgage Loans, Construction Loan and Interest Rate Swaps (Details) $ in Thousands | Dec. 01, 2021USD ($)loanbuilding | Nov. 16, 2021USD ($) | Aug. 05, 2021 | May 07, 2021USD ($) | Jan. 23, 2020USD ($)ft²subsidiarybuilding | Dec. 31, 2020USD ($)derivative | Jun. 30, 2020USD ($) | Mar. 31, 2022 | Dec. 31, 2021USD ($)itemderivative | Dec. 31, 2020USD ($)derivative |
Long-Term Debt | ||||||||||
Mortgage loans, net of debt issuance costs | $ 160,655 | $ 169,818 | $ 160,655 | |||||||
Interest rate (as a percent) | 3.50% | |||||||||
Debt disclosures | ||||||||||
Interest expense | 602 | 6,877 | 7,294 | |||||||
Number of mortgage loans repaid | loan | 2 | |||||||||
Payment on secured debt | $ 417 | $ 17,100 | $ 7,948 | |||||||
Term of debt | 10 years | 1 year | ||||||||
Amortization period of debt | 25 years | |||||||||
New mortgage | $ 5,100 | |||||||||
Payment for termination of interest rate swap agreement | $ 66 | |||||||||
Losses on early extinguishment of debt | (2,114) | |||||||||
Borrower deposited in escrow account | 1 | |||||||||
Escrow account balance | $ 300 | |||||||||
Minimum Debt Service Coverage Ratio | 1.25 | |||||||||
Maximum Percentage Of Loan To Value | 65.00% | |||||||||
Interest rate swap agreement | ||||||||||
Debt disclosures | ||||||||||
Number of interest rate swap derivatives | derivative | 13 | 12 | 13 | |||||||
Notional amount of interest rate swap agreement | $ 97,868 | $ 90,984 | $ 97,868 | |||||||
Number of agreements containing credit risk related contingent features | item | 0 | |||||||||
Recognized net gains (losses) (included in other comprehensive loss), before taxes, on interest rate swap agreements | 196 | $ 4,945 | (5,315) | |||||||
Loss expected to be reclassified over next twelve months from accumulated other comprehensive loss to interest expense | (1,557) | |||||||||
Interest expense | 182 | 2,082 | 1,246 | |||||||
Net fair value of interest rate swap agreements | 8,766 | 3,807 | 8,766 | |||||||
Interest rate swap agreement | Other assets | ||||||||||
Debt disclosures | ||||||||||
Net fair value of interest rate swap agreements | 188 | |||||||||
Interest rate swap agreement | Other liabilities | ||||||||||
Debt disclosures | ||||||||||
Net fair value of interest rate swap agreements | 3,995 | |||||||||
LIBOR | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 2.56% | |||||||||
Nonrecourse mortgage loans | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | 162,768 | 145,668 | 162,768 | |||||||
Debt issuance costs, net | (2,113) | (1,745) | (2,113) | |||||||
Mortgage loans, net of debt issuance costs | $ 160,655 | $ 143,923 | $ 160,655 | |||||||
Weighted average interest rate | 4.18% | 3.76% | 4.18% | |||||||
Annual principal payment requirements under the terms of the nonrecourse mortgage loans | ||||||||||
2022 | $ 4,349 | |||||||||
2023 | 4,535 | |||||||||
2024 | 4,722 | |||||||||
2025 | 19,932 | |||||||||
2026 | 33,233 | |||||||||
Debt disclosures | ||||||||||
Aggregate book value of land and buildings pledged as collateral | 164,736 | |||||||||
Construction loan | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | 26,273 | |||||||||
Debt issuance costs, net | (378) | |||||||||
Mortgage loans, net of debt issuance costs | $ 25,895 | |||||||||
Construction loan | LIBOR | Maximum | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 1.65% | |||||||||
Acquisition Credit Line | LIBOR | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 2.75% | |||||||||
4.39%, due January 2, 2025 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 18,453 | $ 17,824 | $ 18,453 | |||||||
Interest rate (as a percent) | 4.39% | 4.39% | 4.39% | |||||||
4.17%, due May 1, 2026 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 12,696 | $ 12,291 | $ 12,696 | |||||||
Interest rate (as a percent) | 4.17% | 4.17% | 4.17% | |||||||
3.79%, November 17, 2026 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 23,911 | $ 23,152 | $ 23,911 | |||||||
Interest rate (as a percent) | 3.79% | 3.79% | 3.79% | |||||||
4.39%, due August 1, 2027 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 9,750 | $ 9,476 | $ 9,750 | |||||||
Interest rate (as a percent) | 4.39% | 4.39% | 4.39% | |||||||
3.97%, due September 1, 2027 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 11,419 | $ 11,174 | $ 11,419 | |||||||
Interest rate (as a percent) | 3.97% | 3.97% | 3.97% | |||||||
4.57%, due February 1, 2028 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 17,601 | $ 17,145 | $ 17,601 | |||||||
Interest rate (as a percent) | 4.57% | 4.57% | 4.57% | |||||||
3.60%, due January 2, 2030 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 6,350 | $ 6,182 | $ 6,350 | |||||||
Interest rate (as a percent) | 3.60% | 3.60% | 3.60% | |||||||
3.48% due February 1 2030 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 14,682 | $ 14,287 | $ 14,682 | |||||||
Interest rate (as a percent) | 3.48% | 3.48% | 3.48% | 3.48% | ||||||
Debt disclosures | ||||||||||
Term of debt | 10 years | |||||||||
Amortization period of debt | 25 years | |||||||||
New mortgage | $ 15,000 | |||||||||
Number of buildings used as collateral | building | 2 | |||||||||
Area of collateralized properties completed (in square feet) | ft² | 254,000 | |||||||||
Repayment of debt | $ 3,191 | |||||||||
Number of subsidiaries which are party to the mortgage | subsidiary | 2 | |||||||||
3.50%, due July 1, 2030 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 5,046 | $ 4,914 | $ 5,046 | |||||||
Interest rate (as a percent) | 3.50% | 3.50% | 3.50% | |||||||
4.33%, due August 1, 2030 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 16,244 | $ 15,867 | $ 16,244 | |||||||
Interest rate (as a percent) | 4.33% | 4.33% | 4.33% | |||||||
4.51%, due April 1, 2034 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 13,688 | $ 13,356 | $ 13,688 | |||||||
Interest rate (as a percent) | 4.51% | 4.51% | 4.51% | |||||||
4.72%, due October 3, 2022 | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 4,061 | $ 4,061 | ||||||||
Interest rate (as a percent) | 4.72% | 4.72% | 4.72% | |||||||
Debt disclosures | ||||||||||
Payment on secured debt | $ 3,961 | |||||||||
Debt extinguishment costs | 15 | |||||||||
Interest expense | $ 66 | |||||||||
4.72%, due October 3, 2022 | LIBOR | ||||||||||
Long-Term Debt | ||||||||||
Interest rate (as a percent) | 2.75% | |||||||||
5.09%, due July 1, 2029 GCD mortgage loan | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 5,214 | $ 5,214 | ||||||||
Interest rate (as a percent) | 5.09% | 5.09% | 5.09% | |||||||
Debt disclosures | ||||||||||
Payment on secured debt | $ 4,759 | |||||||||
Debt extinguishment costs | $ 1,226 | |||||||||
5.09%, due July 1, 2029 TD mortgage Loan | ||||||||||
Long-Term Debt | ||||||||||
Loans, prior to debt issuance costs | $ 3,653 | $ 3,653 | ||||||||
Interest rate (as a percent) | 5.09% | 5.09% | 5.09% | |||||||
Debt disclosures | ||||||||||
Payment on secured debt | $ 3,335 | |||||||||
Debt extinguishment costs | $ 873 | |||||||||
Number of buildings mortgaged | building | 2 | |||||||||
JPM Construction Loan Two Thousand Twenty One [Member] | ||||||||||
Debt disclosures | ||||||||||
Term of debt | 2 years | |||||||||
Extension term of debt | 1 year | |||||||||
JPM Construction Loan Two Thousand Twenty One [Member] | Maximum | ||||||||||
Debt disclosures | ||||||||||
Loan amount | $ 28,400 | |||||||||
Face amount as a percentage of total cost | 67.50% | |||||||||
JPM Construction Loan Two Thousand Twenty One [Member] | LIBOR | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 1.40% | |||||||||
JPM Construction Loan Two Thousand Twenty One [Member] | LIBOR | Completion of Charlotte build to suit and commencement of rental payment | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 1.40% | |||||||||
JPM Construction Loan Two Thousand Twenty One [Member] | LIBOR | Maximum | ||||||||||
Debt disclosures | ||||||||||
Variable interest rate margin (as a percent) | 1.65% |
Revolving Credit Agreements (De
Revolving Credit Agreements (Details) $ in Thousands | Dec. 01, 2021loan | Aug. 05, 2021USD ($)propertyitem | Mar. 17, 2021USD ($)building | Jun. 30, 2020 | Dec. 31, 2021USD ($) |
Revolving credit agreement | |||||
Term of debt | 10 years | 1 year | |||
Maximum percentage of loan to value | 65.00% | ||||
Minimum debt service coverage ratio | 1.25 | ||||
Number of Non Recourse Mortgage Loans Repaid | loan | 2 | ||||
International Drive Buildings [Member] | |||||
Revolving credit agreement | |||||
Number of buildings used as collateral | building | 2 | ||||
LIBOR | |||||
Revolving credit agreement | |||||
Variable interest rate margin (as a percent) | 2.56% | ||||
New Credit Facility | |||||
Revolving credit agreement | |||||
Maximum borrowing capacity | $ 100,000 | ||||
Term of debt | 3 years | ||||
Number of extension term | item | 2 | ||||
Renewal term | 1 year | ||||
Increased line of credit | $ 250,000 | ||||
Tangible net worth | $ 319,149 | ||||
Percentage of aggregate increases in the shareholder's equity | 75.00% | ||||
Threshold percentage of maximum leverage ratio of total indebtedness total assets | 60.00% | ||||
Line of credit borrowings | $ 91,472 | ||||
Standby letters of credit aggregate amount | $ 3,034 | ||||
New Credit Facility | Through March 31, 2022 | |||||
Revolving credit agreement | |||||
Fixed charge coverage ratio | 1.25 | ||||
New Credit Facility | Through June 30, 2022 | |||||
Revolving credit agreement | |||||
Fixed charge coverage ratio | 1.50 | ||||
New Credit Facility | Through December 31, 2022 | |||||
Revolving credit agreement | |||||
Threshold percentage of maximum leverage ratio of total indebtedness total assets | 50.00% | ||||
Minimum borrowing base | $ 30,000 | ||||
New Credit Facility | Through March 31, 2023 | |||||
Revolving credit agreement | |||||
Threshold percentage of maximum leverage ratio of total indebtedness total assets | 40.00% | ||||
New Credit Facility | From December 31, 2022 to December 31, 2023 | |||||
Revolving credit agreement | |||||
Minimum borrowing base | $ 50,000 | ||||
New Credit Facility | From June 30, 2021 to December 31, 2023 | |||||
Revolving credit agreement | |||||
Threshold number of industrial unencumbered properties | property | 5 | ||||
New Credit Facility | Through December 31, 2023 | |||||
Revolving credit agreement | |||||
Minimum borrowing base | $ 100,000 | ||||
Threshold number of industrial unencumbered properties | property | 8 | ||||
New Credit Facility | LIBOR | |||||
Revolving credit agreement | |||||
Variable interest rate margin (as a percent) | 1.20% | ||||
Webster Credit Line | |||||
Revolving credit agreement | |||||
Maximum borrowing capacity | $ 19,500 | ||||
Increased line of credit | 35,000 | ||||
Webster Credit Line | LIBOR | |||||
Revolving credit agreement | |||||
Variable interest rate margin (as a percent) | 2.50% | ||||
Acquisition Credit Line | |||||
Revolving credit agreement | |||||
Maximum borrowing capacity | $ 15,000 | ||||
Acquisition Credit Line | LIBOR | |||||
Revolving credit agreement | |||||
Variable interest rate margin (as a percent) | 2.75% |
Stockholders' Equity - Per Shar
Stockholders' Equity - Per Share Results (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings per share: | ||||
Net income (loss) | $ 1,981 | $ (255) | $ 14,144 | $ (10,481) |
Weighted average shares outstanding - basic | 5,663,000 | 5,075,000 | 7,908,000 | 5,309,000 |
Incremental shares from assumed exercise of Griffin stock options | 181,000 | 173,000 | ||
Adjusted weighted average shares for computation of diluted per share results | 5,844,000 | 5,075,000 | 8,081,000 | 5,309,000 |
Incremental shares from assumed exercise of stock options excluded due to anti-dilutive effect | 68,000 |
Stockholders' Equity - Stock Op
Stockholders' Equity - Stock Option Grants, Activity And Expense (Details) $ / shares in Units, $ in Thousands | Mar. 09, 2020$ / sharesshares | Mar. 03, 2020$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Mar. 31, 2020$ / sharesshares | Dec. 31, 2021USD ($)individual$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Nov. 30, 2019$ / sharesshares | Nov. 30, 2018USD ($)$ / sharesshares | Nov. 30, 2017 |
2009 Stock Option Plan | |||||||||
Granted (in shares) | 0 | 111,258,000 | |||||||
Assumptions used in determining the fair value of the stock options granted | |||||||||
Expected volatility, Minimum (as a percent) | 29.70% | ||||||||
Expected volatility, Maximum (as a percent) | 30.30% | ||||||||
Risk free interest rates, Minimum (as a percent) | 0.50% | ||||||||
Risk free interest rates, Maximum (as a percent) | 0.90% | ||||||||
Expected option term (in years) | 8 years 6 months | ||||||||
Annual dividend yield (as a percent) | 1.30% | ||||||||
Other Disclosures | |||||||||
Number of option holders | individual | 14 | ||||||||
Unrecognized compensation expense related to non-vested stock options that will be recognized during future periods | |||||||||
2022 | $ | $ 372 | ||||||||
2023 | $ | 231 | ||||||||
2024 | $ | 111 | ||||||||
2025 | $ | 15 | ||||||||
Other Disclosures | |||||||||
Total grant date fair value of options vested | $ | $ 0 | 428 | $ 458 | ||||||
Intrinsic value of options exercised | $ | $ 746 | $ 1,216 | |||||||
INDUS stock option plan | |||||||||
Outstanding at beginning of period (in shares) | 246,150,000 | 189,822,000 | |||||||
Adjustment for stock dividend (in shares) | 5,413,000 | ||||||||
Granted (in shares) | 0 | 111,258,000 | |||||||
Exercised (in shares) | (29,559,000) | (54,930,000) | |||||||
Forfeited (in shares) | (1,067,000) | ||||||||
Outstanding at end of period (in shares) | 246,150,000 | 220,937,000 | 246,150,000 | 189,822,000 | |||||
Weighted Avg. Exercise Price | |||||||||
Outstanding at beginning of period (in dollars per share) | $ / shares | $ 36.06 | $ 28.23 | |||||||
Adjustment for stock dividend (in dollars per share) | $ / shares | 34.29 | ||||||||
Granted (in dollars per share) | $ / shares | $ 45.72 | ||||||||
Exercised (in dollars per share) | $ / shares | 26.34 | 28.58 | |||||||
Forfeited (in dollars per share) | $ / shares | 37.49 | ||||||||
Outstanding at end of period (in dollars per share) | $ / shares | $ 36.06 | $ 36.47 | $ 36.06 | $ 28.23 | |||||
2009 Stock Option Plan | |||||||||
2009 Stock Option Plan | |||||||||
Granted (in shares) | 48,000 | 49,061 | 0 | ||||||
Exercise price (in dollars per share) | $ / shares | $ 45.98 | $ 44.99 | |||||||
INDUS stock option plan | |||||||||
Granted (in shares) | 48,000 | 49,061 | 0 | ||||||
2009 Stock Option Plan | Maximum | Non-employee directors | |||||||||
Other Disclosures | |||||||||
Forfeiture rates (as a percent) | 2.00% | 2.00% | 2.00% | ||||||
2020 Incentive Award Plan | |||||||||
2009 Stock Option Plan | |||||||||
Number of shares authorized | 300,000 | ||||||||
Granted (in shares) | 52,000 | 53,149 | |||||||
Exercise price (in dollars per share) | $ / shares | $ 46.91 | $ 46.91 | $ 45.90 | ||||||
INDUS stock option plan | |||||||||
Granted (in shares) | 52,000 | 53,149 | |||||||
Exercised (in shares) | (53,293) | ||||||||
2020 Incentive Award Plan | Non-employee directors | |||||||||
2009 Stock Option Plan | |||||||||
Granted (in shares) | 111,258 | ||||||||
INDUS stock option plan | |||||||||
Granted (in shares) | 111,258 |
Stockholders' Equity - Range Of
Stockholders' Equity - Range Of Exercise Prices (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($)$ / sharesshares | |
Vested options | |
2009 Stock Option Plan | |
Outstanding at ending of the year (in shares) | shares | 111,258 |
Weighted Avg. Exercise Price (in dollars per share) | $ 28.13 |
Weighted Avg. Remaining Contractual Life | 4 years 4 months 24 days |
Total Intrinsic Value | $ | $ 5,889 |
2009 Stock Option Plan | |
2009 Stock Option Plan | |
Outstanding at ending of the year (in shares) | shares | 220,937 |
Weighted Avg. Exercise Price (in dollars per share) | $ 36.47 |
Weighted Avg. Remaining Contractual Life | 6 years 3 months 18 days |
Total Intrinsic Value | $ | $ 9,853 |
$23.00-$28.00 | 2009 Stock Option Plan | |
2009 Stock Option Plan | |
Exercise prices, low end of range (in dollars per share) | $ 23 |
Exercise prices, high end of range (in dollars per share) | $ 28 |
Outstanding at ending of the year (in shares) | shares | 81,987 |
Weighted Avg. Exercise Price (in dollars per share) | $ 26.23 |
Weighted Avg. Remaining Contractual Life | 4 years 2 months 12 days |
Total Intrinsic Value | $ | $ 4,496 |
$28.00-$32.00 | 2009 Stock Option Plan | |
2009 Stock Option Plan | |
Exercise prices, low end of range (in dollars per share) | $ 28 |
Exercise prices, high end of range (in dollars per share) | $ 32 |
Outstanding at ending of the year (in shares) | shares | 14,073 |
Weighted Avg. Exercise Price (in dollars per share) | $ 29.84 |
Weighted Avg. Remaining Contractual Life | 3 years 6 months |
Total Intrinsic Value | $ | $ 721 |
$32.00 - $47.00 | 2009 Stock Option Plan | |
2009 Stock Option Plan | |
Exercise prices, low end of range (in dollars per share) | $ 32 |
Exercise prices, high end of range (in dollars per share) | $ 47 |
Outstanding at ending of the year (in shares) | shares | 124,877 |
Weighted Avg. Exercise Price (in dollars per share) | $ 43.93 |
Weighted Avg. Remaining Contractual Life | 8 years |
Total Intrinsic Value | $ | $ 4,636 |
Stockholders' Equity - Restrict
Stockholders' Equity - Restricted Stock (Details) | 12 Months Ended |
Dec. 31, 2021$ / sharesshares | |
Time Based Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 13,190 |
Time Based Restricted Stock Units [Member] | Employee | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years |
Time Based Restricted Stock Units [Member] | Non-employee directors. | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 8,508 |
Performance Shares [Member] | Employee | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years |
Non-employee directors | Time Based Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 4,682 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 67.28 |
Employee. | Time Based Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 8,508 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 63.15 |
Employee. | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 8,508 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 79.33 |
Stockholders' Equity - Compensa
Stockholders' Equity - Compensation Expense & Tax Benefit (Details) - Restricted Stock Units (RSUs) [Member] - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
2022 | $ 503 | ||
2023 | 270 | ||
2024 | 22 | ||
Compensation expense for stock options | |||
Compensation expense (benefit) | $ 41 | $ 1,110 | $ 532 |
Stockholders' Equity - Warrants
Stockholders' Equity - Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 24, 2021 | Dec. 31, 2021 | Aug. 24, 2020 |
Stockholders' Equity | |||
Issuance of warrants exercised | 515,747 | ||
Warrants exercise price | $ 58.70 | $ 58.70 | |
Fair value of warrants | $ 12,192 | $ 12,192 |
Stockholders' Equity - Stock Re
Stockholders' Equity - Stock Repurchases, Special Dividend (Details) - USD ($) $ / shares in Units, $ in Thousands | Jan. 14, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 08, 2021 | Jan. 13, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Cash Dividends | |||||||
Dividends Payable | $ 1,629 | ||||||
Common stock dividends | $ 3,946 | ||||||
Common dividend per share (in dollars per share) | $ 0.16 | $ 0.15 | $ 0.15 | $ 0.46 | |||
Shares of treasury stock retired | 617,816 | ||||||
E & P Distribution | |||||||
Cash Dividends | |||||||
Dividend paid | $ 3,404 | ||||||
Special dividend (in shares) | 125,212 | ||||||
Common stock dividends | $ 11,250 | ||||||
Common dividend per share (in dollars per share) | $ 1.99 |
Leases - Lessor (Details)
Leases - Lessor (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Future minimum rental payments to be received under noncancelable leases | |
2022 | $ 32,795 |
2023 | 31,250 |
2024 | 30,173 |
2025 | 27,095 |
2026 | 22,152 |
Thereafter | 64,038 |
Total | $ 207,503 |
Lessor operating leases | |
Operating lease term | 65 years |
Gain on Sale of Real Estate Assets [Member] | |
Lessor operating leases | |
Gain on lease sale of real estate | $ 1,000 |
Leases - Lessee (Details)
Leases - Lessee (Details) $ in Thousands | Oct. 01, 2016ft² | Dec. 31, 2020USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Lessee, Operating Sublease, Description [Abstract] | ||||
Term of sublease | 10 years | |||
Area of subleased property | ft² | 1,920 | |||
Lease terms | ||||
Lease expense | $ | $ 12 | $ 138 | $ 138 | |
Weighted-average remaining lease term | 4 years 9 months 18 days |
Leases - Lease Liabilities (Det
Leases - Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Maturities of leases liabilities | ||
2022 | $ 143 | |
2023 | 140 | |
2024 | 141 | |
2025 | 140 | |
2026 | 117 | |
Total undiscounted payments | 681 | |
Less: imputed interest | (55) | |
Present value of minimum lease payments | $ 626 | $ 739 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities. | Other Liabilities. |
Supplemental Financial Statem_3
Supplemental Financial Statement Information - Other And Intangible Assets (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Assets | |||
Deposits on building and land acquisitions | $ 365 | $ 9,800 | $ 365 |
Deferred leasing costs, net | 5,352 | 6,866 | 5,352 |
Straight- line rents | 6,700 | 6,334 | 6,700 |
Prepaid expenses | 2,618 | 3,412 | 2,618 |
Intangible assets, net | 2,126 | 5,495 | 2,126 |
Account receivable (primary leases) | 254 | 713 | 254 |
Deferred financing costs related to revolving lines of credit | 162 | 917 | 162 |
Furniture, fixtures and equipment, net | 181 | 369 | 181 |
Right-of-use assets | $ 707 | $ 593 | $ 707 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Total other assets | Total other assets | Total other assets |
Registration statement costs | $ 341 | ||
Interest rate swap assets | 188 | ||
Prepaid development costs | $ 798 | 143 | $ 798 |
Other | 323 | 402 | 323 |
Total other assets | 19,586 | 35,573 | 19,586 |
Property and equipment | |||
Deferred leasing costs accumulated amortization | 7,439 | 6,673 | 7,439 |
Amortization of deferred lease costs | 94 | 1,091 | 1,086 |
Property and equipment accumulated depreciation | 1,072 | 1,051 | 1,072 |
Depreciation expense | $ 7 | $ 88 | $ 83 |
Supplemental Financial Statem_4
Supplemental Financial Statement Information - Intangible assets and liabilities (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets | $ 2,126 | $ 5,495 | $ 2,126 |
Below market leases, net of accumulated amortization of $367 and $95 | 695 | 3,000 | 695 |
Total intangible liabilities | 695 | 3,000 | 695 |
Below market leases, net of accumulated amortization | 95 | 367 | 95 |
Amortization expense | 45 | 1,229 | 588 |
Amortization of intangible liabilities | 10 | 272 | 95 |
In-place leases | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets | 1,318 | 5,036 | 1,318 |
Accumulated amortization | 1,596 | 2,476 | 1,596 |
Tenant relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets | 808 | 459 | 808 |
Accumulated amortization | $ 604 | $ 953 | $ 604 |
Supplemental Financial Statem_5
Supplemental Financial Statement Information - Estimated amortization expense (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Estimated amortization expense | |
2022 | $ 1,453 |
2023 | 896 |
2024 | 658 |
2025 | 539 |
2026 | 504 |
Below market lease liabilities | |
2022 | (409) |
2023 | (405) |
2024 | (329) |
2025 | (318) |
2026 | (318) |
Total to be included in rental revenue 2022 | (409) |
Total to be included in rental revenue 2023 | (405) |
Total to be included in rental revenue 2024 | (329) |
Total to be included in rental revenue 2025 | (318) |
Total to be included in rental revenue 2026 | (318) |
In-place leases | |
Estimated amortization expense | |
2022 | 1,312 |
2023 | 805 |
2024 | 603 |
2025 | 484 |
2026 | 476 |
Tenant relationships | |
Estimated amortization expense | |
2022 | 141 |
2023 | 91 |
2024 | 55 |
2025 | 55 |
2026 | $ 28 |
Supplemental Financial Statem_6
Supplemental Financial Statement Information - Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts Payable and Accrued Liabilities | ||
Accrued construction costs and retainage | $ 5,813 | $ 94 |
Accrued salaries, wages and other compensation | 1,796 | 1,027 |
Accrued interest payable | 556 | 580 |
Trade payables | 503 | 1,093 |
Accrued lease commissions | 468 | 233 |
Other | 602 | 642 |
Total accounts payable and accrued liabilities | 9,738 | 3,669 |
Other Liabilities | ||
Deferred compensation plan | 5,097 | 4,335 |
Interest rate swap liabilities | 3,995 | 8,766 |
Intangible liability, net | 3,000 | 695 |
Prepaid rent from tenants | 1,555 | 1,345 |
Security deposits of tenants | 973 | 710 |
Lease liabilities | $ 626 | $ 739 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Total other liabilities | Total other liabilities |
Other | $ 153 | $ 321 |
Total other liabilities | $ 15,399 | 17,567 |
Contingent Value Rights Liability | ||
Other Liabilities | ||
Contingent value rights liability | $ 656 |
Supplemental Financial Statem_7
Supplemental Financial Statement Information - Cash flow, etc. (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | |
Supplemental Cash Flow Information | ||||
Noncash deferred compensation expense | $ 155 | $ 677 | $ 544 | |
Treasury shares | 24,893 | 24,893 | ||
Treasury stock | $ 1,358 | $ 1,358 | ||
Increase in accounts payable and accrued liabilities related to additions to real estate assets | 5,719 | 789 | ||
Proceeds from tax refunds | 202 | |||
Interest paid | ||||
Interest payments | 576 | 7,018 | 6,932 | |
Interest capitalized included in interest payments | 12 | $ 1,164 | 126 | |
Retirement Benefits | ||||
Employer matching contribution, as a percentage of employee contribution | 60.00% | |||
Employer matching contribution as a percentage of base salary | 5.00% | |||
Contributions to the INDUS Savings Plan | 9 | $ 89 | 72 | |
Deferred Compensation Plan | ||||
Liability under Deferred Compensation Plan | 4,335 | 5,097 | 4,335 | |
Expense for employer matching benefit to the Deferred Compensation Plan | 1 | 9 | 12 | |
Consolidated statement of operations data: | ||||
Rental revenue | 3,345 | $ 3,083 | 42,339 | 37,650 |
Expenses | (1,364) | (3,414) | ||
Pretax income (loss) | 1,981 | (331) | 14,170 | (7,329) |
Income tax benefit | 76 | 26 | 3,152 | |
Net income (loss) | $ 1,981 | $ (255) | $ 14,144 | $ (10,481) |
Per share data: | ||||
Basic net income (loss) per common share | $ 0.35 | $ (0.05) | $ 1.79 | $ (1.97) |
Diluted net income (loss) per common share | $ 0.34 | $ (0.05) | $ 1.75 | $ (1.97) |
Weighted average shares outstanding - basic | 5,663,000 | 5,075,000 | 7,908,000 | 5,309,000 |
Weighted average shares outstanding - diluted | 5,844,000 | 5,075,000 | 8,081,000 | 5,309,000 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Thousands | Nov. 23, 2021USD ($)ft² | Nov. 03, 2021USD ($)ft² | Aug. 05, 2021USD ($)ft²building | Apr. 13, 2021USD ($)abuilding | Dec. 31, 2021USD ($)ft²building | Jan. 19, 2022ft² |
Purchase and sale obligations | ||||||
Area of land | 217,000 | |||||
Jetport Land | ||||||
Purchase and sale obligations | ||||||
Number of Planned Development Buildings | building | 2 | |||||
Area of land | a | 14 | |||||
Sale Price of Land | $ | $ 5,658 | |||||
Industrial Or Logistics Building, Charlotte, North Carolina [Member] | Forward Purchase Agreement [Member] | ||||||
Purchase and sale obligations | ||||||
Area Of Building | 231,000 | |||||
Purchase Price Before Transaction Costs | $ | $ 21,200 | |||||
Industrial Or Logistics Building, Charleston, South Carolina [Member] | Forward Purchase Agreement [Member] | ||||||
Purchase and sale obligations | ||||||
Area Of Building | 263,000 | |||||
Purchase Price Before Transaction Costs | $ | $ 28,000 | |||||
Under Construction Industrial Logistic Portfolio, Nashville, Tennessee [Member] | Forward Purchase Agreement [Member] | ||||||
Purchase and sale obligations | ||||||
Area Of Building | 184,000 | |||||
Sale Price of Land | $ | $ 31,500 | |||||
Number of Buildings Comprised | building | 2 | |||||
Obligations For Investments In Real Estate Assets | ||||||
Purchase and sale obligations | ||||||
Purchase obligations | $ | $ 25,583 | |||||
Area of land | 234,000 | |||||
Obligations For Investments In Real Estate Assets | Orlando Building, Florida | ||||||
Purchase and sale obligations | ||||||
Number of Planned Development Buildings | building | 2 | |||||
Area of land | 195,000 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent events $ in Thousands | Mar. 07, 2022ft²building | Mar. 02, 2022USD ($)ft² |
Industrial/Logistics Building | ||
Subsequent events | ||
Purchase price | $ | $ 28,500 | |
Area of building | 18,000 | 280,000 |
Sale of building | Office Flex Building | ||
Subsequent events | ||
Number of buildings comprised | building | 7 | |
Area of building | 175,200 | |
Leased area (as a percent) | 70.00% |
Schedule III-Real Estate and _2
Schedule III-Real Estate and Accumulated Depreciation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 171,941 | ||
Initial Cost | |||
Land | 55,135 | ||
Bldg. & Improve. | 45,852 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 392,739 | ||
Gross Amount at the end of the period | |||
Encumbrances | 171,941 | ||
Land | 55,135 | ||
Land improvements | 67,360 | $ 45,827 | |
Bldg. & Bldg. Improvements | 311,360 | ||
Tenant improvements | 35,061 | 34,899 | |
Construction in Progress | 21,137 | ||
Development Costs | 3,673 | ||
Real estate assets held for sale, gross | 493,726 | ||
Accumulated Depreciation | (99,560) | $ (124,839) | $ (115,642) |
Industrial/Logistics Building | Breinigsville, PA | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | 14,287 | ||
Initial Cost | |||
Land | 832 | ||
Bldg. & Improve. | 4,599 | ||
Gross Amount at the end of the period | |||
Encumbrances | 14,287 | ||
Land | 832 | ||
Land improvements | 349 | ||
Bldg. & Bldg. Improvements | 4,029 | ||
Tenant improvements | 221 | ||
Real estate assets held for sale, gross | 5,431 | ||
Accumulated Depreciation | $ (2,028) | ||
Depr. Life | 40 years | ||
Industrial/Logistics Building | North Charleston, SC | |||
Initial Cost | |||
Land | $ 3,166 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 24,372 | ||
Gross Amount at the end of the period | |||
Land | 3,166 | ||
Land improvements | 4,182 | ||
Bldg. & Bldg. Improvements | 20,077 | ||
Tenant improvements | 113 | ||
Real estate assets held for sale, gross | 27,538 | ||
Accumulated Depreciation | $ (119) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 1 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 883 | ||
Gross Amount at the end of the period | |||
Land | 1 | ||
Land improvements | 93 | ||
Bldg. & Bldg. Improvements | 790 | ||
Real estate assets held for sale, gross | 884 | ||
Accumulated Depreciation | $ (692) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | East Granby, CT | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 12,291 | ||
Initial Cost | |||
Land | 4 | ||
Bldg. & Improve. | 1,722 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,224 | ||
Gross Amount at the end of the period | |||
Encumbrances | 12,291 | ||
Land | 4 | ||
Land improvements | 780 | ||
Bldg. & Bldg. Improvements | 2,139 | ||
Tenant improvements | 27 | ||
Real estate assets held for sale, gross | 2,950 | ||
Accumulated Depreciation | $ (2,101) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 259 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 5,966 | ||
Gross Amount at the end of the period | |||
Land | 259 | ||
Land improvements | 1,422 | ||
Bldg. & Bldg. Improvements | 3,866 | ||
Tenant improvements | 678 | ||
Real estate assets held for sale, gross | 6,225 | ||
Accumulated Depreciation | $ (3,038) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Lower Nazareth Township, PA. | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 17,824 | ||
Initial Cost | |||
Land | 1,351 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 15,727 | ||
Gross Amount at the end of the period | |||
Encumbrances | 17,824 | ||
Land | 1,351 | ||
Land improvements | 1,402 | ||
Bldg. & Bldg. Improvements | 13,075 | ||
Tenant improvements | 1,250 | ||
Real estate assets held for sale, gross | 17,078 | ||
Accumulated Depreciation | $ (4,610) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Hanover Township, PA. | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 23,152 | ||
Initial Cost | |||
Land | 3,620 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 17,061 | ||
Gross Amount at the end of the period | |||
Encumbrances | 23,152 | ||
Land | 3,620 | ||
Land improvements | 4,608 | ||
Bldg. & Bldg. Improvements | 10,353 | ||
Tenant improvements | 2,100 | ||
Real estate assets held for sale, gross | 20,681 | ||
Accumulated Depreciation | $ (4,025) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Charlotte, NC | |||
Initial Cost | |||
Land | $ 4,606 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 37,677 | ||
Gross Amount at the end of the period | |||
Land | 4,606 | ||
Land improvements | 3,526 | ||
Bldg. & Bldg. Improvements | 33,348 | ||
Tenant improvements | 200 | ||
Construction in Progress | 603 | ||
Real estate assets held for sale, gross | 42,283 | ||
Accumulated Depreciation | $ (595) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Concord, NC | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 11,174 | ||
Initial Cost | |||
Land | 1,600 | ||
Bldg. & Improve. | 15,189 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 325 | ||
Gross Amount at the end of the period | |||
Encumbrances | 11,174 | ||
Land | 1,600 | ||
Land improvements | 1,598 | ||
Bldg. & Bldg. Improvements | 13,042 | ||
Tenant improvements | 874 | ||
Real estate assets held for sale, gross | 17,114 | ||
Accumulated Depreciation | $ (2,895) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Orlando, FL | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 6,182 | ||
Initial Cost | |||
Land | 1,150 | ||
Bldg. & Improve. | 8,204 | ||
Gross Amount at the end of the period | |||
Encumbrances | 6,182 | ||
Land | 1,150 | ||
Land improvements | 833 | ||
Bldg. & Bldg. Improvements | 6,517 | ||
Tenant improvements | 854 | ||
Real estate assets held for sale, gross | 9,354 | ||
Accumulated Depreciation | $ (849) | ||
Depr. Life | 40 years | ||
Location 1 | Industrial/Logistics Building | Allentown, PA | |||
Initial Cost | |||
Land | $ 2,344 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 9,764 | ||
Gross Amount at the end of the period | |||
Land | 2,344 | ||
Land improvements | 3,004 | ||
Bldg. & Bldg. Improvements | 5,902 | ||
Tenant improvements | 858 | ||
Real estate assets held for sale, gross | 12,108 | ||
Accumulated Depreciation | $ (1,224) | ||
Depr. Life | 40 years | ||
Location 1 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 5 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 4,632 | ||
Gross Amount at the end of the period | |||
Land | 5 | ||
Land improvements | 771 | ||
Bldg. & Bldg. Improvements | 3,111 | ||
Tenant improvements | 750 | ||
Real estate assets held for sale, gross | 4,637 | ||
Accumulated Depreciation | $ (3,989) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 251 | ||
Bldg. & Improve. | 1,198 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,599 | ||
Gross Amount at the end of the period | |||
Land | 251 | ||
Land improvements | 327 | ||
Bldg. & Bldg. Improvements | 1,752 | ||
Tenant improvements | 718 | ||
Real estate assets held for sale, gross | 3,048 | ||
Accumulated Depreciation | $ (1,202) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | East Granby, CT | |||
Initial Cost | |||
Land | $ 4 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 2,177 | ||
Gross Amount at the end of the period | |||
Land | 4 | ||
Land improvements | 231 | ||
Bldg. & Bldg. Improvements | 1,664 | ||
Tenant improvements | 282 | ||
Real estate assets held for sale, gross | 2,181 | ||
Accumulated Depreciation | $ (1,681) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 13 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 7,605 | ||
Gross Amount at the end of the period | |||
Land | 13 | ||
Land improvements | 596 | ||
Bldg. & Bldg. Improvements | 5,645 | ||
Tenant improvements | 1,364 | ||
Real estate assets held for sale, gross | 7,618 | ||
Accumulated Depreciation | $ (3,493) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Lower Nazareth Township, PA. | |||
Initial Cost | |||
Land | $ 721 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 11,331 | ||
Gross Amount at the end of the period | |||
Land | 721 | ||
Land improvements | 1,422 | ||
Bldg. & Bldg. Improvements | 9,064 | ||
Tenant improvements | 845 | ||
Real estate assets held for sale, gross | 12,052 | ||
Accumulated Depreciation | $ (4,015) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Hanover Township, PA. | |||
Initial Cost | |||
Land | $ 4,022 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 16,632 | ||
Gross Amount at the end of the period | |||
Land | 4,022 | ||
Land improvements | 4,016 | ||
Bldg. & Bldg. Improvements | 11,185 | ||
Tenant improvements | 1,431 | ||
Real estate assets held for sale, gross | 20,654 | ||
Accumulated Depreciation | $ (4,613) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Charlotte, NC | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 26,273 | ||
Initial Cost | |||
Land | 5,714 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 33,549 | ||
Gross Amount at the end of the period | |||
Encumbrances | 26,273 | ||
Land | 5,714 | ||
Land improvements | 17,146 | ||
Bldg. & Bldg. Improvements | 12,872 | ||
Tenant improvements | 3,524 | ||
Construction in Progress | 7 | ||
Real estate assets held for sale, gross | 39,263 | ||
Accumulated Depreciation | $ (339) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Concord, NC | |||
Initial Cost | |||
Land | $ 1,412 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,452 | ||
Gross Amount at the end of the period | |||
Land | 1,412 | ||
Land improvements | 2,675 | ||
Bldg. & Bldg. Improvements | 6,586 | ||
Tenant improvements | 1,191 | ||
Real estate assets held for sale, gross | 11,864 | ||
Accumulated Depreciation | $ (1,087) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Orlando, FL | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 4,914 | ||
Initial Cost | |||
Land | 1,555 | ||
Bldg. & Improve. | 6,386 | ||
Gross Amount at the end of the period | |||
Encumbrances | 4,914 | ||
Land | 1,555 | ||
Land improvements | 390 | ||
Bldg. & Bldg. Improvements | 5,268 | ||
Tenant improvements | 728 | ||
Real estate assets held for sale, gross | 7,941 | ||
Accumulated Depreciation | $ (579) | ||
Depr. Life | 40 years | ||
Location 2 | Industrial/Logistics Building | Allentown, PA | |||
Initial Cost | |||
Land | $ 2,163 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,728 | ||
Gross Amount at the end of the period | |||
Land | 2,163 | ||
Land improvements | 392 | ||
Bldg. & Bldg. Improvements | 10,204 | ||
Tenant improvements | 132 | ||
Real estate assets held for sale, gross | 12,891 | ||
Accumulated Depreciation | $ (186) | ||
Depr. Life | 40 years | ||
Location 2 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 2 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 2,341 | ||
Gross Amount at the end of the period | |||
Land | 2 | ||
Land improvements | 385 | ||
Bldg. & Bldg. Improvements | 1,731 | ||
Tenant improvements | 225 | ||
Real estate assets held for sale, gross | 2,343 | ||
Accumulated Depreciation | $ (1,918) | ||
Depr. Life | 40 years | ||
Location 3 | Industrial/Logistics Building | East Granby, CT | |||
Initial Cost | |||
Land | $ 4 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 3,264 | ||
Gross Amount at the end of the period | |||
Land | 4 | ||
Land improvements | 360 | ||
Bldg. & Bldg. Improvements | 2,356 | ||
Tenant improvements | 548 | ||
Real estate assets held for sale, gross | 3,268 | ||
Accumulated Depreciation | $ (2,590) | ||
Depr. Life | 40 years | ||
Location 3 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 12 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 9,849 | ||
Gross Amount at the end of the period | |||
Land | 12 | ||
Land improvements | 396 | ||
Bldg. & Bldg. Improvements | 5,867 | ||
Tenant improvements | 3,586 | ||
Real estate assets held for sale, gross | 9,861 | ||
Accumulated Depreciation | $ (6,877) | ||
Depr. Life | 40 years | ||
Location 3 | Industrial/Logistics Building | Charlotte, NC | |||
Initial Cost | |||
Land | $ 1,197 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 13,028 | ||
Gross Amount at the end of the period | |||
Land | 1,197 | ||
Land improvements | 671 | ||
Bldg. & Bldg. Improvements | 12,337 | ||
Tenant improvements | 20 | ||
Real estate assets held for sale, gross | 14,225 | ||
Accumulated Depreciation | $ (103) | ||
Depr. Life | 40 years | ||
Location 3 | Industrial/Logistics Building | Concord, NC | |||
Initial Cost | |||
Land | $ 1,304 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 9,375 | ||
Gross Amount at the end of the period | |||
Land | 1,304 | ||
Land improvements | 2,461 | ||
Bldg. & Bldg. Improvements | 5,730 | ||
Tenant improvements | 234 | ||
Construction in Progress | 950 | ||
Real estate assets held for sale, gross | 10,679 | ||
Accumulated Depreciation | $ (649) | ||
Depr. Life | 40 years | ||
Location 3 | Industrial/Logistics Building | Orlando, FL | |||
Initial Cost | |||
Land | $ 1,407 | ||
Bldg. & Improve. | 4,277 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,349 | ||
Gross Amount at the end of the period | |||
Land | 1,407 | ||
Land improvements | 588 | ||
Bldg. & Bldg. Improvements | 4,779 | ||
Tenant improvements | 259 | ||
Real estate assets held for sale, gross | 7,033 | ||
Accumulated Depreciation | $ (388) | ||
Depr. Life | 40 years | ||
Location 3 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 2 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 3,261 | ||
Gross Amount at the end of the period | |||
Land | 2 | ||
Land improvements | 215 | ||
Bldg. & Bldg. Improvements | 2,301 | ||
Tenant improvements | 697 | ||
Construction in Progress | 48 | ||
Real estate assets held for sale, gross | 3,263 | ||
Accumulated Depreciation | $ (1,779) | ||
Depr. Life | 40 years | ||
Location 4 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 7 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 3,495 | ||
Gross Amount at the end of the period | |||
Land | 7 | ||
Land improvements | 48 | ||
Bldg. & Bldg. Improvements | 3,216 | ||
Tenant improvements | 231 | ||
Real estate assets held for sale, gross | 3,502 | ||
Accumulated Depreciation | $ (2,030) | ||
Depr. Life | 40 years | ||
Location 4 | Industrial/Logistics Building | Orlando, FL | |||
Initial Cost | |||
Land | $ 2,369 | ||
Bldg. & Improve. | 4,277 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,891 | ||
Gross Amount at the end of the period | |||
Land | 2,369 | ||
Land improvements | 2,832 | ||
Bldg. & Bldg. Improvements | 12,288 | ||
Tenant improvements | 48 | ||
Real estate assets held for sale, gross | 17,537 | ||
Accumulated Depreciation | $ (194) | ||
Depr. Life | 40 years | ||
Location 4 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 3 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 2,011 | ||
Gross Amount at the end of the period | |||
Land | 3 | ||
Land improvements | 149 | ||
Bldg. & Bldg. Improvements | 1,460 | ||
Tenant improvements | 402 | ||
Real estate assets held for sale, gross | 2,014 | ||
Accumulated Depreciation | $ (1,418) | ||
Depr. Life | 40 years | ||
Location 5 | Industrial/Logistics Building | Windsor, CT | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 15,867 | ||
Initial Cost | |||
Land | 13 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 6,468 | ||
Gross Amount at the end of the period | |||
Encumbrances | 15,867 | ||
Land | 13 | ||
Land improvements | 95 | ||
Bldg. & Bldg. Improvements | 5,438 | ||
Tenant improvements | 935 | ||
Real estate assets held for sale, gross | 6,481 | ||
Accumulated Depreciation | $ (3,347) | ||
Depr. Life | 40 years | ||
Location 5 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 3 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 2,264 | ||
Gross Amount at the end of the period | |||
Land | 3 | ||
Land improvements | 90 | ||
Bldg. & Bldg. Improvements | 1,638 | ||
Tenant improvements | 449 | ||
Construction in Progress | 87 | ||
Real estate assets held for sale, gross | 2,267 | ||
Accumulated Depreciation | $ (1,343) | ||
Depr. Life | 40 years | ||
Location 6 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 16 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 7,867 | ||
Gross Amount at the end of the period | |||
Land | 16 | ||
Land improvements | 112 | ||
Bldg. & Bldg. Improvements | 7,036 | ||
Tenant improvements | 709 | ||
Construction in Progress | 10 | ||
Real estate assets held for sale, gross | 7,883 | ||
Accumulated Depreciation | $ (4,123) | ||
Depr. Life | 40 years | ||
Location 6 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 3 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 882 | ||
Gross Amount at the end of the period | |||
Land | 3 | ||
Land improvements | 93 | ||
Bldg. & Bldg. Improvements | 674 | ||
Tenant improvements | 115 | ||
Real estate assets held for sale, gross | 885 | ||
Accumulated Depreciation | $ (730) | ||
Depr. Life | 40 years | ||
Location 7 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 15 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 17,292 | ||
Gross Amount at the end of the period | |||
Land | 15 | ||
Land improvements | 199 | ||
Bldg. & Bldg. Improvements | 13,920 | ||
Tenant improvements | 3,173 | ||
Real estate assets held for sale, gross | 17,307 | ||
Accumulated Depreciation | $ (8,120) | ||
Depr. Life | 40 years | ||
Location 7 | Office Flex Building | Bloomfield, CT | |||
Initial Cost | |||
Land | $ 10 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 4,781 | ||
Gross Amount at the end of the period | |||
Land | 10 | ||
Land improvements | 45 | ||
Bldg. & Bldg. Improvements | 3,689 | ||
Tenant improvements | 845 | ||
Construction in Progress | 202 | ||
Real estate assets held for sale, gross | 4,791 | ||
Accumulated Depreciation | $ (2,704) | ||
Depr. Life | 40 years | ||
Location 8 | Industrial/Logistics Building | Windsor, CT | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 9,476 | ||
Initial Cost | |||
Land | 57 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 16,084 | ||
Gross Amount at the end of the period | |||
Encumbrances | 9,476 | ||
Land | 57 | ||
Land improvements | 1,055 | ||
Bldg. & Bldg. Improvements | 13,932 | ||
Tenant improvements | 1,097 | ||
Real estate assets held for sale, gross | 16,141 | ||
Accumulated Depreciation | $ (6,078) | ||
Depr. Life | 40 years | ||
Location 9 | Industrial/Logistics Building | Windsor, CT | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 17,145 | ||
Initial Cost | |||
Land | 20 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,274 | ||
Gross Amount at the end of the period | |||
Encumbrances | 17,145 | ||
Land | 20 | ||
Land improvements | 804 | ||
Bldg. & Bldg. Improvements | 8,187 | ||
Tenant improvements | 1,283 | ||
Real estate assets held for sale, gross | 10,294 | ||
Accumulated Depreciation | $ (4,270) | ||
Depr. Life | 40 years | ||
Location 10 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 12 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 6,978 | ||
Gross Amount at the end of the period | |||
Land | 12 | ||
Land improvements | 473 | ||
Bldg. & Bldg. Improvements | 6,288 | ||
Tenant improvements | 217 | ||
Real estate assets held for sale, gross | 6,990 | ||
Accumulated Depreciation | $ (3,118) | ||
Depr. Life | 40 years | ||
Location 11 | Industrial/Logistics Building | Windsor, CT | |||
Initial Cost | |||
Land | $ 16 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,017 | ||
Gross Amount at the end of the period | |||
Land | 16 | ||
Land improvements | 2,364 | ||
Bldg. & Bldg. Improvements | 6,917 | ||
Tenant improvements | 736 | ||
Real estate assets held for sale, gross | 10,033 | ||
Accumulated Depreciation | $ (1,852) | ||
Depr. Life | 40 years | ||
Location 12 | Industrial/Logistics Building | Windsor, CT | |||
Real Estate and Accumulated Depreciation | |||
Encumbrances | $ 13,356 | ||
Initial Cost | |||
Land | 26 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 15,556 | ||
Gross Amount at the end of the period | |||
Encumbrances | 13,356 | ||
Land | 26 | ||
Land improvements | 3,357 | ||
Bldg. & Bldg. Improvements | 11,087 | ||
Tenant improvements | 1,112 | ||
Real estate assets held for sale, gross | 15,582 | ||
Accumulated Depreciation | $ (1,981) | ||
Depr. Life | 40 years | ||
New England Tradeport | Undeveloped Land | |||
Initial Cost | |||
Land | $ 713 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 6,389 | ||
Gross Amount at the end of the period | |||
Land | 713 | ||
Land improvements | 91 | ||
Construction in Progress | 5,383 | ||
Development Costs | 915 | ||
Real estate assets held for sale, gross | 7,102 | ||
Accumulated Depreciation | (77) | ||
Griffin Center/Griffin Center South | Undeveloped Land | |||
Initial Cost | |||
Land | 355 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,031 | ||
Gross Amount at the end of the period | |||
Land | 355 | ||
Land improvements | 23 | ||
Development Costs | 1,008 | ||
Real estate assets held for sale, gross | 1,386 | ||
Accumulated Depreciation | (21) | ||
Phoenix Crossing | Undeveloped Land | |||
Initial Cost | |||
Land | 48 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,409 | ||
Gross Amount at the end of the period | |||
Land | 48 | ||
Development Costs | 1,409 | ||
Real estate assets held for sale, gross | 1,457 | ||
Other. | Undeveloped Land | |||
Initial Cost | |||
Land | 615 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 1,032 | ||
Gross Amount at the end of the period | |||
Land | 615 | ||
Land improvements | 691 | ||
Development Costs | 341 | ||
Real estate assets held for sale, gross | 1,647 | ||
Accumulated Depreciation | (490) | ||
Lehigh County, PA | Undeveloped Land | |||
Initial Cost | |||
Land | 6,455 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 10,176 | ||
Gross Amount at the end of the period | |||
Land | 6,455 | ||
Construction in Progress | 10,176 | ||
Real estate assets held for sale, gross | 16,631 | ||
Orange County, FL | Undeveloped Land | |||
Initial Cost | |||
Land | 5,658 | ||
Cost Capitalized Subsequent to Acquisition Improvements | 3,671 | ||
Gross Amount at the end of the period | |||
Land | 5,658 | ||
Construction in Progress | 3,671 | ||
Real estate assets held for sale, gross | $ 9,329 |
Schedule III-Real Estate and _3
Schedule III-Real Estate and Accumulated Depreciation - Footers (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Mar. 17, 2021 |
Real Estate and Accumulated Depreciation | ||
SEC Schedule III, Real Estate, federal income tax basis | $ 452,388 | |
Webster Credit Line | ||
Real Estate and Accumulated Depreciation | ||
Maximum borrowing capacity | $ 19,500 | |
Properties serving as collateral | Webster Credit Line | ||
Real Estate and Accumulated Depreciation | ||
Maximum borrowing capacity | $ 100,000 |
Schedule III-Real Estate and _4
Schedule III-Real Estate and Accumulated Depreciation - Rollforward (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Cost | ||
Balance at beginning of year | $ 367,160 | $ 354,586 |
Changes during the year: | ||
Additions to real estate assets | 177,000 | 23,226 |
Reclassification to real estate held for sale | (27,463) | (8,314) |
Impairment loss | (3,000) | (2,085) |
Writeoff of fully depreciated assets | (19,971) | (253) |
Balance at end of year | 493,726 | 367,160 |
Reserve | ||
Balance at beginning of year | (124,839) | (115,642) |
Changes during the year: | ||
Additions to reserve charged to costs and expenses | (13,563) | (11,930) |
Reclassification to real estate held for sale | 18,871 | 2,480 |
Writeoff of fully depreciated assets | 19,971 | 253 |
Balance at end of year | $ (99,560) | $ (124,839) |