Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Mar. 31, 2022 | Jun. 30, 2021 | |
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity File Number | 001-36312 | ||
Entity Registrant Name | POWER REIT | ||
Entity Central Index Key | 0001532619 | ||
Entity Tax Identification Number | 45-3116572 | ||
Entity Incorporation, State or Country Code | MD | ||
Entity Address, Address Line One | 301 Winding Road | ||
Entity Address, City or Town | Old Bethpage | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 11804 | ||
City Area Code | (212) | ||
Local Phone Number | 750-0371 | ||
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 | ||
Entity Shell Company | false | ||
Entity Public Float | $ 95,433,000 | ||
Entity Common Stock, Shares Outstanding | 3,367,561 | ||
Documents Incorporated by Reference [Text Block] | None | ||
ICFR Auditor Attestation Flag | false | ||
Auditor Firm ID | 206 | ||
Auditor Name | MaloneBailey, LLP | ||
Auditor Location | Houston, Texas | ||
Common Shares [Member] | |||
Title of 12(b) Security | Common Shares | ||
Trading Symbol | PW | ||
Security Exchange Name | NYSE | ||
7.75% Series A Cumulative Redeemable Perpetual Preferred Stock, Liquidation Preference $25 per Share | |||
Title of 12(b) Security | 7.75% Series A Cumulative Redeemable Perpetual Preferred Stock, Liquidation Preference $25 per Share | ||
Trading Symbol | PW.A | ||
Security Exchange Name | NYSE |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Land | $ 10,418,232 | $ 8,333,040 |
Greenhouse cultivation and processing facilities, net of accumulated depreciation | 42,587,727 | 10,305,979 |
Greenhouse cultivation and processing facilities - construction in progress | 13,318,883 | 2,087,086 |
Net investment in direct financing lease - railroad | 9,150,000 | 9,150,000 |
Total real estate assets | 75,474,842 | 29,876,105 |
Cash and cash equivalents | 3,171,301 | 5,601,826 |
Prepaid expenses and deposits | 493,196 | 89,345 |
Intangible lease asset, net of accumulated amortization | 3,760,556 | 3,352,313 |
Deferred debt issuance cost, net of amortization | 274,003 | |
Deferred rent receivable | 2,094,292 | 1,602,655 |
Other assets | 50,000 | 16,975 |
TOTAL ASSETS | 85,318,190 | 40,539,219 |
LIABILITIES AND EQUITY | ||
Accounts payable | 79,371 | 83,562 |
Accrued interest | 76,600 | 80,579 |
Deferred rent liability | 861,916 | 123,966 |
Tenant security deposits | 2,612,206 | 1,137,481 |
Prepaid rent | 37,161 | 105,331 |
Intangible lease liability, net of accumulated amortization | 142,700 | |
Current portion of long-term debt, net of unamortized discount | 641,238 | 605,272 |
Long-term debt, net of unamortized discount | 22,555,911 | 23,192,871 |
TOTAL LIABILITIES | 27,007,103 | 25,329,062 |
Series A 7.75% Cumulative Redeemable Perpetual Preferred Stock Par Value $25.00 (1,675,000 shares authorized; 336,944 and 144,636 issued and outstanding as of December 31, 2021 and December 31, 2020) | 8,489,952 | 3,492,149 |
Equity: | ||
Common Shares, $0.001 par value (98,325,000 shares authorized; 3,367,561 shares issued and outstanding at December 31, 2021 and 1,916,139 shares issued and outstanding at December 31, 2020) | 3,367 | 1,916 |
Additional paid-in capital | 45,687,074 | 12,077,054 |
Retained earnings (accumulated deficit) | 4,130,694 | (360,962) |
Total Equity | 49,821,135 | 11,718,008 |
TOTAL LIABILITIES AND EQUITY | $ 85,318,190 | $ 40,539,219 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Preferred stock cumulative redeemable percentage | 7.75% | |
Temporary Equity, Par or Stated Value Per Share | $ 25 | |
Temporary Equity, Shares Authorized | 1,675,000 | |
Temporary Equity, Shares Outstanding | 336,944 | 144,636 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | |
Common Stock, Shares Authorized | 98,325,000 | |
Common Stock, Shares, Outstanding | 3,367,561 | 1,916,139 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
REVENUE | ||
Lease income from direct financing lease – railroad | $ 915,000 | $ 915,000 |
Rental income | 6,813,237 | 3,283,324 |
Rental income - related parties | 722,126 | |
Other income | 7,551 | 74,385 |
TOTAL REVENUE | 8,457,914 | 4,272,709 |
EXPENSES | ||
Amortization of intangible assets | 399,733 | 237,140 |
General and administrative | 880,863 | 527,818 |
Property taxes | 25,912 | 27,515 |
Depreciation expense | 867,031 | 141,720 |
Interest expense | 1,139,885 | 1,166,642 |
TOTAL EXPENSES | 3,313,424 | 2,100,835 |
NET INCOME | 5,144,490 | 2,171,874 |
Preferred Stock Dividends | (652,834) | (280,230) |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | $ 4,491,656 | $ 1,891,644 |
Income Per Common Share: | ||
Basic | $ 1.41 | $ 0.99 |
Diluted | $ 1.38 | $ 0.96 |
Weighted Average Number of Shares Outstanding: | ||
Basic | 3,178,215 | 1,910,898 |
Diluted | 3,264,805 | 1,973,383 |
Cash dividend per Series A Preferred Share | $ 1.94 | $ 1.94 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2019 | $ 1,873 | $ 11,821,486 | $ (2,252,606) | $ 9,570,753 |
Beginning balance, shares at Dec. 31, 2019 | 1,872,939 | |||
Net Income | 2,171,874 | 2,171,874 | ||
Cash Dividends on Preferred Stock | (280,230) | (280,230) | ||
Stock-Based Compensation | $ 43 | 255,568 | 255,611 | |
Stock-Based Compensation,shares | 43,200 | |||
Ending balance, value at Dec. 31, 2020 | $ 1,916 | 12,077,054 | (360,962) | 11,718,008 |
Ending balance, shares at Dec. 31, 2020 | 1,916,139 | |||
Net Income | 5,144,490 | 5,144,490 | ||
Cash Dividends on Preferred Stock | (652,834) | (652,834) | ||
Issuance of Common Shares for Cash, net of Stock Issuance Costs | $ 1,383 | 36,493,483 | 36,494,866 | |
Issuance of Common Shares for Cash,shares | 1,383,394 | |||
Issuance of Common Shares for Option Exercise | $ 45 | (3,265,768) | (3,265,723) | |
Issuance of Common Shares for options exercise,shares | 45,128 | |||
Stock-Based Compensation | $ 23 | 382,305 | 382,328 | |
Stock-Based Compensation,shares | 22,900 | |||
Ending balance, value at Dec. 31, 2021 | $ 3,367 | $ 45,687,074 | $ 4,130,694 | $ 49,821,135 |
Ending balance, shares at Dec. 31, 2021 | 3,367,561 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating activities | ||
Net income | $ 5,144,490 | $ 2,171,874 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of intangible lease asset | 399,733 | 237,140 |
Amortization of debt costs | 35,106 | 34,110 |
Amortization of below market lease | (35,951) | |
Stock-based compensation | 382,328 | 255,611 |
Depreciation | 867,031 | 141,720 |
Changes in operating assets and liabilities | ||
Other assets | (33,025) | (275) |
Deferred rent receivable | (491,637) | (1,056,468) |
Deferred rent liability | 737,950 | 123,966 |
Prepaid expenses and deposits | (403,851) | (74,719) |
Accounts payable | (4,191) | 28,569 |
Tenant security deposits | 1,474,725 | 1,023,103 |
Accrued interest | (3,979) | (3,734) |
Prepaid rent | (68,170) | 75,989 |
Net cash provided by operating activities | 8,000,559 | 2,956,886 |
Investing activities | ||
Cash paid for land, greenhouse cultivation and processing facilities and lease intangibles assets and liabilities | (30,865,493) | (10,232,408) |
Cash paid for greenhouse cultivation and processing facilities - construction in progress | (11,231,797) | (2,087,086) |
Net cash used in investing activities | (42,097,290) | (12,319,494) |
Financing Activities | ||
Net proceeds from issuance of common stock for option exercise | (3,265,723) | |
Net proceeds from issuance of common stock for cash | 36,494,866 | |
Payment of debt issuance costs | (275,000) | |
Principal payment on long-term debt | (635,103) | (597,840) |
Cash dividends paid on preferred stock | (652,834) | (280,230) |
Net cash provided by (used in) financing activities | 31,666,206 | (878,070) |
Net decrease in cash and cash equivalents | (2,430,525) | (10,240,678) |
Cash and cash equivalents, beginning of period | 5,601,826 | 15,842,504 |
Cash and cash equivalents, end of period | 3,171,301 | 5,601,826 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 1,108,758 | 1,128,799 |
Preferred stock issuance for purchase of greenhouse cultivation and processing facility | $ 4,997,803 |
GENERAL INFORMATION
GENERAL INFORMATION | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL INFORMATION | GENERAL INFORMATION Nature of Operations Power REIT (the “Registrant” or the “Trust”, and together with its consolidated subsidiaries, “we”, “us”, or “Power REIT”, unless the context requires otherwise) is a Maryland-domiciled, internally-managed real estate investment trust (a “REIT”) that owns a portfolio of real estate assets related to transportation, energy infrastructure and Controlled Environment Agriculture (“CEA”) in the United States. Power REIT was formed as part of a reorganization and reverse triangular merger of P&WV that closed on December 2, 2011. P&WV survived the reorganization as a wholly-owned subsidiary of the Registrant. The Trust is structured as a holding company and owns its assets through twenty-four wholly-owned, special purpose subsidiaries that have been formed in order to hold real estate assets, obtain financing and generate lease revenue. As of December 31, 2021, the Trust’s assets consisted of approximately 112 miles of railroad infrastructure and related real estate which is owned by its subsidiary Pittsburgh & West Virginia Railroad (“P&WV”), approximately 601 acres of fee simple land leased to a number of utility scale solar power generating projects with an aggregate generating capacity of approximately 108 Megawatts (“MW”) and approximately 172 acres of land with approximately 1,090,000 square feet of existing or under construction greenhouses leased to seventeen separate regulated cannabis operators During the twelve months ended December 31, 2021, the Trust raised gross proceeds of approximately $ 36.7 1,383,394 26.50 On February 3, 2021, the Trust issued 192,308 additional shares of Power REIT’s Series A Preferred Stock as part of a transaction to acquire a property located in Riverside County, CA (the “Canndescent Property”) through a newly formed wholly owned subsidiary (“PW Canndescent”). On December 21, 2021, the Trust entered into a debt facility with initial availability of $ 20 million. The facility is non-recourse to Power REIT and is structured without initial collateral but has springing liens to provide security against a significant number of Power REIT CEA portfolio properties in the event of default. The debt facility has a 12 month draw period and then converts to a term loan that is fully amortizing over five years. The interest rate on the debt facility is 5.52 %. Debt issuance expenses of $ 275,000 were capitalized at the origination of the loan and amortization of $ 997 has been recognized during the year ended December 31, 2021. As of December 31, 2021, no funds have been drawn against this Debt Facility. On March 22, 2022, $ 2,500,000 During the twelve months ended December 31, 2021, the Trust paid quarterly dividends of approximately $ 653,000 ($ 0.484375 per share per quarter) on Power REIT’s 7.75 % Series A Cumulative Redeemable Perpetual Preferred Stock. The Trust has elected to be treated for tax purposes as a REIT, which means that it is exempt from U.S. federal income tax if a sufficient portion of its annual income is distributed to its shareholders, and if certain other requirements are met. In order for the Trust to maintain its REIT qualification, at least 90 22.7 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation These consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Share Based Compensation Accounting Policy The Trust records all equity-based incentive grants to Officers and non-employee members of the Trust’s Board of Directors in general and administrative expenses in the Trust’s Consolidated Statement of Operations based on their fair value determined on the date of grant. Stock-based compensation expense is recognized on a straight-line basis over the vesting term of the outstanding equity awards. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Impact of New Accounting Standards The Company has evaluated all recent accounting pronouncements and believes either they are not applicable or that none of them will have a significant effect on the Company’s financial statements. Principles of Consolidation The accompanying consolidated financial statements include Power REIT and its wholly-owned subsidiaries. All intercompany balances have been eliminated in consolidation. Income per Common Share Basic net income per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding. Diluted net income per common share is computed similar to basic net income per common share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. The dilutive effect of the Trust’s options is computed using the treasury stock method. The following table sets forth the computation of basic and diluted Income per Share: SCHEDULE OF INCOME PER COMMON SHARE 2021 2020 Year Ended December 31, 2021 2020 Numerator: Net Income $ 5,144,490 $ 2,171,874 Preferred Stock Dividends (652,834 ) (280,230 ) Numerator for basic and diluted EPS - income available to common Shareholders $ 4,491,656 $ 1,891,644 Denominator: Denominator for basic EPS - Weighted average shares 3,178,215 1,910,898 Dilutive effect of options 86,590 62,485 Denominator for diluted EPS - Adjusted weighted average shares 3,264,805 1,973,383 Basic income per common share $ 1.41 $ 0.99 Diluted income per common share $ 1.38 $ 0.96 Cash and Cash Equivalents The Trust considers all highly liquid investments with original maturity of three months or less to be cash equivalents. Power REIT places its cash and cash equivalents with high-credit quality financial institution; however, amounts are not insured or guaranteed by the FDIC. Real Estate Assets and Depreciation of Investment in Real Estate The Trust expects that most of its transactions will be accounted for as asset acquisitions. In an asset acquisition, the Trust is required to capitalize closing costs and allocates the purchase price on a relative fair value basis. For the years ended December 31, 2021 and 2020, all acquisitions were considered asset acquisitions. In making estimates of relative fair values for purposes of allocating purchase price, the Trust utilizes a number of sources, including independent appraisals that may be obtained in connection with the acquisition or financing of the respective property, our own analysis of recently acquired and existing comparable properties in our portfolio and other market data. The Trust also considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the relative fair value of the tangible acquired. The Trust allocates the purchase price of acquired real estate to various components as follows: ● Land – Based on actual purchase if acquired as raw land. When property is acquired with improvements, the land price is established based on market comparables and market research to establish a value with the balance allocated to improvements for the land. ● Improvements – When a property is acquired with improvements, the land price is established based on market comparables and market research to establish a value with the balance allocated to improvements for the land. We also evaluate the improvements in terms of replacement cost and condition to confirm that the valuation assigned to improvements is reasonable. Depreciation is calculated on a straight-line method over the useful life of the improvements. ● Lease Intangibles – The trust recognized lease intangibles when there’s existing lease assumed with the property acquisitions. In determining the fair value of in-place leases (the avoided cost associated with existing in-place leases) management considers current market conditions and costs to execute similar leases in arriving at an estimate of the carrying costs during the expected lease-up period from vacant to existing occupancy. In estimating carrying costs, management includes reimbursable (based on market lease terms) real estate taxes, insurance, other operating expenses, as well as estimates of lost market rental revenue during the expected lease-up periods. The values assigned to in-place leases are amortized over the remaining term of the lease. The fair value of above-or-below market leases is estimated based on the present value (using an interest rate which reflected the risks associated with the leases acquired) of the difference between contractual amounts to be received pursuant to the leases and management’s estimate of market lease rates measured over a period equal to the estimated remaining term of the lease. An above market lease is classified as an intangible asset and a below market lease is classified as an intangible liability. The capitalized above-market or below-market lease intangibles are amortized as a reduction of, or an addition to, rental income over the estimated remaining term of the respective leases. Intangible assets related to leasing costs consist of leasing commissions and legal fees. Leasing commissions are estimated by multiplying the remaining contract rent associated with each lease by a market leasing commission. Legal fees represent legal costs associated with writing, reviewing, and sometimes negotiating various lease terms. Leasing costs are amortized over the remaining useful life of the respective leases. ● Construction in Progress (CIP) - The Trust classifies greenhouses or buildings under development and/or expansion as construction-in-progress until construction has been completed and certificates of occupancy permits have been obtained upon which the asset is then classified as an Improvement. The value of CIP is based on actual costs incurred. Impairment of Long-Lived Assets At least quarterly, the Trust evaluates its long-lived assets, including its investment in real estate, for indicators of impairment. The judgments regarding the existence of impairment indicators are based on factors such as operational performance, market conditions, legal, regulatory and environmental concerns, the Trust’s intent and ability to hold the related asset, as well as any significant cost overruns on development properties. Future events could occur which would cause the Trust to conclude that impairment indicators exist and an impairment loss is warranted. If an impairment indicator exists, the Trust performs the following: ● For long-lived operating assets to be held and used, the Trust compares the expected future undiscounted cash flows for the long-lived asset against the carrying amount of that asset. If the sum of the estimated undiscounted cash flows is less than the carrying amount of the asset, the Trust would make an estimate of the fair value for the particular asset. Depreciation Depreciation is computed using the straight-line method over the estimated useful lives of 20 39 37 depreciation expense for the year ended December 31, 2021 related to depreciation on properties that it acquired and the placement into service of tenant improvements at our properties. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 867,000 and $ 142,000 depreciation expense was recorded, respectively. Covid – 19 Impact We are monitoring Covid-19 closely. Our operations have been affected by the COVID-19 outbreak due to manufacturing and supply chain disruptions for materials which also may be experiencing delays related to transportation of such materials which is impacting construction timeframes. The ultimate severity of the outbreak and its impact on the economic environment is uncertain at this time. Revenue Recognition The Railroad Lease is treated as a direct financing lease. As such, income to P&WV under the Railroad Lease is recognized when received. Lease revenue from solar land and CEA properties are accounted for as operating leases. Any such leases with rent escalation provisions are recorded on a straight-line basis when the amount of escalation in lease payments is known at the time Power REIT enters into the lease agreement, or known at the time Power REIT assumes an existing lease agreement as part of an acquisition (e.g., an annual fixed percentage escalation) over the initial lease term, subject to a collectability assessment, with the difference between the contractual rent receipts and the straight-line amounts recorded as “deferred rent receivable” or “deferred rent liability”. Expenses for which tenants are contractually obligated to pay, such as maintenance, property taxes and insurance expenses are not reflected in our consolidated financial statements. Lease revenue from land that is subject to an operating lease without rent escalation provisions is recorded on a straight-line basis. Intangibles A portion of the acquisition price of the assets acquired by PW Tulare Solar, LLC (“PWTS”) have been allocated on the Trust’s consolidated balance sheets between Land and Intangibles’ fair values at the date of acquisition. The total amount of in-place lease intangible assets established was approximately $ 237,000 , which will be amortized over a 24.6 -year period. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 10,000 of the intangibles was amortized. A portion of the acquisition price of the assets acquired by PW Regulus Solar, LLC (“PWRS”) have been allocated on The Trust’s consolidated balance sheets between Land and Intangibles’ fair values at the date of acquisition. The total amount of in-place lease intangible assets established was approximately $ 4,714,000 , which is amortized over a 20.7 -year period. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 227,000 of the intangibles was amortized. A portion of the acquisition price of the assets acquired by PW CA Canndescent, LLC (“PW Canndescent”) have been allocated on The Trust’s consolidated balance sheets between Land, Improvements and Intangibles’ fair values at the date of acquisition. The amount of in-place lease intangible assets established was approximately $ 808,000 , which is amortized over a 4.5 -year period. For the twelve months ended December 31, 2021 and 2020, approximately $ 163,000 and $ 0 of amortization expense was recognized. A below-market lease intangible liability was recorded upon acquisition in the amount of approximately $ 179,000 and is amortized over a 4.5 -year period. Addition to revenue for the amortization of the liability in the amount of approximately $ 36,000 and $ 0 was recognized for the years ended December 31, 2021 and 2020, respectively. Intangible assets are evaluated whenever events or circumstances indicate the carrying value of these assets may not be recoverable. There were no The following table provides a summary of the Intangible Assets and Liabilities: SCHEDULE OF INTANGIBLE ASSETS December 31, 2021 December 31, 2020 Accumulated Cost Amortization / Revenue Net Book Cost Accumulated Amortization Net Book Asset Intangibles - PWTS $ 237,471 $ 81,695 $ 155,776 $ 237,471 $ 72,043 $ 165,428 Asset Intangibles - PWRS 4,713,548 1,754,151 2,959,397 4,713,548 1,526,663 3,186,885 Asset Intangibles - Canndescent 807,976 162,593 645,383 - - - Total – Asset Intangibles $ 5,758,995 $ 1,998,439 $ 3,760,556 $ 4,951,019 $ 1,598,706 $ 3,352,313 Liability Intangibles - Canndescent (178,651 ) (35,951 ) (142,700 ) - - - Total $ 5,580,344 $ 1,962,488 $ 3,617,856 $ 4,951,019 $ 1,598,706 $ 3,352,313 The following table provides a summary of the current estimate of future amortization of Intangible Assets: SCHEDULE OF FUTURE AMORTIZATION OF INTANGIBLE ASSETS 2022 $ 416,690 2023 416,690 2024 416,690 2025 343,874 2026 237,141 Thereafter 1,929,471 Total $ 3,760,556 The following table provides a summary of the current estimate of future addition to revenue for Intangible Liabilities: SCHEDULE OF FUTURE ADDITION TO REVENUE FOR INTANGIBLE LIABILITIES 2022 $ 39,700 2023 39,700 2024 39,700 2025 23,600 Total $ 142,700 Net Investment in Direct Financing Lease – Railroad P&WV’s net investment in its leased railroad property, recognizing the lessee’s perpetual renewal options, was estimated to have a current value of $ 9,150,000 10 Fair Value Fair value represents the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Trust measures its financial assets and liabilities in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. ○ Level 1 – valuations for assets and liabilities traded in active exchange markets, or interest in open-end mutual funds that allow a company to sell its ownership interest back at net asset value on a daily basis. Valuations are obtained from readily available pricing sources for market transactions involving identical assets, liabilities or funds. ○ Level 2 – valuations for assets and liabilities traded in less active dealer, or broker markets, such as quoted prices for similar assets or liabilities or quoted prices in markets that are not active. Level 2 includes U.S. Treasury, U.S. government and agency debt securities, and certain corporate obligations. Valuations are usually obtained from third party pricing services for identical or comparable assets or liabilities. ○ Level 3 – valuations for assets and liabilities that are derived from other valuation methodologies, such as option pricing models, discounted cash flow models and similar techniques, and not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets or liabilities. In determining fair value, the Trust utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considering counterparty credit risk. The carrying amounts of Power REIT’s financial instruments, including cash and cash equivalents, prepaid expenses, and accounts payable approximate fair value because of their relatively short-term maturities. The carrying value of long-term debt approximates fair value since the related rates of interest approximate current market rates. There are no financial assets and liabilities carried at fair value on a recurring basis as of December 31, 2021 and 2020. |
CONCENTRATIONS
CONCENTRATIONS | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | 3 – CONCENTRATIONS Historically, the Trust’s revenue has been concentrated to a relatively limited number of investments, industries and lessees. As the Trust grows, its portfolio may remain concentrated in a limited number of investments. During the twelve months ended December 31, 2021, Power REIT collected approximately 48 15 12 11 10 68 21 19 16 12 |
ACQUISITIONS
ACQUISITIONS | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS | 4 – ACQUISITIONS 2020 Acquisitions On January 31, 2020, Power REIT, through a newly formed wholly owned subsidiary, PW CO CanRE Mav 14, LLC, completed the acquisition of a greenhouse property in southern Colorado (“Mav 14 Property”). Mav 14 Property, 5.54 9,300 850,000 10,085 15,120 1,058,400 2,520 1,908,400 The following table summarized the allocation of the purchase consideration for Maverick 14 based on the fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 150,000 Assets subject to depreciation: Improvements (Greenhouses / Processing Facility) 710,085 Construction in Progress - Site Improvements - Net Lease Intangibles - Acquisition Costs Capitalized - Total Assets Acquired $ 860,085 On February 20, 2020, through a newly formed wholly owned subsidiary, PW CO CanRE Sherman 6, LLC, Power REIT completed the acquisition of a property in southern Colorado (“Sherm 6 Property”). Sherm 6 Property, 5.0 150,000 724 15,120 8,776 1,693,800 151,301 2,520 1,995,101 On March 19, 2020, Power REIT, through a newly formed wholly owned subsidiary, PW CO CanRE Mav 5, LLC completed the acquisition of a property in southern Colorado (“Mav 5 Property”). Mav 5 Property, 5.2 150,000 5,040 4,920 868,125 340,539 5,040 1,358,664 On May 15, 2020, through a newly formed wholly owned subsidiary, PW ME CanRE SD, LLC, Power REIT completed the acquisition of a 3.06 1,000,000 32,800 2,800 950,000 2,970,000 4,920,000 40,507 On September 18, 2020, through the wholly owned subsidiary, PW ME CanRE SD, LLC, Power REIT completed the acquisition of a property (“505 Property”) in York County, Maine by exercising its option received at the time of the 495 Property acquisition. The 505 Property is a 3.58 400,000 15,497 9,900 2,738 1,560,000 1,960,000 659,000 The following table summarizes the allocation of the purchase considerations for Sweet Dirt based on the fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED 495 Property 505 Property Land $ 267,011 $ 312,385 Construction in Progress 1,723,496 103,112 Total Assets Acquired $ 1,990,507 $ 415,497 On September 18, 2020, through a newly formed wholly owned subsidiary, PW CO CanRE Tam 7, LLC, Power REIT completed the acquisition of a property in Southern Colorado (“Tam 7 Property”). Tam 7 Property, 4.32 150,000 223 18,000 1,214,585 1,364,585 On October 2, 2020 through a newly formed wholly owned subsidiary, PW CO CanRE MF, LLC, Power REIT completed the acquisition of two properties in Southern Colorado (“MF Properties”). The MF Properties, a total of 4.46 150,000 513 33,744 2,912,300 3,062,300 2.5 On December 4, 2020, through a newly formed wholly owned subsidiary, PW CO CanRE Tam 19, LLC, Power REIT completed the acquisition of a property in Southern Colorado (“Tam 19 Property”). Tam 19 Property, 2.11 acres of vacant land approved for medical cannabis cultivation, was acquired for $ 75,000 plus $ 419 in acquisition expenses. As part of the transaction, the Trust agreed to fund the construction of a 13,728 square foot greenhouse and two 2,400 square foot ancillary buildings for $ 1,236,116 . Accordingly, Power REIT’s total capital commitment is $ 1,311,116 plus acquisition costs. As of December 31, 2021, the construction is complete, the property is in operation and considered a depreciable improvement. 2021 Acquisitions On January 4, 2021, PW CO CanRE Grail, LLC, (“PW Grail”), one of our indirect subsidiaries, acquired two properties totaling 4.41 150,000 21,732 1.69 518,000 6,256 2.4 1.6 On January 14, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE Apotheke, LLC, (“PW Apotheke”), we completed the acquisition of a property totaling 4.31 150,000 21,548 1.66 1.81 1.2 On February 3, 2021, we acquired a property located in Riverside County, CA (the “Canndescent Property”) through a newly formed wholly owned subsidiary (“PW Canndescent”) and the Trust assumed an existing lease. The purchase price of the .85-acre property and 37,000 7.685 99,789 2.685 192,308 The following table summarized the allocation of the purchase consideration for the Canndescent Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 181,192 Assets Subject to Depreciation / Amortization Improvements (Greenhouses / Processing Facilities) 6,887,868 Site Improvements 86,402 Lease Intangible Assets 807,976 Lease Intangible Liability (178,651 ) Total Assets Acquired $ 7,784,787 On March 12, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE Gas Station, LLC, (“PW Gas Station”), we purchased a property totaling 2.2 acres of vacant land (“Gas Station Property”) approved for medical cannabis cultivation in southern Colorado for $ 85,000 plus acquisition costs. As part of the transaction, we agreed to fund the immediate construction of an approximately 24,512 square foot greenhouse and processing facility for approximately $ 2.03 million. Accordingly, PW Gas Station’s total capital commitment is approximately $ 2.1 million. As of December 31, 2021, the total construction in progress that was funded by Power REIT is approximately $ 1.2 million. On April 20, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE Cloud Nine, LLC, (“PW Cloud Nine”), we purchased two properties totaling 4.0 acres of vacant land (“Cloud Nine Property”) approved for medical cannabis cultivation in southern Colorado for $ 300,000 plus acquisition costs. As part of the transaction, we agreed to fund the immediate construction of an approximately 38,440 square foot greenhouse and processing facility for approximately $ 2.65 million. Accordingly, PW Cloud Nine’s total capital commitment is approximately $ 2.95 million. As of December 31, 2021, the total construction in progress that was funded by Power REIT is approximately $ 1.2 million. On January 15, 2022, PW Cloud Nine filed for the eviction of Cloud Nine for failure to pay rent when due. On February 11, 2022 the court granted a Writ of Restitution for the eviction of Cloud Nine. Cloud Nine has appealed the eviction ruling. The appeal is still pending as of the date of this filing. On May 21, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE Walsenburg, LLC, (“PW Walsenburg”), we purchased a 35 2.3 1.6 102,800 3.9 1.5 The following table summarizes the allocation of the purchase consideration for the Walsenburg Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 525,000 Improvements (Greenhouses / Processing Facilities) 1,822,636 Total Assets Acquired $ 2,347,636 On June 11, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE Vinita, LLC, (“PW Vinita”), we purchased a 9.35 40,000 3,000 100,000 2.1 550,000 2.65 321,000 The following table summarizes the allocation of the purchase consideration for the Vinita Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 50,000 Improvements (Greenhouses / Processing Facilities) 2,094,328 Total Assets Acquired $ 2,144,328 On June 18, 2021, through a newly formed wholly owned subsidiary, PW CO CanRE JKL, LLC, (“PW JKL”), we purchased a property totaling 10 400,000 12,000 12,880 2.5 2.9 1.1 On September 3, 2021, Power REIT, through a newly formed wholly owned subsidiary, PW MI CanRE Marengo, LLC, (“PW Marengo”), completed the acquisition of a 556,146 square foot greenhouse cultivation facility on an approximate 61.14 acre property in Marengo Township, Michigan (“Marengo Property”) for $ 18.392 million plus acquisition costs. As part of the transaction, the Trust agreed to fund $ 2.98 million worth of improvements and upgrades for the facility. On November 2, 2021, PW Marengo amended the lease with the Marengo Tenant, making an additional $ 4.1 million available to fund additional improvements to the existing greenhouse cultivation facility. Accordingly, the Trust’s total capital commitment is approximately $ 25.6 million plus acquisition costs. As of December 31, the total construction in progress that was funded by Power REIT is approximately $ 2.0 million. The following table summarized the allocation of the purchase consideration for the PW Marengo Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 244,000 Construction in Progress 18,345,033 $ 18,589,033 The acquisitions described above are accounted for as asset acquisitions under ASC 805-50. Power REIT has established a depreciable life for the greenhouses of 20 years and 39 years for the auxiliary facilities, except for the Canndescent property where it was determined to depreciate the buildings over 37 years. |
DIRECT FINANCING LEASES AND OPE
DIRECT FINANCING LEASES AND OPERATING LEASES | 12 Months Ended |
Dec. 31, 2021 | |
Direct Financing Leases And Operating Leases | |
DIRECT FINANCING LEASES AND OPERATING LEASES | 5– DIRECT FINANCING LEASES AND OPERATING LEASES Information as Lessor Under ASC Topic 842 To generate positive cash flow, as a lessor, the Trust leases its facilities to tenants in exchange for payments. The Trust’s leases for its railroad, solar farms and greenhouse cultivation facilities have lease terms ranging between 5 99 8,450,000 Direct Financing Leases The Railroad Lease provides for a base cash rental of $ 915,000 99 99 years The Railroad Lease may be terminated by the lessee at the expiration of the initial term or any renewal term, or by default of NSC. In the event of termination, NSC is obligated to return to P&WV all properties covered by the Railroad Lease, together with sufficient cash and other assets to permit operation of the railroad for a period of one year. In addition, NSC would be obligated upon default or termination, to the extent NSC has not previously paid indebtedness due to P&WV, to settle remaining indebtedness owed to P&WV. The existing indebtedness owed to P&WV, including the ability of P&WV to make an immediate demand for payment of such amounts, was part of the subject of a multi-year litigation which concluded in 2017. Based on the outcome of the litigation, the indebtedness that has accrued on Power REIT’s tax books is deemed uncollectable and was written off for tax purposes in 2017. The amount of this indebtedness has not been reflected on P&WV’s financial statements which are consolidated into Power REIT’s financial statements and therefore for financial reporting purposes there was no change related thereto. P&WV has determined that the lease term is perpetual (for GAAP accounting purposes only) because it is perceived that it would be un-economic for the lessee to terminate and the Lessee has control over its actions with respect to default and has unlimited renewal options. Accordingly, as of January 1, 1983, the rentals receivable of $915,000 per annum, recognizing renewal options by the lessee in perpetuity, were estimated to have a present value of $9,150,000, assuming an implicit interest rate of 10%. The Trust has evaluated their long-lived assets for impairment and concluded there are no impairment indicators as of December 31, 2021. Operating Leases The Trust is the lessor for a portfolio of leases that are accounted for as operating leases under the lease standard. All rental income is recorded on a straight-line basis over the term of the lease. Below is a chart of operating leases for Power REIT as of December 31, 2021: SCHEDULE OF OPERATING LEASES INCOME Property Type/Name Lease Start Term (yrs) Renewal Options Triple Net Lease Annual Straight-Line Rent ($) Rent Recorded 2021 ($) Rent Recorded 2020 ($) Solar Farm Lease PWSS Dec-11 22 2 x 5-years Y 89,494 89,494 89,494 PWTS Mar-13 25 2 x 5-years Y 32,500 32,500 32,500 PWTS Mar-13 25 2 x 5-years Y 37,500 37,500 37,500 PWTS Mar-13 25 2 x 5-years Y 16,800 16,800 16,800 PWTS Mar-13 25 2 x 5-years Y 29,900 29,900 29,900 PWTS Mar-13 25 2 x 5-years Y 40,800 40,800 40,800 PWRS Apr-14 20 2 x 5-years Y 803,117 803,117 803,117 CEA Property Lease PW JAB Jul-19 20 2 x 5-years Y 201,810 201,810 201,810 PW JAB Jul-19 20 2 x 5-years Y 294,046 294,046 294,046 PW Mav 14 Feb-20 20 2 x 5-years Y 354,461 354,461 324,922 PW Sherman 6 Feb-20 20 2 x 5-years Y 375,159 375,159 327,278 PW Mav 5 Nov-21 20 2 x 5-years Y 262,718 340,734 187,272 (1) PW SD (495 and 505) May-20 20 2 x 5-years Y 1,292,904 1,292,904 682,677 PW Tam 7 Sep-20 20 2 x 5-years Y 261,963 261,963 74,950 PW MF Oct-20 20 2 x 20-years Y - 113,504 121,079 (2) PW Tam 19 Dec-20 20 2 x 5-years Y 252,061 252,061 19,179 PW Grail (4 and 5) Jan-21 /Jan-22 20 2 x 5-years Y 461,684 245,136 - (3) PW Apotheke Jan-21 20 2 x 5-years Y 341,953 325,407 - PW Canndescent Feb-21 5 - Y 1,113,018 1,019,826 - PW Gas Station Mar-21 20 2 x 5-years Y 399,748 311,631 - PW Cloud Nine Apr-21 20 2 x 5-years Y 552,588 83,275 - (4) PW Walsenburg May-21 20 2 x 5-years Y 729,007 444,614 - PW Vinita Jun-21 20 2 x 5-years Y 502,561 277,512 - PW JKL Jun-21 20 2 x 5-years Y 546,392 291,209 - PW Marengo Sep-21 20 2 x 5-years Y 5,119,343 - - (5) 14,111,527 7,535,363 3,283,324 (1) On November 5, 2021, the original lease was terminated and a new lease was entered into with current tenant. The terms listed under Annual Straight-Line Rent is for the new lease. The Rent Recorded for 2021 includes rent under both, the old and new lease. (2) On November 1, 2021, the lease was terminated and the tenant surrendered premises to PW. (3) On December 8, 2021, the lease was terminated and the tenant surrendered premises to PW. A new lease was entered into on January 1, 2022 for this property – see Subsequent Events. The straight-line rent disclosed is for the new lease. (4) Tenant has received a Writ of Restitution for eviction in January 2022, therefore, rent revenue is recognized on a cash basis. (5) Tenant is pursuing cannabis licensing and approvals which is taking longer than expected, and accordingly, we have determined not to straight-line rent in 2021 until we have better visibility into the timing of commencing operations. The following is a schedule by years of minimum future rentals on non-cancelable operating leases as of December 31, 2021: SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES 2022 $ 14,480,772 2023 $ 20,740,812 2024 $ 18,100,653 2025 $ 14,504,950 2026 $ 9,143,373 Thereafter $ 153,979,976 Total $ 230,950,536 |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | 6 – LONG-TERM DEBT On December 31, 2012, as part of the Salisbury land acquisition, PW Salisbury Solar, LLC (“PWSS”) assumed existing municipal financing (“Municipal Debt”). The Municipal Debt has approximately 10 5.0 February 1 of each year 64,000 70,000 In July 2013, PWSS borrowed $ 750,000 The PWSS Term Loan carries a fixed interest rate of 5.0 10 521,000 4,100 551,000 6,800 On November 6, 2015, PWRS entered into a loan agreement (the “2015 PWRS Loan Agreement”) with a certain lender for $ 10,150,000 October 14, 2034 4.34 7,803,000 280,000 8,183,000 303,000 On November 25, 2019, Power REIT, through a newly formed subsidiary, PW PWV Holdings LLC (“PW PWV”), entered into a loan agreement (the “PW PWV Loan Agreement”) with a certain lender for $ 15,500,000 (the “PW PWV Loan”). The PW PWV Loan is secured by pledge of PW PWV’s equity interest in P&WV, its interest in the Railroad Lease and a security interest in a deposit account (the “Deposit Account”) pursuant to a Deposit Account Control Agreement dated November 25, 2019 into which the P&WV rental proceeds is deposited. Pursuant to the Deposit Account Control Agreement, P&WV has instructed its bank to transfer all monies deposited in the Deposit Account to the escrow agent as a dividend/distribution payment pursuant to the terms of the PW PWV Loan Agreement. The PW PWV Loan is evidenced by a note issued by PW PWV to the benefit of the lender for $ 15,500,000 , with a fixed interest rate of 4.62 % and fully amortizes over the life of the financing which matures in 2054 (35 years) . The balance of the loan as of December 31, 2021 and December 31, 2020 is $ 14,809,000 (net of approximately $ 293,000 of capitalized debt costs) and $ 14,994,000 (net of approximately $ 302,000 of capitalized debt costs). On December 21, 2021, Power REIT entered into a Debt Facility with initial availability of $ 20 million. The facility is non-recourse to Power REIT and is structured without initial collateral but has springing liens to provide security against a significant number of Power REIT CEA portfolio properties in the event of default. The Debt Facility has a 12 month draw period and then converts to a term loan that is fully amortizing over five years. The interest rate on the Debt Facility is 5.52 % and throughout the term of the loan, a debt service coverage ratio of equal to or greater than 2.0 to 1.0 must be maintained. Debt issuance expenses of $ 275,000 were capitalized at the origination of the loan and amortization of $ 997 has been recognized during the year ended December 31, 2021. As of December 31, 2021, no funds have been drawn against this Debt Facility. On March 22, 2022, $ 2,500,000 was drawn on the Debt Facility. The amount of principal payments remaining on Power REIT’s long-term debt as of December 31, 2021 is as follows: SCHEDULE OF LONG-TERM DEBT Total Debt 2022 675,370 2023 1,168,827 2024 715,777 2025 755,634 2026 797,628 Thereafter 19,661,847 Long term debt $ 23,775,083 |
EQUITY AND LONG-TERM COMPENSATI
EQUITY AND LONG-TERM COMPENSATION | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
EQUITY AND LONG-TERM COMPENSATION | 7 – EQUITY AND LONG-TERM COMPENSATION Increase in Authorized Preferred Stock On January 7, 2021, the Trust filed Articles Supplementary with the State of Maryland to classify an additional 1,500,000 0.001 1,675,000 192,308 5,000,008 2,205 Stock Issued for Cash During the twelve months ended December 31, 2021, the Trust raised gross proceeds of approximately $ 36.7 million and issued an additional 1,383,394 common shares through a rights offering that closed on February 5, 2021. Offering expenses of $ 165,075 were incurred in connection with the offering and recorded as contra-equity netting against the proceeds of offering. Hudson Bay Partner, LP (“HBP”) which is 100 % owned by David Lesser, is the Managing Member of PW RO Holdings LLC (“ROH”) which participated in the rights offering and acquired 132,074 common shares . On December 31, 2021, ROH distributed 116,617 common shares to investors in ROH and currently owns 15,458 common shares. HBP is the Managing Member of PW RO Holdings 2 LLC (“ROH2”) which participated in the rights offering and acquired common 155,000 shares. On October 8, 2021, ROH2 distributed 136,344 common shares to an investor in ROH2 and currently owns 18,656 common shares. HBP is the Managing Member of PW RO Holdings 3 LLC (“ROH3”) which participated in the rights offering and acquired 123,020 common shares. On December 17, 2021, ROH3 distributed 108,610 common shares to an investor in ROH3 and currently owns 14,410 common shares. HBP became Co-Managing Member of 13310 LMR2A (“13310”) which participated in the rights offering and acquired 68,679 common shares. Summary of Stock Based Compensation Activity Power REIT’s 2020 Equity Incentive Plan, which superseded the 2012 Equity Incentive Plan, was adopted by the Board on May 27, 2020 and approved by shareholders on June 24, 2020. It provides for the grant of the following awards: (i) Incentive Stock Options; (ii) Nonstatutory Stock Options; (iii) SARs; (iv) Restricted Stock Awards; (v) RSU Awards; (vi) Performance Awards; and (vii) Other Awards. The Plan’s purpose is to secure and retain the services of Employees, Directors and Consultants, to provide incentives for such persons to exert maximum efforts for the success of the Trust and to provide a means by which such persons may be given an opportunity to benefit from increases in value of the common Stock through the granting of awards. As of December 31, 2021, the aggregate number of shares of Common Stock that may be issued pursuant to outstanding awards is currently 213,017 The summary of Plan activity for the year ended December 31, 2021, with respect to the Trust’s stock options, was as follows: SCHEDULE OF SHARE BASED COMPENSATION STOCK OPTIONS ACTIVITY Weighted Number of Average Aggregate Options Exercise Price Intrinsic Value Balance as of December 31, 2020 106,000 7.96 - Plan Awards - - - Options Exercised (106,000 ) 7.96 - Balance as of December 31, 2021 - - - Options vested at December 31, 2021 - - - On December 31, 2021, 45,128 Power REIT shares were issued as a result of a net exercise transaction connected to the 106,000 options (strike price of $ 7.96 ) that were granted to an Executive Officer and three Trustees in 2012. The difference of 60,872 3,265,723 67.51 . As of December 31, 2021, there are no options outstanding related to Power REIT’s Equity Incentive Plans. The summary of Plan activity for the year ended December 31, 2020, with respect to the Trust’s stock options, was as follows: Summary of Activity - Options Weighted Number of Average Aggregate Options Exercise Price Intrinsic Value Balance as of December 31, 2019 106,000 7.96 - Plan Awards - - - Options Exercised - - - Balance as of December 31, 2020 106,000 7.96 1,985,380 Options vested at December 31, 2020 106,000 7.96 1,985,380 As of December 31, 2020, the weighted average remaining term of the options was 1.61 Summary of Stock Based Compensation Activity – Restricted Stock The summary of stock-based compensation activity for the year ended December 31, 2021, with respect to the Trust’s restricted stock, was as follows: SCHEDULE OF SHARE BASED COMPENSATION RESTRICTED STOCK UNITS AWARD ACTIVITY Summary of Activity - Restricted Stock Number of Weighted Shares of Average Restricted Grant Date Stock Fair Value Balance as of December 31, 2020 35,066 8.76 Plan Awards 22,900 37.18 Restricted Stock Vested (26,706 ) 14.32 Balance as of December 31, 2021 31,260 24.83 The summary of Stock Based Compensation activity for the year ended December 31, 2020, with respect to the Trust’s restricted stock, was as follows: Summary of Plan Activity - Restricted Stock Number of Weighted Shares of Average Restricted Grant Date Stock Fair Value Balance as of December 31, 2019 24,033 6.14 Plan Awards 43,200 9.61 Restricted Stock Vested (32,167 ) 7.95 Balance as of December 31, 2020 35,066 8.76 Stock-based Compensation During 2021, the Trust recorded approximately $ 382,000 256,000 776,000 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 8 - INCOME TAXES The Trust is organized as a Maryland-domiciled real estate investment trust and has elected to be treated under the Internal Revenue Code as a real estate investment trust. As such, the Trust does not pay Federal taxes on taxable income and capital gains to the extent that they are distributed to shareholders. In order to maintain qualified status, at least 90 % of annual ordinary taxable income must be distributed; it is the intention of the trustees to continue to make sufficient distributions to maintain qualified status. As of December 31, 2020, the last tax return completed to date, the Trust has a net operating loss of $ 22.7 Under the Railroad Lease, NSC reimburses P&WV, in the form of additional cash rent, for all taxes and governmental charges imposed upon the assets leased by NSC from P&WV, except for taxes relating to cash rent payments made by the lessee. Due to the treatment of the Railroad Lease as a direct financing lease for financial reporting purposes, the tax basis of the leased property is higher than the basis of the leased property as reported in these consolidated financial statements. The Trust has implemented the accounting guidance for uncertainty in income taxes using the provisions of FASB ASC 740, Income Taxes The Trust and its wholly-owned subsidiary P&WV are generally no longer subject to examination by income taxing authorities for years ended prior to December 31, 2015. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | 9 - RELATED PARTY TRANSACTIONS A wholly-owned subsidiary of Hudson Bay Partners, LP (“HBP”), an entity associated with our CEO and Chairman of the Trust, David Lesser, provides the Trust and its subsidiaries with office space at no cost. Effective September 2016, the Board of Trustees approved reimbursing an affiliate of HBP $ 1,000 4,000 15,000 60,000 25,500 Power REIT has entered into a synergistic relationship with Millennium Sustainable Ventures Corp., formerly Millennium Investment and Acquisition Company Inc. (“MILC’). David H Lesser, Power REIT’s Chairman and CEO, is also Chairman and CEO of MILC. MILC, through subsidiaries, established cannabis cultivation projects in Colorado, Oklahoma, and Michigan and are the tenants associated with the May 21, 2021, June 11, 2021, and September 3, 2021 acquisitions as mentioned in Note 4. Power REIT has entered into lease transactions with the related tenants in which MILC has controlling interests. Total rental income recognized for the twelve months ended December 31, 2021 from the affiliated tenants in Colorado, Oklahoma and Michigan was $ 444,614 , $ 277,512 and $ 0 respectively. During the year ended December 31, 2021, the Trust paid Mr. Jared Schrader a total of $ 86,191 Under the Trust’s Declaration of Trust, the Trust may enter into transactions in which trustees, officers or employees have a financial interest, provided however, that in the case of a material financial interest, the transaction is disclosed to the Board of Trustees or the transaction shall be fair and reasonable. After consideration of the terms and conditions of the retention of Morrison Cohen described herein, and the reimbursement to HBP described herein, the independent trustees approved such arrangements having determined such arrangement are fair and reasonable and in the interest of the Trust. |
CONTINGENCY
CONTINGENCY | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCY | 10 - CONTINGENCY The Trust’s wholly-owned subsidiary, P&WV, is subject to various restrictions imposed by the Railroad Lease with NSC, including restrictions on share and debt issuance, including guarantees. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 11 - SUBSEQUENT EVENTS On January 1, 2022, the Walsenburg Lease was amended (“Walsenburg Lease Amendment”) to provide funding in the amount of $ 625,000 for the addition of processing space and equipment that will be housed on the Tam 7 Property pursuant to a sublease. The term of the Walsenburg Lease Amendment is ten years with no renewal options and is structured to provide an annual straight-line rent of approximately $ 120,000 Effective January 1, 2022, PW Grail entered into a new triple-net lease (the “Sandlot Lease”) with a new tenant, The Sandlot, LLC (“SL tenant”). The term of the Sandlot Lease is 20 years and provides four options to extend for additional five 71,000 2,432,000 462,000 . On January 15, 2022, PW Cloud Nine filed for the eviction of Cloud Nine for failure to pay rent when due. On February 11, 2022 the court granted a Writ of Restitution for the eviction of Cloud Nine. Cloud Nine has appealed the eviction ruling. The appeal is still pending as of the date of this filing. On January 28, 2022, the Registrant declared a quarterly dividend of $ 0.484375 per share on Power REIT’s 7.75 % Series A Cumulative Redeemable Perpetual Preferred Stock payable on March 15, 2022 to shareholders of record on February 15, 2022. On March 1, 2022, the Sweet Dirt Lease was amended (the “Sweet Dirt Lease Second Amendment”) to provide funding in the amount of $ 3,508,000 654,000 2,205,000 On March 16, 2022, the Board of Trustees of Power REIT, acting pursuant to its bylaws, appointed Dionisio D’Aguilar to the Board of Trustees effective immediately. On March 22, 2022, the Board of Trustees of Power REIT received by email a resignation letter from Paula Poskon, a member of the Board of Trustees, pursuant to which Ms. Poskon resigned as a member of the Board of Trustees effective immediately. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). |
Share Based Compensation Accounting Policy | Share Based Compensation Accounting Policy The Trust records all equity-based incentive grants to Officers and non-employee members of the Trust’s Board of Directors in general and administrative expenses in the Trust’s Consolidated Statement of Operations based on their fair value determined on the date of grant. Stock-based compensation expense is recognized on a straight-line basis over the vesting term of the outstanding equity awards. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. |
Impact of New Accounting Standards | Impact of New Accounting Standards The Company has evaluated all recent accounting pronouncements and believes either they are not applicable or that none of them will have a significant effect on the Company’s financial statements. |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include Power REIT and its wholly-owned subsidiaries. All intercompany balances have been eliminated in consolidation. |
Income per Common Share | Income per Common Share Basic net income per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding. Diluted net income per common share is computed similar to basic net income per common share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. The dilutive effect of the Trust’s options is computed using the treasury stock method. The following table sets forth the computation of basic and diluted Income per Share: SCHEDULE OF INCOME PER COMMON SHARE 2021 2020 Year Ended December 31, 2021 2020 Numerator: Net Income $ 5,144,490 $ 2,171,874 Preferred Stock Dividends (652,834 ) (280,230 ) Numerator for basic and diluted EPS - income available to common Shareholders $ 4,491,656 $ 1,891,644 Denominator: Denominator for basic EPS - Weighted average shares 3,178,215 1,910,898 Dilutive effect of options 86,590 62,485 Denominator for diluted EPS - Adjusted weighted average shares 3,264,805 1,973,383 Basic income per common share $ 1.41 $ 0.99 Diluted income per common share $ 1.38 $ 0.96 |
Cash and Cash Equivalents | Cash and Cash Equivalents The Trust considers all highly liquid investments with original maturity of three months or less to be cash equivalents. Power REIT places its cash and cash equivalents with high-credit quality financial institution; however, amounts are not insured or guaranteed by the FDIC. |
Real Estate Assets and Depreciation of Investment in Real Estate | Real Estate Assets and Depreciation of Investment in Real Estate The Trust expects that most of its transactions will be accounted for as asset acquisitions. In an asset acquisition, the Trust is required to capitalize closing costs and allocates the purchase price on a relative fair value basis. For the years ended December 31, 2021 and 2020, all acquisitions were considered asset acquisitions. In making estimates of relative fair values for purposes of allocating purchase price, the Trust utilizes a number of sources, including independent appraisals that may be obtained in connection with the acquisition or financing of the respective property, our own analysis of recently acquired and existing comparable properties in our portfolio and other market data. The Trust also considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the relative fair value of the tangible acquired. The Trust allocates the purchase price of acquired real estate to various components as follows: ● Land – Based on actual purchase if acquired as raw land. When property is acquired with improvements, the land price is established based on market comparables and market research to establish a value with the balance allocated to improvements for the land. ● Improvements – When a property is acquired with improvements, the land price is established based on market comparables and market research to establish a value with the balance allocated to improvements for the land. We also evaluate the improvements in terms of replacement cost and condition to confirm that the valuation assigned to improvements is reasonable. Depreciation is calculated on a straight-line method over the useful life of the improvements. ● Lease Intangibles – The trust recognized lease intangibles when there’s existing lease assumed with the property acquisitions. In determining the fair value of in-place leases (the avoided cost associated with existing in-place leases) management considers current market conditions and costs to execute similar leases in arriving at an estimate of the carrying costs during the expected lease-up period from vacant to existing occupancy. In estimating carrying costs, management includes reimbursable (based on market lease terms) real estate taxes, insurance, other operating expenses, as well as estimates of lost market rental revenue during the expected lease-up periods. The values assigned to in-place leases are amortized over the remaining term of the lease. The fair value of above-or-below market leases is estimated based on the present value (using an interest rate which reflected the risks associated with the leases acquired) of the difference between contractual amounts to be received pursuant to the leases and management’s estimate of market lease rates measured over a period equal to the estimated remaining term of the lease. An above market lease is classified as an intangible asset and a below market lease is classified as an intangible liability. The capitalized above-market or below-market lease intangibles are amortized as a reduction of, or an addition to, rental income over the estimated remaining term of the respective leases. Intangible assets related to leasing costs consist of leasing commissions and legal fees. Leasing commissions are estimated by multiplying the remaining contract rent associated with each lease by a market leasing commission. Legal fees represent legal costs associated with writing, reviewing, and sometimes negotiating various lease terms. Leasing costs are amortized over the remaining useful life of the respective leases. ● Construction in Progress (CIP) - The Trust classifies greenhouses or buildings under development and/or expansion as construction-in-progress until construction has been completed and certificates of occupancy permits have been obtained upon which the asset is then classified as an Improvement. The value of CIP is based on actual costs incurred. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets At least quarterly, the Trust evaluates its long-lived assets, including its investment in real estate, for indicators of impairment. The judgments regarding the existence of impairment indicators are based on factors such as operational performance, market conditions, legal, regulatory and environmental concerns, the Trust’s intent and ability to hold the related asset, as well as any significant cost overruns on development properties. Future events could occur which would cause the Trust to conclude that impairment indicators exist and an impairment loss is warranted. If an impairment indicator exists, the Trust performs the following: ● For long-lived operating assets to be held and used, the Trust compares the expected future undiscounted cash flows for the long-lived asset against the carrying amount of that asset. If the sum of the estimated undiscounted cash flows is less than the carrying amount of the asset, the Trust would make an estimate of the fair value for the particular asset. |
Depreciation | Depreciation Depreciation is computed using the straight-line method over the estimated useful lives of 20 39 37 depreciation expense for the year ended December 31, 2021 related to depreciation on properties that it acquired and the placement into service of tenant improvements at our properties. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 867,000 and $ 142,000 depreciation expense was recorded, respectively. |
Covid – 19 Impact | Covid – 19 Impact We are monitoring Covid-19 closely. Our operations have been affected by the COVID-19 outbreak due to manufacturing and supply chain disruptions for materials which also may be experiencing delays related to transportation of such materials which is impacting construction timeframes. The ultimate severity of the outbreak and its impact on the economic environment is uncertain at this time. |
Revenue Recognition | Revenue Recognition The Railroad Lease is treated as a direct financing lease. As such, income to P&WV under the Railroad Lease is recognized when received. Lease revenue from solar land and CEA properties are accounted for as operating leases. Any such leases with rent escalation provisions are recorded on a straight-line basis when the amount of escalation in lease payments is known at the time Power REIT enters into the lease agreement, or known at the time Power REIT assumes an existing lease agreement as part of an acquisition (e.g., an annual fixed percentage escalation) over the initial lease term, subject to a collectability assessment, with the difference between the contractual rent receipts and the straight-line amounts recorded as “deferred rent receivable” or “deferred rent liability”. Expenses for which tenants are contractually obligated to pay, such as maintenance, property taxes and insurance expenses are not reflected in our consolidated financial statements. Lease revenue from land that is subject to an operating lease without rent escalation provisions is recorded on a straight-line basis. |
Intangibles | Intangibles A portion of the acquisition price of the assets acquired by PW Tulare Solar, LLC (“PWTS”) have been allocated on the Trust’s consolidated balance sheets between Land and Intangibles’ fair values at the date of acquisition. The total amount of in-place lease intangible assets established was approximately $ 237,000 , which will be amortized over a 24.6 -year period. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 10,000 of the intangibles was amortized. A portion of the acquisition price of the assets acquired by PW Regulus Solar, LLC (“PWRS”) have been allocated on The Trust’s consolidated balance sheets between Land and Intangibles’ fair values at the date of acquisition. The total amount of in-place lease intangible assets established was approximately $ 4,714,000 , which is amortized over a 20.7 -year period. For each of the twelve months ended December 31, 2021 and 2020, approximately $ 227,000 of the intangibles was amortized. A portion of the acquisition price of the assets acquired by PW CA Canndescent, LLC (“PW Canndescent”) have been allocated on The Trust’s consolidated balance sheets between Land, Improvements and Intangibles’ fair values at the date of acquisition. The amount of in-place lease intangible assets established was approximately $ 808,000 , which is amortized over a 4.5 -year period. For the twelve months ended December 31, 2021 and 2020, approximately $ 163,000 and $ 0 of amortization expense was recognized. A below-market lease intangible liability was recorded upon acquisition in the amount of approximately $ 179,000 and is amortized over a 4.5 -year period. Addition to revenue for the amortization of the liability in the amount of approximately $ 36,000 and $ 0 was recognized for the years ended December 31, 2021 and 2020, respectively. Intangible assets are evaluated whenever events or circumstances indicate the carrying value of these assets may not be recoverable. There were no The following table provides a summary of the Intangible Assets and Liabilities: SCHEDULE OF INTANGIBLE ASSETS December 31, 2021 December 31, 2020 Accumulated Cost Amortization / Revenue Net Book Cost Accumulated Amortization Net Book Asset Intangibles - PWTS $ 237,471 $ 81,695 $ 155,776 $ 237,471 $ 72,043 $ 165,428 Asset Intangibles - PWRS 4,713,548 1,754,151 2,959,397 4,713,548 1,526,663 3,186,885 Asset Intangibles - Canndescent 807,976 162,593 645,383 - - - Total – Asset Intangibles $ 5,758,995 $ 1,998,439 $ 3,760,556 $ 4,951,019 $ 1,598,706 $ 3,352,313 Liability Intangibles - Canndescent (178,651 ) (35,951 ) (142,700 ) - - - Total $ 5,580,344 $ 1,962,488 $ 3,617,856 $ 4,951,019 $ 1,598,706 $ 3,352,313 The following table provides a summary of the current estimate of future amortization of Intangible Assets: SCHEDULE OF FUTURE AMORTIZATION OF INTANGIBLE ASSETS 2022 $ 416,690 2023 416,690 2024 416,690 2025 343,874 2026 237,141 Thereafter 1,929,471 Total $ 3,760,556 The following table provides a summary of the current estimate of future addition to revenue for Intangible Liabilities: SCHEDULE OF FUTURE ADDITION TO REVENUE FOR INTANGIBLE LIABILITIES 2022 $ 39,700 2023 39,700 2024 39,700 2025 23,600 Total $ 142,700 |
Net Investment in Direct Financing Lease – Railroad | Net Investment in Direct Financing Lease – Railroad P&WV’s net investment in its leased railroad property, recognizing the lessee’s perpetual renewal options, was estimated to have a current value of $ 9,150,000 10 |
Fair Value | Fair Value Fair value represents the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Trust measures its financial assets and liabilities in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. ○ Level 1 – valuations for assets and liabilities traded in active exchange markets, or interest in open-end mutual funds that allow a company to sell its ownership interest back at net asset value on a daily basis. Valuations are obtained from readily available pricing sources for market transactions involving identical assets, liabilities or funds. ○ Level 2 – valuations for assets and liabilities traded in less active dealer, or broker markets, such as quoted prices for similar assets or liabilities or quoted prices in markets that are not active. Level 2 includes U.S. Treasury, U.S. government and agency debt securities, and certain corporate obligations. Valuations are usually obtained from third party pricing services for identical or comparable assets or liabilities. ○ Level 3 – valuations for assets and liabilities that are derived from other valuation methodologies, such as option pricing models, discounted cash flow models and similar techniques, and not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets or liabilities. In determining fair value, the Trust utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considering counterparty credit risk. The carrying amounts of Power REIT’s financial instruments, including cash and cash equivalents, prepaid expenses, and accounts payable approximate fair value because of their relatively short-term maturities. The carrying value of long-term debt approximates fair value since the related rates of interest approximate current market rates. There are no financial assets and liabilities carried at fair value on a recurring basis as of December 31, 2021 and 2020. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
SCHEDULE OF INCOME PER COMMON SHARE | The following table sets forth the computation of basic and diluted Income per Share: SCHEDULE OF INCOME PER COMMON SHARE 2021 2020 Year Ended December 31, 2021 2020 Numerator: Net Income $ 5,144,490 $ 2,171,874 Preferred Stock Dividends (652,834 ) (280,230 ) Numerator for basic and diluted EPS - income available to common Shareholders $ 4,491,656 $ 1,891,644 Denominator: Denominator for basic EPS - Weighted average shares 3,178,215 1,910,898 Dilutive effect of options 86,590 62,485 Denominator for diluted EPS - Adjusted weighted average shares 3,264,805 1,973,383 Basic income per common share $ 1.41 $ 0.99 Diluted income per common share $ 1.38 $ 0.96 |
SCHEDULE OF INTANGIBLE ASSETS | The following table provides a summary of the Intangible Assets and Liabilities: SCHEDULE OF INTANGIBLE ASSETS December 31, 2021 December 31, 2020 Accumulated Cost Amortization / Revenue Net Book Cost Accumulated Amortization Net Book Asset Intangibles - PWTS $ 237,471 $ 81,695 $ 155,776 $ 237,471 $ 72,043 $ 165,428 Asset Intangibles - PWRS 4,713,548 1,754,151 2,959,397 4,713,548 1,526,663 3,186,885 Asset Intangibles - Canndescent 807,976 162,593 645,383 - - - Total – Asset Intangibles $ 5,758,995 $ 1,998,439 $ 3,760,556 $ 4,951,019 $ 1,598,706 $ 3,352,313 Liability Intangibles - Canndescent (178,651 ) (35,951 ) (142,700 ) - - - Total $ 5,580,344 $ 1,962,488 $ 3,617,856 $ 4,951,019 $ 1,598,706 $ 3,352,313 |
SCHEDULE OF FUTURE AMORTIZATION OF INTANGIBLE ASSETS | The following table provides a summary of the current estimate of future amortization of Intangible Assets: SCHEDULE OF FUTURE AMORTIZATION OF INTANGIBLE ASSETS 2022 $ 416,690 2023 416,690 2024 416,690 2025 343,874 2026 237,141 Thereafter 1,929,471 Total $ 3,760,556 |
SCHEDULE OF FUTURE ADDITION TO REVENUE FOR INTANGIBLE LIABILITIES | The following table provides a summary of the current estimate of future addition to revenue for Intangible Liabilities: SCHEDULE OF FUTURE ADDITION TO REVENUE FOR INTANGIBLE LIABILITIES 2022 $ 39,700 2023 39,700 2024 39,700 2025 23,600 Total $ 142,700 |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
PW MI CanRE Marengo LLC [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarized the allocation of the purchase consideration for the PW Marengo Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 244,000 Construction in Progress 18,345,033 $ 18,589,033 |
Mav14 Property [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarized the allocation of the purchase consideration for Maverick 14 based on the fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 150,000 Assets subject to depreciation: Improvements (Greenhouses / Processing Facility) 710,085 Construction in Progress - Site Improvements - Net Lease Intangibles - Acquisition Costs Capitalized - Total Assets Acquired $ 860,085 |
PW ME CanRE SD, LLC [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarizes the allocation of the purchase considerations for Sweet Dirt based on the fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED 495 Property 505 Property Land $ 267,011 $ 312,385 Construction in Progress 1,723,496 103,112 Total Assets Acquired $ 1,990,507 $ 415,497 |
PW CA CanRE Cann Descent LLC [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarized the allocation of the purchase consideration for the Canndescent Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 181,192 Assets Subject to Depreciation / Amortization Improvements (Greenhouses / Processing Facilities) 6,887,868 Site Improvements 86,402 Lease Intangible Assets 807,976 Lease Intangible Liability (178,651 ) Total Assets Acquired $ 7,784,787 |
PW CO CanRE Walsenburg LLC [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarizes the allocation of the purchase consideration for the Walsenburg Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 525,000 Improvements (Greenhouses / Processing Facilities) 1,822,636 Total Assets Acquired $ 2,347,636 |
PW Vinita [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The following table summarizes the allocation of the purchase consideration for the Vinita Property based on the relative fair values of the assets acquired: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED Land $ 50,000 Improvements (Greenhouses / Processing Facilities) 2,094,328 Total Assets Acquired $ 2,144,328 |
DIRECT FINANCING LEASES AND O_2
DIRECT FINANCING LEASES AND OPERATING LEASES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Direct Financing Leases And Operating Leases | |
SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES | Below is a chart of operating leases for Power REIT as of December 31, 2021: SCHEDULE OF OPERATING LEASES INCOME Property Type/Name Lease Start Term (yrs) Renewal Options Triple Net Lease Annual Straight-Line Rent ($) Rent Recorded 2021 ($) Rent Recorded 2020 ($) Solar Farm Lease PWSS Dec-11 22 2 x 5-years Y 89,494 89,494 89,494 PWTS Mar-13 25 2 x 5-years Y 32,500 32,500 32,500 PWTS Mar-13 25 2 x 5-years Y 37,500 37,500 37,500 PWTS Mar-13 25 2 x 5-years Y 16,800 16,800 16,800 PWTS Mar-13 25 2 x 5-years Y 29,900 29,900 29,900 PWTS Mar-13 25 2 x 5-years Y 40,800 40,800 40,800 PWRS Apr-14 20 2 x 5-years Y 803,117 803,117 803,117 CEA Property Lease PW JAB Jul-19 20 2 x 5-years Y 201,810 201,810 201,810 PW JAB Jul-19 20 2 x 5-years Y 294,046 294,046 294,046 PW Mav 14 Feb-20 20 2 x 5-years Y 354,461 354,461 324,922 PW Sherman 6 Feb-20 20 2 x 5-years Y 375,159 375,159 327,278 PW Mav 5 Nov-21 20 2 x 5-years Y 262,718 340,734 187,272 (1) PW SD (495 and 505) May-20 20 2 x 5-years Y 1,292,904 1,292,904 682,677 PW Tam 7 Sep-20 20 2 x 5-years Y 261,963 261,963 74,950 PW MF Oct-20 20 2 x 20-years Y - 113,504 121,079 (2) PW Tam 19 Dec-20 20 2 x 5-years Y 252,061 252,061 19,179 PW Grail (4 and 5) Jan-21 /Jan-22 20 2 x 5-years Y 461,684 245,136 - (3) PW Apotheke Jan-21 20 2 x 5-years Y 341,953 325,407 - PW Canndescent Feb-21 5 - Y 1,113,018 1,019,826 - PW Gas Station Mar-21 20 2 x 5-years Y 399,748 311,631 - PW Cloud Nine Apr-21 20 2 x 5-years Y 552,588 83,275 - (4) PW Walsenburg May-21 20 2 x 5-years Y 729,007 444,614 - PW Vinita Jun-21 20 2 x 5-years Y 502,561 277,512 - PW JKL Jun-21 20 2 x 5-years Y 546,392 291,209 - PW Marengo Sep-21 20 2 x 5-years Y 5,119,343 - - (5) 14,111,527 7,535,363 3,283,324 (1) On November 5, 2021, the original lease was terminated and a new lease was entered into with current tenant. The terms listed under Annual Straight-Line Rent is for the new lease. The Rent Recorded for 2021 includes rent under both, the old and new lease. (2) On November 1, 2021, the lease was terminated and the tenant surrendered premises to PW. (3) On December 8, 2021, the lease was terminated and the tenant surrendered premises to PW. A new lease was entered into on January 1, 2022 for this property – see Subsequent Events. The straight-line rent disclosed is for the new lease. (4) Tenant has received a Writ of Restitution for eviction in January 2022, therefore, rent revenue is recognized on a cash basis. (5) Tenant is pursuing cannabis licensing and approvals which is taking longer than expected, and accordingly, we have determined not to straight-line rent in 2021 until we have better visibility into the timing of commencing operations. The following is a schedule by years of minimum future rentals on non-cancelable operating leases as of December 31, 2021: SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES 2022 $ 14,480,772 2023 $ 20,740,812 2024 $ 18,100,653 2025 $ 14,504,950 2026 $ 9,143,373 Thereafter $ 153,979,976 Total $ 230,950,536 |
SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES | The following is a schedule by years of minimum future rentals on non-cancelable operating leases as of December 31, 2021: SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES 2022 $ 14,480,772 2023 $ 20,740,812 2024 $ 18,100,653 2025 $ 14,504,950 2026 $ 9,143,373 Thereafter $ 153,979,976 Total $ 230,950,536 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
SCHEDULE OF LONG-TERM DEBT | The amount of principal payments remaining on Power REIT’s long-term debt as of December 31, 2021 is as follows: SCHEDULE OF LONG-TERM DEBT Total Debt 2022 675,370 2023 1,168,827 2024 715,777 2025 755,634 2026 797,628 Thereafter 19,661,847 Long term debt $ 23,775,083 |
EQUITY AND LONG-TERM COMPENSA_2
EQUITY AND LONG-TERM COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
SCHEDULE OF SHARE BASED COMPENSATION STOCK OPTIONS ACTIVITY | The summary of Plan activity for the year ended December 31, 2021, with respect to the Trust’s stock options, was as follows: SCHEDULE OF SHARE BASED COMPENSATION STOCK OPTIONS ACTIVITY Weighted Number of Average Aggregate Options Exercise Price Intrinsic Value Balance as of December 31, 2020 106,000 7.96 - Plan Awards - - - Options Exercised (106,000 ) 7.96 - Balance as of December 31, 2021 - - - Options vested at December 31, 2021 - - - Weighted Number of Average Aggregate Options Exercise Price Intrinsic Value Balance as of December 31, 2019 106,000 7.96 - Plan Awards - - - Options Exercised - - - Balance as of December 31, 2020 106,000 7.96 1,985,380 Options vested at December 31, 2020 106,000 7.96 1,985,380 |
SCHEDULE OF SHARE BASED COMPENSATION RESTRICTED STOCK UNITS AWARD ACTIVITY | The summary of stock-based compensation activity for the year ended December 31, 2021, with respect to the Trust’s restricted stock, was as follows: SCHEDULE OF SHARE BASED COMPENSATION RESTRICTED STOCK UNITS AWARD ACTIVITY Summary of Activity - Restricted Stock Number of Weighted Shares of Average Restricted Grant Date Stock Fair Value Balance as of December 31, 2020 35,066 8.76 Plan Awards 22,900 37.18 Restricted Stock Vested (26,706 ) 14.32 Balance as of December 31, 2021 31,260 24.83 The summary of Stock Based Compensation activity for the year ended December 31, 2020, with respect to the Trust’s restricted stock, was as follows: Summary of Plan Activity - Restricted Stock Number of Weighted Shares of Average Restricted Grant Date Stock Fair Value Balance as of December 31, 2019 24,033 6.14 Plan Awards 43,200 9.61 Restricted Stock Vested (32,167 ) 7.95 Balance as of December 31, 2020 35,066 8.76 |
GENERAL INFORMATION (Details Na
GENERAL INFORMATION (Details Narrative) - USD ($) | Dec. 21, 2021 | Feb. 03, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Mar. 22, 2022 | Jan. 28, 2022 |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Trust's assets, description | As of December 31, 2021, the Trust’s assets consisted of approximately 112 miles of railroad infrastructure and related real estate which is owned by its subsidiary Pittsburgh & West Virginia Railroad (“P&WV”), approximately 601 acres of fee simple land leased to a number of utility scale solar power generating projects with an aggregate generating capacity of approximately 108 Megawatts (“MW”) and approximately 172 acres of land with approximately 1,090,000 square feet of existing or under construction greenhouses leased to seventeen separate regulated cannabis operators | |||||
Proceeds from issuance of common stock | $ 36,494,866 | |||||
Price per share | $ 26.50 | |||||
Debt Instrument, Fee Amount | $ 20,000,000 | |||||
Debt Instrument, Term | 12 months | |||||
Debt Instrument, Interest Rate, Stated Percentage | 5.52% | |||||
Proceeds from Issuance of Debt | $ 275,000 | |||||
Amortization of Deferred Loan Origination Fees, Net | $ 997 | |||||
Minimum percentage of taxable income to be distributed to shareholders | 90.00% | |||||
Net operating loss | $ 22,700,000 | |||||
Subsequent Event [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Amount drawn from debt facility | $ 2,500,000 | |||||
Series A Preferred Stock [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Proceeds from issuance of common stock | $ 5,000,008 | |||||
Number of common shares issued | 192,308 | |||||
Series A Cumulative Redeemable Perpetual Preferred Stock [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Redeemable Preferred Stock Dividends | $ 653,000 | |||||
Dividends Payable, Amount Per Share | $ 0.484375 | |||||
[custom:PercentageOfRedeemblePerpetualPreferredStock-0] | 7.75% | |||||
Series A Cumulative Redeemable Perpetual Preferred Stock [Member] | Subsequent Event [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Dividends Payable, Amount Per Share | $ 0.484375 | |||||
Trust [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Proceeds from issuance of common stock | $ 36,700,000 | |||||
Number of common shares issued | 1,383,394 |
SCHEDULE OF INCOME PER COMMON S
SCHEDULE OF INCOME PER COMMON SHARE (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | ||
Net Income | $ 5,144,490 | $ 2,171,874 |
Preferred Stock Dividends | (652,834) | (280,230) |
Numerator for basic and diluted EPS - income available to common Shareholders | $ 4,491,656 | $ 1,891,644 |
Denominator for basic EPS - Weighted average shares | 3,178,215 | 1,910,898 |
Dilutive effect of options | $ 86,590 | $ 62,485 |
Denominator for diluted EPS - Adjusted weighted average shares | 3,264,805 | 1,973,383 |
Basic income per common share | $ 1.41 | $ 0.99 |
Diluted income per common share | $ 1.38 | $ 0.96 |
SCHEDULE OF INTANGIBLE ASSETS (
SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Total - Asset Intangibles, Cost | $ 5,758,995 | $ 4,951,019 |
Total - Asset Intangibles, Accumulated Amortization/ Revenue | 1,998,439 | 1,598,706 |
Total - Asset Intangibles, Net Book Value | 3,760,556 | 3,352,313 |
Liability Intangibles - Canndescent, Cost | (5,580,344) | (4,951,019) |
Total, Accumulated Amortization | 1,962,488 | 1,598,706 |
Liability Intangibles - Canndescent, Total | (3,617,856) | (3,352,313) |
Total, Cost | 5,580,344 | 4,951,019 |
Total | 3,617,856 | 3,352,313 |
PW Tulare Solar LLC [Member] | ||
Total - Asset Intangibles, Cost | 237,471 | 237,471 |
Total - Asset Intangibles, Accumulated Amortization/ Revenue | 81,695 | 72,043 |
Total - Asset Intangibles, Net Book Value | 155,776 | 165,428 |
PW Regulus Solar LLC [Member] | ||
Total - Asset Intangibles, Cost | 4,713,548 | 4,713,548 |
Total - Asset Intangibles, Accumulated Amortization/ Revenue | 1,754,151 | 1,526,663 |
Total - Asset Intangibles, Net Book Value | 2,959,397 | 3,186,885 |
PW CA Canndescent, LLC [Member] | ||
Total - Asset Intangibles, Cost | 807,976 | |
Total - Asset Intangibles, Accumulated Amortization/ Revenue | 162,593 | |
Total - Asset Intangibles, Net Book Value | 645,383 | |
Liability PW CA Canndescent LLC [Member] | ||
Liability Intangibles - Canndescent, Cost | (178,651) | |
Total, Accumulated Amortization | (35,951) | |
Liability Intangibles - Canndescent, Total | (142,700) | |
Total, Cost | 178,651 | |
Total | $ 142,700 |
SCHEDULE OF FUTURE AMORTIZATION
SCHEDULE OF FUTURE AMORTIZATION OF INTANGIBLE ASSETS (Details) | Dec. 31, 2021USD ($) |
Accounting Policies [Abstract] | |
2022 | $ 416,690 |
2023 | 416,690 |
2024 | 416,690 |
2025 | 343,874 |
2026 | 237,141 |
Thereafter | 1,929,471 |
Total | $ 3,760,556 |
SCHEDULE OF FUTURE ADDITION TO
SCHEDULE OF FUTURE ADDITION TO REVENUE FOR INTANGIBLE LIABILITIES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Accounting Policies [Abstract] | ||
2022 | $ 39,700 | |
2023 | 39,700 | |
2024 | 39,700 | |
2025 | 23,600 | |
Total | $ 142,700 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Estimated useful life | 37 years | |
Depreciation | $ 867,031 | $ 141,720 |
Amortization of Intangible Assets | 399,733 | 237,140 |
Intangible Assets, Net (Excluding Goodwill) | 3,760,556 | 3,352,313 |
Impairment of intangible assets | 0 | 0 |
Net investment in capital lease - railroad | 9,150,000 | 9,150,000 |
PW Tulare Solar LLC [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Other Finite-Lived Intangible Assets, Gross | $ 237,000 | |
Finite-Lived Intangible Assets, Remaining Amortization Period | 24 years 7 months 6 days | |
Amortization of Intangible Assets | 10,000 | |
PW Regulus Solar LLC [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Other Finite-Lived Intangible Assets, Gross | $ 4,714,000 | |
Finite-Lived Intangible Assets, Remaining Amortization Period | 20 years 8 months 12 days | |
Amortization of Intangible Assets | 227,000 | |
PW CA Canndescent, LLC [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Other Finite-Lived Intangible Assets, Gross | $ 808,000 | |
Finite-Lived Intangible Assets, Remaining Amortization Period | 4 years 6 months | |
Amortization of Intangible Assets | $ 163,000 | 0 |
Intangible Assets, Net (Excluding Goodwill) | 179,000 | |
[custom:AmortizationOfIntangibleLiabilityRecognized] | 36,000 | $ 0 |
Pittsburgh West Virginia Railroad [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Net investment in capital lease - railroad | $ 9,150,000 | |
Percentage of implicit interest rate | 10.00% | |
Greenhouse [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 20 | |
Auxiliary buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 39 | |
Estimated useful life | 37 years |
CONCENTRATIONS (Details Narrati
CONCENTRATIONS (Details Narrative) - Revenue Benchmark [Member] - Customer Concentration Risk [Member] | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Concentration Risk [Line Items] | ||
Concentration risk threshold percentage | 48.00% | 68.00% |
Sweet Dirt [Member] | Customer One [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 15.00% | |
Sweet Dirt [Member] | Customer Three [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 16.00% | |
Canndescent [Member] | Customer Two [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 12.00% | |
Norfolk Southern [Member] | Customer Three [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 11.00% | |
Regulus Solar LLC [Member] | Customer Four [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 10.00% | |
Regulus Solar LLC [Member] | Customert Two [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 19.00% | |
Norfolk Southern Railway [Member] | Customer One [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 21.00% | |
JAB [Member] | Customer Four [Member] | ||
Concentration Risk [Line Items] | ||
Concentration of lease in revenue | 12.00% |
SCHEDULE OF FAIR VALUE OF ASSET
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED (Details) - USD ($) | Sep. 03, 2021 | Dec. 31, 2021 | Jun. 11, 2021 | May 21, 2021 | Feb. 03, 2021 |
Business Acquisition [Line Items] | |||||
Site Improvements | |||||
Net Lease Intangibles | |||||
Acquisition Costs, Period Cost | |||||
PW CA CanRE Cann Descent LLC [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | $ 181,192 | ||||
Improvements (Greenhouses / Processing Facilities) | 6,887,868 | ||||
Site Improvements | 86,402 | ||||
Net Lease Intangibles | 807,976 | ||||
Total Assets Acquired | 7,784,787 | ||||
Lease Intangible Liability | $ (178,651) | ||||
PW CO CanRE Walsenburg LLC [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | $ 525,000 | ||||
Improvements (Greenhouses / Processing Facilities) | 1,822,636 | ||||
Total Assets Acquired | $ 2,347,636 | ||||
PW CanREOK Vinita LLC [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | $ 50,000 | ||||
Improvements (Greenhouses / Processing Facilities) | 2,094,328 | ||||
Total Assets Acquired | $ 2,144,328 | ||||
PW MI CanRE Marengo LLC [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | $ 244,000 | ||||
Construction in progress | 18,345,033 | ||||
Acquisition Costs, Period Cost | $ 18,589,033 | ||||
Mav14 Property [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | 150,000 | ||||
Improvements (Greenhouses / Processing Facilities) | 710,085 | ||||
Construction in progress | |||||
Total Assets Acquired | 860,085 | ||||
PW ME CanRE SD, LLC [Member] | Property 495 [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | 267,011 | ||||
Construction in progress | 1,723,496 | ||||
Total Assets Acquired | 1,990,507 | ||||
PW ME CanRE SD, LLC [Member] | Property 505 [Member] | |||||
Business Acquisition [Line Items] | |||||
Land | 312,385 | ||||
Construction in progress | 103,112 | ||||
Total Assets Acquired | $ 415,497 |
ACQUISITIONS (Details Narrative
ACQUISITIONS (Details Narrative) | Sep. 03, 2021USD ($)ft² | Jun. 18, 2021USD ($)aft² | Jun. 11, 2021USD ($)aft² | May 21, 2021USD ($)aft² | Apr. 20, 2021USD ($)aft² | Mar. 12, 2021USD ($)aft² | Feb. 23, 2021USD ($)ft² | Feb. 03, 2021USD ($)ashares | Jan. 14, 2021USD ($)aft² | Jan. 04, 2021USD ($)aft² | Dec. 04, 2020USD ($)aft² | Oct. 02, 2020USD ($)aft² | Sep. 18, 2020USD ($)aft² | Sep. 18, 2020USD ($)aft² | May 15, 2020USD ($)aft² | Mar. 19, 2020USD ($)aft² | Feb. 20, 2020USD ($)aft² | Jan. 31, 2020USD ($)aft² | Dec. 31, 2021USD ($) | Aug. 25, 2020USD ($)ft² | May 01, 2020USD ($)ft² |
Business Acquisition [Line Items] | |||||||||||||||||||||
Property, Plant and Equipment, Useful Life | 37 years | ||||||||||||||||||||
Series A Preferred Stock [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Issuance of shares | shares | 192,308 | ||||||||||||||||||||
Auxiliary buildings [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Property, Plant and Equipment, Useful Life | 37 years | ||||||||||||||||||||
Auxiliary buildings [Member] | Maximum [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Property, Plant and Equipment, Useful Life | 39 years | ||||||||||||||||||||
PW Canndescent [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Acquisition amount | $ 2,685,000 | ||||||||||||||||||||
Purchase price | 7,685,000 | ||||||||||||||||||||
Acquisitions Expenses | $ 99,789 | ||||||||||||||||||||
PW Canndescent [Member] | Series A Preferred Stock [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Issuance of shares | shares | 192,308 | ||||||||||||||||||||
PW JKL [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Acquisition amount | $ 2,500,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Property, Plant and Equipment, Useful Life | 20 years | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 14 LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 5.54 | ||||||||||||||||||||
Acquisition amount | $ 850,000 | ||||||||||||||||||||
Business acquisition expenses | 10,085 | ||||||||||||||||||||
Capital commitment | $ 1,908,400 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 14 LLC [Member] | Medical Cannabis Cultivation [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 9,300 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 14 LLC [Member] | Greenhouse Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 15,120 | ||||||||||||||||||||
Purchase price | $ 1,058,400 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 14 LLC [Member] | Head-house/Processing Space on Property [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 2,520 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Sherman 6, LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 5 | ||||||||||||||||||||
Acquisition amount | $ 150,000 | ||||||||||||||||||||
Capital commitment | 1,995,101 | ||||||||||||||||||||
Acquisition expenses | $ 724 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Sherman 6, LLC [Member] | Greenhouse Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 15,120 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Sherman 6, LLC [Member] | Head-house/Processing Space on Property [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | 8,776 | 2,520 | |||||||||||||||||||
Business acquisition cost | $ 1,693,800 | ||||||||||||||||||||
Additional available funds in contruction | $ 151,301 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 5, LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 5.2 | ||||||||||||||||||||
Acquisition amount | $ 150,000 | ||||||||||||||||||||
Capital commitment | $ 1,358,664 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 5, LLC [Member] | Greenhouse Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 5,040 | 5,040 | |||||||||||||||||||
Additional available funds in contruction | $ 340,539 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Mav 5, LLC [Member] | Head-house/Processing Space on Property [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 4,920 | ||||||||||||||||||||
Business acquisition cost | $ 868,125 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 3.06 | ||||||||||||||||||||
Acquisition amount | $ 1,000,000 | ||||||||||||||||||||
Business acquisition expenses | 40,507 | ||||||||||||||||||||
Capital commitment | $ 1,960,000 | ||||||||||||||||||||
Acquisition expenses | $ 15,497 | ||||||||||||||||||||
Business acquisition cost | $ 4,920,000 | $ 659,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | 505 Property [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 3.58 | 3.58 | |||||||||||||||||||
Acquisition amount | $ 400,000 | ||||||||||||||||||||
Business acquisition cost | $ 1,560,000 | $ 1,560,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | Greenhouse Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 32,800 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | Processing Distribution Building [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 2,800 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | Construction of Processing Space [Memer] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 9,900 | 9,900 | |||||||||||||||||||
Greenhouse Properties [Member] | PW ME CanRE SD, LLC [Member] | Renovate Existing Building [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 2,738 | 2,738 | |||||||||||||||||||
Greenhouse Properties [Member] | Sweet Dirt [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Acquisition amount | $ 950,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | Sweet Dirt [Member] | Partially Built Greenhouse Additional Cost [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Business acquisition cost | $ 2,970,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Tam 7, LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 4.32 | 4.32 | |||||||||||||||||||
Acquisition amount | $ 150,000 | ||||||||||||||||||||
Capital commitment | 1,364,585 | ||||||||||||||||||||
Acquisition expenses | $ 223 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Tam 7, LLC [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 18,000 | 18,000 | |||||||||||||||||||
Business acquisition cost | $ 1,214,585 | $ 1,214,585 | |||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE MF,LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 4.46 | ||||||||||||||||||||
Acquisition amount | $ 150,000 | ||||||||||||||||||||
Capital commitment | 3,062,300 | ||||||||||||||||||||
Acquisition expenses | $ 513 | ||||||||||||||||||||
Business acquisition cost | 2,500,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE MF,LLC [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 33,744 | ||||||||||||||||||||
Business acquisition cost | $ 2,912,300 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Tam 19 [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 2.11 | ||||||||||||||||||||
Acquisition amount | $ 75,000 | ||||||||||||||||||||
Capital commitment | 1,311,116 | ||||||||||||||||||||
Acquisition expenses | $ 419 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Tam 19 [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 13,728 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW CO CanRE Tam 19 [Member] | Ancillary buildings [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 2,400 | ||||||||||||||||||||
Business acquisition cost | $ 1,236,116 | ||||||||||||||||||||
Greenhouse Properties [Member] | P W Grail [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 4.41 | ||||||||||||||||||||
Business acquisition cost | $ 150,000 | 1,600,000 | |||||||||||||||||||
Greenhouse Properties [Member] | P W Grail [Member] | Greenhouse Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 6,256 | ||||||||||||||||||||
Capital commitment | $ 2,400,000 | ||||||||||||||||||||
Business acquisition cost | $ 518,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | P W Grail [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 21,732 | ||||||||||||||||||||
Purchase price | $ 1,690,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Apotheke [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 4.31 | ||||||||||||||||||||
Business acquisition cost | $ 150,000 | 1,200,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW Apotheke [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 21,548 | ||||||||||||||||||||
Purchase price | $ 1,660,000 | ||||||||||||||||||||
Capital commitment | $ 1,810,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Gas Station [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 2.2 | ||||||||||||||||||||
Business acquisition cost | $ 85,000 | 1,200,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW Gas Station [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 24,512 | ||||||||||||||||||||
Acquisition amount | $ 2,030,000 | ||||||||||||||||||||
Capital commitment | $ 2,100,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Cloud Nine [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 4 | ||||||||||||||||||||
Business acquisition cost | $ 300,000 | 1,200,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW Cloud Nine [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 38,440 | ||||||||||||||||||||
Acquisition amount | $ 2,650,000 | ||||||||||||||||||||
Capital commitment | $ 2,950,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Walsenburg [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 35 | ||||||||||||||||||||
Business acquisition cost | $ 2,300,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Walsenburg [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 102,800 | ||||||||||||||||||||
Acquisition amount | $ 1,600,000 | ||||||||||||||||||||
Capital commitment | $ 3,900,000 | ||||||||||||||||||||
Business acquisition cost | 1,500,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Vinita [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 9.35 | ||||||||||||||||||||
Acquisition amount | $ 550,000 | ||||||||||||||||||||
Business acquisition cost | $ 2,100,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Vinita [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 40,000 | ||||||||||||||||||||
Capital commitment | $ 2,650,000 | ||||||||||||||||||||
Business acquisition cost | 321,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Vinita [Member] | Office Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 3,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW Vinita [Member] | Fully Fenced Outdoor Growing Space [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 100,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW JKL [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 10 | ||||||||||||||||||||
Capital commitment | $ 2,900,000 | ||||||||||||||||||||
Business acquisition cost | $ 400,000 | 1,100,000 | |||||||||||||||||||
Greenhouse Properties [Member] | PW JKL [Member] | Greenhouse And Processing Facility [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 12,000 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW JKL [Member] | Support Buldings [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 12,880 | ||||||||||||||||||||
Greenhouse Properties [Member] | PW MI CanRE Marengo LLC [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | ft² | 556,146 | ||||||||||||||||||||
Acquisition amount | $ 2,980,000 | ||||||||||||||||||||
Capital commitment | 25,600,000 | ||||||||||||||||||||
Business acquisition cost | 18,392,000 | $ 2,000,000 | |||||||||||||||||||
Additional available funds in contruction | $ 4,100,000 | ||||||||||||||||||||
Greenhouse And Processing Facility [Member] | PW Canndescent [Member] | |||||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||||
Area of land | a | 37,000 |
SCHEDULE OF MINIMUM FUTURE RENT
SCHEDULE OF MINIMUM FUTURE RENTALS ON NON-CANCELABLE OPERATING LEASES (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | ||
Straight line rent | $ 14,111,527 | ||
Rent recorded | 7,535,363 | $ 3,283,324 | |
2022 | 14,480,772 | ||
2023 | 20,740,812 | ||
2024 | 18,100,653 | ||
2025 | 14,504,950 | ||
2026 | 9,143,373 | ||
Thereafter | 153,979,976 | ||
Total | $ 230,950,536 | ||
PWSS by Dec-11 [Member] | |||
Lessor, Operating Lease, Term of Contract | 22 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 89,494 | ||
Rent recorded | $ 89,494 | 89,494 | |
PWTS by Mar-13 [Member] | |||
Lessor, Operating Lease, Term of Contract | 25 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 32,500 | ||
Rent recorded | $ 32,500 | 32,500 | |
PWTS by Mar-13 One [Member] | |||
Lessor, Operating Lease, Term of Contract | 25 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 37,500 | ||
Rent recorded | $ 37,500 | 37,500 | |
PWTS by Mar-13 Two [Member] | |||
Lessor, Operating Lease, Term of Contract | 25 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 16,800 | ||
Rent recorded | $ 16,800 | 16,800 | |
PWTS by Mar-13 Three [Member] | |||
Lessor, Operating Lease, Term of Contract | 25 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 29,900 | ||
Rent recorded | $ 29,900 | 29,900 | |
PWTS by Mar-13 Four [Member] | |||
Lessor, Operating Lease, Term of Contract | 25 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 40,800 | ||
Rent recorded | $ 40,800 | 40,800 | |
PWRS by Apr-14 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 803,117 | ||
Rent recorded | $ 803,117 | 803,117 | |
PW JAB by Jul-19 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 201,810 | ||
Rent recorded | $ 201,810 | 201,810 | |
PW JAB by Jul-19 One [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 294,046 | ||
Rent recorded | $ 294,046 | 294,046 | |
PW Mav 14 by Feb-20 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 354,461 | ||
Rent recorded | $ 354,461 | 324,922 | |
PW Sherm 6 by Feb-20 One [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 375,159 | ||
Rent recorded | $ 375,159 | 327,278 | |
PW Mav 5 by Nov-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 262,718 | ||
Rent recorded | $ 340,734 | 187,272 | [1] |
PW SD (495 and 505) May-20 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 1,292,904 | ||
Rent recorded | $ 1,292,904 | 682,677 | |
PW Tam 7 Sep-20 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 261,963 | ||
Rent recorded | $ 261,963 | 74,950 | |
PW MF Oct-20 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 20-years | ||
Triple Net Lease. | Y | ||
Straight line rent | |||
Rent recorded | $ 113,504 | 121,079 | [2] |
PW Tam 19 Dec-20 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 252,061 | ||
Rent recorded | $ 252,061 | 19,179 | |
PW Grail (4 and 5) Jan-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 461,684 | ||
Rent recorded | $ 245,136 | [3] | |
PW Apotheke Jan-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 341,953 | ||
Rent recorded | $ 325,407 | ||
PW Canndescent Feb-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 5 years | ||
Lessor Operating Lease Renewal Options. | |||
Triple Net Lease. | Y | ||
Straight line rent | $ 1,113,018 | ||
Rent recorded | $ 1,019,826 | ||
PW Gas Station Mar-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 399,748 | ||
Rent recorded | $ 311,631 | ||
PW Cloud Nine Apr-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 552,588 | ||
Rent recorded | $ 83,275 | ||
PW Walsenburg May-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 729,007 | ||
Rent recorded | $ 444,614 | ||
PW Vinita Jun-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 502,561 | ||
Rent recorded | $ 277,512 | ||
PW JKL Jun-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 546,392 | ||
Rent recorded | $ 291,209 | ||
PW Marengo Sep-21 [Member] | |||
Lessor, Operating Lease, Term of Contract | 20 years | ||
Lessor Operating Lease Renewal Options. | 2 x 5-years | ||
Triple Net Lease. | Y | ||
Straight line rent | $ 5,119,343 | ||
Rent recorded | |||
[1] | On November 5, 2021, the original lease was terminated and a new lease was entered into with current tenant. The terms listed under Annual Straight-Line Rent is for the new lease. The Rent Recorded for 2021 includes rent under both, the old and new lease. | ||
[2] | On November 1, 2021, the lease was terminated and the tenant surrendered premises to PW. | ||
[3] | On December 8, 2021, the lease was terminated and the tenant surrendered premises to PW. A new lease was entered into on January 1, 2022 for this property – see Subsequent Events. The straight-line rent disclosed is for the new lease. |
DIRECT FINANCING LEASES AND O_3
DIRECT FINANCING LEASES AND OPERATING LEASES (Details Narrative) | 12 Months Ended |
Dec. 31, 2021USD ($) | |
[custom:RevenueFromLeaseRecognized] | $ 8,450,000 |
Cash rental per annum | $ 915,000 |
Capital lease term | 99 years |
Capital lease renewal term | 99 years |
Lessee, Operating Lease, Description | P&WV has determined that the lease term is perpetual (for GAAP accounting purposes only) because it is perceived that it would be un-economic for the lessee to terminate and the Lessee has control over its actions with respect to default and has unlimited renewal options. Accordingly, as of January 1, 1983, the rentals receivable of $915,000 per annum, recognizing renewal options by the lessee in perpetuity, were estimated to have a present value of $9,150,000, assuming an implicit interest rate of 10%. The Trust has evaluated their long-lived assets for impairment and concluded there are no impairment indicators as of December 31, 2021. |
Minimum [Member] | |
Lessee, Operating Lease, Term of Contract | 5 years |
Maximum [Member] | |
Lessee, Operating Lease, Term of Contract | 99 years |
SCHEDULE OF LONG-TERM DEBT (Det
SCHEDULE OF LONG-TERM DEBT (Details) | Dec. 31, 2021USD ($) |
Debt Disclosure [Abstract] | |
2022 | $ 675,370 |
2023 | 1,168,827 |
2024 | 715,777 |
2025 | 755,634 |
2026 | 797,628 |
Thereafter | 19,661,847 |
Long term debt | $ 23,775,083 |
LONG-TERM DEBT (Details Narrati
LONG-TERM DEBT (Details Narrative) - USD ($) | Dec. 21, 2021 | Nov. 25, 2019 | Nov. 06, 2015 | Dec. 31, 2012 | Jul. 31, 2013 | Dec. 31, 2021 | Dec. 31, 2020 | Mar. 22, 2022 |
Short-term Debt [Line Items] | ||||||||
Debt interest rate | 5.52% | |||||||
Debt maturity date | 2054 (35 years) | |||||||
Debt fixed interesr rate | 4.62% | |||||||
Outstanding loan balance | $ 23,775,083 | |||||||
Proceeds from Issuance of Long-term Debt | $ 15,500,000 | |||||||
Payments of Debt Issuance Costs | 275,000 | |||||||
Amortization of Deferred Loan Origination Fees, Net | 997 | |||||||
Subsequent Event [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Line of Credit Facility, Current Borrowing Capacity | $ 2,500,000 | |||||||
Pittsburgh West Virginia Railroad [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Outstanding loan balance | 14,809,000 | 14,994,000 | ||||||
Capitalized debt cost | 293,000 | 302,000 | ||||||
Municipal Debt [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt term | 10 years | |||||||
Debt interest rate | 5.00% | |||||||
Debt maturity date | February 1 of each year | |||||||
Municipal debt securities, at carrying value | 64,000 | 70,000 | ||||||
PWSS Term Loan [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt term | 10 years | |||||||
Debt amount | $ 750,000 | |||||||
Debt description | The PWSS Term Loan carries a fixed interest rate of 5.0% for a term of 10 years and amortizes based on a 20-year principal amortization schedule | |||||||
Debt fixed interesr rate | 5.00% | |||||||
Outstanding loan balance | 521,000 | 551,000 | ||||||
Capitalized debt cost | 4,100 | 6,800 | ||||||
Land And Intangibles [Member] | PWRS Bonds [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt maturity date | October 14, 2034 | |||||||
Debt amount | $ 10,150,000 | |||||||
Debt fixed interesr rate | 4.34% | |||||||
Outstanding loan balance | 7,803,000 | 8,183,000 | ||||||
Unamortized debt cost | $ 280,000 | $ 303,000 | ||||||
Debt Facility [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt interest rate | 5.52% | |||||||
Debt Instrument, Face Amount | $ 20,000,000 | |||||||
Debt Instrument, Description | The facility is non-recourse to Power REIT and is structured without initial collateral but has springing liens to provide security against a significant number of Power REIT CEA portfolio properties in the event of default. The Debt Facility has a 12 month draw period and then converts to a term loan that is fully amortizing over five years. | |||||||
Payments of Debt Issuance Costs | 275,000 | |||||||
Amortization of Deferred Loan Origination Fees, Net | $ 997 |
SCHEDULE OF SHARE BASED COMPENS
SCHEDULE OF SHARE BASED COMPENSATION STOCK OPTIONS ACTIVITY (Details) - Share-based Payment Arrangement [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Options, Beginning balance | 106,000 | 106,000 |
Weighted Average Exercise Price, Beginning balance | $ 7.96 | $ 7.96 |
Number of Options, Plan Awards | ||
Weighted Average Exercise Price, Plan Awards | ||
Number of Options, Options Exercised | (106,000) | |
Number of Options, Options Exercised | $ 7.96 | |
Number of Options, Ending balance | 106,000 | |
Weighted Average Exercise Price, Ending balance | $ 7.96 | |
Aggregate Intrinsic Value, Ending balance | $ 1,985,380 | |
Number of Options, Vested | 106,000 | |
Weighted Average Exercise Price, Options Vested | $ 7.96 | |
Aggregate Intrinsic Value, Options Vested | $ 1,985,380 |
SCHEDULE OF SHARE BASED COMPE_2
SCHEDULE OF SHARE BASED COMPENSATION RESTRICTED STOCK UNITS AWARD ACTIVITY (Details) - Restricted Stock [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Shares Restricted Stock, Beginning balance | 35,066 | 24,033 |
Weighted Average Grant Date Fair Value, Beginning balance | $ 8.76 | $ 6.14 |
Number of Shares Restricted Stock, Plan Awards | 22,900 | 43,200 |
Weighted Average Grant Date Fair Value, Plan Awards | $ 37.18 | $ 9.61 |
Number of Shares Restricted Stock, Restricted Stock Vested | (26,706) | (32,167) |
Weighted Average Grant Date Fair Value, Restricted Stock Vested | $ 14.32 | $ 7.95 |
Number of Shares Restricted Stock, Ending balance | 31,260 | 35,066 |
Weighted Average Grant Date Fair Value, Ending balance | $ 24.83 | $ 8.76 |
EQUITY AND LONG-TERM COMPENSA_3
EQUITY AND LONG-TERM COMPENSATION (Details Narrative) - USD ($) | Dec. 30, 2021 | Oct. 08, 2021 | Feb. 03, 2021 | Jan. 07, 2021 | Dec. 31, 2021 | Dec. 17, 2021 | Dec. 31, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 213,017 | ||||||
Par value per share | $ 0.001 | ||||||
Series A 7.75% Cumulative redeemable perpetual preferred stock, shares authorized | 1,675,000 | ||||||
Proceeds from issuance of common stock | $ 36,494,866 | ||||||
Debt issuance costs | 275,000 | ||||||
Noninterest Expense Offering Cost | $ 165,075 | ||||||
Shares Issued, Price Per Share | $ 26.50 | ||||||
Weighted average remaining term | 1 year 7 months 9 days | ||||||
Non-cash expense related to restricted stock and options granted | $ 382,328 | $ 255,611 | |||||
Unrecognized share-based compensation expense | $ 776,000 | ||||||
Share-based Payment Arrangement [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Weighted Average Exercise Price, Beginning balance | $ 7.96 | ||||||
Number of Options, Beginning balance | 106,000 | 106,000 | 106,000 | ||||
Weighted Average Exercise Price, Beginning balance | $ 7.96 | $ 7.96 | $ 7.96 | ||||
Number of Options, Beginning balance | |||||||
Weighted Average Exercise Price, Beginning balance | |||||||
Number of Options, Beginning balance | 106,000 | ||||||
Number of Options, Ending balance | 106,000 | ||||||
Weighted Average Exercise Price, Ending balance | $ 7.96 | ||||||
Aggregate Intrinsic Value, Ending balance | $ 1,985,380 | ||||||
Number of Options, Vested | 106,000 | ||||||
Weighted Average Exercise Price, Options Vested | $ 7.96 | ||||||
Aggregate Intrinsic Value, Options Vested | $ 1,985,380 | ||||||
Non-cash expense related to restricted stock and options granted | $ 382,000 | $ 256,000 | |||||
Executive Officer [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common shares issued | 45,128 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Period Increase (Decrease) | 106,000 | ||||||
Shares Issued, Price Per Share | $ 7.96 | ||||||
Number of shares repurchased | 60,872 | ||||||
Payment to repurchase of common stock | $ 3,265,723 | ||||||
Weighted Average Exercise Price, Beginning balance | $ 67.51 | ||||||
PW RO Holdings LLC [Member] | David H. Lesser [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 132,074 | ||||||
Equity Method Investment, Ownership Percentage | 100.00% | ||||||
PWRO HoldingsOne LLC [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
[custom:BusinessAcquisitionEquityInterestsIssuedOrIssuableNumberOfSharesIssuedOwnership] | 15,458 | ||||||
PWRO HoldingsOne LLC [Member] | Investor ROH [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 116,617 | ||||||
PW RO Holdings 2 LLC [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
[custom:BusinessAcquisitionEquityInterestsIssuedOrIssuableNumberOfSharesIssuedOwnership] | 18,656 | 14,410 | |||||
PW RO Holdings 2 LLC [Member] | Investor ROH [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 136,344 | ||||||
PW RO Holdings 2 LLC [Member] | David H. Lesser [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 155,000 | ||||||
PW RO Holdings 3 LLC [Member] | Investor ROH [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 108,610 | ||||||
PW RO Holdings 3 LLC [Member] | David H. Lesser [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 123,020 | ||||||
13310 LMR2A [Member] | David H. Lesser [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 68,679 | ||||||
Trust [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common shares issued | 1,383,394 | ||||||
Proceeds from issuance of common stock | $ 36,700,000 | ||||||
Series A Preferred Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common shares issued | 192,308 | ||||||
Proceeds from issuance of common stock | $ 5,000,008 | ||||||
Debt issuance costs | $ 2,205 | ||||||
Common Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock issued | 1,500,000 | ||||||
Par value per share | $ 0.001 | ||||||
Series A 7.75% Cumulative redeemable perpetual preferred stock, shares authorized | 1,675,000 | ||||||
Number of common shares issued | 1,383,394 | ||||||
Number of Options, Beginning balance | 45,128 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Income Tax Disclosure [Abstract] | |
[custom:PercentageOfAnnualOrdinaryTaxableIncomeDistributed] | 90.00% |
Net operating loss | $ 22.7 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2021 | Sep. 30, 2016 | |
Related Party Transaction [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 8,457,914 | $ 4,272,709 | ||
Mr Jared Schrader [Member] | ||||
Related Party Transaction [Line Items] | ||||
Consulting fee | 86,191 | |||
COLORADO | ||||
Related Party Transaction [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 444,614 | |||
OKLAHOMA | ||||
Related Party Transaction [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 277,512 | |||
MICHIGAN | ||||
Related Party Transaction [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | |||
Board Of Trustees [Member] | ||||
Related Party Transaction [Line Items] | ||||
Increase in reimbursement | 4,000 | |||
David H. Lesser [Member] | ||||
Related Party Transaction [Line Items] | ||||
Payment to affiliate | $ 60,000 | $ 25,500 | ||
Hudson Bay Partners LP [Member] | Board Of Trustees [Member] | ||||
Related Party Transaction [Line Items] | ||||
Reimbursing an affiliate, per month | $ 15,000 | $ 1,000 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | Mar. 01, 2022 | Jan. 28, 2022 | Jan. 02, 2022 | Jan. 02, 2022 | Dec. 31, 2021 |
Subsequent Event [Line Items] | |||||
Short-term Lease Commitment, Amount | $ 2,432,000 | $ 2,432,000 | |||
Payments for Rent | $ 915,000 | ||||
Series A Cumulative Redeemable Perpetual Preferred Stock [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends Payable, Amount Per Share | $ 0.484375 | ||||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Lessee, Operating Lease, Term of Contract | 5 years | 5 years | |||
Increase of construction budget commitment | $ 71,000 | ||||
Subsequent Event [Member] | Intelli Gen Power Systems L L C [Member] | |||||
Subsequent Event [Line Items] | |||||
Property improvement | $ 2,205,000 | ||||
Subsequent Event [Member] | Series A Cumulative Redeemable Perpetual Preferred Stock [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends Payable, Amount Per Share | $ 0.484375 | ||||
Preferred Stock, Dividend Rate, Percentage | 7.75% | ||||
Subsequent Event [Member] | SL Tenant [Member] | |||||
Subsequent Event [Line Items] | |||||
Lessee, Operating Lease, Term of Contract | 20 years | 20 years | |||
Payments for Rent | $ 462,000 | ||||
Subsequent Event [Member] | Walsenburg Lease Amendment [Member] | |||||
Subsequent Event [Line Items] | |||||
Short-term Lease Commitment, Amount | $ 625,000 | $ 625,000 | |||
Straight-line rent | $ 120,000 | ||||
Subsequent Event [Member] | Sweet Dirt Lease Second Amendment [Member] | |||||
Subsequent Event [Line Items] | |||||
Straight-line rent | 654,000 | ||||
Compensation earned on lease funding | $ 3,508,000 |