Quarterly report pursuant to Section 13 or 15(d)

INVESTMENT PROPERTIES

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INVESTMENT PROPERTIES
 9 Months Ended
Sep. 30, 2022
Real Estate [Abstract]  
INVESTMENT PROPERTIES INVESTMENT PROPERTIES
As of September 30, 2022, the Trust's real estate portfolio consisted of 137 Retail Properties across 36 U.S. states and Puerto Rico.
The following table presents the amortization during the next five years and thereafter related to the lease intangible assets and liabilities for properties owned as of September 30, 2022, excluding the two Retail Properties classified as held for sale:
Period from October 1 to December 31, 2022 2023 2024 2025 2026 Thereafter Total
Amortization of:
Above market lease intangibles (a) $ 1,974  $ 7,894  $ 7,894  $ 7,894  $ 7,894  $ 110,521  $ 144,071 
In-place lease intangibles (a) 1,230  4,921  4,921  4,921  4,921  68,896  89,810 
Lease intangible assets, net (b) $ 3,204  $ 12,815  $ 12,815  $ 12,815  $ 12,815  $ 179,417  $ 233,881 
Below market lease intangibles (a) $ 1,428  $ 5,711  $ 5,711  $ 5,711  $ 5,711  $ 79,961  $ 104,233 
Lease intangible liabilities, net $ 1,428  $ 5,711  $ 5,711  $ 5,711  $ 5,711  $ 79,961  $ 104,233 

(a) Represents the portion of the leases in which the Trust is the lessor. The amortization of above and below market lease intangibles is recorded as an adjustment to lease income and the amortization of in-place lease intangibles is recorded to depreciation and amortization expense.

(b) Lease intangible assets, net and lease intangible liabilities, net are presented net of $21,359 and $9,519 of accumulated amortization, respectively, as of September 30, 2022. Lease intangible assets, net and lease intangible liabilities, net are presented net of $12,283 and $6,116 of accumulated amortization, respectively, as of December 31, 2021.

As of September 30, 2022 and December 31, 2021, the weighted average amortization period for lease intangible assets and lease intangible liabilities was 18.3 years and 19.0 years, respectively.

For the three months ended September 30, 2022 and 2021, amortization expense pertaining to in-place lease intangibles was $1,299 and $1,768, respectively. For the nine months ended September 30, 2022 and from the Effective Date to September 30, 2021, amortization expense pertaining to in-place lease intangibles was $3,999 and $4,823, respectively.

For the three months ended September 30, 2022 and 2021, amortization pertaining to above market lease intangibles of $2,000 and $2,087, respectively, was recorded as a reduction to “Lease income” in the accompanying consolidated statements of operations. For the nine months ended September 30, 2022 and from the Effective Date to September 30, 2021, amortization pertaining to above market lease intangibles of $6,001 and $5,606, respectively, was recorded as a reduction to “Lease income” in the accompanying consolidated statements of operations.

For the three months ended September 30, 2022 and 2021, amortization pertaining to below market lease intangibles of $1,524 and $2,003, respectively, was recorded as an increase to “Lease income” in the accompanying consolidated statements of operations. For the nine months ended September 30, 2022 and from the Effective Date to September 30, 2021, amortization pertaining to below market lease intangibles of $4,860 and $5,521,
respectively, was recorded as an increase to “Lease income” in the accompanying consolidated statements of operations.

Dispositions

The following table summarizes the disposition activity for the nine months ended September 30, 2022:

Sale Date Location Property Type Ownership Square Footage Gross Sales Proceeds Aggregate Proceeds, Net Gain (Loss)
1/6/22 Culver City, CA Retail Fee Simple 204  $ 22,000  $ 20,961  $ 3,651 
7/20/22 Pleasanton, CA Retail Fee Simple 156  16,000  15,798  4,795 
7/25/22 Franklin, TN Retail Fee Simple 104  5,650  5,565  273 
8/25/22 Nashua, NH Retail Fee Simple 105  6,550  6,454  972 
8/29/22 Sterling, VA Retail Fee Simple 126  5,650  5,546  (413)
9/9/22 Martin Diamond Portfolio (a) Retail Fee Simple 857  53,000  51,379  (1,225)
1,552  $ 108,850  $ 105,703  $ 8,053 
(a) Portfolio comprised of five Retail Properties located in Annapolis, MD, Springfield, VA, Fairfax, VA, Newark, DE and Columbia, MD.
The dispositions completed during the nine months ended September 30, 2022 do not qualify for discontinued operations treatment and are not considered individually significant.
Investment Properties Held for Sale

The following Retail Properties were classified as held for sale as of September 30, 2022:

Date of Sale Location
Carrying value at
September 30, 2022
10/5/22 Westminster, CA
 $ 14,246 
Q4 2022 Austin, TX
 $ 9,217 
Real estate held for sale consisted of the following at September 30, 2022:
September 30, 2022
Land and improvements $ 6,143 
Building and other improvements 1,912
Less: accumulated depreciation (110)
Net investment properties 7,945
Accounts receivable 587
Lease intangible assets, net 3,427
Right-of-use lease assets 11,508
Other assets 143
Assets associated with investment properties held for sale 23,610
Accounts payable and accrued expenses 31
Other liabilities 116
Liabilities associated with investment properties held for sale $ 147