Annual report [Section 13 and 15(d), not S-K Item 405]

Consolidated Statements of Cash Flows

v3.25.4
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Cash flows from operating activities:      
Net income $ 19,292,000 $ 24,040,000 $ 4,922,000
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization 58,245,000 55,786,000 57,856,000
Impairment charge 9,000 6,822,000 19,296,000
Gain on debt extinguishment, net 0 (300,000) (2,830,000)
Gain on sale of real estate, net (367,000) (14,229,000) (7,737,000)
Amortization of deferred financing costs 2,447,000 1,631,000 1,646,000
Amortization of deferred rent asset and liability, net (6,029,000) (6,813,000) (7,457,000)
Decrease (increase) in sales-type lease receivable 153,000 (136,000) 0
Receipt of sales-type lease receivable 18,465,000 0 0
Amortization of discount and premium on assumed debt, net 27,000 34,000 41,000
Asset retirement obligation expense 138,000 133,000 126,000
Amortization of right-of-use asset from operating leases and operating lease liabilities, net 7,000 7,000 27,000
Amortization of right-of-use asset finance lease liabilities, net 26,000 0 0
Bad debt expense 0 64,000 0
Operating changes in assets and liabilities      
Increase (decrease) in other assets (448,000) 1,278,000 1,483,000
Increase in deferred rent receivable (3,025,000) (5,541,000) (3,161,000)
Increase (decrease) in accounts payable and accrued expenses 796,000 (41,000) (11,000)
Increase (decrease) in amount due to Adviser and Administrator 683,000 (16,000) (800,000)
Increase (decrease) in other liabilities 506,000 (983,000) (722,000)
Leasing commissions paid (2,774,000) (4,783,000) (2,312,000)
Net cash provided by operating activities 88,151,000 56,953,000 60,367,000
Cash flows from investing activities:      
Acquisition of real estate and related intangible assets (207,905,000) (27,357,000) (30,018,000)
Improvements of existing real estate (20,979,000) (12,797,000) (6,674,000)
Proceeds from sale of real estate 7,644,000 37,635,000 37,008,000
Receipts from lenders for funds held in escrow 754,000 2,996,000 4,972,000
Payments to lenders for funds held in escrow (723,000) (848,000) (3,669,000)
Receipts from tenants for reserves 3,141,000 952,000 1,037,000
Payments to tenants from reserves (3,309,000) (2,308,000) (1,518,000)
Net cash (used in) provided by investing activities (221,377,000) (1,727,000) 1,138,000
Cash flows from financing activities:      
Proceeds from issuance of equity 62,182,000 55,425,000 10,225,000
Offering costs paid (876,000) (821,000) (538,000)
Retirement of senior common stock 0 0 (52,000)
Repurchase of common stock 0 0 (998,000)
Borrowings under mortgage notes payable 0 15,240,000 9,000,000
Payments for deferred financing costs (5,813,000) (1,379,000) (400,000)
Principal repayments on mortgage notes payable (19,926,000) (41,560,000) (70,083,000)
Borrowings on term loan 103,333,000 0 0
Repayments on term loan (53,333,000) (20,000,000) 0
Borrowings on unsecured term loan 20,000,000 0 0
Repayments on unsecured term loan (20,000,000) 0 0
Borrowings under senior unsecured notes 85,000,000 75,000,000 0
Borrowings from revolving credit facility 265,600,000 83,400,000 123,600,000
Repayments on revolving credit facility (230,130,000) (157,250,000) (71,100,000)
Increase in security deposits 1,379,000 158,000 104,000
Distributions paid to common, senior common, preferred stock and Non-controlling OP Unitholders (68,173,000) (62,788,000) (60,620,000)
Net cash provided by (used in) financing activities 134,743,000 (56,287,000) (61,362,000)
Net increase (decrease) in cash, cash equivalents, and restricted cash 1,517,000 (1,061,000) 143,000
Cash, cash equivalents, and restricted cash at beginning of period 15,074,000 16,135,000 15,992,000
Cash, cash equivalents, and restricted cash at end of period 16,591,000 15,074,000 16,135,000
SUPPLEMENTAL INFORMATION      
Cash paid for interest 38,714,000 35,666,000 33,136,000
NON-CASH INFORMATION      
Tenant funded fixed asset improvements included in deferred rent liability, net 0 (479,000) (1,312,000)
Derecognized carry value of property to sales-type lease receivable 0 (14,553,000) 0
Capital improvements and leasing commissions included in accounts payable and accrued expenses 2,090,000 5,125,000 5,475,000
Unrealized (loss) gain related to interest rate hedging instruments, net (7,349,000) 2,702,000 (4,853,000)
Increase in asset retirement obligation in connection with acquisition 164,000 0 95,000
Dividends paid on Series F preferred stock via additional share issuances 427,000 516,000 487,000
Right-of-use asset from finance leases 2,938,000 0 0
Finance lease liabilities (2,938,000) 0 0
Cash and cash equivalents 10,810,000 10,956,000 11,985,000
Restricted cash 5,781,000 4,118,000 4,150,000
Total cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows 16,591,000 15,074,000 16,135,000
Series F Preferred Stock      
Cash flows from financing activities:      
Redemption of preferred stock (4,500,000) (1,712,000) (488,000)
Series G Preferred Stock      
Cash flows from financing activities:      
Redemption of preferred stock $ 0 $ 0 $ (12,000)