NOTES
TO THE CONSOLIDATED FINANCIAL STATEMENTS
SEPTEMBER
30, 2018
NOTE
1 – ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description
of the Business
Monmouth
Real Estate Investment Corporation, a Maryland corporation, together with its consolidated subsidiaries (we, our, us, the Company
or MREIC), operates as a real estate investment trust (REIT) deriving its income primarily from real estate rental operations.
We were founded in 1968 and are one of the oldest public equity REITs in the world. As of September 30, 2018 and 2017, rental
properties consisted of 111 and 108 property holdings, respectively. These properties are located in 30 states: Alabama, Arizona,
Colorado, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland, Michigan, Minnesota,
Mississippi, Missouri, Nebraska, New Jersey, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee,
Texas, Virginia, Washington and Wisconsin. As of September 30, 2018, our weighted average lease maturity was approximately 8.1
years and our annualized average base rent per occupied square foot was $6.01. As of September 30, 2018, the weighted average
building age, based on the square footage of our buildings, was 8.7 years. In addition, we own a portfolio of REIT securities
which we generally limit to no more than approximately 10% of our undepreciated assets (which is our total assets excluding accumulated
depreciation).
Use
of Estimates
In
preparing the financial statements in accordance with accounting principles generally accepted in the United States of America
(U.S. GAAP), we are required to make certain estimates and assumptions that affect the reported amounts of assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual
results could differ from these estimates and assumptions.
Segment
Reporting & Financial Information
Our
primary business is the ownership and management of real estate properties. We invest in well-located, modern, single tenant,
industrial buildings leased primarily to investment-grade tenants or their subsidiaries on long-term net leases. We review operating
and financial information for each property on an individual basis and, therefore, each property represents an individual operating
segment. We evaluate financial performance using Net Operating Income (NOI) from property operations. NOI is a non-GAAP financial
measure, which we define as recurring Rental and Reimbursement Revenue, less Real Estate Taxes and Operating Expenses, such as
insurance, utilities and repairs and maintenance. We have aggregated the properties into one reportable segment as the properties
share similar long-term economic characteristics and have other similarities, including the fact that they are operated as industrial
properties subject to long-term net leases primarily to investment-grade tenants or their subsidiaries.
Principles
of Consolidation and Non-controlling Interest
The
consolidated financial statements include the Company and our wholly-owned subsidiaries. In 2005, we formed MREIC Financial, Inc.,
a taxable REIT subsidiary which has had no activity since inception. In 2007, we merged with Monmouth Capital Corporation (Monmouth
Capital), with Monmouth Capital surviving as our wholly-owned subsidiary. All intercompany transactions and balances have been
eliminated in consolidation.
Buildings
and Improvements
Buildings
and improvements are stated at the lower of depreciated cost or net realizable value. Depreciation is computed based on the straight-line
method over the estimated useful lives of the assets. These lives are 39 years for buildings and range from 3 to 39 years for
improvements.
We
apply Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 360-10, Property, Plant & Equipment
(ASC 360-10) to measure impairment in real estate investments. Rental properties are individually evaluated for impairment when
conditions exist which may indicate that it is probable that the sum of expected future cash flows (on an undiscounted basis without
interest) from a rental property is less than its historical net cost basis. These expected future cash flows consider factors
such as future operating income, trends and prospects as well as the effects of leasing demand, competition and other factors.
Upon determination that an other-than-temporary impairment has occurred, rental properties are reduced to their fair value. For
properties to be disposed of, an impairment loss is recognized when the fair value of the property, less the estimated cost to
sell, is less than the carrying amount of the property measured at the time there is a commitment to sell the property and/or
it is actively being marketed for sale. A property to be disposed of is reported at the lower of its carrying amount or its estimated
fair value, less its cost to sell. Subsequent to the date that a property is held for disposition, depreciation expense is not
recorded.
Gains
(Losses) on Sale of Real Estate
Gains
(losses) on the sale of real estate investments are recognized when the profit (loss) on a given sale is determinable, and the
seller is not obliged to perform significant activities after the sale to earn such profit (loss).
Acquisitions
Prior
to the adoption of ASU 2017-01, upon acquisition of a property, we allocated the purchase price of the property based upon the
fair value of the assets acquired, which generally consisted of land, building and intangible assets, including above and below
market leases and in-place leases. We allocated the purchase price to the fair value of the tangible assets of an acquired property
generally determined by the third-party appraisal of the property obtained in conjunction with the purchase. The purchase price
was further allocated to acquired above and below market leases based on the present value of the difference between prevailing
market rates and the in-place lease rates over the remaining term. In addition, any remaining amounts of the purchase price were
applied to in-place lease values based on our evaluation of the specific characteristics of each tenant’s lease. In-place
leases that may have a customer relationship intangible value, including (but not limited to) the nature and extent of the existing
relationship with the tenant, the tenant’s credit quality and expectations of lease renewals were also considered. Acquired
above and below market leases were amortized to rental revenue over the remaining non-cancelable terms of the respective leases.
The value of in-place lease intangibles was amortized to amortization expense over the remaining lease term. If a tenant terminated
its lease early, the unamortized portion of the tenant improvements, leasing commissions, deferred rent, and the in-place lease
value was charged to expense when there was a signed termination agreement, all of the conditions of the termination agreement
were met, the tenant is no longer occupying the property and the termination consideration, if any, is probable of collection.
As
a result of the adoption of Accounting Standards Update (ASU) 2017-01, effective April 1, 2017, we no longer account for our property
acquisitions as business combinations and instead account for our property acquisitions as acquisitions of assets. In an acquisition
of assets, certain acquisition costs are capitalized to real estate investments as part of the purchase price as opposed to being
expensed as Acquisition Costs under the previous accounting treatment for business combinations. Therefore, as of April 1, 2017,
we are no longer required to expense our Acquisition Costs. In addition, acquisitions that do not meet the definition of a business
combination are accounted for as asset acquisitions whereby the consideration incurred is allocated to the individual assets acquired
on a relative fair value basis.
Marketable
Securities
Investments
in securities available for sale primarily consist of marketable common and preferred stock securities of other REITs, which we
generally limit to no more than approximately 10% of our undepreciated assets (which is our total assets excluding accumulated
depreciation). These marketable securities are all publicly-traded and purchased on the open market, through private transactions
or through dividend reinvestment plans. These securities may be classified among three categories: held-to-maturity, trading,
and available-for-sale. We normally hold REIT securities on a long-term basis and have the ability and intent to hold securities
to recovery. Therefore, as of September 30, 2018 and 2017, our securities are all classified as available-for-sale and are carried
at fair value based upon quoted market prices in active markets. Gains or losses on the sale of securities are based on average
cost and are accounted for on a trade date basis. Net unrealized holding gains and losses are excluded from earnings and reported
as a separate component of Shareholders’ Equity until realized. The change in the unrealized net holding gains (losses)
is reflected as Comprehensive Income (Loss).
In
January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial
Assets and Financial Liabilities”. ASU 2016-01 requires equity investments (except those accounted for under the equity
method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair
value recognized in net income, requires public business entities to use the exit price notion when measuring the fair value of
financial instruments for disclosure purposes, requires separate presentation of financial assets and financial liabilities by
measurement category and form of financial asset, and eliminates the requirement for public business entities to disclose the
method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments
measured at amortized cost. These changes became effective for our fiscal year beginning October 1, 2018. The most significant
change for us, once ASU 2016-01 was adopted, was the accounting treatment for our investments in marketable securities that are
classified as available for sale. The accounting treatment used for our Consolidated Financial Statements through Fiscal 2018,
was that our investments in marketable securities, classified as available for sale, were carried at fair value, with net unrealized
holding gains and losses being excluded from earnings and reported as a separate component of Shareholders’ Equity until
realized and the change in net unrealized holding gains and losses being reflected as comprehensive income (loss). Under ASU 2016-01,
effective October 1, 2018, these marketable securities continue to be measured at fair value, however the changes in net unrealized
holding gains and losses are now recognized through net income. Subsequent to the fiscal yearend, on October 1, 2018, unrealized
net holding losses of $24,744,579 were reclassed to beginning retained earnings to recognize the unrealized losses previously
recorded in “accumulated other comprehensive income” on our consolidated balance sheets.
We
individually review and evaluate our marketable securities for impairment on a quarterly basis or when events or circumstances
occur. We consider, among other things, credit aspects of the issuer, amount of decline in fair value over cost and length of
time in a continuous loss position. We have developed a general policy of evaluating whether an unrealized loss is other than
temporary. On a quarterly basis, we make an initial review of every individual security in our portfolio. If the security is impaired,
we first determine our intent and ability to hold this investment for a period of time sufficient to allow for any anticipated
recovery in market value. Next, we determine the length of time and the extent of the impairment. Barring other factors, including
the downgrading of the security or the cessation of dividends, if the fair value of the security is below cost by less than 20%
for less than 6 months and we have the intent and ability to hold the security, the security is deemed to be temporarily impaired.
Otherwise, we review additional information to determine whether the impairment is other than temporary. We discuss and analyze
any relevant information known about the security, such as:
|
a.
|
Whether
the decline is attributable to adverse conditions related to the security or to specific conditions in an industry or in a
geographic area.
|
|
b.
|
Any
downgrading of the security by a rating agency.
|
|
c.
|
Whether
the financial condition of the issuer has deteriorated.
|
|
d.
|
Status
of dividends – Whether dividends have been reduced or eliminated, or scheduled interest payments have not been made.
|
|
e.
|
Analysis
of the underlying assets (including NAV analysis) using independent analysis or recent transactions.
|
We
normally hold REIT securities on a long-term basis and have the ability and intent to hold securities to recovery. If a decline
in fair value is determined to be other than temporary, an impairment charge is recognized in earnings and the cost basis of the
individual security is written down to fair value as the new cost basis.
Cash
and Cash Equivalents
Cash
and cash equivalents include all cash and investments with an original maturity of three months or less. We maintain our cash
in bank accounts in amounts that may exceed federally insured limits. We have not experienced any losses in these accounts in
the past. The fair value of cash and cash equivalents approximates their current carrying amounts since all such items are short-term
in nature.
Intangible
Assets, Capitalized Lease Costs and Financing Costs
Intangible
assets, consisting primarily of the value of in-place leases, are amortized to expense over the remaining terms of the respective
leases. Upon termination of a lease, the unamortized portion is charged to expense. The weighted-average amortization period upon
acquisition for intangible assets recorded during 2018, 2017 and 2016 was 12 years, 13 years and 12 years, respectively.
Costs
incurred in connection with the execution of leases are capitalized and amortized over the term of the respective leases. Unamortized
lease costs are charged to expense upon cancellation of leases prior to the expiration of lease terms. Costs incurred in connection
with obtaining mortgages and other financings and refinancings are deferred and are amortized over the term of the related obligations
using the effective interest method. Unamortized costs are charged to expense upon prepayment of the obligation. Amortization
expense related to these deferred leasing and financing costs were $2,101,427, $2,089,259 and $2,072,120 for the years ended September
30, 2018, 2017 and 2016, respectively. We estimate that aggregate amortization expense for existing assets will be approximately
$2,128,000, $1,802,000, $1,553,000, $1,435,000 and $1,356,000 for the fiscal years 2019, 2020, 2021, 2022 and 2023, respectively.
Revenue
Recognition
Rental
revenue from tenants with leases having scheduled rental increases are recognized on a straight-line basis over the term of the
lease. Tenant recoveries related to the reimbursement of real estate taxes, insurance, repairs and maintenance, and other operating
expenses are recognized as revenue in the period the expenses are incurred. The reimbursements are recognized and presented gross,
as we are generally the primary obligor and, with respect to purchasing goods and services from third-party suppliers, have discretion
in selecting the supplier and bears the associated credit risk. These occupancy charges are recognized as earned.
When
applicable, we provide an allowance for doubtful accounts against the portion of tenant and other receivables and deferred rent
receivables, which are estimated to be uncollectible. For accounts receivables that we deem uncollectible, we use the direct write-off
method. We did not have an allowance for doubtful accounts balance as of September 30, 2018 and 2017 and there were no write-off’s
of any receivable accounts during the fiscal years ended 2018 and 2017.
Lease
Termination Income
Lease
Termination Income is recognized in operating revenues when there is a signed termination agreement, all of the conditions of
the agreement have been met, the tenant is no longer occupying the property and the termination consideration is probable of collection.
Lease termination amounts are paid by tenants who want to terminate their lease obligations before the end of the contractual
term of the lease by agreement with us.
Only
four of our 111 properties have leases that contain an early termination provision. These four properties contain approximately
184,000 total rentable square feet, representing less than 1% of our total rentable square feet. Our leases with early termination
provisions are our 26,340 square foot location in Ridgeland (Jackson), MS, our 36,270 square foot location in Urbandale (Des Moines),
IA, our 38,833 square foot location in Rockford, IL, and our 83,000 square foot location in Roanoke, VA. Each lease termination
provision contains certain requirements that must be met in order to exercise each termination provision. These requirements include:
the date termination can be exercised, the time frame that notice must be given by the tenant to us and the termination fee that
would be required to be paid by the tenant to us. The total potential termination fee to be paid to us from the four tenants with
leases that have a termination provision amounts to approximately $1,694,000.
Net
Income Per Share
Basic
Net Income per Common Share is calculated by dividing Net Income Attributable to Common Shareholders by the weighted-average number
of common shares outstanding during the period. Diluted Net Income per Common Share is calculated by dividing Net Income Attributable
to Common Shareholders by the weighted-average number of common shares outstanding plus the weighted-average number of net shares
that would be issued upon exercise of stock options pursuant to the treasury stock method.
In
addition, common stock equivalents of 182,768, 135,613 and 89,720 shares are included in the diluted weighted average shares outstanding
for fiscal years 2018, 2017 and 2016, respectively. As of September 30, 2018, 2017 and 2016, options to purchase 65,000, 65,000
and -0- shares, respectively, were antidilutive.
Stock
Compensation Plan
We
account for awards of stock, stock options and restricted stock in accordance with ASC 718-10, “Compensation-Stock Compensation”.
ASC 718-10 requires that compensation cost for all stock awards be calculated and amortized over the service period (generally
equal to the vesting period). The compensation cost for stock option grants is determined using option pricing models, intended
to estimate the fair value of the awards at the grant date less estimated forfeitures. The compensation expense for restricted
stock is recognized based on the fair value of the restricted stock awards less estimated forfeitures. The fair value of stock
awards and restricted stock awards is equal to the fair value of our stock on the grant date. The amortization of compensation
costs for the awards of stock, stock option grants and restricted stock are included in General and Administrative Expenses in
the accompanying Consolidated Statements of Income and amounted to $433,895, $624,706 and $926,465 have been recognized in 2018,
2017 and 2016, respectively. Included in Note 9 to these consolidated financial statements are the assumptions and methodology
used to calculate the fair value of stock options and restricted shares.
Income
Tax
We
have elected to be taxed as a REIT under Sections 856-860 of the Code, and we intend to maintain our qualification as a REIT in
the future. As a qualified REIT, with limited exceptions, we will not be taxed under Federal and certain state income tax laws
at the corporate level on taxable income that we distribute to our shareholders. For special tax provisions applicable to REITs,
refer to Sections 856-860 of the Code. We are subject to franchise taxes in several of the states in which we own properties.
In
December 2017, the Tax Cuts and Jobs Act of 2017 (the TCJA), Code Section 199A, was added to the Code and became effective for
tax years beginning after December 31, 2017 and before January 1, 2026. Under the TCJA, subject to certain income limitations,
individual taxpayers and trusts and estates may deduct 20% of the aggregate amount of qualified REIT dividends they receive from
their taxable income. Qualified REIT dividends do not include any portion of a dividend received from a REIT that is classified
as a capital gain dividend or qualified dividend income.
We
follow the provisions of ASC Topic 740, Income Taxes, that, among other things, defines a recognition threshold and measurement
attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return.
ASC Topic 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods,
disclosure, and transition. Based on our evaluation, we determined that we have no uncertain tax positions and no unrecognized
tax benefits as of September 30, 2018. We record interest and penalties relating to unrecognized tax benefits, if any, as interest
expense. As of September 30, 2018, the fiscal tax years 2015 through and including 2018 remain open to examination by the Internal
Revenue Service. There are currently no federal tax examinations in progress.
Comprehensive
Income
Comprehensive
income is comprised of net income and other comprehensive income. Other comprehensive income consists of unrealized holding gains
or losses arising during the period on securities available for sale, less any reclassification adjustments for net gains of sales
of securities transactions realized in income.
Reclassifications
Certain
amounts in the consolidated financial statements for the prior years have been reclassified to conform to the financial statement
presentation for the current year.
Recent
Accounting Pronouncements
In
February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, “Leases”.
ASU 2016-02 amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases
on their balance sheets and making targeted changes to lessor accounting. The standard requires a modified retrospective transition
approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition
relief. ASU 2016-02 will become effective for annual reporting periods beginning after December 15, 2018. The most significant
changes related to lessor accounting under ASU 2016-02 include bifurcating revenue into lease and non-lease components and the
new standard’s narrow definition of initial direct costs for leases. Since our revenue is primarily derived from leasing
activities from long-term net leases and since we currently do not capitalize indirect costs for leases, we believe that will
continue to account for our leases and related leasing costs in substantially the same manner as we currently do once the adoption
of the ASU 2016-02 becomes effective.
In
July 2018, the FASB issued ASU 2018-10, “Codification Improvements to Topic 842, Leases”. The amendment in ASU 2018-10
affects narrow aspects of the guidance issued earlier in ASU 2016-02 by removing certain inconsistencies and providing additional
clarification related to the guidance issued earlier. ASU 2018-10 is effective for annual reporting periods, including interim
reporting periods within those periods, beginning after December 15, 2018. We are currently evaluating the potential impact
this standard may have on our consolidated financial statements.
In
January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial
Assets and Financial Liabilities”. ASU 2016-01 requires equity investments (except those accounted for under the equity
method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair
value recognized in net income, requires public business entities to use the exit price notion when measuring the fair value of
financial instruments for disclosure purposes, requires separate presentation of financial assets and financial liabilities by
measurement category and form of financial asset, and eliminates the requirement for public business entities to disclose the
method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments
measured at amortized cost. These changes became effective for our fiscal year beginning October 1, 2018. The most significant
change for us, once ASU 2016-01 was adopted, was the accounting treatment for our investments in marketable securities that are
classified as available for sale. The accounting treatment used for our Consolidated Financial Statements through Fiscal 2018,
was that our investments in marketable securities, classified as available for sale, were carried at fair value, with net unrealized
holding gains and losses being excluded from earnings and reported as a separate component of Shareholders’ Equity until
realized and the change in net unrealized holding gains and losses being reflected as comprehensive income (loss). Under ASU 2016-01,
effective October 1, 2018, these marketable securities continue to be measured at fair value, however the changes in net unrealized
holding gains and losses are now recognized through net income. Subsequent to the fiscal yearend, on October 1, 2018, unrealized
net holding losses of $24,744,579 were reclassed to beginning retained earnings to recognize the unrealized losses previously
recorded in “accumulated other comprehensive income” on our consolidated balance sheets.
In
May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers, which requires an entity to recognize the
amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers”. The FASB
issued further guidance in ASU 2016-12, “Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and
Practical Expedients”, that provides clarifying guidance in certain narrow areas and adds some practical expedients. ASU
2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The effective date of
ASU 2014-09 was extended by one year by ASU 2015-14, “Revenue from Contracts with Customers (Topic 606): Deferral of the
Effective Date”. The new standard is effective for the first interim period within annual reporting periods beginning after
December 15, 2017. Therefore, we adopted the standard effective October 1, 2018. Our revenue is primarily derived from leasing
activities and historically our property dispositions have been cash sales with no contingencies and no future involvement in
the property. Since this standard applies to all contracts with customers except those that are within the scope of other guidance,
such as leases, the adoption of this standard did not have a significant impact on our consolidated financial statements and related
disclosures.
We
do not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material
effect on the accompanying Consolidated Financial Statements.
NOTE
2 – REAL ESTATE INVESTMENTS
The
following is a summary of the cost and accumulated depreciation of our land, buildings and improvements at September 30, 2018
and 2017:
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2018
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Alabama:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Huntsville
|
|
Industrial
|
|
$
|
748,115
|
|
|
$
|
5,913,696
|
|
|
$
|
1,249,093
|
|
|
$
|
5,412,718
|
|
Mobile
|
|
Industrial
|
|
|
2,480,474
|
|
|
|
30,571,842
|
|
|
|
195,973
|
|
|
|
32,856,343
|
|
Arizona:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tolleson (Phoenix)
|
|
Industrial
|
|
|
1,316,075
|
|
|
|
15,508,151
|
|
|
|
6,144,623
|
|
|
|
10,679,603
|
|
Colorado:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Colorado Springs
|
|
Industrial
|
|
|
2,150,000
|
|
|
|
27,170,066
|
|
|
|
1,593,580
|
|
|
|
27,726,486
|
|
Denver
|
|
Industrial
|
|
|
1,150,000
|
|
|
|
5,204,051
|
|
|
|
1,704,122
|
|
|
|
4,649,929
|
|
Connecticut:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Newington (Hartford)
|
|
Industrial
|
|
|
410,000
|
|
|
|
3,084,108
|
|
|
|
1,377,254
|
|
|
|
2,116,854
|
|
Florida:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cocoa
|
|
Industrial
|
|
|
1,881,316
|
|
|
|
12,246,133
|
|
|
|
2,758,147
|
|
|
|
11,369,302
|
|
Davenport (Orlando)
|
|
Industrial
|
|
|
7,060,000
|
|
|
|
30,720,000
|
|
|
|
1,706,667
|
|
|
|
36,073,333
|
|
Daytona Beach
|
|
Industrial
|
|
|
3,119,640
|
|
|
|
26,853,559
|
|
|
|
344,276
|
|
|
|
29,628,923
|
|
Ft. Myers (FDX Ground)
|
|
Industrial
|
|
|
2,486,417
|
|
|
|
19,177,218
|
|
|
|
842,928
|
|
|
|
20,820,707
|
|
Homestead (Miami)
|
|
Industrial
|
|
|
4,426,727
|
|
|
|
33,446,393
|
|
|
|
1,072,000
|
|
|
|
36,801,120
|
|
Jacksonville (FDX)
|
|
Industrial
|
|
|
1,165,000
|
|
|
|
5,231,958
|
|
|
|
2,619,003
|
|
|
|
3,777,955
|
|
Jacksonville (FDX Ground)
|
|
Industrial
|
|
|
6,000,000
|
|
|
|
24,735,702
|
|
|
|
2,323,375
|
|
|
|
28,412,327
|
|
Lakeland
|
|
Industrial
|
|
|
261,000
|
|
|
|
1,782,226
|
|
|
|
573,621
|
|
|
|
1,469,605
|
|
Orlando
|
|
Industrial
|
|
|
2,200,000
|
|
|
|
6,574,524
|
|
|
|
1,830,818
|
|
|
|
6,943,706
|
|
Punta Gorda
|
|
Industrial
|
|
|
-0-
|
|
|
|
4,133,510
|
|
|
|
1,058,498
|
|
|
|
3,075,012
|
|
Tampa (FDX Ground)
|
|
Industrial
|
|
|
5,000,000
|
|
|
|
14,701,575
|
|
|
|
4,921,899
|
|
|
|
14,779,676
|
|
Tampa (FDX)
|
|
Industrial
|
|
|
2,830,000
|
|
|
|
5,027,120
|
|
|
|
1,515,388
|
|
|
|
6,341,732
|
|
Tampa (Tampa Bay Grand Prix)
|
|
Industrial
|
|
|
1,867,000
|
|
|
|
3,810,982
|
|
|
|
1,144,249
|
|
|
|
4,533,733
|
|
Georgia:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Augusta (FDX Ground)
|
|
Industrial
|
|
|
614,406
|
|
|
|
4,748,899
|
|
|
|
1,509,465
|
|
|
|
3,853,840
|
|
Augusta (FDX)
|
|
Industrial
|
|
|
380,000
|
|
|
|
1,597,779
|
|
|
|
463,245
|
|
|
|
1,514,534
|
|
Braselton (Atlanta)
|
|
Industrial
|
|
|
13,964,652
|
|
|
|
46,262,482
|
|
|
|
98,855
|
|
|
|
60,128,279
|
|
Griffin (Atlanta)
|
|
Industrial
|
|
|
760,000
|
|
|
|
14,173,683
|
|
|
|
4,493,178
|
|
|
|
10,440,505
|
|
Savannah
|
|
Industrial
|
|
|
4,404,988
|
|
|
|
51,620,957
|
|
|
|
882,410
|
|
|
|
55,143,535
|
|
Illinois:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Burr Ridge (Chicago)
|
|
Industrial
|
|
|
270,000
|
|
|
|
1,422,901
|
|
|
|
741,290
|
|
|
|
951,611
|
|
Elgin (Chicago)
|
|
Industrial
|
|
|
1,280,000
|
|
|
|
5,697,442
|
|
|
|
2,436,368
|
|
|
|
4,541,074
|
|
Granite City (St. Louis, MO)
|
|
Industrial
|
|
|
340,000
|
|
|
|
12,357,848
|
|
|
|
5,183,974
|
|
|
|
7,513,874
|
|
Montgomery (Chicago)
|
|
Industrial
|
|
|
2,000,000
|
|
|
|
9,303,317
|
|
|
|
2,761,952
|
|
|
|
8,541,365
|
|
Rockford (Collins Aerospace)
|
|
Industrial
|
|
|
480,000
|
|
|
|
4,620,000
|
|
|
|
473,846
|
|
|
|
4,626,154
|
|
Rockford (Sherwin-Williams Co.)
|
|
Industrial
|
|
|
1,100,000
|
|
|
|
4,451,227
|
|
|
|
859,960
|
|
|
|
4,691,267
|
|
Sauget (St. Louis, MO)
|
|
Industrial
|
|
|
1,890,000
|
|
|
|
13,314,950
|
|
|
|
1,366,159
|
|
|
|
13,838,791
|
|
Schaumburg (Chicago)
|
|
Industrial
|
|
|
1,039,800
|
|
|
|
4,138,140
|
|
|
|
2,283,345
|
|
|
|
2,894,595
|
|
Wheeling (Chicago)
|
|
Industrial
|
|
|
5,112,120
|
|
|
|
13,870,354
|
|
|
|
4,430,770
|
|
|
|
14,551,704
|
|
Indiana:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greenwood (Indianapolis)
|
|
Industrial
|
|
|
2,250,000
|
|
|
|
35,262,071
|
|
|
|
3,091,837
|
|
|
|
34,420,234
|
|
Indianapolis
|
|
Industrial
|
|
|
3,745,572
|
|
|
|
21,758,510
|
|
|
|
2,239,839
|
|
|
|
23,264,243
|
|
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2018 (cont’d)
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Iowa:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Urbandale (Des Moines)
|
|
Industrial
|
|
$
|
310,000
|
|
|
$
|
2,213,644
|
|
|
$
|
1,211,364
|
|
|
$
|
1,312,280
|
|
Kansas:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Edwardsville (Kansas City) (Carlisle Tire)
|
|
Industrial
|
|
|
1,185,000
|
|
|
|
6,047,986
|
|
|
|
2,538,608
|
|
|
|
4,694,378
|
|
Edwardsville (Kansas City) (International Paper)
|
|
Industrial
|
|
|
2,750,000
|
|
|
|
15,544,108
|
|
|
|
2,001,778
|
|
|
|
16,292,330
|
|
Olathe (Kansas City)
|
|
Industrial
|
|
|
2,350,000
|
|
|
|
29,387,000
|
|
|
|
1,632,611
|
|
|
|
30,104,389
|
|
Topeka
|
|
Industrial
|
|
|
-0-
|
|
|
|
3,679,843
|
|
|
|
896,483
|
|
|
|
2,783,360
|
|
Kentucky:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Buckner (Louisville)
|
|
Industrial
|
|
|
2,280,000
|
|
|
|
24,527,852
|
|
|
|
3,114,323
|
|
|
|
23,693,529
|
|
Frankfort (Lexington)
|
|
Industrial
|
|
|
1,850,000
|
|
|
|
26,150,000
|
|
|
|
2,570,299
|
|
|
|
25,429,701
|
|
Louisville
|
|
Industrial
|
|
|
1,590,000
|
|
|
|
9,714,000
|
|
|
|
581,179
|
|
|
|
10,722,821
|
|
Louisiana:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Covington (New Orleans)
|
|
Industrial
|
|
|
2,720,000
|
|
|
|
15,690,000
|
|
|
|
1,139,872
|
|
|
|
17,270,128
|
|
Maryland:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beltsville (Washington, DC)
|
|
Industrial
|
|
|
3,200,000
|
|
|
|
11,312,355
|
|
|
|
4,151,339
|
|
|
|
10,361,016
|
|
Michigan:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Walker (Grand Rapids)
|
|
Industrial
|
|
|
4,034,363
|
|
|
|
27,620,623
|
|
|
|
1,062,332
|
|
|
|
30,592,654
|
|
Livonia (Detroit)
|
|
Industrial
|
|
|
320,000
|
|
|
|
13,442,030
|
|
|
|
2,046,869
|
|
|
|
11,715,161
|
|
Orion
|
|
Industrial
|
|
|
4,649,971
|
|
|
|
18,240,153
|
|
|
|
4,488,942
|
|
|
|
18,401,182
|
|
Romulus (Detroit)
|
|
Industrial
|
|
|
531,000
|
|
|
|
4,201,671
|
|
|
|
2,043,189
|
|
|
|
2,689,482
|
|
Minnesota:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stewartville (Rochester)
|
|
Industrial
|
|
|
900,000
|
|
|
|
4,320,000
|
|
|
|
553,846
|
|
|
|
4,666,154
|
|
Mississippi:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Olive Branch (Memphis, TN)(Anda Pharmaceuticals, Inc.)
|
|
Industrial
|
|
|
800,000
|
|
|
|
13,750,000
|
|
|
|
2,203,526
|
|
|
|
12,346,474
|
|
Olive Branch (Memphis, TN)(Milwaukee Tool)
|
|
Industrial
|
|
|
2,550,000
|
|
|
|
34,364,917
|
|
|
|
4,044,199
|
|
|
|
32,870,718
|
|
Richland (Jackson)
|
|
Industrial
|
|
|
211,000
|
|
|
|
1,689,691
|
|
|
|
982,066
|
|
|
|
918,625
|
|
Ridgeland (Jackson)
|
|
Industrial
|
|
|
218,000
|
|
|
|
1,667,254
|
|
|
|
1,313,173
|
|
|
|
572,081
|
|
Missouri:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Kansas City (Bunzl)
|
|
Industrial
|
|
|
1,000,000
|
|
|
|
8,980,250
|
|
|
|
885,643
|
|
|
|
9,094,607
|
|
Liberty (Kansas City)
|
|
Industrial
|
|
|
723,000
|
|
|
|
6,674,881
|
|
|
|
3,497,982
|
|
|
|
3,899,899
|
|
O’Fallon (St. Louis)
|
|
Industrial
|
|
|
264,000
|
|
|
|
3,981,913
|
|
|
|
2,361,768
|
|
|
|
1,884,145
|
|
St. Joseph
|
|
Industrial
|
|
|
800,000
|
|
|
|
12,563,648
|
|
|
|
5,452,138
|
|
|
|
7,911,510
|
|
Nebraska:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Omaha
|
|
Industrial
|
|
|
1,170,000
|
|
|
|
4,774,691
|
|
|
|
2,358,451
|
|
|
|
3,586,240
|
|
New Jersey:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlstadt (New York, NY)
|
|
Industrial
|
|
|
1,194,000
|
|
|
|
3,748,402
|
|
|
|
1,029,584
|
|
|
|
3,912,818
|
|
Somerset
|
|
Shopping Center
|
|
|
34,317
|
|
|
|
3,077,460
|
|
|
|
1,589,653
|
|
|
|
1,522,124
|
|
New York:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cheektowaga (Buffalo)
|
|
Industrial
|
|
|
4,796,765
|
|
|
|
6,164,058
|
|
|
|
1,851,798
|
|
|
|
9,109,025
|
|
Halfmoon (Albany)
|
|
Industrial
|
|
|
1,190,000
|
|
|
|
4,335,600
|
|
|
|
722,600
|
|
|
|
4,803,000
|
|
Hamburg (Buffalo)
|
|
Industrial
|
|
|
1,700,000
|
|
|
|
33,150,000
|
|
|
|
1,700,000
|
|
|
|
33,150,000
|
|
North Carolina:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concord (Charlotte)
|
|
Industrial
|
|
|
4,305,000
|
|
|
|
28,739,797
|
|
|
|
2,314,361
|
|
|
|
30,730,436
|
|
Concord (Charlotte)
|
|
Industrial
|
|
|
4,306,684
|
|
|
|
35,736,461
|
|
|
|
1,069,039
|
|
|
|
38,974,106
|
|
Fayetteville
|
|
Industrial
|
|
|
172,000
|
|
|
|
5,279,629
|
|
|
|
2,931,202
|
|
|
|
2,520,427
|
|
Winston-Salem
|
|
Industrial
|
|
|
980,000
|
|
|
|
6,266,326
|
|
|
|
2,617,877
|
|
|
|
4,628,449
|
|
Ohio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bedford Heights (Cleveland)
|
|
Industrial
|
|
|
990,000
|
|
|
|
5,929,836
|
|
|
|
1,893,515
|
|
|
|
5,026,321
|
|
Cincinnati
|
|
Industrial
|
|
|
800,000
|
|
|
|
5,950,000
|
|
|
|
470,406
|
|
|
|
6,279,594
|
|
Kenton
|
|
Industrial
|
|
|
854,780
|
|
|
|
17,026,827
|
|
|
|
454,776
|
|
|
|
17,426,831
|
|
Lebanon (Cincinnati)
|
|
Industrial
|
|
|
240,000
|
|
|
|
4,212,425
|
|
|
|
704,125
|
|
|
|
3,748,300
|
|
Monroe (Cincinnati)
|
|
Industrial
|
|
|
1,800,000
|
|
|
|
15,724,760
|
|
|
|
1,023,271
|
|
|
|
16,501,489
|
|
Richfield (Cleveland)
|
|
Industrial
|
|
|
2,676,848
|
|
|
|
13,770,330
|
|
|
|
3,083,114
|
|
|
|
13,364,064
|
|
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2018 (cont’d)
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stow
|
|
Industrial
|
|
$
|
1,429,715
|
|
|
$
|
17,504,350
|
|
|
$
|
448,829
|
|
|
$
|
18,485,236
|
|
Streetsboro (Cleveland)
|
|
Industrial
|
|
|
1,760,000
|
|
|
|
17,840,000
|
|
|
|
2,973,333
|
|
|
|
16,626,667
|
|
West Chester Twp. (Cincinnati)
|
|
Industrial
|
|
|
695,000
|
|
|
|
5,038,686
|
|
|
|
2,305,181
|
|
|
|
3,428,505
|
|
Oklahoma:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oklahoma City (FDX Ground)
|
|
Industrial
|
|
|
1,410,000
|
|
|
|
11,174,462
|
|
|
|
1,599,042
|
|
|
|
10,985,420
|
|
Oklahoma City (Bunzl)
|
|
Industrial
|
|
|
844,688
|
|
|
|
7,883,751
|
|
|
|
252,684
|
|
|
|
8,475,755
|
|
Oklahoma City (Amazon)
|
|
Industrial
|
|
|
1,618,240
|
|
|
|
28,260,702
|
|
|
|
603,861
|
|
|
|
29,275,081
|
|
Tulsa
|
|
Industrial
|
|
|
790,000
|
|
|
|
2,958,031
|
|
|
|
391,119
|
|
|
|
3,356,912
|
|
Pennsylvania:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Altoona
|
|
Industrial
|
|
|
1,200,000
|
|
|
|
7,822,966
|
|
|
|
986,269
|
|
|
|
8,036,697
|
|
Imperial (Pittsburgh)
|
|
Industrial
|
|
|
3,700,000
|
|
|
|
16,250,000
|
|
|
|
1,076,389
|
|
|
|
18,873,611
|
|
Monaca (Pittsburgh)
|
|
Industrial
|
|
|
401,716
|
|
|
|
7,508,950
|
|
|
|
2,957,471
|
|
|
|
4,953,195
|
|
South Carolina:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Aiken (Augusta, GA)
|
|
Industrial
|
|
|
1,362,458
|
|
|
|
19,677,937
|
|
|
|
630,703
|
|
|
|
20,409,692
|
|
Charleston (FDX)
|
|
Industrial
|
|
|
4,639,283
|
|
|
|
16,880,128
|
|
|
|
397,072
|
|
|
|
21,122,339
|
|
Charleston (FDX Ground)
|
|
Industrial
|
|
|
7,103,106
|
|
|
|
39,473,274
|
|
|
|
168,689
|
|
|
|
46,407,691
|
|
Ft. Mill (Charlotte, NC)
|
|
Industrial
|
|
|
1,746,822
|
|
|
|
15,327,214
|
|
|
|
2,654,658
|
|
|
|
14,419,378
|
|
Hanahan (Charleston)(SAIC)
|
|
Industrial
|
|
|
1,129,000
|
|
|
|
12,281,102
|
|
|
|
4,343,346
|
|
|
|
9,066,756
|
|
Hanahan (Charleston)(FDX Ground)
|
|
Industrial
|
|
|
930,000
|
|
|
|
6,684,653
|
|
|
|
2,071,138
|
|
|
|
5,543,515
|
|
Tennessee:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Chattanooga
|
|
Industrial
|
|
|
300,000
|
|
|
|
4,838,540
|
|
|
|
1,388,863
|
|
|
|
3,749,677
|
|
Lebanon (Nashville)
|
|
Industrial
|
|
|
2,230,000
|
|
|
|
11,985,126
|
|
|
|
2,151,164
|
|
|
|
12,063,962
|
|
Memphis
|
|
Industrial
|
|
|
1,234,987
|
|
|
|
13,380,000
|
|
|
|
2,916,162
|
|
|
|
11,698,825
|
|
Shelby County
|
|
Vacant Land
|
|
|
11,065
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
11,065
|
|
Texas:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carrollton (Dallas)
|
|
Industrial
|
|
|
1,500,000
|
|
|
|
16,319,203
|
|
|
|
3,555,283
|
|
|
|
14,263,920
|
|
Corpus Christi
|
|
Industrial
|
|
|
-0-
|
|
|
|
4,808,330
|
|
|
|
797,350
|
|
|
|
4,010,980
|
|
Edinburg
|
|
Industrial
|
|
|
1,000,000
|
|
|
|
11,039,014
|
|
|
|
1,472,631
|
|
|
|
10,566,383
|
|
El Paso
|
|
Industrial
|
|
|
3,225,195
|
|
|
|
9,205,997
|
|
|
|
1,977,282
|
|
|
|
10,453,910
|
|
Ft. Worth (Dallas)
|
|
Industrial
|
|
|
8,200,000
|
|
|
|
27,100,832
|
|
|
|
2,200,495
|
|
|
|
33,100,337
|
|
Houston
|
|
Industrial
|
|
|
1,661,120
|
|
|
|
6,502,158
|
|
|
|
1,440,389
|
|
|
|
6,722,889
|
|
Lindale (Tyler)
|
|
Industrial
|
|
|
540,000
|
|
|
|
9,425,550
|
|
|
|
966,498
|
|
|
|
8,999,052
|
|
Mesquite (Dallas)
|
|
Industrial
|
|
|
6,247,658
|
|
|
|
43,632,835
|
|
|
|
1,398,488
|
|
|
|
48,482,005
|
|
Spring (Houston)
|
|
Industrial
|
|
|
1,890,000
|
|
|
|
17,404,396
|
|
|
|
2,077,166
|
|
|
|
17,217,230
|
|
Waco
|
|
Industrial
|
|
|
1,350,000
|
|
|
|
11,201,368
|
|
|
|
1,498,728
|
|
|
|
11,052,640
|
|
Virginia:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charlottesville
|
|
Industrial
|
|
|
1,170,000
|
|
|
|
3,285,702
|
|
|
|
1,588,202
|
|
|
|
2,867,500
|
|
Mechanicsville (Richmond)
|
|
Industrial
|
|
|
1,160,000
|
|
|
|
6,632,395
|
|
|
|
3,007,443
|
|
|
|
4,784,952
|
|
Richmond
|
|
Industrial
|
|
|
446,000
|
|
|
|
4,322,309
|
|
|
|
1,545,670
|
|
|
|
3,222,639
|
|
Roanoke (CHEP USA)
|
|
Industrial
|
|
|
1,853,000
|
|
|
|
5,610,672
|
|
|
|
1,706,454
|
|
|
|
5,757,218
|
|
Roanoke (FDX Ground)
|
|
Industrial
|
|
|
1,740,000
|
|
|
|
8,460,000
|
|
|
|
1,147,885
|
|
|
|
9,052,115
|
|
Washington:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Burlington (Seattle/Everett)
|
|
Industrial
|
|
|
8,000,000
|
|
|
|
22,228,547
|
|
|
|
1,426,792
|
|
|
|
28,801,755
|
|
Wisconsin:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cudahy (Milwaukee)
|
|
Industrial
|
|
|
980,000
|
|
|
|
8,786,361
|
|
|
|
3,296,930
|
|
|
|
6,469,431
|
|
Green Bay
|
|
Industrial
|
|
|
590,000
|
|
|
|
5,980,000
|
|
|
|
766,667
|
|
|
|
5,803,333
|
|
Total as of September 30, 2018
|
|
|
|
$
|
224,719,083
|
|
|
$
|
1,494,859,336
|
|
|
$
|
207,065,634
|
|
|
$
|
1,512,512,785
|
|
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2017
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Alabama:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Huntsville
|
|
Industrial
|
|
$
|
748,115
|
|
|
$
|
5,913,696
|
|
|
$
|
1,092,730
|
|
|
$
|
5,569,081
|
|
Arizona:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tolleson (Phoenix)
|
|
Industrial
|
|
|
1,316,075
|
|
|
|
15,508,151
|
|
|
|
5,634,312
|
|
|
|
11,189,914
|
|
Colorado:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Colorado Springs (1)
|
|
Industrial
|
|
|
1,270,000
|
|
|
|
5,934,472
|
|
|
|
1,644,190
|
|
|
|
5,560,282
|
|
Colorado Springs
|
|
Industrial
|
|
|
2,150,000
|
|
|
|
26,350,000
|
|
|
|
900,855
|
|
|
|
27,599,145
|
|
Denver
|
|
Industrial
|
|
|
1,150,000
|
|
|
|
5,204,051
|
|
|
|
1,570,819
|
|
|
|
4,783,232
|
|
Connecticut:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Newington (Hartford)
|
|
Industrial
|
|
|
410,000
|
|
|
|
3,084,108
|
|
|
|
1,288,391
|
|
|
|
2,205,717
|
|
Florida:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cocoa
|
|
Industrial
|
|
|
1,881,316
|
|
|
|
12,246,133
|
|
|
|
2,435,695
|
|
|
|
11,691,754
|
|
Davenport (Orlando)
|
|
Industrial
|
|
|
7,060,000
|
|
|
|
30,720,000
|
|
|
|
918,974
|
|
|
|
36,861,026
|
|
Ft. Myers (Vacant) (1)
|
|
Industrial
|
|
|
1,910,000
|
|
|
|
3,107,448
|
|
|
|
1,057,915
|
|
|
|
3,959,533
|
|
Ft. Myers (FDX Ground)
|
|
Industrial
|
|
|
2,400,000
|
|
|
|
19,223,000
|
|
|
|
353,846
|
|
|
|
21,269,154
|
|
Homestead (Miami)
|
|
Industrial
|
|
|
4,426,727
|
|
|
|
33,446,393
|
|
|
|
214,400
|
|
|
|
37,658,720
|
|
Jacksonville (FDX)
|
|
Industrial
|
|
|
1,165,000
|
|
|
|
5,164,784
|
|
|
|
2,450,615
|
|
|
|
3,879,169
|
|
Jacksonville (FDX Ground)
|
|
Industrial
|
|
|
6,000,000
|
|
|
|
24,732,090
|
|
|
|
1,688,236
|
|
|
|
29,043,854
|
|
Lakeland
|
|
Industrial
|
|
|
261,000
|
|
|
|
1,721,532
|
|
|
|
525,151
|
|
|
|
1,457,381
|
|
Orlando
|
|
Industrial
|
|
|
2,200,000
|
|
|
|
6,354,432
|
|
|
|
1,636,085
|
|
|
|
6,918,347
|
|
Punta Gorda
|
|
Industrial
|
|
|
-0-
|
|
|
|
4,133,510
|
|
|
|
945,236
|
|
|
|
3,188,274
|
|
Tampa (FDX Ground)
|
|
Industrial
|
|
|
5,000,000
|
|
|
|
14,696,227
|
|
|
|
4,544,868
|
|
|
|
15,151,359
|
|
Tampa (FDX)
|
|
Industrial
|
|
|
2,830,000
|
|
|
|
4,789,924
|
|
|
|
1,383,938
|
|
|
|
6,235,986
|
|
Tampa (Tampa Bay Grand Prix)
|
|
Industrial
|
|
|
1,867,000
|
|
|
|
3,810,982
|
|
|
|
1,043,048
|
|
|
|
4,634,934
|
|
Georgia:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Augusta (FDX Ground)
|
|
Industrial
|
|
|
614,406
|
|
|
|
4,748,899
|
|
|
|
1,385,556
|
|
|
|
3,977,749
|
|
Augusta (FDX)
|
|
Industrial
|
|
|
380,000
|
|
|
|
1,597,779
|
|
|
|
415,251
|
|
|
|
1,562,528
|
|
Griffin (Atlanta)
|
|
Industrial
|
|
|
760,000
|
|
|
|
14,108,857
|
|
|
|
4,128,872
|
|
|
|
10,739,985
|
|
Illinois:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Burr Ridge (Chicago)
|
|
Industrial
|
|
|
270,000
|
|
|
|
1,422,901
|
|
|
|
698,725
|
|
|
|
994,176
|
|
Elgin (Chicago)
|
|
Industrial
|
|
|
1,280,000
|
|
|
|
5,697,442
|
|
|
|
2,284,344
|
|
|
|
4,693,098
|
|
Granite City (St. Louis, MO)
|
|
Industrial
|
|
|
340,000
|
|
|
|
12,357,848
|
|
|
|
4,834,280
|
|
|
|
7,863,568
|
|
Montgomery (Chicago)
|
|
Industrial
|
|
|
2,000,000
|
|
|
|
9,298,367
|
|
|
|
2,522,213
|
|
|
|
8,776,154
|
|
Rockford (Collins Aerospace Systems)
|
|
Industrial
|
|
|
480,000
|
|
|
|
4,620,000
|
|
|
|
355,385
|
|
|
|
4,744,615
|
|
Rockford (Sherwin-Williams Co.)
|
|
Industrial
|
|
|
1,100,000
|
|
|
|
4,451,227
|
|
|
|
744,286
|
|
|
|
4,806,941
|
|
Sauget (St. Louis, MO)
|
|
Industrial
|
|
|
1,890,000
|
|
|
|
13,314,950
|
|
|
|
1,024,382
|
|
|
|
14,180,568
|
|
Schaumburg (Chicago)
|
|
Industrial
|
|
|
1,039,800
|
|
|
|
4,138,140
|
|
|
|
2,159,563
|
|
|
|
3,018,377
|
|
Wheeling (Chicago)
|
|
Industrial
|
|
|
5,112,120
|
|
|
|
13,425,532
|
|
|
|
4,079,587
|
|
|
|
14,458,065
|
|
Indiana:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greenwood (Indianapolis)
|
|
Industrial
|
|
|
2,250,000
|
|
|
|
35,262,071
|
|
|
|
2,186,221
|
|
|
|
35,325,850
|
|
Indianapolis
|
|
Industrial
|
|
|
3,739,030
|
|
|
|
21,267,342
|
|
|
|
1,657,124
|
|
|
|
23,349,248
|
|
Iowa:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Urbandale (Des Moines)
|
|
Industrial
|
|
|
310,000
|
|
|
|
1,946,613
|
|
|
|
1,144,794
|
|
|
|
1,111,819
|
|
Kansas:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Edwardsville (Kansas City) (Carlisle Tire)
|
|
Industrial
|
|
|
1,185,000
|
|
|
|
6,047,986
|
|
|
|
2,358,818
|
|
|
|
4,874,168
|
|
Edwardsville (Kansas City) (International Paper)
|
|
Industrial
|
|
|
2,750,000
|
|
|
|
15,544,108
|
|
|
|
1,587,164
|
|
|
|
16,706,944
|
|
Olathe (Kansas City)
|
|
Industrial
|
|
|
2,350,000
|
|
|
|
29,387,000
|
|
|
|
879,098
|
|
|
|
30,857,902
|
|
Topeka
|
|
Industrial
|
|
|
-0-
|
|
|
|
3,679,843
|
|
|
|
802,124
|
|
|
|
2,877,719
|
|
Kentucky:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Buckner (Louisville)
|
|
Industrial
|
|
|
2,280,000
|
|
|
|
24,527,852
|
|
|
|
2,472,411
|
|
|
|
24,335,441
|
|
Frankfort (Lexington)
|
|
Industrial
|
|
|
1,850,000
|
|
|
|
26,150,000
|
|
|
|
1,899,786
|
|
|
|
26,100,214
|
|
Louisville
|
|
Industrial
|
|
|
1,590,000
|
|
|
|
9,714,000
|
|
|
|
332,103
|
|
|
|
10,971,897
|
|
Louisiana:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Covington (New Orleans)
|
|
Industrial
|
|
|
2,720,000
|
|
|
|
15,690,000
|
|
|
|
737,564
|
|
|
|
17,672,436
|
|
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2017 (cont’d)
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Maryland:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beltsville (Washington, DC)
|
|
Industrial
|
|
$
|
3,200,000
|
|
|
$
|
11,312,355
|
|
|
$
|
3,843,707
|
|
|
$
|
10,668,648
|
|
Michigan:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Walker (Grand Rapids)
|
|
Industrial
|
|
|
4,034,363
|
|
|
|
27,620,623
|
|
|
|
354,111
|
|
|
|
31,300,875
|
|
Livonia (Detroit)
|
|
Industrial
|
|
|
320,000
|
|
|
|
13,442,030
|
|
|
|
1,698,607
|
|
|
|
12,063,423
|
|
Orion
|
|
Industrial
|
|
|
4,649,971
|
|
|
|
18,235,665
|
|
|
|
4,019,239
|
|
|
|
18,866,397
|
|
Romulus (Detroit)
|
|
Industrial
|
|
|
531,000
|
|
|
|
4,136,506
|
|
|
|
1,922,903
|
|
|
|
2,744,603
|
|
Minnesota:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stewartville (Rochester)
|
|
Industrial
|
|
|
900,000
|
|
|
|
4,320,000
|
|
|
|
443,077
|
|
|
|
4,776,923
|
|
Mississippi:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Olive Branch (Memphis, TN)(Anda Pharmaceuticals, Inc.)
|
|
Industrial
|
|
|
800,000
|
|
|
|
13,750,000
|
|
|
|
1,850,962
|
|
|
|
12,699,038
|
|
Olive Branch (Memphis, TN)(Milwaukee Tool)
|
|
Industrial
|
|
|
2,550,000
|
|
|
|
34,364,917
|
|
|
|
3,159,783
|
|
|
|
33,755,134
|
|
Richland (Jackson)
|
|
Industrial
|
|
|
211,000
|
|
|
|
1,689,691
|
|
|
|
904,133
|
|
|
|
996,558
|
|
Ridgeland (Jackson)
|
|
Industrial
|
|
|
218,000
|
|
|
|
1,640,591
|
|
|
|
1,246,001
|
|
|
|
612,590
|
|
Missouri:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Kansas City (Bunzl)
|
|
Industrial
|
|
|
1,000,000
|
|
|
|
8,651,226
|
|
|
|
646,520
|
|
|
|
9,004,706
|
|
Kansas City (Kellogg) (1)
|
|
Industrial
|
|
|
660,000
|
|
|
|
4,140,474
|
|
|
|
1,147,694
|
|
|
|
3,652,780
|
|
Liberty (Kansas City)
|
|
Industrial
|
|
|
723,000
|
|
|
|
6,674,881
|
|
|
|
3,325,236
|
|
|
|
4,072,645
|
|
O’Fallon (St. Louis)
|
|
Industrial
|
|
|
264,000
|
|
|
|
3,981,913
|
|
|
|
2,228,921
|
|
|
|
2,016,992
|
|
St. Joseph
|
|
Industrial
|
|
|
800,000
|
|
|
|
12,489,270
|
|
|
|
5,101,907
|
|
|
|
8,187,363
|
|
Nebraska:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Omaha
|
|
Industrial
|
|
|
1,170,000
|
|
|
|
4,774,691
|
|
|
|
2,233,901
|
|
|
|
3,710,790
|
|
New Jersey:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlstadt (New York, NY)
|
|
Industrial
|
|
|
1,194,000
|
|
|
|
3,709,589
|
|
|
|
939,584
|
|
|
|
3,964,005
|
|
Somerset
|
|
Shopping Center
|
|
|
34,317
|
|
|
|
3,038,573
|
|
|
|
1,494,297
|
|
|
|
1,578,593
|
|
New York:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cheektowaga (Buffalo)
|
|
Industrial
|
|
|
4,796,765
|
|
|
|
6,164,058
|
|
|
|
1,692,362
|
|
|
|
9,268,461
|
|
Halfmoon (Albany)
|
|
Industrial
|
|
|
1,190,000
|
|
|
|
4,335,600
|
|
|
|
611,431
|
|
|
|
4,914,169
|
|
Hamburg (Buffalo)
|
|
Industrial
|
|
|
1,700,000
|
|
|
|
33,150,000
|
|
|
|
850,000
|
|
|
|
34,000,000
|
|
Orangeburg (New York) (1)
|
|
Industrial
|
|
|
694,720
|
|
|
|
3,200,955
|
|
|
|
2,436,637
|
|
|
|
1,459,038
|
|
North Carolina:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concord (Charlotte)
|
|
Industrial
|
|
|
4,305,000
|
|
|
|
28,739,797
|
|
|
|
1,471,238
|
|
|
|
31,573,559
|
|
Concord (Charlotte)
|
|
Industrial
|
|
|
4,306,684
|
|
|
|
35,736,461
|
|
|
|
152,720
|
|
|
|
39,890,425
|
|
Fayetteville
|
|
Industrial
|
|
|
172,000
|
|
|
|
5,279,629
|
|
|
|
2,698,223
|
|
|
|
2,753,406
|
|
Winston-Salem
|
|
Industrial
|
|
|
980,000
|
|
|
|
6,258,613
|
|
|
|
2,401,589
|
|
|
|
4,837,024
|
|
Ohio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bedford Heights (Cleveland)
|
|
Industrial
|
|
|
990,000
|
|
|
|
5,929,836
|
|
|
|
1,707,394
|
|
|
|
5,212,442
|
|
Cincinnati
|
|
Industrial
|
|
|
800,000
|
|
|
|
5,950,000
|
|
|
|
317,842
|
|
|
|
6,432,158
|
|
Kenton
|
|
Industrial
|
|
|
854,780
|
|
|
|
17,026,827
|
|
|
|
18,188
|
|
|
|
17,863,419
|
|
Lebanon (Cincinnati)
|
|
Industrial
|
|
|
240,000
|
|
|
|
4,212,425
|
|
|
|
594,620
|
|
|
|
3,857,805
|
|
Monroe (Cincinnati)
|
|
Industrial
|
|
|
1,800,000
|
|
|
|
11,137,000
|
|
|
|
737,707
|
|
|
|
12,199,293
|
|
Richfield (Cleveland)
|
|
Industrial
|
|
|
2,676,848
|
|
|
|
13,758,630
|
|
|
|
2,728,544
|
|
|
|
13,706,934
|
|
Stow
|
|
Industrial
|
|
|
1,429,715
|
|
|
|
17,504,350
|
|
|
|
-0-
|
|
|
|
18,934,065
|
|
Streetsboro (Cleveland)
|
|
Industrial
|
|
|
1,760,000
|
|
|
|
17,840,000
|
|
|
|
2,515,897
|
|
|
|
17,084,103
|
|
West Chester Twp. (Cincinnati)
|
|
Industrial
|
|
|
695,000
|
|
|
|
5,038,686
|
|
|
|
2,125,801
|
|
|
|
3,607,885
|
|
Oklahoma:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oklahoma City (FDX Ground)
|
|
Industrial
|
|
|
1,410,000
|
|
|
|
11,174,462
|
|
|
|
1,306,735
|
|
|
|
11,277,727
|
|
Oklahoma City (Bunzl)
|
|
Industrial
|
|
|
844,688
|
|
|
|
7,883,751
|
|
|
|
50,537
|
|
|
|
8,677,902
|
|
Tulsa
|
|
Industrial
|
|
|
790,000
|
|
|
|
2,958,031
|
|
|
|
309,194
|
|
|
|
3,438,837
|
|
Pennsylvania:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Altoona
|
|
Industrial
|
|
|
1,200,000
|
|
|
|
7,808,650
|
|
|
|
784,660
|
|
|
|
8,223,990
|
|
Imperial (Pittsburgh)
|
|
Industrial
|
|
|
3,700,000
|
|
|
|
16,250,000
|
|
|
|
659,722
|
|
|
|
19,290,278
|
|
Monaca (Pittsburgh)
|
|
Industrial
|
|
|
401,716
|
|
|
|
7,484,125
|
|
|
|
2,642,181
|
|
|
|
5,243,660
|
|
|
|
Property
|
|
|
|
|
Buildings &
|
|
|
Accumulated
|
|
|
Net Book
|
|
SEPTEMBER 30, 2017 (cont’d)
|
|
Type
|
|
Land
|
|
|
Improvements
|
|
|
Depreciation
|
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
South Carolina:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Aiken (Augusta, GA)
|
|
Industrial
|
|
$
|
1,362,458
|
|
|
$
|
19,677,937
|
|
|
$
|
126,141
|
|
|
$
|
20,914,254
|
|
Ft. Mill (Charlotte, NC)
|
|
Industrial
|
|
|
1,670,000
|
|
|
|
13,743,307
|
|
|
|
2,302,265
|
|
|
|
13,111,042
|
|
Hanahan (Charleston)(SAIC)
|
|
Industrial
|
|
|
1,129,000
|
|
|
|
12,245,441
|
|
|
|
3,961,769
|
|
|
|
9,412,672
|
|
Hanahan (Charleston)(FDX Ground)
|
|
Industrial
|
|
|
930,000
|
|
|
|
6,684,653
|
|
|
|
1,897,664
|
|
|
|
5,716,989
|
|
Tennessee:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Chattanooga
|
|
Industrial
|
|
|
300,000
|
|
|
|
4,716,518
|
|
|
|
1,262,219
|
|
|
|
3,754,299
|
|
Lebanon (Nashville)
|
|
Industrial
|
|
|
2,230,000
|
|
|
|
11,985,126
|
|
|
|
1,843,853
|
|
|
|
12,371,273
|
|
Memphis
|
|
Industrial
|
|
|
1,240,887
|
|
|
|
13,381,050
|
|
|
|
2,573,085
|
|
|
|
12,048,852
|
|
Shelby County
|
|
Vacant Land
|
|
|
11,065
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
11,065
|
|
Texas:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carrollton (Dallas)
|
|
Industrial
|
|
|
1,500,000
|
|
|
|
16,319,203
|
|
|
|
3,130,523
|
|
|
|
14,688,680
|
|
Corpus Christi
|
|
Industrial
|
|
|
-0-
|
|
|
|
4,771,913
|
|
|
|
672,040
|
|
|
|
4,099,873
|
|
Edinburg
|
|
Industrial
|
|
|
1,000,000
|
|
|
|
11,039,014
|
|
|
|
1,188,983
|
|
|
|
10,850,031
|
|
El Paso
|
|
Industrial
|
|
|
3,225,195
|
|
|
|
9,205,997
|
|
|
|
1,709,714
|
|
|
|
10,721,478
|
|
Ft. Worth (Dallas)
|
|
Industrial
|
|
|
8,200,000
|
|
|
|
27,100,832
|
|
|
|
1,505,602
|
|
|
|
33,795,230
|
|
Houston
|
|
Industrial
|
|
|
1,661,120
|
|
|
|
6,487,338
|
|
|
|
1,248,713
|
|
|
|
6,899,745
|
|
Lindale (Tyler)
|
|
Industrial
|
|
|
540,000
|
|
|
|
9,396,500
|
|
|
|
722,416
|
|
|
|
9,214,084
|
|
Mesquite (Dallas)
|
|
Industrial
|
|
|
6,247,658
|
|
|
|
43,632,835
|
|
|
|
279,698
|
|
|
|
49,600,795
|
|
Spring (Houston)
|
|
Industrial
|
|
|
1,890,000
|
|
|
|
17,393,798
|
|
|
|
1,629,658
|
|
|
|
17,654,140
|
|
Waco
|
|
Industrial
|
|
|
1,350,000
|
|
|
|
11,201,368
|
|
|
|
1,210,344
|
|
|
|
11,341,024
|
|
Virginia:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charlottesville
|
|
Industrial
|
|
|
1,170,000
|
|
|
|
3,186,988
|
|
|
|
1,489,266
|
|
|
|
2,867,722
|
|
Mechanicsville (Richmond)
|
|
Industrial
|
|
|
1,160,000
|
|
|
|
6,625,011
|
|
|
|
2,824,533
|
|
|
|
4,960,478
|
|
Richmond
|
|
Industrial
|
|
|
446,000
|
|
|
|
4,322,309
|
|
|
|
1,409,820
|
|
|
|
3,358,489
|
|
Roanoke (CHEP USA)
|
|
Industrial
|
|
|
1,853,000
|
|
|
|
5,552,447
|
|
|
|
1,516,288
|
|
|
|
5,889,159
|
|
Roanoke (FDX Ground)
|
|
Industrial
|
|
|
1,740,000
|
|
|
|
8,460,000
|
|
|
|
930,962
|
|
|
|
9,269,038
|
|
Washington:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Burlington (Seattle/Everett)
|
|
Industrial
|
|
|
8,000,000
|
|
|
|
22,228,547
|
|
|
|
855,500
|
|
|
|
29,373,047
|
|
Wisconsin:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cudahy (Milwaukee)
|
|
Industrial
|
|
|
980,000
|
|
|
|
8,402,361
|
|
|
|
3,075,370
|
|
|
|
6,306,991
|
|
Green Bay
|
|
Industrial
|
|
|
590,000
|
|
|
|
5,980,000
|
|
|
|
613,333
|
|
|
|
5,956,667
|
|
Total as of September 30, 2017
|
|
|
|
$
|
191,759,539
|
|
|
$
|
1,261,075,064
|
|
|
$
|
177,372,519
|
|
|
$
|
1,275,462,084
|
|
(1)
|
Classified
as Real Estate Held for Sale.
|
NOTE
3 – ACQUISITIONS, EXPANSIONS AND DISPOSITIONS
Fiscal
2018 Acquisitions accounted for as asset acquisitions
On
November 2, 2017, we purchased a newly constructed 121,683 square foot industrial building, situated on 16.2 acres, located in
Charleston, SC. The building is 100% net-leased to FedEx Corporation (FDX), for 15 years through August 2032. The purchase price
was $21,872,170. We obtained a 15 year fully-amortizing mortgage loan of $14,200,000 at a fixed interest rate of 4.23%. Annual
rental revenue over the remaining term of the lease averages approximately $1,315,000.
On
November 30, 2017, we purchased a newly constructed 300,000 square foot industrial building, situated on 123.0 acres, located
in Oklahoma City, OK. The building is 100% net-leased to Amazon.com Services, Inc. for 10 years through October 2027. The lease
is guaranteed by Amazon.com, Inc. The purchase price was $30,250,000. We obtained a 10 year mortgage loan, amortizing over 18
years, of $19,600,000 at a fixed interest rate of 3.64%. Annual rental revenue over the remaining term of the lease averages approximately
$1,884,000.
On
January 22, 2018, we purchased a newly constructed 831,764 square foot industrial building, situated on 62.4 acres, located in
Savannah, GA. The building is 100% net-leased to Shaw Industries, Inc. for 10 years through September 2027. The purchase price
was $57,483,636. We obtained a 14 year fully-amortizing mortgage loan of $33,300,000 at a fixed interest rate of 3.53%. Annual
rental revenue over the remaining term of the lease averages approximately $3,551,000.
On
April 6, 2018, we purchased a newly constructed 399,440 square foot industrial building, situated on 27.5 acres, located in Daytona
Beach, FL. The building is 100% net-leased to B. Braun Medical Inc. for 10 years through April 2028. The purchase price was $30,750,540.
We obtained a 15 year fully-amortizing mortgage loan of $19,500,000 at a fixed interest rate of 4.25%. Annual rental revenue over
the remaining term of the lease averages approximately $2,130,000.
On
June 28, 2018, we purchased a newly constructed 362,942 square foot industrial building, situated on 31.3 acres, located in Mobile,
AL. The building is 100% net-leased to Amazon.com Services, Inc. for 11 years through November 2028. The lease is guaranteed by
Amazon.com, Inc. The purchase price was $33,688,276. We obtained a 14 year fully-amortizing mortgage loan of $19,000,000 at a
fixed interest rate of 4.14%. Annual rental revenue over the remaining term of the lease averages approximately $2,020,000.
On
August 15, 2018, we purchased a newly constructed 265,318 square foot industrial building, situated on 48.9 acres, located in
Charleston, SC. The building is 100% net-leased to FedEx Ground Package System, Inc. for 15 years through June 2033. The purchase
price was $47,174,296. We obtained a 15 year fully-amortizing mortgage loan of $29,860,000 at a fixed interest rate of 3.82%.
Annual rental revenue over the remaining term of the lease averages approximately $2,713,000.
On
September 6, 2018, we purchased a newly constructed 373,750 square foot industrial building, situated on 92.6 acres, located in
Braselton, GA which is in the Atlanta Metropolitan Statistical Area (MSA). The building is 100% net-leased to FedEx Ground Package
System, Inc. for 15 years through February 2033. The purchase price was $61,113,264. We obtained a 15 year fully-amortizing mortgage
loan of $39,700,000 at a fixed interest rate of 4.02%. Annual rental revenue over the remaining term of the lease averages approximately
$3,801,000.
We
evaluated the property acquisitions which took place during the twelve months ended September 30, 2018, to determine whether an
integrated set of assets and activities meets the definition of a business, pursuant to ASU 2017-01. Acquisitions that do not
meet the definition of a business are accounted for as asset acquisitions. Accordingly, we accounted for all seven properties
purchased during fiscal 2018 as asset acquisitions and allocated the total cash consideration, including transaction costs of
approximately $1,071,000, to the individual assets acquired on a relative fair value basis. There were no liabilities assumed
in these acquisitions. The financial information set forth below summarizes our purchase price allocation for these seven properties
acquired during the fiscal year 2018 that were accounted for as asset acquisitions:
Land
|
|
$
|
37,330,383
|
|
Building
|
|
|
239,890,739
|
|
In-Place Leases
|
|
|
6,181,731
|
|
The
following table summarizes the operating results included in our consolidated statements of income for the fiscal year ended September
30, 2018 for the seven properties acquired during the twelve months ended September 30, 2018:
|
|
Year Ended
9/30/2018
|
|
|
|
|
|
Rental Revenues
|
|
$
|
7,429,989
|
|
Net Income Attributable to Common Shareholders
|
|
|
2,131,150
|
|
FedEx
Ground Package System, Inc.’s ultimate parent, FDX, Amazon.com, Inc. and Shaw Industries, Inc.’s ultimate parent,
Berkshire Hathaway, Inc. are publicly-owned companies and financial information related to these entities is available at the
SEC’s website,
www.sec.gov.
The references in this report to the SEC’s website are not intended to and do not
include, or incorporate by reference into this report, the information on the
www.sec.gov
website.
Fiscal
2018 Expansions
On
November 1, 2017, a parking lot expansion for a property leased to FedEx Ground Package System, Inc., located in Indianapolis,
IN was completed for a total project cost of approximately $1,683,000, resulting in a new 10 year lease which extended the prior
lease expiration date from April 2024 to October 2027. In addition, the expansion resulted in an increase in annual rent effective
from the date of completion of approximately $184,000 from approximately $1,533,000, or $4.67 per square foot, to approximately
$1,715,000, or $5.23 per square foot.
On
September 27, 2018, a parking lot expansion for a property leased to FedEx Ground Package System, Inc., located in Ft. Mill, SC
was completed for a total project cost of approximately $1,834,000, resulting in a new 10 year lease which extended the prior
lease expiration date from October 2023 to August 2028. In addition, the expansion resulted in an increase in annual rent effective
from the date of completion of approximately $183,000 from approximately $1,415,000, or $8.00 per square foot, to approximately
$1,598,000, or $9.03 per square foot.
Fiscal
2018 Dispositions
Two
leases were set to expire during fiscal 2018 with Kellogg Sales Company (Kellogg) for our 65,067 square foot facility located
in Kansas City, MO through July 31, 2018 and our 50,400 square foot facility located in Orangeburg, NY through February 28, 2018.
Kellogg informed us that they would not be renewing these leases. On December 18, 2017, we sold our property located in Kansas
City, MO for $4,900,000, with net sale proceeds of approximately $4,602,000 and, on December 22, 2017, we sold our property located
in Orangeburg, NY for $6,170,000, with net sale proceeds of approximately $5,898,000. In conjunction with the sale of these two
properties, we simultaneously entered into a lease termination agreement for each property whereby we received a termination fee
from Kellogg totaling approximately $210,000 which represents a weighted average of 80% of the then remaining rent due under each
respective lease.
On
June 1, 2018, we sold a 68,370 square foot building located in Colorado Springs, CO for $5,800,000, with net sale proceeds of
approximately $5,465,000. Prior to the sale of this property, it was leased to FedEx Ground Package System, Inc. through September
2018. The tenant informed us that they would not be renewing this lease because they have moved their operations from our former
68,370 square foot facility to our newly constructed 225,362 square foot facility, which is also located in Colorado Springs,
CO. On June 9, 2016, we purchased this newly constructed 225,362 square foot industrial building, which is leased to FedEx Ground
Package System, Inc. for 10 years through January 2026.
On
June 5, 2018, we sold an 87,500 square foot vacant building located in Ft. Myers, FL for $6,400,000, with net sale proceeds of
approximately $6,119,000. Prior to this property becoming vacant, it was leased to FedEx Ground Package System, Inc. through June
2017. FedEx Ground Package System, Inc. vacated this property because they moved their operations to our newly constructed 213,672
square foot facility, which is also located in Ft. Myers, FL. We purchased this newly constructed facility on December 30, 2016
and it is leased to FedEx Ground Package System, Inc. for 10 years through August 2027.
These
four properties sold during fiscal 2018, resulted in a U.S. GAAP net realized gain of approximately $7,485,000, representing a
51% gain over the depreciated U.S. GAAP basis and a net realized gain over our historic undepreciated cost basis of approximately
$1,160,000, representing a 6% net gain over our historic undepreciated cost basis.
Fiscal
2017 Acquisitions accounted for as business combinations
On
October 17, 2016, we purchased a newly constructed 338,584 square foot industrial building located in Hamburg, NY, which is in
the Buffalo MSA. The building is 100% net-leased to FedEx Ground Package System, Inc. for 15 years through March 2031. The purchase
price was $35,100,000. We obtained a 15 year fully-amortizing mortgage loan of $23,500,000 at a fixed interest rate of 4.03%.
Annual rental revenue over the remaining term of the lease averages approximately $2,309,000. In connection with the acquisition,
we completed our evaluation of the acquired lease. As a result of our evaluation, we allocated $250,000 to an Intangible Asset
associated with the lease in-place.
On
December 30, 2016, we purchased a newly constructed 213,672 square foot industrial building located in Ft. Myers, FL. The building
is 100% net-leased to FedEx Ground Package System, Inc. for 10 years through September 2026. The purchase price was $21,001,538.
We obtained a 15 year fully-amortizing mortgage loan of $14,500,000 at a fixed interest rate of 3.97%. Annual rental revenue over
the remaining term of the lease averages approximately $1,365,000. In connection with the acquisition, we completed our evaluation
of the acquired lease. As a result of our evaluation, we allocated $201,538 to an Intangible Asset associated with the lease in-place.
On September 1, 2017, a parking lot expansion for this property was completed for a cost of approximately $862,000, resulting
in a new 10 year lease which extended the prior lease expiration date from September 2026 to August 2027. In addition, the expansion
resulted in an increase in annual rent effective from the date of completion of approximately $53,000 from approximately $1,365,000
to approximately $1,418,000.
Fiscal
2017 Acquisitions accounted for as asset acquisitions
On
April 5, 2017, we purchased a newly constructed 343,483 square foot industrial building located in Walker, MI, which is in the
Grand Rapids MSA. The building is 100% net-leased to FedEx Ground Package System, Inc. for 15 years through January 2032. The
purchase price was $32,120,000. We obtained a 15 year fully-amortizing mortgage loan of $20,875,000 at a fixed interest rate of
3.86%. Annual rental revenue over the remaining term of the lease averages approximately $2,102,000.
On
June 23, 2017, we purchased a newly constructed 351,874 square foot industrial building located in Mesquite, TX, which is in the
Dallas MSA. The building is 100% net-leased to FedEx Ground Package System, Inc. for 15 years through March 2032. The purchase
price was $50,621,072. We obtained a 15 year fully-amortizing mortgage loan of $32,900,000 at a fixed interest rate of 3.60%.
Annual rental revenue over the remaining term of the lease averages approximately $3,194,000.
On
June 27, 2017, we purchased a newly constructed 315,560 square foot industrial building located in Aiken, SC, which is in the
Augusta, GA MSA. The building is 100% net-leased to Autoneum North America, Inc. for 15 years through April 2032. The purchase
price was $21,933,000. We obtained a 15 year fully-amortizing mortgage loan of $15,350,000 at a fixed interest rate of 4.20%.
Annual rental revenue over the remaining term of the lease averages approximately $1,700,000.
On
June 28, 2017, we purchased a newly-constructed 237,756 square foot industrial building located in Homestead, FL, which is in
the Miami MSA. The building is 100% net leased to FedEx Ground Package System, Inc. for 15 years through March 2032. The purchase
price was $38,347,933. We obtained a 15 year fully-amortizing mortgage loan of $24,800,000 at a fixed interest rate of 3.60%.
Annual rental revenue over the remaining term of the lease averages approximately $2,282,000.
On
June 29, 2017, we purchased a newly constructed 110,361 square foot industrial building located in Oklahoma City, OK. The building
is 100% net-leased to Bunzl Distribution Oklahoma, Inc. for seven years through August 2024. The purchase price was $9,000,000.
We obtained a 12 year fully-amortizing mortgage loan of $6,000,000 at a fixed interest rate of 4.125%. Annual rental revenue over
the remaining term of the lease averages approximately $721,000.
On
August 3, 2017, we purchased a newly constructed 354,482 square foot industrial building located in Concord, NC which is in the
Charlotte MSA. The building is 100% net leased to FedEx Ground Package System, Inc. for 15 years through May 2032. The purchase
price was $40,598,446. We obtained a 15 year fully-amortizing mortgage loan of $26,184,000 at a fixed interest rate of 3.80%.
Annual rental revenue over the remaining term of the lease averages approximately $2,537,000.
On
September 19, 2017, we purchased a newly constructed 298,472 square foot industrial building located in Kenton, OH. The building
is 100% net leased to International Paper Company for 10 years through August 2027. The purchase price was $18,299,032. We obtained
a 15 year fully-amortizing mortgage loan of $12,000,000 at a fixed interest rate of 4.45%. Annual rental revenue over the remaining
term of the lease averages approximately $1,243,000.
On
September 29, 2017, we purchased a newly constructed 219,765 square foot industrial building located in Stow, OH. The building
is 100% net leased to Mickey Thompson Performance Tires and Wheels for 10 years through August 2027. The purchase price was $19,500,000.
We obtained a 15 year fully-amortizing mortgage loan of $12,700,000 at a fixed interest rate of 4.17%. Annual rental revenue over
the remaining term of the lease averages approximately $1,500,000.
We
evaluated the property acquisitions which took place subsequent to March 31, 2017, under the new framework for determining whether
an integrated set of assets and activities meets the definition of a business, pursuant to ASU 2017-01, which we early-adopted
effective April 1, 2017.
Acquisitions
that do not meet the definition of a business are accounted for as asset acquisitions. Accordingly, we accounted for the properties
purchased in Walker (Grand Rapids), MI; Mesquite (Dallas), TX; Aiken (Augusta, GA), SC; Homestead (Miami), FL; Oklahoma City,
OK; Concord (Charlotte), NC; Kenton, OH and Stow, OH as asset acquisitions and allocated the total cash consideration, including
transaction costs of approximately $431,000, to the individual assets acquired on a relative fair value basis. There were no liabilities
assumed in these acquisitions. The financial information set forth below summarizes our purchase price allocation for these eight
properties acquired during the year ended September 30, 2017 that are accounted for as asset acquisitions:
Land
|
|
$
|
23,507,073
|
|
Building
|
|
|
202,529,177
|
|
In-Place Leases
|
|
|
4,814,192
|
|
The
following table summarizes the operating results included in our consolidated statements of income for the years ended September
30, 2017 for the properties acquired during the year ended September 30, 2017:
|
|
Year Ended
9/30/2017
|
|
Rental Revenues
|
|
$
|
7,086,464
|
|
Net Income Attributable to Common Shareholders
|
|
|
2,156,885
|
|
FedEx
Ground Package System, Inc.’s ultimate parent, FDX, International Paper Company and Mickey Thompson Performance Tires and
Wheels ultimate parent, Cooper Tire & Rubber Company are publicly-owned companies and financial information related to these
entities is available at the SEC’s website,
www.sec.gov
. Autoneum North America, Inc.’s ultimate parent, Autoneum
Holding AG is a publicly-owned company and financial information related to this entity is available at the Swiss Exchange’s
website, https://www.six-swiss-exchange.com/index.html and Bunzl Distribution Oklahoma, Inc.’s ultimate parent, Bunzl plc
is a publicly-owned company and financial information related to this entity is available at the U.K. government’s website,
https://www.gov.uk/government/organisations/companies-house. The references in this report to the SEC’s website, the Swiss
Exchange’s website and the U.K. government’s website are not intended to and do not include or incorporate by reference
into this report the information on those websites.
2017
Expansions
On
October 1, 2016, a 50,625 square foot expansion of the building leased to FedEx Ground Package System, Inc. located in Edinburg,
TX was completed for a cost of approximately $4,762,000, resulting in a new 10 year lease, which extended the prior lease expiration
date from September 2021 to September 2026. In addition, the expansion resulted in an increase in annual rent effective from the
date of completion of approximately $499,000 from approximately $598,000, or $5.26 per square foot, to approximately $1,097,000,
or $6.68 per square foot.
As
discussed above, on September 1, 2017, a parking lot expansion for a property leased to FedEx Ground Package System, Inc. located
in Ft. Myers, FL was completed for a cost of approximately $862,000, resulting in a new 10 year lease which extended the prior
lease expiration date from September 2026 to August 2027. In addition, the expansion resulted in an increase in annual rent effective
from the date of completion of approximately $53,000 from approximately $1,365,000, or $6.39 per square foot to approximately
$1,418,000, or $6.64 per square foot.
2017
Disposition
During
the prior year, in October 2016, we sold our 59,425 square foot industrial building situated on 4.78 acres located in White Bear
Lake, MN for net proceeds of approximately $4,126,000, which was approximately our carrying value.
Consolidated
Statements of Income for the three fiscal years ended September 30, 2018, 2017 and 2016 of properties sold during the periods
presented
Since
the sale of the four properties sold during fiscal 2018 (as discussed previously) and the one property sold during fiscal 2017,
does not represent a strategic shift that has a major effect on our operations and financial results, the operations generated
from these five properties are not included in Discontinued Operations. The following table summarizes the operations of these
five properties, prior to their sales, that are included in the accompanying Consolidated Statements of Income for the three fiscal
years ended September 30, 2018, 2017 and 2016:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
Rental and Reimbursement Revenue
|
|
$
|
928,808
|
|
|
$
|
2,051,835
|
|
|
$
|
2,138,713
|
|
Lease Termination Income
|
|
|
210,261
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Real Estate Taxes
|
|
|
(211,928
|
)
|
|
|
(351,645
|
)
|
|
|
(341,174
|
)
|
Operating Expenses
|
|
|
(109,735
|
)
|
|
|
(169,605
|
)
|
|
|
(104,363
|
)
|
Depreciation & Amortization
|
|
|
(79,137
|
)
|
|
|
(513,879
|
)
|
|
|
(517,554
|
)
|
Interest Expense
|
|
|
(38,272
|
)
|
|
|
(143,510
|
)
|
|
|
(221,595
|
)
|
Income from Operations
|
|
|
699,997
|
|
|
|
873,196
|
|
|
|
954,027
|
|
Gain (Loss) on Sale of Real Estate Investment
|
|
|
7,485,266
|
|
|
|
(95,336
|
)
|
|
|
-0-
|
|
Net Income
|
|
$
|
8,185,263
|
|
|
$
|
777,860
|
|
|
$
|
954,027
|
|
Pro
forma information (unaudited)
The
following unaudited pro forma condensed financial information has been prepared utilizing our historical financial statements
and the effect of additional revenue and expenses generated from the properties acquired and expanded subsequent to our fiscal
yearend (see Note 17) and from the properties acquired and expanded during fiscal years 2018 and 2017, assuming that these acquisitions
and these completed expansions had occurred as of October 1, 2016, after giving effect to certain adjustments including: (a) Rental
Revenue adjustments resulting from the straight-lining of scheduled rent increases, (b) Interest Expense resulting from the assumed
increase in Fixed Rate Mortgage Notes Payable and Loans Payable related to the new acquisitions, and (c) Depreciation Expense
related to the new acquisitions. As further described in Note 13, the net proceeds raised from the issuance of our 6.125% Series
C Cumulative Redeemable Preferred Stock less the redemptions of our 7.625% Series A Cumulative Redeemable Preferred Stock redeemed
on October 14, 2016 and our 7.875% Series B Cumulative Redeemable Preferred Stock redeemed on June 7, 2017 were used to help fund
property acquisitions and, therefore, the pro forma preferred dividend expense has been adjusted to account for its effect on
Net Income Attributable to Common Shareholders as if all the preferred stock issuances and redemptions had occurred on October
1, 2016. In addition, Net Income Attributable to Common Shareholders excludes the operating expenses incurred during fiscal 2018
and 2017 for the five properties that were sold during the periods presented. Furthermore, the proceeds raised from the Dividend
Reinvestment and Stock Purchase Plan (the DRIP) were used to fund property acquisitions and expansions and therefore, the weighted
average shares outstanding used in calculating the Basic and Diluted Net Income per Share Attributable to Common Shareholders
has been adjusted to account for the increase in shares raised through the DRIP, as if all the shares raised had occurred on October
1, 2016. The unaudited pro forma condensed financial information is not indicative of the results of operations that would have
been achieved had the acquisitions and expansions reflected herein been consummated on the dates indicated or that will be achieved
in the future.
|
|
Fiscal Year 2018
|
|
|
Fiscal Year 2017
|
|
Rental Revenues
|
|
$
|
130,401,800
|
|
|
$
|
130,644,200
|
|
Net Income Attributable to Common Shareholders
|
|
|
31,382,200
|
|
|
|
26,411,000
|
|
Basic Net Income per Share Attributable to Common Shareholders
|
|
$
|
0.39
|
|
|
$
|
0.32
|
|
Diluted Net Income per Share Attributable to Common Shareholders
|
|
$
|
0.38
|
|
|
$
|
0.32
|
|
NOTE
4 – INTANGIBLE ASSETS
Net
intangible assets consist of the estimated value of the acquired in-place leases and the acquired above market rent leases at
acquisition for the following properties and are amortized over the remaining term of the lease:
|
|
September 30, 2018
|
|
|
September 30, 2017
|
|
Topeka, KS
|
|
$
|
102,867
|
|
|
$
|
137,156
|
|
Carrollton (Dallas), TX
|
|
|
2,283
|
|
|
|
9,134
|
|
Ft. Mill (Charlotte, NC), SC
|
|
|
91,595
|
|
|
|
183,191
|
|
Lebanon (Nashville), TN
|
|
|
119,926
|
|
|
|
140,783
|
|
Rockford, IL (Sherwin-Williams Co.)
|
|
|
105,293
|
|
|
|
125,349
|
|
Edinburg, TX
|
|
|
166,122
|
|
|
|
223,078
|
|
Corpus Christi, TX
|
|
|
66,912
|
|
|
|
89,853
|
|
Halfmoon (Albany), NY
|
|
|
157,578
|
|
|
|
207,339
|
|
Lebanon (Cincinnati), OH
|
|
|
54,402
|
|
|
|
147,663
|
|
Olive Branch (Memphis, TN), MS (Anda Pharmaceuticals)
|
|
|
703,205
|
|
|
|
886,650
|
|
Livonia (Detroit), MI
|
|
|
239,464
|
|
|
|
307,882
|
|
Stewartville (Rochester), MN
|
|
|
21,984
|
|
|
|
26,695
|
|
Buckner (Louisville), KY
|
|
|
329,941
|
|
|
|
351,816
|
|
Edwardsville (Kansas City), KS (International Paper)
|
|
|
366,666
|
|
|
|
441,243
|
|
Lindale (Tyler), TX
|
|
|
201,312
|
|
|
|
236,323
|
|
Sauget (St. Louis, MO), IL
|
|
|
22,545
|
|
|
|
24,659
|
|
Rockford, IL (Collins Aerospace Systems)
|
|
|
68,348
|
|
|
|
76,159
|
|
Kansas City, MO
|
|
|
15,325
|
|
|
|
20,434
|
|
Monroe, OH (Cincinnati)
|
|
|
364,530
|
|
|
|
396,460
|
|
Cincinnati, OH
|
|
|
39,246
|
|
|
|
42,814
|
|
Imperial, PA (Pittsburgh)
|
|
|
61,617
|
|
|
|
70,116
|
|
Burlington, WA (Seattle/Everett)
|
|
|
375,265
|
|
|
|
406,756
|
|
Colorado Springs, CO
|
|
|
278,699
|
|
|
|
316,703
|
|
Hamburg (Buffalo), NY
|
|
|
215,517
|
|
|
|
232,759
|
|
Ft. Myers, FL
|
|
|
184,272
|
|
|
|
194,209
|
|
Walker (Grand Rapids), MI
|
|
|
448,835
|
|
|
|
482,498
|
|
Aiken (Augusta, GA), SC
|
|
|
854,091
|
|
|
|
916,969
|
|
Mesquite (Dallas), TX
|
|
|
737,832
|
|
|
|
792,486
|
|
Homestead (Miami), FL
|
|
|
513,201
|
|
|
|
551,216
|
|
Oklahoma City, OK (Bunzl)
|
|
|
240,468
|
|
|
|
281,110
|
|
Concord (Charlotte), NC
|
|
|
581,352
|
|
|
|
623,890
|
|
Kenton, OH
|
|
|
438,035
|
|
|
|
487,160
|
|
Stow, OH
|
|
|
521,166
|
|
|
|
579,612
|
|
Charleston, SC (FDX)
|
|
|
377,988
|
|
|
|
-0-
|
|
Oklahoma City, OK (Amazon)
|
|
|
669,693
|
|
|
|
-0-
|
|
Savannah, GA
|
|
|
1,402,816
|
|
|
|
-0-
|
|
Daytona Beach, FL
|
|
|
765,687
|
|
|
|
-0-
|
|
Mobile, AL
|
|
|
1,016,789
|
|
|
|
-0-
|
|
Charleston, SC (FDX Ground)
|
|
|
667,358
|
|
|
|
-0-
|
|
Braselton (Atlanta), GA
|
|
|
999,531
|
|
|
|
-0-
|
|
Total Intangible Assets, net of Accumulated Amortization
|
|
$
|
14,589,756
|
|
|
$
|
10,010,165
|
|
Amortization
expense related to the intangible assets attributable to acquired in-place leases was $1,510,660, $969,751 and $1,076,776 for
the years ended September 30, 2018, 2017 and 2016, respectively. We estimate that the aggregate amortization expense for these
existing intangible assets will be approximately $1,737,000, $1,589,000, $1,582,000, $1,431,000, and $1,263,000 for each of the
fiscal years 2019, 2020, 2021, 2022 and 2023, respectively. The amount that is being amortized into rental revenue related to
the intangible assets attributable to acquired above market leases was $102,708 for the year ended September 30, 2018 and $101,968
for each of the years ended September 30, 2017 and 2016, respectively. We estimate that the aggregate amount that will be amortized
into rental revenue for existing intangible assets will be approximately $103,000 for each of the fiscal years 2019, 2020 and
2021 and will be approximately $34,000 for the fiscal year 2022.
NOTE
5 – SIGNIFICANT CONCENTRATIONS OF CREDIT RISK
As
of September 30, 2018, we had approximately 21,174,000 square feet of property, of which approximately 10,083,000 square feet,
or 48%, consisting of 60 separate stand-alone leases, were leased to FedEx Corporation (FDX) and its subsidiaries, (7% to FDX
and 41% to FDX subsidiaries). These properties are located in 24 different states. As of September 30, 2018, the 60 separate stand-alone
leases that are leased to FDX and FDX subsidiaries had a weighted average lease maturity of 9.4 years. As of September 30, 2018,
the only tenants that leased 5% or more of our total square footage were FDX and its subsidiaries. The tenants that leased more
than 5% of total rentable square footage as of September 30, 2018, 2017, and 2016 were as follows:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
FDX and Subsidiaries
|
|
|
48
|
%
|
|
|
50
|
%
|
|
|
47
|
%
|
Milwaukee Electric Tool Corporation (lease commenced fiscal 2013, expanded fiscal 2016)
|
|
|
<5%
|
|
|
|
5
|
%
|
|
|
5
|
%
|
During
fiscal 2018, the only tenant that accounted for 5% or more of our rental and reimbursement revenue was FDX (including its subsidiaries).
Our rental and reimbursement revenue from FDX and its subsidiaries for the fiscal years ended September 30, 2018, 2017 and 2016,
respectively, totaled approximately $80,726,000, $68,151,000 and $52,793,000, or 58% (7% from FDX and 51% from FDX subsidiaries),
59% (7% from FDX and 52% from FDX subsidiaries) and 55% (9% from FDX and 46% from FDX subsidiaries), of total rent and reimbursement
revenues. No other tenant accounted for 5% or more of our total Rental and Reimbursement revenue for the fiscal years ended September
30, 2018, 2017 and 2016.
In
addition to real estate property holdings, we held $154,920,545 in marketable REIT securities at September 30, 2018, representing
8.0% of our undepreciated assets (which is our total assets excluding accumulated depreciation). These liquid real estate holdings
are not included in calculating the tenant concentration ratios above and therefore further increase our diversification. The
securities portfolio provides us with additional diversification, liquidity, and income, and serves as a proxy for real estate
when more favorable risk adjusted returns are not available.
NOTE
6 – SECURITIES AVAILABLE FOR SALE
Our
securities available for sale consist primarily of marketable common and preferred stock securities of other REITs. We generally
limit our investment in marketable securities to be no more than approximately 10% of our undepreciated assets (which is our total
assets excluding accumulated depreciation). We do not own more than 10% of the outstanding shares of any of these issuers, nor
do we have a controlling financial interest. As of September 30, 2018, we held $154,920,545 in marketable REIT securities, representing
8.0% of our undepreciated assets.
We
normally hold REIT securities long-term and have the ability and intent to hold these securities to recovery. We have total net
unrealized losses on our securities portfolio of $24,744,579 as of September 30, 2018.
We
held eight securities that we determined were temporarily impaired investments as of September 30, 2018. We consider many factors
in determining whether a security is other than temporarily impaired, including the nature of the security and the cause, severity
and duration of the impairment. The following is a summary of temporarily impaired securities at September 30, 2018:
|
|
Less than 12 Months
|
|
|
12 Months or Longer
|
|
|
|
|
|
|
Unrealized
|
|
|
|
|
|
Unrealized
|
|
Description of Securities
|
|
Fair Value
|
|
|
Losses
|
|
|
Fair Value
|
|
|
Losses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock
|
|
$
|
3,194,000
|
|
|
$
|
(1,613,782
|
)
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
Common stock
|
|
|
93,367,200
|
|
|
|
(30,622,150
|
)
|
|
|
-0-
|
|
|
|
-0-
|
|
Total
|
|
$
|
96,561,200
|
|
|
$
|
(32,235,932
|
)
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
The
following is a summary of the range of losses:
Number
of
Individual
Securities
|
|
Fair
Value
|
|
|
Unrealized
Losses
|
|
|
% Loss
|
|
|
|
|
|
|
|
|
|
|
|
2
|
|
$
|
21,980,000
|
|
|
$
|
(351,051
|
)
|
|
|
0-5
|
%
|
2
|
|
|
31,996,000
|
|
|
|
(3,562,067
|
)
|
|
|
6-10
|
%
|
1
|
|
|
5,593,000
|
|
|
|
(825,791
|
)
|
|
|
13
|
%
|
2
|
|
|
21,032,200
|
|
|
|
(9,931,597
|
)
|
|
|
30-40
|
%
|
1
|
|
|
15,960,000
|
|
|
|
(17,565,426
|
)
|
|
|
52
|
%
|
8
|
|
$
|
96,561,200
|
|
|
$
|
(32,235,932
|
)
|
|
|
|
|
We
had a $26,608,676 and $10,091,417 margin loan balance as of September 30, 2018 and 2017, respectively. The margin loan balance
is collateralized by the securities portfolio. Subsequent to fiscal yearend, on October 9, 2018, we paid off the margin loan.
Dividend
income for the fiscal years ended September 30, 2018, 2017 and 2016 totaled $13,099,317, $6,919,973, and $5,607,403, respectively.
We
received proceeds of $2,620,166, $17,274,946 and $22,774,768 on sales or redemptions of securities available for sale during fiscal
years 2018, 2017 and 2016, respectively. We recorded the following realized Gain on Sale of Securities Transactions, net for the
fiscal years ended September 30:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
Gross realized gains
|
|
$
|
112,272
|
|
|
$
|
2,320,561
|
|
|
$
|
4,403,724
|
|
Gross realized losses
|
|
|
(885
|
)
|
|
|
(8,847
|
)
|
|
|
(5,125
|
)
|
Gains on Sale of Securities Transactions, net
|
|
$
|
111,387
|
|
|
$
|
2,311,714
|
|
|
$
|
4,398,599
|
|
The
following is a listing of our investments in securities at September 30, 2018:
Description
|
|
Series
|
|
Interest Rate/ Dividend
|
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Equity Securities - Preferred Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CBL & Associates Properties, Inc.
|
|
|
D
|
|
|
7.375
|
%
|
|
|
200,000
|
|
|
$
|
4,807,782
|
|
|
$
|
3,194,000
|
|
Cedar Realty Trust, Inc.
|
|
|
B
|
|
|
7.25
|
%
|
|
|
5,789
|
|
|
|
135,893
|
|
|
|
143,277
|
|
Dynex Capital, Inc.
|
|
|
A
|
|
|
8.50
|
%
|
|
|
10,000
|
|
|
|
250,000
|
|
|
|
254,400
|
|
iStar Financial, Inc.
|
|
|
D
|
|
|
8.00
|
%
|
|
|
3,468
|
|
|
|
71,502
|
|
|
|
86,492
|
|
iStar Financial, Inc.
|
|
|
I
|
|
|
7.50
|
%
|
|
|
41,383
|
|
|
|
872,236
|
|
|
|
1,005,603
|
|
UMH Properties, Inc. (1)
|
|
|
B
|
|
|
8.00
|
%
|
|
|
100,000
|
|
|
|
2,500,000
|
|
|
|
2,625,700
|
|
Total Equity Securities - Preferred Stock
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
8,637,413
|
|
|
$
|
7,309,472
|
|
Description
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Equity Securities - Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
CBL & Associates Properties, Inc.
|
|
|
4,000,000
|
|
|
$
|
33,525,425
|
|
|
$
|
15,960,000
|
|
Franklin Street Properties
|
|
|
700,000
|
|
|
|
6,418,791
|
|
|
|
5,593,000
|
|
Government Properties Income Trust
|
|
|
1,580,000
|
|
|
|
26,156,016
|
|
|
|
17,838,200
|
|
Industrial Logistics Property Trust
|
|
|
100,000
|
|
|
|
2,116,778
|
|
|
|
2,301,000
|
|
Kimco Realty Corporation
|
|
|
1,200,000
|
|
|
|
20,337,749
|
|
|
|
20,088,000
|
|
Pennsylvania Real Estate Investment Trust
|
|
|
200,000
|
|
|
|
1,993,302
|
|
|
|
1,892,000
|
|
Select Income REIT
|
|
|
800,000
|
|
|
|
17,394,728
|
|
|
|
17,552,000
|
|
Senior Housing Property Trust
|
|
|
900,000
|
|
|
|
15,463,221
|
|
|
|
15,804,000
|
|
VEREIT, Inc.
|
|
|
3,100,000
|
|
|
|
25,016,451
|
|
|
|
22,506,000
|
|
Washington Prime Group, Inc.
|
|
|
1,300,000
|
|
|
|
10,541,616
|
|
|
|
9,490,000
|
|
UMH Properties, Inc. (1)
|
|
|
1,188,220
|
|
|
|
12,060,637
|
|
|
|
18,583,765
|
|
Total Equity Securities - Common Stock
|
|
|
|
|
|
$
|
171,024,714
|
|
|
$
|
147,607,965
|
|
|
|
Interest Rate/ Dividend
|
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Modified Pass-Through Mortgage-Backed Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government National Mortgage Association (GNMA)
|
|
|
6.50
|
%
|
|
|
500,000
|
|
|
$
|
2,997
|
|
|
$
|
3,108
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Securities Available for Sale
|
|
|
|
|
|
|
|
|
|
$
|
179,665,124
|
|
|
$
|
154,920,545
|
|
(1)
Investment is in a related company. See Note No. 11 for further discussion.
The
following is a listing of our investments in securities at September 30, 2017:
Description
|
|
Series
|
|
Interest Rate/ Dividend
|
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Equity Securities - Preferred Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CBL & Associates Properties, Inc.
|
|
|
D
|
|
|
7.375
|
%
|
|
|
200,000
|
|
|
$
|
4,807,782
|
|
|
$
|
4,888,000
|
|
Cedar Realty Trust, Inc.
|
|
|
B
|
|
|
7.25
|
%
|
|
|
13,153
|
|
|
|
308,759
|
|
|
|
332,508
|
|
Dynex Capital, Inc.
|
|
|
A
|
|
|
8.50
|
%
|
|
|
10,000
|
|
|
|
250,000
|
|
|
|
252,500
|
|
Investors Real Estate Trust
|
|
|
B
|
|
|
7.95
|
%
|
|
|
20,000
|
|
|
|
500,000
|
|
|
|
501,796
|
|
iStar Financial, Inc.
|
|
|
D
|
|
|
8.00
|
%
|
|
|
3,468
|
|
|
|
71,502
|
|
|
|
87,744
|
|
iStar Financial, Inc.
|
|
|
E
|
|
|
7.875
|
%
|
|
|
3,400
|
|
|
|
54,116
|
|
|
|
85,510
|
|
iStar Financial, Inc.
|
|
|
F
|
|
|
8.00
|
%
|
|
|
20,000
|
|
|
|
429,846
|
|
|
|
503,200
|
|
iStar Financial, Inc.
|
|
|
I
|
|
|
7.50
|
%
|
|
|
41,383
|
|
|
|
872,236
|
|
|
|
1,038,713
|
|
Pennsylvania Real Estate Investment Trust
|
|
|
A
|
|
|
8.25
|
%
|
|
|
44,000
|
|
|
|
1,100,885
|
|
|
|
1,107,040
|
|
Summit Hotel Properties, Inc.
|
|
|
B
|
|
|
7.875
|
%
|
|
|
10,000
|
|
|
|
250,000
|
|
|
|
255,617
|
|
UMH Properties, Inc. (1)
|
|
|
B
|
|
|
8.00
|
%
|
|
|
100,000
|
|
|
|
2,500,000
|
|
|
|
2,766,000
|
|
Total Equity Securities - Preferred Stock
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
11,145,126
|
|
|
$
|
11,818,628
|
|
Description
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Equity Securities - Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
CBL & Associates Properties, Inc.
|
|
|
2,700,000
|
|
|
$
|
25,348,070
|
|
|
$
|
22,653,000
|
|
Franklin Street Properties
|
|
|
250,000
|
|
|
|
2,511,460
|
|
|
|
2,655,000
|
|
Government Properties Income Trust
|
|
|
1,070,000
|
|
|
|
19,295,940
|
|
|
|
20,083,900
|
|
Pennsylvania Real Estate Investment Trust
|
|
|
100,000
|
|
|
|
1,028,213
|
|
|
|
1,049,000
|
|
Select Income REIT
|
|
|
620,000
|
|
|
|
13,907,816
|
|
|
|
14,520,400
|
|
Senior Housing Property Trust
|
|
|
700,000
|
|
|
|
12,325,801
|
|
|
|
13,685,000
|
|
VEREIT, Inc.
|
|
|
1,880,000
|
|
|
|
15,967,690
|
|
|
|
15,585,200
|
|
Washington Prime Group, Inc.
|
|
|
500,000
|
|
|
|
4,428,175
|
|
|
|
4,165,000
|
|
UMH Properties, Inc. (1)
|
|
|
1,128,315
|
|
|
|
11,231,851
|
|
|
|
17,545,306
|
|
Total Equity Securities - Common Stock
|
|
|
|
|
|
$
|
106,045,016
|
|
|
$
|
111,941,806
|
|
|
|
Interest Rate/ Dividend
|
|
|
Number of Shares
|
|
|
Cost
|
|
|
Estimated
Market Value
|
|
Modified Pass-Through Mortgage-Backed Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government National Mortgage Association (GNMA)
|
|
|
6.50
|
%
|
|
|
500,000
|
|
|
$
|
4,063
|
|
|
$
|
4,336
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Securities Available for Sale
|
|
|
|
|
|
|
|
|
|
$
|
117,194,205
|
|
|
$
|
123,764,770
|
|
(1)
Investment is in a related company. See Note No. 11 for further discussion.
NOTE
7- MORTGAGE NOTES AND LOANS PAYABLE
Mortgage
Notes Payable:
Mortgage
Notes Payable represents the principal amounts outstanding as of September 30, 2018. Interest is payable on these mortgages at
fixed rates ranging from 3.45% to 7.60%, with a weighted average interest rate of 4.07%. This compares to a weighted average interest
rate of 4.18% as of September 30, 2017. As of September 30, 2018, the weighted average loan maturity of the Mortgage Notes Payable
was 11.7 years. This compares to a weighted average loan maturity of the Mortgage Notes Payable of 11.6 years as of September
30, 2017.
As
described in Note 3, during fiscal year ended September 30, 2018, we entered into seven mortgages in connection with the acquisitions
of properties in Charleston, SC (FDX); Oklahoma City, OK; Savannah, GA; Daytona Beach, FL; Mobile, AL, Charleston, SC (FDX Ground)
and Braselton (Atlanta), GA. These seven mortgages consisted of four 15 year fully-amortizing mortgage loans, two 14 year fully-amortizing
mortgage loans and one 10 year loan amortizing over 18 years. These seven mortgage loans originally totaled $175,160,000, with
an original weighted average mortgage loan maturity of 14.1 years and a weighted average interest rate of 3.91%.
During
the fiscal year ended September 30, 2018, we fully repaid the mortgage loans for five of our properties located in Colorado Springs,
CO; Richfield (Cleveland), OH; Tampa, FL; West Chester Twp. (Cincinnati), OH and Orlando, FL, totaling approximately $12,487,000.
During
the fiscal year ended September 30, 2017, we fully repaid 16 mortgage loans associated with 15 of our properties located in Jacksonville,
FL; El Paso, TX; Lebanon (Cincinnati), OH; Halfmoon (Albany), NY; Bedford Heights (Cleveland), OH; Hanahan (Charleston), SC; Elgin
(Chicago), IL; Kansas City, MO; Chattanooga, TN; Roanoke, VA; Orion, MI; Edwardsville, KS; Punta Gorda, FL; Cheektowaga (Buffalo),
NY and Cocoa, FL, totaling approximately $40,037,000.
The
following is a summary of our Fixed Rate Mortgage Notes Payable as of September 30, 2018 and 2017:
|
|
9/30/2018
|
|
|
9/30/2017
|
|
|
|
Amount
|
|
|
Weighted
Average
Interest
Rate (1)
|
|
|
Amount
|
|
|
Weighted
Average
Interest
Rate (1)
|
|
Fixed Rate Mortgage Notes Payable
|
|
$
|
719,768,355
|
|
|
|
4.07
|
%
|
|
$
|
598,962,567
|
|
|
|
4.18
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt Issuance Costs
|
|
$
|
11,715,985
|
|
|
|
|
|
|
$
|
10,597,083
|
|
|
|
|
|
Accumulated Amortization of Debt Issuance Costs
|
|
|
(3,493,279
|
)
|
|
|
|
|
|
|
(2,998,887
|
)
|
|
|
|
|
Unamortized Debt Issuance Costs
|
|
$
|
8,222,706
|
|
|
|
|
|
|
$
|
7,598,196
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed Rate Mortgage Notes Payable, net of Unamortized Debt Issuance Costs
|
|
$
|
711,545,649
|
|
|
|
|
|
|
$
|
591,364,371
|
|
|
|
|
|
|
(1)
|
Weighted
average interest rate excludes amortization of debt issuance costs.
|
The
following is a summary of our mortgage notes payable by property at September 30, 2018 and 2017:
Property
|
|
|
|
|
Fixed
Rate
|
|
|
Maturity
Date
|
|
Balance
9/30/18
|
|
|
Balance
9/30/17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Richfield, OH (Cleveland)
|
|
|
(1)
|
|
|
|
5.22
|
%
|
|
01/01/18
|
|
$
|
-0-
|
|
|
$
|
2,724,856
|
|
Tampa, FL (FDX)
|
|
|
(1)
|
|
|
|
5.65
|
%
|
|
04/01/18
|
|
|
-0-
|
|
|
|
3,654,913
|
|
West Chester Twp., OH (Cincinnati)
|
|
|
(1)
|
|
|
|
6.80
|
%
|
|
06/01/18
|
|
|
-0-
|
|
|
|
1,820,753
|
|
Orlando, FL
|
|
|
(1)
|
|
|
|
6.56
|
%
|
|
10/01/18
|
|
|
-0-
|
|
|
|
4,098,856
|
|
Tampa, FL (FDX Ground)
|
|
|
|
|
|
|
6.00
|
%
|
|
03/01/19
|
|
|
5,144,319
|
|
|
|
5,910,953
|
|
Lebanon, TN (Nashville)
|
|
|
|
|
|
|
7.60
|
%
|
|
07/10/19
|
|
|
7,217,469
|
|
|
|
7,446,653
|
|
Ft. Mill, SC (Charlotte, NC)
|
|
|
|
|
|
|
7.00
|
%
|
|
10/10/19
|
|
|
724,766
|
|
|
|
1,346,845
|
|
Denver, CO
|
|
|
|
|
|
|
6.07
|
%
|
|
11/01/19
|
|
|
414,049
|
|
|
|
746,617
|
|
Hanahan, SC (Charleston)(FDX Ground)
|
|
|
|
|
|
|
5.54
|
%
|
|
01/21/20
|
|
|
465,749
|
|
|
|
773,234
|
|
Augusta, GA (FDX Ground)
|
|
|
|
|
|
|
5.54
|
%
|
|
02/01/20
|
|
|
338,789
|
|
|
|
562,454
|
|
Huntsville, AL
|
|
|
|
|
|
|
5.50
|
%
|
|
03/01/20
|
|
|
370,903
|
|
|
|
589,073
|
|
Colorado Springs, CO
|
|
|
(1)
|
|
|
|
5.41
|
%
|
|
01/01/21
|
|
|
-0-
|
|
|
|
1,043,704
|
|
Topeka, KS
|
|
|
|
|
|
|
6.50
|
%
|
|
08/10/21
|
|
|
860,364
|
|
|
|
1,119,836
|
|
Streetsboro, OH (Cleveland)
|
|
|
|
|
|
|
5.50
|
%
|
|
11/01/21
|
|
|
9,300,481
|
|
|
|
9,887,817
|
|
Kansas City, MO
|
|
|
|
|
|
|
5.18
|
%
|
|
12/01/21
|
|
|
6,633,001
|
|
|
|
6,799,803
|
|
Olive Branch, MS (Memphis, TN)(Anda Pharmaceuticals, Inc.)
|
|
|
|
|
|
|
4.80
|
%
|
|
04/01/22
|
|
|
7,564,186
|
|
|
|
8,171,480
|
|
Waco, TX
|
|
|
|
|
|
|
4.75
|
%
|
|
08/01/22
|
|
|
4,234,777
|
|
|
|
4,524,045
|
|
Houston, TX
|
|
|
|
|
|
|
6.88
|
%
|
|
09/10/22
|
|
|
2,148,201
|
|
|
|
2,619,835
|
|
Tolleson, AZ (Phoenix)
|
|
|
|
|
|
|
3.95
|
%
|
|
11/01/22
|
|
|
3,719,709
|
|
|
|
4,525,118
|
|
Edwardsville, KS (Kansas City)(International Paper)
|
|
|
|
|
|
|
3.45
|
%
|
|
11/01/23
|
|
|
9,189,343
|
|
|
|
9,931,292
|
|
Spring, TX (Houston)
|
|
|
|
|
|
|
4.01
|
%
|
|
12/01/23
|
|
|
7,924,865
|
|
|
|
8,537,878
|
|
Memphis, TN
|
|
|
|
|
|
|
4.50
|
%
|
|
01/01/24
|
|
|
5,061,376
|
|
|
|
5,882,668
|
|
Oklahoma City, OK (FDX Ground)
|
|
|
|
|
|
|
4.35
|
%
|
|
07/01/24
|
|
|
3,416,097
|
|
|
|
3,919,663
|
|
Indianapolis, IN
|
|
|
|
|
|
|
4.00
|
%
|
|
09/01/24
|
|
|
10,437,151
|
|
|
|
11,381,906
|
|
Frankfort, KY (Lexington)
|
|
|
|
|
|
|
4.84
|
%
|
|
12/15/24
|
|
|
16,639,132
|
|
|
|
17,560,855
|
|
Carrollton, TX (Dallas)
|
|
|
|
|
|
|
6.75
|
%
|
|
02/01/25
|
|
|
6,455,552
|
|
|
|
7,233,486
|
|
Altoona, PA
|
|
|
(2)
|
|
|
|
4.00
|
%
|
|
10/01/25
|
|
|
3,253,281
|
|
|
|
3,642,839
|
|
Green Bay, WI
|
|
|
(2)
|
|
|
|
4.00
|
%
|
|
10/01/25
|
|
|
2,640,432
|
|
|
|
2,956,605
|
|
Stewartville, MN (Rochester)
|
|
|
(2)
|
|
|
|
4.00
|
%
|
|
10/01/25
|
|
|
2,115,962
|
|
|
|
2,369,334
|
|
Carlstadt, NJ (New York, NY)
|
|
|
|
|
|
|
5.25
|
%
|
|
05/15/26
|
|
|
1,580,181
|
|
|
|
1,743,353
|
|
Roanoke, VA (FDX Ground)
|
|
|
|
|
|
|
3.84
|
%
|
|
07/01/26
|
|
|
4,395,246
|
|
|
|
4,867,194
|
|
Livonia, MI (Detroit)
|
|
|
|
|
|
|
4.45
|
%
|
|
12/01/26
|
|
|
6,294,503
|
|
|
|
6,912,375
|
|
Oklahoma City, OK (Amazon)
|
|
|
|
|
|
|
3.64
|
%
|
|
12/01/27
|
|
|
19,013,593
|
|
|
|
-0-
|
|
Olive Branch, MS (Memphis, TN)(Milwaukee Tool)
|
|
|
|
|
|
|
3.76
|
%
|
|
10/01/28
|
|
|
21,722,567
|
|
|
|
23,461,936
|
|
Tulsa, OK
|
|
|
|
|
|
|
4.58
|
%
|
|
11/01/28
|
|
|
1,685,288
|
|
|
|
1,812,575
|
|
Oklahoma City, OK (Bunzl)
|
|
|
|
|
|
|
4.13
|
%
|
|
07/01/29
|
|
|
5,537,962
|
|
|
|
5,935,346
|
|
Lindale, TX (Tyler)
|
|
|
|
|
|
|
4.57
|
%
|
|
11/01/29
|
|
|
5,638,258
|
|
|
|
6,016,758
|
|
Sauget, IL (St. Louis, MO)
|
|
|
|
|
|
|
4.40
|
%
|
|
11/01/29
|
|
|
8,563,797
|
|
|
|
9,145,097
|
|
Jacksonville, FL (FDX Ground)
|
|
|
|
|
|
|
3.93
|
%
|
|
12/01/29
|
|
|
16,243,754
|
|
|
|
17,370,102
|
|
Imperial, PA (Pittsburgh)
|
|
|
|
|
|
|
3.63
|
%
|
|
04/01/30
|
|
|
11,199,661
|
|
|
|
11,963,800
|
|
Monroe, OH (Cincinnati)
|
|
|
|
|
|
|
3.77
|
%
|
|
04/01/30
|
|
|
7,126,384
|
|
|
|
7,608,083
|
|
Greenwood, IN (Indianapolis)
|
|
|
|
|
|
|
3.91
|
%
|
|
06/01/30
|
|
|
20,159,025
|
|
|
|
21,485,141
|
|
Ft. Worth, TX (Dallas)
|
|
|
|
|
|
|
3.56
|
%
|
|
09/01/30
|
|
|
20,753,864
|
|
|
|
22,116,268
|
|
Concord, NC (Charlotte)
|
|
|
|
|
|
|
3.87
|
%
|
|
12/01/30
|
|
|
17,813,451
|
|
|
|
18,928,835
|
|
Covington, LA (New Orleans)
|
|
|
|
|
|
|
4.08
|
%
|
|
01/01/31
|
|
|
11,133,990
|
|
|
|
11,814,941
|
|
Burlington, WA (Seattle/Everett)
|
|
|
|
|
|
|
3.67
|
%
|
|
05/01/31
|
|
|
17,757,364
|
|
|
|
18,839,050
|
|
Louisville, KY
|
|
|
|
|
|
|
3.74
|
%
|
|
07/01/31
|
|
|
6,525,135
|
|
|
|
6,914,142
|
|
Colorado Springs, CO
|
|
|
|
|
|
|
3.90
|
%
|
|
07/01/31
|
|
|
16,651,710
|
|
|
|
17,632,728
|
|
Davenport, FL (Orlando)
|
|
|
|
|
|
|
3.89
|
%
|
|
09/01/31
|
|
|
23,702,918
|
|
|
|
25,077,642
|
|
Olathe, KS (Kansas City)
|
|
|
|
|
|
|
3.96
|
%
|
|
09/01/31
|
|
|
19,956,867
|
|
|
|
21,108,249
|
|
Hamburg, NY (Buffalo)
|
|
|
|
|
|
|
4.03
|
%
|
|
11/01/31
|
|
|
21,328,714
|
|
|
|
22,532,881
|
|
Ft. Myers, FL (FDX Ground)
|
|
|
|
|
|
|
3.97
|
%
|
|
01/01/32
|
|
|
13,280,803
|
|
|
|
14,021,964
|
|
Savannah, GA
|
|
|
|
|
|
|
3.53
|
%
|
|
02/01/32
|
|
|
32,215,696
|
|
|
|
-0-
|
|
Walker, MI (Grand Rapids)
|
|
|
|
|
|
|
3.86
|
%
|
|
05/01/32
|
|
|
19,468,554
|
|
|
|
20,530,135
|
|
Mesquite, TX (Dallas)
|
|
|
|
|
|
|
3.60
|
%
|
|
07/01/32
|
|
|
30,928,224
|
|
|
|
32,623,355
|
|
Property
|
|
Fixed
Rate
|
|
|
Maturity
Date
|
|
Balance
9/30/18
|
|
|
Balance
9/30/17
|
|
Aiken, SC (Augusta, GA)
|
|
|
4.20
|
%
|
|
07/01/32
|
|
$
|
14,471,117
|
|
|
$
|
15,227,062
|
|
Homestead, FL (Miami)
|
|
|
3.60
|
%
|
|
07/01/32
|
|
|
23,313,676
|
|
|
|
24,591,465
|
|
Mobile, AL
|
|
|
4.14
|
%
|
|
07/01/32
|
|
|
18,832,395
|
|
|
|
-0-
|
|
Concord, NC (Charlotte)
|
|
|
3.80
|
%
|
|
09/01/32
|
|
|
24,863,355
|
|
|
|
26,184,000
|
|
Kenton, OH
|
|
|
4.45
|
%
|
|
10/01/32
|
|
|
11,473,387
|
|
|
|
12,000,000
|
|
Stow, OH
|
|
|
4.17
|
%
|
|
10/01/32
|
|
|
12,130,343
|
|
|
|
12,700,000
|
|
Charleston, SC (FDX)
|
|
|
4.23
|
%
|
|
12/01/32
|
|
|
13,683,131
|
|
|
|
-0-
|
|
Daytona Beach, FL
|
|
|
4.25
|
%
|
|
05/31/33
|
|
|
19,187,819
|
|
|
|
-0-
|
|
Charleston, SC (FDX Ground)
|
|
|
3.82
|
%
|
|
09/01/33
|
|
|
29,860,000
|
|
|
|
-0-
|
|
Braselton, GA (Atlanta)
|
|
|
4.02
|
%
|
|
10/01/33
|
|
|
39,700,000
|
|
|
|
-0-
|
|
Buckner, KY (Louisville)
|
|
|
4.17
|
%
|
|
11/01/33
|
|
|
15,305,669
|
|
|
|
16,014,719
|
|
Total Mortgage Notes Payable
|
|
|
|
|
|
|
|
$
|
719,768,355
|
|
|
$
|
598,962,567
|
|
|
(1)
|
Loan
was prepaid in full during fiscal 2018.
|
|
(2)
|
One
loan is secured by Altoona, PA, Green Bay, WI and Stewartville (Rochester), MN.
|
Principal
on the foregoing debt at September 30, 2018 is scheduled to be paid as follows:
Year Ending September 30, 2019
|
|
$
|
60,151,223
|
|
2020
|
|
|
48,605,542
|
|
2021
|
|
|
50,098,257
|
|
2022
|
|
|
72,031,353
|
|
2023
|
|
|
50,522,349
|
|
Thereafter
|
|
|
438,359,631
|
|
|
|
$
|
719,768,355
|
|
The
above table does not include a 15 year, fully-amortizing mortgage loan of $55,000,000 at a fixed interest rate of 4.13%, which
was obtained subsequent to the 2018 fiscal yearend in connection with the purchase of a property for approximately $85,248,000.
Loans
Payable:
BMO
Capital Markets
On
August 27, 2015, we obtained an unsecured revolving line of credit (the “Facility”). The Facility is syndicated with
three banks led by BMO, as sole lead arranger and sole book runner, Bank of Montreal as administrative agent, and includes JPMorgan
Chase Bank, N.A. (J.P. Morgan) and RBC Capital Markets (RBC) as co-syndication agents. The Facility provided for up to $130,000,000
in available borrowings with a $70,000,000 accordion feature, bringing the total potential availability up to $200,000,000, subject
to certain conditions. The Facility was set to mature in August 2019 and had a one-year extension option, at our option. On September
30, 2016, we entered into an amendment to the Facility (the Amendment), pursuant to which we exercised the $70,000,000 accordion
feature under the Facility, bringing the maximum availability under the Facility to $200,000,000, and amended the Facility to
provide an additional $100,000,000 accordion feature, bringing the total potential availability up to $300,000,000, subject to
certain conditions, including, without limitation, obtaining commitments from additional lenders. In addition, the Amendment extended
the maturity date of the Facility from August 27, 2019 to September 30, 2020, with a one-year extension option, at our option,
subject to certain conditions. Availability under the Facility is limited to 60% of the value of the borrowing base properties.
The value of the borrowing base properties is determined by applying a capitalization rate to the NOI generated by our unencumbered,
wholly-owned industrial properties. Effective, March 22, 2018, the capitalization rate applied to our NOI generated by our unencumbered,
wholly-owned industrial properties was lowered from 7.0% to 6.5%, thus increasing the value of the borrowing base properties under
the terms of the agreement. Borrowings under the Facility, will, at our election, either i) bear interest at LIBOR plus 140 basis
points to 220 basis points, depending on our leverage ratio, or ii) bear interest at BMO’s prime lending rate plus 40 basis
points to 120 basis points, depending on our leverage ratio. Based on our leverage ratios as of September 30, 2018 and 2017, our
borrowings bore interest at LIBOR plus 170 basis points, which was at an interest rate of 3.90% and 2.94% as of September 30,
2018 and 2017, respectively. As of September 30, 2018 and 2017, $160,000,000 and $110,000,000, respectively, was drawn down under
the Facility. Subsequent to fiscal yearend, on October 9, 2018, we paid down $50,000,000 on the Facility which reduced our amount
outstanding to $110,000,000.
Margin
Loans
From
time to time we use a margin loan for purchasing securities, for temporary funding of acquisitions, and for working capital purposes.
This loan is due on demand and is collateralized by our securities portfolio. We must maintain a coverage ratio of approximately
50%. The interest rate charged on the margin loan is the bank’s margin rate and was 2.75% and 2.05% as of September 30,
2018 and 2017, respectively. At September 30, 2018 and 2017, there was $26,608,676 and $10,091,417 outstanding on the margin loan,
respectively. Subsequent to fiscal yearend, on October 9, 2018, we paid off the margin loan.
For
the three fiscal years ended September 30, 2018, amortization of financing costs included in interest expense was $1,220,983,
$1,234,259 and $1,116,238, respectively.
NOTE
8 - OTHER LIABILITIES
Other
liabilities consist of the following as of September 30th:
|
|
9/30/18
|
|
|
9/30/17
|
|
Rent paid in advance
|
|
$
|
9,400,909
|
|
|
$
|
9,108,097
|
|
Unearned reimbursement revenue
|
|
|
5,814,937
|
|
|
|
3,996,340
|
|
Tenant security deposits
|
|
|
715,177
|
|
|
|
582,170
|
|
Other
|
|
|
495,599
|
|
|
|
578,911
|
|
Total
|
|
$
|
16,426,622
|
|
|
$
|
14,265,518
|
|
NOTE
9 - STOCK COMPENSATION PLAN
At
our Annual Meeting held on May 18, 2017, our common shareholders approved our Amended and Restated 2007 Incentive Award Plan (the
Plan) which extended the term of our 2007 Incentive Award Plan for an additional 10 years, until March 13, 2027, added 1,600,000
shares of common stock to the share reserve, expanded the types of awards available for grant under the Plan and made other improvements
to the 2007 Plan.
The
Compensation Committee, in its capacity as Plan Administrator, shall determine, among other things: the recipients of awards;
the type and number of awards participants will receive; the terms, conditions and forms of the awards; the times and conditions
subject to which awards may be exercised or become vested, deliverable or exercisable, or as to which any restrictions may apply
or lapse; and may amend or modify the terms and conditions of an award, except that repricing of options or Stock Appreciation
Rights (SAR) is not permitted without shareholder approval.
No
participant may receive awards during any calendar year covering more than 200,000 shares of common stock or more than $1,500,000
in cash. Regular annual awards granted to non-employee directors as compensation for services as non-employee directors during
any fiscal year may not exceed $100,000 in value on the date of grant, and the grant date value of any special or one-time award
upon election or appointment to the Board of Directors may not exceed $200,000.
Awards
granted pursuant to the Plan generally may not vest until the first anniversary of the date the award was granted, provided, however,
that up to 5% of the Common Shares available under the Plan may be awarded to any one or more Eligible Individuals without the
minimum vesting period.
If
an award made under the Plan is forfeited, expires or is converted into shares of another entity in connection with a recapitalization,
reorganization, merger, consolidation, split-up, spin-off, combination, exchange of shares or other similar event, or the award
is settled in cash, the shares associated with the forfeited, expired, converted or settled award will become available for additional
awards under the Plan.
The
term of any stock option or SAR generally may not be more than 10 years from the date of grant. The exercise price per common
share under the Plan generally may not be below 100% of the fair market value of a common share at the date of grant.
We
account for our stock options and restricted stock in accordance with ASC 718-10, Compensation-Stock Compensation. ASC 718-10
requires that compensation cost for all stock awards be calculated and amortized over the service period (generally equal to the
vesting period).
Stock
Options
During
fiscal 2018, one employee was granted options to purchase 65,000 shares. During fiscal 2017, eleven employees were granted options
to purchase 280,000 shares. During fiscal 2016, one employee was granted options to purchase 65,000 shares. The fair value of
these options that were issued during the fiscal years 2018, 2017 and 2016 was $119,600, $416,400, and $48,100. The value of these
options was determined based on the assumptions below and is being amortized over a one-year vesting period. For the fiscal years
ended September 30, 2018, 2017 and 2016, amounts charged to compensation expense related to stock options totaled $167,799, $350,364
and $51,334, respectively. The remaining unamortized stock option expense was $29,900 as of September 30, 2018 which will be expensed
in fiscal 2019.
The
fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following
weighted-average assumptions used for grants in fiscal 2018, 2017 and 2016:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
Dividend yield
|
|
|
3.82
|
%
|
|
|
4.44
|
%
|
|
|
6.17
|
%
|
Expected volatility
|
|
|
16.45
|
%
|
|
|
18.84
|
%
|
|
|
20.20
|
%
|
Risk-free interest rate
|
|
|
2.37
|
%
|
|
|
2.26
|
%
|
|
|
2.09
|
%
|
Expected lives (years)
|
|
|
8
|
|
|
|
8
|
|
|
|
8
|
|
Estimated forfeitures
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
A
summary of the status of our stock option plan as of September 30, 2018, 2017 and 2016 is as follows:
|
|
|
|
|
2018
|
|
|
|
|
|
2017
|
|
|
|
|
|
2016
|
|
|
|
2018
Shares
|
|
|
Weighted
Average
Exercise
Price
|
|
|
2017
Shares
|
|
|
Weighted
Average
Exercise
Price
|
|
|
2016
Shares
|
|
|
Weighted
Average
Exercise
Price
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding at beginning of year
|
|
|
670,000
|
|
|
$
|
11.75
|
|
|
|
455,000
|
|
|
$
|
9.46
|
|
|
|
635,000
|
|
|
$
|
8.68
|
|
Granted
|
|
|
65,000
|
|
|
|
17.80
|
|
|
|
280,000
|
|
|
|
14.43
|
|
|
|
65,000
|
|
|
|
10.37
|
|
Exercised
|
|
|
(40,000
|
)
|
|
|
14.24
|
|
|
|
(65,000
|
)
|
|
|
7.22
|
|
|
|
(245,000
|
)
|
|
|
7.69
|
|
Expired/Forfeited
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Outstanding at end of year
|
|
|
695,000
|
|
|
|
12.17
|
|
|
|
670,000
|
|
|
|
11.75
|
|
|
|
455,000
|
|
|
|
9.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exercisable at end of year
|
|
|
630,000
|
|
|
|
|
|
|
|
390,000
|
|
|
|
|
|
|
|
390,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average fair value of options granted during the year
|
|
|
|
|
|
$
|
1.84
|
|
|
|
|
|
|
$
|
1.49
|
|
|
|
|
|
|
$
|
0.74
|
|
The
following is a summary of stock options outstanding as of September 30, 2018:
Date of Grant
|
|
Number of Grants
|
|
|
Number
of Shares
|
|
|
Option Price
|
|
|
Expiration Date
|
|
|
|
|
|
|
|
|
|
|
|
|
01/03/11
|
|
|
1
|
|
|
|
65,000
|
|
|
$
|
8.72
|
|
|
01/03/19
|
01/03/12
|
|
|
1
|
|
|
|
65,000
|
|
|
|
9.33
|
|
|
01/03/20
|
01/03/13
|
|
|
1
|
|
|
|
65,000
|
|
|
|
10.46
|
|
|
01/03/21
|
01/03/14
|
|
|
1
|
|
|
|
65,000
|
|
|
|
8.94
|
|
|
01/03/22
|
01/05/15
|
|
|
1
|
|
|
|
65,000
|
|
|
|
11.16
|
|
|
01/05/23
|
01/05/16
|
|
|
1
|
|
|
|
65,000
|
|
|
|
10.37
|
|
|
01/05/24
|
12/09/16
|
|
|
8
|
|
|
|
175,000
|
|
|
|
14.24
|
|
|
12/09/24
|
01/04/17
|
|
|
1
|
|
|
|
65,000
|
|
|
|
15.04
|
|
|
01/04/25
|
01/03/18
|
|
|
1
|
|
|
|
65,000
|
|
|
|
17.80
|
|
|
01/03/26
|
|
|
|
|
|
|
|
695,000
|
|
|
|
|
|
|
|
The
aggregate intrinsic value of options outstanding as of September 30, 2018, 2017 and 2016 was $3,230,300, $2,974,400 and $2,189,850,
respectively. The intrinsic value of options exercised in fiscal years 2018, 2017 and 2016 was $141,304, $585,650, and $884,350,
respectively. The weighted-average remaining contractual term of the above options was 4.3, 5.1 and 4.2 years as of September
30, 2018, 2017 and 2016, respectively.
Unrestricted
Stock
Effective
September 12, 2017, a portion of our quarterly directors’ fee was paid with our unrestricted common stock. During fiscal
2018, 3,670 unrestricted shares of common stock were granted with a weighted average fair value on the grant date of $16.10 per
share. During fiscal 2017, 836 unrestricted shares of common stock were granted with a fair value on the grant date of $15.92
per share.
Restricted
Stock
In
October 2017, we awarded 12,500 shares of restricted stock to one participant under our Plan. In September 2017, we awarded 11,000
shares of restricted stock to eleven participants under our Plan. In September 2016, we awarded 40,000 shares of restricted stock
to one participant under our Plan. The grant date fair value of restricted stock grants awarded to participants was $205,875,
$175,120 and $545,600 in fiscal 2018, 2017 and 2016, respectively. These grants vest in equal installments over five years. As
of September 30, 2018, there remained a total of $484,543 of unrecognized restricted stock compensation related to outstanding
non-vested restricted stock grants awarded under the Plan and outstanding at that date. Restricted stock compensation is expected
to be expensed over a remaining weighted average period of 3.1 years. For the fiscal years ended September 30, 2018, 2017 and
2016, amounts charged to compensation expense related to restricted stock grants totaled $207,008, $261,033 and $875,131, respectively.
A
summary of the status of our non-vested restricted stock awards as of September 30, 2018, 2017 and 2016 are presented below:
|
|
|
|
|
2018
|
|
|
|
|
|
2017
|
|
|
|
|
|
2016
|
|
|
|
2018
Shares
|
|
|
Weighted-Average
Grant Date
Fair Value
|
|
|
2017
Shares
|
|
|
Weighted-Average
Grant Date
Fair Value
|
|
|
2016
Shares
|
|
|
Weighted-Average
Grant Date
Fair Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-vested
at beginning of year
|
|
|
89,714
|
|
|
$
|
12.15
|
|
|
|
117,897
|
|
|
$
|
11.35
|
|
|
|
123,496
|
|
|
$
|
10.08
|
|
Granted
|
|
|
12,500
|
|
|
|
16.47
|
|
|
|
11,000
|
|
|
|
15.92
|
|
|
|
40,000
|
|
|
|
13.64
|
|
Dividend Reinvested Shares
|
|
|
4,406
|
|
|
|
15.42
|
|
|
|
5,103
|
|
|
|
13.99
|
|
|
|
6,771
|
|
|
|
11.08
|
|
Vested
|
|
|
(29,084
|
)
|
|
|
(16.99
|
)
|
|
|
(44,286
|
)
|
|
|
(15.74
|
)
|
|
|
(49,136
|
)
|
|
|
(10.06
|
)
|
Forfeited
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
(3,234
|
)
|
|
|
(11.38
|
)
|
Non-vested at end of
year
|
|
|
77,536
|
|
|
$
|
13.18
|
|
|
|
89,714
|
|
|
$
|
12.15
|
|
|
|
117,897
|
|
|
$
|
11.35
|
|
As
of September 30, 2018, there were 1,671,872 shares available for grant under the Plan.
NOTE
10 - INCOME FROM LEASES
We
derive income primarily from operating leases on our commercial properties. In general, these leases are written for periods up
to 10 years or more with various provisions for renewal. These leases generally contain clauses for reimbursement (or direct payment)
of real estate taxes, maintenance, insurance and certain other operating expenses of the properties. As of September 30, 2018,
we had a weighted average lease maturity of 8.1 years and our average annualized rent per occupied square foot was $6.01. Approximate
minimum base rents due under non-cancellable leases as of September 30, 2018 are scheduled as follows:
Fiscal Year
|
|
Amount
|
|
2019
|
|
$
|
122,292,000
|
|
2020
|
|
|
120,007,000
|
|
2021
|
|
|
118,094,000
|
|
2022
|
|
|
111,474,000
|
|
2023
|
|
|
106,679,000
|
|
thereafter
|
|
|
499,883,000
|
|
Total
|
|
$
|
1,078,429,000
|
|
NOTE
11 - RELATED PARTY TRANSACTIONS
Five
of our 13 directors are also directors and shareholders of UMH. We hold common and preferred stock of UMH in our securities portfolio.
See Note 6 for current holdings. During fiscal 2018, we made total purchases of 59,905 common shares of UMH for a total cost of
$828,787, or a weighted average cost of $13.84 per share, which were purchased through UMH’s Dividend Reinvestment and Stock
Purchase Plan. During fiscal 2018, UMH made total purchases of 101,304 of our common shares through our DRIP for a total cost
of $1,566,624, or a weighted average cost of $15.46 per share.
As of September 30,
2018, we had fourteen full-time employees and one part-time employee. Our Chairman of the Board is also the Chairman
of the Board of UMH. Other than our Chairman of the Board, we do not share any employees with UMH.
Effective
January 12, 2015, we entered into a seven-year lease agreement to occupy 5,680 square feet for our current corporate office space.
Rent for our current corporate office space is at an annual rate of $99,400 or $17.50 per square foot for years one through five
and an annual rate of $100,820 or $17.75 per square foot for years six and seven. We are also responsible for our proportionate
share of real estate taxes and common area maintenance. Mr. Eugene W. Landy, the Founder and Chairman of the Board, owns a 24%
interest in the entity that is the landlord of the property where our corporate office space is located. We believe that the aforesaid
rent is no more than what we would pay for comparable space elsewhere.
Daniel D. Cronheim is
one of our directors and is also an Executive Vice President of David Cronheim Company (Cronheim) and Cronheim Management Services,
Inc. (CMSI). Daniel Cronheim received $73,323, $75,880 and $49,500 for director’s fees in fiscal 2018, 2017
and 2016, respectively. We have not paid any fees to The David Cronheim Mortgage Corporation, an affiliated company of CMSI, over
the last three fiscal years.
NOTE
12 - TAXES
Income
Tax
We
have elected to be taxed as a REIT under the applicable provisions of the Code under Sections 856 to 860 and the comparable New
Jersey Statutes. Under such provisions, we will not be taxed on that portion of our taxable income distributed currently to shareholders,
provided that at least 90% of our taxable income is distributed. As we have and intend to continue to distribute all of our income,
currently no provision has been made for income taxes. If we fail to qualify as a REIT in any taxable year, we will be subject
to federal income taxes at regular corporate rates and may not be able to qualify as a REIT for four subsequent taxable years.
Even if we qualify for taxation as a REIT, we may be subject to certain state and local taxes on our income and property, and
to federal income and excise taxes on our undistributed taxable income. In addition, taxable income from non-REIT activities managed
through taxable REIT subsidiaries is subject to federal, state, and local income taxes.
Federal
Excise Tax
We
do not have a Federal excise tax liability for the calendar years 2018, 2017 and 2016, since we intend to or have distributed
all of our annual Federal taxable net income.
Reconciliation
Between U.S. GAAP Net Income and Taxable Income
The
following table reconciles Net Income Attributable to common shares to taxable income for the years ended September 30, 2018,
2017 and 2016:
|
|
2018
Estimated
(unaudited)
|
|
|
2017
Actual
|
|
|
2016
Actual
|
|
Net income attributable to common shareholders
|
|
$
|
38,815,344
|
|
|
$
|
22,942,234
|
|
|
$
|
20,531,888
|
|
Book / tax difference on gains realized from capital transactions
|
|
|
(7,596,653
|
)
|
|
|
(2,311,714
|
)
|
|
|
(4,398,599
|
)
|
Stock compensation expense
|
|
|
433,895
|
|
|
|
624,706
|
|
|
|
926,465
|
|
Deferred compensation
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Other book / tax differences, net
|
|
|
(1,038,925
|
)
|
|
|
(1,596,068
|
)
|
|
|
1,298,104
|
|
Taxable income before adjustments
|
|
|
30,613,661
|
|
|
|
19,659,158
|
|
|
|
18,357,858
|
|
Add: capital gains
|
|
|
7,996,653
|
|
|
|
566,903
|
|
|
|
3,643,569
|
|
Estimated taxable income subject to 90% dividend requirement
|
|
$
|
38,610,314
|
|
|
$
|
20,226,061
|
|
|
$
|
22,001,427
|
|
Reconciliation
Between Cash Dividends Paid and Dividends Paid Deduction
The
following table reconciles cash dividends paid with the dividends paid deduction for the years ended September 30, 2018, 2017
and 2016:
|
|
2018
|
|
|
|
|
|
|
|
|
|
Estimated
(unaudited)
|
|
|
2017
Actual
|
|
|
2016
Actual
|
|
Cash dividends paid
|
|
$
|
53,586,063
|
|
|
$
|
46,289,248
|
|
|
$
|
42,034,183
|
|
Less: Portion designated capital gains distribution
|
|
|
(7,996,653
|
)
|
|
|
(566,903
|
)
|
|
|
(3,643,569
|
)
|
Less: Return of capital
|
|
|
(14,975,748
|
)
|
|
|
(7,361,734
|
)
|
|
|
(7,828,595
|
)
|
Estimated dividends paid deduction
|
|
$
|
30,613,662
|
|
|
$
|
38,360,611
|
|
|
$
|
30,562,019
|
|
NOTE
13 - SHAREHOLDERS’ EQUITY
Common
Stock
We
have implemented a Dividend Reinvestment and Stock Purchase Plan (the DRIP) effective December 15, 1987. Under the terms of the
DRIP, as subsequently amended, shareholders who participate may reinvest all or part of their dividends in additional shares at
a discounted price (approximately 95% of market value) directly from us, from authorized but unissued shares of our common stock.
Shareholders may also purchase additional shares through the DRIP by making optional cash payments monthly.
Amounts
received in connection with the DRIP and shares issued in connection with the DRIP for the fiscal years ended September 30, 2018,
2017 and 2016 were as follows:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
Amounts received
|
|
$
|
90,028,789
|
|
|
$
|
91,931,831
|
|
|
$
|
72,175,797
|
|
Less: Dividend reinvestments
|
|
|
12,928,356
|
|
|
|
10,125,894
|
|
|
|
8,369,146
|
|
Amounts received, net
|
|
$
|
77,100,433
|
|
|
$
|
81,805,937
|
|
|
$
|
63,806,651
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Shares Issued
|
|
|
5,816,443
|
|
|
|
6,632,713
|
|
|
|
6,515,750
|
|
The
following cash distributions were paid to common shareholders during the years ended September 30, 2018, 2017 and 2016:
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
Quarter Ended
|
|
Amount
|
|
|
Per Share
|
|
|
Amount
|
|
|
Per Share
|
|
|
Amount
|
|
|
Per Share
|
|
December 31
|
|
$
|
13,016,721
|
|
|
$
|
0.17
|
|
|
$
|
11,184,399
|
|
|
$
|
0.16
|
|
|
$
|
10,083,160
|
|
|
$
|
0.16
|
|
March 31
|
|
|
13,302,878
|
|
|
|
0.17
|
|
|
|
11,428,917
|
|
|
|
0.16
|
|
|
|
10,384,295
|
|
|
|
0.16
|
|
June 30
|
|
|
13,522,569
|
|
|
|
0.17
|
|
|
|
11,697,727
|
|
|
|
0.16
|
|
|
|
10,647,332
|
|
|
|
0.16
|
|
September 30
|
|
|
13,743,895
|
|
|
|
0.17
|
|
|
|
11,978,205
|
|
|
|
0.16
|
|
|
|
10,919,396
|
|
|
|
0.16
|
|
|
|
$
|
53,586,063
|
|
|
$
|
0.68
|
|
|
$
|
46,289,248
|
|
|
$
|
0.64
|
|
|
$
|
42,034,183
|
|
|
$
|
0.64
|
|
On
October 1, 2015, our Board of Directors approved a 6.7% increase in our quarterly common stock dividend, raising it to $0.16 per
share from $0.15 per share. This represented an annualized dividend rate of $0.64 per share. On October 2, 2017, our Board of
Directors approved a 6.3% increase in our quarterly common stock dividend, raising it to $0.17 per share from $0.16 per share.
This represents an annualized dividend rate of $0.68 per share. These two dividend raises represent a total increase of 13%. We
have maintained or increased our common stock cash dividend for 27 consecutive years. On October 1, 2018, our Board of Directors
approved a cash dividend of $0.17 per share, to be paid on December 17, 2018, to shareholders of record at the close of business
on November 15, 2018. This represents an annualized dividend rate of $0.68 per share.
Subsequent
to fiscal year end, in October 2018, we completed a public offering of 9,200,000 shares of our Common Stock (including the
underwriters’ option to purchase 1,200,000 additional shares) at a price of $15.00 per share, before underwriting
discounts. We received net proceeds from the offering, after deducting underwriting discounts and all other transaction
costs, of approximately $132,339,000.
Preferred
Stock
7.625%
Series A Cumulative Redeemable Preferred Stock
On
September 14, 2016, we announced that we intended to redeem all 2,139,750 issued and outstanding shares of our 7.625% Series A
Cumulative Redeemable Preferred Stock, $0.01 par value per share (7.625% Series A Preferred Stock). We redeemed all of the 7.625%
Series A Preferred Stock on October 14, 2016 at a redemption price of $25.00 per share, plus all dividends accrued and unpaid
to and including the redemption date, in an amount equal to $0.23299 per share. As of September 30, 2016, the outstanding 7.625%
Series A Preferred Stock was reclassified out of stockholder’s equity and was reflected as a liability at redemption value
and we recognized a deemed dividend of $2,942,149 on the Consolidated Statement of Income for the fiscal year ended September
30, 2016, which represents the difference between redemption value and carrying value net of original deferred issuance costs.
Prior
to its redemption, the annual dividend of the 7.625% Series A Preferred Stock was $1.90625 per share, or 7.625%, of the $25.00
per share liquidation value and was payable quarterly in arrears on March 15, June 15, September 15, and December 15.
Our
Board of Directors has authorized and we have paid the following dividends on the 7.625% Series A Preferred Stock for the fiscal
years ended September 30, 2017 and 2016:
Declaration
Date
|
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per
Share
|
|
(1)
|
9/14/16
|
|
|
10/14/16
|
|
10/14/16
|
|
$
|
498,540
|
|
|
$
|
0.23299
|
|
|
(1)
|
Represents
final dividend payment at time of redemption of the 7.625% Series A Preferred Stock
|
Declaration
Date
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per
Share
|
|
10/1/15
|
|
11/16/15
|
|
12/15/15
|
|
$
|
1,019,725
|
|
|
$
|
0.4765625
|
|
1/19/16
|
|
2/16/16
|
|
3/15/16
|
|
|
1,019,726
|
|
|
|
0.4765625
|
|
4/5/16
|
|
5/16/16
|
|
6/15/16
|
|
|
1,019,725
|
|
|
|
0.4765625
|
|
7/1/16
|
|
8/15/16
|
|
9/15/16
|
|
|
1,019,726
|
|
|
|
0.4765625
|
|
|
|
|
|
|
|
$
|
4,078,902
|
|
|
$
|
1.9062500
|
|
7.875%
Series B Cumulative Redeemable Preferred Stock
On
May 5, 2017, we announced that we intended to redeem all 2,300,000 issued and outstanding shares of our 7.875% Series B Cumulative
Redeemable Preferred Stock, $0.01 par value per share (7.875% Series B Preferred Stock). We redeemed all of the outstanding shares
of the 7.875% Series B Preferred Stock on June 7, 2017, at a redemption price of $25.00 per share, totaling $57,500,000, plus
accumulated and unpaid dividends for the period from June 1, 2017 up to and not including, the redemption date, in an amount equal
to $0.0328125, totaling $75,469, for a total cash payment of $25.0328125 per share, totaling $57,575,469. We recognized a deemed
dividend of $2,467,165 on the Consolidated Statement of Income for the fiscal year ended September 30, 2017, which represents
the difference between redemption value and carrying value net of original deferred issuance costs.
Prior
to its redemption, the annual dividend of the 7.875% Series B Preferred Stock was $1.96875 per share, or 7.875%, of the $25.00
per share liquidation value and was payable quarterly in arrears on March 15, June 15, September 15, and December 15.
Our
Board of Directors has authorized and we have paid the following dividends on the Series B Preferred Stock for the fiscal years
ended September 30, 2017 and 2016:
Declaration
Date
|
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per
Share
|
|
|
10/3/16
|
|
|
11/15/16
|
|
12/15/16
|
|
$
|
1,132,032
|
|
|
$
|
0.4921875
|
|
|
1/17/17
|
|
|
2/15/17
|
|
3/15/17
|
|
|
1,132,033
|
|
|
|
0.4921875
|
|
|
4/4/17
|
|
|
5/15/17
|
|
6/15/17
|
|
|
1,132,032
|
|
|
|
0.4921875
|
|
(1)
|
5/5/17
|
|
|
6/7/17
|
|
6/7/17
|
|
|
75,470
|
|
|
|
0.0328125
|
|
|
|
|
|
|
|
|
|
$
|
3,471,567
|
|
|
$
|
1.5093750
|
|
|
(1)
|
Represents
final dividend payment at time of redemption of the 7.875% Series B Preferred Stock
|
Declaration
Date
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per Share
|
|
10/1/15
|
|
11/16/15
|
|
12/15/15
|
|
$
|
1,132,032
|
|
|
$
|
0.4921875
|
|
1/19/16
|
|
2/16/16
|
|
3/15/16
|
|
|
1,132,033
|
|
|
|
0.4921875
|
|
4/5/16
|
|
5/16/16
|
|
6/15/16
|
|
|
1,132,032
|
|
|
|
0.4921875
|
|
7/1/16
|
|
8/15/16
|
|
9/15/16
|
|
|
1,132,033
|
|
|
|
0.4921875
|
|
|
|
|
|
|
|
$
|
4,528,130
|
|
|
$
|
1.9687500
|
|
6.125%
Series C Cumulative Redeemable Preferred Stock
On
September 13, 2016, we issued 5,400,000 shares of 6.125% Series C Cumulative Redeemable Preferred Stock, $0.01 par value per share
(6.125% Series C Preferred Stock), at an offering price of $25.00 per share in an underwritten public offering. We received net
proceeds from the offering, after deducting the underwriting discount and other estimated offering expenses, of approximately
$130,543,000. On September 15, 2016, we used $45,000,000 of such net proceeds from the offering to reduce the amounts outstanding
under our Facility and on October 14, 2016, and as discussed above, we used $53,493,750 of such net proceeds from the offering
to redeem all of the 2,139,750 issued and outstanding shares of our 7.625% Series A Preferred Stock. In addition, on October 14,
2016, we used $498,540 of such net proceeds from the offering to pay all dividends, accrued and unpaid, up to and including the
redemption date of the 7.625% Series A Preferred Stock.
On
March 9, 2017, we issued an additional 3,000,000 shares of our 6.125% Series C Preferred Stock, liquidation preference of $25.00
per share, at a public offering price of $24.50 per share, for gross proceeds of $73,500,000 before deducting the underwriting
discount and offering expenses. Net proceeds from the offering, after deducting underwriting discounts and other offering expenses
were approximately $71,003,000. As discussed above, we used the net proceeds from this offering to redeem all of the outstanding
shares of our 7.875% Series B Preferred Stock. In addition, we used $75,469 of such net proceeds from the offering to pay all
dividends, accrued and unpaid, up to and not including the redemption date of the 7.875% Series B Preferred Stock.
On
June 29, 2017, we entered into a Preferred Stock At-The-Market Sales Agreement Program with B. Riley FBR, Inc., or B. Riley (formerly
FBR Capital Markets & Co.), that provided for the offer and sale of shares of our 6.125% Series C Cumulative Redeemable Preferred
Stock, $0.01 par value per share, with a liquidation preference of $25.00 per share, or our 6.125% Series C preferred stock, having
an aggregate sales price of up to $100,000,000. On August 2, 2018, we replaced this program with a new Preferred Stock At-The-Market
Sales Agreement Program (Preferred Stock ATM Program) that provides for the offer and sale from time to time of $125,000,000 of
our 6.125% Series C preferred stock. Sales of shares of our 6.125% Series C preferred stock under the Preferred Stock ATM Program
are in “at the market offerings” as defined in Rule 415 under the Securities Act, including, without limitation, sales
made directly on or through the NYSE, or on any other existing trading market for the 6.125% Series C preferred stock or to or
through a market maker or any other method permitted by law, including, without limitation, negotiated transactions and block
trades. We began selling shares through these programs on July 3, 2017. Since inception through September 30, 2018, we sold 3,088,001
shares under these programs at a weighted average price of $25.06 per share, and generated net proceeds, after offering expenses,
of approximately $75,828,000, of which 1,648,556 shares were sold during the fiscal year ended 2018 at a weighted average price
of $24.84 per share, and generated net proceeds, after offering expenses, of approximately $40,094,000. As of September 30, 2018,
there is approximately $119,096,000 remaining that may be sold under the Preferred Stock ATM Program.
As
of September 30, 2018, 11,488,001 shares of the 6.125% Series C Preferred Stock were issued and outstanding.
We
have been and we intend to continue to use the proceeds raised through the Preferred Stock ATM Program to purchase properties
and fund expansions of our existing properties in the ordinary course of business and for general corporate purposes.
Our
Board of Directors has authorized and we have paid the following dividends on our 6.125% Series C Preferred Stock for the fiscal
years ended September 30, 2018 and 2017:
Declaration
Date
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per Share
|
|
10/2/17
|
|
11/15/17
|
|
12/15/17
|
|
$
|
4,080,685
|
|
|
$
|
0.3828125
|
|
1/16/18
|
|
2/15/18
|
|
3/15/18
|
|
|
4,220,657
|
|
|
|
0.3828125
|
|
4/2/18
|
|
5/15/18
|
|
6/15/18
|
|
|
4,247,507
|
|
|
|
0.3828125
|
|
7/2/18
|
|
8/15/18
|
|
9/17/18
|
|
|
4,327,683
|
|
|
|
0.3828125
|
|
|
|
|
|
|
|
$
|
16,876,532
|
|
|
$
|
1.53125
|
|
Declaration
Date
|
|
Record
Date
|
|
Payment
Date
|
|
Dividend
|
|
|
Dividend
per Share
|
|
10/3/16
|
|
11/15/16
|
|
12/15/16
|
|
$
|
1,791,563
|
|
|
$
|
0.3317708
|
|
1/17/17
|
|
2/15/17
|
|
3/15/17
|
|
|
2,067,190
|
|
|
|
0.3828125
|
|
4/4/17
|
|
5/15/17
|
|
6/15/17
|
|
|
3,215,629
|
|
|
|
0.3828125
|
|
7/3/17
|
|
8/15/17
|
|
9/15/17
|
|
|
3,455,985
|
|
|
|
0.3828125
|
|
|
|
|
|
|
|
$
|
10,530,367
|
|
|
$
|
1.4802083
|
|
The
annual dividend of the 6.125% Series C Preferred Stock is $1.53125 per share, or 6.125% of the $25.00 per share liquidation value
and is payable quarterly in arrears on March 15, June 15, September 15, and December 15. The 6.125% Series C Preferred Stock has
no maturity and will remain outstanding indefinitely unless redeemed or otherwise repurchased. Except in limited circumstances
relating to our qualification as a REIT, and as described below, the 6.125% Series C Preferred Stock is not redeemable prior to
September 15, 2021. On and after September 15, 2021, at any time and, from time to time, the 6.125% Series C Preferred Stock will
be redeemable in whole, or in part, at our option, at a cash redemption price of $25.00 per share, plus all accrued and unpaid
dividends (whether or not declared) to the date of redemption.
Upon
the occurrence of a Delisting Event, as defined in the Articles Supplementary (Series C Articles Supplementary) classifying and
designating the 6.125% Series C Preferred Stock, we may, at our option and subject to certain conditions, redeem the 6.125% Series
C Preferred Stock, in whole or in part, within 90 days after the Delisting Event, for a cash redemption price per share of 6.125%
Series C Preferred Stock equal to $25.00 plus any accumulated and unpaid dividends thereon (whether or not declared), to, but
not including, the redemption date.
Upon
the occurrence of a Change of Control, as defined in the Series C Articles Supplementary, we may, at our option and subject to
certain conditions, redeem the 6.125% Series C Preferred Stock, in whole or in part, within 120 days after the first date on which
such Change of Control occurred, for a cash redemption price per share of 6.125% Series C Preferred Stock equal to $25.00 plus
any accumulated and unpaid dividends thereon (whether or not declared) to, but not including, the redemption date.
On
October 1, 2018, our Board of Directors declared a quarterly dividend for the period September 1, 2018 through November 30, 2018,
of $0.3828125 per share to be paid December 17, 2018 to shareholders of record as of the close of business on November 15, 2018.
Repurchase
of Stock
On
January 16, 2018, the Board of Directors reaffirmed our Share Repurchase Program (Repurchase Program) that authorizes us to purchase
up to $10,000,000 in the aggregate of our common stock. The Repurchase Program was originally created on March 3, 2009 and is
intended to be implemented through purchases made from time to time using a variety of methods, which may include open market
purchases, privately negotiated transactions or block trades, or by any combination of such methods, in accordance with applicable
insider trading and other securities laws and regulations. The size, scope and timing of any purchases will be based on business,
market and other conditions and factors, including price, regulatory and contractual requirements or consents, and capital availability.
The Repurchase Program does not require us to acquire any particular amount of common stock, and the program may be suspended,
modified or discontinued at any time at our discretion without prior notice. We did not reacquire any of our shares of Common
Stock during the fiscal year ended September 30, 2018, nor do we possess any reacquired shares of Common Stock as of September
30, 2018. The maximum dollar value that may be purchased under the Repurchase Program as of September 30, 2018 is $10,000,000.
NOTE
14 - FAIR VALUE MEASUREMENTS
We
follow ASC 825, Financial Instruments, for financial assets and liabilities recognized at fair value on a recurring basis. We
measure certain financial assets and liabilities at fair value on a recurring basis, including securities available for sale.
Our financial assets consist mainly of marketable REIT securities. The fair value of these certain financial assets was determined
using the following inputs at September 30, 2018 and 2017:
|
|
Fair Value Measurements at Reporting Date Using
|
|
|
|
Total
|
|
|
Quoted Prices in Active Markets for
Identical Assets
(Level 1)
|
|
|
Significant
Other
Observable
Inputs (Level 2)
|
|
|
Significant Unobservable Inputs
(Level 3)
|
|
September 30, 2018:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities available for sale
|
|
$
|
154,920,545
|
|
|
$
|
154,920,545
|
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
September 30, 2017:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities available for sale
|
|
$
|
123,764,770
|
|
|
$
|
123,764,770
|
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
In
addition to our investments in Securities Available for Sale at Fair Value, we are required to disclose certain information about
fair values of our other financial instruments. Estimates of fair value are made at a specific point in time based upon, where
available, relevant market prices and information about the financial instrument. Such estimates do not include any premium or
discount that could result from offering for sale at one time our entire holdings of a particular financial instrument. For a
portion of our other financial instruments, no quoted market value exists. Therefore, estimates of fair value are necessarily
based on a number of significant assumptions (many of which involve events outside of our control). Such assumptions include assessments
of current economic conditions, perceived risks associated with these financial instruments and their counterparties; future expected
loss experience and other factors. Given the uncertainties surrounding these assumptions, the reported fair values represent estimates
only, and therefore cannot be compared to the historical accounting model. The use of different assumptions or methodologies is
likely to result in significantly different fair value estimates.
The
fair value of Cash and Cash Equivalents approximates their current carrying amounts since all such items are short-term in nature.
The fair value of variable rate Loans Payable approximates their current carrying amounts since such amounts payable are at approximately
a weighted-average current market rate of interest. The estimated fair value of fixed rate mortgage notes payable is based on
discounting the future cash flows at a year-end risk adjusted borrowing rate currently available to us for issuance of debt with
similar terms and remaining maturities. These fair value measurements fall within level 2 of the fair value hierarchy. At September
30, 2018, the fixed rate Mortgage Notes Payable fair value (estimated based upon expected cash outflows discounted at current
market rates) amounted to $706,745,000 and the carrying value amounted to $719,768,355. When we acquired a property, prior to
April 1, 2017, that was accounted for as a business combination, it was required to fair value all of the assets and liabilities,
including intangible assets and liabilities, relating to the properties acquired lease (See Note 3). Those fair value measurements
were estimated based on independent third-party appraisals and fell within level 3 of the fair value hierarchy.
NOTE
15 - CASH FLOW
During
fiscal years 2018, 2017 and 2016, we paid cash for interest of $31,335,763, $24,290,811 and $21,967,741, respectively.
During
fiscal years 2018, 2017 and 2016, we had $12,928,356, $10,125,894 and $8,369,146, respectively, of dividends which were reinvested
that required no cash transfers.
NOTE
16 – CONTINGENCIES, COMMITMENTS AND LEGAL MATTERS
From
time to time, we can be subject to claims and litigation in the ordinary course of business. We do not believe that any such claim
or litigation will have a material adverse effect on our consolidated balance sheet or results of operations.
In
addition to the property purchased subsequent to our fiscal yearend, as described in Note 17, we have entered into agreements
to purchase two new build-to-suit, industrial buildings that are currently being developed in Georgia and North Carolina, consisting
of approximately 398,000 square feet, with net-leased terms ranging from 10 to 15 years, with a weighted average lease term of
13.4 years. The purchase price for these properties is approximately $68,747,000 and both are leased to FedEx Ground Package
System, Inc. Subject to satisfactory due diligence and other customary closing conditions and requirements, we anticipate
closing these transactions during the first quarter of fiscal 2019 and fiscal 2020. In connection with one of these properties,
we have entered into a commitment to obtain a 15 year, fully-amortizing mortgage loan of $17,500,000 with a fixed interest rate
of 4.40%.
We
currently have one 154,800 square foot property expansion in progress at our property located in Monroe, OH which is expected
to be completed in fiscal year 2019 for a total project cost of approximately $9,072,000. The expansion will result in a new 15
year lease which will extend the prior lease expiration date from February 2030 to January 2034. In addition, the expansion will
result in an increase in initial annual rent effective from the date of completion by approximately $862,000 from approximately
$961,000, or $4.14 per square foot, to approximately $1,823,000, or $4.71 per square foot. In addition, the annual rent will increase
2% per annum.
NOTE
17 – SUBSEQUENT EVENTS
Material
subsequent events have been evaluated and are disclosed herein.
Subsequent
to fiscal yearend, in October 2018, we completed a public offering of 9,200,000 shares of our Common Stock (including the underwriters’
option to purchase 1,200,000 additional shares) at a price of $15.00 per share, before underwriting discounts. We received net
proceeds from the offering, after deducting underwriting discounts and all other transaction costs, of approximately $132,339,000.
Subsequent
to fiscal yearend, on October 19, 2018, we purchased a newly constructed 347,145 square foot industrial building, situated on
62.0 acres, located in Trenton, NJ. The building is 100% net-leased to FedEx Ground Package System, Inc. for 15 years through
June 2032. The purchase price was $85,248,352. We obtained a 15 year, fully-amortizing mortgage loan of $55,000,000 at a fixed
interest rate of 4.13%. Annual rental revenue over the remaining term of the lease averages approximately $5,328,000.
The
industrial property purchased thus far during fiscal 2019 increased our current total leasable square feet to approximately
21,521,000.
Subsequent
to fiscal yearend, on October 9, 2018, we paid down $50,000,000 on the Facility which reduced our amount outstanding to $110,000,000.
Subsequent
to fiscal yearend, on October 9, 2018, we paid off the margin loan.
NOTE
18 – SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED)
The
following is the Unaudited Selected Quarterly Financial Data:
SELECTED
QUARTERLY FINANCIAL DATA (UNAUDITED)
THREE
MONTHS ENDED
FISCAL 2018
|
|
12/31/17
|
|
|
3/31/18
|
|
|
6/30/18
|
|
|
9/30/18
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rental and Reimbursement Revenue
|
|
$
|
32,741,822
|
|
|
$
|
33,621,508
|
|
|
$
|
36,197,825
|
|
|
$
|
36,600,694
|
|
Lease Termination Income
|
|
|
210,261
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Total Expenses
|
|
|
16,267,991
|
|
|
|
16,920,664
|
|
|
|
19,073,092
|
|
|
|
19,471,976
|
|
Other Income (Expense)
|
|
|
(4,441,577
|
)
|
|
|
(5,055,841
|
)
|
|
|
(4,651,340
|
)
|
|
|
(4,969,095
|
)
|
Income from Continuing Operations
|
|
|
12,242,515
|
|
|
|
11,645,003
|
|
|
|
12,473,393
|
|
|
|
12,159,623
|
|
Income from Continuing Operations per diluted share
|
|
$
|
0.16
|
|
|
$
|
0.15
|
|
|
$
|
0.16
|
|
|
$
|
0.15
|
|
Gain on Sale of Real Estate Investment
|
|
|
5,387,886
|
|
|
|
-0-
|
|
|
|
2,097,380
|
|
|
|
-0-
|
|
Net Income
|
|
|
17,630,401
|
|
|
|
11,645,003
|
|
|
|
14,570,773
|
|
|
|
12,159,623
|
|
Net Income per diluted share
|
|
$
|
0.23
|
|
|
$
|
0.15
|
|
|
$
|
0.18
|
|
|
$
|
0.15
|
|
Net Income Attributable to Common Shareholders
|
|
|
13,313,455
|
|
|
|
7,396,784
|
|
|
|
10,322,744
|
|
|
|
7,782,361
|
|
Net Income Attributable to Common Shareholders per diluted share
|
|
$
|
0.17
|
|
|
$
|
0.10
|
|
|
$
|
0.13
|
|
|
$
|
0.10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FISCAL 2017
|
|
|
12/31/16
|
|
|
|
3/31/17
|
|
|
|
6/30/17
|
|
|
|
9/30/17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rental and Reimbursement Revenue
|
|
$
|
27,891,442
|
|
|
$
|
28,018,022
|
|
|
$
|
29,318,927
|
|
|
$
|
31,156,914
|
|
Total Expenses
|
|
|
13,972,561
|
|
|
|
14,495,329
|
|
|
|
14,840,339
|
|
|
|
16,294,148
|
|
Other Income (Expense)
|
|
|
(4,064,960
|
)
|
|
|
(5,098,082
|
)
|
|
|
(2,748,225
|
)
|
|
|
(4,600,576
|
)
|
Income from Continuing Operations
|
|
|
9,853,921
|
|
|
|
8,424,611
|
|
|
|
11,730,363
|
|
|
|
10,262,190
|
|
Income from Continuing Operations per diluted share
|
|
$
|
0.14
|
|
|
$
|
0.12
|
|
|
$
|
0.16
|
|
|
$
|
0.14
|
|
Net Income
|
|
|
9,853,921
|
|
|
|
8,424,611
|
|
|
|
11,730,363
|
|
|
|
10,262,190
|
|
Net Income per diluted share
|
|
$
|
0.14
|
|
|
$
|
0.12
|
|
|
$
|
0.16
|
|
|
$
|
0.14
|
|
Net Income Attributable to Common Shareholders
|
|
|
6,156,161
|
|
|
|
4,842,575
|
|
|
|
5,217,411
|
|
|
|
6,726,087
|
|
Net Income Attributable to Common Shareholders per diluted share
|
|
$
|
0.09
|
|
|
$
|
0.07
|
|
|
$
|
0.07
|
|
|
$
|
0.09
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column B
|
|
|
Column C
|
|
|
Column D
|
|
|
|
|
|
|
|
|
|
|
|
|
Capitalization
|
|
|
|
|
|
|
|
|
|
Buildings and
|
|
|
Subsequent to
|
|
Description
|
|
Encumbrances
|
|
|
Land
|
|
|
Improvements
|
|
|
Acquisition
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Industrial Buildings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Monaca (Pittsburgh), PA
|
|
$
|
-0-
|
|
|
$
|
401,716
|
|
|
$
|
878,081
|
|
|
$
|
6,630,869
|
|
Ridgeland (Jackson), MS
|
|
|
-0-
|
|
|
|
218,000
|
|
|
|
1,233,500
|
|
|
|
433,754
|
|
Urbandale (Des Moines), IA
|
|
|
-0-
|
|
|
|
310,000
|
|
|
|
1,758,000
|
|
|
|
455,644
|
|
Richland (Jackson), MS
|
|
|
-0-
|
|
|
|
211,000
|
|
|
|
1,195,000
|
|
|
|
494,691
|
|
O’Fallon (St. Louis), MO
|
|
|
-0-
|
|
|
|
264,000
|
|
|
|
3,302,000
|
|
|
|
679,913
|
|
Fayetteville, NC
|
|
|
-0-
|
|
|
|
172,000
|
|
|
|
4,467,885
|
|
|
|
811,744
|
|
Schaumburg (Chicago), IL
|
|
|
-0-
|
|
|
|
1,039,800
|
|
|
|
3,694,320
|
|
|
|
443,820
|
|
Burr Ridge (Chicago), IL
|
|
|
-0-
|
|
|
|
270,000
|
|
|
|
1,236,599
|
|
|
|
186,302
|
|
Romulus (Detroit), MI
|
|
|
-0-
|
|
|
|
531,000
|
|
|
|
3,653,883
|
|
|
|
547,788
|
|
Liberty (Kansas City), MO
|
|
|
-0-
|
|
|
|
723,000
|
|
|
|
6,498,324
|
|
|
|
176,557
|
|
Omaha, NE
|
|
|
-0-
|
|
|
|
1,170,000
|
|
|
|
4,425,500
|
|
|
|
349,191
|
|
Charlottesville, VA
|
|
|
-0-
|
|
|
|
1,170,000
|
|
|
|
2,845,000
|
|
|
|
440,702
|
|
Jacksonville, FL (FDX)
|
|
|
-0-
|
|
|
|
1,165,000
|
|
|
|
4,668,080
|
|
|
|
563,878
|
|
West Chester Twp. (Cincinnati), OH
|
|
|
-0-
|
|
|
|
695,000
|
|
|
|
3,342,000
|
|
|
|
1,696,686
|
|
Mechanicsville (Richmond), VA
|
|
|
-0-
|
|
|
|
1,160,000
|
|
|
|
6,413,305
|
|
|
|
219,090
|
|
St. Joseph, MO
|
|
|
-0-
|
|
|
|
800,000
|
|
|
|
11,753,964
|
|
|
|
809,684
|
|
Newington (Hartford), CT
|
|
|
-0-
|
|
|
|
410,000
|
|
|
|
2,961,000
|
|
|
|
123,108
|
|
Cudahy (Milwaukee), WI
|
|
|
-0-
|
|
|
|
980,000
|
|
|
|
5,050,997
|
|
|
|
3,735,364
|
|
Beltsville (Washington, DC), MD
|
|
|
-0-
|
|
|
|
3,200,000
|
|
|
|
5,958,773
|
|
|
|
5,353,582
|
|
Carlstadt (New York, NY), NJ
|
|
|
1,580,181
|
|
|
|
1,194,000
|
|
|
|
3,645,501
|
|
|
|
102,901
|
|
Granite City (St. Louis, MO), IL
|
|
|
-0-
|
|
|
|
340,000
|
|
|
|
12,046,675
|
|
|
|
311,173
|
|
Winston-Salem, NC
|
|
|
-0-
|
|
|
|
980,000
|
|
|
|
5,610,000
|
|
|
|
656,326
|
|
Elgin (Chicago), IL
|
|
|
-0-
|
|
|
|
1,280,000
|
|
|
|
5,529,488
|
|
|
|
167,954
|
|
Cheektowaga (Buffalo), NY
|
|
|
-0-
|
|
|
|
4,796,765
|
|
|
|
3,883,971
|
|
|
|
2,280,087
|
|
Tolleson (Phoenix), AZ
|
|
|
3,719,709
|
|
|
|
1,316,075
|
|
|
|
13,329,000
|
|
|
|
2,179,151
|
|
Edwardsville (Kansas City), KS (Carlisle Tire)
|
|
|
-0-
|
|
|
|
1,185,000
|
|
|
|
5,815,148
|
|
|
|
232,838
|
|
Wheeling (Chicago), IL
|
|
|
-0-
|
|
|
|
5,112,120
|
|
|
|
9,186,606
|
|
|
|
4,683,748
|
|
Richmond, VA
|
|
|
-0-
|
|
|
|
446,000
|
|
|
|
3,910,500
|
|
|
|
411,809
|
|
Tampa, FL (FDX Ground)
|
|
|
5,144,319
|
|
|
|
5,000,000
|
|
|
|
12,660,003
|
|
|
|
2,041,572
|
|
Montgomery (Chicago), IL
|
|
|
-0-
|
|
|
|
2,000,000
|
|
|
|
9,225,683
|
|
|
|
77,634
|
|
Denver, CO
|
|
|
414,049
|
|
|
|
1,150,000
|
|
|
|
3,890,300
|
|
|
|
1,313,751
|
|
Hanahan (Charleston), SC (SAIC)
|
|
|
-0-
|
|
|
|
1,129,000
|
|
|
|
11,831,321
|
|
|
|
449,781
|
|
Hanahan (Charleston), SC (FDX Ground)
|
|
|
465,749
|
|
|
|
930,000
|
|
|
|
3,426,362
|
|
|
|
3,258,291
|
|
Augusta, GA (FDX Ground)
|
|
|
338,789
|
|
|
|
614,406
|
|
|
|
3,026,409
|
|
|
|
1,722,490
|
|
Tampa, FL (Tampa Bay Grand Prix)
|
|
|
-0-
|
|
|
|
1,867,000
|
|
|
|
3,684,794
|
|
|
|
126,188
|
|
Huntsville, AL
|
|
|
370,903
|
|
|
|
748,115
|
|
|
|
2,724,418
|
|
|
|
3,189,278
|
|
Augusta, GA (FDX)
|
|
|
-0-
|
|
|
|
380,000
|
|
|
|
1,400,943
|
|
|
|
196,836
|
|
Lakeland, FL
|
|
|
-0-
|
|
|
|
261,000
|
|
|
|
1,621,163
|
|
|
|
161,063
|
|
El Paso, TX
|
|
|
-0-
|
|
|
|
3,225,195
|
|
|
|
4,514,427
|
|
|
|
4,691,570
|
|
Richfield (Cleveland), OH
|
|
|
-0-
|
|
|
|
2,676,848
|
|
|
|
7,197,945
|
|
|
|
6,572,385
|
|
Tampa, FL (FDX)
|
|
|
-0-
|
|
|
|
2,830,000
|
|
|
|
4,704,531
|
|
|
|
322,589
|
|
Griffin (Atlanta), GA
|
|
|
-0-
|
|
|
|
760,000
|
|
|
|
13,692,115
|
|
|
|
481,568
|
|
Roanoke, VA (CHEP USA)
|
|
|
-0-
|
|
|
|
1,853,000
|
|
|
|
4,817,298
|
|
|
|
793,374
|
|
Orion, MI
|
|
|
-0-
|
|
|
|
4,649,971
|
|
|
|
13,053,289
|
|
|
|
5,186,864
|
|
Chattanooga, TN
|
|
|
-0-
|
|
|
|
300,000
|
|
|
|
4,464,711
|
|
|
|
373,829
|
|
Bedford Heights (Cleveland), OH
|
|
|
-0-
|
|
|
|
990,000
|
|
|
|
4,893,912
|
|
|
|
1,035,924
|
|
Punta Gorda, FL
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
4,104,915
|
|
|
|
28,595
|
|
Cocoa, FL
|
|
|
-0-
|
|
|
|
1,881,316
|
|
|
|
8,623,564
|
|
|
|
3,622,569
|
|
Orlando, FL
|
|
|
-0-
|
|
|
|
2,200,000
|
|
|
|
6,133,800
|
|
|
|
440,724
|
|
Topeka, KS
|
|
|
860,364
|
|
|
|
-0-
|
|
|
|
3,679,843
|
|
|
|
-0-
|
|
Memphis, TN
|
|
|
5,061,376
|
|
|
|
1,234,987
|
|
|
|
13,380,000
|
|
|
|
-0-
|
|
Houston, TX
|
|
|
2,148,201
|
|
|
|
1,661,120
|
|
|
|
6,320,000
|
|
|
|
182,158
|
|
Carrollton (Dallas), TX
|
|
|
6,455,552
|
|
|
|
1,500,000
|
|
|
|
16,240,000
|
|
|
|
79,203
|
|
Ft. Mill (Charlotte, NC), SC
|
|
|
724,766
|
|
|
|
1,746,822
|
|
|
|
10,045,000
|
|
|
|
5,282,214
|
|
Lebanon (Nashville), TN
|
|
|
7,217,469
|
|
|
|
2,230,000
|
|
|
|
11,985,126
|
|
|
|
-0-
|
|
Rockford, IL (Sherwin-Williams Co.)
|
|
|
-0-
|
|
|
|
1,100,000
|
|
|
|
4,440,000
|
|
|
|
11,227
|
|
Edinburg, TX
|
|
|
-0-
|
|
|
|
1,000,000
|
|
|
|
6,414,000
|
|
|
|
4,625,014
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column B
|
|
|
Column C
|
|
|
Column D
|
|
|
|
|
|
|
|
|
|
|
|
|
Capitalization
|
|
|
|
|
|
|
|
|
|
Buildings and
|
|
|
Subsequent to
|
|
Description
|
|
Encumbrances
|
|
|
Land
|
|
|
Improvements
|
|
|
Acquisition
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Streetsboro (Cleveland), OH
|
|
$
|
9,300,481
|
|
|
$
|
1,760,000
|
|
|
$
|
17,840,000
|
|
|
$
|
-0-
|
|
Corpus Christi, TX
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
4,764,500
|
|
|
|
43,830
|
|
Halfmoon (Albany), NY
|
|
|
-0-
|
|
|
|
1,190,000
|
|
|
|
4,335,600
|
|
|
|
-0-
|
|
Lebanon (Cincinnati), OH
|
|
|
-0-
|
|
|
|
240,000
|
|
|
|
4,176,000
|
|
|
|
36,425
|
|
Olive Branch (Memphis, TN), MS (Anda)
|
|
|
7,564,186
|
|
|
|
800,000
|
|
|
|
13,750,000
|
|
|
|
-0-
|
|
Oklahoma City, OK (FDX Ground)
|
|
|
3,416,097
|
|
|
|
1,410,000
|
|
|
|
8,043,000
|
|
|
|
3,131,462
|
|
Waco, TX
|
|
|
4,234,777
|
|
|
|
1,350,000
|
|
|
|
7,383,000
|
|
|
|
3,818,368
|
|
Livonia (Detroit), MI
|
|
|
6,294,503
|
|
|
|
320,000
|
|
|
|
13,380,000
|
|
|
|
62,030
|
|
Olive Branch (Memphis, TN), MS (Milwaukee Tool)
|
|
|
21,722,567
|
|
|
|
2,550,000
|
|
|
|
24,818,816
|
|
|
|
9,546,101
|
|
Roanoke, VA (FDX Ground)
|
|
|
4,395,246
|
|
|
|
1,740,000
|
|
|
|
8,460,000
|
|
|
|
-0-
|
|
Green Bay, WI
|
|
|
2,640,432
|
|
|
|
590,000
|
|
|
|
5,980,000
|
|
|
|
-0-
|
|
Stewartville (Rochester), MN
|
|
|
2,115,962
|
|
|
|
900,000
|
|
|
|
4,320,000
|
|
|
|
-0-
|
|
Tulsa, OK
|
|
|
1,685,288
|
|
|
|
790,000
|
|
|
|
2,910,000
|
|
|
|
48,031
|
|
Buckner (Louisville), KY
|
|
|
15,305,669
|
|
|
|
2,280,000
|
|
|
|
24,353,125
|
|
|
|
174,727
|
|
Edwardsville (Kansas City), KS (International Paper)
|
|
|
9,189,343
|
|
|
|
2,750,000
|
|
|
|
15,335,492
|
|
|
|
208,616
|
|
Altoona, PA
|
|
|
3,253,281
|
|
|
|
1,200,000
|
|
|
|
7,790,000
|
|
|
|
32,966
|
|
Spring (Houston), TX
|
|
|
7,924,865
|
|
|
|
1,890,000
|
|
|
|
13,391,318
|
|
|
|
4,013,078
|
|
Indianapolis, IN
|
|
|
10,437,151
|
|
|
|
3,745,572
|
|
|
|
20,446,000
|
|
|
|
1,312,510
|
|
Sauget (St. Louis, MO), IL
|
|
|
8,563,797
|
|
|
|
1,890,000
|
|
|
|
13,310,000
|
|
|
|
4,950
|
|
Lindale (Tyler), TX
|
|
|
5,638,258
|
|
|
|
540,000
|
|
|
|
9,390,000
|
|
|
|
35,550
|
|
Kansas City, MO
|
|
|
6,633,001
|
|
|
|
1,000,000
|
|
|
|
8,600,000
|
|
|
|
380,250
|
|
Frankfort (Lexington), KY
|
|
|
16,639,132
|
|
|
|
1,850,000
|
|
|
|
26,150,000
|
|
|
|
-0-
|
|
Jacksonville, FL (FDX Ground)
|
|
|
16,243,754
|
|
|
|
6,000,000
|
|
|
|
24,645,954
|
|
|
|
89,748
|
|
Monroe (Cincinnati), OH
|
|
|
7,126,384
|
|
|
|
1,800,000
|
|
|
|
11,137,000
|
|
|
|
4,587,760
|
|
Greenwood (Indianapolis), IN
|
|
|
20,159,025
|
|
|
|
2,250,000
|
|
|
|
35,234,574
|
|
|
|
27,497
|
|
Ft. Worth (Dallas), TX
|
|
|
20,753,864
|
|
|
|
8,200,000
|
|
|
|
27,100,832
|
|
|
|
-0-
|
|
Cincinnati, OH
|
|
|
-0-
|
|
|
|
800,000
|
|
|
|
5,950,000
|
|
|
|
-0-
|
|
Rockford, IL (Collins Aerospace Systems)
|
|
|
-0-
|
|
|
|
480,000
|
|
|
|
4,620,000
|
|
|
|
-0-
|
|
Concord (Charlotte), NC
|
|
|
17,813,451
|
|
|
|
4,305,000
|
|
|
|
27,670,897
|
|
|
|
1,068,900
|
|
Covington (New Orleans), LA
|
|
|
11,133,990
|
|
|
|
2,720,000
|
|
|
|
15,690,000
|
|
|
|
-0-
|
|
Imperial (Pittsburgh), PA
|
|
|
11,199,661
|
|
|
|
3,700,000
|
|
|
|
16,250,000
|
|
|
|
-0-
|
|
Burlington (Seattle/Everett), WA
|
|
|
17,757,364
|
|
|
|
8,000,000
|
|
|
|
22,210,680
|
|
|
|
17,867
|
|
Colorado Springs, CO
|
|
|
16,651,710
|
|
|
|
2,150,000
|
|
|
|
26,350,000
|
|
|
|
820,066
|
|
Louisville, KY
|
|
|
6,525,135
|
|
|
|
1,590,000
|
|
|
|
9,714,000
|
|
|
|
-0-
|
|
Davenport (Orlando), FL
|
|
|
23,702,918
|
|
|
|
7,060,000
|
|
|
|
30,720,000
|
|
|
|
-0-
|
|
Olathe (Kansas City), KS
|
|
|
19,956,867
|
|
|
|
2,350,000
|
|
|
|
29,387,000
|
|
|
|
-0-
|
|
Hamburg (Buffalo), NY
|
|
|
21,328,714
|
|
|
|
1,700,000
|
|
|
|
33,150,000
|
|
|
|
-0-
|
|
Ft. Myers, FL
|
|
|
13,280,803
|
|
|
|
2,486,417
|
|
|
|
18,400,000
|
|
|
|
777,218
|
|
Walker (Grand Rapids), MI
|
|
|
19,468,554
|
|
|
|
4,034,363
|
|
|
|
27,620,623
|
|
|
|
-0-
|
|
Mesquite (Dallas), TX
|
|
|
30,928,224
|
|
|
|
6,247,658
|
|
|
|
43,632,835
|
|
|
|
-0-
|
|
Aiken (Augusta, GA), SC
|
|
|
14,471,117
|
|
|
|
1,362,458
|
|
|
|
19,677,937
|
|
|
|
-0-
|
|
Homestead (Miami), FL
|
|
|
23,313,676
|
|
|
|
4,426,727
|
|
|
|
33,446,393
|
|
|
|
-0-
|
|
Oklahoma City, OK (Bunzl)
|
|
|
5,537,962
|
|
|
|
844,688
|
|
|
|
7,883,751
|
|
|
|
-0-
|
|
Concord (Charlotte), NC
|
|
|
24,863,355
|
|
|
|
4,306,684
|
|
|
|
35,736,461
|
|
|
|
-0-
|
|
Kenton, OH
|
|
|
11,473,387
|
|
|
|
854,780
|
|
|
|
17,026,827
|
|
|
|
-0-
|
|
Stow, OH
|
|
|
12,130,343
|
|
|
|
1,429,715
|
|
|
|
17,504,350
|
|
|
|
-0-
|
|
Charleston, SC (FDX)
|
|
|
13,683,131
|
|
|
|
4,639,283
|
|
|
|
16,847,923
|
|
|
|
32,205
|
|
Oklahoma City, OK (Amazon)
|
|
|
19,013,593
|
|
|
|
1,618,240
|
|
|
|
28,260,702
|
|
|
|
-0-
|
|
Savannah, GA
|
|
|
32,215,696
|
|
|
|
4,404,988
|
|
|
|
51,620,957
|
|
|
|
-0-
|
|
Daytona Beach, FL
|
|
|
19,187,819
|
|
|
|
3,119,640
|
|
|
|
26,853,559
|
|
|
|
-0-
|
|
Mobile, AL
|
|
|
18,832,395
|
|
|
|
2,480,474
|
|
|
|
30,571,842
|
|
|
|
-0-
|
|
Charleston, SC (FDX Ground)
|
|
|
29,860,000
|
|
|
|
7,103,106
|
|
|
|
39,473,274
|
|
|
|
-0-
|
|
Braselton (Atlanta), GA
|
|
|
39,700,000
|
|
|
|
13,964,652
|
|
|
|
46,262,482
|
|
|
|
-0-
|
|
Shopping Center
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Somerset, NJ
|
|
|
-0-
|
|
|
|
34,317
|
|
|
|
637,097
|
|
|
|
2,440,363
|
|
Vacant Land
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shelby County, TN
|
|
|
-0-
|
|
|
|
11,065
|
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
$
|
719,768,355
|
|
|
$
|
224,719,083
|
|
|
$
|
1,380,703,773
|
|
|
$
|
114,155,563
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column E (1) (2)
|
|
|
|
Gross Amount at Which Carried
|
|
|
|
September 30, 2018
|
|
Description
|
|
Land
|
|
|
Bldg & Imp
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
Industrial Buildings
|
|
|
|
|
|
|
|
|
|
|
|
|
Monaca (Pittsburgh), PA
|
|
$
|
401,716
|
|
|
$
|
7,508,950
|
|
|
$
|
7,910,666
|
|
Ridgeland (Jackson), MS
|
|
|
218,000
|
|
|
|
1,667,254
|
|
|
|
1,885,254
|
|
Urbandale (Des Moines), IA
|
|
|
310,000
|
|
|
|
2,213,644
|
|
|
|
2,523,644
|
|
Richland (Jackson), MS
|
|
|
211,000
|
|
|
|
1,689,691
|
|
|
|
1,900,691
|
|
O’Fallon (St. Louis), MO
|
|
|
264,000
|
|
|
|
3,981,913
|
|
|
|
4,245,913
|
|
Fayetteville, NC
|
|
|
172,000
|
|
|
|
5,279,629
|
|
|
|
5,451,629
|
|
Schaumburg (Chicago), IL
|
|
|
1,039,800
|
|
|
|
4,138,140
|
|
|
|
5,177,940
|
|
Burr Ridge (Chicago), IL
|
|
|
270,000
|
|
|
|
1,422,901
|
|
|
|
1,692,901
|
|
Romulus (Detroit), MI
|
|
|
531,000
|
|
|
|
4,201,671
|
|
|
|
4,732,671
|
|
Liberty (Kansas City), MO
|
|
|
723,000
|
|
|
|
6,674,881
|
|
|
|
7,397,881
|
|
Omaha, NE
|
|
|
1,170,000
|
|
|
|
4,774,691
|
|
|
|
5,944,691
|
|
Charlottesville, VA
|
|
|
1,170,000
|
|
|
|
3,285,702
|
|
|
|
4,455,702
|
|
Jacksonville, FL (FDX)
|
|
|
1,165,000
|
|
|
|
5,231,958
|
|
|
|
6,396,958
|
|
West Chester Twp. (Cincinnati), OH
|
|
|
695,000
|
|
|
|
5,038,686
|
|
|
|
5,733,686
|
|
Mechanicsville (Richmond), VA
|
|
|
1,160,000
|
|
|
|
6,632,395
|
|
|
|
7,792,395
|
|
St. Joseph, MO
|
|
|
800,000
|
|
|
|
12,563,648
|
|
|
|
13,363,648
|
|
Newington (Hartford), CT
|
|
|
410,000
|
|
|
|
3,084,108
|
|
|
|
3,494,108
|
|
Cudahy (Milwaukee), WI
|
|
|
980,000
|
|
|
|
8,786,361
|
|
|
|
9,766,361
|
|
Beltsville (Washington, DC), MD
|
|
|
3,200,000
|
|
|
|
11,312,355
|
|
|
|
14,512,355
|
|
Carlstadt (New York, NY), NJ
|
|
|
1,194,000
|
|
|
|
3,748,402
|
|
|
|
4,942,402
|
|
Granite City (St. Louis, MO), IL
|
|
|
340,000
|
|
|
|
12,357,848
|
|
|
|
12,697,848
|
|
Winston-Salem, NC
|
|
|
980,000
|
|
|
|
6,266,326
|
|
|
|
7,246,326
|
|
Elgin (Chicago), IL
|
|
|
1,280,000
|
|
|
|
5,697,442
|
|
|
|
6,977,442
|
|
Cheektowaga (Buffalo), NY
|
|
|
4,796,765
|
|
|
|
6,164,058
|
|
|
|
10,960,823
|
|
Tolleson (Phoenix), AZ
|
|
|
1,316,075
|
|
|
|
15,508,151
|
|
|
|
16,824,226
|
|
Edwardsville (Kansas City), KS (Carlisle Tire)
|
|
|
1,185,000
|
|
|
|
6,047,986
|
|
|
|
7,232,986
|
|
Wheeling (Chicago), IL
|
|
|
5,112,120
|
|
|
|
13,870,354
|
|
|
|
18,982,474
|
|
Richmond, VA
|
|
|
446,000
|
|
|
|
4,322,309
|
|
|
|
4,768,309
|
|
Tampa, FL (FDX Ground)
|
|
|
5,000,000
|
|
|
|
14,701,575
|
|
|
|
19,701,575
|
|
Montgomery (Chicago), IL
|
|
|
2,000,000
|
|
|
|
9,303,317
|
|
|
|
11,303,317
|
|
Denver, CO
|
|
|
1,150,000
|
|
|
|
5,204,051
|
|
|
|
6,354,051
|
|
Hanahan (Charleston), SC (SAIC)
|
|
|
1,129,000
|
|
|
|
12,281,102
|
|
|
|
13,410,102
|
|
Hanahan (Charleston), SC (FDX Ground)
|
|
|
930,000
|
|
|
|
6,684,653
|
|
|
|
7,614,653
|
|
Augusta, GA (FDX Ground)
|
|
|
614,406
|
|
|
|
4,748,899
|
|
|
|
5,363,305
|
|
Tampa, FL (Tampa Bay Grand Prix)
|
|
|
1,867,000
|
|
|
|
3,810,982
|
|
|
|
5,677,982
|
|
Huntsville, AL
|
|
|
748,115
|
|
|
|
5,913,696
|
|
|
|
6,661,811
|
|
Augusta, GA (FDX)
|
|
|
380,000
|
|
|
|
1,597,779
|
|
|
|
1,977,779
|
|
Lakeland, FL
|
|
|
261,000
|
|
|
|
1,782,226
|
|
|
|
2,043,226
|
|
El Paso, TX
|
|
|
3,225,195
|
|
|
|
9,205,997
|
|
|
|
12,431,192
|
|
Richfield (Cleveland), OH
|
|
|
2,676,848
|
|
|
|
13,770,330
|
|
|
|
16,447,178
|
|
Tampa, FL (FDX)
|
|
|
2,830,000
|
|
|
|
5,027,120
|
|
|
|
7,857,120
|
|
Griffin (Atlanta), GA
|
|
|
760,000
|
|
|
|
14,173,683
|
|
|
|
14,933,683
|
|
Roanoke, VA (CHEP USA)
|
|
|
1,853,000
|
|
|
|
5,610,672
|
|
|
|
7,463,672
|
|
Orion, MI
|
|
|
4,649,971
|
|
|
|
18,240,153
|
|
|
|
22,890,124
|
|
Chattanooga, TN
|
|
|
300,000
|
|
|
|
4,838,540
|
|
|
|
5,138,540
|
|
Bedford Heights (Cleveland), OH
|
|
|
990,000
|
|
|
|
5,929,836
|
|
|
|
6,919,836
|
|
Punta Gorda, FL
|
|
|
-0-
|
|
|
|
4,133,510
|
|
|
|
4,133,510
|
|
Cocoa, FL
|
|
|
1,881,316
|
|
|
|
12,246,133
|
|
|
|
14,127,449
|
|
Orlando, FL
|
|
|
2,200,000
|
|
|
|
6,574,524
|
|
|
|
8,774,524
|
|
Topeka, KS
|
|
|
-0-
|
|
|
|
3,679,843
|
|
|
|
3,679,843
|
|
Memphis, TN
|
|
|
1,234,987
|
|
|
|
13,380,000
|
|
|
|
14,614,987
|
|
Houston, TX
|
|
|
1,661,120
|
|
|
|
6,502,158
|
|
|
|
8,163,278
|
|
Carrollton (Dallas), TX
|
|
|
1,500,000
|
|
|
|
16,319,203
|
|
|
|
17,819,203
|
|
Ft. Mill (Charlotte, NC), SC
|
|
|
1,746,822
|
|
|
|
15,327,214
|
|
|
|
17,074,036
|
|
Lebanon (Nashville), TN
|
|
|
2,230,000
|
|
|
|
11,985,126
|
|
|
|
14,215,126
|
|
Rockford, IL (Sherwin-Williams Co.)
|
|
|
1,100,000
|
|
|
|
4,451,227
|
|
|
|
5,551,227
|
|
Edinburg, TX
|
|
|
1,000,000
|
|
|
|
11,039,014
|
|
|
|
12,039,014
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column E (1) (2)
|
|
|
|
Gross Amount at Which Carried
|
|
|
|
September 30, 2018
|
|
Description
|
|
Land
|
|
|
Bldg & Imp
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
Streetsboro (Cleveland), OH
|
|
$
|
1,760,000
|
|
|
$
|
17,840,000
|
|
|
$
|
19,600,000
|
|
Corpus Christi, TX
|
|
|
-0-
|
|
|
|
4,808,330
|
|
|
|
4,808,330
|
|
Halfmoon (Albany), NY
|
|
|
1,190,000
|
|
|
|
4,335,600
|
|
|
|
5,525,600
|
|
Lebanon (Cincinnati), OH
|
|
|
240,000
|
|
|
|
4,212,425
|
|
|
|
4,452,425
|
|
Olive Branch (Memphis, TN), MS (Anda Pharmaceuticals Inc.)
|
|
|
800,000
|
|
|
|
13,750,000
|
|
|
|
14,550,000
|
|
Oklahoma City, OK (FDX Ground)
|
|
|
1,410,000
|
|
|
|
11,174,462
|
|
|
|
12,584,462
|
|
Waco, TX
|
|
|
1,350,000
|
|
|
|
11,201,368
|
|
|
|
12,551,368
|
|
Livonia (Detroit), MI
|
|
|
320,000
|
|
|
|
13,442,030
|
|
|
|
13,762,030
|
|
Olive Branch (Memphis, TN), MS (Milwaukee Tool)
|
|
|
2,550,000
|
|
|
|
34,364,917
|
|
|
|
36,914,917
|
|
Roanoke, VA (FDX Ground)
|
|
|
1,740,000
|
|
|
|
8,460,000
|
|
|
|
10,200,000
|
|
Green Bay, WI
|
|
|
590,000
|
|
|
|
5,980,000
|
|
|
|
6,570,000
|
|
Stewartville (Rochester), MN
|
|
|
900,000
|
|
|
|
4,320,000
|
|
|
|
5,220,000
|
|
Tulsa, OK
|
|
|
790,000
|
|
|
|
2,958,031
|
|
|
|
3,748,031
|
|
Buckner (Louisville), KY
|
|
|
2,280,000
|
|
|
|
24,527,852
|
|
|
|
26,807,852
|
|
Edwardsville (Kansas City), KS (International Paper)
|
|
|
2,750,000
|
|
|
|
15,544,108
|
|
|
|
18,294,108
|
|
Altoona, PA
|
|
|
1,200,000
|
|
|
|
7,822,966
|
|
|
|
9,022,966
|
|
Spring (Houston), TX
|
|
|
1,890,000
|
|
|
|
17,404,396
|
|
|
|
19,294,396
|
|
Indianapolis, IN
|
|
|
3,745,572
|
|
|
|
21,758,510
|
|
|
|
25,504,082
|
|
Sauget (St. Louis, MO), IL
|
|
|
1,890,000
|
|
|
|
13,314,950
|
|
|
|
15,204,950
|
|
Lindale (Tyler), TX
|
|
|
540,000
|
|
|
|
9,425,550
|
|
|
|
9,965,550
|
|
Kansas City, MO
|
|
|
1,000,000
|
|
|
|
8,980,250
|
|
|
|
9,980,250
|
|
Frankfort (Lexington), KY
|
|
|
1,850,000
|
|
|
|
26,150,000
|
|
|
|
28,000,000
|
|
Jacksonville, FL (FDX Ground)
|
|
|
6,000,000
|
|
|
|
24,735,702
|
|
|
|
30,735,702
|
|
Monroe (Cincinnati), OH
|
|
|
1,800,000
|
|
|
|
15,724,760
|
|
|
|
17,524,760
|
|
Greenwood (Indianapolis), IN
|
|
|
2,250,000
|
|
|
|
35,262,071
|
|
|
|
37,512,071
|
|
Ft. Worth (Dallas), TX
|
|
|
8,200,000
|
|
|
|
27,100,832
|
|
|
|
35,300,832
|
|
Cincinnati, OH
|
|
|
800,000
|
|
|
|
5,950,000
|
|
|
|
6,750,000
|
|
Rockford, IL (Collins Aerospace Systems)
|
|
|
480,000
|
|
|
|
4,620,000
|
|
|
|
5,100,000
|
|
Concord (Charlotte), NC
|
|
|
4,305,000
|
|
|
|
28,739,797
|
|
|
|
33,044,797
|
|
Covington (New Orleans), LA
|
|
|
2,720,000
|
|
|
|
15,690,000
|
|
|
|
18,410,000
|
|
Imperial (Pittsburgh), PA
|
|
|
3,700,000
|
|
|
|
16,250,000
|
|
|
|
19,950,000
|
|
Burlington (Seattle/Everett), WA
|
|
|
8,000,000
|
|
|
|
22,228,547
|
|
|
|
30,228,547
|
|
Colorado Springs, CO
|
|
|
2,150,000
|
|
|
|
27,170,066
|
|
|
|
29,320,066
|
|
Louisville, KY
|
|
|
1,590,000
|
|
|
|
9,714,000
|
|
|
|
11,304,000
|
|
Davenport (Orlando), FL
|
|
|
7,060,000
|
|
|
|
30,720,000
|
|
|
|
37,780,000
|
|
Olathe (Kansas City), KS
|
|
|
2,350,000
|
|
|
|
29,387,000
|
|
|
|
31,737,000
|
|
Hamburg (Buffalo), NY
|
|
|
1,700,000
|
|
|
|
33,150,000
|
|
|
|
34,850,000
|
|
Ft. Myers, FL
|
|
|
2,486,417
|
|
|
|
19,177,218
|
|
|
|
21,663,635
|
|
Walker (Grand Rapids), MI
|
|
|
4,034,363
|
|
|
|
27,620,623
|
|
|
|
31,654,986
|
|
Mesquite (Dallas), TX
|
|
|
6,247,658
|
|
|
|
43,632,835
|
|
|
|
49,880,493
|
|
Aiken (Augusta, GA), SC
|
|
|
1,362,458
|
|
|
|
19,677,937
|
|
|
|
21,040,395
|
|
Homestead (Miami), FL
|
|
|
4,426,727
|
|
|
|
33,446,393
|
|
|
|
37,873,120
|
|
Oklahoma City, OK (Bunzl)
|
|
|
844,688
|
|
|
|
7,883,751
|
|
|
|
8,728,439
|
|
Concord (Charlotte), NC
|
|
|
4,306,684
|
|
|
|
35,736,461
|
|
|
|
40,043,145
|
|
Kenton, OH
|
|
|
854,780
|
|
|
|
17,026,827
|
|
|
|
17,881,607
|
|
Stow, OH
|
|
|
1,429,715
|
|
|
|
17,504,350
|
|
|
|
18,934,065
|
|
Charleston, SC (FDX)
|
|
|
4,639,283
|
|
|
|
16,880,128
|
|
|
|
21,519,411
|
|
Oklahoma City, OK (Amazon)
|
|
|
1,618,240
|
|
|
|
28,260,702
|
|
|
|
29,878,942
|
|
Savannah, GA
|
|
|
4,404,988
|
|
|
|
51,620,957
|
|
|
|
56,025,945
|
|
Daytona Beach, FL
|
|
|
3,119,640
|
|
|
|
26,853,559
|
|
|
|
29,973,199
|
|
Mobile, AL
|
|
|
2,480,474
|
|
|
|
30,571,842
|
|
|
|
33,052,316
|
|
Charleston, SC (FDX Ground)
|
|
|
7,103,106
|
|
|
|
39,473,274
|
|
|
|
46,576,380
|
|
Braselton (Atlanta), GA
|
|
|
13,964,652
|
|
|
|
46,262,482
|
|
|
|
60,227,134
|
|
Shopping Center
|
|
|
|
|
|
|
|
|
|
|
|
|
Somerset, NJ
|
|
|
34,317
|
|
|
|
3,077,460
|
|
|
|
3,111,777
|
|
Vacant Land
|
|
|
|
|
|
|
|
|
|
|
|
|
Shelby County, TN
|
|
|
11,065
|
|
|
|
-0-
|
|
|
|
11,065
|
|
|
|
$
|
224,719,083
|
|
|
$
|
1,494,859,336
|
|
|
$
|
1,719,578,419
|
|
|
(1)
|
See
pages 152-154 for reconciliation.
|
|
(2)
|
The
aggregate cost for Federal tax purposes approximates historical cost.
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column F
|
|
|
Column G
|
|
|
Column H
|
|
|
Column I
|
|
|
|
Accumulated
|
|
|
Date of
|
|
|
Date
|
|
|
Depreciable
|
|
Description
|
|
Depreciation
|
|
|
Construction
|
|
|
Acquired
|
|
|
Life
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Industrial Buildings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Monaca (Pittsburgh), PA
|
|
$
|
2,957,471
|
|
|
|
1977
|
|
|
|
1977
|
|
|
|
(3
|
)
|
Ridgeland (Jackson), MS
|
|
|
1,313,173
|
|
|
|
1988
|
|
|
|
1993
|
|
|
|
(3
|
)
|
Urbandale (Des Moines), IA
|
|
|
1,211,364
|
|
|
|
1985
|
|
|
|
1994
|
|
|
|
(3
|
)
|
Richland (Jackson), MS
|
|
|
982,066
|
|
|
|
1986
|
|
|
|
1994
|
|
|
|
(3
|
)
|
O’Fallon (St. Louis), MO
|
|
|
2,361,768
|
|
|
|
1989
|
|
|
|
1994
|
|
|
|
(3
|
)
|
Fayetteville, NC
|
|
|
2,931,202
|
|
|
|
1996
|
|
|
|
1997
|
|
|
|
(3
|
)
|
Schaumburg (Chicago), IL
|
|
|
2,283,345
|
|
|
|
1997
|
|
|
|
1997
|
|
|
|
(3
|
)
|
Burr Ridge (Chicago), IL
|
|
|
741,290
|
|
|
|
1997
|
|
|
|
1997
|
|
|
|
(3
|
)
|
Romulus (Detroit), MI
|
|
|
2,043,189
|
|
|
|
1998
|
|
|
|
1998
|
|
|
|
(3
|
)
|
Liberty (Kansas City), MO
|
|
|
3,497,982
|
|
|
|
1997
|
|
|
|
1998
|
|
|
|
(3
|
)
|
Omaha, NE
|
|
|
2,358,451
|
|
|
|
1999
|
|
|
|
1999
|
|
|
|
(3
|
)
|
Charlottesville, VA
|
|
|
1,588,202
|
|
|
|
1998
|
|
|
|
1999
|
|
|
|
(3
|
)
|
Jacksonville, FL (FDX)
|
|
|
2,619,003
|
|
|
|
1998
|
|
|
|
1999
|
|
|
|
(3
|
)
|
West Chester Twp. (Cincinnati), OH
|
|
|
2,305,181
|
|
|
|
1999
|
|
|
|
2000
|
|
|
|
(3
|
)
|
Mechanicsville (Richmond), VA
|
|
|
3,007,443
|
|
|
|
2000
|
|
|
|
2001
|
|
|
|
(3
|
)
|
St. Joseph, MO
|
|
|
5,452,138
|
|
|
|
2000
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Newington (Hartford), CT
|
|
|
1,377,254
|
|
|
|
2001
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Cudahy (Milwaukee), WI
|
|
|
3,296,930
|
|
|
|
2001
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Beltsville (Washington, DC), MD
|
|
|
4,151,339
|
|
|
|
2000
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Carlstadt (New York, NY), NJ
|
|
|
1,029,584
|
|
|
|
1977
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Granite City (St. Louis, MO), IL
|
|
|
5,183,974
|
|
|
|
2001
|
|
|
|
2001
|
|
|
|
(3
|
)
|
Winston-Salem, NC
|
|
|
2,617,877
|
|
|
|
2001
|
|
|
|
2002
|
|
|
|
(3
|
)
|
Elgin (Chicago), IL
|
|
|
2,436,368
|
|
|
|
2002
|
|
|
|
2002
|
|
|
|
(3
|
)
|
Cheektowaga (Buffalo), NY
|
|
|
1,851,798
|
|
|
|
2000
|
|
|
|
2002
|
|
|
|
(3
|
)
|
Tolleson (Phoenix), AZ
|
|
|
6,144,623
|
|
|
|
2002
|
|
|
|
2003
|
|
|
|
(3
|
)
|
Edwardsville (Kansas City), KS (Carlisle Tire)
|
|
|
2,538,608
|
|
|
|
2002
|
|
|
|
2003
|
|
|
|
(3
|
)
|
Wheeling (Chicago), IL
|
|
|
4,430,770
|
|
|
|
2003
|
|
|
|
2003
|
|
|
|
(3
|
)
|
Richmond, VA
|
|
|
1,545,670
|
|
|
|
2004
|
|
|
|
2004
|
|
|
|
(3
|
)
|
Tampa, FL (FDX Ground)
|
|
|
4,921,899
|
|
|
|
2004
|
|
|
|
2004
|
|
|
|
(3
|
)
|
Montgomery (Chicago), IL
|
|
|
2,761,952
|
|
|
|
2004
|
|
|
|
2004
|
|
|
|
(3
|
)
|
Denver, CO
|
|
|
1,704,122
|
|
|
|
2005
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Hanahan (Charleston), SC (SAIC)
|
|
|
4,343,346
|
|
|
|
2002
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Hanahan (Charleston), SC (FDX Ground)
|
|
|
2,071,138
|
|
|
|
2005
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Augusta, GA (FDX Ground)
|
|
|
1,509,465
|
|
|
|
2005
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Tampa, FL (Tampa Bay Grand Prix)
|
|
|
1,144,249
|
|
|
|
1989
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Huntsville, AL
|
|
|
1,249,093
|
|
|
|
2005
|
|
|
|
2005
|
|
|
|
(3
|
)
|
Augusta, GA (FDX)
|
|
|
463,245
|
|
|
|
1993
|
|
|
|
2006
|
|
|
|
(3
|
)
|
Lakeland, FL
|
|
|
573,621
|
|
|
|
1993
|
|
|
|
2006
|
|
|
|
(3
|
)
|
El Paso, TX
|
|
|
1,977,282
|
|
|
|
2005
|
|
|
|
2006
|
|
|
|
(3
|
)
|
Richfield (Cleveland), OH
|
|
|
3,083,114
|
|
|
|
2006
|
|
|
|
2006
|
|
|
|
(3
|
)
|
Tampa, FL (FDX)
|
|
|
1,515,388
|
|
|
|
2006
|
|
|
|
2006
|
|
|
|
(3
|
)
|
Griffin (Atlanta), GA
|
|
|
4,493,178
|
|
|
|
2006
|
|
|
|
2006
|
|
|
|
(3
|
)
|
Roanoke, VA (CHEP USA)
|
|
|
1,706,454
|
|
|
|
1996
|
|
|
|
2007
|
|
|
|
(3
|
)
|
Orion, MI
|
|
|
4,488,942
|
|
|
|
2007
|
|
|
|
2007
|
|
|
|
(3
|
)
|
Chattanooga, TN
|
|
|
1,388,863
|
|
|
|
2002
|
|
|
|
2007
|
|
|
|
(3
|
)
|
Bedford Heights (Cleveland), OH
|
|
|
1,893,515
|
|
|
|
1998
|
|
|
|
2007
|
|
|
|
(3
|
)
|
Punta Gorda, FL
|
|
|
1,058,498
|
|
|
|
2007
|
|
|
|
2007
|
|
|
|
(3
|
)
|
Cocoa, FL
|
|
|
2,758,147
|
|
|
|
2006
|
|
|
|
2008
|
|
|
|
(3
|
)
|
Orlando, FL
|
|
|
1,830,818
|
|
|
|
1997
|
|
|
|
2008
|
|
|
|
(3
|
)
|
Topeka, KS
|
|
|
896,483
|
|
|
|
2006
|
|
|
|
2009
|
|
|
|
(3
|
)
|
Memphis, TN
|
|
|
2,916,162
|
|
|
|
1994
|
|
|
|
2010
|
|
|
|
(3
|
)
|
Houston, TX
|
|
|
1,440,389
|
|
|
|
2005
|
|
|
|
2010
|
|
|
|
(3
|
)
|
Carrollton (Dallas), TX
|
|
|
3,555,283
|
|
|
|
2009
|
|
|
|
2010
|
|
|
|
(3
|
)
|
Ft. Mill (Charlotte, NC), SC
|
|
|
2,654,658
|
|
|
|
2009
|
|
|
|
2010
|
|
|
|
(3
|
)
|
Lebanon (Nashville), TN
|
|
|
2,151,164
|
|
|
|
1993
|
|
|
|
2011
|
|
|
|
(3
|
)
|
Rockford, IL (Sherwin-Williams Co.)
|
|
|
859,960
|
|
|
|
1998-2008
|
|
|
|
2011
|
|
|
|
(3
|
)
|
Edinburg, TX
|
|
|
1,472,631
|
|
|
|
2011
|
|
|
|
2011
|
|
|
|
(3
|
)
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
Column A
|
|
Column F
|
|
|
Column G
|
|
|
Column H
|
|
|
Column I
|
|
|
|
Accumulated
|
|
|
Date of
|
|
|
Date
|
|
|
Depreciable
|
|
Description
|
|
Depreciation
|
|
|
Construction
|
|
|
Acquired
|
|
|
Life
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Streetsboro (Cleveland), OH
|
|
$
|
2,973,333
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Corpus Christi, TX
|
|
|
797,350
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Halfmoon (Albany), NY
|
|
|
722,600
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Lebanon (Cincinnati), OH
|
|
|
704,125
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Olive Branch (Memphis, TN), MS (Anda Pharmaceuticals Inc.)
|
|
|
2,203,526
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Oklahoma City, OK (FDX Ground)
|
|
|
1,599,042
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Waco, TX
|
|
|
1,498,728
|
|
|
|
2012
|
|
|
|
2012
|
|
|
|
(3
|
)
|
Livonia (Detroit), MI
|
|
|
2,046,869
|
|
|
|
1999
|
|
|
|
2013
|
|
|
|
(3
|
)
|
Olive Branch (Memphis, TN), MS (Milwaukee Tool)
|
|
|
4,044,199
|
|
|
|
2013
|
|
|
|
2013
|
|
|
|
(3
|
)
|
Roanoke, VA (FDX Ground)
|
|
|
1,147,885
|
|
|
|
2013
|
|
|
|
2013
|
|
|
|
(3
|
)
|
Green Bay, WI
|
|
|
766,667
|
|
|
|
2013
|
|
|
|
2013
|
|
|
|
(3
|
)
|
Stewartville (Rochester), MN
|
|
|
553,846
|
|
|
|
2013
|
|
|
|
2013
|
|
|
|
(3
|
)
|
Tulsa, OK
|
|
|
391,119
|
|
|
|
2009
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Buckner (Louisville), KY
|
|
|
3,114,323
|
|
|
|
2014
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Edwardsville (Kansas City), KS (International Paper)
|
|
|
2,001,778
|
|
|
|
2014
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Altoona, PA
|
|
|
986,269
|
|
|
|
2014
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Spring (Houston), TX
|
|
|
2,077,166
|
|
|
|
2014
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Indianapolis, IN
|
|
|
2,239,839
|
|
|
|
2014
|
|
|
|
2014
|
|
|
|
(3
|
)
|
Sauget (St. Louis, MO), IL
|
|
|
1,366,159
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Lindale (Tyler), TX
|
|
|
966,498
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Kansas City, MO
|
|
|
885,643
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Frankfort (Lexington), KY
|
|
|
2,570,299
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Jacksonville, FL (FDX Ground)
|
|
|
2,323,375
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Monroe (Cincinnati), OH
|
|
|
1,023,271
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Greenwood (Indianapolis), IN
|
|
|
3,091,837
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Ft. Worth (Dallas), TX
|
|
|
2,200,495
|
|
|
|
2015
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Cincinnati, OH
|
|
|
470,406
|
|
|
|
2014
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Rockford, IL (Collins Aerospace Systems)
|
|
|
473,846
|
|
|
|
2012
|
|
|
|
2015
|
|
|
|
(3
|
)
|
Concord (Charlotte), NC
|
|
|
2,314,361
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Covington (New Orleans), LA
|
|
|
1,139,872
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Imperial (Pittsburgh), PA
|
|
|
1,076,389
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Burlington (Seattle/Everett), WA
|
|
|
1,426,792
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Colorado Springs, CO
|
|
|
1,593,580
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Louisville, KY
|
|
|
581,179
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Davenport (Orlando), FL
|
|
|
1,706,667
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Olathe (Kansas City), KS
|
|
|
1,632,611
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
(3
|
)
|
Hamburg (Buffalo), NY
|
|
|
1,700,000
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Ft. Myers, FL
|
|
|
842,928
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Walker (Grand Rapids), MI
|
|
|
1,062,332
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Mesquite (Dallas), TX
|
|
|
1,398,488
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Aiken (Augusta, GA), SC
|
|
|
630,703
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Homestead (Miami), FL
|
|
|
1,072,000
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Oklahoma City, OK (Bunzl)
|
|
|
252,684
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Concord (Charlotte), NC
|
|
|
1,069,039
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Kenton, OH
|
|
|
454,776
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Stow, OH
|
|
|
448,829
|
|
|
|
2017
|
|
|
|
2017
|
|
|
|
(3
|
)
|
Charleston, SC (FDX)
|
|
|
397,072
|
|
|
|
2017
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Oklahoma City, OK (Amazon)
|
|
|
603,861
|
|
|
|
2017
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Savannah, GA
|
|
|
882,410
|
|
|
|
2018
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Daytona Beach, FL
|
|
|
344,276
|
|
|
|
2018
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Mobile, AL
|
|
|
195,973
|
|
|
|
2018
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Charleston, SC (FDX Ground)
|
|
|
168,689
|
|
|
|
2018
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Braselton (Atlanta), GA
|
|
|
98,855
|
|
|
|
2018
|
|
|
|
2018
|
|
|
|
(3
|
)
|
Shopping Center
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Somerset, NJ
|
|
|
1,589,653
|
|
|
|
1970
|
|
|
|
1970
|
|
|
|
(3
|
)
|
Vacant Land
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shelby County, TN
|
|
|
-0-
|
|
|
|
N/A
|
|
|
|
2007
|
|
|
|
N/A
|
|
|
|
$
|
207,065,634
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)
|
Depreciation
is computed based upon the following estimated lives:
|
Building:
31.5 to 39 years; Building Improvements: 3 to 39 years; Tenant Improvements: Lease Term
MONMOUTH REAL ESTATE INVESTMENT CORPORATION
SCHEDULE
III
REAL
ESTATE AND ACCUMULATED DEPRECIATION
SEPTEMBER
30, 2018
(1)
Reconciliation
REAL
ESTATE INVESTMENTS
|
|
9/30/2018
|
|
|
9/30/2017
|
|
|
9/30/2016
|
|
|
|
|
|
|
|
|
|
|
|
Balance-Beginning of Year
|
|
$
|
1,431,916,534
|
|
|
$
|
1,150,395,427
|
|
|
$
|
920,143,937
|
|
Additions:
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquisitions
|
|
|
277,253,327
|
|
|
|
282,509,249
|
|
|
|
209,867,577
|
|
Improvements
|
|
|
10,408,558
|
|
|
|
4,168,984
|
|
|
|
20,383,913
|
|
Total Additions
|
|
|
287,661,885
|
|
|
|
286,678,233
|
|
|
|
230,251,490
|
|
Deletions:
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
|
|
|
-0-
|
|
|
|
(5,157,126
|
)
|
|
|
-0-
|
|
Total Deletions
|
|
|
-0-
|
|
|
|
(5,157,126
|
)
|
|
|
-0-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance-End of Year
|
|
$
|
1,719,578,419
|
|
|
$
|
1,431,916,534
|
|
|
$
|
1,150,395,427
|
|
ACCUMULATED
DEPRECIATION
|
|
9/30/2018
|
|
|
9/30/2017
|
|
|
9/30/2016
|
|
|
|
|
|
|
|
|
|
|
|
Balance-Beginning of Year
|
|
$
|
171,086,083
|
|
|
$
|
143,006,233
|
|
|
$
|
119,545,674
|
|
Depreciation
|
|
|
36,017,959
|
|
|
|
29,015,821
|
|
|
|
23,460,559
|
|
Sales
|
|
|
(38,408
|
)
|
|
|
(935,971
|
)
|
|
|
-0-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance-End of Year
|
|
$
|
207,065,634
|
|
|
$
|
171,086,083
|
|
|
$
|
143,006,233
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION AND SUBSIDIARIES
NOTES
TO SCHEDULE III
SEPTEMBER
30, 2018
(1)
Reconciliation
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
Balance – Beginning of Year
|
|
$
|
1,431,916,534
|
|
|
$
|
1,150,395,427
|
|
|
$
|
920,143,937
|
|
Additions:
|
|
|
|
|
|
|
|
|
|
|
|
|
Somerset, NJ
|
|
$
|
38,887
|
|
|
|
-0-
|
|
|
|
377,637
|
|
Monaca (Pittsburgh), PA
|
|
|
24,825
|
|
|
|
79,618
|
|
|
|
37,255
|
|
Ridgeland (Jackson), MS
|
|
|
26,663
|
|
|
|
-0-
|
|
|
|
7,797
|
|
Urbandale (Des Moines), IA
|
|
|
267,031
|
|
|
|
94,717
|
|
|
|
-0-
|
|
Richland (Jackson), MS
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
O’Fallon (St. Louis), MO
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Fayetteville, NC
|
|
|
-0-
|
|
|
|
9,753
|
|
|
|
557,354
|
|
Schaumburg (Chicago), IL
|
|
|
-0-
|
|
|
|
196,526
|
|
|
|
13,775
|
|
Burr Ridge (Chicago), IL
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
8,700
|
|
Romulus (Detroit), MI
|
|
|
65,165
|
|
|
|
66,974
|
|
|
|
-0-
|
|
Liberty (Kansas City), MO
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
24,263
|
|
Omaha, NE
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
7,410
|
|
Charlottesville, VA
|
|
|
98,714
|
|
|
|
8,489
|
|
|
|
4,462
|
|
Jacksonville, FL (FDX)
|
|
|
67,174
|
|
|
|
83,383
|
|
|
|
16,983
|
|
West Chester Twp. (Cincinnati), OH
|
|
|
-0-
|
|
|
|
4,996
|
|
|
|
-0-
|
|
Mechanicsville (Richmond), VA
|
|
|
7,384
|
|
|
|
26,830
|
|
|
|
18,510
|
|
St. Joseph, MO
|
|
|
74,378
|
|
|
|
55,564
|
|
|
|
50,934
|
|
Newington (Hartford), CT
|
|
|
-0-
|
|
|
|
30,284
|
|
|
|
-0-
|
|
Cudahy (Milwaukee), WI
|
|
|
384,000
|
|
|
|
-0-
|
|
|
|
8,689
|
|
Beltsville (Washington, DC), MD
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
44,600
|
|
Carlstadt (New York, NY), NJ
|
|
|
38,813
|
|
|
|
-0-
|
|
|
|
13,877
|
|
Granite City (St. Louis, MO), IL
|
|
|
-0-
|
|
|
|
155,034
|
|
|
|
156,139
|
|
Winston-Salem, NC
|
|
|
7,713
|
|
|
|
-0-
|
|
|
|
316,527
|
|
Elgin (Chicago), IL
|
|
|
-0-
|
|
|
|
44,526
|
|
|
|
5,960
|
|
Cheektowaga (Buffalo), NY
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Tolleson (Phoenix), AZ
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
1,655,640
|
|
Edwardsville (Kansas City), KS (Carlisle Tire)
|
|
|
-0-
|
|
|
|
7,585
|
|
|
|
-0-
|
|
Wheeling (Chicago), IL
|
|
|
444,822
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Richmond, VA
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
7,540
|
|
Tampa, FL (FDX Ground)
|
|
|
5,348
|
|
|
|
125
|
|
|
|
1,247,140
|
|
Montgomery (Chicago), IL
|
|
|
4,950
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Denver, CO
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Hanahan (Charleston), SC (SAIC)
|
|
|
35,661
|
|
|
|
33,849
|
|
|
|
40,000
|
|
Hanahan (Charleston), SC (FDX Ground)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Augusta, GA (FDX Ground)
|
|
|
-0-
|
|
|
|
9,270
|
|
|
|
25,161
|
|
Tampa, FL (Tampa Bay Grand Prix)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
26,916
|
|
Huntsville, AL
|
|
|
-0-
|
|
|
|
56,688
|
|
|
|
1,853,390
|
|
Augusta, GA (FDX)
|
|
|
-0-
|
|
|
|
6,047
|
|
|
|
24,700
|
|
Lakeland, FL
|
|
|
60,694
|
|
|
|
-0-
|
|
|
|
16,321
|
|
El Paso, TX
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Richfield (Cleveland), OH
|
|
|
11,700
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Colorado Springs, CO (A)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
9,357
|
|
Tampa, FL (FDX)
|
|
|
237,196
|
|
|
|
27,063
|
|
|
|
27,144
|
|
Griffin (Atlanta), GA
|
|
|
64,826
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Roanoke, VA (CHEP USA)
|
|
|
58,225
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Orion, MI
|
|
|
4,488
|
|
|
|
-0-
|
|
|
|
5,867
|
|
Chattanooga, TN
|
|
|
122,022
|
|
|
|
4,315
|
|
|
|
41,042
|
|
Bedford Heights (Cleveland), OH
|
|
|
-0-
|
|
|
|
55,957
|
|
|
|
84,288
|
|
Punta Gorda, FL
|
|
|
-0-
|
|
|
|
20,245
|
|
|
|
8,350
|
|
Cocoa, FL
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
37,606
|
|
Orlando, FL
|
|
|
220,092
|
|
|
|
-0-
|
|
|
|
13,195
|
|
Topeka, KS
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Memphis, TN
|
|
|
(6,950
|
)
|
|
|
1,050
|
|
|
|
-0-
|
|
Houston, TX
|
|
|
14,820
|
|
|
|
65,351
|
|
|
|
-0-
|
|
Carrollton (Dallas), TX
|
|
|
-0-
|
|
|
|
50,097
|
|
|
|
24,806
|
|
Ft. Mill (Charlotte, NC), SC
|
|
|
1,660,729
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Lebanon (Nashville), TN
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Rockford, IL (Sherwin-Williams Co.)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Edinburg, TX
|
|
|
-0-
|
|
|
|
615,142
|
|
|
|
3,985,389
|
|
MONMOUTH
REAL ESTATE INVESTMENT CORPORATION AND SUBSIDIARIES
NOTES
TO SCHEDULE III, (CONT’D)
SEPTEMBER
30, 2018
(1)
Reconciliation (cont’d)
|
|
2018
|
|
|
2017
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
Streetsboro (Cleveland), OH
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
|
$
|
-0-
|
|
Corpus Christi, TX
|
|
|
36,417
|
|
|
|
7,413
|
|
|
|
-0-
|
|
Halfmoon (Albany), NY
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Lebanon (Cincinnati), OH
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Olive Branch (Memphis, TN), MS (Anda Pharmaceuticals)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Oklahoma City, OK (FDX Ground)
|
|
|
-0-
|
|
|
|
4,200
|
|
|
|
(13,611
|
)
|
Waco, TX
|
|
|
-0-
|
|
|
|
5,210
|
|
|
|
-0-
|
|
Livonia (Detroit), MI
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
31,497
|
|
Olive Branch (Memphis, TN), MS (Milwaukee Tool)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
9,412,120
|
|
Roanoke, VA (FDX Ground)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Green Bay, WI
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Stewartville (Rochester), MN
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Tulsa, OK
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Buckner (Louisville), KY
|
|
|
-0-
|
|
|
|
40,000
|
|
|
|
48,136
|
|
Edwardsville (Kansas City), KS (International Paper)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
5,355
|
|
Altoona, PA
|
|
|
14,316
|
|
|
|
-0-
|
|
|
|
18,650
|
|
Spring (Houston), TX
|
|
|
10,598
|
|
|
|
-0-
|
|
|
|
56,275
|
|
Indianapolis, IN
|
|
|
497,710
|
|
|
|
1,060,372
|
|
|
|
-0-
|
|
Sauget (St. Louis, MO), IL
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
4,950
|
|
Lindale (Tyler), TX
|
|
|
29,050
|
|
|
|
6,500
|
|
|
|
-0-
|
|
Kansas City, MO
|
|
|
329,024
|
|
|
|
51,226
|
|
|
|
-0-
|
|
Frankfort (Lexington), KY
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Jacksonville, FL (FDX Ground)
|
|
|
3,612
|
|
|
|
86,136
|
|
|
|
-0-
|
|
Monroe (Cincinnati), OH
|
|
|
4,587,760
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Greenwood (Indianapolis), IN
|
|
|
-0-
|
|
|
|
11,680
|
|
|
|
15,817
|
|
Ft. Worth (Dallas), TX
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Cincinnati, OH
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Rockford, IL (Collins Aerospace Systems)
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Concord (Charlotte), NC
|
|
|
-0-
|
|
|
|
1,068,900
|
|
|
|
31,975,897
|
|
Covington (New Orleans), LA
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
18,410,000
|
|
Imperial (Pittsburgh), PA
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
19,950,000
|
|
Burlington (Seattle/Everett), WA
|
|
|
-0-
|
|
|
|
17,867
|
|
|
|
30,210,680
|
|
Colorado Springs, CO
|
|
|
820,066
|
|
|
|
-0-
|
|
|
|
28,500,000
|
|
Louisville, KY
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
11,304,000
|
|
Davenport (Orlando), FL
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
37,780,000
|
|
Olathe (Kansas City), KS
|
|
|
-0-
|
|
|
|
-0-
|
|
|
|
31,737,000
|
|
Hamburg (Buffalo), NY
|
|
|
-0-
|
|
|
|
34,850,000
|
|
|
|
-0-
|
|
Ft. Myers, FL
|
|
|
40,635
|
|
|
|
21,623,000
|
|
|
|
-0-
|
|
Walker (Grand Rapids), MI
|
|
|
-0-
|
|
|
|
31,654,985
|
|
|
|
-0-
|
|
Mesquite (Dallas), TX
|
|
|
-0-
|
|
|
|
49,880,493
|
|
|
|
-0-
|
|
Aiken (Augusta, GA), SC
|
|
|
-0-
|
|
|
|
21,040,396
|
|
|
|
-0-
|
|
Homestead (Miami), FL
|
|
|
-0-
|
|
|
|
37,873,120
|
|
|
|
-0-
|
|
Oklahoma City, OK (Bunzl)
|
|
|
-0-
|
|
|
|
8,728,439
|
|
|
|
-0-
|
|
Concord (Charlotte), NC
|
|
|
-0-
|
|
|
|
40,043,145
|
|
|
|
-0-
|
|
Kenton, OH
|
|
|
-0-
|
|
|
|
17,881,608
|
|
|
|
-0-
|
|
Stow, OH
|
|
|
-0-
|
|
|
|
18,934,065
|
|
|
|
-0-
|
|
Charleston, SC (FDX)
|
|
|
21,519,411
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Oklahoma City, OK (Amazon)
|
|
|
29,878,942
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Savannah, GA
|
|
|
56,025,945
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Daytona Beach, FL
|
|
|
29,973,199
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Mobile, AL
|
|
|
33,052,316
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Charleston, SC (FDX Ground)
|
|
|
46,576,380
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Braselton (Atlanta), GA
|
|
|
60,227,134
|
|
|
|
-0-
|
|
|
|
-0-
|
|
Total Additions
|
|
$
|
287,661,885
|
|
|
$
|
286,678,233
|
|
|
$
|
230,251,490
|
|
Total Disposals
|
|
|
-0-
|
|
|
|
(5,157,126
|
)
|
|
|
-0-
|
|
Balance – End of Year
|
|
$
|
1,719,578,419
|
|
|
$
|
1,431,916,534
|
|
|
$
|
1,150,395,427
|
|
|
(A)
|
This
property was sold on June 1, 2018.
|