v3.26.1
Leases (Tables)
3 Months Ended
Mar. 31, 2026
Leases, Operating [Abstract]  
Schedule of rental revenue recognized for operating leases
The following table represents rental revenue that the Company recognized related to its operating leases (in thousands):
For the Three Months Ended
March 31,
20262025
Fixed payments
$23,091 $18,661 
Variable payments
3,023 2,819 
$26,114 $21,480 
Schedule of future operating lease payments to be received
Future minimum lease payments to be received as of March 31, 2026 (excluding base rental payments from properties classified as held for sale under non-cancellable operating leases for the next five years and thereafter are as follows (in thousands):
Year Ending December 31,
Amount (1)(2)
    2026 - Remaining$64,901 
202777,031 
202865,821 
202957,074 
203049,019 
Thereafter
179,408 
Total
$493,254 
Explanatory Notes:
(1)The above minimum lease payments to be received do not include reimbursements from tenants for real estate taxes and other reimbursed expenses.
(2)As of March 31, 2026, the leases at eight of the Company's properties was expired and the USPS was occupying such property as a holdover tenant. As such, the above minimum lease payments to be received do not include payments under these holdover leases. Holdover rent is typically paid as the greater of estimated market rent or the rent amount due under the expired lease.
Schedule of net investment in financing lease The components of the Company’s net investment in financing leases as of March 31, 2026 and December 31, 2025 are summarized in the table below (in thousands):
As of
March 31,
2026
As of
December 31,
2025
Total minimum lease payment receivable
$29,519 $29,803 
Less: unearned income
(13,698)(13,952)
Investment in financing leases, net$15,821 $15,851 
Schedule of future lease payments under direct financing lease
Future lease payments to be received under the Company’s direct financing leases as of March 31, 2026 for the next five years and thereafter are as follows (in thousands):
Year Ending December 31,Amount
2026 – Remaining$853 
20271,137 
20281,137 
20291,137 
20301,075 
Thereafter
24,180 
Total
$29,519 
Schedule of prepaid expenses and other assets and accounts payable and accrued expenses Operating right-of-use ("ROU") assets and lease liabilities are included in “Prepaid expenses and other assets, net” and “Accounts payable, accrued expenses and other, net” on the Consolidated Balance Sheets as follows (in thousands):
As of
March 31,
2026
As of
December 31,
2025
ROU asset – operating leases
$2,175 $2,236 
Lease liability – operating leases$2,013 $2,064 
Schedule of future minimum lease payments
Future minimum lease payments to be paid by the Company as a lessee for operating leases as of March 31, 2026 for the next five years and thereafter are as follows (in thousands):
2026 — Remaining$245 
2027333 
2028335 
2029341 
203089 
Thereafter
1,953 
Total future minimum lease payments
3,296 
Interest discount
(1,283)
Total
$2,013