| RENTALS UNDER OPERATING LEASES |
RENTALS UNDER OPERATING LEASES As of June 30, 2026, the Company owned 8 properties with a total of 37 commercial leases. As of June 30, 2025, the Company owned 11 properties with a total of 50 commercial leases. All leases at the Company's properties have been classified as operating leases. The Company's property related income from its real estate investments is comprised of the following: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | Lease revenue (1) | $ | 8,404 | | | $ | 9,872 | | | $ | 16,877 | | | $ | 19,462 | | | | | | | Straight-line revenue | 144 | | | 428 | | | 276 | | | 803 | | | | | | | Above- and below-market lease amortization, net | 17 | | | 113 | | | 131 | | | 227 | | | | | | | Lease incentive amortization | (26) | | | (26) | | | (52) | | | (52) | | | | | | | Property related income | $ | 8,539 | | | $ | 10,387 | | | $ | 17,232 | | | $ | 20,440 | | | | | | | (1) Lease revenue includes $798 and $1,340 of variable income from tenant reimbursements for the three months ended June 30, 2026 and 2025, respectively and $1,283 and $2,614 of variable income from tenant reimbursement for the six months ended June 30, 2026 and 2025, respectively. | |
The future minimum rentals to be received, excluding tenant reimbursements, under the non-cancelable portions of all of the Company's in-place commercial leases in effect as of June 30, 2026 are as follows: | | | | | | | | | | Year | | Amount | | 2026 (remainder) | | $ | 9,434 | | | 2027 | | 17,783 | | | 2028 | | 16,161 | | | 2029 | | 13,231 | | | 2030 | | 9,778 | | | Thereafter | | 68,657 | | | | $ | 135,044 | |
The above future minimum rentals exclude the Company’s residential leases, which typically have terms of approximately one year. Such leases accounted for $5,704 of lease revenue for the six months ended June 30, 2026. Percentages of property related income by property and tenant representing more than 10% of the Company's total property related income for the three and six months ended June 30, 2026 and 2025 are shown below. | | | | | | | | | | | | | | | | | | Percent of property related income | | Property | | Three Months Ended June 30, 2026 | | Six Months Ended June 30, 2026 | | | Commerce Corner, Logan Township, NJ | | 20.2 | % | | 20.6 | % | | | The Glenn, Centennial, CO | | 19.9 | | | 19.9 | | | | Providence Square, Marietta, GA | | 15.2 | | | 14.8 | | | | Flats at Carrs Hill, Athens, GA | | 13.4 | | | 13.2 | | | | Seattle East Industrial, Redmond, WA | | 12.7 | | | 12.6 | | | | | | | | | | Total | | 81.4 | % | | 81.1 | % | | | | | | | | | | Percent of property related income | | Tenant | | Three Months Ended June 30, 2026 | | Six Months Ended June 30, 2026 | | | Performance Food Group, Inc. - Commerce Corner | | 17.9 | % | | 18.2 | % | | | FedEx Ground - Seattle East Industrial | | 12.7 | | | 12.6 | | | | | | | | | | Total | | 30.6 | % | | 30.8 | % | |
| | | | | | | | | | | | | | | | | Percent of property related income | | Property | | Three Months Ended June 30, 2025 | | Six Months Ended June 30, 2025 | | The Glenn, Centennial, CO | | 18.2 | % | | 17.9 | % | | Commerce Corner, Logan Township, NJ | | 17.8 | | | 17.4 | | | Flats at Carrs Hill, Athens, GA | | 11.6 | | | 11.7 | | | Providence Square, Marietta, GA | | 11.3 | | | 11.3 | | | Seattle East Industrial, Redmond, WA | | 10.5 | | | 10.7 | | | | | | | | Total | | 69.4 | % | | 69.0 | % | | | | | | | | Percent of property related income | | Tenant | | Three Months Ended June 30, 2025 | | Six Months Ended June 30, 2025 | | Performance Food Group, Inc. - Commerce Corner | | 13.7 | % | | 14.3 | % | | FedEx Ground - Seattle East Industrial | | 10.5 | | | 10.7 | | | | | | | | Total | | 24.2 | % | | 25.0 | % |
The Company's tenants representing more than 10% of in-place annualized base rental revenues as of June 30, 2026 and 2025 were as follows: | | | | | | | | | | | | | | | | | | | Percent of in-place annualized base rental revenues as of | | | Property | | June 30, 2026 | | June 30, 2025 | | | | Performance Food Group, Inc. - Commerce Corner | | 14.6 | % | | 12.3 | % | | | | FedEx Ground - Seattle East Industrial | | 13.7 | | | 12.0 | | | | | Northrop Grumman Systems Inc. - Loudoun Gateway | | 11.2 | | | 9.5 | | | | | Total | | 39.5 | % | | 33.8 | % | | | | | | | | | |
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