Assets held for sale consist of non-strategic land parcels identified for sale at  June 30, 2026. There are 12 parcels that carry a historical cost basis of approximately $1.8 million. These parcels are either actively listed by a broker or privately marketed for sale.

The Company classifies long-lived assets, including property and equipment, as held for sale when specific criteria are met. These criteria require that management approves a formal plan to sell the assets, an active program to locate a buyer is initiated, and the sale is highly probable of closing within 12 months under a formal contract. Upon classification as held for sale, the Company ceases depreciation and amortization of these assets. The assets are then recorded at the lower of their carrying amount or fair value less costs to sell.

Long-lived assets currently in active operation continue to be classified as property and equipment, net on the Condensed Consolidated Balance Sheets. These operating assets remain subject to depreciation over their useful lives and are regularly reviewed for impairment whenever events or changes in circumstances indicate that their carrying amount may not be recoverable.