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Note 1 - Organization
9 Months Ended
Sep. 30, 2018
Notes to Financial Statements  
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]
1.
Organization
 
The Company was organized in the state of Maryland on
July 7, 2015.
On
August 3, 2015,
we completed certain formation transactions and the sale of shares of common stock in a private offering. We contributed the net proceeds of the private offering to Clipper Realty L.P., our operating partnership subsidiary (the “Operating Partnership”), in exchange for units in the Operating Partnership. The Operating Partnership in turn contributed such net proceeds to the limited liability companies (“LLCs”) that comprised the predecessor of the Company (the “Predecessor”) in exchange for class A LLC units in such LLCs and became the managing member of such LLCs. The owners of the LLCs exchanged their interests for Class B LLC units and an equal number of special, non-economic, voting stock in the Company. The Class B LLC units, together with the special voting shares, are convertible into common shares of the Company on a
one
-for-
one
basis and are entitled to distributions.
 
On
February 9, 2017,
the Company priced an initial public offering of
6,390,149
primary shares of its common stock (including the exercise of the over-allotment option, which closed on
March 10, 2017)
at a price of
$13.50
per share (the “IPO”). The net proceeds of the IPO were approximately
$78.7
million. We contributed the proceeds of the IPO to the Operating Partnership, in exchange for units in the Operating Partnership.
 
On
May 9, 2017,
the Company completed the purchase of
107
Columbia Heights, a
161
-unit apartment community located in Brooklyn Heights, New York, in vacant condition, for
$87.5
million.
 
On
October 27, 2017,
the Company completed the acquisition of an
82
-unit residential property at
10
West
65th
Street in Manhattan, New York, for
$79.0
million.
 
As of
September 30, 2018,
the properties owned by the Company consist of the following (collectively, the “Properties”):
 
 
Tribeca House in Manhattan, comprising
two
buildings,
one
with
21
stories and
one
with
12
stories, containing residential and retail space with an aggregate of approximately
481,000
square feet of residential rental Gross Leasable Area (“GLA”) and
77,000
square feet of retail rental and parking GLA;
 
 
Flatbush Gardens in Brooklyn, a
59
-building residential housing complex with
2,496
rentable units;
 
 
141
Livingston Street in Brooklyn, a
15
-story office building with approximately
216,000
square feet of GLA;
 
 
250
Livingston Street in Brooklyn, a
12
-story office and residential building with approximately
381,000
square feet of GLA (fully remeasured);
 
 
Aspen in Manhattan, a
7
-story building containing residential and retail space with approximately
166,000
square feet of residential rental GLA and approximately
21,000
square feet of retail rental GLA;
 
 
107
Columbia Heights in Brooklyn, a
10
-story residential building with approximately
154,000
gross square feet of space; and
 
 
10
West
65
th
Street in Manhattan, a
6
-story building with approximately
76,000
square feet of residential rental GLA.
 
The operations of Clipper Realty Inc. and its consolidated subsidiaries are carried on primarily through the Operating Partnership. The Company has elected to be taxed as a Real Estate Investment Trust (“REIT”) under Sections
856
through
860
of the Internal Revenue Code. The Company is the sole general partner of the Operating Partnership and the Operating Partnership is the sole managing member of the LLCs that comprised the Predecessor.
 
At
September 30, 2018,
the Company’s interest, through the Operating Partnership, in the LLCs that own the properties generally entitles it to
40.4%
of the aggregate cash distributions from, and the profits and losses of, the LLCs.
 
The Company determined that the Operating Partnership and the LLCs are variable interest entities (“VIEs”) and that the Company was the primary beneficiary. The assets and liabilities of these VIEs represented substantially all of the Company’s assets and liabilities.
 
On
June 21, 2017,
the Company redeemed its Series A cumulative non-voting preferred stock for
$145.