INVESTMENT IN HOTEL, NET

3 Months Ended

Sep. 30, 2023

Investment In Hotel Net

INVESTMENT IN HOTEL, NET

NOTE 4 – INVESTMENT IN HOTEL, NET

Investment in Hotel consisted of the following as of:

			Accumulated			Net Book
September 30, 2023	Cost		Depreciation			Value
Land	$	2,738,000	$	-		$	2,738,000
Finance lease ROU assets		1,805,000		(1,318,000	)		487,000
Furniture and equipment		39,481,000		(30,087,000	)		9,394,000
Building and improvements		64,665,000		(37,057,000	)		27,608,000
Investment in Hotel, net	$	108,689,000	$	(68,462,000	)	$	40,227,000
				Accumulated			Net Book
June 30, 2023		Cost		Depreciation			Value
Land	$	2,738,000	$	-		$	2,738,000
Finance lease ROU assets		1,805,000		(1,239,000	)		566,000
Furniture and equipment		38,727,000		(29,682,000	)		9,045,000
Building and improvements		64,665,000		(36,696,000	)		27,969,000
Investment in Hotel, net	$	107,935,000	$	(67,617,000	)	$	40,318,000

Finance lease ROU assets, furniture and equipment are stated at cost, depreciated on a straight-line basis over their useful lives ranging from 3 to 7 years and amortized over the life of the lease. Building and improvements are stated at cost, depreciated on a straight-line basis over their useful lives ranging from 15 to 39 years. Depreciation expense related to our investment in hotel for the three months ended September 30, 2023 and 2022 are $845,000 and $627,000, respectively.