INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES (Tables)

12 Months Ended

Dec. 31, 2022

INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES

Schedule of balance sheets for the unconsolidated joint venture

We entered into an interest rate swap on February 28, 2020, whereby we recognized our share of the fair value liability of approximately $77,000 of income and $77,000 of loss for the year ended December 31, 2022 and 2021, respectively.  The combined balance sheets for our unconsolidated joint ventures at December 31, 2022 and 2021 are as follows (dollars in thousands):

	December 31,		December 31,
	2022		2021
ASSETS
Real estate, net	$	113,571	$	164,143
Cash and cash equivalents		1,345		1,244
Restricted cash		731		891
Tenant and other receivables, net		197		225
Prepaid expenses and other assets, net		2,185		315
Intangible assets, net		9,047		21,527
Total assets	$	127,076	$	188,345
LIABILITIES
Mortgages payable, net	$	80,495	$	112,934
Accounts payable and accrued expenses		1,507		1,849
Total liabilities		82,002		114,783
MEMBERS’ EQUITY
Members’ equity		48,677		87,654
Accumulated deficit		(3,603)		(14,092)
Total members’ equity		45,074		73,562
Total liabilities and members’ equity	$	127,076	$	188,345
Our investments in unconsolidated joint ventures	$	4,386	$	17,938

Schedule of statement of operations for unconsolidated joint ventures

The combined statements of operations for the unconsolidated joint ventures through the date of sale for the years ended December 31, 2022, 2021, and 2020 are as follows (dollars in thousands):

	For the Year Ended		For the Year Ended		For the Year Ended
	December 31,		December 31,		December 31,
	2022		2021		2020
Revenues
Rental revenues	$	11,383	$	12,679	$	12,747
Total revenues		11,383		12,679		12,747
Operating Expenses
Property operating expenses		3,596		4,065		3,605
Real estate taxes		72		100		94
Amortization		1,974		2,479		5,676
Depreciation		3,032		3,937		3,833
Total operating expenses		8,674		10,581		13,208
Gain on sale of real estate		8,981		—		—
Operating income (loss)		11,690		2,098		(461)
Gain on sale of interest rate swap		2,005		—		—
Interest expense		(3,138)		(3,806)		(3,780)
Interest expense - amortization of deferred finance costs		(221)		(289)		(1,881)
Interest income (expense) - change in fair market value of interest rate swap		153		(153)		—
Net income (loss)	$	10,489	$	(2,150)	$	(6,122)
Our equity in net income (loss) from unconsolidated joint ventures	$	5,294	$	(555)	$	(1,571)