REAL ESTATE ACTIVITY

3 Months Ended

Mar. 31, 2020

Real Estate [Abstract]

REAL ESTATE ACTIVITY

NOTE 3.        REAL ESTATE ACTIVITY

Below is a summary of the real estate owned as of March 31, 2020 and December 31, 2019 (dollars in thousands):

	March 31,			December 31,
	2020			2019
Apartments	$	157,753		$	156,173
Apartments under construction		33,166			22,363
Commercial properties		230,133			229,424
Land held for development		61,782			62,037
Real estate subject to sales contract		6,887			7,966
Total real estate, at cost, less impairment	$	489,721		$	477,963
Less accumulated deprecation		(93,144	)		(90,173	)
Total real estate, net of depreciation	$	396,577		$	387,790

The following is a description of our significant real estate and financing transactions for the three months ended March 31, 2020: 

● Sold a combined 18.7 acres of land to third parties in Farmers Branch, Texas and Forney, Texas for an aggregate sales price of $5.7 million and recognized a gain on the sale of approximately $4.1 million.

● Acquired 100% of the membership interest in EQK Portage, LLC, which owns approximately 49.2 acres of land in Kent, OH. The Company purchased the land for development at a purchase price of $5.4 million, consisting of $2.0 million in cash and a 3.4 million note payable. The note has an interest rate of 10% and a maturity date of November 13, 2024.

● Purchased notes receivables from related parties for an aggregate purchase price of $7.4 million. No gain or loss was recognized from the purchase of the notes receivables (refer to Note 5).

● Paid $11.6 million in Series A bond principal and $7.3 million interests payments in Series A, B and C bonds.

● Converted $16.0 million to approximately 59.8 million (NIS) for the upcoming July 31, 2020 payment to the bond holders for principal and interest on Series A, B, and C Bonds.

The Company continues to invest in the development of apartment projects. During the three months ended March 31, 2020, we have invested $5.4 million related to the construction or predevelopment of various apartment complexes out of which $0.3 million represents capitalized interest costs.