Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2023

Summary of Significant Accounting Policies

Schedule of amortization of lease intangibles

The following schedule summarizes the Company’s amortization of lease intangibles for the three months ended March 31, 2023 and 2022 (presented in thousands):

	Three Months Ended
	March 31, 2023		March 31, 2022
Lease intangibles (in-place)	$	13,624	$	8,795
Lease intangibles (above-market)		10,113		9,636
Lease intangibles (below-market)		(1,502)		(1,458)
Total	$	22,235	$	16,973

Schedule of estimated future amortization of lease intangibles

The following schedule represents estimated future amortization of lease intangibles as of March 31, 2023 (presented in thousands):

	2023
Year Ending December 31,	(remaining)		2024		2025		2026		2027		Thereafter		Total
Lease intangibles (in-place)	$	40,994	$	51,573	$	48,530	$	45,237	$	40,564	$	188,694	$	415,592
Lease intangibles (above-market)		28,946		35,073		32,739		31,010		28,632		231,662		388,062
Lease intangibles (below-market)		(4,220)		(5,065)		(4,630)		(4,276)		(3,867)		(14,268)		(36,326)
Total	$	65,720	$	81,581	$	76,639	$	71,971	$	65,329	$	406,088	$	767,328

Schedule of cash, cash equivalents and cash held in escrow

Per the requirements of Accounting Standards Update (“ASU”) 2016-18 (Topic 230, Statement of Cash Flows) the following table provides a reconciliation of cash and cash equivalents and cash held in escrow, both as reported within the Condensed Consolidated Balance Sheets, to the total of the cash and cash equivalents and cash held in escrow as reported within the Condensed Consolidated Statements of Cash Flows (presented in thousands):

	March 31, 2023		December 31, 2022
Cash and cash equivalents	$	11,809	$	27,763
Cash held in escrow		1,131		1,146
Total of cash and cash equivalents and cash held in escrow	$	12,940	$	28,909

Schedule of reconciliation of basic and diluted net earnings per common share

The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net earnings per share of common stock for each of the periods presented (presented in thousands, except for share data):

	Three Months Ended
	March 31, 2023		March 31, 2022
Net income attributable to Agree Realty Corporation	$	41,614	$	36,113
Less: Series A preferred stock dividends		(1,859)		(1,859)
Net income attributable to common stockholders		39,755		34,254
Less: Income attributable to unvested restricted shares		(106)		(110)
Net income used in basic and diluted earnings per share	$	39,649	$	34,144
Weighted average number of common shares outstanding		90,273,864		71,471,247
Less: Unvested restricted shares		(245,609)		(242,317)
Weighted average number of common shares outstanding used in basic earnings per share		90,028,255		71,228,930
Weighted average number of common shares outstanding used in basic earnings per share		90,028,255		71,228,930
Effect of dilutive securities:
Share-based compensation		71,925		58,190
ATM Forward Equity Offerings		147,104		980
December 2021 Forward Offering		—		48,003
September 2022 Forward Equity Offering		300,888		—
Weighted average number of common shares outstanding used in diluted earnings per share		90,548,172		71,336,103