| Revision of Previously Issued Financial Statements |
Revision of Previously Issued Financial Statements As discussed in Note 1, the Company identified errors in its calculation of the depreciation of tenant funded improvement assets at a number of its properties. A summary of the corrections to the impacted financial statement line items in the Company’s previously issued Consolidated Statements of Operations and Comprehensive Income, Consolidated Balance Sheets, Consolidated Statements of Equity, and Consolidated Statements of Cash Flows for the years ended December 31, 2021 and December 31, 2022 included in previously filed Annual Reports on Form 10-K, is as follows:
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Consolidated Statements of Operations and Comprehensive Income |
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Year Ended December 31, 2021 |
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As Previously Reported |
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Adjustments |
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As Revised |
| Operating expenses |
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| Depreciation and amortization |
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$ |
60,311 |
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$ |
(1,162) |
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$ |
59,149 |
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| Total operating expense before incentive fee waiver |
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$ |
102,816 |
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$ |
(1,162) |
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$ |
101,654 |
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| Total operating expenses |
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$ |
102,800 |
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$ |
(1,162) |
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$ |
101,638 |
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| Net income |
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$ |
9,733 |
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$ |
1,162 |
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$ |
10,895 |
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| Net income available to the Company |
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$ |
9,773 |
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$ |
1,162 |
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$ |
10,935 |
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| Net loss attributable to common stockholders |
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$ |
(4,554) |
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$ |
1,162 |
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$ |
(3,392) |
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| Loss per weighted average share of common stock - basic & diluted |
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| Loss attributable to common stockholders |
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$ |
(0.12) |
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$ |
0.03 |
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$ |
(0.09) |
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| Comprehensive income |
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| Net income |
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$ |
9,733 |
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$ |
1,162 |
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$ |
10,895 |
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| Total comprehensive income available to the Company |
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$ |
12,627 |
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$ |
1,162 |
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$ |
13,789 |
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Consolidated Statements of Operations and Comprehensive Income |
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Year Ended December 31, 2022 |
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As Previously Reported |
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Adjustments |
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As Revised |
| Operating expenses |
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| Depreciation and amortization |
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$ |
61,664 |
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$ |
(1,510) |
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$ |
60,154 |
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| Total operating expense before incentive fee waiver |
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$ |
117,758 |
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$ |
(1,510) |
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$ |
116,248 |
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| Total operating expenses |
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$ |
117,758 |
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$ |
(1,510) |
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$ |
116,248 |
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| Net income |
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$ |
9,272 |
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$ |
1,510 |
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$ |
10,782 |
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| Net income available to the Company |
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$ |
9,295 |
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$ |
1,510 |
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$ |
10,805 |
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| Net loss attributable to common stockholders |
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$ |
(3,039) |
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$ |
1,510 |
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$ |
(1,529) |
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| Loss per weighted average share of common stock - basic & diluted |
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| Loss attributable to common stockholders |
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$ |
(0.08) |
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$ |
0.04 |
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$ |
(0.04) |
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| Comprehensive income |
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| Net income |
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$ |
9,272 |
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$ |
1,510 |
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$ |
10,782 |
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| Total comprehensive income available to the Company |
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$ |
21,410 |
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$ |
1,510 |
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$ |
22,920 |
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Consolidated Balance Sheets |
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As of December 31, 2021 |
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As Previously Reported |
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Adjustments |
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As Revised |
| ASSETS |
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| Less: accumulated depreciation |
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$ |
266,672 |
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$ |
385 |
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$ |
267,057 |
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| Total real estate, net |
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$ |
958,586 |
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$ |
(385) |
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$ |
958,201 |
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| TOTAL ASSETS |
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$ |
1,143,352 |
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$ |
(385) |
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$ |
1,142,967 |
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| EQUITY |
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| Distributions in excess of accumulated earnings |
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$ |
(468,523) |
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$ |
(385) |
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$ |
(468,908) |
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| TOTAL STOCKHOLDERS' EQUITY |
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$ |
201,303 |
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$ |
(385) |
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$ |
200,918 |
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| TOTAL EQUITY |
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$ |
202,562 |
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$ |
(385) |
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$ |
202,177 |
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| TOTAL LIABILITIES, MEZZANINE EQUITY AND EQUITY |
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$ |
1,143,352 |
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$ |
(385) |
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$ |
1,142,967 |
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Consolidated Balance Sheets |
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As of December 31, 2022 |
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As Previously Reported |
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Adjustments |
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As Revised |
| ASSETS |
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| Less: accumulated depreciation |
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$ |
286,994 |
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$ |
(844) |
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$ |
286,150 |
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| Total real estate, net |
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$ |
1,000,303 |
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$ |
844 |
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$ |
1,001,147 |
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| Real estate and related assets held for sale |
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$ |
3,013 |
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$ |
280 |
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$ |
3,293 |
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| TOTAL ASSETS |
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$ |
1,201,509 |
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$ |
1,124 |
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$ |
1,202,633 |
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| EQUITY |
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| Distributions in excess of accumulated earnings |
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$ |
(530,228) |
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$ |
1,124 |
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$ |
(529,104) |
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| TOTAL STOCKHOLDERS' EQUITY |
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$ |
202,780 |
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$ |
1,124 |
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$ |
203,904 |
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| TOTAL EQUITY |
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$ |
204,570 |
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$ |
1,124 |
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$ |
205,694 |
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| TOTAL LIABILITIES, MEZZANINE EQUITY AND EQUITY |
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$ |
1,201,509 |
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$ |
1,124 |
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$ |
1,202,633 |
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Consolidated Statements of Equity |
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As of December 31, 2021 |
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Distributions in Excess of Accumulated Earnings |
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Total Stockholders' Equity |
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Total Equity |
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As Previously Reported |
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Adjustments |
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As Revised |
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As Previously Reported |
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Adjustments |
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As Revised |
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As Previously Reported |
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Adjustments |
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As Revised |
| Balance at December 31, 2020 |
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$ |
(409,041) |
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$ |
(1,548) |
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$ |
(410,589) |
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$ |
213,183 |
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$ |
(1,548) |
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$ |
211,635 |
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$ |
216,037 |
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$ |
(1,548) |
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$ |
214,489 |
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| Net income |
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9,773 |
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1,162 |
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10,935 |
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9,773 |
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1,162 |
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10,935 |
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9,733 |
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1,162 |
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10,895 |
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| Balance at December 31, 2021 |
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$ |
(468,523) |
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$ |
(385) |
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$ |
(468,908) |
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$ |
201,303 |
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$ |
(385) |
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$ |
200,918 |
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$ |
202,562 |
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$ |
(385) |
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$ |
202,177 |
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| Consolidated Statements of Equity |
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As of December 31, 2022 |
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Distributions in Excess of Accumulated Earnings |
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Total Stockholders' Equity |
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Total Equity |
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As Previously Reported |
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Adjustments |
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As Revised |
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As Previously Reported |
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Adjustments |
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As Revised |
|
As Previously Reported |
|
Adjustments |
|
As Revised |
| Balance at December 31, 2021 |
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$ |
(468,523) |
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$ |
(385) |
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$ |
(468,908) |
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$ |
201,303 |
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$ |
(385) |
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$ |
200,918 |
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$ |
202,562 |
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$ |
(385) |
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$ |
202,177 |
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| Net income |
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9,295 |
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|
1,510 |
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10,805 |
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|
9,295 |
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1,510 |
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10,805 |
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|
9,272 |
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|
1,510 |
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|
10,782 |
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| Balance at December 31, 2022 |
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$ |
(530,228) |
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$ |
1,124 |
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$ |
(529,104) |
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$ |
202,780 |
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$ |
1,124 |
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$ |
203,904 |
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$ |
204,570 |
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$ |
1,124 |
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$ |
205,694 |
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Consolidated Statements of Cash Flows |
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Year Ended December 31, 2021 |
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As Previously Reported |
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Adjustments |
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As Revised |
| Cash flows from operating activities: |
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| Net income |
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$ |
9,733 |
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$ |
1,162 |
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$ |
10,895 |
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| Adjustments to reconcile net income to net cash provided by operating activities: |
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| Depreciation and amortization |
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60,311 |
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(1,162) |
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59,149 |
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Consolidated Statements of Cash Flows |
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Year Ended December 31, 2022 |
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As Previously Reported |
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Adjustments |
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As Revised |
| Cash flows from operating activities: |
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| Net income |
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$ |
9,272 |
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$ |
1,510 |
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$ |
10,782 |
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| Adjustments to reconcile net income to net cash provided by operating activities: |
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| Depreciation and amortization |
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61,664 |
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(1,510) |
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60,154 |
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