5. Real Estate Held for Sale and Impairment Charges

Real Estate Held for Sale

On June 6, 2014, we sold our property located in Sterling Heights, Michigan to the tenant currently occupying the building for $11.4 million and recognized a gain of $1.2 million on the sale.

The table below summarizes the components of income from real estate and related assets held for sale for the three and nine months ended September 30, 2014 and September 30, 2013, respectively (dollars in thousands):

Impairment Charges

We performed the evaluation and analysis of our portfolio and concluded that our Roseville, Minnesota property was impaired as of March 31, 2014. We determined that the expected undiscounted cash flows based upon a revised estimated holding period of this property was below the current carrying value. The estimated holding period was revised after a potential tenant that we were anticipating to lease a large portion of the vacant space, during the three months ended March 31, 2014, did not execute a lease on the property. Consequently, we revised the holding period to coincide with the maturity of the mortgage loan in June 2014. Accordingly, we reduced the carrying value of this property to its estimated fair value, less cost to sell, and we recognized an impairment loss of $14.2 million during the nine months ended September 30, 2014. This property is in the process of being returned to the lender in a deed in lieu transaction, which is anticipated to occur during the quarter ending December 31, 2014.

We had previously reported that our property located in South Hadley, Massachusetts was at risk of becoming impaired in the future. We recently received notification from the existing tenant that they will extend the lease on the property for two years, and it will now expire in January 2017. Because of this lease extension, we are no longer at risk at having to impair this property in the next year.

We continue to monitor our portfolio for any other indicators of impairment.