2019 Q1 Form 10-Q Financial Statement

#000162828019006675 Filed on May 13, 2019

View on sec.gov

Income Statement

Concept 2019 Q1 2018 Q1
Revenue $47.28M $48.29M
YoY Change -2.11% -27.86%
Cost Of Revenue $26.14M $24.13M
YoY Change 8.33% -23.78%
Gross Profit $21.14M $24.17M
YoY Change -12.54% -31.51%
Gross Profit Margin 44.72% 50.05%
Selling, General & Admin $1.830M $3.380M
YoY Change -45.86% 100.0%
% of Gross Profit 8.66% 13.98%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $9.630M $13.15M
YoY Change -26.77% -23.68%
% of Gross Profit 45.55% 54.41%
Operating Expenses $11.46M $16.52M
YoY Change -30.63% -12.68%
Operating Profit $291.9M $1.010M
YoY Change 28805.05% -99.48%
Interest Expense $4.045M $6.633M
YoY Change -39.02% -32.13%
% of Operating Profit 1.39% 656.73%
Other Income/Expense, Net
YoY Change
Pretax Income $291.9M $1.010M
YoY Change 28805.05% -99.48%
Income Tax $318.0K $388.0K
% Of Pretax Income 0.11% 38.42%
Net Earnings $291.8M $618.0K
YoY Change 47116.34% -99.68%
Net Earnings / Revenue 617.21% 1.28%
Basic Earnings Per Share $19.70 -$0.07
Diluted Earnings Per Share $18.90 -$0.07
COMMON SHARES
Basic Shares Outstanding 14.60M shares 43.79M shares
Diluted Shares Outstanding 15.25M shares 14.60M shares

Balance Sheet

Concept 2019 Q1 2018 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $299.4M $39.90M
YoY Change 650.38% -90.13%
Cash & Equivalents $298.8M $39.88M
Short-Term Investments
Other Short-Term Assets
YoY Change
Inventory
Prepaid Expenses
Receivables $5.900M $10.70M
Other Receivables $0.00 $0.00
Total Short-Term Assets $305.3M $50.60M
YoY Change 503.36% -87.87%
LONG-TERM ASSETS
Property, Plant & Equipment $668.3M $1.085B
YoY Change -38.42% -27.92%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $116.6M $116.3M
YoY Change 0.26% -13.53%
Total Long-Term Assets $881.3M $1.307B
YoY Change -32.59% -25.24%
TOTAL ASSETS
Total Short-Term Assets $305.3M $50.60M
Total Long-Term Assets $881.3M $1.307B
Total Assets $1.187B $1.358B
YoY Change -12.62% -37.3%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $13.10M $28.70M
YoY Change -54.36% -13.29%
Accrued Expenses $300.0K
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $22.50M $38.30M
YoY Change -41.25% -11.34%
LONG-TERM LIABILITIES
Long-Term Debt $165.6M $641.3M
YoY Change -74.18% -31.73%
Other Long-Term Liabilities $55.30M $19.00M
YoY Change 191.05% -47.66%
Total Long-Term Liabilities $220.9M $660.3M
YoY Change -66.55% -32.32%
TOTAL LIABILITIES
Total Short-Term Liabilities $22.50M $38.30M
Total Long-Term Liabilities $220.9M $660.3M
Total Liabilities $243.3M $698.6M
YoY Change -65.17% -31.43%
SHAREHOLDERS EQUITY
Retained Earnings -$151.6M -$404.6M
YoY Change -62.54% -4.68%
Common Stock $44.00K $44.00K
YoY Change 0.0% -47.62%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $908.8M $623.6M
YoY Change
Total Liabilities & Shareholders Equity $1.187B $1.358B
YoY Change -12.62% -37.3%

Cashflow Statement

Concept 2019 Q1 2018 Q1
OPERATING ACTIVITIES
Net Income $291.8M $618.0K
YoY Change 47116.34% -99.68%
Depreciation, Depletion And Amortization $9.630M $13.15M
YoY Change -26.77% -23.68%
Cash From Operating Activities $14.39M $17.71M
YoY Change -18.72% 30.56%
INVESTING ACTIVITIES
Capital Expenditures -$12.62M -$116.2M
YoY Change -89.14% 3409.67%
Acquisitions
YoY Change
Other Investing Activities -$23.00K -$49.00K
YoY Change -53.06% -12.5%
Cash From Investing Activities $641.7M -$115.3M
YoY Change -656.3% -140.23%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$422.7M $11.52M
YoY Change -3770.11% -125.71%
NET CHANGE
Cash From Operating Activities $14.39M $17.71M
Cash From Investing Activities $641.7M -$115.3M
Cash From Financing Activities -$422.7M $11.52M
Net Change In Cash $233.4M -$86.12M
YoY Change -371.01% -133.71%
FREE CASH FLOW
Cash From Operating Activities $14.39M $17.71M
Capital Expenditures -$12.62M -$116.2M
Free Cash Flow $27.01M $133.9M
YoY Change -79.82% 693.45%

Facts In Submission

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27682000 USD
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13148000 USD
CY2019Q1 us-gaap Depreciation And Amortization
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9630000 USD
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5473000 USD
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5474000 USD
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493000 USD
CY2019Q1 us-gaap Dividends Payable Current And Noncurrent
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1010000 USD
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493000 USD
CY2019Q1 us-gaap Dividends Preferred Stock Cash
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1010000 USD
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10951000 USD
CY2019Q1 us-gaap Due To Related Parties Current And Noncurrent
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CY2019Q1 us-gaap Financing Receivable Allowance For Credit Losses
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1580000 USD
CY2018Q1 us-gaap Gain Loss On Discontinuation Of Interest Rate Cash Flow Hedge Due To Forecasted Transaction Probable Of Not Occurring Net
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0 USD
CY2019Q1 us-gaap Gain Loss On Discontinuation Of Interest Rate Cash Flow Hedge Due To Forecasted Transaction Probable Of Not Occurring Net
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0 USD
CY2019Q1 us-gaap Gains Losses On Sales Of Investment Real Estate
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377581000 USD
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0 USD
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3376000 USD
CY2019Q1 us-gaap General And Administrative Expense
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1788000 USD
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0 USD
CY2018Q1 us-gaap Impairment Of Real Estate
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0 USD
CY2019Q1 us-gaap Impairment Of Real Estate
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66200000 USD
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1010000 USD
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291941000 USD
CY2018Q1 us-gaap Income Tax Expense Benefit
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CY2019Q1 us-gaap Income Tax Expense Benefit
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CY2019Q1 us-gaap Income Taxes Paid
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CY2019Q1 us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
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CY2018Q1 us-gaap Increase Decrease In Deferred Leasing Fees
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1040000 USD
CY2019Q1 us-gaap Increase Decrease In Deferred Leasing Fees
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262000 USD
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826000 USD
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5115000 USD
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1806000 USD
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55410000 USD
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1183000 USD
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1575000 USD
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CY2019Q1 us-gaap Payments Of Stock Issuance Costs
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CY2018Q1 us-gaap Payments To Acquire Loans Held For Investment
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CY2018Q1 us-gaap Payments To Acquire Marketable Securities
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CY2019Q1 us-gaap Proceeds From Issuance Of Secured Debt
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2252000 USD
CY2018Q1 us-gaap Proceeds From Repayments Of Lines Of Credit
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CY2019Q1 us-gaap Proceeds From Repayments Of Lines Of Credit
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CY2019Q1 us-gaap Proceeds From Sale Of Loans Held For Sale
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CY2018Q4 us-gaap Real Estate Investment Property At Cost
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CY2019Q1 us-gaap Real Estate Investment Property At Cost
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CY2018Q1 us-gaap Reclassifications Of Temporary To Permanent Equity
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8890000 USD
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510000 USD
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46000000 USD
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CY2019Q1 us-gaap Repayments Of Notes Payable
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3271000 USD
CY2018Q1 us-gaap Repayments Of Secured Debt
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CY2019Q1 us-gaap Repayments Of Secured Debt
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112000 USD
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130000000 USD
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9804000 USD
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CY2019Q1 us-gaap Revenues
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CY2019Q1 us-gaap Right Of Use Asset Obtained In Exchange For Finance Lease Liability
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298000 USD
CY2018Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2019Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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243000 USD
CY2018Q1 us-gaap Share Based Compensation
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CY2019Q1 us-gaap Share Based Compensation
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38000 USD
CY2019Q1 us-gaap Stock Issued During Period Value Share Based Compensation
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38000 USD
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CY2019Q1 us-gaap Stock Redeemed Or Called During Period Value
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CY2019Q1 us-gaap Stockholders Equity
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StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
617275000 USD
CY2019Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
909507000 USD
CY2018Q4 us-gaap Temporary Equity Carrying Amount Including Portion Attributable To Noncontrolling Interests
TemporaryEquityCarryingAmountIncludingPortionAttributableToNoncontrollingInterests
35733000 USD
CY2019Q1 us-gaap Temporary Equity Carrying Amount Including Portion Attributable To Noncontrolling Interests
TemporaryEquityCarryingAmountIncludingPortionAttributableToNoncontrollingInterests
33789000 USD
CY2019Q1 us-gaap Temporary Equity Issue Period Increase Or Decrease
TemporaryEquityIssuePeriodIncreaseOrDecrease
38194000 USD
CY2018Q4 us-gaap Tenant Improvements
TenantImprovements
133487000 USD
CY2019Q1 us-gaap Tenant Improvements
TenantImprovements
58861000 USD
CY2018Q4 us-gaap Unamortized Loan Commitment And Origination Fees And Unamortized Discounts Or Premiums
UnamortizedLoanCommitmentAndOriginationFeesAndUnamortizedDiscountsOrPremiums
7234000 USD
CY2019Q1 us-gaap Unamortized Loan Commitment And Origination Fees And Unamortized Discounts Or Premiums
UnamortizedLoanCommitmentAndOriginationFeesAndUnamortizedDiscountsOrPremiums
7348000 USD
CY2018Q1 us-gaap Unrealized Gain Loss On Cash Flow Hedging Instruments
UnrealizedGainLossOnCashFlowHedgingInstruments
0 USD
CY2019Q1 us-gaap Unrealized Gain Loss On Cash Flow Hedging Instruments
UnrealizedGainLossOnCashFlowHedgingInstruments
-209000 USD
CY2018Q1 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2019Q1 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
1941000 shares
CY2018Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
43785000 shares
CY2019Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
45736000 shares
CY2018Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
43785000 shares
CY2019Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
43795000 shares
CY2019Q1 us-gaap Fiscal Period
FiscalPeriod
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Interim Financial Information</font><font style="font-family:inherit;font-size:10pt;">&#8212;The accompanying interim consolidated financial statements of CIM Commercial have been prepared by our management in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Certain information and note disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, the interim consolidated financial statements do not include all of the information and notes required by GAAP for complete financial statements. The accompanying financial information reflects all adjustments which are, in the opinion of our management, of a normal recurring nature and necessary for a fair presentation of our financial position, results of operations and cash flows for the interim periods. Operating results for the </font><font style="font-family:inherit;font-size:10pt;">three</font><font style="font-family:inherit;font-size:10pt;"> months ended </font><font style="font-family:inherit;font-size:10pt;">March&#160;31, 2019</font><font style="font-family:inherit;font-size:10pt;"> are not necessarily indicative of the results that may be expected for the year ending </font><font style="font-family:inherit;font-size:10pt;">December&#160;31, 2019</font><font style="font-family:inherit;font-size:10pt;">. Our accompanying interim consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the notes thereto, included in our Annual Report on Form&#160;10-K filed with the SEC on </font><font style="font-family:inherit;font-size:10pt;">March&#160;18, 2019</font><font style="font-family:inherit;font-size:10pt;">.</font></div></div>
CY2019Q1 us-gaap Nature Of Operations
NatureOfOperations
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-bottom:10px;padding-top:10px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">ORGANIZATION AND OPERATIONS</font></div><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">CIM Commercial Trust Corporation ("CIM Commercial" or the "Company"), a Maryland corporation and real estate investment trust ("REIT"), together with its wholly-owned subsidiaries ("we," "us" or "our") primarily acquires, owns, and operates Class&#160;A and creative office assets in vibrant and improving metropolitan communities throughout the United States. These communities are located in areas that include traditional downtown areas and suburban main streets, which have high barriers to entry, high population density, positive population trends and a propensity for growth. We were originally organized in 1993 as PMC Commercial Trust ("PMC Commercial"), a Texas real estate investment trust.</font></div><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On </font><font style="font-family:inherit;font-size:10pt;">July&#160;8, 2013</font><font style="font-family:inherit;font-size:10pt;">, PMC Commercial entered into a merger agreement with CIM Urban REIT,&#160;LLC ("CIM REIT"), an affiliate of CIM Group, L.P. ("CIM Group" or "CIM"), and subsidiaries of the respective parties. CIM REIT was a private commercial REIT and was the owner of CIM Urban Partners,&#160;L.P. ("CIM Urban"). The merger was completed on </font><font style="font-family:inherit;font-size:10pt;">March&#160;11, 2014</font><font style="font-family:inherit;font-size:10pt;"> (the "Acquisition Date"). </font></div><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Our common stock, </font><font style="font-family:inherit;font-size:10pt;">$0.001</font><font style="font-family:inherit;font-size:10pt;"> par value per share ("Common Stock"), is currently traded on the Nasdaq Global Market ("Nasdaq"), under the ticker symbol "CMCT", and on the Tel Aviv Stock Exchange (the "TASE"), under the ticker symbol "CMCT-L." Our Series L preferred stock, </font><font style="font-family:inherit;font-size:10pt;">$0.001</font><font style="font-family:inherit;font-size:10pt;"> par value per share ("Series L Preferred Stock"), is currently traded on Nasdaq and on the TASE, in each case under the ticker symbol "CMCTP." We have authorized for issuance </font><font style="font-family:inherit;font-size:10pt;">900,000,000</font><font style="font-family:inherit;font-size:10pt;"> shares of common stock and </font><font style="font-family:inherit;font-size:10pt;">100,000,000</font><font style="font-family:inherit;font-size:10pt;"> shares of preferred stock ("Preferred Stock").</font></div><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">CIM Commercial has qualified and intends to continue to qualify as a REIT, as defined in the Internal Revenue Code of 1986, as amended.</font></div></div>
CY2019Q1 us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Reclassifications</font><font style="font-family:inherit;font-size:10pt;">&#8212;Certain prior period amounts have been reclassified to conform with the current period presentation. With the adoption of Accounting Standards Update ("ASU") 2016-02, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Leases (Topic 842)</font><font style="font-family:inherit;font-size:10pt;"> and the election of the lessor practical expedient not to separate lease and non-lease components, </font><font style="font-family:inherit;font-size:10pt;">$1,451,000</font><font style="font-family:inherit;font-size:10pt;"> of expense reimbursements were reclassified as rental and other property income and </font><font style="font-family:inherit;font-size:10pt;">$158,000</font><font style="font-family:inherit;font-size:10pt;"> of non-lease component expense reimbursements recognized under the revenue recognition guidance were reclassified as interest and other income on the consolidated statement of operations for the three months ended </font><font style="font-family:inherit;font-size:10pt;">March&#160;31, 2018</font><font style="font-family:inherit;font-size:10pt;">. Under the new leasing guidance, bad debt expense associated with changes in the collectability assessment for operating leases shall be recorded as adjustments to rental and other property income rather than rental and other property operating expenses. The impact of this reclassification resulted in a </font><font style="font-family:inherit;font-size:10pt;">$104,000</font><font style="font-family:inherit;font-size:10pt;"> reclassification from rental and other property expenses to rental and other property income on the consolidated statement of operations for the three months ended </font><font style="font-family:inherit;font-size:10pt;">March&#160;31, 2018</font><font style="font-family:inherit;font-size:10pt;">.</font></div></div>
CY2019Q1 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-bottom:10px;padding-top:10px;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Use of Estimates</font><font style="font-family:inherit;font-size:10pt;">&#8212;The preparation of consolidated financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.</font></div></div>

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