Company: LANDO
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001495240-25-000005
Chunk: 102

Company: GLADSTONE LAND Corp
Filing Date: 2025-02-19
Form: 10-K
Item: Item 7
Chunk 102
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 December 31,20242023$ Change% ChangeSame-property basis:Fixed lease payments$69,715 $75,077 $(5,362)(7.1)%Participation rents8,877 5,029 3,848 76.5%Total – Same-property basis78,592 80,106 (1,514)(1.9)%Properties acquired or disposed of:Fixed lease payments32 2,934 (2,902)(98.9)%Total – Properties acquired or disposed of32 2,934 (2,902)(98.9)%Vacant, direct-operated, or non-accrual properties:Fixed lease payments4,205 5,684 (1,479)(26.0)%Participation rents524 861 (337)(39.1)%Total – Vacant, direct-operated, or non-accrual properties4,729 6,545 (1,816)(27.7)%Tenant reimbursements and other(1)1,410 734 676 92.1%Total Lease revenue$84,763 $90,319 $(5,556)(6.2)%

(1)Tenant reimbursements generally represent tenant-reimbursed property operating expenses on certain of our farms, including property taxes, insurance premiums, and other property-related expenses.  Similar amounts were also recorded as property operating expenses during the respective periods.

Same-property Basis – 2024 compared to 2023

Lease revenue from fixed lease payments decreased primarily due to the execution of certain lease agreements in 2024, pursuant to which we agreed to reduce the fixed base rent amounts in exchange for increasing the participation rent components in the leases, the majority of which will be realized in the second half of 2025.  This decrease was partially offset by additional rents earned on capital improvements completed on certain of our farms.  

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The increase in participation rents was mainly driven by higher production yields (i.e., pounds per acre) on certain almond and pistachio farms (partly due to the alternate-bearing nature of these tree crops), partially offset by lower prices for both crops during the 2023-2024 marketing period.

Other – 2024 compared to 2023

Lease revenue from properties acquired or disposed of decreased primarily due to the sale of a 3,748-acre farm in Florida in January 2024.

Fixed lease payments from vacant, direct-operated, or non-