Company: INTG
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006758
Chunk: 19

Company: INTERGROUP CORP
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 19
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000, respectively.

NOTE
5 – INVESTMENT IN REAL ESTATE, NET

The
Company’s investment in real estate includes sixteen apartment complexes, one commercial real estate property and three single-family
houses. The properties are located throughout the United States, but are concentrated in Dallas, Texas and Southern California. The Company
also has an investment in unimproved land located in Maui, Hawaii.

Investment
in real estate consisted of the following:

 SCHEDULE OF INVESTMENT IN REAL ESTATE

    As of 
    December
    31, 2024  
    June
    30, 2024 
  
    Land 
    $22,998,000  
    $22,998,000 
  
    Buildings, improvements and equipment 
     76,359,000  
     75,460,000 
  
    Accumulated depreciation 
     (54,330,000) 
     (52,846,000)
  
    Investment in real estate, gross 
     45,027,000  
     45,612,000 
  
    Land held for development 
     1,930,000  
     1,930,000 
  
    Investment in real estate,
    net 
    $46,957,000  
    $47,542,000 

Building,
improvements, and equipment are stated at cost, depreciated on a straight-line basis over their useful lives ranging from 5 to 40 years.
During the six months ended December 31, 2024, the Company invested $899,000 in capitalized improvements. Depreciation expense related
to our investment in real estate for the six months ended December 31, 2024 and 2023 was $1,484,000 and $1,373,000, respectively.

NOTE
6 – INVESTMENT IN MARKETABLE SECURITIES

The
Company’s investment in marketable securities consists primarily of corporate equities. The Company has also periodically invested
in corporate bonds and income producing securities, which may include interests in real estate-based companies and REITs, where financial
benefit could transfer to its shareholders through income and/or capital gain.

    -13-

At
December 31, 2024 and June 30, 2024, all of the Company’s marketable securities are classified as trading securities. The change
in the unrealized gains and losses on these investments, along with the