Company: LANDO
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001495240-25-000005
Chunk: 122

Company: GLADSTONE LAND Corp
Filing Date: 2025-02-19
Form: 10-K
Item: Item 7
Chunk 122
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.42%N/AN/A

Note:        Figures in the table above apply only to the farmland portion of our portfolio and exclude assumptions made related to water, farm-related facilities (e.g., cooling facilities), and other structures on our properties (e.g., residential housing).

Our Valuation Team reviews the appraisals, including the significant assumptions and inputs used in determining the appraised values, and considers any developments that may have occurred since the time the appraisals were performed.  Developments considered that may have an impact on the fair value of our real estate include, but are not limited to, changes in tenant credit profiles, changes in lease terms (such as expirations and notices of non-renewals or to vacate), and potential asset sales (particularly those at prices different from the appraised values of our properties).

Management believes that the purchase prices of the farms acquired during the previous 12 months and the most recent appraisals available for the farms acquired prior to the previous 12 months fairly represent the current market values of the properties as of December 31, 2024, and, accordingly, did not make any adjustment to these values.

A quarterly rollforward of the change in our portfolio value for the three months ended December 31, 2024, from the prior value basis as of September 30, 2024, is provided in the table below (dollars in thousands):

Total portfolio fair value as of September 30, 2024$1,462,362 Plus:  Water asset acquisitions during the three months ended December 31, 2024118 Less:  Farm sales during the three months ended December 31, 2024(5,740)Change in value of farms during the three months ended December 31, 2024:Farms and water assets valued based on sales price$2,350 Farms and water assets valued via third-party appraisals(53,740)Net change in value of farms and water assets during the three months ended December 31, 2024(51,390)Total portfolio fair value as of December 31, 2024$1,405,350 

Management also determined fair values of all of its long-term borrowings and preferred stock.  Using a discounted cash flow analysis, management determined that the fair value of all long-term encumbrances on our properties as of December 31, 2024, was approximately $486.3 million, as compared to