Company: SQFTP
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001437749-25-026786
Chunk: 128

Company: Presidio Property Trust, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 128
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 amount allocated to unamortized lease origination costs is determined by what the Company would have paid to a third-party to secure a new tenant reduced by the expired term of the respective lease. The amount allocated to tenant relationships is the benefit resulting from the likelihood of a tenant renewing its lease. Amortization expense related to these assets was approximately $4,382 and $8,763, respectively, for the three and six months ended  June 30, 2025. Amortization expense related to these assets was approximately $4,382 and $8,763, respectively, for the three and six months ended  June 30, 2024.
    
   Deferred Leasing Costs. Costs incurred in connection with successful property leases are capitalized as deferred leasing costs and amortized to leasing commission expense on a straight-line basis over the terms of the related leases which generally range from one to five years. Deferred leasing costs consist of third-party leasing commissions. Management re-evaluates the remaining useful lives of leasing costs as the creditworthiness of the tenants and economic and market conditions change. If management determines the estimated remaining life of the respective lease has changed, the amortization period is adjusted. At  June 30, 2025 and  December 31, 2024, the Company had net deferred leasing costs of approximately $1.4 million and $1.7 million, respectively. Total amortization expense for the three and six months ended  June 30, 2025 was approximately $82,657 and  $217,433, respectively.  Total amortization expense for the three and six months ended  June 30, 2024 was approximately $119,278 and $244,099, respectively. 
    
   Cash, Cash Equivalents and Restricted Cash. At  June 30, 2025 and  December 31, 2024, we had approximately $7.3 million and $8.0 million in cash, cash equivalents and restricted cash, respectively, of which approximately $3.6 million and $5.0 million represented restricted cash, respectively.  The Company considers all short-term, highly liquid investments that are both readily convertible to cash and have an original maturity of three months or less at the date of purchase to be cash equivalents. Items classified as cash equivalents include money market funds and short-term bonds. Cash balances in individual banks