Company: SACH
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001682220-25-000044
Chunk: 57

Company: Sachem Capital Corp.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 8
Chunk 57
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31, 2024CostAccumulated DepreciationInvestment in Developmental Real Estate, Net(in thousands)Land$4,557 $— $4,557 Building4,936 (154)4,782 Site improvements359 (30)329 Tenant improvements1,182 — 1,182 Construction in progress3,141 — 3,141 Lease intangibles41 — 41 Total$14,216 $(184)$14,032 For the six months ended June 30, 2025 and 2024, depreciation and amortization expense related to developmental real estate was $0.1 million and $0.1 million, respectively, which is presented in other expenses on the Company’s Condensed Consolidated Statements of Operations. Tenant improvements and other intangibles associated with the tenant began amortizing upon commencement of the lease that occurred in February 2025. Amortization related to tenant improvements and intangibles was $43,000 for the six months ended June 30, 2025 compared to no such amortization for the six months ended June 30, 2024. Additionally, the Company leases space to a tenant under an operating lease. The lease provides for the payment of fixed base rent payable monthly in advance and periodic step-ups in rent over the term of the lease and a pass through to tenants their share of increases in real estate taxes and operating expenses over a base year. The lease also provides for free rent and a tenant improvement allowance of $2.7 million. The lease commenced February 2025 with a cash rent abatement period of 425 days.

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Table of ContentsSACHEM CAPITAL CORP.NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTSFOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2025

As of June 30, 2025, future minimum rents under non-cancelable operating leases were as follows:Years Ending December 31,Amount(in thousands)2025 (remaining six months)$— 2026936 20271,267 20281,292 20291,318 Thereafter8,852 Total$13,665 The Company acquired one property in investment in developmental real estate that was subject to an in place lease.  In the purchase price allocation, the Company recorded an acquired below market lease intangible of $0.7 million.  The estimated annual amort