Company: LANDO
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001495240-25-000028
Chunk: 147

Company: GLADSTONE LAND Corp
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 147
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 these capital improvements as the funds are disbursed by us.

Ground Lease Obligations

In connection with certain farms acquired through a leasehold interest, we assumed certain ground lease arrangements under which we are the lessee.  Future minimum lease payments due under the remaining non-cancelable terms of these leases as of September 30, 2025, are as follows (dollars in thousands):

PeriodFuture Lease Payments(1)For the remaining three months ending December 31:2025$40 For the fiscal years ending December 31:2026100 2027100 2028100 2029100 Thereafter756 Total undiscounted lease payments1,196 Less:  imputed interest(412)Present value of lease payments$784 

(1)Certain annual lease payments are set at the beginning of each year to then-current market rates (as determined by the lessor).  The amounts shown above represent estimated amounts based on the lease rates currently in place.

As a result of these ground leases, we recorded lease expense of approximately $26,000 and $79,000 during the three and nine months ended September 30, 2025, respectively, and approximately $27,000 and $79,000 during the three and nine months ended September 30, 2024, respectively.

Cash Flow Resources

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The following table summarizes total net cash flows from operating, investing, and financing activities for the nine months ended September 30, 2025 and 2024 (dollars in thousands):

 For the Nine Months Ended September 30,   20252024$ Change% ChangeNet change in cash from:Operating activities$(3,620)$17,966 $(21,586)(120.1)%Investing activities76,402 60,039 16,363 27.3 %Financing activities(79,745)(83,363)3,618 (4.3)%Net change in Cash and cash equivalents$(6,963)$(5,358)$(1,605)30.0 %

Operating Activities

The majority of cash from operating activities is generated from the rental payments we receive from our tenants, which is first used to fund our property-level operating expenses, with any excess cash being primarily used for principal and interest payments on our borrowings, management fees to our Adviser, administrative fees to our Administrator, and other corporate-level expenses.

Cash from operating activities decreased primarily due to lower cash receipts resulting from the