Company: SQFTP
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001437749-25-010185
Chunk: 243

Company: Presidio Property Trust, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9
Chunk 243
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 2023, respectively, and for the three months ended  March 31, 2023,  June 30, 2023, and  March 31, 2024, respectively, reflects an adjustment to include restricted stock compensation.
    
   On the balance sheet as of  December 31, 2023, accounts payable and accrued liabilities reflects a reduction of $21,189 and additional paid-in capital reflects an increase of $21,189.  On the consolidated statements of changes in equity, the three months ended  March 31, 2023,  June 30, 2023 and  September 30, 2023 reflect the addition of restricted stock compensation of $232,106, $228,657, and $270,564, respectively, and the three months ended  March 31, 2024 includes restricted stock compensation of $317,077. The corrections did not affect Consolidated Statements of Operations or Consolidated Statements of Cash Flows in any prior periods.
    
   During the third quarter of 2024, management determined that the consolidated statements of cash flows for the nine months ended  September 30, 2023 and the year ended  December 31, 2023, overstated the amount of cash outflows for building and tenant improvements as a portion of those additions were in accounts payable at the end of each period. For the nine months ended  September 30, 2023 and the year ended  December 31, 2023, $850,918 and $295,567, respectively, should have been disclosed as a supplemental disclosure of cash flow information as unpaid building and tenant improvements. Additionally, management has determined that debt financing costs for the year ended  December 31, 2023 totaling $246,557 should be reclassified from accounts payable and accrued liabilities to payment of debt financing costs under cash flows from financing activities on the consolidated statement of cash flows. Thereby, increasing net cash provided by operating activities and reducing net cash provided by financing activities by $246,557.  The net effect of adjusting unpaid building and tenant improvements and debt financings costs amounts to a $49,010 decrease to operating cash flows for the year ended  December 31, 2023. These errors impact  the consolidated statement of cash flows and do not affect the consolidated balance sheets, consolidated statement of operations and consolidated statements of changes in equity. 
    
   As such, the Company’s consolidated statement of