Transcontinental Realty Investors(US:TCI)2023-11-09 17:49Property Transactions - The company sold Toulon, a 240-unit multifamily property, for $26.8 million, resulting in a gain of $9.4 million[94]. - The company acquired seven multifamily properties from VAA with a fair value of $219.5 million on November 1, 2022[94]. - The company experienced a gain on the sale of 26.9 acres of land for $5.1 million, resulting in gains of $4.2 million[94]. Development Projects - The company completed the restoration and lease-up of Landing Bayou for a total cost of $10.4 million, primarily funded by insurance proceeds[96]. - The company entered into a development agreement for a 240-unit multifamily property in Lake Wales, Florida, with a total expected cost of approximately $55.3 million[95]. - The company incurred a total of $12.3 million in development costs for the Lake Wales project as of September 30, 2023[95]. - The company spent $5.0 million on ongoing development of Windmill Farms during 2023[97]. - The company extended the maturity of its loan on Windmill Farms until February 28, 2024, at a revised interest rate of 7.75%[94]. Financial Performance - Multifamily segment revenue increased to $7.899 billion in Q3 2023, up from $2.850 billion in Q3 2022, a variance of $5.049 billion[110]. - Commercial segment revenue decreased to $3.939 billion in Q3 2023, down from $4.720 billion in Q3 2022, a decline of $781 million[110]. - Net income for Q3 2023 was $4.762 million, a decrease of $373.814 million compared to $378.576 million in Q3 2022[110]. - Interest income increased by $4.387 million to $7.774 million in Q3 2023, driven by a $2.3 million increase in interest income and a $2.1 million decrease in interest expense[111]. - Funds From Operations (FFO) for Q3 2023 was $7.764 million, compared to a loss of $8.537 million in Q3 2022[126]. Cash Flow and Liquidity - Net cash provided by operating activities was $7.846 million for the nine months ended September 30, 2023, compared to a cash outflow of $5.394 million in the same period of 2022, a variance of $13.240 million[116]. - The company experienced a $162.9 million decrease in cash from investing activities, primarily due to a $159.3 million distribution from joint ventures in 2022[120]. - The company anticipates that cash and cash equivalents as of September 30, 2023, will be sufficient to meet all cash requirements[115]. - The principal liquidity needs include funding normal recurring expenses and meeting debt service obligations[114]. - The company plans to selectively sell land and income-producing assets to meet liquidity requirements[115].