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Medalist Diversified REIT, Inc. Reports First Quarter 2023 Financial Results
RICHMOND, Va.--(BUSINESS WIRE)-- Medalist Diversified REIT, Inc. (NASDAQ:MDRR) (the “Company”), a Virginia-based real estate investment trust that
About this update from Medalist Diversified, Inc.
[{"type":"text","content":" RICHMOND, Va.--(BUSINESS WIRE)--\nMedalist Diversified REIT, Inc. (NASDAQ:MDRR) (the “Company”), a Virginia-based real estate investment trust that specializes in acquiring, owning and managing commercial real estate in the Southeast region of the U.S., today reported financial results for the three months ended March 31, 2023. In addition, the Company released supplemental financial information about its first quarter 2023 financial results.\n\n\nKey Highlights:\n\n\n\nTotal revenues decreased by 15% to $2,460,976, down from $2,903,964 for the same quarter in 2022.\n\n\nExcluding Q1 2022 revenues from the Company’s Clemson Best Western Hotel, which it sold on September 29, 2022, revenues increased by 15%, which includes the impact of the Company’s acquisition of the Salisbury Marketplace Property on June 13, 2022.\n\n\n\n\n\n\nOperating loss was $340,716, an increased loss of $106,318 over the same quarter in 2022.\n\n\nExcluding Q1 2022 revenues and expenses from the Company’s Clemson Best Western Hotel, the 2023 operating loss represented a $286,311 improvement over the same quarter in 2022.\n\n\n\n\n\n\nNet operating income (“NOI”) decreased by 12% to $1,663,484, down from $1,880,781 for the prior year quarter.\n\n\nSame property NOI increased by 1.4% to $1,508,255, up from $1,488,152 from the same quarter in 2022.\n\n\n\nSame retail property NOI increased by 8.6% to $1,156,090, up from $1,064,536 from the same quarter in 2022, driven by a 29.4% increase in the Franklin Square Property’s NOI, which increased by $90,618, from $407,839 to $398,457.\n\n\n\n\n\n\nFunds from operations (FFO) was ($40,715), down from $387,155 in the prior year quarter.\n\n\nReduced net income resulting from the sale of the Clemson Best Western Hotel and $206,627 in legal expenses related to the pursuit of strategic alternatives, as previously announced, contributed to the decline in FFO.\n\n\n\n\n\n\nAdjusted funds from operations (AFFO) was ($657,538), down from $217,023 in the prior year quarter.\n\n\nIncreased capital expenditures of $467,902 related to tenant improvements and leasing commissions from the Company’s robust leasing activity contributed to this decline.\n\n\n\n\n\n\nAverage occupancy rate for the Company’s eight retail and flex properties increased to 96.7% as of March 31, 2023, compared to 94.0% as of March 31, 2022.\n\n\n\n“Due...