(10) SUBSEQUENT EVENTS

In February 2017, the Company entered into a contract to acquire an approximate 4.1% equity interest in a newly-formed entity that will own a shopping center and two free-standing single tenant commercial properties, all located in the Company's primary marketplace.  All three of these properties will be contributed to the newly-formed entity by the current owners along with mortgage debt secured by two of the properties.  The contributors will in exchange receive ownership units in the newly-formed entity having an aggregate value equal to the fair market value of the properties contributed less the value of the assigned mortgages.  The three properties in total approximate 99,500 square feet.  The Company will be the managing member of the newly-formed entity, and the Company will lease and manage these properties.  At contract signing, the aggregate occupancy rate for these properties was approximately 96.4% leased.  The Company estimates its equity investment at inception will be approximately $2.4 million.

The same February 2017 contract also provides for the Company to purchase, for $3.1 million, a free-standing 12,900 square foot commercial property located in its primary marketplace, which is leased by a Walgreen's Pharmacy.

The Company has placed a $2.0 million contract deposit on the above transactions with the contributors/sellers, which deposit is included in prepaid expenses and other assets on the Company's January 31, 2017 consolidated balance sheet.

The Company plans on closing on both investments in March 2017 and will fund the equity needed for the acquisition with available cash or borrowings on its Facility.

In March 2017, the Company completed the sale of its White Plains property to a subsidiary of Lennar Multifamily Communities for a price of $56.6 million, and the Company will record a gain on sale of properties in our second quarter ended April 30, 2017 in the approximate amount of $19.4 million, exclusive of closing costs.

On March 2, 2017, the Company repaid $23 million on its Facility with proceeds from the sale of the Company's White Plains property.