American Strategic Investment Co. SEC 10-Q Report

American Strategic Investment Co., a company primarily focused on managing office properties in Manhattan, has released its Form 10-Q report for the third quarter. The report provides a detailed overview of the company's financial performance and operational challenges amid a difficult market environment influenced by the COVID-19 pandemic. Financial Highlights Revenue from tenants: $36.8 million, reflecting a decrease compared to the previous year due to lower rental rates and occupancy challenges.Operating loss before gain on disposition of real estate investments: $(39.6) million, indicating continued operational challenges prior to asset sales.Net income (loss) and Net income (loss) attributable to common stockholders: $(14.5) million, showing improvement from the previous year's loss due to gains on asset sales.Net income (loss) per share attributable to common stockholders — Basic: $(5.70), reflecting the overall net loss for the period.Net income (loss) per share attributable to common stockholders — Diluted: $(5.70), consistent with the basic earnings per share. Business Highlights Geographical Performance: The company's portfolio consists primarily of office properties located in Manhattan, which have been adversely impacted by shifts in market demand following the COVID-19 pandemic. The New York City office market continues to face challenges as leasing and occupancy trends have slowed, affecting the company's revenue streams.Operational Challenges: The company has faced significant liquidity constraints due to sustained declines in rental income, constrained cash flow from operations, and ongoing debt service obligations. These challenges are compounded by the impact of the COVID-19 pandemic on the commercial real estate market.Property Management: The company owns six properties consisting of 0.7 million rentable square feet, excluding one property in a consensual foreclosure process. The management of these properties is conducted through the company's advisor and property manager, both under common control with AR Global Investments, LLC.Future Outlook: Management has developed a plan to alleviate substantial doubt about the company's ability to continue as a going concern. This includes paying related party fees in shares, selling one of the company's performing assets within the next twelve months, and the advisor's willingness to lend funds if necessary.Tenant and Lease Management: The company has successfully executed lease transactions to mitigate vacancy risk, although new leases have been executed at market rental rates below prior contractual rates, resulting in decreased revenue compared to historical levels.Impairment Charges: The company recorded significant impairment charges on several properties, including 1140 Avenue of the Americas, 400 E. 67th Street/200 Riverside, and 196 Orchard Street, to reduce their carrying values to estimated fair values.Property Disposition: During the reporting period, the company lost its economic interest and control over the 1140 Avenue of the Americas property due to a consensual foreclosure process, resulting in the removal of related assets and liabilities from the balance sheet.Lease and Revenue Recognition: The company continues to recognize revenue from lease contracts on a straight-line basis over the initial term of the lease, with a weighted-average remaining lease term of 6.2 years as of September 30, 2025.SEC Filing: American Strategic Investment Co. [ NYC ] - 10-Q - Nov. 19, 2025