Zoned Properties, Inc. Files Quarterly Report (10-Q) for Period Ending March 31, 2024

TL;DR

<b>Zoned Properties, Inc. has filed its quarterly report for Q1 2024, confirming its compliance with SEC filing requirements.</b>

AI Summary

Zoned Properties, Inc. (ZDPY) filed a Quarterly Report (10-Q) with the SEC on May 14, 2024. Zoned Properties, Inc. filed a Form 10-Q for the quarterly period ended March 31, 2024. The company is incorporated in Nevada and its fiscal year ends on December 31. Its principal executive offices are located at 8360 E. Raintree Drive, Suite #230, Scottsdale, AZ 85260. Zoned Properties, Inc. has been subject to Section 13 or 15(d) filing requirements for the past 90 days. The company has submitted electronically every Interactive Data File required for the preceding 12 months.

Why It Matters

For investors and stakeholders tracking Zoned Properties, Inc., this filing contains several important signals. This filing provides an update on the company's financial and operational status for the first quarter of 2024, which is crucial for investors to assess performance and make informed decisions. As a smaller reporting company, this 10-Q filing is a key document for understanding Zoned Properties' current business activities and regulatory adherence.

Risk Assessment

Risk Level: low — Zoned Properties, Inc. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain significant new financial data or strategic shifts, indicating a low level of immediate risk from this specific filing.

Analyst Insight

Review the full 10-Q filing for detailed financial statements and management discussion to understand Zoned Properties' performance and outlook.

Key Numbers

• 2024-03-31 — Quarterly Period End Date (The report covers the period ending on this date.)
• 2024-05-14 — Filing Date (The date the 10-Q was filed with the SEC.)
• 000-51640 — SEC File Number (The company's SEC file number.)
• NV — State of Incorporation (Zoned Properties, Inc. is incorporated in Nevada.)
• 1231 — Fiscal Year End (The company's fiscal year ends on December 31.)

Key Players & Entities

• Zoned Properties, Inc. (company) — Registrant name
• March 31, 2024 (date) — Quarterly period end date
• 8360 E. Raintree Drive, Suite #230 (address) — Principal executive offices
• Scottsdale, AZ 85260 (address) — Principal executive offices location
• Nevada (jurisdiction) — State of incorporation
• 1231 (date) — Fiscal year end
• 000-51640 (filing_id) — SEC file number
• 20240514 (date) — Filing date

FAQ

Industry Context

Zoned Properties, Inc. operates in the real estate sector, specifically as operators of nonresidential buildings.

Regulatory Implications

The company is required to file quarterly reports (Form 10-Q) under Section 13 or 15(d) of the Securities Exchange Act of 1934, and has submitted all required Interactive Data Files.

What Investors Should Do

1. Analyze the detailed financial statements within the 10-Q for revenue, expenses, and cash flow.
2. Review the Management's Discussion and Analysis section for insights into operational performance and future outlook.
3. Check for any new risk factors or legal proceedings disclosed in the filing.

Key Dates

• 2024-03-31: Quarterly Period End — Marks the end of the reporting period for the 10-Q filing.
• 2024-05-14: Filing Date — The date the Form 10-Q was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial 10-Q filing for the 2024 fiscal year, providing the first set of quarterly financial data for the year.

Key Financial Figures

• $0.001 — ,548 shares of common stock, par value $0.001 per share, issued and outstanding. ZON

Filing Documents

• ea0205466-10q_zoned.htm (10-Q) — 844KB
• ea020546601ex31-1_zonedprop.htm (EX-31.1) — 11KB
• ea020546601ex31-2_zonedprop.htm (EX-31.2) — 11KB
• ea020546601ex32-1_zonedprop.htm (EX-32.1) — 4KB
• image_001.jpg (GRAPHIC) — 2KB
• 0001213900-24-042570.txt (&nbsp;) — 6225KB
• zdpy-20240331.xsd (EX-101.SCH) — 71KB
• zdpy-20240331_cal.xml (EX-101.CAL) — 49KB
• zdpy-20240331_def.xml (EX-101.DEF) — 309KB
• zdpy-20240331_lab.xml (EX-101.LAB) — 598KB
• zdpy-20240331_pre.xml (EX-101.PRE) — 316KB
• ea0205466-10q_zoned_htm.xml (XML) — 665KB

Financial Information

Part I. Financial Information

Financial Statements

Item 1. Financial Statements 1 Consolidated Balance Sheets – March 31, 2024 (unaudited) and December 31, 2023 1 Consolidated Statements of Operations – Three Months Ended March 31, 2024 and 2023 (unaudited) 2 Consolidated Statements of Changes in Stockholders' Equity – Three Months Ended March 31, 2024 and 2023 (unaudited) 3 Consolidated Statements of Cash Flows – Three Months Ended March 31, 2024 and 2023 (unaudited) 4 Notes to Unaudited Consolidated Financial Statements 5 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 31 Item 3. Quantitative and Qualitative Disclosures about Market Risk 40 Item 4. Controls and Procedures 40 Part II. Other Information 41 Item 1. Legal Proceedings 41 Item 1A. Risk Factors 41 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 41 Item 3. Defaults Upon Senior Securities 41 Item 4. Mine Safety Disclosures 41 Item 5. Other Information 41 Item 6. Exhibits 41

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements ZONED PROPERTIES, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS March 31, December 31, 2024 2023 (Unaudited) ASSETS Cash $ 1,519,903 $ 3,099,795 Accounts receivable 179,480 136,572 Deferred rent 459,520 371,472 Lease incentive receivable 442,661 449,541 Rental properties, net 11,538,316 10,040,524 Prepaid expenses and other assets 29,930 27,476 Escrow deposits 278,716 177,048 Capitalized permit costs 94,306 38,016 Property and equipment, net 12,619 7,699 Operating lease right of use asset, net 23,606 32,213 Investment in unconsolidated joint ventures 4,923 4,923 Investment in equity securities 50,000 50,000 Interest rate swap asset 2,724 - Security deposits 2,272 2,272 Total Assets $ 14,638,976 $ 14,437,551 LIABILITIES AND STOCKHOLDERS' EQUITY LIABILITIES: Convertible note payable $ 2,000,000 $ 2,000,000 Notes payable, net 6,094,523 6,111,702 Accounts payable 174,972 116,947 Accrued expenses 304,876 176,837 Lease liability 24,081 32,867 Contract liabilities 369,684 346,176 Derivative liability - interest rate swap, at fair value - 122,879 Security deposits payable 318,190 290,460 Total Liabilities 9,286,326 9,197,868 Commitments and Contingencies (Note 11) STOCKHOLDERS' EQUITY: Preferred stock, $ 0.001 par value, 5,000,000 shares authorized; 2,000,000 shares issued and outstanding on March 31, 2024 and December 31, 2023 ($ 1.00 per share liquidation preference or $ 2,000,000 ) 2,000 2,000 Common stock: $ 0.001 par value, 100,000,000 shares authorized; 12,201,548 shares issued on March 31, 2024 and December 31, 2023, and 12,101,548 shares outstanding on March 31, 2024 and December 31, 2023, respectively 12,202 12,202 Additional paid-in capital 21,470,455 21,453,961 Treasury stock, at cost ( 100,000 shares on March 31, 2024 and December 31, 2023, respectively) ( 15,000 ) ( 15,000 ) Accumulated deficit

financial statements

financial statements. 3 ZONED PROPERTIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) For the Three Months Ended March 31, 2024 2023 CASH FLOWS FROM OPERATING ACTIVITIES: Net income (loss) $ 96,473 $ ( 309,648 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation expense 89,647 97,582 Amortization of debt discount 4,615 4,615 Stock option expense 16,494 43,262 Loss on forfeited escrow deposit 21,600 15,000 Lease costs ( 179 ) 42 Loss from unconsolidated joint ventures - 1,469 (Income) loss from interest rate swap ( 125,603 ) 130,293 Change in operating assets and liabilities: Accounts receivable ( 42,908 ) 20,500 Deferred rent receivable ( 88,048 ) ( 102,327 ) Lease incentive receivable 6,880 6,881 Prepaid expenses and other assets ( 2,454 ) 7,502 Security deposit - - Accounts payable 58,025 11,880 Accrued expenses 128,038 ( 29,262 ) Contract liabilities 23,508 49,700 Security deposits payable 27,730 56,100 NET CASH PROVIDED BY OPERATING ACTIVITIES 213,818 3,589 CASH FLOWS FROM INVESTING ACTIVITIES: Lease incentive provided to tenant - - Purchases of rental properties and improvements ( 1,585,878 ) ( 992,214 ) Purchases of property and equipment ( 6,480 ) - Proceeds from sale of property and equipment - - Increase in capitalized permit costs ( 56,290 ) ( 6,242 ) Increase in escrow deposits ( 123,268 ) ( 73,000 ) NET CASH USED IN INVESTING ACTIVITIES ( 1,771,916 ) ( 1,071,456 ) CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of notes payable ( 21,794 ) ( 20,258 ) NET CASH USED IN FINANCING ACTIVITIES ( 21,794 ) ( 20,258 ) NET DECREASE IN CASH ( 1,579,892 ) ( 1,088,125 ) CASH, beginning of period 3,099,795 4,335,840 CASH, end of period $ 1,519,903 $ 3,247,715 SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION Interest paid $ 154,766 $ 172,253 NON-CA

financial statements

financial statements. 4 ZONED PROPERTIES, INC. AND SUBSIDIARIES NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS MARCH 31, 2024 (Unaudited) NOTE 1 – ORGANIZATION AND NATURE OF OPERATIONS Zoned Properties, Inc. ("Zoned Properties" or the "Company") was incorporated in the State of Nevada on August 25, 2003 . In October 2013, the Company changed its name to Zoned Properties, Inc. and in April 2014, the Company shifted its business model to address commercial real estate in the regulated cannabis industry. Zoned Properties is a technology-driven property investment company focused on acquiring value-add real estate within the regulated cannabis industry in the United States. The Company aspires to innovate within the real estate development sector, focusing on direct-to-consumer real estate that is leased to the best-in-class cannabis retailers. Headquartered in Scottsdale, Arizona, Zoned Properties is redefining the approach to commercial real estate investment through its standardized investment model backed by its proprietary property technology. Zoned Properties has developed a national ecosystem of real estate services to support its real estate development model, including a commercial real estate brokerage and a real estate advisory practice. The Company operates in two organized segments; (1) the operations, leasing and management of its commercial properties, herein known as the "Property Investment Portfolio" segment, and (2) the advisory, brokerage and technology services related to commercial properties, herein known as the "Real Estate Services" segment. The Company targets commercial properties that face unique zoning or development challenges, identifies solutions that can potentially have a major impact on their commercial value, and then works to acquire the properties while securing long-term, absolute-net leases. The Company does not grow, harvest, sell or distribute cannabis or any substances regulated under United States law such as th

View Full Filing

View this 10-Q filing on SEC EDGAR