Quarterly report pursuant to Section 13 or 15(d)

Property and Equipment, Net

v3.19.2
Property and Equipment, Net
 9 Months Ended
Jun. 30, 2019
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net Property and Equipment, Net

Property and equipment, net consists of the following at June 30, 2019 and September 30, 2018:

(in thousands)
June 30,
 
September 30,
 
2019
 
2018
Citrus trees
$
276,045

 
$
264,714

Equipment and other facilities
54,645

 
53,544

Buildings and improvements
8,195

 
8,052

Total depreciable properties
338,885

 
326,310

Less: accumulated depreciation and depletion
(101,204
)
 
(91,858
)
Net depreciable properties
237,681

 
234,452

Land and land improvements
105,923

 
105,951

Property and equipment, net
$
343,604

 
$
340,403



During the nine months ended June 30, 2019, the Company purchased 203 acres of citrus blocks for approximately $1,950,000. These purchases were made from grove owners from within the Company’s existing grove locations. In April 2019, the Bank agreed to accept these purchases as substitute collateral and release approximately $1,800,000 from restricted cash, which is anticipated to occur in the fourth quarter of fiscal year 2019. Subsequent to April 2019, there were two additional purchases of Citrus blocks for approximately $100,000 that are not included as part of the substitution collateral.

On September 29, 2018, the Company sold its property at Island Pond for $7,900,000. As Island Pond was collateralized under one of the Company’s loan documents, $7,000,000 of the proceeds is restricted in use.

On March 15, 2018, the Company sold certain parcels comprised of citrus trees and land located on its Ranch One grove for approximately $586,000 and recognized a loss of approximately $87,000. As part of the transaction, the revenues generated from these parcels during the 2017/2018 harvest season were allocated to the purchaser.