Zoned Properties, Inc. 10-K

ITEM 2. PROPERTIES Our principal executive office is currently located at 8360 E. Raintree Drive, #230, Scottsdale, AZ 85260. On March 15, 2022, we entered to an Assumption of Lease and Consent Agreement with a landlord, whereby the landlord consented to the assignment of an office lease, as amended, from the original tenant to the Company. The lease term shall begin on March 15, 2022 and expire on November 30, 2024, provided the Company has the option to extend the lease for an additional five years. The monthly base rent is $2,932 per month through November 30, 2022, $3,005 from December 1, 2022 through November 30, 2023, and $3,078 from December 1, 2023 through November 30, 2024. We are in the business of property acquisition, development, and commercial leasing and intend to primarily structure lease agreements with prospective tenants using a triple-net lease model. The property portfolio currently includes (i) land and real property constructed in Green Valley, Arizona, (ii) land and real property in Kingman, Arizona, (iii) land and real property in Tempe Arizona, (iv) land and real property of approximately 47 acres in Chino Valley, Arizona, and (v) land and real property in Pleasant Ridge, Michigan. The properties in Tempe, Green Valley, Kingman, and Chino Valley, Arizona, and Pleasant Ridge, Michigan are currently leasing space to tenants that operate licensed cannabis facilities. On June 1, 2021, we closed on the sale of our vacant land located in Gilbert, AZ for an aggregate purchase price of $335,000. In connection with the sale, we received net proceeds of $322,332 and recorded a gain on sale of rental property of $51,944. As of December 31, 2022, each of our leased properties was generating revenue. ITEM 3. LEGAL PROCEEDINGS There are no pending or threatened legal or administrative actions pending or threatened against us that we believe would have a material effect on our business. ITEM 4. MINE SAFETY DISCLOSURES Not applicable. 24 PART II