Capital Properties Inc (CPTP) is a single-segment Rhode Island land lessor holding parcels in the Capital Center District of Providence under long-term triple-net ground leases, billboard leases, and short-term parking leases. At December 31, 2024, total assets are $9.05M against total liabilities of $1.31M, yielding book equity of $7.75M. Under the liquidation lens, the dominant asset is net PP&E of $6.41M (gross $7.02M, accumulated depreciation $609K), representing land parcels and a historic building on Parcel 20. Land under long-term triple-net leases attracts a recoverable haircut closer to 70-80% of book in an orderly sale given the underlying Providence real estate, though the thin market for encumbered ground-leased parcels introduces execution risk. Cash and investments total $2.14M ($850K cash + $1.29M in T-bills tagged as Investments), which recover at or near par. Prepaid and other assets of $390K (including the $128K Metropark deferred rent settlement receivable) are applied at 90-95%. Total adjusted liquidation-value asset pool is roughly $7.5-8.0M before liabilities. On the liability side, $1.31M of liabilities carry face value: $391K OtherLiabilities (including $173K Sprague judgment accrual paid January 2025 and $173K litigation contingency at year-end), $343K environmental remediation accrual for the former petroleum terminal, $284K net deferred tax liability, and $287K accrued property taxes. No funded debt is outstanding; the $2M BankRI revolving line has zero draws. Estimated net liquidation recovery to equity is approximately $6.2-6.7M against book equity of $7.75M, reflecting standard haircuts on the real property asset base. The primary balance-sheet risk is the environmental remediation liability ($343K at year-end, down from $402K at December 31, 2023 after $59K of 2024 spend), which remains open-ended pending RIDEM plume-stability review. The Sprague litigation was resolved with a $173K judgment paid January 29, 2025, eliminating that contingency post-balance-sheet. No debt, no pension, no ASC 842 lessee ROU obligations; the company carries no operating lease right-of-use liabilities as it is the lessor. The filing discloses $96.1M excess of straight-line over contractual rentals as informational only, not recognized as revenue or as an asset, consistent with prior periods. This unrecognized amount does not appear in XBRL tagging as an asset and is correctly excluded from recovery analysis. Since the prior 10-Q (September 30, 2024), the principal changes are: Sprague litigation resolved and paid post-close, environmental accrual declined $22K, cash increased by $198K net, and T-bill portfolio rolled. No structural change in the liability stack.
▼ Community Notes