Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Increased fuel prices impacting operating environment and costs.
• Limited operating history making future performance prediction difficult.
• Net losses in past periods and potential for future losses.
• Need to improve cash flow from operations to avoid liquidity shortfall.
• Dependence on management team; loss of key personnel could negatively impact business.
• Intense competition for parking facilities affecting rental and fee income.
• Concentration of operations with one tenant operator (SP+), creating operational risk.
• Lease risks, including loss or unfavorable renewal of leases, tenant defaults, and reduced rental income.
• Potential need for property repairs or improvements before sale, with uncertain funding.
• Requirement for scale to improve cash flow and earnings.
• Changing consumer preferences and legislation affecting parking demand.
• Material adverse effects from the COVID-19 pandemic.
• Risks associated with real estate investments, including natural disasters and economic downturns.
• Climate change risks, including extreme weather events and policy changes.

Mitigation Strategies

• Developing asset-level business plans to improve cash flow and rental income.
• Efforts to improve operational performance and generate sufficient cash flow.
• Strategies to attract and retain qualified personnel.
• Diversification of tenant operators to reduce reliance on SP+.
• Analyzing and responding to consumer preferences and market changes.
• Focusing on geographically diverse investments to mitigate economic uncertainty.
• Seeking to increase portfolio scale to offset costs of being a public reporting company.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Increased fuel prices affecting operating environment and costs.
• Limited operating history making future performance prediction difficult.
• Net losses incurred in past periods and potential for future losses.
• Need to improve cash flow from operations to avoid liquidity shortfall.
• Dependence on key management personnel.
• Risk of material failure or security breaches in technology networks and systems.
• Conflicts of interest for executive officers and directors due to affiliations with other entities.
• Inaccurate estimates of market opportunity and growth forecasts.
• Revenue significantly influenced by demand for parking facilities, making it vulnerable to decreased demand.
• Inability to attain investment strategy or increase portfolio value.
• Challenges in growing business through acquisitions of additional parking facilities.
• Intense competition in parking facility operations.
• Risks associated with lease terms and tenant performance.
• Potential need for funds to correct defects or make improvements before property sale.
• Requirement of scale to improve cash flow and earnings.
• Changing consumer preferences and legislation affecting parking demand.
• Material adverse effects from the COVID-19 pandemic.
• Risks associated with real estate investments.
• Uninsured losses or high insurance premiums.
• Material weaknesses in internal control over financial reporting.
• Inability to access financing sources on attractive terms.
• Potential inability to comply with financial covenants under the Credit Agreement.
• Adverse judgments or settlements from legal proceedings.
• Potential write-downs, write-offs, restructuring, and impairment charges.
• Insufficient funds to satisfy indemnification claims.
• Expensive shareholder litigation and regulatory inquiries.
• Potential for inaccurate pro forma financial information.
• Potential for U.S. foreign investment regulations.
• Lack of active trading market for Common Stock.
• Volatility in the market price of Common Stock.
• Senior rights of Preferred Stock and Series 2 Preferred Stock holders.
• Potential status as a "controlled company" under NYSE American rules.
• Negative market reaction to unmet guidance or expectations.
• Lack of analyst coverage or negative reports affecting stock price.
• Stockholder dilution from issuance of additional shares or Common Units.
• Potential for future offerings of debt or preferred equity securities.
• Market interest rates affecting Common Stock value.
• Structural subordination of stockholder interests to liabilities of the Operating Company.
• Potential for changes in operational, financing, and investment policies without stockholder approval.
• Ownership limitations and Charter provisions deterring change in control.
• Limited rights to take action against directors and officers.
• Potential conflicts of interest with the Operating Company or its members.
• Reduced public company reporting requirements as an emerging growth company.

Mitigation Strategies

• Entered into a Credit Agreement to refinance 2022 maturities and subsequently amended it to waive events of default, pay down debt, and modify covenants.
• Implementing strategic objectives to improve operational performance, refinance debt, and remediate REIT status.
• Working with tenants to optimize asset performance and improve cash flow.
• Reducing corporate overhead to improve profitability.
• Pursuing options for refinancing near-term debt maturities.
• Implementing proprietary technology for real-time asset monitoring and collaboration with tenants.
• Negotiating favorable lease structures with recurring base rent and upside potential.
• Implementing successful parking programs to increase NOI.
• Acquiring well-located parking facilities with multiple key demand drivers.
• Developing a pipeline of acquisition opportunities.
• Implementing cost savings measures to preserve capital if actual results differ from operating plan.
• Seeking extensions and amendments on maturing debt.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes, market shifts