PW

Power REIT is really two businesses stapled together. The good half is durable and genuinely valuable: a 112-mile railroad line leased to investment-grade Norfolk Southern (BBB+) on a 99-year lease (effective 1964, renewable indefinitely on the same terms) paying $915K/year, plus ~447 acres of solar ground lease to an 82MW farm on a triple-net lease paying ~$735K/year growing 1% annually. Together that's ~$1.65M of reliable, high-quality rent. The bad half — the cannabis-greenhouse portfolio — has imploded: the MD&A and property table show properties vacant, tenants in default, most assets impaired or held for sale, deeds-in-lieu of foreclosure handed to the Greenhouse Loan lender for the Michigan and Nebraska sites, and fire-sale dispositions (Tam 13 for $125K with seller financing, Tam 18 for $200K). The filing's own footnotes flag asset after asset as 'vacant,' 'in default,' and 'impaired.'

The numbers confirm the damage. Revenue has cratered from $8.46M in FY2021 to $2.01M in FY2025 (-34% YoY), the greenhouse rent having largely evaporated. The company remains unprofitable (net loss -$2.20M, diluted EPS -$0.83) with negative operating cash flow (-$68K), and it carries a -$51.9M accumulated deficit against just $5.14M of equity and $2.24M of cash versus $19.2M of long-term debt — leverage of 4.24x liabilities/equity. Note the reported $41M 'operating income' and 2,038% operating margin are clearly XBRL artifacts (impairment/gain-reversal mistagging) inconsistent with a $2.2M net loss; I discount them entirely. The honest read is a distressed micro-cap burning cash and plugging the gap by selling stock — 271,832 shares issued via the ATM last quarter for ~$278K net, part of an 8.3% jump in share count that dilutes existing holders.