Net Income
Net income attributable to the Company totaled $0.2 million and $7.8 million during the three months ended March 31, 2022 and 2021, respectively. The decrease in net income is attributable to the factors described above.
LIQUIDITY AND CAPITAL RESOURCES
Cash and cash equivalents totaled $9.5 million at March 31, 2022, while restricted cash totaled $26.4 million, see Note 2, “Summary of Significant Accounting Policies” under the heading Restricted Cash for the Company’s disclosure related to its restricted cash balance at March 31, 2022.
Our cash flows provided by operating activities totaled $11.4 million during the three months ended March 31, 2022, compared to cash flows provided by operating activities totaling $6.3 million for the three months ended March 31, 2021, an increase of $5.1 million. The increase of $5.1 million is primarily related to the increase in the cash flows provided by income properties of $2.6 million, which was primarily the result of timing related to the reinvestment of cash generated from the sale of recently disposed assets. The change in operating cash is further impacted by various other timing differences within other assets and accounts payable.
Our cash flows used in investing activities totaled less than $0.02 million for the three months ended March 31, 2022, compared to cash flows used in investing activities of $34.4 million for the three months ended March 31, 2021, a decrease in cash outflows of $34.4 million. The decrease in cash used in investing activities is primarily related to a net increase in cash inflows of $17.3 million during the three months ended March 31, 2022 related to the timing of income property acquisitions quarter over quarter, in addition to an increase in cash inflows of $17.2 million related to proceeds received from the disposition of the Carpenter Hotel ground lease located in Austin, Texas, which income property was classified as a commercial loan and master lease investment due to future tenant repurchase rights.
Our cash flows used in financing activities totaled $6.9 million for the three months ended March 31, 2022, compared to cash flows used in financing activities of $0.4 million for the three months ended March 31, 2021, an increase in cash outflows of $6.5 million. The increase of $6.5 million is primarily related to the net impact of $7.8 million increased cash outflows related to the Company’s net repayments on long-term debt of $1.0 million during the three months ended March 31, 2022, as compared to net draws on long-term debt of $6.8 million during the comparable prior year period, in addition to increased cash outflows of $1.2 million related to dividends paid during the three months ended March 31, 2022. The increases in cash outflows were partially offset by $2.8 million of net proceeds received from the sale of 43,793 shares of the Company’s common stock under the ATM Program during the three months ended March 31, 2022.
Long-Term Debt. As of March 31, 2022, the Company had $144.0 million undrawn commitment under the Credit Facility. See Note 16, “Long-Term Debt” for the Company’s disclosure related to its long-term debt balance at March 31, 2022.
Acquisitions and Investments. As noted previously, the Company acquired one multi-tenant income property during the three months ended March 31, 2022 for a purchase price of $39.1 million, as further described in Note 3, “Income Properties”.
The Company’s guidance for 2022 investments in income-producing properties totals between $200.0 million and $250.0 million. We expect to fund future acquisitions utilizing cash on hand, cash from operations, proceeds from the dispositions of income properties through 1031 like-kind exchanges, and potentially the sale of all or a portion of our Subsurface Interests, and borrowings on our Credit Facility, if available. We expect dispositions of income properties and subsurface interests will qualify under the like-kind exchange deferred-tax structure, and additional financing sources.
Dispositions. During the three months ended March 31, 2022, the Company sold two single-tenant income properties for a total disposition volume of $24.0 million, one of which was classified as a commercial loan and master lease investment due to two tenant repurchase options, as further described in Note 3, “Income Properties”.
ATM Program. During the three months ended March 31, 2022, the Company sold 43,793 shares under the ATM Program for gross proceeds of $2.9 million at a weighted average price of $65.47 per share, generating net proceeds of $2.8 million after deducting transaction fees totaling less than $0.1 million.