Capital Properties sees 3Q profits shrink 10%

EAST PROVIDENCE – For the three months ended Sept. 30, Capital Properties Inc. – the company that owns much of the land in Providence’s Capital Center – posted a profit of $333,000, a decline of $40,000 or 10.7 percent from the year-ago period’s $373,000. Basic income per common share fell to 10 cents from 11 cents per share in the third quarter of 2006.
General and administrative expenses rose $60,000, to $308,000, the company said, due mostly to costs of Sarbanes-Oxley compliance.
Third-quarter revenue in the petroleum-storage segment rose $68,000, or 8.6 percent, to $860,000. CPI credited the increase principally to income from its new 175,000-barrel storage tank, effective August 2006, and higher monthly rent resulting from annual cost-of-living adjustments. But storage-segment expenses outpaced revenue, rising $82,000, or 18.9 percent, to $516,000 due to higher depreciation, mostly on the new tank, and the hiring of a new employee, CPI said.
Third-quarter revenue in the company’s leasing segment rose 3.5 percent year-over-year to $676,000. CPI credited most of the gain to increases in rent on short-term leases. Segment expenses were roughly level as an increase in real estate property taxes was offset by a decline in professional fees.