U.S. SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 10-Q

x		Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934
⌧		Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934
		For the quarterly period ended June 30, 2018
		For the quarterly period ended December 31, 2018
o		Transition Report Pursuant to 13 or 15(d) of the Securities Exchange Act of 1934
☐		Transition Report Pursuant to 13 or 15(d) of the Securities Exchange Act of 1934
		For the transition period of to

Commission File Number 0-7865.

SECURITY LAND AND DEVELOPMENT CORPORATION

(Exact name of issuer as specified in its charter)

Georgia

58-1088232

(State or other Jurisdiction of

Incorporation or Organization)

(I.R.S. Employer

Identification Number)

2816 Washington Road, #103, Augusta, Georgia 30909

(Address of Principal Executive Offices)

Issuers Telephone Number (706) 736-6334

(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Year)

Check whether the Issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES x⌧ NO o☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. ~~See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in rule 12b-2 of the Exchange Act.~~

~~Large~~ See the ~~accelerated~~definitions ~~filer~~of o"large ~~Accelerated~~accelerated filer," ~~o Non-~~"accelerated filer" oand ~~(Do not check if a~~ "smaller reporting company)" ~~Smaller~~in ~~reporting~~rule ~~company~~12b-2 xof the Exchange Act.

~~Indicate~~Large byaccelerated ~~check~~filer ~~mark~~☐ ~~whether~~Accelerated ~~the~~filer ~~registrant~~☐ ~~has submitted~~Non-accelerated ~~electronically~~filer ~~and~~☐ ~~posted~~(Do onnot ~~its~~check ~~corporate Website,~~ if ~~any,~~a ~~every Interactive~~smaller ~~Data~~reporting ~~File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter~~company) ~~during~~Smaller ~~the~~reporting ~~preceding~~company ~~12 months (or for such shorter period that the registrant was required to submit and post such files). YES x NO o~~⌧

Indicate by check mark whether the registrant ishas submitted aelectronically ~~shell~~and ~~company~~posted ~~(as~~on ~~defined~~its incorporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 ~~12b~~of Regulation S-2T (§232.405 of this chapter) during the ~~Exchange~~preceding ~~Act~~12 months (or for such shorter period that the registrant was required to submit and post such files). ~~oYes~~ YES ~~xNo~~ ⌧ NO ☐

~~State~~Indicate ~~the~~by ~~number~~check ofmark ~~shares~~whether ~~outstanding~~the ofregistrant ~~each~~is ofa ~~the~~shell ~~issuer’s~~company ~~classes~~(as ofdefined ~~common~~in Rule ~~equity,~~12b-2 as of the ~~latest~~Exchange ~~practicable date~~Act). ☐ Yes ⌧ No

Class		Outstanding at August 9, 2018
Common Stock, $0.10 Par Value		3,766,290 shares

State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date.

Class		Outstanding at February 11, 2019
Common Stock, $0.10 Par Value		3,766,290 shares

Table of Contents

SECURITY LAND AND DEVELOPMENT CORPORATION

Form 10-Q

Index

Part I	FINANCIAL INFORMATION
Item 1.	Financial Statements
	Consolidated Balance Sheets as of June 30, 2018 and September 30, 2017	1
	Consolidated Balance Sheets as of December 31, 2018 and September 30, 2018	1
	Consolidated Statements of Income for the Three Month Periods ended and for the Nine Month Periods ended June 30, 2018 and 2017	2
	Consolidated Statements of Income for the Three Month Periods ended December 31, 2018 and 2017	2
	Condensed Consolidated Statements of Changes in Stockholders’ Equity for the Nine Month Period ended June 30, 2018 and the Year Ended September 30, 2017.	3
	Condensed Consolidated Statements of Changes in Stockholders' Equity for the Three Month Period ended December 31, 2018 and 2017	3
	Condensed Consolidated Statements of Cash Flows for the Three Month Periods ended and for the Nine Month Periods ended June 30, 2018 and 2017	4
	Condensed Consolidated Statements of Cash Flows for the Three Month Periods ended December 31, 2018 and 2017	4
	Notes to the Consolidated Financial Statements	5-1112
Item 2.	Management’'s Discussion and Analysis of Financial Condition and Results of Operations	~~12-~~13-14
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	1314
Item 4.	Controls and Procedures	1314
Part II	OTHER INFORMATION	1415
Item 1.	Legal Proceedings	1415
Item 1A.	Risk Factors	1415
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	1415
Item 3.	Defaults Upon Senior Securities	1415
Item 4.	Reserved for Future Use	1415
Item 5.	Other Information	1415
Item 6.	Exhibits	1415
	SIGNATURES	1516

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

Item 1. Financial Statements
SECURITY LAND AND DEVELOPMENT CORPORATION
CONSOLIDATED BALANCE SHEETS

		December 31,		September 30,
		2018		2018
		(unaudited)		(audited)
ASSETS
CURRENT ASSETS
Cash	$	3,030,268	$	493,446
Receivables from tenants, net of allowance of $73,927 and $71,967
at December 31, 2018 and September 30, 2018, respectively		261,403		412,008
Prepaid property taxes		-		27,555

Total current assets		3,291,671		933,009

INVESTMENT PROPERTIES
Investment properties for lease, net of accumulated depreciation		19,226,807		6,554,718
Land and improvements held for investment or development		3,478,868		3,804,728

		22,705,675		10,359,446

OTHER ASSETS		-		12,716

	$	25,997,346	$	11,305,171

LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses	$	244,554	$	234,381
Income taxes payable		1,587,250		75,630
Current maturities of notes payable		134,987		407,554

Total current liabilities		1,966,791		717,565

LONG-TERM LIABILITIES
Notes payable, less current portion and deferred financing cost		1,260,692		3,928,690
Deferred income taxes		4,071,161		1,006,252

Total long-term liabilities		5,331,853		4,934,942

Total liabilities		7,298,644		5,652,507

STOCKHOLDERS' EQUITY
Common stock, par value $.10 per share; 30,000,000 shares authorized;
3,766,290 shares issued and outstanding		376,629		376,629
Retained earnings		18,322,073		5,276,035

Total Stockholders' Equity		18,698,702		5,652,664

Liabilities and Stockholders' Equity	$	25,997,346	$	11,305,171

The accompanying notes are an integral part of these consolidated financial statements.
- 1 -

SECURITY LAND AND DEVELOPMENT CORPORATION
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED STATEMENTS OF INCOME AND RETAINED EARNINGS
	June 30,		September 30,
	For the Three Months
	2018		2017
	Ended December 31,
	(unaudited)		(audited)
		2018			2017
ASSETS
		(unaudited)			(unaudited)
CURRENT ASSETS
OPERATING REVENUE
Cash	$ 462,453		$ 254,522
Rent Revenue	$	393,886		$	417,717
Receivables from tenants, net of allowance of $63,081 and $71,967
OPERATING EXPENSES
at June 30, 2018 and September 30, 2017, respectively	361,718		365,589
Depreciation and amortization		78,987			48,333
Prepaid property taxes	-		29,768
Property taxes		58,281			70,024
Total current assets	824,171		649,879
Payroll and related costs		828,296			23,529
INVESTMENT PROPERTIES
Insurance and utilities		(4,120)			6,366
Investment properties for lease, net of accumulated depreciation	6,601,785		6,742,993
Repairs and maintenance		8,552			7,151
Land and improvements held for investment or development	3,804,728		3,804,728
Professional services		78,643			21,740
	10,406,513		10,547,721
Bad debt expense		1,949			-
OTHER ASSETS	13,981		17,774
Other		41,909			1,008
	$ 11,244,665		$ 11,215,374
		1,092,497			178,151
LIABILITIES AND STOCKHOLDERS’ EQUITY
Operating (loss) income		(698,611)			239,566
CURRENT LIABILITIES
OTHER INCOME (EXPENSE)
Accounts payable and accrued expenses	$ 240,821		$ 223,482
Gain on sale		18,367,269			-
Income taxes payable	13,333		19,917
Interest		(46,090)			(70,159)
Current maturities of notes payable	402,632		388,322
		18,321,179			(70,159)
Total current liabilities	656,786		631,721
Income before income taxes		17,622,568			169,407
LONG-TERM LIABILITIES
INCOME TAXES PROVISION (BENEFIT)
Notes payable, less current portion and deferred financing costs	4,030,675		4,330,863
Income tax expense		1,511,620			54,207
Deferred income taxes	900,915		1,367,556
Income tax deferred expense (benefit)		3,064,910			(450,422)
Total long-term liabilities	4,931,590		5,698,419
		4,576,530			(396,215)
Total liabilities	5,588,376		6,330,140
Net income	$	13,046,038		$	565,622
STOCKHOLDERS' EQUITY
PER SHARE DATA
Common stock, par value $.10 per share; 30,000,000 shares authorized;
Net income per common share	$	3.46		$	0.15
3,766,290 shares issued and outstanding at June 30, 2018 and
Weighted Average Shares Outstanding		3,766,290			3,793,150
3,797,137 shares issued and outstanding at September 30, 2017	376,629		379,719
The accompanying notes are an integral part of these consolidated financial statements.
Retained earnings	5,279,660		4,505,515
- 2 -
Total Stockholders' Equity	5,656,289		4,885,234
Liabilities and Stockholders' Equity	$ 11,244,665		$ 11,215,374
The accompanying notes are an integral part of these consolidated financial statements.
-1-

SECURITY LAND AND DEVELOPMENT CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
	For the Three Months				For the Nine Months
							Total
	Ended June 30,				Ended June 30,
		Common			Retained		Stockholders'
	2018		2017		2018	2017
		Stock			Earnings		Equity
	(unaudited)		(unaudited)		(unaudited)	(unaudited)
Balance, September 30, 2017	$	379,719		$	4,505,515	$	4,885,234
OPERATING REVENUES
Net Income		-			565,622		565,622
Rent revenues	$ 418,894		$ 456,959		$ 1,321,191	$ 1,303,049
Purchase and retirement of common stock		(2,455)			(40,425)		(42,880)
OPERATING EXPENSES
Balance, December 31, 2017 (unaudited)	$	377,264		$	5,030,712	$	5,407,976
Depreciation and amortization	48,333		49,476		145,000	148,179
Balance, September 30, 2018	$	376,629		$	5,276,035	$	5,652,664
Property taxes	70,024		67,593		210,071	202,780
Net Income		-			13,046,038		13,046,038
Payroll and related costs	23,113		30,537		114,286	83,378
Balance, December 31, 2018 (unaudited)	$	376,629		$	18,322,073	$	18,698,702
Insurance and utilities	24,897		27,804		42,921	49,451
The accompanying notes are an integral part of these consolidated financial statements.
Repairs and maintenance	14,287		67,823		32,994	108,048
- 3 -
Professional services	15,535		67,211		65,802	152,703
Other	(8,626)		25,610		(3,337)	48,182
	187,563		336,054		607,737	792,721
Operating income	231,331		120,905		713,454	510,328
OTHER EXPENSE
Interest	(56,614)		(43,082)		(172,279)	(116,546)
	(56,614)		(43,082)		(172,279)	(116,546)
Income before income taxes	174,717		77,823		541,175	393,782
INCOME TAXES PROVISION (BENEFIT)
Income tax expense	54,640		52,641		178,460	191,017
Income tax deferred benefit	(8,241)		(11,582)		(462,328)	(29,609)
	46,399		41,059		(283,868)	161,408
Net income	$ 128,318		$ 36,764		$ 825,043	$ 232,374
PER SHARE DATA
Net income per common share	$ 0.03		$ 0.01		$ 0.22	$ 0.06
The accompanying notes are an integral part of these consolidated financial statements.
-2-

SECURITY LAND AND DEVELOPMENT CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
CONSOLIDATED STATEMENTS OF CASH FLOWS
			Additional			Total
	For the Three Months
	Common		Paid-in		Retained	Stockholders'
	Ended December 31,
	Stock		Capital		Earnings	Equity
		2018			2017
Balance, September 30, 2016 (audited)	$ 524,311		$ 333,216		$ 6,226,363	$ 7,083,890
		(unaudited)			(unaudited)
Net income	-		-		331,817	331,817
OPERATING ACTIVITIES
Purchase and retirement of common stock	(144,592)		(333,216)		(2,052,665)	(2,530,473)
Net income	$	13,046,038		$	565,622
Balance, September 30, 2017 (audited)	379,719		-		4,505,515	4,885,234
Adjustments to reconcile net income to net cash provided by
Net income	-		-		825,043	825,043
operating activities:
Purchase and retirement of common stock	(3,090)		-		(50,898)	(53,988)
Gain on sale		(18,367,269)
Balance, June 30, 2018 (unaudited)	$ 376,629		$ -		$ 5,279,660	$ 5,656,289
Bad debts		1,949			-
The accompanying notes are an integral part of these consolidated financial statements.
Deferred financing costs		(16,146)
-3-
Depreciation and amortization		77,654			48,333
Interest on deferred financing costs		1,333			1,333
Deferred income tax		3,064,909			(450,422)
Changes in deferred and accrued amounts		1,698,004			38,826
Net cash provided by operating activities		(493,528)			203,692
INVESTING ACTIVITIES
Additions to investment properties and other assets for
properties held for lease		(15,044,916)			-
Proceeds from sale of investment properties and other assets
held for lease		21,017,164			-
Net cash used in investing activities		5,972,248			-
FINANCING ACTIVITIES
Purchase and retirement of common stock		-			(42,880)
Principal payments on notes payable		(2,941,898)			(116,944)
Net cash used in financing activities		(2,941,898)			(159,824)
Net increase in cash		2,536,822			43,868
CASH, BEGINNING OF PERIOD		493,446			254,522
CASH, END OF PERIOD	$	3,030,268		$	298,390
SUPPLEMENTAL CASH FLOW INFORMATION:
	$	48,954		$	68,943
Cash paid for interest
	$	-		$	-
Cash paid for income taxes
The accompanying notes are an integral part of these consolidated financial statements.
- 4 -

SECURITY LAND AND DEVELOPMENT CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
	For the Three Months		For the Nine Months
	Ended June 30,		Ended June 30,
	2018	2017	2018	2017
	(unaudited)	(unaudited)	(unaudited)	(unaudited)
OPERATING ACTIVITIES
Net income	$ 128,318	$ 36,764	$ 825,043	$ 232,374
Adjustments to reconcile net income to net cash provided by
operating activities:
Bad debts	8,060	(18,450)	8,886	(19,953)
Depreciation and amortization	48,333	48,309	145,000	144,678
Interest on deferred financing costs	1,333	1,167	3,999	3,501
Deferred income taxes	(12,554)	(11,582)	(466,641)	(29,609)
Changes in deferred and accrued amounts	61,059	(6,532)	35,509	135,971
Net cash provided by operating activities	234,549	49,676	551,796	466,962
INVESTING ACTIVITIES
Additions to investment properties and other assets for
improvements to properties held for lease	-	(23,813)	-	(23,813)
Net cash used in investing activities	-	(23,813)	-	(23,813)
FINANCING ACTIVITIES
Purchase and retirement of common stock	-	(2,215,387)	(53,988)	(2,215,387)
Proceeds from line of credit	-	2,500,000	-	2,500,000
Principal payments on notes payable	(97,391)	(62,980)	(289,877)	(186,665)
Net cash (used in) provided by financing activities	(97,391)	221,633	(343,865)	97,948
Net increase in cash	137,158	247,496	207,931	541,097
CASH, BEGINNING OF PERIOD	325,295	794,261	254,522	500,660
CASH, END OF PERIOD	$ 462,453	$ 1,041,757	$ 462,453	$ 1,041,757
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	$ 55,447	$ 39,038	$ 168,634	$ 116,546
Cash paid for income taxes	$ 54,000	$ 100,000	$ 175,510	$ 143,531
The accompanying notes are an integral part of these consolidated financial statements.
-4-

SECURITY LAND AND DEVELOPMENT CORPORATION

Notes to the Consolidated Financial Statements

Note 1 –- Basis of Presentation

The accompanying unaudited consolidated financial statements were prepared in accordance with instructions for Form 10-Q, Article 8 of Regulation S-X and accounting principles generally accepted in the United States of America; therefore, they do not include all disclosures necessary for a complete presentation of financial condition, results of operations, and cash flows. Such statements are unaudited but, in the opinion of management, reflect all adjustments, which are of a normal recurring nature and necessary for a fair presentation of results for the selected interim periods. Users of financial information produced for interim periods are encouraged to refer to the footnotes contained in the audited financial statements appearing in our Form 10-K for the year ended September 30, ~~2017~~2018 when reviewing these interim financial statements.

The financial statements include estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The consolidated financial statements include the accounts of Security Land and Development Corporation and its four wholly owned subsidiaries, Royal Palms Motel, Inc., SLDC, LLC, SLDC 2, LLC and SLDC III, LLC (described on a consolidated basis as the “"Company”"). Significant intercompany transactions and accounts are eliminated in consolidation.

Critical Accounting Policies:

Estimates of Useful Lives of Investment Properties for Purposes of Depreciation

Management has estimated useful lives of investment properties, except for land that is leased, and the Company utilizes the straight-line method to compute depreciation over the estimated useful lives of the investment properties. Actual depreciation of investment properties will vary from management’'s estimates, and the value of investment properties is more directly impacted by market conditions and the physical condition of the investment properties.

Evaluation of Long-Lived Assets for Impairment

The Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of investment properties may not be recoverable. In evaluating recoverability, the Company generally estimates future cash flows expected to result from the use of the asset and its eventual disposition. An impairment loss is recognized when the expected future cash flows of the asset are less than its carrying amount.

Estimates of Income Tax Rates Applicable to Deferred Taxes

The Company has deferred income taxes through a series of tax-deferred like-kind exchange transactions on certain investment properties and through accelerated depreciation elections on certain other assets. Actual income taxes that may become due when taxable gains are realized on the sale of assets may differ from management’'s estimates as a result of changes in tax laws, the tax status of the Company, or the actual taxable earnings of the Company in the periods the deferred income taxes become due.

Refer to the Company’'s Form 10-K for the year ended September 30, ~~2017~~2018 for further information regarding its critical accounting policies.

(Continued)

- 5 -

Note 1 –- Basis of Presentation, Continued

Recently Adopted Accounting Standards

In May 2014, the FASB issued guidance to change the recognition of revenue from contracts with customers in future periods. The core principle of the new guidance is that an entity should recognize revenue to reflect the transfer of goods and services to customers in an amount equal to the consideration the entity receives or expects to receive. The guidance is effective for the Company for reporting periods beginning October 1, 2018. The comprehensive new standard will supersede existing revenue recognition guidance and require revenue to be recognized when promised goods or services are transferred to customers in amounts that reflect the consideration to which the Company expects to be entitled in exchange for those goods or services. Adoption of the new rules affects the timing of revenue recognition for certain transactions. The guidance permits two implementation approaches, one requiring retrospective application of the new standard with restatement of prior years and one requiring prospective application of the new standard with disclosure of results under old standards

In August 2015, the FASB deferred the effective date of ASU 2014-09, Revenue from Contracts with Customers. As a result of the deferral, the guidance in ASU 2014-09 is effective for the Company for reporting periods beginning October 1, 2018. The Company applied the guidance using a modified retrospective approach.

In March 2016, the FASB amended the Revenue from Contracts with Customers topic of the Accounting Standards Codification to clarify the implementation guidance on principal versus agent considerations and address how an entity should assess whether it is the principal or the agent in contracts that include three or more parties. The amendments will be effective for the Company for reporting periods beginning October 1, 2018.

In April 2016, the FASB amended the Revenue from Contracts with Customers topic of the Accounting Standards Codification to clarify guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The amendments are effective for the Company for reporting periods beginning October 1, 2018.

In May 2016, the FASB amended the Revenue from Contracts with Customers topic of the Accounting Standards Codification to clarify guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The amendments are effective for the Company for reporting periods beginning October 1, 2018.

In December 2016, the FASB issued technical corrections and improvements to the Revenue from Contracts with Customers Topic. These corrections make a limited number of revisions to several pieces of the revenue recognition standard issued in 2014. The effective date and transition requirements for the technical corrections are effective for the Company for reporting periods beginning October 1, 2018. The Company will applied the guidance using a modified retrospective approach.

Recently Issued Accounting Standards

In ~~May~~February ~~2014~~2016, the ~~FASB~~Financial Accounting ~~issued~~Standards ~~guidance~~Board ~~to change~~ (the ~~recognition~~"FASB") ofissued ~~revenue~~Accounting ~~from~~Standards Update ~~contracts~~("ASU") ~~with~~No. ~~customers~~2016-2, Leases in(Topic ~~future~~842), which ~~periods.~~provides ~~The core principle of~~ the ~~new~~principles ~~guidance~~for ~~is that an entity should recognize revenue to reflect~~ the ~~transfer~~recognition, ofmeasurement, ~~goods~~presentation and ~~services to customers in~~ andisclosure ~~amount~~of ~~equal to the consideration the entity receives or expects to receive~~leases. ~~The~~ ~~guidance~~This ~~will~~ASU besignificantly ~~effective~~changes ~~for~~ the ~~Company~~accounting for ~~reporting periods beginning~~leases ~~after~~by ~~December~~requiring ~~15,~~lessees ~~2017.~~to ~~The~~recognize ~~comprehensive~~assets ~~new~~and ~~standard~~liabilities ~~will~~for ~~supersede~~leases ~~existing~~greater ~~revenue~~than ~~recognition~~12 ~~guidance~~months ~~and~~on ~~require~~their ~~revenue~~balance tosheet. The belessor ~~recognized~~model ~~when promised~~stays ~~goods~~substantially ~~or services are transferred to customers in amounts that reflect~~ the ~~consideration~~ tosame; ~~which~~however, ~~the~~there ~~Company~~were ~~expects~~modifications to beconform ~~entitled in exchange for those~~lessor ~~goods~~accounting orwith ~~services. Adoption of~~ the ~~new~~lessee ~~rules~~model, ~~could~~eliminate ~~affect~~real ~~the~~estate ~~timing~~specific ofguidance, ~~revenue~~further ~~recognition~~define ~~for~~ certain ~~transactions. The~~lease ~~guidance~~and ~~permits~~non-lease ~~two implementation approaches~~components, ~~one~~and ~~requiring~~change ~~retrospective application of~~ the ~~new~~definition ~~standard with restatement~~ of ~~prior~~initial ~~years~~direct ~~and~~costs ~~one requiring prospective application~~ of ~~the~~leases ~~new~~requiring ~~standard~~significantly ~~with~~more ~~disclosure~~leasing ~~of results under old~~related ~~standards. The~~costs ~~Company is currently evaluating the impact of adoption and the implementation approach~~ to be ~~used~~expensed upfront.

In August 2015, the FASB deferred the effective date of ASU 2014-09, Revenue from Contracts with Customers. As a result of the deferral, the guidance in ASU 2014-09 will be effective for the Company for reporting periods beginning after December 15, 2017. The Company will apply the guidance using a modified retrospective approach. The Company does not expect these amendments to have a material effect on its financial statements.

In April 2016, the FASB amended the Revenue from Contracts with Customers topic of the Accounting Standards Codification to clarify guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The amendments will be effective for the Company for reporting periods beginning after December 15, 2017. The Company does not expect these amendments to have a material effect on its financial statements.

In May 2016, the FASB amended the Revenue from Contracts with Customers topic of the Accounting Standards Codification to clarify guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The amendments will be effective for the Company for reporting periods beginning after December 15, 2017. The Company does not expect these amendments to have a material effect on its financial statements.

In December 2016, the FASB issued technical corrections and improvements to the Revenue from Contracts with Customers Topic. These corrections make a limited number of revisions to several pieces of the revenue recognition standard issued in 2014. The effective date and transition requirements for the technical corrections will be effective for the Company for reporting periods beginning after December 15, 2017. The Company will apply the guidance using a modified retrospective approach. The Company does not expect these amendments to have a material effect on its financial statements.

In February 2016, the FASB amended the Leases topic of the Accounting Standards Codification to require all leases with lease terms over 12 months to be capitalized as a right-of-use asset and lease liability on the balance sheet at the date of lease commencement. Leases will be classified as either finance leases or operating leases. This distinction will be relevant for the pattern of expense recognition in the income statement. The amendments will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the effect that implementation of the new standard will have on its financial position, results of operations, and cash flows.

In August 2016, the FASB amended the Statement of Cash Flows topic of the Accounting Standards Codification to clarify how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments will be effective for the Company for fiscal years beginning after December 15, 2017 including interim periods within those fiscal years. The Company does not expect these amendments to have a material effect on its financial statements.

(Continued)

- 6 -

Note 1 –- Basis of Presentation, Continued

Recently Issued Accounting Standards, continued

InThe ~~November~~pronouncement is effective for fiscal years, ~~2016~~and for interim periods within those fiscal years, beginning after December 15, 2018. In July 2018, the FASB ~~amended~~issued ~~the~~ASU ~~Statement~~2018-11, Leases of(Topic ~~Cash~~842): ~~Flows~~Targeted ~~topic~~Improvements, which allows lessors to elect a practical expedient by class of underlying assets to not separate non-lease components from the ~~Accounting~~lease ~~Standards~~component ~~Codification~~if certain conditions are met. The lessor's practical expedient election would be limited to ~~clarify~~circumstances ~~how~~in ~~restricted~~which ~~cash~~the isnon-lease ~~presented~~components otherwise would be accounted for under the new revenue guidance and ~~classified~~both in(i) the ~~statement~~timing and pattern of ~~cash~~transfer ~~flows.~~are ~~The~~the ~~amendments~~same ~~will~~for bethe ~~effective~~non-lease ~~for~~component and the related lease component and (ii) the lease component would be classified as an operating lease. The Company ~~for~~expects ~~fiscal~~to ~~years~~elect the practical expedient which would allow ~~beginning~~the ~~after~~Company ~~December~~the ~~15,~~ability ~~2017~~to ~~including~~combine ~~interim~~the ~~periods~~lease ~~within~~and ~~those~~non-lease ~~fiscal~~components if the ~~years.~~underlying ~~Early~~asset ~~adoption~~meets isthe ~~permitted~~criteria above. ~~The~~ASU ~~Company~~2018-11 ~~does~~also ~~not~~includes ~~expect~~an optional ~~these~~transition method in addition to the existing requirements for ~~amendments~~transition to ~~have~~the new standard by recognizing a ~~material~~cumulative effect onadjustment ~~its~~to the opening balance sheet of retained earnings in the period of adoption. Consequently, a company's reporting for the comparative periods presented in the financial statements would continue to be in accordance with current GAAP (Topic 840).

~~In October 2016, the FASB amended the~~We ~~Income~~continue ~~Taxes topic of the Accounting Standards Codification~~ to ~~modify~~evaluate the ~~accounting~~ ~~for~~impact ~~intra-entity~~this ~~transfers~~pronouncement ofwill ~~assets~~have ~~other~~on ~~than~~our ~~inventory. The~~financial ~~amendments~~statements ~~will~~and ~~be effective for~~ the Company ~~for~~is ~~fiscal~~currently ~~years~~assessing ~~beginning~~the ~~after December~~potential ~~15,~~changes ~~2017,~~to ~~including~~its accounting ~~interim~~and ~~periods~~whether ~~within~~such ~~those~~changes ~~fiscal~~will ~~years.~~have ~~Early adoption~~a ismaterial ~~permitted.~~impact ~~The~~on ~~Company~~its consolidated ~~does~~financial ~~not~~statements ~~expect~~and ~~these~~condensed ~~amendments~~notes to ~~have a material effect on~~ its consolidated financial statements.

~~In January 2017, the FASB issued guidance~~We toevaluated ~~clarify~~ the ~~definitions~~revenue ofrecognition ~~a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted~~ for as ~~acquisitions~~all ~~(or~~contracts ~~disposals)~~within ofthis ~~assets~~scope ~~or businesses. The amendment to the~~under ~~Business~~existing ~~Combinations~~accounting ~~Topic~~standards isand ~~intended~~under ~~to address concerns that~~ the ~~existing definition~~new ofrevenue arecognition ~~business~~ASU ~~has been applied too broadly~~ and ~~has resulted in many~~ ~~transactions~~confirmed ~~being~~that ~~recorded~~there aswere ~~business~~no ~~acquisitions~~differences ~~that~~ in ~~substance~~the ~~are~~amounts ~~more akin~~recognized toor ~~asset acquisitions. The guidance will be effective for~~ the ~~Company for~~ ~~reporting~~pattern ~~periods~~of ~~beginning~~recognition. ~~after December 15~~Therefore, ~~2017.~~the ~~Early~~ adoption ~~is permitted.~~of ~~The~~this ~~Company~~ASU ~~does~~did not ~~expect~~result ~~these~~in an ~~amendments~~adjustment to ~~have~~our aretained ~~material effect~~earnings on ~~its~~January ~~financial~~1, ~~statements~~2018.

In ~~January~~February ~~2017~~2016, the FASB amended ~~updated~~ the ~~Accounting~~Leases ~~Changes~~topic ~~and~~of ~~Error~~the ~~Corrections~~Accounting ~~and~~Standards ~~the~~Codification ~~Investments—Equity~~to ~~Method~~require ~~and~~all leases ~~Joint~~with ~~Ventures~~lease ~~Topics~~terms ofover ~~the~~12 ~~Accounting~~months ~~Standards~~to ~~Codification. The~~be ~~ASU~~capitalized as a right-of-use asset and ~~incorporates~~lease ~~into~~liability on the ~~Accounting~~balance ~~Standards~~sheet ~~Codification~~at ~~recent~~the ~~SEC~~date ~~guidance about~~of ~~disclosing,~~lease ~~under~~commencement. ~~SEC~~Leases will ~~SAB~~be ~~Topic~~classified ~~11.M,~~as ~~the~~either ~~effect~~finance onleases ~~financial~~or ~~statements~~operating leases. This ofdistinction ~~adopting~~will ~~the~~be ~~revenue,~~relevant ~~leases,~~for ~~and~~the ~~credit~~pattern ~~losses~~of ~~standards. The~~expense ~~ASU~~recognition ~~was~~in the ~~effective~~income ~~upon issuance~~statement. The ~~Company~~amendments iswill ~~currently~~be ~~evaluating~~effective ~~the~~for ~~impact~~fiscal onyears beginning ~~additional~~after ~~disclosure~~December ~~requirements~~15, as2018, ~~each~~including ofinterim ~~the~~periods ~~standards~~within isthose ~~adopted,~~fiscal ~~however~~years. itEarly ~~does~~adoption ~~not~~is ~~expect~~permitted. ~~these~~The ~~amendments~~Company tois ~~have~~currently aevaluating ~~material~~the effect that implementation of the new standard will have on its financial position, results of operations, orand cash flows.

In ~~January~~November 2017, the FASB ~~amended~~updated the ~~Goodwill~~ ~~and Other Topic of the Accounting Standards Codification to simplify~~Income ~~the~~Statement ~~accounting for goodwill impairment for public business entities~~ and ~~other entities~~Revenue ~~that~~from ~~have~~Contracts ~~goodwill~~with ~~reported~~Customers inTopic ~~their~~of ~~financial statements and have not elected~~ the ~~private company alternative for the subsequent measurement of~~Accounting ~~goodwill~~Standards Codification. The ~~amendment~~amendments ~~removes~~incorporate ~~Step~~into ~~2 of~~ the ~~goodwill impairment test. A~~Accounting ~~goodwill~~Standards ~~impairment~~Codification ~~will~~recent ~~now~~SEC beguidance ~~the~~related ~~amount by which a reporting unit’s carrying value exceeds its fair value, not~~ to ~~exceed~~revenue ~~the carrying amount of goodwill~~recognition. ~~The~~ ~~effective date and transition~~ The ~~requirements for~~amendments ~~the technical~~were ~~corrections will be~~ effective ~~for~~upon ~~the Company for reporting periods beginning after December 15, 2019~~issuance. ~~Early~~ adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company does not expect these amendments to have a material effect on its financial statements.

In ~~February~~September 2017, the FASB ~~amended~~updated the ~~Other~~Revenue ~~Income~~from ~~Topic~~Contracts with Customers and the Leases Topics of the Accounting Standards Codification. toThe ~~clarify~~amendments ~~the scope~~incorporate ofinto the ~~guidance~~Accounting Standards onCodification ~~nonfinancial~~recent ~~asset~~SEC ~~de-recognition~~guidance asabout ~~well~~certain aspublic ~~the~~business ~~accounting~~entities ~~for~~(PBEs) ~~partial~~electing ~~sales~~to ofuse ~~nonfinancial assets. The amendments conform~~ the de non-~~recognition~~PBE ~~guidance~~effective ondates ~~nonfinancial~~solely ~~assets~~to ~~with~~adopt the ~~model for transactions~~ inFASB's ~~the~~ new standards on revenue ~~standard~~and leases. The amendments ~~will~~were be effective ~~for~~upon issuance. ~~the~~The Company ~~for~~ ~~reporting~~has ~~periods~~evaluated ~~beginning~~the ~~after~~impact ~~December~~of ~~15,~~adoption ~~2017. The~~of ~~Company does~~this ~~not~~guidance ~~expect~~and determined that these amendments todo not have a material effect on its financial statements.

InOther ~~September~~accounting ~~2017,~~standards ~~the~~that ~~FASB~~have ~~updated the~~been ~~Revenue~~issued ~~from~~or ~~Contracts~~proposed ~~with~~by ~~Customers and~~ the ~~Leases~~FASB ~~Topics~~or ofother ~~the~~standards-setting ~~Accounting Standards~~bodies ~~Codification.~~are ~~The amendments incorporate into the Accounting~~not ~~Standards~~expected ~~Codification recent SEC guidance about certain public business entities (PBEs) electing~~ to ~~use~~have ~~the~~a ~~non-PBE~~material ~~effective~~impact ~~dates~~on ~~solely to adopt~~ the ~~FASB’s~~ ~~new standards on revenue and leases. The amendments were effective upon issuance. The~~ Company's isfinancial ~~currently~~position, ~~in the process of~~results ~~evaluating the impact~~ of ~~adoption~~operations ofor ~~this~~cash ~~guidance, however it does not expect these amendments to have a material effect on its financial statements~~flows.

- 7 -

Note 2 - Investment Properties

Investment properties leased or held for lease to others under operating leases consisted of the following at December 31, 2018 and September 30, 2018:

	December 31, 2018		September 30, 2018
	(unaudited)		(audited)

National Plaza building, land and improvements	$	-	$	5,322,260
Bobby Jones Ground Lease, land and lease intangible Evans Ground Lease, land and improvements		15,044,916 2,382,673		- 2,382,673
Wrightsboro Road building, land and improvements		1,929,690		1,929,690
Commercial land and improvements		3,478,868		3,804,728
		22,836,147		13,439,351
Less accumulated depreciation		(130,472)		(3,079,905)

Investment properties for lease, net of depreciation and amortization	$	22,705,675	$	10,359,446

Depreciation and amortization expense totaled approximately $77,000 and $47,000 for the three-month periods ended December 31, 2018 and 2017, respectively.

Sale of National Plaza

National Plaza is a retail strip center located on Washington Road in Augusta Georgia. Approximately 81% of the rentable space at the National Plaza is leased to Publix Supermarkets, Inc., the National Plaza's anchor tenant. The company sold this property in December of 2018 for $21,000,000 and recognized a gain on the sale of $18,367,269. See Note 8 for additional disclosures regarding the National Plaza retail strip center.

The Company entered into a long-term ground lease with a major national tenant and its developer in May 2006 on approximately 18 acres of land in Columbia County, Georgia. The agreement required monthly rental payments of $20,833 during the development period, which was completed in January 2007. Following the expiration of the development period, the lease required annual rental payments of $500,000 for the first 5 years then increasing 5% in years 6, 11, and 16. The lessee has an option to renew in year 21 and another option every 5 years thereafter for a possible total lease term of 50 years.

The lease provides for the tenant to pay for insurance and property taxes. The Company is recognizing rents on a straight-line basis over the lease term.

In September of 2015, the Company purchased a commercial building consisting of approximately 25,000 square feet of retail space and 27,000 square feet of warehouse space on approximately 3.5 acres of land located on Wrightsboro Road. The retail space is currently leased to a local retailer and rent commenced on October 1, 2015. The related lease term is 10 years with annual rental payments totaling $142,000, paid monthly, increasing to $153,000 per year in 2021. The warehouse space is available for lease. The Company is recognizing rents on a straight-line basis over the lease term.

(Continued)

-7 8 -

Note 12 –- ~~Basis~~Investment ~~of Presentation~~Properties, ~~Continued~~continued

~~Recently~~ Purchase ~~Issued~~of ~~Accounting~~Bobby Jones ~~Standards,~~Ground ~~continued~~Lease

In ~~November~~December ~~2017~~of 2018, the Company purchased a tract of land, consisting of 19.32 acres, and a ground lease with a major discount retailer for $15,044,916 using proceeds from the sale ~~FASB~~of ~~updated~~National Plaza to fund the purchase. The ground lease commenced on ~~Income~~November ~~Statement~~21, 2005 and ~~Revenue~~the ~~from~~initial ~~Contracts~~term ~~with~~expires ~~Customers~~on ~~Topic~~May 1, 2028. The Company began recognizing rental income as of the date ~~Accounting~~of ~~Standards~~closing. ~~Codification~~The original lease term is 20 years with sixteen five-year extension options. Annual rental payments total $810,636 and rent is payable monthly. The ~~amendments~~Company's ~~incorporate~~management ~~into~~has ~~the~~made ~~Accounting~~an estimated allocation of the ~~Standards~~purchase ~~Codification~~price, ~~recent~~assigning ~~SEC~~$4,358,453 ~~guidance~~to ~~related~~land and $10,686,463 to ~~revenue~~the ~~recognition~~ground lease until an appraisal can be completed during the quarter ended March 31, 2019. Once ~~The~~the independent appraisal is completed the asset ~~amendments~~allocations ~~were~~may ~~effective~~be ~~upon~~adjusted ~~issuance.~~based on the appraised allocations. The Company's ismanagement ~~currently~~has ~~evaluating~~preliminarily assumed the useful life of the ~~impact~~lease onshould ~~revenue~~coincide ~~recognition~~with the remaining lease term, ~~however~~which is itapproximately ~~does~~112 ~~not~~months, ~~expect~~and ~~these~~has ~~amendments~~recorded amortization expense toaccordingly. The ~~have~~useful alife ~~material~~and ~~effect~~accumulated onamortization ~~its~~will ~~financial~~be ~~statements.~~adjusted accordingly per the appraisal, once complete, if necessary.

~~Other~~The ~~accounting~~Company ~~standards~~holds several ~~that~~parcels ~~have~~of ~~been issued~~land for investment or ~~proposed~~development bypurposes, ~~the~~including ~~FASB~~19.38 acres orof ~~other~~land ~~standards-setting~~in ~~bodies~~North ~~are~~Augusta, ~~not~~South Carolina, purchased in parcels during ~~expected~~2007 toand ~~have~~2008. The Company also owns approximately 85 acres of land in south Richmond County, Georgia and a ~~material~~1.1-acre ~~impact~~parcel onalong Washington Road in Augusta, Georgia that adjoins the Company’'s ~~financial~~National ~~position,~~Plaza ~~results~~investment property. This 1.1-acre parcel was included in the sale of ~~operations~~the National Plaza investment property. The aggregate costs of these investment properties held for investment or ~~cash~~development ~~flows~~was $3,478,868 and $3,804,728 at December 31, 2018 and September 30, 2018, respectively.

~~Reclassifications~~ Refer to the Company's Form 10-K for the year ended September 30, 2018 for further information on operating lease agreements and land held for investment or development purposes.

~~Certain~~Note ~~reclassifications~~3 ~~have~~- ~~been~~Notes ~~made~~Payable ~~to a prior quarterly filing ended June 30, 2017. These reclassifications had no effect on previously reported stockholders’ equity, net income or cash flows.~~

~~Note~~Notes 2payable –consisted ~~Investment~~of ~~Properties~~the following at:

Investment properties leased or held for lease to others under operating leases consisted of the following at June 30, 2018 and September 30, 2017:

		December 31, 2018 (unaudited)	September 30, 2018 (audited)
	A note payable to a regional financial institution, secured with a mortgage interest in National Plaza and an assignment of rents. The note was payable in monthly installments of $33,050, through August 2027, and accrued interest at an annual fixed rate of 4.3%. The note payable was collateralized by National Plaza. In December of 2018 the Company sold National Plaza and used a portion of the proceeds to pay off this note.	$ -	$ 2,925,424
	A note payable to an insurance company collateralized with approximately 18 acres of land in Columbia County, Georgia, and an assignment of the long-term ground lease. The note is payable in monthly installments of $17,896, including principal and interest, through May 1, 2027, and bears interest at a fixed rate of 5.85%.	1,424,673	1,457,207
		1,424,673	4,382,631
Less deferred financing costs		(28,994)	(46,387)
Less current maturities of notes payable		(134,987)	(407,554)
		$ 1,260,692	$ 3,928,690

	June 30, 2018		September 30, 2017
	(unaudited)		(audited)
National Plaza building, land and improvements	$	5,322,260	$	5,322,260
Evans Ground Lease, land and improvements		2,382,673		2,382,673
Wrightsboro Road building, land and improvements		1,929,690		1,929,690
Commercial land and improvements		3,804,728		3,804,728
		13,439,351		13,439,351
Less accumulated depreciation		(3,032,838)		(2,891,630)
Investment properties for lease, net of depreciation	$	10,406,513	$	10,547,721

Current maturities of notes payable will require the Company to make payments over the next 12 months totaling $134,987.

~~Depreciation expense totaled approximately $47,000 for the three~~-~~month~~ ~~periods~~9 ~~ended June 30, 2018 and 2017 and approximately $141,000 for the nine~~-~~month periods ended June 30, 2018 and 2017.~~

National Plaza is a retail strip center located on Washington Road in Augusta Georgia. Approximately 81% of the rentable space at the National Plaza is leased to Publix Supermarkets, Inc., the National Plaza’s anchor tenant. See Note ~~8 for~~4 ~~additional~~- ~~disclosures~~Income ~~regarding the National Plaza retail strip center.~~ Taxes

~~The~~Income ~~Company~~tax ~~entered into~~payable ~~a long-term ground lease with a major national tenant and its developer in May 2006 on approximately 18 acres~~ of ~~land in Columbia County~~ $1,587,250 ~~Georgia. The~~has ~~agreement~~been ~~required~~accrued ~~monthly~~as ~~rental payments~~ of ~~$20,833 during~~ the ~~development~~ ~~period,~~quarter ~~which~~ended ~~was~~December ~~completed~~31, ~~in January 2007~~2018. As ~~Following the expiration~~ of ~~the~~January ~~development period~~31, 2019, ~~the~~all ~~lease~~income ~~required~~taxes ~~annual~~payable ~~rental payments~~ of $~~500~~75,~~000~~630 ~~for~~related to the ~~first~~fiscal 5year ~~years~~2018 ~~then~~had ~~increasing 5%~~been inpaid ~~years 6~~and $1, 11511,620 ~~and~~of ~~16.~~accrued ~~The~~income ~~lessee~~taxes ~~has~~are anpayable ~~option to renew in year 21 and another option every 5 years thereafter~~ for athe ~~possible~~quarter ~~total~~ended ~~lease term of 50~~December ~~years.~~31, 2019.

The ~~lease~~Tax ~~provides~~Cuts and Jobs Act (TCJA) was ~~for~~signed into law by the ~~tenant~~President on Friday December 22, 2017. The TCJA includes the reduction in the corporate tax rate from a top rate of 35% to ~~pay~~a flat rate of 21%, changes in business deductions, and many international provisions. The drop in the corporate rate is effective for ~~insurance~~tax years beginning after December 31, 2017. IRC Section 15 indicates that "if any rate of tax imposed.changes, and ~~property~~if the taxable year includes the effective date of the change., then tentative taxes shall be computed by applying the rate for the period before the effective date of the change, and the rate for the period on and after such date, to the taxable income for the entire taxable year, and the tax for such taxable year shall be the sum of that proportion of each tentative tax which the number of days in each period bears to the number of days in the entire taxable year." ~~The~~(§15(a)). As the Company is a fiscal year ~~recognizing~~taxpayer, ~~rents~~they onwill receive a ~~straight-line~~partial ~~basis~~benefit ~~over~~for the ~~lease~~drop ~~term~~in the federal corporate tax rate for their fiscal year ended September 30, 2018. The weighted average federal tax rate computed in accordance with IRC Section 15 is 24.25% for the current fiscal year.

~~(Continued)~~ Based on the drop in the corporate tax rate to a flat 21%, the Company revalued each of their deferred tax assets and liabilities in the quarter ended December 31, 2017 using the new corporate tax rate. The net impact from this revaluing resulted in a tax benefit of $463,167 recognized as of December 31, 2017.

~~-8-~~Income taxes have been provided using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax laws and rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date.

~~Note~~During 2the –twelve-month ~~Investment~~period ~~Properties~~ended September 30, 2018, the Company recorded $115,469 in income tax benefits at an effective ~~Continued~~rate of -49% The Company records income taxes using an estimated annual effective tax rate for interim reporting. The individually largest factor contributing to the difference between the federal statutory rate of 24.25% and the Company's effective tax rate for the twelve-month period ended September 30, 2018 was the benefit relating to the revaluing of the deferred tax asset and liability balances to the new federal statutory rate.

InDeferred ~~September~~income ~~of 2015,~~taxes are the ~~Company~~result ~~purchased a commercial building consisting~~ of ~~approximately~~ ~~25,000~~qualified ~~square~~tax-free ~~feet~~exchanges of ~~retail~~property ~~space~~transacted ~~and~~in ~~27,000~~current ~~square~~and ~~feet~~prior ofyears ~~warehouse space on~~and ~~approximately~~reporting ~~3.5~~depreciation ~~acres~~differently offor ~~land~~income ~~located~~tax ~~on Wrightsboro Road~~purposes. The ~~retail~~tax ~~space is~~effects ~~currently leased to a local retailer and rent commenced on October 1, 2015.~~of ~~The~~temporary ~~related~~differences ~~lease~~that ~~term~~give isrise ~~10 years with annual rental payments totaling $142,000, paid monthly, increasing~~ to ~~$153,000~~the ~~per~~deferred ~~year~~tax inliability ~~2021.~~are ~~The warehouse~~as ~~space~~follows isas ~~available for lease. The Company is recognizing rents on a straight-line basis over the lease term.~~ of:

The Company holds several parcels of land for investment or development purposes, including 19.38 acres of land in North Augusta, South Carolina, purchased in parcels during 2007 and 2008. The Company also owns approximately 85 acres of land in south Richmond County, Georgia and a 1.1-acre parcel along Washington Road in Augusta, Georgia that adjoins the Company’s National Plaza investment property. The aggregate costs of these investment properties held for investment or development was $3,804,728 at both June 30, 2018 and September 30, 2017.

	December 31, 2018	September 30, 2018
Deferred income tax liabilities:
Basis in Investment Properties	$ 4,071,161	$ 1,006,252

~~Refer~~Taxable togains deferred by the Company’s ~~Form 10-K~~in prior ~~for~~years and in the current year ~~ended~~through ~~September 30~~qualified tax-free like-kind exchanges totaled approximately $15,604,996. ~~2017~~These deferred gains for ~~further~~tax ~~information~~reporting oncomprise ~~operating~~a ~~lease~~substantial ~~agreements~~portion of the Company's deferred income tax liabilities as of December 31, 2018 and ~~land~~September ~~held~~30, ~~for~~2018, ~~investment~~net orof the effects ~~development~~of ~~purposes~~depreciation.

~~Note 3 – Notes Payable~~ (Continued)

~~Notes~~- ~~payable~~10 ~~consisted of the following at:~~-

		June 30,2018	September 30,2017
		(unaudited)	(audited)
	A note payable to a regional financial institution, secured with a mortgage interest in National Plaza and an assignment of rents. The note is payable in monthly installments of $33,050, through August 2027, and accrues interest at an annual fixed rate of 4.3%. The note payable is collateralized by National Plaza.	$ 2,991,757	$ 3,188,257
	A note payable to an insurance company collateralized with approximately 18 acres of land in Columbia County, Georgia, and an assignment of the long-term ground lease. The note is payable in monthly installments of $17,896, including principal and interest, through May 1, 2027, and bears interest at a fixed rate of 5.85%.	1,489,270	1,582,647
		4,481,027	4,770,904
Less deferred financing costs		(47,720)	(51,719)
Less current maturities of notes payable		(402,632)	(388,322)
		$ 4,030,675	$ 4,330,863

Note 4 - Income Taxes, continued

~~Management~~ ofThe ~~the~~provision ~~Company~~(benefit) ~~expects~~for ~~future~~income ~~liquidity~~taxes ~~needs of the Company to be funded from~~is ~~rent~~as ~~revenues, refinancing and the appreciation in investment properties (which can be sold or mortgaged, if necessary).~~ follows:

Current maturities of notes payable will require the Company to make payments over the next 12 months totaling $402,632. The Company projects that it will be able to fund the payment of its current maturities of notes payable through cash flows generated from its operations and cash on hand, but there can be no assurance that this will occur.

	For the three months ended
	December 31,
	2018		2017
Current expense	$	1,511,620	$	54,207
Deferred expense (benefit)		3,064,910		(450,422	)

	$	4,576,530	$	(396,215	)

~~-9-~~The provision for income taxes for the three months ended December 31, 2018 and 2017 differs from the amount obtained by applying the U.S. federal and state income tax rate to pretax income due to the following:

Note 4 – Income Taxes

		2018		2017

Net income before tax	$	17,622,568	$	169,407

Expected federal tax expense at December 31, 2018 and 2017 is 21% and 24.25% respectively		3,700,739		41,081
State tax expense, net of federal benefit		840,596		13,126
Federal (benefit) expense of tax rate change		-		(450,422	)
Other expense		35,195		-

Tax expense (benefit)	$	4,576,530	$	(396,215	)

AtNote ~~September~~5 ~~30, 2017,~~- the Company had income taxes payable of $19,917 related to the fiscal year 2017. As of June 30, 2018, all income taxes payable related to the fiscal year 2017 had been paid, and $13,333 of income tax payable has been accrued for the fiscal year 2018. Concentrations

~~The~~Substantially ~~Tax~~all ~~Cuts and Jobs Act (TCJA) was~~of ~~signed~~the ~~into~~Company's ~~law~~assets byconsist ~~the~~of ~~President~~real onestate ~~Friday~~located ~~December~~in ~~22,~~Richmond ~~2017.~~and ~~The TCJA includes~~Columbia ~~the~~Counties ~~reduction~~ in the ~~corporate~~state ~~tax rate from a top rate~~ of ~~35%~~Georgia toand ~~a flat rate of 21%, changes~~ in ~~business~~Aiken ~~deductions~~County, ~~and~~South ~~many international provisions~~Carolina. ~~The~~ Substantially ~~drop~~all inof the ~~corporate~~Company's ~~rate~~rental isrevenues ~~effective~~were ~~for~~earned ~~tax~~from ~~years~~four ~~beginning~~of ~~after~~the ~~December~~Company's 31investment properties, ~~2017. IRC~~National ~~Section 15 indicates that “if any rate of tax imposed…changes~~Plaza, ~~and~~ if the ~~taxable~~Evans ~~year~~Ground ~~includes~~Lease, the ~~effective~~Bobby ~~date of the change…, then~~Jones ~~tentative~~Ground ~~taxes~~Lease ~~shall~~and bethe ~~computed~~Wrightsboro byRoad ~~applying~~Lease, ~~the~~which ~~rate~~comprise ~~for~~approximately ~~the~~40%, ~~period before~~43%, ~~the~~8% ~~effective~~and ~~date~~9% of the ~~change~~Company's revenues, ~~and~~respectively, ~~the rate~~ for the three-month period ended onDecember ~~and after such date~~31, to2018. ~~the~~The ~~taxable~~anchor ~~income~~tenant for ~~the~~National ~~entire taxable year~~Plaza, ~~and the tax for such~~Publix ~~taxable~~Supermarkets, Inc. ~~year~~("Publix"), ~~shall~~a beregional ~~the~~food ~~sum~~supermarket ofchain, ~~that~~leased ~~proportion~~approximately 81% of ~~each tentative tax which~~ the ~~number~~space ofat ~~days~~National inPlaza. ~~each~~Prior ~~period bears~~ to the ~~number~~sale of ~~days~~National inPlaza ~~the entire~~in ~~taxable~~December ~~year.”~~of ~~(§15(a)). As~~2018 the Company isgenerated aapproximately ~~fiscal~~29% ~~year~~of ~~taxpayer,~~its ~~they~~revenues ~~will~~through ~~receive~~its alease ~~partial~~with ~~benefit~~Publix. ~~for~~See ~~the~~Note ~~drop~~8 ~~in the federal corporate tax rate~~ for ~~their~~ ~~fiscal~~additional ~~year~~disclosures ~~ended~~regarding ~~September 30, 2018. The weighted average federal tax~~the ~~rate~~National ~~computed~~Plaza inretail ~~accordance~~strip ~~with IRC Section 15 is 24~~center.~~25% for the current fiscal year.~~

~~Based~~Note on6 ~~the~~- ~~drop~~Related inParty the corporate tax rate to a flat 21%, the Company revalued each of their deferred tax assets and liabilities in the quarter ended December 31, 2017 using the new corporate tax rate. The net impact from this revaluing resulted in a tax benefit of $463,167 recognized as of December 31, 2017.Transactions

~~Income~~During ~~taxes have been provided using~~ the ~~asset~~ ~~and liability method. Deferred tax assets and liabilities are recognized~~quarter, ~~for~~ the ~~future~~Company ~~tax~~paid ~~consequences~~a ~~attributable~~stockholder towho ~~differences~~is ~~between~~also the ~~financial~~ ~~statement~~son ~~carrying amounts~~ of ~~existing~~the ~~assets~~President ~~and liabilities and~~for ~~their~~accounting ~~respective tax bases~~services. ~~Deferred~~The ~~tax~~Company's ~~assets~~Board ~~and~~of ~~liabilities~~Directors ~~are~~believes ~~measured using~~that ~~enacted tax laws and rates expected to apply to taxable income in~~ the ~~years~~accounting inservices ~~which~~paid ~~those temporary differences are expected~~ to bethe ~~recovered~~son ~~or settled.~~of ~~The~~its ~~effect~~President ofwere anot ~~change~~ in ~~tax~~excess ~~rates on deferred tax assets and~~of ~~liabilities~~prices isthat ~~recognized~~would inhave ~~income~~been inpaid had the ~~period~~Company ~~that~~obtained ~~includes~~accounting ~~the enactment~~services ~~date~~from other sources.

During the ~~nine-month period ended June 30~~quarter, ~~2018,~~ the Company ~~recorded~~paid ~~$283,868~~bonuses ~~in income tax benefits at an effective rate~~ of ~~-90.12%~~$787,500 ~~The Company records income taxes using an estimated annual effective tax rate for interim reporting. The individually largest factor contributing~~ to ~~the~~ ~~difference~~stockholders, ~~between~~who ~~the~~are ~~federal~~also ~~statutory rate of 24.25% and the Company’s~~board ~~effective tax rate for the nine-month period ended June 30~~members, ~~2018~~related ~~was the benefit relating~~ to the ~~revaluing~~sale of ~~the~~National ~~deferred tax asset and liability balances to the new federal statutory rate~~Plaza.

~~Note~~During 5the -quarter, ~~Concentrations~~the Company paid legal fees of $25,000 to a stockholder, who is also a board member, related to resolving an operational matter with a tenant at National Plaza.

Substantially all of the Company’s assets consist of real estate located in Richmond and Columbia Counties in the state of Georgia and in Aiken County, South Carolina. Substantially all of the Company’s revenues are earned from three of the Company’s investment properties, National Plaza, the Evans Ground Lease, and the Wrightsboro Road Lease, which comprise approximately 54%, 38% and 8% of the Company’s revenues, respectively, for the three-~~month~~ ~~period~~11 ended June 30, 2018. The anchor tenant for National Plaza, Publix Supermarkets, Inc. (“Publix”), a regional food supermarket chain, leases approximately 81% of the space at National Plaza. The Company generates approximately 29% of its revenues through its lease with Publix. See Note 8 for additional disclosures regarding the National Plaza retail strip center.-

Note 67 - ~~Related Party~~Stockholders' ~~Transactions~~Equity

~~During~~ On ~~the~~February ~~quarter~~7, 2017, Security Land and Development Corporation offered to purchase up to 2,526,247 shares (approximately 48.2% of the Company's ~~paid~~outstanding shares) of its common stock from its stockholders through a tender offer ("the Offer") at a price of $1.25 per share. The Offer was part of a plan intended to enhance stockholder value ~~who~~and isprovide ~~also~~liquidity for the ~~son~~stockholders. ofThe Offer expired on March 15, 2017, was extended by the ~~President~~Company, ~~for~~and on April 19, 2017 Security Land and ~~accounting~~Development ~~services~~Corporation amended the above offer to increase the offer price to $1.60 per share. The ~~Company’s~~amended Offer expired on May 5, 2017. On May 5, 2017, Security Land and Development Corporation amended the April 19, 2017 Offer to increase the offer price to $1.75 per share. Within the offer period, 192,860 shares were sold by members of the Board of Directors ~~believes~~who ~~that~~are not part of the ~~accounting~~Flanagin ~~services~~family. ~~paid~~As toof December 31, 2018, the ~~son~~Flanagin family owned approximately 58% of the Company's common stock. During the offer period, the Company has purchased and retired a total of 1,477,817 shares of its ~~President~~stock for $2,584,461. Included within these shares purchased by the Company were ~~not~~192,860 inshares ~~excess~~sold by members of the Board of Directors who are not part of the Flanagin family. ~~prices~~The Company utilized cash on hand and funds obtained from the line of credit that ~~would~~has ~~have~~since been ~~paid~~converted ~~had~~to a term note. See Note 3 - Notes Payable. During the quarter ended December 31, 2019 the Company ~~obtained~~paid ~~accounting~~off ~~services~~this term note with proceeds from ~~other~~the ~~sources.~~sale of National Plaza.

Note 8 -~~10-~~ Sale of National Plaza

~~Note~~On 7June –27, ~~Stockholders’~~2018, ~~Equity~~the Company entered into an agreement with WSQ, LLC, a Georgia Limited Liability Company, for the sale of its retail strip center (the "National Plaza") along with two adjoining outparcels, located on Washington Road in Augusta, Georgia for a combined total sales price of $21,000,000. The closing of the sale occurred on December 13, 2018, and the Company recognized a gain on the sale of $18,367,269.

OnNote ~~February~~9 7,- ~~2017, Security~~Purchase ~~Land and Development Corporation offered to purchase up to 2,526,247 shares (approximately 48.2%~~ of ~~the~~Bobby ~~Company’s outstanding shares) of its common~~Jones ~~stock~~Ground from its stockholders through a tender offer (“the Offer”) at a price of $1.25 per share. The Offer is part of a plan intended to enhance stockholder value and provide liquidity for the stockholders. The Offer expired on March 15, 2017, was extended by the Company, and on April 19, 2017 Security Land and Development Corporation amended the above offer to increase the offer price to $1.60 per share. The amended Offer expired on May 5, 2017. On May 5, 2017, Security Land and Development Corporation amended the April 19, 2017 Offer to increase the offer price to $1.75 per share. Within the offer period, 192,860 shares were sold by members of the Board of Directors who are not part of the Flanagin family. As of June 30, 2018, the Flanagin family owned approximately 58% of the Company’s common stock. During the offer period, the Company has purchased and retired a total of 1,477,817 shares of its stock for $2,584,461. Included within these shares purchased by the Company were 192,860 shares sold by members of the Board of Directors who are not part of the Flanagin family. The Company utilized cash on hand and funds obtained from the line of credit that has since been converted to a term note. See Note 3 – Notes Payable. Lease

~~Note~~On 8December –20, ~~Agreement~~2018, the ~~for~~Company ~~Sale~~purchased a tract of land, consisting of 19.32 acres, and a ground lease with a major discount retailer and building owned by the retailer for $15,044,916 using proceeds from the sale of National Plaza to fund the purchase, including $44,916 in transaction costs. The ground lease commenced on November 21, 2005 and the initial term expires on May 1, 2028. The Company's management has made an estimated allocation of the purchase price, assigning $4,358,453 to land and $10,686,463 to the ground lease until an appraisal can be completed during the quarter ended March 31, 2019. Once the independent appraisal is completed the asset allocations may be adjusted based on the appraised allocations and adjustments could be material. The Company's management has preliminarily assumed the useful life of the lease should coincide with the remaining lease term, which is approximately 112 months, and has recorded amortization expense accordingly. The useful life and accumulated amortization will be adjusted accordingly per the appraisal, once complete, if necessary.

On- ~~June~~12 27, 2018, the Company entered into an agreement with WSQ, LLC, a Georgia Limited Liability Company, for the sale of its retail strip center (the “National Plaza”) along with two adjoining outparcels, located on Washington Road in Augusta, Georgia. The closing of the sale shall be on October 15, 2018, or such earlier date as may be agreed upon by the parties. The National Plaza currently represents approximately 54% of the Company’s revenues.-

~~-11-~~Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

~~Item 2. Management’s Discussion and Analysis of Financial Condition and~~ Results of Operations:

~~Results~~The Company's results of ~~Operations~~operations for the three months ended December 31, 2018, and a comparative analysis of the same period for 2017 are presented below:

The Company’s results of operations for the nine months ended June 30, 2018, and a comparative analysis of the same period for 2017 are presented below:

					Increase (decrease)
					2018 compared to 2017
	2018		2017		Amount		Percent

Rent revenues	$	393,886	$	417,717	$	(23,831)	-6%
Gain on sale		18,367,269		-		18,367,269	-
Operating expenses		1,092,497		178,151		914,346	513%
Interest expense		46,090		70,159		(24,069)	-34%
Income tax expense (benefit), net		4,576,530		(396,215)		4,972,745	1,155%
Net income		13,046,038		565,622		12,480,416	2,306%

					Increase (decrease)
					2018 compared to 2017
	2018		2017		Amount		Percent
Rent revenues	$	1,321,191	$	1,303,049	$	18,142	1%
Operating expenses		607,737		792,721		(184,984)	-23%
Interest expense		172,279		116,546		55,733	48%
Income tax (benefit) expense, net		(283,868)		161,408		(445,276)	-276%
Net income		825,043		232,374		592,669	255%

Rent revenues consist of rent revenue from the Company's National Plaza, a strip center on Washington Road in Augusta, Georgia, the Evans Ground Lease in Evans, Georgia and the Bobby Jones Ground Lease. The Company also earned rent revenue from a lease on the Wrightsboro Road property with an apparel and home goods retailer and a ground lease with an auto-repair service operation on an out-parcel of National Plaza. The Company sold National Plaza on December 13, 2018 and purchased the Bobby Jones Ground Lease on December 20, 2018.

~~Rent~~Refer ~~revenues consist~~to ~~of rent revenue from~~ the Company’'s ~~National~~Form 10-K ~~Plaza,~~for athe ~~strip~~year ~~center~~ended ~~on Washington Road in Augusta~~September 30, ~~Georgia,~~2018 ~~and~~for ~~the Evans Ground Lease in Evans,~~further ~~Georgia.~~information ~~The~~regarding ~~Company also earned rent revenue from a lease on~~ the ~~Wrightsboro Road~~properties ~~property~~owned ~~with an apparel~~ and ~~home~~their ~~goods retailer and a ground~~ lease ~~with an auto-repair service operation on an out-parcel of National Plaza~~terms.

~~Refer~~Total operating expenses for the three months ended December 31, 2018 increased compared to the ~~Company’s~~same ~~Form 10-K~~period for 2017 due primarily to bonuses related to the ~~year~~sale ~~ended~~of ~~September 30,~~National Plaza ~~2017~~in ~~for~~2018 ~~further~~that were not incurred in the prior period. Management expects ~~information~~operating ~~regarding~~expenses for the ~~properties~~remainder ~~owned~~of the current fiscal year to decrease significantly as no additional bonuses are expected to be awarded and ~~their~~due ~~lease~~to ~~terms~~the sale of National Plaza, resulting in a reduction in related operating expenses.

~~Total~~Interest ~~operating~~expense ~~expenses~~ for the ~~nine~~three months ended ~~June~~ 30December 31, 2018 decreased compared to ~~the same period for~~ 2017 due ~~primarily~~ to ~~painting~~ ~~and parking lot repair costs as well as legal and professional expenses~~paying ~~(related~~off to the ~~tender~~loan ~~offer)~~collateralized ~~which~~by ~~were~~National ~~incurred~~Plaza inwith ~~2017~~proceeds ~~that~~from ~~were not incurred in~~ the ~~current~~sale ~~period. Refer to the Company's Form 10-K for the year ended~~of ~~September 30,~~National ~~2017~~Plaza ~~for~~in ~~further~~December ~~information~~of ~~regarding these transactions~~2018. Management expects ~~operating~~interest ~~expenses~~expense for the remainder of the current fiscal year to ~~be in-line with operating expenses above incurred during the first three quarters of fiscal year 2018~~decrease.

~~Interest~~Income tax expense for the ~~nine~~three-month ~~months~~period ended ~~June~~December 3031, 2018 increased significantly compared to ~~2017 due to~~ the ~~increase in~~same ~~debt~~period ~~resulting~~for ~~from~~2017 ~~the~~due ~~debt~~to ~~restructuring completed in~~ the ~~prior~~sale ~~year. Management expects interest expense for the remainder~~ of ~~the~~National ~~current~~Plaza ~~fiscal~~and ~~year to be in-line with interest expense incurred during~~ the ~~first three quarters of~~ ~~fiscal~~related ~~year 2018~~proceeds.

~~Income~~Liquidity ~~tax expense for the nine-month period ended June 30, 2018 decreased significantly compared to the same period for 2017 due to the Tax Cuts~~ and ~~Job Act being signed into~~Sources ~~law~~of ~~in December 2017.~~ Capital:

~~Liquidity~~The ~~and Sources~~Company's ratio of ~~Capital:~~current assets to current liabilities at December 31, 2018 was 167%. The ratio was 130% at September 30, 2018.

~~The~~Management ~~Company’s~~of ~~ratio~~the Company expects future liquidity needs of ~~current~~the ~~assets~~Company to ~~current~~be ~~liabilities~~funded atfrom ~~June~~rent revenues, 30refinancing, ~~2018~~and ~~was~~the ~~125%~~appreciation in investment properties (which can be sold or mortgaged, if necessary). ~~The~~See ~~ratio~~Note 8 for additional disclosures ~~was~~regarding ~~103%~~National atPlaza ~~September~~retail ~~30,~~strip ~~2017~~center.

~~Management~~Current ofmaturities ~~the~~of ~~Company~~notes ~~expects~~payable ~~future~~will ~~liquidity~~require ~~needs of~~ the Company to bemake ~~funded~~payments ~~from~~over ~~rent~~the next 12 months ~~revenues,~~totaling ~~refinancing~~$134,987. ~~and~~The ~~the~~Company ~~appreciation~~projects inthat ~~investment~~it ~~properties~~will ~~(which~~be ~~can~~able to fund the bepayment ~~sold~~of orits ~~mortgaged,~~current ifmaturities ~~necessary).~~of ~~See~~notes ~~Note~~payable 8through ~~for~~cash ~~additional~~flows ~~disclosures~~generated ~~regarding~~from ~~National~~its ~~Plaza~~operations ~~retail~~and ~~strip~~cash ~~center~~on hand, but there can be no assurance that this will occur.

~~Current~~- ~~maturities of~~13 notes payable will require the Company to make payments over the next 12 months totaling $402,632. The Company projects that it will be able to fund the payment of its current maturities of notes payable through cash flows generated from its operations and cash on hand, but there can be no assurance that this will occur. -

Cautionary Note Regarding Forward-~~12-~~Looking Statements:

~~Cautionary~~The ~~Note~~results ~~Regarding~~of operations ~~Forward~~for the three months ended December 31, 2018 are not necessarily indicative of the results that may be expected for the entire fiscal year. The Company may, from time to time, make written or oral forward-~~Looking~~looking statements, ~~Statements:~~including statements contained in the Company's filings with the Securities and Exchange Commission (the "Commission") and its reports to stockholders. Such forward-looking statements are made based on management's belief as well as assumptions made by, and information currently available to, management pursuant to "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The Company's actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, but not limited to, competition from other real estate companies, the ability of the Company to obtain financing for projects, and the continuing operations of tenants.

The results of operations for the nine months ended June 30, 2018 are not necessarily indicative of the results that may be expected for the entire fiscal year. The Company may, from time to time, make written or oral forward-looking statements, including statements contained in the Company’s filings with the Securities and Exchange Commission (the “Commission”) and its reports to stockholders. Such forward-looking statements are made based on management’s belief as well as assumptions made by, and information currently available to, management pursuant to “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company’s actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, but not limited to, competition from other real estate companies, the ability of the Company to obtain financing for projects, and the continuing operations of tenants.

Item 3. Quantitative and Qualitative Disclosures About Market Risks

Not applicable to smaller reporting companies.

Item 4. Controls and Procedures

(a) Within the 90 days prior to the filing date of this report, the Company carried out an evaluation, under the supervision and with the participation of the Company’'s management, including the Company’'s Chief Executive Officer, of the effectiveness of the design and operation of the Company’'s disclosure controls and procedures pursuant to Rules 13a-15(e) and 15d-15(e) under the Securities and Exchange Act of 1934. Based upon that evaluation, the Company’'s Chief Executive Officer concluded that the Company’'s disclosure controls and ~~procedures~~ procedures were ineffective.

(b) There were no significant changes in the Company’'s internal controls over financial reporting or in other factors that could significantly affect these controls subsequent to the date the Chief Executive Officer carried out the evaluation.

As of September 30, ~~2017~~2018, the Company’'s management evaluated the effectiveness of its internal control. Based on the evaluation, the Company’'s management concluded that the Company’'s internal control over financial reporting was ineffective as of September 30, ~~2017~~2018 and identified a material weakness related to the lack of segregation of duties, accounting personnel with the requisite knowledge of GAAP and the lack of written policies and procedures over financial reporting.

Notwithstanding the existence of this material weakness in our internal control over financial reporting, our management believes that the consolidated financial statements included in its reports fairly present in all material respects the Company’'s ~~financial~~ financial condition, results of operations and cash flows for the periods presented. There has been no change in the Company’'s internal control over ~~financial~~ financial reporting that occurred during the Company’'s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Company’'s internal control over financial reporting.

-13 14 -

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

None

Item 1A. Risk Factors

The Company, as a smaller reporting company, is not required to provide the information required by this item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None

Item 3. Defaults Upon Senior Securities

None

Item 4. Reserved for Future Use

Item 5. Other Information

Management of the Company notes that ~~Forms~~a Form 8-K ~~were~~was filed during the period ~~for~~to ~~the~~disclose ~~departure~~the ofpurchase ~~two members~~ of the ~~Board~~Bobby ofJones ~~Directors.~~Ground Lease. Management is not aware of ~~any~~ any un-reported matters occurring during the period that would require any additional disclosures in a Form 8-K.

Item 6. Exhibits

(a)	Exhibit No.	Description
	31.1	Certification Pursuant to Section 302 of Sarbanes-Oxley Act of 2002
	32.1	Certification Pursuant to Section 906 of Sarbanes-Oxley Act of 2002
	101	The following financial information from Security Land and Development Corporation’'s Quarterly Report on Form 10-Q for the quarter ended ~~June~~December 3031, 2018 is formatted in Extensible Business Reporting Language (XBRL): (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Income, (iii) the Condensed Consolidated Statements of Changes in Stockholders’' Equity, (iv) the Condensed Consolidated Statements of Cash Flows and (v) Notes to Consolidated Financial Statements.

-14 15 -

SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

SECURITY LAND AND DEVELOPMENT CORPORATION

(Registrant)

By:	/s/ T. Greenlee Flanagin	~~August~~February 918, ~~2018~~2019
	T. Greenlee Flanagin	Date
	President
	Chief Executive Officer and Chief Financial Officer

-15 16 -

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