Property and Equipment

9 Months Ended

Sep. 30, 2023

NOTE 3: PROPERTY AND EQUIPMENT

As of September 30, 2023 and December 31, 2022, the Company’s property and equipment consisted of the following:

	September 30, 2023			December 31, 2022
Land	$	4,743,526		$	4,743,526
Buildings		8,006,474			8,006,474
Machinery and equipment		9,949,028			8,443,047
Fixed assets in process		413,847			8,569,163
Leasehold improvements		7,725,469			1,193,771
FUV fleet		750,902			1,089,888
FUV rental fleet		1,949,037			2,646,379
Computer equipment and software		226,915			226,915
Vehicles		681,316			748,707
Furniture and fixtures		52,007			52,007
Total property and equipment		34,498,521			35,719,877
Less: Accumulated depreciation		(7,382,290	)		(5,897,083	)
Total	$	27,116,231		$	29,822,794

Fixed assets in process are primarily comprised of building improvements that have not yet been completed and machinery and equipment not yet placed into service. Completed assets are transferred to their respective asset class and depreciation begins when the asset is placed in service. FUV fleet consists of marketing and other non-revenue generating vehicles. FUV rental fleet consists of rental revenue generating vehicles.

Depreciation expense was approximately $629,000 and $2,010,000 during the three and nine months ended September 30, 2023 and $767,000 and $2,074,000 during the three and nine months ended September 30, 2022, respectively.

Arcimoto Inc 10-Q