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DOCUMENT AND ENTITY INFORMATION (USD $)
12 Months Ended
Jul. 31, 2017
Sep. 01, 2017
Jan. 31, 2017
Document And Entity Information [Abstract]
Entity Registrant Name MAYS J W INC
Entity Central Index Key 0000054187
Current Fiscal Year End Date --07-31
Entity Filer Category Smaller Reporting Company
Trading Symbol mays
Document Type 10-K
Amendment Flag false
Document Period End Date Jul 31, 2017
Document Fiscal Period Focus FY
Document Fiscal Year Focus 2017
Entity Well-Known Seasoned Issuer No
Entity Voluntary Filers No
Entity Current Reporting Status Yes
Entity Common Stock, Shares Outstanding 2,015,780
Entity Public Float $ 16,986,951
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CONSOLIDATED BALANCE SHEETS (USD $)
Jul. 31, 2017
Jul. 31, 2016
Property and Equipment-at cost (Notes 1, 3, 4, 15 and 16):
Buildings and improvements $ 80,825,601 $ 77,693,718
Improvements to leased property 1,478,012 1,478,012
Fixtures and equipment 144,545 144,545
Land 6,067,805 6,067,805
Other 193,015 195,478
Construction in progress 644,809 1,697,292
Property, Plant and Equipment, Gross 89,353,787 87,276,850
Less accumulated depreciation and amortization 39,868,698 38,212,113
Property and equipment-net 49,485,089 49,064,737
Current Assets:
Cash and cash equivalents (Notes 9 and 10) 5,381,195 5,228,826
Receivables (Notes 1, 6 and 10) 164,716 293,317
Income taxes refundable 6,891 17,004
Restricted cash 15,905   
Prepaid expenses 1,675,019 1,553,217
Total current assets 7,243,726 7,092,364
Other Assets:
Deferred charges (Notes 1 and 11) 3,465,062 3,348,031
Less accumulated amortization (Notes 1 and 11) 1,384,142 1,404,267
Net 2,080,920 1,943,764
Restricted cash 1,279,829 1,159,338
Unbilled receivables (Notes 1, 4, 6 and 10) 1,943,648 2,222,846
Marketable securities (Notes 1, 2, 10 and 14) 2,815,727 2,062,205
Total other assets 8,120,124 7,388,153
TOTAL ASSETS 64,848,939 63,545,254
Long-Term Liabilities:
Mortgage payable, net (Notes 3 and 10) 5,409,908 5,549,600
Security deposits payable (Note 10) 1,020,292 897,965
Payroll and other accrued liabilities (Notes 1, 5 and 7)    90,917
Deferred income taxes (Notes 1 and 4) 5,637,000 4,617,000
Total long-term liabilities 12,067,200 11,155,482
Current Liabilities:
Accounts payable 79,103 80,343
Payroll and other accrued liabilities (Notes 1, 5 and 7) 2,515,616 2,153,850
Deferred revenue (Note 15)    1,020,833
Other taxes payable 8,135 6,963
Note payable - related party (Notes 10 and 13)    1,000,000
Current portion of mortgage payable (Notes 3 and 10) 162,569 156,846
Current portion of security deposits payable (Note 10) 15,905   
Total current liabilities 2,781,328 4,418,835
Total liabilities 14,848,528 15,574,317
Shareholders' Equity:
Common stock, par value $1 each share (shares-5,000,000 authorized; 2,178,297 issued) 2,178,297 2,178,297
Additional paid in capital 3,346,245 3,346,245
Unrealized gain on available-for-sale securities - net of deferred taxes of $190,000 at July 31, 2017 and $136,000 at July 31, 2016 (Notes 1, 4, 10 and 14) 368,476 264,541
Retained earnings 45,395,245 43,469,706
Stockholders' Equity before Treasury Stock 51,288,263 49,258,789
Less common stock held in treasury, at cost - 162,517 shares at July 31, 2017 and July 31, 2016 (Note 12) 1,287,852 1,287,852
Total shareholders' equity 50,000,411 47,970,937
Commitments (Notes 5 and 6) and Contingencies (Notes 8 and 16)      
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 64,848,939 $ 63,545,254
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CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Common stock, par value $ 1 $ 1
Common stock, shares authorized 5,000,000 5,000,000
Common stock, shares issued 2,178,297 2,178,297
Treasury stock, shares 162,517 162,517
Unrealized Gain on Available-for-sale Securities - Net of Deferred Taxes [Member]
Unrealized gain (loss) on available-for-sale securities, deferred taxes (benefit) $ 190,000 $ 136,000
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CONSOLIDATED STATEMENTS OF INCOME AND RETAINED EARNINGS (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Revenues
Rental income (Notes 1 and 6) $ 18,517,602 $ 17,416,187 $ 17,732,485
Recovery of real estate taxes 10,952    10,625
Revenue to temporarily vacate lease (Note 15) 1,020,833 1,166,667 1,166,667
Total revenues 19,549,387 18,582,854 18,909,777
Expenses
Real estate operating expenses (Note 5) 10,212,761 10,080,913 9,658,282
Administrative and general expenses 4,616,086 4,333,589 4,311,456
Depreciation (Note 1) 1,682,690 1,635,660 1,695,454
(Gain) loss on disposition of property and equipment    (500) 27,648
Total expenses 16,511,537 16,049,662 15,692,840
Income before investment income, interest expense and income taxes 3,037,850 2,533,192 3,216,937
Investment income and interest expense:
Investment income (Notes 1 and 2) 94,627 25,949 51,218
Interest expense (Notes 3, 9 and 13) (225,938) (245,381) (346,473)
Total investment income and interest expense: (131,311) (219,432) (295,255)
Income before income taxes 2,906,539 2,313,760 2,921,682
Income taxes provided (Notes 1 and 4) 981,000 796,000 713,000
Net income 1,925,539 1,517,760 2,208,682
Retained earnings, beginning of year 43,469,706 41,951,946 39,743,264
Retained earnings, end of year $ 45,395,245 $ 43,469,706 $ 41,951,946
Income per common share (Note 1) $ 0.96 $ 0.75 $ 1.1
Dividends per share         
Average common shares outstanding (Note 1) 2,015,780 2,015,780 2,015,780
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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Statement of Comprehensive Income [Abstract]
Net income $ 1,925,539 $ 1,517,760 $ 2,208,682
Unrealized gain on available-for-sale securities:
Unrealized holding gains arising during the period net of taxes (benefit) of $68,000, $43,000 and ($6,000) for the fiscal years 2017, 2016 and 2015, respectively (Note 14) 130,776 85,515 66,621
Reclassification adjustment for net gains included in net income, net of taxes of $14,000 for the year ended July 31, 2017 and $8,000 for the year ended July 31, 2016 (Note 14) (26,841) (17,007)   
Unrealized gain on available-for-sale securities, net of taxes 103,935 68,508 66,621
Comprehensive income $ 2,029,474 $ 1,586,268 $ 2,275,303
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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Statement of Comprehensive Income [Abstract]
Unrealized holding gains arising during the period, tax $ 68,000 $ 43,000 $ (6,000)
Reclassification adjustment for net gains included in net income, tax $ 14,000 $ 8,000   
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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Cash Flows From Operating Activities:
Net income $ 1,925,539 $ 1,517,760 $ 2,208,682
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred income taxes 966,000 727,000 1,205,000
Deferred revenue (1,020,833) (1,166,667) (1,166,667)
Realized (gain) loss on sale of marketable securities (23,734) 36,999 (6,455)
(Gain) loss on disposition of property and equipment    (500) 27,648
Depreciation 1,682,690 1,635,660 1,695,454
Amortization of deferred charges 279,875 315,779 331,700
Deferred finance costs included in interest expense 22,877 22,872 19,870
Other assets - deferred charges (417,031) (63,105) (942,869)
- unbilled receivables 198,896 390,400 (56,503)
- unbilled receivable - bad debts 80,302      
- receivables    30,000 30,000
Changes in:
Receivables 128,601 345,326 (327,637)
Receivable to temporarily vacate lease       1,250,000
Prepaid expenses (121,802) (75,221) (94,002)
Income taxes refundable 10,113 678,261 (499,259)
Accounts payable (1,240) 40,584 (104,491)
Payroll and other accrued liabilities 270,849 (473,560) 543,840
Other taxes payable 1,172 991 (385)
Net cash provided by operating activities 3,982,274 3,962,579 4,113,926
Cash Flows From Investing Activities:
Acquisition of property and equipment (2,103,042) (2,508,505) (2,455,496)
Restricted cash (136,396) 252,626 28,791
Marketable securities:
Receipts from sales 282,435 314,008 344,271
Payments for purchases (854,288) (848,200) (384,486)
Net cash (used) by investing activities (2,811,291) (2,790,071) (2,466,920)
Cash Flows From Financing Activities:
Increase - security deposits payable 138,232 121,377 29,985
Borrowings - mortgage debt       652,274
Payments - mortgage and other debt payments (1,156,846) (150,763) (136,321)
Net cash provided (used) by financing activities (1,018,614) (29,386) 545,938
Net increase in cash and cash equivalents 152,369 1,143,122 2,192,944
Cash and cash equivalents at beginning of year 5,228,826 4,085,704 1,892,760
Cash and cash equivalents at end of year $ 5,381,195 $ 5,228,826 $ 4,085,704
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
12 Months Ended
Jul. 31, 2017
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

Organization

J.W. Mays, Inc. (the “Company” or “Registrant”) with executive offices at 9 Bond Street, Brooklyn, New York 11201, operates a number of commercial real estate properties in New York and one building in Ohio. The Company’s business was founded in 1924 and incorporated under the laws of the State of New York on July 6, 1927.

Consolidation

The consolidated financial statements include the accounts of the Company, a New York corporation and its subsidiaries (J. W. M. Realty Corp. and Dutchess Mall Sewage Plant, Inc.), which are wholly-owned. Material intercompany items have been eliminated in consolidation.

Accounting Records and Use of Estimates

The accounting records are maintained in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of the Company’s financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, the disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses during the reporting period. The estimates that we make include allowance for doubtful accounts, depreciation and amortization, income tax assets and liabilities, fair value of marketable securities, revenue recognition and accrued expenses. Estimates are based on historical experience where applicable or other assumptions that management believes are reasonable under the circumstances. Due to the inherent uncertainty involved in making estimates, actual results may differ from those estimates under different assumptions or conditions.

Restricted Cash

Restricted cash primarily consists of cash held in bank accounts for tenant security deposits and other amounts required under certain loan agreements.

Rental Income and Receivables

All of the real estate owned by the Company is held for leasing to tenants except for a small portion used for Company offices. Rent is recognized from tenants under executed leases no later than on an established date or on an earlier date if the tenant should commence conducting business. Unbilled receivables represent the excess of scheduled rental income recognized on a straight-line basis over rental income as it becomes receivable according to the provisions of the lease. Contingent rental income is recorded when earned and is not based on tenant revenue. The effect of lease modifications that result in rent relief or other credits to tenants, including any retroactive effects relating to prior periods, is recognized in the period when the lease modification is signed. At the time of the lease modification, we assess the realizability of any accrued but unpaid rent and amounts that had been recognized as revenue in prior periods. If the amounts are not determined to be realizable, the accrued but unpaid rent is written off. Accounts receivable are recognized in accordance with lease agreements at its net realizable value. Rental payments received in advance are deferred until earned.

Based upon its periodic assessment of the quality of the receivables, management, using its historical knowledge of the tenants and industry experience, determines whether a reserve or write-off is required. Management has determined that no allowance for uncollected receivables is considered necessary. The Company uses specific identification to write-off receivables to bad debt expense in the period when issues of collectability become known. Collectability issues include circumstances when a tenant indicates their intention to vacate the property without paying, or when tenant litigation or bankruptcy proceedings are not expected to result in full payment. Due to the early termination of a lease, the Company recorded a bad debt expense of $80,302 for the year ended July 31, 2017, which is included in administration and general expenses.

Property and Equipment

Property and equipment are stated at cost. Depreciation is calculated using the straight-line method and the declining-balance method. Amortization of improvements to leased property is calculated over the shorter of the life of the lease or the estimated useful life of the improvements. Lives used to determine depreciation and amortization are generally as follows:

Buildings and improvements       18-40 years
Improvements to leased property 3-40 years
Fixtures and equipment 7-12 years
Other 3-5 years

 

Maintenance, repairs, renewals and improvements of a non-permanent nature are charged to expense when incurred. Expenditures for additions and major renewals or improvements are capitalized along with the associated interest cost during construction. The cost of assets sold or retired and the accumulated depreciation or amortization thereon are eliminated from the respective accounts in the year of disposal, and the resulting gain or loss is credited or charged to income. Capitalized interest is recorded as part of the asset to which it relates and is amortized over the asset’s estimated useful life.

The Company reviews long-lived assets for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recovered. At July 31, 2017 and 2016, there were no impairments of its property and equipment.

Deferred Charges

Deferred charges consist principally of costs incurred in connection with the leasing of property to tenants. Such costs are amortized over the related lease periods, ranging from 1 to 21 years, using the straight-line method. If a lease is terminated early, such costs are expensed.

Income Taxes

Deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. Deferred tax assets result principally from the recording of certain accruals, reserves and net operating loss carry forward which currently are not deductible for tax purposes. Deferred tax liabilities result principally from temporary differences in the recognition of gains and losses from certain investments and from the use, for tax purposes, of accelerated depreciation. Deferred tax assets and liabilities are offset for each jurisdiction and are presented net on the balance sheet.

The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Actual income taxes could vary from these estimates due to future changes in income tax law or results from the final review of tax returns by federal, state or city tax authorities. Financial statement effects on tax positions are recognized in the period in which it is more likely than not that the position will be sustained upon examination, the position is effectively settled or when the statute of limitations to challenge the position has expired. Interest and penalties, if any, related to unrecognized tax benefits are recorded as interest expense and administrative and general expenses, respectively.

Income Per Share of Common Stock

Income per share has been computed by dividing net income for the year by the weighted average number of shares of common stock outstanding during the year, adjusted for the purchase of treasury stock. Shares used in computing income per share were 2,015,780 in fiscal years 2017, 2016 and 2015.

Marketable Securities

The Company categorizes marketable securities as either trading, available-for-sale or held-to-maturity at the time of purchase. Trading securities are carried at fair value with unrealized gains and losses included in income. Available-for-sale securities are carried at fair value measurements using quoted prices in active markets for identical assets or liabilities with unrealized gains and losses recorded as a separate component of shareholders’ equity. Held-to-maturity securities are carried at amortized cost. Dividends and interest income are accrued as earned. Realized gains and losses are determined on a specific identification basis. The Company reviews marketable securities for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recovered. The Company did not classify any securities as trading or held to maturity during the three years ended July 31, 2017.

The Company follows GAAP which establishes a fair value hierarchy that prioritizes the valuation techniques and creates the following three broad levels, with Level 1 valuation being the highest priority:

Level 1 valuation inputs are quoted market prices in active markets for identical assets or liabilities that are accessible at the measurement date (e.g., equity securities traded on the New York Stock Exchange).

Level 2 valuation inputs are from other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly (e.g., quoted market prices of similar assets or liabilities in active markets, or quoted market prices for identical or similar assets or liabilities in markets that are not active).

Level 3 valuation inputs are unobservable (e.g., an entity’s own data) and should be used to measure fair value to the extent that observable inputs are not available.

Following is a description of the valuation methodologies used for assets measured at fair value on a recurring basis. There have been no changes in the methodologies used at July 31, 2017 and 2016.

Equity securities are valued at the closing price reported on the active market on which the individual securities are traded that the Company has access to.

Mutual funds are valued at the daily closing price as reported by the fund. Mutual funds held by the Company are open-end mutual funds that are registered with the U.S. Securities and Exchange Commission. These funds are required to publish their daily net asset value (“NAV”) and to transact at that price. The mutual funds held by the Company are deemed to be actively traded.

In accordance with the provisions of Fair Value Measurements, the following are the Company’s financial assets measured on a recurring basis presented at fair value.

Fair value measurements at reporting date using
Description     July 31, 2017     Level 1     Level 2     Level 3     July 31, 2016     Level 1     Level 2     Level 3
Assets:        
Marketable securities - available-for-sale $ 2,815,727   $ 2,815,727      $–           $–      $ 2,062,205 $ 2,062,205      $–           $–     

Reclassifications:

The consolidated financial statements for prior years reflect certain reclassifications to conform with classifications adopted in 2017. These reclassifications have no effect on net income or loss as previously reported.

Recently issued accounting standards not yet adopted:

In May 2014, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” (“ASU 2014-09”) establishing ASC Topic 606 Revenue from Contracts with Customers. ASU 2014-09 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most of the existing revenue recognition guidance. ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services and also requires certain additional disclosures. ASU 2014-09 is effective for interim and Annual Reporting in fiscal years that begin after December 15, 2016. ASU 2015-14 extended the implementation date for fiscal years beginning after December 31, 2017. The adoption of this ASU on August 1, 2018 is not expected to have a significant impact on our consolidated financial statements.

Subsequent to the issuance of ASU 2014-09, the FASB issued ASU No. 2016-08, “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net)”, ASU No. 2016-10, “Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing”, ASU No. 2016-12, “Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients”, and ASU No. 2016-20, “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers.” The additional ASU’s clarified certain provisions of ASU 2014-09 in response to recommendations from the Transition Resource Group established by the FASB and have the same effective date and transition requirements as ASU 2014-09. The adoption of these updates on August 1, 2018 is not expected to have significant impact on our consolidated financial statements.

In January 2016, the FASB issued ASU No. 2016-01 “Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-01 amends certain aspects of recognition, measurement, presentation and disclosure of financial instruments, including the requirement to measure certain equity investments at fair value with changes in fair value recognized in net income. ASU No. 2016-01 will be effective for interim and annual periods beginning after December 15, 2017. The adoption of this ASU is not expected to have a significant impact on our balance sheet and statement of operations.

In February 2016, the FASB issued ASU 2016-02, “Leases.” ASU 2016-02 is intended to increase transparency and comparability among organizations of accounting for leasing arrangements. This guidance establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than twelve months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. Lessor accounting remains similar to the current model, but updated to align with certain changes to the lessee model and the new revenue recognition standard (ASU 2014-09). ASU 2016-02 offers specific accounting guidance for a lessee, a lessor and sale and leaseback transactions. Lessees and lessors are required to disclose qualitative and quantitative information about leasing arrangements to enable a user of the financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. Entities will be required to recognize and measure leases as of the earliest period presented using a modified retrospective approach. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The new standard will be effective for the Company for the fiscal year beginning August 1, 2019. Early adoption is permitted. The adoption of this guidance is expected to result in an increase in assets and liabilities on the Company’s balance sheet, with no material impact on the statement of operations. However, the ultimate impact of adopting this ASU will depend on the Company’s lease portfolio as of the adoption date.

In November 2016, the FASB issued ASU 2016-18, “Restricted Cash”. ASU 2016-18 requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Restricted cash and restricted cash equivalents will be included with cash and cash equivalents when reconciling the beginning of period and end of period balances on the statement of cash flows upon adoption of this standard. ASU 2016-18 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2017, with early adoption permitted.

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MARKETABLE SECURITIES
12 Months Ended
Jul. 31, 2017
Investments, Debt and Equity Securities [Abstract]
MARKETABLE SECURITIES

2. MARKETABLE SECURITIES:

As of July 31, 2017 and 2016, the Company’s marketable securities were classified as follows:

July 31, 2017 July 31, 2016
Gross Gross Gross Gross
Unrealized   Unrealized Fair Unrealized Unrealized Fair
     Cost      Gains      Losses      Value      Cost      Gains      Losses      Value
Non-current:                
Available-for-sale:
Mutual funds $ 716,463 $ 193,932 $ — $ 910,395 $ 551,573 $ 143,026 $ $ 694,599
Corporate equity securities 1,540,788 364,544 1,905,332 1,110,091 258,869 1,354 1,367,606
$ 2,257,251 $ 558,476 $ — $ 2,815,727 $ 1,661,664 $ 401,895 $ 1,354 $ 2,062,205

The Company’s debt and equity securities, gross unrealized losses and fair value, aggregated by investment category and length of time that the investment securities have been in a continuous unrealized loss position at July 31, 2017 and July 31, 2016 are as follows:

July 31, 2017 July 31, 2016
Less Than Less Than
      Fair Value       12 Months       Fair Value       12 Months
Corporate equity securities       $ —             $ —       $ 120,288     $ 1,354    
Mutual funds
$ — $ — $ 120,288 $ 1,354

Investment income for the years ended July 31, 2017, 2016 and 2015 consists of the following:

      2017       2016       2015
Interest income $ 13,176 $ 8,422 $ 3,097
Dividend income 57,717 54,526 41,666
Gain (loss) on sale of marketable securities 23,734 (36,999 ) 6,455
Total $ 94,627 $ 25,949 $ 51,218
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LONG-TERM DEBT - MORTGAGE
12 Months Ended
Jul. 31, 2017
LONG-TERM DEBT - MORTGAGES AND TERM LOAN [Abstract]
LONG-TERM DEBT - MORTGAGE

3. LONG-TERM DEBT—MORTGAGE:

July 31, 2017 July 31, 2016
Current
Annual Final Due Due Due Due
Interest Payment Within After Within After
      Rate       Date       One Year       One Year       One Year       One Year
Mortgage:
Bond St. building, Brooklyn, NY 3.54% 2/1/2020 $ 162,569 $ 5,467,110 $ 156,846 $ 5,629,679
Less: Deferred financing costs 57,202 80,079
Total $ 162,569 $ 5,409,908 $ 156,846 $ 5,549,600

On January 9, 2015, the Company refinanced its loan with a bank for $6,000,000, which included the outstanding balance as of January 2015 in the amount of $5,347,726 and an additional borrowing of $652,274. The loan is for a period of five years with a payment based on a twenty-five year amortization period. The interest rate for this period is fixed at 3.54% per annum. The mortgage loan is secured by the Bond Street building in Brooklyn, New York.

Maturities of long-term mortgage and term loan payable outstanding at July 31, 2017 are as follows: Years ending July 31, 2018 (included in current liabilities): $162,569; 2019: $168,500; and 2020: $5,298,610.

The carrying value of the property collateralizing the above debt is $22,308,859 at July 31, 2017.

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INCOME TAXES
12 Months Ended
Jul. 31, 2017
Income Tax Disclosure [Abstract]
INCOME TAXES

4. INCOME TAXES:

Income taxes provided for the years ended July 31, 2017, 2016 and 2015 consist of the following:

      2017       2016       2015
Current:
Federal $ 15,000 $ 69,000 $ (492,000 )
State and City
Deferred taxes:
Federal 966,000 727,000 1,570,000
State and City (365,000 )
Total provision $ 981,000 $ 796,000 $ 713,000

Taxes provided for the years ended July 31, 2017, 2016 and 2015 differ from amounts which would result from applying the federal statutory tax rate to pre-tax income, as follows:

      2017       2016       2015
Income before income taxes $ 2,906,539 $ 2,313,760 $ 2,921,682
Other-net 4,507 7,427 5,074
Adjusted pre-tax income $ 2,911,046 $ 2,321,187 $ 2,926,756
Statutory rate 34 % 34 % 34 %
Income tax provision at statutory rate $ 989,756 $ 789,204 $ 995,097
Federal tax assessment 41,175
State and City income taxes, net of federal income tax benefit
State and City deferred income taxes (365,000 )
Other-net (8,756 ) 6,796 41,728
Income tax provision $ 981,000 $ 796,000 $ 713,000

On September 13, 2013, the U.S. Department of the Treasury and the Internal Revenue Service released final income tax regulations on the deduction and capitalization of expenditures related to tangible property (“tangible property regulations”). The tangible property regulations clarify and expand sections 162(a) and 263(a) of the Internal Revenue Code (“IRC”), which relate to amounts paid to acquire, produce, or improve tangible property. Additionally, the tangible property regulations provided final guidance under IRC section 167 regarding accounting for and retirement of depreciable property and regulations under IRC section 168 relating to the accounting for property under the Modified Accelerated Cost Recovery System. The tangible property regulations affect all taxpayers that acquire, produce, or improve tangible property, and generally apply to taxable years beginning on or after January 1, 2014. The Company implemented the tangible property regulations as of August 1, 2014 with the filing of its federal tax return due October 15, 2015.

For the year ended July 31, 2015, after implementing the tangible property regulations, the Company incurred a federal net operating loss of approximately $8,191,000. The Company was able to carryback approximately $1,582,000, generating a federal income tax refund receivable of $537,881. The remaining federal net operating loss approximating $6,580,000 and $5,446,000 as of July 31, 2016 and July 31, 2017, respectively, is available to offset future taxable income. In addition, as of July 31, 2016 and 2017, the Company had state and city net operating loss carryforwards of approximately $10,107,000 and $8,274,000, respectively, available to offset future state and city taxable income. The net operating loss carryforwards will begin to expire, if not used, in 2035.

The Company’s federal tax returns have been audited through the year ended July 31, 2013 and the New York State and New York City tax returns have been audited through July 31, 2012.

Generally, tax returns filed are subject to audit for three years by the appropriate taxing jurisdictions. The statute of limitations in each of the state jurisdictions in which the Company operates remain open until the years are settled for federal income tax purposes, at which time amended state income tax returns reflecting all federal income tax adjustments are filed. As of July 31, 2017, there were no income tax audits in progress that would have a material impact on the consolidated financial statements.

Significant components of the Company’s deferred tax assets and liabilities as of July 31, 2017 and 2016 are a result of temporary differences related to the items described as follows:

2017 2016
Deferred Deferred Deferred Deferred
      Tax Assets       Tax Liabilities       Tax Assets       Tax Liabilities
Rental income received in advance $ 240,974    $    $ 158,199    $   
Net operating loss carryforward 1,851,535 2,235,743
Unbilled receivables 660,840 755,768
Property and equipment 7,347,278 6,950,048
Deferred revenue 347,083
Unrealized gain on marketable securities 189,882 136,184
Litigation deposit due from contractor 94,932 94,932
Other 373,559 389,043
$ 2,561,000 $ 8,198,000 $ 3,225,000 $ 7,842,000
Net deferred tax liability $ 5,637,000 $ 4,617,000

Management periodically assesses the realization of its net deferred tax assets by evaluating all available evidence, both positive and negative, associated with the Company and determining whether, based on the weight of that associated evidence, a valuation allowance for the deferred tax assets is needed. Based on this analysis, management has determined that it is more likely than not that future taxable income will be sufficient to fully utilize the federal deferred tax assets at July 31, 2017 and 2016.

New York State and New York City taxes for years through July 31, 2015 were calculated using the higher of taxes based on income or the respective capital-based franchise taxes. In April 2014, the New York State governor signed into law legislation overhauling the New York State franchise tax on corporations. The changes in the law were effective for the Company’s year ending July 31, 2016. The state capital-based tax will be phased out over a 7-year period. The Company anticipates New York State taxes will be based on capital through 2021, and New York City taxes will be based on capital for the foreseeable future. Capital based franchise taxes are recorded to administrative and general expense.

Due to the application of the capital-based tax while the net operating loss still applies, or due to the possible absence of State taxable income in the years beyond 2021 to which the State loss can be carried, the Company has not recorded the New York State or New York City tax benefit of its net operating loss carryforwards. Also, to reflect its expectation that reversal of temporary differences will not result in New York State or City tax based on income, as of July 31, 2016 the Company decreased the deferred tax asset, deferred tax liability, and deferred taxes on unrealized loss on available-for-sale securities by $380,000, $771,000 and $26,000, respectively, resulting in a State and City deferred tax benefit of $365,000.

Components of the deferred tax provision (benefit) for the years ended July 31, 2017, 2016 and 2015 consist of the following:

      2017       2016       2015
Tax depreciation exceeding book depreciation $ 397,273 $ 553,647 $ 3,897,397
Net operating loss carryforward 384,208 11,453 (2,247,196 )
Decrease (increase) of rental income received in advance (82,775 ) 44,298 (50,032 )
Increase (decrease) in unbilled receivables (94,927 ) (132,736 ) 19,211
Deferred revenue 347,083 396,667 (28,333 )
Litigation deposit due from contractor (94,932 )
Other 15,138 (51,397 ) (21,047 )
$ 966,000 $ 727,000 $ 1,570,000
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LEASES
12 Months Ended
Jul. 31, 2017
Leases [Abstract]
LEASES

5. LEASES:

The Company’s real estate operations encompass both owned and leased properties. The current leases on leased property, most of which have options to extend the terms, range from 4 years to 26 years. Certain of the leases provide for additional rentals under certain circumstances and obligate the Company for payments of real estate taxes and other expenses.

Rental expense for leased real property for each of the three fiscal years in the period ended July 31, 2017 was exceeded by sublease rental income, as follows:

      2017       2016       2015
Minimum rental expense $ 1,899,374 $ 1,726,528 $ 1,726,481
Contingent rental expense 833,641 825,695 777,637
2,733,015 2,552,223 2,504,118
Sublease rental income 6,750,325 6,341,145 6,566,297
Excess of sublease income over expense $ 4,017,310 $ 3,788,922 $ 4,062,179

Rent expense related to an affiliate principally owned by a director of the Company totaled $987,250 for fiscal year ended July 31, 2017, $836,813 for fiscal year ended 2016 and $825,000 for fiscal year ended 2015. The rent expense is derived from two leases which expire July 31, 2027 and April 30, 2031, respectively. Rent expense is recognized on a straight-line basis over the lives of the leases.

Future minimum non-cancelable rental commitments for operating leases with initial or remaining terms of one year or more are payable as follows:

Operating
Fiscal Year       Leases
2018   $ 1,729,074
2019 1,731,609
2020 1,731,609
2021 1,693,185
2022 1,577,914
After 2022 11,359,157
Total required* $ 19,822,548

*       Minimum payments have not been reduced by minimum sublease rentals of $34,770,374 under operating leases due in the future under non-cancelable leases.
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RENTAL INCOME
12 Months Ended
Jul. 31, 2017
RENTAL INCOME [Abstract]
RENTAL INCOME

6. RENTAL INCOME:

Rental income for each of the fiscal years 2017, 2016 and 2015 is as follows:

July 31,
      2017       2016       2015
Minimum rentals
Company owned property $ 11,144,902 $ 10,478,878 $ 10,609,834
Leased property 6,414,724 6,008,185 6,262,367
17,559,626 16,487,063 16,872,201
Contingent rentals
Company owned property 622,375 596,164 556,354
Leased property 335,601 332,960 303,930
957,976 929,124 860,284
Total $ 18,517,602 $ 17,416,187 $ 17,732,485

Future minimum non-cancelable rental income for leases with initial or remaining terms of one year or more is as follows:

Company
Owned Leased
Fiscal Year       Property       Property       Total
2018 $ 10,300,215 $ 5,667,144 $ 15,967,359
2019 8,254,168 4,972,576 13,226,744
2020 7,994,117 3,868,757 11,862,874
2021 7,625,285 3,014,815 10,640,100
2022 6,999,564 2,783,914 9,783,478
After 2022 59,509,226 14,463,168 73,972,394
Total $ 100,682,575 $ 34,770,374 $ 135,452,949

Rental income is recognized on a straight-line basis over the lives of the leases.

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PAYROLL AND OTHER ACCRUED LIABILITIES
12 Months Ended
Jul. 31, 2017
Payables and Accruals [Abstract]
PAYROLL AND OTHER ACCRUED LIABILITIES

7. PAYROLL AND OTHER ACCRUED LIABILITIES:

Payroll and other accrued liabilities for the fiscal years ended July 31, 2017 and 2016 consist of the following:

      2017       2016
Payroll $ 260,741 $ 231,701
Interest 17,161 23,889
Professional fees 145,000 160,000
Rents received in advance 708,747 465,290
Utilities 12,452 14,616
Brokers commissions 287,940 316,110
Construction costs 146,132 10,000
Other 937,443 1,023,161
Total 2,515,616 2,244,767
Less current portion 2,515,616 2,153,850
Long term portion $ $ 90,917
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EMPLOYEES' RETIREMENT PLANS
12 Months Ended
Jul. 31, 2017
Retirement Benefits [Abstract]
EMPLOYEES' RETIREMENT PLANS

8. EMPLOYEES’ RETIREMENT PLANS:

The Company sponsors a non-contributory Money Purchase Plan covering substantially all of its non-union employees. Operations were charged $399,651, $391,962, and $385,083, as contributions to the Plan for fiscal years 2017, 2016 and 2015, respectively.

MULTI-EMPLOYER PLAN:

The Company contributes to a union sponsored multi-employer pension plan covering its union employees. The Company contributions to the pension plan for the years ended July 31, 2017, 2016 and 2015 were $56,880, $53,405, and $45,782, respectively. Contributions and costs are determined in accordance with the provisions of negotiated labor contracts or terms of the plans. The Company also contributes to union sponsored health benefit plans.

Information as to the Company’s portion of accumulated plan benefits and plan assets is not reported separately by the pension plan. Under the Employee Retirement Income Security Act, upon withdrawal from a multi-employer benefit plan, an employer is required to continue to pay its proportionate share of the plan’s unfunded vested benefits, if any. Any liability under this provision cannot be determined: however, the Company has not made a decision to withdraw from the plan.

Information for contributing employer’s participation in the multi-employer plan:

Legal name of Plan:       United Food and Commercial Workers
Local 888 Pension Fund
Employer identification number: 13-6367793
Plan number: 001
Date of most recent Form 5500: December 31, 2015
Certified zone status: Critical Status
Status determination date: January 1, 2017
Plan used extended amortization provisions in status calculation: Yes
Minimum required contribution: Yes
Employer contributing greater than 5% of Plan contributions for year
ended December 31, 2015: Yes
Rehabilitation plan implemented: Yes
Employer subject to surcharge: Yes
Contract expiration date: November 30, 2019

For the plan years 2017-2019, under the pension fund’s rehabilitation plan, the Company agreed to pay a minimum contribution rate equal to 9.1% of the prior year total contribution rate. The Company has 30 employees and has a contract, expiring November 30, 2019, with a union covering rates of pay, hours of employment and other conditions of employment for approximately 23% of its employees. The Company considers that its labor relations with its employees and union are good.

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CASH FLOW INFORMATION
12 Months Ended
Jul. 31, 2017
Supplemental Cash Flow Elements [Abstract]
CASH FLOW INFORMATION

9. CASH FLOW INFORMATION:

For purposes of reporting cash flows, the Company considers cash equivalents to consist of short-term highly liquid investments with maturities of three months or less, which are readily convertible into cash.

Supplemental disclosures:

July 31,
      2017       2016       2015
Interest paid, net of capitalized interest of $20,360 (2017), $49,707 (2016) and $23,733 (2015) $ 209,789 $ 222,969 $ 329,653
Income taxes paid (refunded) $ 213,096 $ (367,755 ) $ 237,702
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FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS
12 Months Ended
Jul. 31, 2017
Fair Value Disclosures [Abstract]
FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS

10. FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS:

The following disclosure of estimated fair value was determined by the Company using available market information and appropriate valuation methods. Considerable judgment is necessary to develop estimates of fair value. The estimates presented herein are not necessarily indicative of the amounts that could be realized upon disposition of the financial instruments.

The Company estimates the fair value of its financial instruments using the following methods and assumptions: (i) quoted market prices, when available, are used to estimate the fair value of investments in marketable debt and equity securities; (ii) discounted cash flow analyses are used to estimate the fair value of long-term debt, using the Company’s estimate of current interest rates for similar debt; and (iii) carrying amounts in the balance sheet approximate fair value for cash and cash equivalents and tenant security deposits due to their high liquidity.

July 31, 2017 July 31, 2016
Carrying Fair Carrying Fair
      Value       Value       Value       Value
Cash and cash equivalents $ 5,381,195 $ 5,381,195 $ 5,228,826 $ 5,228,826
Marketable securities $ 2,815,727 $ 2,815,727 $ 2,062,205 $ 2,062,205
Restricted cash $ 1,295,734 $ 1,295,734 $ 1,159,338 $ 1,159,338
Security deposits payable $ 1,036,197 $ 1,036,197 $ 897,965 $ 897,965
Mortgage $ 5,629,679 $ 5,403,180 $ 6,786,525 $ 6,843,974

Financial instruments that are potentially subject to concentrations of credit risk consist principally of marketable securities, restricted cash, and cash and cash equivalents. Marketable securities, restricted cash, and cash and cash equivalents are placed with multiple financial institutions and instruments to minimize risk. No assurance can be made that such financial institutions and instruments will minimize all such risk.

The Company derived rental income from approximately fifty tenants during the years ended July 31, 2017 and the preceding two fiscal years.

As of July 31, 2017 three tenants accounted for approximately 66.7% of receivables and three tenants accounted for 71.6% of unbilled receivables. As of July 31, 2016 four tenants accounted for 68.0% of receivables and three tenants accounted for 71.6% of unbilled receivables. During the years ended July 31, 2017 three tenants accounted for 44.0% of total rental revenue and for the years ended July 31, 2016 and 2015 two tenants accounts for 34.7% and 33.1% of total rental revenue, respectively.

The Company has one irrevocable letter of credit totaling $230,000 at July 31, 2017 and 2016 provided by one tenant as a security deposit.

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DEFERRED CHARGES
12 Months Ended
Jul. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
DEFERRED CHARGES

11. DEFERRED CHARGES:

Deferred charges for the fiscal years ended July 31, 2017 and 2016 consist of the following:

July 31, 2017 July 31, 2016
Gross Gross
Carrying Accumulated Carrying Accumulated
      Amount       Amortization       Amount       Amortization
Leasing brokerage commissions $ 3,059,615 1,089,934 $ 2,942,583 $ 1,134,929
Professional fees for leasing 405,447 294,208 405,448 269,338
Total $ 3,465,062 $ 1,384,142 $ 3,348,031 $ 1,404,267

The aggregate amortization expense for the three years in the period ended July 31, 2017 was $279,875, $315,779, and $331,700, respectively.

The weighted average life of current year additions to deferred charges was 5 years.

The estimated aggregate amortization expense for each of the five succeeding fiscal years is as follows:

Fiscal Year       Amortization
2018     $ 305,729    
2019 $ 246,986
2020 $ 203,629
2021 $ 196,512
2022 $ 175,421
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CAPITALIZATION
12 Months Ended
Jul. 31, 2017
Stockholders' Equity Note [Abstract]
CAPITALIZATION

12. CAPITALIZATION:

The Company is capitalized entirely through common stock with identical voting rights and rights to liquidation. Treasury stock is recorded at cost and consists of 162,517 shares at July 31, 2017 and at July 31, 2016.

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NOTE PAYABLE
12 Months Ended
Jul. 31, 2017
Debt Disclosure [Abstract]
NOTE PAYABLE

13. NOTE PAYABLE:

On December 15, 2004, the Company borrowed $1,000,000 on an unsecured basis from a former director of the Company, who at the time was also a greater than 10% beneficial owner of the outstanding common stock of the Company. The former director passed away in November 2012 and the interest payments pursuant to the note were assigned to a trust provided for by the will of the deceased director. The constant quarterly payment of interest was $12,500 at an interest rate of 5% per annum. The Company paid this loan in full upon its maturity date of December 15, 2016. The interest paid for the year ended July 31, 2017 was $18,750 and for the years ended July 31, 2016 and 2015 it was $50,000 each year.

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ACCUMULATED OTHER COMPREHENSIVE INCOME
12 Months Ended
Jul. 31, 2017
ACCUMULATED OTHER COMPREHENSIVE INCOME [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME

14. ACCUMULATED OTHER COMPREHENSIVE INCOME:

The only component of accumulated other comprehensive income is unrealized gains (losses) on available-for-sale securities.

A summary of the changes in accumulated other comprehensive income for the fiscal years ended July 31, 2017, 2016, and 2015 is as follows:

Years Ended July 31,
      2017       2016       2015
Beginning balance, net of tax effect $      264,541 $      196,033 $      129,412
Other comprehensive income, net of tax effect:
Unrealized gains on available-for-sale securities 198,776 128,515 60,621
Tax effect (68,000 ) (43,000 ) 6,000
Unrealized gains on available-for-sale securities, net of tax effect 130,776 85,515 66,621
 
Amounts reclassified from accumulated other comprehensive income comprehensive income, net of tax effect:
Unrealized gain on available-for-sale securities reclassified (40,841 ) (25,007 )
Tax effect 14,000 8,000
Amount reclassified, net of tax effect (26,841 ) (17,007 )
Ending balance, net of tax effect $ 368,476 $ 264,541 $ 196,033

A summary of the line items in the Consolidated Statements of Income and Retained Earnings affected by the amounts reclassified from accumulated other comprehensive income is as follows:

       Details about accumulated other       Affected line item in the statement
comprehensive income components where net income is presented
------------------------------------------------------- -------------------------------------------------------
Other comprehensive income reclassified Investment income
Tax effect Income taxes provided
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ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
12 Months Ended
Jul. 31, 2017
ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT [Abstract]
ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT

15. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT:

On June 16, 2014, the Company entered into a Second Amendment of Lease (the “Amendment”) with 33 Bond St. LLC (“Bond”), its landlord, for certain truck bays and approximately 1,000 square feet located at the cellar level within a garage at Livingston and Bond Street (“Premises”). Pursuant to the Amendment, (1) a lease option for the Premises was exercised extending the lease until December 8, 2043, (2) the Company, simultaneously with the execution of the Amendment, vacated the Premises so that Bond may demolish the building in which the Premises is located in order to develop and construct a new building at the location, and (3) Bond agreed to redeliver to the Company possession of the reconfigured Premises after construction.

As consideration under the Amendment, Bond agreed to pay the Company a total of $3,500,000. Upon execution of the Amendment, the Company recorded $3,500,000 to deferred revenue to be amortized to revenue to temporarily vacate the premises over the expected vacate period of 36 months. Bond tendered $2,250,000 simultaneously with the execution of the Amendment, and the balance due of $1,250,000 on June 16, 2015 had been received by the Company. The Company anticipates re-occupying the premises in late 2017.

In connection with the Amendment, the parties also agreed to settle a pending lawsuit in the Supreme Court of the State of New York, Kings County, Index No. 50796/13 (the “Action”), in which the Company sought, among other things, a declaratory judgment that it validly renewed the lease for the Premises, and Bond sought, among other things, a declaratory judgment that the lease expired by its terms on December 8, 2013. Pursuant to a stipulation of settlement, filed on June 16, 2014, the Action, including all claims and counterclaims, has been discontinued with prejudice, without costs or attorneys’ fees to any party as against the other. The stipulation of settlement also contains general releases by both parties of all claims.

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CONTINGENCIES
12 Months Ended
Jul. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
CONTINGENCIES

16. CONTINGENCIES:

Due to defective workmanship and breach of contract, the Company continues to pursue damages and return in full of a $376,467 deposit paid a contractor when construction commenced to replace a roof and various other work on the Fishkill, New York building. Both the contractor and subcontractors have claimed the Company tortuously interfered with the construction contracts arguing for fees and costs which approximate $700,000. While the Company strongly disputes the claims, it is possible that the court may rule against the Company and may assess damages in amounts up to approximately $700,000. It is also possible that the court may rule in favor of the Company and that no damages would be awarded against the Company and the Company could obtain an order for the return of all or a portion of amounts previously paid. A charge to real estate operating expenses in the amount of $279,213 was recorded for the fiscal year ended July 31, 2016. Following initial court decisions, another $141,132 was charged to operating expenses on October 31, 2016 and this amount was ordered by the Court to be paid, plus interest, in a judgement dated September 14, 2017. The testimony phase of the trial has been completed and the parties await further decisions and orders of the court.

There are various other lawsuits and claims pending against the Company. It is the opinion of management that the resolution of these matters will not have a material adverse effect on the Company’s Consolidated Financial Statements.

If the Company sells, transfers, disposes of or demolishes 25 Elm Place, Brooklyn, New York, then the Company may be liable to create a condominium unit for the loading dock. The necessity of creating the condominium unit and the cost of such condominium unit cannot be determined at this time.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
12 Months Ended
Jul. 31, 2017
Accounting Policies [Abstract]
Organization

Organization

J.W. Mays, Inc. (the “Company” or “Registrant”) with executive offices at 9 Bond Street, Brooklyn, New York 11201, operates a number of commercial real estate properties in New York and one building in Ohio. The Company’s business was founded in 1924 and incorporated under the laws of the State of New York on July 6, 1927

Consolidation

Consolidation

The consolidated financial statements include the accounts of the Company, a New York corporation and its subsidiaries (J. W. M. Realty Corp. and Dutchess Mall Sewage Plant, Inc.), which are wholly-owned. Material intercompany items have been eliminated in consolidation.

Accounting Records and Use of Estimates

Accounting Records and Use of Estimates

The accounting records are maintained in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of the Company’s financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, the disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses during the reporting period. The estimates that we make include allowance for doubtful accounts, depreciation and amortization, income tax assets and liabilities, fair value of marketable securities, revenue recognition and accrued expenses. Estimates are based on historical experience where applicable or other assumptions that management believes are reasonable under the circumstances. Due to the inherent uncertainty involved in making estimates, actual results may differ from those estimates under different assumptions or conditions.

Restricted Cash

Restricted Cash

Restricted cash primarily consists of cash held in bank accounts for tenant security deposits and other amounts required under certain loan agreements.

Rental Income

Rental Income and Receivables

All of the real estate owned by the Company is held for leasing to tenants except for a small portion used for Company offices. Rent is recognized from tenants under executed leases no later than on an established date or on an earlier date if the tenant should commence conducting business. Unbilled receivables represent the excess of scheduled rental income recognized on a straight-line basis over rental income as it becomes receivable according to the provisions of the lease. Contingent rental income is recorded when earned and is not based on tenant revenue. The effect of lease modifications that result in rent relief or other credits to tenants, including any retroactive effects relating to prior periods, is recognized in the period when the lease modification is signed. At the time of the lease modification, we assess the realizability of any accrued but unpaid rent and amounts that had been recognized as revenue in prior periods. If the amounts are not determined to be realizable, the accrued but unpaid rent is written off. Accounts receivable are recognized in accordance with lease agreements at its net realizable value. Rental payments received in advance are deferred until earned.

Based upon its periodic assessment of the quality of the receivables, management, using its historical knowledge of the tenants and industry experience, determines whether a reserve or write-off is required. Management has determined that no allowance for uncollected receivables is considered necessary. The Company uses specific identification to write-off receivables to bad debt expense in the period when issues of collectability become known. Collectability issues include circumstances when a tenant indicates their intention to vacate the property without paying, or when tenant litigation or bankruptcy proceedings are not expected to result in full payment. Due to the early termination of a lease, the Company recorded a bad debt expense of $80,302 for the year ended July 31, 2017, which is included in administration and general expenses.

Property and Equipment

Property and Equipment

Property and equipment are stated at cost. Depreciation is calculated using the straight-line method and the declining-balance method. Amortization of improvements to leased property is calculated over the shorter of the life of the lease or the estimated useful life of the improvements. Lives used to determine depreciation and amortization are generally as follows:

Buildings and improvements       18-40 years
Improvements to leased property 3-40 years
Fixtures and equipment 7-12 years
Other 3-5 years

 

Maintenance, repairs, renewals and improvements of a non-permanent nature are charged to expense when incurred. Expenditures for additions and major renewals or improvements are capitalized along with the associated interest cost during construction. The cost of assets sold or retired and the accumulated depreciation or amortization thereon are eliminated from the respective accounts in the year of disposal, and the resulting gain or loss is credited or charged to income. Capitalized interest is recorded as part of the asset to which it relates and is amortized over the asset’s estimated useful life.

The Company reviews long-lived assets for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recovered. At July 31, 2017 and 2016, there were no impairments of its property and equipment.

Deferred Charges

Deferred Charges

Deferred charges consist principally of costs incurred in connection with the leasing of property to tenants. Such costs are amortized over the related lease periods, ranging from 1 to 21 years, using the straight-line method. If a lease is terminated early, such costs are expensed.

Income Taxes

Income Taxes

Deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. Deferred tax assets result principally from the recording of certain accruals, reserves and net operating loss carry forward which currently are not deductible for tax purposes. Deferred tax liabilities result principally from temporary differences in the recognition of gains and losses from certain investments and from the use, for tax purposes, of accelerated depreciation. Deferred tax assets and liabilities are offset for each jurisdiction and are presented net on the balance sheet.

The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Actual income taxes could vary from these estimates due to future changes in income tax law or results from the final review of tax returns by federal, state or city tax authorities. Financial statement effects on tax positions are recognized in the period in which it is more likely than not that the position will be sustained upon examination, the position is effectively settled or when the statute of limitations to challenge the position has expired. Interest and penalties, if any, related to unrecognized tax benefits are recorded as interest expense and administrative and general expenses, respectively.

Income Per Share of Common Stock

Income Per Share of Common Stock

Income per share has been computed by dividing net income for the year by the weighted average number of shares of common stock outstanding during the year, adjusted for the purchase of treasury stock. Shares used in computing income per share were 2,015,780 in fiscal years 2017, 2016 and 2015.

Marketable Securities

Marketable Securities

The Company categorizes marketable securities as either trading, available-for-sale or held-to-maturity at the time of purchase. Trading securities are carried at fair value with unrealized gains and losses included in income. Available-for-sale securities are carried at fair value measurements using quoted prices in active markets for identical assets or liabilities with unrealized gains and losses recorded as a separate component of shareholders’ equity. Held-to-maturity securities are carried at amortized cost. Dividends and interest income are accrued as earned. Realized gains and losses are determined on a specific identification basis. The Company reviews marketable securities for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recovered. The Company did not classify any securities as trading or held to maturity during the three years ended July 31, 2017.

The Company follows GAAP which establishes a fair value hierarchy that prioritizes the valuation techniques and creates the following three broad levels, with Level 1 valuation being the highest priority:

Level 1 valuation inputs are quoted market prices in active markets for identical assets or liabilities that are accessible at the measurement date (e.g., equity securities traded on the New York Stock Exchange).

Level 2 valuation inputs are from other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly (e.g., quoted market prices of similar assets or liabilities in active markets, or quoted market prices for identical or similar assets or liabilities in markets that are not active).

Level 3 valuation inputs are unobservable (e.g., an entity’s own data) and should be used to measure fair value to the extent that observable inputs are not available.

Following is a description of the valuation methodologies used for assets measured at fair value on a recurring basis. There have been no changes in the methodologies used at July 31, 2017 and 2016.

Equity securities are valued at the closing price reported on the active market on which the individual securities are traded that the Company has access to.

Mutual funds are valued at the daily closing price as reported by the fund. Mutual funds held by the Company are open-end mutual funds that are registered with the U.S. Securities and Exchange Commission. These funds are required to publish their daily net asset value (“NAV”) and to transact at that price. The mutual funds held by the Company are deemed to be actively traded.

In accordance with the provisions of Fair Value Measurements, the following are the Company’s financial assets measured on a recurring basis presented at fair value.

Fair value measurements at reporting date using
Description     July 31, 2017     Level 1     Level 2     Level 3     July 31, 2016     Level 1     Level 2     Level 3
Assets:        
Marketable securities - available-for-sale $ 2,815,727   $ 2,815,727      $–           $–      $ 2,062,205 $ 2,062,205      $–           $–
Equity securities

Equity securities are valued at the closing price reported on the active market on which the individual securities are traded that the Company has access to.

Mutual funds

Mutual funds are valued at the daily closing price as reported by the fund. Mutual funds held by the Company are open-end mutual funds that are registered with the U.S. Securities and Exchange Commission. These funds are required to publish their daily net asset value (“NAV”) and to transact at that price. The mutual funds held by the Company are deemed to be actively traded.

Reclassifications

Reclassifications:

The consolidated financial statements for prior years reflect certain reclassifications to conform with classifications adopted in 2017. These reclassifications have no effect on net income or loss as previously reported.

Implementation of new accounting standards:

Recently issued accounting standards not yet adopted:

In May 2014, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) 2014-09 “Revenue from Contracts with Customers” (“ASU 2014-09”) establishing ASC Topic 606 Revenue from Contracts with Customers. ASU 2014-09 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most of the existing revenue recognition guidance. ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services and also requires certain additional disclosures. ASU 2014-09 is effective for interim and Annual Reporting in fiscal years that begin after December 15, 2016. ASU 2015-14 extended the implementation date for fiscal years beginning after December 31, 2017. The adoption of this ASU on August 1, 2018 is not expected to have a significant impact on our consolidated financial statements.

Subsequent to the issuance of ASU 2014-09, the FASB issued ASU No. 2016-08, “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net)”, ASU No. 2016-10, “Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing”, ASU No. 2016-12, “Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients”, and ASU No. 2016-20, “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers.” The additional ASU’s clarified certain provisions of ASU 2014-09 in response to recommendations from the Transition Resource Group established by the FASB and have the same effective date and transition requirements as ASU 2014-09. The adoption of these updates on August 1, 2018 is not expected to have significant impact on our consolidated financial statements.

In January 2016, the FASB issued ASU No. 2016-01 “Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-01 amends certain aspects of recognition, measurement, presentation and disclosure of financial instruments, including the requirement to measure certain equity investments at fair value with changes in fair value recognized in net income. ASU No. 2016-01 will be effective for interim and annual periods beginning after December 15, 2017. The adoption of this ASU is not expected to have a significant impact on our balance sheet and statement of operations.

In February 2016, the FASB issued ASU 2016-02, “Leases.” ASU 2016-02 is intended to increase transparency and comparability among organizations of accounting for leasing arrangements. This guidance establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than twelve months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. Lessor accounting remains similar to the current model, but updated to align with certain changes to the lessee model and the new revenue recognition standard (ASU 2014-09). ASU 2016-02 offers specific accounting guidance for a lessee, a lessor and sale and leaseback transactions. Lessees and lessors are required to disclose qualitative and quantitative information about leasing arrangements to enable a user of the financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. Entities will be required to recognize and measure leases as of the earliest period presented using a modified retrospective approach. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The new standard will be effective for the Company for the fiscal year beginning August 1, 2019. Early adoption is permitted. The adoption of this guidance is expected to result in an increase in assets and liabilities on the Company’s balance sheet, with no material impact on the statement of operations. However, the ultimate impact of adopting this ASU will depend on the Company’s lease portfolio as of the adoption date.

In November 2016, the FASB issued ASU 2016-18, “Restricted Cash”. ASU 2016-18 requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Restricted cash and restricted cash equivalents will be included with cash and cash equivalents when reconciling the beginning of period and end of period balances on the statement of cash flows upon adoption of this standard. ASU 2016-18 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2017, with early adoption permitted.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
12 Months Ended
Jul. 31, 2017
Accounting Policies [Abstract]
Schedule of property and equipment depreciation and amortization period

Amortization of improvements to leased property is calculated over the shorter of the life of the lease or the estimated useful life of the improvements. Lives used to determine depreciation and amortization are generally as follows:

Buildings and improvements       18-40 years
Improvements to leased property 3-40 years
Fixtures and equipment 7-12 years
Other 3-5 years
Schedule of investments measured at fair value

In accordance with the provisions of Fair Value Measurements, the following are the Company’s financial assets measured on a recurring basis presented at fair value.

Fair value measurements at reporting date using
Description     July 31, 2017     Level 1     Level 2     Level 3     July 31, 2016     Level 1     Level 2     Level 3
Assets:        
Marketable securities - available-for-sale $ 2,815,727   $ 2,815,727      $–           $–      $ 2,062,205 $ 2,062,205      $–           $–     
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MARKETABLE SECURITIES (Tables)
12 Months Ended
Jul. 31, 2017
Investments, Debt and Equity Securities [Abstract]
Schedule of classified marketable securities

As of July 31, 2017 and 2016, the Company’s marketable securities were classified as follows:

July 31, 2017 July 31, 2016
Gross Gross Gross Gross
Unrealized   Unrealized Fair Unrealized Unrealized Fair
     Cost      Gains      Losses      Value      Cost      Gains      Losses      Value
Non-current:                
Available-for-sale:
Mutual funds $ 716,463 $ 193,932 $ — $ 910,395 $ 551,573 $ 143,026 $ $ 694,599
Corporate equity securities 1,540,788 364,544 1,905,332 1,110,091 258,869 1,354 1,367,606
$ 2,257,251 $ 558,476 $ — $ 2,815,727 $ 1,661,664 $ 401,895 $ 1,354 $ 2,062,205
Schedule of debt and equity securities, gross unrealized losses and fair value, aggregated by investment category and length of time that the investment securities have been in a continuous unrealized loss position
$ 2,257,251 $ 558,476 $ — $ 2,815,727 $ 1,661,664 $ 401,895 $ 1,354 $ 2,062,205

The Company’s debt and equity securities, gross unrealized losses and fair value, aggregated by investment category and length of time that the investment securities have been in a continuous unrealized loss position at July 31, 2017 and July 31, 2016 are as follows:

July 31, 2017 July 31, 2016
Less Than Less Than
      Fair Value       12 Months       Fair Value       12 Months
Corporate equity securities       $ —             $ —       $ 120,288     $ 1,354    
Mutual funds
$ — $ — $ 120,288 $ 1,354
Schedule of investment income

Investment income for the years ended July 31, 2017, 2016 and 2015 consists of the following:

      2017       2016       2015
Interest income $ 13,176 $ 8,422 $ 3,097
Dividend income 57,717 54,526 41,666
Gain (loss) on sale of marketable securities 23,734 (36,999 ) 6,455
Total $ 94,627 $ 25,949 $ 51,218
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LONG-TERM DEBT - MORTGAGE (Tables)
12 Months Ended
Jul. 31, 2017
LONG-TERM DEBT - MORTGAGES AND TERM LOAN [Abstract]
Schedule of long-term debt
July 31, 2017 July 31, 2016
Current
Annual Final Due Due Due Due
Interest Payment Within After Within After
      Rate       Date       One Year       One Year       One Year       One Year
Mortgage:
Bond St. building, Brooklyn, NY 3.54% 2/1/2020 $ 162,569 $ 5,467,110 $ 156,846 $ 5,629,679
Less: Deferred financing costs 57,202 80,079
Total $ 162,569 $ 5,409,908 $ 156,846 $ 5,549,600
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INCOME TAXES (Tables)
12 Months Ended
Jul. 31, 2017
Income Tax Disclosure [Abstract]
Schedule of income tax expense

Income taxes provided for the years ended July 31, 2017, 2016 and 2015 consist of the following:

      2017       2016       2015
Current:
Federal $ 15,000 $ 69,000 $ (492,000 )
State and City
Deferred taxes:
Federal 966,000 727,000 1,570,000
State and City (365,000 )
Total provision $ 981,000 $ 796,000 $ 713,000
Schedule of effective income tax rate reconciliation

Taxes provided for the years ended July 31, 2017, 2016 and 2015 differ from amounts which would result from applying the federal statutory tax rate to pre-tax income, as follows:

      2017       2016       2015
Income before income taxes $ 2,906,539 $ 2,313,760 $ 2,921,682
Other-net 4,507 7,427 5,074
Adjusted pre-tax income $ 2,911,046 $ 2,321,187 $ 2,926,756
Statutory rate 34 % 34 % 34 %
Income tax provision at statutory rate $ 989,756 $ 789,204 $ 995,097
Federal tax assessment 41,175
State and City income taxes, net of federal income tax benefit
State and City deferred income taxes (365,000 )
Other-net (8,756 ) 6,796 41,728
Income tax provision $ 981,000 $ 796,000 $ 713,000

 

Schedule of deferred tax assets and liabilities

Significant components of the Company’s deferred tax assets and liabilities as of July 31, 2017 and 2016 are a result of temporary differences related to the items described as follows:

2017 2016
Deferred Deferred Deferred Deferred
      Tax Assets       Tax Liabilities       Tax Assets       Tax Liabilities
Rental income received in advance $ 240,974    $    $ 158,199    $   
Net operating loss carryforward 1,851,535 2,235,743
Unbilled receivables 660,840 755,768
Property and equipment 7,347,278 6,950,048
Deferred revenue 347,083
Unrealized gain on marketable securities 189,882 136,184
Litigation deposit due from contractor 94,932 94,932
Other 373,559 389,043
$ 2,561,000 $ 8,198,000 $ 3,225,000 $ 7,842,000
Net deferred tax liability $ 5,637,000 $ 4,617,000
Components of deferred tax provision (benefit)

Components of the deferred tax provision (benefit) for the years ended July 31, 2017, 2016 and 2015 consist of the following:

      2017       2016       2015
Tax depreciation exceeding book depreciation $ 397,273 $ 553,647 $ 3,897,397
Net operating loss carryforward 384,208 11,453 (2,247,196 )
Decrease (increase) of rental income received in advance (82,775 ) 44,298 (50,032 )
Increase (decrease) in unbilled receivables (94,927 ) (132,736 ) 19,211
Deferred revenue 347,083 396,667 (28,333 )
Litigation deposit due from contractor (94,932 )
Other 15,138 (51,397 ) (21,047 )
$ 966,000 $ 727,000 $ 1,570,000
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LEASES (Tables)
12 Months Ended
Jul. 31, 2017
Leases [Abstract]
Schedule of rental expense

Rental expense for leased real property for each of the three fiscal years in the period ended July 31, 2017 was exceeded by sublease rental income, as follows:

      2017       2016       2015
Minimum rental expense $ 1,899,374 $ 1,726,528 $ 1,726,481
Contingent rental expense 833,641 825,695 777,637
2,733,015 2,552,223 2,504,118
Sublease rental income 6,750,325 6,341,145 6,566,297
Excess of sublease income over expense $ 4,017,310 $ 3,788,922 $ 4,062,179
Schedule of future minimum non-cancelable rental commitments

Future minimum non-cancelable rental commitments for operating leases with initial or remaining terms of one year or more are payable as follows:

Operating
Fiscal Year       Leases
2018   $ 1,729,074
2019 1,731,609
2020 1,731,609
2021 1,693,185
2022 1,577,914
After 2022 11,359,157
Total required* $ 19,822,548
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RENTAL INCOME (Tables)
12 Months Ended
Jul. 31, 2017
RENTAL INCOME [Abstract]
Schedule of rental income

Rental income for each of the fiscal years 2017, 2016 and 2015 is as follows:

July 31,
      2017       2016       2015
Minimum rentals
Company owned property $ 11,144,902 $ 10,478,878 $ 10,609,834
Leased property 6,414,724 6,008,185 6,262,367
17,559,626 16,487,063 16,872,201
Contingent rentals
Company owned property 622,375 596,164 556,354
Leased property 335,601 332,960 303,930
957,976 929,124 860,284
Total $ 18,517,602 $ 17,416,187 $ 17,732,485
Schedule of future minimum non-cancelable rental income

Future minimum non-cancelable rental income for leases with initial or remaining terms of one year or more is as follows:

Company
Owned Leased
Fiscal Year       Property       Property       Total
2018 $ 10,300,215 $ 5,667,144 $ 15,967,359
2019 8,254,168 4,972,576 13,226,744
2020 7,994,117 3,868,757 11,862,874
2021 7,625,285 3,014,815 10,640,100
2022 6,999,564 2,783,914 9,783,478
After 2022 59,509,226 14,463,168 73,972,394
Total $ 100,682,575 $ 34,770,374 $ 135,452,949
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PAYROLL AND OTHER ACCRUED LIABILITIES (Tables)
12 Months Ended
Jul. 31, 2017
Payables and Accruals [Abstract]
Schedule of payroll and other accrued liabilities

Payroll and other accrued liabilities for the fiscal years ended July 31, 2017 and 2016 consist of the following:

      2017       2016
Payroll $ 260,741 $ 231,701
Interest 17,161 23,889
Professional fees 145,000 160,000
Rents received in advance 708,747 465,290
Utilities 12,452 14,616
Brokers commissions 287,940 316,110
Construction costs 146,132 10,000
Other 937,443 1,023,161
Total 2,515,616 2,244,767
Less current portion 2,515,616 2,153,850
Long term portion $ $ 90,917
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CASH FLOW INFORMATION (Tables)
12 Months Ended
Jul. 31, 2017
Supplemental Cash Flow Elements [Abstract]
Schedule of cash flow information

Supplemental disclosures:

July 31,
      2017       2016       2015
Interest paid, net of capitalized interest of $20,360 (2017), $49,707 (2016) and $23,733 (2015) $ 209,789 $ 222,969 $ 329,653
Income taxes paid (refunded) $ 213,096 $ (367,755 ) $ 237,702
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FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS (Tables)
12 Months Ended
Jul. 31, 2017
Fair Value Disclosures [Abstract]
Schedule of fair value of financial instruments
July 31, 2017 July 31, 2016
Carrying Fair Carrying Fair
      Value       Value       Value       Value
Cash and cash equivalents $ 5,381,195 $ 5,381,195 $ 5,228,826 $ 5,228,826
Marketable securities $ 2,815,727 $ 2,815,727 $ 2,062,205 $ 2,062,205
Restricted cash $ 1,295,734 $ 1,295,734 $ 1,159,338 $ 1,159,338
Security deposits payable $ 1,036,197 $ 1,036,197 $ 897,965 $ 897,965
Mortgage $ 5,629,679 $ 5,403,180 $ 6,786,525 $ 6,843,974
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DEFERRED CHARGES (Tables)
12 Months Ended
Jul. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of deferred charges

Deferred charges for the fiscal years ended July 31, 2017 and 2016 consist of the following:

July 31, 2017 July 31, 2016
Gross Gross
Carrying Accumulated Carrying Accumulated
      Amount       Amortization       Amount       Amortization
Leasing brokerage commissions $ 3,059,615 1,089,934 $ 2,942,583 $ 1,134,929
Professional fees for leasing 405,447 294,208 405,448 269,338
Total $ 3,465,062 $ 1,384,142 $ 3,348,031 $ 1,404,267
Schedule of estimated aggregate amortization expense

The estimated aggregate amortization expense for each of the five succeeding fiscal years is as follows:

Fiscal Year       Amortization
2018     $ 305,729    
2019 $ 246,986
2020 $ 203,629
2021 $ 196,512
2022 $ 175,421
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ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)
12 Months Ended
Jul. 31, 2017
ACCUMULATED OTHER COMPREHENSIVE INCOME [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)

A summary of the changes in accumulated other comprehensive income for the fiscal years ended July 31, 2017, 2016, and 2015 is as follows:

Years Ended July 31,
      2017       2016       2015
Beginning balance, net of tax effect $      264,541 $      196,033 $      129,412
Other comprehensive income, net of tax effect:
Unrealized gains on available-for-sale securities 198,776 128,515 60,621
Tax effect (68,000 ) (43,000 ) 6,000
Unrealized gains on available-for-sale securities, net of tax effect 130,776 85,515 66,621
 
Amounts reclassified from accumulated other comprehensive income comprehensive income, net of tax effect:
Unrealized gain on available-for-sale securities reclassified (40,841 ) (25,007 )
Tax effect 14,000 8,000
Amount reclassified, net of tax effect (26,841 ) (17,007 )
Ending balance, net of tax effect $ 368,476 $ 264,541 $ 196,033
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Bad debt expense $ 80,302      
Weighted average number of shares outstanding, basic (in shares) 2,015,780 2,015,780 2,015,780
Minimum [Member]
Deferred charges amortization period 1 year
Maximum [Member]
Deferred charges amortization period 21 years
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of property and equipment depreciation and amortization period) (Details)
12 Months Ended
Jul. 31, 2017
Buildings and improvements [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful life 18 years
Buildings and improvements [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful life 40 years
Improvements to leased property [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful life 3 years
Improvements to leased property [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful life 40 years
Fixtures and equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful life 7 years
Fixtures and equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful life 12 years
Other [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful life 3 years
Other [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful life 5 years
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of financial assets measured at fair value on recurring basis) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Marketable securities -
available-for-sale $ 2,815,727 $ 2,062,205
Fair Value, Inputs, Level 1 [Member]
Marketable securities -
available-for-sale 2,815,727 2,062,205
Fair Value, Inputs, Level 2 [Member]
Marketable securities -
available-for-sale      
Fair Value, Inputs, Level 3 [Member]
Marketable securities -
available-for-sale      
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MARKETABLE SECURITIES (Schedule of classified marketable securities) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Fair Value $ 2,815,727 $ 2,062,205
Noncurrent [Member]
Cost 2,257,251 1,661,664
Gross Unrealized Gains 558,476 401,895
Gross Unrealized Losses    1,354
Fair Value 2,815,727 2,062,205
Noncurrent [Member] | Mutual Funds [Member]
Cost 716,463 551,573
Gross Unrealized Gains 193,932 143,026
Gross Unrealized Losses      
Fair Value 910,395 694,599
Noncurrent [Member] | Corporate Equity Securities [Member]
Cost 1,540,788 1,110,091
Gross Unrealized Gains 364,544 258,869
Gross Unrealized Losses    1,354
Fair Value $ 1,905,332 $ 1,367,606
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Marketable Securities (Schedule of Investment Securities In Continuous Unrealized Loss Position) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Investment securities, continuous unrealized loss position, Fair Value    $ 120,288
Investment securities, continuous unrealized loss position, Less Than 12 Months    1,354
Corporate Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Investment securities, continuous unrealized loss position, Fair Value    120,288
Investment securities, continuous unrealized loss position, Less Than 12 Months    1,354
Mutual Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Investment securities, continuous unrealized loss position, Fair Value      
Investment securities, continuous unrealized loss position, Less Than 12 Months      
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MARKETABLE SECURITIES (Schedule of investment income) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Investments, Debt and Equity Securities [Abstract]
Interest income $ 13,176 $ 8,422 $ 3,097
Dividend income 57,717 54,526 41,666
Gain (loss) on sale of marketable securities 23,734 (36,999) 6,455
Total $ 94,627 $ 25,949 $ 51,218
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LONG-TERM DEBT - MORTGAGE (Schedule of long-term debt) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jan. 09, 2015
Less: Deferred financing costs
Due After One Year, Total $ 5,409,908 $ 5,549,600
Bond St. Building Brooklyn, NY Two [Member]
Mortgage:
Due Within One Year 162,569 156,846
Due After One Year 5,467,110 5,629,679
Less: Deferred financing costs
Due Within One Year      
Due After One Year 57,202 80,079
Due Within One Year, Total 162,569 156,846
Due After One Year, Total $ 5,409,908 $ 5,549,600
Current Annual Interest Rate 3.54% 3.54% 3.54%
Final Payment Date Feb 1, 2020
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LONG-TERM DEBT - MORTGAGE (Narrative) (Details) (USD $)
0 Months Ended
Jan. 09, 2015
Jul. 31, 2017
Jul. 31, 2016
Debt maturing in 2018 162,569
Debt maturing in 2019 168,500
Debt maturing in 2020 5,298,610
Carrying value of properties collateralizing debt 22,308,859
Bond St. Building Brooklyn, NY Two [Member]
Closed bank liabilities 6,000,000
Additional loans 652,274
Amount outstanding $ 5,347,726
Term of loan 5 years
Amortization period of loan 25 years
Interest rate, percent 3.54% 3.54% 3.54%
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INCOME TAXES (Schedule of income tax expense) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Current:
Federal $ 15,000 $ 69,000 $ (492,000)
State and City         
Deferred:
Federal 966,000 727,000 1,570,000
State and City       (365,000)
Income tax provision $ 981,000 $ 796,000 $ 713,000
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INCOME TAXES (Schedule of effective income tax rate reconciliation) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Income Tax Disclosure [Abstract]
Income before income taxes $ 2,906,539 $ 2,313,760 $ 2,921,682
Other-net 4,507 7,427 5,074
Adjusted pre-tax income 2,911,046 2,321,187 2,926,756
Statutory rate 34.00% 34.00% 34.00%
Income tax provision at statutory rate 989,756 789,204 995,097
Federal tax assessment       41,175
State and City income taxes, net of federal income tax benefit         
State and City deferred income taxes       (365,000)
Other-net (8,756) 6,796 41,728
Income tax provision $ 981,000 $ 796,000 $ 713,000
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INCOME TAXES (Narrative) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Operating Loss Carryforwards [Line Items]
Federal net operating loss incurred $ 8,191,000
Federal net operating loss carryback 1,582,000
Federal income tax refund receivable 537,881
Period over which state capital-based tax will be phased out 7 years
Increase in deferred tax asset 380,000
Increase in deferred tax liabilities 771,000
Deferred taxes unrealized gain (loss) on available-for-sale securities 26,000
Current federal income tax provision benefit 365,000
State and Local Jurisdiction [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards 8,274,000 10,107,000
Domestic Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards $ 5,446,000 $ 6,580,000
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INCOME TAXES (Schedule of deferred tax assets and liabilities) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Deferred Tax Assets
Rental income received in advance $ 240,974 $ 158,199
Net operating loss carryforward 1,851,535 2,235,743
Deferred revenue    347,083
Litigation deposit due from contractor 94,932 94,932
Other 373,559 389,043
Total 2,561,000 3,225,000
Deferred Tax Liabilities
Unbilled receivables 660,840 755,768
Property and equipment 7,347,278 6,950,048
Unrealized gain on marketable securities 189,882 136,184
Total 8,198,000 7,842,000
Net deferred tax liability $ 5,637,000 $ 4,617,000
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INCOME TAXES (Components of deferred tax provision (benefit)) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Deferred tax provision (benefit) $ 966,000 $ 727,000 $ 1,570,000
Tax Depreciation Exceeding Book Depreciation [Member]
Deferred tax provision (benefit) 397,273 553,647 3,897,397
Net Operating Loss Carryforward [Member]
Deferred tax provision (benefit) 384,208 11,453 (2,247,196)
Decrease (Increase) of Rental Income Received in Advance [Member]
Deferred tax provision (benefit) (82,775) 44,298 (50,032)
Increase (Decrease) In Unbilled Receivables [Member]
Deferred tax provision (benefit) (94,927) (132,736) 19,211
Deferred Revenue [Member]
Deferred tax provision (benefit) 347,083 396,667 (28,333)
Litigation Deposit Due From Contractor [Member]
Deferred tax provision (benefit)    (94,932)   
Other Deferred Income Tax Expense [Member]
Deferred tax provision (benefit) $ 15,138 $ (51,397) $ (21,047)
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LEASES (Schedule of rental expense) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Leases [Abstract]
Minimum rental expense $ 1,899,374 $ 1,726,528 $ 1,726,481
Contingent rental expense 833,641 825,695 777,637
Operating leases rent expense minimum and contingent rentals 2,733,015 2,552,223 2,504,118
Sublease rental income 6,750,325 6,341,145 6,566,297
Excess of sublease income over expense $ 4,017,310 $ 3,788,922 $ 4,062,179
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LEASES (Narrative) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Operating Leased Assets [Line Items]
Rent expense $ 987,250 $ 836,813 $ 825,000
Minimum sublease rentals $ 34,770,374
Minimum [Member]
Operating Leased Assets [Line Items]
Operating leases extended period 4 years
Maximum [Member]
Operating Leased Assets [Line Items]
Operating leases extended period 26 years
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LEASES (Schedule of future minimum non-cancelable rental commitments) (Details) (USD $)
Jul. 31, 2017
Leases [Abstract]
2018 $ 1,729,074
2019 1,731,609
2020 1,731,609
2021 1,693,185
2022 1,577,914
After 2022 11,359,157
Total required $ 19,822,548 [1]
[1] Minimum payments have not been reduced by minimum sublease rentals of $34,770,374 under operating leases due in the future under non-cancelable leases.
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RENTAL INCOME (Schedule of rental income) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Minimum rentals $ 17,559,626 $ 16,487,063 $ 16,872,201
Contingent rentals 957,976 929,124 860,284
Total 18,517,602 17,416,187 17,732,485
Company Owned Property [Member]
Minimum rentals 11,144,902 10,478,878 10,609,834
Contingent rentals 622,375 596,164 556,354
Leased Property [Member]
Minimum rentals 6,414,724 6,008,185 6,262,367
Contingent rentals $ 335,601 $ 332,960 $ 303,930
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RENTAL INCOME (Schedule of future minimum non-cancelable rental income) (Details) (USD $)
Jul. 31, 2017
2018 $ 15,967,359
2019 13,226,744
2020 11,862,874
2021 10,640,100
2022 9,783,478
After 2022 73,972,394
Total 135,452,949
Company Owned Property [Member]
2018 10,300,215
2019 8,254,168
2020 7,994,117
2021 7,625,285
2022 6,999,564
After 2022 59,509,226
Total 100,682,575
Leased Property [Member]
2018 5,667,144
2019 4,972,576
2020 3,868,757
2021 3,014,815
2022 2,783,914
After 2022 14,463,168
Total $ 34,770,374
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PAYROLL AND OTHER ACCRUED LIABILITIES (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Payables and Accruals [Abstract]
Payroll $ 260,741 $ 231,701
Interest 17,161 23,889
Professional fees 145,000 160,000
Rents received in advance 708,747 465,290
Utilities 12,452 14,616
Brokers commissions 287,940 316,110
Construction costs 146,132 10,000
Other 937,443 1,023,161
Total 2,515,616 2,244,767
Less current portion 2,515,616 2,153,850
Long term portion    $ 90,917
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EMPLOYEES' RETIREMENT PLANS (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Retirement Benefits [Abstract]
Pension contributions $ 399,651 $ 391,962 $ 385,083
Employer contributions $ 56,880 $ 53,405 $ 45,782
Minimum contribution rate 9.10%
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CASH FLOW INFORMATION (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Supplemental Cash Flow Elements [Abstract]
Interest paid, net of capitalized interest of $20,360 (2017), $49,707 (2016) and $23,733 (2015) $ 209,789 $ 222,969 $ 329,653
Income taxes paid (refunded) 213,096 (367,755) 237,702
Capitalized interest $ 20,360 $ 49,707 $ 23,733
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FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS (Schedule of fair value of financial instruments) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities $ 2,815,727 $ 2,062,205
Restricted cash 1,279,829 1,159,338
Carrying Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents 5,381,195 5,228,826
Marketable securities 2,815,727 2,062,205
Restricted cash 1,295,734 1,159,338
Security deposits payable 1,036,197 897,965
Mortgage 5,629,679 6,786,525
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents 5,381,195 5,228,826
Marketable securities 2,815,727 2,062,205
Restricted cash 1,295,734 1,159,338
Security deposits payable 1,036,197 897,965
Mortgage $ 5,403,180 $ 6,843,974
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FINANCIAL INSTRUMENTS AND CREDIT RISK CONCENTRATIONS (Narrative) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
tenants
Jul. 31, 2016
Jul. 31, 2017
Three Customers [Member]
Accounts Receivable [Member]
Jul. 31, 2017
Three Customers [Member]
Unbilled Receivables [Member]
Jul. 31, 2016
Three Customers [Member]
Unbilled Receivables [Member]
Jul. 31, 2017
Three Customers [Member]
Rental Income [Member]
Jul. 31, 2016
Four Customers [Member]
Accounts Receivable [Member]
Jul. 31, 2016
Two Customers [Member]
Rental Income [Member]
Jul. 31, 2015
Two Customers [Member]
Rental Income [Member]
Concentration Risk [Line Items]
Concentration risk 66.70% 71.60% 71.60% 44.00% 68.00% 34.70% 33.10%
Irrevocable letter of credit $ 230,000 $ 230,000
Number of tenants 50
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DEFERRED CHARGES (Schedule of deferred charges) (Details) (USD $)
Jul. 31, 2017
Jul. 31, 2016
Leasing Charges
Deferred charges $ 3,465,062 $ 3,348,031
Less accumulated amortization 1,384,142 1,404,267
Leasing Brokerage Commissions [Member]
Leasing Charges
Deferred charges 3,059,615 2,942,583
Less accumulated amortization 1,089,934 1,134,929
Professional Fees For Leasing [Member]
Leasing Charges
Deferred charges 405,447 405,448
Less accumulated amortization $ 294,208 $ 269,338
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DEFERRED CHARGES (Schedule of estimated aggregate amortization expense) (Details) (USD $)
Jul. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
2018 $ 305,729
2019 246,986
2020 203,629
2021 196,512
2022 $ 175,421
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DEFERRED CHARGES (Narrative) (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Amortization of deferred charges $ 279,875 $ 315,779 $ 331,700
Weighted average life of current year additions to deferred charges 5 years
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CAPITALIZATION (Details)
Jul. 31, 2017
Jul. 31, 2016
Stockholders' Equity Note [Abstract]
Treasury stock, shares 162,517 162,517
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NOTE PAYABLE (Details) (Related Party Note Payable [Member], USD $)
0 Months Ended 12 Months Ended
Dec. 15, 2004
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Related Party Note Payable [Member]
Debt Instrument [Line Items]
Proceeds from related party $ 1,000,000
Minimum percentage of beneficially owned common stock 10.00%
Interest rate 5.00%
Periodic payment of interest 12,500
Interest expense $ 18,750 $ 50,000 $ 50,000
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ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
ACCUMULATED OTHER COMPREHENSIVE INCOME [Abstract]
Beginning balance, net of tax effect $ 264,541 $ 196,033 $ 129,412
Other comprehensive income, net of tax effect:
Unrealized gains on available-for-sale securities 198,776 128,515 60,621
Tax effect (68,000) (43,000) 6,000
Unrealized gains on available-for-sale securities, net of tax effect 130,776 85,515 66,621
Amounts reclassified from accumulated other comprehensive income, net of tax effect:
Unrealized gain on available-for-sale securities reclassified (40,841) (25,007)   
Tax effect 14,000 8,000   
Amounts reclassified, net of tax effect (26,841) (17,007)   
Ending balance, net of tax effect $ 368,476 $ 264,541 $ 196,033
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ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT (Details) (Thirty Three Bond Street Llc [Member], USD $)
Jun. 16, 2015
Thirty Three Bond Street Llc [Member]
Related Party Transaction [Line Items]
Deferred revenue $ 3,500,000
Tendered amount with execution of the Amendment 2,250,000
Balance due $ 1,250,000
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CONTINGENCIES (Details) (Fishkill, New York Property [Member], USD $)
3 Months Ended 12 Months Ended
Oct. 31, 2016
Jul. 31, 2017
Jul. 31, 2016
Fishkill, New York Property [Member]
Damages filed $ 376,467
Commitment to replace roof 700,000
Charge to operations $ 141,132 $ 279,213
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VALUATION AND QUALIFYING ACCOUNTS - VALUATION AND QUALIFYING ACCOUNTS (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
Allowance for net unrealized gains (losses) on marketable securities:
Balance, beginning of year $ 400,541 $ 297,031 $ 236,412
Additions (deletions) 157,935 103,510 60,619
Balance, end of year $ 558,476 $ 400,541 $ 297,031
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REAL ESTATE AND ACCUMULATED DEPRECIATION (Details) (USD $)
12 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Jul. 31, 2015
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances $ 5,629,679
Initial Cost to Company
Land 6,067,805
Building & Improvements 22,948,066
Cost Capitalized Subsequent to Acquisition
Improvements 60,000,356
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 6,067,805
Building & Improvements 82,948,422
Total 89,016,227 86,936,827 84,474,345
Accumulated Depreciation 39,648,642 38,008,810 36,413,975
Property and Equipment 89,353,787 87,276,850
Accumulated depreciation 39,868,698 38,212,113
Investment in Real Estate
Balance at Beginning of Year 86,936,827 84,474,345 82,092,994
Improvements 2,079,400 2,462,482 2,426,491
Retirements       (45,140)
Balance at End of Year 89,016,227 86,936,827 84,474,345
Accumulated Depreciation
Balance at Beginning of Year 38,008,810 36,413,975 34,773,376
Additions Charged to Costs and Expenses 1,639,832 1,594,835 1,658,091
Retirements       (17,492)
Balance at End of Year 39,648,642 38,008,810 36,413,975
Buildings and Improvements [Member] | Minimum [Member]
Gross Amount at Which Carried At Close of Period
Life on Which Depreciation in Latest Income Statement is Computed 18 years
Buildings and Improvements [Member] | Maximum [Member]
Gross Amount at Which Carried At Close of Period
Life on Which Depreciation in Latest Income Statement is Computed 40 years
Improvements to leased property [Member] | Minimum [Member]
Gross Amount at Which Carried At Close of Period
Life on Which Depreciation in Latest Income Statement is Computed 3 years
Improvements to leased property [Member] | Maximum [Member]
Gross Amount at Which Carried At Close of Period
Life on Which Depreciation in Latest Income Statement is Computed 40 years
Office Furniture and Equipment and Transportation Equipment [Member]
Gross Amount at Which Carried At Close of Period
Property and Equipment 337,560
Accumulated depreciation 220,056
Bond St. Building Brooklyn, NY Two [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances 5,629,679
Initial Cost to Company
Land 3,901,349
Building & Improvements 7,403,468
Cost Capitalized Subsequent to Acquisition
Improvements 23,258,860
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 3,901,349
Building & Improvements 30,662,328
Total 34,563,677
Accumulated Depreciation 12,254,818
Investment in Real Estate
Balance at End of Year 34,563,677
Accumulated Depreciation
Balance at End of Year 12,254,818
Jamaica, New York [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances   
Initial Cost to Company
Land   
Building & Improvements 3,215,699
Cost Capitalized Subsequent to Acquisition
Improvements 16,442,748
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land   
Building & Improvements 19,658,447
Total 19,658,447
Accumulated Depreciation 10,560,346
Investment in Real Estate
Balance at End of Year 19,658,447
Accumulated Depreciation
Balance at End of Year 10,560,346
Fishkill, New York Property [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances   
Initial Cost to Company
Land 594,723
Building & Improvements 7,212,116
Cost Capitalized Subsequent to Acquisition
Improvements 4,872,441
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 594,723
Building & Improvements 12,084,557
Total 12,679,280
Accumulated Depreciation 8,934,697
Investment in Real Estate
Balance at End of Year 12,679,280
Accumulated Depreciation
Balance at End of Year 8,934,697
Brooklyn, New York, Jowein Building, Fulton Street and Elm Place Property [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances   
Initial Cost to Company
Land 1,324,957
Building & Improvements 728,327
Cost Capitalized Subsequent to Acquisition
Improvements 15,339,787
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 1,324,957
Building & Improvements 16,068,114
Total 17,393,071
Accumulated Depreciation 5,205,736
Investment in Real Estate
Balance at End of Year 17,393,071
Accumulated Depreciation
Balance at End of Year 5,205,736
Levittown, New York, Hempstead Turnpike [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances   
Initial Cost to Company
Land 125,927
Building & Improvements   
Cost Capitalized Subsequent to Acquisition
Improvements   
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 125,927
Building & Improvements   
Total 125,927
Accumulated Depreciation   
Investment in Real Estate
Balance at End of Year 125,927
Accumulated Depreciation
Balance at End of Year   
Circleville, Ohio, Tarlton Road [Member]
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items]
Encumbrances   
Initial Cost to Company
Land 120,849
Building & Improvements 4,388,456
Cost Capitalized Subsequent to Acquisition
Improvements 86,520
Carried Cost   
Gross Amount at Which Carried At Close of Period
Land 120,849
Building & Improvements 4,474,976
Total 4,595,825
Accumulated Depreciation 2,693,045
Investment in Real Estate
Balance at End of Year 4,595,825
Accumulated Depreciation
Balance at End of Year $ 2,693,045
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