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Segment Reporting
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company's operating segments are based on our method of internal reporting and include our office properties, retail portfolio, multifamily portfolio, and the Observatory. These operating segments have been aggregated for reporting into two reportable segments: (1) real estate and (2) Observatory. Our real estate segment includes all activities related to the ownership, management, operation, acquisition, redevelopment, repositioning and disposition of our traditional real estate assets. Our Observatory segment operates the 86th and 102nd floor observatories at the Empire State Building. These two lines of businesses are managed separately because each business requires different support infrastructures, provides different services and has dissimilar economic characteristics such as investments needed, stream of revenues and marketing strategies. We account for intersegment sales and rents as if the sales or rents were to third parties, that is, at current market prices.
Our Chief Executive Officer, who also serves as our CODM, manages our business, regularly accesses information, and evaluates performance for operating decision-making purposes, including allocation of resources. The CODM uses Net Operating Income ("NOI") to review actual performance and decide whether to invest in capital expenditures, pursue acquisitions and/or dispositions, determine dividend payments, and/or engage in other capital transactions. Our CODM does not evaluate operating segments using asset or liability information.
The following tables provide components of segment net income for each segment:
Three Months Ended September 30, 2025
(amounts in thousands)Real EstateObservatoryIntersegment EliminationTotal
Revenues:
Revenue, excluding third-party management and other fees$161,289 $36,037 $— $197,326 
Intercompany rental revenue20,185 — (20,185)— 
Total revenues, excluding third-party management and other fees181,474 36,037 (20,185)197,326 
Segment operating expenses:
Property operating expenses46,957 — — 46,957 
Observatory expenses— 9,510 — 9,510 
Other segment expenses1
35,572 20,185 (20,185)35,572 
Total segment operating expenses82,529 29,695 (20,185)92,039 
Net operating income$98,945 $6,342 $— $105,287 
Segment assets$3,840,603 $265,676 $— $4,106,279 
(1) Other segment expenses in the real estate segment include real estate taxes and ground rent expense and in the Observatory segment includes intercompany rent expense.
Three Months Ended September 30, 2024
(amounts in thousands)Real EstateObservatoryIntersegment EliminationTotal
Revenues:
Revenue, excluding third-party management and other fees$159,946 $39,382 $— $199,328 
Intercompany rental revenue23,461 — (23,461)— 
Total revenues, excluding third-party management and other fees183,407 39,382 (23,461)199,328 
Segment operating expenses:
Property operating expenses45,954 — — 45,954 
Observatory expenses— 9,715 — 9,715 
Other segment expenses1
34,313 23,461 (23,461)34,313 
Total segment operating expenses80,267 33,176 (23,461)89,982 
Net operating income$103,140 $6,206 $— $109,346 
Segment assets$4,174,754 $262,183 $— $4,436,937 
(1) Other segment expenses in the real estate segment include real estate taxes and ground rent expense and in the Observatory segment includes intercompany rent expense.
Nine Months Ended September 30, 2025
(amounts in thousands)Real EstateObservatoryIntersegment EliminationTotal
Revenues:
Revenue, excluding third-party management and other fees$474,706 $93,097 $— $567,803 
Intercompany rental revenue56,011 — (56,011)— 
Total revenues, excluding third-party management and other fees530,717 93,097 (56,011)567,803 
Operating expenses:
Property operating expenses136,897 — — 136,897 
Observatory expenses— 27,450 — 27,450 
Other segment expenses1
105,892 56,011 (56,011)105,892 
Total segment operating expenses242,789 83,461 (56,011)270,239 
Net operating income$287,928 $9,636 $— $297,564 
(1) Other segment expenses in the real estate segment include real estate taxes and ground rent expense and in the Observatory segment includes intercompany rent expense.
Nine Months Ended September 30, 2024
(amounts in thousands)Real EstateObservatoryIntersegment EliminationTotal
Revenues:
Revenue, excluding third-party management and other fees$471,307 $98,102 $— $569,409 
Intercompany rental revenue60,508 — (60,508)— 
Total revenues, excluding third-party management and other fees531,815 98,102 (60,508)569,409 
Operating expenses:
Property operating expenses132,530 — — 132,530 
Observatory expenses— 27,104 — 27,104 
Other segment expenses1
103,100 60,508 (60,508)103,100 
Total segment operating expenses235,630 87,612 (60,508)262,734 
Net operating income$296,185 $10,490 $— $306,675 
(1) Other segment expenses in the real estate segment include real estate taxes and ground rent expense and in the Observatory segment includes intercompany rent expense.
Below is a reconciliation of Net income to Net operating income:
Three Months Ended September 30,Nine Months Ended September 30,
(amounts in thousands)2025202420252024
(unaudited)(unaudited)
Net income$13,645 $22,796 $40,808 $61,566 
Add:
General and administrative expenses18,743 18,372 54,368 52,364 
Depreciation and amortization47,615 45,899 144,196 139,453 
Interest expense25,189 27,408 77,253 77,859 
Interest expense associated with property in receivership— 1,922 647 2,550 
Loss on early extinguishment of debt— — — 553 
Income tax expense1,645 1,442 1,504 1,537 
Less:
Gain on disposition of property— (1,262)(13,170)(12,065)
Third-party management and other fees(404)(271)(1,243)(912)
Interest income(1,146)(6,960)(6,799)(16,230)
Net operating income$105,287 $109,346 $297,564 $306,675