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Segment Reporting | 9 Months Ended
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Sep. 30, 2014
Segment Reporting [Abstract] |
Segment Reporting | Segment Reporting The Company has determined that it has four reportable segments based on how management reviews and manages its business. These reportable segments include: Real Estate Finance, Net Lease, Operating Properties and Land. The Real Estate Finance segment includes all of the Company's activities related to senior and mezzanine real estate loans and real estate related securities. The Net Lease segment includes all of the Company's activities related to the ownership and leasing of corporate facilities. The Operating Properties segment includes all of the Company's activities and operations related to its commercial and residential properties. The Land segment includes the Company's activities related to its developable land portfolio. The Company evaluates performance based on the following financial measures for each segment. The Company's segment information is as follows ($ in thousands):
| Real Estate Finance |  | Net Lease |  | Operating Properties |  | Land |  | Corporate/Other(1) |  | Company Total
Three Months Ended September 30, 2014: |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | — |  |  | $ | 36,947 |  |  | $ | 23,513 |  |  | $ | 231 |  |  | $ | — |  |  | $ | 60,691 |
Interest income | 31,098 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 31,098 |
Other income | 885 |  |  | 3,573 |  |  | 11,795 |  |  | 496 |  |  | 1,658 |  |  | 18,407 |
Land sales revenue | — |  |  | — |  |  | — |  |  | 3,290 |  |  | — |  |  | 3,290 |
Total revenue | 31,983 |  |  | 40,520 |  |  | 35,308 |  |  | 4,017 |  |  | 1,658 |  |  | 113,486 |
Earnings (loss) from equity method investments | — |  |  | 349 |  |  | 177 |  |  | 123 |  |  | 48,929 |  |  | 49,578 |
Income from sales of real estate | — |  |  | — |  |  | 27,791 |  |  | — |  |  | — |  |  | 27,791 |
Revenue and other earnings | 31,983 |  |  | 40,869 |  |  | 63,276 |  |  | 4,140 |  |  | 50,587 |  |  | 190,855 |
Real estate expense | — |  |  | (6,059 | ) |  | (28,795 | ) |  | (6,431 | ) |  | — |  |  | (41,285 | )
Land cost of sales | — |  |  | — |  |  | — |  |  | (2,763 | ) |  | — |  |  | (2,763 | )
Other expense | (283 | ) |  | — |  |  | — |  |  | — |  |  | 568 |  |  | 285 |
Allocated interest expense | (14,187 | ) |  | (18,156 | ) |  | (10,169 | ) |  | (7,490 | ) |  | (5,422 | ) |  | (55,424 | )
Allocated general and administrative(2) | (3,492 | ) |  | (4,610 | ) |  | (2,699 | ) |  | (3,566 | ) |  | (5,737 | ) |  | (20,104 | )
Segment profit (loss)(3) | $ | 14,021 |  |  | $ | 12,044 |  |  | $ | 21,613 |  |  | $ | (16,110 | ) |  | $ | 39,996 |  |  | $ | 71,564 |
Other significant non-cash items: |  |  |  |  |  |  |  |  |  |  |
Provision for (recovery of) loan losses | $ | (673 | ) |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (673 | )
Impairment of assets | — |  |  | 231 |  |  | 4,231 |  |  | 11,000 |  |  | — |  |  | 15,462 |
Depreciation and amortization | — |  |  | 9,522 |  |  | 7,606 |  |  | 320 |  |  | 274 |  |  | 17,722 |
Capitalized expenditures | — |  |  | 595 |  |  | 20,555 |  |  | 25,655 |  |  | — |  |  | 46,805 |
Three Months Ended September 30, 2013: |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | — |  |  | $ | 36,063 |  |  | $ | 24,164 |  |  | $ | — |  |  | $ | — |  |  | $ | 60,227 |
Interest income | 24,235 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 24,235 |
Other income | 1,731 |  |  | — |  |  | 8,045 |  |  | 333 |  |  | 1,125 |  |  | 11,234 |
Total revenue | 25,966 |  |  | 36,063 |  |  | 32,209 |  |  | 333 |  |  | 1,125 |  |  | 95,696 |
Earnings (loss) from equity method investments | — |  |  | 679 |  |  | 533 |  |  | (2,178 | ) |  | 5,311 |  |  | 4,345 |
Income from sales of real estate | — |  |  | — |  |  | 14,075 |  |  | — |  |  | — |  |  | 14,075 |
Income (loss) from discontinued operations(4) | — |  |  | 350 |  |  | 486 |  |  | — |  |  | — |  |  | 836 |
Gain from discontinued operations | — |  |  | — |  |  | 9,166 |  |  | — |  |  | — |  |  | 9,166 |
Revenue and other earnings | 25,966 |  |  | 37,092 |  |  | 56,469 |  |  | (1,845 | ) |  | 6,436 |  |  | 124,118 |
Real estate expense | — |  |  | (5,191 | ) |  | (25,152 | ) |  | (7,203 | ) |  | — |  |  | (37,546 | )
Other expense | (253 | ) |  | — |  |  | — |  |  | — |  |  | (1,242 | ) |  | (1,495 | )
Allocated interest expense(5) | (16,172 | ) |  | (19,066 | ) |  | (11,082 | ) |  | (7,541 | ) |  | (9,932 | ) |  | (63,793 | )
Allocated general and administrative(2) | (3,610 | ) |  | (4,282 | ) |  | (2,735 | ) |  | (2,487 | ) |  | (6,608 | ) |  | (19,722 | )
Segment profit (loss)(3) | $ | 5,931 |  |  | $ | 8,553 |  |  | $ | 17,500 |  |  | $ | (19,076 | ) |  | $ | (11,346 | ) |  | $ | 1,562 |
Other significant non-cash items: |  |  |  |  |  |  |  |  |  |  |
Provision for (recovery of) loan losses | $ | (9,834 | ) |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (9,834 | )
Impairment of assets(5) | — |  |  | 494 |  |  | 6,291 |  |  | — |  |  | — |  |  | 6,785 |
Depreciation and amortization(5) | — |  |  | 9,556 |  |  | 8,884 |  |  | 288 |  |  | 291 |  |  | 19,019 |
Capitalized expenditures | — |  |  | 4,322 |  |  | 11,906 |  |  | 8,877 |  |  | — |  |  | 25,105 |
| Real Estate Finance |  | Net Lease |  | Operating Properties |  | Land |  | Corporate/Other(1) |  | Company Total
Nine Months Ended September 30, 2014: |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | — |  |  | $ | 113,502 |  |  | $ | 69,631 |  |  | $ | 633 |  |  | $ | — |  |  | $ | 183,766 |
Interest income | 94,139 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 94,139 |
Other income | 20,327 |  |  | 4,306 |  |  | 32,335 |  |  | 865 |  |  | 4,420 |  |  | 62,253 |
Land sales revenue | — |  |  | — |  |  | — |  |  | 11,920 |  |  | — |  |  | 11,920 |
Total revenue | 114,466 |  |  | 117,808 |  |  | 101,966 |  |  | 13,418 |  |  | 4,420 |  |  | 352,078 |
Earnings (loss) from equity method investments | — |  |  | 1,497 |  |  | 1,125 |  |  | (286 | ) |  | 74,512 |  |  | 76,848 |
Income from sales of real estate | — |  |  | — |  |  | 61,465 |  |  | — |  |  | — |  |  | 61,465 |
Revenue and other earnings | 114,466 |  |  | 119,305 |  |  | 164,556 |  |  | 13,132 |  |  | 78,932 |  |  | 490,391 |
Real estate expense | — |  |  | (17,253 | ) |  | (86,338 | ) |  | (20,861 | ) |  | — |  |  | (124,452 | )
Land cost of sales | — |  |  | — |  |  | — |  |  | (10,028 | ) |  | — |  |  | (10,028 | )
Other expense | (1,016 | ) |  | — |  |  | — |  |  | — |  |  | (3,610 | ) |  | (4,626 | )
Allocated interest expense | (45,497 | ) |  | (54,775 | ) |  | (30,657 | ) |  | (21,943 | ) |  | (16,538 | ) |  | (169,410 | )
Allocated general and administrative(2) | (11,026 | ) |  | (13,592 | ) |  | (7,966 | ) |  | (10,839 | ) |  | (17,821 | ) |  | (61,244 | )
Segment profit (loss)(3) | $ | 56,927 |  |  | $ | 33,685 |  |  | $ | 39,595 |  |  | $ | (50,539 | ) |  | $ | 40,963 |  |  | $ | 120,631 |
Other significant non-cash items: |  |  |  |  |  |  |  |  |  |  |
Provision for (recovery of) loan losses | $ | (6,865 | ) |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (6,865 | )
Impairment of assets | — |  |  | 3,210 |  |  | 8,131 |  |  | 10,400 |  |  | — |  |  | 21,741 |
Depreciation and amortization | — |  |  | 29,332 |  |  | 23,838 |  |  | 1,114 |  |  | 873 |  |  | 55,157 |
Capitalized expenditures | — |  |  | 169 |  |  | 46,973 |  |  | 58,711 |  |  | — |  |  | 105,853 |
Nine Months Ended September 30, 2013: |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | — |  |  | $ | 108,497 |  |  | $ | 66,857 |  |  | $ | — |  |  | $ | — |  |  | $ | 175,354 |
Interest income | 78,584 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 78,584 |
Other income | 4,229 |  |  | — |  |  | 27,623 |  |  | 833 |  |  | 3,093 |  |  | 35,778 |
Total revenue | 82,813 |  |  | 108,497 |  |  | 94,480 |  |  | 833 |  |  | 3,093 |  |  | 289,716 |
Earnings (loss) from equity method investments | — |  |  | 2,017 |  |  | 5,006 |  |  | (5,268 | ) |  | 32,591 |  |  | 34,346 |
Income from sales of real estate | — |  |  | — |  |  | 68,615 |  |  | 3,477 |  |  | — |  |  | 72,092 |
Income (loss) from discontinued operations(4) | — |  |  | 1,354 |  |  | 1,328 |  |  | — |  |  | — |  |  | 2,682 |
Gain from discontinued operations | — |  |  | 3,395 |  |  | 19,093 |  |  | — |  |  | — |  |  | 22,488 |
Revenue and other earnings | 82,813 |  |  | 115,263 |  |  | 188,522 |  |  | (958 | ) |  | 35,684 |  |  | 421,324 |
Real estate expense | — |  |  | (16,433 | ) |  | (75,695 | ) |  | (20,234 | ) |  | — |  |  | (112,362 | )
Other expense | (1,586 | ) |  | — |  |  | — |  |  | — |  |  | (5,680 | ) |  | (7,266 | )
Allocated interest expense(5) | (55,500 | ) |  | (59,296 | ) |  | (37,259 | ) |  | (23,226 | ) |  | (29,235 | ) |  | (204,516 | )
Allocated general and administrative(2) | (9,661 | ) |  | (10,353 | ) |  | (7,140 | ) |  | (6,122 | ) |  | (19,248 | ) |  | (52,524 | )
Segment profit (loss)(3) | $ | 16,066 |  |  | $ | 29,181 |  |  | $ | 68,428 |  |  | $ | (50,540 | ) |  | $ | (18,479 | ) |  | $ | 44,656 |
Other significant non-cash items: |  |  |  |  |  |  |  |  |  |  |
Provision for (recovery of) loan losses | $ | 5,392 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 5,392 |
Impairment of assets(5) | — |  |  | 494 |  |  | 6,687 |  |  | — |  |  | — |  |  | 7,181 |
Depreciation and amortization(5) | — |  |  | 28,787 |  |  | 23,321 |  |  | 817 |  |  | 948 |  |  | 53,873 |
Capitalized expenditures | — |  |  | 21,977 |  |  | 26,312 |  |  | 24,476 |  |  | — |  |  | 72,765 |
| Real Estate Finance |  | Net Lease |  | Operating Properties |  | Land |  | Corporate/Other(1) |  | Company Total
As of September 30, 2014 |  |  |  |  |  |  |  |  |  |  |
Real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate, net | — |  |  | 1,215,034 |  |  | 626,713 |  |  | 841,079 |  |  | — |  |  | 2,682,826 |
Real estate available and held for sale | — |  |  | — |  |  | 196,597 |  |  | 121,367 |  |  | — |  |  | 317,964 |
Total real estate | — |  |  | 1,215,034 |  |  | 823,310 |  |  | 962,446 |  |  | — |  |  | 3,000,790 |
Loans receivable and other lending investments, net | 1,190,746 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,190,746 |
Other investments | — |  |  | 127,070 |  |  | 14,223 |  |  | 65,949 |  |  | 107,033 |  |  | 314,275 |
Total portfolio assets | $ | 1,190,746 |  |  | $ | 1,342,104 |  |  | $ | 837,533 |  |  | $ | 1,028,395 |  |  | $ | 107,033 |  |  | 4,505,811 |
Cash and other assets |  |  |  |  |  |  |  |  |  |  | 974,814 |
Total assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 5,480,625 |
As of December 31, 2013 |  |  |  |  |  |  |  |  |  |  |
Real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate, net | — |  |  | 1,358,248 |  |  | 638,088 |  |  | 799,845 |  |  | — |  |  | 2,796,181 |
Real estate available and held for sale | — |  |  | — |  |  | 228,328 |  |  | 132,189 |  |  | — |  |  | 360,517 |
Total real estate | — |  |  | 1,358,248 |  |  | 866,416 |  |  | 932,034 |  |  | — |  |  | 3,156,698 |
Loans receivable and other lending investments, net | 1,370,109 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,370,109 |
Other investments | — |  |  | 16,408 |  |  | 16,032 |  |  | 29,765 |  |  | 145,004 |  |  | 207,209 |
Total portfolio assets | $ | 1,370,109 |  |  | $ | 1,374,656 |  |  | $ | 882,448 |  |  | $ | 961,799 |  |  | $ | 145,004 |  |  | 4,734,016 |
Cash and other assets |  |  |  |  |  |  |  |  |  |  | 907,995 |
Total assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 5,642,011 |
Explanatory Notes: _______________________________________________________________________________
(1) | Corporate/Other represents all corporate level and unallocated items including any intercompany eliminations necessary to reconcile to consolidated Company totals. This caption also includes the Company's joint venture investments and strategic investments that are not related to the other reportable segments above, including the Company's share of equity in earnings from LNR of $16.5 million for the nine months ended September 30, 2013. See Note 6 for further details on the Company's investment in LNR and summarized financial information of LNR.
(2) | General and administrative excludes stock-based compensation expense of $3.3 million and $8.5 million for the three and nine months ended September 30, 2014, respectively, and $4.6 million and $14.5 million for the three and nine months ended September 30, 2013, respectively.
(3) | The following is a reconciliation of segment profit (loss) to net income (loss) ($ in thousands):
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
| 2014 |  | 2013 |  | 2014 |  | 2013
Segment profit (loss) | $ | 71,564 |  |  | $ | 1,562 |  |  | $ | 120,631 |  |  | $ | 44,656 |
Less: (Provision for) recovery of loan losses | 673 |  |  | 9,834 |  |  | 6,865 |  |  | (5,392 | )
Less: Impairment of assets(4) | (15,462 | ) |  | (6,785 | ) |  | (21,741 | ) |  | (7,181 | )
Less: Stock-based compensation expense | (3,273 | ) |  | (4,563 | ) |  | (8,544 | ) |  | (14,484 | )
Less: Depreciation and amortization(4) | (17,722 | ) |  | (19,019 | ) |  | (55,157 | ) |  | (53,873 | )
Less: Income tax (expense) benefit(4) | (103 | ) |  | 3,879 |  |  | 619 |  |  | (688 | )
Less: Loss on early extinguishment of debt, net | (186 | ) |  | (3,498 | ) |  | (24,953 | ) |  | (28,282 | )
Net income (loss) | $ | 35,491 |  |  | $ | (18,590 | ) |  | $ | 17,720 |  |  | $ | (65,244 | )
(4) | For the three and nine months ended September 30, 2013, excludes certain amounts reclassified to discontinued operations on the Company's Consolidated Statements of Operations.
(5) | For the three and nine months ended September 30, 2013, includes related amounts reclassified to discontinued operations on the Company's Consolidated Statements of Operations.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 + Details
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