XML 37 R26.htm IDEA: XBRL DOCUMENT
v3.20.1

Segment Reporting | 3 Months Ended
--- | ---
Mar. 31, 2020
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: Net Lease, Real Estate Finance, Operating Properties and Land and Development. The Net Lease segment includes the Company's activities and operations related to the ownership of properties generally leased to single corporate tenants and its investment in SAFE (refer to Note 8). 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 Operating Properties segment includes the Company's activities and operations related to its commercial and residential properties. The Land and Development 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):
| Net Lease |  | Real Estate Finance |  | Operating Properties |  | Land and Development |  | Corporate/Other(1) |  | Company Total
Three Months Ended March 31, 2020: |  |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | 41,464 |  |  | $ | — |  |  | $ | 5,774 |  |  | $ | 108 |  |  | $ | — |  |  | $ | 47,346 |
Interest income | 823 |  |  | 16,393 |  |  | — |  |  | — |  |  | — |  |  | 17,216 |
Interest income from sales-type leases | 8,355 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 8,355 |
Other income | 4,293 |  |  | 306 |  |  | 3,157 |  |  | 624 |  |  | 11,988 |  |  | 20,368 |
Land development revenue | — |  |  | — |  |  | — |  |  | 80,176 |  |  | — |  |  | 80,176 |
Earnings (losses) from equity method investments | 19,531 |  |  | — |  |  | (2,667 | ) |  | 584 |  |  | (836 | ) |  | 16,612 |
Total revenue and other earnings | 74,466 |  |  | 16,699 |  |  | 6,264 |  |  | 81,492 |  |  | 11,152 |  |  | 190,073 |
Real estate expense | (6,229 | ) |  | — |  |  | (7,663 | ) |  | (8,606 | ) |  | — |  |  | (22,498 | )
Land development cost of sales | — |  |  | — |  |  | — |  |  | (77,059 | ) |  | — |  |  | (77,059 | )
Other expense | — |  |  | (19 | ) |  | — |  |  | — |  |  | (55 | ) |  | (74 | )
Allocated interest expense | (24,478 | ) |  | (6,199 | ) |  | (2,259 | ) |  | (4,570 | ) |  | (5,886 | ) |  | (43,392 | )
Allocated general and administrative(2) | (6,989 | ) |  | (2,097 | ) |  | (789 | ) |  | (2,819 | ) |  | (5,307 | ) |  | (18,001 | )
Segment profit (loss)(3) | $ | 36,770 |  |  | $ | 8,384 |  |  | $ | (4,447 | ) |  | $ | (11,562 | ) |  | $ | (96 | ) |  | $ | 29,049 |
Other significant items: |  |  |  |  |  |  |  |  |  |  |
Provision for loan losses | $ | 137 |  |  | $ | 3,866 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 4,003 |
Provision for losses on net investment in leases | 1,292 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,292 |
Impairment of assets | 1,708 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,708 |
Depreciation and amortization | 12,656 |  |  | — |  |  | 1,284 |  |  | 243 |  |  | 303 |  |  | 14,486 |
Capitalized expenditures | 1,846 |  |  | — |  |  | 917 |  |  | 12,027 |  |  | — |  |  | 14,790 |
Three Months Ended March 31, 2019: |  |  |  |  |  |  |  |  |  |  |
Operating lease income | $ | 49,482 |  |  | $ | — |  |  | $ | 9,356 |  |  | $ | 77 |  |  | $ | — |  |  | $ | 58,915 |
Interest income | — |  |  | 20,375 |  |  | — |  |  | — |  |  | — |  |  | 20,375 |
Other income | 3,420 |  |  | 2,189 |  |  | 2,375 |  |  | 3,447 |  |  | 3,382 |  |  | 14,813 |
Land development revenue | — |  |  | — |  |  | — |  |  | 12,699 |  |  | — |  |  | 12,699 |
Earnings (losses) from equity method investments | 7,230 |  |  | — |  |  | (2,410 | ) |  | 287 |  |  | 202 |  |  | 5,309 |
Income from sales of real estate | — |  |  | — |  |  | 9,407 |  |  | — |  |  | — |  |  | 9,407 |
Total revenue and other earnings | 60,132 |  |  | 22,564 |  |  | 18,728 |  |  | 16,510 |  |  | 3,584 |  |  | 121,518 |
Real estate expense | (6,106 | ) |  | — |  |  | (11,033 | ) |  | (8,801 | ) |  | — |  |  | (25,940 | )
Land development cost of sales | — |  |  | — |  |  | — |  |  | (14,449 | ) |  | — |  |  | (14,449 | )
Other expense | — |  |  | (265 | ) |  | — |  |  | — |  |  | (243 | ) |  | (508 | )
Allocated interest expense | (21,766 | ) |  | (8,413 | ) |  | (2,918 | ) |  | (5,127 | ) |  | (8,353 | ) |  | (46,577 | )
Allocated general and administrative(2) | (5,678 | ) |  | (2,209 | ) |  | (761 | ) |  | (3,257 | ) |  | (4,945 | ) |  | (16,850 | )
Segment profit (loss)(3) | $ | 26,582 |  |  | $ | 11,677 |  |  | $ | 4,016 |  |  | $ | (15,124 | ) |  | $ | (9,957 | ) |  | $ | 17,194 |
Other significant items: |  |  |  |  |  |  |  |  |  |  |
Recovery of loan losses | $ | — |  |  | $ | (97 | ) |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (97 | )
Impairment of assets | — |  |  | — |  |  | 3,851 |  |  | — |  |  | — |  |  | 3,851 |
Depreciation and amortization | 13,561 |  |  | — |  |  | 1,557 |  |  | 247 |  |  | 303 |  |  | 15,668 |
Capitalized expenditures | 2,756 |  |  | — |  |  | 416 |  |  | 36,079 |  |  | — |  |  | 39,251 |
| Net Lease |  | Real Estate Finance |  | Operating Properties |  | Land and Development |  | Corporate/Other(1) |  | Company Total
As of March 31, 2020 |  |  |  |  |  |  |  |  |  |  |
Real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate, net | $ | 1,301,176 |  |  | $ | — |  |  | $ | 199,913 |  |  | $ | — |  |  | $ | — |  |  | $ | 1,501,089 |
Real estate available and held for sale | 25,730 |  |  | — |  |  | 8,661 |  |  | — |  |  | — |  |  | 34,391 |
Total real estate | 1,326,906 |  |  | — |  |  | 208,574 |  |  | — |  |  | — |  |  | 1,535,480 |
Net investment in leases | 409,976 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 409,976 |
Land and development, net | — |  |  | — |  |  | — |  |  | 514,064 |  |  | — |  |  | 514,064 |
Loans receivable and other lending investments, net | 43,344 |  |  | 807,491 |  |  | — |  |  | — |  |  | — |  |  | 850,835 |
Other investments | 880,534 |  |  | — |  |  | 60,009 |  |  | 36,672 |  |  | 52,337 |  |  | 1,029,552 |
Total portfolio assets | $ | 2,660,760 |  |  | $ | 807,491 |  |  | $ | 268,583 |  |  | $ | 550,736 |  |  | $ | 52,337 |  |  | 4,339,907 |
Cash and other assets |  |  |  |  |  |  |  |  |  |  | 882,674 |
Total assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 5,222,581 |
As of December 31, 2019 |  |  |  |  |  |  |  |  |  |  |
Real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate, net | $ | 1,327,082 |  |  | $ | — |  |  | $ | 200,137 |  |  | $ | — |  |  | $ | — |  |  | $ | 1,527,219 |
Real estate available and held for sale | — |  |  | — |  |  | 8,650 |  |  | — |  |  | — |  |  | 8,650 |
Total real estate | 1,327,082 |  |  | — |  |  | 208,787 |  |  | — |  |  | — |  |  | 1,535,869 |
Net investment in leases | 418,915 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 418,915 |
Land and development, net | — |  |  | — |  |  | — |  |  | 580,545 |  |  | — |  |  | 580,545 |
Loans receivable and other lending investments, net | 44,339 |  |  | 783,522 |  |  | — |  |  | — |  |  | — |  |  | 827,861 |
Other investments | 760,068 |  |  | — |  |  | 61,686 |  |  | 42,866 |  |  | 43,255 |  |  | 907,875 |
Total portfolio assets | $ | 2,550,404 |  |  | $ | 783,522 |  |  | $ | 270,473 |  |  | $ | 623,411 |  |  | $ | 43,255 |  |  | 4,271,065 |
Cash and other assets |  |  |  |  |  |  |  |  |  |  | 814,044 |
Total assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 5,085,109 |
_______________________________________________________________________________
(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 included in the other reportable segments above.
(2) | General and administrative excludes stock-based compensation expense of $16.3 million and $4.2 million for the three months ended March 31, 2020 and 2019, respectively.
(3) | The following is a reconciliation of segment profit to net income (loss) ($ in thousands):
| For the Three Months Ended March 31,
| 2020 |  | 2019
Segment profit | $ | 29,049 |  |  | $ | 17,194 |
Add/Less: (Provision for) recovery of loan losses | (4,003 | ) |  | 97 |
Less: Provision for losses on net investment in leases | (1,292 | ) |  | — |
Less: Impairment of assets | (1,708 | ) |  | (3,851 | )
Less: Stock-based compensation expense | (16,270 | ) |  | (4,249 | )
Less: Depreciation and amortization | (14,486 | ) |  | (15,668 | )
Less: Income tax expense | (60 | ) |  | (25 | )
Less: Loss on early extinguishment of debt, net | (4,115 | ) |  | (468 | )
Net loss | $ | (12,885 | ) |  | $ | (6,970 | )

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration