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Business Segments
 9 Months Ended
Sep. 30, 2021
Segment Reporting [Abstract]  
Business Segments

(3) Business Segments.

 

The Company is reporting its financial performance based on four reportable segments, Asset Management, Mining Royalty Lands, Development and Stabilized Joint Venture, as described below.

 

The Asset Management segment owns, leases and manages commercial properties. The flex/office warehouses in the Asset Management Segment were sold and reclassified to discontinued operations leaving only two commercial properties and one recent industrial acquisition, Cranberry Run, which we purchased in 2019. In July 2020 we sold our property located at 1801 62nd Street, our most recent spec building in Hollander Business Park, which had joined Asset Management April 1, 2019.

 

Our Mining Royalty Lands segment owns several properties comprising approximately 15,000 acres currently under lease for mining rents or royalties (this does not include the 4,280 acres owned in our Brooksville joint venture with Vulcan Materials). Other than one location in Virginia, all of these properties are located in Florida and Georgia.

 

Through our Development segment, we own and are continuously assessing for their highest and best use for several parcels of land that are in various stages of development. Our overall strategy in this segment is to convert all of our non-income producing lands into income production through (i) an orderly process of constructing new buildings for us to own and operate or (ii) a sale to, or joint venture with, third parties. Additionally, our Development segment will form joint ventures on new developments of land not previously owned by the Company.

 

The Stabilized Joint Venture segment includes joint ventures which own, lease and manage buildings that have met our initial lease up criteria. Two of our two joint ventures in the segment, Riverfront Investment Partners I, LLC (“Dock 79”) and Riverfront Investment Partners II, LLC (“The Maren”) are consolidated. The Maren was consolidated effective March 31, 2021 and prior periods are still reflected under the equity method. The ownership of Dock 79 and The Maren (commencing March 31, 2021) attributable to our partner MidAtlantic Realty Partners, LLC (MRP) is reflected on our consolidated balance sheet as a noncontrolling interest. Such noncontrolling interests are reported on the Consolidated Balance Sheets within equity but separately from shareholders' equity. On the Consolidated Statements of Income, all of the revenues and expenses from Dock 79 are reported in net income, including both the amounts attributable to the Company and the noncontrolling interest. The Maren is reflected in Equity in loss of joint ventures on the Consolidated Statements of Income for the periods up to March 31, 2021 but is reflected like Dock 79 for periods commencing April 1, 2021. The amounts of consolidated net income attributable to the noncontrolling interest is clearly identified on the accompanying Consolidated Statements of Income.

 

 

Operating results and certain other financial data for the Company’s business segments are as follows (in thousands):

 

 

                                   
      Three Months ended   Nine Months ended
      September 30,   September 30,
      2021   2020   2021   2020
  Revenues:                                

Revenues

  Asset management   $ 619       721       1,919       2,089  
Revenues  Mining royalty lands     2,249       2,507       7,198       7,094  
Revenues  Development     401       290       1,169       862  
Revenues  Stabilized Joint Venture     5,204       2,580       12,535       7,685  
Revenues       8,473       6,098       22,821       17,730  
                                   
  Operating profit (loss):                                
   Before corporate expenses:                                
Operating profit before corporate expenses    Asset management   $ 169       200       528       700  
Operating profit before corporate expenses    Mining royalty lands     2,037       2,291       6,531       6,486  
Operating profit before corporate expenses    Development     (404 )     (659 )     (1,201 )     (2,136 )
Operating profit before corporate expenses    Stabilized Joint Venture     (413 )     386       (1,357 )     1,379  
Operating profit before corporate expenses     Operating profit before corporate expenses     1,389       2,218       4,501       6,429  
   Corporate expenses:                                
Corporate expenses   Allocated to asset management     (180 )     (165 )     (682 )     (738 )
Corporate expenses   Allocated to mining royalty lands     (69 )     (53 )     (258 )     (234 )
Corporate expenses   Allocated to development     (326 )     (381 )     (1,267 )     (1,710 )
Corporate expenses   Allocated to stabilized joint venture     (82 )     (38 )     (279 )     (168 )
Corporate expenses     Total corporate expenses     (657 )     (637 )     (2,486 )     (2,850 )
Operating profit      $ 732       1,581       2,015       3,579  
                                   
  Interest expense   $ 414       46       1,785       142  
 
                                   
  Depreciation, depletion and amortization:                                
Depreciation, depletion and amortization  Asset management   $ 137       137       408       529  
Depreciation, depletion and amortization  Mining royalty lands     38       60       161       160  
Depreciation, depletion and amortization  Development     53       53       159       160  
Depreciation, depletion and amortization  Stabilized Joint Venture     3,568       1,188       8,899       3,557  
Depreciation, depletion and amortization     $ 3,796       1,438       9,627       4,406  
  Capital expenditures:                                
Capital expenditures  Asset management   $ 100       233       318       787  
Capital expenditures  Mining royalty lands     —         —         —         —    
Capital expenditures  Development     4,237       1,754       10,443       2,371  
Capital expenditures  Stabilized Joint Venture     373       46       794       42  
Capital expenditures     $ 4,710       2,033       11,555       3,200  

 

        September 30,       December 31,    
  Identifiable net assets   2021       2020    
                   

Assets

 Asset management $ 11,127       11,172    
Assets Mining royalty lands   37,205       37,387    
Assets Development   185,500       196,212    
Assets Stabilized Joint Venture   268,907       130,472    
Investments available for sale Investments available for sale at fair value   4,315       75,609    
Cash Cash items   163,383       74,105    
Assets Unallocated corporate assets   8,316       11,403    
Assets   $ 678,753       536,360