XML 14 R19.htm IDEA: XBRL DOCUMENT v3.20.1
OPERATING SEGMENTS
 3 Months Ended
Mar. 31, 2020
Segment Reporting [Abstract]  
OPERATING SEGMENTS

NOTE 11. OPERATING SEGMENTS

 

Our segments are based on our method of internal reporting which classifies our operations by property type. Our property types are grouped into commercial properties, apartments, land and other operating segments. Significant differences among the accounting policies of the operating segments as compared to the Consolidated Financial Statements principally involve the calculation and allocation of administrative and other expenses. Management evaluates the performance of each of the operating segments and allocates resources to them based on their net operating income and cash flow.

 

Items of income that are not reflected in the segments are interest, other income, gain on debt extinguishment, gain on condemnation award, equity in partnerships and gains on sale of real estate. Expenses that are not reflected in the segments are provision for losses, advisory, net income and incentive fees, general and administrative, non-controlling interests and net loss from discontinued operations before gains on sale of real estate.

 

The segment labeled as “Other” consists of revenue and operating expenses related to the notes receivable and corporate debt.

 

Presented below is our reportable segments’ operating income for the three months ended March 31, 2020 and 2019, including segment assets and expenditures (dollars in thousands):

 

    Commercial                          
For the Three Months Ended March 31, 2020   Properties     Apartments     Land     Other     Total  
Rental and other property revenues   $            7,884     $            4,032     $ —     $                    2     $          11,918  
Property operating expenses     (4,109 )     (1,930 )     (99 )     (172 )     (6,310 )
Depreciation     (2,522 )     (872 )                     (3,394 )
Mortgage and loan interest     (1,371 )     (1,172 )     (281 )     (6,778 )     (9,602 )
Interest income     —       —       —       5,754       5,754  
Gain on land sales     —       —       4,138       —       4,138  
Segment operating (loss) income   $             (118 )   $                 58     $            3,758     $          (1,194 )   $             2,504  
Capital expenditures   $               709     $            7,033     $            2,000     $ —       9,742  
Real estate assets   $      148,424     $      179,484     $          68,669     $ —       396,577  
                                         
Property Sales                                        
Sales price   $ —     $ —     $            5,712     $ —     $             5,712  
Cost of sale     —       —       (1,574 )     —       (1,574 )
Gain on sale   $ —     $ —     $            4,138     $ —     $             4,138  

 

    Commercial                          
For the Three Months Ended March 31, 2019   Properties     Apartments     Land     Other     Total  
Rental and other property revenues   $            8,227     $            3,700     $ —     $                    2     $          11,929  
Property operating expenses     (3,936 )     (2,058 )     43       (46 )     (5,997 )
Depreciation     (2,375 )     (734 )     —       —       (3,109 )
Mortgage and loan interest     (1,967 )     (934 )     (329 )     (6,738 )     (9,968 )
Interest income     —       —       —       6,153       6,153  
Gain on land sales     —       —       2,216       —       2,216  
Segment operating (loss) income   $               (51 )   $               (26 )   $            1,930     $             (629 )   $             1,224  
Capital expenditures     3,690       —       5,167       —       8,857  
Real estate assets     154,791       150,841       80,845       —       386,477  
                                         
Property Sales                                        
Sales price   $ —     $ —     $            8,715     $ —     $             8,715  
Cost of sale     —       —       (6,499 )     —       (6,499 )
Gain on sale   $ —     $ —     $            2,216     $ —     $             2,216  

 

The table below reflects the reconciliation of segment information to the corresponding amounts in the Consolidated Statements of Operations for the three months ended March 31, 2020 and 2019 (dollars in thousands):

 

  For the Three Months Ended  
  March 31,  
  2020     2019  
Segment operating income $            2,504     $            1,224  
Other non-segment items of income (expense)              
General and administrative   (2,795 )     (2,480 )
Franchise taxes and other expenses   (1,496 )     (125 )
Net income fee to related party   (86 )     (100 )
Advisory fee to related party   (2,287 )     (1,853 )
Other income   1,212       3,667  
Foreign Currency Transaction gain (loss)   7,843       (5,818 )
Loss from joint venture   (376 )     (1,055 )
Earnings from unconsolidated investees   116       58  
Net income (loss) from continuing operations $            4,635     $          (6,482 )

 

The table below reflects a reconciliation of the segment information to the corresponding amounts in the Consolidated Balance Sheets (dollars in thousands):

 

  As of March 31,  
  2020     2019  
Segment assets $      396,577     $      386,477  
Investments in unconsolidated investees   62,131       75,634  
Notes and interest receivable   158,361       124,462  
Other assets   198,002       228,240  
Total assets $      815,071     $      814,813