Discontinued Operations and Assets Held For Sale

9 Months Ended

Sep. 30, 2016

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations and Assets Held For Sale

NOTE 9. — DISCONTINUED OPERATIONS AND ASSETS HELD FOR SALE

We report as discontinued operations three properties which met the criteria to be accounted for as held for sale in accordance with GAAP as of June 30, 2014, and certain properties disposed of during the periods presented that were previously classified as held for sale as of June 30, 2014. All results of these discontinued operations are included in a separate component of income on the consolidated statements of operations under the caption discontinued operations. We elected to early adopt ASU 2014-08, Presentation of Financial Statements (Topic 205), effective July 1, 2014 and, as a result, the results of operations for all qualifying disposals and properties classified as held for sale that were not previously reported in discontinued operations as of June 30, 2014 are presented within income from continuing operations in our consolidated statements of income.

During the nine months ended September 30, 2016, we sold two properties resulting in a loss of $178,000 that were previously classified as held for sale as of June 30, 2014. In addition, during the nine months ended September 30, 2016, we sold eight properties resulting in a recognized gain of $1,416,000 that did not meet the criteria to be classified as discontinued operations. We determined that the eight properties sold did not represent a strategic shift in our operations as defined in ASU 2014-08 and, as a result, the gains on dispositions of real estate for the eight properties were reflected in our earnings from continuing operations. We also received funds from property condemnations resulting in a gain of $92,000 and recognized the remaining deferred gain of $3,868,000 related to the Ramoco sale.

Real estate held for sale consisted of the following at September 30, 2016 and December 31, 2015:

(in thousands)	September 30, 2016		December 31, 2015
Land	$	400	$	603
Buildings and improvements		439		997
		839		1,600
Accumulated depreciation and amortization		—		(261	)
Real estate held for sale, net	$	839	$	1,339

The revenues from rental properties, impairment charges, other operating expenses and gains/losses from dispositions of real estate related to these properties are as follows:

	Three months ended September 30,						Nine months ended September 30,
(in thousands)	2016			2015			2016			2015
Revenues from rental properties	$	—		$	5		$	5		$	166
Impairments		(839	)		(2,760	)		(1,577	)		(4,574	)
Other operating income		428			1,039			1,172			1,588
(Loss) from operating activities		(411	)		(1,716	)		(400	)		(2,820	)
(Loss) gains from dispositions of real estate		(21	)		228			(178	)		352
(Loss) from discontinued operations	$	(432	)	$	(1,488	)	$	(578	)	$	(2,468	)