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Segments
 9 Months Ended
Sep. 30, 2020
Segment Reporting [Abstract]  
Segments
18. Segments
 
The Company has four business segments which offer different products and services. HHC’s four segments are managed separately because each requires different operating strategies or management expertise and are reflective of management’s operating philosophies and methods. As further discussed in Item 2. - Management’s Discussion and Analysis of Financial Condition and Results of Operations, one common operating measure used to assess operating results for the Company’s business segments is earnings before taxes (“EBT”). The Company’s segments or assets within such segments could change in the future as development of certain properties commences or other operational or management changes occur. All operations are within the United States. The Company’s reportable segments are as follows: 
–
Operating Assets – consists of retail, office, hospitality and multi-family properties along with other real estate investments. These assets are currently generating revenues and are comprised of commercial real estate properties recently developed or acquired, and properties with an opportunity to redevelop, reposition or sell to improve segment performance or to recycle capital.
–
MPC – consists of the development and sale of land in large‑scale, long‑term community development projects in and around Las Vegas, Nevada; Houston, Texas; and Columbia, Maryland.
–
Seaport District – consists of approximately 453,000 square feet of restaurant, retail and entertainment properties situated in three primary locations in New York, New York: Pier 17, Seaport District Historic Area/Uplands and Tin Building. While the latter is still under development and will comprise about 53,000 square feet when completed, the two operating locations consist of third-party tenants, tenants either directly or jointly owned and operated by the Company, and businesses owned and operated by the Company under licensing agreements.
–
Strategic Developments – consists of residential condominium and commercial property projects currently under development and all other properties held for development which have no substantial operations.

Segment operating results are as follows:
thousands
Operating Assets
Segment (a)
MPC
Segment
Seaport
Segment
 
Strategic Developments
Segment
 
Total
Three Months Ended September 30, 2020
 
 
 
 
 
 
 
Total revenues
$
81,667

$
52,158

$
4,204

 
$
16,365

 
$
154,394

Total operating expenses
(47,590
)
(23,059
)
(11,522
)
 
(9,922
)
 
(92,093
)
Segment operating income (loss)
34,077

29,099

(7,318
)
 
6,443

 
62,301

Depreciation and amortization
(41,395
)
(91
)
(7,174
)
 
(1,643
)
 
(50,303
)
Interest expense, net
(21,045
)
9,176

(2,811
)
 
1,921

 
(12,759
)
Other income (loss), net
(17
)
—

1,590

 
134

 
1,707

Equity in earnings (losses) from real estate and other affiliates
962

(1,563
)
(288
)
 
267,727

 
266,838

Gain (loss) on sale or disposal of real estate, net
108

—

—

 
—

 
108

Gain (loss) on extinguishment of debt
(1,521
)
—

(11,645
)
 
—

 
(13,166
)
Segment EBT
$
(28,831
)
$
36,621

$
(27,646
)
 
$
274,582

 
$
254,726

Corporate income, expenses and other items
 
 
 
 
 
 
(90,724
)
Net income (loss)
 
 
 
 
 
 
164,002

Net (income) loss attributable to noncontrolling interests
 
 
 
 
 
 
(24,292
)
Net income (loss) attributable to common stockholders
 
 
 
 
 
 
$
139,710

 
 
 
 
 
 
 
 
Three Months Ended September 30, 2019
 
 
 
 
 
 
 
Total revenues
$
104,223

$
92,287

$
23,130

 
$
11,515

 
$
231,155

Total operating expenses
(47,950
)
(43,697
)
(27,330
)
 
(11,327
)
 
(130,304
)
Segment operating income (loss)
56,273

48,590

(4,200
)
 
188

 
100,851

Depreciation and amortization
(28,844
)
(88
)
(6,767
)
 
(2,070
)
 
(37,769
)
Interest expense, net
(21,645
)
8,550

(4,984
)
 
3,002

 
(15,077
)
Other income (loss), net
63

534

—

 
354

 
951

Equity in earnings (losses) from real estate and other affiliates
441

4,523

(705
)
 
283

 
4,542

Gain (loss) on sale or disposal of real estate, net
—

—

—

 
24,201

 
24,201

Selling profit from sales-type leases
13,537

 
 
 
 
 
13,537

Segment EBT
$
19,825

$
62,109

$
(16,656
)
 
$
25,958

 
$
91,236

Corporate income, expenses and other items
 
 
 
 
 
 
(61,193
)
Net income (loss)
 
 
 
 
 
 
30,043

Net (income) loss attributable to noncontrolling interests
 
 
 
 
 
 
(285
)
Net income (loss) attributable to common stockholders
 
 
 
 
 
 
$
29,758

(a)
Total revenues includes hospitality revenues of $8.1 million for the three months ended September 30, 2020, and $20.0 million for the three months ended September 30, 2019. Total operating expenses includes hospitality operating costs of $7.6 million for the three months ended September 30, 2020, and $14.1 million for the three months ended September 30, 2019.

thousands
Operating Assets
Segment (a)
MPC
Segment
Seaport
Segment
 
Strategic Developments
Segment
 
Total
Nine Months Ended September 30, 2020
 
 
 
 
 
 
 
Total revenues
$
280,201

$
171,517

$
16,170

 
$
17,749

 
$
485,637

Total operating expenses
(142,052
)
(78,751
)
(34,297
)
 
(126,738
)
 
(381,838
)
Segment operating income (loss)
138,149

92,766

(18,127
)
 
(108,989
)
 
103,799

Depreciation and amortization
(115,479
)
(273
)
(34,825
)
 
(5,054
)
 
(155,631
)
Interest expense, net
(70,341
)
26,033

(12,490
)
 
4,909

 
(51,889
)
Other income (loss), net
150

—

(2,187
)
 
1,427

 
(610
)
Equity in earnings (losses) from real estate and other affiliates
5,831

4,403

(8,964
)
 
268,365

 
269,635

Gain (loss) on sale or disposal of real estate, net
38,232

—

—

 
8,000

 
46,232

Gain (loss) on extinguishment of debt
(1,521
)
—

(11,645
)
 
—

 
(13,166
)
Provision for impairment
(48,738
)
—

—

 
—

 
(48,738
)
Segment EBT
$
(53,717
)
$
122,929

$
(88,238
)
 
$
168,658

 
$
149,632

Corporate income, expenses and other items
 
 
 
 
 
 
(144,815
)
Net income (loss)
 
 
 
 
 
 
4,817

Net (income) loss attributable to noncontrolling interests
 
 
 
 
 
 
(24,325
)
Net income (loss) attributable to common stockholders
 
 
 
 
 
 
$
(19,508
)
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2019
 
 
 
 
 
 
 
Total revenues
$
305,395

$
216,042

$
43,051

 
$
451,873

 
$
1,016,361

Total operating expenses
(139,589
)
(109,676
)
(59,735
)
 
(382,341
)
 
(691,341
)
Segment operating income (loss)
165,806

106,366

(16,684
)
 
69,532

 
325,020

Depreciation and amortization
(84,890
)
(334
)
(19,713
)
 
(4,386
)
 
(109,323
)
Interest expense, net
(60,695
)
24,376

(8,440
)
 
9,499

 
(35,260
)
Other income (loss), net
1,186

601

(147
)
 
664

 
2,304

Equity in earnings (losses) from real estate and other affiliates
3,195

18,859

(1,788
)
 
581

 
20,847

Gain (loss) on sale or disposal of real estate, net
—

—

(6
)
 
24,057

 
24,051

Selling profit from sales-type leases
13,537

—

—

 
—

 
13,537

Segment EBT
$
38,139

$
149,868

$
(46,778
)
 
$
99,947

 
$
241,176

Corporate income, expenses and other items
 
 
 
 
 
 
(165,880
)
Net income (loss)
 
 
 
 
 
 
75,296

Net (income) loss attributable to noncontrolling interests
 
 
 
 
 
 
(240
)
Net income (loss) attributable to common stockholders
 
 
 
 
 
 
$
75,056

(a)
Total revenues includes hospitality revenues of $27.9 million for the nine months ended September 30, 2020, and $68.5 million for the nine months ended September 30, 2019. Total operating expenses includes hospitality operating costs of $24.8 million for the nine months ended September 30, 2020, and $46.3 million for the nine months ended September 30, 2019.


The assets by segment and the reconciliation of total segment assets to the Total assets in the Condensed Consolidated Balance Sheets are summarized as follows:
 
September 30,
 
December 31,
thousands
2020
 
2019
Operating Assets
$
3,911,853

 
$
3,476,718

Master Planned Communities
2,310,333

 
2,166,472

Seaport District
912,191

 
930,067

Strategic Developments
1,164,749

 
1,540,161

Total segment assets
8,299,126

 
8,113,418

Corporate
742,119

 
300,348

Total assets
$
9,041,245

 
$
8,413,766