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Segments
6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segments
15. Segments
 
The Company has four business segments that offer different products and services. HHH’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. Because the Company’s four segments, Operating Assets, MPC, Seaport, and Strategic Developments, are managed separately, the Company uses different operating measures to assess operating results and allocate resources among them. The one common operating measure used to assess operating results for the Company’s business segments is earnings before tax (EBT). EBT, as it relates to each business segment, includes the revenues and expenses of each segment, as shown below. EBT excludes corporate expenses and other items that are not allocable to the segments. The Company presents EBT for each segment because the Company uses this measure, among others, internally to assess the core operating performance of the Company’s assets. 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 developed or acquired retail, office, and multi-family properties along with other real estate investments. These properties are currently generating revenues and may be redeveloped, repositioned, or sold 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 Phoenix, Arizona.
Seaport – consists of restaurant, retail, and entertainment properties situated in three primary locations in New York City: Pier 17, Historic Area/Uplands, and Tin Building as well as the 250 Water Street development, and equity interest in Jean-Georges Restaurants.
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:
thousandsOperating Assets SegmentMPC SegmentSeaport SegmentStrategic Developments SegmentTotal
Three Months Ended June 30, 2024
Total revenues$123,841 $172,181 $20,860 $509 $317,391 
Total operating expenses(58,490)(70,883)(32,756)(4,206)(166,335)
Segment operating income (loss)65,351 101,298 (11,896)(3,697)151,056 
Depreciation and amortization(43,920)(108)(3,949)(3,878)(51,855)
Interest income (expense), net(34,699)16,168 (2,676)4,594 (16,613)
Other income (loss), net530 — (87)(17)426 
Equity in earnings (losses) from unconsolidated ventures337 5,883 (6,552)36 (296)
Gain (loss) on extinguishment of debt(198)— — — (198)
Segment EBT $(12,599)$123,241 $(25,160)$(2,962)$82,520 
Corporate income, expenses, and other items(61,462)
Net income (loss)21,058 
Net (income) loss attributable to noncontrolling interests34 
Net income (loss) attributable to common stockholders$21,092 
Three Months Ended June 30, 2023
Total revenues$121,427 $63,311 $22,804 $15,758 $223,300 
Total operating expenses(54,452)(28,078)(26,665)(35,341)(144,536)
Segment operating income (loss)66,975 35,233 (3,861)(19,583)78,764 
Depreciation and amortization(40,878)(106)(10,469)(943)(52,396)
Interest income (expense), net(30,285)17,161 1,311 5,442 (6,371)
Other income (loss), net(40)— (1,601)(17)(1,658)
Equity in earnings (losses) from unconsolidated ventures2,042 2,638 (10,896)30 (6,186)
Gain (loss) on sale or disposal of real estate and other assets, net(16)— — — (16)
Segment EBT $(2,202)$54,926 $(25,516)$(15,071)$12,137 
Corporate income, expenses, and other items(31,278)
Net income (loss)(19,141)
Net (income) loss attributable to noncontrolling interests(2)
Net income (loss) attributable to common stockholders$(19,143)
Six Months Ended June 30, 2024
Total revenues$233,993 $221,056 $32,362 $1,102 $488,513 
Total operating expenses(109,885)(95,932)(54,241)(12,860)(272,918)
Segment operating income (loss)124,108 125,124 (21,879)(11,758)215,595 
Depreciation and amortization(88,076)(218)(9,706)(5,297)(103,297)
Interest income (expense), net(68,175)31,414 (4,688)8,618 (32,831)
Other income (loss), net938 — (87)(14)837 
Equity in earnings (losses) from unconsolidated ventures6,154 (8,828)(16,832)75 (19,431)
Gain (loss) on sale or disposal of real estate and other assets, net4,794 — — — 4,794 
Gain (loss) on extinguishment of debt(198)— — — (198)
Segment EBT $(20,455)$147,492 $(53,192)$(8,376)$65,469 
Corporate income, expenses, and other items(96,878)
Net income (loss)(31,409)
Net (income) loss attributable to noncontrolling interests24 
Net income (loss) attributable to common stockholders$(31,385)
thousandsOperating Assets SegmentMPC SegmentSeaport SegmentStrategic Developments SegmentTotal
Six Months Ended June 30, 2023
Total revenues$222,352 $140,324 $34,701 $22,198 $419,575 
Total operating expenses(102,051)(62,429)(45,581)(46,400)(256,461)
Segment operating income (loss)120,301 77,895 (10,880)(24,202)163,114 
Depreciation and amortization(80,510)(213)(20,996)(1,886)(103,605)
Interest income (expense), net(59,196)32,973 2,497 7,505 (16,221)
Other income (loss), net2,242 (103)(1,600)77 616 
Equity in earnings (losses) from unconsolidated ventures3,947 6,746 (21,716)35 (10,988)
Gain (loss) on sale or disposal of real estate and other assets, net4,714 — — — 4,714 
Segment EBT $(8,502)$117,298 $(52,695)$(18,471)$37,630 
Corporate income, expenses, and other items(79,398)
Net income (loss)(41,768)
Net (income) loss attributable to noncontrolling interests(120)
Net income (loss) attributable to common stockholders$(41,888)

The assets by segment and the reconciliation of total segment assets to Total assets in the Condensed Consolidated Balance Sheets are summarized as follows:
thousandsJune 30, 2024December 31, 2023
Operating Assets$3,666,355 $3,577,694 
Master Planned Communities3,497,137 3,358,821 
Seaport480,866 485,898 
Strategic Developments1,969,028 1,638,955 
Total segment assets9,613,386 9,061,368 
Corporate290,105 515,635 
Total assets$9,903,491 $9,577,003