Operating Segments

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Operating Segments

Operating Segments

Our segments are based on the internal reporting that we review for operational decision-making purposes. We operate in two reportable segments: (i) the acquisition, development, ownership and management of multifamily properties and (ii) the acquisition, ownership and management of commercial properties. The services for our multifamily segment include rental of apartments and other tenant services, including parking and storage space rental. Asset information by segment is not reported because we do not use this measure to assess performance or make decisions to allocate resources. Therefore, depreciation and amortization expense is not allocated among segments. General and administrative expenses, advisory fees, interest income and interest expense are not included in segment profit as our internal reporting addresses these items on a corporate level.

The following table presents our reportable segments for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
	2023		2022
Multifamily Segment
Revenues	$	7,373	$	3,229
Operating expenses	(3,708)		(1,721)
Profit from segment	3,665		1,508
Commercial Segment
Revenues	3,636		4,252
Operating expenses	(2,398)		(2,307)
Profit from segment	1,238		1,945
Total profit from segments	$	4,903	$	3,453

The table below reflects the reconciliation of total profit from segments to net income for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
	2023		2022
Total profit from segments	$	4,903	$	3,453
Other non-segment items of income (expense)
Depreciation and amortization	(3,102)		(2,349)
General and administrative	(2,883)		(2,531)
Advisory fee to related party	(2,170)		(3,005)
Other income	679		306
Interest income	9,772		5,814
Interest expense	(4,031)		(5,027)
Gain on foreign currency transactions	971		3,772
Loss on early extinguishment of debt	—		(1,639)
Income from unconsolidated joint venture	688		4,706
Gain on sales or write-down of assets	—		11,148
Income tax provision	(1,112)		(28)
Net income	$	3,715	$	14,620