OPERATING SEGMENTS

12 Months Ended

Dec. 31, 2019

Segment Reporting [Abstract]

OPERATING SEGMENTS

NOTE 15.    OPERATING SEGMENTS

Our segments are based on management’s method of internal reporting which classifies its operations by property type. The segments are commercial, apartments, land and other. 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 expenses. Management evaluates the performance of each of the operating segments and allocates resources to them based on their operating income and cash flow.

Items of income that are not reflected in the segments are interest, other income, 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 the Company’s reportable segments’ operating income including segment assets and expenditures for the years 2019, 2018 and 2017 (dollars in thousands): 

	Commercial
For the Year Ended December 31, 2019	Properties			Apartments			Land			Other			Total
Rental and other property revenues	$	32,707		$	15,257		$	—		$	6		$	47,970
Property operating expenses		(15,805	)		(8,375	)		(255	)		(778	)		(25,213	)
Depreciation		(10,229	)		(3,150	)		—			—			(13,379	)
Mortgage and loan interest		(7,018	)		(4,069	)		(1,000	)		(19,729	)		(31,816	)
Loss on debt extinguishment		(5,219	)		—			—			—			(5,219	)
Interest income		—			—			—			19,607			19,607
Loss on sale of income producing property		—			(80	)		—			—			(80	)
Gain on land sales		—			—			14,889			—			14,889
Segment operating (loss) income	$	(5,564	)	$	(417	)	$	13,634		$	(894	)	$	6,759
Capital expenditures	$	5,257		$	25,001		$	3,489		$	—		$	33,747
Assets	$	229,424		$	178,536		$	70,003		$	—		$	477,963
Property Sales
Sales price	$	—		$	3,096		$	30,012		$	—		$	33,108
Cost of sale		—			(3,176	)		(15,123	)		—			(18,299	)
(Loss) gain on sales	$	—		$	(80	)	$	14,889		$	—		$	14,809

	Commercial
For the Year Ended December 31, 2018	Properties			Apartments			Land			Other			Total
Rental and other property revenues	$	33,113		$	87,832		$	—		$	10		$	120,955
Property operating expenses		(16,558	)		(42,134	)		(275	)		(453	)		(59,420	)
Depreciation		(9,530	)		(13,217	)		—			(14	)		(22,761	)
Mortgage and loan interest		(7,662	)		(20,671	)		(318	)		(30,221	)		(58,872	)
Interest income		—			—			—			15,793			15,793
Gain on land sales		—			—			17,404			—			17,404
Segment operating income (loss)	$	(637	)	$	11,810		$	16,811		$	(14,885	)	$	13,099
Capital expenditures	$	8,246		$	16,954		$	—		$	—		$	25,200
Assets	$	153,018		$	143,500		$	84,016		$	3,970		$	384,504
Property Sales
Sales price	$	2,313		$	8,512		$	43,311		$	—		$	54,136
Cost of sale		(2,313	)		(8,512	)		(25,907	)		—			(36,732	)
Gain on land sales	$	—		$	—		$	17,404		$	—		$	17,404

	Commercial
For the Twelve Months Ended December 31, 2017	Properties			Apartments			Land			Other			Total
Rental and other property revenues	$	32,323		$	92,807		$	87		$	16		$	125,233
Property operating expenses		(17,724	)		(43,677	)		(667	)		(988	)		(63,056	)
Depreciation		(9,200	)		(16,354	)		—			(4	)		(25,558	)
Mortgage and loan interest		(7,528	)		(22,346	)		(1,588	)		(28,482	)		(59,944	)
Interest income		—			—			—			13,862			13,862
Recognition of deferred gain on sale of income producing properties		—			9,842			—			—			9,842
Gain on land sales		—			—			4,884			—			4,884
Segment operating income (loss)	$	(2,129	)	$	20,272		$	2,716		$	(15,596	)	$	5,263
Capital expenditures	$	3,157		$	1,402		$	609		$	—		$	5,168
Assets	$	137,157		$	726,852		$	115,205		$	656		$	979,870
Property Sales
Sales price	$	—		$	—		$	11,177		$	—		$	11,177
Cost of sale		—			—			(6,293	)		—			(6,293	)
Recognized prior deferred gain		—			9,842			—			—			9,842
Gain on sale	$	—		$	9,842		$	4,884		$	—		$	14,726

The table below reconciles the segment information to the corresponding amounts in the Consolidated Statements of Operations:

	For the Years Ended December 31,
	2019			2018			2017
Segment operating  income	$	6,759		$	13,099		$	5,263
Other non-segment items of income (expense)
General and administrative		(10,951	)		(11,359	)		(6,269	)
Net income fee to related party		(357	)		(631	)		(250	)
Advisory fee to related party		(5,806	)		(10,663	)		(9,995	)
Other income		84			28,150			625
Gain on formation of joint venture		—			154,126			—
Foreign currency translation (loss) gain		(15,108	)		12,399			(4,536	)
(Loss) earnings from joint venture		(2,774	)		44			—
Earnings from other unconsolidated investees		16			1,085			26
Income tax benefit (expense)		2,000			(3,210	)		(180	)
Net (loss) income from continuing operations	$	(26,137	)	$	183,040		$	(15,316	)

The table below reconciles the segment information to the corresponding amounts in the Consolidated Balance Sheets:

	As of December 31,
	2019		2018		2017
Segment assets	$	387,790	$	384,504	$	979,870
Investments in unconsolidated subsidiaries and investees		81,780		90,571		2,472
Notes and interest receivable		120,986		83,541		70,166
Other assets and receivables		275,362		303,764		260,914
Total assets	$	865,918	$	862,380	$	1,313,422