Discontinued Operations

12 Months Ended

Dec. 31, 2020

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

17. Discontinued Operations.

On May 21, 2018, the Company completed the disposition of 40 industrial warehouse properties and three additional land parcels to an affiliate of Blackstone Real Estate Partners VIII, L.P. for $347.2 million. One warehouse property valued at $11.7 million was excluded from the sale due to the tenant exercising its right of first refusal to purchase the property. On June 28, 2019, the Company completed the sale of the excluded property to the same buyer for $11.7 million. These properties comprised substantially all the assets of our Asset Management segment and have been reclassified as discontinued operations for all periods presented. The results of operations associated with discontinued operations for the years ended December 31, 2019 and 2018 were as follows (in thousands):

	Years Ended December 31,
	2019		2018
Lease Revenues	$	460		12,098
Cost of operations:
Depreciation, depletion and amortization		17		3,161
Operating expenses		248		1,742
Property taxes		41		1,286
Management company indirect		—		1,360
Corporate expenses		—		1,462
Total cost of operations		306		9,011
Total operating profit		154		3,087
Interest expense		—		(587	)
Gain on sale of buildings		9,244		164,915
Income before income taxes		9,398		167,415
Provision for (benefit from) income taxes		2,542		45,286
Income from discontinued operations	$	6,856		122,129

The components of the balance sheet are as follows (in thousands):

	December 31
Assets:	2018
Real estate investments at cost:
Land	$	546
Buildings and improvements		3,315
Projects under construction		—
Total investments in properties		3,861
Less accumulated depreciation and depletion		2,374
Net investments in properties		1,487
Accounts receivable, net		910
Unrealized rents		473
Deferred costs		354
Other assets		—
Assets of discontinued operations	$	3,224
Liabilities:
Secured notes payable, current portion	$	—
Secured notes payable, less current portion		—
Accounts payable and accrued liabilities		205
Deferred revenue		45
Tenant security deposits		38
Liabilities of discontinued operations	$	288