SEGMENT DISCLOSURE (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of Segment Net Operating Income (Loss)

The net operating income (loss) of the Company’s segments for the years ended December 31, 2022 and 2021 is as follows:


	Year Ended December 31,
	2022		2021
	(in thousands)
Office:
Revenues	$	55,928	$	53,289
Property expenses:
Operating	26,537		23,431
General and administrative	225		347
Total property expenses	26,762		23,778
Income from unconsolidated entity	164		—
Segment net operating income—office	29,330		29,511
Hotel:
Revenues	35,213		17,849
Property expenses:
Operating	23,989		15,841
General and administrative	110		128
Total property expenses	24,099		15,969
Segment net operating income—hotel	11,114		1,880
Lending:
Revenues	10,765		19,787
Lending expenses:
Interest expense	552		408
Expense reimbursements to related parties—lending segment	1,929		1,921
General and administrative	1,904		1,788
Total lending expenses	4,385		4,117
Segment net operating income—lending	6,380		15,670
Total segment net operating income	$	46,824	$	47,061

Schedule of Reconciliation of Segment Net Operating Income to Net Income Attributable to the Company

A reconciliation of the Company’s segment net operating income to net income attributable to the Company for the years ended December 31, 2022 and 2021 is as follows:


	Year Ended December 31,
	2022		2021
	(in thousands)
Total segment net operating income	$	46,824	$	47,061
Interest and other income	—		1
Asset management and other fees to related parties	(3,570)		(9,030)
Expense reimbursements to related parties—corporate	(1,925)		(2,050)
Interest expense	(9,052)		(9,005)
General and administrative	(4,630)		(4,581)
Transaction costs	(223)		(143)
Depreciation and amortization	(20,348)		(20,112)



Income before provision for income taxes	7,076		2,141
Provision for income taxes	(1,131)		(2,992)
Net income (loss)	5,945		(851)
Net (income) loss attributable to noncontrolling interests	(27)		1
Net income (loss) attributable to the Company	$	5,918	$	(850)

Schedule of Segment Condensed Assets

The condensed assets for each of the segments as of December 31, 2022 and 2021, along with capital expenditures and loan originations for the years ended December 31, 2022 and 2021 are as follows:


	December 31,
	2022		2021
	(in thousands)
Condensed assets:
Office	$	471,677	$	449,843
Hotel	99,082		101,308
Lending	76,148		96,729
Non-segment assets(1)	43,341		12,986
Total assets	$	690,248	$	660,866

Schedule of Segment Capital Expenditures and Loan Originations


	Year Ended December 31,
	2022		2021
	(in thousands)
Capital expenditures (2) and loan originations:
Office	$	9,094	$	5,714
Hotel	414		193
Total capital expenditures	9,508		5,907
Loan originations	40,619		133,290
Total capital expenditures and loan originations	$	50,127	$	139,197

(1)Includes investments in real estate of $9.9 million representing three development sites which the Company intends to develop into multifamily assets.

(2)Represents additions and improvements to real estate investments, excluding acquisitions. Includes the activity for dispositions through their respective disposition dates.