OPERATING SEGMENTS

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

OPERATING SEGMENTS

NOTE 6. OPERATING SEGMENTS

The Company’s segments are based on management’s method of internal reporting, which classifies operations by the type of property in the portfolio. The Company’s segments by use of property are 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 and other 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, gain on debt extinguishment, gain on condemnation award, 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 operating segment information for the three and nine months ended September 30, 2015 and 2014 (dollars in thousands):

For the Three Months Ended September 30, 2015	Land			Other		Total
Rental and other property revenues	$	—		$	—	$	—
Property operating expenses		56			—		56
Mortgage and loan interest		112			—		112
Interest income from related parties		—			1,137		1,137
Segment operating income (loss)	$	(168	)	$	1,137	$	969
Real estate assets		22,717			—		22,717
For the Three Months Ended September 30, 2014		Land			Other		Total
Rental and other property revenues	$	—		$	—	$	—
Property operating expenses		13			—		13
Mortgage and loan interest		176			—		176
Interest income from related parties		—			1,179		1,179
Segment operating income (loss)	$	(189	)	$	1,179	$	990
Real estate assets		24,515			—		24,515

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

	For the Three Months Ended
	September 30,
	2015			2014
Segment operating income	$	969		$	990
Other non-segment items of income (expense)
General and administrative		(62	)		(143	)
Net income fee to related party		(51	)		(51	)
Advisory fee to related party		(176	)		(173	)
Net income from continuing operations	$	680		$	623

The table below reconciles the segment information to the corresponding amounts in the Consolidated Balance Sheets (dollars in thousands):

	September 30,
	2015		2014
Real estate assets	$	22,717	$	24,515
Notes and interest receivable		24,317		24,865
Other assets		47,204		43,886
Total assets	$	94,238	$	93,266

For the Nine Months Ended September 30, 2015	Land			Other		Total
Rental and other property revenues	$	—		$	—	$	—
Property operating expenses		71			—		71
Mortgage and loan interest		441			—		441
Interest income from related parties		—			3,376		3,376
Segment operating income (loss)	$	(512	)	$	3,376	$	2,864
Real estate assets		22,717			—		22,717
For the Nine Months Ended September 30, 2014		Land			Other		Total
Rental and other property revenues	$	—		$	—	$	—
Property operating expenses		42			—		42
Mortgage and loan interest		538			—		538
Interest income from related parties		—			3,547		3,547
Segment operating income (loss)	$	(580	)	$	3,547	$	2,967
Real estate assets		24,515			—		24,515

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

	For the Nine Months Ended
	September 30,
	2015			2014
Segment operating income	$	2,864		$	2,967
Other non-segment items of income (expense)
General and administrative		(359	)		(422	)
Net income fee to related party		(142	)		(152	)
Advisory fee to related party		(526	)		(516	)
Net income from continuing operations	$	1,837		$	1,877

The table below reconciles the segment information to the corresponding amounts in the Consolidated Balance Sheets (dollars in thousands):

	September 30,
	2015		2014
Real estate assets	$	22,717	$	24,515
Notes and interest receivable		24,317		24,865
Other assets		47,204		43,886
Total assets	$	94,238	$	93,266