| BUSINESS SEGMENT DATA |
NOTE 22. BUSINESS SEGMENT DATA The Company operates in four primary business segments: income properties, management services, commercial loans and investments, and real estate operations. The management services segment consists of the revenue generated from managing PINE, the Portfolio Management Agreement and the Subsurface Management Agreement, as described further in Note 5, “Management Services Business.” Our income property operations consist of income-producing properties, and our business plan is focused on investing in additional income-producing properties. Our income property operations accounted for 88% of our identifiable assets as of June 30, 2025 and December 31, 2024, and 88.6% of our consolidated revenues for each of the six months ended June 30, 2025 and 2024. Our management fee income consists of the management fees earned for the management of PINE, the Portfolio Management Agreement and the Subsurface Management Agreement during the six months ended June 30, 2025 and 2024. As of June 30, 2025, our commercial loan and investment portfolio consisted of four commercial loan investments and two preferred equity investments which are classified as commercial loan investments. Our real estate operations consists of revenues generated from the sale of and royalty income related to our interests in subsurface oil, gas, and mineral rights, and the sale of mitigation credits. The Company’s assets underlying its real estate operations were sold during the year ended December 31, 2024, therefore, no further revenues are expected from this segment. Information about the Company’s operations in different segments for the three months ended June 30, 2025 is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 33,375 | | $ | — | | $ | — | | $ | 33,375 | Management Fee Income | | | — | | | 1,247 | | | — | | | 1,247 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 3,016 | | | 3,016 | Total Revenues for Reportable Segments | | $ | 33,375 | | $ | 1,247 | | $ | 3,016 | | $ | 37,638 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (10,178) | | $ | — | | $ | — | | $ | (10,178) | Total Revenues Less Direct Costs of Revenues | | $ | 23,197 | | $ | 1,247 | | $ | 3,016 | | $ | 27,460 | Provision for Impairment | | | — | | | — | | | — | | | — | Depreciation and Amortization - Real Estate | | | (15,277) | | | — | | | — | | | (15,277) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 7,920 | | $ | 1,247 | | $ | 3,016 | | $ | 12,183 | Gain on Disposition of Assets | | | — | | | — | | | — | | | — | Net Income From Operations for Reportable Segments | | $ | 7,920 | | $ | 1,247 | | $ | 3,016 | | $ | 12,183 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (4,448) | Investment and Other Loss | | | | | | | | | | | | (3,687) | Interest Expense | | | | | | | | | | | | (6,859) | Loss on Extinguishment of Debt | | | | | | | | | | | | (20,396) | Depreciation and Amortization - Other | | | | | | | | | | | | (17) | Net Loss Before Income Tax Expense | | | | | | | | | | | $ | (23,224) | Income Tax Expense | | | | | | | | | | | | (194) | Net Loss Attributable to the Company | | | | | | | | | | | $ | (23,418) |
Information about the Company’s operations in different segments for the three months ended June 30, 2024 is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Real Estate Operations | | Total | Revenues: | | | | | | | | | | | | | | | | Income Properties | | $ | 25,878 | | $ | — | | $ | — | | $ | — | | $ | 25,878 | Management Fee Income | | | — | | | 1,131 | | | — | | | — | | | 1,131 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 1,441 | | | — | | | 1,441 | Real Estate Operations | | | — | | | — | | | — | | | 395 | | | 395 | Total Revenues for Reportable Segments | | $ | 25,878 | | $ | 1,131 | | $ | 1,441 | | $ | 395 | | $ | 28,845 | | | | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | | | | Income Properties | | $ | (8,080) | | $ | — | | $ | — | | $ | — | | $ | (8,080) | Real Estate Operations | | | — | | | — | | | — | | | (259) | | | (259) | Total Revenues Less Direct Costs of Revenues | | $ | 17,798 | | $ | 1,131 | | $ | 1,441 | | $ | 136 | | $ | 20,506 | Provision for Impairment | | | — | | | — | | | (67) | | | — | | | (67) | Depreciation and Amortization - Real Estate | | | (11,532) | | | — | | | — | | | — | | | (11,532) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 6,266 | | $ | 1,131 | | $ | 1,374 | | $ | 136 | | $ | 8,907 | Gain on Disposition of Assets | | | — | | | — | | | — | | | — | | | — | Net Income From Operations for Reportable Segments | | $ | 6,266 | | $ | 1,131 | | $ | 1,374 | | $ | 136 | | $ | 8,907 | | | | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | | | | (3,459) | Investment and Other Income | | | | | | | | | | | | | | | 1,429 | Interest Expense | | | | | | | | | | | | | | | (5,604) | Depreciation and Amortization - Other | | | | | | | | | | | | | | | (17) | Net Income Before Income Tax Expense | | | | | | | | | | | | | | $ | 1,256 | Income Tax Expense | | | | | | | | | | | | | | | (73) | Net Income Attributable to the Company | | | | | | | | | | | | | | $ | 1,183 |
Information about the Company’s operations in different segments for the six months ended June 30, 2025 is as follows (in thousands): | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 65,047 | | $ | — | | $ | — | | $ | 65,047 | Management Fee Income | | | — | | | 2,425 | | | — | | | 2,425 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 5,977 | | | 5,977 | Total Revenues for Reportable Segments | | $ | 65,047 | | $ | 2,425 | | $ | 5,977 | | $ | 73,449 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (19,069) | | $ | — | | $ | — | | $ | (19,069) | Total Revenues Less Direct Costs of Revenues | | $ | 45,978 | | $ | 2,425 | | $ | 5,977 | | $ | 54,380 | Provision for Impairment | | | — | | | — | | | — | | | — | Depreciation and Amortization - Real Estate | | | (29,623) | | | — | | | — | | | (29,623) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 16,355 | | $ | 2,425 | | $ | 5,977 | | $ | 24,757 | Gain on Disposition of Assets | | | — | | | — | | | — | | | — | Net Income From Operations for Reportable Segments | | $ | 16,355 | | $ | 2,425 | | $ | 5,977 | | $ | 24,757 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (9,131) | Investment and Other Loss | | | | | | | | | | | | (3,112) | Interest Expense | | | | | | | | | | | | (12,995) | Loss on Extinguishment of Debt | | | | | | | | | | | | (20,396) | Depreciation and Amortization - Other | | | | | | | | | | | | (35) | Net Loss Before Income Tax Benefit | | | | | | | | | | | $ | (20,912) | Income Tax Expense | | | | | | | | | | | | (245) | Net Loss Attributable to the Company | | | | | | | | | | | $ | (21,157) |
Information about the Company’s operations in different segments for the six months ended June 30, 2024 is as follows (in thousands): | | | | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Real Estate Operations | | Total | Revenues: | | | | | | | | | | | | | | | | Income Properties | | $ | 50,501 | | $ | — | | $ | — | | $ | — | | $ | 50,501 | Management Fee Income | | | — | | | 2,236 | | | — | | | — | | | 2,236 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 2,792 | | | — | | | 2,792 | Real Estate Operations | | | — | | | — | | | — | | | 1,443 | | | 1,443 | Total Revenues for Reportable Segments | | $ | 50,501 | | $ | 2,236 | | $ | 2,792 | | $ | 1,443 | | $ | 56,972 | | | | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | | | | Income Properties | | $ | (14,833) | | $ | — | | $ | — | | $ | — | | $ | (14,833) | Real Estate Operations | | | — | | | — | | | — | | | (1,078) | | | (1,078) | Total Revenues Less Direct Costs of Revenues | | $ | 35,668 | | $ | 2,236 | | $ | 2,792 | | $ | 365 | | $ | 41,061 | Provision for Impairment | | | — | | | — | | | (115) | | | — | | | (115) | Depreciation and Amortization - Real Estate | | | (22,447) | | | — | | | — | | | — | | | (22,447) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 13,221 | | $ | 2,236 | | $ | 2,677 | | $ | 365 | | $ | 18,499 | Gain on Disposition of Assets | | | 4,618 | | | — | | | — | | | 4,545 | | | 9,163 | Net Income From Operations for Reportable Segments | | $ | 17,839 | | $ | 2,236 | | $ | 2,677 | | $ | 4,910 | | $ | 27,662 | | | | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | | | | (7,675) | Investment and Other Loss | | | | | | | | | | | | | | | (1,830) | Interest Expense | | | | | | | | | | | | | | | (11,133) | Depreciation and Amortization - Other | | | | | | | | | | | | | | | (33) | Net Income Before Income Tax Benefit | | | | | | | | | | | | | | $ | 6,991 | Income Tax Benefit | | | | | | | | | | | | | | | 34 | Net Income Attributable to the Company | | | | | | | | | | | | | | $ | 7,025 |
Capital expenditures of each segment for the three and six months ended June 30, 2025 and 2024 are as follows (in thousands): | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | | June 30, 2025 | | June 30, 2024 | | June 30, 2025 | | June 30, 2024 | Capital Expenditures: | | | | | | | | | | | | | Income Properties | | $ | 195 | | $ | 4,716 | | $ | 81,059 | | $ | 78,119 | Commercial Loans and Investments | | | 4,974 | | | 455 | | | 6,405 | | | 7,030 | Corporate and Other | | | 13 | | | 6 | | | 25 | | | 15 | Total Capital Expenditures | | $ | 5,182 | | $ | 5,177 | | $ | 87,489 | | $ | 85,164 |
Identifiable assets of each segment as of June 30, 2025 and December 31, 2024 are as follows (in thousands): | | | | | | | | | As of | | | June 30, 2025 | | December 31, 2024 | Identifiable Assets: | | | | | | | Income Properties | | $ | 1,089,332 | | $ | 1,039,466 | Management Services | | | 1,443 | | | 1,481 | Commercial Loans and Investments | | | 106,817 | | | 105,763 | Real Estate Operations | | | 621 | | | 611 | Corporate and Other | | | 35,013 | | | 34,323 | Total Assets | | $ | 1,233,226 | | $ | 1,181,644 |
Identifiable assets by segment are those assets that are used in the Company’s operations in each segment. Real Estate Operations includes the identifiable assets of certain real estate operations receivables. Corporate and other assets consist primarily of cash and restricted cash, property, plant, and equipment related to the other operations, as well as the general and corporate operations. The Management Services and Real Estate Operations segments had no capital expenditures during the three and six months ended June 30, 2025 or 2024.
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