v3.26.1
REPORTING SEGMENTS AND RELATED INFORMATION
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
REPORTING SEGMENTS AND RELATED INFORMATION REPORTING SEGMENTS AND RELATED INFORMATION
The Company currently operates six reporting segments: commercial/industrial real estate development, multifamily, resort/residential real estate development, mineral resources, farming, and ranch operations. Beginning in the second quarter of 2025, the Company commenced multifamily leasing operations as buildings within the Terra Vista development were completed and placed into service. The final building was delivered in October 2025. Multifamily is presented as a separate reportable segment due to the significance of its operations and the manner in which management evaluates its performance. Prior years' segment activity related to the Multifamily has been recast, where applicable.
The financial results of these segments are utilized by the chief operating decision maker ("CODM"), who is our Chief Executive Officer, for evaluating segment performance and allocating resources. For the commercial/industrial real estate development, resort/residential real estate development, mineral resources, farming, and ranch operations segments, the CODM evaluates performance primarily based on segment operating income (loss), which begins with operating income (loss) as determined under GAAP and includes equity in earnings (losses) of unconsolidated joint ventures attributable to each segment. Segment operating income (loss) excludes investment income, other income (loss), corporate expenses, and income taxes.
For the multifamily segment, the CODM evaluates performance primarily based on net operating income ("NOI"), which excludes depreciation and amortization. The CODM uses NOI because it reflects the operating performance of the multifamily leasing operations before non-cash depreciation and amortization associated with the Company's rental properties. NOI is used in evaluating segment performance, preparing budgets and forecasts, and allocating resources within the multifamily segment.
The CODM also reviews capital expenditures by segment, which represent cash expenditures for additions to long-lived assets, consistent with the information regularly provided to and reviewed by the CODM for purposes of evaluating resource allocation decisions.
Certain prior-year amounts have been reclassified to conform to the significant expense categories in which the CODM receives the information. Specifically, certain costs previously included within General and administrative expenses have been reclassified to Operating costs within the segment expense presentation, and depreciation expense, which was previously included within Other expense, is now presented separately. These reclassifications had no impact on total operating expenses, operating income, net income, or earnings per share as previously reported.
The following tables present segment revenues and segment operating income (loss) for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Revenues
Real estate - commercial/industrial9,663 $5,092 12,425 $7,846 
Multifamily857 15 1,553 15 
Mineral resources1,789 1,510 5,322 4,105 
Farming750 607 1,645 2,163 
Ranch operations1,200 1,083 2,817 2,387 
Segment revenues14,259 8,307 23,762 16,516 
Segment Operating Income (loss)
Real estate - commercial/industrial6,551 4,432 8,925 6,688 
Multifamily345 (166)534 (357)
Real estate - resort/residential(363)(304)(719)(690)
Mineral resources899 720 1,944 1,230 
Farming(536)(890)(1,630)(1,882)
Ranch operations(93)(252)311 (221)
Segment operating income6,803 3,540 9,365 4,768 
Reconciling items:
Investment income111 226 253 572 
Depreciation and amortization - Multifamily(516)(140)(1,033)(140)
Other loss, net(82)(4)(174)(80)
Corporate expenses(2,839)(4,900)(4,725)(9,136)
Income (loss) before income taxes$3,477 $(1,278)$3,686 $(4,016)
Real Estate - Commercial/Industrial
Commercial revenue consists of land and building leases to tenants at the Company's commercial retail and industrial developments, base and percentage rents from the PEF power plant lease, communication tower rents, land sales, and payments from easement leases.
The following table summarizes revenues, expenses and operating income from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Commercial/industrial revenues$9,663 $5,092 $12,425 $7,846 
Equity in earnings of unconsolidated joint ventures3,100 2,555 4,390 3,713 
Commercial/industrial revenues and equity in earnings of unconsolidated joint ventures12,763 7,647 16,815 11,559 
Cost of sales of land$4,854 1,778 $4,854 1,774 
Operating expenses659 568 1,303 1,130 
Selling, general and administrative expenses602 764 1,533 1,755 
Depreciation and amortization97 105 200 212 
Commercial/industrial expenses6,212 3,215 7,890 4,871 
Operating income from commercial/industrial and unconsolidated joint ventures $6,551 $4,432 $8,925 $6,688 
Multifamily
The multifamily segment generates rents from the tenants living in the Terra Vista community. Construction of the Terra Vista development occurred in phases during 2024 and 2025, and leasing operations commenced as individual buildings were completed and placed into service. The final building was delivered in October 2025. The property is currently in the initial lease-up phase. For the three and six months ended June 30, 2026, the segment generated positive net operating income as lease-up progressed. Operating losses in the comparable 2025 periods primarily reflect start-up costs, as leasing operations had only recently commenced.
The following table summarizes the components of net operating income (loss) from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Multifamily revenues$857 $15 $1,553 $15 
Operating expenses334 75 701138 
Selling, general and administrative expenses178 106 318234 
Net operating income (loss)345 (166)534 (357)
Real Estate - Resort/Residential Development
The Resort/Residential real estate development segment is actively involved in pursuing land entitlement and development processes both internally and through joint ventures. The segment incurs costs and expenses related to land management activities on land held for future development, but currently generates no revenue.
The following table summarizes revenues, expenses and operating losses from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Resort/residential
Operating expenses256 128 427 285 
Selling, general and administrative expenses101 167 279 385 
Depreciation and amortization6 9 13 20 
Total resort/residential expenses$363 $304 $719 $690 
Operating loss from resort/residential$(363)$(304)$(719)$(690)
Mineral Resources
The Mineral Resources segment revenues include water sales and oil and mineral royalties from exploration and development companies that extract or mine natural resources from the Company's land. The following table summarizes revenues, expenses and operating income from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Mineral resources revenues$1,789 $1,510 $5,322 $4,105 
Cost of sales of water117 (24)1,741 1,183 
Operating expenses333 282 637 576 
Selling, general and administrative expenses96 188 312 429 
Depreciation and amortization344 344 688 687 
Mineral resources expenses890 790 3,378 2,875 
Operating income from mineral resources $899 $720 $1,944 $1,230 
Farming
The Farming segment revenues include the sale of almonds, pistachios, wine grapes, and hay. The following table summarizes revenues, expenses and operating losses from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Farming revenues$750 $607 $1,645 $2,163 
Cost of sales171 443 790 1,743 
Selling, general and administrative expenses93 69 128 106 
Depreciation and amortization257 312 586 680 
Direct farming expenses521 824 1,504 2,529 
Operating income (loss) from farming before fixed water obligations229 (217)141 (366)
Fixed water obligations765 673 1,771 1,516 
Operating loss from farming$(536)$(890)$(1,630)$(1,882)
Ranch Operations
The Ranch Operations segment consists of game management revenues and ancillary land uses, such as grazing leases and on-location filming. The following table summarizes revenues, expenses and operating income (loss) from this segment for the periods ended:
Three Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Ranch operations revenues$1,200 $1,083 $2,817 $2,387 
Operating expenses1,129 1,067 2,101 2,074 
Selling, general and administrative expenses75 171 228 342 
Depreciation and amortization89 97 177 192 
Ranch operations expenses1,293 1,335 2,506 2,608 
Operating income (loss) from ranch operations$(93)$(252)$311 $(221)
Information pertaining to identifiable assets of the Company’s reporting segments is as follows for the periods ended:
Identifiable Assets
($ in thousands)
June 30, 2026December 31, 2025
Real estate - commercial/industrial$72,433 $64,681 
Multifamily63,705 63,695 
Real estate - resort/residential346,649 341,433 
Mineral resources66,236 62,236 
Farming61,968 58,545 
Ranch operations2,695 2,172 
Corporate25,852 37,707 
Total$639,538 $630,469 
Identifiable assets by segment include both assets directly identified with those operations and an allocable share of jointly used assets. Corporate assets consist primarily of cash and cash equivalents, marketable securities, deferred income taxes, and land and buildings. Land is valued at cost for acquisitions since 1936. Land acquired in 1936, upon organization of the Company, is stated on the basis carried by the Company’s predecessor.
Information pertaining to depreciation and amortization of the Company’s reporting segments is as follows for the periods ended:
Depreciation and AmortizationThree Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Real estate - commercial/industrial$97 $105 $200 $212 
Multifamily516 140 1,033 140 
Real estate - resort/residential6 9 13 20 
Mineral resources344 344 688 687 
Farming257 312 586 680 
Ranch operations89 97 177 192 
Corporate82 88 167 179 
Total$1,391 $1,095 $2,864 $2,110 
Information pertaining to capital expenditures of the Company’s reporting segments is as follows for the periods ended:
Capital ExpendituresThree Months Ended June 30,Six Months Ended June 30,
($ in thousands)2026202520262025
Real estate - commercial/industrial$3,554 $3,706 $3,736 $5,663 
Multifamily9 11,264 32 22,850 
Real estate - resort/residential3,453 2,741 5,350 4,405 
Mineral resources— 1 — 56 
Farming1,426 1,722 3,166 3,752 
Ranch operations22 112 154 156 
Corporate— 56 — 264 
Total$8,464 $19,602 $12,438 $37,146