| BUSINESS SEGMENT DATA |
NOTE 21. BUSINESS SEGMENT DATA The Company operates in three primary business segments: income properties, management services, and commercial loans and investments. The management services segment consists of the revenue generated from managing PINE, the Portfolio Management Agreement and a 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 80.9% and 87.2% of our identifiable assets as of September 30, 2026 and December 31, 2025, respectively. Our income property operations accounted for 85.0% and 88.6% of our consolidated revenues for the nine months ended September 30, 2026 and 2025, respectively. Our management fee income consists of the management fees earned for the management of PINE, the Portfolio Management Agreement and a subsurface management agreement during the nine months ended September 30, 2026 and 2025. As of September 30, 2026, our commercial loan and investment portfolio consisted of five commercial loan investments and three preferred equity investments which are classified as commercial loan investments. Information about the Company’s operations in different segments for the three months ended September 30, 2026 is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 38,451 | | $ | — | | $ | — | | $ | 38,451 | Management Fee Income | | | — | | | 1,521 | | | — | | | 1,521 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 6,942 | | | 6,942 | Total Revenues for Reportable Segments | | $ | 38,451 | | $ | 1,521 | | $ | 6,942 | | $ | 46,914 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (11,581) | | $ | — | | $ | — | | $ | (11,581) | Total Revenues Less Direct Costs of Revenues | | $ | 26,870 | | $ | 1,521 | | $ | 6,942 | | $ | 35,333 | Provision for Impairment and Adjustment to CECL Reserve | | | — | | | — | | | (354) | | | (354) | Depreciation and Amortization - Real Estate | | | (17,376) | | | — | | | — | | | (17,376) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 9,494 | | $ | 1,521 | | $ | 6,588 | | $ | 17,603 | Gain on Disposition of Assets | | | — | | | — | | | — | | | — | Net Income From Operations for Reportable Segments | | $ | 9,494 | | $ | 1,521 | | $ | 6,588 | | $ | 17,603 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Loss | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (5,806) | Investment and Other Loss | | | | | | | | | | | | (9,419) | Interest Expense | | | | | | | | | | | | (7,934) | Loss on Extinguishment of Debt | | | | | | | | | | | | (211) | Depreciation and Amortization - Other | | | | | | | | | | | | (17) | Net Loss Before Income Tax Benefit | | | | | | | | | | | $ | (5,784) | Income Tax Benefit | | | | | | | | | | | | 612 | Net Loss Attributable to the Company | | | | | | | | | | | $ | (5,172) |
Information about the Company’s operations in different segments for the three months ended September 30, 2025 is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 33,439 | | $ | — | | $ | — | | $ | 33,439 | Management Fee Income | | | — | | | 1,176 | | | — | | | 1,176 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 3,142 | | | 3,142 | Total Revenues for Reportable Segments | | $ | 33,439 | | $ | 1,176 | | $ | 3,142 | | $ | 37,757 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (9,274) | | $ | — | | $ | — | | $ | (9,274) | Total Revenues Less Direct Costs of Revenues | | $ | 24,165 | | $ | 1,176 | | $ | 3,142 | | $ | 28,483 | Provision for Impairment and Adjustment to CECL Reserve | | | — | | | — | | | (68) | | | (68) | Depreciation and Amortization - Real Estate | | | (14,913) | | | — | | | — | | | (14,913) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 9,252 | | $ | 1,176 | | $ | 3,074 | | $ | 13,502 | Gain on Disposition of Assets | | | 1,373 | | | — | | | — | | | 1,373 | Net Income From Operations for Reportable Segments | | $ | 10,625 | | $ | 1,176 | | $ | 3,074 | | $ | 14,875 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (4,780) | Investment and Other Loss | | | | | | | | | | | | (221) | Interest Expense | | | | | | | | | | | | (6,833) | Loss on Extinguishment of Debt | | | | | | | | | | | | (53) | Depreciation and Amortization - Other | | | | | | | | | | | | (16) | Net Income Before Income Tax Expense | | | | | | | | | | | $ | 2,972 | Income Tax Expense | | | | | | | | | | | | (58) | Net Income Attributable to the Company | | | | | | | | | | | $ | 2,914 |
Information about the Company’s operations in different segments for the nine months ended September 30, 2026 is as follows (in thousands): | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 112,167 | | $ | — | | $ | — | | $ | 112,167 | Management Fee Income | | | — | | | 4,336 | | | — | | | 4,336 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 15,415 | | | 15,415 | Total Revenues for Reportable Segments | | $ | 112,167 | | $ | 4,336 | | $ | 15,415 | | $ | 131,918 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (32,875) | | $ | — | | $ | — | | $ | (32,875) | Total Revenues Less Direct Costs of Revenues | | $ | 79,292 | | $ | 4,336 | | $ | 15,415 | | $ | 99,043 | Provision for Impairment and Adjustment to CECL Reserve | | | — | | | — | | | (1,117) | | | (1,117) | Depreciation and Amortization - Real Estate | | | (49,145) | | | — | | | — | | | (49,145) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 30,147 | | $ | 4,336 | | $ | 14,298 | | $ | 48,781 | Gain on Disposition of Assets | | | 2,107 | | | — | | | — | | | 2,107 | Net Income From Operations for Reportable Segments | | $ | 32,254 | | $ | 4,336 | | $ | 14,298 | | $ | 50,888 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Income | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (15,513) | Investment and Other Income | | | | | | | | | | | | 4,589 | Interest Expense | | | | | | | | | | | | (22,988) | Loss on Extinguishment of Debt | | | | | | | | | | | | (211) | Depreciation and Amortization - Other | | | | | | | | | | | | (51) | Net Income Before Income Tax Expense | | | | | | | | | | | $ | 16,714 | Income Tax Expense | | | | | | | | | | | | (569) | Net Income Attributable to the Company | | | | | | | | | | | $ | 16,145 |
Information about the Company’s operations in different segments for the nine months ended September 30, 2025 is as follows (in thousands): | | | | | | | | | | | | | | | Income Properties | | Management Services | | Commercial Loans and Investments | | Total | Revenues: | | | | | | | | | | | | | Income Properties | | $ | 98,486 | | $ | — | | $ | — | | $ | 98,486 | Management Fee Income | | | — | | | 3,601 | | | — | | | 3,601 | Interest Income From Commercial Loans and Investments | | | — | | | — | | | 9,119 | | | 9,119 | Total Revenues for Reportable Segments | | $ | 98,486 | | $ | 3,601 | | $ | 9,119 | | $ | 111,206 | | | | | | | | | | | | | | Operating Expenses: | | | | | | | | | | | | | Income Properties | | $ | (28,343) | | $ | — | | $ | — | | $ | (28,343) | Total Revenues Less Direct Costs of Revenues | | $ | 70,143 | | $ | 3,601 | | $ | 9,119 | | $ | 82,863 | Provision for Impairment and Adjustment to CECL Reserve | | | — | | | — | | | (68) | | | (68) | Depreciation and Amortization - Real Estate | | | (44,536) | | | — | | | — | | | (44,536) | Total Revenues Less Operating Expenses for Reportable Segments | | $ | 25,607 | | $ | 3,601 | | $ | 9,051 | | $ | 38,259 | Gain on Disposition of Assets | | | 1,373 | | | — | | | — | | | 1,373 | Net Income From Operations for Reportable Segments | | $ | 26,980 | | $ | 3,601 | | $ | 9,051 | | $ | 39,632 | | | | | | | | | | | | | | Reconciliation to Consolidated Net Loss | | | | | | | | | | | | | General and Administrative Expenses | | | | | | | | | | | | (13,911) | Investment and Other Loss | | | | | | | | | | | | (3,333) | Interest Expense | | | | | | | | | | | | (19,828) | Loss on Extinguishment of Debt | | | | | | | | | | | | (20,449) | Depreciation and Amortization - Other | | | | | | | | | | | | (51) | Net Loss Before Income Tax Expense | | | | | | | | | | | $ | (17,940) | Income Tax Expense | | | | | | | | | | | | (303) | Net Loss Attributable to the Company | | | | | | | | | | | $ | (18,243) |
Capital expenditures of each segment for the three and nine months ended September 30, 2026 and 2025 are as follows (in thousands): | | | | | | | | | | | | | | | For the Three Months Ended September 30, | | For the Nine Months Ended September 30, | | | 2026 | | 2025 | | 2026 | | 2025 | Capital Expenditures: | | | | | | | | | | | | | Income Properties | | $ | 74,438 | | $ | 6,128 | | $ | 225,292 | | $ | 87,187 | Commercial Loans and Investments | | | 34,878 | | | 6,381 | | | 147,457 | | | 12,786 | Corporate and Other | | | 3 | | | 8 | | | 14 | | | 33 | Total Capital Expenditures | | $ | 109,319 | | $ | 12,517 | | $ | 372,763 | | $ | 100,006 |
Identifiable assets of each segment as of September 30, 2026 and December 31, 2025 are as follows (in thousands): | | | | | | | | | As of | | | September 30, 2026 | | December 31, 2025 | Identifiable Assets: | | | | | | | Income Properties | | $ | 1,209,267 | | $ | 1,102,631 | Management Services | | | 2,043 | | | 2,465 | Commercial Loans and Investments | | | 237,038 | | | 118,129 | Corporate and Other | | | 46,988 | | | 40,677 | Total Assets | | $ | 1,495,336 | | $ | 1,263,902 |
Identifiable assets by segment are those assets that are used in the Company’s operations in each segment. 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.
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