Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2019 | Nov. 04, 2019 | |
Document And Entity Information | ||
Entity Registrant Name | DRIVE SHACK INC. | |
Entity Central Index Key | 0001175483 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Entity Current Reporting Status | Yes | |
Amendment Flag | false | |
Entity Shell Company | false | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Entity Common Stock, Shares Outstanding | 67,056,036 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Interactive Data Current | Yes |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 24,816 | $ 79,235 |
Restricted cash | 3,163 | 3,326 |
Accounts receivable, net | 5,243 | 7,518 |
Real estate assets, held-for-sale, net | 27,833 | 75,862 |
Real estate securities, available-for-sale | 2,914 | 2,953 |
Other current assets | 18,615 | 20,505 |
Total current assets | 82,584 | 189,399 |
Restricted cash, noncurrent | 931 | 258 |
Property and equipment, net of accumulated depreciation | 185,737 | 132,605 |
Operating lease right-of-use assets | 220,197 | |
Intangibles, net of accumulated amortization | 18,208 | 48,388 |
Other investments | 23,648 | 22,613 |
Other assets | 4,601 | 8,684 |
Total assets | 535,906 | 401,947 |
Current liabilities | ||
Obligations under finance leases | 6,222 | 5,489 |
Membership deposit liabilities | 10,766 | 8,861 |
Accounts payable and accrued expenses | 38,032 | 45,284 |
Deferred revenue | 7,627 | 18,793 |
Real estate liabilities, held-for-sale | 21 | 2,947 |
Other current liabilities | 28,697 | 22,285 |
Total current liabilities | 91,365 | 103,659 |
Credit facilities and obligations under finance leases - noncurrent | 14,397 | 10,489 |
Operating lease liabilities - noncurrent | 191,442 | |
Junior subordinated notes payable | 51,194 | 51,200 |
Membership deposit liabilities, noncurrent | 93,988 | 90,684 |
Deferred revenue, noncurrent | 6,170 | 6,016 |
Other liabilities | 3,694 | 5,232 |
Total liabilities | 452,250 | 267,280 |
Commitments and contingencies | ||
Equity | ||
Preferred stock, $0.01 par value, 100,000,000 shares authorized, 1,347,321 shares of 9.75% Series B Cumulative Redeemable Preferred Stock, 496,000 shares of 8.05% Series C Cumulative Redeemable Preferred Stock, and 620,000 shares of 8.375% Series D Cumulative Redeemable Preferred Stock, liquidation preference $25.00 per share, issued and outstanding as of September 30, 2019 and December 31, 2018 | 61,583 | 61,583 |
Common stock, $0.01 par value, 1,000,000,000 shares authorized, 67,050,556 and 67,027,104 shares issued and outstanding at September 30, 2019 and December 31, 2018, respectively | 670 | 670 |
Additional paid-in capital | 3,178,655 | 3,175,843 |
Accumulated deficit | (3,158,901) | (3,105,307) |
Accumulated other comprehensive income | 1,649 | 1,878 |
Total equity | 83,656 | 134,667 |
Total liabilities and equity | $ 535,906 | $ 401,947 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Preferred stock liquidation preference (in dollars per share) | $ 25 | $ 25 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 67,050,556 | 67,027,104 |
Common stock, shares outstanding (in shares) | 67,050,556 | 67,027,104 |
Series B Cumulative Redeemable Preferred Stock | ||
Preferred stock, dividend rate | 9.75% | 9.75% |
Preferred stock, shares issued (in shares) | 1,347,321 | 1,347,321 |
Preferred stock, shares outstanding (in shares) | 1,347,321 | 1,347,321 |
Series C Cumulative Redeemable Preferred Stock | ||
Preferred stock, dividend rate | 8.05% | 8.05% |
Preferred stock, shares issued (in shares) | 496,000 | 496,000 |
Preferred stock, shares outstanding (in shares) | 496,000 | 496,000 |
Series D Cumulative Redemable Preferred Stock | ||
Preferred stock, dividend rate | 8.375% | 8.375% |
Preferred stock, shares issued (in shares) | 620,000 | 620,000 |
Preferred stock, shares outstanding (in shares) | 620,000 | 620,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues | ||||
Total revenues | $ 74,682,000 | $ 87,419,000 | $ 200,249,000 | $ 245,083,000 |
Operating costs | ||||
Operating expenses | 63,454,000 | 70,330,000 | 169,897,000 | 194,751,000 |
Cost of sales - food and beverages | 3,856,000 | 5,180,000 | 10,458,000 | 15,413,000 |
General and administrative expense | 12,755,000 | 10,149,000 | 37,981,000 | 29,611,000 |
Depreciation and amortization | 5,723,000 | 4,495,000 | 15,769,000 | 14,358,000 |
Pre-opening costs | 4,350,000 | 245,000 | 7,229,000 | 2,048,000 |
Impairment and other losses | 1,872,000 | 4,172,000 | 6,077,000 | 5,645,000 |
Realized and unrealized (gain) loss on investments | 0 | 48,000 | 0 | (283,000) |
Total operating costs | 92,010,000 | 94,619,000 | 247,411,000 | 261,543,000 |
Operating loss | (17,328,000) | (7,200,000) | (47,162,000) | (16,460,000) |
Other income (expenses) | ||||
Interest and investment income | 191,000 | 467,000 | 799,000 | 1,382,000 |
Interest expense, net | (2,061,000) | (4,290,000) | (6,008,000) | (12,940,000) |
Other income (loss), net | 7,341,000 | (3,052,000) | 12,955,000 | (7,157,000) |
Total other income (expenses) | 5,471,000 | (6,875,000) | 7,746,000 | (18,715,000) |
Loss before income tax | (11,857,000) | (14,075,000) | (39,416,000) | (35,175,000) |
Income tax expense | 162,000 | 0 | 162,000 | 0 |
Net Loss | (12,019,000) | (14,075,000) | (39,578,000) | (35,175,000) |
Preferred dividends | (1,395,000) | (1,395,000) | (4,185,000) | (4,185,000) |
Loss Applicable to Common Stockholders | $ (13,414,000) | $ (15,470,000) | $ (43,763,000) | $ (39,360,000) |
Loss Applicable to Common Stock, per share | ||||
Basic (in dollars per share) | $ (0.20) | $ (0.23) | $ (0.65) | $ (0.59) |
Diluted (in dollars per share) | $ (0.20) | $ (0.23) | $ (0.65) | $ (0.59) |
Weighted Average Number of Shares of Common Stock Outstanding | ||||
Basic (in shares) | 67,040,692 | 66,992,322 | 67,032,519 | 66,982,233 |
Diluted (in shares) | 67,040,692 | 66,992,322 | 67,032,519 | 66,982,233 |
Golf operations | ||||
Revenues | ||||
Total revenues | $ 60,797,000 | $ 68,928,000 | $ 162,889,000 | $ 191,632,000 |
Food and beverages | ||||
Revenues | ||||
Total revenues | $ 13,885,000 | $ 18,491,000 | $ 37,360,000 | $ 53,451,000 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (12,019) | $ (14,075) | $ (39,578) | $ (35,175) |
Other comprehensive income (loss): | ||||
Net unrealized (loss) gain on available-for-sale securities | (229) | 738 | (229) | 801 |
Other comprehensive (loss) income | (229) | 738 | (229) | 801 |
Total comprehensive loss | (12,248) | (13,337) | (39,807) | (34,374) |
Comprehensive loss attributable to Drive Shack Inc. stockholders’ equity | $ (12,248) | $ (13,337) | $ (39,807) | $ (34,374) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comp. Income |
Equity (deficit), beginning (in shares) at Dec. 31, 2017 | 2,463,321 | 66,977,104 | ||||
Equity (deficit), beginning at Dec. 31, 2017 | $ 171,051 | $ 61,583 | $ 670 | $ 3,173,281 | $ (3,065,853) | $ 1,370 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 278 | 278 | ||||
Comprehensive income (loss) | ||||||
Net loss | (16,297) | (16,297) | ||||
Other comprehensive income | 33 | 33 | ||||
Total comprehensive loss | (16,264) | |||||
Equity (deficit), ending (in shares) at Mar. 31, 2018 | 2,463,321 | 66,977,104 | ||||
Equity (deficit), ending at Mar. 31, 2018 | 158,479 | $ 61,583 | $ 670 | 3,173,559 | (3,078,736) | 1,403 |
Equity (deficit), beginning (in shares) at Dec. 31, 2017 | 2,463,321 | 66,977,104 | ||||
Equity (deficit), beginning at Dec. 31, 2017 | 171,051 | $ 61,583 | $ 670 | 3,173,281 | (3,065,853) | 1,370 |
Comprehensive income (loss) | ||||||
Net loss | (35,175) | |||||
Other comprehensive income | 801 | |||||
Total comprehensive loss | (34,374) | |||||
Equity (deficit), ending (in shares) at Sep. 30, 2018 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), ending at Sep. 30, 2018 | 138,968 | $ 61,583 | $ 670 | 3,174,948 | (3,100,404) | 2,171 |
Equity (deficit), beginning (in shares) at Mar. 31, 2018 | 2,463,321 | 66,977,104 | ||||
Equity (deficit), beginning at Mar. 31, 2018 | 158,479 | $ 61,583 | $ 670 | 3,173,559 | (3,078,736) | 1,403 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 530 | 530 | ||||
Comprehensive income (loss) | ||||||
Net loss | (4,803) | (4,803) | ||||
Other comprehensive income | 30 | 30 | ||||
Total comprehensive loss | (4,773) | |||||
Equity (deficit), ending (in shares) at Jun. 30, 2018 | 2,463,321 | 66,977,104 | ||||
Equity (deficit), ending at Jun. 30, 2018 | 152,841 | $ 61,583 | $ 670 | 3,174,089 | (3,084,934) | 1,433 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 549 | 549 | ||||
Purchase of common stock (directors) (in shares) | 50,000 | |||||
Purchase of common stock (directors) | 310 | 310 | ||||
Comprehensive income (loss) | ||||||
Net loss | (14,075) | (14,075) | ||||
Other comprehensive income | 738 | 738 | ||||
Total comprehensive loss | (13,337) | |||||
Equity (deficit), ending (in shares) at Sep. 30, 2018 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), ending at Sep. 30, 2018 | 138,968 | $ 61,583 | $ 670 | 3,174,948 | (3,100,404) | 2,171 |
Equity (deficit), beginning (in shares) at Dec. 31, 2018 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), beginning at Dec. 31, 2018 | 134,667 | $ 61,583 | $ 670 | 3,175,843 | (3,105,307) | 1,878 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 1,222 | 1,222 | ||||
Comprehensive income (loss) | ||||||
Net loss | (14,600) | (14,600) | ||||
Other comprehensive income | 0 | |||||
Total comprehensive loss | (14,600) | |||||
Equity (deficit), ending (in shares) at Mar. 31, 2019 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), ending at Mar. 31, 2019 | 110,063 | $ 61,583 | $ 670 | 3,177,065 | (3,131,133) | 1,878 |
Equity (deficit), beginning (in shares) at Dec. 31, 2018 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), beginning at Dec. 31, 2018 | 134,667 | $ 61,583 | $ 670 | 3,175,843 | (3,105,307) | 1,878 |
Comprehensive income (loss) | ||||||
Net loss | (39,578) | |||||
Other comprehensive income | (229) | |||||
Total comprehensive loss | (39,807) | |||||
Equity (deficit), ending (in shares) at Sep. 30, 2019 | 2,463,321 | 67,050,556 | ||||
Equity (deficit), ending at Sep. 30, 2019 | 83,656 | $ 61,583 | $ 670 | 3,178,655 | (3,158,901) | 1,649 |
Equity (deficit), beginning (in shares) at Mar. 31, 2019 | 2,463,321 | 67,027,104 | ||||
Equity (deficit), beginning at Mar. 31, 2019 | 110,063 | $ 61,583 | $ 670 | 3,177,065 | (3,131,133) | 1,878 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 1,384 | 1,384 | ||||
Purchase of common stock (directors) (in shares) | 6,000 | |||||
Purchase of common stock (directors) | 29 | 29 | ||||
Comprehensive income (loss) | ||||||
Net loss | (12,959) | (12,959) | ||||
Other comprehensive income | 0 | |||||
Total comprehensive loss | (12,959) | |||||
Equity (deficit), ending (in shares) at Jun. 30, 2019 | 2,463,321 | 67,033,104 | ||||
Equity (deficit), ending at Jun. 30, 2019 | 97,122 | $ 61,583 | $ 670 | 3,178,478 | (3,145,487) | 1,878 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared | (1,395) | (1,395) | ||||
Stock-based compensation | 177 | 177 | ||||
Shares issued from restricted stock units (directors) (in shares) | 17,452 | |||||
Shares issued from restricted stock units (directors) | 0 | |||||
Comprehensive income (loss) | ||||||
Net loss | (12,019) | (12,019) | ||||
Other comprehensive income | (229) | (229) | ||||
Total comprehensive loss | (12,248) | |||||
Equity (deficit), ending (in shares) at Sep. 30, 2019 | 2,463,321 | 67,050,556 | ||||
Equity (deficit), ending at Sep. 30, 2019 | $ 83,656 | $ 61,583 | $ 670 | $ 3,178,655 | $ (3,158,901) | $ 1,649 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash Flows From Operating Activities | ||
Net loss | $ (39,578) | $ (35,175) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 15,769 | 14,358 |
Amortization of discount and premium | (196) | 891 |
Other amortization | 10,693 | 8,217 |
Amortization of revenue on golf membership deposit liabilities | (1,080) | (1,127) |
Amortization of prepaid golf membership dues | (10,728) | (19,570) |
Stock-based compensation | 2,783 | 1,409 |
Impairment and other losses | 6,077 | 5,645 |
Equity in earnings from equity method investments, net of distributions | (1,033) | (1,123) |
Other (gains) losses, net | (11,617) | 2,075 |
Unrealized (gain) on investments | 0 | (283) |
Loss on extinguishment of debt | 148 | 66 |
Change in: | ||
Accounts receivable, net, other current assets and other assets - noncurrent | 1,605 | 1,436 |
Accounts payable and accrued expenses, deferred revenue, other current liabilities and other liabilities - noncurrent | (2,591) | 1,064 |
Net cash used in operating activities | (29,748) | (22,117) |
Cash Flows From Investing Activities | ||
Proceeds from sale of property and equipment | 44,468 | 3,186 |
Acquisition and additions of property and equipment and intangibles | (60,534) | (44,788) |
Contributions to equity method investees | 0 | (7) |
Net cash used in investing activities | (16,066) | (41,609) |
Cash Flows From Financing Activities | ||
Repayments of debt obligations | (5,701) | (3,712) |
Golf membership deposits received | 1,776 | 2,544 |
Preferred stock dividends paid | (4,185) | (4,185) |
Other financing activities | 15 | (32) |
Net cash used in financing activities | (8,095) | (5,385) |
Net Decrease in Cash and Cash Equivalents, Restricted Cash and Restricted Cash, noncurrent | (53,909) | (69,111) |
Cash and Cash Equivalents, Restricted Cash and Restricted Cash, noncurrent, Beginning of Period | 82,819 | 173,688 |
Cash and Cash Equivalents, Restricted Cash and Restricted Cash, noncurrent, End of Period | 28,910 | 104,577 |
Supplemental Schedule of Non-Cash Investing and Financing Activities | ||
Preferred stock dividends declared but not paid | 930 | 930 |
Additions to finance lease assets and liabilities | 11,723 | 4,035 |
Additions for operating lease right-of-use assets and operating lease liabilities | 206,876 | 0 |
Increases (decreases) in accounts payable and accrued expenses related to the purchase of property and equipment | $ (2,141) | $ (945) |
ORGANIZATION
ORGANIZATION | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | ORGANIZATION Drive Shack Inc., which is referred to, together with its subsidiaries, as Drive Shack Inc. or the Company is a leading owner and operator of golf-related leisure and entertainment businesses. The Company, a Maryland corporation, was formed in 2002, and its common stock is traded on the NYSE under the symbol “DS.” The Company conducts its business through the following segments: (i) Entertainment Golf venues, (ii) Traditional Golf properties and (iii) corporate. For a further discussion of the reportable segments, see Note 4. The Company opened its first Entertainment Golf venue in Orlando, Florida on April 7, 2018, and is currently in the process of installing new technology and making other design and operational improvements to this first venue during a brief closure period that began on September 29, 2019 (with an expected re-opening date of December 2019). The Company opened its second, third and fourth Entertainment Golf venues in Raleigh, North Carolina; Richmond, Virginia and West Palm Beach, Florida in August 2019, September 2019 and October 2019, respectively. The Company expects to increase the number of Entertainment Golf venues across the United States and internationally in the coming years, which combine golf, competition, fun and food and drinks. In addition to the large format venues, such as the four that the Company opened in 2018 and 2019, the Company also plans to open smaller venues in urban markets. The Company’s Traditional Golf business is one of the largest operators of golf properties in the United States. As of September 30, 2019 , the Company owned, leased or managed 62 properties across 10 states. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation — The accompanying Consolidated Financial Statements and related notes of the Company have been prepared in accordance with accounting principles generally accepted in the United States for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared under U.S. generally accepted accounting principles or GAAP have been condensed or omitted. In the opinion of management, all adjustments considered necessary for a fair presentation of the Company’s financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These financial statements should be read in conjunction with the Company’s Consolidated Financial Statements for the year ended December 31, 2018 and notes thereto included in the Company’s Annual Report on Form 10-K filed with the SEC on March 15, 2019. Capitalized terms used herein, and not otherwise defined, are defined in the Company’s Consolidated Financial Statements for the year ended December 31, 2018 . As of September 30, 2019 , the Company’s significant accounting policies for these financial statements are summarized below and should be read in conjunction with the Summary of Significant Accounting Policies detailed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 . Realized and Unrealized (Gain) Loss on Investments and Other Income (Loss), Net — These items are comprised of the following: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Unrealized loss (gain) on non-hedge derivative instruments — 48 — (283 ) Realized and unrealized (gain) loss on investments $ — $ 48 $ — $ (283 ) Loss on lease modifications and terminations $ — $ (173 ) $ — $ (969 ) Gain (loss) on extinguishment of debt, net (126 ) 75 (148 ) (66 ) Collateral management fee income, net 101 142 357 443 Equity in earnings of equity method investments 348 357 1,033 1,123 Gain (loss) on sale of long-lived assets and intangibles 7,096 (2,769 ) 11,763 (1,921 ) Other loss (A) (78 ) (684 ) (50 ) (5,767 ) Other income (loss), net $ 7,341 $ (3,052 ) $ 12,955 $ (7,157 ) (A) During the nine months ended September 30, 2018 , the Company recorded a net loss of approximately $4.9 million related to the settlement of a legal dispute and a related discharge of liabilities assumed by the counterparty to the settlement. See Note 13 for additional information. Real Estate, Held-for-Sale — Long-lived assets to be disposed of by sale, which meet certain criteria, are reclassified to real estate held-for-sale and measured at the lower of their carrying amount or fair value less costs of sale. The Company suspends depreciation and amortization for assets held-for-sale. Subsequent changes to the estimated fair value less costs to sell could impact the measurement of assets held-for-sale. Decreases are recognized as an impairment loss and recorded in "Impairment and other losses" on the Consolidated Statements of Operations. To the extent the fair value increases, any previously reported impairment is reversed. Real estate held-for-sale is recorded in “Real estate assets, held-for-sale, net” and “Real estate liabilities, held-for-sale” on the Consolidated Balance Sheets. Leasing Arrangements — The Company evaluates at lease inception whether an arrangement is or contains a lease by providing the Company with the right to control an asset. Operating leases are accounted for on balance sheet with the Right of Use (“ROU”) assets and lease liabilities recognized in "Operating lease right-of-use assets," "Other current liabilities" and "Operating lease liabilities - noncurrent" in the Consolidated Balance Sheets. Finance lease ROU assets, current lease liabilities and noncurrent lease liabilities are recognized in "Property and equipment, net of accumulated depreciation," and "Obligations under finance leases" and "Credit facilities and obligations under finance leases - noncurrent" in the Consolidated Balance Sheets, respectively. All lease liabilities are measured at the present value of the associated payments, discounted using the Company’s incremental borrowing rate determined using a portfolio approach based on the rate of interest that the Company would pay to borrow an amount equal to the lease payments for a similar term and in a similar economic environment on a collateralized basis. ROU assets, for both operating and finance leases, are initially measured based on the lease liability, adjusted for initial direct costs, prepaid rent, and lease incentives received. The operating lease ROU assets are subsequently measured at the carrying amount of the lease liability adjusted for initial direct costs, prepaid or accrued lease payments, and lease incentives. Depreciation of the finance lease ROU assets are subsequently calculated using the straight-line method over the shorter of the estimated useful lives or the expected lease terms and recorded in "Depreciation and amortization" on the Consolidated Statements of Operations. In addition to the fixed minimum payments required under the lease arrangements, certain leases require variable lease payments, which are payment of the excess of various percentages of gross revenue or net operating income over the minimum rental payments as well as payment of taxes assessed against the leased property. The leases generally also require the payment for the cost of insurance and maintenance. Variable lease payments are recognized when the associated activity occurs and contingency is resolved. The Company has elected to combine lease and non-lease components for all lease contracts. Additionally, the Company does not recognize ROU assets and lease liabilities for arrangements with lease terms of 12 months or less and lease payments are recognized on a straight-line basis over the lease term with variable lease payments recognized in the period in which the obligation is incurred. Other Investments — The Company owns an approximately 22% economic interest in a limited liability company which owns preferred equity in a commercial real estate project. The Company accounts for this investment as an equity method investment. As of September 30, 2019 and December 31, 2018 , the carrying value of this investment was $23.6 million and $22.6 million , respectively. The Company evaluates its equity method investment for other-than-temporary impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. The evaluation of recoverability is based on management’s assessment of the financial condition and near-term prospects of the commercial real estate project, the length of time and the extent to which the market value of the investment has been less than cost, availability and cost of financing, demand for space, competition for tenants, changes in market rental rates, and operating costs. As these factors are difficult to predict and are subject to future events that may alter management’s assumptions, the values estimated by management in its recoverability analyses may not be realized, and actual losses or impairment may be realized in the future. Impairment of Long-lived Assets — The Company periodically reviews the carrying amounts of its long-lived assets, including real estate held-for-use and held-for-sale, as well as finite-lived intangible assets and right-of-use assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. The assessment of recoverability is based on management’s estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset, or other appropriate grouping of assets, to its carrying value to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment is recognized to the extent the carrying value of such asset exceeds its fair value. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. Other Current Assets The following table summarizes the Company's other current assets: September 30, 2019 December 31, 2018 Prepaid expenses $ 2,948 $ 2,651 Deposits 2,476 2,494 Inventory 2,930 2,855 Miscellaneous current assets, net 10,261 12,505 Other current assets $ 18,615 $ 20,505 Other Assets The following table summarizes the Company's other assets: September 30, 2019 December 31, 2018 Prepaid expenses $ 196 $ 277 Deposits 2,120 2,140 Miscellaneous assets, net 2,285 6,267 Other assets $ 4,601 $ 8,684 Other Current Liabilities The following table summarizes the Company's other current liabilities: September 30, 2019 December 31, 2018 Security deposits payable $ 5,783 $ 14,188 Operating lease liabilities 16,307 — Accrued rent 2,914 2,885 Dividends payable 930 930 Miscellaneous current liabilities 2,763 4,282 Other current liabilities $ 28,697 $ 22,285 Other Liabilities The following table summarized the Company's other liabilities: September 30, 2019 December 31, 2018 Security deposits payable $ 298 $ 91 Service obligation intangible 1,865 2,759 Accrued rent — 1,617 Miscellaneous liabilities 1,531 765 Other liabilities $ 3,694 $ 5,232 Membership Deposit Liabilities - Private country club members in our Traditional Golf business generally pay an advance initiation fee deposit upon their acceptance as a member to the respective country club. Initiation fee deposits are refundable 30 years after the date of acceptance as a member. The difference between the initiation fee deposit paid by the member and the present value of the refund obligation is deferred and recognized into Golf operations revenue in the Consolidated Statements of Operations on a straight-line basis over the expected life of an active membership, which is estimated to be seven years . The present value of the refund obligation is recorded as a membership deposit liability in the Consolidated Balance Sheets and accretes over a 30-year nonrefundable term using the effective interest method. This accretion is recorded as interest expense in the Consolidated Statements of Operations. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-02 Leases (Topic 842) . The standard requires lessees to recognize most leases on the balance sheet and addresses certain aspects of lessor accounting. On January 1, 2019, the Company adopted ASU 2016-02 using a modified retrospective approach. The Company utilized the effective date transition method and accordingly was not required to adjust its comparative period financial information for effects of ASU 2016-02. The Company elected to adopt practical expedients which permits it to not reassess its prior conclusions about lease identification, lease classification and initial direct costs under the new standard. The Company elected to combine lease and non-lease components for all lease contracts and also elected not to recognize ROU assets and lease liabilities for leases with terms of 12 months or less. The Company also elected to adopt the practical expedient for land easements which permits it not to evaluate existing and expired land easements under the new standard. The adoption of ASU 2016-02 had a material impact on the Company’s Consolidated Balance Sheets, resulting in the recognition of operating lease right-of-use assets and operating lease liabilities of $225.6 million and $205.9 million , respectively, with the difference primarily due to reclassifications of leasehold intangibles and an adjustment to accumulated deficit. There was no material impact on the Consolidated Statements of Operations. In June 2016, the FASB issued ASU 2016-13 Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. The standard changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. For available-for-sale debt securities, entities will be required to record allowances rather than reduce the carrying amount under the other-than-temporary impairment model. In November 2018, the FASB issued ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments - Credit Losses, which clarifies that operating lease receivables accounted for under ASC 842 are not in the scope of this guidance. In April 2019, the FASB issued ASU 2019-04 Codification Improvements to Topic 326, Financial Instruments - Credit Losses, which addresses certain fair value disclosure requirements, the measurement basis under the measurement alternative and which equity securities have to be remeasured at historical exchange rates. In May 2019, the FASB issued Financial Instruments - Credit Losses (Topic 326), Targeted Transition Relief , which allows entities to elect to measure assets in the scope of ASC 326-20, using the fair value option when ASU 2016-13 is adopted. The effective date of the standards will be for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019 and early adoption is permitted for annual periods beginning after December 15, 2018. Entities will apply the standard's provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company's implementation activities, which remain in progress, include identifying the financial assets in the scope of the new standard, developing methods to estimate current expected credit losses associated with these financial assets, and determining changes needed to control activities. The Company is currently gathering data and evaluating the effects the adoption will have on its Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-15 Intangibles-Goodwill and Other-Internal Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . The standard requires a customer in a cloud computing arrangement (i.e., a hosting arrangement) that is a service contract to follow the internal-use software guidance in ASC 350-40 to determine which implementation costs to capitalize as assets or expense as incurred. That guidance requires certain costs incurred during the application development stage to be capitalized and other costs incurred during the preliminary project and post-implementation stages to be expensed as they are incurred. Capitalized implementation costs related to a hosting arrangement that is a service contract will be amortized over the term of the hosting arrangement, beginning when the module or component of the hosting arrangement is ready for its intended use. The effective date of the standard will be for annual periods beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. Entities can either apply the guidance prospectively to all implementation costs incurred after the date of adoption or retrospectively. The Company is currently evaluating the timing for adoption and the impact it may have on its Consolidated Financial Statements. |
REVENUES
REVENUES | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES The majority of the Company’s revenue is recognized at a point in time which is at the time of sale to customers at the Company’s Entertainment Golf venues and Traditional Golf properties, including green fees, cart rentals, bay play, events and sales of food, beverages and merchandise. Revenue from membership dues is recognized in the month earned. Membership dues received in advance are included in deferred revenue and recognized as revenue ratably over the appropriate period, which is generally twelve months or less for private club members and the following month for The Players Club members. The Company’s revenue is all generated within the Entertainment and Traditional Golf segments. The following tables disaggregate revenue by category: Entertainment golf venues, public and private golf properties (owned and leased) and managed golf properties. Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Golf operations $ 1,431 $ 30,258 $ 11,902 $ 17,206 $ 60,797 $ 2,720 $ 76,624 $ 40,707 $ 42,838 $ 162,889 Sales of food and beverages 2,256 9,053 2,576 — 13,885 4,167 24,646 8,547 — 37,360 Total revenues $ 3,687 $ 39,311 $ 14,478 $ 17,206 $ 74,682 $ 6,887 $ 101,270 $ 49,254 $ 42,838 $ 200,249 Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Golf operations $ 710 $ 34,689 $ 25,362 $ 8,167 $ 68,928 $ 1,565 $ 91,668 $ 78,202 $ 20,197 $ 191,632 Sales of food and beverages 830 10,757 6,904 — 18,491 1,782 30,271 21,398 — 53,451 Total revenues $ 1,540 $ 45,446 $ 32,266 $ 8,167 $ 87,419 $ 3,347 $ 121,939 $ 99,600 $ 20,197 $ 245,083 (A) Includes $15.7 million and $38.5 million for the three and nine months ended September 30, 2019 , respectively, and $7.4 million and $18.2 million for the three and nine months ended September 30, 2018 , respectively, due to management contract reimbursements reported under the new revenue standard. |
SEGMENT REPORTING
SEGMENT REPORTING | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING The Company currently has three reportable segments: (i) Entertainment Golf venues, (ii) Traditional Golf properties and (iii) corporate. The chief operating decision maker (“CODM”) for each segment is our Chief Executive Officer and President, who reviews discrete financial information for each reportable segment to manage the Company, including resource allocation and performance assessment. The Company opened its inaugural Entertainment Golf venue in Orlando, Florida on April 7, 2018 and opened its second, third and fourth Entertainment Golf venues in Raleigh, North Carolina; Richmond, Virginia and West Palm Beach, Florida on August 19, 2019, September 16, 2019 and October 14, 2019, respectively. The Company expects to increase the number of Entertainment Golf venues across the United States and internationally in the coming years, which combine golf, competition, fun and food and drinks. In addition to the large format venues, such as the four that the Company opened in 2018 and 2019, the Company also plans to open smaller venues in urban markets. Additionally, the Company's Traditional Golf business is one of the largest operators of golf properties in the United States. As of September 30, 2019 , the Company owned, leased or managed 62 Traditional Golf properties across 10 states. The corporate segment consists primarily of investments in loans and securities, interest income on short-term investments, general and administrative expenses as a public company, interest expense on the junior subordinated notes payable (Note 8) and income tax expense (Note 14). Summary financial data on the Company’s segments is given below, together with a reconciliation to the same data for the Company as a whole: Entertainment Golf Traditional Golf Corporate Total Nine Months Ended September 30, 2019 Revenues Golf operations $ 2,720 $ 160,169 $ — $ 162,889 Sales of food and beverages 4,167 33,193 — 37,360 Total revenues 6,887 193,362 — 200,249 Operating costs Operating expenses (A) 6,807 163,090 — 169,897 Cost of sales - food and beverages 1,106 9,352 — 10,458 General and administrative expense (B) 10,349 12,713 10,977 34,039 General and administrative expense - acquisition and transaction expenses (C) 3,094 539 309 3,942 Depreciation and amortization 3,119 12,528 122 15,769 Pre-opening costs (D) 7,229 — — 7,229 Impairment and other losses 1,270 4,807 — 6,077 Realized and unrealized (gain) on investments — — — — Total operating costs 32,974 203,029 11,408 247,411 Operating loss (26,087 ) (9,667 ) (11,408 ) (47,162 ) Other income (expenses) Interest and investment income 311 84 404 799 Interest expense (E) (245 ) (6,140 ) (1,856 ) (8,241 ) Capitalized interest (E) — 583 1,650 2,233 Other (loss) income, net (7 ) 11,582 1,380 12,955 Total other income (expenses) 59 6,109 1,578 7,746 Income tax expense — — 162 162 Net loss (26,028 ) (3,558 ) (9,992 ) (39,578 ) Preferred dividends — — (4,185 ) (4,185 ) Loss applicable to common stockholders $ (26,028 ) $ (3,558 ) $ (14,177 ) $ (43,763 ) Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Three Months Ended September 30, 2019 Revenues Golf operations $ 1,431 $ 59,366 $ — $ 60,797 Sales of food and beverages 2,256 11,629 — 13,885 Total revenues 3,687 70,995 — 74,682 Operating costs Operating expenses (A) 3,202 60,252 — 63,454 Cost of sales - food and beverages 604 3,252 — 3,856 General and administrative expense (B) 3,433 4,500 2,467 10,400 General and administrative expense - acquisition and transaction expenses (C) 2,117 207 31 2,355 Depreciation and amortization 1,450 4,192 81 5,723 Pre-opening costs (D) 4,350 — — 4,350 Impairment and other losses 1,152 720 — 1,872 Realized and unrealized loss on investments — — — — Total operating costs 16,308 73,123 2,579 92,010 Operating loss (12,621 ) (2,128 ) (2,579 ) (17,328 ) Other income (expenses) Interest and investment income 64 24 103 191 Interest expense (E) (103 ) (2,088 ) (599 ) (2,790 ) Capitalized interest (E) — 169 560 729 Other (loss) income, net — 6,896 445 7,341 Total other income (expenses) (39 ) 5,001 509 5,471 Income tax expense — — 162 162 Net (loss) income (12,660 ) 2,873 (2,232 ) (12,019 ) Preferred dividends — — (1,395 ) (1,395 ) (Loss) income applicable to common stockholders $ (12,660 ) $ 2,873 $ (3,627 ) $ (13,414 ) Entertainment Golf Traditional Golf Corporate (F) Total September 30, 2019 Total assets 176,366 319,279 40,261 535,906 Total liabilities 42,841 346,593 62,816 452,250 Preferred stock — — 61,583 61,583 Equity attributable to common stockholders $ 133,525 $ (27,314 ) $ (84,138 ) $ 22,073 Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 $ 56,977 $ 10,661 $ 1,733 $ 69,371 Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Nine Months Ended September 30, 2018 Revenues Golf operations $ 1,565 $ 190,067 $ — $ 191,632 Sales of food and beverages 1,782 51,669 — 53,451 Total revenues 3,347 241,736 — 245,083 Operating costs Operating expenses (A) 3,599 191,152 — 194,751 Cost of sales - food and beverages 432 14,981 — 15,413 General and administrative expense (B) 4,515 12,781 9,448 26,744 General and administrative expense - acquisition and transaction expenses (C) 2,024 706 137 2,867 Depreciation and amortization 1,148 13,198 12 14,358 Pre-opening costs (D) 2,048 — — 2,048 Impairment and other losses — 5,498 147 5,645 Realized and unrealized (gain) on investments — (283 ) — (283 ) Total operating costs 13,766 238,033 9,744 261,543 Operating (loss) income (10,419 ) 3,703 (9,744 ) (16,460 ) Other income (expenses) Interest and investment income 196 144 1,042 1,382 Interest expense (E) — (12,149 ) (1,661 ) (13,810 ) Capitalized interest (E) — 580 290 870 Other (loss) income, net — (8,715 ) 1,558 (7,157 ) Total other income (expenses) 196 (20,140 ) 1,229 (18,715 ) Income tax expense — — — — Net loss (10,223 ) (16,437 ) (8,515 ) (35,175 ) Preferred dividends — — (4,185 ) (4,185 ) Loss applicable to common stockholders $ (10,223 ) $ (16,437 ) $ (12,700 ) $ (39,360 ) Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Three Months Ended September 30, 2018 Revenues Golf operations $ 710 $ 68,218 $ — $ 68,928 Sales of food and beverages 830 17,661 — 18,491 Total revenues 1,540 85,879 — 87,419 Operating costs Operating expenses (A) 1,765 68,565 — 70,330 Cost of sales - food and beverages 204 4,976 — 5,180 General and administrative expense (B) 1,878 4,313 3,189 9,380 General and administrative expense - acquisition and transaction expenses (C) 570 199 — 769 Depreciation and amortization 614 3,877 4 4,495 Pre-opening costs (D) 245 — — 245 Impairment and other losses — 4,172 — 4,172 Realized and unrealized loss on investments — 48 — 48 Total operating costs 5,276 86,150 3,193 94,619 Operating loss (3,736 ) (271 ) (3,193 ) (7,200 ) Other income (expenses) Interest and investment income 85 48 334 467 Interest expense (E) — (4,050 ) (597 ) (4,647 ) Capitalized interest (E) — 238 119 357 Other (loss) income, net — (3,548 ) 496 (3,052 ) Total other income (expenses) 85 (7,312 ) 352 (6,875 ) Income tax expense — — — — Net loss (3,651 ) (7,583 ) (2,841 ) (14,075 ) Preferred dividends — — (1,395 ) (1,395 ) Loss applicable to common stockholders $ (3,651 ) $ (7,583 ) $ (4,236 ) $ (15,470 ) (A) Operating expenses include rental expenses recorded under operating leases for carts and equipment in the amount of $0.2 million and $0.7 million for the three and nine months ended September 30, 2019 , respectively, and $0.5 million and $1.6 million for the three and nine months ended September 30, 2018 , respectively. (B) General and administrative expenses include severance expense in the amount of $0.5 million and $1.6 million for the three and nine months ended September 30, 2019 , respectively, and zero and $0.1 million for the three and nine months ended September 30, 2018 , respectively. (C) Acquisition and transaction expenses include costs related to completed and potential acquisitions and transactions, which may include advisory, legal, accounting and other professional or consulting fees. (D) Pre-opening costs are expensed as incurred and consist primarily of site-related marketing expenses, lease expense, employee payroll, travel and related expenses, training costs, food, beverage and other operating expenses incurred prior to opening an Entertainment Golf venue. (E) Interest expense includes the accretion of membership deposit liabilities in the amount of $1.8 million and $5.4 million for the three and nine months ended September 30, 2019 , respectively, and $1.7 million and $5.1 million for the three and nine months ended September 30, 2018 , respectively. Interest expense and capitalized interest are combined in interest expense, net on the Consolidated Statements of Operations. (F) Total assets in the corporate segment include an equity method investment in the amount of $23.6 million as of September 30, 2019 recorded in other investments on the Consolidated Balance Sheets. |
PROPERTY AND EQUIPMENT, NET OF
PROPERTY AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION | 9 Months Ended |
Sep. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION | PROPERTY AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION The following table summarizes the Company’s property and equipment: September 30, 2019 December 31, 2018 Gross Carrying Amount Accumulated Depreciation Net Carrying Value Gross Carrying Amount Accumulated Depreciation Net Carrying Value Land $ 6,770 $ — $ 6,770 $ 6,747 $ — $ 6,747 Buildings and improvements 124,414 (34,022 ) 90,392 78,833 (30,540 ) 48,293 Furniture, fixtures and equipment 45,328 (19,795 ) 25,533 26,726 (16,729 ) 9,997 Finance leases - equipment 37,098 (15,678 ) 21,420 28,745 (12,843 ) 15,902 Construction in progress 41,622 — 41,622 51,666 — 51,666 Total Property and Equipment $ 255,232 $ (69,495 ) $ 185,737 $ 192,717 $ (60,112 ) $ 132,605 On March 7, 2018, the Company announced it was actively pursuing the sale of 26 owned Traditional Golf properties in order to generate capital for reinvestment in the Entertainment Golf business. As of September 30, 2019 , the Company continues to present four golf properties as held-for-sale. The assets and associated liabilities are reported on the Consolidated Balance Sheets as “Real estate assets, held-for-sale, net” and “Real estate liabilities, held-for-sale,” respectively. The real estate assets, held-for-sale, net are reported at a carrying value of $ 27.8 million and include $ 23.0 million of land, $ 4.3 million of buildings and improvements, $ 0.4 million of furniture, fixtures and equipment, and $ 0.4 million of other related assets, partially offset by accumulated impairment. The real estate liabilities, held-for-sale, are reported at a carrying value of less than $ 0.1 million and include property liabilities to be assumed, primarily prepaid membership dues. During the three months ended March 31, 2019, the Company sold two public golf properties in Georgia and a private golf property in California for an aggregate sale price of $28.7 million , resulting in net proceeds of $25.5 million , inclusive of transaction costs of $0.5 million . The Company received sale proceeds of $17.7 million during the three months ended March 31, 2019, consisting of $18.2 million for the golf properties sold during the three months ended March 31, 2019, and $2.2 million for golf properties that were sold during December 2018, less $2.7 million that was remitted to buyers for golf properties that were sold during December 2018. The Company previously received a $9.4 million cash deposit in 2018 related to a golf property that was sold in 2019. The difference between the sales price and the net proceeds was primarily due to prepaid membership dues that we are obligated to remit to the buyer, including $2.1 million payable to the buyer of a golf property sold during the three months ended March 31, 2019. The golf properties had a carrying value of $20.3 million and resulted in a gain on sale of $5.2 million . The gain on sale is recorded in other income (loss), net on the Consolidated Statement of Operations. Subsequent to the completion of the sale, the Company entered into a management agreement on the California golf property. During the three months ended June 30, 2019, the Company sold two public golf properties in New Jersey and California and two private golf properties in Tennessee and Washington for an aggregate sale price of $19.7 million , resulting in net proceeds of $17.9 million , inclusive of transaction costs of $0.8 million . The Company received sale proceeds of $14.9 million during the three months ended June 30, 2019, consisting of $18.4 million for the golf properties sold during the three months ended June 30, 2019, less $3.5 million that was remitted to buyers for golf properties that were sold in 2018 and the first quarter of 2019. The golf properties had a carrying value of $18.3 million and resulted in a loss on sale of $0.4 million . The loss on sale is recorded in other income (loss), net on the Consolidated Statement of Operations. Subsequent to the completion of the sale, the Company entered into a management agreement on the Washington golf property. During the three months ended September 30, 2019 , the Company sold a public golf property in California for a sale price of $12.5 million , resulting in net proceeds of $12.3 million , inclusive of transaction costs of $0.2 million . The golf property had a carrying value of $5.2 million and resulted in a gain on sale of $7.0 million . The gain on sale is recorded in other income (loss), net on the Consolidated Statement of Operations. Subsequent to the completion of the sale, the Company entered into a management agreement on this golf property. |
LEASES
LEASES | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
LEASES | LEASES The Company's commitments under lease arrangements are primarily ground leases for Entertainment Golf venues and Traditional Golf properties and related facilities, office leases and leases for golf carts and equipment. The majority of lease terms for our Entertainment Golf venues and Traditional Golf properties and related facilities initially range from 10 to 20 years , and include up to eight 5-year renewal options (see Note 13 for additional detail). Equipment and golf cart leases initially range between 24 to 66 months and typically contain renewal options which may be on a month-to-month basis. An option to renew a lease is included in the determination of the ROU asset and lease liability when it is reasonably certain that the renewal option will be exercised. Lease related costs recognized in the Consolidated Statements of Operations for the three and nine months ended September 30, 2019 are as follows: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Finance lease cost Amortization of right-of-use assets $ 1,690 $ 4,736 Interest on lease liabilities 353 972 Total finance lease cost 2,043 5,708 Operating lease cost Operating lease cost 9,798 28,276 Short-term lease cost 420 1,882 Variable lease cost 5,544 12,696 Total operating lease cost 15,762 42,854 Total lease cost $ 17,805 $ 48,562 Other information related to leases included on the Consolidated Balance Sheet as of and for the nine months ended September 30, 2019 are as follows: Operating Leases Financing Leases Right-of-use assets 220,197 21,420 Lease liabilities 207,749 20,419 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows 22,531 668 Financing cash flows N/A 5,702 Right-of-use assets obtained in exchange for lease liabilities 10,813 11,723 Weighted average remaining lease term 12.6 years 3.6 years Weighted average discount rate 8.8 % 7.2 % Future minimum lease payments under non-cancellable leases as of September 30, 2019 are as follows: Operating Leases Financing Leases October 1, 2019 - December 31, 2019 7,647 2,053 2020 33,151 7,275 2021 32,514 5,785 2022 31,133 4,137 2023 30,962 3,073 Thereafter 229,981 1,047 Total minimum lease payments 365,388 23,370 Less: imputed interest 157,639 2,951 Total lease liabilities $ 207,749 $ 20,419 |
LEASES | LEASES The Company's commitments under lease arrangements are primarily ground leases for Entertainment Golf venues and Traditional Golf properties and related facilities, office leases and leases for golf carts and equipment. The majority of lease terms for our Entertainment Golf venues and Traditional Golf properties and related facilities initially range from 10 to 20 years , and include up to eight 5-year renewal options (see Note 13 for additional detail). Equipment and golf cart leases initially range between 24 to 66 months and typically contain renewal options which may be on a month-to-month basis. An option to renew a lease is included in the determination of the ROU asset and lease liability when it is reasonably certain that the renewal option will be exercised. Lease related costs recognized in the Consolidated Statements of Operations for the three and nine months ended September 30, 2019 are as follows: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Finance lease cost Amortization of right-of-use assets $ 1,690 $ 4,736 Interest on lease liabilities 353 972 Total finance lease cost 2,043 5,708 Operating lease cost Operating lease cost 9,798 28,276 Short-term lease cost 420 1,882 Variable lease cost 5,544 12,696 Total operating lease cost 15,762 42,854 Total lease cost $ 17,805 $ 48,562 Other information related to leases included on the Consolidated Balance Sheet as of and for the nine months ended September 30, 2019 are as follows: Operating Leases Financing Leases Right-of-use assets 220,197 21,420 Lease liabilities 207,749 20,419 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows 22,531 668 Financing cash flows N/A 5,702 Right-of-use assets obtained in exchange for lease liabilities 10,813 11,723 Weighted average remaining lease term 12.6 years 3.6 years Weighted average discount rate 8.8 % 7.2 % Future minimum lease payments under non-cancellable leases as of September 30, 2019 are as follows: Operating Leases Financing Leases October 1, 2019 - December 31, 2019 7,647 2,053 2020 33,151 7,275 2021 32,514 5,785 2022 31,133 4,137 2023 30,962 3,073 Thereafter 229,981 1,047 Total minimum lease payments 365,388 23,370 Less: imputed interest 157,639 2,951 Total lease liabilities $ 207,749 $ 20,419 |
INTANGIBLES, NET OF ACCUMULATED
INTANGIBLES, NET OF ACCUMULATED AMORTIZATION | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLES, NET OF ACCUMULATED AMORTIZATION | INTANGIBLES, NET OF ACCUMULATED AMORTIZATION The following table summarizes the Company’s intangible assets: September 30, 2019 December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Trade name $ 700 $ (134 ) $ 566 $ 700 $ (117 ) $ 583 Leasehold intangibles (A) (B) — — — 46,581 (20,270 ) 26,311 Management contracts 32,330 (16,812 ) 15,518 32,932 (15,174 ) 17,758 Internally-developed software 161 (15 ) 146 2,314 (967 ) 1,347 Membership base 5,236 (4,301 ) 935 5,236 (3,740 ) 1,496 Nonamortizable liquor licenses 1,043 — 1,043 893 — 893 Total Intangibles $ 39,470 $ (21,262 ) $ 18,208 $ 88,656 $ (40,268 ) $ 48,388 (A) The amortization expense for leasehold intangibles is reported in operating expenses in the Consolidated Statements of Operations. (B) As of January 1, 2019, leasehold intangibles were reclassified from "Intangibles, net of accumulated amortization" to "Operating lease right-of-use assets" in the Consolidated Balance Sheet as part of the adoption of ASU 2016-02. |
DEBT OBLIGATIONS
DEBT OBLIGATIONS | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
DEBT OBLIGATIONS | DEBT OBLIGATIONS The following table presents certain information regarding the Company’s debt obligations at September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Debt Obligation/Collateral Month Issued Outstanding Carrying Final Stated Maturity Weighted Weighted Average Weighted Average Life (Years) Face Amount of Outstanding Face Amount Carrying Value Credit Facilities and Finance Leases Vineyard II Dec 1993 $ 200 $ 200 Dec 2043 2.80% 2.80 % 24.2 $ 200 $ 200 $ 200 Finance leases (Equipment) Jun 2014 - Sep 2019 20,419 20,419 Oct 2019 - Mar 2025 3.00% to 15.00% 7.23 % 3.6 — 15,778 15,778 20,619 20,619 7.19 % 3.8 200 15,978 15,978 Less current portion of obligations under finance leases 6,222 6,222 5,489 5,489 Credit facilities and obligations under finance leases - noncurrent 14,397 14,397 10,489 10,489 Corporate Junior subordinated notes payable (B) Mar 2006 51,004 51,194 Apr 2035 LIBOR+2.25% 4.48 % 15.6 51,004 51,004 51,200 Total debt obligations $ 71,623 $ 71,813 5.26 % 12.2 $ 51,204 $ 66,982 $ 67,178 (A) Including the effect of deferred financing costs. (B) Interest rate based on 3 month LIBOR plus 2.25% . |
REAL ESTATE SECURITIES
REAL ESTATE SECURITIES | 9 Months Ended |
Sep. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
REAL ESTATE SECURITIES | REAL ESTATE SECURITIES The following is a summary of the Company’s real estate securities at September 30, 2019 , which are classified as available-for-sale and are, therefore, reported at fair value with changes in fair value recorded in other comprehensive income, except for securities that are other-than-temporarily impaired. September 30, 2019 Amortized Cost Basis Gross Unrealized Weighted Average Asset Type Outstanding Face Amount Before Impairment Other-Than- Temporary Impairment After Impairment Gains Losses Carrying Number of Securities Rating (B) Coupon Yield Life Principal Subordination (D) ABS - Non-Agency RMBS $ 4,000 $ 2,786 $ (1,521 ) $ 1,265 $ 1,649 $ — $ 2,914 1 CCC 2.45 % 31.92 % 4.2 41.9 % Total Securities, Available for Sale (E) $ 4,000 $ 2,786 $ (1,521 ) $ 1,265 $ 1,649 $ — $ 2,914 1 (A) See Note 10 regarding the estimation of fair value, which is equal to carrying value for all securities. (B) Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the lowest rating is used. Ratings provided were determined by third-party rating agencies, represent the most recent credit ratings available as of the reporting date and may not be current. (C) The weighted average life is based on the timing of expected cash flows on the assets. (D) Percentage of the outstanding face amount of securities and residual interests that is subordinate to the Company’s investments. (E) The total outstanding face amount was $4.0 million for floating rate securities. The collateral securing the ABS - Non-Agency RMBS is located in various geographical regions in the U.S. The Company does not have significant investments in any geographic region. The Company had no securities in an unrealized loss position as of September 30, 2019 . The Company has no activity related to credit losses on debt securities for the nine months ended September 30, 2019 . |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS Fair Value Summary Table The following table summarizes the carrying values and estimated fair values of the Company’s financial instruments at September 30, 2019 : Carrying Value Estimated Fair Value Fair Value Method (A) Assets Real estate securities, available-for-sale $ 2,914 $ 2,914 Pricing models - Level 3 Cash and cash equivalents 24,816 24,816 Restricted cash, current and noncurrent 4,094 4,094 Liabilities Junior subordinated notes payable 51,194 24,327 Pricing models - Level 3 (A) Pricing models are used for (i) real estate securities that are not traded in an active market, and, therefore, have little or no price transparency, and for which significant unobservable inputs must be used in estimating fair value, or (ii) debt obligations which are private and untraded. Fair Value Measurements Valuation Hierarchy The fair value of financial instruments is categorized based on the priority of the inputs to the valuation technique and categorized into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The Company follows this hierarchy for its financial instruments measured at fair value. Level 1 - Quoted prices in active markets for identical instruments. Level 2 - Valuations based principally on observable market parameters, including • quoted prices for similar assets or liabilities in active markets, • inputs other than quoted prices that are observable for the asset or liability (such as interest rates and yield curves observable at commonly quoted intervals, implied volatilities and credit spreads), and • market corroborated inputs (derived principally from or corroborated by observable market data). Level 3 - Valuations determined using unobservable inputs that are supported by little or no market activity, and that are significant to the overall fair value measurement. The Company’s real estate securities and debt obligations are currently not traded in active markets and therefore have little or no price transparency. As a result, the Company has estimated the fair value of these illiquid instruments based on internal pricing models subject to the Company’s controls described below. The Company has various processes and controls in place to ensure that fair value measurements are reasonably estimated. With respect to broker and pricing service quotations, and in order to ensure these quotes represent a reasonable estimate of fair value, the Company’s quarterly procedures include a comparison of such quotations to quotations from different sources, outputs generated from its internal pricing models and transactions completed, as well as on its knowledge and experience of these markets. With respect to fair value estimates generated based on the Company’s internal pricing models, the Company’s management validates the inputs and outputs of the internal pricing models by comparing them to available independent third-party market parameters and models, where available, for reasonableness. The Company believes its valuation methods and the assumptions used are appropriate and consistent with other market participants. Fair value measurements categorized within Level 3 are sensitive to changes in the assumptions or methodologies used to determine fair value and such changes could result in a significant increase or decrease in the fair value. For the Company’s investments in real estate securities categorized within Level 3 of the fair value hierarchy, the significant unobservable inputs include the discount rates, assumptions relating to prepayments, default rates and loss severities. Significant Unobservable Inputs The following table provides quantitative information regarding the significant unobservable inputs used by the Company for assets and liabilities measured at fair value on a recurring basis as of September 30, 2019 : Weighted Average Significant Input Asset Type Amortized Cost Basis Fair Value Discount Prepayment Cumulative Default Rate Loss ABS - Non-Agency RMBS $ 1,265 $ 2,914 10.0 % 8.0 % 2.8 % 43.3 % All of the inputs used have some degree of market observability, based on the Company’s knowledge of the market, relationships with market participants, and use of common market data sources. Collateral prepayment, default and loss severity projections are in the form of “curves” or “vectors” that vary for each monthly collateral cash flow projection. Methods used to develop these projections vary by asset class but conform to industry conventions. The Company uses assumptions that generate its best estimate of future cash flows of each respective security. Real estate securities measured at fair value on a recurring basis using Level 3 inputs changed during the nine months ended September 30, 2019 as follows: ABS - Non-Agency RMBS Balance at December 31, 2018 $ 2,953 Total gains (losses) (A) Included in other comprehensive income (loss) (229 ) Amortization included in interest income 275 Purchases, sales and repayments (A) Proceeds (85 ) Balance at September 30, 2019 $ 2,914 (A) None of the gains (losses) recorded in earnings during the period are attributable to the change in unrealized gains (losses) relating to Level 3 assets still held at the reporting dates. There were no purchases or sales during the nine months ended September 30, 2019 . There were no transfers into or out of Level 3 during the nine months ended September 30, 2019 . Liabilities for Which Fair Value is Only Disclosed The following table summarizes the level of the fair value hierarchy, valuation techniques and inputs used for estimating each class of liabilities not measured at fair value in the statement of financial position but for which fair value is disclosed: Type of Liabilities Not Measured At Fair Value for Which Fair Value Is Disclosed Fair Value Hierarchy Valuation Techniques and Significant Inputs Junior subordinated notes payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Amount and timing of expected future cash flows l Interest rates l Market yields and the credit spread of the Company |
EQUITY AND EARNINGS PER SHARE
EQUITY AND EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
EQUITY AND EARNINGS PER SHARE | EQUITY AND EARNINGS PER SHARE A. Stock Options The following is a summary of the changes in the Company’s outstanding options for the nine months ended September 30, 2019 : Number of Options Weighted Average Strike Price Weighted Average Life Remaining (in years) Balance at December 31, 2018 8,436,931 $ 3.72 Granted (B) 695,652 4.66 Balance at September 30, 2019 9,132,583 $ 3.79 6.02 Exercisable at September 30, 2019 3,627,578 $ 2.59 3.49 As of September 30, 2019 , the Company’s outstanding options were summarized as follows: Number of Options Held by the former Manager 3,627,245 Issued to the former Manager and subsequently transferred to certain of the Manager’s employees (A) 1,382,998 Issued to the independent directors 333 Issued to Drive Shack employees (B) 4,122,007 Total 9,132,583 Weighted average strike price $ 3.79 (A) The Company and the former Manager agreed that options held by certain employees formerly employed by the Manager would not terminate or be forfeited as a result of the Termination and Cooperation Agreement, and the vesting of such options relate to the relevant holder’s employment with the Company and its affiliates following January 1, 2018. In both February 2017 and April 2018, the former Manager issued 1,152,495 options to certain employees formerly employed by the Manager as part of their compensation. The options fully vest and are exercisable one year prior to the option expiration date, beginning March 2020 through January 2024. In July 2019, a certain employee was terminated by the Company and 921,992 options reverted back to the former Manager. The Company reversed $1.2 million in stock compensation expense related to these options. (B) In November 2018, the Company issued options to certain employees as provided in their employment agreements. The options fully vest and are exercisable as follows: 3,351,355 options vest in equal annual installments on each of the first three anniversaries of the grant date, and 75,000 options fully vest on the third anniversary of the grant date. In April 2019, the Company issued 695,652 options to an employee that vest and become exercisable in equal annual installment on each of the first three anniversaries of the grant date. The grant date fair value of the employee options is determined using the Black-Scholes option valuation model. The Black-Scholes option valuation model uses assumptions of expected volatility, expected dividend yield of the Company’s stock, expected term of the awards and the risk-free interest rate. The fair value of the options granted was determined using the following assumptions: Option Valuation Date April 11, 2019 Expected Volatility 36.80 % Expected Dividend Yield 0.00 % Expected Remaining Term 6.0 years Risk-Free Rate 2.34 % Fair Value at Grant Date $ 1,280 Stock-based compensation expense is recognized on a straight-line basis through the vesting date of the options. There was a reversal of stock-based compensation expense of $0.1 million during the three months ended September 30, 2019 related to the forfeiture of options by a former employee. Stock-based compensation expense related to the employee options was $2.3 million during the nine months ended September 30, 2019 , and $0.5 million and $1.3 million during the three and nine months ended September 30, 2018 , respectively, and was recorded in general and administrative expense on the Consolidated Statements of Operations. The unrecognized stock-based compensation expense related to the unvested options was $9.0 million as of September 30, 2019 and will be expensed over a weighted average of 2.3 years . B. Restricted Stock Units ("RSUs") The following is a summary of the changes in the Company’s RSUs for the nine months ended September 30, 2019 . Number of RSUs Weighted Average Grant Date Fair Value (per unit) Balance at December 31, 2018 54,641 $ 5.02 Granted 589,967 $ 4.70 Released (17,452 ) $ 5.73 Forfeited (95,284 ) $ 4.68 Balance at September 30, 2019 531,872 $ 4.71 The Company grants RSUs to the non-employee directors as part of their annual compensation. The RSUs are subject to a one year vesting period. During the nine months ended September 30, 2019 , the Company granted 37,944 RSUs to non-employee directors and issued 17,452 shares upon vesting of RSUs that were granted in 2018. During the nine months ended September 30, 2019 , the Company granted 552,023 RSUs to employees as part of their annual compensation. The RSUs vest in equal annual installments on each of the first three anniversaries of the grant date. Stock-based compensation expense is recognized on a straight-line basis through the vesting date of the RSUs. During the nine months ended September 30, 2019 , a non-employee director forfeited RSUs following their resignation from the board and former employees forfeited RSUs upon termination of employment. Stock-based compensation expense related to RSUs was $0.3 million and $0.5 million during the three and nine months ended September 30, 2019 , respectively, and less than $0.1 million for both the three and nine months ended September 30, 2018 . Stock-based compensation expense was recorded in general and administrative expense on the Consolidated Statements of Operations. The unrecognized stock-based compensation expense related to the unvested RSUs was $2.1 million as of September 30, 2019 and will be expensed over a weighted average of 2.5 years . C. Dividends On March 13, 2019 , the Company declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the period beginning February 1, 2019 and ending April 30, 2019. Dividends totaling $1.4 million were paid on April 29, 2019 . On May 7, 2019 , the Company declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the period beginning May 1, 2019 and ending July 31, 2019. Dividends totaling $1.4 million were paid on July 31, 2019 . On July 30, 2019, the Company declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the period beginning August 1, 2019 and ending October 31, 2019. Dividends totaling $1.4 million were paid on October 31, 2019. D. Earnings Per Share The following table shows the Company's basic and diluted earnings per share (“EPS”): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator for basic and diluted earnings per share: Loss from continuing operations after preferred dividends and noncontrolling interests $ (13,414 ) $ (15,470 ) $ (43,763 ) $ (39,360 ) Loss Applicable to Common Stockholders $ (13,414 ) $ (15,470 ) $ (43,763 ) $ (39,360 ) Denominator: Denominator for basic earnings per share - weighted average shares 67,040,692 66,992,322 67,032,519 66,982,233 Effect of dilutive securities Options — — — — RSUs — — — — Denominator for diluted earnings per share - adjusted weighted average shares 67,040,692 66,992,322 67,032,519 66,982,233 Basic earnings per share: Loss from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Loss Applicable to Common Stock, per share $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Diluted earnings per share: Loss from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Loss Applicable to Common Stock, per share $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) The Company’s dilutive securities are outstanding stock options and RSUs. During the three and nine months ended September 30, 2019 , the Company had 333,170 and 481,639 antidilutive securities, respectively. During both the three and nine months ended September 30, 2018 , the Company had zero antidilutive securities. During the three and nine months ended September 30, 2019 , based on the treasury stock method, the Company had 1,915,008 and 2,328,494 potentially dilutive securities, respectively, which were excluded due to the Company's loss position. During the three and nine months ended September 30, 2018 , based on the treasury stock method, the Company had 3,004,777 and 2,804,451 potentially dilutive securities, respectively, which were excluded due to the Company's loss position. |
TRANSACTIONS WITH AFFILIATES AN
TRANSACTIONS WITH AFFILIATES AND AFFILIATED ENTITIES | 9 Months Ended |
Sep. 30, 2019 | |
Transactions With Affiliates And Affiliated Entity [Abstract] | |
TRANSACTIONS WITH AFFILIATES AND AFFILIATED ENTITIES | TRANSACTIONS WITH AFFILIATES AND AFFILIATED ENTITIES Agreements with the Former Manager On December 21, 2017, the Company entered into a Transition Services Agreement, effective as of January 1, 2018, with the former Manager. In order to facilitate the transition of the Company’s management of its operations and provide the Company sufficient time to develop such services in-house or to hire other third-party service providers for such services, under the Transition Services Agreement, the former Manager continues to provide to the Company certain services, which is referred to in this Quarterly Report as Transition Services. The Transition Services primarily include information technology, legal, regulatory compliance, tax and accounting services. The Transition Services are provided for a fee intended to be equal to the former Manager’s cost of providing the Transition Services, including the allocated cost of, among other things, overhead, employee wages and compensation and out-of-pocket expenses, and will be invoiced on a monthly basis. The Company terminated the Transition Services Agreement during the second quarter of 2019 and incurred zero and less than $0.1 million in costs for Transition Services during the three and nine months ended September 30, 2019 , respectively, and less than $0.1 million and $0.4 million during the three and nine months ended September 30, 2018 , respectively. These costs are reported in general and administrative expense on the Consolidated Statements of Operations. At September 30, 2019 , Fortress, through its affiliates, and principals of Fortress, owned 7.3 million shares of the Company’s common stock and Fortress, through its affiliates, had options relating to an additional 3.6 million shares of the Company’s common stock (Note 11). Other Affiliated Entities A member of the board of directors owned or leased aircraft that the Company chartered from a third-party aircraft operator for business purposes in the course of operations. The Company incurred less than $0.1 million for the nine months ended September 30, 2019 . The Company paid the aircraft operator market rates for the charters. The Company previously leased corporate office space from an affiliate of a member of our board of directors. The Company incurred $0.2 million in rent expense during the nine months ended September 30, 2019 , which represents market rates for the office space. The Company agreed to reimburse an affiliate of a member of our board of directors for services of an employee prior to execution of an employment agreement. The Company will pay market rates for these services. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Litigation - The Company exited a leased property and accrued related lease exit costs of approximately $ 0.8 million in December 2016. The Company subsequently entered into a legal dispute related to this golf property. In June 2018, the Company accrued an additional $6.6 million for a total of $7.4 million to settle this legal dispute, which was recorded as accounts payable and accrued expenses in the Consolidated Balance Sheet. In July 2018, the Company settled the dispute for $7.4 million , with $5.2 million payable immediately and $2.2 million payable in six quarterly installments. The Company paid a total of $1.8 million of the quarterly installments as of September 30, 2019 , and the final payment is due in December 2019. The Company is and may become, from time to time, involved in legal actions in the ordinary course of business, including governmental and administrative investigations, inquiries and proceedings concerning employment, labor, environmental, personal injury and other claims. Although management is unable to predict with certainty the eventual outcome of any legal action, management believes the ultimate liability arising from such actions, individually and in the aggregate, which existed at September 30, 2019 , will not materially affect the Company’s consolidated results of operations, financial position or cash flow. Given the inherent unpredictability of these types of proceedings, however, it is possible that future adverse outcomes could have a material effect on our financial results. Commitments - In February 2018, the Company entered into a ground lease in New Orleans, Louisiana. During December 2018, the Company committed to the lease as there were no remaining material contingencies under the terms of the lease. The initial lease term is 20 years and includes eight 5 -year renewal options. As of September 30, 2019 , the Company has additional operating leases that have not yet commenced of $85.7 million . The leases are expected to commence over the next 12 - 24 months with lease terms of approximately 20 years . These leases are primarily real estate leases for future Entertainment Golf venues and the commencement of these leases is contingent on completion of due diligence and satisfaction of certain contingencies which generally occurs prior to construction. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company's income tax provision (benefit) for interim periods is determined using an estimate of the Company's annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. The Company's income tax provision was $0.2 million for both the three and nine months ended September 30, 2019 . There was no income tax provision for the three and nine months ended September 30, 2018 . The increase in the income tax provision is due to tax on excess inclusion income and an increase in unrecognized tax benefits related to the current period. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. The Company recorded a valuation allowance against its deferred tax assets as of September 30, 2019 as management does not believe that it is more likely than not that the deferred tax assets will be realized. The Company and its subsidiaries file U.S. federal and state income tax returns in various jurisdictions. The Company is currently under New York State examination for the 2015, 2016 and 2017 tax years. At this time, the Company cannot estimate when the examination will conclude or the impact such examination will have on its Consolidated Financial Statements, if any. Generally, the Company is no longer subject to tax examinations by tax authorities for years prior to 2016. At December 31, 2018, the Company reported a total liability for unrecognized tax benefits of $0.7 million . During the nine months ended September 30, 2019 , the Company increased the liability by $0.1 million . The Company does not anticipate any significant increases or decreases to the balance of unrecognized tax benefits during the next 12 months. |
IMPAIRMENT AND OTHER LOSSES
IMPAIRMENT AND OTHER LOSSES | 9 Months Ended |
Sep. 30, 2019 | |
Other than Temporary Impairment Losses, Investments [Abstract] | |
IMPAIRMENT AND OTHER LOSSES | IMPAIRMENT AND OTHER LOSSES The following table summarizes the amounts the Company recorded in the Consolidated Statements of Operations: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Traditional golf properties (held-for-sale) $ 275 $ 4,172 $ 1,227 $ 5,498 Traditional golf properties (held-for-use) 445 — 3,580 — Valuation allowance on loans — — — 147 Other losses 1,152 — 1,270 — Total impairment and other losses $ 1,872 $ 4,172 $ 6,077 $ 5,645 Held-for-Sale Impairment: For the three and nine months ended September 30, 2019 , the Company reassessed the real estate assets, held-for-sale, net and determined that the carrying value of one and three properties, respectively, exceeded the fair value less anticipated costs to sell. As a result, the Company recognized impairment losses and recorded accumulated impairment totaling approximately $0.3 million and $1.2 million for the three and nine months ended September 30, 2019 , respectively. The fair value measurements were based on expected selling prices, less costs to sell. The significant inputs used to value these real estate investments fall within Level 3 for fair value reporting. Held-for-Use Impairment: For the three and nine months ended September 30, 2019 , the Company evaluated the recoverability of the carrying value of one and two Traditional Golf leased golf properties, respectively, using the income approach based on future assumptions of cash flows. Based on the analysis, the Company recorded impairment charges of $0.4 million and $3.6 million for the three and nine months ended September 30, 2019 , respectively. As the fair value inputs utilized are unobservable, the Company determined that the significant inputs used to value these properties fall within Level 3 for fair value reporting. Other Losses: For the three and nine months ended September 30, 2019 , the Company recorded loss on disposals of $1.2 million and $1.3 million , respectively, primarily due to the Company's decision to discontinue certain software used at our Entertainment Golf venues. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS These Consolidated Financial Statements include a discussion of material events, if any, that have occurred subsequent to September 30, 2019 through the issuance of these Consolidated Financial Statements. In October 2019, the Company consummated the sale of a public golf property in New Jersey for a sale price of $0.8 million . In October 2019, the Company opened an Entertainment Golf venue in West Palm Beach, Florida. In November 2019, the Company consummated the sale of two public golf properties in California for a total sale price of $18.3 million . On November 11, 2019, the Company declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the period beginning November 1, 2019 and ending January 31, 2020. Dividends totaling $1.4 million will be paid on January 31, 2020 to stockholders of record on January 2, 2020. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation — The accompanying Consolidated Financial Statements and related notes of the Company have been prepared in accordance with accounting principles generally accepted in the United States for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared under U.S. generally accepted accounting principles or GAAP have been condensed or omitted. In the opinion of management, all adjustments considered necessary for a fair presentation of the Company’s financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These financial statements should be read in conjunction with the Company’s Consolidated Financial Statements for the year ended December 31, 2018 and notes thereto included in the Company’s Annual Report on Form 10-K filed with the SEC on March 15, 2019. Capitalized terms used herein, and not otherwise defined, are defined in the Company’s Consolidated Financial Statements for the year ended December 31, 2018 . |
Real Estate, Held-for-Sale | Real Estate, Held-for-Sale — Long-lived assets to be disposed of by sale, which meet certain criteria, are reclassified to real estate held-for-sale and measured at the lower of their carrying amount or fair value less costs of sale. The Company suspends depreciation and amortization for assets held-for-sale. Subsequent changes to the estimated fair value less costs to sell could impact the measurement of assets held-for-sale. Decreases are recognized as an impairment loss and recorded in "Impairment and other losses" on the Consolidated Statements of Operations. To the extent the fair value increases, any previously reported impairment is reversed. Real estate held-for-sale is recorded in “Real estate assets, held-for-sale, net” and “Real estate liabilities, held-for-sale” on the Consolidated Balance Sheets. |
Leasing Arrangements | Leasing Arrangements — The Company evaluates at lease inception whether an arrangement is or contains a lease by providing the Company with the right to control an asset. Operating leases are accounted for on balance sheet with the Right of Use (“ROU”) assets and lease liabilities recognized in "Operating lease right-of-use assets," "Other current liabilities" and "Operating lease liabilities - noncurrent" in the Consolidated Balance Sheets. Finance lease ROU assets, current lease liabilities and noncurrent lease liabilities are recognized in "Property and equipment, net of accumulated depreciation," and "Obligations under finance leases" and "Credit facilities and obligations under finance leases - noncurrent" in the Consolidated Balance Sheets, respectively. All lease liabilities are measured at the present value of the associated payments, discounted using the Company’s incremental borrowing rate determined using a portfolio approach based on the rate of interest that the Company would pay to borrow an amount equal to the lease payments for a similar term and in a similar economic environment on a collateralized basis. ROU assets, for both operating and finance leases, are initially measured based on the lease liability, adjusted for initial direct costs, prepaid rent, and lease incentives received. The operating lease ROU assets are subsequently measured at the carrying amount of the lease liability adjusted for initial direct costs, prepaid or accrued lease payments, and lease incentives. Depreciation of the finance lease ROU assets are subsequently calculated using the straight-line method over the shorter of the estimated useful lives or the expected lease terms and recorded in "Depreciation and amortization" on the Consolidated Statements of Operations. In addition to the fixed minimum payments required under the lease arrangements, certain leases require variable lease payments, which are payment of the excess of various percentages of gross revenue or net operating income over the minimum rental payments as well as payment of taxes assessed against the leased property. The leases generally also require the payment for the cost of insurance and maintenance. Variable lease payments are recognized when the associated activity occurs and contingency is resolved. The Company has elected to combine lease and non-lease components for all lease contracts. Additionally, the Company does not recognize ROU assets and lease liabilities for arrangements with lease terms of 12 months or less and lease payments are recognized on a straight-line basis over the lease term with variable lease payments recognized in the period in which the obligation is incurred. |
Other Investments | Other Investments — The Company owns an approximately 22% economic interest in a limited liability company which owns preferred equity in a commercial real estate project. The Company accounts for this investment as an equity method investment. As of September 30, 2019 and December 31, 2018 , the carrying value of this investment was $23.6 million and $22.6 million , respectively. The Company evaluates its equity method investment for other-than-temporary impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. The evaluation of recoverability is based on management’s assessment of the financial condition and near-term prospects of the commercial real estate project, the length of time and the extent to which the market value of the investment has been less than cost, availability and cost of financing, demand for space, competition for tenants, changes in market rental rates, and operating costs. As these factors are difficult to predict and are subject to future events that may alter management’s assumptions, the values estimated by management in its recoverability analyses may not be realized, and actual losses or impairment may be realized in the future. |
Impairment of Long-lived Assets | Impairment of Long-lived Assets — The Company periodically reviews the carrying amounts of its long-lived assets, including real estate held-for-use and held-for-sale, as well as finite-lived intangible assets and right-of-use assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. The assessment of recoverability is based on management’s estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset, or other appropriate grouping of assets, to its carrying value to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment is recognized to the extent the carrying value of such asset exceeds its fair value. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. |
Impairment of Long-lived Assets | Impairment of Long-lived Assets — The Company periodically reviews the carrying amounts of its long-lived assets, including real estate held-for-use and held-for-sale, as well as finite-lived intangible assets and right-of-use assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. The assessment of recoverability is based on management’s estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset, or other appropriate grouping of assets, to its carrying value to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment is recognized to the extent the carrying value of such asset exceeds its fair value. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. |
Membership Deposit Liabilities | Membership Deposit Liabilities - Private country club members in our Traditional Golf business generally pay an advance initiation fee deposit upon their acceptance as a member to the respective country club. Initiation fee deposits are refundable 30 years after the date of acceptance as a member. The difference between the initiation fee deposit paid by the member and the present value of the refund obligation is deferred and recognized into Golf operations revenue in the Consolidated Statements of Operations on a straight-line basis over the expected life of an active membership, which is estimated to be seven years . The present value of the refund obligation is recorded as a membership deposit liability in the Consolidated Balance Sheets and accretes over a 30-year nonrefundable term using the effective interest method. This accretion is recorded as interest expense in the Consolidated Statements of Operations. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-02 Leases (Topic 842) . The standard requires lessees to recognize most leases on the balance sheet and addresses certain aspects of lessor accounting. On January 1, 2019, the Company adopted ASU 2016-02 using a modified retrospective approach. The Company utilized the effective date transition method and accordingly was not required to adjust its comparative period financial information for effects of ASU 2016-02. The Company elected to adopt practical expedients which permits it to not reassess its prior conclusions about lease identification, lease classification and initial direct costs under the new standard. The Company elected to combine lease and non-lease components for all lease contracts and also elected not to recognize ROU assets and lease liabilities for leases with terms of 12 months or less. The Company also elected to adopt the practical expedient for land easements which permits it not to evaluate existing and expired land easements under the new standard. The adoption of ASU 2016-02 had a material impact on the Company’s Consolidated Balance Sheets, resulting in the recognition of operating lease right-of-use assets and operating lease liabilities of $225.6 million and $205.9 million , respectively, with the difference primarily due to reclassifications of leasehold intangibles and an adjustment to accumulated deficit. There was no material impact on the Consolidated Statements of Operations. In June 2016, the FASB issued ASU 2016-13 Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. The standard changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. For available-for-sale debt securities, entities will be required to record allowances rather than reduce the carrying amount under the other-than-temporary impairment model. In November 2018, the FASB issued ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments - Credit Losses, which clarifies that operating lease receivables accounted for under ASC 842 are not in the scope of this guidance. In April 2019, the FASB issued ASU 2019-04 Codification Improvements to Topic 326, Financial Instruments - Credit Losses, which addresses certain fair value disclosure requirements, the measurement basis under the measurement alternative and which equity securities have to be remeasured at historical exchange rates. In May 2019, the FASB issued Financial Instruments - Credit Losses (Topic 326), Targeted Transition Relief , which allows entities to elect to measure assets in the scope of ASC 326-20, using the fair value option when ASU 2016-13 is adopted. The effective date of the standards will be for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019 and early adoption is permitted for annual periods beginning after December 15, 2018. Entities will apply the standard's provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company's implementation activities, which remain in progress, include identifying the financial assets in the scope of the new standard, developing methods to estimate current expected credit losses associated with these financial assets, and determining changes needed to control activities. The Company is currently gathering data and evaluating the effects the adoption will have on its Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-15 Intangibles-Goodwill and Other-Internal Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . The standard requires a customer in a cloud computing arrangement (i.e., a hosting arrangement) that is a service contract to follow the internal-use software guidance in ASC 350-40 to determine which implementation costs to capitalize as assets or expense as incurred. That guidance requires certain costs incurred during the application development stage to be capitalized and other costs incurred during the preliminary project and post-implementation stages to be expensed as they are incurred. Capitalized implementation costs related to a hosting arrangement that is a service contract will be amortized over the term of the hosting arrangement, beginning when the module or component of the hosting arrangement is ready for its intended use. The effective date of the standard will be for annual periods beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. Entities can either apply the guidance prospectively to all implementation costs incurred after the date of adoption or retrospectively. The Company is currently evaluating the timing for adoption and the impact it may have on its Consolidated Financial Statements. |
Fair Value Measurements | All of the inputs used have some degree of market observability, based on the Company’s knowledge of the market, relationships with market participants, and use of common market data sources. Collateral prepayment, default and loss severity projections are in the form of “curves” or “vectors” that vary for each monthly collateral cash flow projection. Methods used to develop these projections vary by asset class but conform to industry conventions. The Company uses assumptions that generate its best estimate of future cash flows of each respective security. Liabilities for Which Fair Value is Only Disclosed The following table summarizes the level of the fair value hierarchy, valuation techniques and inputs used for estimating each class of liabilities not measured at fair value in the statement of financial position but for which fair value is disclosed: Type of Liabilities Not Measured At Fair Value for Which Fair Value Is Disclosed Fair Value Hierarchy Valuation Techniques and Significant Inputs Junior subordinated notes payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Amount and timing of expected future cash flows l Interest rates l Market yields and the credit spread of the Company Fair Value Measurements Valuation Hierarchy The fair value of financial instruments is categorized based on the priority of the inputs to the valuation technique and categorized into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The Company follows this hierarchy for its financial instruments measured at fair value. Level 1 - Quoted prices in active markets for identical instruments. Level 2 - Valuations based principally on observable market parameters, including • quoted prices for similar assets or liabilities in active markets, • inputs other than quoted prices that are observable for the asset or liability (such as interest rates and yield curves observable at commonly quoted intervals, implied volatilities and credit spreads), and • market corroborated inputs (derived principally from or corroborated by observable market data). Level 3 - Valuations determined using unobservable inputs that are supported by little or no market activity, and that are significant to the overall fair value measurement. The Company’s real estate securities and debt obligations are currently not traded in active markets and therefore have little or no price transparency. As a result, the Company has estimated the fair value of these illiquid instruments based on internal pricing models subject to the Company’s controls described below. The Company has various processes and controls in place to ensure that fair value measurements are reasonably estimated. With respect to broker and pricing service quotations, and in order to ensure these quotes represent a reasonable estimate of fair value, the Company’s quarterly procedures include a comparison of such quotations to quotations from different sources, outputs generated from its internal pricing models and transactions completed, as well as on its knowledge and experience of these markets. With respect to fair value estimates generated based on the Company’s internal pricing models, the Company’s management validates the inputs and outputs of the internal pricing models by comparing them to available independent third-party market parameters and models, where available, for reasonableness. The Company believes its valuation methods and the assumptions used are appropriate and consistent with other market participants. Fair value measurements categorized within Level 3 are sensitive to changes in the assumptions or methodologies used to determine fair value and such changes could result in a significant increase or decrease in the fair value. For the Company’s investments in real estate securities categorized within Level 3 of the fair value hierarchy, the significant unobservable inputs include the discount rates, assumptions relating to prepayments, default rates and loss severities. |
Valuation of Options | The grant date fair value of the employee options is determined using the Black-Scholes option valuation model. The Black-Scholes option valuation model uses assumptions of expected volatility, expected dividend yield of the Company’s stock, expected term of the awards and the risk-free interest rate. |
Earnings Per Share | The Company’s dilutive securities are outstanding stock options and RSUs. |
Income Taxes | In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Schedule of realized/unrealized loss on investments and other income (loss), net | These items are comprised of the following: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Unrealized loss (gain) on non-hedge derivative instruments — 48 — (283 ) Realized and unrealized (gain) loss on investments $ — $ 48 $ — $ (283 ) Loss on lease modifications and terminations $ — $ (173 ) $ — $ (969 ) Gain (loss) on extinguishment of debt, net (126 ) 75 (148 ) (66 ) Collateral management fee income, net 101 142 357 443 Equity in earnings of equity method investments 348 357 1,033 1,123 Gain (loss) on sale of long-lived assets and intangibles 7,096 (2,769 ) 11,763 (1,921 ) Other loss (A) (78 ) (684 ) (50 ) (5,767 ) Other income (loss), net $ 7,341 $ (3,052 ) $ 12,955 $ (7,157 ) (A) During the nine months ended September 30, 2018 , the Company recorded a net loss of approximately $4.9 million related to the settlement of a legal dispute and a related discharge of liabilities assumed by the counterparty to the settlement. See Note 13 for additional information. |
Schedule of other current assets | The following table summarizes the Company's other current assets: September 30, 2019 December 31, 2018 Prepaid expenses $ 2,948 $ 2,651 Deposits 2,476 2,494 Inventory 2,930 2,855 Miscellaneous current assets, net 10,261 12,505 Other current assets $ 18,615 $ 20,505 |
Schedule of other assets | The following table summarizes the Company's other assets: September 30, 2019 December 31, 2018 Prepaid expenses $ 196 $ 277 Deposits 2,120 2,140 Miscellaneous assets, net 2,285 6,267 Other assets $ 4,601 $ 8,684 |
Schedule of other current liabilities | The following table summarizes the Company's other current liabilities: September 30, 2019 December 31, 2018 Security deposits payable $ 5,783 $ 14,188 Operating lease liabilities 16,307 — Accrued rent 2,914 2,885 Dividends payable 930 930 Miscellaneous current liabilities 2,763 4,282 Other current liabilities $ 28,697 $ 22,285 |
Schedule of other liabilities | The following table summarized the Company's other liabilities: September 30, 2019 December 31, 2018 Security deposits payable $ 298 $ 91 Service obligation intangible 1,865 2,759 Accrued rent — 1,617 Miscellaneous liabilities 1,531 765 Other liabilities $ 3,694 $ 5,232 |
REVENUES (Tables)
REVENUES (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables disaggregate revenue by category: Entertainment golf venues, public and private golf properties (owned and leased) and managed golf properties. Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Golf operations $ 1,431 $ 30,258 $ 11,902 $ 17,206 $ 60,797 $ 2,720 $ 76,624 $ 40,707 $ 42,838 $ 162,889 Sales of food and beverages 2,256 9,053 2,576 — 13,885 4,167 24,646 8,547 — 37,360 Total revenues $ 3,687 $ 39,311 $ 14,478 $ 17,206 $ 74,682 $ 6,887 $ 101,270 $ 49,254 $ 42,838 $ 200,249 Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Ent. golf venues Public golf properties Private golf properties Managed golf properties (A) Total Golf operations $ 710 $ 34,689 $ 25,362 $ 8,167 $ 68,928 $ 1,565 $ 91,668 $ 78,202 $ 20,197 $ 191,632 Sales of food and beverages 830 10,757 6,904 — 18,491 1,782 30,271 21,398 — 53,451 Total revenues $ 1,540 $ 45,446 $ 32,266 $ 8,167 $ 87,419 $ 3,347 $ 121,939 $ 99,600 $ 20,197 $ 245,083 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting | Summary financial data on the Company’s segments is given below, together with a reconciliation to the same data for the Company as a whole: Entertainment Golf Traditional Golf Corporate Total Nine Months Ended September 30, 2019 Revenues Golf operations $ 2,720 $ 160,169 $ — $ 162,889 Sales of food and beverages 4,167 33,193 — 37,360 Total revenues 6,887 193,362 — 200,249 Operating costs Operating expenses (A) 6,807 163,090 — 169,897 Cost of sales - food and beverages 1,106 9,352 — 10,458 General and administrative expense (B) 10,349 12,713 10,977 34,039 General and administrative expense - acquisition and transaction expenses (C) 3,094 539 309 3,942 Depreciation and amortization 3,119 12,528 122 15,769 Pre-opening costs (D) 7,229 — — 7,229 Impairment and other losses 1,270 4,807 — 6,077 Realized and unrealized (gain) on investments — — — — Total operating costs 32,974 203,029 11,408 247,411 Operating loss (26,087 ) (9,667 ) (11,408 ) (47,162 ) Other income (expenses) Interest and investment income 311 84 404 799 Interest expense (E) (245 ) (6,140 ) (1,856 ) (8,241 ) Capitalized interest (E) — 583 1,650 2,233 Other (loss) income, net (7 ) 11,582 1,380 12,955 Total other income (expenses) 59 6,109 1,578 7,746 Income tax expense — — 162 162 Net loss (26,028 ) (3,558 ) (9,992 ) (39,578 ) Preferred dividends — — (4,185 ) (4,185 ) Loss applicable to common stockholders $ (26,028 ) $ (3,558 ) $ (14,177 ) $ (43,763 ) Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Three Months Ended September 30, 2019 Revenues Golf operations $ 1,431 $ 59,366 $ — $ 60,797 Sales of food and beverages 2,256 11,629 — 13,885 Total revenues 3,687 70,995 — 74,682 Operating costs Operating expenses (A) 3,202 60,252 — 63,454 Cost of sales - food and beverages 604 3,252 — 3,856 General and administrative expense (B) 3,433 4,500 2,467 10,400 General and administrative expense - acquisition and transaction expenses (C) 2,117 207 31 2,355 Depreciation and amortization 1,450 4,192 81 5,723 Pre-opening costs (D) 4,350 — — 4,350 Impairment and other losses 1,152 720 — 1,872 Realized and unrealized loss on investments — — — — Total operating costs 16,308 73,123 2,579 92,010 Operating loss (12,621 ) (2,128 ) (2,579 ) (17,328 ) Other income (expenses) Interest and investment income 64 24 103 191 Interest expense (E) (103 ) (2,088 ) (599 ) (2,790 ) Capitalized interest (E) — 169 560 729 Other (loss) income, net — 6,896 445 7,341 Total other income (expenses) (39 ) 5,001 509 5,471 Income tax expense — — 162 162 Net (loss) income (12,660 ) 2,873 (2,232 ) (12,019 ) Preferred dividends — — (1,395 ) (1,395 ) (Loss) income applicable to common stockholders $ (12,660 ) $ 2,873 $ (3,627 ) $ (13,414 ) Entertainment Golf Traditional Golf Corporate (F) Total September 30, 2019 Total assets 176,366 319,279 40,261 535,906 Total liabilities 42,841 346,593 62,816 452,250 Preferred stock — — 61,583 61,583 Equity attributable to common stockholders $ 133,525 $ (27,314 ) $ (84,138 ) $ 22,073 Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 $ 56,977 $ 10,661 $ 1,733 $ 69,371 Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Nine Months Ended September 30, 2018 Revenues Golf operations $ 1,565 $ 190,067 $ — $ 191,632 Sales of food and beverages 1,782 51,669 — 53,451 Total revenues 3,347 241,736 — 245,083 Operating costs Operating expenses (A) 3,599 191,152 — 194,751 Cost of sales - food and beverages 432 14,981 — 15,413 General and administrative expense (B) 4,515 12,781 9,448 26,744 General and administrative expense - acquisition and transaction expenses (C) 2,024 706 137 2,867 Depreciation and amortization 1,148 13,198 12 14,358 Pre-opening costs (D) 2,048 — — 2,048 Impairment and other losses — 5,498 147 5,645 Realized and unrealized (gain) on investments — (283 ) — (283 ) Total operating costs 13,766 238,033 9,744 261,543 Operating (loss) income (10,419 ) 3,703 (9,744 ) (16,460 ) Other income (expenses) Interest and investment income 196 144 1,042 1,382 Interest expense (E) — (12,149 ) (1,661 ) (13,810 ) Capitalized interest (E) — 580 290 870 Other (loss) income, net — (8,715 ) 1,558 (7,157 ) Total other income (expenses) 196 (20,140 ) 1,229 (18,715 ) Income tax expense — — — — Net loss (10,223 ) (16,437 ) (8,515 ) (35,175 ) Preferred dividends — — (4,185 ) (4,185 ) Loss applicable to common stockholders $ (10,223 ) $ (16,437 ) $ (12,700 ) $ (39,360 ) Summary segment financial data (continued). Entertainment Golf Traditional Golf Corporate Total Three Months Ended September 30, 2018 Revenues Golf operations $ 710 $ 68,218 $ — $ 68,928 Sales of food and beverages 830 17,661 — 18,491 Total revenues 1,540 85,879 — 87,419 Operating costs Operating expenses (A) 1,765 68,565 — 70,330 Cost of sales - food and beverages 204 4,976 — 5,180 General and administrative expense (B) 1,878 4,313 3,189 9,380 General and administrative expense - acquisition and transaction expenses (C) 570 199 — 769 Depreciation and amortization 614 3,877 4 4,495 Pre-opening costs (D) 245 — — 245 Impairment and other losses — 4,172 — 4,172 Realized and unrealized loss on investments — 48 — 48 Total operating costs 5,276 86,150 3,193 94,619 Operating loss (3,736 ) (271 ) (3,193 ) (7,200 ) Other income (expenses) Interest and investment income 85 48 334 467 Interest expense (E) — (4,050 ) (597 ) (4,647 ) Capitalized interest (E) — 238 119 357 Other (loss) income, net — (3,548 ) 496 (3,052 ) Total other income (expenses) 85 (7,312 ) 352 (6,875 ) Income tax expense — — — — Net loss (3,651 ) (7,583 ) (2,841 ) (14,075 ) Preferred dividends — — (1,395 ) (1,395 ) Loss applicable to common stockholders $ (3,651 ) $ (7,583 ) $ (4,236 ) $ (15,470 ) (A) Operating expenses include rental expenses recorded under operating leases for carts and equipment in the amount of $0.2 million and $0.7 million for the three and nine months ended September 30, 2019 , respectively, and $0.5 million and $1.6 million for the three and nine months ended September 30, 2018 , respectively. (B) General and administrative expenses include severance expense in the amount of $0.5 million and $1.6 million for the three and nine months ended September 30, 2019 , respectively, and zero and $0.1 million for the three and nine months ended September 30, 2018 , respectively. (C) Acquisition and transaction expenses include costs related to completed and potential acquisitions and transactions, which may include advisory, legal, accounting and other professional or consulting fees. (D) Pre-opening costs are expensed as incurred and consist primarily of site-related marketing expenses, lease expense, employee payroll, travel and related expenses, training costs, food, beverage and other operating expenses incurred prior to opening an Entertainment Golf venue. (E) Interest expense includes the accretion of membership deposit liabilities in the amount of $1.8 million and $5.4 million for the three and nine months ended September 30, 2019 , respectively, and $1.7 million and $5.1 million for the three and nine months ended September 30, 2018 , respectively. Interest expense and capitalized interest are combined in interest expense, net on the Consolidated Statements of Operations. (F) Total assets in the corporate segment include an equity method investment in the amount of $23.6 million as of September 30, 2019 recorded in other investments on the Consolidated Balance Sheets. |
PROPERTY AND EQUIPMENT, NET O_2
PROPERTY AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | The following table summarizes the Company’s property and equipment: September 30, 2019 December 31, 2018 Gross Carrying Amount Accumulated Depreciation Net Carrying Value Gross Carrying Amount Accumulated Depreciation Net Carrying Value Land $ 6,770 $ — $ 6,770 $ 6,747 $ — $ 6,747 Buildings and improvements 124,414 (34,022 ) 90,392 78,833 (30,540 ) 48,293 Furniture, fixtures and equipment 45,328 (19,795 ) 25,533 26,726 (16,729 ) 9,997 Finance leases - equipment 37,098 (15,678 ) 21,420 28,745 (12,843 ) 15,902 Construction in progress 41,622 — 41,622 51,666 — 51,666 Total Property and Equipment $ 255,232 $ (69,495 ) $ 185,737 $ 192,717 $ (60,112 ) $ 132,605 |
LEASES (Tables)
LEASES (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Lease Related Costs | Lease related costs recognized in the Consolidated Statements of Operations for the three and nine months ended September 30, 2019 are as follows: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Finance lease cost Amortization of right-of-use assets $ 1,690 $ 4,736 Interest on lease liabilities 353 972 Total finance lease cost 2,043 5,708 Operating lease cost Operating lease cost 9,798 28,276 Short-term lease cost 420 1,882 Variable lease cost 5,544 12,696 Total operating lease cost 15,762 42,854 Total lease cost $ 17,805 $ 48,562 |
Lease, Other Information | Other information related to leases included on the Consolidated Balance Sheet as of and for the nine months ended September 30, 2019 are as follows: Operating Leases Financing Leases Right-of-use assets 220,197 21,420 Lease liabilities 207,749 20,419 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows 22,531 668 Financing cash flows N/A 5,702 Right-of-use assets obtained in exchange for lease liabilities 10,813 11,723 Weighted average remaining lease term 12.6 years 3.6 years Weighted average discount rate 8.8 % 7.2 % |
Schedule of Future Minimum Lease Payments, Operating Lease | Future minimum lease payments under non-cancellable leases as of September 30, 2019 are as follows: Operating Leases Financing Leases October 1, 2019 - December 31, 2019 7,647 2,053 2020 33,151 7,275 2021 32,514 5,785 2022 31,133 4,137 2023 30,962 3,073 Thereafter 229,981 1,047 Total minimum lease payments 365,388 23,370 Less: imputed interest 157,639 2,951 Total lease liabilities $ 207,749 $ 20,419 |
Schedule of Future Minimum Lease Payments, Finance Lease | Future minimum lease payments under non-cancellable leases as of September 30, 2019 are as follows: Operating Leases Financing Leases October 1, 2019 - December 31, 2019 7,647 2,053 2020 33,151 7,275 2021 32,514 5,785 2022 31,133 4,137 2023 30,962 3,073 Thereafter 229,981 1,047 Total minimum lease payments 365,388 23,370 Less: imputed interest 157,639 2,951 Total lease liabilities $ 207,749 $ 20,419 |
INTANGIBLES, NET OF ACCUMULAT_2
INTANGIBLES, NET OF ACCUMULATED AMORTIZATION (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | The following table summarizes the Company’s intangible assets: September 30, 2019 December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Trade name $ 700 $ (134 ) $ 566 $ 700 $ (117 ) $ 583 Leasehold intangibles (A) (B) — — — 46,581 (20,270 ) 26,311 Management contracts 32,330 (16,812 ) 15,518 32,932 (15,174 ) 17,758 Internally-developed software 161 (15 ) 146 2,314 (967 ) 1,347 Membership base 5,236 (4,301 ) 935 5,236 (3,740 ) 1,496 Nonamortizable liquor licenses 1,043 — 1,043 893 — 893 Total Intangibles $ 39,470 $ (21,262 ) $ 18,208 $ 88,656 $ (40,268 ) $ 48,388 (A) The amortization expense for leasehold intangibles is reported in operating expenses in the Consolidated Statements of Operations. (B) As of January 1, 2019, leasehold intangibles were reclassified from "Intangibles, net of accumulated amortization" to "Operating lease right-of-use assets" in the Consolidated Balance Sheet as part of the adoption of ASU 2016-02. |
DEBT OBLIGATIONS (Tables)
DEBT OBLIGATIONS (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of debt obligations | The following table presents certain information regarding the Company’s debt obligations at September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Debt Obligation/Collateral Month Issued Outstanding Carrying Final Stated Maturity Weighted Weighted Average Weighted Average Life (Years) Face Amount of Outstanding Face Amount Carrying Value Credit Facilities and Finance Leases Vineyard II Dec 1993 $ 200 $ 200 Dec 2043 2.80% 2.80 % 24.2 $ 200 $ 200 $ 200 Finance leases (Equipment) Jun 2014 - Sep 2019 20,419 20,419 Oct 2019 - Mar 2025 3.00% to 15.00% 7.23 % 3.6 — 15,778 15,778 20,619 20,619 7.19 % 3.8 200 15,978 15,978 Less current portion of obligations under finance leases 6,222 6,222 5,489 5,489 Credit facilities and obligations under finance leases - noncurrent 14,397 14,397 10,489 10,489 Corporate Junior subordinated notes payable (B) Mar 2006 51,004 51,194 Apr 2035 LIBOR+2.25% 4.48 % 15.6 51,004 51,004 51,200 Total debt obligations $ 71,623 $ 71,813 5.26 % 12.2 $ 51,204 $ 66,982 $ 67,178 (A) Including the effect of deferred financing costs. (B) Interest rate based on 3 month LIBOR plus 2.25% . |
REAL ESTATE SECURITIES (Tables)
REAL ESTATE SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of real estate securities holdings | The following is a summary of the Company’s real estate securities at September 30, 2019 , which are classified as available-for-sale and are, therefore, reported at fair value with changes in fair value recorded in other comprehensive income, except for securities that are other-than-temporarily impaired. September 30, 2019 Amortized Cost Basis Gross Unrealized Weighted Average Asset Type Outstanding Face Amount Before Impairment Other-Than- Temporary Impairment After Impairment Gains Losses Carrying Number of Securities Rating (B) Coupon Yield Life Principal Subordination (D) ABS - Non-Agency RMBS $ 4,000 $ 2,786 $ (1,521 ) $ 1,265 $ 1,649 $ — $ 2,914 1 CCC 2.45 % 31.92 % 4.2 41.9 % Total Securities, Available for Sale (E) $ 4,000 $ 2,786 $ (1,521 ) $ 1,265 $ 1,649 $ — $ 2,914 1 (A) See Note 10 regarding the estimation of fair value, which is equal to carrying value for all securities. (B) Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the lowest rating is used. Ratings provided were determined by third-party rating agencies, represent the most recent credit ratings available as of the reporting date and may not be current. (C) The weighted average life is based on the timing of expected cash flows on the assets. (D) Percentage of the outstanding face amount of securities and residual interests that is subordinate to the Company’s investments. (E) The total outstanding face amount was $4.0 million for floating rate securities. The collateral securing the ABS - Non-Agency RMBS is located in various geographical regions in the U.S. The Company does not have significant investments in any geographic region. |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of carrying value and estimated fair value of assets and liabilities | The following table summarizes the carrying values and estimated fair values of the Company’s financial instruments at September 30, 2019 : Carrying Value Estimated Fair Value Fair Value Method (A) Assets Real estate securities, available-for-sale $ 2,914 $ 2,914 Pricing models - Level 3 Cash and cash equivalents 24,816 24,816 Restricted cash, current and noncurrent 4,094 4,094 Liabilities Junior subordinated notes payable 51,194 24,327 Pricing models - Level 3 (A) Pricing models are used for (i) real estate securities that are not traded in an active market, and, therefore, have little or no price transparency, and for which significant unobservable inputs must be used in estimating fair value, or (ii) debt obligations which are private and untraded. |
Schedule of quantitative information regarding significant unobservable inputs | The following table provides quantitative information regarding the significant unobservable inputs used by the Company for assets and liabilities measured at fair value on a recurring basis as of September 30, 2019 : Weighted Average Significant Input Asset Type Amortized Cost Basis Fair Value Discount Prepayment Cumulative Default Rate Loss ABS - Non-Agency RMBS $ 1,265 $ 2,914 10.0 % 8.0 % 2.8 % 43.3 % |
Schedule of change in fair value of Level 3 investments | Real estate securities measured at fair value on a recurring basis using Level 3 inputs changed during the nine months ended September 30, 2019 as follows: ABS - Non-Agency RMBS Balance at December 31, 2018 $ 2,953 Total gains (losses) (A) Included in other comprehensive income (loss) (229 ) Amortization included in interest income 275 Purchases, sales and repayments (A) Proceeds (85 ) Balance at September 30, 2019 $ 2,914 (A) None of the gains (losses) recorded in earnings during the period are attributable to the change in unrealized gains (losses) relating to Level 3 assets still held at the reporting dates. There were no purchases or sales during the nine months ended September 30, 2019 . There were no transfers into or out of Level 3 during the nine months ended September 30, 2019 . |
Liabilities for which fair value is only disclosed | The following table summarizes the level of the fair value hierarchy, valuation techniques and inputs used for estimating each class of liabilities not measured at fair value in the statement of financial position but for which fair value is disclosed: Type of Liabilities Not Measured At Fair Value for Which Fair Value Is Disclosed Fair Value Hierarchy Valuation Techniques and Significant Inputs Junior subordinated notes payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Amount and timing of expected future cash flows l Interest rates l Market yields and the credit spread of the Company |
EQUITY AND EARNINGS PER SHARE (
EQUITY AND EARNINGS PER SHARE (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Schedule of outstanding options | The following is a summary of the changes in the Company’s outstanding options for the nine months ended September 30, 2019 : Number of Options Weighted Average Strike Price Weighted Average Life Remaining (in years) Balance at December 31, 2018 8,436,931 $ 3.72 Granted (B) 695,652 4.66 Balance at September 30, 2019 9,132,583 $ 3.79 6.02 Exercisable at September 30, 2019 3,627,578 $ 2.59 3.49 |
Schedule of outstanding options summary | As of September 30, 2019 , the Company’s outstanding options were summarized as follows: Number of Options Held by the former Manager 3,627,245 Issued to the former Manager and subsequently transferred to certain of the Manager’s employees (A) 1,382,998 Issued to the independent directors 333 Issued to Drive Shack employees (B) 4,122,007 Total 9,132,583 Weighted average strike price $ 3.79 (A) The Company and the former Manager agreed that options held by certain employees formerly employed by the Manager would not terminate or be forfeited as a result of the Termination and Cooperation Agreement, and the vesting of such options relate to the relevant holder’s employment with the Company and its affiliates following January 1, 2018. In both February 2017 and April 2018, the former Manager issued 1,152,495 options to certain employees formerly employed by the Manager as part of their compensation. The options fully vest and are exercisable one year prior to the option expiration date, beginning March 2020 through January 2024. In July 2019, a certain employee was terminated by the Company and 921,992 options reverted back to the former Manager. The Company reversed $1.2 million in stock compensation expense related to these options. (B) In November 2018, the Company issued options to certain employees as provided in their employment agreements. The options fully vest and are exercisable as follows: 3,351,355 options vest in equal annual installments on each of the first three anniversaries of the grant date, and 75,000 options fully vest on the third anniversary of the grant date. In April 2019, the Company issued 695,652 options to an employee that vest and become exercisable in equal annual installment on each of the first three anniversaries of the grant date. |
Schedule of stock option fair value assumptions | The fair value of the options granted was determined using the following assumptions: Option Valuation Date April 11, 2019 Expected Volatility 36.80 % Expected Dividend Yield 0.00 % Expected Remaining Term 6.0 years Risk-Free Rate 2.34 % Fair Value at Grant Date $ 1,280 |
Summary of changes in RSUs | The following is a summary of the changes in the Company’s RSUs for the nine months ended September 30, 2019 . Number of RSUs Weighted Average Grant Date Fair Value (per unit) Balance at December 31, 2018 54,641 $ 5.02 Granted 589,967 $ 4.70 Released (17,452 ) $ 5.73 Forfeited (95,284 ) $ 4.68 Balance at September 30, 2019 531,872 $ 4.71 |
Schedule of amounts used in computing basic and diluted EPS | The following table shows the Company's basic and diluted earnings per share (“EPS”): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator for basic and diluted earnings per share: Loss from continuing operations after preferred dividends and noncontrolling interests $ (13,414 ) $ (15,470 ) $ (43,763 ) $ (39,360 ) Loss Applicable to Common Stockholders $ (13,414 ) $ (15,470 ) $ (43,763 ) $ (39,360 ) Denominator: Denominator for basic earnings per share - weighted average shares 67,040,692 66,992,322 67,032,519 66,982,233 Effect of dilutive securities Options — — — — RSUs — — — — Denominator for diluted earnings per share - adjusted weighted average shares 67,040,692 66,992,322 67,032,519 66,982,233 Basic earnings per share: Loss from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Loss Applicable to Common Stock, per share $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Diluted earnings per share: Loss from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) Loss Applicable to Common Stock, per share $ (0.20 ) $ (0.23 ) $ (0.65 ) $ (0.59 ) |
IMPAIRMENT AND OTHER LOSSES (Ta
IMPAIRMENT AND OTHER LOSSES (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Other than Temporary Impairment Losses, Investments [Abstract] | |
Summary of impairment (reversal) | The following table summarizes the amounts the Company recorded in the Consolidated Statements of Operations: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Traditional golf properties (held-for-sale) $ 275 $ 4,172 $ 1,227 $ 5,498 Traditional golf properties (held-for-use) 445 — 3,580 — Valuation allowance on loans — — — 147 Other losses 1,152 — 1,270 — Total impairment and other losses $ 1,872 $ 4,172 $ 6,077 $ 5,645 |
ORGANIZATION (Details)
ORGANIZATION (Details) | Sep. 30, 2019stateproperty |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of golf properties | property | 62 |
Number of states in which properties owned | state | 10 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Ownership in equity investment (as percent) | 22.00% | ||
Other investments | $ 23,648 | $ 22,613 | |
Operating lease right-of-use assets | 220,197 | ||
Lease liabilities, operating leases | $ 207,749 | ||
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease right-of-use assets | $ 225,600 | ||
Lease liabilities, operating leases | $ 205,900 | ||
Membership | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Deposit refundable period | 30 years | ||
Weighted Average Life (Years) | 7 years |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Realized and Unrealized (Gain) Loss on Investments and Other Income, Net) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Realized and unrealized (gain) loss on investments | ||||
Unrealized loss (gain) on non-hedge derivative instruments | $ 0 | $ 48 | $ 0 | $ (283) |
Realized and unrealized (gain) loss on investments | 0 | 48 | 0 | (283) |
Other income (loss), net | ||||
Loss on lease modifications and terminations | 0 | (173) | 0 | (969) |
Gain (loss) on extinguishment of debt, net | (126) | 75 | (148) | (66) |
Collateral management fee income, net | 101 | 142 | 357 | 443 |
Equity in earnings of equity method investments | 348 | 357 | 1,033 | 1,123 |
Gain (loss) on sale of long-lived assets and intangibles | 7,096 | (2,769) | 11,763 | (1,921) |
Other income (loss) | (78) | (684) | (50) | (5,767) |
Other income (loss), net | $ 7,341 | $ (3,052) | 12,955 | $ (7,157) |
Loss related to settlement of legal dispute | $ 4,900 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Other Current Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Prepaid expenses | $ 2,948 | $ 2,651 |
Deposits | 2,476 | 2,494 |
Inventory | 2,930 | 2,855 |
Miscellaneous current assets, net | 10,261 | 12,505 |
Other current assets | $ 18,615 | $ 20,505 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Other Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Prepaid expenses | $ 196 | $ 277 |
Deposits | 2,120 | 2,140 |
Miscellaneous assets, net | 2,285 | 6,267 |
Other assets | $ 4,601 | $ 8,684 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Other Current Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Security deposits payable | $ 5,783 | $ 14,188 |
Operating lease liabilities | 16,307 | 0 |
Accrued rent | 2,914 | 2,885 |
Dividends payable | 930 | 930 |
Miscellaneous current liabilities | 2,763 | 4,282 |
Other current liabilities | $ 28,697 | $ 22,285 |
SUMMARY OF SIGNIFICANT ACCOUN_9
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Other Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Security deposits payable | $ 298 | $ 91 |
Service obligation intangible | 1,865 | 2,759 |
Accrued rent | 0 | 1,617 |
Miscellaneous liabilities | 1,531 | 765 |
Other liabilities | $ 3,694 | $ 5,232 |
REVENUES (Disaggregation of Rev
REVENUES (Disaggregation of Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenues | $ 74,682 | $ 87,419 | $ 200,249 | $ 245,083 |
Golf operations, ent. golf venues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 1,431 | 710 | 2,720 | 1,565 |
Golf operations, public golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 30,258 | 34,689 | 76,624 | 91,668 |
Golf operations, private golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 11,902 | 25,362 | 40,707 | 78,202 |
Golf operations, managed golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 17,206 | 8,167 | 42,838 | 20,197 |
Golf operations | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 60,797 | 68,928 | 162,889 | 191,632 |
Food and beverage, ent. golf venues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 2,256 | 830 | 4,167 | 1,782 |
Food and beverage, public golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 9,053 | 10,757 | 24,646 | 30,271 |
Food and beverage, private golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 2,576 | 6,904 | 8,547 | 21,398 |
Food and beverage, managed golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Food and beverages | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 13,885 | 18,491 | 37,360 | 53,451 |
Ent. golf venues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 3,687 | 1,540 | 6,887 | 3,347 |
Public golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 39,311 | 45,446 | 101,270 | 121,939 |
Private golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 14,478 | 32,266 | 49,254 | 99,600 |
Managed golf properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 17,206 | 8,167 | 42,838 | 20,197 |
Management contract reimbursements | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | $ 15,700 | $ 7,400 | $ 38,500 | $ 18,200 |
SEGMENT REPORTING (Narrative) (
SEGMENT REPORTING (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2019statesegmentproperty | |
Segment Reporting Information [Line Items] | |
Number of reportable segments | segment | 3 |
Number of golf properties | property | 62 |
Number of states in which properties owned | state | 10 |
Entertainment Golf | Operating Segments | |
Segment Reporting Information [Line Items] | |
Number of golf properties | property | 62 |
Number of states in which properties owned | state | 10 |
SEGMENT REPORTING (Segment Repo
SEGMENT REPORTING (Segment Reporting) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Revenues | |||||||||
Total revenues | $ 74,682,000 | $ 87,419,000 | $ 200,249,000 | $ 245,083,000 | |||||
Operating costs | |||||||||
Operating expenses | 63,454,000 | 70,330,000 | 169,897,000 | 194,751,000 | |||||
Cost of sales - food and beverages | 3,856,000 | 5,180,000 | 10,458,000 | 15,413,000 | |||||
General and administrative expense | 10,400,000 | 9,380,000 | 34,039,000 | 26,744,000 | |||||
General and administrative expense - acquisition and transaction expenses | 2,355,000 | 769,000 | 3,942,000 | 2,867,000 | |||||
Depreciation and amortization | 5,723,000 | 4,495,000 | 15,769,000 | 14,358,000 | |||||
Pre-opening costs | 4,350,000 | 245,000 | 7,229,000 | 2,048,000 | |||||
Impairment and other losses | 1,872,000 | 4,172,000 | 6,077,000 | 5,645,000 | |||||
Realized and unrealized (gain) loss on investments | 0 | 48,000 | 0 | (283,000) | |||||
Total operating costs | 92,010,000 | 94,619,000 | 247,411,000 | 261,543,000 | |||||
Operating loss | (17,328,000) | (7,200,000) | (47,162,000) | (16,460,000) | |||||
Other income (expenses) | |||||||||
Interest and investment income | 191,000 | 467,000 | 799,000 | 1,382,000 | |||||
Interest expense | (2,790,000) | (4,647,000) | (8,241,000) | (13,810,000) | |||||
Capitalized interest | 729,000 | 357,000 | 2,233,000 | 870,000 | |||||
Other (loss) income, net | 7,341,000 | (3,052,000) | 12,955,000 | (7,157,000) | |||||
Total other income (expenses) | 5,471,000 | (6,875,000) | 7,746,000 | (18,715,000) | |||||
Income tax expense | 162,000 | 0 | 162,000 | 0 | |||||
Net Loss | (12,019,000) | $ (12,959,000) | $ (14,600,000) | (14,075,000) | $ (4,803,000) | $ (16,297,000) | (39,578,000) | (35,175,000) | |
Preferred dividends | (1,395,000) | (1,395,000) | (4,185,000) | (4,185,000) | |||||
Loss Applicable to Common Stockholders | (13,414,000) | (15,470,000) | (43,763,000) | (39,360,000) | |||||
Total assets | 535,906,000 | 535,906,000 | $ 401,947,000 | ||||||
Total liabilities | 452,250,000 | 452,250,000 | 267,280,000 | ||||||
Preferred stock | 61,583,000 | 61,583,000 | 61,583,000 | ||||||
Equity attributable to common stockholders | 22,073,000 | 22,073,000 | |||||||
Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 | 69,371,000 | ||||||||
Rental expenses recorded under operating leases | 200,000 | 500,000 | |||||||
Rental expenses recorded under operating leases | 700,000 | 1,600,000 | |||||||
Severance expenses | 500,000 | 0 | 1,600,000 | 100,000 | |||||
Equity method investment | 23,648,000 | 23,648,000 | $ 22,613,000 | ||||||
Golf operations | |||||||||
Revenues | |||||||||
Total revenues | 60,797,000 | 68,928,000 | 162,889,000 | 191,632,000 | |||||
Food and beverages | |||||||||
Revenues | |||||||||
Total revenues | 13,885,000 | 18,491,000 | 37,360,000 | 53,451,000 | |||||
Entertainment Golf | Operating Segments | |||||||||
Revenues | |||||||||
Total revenues | 3,687,000 | 1,540,000 | 6,887,000 | 3,347,000 | |||||
Operating costs | |||||||||
Operating expenses | 3,202,000 | 1,765,000 | 6,807,000 | 3,599,000 | |||||
Cost of sales - food and beverages | 604,000 | 204,000 | 1,106,000 | 432,000 | |||||
General and administrative expense | 3,433,000 | 1,878,000 | 10,349,000 | 4,515,000 | |||||
General and administrative expense - acquisition and transaction expenses | 2,117,000 | 570,000 | 3,094,000 | 2,024,000 | |||||
Depreciation and amortization | 1,450,000 | 614,000 | 3,119,000 | 1,148,000 | |||||
Pre-opening costs | 4,350,000 | 245,000 | 7,229,000 | 2,048,000 | |||||
Impairment and other losses | 1,152,000 | 0 | 1,270,000 | 0 | |||||
Realized and unrealized (gain) loss on investments | 0 | 0 | 0 | 0 | |||||
Total operating costs | 16,308,000 | 5,276,000 | 32,974,000 | 13,766,000 | |||||
Operating loss | (12,621,000) | (3,736,000) | (26,087,000) | (10,419,000) | |||||
Other income (expenses) | |||||||||
Interest and investment income | 64,000 | 85,000 | 311,000 | 196,000 | |||||
Interest expense | (103,000) | 0 | (245,000) | 0 | |||||
Capitalized interest | 0 | 0 | 0 | 0 | |||||
Other (loss) income, net | 0 | 0 | (7,000) | 0 | |||||
Total other income (expenses) | (39,000) | 85,000 | 59,000 | 196,000 | |||||
Income tax expense | 0 | 0 | 0 | 0 | |||||
Net Loss | (12,660,000) | (3,651,000) | (26,028,000) | (10,223,000) | |||||
Preferred dividends | 0 | 0 | 0 | 0 | |||||
Loss Applicable to Common Stockholders | (12,660,000) | (3,651,000) | (26,028,000) | (10,223,000) | |||||
Total assets | 176,366,000 | 176,366,000 | |||||||
Total liabilities | 42,841,000 | 42,841,000 | |||||||
Preferred stock | 0 | 0 | |||||||
Equity attributable to common stockholders | 133,525,000 | 133,525,000 | |||||||
Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 | 56,977,000 | ||||||||
Entertainment Golf | Operating Segments | Golf operations | |||||||||
Revenues | |||||||||
Total revenues | 1,431,000 | 710,000 | 2,720,000 | 1,565,000 | |||||
Entertainment Golf | Operating Segments | Food and beverages | |||||||||
Revenues | |||||||||
Total revenues | 2,256,000 | 830,000 | 4,167,000 | 1,782,000 | |||||
Traditional Golf | |||||||||
Other income (expenses) | |||||||||
Accretion of membership deposit liabilities | 1,800,000 | 1,700,000 | 5,400,000 | 5,100,000 | |||||
Traditional Golf | Operating Segments | |||||||||
Revenues | |||||||||
Total revenues | 70,995,000 | 85,879,000 | 193,362,000 | 241,736,000 | |||||
Operating costs | |||||||||
Operating expenses | 60,252,000 | 68,565,000 | 163,090,000 | 191,152,000 | |||||
Cost of sales - food and beverages | 3,252,000 | 4,976,000 | 9,352,000 | 14,981,000 | |||||
General and administrative expense | 4,500,000 | 4,313,000 | 12,713,000 | 12,781,000 | |||||
General and administrative expense - acquisition and transaction expenses | 207,000 | 199,000 | 539,000 | 706,000 | |||||
Depreciation and amortization | 4,192,000 | 3,877,000 | 12,528,000 | 13,198,000 | |||||
Pre-opening costs | 0 | 0 | 0 | 0 | |||||
Impairment and other losses | 720,000 | 4,172,000 | 4,807,000 | 5,498,000 | |||||
Realized and unrealized (gain) loss on investments | 0 | 48,000 | 0 | (283,000) | |||||
Total operating costs | 73,123,000 | 86,150,000 | 203,029,000 | 238,033,000 | |||||
Operating loss | (2,128,000) | (271,000) | (9,667,000) | 3,703,000 | |||||
Other income (expenses) | |||||||||
Interest and investment income | 24,000 | 48,000 | 84,000 | 144,000 | |||||
Interest expense | (2,088,000) | (4,050,000) | (6,140,000) | (12,149,000) | |||||
Capitalized interest | 169,000 | 238,000 | 583,000 | 580,000 | |||||
Other (loss) income, net | 6,896,000 | (3,548,000) | 11,582,000 | (8,715,000) | |||||
Total other income (expenses) | 5,001,000 | (7,312,000) | 6,109,000 | (20,140,000) | |||||
Income tax expense | 0 | 0 | 0 | 0 | |||||
Net Loss | 2,873,000 | (7,583,000) | (3,558,000) | (16,437,000) | |||||
Preferred dividends | 0 | 0 | 0 | 0 | |||||
Loss Applicable to Common Stockholders | 2,873,000 | (7,583,000) | (3,558,000) | (16,437,000) | |||||
Total assets | 319,279,000 | 319,279,000 | |||||||
Total liabilities | 346,593,000 | 346,593,000 | |||||||
Preferred stock | 0 | 0 | |||||||
Equity attributable to common stockholders | (27,314,000) | (27,314,000) | |||||||
Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 | 10,661,000 | ||||||||
Traditional Golf | Operating Segments | Golf operations | |||||||||
Revenues | |||||||||
Total revenues | 59,366,000 | 68,218,000 | 160,169,000 | 190,067,000 | |||||
Traditional Golf | Operating Segments | Food and beverages | |||||||||
Revenues | |||||||||
Total revenues | 11,629,000 | 17,661,000 | 33,193,000 | 51,669,000 | |||||
Corporate | Operating Segments | |||||||||
Revenues | |||||||||
Total revenues | 0 | 0 | 0 | 0 | |||||
Operating costs | |||||||||
Operating expenses | 0 | 0 | 0 | 0 | |||||
Cost of sales - food and beverages | 0 | 0 | 0 | 0 | |||||
General and administrative expense | 2,467,000 | 3,189,000 | 10,977,000 | 9,448,000 | |||||
General and administrative expense - acquisition and transaction expenses | 31,000 | 0 | 309,000 | 137,000 | |||||
Depreciation and amortization | 81,000 | 4,000 | 122,000 | 12,000 | |||||
Pre-opening costs | 0 | 0 | 0 | 0 | |||||
Impairment and other losses | 0 | 0 | 0 | 147,000 | |||||
Realized and unrealized (gain) loss on investments | 0 | 0 | 0 | 0 | |||||
Total operating costs | 2,579,000 | 3,193,000 | 11,408,000 | 9,744,000 | |||||
Operating loss | (2,579,000) | (3,193,000) | (11,408,000) | (9,744,000) | |||||
Other income (expenses) | |||||||||
Interest and investment income | 103,000 | 334,000 | 404,000 | 1,042,000 | |||||
Interest expense | (599,000) | (597,000) | (1,856,000) | (1,661,000) | |||||
Capitalized interest | 560,000 | 119,000 | 1,650,000 | 290,000 | |||||
Other (loss) income, net | 445,000 | 496,000 | 1,380,000 | 1,558,000 | |||||
Total other income (expenses) | 509,000 | 352,000 | 1,578,000 | 1,229,000 | |||||
Income tax expense | 162,000 | 0 | 162,000 | 0 | |||||
Net Loss | (2,232,000) | (2,841,000) | (9,992,000) | (8,515,000) | |||||
Preferred dividends | (1,395,000) | (1,395,000) | (4,185,000) | (4,185,000) | |||||
Loss Applicable to Common Stockholders | (3,627,000) | (4,236,000) | (14,177,000) | (12,700,000) | |||||
Total assets | 40,261,000 | 40,261,000 | |||||||
Total liabilities | 62,816,000 | 62,816,000 | |||||||
Preferred stock | 61,583,000 | 61,583,000 | |||||||
Equity attributable to common stockholders | (84,138,000) | (84,138,000) | |||||||
Additions to property and equipment (including finance leases) during the nine months ended September 30, 2019 | 1,733,000 | ||||||||
Equity method investment | 23,600,000 | 23,600,000 | |||||||
Corporate | Operating Segments | Golf operations | |||||||||
Revenues | |||||||||
Total revenues | 0 | 0 | 0 | 0 | |||||
Corporate | Operating Segments | Food and beverages | |||||||||
Revenues | |||||||||
Total revenues | $ 0 | $ 0 | $ 0 | $ 0 |
PROPERTY AND EQUIPMENT, NET O_3
PROPERTY AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION (Details) $ in Thousands | Mar. 07, 2018property | Dec. 31, 2018USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($)property | Mar. 31, 2019USD ($)property | Sep. 30, 2019USD ($)property | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) |
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | $ 192,717 | $ 255,232 | $ 255,232 | $ 192,717 | ||||
Accumulated Depreciation | (60,112) | (69,495) | (69,495) | (60,112) | ||||
Net Carrying Value | 132,605 | 185,737 | 185,737 | 132,605 | ||||
Proceeds from sale of property and equipment | $ 44,468 | $ 3,186 | ||||||
Golf Properties | Held-for-sale | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Number of properties held for sale | property | 26 | 4 | ||||||
Real estate assets | 27,800 | $ 27,800 | ||||||
Real estate assets, other related assets | 400 | 400 | ||||||
Real estate liabilities | 100 | 100 | ||||||
Golf Properties | Disposed of by sale | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Proceeds from sale of property and equipment | 2,200 | $ 14,900 | $ 17,700 | |||||
Payable to buyer | 2,700 | $ 3,500 | $ 2,100 | |||||
Cash deposit | 9,400 | |||||||
Golf Properties | Disposed of by sale | Georgia | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Number of real estate properties sold | property | 2 | |||||||
Golf Properties | Disposed of by sale | Georgia and California | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net Carrying Value | $ 20,300 | |||||||
Sale price | 28,700 | |||||||
Proceeds from sale | 25,500 | |||||||
Transaction costs | 500 | |||||||
Proceeds from sale of property and equipment | 18,200 | |||||||
Gain (loss) on sale | $ 5,200 | |||||||
Golf Properties | Disposed of by sale | New Jersey and California | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Number of real estate properties sold | property | 2 | |||||||
Golf Properties | Disposed of by sale | Tennessee and Washington | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Number of real estate properties sold | property | 2 | |||||||
Golf Properties | Disposed of by sale | New Jersey and California and Tennessee and Washington | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net Carrying Value | $ 18,300 | |||||||
Sale price | 19,700 | |||||||
Proceeds from sale | 17,900 | |||||||
Transaction costs | 800 | |||||||
Proceeds from sale of property and equipment | 18,400 | |||||||
Gain (loss) on sale | $ (400) | |||||||
Golf Properties | Disposed of by sale | California | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Net Carrying Value | 5,200 | 5,200 | ||||||
Sale price | 12,500 | 12,500 | ||||||
Proceeds from sale | 12,300 | |||||||
Transaction costs | 200 | 200 | ||||||
Gain (loss) on sale | 7,000 | |||||||
Land | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | 6,747 | 6,770 | 6,770 | 6,747 | ||||
Accumulated Depreciation | 0 | 0 | 0 | 0 | ||||
Net Carrying Value | 6,747 | 6,770 | 6,770 | 6,747 | ||||
Land | Golf Properties | Held-for-sale | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Real estate assets, property and equipment | 23,000 | 23,000 | ||||||
Buildings and improvements | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | 78,833 | 124,414 | 124,414 | 78,833 | ||||
Accumulated Depreciation | (30,540) | (34,022) | (34,022) | (30,540) | ||||
Net Carrying Value | 48,293 | 90,392 | 90,392 | 48,293 | ||||
Buildings and improvements | Golf Properties | Held-for-sale | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Real estate assets, property and equipment | 4,300 | 4,300 | ||||||
Furniture, fixtures and equipment | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | 26,726 | 45,328 | 45,328 | 26,726 | ||||
Accumulated Depreciation | (16,729) | (19,795) | (19,795) | (16,729) | ||||
Net Carrying Value | 9,997 | 25,533 | 25,533 | 9,997 | ||||
Furniture, fixtures and equipment | Golf Properties | Held-for-sale | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Real estate assets, property and equipment | 400 | 400 | ||||||
Finance leases - equipment | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | 28,745 | 37,098 | 37,098 | 28,745 | ||||
Accumulated Depreciation | (12,843) | (15,678) | (15,678) | (12,843) | ||||
Net Carrying Value | 15,902 | 21,420 | 21,420 | 15,902 | ||||
Construction in progress | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Gross Carrying Amount | 51,666 | 41,622 | 41,622 | 51,666 | ||||
Accumulated Depreciation | 0 | 0 | 0 | 0 | ||||
Net Carrying Value | $ 51,666 | $ 41,622 | $ 41,622 | $ 51,666 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) | 9 Months Ended |
Sep. 30, 2019renewal_option | |
Lessee, Lease, Description [Line Items] | |
Operating lease term (in years) | 20 years |
Number of renewal terms | 8 |
Renewal term (in years) | 5 years |
Traditional Golf Properties and Related Facilities | Lower Range | |
Lessee, Lease, Description [Line Items] | |
Operating lease term (in years) | 10 years |
Traditional Golf Properties and Related Facilities | Upper Range | |
Lessee, Lease, Description [Line Items] | |
Operating lease term (in years) | 20 years |
Golf Carts and Equipment | Lower Range | |
Lessee, Lease, Description [Line Items] | |
Operating lease term (in years) | 24 months |
Golf Carts and Equipment | Upper Range | |
Lessee, Lease, Description [Line Items] | |
Operating lease term (in years) | 66 months |
LEASES - Lease Related Costs (D
LEASES - Lease Related Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Finance lease cost | ||
Amortization of right-of-use assets | $ 1,690 | $ 4,736 |
Interest on lease liabilities | 353 | 972 |
Total finance lease cost | 2,043 | 5,708 |
Operating lease cost | ||
Operating lease cost | 9,798 | 28,276 |
Short-term lease cost | 420 | 1,882 |
Variable lease cost | 5,544 | 12,696 |
Total operating lease cost | 15,762 | 42,854 |
Total lease cost | $ 17,805 | $ 48,562 |
LEASES - Other Information (Det
LEASES - Other Information (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Leases [Abstract] | |
Operating lease right-of-use assets | $ 220,197 |
Right-of-use assets, financing leases | 21,420 |
Lease liabilities, operating leases | 207,749 |
Lease liabilities, financing leases | 20,419 |
Cash paid for amounts included in the measurement of lease liabilities | |
Operating cash flows, Operating Leases | 22,531 |
Operating cash flows, Financing Leases | 668 |
Financing cash flows, Financing Leases | 5,702 |
Right-of-use assets obtained in exchange for lease liabilities, operating leases | 10,813 |
Right-of-use assets obtained in exchange for lease liabilities, financing leases | $ 11,723 |
Weighted average remaining lease term, operating lease | 12 years 7 months 1 day |
Weighted average remaining lease term, financing lease | 3 years 7 months 1 day |
Weighted average discount rate, operating lease | 8.80% |
Weighted average discount rate, financing lease | 7.20% |
LEASES - Schedule of Lease Matu
LEASES - Schedule of Lease Maturity (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Operating Leases | |
October 1, 2019 - December 31, 2019 | $ 7,647 |
2020 | 33,151 |
2021 | 32,514 |
2022 | 31,133 |
2023 | 30,962 |
Thereafter | 229,981 |
Total minimum lease payments | 365,388 |
Less: imputed interest | 157,639 |
Total lease liabilities | 207,749 |
Financing Leases | |
October 1, 2019 - December 31, 2019 | 2,053 |
2020 | 7,275 |
2021 | 5,785 |
2022 | 4,137 |
2023 | 3,073 |
Thereafter | 1,047 |
Total minimum lease payments | 23,370 |
Less: imputed interest | 2,951 |
Total lease liabilities | $ 20,419 |
INTANGIBLES, NET OF ACCUMULAT_3
INTANGIBLES, NET OF ACCUMULATED AMORTIZATION (Schedule of Intangible Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated Amortization | $ (21,262) | $ (40,268) |
Total Intangibles, Gross Carrying Amount | 39,470 | 88,656 |
Total Intangibles, Net Carrying Value | 18,208 | 48,388 |
Nonamortizable liquor licenses | ||
Finite-Lived Intangible Assets [Line Items] | ||
Nonamortizable liquor licenses | 1,043 | 893 |
Trade name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 700 | 700 |
Accumulated Amortization | (134) | (117) |
Net Carrying Value | 566 | 583 |
Leasehold Intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 0 | 46,581 |
Accumulated Amortization | 0 | (20,270) |
Net Carrying Value | 0 | 26,311 |
Management contracts | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 32,330 | 32,932 |
Accumulated Amortization | (16,812) | (15,174) |
Net Carrying Value | 15,518 | 17,758 |
Internally-developed software | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 161 | 2,314 |
Accumulated Amortization | (15) | (967) |
Net Carrying Value | 146 | 1,347 |
Membership base | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 5,236 | 5,236 |
Accumulated Amortization | (4,301) | (3,740) |
Net Carrying Value | $ 935 | $ 1,496 |
DEBT OBLIGATIONS (Details)
DEBT OBLIGATIONS (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | ||
Less current portion of obligations under finance leases | $ 6,222 | $ 5,489 |
Credit facilities and obligations under finance leases - noncurrent | 14,397 | 10,489 |
Total debt obligations | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 71,623 | 66,982 |
Carrying Value | $ 71,813 | 67,178 |
Weighted Average Funding Cost | 5.26% | |
Weighted Average Life | 12 years 2 months 1 day | |
Face Amount of Floating Rate Debt | $ 51,204 | |
Credit Facilities and Finance Leases | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 20,619 | 15,978 |
Carrying Value | $ 20,619 | 15,978 |
Weighted Average Funding Cost | 7.19% | |
Weighted Average Life | 3 years 9 months 1 day | |
Face Amount of Floating Rate Debt | $ 200 | |
Vineyard II | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 200 | 200 |
Carrying Value | $ 200 | 200 |
Weighted Average Coupon | 2.80% | |
Weighted Average Funding Cost | 2.80% | |
Weighted Average Life | 24 years 2 months 1 day | |
Face Amount of Floating Rate Debt | $ 200 | |
Finance leases (Equipment) | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 20,419 | 15,778 |
Carrying Value | $ 20,419 | 15,778 |
Weighted Average Funding Cost | 7.23% | |
Weighted Average Life | 3 years 7 months 1 day | |
Face Amount of Floating Rate Debt | $ 0 | |
Finance leases (Equipment) | Lower Range | ||
Debt Instrument [Line Items] | ||
Weighted Average Coupon | 3.00% | |
Finance leases (Equipment) | Upper Range | ||
Debt Instrument [Line Items] | ||
Weighted Average Coupon | 15.00% | |
Less current portion of obligations under finance leases | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | $ 6,222 | 5,489 |
Less current portion of obligations under finance leases | 6,222 | 5,489 |
Credit facilities and obligations under finance leases - noncurrent | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 14,397 | 10,489 |
Credit facilities and obligations under finance leases - noncurrent | 14,397 | 10,489 |
Junior subordinated notes payable | ||
Debt Instrument [Line Items] | ||
Outstanding Face Amount | 51,004 | 51,004 |
Carrying Value | $ 51,194 | $ 51,200 |
Weighted Average Funding Cost | 4.48% | |
Weighted Average Life | 15 years 7 months 1 day | |
Face Amount of Floating Rate Debt | $ 51,004 | |
Junior subordinated notes payable | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Weighted Average Coupon | 2.25% |
REAL ESTATE SECURITIES (Real Es
REAL ESTATE SECURITIES (Real Estate Securities Holdings) (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019USD ($)security | Dec. 31, 2018USD ($) | |
Debt Securities, Available-for-sale [Line Items] | ||
Outstanding Face Amount | $ 4,000 | |
Before Impairment - Amortized Cost Basis | 2,786 | |
Other-Than-Temporary Impairment - Amortized Cost Basis | (1,521) | |
After Impairment - Amortized Cost Basis | 1,265 | |
Gross Unrealized Gains | 1,649 | |
Gross Unrealized Losses | 0 | |
Carrying Value (A) | $ 2,914 | $ 2,953 |
Number of Securities | security | 1 | |
Total outstanding face amount of floating rate securities | $ 4,000 | |
Securities in an unrealized loss position | security | 0 | |
ABS - Non-Agency RMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Outstanding Face Amount | $ 4,000 | |
Before Impairment - Amortized Cost Basis | 2,786 | |
Other-Than-Temporary Impairment - Amortized Cost Basis | (1,521) | |
After Impairment - Amortized Cost Basis | 1,265 | |
Gross Unrealized Gains | 1,649 | |
Gross Unrealized Losses | 0 | |
Carrying Value (A) | $ 2,914 | |
Number of Securities | security | 1 | |
Weighted Average Coupon (as percent) | 2.45% | |
Weighted Average Yield (as percent) | 31.92% | |
Weighted Average Life | 4 years 2 months 15 days | |
Weighted Average Principal Subordination (as percent) | 41.90% |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS (Carrying Values and Estimated Fair Value) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and cash equivalents | $ 24,816 | $ 79,235 |
Carrying Value | ||
Assets | ||
Real estate securities, available-for-sale | 2,914 | |
Cash and cash equivalents | 24,816 | |
Restricted cash, current and noncurrent | 4,094 | |
Liabilities | ||
Junior subordinated notes payable | 51,194 | |
Estimated Fair Value | ||
Assets | ||
Real estate securities, available-for-sale | 2,914 | |
Cash and cash equivalents | 24,816 | |
Restricted cash, current and noncurrent | 4,094 | |
Liabilities | ||
Junior subordinated notes payable | $ 24,327 |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS (Significant Unobservable Inputs) (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Amortized Cost Basis | $ 1,265 |
ABS - Non-Agency RMBS | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Amortized Cost Basis | 1,265 |
Real Estate Securities Available For Sale | ABS - Non-Agency RMBS | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Amortized Cost Basis | 1,265 |
Fair Value | $ 2,914 |
Real Estate Securities Available For Sale | ABS - Non-Agency RMBS | Discount Rate | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Debt securities, significant input (as percent) | 0.100 |
Real Estate Securities Available For Sale | ABS - Non-Agency RMBS | Prepayment Speed (as a percent) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Debt securities, significant input (as percent) | 0.080 |
Real Estate Securities Available For Sale | ABS - Non-Agency RMBS | Cumulative Default Rate | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Debt securities, significant input (as percent) | 0.028 |
Real Estate Securities Available For Sale | ABS - Non-Agency RMBS | Loss Severity (as a percent) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Debt securities, significant input (as percent) | 0.433 |
FAIR VALUE OF FINANCIAL INSTR_5
FAIR VALUE OF FINANCIAL INSTRUMENTS (Change in Fair Value of Level 3 Investments) (Details) | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Purchases, sales and repayments | |
Transfers into Level 3 | $ 0 |
Transfers out of Level 3 | 0 |
Level 3 Market Quotations (Unobservable) | Measured on a Recurring Basis | ABS - Non-Agency RMBS | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at December 31, 2018 | 2,953,000 |
Total gains (losses) | |
Included in other comprehensive income (loss) | (229,000) |
Amortization included in interest income | 275,000 |
Purchases, sales and repayments | |
Proceeds | (85,000) |
Balance at September 30, 2019 | 2,914,000 |
Purchases | 0 |
Sales | $ 0 |
EQUITY AND EARNINGS PER SHARE_2
EQUITY AND EARNINGS PER SHARE (Outstanding Options) (Details) | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Number of Options | |
Balance, beginning balance (in shares) | shares | 8,436,931 |
Granted (in shares) | shares | 695,652 |
Balance, ending balance (in shares) | shares | 9,132,583 |
Exercisable (in shares) | shares | 3,627,578 |
Weighted Average Strike Price | |
Outstanding, beginning balance (in dollars per share) | $ / shares | $ 3.72 |
Granted (in dollars per share) | $ / shares | 4.66 |
Outstanding, ending balance (in dollars per share) | $ / shares | 3.79 |
Exercisable (in dollars per share) | $ / shares | $ 2.59 |
Weighted Average Life Remaining (in years) | |
Outstanding | 6 years 8 days |
Exercisable | 3 years 5 months 25 days |
EQUITY AND EARNINGS PER SHARE_3
EQUITY AND EARNINGS PER SHARE (Outstanding Options Summary) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Jul. 31, 2019 | Nov. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 9,132,583 | 9,132,583 | |||||
Weighted average strike price (in dollars per share) | $ 3.79 | $ 3.79 | $ 3.72 | ||||
Number of options reverted (in shares) | 921,992 | ||||||
Options granted (in shares) | 695,652 | ||||||
Held by the former Manager | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 3,627,245 | 3,627,245 | |||||
Issued to the former Manager and subsequently transferred to certain of the Manager’s employees | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 1,382,998 | 1,382,998 | |||||
Issued to the former Manager and subsequently transferred to certain of the Manager’s employees | February 2017 | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 1,152,495 | 1,152,495 | |||||
Issued to the former Manager and subsequently transferred to certain of the Manager’s employees | April 2018 | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 1,152,495 | 1,152,495 | |||||
Issued to the independent directors | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 333 | 333 | |||||
Drive Shake employees | |||||||
Related Party Transaction [Line Items] | |||||||
Stock options outstanding (in shares) | 4,122,007 | 4,122,007 | |||||
Stock options | |||||||
Related Party Transaction [Line Items] | |||||||
Stock-based compensation expense | $ (1.2) | $ (0.1) | $ 0.5 | $ 2.3 | $ 1.3 | ||
Vesting period | 3 years | ||||||
Stock options | Tranche One | |||||||
Related Party Transaction [Line Items] | |||||||
Options granted (in shares) | 3,351,355 | ||||||
Stock options | Tranche Two | |||||||
Related Party Transaction [Line Items] | |||||||
Options granted (in shares) | 75,000 |
EQUITY AND EARNINGS PER SHARE_4
EQUITY AND EARNINGS PER SHARE (Fair Value Assumptions) (Details) | Apr. 11, 2019USD ($) |
Stockholders' Equity Note [Abstract] | |
Expected Volatility (as a percentage) | 36.80% |
Expected Dividend Yield (as a percentage) | $ 0 |
Expected Remaining Term | 6 years |
Risk-Free Rate (as a percentage) | 2.34% |
Fair Value at Grant Date | $ 1,280,000 |
EQUITY AND EARNINGS PER SHARE_5
EQUITY AND EARNINGS PER SHARE (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Nov. 11, 2019 | Oct. 31, 2019 | Jul. 31, 2019 | Jul. 30, 2019 | May 07, 2019 | Apr. 29, 2019 | Mar. 13, 2019 | Jul. 31, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 |
Class of Stock [Line Items] | |||||||||||||||
Dividends paid | $ 1.4 | $ 1.4 | |||||||||||||
Stock options | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Antidilutive securities (in shares) | 333,170 | 0 | 481,639 | 0 | |||||||||||
Common stock equivalents | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dilutive common stock equivalents (in shares) | 1,915,008 | 3,004,777 | 2,328,494 | 2,804,451 | |||||||||||
Series B Cumulative Redeemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.609375 | $ 0.609375 | $ 0.609375 | ||||||||||||
Preferred stock, dividend rate (as percent) | 9.75% | 9.75% | 9.75% | 9.75% | 9.75% | ||||||||||
Series C Cumulative Redeemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.503125 | $ 0.503125 | $ 0.503125 | ||||||||||||
Preferred stock, dividend rate (as percent) | 8.05% | 8.05% | 8.05% | 8.05% | 8.05% | ||||||||||
Series D Cumulative Redemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.523438 | $ 0.523438 | $ 0.523438 | ||||||||||||
Preferred stock, dividend rate (as percent) | 8.375% | 8.375% | 8.375% | 8.375% | 8.375% | ||||||||||
Stock options | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Stock-based compensation expense (amount less than for RSUs) | $ (1.2) | $ (0.1) | $ 0.5 | $ 2.3 | $ 1.3 | ||||||||||
Unrecognized stock-based compensation expense | $ 9 | $ 9 | |||||||||||||
Unrecognized stock-based compensation expense, period for recognition | 2 years 3 months 1 day | ||||||||||||||
Vesting period | 3 years | ||||||||||||||
Dilutive common stock equivalents (in shares) | 0 | 0 | 0 | 0 | |||||||||||
Restricted Stock Units (RSUs) | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Stock-based compensation expense (amount less than for RSUs) | $ 0.3 | $ 0.1 | $ 0.5 | $ 0.1 | |||||||||||
Unrecognized stock-based compensation expense | $ 2.1 | $ 2.1 | |||||||||||||
Unrecognized stock-based compensation expense, period for recognition | 2 years 5 months 20 days | ||||||||||||||
Shares issued upon vesting | 17,452 | ||||||||||||||
Granted (in shares) | 589,967 | ||||||||||||||
Dilutive common stock equivalents (in shares) | 0 | 0 | 0 | 0 | |||||||||||
Subsequent event | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends paid | $ 1.4 | ||||||||||||||
Subsequent event | Series B Cumulative Redeemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.609375 | ||||||||||||||
Preferred stock, dividend rate (as percent) | 9.75% | ||||||||||||||
Subsequent event | Series C Cumulative Redeemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.503125 | ||||||||||||||
Preferred stock, dividend rate (as percent) | 8.05% | ||||||||||||||
Subsequent event | Series D Cumulative Redemable Preferred Stock | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.523438 | ||||||||||||||
Preferred stock, dividend rate (as percent) | 8.375% | ||||||||||||||
Nonemployee | Restricted Stock Units (RSUs) | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Vesting period | 1 year | ||||||||||||||
Granted (in shares) | 37,944 | ||||||||||||||
Employee | Restricted Stock Units (RSUs) | |||||||||||||||
Class of Stock [Line Items] | |||||||||||||||
Granted (in shares) | 552,023 |
EQUITY AND EARNINGS PER SHARE_6
EQUITY AND EARNINGS PER SHARE (Summary of RSUs) (Details) - RSUs | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Number of RSUs | |
Beginning balance (in shares) | shares | 54,641 |
Granted (in shares) | shares | 589,967 |
Released (in shares) | shares | (17,452) |
Forfeited (in shares) | shares | (95,284) |
Ending balance (in shares) | shares | 531,872 |
Weighted Average Grant Date Fair Value (per unit) | |
Beginning weighted average grant date fair value (in dollars per share) | $ / shares | $ 5.02 |
Granted (in dollars per share) | $ / shares | 4.70 |
Vested (in dollars per share) | $ / shares | 5.73 |
Forfeited (in dollars per share) | $ / shares | 4.68 |
Ending weighted average grant date fair value (in dollars per share) | $ / shares | $ 4.71 |
EQUITY AND EARNINGS PER SHARE_7
EQUITY AND EARNINGS PER SHARE (Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Numerator for basic and diluted earnings per share: | ||||
Loss from continuing operations after preferred dividends and noncontrolling interests | $ (13,414) | $ (15,470) | $ (43,763) | $ (39,360) |
Loss Applicable to Common Stockholders | $ (13,414) | $ (15,470) | $ (43,763) | $ (39,360) |
Denominator: | ||||
Denominator for basic earnings per share - weighted average shares | 67,040,692 | 66,992,322 | 67,032,519 | 66,982,233 |
Effect of dilutive securities | ||||
Denominator for diluted earnings per share - adjusted weighted average shares | 67,040,692 | 66,992,322 | 67,032,519 | 66,982,233 |
Basic earnings per share: | ||||
Loss Applicable to Common Stock, per share (in dollars per share) | $ (0.20) | $ (0.23) | $ (0.65) | $ (0.59) |
Diluted earnings per share: | ||||
Loss from continuing operations per share of common stock, after preferred dividends and noncontrolling interests (in dollars per share) | (0.20) | (0.23) | (0.65) | (0.59) |
Loss Applicable to Common Stock, per share (in dollars per share) | $ (0.20) | $ (0.23) | $ (0.65) | $ (0.59) |
Options | ||||
Effect of dilutive securities | ||||
Effect of dilutive securities (in shares) | 0 | 0 | 0 | 0 |
RSUs | ||||
Effect of dilutive securities | ||||
Effect of dilutive securities (in shares) | 0 | 0 | 0 | 0 |
TRANSACTIONS WITH AFFILIATES _2
TRANSACTIONS WITH AFFILIATES AND AFFILIATED ENTITIES (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Related Party Transaction [Line Items] | ||||
Stock options outstanding (in shares) | 9,132,583 | 9,132,583 | ||
Manager | Transition Services Agreement | ||||
Related Party Transaction [Line Items] | ||||
Costs for transition services agreement | $ 0 | $ 0.1 | $ 0.1 | $ 0.4 |
Affiliated Entity | ||||
Related Party Transaction [Line Items] | ||||
Shares held by Fortress and affiliates (in shares) | 7,300,000 | 7,300,000 | ||
Stock options outstanding (in shares) | 3,600,000 | 3,600,000 | ||
Accrued rent, related parties | $ 0.2 | |||
Affiliated Entity | Aircraft Operator Fees | ||||
Related Party Transaction [Line Items] | ||||
Payment to related party (less than) | $ 0.1 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands | 1 Months Ended | 9 Months Ended | 19 Months Ended | ||
Dec. 31, 2018USD ($)renewal | Jul. 31, 2018USD ($)installment | Dec. 31, 2016USD ($) | Sep. 30, 2019USD ($)renewal_option | Jun. 30, 2018USD ($) | |
Loss Contingencies [Line Items] | |||||
Lease exit costs | $ 800 | ||||
Accounts payable and accrued expenses | $ 45,284 | $ 38,032 | |||
Operating lease term | 20 years | ||||
Number of renewal terms | renewal_option | 8 | ||||
Renewal term | 5 years | ||||
Operating lease not yet commenced | $ 85,700 | ||||
Ground Lease, New Orleans, Louisiana | |||||
Loss Contingencies [Line Items] | |||||
Operating lease term | 20 years | ||||
Number of renewal terms | renewal | 8 | ||||
Renewal term | 5 years | ||||
Lease Termination Dispute | |||||
Loss Contingencies [Line Items] | |||||
Litigation amount awarded | $ 7,400 | ||||
Settlement amount payable immediately | 5,200 | ||||
Settlement amount payable in installments | $ 2,200 | ||||
Number of quarterly payment installments | installment | 6 | ||||
Payment of quarterly installment | $ 1,800 | ||||
Settled Litigation | Lease Termination Dispute | |||||
Loss Contingencies [Line Items] | |||||
Accounts payable and accrued expenses | $ 6,600 | ||||
Litigation amount awarded | $ 7,400 | ||||
Lower Range | |||||
Loss Contingencies [Line Items] | |||||
Operating leases commence | 12 months | ||||
Upper Range | |||||
Loss Contingencies [Line Items] | |||||
Operating leases commence | 24 months |
INCOME TAXES (Narrative) (Detai
INCOME TAXES (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||||
Income tax provision | $ 162,000 | $ 0 | $ 162,000 | $ 0 | |
Unrecognized tax benefits | $ 700,000 | ||||
Increase in liability for unrecognized tax benefits | $ 100,000 |
IMPAIRMENT AND OTHER LOSSES - S
IMPAIRMENT AND OTHER LOSSES - SUMMARY OF IMPAIRMENT AND OTHER LOSSES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Other than Temporary Impairment Losses, Investments [Abstract] | ||||
Traditional golf properties (held-for-sale) | $ 275 | $ 4,172 | $ 1,227 | $ 5,498 |
Traditional golf properties (held-for-use) | 445 | 0 | 3,580 | 0 |
Valuation allowance on loans | 0 | 0 | 0 | 147 |
Other losses | 1,152 | 0 | 1,270 | 0 |
Total impairment and other losses | $ 1,872 | $ 4,172 | $ 6,077 | $ 5,645 |
IMPAIRMENT AND OTHER LOSSES - N
IMPAIRMENT AND OTHER LOSSES - Narrative (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($)property | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)property | Sep. 30, 2018USD ($) | |
Other than Temporary Impairment Losses, Investments [Abstract] | ||||
Number of impaired properties held-for-sale | property | 1 | 3 | ||
Held-for-sale impairment | $ 275 | $ 4,172 | $ 1,227 | $ 5,498 |
Number of impaired properties held-for-use | property | 1 | 2 | ||
Held-for-use impairment | $ 445 | 0 | $ 3,580 | 0 |
Other losses | $ 1,152 | $ 0 | $ 1,270 | $ 0 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) | Jan. 31, 2020USD ($) | Nov. 11, 2019USD ($)$ / shares | Jul. 30, 2019$ / shares | May 07, 2019$ / shares | Mar. 13, 2019$ / shares | Nov. 30, 2019USD ($)property | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2018 | Nov. 11, 2020USD ($) | Oct. 31, 2019USD ($) |
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared | $ | $ 1,395,000 | $ 1,395,000 | $ 1,395,000 | $ 1,395,000 | $ 1,395,000 | $ 1,395,000 | ||||||||||
Series B preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.609375 | $ 0.609375 | $ 0.609375 | |||||||||||||
Preferred stock, dividend rate (as percent) | 9.75% | 9.75% | 9.75% | 9.75% | 9.75% | |||||||||||
Series C preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.503125 | $ 0.503125 | $ 0.503125 | |||||||||||||
Preferred stock, dividend rate (as percent) | 8.05% | 8.05% | 8.05% | 8.05% | 8.05% | |||||||||||
Series D preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.523438 | $ 0.523438 | $ 0.523438 | |||||||||||||
Preferred stock, dividend rate (as percent) | 8.375% | 8.375% | 8.375% | 8.375% | 8.375% | |||||||||||
Subsequent event | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared | $ | $ 1,400,000 | |||||||||||||||
Subsequent event | Series B preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.609375 | |||||||||||||||
Preferred stock, dividend rate (as percent) | 9.75% | |||||||||||||||
Subsequent event | Series C preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.503125 | |||||||||||||||
Preferred stock, dividend rate (as percent) | 8.05% | |||||||||||||||
Subsequent event | Series D preferred stock | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Dividends declared per share of preferred stock (in dollars per share) | $ / shares | $ 0.523438 | |||||||||||||||
Preferred stock, dividend rate (as percent) | 8.375% | |||||||||||||||
Golf Properties | New Jersey | Disposed of by sale | Subsequent event | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Sale price | $ | $ 800,000 | |||||||||||||||
Golf Properties | California | Disposed of by sale | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Sale price | $ | $ 12,500,000 | $ 12,500,000 | ||||||||||||||
Golf Properties | California | Disposed of by sale | Subsequent event | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Sale price | $ | $ 18,300,000 | |||||||||||||||
Number of real estate properties sold | property | 2 | |||||||||||||||
Former Chief Executive Officer | Customary separation and release agreement | Subsequent event | ||||||||||||||||
Subsequent Event [Line Items] | ||||||||||||||||
Payment to related party | $ | $ 250,000 | $ 100,000 |
Uncategorized Items - ds-201909
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 4,809,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (9,831,000) |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 4,809,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (9,831,000) |