Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 04, 2020 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-09071 | |
Entity Registrant Name | BBX Capital, Inc. | |
Entity Incorporation, State or Country Code | FL | |
Entity Tax Identification Number | 82-4669146 | |
Entity Address, Address Line One | 401 East Las Olas Boulevard | |
Entity Address, Address Line Two | Suite 800 | |
Entity Address, City or Town | Fort Lauderdale | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33301 | |
City Area Code | 954 | |
Local Phone Number | 940-4900 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Shell Company | false | |
Document Fiscal Year Focus | 2020 | |
Entity Central Index Key | 0001814974 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Class A Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 15,624,091 | |
Class B Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 3,693,596 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Financial Condition - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and cash equivalents | $ 96,592 | $ 20,723 |
Restricted cash | 250 | 529 |
Trade accounts receivable, net | 15,337 | 13,104 |
Trade inventory | 16,351 | 22,843 |
Real estate ($9,342 in 2020 and $11,297 in 2019 held for sale) | 59,495 | 65,818 |
Investments in and advances to unconsolidated real estate joint ventures | 60,648 | 57,330 |
Investment in and advances to IT'SUGAR, LLC | 18,942 | |
Note receivable from Bluegreen Vacations Holding Corporation | 75,000 | |
Property and equipment, net | 6,122 | 29,836 |
Goodwill | 37,248 | |
Intangible assets, net | 3,045 | 6,671 |
Operating lease assets | 11,889 | 87,082 |
Deferred tax asset, net | 8,696 | 3,280 |
Other assets | 15,080 | 16,051 |
Discontinued operations total assets | 992 | |
Total assets | 387,447 | 361,507 |
Liabilities: | ||
Accounts payable | 5,848 | 10,104 |
Accrued expenses | 13,384 | 14,115 |
Other liabilities | 6,097 | 6,336 |
Due to parent | 1,362 | |
Operating lease liabilities | 12,199 | 99,568 |
Notes payable and lines-of-credit | 36,000 | 42,736 |
Discontinued operations total liabilities | 1,041 | |
Total liabilities | 73,528 | 175,262 |
Commitments and contingencies (See Note 10) | ||
Redeemable noncontrolling interest | 4,009 | |
Equity: | ||
Bluegreen Vacations Holding Corporation equity | 179,681 | |
Additional paid-in capital | 312,153 | |
Accumulated other comprehensive income | 1,375 | 1,554 |
Total shareholders' equity | 313,721 | 181,235 |
Noncontrolling interests | 198 | 1,001 |
Total equity | 313,919 | 182,236 |
Total liabilities and equity | 387,447 | $ 361,507 |
Class A Common Stock [Member] | ||
Equity: | ||
Common stock | 156 | |
Class B Common Stock [Member] | ||
Equity: | ||
Common stock | $ 37 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements Of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Real estate held-for-sale | $ 9,342 | $ 11,297 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Class A Common Stock [Member] | ||
Common Stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 15,624,091 | 15,624,091 |
Common stock, shares outstanding | 15,624,091 | 15,624,091 |
Class B Common Stock [Member] | ||
Common Stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 4,000,000 | 4,000,000 |
Common stock, shares issued | 3,693,596 | 3,693,596 |
Common stock, shares outstanding | 3,693,596 | 3,693,596 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements Of Operations And Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenues | ||||
Revenue from customers | $ 40,662 | $ 45,973 | $ 113,876 | $ 137,707 |
Interest income | 387 | 178 | 586 | 674 |
Net gains on sales of real estate assets | 164 | 399 | 130 | 11,395 |
Other revenue | 992 | 1,142 | 2,398 | 3,052 |
Total revenues | 42,205 | 47,692 | 116,990 | 152,828 |
Costs and Expenses: | ||||
Interest expense | 118 | 409 | ||
Recoveries from loan losses, net | (807) | (1,821) | (5,844) | (4,206) |
Impairment losses | 37 | 30,740 | 37 | |
Selling, general and administrative expenses | 18,110 | 23,194 | 54,024 | 68,504 |
Total costs and expenses | 48,651 | 52,232 | 168,547 | 159,232 |
Operating losses | (6,446) | (4,540) | (51,557) | (6,404) |
Equity in net (losses) earnings of unconsolidated real estate joint ventures | (646) | 28,534 | 50 | 37,276 |
Loss on the deconsolidation of IT'SUGAR, LLC | (3,326) | (3,326) | ||
Other income | 81 | 67 | 192 | 621 |
Foreign exchange (loss) gain | (58) | 1 | 214 | (23) |
(Loss) income before income taxes | (10,395) | 24,062 | (54,427) | 31,470 |
Benefit (provision) for income taxes | 1,633 | (6,893) | 10,847 | (9,041) |
Net (loss) income from continuing operations | (8,762) | 17,169 | (43,580) | 22,429 |
Discontinued Operation | ||||
Loss from operations | (4,829) | (91) | (9,473) | |
Benefit for income taxes | 1,175 | 17 | 2,296 | |
Loss from discontinued operations | (3,654) | (74) | (7,177) | |
Net (loss) income | (8,762) | 13,515 | (43,654) | 15,252 |
Less: Net loss attributable to noncontrolling interests | 510 | 97 | 4,822 | 165 |
Net (loss) income attributable to shareholders | $ (8,252) | $ 13,612 | $ (38,832) | $ 15,417 |
Basic and diluted (loss) earnings per share from continuing operations | $ (0.43) | $ 0.89 | $ (2.01) | $ 1.17 |
Basic and diluted loss per share from discontinued operations | (0.19) | (0.37) | ||
Total basic and diluted (loss) earnings per share | $ (0.43) | $ 0.70 | $ (2.01) | $ 0.80 |
Weighted average number of common shares outstanding | 19,318 | 19,318 | 19,318 | 19,318 |
Other comprehensive income (loss), net of tax: | ||||
Unrealized gain on securities available for sale | $ 15 | $ 17 | $ 19 | $ 54 |
Foreign currency translation adjustments | 157 | (75) | (198) | 151 |
Other comprehensive income (loss), net | 172 | (58) | (179) | 205 |
Comprehensive (loss) income, net of tax | (8,590) | 13,457 | (43,833) | 15,457 |
Less: Comprehensive income attributable to noncontrolling interests | 510 | 97 | 4,822 | 165 |
Comprehensive (loss) income attributable to shareholders | (8,080) | 13,554 | (39,011) | 15,622 |
Trade Sales [Member] | ||||
Revenues | ||||
Revenue from customers | 35,692 | 45,603 | 99,628 | 132,677 |
Costs and Expenses: | ||||
Total costs | 27,981 | 30,704 | 80,154 | 91,845 |
Sales Of Real Estate Inventory [Member] | ||||
Revenues | ||||
Revenue from customers | 4,970 | $ 370 | 14,248 | 5,030 |
Costs and Expenses: | ||||
Total costs | $ 3,367 | $ 9,473 | $ 2,643 |
Condensed Consolidated Statem_4
Condensed Consolidated Statement Of Changes In Equity - USD ($) $ in Thousands | Common Stock [Member]Class A Common Stock [Member] | Common Stock [Member]Class B Common Stock [Member] | Parent Equity [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Parent Equity [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income [Member] | Non-controlling Interests [Member] | Class A Common Stock [Member] | Class B Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Total |
Beginning balance at Dec. 31, 2018 | $ 1,216 | $ 899 | $ 237,530 | ||||||||
Beginning balance at Dec. 31, 2018 | $ 235,415 | ||||||||||
Net income (loss) excluding of loss attributable to redeemable noncontrolling interest | 15,417 | (7) | 15,410 | ||||||||
Other comprehensive income (loss) | 205 | 205 | |||||||||
Net transfers from (to) Parent | (56,002) | (56,002) | |||||||||
Ending balance (Accounting Standards Update 2016-02 [Member]) at Sep. 30, 2019 | $ (2,202) | $ (2,202) | |||||||||
Ending balance at Sep. 30, 2019 | 1,421 | 892 | 194,941 | ||||||||
Ending balance at Sep. 30, 2019 | 192,628 | ||||||||||
Beginning balance at Jun. 30, 2019 | 207,742 | 1,479 | 1,071 | 210,292 | |||||||
Net income (loss) excluding of loss attributable to redeemable noncontrolling interest | 13,612 | (179) | 13,433 | ||||||||
Other comprehensive income (loss) | (58) | (58) | |||||||||
Net transfers from (to) Parent | (28,726) | (28,726) | |||||||||
Ending balance (Accounting Standards Update 2016-02 [Member]) at Sep. 30, 2019 | $ (2,202) | $ (2,202) | |||||||||
Ending balance at Sep. 30, 2019 | 1,421 | 892 | 194,941 | ||||||||
Ending balance at Sep. 30, 2019 | 192,628 | ||||||||||
Issuance of common stock, shares | 15,624,091 | 3,693,596 | |||||||||
Beginning balance at Dec. 31, 2019 | 1,554 | 1,001 | 182,236 | ||||||||
Beginning balance at Dec. 31, 2019 | 179,681 | 179,681 | |||||||||
Net income (loss) excluding of loss attributable to redeemable noncontrolling interest | (38,832) | (749) | (39,581) | ||||||||
Other comprehensive income (loss) | (179) | (179) | |||||||||
Distributions to noncontrolling interests | (54) | (54) | |||||||||
Accretion of redeemable noncontrolling interest | (1,248) | (1,248) | |||||||||
Reversal of accretion of redeemable noncontrolling interest | 3,150 | 3,150 | |||||||||
Net transfers from (to) Parent | 169,595 | 169,595 | |||||||||
Transfer to additional paid-in capital | (312,153) | $ 312,153 | |||||||||
Ending balance at Sep. 30, 2020 | $ 156 | $ 37 | 312,153 | 1,375 | 198 | 313,919 | |||||
Ending balance, shares at Sep. 30, 2020 | 15,624,000 | 3,694,000 | |||||||||
Beginning balance at Jun. 30, 2020 | 1,203 | 278 | 244,413 | ||||||||
Beginning balance at Jun. 30, 2020 | 242,932 | ||||||||||
Net income (loss) excluding of loss attributable to redeemable noncontrolling interest | (8,252) | (26) | (8,278) | ||||||||
Other comprehensive income (loss) | 172 | 172 | |||||||||
Distributions to noncontrolling interests | (54) | (54) | |||||||||
Reversal of accretion of redeemable noncontrolling interest | 3,150 | 3,150 | |||||||||
Net transfers from (to) Parent | 74,516 | 74,516 | |||||||||
Transfer to additional paid-in capital | (312,153) | 312,153 | |||||||||
Ending balance at Sep. 30, 2020 | $ 156 | $ 37 | $ 312,153 | $ 1,375 | $ 198 | $ 313,919 | |||||
Ending balance, shares at Sep. 30, 2020 | 15,624,000 | 3,694,000 | |||||||||
Issuance of common stock | $ 156 | $ 37 | $ (193) | $ 156 | $ 37 | ||||||
Issuance of common stock, shares | 15,624,000 | 3,694,000 | 15,624,091 | 3,693,596 |
Condensed Consolidated Statem_5
Condensed Consolidated Statement Of Changes In Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Condensed Consolidated Statement Of Changes In Equity [Abstract] | ||||
Income (loss) attributable to redeemable noncontrolling interest | $ (484) | $ (82) | $ (4,073) | $ (158) |
Condensed Consolidated Statem_6
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Operating activities: | ||
Net (loss) income | $ (43,654) | $ 15,252 |
Adjustment to reconcile net (loss) income to net cash (used in) provided by operating activities: | ||
Recoveries from loan losses, net | (5,844) | (4,206) |
Depreciation, amortization and accretion, net | 5,468 | 6,519 |
Net gains on sales of real estate and property and equipment | (130) | (11,105) |
Equity earnings of unconsolidated real estate joint ventures | (50) | (37,276) |
Return on investment in unconsolidated real estate joint ventures | 3,934 | 38,020 |
Loss on the deconsolidation of IT'SUGAR, LLC | 3,326 | |
(Increase) decrease in deferred income tax asset, net | (5,402) | 6,277 |
Impairment losses | 31,588 | 6,786 |
Decrease (increase) in trade inventory | 279 | (5,016) |
(Increase) decrease in trade receivables | (2,336) | 5,042 |
Decrease (increase) in real estate inventory | 925 | (2,865) |
Net change in operating lease asset and operating lease liability | (964) | 683 |
(Increase) decrease in other assets | (1,388) | 3,744 |
Increase (decrease) in accrued liabilities | 12,376 | (3,227) |
(Decrease) increase in due to parent | (1,362) | 582 |
Decrease in accounts payable | (4,256) | (1,554) |
(Decrease) increase in other liabilities | (246) | 3,716 |
Net cash (used in) provided by operating activities | (7,736) | 21,372 |
Investing activities: | ||
Return of investment in unconsolidated real estate joint ventures | 4,631 | 30,331 |
Investments in unconsolidated real estate joint ventures | (14,009) | (20,076) |
Proceeds from repayment of loans receivable | 5,960 | 4,935 |
Proceeds from sales of real estate held-for-sale | 2,151 | 32,136 |
Additions to real estate held-for-sale and held-for-investment | (70) | (438) |
Purchases of property and equipment | (4,032) | (7,765) |
Decrease in cash from other investing activities | (1,065) | (73) |
Net cash (used in) provided by investing activities | (6,434) | 39,050 |
Financing activities: | ||
Repayments of notes payable and other borrowings | (15,415) | (2,699) |
Proceeds from notes payable and other borrowings | 10,919 | 663 |
Distributions to noncontrolling interests | (54) | |
Net transfers from (to) Parent | 94,275 | (56,002) |
Net cash provided by (used in) financing activities | 89,725 | (58,038) |
Increase in cash, cash equivalents and restricted cash | 75,555 | 2,384 |
Cash, cash equivalents and restricted cash at beginning of period | 21,287 | 30,082 |
Cash, cash equivalents and restricted cash at end of period | 96,842 | 32,466 |
Supplemental cash flow information: | ||
Income taxes paid | 330 | 1,016 |
Supplementary disclosure of non-cash investing and financing activities: | ||
Construction funds receivable transferred to real estate | 15,890 | |
Bluegreen Vacations Holding Corporation note receivable | 75,000 | |
Operating lease assets recognized upon adoption of ASC 842 | 86,431 | |
Operating lease liabilities recognized upon adoption of ASC 842 | 95,296 | |
Operating lease assets obtained in exchange for new operating lease liabilities | 4,921 | 21,448 |
Increase in other assets upon issuance of Community Development District Bonds | 827 | 8,110 |
Assumption of Community Development District Bonds by builders | 3,137 | 1,035 |
Reconciliation of cash, cash equivalents and restricted cash: | ||
Total cash, cash equivalents, and restricted cash | $ 96,842 | $ 32,466 |
Organization And Basis Of Finan
Organization And Basis Of Financial Statement Presentation | 9 Months Ended |
Sep. 30, 2020 | |
Organization And Basis Of Financial Statement Presentation [Abstract] | |
Organization And Basis Of Financial Statement Presentation | 1. Organization and Basis of Financial Statement Presentation Organization BBX Capital, Inc. and its subsidiaries (the “Company” or, unless otherwise indicated or the context otherwise requires, “we,” “us,” or “our”) is a Florida-based diversified holding company. BBX Capital, Inc. as a standalone entity without its subsidiaries is referred to as “BBX Capital.” Prior to September 30, 2020, the Company was a wholly owned subsidiary of Bluegreen Vacations Holding Corporation (“Parent” or “BVH”), which was formerly known as BBX Capital Corporation. Spin-Off from BVH Prior to September 30, 2020, BVH was a Florida-based diversified holding company whose principal holdings were Bluegreen Vacations Corporation (“Bluegreen”), BBX Capital Real Estate LLC (“BBX Capital Real Estate” or “BBXRE”), BBX Sweet Holdings, LLC (“BBX Sweet Holdings”), and Renin Holdings, LLC (“Renin”). On September 30, 2020, BVH completed the spin-off of the Company, which separated BVH’s business, activities, and investments into two separate, publicly-traded companies: (i) BVH, which continues to hold its investment in Bluegreen, and (ii) BBX Capital, which continues to hold all of BVH’s other businesses and investments, including BBX Capital Real Estate, BBX Sweet Holdings, and Renin. The spin-off was consummated on September 30, 2020 with the distribution by BVH to its shareholders all of the outstanding shares of BBX Capital’s Common Stock through the distribution of one share of BBX Capital’s Class A Common Stock for each share of its Class A Common Stock held on September 22, 2020, the record date for the distribution, and one share of BBX Capital’s Class B Common Stock for each share of its Class B Common Stock held on the record date. Accordingly, as of the close of business on September 30, 2020, BVH ceased to have an ownership interest in the Company, and BVH’s shareholders who received shares of BBX Capital’s Common Stock in the distribution became shareholders of the Company following the spin-off. In connection with the spin-off, BBX Capital was converted from a Florida limited liability company into a Florida corporation and changed its name from BBX Capital Florida LLC to BBX Capital, Inc., and BVH changed its name from BBX Capital Corporation to Bluegreen Vacations Holding Corporation. In addition, in connection with the spin-off, BVH issued a $75.0 million note payable to the Company that accrues interest at a rate of 6% per annum and requires payments of interest on a quarterly basis. Under the terms of the note, BVH will have the option in its discretion to defer interest payments under the note, with interest on the entire outstanding balance thereafter to accrue at a cumulative, compounded rate of 8% per annum until such time as BVH is current on all accrued payments under the note, including deferred interest. All outstanding amounts under the note will become due and payable in five years or earlier upon certain other events. In October 2020, BBX Capital’s Class A Common Stock commenced trading on the OTCQX Best Market under the ticker symbol “BBXIA,” and its Class B Common Stock commenced trading on the OTC Pink Market under the ticker symbol “BBXIB.” BBX Capital has two classes of common stock. Holders of BBX Capital’s Class A Common Stock are entitled to one vote per share, which in the aggregate represents 22% of the combined voting power of BBX Capital’s Class A Common Stock and the Class B Common Stock. BBX Capital’s Class B Common Stock represents the remaining 78% of the combined vote. As of September 30, 2020, the percentage of total common equity represented by the Class A and Class B Common Stock was 81% and 19% , respectively. BBX Capital’s Class B Common Stock is convertible into its Class A Common Stock on a share for share basis at any time at the option of the holder. Principal Holdings BBX Capital’s principal holdings include BBX Capital Real Estate, BBX Sweet Holdings, and Renin. BBX Capital Real Estate BBX Capital Real Estate is engaged in the acquisition, development, construction, ownership, financing, and management of real estate and investments in real estate joint ventures, including investments in multifamily rental apartment communities, single-family master-planned for sale housing communities, and commercial properties located primarily in Florida. In addition, BBX Capital Real Estate owns a 50% equity interest in The Altman Companies, LLC (the “Altman Companies”), a developer and manager of multifamily rental apartment communities, and manages the legacy assets acquired in connection with the Company’s sale of BankAtlantic in 2012, including portfolios of loans receivable, real estate properties, and judgments against past borrowers. BBX Sweet Holdings BBX Sweet Holdings is engaged in the ownership and management of operating businesses in the confectionery industry, including Hoffman’s Chocolates, a retailer of gourmet chocolates with retail locations in South Florida, and Las Olas Confections and Snacks, a manufacturer and wholesaler of chocolate and other confectionery products. BBX Sweet Holdings also owns approximately 93% of the equity interests in IT’SUGAR, a specialty candy retailer whose products include bulk candy, candy in giant packaging, and licensed and novelty items. Prior to September 22, 2020, the Company consolidated the financial statements of IT’SUGAR and its subsidiaries as a result of its 93% ownership of IT’SUGAR. However, as further discussed below, IT’SUGAR and its subsidiaries filed voluntary petitions to reorganize under Chapter 11 of Title 11 of the U.S. Code (the “Bankruptcy Code”) in the U.S. Bankruptcy Court for the Southern District of Florida on September 22, 2020, and the Company deconsolidated IT’SUGAR as a result of the filings and the uncertainties surrounding the nature, timing, and specifics of the bankruptcy proceedings. Renin Renin is engaged in the design, manufacture, and distribution of sliding doors, door systems and hardware, and home décor products and operates through its headquarters in Canada and two manufacturing and distribution facilities in the United States and Canada. In addition to its own manufacturing, Renin also sources various products and raw materials from China and Vietnam. Other In addition to its principal holdings, the Company has investments in other operating businesses, including a restaurant located in South Florida that was acquired through a loan foreclosure and an insurance agency. In 2016, Food for Thought Restaurant Group (“FFTRG”), a wholly-owned subsidiary of the Company, entered into area development and franchise agreements with MOD Pizza related to the development of up to approximately 60 MOD Pizza franchised restaurant locations throughout Florida. Through 2019, FFTRG had opened nine restaurant locations. As a result of FFTRG’s overall operating performance and the Company’s goal of streamlining its investment verticals, the Company entered into an agreement with MOD Pizza to terminate the area development and franchise agreements and transferred seven of its restaurant locations, including the related assets, operations, and lease obligations, to MOD Pizza in September 2019. In addition, the Company closed the remaining two locations and terminated the related lease agreements. FFTRG’s operations as a franchisee of MOD Pizza are presented as discontinued operations in the Company’s condensed consolidated financial statements. Basis of Financial Statement Presentation The accompanying condensed consolidated financial statements of the Company include the combined financial statements of BBX Capital and its subsidiaries, including BBX Capital Real Estate, BBX Sweet Holdings, Renin, and FFTRG, as well as certain subsidiaries in which ownership was transferred from Parent in connection with the spin-off transaction described above. Other than the Company’s statement of financial condition as of September 30, 2020, which reflects the condensed consolidated statement of financial condition of BBX Capital and its subsidiaries, these condensed consolidated financial statements have been derived from the accounting records of Parent and these companies and should be read with the accompanying notes thereto. Further, the condensed consolidated financial statements do not necessarily reflect what the results of operations, financial position, or cash flows would have been had the Company been a separate entity nor are they indicative of the future results of the Company. The accompanying condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Accordingly, these financial statements do not include all of the information and disclosures required by GAAP for complete financial statements. Financial statements prepared in conformity with GAAP require the Company to make estimates based on assumptions about current and, for some estimates, future economic and market conditions which affect reported amounts and related disclosures in the Company’s financial statements. Due to, among other things, the impact and potential future impact of the ongoing COVID-19 pandemic, which is discussed in more detail below, actual conditions could differ from the Company’s expectations and estimates, which could materially affect the Company’s results of operations and financial condition. The severity, magnitude, and duration, as well as the economic consequences, of the COVID-19 pandemic, are uncertain, rapidly changing, and difficult to predict. As a result, the Company’s accounting estimates and assumptions may change over time in response to the COVID-19 pandemic. Such changes could result in, among other adjustments, future impairments of intangibles, long-lived assets, and investments in unconsolidated subsidiaries and future reserves for inventory and receivables. The majority of the assets, liabilities, revenues, expenses, and cash flows of the Company have been identified based on the existing legal entities. However, the historical costs and expenses reflected in the financial statements also include an allocation for certain corporate and shared service functions that were historically provided by Parent prior to the spin-off. These expenses have been allocated to the Company on the basis of direct usage when identifiable, while the remainder of the expenses, including costs related to executive compensation, were allocated primarily on a pro-rata basis of combined revenues and equity in earnings of unconsolidated joint ventures of Parent and its subsidiaries. However, the allocation of corporate expenses excludes costs specific to the spin-off and the acceleration of compensation expense in connection with the spin-off. The Company believes that the assumptions underlying the condensed consolidated financial statements, including the assumptions regarding the allocation of general corporate expenses from Parent, are reasonable. However, the condensed consolidated financial statements may not include all of the actual expenses that would have been incurred had the Company been operating as a standalone company during the periods presented. Actual costs that would have been incurred if the Company operated as a standalone company would depend on multiple factors, including organizational structure, technology infrastructure, and strategic direction. In addition, following the spin-off on September 30, 2020, the Company also incurs additional costs associated with being a public company that are not reflected in the accompanying condensed consolidated financial statements. These unaudited condensed consolidated financial statements and related notes are presented as permitted by Form 10-Q and should be read in conjunction with the Company’s audited combined carve-out financial statements and footnotes thereto included in the Company’s Information Statement, dated August 27, 2020, attached as Exhibit 99.1 to the Company’s Registration Statement on Form 10 filed with the SEC on August 27, 2020 (the “Form 10 Information Statement”). The condensed consolidated financial statements include the accounts of BBX Capital’s wholly-owned subsidiaries, other entities in which BBX Capital or its wholly-owned subsidiaries hold controlling financial interests, and any variable interest entities (“VIEs”) in which BBX Capital or one of its consolidated subsidiaries is deemed the primary beneficiary of the VIE. All significant inter-company accounts and transactions have been eliminated in consolidation. Impact of the COVID-19 Pandemic The COVID-19 pandemic has resulted in an unprecedented disruption in the U.S. and global economies and the industries in which the Company operates due to, among other things, government ordered “shelter in place” and “stay at home” orders and advisories, travel restrictions, and restrictions on business operations, including government guidance and restrictions with respect to travel, public accommodations, social gatherings, and related matters, as well as the general public’s reaction to the pandemic. The disruptions arising from the pandemic and the reaction of the general public had a significant adverse impact on the Company's financial condition and operations during the three and nine months ended September 30, 2020. The duration and severity of the pandemic and related disruptions, as well as the adverse impact on economic and market conditions, are uncertain; however, given the nature of these circumstances, the adverse impact of the pandemic on the Company’s condensed consolidated results of operations, cash flows, and financial condition in 2020 has been, and is expected to continue to be, material. Furthermore, although the duration and severity of the effects of the pandemic are uncertain, demand for many of the Company’s products and services may remain weak for a significant length of time, and the Company cannot predict if or when the industries in which the Company operates will return to pre-pandemic levels. Although the impact of the COVID-19 pandemic on the Company’s principal holdings and management’s efforts to mitigate the effects of the pandemic has varied, as described in further detail below, BBX Capital and its subsidiaries have sought to take steps to manage expenses through cost saving initiatives and reductions in employee head count and actions to increase liquidity and strengthen the Company’s financial position, including reducing planned capital expenditures. As of September 30, 2020, the Company’s consolidated cash balances were $96.6 million. BBX Capital Real Estate Although BBXRE has not to date been as significantly impacted by the COVID-19 pandemic as BBX Sweet Holdings, BBXRE’s operations have been impacted by the pandemic, and it is expected that its operations will continue to be impacted by the pandemic in future periods. While recent construction activities have continued at BBXRE’s existing projects and sales at its single-family home developments have generally returned to pre-pandemic levels following some disruptions in March and April 2020, the effects of the pandemic, including increased unemployment and economic uncertainty generally and in the real estate and credit markets in particular, as well as increases in the number of COVID-19 cases in Florida and throughout the United States, have impacted rental activities at BBXRE’s multifamily apartment developments and increased uncertainty relating to the expected timing and pricing of future sales of multifamily apartment developments, single-family homes, and developed lots at BBXRE’s Beacon Lake Community, as well as the timing and financing of new multifamily apartment developments. While the Company expects that the impact of the COVID-19 pandemic will adversely affect BBXRE’s operating results and financial condition for the year ended December 31, 2020, primarily with respect to the expected timing of sales, the Company evaluated various factors, including asset-specific factors, overall economic and market conditions, and the excess of the expected profits associated with real estate assets in relation to their carrying amounts, and concluded that, except as discussed below, there had not been a significant decline in the fair value of most of BBXRE’s real estate assets as of September 30, 2020 that should be recognized as an impairment loss. As part of this evaluation, the Company considered the sales at its single-family home developments (which have returned to pre-pandemic levels), continued collection of rent at its multifamily apartment developments, and indications that there has not to date been a significant decline in sales prices for single family homes or an increase in capitalization rates for multifamily apartment communities. However, the Company recognized $2.7 million of impairment losses during the nine months ended September 30, 2020 primarily related to a decline in the estimated fair values of certain of BBXRE’s investments in joint ventures, including i) a joint venture that is developing an office tower, as the market for office space has been more significantly impacted by the pandemic compared to the single family and multifamily markets in which BBXRE primarily invests, and ii) a joint venture invested in a multifamily apartment community in which BBXRE purchased its interest following the stabilization of the underlying asset at a purchase price calculated based on assumptions related to the timing and pricing of the sale of the asset, both of which have been impacted by the pandemic. There is no assurance that the real estate market will not be materially adversely impacted by the pandemic or otherwise, that the sales prices of single-family homes will not materially decline, that rents will be paid when due or at all, or that market rents will not materially decline. Further, while government efforts to delay or forestall evictions and the availability of judicial remedies have not to date materially impacted BBXRE’s operations, they may in the future have an adverse impact on both market values and BBXRE’s operating results. In addition, the effects of the pandemic may impact the costs of operating BBXRE’s real estate assets, including, but not limited to, an increase in property insurance costs indicated by recently obtained quotes of insurance costs that are higher than pre-pandemic levels, which could also have an adverse impact on market values and BBXRE’s operating results. BBXRE will continue to monitor economic and market conditions and may recognize further impairment losses in future periods as a result of various factors, including, but not limited to, material declines in overall real estate values, sales prices for single family homes, and/or rental rates for multifamily apartments. The Altman Companies and Related Investments To date, the COVID-19 pandemic has not significantly impacted construction activities which remain ongoing at the existing projects sponsored by the Altman Companies, and as a result, the Altman Companies continues to generate development and general contractor fees from such projects. In addition, through September 30, 2020, the Altman Companies had collected in excess of 97% of the rents at the multifamily apartment communities under its management. While its leasing activities were conducted virtually during March through May 2020, the Altman Companies has reopened its leasing offices for visits by appointment. Although the Altman Companies experienced a decline in tenant demand and in the volume of new leases during the second quarter of 2020, it generally experienced an increase in the volume of new leases at its communities during the third quarter of 2020. However, in an effort to maintain occupancy at its stabilized communities and increase occupancy at its communities under development, commencing in the second quarter and through the third quarter of 2020, the Altman Companies offered an increased number of concessions to prospective and renewing tenants. The impact of the COVID-19 pandemic on the economy remains uncertain, and the effects of the pandemic, including a prolonged economic downturn, high unemployment, the expiration of or a decrease in government benefits to individuals, and government-mandated moratoriums on tenant evictions, could ultimately have a longer term and more significant impact on rental rates, occupancy levels, and rent collections, including an increase in tenant delinquencies and/or requests for rent abatements. These effects would impact the amount of rental revenues generated from the multifamily apartment communities sponsored and managed by the Altman Companies, the extent of management fees earned by the Altman Companies, and the ability of the related joint ventures to stabilize and successfully sell such communities. Furthermore, a decline in rental revenues at developments sponsored by the Altman Companies could require it, as the sponsor and managing member, to fund operating shortfalls in certain circumstances. Further, while there are indications that the capitalization rates for multifamily apartment communities similar to those sponsored and managed by the Altman Companies have generally remained steady, the impact of the COVID-19 pandemic on economic conditions in general, including uncertainty regarding the severity and duration of such impact, has adversely impacted the level of real estate sales activity and overall credit markets and may ultimately have a significant adverse impact on capitalization rates and real estate values in future periods, particularly if there is a prolonged economic downturn. If there is a significant adverse impact on real estate values as a result of lower rental revenues, higher capitalization rates, or otherwise, the joint ventures sponsored by the Altman Companies may be unable to sell their respective multifamily apartment developments within the time frames previously anticipated and/or for the previously forecasted sales prices, if at all, which may impact the profits expected to be earned by BBXRE from its investment in the managing member of such projects and the ability of the joint ventures to repay or refinance construction loans on such projects and could result in the recognition of impairment losses related to BBXRE’s investment in such projects. Furthermore, the Altman Companies may be unable to close on the equity and/or debt financing necessary to commence the construction of new projects, including the development of Altis at Lake Willis, which could result in increased operating losses at the Altman Companies due to a decline in development, general contractor, and management fees, the recognition of impairment losses by BBXRE and/or the Altman Companies related to their current investments in predevelopment expenditures and land acquired for development, and the recognition of impairment losses related to BBXRE’s overall investment in the Altman Companies, as the profitability and value of the Altman Companies is directly correlated with its ability to source new development opportunities. Beacon Lake Master Planned Development Following the initial outbreak of COVID-19 in March 2020, unaffiliated homebuilders at the Beacon Lake Community experienced a decline in the volume of sales traffic and home sales and requested extensions of their existing agreements for the purchase of additional developed lots from BBXRE, and BBXRE agreed to such extensions. Subsequently, sales activity significantly increased in May 2020 and generally returned to pre-pandemic levels subsequent to May 2020. Based on that activity, BBXRE currently expects the sale of the remaining developed lots to occur pursuant to its purchase agreements with the homebuilders under the modified takedown schedules. However, there is no assurance that this will be the case, and the effects of the COVID-19 pandemic on the economy and demand for single-family housing remain uncertain and could result in further requests by homebuilders to extend the timing of their purchase of developed lots and/or failure of the homebuilders to meet their obligations under these contracts. In addition, a decline in home prices as a result of the economic impacts associated with the COVID-19 pandemic could result in a decrease in contractually owed contingent revenues expected to be earned by BBXRE in connection with sales of homes by homebuilders on developed lots previously sold to them, as well as a decrease in the expected sales prices for the unsold lots comprising the remainder of the Beacon Lakes Community. Although BBXRE does not currently expect that there will be a significant decrease in the sales prices or fair value of its unsold lots, a significant decline in the demand and pricing for single-family homes could result in the recognition of impairment losses in future periods. BBX Sweet Holdings IT’SUGAR In March 2020, as a result of various factors, including government-mandated closures and CDC and WHO advisories in connection with the COVID-19 pandemic, IT’SUGAR closed all of its retail locations and furloughed all store employees and the majority of its corporate employees. Between May 2020 and September 2020, IT’SUGAR reopened nearly all of its approximately 100 locations that were open prior to the pandemic as part of a phased reopening plan which included revised store floor plans, increased sanitation protocols, and the gradual recall of furloughed store and corporate employees to full or part-time employment. However, from time to time, IT’SUGAR has been required to close previously reopened locations as a result of various factors, including government- mandated closures and staffing shortages. IT’SUGAR ceased paying rent to the landlords of its closed locations in April 2020 and engaged in negotiations with its landlords for rent abatements, deferrals, and other modifications for both the period of time that the locations were closed and the subsequent period that the locations have been opened and operating under conditions which have been affected by the pandemic. In addition to its unpaid rental obligations, IT’SUGAR ceased paying various outstanding obligations to its vendors. Although IT’SUGAR was able to reopen its retail locations and received an advance of $2.0 million from a subsidiary of BBX Capital (as further described in Note 7), IT’SUGAR was unable to maintain sufficient liquidity to sustain its operations as i) it was unable to obtain significant rent abatements or deferrals from its landlords and amended payment terms from its vendors and ii) its sales volumes had not sufficiently improved and stabilized following the reopening of its locations. In particular, a lthough a significant portion of its retail locations were reopened during the three months ended September 30, 2020, IT’SUGAR’s total revenues for the period declined by approximately 50.4% as compared to the comparable period in 2019. As a result, on September 22, 2020, IT’SUGAR and its subsidiaries filed voluntary petitions to reorganize under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Florida (the “Bankruptcy Court”) (the cases commenced by such filings, the “Bankruptcy Cases”). Under Section 362 of the Bankruptcy Code, the filing of bankruptcy petitions automatically stays most actions against IT’SUGAR, including most actions to collect pre-petition indebtedness or to exercise control of the property of IT’SUGAR. Accordingly, absent an order of the Bankruptcy Court, substantially all pre-petition liabilities will be subject to settlement under a plan of reorganization, as further described below. In order to successfully exit the Chapter 11 Bankruptcy Cases, IT’SUGAR will need to propose, and obtain confirmation by the Bankruptcy Court of, a plan of reorganization or liquidation (the “Reorganization Plan”) that satisfies the requirements of the Bankruptcy Code. The Reorganization Plan will determine the rights and claims of various creditors and security holders, and under the priority rules established by the Bankruptcy Code, certain post-petition liabilities and pre-petition liabilities will be given priority over pre-petition indebtedness and need to be satisfied before unsecured creditors or stockholders are entitled to any distribution. As provided by the Bankruptcy Code, IT’SUGAR initially has the exclusive right to solicit a plan and plans to submit a Reorganization Plan to the Bankruptcy Court in the near future. In connection with the Chapter 11 Bankruptcy Cases, the Office of the United States Trustee, a division of the Department of Justice, has appointed an official committee of unsecured creditors (the “Creditors’ Committee”), which has a right to be heard on all matters that come before the Bankruptcy Court, including the confirmation of the Reorganization Plan. If IT’SUGAR fails to file a Reorganization Plan or if the Bankruptcy Court does not confirm a Reorganization Plan filed by IT’SUGAR, the Bankruptcy Cases could be converted to cases under Chapter 7 of the Bankruptcy Code. Under Chapter 7 bankruptcy cases, a trustee would be appointed to collect IT’SUGAR’s assets, reduce them to cash, and distribute the proceeds to IT’SUGAR’s creditors in accordance with the statutory scheme of the Bankruptcy Code. Alternatively, if IT’SUGAR’s Reorganization Plan is not confirmed by the Bankruptcy Court, in lieu of the conversion of the Bankruptcy Cases to Chapter 7 bankruptcy cases, the Bankruptcy Court could dismiss the Bankruptcy Cases. At the current time, IT’SUGAR is continuing to operate its retail locations under the supervision of the Bankruptcy Court and Creditors’ Committee and is negotiating with its creditors in relation to a proposed Reorganization Plan and the terms of amendments to the lease agreements associated with its retail locations. In addition, as further described in Note 17, in October 2020, IT’SUGAR obtained a $4.0 million “debtor in possession” (“DIP”) credit facility from a subsidiary of BBX Capital that was approved by the Bankruptcy Court on an interim basis pending a final hearing. As of November 9, 2020, $2.0 million had been funded to IT’SUGAR under the DIP credit facility . At this time, it is not possible to predict the ultimate effect of the reorganization process on IT’SUGAR’s business and creditors or when, or if, IT’SUGAR may emerge from bankruptcy. While the reorganization process may improve IT’SUGAR’s result of operations, cash flows, and financial condition if it obtains relief in relation to its pre-petition liabilities and it is able to negotiate amendments to its lease agreements that lower its ongoing occupancy costs, there is no assurance that it will obtain such relief, and the ultimate impact of the Bankruptcy Cases and the reorganization process on IT’SUGAR and its results of operations, cash flows, or financial condition remains uncertain. Further, the effects of the COVID-19 pandemic on demand, sales levels, and consumer behavior, as well as the current recessionary economic environment, have had and could continue to have a material adverse effect on IT’SUGAR’s business, results of operations, and financial condition during the bankruptcy proceedings and thereafter. As a result of IT’SUGAR filing the Chapter 11 Bankruptcy Cases and the uncertainties surrounding the nature, timing, and specifics of the bankruptcy proceedings, the Company deconsolidated IT’SUGAR as of September 22, 2020 and recognized a loss of $3.3 million during the three and nine months ended September 30, 2020 in connection with the deconsolidation, as further described in Note 17. Prior to the deconsolidation of IT’SUGAR, the Company recognized $25.3 million of impairment losses during the nine months ended September 30, 2020 related to IT’SUGAR’s goodwill and long-lived assets a s a result of the effects of the pandemic, including the recognition of a goodwill impairment loss of $20.3 million based on a decline in the estimated fair value of IT’SUGAR. The decline in the estimated fair value of IT’SUGAR during the nine months ended September 30, 2020 as compared to the Company’s prior valuation of IT’SUGAR as of December 31, 2019 reflected the impact on the Company’s estimated future cash flows of the temporary closure of IT’SUGAR’s retail locations commencing in March 2020, including the liabilities incurred by IT’SUGAR during the shutdown, and considered scenarios in which IT’SUGAR’s business and sal |
Trade Receivables
Trade Receivables | 9 Months Ended |
Sep. 30, 2020 | |
Trade Receivables [Abstract] | |
Trade Receivables | 2. Trade Receivables The Company’s trade receivables consisted of the following (in thousands): September 30, December 31, 2020 2019 Trade receivables $ 15,599 13,274 Allowance for bad debts (262) (170) Total trade receivables $ 15,337 13,104 |
Trade Inventory
Trade Inventory | 9 Months Ended |
Sep. 30, 2020 | |
Trade Inventory [Abstract] | |
Trade Inventory | 3 . Trade Inventory The Company’s trade inventory consisted of the following (in thousands): September 30, December 31, 2020 2019 Raw materials $ 3,828 3,048 Paper goods and packaging materials 1,449 1,327 Finished goods 11,074 18,468 Total trade inventory $ 16,351 22,843 |
Real Estate
Real Estate | 9 Months Ended |
Sep. 30, 2020 | |
Real Estate [Abstract] | |
Real Estate | 4 . Real Estate The Company’s real estate consisted of the following (in thousands): September 30, December 31, 2020 2019 Real estate held-for-sale $ 9,342 11,297 Real estate held-for-investment 6,024 6,015 Real estate inventory 44,129 48,506 Total real estate $ 59,495 65,818 0 |
Investments In And Advances To
Investments In And Advances To Unconsolidated Real Estate Joint Ventures | 9 Months Ended |
Sep. 30, 2020 | |
Investments In And Advances To Unconsolidated Real Estate Joint Ventures [Abstract] | |
Investments In And Advances To Unconsolidated Real Estate Joint Ventures | 5. Investments in and Advances to Unconsolidated Real Estate Joint Ventures As of September 30, 2020, the Company had equity interests in and advances to unconsolidated real estate joint ventures involved in the development of multifamily rental apartment communities, as well as single-family master planned for sale housing communities. In addition, the Company owns a 50% equity interest in the Altman Companies, a developer and manager of multifamily apartment communities. Investments in unconsolidated real estate joint ventures are accounted for as unconsolidated VIEs. The Company’s investments in and advances to unconsolidated real estate joint ventures consisted of the following (in thousands): September 30, December 31, 2020 2019 Altis at Grand Central Capital, LLC $ 2,472 $ 2,653 Altis Promenade Capital, LLC 1,977 2,126 Altis at Bonterra - Hialeah, LLC — 618 Altis Ludlam - Miami Investor, LLC 9,378 1,081 Altis Suncoast Manager, LLC 1,102 753 Altis Pembroke Gardens, LLC 311 1,277 Altis Fairways, LLC 1,657 1,880 Altis Wiregrass, LLC 163 1,792 Altis LH-Miami Manager, LLC 837 811 Altis Vineland Pointe Manager, LLC 5,355 4,712 Altis Miramar East/West 2,794 2,631 The Altman Companies, LLC 15,589 14,745 ABBX Guaranty, LLC 3,750 3,750 Sunrise and Bayview Partners, LLC 1,450 1,562 PGA Design Center Holdings, LLC 3 996 CCB Miramar, LLC 7,168 5,999 BBX/Label Chapel Trail Development, LLC 153 1,126 L03/212 Partners, LLC 2,179 2,087 PGA Lender, LLC 2 2,111 Sky Cove, LLC 4,146 4,178 All other investments in real estate joint ventures 162 442 Total $ 60,648 $ 57,330 See Note 7 to the Company’s condensed consolidated financial statements for the years ended December 31, 2019, 2018, and 2017 and footnotes thereto included in the Form 10 Information Statement for the Company’s accounting policies relating to its investments in unconsolidated real estate joint ventures, including the Company’s analysis and determination that such entities are VIEs in which the Company is not the primary beneficiary. As of December 31, 2019, B BXRE had invested $1.1 million in the Altis at Ludlam joint venture to acquire land, obtain entitlements, and fund predevelopment costs for a potential multifamily apartment development in Miami, Florida. In June 2020, the joint venture obtained entitlements, closed on development financing, and commenced development of a 312 unit multifamily apartment community with 7,500 square feet of retail space. In connection with the closing, BBXRE received a $0.5 million distribution from the joint venture as a reimbursement of predevelopment costs and invested an additional $8.5 million in the joint venture as preferred equity . Pursuant to the applicable operating agreement for the Altis Ludlam joint venture, distributions from the joint venture are required to be paid to BBXRE on account of its preferred equity interest until it receives its $8.5 million investment and a preferred return of 11.9% per annum (subject to a minimum payment of $11.9 million). Following such payment, all remaining distributions will be paid to the other members , including the managing member in which BBXRE holds an interest . Further, BBXRE’s preferred interest is required to be redeemed by the joint venture for a cash amount equal to its preferred return and initial investment in December 2023, although the joint venture has the option to extend the redemption for three one year periods, subject to certain conditions. As BBXRE’s preferred membership interest in the joint venture is mandatorily redeemable, the Company is accounting for its preferred interest in the joint venture as a loan receivable from the Altis Ludlum joint venture, while the Company’s remaining investment in the managing member of the joint venture is being accounted for under the equity method of accounting. In March 2020, the Altis at Wiregrass joint venture sold its 392 unit multifamily apartment community in Tampa, Florida. As a result of the sale, BBXRE recognized $0.8 million of equity earnings during the nine months ended September 30, 2020 and received approximately $2.3 million of distributions from the venture in April 2020. Summarized Financial Information of Certain Unconsolidated Real Estate Joint Ventures The unaudited condensed statements of operations for A l tis at Bonterra - Hialeah for the three and the nine months ended September 30, 2020 and 2019 were as follows (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Total revenues $ — 927 — 4,479 Gain on sale of real estate — 33,608 — 33,608 Other expenses — (813) — (4,339) Net earnings $ — 33,722 — 33,748 Equity in net earnings of unconsolidated real estate joint venture - Altis at Bonterra - Hialeah, LLC $ — 29,100 — 29,100 The unaudited condensed statements of financial condition for A l tis at Bonterra – Hialeah as of S eptember 30, 2020 and December 2019 were as follows (in thousands): September 30, December 31, 2020 2019 Assets Cash $ — 855 Real estate — 559 Other assets — — Total assets $ — 1,414 Liabilities and Equity Notes payable $ — — Other liabilities — 751 Total liabilities — 751 Total equity — 663 Total liabilities and equity $ — 1,414 |
Impairments
Impairments | 9 Months Ended |
Sep. 30, 2020 | |
Impairments [Abstract] | |
Impairments | 6. Impairments Goodwill The activity in the balance of the Company’s goodwill was as follows (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Balance, beginning of period $ 14,864 37,248 $ 37,248 37,248 Deconsolidation of IT'SUGAR (14,864) — (14,864) — Impairment losses — — (22,384) — Balance, end of period $ — 37,248 $ — 37,248 The Company tests goodwill associated with its reporting units for potential impairment on an annual basis as of December 31 or during interim periods if impairment indicators exist. The Company concluded that the effects of the COVID-19 pandemic, including the recessionary economic environment and the impact on certain of the Company’s operations, indicated that it was more likely than not that the fair values of certain of its reporting units with goodwill had declined below the respective carrying amounts of such reporting units as of March 31, 2020. As a result, the Company tested the goodwill associated with such reporting units for impairment by estimating the fair values of the respective reporting units as of March 31, 2020 and recognized goodwill impairment losses of $22.4 million associated primarily with IT’SUGAR and, to a lesser extent, certain of its other reporting units. Subsequent to March 31, 2020, t he Company’s remaining goodwill balance was comprised of goodwill associated with its IT’SUGAR reporting unit. Although the Company tested goodwill associated with the IT’SUGAR reporting unit as of June 30, 2020 and did not recognize any additional impairment losses as of that date, the Company deconsolidated IT’SUGAR on September 22, 2020 as a result of IT’SUGAR filing petitions for Chapter 11 bankruptcy and derecognized the remaining goodwill balance of approximately $14.9 million as of that date. The Company generally applies an income approach utilizing a discounted cash flow methodology and a market approach utilizing a guideline public company and transaction methodology to estimate the fair value of its reporting units. The estimated fair values obtained from the income and market approaches are compared and reviewed for reasonableness to determine a best estimate of fair value. The Company’s discounted cash flow methodology establishes an estimate of fair value by estimating the present value of the projected future cash flows to be generated from a reporting unit. The discount rate applied to the projected future cash flows to arrive at the present value is intended to reflect all risks of ownership and the associated risks of realizing the stream of projected future cash flows. The Company generally uses a five to ten-year period in computing discounted cash flow values. The most significant assumptions used in the discounted cash flow methodology are generally the terminal value, the discount rate, and the forecast of future cash flows. The guideline public company methodology establishes an estimate of fair value based upon the trading prices of public traded companies that are similar to the applicable reporting unit, while the guideline transaction methodology establishes an estimate of fair value based on acquisitions of companies that are similar to the applicable reporting unit. Under these methods, the Company develops multiples of revenue and earnings before interest, taxes, depreciation and amortization (“EBITDA”) based upon the indicated enterprise value, revenues, and EBITDA of the guideline companies and makes adjustments to such multiples based on various considerations, including the financial condition, operating performance, and relative risk of the guideline companies. The adjusted multiples are then applied to the revenues and EBITDA of the reporting unit to develop an estimated fair value of the reporting unit. Depending on the facts and circumstances applicable to the reporting unit and the guideline companies, the Company may place greater emphasis on the income or market approach to determine its best estimate of fair value. In connection with its impairment testing as of March 31, 2020, the Company estimated that the fair value of the IT’SUGAR reporting unit had declined to $27.3 million as of March 31, 2020 and recognized a goodwill impairment loss of $20.3 million during the nine months ended September 30, 2020 based on the excess of the carrying amount of the IT’SUGAR reporting unit over its estimated fair value. The Company primarily utilized a discounted cash flow methodology to estimate the fair value of the IT’SUGAR reporting unit and used the relevant market approaches to support the reasonableness of its estimated fair value under the income approach. See Note 1 for additional discussion related to the factors which resulted in the decline in the estimated fair value of the IT’SUGAR reporting unit as of March 31, 2020 as compared to December 31, 2019, which included the effects of the COVID-19 pandemic on IT’SUGAR. In addition to the IT’SUGAR reporting unit, the Company tested the goodwill of its other reporting units and, based on its estimates of their fair values, recognized goodwill impairment losses of $2.1 million during the nine months ended September 30, 2020 related to these reporting units. The decline in the fair value of these reporting units from December 31, 2019 primarily resulted from the effects of the COVID-19 pandemic on these businesses. Long-Lived Assets The Company’s long-lived assets include property and equipment, amortizable intangible assets, and right-of-use assets associated with its lease agreements. The Company tests its long-lived assets, or asset groups which include long-lived assets, for recoverability whenever events or changes in circumstances indicate that the carrying amount of such assets or asset groups may not be recoverable. The carrying amount of an asset or asset group is not considered recoverable when the carrying amount exceeds the sum of the undiscounted cash flows expected to result from the use of the asset or asset group. To the extent that the carrying amount of an asset or asset group exceeds the sum of such undiscounted cash flows, an impairment loss is measured and recorded based on the amount by which the carrying amount of the asset or asset group exceeds its fair value. Impairment losses associated with an asset group are allocated to long-lived assets within the asset group based on their relative carrying amounts; however, the carrying amount of individual long-lived assets within an asset group are not reduced below their individual fair values. The Company concluded that the effects of the COVID-19 pandemic indicated that the carrying amount of certain of its long-lived assets may not be recoverable, including asset groups associated with certain of its retail locations which were temporarily closed as a result of the pandemic. In such circumstances, the Company compared its estimated undiscounted cash flows expected to result from the use of such assets or asset groups with their respective carrying amounts, and to the extent that such carrying amounts were in excess of the related undiscounted cash flows, the Company estimated the fair values of the applicable assets or asset groups and recognized impairment losses based on the excess of the carrying amounts of such assets or asset groups over their estimated fair values. In certain circumstances, the Company estimated the fair value of individual assets within its asset groups, including right-of-use assets associated with its retail locations, to determine the extent to which an impairment loss should be allocated to such assets. The Company generally estimated the fair value of the relevant assets or asset groups utilizing a discounted cash flow methodology which estimated the present value of the projected future cash flows expected to be generated from such assets or asset groups. When estimating the fair value of asset groups related to a retail location, the Company’s estimated fair value considered the relevant market participants and the highest and best use for the location, including whether the value of the location would be maximized by operating the location in its current use or by permanently closing the location and subleasing it. In addition, to the extent applicable, the Company estimated the fair value of right-of-use assets associated with its retail locations using a discounted cash flow methodology which estimated the present value of market rental rates applicable to such right-of-use assets. As a result of the Company’s testing of its long-lived assets for impairment, the Company recognized impairment losses of $5.4 million during the nine months ended September 30, 2020 related primarily to leasehold improvements and right-of-use assets associated with certain of IT’SUGAR’s retail locations. The recognition of these impairment losses primarily resulted from the effects of the COVID-19 pandemic on the estimated cash flows expected to be generated by the related assets. Equity Method Investments The Company evaluates its equity method investments for impairment when events or changes in circumstances indicate that the fair value s of the investments may be below the carrying value s . When a decline in the fair value of an investment is determined to be other than temporary, an impairment loss is recorded to reduce the carrying amount of the investment to its fair value. The Company’s determination of whether an other-than-temporary impairment has occurred requires significant judgment in which the Company evaluates, among other factors, the fair value of an investment, general market conditions, the duration and extent to which the fair value of an investment is less than cost, and the Company’s intent and ability to hold an investment until it recovers. The Company also considers specific adverse conditions related to the financial health and business outlook of the investee, including industry and market performance and expected future operating and financing cash flows. During the three and nine months ended September 30, 2020, the Company recognized impairment losses of $0 and $2.2 million , respectively, associated with certain of its investments in unconsolidated real estate joint ventures. The Company estimated the fair value of these investments utilizing a discounted cash flow methodology which estimated the present value of the projected future cash flows expected to be generated from such investments. See Note 1 for additional discussion related to the factors which resulted in the decline in the estimated fair value s of the se investments. The Company did not record any impairment charges related to its equity method investments during the three and nine months ended September 30, 2019. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt [Abstract] | |
Debt | 7. Debt Notes Payable and Other Borrowings The table below sets forth information regarding the Company’s notes payable and other borrowings (dollars in thousands): September 30, 2020 December 31, 2019 Carrying Carrying Amount of Amount of Debt Interest Pledged Debt Interest Pledged Balance Rate Assets Balance Rate Assets Community Development District Obligations $ 30,536 4.25 -6.00% $ 44,129 $ 29,287 4.25 -6.00% $ 49,352 TD Bank Term Loan and Line of Credit 4,929 3.46% (1) 6,826 5.00% (1) Banc of America Leasing & Capital Equipment Note — — — 355 4.75% (2) Bank of America Revolving Line of Credit — — — 2,000 3.24% — Unsecured Note (3) — — — 3,400 6.00% — Centennial Bank Note (4) 1,439 5.25% 1,854 1,469 5.25% 1,892 Other 47 15.00% — 223 15.00% — Unamortized debt issuance costs (951) (824) Total notes payable and other borrowings $ 36,000 $ 42,736 (1) The collateral is a blanket lien on Renin’s assets. (2) The collateral is a security interest in the equipment financed by the underlying note. Additionally, IT’SUGAR is guarantor of the note. (3) Parent was the guarantor of the note prior to BBXRE’s repayment of the note in December 2019. (4) BBX Capital is guarantor of the note. See Note 12 to the Company’s combined carve-out financial statements for the years ended December 31, 2019, 2018, and 2017 and footnotes thereto included in the Form 10 Information Statement for additional information regarding the above listed notes payable and other borrowings. Except as described below, there were no new debt issuances or significant changes related to the above listed notes payable and other borrowings during the nine months ended September 30, 2020. Community Development District Obligation. In May 2020, the Meadow View at Twin Creeks Community Development District issued $8.6 million of community development bonds related to the Company’s Beacon Lake Community development. The bonds issued in May 2020 have fixed interest rates ranging from 4.25% to 5.38% and mature at various times during the years 2026 through 2051. The Company at its option has the ability to repay a specified portion of the bonds at the time that it sells developed lots in the Beacon Lakes Community. Toronto-Dominion Commercial Bank (“TD Bank”) Credit Facility . At September 30, 2020, Renin maintain ed a credit facility with TD Bank which provide d for a revolving line of credit for up to approximately $16.3 million based on available collateral, as defined in the facility, and subject to Renin’s compliance with the terms and conditions of the credit facility, including certain specific financial covenants. Through February 2020, the credit facility also provided for term loans for up to $1.7 million. However, in February 2020, the credit facility was amended to replace the existing debt service coverage ratio with an interest coverage ratio, and in connection with the amendment to the credit facility, Renin repaid the outstanding balance of the term loans with borrowings from the revolving line of credit. In July 2020, the credit facility was also amended to extend the maturity date of the facility from September 2020 to September 2022. As of September 30, 2020, there was $8.3 million available to Renin under the TD Bank revolving line of credit, subject to available collateral and the terms of the facility, and Renin was in compliance with all financial debt covenants under the credit facility. In October 2020, the credit facility with TD Bank was amended and restated to include a $30.0 million term loan and an operating loan of up to $20 million and extend the maturity of the facility to October 2025, and Renin utilized $30.0 million of proceeds under the term loan and approximately $8.0 million of proceeds under the operating loan in connection with the acquisition of Colonial Elegance. See Note 18 for additional information related to the facility, including BBX Capital’s pledge of its membership interest in Renin. The effects of the COVID-19 pandemic on Renin’s operations could impact its ability to remain in compliance with the financial covenants and the extent of availability under its credit facility with TD Bank in future periods. If Renin is unable to maintain compliance with its debt covenants or obtain waivers if it is not in compliance with such covenants, Renin will no longer be able to access its revolving line of credit, may have to repay all or a portion of its borrowings prior to the scheduled maturity date, and/or provide additional collateral for such borrowings, any of which would have a material adverse effect on the Company’s liquidity, financial position, and results of operations. Banc of America Leasing & Capital Equipment Note and Bank of America Revolving Line of Credit . During the three months ended June 30, 2020, a wholly-owned subsidiary of BBXRE purchased IT’SUGAR’s revolving line of credit and equipment note from the respective lenders for the outstanding principal balance of the loans plus accrued interest and subsequently advanced an additional $2.0 million to IT’SUGAR pursuant to the terms of the loans. As the Company paid the respective third party lenders and was relieved of its obligations to such lenders under the respective debt arrangements, the Company derecognized the liabilities in its consolidated financial statements in connection with the purchase of the loans by its wholly-owned subsidiary during the three months ended June 30, 2020. However, as described in Note 17, as a result of IT’SUGAR’s filing petitions for Chapter 11 bankruptcy and the related deconsolidation of IT’SUGAR, the loans held by the subsidiary of BBXRE are no longer eliminated in consolidation and are included in investment in and advances to IT’SUGAR in the Company’s statement of financial condition as of September 30, 2020. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Sep. 30, 2020 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | 8. Revenue Recognition The table below sets forth the Company’s revenue disaggregated by category (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Trade sales - wholesale $ 22,256 18,664 $ 61,529 59,024 Trade sales - retail 13,436 26,939 38,099 73,653 Sales of real estate inventory 4,970 370 14,248 5,030 Revenue from customers 40,662 45,973 113,876 137,707 Interest income 387 178 586 674 Net gains on sales of real estate assets 164 399 130 11,395 Other revenue 992 1,142 2,398 3,052 Total revenues $ 42,205 47,692 $ 116,990 152,828 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2020 | |
Income Taxes [Abstract] | |
Income Taxes | 9. Income Taxes BBX Capital and its subsidiaries were included in the consolidated federal income and certain state income tax returns of BVH through the date of the spin-off from BVH. The accompanying condensed consolidated financial statements allocates taxable income to the Company as if the Company was a separate taxpayer under the separate return basis. Effective income tax rates for interim periods are based upon the Company’s current estimated annual rate, which varies based upon the Company’s estimate of taxable earnings or loss and the mix of taxable earnings or loss in the various states in which the Company operates. The Company’s effective tax rate was applied to income or loss before income taxes reduced by net income attributable to noncontrolling interests in joint ventures taxed as partnerships. In addition, the Company recognizes taxes related to unusual or infrequent items or resulting from a change in judgment regarding a position taken in a prior period as discrete items in the interim period in which the event occurs. The Company’s effective income tax rate was approximately 17% and 22% during the three and nine months ended September 30, 2020, respectively. The Company’s effective income tax rate for the three months ended September 30, 2020 was different than the expected federal income tax rate of 21% due to the impact of a change in the Company’s forecasted operating results for the annual period , which resulted in the reversal of the tax benefit recognized during the six months ended June 30, 2020. The Company’s effective income tax rate was approximately 29% during the three and nine months ended September 30, 2019. The Company’s effective income tax rate for the three and n i ne months ended September 30, 2020 was different than the expected federal income tax rate of 21% due to the impact of t he Company’s nondeductible executive compensation and state income taxes. |
Commitments And Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | 1 0 . Commitments and Contingencies Litigation In the ordinary course of business, B BX Capital and its subsidiaries are parties to lawsuits as plaintiff or defendant involving its operations and activities. Additionally, from time to time in the ordinary course of business, the Company is involved in disputes with existing and former employees, vendors, taxing jurisdictions, and various other parties and also receive individual consumer complaints as well as complaints received through regulatory and consumer agencies. The Company takes these matters seriously and attempts to resolve any such issues as they arise. The Company may also become subject to litigation related to the COVID-19 pandemic, including with respect to any actions we take or may be required to take as a result thereof. Reserves are accrued for matters in which management believes it is probable that a loss will be incurred and the amount of such loss can be reasonably estimated. Management does not believe that the aggregate liability relating to known contingencies in excess of the aggregate amounts accrued will have a material impact on the Company’s results of operations or financial condition. However, litigation is inherently uncertain, and the actual costs of resolving legal claims, including awards of damages, may be substantially higher than the amounts accrued for these claims and may have a material adverse impact on the Company’s results of operations or financial condition. Adverse judgments and the costs of defending or resolving legal claims may be substantial and may have a material adverse impact on the Company’s financial statements. Management is not at this time able to estimate a range of reasonably possible losses with respect to matters in which it is reasonably possible that a loss will occur. In certain matters, management is unable to estimate the loss or reasonable range of loss until additional developments provide information sufficient to support an assessment of the loss or reasonable range of loss. Frequently in these matters, the claims are broad, and the plaintiffs have not quantified or factually supported their claim. In October 2020, Renin incurred approximately $6.0 million in costs for the expedited shipment of products to Renin from a foreign supplier and an additional $2.0 million in costs for the expedited shipment of product displays from the same supplier. The supplier had failed to deliver both the products and displays on the contractually agreed upon delivery schedule, and Renin incurred these costs, which were significantly in excess of the shipping costs that would have been incurred had such products been delivered on schedule, based on its belief that the costs were necessary in order for Renin to meet its obligations to one of its customers. The products were committed to be sold by Renin in connection with the customer’s November 2020 holiday sale program, while the displays were required in connection with the rollout of new products with the customer. Renin believes that the supplier is liable for such costs pursuant to the terms of the agreements between Renin and the supplier, and Renin has notified the supplier that it intends to exercise a right of offset of the costs against outstanding amounts due to the supplier of approximately $6.0 million. The costs of the products and related shipping will be recognized in connection with sale to the customer during the fourth quarter of 2020, while the costs of the displays and related shipping will be deferred and amortized over the period in which the Company expects to benefit from their use. Although Renin’s right of offset may reduce a portion of the shipping costs incurred related to the products and displays, the supplier may dispute Renin’s offset and seek collection for amounts otherwise due to it, and there is no assurance regarding the ultimate resolution of the matter. This matter may adversely impact Renin’s compliance with the financial covenants under its outstanding credit facility. If Renin is unable to comply with its covenants, Renin would be required to seek a waiver from the bank, and if unable to obtain a waiver, might lose availability under its line of credit, be required to provide additional collateral, or repay all or a portion of its borrowings, any of which could have a material adverse effect on the Company’s liquidity, financial position, and results. Other Commitments and Guarantees BBX Capital guarantees certain obligations of its wholly-owned subsidiaries and unconsolidated real estate joint ventures, including the following: · BBX Capital is a guarantor of 50% of the outstanding balance of a third party loan to the Sunrise and Bayview Partners, LLC real estate joint venture, which had an outstanding balance of $5.0 million as of September 30, 2020. · BBX Capital is a guarantor on certain notes payable by its wholly-owned subsidiaries. See Note 7 for additional information regarding these obligations. |
Rights Agreement And Earnings P
Rights Agreement And Earnings Per Share | 9 Months Ended |
Sep. 30, 2020 | |
Rights Agreement And Earnings Per Share [Abstract] | |
Rights Agreement And Earnings Per Share | 11 . Rights Agreement and Earnings per Share Rights Agreement On September 2 5 , 20 20 , the Company adopted a rights agreement (“Rights Agreement”) in light of the significant market volatility and uncertainties associated with the COVID-19 pandemic and the impact on the Company and the market price of BBX Capital’s Class A Common Stock and Class B Common Stock. The Rights Agreement provides a deterrent to shareholders from acquiring a 5% or greater ownership interest in BBX Capital’s Class A Common Stock , Class B Common Stock or total combined common stock without the prior approval of the board of directors. Earnings per Share The weighted average shares outstanding for basic and diluted earnings per share for the three and nine months ended September 30, 2020 and 2019 reflect the 19,317,687 shares distributed on September 30, 2020 to the Company’s shareholders. |
Noncontrolling Interests
Noncontrolling Interests | 9 Months Ended |
Sep. 30, 2020 | |
Noncontrolling Interests [Abstract] | |
Noncontrolling Interests | 12. Noncontrolling Interests The redeemable noncontrolling interest included in the Company’s condensed consolidated statements of financial condition as of December 31, 2019 of $4.0 million is comprised of a redeemable noncontrolling interest associated with IT’SUGAR. The Company owns 90.4% of IT’SUGAR’s Class B Units, while the remaining 9.6% of such units are a noncontrolling interest held by an executive officer of IT’SUGAR and may be redeemed for cash at the holder’s option upon a contingent event outside of the Company’s control. As a result of IT’SUGAR filing the Bankruptcy Cases and the related deconsolidation of IT’SUGAR by the Company, the Company derecognized the redeemable noncontrolling interest in IT’SUGAR. See Note 17 for additional discussion. The noncontrolling interest as of September 30, 2020 and December 31, 2019 included in the Company’s condensed consolidated statements of financial condition of $0.2 million and $1.0 million is comprised of a 47% noncontrolling equity interest in a restaurant the Company acquired through foreclosure. |
Fair Value Measurement
Fair Value Measurement | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Measurement [Abstract] | |
Fair Value Measurement | 13. Fair Value Measurement Fair value is defined as the price that would be received on the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. There are three main valuation techniques to measure the fair value of assets and liabilities: the market approach, the income approach and the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The income approach uses financial models to convert future amounts to a single present amount and includes present value and option-pricing models. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset and is often referred to as current replacement cost. Accounting standards define an input fair value hierarchy that has three broad levels and gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The input fair value hierarchy is summarized below: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities Level 2: Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability Level 3: Unobservable inputs for the asset and liability Other than the measurement of certain reporting units and long-lived assets as further described in Note 6, there were no material assets or liabilities measured at fair value on a recurring or nonrecurring basis in the Company’s condensed consolidated financial statements as of September 30, 2020 and December 31, 2019. Financial Disclosures about Fair Value of Financial Instruments The tables below set forth information regarding the Company’s consolidated financial instruments (in thousands): Fair Value Measurements Using Quoted prices Carrying in Active Significant Amount Fair Value Markets Other Significant As of As of for Identical Observable Unobservable September 30, September 30, Assets Inputs Inputs 2020 2020 (Level 1) (Level 2) (Level 3) Financial assets: Cash and cash equivalents $ 96,592 96,592 96,592 — — Restricted cash 250 250 250 — — Note receivable from Bluegreen Vacations Holding Corporation 75,000 75,000 — — 75,000 Financial liabilities: Notes payable and other borrowings 36,000 39,913 — — 39,913 Fair Value Measurements Using Quoted prices Carrying in Active Significant Amount Fair Value Markets Other Significant As of As of for Identical Observable Unobservable December 31, December 31, Assets Inputs Inputs 2019 2019 (Level 1) (Level 2) (Level 3) Financial assets: Cash and cash equivalents $ 20,723 20,723 20,723 — — Restricted cash 529 529 529 — — Financial liabilities: Notes payable and other borrowings 42,736 45,669 — — 45,669 The amounts reported in the condensed consolidated statements of financial condition for cash and cash equivalents and restricted cash approximate fair value. The fair value of the Company’s note receivable from BVH approximates fair value as the note was issued on September 30, 2020. The fair value of the Company’s Community Development Bonds, which are included in notes payable and other borrowings above, is measured using the market approach with Level 3 inputs obtained based on estimated market prices of similar financial instruments. The fair values of the Company’s other borrowings (other than the Community Development Bonds above) are measured using the income approach with Level 3 inputs obtained by discounting the forecasted cash flows based on estimated market rates. The Company’s financial instruments also include trade accounts receivable, accounts payable, and accrued liabilities. The carrying amount of these financial instruments approximate their fair values due to their short-term maturities. The Company is exposed to credit related losses in the event of non-performance by counterparties to the financial instruments with a maximum exposure equal to the carrying amount of the assets. The Company’s exposure to credit risk consists of accounts receivable balances. |
Certain Relationships And Relat
Certain Relationships And Related Party Transactions | 9 Months Ended |
Sep. 30, 2020 | |
Certain Relationships And Related Party Transactions [Abstract] | |
Certain Relationships And Related Party Transactions | 14. Certain Relationships and Related Party Transactions The Company paid Parent $0.5 million and $1.9 million during the three and nine months ended September 30, 2020, respectively, and $0.2 million and $0.4 million during the three and nine months ended September 30, 2019, for management advisory and employer provided medical insurance. The Company reimbursed Parent the actual cost of providing the services. Included in other revenues in the Company’s condensed consolidated statements of operations and comprehensive loss or income for both the three and nine months ended September 30, 2020 and September 30, 2019 was $0.2 million and $0.6 million, respectively, received by the Company for risk management consulting services provided to Parent and Bluegreen. As of September 30, 2020, the Company had $0.1 million due, and as of December 31, 2019, no amounts due, from Bluegreen for these services. Expenses related to certain support functions paid for by Parent, including executive services, treasury, tax, accounting, legal, internal audit, human resources, public and investor relations, general management, shared information technology systems, corporate governance activities, and centralized managed employee benefit arrangements, were allocated to the Company on the basis of direct usage when identifiable, while the remainder of the expenses, including costs related to executive compensation, were allocated primarily on a pro-rata basis of combined revenues and equity in earnings of unconsolidated joint ventures of the Parent and its subsidiaries. The expenses related to these support functions allocated to the Company and included in selling, general and administrative expenses in the Company’s condensed consolidated statements of operations and comprehensive loss for the three and nine months ended September 30, 2020 were $4.8 million and $12.7 million , respectively, and $5.4 million and $16.7 million for the three and nine months ended September 30, 2019, respectively. The allocated support function costs were recognized as contributed capital in the Company’s condensed consolidated statements of financial condition for the three and nine months ended September 30, 2020 and 2019. The Company was previously a party to an Agreement to Allocate Consolidated Income Tax Liability and Benefits with Parent , Bluegreen, and Woodbridge . Under this tax sharing agreement, the parties calculate d their respective income tax liabilities and attributes as if each of them was a separate filer. If any tax attributes were used by another party to the agreement to offset its tax liability, the party providing the benefit w ould receive an amount for the tax benefits realized. As of September 30, 2020 and December 31, 2019, $0 and $2.8 million, respectively, was due to Parent in accordance with the tax sharing agreement. This tax sharing agreement was terminated with respect to the Company upon the consummation of the spin-off. Upon the consummation of the spin-off, all agreements with Parent were terminated and replaced with a Transition Services Agreement, Tax Matters Agreement, and Employee Matters Agreement. The Transition Services Agreement generally sets out the respective rights, responsibilities and obligations of Parent and BBX Capital with respect to the support services to be provided to one another after the spin-off, as may be necessary to ensure an orderly transition. The Transition Services Agreement establishes a baseline charge for certain categories or components of services to be provided, which will be at cost unless the parties mutually agree to a different charge. The Transition Services Agreement w as effective on September 30, 2020 and will continue for a minimum term of one year, provided that after that year, Parent or BBX Capital may terminate the Transition Services Agreement with respect to any or all services provided thereunder at any time upon thirty (30) days prior written notice to the other party. Either party may renew or extend the term of the Transition Services Agreement with respect to the provision of any service which has not been previously terminated. The Tax Matters Agreement generally sets out the respective rights, responsibilities , and obligations of Parent and BBX Capital with respect to taxes (including taxes arising in the ordinary course of business and taxes incurred as a result of the spin-off), tax attributes, tax returns, tax contests , and certain other related tax matters. The Tax Matters Agreement allocates responsibility for the preparation and filing of certain tax returns (and the payment of taxes reflected thereon). Under the Tax Matters Agreement, Parent will generally be liable for its own taxes and taxes of all of its subsidiaries (other than the taxes of BBX Capital and its subsidiaries, for which BBX Capital shall be liable) for all tax periods (or portion thereof) ending on September 30, 2020, the effective date of the spin-off . BBX Capital will be responsible for its taxes, including for taxes of its subsidiaries, as well as for taxes of Parent arising as a result of the spin-off (including any taxes resulting from an election under Section 336(e) of the Internal Revenue Code of 1986, as amended (the “Code”) in connection with the spin-off). BBX Capital will bear liability for any transfer taxes incurred in the spin-off. Each of Parent and BBX Capital will indemnify each other against any taxes to the extent paid by one party but allocated to the other party under the Tax Matters Agreement, or arising from any breach of its covenants thereunder, and related out-of-pocket costs and expenses. The Employee Matters Agreement sets out the respective rights, responsibilities , and obligations of Parent and BBX Capital with respect to the transfer of certain employees of the businesses of BBX Capital and related matters, including benefit plans, terms of employment, retirement plans and other employment-related matters. Under the Employee Matters Agreement, BBX Capital or its subsidiaries will generally assume or retain responsibility as employer of employees whose duties primarily relate to their respective businesses as well as all obligations and liabilities with respect thereto. As further described in Note 1, in connection with the spin-off, Parent also issued a $75.0 million note payable to BBX Capital that accrues interest at a rate of 6% per annum and requires payments of interest on a quarterly basis. The components of net transfers from/to Parent in the condensed consolidated statements of changes in equity consisted of the following (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Cash pooling $ (5,426) (34,171) 81,581 (72,714) Corporate overhead allocations 4,767 5,445 12,694 16,712 Asset transfers 75,175 — 75,320 — Net transfers from (to) parent $ 74,516 (28,726) 169,595 (56,002) |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting | 15. Segment Reporting Operating segments are defined as components of an enterprise about which separate financial information is available that is regularly reviewed by the chief operating decision maker (“CODM”) in assessing performance and deciding how to allocate resources. Reportable segments consist of one or more operating segments with similar economic characteristics, products and services, production processes, type of customer, distribution system or regulatory environment. The information provided for segment reporting is obtained from internal reports utilized by the Company’s CODM, and the presentation and allocation of assets and results of operations may not reflect the actual economic costs of the segments as standalone businesses. If a different basis of allocation were utilized, the relative contributions of the segments might differ, but the relative trends in the segments’ operating results would, in management’s view, likely not be materially impacted. The Company’s reportable segments are its principal holdings : BBX Capital Real Estate, BBX Sweet Holdings, and Renin. See Note 1 for a description of the Company’s reportable segments. In the segment information for the three and nine months ended September 30, 2020 and 2019, amounts set forth in the column entitled “Other” include the Company’s investments in various operating businesses, including a controlling financial interest in a restaurant acquired in connection with a loan receivable default. The amounts set forth in the column entitled “Reconciling Items and Eliminations” include unallocated corporate general and administrative expenses. The Company evaluates segment performance based on segment income or loss before income taxes. The table below sets forth the Company’s segment information as of and for the three months ended September 30, 2020 (in thousands): Revenues: BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Trade sales $ — 15,166 19,662 864 — 35,692 Sales of real estate inventory 4,970 — — — — 4,970 Interest income 419 2 — — (34) 387 Net gains on sales of real estate assets 164 — — — — 164 Other revenue 329 77 — 610 (24) 992 Total revenues 5,882 15,245 19,662 1,474 (58) 42,205 Costs and expenses: Cost of trade sales — 11,678 15,927 376 — 27,981 Cost of real estate inventory sold 3,367 — — — — 3,367 Interest expense — 54 53 4 (111) - Recoveries from loan losses, net (807) — — — — (807) Impairment losses — — — — — — Selling, general and administrative expenses 1,715 8,483 2,135 280 5,497 18,110 Total costs and expenses 4,275 20,215 18,115 660 5,386 48,651 Equity in net loss of unconsolidated real estate joint ventures (646) — — — — (646) Loss on the deconsolidation of IT'SUGAR, LLC — (3,326) — — — (3,326) Other income — 81 — — — 81 Foreign exchange loss — — (58) — — (58) Income (loss) before income taxes $ 961 (8,215) 1,489 814 (5,444) (10,395) Total assets $ 160,442 26,108 36,894 6,707 157,296 387,447 Expenditures for property and equipment $ — 196 247 15 — 458 Depreciation and amortization $ — 1,323 260 26 — 1,609 Debt accretion and amortization $ 70 5 4 — — 79 Cash and cash equivalents $ 24,066 610 1,168 941 69,807 96,592 Real estate equity method investments $ 60,648 — — — — 60,648 Goodwill $ — — — — — — Notes payable and other borrowings $ 29,597 1,427 4,929 47 — 36,000 The table below sets forth the Company’s segment information as of and for the three months ended September 30, 2019 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 28,051 16,442 1,111 (1) 45,603 Sales of real estate inventory 370 — — — — 370 Interest income 166 12 — — — 178 Net gains on sales of real estate assets 399 — — — — 399 Other revenue 197 115 — 888 (58) 1,142 Total revenues 1,132 28,178 16,442 1,999 (59) 47,692 Costs and expenses: Cost of trade sales — 17,229 12,983 493 (1) 30,704 Cost of real estate inventory sold — — — — — — Interest expense — 45 131 8 (66) 118 Recoveries from loan losses, net (1,821) — — — — (1,821) Impairment losses 37 — — — — 37 Selling, general and administrative expenses 2,336 11,086 2,849 1,612 5,311 23,194 Total costs and expenses 552 28,360 15,963 2,113 5,244 52,232 Equity in net earnings of unconsolidated real estate joint ventures 28,534 — — — — 28,534 Other income — 67 — — — 67 Foreign exchange gain — — 1 — — 1 Income (loss) before income taxes $ 29,114 (115) 480 (114) (5,303) 24,062 Total assets $ 147,712 166,311 32,103 8,491 1,864 356,481 Expenditures for property and equipment $ 1 3,801 79 174 — 4,055 Depreciation and amortization $ — 1,519 303 193 — 2,015 Debt accretion and amortization $ 22 55 6 2 — 85 Cash and cash equivalents $ 21,781 3,629 — 525 — 25,935 Real estate equity method investments $ 53,739 — — — — 53,739 Goodwill $ — 35,521 — 1,727 — 37,248 Notes payable and other borrowings $ 32,009 1,867 8,394 400 — 42,670 The table below sets forth the Company’s segment information as of and for the nine months ended September 30, 2020 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 41,743 54,283 3,602 — 99,628 Sales of real estate inventory 14,248 — — — — 14,248 Interest income 604 29 — — (47) 586 Net gains on sales of real estate assets 130 — — — — 130 Other revenue 1,116 281 — 1,083 (82) 2,398 Total revenues 16,098 42,053 54,283 4,685 (129) 116,990 Costs and expenses: Cost of trade sales — 35,493 44,054 607 — 80,154 Cost of real estate inventory sold 9,473 — — — — 9,473 Interest expense — 170 238 9 (417) — Recoveries from loan losses, net (5,844) — — — — (5,844) Impairment losses 2,710 25,303 — 2,727 — 30,740 Selling, general and administrative expenses 5,176 25,123 6,788 3,572 13,365 54,024 Total costs and expenses 11,515 86,089 51,080 6,915 12,948 168,547 Equity in net earnings of unconsolidated real estate joint ventures 50 — — — — 50 Loss on the deconsolidation of IT'SUGAR, LLC — (3,326) — — — (3,326) Other income (expense) — 195 (3) — — 192 Foreign exchange gain — — 214 — — 214 Income (loss) before income taxes $ 4,633 (47,167) 3,414 (2,230) (13,077) (54,427) Expenditures for property and equipment $ — 3,120 852 60 — 4,032 Depreciation and amortization $ — 4,108 880 77 — 5,065 Debt accretion and amortization $ 223 167 13 — — 403 The table below sets forth the Company’s segment information as of and for the nine months ended September 30, 2019 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 76,039 51,124 5,514 — 132,677 Sales of real estate inventory 5,030 — — — — 5,030 Interest income 631 43 — — — 674 Net gains on sales of real estate assets 11,395 — — — — 11,395 Other revenue 1,321 210 — 1,751 (230) 3,052 Total revenues 18,377 76,292 51,124 7,265 (230) 152,828 Costs and expenses: Cost of trade sales — 48,862 40,989 1,994 — 91,845 Cost of real estate inventory sold 2,643 — — — — 2,643 Interest expense — 143 387 11 (132) 409 Recoveries from loan losses, net (4,206) — — — — (4,206) Impairment losses 37 — — — — 37 Selling, general and administrative expenses 6,709 31,860 8,326 5,136 16,473 68,504 Total costs and expenses 5,183 80,865 49,702 7,141 16,341 159,232 Equity in net earnings of unconsolidated real estate joint ventures 37,276 — — — — 37,276 Other income 171 292 152 6 — 621 Foreign exchange loss — — (23) — — (23) Income (loss) before income taxes $ 50,641 (4,281) 1,551 130 (16,571) 31,470 Expenditures for property and equipment $ 4 6,387 284 548 — 7,223 Depreciation and amortization $ 93 4,252 897 260 — 5,502 Debt accretion and amortization $ 133 167 23 3 — 326 |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2020 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | 16. Discontinued Operations As described in Note 1, FFTRG previously entered into area development and franchise agreements with MOD Pizza related to the development of MOD Pizza franchised restaurant locations throughout Florida and, through 2019, had opened nine restaurant locations. In September 2019, the Company entered into an agreement with MOD Pizza to terminate the area development and franchise agreements and transferred seven of its restaurant locations, including the related assets, operations, and lease obligations, to MOD Pizza. In addition, the Company closed the remaining two locations and terminated the related lease agreements. FFTRG’s operations as a franchisee of MOD Pizza are presented as discontinued operations in the Company’s condensed consolidated financial statements. The carrying amount of major classes of assets and liabilities included as part of discontinued operations is as follows (in thousands): September 30, December 31, 2020 2019 ASSETS Cash and cash equivalents $ — 35 Operating lease assets — 772 Other assets — 185 Discontinued operations total assets $ — 992 LIABILITIES AND EQUITY Liabilities: Accounts payable $ — 2 Accrued expenses — 134 Operating lease liability — 905 Discontinued operations total liabilities $ — 1,041 The major components of loss from discontinued operations are as follows (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Revenues: Trade sales $ — 2,057 — 6,044 Other revenue — 31 — 89 Total revenues — 2,088 — 6,133 Costs and Expenses: Cost of trade sales — 1,156 — 2,452 Depreciation, amortization and accretion, net — 183 — 690 Impairment losses — 3,993 71 6,749 Selling, general and administrative expenses — 1,585 20 5,715 Total costs and expenses — 6,917 91 15,606 Pre-tax loss from discontinued operations $ — (4,829) (91) (9,473) The following are the major components of the statement of cash flows from discontinued operations (in thousands): For the Nine Months Ended September 30, 2020 2019 Operating activities: Pre-tax loss from discontinued operations $ (91) (9,473) Adjustment to reconcile pre-tax loss to net cash used in operating activities: Depreciation, amortization and accretion, net — 690 Impairment losses 71 6,749 Decrease in trade inventory — 64 Decrease in other assets 94 470 Change in operating lease assets and liabilities (113) (269) Decrease in accounts payable (2) (57) Decrease in accrued expenses (134) (540) Net cash used in operating activities $ (175) (2,366) Investing activities: Cash paid for intangible assets $ — (40) Purchases of property and equipment — (542) Net cash used in investing activities $ — (582) |
IT'SUGAR Bankruptcy
IT'SUGAR Bankruptcy | 9 Months Ended |
Sep. 30, 2020 | |
IT'SUGAR Bankruptcy [Abstract] | |
IT'SUGAR Bankruptcy | 17. IT’SUGAR Bankruptcy On September 22, 2020, IT’SUGAR and its subsidiaries filed voluntary petitions to reorganize under Chapter 11 of the Bankruptcy Code. As a result of the filings, the uncertainties surrounding the nature, timing , and specifics of the bankruptcy proceedings , and the Company’s resulting loss of control and significant influence over IT’SUGAR , the Company determined that IT’SUGAR is a VIE in which the Company is not the primary beneficiary and deconsolidated IT’SUGAR in connection with the filings. In connection with the deconsolidation of IT’SUGAR, the Company recognized a noncontrolling equity investment in IT’SUGAR at its estimated fair value of $12.7 million and a $3.3 million loss based upon the difference between the carrying amount of IT’SUGAR (including its asset and liabilities and the redeemable noncontrolling interest in it) and the Company’s estimated fair value of its noncontrolling equity investment. The noncontrolling equity investment in IT’SUGAR will subsequently be accounted for at cost less impairment. Equity investments are accounted for at cost less impairment when the investor does not have significant influence over the investee and the equity investment has no readily determinable fair value. Under this method, equity investments are accounted for at historical cost and adjusted if there is evidence that the fair market value of the equity investment has declined below the historical cost. IT’SUGAR’ s assets, liabilities, results of operations and cash flows through September 22 , 20 20 continue to be include d as continuing operations in the Company’s financial statements, as the Company continues to hold a substantive equity investment in IT’SUGAR. Additionally, as a result of the Company deconsolidating IT’SUGAR, IT’SUGAR’s $6.2 million notes payable to the Company are no longer eliminated in consolidation and are included in investments in and advances to IT’SUGAR in the Company’s statement of financial condition as of September 30, 2020. The following table summarizes the assets, liabilities , and net equity of IT’SUGAR as of September 22 , 20 20 , the date it was deconsolidated from the Company’s financial statements: IT'SUGAR Balance Sheet September 22, (in thousands) 2020 ASSETS Cash and cash equivalents $ 1,045 Restricted cash 20 Trade accounts receivable, net 103 Trade inventory 6,213 Property and equipment, net 22,162 Goodwill 14,864 Intangible assets, net 3,222 Operating lease assets 64,889 Other assets 1,707 Total assets $ 114,225 LIABILITIES AND EQUITY Liabilities: Accrued expenses 13,441 Operating lease liabilities 80,388 Notes payable and other borrowings 6,199 Total liabilities 100,028 Equity: Additional paid-in capital 59,809 Accumulated earnings (50,102) Noncontrolling interests 4,490 Total equity 14,197 Total liabilities and equity $ 114,225 Included in total liabilities in the above table are approximately $11.7 million of pre-petition liabilities, of which $7.7 million are pre-petition lease payments and $4.0 million are pre-petition obligations to other creditors, including supplies and vendors. Under the Bankruptcy Code, d ebtors may assume, assign or reject executory contracts and unexpired leases subject to the approval of the Bankruptcy Court and certain other conditions. Generally, the rejection of an executory contract or unexpired lease is treated as a prepetition breach of such executory contract or unexpired lease and, subject to certain exceptions, relieves the d ebtors of performing their future obligations under such executory contract or unexpired lease but entitles the contract counterparty or lessor to a pre-petition general unsecured claim for damages caused by such deemed breach subject, in the case of the rejection of unexpired leases of real property, to certain caps on damages. Counterparties to such rejected contracts or leases may assert unsecured claims in the Bankruptcy Court against the applicable d ebtor’s estate for such damages. Generally, the assumption or assumption and assignment of an executory contract or unexpired lease requires the d ebtors to cure existing monetary defaults under such executory contract or unexpired lease and provide adequate assurance of future performance. In connection with IT’SUGAR’s Bankruptcy Cases, on October 7, 2020, IT’SUGAR obtained a $4.0 million DIP credit facility from a subsidiary of the Company that was approved by the Bankruptcy Court on an interim basis pending a final hearing. As of November 9, 2020, $2.0 million had been funded to IT’SUGAR. The principal amount outstanding under the DIP facility bears interest at the LIBOR daily floating rate plus 1.50% with monthly interest only payments until the full payment of all principal outstanding. The maturity date is the earliest of (a) 365 days from the p etition d ate; (b) the effective date of a plan of reorganization or liquidation; (c) the consummation of a sale(s) of all or substantially all of the assets of IT’SUGAR ; (d) the occurrence of an Event of Default (as defined in the loan agreement) ; and (e) the entry of an order by the Bankruptcy Court approving or authorizing any alternative or additional debtor-in-possession financing. Notwithstanding the foregoing, the Company may, in its sole discretion, agree in writing with IT’SUGAR , to a later m aturity d ate . |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | 18. Subsequent Events Subsequent events have been evaluated through the date the financial statements were available to be issued. As of such date, there were no material subsequent events identified that required recognition or disclosure other than as disclosed below or in the footnotes herein. Stock Repurchase Program On October 20, 2020, BBX Capital’s Board of Directors authorized the repurchase of up to $10 million of shares of BBX Capital’s Class A Common Stock and Class B C ommon S tock. The timing, price, and number of shares repurchased will be based on market conditions, applicable securities laws, and other factors. The stock repurchases may be made from time to time through solicited or unsolicited transactions in the open market or in privately negotiated transactions. The stock repurchase authorization does not obligate the Company to repurchase any specific number of shares and may be suspended, modified, or terminated at any time without prior notice. Acquisition of Colonial Elegance On October 22, 2020, Renin acquired substantially all of the assets and assumed certain of the liabilities (the “Acquisition”) of Colonial Elegance. Colonial Elegance , which is h eadquartered in Montreal, Canada, is a supplier and distributor of building products, including barn doors, closet doors, and stair parts, and its customers include various big box retailers in the United States and Canada. The base purchase price for the Acquisition was CAD $51.0 million (approximately USD $39.0 million), substantially all of which was paid in cash by Renin at closing. In addition to the base purchase price, Renin acquired estimated excess working capital held by Colonial Elegance above an agreed upon target working capital amount of CAD $13.0 million (approximately USD $9.9 million) for CAD $6.7 million (approximately USD $5.1 million), of which CAD $1.3 million (approximately USD $1.0 million) was held back by Renin at closing. T he final working capital adjustment amount will be determined by Renin and Colonial Elegance during the 90 day period following closing and may result in the payment of additional amounts to Colonial Elegance, including the release of all or a portion of the working capital adjustment holdback, or a refund to Renin (if the estimated working capital adjustment at closing exceeds the actual working capital adjustment by an amount in excess of the working capital adjustment holdback). The Company made a $5.0 million capital contribution to Renin to partially fund the Acquisition, while the remainder of the Acquisition was funded by Renin using borrowings under the 2020 TD Bank Credit Facility (as defined and described below). The Acquisition was consummated pursuant to an Asset Purchase Agreement, dated October 22, 2020, between Renin Canada Corp., a wholly-owned subsidiary of Renin , and Colonial Elegance (the “Asset Purchase Agreement”). The Asset Purchase Agreement contains representations, warranties, and covenants believed to be customary for a transaction of this nature, including covenants as to indemnification for breaches of certain representations, warranties and covenants, subject to certain exclusions and caps. Renin has obtained a representations and warranties insurance policy under which Renin may seek coverage for breaches of certain of Colonial Elegance’s representations, warranties, and covenants in the Asset Purchase Agreement, subject to certain exclusions, retention amounts, policy limits, and other terms and conditions. Amended and Restated TD Bank Credit Facility In connection with the Acquisition, on October 22, 2020, Renin Canada Corp. and Renin US LLC, each of which is a wholly-owned subsidiary of Renin, entered into a credit agreement (the “2020 TD Bank Credit Facility”) with TD Bank, which amended and restated their existing facility with TD Bank initially entered into in May 2017. The 2020 TD Bank Credit Facility includes a $30.0 million term loan (the “Term Loan”) and an operating loan of up to $20.0 million (the “Operating Loan”) and matures in October 2025 . $30.0 million of proceeds from the Term Loan and approximately $8.0 million of borrowings under the Operating Loan were used to fund most of the purchase price and excess working capital payment related to the Acquisition, as described above. Amounts outstanding under the Term Loan and Operating Loan bear interest at (i) the Canadian Prime Rate plus a spread between 1.375% to 1.875% per annum, (ii) the United States Base Rate plus a spread between 1.00% to 1.50% per annum, or (iii) LIBOR or Canadian Bankers Acceptance Rate, in each case plus a spread between 2.875% to 3.375% per annum, with the spreads applicable to each rate depending on Renin’s total leverage. In addition to ongoing payments of interest under the Term Loan and Operating Loan, the Term Loan requires quarterly payments of principal based on a stated percentage of the original principal amount of $30.0 million, with approximately 37.5% of the original principal amount due at maturity in October 2025 . Pursuant to the terms and conditions of the 2020 TD Bank Credit Facility, Renin is required to comply with certain financial covenants, including a maximum total leverage ratio and a minimum total fixed charge coverage ratio determined quarterly. The 2020 TD Bank Credit Facility also contains other affirmative and negative covenants believed to be customary, including those that may, among other things, limit Renin’s ability to make distributions to the Company and engage in certain transactions, including asset acquisitions or dispositions, mergers, consolidations, and similar transactions. Renin has guaranteed the obligations of the borrowers under the 2020 TD Bank Credit Facility, and the 2020 TD Bank Credit Facility is collateralized by all of Renin’s assets. In addition, the Company entered into a Pledge Agreement pursuant to which it pledged all of its membership interests in Renin as security for the borrower’s obligations under the 2020 TD Bank Credit Facility. |
Organization And Basis Of Fin_2
Organization And Basis Of Financial Statement Presentation (Policy) | 9 Months Ended |
Sep. 30, 2020 | |
Organization And Basis Of Financial Statement Presentation [Abstract] | |
Organization | Organization BBX Capital, Inc. and its subsidiaries (the “Company” or, unless otherwise indicated or the context otherwise requires, “we,” “us,” or “our”) is a Florida-based diversified holding company. BBX Capital, Inc. as a standalone entity without its subsidiaries is referred to as “BBX Capital.” Prior to September 30, 2020, the Company was a wholly owned subsidiary of Bluegreen Vacations Holding Corporation (“Parent” or “BVH”), which was formerly known as BBX Capital Corporation. Spin-Off from BVH Prior to September 30, 2020, BVH was a Florida-based diversified holding company whose principal holdings were Bluegreen Vacations Corporation (“Bluegreen”), BBX Capital Real Estate LLC (“BBX Capital Real Estate” or “BBXRE”), BBX Sweet Holdings, LLC (“BBX Sweet Holdings”), and Renin Holdings, LLC (“Renin”). On September 30, 2020, BVH completed the spin-off of the Company, which separated BVH’s business, activities, and investments into two separate, publicly-traded companies: (i) BVH, which continues to hold its investment in Bluegreen, and (ii) BBX Capital, which continues to hold all of BVH’s other businesses and investments, including BBX Capital Real Estate, BBX Sweet Holdings, and Renin. The spin-off was consummated on September 30, 2020 with the distribution by BVH to its shareholders all of the outstanding shares of BBX Capital’s Common Stock through the distribution of one share of BBX Capital’s Class A Common Stock for each share of its Class A Common Stock held on September 22, 2020, the record date for the distribution, and one share of BBX Capital’s Class B Common Stock for each share of its Class B Common Stock held on the record date. Accordingly, as of the close of business on September 30, 2020, BVH ceased to have an ownership interest in the Company, and BVH’s shareholders who received shares of BBX Capital’s Common Stock in the distribution became shareholders of the Company following the spin-off. In connection with the spin-off, BBX Capital was converted from a Florida limited liability company into a Florida corporation and changed its name from BBX Capital Florida LLC to BBX Capital, Inc., and BVH changed its name from BBX Capital Corporation to Bluegreen Vacations Holding Corporation. In addition, in connection with the spin-off, BVH issued a $75.0 million note payable to the Company that accrues interest at a rate of 6% per annum and requires payments of interest on a quarterly basis. Under the terms of the note, BVH will have the option in its discretion to defer interest payments under the note, with interest on the entire outstanding balance thereafter to accrue at a cumulative, compounded rate of 8% per annum until such time as BVH is current on all accrued payments under the note, including deferred interest. All outstanding amounts under the note will become due and payable in five years or earlier upon certain other events. In October 2020, BBX Capital’s Class A Common Stock commenced trading on the OTCQX Best Market under the ticker symbol “BBXIA,” and its Class B Common Stock commenced trading on the OTC Pink Market under the ticker symbol “BBXIB.” BBX Capital has two classes of common stock. Holders of BBX Capital’s Class A Common Stock are entitled to one vote per share, which in the aggregate represents 22% of the combined voting power of BBX Capital’s Class A Common Stock and the Class B Common Stock. BBX Capital’s Class B Common Stock represents the remaining 78% of the combined vote. As of September 30, 2020, the percentage of total common equity represented by the Class A and Class B Common Stock was 81% and 19% , respectively. BBX Capital’s Class B Common Stock is convertible into its Class A Common Stock on a share for share basis at any time at the option of the holder. |
Principal Holdings | Principal Holdings BBX Capital’s principal holdings include BBX Capital Real Estate, BBX Sweet Holdings, and Renin. BBX Capital Real Estate BBX Capital Real Estate is engaged in the acquisition, development, construction, ownership, financing, and management of real estate and investments in real estate joint ventures, including investments in multifamily rental apartment communities, single-family master-planned for sale housing communities, and commercial properties located primarily in Florida. In addition, BBX Capital Real Estate owns a 50% equity interest in The Altman Companies, LLC (the “Altman Companies”), a developer and manager of multifamily rental apartment communities, and manages the legacy assets acquired in connection with the Company’s sale of BankAtlantic in 2012, including portfolios of loans receivable, real estate properties, and judgments against past borrowers. BBX Sweet Holdings BBX Sweet Holdings is engaged in the ownership and management of operating businesses in the confectionery industry, including Hoffman’s Chocolates, a retailer of gourmet chocolates with retail locations in South Florida, and Las Olas Confections and Snacks, a manufacturer and wholesaler of chocolate and other confectionery products. BBX Sweet Holdings also owns approximately 93% of the equity interests in IT’SUGAR, a specialty candy retailer whose products include bulk candy, candy in giant packaging, and licensed and novelty items. Prior to September 22, 2020, the Company consolidated the financial statements of IT’SUGAR and its subsidiaries as a result of its 93% ownership of IT’SUGAR. However, as further discussed below, IT’SUGAR and its subsidiaries filed voluntary petitions to reorganize under Chapter 11 of Title 11 of the U.S. Code (the “Bankruptcy Code”) in the U.S. Bankruptcy Court for the Southern District of Florida on September 22, 2020, and the Company deconsolidated IT’SUGAR as a result of the filings and the uncertainties surrounding the nature, timing, and specifics of the bankruptcy proceedings. Renin Renin is engaged in the design, manufacture, and distribution of sliding doors, door systems and hardware, and home décor products and operates through its headquarters in Canada and two manufacturing and distribution facilities in the United States and Canada. In addition to its own manufacturing, Renin also sources various products and raw materials from China and Vietnam. Other In addition to its principal holdings, the Company has investments in other operating businesses, including a restaurant located in South Florida that was acquired through a loan foreclosure and an insurance agency. In 2016, Food for Thought Restaurant Group (“FFTRG”), a wholly-owned subsidiary of the Company, entered into area development and franchise agreements with MOD Pizza related to the development of up to approximately 60 MOD Pizza franchised restaurant locations throughout Florida. Through 2019, FFTRG had opened nine restaurant locations. As a result of FFTRG’s overall operating performance and the Company’s goal of streamlining its investment verticals, the Company entered into an agreement with MOD Pizza to terminate the area development and franchise agreements and transferred seven of its restaurant locations, including the related assets, operations, and lease obligations, to MOD Pizza in September 2019. In addition, the Company closed the remaining two locations and terminated the related lease agreements. FFTRG’s operations as a franchisee of MOD Pizza are presented as discontinued operations in the Company’s condensed consolidated financial statements. |
Basis of Financial Statement Presentation | Basis of Financial Statement Presentation The accompanying condensed consolidated financial statements of the Company include the combined financial statements of BBX Capital and its subsidiaries, including BBX Capital Real Estate, BBX Sweet Holdings, Renin, and FFTRG, as well as certain subsidiaries in which ownership was transferred from Parent in connection with the spin-off transaction described above. Other than the Company’s statement of financial condition as of September 30, 2020, which reflects the condensed consolidated statement of financial condition of BBX Capital and its subsidiaries, these condensed consolidated financial statements have been derived from the accounting records of Parent and these companies and should be read with the accompanying notes thereto. Further, the condensed consolidated financial statements do not necessarily reflect what the results of operations, financial position, or cash flows would have been had the Company been a separate entity nor are they indicative of the future results of the Company. The accompanying condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Accordingly, these financial statements do not include all of the information and disclosures required by GAAP for complete financial statements. Financial statements prepared in conformity with GAAP require the Company to make estimates based on assumptions about current and, for some estimates, future economic and market conditions which affect reported amounts and related disclosures in the Company’s financial statements. Due to, among other things, the impact and potential future impact of the ongoing COVID-19 pandemic, which is discussed in more detail below, actual conditions could differ from the Company’s expectations and estimates, which could materially affect the Company’s results of operations and financial condition. The severity, magnitude, and duration, as well as the economic consequences, of the COVID-19 pandemic, are uncertain, rapidly changing, and difficult to predict. As a result, the Company’s accounting estimates and assumptions may change over time in response to the COVID-19 pandemic. Such changes could result in, among other adjustments, future impairments of intangibles, long-lived assets, and investments in unconsolidated subsidiaries and future reserves for inventory and receivables. The majority of the assets, liabilities, revenues, expenses, and cash flows of the Company have been identified based on the existing legal entities. However, the historical costs and expenses reflected in the financial statements also include an allocation for certain corporate and shared service functions that were historically provided by Parent prior to the spin-off. These expenses have been allocated to the Company on the basis of direct usage when identifiable, while the remainder of the expenses, including costs related to executive compensation, were allocated primarily on a pro-rata basis of combined revenues and equity in earnings of unconsolidated joint ventures of Parent and its subsidiaries. However, the allocation of corporate expenses excludes costs specific to the spin-off and the acceleration of compensation expense in connection with the spin-off. The Company believes that the assumptions underlying the condensed consolidated financial statements, including the assumptions regarding the allocation of general corporate expenses from Parent, are reasonable. However, the condensed consolidated financial statements may not include all of the actual expenses that would have been incurred had the Company been operating as a standalone company during the periods presented. Actual costs that would have been incurred if the Company operated as a standalone company would depend on multiple factors, including organizational structure, technology infrastructure, and strategic direction. In addition, following the spin-off on September 30, 2020, the Company also incurs additional costs associated with being a public company that are not reflected in the accompanying condensed consolidated financial statements. These unaudited condensed consolidated financial statements and related notes are presented as permitted by Form 10-Q and should be read in conjunction with the Company’s audited combined carve-out financial statements and footnotes thereto included in the Company’s Information Statement, dated August 27, 2020, attached as Exhibit 99.1 to the Company’s Registration Statement on Form 10 filed with the SEC on August 27, 2020 (the “Form 10 Information Statement”). The condensed consolidated financial statements include the accounts of BBX Capital’s wholly-owned subsidiaries, other entities in which BBX Capital or its wholly-owned subsidiaries hold controlling financial interests, and any variable interest entities (“VIEs”) in which BBX Capital or one of its consolidated subsidiaries is deemed the primary beneficiary of the VIE. All significant inter-company accounts and transactions have been eliminated in consolidation. |
Impact of the COVID-19 Pandemic | Impact of the COVID-19 Pandemic The COVID-19 pandemic has resulted in an unprecedented disruption in the U.S. and global economies and the industries in which the Company operates due to, among other things, government ordered “shelter in place” and “stay at home” orders and advisories, travel restrictions, and restrictions on business operations, including government guidance and restrictions with respect to travel, public accommodations, social gatherings, and related matters, as well as the general public’s reaction to the pandemic. The disruptions arising from the pandemic and the reaction of the general public had a significant adverse impact on the Company's financial condition and operations during the three and nine months ended September 30, 2020. The duration and severity of the pandemic and related disruptions, as well as the adverse impact on economic and market conditions, are uncertain; however, given the nature of these circumstances, the adverse impact of the pandemic on the Company’s condensed consolidated results of operations, cash flows, and financial condition in 2020 has been, and is expected to continue to be, material. Furthermore, although the duration and severity of the effects of the pandemic are uncertain, demand for many of the Company’s products and services may remain weak for a significant length of time, and the Company cannot predict if or when the industries in which the Company operates will return to pre-pandemic levels. Although the impact of the COVID-19 pandemic on the Company’s principal holdings and management’s efforts to mitigate the effects of the pandemic has varied, as described in further detail below, BBX Capital and its subsidiaries have sought to take steps to manage expenses through cost saving initiatives and reductions in employee head count and actions to increase liquidity and strengthen the Company’s financial position, including reducing planned capital expenditures. As of September 30, 2020, the Company’s consolidated cash balances were $96.6 million. BBX Capital Real Estate Although BBXRE has not to date been as significantly impacted by the COVID-19 pandemic as BBX Sweet Holdings, BBXRE’s operations have been impacted by the pandemic, and it is expected that its operations will continue to be impacted by the pandemic in future periods. While recent construction activities have continued at BBXRE’s existing projects and sales at its single-family home developments have generally returned to pre-pandemic levels following some disruptions in March and April 2020, the effects of the pandemic, including increased unemployment and economic uncertainty generally and in the real estate and credit markets in particular, as well as increases in the number of COVID-19 cases in Florida and throughout the United States, have impacted rental activities at BBXRE’s multifamily apartment developments and increased uncertainty relating to the expected timing and pricing of future sales of multifamily apartment developments, single-family homes, and developed lots at BBXRE’s Beacon Lake Community, as well as the timing and financing of new multifamily apartment developments. While the Company expects that the impact of the COVID-19 pandemic will adversely affect BBXRE’s operating results and financial condition for the year ended December 31, 2020, primarily with respect to the expected timing of sales, the Company evaluated various factors, including asset-specific factors, overall economic and market conditions, and the excess of the expected profits associated with real estate assets in relation to their carrying amounts, and concluded that, except as discussed below, there had not been a significant decline in the fair value of most of BBXRE’s real estate assets as of September 30, 2020 that should be recognized as an impairment loss. As part of this evaluation, the Company considered the sales at its single-family home developments (which have returned to pre-pandemic levels), continued collection of rent at its multifamily apartment developments, and indications that there has not to date been a significant decline in sales prices for single family homes or an increase in capitalization rates for multifamily apartment communities. However, the Company recognized $2.7 million of impairment losses during the nine months ended September 30, 2020 primarily related to a decline in the estimated fair values of certain of BBXRE’s investments in joint ventures, including i) a joint venture that is developing an office tower, as the market for office space has been more significantly impacted by the pandemic compared to the single family and multifamily markets in which BBXRE primarily invests, and ii) a joint venture invested in a multifamily apartment community in which BBXRE purchased its interest following the stabilization of the underlying asset at a purchase price calculated based on assumptions related to the timing and pricing of the sale of the asset, both of which have been impacted by the pandemic. There is no assurance that the real estate market will not be materially adversely impacted by the pandemic or otherwise, that the sales prices of single-family homes will not materially decline, that rents will be paid when due or at all, or that market rents will not materially decline. Further, while government efforts to delay or forestall evictions and the availability of judicial remedies have not to date materially impacted BBXRE’s operations, they may in the future have an adverse impact on both market values and BBXRE’s operating results. In addition, the effects of the pandemic may impact the costs of operating BBXRE’s real estate assets, including, but not limited to, an increase in property insurance costs indicated by recently obtained quotes of insurance costs that are higher than pre-pandemic levels, which could also have an adverse impact on market values and BBXRE’s operating results. BBXRE will continue to monitor economic and market conditions and may recognize further impairment losses in future periods as a result of various factors, including, but not limited to, material declines in overall real estate values, sales prices for single family homes, and/or rental rates for multifamily apartments. The Altman Companies and Related Investments To date, the COVID-19 pandemic has not significantly impacted construction activities which remain ongoing at the existing projects sponsored by the Altman Companies, and as a result, the Altman Companies continues to generate development and general contractor fees from such projects. In addition, through September 30, 2020, the Altman Companies had collected in excess of 97% of the rents at the multifamily apartment communities under its management. While its leasing activities were conducted virtually during March through May 2020, the Altman Companies has reopened its leasing offices for visits by appointment. Although the Altman Companies experienced a decline in tenant demand and in the volume of new leases during the second quarter of 2020, it generally experienced an increase in the volume of new leases at its communities during the third quarter of 2020. However, in an effort to maintain occupancy at its stabilized communities and increase occupancy at its communities under development, commencing in the second quarter and through the third quarter of 2020, the Altman Companies offered an increased number of concessions to prospective and renewing tenants. The impact of the COVID-19 pandemic on the economy remains uncertain, and the effects of the pandemic, including a prolonged economic downturn, high unemployment, the expiration of or a decrease in government benefits to individuals, and government-mandated moratoriums on tenant evictions, could ultimately have a longer term and more significant impact on rental rates, occupancy levels, and rent collections, including an increase in tenant delinquencies and/or requests for rent abatements. These effects would impact the amount of rental revenues generated from the multifamily apartment communities sponsored and managed by the Altman Companies, the extent of management fees earned by the Altman Companies, and the ability of the related joint ventures to stabilize and successfully sell such communities. Furthermore, a decline in rental revenues at developments sponsored by the Altman Companies could require it, as the sponsor and managing member, to fund operating shortfalls in certain circumstances. Further, while there are indications that the capitalization rates for multifamily apartment communities similar to those sponsored and managed by the Altman Companies have generally remained steady, the impact of the COVID-19 pandemic on economic conditions in general, including uncertainty regarding the severity and duration of such impact, has adversely impacted the level of real estate sales activity and overall credit markets and may ultimately have a significant adverse impact on capitalization rates and real estate values in future periods, particularly if there is a prolonged economic downturn. If there is a significant adverse impact on real estate values as a result of lower rental revenues, higher capitalization rates, or otherwise, the joint ventures sponsored by the Altman Companies may be unable to sell their respective multifamily apartment developments within the time frames previously anticipated and/or for the previously forecasted sales prices, if at all, which may impact the profits expected to be earned by BBXRE from its investment in the managing member of such projects and the ability of the joint ventures to repay or refinance construction loans on such projects and could result in the recognition of impairment losses related to BBXRE’s investment in such projects. Furthermore, the Altman Companies may be unable to close on the equity and/or debt financing necessary to commence the construction of new projects, including the development of Altis at Lake Willis, which could result in increased operating losses at the Altman Companies due to a decline in development, general contractor, and management fees, the recognition of impairment losses by BBXRE and/or the Altman Companies related to their current investments in predevelopment expenditures and land acquired for development, and the recognition of impairment losses related to BBXRE’s overall investment in the Altman Companies, as the profitability and value of the Altman Companies is directly correlated with its ability to source new development opportunities. Beacon Lake Master Planned Development Following the initial outbreak of COVID-19 in March 2020, unaffiliated homebuilders at the Beacon Lake Community experienced a decline in the volume of sales traffic and home sales and requested extensions of their existing agreements for the purchase of additional developed lots from BBXRE, and BBXRE agreed to such extensions. Subsequently, sales activity significantly increased in May 2020 and generally returned to pre-pandemic levels subsequent to May 2020. Based on that activity, BBXRE currently expects the sale of the remaining developed lots to occur pursuant to its purchase agreements with the homebuilders under the modified takedown schedules. However, there is no assurance that this will be the case, and the effects of the COVID-19 pandemic on the economy and demand for single-family housing remain uncertain and could result in further requests by homebuilders to extend the timing of their purchase of developed lots and/or failure of the homebuilders to meet their obligations under these contracts. In addition, a decline in home prices as a result of the economic impacts associated with the COVID-19 pandemic could result in a decrease in contractually owed contingent revenues expected to be earned by BBXRE in connection with sales of homes by homebuilders on developed lots previously sold to them, as well as a decrease in the expected sales prices for the unsold lots comprising the remainder of the Beacon Lakes Community. Although BBXRE does not currently expect that there will be a significant decrease in the sales prices or fair value of its unsold lots, a significant decline in the demand and pricing for single-family homes could result in the recognition of impairment losses in future periods. BBX Sweet Holdings IT’SUGAR In March 2020, as a result of various factors, including government-mandated closures and CDC and WHO advisories in connection with the COVID-19 pandemic, IT’SUGAR closed all of its retail locations and furloughed all store employees and the majority of its corporate employees. Between May 2020 and September 2020, IT’SUGAR reopened nearly all of its approximately 100 locations that were open prior to the pandemic as part of a phased reopening plan which included revised store floor plans, increased sanitation protocols, and the gradual recall of furloughed store and corporate employees to full or part-time employment. However, from time to time, IT’SUGAR has been required to close previously reopened locations as a result of various factors, including government- mandated closures and staffing shortages. IT’SUGAR ceased paying rent to the landlords of its closed locations in April 2020 and engaged in negotiations with its landlords for rent abatements, deferrals, and other modifications for both the period of time that the locations were closed and the subsequent period that the locations have been opened and operating under conditions which have been affected by the pandemic. In addition to its unpaid rental obligations, IT’SUGAR ceased paying various outstanding obligations to its vendors. Although IT’SUGAR was able to reopen its retail locations and received an advance of $2.0 million from a subsidiary of BBX Capital (as further described in Note 7), IT’SUGAR was unable to maintain sufficient liquidity to sustain its operations as i) it was unable to obtain significant rent abatements or deferrals from its landlords and amended payment terms from its vendors and ii) its sales volumes had not sufficiently improved and stabilized following the reopening of its locations. In particular, a lthough a significant portion of its retail locations were reopened during the three months ended September 30, 2020, IT’SUGAR’s total revenues for the period declined by approximately 50.4% as compared to the comparable period in 2019. As a result, on September 22, 2020, IT’SUGAR and its subsidiaries filed voluntary petitions to reorganize under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Florida (the “Bankruptcy Court”) (the cases commenced by such filings, the “Bankruptcy Cases”). Under Section 362 of the Bankruptcy Code, the filing of bankruptcy petitions automatically stays most actions against IT’SUGAR, including most actions to collect pre-petition indebtedness or to exercise control of the property of IT’SUGAR. Accordingly, absent an order of the Bankruptcy Court, substantially all pre-petition liabilities will be subject to settlement under a plan of reorganization, as further described below. In order to successfully exit the Chapter 11 Bankruptcy Cases, IT’SUGAR will need to propose, and obtain confirmation by the Bankruptcy Court of, a plan of reorganization or liquidation (the “Reorganization Plan”) that satisfies the requirements of the Bankruptcy Code. The Reorganization Plan will determine the rights and claims of various creditors and security holders, and under the priority rules established by the Bankruptcy Code, certain post-petition liabilities and pre-petition liabilities will be given priority over pre-petition indebtedness and need to be satisfied before unsecured creditors or stockholders are entitled to any distribution. As provided by the Bankruptcy Code, IT’SUGAR initially has the exclusive right to solicit a plan and plans to submit a Reorganization Plan to the Bankruptcy Court in the near future. In connection with the Chapter 11 Bankruptcy Cases, the Office of the United States Trustee, a division of the Department of Justice, has appointed an official committee of unsecured creditors (the “Creditors’ Committee”), which has a right to be heard on all matters that come before the Bankruptcy Court, including the confirmation of the Reorganization Plan. If IT’SUGAR fails to file a Reorganization Plan or if the Bankruptcy Court does not confirm a Reorganization Plan filed by IT’SUGAR, the Bankruptcy Cases could be converted to cases under Chapter 7 of the Bankruptcy Code. Under Chapter 7 bankruptcy cases, a trustee would be appointed to collect IT’SUGAR’s assets, reduce them to cash, and distribute the proceeds to IT’SUGAR’s creditors in accordance with the statutory scheme of the Bankruptcy Code. Alternatively, if IT’SUGAR’s Reorganization Plan is not confirmed by the Bankruptcy Court, in lieu of the conversion of the Bankruptcy Cases to Chapter 7 bankruptcy cases, the Bankruptcy Court could dismiss the Bankruptcy Cases. At the current time, IT’SUGAR is continuing to operate its retail locations under the supervision of the Bankruptcy Court and Creditors’ Committee and is negotiating with its creditors in relation to a proposed Reorganization Plan and the terms of amendments to the lease agreements associated with its retail locations. In addition, as further described in Note 17, in October 2020, IT’SUGAR obtained a $4.0 million “debtor in possession” (“DIP”) credit facility from a subsidiary of BBX Capital that was approved by the Bankruptcy Court on an interim basis pending a final hearing. As of November 9, 2020, $2.0 million had been funded to IT’SUGAR under the DIP credit facility . At this time, it is not possible to predict the ultimate effect of the reorganization process on IT’SUGAR’s business and creditors or when, or if, IT’SUGAR may emerge from bankruptcy. While the reorganization process may improve IT’SUGAR’s result of operations, cash flows, and financial condition if it obtains relief in relation to its pre-petition liabilities and it is able to negotiate amendments to its lease agreements that lower its ongoing occupancy costs, there is no assurance that it will obtain such relief, and the ultimate impact of the Bankruptcy Cases and the reorganization process on IT’SUGAR and its results of operations, cash flows, or financial condition remains uncertain. Further, the effects of the COVID-19 pandemic on demand, sales levels, and consumer behavior, as well as the current recessionary economic environment, have had and could continue to have a material adverse effect on IT’SUGAR’s business, results of operations, and financial condition during the bankruptcy proceedings and thereafter. As a result of IT’SUGAR filing the Chapter 11 Bankruptcy Cases and the uncertainties surrounding the nature, timing, and specifics of the bankruptcy proceedings, the Company deconsolidated IT’SUGAR as of September 22, 2020 and recognized a loss of $3.3 million during the three and nine months ended September 30, 2020 in connection with the deconsolidation, as further described in Note 17. Prior to the deconsolidation of IT’SUGAR, the Company recognized $25.3 million of impairment losses during the nine months ended September 30, 2020 related to IT’SUGAR’s goodwill and long-lived assets a s a result of the effects of the pandemic, including the recognition of a goodwill impairment loss of $20.3 million based on a decline in the estimated fair value of IT’SUGAR. The decline in the estimated fair value of IT’SUGAR during the nine months ended September 30, 2020 as compared to the Company’s prior valuation of IT’SUGAR as of December 31, 2019 reflected the impact on the Company’s estimated future cash flows of the temporary closure of IT’SUGAR’s retail locations commencing in March 2020, including the liabilities incurred by IT’SUGAR during the shutdown, and considered scenarios in which IT’SUGAR’s business and sales volumes would stabilize following the phased reopening of its retail locations. The Company’s estimated discount rate applicable to IT’SUGAR’s cash flows was also increased to reflect, among other things, changes in market conditions, the uncertainty of the duration and severity of the economic downturn, uncertainty related to the retail environment and consumer behavior, uncertainty related to IT’SUGAR’s ability to stabilize its operations and implement its long-term strategies for its business, and the deterioration in IT’SUGAR’s financial condition as a result of the effects of the COVID-19 pandemic, including its lack of sufficient liquidity for its operations during 2020. The Company’s assessment of IT’SUGAR’s assets for impairment, as well as its estimate of the fair value of its investment in IT’SUGAR in connection with the deconsolidation of IT’SUGAR, required the Company to make estimates based on facts and circumstances as of each reporting date and assumptions about current and future economic and market conditions. These assumptions included the stabilization of IT’SUGAR following a phased reopening of its retail locations in 2020 and its ability to access and operate in its retail locations in spite of ongoing negotiations with the landlords of these locations related to unpaid rents. Further, the Company’s estimated fair value of its investment in IT’SUGAR at the time of its filing of Bankruptcy Cases included assumptions related to relief of pre-petition obligations and improved occupancy costs as a result of renegotiated lease agreements for its retail locations. In addition, the Company’s estimates assumed that there would not be a material permanent decline in the demand for IT’SUGAR’s products and that IT’SUGAR will ultimately in the future return to its full operations and implement its long-term strategy to reinvest in and grow its business. However, as it is difficult to predict i) the severity, magnitude, and duration, as well as the economic consequences, of the COVID-19 pandemic, which are uncertain and rapidly changing and may involve the re-implementation of government mandated closures or operating restrictions, and ii) the ultimate outcome of IT’SUGAR’s Chapter 11 Bankruptcy Cases, these estimates and assumptions may change over time, which may result in the recognition of additional impairment losses related to the Company’s investment in IT’SUGAR that would be material to the Company’s financial statements. Changes in assumptions that could materially impact the Company’s estimates related to IT’SUGAR that could result in the recognition of impairment losses in future periods include, but are not limited to, IT’SUGAR’s Chapter 11 Bankruptcy Cases being converted to Chapter 7 bankruptcy cases, IT’SUGAR not obtaining expected relief during the reorganization, a material permanent decline in demand for IT’SUGAR’s products, IT’SUGAR abandoning its long-term strategy to reinvest and grow its business as a result of changes in consumer demand, and significant additional closures following the initial reopening of locations as a result of additional outbreaks of COVID-19. See Note 6 for additional information with respect to the recognition of impairment losses related to IT’SUGAR. Hoffman’s Chocolates and Las Olas Confections and Snacks In addition to the material adverse impact of the COVID-19 pandemic on IT’SUGAR’s operations, BBX Sweet Holdings’ other operations have also been impacted by the pandemic. In March 2020, Hoffman’s Chocolates closed all of its retail locations to customer traffic and limited sales to curbside pickup (where allowable by government mandates) and online customers, and during the three months ended June 30, 2020, it commenced a phased reopening of its locations to customer traffic. As of July 1, 2020, Hoffman’s Chocolates had reopened all of its locations, and its sales volumes during the three months ended September 30, 2020 were approximately 71% of pre-pandemic levels (as compared to the comparable period in 2019). Although Las Olas Confections and Snacks experienced a decline in sales through the second quarter of 2020, its manufacturing and distribution processes were not materially impacted by the pandemic, and its sales during the nine months ended September 30, 2020 were approximately 92% of pre-pandemic levels (as compared to the comparable period in 2019). Hoffman’s Chocolates and Las Olas Confections and Snacks have also been engaged in negotiations with the landlords of their respective retail and manufacturing locations for rent abatements, deferrals, and other modifications. As of September 30, 2020, Hoffman’s Chocolates and Las Olas Confections and Snacks had accrued and unpaid current rental obligations of $0.2 million, which are included in other liabilities in the Company’s condensed consolidated statement of financial condition, and they had executed lease amendments with respect to 6 of these locations, including Las Olas Confections and Snacks’ manufacturing facility in Orlando, Florida. There is no assurance that the sales volumes of these businesses will improve, and they may be required to close previously reopened locations as a result of governments reimplementing mandated closures or otherwise. There is also no assurance that Hoffman’s Chocolates will be able to execute a lease amendment with the landlord of its remaining location for which an agreement has yet to be reached, and due to the uncertainty related to these businesses as a result of the pandemic, there is no assurance they will be in a position to meet their obligations under the terms of lease agreements and amendments that have been executed or are otherwise being negotiated. Renin As of September 30, 2020, Renin ha d not been significantly impacted by the COVID-19 pandemic, and it has continued to operate both of its manufacturing and distribution facilities, source various products and raw materials from China and Vietnam, and sell its products through various channels. Further, in October 2020, Renin acquired substantially all of the assets and assumed certain of the liabilities of Colonial Elegance Inc. (“Colonial Elegance”), a supplier and distributor of building products, including barn doors, closet doors, and stair parts , that is headquartered in Montreal, Canada , for a base purchase price of CAD $51.0 million (approximately USD $39.0 million). See Note 18 for additional information related to the acquisition, including i) Renin’s acquisition of excess working capital held by Colonial Elegance for CAD $6.7 million (approximately USD $5.1 million) and ii) the expansion of its existing credit facility with TD Bank to partially fund the acquisition. Although Renin has experienced a decline in sales to certain customers as a result of concerns related to the pandemic, these declines have been offset by an increase in sales through its retail and commercial channels. However, as a result of the pandemic, Renin has experienced increased costs related to the shipment of products and raw materials, which has impacted its product costs and gross margin. Although Renin’s operations ha d not been significantly impacted by the pandemic as of September 30, 2020 , the effects of the pandemic, including a recessionary economic environment, could have a significant adverse impact on Renin’s results of operations and financial condition in future periods, particularly if an economic downturn is prolonged in nature and impacts consumer demand or the effects of the pandemic result in material disruptions in the supply chains for its products and raw materials, including additional delays in the production and shipment of products and raw materials from foreign suppliers and continued increases in shipping costs. Further, while Renin has begun to diversify its supply chain and transfer the assembly of certain products from foreign suppliers to its own manufacturing facilities, Renin continues to source products and raw materials from China. As a result, disruptions in its supply chain from China as a result of various factors, including increased tariffs or closures or delays in the supply chain, could have a material impact on Renin’s cost of product and ability to meet customer demand. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) has issued the following Accounting Standards Updates (“ASU”) and guidance relevant to the Company’s operations which were adopted as of January 1, 2020: ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments (as subsequently amended and clarified by various ASUs). This standard introduces an approach of estimating credit losses on certain types of financial instruments based on expected losses and expands the disclosure requirements regarding an entity’s assumptions, models, and methods for estimating its allowance for credit losses. The standard also requires entities to record an allowance for credit losses for available for sale debt securities rather than reduce the carrying amount under the other-than temporary impairment model. In addition, the standard requires entities to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination (i.e., by vintage year). The Company adopted this standard on January 1, 2020 using a modified retrospective method and did not recognize a cumulative effect adjustment upon adoption of the standard as the Company’s trade receivables are generally due 30 to 60 days from the date of the invoice with minimal historical loss experience. The Company’s loans receivable are legacy loans from its sale of BankAtlantic that have been written down to the collateral value less cost to sell with interest recognized on a cash basis. As such, the adoption of the standard did not have a material impact on the Company’s condensed consolidated financial statements. ASU No. 2018-13, Fair Value Measurement (Topic 820), Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. This standard modifies the disclosure requirements in Topic 820 related to the valuation techniques and inputs used in fair value measurements, uncertainty in measurement, and changes in measurements applied. This standard was effective for the Company on January 1, 2020, and the adoption of the standard did not have a material impact on the Company’s consolidated financial statements and disclosures. |
Future Adoption of Recently Issued Accounting Pronouncements | Future Adoption of Recently Issued Accounting Pronouncements The FASB has issued the following accounting pronouncements and guidance relevant to the Company’s operations which had not been adopted by the Company as of September 30, 2020: ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. This standard removes specific exceptions to the general principles in Topic 740 including exceptions related to (i) the incremental approach for intraperiod tax allocations, (ii) accounting for basis differences when there are ownership changes in foreign investments, and (iii) interim period income tax accounting for year-to-date losses that exceed anticipated losses. The statement is effective for the Company on January 1, 2021 and interim periods within that fiscal year. Early adoption is permitted. The Company is currently evaluating the impact that this standard may have on its consolidated financial statements. ASU No. 2020-04 Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This standard provides relief for companies preparing for discontinuation of LIBOR in response to the Financial Conduct Authority (the regulatory authority over LIBOR) plan for a phase out of regulatory oversight of LIBOR interest rate indices after 2021 to allow for an orderly transition to an alternate reference rate. The Alternative Reference Rates Committee (“ARRC”) has proposed that the Secured Overnight Financing Rate (“SOFR”) is the rate that represents best practice as the alternative to LIBOR for promissory notes or other contracts that are currently indexed to LIBOR. The ARRC has proposed a market transition plan to SOFR from LIBOR, and organizations are currently working on transition plans as it relates to derivatives and cash markets exposed to LIBOR. The Company currently has a LIBOR indexed line of credit which has a balance of $4.9 million and matures after 2021. Although companies can apply this standard immediately, the guidance will only be available for a limited time, generally through December 31, 2022. The Company is currently evaluating the potential impact that the eventual replacement of the LIBOR benchmark interest rate could have on its results of operations, liquidity and consolidated financial statements and the related impact that this standard may have on its consolidated financial statements. |
Trade Receivables (Tables)
Trade Receivables (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Trade Receivables [Abstract] | |
Schedule Of Trade Receivables | September 30, December 31, 2020 2019 Trade receivables $ 15,599 13,274 Allowance for bad debts (262) (170) Total trade receivables $ 15,337 13,104 |
Trade Inventory (Tables)
Trade Inventory (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Trade Inventory [Abstract] | |
Summary Of Inventory | September 30, December 31, 2020 2019 Raw materials $ 3,828 3,048 Paper goods and packaging materials 1,449 1,327 Finished goods 11,074 18,468 Total trade inventory $ 16,351 22,843 |
Real Estate (Tables)
Real Estate (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Real Estate [Abstract] | |
Schedule Of Real Estate | September 30, December 31, 2020 2019 Real estate held-for-sale $ 9,342 11,297 Real estate held-for-investment 6,024 6,015 Real estate inventory 44,129 48,506 Total real estate $ 59,495 65,818 |
Investments In And Advances T_2
Investments In And Advances To Unconsolidated Real Estate Joint Ventures (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments In And Advances To Unconsolidated Real Estate Joint Ventures [Abstract] | |
Investments In Unconsolidated Real Estate Joint Ventures | September 30, December 31, 2020 2019 Altis at Grand Central Capital, LLC $ 2,472 $ 2,653 Altis Promenade Capital, LLC 1,977 2,126 Altis at Bonterra - Hialeah, LLC — 618 Altis Ludlam - Miami Investor, LLC 9,378 1,081 Altis Suncoast Manager, LLC 1,102 753 Altis Pembroke Gardens, LLC 311 1,277 Altis Fairways, LLC 1,657 1,880 Altis Wiregrass, LLC 163 1,792 Altis LH-Miami Manager, LLC 837 811 Altis Vineland Pointe Manager, LLC 5,355 4,712 Altis Miramar East/West 2,794 2,631 The Altman Companies, LLC 15,589 14,745 ABBX Guaranty, LLC 3,750 3,750 Sunrise and Bayview Partners, LLC 1,450 1,562 PGA Design Center Holdings, LLC 3 996 CCB Miramar, LLC 7,168 5,999 BBX/Label Chapel Trail Development, LLC 153 1,126 L03/212 Partners, LLC 2,179 2,087 PGA Lender, LLC 2 2,111 Sky Cove, LLC 4,146 4,178 All other investments in real estate joint ventures 162 442 Total $ 60,648 $ 57,330 |
Condensed Statements Of Operations For Equity Method Joint Ventures | For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Total revenues $ — 927 — 4,479 Gain on sale of real estate — 33,608 — 33,608 Other expenses — (813) — (4,339) Net earnings $ — 33,722 — 33,748 Equity in net earnings of unconsolidated real estate joint venture - Altis at Bonterra - Hialeah, LLC $ — 29,100 — 29,100 |
Condensed Statements Of Financial Condition For Equity Method Joint Ventures | September 30, December 31, 2020 2019 Assets Cash $ — 855 Real estate — 559 Other assets — — Total assets $ — 1,414 Liabilities and Equity Notes payable $ — — Other liabilities — 751 Total liabilities — 751 Total equity — 663 Total liabilities and equity $ — 1,414 |
Impairments (Tables)
Impairments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Impairments [Abstract] | |
Schedule Of Changes In Goodwill | For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Balance, beginning of period $ 14,864 37,248 $ 37,248 37,248 Deconsolidation of IT'SUGAR (14,864) — (14,864) — Impairment losses — — (22,384) — Balance, end of period $ — 37,248 $ — 37,248 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt [Abstract] | |
Notes Payable And Other Borrowings | September 30, 2020 December 31, 2019 Carrying Carrying Amount of Amount of Debt Interest Pledged Debt Interest Pledged Balance Rate Assets Balance Rate Assets Community Development District Obligations $ 30,536 4.25 -6.00% $ 44,129 $ 29,287 4.25 -6.00% $ 49,352 TD Bank Term Loan and Line of Credit 4,929 3.46% (1) 6,826 5.00% (1) Banc of America Leasing & Capital Equipment Note — — — 355 4.75% (2) Bank of America Revolving Line of Credit — — — 2,000 3.24% — Unsecured Note (3) — — — 3,400 6.00% — Centennial Bank Note (4) 1,439 5.25% 1,854 1,469 5.25% 1,892 Other 47 15.00% — 223 15.00% — Unamortized debt issuance costs (951) (824) Total notes payable and other borrowings $ 36,000 $ 42,736 (1) The collateral is a blanket lien on Renin’s assets. (2) The collateral is a security interest in the equipment financed by the underlying note. Additionally, IT’SUGAR is guarantor of the note. (3) Parent was the guarantor of the note prior to BBXRE’s repayment of the note in December 2019. (4) BBX Capital is guarantor of the note. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue Recognition [Abstract] | |
Disaggregated Revenue | For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Trade sales - wholesale $ 22,256 18,664 $ 61,529 59,024 Trade sales - retail 13,436 26,939 38,099 73,653 Sales of real estate inventory 4,970 370 14,248 5,030 Revenue from customers 40,662 45,973 113,876 137,707 Interest income 387 178 586 674 Net gains on sales of real estate assets 164 399 130 11,395 Other revenue 992 1,142 2,398 3,052 Total revenues $ 42,205 47,692 $ 116,990 152,828 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Measurement [Abstract] | |
Financial Disclosures About Fair Value Of Financial Instruments | Fair Value Measurements Using Quoted prices Carrying in Active Significant Amount Fair Value Markets Other Significant As of As of for Identical Observable Unobservable September 30, September 30, Assets Inputs Inputs 2020 2020 (Level 1) (Level 2) (Level 3) Financial assets: Cash and cash equivalents $ 96,592 96,592 96,592 — — Restricted cash 250 250 250 — — Note receivable from Bluegreen Vacations Holding Corporation 75,000 75,000 — — 75,000 Financial liabilities: Notes payable and other borrowings 36,000 39,913 — — 39,913 Fair Value Measurements Using Quoted prices Carrying in Active Significant Amount Fair Value Markets Other Significant As of As of for Identical Observable Unobservable December 31, December 31, Assets Inputs Inputs 2019 2019 (Level 1) (Level 2) (Level 3) Financial assets: Cash and cash equivalents $ 20,723 20,723 20,723 — — Restricted cash 529 529 529 — — Financial liabilities: Notes payable and other borrowings 42,736 45,669 — — 45,669 |
Certain Relationships And Rel_2
Certain Relationships And Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Certain Relationships And Related Party Transactions [Abstract] | |
Components Of Net Transfers | For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Cash pooling $ (5,426) (34,171) 81,581 (72,714) Corporate overhead allocations 4,767 5,445 12,694 16,712 Asset transfers 75,175 — 75,320 — Net transfers from (to) parent $ 74,516 (28,726) 169,595 (56,002) |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | The table below sets forth the Company’s segment information as of and for the three months ended September 30, 2020 (in thousands): Revenues: BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Trade sales $ — 15,166 19,662 864 — 35,692 Sales of real estate inventory 4,970 — — — — 4,970 Interest income 419 2 — — (34) 387 Net gains on sales of real estate assets 164 — — — — 164 Other revenue 329 77 — 610 (24) 992 Total revenues 5,882 15,245 19,662 1,474 (58) 42,205 Costs and expenses: Cost of trade sales — 11,678 15,927 376 — 27,981 Cost of real estate inventory sold 3,367 — — — — 3,367 Interest expense — 54 53 4 (111) - Recoveries from loan losses, net (807) — — — — (807) Impairment losses — — — — — — Selling, general and administrative expenses 1,715 8,483 2,135 280 5,497 18,110 Total costs and expenses 4,275 20,215 18,115 660 5,386 48,651 Equity in net loss of unconsolidated real estate joint ventures (646) — — — — (646) Loss on the deconsolidation of IT'SUGAR, LLC — (3,326) — — — (3,326) Other income — 81 — — — 81 Foreign exchange loss — — (58) — — (58) Income (loss) before income taxes $ 961 (8,215) 1,489 814 (5,444) (10,395) Total assets $ 160,442 26,108 36,894 6,707 157,296 387,447 Expenditures for property and equipment $ — 196 247 15 — 458 Depreciation and amortization $ — 1,323 260 26 — 1,609 Debt accretion and amortization $ 70 5 4 — — 79 Cash and cash equivalents $ 24,066 610 1,168 941 69,807 96,592 Real estate equity method investments $ 60,648 — — — — 60,648 Goodwill $ — — — — — — Notes payable and other borrowings $ 29,597 1,427 4,929 47 — 36,000 The table below sets forth the Company’s segment information as of and for the three months ended September 30, 2019 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 28,051 16,442 1,111 (1) 45,603 Sales of real estate inventory 370 — — — — 370 Interest income 166 12 — — — 178 Net gains on sales of real estate assets 399 — — — — 399 Other revenue 197 115 — 888 (58) 1,142 Total revenues 1,132 28,178 16,442 1,999 (59) 47,692 Costs and expenses: Cost of trade sales — 17,229 12,983 493 (1) 30,704 Cost of real estate inventory sold — — — — — — Interest expense — 45 131 8 (66) 118 Recoveries from loan losses, net (1,821) — — — — (1,821) Impairment losses 37 — — — — 37 Selling, general and administrative expenses 2,336 11,086 2,849 1,612 5,311 23,194 Total costs and expenses 552 28,360 15,963 2,113 5,244 52,232 Equity in net earnings of unconsolidated real estate joint ventures 28,534 — — — — 28,534 Other income — 67 — — — 67 Foreign exchange gain — — 1 — — 1 Income (loss) before income taxes $ 29,114 (115) 480 (114) (5,303) 24,062 Total assets $ 147,712 166,311 32,103 8,491 1,864 356,481 Expenditures for property and equipment $ 1 3,801 79 174 — 4,055 Depreciation and amortization $ — 1,519 303 193 — 2,015 Debt accretion and amortization $ 22 55 6 2 — 85 Cash and cash equivalents $ 21,781 3,629 — 525 — 25,935 Real estate equity method investments $ 53,739 — — — — 53,739 Goodwill $ — 35,521 — 1,727 — 37,248 Notes payable and other borrowings $ 32,009 1,867 8,394 400 — 42,670 The table below sets forth the Company’s segment information as of and for the nine months ended September 30, 2020 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 41,743 54,283 3,602 — 99,628 Sales of real estate inventory 14,248 — — — — 14,248 Interest income 604 29 — — (47) 586 Net gains on sales of real estate assets 130 — — — — 130 Other revenue 1,116 281 — 1,083 (82) 2,398 Total revenues 16,098 42,053 54,283 4,685 (129) 116,990 Costs and expenses: Cost of trade sales — 35,493 44,054 607 — 80,154 Cost of real estate inventory sold 9,473 — — — — 9,473 Interest expense — 170 238 9 (417) — Recoveries from loan losses, net (5,844) — — — — (5,844) Impairment losses 2,710 25,303 — 2,727 — 30,740 Selling, general and administrative expenses 5,176 25,123 6,788 3,572 13,365 54,024 Total costs and expenses 11,515 86,089 51,080 6,915 12,948 168,547 Equity in net earnings of unconsolidated real estate joint ventures 50 — — — — 50 Loss on the deconsolidation of IT'SUGAR, LLC — (3,326) — — — (3,326) Other income (expense) — 195 (3) — — 192 Foreign exchange gain — — 214 — — 214 Income (loss) before income taxes $ 4,633 (47,167) 3,414 (2,230) (13,077) (54,427) Expenditures for property and equipment $ — 3,120 852 60 — 4,032 Depreciation and amortization $ — 4,108 880 77 — 5,065 Debt accretion and amortization $ 223 167 13 — — 403 The table below sets forth the Company’s segment information as of and for the nine months ended September 30, 2019 (in thousands): BBX Capital Real Estate BBX Sweet Holdings Renin Other Reconciling Items and Eliminations Segment Total Revenues: Trade sales $ — 76,039 51,124 5,514 — 132,677 Sales of real estate inventory 5,030 — — — — 5,030 Interest income 631 43 — — — 674 Net gains on sales of real estate assets 11,395 — — — — 11,395 Other revenue 1,321 210 — 1,751 (230) 3,052 Total revenues 18,377 76,292 51,124 7,265 (230) 152,828 Costs and expenses: Cost of trade sales — 48,862 40,989 1,994 — 91,845 Cost of real estate inventory sold 2,643 — — — — 2,643 Interest expense — 143 387 11 (132) 409 Recoveries from loan losses, net (4,206) — — — — (4,206) Impairment losses 37 — — — — 37 Selling, general and administrative expenses 6,709 31,860 8,326 5,136 16,473 68,504 Total costs and expenses 5,183 80,865 49,702 7,141 16,341 159,232 Equity in net earnings of unconsolidated real estate joint ventures 37,276 — — — — 37,276 Other income 171 292 152 6 — 621 Foreign exchange loss — — (23) — — (23) Income (loss) before income taxes $ 50,641 (4,281) 1,551 130 (16,571) 31,470 Expenditures for property and equipment $ 4 6,387 284 548 — 7,223 Depreciation and amortization $ 93 4,252 897 260 — 5,502 Debt accretion and amortization $ 133 167 23 3 — 326 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Discontinued Operations [Abstract] | |
Summary Of Assets And Liabilities Of Discontinued Operations | September 30, December 31, 2020 2019 ASSETS Cash and cash equivalents $ — 35 Operating lease assets — 772 Other assets — 185 Discontinued operations total assets $ — 992 LIABILITIES AND EQUITY Liabilities: Accounts payable $ — 2 Accrued expenses — 134 Operating lease liability — 905 Discontinued operations total liabilities $ — 1,041 |
Summary Of Income (Loss) Of Discontinued Operations | For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Revenues: Trade sales $ — 2,057 — 6,044 Other revenue — 31 — 89 Total revenues — 2,088 — 6,133 Costs and Expenses: Cost of trade sales — 1,156 — 2,452 Depreciation, amortization and accretion, net — 183 — 690 Impairment losses — 3,993 71 6,749 Selling, general and administrative expenses — 1,585 20 5,715 Total costs and expenses — 6,917 91 15,606 Pre-tax loss from discontinued operations $ — (4,829) (91) (9,473) |
Summary Of Cash Flows Of Discontinued Operations | For the Nine Months Ended September 30, 2020 2019 Operating activities: Pre-tax loss from discontinued operations $ (91) (9,473) Adjustment to reconcile pre-tax loss to net cash used in operating activities: Depreciation, amortization and accretion, net — 690 Impairment losses 71 6,749 Decrease in trade inventory — 64 Decrease in other assets 94 470 Change in operating lease assets and liabilities (113) (269) Decrease in accounts payable (2) (57) Decrease in accrued expenses (134) (540) Net cash used in operating activities $ (175) (2,366) Investing activities: Cash paid for intangible assets $ — (40) Purchases of property and equipment — (542) Net cash used in investing activities $ — (582) |
IT'SUGAR Bankruptcy (Tables)
IT'SUGAR Bankruptcy (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
IT'SUGAR Bankruptcy [Abstract] | |
Schedule Of Balance Sheet While In Chapter 11 | IT'SUGAR Balance Sheet September 22, (in thousands) 2020 ASSETS Cash and cash equivalents $ 1,045 Restricted cash 20 Trade accounts receivable, net 103 Trade inventory 6,213 Property and equipment, net 22,162 Goodwill 14,864 Intangible assets, net 3,222 Operating lease assets 64,889 Other assets 1,707 Total assets $ 114,225 LIABILITIES AND EQUITY Liabilities: Accrued expenses 13,441 Operating lease liabilities 80,388 Notes payable and other borrowings 6,199 Total liabilities 100,028 Equity: Additional paid-in capital 59,809 Accumulated earnings (50,102) Noncontrolling interests 4,490 Total equity 14,197 Total liabilities and equity $ 114,225 |
Organization And Basis Of Fin_3
Organization And Basis Of Financial Statement Presentation (Narrative) (Details) $ in Millions | Oct. 22, 2020CAD ($) | Oct. 22, 2020USD ($) | Sep. 22, 2020USD ($) | Jun. 30, 2020USD ($)entity | Sep. 30, 2019USD ($)store | Sep. 30, 2020USD ($)itemstoreshares | Jun. 30, 2020USD ($) | Mar. 31, 2020store | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)itemshares | Sep. 30, 2019USD ($) | Dec. 31, 2016store | Nov. 09, 2020USD ($) | Nov. 02, 2020USD ($) | Dec. 31, 2019USD ($)shares | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($) |
Business Acquisition [Line Items] | |||||||||||||||||
Other assets | $ 15,080,000 | $ 15,080,000 | $ 16,051,000 | ||||||||||||||
Revenues | 42,205,000 | $ 47,692,000 | 116,990,000 | $ 152,828,000 | |||||||||||||
Property and equipment, net | $ 6,122,000 | $ 6,122,000 | 29,836,000 | ||||||||||||||
Number of class of common stock | item | 2 | ||||||||||||||||
Number of votes per share | item | 1 | 1 | |||||||||||||||
Number of separate, publicly-traded companies | entity | 2 | ||||||||||||||||
Number of stores transferred | store | 7 | ||||||||||||||||
Loss from noncontrolling interest | $ 1,248,000 | ||||||||||||||||
Cash and cash equivalents | $ 25,935,000 | $ 96,592,000 | 25,935,000 | 96,592,000 | 25,935,000 | 20,723,000 | |||||||||||
Impairment losses | 22,384,000 | ||||||||||||||||
Goodwill | $ 14,864,000 | $ 37,248,000 | $ 14,864,000 | 37,248,000 | 37,248,000 | $ 37,248,000 | $ 37,248,000 | $ 37,248,000 | |||||||||
Number of agreements | item | 7 | 7 | |||||||||||||||
Number of agreement modifications | item | 3 | 3 | |||||||||||||||
Number of agreements after modifications | item | 4 | 4 | |||||||||||||||
Agreement modification, rental payment deferrals | $ 200,000 | ||||||||||||||||
Agreement modification, rental payment abatements | 300,000 | ||||||||||||||||
Minimum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Percentage of rents collected at multifamily apartment communities | 97.00% | ||||||||||||||||
Deferral rent payment, term | 1 month | ||||||||||||||||
Maximum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Deferral rent payment, term | 21 months | ||||||||||||||||
MOD Pizza [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Number of stores open | store | 60 | ||||||||||||||||
BBXRE [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Impairment losses | $ 2,700,000 | ||||||||||||||||
New BBX Capital [Member] | Notes Payable [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Debt face amount | $ 75,000,000 | $ 75,000,000 | |||||||||||||||
Interest rate | 6.00% | 6.00% | |||||||||||||||
Deferred interest rate | 8.00% | 8.00% | |||||||||||||||
Debt instrument term (in years) | 5 years | ||||||||||||||||
IT'SUGAR, LLC [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Other assets | $ 1,707,000 | ||||||||||||||||
Property and equipment, net | 22,162,000 | ||||||||||||||||
Number of stores open | store | 100 | ||||||||||||||||
Advance from subsidiary | $ 2,000,000 | $ 2,000,000 | |||||||||||||||
Percent decline in revenue | 50.40% | ||||||||||||||||
Loss from noncontrolling interest | 3,300,000 | ||||||||||||||||
Cash and cash equivalents | 1,045,000 | ||||||||||||||||
Impairment losses | $ 3,300,000 | 3,300,000 | |||||||||||||||
Goodwill | $ 14,864,000 | ||||||||||||||||
Hoffman's Chocolates [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Percentage of sales volumes pre-pandemic | 71.00% | ||||||||||||||||
Las Olas Confections And Snacks [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Percentage of sales volumes pre-pandemic | 92.00% | ||||||||||||||||
Hoffman's Chocolates And Las Olas Confections And Snacks [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Accrued and unpaid current rental obligations | $ 200,000 | $ 200,000 | |||||||||||||||
Number of locations that had executed amendments | store | 6 | ||||||||||||||||
BBX Capital Real Estate [Member] | Altman [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Consolidated method ownership percentage | 50.00% | 50.00% | |||||||||||||||
Class A Common Stock [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Percent of voting power | 22.00% | 22.00% | |||||||||||||||
Percentage of total common equity | 81.00% | 81.00% | |||||||||||||||
Common stock, shares authorized | shares | 30,000,000 | 30,000,000 | 30,000,000 | ||||||||||||||
Class B Common Stock [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Percent of voting power | 78.00% | 78.00% | |||||||||||||||
Percentage of total common equity | 19.00% | 19.00% | |||||||||||||||
Common stock, shares authorized | shares | 4,000,000 | 4,000,000 | 4,000,000 | ||||||||||||||
Renin [Member] | Reportable Segments [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Revenues | $ 19,662,000 | $ 16,442,000 | $ 54,283,000 | $ 51,124,000 | |||||||||||||
Cash and cash equivalents | 1,168,000 | 1,168,000 | |||||||||||||||
IT'SUGAR, LLC [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Impairment losses | $ 22,400,000 | ||||||||||||||||
IT'SUGAR, LLC [Member] | Reportable Segments [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Revenues | 15,245,000 | ||||||||||||||||
Cash and cash equivalents | $ 610,000 | $ 610,000 | |||||||||||||||
IT'SUGAR, LLC [Member] | BBX Sweet Holdings [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Consolidated method ownership percentage | 93.00% | 93.00% | |||||||||||||||
Subsequent Event [Member] | IT'SUGAR, LLC [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Advance from subsidiary | $ 2,000,000 | $ 4,000,000 | |||||||||||||||
Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Purchase consideration | $ 51 | $ 39,000,000 | |||||||||||||||
Business combination, estimated excess target working capital | 13 | 9,900,000 | |||||||||||||||
Business combination, target working capital | 6.7 | 5,100,000 | |||||||||||||||
Business combination, target working capital held | $ 1.3 | 1,000,000 | |||||||||||||||
Capital contributions | $ 5,000,000 | ||||||||||||||||
TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Quarterly payments of principal percentage | 37.50% | 37.50% | |||||||||||||||
Prime Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Minimum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 1.375% | 1.375% | |||||||||||||||
Prime Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Maximum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 1.875% | 1.875% | |||||||||||||||
Base Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Minimum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 1.00% | 1.00% | |||||||||||||||
Base Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Maximum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 1.50% | 1.50% | |||||||||||||||
Acceptance Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Minimum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 2.875% | 2.875% | |||||||||||||||
Acceptance Rate [Member] | TD Bank Credit Facility [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | Maximum [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Basis spread on rate | 3.375% | 3.375% | |||||||||||||||
LIBOR [Member] | |||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||
Line of credit, outstanding | $ 4,900,000 | $ 4,900,000 |
Trade Receivables (Schedule Of
Trade Receivables (Schedule Of Trade Receivables) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Trade Receivables [Abstract] | ||
Trade receivables | $ 15,599 | $ 13,274 |
Allowance for bad debts | (262) | (170) |
Total trade receivables | $ 15,337 | $ 13,104 |
Trade Inventory (Summary Of Inv
Trade Inventory (Summary Of Inventory) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Trade Inventory [Abstract] | ||
Raw materials | $ 3,828 | $ 3,048 |
Paper goods and packaging materials | 1,449 | 1,327 |
Finished goods | 11,074 | 18,468 |
Total trade inventory | $ 16,351 | $ 22,843 |
Real Estate (Schedule Of Real E
Real Estate (Schedule Of Real Estate) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Real Estate [Abstract] | ||
Real estate held-for-sale | $ 9,342 | $ 11,297 |
Real estate held-for-investment | 6,024 | 6,015 |
Real estate inventory | 44,129 | 48,506 |
Total VOI inventory | $ 59,495 | $ 65,818 |
Investments In And Advances T_3
Investments In And Advances To Unconsolidated Real Estate Joint Ventures (Narrative) (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Jun. 30, 2020USD ($)ft²propertyitem | Apr. 30, 2020USD ($) | Mar. 31, 2020property | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 60,648 | $ 53,739 | $ 60,648 | $ 53,739 | $ 57,330 | |||
Equity in earning of unconsolidated real estate joint ventures | $ (646) | 28,534 | $ 50 | 37,276 | ||||
The Altman Companies, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Consolidated method ownership percentage | 50.00% | 50.00% | ||||||
PGA Design Center Holdings, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 3 | $ 3 | 996 | |||||
Altis Ludlam - Miami Investor, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 9,378 | 9,378 | 1,081 | |||||
The Altman Companies, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 15,589 | 15,589 | 14,745 | |||||
ABBX Guaranty, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 3,750 | 3,750 | 3,750 | |||||
Altis at Bonterra - Hialeah, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 618 | |||||||
Equity in earning of unconsolidated real estate joint ventures | $ 29,100 | $ 29,100 | ||||||
L03/212 Partners, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 2,179 | 2,179 | 2,087 | |||||
PGA Lender, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 2 | 2 | 2,111 | |||||
Sky Cove, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 4,146 | 4,146 | 4,178 | |||||
Altis LH-Miami Manager, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 837 | 837 | 811 | |||||
Altis Vineland Pointe [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | 5,355 | 5,355 | 4,712 | |||||
Altis Wiregrass, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 163 | 163 | 1,792 | |||||
Number of multi-family apartment developments | property | 392 | |||||||
Distribution from investee | $ 2,300 | |||||||
Equity in earning of unconsolidated real estate joint ventures | $ 800 | |||||||
BBXRE [Member] | Altis Ludlam - Miami Investor, LLC [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 8,500 | $ 1,100 | ||||||
Area of retail space | ft² | 7,500 | |||||||
Number of multi-family apartment developments | property | 312 | |||||||
Distribution from investee | $ 500 | |||||||
Equity in earning of unconsolidated real estate joint ventures | $ 11,900 | |||||||
Number of extensions | item | 3 | |||||||
Period of each extension | 1 year |
Investments In And Advances T_4
Investments In And Advances To Unconsolidated Real Estate Joint Ventures (Investments In Unconsolidated Real Estate Joint Ventures) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | $ 60,648 | $ 57,330 | $ 53,739 |
Altis at Grand Central Capital, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 2,472 | 2,653 | |
Altis Promenade Capital, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 1,977 | 2,126 | |
Altis at Bonterra - Hialeah, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 618 | ||
Altis Ludlam - Miami Investor, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 9,378 | 1,081 | |
Altis Suncoast Manager, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 1,102 | 753 | |
Altis Pembroke Gardens, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 311 | 1,277 | |
Altis Fairways, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 1,657 | 1,880 | |
Altis Wiregrass, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 163 | 1,792 | |
Altis LH-Miami Manager, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 837 | 811 | |
Altis Vineland Pointe [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 5,355 | 4,712 | |
Altis Miramar East/West [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 2,794 | 2,631 | |
The Altman Companies, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 15,589 | 14,745 | |
ABBX Guaranty, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 3,750 | 3,750 | |
Sunrise and Bayview Partners, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 1,450 | 1,562 | |
PGA Design Center Holdings, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 3 | 996 | |
CCB Miramar, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 7,168 | 5,999 | |
BBX/Label Chapel Trail Development, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 153 | 1,126 | |
L03/212 Partners, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 2,179 | 2,087 | |
PGA Lender, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 2 | 2,111 | |
Sky Cove, LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | 4,146 | 4,178 | |
All Other Investments In Real Estate Joint Ventures [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investments in and advances to unconsolidated real estate joint ventures | $ 162 | $ 442 |
Investments In And Advances T_5
Investments In And Advances To Unconsolidated Real Estate Joint Ventures (Condensed Statements Of Operations For Equity Method Joint Ventures) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Equity Method Investments [Line Items] | ||||
Total revenues | $ 42,205 | $ 47,692 | $ 116,990 | $ 152,828 |
Net (loss) income | (8,762) | 13,515 | (43,654) | 15,252 |
Equity in net earnings of unconsolidated real estate joint venture | $ (646) | 28,534 | $ 50 | 37,276 |
Altis at Bonterra - Hialeah, LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Total revenues | 927 | 4,479 | ||
Gain on sale of real estate | 33,608 | 33,608 | ||
Other expenses | (813) | (4,339) | ||
Net (loss) income | 33,722 | 33,748 | ||
Equity in net earnings of unconsolidated real estate joint venture | $ 29,100 | $ 29,100 |
Investments In And Advances T_6
Investments In And Advances To Unconsolidated Real Estate Joint Ventures (Condensed Statements Of Financial Condition For Equity Method Joint Ventures) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Schedule of Equity Method Investments [Line Items] | ||||||
Total assets | $ 387,447 | $ 361,507 | $ 356,481 | |||
Total liabilities | 73,528 | 175,262 | ||||
Total equity | 313,919 | $ 244,413 | 182,236 | $ 194,941 | $ 210,292 | $ 237,530 |
Total liabilities and equity | $ 387,447 | 361,507 | ||||
Altis at Bonterra - Hialeah, LLC [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Cash | 855 | |||||
Real estate | 559 | |||||
Total assets | 1,414 | |||||
Other liabilities | 751 | |||||
Total liabilities | 751 | |||||
Total equity | 663 | |||||
Total liabilities and equity | $ 1,414 |
Impairments (Narrative) (Detail
Impairments (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 22, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Goodwill [Line Items] | |||||||||
Goodwill, impairment loss | $ 22,384 | ||||||||
Intangible asset impairment | 5,400 | ||||||||
Goodwill | $ 14,864 | $ 37,248 | $ 37,248 | $ 37,248 | $ 37,248 | ||||
IT'SUGAR, LLC [Member] | |||||||||
Goodwill [Line Items] | |||||||||
Estimated fair value | $ 27,300 | ||||||||
Goodwill, impairment loss | $ 22,400 | ||||||||
IT'SUGAR, LLC [Member] | |||||||||
Goodwill [Line Items] | |||||||||
Goodwill, impairment loss | $ 3,300 | $ 3,300 | |||||||
Goodwill | $ 14,864 |
Impairments (Schedule Of Change
Impairments (Schedule Of Changes In Goodwill) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | |
Impairments [Abstract] | |||
Balance, beginning of period | $ 14,864 | $ 37,248 | $ 37,248 |
Deconsolidation of IT'SUGAR | (14,864) | (14,864) | |
Impairment losses | (22,384) | ||
Balance, end of period | $ 37,248 |
Debt (Notes Payable And Other B
Debt (Notes Payable And Other Borrowings, Narrative) (Details) - USD ($) | 9 Months Ended | ||||
Sep. 30, 2020 | May 31, 2020 | Feb. 29, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | |
Debt Instrument [Line Items] | |||||
Notes And Loans Payable | $ 36,000,000 | $ 42,736,000 | $ 42,670,000 | ||
Inventory, Real Estate | 59,495,000 | 65,818,000 | |||
Debt issuance during period | 0 | ||||
Other Assets | 15,080,000 | 16,051,000 | |||
LIBOR [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit, outstanding | 4,900,000 | ||||
TD Bank Line Of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit, outstanding | 16,300,000 | ||||
Community Development Bonds [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt face amount | $ 8,600,000 | ||||
Community Development Bonds [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 5.38% | ||||
Community Development Bonds [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | ||||
Other Notes Payable [Member] | |||||
Debt Instrument [Line Items] | |||||
Unamortized debt issuance costs | 951,000 | 824,000 | |||
Other Notes Payable [Member] | Community Development District Obligations [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes And Loans Payable | 30,536,000 | 29,287,000 | |||
Carrying Amount of Pledged Assets | $ 44,129,000 | $ 49,352,000 | |||
Other Notes Payable [Member] | Community Development District Obligations [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% | 4.25% | |||
Other Notes Payable [Member] | Unsecured Note [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes And Loans Payable | $ 3,400,000 | ||||
Carrying Amount of Pledged Assets | |||||
Debt Instrument, Interest Rate, Stated Percentage | 6.00% | ||||
Other Notes Payable [Member] | Other Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes And Loans Payable | $ 47,000 | $ 223,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 15.00% | 15.00% | |||
Other Notes Payable [Member] | Banc Of America Leasing & Capital Equipment Note [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes And Loans Payable | $ 355,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | ||||
Term Loans [Member] | TD Bank Line Of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt face amount | $ 1,700,000 | ||||
BBXRE [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit, outstanding | $ 2,000,000 |
Debt (Notes Payable And Other_2
Debt (Notes Payable And Other Borrowings) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 36,000 | $ 42,736 | $ 42,670 |
Other Notes Payable [Member] | |||
Debt Instrument [Line Items] | |||
Unamortized debt issuance costs | (951) | (824) | |
Other Notes Payable [Member] | Community Development District Obligations [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | 30,536 | 29,287 | |
Carrying Amount of Pledged Assets | 44,129 | 49,352 | |
Other Notes Payable [Member] | TD Bank Term Loan And Line Of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 4,929 | $ 6,826 | |
Interest Rate | 3.46% | 5.00% | |
Carrying Amount of Pledged Assets | |||
Other Notes Payable [Member] | Banc Of America Leasing & Capital Equipment Note [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 355 | ||
Interest Rate | 4.75% | ||
Other Notes Payable [Member] | Bank of America Revolving Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 2,000 | ||
Interest Rate | 3.24% | ||
Other Notes Payable [Member] | Unsecured Note [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 3,400 | ||
Interest Rate | 6.00% | ||
Carrying Amount of Pledged Assets | |||
Other Notes Payable [Member] | Centennial Bank - Kencraft [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 1,439 | $ 1,469 | |
Interest Rate | 5.25% | 5.25% | |
Carrying Amount of Pledged Assets | $ 1,854 | $ 1,892 | |
Other Notes Payable [Member] | Other Notes [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable and lines-of-credit | $ 47 | $ 223 | |
Interest Rate | 15.00% | 15.00% | |
Minimum [Member] | Other Notes Payable [Member] | Community Development District Obligations [Member] | |||
Debt Instrument [Line Items] | |||
Interest Rate | 4.25% | 4.25% |
Revenue Recognition (Disaggrega
Revenue Recognition (Disaggregated Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue from customers | $ 40,662 | $ 45,973 | $ 113,876 | $ 137,707 |
Interest income | 387 | 178 | 586 | 674 |
Net gains on sales of real estate assets | 164 | 399 | 130 | 11,395 |
Other revenue | 992 | 1,142 | 2,398 | 3,052 |
Total revenues | 42,205 | 47,692 | 116,990 | 152,828 |
Trade Sales - Wholesale [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from customers | 22,256 | 18,664 | 61,529 | 59,024 |
Trade Sales - Retail [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from customers | 13,436 | 26,939 | 38,099 | 73,653 |
Sales Of Real Estate Inventory [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from customers | $ 4,970 | $ 370 | $ 14,248 | $ 5,030 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Taxes [Abstract] | ||||
Effective tax rate | 17.00% | 29.00% | 22.00% | 29.00% |
Federal income tax rate | 21.00% |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Oct. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | |
Commitments And Contingencies [Line Items] | ||||
Other liabilities | $ 6,097 | $ 6,336 | ||
Notes And Loans Payable | 36,000 | 42,736 | $ 42,670 | |
Operating lease liabilities | $ 12,199 | $ 99,568 | ||
Sunrise and Bayview Partners, LLC [Member] | BCC [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Percent guaranteed on outstanding balance of loan | 50.00% | |||
Issuance of note payable to purchase property and equipment | $ 5,000 | |||
Subsequent Event [Member] | Expedited Shipment Of Products From Foreign Supplier [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Shipment costs | $ 6,000 | |||
Subsequent Event [Member] | Expedited Shipment Of Product Displays [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Shipment costs | 2,000 | |||
Subsequent Event [Member] | Renin [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Right to offset due to supplier failure to deliver | $ 6,000 |
Rights Agreement And Earnings_2
Rights Agreement And Earnings Per Share (Narrative) (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Restricted Stock [Member] | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Anti-dilutive shares | 19,317,687 | 19,317,687 | 19,317,687 | 19,317,687 |
Noncontrolling Interests (Narra
Noncontrolling Interests (Narrative) (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Noncontrolling Interests [Abstract] | |
Redeemable noncontrolling interest | $ 4,009 |
Fair Value Measurement (Financi
Fair Value Measurement (Financial Disclosures About Fair Value Of Financial Instruments) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other assets | $ 15,080 | $ 16,051 |
Carrying Amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 96,592 | 20,723 |
Restricted cash | 250 | 529 |
Note receivable from Bluegreen Vacations Holding Corporation | 75,000 | |
Notes payable and other borrowings | 36,000 | 42,736 |
Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 96,592 | 20,723 |
Restricted cash | 250 | 529 |
Note receivable from Bluegreen Vacations Holding Corporation | 75,000 | |
Notes payable and other borrowings | 39,913 | 45,669 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 96,592 | 20,723 |
Restricted cash | 250 | 529 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Note receivable from Bluegreen Vacations Holding Corporation | 75,000 | |
Notes payable and other borrowings | $ 39,913 | $ 45,669 |
Certain Relationships And Rel_3
Certain Relationships And Related Party Transactions (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | |||||
Due from related parties | $ 100,000 | $ 100,000 | |||
Due to related parties | $ 1,362,000 | ||||
Bluegreen Vacations Holding Corp [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related party transaction, purchases from related party | 500,000 | $ 1,900,000 | 200,000 | $ 400,000 | |
Revenue from related parties | 200,000 | 600,000 | 200,000 | 600,000 | |
Related party expenses | 4,800,000 | $ 5,400,000 | 12,700,000 | $ 16,700,000 | |
Due to related parties | $ 0 | $ 0 | $ 2,800,000 |
Certain Relationships And Rel_4
Certain Relationships And Related Party Transactions (Components Of Net Transfers) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Certain Relationships And Related Party Transactions [Abstract] | ||||
Cash pooling | $ (5,426) | $ (34,171) | $ 81,581 | $ (72,714) |
Corporate overhead allocations | 4,767 | 5,445 | 12,694 | 16,712 |
Asset transfers | 75,175 | 75,320 | ||
Net transfers from (to) Parent | $ 74,516 | $ (28,726) | $ 169,595 | $ (56,002) |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)segment | Sep. 30, 2019USD ($) | Sep. 22, 2020USD ($) | Dec. 31, 2019USD ($) | |
Segment Reporting Information [Line Items] | ||||||
Minimum number of operating segments with similar characteristics to be considered as a reportable segment | segment | 1 | |||||
Revenues | $ 40,662 | $ 45,973 | $ 113,876 | $ 137,707 | ||
Property and equipment, net | 6,122 | 6,122 | $ 29,836 | |||
Cash and cash equivalents | 96,592 | $ 25,935 | 96,592 | $ 25,935 | $ 20,723 | |
IT'SUGAR, LLC [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Property and equipment, net | $ 22,162 | |||||
Cash and cash equivalents | $ 1,045 | |||||
Reportable Segments [Member] | Renin [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Cash and cash equivalents | $ 1,168 | $ 1,168 |
Segment Reporting (Segment Info
Segment Reporting (Segment Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | $ 40,662 | $ 45,973 | $ 113,876 | $ 137,707 | ||||
Interest income | 387 | 178 | 586 | 674 | ||||
Net gains on sales of real estate assets | 164 | 399 | 130 | 11,395 | ||||
Other revenue | 992 | 1,142 | 2,398 | 3,052 | ||||
Total revenues | 42,205 | 47,692 | 116,990 | 152,828 | ||||
Interest expense | 118 | 409 | ||||||
Recoveries from loan losses, net | (807) | (1,821) | (5,844) | (4,206) | ||||
Impairment losses | 37 | 30,740 | 37 | |||||
Selling, general and administrative expenses | 18,110 | 23,194 | 54,024 | 68,504 | ||||
Total costs and expenses | 48,651 | 52,232 | 168,547 | 159,232 | ||||
Equity in net (losses) earnings of unconsolidated real estate joint ventures | (646) | 28,534 | 50 | 37,276 | ||||
Other income (expense) | 81 | 67 | 192 | 621 | ||||
Foreign exchange (loss) gain | (58) | 1 | 214 | (23) | ||||
(Loss) income before income taxes | (10,395) | 24,062 | (54,427) | 31,470 | ||||
Total assets | 387,447 | 356,481 | 387,447 | 356,481 | $ 361,507 | |||
Expenditures for property and equipment | 458 | 4,055 | 4,032 | 7,223 | ||||
Depreciation and amortization | 1,609 | 2,015 | 5,065 | 5,502 | ||||
Debt accretion and amortization | 79 | 85 | 403 | 326 | ||||
Cash and cash equivalents | 96,592 | 25,935 | 96,592 | 25,935 | 20,723 | |||
Equity method investments | 60,648 | 53,739 | 60,648 | 53,739 | 57,330 | |||
Goodwill | 37,248 | 37,248 | $ 14,864 | 37,248 | $ 37,248 | $ 37,248 | ||
Notes payable and lines-of-credit | 36,000 | 42,670 | 36,000 | 42,670 | $ 42,736 | |||
Other [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Other revenue | 610 | 888 | 1,083 | 1,751 | ||||
Total revenues | 1,474 | 1,999 | 4,685 | 7,265 | ||||
Interest expense | 4 | 8 | 9 | 11 | ||||
Impairment losses | 2,727 | |||||||
Selling, general and administrative expenses | 280 | 1,612 | 3,572 | 5,136 | ||||
Total costs and expenses | 660 | 2,113 | 6,915 | 7,141 | ||||
Other income (expense) | 6 | |||||||
(Loss) income before income taxes | 814 | (114) | (2,230) | 130 | ||||
Total assets | 6,707 | 8,491 | 6,707 | 8,491 | ||||
Expenditures for property and equipment | 15 | 174 | 60 | 548 | ||||
Depreciation and amortization | 26 | 193 | 77 | 260 | ||||
Debt accretion and amortization | 2 | 3 | ||||||
Cash and cash equivalents | 941 | 525 | 941 | 525 | ||||
Goodwill | 1,727 | 1,727 | ||||||
Notes payable and lines-of-credit | 47 | 400 | 47 | 400 | ||||
Reconciling Items And Eliminations [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Interest income | (34) | (47) | ||||||
Other revenue | (24) | (58) | (82) | (230) | ||||
Total revenues | (58) | (59) | (129) | (230) | ||||
Interest expense | (111) | (66) | (417) | (132) | ||||
Selling, general and administrative expenses | 5,497 | 5,311 | 13,365 | 16,473 | ||||
Total costs and expenses | 5,386 | 5,244 | 12,948 | 16,341 | ||||
(Loss) income before income taxes | (5,444) | (5,303) | (13,077) | (16,571) | ||||
Total assets | 157,296 | 1,864 | 157,296 | 1,864 | ||||
Cash and cash equivalents | 69,807 | 69,807 | ||||||
BBX Capital Real Estate [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Interest income | 419 | 166 | 604 | 631 | ||||
Net gains on sales of real estate assets | 164 | 399 | 130 | 11,395 | ||||
Other revenue | 329 | 197 | 1,116 | 1,321 | ||||
Total revenues | 5,882 | 1,132 | 16,098 | 18,377 | ||||
Recoveries from loan losses, net | (807) | (1,821) | (5,844) | (4,206) | ||||
Impairment losses | 37 | 2,710 | 37 | |||||
Selling, general and administrative expenses | 1,715 | 2,336 | 5,176 | 6,709 | ||||
Total costs and expenses | 4,275 | 552 | 11,515 | 5,183 | ||||
Equity in net (losses) earnings of unconsolidated real estate joint ventures | (646) | 28,534 | 50 | 37,276 | ||||
Other income (expense) | 171 | |||||||
(Loss) income before income taxes | 961 | 29,114 | 4,633 | 50,641 | ||||
Total assets | 160,442 | 147,712 | 160,442 | 147,712 | ||||
Expenditures for property and equipment | 1 | 4 | ||||||
Depreciation and amortization | 93 | |||||||
Debt accretion and amortization | 70 | 22 | 223 | 133 | ||||
Cash and cash equivalents | 24,066 | 21,781 | 24,066 | 21,781 | ||||
Equity method investments | 60,648 | 53,739 | 60,648 | 53,739 | ||||
Notes payable and lines-of-credit | 29,597 | 32,009 | 29,597 | 32,009 | ||||
BBX Sweet Holdings [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Interest income | 12 | 29 | 43 | |||||
Other revenue | 115 | 281 | 210 | |||||
Total revenues | 28,178 | 42,053 | 76,292 | |||||
Interest expense | 45 | 170 | 143 | |||||
Impairment losses | 25,303 | |||||||
Selling, general and administrative expenses | 11,086 | 25,123 | 31,860 | |||||
Total costs and expenses | 28,360 | 86,089 | 80,865 | |||||
Other income (expense) | 67 | 195 | 292 | |||||
(Loss) income before income taxes | (115) | (47,167) | (4,281) | |||||
Total assets | 166,311 | 166,311 | ||||||
Expenditures for property and equipment | 3,801 | 3,120 | 6,387 | |||||
Depreciation and amortization | 1,519 | 4,108 | 4,252 | |||||
Debt accretion and amortization | 55 | 167 | 167 | |||||
Cash and cash equivalents | 3,629 | 3,629 | ||||||
Goodwill | 35,521 | 35,521 | ||||||
Notes payable and lines-of-credit | 1,867 | 1,867 | ||||||
Renin [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Total revenues | 19,662 | 16,442 | 54,283 | 51,124 | ||||
Interest expense | 53 | 131 | 238 | 387 | ||||
Selling, general and administrative expenses | 2,135 | 2,849 | 6,788 | 8,326 | ||||
Total costs and expenses | 18,115 | 15,963 | 51,080 | 49,702 | ||||
Other income (expense) | (3) | 152 | ||||||
Foreign exchange (loss) gain | (58) | 1 | 214 | (23) | ||||
(Loss) income before income taxes | 1,489 | 480 | 3,414 | 1,551 | ||||
Total assets | 36,894 | 32,103 | 36,894 | 32,103 | ||||
Expenditures for property and equipment | 247 | 79 | 852 | 284 | ||||
Depreciation and amortization | 260 | 303 | 880 | 897 | ||||
Debt accretion and amortization | 4 | 6 | 13 | 23 | ||||
Cash and cash equivalents | 1,168 | 1,168 | ||||||
Notes payable and lines-of-credit | 4,929 | 8,394 | 4,929 | 8,394 | ||||
IT'SUGAR, LLC [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Interest income | 2 | |||||||
Other revenue | 77 | |||||||
Total revenues | 15,245 | |||||||
Interest expense | 54 | |||||||
Selling, general and administrative expenses | 8,483 | |||||||
Total costs and expenses | 20,215 | |||||||
Other income (expense) | 81 | |||||||
(Loss) income before income taxes | (8,215) | |||||||
Total assets | 26,108 | 26,108 | ||||||
Expenditures for property and equipment | 196 | |||||||
Depreciation and amortization | 1,323 | |||||||
Debt accretion and amortization | 5 | |||||||
Cash and cash equivalents | 610 | 610 | ||||||
Notes payable and lines-of-credit | 1,427 | 1,427 | ||||||
Trade Sales [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 35,692 | 45,603 | 99,628 | 132,677 | ||||
Total costs | 27,981 | 30,704 | 80,154 | 91,845 | ||||
Trade Sales [Member] | Other [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 864 | 1,111 | 3,602 | 5,514 | ||||
Total costs | 376 | 493 | 607 | 1,994 | ||||
Trade Sales [Member] | Reconciling Items And Eliminations [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | (1) | |||||||
Total costs | (1) | |||||||
Trade Sales [Member] | BBX Sweet Holdings [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 28,051 | 41,743 | 76,039 | |||||
Total costs | 17,229 | 35,493 | 48,862 | |||||
Trade Sales [Member] | Renin [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 19,662 | 16,442 | 54,283 | 51,124 | ||||
Total costs | 15,927 | 12,983 | 44,054 | 40,989 | ||||
Trade Sales [Member] | IT'SUGAR, LLC [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 15,166 | |||||||
Total costs | 11,678 | |||||||
Sales Of Real Estate Inventory [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 4,970 | 370 | 14,248 | 5,030 | ||||
Total costs | 3,367 | 9,473 | 2,643 | |||||
Sales Of Real Estate Inventory [Member] | BBX Capital Real Estate [Member] | Reportable Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue from customers | 4,970 | $ 370 | 14,248 | 5,030 | ||||
Total costs | $ 3,367 | $ 9,473 | $ 2,643 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) $ in Thousands | 1 Months Ended | |
Sep. 30, 2019store | Dec. 31, 2019USD ($) | |
Long Lived Assets Held-for-sale [Line Items] | ||
Number of stores transferred | store | 7 | |
Number of stores terminated | store | 2 | |
Discontinued operations total assets | $ | $ 992 | |
MOD Pizza [Member] | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Discontinued operations total assets | $ | $ 992 |
Discontinued Operations (Summar
Discontinued Operations (Summary Of Assets And Liabilities Of Discontinued Operations) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Sep. 30, 2019 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash equivalents | $ 6,003 | |
Discontinued operations total assets | $ 992 | |
Discontinued operations total liabilities | 1,041 | |
MOD Pizza [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash equivalents | 35 | |
Operating lease assets | 772 | |
Other assets | 185 | |
Discontinued operations total assets | 992 | |
Accounts payable | 2 | |
Accrued expenses | 134 | |
Operating lease liability | 905 | |
Discontinued operations total liabilities | $ 1,041 |
Discontinued Operations (Summ_2
Discontinued Operations (Summary Of Income (Loss) Of Discontinued Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
(Loss) income from discontinued operations before income taxes | $ 4,829 | $ 91 | $ 9,473 |
MOD Pizza [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Revenues | 2,088 | 6,133 | |
Costs and expenses | 6,917 | 91 | 15,606 |
(Loss) income from discontinued operations before income taxes | (4,829) | (91) | (9,473) |
MOD Pizza [Member] | Trade Sales [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Revenues | 2,057 | 6,044 | |
Costs and expenses | 1,156 | 2,452 | |
MOD Pizza [Member] | Other Revenue [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Revenues | 31 | 89 | |
MOD Pizza [Member] | Depreciation, Amortization And Accretion, Net [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Costs and expenses | 183 | 690 | |
MOD Pizza [Member] | Impairment Losses [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Costs and expenses | 3,993 | 71 | 6,749 |
MOD Pizza [Member] | Selling General And Administrative Expenses [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Costs and expenses | $ 1,585 | $ 20 | $ 5,715 |
Discontinued Operations (Summ_3
Discontinued Operations (Summary Of Cash Flows Of Discontinued Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Operating activities: | |||
Pre-tax loss from discontinued operations | $ 3,654 | $ 74 | $ 7,177 |
Adjustment to reconcile net (loss) income to net cash (used in) provided by operating activities: | |||
Depreciation, amortization and accretion, net | 5,468 | 6,519 | |
Impairment losses | $ 37 | 30,740 | 37 |
Decrease (increase) in trade inventory | 279 | (5,016) | |
(Increase) decrease in other assets | (1,388) | 3,744 | |
Change in operating lease assets and liabilities | (964) | 683 | |
Decrease in accounts payable | (4,256) | (1,554) | |
Decrease in accrued expenses | 12,376 | (3,227) | |
Investing activities: | |||
Purchases of property and equipment | (4,032) | (7,765) | |
MOD Pizza [Member] | |||
Operating activities: | |||
Pre-tax loss from discontinued operations | (91) | (9,473) | |
Adjustment to reconcile net (loss) income to net cash (used in) provided by operating activities: | |||
Depreciation, amortization and accretion, net | 690 | ||
Impairment losses | 71 | 6,749 | |
Decrease (increase) in trade inventory | 64 | ||
(Increase) decrease in other assets | 94 | 470 | |
Change in operating lease assets and liabilities | (113) | (269) | |
Decrease in accounts payable | (2) | (57) | |
Decrease in accrued expenses | (134) | (540) | |
Net cash used in operating activities | $ (175) | (2,366) | |
Investing activities: | |||
Cash paid for intangible assets | (40) | ||
Purchases of property and equipment | (542) | ||
Net cash used in investing activities | $ (582) |
IT'SUGAR Bankruptcy (Narrative)
IT'SUGAR Bankruptcy (Narrative) (Details) - USD ($) $ in Thousands | Oct. 07, 2020 | Sep. 22, 2020 | Sep. 30, 2020 | Nov. 09, 2020 | Nov. 02, 2020 |
Loss from noncontrolling interest | $ 1,248 | ||||
Notes payable to company | $ 6,200 | ||||
IT'SUGAR, LLC [Member] | |||||
Noncontrolling equity investment | 12,700 | ||||
Loss from noncontrolling interest | 3,300 | ||||
Preconfirmation, liabilities | 11,700 | ||||
Preconfirmation, rental obligations | 7,700 | ||||
Preconfirmation, obligation to other creditor | $ 4,000 | ||||
Advance from subsidiary | $ 2,000 | ||||
Subsequent Event [Member] | IT'SUGAR, LLC [Member] | |||||
Advance from subsidiary | $ 2,000 | $ 4,000 | |||
DIP Facility [Member] | Subsequent Event [Member] | IT'SUGAR, LLC [Member] | |||||
Maximum borrowing capacity | $ 4,000 | ||||
LIBOR [Member] | DIP Facility [Member] | Subsequent Event [Member] | IT'SUGAR, LLC [Member] | |||||
Basis spread on rate | 1.50% |
IT'SUGAR Bankruptcy (Schedule O
IT'SUGAR Bankruptcy (Schedule Of Balance Sheet While In Chapter 11) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Sep. 22, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
ASSETS | |||||||
Cash and cash equivalents | $ 96,592 | $ 20,723 | $ 25,935 | ||||
Restricted cash | 250 | 529 | 528 | ||||
Trade accounts receivable, net | 15,337 | 13,104 | |||||
Trade inventory | 16,351 | 22,843 | |||||
Property and equipment, net | 6,122 | 29,836 | |||||
Goodwill | $ 14,864 | 37,248 | 37,248 | $ 37,248 | $ 37,248 | ||
Intangible assets, net | 3,045 | 6,671 | |||||
Operating lease assets | 11,889 | 87,082 | |||||
Other assets | 15,080 | 16,051 | |||||
Total assets | 387,447 | 361,507 | 356,481 | ||||
Liabilities: | |||||||
Accrued expenses | 13,384 | 14,115 | |||||
Operating lease liabilities | 12,199 | 99,568 | |||||
Notes payable and lines-of-credit | 36,000 | 42,736 | 42,670 | ||||
Total liabilities | 73,528 | 175,262 | |||||
Equity: | |||||||
Additional paid-in capital | 312,153 | ||||||
Noncontrolling interests | 198 | 1,001 | |||||
Total equity | 313,919 | $ 244,413 | 182,236 | $ 194,941 | $ 210,292 | $ 237,530 | |
Total liabilities and equity | $ 387,447 | $ 361,507 | |||||
IT'SUGAR, LLC [Member] | |||||||
ASSETS | |||||||
Cash and cash equivalents | $ 1,045 | ||||||
Restricted cash | 20 | ||||||
Trade accounts receivable, net | 103 | ||||||
Trade inventory | 6,213 | ||||||
Property and equipment, net | 22,162 | ||||||
Goodwill | 14,864 | ||||||
Intangible assets, net | 3,222 | ||||||
Operating lease assets | 64,889 | ||||||
Other assets | 1,707 | ||||||
Total assets | 114,225 | ||||||
Liabilities: | |||||||
Accrued expenses | 13,441 | ||||||
Operating lease liabilities | 80,388 | ||||||
Notes payable and lines-of-credit | 6,199 | ||||||
Total liabilities | 100,028 | ||||||
Equity: | |||||||
Additional paid-in capital | 59,809 | ||||||
Retained earnings | (50,102) | ||||||
Noncontrolling interests | 4,490 | ||||||
Total equity | 14,197 | ||||||
Total liabilities and equity | $ 114,225 |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) shares in Millions, $ in Millions | Oct. 22, 2020CAD ($) | Oct. 22, 2020USD ($) | Oct. 20, 2020shares | Sep. 30, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) |
Debt Instrument [Line Items] | ||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 60,648,000 | $ 57,330,000 | $ 53,739,000 | |||
The Altman Companies, LLC [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Investments in and advances to unconsolidated real estate joint ventures | $ 15,589,000 | $ 14,745,000 | ||||
Class A and Class B Common Stock [Member] | Subsequent Event [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Authorized share repurchase program | shares | 10 | |||||
Colonial Elegance [Member] | Subsequent Event [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Purchase consideration | $ 51 | $ 39,000,000 | ||||
Business combination, estimated excess target working capital | 13 | 9,900,000 | ||||
Business combination, target working capital | 6.7 | 5,100,000 | ||||
Business combination, target working capital held | $ 1.3 | 1,000,000 | ||||
Capital contributions | $ 5,000,000 | |||||
Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Quarterly payments of principal percentage | 37.50% | 37.50% | ||||
Colonial Elegance [Member] | Subsequent Event [Member] | Term Loans [Member] | TD Bank Credit Facility [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt face amount | $ 30,000,000 | |||||
Proceeds from loans | 30,000,000 | |||||
Colonial Elegance [Member] | Subsequent Event [Member] | Operating Loans [Member] | TD Bank Credit Facility [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt face amount | 20,000,000 | |||||
Proceeds from loans | $ 8,000,000 | |||||
Prime Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Minimum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 1.375% | 1.375% | ||||
Prime Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Maximum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 1.875% | 1.875% | ||||
Base Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Minimum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 1.00% | 1.00% | ||||
Base Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Maximum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 1.50% | 1.50% | ||||
Acceptance Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Minimum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 2.875% | 2.875% | ||||
Acceptance Rate [Member] | Colonial Elegance [Member] | Subsequent Event [Member] | TD Bank Credit Facility [Member] | Maximum [Member] | Renin [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on rate | 3.375% | 3.375% |