Document and Entity Information
Document and Entity Information - $ / shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 18, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | CONSOLIDATED TOMOKA LAND CO | |
Entity Central Index Key | 0000023795 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2019 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Listing, Par Value Per Share | $ 1 | |
Entity Common Stock, Shares Outstanding | 5,027,906 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Property, Plant, and Equipment: | ||
Income Properties, Land, Buildings, and Improvements | $ 392,552,156 | $ 392,520,783 |
Other Furnishings and Equipment | 730,878 | 728,817 |
Construction in Progress | 46,017 | 19,384 |
Total Property, Plant, and Equipment | 393,329,051 | 393,268,984 |
Less, Accumulated Depreciation and Amortization | (26,737,672) | (24,518,215) |
Property, Plant, and Equipment—Net | 366,591,379 | 368,750,769 |
Land and Development Costs | 25,745,482 | 25,764,633 |
Intangible Lease Assets—Net | 42,315,994 | 43,555,445 |
Assets Held for Sale—See Note 20 | 59,078,667 | 75,866,510 |
Investment in Joint Venture | 6,797,549 | 6,788,034 |
Impact Fee and Mitigation Credits | 447,596 | 462,040 |
Cash and Cash Equivalents | 2,682,205 | 2,310,489 |
Restricted Cash | 1,336,361 | 19,721,475 |
Refundable Income Taxes | 225,024 | |
Other Assets—See Note 9 | 13,512,025 | 12,885,453 |
Total Assets | 518,507,258 | 556,329,872 |
Liabilities: | ||
Accounts Payable | 990,363 | 1,036,547 |
Accrued and Other Liabilities—See Note 14 | 4,268,927 | 5,197,884 |
Deferred Revenue—See Note 15 | 6,622,253 | 7,201,604 |
Intangible Lease Liabilities—Net | 26,697,074 | 27,390,350 |
Liabilities Held for Sale—See Note 20 | 1,641,985 | 1,347,296 |
Income Taxes Payable | 1,465,653 | |
Deferred Income Taxes—Net | 55,880,337 | 54,769,907 |
Long-Term Debt | 206,991,712 | 247,624,811 |
Total Liabilities | 304,558,304 | 344,568,399 |
Commitments and Contingencies—See Note 18 | ||
Shareholders' Equity: | ||
Common Stock – 25,000,000 shares authorized; $1 par value, 6,072,588 shares issued and 5,386,623 shares outstanding at March 31, 2019; 6,052,209 shares issued and 5,436,952 shares outstanding at December 31, 2018 | 6,012,993 | 5,995,257 |
Treasury Stock – 685,965 shares at March 31, 2019 and 615,257 shares at December 31, 2018 | (36,470,196) | (32,345,002) |
Additional Paid-In Capital | 24,817,328 | 24,326,778 |
Retained Earnings | 219,231,100 | 213,297,897 |
Accumulated Other Comprehensive Income | 357,729 | 486,543 |
Total Shareholders' Equity | 213,948,954 | 211,761,473 |
Total Liabilities and Shareholders’ Equity | $ 518,507,258 | $ 556,329,872 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2019 | Dec. 31, 2018 |
Common Stock | ||
Common Stock, shares authorized | 25,000,000 | 25,000,000 |
Common Stock, par value (in dollars per share) | $ 1 | $ 1 |
Common Stock, shares issued | 6,072,588 | 6,052,209 |
Common Stock, shares outstanding | 5,386,623 | 5,436,952 |
Treasury Stock | ||
Treasury Stock, shares held | 685,965 | 615,257 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenues | ||
Revenues | $ 14,259,319 | $ 23,497,243 |
Direct Cost of Revenues | ||
Total Direct Cost of Revenues | (3,557,757) | (3,409,863) |
General and Administrative Expenses | (2,501,620) | (2,823,548) |
Depreciation and Amortization | (3,346,287) | (3,796,823) |
Total Operating Expenses | (9,405,664) | (10,030,234) |
Gain on Disposition of Assets | 6,869,957 | 3,650,858 |
Total Operating Income | 11,723,612 | 17,117,867 |
Investment Income (Loss) | 38,755 | 12,312 |
Interest Expense | (2,923,229) | (2,561,465) |
Income from Continuing Operations Before Income Tax Benefit (Expense) | 8,839,138 | 14,568,714 |
Income Tax Benefit (Expense) from Continuing Operations | (2,210,802) | (3,558,599) |
Net Income from Continuing Operations | 6,628,336 | 11,010,115 |
Loss from Discontinued Operations (Net of Income Tax)—See Note 20 | (160,237) | (97,816) |
Net Income | $ 6,468,099 | $ 10,912,299 |
Basic | ||
Net Income from Continuing Operations (in dollars per share) | $ 1.24 | $ 1.99 |
Net Loss from Discontinued Operations (Net of Income Tax) (in dollars per share) | (0.03) | (0.02) |
Basic Net Income per Share (in dollars per share) | 1.21 | 1.97 |
Diluted | ||
Net Income from Continuing Operations (in dollars per share) | 1.24 | 1.98 |
Net Loss from Discontinued Operations (Net of Income Tax) (in dollars per share) | (0.03) | (0.02) |
Diluted Net Income per Share (in dollars per share) | 1.21 | 1.96 |
Dividends Declared and Paid (in dollars per share) | $ 0.10 | $ 0.06 |
Income Properties | ||
Revenues | ||
Revenues | $ 10,724,418 | $ 9,205,727 |
Direct Cost of Revenues | ||
Total Direct Cost of Revenues | (1,932,488) | (1,869,029) |
Depreciation and Amortization | (3,339,856) | (3,787,415) |
Commercial Loan Investments | ||
Revenues | ||
Revenues | 300,999 | |
Real Estate Operations | ||
Revenues | ||
Revenues | 3,534,901 | 13,990,517 |
Direct Cost of Revenues | ||
Total Direct Cost of Revenues | $ (1,625,269) | $ (1,540,834) |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||
Net Income | $ 6,468,099 | $ 10,912,299 |
Other Comprehensive Income (Loss) | ||
Cash Flow Hedging Derivative - Interest Rate Swap (Net of Income Tax of $(43,732) and $60,365, respectively) | (128,814) | 258,066 |
Total Other Comprehensive Income (loss), Net of Income Tax | (128,814) | 258,066 |
Total Comprehensive Income | $ 6,339,285 | $ 11,170,365 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||
Cash Flow Hedging Derivative - Interest Rate Swap, Income Tax | $ (43,732) | $ 60,365 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY - USD ($) | Common Stock | Treasury Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total |
Balance at Dec. 31, 2017 | $ 5,963,850 | $ (22,507,760) | $ 22,735,228 | $ 177,614,274 | $ 372,616 | $ 184,178,208 |
Increase (decrease) in shareholders' equity | ||||||
Net Income | 10,912,299 | 10,912,299 | ||||
Vested Restricted Stock | 19,065 | (517,439) | (498,374) | |||
Stock Issuance | 561 | 35,063 | 35,624 | |||
Stock Compensation Expense from Restricted Stock Grants and Equity Classified Stock Options | 467,271 | 467,271 | ||||
Cash Dividends | (332,209) | (332,209) | ||||
Other Comprehensive Income (Loss), Net of Income Tax | 258,066 | 258,066 | ||||
Balance at Mar. 31, 2018 | 5,983,476 | (22,507,760) | 22,720,123 | 188,194,364 | 630,682 | 195,020,885 |
Balance at Dec. 31, 2018 | 5,995,257 | (32,345,002) | 24,326,778 | 213,297,897 | 486,543 | 211,761,473 |
Increase (decrease) in shareholders' equity | ||||||
Net Income | 6,468,099 | 6,468,099 | ||||
Stock Repurchase | (4,125,194) | (4,125,194) | ||||
Vested Restricted Stock | 12,957 | (316,272) | (303,315) | |||
Stock Issuance | 4,779 | 267,352 | 272,131 | |||
Stock Compensation Expense from Restricted Stock Grants and Equity Classified Stock Options | 539,470 | 539,470 | ||||
Cash Dividends | (534,896) | (534,896) | ||||
Other Comprehensive Income (Loss), Net of Income Tax | (128,814) | (128,814) | ||||
Balance at Mar. 31, 2019 | $ 6,012,993 | $ (36,470,196) | $ 24,817,328 | $ 219,231,100 | $ 357,729 | $ 213,948,954 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Common Stock | ||
Cash Dividends (in dollars per share) | $ 0.1 | $ 0.06 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Cash Flow from Operating Activities: | |||
Net Income | $ 6,468,099 | $ 10,912,299 | |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | |||
Depreciation and Amortization | 3,346,287 | 3,900,379 | |
Amortization of Intangible Liabilities to Income Property Revenue | (580,655) | (579,659) | |
Loan Cost Amortization | 105,841 | 149,895 | |
Amortization of Discount on Convertible Debt | 331,260 | 310,782 | |
Gain on Disposition of Property, Plant, and Equipment and Intangible Assets | (3,650,858) | ||
Gain on Disposition of Assets Held for Sale | (6,869,957) | ||
Accretion of Commercial Loan Origination Fees | (14,760) | ||
Deferred Income Taxes | 981,616 | 3,930,060 | |
Non-Cash Compensation | 811,601 | 502,895 | |
Decrease (Increase) in Assets: | |||
Refundable Income Taxes | 225,024 | (166,324) | |
Golf Assets Held for Sale | (218,215) | ||
Land and Development Costs | 19,151 | (198,173) | |
Impact Fees and Mitigation Credits | 14,444 | 311,236 | |
Other Assets | (626,572) | (711,750) | |
Increase (Decrease) in Liabilities: | |||
Accounts Payable | (46,184) | (450,864) | |
Accrued and Other Liabilities | (928,957) | (4,093,144) | |
Deferred Revenue | (579,351) | 483,305 | |
Golf Liabilities Held for Sale | 294,689 | ||
Income Taxes Payable | 1,465,653 | ||
Net Cash Provided By Operating Activities | 4,213,774 | 10,635,319 | |
Cash Flow from Investing Activities: | |||
Acquisition of Property, Plant, and Equipment and Intangible Lease Assets and Liabilities | (188,112) | (27,916,784) | |
Acquisition of Land | (2,141,853) | ||
Cash Contribution for Interest in Joint Venture | (9,515) | ||
Proceeds from Disposition of Property, Plant, and Equipment, Net, and Assets Held for Sale | 24,004,060 | 11,077,525 | |
Net Cash Used In Investing Activities | 23,806,433 | (18,981,112) | |
Cash Flow from Financing Activities: | |||
Proceeds from Long-Term Debt | 3,000,000 | 33,000,000 | |
Payments on Long-Term Debt | (44,070,200) | (29,899,770) | |
Cash Paid for Loan Fees | (117,683) | ||
Cash Used to Purchase Common Stock | (4,125,194) | ||
Cash Paid for Vesting of Restricted Stock | (303,315) | (498,374) | |
Dividends Paid | (534,896) | (332,209) | |
Net Cash Provided By Financing Activities | (46,033,605) | 2,151,964 | |
Net Increase (Decrease) in Cash | (18,013,398) | (6,193,829) | |
Cash, Beginning of Year | 22,031,964 | 13,067,540 | $ 13,067,540 |
Cash, End of Period | 4,018,566 | 6,873,711 | 22,031,964 |
Reconciliation of Cash to the Consolidated Balance Sheets: | |||
Cash and Cash Equivalents | 2,682,205 | 3,724,714 | 2,310,489 |
Restricted Cash | 1,336,361 | 3,148,997 | 19,721,475 |
Total Cash as of March 31, 2019 and 2018, respectively | $ 22,031,964 | $ 13,067,540 | $ 13,067,540 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Supplemental Disclosure of Cash Flows: | ||
Income taxes paid | $ 0 | |
Income taxes refunded | $ 687,000 | 0 |
Interest paid | 3,431,000 | 2,899,000 |
Interest capitalized | 0 | 0 |
Right-of-use assets | 443,351 | |
Lease liabilities | 443,351 | |
Increase (decrease) in assets held for sale | 218,215 | |
Increase in liabilities held for sale | 294,689 | |
Aspen, Colorado | ||
Supplemental disclosure of investing and financing activities | ||
Tenant contribution | 1,500,000 | |
Florida | ||
Supplemental disclosure of investing and financing activities | ||
Tenant contribution | 1,900,000 | |
Golf Operations | ||
Supplemental Disclosure of Cash Flows: | ||
Increase (decrease) in assets held for sale | 208,000 | |
Increase in liabilities held for sale | 208,000 | |
(“ASU”) Topic 842 | Restatement | ||
Supplemental Disclosure of Cash Flows: | ||
Right-of-use assets | 681,000 | |
Lease liabilities | 473,000 | |
Single-tenant | Aspen, Colorado | ||
Supplemental disclosure of investing and financing activities | ||
Purchase price | $ 28,000,000 | |
Real Estate Operations | ||
Supplemental disclosure of investing and financing activities | ||
Tenant contribution | 1,900,000 | |
Purchase price | $ 28,000,000 |
DESCRIPTION OF BUSINESS AND PRI
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS | 3 Months Ended |
Mar. 31, 2019 | |
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS | |
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS | NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) NOTE 1. DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS Description of Business The terms “us,” “we,” “our,” and “the Company” as used in this report refer to Consolidated-Tomoka Land Co. together with our consolidated subsidiaries. We are a diversified real estate operating company. We own and manage, sometimes utilizing third-party property management companies, forty-six commercial real estate properties in fourteen states in the United States. As of March 31, 2019, we owned forty single-tenant and six multi-tenant income-producing properties with approximately 2.3 million square feet of gross leasable space. We also own and manage a portfolio of undeveloped land totaling approximately 5,400 acres in Daytona Beach, Florida. We own the LPGA International Golf Club, which is managed by a third party and classified as held for sale (the “Club”). We also lease some of our land for eighteen billboards, have agricultural operations that are managed by a third party, which consist of leasing land for hay production and timber harvesting, and own and manage Subsurface Interests (hereinafter defined). Interim Financial Information The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements do not include all of the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements and should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018, which provides a more complete understanding of the Company’s accounting policies, financial position, operating results, business properties, and other matters. The unaudited consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary to present fairly the financial position of the Company and the results of operations for the interim periods. The results of operations for the three months ended March 31, 2019 are not necessarily indicative of results to be expected for the year ending December 31, 2019. Principles of Consolidation The consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and other entities in which we have a controlling interest. Any real estate entities or properties included in the consolidated financial statements have been consolidated only for the periods that such entities or properties were owned or under control by us. All inter-company balances and transactions have been eliminated in the consolidated financial statements. Use of Estimates in Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recently Issued Accounting Standards In February 2016, the FASB issued ASU 2016-02, which requires entities to recognize assets and liabilities that arise from financing and operating leases and to classify those finance and operating lease payments in the financing or operating sections, respectively, of the statement of cash flows pursuant to FASB ASC Topic 842, Leases. The amendments in this update are effective for annual reporting periods beginning after December 15, 2018. The Company’s implemented ASC 842 effective January 1, 2019 and has elected to follow the practical expedients and accounting policies below: · The Company, as lessee and as lessor, will not reassess (i) whether any expired or existing contracts are or contain leases, (ii) lease classification for any expired or existing leases or (iii) initial direct costs for any expired or existing leases. · The Company, as lessee, will not apply the recognition requirements of ASC 842 to short-term (twelve months or less) leases. Instead, the Company, as lessee, will recognize the lease payments in profit or loss on a straight-line basis over the lease term and variable lease payments in the period in which the obligation for those payments is incurred. As of the date of this report, the Company has no such short-term leases. · The Company, as lessor, will not separate nonlease components from lease components and, instead, will account for each separate lease component and the nonlease components associated with that lease as a single component if the nonlease components otherwise would be accounted for under ASC Topic 606. The primary reason for this election is related to instances where common area maintenance is, or may be, a component of base rent within a lease agreement. At the beginning of the period of adoption, January 1, 2019, through a cumulative-effect adjustment, the Company increased right-of use assets and lease liabilities for operating leases for which the Company is the lessee. The amount of the adjustment totaled approximately $681,000 and was reflected as an increase in Other Assets and Accrued and Other Liabilities for corporate leases totaling approximately $473,000 and an increase in Assets Held for Sale and Liabilities Held for sale for golf operations segment leases totaling approximately $208,000. There were no adjustments related to the leases for which the Company is the lessor. Cash and Cash Equivalents Cash and cash equivalents include cash on hand, bank demand accounts, and money market accounts having original maturities of 90 days or less. The Company’s bank balances as of March 31, 2019 include certain amounts over the Federal Deposit Insurance Corporation limits. Restricted Cash Restricted cash totaled approximately $1.3 million at March 31, 2019 of which approximately $1.1 million is being held in three separate escrow accounts related to three separate land transactions which closed in December 2013, February 2017, and March 2018; and approximately $223,000 is being held in a capital replacement reserve account in connection with our financing of six income properties with Wells Fargo Bank, NA (“Wells Fargo”). Derivative Financial Instruments and Hedging Activity Interest Rate Swap. In conjunction with the variable-rate mortgage loan secured by our property located in Raleigh, North Carolina leased to Wells Fargo, the Company entered into an interest rate swap to fix the interest rate (the “Interest Rate Swap”). The Company accounts for its cash flow hedging derivative in accordance with FASB ASC Topic 815-20, Derivatives and Hedging . Depending upon the hedge’s value at each balance sheet date, the derivative is included in either Other Assets or Accrued and Other Liabilities on the consolidated balance sheet at its fair value. On the date the Interest Rate Swap was entered into, the Company designated the derivative as a hedge of the variability of cash flows to be paid related to the recognized long-term debt liability. The Company formally documented the relationship between the hedging instrument and the hedged item, as well as its risk-management objective and strategy for undertaking the hedge transaction. At the hedge’s inception, the Company formally assessed whether the derivative that is used in hedging the transaction is highly effective in offsetting changes in cash flows of the hedged item, and we will continue to do so on an ongoing basis. As the terms of the Interest Rate Swap and the associated debt are identical, the Interest Rate Swap qualifies for the shortcut method, therefore, it is assumed that there is no hedge ineffectiveness throughout the entire term of the Interest Rate Swap. Changes in fair value of the Interest Rate Swap that are highly effective and designated and qualified as a cash-flow hedge are recorded in other comprehensive income and loss, until earnings are affected by the variability in cash flows of the designated hedged item. Fair Value of Financial Instruments The carrying amounts of the Company’s financial assets and liabilities including cash and cash equivalents, restricted cash, accounts receivable, accounts payable, and accrued and other liabilities at March 31, 2019 and December 31, 2018, approximate fair value because of the short maturity of these instruments. The carrying value of the Company’s credit facility approximates current market rates for revolving credit arrangements with similar risks and maturities. The face value of the Company’s mortgage notes and convertible debt is measured at fair value based on current market rates for financial instruments with similar risks and maturities. See Note 6, “Fair Value of Financial Instruments.” Fair Value Measurements The Company’s estimates of fair value of financial and non-financial assets and liabilities is based on the framework established by GAAP. The framework specifies a hierarchy of valuation inputs which was established to increase consistency, clarity and comparability in fair value measurements and related disclosures. GAAP describes a fair value hierarchy based upon three levels of inputs that may be used to measure fair value, two of which are considered observable and one that is considered unobservable. The following describes the three levels: · Level 1 – Valuation is based upon quoted prices in active markets for identical assets or liabilities. · Level 2 – Valuation is based upon inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. · Level 3 – Valuation is generated from model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include option pricing models, discounted cash flow models and similar techniques. Impact Fees and Mitigation Credits Impact fees and mitigation credits are stated at historical cost. As these assets are sold, the related revenues and cost basis are reported as revenues from, and direct costs of, real estate operations, respectively, in the consolidated statements of operations. Accounts Receivable Accounts receivable related to income properties, which are classified in other assets on the consolidated balance sheets, primarily consist of tenant reimbursable expenses. Receivables related to tenant reimbursable expenses totaled approximately $1.0 million and $628,000 as of March 31, 2019 and December 31, 2018, respectively. Accounts receivable related to real estate operations, which are classified in other assets on the consolidated balance sheets, totaled approximately $1.8 million as of both March 31, 2019 and December 31, 2018. As more fully described in Note 9, “Other Assets,” these accounts receivable are primarily related to the reimbursement of certain infrastructure costs completed by the Company in conjunction with two land sale transactions that closed during the fourth quarter of 2015. Trade accounts receivable primarily consist of receivables related to the golf operations segment, which are classified in Assets Held for Sale on the consolidated balance sheets. Trade accounts receivable related to golf operations segment, which primarily consist of amounts due from members or from private events, totaled approximately $347,000 and $290,000 as of March 31, 2019 and December 31, 2018, respectively. The collectability of the aforementioned receivables is determined based on the aging of the receivable and a review of the specifically identified accounts using judgments. As of March 31, 2019 and December 31, 2018, the Company recorded an allowance for doubtful accounts of approximately $217,000 and $185,000, respectively. Purchase Accounting for Acquisitions of Real Estate Subject to a Lease In accordance with the FASB guidance on business combinations, the fair value of the real estate acquired with in-place leases is allocated to the acquired tangible assets, consisting of land, building and tenant improvements, and identified intangible assets and liabilities, consisting of the value of above-market and below-market leases, the value of in-place leases, and the value of leasing costs, based in each case on their relative fair values. The fair value of the tangible assets of an acquired leased property is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land, building and tenant improvements based on the determination of the fair values of these assets. In allocating the fair value of the identified intangible assets and liabilities of an acquired property, above-market and below-market in-place lease values are recorded as other assets or liabilities based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases, and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining term of the lease, including the probability of renewal periods. The capitalized above-market lease values are amortized as a reduction of rental income over the remaining terms of the respective leases. The capitalized below-market lease values are amortized as an increase to rental income over the initial term unless the Company believes that it is likely that the tenant will renew the option whereby the Company amortizes the value attributable to the renewal over the renewal period. The aggregate value of other acquired intangible assets, consisting of in-place leases, is measured by the excess of (i) the purchase price paid for a property after adjusting existing in-place leases to market rental rates over (ii) the estimated fair value of the property as-if-vacant, determined as set forth above. The value of in-place leases exclusive of the value of above-market and below-market in-place leases is amortized to expense over the remaining non-cancelable periods of the respective leases. If a lease were to be terminated prior to its stated expiration, all unamortized amounts relating to that lease would be written off. The value of tenant relationships is reviewed on individual transactions to determine if future value was derived from the acquisition. In January 2017, the FASB issued ASU 2017-01, Business Combinations which clarified the definition of a business. Pursuant to ASU 2017-01, the acquisition of an income property subject to a lease no longer qualifies as a business combination, but rather an asset acquisition, accordingly acquisition costs have been capitalized. Sales of Real Estate Gains and losses on sales of real estate are accounted for as required by FASB ASC Topic 606, Revenue from Contracts with Customers . The Company recognizes revenue from the sales of real estate when the Company transfers the promised goods and/or services in the contract based on the transaction price allocated to the performance obligations within the contract. As market information becomes available, real estate cost basis is analyzed and recorded at the lower of cost or market. Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred income taxes result primarily from the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. See Note 17, “Income Taxes.” In June 2006, the FASB issued additional guidance, which clarifies the accounting for uncertainty in income taxes recognized in a company’s financial statements included in income taxes. The interpretation prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The interpretation also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. In accordance with FASB guidance included in income taxes, the Company has analyzed its various federal and state filing positions and believes that its income tax filing positions and deductions are well documented and supported. Additionally, the Company believes that its accruals for tax liabilities are adequate. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to the FASB guidance. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 3 Months Ended |
Mar. 31, 2019 | |
REVENUE RECOGNITION | |
REVENUE RECOGNITION | NOTE 2. REVENUE RECOGNITION The Company implemented FASB ASC Topic 606, Revenue from Contracts with Customers effective January 1, 2018 utilizing the modified retrospective method. The following table summarizes the Company’s revenue by segment, major good and/or service, and the related timing of revenue recognition for the three months ended March 31, 2019: Income Real Estate Total Properties Operations Revenues ($000's) ($000's) ($000's) Major Good / Service: Lease Revenue - Base Rent $ 8,875 $ 27 $ 8,902 Lease Revenue - CAM 670 — 670 Lease Revenue - Reimbursements 546 — 546 Lease Revenue - Billboards 36 — 36 Above / Below Market Lease Accretion 581 — 581 Contributed Leased Assets Accretion 62 — 62 Lease Incentive Amortization (76) — (76) Land Sale Revenue — 3,300 3,300 Subsurface Lease Revenue — 199 199 Subsurface Revenue - Other — 9 9 Interest and Other Revenue 30 — 30 Total Revenues $ 10,724 $ 3,535 $ 14,259 Timing of Revenue Recognition: Asset/Good Transferred at a Point in Time $ — $ 3,309 $ 3,309 Services Transferred Over Time 30 — 30 Over Lease Term 10,694 226 10,920 Commercial Loan Investment Related Revenue — — — Total Revenues $ 10,724 $ 3,535 $ 14,259 The following table summarizes the Company’s revenue by segment, major good and/or service, and the related timing of revenue recognition for the three months ended March 31, 2018: Interest Income Income from Commercial Real Estate Total Properties Loan Investments Operations Revenues ($000's) ($000's) ($000's) ($000's) Major Good / Service: Lease Revenue - Base Rent $ 7,422 $ — $ 11 $ 7,433 Lease Revenue - CAM 614 — — 614 Lease Revenue - Reimbursements 565 — — 565 Lease Revenue - Billboards 64 — — 64 Above / Below Market Lease Accretion 580 — — 580 Contributed Leased Assets Accretion 10 — — 10 Lease Incentive Amortization (76) — — (76) Interest from Commercial Loan Investments — 301 — 301 Land Sale Revenue — — 13,117 13,117 Impact Fee and Mitigation Credit Sales — — 116 116 Subsurface Lease Revenue — — 199 199 Subsurface Revenue - Other — — 547 547 Interest and Other Revenue 27 — — 27 Total Revenues $ 9,206 $ 301 $ 13,990 $ 23,497 Timing of Revenue Recognition: Asset/Good Transferred at a Point in Time $ — $ — $ 13,780 $ 13,780 Services Transferred Over Time 27 — — 27 Over Lease Term 9,179 — 210 9,389 Commercial Loan Investment Related Revenue — 301 — 301 Total Revenues $ 9,206 $ 301 $ 13,990 $ 23,497 |
INCOME PROPERTIES
INCOME PROPERTIES | 3 Months Ended |
Mar. 31, 2019 | |
INCOME PROPERTIES | |
INCOME PROPERTIES | NOTE 3. INCOME PROPERTIES No income properties were acquired during the three months ended March 31, 2019. One multi-tenant income property, which was classified in Assets Held for Sale as of December 31, 2018, was disposed of during the three months ended March 31, 2019. On February 21, 2019, the Company sold its approximately 59,000 square foot multi-tenant retail property anchored by a Whole Foods Market retail store located in Sarasota, Florida for approximately $24.62 million (the “Whole Foods Sale”). The gain on the Whole Foods Sale totaled approximately $6.9 million, or approximately $0.96 per share, after tax. The Company applied the proceeds from the Whole Foods Sale towards the purchase of the previously-acquired portfolio of eight single-tenant ground leased income properties in Jacksonville, Florida, through a reverse 1031 like-kind exchange structure. The Whole Foods Sale continues the Company’s objective of transitioning the income property portfolio to primarily single-tenant net lease properties. During the three months ended March 31, 2018, the Company acquired one single-tenant income property for a purchase price of $28.0 million, or an acquisition cost of approximately $29.0 million including capitalized acquisition costs. Of the total acquisition cost, approximately $12.0 million was allocated to land, approximately $15.0 million was allocated to buildings and improvements, approximately $2.8 million was allocated to intangible assets pertaining to the in-place lease value, leasing fees and above market lease value, and approximately $0.8 million was allocated to intangible liabilities for the below market lease value. The weighted average amortization period for the intangible assets and liabilities was approximately 20.0 years at acquisition. Four income properties were disposed of during the three months ended March 31, 2018. On March 26, 2018, the Company sold its four self-developed, multi-tenant office properties located in Daytona Beach, Florida, for approximately $11.4 million (the “Self-Developed Properties Sale”). The sale included the 22,012 square-foot Concierge office building, the 30,720 square-foot Mason Commerce Center comprised of two office buildings, and the 15,360 square-foot Williamson Business Park office building. The gain on the sale totaled approximately $3.7 million, or approximately $0.49 per share, after tax. The Company utilized the proceeds to fund a portion of the previously-acquired income property located near Portland, Oregon, leased to Wells Fargo, through a reverse 1031 like-kind exchange structure. As part of the transaction, the Company entered into a lease of its approximately 7,600 square-foot office space in Williamson Business Park for approximately 5 years at a market rental rate. |
LAND AND SUBSURFACE INTERESTS
LAND AND SUBSURFACE INTERESTS | 3 Months Ended |
Mar. 31, 2019 | |
LAND AND SUBSURFACE INTERESTS | |
LAND AND SUBSURFACE INTERESTS | NOTE 4. LAND AND SUBSURFACE INTERESTS As of March 31, 2019, the Company owned approximately 5,400 acres of undeveloped land in Daytona Beach, Florida, along six miles of the west and east sides of Interstate 95. Currently, a significant amount of this land is used for agricultural purposes. As of April 30, 2019, approximately 60% of this acreage, over 3,200 acres, is under contract to be sold. Approximately 900 acres of our land holdings are located on the east side of Interstate 95 and are generally well-suited for commercial development. Approximately 4,500 acres of our land holdings are located on the west side of Interstate 95 and the majority of this land is generally well-suited for residential development. Included in the western land is approximately 1,000 acres, primarily an 850-acre parcel and three smaller parcels, which are located further west of Interstate 95 and a few miles north of Interstate 4 that are generally well-suited for industrial purposes. Real estate operations revenue consisted of the following for the three months ended March 31, 2019 and 2018, respectively: Three Months Ended March 31, 2019 March 31, 2018 Revenue Description ($000's) ($000's) Land Sales Revenue $ 3,300 $ 13,117 Impact Fee and Mitigation Credit Sales — 116 Subsurface Revenue 208 746 Fill Dirt and Other Revenue 27 — Agriculture — 11 Total Real Estate Operations Revenue $ 3,535 $ 13,990 2019 Land Sales. During the three months ended March 31, 2019, a total of approximately 9.9 acres were sold for approximately $3.3 million, as described below: Gross Sales Gain Date of No. of Price Price on Sale Buyer (or Description) Location Sale Acres ($000's) per Acre ($000's) 1 Unicorp-Grocery Anchored Project East of I-95 02/27/19 9.9 $ 3,300 $ $ 2,274 2018 Land Sales. During the three months ended March 31, 2018, a total of approximately 34.9 acres were sold for approximately $13.9 million, as described below:’ Gross Sales Gain Date of No. of Price (1) Price on Sale Buyer (or Description) Location Sale Acres ($000's) per Acre ($000's) 1 Buc-ee's East of I-95 03/16/18 34.9 $ 13,948 $ $ 11,926 (1) The gain recognized during the three months ended March 31, 2018 on the Buc-ee’s sale totaling approximately $11.9 million excludes approximately $831,000 held in an escrow reserve related to the portion of the acreage sold for which the Company remains obligated to perform wetlands mitigation. The Company expects to recognize the remaining gain of approximately $831,000 upon completion of the mitigation work. See Note 15, “Deferred Revenue”. Pipeline. For a description of our land which is currently under contract, see the land pipeline in Note 18, “Commitment and Contingencies.” Land Impairments. There were no impairment charges related to the Company’s undeveloped land during the three months ended March 31, 2019 or 2018. Daytona Beach Development. We may selectively acquire other real estate in Daytona Beach, Florida. We may target either vacant land or land with existing structures that we would demolish and develop into additional income properties. During 2018, the Company acquired a 5-acre parcel of land with existing structures in downtown Daytona Beach, for a purchase price of approximately $2.0 million. As of December 31, 2018, the Company had also acquired other contiguous parcels totaling approximately 1-acre for approximately $1.8 million. Combined, these parcels represent the substantial portion of an entire city block in downtown Daytona Beach adjacent to International Speedway Boulevard, a major thoroughfare in Daytona Beach. The combined 6 acres is located in an opportunity zone and a community redevelopment area. In addition, this property is proximate to the future headquarters of Brown & Brown Inc., the sixth largest insurance broker in the U.S. and a publicly listed company, that is expected to be occupied by at least 600 of their employees. We have engaged a national real estate brokerage firm to assist us in identifying a developer or investor to acquire a portion or all of the property or to contribute into a potential joint venture to redevelop the property. We are pursuing entitlements for the potential redevelopment of these parcels, along with certain other adjacent land parcels, some of which we have under contract for purchase. Our intent for investments in the Daytona Beach area is to target opportunistic acquisitions of select catalyst sites, which are typically distressed, with the objective of short-to-medium investment horizons. We may enter into joint ventures or other partnerships to develop land we have acquired or may acquire in the future in lieu of self-developing. Other Real Estate Assets. The Company owns impact fees with a cost basis of approximately $2,000 and mitigation credits with a cost basis of approximately $445,000 for a combined total of approximately $447,000 as of March 31, 2019. During the three months ended March 31, 2018, the Company transferred mitigation credits with a basis of approximately $124,000 to the land acquired by Buc-ee’s. During the three months ended March 31, 2018, the Company received cash payments of approximately $116,000, for impact fees with a cost basis that was generally of equal value. Additionally, during the three months ended March 31, 2018, impact fees with a cost basis of approximately $72,000 were transferred to the beachfront restaurant leased to LandShark Bar & Grill. There were no impact fee sales during the three months ended March 31, 2019. As of December 31, 2018, the Company owned impact fees with a cost basis of approximately $2,000 and mitigation credits with a cost basis of approximately $460,000 for a combined total of approximately $462,000. Subsurface Interests. As of March 31, 2019, the Company owns full or fractional subsurface oil, gas, and mineral interests underlying approximately 455,000 “surface” acres of land owned by others in 20 counties in Florida (the “Subsurface Interests”). The Company leases certain of the Subsurface Interests to mineral exploration firms for exploration. Our subsurface operations consist of revenue from the leasing of exploration rights and in some instances, additional revenues from royalties applicable to production from the leased acreage. There were no subsurface sales during the three months ended March 31, 2019 or 2018. During 2011, an eight-year oil exploration lease was executed covering a portion of our Subsurface Interests. On September 20, 2017, the Company amended the oil exploration lease to, among other things, extend the expiration of the original term for five additional years to the new expiration date of September 22, 2024. The lease is effectively thirteen one-year terms as the lessee has the option to terminate the lease at the end of each lease year. The lessee has exercised renewal options through lease year eight ending September 22, 2019. The terms of the lease state the Company will receive royalty payments if production occurs, and may receive additional annual rental payments if the lease is continued in years nine through thirteen. The lease calls for annual lease payments which are recognized as revenue ratably over the respective twelve-month lease periods. Pursuant to the amendment for the Year 8 renewal the annual lease payment is to be paid in installments. In addition, non-refundable drilling penalty payments are made as required by the drilling requirements in the lease which are recognized as revenue when earned, i.e. when the amount is agreed upon. The lessee, an affiliate of Kerogen Exploration LLC, has submitted a drilling permit application in Hendry County to allow for drilling to commence. Lease payments on the respective acreages and drilling penalties through lease Year 8 are as follows: Acreage Lease Year (Approximate) Florida County Lease Payment (1) Drilling Penalty (1) Lease Year 1 - 9/23/2011 - 9/22/2012 136,000 Lee and Hendry $ 913,657 $ — Lease Year 2 - 9/23/2012 - 9/22/2013 136,000 Lee and Hendry 922,114 — Lease Year 3 - 9/23/2013 - 9/22/2014 82,000 Hendry 3,293,000 1,000,000 Lease Year 4 - 9/23/2014 - 9/22/2015 42,000 Hendry 1,866,146 600,000 Lease Year 5 - 9/23/2015 - 9/22/2016 25,000 Hendry 1,218,838 175,000 Lease Year 6 - 9/23/2016 - 9/22/2017 15,000 Hendry 806,683 150,000 Lease Year 7 - 9/23/2017 - 9/22/2018 15,000 Hendry 806,683 50,000 Lease Year 8 - 9/23/2018 - 9/22/2019 15,000 Hendry 806,684 150,000 Total Payments $ 10,633,805 $ 2,125,000 (1) Generally, cash payment for the Lease Payment is received on or before the first day of the lease year. The Drilling Penalty, which is due within thirty days from the end of the prior lease year, is recorded as revenue when earned, i.e. when the amount is agreed upon, while the Lease Payment is recognized on a straight-line basis over the respective lease term. Pursuant to the amendment for the Year 8 renewal, the Lease Payment and Drilling Penalty were to be received in monthly installments. As of March 31, 2019, the entire amount of approximately $957,000 had been received pursuant to the payment installment schedule. See separate disclosure of revenue recognized per period below. Lease income generated by the annual lease payments is recognized on a straight-line basis over the guaranteed lease term. For both the three months ended March 31, 2019 and 2018, respectively, lease income of approximately $199,000 was recognized. There can be no assurance that the oil exploration lease will be extended beyond the expiration of the current term of September 22, 2019 or, if extended, the terms or conditions of such extension. During the three months ended March 31, 2019 and 2018, the Company also received oil royalties from operating oil wells on 800 acres under a separate lease with a separate operator. Revenues received from oil royalties totaled approximately $8,000 and $32,000, during the three months ended March 31, 2019 and 2018, respectively. The Company is not prohibited from the disposition of any or all of its Subsurface Interests. Should the Company complete a transaction to sell all or a portion of its Subsurface Interests, the Company may utilize the like-kind exchange structure in acquiring one or more replacement investments including income-producing properties. The Company may release surface entry rights or other rights upon request of a surface owner for a negotiated release fee typically based on a percentage of the surface value. There were no releases of surface entry rights during the three months ended March 31, 2019. During the three months ended March 31, 2018, the Company completed a transaction releasing our surface entry rights on approximately 600 acres in exchange for approximately $185,000 in cash and fee title to approximately 40 additional acres in Hendry County, valued at approximately $320,000. Including the non-cash value received, the gain from the transaction totaled approximately $435,000, or $0.06 per share, after tax. |
INVESTMENT IN JOINT VENTURE
INVESTMENT IN JOINT VENTURE | 3 Months Ended |
Mar. 31, 2019 | |
INVESTMENT IN JOINT VENTURE | |
INVESTMENT IN JOINT VENTURE | NOTE 5. INVESTMENT IN JOINT VENTURE Mitigation Bank. The Investment in Joint Venture on the Company’s consolidated balance sheet represents the Company’s ownership interest in the Mitigation Bank (hereinafter defined) (the “JV Investment”). We have concluded the Mitigation Bank is a variable interest entity and is accounted for under the equity method of accounting as the Company is not the primary beneficiary as defined in FASB ASC Topic 810, Consolidation . The significant factors related to this determination include, but are not limited to, the Mitigation Bank being jointly controlled by the members through the use of unanimous approval for all material actions and the retention by the Venture (hereinafter defined) of a third party as the day-to-day manager of the Mitigation Bank property, responsible for the maintenance, generation, tracking, and other aspects of wetland mitigation credits. Under the guidance of FASB ASC 323, Investments-Equity Method and Joint Ventures , the Company uses the equity method to account for the JV Investment. The mitigation bank transaction, completed during the second quarter of 2018, consists of the sale of a 70% interest in the entity that holds approximately 2,492 acres of land that has been permitted for the creation of a wetland mitigation bank (the “Venture” or the “Mitigation Bank”). The purchaser of the 70% interest in the Mitigation Bank is comprised of certain funds and accounts managed by an investment advisor subsidiary of BlackRock, Inc. (“BlackRock”). The Company retained an approximately 30% non-controlling interest in the Mitigation Bank. The Mitigation Bank intends to engage in the creation and sale of both federal and state wetland mitigation credits. These credits will be created pursuant to the applicable permits that have been or will be issued to the Venture from the federal and state regulatory agencies that exercise jurisdiction over the awarding of such credits, but no assurances can be given as to the issuance, marketability or value of the credits. The Venture received the permit from the state regulatory agency on June 8, 2018 (the “State Permit”). The state regulatory agency may award up to 355 state credits under the State Permit. On August 6, 2018, the state regulatory agency awarded the initial 88.84 credits under the State Permit. Receipt of the remaining federal permit is anticipated to occur prior to the end of 2019. The gain on the sale of the 70% interest in the Mitigation Bank totaled approximately $18.4 million and was comprised of the gain on the sale of 70% interest for proceeds of $15.3 million as well as the gain on the retained 30% interest pursuant to FASB ASC Topic 610-20, Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets. The gain was included in the Gain on Disposition of Assets in the Company’s consolidated statements of operations for the three months ended June 30, 2018. As of March 31, 2019, the approximately $6.8 million Investment in Joint Venture included on the Company’s consolidated balance sheets is comprised of the fair market value of the 30% retained interest in the Venture. The operating agreement of the Venture (the “Operating Agreement”) executed in conjunction with the mitigation bank transaction stipulates that the Company shall arrange for sales of the Venture’s mitigation credits to unrelated third parties totaling no less than $6 million of revenue to the Mitigation Bank, net of commissions, by the end of 2020, utilizing a maximum of 60 mitigation credits (the “Minimum Sales Requirement”). The Operating Agreement stipulates that if the Minimum Sales Requirement is not achieved, then BlackRock has the right, but is not required, to have the Company purchase the number of mitigation credits necessary to reach the Minimum Sales Requirement (the “Minimum Sales Guarantee”). The Company estimates the fair value of the Minimum Sales Guarantee to be approximately $100,000 which was recorded as a reduction in the gain on the transaction and is included in Accrued and Other Liabilities in the Company’s consolidated balance sheet as of March 31, 2019. Additionally, the Operating Agreement provides BlackRock the right to cause the Company to purchase a maximum of 8.536 mitigation credits per quarter (the “Commitment Amount”) from the Mitigation Bank at a price equal to 60% of the then fair market value for mitigation credits (the “Put Right”). The Put Right is applicable even if the Mitigation Bank has not yet been awarded a sufficient number of mitigation credits by the applicable federal and state regulatory agencies. Further, in any quarter that BlackRock does not exercise its Put Right, the unexercised Commitment Amount for the applicable quarter may be rolled over to future calendar quarters. However, the Operating Agreement also stipulates that any amount of third-party sales of mitigation credits will reduce the Put Rights outstanding on a one-for-one basis, if the sales price of the third-party sales equals or exceeds the prices stipulated by the Put Right. Further, any sales of mitigation credits to third parties at the requisite minimum prices in a quarter that exceeds the quarterly amount of the Put Right, will reduce the Put Rights in future calendar quarters on a one-for-one basis. The maximum potential of future payments for the Company pursuant to the Put Right is approximately $27 million. The Company estimates the fair value of the Put Right to be approximately $200,000, which was recorded as a reduction in the gain on the transaction and is included in Accrued and Other Liabilities in the Company’s consolidated balance sheet as of March 31, 2019. The following table provides summarized financial information of the Venture as of March 31, 2019: As of March 31, 2019 ($000's) Assets, cash and cash equivalents $ 2,257 Assets, prepaid expenses 9 Assets, investment in mitigation credit assets 1,519 Assets, property, plant, and equipment 18 Total Assets $ 3,803 Liabilities, accounts payable, deferred mitigation credit sale revenue $ 19 Equity $ 3,784 Total Liabilities & Equity $ 3,803 |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 3 Months Ended |
Mar. 31, 2019 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | NOTE 6. FAIR VALUE OF FINANCIAL INSTRUMENTS The following table presents the carrying value and estimated fair value of the Company’s financial instruments at March 31, 2019 and December 31, 2018: March 31, 2019 December 31, 2018 Carrying Estimated Carrying Estimated Value Fair Value Value Fair Value Cash and Cash Equivalents - Level 1 $ 2,682,205 $ 2,682,205 $ 2,310,489 $ 2,310,489 Restricted Cash - Level 1 1,336,361 1,336,361 19,721,475 19,721,475 Long-Term Debt - Level 2 206,991,712 208,584,073 247,624,811 248,765,650 To determine estimated fair values of the financial instruments listed above, market rates of interest, which include credit assumptions, were used to discount contractual cash flows. The estimated fair values are not necessarily indicative of the amount the Company could realize on disposition of the financial instruments. The use of different market assumptions or estimation methodologies could have a material effect on the estimated fair value amounts. The following table presents the fair value of assets measured on a recurring basis by Level as of March 31, 2019: Fair Value at Reporting Date Using Quoted Prices in Significant Active Markets Significant Other Unobservable for Identical Observable Inputs Inputs 3/31/2019 Assets (Level 1) (Level 2) (Level 3) Cash Flow Hedge - Interest Rate Swap $ 479,176 $ — $ 479,176 $ — Total $ 479,176 $ — $ 479,176 $ — The following table presents the fair value of assets measured on a recurring basis by Level as of December 31, 2018: Fair Value at Reporting Date Using Quoted Prices in Significant Active Markets Significant Other Unobservable for Identical Observable Inputs Inputs 12/31/2018 Assets (Level 1) (Level 2) (Level 3) Cash Flow Hedge - Interest Rate Swap $ 651,722 $ — $ 651,722 $ — Total $ 651,722 $ — $ 651,722 $ — |
INTANGIBLE LEASE ASSETS AND LIA
INTANGIBLE LEASE ASSETS AND LIABILITIES | 3 Months Ended |
Mar. 31, 2019 | |
INTANGIBLE LEASE ASSETS AND LIABILITIES | |
INTANGIBLE ASSETS AND LIABILITIES | NOTE 7. INTANGIBLE LEASE ASSETS AND LIABILITIES Intangible lease assets and liabilities consist of the value of above-market and below-market leases, the value of in-place leases, and the value of leasing costs, based in each case on their fair values. Intangible lease assets and liabilities consisted of the following as of March 31, 2019 and December 31, 2018: As of March 31, 2019 December 31, 2018 Intangible Lease Assets: Value of In-Place Leases $ 39,189,008 $ 39,189,008 Value of Above Market In-Place Leases 4,114,715 4,114,715 Value of Intangible Leasing Costs 14,791,111 14,791,111 Sub-total Intangible Lease Assets 58,094,834 58,094,834 Accumulated Amortization (15,778,840) (14,539,389) Sub-total Intangible Lease Assets—Net 42,315,994 43,555,445 Intangible Lease Liabilities (included in accrued and other liabilities): Value of Below Market In-Place Leases (35,321,234) (35,321,234) Sub-total Intangible Lease Liabilities (35,321,234) (35,321,234) Accumulated Amortization 8,624,160 7,930,884 Sub-total Intangible Lease Liabilities—Net (26,697,074) (27,390,350) Total Intangible Assets and Liabilities—Net $ 15,618,920 $ 16,165,095 The following table reflects the amortization of intangible assets and liabilities during the three months ended March 31, 2019 and 2018: Three Months Ended March 31, March 31, ($000's) ($000's) Depreciation and Amortization Expense $ 1,127 $ 1,353 Increase to Income Properties Revenue (581) (580) Net Amortization of Intangible Assets and Liabilities $ 546 $ 773 The estimated future amortization and accretion of intangible lease assets and liabilities is as follows: Future Accretion Net Future Future to Income Amortization of Amortization Property Intangible Assets Year Ending December 31, Amount Revenue and Liabilities Remainder of 2019 $ 3,977,373 $ (1,735,645) $ 2,241,728 2020 4,882,863 (2,244,638) 2,638,225 2021 3,492,913 (2,307,905) 1,185,008 2022 3,177,980 (2,379,065) 798,915 2023 3,085,976 (2,353,003) 732,973 2024 3,054,016 (2,339,950) 714,066 Thereafter 17,369,649 (10,061,644) 7,308,005 Total $ 39,040,770 $ (23,421,850) $ 15,618,920 |
IMPAIRMENT OF LONG-LIVED ASSETS
IMPAIRMENT OF LONG-LIVED ASSETS | 3 Months Ended |
Mar. 31, 2019 | |
IMPAIRMENT OF LONG-LIVED ASSETS | |
IMPAIRMENT OF LONG-LIVED ASSETS | NOTE 8. IMPAIRMENT OF LONG-LIVED ASSETS The Company assesses the impairment of long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The fair value of long-lived assets required to be assessed for impairment is determined on a non-recurring basis using Level 3 inputs in the fair value hierarchy. These Level 3 inputs may include, but are not limited to, executed purchase and sale agreements on specific properties, third party valuations, discounted cash flow models, and other model-based techniques. During the three months ended March 31, 2019 and 2018 there were no impairment charges on the Company’s undeveloped land holdings or its income property portfolio. |
OTHER ASSETS
OTHER ASSETS | 3 Months Ended |
Mar. 31, 2019 | |
OTHER ASSETS | |
OTHER ASSETS | NOTE 9. OTHER ASSETS Other assets consisted of the following as of March 31, 2019 and December 31, 2018: As of March 31, December 31, Income Property Tenant Receivables $ 991,146 $ 627,691 Income Property Straight-line Rent Adjustment 4,735,022 4,304,279 Income Property Lease Incentive 2,318,638 2,394,246 Operating Leases - Right-of-Use Asset 443,351 — Cash Flow Hedge - Interest Rate Swap 479,176 651,722 Infrastructure Reimbursement Receivables 1,854,643 1,847,375 Deferred Deal Costs 200,189 425,476 Prepaid Expenses, Deposits, and Other 2,489,860 2,634,664 Total Other Assets $ 13,512,025 $ 12,885,453 Income Property Lease Incentive. As of March 31, 2019, the Income Property Lease Incentive of approximately $2.3 million relates to a tenant improvement allowance of approximately $2.7 million provided to Hilton Grand Vacations in conjunction with the extension of their leases of two buildings from November 30, 2021 to November 30, 2026, offset by approximately $428,000 of accumulated amortization which has been recognized as an offset to rental revenue. The remaining balance will be amortized over the remaining term of the leases. Infrastructure Reimbursement Receivables. As of March 31, 2019 and December 31, 2018, the Infrastructure Reimbursement Receivables were all related to the land sales within the Tomoka Town Center. The balance as of March 31, 2019 consisted of approximately $1.4 million due from Tanger for infrastructure reimbursement to be repaid in eight remaining annual installments of $175,000, net of a discount of approximately $148,000, and approximately $660,000 due from Sam’s Club for infrastructure reimbursement to be repaid in six remaining annual installments of $110,000, net of a discount of approximately $57,000. Deferred Deal Costs. Deferred Deal Costs represent legal costs incurred in advance of the potential execution of and/or closing of a contract for the disposition of assets, primarily land sales. The costs are deferred and expensed at the time the transaction closes or at the time it becomes evident that the transaction will not be completed. During the three months ended March 31, 2019, approximately $353,000, of deal costs were expensed at the time it became evident that the transaction would not be completed. Operating Leases – Right-of-Use Asset. The Company implemented FASB ASC Topic 842, Leases, effective January 1, 2019, resulting in a cumulative effect adjustment to increase right-of-use assets and related liabilities for operating leases for which the Company is the lessee. |
COMMON STOCK AND EARNINGS PER S
COMMON STOCK AND EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2019 | |
COMMON STOCK AND EARNINGS PER SHARE | |
COMMON STOCK AND EARNINGS PER SHARE | NOTE 10. COMMON STOCK AND EARNINGS PER SHARE Basic earnings per common share is computed by dividing net income by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is based on the assumption of the conversion of stock options and vesting of restricted stock at the beginning of each period using the treasury stock method at average cost for the periods. Three Months Ended March 31, March 31, Income Available to Common Shareholders: Net Income $ 6,468,099 $ 10,912,299 Weighted Average Shares Outstanding 5,345,870 5,530,864 Common Shares Applicable to Stock Options Using the Treasury Stock Method — 31,036 Total Shares Applicable to Diluted Earnings Per Share 5,345,870 5,561,900 Per Share Information: Basic Net Income from Continuing Operations $ 1.24 $ 1.99 Net Loss from Discontinued Operations (Net of Tax) (0.03) (0.02) Net Income $ 1.21 $ 1.97 Diluted Net Income from Continuing Operations $ 1.24 $ 1.98 Net Loss from Discontinued Operations (Net of Tax) (0.03) (0.02) Net Income $ 1.21 $ 1.96 The effect of 7,500 and 15,000 potentially dilutive securities was not included for the three months ended March 31, 2019 and 2018, respectively, as the effect would be anti-dilutive. The Company intends to settle its 4.50% Convertible Senior Notes due 2020 (the “Convertible Notes”) in cash upon conversion with any excess conversion value to be settled in shares of our common stock. Therefore, only the amount in excess of the par value of the Convertible Notes will be included in our calculation of diluted net income per share using the treasury stock method. As such, the Convertible Notes have no impact on diluted net income per share until the price of our common stock exceeds the current conversion price of $68.42. The average price of our common stock during the three months ended March 31, 2019 and 2018 did not exceed the conversion price which resulted in no additional diluted outstanding shares. |
TREASURY STOCK
TREASURY STOCK | 3 Months Ended |
Mar. 31, 2019 | |
TREASURY STOCK | |
TREASURY STOCK | NOTE 11. TREASURY STOCK In January 2019, the Company’s Board of Directors approved an increase of $10.0 million to the stock repurchase program, refreshing the total program to an aggregate of $10 million. During the three months ended March 31, 2019, the Company repurchased 70,708 shares of its common stock on the open market for a total cost of approximately $4.1 million, or an average price per share of $58.34. The shares of the Company’s common stock repurchased during the three months ended March 31, 2019 were returned to the Company’s treasury. |
LONG-TERM DEBT
LONG-TERM DEBT | 3 Months Ended |
Mar. 31, 2019 | |
LONG-TERM DEBT | |
LONG-TERM DEBT | NOTE 12. LONG-TERM DEBT As of March 31, 2019, the Company’s outstanding indebtedness, at face value, was as follows: Face Maturity Interest Value Debt Date Rate Credit Facility $ 79,845,349 September 2021 30 ‑day LIBOR plus 1.50% -2.20% Mortgage Note Payable (originated with Wells Fargo) (1) 30,000,000 October 2034 4.330% Mortgage Note Payable (originated with Wells Fargo) (2) 24,387,497 April 2021 30 ‑day LIBOR plus 1.90% 4.50% Convertible Senior Notes due 2020, net of discount 75,000,000 March 2020 4.500% Total Long-Term Face Value Debt $ 209,232,846 (1) Secured by the Company’s interest in six income properties. The mortgage loan carries a fixed rate of 4.33% per annum during the first ten years of the term, and requires payments of interest only during the first ten years of the loan. After the tenth anniversary of the effective date of the loan, the cash flows, as defined in the related loan agreement, generated by the underlying six income properties must be used to pay down the principal balance of the loan until paid off or until the loan matures. The loan is fully pre-payable after the tenth anniversary of the effective date of the loan. (2) Secured by the Company’s income property leased to Wells Fargo located in Raleigh, North Carolina. The mortgage loan has a 5-year term with two years interest only, and interest and a 25-year amortization for the balance of the term. The mortgage loan bears a variable rate of interest based on the 30-day LIBOR plus a rate of 190 basis points. The interest rate for this mortgage loan has been fixed through the use of an interest rate swap that fixed the rate at 3.17%. The mortgage loan can be prepaid at any time subject to the termination of the interest rate swap. Amortization of the principal balance began in May 2018. Credit Facility. The Company’s revolving credit facility (the “Credit Facility”), with Bank of Montreal (“BMO”) serving as the administrative agent for the lenders thereunder, is unsecured with regard to our income property portfolio but is guaranteed by certain wholly-owned subsidiaries of the Company. The Credit Facility bank group is led by BMO and also includes Wells Fargo and Branch Banking & Trust Company. On September 7, 2017, the Company executed the second amendment and restatement of the Credit Facility (the “2017 Amended Credit Facility”). Pursuant to the 2017 Amended Credit Facility, the Credit Facility matures on September 7, 2021, with the ability to extend the term for 1 year. On May 14, 2018, the Company executed the first amendment to the 2017 Amended Credit Facility (the “2018 Revolver Amendment”). As a result of the 2018 Revolver Amendment, the Credit Facility has a total borrowing capacity of $150.0 million with the ability to increase that capacity up to $250.0 million during the term, subject to lender approval. The Credit Facility provides the lenders with a secured interest in the equity of the Company subsidiaries that own the properties included in the borrowing base. The indebtedness outstanding under the Credit Facility accrues interest at a rate ranging from the 30-day LIBOR plus 150 basis points to the 30-day LIBOR plus 220 basis points based on the total balance outstanding under the Credit Facility as a percentage of the total asset value of the Company, as defined in the 2017 Amended Credit Facility, as amended by the 2018 Revolver Amendment. The Credit Facility also accrues a fee of 15 to 25 basis points for any unused portion of the borrowing capacity based on whether the unused portion is greater or less than 50% of the total borrowing capacity. At March 31, 2019, the current commitment level under the Credit Facility was $150.0 million. The available borrowing capacity under the Credit Facility was approximately $65.8 million, based on the level of borrowing base assets. As of March 31, 2019, the Credit Facility had a $79.8 million balance outstanding. On April 10, 2019, the Company funded the Block Share Repurchase (hereinafter defined in Note 21, “Subsequent Events”) utilizing available borrowing capacity on the Credit Facility as a part of a $20.0 million draw. On April 18, 2019, $3.0 million of the available borrowing capacity on the Credit Facility was utilized to, among other things, fund repurchases under the existing $10 million buyback program. Accordingly, as of April 30, 2019, the Credit Facility had a $102.8 million balance outstanding and approximately $42.8 million of available borrowing capacity, based on the level of borrowing base assets. The Credit Facility is subject to customary restrictive covenants including, but not limited to, limitations on the Company’s ability to: (a) incur indebtedness; (b) make certain investments; (c) incur certain liens; (d) engage in certain affiliate transactions; and (e) engage in certain major transactions such as mergers. In addition, the Company is subject to various financial maintenance covenants including, but not limited to, a maximum indebtedness ratio, a maximum secured indebtedness ratio, and a minimum fixed charge coverage ratio. The Credit Facility also contains affirmative covenants and events of default including, but not limited to, a cross default to the Company’s other indebtedness and upon the occurrence of a change of control. The Company’s failure to comply with these covenants or the occurrence of an event of default could result in acceleration of the Company’s debt and other financial obligations under the Credit Facility. Mortgage Notes Payable. In addition to the Credit Facility, the Company has certain other borrowings, as noted in the table above, all of which are non-recourse. Convertible Debt. The Company’s $75.0 million aggregate principal amount of 4.50% Convertible Notes will mature on March 15, 2020, unless earlier purchased or converted. The initial conversion rate was 14.5136 shares of common stock for each $1,000 principal amount of Convertible Notes, which represented an initial conversion price of approximately $68.90 per share of common stock. Since July of 2016, when the Company’s Board of Directors implemented a quarterly dividend in place of the previous semi-annual dividend, and subsequent increases to the quarterly dividend, the conversion rate has been adjusted with each successive quarterly dividend and is currently, after the first quarter 2019 dividend, equal to 14.6162 shares of common stock for each $1,000 principal amount of Convertible Notes, which represents an adjusted conversion price of approximately $68.42 per share of common stock. The conversion rate is subject to adjustment in certain circumstances. Holders may not surrender their Convertible Notes for conversion prior to December 15, 2019, except upon the occurrence of certain conditions relating to the closing sale price of the Company’s common stock, the trading price per $1,000 principal amount of Convertible Notes, or specified corporate events including a change in control of the Company. The Company may not redeem the Convertible Notes prior to the stated maturity date and no sinking fund is provided for the Convertible Notes. The Convertible Notes are convertible, at the election of the Company, into solely cash, solely shares of the Company’s common stock, or a combination of cash and shares of the Company’s common stock. The Company intends to settle the Convertible Notes in cash upon conversion, with any excess conversion value to be settled in shares of our common stock. In accordance with GAAP, the Convertible Notes are accounted for as a liability with a separate equity component recorded for the conversion option. A liability was recorded for the Convertible Notes on the issuance date at fair value based on a discounted cash flow analysis using current market rates for debt instruments with similar terms. The difference between the initial proceeds from the Convertible Notes and the estimated fair value of the debt instruments resulted in a debt discount, with an offset recorded to additional paid-in capital representing the equity component. The discount on the Convertible Notes was approximately $6.1 million at issuance, which represents the cash discount paid of approximately $2.6 million and the approximate $3.5 million attributable to the value of the conversion option recorded in equity, which is being amortized into interest expense through the maturity date of the Convertible Notes. As of March 31, 2019, the unamortized debt discount of our Convertible Notes was approximately $1.3 million. Long-term debt as of March 31, 2019 and December 31, 2018 consisted of the following: March 31, 2019 December 31, 2018 Due Within Due Within Total One Year Total One Year Credit Facility $ 79,845,349 $ — $ 120,745,579 $ — Mortgage Note Payable (originated with Wells Fargo) 30,000,000 — 30,000,000 — Mortgage Note Payable (originated with Wells Fargo) 24,387,497 — 24,557,468 — 4.50% Convertible Senior Notes due 2020, net of discount 73,679,991 — 73,348,731 — Loan Costs, net of accumulated amortization (921,125) — (1,026,967) — Total Long-Term Debt $ 206,991,712 $ — $ 247,624,811 $ — Payments applicable to reduction of principal amounts as of March 31, 2019 will be required as follows: Year Ending December 31, Amount Remainder of 2019 $ — 2020 75,000,000 2021 104,232,846 2022 — 2023 — 2024 — Thereafter 30,000,000 Total Long-Term Debt - Face Value $ 209,232,846 The carrying value of long-term debt as of March 31, 2019 consisted of the following: Total Current Face Amount $ 209,232,846 Unamortized Discount on Convertible Debt (1,320,009) Loan Costs, net of accumulated amortization (921,125) Total Long-Term Debt $ 206,991,712 The following table reflects a summary of interest expense incurred and paid during the three months ended March 31, 2019 and 2018: Three Months Ended March 31, March 31, ($000's) ($000's) Interest Expense $ 2,486 $ 2,100 Amortization of Loan Costs 106 150 Amortization of Discount on Convertible Notes 331 311 Total Interest Expense $ 2,923 $ 2,561 Total Interest Paid $ 3,431 $ 2,899 The Company was in compliance with all of its debt covenants as of March 31, 2019 and December 31, 2018. |
INTEREST RATE SWAP
INTEREST RATE SWAP | 3 Months Ended |
Mar. 31, 2019 | |
INTEREST RATE SWAP | |
INTEREST RATE SWAP | NOTE 13. INTEREST RATE SWAP The Company entered into an interest rate swap agreement to hedge cash flows tied to changes in the underlying floating interest rate tied to LIBOR for the $24.4 million mortgage note payable as discussed in Note 12, “Long-Term Debt.” During the three months ended March 31, 2019, the interest rate swap agreement was 100% effective. Accordingly, the change in fair value on the interest rate swap has been classified in accumulated other comprehensive income. As of March 31, 2019 and December 31, 2018, the fair value of our interest rate swap agreement, which was a gain of approximately $479,000 and $652,000, was included in other assets on the consolidated balance sheets. The interest rate swap was effective on April 7, 2016 and matures on April 7, 2021. The interest rate swap fixed the variable rate debt on the notional amount of related debt of $24.4 million to a rate of 3.17%. |
ACCRUED AND OTHER LIABILITIES
ACCRUED AND OTHER LIABILITIES | 3 Months Ended |
Mar. 31, 2019 | |
ACCRUED AND OTHER LIABILITIES | |
ACCRUED AND OTHER LIABILITIES | NOTE 14. ACCRUED AND OTHER LIABILITIES Accrued and other liabilities consisted of the following: As of March 31, December 31, Accrued Property Taxes $ 558,684 $ 12,312 Reserve for Tenant Improvements 93,476 100,519 Accrued Construction Costs 170,394 350,593 Accrued Interest 499,828 1,430,236 Environmental Reserve and Restoration Cost Accrual 763,501 520,404 Operating Leases - Liability 443,351 — Other 1,739,693 2,783,820 Total Accrued and Other Liabilities $ 4,268,927 $ 5,197,884 Environmental Reserve. During the year ended December 31, 2014, the Company accrued an environmental reserve of approximately $110,000 in connection with an estimate of additional costs required to monitor a parcel of less than one acre of land owned by the Company in Highlands County, Florida, on which environmental remediation work had previously been performed. The Company engaged legal counsel who, in turn, engaged environmental engineers to review the site and the prior monitoring test results. During the year ended December 31, 2015, their review was completed, and the Company made an additional accrual of approximately $500,000, representing the low end of the range of possible costs estimated by the engineers to be between approximately $500,000 and $1.0 million to resolve this matter subject to the approval of the state department of environmental protection (the “FDEP”). The FDEP issued a Remedial Action Plan Modification Approval Order (the “FDEP Approval”) in August 2016 which supports the approximate $500,000 accrual made in 2015. The Company is implementing the remediation plan pursuant to the FDEP Approval. During the fourth quarter of 2017, the Company made an additional accrual of approximately $51,000 for the second year of monitoring as the low end of the original range of estimated costs was increased for the amount of monitoring now anticipated. Since the total accrual of approximately $661,000 was made, approximately $577,000 in costs have been incurred through March 31, 2019, leaving a remaining accrual of approximately $84,000. Restoration Accrual. As part of the resolution of a regulatory matter pertaining to the Company’s prior agricultural activities on certain of the Company’s land located in Daytona Beach, Florida, as of December 31, 2015, the Company accrued an obligation of approximately $1.7 million, representing the low end of the estimated range of possible wetlands restoration costs for approximately 148.4 acres within such land, and such estimated costs were included on the consolidated balance sheets as an increase in the basis of our land and development costs associated with those and benefitting surrounding acres. The final proposal for restoration work was received during the second quarter of 2016 which totaled approximately $2.0 million. Accordingly, an increase in the accrual of approximately $300,000 was recorded during the second quarter of 2016. During the first quarter of 2019, the Company received a revised estimate for completion of the restoration work for which the adjusted final total cost was approximately $2.4 million. Accordingly, an increase in the accrual of approximately $361,000 was recorded during the first quarter of 2019. The Company has funded approximately $1.7 million of the total $2.4 million of estimated costs through the period ended March 31, 2019, leaving a remaining accrual of approximately $713,000. This matter is more fully described in Note 18 “Commitments and Contingencies.” Operating Leases – Liability. The Company implemented FASB ASC Topic 842, Leases, effective January 1, 2019, resulting in a cumulative effect adjustment to increase right-of-use assets and related liabilities for operating leases for which the Company is the lessee. |
DEFERRED REVENUE
DEFERRED REVENUE | 3 Months Ended |
Mar. 31, 2019 | |
DEFERRED REVENUE | |
DEFERRED REVENUE | NOTE 15. DEFERRED REVENUE Deferred revenue consisted of the following: As of March 31, 2019 December 31, 2018 Deferred Oil Exploration Lease Revenue $ 386,767 $ 585,675 Deferred Revenue on Land Sales 831,320 831,320 Prepaid Rent 1,254,818 1,621,620 Tenant Contributions 4,042,250 4,104,151 Other Deferred Revenue 107,098 58,838 Total Deferred Revenue $ 6,622,253 $ 7,201,604 Deferred Oil Exploration Lease Revenue. Pursuant to the amendment for the Year 8 renewal of the oil exploration lease, the annual lease payment is approximately $807,000, which is being recognized ratably over the twelve-month lease period ending in September 2019. The oil exploration lease is more fully described in Note 4 “Land and Subsurface Interests.” Deferred Revenue on Land Sales. In conjunction with the land sale to Buc-ee’s in March 2018, the Company funded an escrow account for approximately $831,000 related to the portion of the acreage sold for which the Company remains obligated to perform wetlands mitigation. As a result of the Company’s continuing obligation, approximately $831,000 of the sales price collected at closing was deferred and the revenue will be recognized upon the Company’s performance of the obligation. The Company estimates the obligation related to the wetlands mitigation will total approximately $25,000. Tenant Contributions. In connection with the acquisition of the property in Aspen, Colorado, the master tenant contributed $1.5 million of the $28.0 million purchase price at closing on February 21, 2018. Additionally, the master tenant funded, from its leasing reserve escrow, approximately $935,000 of the Company’s acquisition-related costs. Approximately $132,000 was recognized into income property rental revenue through March 31, 2019, leaving an aggregate balance of approximately $2.3 million, related to the Company’s total acquisition cost of approximately $29.0 million, to be recognized over the remaining term of the lease. In connection with the construction of the beachfront restaurant leased to Cocina 214 Restaurant & Bar in Daytona Beach, Florida, the tenant contributed approximately $1.9 million of the building and tenant improvements owned by the Company through direct payments to various third-party construction vendors. Approximately $149,000 was recognized into income property rental revenue through March 31, 2019, leaving a balance of approximately $1.7 million to be recognized over the remaining term of the lease. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2019 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | NOTE 16. STOCK-BASED COMPENSATION SUMMARY OF STOCK-BASED COMPENSATION A summary of share activity for all equity classified stock compensation during the three months ended March 31, 2019, is presented below: Shares Vested / Shares Outstanding Granted Exercised Expired Forfeited Outstanding Type of Award at 1/1/2019 Shares Shares Shares Shares at 3/31/2019 Equity Classified - Performance Share Awards - Peer Group Market Condition Vesting 28,080 21,195 — — — 49,275 Equity Classified - Market Condition Restricted Shares - Stock Price Vesting 22,000 — — — — 22,000 Equity Classified - Three Year Vest Restricted Shares 34,952 20,696 (18,053) — — 37,595 Equity Classified - Non-Qualified Stock Option Awards 80,000 — — — — 80,000 Total Shares 165,032 41,891 (18,053) — — 188,870 Amounts recognized in the consolidated financial statements related to stock compensation are as follows: Three Months Ended March 31, March 31, Recurring Charge for Stock-Based Compensation Total Cost of Share-Based Plans Charged Against Income Before Tax Effect $ 811,601 $ 502,895 Income Tax Expense Recognized in Income $ (205,700) $ (127,459) EQUITY-CLASSIFIED STOCK COMPENSATION Performance Share Awards – Peer Group Market Condition Vesting On February 3, 2017, the Company awarded to certain employees 12,635 Performance Shares under the Amended and Restated 2010 Equity Incentive Plan (the “Original 2010 Plan”). The Performance Shares awards entitle the recipient to receive, upon the vesting thereof, shares of common stock of the Company equal to between 0% and 150% of the number of Performance Shares awarded. The number of shares of common stock so vesting will be determined based on the Company’s total shareholder return as compared to the total shareholder return of a certain peer group during a three-year performance period commencing on January 1, 2017, and ending on December 31, 2019. On January 24, 2018, the Company awarded to certain employees 15,445 Performance Shares under the Original 2010 Plan. The Performance Shares awards entitle the recipient to receive, upon the vesting thereof, shares of common stock of the Company equal to between 0% and 150% of the number of Performance Shares awarded. The number of shares of common stock so vesting will be determined based on the Company’s total shareholder return as compared to the total shareholder return of a certain peer group during a three-year performance period commencing on January 1, 2018, and ending on December 31, 2020. On January 23, 2019, the Company awarded to certain employees 21,195 Performance Shares under the Second Amended and Restated 2010 Equity Incentive Plan (the “Amended 2010 Plan”). The Performance Shares awards entitle the recipient to receive, upon the vesting thereof, shares of common stock of the Company equal to between 0% and 150% of the number of Performance Shares awarded. The number of shares of common stock so vesting will be determined based on the Company’s total shareholder return as compared to the total shareholder return of a certain peer group during a three-year performance period commencing on January 1, 2019, and ending on December 31, 2021. Pursuant to amendments to the employment agreements and certain restricted share award agreements entered into by the Company on August 4, 2017, the restricted shares granted thereunder, if they are subject to performance-based vesting conditions, will fully vest following a change in control only if the executive’s employment is terminated without cause or if the executive resigns for good reason (as such terms are defined in the executive’s employment agreement), in each case, at any time during the 24-month period following the change in control (as defined in the executive’s employment agreement). The Company used a Monte Carlo simulation pricing model to determine the fair value of its awards that are based on market conditions. The determination of the fair value of market condition-based awards is affected by the Company’s stock price as well as assumptions regarding a number of other variables. These variables include expected stock price volatility over the requisite performance term of the awards, the relative performance of the Company’s stock price and shareholder returns to companies in its peer group, annual dividends, and a risk-free interest rate assumption. Compensation cost is recognized regardless of the achievement of the market conditions, provided the requisite service period is met. A summary of activity during the three months ended March 31, 2019, is presented below: Wtd. Avg. Performance Shares with Market Conditions Shares Fair Value Outstanding at January 1, 2019 28,080 $ 66.29 Granted 21,195 64.66 Vested — — Expired — — Forfeited — — Outstanding at March 31, 2019 49,275 $ 65.59 As of March 31, 2019, there was approximately $2.1 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to Performance Share awards, which will be recognized over a remaining weighted average period of 2.3 years. Market Condition Restricted Shares – Stock Price Vesting On May 20, 2015 and February 26, 2016, a combined grant of 26,000 shares, net of 68,000 shares permanently surrendered during 2016, of restricted Company common stock was awarded to Mr. Albright under the Original 2010 Plan under a new five-year employment agreement. The 26,000 shares of restricted Company common stock outstanding from these grants were to vest in four increments based upon the price per share of Company common stock during the term of his employment (or within sixty days after termination of employment by the Company without cause), meeting or exceeding the target trailing thirty-day average closing prices ranging from $60 and $65 per share for the first two increments of 2,000 shares each, $70 per share for the third increment of 18,000 shares, and $75 per share for the fourth increment of 4,000 shares. If any increment of the restricted shares fails to satisfy the applicable stock price condition prior to January 28, 2021, that increment of the restricted shares will be forfeited. As of March 31, 2019, the first two increments of this award had vested, leaving 22,000 shares outstanding. Pursuant to amendments to the employment agreements and certain restricted share award agreements entered into by the Company on February 26, 2016 and August 4, 2017, the restricted shares granted thereunder, if they are subject to performance-based vesting conditions, will fully vest following a change in control only if the executive’s employment is terminated without cause or if the executive resigns for good reason (as such terms are defined in the executive’s employment agreement), in each case, at any time during the 24-month period following the change in control (as defined in the executive’s employment agreement). The Company used a Monte Carlo simulation pricing model to determine the fair value of its awards that are based on market conditions. The determination of the fair value of market condition-based awards is affected by the Company’s stock price as well as assumptions regarding a number of other variables. These variables include expected stock price volatility over the requisite performance term of the awards, the relative performance of the Company’s stock price and shareholder returns to companies in its peer group, annual dividends, and a risk-free interest rate assumption. Compensation cost is recognized regardless of the achievement of the market conditions, provided the requisite service period is met. A summary of the activity for these awards during the three months ended March 31, 2019, is presented below: Wtd. Avg. Market Condition Non-Vested Restricted Shares Shares Fair Value Outstanding at January 1, 2019 22,000 $ 41.71 Granted — — Vested — — Expired — — Forfeited — — Outstanding at March 31, 2019 22,000 $ 41.71 As of March 31, 2019, there is no unrecognized compensation cost related to market condition restricted stock. Three Year Vest Restricted Shares On January 27, 2016, the Company granted to certain employees 21,100 shares of restricted Company common stock under the Original 2010 Plan. One-third of the restricted shares will vest on each of the first, second, and third anniversaries of January 28, 2016, provided the grantee is an employee of the Company on those dates. In addition, any unvested portion of the restricted shares will vest upon a change in control. No shares remain outstanding under this award as the remaining shares vested during the first quarter of 2019. On January 25, 2017, the Company granted to certain employees 17,451 shares of restricted Company common stock under the Original 2010 Plan. One-third of the restricted shares will vest on each of the first, second, and third anniversaries of January 28, 2017, provided the grantee is an employee of the Company on those dates. In addition, any unvested portion of the restricted shares will vest upon a change in control. On January 24, 2018, the Company granted to certain employees 17,712 shares of restricted Company common stock under the Original 2010 Plan. One-third of the restricted shares will vest on each of the first, second, and third anniversaries of January 28, 2018, provided the grantee is an employee of the Company on those dates. In addition, any unvested portion of the restricted shares will vest upon a change in control. On January 23, 2019, the Company granted to certain employees 20,696 shares of restricted Company common stock under the Amended 2010 Plan. One-third of the restricted shares will vest on each of the first, second, and third anniversaries of January 28, 2019, provided the grantee is an employee of the Company on those dates. In addition, any unvested portion of the restricted shares will vest upon a change in control. Effective as of August 4, 2017, the Company entered into amendments to the employment agreements and certain stock option award agreements and restricted share award agreements whereby such awards will fully vest following a change in control (as defined in the executive’s employment agreement) only if the executive’s employment is terminated without cause or if the executive resigns for good reason (as such terms are defined in the executive’s employment agreement), in each case, at any time during the 24-month period following the change in control. The Company’s determination of the fair value of the three-year vest restricted stock awards was calculated by multiplying the number of shares issued by the Company’s stock price at the grant date, less the present value of expected dividends during the vesting period. Compensation cost is recognized on a straight-line basis over the vesting period. A summary of activity during the three months ended March 31, 2019, is presented below: Wtd. Avg. Fair Value Three Year Vest Non-Vested Restricted Shares Shares Per Share Outstanding at January 1, 2019 34,952 $ 58.07 Granted 20,696 58.78 Vested (18,053) 54.43 Expired — — Forfeited — — Outstanding at March 31, 2019 37,595 $ 60.21 As of March 31, 2019, there was approximately $2.1 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to the three-year vest non-vested restricted shares, which will be recognized over a remaining weighted average period of 2.2 years. Non-Qualified Stock Option Awards On October 22, 2014, the Company granted to Mr. Smith an option to purchase 10,000 shares of the Company’s common stock under the Original 2010 Plan, with an exercise price of $50.00. One-third of the options vested on each of the first, second, and third anniversaries of the grant date. The options expire on the earliest of: (a) the tenth anniversary of the grant date; (b) twelve months after the employee’s death or termination for disability; or (c) thirty days after the termination of employment for any reason other than death or disability. On February 9, 2015, the Company granted to Mr. Albright an option to purchase 20,000 shares of the Company’s common stock under the Original 2010 Plan, with an exercise price of $57.50. The option vested on January 28, 2016. The option expires on the earliest of: (a) January 28, 2025; (b) twelve months after the employee’s death or termination for disability; or (c) thirty days after the termination of employment for any reason other than death or disability. On May 20, 2015, the Company granted to Mr. Albright an option to purchase 40,000 shares of the Company’s common stock under the Original 2010 Plan, with an exercise price of $55.62. On February 26, 2016, this option was surrendered and an option to purchase 40,000 shares was granted on February 26, 2016, with identical terms. The option expires on the earliest of: (a) January 28, 2025; (b) twelve months after the employee’s death or termination for disability; or (c) thirty days after the termination of employment for any reason other than death or disability. On June 29, 2015, the Company granted to an officer of the Company an option to purchase 10,000 shares of the Company’s common stock under the Original 2010 Plan, with an exercise price of $57.54. One-third of the options vested on each of the first, second, and third anniversaries of the grant date. The option expires on the earliest of: (a) June 29, 2025; (b) twelve months after the employee’s death or termination for disability; or (c) thirty days after the termination of employment for any reason other than death or disability. Effective as of August 4, 2017, the Company entered into amendments to the employment agreements and certain stock option award agreements and restricted share award agreements whereby such awards will fully vest following a change in control (as defined in the executive’s employment agreement) only if the executive’s employment is terminated without cause or if the executive resigns for good reason (as such terms are defined in the executive’s employment agreement), in each case, at any time during the 24-month period following the change in control. The Company used the Black-Scholes valuation pricing model to determine the fair value of its non-qualified stock option awards. The determination of the fair value of the awards is affected by the stock price as well as assumptions regarding a number of other variables. These variables include expected stock price volatility over the term of the awards, annual dividends, and a risk-free interest rate assumption. A summary of the activity for the awards during the three months ended March 31, 2019, is presented below: Wtd. Avg. Remaining Contractual Aggregate Wtd. Avg. Term Intrinsic Non-Qualified Stock Option Awards Shares Ex. Price (Years) Value Outstanding at January 1, 2019 80,000 $ 55.63 Granted — — Exercised — — Expired — — Forfeited — — Outstanding at March 31, 2019 80,000 $ 55.63 6.01 $ 273,800 Exercisable at January 1, 2019 80,000 $ 55.63 6.50 $ 25,000 Exercisable at March 31, 2019 80,000 $ 55.63 6.01 $ 273,800 No options were granted, and no options were exercised during the three months ended March 31, 2019. As of March 31, 2019, there is no unrecognized compensation cost related to non-qualified, non-vested stock option awards. NON-EMPLOYEE DIRECTOR STOCK COMPENSATION Each member of the Company’s Board of Directors has the option to receive his or her annual retainer in shares of Company common stock rather than cash. The number of shares awarded to the directors making such election is calculated quarterly by dividing (i) the sum of (A) the amount of the quarterly retainer payment due to such director plus (B) meeting fees earned by such director during the quarter, by (ii) the closing price of the Company’s common stock on the last business day of the quarter for which such payment applied, rounded down to the nearest whole number of shares. Commencing in 2019, each non-employee director serving as of the beginning of each calendar year shall receive an annual award of the Company’s common stock valued at $20,000 (the “Annual Award”). The number of shares awarded will be calculated based on the trailing 20-day average price of the Company’s common stock as of the date two business days prior to the date of the award, rounded down to the nearest whole number of shares. During the three months ended March 31, 2019 and 2018, the expense recognized for the value of the Company’s common stock received by non-employee directors totaled approximately $272,000, or 4,779 shares, and $36,000, or 561 shares, respectively, which includes the approximately $160,000 Annual Award received during the first quarter of 2019. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2019 | |
INCOME TAXES | |
INCOME TAXES | NOTE 17. INCOME TAXES The Company’s effective income tax rate was 25.3% and 24.4% for the three months ended March 31, 2019 and 2018, respectively. The provision for income taxes reflects the Company’s estimate of the effective rate expected to be applicable for the full fiscal year, adjusted for any discrete events, which are reported in the period that they occur. There were no discrete events during the three months ended March 31, 2019 or 2018. The Company files a consolidated income tax return in the United States Federal jurisdiction and the states of Arizona, California, Colorado, Florida, Georgia, Maryland, Massachusetts, Nevada, New Mexico, North Carolina, Oregon, Texas, Virginia, and Washington. The Internal Revenue Service has audited the federal tax returns through the year 2012, with all proposed adjustments settled. The Florida Department of Revenue has audited the Florida tax returns through the year 2014, with all proposed adjustments settled. The Company recognizes all potential accrued interest and penalties to unrecognized tax benefits in income tax expense. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2019 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | NOTE 18. COMMITMENTS AND CONTINGENCIES Legal Proceedings From time to time, the Company may be a party to certain legal proceedings, incidental to the normal course of its business. While the outcome of the legal proceedings cannot be predicted with certainty, the Company does not expect that these proceedings will have a material effect upon our financial condition or results of operations. On November 21, 2011, the Company, Indigo Mallard Creek LLC and Indigo Development LLC, as owners of the property leased to Harris Teeter, Inc. (“Harris Teeter”) in Charlotte, North Carolina, were served with pleadings filed in the General Court of Justice, Superior Court Division for Mecklenburg County, North Carolina, for a highway condemnation action involving this property. The proposed road modifications would impact access to the property. The Company does not believe the road modifications provided a basis for Harris Teeter to terminate the lease. Regardless, in January 2013, the North Carolina Department of Transportation (“NCDOT”) proposed to redesign the road modifications to keep the all access intersection open for ingress with no change to the planned limitation on egress to the right-in/right-out only. Additionally, NCDOT and the City of Charlotte proposed to build and maintain a new access road/point into the property. Construction has begun and is not expected to be completed until 2019. Harris Teeter has expressed satisfaction with the redesigned project and indicated that it will not attempt to terminate its lease if this project is built as currently redesigned. Because the redesigned project will not be completed until 2019, the condemnation case has been placed in administrative closure. As a result, the trial and mediation will not likely be scheduled until requested by the parties, most likely in 2020. Contractual Commitments – Expenditures In conjunction with the Company’s sale of approximately 18.1 acres of land to an affiliate of Sam’s Club (“Sam’s”) in December 2015, the Company agreed to reimburse Sam’s for a portion of their construction costs applicable to adjacent outparcels retained by the Company. As a result, in December 2015, the Company deposited $125,000 of cash in escrow related to construction work which remains classified as restricted cash in the consolidated balance sheets. The total amount in escrow as of March 31, 2019 was approximately $125,000, including accrued interest. Accordingly, the Company’s maximum commitment related to the construction work benefitting the outparcels adjacent to Sam’s land parcel is approximately $125,000, to be paid from escrow upon completion. In connection with the Golf Course Land Purchase (hereinafter defined), each year the Company is obligated to pay the City of Daytona Beach, Florida (the “City”) additional consideration in the amount of an annual surcharge of $1 per golf round played (the “Per-Round Surcharge”) with an annual minimum Per-Round Surcharge of $70,000 and a maximum aggregate amount of the Per-Round Surcharges paid equal to $700,000. The maximum amount of $700,000 represents contingent consideration and was recorded as an increase in Golf Buildings, Improvements, and Equipment and Accrued and Other Liabilities in the accompanying consolidated balance sheets during the year ended December 31, 2017. The first two annual payments of $70,000 each were made in January of 2018 and January of 2019, leaving a remaining commitment of $560,000 as of March 31, 2019 . In conjunction with the execution of certain of the Company’s leases at The Grove at Winter Park property, the Company has committed to tenant improvement allowances totaling approximately $731,000 (the “Grove TI Allowances”). As of December 31, 2018, approximately $83,000 of the Grove TI Allowances have been funded, leaving a remaining commitment of approximately $648,000. Contractual Commitments – Land Pipeline As of April 30, 2019, the Company’s pipeline of potential land sales transactions included the following fourteen potential transactions with twelve different buyers, representing over 3,200 acres or approximately 60% of our land holdings: No. of Acres Amount Price Estimated Transaction (Buyer) (Rounded) ($000's) per Acre Timing 1 Residential (SF) - Parcel A - West of I-95 1,599 $ 27,000 $ '19 - '20 2 Residential (SF) - ICI Homes - West of I-95 1,016 21,450 '19 3 Commercial/Medical Office - East of I-95 32 8,089 '19 - '20 4 Residential (MF) - East of I-95 38 6,100 Q4 '19 5 Commercial/Residential - Unicorp Dev. - East of I-95 31 4,600 '19 - '20 6 Commercial/Residential - East of I-95 12 4,500 '19 - '20 7 Residential (MF) - East of I-95 23 4,000 '19 - '20 8 Commercial/Retail - Unicorp Dev. - East of I-95 14 3,800 '19 - '20 9 Commercial/Retail - NADG - East of I-95 13 3,000 '19 10 Residential (Sr. Housing) - East of I-95 13 2,600 '19 - '20 11 Residential (SF) - West of I-95 98 2,600 '19 - '20 12 Residential (MF) - East of I-95 19 2,000 '20 13 Residential (SF) - ICI Homes - West of I-95 146 1,650 '19 14 Borrow Pit - West of I-95 149 1,600 '19 - '20 Total (Average) 3,203 $ 92,989 $ As noted above, these agreements contemplate closing dates ranging from 2019 through fiscal year 2020, and although some of the transactions may close in 2019, some of the buyers may not be contractually obligated to close until after 2019. Each of the transactions are in varying stages of due diligence by the various buyers including, in some instances, having made submissions to the planning and development departments of the City, and other permitting activities with other applicable governmental authorities including wetlands permits from the St. John’s River Water Management District and the U.S. Army Corps of Engineers, conducting traffic analyses and potential road impact requirements with the Florida Department of Transportation and negotiating other matters with Volusia County. In addition to other customary closing conditions, the majority of these transactions are conditioned upon the receipt of approvals or permits from those various governmental authorities, as well as other matters that are beyond our control. If such approvals are not obtained or costs to meet governmental requirements or obligations are too high, the prospective buyers may have the ability to terminate their respective agreements prior to closing. As a result, there can be no assurances regarding the likelihood or timing of any one of these potential land transactions being completed or the final terms thereof, including the sales price. Other Matters In connection with a certain land sale contract to which the Company is a party, the purchaser’s pursuit of customary development entitlements gave rise to an inquiry by federal regulatory agencies regarding prior agricultural activities by the Company on such land. During the second quarter of 2015, we received a written information request regarding such activities. We submitted a written response to the information request along with supporting documentation. During the fourth quarter of 2015, based on discussions with the agency, a penalty related to this matter was deemed probable, and accordingly the estimated penalty of $187,500 was accrued as of December 31, 2015, for which payment was made during the quarter ended September 30, 2016. Also, during the fourth quarter of 2015, the agency advised the Company that the resolution to the inquiry would likely require the Company to incur costs associated with wetlands restoration relating to approximately 148.4 acres of the Company’s land. At December 31, 2015, the Company’s third-party environmental engineers estimated the cost for such restoration activities to range from approximately $1.7 million to approximately $1.9 million. Accordingly, as of December 31, 2015, the Company accrued an obligation of approximately $1.7 million, representing the low end of the estimated range of possible restoration costs, and included such estimated costs on the consolidated balance sheets as an increase in the basis of our land and development costs associated with those and benefitting surrounding acres. As of September 30, 2016, the final proposal from the Company’s third-party environmental engineer was received reflecting a total cost of approximately $2.0 million. Accordingly, an increase in the accrual of approximately $300,000 was made during the second quarter of 2016. During the first quarter of 2019, the Company received a revised estimate for completion of the restoration work for which the adjusted final total cost was approximately $2.4 million. Accordingly, an increase in the accrual of approximately $361,000 was recorded during the first quarter of 2019. The Company has funded approximately $1.7 million of the total $2.4 million of estimated costs through March 31, 2019, leaving a remaining accrual of approximately $713,000. The Company believes there is at least a reasonable possibility that the estimated remaining liability of approximately $713,000 could change within one year of the date of the consolidated financial statements, which in turn could have a material impact on the Company’s consolidated balance sheets and future cash flows. The Company evaluates its estimates on an ongoing basis; however, actual results may differ from those estimates. During the first quarter of 2017, the Company completed the sale of approximately 1,581 acres of land to Minto Communities LLC which acreage represents a portion of the Company’s remaining $713,000 obligation. Accordingly, the Company deposited $423,000 of cash in escrow to secure performance on the obligation. The funds in escrow can be drawn upon completion of certain milestones including completion of restoration and annual required monitoring. The first such milestone was achieved during the fourth quarter of 2017 and $189,500 of the escrow was refunded. The second milestone related to the completion of the first-year maintenance and monitoring was achieved during the first quarter of 2019 and $77,833 of the escrow was refunded leaving an escrow balance of approximately $156,000 as of March 31, 2019. Additionally, resolution of the regulatory matter required the Company to apply for an additional permit pertaining to an additional approximately 54.66 acres, which permit may require mitigation activities which the Company anticipates could be satisfied through the utilization of existing mitigation credits owned by the Company or the acquisition of mitigation credits. Resolution of this matter allowed the Company to obtain certain permits from the applicable federal or state regulatory agencies needed in connection with the closing of the land sale contract that gave rise to this matter. As of September 30, 2017, the Company determined that approximately 36 mitigation credits were required to be utilized, which represents approximately $298,000 in cost basis of the Company’s mitigation credits. Accordingly, the Company transferred the mitigation credits through a charge to direct cost of revenues of real estate operations during the three months ended September 30, 2017, thereby resolving the required mitigation activities related to the approximately 54.66 acres. In addition, in connection with other land sale contracts to which the Company is or may become a party, the pursuit of customary development entitlements by the potential purchasers may require the Company to utilize or acquire mitigation credits for the purpose of obtaining certain permits from the applicable federal or state regulatory agencies. Any costs incurred in connection with utilizing or acquiring such credits would be incorporated into the basis of the land under contract. No amounts related to such potential future costs have been accrued as of March 31, 2019. |
BUSINESS SEGMENT DATA
BUSINESS SEGMENT DATA | 3 Months Ended |
Mar. 31, 2019 | |
BUSINESS SEGMENT DATA | |
BUSINESS SEGMENT DATA | NOTE 19. BUSINESS SEGMENT DATA The Company operates in four primary business segments: income properties, commercial loan investments, real estate operations, and golf operations segment. During the fourth quarter of 2018, the Company commenced efforts to pursue the monetization of the golf operations segment and assets comprising the Club. Accordingly, as of March 31, 2019 and December 31, 2018, the golf assets comprising the Club have been classified as held for sale in the accompanying consolidated balance sheets and the results of golf operations segment have been classified as discontinued operations in the accompanying consolidated statements of income for the three months ended March 31, 2019 and 2018. Our income property operations consist primarily of income-producing properties, and our business plan is focused on investing in additional income-producing properties. Our income property operations accounted for 91.1% and 88.5% of our identifiable assets as of March 31, 2019 and December 31, 2018, respectively, and 75.2% and 39.2% of our consolidated revenues for the three months ended March 31, 2019 and 2018, respectively. Our real estate operations primarily consist of revenues generated from land transactions and leasing, royalty income, and revenue from the release of surface entry rights from our Subsurface Interests. The Company reports performance based on profit or loss from operations before income taxes. The Company’s reportable segments are strategic business units that offer different products. They are managed separately because each segment requires different management techniques, knowledge, and skills. Information about the Company’s operations in the different segments for the three months ended March 31, 2019 and 2018 is as follows: Three Months Ended March 31, March 31, Revenues: Income Properties $ 10,724,418 $ 9,205,727 Commercial Loan Investments — 300,999 Real Estate Operations 3,534,901 13,990,517 Total Revenues $ 14,259,319 $ 23,497,243 Operating Income: Income Properties $ 8,791,930 $ 7,336,698 Commercial Loan Investments — 300,999 Real Estate Operations 1,909,632 12,449,683 General and Corporate Expense (5,847,907) (6,620,371) Gains on Disposition of Assets 6,869,957 3,650,858 Total Operating Income $ 11,723,612 $ 17,117,867 Depreciation and Amortization: Income Properties $ 3,339,856 $ 3,787,415 Corporate and Other 6,431 9,408 Total Depreciation and Amortization $ 3,346,287 $ 3,796,823 Capital Expenditures: Income Properties $ 58,005 $ 27,915,262 Real Estate Operations 870,509 2,111,983 Golf Operations — 2,663 Corporate and Other 2,061 553 Total Capital Expenditures $ 930,575 $ 30,030,461 As of March 31, December 31, Identifiable Assets: Income Properties $ 472,412,073 $ 492,093,615 Real Estate Operations 35,045,459 35,287,559 Golf Operations-Held for Sale 4,680,691 4,462,477 Corporate and Other 6,369,035 24,486,221 Total Assets $ 518,507,258 $ 556,329,872 Operating income represents income from continuing operations before loss on early extinguishment of debt, interest expense, investment income, and income taxes. General and corporate expenses are an aggregate of general and administrative expenses, impairment charges, depreciation and amortization expense, and gains on the disposition of assets. Identifiable assets by segment are those assets that are used in the Company’s operations in each segment. Other assets consist primarily of cash, property, plant, and equipment related to the other operations, as well as the general and corporate operations. |
ASSETS HELD FOR SALE AND DISCON
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS | 3 Months Ended |
Mar. 31, 2019 | |
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS | |
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS | NOTE 20. ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS During the fourth quarter of 2018, the Company commenced efforts to pursue monetization of certain of its multi-tenant income properties and the golf operations segment and assets comprising the Club. Accordingly, four multi-tenant income properties and the golf assets comprising the Club were classified as held for sale as of December 31, 2018. Additionally, the golf operations segment qualifies as discontinued operations and have been reclassified as such in the accompanying consolidated statements of income for the three months ended March 31, 2019 and 2018. As described in Note 3, “Income Properties”, the multi-tenant retail property anchored by a Whole Foods Market retail store in Sarasota, Florida was sold during the three months ended March 31, 2019 comprising $17.1 million of the reduction in assets held for sale during the quarter. The following is a summary of assets held for sale as of March 31, 2019 and December 31, 2018: As of March 31, 2019 As of December 31, 2018 Multi-Tenant Income Properties Golf Assets Total Assets Held for Sale Multi-Tenant Income Properties Golf Assets Total Assets Held for Sale Property, Plant, and Equipment—Net $ 51,492,601 $ 3,659,703 $ 55,152,304 $ 67,810,880 $ 3,659,703 $ 71,470,583 Cash and Cash Equivalents — 199,290 199,290 — 156,489 156,489 Other Assets — 648,137 648,137 — 646,285 646,285 Operating Leases - Right-of-Use Asset — 173,561 173,561 — — — Intangible Lease Assets—Net 3,346,288 — 3,346,288 4,366,858 — 4,366,858 Intangible Lease Liabilities—Net (440,913) — (440,913) (773,705) — (773,705) Total Assets Held for Sale $ 54,397,976 $ 4,680,691 $ 59,078,667 $ 71,404,033 $ 4,462,477 $ 75,866,510 The following is a summary of liabilities held for sale as of March 31, 2019 and December 31, 2018: As of March 31, 2019 As of December 31, 2018 Multi-Tenant Income Properties Golf Liabilities Total Liabilities Held for Sale Multi-Tenant Income Properties Golf Liabilities Total Liabilities Held for Sale Accounts Payable $ — $ 318,946 $ 318,946 $ — $ 199,422 $ 199,422 Accrued and Other Liabilities — 916,759 916,759 — 924,323 924,323 Operating Leases - Liability — 173,561 173,561 — — — Deferred Revenue — 232,719 232,719 — 223,551 223,551 Total Liabilities Held for Sale $ — $ 1,641,985 $ 1,641,985 $ — $ 1,347,296 $ 1,347,296 Operating Leases – Right-of-Use Asset and Liability. In connection with the Company’s implementation of FASB ASU Topic 842, Leases , effective January 1, 2019, the Company recorded an increase in right-of-use assets and lease liabilities for leases for which the Company is the lessee. The amount of the adjustment totaled approximately $208,000 for golf operations segment leases which was recorded as an increase in Assets Held for Sale and Liabilities Held for Sale. Golf $1 Round Surcharge. On January 24, 2017, the Company acquired the land and improvements comprising the golf courses, previously leased from the City, for approximately $1.5 million (the “Golf Course Land Purchase”). In connection with the Golf Course Land Purchase, each year the Company is obligated to pay the Per-Round Surcharge. The maximum amount of $700,000 represents contingent consideration and was recorded as an increase in Golf Buildings, Improvements, and Equipment and Accrued and Other Liabilities in the accompany consolidated balance sheets. The first two annual payments of $70,000 each were made in January of 2018 and January of 2019, leaving a remaining commitment of $560,000 as of March 31, 2019 which is included in Accrued and Other Liabilities, a component of Liabilities Held for Sale . The following is a summary of discontinued operations for the three months ended March 31, 2019 and 2018: Three Months Ended March 31, March 31, Golf Operations Revenue $ 1,496,693 $ 1,354,356 Golf Operations Direct Cost of Revenues (1,711,330) (1,381,826) Loss from Operations (214,637) (27,470) Depreciation and Amortization — (103,556) Loss from Discontinued Operations Before Income Tax (214,637) (131,026) Income Tax Benefit 54,400 33,210 Loss from Discontinued Operations (Net of Income Tax) $ (160,237) $ (97,816) |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2019 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE 21. SUBSEQUENT EVENTS On April 10, 2019, the Company repurchased a large block of shares of the Company’s common stock as part of the disposition of the entire position owned by its largest shareholder, Wintergreen Fund (NYSE: WGRNX), a public mutual fund and other investment vehicles , managed by Wintergreen Advisers, LLC, an institutional investment advisory firm, which shareholder owned in the aggregate more than 28% of the Company’s outstanding shares. The Company acquired 320,741 shares (the “Block Share Repurchase”), or approximately 6% of the Company’s outstanding shares, for approximately $18.4 million, which was funded utilizing capacity on the Credit Facility. The remaining shares owned by the selling shareholder, totaling 1,232,334 shares, were acquired by multiple investors. The Block Share Repurchase was completed outside of the Company’s existing $10.0 million buyback program. On April 29, 2019, the Company completed the sale of approximately 38 acres for approximately $710,000, or approximately $19,000 per acre. The land parcel which is to be used as a compensating storage pond is located on the east side of Interstate 95 at the northwest corner of LPGA Boulevard and Clyde Morris Boulevard. The estimated gain on the land sale is approximately $595,000, or $0.09 per share, after tax. The transaction is expected to be part of a 1031 like-kind exchange. |
DESCRIPTION OF BUSINESS AND P_2
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS | |
Interim Financial Information | Interim Financial Information The accompanying unaudited consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements do not include all of the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements and should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018, which provides a more complete understanding of the Company’s accounting policies, financial position, operating results, business properties, and other matters. The unaudited consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary to present fairly the financial position of the Company and the results of operations for the interim periods. The results of operations for the three months ended March 31, 2019 are not necessarily indicative of results to be expected for the year ending December 31, 2019. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and other entities in which we have a controlling interest. Any real estate entities or properties included in the consolidated financial statements have been consolidated only for the periods that such entities or properties were owned or under control by us. All inter-company balances and transactions have been eliminated in the consolidated financial statements. |
Use of Estimates in Preparation of Financial Statements | Use of Estimates in Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In February 2016, the FASB issued ASU 2016-02, which requires entities to recognize assets and liabilities that arise from financing and operating leases and to classify those finance and operating lease payments in the financing or operating sections, respectively, of the statement of cash flows pursuant to FASB ASC Topic 842, Leases. The amendments in this update are effective for annual reporting periods beginning after December 15, 2018. The Company’s implemented ASC 842 effective January 1, 2019 and has elected to follow the practical expedients and accounting policies below: · The Company, as lessee and as lessor, will not reassess (i) whether any expired or existing contracts are or contain leases, (ii) lease classification for any expired or existing leases or (iii) initial direct costs for any expired or existing leases. · The Company, as lessee, will not apply the recognition requirements of ASC 842 to short-term (twelve months or less) leases. Instead, the Company, as lessee, will recognize the lease payments in profit or loss on a straight-line basis over the lease term and variable lease payments in the period in which the obligation for those payments is incurred. As of the date of this report, the Company has no such short-term leases. · The Company, as lessor, will not separate nonlease components from lease components and, instead, will account for each separate lease component and the nonlease components associated with that lease as a single component if the nonlease components otherwise would be accounted for under ASC Topic 606. The primary reason for this election is related to instances where common area maintenance is, or may be, a component of base rent within a lease agreement. At the beginning of the period of adoption, January 1, 2019, through a cumulative-effect adjustment, the Company increased right-of use assets and lease liabilities for operating leases for which the Company is the lessee. The amount of the adjustment totaled approximately $681,000 and was reflected as an increase in Other Assets and Accrued and Other Liabilities for corporate leases totaling approximately $473,000 and an increase in Assets Held for Sale and Liabilities Held for sale for golf operations segment leases totaling approximately $208,000. There were no adjustments related to the leases for which the Company is the lessor. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand, bank demand accounts, and money market accounts having original maturities of 90 days or less. The Company’s bank balances as of March 31, 2019 include certain amounts over the Federal Deposit Insurance Corporation limits. |
Restricted Cash | Restricted Cash Restricted cash totaled approximately $1.3 million at March 31, 2019 of which approximately $1.1 million is being held in three separate escrow accounts related to three separate land transactions which closed in December 2013, February 2017, and March 2018; and approximately $223,000 is being held in a capital replacement reserve account in connection with our financing of six income properties with Wells Fargo Bank, NA (“Wells Fargo”). |
Derivative Financial Instruments and Hedging Activity | Derivative Financial Instruments and Hedging Activity Interest Rate Swap. In conjunction with the variable-rate mortgage loan secured by our property located in Raleigh, North Carolina leased to Wells Fargo, the Company entered into an interest rate swap to fix the interest rate (the “Interest Rate Swap”). The Company accounts for its cash flow hedging derivative in accordance with FASB ASC Topic 815-20, Derivatives and Hedging . Depending upon the hedge’s value at each balance sheet date, the derivative is included in either Other Assets or Accrued and Other Liabilities on the consolidated balance sheet at its fair value. On the date the Interest Rate Swap was entered into, the Company designated the derivative as a hedge of the variability of cash flows to be paid related to the recognized long-term debt liability. The Company formally documented the relationship between the hedging instrument and the hedged item, as well as its risk-management objective and strategy for undertaking the hedge transaction. At the hedge’s inception, the Company formally assessed whether the derivative that is used in hedging the transaction is highly effective in offsetting changes in cash flows of the hedged item, and we will continue to do so on an ongoing basis. As the terms of the Interest Rate Swap and the associated debt are identical, the Interest Rate Swap qualifies for the shortcut method, therefore, it is assumed that there is no hedge ineffectiveness throughout the entire term of the Interest Rate Swap. Changes in fair value of the Interest Rate Swap that are highly effective and designated and qualified as a cash-flow hedge are recorded in other comprehensive income and loss, until earnings are affected by the variability in cash flows of the designated hedged item. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of the Company’s financial assets and liabilities including cash and cash equivalents, restricted cash, accounts receivable, accounts payable, and accrued and other liabilities at March 31, 2019 and December 31, 2018, approximate fair value because of the short maturity of these instruments. The carrying value of the Company’s credit facility approximates current market rates for revolving credit arrangements with similar risks and maturities. The face value of the Company’s mortgage notes and convertible debt is measured at fair value based on current market rates for financial instruments with similar risks and maturities. See Note 6, “Fair Value of Financial Instruments.” |
Fair Value Measurements | Fair Value Measurements The Company’s estimates of fair value of financial and non-financial assets and liabilities is based on the framework established by GAAP. The framework specifies a hierarchy of valuation inputs which was established to increase consistency, clarity and comparability in fair value measurements and related disclosures. GAAP describes a fair value hierarchy based upon three levels of inputs that may be used to measure fair value, two of which are considered observable and one that is considered unobservable. The following describes the three levels: · Level 1 – Valuation is based upon quoted prices in active markets for identical assets or liabilities. · Level 2 – Valuation is based upon inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. · Level 3 – Valuation is generated from model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include option pricing models, discounted cash flow models and similar techniques. |
Impact Fees and Mitigation Credits | Impact Fees and Mitigation Credits Impact fees and mitigation credits are stated at historical cost. As these assets are sold, the related revenues and cost basis are reported as revenues from, and direct costs of, real estate operations, respectively, in the consolidated statements of operations. |
Accounts Receivable | Accounts Receivable Accounts receivable related to income properties, which are classified in other assets on the consolidated balance sheets, primarily consist of tenant reimbursable expenses. Receivables related to tenant reimbursable expenses totaled approximately $1.0 million and $628,000 as of March 31, 2019 and December 31, 2018, respectively. Accounts receivable related to real estate operations, which are classified in other assets on the consolidated balance sheets, totaled approximately $1.8 million as of both March 31, 2019 and December 31, 2018. As more fully described in Note 9, “Other Assets,” these accounts receivable are primarily related to the reimbursement of certain infrastructure costs completed by the Company in conjunction with two land sale transactions that closed during the fourth quarter of 2015. Trade accounts receivable primarily consist of receivables related to the golf operations segment, which are classified in Assets Held for Sale on the consolidated balance sheets. Trade accounts receivable related to golf operations segment, which primarily consist of amounts due from members or from private events, totaled approximately $347,000 and $290,000 as of March 31, 2019 and December 31, 2018, respectively. The collectability of the aforementioned receivables is determined based on the aging of the receivable and a review of the specifically identified accounts using judgments. As of March 31, 2019 and December 31, 2018, the Company recorded an allowance for doubtful accounts of approximately $217,000 and $185,000, respectively. |
Purchase Accounting for Acquisitions of Real Estate Subject to a Lease | Purchase Accounting for Acquisitions of Real Estate Subject to a Lease In accordance with the FASB guidance on business combinations, the fair value of the real estate acquired with in-place leases is allocated to the acquired tangible assets, consisting of land, building and tenant improvements, and identified intangible assets and liabilities, consisting of the value of above-market and below-market leases, the value of in-place leases, and the value of leasing costs, based in each case on their relative fair values. The fair value of the tangible assets of an acquired leased property is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land, building and tenant improvements based on the determination of the fair values of these assets. In allocating the fair value of the identified intangible assets and liabilities of an acquired property, above-market and below-market in-place lease values are recorded as other assets or liabilities based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases, and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining term of the lease, including the probability of renewal periods. The capitalized above-market lease values are amortized as a reduction of rental income over the remaining terms of the respective leases. The capitalized below-market lease values are amortized as an increase to rental income over the initial term unless the Company believes that it is likely that the tenant will renew the option whereby the Company amortizes the value attributable to the renewal over the renewal period. The aggregate value of other acquired intangible assets, consisting of in-place leases, is measured by the excess of (i) the purchase price paid for a property after adjusting existing in-place leases to market rental rates over (ii) the estimated fair value of the property as-if-vacant, determined as set forth above. The value of in-place leases exclusive of the value of above-market and below-market in-place leases is amortized to expense over the remaining non-cancelable periods of the respective leases. If a lease were to be terminated prior to its stated expiration, all unamortized amounts relating to that lease would be written off. The value of tenant relationships is reviewed on individual transactions to determine if future value was derived from the acquisition. In January 2017, the FASB issued ASU 2017-01, Business Combinations which clarified the definition of a business. Pursuant to ASU 2017-01, the acquisition of an income property subject to a lease no longer qualifies as a business combination, but rather an asset acquisition, accordingly acquisition costs have been capitalized. |
Sales of Real Estate | Sales of Real Estate Gains and losses on sales of real estate are accounted for as required by FASB ASC Topic 606, Revenue from Contracts with Customers . The Company recognizes revenue from the sales of real estate when the Company transfers the promised goods and/or services in the contract based on the transaction price allocated to the performance obligations within the contract. As market information becomes available, real estate cost basis is analyzed and recorded at the lower of cost or market. |
Income Taxes | Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred income taxes result primarily from the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. See Note 17, “Income Taxes.” In June 2006, the FASB issued additional guidance, which clarifies the accounting for uncertainty in income taxes recognized in a company’s financial statements included in income taxes. The interpretation prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The interpretation also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. In accordance with FASB guidance included in income taxes, the Company has analyzed its various federal and state filing positions and believes that its income tax filing positions and deductions are well documented and supported. Additionally, the Company believes that its accruals for tax liabilities are adequate. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to the FASB guidance. |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
REVENUE RECOGNITION | |
Summary of revenue by segment, major good and/or service, and the related timing of revenue recognition | The following table summarizes the Company’s revenue by segment, major good and/or service, and the related timing of revenue recognition for the three months ended March 31, 2019: Income Real Estate Total Properties Operations Revenues ($000's) ($000's) ($000's) Major Good / Service: Lease Revenue - Base Rent $ 8,875 $ 27 $ 8,902 Lease Revenue - CAM 670 — 670 Lease Revenue - Reimbursements 546 — 546 Lease Revenue - Billboards 36 — 36 Above / Below Market Lease Accretion 581 — 581 Contributed Leased Assets Accretion 62 — 62 Lease Incentive Amortization (76) — (76) Land Sale Revenue — 3,300 3,300 Subsurface Lease Revenue — 199 199 Subsurface Revenue - Other — 9 9 Interest and Other Revenue 30 — 30 Total Revenues $ 10,724 $ 3,535 $ 14,259 Timing of Revenue Recognition: Asset/Good Transferred at a Point in Time $ — $ 3,309 $ 3,309 Services Transferred Over Time 30 — 30 Over Lease Term 10,694 226 10,920 Commercial Loan Investment Related Revenue — — — Total Revenues $ 10,724 $ 3,535 $ 14,259 The following table summarizes the Company’s revenue by segment, major good and/or service, and the related timing of revenue recognition for the three months ended March 31, 2018: Interest Income Income from Commercial Real Estate Total Properties Loan Investments Operations Revenues ($000's) ($000's) ($000's) ($000's) Major Good / Service: Lease Revenue - Base Rent $ 7,422 $ — $ 11 $ 7,433 Lease Revenue - CAM 614 — — 614 Lease Revenue - Reimbursements 565 — — 565 Lease Revenue - Billboards 64 — — 64 Above / Below Market Lease Accretion 580 — — 580 Contributed Leased Assets Accretion 10 — — 10 Lease Incentive Amortization (76) — — (76) Interest from Commercial Loan Investments — 301 — 301 Land Sale Revenue — — 13,117 13,117 Impact Fee and Mitigation Credit Sales — — 116 116 Subsurface Lease Revenue — — 199 199 Subsurface Revenue - Other — — 547 547 Interest and Other Revenue 27 — — 27 Total Revenues $ 9,206 $ 301 $ 13,990 $ 23,497 Timing of Revenue Recognition: Asset/Good Transferred at a Point in Time $ — $ — $ 13,780 $ 13,780 Services Transferred Over Time 27 — — 27 Over Lease Term 9,179 — 210 9,389 Commercial Loan Investment Related Revenue — 301 — 301 Total Revenues $ 9,206 $ 301 $ 13,990 $ 23,497 |
LAND AND SUBSURFACE INTERESTS (
LAND AND SUBSURFACE INTERESTS (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
LAND AND SUBSURFACE INTERESTS | |
Schedule of components of real estate operations revenue | Three Months Ended March 31, 2019 March 31, 2018 Revenue Description ($000's) ($000's) Land Sales Revenue $ 3,300 $ 13,117 Impact Fee and Mitigation Credit Sales — 116 Subsurface Revenue 208 746 Fill Dirt and Other Revenue 27 — Agriculture — 11 Total Real Estate Operations Revenue $ 3,535 $ 13,990 |
Summary of land sales | Three Months Ended March 31, 2019 March 31, 2018 Revenue Description ($000's) ($000's) Land Sales Revenue $ 3,300 $ 13,117 Impact Fee and Mitigation Credit Sales — 116 Subsurface Revenue 208 746 Fill Dirt and Other Revenue 27 — Agriculture — 11 Total Real Estate Operations Revenue $ 3,535 $ 13,990 2019 Land Sales. During the three months ended March 31, 2019, a total of approximately 9.9 acres were sold for approximately $3.3 million, as described below: Gross Sales Gain Date of No. of Price Price on Sale Buyer (or Description) Location Sale Acres ($000's) per Acre ($000's) 1 Unicorp-Grocery Anchored Project East of I-95 02/27/19 9.9 $ 3,300 $ $ 2,274 2018 Land Sales. During the three months ended March 31, 2018, a total of approximately 34.9 acres were sold for approximately $13.9 million, as described below:’ Gross Sales Gain Date of No. of Price (1) Price on Sale Buyer (or Description) Location Sale Acres ($000's) per Acre ($000's) 1 Buc-ee's East of I-95 03/16/18 34.9 $ 13,948 $ $ 11,926 (1) The gain recognized during the three months ended March 31, 2018 on the Buc-ee’s sale totaling approximately $11.9 million excludes approximately $831,000 held in an escrow reserve related to the portion of the acreage sold for which the Company remains obligated to perform wetlands mitigation. The Company expects to recognize the remaining gain of approximately $831,000 upon completion of the mitigation work. See Note 15, “Deferred Revenue”. |
Schedule of lease payments on respective acreages and drilling penalties received | Acreage Lease Year (Approximate) Florida County Lease Payment (1) Drilling Penalty (1) Lease Year 1 - 9/23/2011 - 9/22/2012 136,000 Lee and Hendry $ 913,657 $ — Lease Year 2 - 9/23/2012 - 9/22/2013 136,000 Lee and Hendry 922,114 — Lease Year 3 - 9/23/2013 - 9/22/2014 82,000 Hendry 3,293,000 1,000,000 Lease Year 4 - 9/23/2014 - 9/22/2015 42,000 Hendry 1,866,146 600,000 Lease Year 5 - 9/23/2015 - 9/22/2016 25,000 Hendry 1,218,838 175,000 Lease Year 6 - 9/23/2016 - 9/22/2017 15,000 Hendry 806,683 150,000 Lease Year 7 - 9/23/2017 - 9/22/2018 15,000 Hendry 806,683 50,000 Lease Year 8 - 9/23/2018 - 9/22/2019 15,000 Hendry 806,684 150,000 Total Payments $ 10,633,805 $ 2,125,000 (1) Generally, cash payment for the Lease Payment is received on or before the first day of the lease year. The Drilling Penalty, which is due within thirty days from the end of the prior lease year, is recorded as revenue when earned, i.e. when the amount is agreed upon, while the Lease Payment is recognized on a straight-line basis over the respective lease term. Pursuant to the amendment for the Year 8 renewal, the Lease Payment and Drilling Penalty were to be received in monthly installments. As of March 31, 2019, the entire amount of approximately $957,000 had been received pursuant to the payment installment schedule. See separate disclosure of revenue recognized per period below. |
INVESTMENT IN JOINT VENTURE (Ta
INVESTMENT IN JOINT VENTURE (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
INVESTMENT IN JOINT VENTURE | |
Summarized financial information of the Company’s JV Investment | As of March 31, 2019 ($000's) Assets, cash and cash equivalents $ 2,257 Assets, prepaid expenses 9 Assets, investment in mitigation credit assets 1,519 Assets, property, plant, and equipment 18 Total Assets $ 3,803 Liabilities, accounts payable, deferred mitigation credit sale revenue $ 19 Equity $ 3,784 Total Liabilities & Equity $ 3,803 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
Schedule of carrying value and estimated fair value of financial instruments | March 31, 2019 December 31, 2018 Carrying Estimated Carrying Estimated Value Fair Value Value Fair Value Cash and Cash Equivalents - Level 1 $ 2,682,205 $ 2,682,205 $ 2,310,489 $ 2,310,489 Restricted Cash - Level 1 1,336,361 1,336,361 19,721,475 19,721,475 Long-Term Debt - Level 2 206,991,712 208,584,073 247,624,811 248,765,650 |
Schedule of fair value of assets measured on recurring basis by Level | The following table presents the fair value of assets measured on a recurring basis by Level as of March 31, 2019: Fair Value at Reporting Date Using Quoted Prices in Significant Active Markets Significant Other Unobservable for Identical Observable Inputs Inputs 3/31/2019 Assets (Level 1) (Level 2) (Level 3) Cash Flow Hedge - Interest Rate Swap $ 479,176 $ — $ 479,176 $ — Total $ 479,176 $ — $ 479,176 $ — The following table presents the fair value of assets measured on a recurring basis by Level as of December 31, 2018: Fair Value at Reporting Date Using Quoted Prices in Significant Active Markets Significant Other Unobservable for Identical Observable Inputs Inputs 12/31/2018 Assets (Level 1) (Level 2) (Level 3) Cash Flow Hedge - Interest Rate Swap $ 651,722 $ — $ 651,722 $ — Total $ 651,722 $ — $ 651,722 $ — |
INTANGIBLE LEASE ASSETS AND L_2
INTANGIBLE LEASE ASSETS AND LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
INTANGIBLE LEASE ASSETS AND LIABILITIES | |
Schedule of components of intangible lease assets and liabilities | As of March 31, 2019 December 31, 2018 Intangible Lease Assets: Value of In-Place Leases $ 39,189,008 $ 39,189,008 Value of Above Market In-Place Leases 4,114,715 4,114,715 Value of Intangible Leasing Costs 14,791,111 14,791,111 Sub-total Intangible Lease Assets 58,094,834 58,094,834 Accumulated Amortization (15,778,840) (14,539,389) Sub-total Intangible Lease Assets—Net 42,315,994 43,555,445 Intangible Lease Liabilities (included in accrued and other liabilities): Value of Below Market In-Place Leases (35,321,234) (35,321,234) Sub-total Intangible Lease Liabilities (35,321,234) (35,321,234) Accumulated Amortization 8,624,160 7,930,884 Sub-total Intangible Lease Liabilities—Net (26,697,074) (27,390,350) Total Intangible Assets and Liabilities—Net $ 15,618,920 $ 16,165,095 |
Schedule of amortization of intangible assets and liabilities | Three Months Ended March 31, March 31, ($000's) ($000's) Depreciation and Amortization Expense $ 1,127 $ 1,353 Increase to Income Properties Revenue (581) (580) Net Amortization of Intangible Assets and Liabilities $ 546 $ 773 |
Schedule of estimated future amortization and accretion of intangible lease assets and liabilities | Future Accretion Net Future Future to Income Amortization of Amortization Property Intangible Assets Year Ending December 31, Amount Revenue and Liabilities Remainder of 2019 $ 3,977,373 $ (1,735,645) $ 2,241,728 2020 4,882,863 (2,244,638) 2,638,225 2021 3,492,913 (2,307,905) 1,185,008 2022 3,177,980 (2,379,065) 798,915 2023 3,085,976 (2,353,003) 732,973 2024 3,054,016 (2,339,950) 714,066 Thereafter 17,369,649 (10,061,644) 7,308,005 Total $ 39,040,770 $ (23,421,850) $ 15,618,920 |
OTHER ASSETS (Tables)
OTHER ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
OTHER ASSETS | |
Schedule of components of other assets | As of March 31, December 31, Income Property Tenant Receivables $ 991,146 $ 627,691 Income Property Straight-line Rent Adjustment 4,735,022 4,304,279 Income Property Lease Incentive 2,318,638 2,394,246 Operating Leases - Right-of-Use Asset 443,351 — Cash Flow Hedge - Interest Rate Swap 479,176 651,722 Infrastructure Reimbursement Receivables 1,854,643 1,847,375 Deferred Deal Costs 200,189 425,476 Prepaid Expenses, Deposits, and Other 2,489,860 2,634,664 Total Other Assets $ 13,512,025 $ 12,885,453 |
COMMON STOCK AND EARNINGS PER_2
COMMON STOCK AND EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
COMMON STOCK AND EARNINGS PER SHARE | |
Schedule of computation of earnings per share | Three Months Ended March 31, March 31, Income Available to Common Shareholders: Net Income $ 6,468,099 $ 10,912,299 Weighted Average Shares Outstanding 5,345,870 5,530,864 Common Shares Applicable to Stock Options Using the Treasury Stock Method — 31,036 Total Shares Applicable to Diluted Earnings Per Share 5,345,870 5,561,900 Per Share Information: Basic Net Income from Continuing Operations $ 1.24 $ 1.99 Net Loss from Discontinued Operations (Net of Tax) (0.03) (0.02) Net Income $ 1.21 $ 1.97 Diluted Net Income from Continuing Operations $ 1.24 $ 1.98 Net Loss from Discontinued Operations (Net of Tax) (0.03) (0.02) Net Income $ 1.21 $ 1.96 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
LONG-TERM DEBT | |
Schedule of outstanding indebtedness, at face value | As of March 31, 2019, the Company’s outstanding indebtedness, at face value, was as follows: Face Maturity Interest Value Debt Date Rate Credit Facility $ 79,845,349 September 2021 30 ‑day LIBOR plus 1.50% -2.20% Mortgage Note Payable (originated with Wells Fargo) (1) 30,000,000 October 2034 4.330% Mortgage Note Payable (originated with Wells Fargo) (2) 24,387,497 April 2021 30 ‑day LIBOR plus 1.90% 4.50% Convertible Senior Notes due 2020, net of discount 75,000,000 March 2020 4.500% Total Long-Term Face Value Debt $ 209,232,846 (1) Secured by the Company’s interest in six income properties. The mortgage loan carries a fixed rate of 4.33% per annum during the first ten years of the term, and requires payments of interest only during the first ten years of the loan. After the tenth anniversary of the effective date of the loan, the cash flows, as defined in the related loan agreement, generated by the underlying six income properties must be used to pay down the principal balance of the loan until paid off or until the loan matures. The loan is fully pre-payable after the tenth anniversary of the effective date of the loan. (2) Secured by the Company’s income property leased to Wells Fargo located in Raleigh, North Carolina. The mortgage loan has a 5-year term with two years interest only, and interest and a 25-year amortization for the balance of the term. The mortgage loan bears a variable rate of interest based on the 30-day LIBOR plus a rate of 190 basis points. The interest rate for this mortgage loan has been fixed through the use of an interest rate swap that fixed the rate at 3.17%. The mortgage loan can be prepaid at any time subject to the termination of the interest rate swap. Amortization of the principal balance began in May 2018. |
Schedule of components of long-term debt | Long-term debt as of March 31, 2019 and December 31, 2018 consisted of the following: March 31, 2019 December 31, 2018 Due Within Due Within Total One Year Total One Year Credit Facility $ 79,845,349 $ — $ 120,745,579 $ — Mortgage Note Payable (originated with Wells Fargo) 30,000,000 — 30,000,000 — Mortgage Note Payable (originated with Wells Fargo) 24,387,497 — 24,557,468 — 4.50% Convertible Senior Notes due 2020, net of discount 73,679,991 — 73,348,731 — Loan Costs, net of accumulated amortization (921,125) — (1,026,967) — Total Long-Term Debt $ 206,991,712 $ — $ 247,624,811 $ — |
Schedule of payments applicable to reduction of principal amounts | Year Ending December 31, Amount Remainder of 2019 $ — 2020 75,000,000 2021 104,232,846 2022 — 2023 — 2024 — Thereafter 30,000,000 Total Long-Term Debt - Face Value $ 209,232,846 |
Schedule of carrying value of long-term debt | The carrying value of long-term debt as of March 31, 2019 consisted of the following: Total Current Face Amount $ 209,232,846 Unamortized Discount on Convertible Debt (1,320,009) Loan Costs, net of accumulated amortization (921,125) Total Long-Term Debt $ 206,991,712 |
Schedule of interest expense on debt | Three Months Ended March 31, March 31, ($000's) ($000's) Interest Expense $ 2,486 $ 2,100 Amortization of Loan Costs 106 150 Amortization of Discount on Convertible Notes 331 311 Total Interest Expense $ 2,923 $ 2,561 Total Interest Paid $ 3,431 $ 2,899 |
ACCRUED AND OTHER LIABILITIES (
ACCRUED AND OTHER LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
ACCRUED AND OTHER LIABILITIES | |
Schedule of components of accrued and other liabilities | As of March 31, December 31, Accrued Property Taxes $ 558,684 $ 12,312 Reserve for Tenant Improvements 93,476 100,519 Accrued Construction Costs 170,394 350,593 Accrued Interest 499,828 1,430,236 Environmental Reserve and Restoration Cost Accrual 763,501 520,404 Operating Leases - Liability 443,351 — Other 1,739,693 2,783,820 Total Accrued and Other Liabilities $ 4,268,927 $ 5,197,884 |
DEFERRED REVENUE (Tables)
DEFERRED REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
DEFERRED REVENUE | |
Schedule of components of deferred revenue | As of March 31, 2019 December 31, 2018 Deferred Oil Exploration Lease Revenue $ 386,767 $ 585,675 Deferred Revenue on Land Sales 831,320 831,320 Prepaid Rent 1,254,818 1,621,620 Tenant Contributions 4,042,250 4,104,151 Other Deferred Revenue 107,098 58,838 Total Deferred Revenue $ 6,622,253 $ 7,201,604 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
STOCK-BASED COMPENSATION | |
Summary of share activity for all equity classified stock compensation | A summary of share activity for all equity classified stock compensation during the three months ended March 31, 2019, is presented below: Shares Vested / Shares Outstanding Granted Exercised Expired Forfeited Outstanding Type of Award at 1/1/2019 Shares Shares Shares Shares at 3/31/2019 Equity Classified - Performance Share Awards - Peer Group Market Condition Vesting 28,080 21,195 — — — 49,275 Equity Classified - Market Condition Restricted Shares - Stock Price Vesting 22,000 — — — — 22,000 Equity Classified - Three Year Vest Restricted Shares 34,952 20,696 (18,053) — — 37,595 Equity Classified - Non-Qualified Stock Option Awards 80,000 — — — — 80,000 Total Shares 165,032 41,891 (18,053) — — 188,870 |
Schedule of amounts recognized for stock options, stock appreciation rights, and restricted stock | Three Months Ended March 31, March 31, Recurring Charge for Stock-Based Compensation Total Cost of Share-Based Plans Charged Against Income Before Tax Effect $ 811,601 $ 502,895 Income Tax Expense Recognized in Income $ (205,700) $ (127,459) |
Peer Group Market Condition Vesting | |
STOCK-BASED COMPENSATION | |
Summary of performance share awards activity | A summary of activity during the three months ended March 31, 2019, is presented below: Wtd. Avg. Performance Shares with Market Conditions Shares Fair Value Outstanding at January 1, 2019 28,080 $ 66.29 Granted 21,195 64.66 Vested — — Expired — — Forfeited — — Outstanding at March 31, 2019 49,275 $ 65.59 |
Stock Price Vesting | |
STOCK-BASED COMPENSATION | |
Summary of nonvested restricted stock award activity | A summary of the activity for these awards during the three months ended March 31, 2019, is presented below: Wtd. Avg. Market Condition Non-Vested Restricted Shares Shares Fair Value Outstanding at January 1, 2019 22,000 $ 41.71 Granted — — Vested — — Expired — — Forfeited — — Outstanding at March 31, 2019 22,000 $ 41.71 |
Three-Year Vesting | |
STOCK-BASED COMPENSATION | |
Summary of nonvested restricted stock award activity | A summary of activity during the three months ended March 31, 2019, is presented below: Wtd. Avg. Fair Value Three Year Vest Non-Vested Restricted Shares Shares Per Share Outstanding at January 1, 2019 34,952 $ 58.07 Granted 20,696 58.78 Vested (18,053) 54.43 Expired — — Forfeited — — Outstanding at March 31, 2019 37,595 $ 60.21 |
Amended and Restated 2010 Equity Incentive Plan | |
STOCK-BASED COMPENSATION | |
Summary of activity for stock option awards | A summary of the activity for the awards during the three months ended March 31, 2019, is presented below: Wtd. Avg. Remaining Contractual Aggregate Wtd. Avg. Term Intrinsic Non-Qualified Stock Option Awards Shares Ex. Price (Years) Value Outstanding at January 1, 2019 80,000 $ 55.63 Granted — — Exercised — — Expired — — Forfeited — — Outstanding at March 31, 2019 80,000 $ 55.63 6.01 $ 273,800 Exercisable at January 1, 2019 80,000 $ 55.63 6.50 $ 25,000 Exercisable at March 31, 2019 80,000 $ 55.63 6.01 $ 273,800 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
COMMITMENTS AND CONTINGENCIES | |
Schedule of potential land sales transactions | No. of Acres Amount Price Estimated Transaction (Buyer) (Rounded) ($000's) per Acre Timing 1 Residential (SF) - Parcel A - West of I-95 1,599 $ 27,000 $ '19 - '20 2 Residential (SF) - ICI Homes - West of I-95 1,016 21,450 '19 3 Commercial/Medical Office - East of I-95 32 8,089 '19 - '20 4 Residential (MF) - East of I-95 38 6,100 Q4 '19 5 Commercial/Residential - Unicorp Dev. - East of I-95 31 4,600 '19 - '20 6 Commercial/Residential - East of I-95 12 4,500 '19 - '20 7 Residential (MF) - East of I-95 23 4,000 '19 - '20 8 Commercial/Retail - Unicorp Dev. - East of I-95 14 3,800 '19 - '20 9 Commercial/Retail - NADG - East of I-95 13 3,000 '19 10 Residential (Sr. Housing) - East of I-95 13 2,600 '19 - '20 11 Residential (SF) - West of I-95 98 2,600 '19 - '20 12 Residential (MF) - East of I-95 19 2,000 '20 13 Residential (SF) - ICI Homes - West of I-95 146 1,650 '19 14 Borrow Pit - West of I-95 149 1,600 '19 - '20 Total (Average) 3,203 $ 92,989 $ |
BUSINESS SEGMENT DATA (Tables)
BUSINESS SEGMENT DATA (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
BUSINESS SEGMENT DATA | |
Schedule of operations in different segments | Three Months Ended March 31, March 31, Revenues: Income Properties $ 10,724,418 $ 9,205,727 Commercial Loan Investments — 300,999 Real Estate Operations 3,534,901 13,990,517 Total Revenues $ 14,259,319 $ 23,497,243 Operating Income: Income Properties $ 8,791,930 $ 7,336,698 Commercial Loan Investments — 300,999 Real Estate Operations 1,909,632 12,449,683 General and Corporate Expense (5,847,907) (6,620,371) Gains on Disposition of Assets 6,869,957 3,650,858 Total Operating Income $ 11,723,612 $ 17,117,867 Depreciation and Amortization: Income Properties $ 3,339,856 $ 3,787,415 Corporate and Other 6,431 9,408 Total Depreciation and Amortization $ 3,346,287 $ 3,796,823 Capital Expenditures: Income Properties $ 58,005 $ 27,915,262 Real Estate Operations 870,509 2,111,983 Golf Operations — 2,663 Corporate and Other 2,061 553 Total Capital Expenditures $ 930,575 $ 30,030,461 As of March 31, December 31, Identifiable Assets: Income Properties $ 472,412,073 $ 492,093,615 Real Estate Operations 35,045,459 35,287,559 Golf Operations-Held for Sale 4,680,691 4,462,477 Corporate and Other 6,369,035 24,486,221 Total Assets $ 518,507,258 $ 556,329,872 |
ASSETS HELD FOR SALE AND DISC_2
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS | |
Schedule of assets and liabilities held for sale and discontinued operations | The following is a summary of assets held for sale as of March 31, 2019 and December 31, 2018: As of March 31, 2019 As of December 31, 2018 Multi-Tenant Income Properties Golf Assets Total Assets Held for Sale Multi-Tenant Income Properties Golf Assets Total Assets Held for Sale Property, Plant, and Equipment—Net $ 51,492,601 $ 3,659,703 $ 55,152,304 $ 67,810,880 $ 3,659,703 $ 71,470,583 Cash and Cash Equivalents — 199,290 199,290 — 156,489 156,489 Other Assets — 648,137 648,137 — 646,285 646,285 Operating Leases - Right-of-Use Asset — 173,561 173,561 — — — Intangible Lease Assets—Net 3,346,288 — 3,346,288 4,366,858 — 4,366,858 Intangible Lease Liabilities—Net (440,913) — (440,913) (773,705) — (773,705) Total Assets Held for Sale $ 54,397,976 $ 4,680,691 $ 59,078,667 $ 71,404,033 $ 4,462,477 $ 75,866,510 The following is a summary of liabilities held for sale as of March 31, 2019 and December 31, 2018: As of March 31, 2019 As of December 31, 2018 Multi-Tenant Income Properties Golf Liabilities Total Liabilities Held for Sale Multi-Tenant Income Properties Golf Liabilities Total Liabilities Held for Sale Accounts Payable $ — $ 318,946 $ 318,946 $ — $ 199,422 $ 199,422 Accrued and Other Liabilities — 916,759 916,759 — 924,323 924,323 Operating Leases - Liability — 173,561 173,561 — — — Deferred Revenue — 232,719 232,719 — 223,551 223,551 Total Liabilities Held for Sale $ — $ 1,641,985 $ 1,641,985 $ — $ 1,347,296 $ 1,347,296 |
Summary of discontinued operations | Three Months Ended March 31, March 31, Golf Operations Revenue $ 1,496,693 $ 1,354,356 Golf Operations Direct Cost of Revenues (1,711,330) (1,381,826) Loss from Operations (214,637) (27,470) Depreciation and Amortization — (103,556) Loss from Discontinued Operations Before Income Tax (214,637) (131,026) Income Tax Benefit 54,400 33,210 Loss from Discontinued Operations (Net of Income Tax) $ (160,237) $ (97,816) |
DESCRIPTION OF BUSINESS AND P_3
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS - Description of Business (Details) ft² in Millions | Mar. 31, 2019aft²USD ($)property | Dec. 31, 2018property |
Description of business | ||
Number of real estate properties | 0 | 4 |
Land | ||
Description of business | ||
Number of billboards under lease | $ | 18 | |
Commercial | ||
Description of business | ||
Number of real estate properties | 46 | |
Number of states in which entity operates | 14 | |
Gross leasable space | ft² | 2.3 | |
Single-tenant | ||
Description of business | ||
Number of real estate properties | 40 | |
Multi-tenant | ||
Description of business | ||
Number of real estate properties | 6 | |
Undeveloped land | Daytona Beach, FL | ||
Description of business | ||
Acres | a | 5,400 |
DESCRIPTION OF BUSINESS AND P_4
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS - Recently Issued Accounting Standards (Details) | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Recently Issued Accounting Standards | |
Right-of-use assets | $ 443,351 |
Lease liabilities | 443,351 |
Increase (decrease) in assets held for sale | 218,215 |
Increase in liabilities held for sale | 294,689 |
Golf Operations | |
Recently Issued Accounting Standards | |
Increase (decrease) in assets held for sale | 208,000 |
Increase in liabilities held for sale | 208,000 |
(“ASU”) Topic 842 | Restatement | |
Recently Issued Accounting Standards | |
Right-of-use assets | 681,000 |
Lease liabilities | $ 473,000 |
DESCRIPTION OF BUSINESS AND P_5
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS - Restricted Cash (Details) | Mar. 31, 2019USD ($)Transactionitemproperty | Dec. 31, 2018USD ($) | Mar. 31, 2018USD ($) |
Restricted Cash | |||
Restricted Cash | $ 1,336,361 | $ 19,721,475 | $ 3,148,997 |
Restricted cash, escrow deposit related to land transactions | |||
Restricted Cash | |||
Restricted Cash | $ 1,100,000 | ||
Number of separate escrow accounts | item | 3 | ||
Number of separate land transactions | Transaction | 3 | ||
Capital replacement reserve account | |||
Restricted Cash | |||
Restricted Cash | $ 223,000 | ||
Number of real estate properties in financing | property | 6 |
DESCRIPTION OF BUSINESS AND P_6
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS - Accounts Receivable (Details) | 3 Months Ended | ||
Dec. 31, 2015Transaction | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Accounts Receivable | |||
Income Property Tenant Receivables | $ 991,146 | $ 627,691 | |
Number of closed land transactions | Transaction | 2 | ||
Allowance for doubtful accounts | 217,000 | 185,000 | |
Other Assets | |||
Accounts Receivable | |||
Income Property Tenant Receivables | 1,000,000 | 628,000 | |
Accounts receivable related to real estate operations | 1,800,000 | 1,800,000 | |
Assets Held for Sale | |||
Accounts Receivable | |||
Golf Operations Receivables | $ 347,000 | $ 290,000 |
DESCRIPTION OF BUSINESS AND P_7
DESCRIPTION OF BUSINESS AND PRINCIPLES OF INTERIM STATEMENTS - Income Taxes (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Income Taxes | |
Reserves for uncertain income tax positions | $ 0 |
REVENUE RECOGNITION - Major Goo
REVENUE RECOGNITION - Major Good or Service (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenues | ||
Lease Revenue | $ 10,920,000 | $ 9,389,000 |
Lease Incentive Amortization | $ (76,000) | (76,000) |
Interest from Commercial Loan Investments | 301,000 | |
Type of revenue | cto:ImpactFeeAndMitigationCreditSalesMember | |
Interest and Other Revenue | $ 30,000 | 27,000 |
Total Revenues | 14,259,319 | 23,497,243 |
Lease Revenue - Base Rent | ||
Revenues | ||
Lease Revenue | 8,902,000 | 7,433,000 |
Lease Revenue - CAM | ||
Revenues | ||
Lease Revenue | 670,000 | 614,000 |
Lease Revenue - Reimbursements | ||
Revenues | ||
Lease Revenue | 546,000 | 565,000 |
Lease Revenue - Billboards | ||
Revenues | ||
Lease Revenue | 36,000 | 64,000 |
Above / Below Market Lease Accretion | ||
Revenues | ||
Lease Revenue | 581,000 | 580,000 |
Contributed Leased Assets Accretion | ||
Revenues | ||
Lease Revenue | 62,000 | 10,000 |
Land | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,300,000 | 13,117,000 |
Impact Fee and Mitigation Credit Sales | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 116,000 | |
Subsurface Lease Revenue | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 199,000 | 199,000 |
Subsurface Revenue - Other | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 9,000 | 547,000 |
Income Properties | ||
Revenues | ||
Lease Revenue | 10,694,000 | 9,179,000 |
Lease Incentive Amortization | (76,000) | (76,000) |
Interest and Other Revenue | 30,000 | 27,000 |
Total Revenues | 10,724,418 | 9,205,727 |
Income Properties | Lease Revenue - Base Rent | ||
Revenues | ||
Lease Revenue | 8,875,000 | 7,422,000 |
Income Properties | Lease Revenue - CAM | ||
Revenues | ||
Lease Revenue | 670,000 | 614,000 |
Income Properties | Lease Revenue - Reimbursements | ||
Revenues | ||
Lease Revenue | 546,000 | 565,000 |
Income Properties | Lease Revenue - Billboards | ||
Revenues | ||
Lease Revenue | 36,000 | 64,000 |
Income Properties | Above / Below Market Lease Accretion | ||
Revenues | ||
Lease Revenue | 581,000 | 580,000 |
Income Properties | Contributed Leased Assets Accretion | ||
Revenues | ||
Lease Revenue | 62,000 | 10,000 |
Commercial Loan Investments | ||
Revenues | ||
Interest from Commercial Loan Investments | 301,000 | |
Total Revenues | 300,999 | |
Real Estate Operations | ||
Revenues | ||
Lease Revenue | 226,000 | 210,000 |
Revenue from contract with customer, including assessed tax | 3,534,901 | 13,990,517 |
Total Revenues | 3,534,901 | 13,990,517 |
Real Estate Operations | Lease Revenue - Base Rent | ||
Revenues | ||
Lease Revenue | 27,000 | 11,000 |
Real Estate Operations | Land | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,300,000 | 13,117,000 |
Real Estate Operations | Impact Fee and Mitigation Credit Sales | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 116,000 | |
Real Estate Operations | Subsurface Lease Revenue | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 199,000 | 199,000 |
Real Estate Operations | Subsurface Revenue - Other | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | $ 9,000 | $ 547,000 |
REVENUE RECOGNITION - Timing of
REVENUE RECOGNITION - Timing of Revenue Recognition (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenues | ||
Over Lease Term | $ 10,920,000 | $ 9,389,000 |
Commercial Loan Investment Related Revenue | 301,000 | |
Total Revenues | 14,259,319 | 23,497,243 |
Asset/Good Transferred at a Point in Time | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,309,000 | 13,780,000 |
Services Transferred Over Time | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 30,000 | 27,000 |
Income Properties | ||
Revenues | ||
Over Lease Term | 10,694,000 | 9,179,000 |
Total Revenues | 10,724,418 | 9,205,727 |
Income Properties | Services Transferred Over Time | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 30,000 | 27,000 |
Commercial Loan Investments | ||
Revenues | ||
Commercial Loan Investment Related Revenue | 301,000 | |
Total Revenues | 300,999 | |
Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,534,901 | 13,990,517 |
Over Lease Term | 226,000 | 210,000 |
Total Revenues | 3,534,901 | 13,990,517 |
Real Estate Operations | Asset/Good Transferred at a Point in Time | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | $ 3,309,000 | $ 13,780,000 |
INCOME PROPERTIES (Details)
INCOME PROPERTIES (Details) | Mar. 26, 2018USD ($)property | Mar. 31, 2019USD ($)ft²buildingproperty | Mar. 31, 2018USD ($)property | Feb. 21, 2019USD ($)ft² | Dec. 31, 2018property |
Acquisitions of Income Properties | |||||
Number of real estate properties | property | 0 | 4 | |||
Number of properties in the disposal group | property | 4 | ||||
Real Estate Operations | |||||
Acquisitions of Income Properties | |||||
Payments to Acquire Commercial Real Estate | $ 28,000,000 | ||||
Aggregate acquisition cost including capitalized acquisition costs | $ 29,000,000 | ||||
Amount allocated of total acquisition cost | |||||
Weighted average amortization period of intangible assets | 20 years | ||||
Weighted average amortization period of intangible liabilities | 20 years | ||||
Real Estate Operations | Nonrecurring basis | |||||
Acquisitions of Income Properties | |||||
Land | $ 12,000,000 | ||||
Buildings and improvements | 15,000,000 | ||||
Intangible assets pertaining to the in-place lease value, leasing fees and above market lease value | 2,800,000 | ||||
Intangible liabilities for below market lease value | $ 800,000 | ||||
Single-tenant | |||||
Acquisitions of Income Properties | |||||
Number of real estate properties | property | 1 | ||||
Assets Held for Sale | Multi-tenant | |||||
Acquisitions of Income Properties | |||||
Number of properties in the disposal group | property | 1 | ||||
Concierge Office Building | |||||
Acquisitions of Income Properties | |||||
Area of real estate property | ft² | 22,012 | ||||
Williamson Business Park office building | |||||
Acquisitions of Income Properties | |||||
Area of real estate property | ft² | 15,360 | ||||
Gain on Sale | $ 3,700,000 | ||||
Gain on sale of properties (in dollars per share) | $ 0.49 | ||||
Area of real estate property leased | ft² | 7,600 | ||||
Lease term | 5 years | ||||
Mason Commerce Center | |||||
Acquisitions of Income Properties | |||||
Area of real estate property | ft² | 30,720 | ||||
Number of office building | building | 2 | ||||
Daytona Beach, FL | |||||
Acquisitions of Income Properties | |||||
Sales price | $ 11,400,000 | ||||
Daytona Beach, FL | Multi-tenant | |||||
Acquisitions of Income Properties | |||||
Number of properties in the disposal group | property | 4 | ||||
Sarasota, FL | Whole Foods | Sold | |||||
Acquisitions of Income Properties | |||||
Sales price | $ 24,620,000 | ||||
Area of real estate property | ft² | 59,000 | ||||
Gain on Sale | $ 6,900,000 | ||||
Gain on sale of properties (in dollars per share) | $ 0.96 | ||||
Jacksonville, FL | Single-tenant | |||||
Acquisitions of Income Properties | |||||
Number of real estate properties | property | 8 |
LAND AND SUBSURFACE INTERESTS -
LAND AND SUBSURFACE INTERESTS - Daytona Beach, Florida Land (Details) | Apr. 30, 2019a | Mar. 31, 2019apropertymi |
Land and development costs and subsurface interests | ||
Area of land sales as a percentage of land holdings | 60.00% | |
Land sale acres | 3,200 | |
Undeveloped land | Daytona Beach, FL | ||
Land and development costs and subsurface interests | ||
Acres | 5,400 | |
Undeveloped land | Daytona Beach, FL | Property West of I-95 | ||
Land and development costs and subsurface interests | ||
Acres | 4,500 | |
Distance of land owned along Interstate | mi | 6 | |
Undeveloped land | Daytona Beach, FL | Property west of Interstate 95 and north of Interstate 4 | ||
Land and development costs and subsurface interests | ||
Acres | 1,000 | |
Undeveloped land | Daytona Beach, FL | Property east of Interstate 95 | ||
Land and development costs and subsurface interests | ||
Acres | 900 | |
Distance of land owned along Interstate | mi | 6 | |
Undeveloped land, parcel one | Daytona Beach, FL | Property west of Interstate 95 and north of Interstate 4 | ||
Land and development costs and subsurface interests | ||
Acres | 850 | |
Undeveloped land, smaller parcels | Daytona Beach, FL | Property west of Interstate 95 and north of Interstate 4 | ||
Land and development costs and subsurface interests | ||
Number of land parcels | property | 3 |
LAND AND SUBSURFACE INTERESTS_2
LAND AND SUBSURFACE INTERESTS - Real Estate Operations Revenues (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenues | ||
Total Revenues | $ 14,259,319 | $ 23,497,243 |
Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,534,901 | 13,990,517 |
Subsurface Revenue | 208,000 | 746,000 |
Total Revenues | 3,534,901 | 13,990,517 |
Land | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,300,000 | 13,117,000 |
Land | Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 3,300,000 | 13,117,000 |
Impact Fee and Mitigation Credit Sales | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 116,000 | |
Impact Fee and Mitigation Credit Sales | Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | 116,000 | |
Fill Dirt and Other Revenue | Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | $ 27,000 | |
Agriculture | Real Estate Operations | ||
Revenues | ||
Revenue from contract with customer, including assessed tax | $ 11,000 |
LAND AND SUBSURFACE INTERESTS_3
LAND AND SUBSURFACE INTERESTS - Land Sales and Impairments (Details) $ / a in Thousands, $ in Thousands | Apr. 30, 2019a | Feb. 27, 2019USD ($)a$ / a | Mar. 16, 2018USD ($)a$ / a | Mar. 31, 2019USD ($)a | Mar. 31, 2018USD ($)a |
Land and development costs and subsurface interests | |||||
No. of Acres | a | 3,200 | ||||
Undeveloped land | |||||
Land and development costs and subsurface interests | |||||
Impairment charges | $ 0 | $ 0 | |||
Buc'ees - East of I-95 | |||||
Land and development costs and subsurface interests | |||||
Escrow reserve | 831 | ||||
Remaining gain to be recognized | $ 831 | ||||
Land Sales | |||||
Land and development costs and subsurface interests | |||||
No. of Acres | a | 9.9 | 34.9 | |||
Gross Sales Price | $ 3,300 | $ 13,900 | |||
Land Sales | Unicorp-Grocery Anchored Project - East of I-95 | Commercial/Retail Site | |||||
Land and development costs and subsurface interests | |||||
No. of Acres | a | 9.9 | ||||
Gross Sales Price | $ 3,300 | ||||
Price per Acre | $ / a | 333 | ||||
Gain on Sale | $ 2,274 | ||||
Land Sales | Buc'ees - East of I-95 | |||||
Land and development costs and subsurface interests | |||||
Gain on Sale | $ 11,900 | ||||
Land Sales | Buc'ees - East of I-95 | Commercial/Retail Site | |||||
Land and development costs and subsurface interests | |||||
No. of Acres | a | 34.9 | ||||
Gross Sales Price | $ 13,948 | ||||
Price per Acre | $ / a | 400 | ||||
Gain on Sale | $ 11,926 |
LAND AND SUBSURFACE INTERESTS_4
LAND AND SUBSURFACE INTERESTS - Daytona Beach (Details) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018USD ($) | Dec. 31, 2018USD ($)a | |
Land and subsurface interests | ||
Acquisition of property | $ | $ 2,141,853 | |
Land Parcel with Structures Beach Property | Daytona Beach, FL | ||
Land and subsurface interests | ||
Acres | a | 5 | |
Acquisition of property | $ | $ 2,000,000 | |
Contiguous Parcels Beach Property | Daytona Beach, FL | ||
Land and subsurface interests | ||
Acres | a | 1 | |
Acquisition of property | $ | $ 1,800,000 | |
Opportunity Zone and Community Redevelopment Area Beach Property [Member] | Daytona Beach, FL | ||
Land and subsurface interests | ||
Acres | a | 6 |
LAND AND SUBSURFACE INTERESTS_5
LAND AND SUBSURFACE INTERESTS - Other Real Estate Assets (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Land and development costs and subsurface interests | |||
Impact fees | $ 2,000 | $ 2,000 | |
Type of Revenue [Extensible List] | Impact Fee And Mitigation Credit Sales [Member] | ||
Mitigation credits | $ 445,000 | 460,000 | |
Impact Fee and Mitigation Credits | 447,596 | $ 462,040 | |
Cash payments received for impact fees | 116,000 | ||
LandShark Bar and Grill | |||
Land and development costs and subsurface interests | |||
Cash payments received for impact fees | 72,000 | ||
Real Estate Operations | |||
Land and development costs and subsurface interests | |||
Revenue from contract with customer, including assessed tax | 3,534,901 | $ 13,990,517 | |
Real Estate Operations | Buc'ees - East of I-95 | |||
Land and development costs and subsurface interests | |||
Mitigation credits transferred | $ 124,000 |
LAND AND SUBSURFACE INTERESTS_6
LAND AND SUBSURFACE INTERESTS - Subsurface Interests (Details) | Apr. 30, 2019a | Mar. 31, 2019USD ($)acounty | Mar. 31, 2018USD ($)a$ / shares | Sep. 20, 2017 | Dec. 31, 2011 |
Subsurface interests | |||||
Acres sold | a | 3,200 | ||||
Type of revenue | cto:ImpactFeeAndMitigationCreditSalesMember | ||||
Lease income | |||||
Over Lease Term | $ 10,920,000 | $ 9,389,000 | |||
Subsurface Interests | |||||
Subsurface interests | |||||
Revenue from contract with customer, including assessed tax | $ 0 | $ 0 | |||
Lease income | |||||
Number of acres with operating oil wells | a | 800 | 800 | |||
Oil exploration | |||||
Subsurface interests | |||||
Period of extended lease term | 5 years | ||||
Period of lease term after which lessee has option to terminate lease | 1 year | ||||
Lease payments on the respective acreages and drilling penalties received | |||||
Lease Payment | $ 10,633,805 | ||||
Drilling Penalty | $ 2,125,000 | ||||
Lease income | |||||
Period from end of prior lease year payment for drilling penalty is due | 30 days | ||||
Lease payment and drilling penalty | $ 957,000 | ||||
Over Lease Term | $ 199,000 | $ 199,000 | |||
Hendry County | |||||
Lease income | |||||
Area of land for which surface entry rights were released | a | 40 | ||||
Minimum | Oil exploration | |||||
Lease income | |||||
Period of lease term after which additional rental payments may be received | 9 years | ||||
Maximum | Oil exploration | |||||
Subsurface interests | |||||
Lease term | 8 years | 13 years | 8 years | ||
Lease payments on the respective acreages and drilling penalties received | |||||
Lease Payment | $ 807,000 | ||||
Lease income | |||||
Period of lease term after which additional rental payments may be received | 13 years | ||||
Surface land over subsurface interests | |||||
Subsurface interests | |||||
Acres | a | 455,000 | ||||
Number of counties in which Subsurface Interests are owned | county | 20 | ||||
Gain on Sale | $ 435,000 | ||||
After tax gain on sale (in dollars per share) | $ / shares | $ 0.06 | ||||
Lease income | |||||
Revenue recognized for cash payments for the release of surface entry rights | $ 0 | ||||
Area of land for which surface entry rights were released | a | 600 | ||||
Surface land over subsurface interests | Hendry County | |||||
Subsurface interests | |||||
Revenue from contract with customer, including assessed tax | $ 320,000 | ||||
Real Estate Operations | |||||
Subsurface interests | |||||
Revenue from contract with customer, including assessed tax | 3,534,901 | 13,990,517 | |||
Lease income | |||||
Over Lease Term | 226,000 | 210,000 | |||
Real Estate Operations | Subsurface Interests | |||||
Subsurface interests | |||||
Revenue from contract with customer, including assessed tax | $ 8,000 | $ 32,000 | |||
Type of revenue | us-gaap:RoyaltyMember | us-gaap:RoyaltyMember | |||
Real Estate Operations | Surface land over subsurface interests | |||||
Subsurface interests | |||||
Revenue from contract with customer, including assessed tax | $ 185,000 | ||||
Lease Year 1 - 9/23/2011 - 9/22/2012 | Lee and Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 136,000 | ||||
Lease Payment | $ 913,657 | ||||
Lease Year 2 - 9/23/2012 - 9/22/2013 | Lee and Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 136,000 | ||||
Lease Payment | $ 922,114 | ||||
Lease Year 3 - 9/23/2013 - 9/22/2014 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 82,000 | ||||
Lease Payment | $ 3,293,000 | ||||
Drilling Penalty | $ 1,000,000 | ||||
Lease Year 4 - 9/23/2014 - 9/22/2015 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 42,000 | ||||
Lease Payment | $ 1,866,146 | ||||
Drilling Penalty | $ 600,000 | ||||
Lease Year 5 - 9/23/2015 - 9/22/2016 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 25,000 | ||||
Lease Payment | $ 1,218,838 | ||||
Drilling Penalty | $ 175,000 | ||||
Lease Year 6 - 9/23/2016 - 9/22/2017 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 15,000 | ||||
Lease Payment | $ 806,683 | ||||
Drilling Penalty | $ 150,000 | ||||
Lease Year 7 - 9/23/2017 - 9/22/2018 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 15,000 | ||||
Lease Payment | $ 806,683 | ||||
Drilling Penalty | $ 50,000 | ||||
Lease Year 8 - 9/23/2018 - 9/22/2019 | Hendry County | Oil exploration | |||||
Lease payments on the respective acreages and drilling penalties received | |||||
Acreage | a | 15,000 | ||||
Lease Payment | $ 806,684 | ||||
Drilling Penalty | $ 150,000 |
INVESTMENT IN JOINT VENTURE - G
INVESTMENT IN JOINT VENTURE - General Information (Details) | Apr. 30, 2019a | Mar. 31, 2019USD ($)a | Mar. 31, 2018USD ($)a | Jun. 30, 2018USD ($)ainstrument | Dec. 31, 2018USD ($) | Aug. 06, 2018item | Jun. 08, 2018item |
Real Estate [Line Items] | |||||||
Land sale acres | a | 3,200 | ||||||
Investment in Joint Venture | $ 6,797,549 | $ 6,788,034 | |||||
Number of state credits awarded | item | 88.84 | ||||||
Maximum | |||||||
Real Estate [Line Items] | |||||||
Number of state credits awarded | item | 355 | ||||||
Land Sales | |||||||
Real Estate [Line Items] | |||||||
Land sale acres | a | 9.9 | 34.9 | |||||
Gross Sales Price | $ 3,300,000 | $ 13,900,000 | |||||
Land Sales | Mitigation Bank West of Interstate Ninety Five | |||||||
Real Estate [Line Items] | |||||||
Land sales, ownership interest sold (as a percent) | 70.00% | 70.00% | |||||
Land sales, non-controlling interest (as a percent) | 30.00% | ||||||
Land sale acres | a | 2,492 | ||||||
Gain on Sale | $ 18,400,000 | ||||||
Gross Sales Price | 15,300,000 | ||||||
Consolidated Tomoka Land Co | |||||||
Real Estate [Line Items] | |||||||
Interest in the joint venture (as a percent) | 30.00% | ||||||
Investment in Joint Venture | $ 6,800,000 | ||||||
Mitigation Bank | |||||||
Real Estate [Line Items] | |||||||
Mitigation credits, Operating Agreement, credit sales, Minimum Sales Requirement, minimum revenue, net of commissions | $ 6,000,000 | ||||||
Mitigation credits, Operating Agreement, credit sales, Minimum Sales Requirement, maximum credits, number | instrument | 60 | ||||||
Mitigation credits, Operating Agreement, credit sales, Minimum Sales Guarantee, fair value | $ 100,000 | ||||||
Mitigation credits, Put Right, maximum credits the Company must purchase, per quarter, number | instrument | 8.536 | ||||||
Mitigation credits, Put Right, maximum credits the Company must purchase, per quarter, price to fair value (as a percent) | 60.00% | ||||||
Mitigation credits, Put Right, third-party credit sales, reduction in Put Rights outstanding if sales price equals or exceeds price stipulated by Put Right, ratio | 1 | ||||||
Mitigation credits, Put Right, maximum potential future payments | $ 27,000,000 | ||||||
Mitigation credits, Put Right, fair value | $ 200,000 | ||||||
Black Rock | |||||||
Real Estate [Line Items] | |||||||
Sale of interest in joint venture | 70.00% |
INVESTMENT IN JOINT VENTURE - T
INVESTMENT IN JOINT VENTURE - Tabular Disclosure (Details) - Mitigation Bank $ in Thousands | Mar. 31, 2019USD ($) |
Summarized financial information of the Company’s JV Investment | |
Assets, cash and cash equivalents | $ 2,257 |
Assets, prepaid expenses | 9 |
Assets, investment in mitigation credit assets | 1,519 |
Assets, property, plant, and equipment | 18 |
Total Assets | 3,803 |
Liabilities, accounts payable, deferred mitigation credit sale revenue | 19 |
Equity | 3,784 |
Total Liabilities & Equity | $ 3,803 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS - Carrying Value and Estimated Fair Value (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Carrying Value | ||
Carrying value and estimated fair value of financial instruments | ||
Cash and Cash Equivalents | $ 2,682,205 | $ 2,310,489 |
Restricted Cash | 1,336,361 | 19,721,475 |
Long-Term Debt | 206,991,712 | 247,624,811 |
Estimated Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Carrying value and estimated fair value of financial instruments | ||
Cash and Cash Equivalents | 2,682,205 | 2,310,489 |
Restricted Cash | 1,336,361 | 19,721,475 |
Estimated Fair Value | Significant Other Observable Inputs (Level 2) | ||
Carrying value and estimated fair value of financial instruments | ||
Long-Term Debt | $ 208,584,073 | $ 248,765,650 |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS - Measured on a Recurring Basis (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Fair value of assets | ||
Cash Flow Hedge - Interest Rate Swap | $ 479,176 | $ 651,722 |
Recurring basis | ||
Fair value of assets | ||
Total | 479,176 | 651,722 |
Recurring basis | Significant Other Observable Inputs (Level 2) | ||
Fair value of assets | ||
Total | 479,176 | 651,722 |
Recurring basis | Interest Rate Swap | ||
Fair value of assets | ||
Cash Flow Hedge - Interest Rate Swap | 479,176 | 651,722 |
Recurring basis | Interest Rate Swap | Significant Other Observable Inputs (Level 2) | ||
Fair value of assets | ||
Cash Flow Hedge - Interest Rate Swap | $ 479,176 | $ 651,722 |
INTANGIBLE LEASE ASSETS AND L_3
INTANGIBLE LEASE ASSETS AND LIABILITIES - Components (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Intangible Assets And Liabilities [Line Items] | ||
Sub-total Intangible Lease Assets | $ 58,094,834 | $ 58,094,834 |
Accumulated Amortization | (15,778,840) | (14,539,389) |
Total Intangible Lease Assets—Net | 42,315,994 | 43,555,445 |
Intangible Lease Liabilities | ||
Value of Below Market In-Place Leases | (35,321,234) | (35,321,234) |
Sub-total Intangible Lease Liabilities | (35,321,234) | (35,321,234) |
Accumulated Amortization | 8,624,160 | 7,930,884 |
Total Intangible Lease Liabilities—Net | (26,697,074) | (27,390,350) |
Total Intangible Assets and Liabilities—Net | 15,618,920 | 16,165,095 |
Value of In-Place Leases | ||
Intangible Assets And Liabilities [Line Items] | ||
Sub-total Intangible Lease Assets | 39,189,008 | 39,189,008 |
Value of Above Market In-Place Leases | ||
Intangible Assets And Liabilities [Line Items] | ||
Sub-total Intangible Lease Assets | 4,114,715 | 4,114,715 |
Value of Intangible Leasing Costs | ||
Intangible Assets And Liabilities [Line Items] | ||
Sub-total Intangible Lease Assets | $ 14,791,111 | $ 14,791,111 |
INTANGIBLE LEASE ASSETS AND L_4
INTANGIBLE LEASE ASSETS AND LIABILITIES - Amortization (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
INTANGIBLE LEASE ASSETS AND LIABILITIES | ||
Depreciation and Amortization Expense | $ 1,127,000 | $ 1,353,000 |
Increase to Income Properties Revenue | (580,655) | (579,659) |
Net Amortization of Intangible Assets and Liabilities | $ 546,000 | $ 773,000 |
INTANGIBLE LEASE ASSETS AND L_5
INTANGIBLE LEASE ASSETS AND LIABILITIES - Summary of Estimated Amortization and Accretion (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Future Amortization Amount | ||
Total Intangible Lease Assets—Net | $ 42,315,994 | $ 43,555,445 |
Future Accretion to Income Property Revenue | ||
Total Intangible Lease Liabilities—Net | (26,697,074) | $ (27,390,350) |
Net Future Amortization of Intangible Assets and Liabilities | ||
Remainder of 2019 | 2,241,728 | |
2020 | 2,638,225 | |
2021 | 1,185,008 | |
2022 | 798,915 | |
2023 | 732,973 | |
2024 | 714,066 | |
Thereafter | 7,308,005 | |
Total | 15,618,920 | |
Value of In-Place Leases and Intangible Leasing Costs | ||
Future Amortization Amount | ||
Remainder of 2019 | 3,977,373 | |
2020 | 4,882,863 | |
2021 | 3,492,913 | |
2022 | 3,177,980 | |
2023 | 3,085,976 | |
2024 | 3,054,016 | |
Thereafter | 17,369,649 | |
Total Intangible Lease Assets—Net | 39,040,770 | |
Value of Below Market, net of Above Market In-Place Leases | ||
Future Accretion to Income Property Revenue | ||
Remainder of 2019 | (1,735,645) | |
2020 | (2,244,638) | |
2021 | (2,307,905) | |
2022 | (2,379,065) | |
2023 | (2,353,003) | |
2024 | (2,339,950) | |
Thereafter | (10,061,644) | |
Total Intangible Lease Liabilities—Net | $ (23,421,850) |
IMPAIRMENT OF LONG-LIVED ASSE_2
IMPAIRMENT OF LONG-LIVED ASSETS (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Undeveloped land | ||
Impairment of Long-Lived Assets | ||
Impairment Charges | $ 0 | $ 0 |
OTHER ASSETS (Details)
OTHER ASSETS (Details) | 3 Months Ended | |
Mar. 31, 2019USD ($)installmentbuildingproperty | Dec. 31, 2018USD ($)property | |
Income properties | ||
Income Property Tenant Receivables | $ 991,146 | $ 627,691 |
Income Property Straight-line Rent Adjustment | 4,735,022 | 4,304,279 |
Income Property Lease Incentive | 2,318,638 | 2,394,246 |
Operating Leases - Right-of-Use Asset | 443,351 | |
Cash Flow Hedge - Interest Rate Swap | 479,176 | 651,722 |
Infrastructure Reimbursement Receivables | 1,854,643 | 1,847,375 |
Deferred Deal Costs | 200,189 | 425,476 |
Prepaid Expenses, Deposits, and Other | 2,489,860 | 2,634,664 |
Total Other Assets | $ 13,512,025 | $ 12,885,453 |
Number of real estate properties | property | 0 | 4 |
Deal Costs for Incomplete Transactions | $ 353,000 | |
Tanger | ||
Income properties | ||
Infrastructure Reimbursement Receivables | $ 1,400,000 | |
Number of installments to repay infrastructure reimbursement receivable | installment | 8 | |
Infrastructure reimbursement receivables, installment payment amounts | $ 175,000 | |
Infrastructure reimbursement receivable, discount | 148,000 | |
Sam's Club | ||
Income properties | ||
Infrastructure Reimbursement Receivables | $ 660,000 | |
Number of installments to repay infrastructure reimbursement receivable | installment | 6 | |
Infrastructure reimbursement receivables, installment payment amounts | $ 110,000 | |
Infrastructure reimbursement receivable, discount | 57,000 | |
Hilton Grand Vacations | ||
Income properties | ||
Income Property Lease Incentive | $ 2,300,000 | |
Number of real estate properties | building | 2 | |
Funding for tenant improvements | $ 2,700,000 | |
Accumulated amortization | $ 428,000 |
COMMON STOCK AND EARNINGS PER_3
COMMON STOCK AND EARNINGS PER SHARE - Summary of Common Stock and Earnings Per Share (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Available to Common Shareholders: | ||
Net Income | $ 6,468,099 | $ 10,912,299 |
Weighted Average Shares Outstanding | 5,345,870 | 5,530,864 |
Common Shares Applicable to Stock | ||
Options Using the Treasury Stock Method | 31,036 | |
Total Shares Applicable to Diluted Earnings Per Share | 5,345,870 | 5,561,900 |
Basic | ||
Net Income from Continuing Operations (in dollars per share) | $ 1.24 | $ 1.99 |
Net Loss from Discontinued Operations (Net of Tax) (in dollars per share) | (0.03) | (0.02) |
Net Income (in dollars per share) | 1.21 | 1.97 |
Diluted | ||
Net Income from Continuing Operations (in dollars per share) | 1.24 | 1.98 |
Net Loss from Discontinued Operations (Net of Tax) (in dollars per share) | (0.03) | (0.02) |
Net Income (in dollars per share) | $ 1.21 | $ 1.96 |
COMMON STOCK AND EARNINGS PER_4
COMMON STOCK AND EARNINGS PER SHARE - Anti-dilutive Securities and Convertible Notes (Details) - $ / shares | 3 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | Mar. 11, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive securities (in shares) | 7,500 | 15,000 | ||
Additional diluted outstanding shares related to Convertible Notes | 0 | 0 | ||
4.50% Convertible Senior Notes due 2020 | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Stated interest rate (as a percent) | 4.50% | 4.50% | ||
Conversion price per share | $ 68.42 | $ 68.90 |
TREASURY STOCK (Details)
TREASURY STOCK (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Jan. 31, 2019 | |
TREASURY STOCK | ||
Stock repurchase program authorized amount | $ 10,000,000 | |
Number of shares authorized to be repurchased | 10,000,000 | |
Stock repurchased (in shares) | 70,708 | |
Stock repurchased amount | $ 4,125,194 | |
Average price per share of stock repurchased | $ 58.34 |
LONG-TERM DEBT - Outstanding In
LONG-TERM DEBT - Outstanding Indebtedness (Details) | 3 Months Ended | |||
Mar. 31, 2019USD ($)property | Dec. 31, 2018 | Apr. 30, 2016USD ($) | Mar. 11, 2015USD ($) | |
Long-term debt | ||||
Face Value of Debt | $ 209,232,846 | |||
Interest Rate Swap | ||||
Long-term debt | ||||
Fixed interest rate through use of derivative (as a percent) | 3.17% | |||
Credit Facility | ||||
Long-term debt | ||||
Face Value of Debt | $ 79,845,349 | |||
Credit Facility | LIBOR | Minimum | ||||
Long-term debt | ||||
Margin added to variable rate basis (as a percent) | 1.50% | |||
Credit Facility | LIBOR | Maximum | ||||
Long-term debt | ||||
Margin added to variable rate basis (as a percent) | 2.20% | |||
Wells Fargo Mortgage Note Payable Originated September 30, 2014 | ||||
Long-term debt | ||||
Face Value of Debt | $ 30,000,000 | |||
Stated interest rate (as a percent) | 4.33% | |||
Number of income properties securing debt | property | 6 | |||
Period of fixed interest rate | 10 years | |||
Period of interest only payments | 10 years | |||
Period after which cash flows generated by underlying income properties must be used to pay down principal balance | 10 years | |||
Period to when loan is pre-payable | 10 years | |||
Wells Fargo Mortgage Note Payable Originated April 15, 2016 | ||||
Long-term debt | ||||
Face Value of Debt | $ 24,387,497 | $ 24,400,000 | ||
Term of loan | 5 years | |||
Period of interest only payments | 2 years | |||
Period of amortization for principal payments | 25 years | |||
Wells Fargo Mortgage Note Payable Originated April 15, 2016 | LIBOR | ||||
Long-term debt | ||||
Margin added to variable rate basis (as a percent) | 1.90% | |||
4.50% Convertible Senior Notes due 2020 | ||||
Long-term debt | ||||
Face Value of Debt | $ 75,000,000 | $ 75,000,000 | ||
Stated interest rate (as a percent) | 4.50% | 4.50% |
LONG-TERM DEBT - Credit Facilit
LONG-TERM DEBT - Credit Facility (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||||||
Mar. 31, 2019 | Apr. 30, 2019 | Apr. 25, 2019 | Apr. 18, 2019 | Apr. 10, 2019 | Jan. 31, 2019 | Sep. 07, 2017 | |
Long-term debt | |||||||
Existing buyback program | 10 | ||||||
Subsequent Event | |||||||
Long-term debt | |||||||
Available borrowing capacity | $ 42.8 | ||||||
Existing buyback program | 10 | ||||||
Subsequent Event | Block Share Repurchase | |||||||
Long-term debt | |||||||
Existing buyback program | 10 | ||||||
Credit Facility | |||||||
Long-term debt | |||||||
Extension term | 1 year | ||||||
Maximum borrowing capacity | $ 150 | ||||||
Maximum borrowing capacity, after possible increase | $ 250 | ||||||
Unused portion of the borrowing capacity fee percentage condition | 50.00% | ||||||
Available borrowing capacity | $ 65.8 | ||||||
Amount outstanding | 79.8 | ||||||
Line of Credit Facility, Current Borrowing Capacity | $ 150 | ||||||
Credit Facility | Subsequent Event | |||||||
Long-term debt | |||||||
Amount outstanding | $ 102.8 | ||||||
Credit Facility | Subsequent Event | Block Share Repurchase | |||||||
Long-term debt | |||||||
Available borrowing capacity used to fund the Block Share Repurchase | $ 3 | $ 20 | |||||
Credit Facility | Minimum | |||||||
Long-term debt | |||||||
Commitment fee percentage on unused portion of the borrowing capacity | 15.00% | ||||||
Credit Facility | Maximum | |||||||
Long-term debt | |||||||
Commitment fee percentage on unused portion of the borrowing capacity | 25.00% | ||||||
Credit Facility | LIBOR | Minimum | |||||||
Long-term debt | |||||||
Margin added to variable rate basis (as a percent) | 1.50% | ||||||
Credit Facility | LIBOR | Maximum | |||||||
Long-term debt | |||||||
Margin added to variable rate basis (as a percent) | 2.20% |
LONG-TERM DEBT - Convertible No
LONG-TERM DEBT - Convertible Notes (Details) | Mar. 11, 2015USD ($)$ / shares | Mar. 31, 2019USD ($)$ / shares | Dec. 31, 2018 |
Long-term debt | |||
Face amount of debt | $ 209,232,846 | ||
Unamortized debt discount of notes | 1,320,009 | ||
4.50% Convertible Senior Notes due 2020 | |||
Long-term debt | |||
Face amount of debt | $ 75,000,000 | $ 75,000,000 | |
Stated interest rate (as a percent) | 4.50% | 4.50% | |
Debt instrument conversion ratio | 0.0145136 | 0.0146162 | |
Conversion price per share | $ / shares | $ 68.90 | $ 68.42 | |
Sinking fund provided | $ 0 | ||
Unamortized debt discount of notes | $ 6,100,000 | $ 1,300,000 | |
Debt discount, cash portion | 2,600,000 | ||
Debt discount, equity component | $ 3,500,000 |
LONG-TERM DEBT - Components (De
LONG-TERM DEBT - Components (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Long-term debt | ||
Long-term debt | $ 209,232,846 | |
Loan Costs, net of accumulated amortization | (921,125) | $ (1,026,967) |
Long-Term Debt | 206,991,712 | 247,624,811 |
Credit Facility | ||
Long-term debt | ||
Long-term debt | 79,845,349 | 120,745,579 |
Wells Fargo Mortgage Note Payable Originated September 30, 2014 | ||
Long-term debt | ||
Long-term debt | $ 30,000,000 | 30,000,000 |
Long-term debt due within one year | ||
Stated interest rate (as a percent) | 4.33% | |
Wells Fargo Mortgage Note Payable Originated April 15, 2016 | ||
Long-term debt | ||
Long-term debt | $ 24,387,497 | 24,557,468 |
4.50% Convertible Senior Notes due 2020 | ||
Long-term debt | ||
Long-term debt, net of discount | $ 73,679,991 | $ 73,348,731 |
Long-term debt due within one year | ||
Stated interest rate (as a percent) | 4.50% | 4.50% |
LONG-TERM DEBT - Payments Appli
LONG-TERM DEBT - Payments Applicable to Reduction of Principal (Details) | Mar. 31, 2019USD ($) |
Payments applicable to reduction of principal amounts | |
2020 | $ 75,000,000 |
2021 | 104,232,846 |
Thereafter | 30,000,000 |
Total Long-Term Debt - Face Value | $ 209,232,846 |
LONG-TERM DEBT - Carrying Value
LONG-TERM DEBT - Carrying Value (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
LONG-TERM DEBT | ||
Current Face Amount | $ 209,232,846 | |
Unamortized Discount on Convertible Debt | (1,320,009) | |
Loan Costs, net of accumulated amortization | (921,125) | $ (1,026,967) |
Total Long-Term Debt | $ 206,991,712 | $ 247,624,811 |
LONG-TERM DEBT - Interest Expen
LONG-TERM DEBT - Interest Expense (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
LONG-TERM DEBT | ||
Interest expense | $ 2,486,000 | $ 2,100,000 |
Amortization of Loan Costs | 105,841 | 149,895 |
Amortization of Discount on Convertible Notes | 331,260 | 310,782 |
Total Interest Expense | 2,923,000 | 2,561,000 |
Total Interest Paid | $ 3,431,000 | $ 2,899,000 |
INTEREST RATE SWAP (Details)
INTEREST RATE SWAP (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2018 | Apr. 30, 2016 | |
Derivative [Line Items] | |||
Face amount of debt | $ 209,232,846 | ||
Wells Fargo Mortgage Note Payable Originated April 15, 2016 | |||
Derivative [Line Items] | |||
Face amount of debt | $ 24,387,497 | $ 24,400,000 | |
Interest Rate Swap | |||
Derivative [Line Items] | |||
Effectiveness of interest rate cash flow hedge (as a percent) | 100.00% | ||
Notional amount | $ 24,400,000 | ||
Derivative fixed interest rate (as a percent) | 3.17% | ||
Interest Rate Swap | Other Assets | |||
Derivative [Line Items] | |||
Fair value of interest rate swap agreement to hedge cash flows | $ 479,000 | $ 652,000 |
ACCRUED AND OTHER LIABILITIES -
ACCRUED AND OTHER LIABILITIES - Components (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
ACCRUED AND OTHER LIABILITIES | ||
Accrued Property Taxes | $ 558,684 | $ 12,312 |
Reserve for Tenant Improvements | 93,476 | 100,519 |
Accrued Construction Costs | 170,394 | 350,593 |
Accrued Interest | 499,828 | 1,430,236 |
Environmental Reserve and Restoration Cost Accrual | 763,501 | 520,404 |
Operating Leases - Liability | 443,351 | |
Other | 1,739,693 | 2,783,820 |
Total Accrued and Other Liabilities | $ 4,268,927 | $ 5,197,884 |
ACCRUED AND OTHER LIABILITIES_2
ACCRUED AND OTHER LIABILITIES - Environmental Reserves (Details) $ in Thousands | Sep. 30, 2016USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2017USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2015USD ($)a | Dec. 31, 2014USD ($)a | Dec. 31, 2015USD ($)a |
Environmental Reserve for Monitoring Environmental Remediation Work Previously Performed | |||||||
Environmental reserves | |||||||
Additional environmental reserve accrued | $ 51 | $ 500 | $ 110 | $ 661 | |||
Environmental costs funded | $ 577 | ||||||
Environmental reserve accrued | 84 | ||||||
Wetlands restoration | |||||||
Environmental reserves | |||||||
Acres | a | 148.4 | 148.4 | |||||
Estimated cost | $ 2,000 | 2,400 | $ 2,000 | ||||
Environmental costs funded | 1,700 | ||||||
Accrued restoration cost | 713 | $ 1,700 | $ 1,700 | ||||
Increase in accrual of remediation costs | $ 361 | $ 300 | |||||
Minimum | Environmental Reserve for Monitoring Environmental Remediation Work Previously Performed | |||||||
Environmental reserves | |||||||
Estimated cost | 500 | ||||||
Minimum | Wetlands restoration | |||||||
Environmental reserves | |||||||
Estimated cost | 1,700 | ||||||
Maximum | Environmental Reserve for Monitoring Environmental Remediation Work Previously Performed | |||||||
Environmental reserves | |||||||
Acres | a | 1 | ||||||
Estimated cost | 1,000 | ||||||
Maximum | Wetlands restoration | |||||||
Environmental reserves | |||||||
Estimated cost | $ 1,900 |
DEFERRED REVENUE - Summary of D
DEFERRED REVENUE - Summary of Deferred Revenue (Details) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
DEFERRED REVENUE | ||
Deferred Oil Exploration Lease Revenue | $ 386,767 | $ 585,675 |
Deferred Revenue on Land Sales | 831,320 | 831,320 |
Prepaid Rent | 1,254,818 | 1,621,620 |
Tenant Contributions | 4,042,250 | 4,104,151 |
Other Deferred Revenue | 107,098 | 58,838 |
Total Deferred Revenue | $ 6,622,253 | $ 7,201,604 |
DEFERRED REVENUE - Rent Paid in
DEFERRED REVENUE - Rent Paid in Advance (Details) - USD ($) | Feb. 21, 2018 | Oct. 11, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | Sep. 20, 2017 | Dec. 31, 2011 |
Deferred revenue | |||||||
Lease Revenue | $ 10,920,000 | $ 9,389,000 | |||||
Period over which rent received in advance is recognized | 12 months | ||||||
Deferred Revenue | 6,622,253 | $ 7,201,604 | |||||
Acquisition of Property, Plant, and Equipment and Intangible Lease Assets and Liabilities | 188,112 | 27,916,784 | |||||
Master tenant funded incurred related to property acquisition from their leasing reserve escrow | 935,000 | ||||||
Aggregate contributions related to total acquisition cost will be recognized into income property rental revenue over the remaining term of the lease | 29,000,000 | ||||||
Oil exploration | |||||||
Deferred revenue | |||||||
Lease Revenue | 199,000 | 199,000 | |||||
Lease Payment | 10,633,805 | ||||||
Aspen, Colorado | |||||||
Deferred revenue | |||||||
Lease Revenue | 132,000 | ||||||
Deferred Revenue | 2,300,000 | ||||||
Tenant Contributions | $ 1,500,000 | 1,500,000 | |||||
Acquisition of Property, Plant, and Equipment and Intangible Lease Assets and Liabilities | $ 28,000,000 | ||||||
Florida | |||||||
Deferred revenue | |||||||
Lease Revenue | 149,000 | ||||||
Deferred Revenue | 1,700,000 | ||||||
Tenant Contributions | $ 1,900,000 | ||||||
Maximum | Oil exploration | |||||||
Deferred revenue | |||||||
Lease term | 8 years | 13 years | 8 years | ||||
Lease Payment | $ 807,000 | ||||||
Buc'ees - East of I-95 | |||||||
Deferred revenue | |||||||
Escrow reserve | 831,000 | ||||||
Remaining gain to be recognized | 831,000 | ||||||
Deferred Revenue | $ 25,000 |
STOCK-BASED COMPENSATION - All
STOCK-BASED COMPENSATION - All Equity and Liability Classified Award Activity (Details) - shares | Jan. 23, 2019 | Jan. 24, 2018 | Feb. 03, 2017 | Jan. 25, 2017 | Jan. 27, 2016 | Mar. 31, 2019 |
Shares | ||||||
Outstanding (in shares) | 165,032 | |||||
Granted (in shares) | 41,891 | |||||
Vested / Exercised (in shares) | (18,053) | |||||
Outstanding (in shares) | 188,870 | |||||
Peer Group Market Condition Vesting | Performance Shares | ||||||
Shares | ||||||
Outstanding (in shares) | 28,080 | |||||
Granted (in shares) | 21,195 | 15,445 | 12,635 | 21,195 | ||
Outstanding (in shares) | 49,275 | |||||
Stock Price Vesting | Restricted Shares | ||||||
Shares | ||||||
Outstanding (in shares) | 22,000 | |||||
Outstanding (in shares) | 22,000 | |||||
Three-Year Vesting | Restricted Shares | ||||||
Shares | ||||||
Outstanding (in shares) | 34,952 | |||||
Granted (in shares) | 20,696 | 17,712 | 17,451 | 21,100 | 20,696 | |
Vested (in shares) | (18,053) | |||||
Outstanding (in shares) | 37,595 | |||||
Amended and Restated 2010 Equity Incentive Plan | Stock Option Awards | ||||||
Shares | ||||||
Outstanding (in shares) | 80,000 | |||||
Granted (in shares) | 0 | |||||
Exercised (in shares) | 0 | |||||
Outstanding (in shares) | 80,000 |
STOCK-BASED COMPENSATION - Reco
STOCK-BASED COMPENSATION - Recognized in Financial Statements (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
STOCK-BASED COMPENSATION | ||
Total Cost of Share-Based Plans Charged Against Income Before Tax Effect | $ 811,601 | $ 502,895 |
Income Tax Expense Recognized in Income | $ (205,700) | $ (127,459) |
STOCK-BASED COMPENSATION - Perf
STOCK-BASED COMPENSATION - Performance Share Awards – Peer Group Market Condition Vesting (Details) - Peer Group Market Condition Vesting - USD ($) $ / shares in Units, $ in Millions | Jan. 23, 2019 | Jan. 24, 2018 | Aug. 04, 2017 | Feb. 03, 2017 | Mar. 31, 2019 |
Equity Award Agreements | |||||
Award agreements | |||||
Period after change of control for equity award to fully vest upon termination of employment without cause or resignation | 24 months | ||||
Performance Shares | |||||
Stock-based compensation | |||||
Performance period | 3 years | 3 years | 3 years | ||
Shares | |||||
Outstanding (in shares) | 28,080 | ||||
Granted (in shares) | 21,195 | 15,445 | 12,635 | 21,195 | |
Outstanding (in shares) | 49,275 | ||||
Weighted Average Fair Value | |||||
Outstanding (in dollars per share) | $ 66.29 | ||||
Granted (in dollars per share | 64.66 | ||||
Outstanding (in dollars per share) | $ 65.59 | ||||
Compensation cost | |||||
Unrecognized compensation cost | $ 2.1 | ||||
Weighted average period of recognition of unrecognized compensation cost | 2 years 3 months 18 days | ||||
Performance Shares | Minimum | |||||
Stock-based compensation | |||||
Vesting percentage | 0.00% | 0.00% | 0.00% | ||
Performance Shares | Maximum | |||||
Stock-based compensation | |||||
Vesting percentage | 150.00% | 150.00% | 150.00% |
STOCK-BASED COMPENSATION - Mark
STOCK-BASED COMPENSATION - Market Condition Restricted Shares - Stock Price Vesting (Details) $ / shares in Units, $ in Thousands | Aug. 04, 2017 | Feb. 26, 2016item$ / sharesshares | May 20, 2015itemshares | Mar. 31, 2019USD ($)item$ / sharesshares |
Stock Price Vesting | Restricted Shares | ||||
Shares | ||||
Outstanding (in shares) | 22,000 | |||
Outstanding (in shares) | 22,000 | |||
Weighted Average Fair Value | ||||
Outstanding (in dollars per share) | $ / shares | $ 41.71 | |||
Outstanding (in dollars per share) | $ / shares | $ 41.71 | |||
Compensation cost | ||||
Unrecognized compensation cost | $ | $ 0 | |||
Stock Price Vesting | Restricted Shares | Mr. Albright | ||||
Stock-based compensation | ||||
Number of increments to vest | item | 4 | 4 | ||
Restricted share award period after termination of employment | 60 days | 60 days | ||
Period for average closing price | 30 days | 30 days | ||
Stock based compensation, shares, permanently surrendered | 68,000 | |||
Shares | ||||
Granted (in shares) | 26,000 | |||
Outstanding (in shares) | 26,000 | |||
Stock Price Vesting | Restricted Shares | Mr. Albright | 2015 and February 26, 2016 grants | ||||
Stock-based compensation | ||||
Number of increments vested | item | 2 | |||
Share-based Compensation Award Stock Price Vesting Price Increment One | Restricted Shares | Mr. Albright | ||||
Stock-based compensation | ||||
Number of increments to vest | item | 2 | |||
Number of shares in each vesting increment | 2,000 | |||
Share-based Compensation Award Stock Price Vesting Price Increment One | Restricted Shares | Mr. Albright | Minimum | ||||
Stock-based compensation | ||||
Closing share price (in dollars per share) | $ / shares | $ 60 | |||
Share-based Compensation Award Stock Price Vesting Price Increment One | Restricted Shares | Mr. Albright | Maximum | ||||
Stock-based compensation | ||||
Closing share price (in dollars per share) | $ / shares | 65 | |||
Share-based Compensation Award Stock Price Vesting Price Increment Two | Restricted Shares | Mr. Albright | ||||
Stock-based compensation | ||||
Closing share price (in dollars per share) | $ / shares | $ 70 | |||
Number of shares in each vesting increment | 18,000 | |||
Share-based Compensation Award Stock Price Vesting Price Increment Three | Restricted Shares | Mr. Albright | ||||
Stock-based compensation | ||||
Closing share price (in dollars per share) | $ / shares | $ 75 | |||
Number of shares in each vesting increment | 4,000 | |||
Equity Award Agreements | Mr. Albright | ||||
Stock-based compensation | ||||
Term of employment agreement | 5 years | |||
Equity Award Agreements | Stock Price Vesting | ||||
Award agreements | ||||
Period after change of control for equity award to fully vest upon termination of employment without cause or resignation | 24 months | 24 months |
STOCK-BASED COMPENSATION - Thre
STOCK-BASED COMPENSATION - Three Year Vest Restricted Shares (Details) - Three-Year Vesting - USD ($) $ / shares in Units, $ in Millions | Jan. 23, 2019 | Jan. 24, 2018 | Aug. 04, 2017 | Jan. 25, 2017 | Jan. 27, 2016 | Mar. 31, 2019 |
Restricted Shares | ||||||
Stock-based compensation | ||||||
Vesting per year (as a percent) | 33.00% | 33.00% | 33.00% | 33.00% | ||
Shares | ||||||
Outstanding (in shares) | 34,952 | |||||
Granted (in shares) | 20,696 | 17,712 | 17,451 | 21,100 | 20,696 | |
Vested (in shares) | (18,053) | |||||
Outstanding (in shares) | 37,595 | |||||
Weighted Average Fair Value | ||||||
Outstanding (in dollars per share) | $ 58.07 | |||||
Granted (in dollars per share | 58.78 | |||||
Vested (in dollars per share) | 54.43 | |||||
Outstanding (in dollars per share) | $ 60.21 | |||||
Compensation cost | ||||||
Unrecognized compensation cost | $ 2.1 | |||||
Weighted average period of recognition of unrecognized compensation cost | 2 years 2 months 12 days | |||||
Equity Award Agreements | ||||||
Award agreements | ||||||
Period after change of control for equity award to fully vest upon termination of employment without cause or resignation | 24 months |
STOCK-BASED COMPENSATION - Non-
STOCK-BASED COMPENSATION - Non-Qualified Stock Option Awards Granted (Details) - Stock Option Awards - Amended and Restated 2010 Equity Incentive Plan - $ / shares | Aug. 04, 2017 | Feb. 26, 2016 | Jun. 29, 2015 | May 20, 2015 | Feb. 09, 2015 | Oct. 22, 2014 | Mar. 31, 2019 |
Stock-based compensation | |||||||
Granted (in shares) | 0 | ||||||
Exercised (in shares) | 0 | ||||||
Mr. Albright | |||||||
Stock-based compensation | |||||||
Granted (in shares) | 40,000 | 40,000 | 20,000 | ||||
Period of expiration after death or termination for disability | 12 months | 12 months | |||||
Period of expiration after termination of employment for reason other than death or disability | 30 days | 30 days | |||||
Exercise price (in dollars per share) | $ 55.62 | $ 57.50 | |||||
Surrendered (in shares) | 40,000 | ||||||
Mr. Smith | |||||||
Stock-based compensation | |||||||
Granted (in shares) | 10,000 | ||||||
Vesting per year (as a percent) | 33.00% | ||||||
Period of expiration from grant date | 10 years | ||||||
Period of expiration after death or termination for disability | 12 months | ||||||
Period of expiration after termination of employment for reason other than death or disability | 30 days | ||||||
Exercise price (in dollars per share) | $ 50 | ||||||
Officer | |||||||
Stock-based compensation | |||||||
Granted (in shares) | 10,000 | ||||||
Vesting per year (as a percent) | 33.00% | ||||||
Period of expiration after death or termination for disability | 12 months | ||||||
Period of expiration after termination of employment for reason other than death or disability | 30 days | ||||||
Exercise price (in dollars per share) | $ 57.54 | ||||||
Equity Award Agreements | |||||||
Award agreements | |||||||
Period after change of control for equity award to fully vest upon termination of employment without cause or resignation | 24 months |
STOCK-BASED COMPENSATION - No_2
STOCK-BASED COMPENSATION - Non-Qualified Stock Option Award Activity (Details) - Amended and Restated 2010 Equity Incentive Plan - Stock Option Awards - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Shares | ||
Outstanding (in shares) | 80,000 | |
Granted (in shares) | 0 | |
Exercised (in shares) | 0 | |
Outstanding (in shares) | 80,000 | 80,000 |
Exercisable (in shares) | 80,000 | 80,000 |
Weighted Average Exercise Price (in dollars per share) | ||
Outstanding (in dollars per share) | $ 55.63 | |
Outstanding (in dollars per share) | 55.63 | $ 55.63 |
Exercisable (in dollars per share) | $ 55.63 | $ 55.63 |
Weighted Average Remaining Contractual Term | ||
Outstanding | 6 years 4 days | |
Exercisable | 6 years 4 days | 6 years 6 months |
Stock-based compensation | ||
Aggregate Intrinsic Value, Outstanding (in dollars) | $ 273,800 | |
Aggregate Intrinsic Value, Exercisable (in dollars) | 273,800 | $ 25,000 |
Unrecognized compensation cost (in dollars) | $ 0 |
STOCK-BASED COMPENSATION - No_3
STOCK-BASED COMPENSATION - Non-Employee Director Stock Compensation (Details) - NON-EMPLOYEE - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Stock-based compensation | ||
Annual award | $ 20,000 | |
Number of shares awarded calculated based on the number of days of average price of the Company’s common stock | 20 days | |
Number of business days based on which number of days of average price of the Company’s common stock, the number of shares awarded are calculated | 2 days | |
Expense recognized | $ 272,000 | $ 36,000 |
Expense recognized (in shares) | 4,779 | 561 |
Annual award received | $ 160,000 |
INCOME TAXES (Details)
INCOME TAXES (Details) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
INCOME TAXES | ||
Effective income tax rate (as a percent) | 25.30% | 24.40% |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Contractual Commitments - Expenditures (Details) | Apr. 30, 2019a | Jan. 31, 2019USD ($) | Jan. 31, 2018USD ($) | Dec. 31, 2015USD ($)a | Mar. 31, 2019USD ($)$ / item | Dec. 31, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Commitments | ||||||||
Restricted Cash | $ 1,336,361 | $ 19,721,475 | $ 3,148,997 | |||||
Acres sold | a | 3,200 | |||||||
Obligations | ||||||||
Annual surcharge, per round of golf played | $ / item | 1 | |||||||
Minimum annual per round surcharge | $ 70,000 | |||||||
Maximum aggregate amount of per round surcharge | 700,000 | |||||||
Accrued surcharge commitment | 560,000 | $ 700,000 | ||||||
Annual payment | $ 70,000 | $ 70,000 | ||||||
Sam's Club affiliate | ||||||||
Commitments | ||||||||
Acres sold | a | 18,100,000 | |||||||
Sam's Club affiliate | Buyer reimbursement | ||||||||
Commitments | ||||||||
Deposit of cash in escrow classified as restricted cash | $ 125,000 | |||||||
Restricted Cash | 125,000 | |||||||
The Grove at Winter Park | ||||||||
Commitments | ||||||||
Cost of contractual obligation incurred | 83,000 | |||||||
Commitment amount | 731,000 | |||||||
Remaining commitment | $ 648,000 | |||||||
Maximum | Sam's Club affiliate | Buyer reimbursement | ||||||||
Commitments | ||||||||
Commitment amount | $ 125,000 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - Contractual Commitments - Land Pipeline (Details) $ / a in Thousands, $ in Thousands | Apr. 30, 2019USD ($)aentity$ / a |
Contracts | |
No. of Acres | 3,200 |
Area of land sales as a percentage of land holdings | 60.00% |
Expected | |
Contracts | |
Number of purchase and sale agreements | entity | 14 |
Number of buyers | entity | 12 |
No. of Acres | 3,203 |
Contract Amount | $ | $ 92,989 |
Price per Acre | $ / a | 29 |
Area of land sales as a percentage of land holdings | 60.00% |
Commercial/Retail | Unicorp-Grocery Anchored Project - East of I-95 | Expected | |
Contracts | |
No. of Acres | 14 |
Contract Amount | $ | $ 3,800 |
Price per Acre | $ / a | 271 |
Commercial/Retail | NADG - East of I-95 | Expected | |
Contracts | |
No. of Acres | 13 |
Contract Amount | $ | $ 3,000 |
Price per Acre | $ / a | 231 |
Residential (Sr. Housing) | Property east of Interstate 95 | Expected | |
Contracts | |
No. of Acres | 13 |
Contract Amount | $ | $ 2,600 |
Price per Acre | $ / a | 200 |
Residential (SF) | Parcel A - West of I-95 | Expected | |
Contracts | |
No. of Acres | 1,599 |
Contract Amount | $ | $ 27,000 |
Price per Acre | $ / a | 17 |
Residential (SF) | ICI Homes - West of I-95 | Expected | |
Contracts | |
No. of Acres | 1,016 |
Contract Amount | $ | $ 21,450 |
Price per Acre | $ / a | 21 |
Residential (SF) | ICI Homes - West of I-95, property two | Expected | |
Contracts | |
No. of Acres | 146 |
Contract Amount | $ | $ 1,650 |
Price per Acre | $ / a | 11 |
Residential (SF) | Property West of I-95 | Expected | |
Contracts | |
No. of Acres | 98 |
Contract Amount | $ | $ 2,600 |
Price per Acre | $ / a | 27 |
Commercial/Residential | Unicorp-Grocery Anchored Project - East of I-95 | Expected | |
Contracts | |
No. of Acres | 31 |
Contract Amount | $ | $ 4,600 |
Price per Acre | $ / a | 148 |
Commercial/Residential | Property east of Interstate 95 | Expected | |
Contracts | |
No. of Acres | 12 |
Contract Amount | $ | $ 4,500 |
Price per Acre | $ / a | 375 |
Commercial/Medical Office | Property east of Interstate 95 | Expected | |
Contracts | |
No. of Acres | 32 |
Contract Amount | $ | $ 8,089 |
Price per Acre | $ / a | 253 |
Residential (Multi-Family) | Property East of I-95, one | Expected | |
Contracts | |
No. of Acres | 38 |
Contract Amount | $ | $ 6,100 |
Price per Acre | $ / a | 161 |
Residential (Multi-Family) | Property East of I-95, two | Expected | |
Contracts | |
No. of Acres | 23 |
Contract Amount | $ | $ 4,000 |
Price per Acre | $ / a | 174 |
Residential (Multi-Family) | Property East of I-95, three | Expected | |
Contracts | |
No. of Acres | 19 |
Contract Amount | $ | $ 2,000 |
Price per Acre | $ / a | 105 |
Borrow Pit | Property West of I-95 | Expected | |
Contracts | |
No. of Acres | 149 |
Contract Amount | $ | $ 1,600 |
Price per Acre | $ / a | 11 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES - Other Matters (Details) | Apr. 30, 2019a | Sep. 30, 2017USD ($)aitem | Mar. 31, 2017USD ($) | Sep. 30, 2016USD ($) | Mar. 31, 2019USD ($)a | Mar. 31, 2018USD ($)a | Dec. 31, 2017USD ($) | Mar. 31, 2017a | Jun. 30, 2016USD ($) | Dec. 31, 2015USD ($)a | Dec. 31, 2018USD ($) |
Contingencies | |||||||||||
Acres sold | a | 3,200 | ||||||||||
Escrow balance | $ 1,336,361 | $ 3,148,997 | $ 19,721,475 | ||||||||
Potential future costs accrued | $ 0 | ||||||||||
Unfavorable regulatory action | |||||||||||
Contingencies | |||||||||||
Accrued loss contingency | $ 187,500 | ||||||||||
Minto Communities LLC | |||||||||||
Contingencies | |||||||||||
Acres sold | a | 1,581 | ||||||||||
Land Sales | |||||||||||
Contingencies | |||||||||||
Acres sold | a | 9.9 | 34.9 | |||||||||
Wetlands restoration | |||||||||||
Contingencies | |||||||||||
Acres | a | 148.4 | ||||||||||
Estimated cost | $ 2,000,000 | $ 2,400,000 | $ 2,000,000 | ||||||||
Increase in accrual of remediation costs | 361,000 | $ 300,000 | |||||||||
Environmental costs funded | 1,700,000 | ||||||||||
Accrued restoration cost | 713,000 | $ 1,700,000 | |||||||||
Wetlands restoration | Minto Communities LLC | |||||||||||
Contingencies | |||||||||||
Cash deposited in (refunded from) escrow | $ 423,000 | 77,833 | $ 189,500 | ||||||||
Escrow balance | $ 156,000 | ||||||||||
Wetlands restoration | Minimum | |||||||||||
Contingencies | |||||||||||
Estimated cost | 1,700,000 | ||||||||||
Wetlands restoration | Maximum | |||||||||||
Contingencies | |||||||||||
Estimated cost | $ 1,900,000 | ||||||||||
Mitigation activities | |||||||||||
Contingencies | |||||||||||
Acres | a | 54.66 | ||||||||||
Number of mitigation credits required to be utilized | item | 36 | ||||||||||
Mitigation credits transferred | $ 298,000 |
BUSINESS SEGMENT DATA - Descrip
BUSINESS SEGMENT DATA - Description (Details) - segment | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Business segment data | |||
Number of business segments | 4 | ||
Product concentration | Identifiable assets | Income Properties | |||
Business segment data | |||
Percentage of total | 91.10% | 88.50% | |
Product concentration | Consolidated revenues | Income Properties | |||
Business segment data | |||
Percentage of total | 75.20% | 39.20% |
BUSINESS SEGMENT DATA - Summary
BUSINESS SEGMENT DATA - Summary of Operations in Different Segments (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Business segment data | |||
Revenues | $ 14,259,319 | $ 23,497,243 | |
Operating Income | 11,723,612 | 17,117,867 | |
Gain on Disposition of Assets | 6,869,957 | 3,650,858 | |
Depreciation and Amortization | 3,346,287 | 3,796,823 | |
Identifiable Assets | 518,507,258 | $ 556,329,872 | |
Operating Segments | |||
Business segment data | |||
Operating Income | 11,723,612 | 17,117,867 | |
Capital Expenditures | 930,575 | 30,030,461 | |
General and Corporate Expense | |||
Business segment data | |||
Operating Income | (5,847,907) | (6,620,371) | |
Income Properties | |||
Business segment data | |||
Revenues | 10,724,418 | 9,205,727 | |
Depreciation and Amortization | 3,339,856 | 3,787,415 | |
Identifiable Assets | 472,412,073 | 492,093,615 | |
Income Properties | Operating Segments | |||
Business segment data | |||
Operating Income | 8,791,930 | 7,336,698 | |
Capital Expenditures | 58,005 | 27,915,262 | |
Commercial Loan Investments | |||
Business segment data | |||
Revenues | 300,999 | ||
Commercial Loan Investments | Operating Segments | |||
Business segment data | |||
Operating Income | 300,999 | ||
Real Estate Operations | |||
Business segment data | |||
Revenues | 3,534,901 | 13,990,517 | |
Identifiable Assets | 35,045,459 | 35,287,559 | |
Real Estate Operations | Operating Segments | |||
Business segment data | |||
Operating Income | 1,909,632 | 12,449,683 | |
Capital Expenditures | 870,509 | 2,111,983 | |
Golf Operations | |||
Business segment data | |||
Identifiable Assets | 4,680,691 | 4,462,477 | |
Golf Operations | Operating Segments | |||
Business segment data | |||
Capital Expenditures | 2,663 | ||
Corporate and Other | |||
Business segment data | |||
Depreciation and Amortization | 6,431 | 9,408 | |
Identifiable Assets | 6,369,035 | $ 24,486,221 | |
Corporate and Other | Operating Segments | |||
Business segment data | |||
Capital Expenditures | $ 2,061 | $ 553 |
ASSETS HELD FOR SALE AND DISC_3
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS - Assets and liabilities held for sale (Details) | 3 Months Ended | |
Mar. 31, 2019USD ($)property | Dec. 31, 2018USD ($)property | |
Disposal Group, Including Discontinued Operation, Assets [Abstract] | ||
Number of real estate properties | property | 0 | 4 |
Increase (decrease) in assets held for sale | $ 218,215 | |
Property, Plant, and Equipment—Net | 55,152,304 | $ 71,470,583 |
Cash and Cash Equivalents | 199,290 | 156,489 |
Other Assets | 648,137 | 646,285 |
Operating Leases Right-of-Use Asset | 173,561 | |
Intangible Lease Assets—Net | 3,346,288 | 4,366,858 |
Intangible Lease Liabilities—Net | (440,913) | (773,705) |
Total Assets Held for Sale | 59,078,667 | 75,866,510 |
Disposal Group, Including Discontinued Operation, Liabilities [Abstract] | ||
Accounts Payable | 318,946 | 199,422 |
Accrued and Other Liabilities | 916,759 | 924,323 |
Operating Leases - Liability | 173,561 | |
Deferred Revenue | 232,719 | 223,551 |
Total Liabilities Held for Sale | 1,641,985 | 1,347,296 |
Multi-Tenant Income Properties | Sarasota, FL | Whole Foods | ||
Disposal Group, Including Discontinued Operation, Assets [Abstract] | ||
Increase (decrease) in assets held for sale | 17,100,000 | |
Held for sale - not discontinued operation | Multi-Tenant Income Properties | ||
Disposal Group, Including Discontinued Operation, Assets [Abstract] | ||
Property, Plant, and Equipment—Net | 51,492,601 | 67,810,880 |
Intangible Lease Assets—Net | 3,346,288 | 4,366,858 |
Intangible Lease Liabilities—Net | (440,913) | (773,705) |
Total Assets Held for Sale | 54,397,976 | 71,404,033 |
Held for sale - discontinued operation | Golf Assets and Liabilities | ||
Disposal Group, Including Discontinued Operation, Assets [Abstract] | ||
Property, Plant, and Equipment—Net | 3,659,703 | 3,659,703 |
Cash and Cash Equivalents | 199,290 | 156,489 |
Other Assets | 648,137 | 646,285 |
Operating Leases Right-of-Use Asset | 173,561 | |
Total Assets Held for Sale | 4,680,691 | 4,462,477 |
Disposal Group, Including Discontinued Operation, Liabilities [Abstract] | ||
Accounts Payable | 318,946 | 199,422 |
Accrued and Other Liabilities | 916,759 | 924,323 |
Operating Leases - Liability | 173,561 | |
Deferred Revenue | 232,719 | 223,551 |
Total Liabilities Held for Sale | $ 1,641,985 | $ 1,347,296 |
ASSETS HELD FOR SALE AND DISC_4
ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS - Discontinued operations (Details) - USD ($) | Jan. 24, 2017 | Jan. 31, 2019 | Jan. 31, 2018 | Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2017 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Increase (Decrease) in Assets Held-for-sale | $ 218,215 | |||||
Increase in liabilities held for sale | 294,689 | |||||
Payments To Acquire Land | $ 2,141,853 | |||||
Accrued Municipal Surcharge | 560,000 | $ 700,000 | ||||
Annual payment | $ 70,000 | $ 70,000 | ||||
Loss from Operations | (214,637) | (27,470) | ||||
Depreciation and Amortization | (103,556) | |||||
Loss from Discontinued Operations Before Income Tax | (214,637) | (131,026) | ||||
Income Tax Benefit | 54,400 | 33,210 | ||||
Loss from Discontinued Operations (Net of Income Tax) | (160,237) | (97,816) | ||||
Golf Operations | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Increase (Decrease) in Assets Held-for-sale | 208,000 | |||||
Increase in liabilities held for sale | 208,000 | |||||
Golf Assets and Liabilities | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Revenue | 1,496,693 | 1,354,356 | ||||
Cost of Revenues | $ (1,711,330) | $ (1,381,826) | ||||
Golf course land purchase | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Payments To Acquire Land | $ 1,500,000 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) $ / shares in Units, $ / a in Thousands | Apr. 30, 2019a | Apr. 29, 2019USD ($)a$ / shares$ / a | Apr. 10, 2019USD ($)shares | Mar. 31, 2019USD ($)shares | Apr. 25, 2019shares | Jan. 31, 2019shares |
Subsequent Events | ||||||
Stock repurchased (in shares) | 70,708 | |||||
Shares repurchased (in dollars) | $ | $ 4,125,194 | |||||
Existing buyback program | 10,000,000 | |||||
Acres sold | a | 3,200 | |||||
Subsequent Event | ||||||
Subsequent Events | ||||||
Existing buyback program | 10,000,000 | |||||
Subsequent Event | Unicorp East of I-95, three | Commercial/Retail | ||||||
Subsequent Events | ||||||
Acres sold | a | 38 | |||||
Sale amount | $ | $ 710,000 | |||||
Sales Price Per Acre | $ / a | 19 | |||||
Estimated gain from sale of land | $ | $ 595,000 | |||||
Estimated gain from sale of land (in dollars per share) | $ / shares | $ 0.09 | |||||
Subsequent Event | Block Share Repurchase | ||||||
Subsequent Events | ||||||
Minimum ownership interest held by largest shareholder | 28.00% | |||||
Stock repurchased (in shares) | 320,741 | |||||
Percentage of Company’s outstanding shares purchased | 6.00% | |||||
Shares repurchased (in dollars) | $ | $ 18,400,000 | |||||
Shares held by selling shareholders | 1,232,334 | |||||
Existing buyback program | 10,000,000 |