Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Mar. 10, 2014 | Jun. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'HMG COURTLAND PROPERTIES INC | ' | ' |
Entity Central Index Key | '0000311817 | ' | ' |
Trading Symbol | 'hmg | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 1,048,926 | ' |
Entity Public Float | ' | ' | $7,002,684 |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
BALANCE_SHEETS
BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Investment properties, net of accumulated depreciation: | ' | ' |
Office building and other commercial property | $809,905 | $826,061 |
Total investment properties, net | 809,905 | 826,061 |
Cash and cash equivalents | 17,655,568 | 1,510,773 |
Assets associated with real estate interest held for resale | ' | 18,098,789 |
Investments in marketable securities | 4,722,597 | 2,158,330 |
Other investments | 3,304,336 | 3,603,655 |
Investment in affiliate | 2,445,891 | 2,547,572 |
Loans, notes and other receivables | 1,408,150 | 295,562 |
Notes and advances due from related parties | ' | 696,909 |
Deferred taxes | ' | 698,000 |
Other assets | 32,773 | 36,731 |
TOTAL ASSETS | 30,379,220 | 30,472,382 |
LIABILITIES | ' | ' |
Note payable to affiliate | 2,502,891 | 2,814,379 |
Accounts payable, accrued expenses and other liabilities | 202,552 | 46,550 |
Amounts due to the Adviser | 2,095,701 | ' |
Current income tax payable | 1,592,716 | ' |
Deferred income tax payable | 217,000 | ' |
Obligations associated with real estate interest held for resale | ' | 13,383,821 |
TOTAL LIABILITIES | 6,610,860 | 16,244,750 |
COMMITMENTS AND CONTINGENCIES | ' | ' |
STOCKHOLDERS' EQUITY | ' | ' |
Additional paid-in capital | 24,230,844 | 24,129,031 |
Undistributed gains from sales of properties, net of losses | 53,754,659 | 41,572,120 |
Undistributed losses from operations | -55,547,873 | -54,377,617 |
Accumulated other comprehensive loss | ' | -982,500 |
Total stockholders' equity | 23,486,556 | 11,310,560 |
Non controlling interest | 281,804 | 2,917,072 |
TOTAL STOCKHOLDERS' EQUITY | 23,768,360 | 14,227,632 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 30,379,220 | 30,472,382 |
Common Stock | ' | ' |
STOCKHOLDERS' EQUITY | ' | ' |
Common stock value issued | ' | ' |
Common Class B | ' | ' |
STOCKHOLDERS' EQUITY | ' | ' |
Common stock value issued | $1,048,926 | $969,526 |
BALANCE_SHEETS_Parentheticals
BALANCE SHEETS (Parentheticals) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Common Stock | ' | ' |
Common stock par value (in dollars per share) | $1 | $1 |
Common stock, shares authorized | 100,000 | 100,000 |
Common stock, shares issued | ' | ' |
Common Class B | ' | ' |
Common stock par value (in dollars per share) | $1 | $1 |
Common stock, shares authorized | 1,200,000 | 1,200,000 |
Common stock, shares issued | 1,048,926 | 969,526 |
Common stock, shares outstanding | 1,048,926 | 969,526 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
REVENUES | ' | ' |
Real estate rentals and related revenue | $64,142 | $64,340 |
Total revenues | 64,142 | 64,340 |
Operating expenses: | ' | ' |
Rental and other properties | 73,983 | 105,216 |
Adviser's base fee | 1,020,000 | 1,020,000 |
General and administrative | 324,852 | 341,798 |
Professional fees and expenses | 173,439 | 111,811 |
Directors' fees and expenses | 108,620 | 92,489 |
Depreciation expense | 16,156 | 16,156 |
Interest expense | 88,427 | 102,084 |
Total expenses | 1,805,477 | 1,789,554 |
Loss before other income and income taxes | -1,741,335 | -1,725,214 |
Net realized and unrealized gains from investments in marketable securities | 144,219 | 120,696 |
Net income from other investments | 248,709 | 400,751 |
Other than temporary impairment losses from other investments | -50,000 | -27,666 |
Interest, dividend and other income | 231,864 | 143,677 |
Total other income | 574,792 | 637,458 |
Loss before income taxes | -1,166,543 | -1,087,756 |
Benefit from income taxes | ' | -66,000 |
Loss from continuing operations | -1,166,543 | -1,021,756 |
Income from discontinued operations, net of tax and incentive fee | 16,439,449 | 1,122,167 |
Net income | 15,272,906 | 100,411 |
Noncontrolling interest in continuing operations | -3,713 | -3,033 |
Noncontrolling interest in discontinued operations | -93,206 | -91,067 |
Net income attributable to the noncontrolling interest | -96,919 | -94,100 |
Net income attributable to the Company | 15,175,987 | 6,311 |
Amounts attributable to the Company | ' | ' |
Continuing operations | -1,170,256 | -1,024,789 |
Discontinued operations | 16,346,243 | 1,031,100 |
Net income attributable to the Company | 15,175,987 | 6,311 |
Weighted average common shares outstanding-basic (in shares) | 1,004,599 | 1,001,593 |
Weighted average common shares outstanding-diluted (in shares) | 1,006,067 | 1,001,593 |
Net income (loss) per common share: | ' | ' |
Continuing operations-basic (in dollars per share) | ($1.16) | ($1.02) |
Continuing operations-diluted (in dollars per share) | ($1.16) | ($1.02) |
Discontinued operations-basic (in dollars per share) | $16.27 | $1.03 |
Discontinued operations-diluted (in dollars per share) | $16.25 | $1.03 |
Basic income per share (in dollars per share) | $15.11 | $0.01 |
Diluted income per share (in dollars per share) | $15.08 | $0.01 |
Other comprehensive income: | ' | ' |
Unrealized gain on interest rate swap agreement | 982,500 | 5,000 |
Total other comprehensive income | 982,500 | 5,000 |
Comprehensive income | $16,158,487 | $11,311 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (USD $) | Common Stock | Additional Paid-In Capital | Undistributed Gains from Sales of Properties Net of Losses | Undistributed Losses from Operations | Accumulated Other Comprehensive Loss | Treasury Stock | Total |
Balance at Dec. 31, 2011 | $1,023,955 | $24,366,099 | $41,572,120 | ($54,383,928) | ($987,500) | ($60,388) | $11,530,358 |
Balance (in shares) at Dec. 31, 2011 | 1,023,955 | ' | ' | ' | ' | 13,529 | ' |
Net income (Loss) | ' | ' | ' | 6,311 | ' | ' | 6,311 |
Unrealized gain on interest rate swap agreement | ' | ' | ' | ' | 5,000 | ' | 5,000 |
Non-employee stock option compensation | ' | 12,211 | ' | ' | ' | ' | 12,211 |
Purchase of treasury stock | ' | ' | ' | ' | ' | -243,320 | -243,320 |
Purchase of treasury stock (in shares) | ' | ' | ' | ' | ' | 40,900 | ' |
Treasury stock retired | -54,429 | -249,279 | ' | ' | ' | 303,708 | ' |
Treasury stock retired (in shares) | -54,429 | ' | ' | ' | ' | -54,429 | ' |
Balance at Dec. 31, 2012 | 969,526 | 24,129,031 | 41,572,120 | -54,377,617 | -982,500 | ' | 11,310,560 |
Balance (in shares) at Dec. 31, 2012 | 969,526 | ' | ' | ' | ' | ' | ' |
Net income (Loss) | ' | ' | 16,346,243 | -1,170,256 | ' | ' | 15,175,987 |
Dividend paid - $4.00 per share | ' | ' | -4,163,704 | ' | ' | ' | -4,163,704 |
Reversal of unrealized loss on interest rate swap contract | ' | ' | ' | ' | 982,500 | ' | 982,500 |
Non-employee stock option compensation | ' | 20,498 | ' | ' | ' | ' | 20,498 |
Stock options exercised | 97,100 | 388,420 | ' | ' | ' | ' | 485,520 |
Stock options exercised (in shares) | 97,100 | ' | ' | ' | ' | ' | 97,100 |
Treasury stock from stock option reloads | ' | ' | ' | ' | ' | -324,805 | -324,805 |
Treasury stock from stock option reloads (in shares) | ' | ' | ' | ' | ' | 17,700 | ' |
Treasury stock retired | -17,700 | -307,105 | ' | ' | ' | 324,805 | ' |
Treasury stock retired (in shares) | -17,700 | ' | ' | ' | ' | -17,700 | ' |
Balance at Dec. 31, 2013 | $1,048,926 | $24,230,844 | $53,754,659 | ($55,547,873) | ' | ' | $23,486,556 |
Balance (in shares) at Dec. 31, 2013 | 1,048,926 | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net income attributable to the Company | $15,175,987 | $6,311 |
Adjustments to reconcile net income attributable to the Company to net cash (used in) provided by operating activities: | ' | ' |
Depreciation expense | 16,156 | 898,985 |
Non-employee stock compensation | 20,498 | 12,211 |
Net income from other investments, excluding impairment losses | -248,709 | -400,750 |
Other than temporary impairment loss from other investments | 50,000 | 27,666 |
Gain from sale of discontinued operations | -16,346,243 | ' |
Net gain from investments in marketable securities | -144,219 | -120,696 |
Net gain attributable to non controlling interest | 3,713 | 94,046 |
Deferred income tax benefit | ' | -66,000 |
Provision for bad debts | ' | 100,000 |
Changes in assets and liabilities: | ' | ' |
Other assets and other receivables | -205,746 | -27,637 |
Accounts payable, accrued expenses and other liabilities | 156,003 | -193,784 |
Total adjustments | -16,698,547 | 324,041 |
Net cash (used in) provided by operating activities | -1,522,560 | 330,352 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Proceeds from sales of discontinued operations | 23,030,262 | ' |
Purchases and improvements of properties | ' | -353,126 |
Proceeds from collections of notes and advances from related parties | 696,909 | ' |
Proceeds from collections of mortgage loans and notes receivables | 75,000 | ' |
Distributions from other investments | 516,764 | 661,655 |
Contributions to other investments | -135,750 | -244,327 |
Net proceeds from sales and redemptions of securities | 1,305,944 | 1,271,707 |
Increased investments in marketable securities | -3,703,313 | -1,217,278 |
Distribution from affiliate | 196,016 | 196,016 |
Net cash provided by investing activities | 21,981,832 | 314,647 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Dividend paid | -4,163,704 | ' |
Repayment of mortgages and notes payables | -311,488 | -830,775 |
Proceeds from stock options exercised | 160,715 | ' |
Purchase of treasury stock | ' | -243,320 |
Net cash used in financing activities | -4,314,477 | -1,074,095 |
Net increase (decrease) in cash and cash equivalents | 16,144,795 | -429,096 |
Cash and cash equivalents at beginning of the year | 1,510,773 | 2,366,363 |
Cash and cash equivalents at end of the year | 17,655,568 | 1,510,773 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ' | ' |
Cash paid during the year for interest | 88,000 | 747,000 |
Cash paid during the year for income taxes | ' | ' |
Non-cash Investing Activities: | ' | ' |
Note receivable received for sales of discontinued operations | $1,000,000 | ' |
DESCRIPTION_OF_BUSINESS_AND_SU
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||
1. DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||
Business and Consolidation. The consolidated financial statements include the accounts of HMG/Courtland Properties, Inc. (“we” or the “Company”) and entities in which the Company owns a majority voting interest or controlling financial interest. The Company was organized in 1972 and (excluding its 95% owned subsidiary Courtland Investments, Inc., which files a separate tax return) qualifies for taxation as a real estate investment trust (“REIT”) under the Internal Revenue Code. The Company’s business is the ownership and management of income-producing commercial properties and its management considers other investments if such investments offer growth or profit potential. The Company’s recurring operating revenue is from property rental operations of its corporate offices. | |||||||||
All material transactions and balances with consolidated and unconsolidated entities have been eliminated in consolidation or as required under the equity method. | |||||||||
The Company’s consolidated subsidiaries are described below: | |||||||||
Courtland Investments, Inc. (“CII”). A 95% owned corporation in which the Company holds a 95% non-voting interest and Masscap Investments Company, Inc. (“Masscap”) which holds a 5% voting interest in CII. The Company and Masscap have had a continuing arrangement with regard to the ongoing operations of CII, which provides the Company with complete authority over all decision making relating to the business, operations and financing of CII consistent with the Company’s status as a real estate investment trust. Masscap is a wholly-owned subsidiary of Transco Realty Trust which is a 45% shareholder of the Company. CII files a separate tax return and its operations are not part of the REIT tax return. | |||||||||
260 River Corp (“260”). This wholly owned corporation of the Company owns an approximate 70% interest in a vacant commercially zoned building located on 5.4 acres in Montpelier, Vermont. Development of this property is being considered. | |||||||||
Courtland Houston, Inc. (“CHI”). Effective December 31, 2013, this company ceased operations and was dissolved. This corporation was 80% owned by CII and 20% owned by its sole employee. CHI engaged in consulting services and commercial leasing activities in Texas. | |||||||||
South Bayshore Associates (“SBA”). This is a 75% company owned joint venture with the Company’s 45% shareholder, Transco Realty Trust (“TRT”). In 2013 TRT paid off its $300,000 note due to SBA. | |||||||||
Baleen Associates, Inc. (“Baleen”). This corporation is wholly owned by CII and its sole asset is a 50% interest in a partnership which operates an executive suite rental business in Coconut Grove, Florida. | |||||||||
Preparation of Financial Statements. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||
Income Taxes. The Company’s 95%-owned subsidiary, CII, files a separate income tax return and its operations are not included in the REIT’s income tax return. The Company accounts for income taxes in accordance with ASC Topic 740, “Accounting for Income Taxes” (“ASC Topic 740”). This requires a Company to use the asset and liability method of accounting for income taxes. Under this method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. | |||||||||
The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred taxes only pertain to CII. The Company (excluding CII) qualifies as a real estate investment trust and distributes its taxable ordinary income to stockholders in conformity with requirements of the Internal Revenue Code and is not required to report deferred items due to its ability to distribute all taxable income. In addition, net operating losses can be carried forward to reduce future taxable income but cannot be carried back. Distributed capital gains on sales of real estate as they relate to REIT activities are not subject to taxes; however, undistributed capital gains are taxed as capital gains. State income taxes are not significant. | |||||||||
The Company follows the provisions of ASC Topic 740-10, “Accounting for Uncertainty in Income Taxes” which clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements in accordance with ASC Topic 740, and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. This topic also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. | |||||||||
Based on our evaluation, we have concluded that there are no significant uncertain tax positions requiring recognition in our consolidated financial statements. Our evaluation was performed for the tax years ended December 31, 2013 and 2012. The Company’s federal income tax returns since 2010 are subject to examination by the Internal Revenue Service, generally for a period of three years after the returns were filed. | |||||||||
We may from time to time be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to our financial results. In the event we have received an assessment for interest and/or penalties, it has been classified in the consolidated financial statements as selling, general and administrative expense. | |||||||||
Depreciation. Depreciation of the corporate offices properties held for investment is computed using the straight-line method over its estimated useful life of 39.5 years. Depreciation expense for the corporate offices for each of the years ended December 31, 2013 and 2012 was approximately $16,000. | |||||||||
Fair Value of Financial Instruments. The Company records its financial assets and liabilities at fair value, which is defined under the applicable accounting standards as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measure date. The Company uses valuation techniques to measure fair value, maximizing the use of observable outputs and minimizing the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: | |||||||||
● | Level 1 – Quoted prices in active markets for identical assets or liabilities. | ||||||||
● | Level 2 – 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 – Inputs include management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instrument’s valuation. | ||||||||
An investment’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. | |||||||||
The carrying value of financial instruments including other receivables, notes and advances due from related parties, accounts payable and accrued expenses and mortgages and notes payable approximate their fair values at December 31, 2013 and 2012, due to their relatively short terms or variable interest rates. | |||||||||
Cash equivalents are classified within Level 1 or Level 2 of the fair value hierarchy because they are valued using quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of transparency. Other investments which are measured by investees at net asset value per share or its equivalent are also classified within Level 2. The fair value of the interest rate swap contract payable is based on the value provided by the issuing bank on a monthly basis (Level 2). | |||||||||
The valuation of other investments not included above requires significant judgment by the Company’s management due to the absence of quoted market values, inherent lack of liquidity and long-term nature of such assets and have been classified within Level 3. Such investments are valued initially based upon transaction price. Valuations are reviewed periodically utilizing available market data and additional factors to determine if the carrying value of these investments should be adjusted. In determining valuation adjustments, emphasis is placed on market participants’ assumptions and market-based information over entity-specific information. | |||||||||
Marketable Securities. The entire marketable securities portfolio is classified as trading consistent with the Company’s overall investment objectives and activities. Accordingly, all unrealized gains and losses on the Company’s marketable securities investment portfolio are included in the consolidated statements of comprehensive income. | |||||||||
Gross gains and losses on the sale of marketable securities are based on the first-in first-out method of determining cost. | |||||||||
Marketable securities from time to time are pledged as collateral pursuant to broker margin requirements. At December 31, 2013 and 2012, there were no margin balances outstanding. | |||||||||
Notes and other receivables. Management periodically performs a review of amounts due on its notes and other receivable balances to determine if they are impaired based on factors affecting the collectability of those balances. Management’s estimates of collectability of these receivables requires management to exercise significant judgment about the timing, frequency and severity of collection losses, if any, and the underlying value of collateral, which may affect recoverability of such receivables. As of December 31, 2013 and 2012, the Company had no allowances for bad debt. | |||||||||
Equity investments. Investments in which the Company does not have a majority voting or financial controlling interest but has the ability to exercise influence are accounted for under the equity method of accounting, even though the Company may have a majority interest in profits and losses. The Company follows ASC Topic 323-30 in accounting for its investments in limited partnerships. This guidance requires the use of the equity method for limited partnership investments of more than 3 to 5 percent. | |||||||||
The Company has no voting or financial controlling interests in its other investments which include entities that invest venture capital funds in growth oriented enterprises. These other investments are carried at cost less adjustments for other than temporary declines in value. | |||||||||
Comprehensive Income. The Company reports comprehensive income in its consolidated statements of comprehensive income. Comprehensive income is the change in equity from transactions and other events from nonowner sources. Comprehensive income includes net income (loss) and other comprehensive income (loss). For the years ended December 31, 2013 and 2012, comprehensive income consisted of unrealized gain from interest rate swap contract of $982,500 and $5,000, respectively. | |||||||||
Income (loss) per common share. Net income (loss) per common share (basic and diluted) is based on the net income (loss) divided by the weighted average number of common shares outstanding during each year. Diluted net loss per share includes the dilutive effect of options to acquire common stock. Common shares outstanding include issued shares less shares held in treasury. There were 22,700 and 102,100 stock options outstanding as of December 31, 2013 and 2012, respectively. The 2013 options were included in the diluted earnings per share computation as their effect was dilutive. The 2012 options were not included in the diluted earnings per share computation as their effect would have been anti-dilutive. | |||||||||
Gain on sales of properties. Gain on sales of properties is recognized when the minimum investment requirements have been met by the purchaser and title passes to the purchaser. | |||||||||
In 2013 the Company sold its interests in the Grove Isle and Monty’s properties and recognized gain on sale of discontinued operations of $16.4 million, net of income taxes and incentive fee to Adviser. | |||||||||
There were no sales of property in 2012. | |||||||||
Cash and cash Equivalents. For purposes of the consolidated statements of cash flows, the Company considers all highly liquid investments with an original maturity of three months or less to be cash and cash equivalents. | |||||||||
Concentration of Credit Risk. Financial instruments that potentially subject the Company to concentration of credit risk are cash and cash equivalent deposits in excess of federally insured limits, marketable securities, other receivables and notes and mortgages receivable. From time to time the Company may have bank deposits in excess of federally insured limits. The Company evaluates these excess deposits and transfers amounts to brokerage accounts and other banks to mitigate this exposure. As of December 31, 2013 we have approximately $560,000 of deposits in excess of federally insured limits. | |||||||||
The Company maintains cash and equivalents in bank accounts which at times, may exceed federally-insured limits. The Company has not experienced any losses in such accounts and believes that it is not exposed to any significant credit risk on cash. The federally insured limit for time deposits is presently $250,000. | |||||||||
Interest rate swap contract. | |||||||||
The Company may or may not use interest rate swap contracts to reduce interest rate risk. The Company has no interest rate swap contracts outstanding as of December 31, 2013. The interest rate swap contract outstanding as of December 31, 2012 was satisfied in conjunction with the sale of the Monty’s property in March 2013. | |||||||||
Interest rate swap contracts designated and qualifying as cash flow hedges are reported at fair value. The gain or loss on the effective portion of the hedge initially is included as a component of other comprehensive income and is subsequently reclassified into earnings when interest on the related debt is paid, or upon partial or full settlement of the contract. | |||||||||
Other intangible assets: | |||||||||
Deferred loan costs are amortized on a straight line basis over the life of the loan. This method approximates the effective interest rate method. | |||||||||
Non controlling Interest. Non controlling interest represents the noncontrolling or minority partners’ proportionate share of the equity of the Company’s majority owned subsidiaries. A summary for the years ended December 31, 2013 and 2012 is as follows: | |||||||||
2013 | 2012 | ||||||||
Non controlling interest balance at beginning of year | $ | 2,917,000 | $ | 2,818,000 | |||||
Non controlling partners’ interest in operating gains of consolidated subsidiaries | 4,000 | 94,000 | |||||||
Non controlling partners’ interest in gains of discontinued operations of consolidated subsidiaries | 93,000 | — | |||||||
Non controlling partners’ interest in sales of real estate | (1,750,000 | ) | — | ||||||
Reclassification of unrealized loss on interest rate swap agreement | (982,000 | ) | 5,000 | ||||||
Non controlling interest balance at end of year | $ | 282,000 | $ | 2,917,000 | |||||
Revenue recognition. CII is the lessor of the Company’s principal executive offices and the Adviser corporate offices. This lease agreement is classified as an operating lease and accordingly all rental revenue is recognized as earned based upon total fixed cash flow over the initial term of the lease, using the straight line method. The lease agreement originally dated December 1, 1999, and was renewed in 2009. The lease provides for base rent of $48,000 per year payable in equal monthly installments during the five year term of the lease which expires on December 1, 2014. The Adviser, as tenant, pays utilities, certain maintenance and security expenses relating to the leased premises. | |||||||||
Impairment of long-lived assets. The Company periodically reviews the carrying value of its properties and long-lived assets in relation to historical results, current business conditions and trends to identify potential situations in which the carrying value of assets may not be recoverable. If such reviews indicate that the carrying value of such assets may not be recoverable, the Company would estimate the undiscounted sum of the expected future cash flows of such assets or analyze the fair value of the asset, to determine if such sum or fair value is less than the carrying value of such assets to ascertain if a permanent impairment exists. If a permanent impairment exists, the Company would determine the fair value by using quoted market prices, if available, for such assets, or if quoted market prices are not available, the Company would discount the expected future cash flows of such assets and would adjust the carrying value of the asset to fair value. There were no impairment of long-lived assets in 2013 and 2012. | |||||||||
Share-based compensation. | |||||||||
The Company accounts for share-based compensation in accordance with ASC Topic 718 “Share-Based Payments”. The Company has used the Black-Scholes option pricing model to estimate the fair value of stock options on the dates of grant. | |||||||||
Recent accounting pronouncements. | |||||||||
In July 2013, the FASB issued guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. This guidance requires the unrecognized tax benefit to be presented in the financial statements as a reduction to a deferred tax asset. When a deferred tax asset is not available, or the asset is not intended to be used for this purpose, an entity should present the unrecognized tax benefit in the financial statements as a liability. The guidance will become effective for us at the beginning of our second quarter of fiscal 2014. We do not expect the adoption of this guidance will have a material impact on our consolidated financial statements. | |||||||||
In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” or ASU 2013-02. ASU 2013-02 implements the previously deferred requirement to disclose reclassification adjustments into and out of accumulated other comprehensive income in either a note or on the face of the financial statements. ASU 2013-02 was effective for the first interim or annual period beginning after December 15, 2012, and was applied prospectively. As we have not reclassified any balances into or out of accumulated other comprehensive income, the adoption of ASU 2013-02 did not have a material impact on our consolidated financial statements. | |||||||||
In January 2013, the FASB issued guidance clarifying the scope of disclosure requirements for offsetting assets and liabilities. The amended guidance limits the scope of balance sheet offsetting disclosures to derivatives, repurchase agreements, and securities lending transactions to the extent that they are offset in the financial statements or subject to an enforceable master netting arrangement or similar agreement. The guidance will become effective for us at the beginning of our first quarter of fiscal 2014. We do not expect the adoption of this guidance will have a material impact on our consolidated financial statements. |
INVESTMENT_PROPERTIES
INVESTMENT PROPERTIES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||||
INVESTMENT PROPERTIES | ' | ||||||||||||
2. INVESTMENT PROPERTIES | |||||||||||||
The components of the Company’s investment properties and the related accumulated depreciation information follow: | |||||||||||||
31-Dec-13 | |||||||||||||
Accumulated | |||||||||||||
Cost | Depreciation | Net | |||||||||||
Office building and other commercial property: | |||||||||||||
Corporate Office - (Coconut Grove, FL) – Building | $ | 652,198 | $ | 278,982 | $ | 373,216 | |||||||
Corporate Office – (Coconut Grove, FL) – Land | 325,000 | — | 325,000 | ||||||||||
Other (Montpelier, Vermont) – Building | 52,000 | 52,000 | — | ||||||||||
Other (Montpelier, Vermont) - Land and improvements (5.4 acres) | 111,689 | — | 111,689 | ||||||||||
$ | 1,140,887 | $ | 330,982 | $ | 809,905 | ||||||||
31-Dec-12 | |||||||||||||
Accumulated | |||||||||||||
Cost | Depreciation | Net | |||||||||||
Office building and other commercial property: | |||||||||||||
Corporate Office - (Coconut Grove, FL) – Building | $ | 652,198 | $ | 262,826 | $ | 398,372 | |||||||
Corporate Office – (Coconut Grove, FL) – Land | 325,000 | — | 325,000 | ||||||||||
Other (Montpelier, Vermont) – Building | 52,000 | 52,000 | — | ||||||||||
Other (Montpelier, Vermont) - Land and improvements (5.4 acres) | 111,689 | — | 111,689 | ||||||||||
Totals | $ | 1,140,887 | $ | 314,826 | $ | 826,061 |
INVESTMENTS_IN_MARKETABLE_SECU
INVESTMENTS IN MARKETABLE SECURITIES | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||
INVESTMENTS IN MARKETABLE SECURITIES | ' | ||||||||||||||||||||||||
3. INVESTMENTS IN MARKETABLE SECURITIES | |||||||||||||||||||||||||
Investments in marketable securities consist primarily of large capital corporate equity and debt securities in varying industries or issued by government agencies with readily determinable fair values (see table below). These securities are stated at market value, as determined by the most recently traded price of each security at the balance sheet date. Consistent with the Company’s overall current investment objectives and activities its entire marketable securities portfolio is classified as trading. Accordingly all unrealized gains and losses on this portfolio are recorded in income. For the years ended December 31, 2013 and 2012, net unrealized gains on trading securities were approximately $263,000 and $86,000, respectively. | |||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||
Cost | Fair | Unrealized | Cost | Fair | Unrealized | ||||||||||||||||||||
Description | Basis | Value | Gain (loss) | Basis | Value | Gain (loss) | |||||||||||||||||||
Real Estate Investment Trusts | $ | 345,000 | $ | 351,000 | $ | 6,000 | $ | 174,000 | $ | 122,000 | ($ | 52,000 | ) | ||||||||||||
Mutual Funds, ETF & other | 2,030,000 | 2,144,000 | 114,000 | 760,000 | 817,000 | 57,000 | |||||||||||||||||||
Other Equity Securities | 962,000 | 1,163,000 | 201,000 | 570,000 | 557,000 | (13,000 | ) | ||||||||||||||||||
Total Equity Securities | 3,337,000 | 3,658,000 | 321,000 | 1,504,000 | 1,496,000 | (8,000 | ) | ||||||||||||||||||
Debt Securities | 1,088,000 | 1,065,000 | (23,000 | ) | 621,000 | 662,000 | 41,000 | ||||||||||||||||||
Total | $ | 4,425,000 | $ | 4,723,000 | $ | 298,000 | $ | 2,125,000 | $ | 2,158,000 | $ | 33,000 | |||||||||||||
As of December 31, 2013, debt securities are scheduled to mature as follows: | |||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
2019 – 2023 | $ | 25,000 | $ | 26,000 | |||||||||||||||||||||
2024 – thereafter | 1,063,000 | 1,039,000 | |||||||||||||||||||||||
$ | 1,088,000 | $ | 1,065,000 | ||||||||||||||||||||||
Net gain from investments in marketable securities for the years ended December 31, 2013 and 2012 is summarized below: | |||||||||||||||||||||||||
Description | 2013 | 2012 | |||||||||||||||||||||||
Net realized (loss) gain from sales of marketable securities | ($ | 119,000 | ) | $ | 35,000 | ||||||||||||||||||||
Net unrealized gain from marketable securities | 263,000 | 86,000 | |||||||||||||||||||||||
Total net gain from investments in marketable securities | $ | 144,000 | $ | 121,000 | |||||||||||||||||||||
Net realized (loss) gain from sales of marketable securities consisted of approximately $176,000 of losses net of $57,000 of gains for the year ended December 31, 2013. The comparable amounts in fiscal year 2012 were gains of approximately $152,000 and losses of $117,000. | |||||||||||||||||||||||||
Consistent with the Company’s overall current investment objectives and activities the entire marketable securities portfolio is classified as trading (as defined by U.S. generally accepted accounting principles). Unrealized gains or losses of marketable securities on hand are recorded in income. | |||||||||||||||||||||||||
Investment gains and losses on marketable securities may fluctuate significantly from period to period in the future and could have a significant impact on the Company’s net earnings. However, the amount of investment gains or losses on marketable securities for any given period has no predictive value and variations in amount from period to period have no practical analytical value. | |||||||||||||||||||||||||
Investments in marketable securities give rise to exposure resulting from the volatility of capital markets. The Company attempts to mitigate its risk by diversifying its marketable securities portfolio. |
OTHER_INVESTMENTS
OTHER INVESTMENTS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Investments, All Other Investments [Abstract] | ' | ||||||||||||||||||||||||
OTHER INVESTMENTS | ' | ||||||||||||||||||||||||
4. OTHER INVESTMENTS | |||||||||||||||||||||||||
The Company’s other investments consist primarily of nominal equity interests in various privately-held entities, including limited partnerships whose purpose is to invest venture capital funds in growth-oriented enterprises. The Company does not have significant influence over any investee and the Company’s investment represents less than 3% of the investee’s ownership. None of these investments meet the criteria of accounting under the equity method and accordingly are carried at cost less distributions and other than temporary unrealized losses. | |||||||||||||||||||||||||
The Company’s portfolio of other investments consists of approximately 30 individual investments primarily in limited partnerships with varying investment objectives and focus. Management has categorized these investments by investment focus: technology and communications, diversified businesses/distressed debt, real estate related, stock and debt funds. | |||||||||||||||||||||||||
As of December 31, 2013 and 2012, other investments had an aggregate carrying value of $3.3 million and $3.6 million, respectively. The Company has committed to fund approximately an additional $912,000 as required by agreements with the investees. The carrying value of these investments is equal to contributions less distributions and other than temporary loss valuation adjustments. During the years ended December 31, 2013 and 2012 the Company made contributions of approximately $136,000 and $244,000, respectively, and received distributions from these investments of $516,000 and $662,000, respectively. | |||||||||||||||||||||||||
The Company’s other investments are summarized below. | |||||||||||||||||||||||||
Carrying values as of December 31, | |||||||||||||||||||||||||
Investment Focus | 2013 | 2012 | |||||||||||||||||||||||
Venture capital funds – technology and communications | $ | 473,000 | $ | 514,000 | |||||||||||||||||||||
Venture capital funds – diversified businesses | 1,098,000 | 1,337,000 | |||||||||||||||||||||||
Real estate and related | 1,409,000 | 1,453,000 | |||||||||||||||||||||||
Other | 325,000 | 300,000 | |||||||||||||||||||||||
Totals | $ | 3,304,000 | $ | 3,604,000 | |||||||||||||||||||||
The Company regularly reviews the underlying assets in its investment portfolio for events, including but not limited to bankruptcies, closures and declines in estimated fair value, that may indicate the investment has suffered other-than-temporary decline in value. When a decline is deemed other-than-temporary, an investment loss is recognized. | |||||||||||||||||||||||||
Net income from other investments is summarized below (excluding other than temporary impairment loss): | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Income from investment in 49% owned affiliate (a) | $ | 94,000 | $ | 57,000 | |||||||||||||||||||||
Real estate and related (b) | 40,000 | 223,000 | |||||||||||||||||||||||
Venture capital funds – diversified businesses (c) | 104,000 | 121,000 | |||||||||||||||||||||||
Other | 10,000 | — | |||||||||||||||||||||||
Total net income from other investments | $ | 248,000 | $ | 401,000 | |||||||||||||||||||||
(a) This gain represents income from the Company’s 49% owned affiliate, T.G.I.F. Texas, Inc. (“TGIF”). The increase in income is due to increased net income of TGIF as a result of higher investment income. In 2013 and 2012 TGIF declared and paid a cash dividend, the Company’s portion of which was approximately $196,000 each year. These dividends were recorded as reduction in the investment carrying value as required under the equity method of accounting for investments. | |||||||||||||||||||||||||
(b) The gain in 2013 and 2012 consists primarily of cash distributions from an investment in real estate partnership which distributed proceeds from sales of its real estate. | |||||||||||||||||||||||||
(c) The gain in 2013 and 2012 consists of cash distributions from various investments in partnerships owning diversified businesses which made cash and stock distributions from the sale or refinancing of operating companies and/or distributions from operating activities. | |||||||||||||||||||||||||
Other than temporary impairment losses from other investments | |||||||||||||||||||||||||
For the years ended December 31, 2013 and 2012, approximately $50,000 and $28,000, respectively, of valuation losses from other than temporary impairment losses from other investments were recorded. In 2013 this consisted of an increased valuation loss of $50,000 from an investment in a limited partnership which invests in technology related entities. In 2012 the impairment loss consisted of an increased valuation loss of $28,000 from an investment in a private partnership which operates and leases executive suites in Miami, Florida. | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Technology and related | ($ | 50,000 | ) | — | |||||||||||||||||||||
Real estate and related | — | ($ | 28,000 | ) | |||||||||||||||||||||
Total other than temporary impairment loss from other investments | ($ | 50,000 | ) | ($ | 28,000 | ) | |||||||||||||||||||
Net gain or loss from other investments may fluctuate significantly from period to period in the future and could have a significant impact on the Company’s net earnings. However, the amount of investment gain or loss from other investments for any given period has no predictive value and variations in amount from period to period have no practical analytical value. | |||||||||||||||||||||||||
The following tables present gross unrealized losses and fair values for those investments that were in an unrealized loss position as of December 31, 2013 and 2012, aggregated by investment category and the length of time that investments have been in a continuous loss position: | |||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||
Less than 12 Months | Greater than 12 Months | Total | |||||||||||||||||||||||
Investment Description | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||
Loss | Loss | Loss | |||||||||||||||||||||||
Partnerships owning investments in technology related industries | — | — | $ | 346,000 | $ | (76,000 | ) | $ | 346,000 | $ | (76,000 | ) | |||||||||||||
Partnerships owning real estate and related investments | — | — | 246,000 | (11,000 | ) | 246,000 | (11,000 | ) | |||||||||||||||||
Total | — | — | $ | 592,000 | $ | (87,000 | ) | $ | 592,000 | $ | (87,000 | ) | |||||||||||||
As of December 31, 2012 | |||||||||||||||||||||||||
Less than 12 Months | Greater than 12 Months | Total | |||||||||||||||||||||||
Investment Description | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||
Loss | Loss | Loss | |||||||||||||||||||||||
Partnerships owning investments in technology related industries | $ | 11,000 | $ | (10,000 | ) | $ | 374,000 | $ | (69,000 | ) | $ | 384,000 | $ | (79,000 | ) | ||||||||||
Partnerships owning diversified businesses | — | — | 241,000 | (5,000 | ) | 241,000 | (5,000 | ) | |||||||||||||||||
Partnerships owning real estate and related investments | — | — | 231,000 | (49,000 | ) | 231,000 | (49,000 | ) | |||||||||||||||||
Total | $ | 11,000 | $ | (10,000 | ) | $ | 846,000 | $ | (123,000 | ) | $ | 856,000 | $ | (133,000 | ) | ||||||||||
FAIR_VALUE_INSTRUMENTS
FAIR VALUE INSTRUMENTS | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||
FAIR VALUE INSTRUMENTS | ' | ||||||||||||||||||||
5. FAIR VALUE INSTRUMENTS | |||||||||||||||||||||
In accordance with ASC Topic 820, the Company measures cash and cash equivalents, marketable debt and equity securities and the interest rate swap contract at fair value on a recurring basis. Other investments are measured at fair value on a nonrecurring basis. | |||||||||||||||||||||
The following are the major categories of assets and liabilities measured at fair value on a recurring basis during the years ended December 31, 2013 and 2012, using quoted prices in active markets for identical assets (Level 1) and significant other observable inputs (Level 2). For the year ended December 31, 2013 and 2012, there were no major assets or liabilities measured at fair value on a recurring basis which uses significant unobservable inputs (Level 3): | |||||||||||||||||||||
Fair value measurement at reporting date using | |||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | ||||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | ||||||||||||||||||
Description | 2013 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
Assets: | |||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Time deposits | $ | 55,000 | — | $ | 55,000 | — | |||||||||||||||
Money market mutual funds | 1,257,000 | $ | 1,257,000 | — | — | ||||||||||||||||
U.S. T-bills | 15,305,000 | $ | 15,305,000 | — | — | ||||||||||||||||
Marketable securities: | |||||||||||||||||||||
Corporate debt securities | 1,065,000 | — | 1,065,000 | — | |||||||||||||||||
Marketable equity securities | 3,658,000 | 3,658,000 | — | — | |||||||||||||||||
Total assets | $ | 21,340,000 | $ | 20,220,000 | $ | 1,120,000 | $ | — | |||||||||||||
Fair value measurement at reporting date using | |||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | ||||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | ||||||||||||||||||
Description | 2012 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
Assets: | |||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Time deposits | $ | 54,000 | — | $ | 54,000 | — | |||||||||||||||
Money market mutual funds | 783,000 | $ | 783,000 | — | — | ||||||||||||||||
Marketable securities: | |||||||||||||||||||||
Corporate debt securities | 662,000 | — | 662,000 | — | |||||||||||||||||
Marketable equity securities | 1,497,000 | 1,497,000 | — | — | |||||||||||||||||
Total assets | $ | 2,996,000 | $ | 2,280,000 | $ | 716,000 | $ | — | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest rate swap contract | 1,965,000 | — | 1,965,000 | — | |||||||||||||||||
Total liabilities | $ | 1,965,000 | — | $ | 1,965,000 | — | |||||||||||||||
Carrying amount is the estimated fair value for corporate debt securities and time deposits based on a market-based approach using observable (Level 2) inputs such as prices of similar assets in active markets. | |||||||||||||||||||||
The following are the major categories of assets and liabilities measured at fair value on a nonrecurring basis during the years ended December 31, 2013 and 2012. This category includes other investments and goodwill which are measured using significant other observable inputs (Level 2) and significant unobservable inputs (Level 3): | |||||||||||||||||||||
Fair value measurement at reporting date using | Total | ||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | losses for | |||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | year ended | |||||||||||||||||
Description | 2013 | (Level 1) | (Level 2) (a) | (Level 3) (b) | 12/31/13 | ||||||||||||||||
Assets: | |||||||||||||||||||||
Other investments by investment focus: | |||||||||||||||||||||
Technology & Communication | $ | 472,000 | $ | — | $ | 472,000 | $ | — | $ | 50,000 | |||||||||||
Diversified businesses | 1,098,000 | — | 1,098,000 | — | — | ||||||||||||||||
Real estate and related | 1,409,000 | — | 462,000 | 947,000 | — | ||||||||||||||||
Other | 325,000 | — | — | 325,000 | — | ||||||||||||||||
Total assets | $ | 3,304,000 | $ | — | $ | 2,032,000 | $ | 1,272,000 | $ | 50,000 | |||||||||||
Fair value measurement at reporting date using | Total | ||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | losses for | |||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | year ended | |||||||||||||||||
Description | 2012 | (Level 1) | (Level 2) (a) | (Level 3) (b) | 12/31/12 | ||||||||||||||||
Assets: | |||||||||||||||||||||
Other investments by investment focus: | |||||||||||||||||||||
Technology & Communication | $ | 514,000 | $ | — | $ | 514,000 | $ | — | $ | — | |||||||||||
Diversified businesses | 1,337,000 | — | 1,337,000 | — | — | ||||||||||||||||
Real estate and related | 1,453,000 | — | 500,000 | 953,000 | 28,000 | ||||||||||||||||
Other | 300,000 | — | — | 300,000 | — | ||||||||||||||||
$ | 3,604,000 | $ | — | $ | 2,351,000 | $ | 1,253,000 | $ | 28,000 | ||||||||||||
Goodwill (Bayshore) | 5,628,000 | 5,628,000 | — | ||||||||||||||||||
Total assets | $ | 9,232,000 | $ | — | $ | 2,351,000 | $ | 6,881,000 | $ | 28,000 | |||||||||||
(a) | Other investments measured at fair value on a non recurring basis include investments in certain entities that calculate net asset value per share (or its equivalent such as member units or an ownership interest in partners’ capital to which a proportionate share of net assets is attributed, “NAV”). This class primarily consists of private equity funds that have varying investment focus. These investments can never be redeemed with the funds. Instead, the nature of the investments in this class is that distributions are received through the liquidation of the underlying assets of the fund. If these investments were held it is estimated that the underlying assets of the fund would be liquidated over 5 to 10 years. As of December 31, 2013, it is probable that all of the investments in this class will be sold at an amount different from the NAV of the Company’s ownership interest in partners’ capital. Therefore, the fair values of the investments in this class have been estimated using recent observable information such as audited financial statements and/or statements of partners’ capital obtained directly from investees on a quarterly or other regular basis. During the year ended December 31, 2013, the Company received distributions of approximately $511,000 from this type of investment primarily from investments in diversified businesses and real estate. During the year ended December 31, 2013 the Company made contributions totaling $111,000 in this type of investment. As of December 31, 2013, the amount of the Company’s unfunded commitments related to the aforementioned investments is approximately $912,000. | ||||||||||||||||||||
(b) | Other investments above which are measured on a nonrecurring basis using Level 3 unobservable inputs consist of investments primarily in commercial real estate in Florida through private partnerships and two investments in the stock of private banks in Florida and Texas. The Company does not know when it will have the ability to redeem the investments and has categorized them as a Level 3 fair value measurement. The Level 3 real estate and related investments of approximately $947,000 include one investment in a commercial building located near the Company’s offices purchased in 2005 with a carrying value as of December 31, 2013 of $724,000. These investments are measured using primarily inputs provided by the managing member of the partnerships with whom the Company has done similar transactions in the past and is well known to management. The fair values of these real estate investments have been estimated using the net asset value of the Company’s ownership interest in partners’ capital. The investments in private bank stocks include a South Florida community bank in the amount of $25,000 made in December 2013, a private bank and trust located in Coral Gables, Florida in the amount of $250,000 made in 2009, and a $50,000 investment in a bank located in El Campo, Texas made in 2010. The fair values of these bank stock investments have been estimated using the cost method less distributions received and other than temporary impairments. This investment is valued using inputs provided by the management of the banks. | ||||||||||||||||||||
The following table includes a roll-forward of the investments classified within level 3 of the fair value hierarchy for the year ended December 31, 2013: | |||||||||||||||||||||
Level 3 Investments: | |||||||||||||||||||||
Balance at January 1, 2013 | $ | 1,253,000 | |||||||||||||||||||
Investment in private community bank | 25,000 | ||||||||||||||||||||
Distributions from Level 3 investments | (6,000 | ) | |||||||||||||||||||
Transfers from Level 2 | — | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 1,272,000 |
INVESTMENT_IN_AFFILIATE
INVESTMENT IN AFFILIATE | 12 Months Ended |
Dec. 31, 2013 | |
Investments In Affiliates [Abstract] | ' |
INVESTMENT IN AFFILIATE | ' |
6. INVESTMENT IN AFFILIATE | |
Investment in affiliate consists of CII’s 49% equity interest in T.G. I.F. Texas, Inc. (“T.G.I.F.”). T.G.I.F. is a Texas Corporation which holds promissory notes receivable from its shareholders, including CII and Maurice Wiener, the Chairman of the Company and T.G.I.F. Reference is made to Note 9 for discussion on notes payable by CII to T.G. I.F. This investment is recorded under the equity method of accounting. For the years ended December 31, 2013 and 2012, income from investment in affiliate amounted to approximately $94,000 and $57,000, respectively and is included in net income from other investments in the consolidated statements of comprehensive income. In December 2013 and 2012 T.G.I.F. declared and paid a cash dividend of $.07 per share. CII’s dividend amount received was approximately $196,000 each year. This dividend is recorded as a reduction in the carrying amount of CII investment in T.G.I.F. as required under the equity method of accounting. |
LOANS_NOTES_AND_OTHER_RECEIVAB
LOANS, NOTES AND OTHER RECEIVABLES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Receivables [Abstract] | ' | ||||||||
LOANS, NOTES AND OTHER RECEIVABLES | ' | ||||||||
7. LOANS, NOTES AND OTHER RECEIVABLES | |||||||||
As of December 31, | |||||||||
Description | 2013 | 2012 | |||||||
Promissory note and accrued interest due from purchaser of Grove Isle (a) | $ | 1,034,000 | $ | — | |||||
Promissory note and accrued interest due from individual (b) | 214,000 | 208,000 | |||||||
Other | 160,000 | 88,000 | |||||||
Total loans, notes and other receivables | $ | 1,408,000 | $ | 296,000 | |||||
(a) | In February 2013, the Company sold its interest in Grove Isle and related entities and received a $1 million promissory note from the purchaser as part of the purchase proceeds. This note bears interest of 4% per annum and will mature upon the earlier of ten years (February 25, 2023) or when any expansion or development (as defined in the purchase agreement) occurs at Grove Isle. | ||||||||
(b) | In December 2007 the Company loaned $400,000 to a local real estate developer who is well known to the Company and which loan is secured by numerous real estate interests. In 2010 $197,000 of principal payments were received. In February 2014, the loan was modified and the maturity date was extended to February 1, 2015. The loan modification requires the borrower to keep current on monthly interest only payments at same annual rate of 9% and pay past due interest as of December 31, 2013 of approximately $9,000 in four monthly installments beginning February 1, 2014. |
NOTES_AND_ADVANCES_DUE_FROM_AN
NOTES AND ADVANCES DUE FROM AND TRANSACTIONS WITH RELATED PARTIES | 12 Months Ended |
Dec. 31, 2013 | |
Loans and Leases Receivable, Related Parties Disclosure [Abstract] | ' |
NOTES AND ADVANCES DUE FROM AND TRANSACTIONS WITH RELATED PARTIES | ' |
8. NOTES AND ADVANCES DUE FROM AND TRANSACTIONS WITH RELATED PARTIES | |
The Company has an agreement (the “Agreement”) with HMGA, Inc. (the “Adviser”) for its services as investment adviser and administrator of the Company’s affairs. All officers of the Company who are officers of the Adviser are compensated solely by the Adviser for their services. | |
The Adviser is majority owned by Mr. Wiener, the Company’s Chairman, with the remaining shares owned by certain individuals including Mr. Rothstein. The officers and directors of the Adviser are as follows: Maurice Wiener, Chairman of the Board and Chief Executive Officer; Larry Rothstein, President, Treasurer, Secretary and Director; and Carlos Camarotti, Vice President - Finance and Assistant Secretary. | |
Under the terms of the Agreement, the Adviser serves as the Company’s investment adviser and, under the supervision of the directors of the Company, administers the day-to-day operations of the Company. All officers of the Company, who are officers of the Adviser are compensated solely by the Adviser for their services. The Agreement is renewable annually upon the approval of a majority of the directors of the Company who are not affiliated with the Adviser and a majority of the Company’s shareholders. The contract may be terminated at any time on 120 days written notice by the Adviser or upon 60 days written notice by a majority of the unaffiliated directors of the Company or the holders of a majority of the Company’s outstanding shares. | |
On September 19, 2013, the shareholders approved the renewal and amendment of the Advisory Agreement between the Company and the Adviser for a term commencing January 1, 2014 and expiring December 31, 2014. | |
The sole amendment to the Advisory Agreement was the change in the remuneration of the Advisor to decrease the Advisor’s current regular monthly compensation from $85,000 to $55,000, or $1,020,000 to $660,000 annually. All other terms of the existing Advisory Agreement will remain the same. The renewal and amendment was approved unanimously by the Directors unaffiliated with the Advisor. | |
For the years ended December 31, 2013 and 2012, the Company incurred Adviser fees of approximately $3,116,000 and $1,056,000, respectively, of which $1,020,000 represented regular compensation for 2013 and 2012. In 2013 and 2012 Advisor fees include $2,096,000 and $36,000 in incentive fee compensation. | |
At December 31, 2012, the Company had amounts due from the Adviser and subsidiaries of approximately $397,000 with interest at prime plus 1% and due on demand. In 2013 the Adviser and subsidiaries paid amounts due to the Company of approximately $397,000. No amounts are due from the Adviser and subsidiaries as of December 31, 2013. | |
The Adviser leases its executive offices from CII pursuant to a lease agreement. This lease agreement calls for base rent of $48,000 per year payable in equal monthly installments. Additionally, the Adviser is responsible for all utilities, certain maintenance, and security expenses relating to the leased premises. The lease term is five years, expiring in November 2014. | |
At December 31, 2012 the Company, through its 75% owned joint venture South Bayshore Associates (“SBA”), had a note receivable from Transco (a 45% shareholder of the Company) of $300,000 with interest at the prime rate and due on demand. In 2013 this note and accrued interest was paid. | |
Mr. Wiener is an 18% shareholder and the chairman and director of T.G.I.F. Texas, Inc., a 49% owned affiliate of CII. As of December 31, 2013 and 2012, T.G.I.F. had amounts due from CII in the amount of approximately $2,503,000 and $2,815,000, respectively. These amounts are due on demand and bear interest at the prime rate (3.25% at December 31, 2013). All interest due has been paid. | |
As of December 31, 2013, and 2012 T.G.I.F. owns 10,000 shares of the Company’s common stock it purchased at market value in 1996. | |
As of December 31, 2013 and 2012, T.G.I.F. had amounts due from Mr. Wiener in the amount of approximately $707,000. These amounts bear interest at the prime rate and principal and interest are due on demand. All interest due has been paid. | |
Mr. Wiener received consulting and director’s fees from T.G.I.F totaling $22,000 for each of the years ended December 31, 2013 and 2012. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
INCOME TAXES | ' | ||||||||||||||||
9. INCOME TAXES | |||||||||||||||||
The Company (excluding CII) qualifies as a real estate investment trust and distributes its taxable ordinary income to stockholders in conformity with requirements of the Internal Revenue Code and is not required to report deferred items due to its ability to distribute all taxable income. In addition, net operating losses can be carried forward to reduce future taxable income but cannot be carried back. Distributed capital gains on sales of real estate as they relate to REIT activities are not subject to taxes; however, undistributed capital gains may be subject to corporate tax. | |||||||||||||||||
As previously reported, in November 2013, the Company paid a cash dividend of $4.2 million (or $4.00 per share) to shareholders of record as of November 1, 2013. This dividend reduced 2013 REIT taxable income and was a distribution of REIT tax capital gains primarily from gain on sales of real estate interests in 2013. The Company’s undistributed tax capital gains for the year ended December 31, 2013 were approximately $3.8 million (or $3.67 per share), after giving effect for the utilization of $5.1 net operating loss carryover. The Company (REIT only, excluding CII) has federal and state tax liability of $1.35 million and $250,000, respectively as of December 31, 2013. The $1.6 million federal and state liability is netted in gain from sale of discontinued operations. | |||||||||||||||||
The Company’s 95%-owned subsidiary, CII, files a separate income tax return and its operations are not included in the REIT’s income tax return. | |||||||||||||||||
The Company accounts for income taxes in accordance with ASC Topic 740, “Accounting for Income Taxes”. ASC Topic 740 requires a Company to use the asset and liability method of accounting for income taxes. Under this method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred taxes only pertain to CII. As of December 31, 2013 the Company has recorded a net deferred tax liability of $217,000 as a result of timing differences associated with the carrying value of the investment in affiliate (TGIF) and other investments. The increase from deferred tax asset of $698,000 as of December 31, 2012 to a deferred tax liability of $217,000 as of December 31, 2013 resulted in a $915,000 deferred tax expense. This was primarily the result of the reduction in the deferred tax asset of $361,000 from utilization of $1.2 million of CII’s net operating loss carryover (NOL), net decrease in excess of tax basis over book basis of other investments of $189,000 and net decrease in excess of tax basis over book basis of assets associated with real estate interests held for sale of $286,000. CII NOL carryover to 2014 is estimated at $296,000 expiring in 2033. | |||||||||||||||||
The components of income before income taxes and the effect of adjustments to tax computed at the federal statutory rate for the years ended December 31, 2013 and 2012 were as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Income (loss) before income taxes | $ | 17,684,000 | ($ | 60,000 | ) | ||||||||||||
Computed tax at federal statutory rate of 34% | $ | 6,012,000 | ($ | 20,000 | ) | ||||||||||||
State taxes at 5.5% | 973,000 | (4,000 | ) | ||||||||||||||
REIT capital gains dividend paid | (1,645,000 | ) | — | ||||||||||||||
Utilization of net operating loss carryover | (2,408,000 | ) | — | ||||||||||||||
REIT related adjustments | (407,000 | ) | (21,000 | ) | |||||||||||||
Unrealized gain from marketable securities for book not tax | (26,000 | ) | (31,000 | ) | |||||||||||||
Other items, net | 9,000 | 10,000 | |||||||||||||||
Tax provision for (benefit from) income taxes | $ | 2,508,000 | ($ | 66,000 | ) | ||||||||||||
The REIT related adjustments represent the difference between estimated taxes on undistributed income and/or capital gains and book taxes computed on the REIT’s income before income taxes. | |||||||||||||||||
The benefit from income taxes in the consolidated statements of comprehensive income consists of the following: | |||||||||||||||||
Year ended December 31, | 2013 | 2012 | |||||||||||||||
Current: | |||||||||||||||||
Federal | 1,347,000 | — | |||||||||||||||
State | 246,000 | — | |||||||||||||||
1,593,000 | — | ||||||||||||||||
Deferred: | |||||||||||||||||
Federal | $ | 905,000 | ($ | 60,000 | ) | ||||||||||||
State | 10,000 | (6,000 | ) | ||||||||||||||
915,000 | (66,000 | ) | |||||||||||||||
Total | $ | 2,508,000 | ($ | 66,000 | ) | ||||||||||||
As of December 31, 2013 and 2012, the components of the deferred tax assets and liabilities are as follows: | |||||||||||||||||
As of December 31, 2013 | As of December 31, 2012 | ||||||||||||||||
Deferred tax | Deferred tax | ||||||||||||||||
Assets | Liabilities | Assets | Liabilities | ||||||||||||||
Net operating loss carry forward | $ | 110,000 | $ | 471,000 | |||||||||||||
Excess of book basis of 49% owned corporation over tax basis | $ | 424,000 | $ | 418,000 | |||||||||||||
Excess of tax basis over book basis of assets associated with real estate interests held for sale | — | 286,000 | |||||||||||||||
Unrealized gain on marketable securities | 105,000 | 32,000 | |||||||||||||||
Excess of tax basis over book basis of other investments | 306,000 | 104,000 | 508,000 | 117,000 | |||||||||||||
Totals | $ | 416,000 | $ | 633,000 | $ | 1,265,000 | $ | 567,000 |
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
STOCK-BASED COMPENSATION | ' | ||||||||||||||||
10. STOCK-BASED COMPENSATION | |||||||||||||||||
The Company’s 2011 Stock Option Plan (the Plan) provides for the grant of options to purchase up to 120,000 shares of the Company’s common stock to the officers and directors of the Company. | |||||||||||||||||
The Company’s policy is to record stock compensation expense in accordance with ASC Topic 505-50, “Equity-Based Payments to Non-Employees”. Stock based compensation expense is recognized using the fair-value method for all awards. The Company granted 17,700 reload options related to options previously granted which were exercised during the year ended December 31, 2013. A reload stock option is granted for the number of shares tendered as payment for the exercise price and tax withholding obligation (if any) upon the exercise of a stock option with a reload provision. The exercise price of the reload option is equal to the market price of the stock on the date of grant and the reload option will expire on the same date as the original option which was exercised. The Company determined the fair value of its option awards using the Black-Scholes option pricing model. The following assumptions were used to value the reload options granted during the year ended December 31, 2013: 3 year expected life; expected volatility of approximately 37%; risk-free of .11% and annual dividend yield of 17%. The expected life for options granted during the period represents the period of time that options are to be outstanding based on the expiration date of the Plan. Expected volatilities are based upon historical volatility of the Company’s stock over a period equal to the 3 year expected life. | |||||||||||||||||
The weighted average fair value for the 17,700 reload options granted during the year ended December 31, 2013 was $18.35 per share. | |||||||||||||||||
The Company’s non-employee stock compensation expense based on the fair value at the date of grant for stock options was approximately $20,000 and $12,000 for the years ended December 31, 2013 and 2012, respectively, and is included in the results of operations in the condensed consolidated financial statements. | |||||||||||||||||
As of December 31, 2013, there is no unrecognized non-employee stock compensation expense related to unvested stock options under the Plan. As of December 31, 2012, there was approximately $5,000 of total unrecognized non-employee stock compensation expense related to unvested stock options under the Plan. This expense was recognized over the vesting periods ending August 25, 2013. | |||||||||||||||||
A summary of the status of the Company’s stock option plan as of December 31, 2013 and 2012, and changes during the periods ending on those dates are presented below: | |||||||||||||||||
As of December 31, 2013 | As of December 31, 2012 | ||||||||||||||||
Shares | Weighted | Shares | Weighted | ||||||||||||||
Average Exercise | Average Exercise | ||||||||||||||||
Price | Price | ||||||||||||||||
Outstanding at the beginning of the period | 102,100 | $ | 4.99 | 102,100 | $ | 4.99 | |||||||||||
Granted | 17,700 | $ | 18.35 | — | — | ||||||||||||
Exercised | (97,100 | ) | $ | 5 | — | — | |||||||||||
Expired | — | — | — | — | |||||||||||||
Forfeited | — | — | — | — | |||||||||||||
Outstanding at the end of the period | 22,700 | $ | 15.37 | 102,100 | $ | 4.99 | |||||||||||
Options exercisable at period-end | 22,700 | $ | 15.37 | 102,100 | $ | 4.99 | |||||||||||
Weighted average fair value of options granted during the period | 17,700 | $ | 18.35 | 102,100 | — | ||||||||||||
Aggregate intrinsic value of outstanding and exercisable options at the end of the period | 22,700 | $ | 2.63 | — | |||||||||||||
The intrinsic value of options exercised during the year ended December 31, 2013 was approximately $1.3 million. | |||||||||||||||||
The following table summarizes outstanding and exercisable options as of December 31, 2013: | |||||||||||||||||
Number Outstanding | Weighted Average | ||||||||||||||||
and exercisable | Strike Prices | ||||||||||||||||
5,000 | $ | 4.8 | |||||||||||||||
9,500 | $ | 17.84 | |||||||||||||||
7,500 | $ | 18.89 | |||||||||||||||
700 | $ | 19.5 | |||||||||||||||
22,700 | $ | 15.37 | |||||||||||||||
As of December 31, 2013, the intrinsic value of options outstanding and exercisable was approximately $60,000. | |||||||||||||||||
There were no options granted, exercised or forfeited during the year ended December 31, 2012. |
BASIC_AND_DILUTED_EARNINGS_PER
BASIC AND DILUTED EARNINGS PER SHARE | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Earnings Per Share [Abstract] | ' | ||||
BASIC AND DILUTED EARNINGS PER SHARE | ' | ||||
11. BASIC AND DILUTED EARNINGS PER SHARE | |||||
Basic and diluted earnings per share for the year ended December 31, 2013 were computed as presented in the table below. | |||||
For the year ended | |||||
Basic: | 31-Dec-13 | ||||
Net income | $ | 15,175,987 | |||
Weighted average shares outstanding | 1,004,599 | ||||
Basic earnings per share | $ | 15.11 | |||
For the year ended | |||||
Diluted: | 31-Dec-13 | ||||
Net income | $ | 15,175,987 | |||
Weighted average shares outstanding | 1,004,599 | ||||
Plus incremental shares from assumed conversion | 1,468 | ||||
Diluted weighted average common shares | 1,006,067 | ||||
Diluted earnings per share | $ | 15.08 | |||
There was no difference between basic and diluted weighted average common shares for the year ended December 31, 2012. |
DISCONTINUED_OPERATIONS_AND_RE
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE | ' | ||||||||
11. DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE | |||||||||
As previously reported, on February 25, 2013, the Company completed the sale of its interests in Grove Isle Associates LLLP, Grove Isle Yacht Club Associates, Grove Isle Investments Inc. and CII Yacht Club, Inc., which represent interests in the Grove Isle hotel, club, tennis courts and marina (collectively, the “Grove Isle Property”) to Grove Isle Yacht & Tennis, LLC, a Florida limited liability company and an unrelated entity (“the Purchaser”), pursuant to a purchase agreement entered into on the same day (the “Agreement”). The purchase price was $24.4 million, consisting of $23.4 million in cash and a $1 million promissory note due from the Purchaser. Approximately $2.7 million of the proceeds were used to pay off the existing mortgage on the Grove Isle Property. The Company realized a gain on the sale of these interests (including transactions in June 2013 described below) of approximately $19 million (or $19 per share) net of incentive fee due to the Adviser of approximately $2.1 million and before provision for corporate income taxes estimated at $2.5 million (consisting of approximately $1.6 million in current income tax expense and $915,000 in deferred income tax expense). | |||||||||
In June 2013 the Company received an additional $327,000 in proceeds for unpaid rent due by the Grove Isle tenant prior to the sale. Also in June 2013 the Purchaser exercised its option to purchase our 50% interest in the spa for $100,000. | |||||||||
As previously reported, on March 29, 2013, pursuant to a Membership Interests Purchase Agreement (the “Agreement”) entered into in December 2012, HMG/Courtland Properties, Inc. and its 95% owned subsidiary, Courtland Investments, Inc. (the “Company”), completed the sale of the Company’s 50% membership interests in Bayshore Landing LLC, Bayshore Rawbar LLC and Bayshore Restaurant LLC, (collectively the “Monty’s property) to the other 50% owner, The Christoph Family Trusts, which are unrelated entities. The purchase price for the membership interests of $3 million was paid in cash. The Company realized a gain on the sale of these interests (as adjusted) of approximately $28,000 (or $.03 per share). | |||||||||
We have classified the results of operations for the real estate interests discussed above into discontinued operations in the accompanying consolidated financial statements of operations. | |||||||||
For the year | |||||||||
ended December 31, | |||||||||
Revenues: | 2013 | 2012 | |||||||
Rental and related revenue | $ | 171,000 | $ | 1,802,000 | |||||
Food & beverage sales | 1,950,000 | $ | 6,179,000 | ||||||
Marina revenue | 382,000 | $ | 1,657,000 | ||||||
Other | — | $ | 430,000 | ||||||
Total revenue | $ | 2,503,000 | $ | 10,068,000 | |||||
Expenses: | |||||||||
Rental operating expenses | 97,000 | 550,000 | |||||||
Food & beverage operation expenses | 1,430,000 | 5,150,000 | |||||||
Marina expenses | 178,000 | 959,000 | |||||||
Professional fees | 53,000 | 227,000 | |||||||
Interest expense | 190,000 | 769,000 | |||||||
Depreciation, amortization and other expenses | 199,000 | 1,291,000 | |||||||
Total expenses | $ | 2,147,000 | $ | 8,946,000 | |||||
Less: noncontrolling interest sold | (212,000 | ) | — | ||||||
Gain on sale of discontinued operations, net of incentive fee | 18,803,000 | — | |||||||
Provision for income tax expense on gain on sale of discontinued operations | (2,508,000 | ) | — | ||||||
Income from discontinued operations | $ | 16,439,000 | $ | 1,122,000 | |||||
The major classes of assets and liabilities associated with the real estate interest held for sale as of December 31, 2013 and 2012 were as follows: | |||||||||
31-Dec-13 | 31-Dec-12 | ||||||||
Grove Isle Spa remaining interest | $ | — | $ | 1,434,000 | |||||
Grove Isle land, hotel, club building and marina | — | 1,801,000 | |||||||
Grove Isle other assets | — | 222,000 | |||||||
Bayshore Restaurant, marina and retail offices | — | 7,822,000 | |||||||
Bayshore goodwill | — | 5,629,000 | |||||||
Bayshore other receivables | — | 206,000 | |||||||
Bayshore other assets | — | 985,000 | |||||||
Assets associated with real estate interests held for sale | $ | — | $ | 18,099,000 | |||||
Grove Isle mortgage note payable | $ | — | $ | 2,696,000 | |||||
Grove Isle accrued and other liabilities | — | 23,000 | |||||||
Bayshore mortgage note payable | — | 8,190,000 | |||||||
Bayshore interest rate swap contract payable | — | 1,965,000 | |||||||
Bayshore accrued and other liabilities | — | 510,000 | |||||||
Obligations associated with real estate interests held for sale | $ | — | $ | 13,384,000 |
DESCRIPTION_OF_BUSINESS_AND_SU1
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Business and Consolidation | ' | ||||||||
Business and Consolidation. The consolidated financial statements include the accounts of HMG/Courtland Properties, Inc. (“we” or the “Company”) and entities in which the Company owns a majority voting interest or controlling financial interest. The Company was organized in 1972 and (excluding its 95% owned subsidiary Courtland Investments, Inc., which files a separate tax return) qualifies for taxation as a real estate investment trust (“REIT”) under the Internal Revenue Code. The Company’s business is the ownership and management of income-producing commercial properties and its management considers other investments if such investments offer growth or profit potential. The Company’s recurring operating revenue is from property rental operations of its corporate offices. | |||||||||
All material transactions and balances with consolidated and unconsolidated entities have been eliminated in consolidation or as required under the equity method. | |||||||||
The Company’s consolidated subsidiaries are described below: | |||||||||
Courtland Investments, Inc. (“CII”). A 95% owned corporation in which the Company holds a 95% non-voting interest and Masscap Investments Company, Inc. (“Masscap”) which holds a 5% voting interest in CII. The Company and Masscap have had a continuing arrangement with regard to the ongoing operations of CII, which provides the Company with complete authority over all decision making relating to the business, operations and financing of CII consistent with the Company’s status as a real estate investment trust. Masscap is a wholly-owned subsidiary of Transco Realty Trust which is a 45% shareholder of the Company. CII files a separate tax return and its operations are not part of the REIT tax return. | |||||||||
260 River Corp (“260”). This wholly owned corporation of the Company owns an approximate 70% interest in a vacant commercially zoned building located on 5.4 acres in Montpelier, Vermont. Development of this property is being considered. | |||||||||
Courtland Houston, Inc. (“CHI”). Effective December 31, 2013, this company ceased operations and was dissolved. This corporation was 80% owned by CII and 20% owned by its sole employee. CHI engaged in consulting services and commercial leasing activities in Texas. | |||||||||
South Bayshore Associates (“SBA”). This is a 75% company owned joint venture with the Company’s 45% shareholder, Transco Realty Trust (“TRT”). In 2013 TRT paid off its $300,000 note due to SBA. | |||||||||
Baleen Associates, Inc. (“Baleen”). This corporation is wholly owned by CII and its sole asset is a 50% interest in a partnership which operates an executive suite rental business in Coconut Grove, Florida. | |||||||||
Preparation of Financial Statements | ' | ||||||||
Preparation of Financial Statements. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||
Income Taxes | ' | ||||||||
Income Taxes. The Company’s 95%-owned subsidiary, CII, files a separate income tax return and its operations are not included in the REIT’s income tax return. The Company accounts for income taxes in accordance with ASC Topic 740, “Accounting for Income Taxes” (“ASC Topic 740”). This requires a Company to use the asset and liability method of accounting for income taxes. Under this method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. | |||||||||
The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred taxes only pertain to CII. The Company (excluding CII) qualifies as a real estate investment trust and distributes its taxable ordinary income to stockholders in conformity with requirements of the Internal Revenue Code and is not required to report deferred items due to its ability to distribute all taxable income. In addition, net operating losses can be carried forward to reduce future taxable income but cannot be carried back. Distributed capital gains on sales of real estate as they relate to REIT activities are not subject to taxes; however, undistributed capital gains are taxed as capital gains. State income taxes are not significant. | |||||||||
The Company follows the provisions of ASC Topic 740-10, “Accounting for Uncertainty in Income Taxes” which clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements in accordance with ASC Topic 740, and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. This topic also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. | |||||||||
Based on our evaluation, we have concluded that there are no significant uncertain tax positions requiring recognition in our consolidated financial statements. Our evaluation was performed for the tax years ended December 31, 2013 and 2012. The Company’s federal income tax returns since 2010 are subject to examination by the Internal Revenue Service, generally for a period of three years after the returns were filed. | |||||||||
We may from time to time be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to our financial results. In the event we have received an assessment for interest and/or penalties, it has been classified in the consolidated financial statements as selling, general and administrative expense. | |||||||||
Depreciation | ' | ||||||||
Depreciation. Depreciation of the corporate offices properties held for investment is computed using the straight-line method over its estimated useful life of 39.5 years. Depreciation expense for the corporate offices for each of the years ended December 31, 2013 and 2012 was approximately $16,000. | |||||||||
Fair Value of Financial Instruments | ' | ||||||||
Fair Value of Financial Instruments. The Company records its financial assets and liabilities at fair value, which is defined under the applicable accounting standards as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measure date. The Company uses valuation techniques to measure fair value, maximizing the use of observable outputs and minimizing the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: | |||||||||
● | Level 1 – Quoted prices in active markets for identical assets or liabilities. | ||||||||
● | Level 2 – 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 – Inputs include management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instrument’s valuation. | ||||||||
An investment’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. | |||||||||
The carrying value of financial instruments including other receivables, notes and advances due from related parties, accounts payable and accrued expenses and mortgages and notes payable approximate their fair values at December 31, 2013 and 2012, due to their relatively short terms or variable interest rates. | |||||||||
Cash equivalents are classified within Level 1 or Level 2 of the fair value hierarchy because they are valued using quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of transparency. Other investments which are measured by investees at net asset value per share or its equivalent are also classified within Level 2. The fair value of the interest rate swap contract payable is based on the value provided by the issuing bank on a monthly basis (Level 2). | |||||||||
The valuation of other investments not included above requires significant judgment by the Company’s management due to the absence of quoted market values, inherent lack of liquidity and long-term nature of such assets and have been classified within Level 3. Such investments are valued initially based upon transaction price. Valuations are reviewed periodically utilizing available market data and additional factors to determine if the carrying value of these investments should be adjusted. In determining valuation adjustments, emphasis is placed on market participants’ assumptions and market-based information over entity-specific information. | |||||||||
Marketable Securities | ' | ||||||||
Marketable Securities. The entire marketable securities portfolio is classified as trading consistent with the Company’s overall investment objectives and activities. Accordingly, all unrealized gains and losses on the Company’s marketable securities investment portfolio are included in the consolidated statements of comprehensive income. | |||||||||
Gross gains and losses on the sale of marketable securities are based on the first-in first-out method of determining cost. | |||||||||
Marketable securities from time to time are pledged as collateral pursuant to broker margin requirements. At December 31, 2013 and 2012, there were no margin balances outstanding. | |||||||||
Notes and other receivables | ' | ||||||||
Notes and other receivables. Management periodically performs a review of amounts due on its notes and other receivable balances to determine if they are impaired based on factors affecting the collectability of those balances. Management’s estimates of collectability of these receivables requires management to exercise significant judgment about the timing, frequency and severity of collection losses, if any, and the underlying value of collateral, which may affect recoverability of such receivables. As of December 31, 2013 and 2012, the Company had no allowances for bad debt. | |||||||||
Equity investments | ' | ||||||||
Equity investments. Investments in which the Company does not have a majority voting or financial controlling interest but has the ability to exercise influence are accounted for under the equity method of accounting, even though the Company may have a majority interest in profits and losses. The Company follows ASC Topic 323-30 in accounting for its investments in limited partnerships. This guidance requires the use of the equity method for limited partnership investments of more than 3 to 5 percent. | |||||||||
The Company has no voting or financial controlling interests in its other investments which include entities that invest venture capital funds in growth oriented enterprises. These other investments are carried at cost less adjustments for other than temporary declines in value. | |||||||||
Comprehensive Income | ' | ||||||||
Comprehensive Income. The Company reports comprehensive income in its consolidated statements of comprehensive income. Comprehensive income is the change in equity from transactions and other events from nonowner sources. Comprehensive income includes net income (loss) and other comprehensive income (loss). For the years ended December 31, 2013 and 2012, comprehensive income consisted of unrealized gain from interest rate swap contract of $982,500 and $5,000, respectively. | |||||||||
Income (loss) per common share | ' | ||||||||
Income (loss) per common share. Net income (loss) per common share (basic and diluted) is based on the net income (loss) divided by the weighted average number of common shares outstanding during each year. Diluted net loss per share includes the dilutive effect of options to acquire common stock. Common shares outstanding include issued shares less shares held in treasury. There were 22,700 and 102,100 stock options outstanding as of December 31, 2013 and 2012, respectively. The 2013 options were included in the diluted earnings per share computation as their effect was dilutive. The 2012 options were not included in the diluted earnings per share computation as their effect would have been anti-dilutive. | |||||||||
Gain on sales of properties | ' | ||||||||
Gain on sales of properties. Gain on sales of properties is recognized when the minimum investment requirements have been met by the purchaser and title passes to the purchaser. | |||||||||
In 2013 the Company sold its interests in the Grove Isle and Monty’s properties and recognized gain on sale of discontinued operations of $16.4 million, net of income taxes and incentive fee to Adviser. | |||||||||
There were no sales of property in 2012. | |||||||||
Cash and cash Equivalents | ' | ||||||||
Cash and cash Equivalents. For purposes of the consolidated statements of cash flows, the Company considers all highly liquid investments with an original maturity of three months or less to be cash and cash equivalents. | |||||||||
Concentration of Credit Risk | ' | ||||||||
Concentration of Credit Risk. Financial instruments that potentially subject the Company to concentration of credit risk are cash and cash equivalent deposits in excess of federally insured limits, marketable securities, other receivables and notes and mortgages receivable. From time to time the Company may have bank deposits in excess of federally insured limits. The Company evaluates these excess deposits and transfers amounts to brokerage accounts and other banks to mitigate this exposure. As of December 31, 2013 we have approximately $560,000 of deposits in excess of federally insured limits. | |||||||||
The Company maintains cash and equivalents in bank accounts which at times, may exceed federally-insured limits. The Company has not experienced any losses in such accounts and believes that it is not exposed to any significant credit risk on cash. The federally insured limit for time deposits is presently $250,000. | |||||||||
Interest rate swap contract | ' | ||||||||
Interest rate swap contract. | |||||||||
The Company may or may not use interest rate swap contracts to reduce interest rate risk. The Company has no interest rate swap contracts outstanding as of December 31, 2013. The interest rate swap contract outstanding as of December 31, 2012 was satisfied in conjunction with the sale of the Monty’s property in March 2013. | |||||||||
Interest rate swap contracts designated and qualifying as cash flow hedges are reported at fair value. The gain or loss on the effective portion of the hedge initially is included as a component of other comprehensive income and is subsequently reclassified into earnings when interest on the related debt is paid, or upon partial or full settlement of the contract. | |||||||||
Other intangible assets | ' | ||||||||
Other intangible assets: | |||||||||
Deferred loan costs are amortized on a straight line basis over the life of the loan. This method approximates the effective interest rate method. | |||||||||
Non controlling Interest | ' | ||||||||
Non controlling Interest. Non controlling interest represents the noncontrolling or minority partners’ proportionate share of the equity of the Company’s majority owned subsidiaries. A summary for the years ended December 31, 2013 and 2012 is as follows: | |||||||||
2013 | 2012 | ||||||||
Non controlling interest balance at beginning of year | $ | 2,917,000 | $ | 2,818,000 | |||||
Non controlling partners’ interest in operating gains of consolidated subsidiaries | 4,000 | 94,000 | |||||||
Non controlling partners’ interest in gains of discontinued operations of consolidated subsidiaries | 93,000 | — | |||||||
Non controlling partners’ interest in sales of real estate | (1,750,000 | ) | — | ||||||
Reclassification of unrealized loss on interest rate swap agreement | (982,000 | ) | 5,000 | ||||||
Non controlling interest balance at end of year | $ | 282,000 | $ | 2,917,000 | |||||
Revenue recognition | ' | ||||||||
Revenue recognition. CII is the lessor of the Company’s principal executive offices and the Adviser corporate offices. This lease agreement is classified as an operating lease and accordingly all rental revenue is recognized as earned based upon total fixed cash flow over the initial term of the lease, using the straight line method. The lease agreement originally dated December 1, 1999, and was renewed in 2009. The lease provides for base rent of $48,000 per year payable in equal monthly installments during the five year term of the lease which expires on December 1, 2014. The Adviser, as tenant, pays utilities, certain maintenance and security expenses relating to the leased premises. | |||||||||
Impairment of long-lived assets | ' | ||||||||
Impairment of long-lived assets. The Company periodically reviews the carrying value of its properties and long-lived assets in relation to historical results, current business conditions and trends to identify potential situations in which the carrying value of assets may not be recoverable. If such reviews indicate that the carrying value of such assets may not be recoverable, the Company would estimate the undiscounted sum of the expected future cash flows of such assets or analyze the fair value of the asset, to determine if such sum or fair value is less than the carrying value of such assets to ascertain if a permanent impairment exists. If a permanent impairment exists, the Company would determine the fair value by using quoted market prices, if available, for such assets, or if quoted market prices are not available, the Company would discount the expected future cash flows of such assets and would adjust the carrying value of the asset to fair value. There were no impairment of long-lived assets in 2013 and 2012. | |||||||||
Share-based compensation | ' | ||||||||
Share-based compensation. | |||||||||
The Company accounts for share-based compensation in accordance with ASC Topic 718 “Share-Based Payments”. The Company has used the Black-Scholes option pricing model to estimate the fair value of stock options on the dates of grant. | |||||||||
Recent accounting pronouncements | ' | ||||||||
Recent accounting pronouncements. | |||||||||
In July 2013, the FASB issued guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. This guidance requires the unrecognized tax benefit to be presented in the financial statements as a reduction to a deferred tax asset. When a deferred tax asset is not available, or the asset is not intended to be used for this purpose, an entity should present the unrecognized tax benefit in the financial statements as a liability. The guidance will become effective for us at the beginning of our second quarter of fiscal 2014. We do not expect the adoption of this guidance will have a material impact on our consolidated financial statements. | |||||||||
In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” or ASU 2013-02. ASU 2013-02 implements the previously deferred requirement to disclose reclassification adjustments into and out of accumulated other comprehensive income in either a note or on the face of the financial statements. ASU 2013-02 was effective for the first interim or annual period beginning after December 15, 2012, and was applied prospectively. As we have not reclassified any balances into or out of accumulated other comprehensive income, the adoption of ASU 2013-02 did not have a material impact on our consolidated financial statements. | |||||||||
In January 2013, the FASB issued guidance clarifying the scope of disclosure requirements for offsetting assets and liabilities. The amended guidance limits the scope of balance sheet offsetting disclosures to derivatives, repurchase agreements, and securities lending transactions to the extent that they are offset in the financial statements or subject to an enforceable master netting arrangement or similar agreement. The guidance will become effective for us at the beginning of our first quarter of fiscal 2014. We do not expect the adoption of this guidance will have a material impact on our consolidated financial statements. |
DESCRIPTION_OF_BUSINESS_AND_SU2
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Schedule of summary of non controlling interest | ' | ||||||||
2013 | 2012 | ||||||||
Non controlling interest balance at beginning of year | $ | 2,917,000 | $ | 2,818,000 | |||||
Non controlling partners’ interest in operating gains of consolidated subsidiaries | 4,000 | 94,000 | |||||||
Non controlling partners’ interest in gains of discontinued operations of consolidated subsidiaries | 93,000 | — | |||||||
Non controlling partners’ interest in sales of real estate | (1,750,000 | ) | — | ||||||
Reclassification of unrealized loss on interest rate swap agreement | (982,000 | ) | 5,000 | ||||||
Non controlling interest balance at end of year | $ | 282,000 | $ | 2,917,000 |
INVESTMENT_PROPERTIES_Tables
INVESTMENT PROPERTIES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||||
Schedule of components of the company's investment properties and the related accumulated depreciation information | ' | ||||||||||||
31-Dec-13 | |||||||||||||
Accumulated | |||||||||||||
Cost | Depreciation | Net | |||||||||||
Office building and other commercial property: | |||||||||||||
Corporate Office - (Coconut Grove, FL) – Building | $ | 652,198 | $ | 278,982 | $ | 373,216 | |||||||
Corporate Office – (Coconut Grove, FL) – Land | 325,000 | — | 325,000 | ||||||||||
Other (Montpelier, Vermont) – Building | 52,000 | 52,000 | — | ||||||||||
Other (Montpelier, Vermont) - Land and improvements (5.4 acres) | 111,689 | — | 111,689 | ||||||||||
$ | 1,140,887 | $ | 330,982 | $ | 809,905 | ||||||||
31-Dec-12 | |||||||||||||
Accumulated | |||||||||||||
Cost | Depreciation | Net | |||||||||||
Office building and other commercial property: | |||||||||||||
Corporate Office - (Coconut Grove, FL) – Building | $ | 652,198 | $ | 262,826 | $ | 398,372 | |||||||
Corporate Office – (Coconut Grove, FL) – Land | 325,000 | — | 325,000 | ||||||||||
Other (Montpelier, Vermont) – Building | 52,000 | 52,000 | — | ||||||||||
Other (Montpelier, Vermont) - Land and improvements (5.4 acres) | 111,689 | — | 111,689 | ||||||||||
Totals | $ | 1,140,887 | $ | 314,826 | $ | 826,061 |
INVESTMENTS_IN_MARKETABLE_SECU1
INVESTMENTS IN MARKETABLE SECURITIES (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||
Schedule of marketable securities | ' | ||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||||
Cost | Fair | Unrealized | Cost | Fair | Unrealized | ||||||||||||||||||||
Description | Basis | Value | Gain (loss) | Basis | Value | Gain (loss) | |||||||||||||||||||
Real Estate Investment Trusts | $ | 345,000 | $ | 351,000 | $ | 6,000 | $ | 174,000 | $ | 122,000 | ($ | 52,000 | ) | ||||||||||||
Mutual Funds, ETF & other | 2,030,000 | 2,144,000 | 114,000 | 760,000 | 817,000 | 57,000 | |||||||||||||||||||
Other Equity Securities | 962,000 | 1,163,000 | 201,000 | 570,000 | 557,000 | (13,000 | ) | ||||||||||||||||||
Total Equity Securities | 3,337,000 | 3,658,000 | 321,000 | 1,504,000 | 1,496,000 | (8,000 | ) | ||||||||||||||||||
Debt Securities | 1,088,000 | 1,065,000 | (23,000 | ) | 621,000 | 662,000 | 41,000 | ||||||||||||||||||
Total | $ | 4,425,000 | $ | 4,723,000 | $ | 298,000 | $ | 2,125,000 | $ | 2,158,000 | $ | 33,000 | |||||||||||||
Schedule of debt securities | ' | ||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
2019 – 2023 | $ | 25,000 | $ | 26,000 | |||||||||||||||||||||
2024 – thereafter | 1,063,000 | 1,039,000 | |||||||||||||||||||||||
$ | 1,088,000 | $ | 1,065,000 | ||||||||||||||||||||||
Schedule of summary of net gain from investments in marketable securities | ' | ||||||||||||||||||||||||
Description | 2013 | 2012 | |||||||||||||||||||||||
Net realized (loss) gain from sales of marketable securities | ($ | 119,000 | ) | $ | 35,000 | ||||||||||||||||||||
Net unrealized gain from marketable securities | 263,000 | 86,000 | |||||||||||||||||||||||
Total net gain from investments in marketable securities | $ | 144,000 | $ | 121,000 |
OTHER_INVESTMENTS_Tables
OTHER INVESTMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Investments, All Other Investments [Abstract] | ' | ||||||||||||||||||||||||
Schedule of summary of company's other investments | ' | ||||||||||||||||||||||||
Carrying values as of December 31, | |||||||||||||||||||||||||
Investment Focus | 2013 | 2012 | |||||||||||||||||||||||
Venture capital funds – technology and communications | $ | 473,000 | $ | 514,000 | |||||||||||||||||||||
Venture capital funds – diversified businesses | 1,098,000 | 1,337,000 | |||||||||||||||||||||||
Real estate and related | 1,409,000 | 1,453,000 | |||||||||||||||||||||||
Other | 325,000 | 300,000 | |||||||||||||||||||||||
Totals | $ | 3,304,000 | $ | 3,604,000 | |||||||||||||||||||||
Schedule of summary of net income from other investments | ' | ||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Income from investment in 49% owned affiliate (a) | $ | 94,000 | $ | 57,000 | |||||||||||||||||||||
Real estate and related (b) | 40,000 | 223,000 | |||||||||||||||||||||||
Venture capital funds – diversified businesses (c) | 104,000 | 121,000 | |||||||||||||||||||||||
Other | 10,000 | — | |||||||||||||||||||||||
Total net income from other investments | $ | 248,000 | $ | 401,000 | |||||||||||||||||||||
(a) This gain represents income from the Company’s 49% owned affiliate, T.G.I.F. Texas, Inc. (“TGIF”). The increase in income is due to increased net income of TGIF as a result of higher investment income. In 2013 and 2012 TGIF declared and paid a cash dividend, the Company’s portion of which was approximately $196,000 each year. These dividends were recorded as reduction in the investment carrying value as required under the equity method of accounting for investments. | |||||||||||||||||||||||||
(b) The gain in 2013 and 2012 consists primarily of cash distributions from an investment in real estate partnership which distributed proceeds from sales of its real estate. | |||||||||||||||||||||||||
(c) The gain in 2013 and 2012 consists of cash distributions from various investments in partnerships owning diversified businesses which made cash and stock distributions from the sale or refinancing of operating companies and/or distributions from operating activities. | |||||||||||||||||||||||||
Schedule of fair value of separate accounts by major category of investment | ' | ||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Technology and related | ($ | 50,000 | ) | — | |||||||||||||||||||||
Real estate and related | — | ($ | 28,000 | ) | |||||||||||||||||||||
Total other than temporary impairment loss from other investments | ($ | 50,000 | ) | ($ | 28,000 | ) | |||||||||||||||||||
Schedule of unrealized loss on investments | ' | ||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||
Less than 12 Months | Greater than 12 Months | Total | |||||||||||||||||||||||
Investment Description | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||
Loss | Loss | Loss | |||||||||||||||||||||||
Partnerships owning investments in technology related industries | — | — | $ | 346,000 | $ | (76,000 | ) | $ | 346,000 | $ | (76,000 | ) | |||||||||||||
Partnerships owning real estate and related investments | — | — | 246,000 | (11,000 | ) | 246,000 | (11,000 | ) | |||||||||||||||||
Total | — | — | $ | 592,000 | $ | (87,000 | ) | $ | 592,000 | $ | (87,000 | ) | |||||||||||||
As of December 31, 2012 | |||||||||||||||||||||||||
Less than 12 Months | Greater than 12 Months | Total | |||||||||||||||||||||||
Investment Description | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||
Loss | Loss | Loss | |||||||||||||||||||||||
Partnerships owning investments in technology related industries | $ | 11,000 | $ | (10,000 | ) | $ | 374,000 | $ | (69,000 | ) | $ | 384,000 | $ | (79,000 | ) | ||||||||||
Partnerships owning diversified businesses | — | — | 241,000 | (5,000 | ) | 241,000 | (5,000 | ) | |||||||||||||||||
Partnerships owning real estate and related investments | — | — | 231,000 | (49,000 | ) | 231,000 | (49,000 | ) | |||||||||||||||||
Total | $ | 11,000 | $ | (10,000 | ) | $ | 846,000 | $ | (123,000 | ) | $ | 856,000 | $ | (133,000 | ) | ||||||||||
FAIR_VALUE_INSTRUMENTS_Tables
FAIR VALUE INSTRUMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||||||
Fair value measurement at reporting date using | |||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | ||||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | ||||||||||||||||||
Description | 2013 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
Assets: | |||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Time deposits | $ | 55,000 | — | $ | 55,000 | — | |||||||||||||||
Money market mutual funds | 1,257,000 | $ | 1,257,000 | — | — | ||||||||||||||||
U.S. T-bills | 15,305,000 | $ | 15,305,000 | — | — | ||||||||||||||||
Marketable securities: | |||||||||||||||||||||
Corporate debt securities | 1,065,000 | — | 1,065,000 | — | |||||||||||||||||
Marketable equity securities | 3,658,000 | 3,658,000 | — | — | |||||||||||||||||
Total assets | $ | 21,340,000 | $ | 20,220,000 | $ | 1,120,000 | $ | — | |||||||||||||
Fair value measurement at reporting date using | |||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | ||||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | ||||||||||||||||||
Description | 2012 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
Assets: | |||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||
Time deposits | $ | 54,000 | — | $ | 54,000 | — | |||||||||||||||
Money market mutual funds | 783,000 | $ | 783,000 | — | — | ||||||||||||||||
Marketable securities: | |||||||||||||||||||||
Corporate debt securities | 662,000 | — | 662,000 | — | |||||||||||||||||
Marketable equity securities | 1,497,000 | 1,497,000 | — | — | |||||||||||||||||
Total assets | $ | 2,996,000 | $ | 2,280,000 | $ | 716,000 | $ | — | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest rate swap contract | 1,965,000 | — | 1,965,000 | — | |||||||||||||||||
Total liabilities | $ | 1,965,000 | — | $ | 1,965,000 | — | |||||||||||||||
Schedule of assets and liabilities measured at fair value on a nonrecurring basis | ' | ||||||||||||||||||||
Fair value measurement at reporting date using | Total | ||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | losses for | |||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | year ended | |||||||||||||||||
Description | 2013 | (Level 1) | (Level 2) (a) | (Level 3) (b) | 12/31/13 | ||||||||||||||||
Assets: | |||||||||||||||||||||
Other investments by investment focus: | |||||||||||||||||||||
Technology & Communication | $ | 472,000 | $ | — | $ | 472,000 | $ | — | $ | 50,000 | |||||||||||
Diversified businesses | 1,098,000 | — | 1,098,000 | — | — | ||||||||||||||||
Real estate and related | 1,409,000 | — | 462,000 | 947,000 | — | ||||||||||||||||
Other | 325,000 | — | — | 325,000 | — | ||||||||||||||||
Total assets | $ | 3,304,000 | $ | — | $ | 2,032,000 | $ | 1,272,000 | $ | 50,000 | |||||||||||
Fair value measurement at reporting date using | Total | ||||||||||||||||||||
Total | Quoted Prices in Active | Significant Other | Significant | losses for | |||||||||||||||||
December 31, | Markets for Identical Assets | Observable Inputs | Unobservable Inputs | year ended | |||||||||||||||||
Description | 2012 | (Level 1) | (Level 2) (a) | (Level 3) (b) | 12/31/12 | ||||||||||||||||
Assets: | |||||||||||||||||||||
Other investments by investment focus: | |||||||||||||||||||||
Technology & Communication | $ | 514,000 | $ | — | $ | 514,000 | $ | — | $ | — | |||||||||||
Diversified businesses | 1,337,000 | — | 1,337,000 | — | — | ||||||||||||||||
Real estate and related | 1,453,000 | — | 500,000 | 953,000 | 28,000 | ||||||||||||||||
Other | 300,000 | — | — | 300,000 | — | ||||||||||||||||
$ | 3,604,000 | $ | — | $ | 2,351,000 | $ | 1,253,000 | $ | 28,000 | ||||||||||||
Goodwill (Bayshore) | 5,628,000 | 5,628,000 | — | ||||||||||||||||||
Total assets | $ | 9,232,000 | $ | — | $ | 2,351,000 | $ | 6,881,000 | $ | 28,000 | |||||||||||
(a) | Other investments measured at fair value on a non recurring basis include investments in certain entities that calculate net asset value per share (or its equivalent such as member units or an ownership interest in partners’ capital to which a proportionate share of net assets is attributed, “NAV”). This class primarily consists of private equity funds that have varying investment focus. These investments can never be redeemed with the funds. Instead, the nature of the investments in this class is that distributions are received through the liquidation of the underlying assets of the fund. If these investments were held it is estimated that the underlying assets of the fund would be liquidated over 5 to 10 years. As of December 31, 2013, it is probable that all of the investments in this class will be sold at an amount different from the NAV of the Company’s ownership interest in partners’ capital. Therefore, the fair values of the investments in this class have been estimated using recent observable information such as audited financial statements and/or statements of partners’ capital obtained directly from investees on a quarterly or other regular basis. During the year ended December 31, 2013, the Company received distributions of approximately $511,000 from this type of investment primarily from investments in diversified businesses and real estate. During the year ended December 31, 2013 the Company made contributions totaling $111,000 in this type of investment. As of December 31, 2013, the amount of the Company’s unfunded commitments related to the aforementioned investments is approximately $912,000. | ||||||||||||||||||||
(b) | Other investments above which are measured on a nonrecurring basis using Level 3 unobservable inputs consist of investments primarily in commercial real estate in Florida through private partnerships and two investments in the stock of private banks in Florida and Texas. The Company does not know when it will have the ability to redeem the investments and has categorized them as a Level 3 fair value measurement. The Level 3 real estate and related investments of approximately $947,000 include one investment in a commercial building located near the Company’s offices purchased in 2005 with a carrying value as of December 31, 2013 of $724,000. These investments are measured using primarily inputs provided by the managing member of the partnerships with whom the Company has done similar transactions in the past and is well known to management. The fair values of these real estate investments have been estimated using the net asset value of the Company’s ownership interest in partners’ capital. The investments in private bank stocks include a South Florida community bank in the amount of $25,000 made in December 2013, a private bank and trust located in Coral Gables, Florida in the amount of $250,000 made in 2009, and a $50,000 investment in a bank located in El Campo, Texas made in 2010. The fair values of these bank stock investments have been estimated using the cost method less distributions received and other than temporary impairments. This investment is valued using inputs provided by the management of the banks. | ||||||||||||||||||||
Schedule of roll-forward of the investments classified within level 3 | ' | ||||||||||||||||||||
Level 3 Investments: | |||||||||||||||||||||
Balance at January 1, 2013 | $ | 1,253,000 | |||||||||||||||||||
Investment in private community bank | 25,000 | ||||||||||||||||||||
Distributions from Level 3 investments | (6,000 | ) | |||||||||||||||||||
Transfers from Level 2 | — | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 1,272,000 |
LOANS_NOTES_AND_OTHER_RECEIVAB1
LOANS, NOTES AND OTHER RECEIVABLES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Receivables [Abstract] | ' | ||||||||
Schedule of loans, notes and other receivables | ' | ||||||||
As of December 31, | |||||||||
Description | 2013 | 2012 | |||||||
Promissory note and accrued interest due from purchaser of Grove Isle (a) | $ | 1,034,000 | $ | — | |||||
Promissory note and accrued interest due from individual (b) | 214,000 | 208,000 | |||||||
Other | 160,000 | 88,000 | |||||||
Total loans, notes and other receivables | $ | 1,408,000 | $ | 296,000 | |||||
(a) | In February 2013, the Company sold its interest in Grove Isle and related entities and received a $1 million promissory note from the purchaser as part of the purchase proceeds. This note bears interest of 4% per annum and will mature upon the earlier of ten years (February 25, 2023) or when any expansion or development (as defined in the purchase agreement) occurs at Grove Isle. | ||||||||
(b) | In December 2007 the Company loaned $400,000 to a local real estate developer who is well known to the Company and which loan is secured by numerous real estate interests. In 2010 $197,000 of principal payments were received. In February 2014, the loan was modified and the maturity date was extended to February 1, 2015. The loan modification requires the borrower to keep current on monthly interest only payments at same annual rate of 9% and pay past due interest as of December 31, 2013 of approximately $9,000 in four monthly installments beginning February 1, 2014. |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of components of income before income taxes and the effect of adjustments to tax computed at the federal statutory rate | ' | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Income (loss) before income taxes | $ | 17,684,000 | ($ | 60,000 | ) | ||||||||||||
Computed tax at federal statutory rate of 34% | $ | 6,012,000 | ($ | 20,000 | ) | ||||||||||||
State taxes at 5.5% | 973,000 | (4,000 | ) | ||||||||||||||
REIT capital gains dividend paid | (1,645,000 | ) | — | ||||||||||||||
Utilization of net operating loss carryover | (2,408,000 | ) | — | ||||||||||||||
REIT related adjustments | (407,000 | ) | (21,000 | ) | |||||||||||||
Unrealized gain from marketable securities for book not tax | (26,000 | ) | (31,000 | ) | |||||||||||||
Other items, net | 9,000 | 10,000 | |||||||||||||||
Tax provision for (benefit from) income taxes | $ | 2,508,000 | ($ | 66,000 | ) | ||||||||||||
Schedule of benefit from income taxes in the consolidated statements of comprehensive income | ' | ||||||||||||||||
Year ended December 31, | 2013 | 2012 | |||||||||||||||
Current: | |||||||||||||||||
Federal | 1,347,000 | — | |||||||||||||||
State | 246,000 | — | |||||||||||||||
1,593,000 | — | ||||||||||||||||
Deferred: | |||||||||||||||||
Federal | $ | 905,000 | ($ | 60,000 | ) | ||||||||||||
State | 10,000 | (6,000 | ) | ||||||||||||||
915,000 | (66,000 | ) | |||||||||||||||
Total | $ | 2,508,000 | ($ | 66,000 | ) | ||||||||||||
Schedule of components of the deferred tax assets and liabilities | ' | ||||||||||||||||
As of December 31, 2013 | As of December 31, 2012 | ||||||||||||||||
Deferred tax | Deferred tax | ||||||||||||||||
Assets | Liabilities | Assets | Liabilities | ||||||||||||||
Net operating loss carry forward | $ | 110,000 | $ | 471,000 | |||||||||||||
Excess of book basis of 49% owned corporation over tax basis | $ | 424,000 | $ | 418,000 | |||||||||||||
Excess of tax basis over book basis of assets associated with real estate interests held for sale | — | 286,000 | |||||||||||||||
Unrealized gain on marketable securities | 105,000 | 32,000 | |||||||||||||||
Excess of tax basis over book basis of other investments | 306,000 | 104,000 | 508,000 | 117,000 | |||||||||||||
Totals | $ | 416,000 | $ | 633,000 | $ | 1,265,000 | $ | 567,000 |
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Schedule of stock option plan | ' | ||||||||||||||||
As of December 31, 2013 | As of December 31, 2012 | ||||||||||||||||
Shares | Weighted | Shares | Weighted | ||||||||||||||
Average Exercise | Average Exercise | ||||||||||||||||
Price | Price | ||||||||||||||||
Outstanding at the beginning of the period | 102,100 | $ | 4.99 | 102,100 | $ | 4.99 | |||||||||||
Granted | 17,700 | $ | 18.35 | — | — | ||||||||||||
Exercised | (97,100 | ) | $ | 5 | — | — | |||||||||||
Expired | — | — | — | — | |||||||||||||
Forfeited | — | — | — | — | |||||||||||||
Outstanding at the end of the period | 22,700 | $ | 15.37 | 102,100 | $ | 4.99 | |||||||||||
Options exercisable at period-end | 22,700 | $ | 15.37 | 102,100 | $ | 4.99 | |||||||||||
Weighted average fair value of options granted during the period | 17,700 | $ | 18.35 | 102,100 | — | ||||||||||||
Aggregate intrinsic value of outstanding and exercisable options at the end of the period | 22,700 | $ | 2.63 | — | |||||||||||||
Schedule of outstanding and exercisable options | ' | ||||||||||||||||
Number Outstanding | Weighted Average | ||||||||||||||||
and exercisable | Strike Prices | ||||||||||||||||
5,000 | $ | 4.8 | |||||||||||||||
9,500 | $ | 17.84 | |||||||||||||||
7,500 | $ | 18.89 | |||||||||||||||
700 | $ | 19.5 | |||||||||||||||
22,700 | $ | 15.37 |
BASIC_AND_DILUTED_EARNINGS_PER1
BASIC AND DILUTED EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Earnings Per Share [Abstract] | ' | ||||
Schedule of basic and diluted earnings per share | ' | ||||
For the year ended | |||||
Basic: | 31-Dec-13 | ||||
Net income | $ | 15,175,987 | |||
Weighted average shares outstanding | 1,004,599 | ||||
Basic earnings per share | $ | 15.11 | |||
For the year ended | |||||
Diluted: | 31-Dec-13 | ||||
Net income | $ | 15,175,987 | |||
Weighted average shares outstanding | 1,004,599 | ||||
Plus incremental shares from assumed conversion | 1,468 | ||||
Diluted weighted average common shares | 1,006,067 | ||||
Diluted earnings per share | $ | 15.08 |
DISCONTINUED_OPERATIONS_AND_RE1
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
Schedule of results of operations for the real estate interests, discontinued operations | ' | ||||||||
For the year | |||||||||
ended December 31, | |||||||||
Revenues: | 2013 | 2012 | |||||||
Rental and related revenue | $ | 171,000 | $ | 1,802,000 | |||||
Food & beverage sales | 1,950,000 | $ | 6,179,000 | ||||||
Marina revenue | 382,000 | $ | 1,657,000 | ||||||
Other | — | $ | 430,000 | ||||||
Total revenue | $ | 2,503,000 | $ | 10,068,000 | |||||
Expenses: | |||||||||
Rental operating expenses | 97,000 | 550,000 | |||||||
Food & beverage operation expenses | 1,430,000 | 5,150,000 | |||||||
Marina expenses | 178,000 | 959,000 | |||||||
Professional fees | 53,000 | 227,000 | |||||||
Interest expense | 190,000 | 769,000 | |||||||
Depreciation, amortization and other expenses | 199,000 | 1,291,000 | |||||||
Total expenses | $ | 2,147,000 | $ | 8,946,000 | |||||
Less: noncontrolling interest sold | (212,000 | ) | — | ||||||
Gain on sale of discontinued operations, net of incentive fee | 18,803,000 | — | |||||||
Provision for income tax expense on gain on sale of discontinued operations | (2,508,000 | ) | — | ||||||
Income from discontinued operations | $ | 16,439,000 | $ | 1,122,000 | |||||
Schedule of major classes of assets and liabilities associated with the real estate interest held for sale | ' | ||||||||
31-Dec-13 | 31-Dec-12 | ||||||||
Grove Isle Spa remaining interest | $ | — | $ | 1,434,000 | |||||
Grove Isle land, hotel, club building and marina | — | 1,801,000 | |||||||
Grove Isle other assets | — | 222,000 | |||||||
Bayshore Restaurant, marina and retail offices | — | 7,822,000 | |||||||
Bayshore goodwill | — | 5,629,000 | |||||||
Bayshore other receivables | — | 206,000 | |||||||
Bayshore other assets | — | 985,000 | |||||||
Assets associated with real estate interests held for sale | $ | — | $ | 18,099,000 | |||||
Grove Isle mortgage note payable | $ | — | $ | 2,696,000 | |||||
Grove Isle accrued and other liabilities | — | 23,000 | |||||||
Bayshore mortgage note payable | — | 8,190,000 | |||||||
Bayshore interest rate swap contract payable | — | 1,965,000 | |||||||
Bayshore accrued and other liabilities | — | 510,000 | |||||||
Obligations associated with real estate interests held for sale | $ | — | $ | 13,384,000 |
DESCRIPTION_OF_BUSINESS_AND_SU3
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Summary of non-Controlling Interest (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ' | ' |
Non controlling interest balance at beginning of year | $2,917,072 | ' |
Non controlling partners' interest in operating gains of consolidated subsidiaries | 96,919 | 94,100 |
Reclassification of unrealized loss on interest rate swap agreement | 982,500 | 5,000 |
Non controlling interest balance at end of year | 281,804 | 2,917,072 |
Noncontrolling Interest | ' | ' |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ' | ' |
Non controlling interest balance at beginning of year | 2,917,000 | 2,818,000 |
Non controlling partners' interest in operating gains of consolidated subsidiaries | 4,000 | 94,000 |
Non controlling partners' interest in gains of discontinued operations of consolidated subsidiaries | 93,000 | ' |
Non controlling partners' interest in sales of real estate | -1,750,000 | ' |
Reclassification of unrealized loss on interest rate swap agreement | -982,000 | 5,000 |
Non controlling interest balance at end of year | $282,000 | $2,917,000 |
DESCRIPTION_OF_BUSINESS_AND_SU4
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 49.00% | ' |
Repayment of note | $311,488 | $830,775 |
Period under income tax examination | '3 years | ' |
Estimated useful life corporate offices | '39 years 6 months | ' |
Depreciation expense for corporate offices | 16,000 | 16,000 |
Comprehensive income consisted of unrealized gain from interest rate swap contract | 982,500 | 5,000 |
Stock options outstanding (in shares) | 22,700 | 102,100 |
Interests in Grove Isle and Monty's properties and recognized gain on sale of discontinued operations | 16,400,000 | ' |
Deposits in excess of federally insured limits | 560,000 | ' |
Federally insured limit for time deposits | 250,000 | ' |
Base rent per year payable | 48,000 | ' |
Term of lease | '5 years | ' |
HMG/Courtland Properties, Inc. | Courtland Investments, Inc. | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 95.00% | ' |
HMG/Courtland Properties, Inc. | South Bayshore Associates | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 75.00% | 75.00% |
Masscap Investments Company, Inc. | Courtland Investments, Inc. | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 5.00% | ' |
Transco Realty Trust | HMG/Courtland Properties, Inc. | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 45.00% | ' |
Transco Realty Trust | South Bayshore Associates | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | ' | 45.00% |
Repayment of note | $300,000 | ' |
Courtland Investments, Inc. | Courtland Houston, Inc. | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 80.00% | ' |
Sole Employee | Courtland Houston, Inc. | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 20.00% | ' |
Baleen Associates, Inc. | Partnership, Executive Suite Rental Business | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 50.00% | ' |
Montpelier, VT | River Corp 260 | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Equity method investment, ownership percentage | 70.00% | ' |
Montpelier, VT | Acres | ' | ' |
Accounting Policies [Line Items] | ' | ' |
Area of vacant commercial building | '5.4 | ' |
INVESTMENT_PROPERTIES_Summary_
INVESTMENT PROPERTIES - Summary of Investment Properties with Accumulated Depreciation (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | ' | ' |
Net | $809,905 | $826,061 |
Corporate Office | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Accumulated Depreciation | 278,982 | 262,826 |
Corporate Office | Gross | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 652,198 | 652,198 |
Corporate Office | Net | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net | 373,216 | 398,372 |
Corporate Office Land | Gross | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 325,000 | 325,000 |
Corporate Office Land | Net | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net | 325,000 | 325,000 |
Montpelier, VT | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Accumulated Depreciation | 52,000 | 52,000 |
Montpelier, VT | Gross | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 52,000 | 52,000 |
Montpelier Land | Gross | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 111,689 | 111,689 |
Montpelier Land | Net | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net | 111,689 | 111,689 |
Total Office Building and Other Commercial Property | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Accumulated Depreciation | 330,982 | 314,826 |
Total Office Building and Other Commercial Property | Gross | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 1,140,887 | 1,140,887 |
Total Office Building and Other Commercial Property | Net | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Net | $809,905 | $826,061 |
INVESTMENTS_IN_MARKETABLE_SECU2
INVESTMENTS IN MARKETABLE SECURITIES - Summary of Investments in marketable securities (Details 1) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | $4,722,597 | $2,158,330 |
Real Estate Investment Trusts | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 345,000 | 174,000 |
Fair Value | 351,000 | 122,000 |
Unrealized Gain (loss) | 6,000 | -52,000 |
Mutual Funds, ETF & other | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 2,030,000 | 760,000 |
Fair Value | 2,144,000 | 817,000 |
Unrealized Gain (loss) | 114,000 | 57,000 |
Other Equity Securities | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 962,000 | 570,000 |
Fair Value | 1,163,000 | 557,000 |
Unrealized Gain (loss) | 201,000 | -13,000 |
Total Equity Securities | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 3,337,000 | 1,504,000 |
Fair Value | 3,658,000 | 1,496,000 |
Unrealized Gain (loss) | 321,000 | -8,000 |
Debt Securities | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 1,088,000 | 621,000 |
Fair Value | 1,065,000 | 662,000 |
Unrealized Gain (loss) | -23,000 | 41,000 |
Total | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost Basis | 4,425,000 | 2,125,000 |
Fair Value | 4,723,000 | 2,158,000 |
Unrealized Gain (loss) | $298,000 | $33,000 |
INVESTMENTS_IN_MARKETABLE_SECU3
INVESTMENTS IN MARKETABLE SECURITIES - Summary of maturities of debt securities (Details 2) (USD $) | Dec. 31, 2013 |
Investments, Debt and Equity Securities [Abstract] | ' |
2019 - 2023, Cost | $25,000 |
2019 - 2023, Fair Value | 26,000 |
2024 - thereafter, Cost | 1,063,000 |
2024 - thereafter, Fair Value | 1,039,000 |
Total held to maturity securities, Cost | 1,088,000 |
Total held to maturity securities, Fair Value | $1,065,000 |
INVESTMENTS_IN_MARKETABLE_SECU4
INVESTMENTS IN MARKETABLE SECURITIES - Summary of net gains from Investments in marketable securities (Details 3) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Net realized (loss) gain from sales of marketable securities | $144,219 | $120,696 |
Total | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Net realized (loss) gain from sales of marketable securities | -119,000 | 35,000 |
Net unrealized gain from marketable securities | 263,000 | 86,000 |
Total net gain from investments in marketable securities | $144,000 | $121,000 |
INVESTMENTS_IN_MARKETABLE_SECU5
INVESTMENTS IN MARKETABLE SECURITIES (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Investments, Debt and Equity Securities [Abstract] | ' | ' |
Net unrealized gains on trading securities | $263,000 | $86,000 |
Trading securities, realized gain | 57,000 | 152,000 |
Trading securities, realized loss | $176,000 | $117,000 |
OTHER_INVESTMENTS_Summary_of_o
OTHER INVESTMENTS - Summary of other investments (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Investment Focus | $3,304,000 | $3,604,000 |
Venture capital funds - technology and communications | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Investment Focus | 473,000 | 514,000 |
Venture capital funds - diversified businesses | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Investment Focus | 1,098,000 | 1,337,000 |
Real estate and related | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Investment Focus | 1,409,000 | 1,453,000 |
Other | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Investment Focus | $325,000 | $300,000 |
OTHER_INVESTMENTS_Summary_of_i
OTHER INVESTMENTS - Summary of income from Other Investments (Details 1) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | |||
Schedule of Investments [Line Items] | ' | ' | ||
Income from Cost Method Investments | $248,000 | $401,000 | ||
T.G.I.F. Texas, Inc. | ' | ' | ||
Schedule of Investments [Line Items] | ' | ' | ||
Income from Cost Method Investments | 94,000 | [1] | 57,000 | [1] |
Real estate and related | ' | ' | ||
Schedule of Investments [Line Items] | ' | ' | ||
Income from Cost Method Investments | 40,000 | [2] | 223,000 | [2] |
Venture capital funds - diversified businesses | ' | ' | ||
Schedule of Investments [Line Items] | ' | ' | ||
Income from Cost Method Investments | 104,000 | [3] | 121,000 | [3] |
Other | ' | ' | ||
Schedule of Investments [Line Items] | ' | ' | ||
Income from Cost Method Investments | $10,000 | ' | ||
[1] | This gain represents income from the Company's 49% owned affiliate, T.G.I.F. Texas, Inc. ("TGIF"). The increase in income is due to increased net income of TGIF as a result of higher investment income. In 2013 and 2012 TGIF declared and paid a cash dividend, the Company's portion of which was approximately $196,000 each year. These dividends were recorded as reduction in the investment carrying value as required under the equity method of accounting for investments. | |||
[2] | The gain in 2013 and 2012 consists primarily of cash distributions from an investment in real estate partnership which distributed proceeds from sales of its real estate. | |||
[3] | The gain in 2013 and 2012 consists of cash distributions from various investments in partnerships owning diversified businesses which made cash and stock distributions from the sale or refinancing of operating companies and/or distributions from operating activities. |
OTHER_INVESTMENTS_Summary_of_v
OTHER INVESTMENTS - Summary of valuation losses in other investments (Details 2) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Investments [Line Items] | ' | ' |
Other than temporary impairment loss from other investments | $50,000 | $27,666 |
Technology and related | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Other than temporary impairment loss from other investments | -50,000 | ' |
Real estate and related | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Other than temporary impairment loss from other investments | ' | -28,000 |
Total | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Other than temporary impairment loss from other investments | ($50,000) | ($28,000) |
OTHER_INVESTMENTS_Summary_of_f
OTHER INVESTMENTS - Summary of fair value and unrealized losses on other investments (Details 3) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | $592,000 | $856,000 |
Unrealized Loss | -87,000 | -133,000 |
Venture capital funds - technology and communications | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | 346,000 | 384,000 |
Unrealized Loss | -76,000 | -79,000 |
Venture capital funds - diversified businesses | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | ' | 241,000 |
Unrealized Loss | ' | -5,000 |
Real estate and related | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | 246,000 | 231,000 |
Unrealized Loss | -11,000 | -49,000 |
Position of Less than 12 Months | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | ' | 11,000 |
Unrealized Loss | ' | -10,000 |
Position of Less than 12 Months | Venture capital funds - technology and communications | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | ' | 11,000 |
Unrealized Loss | ' | -10,000 |
Position of Greater than 12 Months | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | 592,000 | 846,000 |
Unrealized Loss | -87,000 | -123,000 |
Position of Greater than 12 Months | Venture capital funds - technology and communications | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | 346,000 | 374,000 |
Unrealized Loss | -76,000 | -69,000 |
Position of Greater than 12 Months | Venture capital funds - diversified businesses | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | ' | 241,000 |
Unrealized Loss | ' | -5,000 |
Position of Greater than 12 Months | Real estate and related | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Fair Value | 246,000 | 231,000 |
Unrealized Loss | ($11,000) | ($49,000) |
OTHER_INVESTMENTS_Detail_Textu
OTHER INVESTMENTS (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Schedule of Investments [Line Items] | ' | ' |
Cost-method investments, description | ' | ' |
30 | ||
Cost Method Investments | $3,304,000 | $3,604,000 |
Commitments and contingencies | ' | ' |
Other than temporary impairment loss from other investments | 50,000 | 27,666 |
Contributions | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Payments for (Proceeds from) Investments | 136,000 | 244,000 |
Distributions | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Impaired Financing Receivable, Recorded Investment | 516,000 | 662,000 |
Venture capital funds - technology and communications | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Cost Method Investments | 473,000 | 514,000 |
Other than temporary impairment loss from other investments | 50,000 | ' |
Partnership Operating and Leasing Executive Suites, Miami, FL | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Other than temporary impairment loss from other investments | ' | 28,000 |
Other Investments | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Commitments and contingencies | 912,000 | ' |
T.G.I.F. Texas, Inc. | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Investment income, dividend | $196,000 | $196,000 |
HMG/Courtland Properties, Inc. | Other Investments | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | 3.00% | ' |
HMG/Courtland Properties, Inc. | T.G.I.F. Texas, Inc. | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | 49.00% | 49.00% |
FAIR_VALUE_INSTRUMENTS_Summary
FAIR VALUE INSTRUMENTS - Summary of fair value measurements of financial Instruments on a recurring basis (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Total | ' | ' |
Cash equivalents: | ' | ' |
Time deposits | $55,000 | $54,000 |
Money market mutual funds | 1,257,000 | 783,000 |
U.S. T-bills | 15,305,000 | ' |
Marketable securities: | ' | ' |
Corporate debt securities | 1,065,000 | 662,000 |
Marketable equity securities | 3,658,000 | 1,497,000 |
Total assets | 21,340,000 | 2,996,000 |
Liabilities: | ' | ' |
Interest rate swap contract | ' | 1,965,000 |
Total liabilities | ' | 1,965,000 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Cash equivalents: | ' | ' |
Money market mutual funds | 1,257,000 | 783,000 |
U.S. T-bills | 15,305,000 | ' |
Marketable securities: | ' | ' |
Marketable equity securities | 3,658,000 | 1,497,000 |
Total assets | 20,220,000 | 2,280,000 |
Significant Other Observable Inputs (Level 2) | ' | ' |
Cash equivalents: | ' | ' |
Time deposits | 55,000 | 54,000 |
Marketable securities: | ' | ' |
Corporate debt securities | 1,065,000 | 662,000 |
Total assets | 1,120,000 | 716,000 |
Liabilities: | ' | ' |
Interest rate swap contract | ' | 1,965,000 |
Total liabilities | ' | $1,965,000 |
FAIR_VALUE_INSTRUMENTS_Summary1
FAIR VALUE INSTRUMENTS - Summary of fair value measurement of investments on a non-recurring basis (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
Total | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | $3,304,000 | $3,604,000 | ||
Goodwill (Bayshore) | ' | 5,628,000 | ||
Total assets | ' | 9,232,000 | ||
Total | Technology & Communication | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 472,000 | 514,000 | ||
Total | Diversified businesses | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 1,098,000 | 1,337,000 | ||
Total | Real estate and related | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 1,409,000 | 1,453,000 | ||
Total | Other | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 325,000 | 300,000 | ||
Significant Other Observable Inputs (Level 2) | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 2,032,000 | [1] | 2,351,000 | [1] |
Total assets | ' | 2,351,000 | [1] | |
Significant Other Observable Inputs (Level 2) | Technology & Communication | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 472,000 | [1] | 514,000 | [1] |
Significant Other Observable Inputs (Level 2) | Diversified businesses | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 1,098,000 | [1] | 1,337,000 | [1] |
Significant Other Observable Inputs (Level 2) | Real estate and related | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 462,000 | [1] | 500,000 | [1] |
Significant Unobservable Inputs (Level 3) | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 1,272,000 | [2] | 1,253,000 | [2] |
Goodwill (Bayshore) | ' | 5,628,000 | [2] | |
Total assets | ' | 6,881,000 | [2] | |
Significant Unobservable Inputs (Level 3) | Real estate and related | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 947,000 | [2] | 953,000 | [2] |
Significant Unobservable Inputs (Level 3) | Other | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 325,000 | [2] | 300,000 | [2] |
Total gain (losses) on Investment | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 50,000 | 28,000 | ||
Total assets | ' | 28,000 | ||
Total gain (losses) on Investment | Technology & Communication | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | 50,000 | ' | ||
Total gain (losses) on Investment | Real estate and related | ' | ' | ||
Other investments by investment focus: | ' | ' | ||
Other Investments | ' | $28,000 | ||
[1] | Other investments measured at fair value on a non recurring basis include investments in certain entities that calculate net asset value per share (or its equivalent such as member units or an ownership interest in partners' capital to which a proportionate share of net assets is attributed, "NAV"). This class primarily consists of private equity funds that have varying investment focus. These investments can never be redeemed with the funds. Instead, the nature of the investments in this class is that distributions are received through the liquidation of the underlying assets of the fund. If these investments were held it is estimated that the underlying assets of the fund would be liquidated over 5 to 10 years. As of December 31, 2013, it is probable that all of the investments in this class will be sold at an amount different from the NAV of the Company's ownership interest in partners' capital. Therefore, the fair values of the investments in this class have been estimated using recent observable information such as audited financial statements and/or statements of partners' capital obtained directly from investees on a quarterly or other regular basis. During the year ended December 31, 2013, the Company received distributions of approximately $511,000 from this type of investment primarily from investments in diversified businesses and real estate. During the year ended December 31, 2013 the Company made contributions totaling $111,000 in this type of investment. As of December 31, 2013, the amount of the Company's unfunded commitments related to the aforementioned investments is approximately $912,000. | |||
[2] | Other investments above which are measured on a nonrecurring basis using Level 3 unobservable inputs consist of investments primarily in commercial real estate in Florida through private partnerships and two investments in the stock of private banks in Florida and Texas. The Company does not know when it will have the ability to redeem the investments and has categorized them as a Level 3 fair value measurement. The Level 3 real estate and related investments of approximately $947,000 include one investment in a commercial building located near the Company's offices purchased in 2005 with a carrying value as of December 31, 2013 of $724,000. These investments are measured using primarily inputs provided by the managing member of the partnerships with whom the Company has done similar transactions in the past and is well known to management. The fair values of these real estate investments have been estimated using the net asset value of the Company's ownership interest in partners' capital. The investments in private bank stocks include a South Florida community bank in the amount of $25,000 made in December 2013, a private bank and trust located in Coral Gables, Florida in the amount of $250,000 made in 2009, and a $50,000 investment in a bank located in El Campo, Texas made in 2010. The fair values of these bank stock investments have been estimated using the cost method less distributions received and other than temporary impairments. This investment is valued using inputs provided by the management of the banks. |
FAIR_VALUE_INSTRUMENTS_Summary2
FAIR VALUE INSTRUMENTS - Summary investment roll-forward using Level 3 unobservable inputs (Details 2) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Distributions from Level 3 investments | $50,000 | $27,666 |
Significant Unobservable Inputs (Level 3) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Balance at January 1, 2013 | 1,253,000 | ' |
Investment in private community bank | 25,000 | ' |
Distributions from Level 3 investments | -6,000 | ' |
Balance at December 31, 2013 | $1,272,000 | ' |
FAIR_VALUE_INSTRUMENTS_Detail_
FAIR VALUE INSTRUMENTS (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Distribution received from investment | $511,000 | ' |
Proceeds from contributed capital | 111,000 | ' |
Commitments and contingencies | ' | ' |
Other Aggregated Investments | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Commitments and contingencies | 912,000 | ' |
Level 3 Real Estate and Related Investments | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments | 724,000 | ' |
Level 3 Real Estate and Related Investments | Limited Partnership In Commercial Building FL | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments | 947,000 | ' |
Level 3 Private Banks | Private Bank and Trust, Coral Gables, FL | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments | 250,000 | ' |
Level 3 Private Banks | Private Bank, El Campo, TX | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments | 50,000 | ' |
Level 3 Private Banks | South Florida community bank | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments | $25,000 | ' |
Minimum | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, liquidation period | '5 years | ' |
Maximum | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, liquidation period | '10 years | ' |
INVESTMENT_IN_AFFILIATE_Detail
INVESTMENT IN AFFILIATE (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Investments In Affiliates [Line Items] | ' | ' |
Equity method investment, ownership percentage | 49.00% | ' |
T.G.I.F. Texas, Inc. | ' | ' |
Investments In Affiliates [Line Items] | ' | ' |
Equity method investment, ownership percentage | 49.00% | ' |
Income (loss) from equity method investments | $94,000 | $57,000 |
Cash dividend declared and paid | $0.07 | $0.07 |
Investment income, dividend | $196,000 | $196,000 |
LOANS_NOTES_AND_OTHER_RECEIVAB2
LOANS, NOTES AND OTHER RECEIVABLES - Loans, Notes, and Other Receivables (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Notes, loans and financing receivable, net | $1,408,000 | $296,000 | ||
Promissory note and accrued interest due from purchaser of Grove Isle | ' | ' | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Notes, loans and financing receivable, net | 1,034,000 | [1] | ' | |
Promissory note and accrued interest due from individual | ' | ' | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Notes, loans and financing receivable, net | 214,000 | [2] | 208,000 | [2] |
Other | ' | ' | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ||
Notes, loans and financing receivable, net | $160,000 | $88,000 | ||
[1] | In February 2013, the Company sold its interest in Grove Isle and related entities and received a $1 million promissory note from the purchaser as part of the purchase proceeds. This note bears interest of 4% per annum and will mature upon the earlier of ten years (February 25, 2023) or when any expansion or development (as defined in the purchase agreement) occurs at Grove Isle. | |||
[2] | In December 2007 the Company loaned $400,000 to a local real estate developer who is well known to the Company and which loan is secured by numerous real estate interests. In 2010 $197,000 of principal payments were received. In February 2014, the loan was modified and the maturity date was extended to February 1, 2015. The loan modification requires the borrower to keep current on monthly interest only payments at same annual rate of 9% and pay past due interest as of December 31, 2013 of approximately $9,000 in four monthly installments beginning February 1, 2014. |
LOANS_NOTES_AND_OTHER_RECEIVAB3
LOANS, NOTES AND OTHER RECEIVABLES (Detail Textuals) (USD $) | 12 Months Ended | 1 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2010 | Dec. 31, 2007 | Feb. 28, 2013 | |
Installment | Grove Isle and related entities | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' |
Amount of promissory note received from purchaser | ' | ' | ' | $1,000,000 |
Interest rate of promissory note | ' | ' | ' | 4.00% |
Maturity term of promissory note | ' | ' | ' | '10 years |
Loans receivable, gross, commercial, real estate | ' | ' | 400,000 | ' |
Proceeds from principal repayments on loans and leases held-for-investment | ' | 197,000 | ' | ' |
Mortgage loans on real estate, interest rate | 9.00% | ' | ' | ' |
Past due interest receivable | $9,000 | ' | ' | ' |
Number of monthly installments | 4 | ' | ' | ' |
NOTES_AND_ADVANCES_DUE_FROM_AN1
NOTES AND ADVANCES DUE FROM AND TRANSACTIONS WITH RELATED PARTIES (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Equity method investment, ownership percentage | 49.00% | ' |
Notes, loans and financing receivable, net | $1,408,000 | $296,000 |
Noninterest expense directors fees | 108,620 | 92,489 |
Transco Realty Trust | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Notes, loans and financing receivable, net | ' | 300,000 |
T.G.I.F. Texas, Inc. | HMG | Common Stock | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Investment owned, balance, shares (in shares) | 10,000 | 10,000 |
Adviser | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Operating support from adviser, amount | 3,116,000 | 1,056,000 |
Officers' compensation | 1,020,000 | 1,020,000 |
Management fees, incentive revenue | 2,096,000 | 36,000 |
Due from affiliates | ' | 397,000 |
Related party transaction, rate | ' | 1.00% |
Adviser and subsidiaries paid | 397,000 | ' |
Loans and leases receivable, gross, other | ' | 48,000 |
Related party transaction, terms and manner of settlement | 'five | ' |
Monthly compensation prior amendment | 85,000 | ' |
Monthly compensation post amendment | 55,000 | ' |
Annual compensation prior amendment | 1,020,000 | ' |
Annual compensation post amendment | 660,000 | ' |
T.G.I.F. Texas, Inc. | Mr. Weiner | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Noninterest expense directors fees | 22,000 | 22,000 |
T.G.I.F. Texas, Inc. | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Equity method investment, ownership percentage | 49.00% | ' |
Transco Realty Trust | South Bayshore Associates | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Equity method investment, ownership percentage | ' | 45.00% |
Mr. Weiner | T.G.I.F. Texas, Inc. | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Equity method investment, ownership percentage | 18.00% | 18.00% |
Loans receivable, net | 707,000 | 707,000 |
CII Spa, LLC | T.G.I.F. Texas, Inc. | ' | ' |
Loans And Leases Receivable Related Parties [Line Items] | ' | ' |
Related party transaction, rate | 3.25% | ' |
Equity method investment, ownership percentage | 49.00% | 49.00% |
Notes, loans and financing receivable, net | $2,503,000 | $2,815,000 |
INCOME_TAXES_Summary_of_Income
INCOME TAXES - Summary of Income tax reconciliations at federal statutory rate (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' |
Income (loss) before income taxes | $17,684,000 | ($60,000) |
Computed tax at federal statutory rate of 34% | 6,012,000 | -20,000 |
State taxes at 5.5% | 973,000 | -4,000 |
REIT capital gains dividend paid | -1,645,000 | ' |
Utilization of net operating loss carryover | -2,408,000 | ' |
REIT related adjustments | -407,000 | -21,000 |
Unrealized gain from marketable securities for book not tax | -26,000 | -31,000 |
Other items, net | 9,000 | 10,000 |
Tax provision for (benefit from) income taxes | ' | ($66,000) |
INCOME_TAXES_Summary_of_Income1
INCOME TAXES - Summary of Income tax reconciliations at federal statutory rate (Parentheticals) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' |
Federal statutory rate | 34.00% | 34.00% |
State tax rate | 5.50% | 5.50% |
INCOME_TAXES_Summary_of_future
INCOME TAXES - Summary of future benefits from income taxes (Details 1) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Current: | ' | ' |
Federal | $1,347,000 | ' |
State | 246,000 | ' |
Current income tax benefit | 1,593,000 | ' |
Deferred: | ' | ' |
Federal | 905,000 | -60,000 |
State | 10,000 | -6,000 |
Deferred income tax benefit | ' | -66,000 |
Total | ' | ($66,000) |
INCOME_TAXES_Summary_of_deferr
INCOME TAXES - Summary of deferred tax assets and liabilities (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Line Items] | ' | ' |
Totals | ' | $698,000 |
Assets | ' | ' |
Income Taxes [Line Items] | ' | ' |
Net operating loss carry forward | 110,000 | 471,000 |
Excess of tax basis over book basis of assets associated with real estate interests held for sale | ' | 286,000 |
Excess of tax basis over book basis of other investments | 306,000 | 508,000 |
Totals | 416,000 | 1,265,000 |
Liabilities | ' | ' |
Income Taxes [Line Items] | ' | ' |
Excess of book basis of 49% owned corporation over tax basis | 424,000 | 418,000 |
Unrealized gain on marketable securities | 105,000 | 32,000 |
Excess of tax basis over book basis of other investments | 104,000 | 117,000 |
Totals | $633,000 | $567,000 |
INCOME_TAXES_Detail_Textuals
INCOME TAXES (Detail Textuals) (USD $) | 1 Months Ended | 12 Months Ended | |
Nov. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Taxes [Line Items] | ' | ' | ' |
Cash dividend | $4,200,000 | ' | ' |
Cash dividend per share | $4 | ' | ' |
Undistributed tax capital gains | ' | 3,860,000 | ' |
Undistributed tax capital gains per share | ' | $3.67 | ' |
Equity method investment, ownership percentage | ' | 49.00% | ' |
Deferred tax assets, net | ' | ' | 698,000 |
Current income tax benefit | ' | 1,593,000 | ' |
Deferred tax expense | ' | ' | -66,000 |
Operating loss carryforwards | ' | 296,000 | ' |
Federal | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Current income tax benefit | ' | 1,350,000 | ' |
State | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Current income tax benefit | ' | 250,000 | ' |
CII Spa, LLC | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Net operating loss carry forward | ' | 361,000 | ' |
Deferred tax assets, net | ' | ' | 698,000 |
Deferred tax liabilities, net | ' | 217,000 | ' |
Deferred tax expense | ' | 915,000 | ' |
Tax basis of investments | ' | 189,000 | ' |
Net decrease in investments with tax basis in excess of book | ' | 286,000 | ' |
Operating loss carryforwards | ' | $1,200,000 | ' |
HMG | CII Spa, LLC | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Equity method investment, ownership percentage | ' | 95.00% | ' |
STOCKBASED_COMPENSATION_Summar
STOCK-BASED COMPENSATION - Summary of company's Stock option plan (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' |
Shares, Outstanding at the beginning of the period | 102,100 | 102,100 |
Shares, Granted | 17,700 | ' |
Shares, Exercised | -97,100 | ' |
Shares, Outstanding at the end of the period | 22,700 | 102,100 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Rollforward] | ' | ' |
Outstanding at the beginning of the period, Weighted Average Exercise Price (in Dollars per share) | $4.99 | $4.99 |
Weighted Average Exercise Price, Granted (in Dollars per share) | $18.35 | ' |
Weighted Average Exercise Price, Exercises (in Dollars per share) | $5 | ' |
Outstanding at the beginning of the period, Weighted Average Exercise Price (in Dollars per share) | $15.37 | $4.99 |
Options exercisable at period-end | 22,700 | 102,100 |
Weighted average fair value of options granted during the period | 17,700 | 102,100 |
Aggregate intrinsic value of outstanding and exercisable options at the end of the period | 22,700 | ' |
Options exercisable at period-end (in Dollars per share) | $15.37 | $4.99 |
Weighted average fair value of options granted during the period (in Dollars per share) | $18.35 | ' |
Aggregate intrinsic value of outstanding and exercisable options at the end of the period (in dollars per share) | $2.63 | ' |
STOCKBASED_COMPENSATION_Inform
STOCK-BASED COMPENSATION - Information concerning outstanding and exercisable options (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 22,700 | 102,100 | 102,100 |
Weighted Average Strike Prices | $15.37 | $4.99 | $4.99 |
Stock Option | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 22,700 | ' | ' |
Weighted Average Strike Prices | $15.37 | ' | ' |
Stock Option | Strike Prices $4.80 | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 5,000 | ' | ' |
Weighted Average Strike Prices | $4.80 | ' | ' |
Stock Option | Strike Prices $17.84 | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 9,500 | ' | ' |
Weighted Average Strike Prices | $17.84 | ' | ' |
Stock Option | Strike Prices $18.89 | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 7,500 | ' | ' |
Weighted Average Strike Prices | $18.89 | ' | ' |
Stock Option | Strike Prices $19.50 | ' | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' |
Number of Outstanding and exercisable options | 700 | ' | ' |
Weighted Average Strike Prices | $19.50 | ' | ' |
STOCKBASED_COMPENSATION_Detail
STOCK-BASED COMPENSATION (Detail Textuals) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Stock Option Plan 2011 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of option granted to purchase common stock | ' | ' | 120,000 |
Number of reload stock option granted | 17,700 | ' | ' |
weighted average fair value of option granted | $18.35 | ' | ' |
Expected volatility rate | 37.00% | ' | ' |
Method used to determine the fair value of option | 'Black-Scholes option pricing model. | ' | ' |
Risk-free interest rate | 0.11% | ' | ' |
Annual dividend rate | 17.00% | ' | ' |
Expected life for options | '3 years | ' | ' |
Non-employee stock compensation expense | $20,000 | $12,000 | ' |
Unrecognized non-employee stock compensation expense | ' | 5,000 | ' |
Intrinsic value of options exercised | 1,300,000 | ' | ' |
Intrinsic value of options outstanding and exercisable | $60,000 | ' | ' |
BASIC_AND_DILUTED_EARNINGS_PER2
BASIC AND DILUTED EARNINGS PER SHARE - Basic and diluted earnings per share (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Earnings Per Share [Abstract] | ' | ' |
Net income | $15,175,987 | $6,311 |
Weighted average shares outstanding (in shares) | 1,004,599 | 1,001,593 |
Basic income per share (in dollars per share) | $15.11 | $0.01 |
Net income (loss) | $15,175,987 | $6,311 |
Weighted average common shares outstanding-basic (in shares) | 1,004,599 | 1,001,593 |
Plus incremental shares from assumed conversion | 1,468 | ' |
Diluted weighted average common shares (in shares) | 1,006,067 | ' |
Diluted earnings per share | $15.08 | $0.01 |
DISCONTINUED_OPERATIONS_AND_RE2
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE - Results of Operations for Real Estate Interests Classified into Discontinued Operations (Details) (USD $) | 1 Months Ended | 12 Months Ended | |
Feb. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Revenues: | ' | ' | ' |
Rental and related revenue | ' | $64,142 | $64,340 |
Total revenue | ' | 64,142 | 64,340 |
Expenses: | ' | ' | ' |
Rental operating expenses | ' | 73,983 | 105,216 |
Professional fees | ' | 173,439 | 111,811 |
Interest expense | ' | 88,427 | 102,084 |
Depreciation, amortization and other expenses | ' | 16,156 | 898,985 |
Total expenses | ' | 1,805,477 | 1,789,554 |
Non controlling partners' interest in operating gains of consolidated subsidiaries | ' | 96,919 | 94,100 |
Gain on sale of discontinued operations, net of incentive fee | 19,000,000 | ' | ' |
Provision for income tax expense on gain on sale of discontinued operations | ' | ' | -66,000 |
Income from discontinued operations | ' | 16,439,449 | 1,122,167 |
Segment, Discontinued Operations | Grove Isle | ' | ' | ' |
Revenues: | ' | ' | ' |
Rental and related revenue | ' | 171,000 | 1,802,000 |
Food & beverage sales | ' | 1,950,000 | 6,179,000 |
Marina revenue | ' | 382,000 | 1,657,000 |
Other | ' | ' | 430,000 |
Total revenue | ' | 2,503,000 | 10,068,000 |
Expenses: | ' | ' | ' |
Rental operating expenses | ' | 97,000 | 550,000 |
Food & beverage operation expenses | ' | 1,430,000 | 5,150,000 |
Marina expenses | ' | 178,000 | 959,000 |
Professional fees | ' | 53,000 | 227,000 |
Interest expense | ' | 190,000 | 769,000 |
Depreciation, amortization and other expenses | ' | 199,000 | 1,291,000 |
Total expenses | ' | 2,147,000 | 8,946,000 |
Non controlling partners' interest in operating gains of consolidated subsidiaries | ' | -212,000 | ' |
Gain on sale of discontinued operations, net of incentive fee | ' | 18,803,000 | ' |
Provision for income tax expense on gain on sale of discontinued operations | ' | -2,508,000 | ' |
Income from discontinued operations | ' | $16,439,000 | $1,122,000 |
DISCONTINUED_OPERATIONS_AND_RE3
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE - Assets and Liabilities Associated with the Real Estate Interest Held for Sale (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | $18,098,789 |
Grove Isle mortgage note payable | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 2,696,000 |
Grove Isle accrued and other liabilities | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 23,000 |
Bayshore mortgage note payable | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 8,190,000 |
Bayshore interest rate swap contract payable | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 1,965,000 |
Bayshore accrued and other liabilities | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 510,000 |
Total | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Obligations associated with real interest held for sale | ' | 13,384,000 |
Grove Isle Spa remaining interest | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 1,434,000 |
Grove Isle land, hotel, club building and marina | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 1,801,000 |
Grove Isle other assets | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 222,000 |
Bayshore Restaurant, marina and retail offices | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 7,822,000 |
Bayshore goodwill | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 5,629,000 |
Bayshore other receivables | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 206,000 |
Bayshore other assets | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | 985,000 |
Total | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Assets associated with real estate interest held for sale | ' | $18,099,000 |
DISCONTINUED_OPERATIONS_AND_RE4
DISCONTINUED OPERATIONS AND REAL ESTATE INTERESTS HELD FOR SALE (Details 2) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||
Jun. 30, 2013 | Feb. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 25, 2013 | Mar. 29, 2013 | Mar. 29, 2013 | Mar. 29, 2013 | Mar. 29, 2013 | |
Hmg Courtland Properties, Inc. | Promissory note and accrued interest due from individual | Membership Interests Purchase Agreement | Membership Interests Purchase Agreement | Membership Interests Purchase Agreement | Membership Interests Purchase Agreement | ||||
Hmg Courtland Properties, Inc. | Christoph Family Trust | Montys Marina | |||||||
Courtland Investments, Inc. | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales of real estate | ' | $24,400,000 | ' | ' | ' | ' | ' | ' | ' |
Proceeds from sale of real estate | ' | 23,400,000 | ' | ' | ' | 3,000,000 | ' | ' | ' |
Nontrade receivables | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' |
Repayments of first mortgage bond | ' | 2,700,000 | ' | ' | ' | ' | ' | ' | ' |
Gain on sale of discontinued operations | ' | 19,000,000 | ' | ' | ' | 28,000 | ' | ' | ' |
Gain on sale of real estate interests, per share | ' | $19 | ' | ' | ' | $0.03 | ' | ' | ' |
Provision for corporate income taxes estimated | ' | ' | 2,500,000 | ' | ' | ' | ' | ' | ' |
Current income tax expense | ' | ' | 1,600,000 | ' | ' | ' | ' | ' | ' |
Deferred income tax expense | ' | ' | 915,000 | ' | ' | ' | ' | ' | ' |
Past Due Rental Received | 327,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of interest in spa exercised by purchaser | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Real estate held-for-sale | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Amounts due to the Adviser | ' | ' | $2,095,701 | $2,100,000 | ' | ' | ' | ' | ' |
Equity Method Investment, Ownership Percentage | ' | ' | 49.00% | ' | ' | ' | 95.00% | 50.00% | 50.00% |