Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Jun. 30, 2014 | Sep. 03, 2014 | Dec. 31, 2013 | |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 30-Jun-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'INTERGROUP CORP | ' | ' |
Entity Central Index Key | '0000069422 | ' | ' |
Current Fiscal Year End Date | '--06-30 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Public Float | ' | ' | $15,207,000 |
Trading Symbol | 'INTG | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 2,386,246 | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
ASSETS | ' | ' |
Investment in hotel, net | $41,897,000 | $41,728,000 |
Investment in real estate, net | 63,697,000 | 65,262,000 |
Investment in marketable securities | 11,420,000 | 12,624,000 |
Other investments, net | 15,837,000 | 15,280,000 |
Cash and cash equivalents | 4,705,000 | 1,453,000 |
Restricted cash - redemption | 16,163,000 | 0 |
Restricted cash | 3,982,000 | 2,448,000 |
Other assets, net | 7,759,000 | 5,891,000 |
Total assets | 165,460,000 | 144,686,000 |
Liabilities: | ' | ' |
Accounts payable and other liabilities | 4,083,000 | 3,666,000 |
Accounts payable and other liabilities - hotel | 15,161,000 | 8,804,000 |
Redemption payable | 16,163,000 | 0 |
Due to securities broker | 2,925,000 | 2,762,000 |
Obligations for securities sold | 175,000 | 2,565,000 |
Other notes payable | 282,000 | 1,595,000 |
Mortgage notes payable - hotel | 117,000,000 | 43,413,000 |
Mortgage notes payable - real estate | 75,360,000 | 73,512,000 |
Deferred income taxes | 943,000 | 4,617,000 |
Total liabilities | 232,092,000 | 140,934,000 |
Commitments and contingencies | ' | ' |
Shareholders' (deficit) equity: | ' | ' |
Preferred stock, $.01 par value, 100,000 shares authorized; none issued | 0 | 0 |
Common stock, $.01 par value, 4,000,000 shares authorized; 3,383,364 and 3,363,361 issued; 2,381,638 and 2,361,835 outstanding, respectively | 33,000 | 33,000 |
Additional paid-in capital | 10,092,000 | 9,714,000 |
Retained earnings (Accumulated deficit) | -39,401,000 | 9,899,000 |
Treasury stock, at cost, 1,001,726 and 1,001,526 shares | -11,818,000 | -11,813,000 |
Total InterGroup shareholders' (deficit) equity | -41,094,000 | 7,833,000 |
Noncontrolling interest | -25,538,000 | -4,081,000 |
Total shareholders' (deficit) equity | -66,632,000 | 3,752,000 |
Total liabilities and shareholders' equity | $165,460,000 | $144,686,000 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS [Parenthetical] (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized | 100,000 | 100,000 |
Preferred stock , shares issued | 0 | 0 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 4,000,000 | 4,000,000 |
Common stock, shares issued | 3,383,364 | 3,363,361 |
Common stock, shares outstanding | 2,381,638 | 2,361,835 |
Treasury stock, shares | 1,001,726 | 1,001,526 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Revenues: | ' | ' |
Hotel | $50,963,000 | $46,565,000 |
Real estate | 16,332,000 | 15,474,000 |
Total revenues | 67,295,000 | 62,039,000 |
Costs and operating expenses: | ' | ' |
Hotel operating expenses | -40,805,000 | -38,635,000 |
Hotel restructuring costs | -6,681,000 | 0 |
Hotel occupancy tax - penalty fees | -1,278,000 | 0 |
Real estate operating expenses | -8,982,000 | -8,529,000 |
Depreciation and amortization expense | -4,723,000 | -4,577,000 |
General and administrative expense | -2,168,000 | -1,949,000 |
Total costs and operating expenses | -64,637,000 | -53,690,000 |
Income from operations | 2,658,000 | 8,349,000 |
Other income (expense): | ' | ' |
Interest expense - mortgage | -7,986,000 | -6,168,000 |
Interest expense - occupancy tax | -328,000 | 0 |
Loss on extinguishment of debt | -3,910,000 | 0 |
Loss on disposal of assets | -1,092,000 | 0 |
Net gain (loss) on marketable securities | 998,000 | -856,000 |
Net unrealized gain (loss) on other investments and derivatives | 181,000 | -216,000 |
Impairment loss on other investments | -101,000 | -105,000 |
Dividend and interest income | 1,064,000 | 1,082,000 |
Trading and margin interest expense | -1,799,000 | -1,708,000 |
Net other expense | -12,973,000 | -7,971,000 |
Income (loss) before income taxes | -10,315,000 | 378,000 |
Income tax benefit | 3,567,000 | 247,000 |
Net (loss) income | -6,748,000 | 625,000 |
Less: Net loss (income) attributable to the noncontrolling interest | 2,056,000 | -1,340,000 |
Net loss attributable to InterGroup | ($4,692,000) | ($715,000) |
Net (loss) income per share | ' | ' |
Basic (in dollars per share) | ($2.85) | $0.27 |
Diluted (in dollars per share) | ($2.85) | $0.26 |
Net loss per share attributable to InterGroup | ' | ' |
Basic (in dollars per share) | ($1.98) | ($0.30) |
Diluted (in dollars per share) | ($1.98) | ($0.30) |
Weighted average number of common shares outstanding (in shares) | 2,368,861 | 2,354,990 |
Weighted average number of diluted common shares outstanding (in shares) | 2,368,861 | 2,407,128 |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' (DEFICIT) EQUITY (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Parent [Member] | Noncontrolling Interest [Member] |
Balance at Jun. 30, 2012 | $3,586,000 | $33,000 | $9,417,000 | $10,614,000 | ($11,757,000) | $8,307,000 | ($4,721,000) |
Balance (Shares) at Jun. 30, 2012 | ' | 3,346,588 | ' | ' | ' | ' | ' |
Net (loss) income | 625,000 | 0 | 0 | -715,000 | 0 | -715,000 | 1,340,000 |
Issuance of stock for compensation | 88,000 | 0 | 88,000 | 0 | 0 | 88,000 | 0 |
Issuance of stock for compensation (in shares) | ' | 3,528 | ' | ' | ' | ' | ' |
Issuance of stock related to stock options exercised | 52,000 | 0 | 52,000 | 0 | 0 | 52,000 | 0 |
Issuance of stock related to stock options exercised (in shares) | 5,000 | 5,000 | ' | ' | ' | ' | ' |
Conversion of RSU to stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Conversion of RSU to stock (in shares) | ' | 8,245 | ' | ' | ' | ' | ' |
Stock options expense | 324,000 | 0 | 324,000 | 0 | 0 | 324,000 | 0 |
Investment in Santa Fe | -156,000 | 0 | -105,000 | 0 | 0 | -105,000 | -51,000 |
Investment in Portsmouth | -75,000 | 0 | -62,000 | 0 | 0 | -62,000 | -13,000 |
Purchase of treasury stock | -56,000 | 0 | 0 | 0 | -56,000 | -56,000 | 0 |
Distributions to noncontrolling interest | -600,000 | 0 | 0 | 0 | 0 | 0 | -600,000 |
Dividends to noncontrolling interest | -36,000 | 0 | 0 | 0 | 0 | 0 | -36,000 |
Balance at Jun. 30, 2013 | 3,752,000 | 33,000 | 9,714,000 | 9,899,000 | -11,813,000 | 7,833,000 | -4,081,000 |
Balance (in shares) at Jun. 30, 2013 | ' | 3,363,361 | ' | ' | ' | ' | ' |
Net (loss) income | -6,748,000 | 0 | 0 | -4,692,000 | 0 | -4,692,000 | -2,056,000 |
Issuance of stock for compensation | 88,000 | 0 | 88,000 | 0 | 0 | 88,000 | 0 |
Issuance of stock for compensation (in shares) | ' | 4,192 | ' | ' | ' | ' | ' |
Issuance of stock related to stock options exercised | 35,000 | 0 | 35,000 | 0 | 0 | 35,000 | 0 |
Issuance of stock related to stock options exercised (in shares) | 15,000 | 7,616 | ' | ' | ' | ' | ' |
Conversion of RSU to stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Conversion of RSU to stock (in shares) | ' | 8,195 | ' | ' | ' | ' | ' |
Allocation of accumulated deficit of Justice to noncontrolling interest relating ot the redemption of limited parthership interests | 0 | 0 | 0 | 20,690,000 | 0 | 20,690,000 | -20,690,000 |
Stock options expense | 476,000 | 0 | 476,000 | 0 | 0 | 476,000 | 0 |
Investment in Santa Fe | -76,000 | 0 | -213,000 | 0 | 0 | -213,000 | 137,000 |
Investment in Portsmouth | -2,000 | 0 | -8,000 | 0 | 0 | -8,000 | 6,000 |
Purchase of treasury stock | -5,000 | 0 | 0 | 0 | -5,000 | -5,000 | 0 |
Redemption of limited partnership interest | -64,152,000 | 0 | 0 | -65,298,000 | 0 | -65,298,000 | 1,146,000 |
Balance at Jun. 30, 2014 | ($66,632,000) | $33,000 | $10,092,000 | ($39,401,000) | ($11,818,000) | ($41,094,000) | ($25,538,000) |
Balance (in shares) at Jun. 30, 2014 | ' | 3,383,364 | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Cash flows from operating activities: | ' | ' |
Net (loss) income | ($6,748,000) | $625,000 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ' | ' |
Net unrealized loss on marketable securities | 128,000 | 1,003,000 |
Unrealized (gain) loss on other investments and derivative instruments | -181,000 | 216,000 |
Impairment loss on other investments | 101,000 | 105,000 |
Gain on insurance recovery | -249,000 | -404,000 |
Loss on extinguishment of debt | 3,910,000 | 0 |
Loss on disposal of assets | 1,092,000 | 0 |
Depreciation and amortization | 4,723,000 | 4,577,000 |
Stock compensation expense | 564,000 | 412,000 |
Changes in assets and liabilities: | ' | ' |
Investment in marketable securities | 1,076,000 | -4,646,000 |
Other assets, net | -2,005,000 | -536,000 |
Accounts payable and other liabilities | 6,774,000 | 723,000 |
Due to securities broker | 163,000 | 1,033,000 |
Obligations for securities sold | -2,390,000 | 1,834,000 |
Deferred taxes | -3,674,000 | -364,000 |
Net cash provided by operating activities | 3,284,000 | 4,578,000 |
Cash flows from investing activities: | ' | ' |
Investment in hotel, net | -3,696,000 | -3,486,000 |
Investment in real estate, net | -337,000 | -1,930,000 |
Proceeds from (payments for) other investments | -477,000 | 60,000 |
Investment in Santa Fe | -76,000 | -156,000 |
Investment in Portsmouth | -2,000 | -75,000 |
Net cash used in investing activities | -4,588,000 | -5,587,000 |
Cash flows from financing activities: | ' | ' |
Proceeds from mortgage notes payable | 156,660,000 | 39,240,000 |
Payments of mortgage and other notes payable | -86,448,000 | -37,767,000 |
Restricted cash for redemption and mortgage impounds | -17,697,000 | -471,000 |
Redemption payments and dividends to noncontrolling interest | -2,928,000 | 0 |
Distributions to noncontrolling interest | -45,061,000 | -636,000 |
Purchase of treasury stock | -5,000 | -56,000 |
Proceeds from exercise of options | 35,000 | 52,000 |
Net cash provided by financing activities | 4,556,000 | 362,000 |
Net increase (decrease) in cash and cash equivalents | 3,252,000 | -647,000 |
Cash and cash equivalents at the beginning of the year | 1,453,000 | 2,100,000 |
Cash and cash equivalents at the end of the year | 4,705,000 | 1,453,000 |
Supplemental information: | ' | ' |
Income tax paid | 180,000 | 327,000 |
Interest paid | $8,932,000 | $6,803,000 |
BUSINESS_AND_SIGNIFICANT_ACCOU
BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES | 12 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation and Significant Accounting Policies [Text Block] | ' |
NOTE 1 - BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES: | |
Description of the Business | |
The InterGroup Corporation, a Delaware corporation, (“InterGroup” or the “Company”) was formed to buy, develop, operate and dispose of real property and to engage in various investment activities to benefit the Company and its shareholders. | |
As of June 30, 2014, the Company had the power to vote 84.8% of the voting shares of Santa Fe Financial Corporation (“Santa Fe”), a public company (OTCBB: SFEF). This percentage includes the power to vote an approximately 4% interest in the common stock in Santa Fe owned by the Company’s Chairman and President pursuant to a voting trust agreement entered into on June 30, 1998. | |
Santa Fe’s primary business is conducted through the management of its 68.8% owned subsidiary, Portsmouth Square, Inc. (“Portsmouth”), a public company (OTCBB: PRSI). Portsmouth has a 93% limited partnership interest in Justice and is the sole general partner. InterGroup also directly owns approximately 12.9% of the common stock of Portsmouth. The financial statements of Justice are consolidated with those of the Company. | |
Justice owns a 543-room hotel property located at 750 Kearny Street, San Francisco California, known as the Hilton San Francisco Financial District (the Hotel) and related facilities including a five level underground parking garage. The Hotel is operated by the partnership as a full service Hilton brand hotel pursuant to a Franchise License Agreement with Hilton Hotels Corporation. Justice also has a Management Agreement with Prism Hospitality L.P. (Prism) to perform the day-to-day management functions of the Hotel. The parking garage that is part of the Hotel property is managed by Ace Parking pursuant to a contract with the Partnership. | |
Management believes that the revenues expected to be generated from the operations of the hotel, garage and leases will be sufficient to meet all of the Partnership’s current and future obligations and financial requirements. Management also believes that there is significant value in the Hotel to support additional borrowings, if necessary. | |
In addition to the operations of the Hotel, the Company also generates income from the ownership of real estate. Properties include apartment complexes, commercial real estate, and two single-family houses as strategic investments. The properties are located throughout the United States, but are concentrated in Texas and Southern California. The Company also has investments in unimproved real property. The Company’s residential rental properties are managed by two professional third party property management companies. | |
Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company and Santa Fe. All significant inter-company transactions and balances have been eliminated. | |
Investment in Hotel, Net | |
The Hotel property and equipment are stated at cost less accumulated depreciation. Building improvements are being depreciated on a straight-line basis over their useful lives ranging from 3 to 39 years. Furniture, fixtures, and equipment are being depreciated on a straight-line basis over their useful lives ranging from 3 to 7 years. | |
Repairs and maintenance are charged to expense as incurred. Costs of significant renewals and improvements are capitalized and depreciated over the shorter of its remaining estimated useful life or life of the asset. The cost of assets sold or retired and the related accumulated depreciation are removed from the accounts; any resulting gain or loss is included in other income (expenses). | |
The Company reviews property and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the carrying amount of the asset, including any intangible assets associated with that asset, exceeds its estimated undiscounted net cash flow, before interest, the Partnership will recognize an impairment loss equal to the difference between its carrying amount and its estimated fair value. If impairment is recognized, the reduced carrying amount of the asset will be accounted for as its new cost. For a depreciable asset, the new cost will be depreciated over the asset’s remaining useful life. Generally, fair values are estimated using discounted cash flow, replacement cost or market comparison analyses. The process of evaluating for impairment requires estimates as to future events and conditions, which are subject to varying market and economic factors. Therefore, it is reasonably possible that a change in estimate resulting from judgments as to future events could occur which would affect the recorded amounts of the property. No impairment losses were recorded for the years ended June 30, 2014 and 2013. | |
Investment in Real Estate, Net | |
Rental properties are stated at cost less accumulated depreciation. Depreciation of rental property is provided on the straight-line method based upon estimated useful lives of 5 to 40 years for buildings and improvements and 5 to 10 years for equipment. Expenditures for repairs and maintenance are charged to expense as incurred and major improvements are capitalized. | |
The Company also reviews its rental property assets for impairment. No impairment losses on the investment in real estate have been recorded for the years ended June 30, 2014 and 2013. | |
The fair value of the tangible assets of an acquired property, which includes land, building and improvements, is determined by valuing the property as if they were vacant, and incorporates costs during the lease-up periods considering current market conditions and costs to execute similar leases such lost rental revenue and tenant improvements. The value of tangible assets are depreciated using straight-line method based upon the assets estimated useful lives. | |
Investment in Marketable Securities | |
Marketable securities are stated at fair value as determined by the most recently traded price of each security at the balance sheet date. Marketable securities are classified as trading securities with all unrealized gains and losses on the Company's investment portfolio recorded through the consolidated statements of operations. | |
Other Investments, Net | |
Other investments include non-marketable securities (carried at cost, net of any impairments loss), non –marketable warrants (carried at fair value) and certain convertible preferred securities, received in exchange for debt instruments, carried at a book basis, initially determined using the estimated fair value on the exchange date. The Company has no significant influence or control over the entities that issue these investments. These investments are reviewed on a periodic basis for other-than-temporary impairment. The Company reviews several factors to determine whether a loss is other-than-temporary. These factors include but are not limited to: (i) the length of time an investment is in an unrealized loss position, (ii) the extent to which fair value is less than cost, (iii) the financial condition and near term prospects of the issuer and (iv) our ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. For the years ended June 30, 2014 and 2013, the Company recorded impairment losses related to other investments of $101,000 and $105,000, respectively. As of June 30, 2014 and 2013, the allowance for impairment losses was $4,727,000 and $4,626,000, respectively. | |
Derivative Financial Instruments | |
The Company has investments in stock warrants which are considered derivative instruments. | |
Derivative financial instruments consist of financial instruments or other contracts that contain a notional amount and one or more underlying (e.g. interest rate, security price or other variable), require no initial net investment and permit net settlement. Derivative financial instruments may be free-standing or embedded in other financial instruments. Further, derivative financial instruments are initially, and subsequently, measured at fair value on the Company’s consolidated balance sheets. | |
For the investment in stock warrants, the Company used the Black-Scholes option valuation model to estimate the fair value these instruments which requires management to make significant assumptions including trading volatility, estimated terms, and risk free rates. Estimating fair values of derivative financial instruments requires the development of significant and subjective estimates that may, and are likely to, change over the duration of the instrument with related changes in internal and external market factors. In addition, option-based models are highly volatile and sensitive to changes in the trading market price of the underlying common stock, which has a high-historical volatility. Since derivative financial instruments are initially and subsequently carried at fair values, the Company’s consolidated statement of operations will reflect the volatility in these estimate and assumption changes. | |
Cash and Cash Equivalents | |
Cash equivalents consist of highly liquid investments with an original maturity of three months or less when purchased and are carried at cost, which approximates fair value. | |
Restricted Cash | |
Restricted cash is comprised of amounts held by lenders for payment of real estate taxes, insurance, replacement reserves for the operating properties. capital addition reserves for the Hotel, tenant security deposits that are invested in certificates of deposit and the funds held by Holdings to implement the alternate redemption structure for those partners who elected that structure. | |
Other Assets, Net | |
Other assets include accounts receivable, prepaid insurance, loan fees, franchise fees, license fees, inventory, occupancy tax deposits and other miscellaneous assets. Loan fees are stated at cost and amortized over the term of the loan using the effective interest method. Franchise fees are stated at cost and amortized over the life of the agreement (15 years). License fees are stated at cost and amortized over 10 years. | |
Accounts receivable from the Hotel and rental property customers are carried at cost less an allowance for doubtful accounts that is based on management’s assessment of the collectability of accounts receivable. The Company extends unsecured credit to its customers but mitigates the associated credit risk by performing ongoing credit evaluations of its customers. As of June 30, 2014 and 2013, the balance of allowance for doubtful accounts was $62,000 and $19,000, respectively. | |
Due to Securities Broker | |
The Company may utilize margin for its marketable securities purchases through the use of standard margin agreements with national brokerage firms. Various securities brokers have advanced funds to the Company for the purchase of marketable securities under standard margin agreements. These advanced funds are recorded as a liability. | |
Obligation for Securities Sold | |
Obligation for securities sold represents the fair market value of shares sold with the promise to deliver that security at some future date and the fair market value of shares underlying the written call options with the obligation to deliver that security when and if the option is exercised. The obligation may be satisfied with current holdings of the same security or by subsequent purchases of that security. Unrealized gains and losses from changes in the obligation are included in the statement of operations. | |
Accounts Payable and Other Liabilities | |
Accounts payable and other liabilities include trade payables, advance deposits and other liabilities. | |
Treasury Stock | |
The Company records the acquisition of treasury stock under the cost method. | |
Fair Value of Financial Instruments | |
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. Accounting standards for fair value measurement establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the observability of inputs as follows: | |
Level 1–inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. | |
Level 2–inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. | |
Level 3–inputs to the valuation methodology are unobservable and significant to the fair value. | |
Revenue Recognition | |
Room revenue is recognized on the date upon which a guest occupies a room and/or utilizes the Hotel’s services. Food and beverage revenues are recognized upon delivery. Garage revenue is recognized when a guest uses the garage space. The Company records a liability for payments collected in advance of revenue recognition. This liability is included in Accounts payable and other liabilities. Rental revenue is recognized on the straight-line method of accounting whereby contractual rent payment increases are recognized evenly over the lease term, regardless of when the rent payments are received by Justice. The leases contain provisions for base rent plus a percentage of the lessees’ revenues, which are recognized when earned. | |
Revenue recognition from apartment rentals commences when an apartment unit is placed in service and occupied by a rent-paying tenant. Apartment units are leased on a short-term basis, with no lease extending beyond one year. | |
Advertising Costs | |
Advertising costs are expensed as incurred. Advertising costs were $434,000 and $419,000 for the years ended June 30, 2014 and 2013, respectively. | |
Income Taxes | |
Deferred income taxes are calculated under the liability method. Deferred income tax assets and liabilities are based on differences between the financial statement and tax basis of assets and liabilities at the current enacted tax rates. Changes in deferred income tax assets and liabilities are included as a component of income tax expense. Changes in deferred income tax assets and liabilities attributable to changes in enacted tax rates are charged or credited to income tax expense in the period of enactment. Valuation allowances are established for certain deferred tax assets where realization is not likely. | |
Assets and liabilities are established for uncertain tax positions taken or positions expected to be taken in income tax returns when such positions are judged to not meet the “more-likely-than-not” threshold based on the technical merits of the positions. | |
Earnings (Loss) Per Share | |
Basic income (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding. The computation of diluted income (loss) per share is similar to the computation of basic earnings per share except that the weighted-average number of common shares is increased to include the number of additional common shares that would have been outstanding if potential dilutive common shares had been issued. The Company's only potentially dilutive common shares are stock options and restricted stock units (RSUs). As of June 30, 2014, the Company had 37,738 stock options were considered potentially dilutive common shares. As of June 30, 2013, the Company had 52,138 stock options and RSUs that were considered potentially dilutive common shares. The basic and diluted earnings per share were the same for the year ended June 30, 2014 because the Company had a net loss. | |
Use of Estimates | |
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires the use of estimates and assumptions regarding certain types of assets, liabilities, revenues, and expenses. Such estimates primarily relate to unsettled transactions and events as of the date of the financial statements. Accordingly, upon settlement, actual results may differ from estimated amounts. | |
Reclassifications | |
Certain prior year balances have been reclassified to conform with the current year presentation. | |
Recent Accounting Pronouncements | |
In July 2013, the FASB issued Accounting Standard Update (“ASU”) No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (“ASU 2013-11”). ASU 2013-11 will become effective for the Company on July 1, 2014. The Company is currently evaluating the impact ASU 2013-11 but believes that this ASU will not have a significant impact on its Consolidated Financial Statements as it relates primarily as to how items are presented in the financial statements. | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360)”(“ASU 2014-08”). The amendments in ASU 2014-08 provide guidance for the recognition of discontinued operations, change the requirements for reporting discontinued operations in ASC 205-20, “Discontinued Operations” (“ASC 205-20”) and require additional disclosures about discontinued operations. ASU 2014-08 is effective for the Company for periods beginning after December 15, 2014. Early application is permitted, but only for disposals that have not been reported in financial statements previously issued or available for issuance. The Company is currently evaluating the impact ASU 2014-08 but believes that this ASU will not have a significant impact on its Consolidated Financial Statements as it relates primarily as to how items are presented in the financial statements. | |
In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts from Customers (Topic 606)” (“ASU 2014-09”). The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective for the Company for periods beginning after December 15, 2017. Early application is permitted for the annual reporting period beginning after December 15, 2016. The Company is currently evaluating the impact ASU 2014-09 will have on its Consolidated Financial Statements. | |
JUSTICE_INVESTORS
JUSTICE INVESTORS | 12 Months Ended |
Jun. 30, 2014 | |
Justice Investors [Abstract] | ' |
Justice Investors [Text Block] | ' |
NOTE 2 - JUSTICE INVESTORS | |
On July 14, 2005, the FASB issued Staff Position (FSP) SOP 78-9-1, “Interaction of AICPA Statement of Position 78-9 and EITF Issue No. 04-5” which was codified into ASC Topic 910-810, “Real Estate – General – Consolidation”, to amend the guidance in AICPA Statement of Position 78-9, “Accounting for Investments in Real Estate Ventures” (SOP 78-9) to be consistent with the consensus in Emerging Issues Task Force Issue No. 04-5 “Determining Whether a General Partner, or General Partners as a Group, Controls a Limited Partnership or Similar Entity When the Limited Partners Have Certain Rights” which was codified into ASC 810-20, “Consolidation”, eliminated the concept of “important rights”(ASC Topic 970-810) and replaces it with the concepts of “kick out rights” and “substantive participating rights”. In accordance with guidance set forth in ASC Topic 970-20, Portsmouth has applied the principles of accounting applicable for investments in subsidiaries due to its substantial limited partnership interest and general partnership rights and has consolidated the financial statements of Justice with those of the Company effective as of July 1, 2006. For the years ended June 30, 2014 and 2013, the results of operations for Justice were consolidated with those of the Company. | |
Effective December 1, 2008, Portsmouth and Evon, as the two general partners of Justice, entered into a 2008 Amendment to the Limited Partnership agreement (the Amendment) that provided for a change in the respective roles of the general partners. Pursuant to the Amendment, Portsmouth assumed the role of managing general partner and Evon continued on as the co-general partner of Justice. The Amendment was ratified by approximately 98% of the limited partnership interests. The Partnership Agreement was amended and restated in its entirety to comply with the new provisions of the California Corporations Code known as the “Uniform Limited Partnership Act of 2008.” The Amendment did not result in any material modifications of the rights or obligations of the general and limited partners. The Amendment also provides that future amendments to the limited partnership agreement may be made only upon the consent of the general partners and at least seventy five percent (75%) of the interests of the limited partners. Consent of at least 75% of the interests of the limited partners is required to remove a general partner pursuant to the Amendment. | |
Concurrent with the Amendment, a new General Partner Compensation Agreement (the Compensation Agreement) was entered into on December 1, 2008, among Justice, Portsmouth and Evon to terminate and supersede all prior compensation agreements for the general partners. Pursuant to the Compensation Agreement, the general partners of Justice will be entitled to receive an amount equal to 1.5% of the gross annual revenues of the partnership (as defined), less $75,000 to be used as a contribution toward the cost of Justice engaging an asset manager. In no event shall the annual compensation be less than a minimum base of approximately $285,000, with eighty percent (80%) of that amount being allocated to Portsmouth for its services as managing general partner and twenty percent (20%) allocated to Evon as the co-general partner. Compensation earned by the general partners in each calendar year in excess of the minimum base will be payable in equal fifty percent (50%) shares to Portsmouth and Evon. As described below, the Compensation Agreement was amended upon the completion of the Offer to Redeem on December 18, 2013. | |
In December 2013, the Partnership determined to restructure its ownership to facilitate a refinancing of the Hotel and redeem the interests of certain Partners, including Evon. In the course of this refinancing, restructuring and redemption, the Partnership created Justice Holdings Company, LLC (“Holdings”), a Delaware Limited Liability Company, Justice Operating Company, LLC (“Operating”) and Justice Mezzanine Company, LLC (“Mezzanine”). Holdings and Mezzanine are both a wholly-owned subsidiaries of the Partnership; Operating is a wholly-owned subsidiary of Mezzanine. Mezzanine is the Mezzanine borrower and in December 2013, the Partnership conveyed ownership of the Hotel to Operating. | |
On December 18, 2013, the Partnership completed an Offer to Redeem any and all limited partnership interests not held by Portsmouth and the Loan Agreements, as defined below. In addition, the Partnership approved amendments to the Amended and Restated Agreement of Limited Partnership, which amendments became effective upon the completion of the Offer to Redeem and the consummation of the Loan Agreements. Such amendments are described below. As a result, Portsmouth, which prior to the Offer to Redeem owned 50% of the then outstanding limited partnership interests now controls approximately 93% of the voting interest in Justice and is now its sole General Partner. | |
Pursuant to the Offer to Redeem, the Partnership has accepted tenders, for cash, from Evon, a general partner and seventy-three of the limited partners representing approximately 29.173% of partnership interests outstanding prior to the Offer to Redeem for $1,385,000 for each 1% tendered. On December 19, 2013, Justice distributed the amounts due each of these former partners pursuant to the terms of the tender offer. | |
In addition, the Partnership has accepted the election of holders of approximately 17.146% of the limited partnership interests outstanding prior to the Offer to Redeem to participate in an alternate redemption structure. Under that alternative redemption structure, the Partnership paid to Holdings $1,385,000 for each 1% tendered. Those partners who elected the alternative redemption structure may within 12 months of December 18, 2013, designate property for Holdings to purchase and then require Holdings to transfer that property to the partner in redemption of that partner’s interest in the Partnership. The governing agreement also provides for other possible methods of redeeming the interests of the partners who elected the alternate redemption structure. During the year ended June 30, 2014, a total of $2,928,000 was redeemed under the alternative redemption structure. As of June 30, 2014, the current and deferred payments related to the alternative redemption structure, which are held by Justice’s wholly owned subsidiary, Holdings, are classified as restricted cash and, together with the expenses discussed below, total $16,163,000 and are classified on the balance sheet as redemption payable. | |
The Partnership incurred approximately $6,681,000 in restructuring costs relating to the Offer to Redeem and related financing transactions, including a one-time management fee of $1,550,000, approximately $431,000 in legal, accounting and other professional expenses, and payment of a Documentary Transfer Tax of approximately $4.7 million to the City and County of San Francisco (“CCSF”). CCSF required payment of the Documentary Transfer Tax as a condition to record the transfer of the Hotel to Operating and other documents related to the Loan Agreements. While the Partnership believes the amount of Documentary Transfer tax that was assessed by CCSF was incorrect, the tax was paid, under protest, to allow for the consummation of the redemption transaction, the Loan Agreements and the recording of all related documents. The Partnership has challenged CCSF’s imposition of the tax and filed a refund claim with the CCSF. No prediction can be made as to whether CCSF’s calculation of the tax will be upheld, or whether any portion of the tax will be refunded. | |
In connection with the Offer to Redeem, the Partnership retired existing debt and replaced it with lower-yielding loans, the proceeds of which were used to fund the Offer to Redeem and to provide for additional working capital for the Hotel. The Partnership incurred a loss on the extinguishment of debt of $3,910,000 which included a yield maintenance (prepayment penalty) expense of $3,808,000 and a write-off of capitalized loan costs on the refinanced debt of approximately $102,000. | |
As a result of the ownership structure implemented in December 2013, the Partnership is the indirect sole owner of a 543-room hotel property located at 750 Kearny Street, San Francisco, California, now known as the Hilton San Francisco Financial District (the Hotel) and related facilities including a five level underground parking garage. The Hotel is operated by Operating as a full service Hilton brand hotel pursuant to a Franchise License Agreement with Hilton Hotels Corporation. Operating also has a Management Agreement with Prism Hospitality L.P. (Prism) to perform management functions for the Hotel. The management agreement with Prism had an original term of ten years and can be terminated at any time with or without cause by the Partnership owner. Effective January 2014, the management agreement with Prism was amended by the Partnership. Effective December 1, 2013, GMP Management, Inc., a company owned by a Justice limited partner and related party, also provides management services for the Partnership pursuant to a Management Services Agreement, which is for a term of 3 years, but which can be terminated earlier by the Partnership for cause. | |
As of June 30, 2014, the Partnership had an accumulated deficit. That accumulated deficit is primarily attributable to the redemption of certain limited partners, effective December 18, 2013. The Partnership utilized the book value method to record the redemption of the limited partners. Under book value (bonus) method the remaining partners continue the existing partnership, recording no changes to the book values of the partnership's assets and liabilities. As a result, any revaluation of the existing partnership's assets or liabilities that might be undertaken is solely to determine the settlement price to the outgoing partner. The partner's withdrawal from the partnership is recorded by adjusting the remaining partners' capital accounts with the amount of the bonus, which is allocated according to their income sharing ratio. The amount of adjustment is equal to the difference between the settlement price paid to the withdrawing partner and the book value of his share of total partnership capital at the time he withdraws. Justice Partner’s capital was reduced by approximately $64.1 million for the redemption. | |
Management believes that the revenues and cash flows expected to be generated from the operations of the Hotel, garage and leases will be sufficient to meet all of the Partnership’s current and future obligations and financial requirements. Management also believes that there is significant appreciated value in the Hotel and other real estate properties in excess of the net book value to support additional borrowings, if necessary. | |
INVESTMENT_IN_HOTEL_NET
INVESTMENT IN HOTEL, NET (Hotel [Member]) | 12 Months Ended | ||||||||||
Jun. 30, 2014 | |||||||||||
Hotel [Member] | ' | ||||||||||
Real Estate Properties [Line Items] | ' | ||||||||||
Real Estate Disclosure [Text Block] | ' | ||||||||||
NOTE 3 – INVESTMENT IN HOTEL, NET | |||||||||||
Investment in hotel consisted of the following as of: | |||||||||||
Accumulated | Net Book | ||||||||||
June 30, 2014 | Cost | Depreciation | Value | ||||||||
Land | $ | 2,738,000 | $ | - | $ | 2,738,000 | |||||
Furniture and equipment | 23,306,000 | -20,072,000 | 3,234,000 | ||||||||
Building and improvements | 59,828,000 | -23,903,000 | 35,925,000 | ||||||||
$ | 85,872,000 | $ | -43,975,000 | $ | 41,897,000 | ||||||
Accumulated | Net Book | ||||||||||
30-Jun-13 | Cost | Depreciation | Value | ||||||||
Land | $ | 2,738,000 | $ | - | $ | 2,738,000 | |||||
Furniture and equipment | 22,271,000 | -19,310,000 | 2,961,000 | ||||||||
Building and improvements | 58,875,000 | -22,846,000 | 36,029,000 | ||||||||
$ | 83,884,000 | $ | -42,156,000 | $ | 41,728,000 | ||||||
The Partnership leases certain equipment under agreements that are classified as capital leases. The cost of equipment under capital leases was $2,131,000 at June 30, 2014 and 2013. The accumulated depreciation on capital leases was $2,098,000 and $1,930,000 as of June 30, 2014 and 2013, respectively. | |||||||||||
In December 2013, Justice determined to substantially demolish the Hotel’s ground-level Spa (with the exception of the ceilings and certain mechanical systems) to build out additional meeting rooms, a technology lounge and re-locate Hotel offices. Justice believes this will result in a greater guest experience and increases in operating revenues. Justice recorded a loss of approximately $738,000 as a disposal of assets on the closure of the Hotel’s Spa on the lobby level. | |||||||||||
INVESTMENT_IN_REAL_ESTATE_NET
INVESTMENT IN REAL ESTATE, NET (Apartment Building [Member]) | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Apartment Building [Member] | ' | |||||||
Real Estate Properties [Line Items] | ' | |||||||
Real Estate Disclosure [Text Block] | ' | |||||||
NOTE 4 - INVESTMENT IN REAL ESTATE, NET | ||||||||
At June 30, 2014, the Company's investment in real estate consisted of twenty-three properties located throughout the United States. These properties include eighteen apartment complexes, two single-family houses as strategic investments, and two commercial real estate properties. The Company also owns two unimproved real estate properties located in Austin, Texas and Maui, Hawaii. | ||||||||
Investment in real estate included the following: | ||||||||
As of June 30, | 2014 | 2013 | ||||||
Land | $ | 25,781,000 | $ | 25,781,000 | ||||
Buildings, improvements and equipment | 74,039,000 | 73,453,000 | ||||||
Accumulated depreciation | -36,123,000 | -33,972,000 | ||||||
$ | 63,697,000 | $ | 65,262,000 | |||||
In February 2014, the Company entered into a contract to sell its 249 unit apartment complex located in Austin, Texas and the adjacent unimproved land for $15,800,000. The purchase/sale agreement provides that purchaser can terminate the agreement with or without cause, however, the potential purchaser would forfeit the earnest money ($208,000) and additional consideration ($250,000) totaling $458,000. The purchaser also has the option to extend the agreement. As of August 31, 2014, the Company has received the $458,000. The Company is currently in the process of negotiating another extension of the purchase agreement. | ||||||||
INVESTMENT_IN_MARKETABLE_SECUR
INVESTMENT IN MARKETABLE SECURITIES | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | ' | ||||||||||||||||
NOTE 5 - INVESTMENT IN MARKETABLE SECURITIES | |||||||||||||||||
The Company’s investment in marketable securities consists primarily of corporate equities. The Company has also periodically invested in corporate bonds and income producing securities, which may include interests in real estate based companies and REITs, where financial benefit could insure to its shareholders through income and/or capital gain. | |||||||||||||||||
At June 30, 2014 and 2013, all of the Company’s marketable securities are classified as trading securities. The change in the unrealized gains and losses on these investments are included in earnings. Trading securities are summarized as follows: | |||||||||||||||||
Gross | Gross | Net | Fair | ||||||||||||||
Investment | Cost | Unrealized Gain | Unrealized Loss | Unrealized Gain | Value | ||||||||||||
As of June 30, 2014 | |||||||||||||||||
Corporate | |||||||||||||||||
Equities | $ | 10,369,000 | $ | 2,717,000 | $ | -1,666,000 | $ | 1,051,000 | $ | 11,420,000 | |||||||
As of June 30, 2013 | |||||||||||||||||
Corporate | |||||||||||||||||
Equities | $ | 11,314,000 | $ | 3,391,000 | $ | -2,081,000 | $ | 1,310,000 | $ | 12,624,000 | |||||||
As of June 30, 2014 and 2013, the Company had $1,615,000 and $1,670,000, respectively, of unrealized losses related to securities held for over one year. | |||||||||||||||||
Net loss on marketable securities on the statement of operations is comprised of realized and unrealized gains (losses). Below is the composition of the two components for the years ended June 30, 2014 and 2013, respectively. | |||||||||||||||||
For the year ended June 30, | 2014 | 2013 | |||||||||||||||
Realized gain on marketable securities | $ | 870,000 | $ | 147,000 | |||||||||||||
Unrealized gain (loss) on marketable securities | 128,000 | -1,003,000 | |||||||||||||||
Net gain (loss) on marketable securities | $ | 998,000 | $ | -856,000 | |||||||||||||
OTHER_INVESTMENTS_NET
OTHER INVESTMENTS, NET | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Other Investments [Abstract] | ' | |||||||
Other Investments Disclosure [Text Block] | ' | |||||||
NOTE 6 – OTHER INVESTMENTS, NET | ||||||||
The Company may also invest, with the approval of the Securities Investment Committee and other Company guidelines, in private investment equity funds and other unlisted securities, such as convertible notes through private placements. Those investments in non-marketable securities are carried at cost on the Company’s balance sheet as part of other investments, net of other than temporary impairment losses. | ||||||||
Other investments, net consist of the following: | ||||||||
Type | June 30, 2014 | June 30, 2013 | ||||||
Preferred stock - Comstock, at cost | $ | 13,231,000 | $ | 13,231,000 | ||||
Private equity hedge fund, at cost | 1,650,000 | 1,774,000 | ||||||
Corporate debt and equity instruments, at cost | 269,000 | 269,000 | ||||||
Other preferred stock | 480,000 | - | ||||||
Warrants - at fair value | 207,000 | 6,000 | ||||||
$ | 15,837,000 | $ | 15,280,000 | |||||
As of June 30, 2014 and 2013, the Company had investments in corporate debt and equity instruments which had attached warrants that were considered derivative instruments. These warrants have an allocated cost basis of $420,000 and $400,000, respectively, as of June 30, 2014 and 2013 and a fair value of $207,000 and $6,000, respectively, as of June 30, 2014 and 2013. During the year ended June 30, 2014 and 2013, the Company had an unrealized gain of $181,000 and an unrealized loss of $216,000, respectively, related to these warrants. | ||||||||
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Disclosures [Text Block] | ' | ||||||||||||||||
NOTE 7 - FAIR VALUE MEASUREMENTS | |||||||||||||||||
The carrying values of the Company’s financial instruments not required to be carried at fair value on a recurring basis approximate fair value due to their short maturities (i.e., accounts receivable, other assets, accounts payable and other liabilities, due to securities broker and obligations for securities sold) or the nature and terms of the obligation (i.e., other notes payable and mortgage notes payable). | |||||||||||||||||
The assets measured at fair value on a recurring basis are as follows: | |||||||||||||||||
As of June 30, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Other investments - warrants | $ | - | $ | - | $ | 207,000 | $ | 207,000 | |||||||||
Investment in marketable securities: | |||||||||||||||||
Basic materials | 5,081,000 | - | - | 5,081,000 | |||||||||||||
Technology | 1,395,000 | - | - | 1,395,000 | |||||||||||||
REITs and real estate companies | 1,001,000 | - | - | 1,001,000 | |||||||||||||
Financial services | 820,000 | - | - | 820,000 | |||||||||||||
Other | 3,123,000 | - | - | 3,123,000 | |||||||||||||
11,420,000 | - | - | 11,420,000 | ||||||||||||||
$ | 11,420,000 | $ | - | $ | 207,000 | $ | 11,627,000 | ||||||||||
As of June 30, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Cash equivalents - money market | $ | 3,000 | $ | - | $ | - | $ | 3,000 | |||||||||
Other investments - warrants | - | 6,000 | 6,000 | ||||||||||||||
Investment in marketable securities: | |||||||||||||||||
Basic materials | 4,733,000 | - | - | 4,733,000 | |||||||||||||
Technology | 2,698,000 | - | - | 2,698,000 | |||||||||||||
Financial services | 2,261,000 | - | - | 2,261,000 | |||||||||||||
REITs and real estate companies | 878,000 | - | - | 878,000 | |||||||||||||
Other | 2,054,000 | - | - | 2,054,000 | |||||||||||||
12,624,000 | - | - | 12,624,000 | ||||||||||||||
$ | 12,627,000 | $ | - | $ | 6,000 | $ | 12,633,000 | ||||||||||
The fair values of investments in marketable securities are determined by the most recently traded price of each security at the balance sheet date. The fair value of the warrants was determined based upon a Black-Scholes option valuation model. | |||||||||||||||||
Financial assets that are measured at fair value on a non-recurring basis and are not included in the tables above include “Other investments in non-marketable securities,” that were initially measured at cost and have been written down to fair value as a result of impairment or adjusted to record the fair value of new instruments received (i.e., preferred shares) in exchange for old instruments (i.e., debt instruments). The following table shows the fair value hierarchy for these assets measured at fair value on a non-recurring basis as follows: | |||||||||||||||||
Net loss for the year | |||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | June 30, 2014 | ended June 30, 2014 | ||||||||||||
Other non-marketable investments | $ | - | $ | - | $ | 15,630,000 | $ | 15,630,000 | $ | -101,000 | |||||||
Net loss for the year | |||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | June 30, 2013 | ended June 30, 2013 | ||||||||||||
Other non-marketable investments | $ | - | $ | - | $ | 15,274,000 | $ | 15,274,000 | $ | -105,000 | |||||||
Other investments in non-marketable securities are carried at cost net of any impairment loss. The Company has no significant influence or control over the entities that issue these investments. These investments are reviewed on a periodic basis for other-than-temporary impairment. When determining the fair value of these investments on a non-recurring basis, the Company uses valuation techniques such as the market approach and the unobservable inputs include factors such as conversion ratios and the stock price of the underlying convertible instruments. The Company reviews several factors to determine whether a loss is other-than-temporary. These factors include but are not limited to: (i) the length of time an investment is in an unrealized loss position, (ii) the extent to which fair value is less than cost, (iii) the financial condition and near term prospects of the issuer and (iv) our ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. | |||||||||||||||||
OTHER_ASSETS_NET
OTHER ASSETS, NET | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Other Assets Disclosure [Text Block] | ' | |||||||
NOTE 8 – OTHER ASSETS, NET | ||||||||
Other assets consist of the following as of June 30: | ||||||||
2014 | 2013 | |||||||
Accounts receivable, net | $ | 1,964,000 | $ | 1,957,000 | ||||
Prepaid expenses | 1,120,000 | 581,000 | ||||||
Occupancy tax deposit | 1,061,000 | - | ||||||
Inventory - hotel | 653,000 | 918,000 | ||||||
Miscellaneous assets, net | 2,961,000 | 2,435,000 | ||||||
Total other assets | $ | 7,759,000 | $ | 5,891,000 | ||||
Amortization expense of loan fees and franchise costs for the years ended June 30, 2014 and 2013 was $88,000 and $72,000, respectively. | ||||||||
OTHER_NOTES_PAYABLE
OTHER NOTES PAYABLE | 12 Months Ended |
Jun. 30, 2014 | |
Payables and Accruals [Abstract] | ' |
Other Notes Payable And Line Of Credit [Text Block] | ' |
NOTE 9 – OTHER NOTES PAYABLE | |
The Partnership had a $2,500,000 unsecured revolving line of credit facility with East West Bank that was to mature on April 30, 2010. Effective April 29, 2010, the Partnership obtained a modification from the bank which converted its revolving line of credit facility to a term loan. | |
The modification provided that the Partnership will pay the balance on its line of credit facility over a period of four years, to mature on April 30, 2014. This term loan called for monthly principal and interest payments, calculated on a six-year amortization schedule. Pursuant to the modification, the annual floating interest rate was reduced by 0.5% to the WSJ Prime Rate plus 2.5% (with a minimum floor rate of 5.0% per annum). The term note was paid off in full in December 2013 in connection to the partnership redemption. | |
During fiscal 2013, Justice entered into a financing agreement with Ace Parking Management, Inc. to purchase equipment. The note bears 11.5% interest and is payable in equal monthly installments (principal and interest) through April 2018. As of June 30, 2014 and 2013, the note payable balance was $182,000 and $219,000, respectively. | |
The Partnership had short-term financing agreements with a financial institution for the payment of its general, property, and workers’ compensation insurance. The notes payable under these financing agreements bore interest at 4% per annum and was payable in equal monthly installments (principal and interest) through July 2013. This note payable was paid in full during the year ended June 30, 2014. The Partnership obtained a new short term financing agreement with a financial institution for such insurance during the year ended June 30, 2014. The notes payable under these financing agreements bear interest at 5.0% per annum and was payable in equal monthly installments (principal and interest) through July 2014. The outstanding balance was $91,000 and $71,000 as of June 2014 and 2013, respectively. | |
MORTGAGE_NOTES_PAYABLE
MORTGAGE NOTES PAYABLE | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||
Mortgage Notes Payable Disclosure [Text Block] | ' | ||||||||||||||||
NOTE 10 - MORTGAGE NOTES PAYABLE | |||||||||||||||||
On December 18, 2013: (i) Justice Operating Company, LLC, a Delaware limited liability company (“Operating”), entered into a loan agreement (“Mortgage Loan Agreement”) with Bank of America (“Mortgage Lender”); and (ii) Justice Mezzanine Company, a Delaware limited liability company (“Mezzanine”), entered into a mezzanine loan agreement (“Mezzanine Loan Agreement” and, together with the Mortgage Loan Agreement, the “Loan Agreements”) with ISBI San Francisco Mezz Lender LLC (“Mezzanine Lender” and, together with Mortgage Lender, the “Lenders”). The Partnership is the sole member of Mezzanine, and Mezzanine is the sole member of Operating. | |||||||||||||||||
The Loan Agreements provide for a $97,000,000 Mortgage Loan and a $20,000,000 Mezzanine Loan. The proceeds of the Loan Agreements were used to fund the redemption of limited partnership interests described above and the pay-off of the prior mortgage. | |||||||||||||||||
The Mortgage Loan is secured by the Partnership’s principal asset, the Hilton San Francisco-Financial District (the “Property”). The Mortgage Loan bears an interest rate of 5.28% per annum and matures on January 1, 2024. The term of the Mortgage Loan is 10 years with interest only due in the first three years and equal monthly principal and interest payments based upon a 30 year amortization schedule for the remaining seven years of the Mortgage Loan term. The Mortgage Loan also requires payments for impounds related to property tax, insurance and capital improvement reserves. As additional security for the Mortgage Loan, there is a limited guaranty (“Mortgage Guaranty”) executed by the Company in favor of Mortgage Lender. | |||||||||||||||||
The Mezzanine Loan is secured by the Operating membership interest held by Mezzanine and is subordinated to the Mortgage Loan. The Mezzanine Loan bears interest at 9.75% per annum and matures on January 1, 2024. Interest only is payable monthly. As additional security for the Mezzanine Loan, there is a limited guaranty executed by the Company in favor of Mezzanine Lender (the “Mezzanine Guaranty” and, together with the Mortgage Guaranty, the “Guaranties”). | |||||||||||||||||
The Guaranties are limited to what are commonly referred to as “bad boy” acts, including: (i) fraud or intentional misrepresentations; (ii) gross negligence or willful misconduct; (iii) misapplication or misappropriation of rents, security deposits, insurance or condemnation proceeds; and (iv) failure to pay taxes or insurance. The Guaranties will be full recourse guaranties under identified circumstances, including failure to maintain “single purpose” status which is a factor in a consolidation of Operating or Mezzanine in a bankruptcy of another person, transfer or encumbrance of the Property in violation of the applicable loan documents, Operating or Mezzanine incurring debts that are not permitted, and the Property becoming subject to a bankruptcy proceeding. Pursuant to the Guaranties, the Company is required to maintain a certain minimum net worth and liquidity. As of June 30, 2014, the Company is in compliance with both requirements. | |||||||||||||||||
Each of the Loan Agreements contains customary representations and warranties, events of default, reporting requirements, affirmative covenants and negative covenants, which impose restrictions on, among other things, organizational changes of the respective borrower, operations of the Property, agreements with affiliates and third parties. Each of the Loan Agreements also provides for mandatory prepayments under certain circumstances (including casualty or condemnation events) and voluntary prepayments, subject to satisfaction of prescribed conditions set forth in the Loan Agreements. | |||||||||||||||||
In June 2014, the Company obtained a second mortgage on its 151-unit apartment located in Morris County, New Jersey in the amount of $2,740,000. The term of the loan is approximately 8 years with the interest rate fixed at 4.51%. The loan matures in August 2022. | |||||||||||||||||
In June 2014, the Company obtained a seven month extension of its $992,000 mortgage note payable on the first commercial building located in Los Angeles, California that matured in June 2014. The loan was extended to January 2015. Interest rate on the note remains the same. | |||||||||||||||||
In April 2014, the Company refinanced its $526,000 mortgage note payable on the second commercial building located in Los Angeles, California for a new 3-year interest only mortgage in the amount of $1,100,000. The Company received net proceeds of $556,000. The interest rate on the new loan is fixed at 3.25% per annum and the note matures in May 2017. | |||||||||||||||||
In July 2013, the Company refinanced its $466,000 adjustable rate mortgage note payable on its 8-unit apartment located in Los Angeles, California for a new 30-year mortgage in the amount of $500,000. The interest rate on the new loan is fixed at 3.50% per annum for the first five years and variable for the remaining of the term. The note matures in July 2043. | |||||||||||||||||
Mortgage notes payable secured by real estate and hotel As of June 30, 2014 and 2013 are summarized as follows: | |||||||||||||||||
As of June 30, 2014 | |||||||||||||||||
Number | Note | Note | |||||||||||||||
Property | of Units | Origination Date | Maturity Date | Mortgage Balance | Interest Rate | ||||||||||||
SF Hotel | 543 rooms | December | 2013 | January | 2024 | $ | 97,000,000 | 5.28 | % | ||||||||
SF Hotel | 543 rooms | December | 2013 | January | 2024 | 20,000,000 | 9.75 | % | |||||||||
Mortgage notes payable - hotel | $ | 117,000,000 | |||||||||||||||
Austin | 249 | June | 2003 | July | 2023 | $ | 6,505,000 | 5.46 | % | ||||||||
Florence | 157 | June | 2005 | July | 2015 | 3,722,000 | 4.96 | % | |||||||||
Las Colinas | 358 | November | 2012 | December | 2022 | 18,970,000 | 3.73 | % | |||||||||
Morris County | 151 | July | 2012 | July | 2022 | 10,279,000 | 3.51 | % | |||||||||
Morris County | 151 | June | 2014 | August | 2022 | 2,740,000 | 4.51 | % | |||||||||
St. Louis | 264 | May | 2013 | May | 2023 | 5,943,000 | 4.05 | % | |||||||||
Los Angeles | 4 | September | 2012 | September | 2042 | 383,000 | 4.25 | % | |||||||||
Los Angeles | 2 | September | 2012 | September | 2042 | 388,000 | 4.25 | % | |||||||||
Los Angeles | 1 | August | 2012 | September | 2042 | 417,000 | 4.25 | % | |||||||||
Los Angeles | 31 | January | 2010 | December | 2020 | 5,475,000 | 4.85 | % | |||||||||
Los Angeles | 30 | August | 2007 | September | 2022 | 6,399,000 | 5.97 | % | |||||||||
Los Angeles | 27 | November | 2010 | December | 2020 | 3,085,000 | 4.85 | % | |||||||||
Los Angeles | 14 | April | 2011 | March | 2021 | 1,780,000 | 5.89 | % | |||||||||
Los Angeles | 12 | December | 2011 | January | 2022 | 2,008,000 | 4.25 | % | |||||||||
Los Angeles | 9 | April | 2011 | May | 2021 | 1,427,000 | 5.6 | % | |||||||||
Los Angeles | 9 | April | 2011 | March | 2021 | 1,213,000 | 5.89 | % | |||||||||
Los Angeles | 8 | July | 2013 | July | 2043 | 491,000 | 3.5 | % | |||||||||
Los Angeles | 7 | August | 2012 | September | 2042 | 949,000 | 3.85 | % | |||||||||
Los Angeles | 4 | August | 2012 | September | 2042 | 649,000 | 3.85 | % | |||||||||
Los Angeles | 1 | September | 2012 | September | 2042 | 445,000 | 4.25 | % | |||||||||
Los Angeles | Office | March | 2009 | March | 2015 | 992,000 | 5.02 | % | |||||||||
Los Angeles | Office | April | 2014 | May | 2017 | 1,100,000 | 3.25 | % | |||||||||
Mortgage notes payable - real estate | $ | 75,360,000 | |||||||||||||||
As of June 30, 2013 | |||||||||||||||||
Number | Note | Note | |||||||||||||||
Property | of Units | Origination Date | Maturity Date | Mortgage Balance | Interest Rate | ||||||||||||
SF Hotel | 543 rooms | July | 2005 | August | 2015 | $ | 26,043,000 | 5.22 | % | ||||||||
SF Hotel | 543 rooms | March | 2005 | August | 2015 | 17,370,000 | 6.42 | % | |||||||||
Mortgage notes payable - hotel | $ | 43,413,000 | |||||||||||||||
Austin | 249 | June | 2003 | July | 2023 | $ | 6,694,000 | 5.46 | % | ||||||||
Florence | 157 | June | 2005 | July | 2014 | 3,802,000 | 4.96 | % | |||||||||
Las Colinas | 358 | November | 2012 | December | 2022 | 19,326,000 | 3.73 | % | |||||||||
Morris County | 151 | July | 2012 | July | 2022 | 10,556,000 | 3.51 | % | |||||||||
St. Louis | 264 | May | 2013 | May | 2023 | 6,045,000 | 4.05 | % | |||||||||
Los Angeles | 4 | September | 2012 | September | 2042 | 390,000 | 4.25 | % | |||||||||
Los Angeles | 2 | September | 2012 | September | 2042 | 395,000 | 4.25 | % | |||||||||
Los Angeles | 1 | August | 2012 | September | 2042 | 425,000 | 4.25 | % | |||||||||
Los Angeles | 31 | January | 2010 | December | 2020 | 5,570,000 | 4.85 | % | |||||||||
Los Angeles | 30 | August | 2007 | September | 2022 | 6,505,000 | 5.97 | % | |||||||||
Los Angeles | 27 | November | 2010 | December | 2020 | 3,138,000 | 4.85 | % | |||||||||
Los Angeles | 14 | April | 2011 | March | 2021 | 1,805,000 | 5.89 | % | |||||||||
Los Angeles | 12 | December | 2011 | January | 2022 | 2,045,000 | 4.25 | % | |||||||||
Los Angeles | 9 | April | 2011 | May | 2021 | 1,447,000 | 5.6 | % | |||||||||
Los Angeles | 9 | April | 2011 | March | 2021 | 1,230,000 | 5.89 | % | |||||||||
Los Angeles | 8 | May | 2001 | November | 2029 | 466,000 | 2.49 | % | |||||||||
Los Angeles | 7 | August | 2012 | September | 2042 | 967,000 | 3.85 | % | |||||||||
Los Angeles | 4 | August | 2012 | September | 2042 | 661,000 | 3.85 | % | |||||||||
Los Angeles | 1 | September | 2012 | September | 2042 | 453,000 | 4.25 | % | |||||||||
Los Angeles | Office | March | 2009 | March | 2014 | 1,036,000 | 5.02 | % | |||||||||
Los Angeles | Office | September | 2000 | December | 2013 | 556,000 | 6 | % | |||||||||
Mortgage notes payable - real estate | $ | 73,512,000 | |||||||||||||||
In May 2013, the Company refinanced its $5,671,000 mortgage note payable on its 264-unit apartment building located in St. Louis, Missouri for a new 10-year mortgage in the amount of $6,045,000. The interest rate on the new loan is fixed at 4.05% per annum for ten years, with monthly principal and interest payments based on a 30-year amortization schedule. The note matures in May 2023. | |||||||||||||||||
In November 2012, the Company refinanced its $17,509,000 mortgage note payable on its 358-unit apartment building located in Las Colinas, Texas for a new 10-year mortgage in the amount of $19,500,000. The interest rate on the new loan is fixed at 3.73% per annum for ten years, with monthly principal and interest payments based on a 30-year amortization schedule. The note matures in December 2022. The Company received net proceeds of approximately $529,000 from the refinancing. | |||||||||||||||||
In September 2012, the Company refinanced its $388,000 adjustable rate mortgage note payable on its 2-unit apartment located in Los Angeles, California for a new 30-year fixed rate mortgage in the amount of $400,000. The interest rate on the new loan is 4.25% per annum. The note matures in September 2042. | |||||||||||||||||
In July 2012, the Company refinanced its $9,010,000 mortgage note payable on its 151-unit apartment building located in Morris County, New Jersey for a new 10-year mortgage in the amount of $10,780,000. The interest rate on the new loan is fixed at 3.51% per annum for ten years, with monthly principal and interest payments based on a 25-year amortization schedule. The note matures in August 2022. The Company received net proceeds of approximately $1,513,000 from the refinancing. | |||||||||||||||||
In August 2012, the Company refinanced two mortgages on two properties located in Los Angeles, California with mortgage note payable balances totaling $1,583,000 for two new 30-year mortgages totaling $1,650,000. The interest rate on the two loans is fixed at 3.85% for the first five years and variable thereafter, with monthly principal and interest payments based on a 30-year amortization schedule. The notes mature in September 2042. | |||||||||||||||||
In August 2012, the Company refinanced three mortgages on three properties located in Los Angeles, California with mortgage note payable balances totaling $1,243,000 for three new 30-year mortgages totaling $1,285,000. The interest rate on the three loans is fixed at 4.25% for the first five years and variable thereafter, with monthly principal and interest payments based on a 30-year amortization schedule. The notes mature in September 2042. | |||||||||||||||||
Future minimum payments for all notes payable are as follows: | |||||||||||||||||
For the year ending June 30, | |||||||||||||||||
2015 | $ | 2,845,000 | |||||||||||||||
2016 | 5,130,000 | ||||||||||||||||
2017 | 2,339,000 | ||||||||||||||||
2018 | 3,088,000 | ||||||||||||||||
2019 | 3,239,000 | ||||||||||||||||
Thereafter | 176,001,000 | ||||||||||||||||
$ | 192,642,000 | ||||||||||||||||
GARAGE_OPERATIONS
GARAGE OPERATIONS | 12 Months Ended |
Jun. 30, 2014 | |
Garage Operations And Rental Income [Abstract] | ' |
Garage Operations And Rental Income [Text Block] | ' |
NOTE 11 – GARAGE OPERATIONS | |
The Partnership formerly leased the Hotel’s parking garage from its owner, Evon, under a lease that was to expire in November 2010. Effective October 1, 2008, Justice and Evon entered into an installment sale agreement whereby Justice purchased all of Evon’s right, title, and interest in the remaining term of the garage lease and other related assets. Justice also agreed to assume Evon’s contract with Ace Parking Management, Inc. (Ace Parking) for the management of the garage. | |
The garage is currently operated by Ace Parking for the Partnership pursuant to a Parking Facilities Management Agreement (the “Parking Agreement”). The initial term of the Parking Agreement was to expire on October 31, 2010, with an option to renew for another five-year term. | |
On October 31, 2010, the Partnership and Ace Parking entered into an amendment of the Parking Agreement to extend the term for a period of sixty two (62) months, commencing on November 1, 2010 and terminating December 31, 2015, subject to either party’s right to terminate the agreement without cause on ninety (90) days written notice. The monthly management fee of $2,000 and the accounting fee of $250 remain the same, but the amendment modified how the Excess Profit Fee to be paid to Ace Parking would be calculated. | |
The amendment provides that, if net operating income (NOI) from the garage operations exceeds $1,800,000 but is less than $2,000,000, then Ace Parking will be entitled to an Excess Profit Fee of one percent (1%) of the total annual NOI. If the annual NOI is $2,000,000 or higher, Ace Parking will be entitled to an Excess Profit Fee equal to two percent (2%) of the total annual NOI. The garage’s NOI exceeded the annual NOI of $2,000,000 for the years ended June 30, 2014 and 2013. Base Management and incentive fees to Ace Parking amounted to $44,000 for each of the years ended June 30, 2014 and 2013, respectively. | |
MANAGEMENT_AGREEMENTS
MANAGEMENT AGREEMENTS | 12 Months Ended |
Jun. 30, 2014 | |
Management Agreement [Abstract] | ' |
Management Agreement [Text Block] | ' |
NOTE 12 – MANAGEMENT AGREEMENTS | |
On February 2, 2007, the Partnership entered into an agreement with Prism to manage and operate the Hotel as its agent. The agreement was effective for a term of ten years, unless the agreement was extended or earlier terminated as provided in the agreement. Under the management agreement, the Partnership was required to pay the base management fees of up to 2.5% of gross operating revenues of the Hotel (i.e., room, food and beverage, and other operating departments) for the fiscal year. Of that amount, 1.75% of the gross operating revenues was paid monthly. The balance or 0.75% was paid only to the extent that the partially adjusted net operating income (net operating income less capital expenditures) for the fiscal year exceeded the amount of the Hotel’s return for the fiscal year. The base management fee was limited to 1.75% for the period ended January 31, 2014 and year ended June 30, 2013, respectively. In January 2014 the Partnership amended the management agreement to a fixed rate of $20,000 per month. It can also earn an incentive fee of $10,500 for each month that the revenues per room of the Hotel exceed the average revenues per room of a defined set of competing hotels. Management fees paid to Prism during the years ended June 30, 2014 and 2013 were $579,000 and $754,000, respectively. | |
Effective December 1, 2013, GMP Management, Inc. (GMP), a company owned by a Justice limited partner and related party, also provides management services for the Partnership pursuant to a Management Services Agreement. The management agreement with GMP has a term of 3 years, but may be terminated earlier by the Partnership for cause. Under the agreement, GMP is required to advise the Partnership on the management and operation of the hotel; administer the Partnership’s contracts, leases, agreements with hotel managers and franchisors and other contracts and agreements; provide administrative and asset management services, oversee financial reporting, and maintain offices at the Hotel in order to facilitate provision of services. GMP is paid an annual base management fee of $325,000 per year, increasing by 5% per year, payable in monthly installments, and to reimbursement for reasonable and necessary costs and expenses incurred by GMP in performing its obligations under the agreement. During the year ended June 30, 2014, GMP was reimbursed for $235,000, for the salaries, benefits and local payroll taxes for three key employees. Management fees paid to GMP during the year ended June 30, 2014 were $424,000. | |
CONCENTRATION_OF_CREDIT_RISK
CONCENTRATION OF CREDIT RISK | 12 Months Ended |
Jun. 30, 2014 | |
Risks and Uncertainties [Abstract] | ' |
Concentration Risk Disclosure [Text Block] | ' |
NOTE 13 – CONCENTRATION OF CREDIT RISK | |
Travel agents and airlines made up 50%, or $915,000, and 30%, or $595,000, of accounts receivable at June 30, 2014 and 2013, respectively. The Hotel had two customers that accounted for 65%, or $1,203,000, of accounts receivable at June 30, 2014. The Hotel had one customer who accounted for 32%, or $525,000, of accounts receivable at June 30, 2013. | |
The Company maintains its cash and cash equivalents and restricted cash with various financial institutions that are monitored regularly for credit quality. At times, such cash and cash equivalents holdings may be in excess of the Federal Deposit Insurance Corporation (FDIC) or other federally insured limits. | |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
Income Tax Disclosure [Text Block] | ' | |||||||
NOTE 14 – INCOME TAXES | ||||||||
The provision for the Company’s income tax benefit (expense) is comprised of the following: | ||||||||
For the years ended June 30, | 2014 | 2013 | ||||||
Federal | ||||||||
Current tax expense | $ | -51,000 | $ | -62,000 | ||||
Deferred tax benefit | 2,748,000 | 183,000 | ||||||
2,697,000 | 121,000 | |||||||
State | ||||||||
Current tax expense | -56,000 | -54,000 | ||||||
Deferred tax benefit | 926,000 | 180,000 | ||||||
870,000 | 126,000 | |||||||
$ | 3,567,000 | $ | 247,000 | |||||
The provision for income taxes differs from the amount of income tax computed by applying the federal statutory income tax rate to loss before taxes as a result of the following differences: | ||||||||
For the years ended June 30, | 2014 | 2013 | ||||||
Statutory federal tax rate | $ | 3,507,000 | $ | -129,000 | ||||
State income taxes, net of federal tax benefit | 552,000 | 69,000 | ||||||
Dividend received deduction | 245,000 | 255,000 | ||||||
Noncontrolling interest | -351,000 | 450,000 | ||||||
Valuation allowance | -153,000 | -397,000 | ||||||
Other | -233,000 | -1,000 | ||||||
$ | 3,567,000 | $ | 247,000 | |||||
The components of the deferred tax asset and liabilities are as follows: | ||||||||
Deferred tax assets: | June 30, 2014 | June 30, 2013 | ||||||
Net operating loss carryforwards | $ | 10,110,000 | $ | 8,625,000 | ||||
Capital loss carryforwards | 940,000 | 896,000 | ||||||
Investment impairment reserve | 1,565,000 | 1,541,000 | ||||||
Accruals and reserves | 968,000 | 886,000 | ||||||
Depreciation and amortization | 571,000 | 528,000 | ||||||
State taxes | 707,000 | - | ||||||
Valuation allowance | -1,847,000 | -1,695,000 | ||||||
13,014,000 | 10,781,000 | |||||||
Deferred tax assets (liabilities): | ||||||||
Deferred gains on real estate sale | -9,633,000 | -9,612,000 | ||||||
Unrealized gains on marketable securities | -3,789,000 | -3,804,000 | ||||||
Equity earnings | -535,000 | -1,816,000 | ||||||
State taxes | - | -166,000 | ||||||
-13,957,000 | -15,398,000 | |||||||
Net deferred tax liability | $ | -943,000 | $ | -4,617,000 | ||||
The deferred tax valuation allowance increased by $152,000 and $397,000, respectively, during the years ended June 30, 2014 and 2013. | ||||||||
As of June 30, 2014, the Company had estimated net operating losses (NOLs) of $25,165,000 and $18,086,000 for federal and state purposes, respectively. Below is the break-down of the NOLs for Intergroup, Santa Fe and Portsmouth. The carryforward expires in varying amounts through the year 2024. | ||||||||
Federal | State | |||||||
InterGroup | $ | 3,922,000 | $ | 1,502,000 | ||||
Santa Fe | 6,879,000 | 3,304,000 | ||||||
Portsmouth | 14,364,000 | 13,280,000 | ||||||
$ | 25,165,000 | $ | 18,086,000 | |||||
The Company is subject to U.S. federal income tax as well as to income tax in multiple state jurisdictions. Federal income tax returns of the Company are subject to IRS examination for the 2010 through 2013 tax years. State income tax returns are subject to examination for the 2009 through 2013 tax years. | ||||||||
Utilization of the net operating loss carryover may be subject a substantial annual limitation if it should be determined that there has been a change in the ownership of more than 50 percent of the value of the Company's stock, pursuant to Section 382 of the Internal Revenue Code of 1986 and similar state provisions. The annual limitation may result in the expiration of net operating loss carryovers before utilization. | ||||||||
As of June 30, 2014, there were no uncertain tax positions. Management does not anticipate any future adjustments in the next twelve months which would result in a material change to its tax position. For the years ended June 30, 2014 and 2013, the Company did not have any interest and penalties. | ||||||||
SEGMENT_INFORMATION
SEGMENT INFORMATION | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Reporting Disclosure [Text Block] | ' | ||||||||||||||||
NOTE 15 – SEGMENT INFORMATION | |||||||||||||||||
The Company operates in three reportable segments, the operation of the hotel (“Hotel Operations”), the operation of its multi-family residential properties (“Real Estate Operations”) and the investment of its cash in marketable securities and other investments (“Investment Transactions”). These three operating segments, as presented in the financial statements, reflect how management internally reviews each segment’s performance. Management also makes operational and strategic decisions based on this information. | |||||||||||||||||
Information below represents reported segments for the years ended June 30, 2014 and 2013. Segment income (loss) from Hotel operations consists of the operation of the hotel and operation of the garage. Segment income from real estate operations consists of the operation of the rental properties. Income (loss) from investments consists of net investment gain (loss), dividend and interest income and investment related expenses. | |||||||||||||||||
As of and for the year | Hotel | Real Estate | Investment | ||||||||||||||
ended June 30, 2014 | Operations | Operations | Transactions | Other | Total | ||||||||||||
Revenues | $ | 50,963,000 | $ | 16,332,000 | $ | - | $ | - | $ | 67,295,000 | |||||||
Segment operating expenses | -48,764,000 | -8,982,000 | - | -2,168,000 | -59,914,000 | ||||||||||||
Segment income (loss) from operations | 2,199,000 | 7,350,000 | - | -2,168,000 | 7,381,000 | ||||||||||||
Interest expense - mortgage | -4,960,000 | -3,026,000 | - | - | -7,986,000 | ||||||||||||
Interest expense - occupancy tax | -328,000 | - | - | - | -328,000 | ||||||||||||
Loss on extinguishment of debt | -3,910,000 | - | - | - | -3,910,000 | ||||||||||||
Loss on disposal of assets | -1,092,000 | - | - | - | -1,092,000 | ||||||||||||
Depreciation and amortization expense | -2,573,000 | -2,150,000 | - | - | -4,723,000 | ||||||||||||
Gain from investments | - | - | 343,000 | - | 343,000 | ||||||||||||
Income tax benefit | - | - | - | 3,567,000 | 3,567,000 | ||||||||||||
Net income (loss) | $ | -10,664,000 | $ | 2,174,000 | $ | 343,000 | $ | 1,399,000 | $ | -6,748,000 | |||||||
Total assets | $ | 41,897,000 | $ | 63,697,000 | $ | 27,257,000 | $ | 32,609,000 | $ | 165,460,000 | |||||||
As of and for the year | Hotel | Real Estate | Investment | ||||||||||||||
ended June 30, 2013 | Operations | Operations | Transactions | Other | Total | ||||||||||||
Revenues | $ | 46,565,000 | $ | 15,474,000 | $ | - | $ | - | $ | 62,039,000 | |||||||
Segment operating expenses | -38,635,000 | -8,529,000 | - | -1,949,000 | -49,113,000 | ||||||||||||
Segment income (loss) from operations | 7,930,000 | 6,945,000 | - | -1,949,000 | 12,926,000 | ||||||||||||
Interest expense | -2,612,000 | -3,556,000 | - | - | -6,168,000 | ||||||||||||
Depreciation and amortization expense | -2,454,000 | -2,123,000 | - | - | -4,577,000 | ||||||||||||
Loss from investments | - | - | -1,803,000 | - | -1,803,000 | ||||||||||||
Income tax benefit | - | - | - | 247,000 | 247,000 | ||||||||||||
Net income (loss) | $ | 2,864,000 | $ | 1,266,000 | $ | -1,803,000 | $ | -1,702,000 | $ | 625,000 | |||||||
Total assets | $ | 41,728,000 | $ | 65,262,000 | $ | 27,904,000 | $ | 9,792,000 | $ | 144,686,000 | |||||||
STOCK_BASED_COMPENSATION_PLANS
STOCK BASED COMPENSATION PLANS | 12 Months Ended | |||||||||||||
Jun. 30, 2014 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | ' | |||||||||||||
NOTE 16 – STOCK-BASED COMPENSATION PLANS | ||||||||||||||
The Company follows the Statement of Financial Accounting Standards 123 (Revised), "Share-Based Payments" ("SFAS No. 123R"), which was primarily codified into ASC Topic 718 “Compensation – Stock Compensation”, which addresses accounting for equity-based compensation arrangements, including employee stock options and restricted stock units. | ||||||||||||||
The Company currently has three equity compensation plans, each of which has been approved by the Company’s stockholders. The InterGroup Corporation 2008 Restricted Stock Unit Plan (the “2008 RSU Plan”), the InterGroup Corporation 2007 Stock Compensation Plan for Non-Employee Directors (the “2007 Stock Plan”) and the Intergroup 2010 Omnibus Employee Incentive Plan are described below. Any outstanding options issued under the Key Employee Plan or the Non-Employee Director Plan remain effective in accordance with their terms. | ||||||||||||||
Intergroup Corporation 2010 Omnibus Employee Incentive Plan | ||||||||||||||
On February 24, 2010, the shareholders of the Company approved The Intergroup Corporation 2010 Omnibus Employee Incentive Plan (the “2010 Incentive Plan”), which was formally adopted by the Board of Directors following the annual meeting of shareholders. The Company believes that such awards better align the interests of its employees with those of its shareholders. Option awards are generally granted with an exercise price equal to the market price of the Company’s stock at the date of grant; those option awards generally vest based on 5 years of continuous service. Certain option and share awards provide for accelerated vesting if there is a change in control, as defined in the 2010 Incentive Plan. The 2010 Incentive plan as modified in December 2013, authorizes a total of up to 400,000 shares of common stock to be issued as equity compensation to officers and employees of the Company in an amount and in a manner to be determined by the Compensation Committee in accordance with the terms of the 2010 Incentive Plan. The 2010 Incentive Plan authorizes the awards of several types of equity compensation including stock options, stock appreciation rights, performance awards and other stock based compensation. The 2010 Incentive Plan will expire on February 23, 2020, if not terminated sooner by the Board of Directors upon recommendation of the Compensation Committee. Any awards issued under the 2010 Incentive Plan will expire under the terms of the grant agreement. | ||||||||||||||
On December 26, 2013, the Compensation Committee authorized, subject to shareholder approval, a grant of non-qualified and incentive stock options for an aggregate of 160,000 shares (the “Option Grant”) to the Company’s President and Chief Executive Officer, John V. Winfield. The stock option grant was approved by shareholders on February 19, 2014. The grant of stock options was made pursuant to, and consistent with, the 2010 Incentive Plan, as proposed to be amended. The non-qualified stock options are for 133,195 shares and have a term of ten years, expiring on December 26, 2023, with an exercise price of $18.65 per share. The incentive stock options are for 26,805 shares and have a term of five years, expiring on December 26, 2018, with an exercise price of $20.52 per share. In accordance with the terms of the 2010 Incentive Plan, the exercise prices were based on 100% and 110%, respectively, of the fair market value of the Company’s common stock as determined by reference to the closing price of the Company’s common stock as reported on the NASDAQ Capital Market on the date of grant. The stock options are subject to time vesting requirements, with 20% of the options vesting annually commencing on the first anniversary of the grant date. | ||||||||||||||
In February 2012, the Compensation Committee awarded 90,000 stock options to the Company’s Chairman, President and Chief Executive, John V. Winfield to purchase up to 90,000 shares of common stock. The exercise price of the options is $19.77 which is the fair value of the Company’s Common Stock as reported on NASDAQ on February 28, 2012. The options expire ten years from the date of grant. The options are subject to both time and market based vesting requirements, each of which must be satisfied before the options are fully vested and eligible to be exercised. Pursuant to the time vesting requirements, the options vest over a period of five years, with 18,000 options vesting upon each one year anniversary of the date of grant. Pursuant to the market vesting requirements, the options vest in increments of 18,000 shares upon each increase of $2.00 or more in the market price of the Company’s common stock above the exercise price ($19.77) of the options. To satisfy this requirement, the common stock must trade at that increased level for a period of at least ten trading days during any one quarter. As of June 30, 2014, only 18,000 of these options have met the market vesting requirements. | ||||||||||||||
On March 16, 2010, the Compensation Committee authorized the grant of 100,000 stock options to the Company’s Chairman, President and Chief Executive, John V. Winfield to purchase up to 100,000 shares of the Company’s common stock pursuant to the 2010 Incentive Plan. The exercise price of the options is $10.30, which is 100% of the fair market value of the Company’s Common Stock as determined by reference to the closing price of the Company’s Common Stock as reported on the NASDAQ Capital Market on March 16, 2010, the date of grant. The options expire ten years from the date of grant, unless earlier terminated in accordance with the terms of the 2010 Incentive Plan. The options shall be subject to both time and market based vesting requirements, each of which must be satisfied before options are fully vested and eligible to be exercised. Pursuant to the time vesting requirements, the options vest over a period of five years, with 20,000 options vesting upon each one year anniversary of the date of grant. Pursuant to the market vesting requirements, the options vest in increments of 20,000 shares upon each increase of $2.00 or more in the market price of the Company’s common stock above the exercise price ($10.30) of the options. To satisfy this requirement, the common stock must trade at that increased level for a period of at least ten trading days during any one quarter. As of June 30, 2014, all the market vesting requirements have been met. | ||||||||||||||
In June 2013, an officer of the Company exercised 5,000 stock options with an exercise price of $10.30. The company received cash proceeds of $52,000 related to the stock option exercise. The intrinsic value of the stock options exercised was $53,000. | ||||||||||||||
During the years ended June 30, 2014 and 2013, the Company recorded stock option compensation expense of $476,000 and $324,000, respectively, related to stock options previously issued. As of June 30, 2014, there was a total of $1,477,000 of unamortized compensation related to stock options which is expected to be recognized over the weighted-average of 4.5 years. | ||||||||||||||
Option-pricing models require the input of various subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. The expected stock price volatility is based on analysis of the Company’s stock price history. The Company has selected to use the simplified method for estimating the expected term. The risk-free interest rate is based on the U.S. Treasury interest rates whose term is consistent with the expected life of the stock options. No dividend yield is included as the Company has not issued any dividends and does not anticipate issuing any dividends in the future. | ||||||||||||||
The following table summarizes the stock options activity from June 30, 2012 through June 30, 2014: | ||||||||||||||
Number of | Weighted Average | Weighted Average | Aggregate | |||||||||||
Shares | Exercise Price | Remaining Life | Intrinsic Value | |||||||||||
Oustanding at | 30-Jun-12 | 242,000 | $ | 14.55 | 7.46 years | $ | 2,050,000 | |||||||
Granted | - | - | ||||||||||||
Exercised | -5,000 | 10.3 | ||||||||||||
Forfeited | - | - | ||||||||||||
Exchanged | -15,000 | 9.52 | ||||||||||||
Oustanding at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Exercisable at | 30-Jun-13 | 105,000 | $ | 13.01 | 1.86 years | $ | 838,000 | |||||||
Vested and Expected to vest at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Oustanding at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Granted | 160,000 | 18.96 | ||||||||||||
Exercised | -15,000 | 11.75 | ||||||||||||
Forfeited | - | - | ||||||||||||
Exchanged | - | - | ||||||||||||
Oustanding at | 30-Jun-14 | 367,000 | $ | 16.85 | 7.71 years | $ | 953,000 | |||||||
Exercisable at | 30-Jun-14 | 92,000 | $ | 11.3 | 5.10 years | $ | 717,000 | |||||||
Vested and Expected to vest at | 30-Jun-14 | 367,000 | $ | 16.85 | 7.71 years | $ | 953,000 | |||||||
The InterGroup Corporation 2007 Stock Compensation Plan for Non-Employee Directors | ||||||||||||||
The InterGroup Corporation 2007 Stock Compensation Plan for Non-Employee Directors (the “2007 Stock Plan”) was approved by the shareholders of the Company on February 21, 2007, and was thereafter adopted by the Board of Directors. The 2007 Stock Plan will terminate upon the earlier of the date all shares reserved for issuance have been awarded or February 21, 2017, if not sooner terminated by the Board upon recommendation by the Compensation Committee. The stock available for issuance under the 2007 Stock Plan shall be unrestricted shares of the Company's Common Stock, par value $.01 per share, which may be unissued shares or treasury shares. Subject to certain adjustments upon changes in capitalization, a maximum of 60,000 shares of the Common Stock will be available for issuance to participants under the 2007 Stock Plan. | ||||||||||||||
All non-employee directors are eligible to participate in the 2007 Plan. Each non-employee director as of the adoption date of the 2007 Stock Plan was granted an award of 600 unrestricted shares of the Company’s Common Stock. On each July 1 following the adoption date of the 2007 Stock Plan, each non-employee director shall receive an automatic grant of a number of shares of Company’s Common Stock equal in value to $18,000 based on 100% of the fair market value (as defined) of the Common Stock on the date of grant, provided he or she holds such position on that date and the number of shares of Common Stock available for grant under the 2007 Stock Plan is sufficient to permit such automatic grant. Any fractional shares resulting from such grant will be rounded up to next highest whole share. All stock awards to non-employee directors will be fully vested on the date of grant. The dollar amount of the annual grant is subject to further adjustment by the Board of Directors upon recommendation by the Compensation Committee. | ||||||||||||||
The stock awards granted under the 2007 Stock Plan are shares of unrestricted Common Stock and are fully vested on the date of grant. The right of the non-employee director to receive his or her annual grant of Common Stock is personal to the director and is not transferable. Once received, shares of Common Stock awarded to the non-employee director are freely transferable subject to any requirements of Section 16(b) of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). On June 28, 2007, Company filed a registration statement on Form S-8 to register the shares subject to the 2007 Stock Plan and the Company’s two prior stock option plans under the Securities Act of 1933, as amended (the “Securities Act”). Upon recommendation of the Compensation Committee, the Board may, at any time and from time to time and in any respect, amend or modify the 2007 Stock Plan. The Board must obtain stockholder approval of any material amendment to the 2007 Stock Plan if required by any applicable law, regulation or stock exchange rule. The Board of Directors may amend the 2007 Stock Plan or any award agreement, which amendment may be retroactive, in order to conform it to any present or future law, regulation or ruling relating to plans of this or similar nature. No amendment or modification of the 2007 Stock Plan or any award agreement may adversely affect any outstanding award without the written consent of the participant holding the award. | ||||||||||||||
Upon recommendation of the Compensation Committee, the Board of Directors, on February 23, 2011, voted to increase the annual grant awarded to each of the non-employee directors to a number of shares of Company’s common stock equal in value to $22,000, effective as of the July 1, 2011 grant, while decreasing the annual cash compensation payable to non-employee directors from $16,000 to $12,000 per year. | ||||||||||||||
For the years ended June 30, 2014 and 2013, the four non-employee directors of the Company received a total grant of 4,192 and 3,528 shares of Common Stock pursuant to the 2007 Stock Plan, respectively. | ||||||||||||||
The InterGroup Corporation 2008 Restricted Stock Unit Plan | ||||||||||||||
On December 3, 2008, the Board of Directors of the Company adopted, a new equity compensation plan for its officers, directors and key employees entitled, The InterGroup Corporation 2008 Restricted Stock Unit Plan (the “2008 RSU Plan”). The Plan was adopted, in part, to replace the stock option plans that expired on December 7, 2008. The 2008 RSU Plan was approved by shareholders at the Company’s Annual Meeting of Shareholders on February 18, 2009. | ||||||||||||||
The 2008 RSU Plan authorizes the Company to issue restricted stock units (“RSUs”) as equity compensation to officers, directors and key employees of the Company on such terms and conditions established by the Compensation Committee of the Company. RSUs are not actual shares of the Company’s common stock, but rather promises to deliver common stock in the future, subject to certain vesting requirements and other restrictions as may be determined by the Committee. Holders of RSUs have no voting rights with respect to the underlying shares of common stock and holders are not entitled to receive any dividends until the RSUs vest and the shares are delivered. No awards of RSUs shall vest until at least nine months after shareholder approval of the 2008 RSU Plan on February 18, 2009. Subject to certain adjustments upon changes in capitalization, a maximum of 200,000 shares of the common stock are available for issuance to participants under the 2008 RSU Plan. The 2008 RSU Plan will terminate ten (10) years from December 3, 2008, unless terminated sooner by the Board of Directors. After the 2008 RSU Plan is terminated, no awards may be granted but awards previously granted shall remain outstanding in accordance with the Plan and their applicable terms and conditions. | ||||||||||||||
Under the 2008 RSU Plan, the Compensation Committee also has the power and authority to establish and implement an exchange program that would permit the Company to offer holders of awards issued under prior shareholder approved compensation plans to exchange certain options for new RSUs on terms and conditions to be set by the Committee. The exchange program is designed to increase the retention and motivational value of awards granted under prior plans. In addition, by exchanging options for RSUs, the Company will reduce the number of shares of common stock subject to equity awards, thereby reducing potential dilution to stockholders in the event of significant increases in the value of its common stock. | ||||||||||||||
The table below summarizes the RSUs granted and outstanding. | ||||||||||||||
Weighted Average | ||||||||||||||
Grant Date | ||||||||||||||
Number of RSUs | Fair Value | |||||||||||||
RSUs outstanding as of | 30-Jun-12 | 8,245 | $ | 24.94 | ||||||||||
Granted | 8,195 | 20.99 | ||||||||||||
Converted to common stock | -8,245 | 24.94 | ||||||||||||
RSUs outstanding as of | 30-Jun-13 | 8,195 | $ | 20.99 | ||||||||||
Granted | - | - | ||||||||||||
Converted to common stock | -8,195 | 20.99 | ||||||||||||
RSUs outstanding as of | 30-Jun-14 | - | $ | - | ||||||||||
During the year ended June 30, 2013, no additional compensation expense was recognized related to the exchange of previously issued stock options to RSUs as the fair market value of the options immediately prior to the exchanges, approximated the fair value of the RSUs on the date of issuance. | ||||||||||||||
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Jun. 30, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions Disclosure [Text Block] | ' |
NOTE 17 – RELATED PARTY TRANSACTIONS | |
In December 2012, Justice declared a limited partnership distribution in the amount of $1,200,000, of which Portsmouth received $600,000. The amount received by Portsmouth was eliminated in consolidation. | |
In connection with the redemption of limited partnership interests of Justice Investors, Limited Partnership described in Note 2 above, Justice Operating Company, LLC agreed to pay a total of $1,550,000 in fees to certain officers and directors of the Company for services rendered in connection with the redemption of partnership interests, refinancing of Justice’s properties and reorganization of Justice Investors. This agreement was superseded by a letter dated December 11, 2013 from Justice Investors, Limited Partnership, in which Justice Investors Limited Partnership assumed the payment obligations of Justice Operating Company, LLC. The first payment under this agreement was made concurrently with the closing of the loan agreements described in Note 1 above, with the remaining payments due upon Justice Investor’s having adequate available cash as described in the letter. | |
During the year ended June 30, 2014 and 2013, the Company received management fees from Justice Investors totaling $475,000 and $401,000, respectively. These amounts were eliminated in consolidation. | |
Two general partners provided services to the Partnership through December 17, 2013. On December 18, 2013 the Partnership redeemed Evon’s partnership interest and Portsmouth Square became the sole general partner. During each of the years ended June 30, 2014 and 2013, the general partners were paid a total of $591,000 and $620,000, respectively, which is included in “General and administrative” expense in the statements of income and partners’ accumulated deficit. The total amounts paid represent the minimum base compensation of $285,000 each year plus $305,000 and $335,000, respectively, calculated at one and one-half percent of Hotel revenue. The Partnership’s obligation to pay Evon, Justice’s former general partner, terminated as of December 18, 2013. Under the terms of the Justice Partnership Agreement, its current general partner, Portsmouth, receives annual base compensation of $285,000, plus one percent of Hotel Revenue. Amounts paid to Portsmouth are eliminated in consolidation. | |
Effective December 1, 2013, GMP Management, Inc. (GMP), a company owned by a Justice limited partner and related party, also provides management services for the Partnership pursuant to a Management Services Agreement. The management agreement with GMP has a term of 3 years, but may be terminated earlier by the Partnership for cause. Under the agreement, GMP is required to advise the Partnership on the management and operation of the hotel; administer the Partnership’s contracts, leases, agreements with hotel managers and franchisors and other contracts and agreements; provide administrative and asset management services, oversee financial reporting, and maintain offices at the Hotel in order to facilitate provision of services. GMP is paid an annual base management fee of $325,000 per year, increasing by 5% per year, payable in monthly installments, and to reimbursement for reasonable and necessary costs and expenses incurred by GMP in performing its obligations under the agreement. During the year ended June 30, 2014, GMP was reimbursed for $235,000, for the salaries, benefits and local payroll taxes for three key employees. Management fees paid to GMP during the year ended June 30, 2014 were $424,000. | |
As Chairman of the Securities Investment Committee, the Company’s President and Chief Executive Officer, John V. Winfield, directs the investment activity of the Company in public and private markets pursuant to authority granted by the Board of Directors. Mr. Winfield also serves as Chief Executive Officer and Chairman of InterGroup and oversees the investment activity of the Company. Depending on certain market conditions and various risk factors, the Chief Executive Officer, his family and the Company may, at times, invest in the same companies in which the Company invests. The Company encourages such investments because it places personal resources of the Chief Executive Officer and his family members, and the resources of InterGroup, at risk in connection with investment decisions made on behalf of the Company. | |
In fiscal year ended June 30, 2004, the disinterested members of the respective Boards of Directors of the Company and its subsidiaries, Santa Fe and Portsmouth, established a performance based compensation program for the Company’s CEO to keep and retain his services as a direct and active manager of the Company’s securities portfolio. Pursuant to the current criteria established by the Board, Mr. Winfield is entitled to performance based compensation for his management of the Company’s securities portfolio equal to 20% of all net investment gains generated in excess of an annual return equal to the Prime Rate of Interest (as published in the Wall Street Journal) plus 2%. Compensation amounts are calculated and paid quarterly based on the results of the Company’s investment portfolio for that quarter. Should the Company have a net investment loss during any quarter, Mr. Winfield would not be entitled to any further performance-based compensation until any such investment losses are recouped by the Company. This performance based compensation program may be further modified or terminated at the discretion of the respective Boards of Directors. The Company’s CEO did not earn any performance based compensation for the years ended June 30, 2014 and 2013. | |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies Disclosure [Text Block] | ' |
NOTE 18 – COMMITMENTS AND CONTINGENCIES | |
Franchise Agreements | |
The Partnership entered into a Franchise License agreement (the License agreement) with the Hilton Hotels Corporation (Hilton) on December 10, 2004. The term of the License agreement is for a period of 15 years commencing on the opening date, with an option to extend the license agreement for another five years, subject to certain conditions. | |
Beginning on the opening date in January 2006, the Partnership paid monthly royalty fees for the first two years of three percent (3%) of the Hotel’s gross room revenue for the preceding calendar month; the third year was at four percent (4%) of the Hotel’s gross room revenue; and the fourth year until the end of the term will be five percent (5%) of the Hotel’s gross room revenue. The Partnership also pays a monthly program fee of four percent (4%) of the Hotel’s gross revenue. The amount of the monthly program fee is subject to change; however, the increase cannot exceed one percent (1%) of the Hotel gross room revenue in any calendar year, and the cumulative increases in the monthly fees will not exceed five percent (5%) of gross room revenue. The Hotel is also subject to certain penalties if fees are not paid timely. The royalty, program and penalty fees are referred to collectively as “Franchise fees.” Franchise fees for the years ended June 30, 2014 and 2013 were $3,806,000 and $3,374,000, respectively. | |
The Partnership also pays Hilton a monthly information technology recapture charge of up to 0.75% of the Hotel’s gross revenues. Due to the difficult economic environment, Hilton agreed to reduce its information technology fees to 0.65%. For the years ended June 30, 2014 and 2013, those charges were $270,000 and $236,000, respectively. | |
Employees | |
As of June 30, 2014, the Partnership had approximately 268 employees. Approximately 72% of those employees were represented by one of three labor unions, and their terms of employment were determined under collective bargaining agreements (CBAs). During the year ended June 30, 2014, CBAs for the Local 2 (Hotel and Restaurant Employees), Local 856 (International Brotherhood of Teamsters), and Local 39 (stationary engineers) were renewed. Negotiation of collective bargaining agreements, which includes not just terms and conditions of employment, but scope and coverage of employees, is a regular and expected course of business operations for the Partnership. | |
The Partnership expects and anticipates that the terms and conditions of the CBAs will have an impact on wage and benefit costs, operating expenses, and certain Hotel operations during the life of each CBA, and these terms and conditions are taken into account in the Hotel operating and budgetary practices. | |
Legal Matters | |
In August 2012, two current and four former employees of the Hotel commenced a putative wage and hour class action against the Partnership. The Complaint alleged that the Partnership failed to provide compliant meal periods, failed to authorize and permit compliant rest periods, failed to pay all regular and overtime wages due, failed to provide accurate itemized wage statements, and failed to pay all wages owed upon termination of employment. | |
In February 2013, the Partnership agreed to settle the class action lawsuit for $525,000. The amount was accrued as of June 30, 2013 and is included as part of “Accounts payable and accrued liabilities” in the Consolidated Balance Sheet. Prism Hotels L.P. agreed to reimburse the Partnership for 50% of the total amount of the settlement and pay up to $300,000 of legal fees and defense costs incurred in defense of the lawsuit. During fiscal 2013, the Partnership incurred legal costs of $365,000 associated with the lawsuit, of which Prism agreed to pay $300,000 in accordance with the agreement. The amount due to Prism at June 30, 2013 for the management fee was applied against the receivable for the reimbursement of the settlement and legal costs. The Partnership insurance carrier awarded $225,000 in insurance proceeds as a result of a claim related to the settlement. Of the total proceeds, 50%, or $112,500, was allocated to the Partnership and the remaining amount was allocated to Prism. The insurance reimbursement awarded to the Partnership was offset against the related legal expense included as part of “General and administrative” expenses in the statements of income and partners’ accumulated deficit. During the year ended June 30, 2014 the Partnership paid the entire settlement of $525,000. | |
The City of San Francisco’s Tax Collector’s office has claimed that Justice owes the City of San Francisco $2.1 million based on the Tax Collector’s interpretation of the San Francisco Business and Tax Regulations Code relating to Transient Occupancy Tax and Tourist Improvement District Assessment. This amount exceeds Justice’s estimate of the taxes owed, and Justice has disputed the claim and is seeking to discharge all penalties and interest charges imposed by the Tax Collector. The Company paid the full amount in March 2014 as part of the appeals process but is reflecting the amount on the balance sheet in “Other Assets, Net” as it is currently under protest. | |
Several legal matters are pending relating to the redemption transaction described in Note 2. As previously stated in Note 2, on December 17, 2013, Documentary Transfer Tax of approximately $4.7 million was paid to the City and County of San Francisco (“CCSF”). CCSF required payment of the Documentary Transfer Tax as a condition to record the transfer of the Hotel to Operating and other documents related to the Loan Agreements. While the Partnership believes the amount of Documentary Transfer tax that was assessed by CCSF was incorrect, the tax was paid, under protest, to allow for the consummation of the redemption transaction, the Loan Agreements and the recording of all related documents. The Partnership has challenged CCSF’s imposition of the tax and filed a refund claim with the CCSF. No prediction can be made as to whether CCSF’s calculation of the tax will be upheld, or whether any portion of the tax will be refunded. | |
On February 13, 2014, Evon filed a complaint in San Francisco Superior Court against the Partnership, Portsmouth, and a limited partner and related party asserting contract and tort claims based on Justice’s withholding of $4.7 million from a payment due to Holdings to pay the transfer tax described in Note 2. On April 1, 2014, Defendants removed the action to the United States District Court for the Northern District of California. Evon dismissed its complaint on April 8, 2014 and, that same day, filed a second complaint in San Francisco Superior Court substantially similar to the dismissed complaint, except for the omission of a federal cause of action. Evon’s current operative complaint in the action asserts causes of action for breach of contract and breach of the implied covenant of good faith and fair dealing against Justice only; breach of fiduciary duty against Portsmouth only; conversion against Justice and Portsmouth; and fraud/concealment against Justice, Portsmouth and a Justice limited partner and related party. In July 2014, Justice paid to Holdings a total of $4.7 million, the amount Evon claims was incorrectly withheld from Holdings to pay the transfer tax described in Note 2. No prediction can be given as to the ultimate outcome of this matter. | |
On April 21, 2014, the Partnership commenced an arbitration action against Glaser Weil Fink Howard Avchen & Shapiro, LLP (formerly known as Glaser Weil Fink Jacobs Howard Avchen & Shapiro, LLP), Brett J. Cohen, Gary N. Jacobs, Janet S. McCloud, Paul B. Salvaty, and Joseph K. Fletcher III (collectively, the “Respondents”) in connection with the redemption transaction. The arbitration is pending before JAMS in Los Angeles. No prediction can be given as to the outcome of this matter. | |
On June 27, 2014, the Partnership commenced an action in San Francisco Superior Court against Evon, Holdings, and those partners who elected the alternative redemption structure. The action seeks a declaration of the correct interpretation of (i) the special allocations sections of the Amended and Restated Agreement of Limited Partnership of Justice Investors, a California Limited Partnership, with an effective date of January 1, 2013; and (ii) whether certain partners who elected the alternative redemption structure breached the governing Limited Partnership Interest Redemption Option Agreement. The complaint states that these declarations are relevant to preparation of the Partnership’s 2013 and 2014 state and federal tax returns and the associated Forms K-1 to be issued to affected current and former partners. No prediction can be given as to the outcome of this matter. | |
The Partnership has timely filed its 2013 federal and state partnership income tax returns, however, depending on the ultimate outcome of the Partnership’s declaratory relief action filed in San Francisco Superior Court, the Partnership’s 2013 federal and state partnership income tax returns may be amended. | |
The Company is also involved from time to time in various claims in the ordinary course of business. Management does not believe that the impact of such matters will have a material effect on the financial conditions or result of operations when resolved. | |
EMPLOYEE_BENEFIT_PLAN
EMPLOYEE BENEFIT PLAN | 12 Months Ended |
Jun. 30, 2014 | |
Compensation and Retirement Disclosure [Abstract] | ' |
Compensation and Employee Benefit Plans [Text Block] | ' |
NOTE 19 – EMPLOYEE BENEFIT PLAN | |
Justice has a 401(k) Profit Sharing Plan (the Plan) for non-union employees who have completed six months of service. Justice provides a matching contribution up to 4% of the contribution to the Plan based upon a certain percentage on the employees’ elective deferrals. Justice may also make discretionary contributions to the Plan each year. Contributions made to the Plan amounted to $53,000 and $56,000 during the years ended June 30, 2014 and 2013, respectively. | |
Certain employees of Justice who are members of various unions are covered by union-sponsored, collectively bargained, multi-employer health and welfare and benefit pension plans. Justice does not contribute separately to those multi-employer plans. | |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events [Text Block] | ' |
NOTE 20 – SUBSEQUENT EVENTS | |
The Company has evaluated all events occurring subsequent to June 30, 2014 and concluded that no additional subsequent events has occurred outside the normal course of business operations that require disclosure. | |
On July 2, 2014, the Partnership obtained from the Intergroup Corporation (parent company of Santa Fe) an unsecured loan in the principal amount of $4,250,000 at 12% per year fixed interest, with a term of 2 years, payable interest only each month. Intergroup received a 3% loan fee. The loan may be prepaid at any time without penalty. The proceeds of the loan were applied to the July 2014 payments to Holdings described in Note 18 above. | |
In July 2014, the Company terminated its third party property management agreement for the management of the Company’s properties located outside of California and will manage the properties in-house going forward. | |
BUSINESS_AND_SIGNIFICANT_ACCOU1
BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Policies) | 12 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Business Combinations Policy [Policy Text Block] | ' |
Description of the Business | |
The InterGroup Corporation, a Delaware corporation, (“InterGroup” or the “Company”) was formed to buy, develop, operate and dispose of real property and to engage in various investment activities to benefit the Company and its shareholders. | |
As of June 30, 2014, the Company had the power to vote 84.8% of the voting shares of Santa Fe Financial Corporation (“Santa Fe”), a public company (OTCBB: SFEF). This percentage includes the power to vote an approximately 4% interest in the common stock in Santa Fe owned by the Company’s Chairman and President pursuant to a voting trust agreement entered into on June 30, 1998. | |
Santa Fe’s primary business is conducted through the management of its 68.8% owned subsidiary, Portsmouth Square, Inc. (“Portsmouth”), a public company (OTCBB: PRSI). Portsmouth has a 93% limited partnership interest in Justice and is the sole general partner. InterGroup also directly owns approximately 12.9% of the common stock of Portsmouth. The financial statements of Justice are consolidated with those of the Company. | |
Justice owns a 543-room hotel property located at 750 Kearny Street, San Francisco California, known as the Hilton San Francisco Financial District (the Hotel) and related facilities including a five level underground parking garage. The Hotel is operated by the partnership as a full service Hilton brand hotel pursuant to a Franchise License Agreement with Hilton Hotels Corporation. Justice also has a Management Agreement with Prism Hospitality L.P. (Prism) to perform the day-to-day management functions of the Hotel. The parking garage that is part of the Hotel property is managed by Ace Parking pursuant to a contract with the Partnership. | |
Management believes that the revenues expected to be generated from the operations of the hotel, garage and leases will be sufficient to meet all of the Partnership’s current and future obligations and financial requirements. Management also believes that there is significant value in the Hotel to support additional borrowings, if necessary. | |
In addition to the operations of the Hotel, the Company also generates income from the ownership of real estate. Properties include apartment complexes, commercial real estate, and two single-family houses as strategic investments. The properties are located throughout the United States, but are concentrated in Texas and Southern California. The Company also has investments in unimproved real property. The Company’s residential rental properties are managed by two professional third party property management companies. | |
Consolidation, Policy [Policy Text Block] | ' |
Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company and Santa Fe. All significant inter-company transactions and balances have been eliminated. | |
Property, Plant and Equipment, Policy [Policy Text Block] | ' |
Investment in Hotel, Net | |
The Hotel property and equipment are stated at cost less accumulated depreciation. Building improvements are being depreciated on a straight-line basis over their useful lives ranging from 3 to 39 years. Furniture, fixtures, and equipment are being depreciated on a straight-line basis over their useful lives ranging from 3 to 7 years. | |
Repairs and maintenance are charged to expense as incurred. Costs of significant renewals and improvements are capitalized and depreciated over the shorter of its remaining estimated useful life or life of the asset. The cost of assets sold or retired and the related accumulated depreciation are removed from the accounts; any resulting gain or loss is included in other income (expenses). | |
The Company reviews property and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the carrying amount of the asset, including any intangible assets associated with that asset, exceeds its estimated undiscounted net cash flow, before interest, the Partnership will recognize an impairment loss equal to the difference between its carrying amount and its estimated fair value. If impairment is recognized, the reduced carrying amount of the asset will be accounted for as its new cost. For a depreciable asset, the new cost will be depreciated over the asset’s remaining useful life. Generally, fair values are estimated using discounted cash flow, replacement cost or market comparison analyses. The process of evaluating for impairment requires estimates as to future events and conditions, which are subject to varying market and economic factors. Therefore, it is reasonably possible that a change in estimate resulting from judgments as to future events could occur which would affect the recorded amounts of the property. No impairment losses were recorded for the years ended June 30, 2014 and 2013. | |
Investment In Real Estate [Policy Text Block] | ' |
Investment in Real Estate, Net | |
Rental properties are stated at cost less accumulated depreciation. Depreciation of rental property is provided on the straight-line method based upon estimated useful lives of 5 to 40 years for buildings and improvements and 5 to 10 years for equipment. Expenditures for repairs and maintenance are charged to expense as incurred and major improvements are capitalized. | |
The Company also reviews its rental property assets for impairment. No impairment losses on the investment in real estate have been recorded for the years ended June 30, 2014 and 2013. | |
The fair value of the tangible assets of an acquired property, which includes land, building and improvements, is determined by valuing the property as if they were vacant, and incorporates costs during the lease-up periods considering current market conditions and costs to execute similar leases such lost rental revenue and tenant improvements. The value of tangible assets are depreciated using straight-line method based upon the assets estimated useful lives. | |
Marketable Securities, Policy [Policy Text Block] | ' |
Investment in Marketable Securities | |
Marketable securities are stated at fair value as determined by the most recently traded price of each security at the balance sheet date. Marketable securities are classified as trading securities with all unrealized gains and losses on the Company's investment portfolio recorded through the consolidated statements of operations. | |
Other Investment Policy [Policy Text Block] | ' |
Other Investments, Net | |
Other investments include non-marketable securities (carried at cost, net of any impairments loss), non –marketable warrants (carried at fair value) and certain convertible preferred securities, received in exchange for debt instruments, carried at a book basis, initially determined using the estimated fair value on the exchange date. The Company has no significant influence or control over the entities that issue these investments. These investments are reviewed on a periodic basis for other-than-temporary impairment. The Company reviews several factors to determine whether a loss is other-than-temporary. These factors include but are not limited to: (i) the length of time an investment is in an unrealized loss position, (ii) the extent to which fair value is less than cost, (iii) the financial condition and near term prospects of the issuer and (iv) our ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. For the years ended June 30, 2014 and 2013, the Company recorded impairment losses related to other investments of $101,000 and $105,000, respectively. As of June 30, 2014 and 2013, the allowance for impairment losses was $4,727,000 and $4,626,000, respectively. | |
Derivatives, Policy [Policy Text Block] | ' |
Derivative Financial Instruments | |
The Company has investments in stock warrants which are considered derivative instruments. | |
Derivative financial instruments consist of financial instruments or other contracts that contain a notional amount and one or more underlying (e.g. interest rate, security price or other variable), require no initial net investment and permit net settlement. Derivative financial instruments may be free-standing or embedded in other financial instruments. Further, derivative financial instruments are initially, and subsequently, measured at fair value on the Company’s consolidated balance sheets. | |
For the investment in stock warrants, the Company used the Black-Scholes option valuation model to estimate the fair value these instruments which requires management to make significant assumptions including trading volatility, estimated terms, and risk free rates. Estimating fair values of derivative financial instruments requires the development of significant and subjective estimates that may, and are likely to, change over the duration of the instrument with related changes in internal and external market factors. In addition, option-based models are highly volatile and sensitive to changes in the trading market price of the underlying common stock, which has a high-historical volatility. Since derivative financial instruments are initially and subsequently carried at fair values, the Company’s consolidated statement of operations will reflect the volatility in these estimate and assumption changes. | |
Cash and Cash Equivalents, Policy [Policy Text Block] | ' |
Cash and Cash Equivalents | |
Cash equivalents consist of highly liquid investments with an original maturity of three months or less when purchased and are carried at cost, which approximates fair value. | |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | ' |
Restricted Cash | |
Restricted cash is comprised of amounts held by lenders for payment of real estate taxes, insurance, replacement reserves for the operating properties. capital addition reserves for the Hotel, tenant security deposits that are invested in certificates of deposit and the funds held by Holdings to implement the alternate redemption structure for those partners who elected that structure. | |
Other Assets [Policy Text Block] | ' |
Other Assets, Net | |
Other assets include accounts receivable, prepaid insurance, loan fees, franchise fees, license fees, inventory, occupancy tax deposits and other miscellaneous assets. Loan fees are stated at cost and amortized over the term of the loan using the effective interest method. Franchise fees are stated at cost and amortized over the life of the agreement (15 years). License fees are stated at cost and amortized over 10 years. | |
Accounts receivable from the Hotel and rental property customers are carried at cost less an allowance for doubtful accounts that is based on management’s assessment of the collectability of accounts receivable. The Company extends unsecured credit to its customers but mitigates the associated credit risk by performing ongoing credit evaluations of its customers. As of June 30, 2014 and 2013, the balance of allowance for doubtful accounts was $62,000 and $19,000, respectively. | |
Due To And From Broker Dealers [Policy Text Block] | ' |
Due to Securities Broker | |
The Company may utilize margin for its marketable securities purchases through the use of standard margin agreements with national brokerage firms. Various securities brokers have advanced funds to the Company for the purchase of marketable securities under standard margin agreements. These advanced funds are recorded as a liability. | |
Obligations For Securities Sold Policy [Policy Text Block] | ' |
Obligation for Securities Sold | |
Obligation for securities sold represents the fair market value of shares sold with the promise to deliver that security at some future date and the fair market value of shares underlying the written call options with the obligation to deliver that security when and if the option is exercised. The obligation may be satisfied with current holdings of the same security or by subsequent purchases of that security. Unrealized gains and losses from changes in the obligation are included in the statement of operations. | |
Accounts Payable And Other Liabilities Policy [Policy Text Block] | ' |
Accounts Payable and Other Liabilities | |
Accounts payable and other liabilities include trade payables, advance deposits and other liabilities. | |
Treasury Stock Policy [Policy Text Block] | ' |
Treasury Stock | |
The Company records the acquisition of treasury stock under the cost method. | |
Fair Value of Financial Instruments, Policy [Policy Text Block] | ' |
Fair Value of Financial Instruments | |
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. Accounting standards for fair value measurement establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the observability of inputs as follows: | |
Level 1–inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. | |
Level 2–inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. | |
Level 3–inputs to the valuation methodology are unobservable and significant to the fair value. | |
Revenue Recognition, Policy [Policy Text Block] | ' |
Revenue Recognition | |
Room revenue is recognized on the date upon which a guest occupies a room and/or utilizes the Hotel’s services. Food and beverage revenues are recognized upon delivery. Garage revenue is recognized when a guest uses the garage space. The Company records a liability for payments collected in advance of revenue recognition. This liability is included in Accounts payable and other liabilities. Rental revenue is recognized on the straight-line method of accounting whereby contractual rent payment increases are recognized evenly over the lease term, regardless of when the rent payments are received by Justice. The leases contain provisions for base rent plus a percentage of the lessees’ revenues, which are recognized when earned. | |
Revenue recognition from apartment rentals commences when an apartment unit is placed in service and occupied by a rent-paying tenant. Apartment units are leased on a short-term basis, with no lease extending beyond one year. | |
Advertising Costs, Policy [Policy Text Block] | ' |
Advertising Costs | |
Advertising costs are expensed as incurred. Advertising costs were $434,000 and $419,000 for the years ended June 30, 2014 and 2013, respectively. | |
Income Tax, Policy [Policy Text Block] | ' |
Income Taxes | |
Deferred income taxes are calculated under the liability method. Deferred income tax assets and liabilities are based on differences between the financial statement and tax basis of assets and liabilities at the current enacted tax rates. Changes in deferred income tax assets and liabilities are included as a component of income tax expense. Changes in deferred income tax assets and liabilities attributable to changes in enacted tax rates are charged or credited to income tax expense in the period of enactment. Valuation allowances are established for certain deferred tax assets where realization is not likely. | |
Assets and liabilities are established for uncertain tax positions taken or positions expected to be taken in income tax returns when such positions are judged to not meet the “more-likely-than-not” threshold based on the technical merits of the positions. | |
Earnings Per Share, Policy [Policy Text Block] | ' |
Earnings (Loss) Per Share | |
Basic income (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding. The computation of diluted income (loss) per share is similar to the computation of basic earnings per share except that the weighted-average number of common shares is increased to include the number of additional common shares that would have been outstanding if potential dilutive common shares had been issued. The Company's only potentially dilutive common shares are stock options and restricted stock units (RSUs). As of June 30, 2014, the Company had 37,738 stock options were considered potentially dilutive common shares. As of June 30, 2013, the Company had 52,138 stock options and RSUs that were considered potentially dilutive common shares. The basic and diluted earnings per share were the same for the year ended June 30, 2014 because the Company had a net loss. | |
Use of Estimates, Policy [Policy Text Block] | ' |
Use of Estimates | |
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires the use of estimates and assumptions regarding certain types of assets, liabilities, revenues, and expenses. Such estimates primarily relate to unsettled transactions and events as of the date of the financial statements. Accordingly, upon settlement, actual results may differ from estimated amounts. | |
Reclassifications Policy [Policy Text Block] | ' |
Reclassifications | |
Certain prior year balances have been reclassified to conform with the current year presentation. | |
New Accounting Pronouncements, Policy [Policy Text Block] | ' |
Recent Accounting Pronouncements | |
In July 2013, the FASB issued Accounting Standard Update (“ASU”) No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (“ASU 2013-11”). ASU 2013-11 will become effective for the Company on July 1, 2014. The Company is currently evaluating the impact ASU 2013-11 but believes that this ASU will not have a significant impact on its Consolidated Financial Statements as it relates primarily as to how items are presented in the financial statements. | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360)”(“ASU 2014-08”). The amendments in ASU 2014-08 provide guidance for the recognition of discontinued operations, change the requirements for reporting discontinued operations in ASC 205-20, “Discontinued Operations” (“ASC 205-20”) and require additional disclosures about discontinued operations. ASU 2014-08 is effective for the Company for periods beginning after December 15, 2014. Early application is permitted, but only for disposals that have not been reported in financial statements previously issued or available for issuance. The Company is currently evaluating the impact ASU 2014-08 but believes that this ASU will not have a significant impact on its Consolidated Financial Statements as it relates primarily as to how items are presented in the financial statements. | |
In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts from Customers (Topic 606)” (“ASU 2014-09”). The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective for the Company for periods beginning after December 15, 2017. Early application is permitted for the annual reporting period beginning after December 15, 2016. The Company is currently evaluating the impact ASU 2014-09 will have on its Consolidated Financial Statements. | |
INVESTMENT_IN_HOTEL_NET_Tables
INVESTMENT IN HOTEL, NET (Tables) (Hotel [Member]) | 12 Months Ended | ||||||||||
Jun. 30, 2014 | |||||||||||
Hotel [Member] | ' | ||||||||||
Real Estate Properties [Line Items] | ' | ||||||||||
Schedule of Real Estate Properties [Table Text Block] | ' | ||||||||||
Investment in hotel consisted of the following as of: | |||||||||||
Accumulated | Net Book | ||||||||||
June 30, 2014 | Cost | Depreciation | Value | ||||||||
Land | $ | 2,738,000 | $ | - | $ | 2,738,000 | |||||
Furniture and equipment | 23,306,000 | -20,072,000 | 3,234,000 | ||||||||
Building and improvements | 59,828,000 | -23,903,000 | 35,925,000 | ||||||||
$ | 85,872,000 | $ | -43,975,000 | $ | 41,897,000 | ||||||
Accumulated | Net Book | ||||||||||
30-Jun-13 | Cost | Depreciation | Value | ||||||||
Land | $ | 2,738,000 | $ | - | $ | 2,738,000 | |||||
Furniture and equipment | 22,271,000 | -19,310,000 | 2,961,000 | ||||||||
Building and improvements | 58,875,000 | -22,846,000 | 36,029,000 | ||||||||
$ | 83,884,000 | $ | -42,156,000 | $ | 41,728,000 | ||||||
INVESTMENT_IN_REAL_ESTATE_NET_
INVESTMENT IN REAL ESTATE, NET (Tables) (Apartment Building [Member]) | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Apartment Building [Member] | ' | |||||||
Real Estate Properties [Line Items] | ' | |||||||
Schedule of Real Estate Properties [Table Text Block] | ' | |||||||
Investment in real estate included the following: | ||||||||
As of June 30, | 2014 | 2013 | ||||||
Land | $ | 25,781,000 | $ | 25,781,000 | ||||
Buildings, improvements and equipment | 74,039,000 | 73,453,000 | ||||||
Accumulated depreciation | -36,123,000 | -33,972,000 | ||||||
$ | 63,697,000 | $ | 65,262,000 | |||||
INVESTMENT_IN_MARKETABLE_SECUR1
INVESTMENT IN MARKETABLE SECURITIES (Tables) | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||
Marketable Securities [Table Text Block] | ' | ||||||||||||||||
The change in the unrealized gains and losses on these investments are included in earnings. Trading securities are summarized as follows: | |||||||||||||||||
Gross | Gross | Net | Fair | ||||||||||||||
Investment | Cost | Unrealized Gain | Unrealized Loss | Unrealized Gain | Value | ||||||||||||
As of June 30, 2014 | |||||||||||||||||
Corporate | |||||||||||||||||
Equities | $ | 10,369,000 | $ | 2,717,000 | $ | -1,666,000 | $ | 1,051,000 | $ | 11,420,000 | |||||||
As of June 30, 2013 | |||||||||||||||||
Corporate | |||||||||||||||||
Equities | $ | 11,314,000 | $ | 3,391,000 | $ | -2,081,000 | $ | 1,310,000 | $ | 12,624,000 | |||||||
Gain (Loss) on Investments [Table Text Block] | ' | ||||||||||||||||
Net loss on marketable securities on the statement of operations is comprised of realized and unrealized gains (losses). Below is the composition of the two components for the years ended June 30, 2014 and 2013, respectively. | |||||||||||||||||
For the year ended June 30, | 2014 | 2013 | |||||||||||||||
Realized gain on marketable securities | $ | 870,000 | $ | 147,000 | |||||||||||||
Unrealized gain (loss) on marketable securities | 128,000 | -1,003,000 | |||||||||||||||
Net gain (loss) on marketable securities | $ | 998,000 | $ | -856,000 | |||||||||||||
OTHER_INVESTMENTS_NET_Tables
OTHER INVESTMENTS, NET (Tables) | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Other Investments [Abstract] | ' | |||||||
Schedule Of Other Investments [Table Text Block] | ' | |||||||
Other investments, net consist of the following: | ||||||||
Type | June 30, 2014 | June 30, 2013 | ||||||
Preferred stock - Comstock, at cost | $ | 13,231,000 | $ | 13,231,000 | ||||
Private equity hedge fund, at cost | 1,650,000 | 1,774,000 | ||||||
Corporate debt and equity instruments, at cost | 269,000 | 269,000 | ||||||
Other preferred stock | 480,000 | - | ||||||
Warrants - at fair value | 207,000 | 6,000 | ||||||
$ | 15,837,000 | $ | 15,280,000 | |||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | ' | ||||||||||||||||
The assets measured at fair value on a recurring basis are as follows: | |||||||||||||||||
As of June 30, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Other investments - warrants | $ | - | $ | - | $ | 207,000 | $ | 207,000 | |||||||||
Investment in marketable securities: | |||||||||||||||||
Basic materials | 5,081,000 | - | - | 5,081,000 | |||||||||||||
Technology | 1,395,000 | - | - | 1,395,000 | |||||||||||||
REITs and real estate companies | 1,001,000 | - | - | 1,001,000 | |||||||||||||
Financial services | 820,000 | - | - | 820,000 | |||||||||||||
Other | 3,123,000 | - | - | 3,123,000 | |||||||||||||
11,420,000 | - | - | 11,420,000 | ||||||||||||||
$ | 11,420,000 | $ | - | $ | 207,000 | $ | 11,627,000 | ||||||||||
As of June 30, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets: | |||||||||||||||||
Cash equivalents - money market | $ | 3,000 | $ | - | $ | - | $ | 3,000 | |||||||||
Other investments - warrants | - | 6,000 | 6,000 | ||||||||||||||
Investment in marketable securities: | |||||||||||||||||
Basic materials | 4,733,000 | - | - | 4,733,000 | |||||||||||||
Technology | 2,698,000 | - | - | 2,698,000 | |||||||||||||
Financial services | 2,261,000 | - | - | 2,261,000 | |||||||||||||
REITs and real estate companies | 878,000 | - | - | 878,000 | |||||||||||||
Other | 2,054,000 | - | - | 2,054,000 | |||||||||||||
12,624,000 | - | - | 12,624,000 | ||||||||||||||
$ | 12,627,000 | $ | - | $ | 6,000 | $ | 12,633,000 | ||||||||||
Fair Value Measurements, Nonrecurring [Table Text Block] | ' | ||||||||||||||||
The following table shows the fair value hierarchy for these assets measured at fair value on a non-recurring basis as follows: | |||||||||||||||||
Net loss for the year | |||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | June 30, 2014 | ended June 30, 2014 | ||||||||||||
Other non-marketable investments | $ | - | $ | - | $ | 15,630,000 | $ | 15,630,000 | $ | -101,000 | |||||||
Net loss for the year | |||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | June 30, 2013 | ended June 30, 2013 | ||||||||||||
Other non-marketable investments | $ | - | $ | - | $ | 15,274,000 | $ | 15,274,000 | $ | -105,000 | |||||||
OTHER_ASSETS_NET_Tables
OTHER ASSETS, NET (Tables) | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Schedule of Other Assets [Table Text Block] | ' | |||||||
Other assets consist of the following as of June 30: | ||||||||
2014 | 2013 | |||||||
Accounts receivable, net | $ | 1,964,000 | $ | 1,957,000 | ||||
Prepaid expenses | 1,120,000 | 581,000 | ||||||
Occupancy tax deposit | 1,061,000 | - | ||||||
Inventory - hotel | 653,000 | 918,000 | ||||||
Miscellaneous assets, net | 2,961,000 | 2,435,000 | ||||||
Total other assets | $ | 7,759,000 | $ | 5,891,000 | ||||
MORTGAGE_NOTES_PAYABLE_Tables
MORTGAGE NOTES PAYABLE (Tables) | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||
Schedule Of Mortgage Notes Payable [Table Text Block] | ' | ||||||||||||||||
Mortgage notes payable secured by real estate and hotel As of June 30, 2014 and 2013 are summarized as follows: | |||||||||||||||||
As of June 30, 2014 | |||||||||||||||||
Number | Note | Note | |||||||||||||||
Property | of Units | Origination Date | Maturity Date | Mortgage Balance | Interest Rate | ||||||||||||
SF Hotel | 543 rooms | December | 2013 | January | 2024 | $ | 97,000,000 | 5.28 | % | ||||||||
SF Hotel | 543 rooms | December | 2013 | January | 2024 | 20,000,000 | 9.75 | % | |||||||||
Mortgage notes payable - hotel | $ | 117,000,000 | |||||||||||||||
Austin | 249 | June | 2003 | July | 2023 | $ | 6,505,000 | 5.46 | % | ||||||||
Florence | 157 | June | 2005 | July | 2015 | 3,722,000 | 4.96 | % | |||||||||
Las Colinas | 358 | November | 2012 | December | 2022 | 18,970,000 | 3.73 | % | |||||||||
Morris County | 151 | July | 2012 | July | 2022 | 10,279,000 | 3.51 | % | |||||||||
Morris County | 151 | June | 2014 | August | 2022 | 2,740,000 | 4.51 | % | |||||||||
St. Louis | 264 | May | 2013 | May | 2023 | 5,943,000 | 4.05 | % | |||||||||
Los Angeles | 4 | September | 2012 | September | 2042 | 383,000 | 4.25 | % | |||||||||
Los Angeles | 2 | September | 2012 | September | 2042 | 388,000 | 4.25 | % | |||||||||
Los Angeles | 1 | August | 2012 | September | 2042 | 417,000 | 4.25 | % | |||||||||
Los Angeles | 31 | January | 2010 | December | 2020 | 5,475,000 | 4.85 | % | |||||||||
Los Angeles | 30 | August | 2007 | September | 2022 | 6,399,000 | 5.97 | % | |||||||||
Los Angeles | 27 | November | 2010 | December | 2020 | 3,085,000 | 4.85 | % | |||||||||
Los Angeles | 14 | April | 2011 | March | 2021 | 1,780,000 | 5.89 | % | |||||||||
Los Angeles | 12 | December | 2011 | January | 2022 | 2,008,000 | 4.25 | % | |||||||||
Los Angeles | 9 | April | 2011 | May | 2021 | 1,427,000 | 5.6 | % | |||||||||
Los Angeles | 9 | April | 2011 | March | 2021 | 1,213,000 | 5.89 | % | |||||||||
Los Angeles | 8 | July | 2013 | July | 2043 | 491,000 | 3.5 | % | |||||||||
Los Angeles | 7 | August | 2012 | September | 2042 | 949,000 | 3.85 | % | |||||||||
Los Angeles | 4 | August | 2012 | September | 2042 | 649,000 | 3.85 | % | |||||||||
Los Angeles | 1 | September | 2012 | September | 2042 | 445,000 | 4.25 | % | |||||||||
Los Angeles | Office | March | 2009 | March | 2015 | 992,000 | 5.02 | % | |||||||||
Los Angeles | Office | April | 2014 | May | 2017 | 1,100,000 | 3.25 | % | |||||||||
Mortgage notes payable - real estate | $ | 75,360,000 | |||||||||||||||
As of June 30, 2013 | |||||||||||||||||
Number | Note | Note | |||||||||||||||
Property | of Units | Origination Date | Maturity Date | Mortgage Balance | Interest Rate | ||||||||||||
SF Hotel | 543 rooms | July | 2005 | August | 2015 | $ | 26,043,000 | 5.22 | % | ||||||||
SF Hotel | 543 rooms | March | 2005 | August | 2015 | 17,370,000 | 6.42 | % | |||||||||
Mortgage notes payable - hotel | $ | 43,413,000 | |||||||||||||||
Austin | 249 | June | 2003 | July | 2023 | $ | 6,694,000 | 5.46 | % | ||||||||
Florence | 157 | June | 2005 | July | 2014 | 3,802,000 | 4.96 | % | |||||||||
Las Colinas | 358 | November | 2012 | December | 2022 | 19,326,000 | 3.73 | % | |||||||||
Morris County | 151 | July | 2012 | July | 2022 | 10,556,000 | 3.51 | % | |||||||||
St. Louis | 264 | May | 2013 | May | 2023 | 6,045,000 | 4.05 | % | |||||||||
Los Angeles | 4 | September | 2012 | September | 2042 | 390,000 | 4.25 | % | |||||||||
Los Angeles | 2 | September | 2012 | September | 2042 | 395,000 | 4.25 | % | |||||||||
Los Angeles | 1 | August | 2012 | September | 2042 | 425,000 | 4.25 | % | |||||||||
Los Angeles | 31 | January | 2010 | December | 2020 | 5,570,000 | 4.85 | % | |||||||||
Los Angeles | 30 | August | 2007 | September | 2022 | 6,505,000 | 5.97 | % | |||||||||
Los Angeles | 27 | November | 2010 | December | 2020 | 3,138,000 | 4.85 | % | |||||||||
Los Angeles | 14 | April | 2011 | March | 2021 | 1,805,000 | 5.89 | % | |||||||||
Los Angeles | 12 | December | 2011 | January | 2022 | 2,045,000 | 4.25 | % | |||||||||
Los Angeles | 9 | April | 2011 | May | 2021 | 1,447,000 | 5.6 | % | |||||||||
Los Angeles | 9 | April | 2011 | March | 2021 | 1,230,000 | 5.89 | % | |||||||||
Los Angeles | 8 | May | 2001 | November | 2029 | 466,000 | 2.49 | % | |||||||||
Los Angeles | 7 | August | 2012 | September | 2042 | 967,000 | 3.85 | % | |||||||||
Los Angeles | 4 | August | 2012 | September | 2042 | 661,000 | 3.85 | % | |||||||||
Los Angeles | 1 | September | 2012 | September | 2042 | 453,000 | 4.25 | % | |||||||||
Los Angeles | Office | March | 2009 | March | 2014 | 1,036,000 | 5.02 | % | |||||||||
Los Angeles | Office | September | 2000 | December | 2013 | 556,000 | 6 | % | |||||||||
Mortgage notes payable - real estate | $ | 73,512,000 | |||||||||||||||
Contractual Obligation, Fiscal Year Maturity Schedule [Table Text Block] | ' | ||||||||||||||||
Future minimum payments for all notes payable are as follows: | |||||||||||||||||
For the year ending June 30, | |||||||||||||||||
2015 | $ | 2,845,000 | |||||||||||||||
2016 | 5,130,000 | ||||||||||||||||
2017 | 2,339,000 | ||||||||||||||||
2018 | 3,088,000 | ||||||||||||||||
2019 | 3,239,000 | ||||||||||||||||
Thereafter | 176,001,000 | ||||||||||||||||
$ | 192,642,000 | ||||||||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | |||||||
The provision for the Company’s income tax benefit (expense) is comprised of the following: | ||||||||
For the years ended June 30, | 2014 | 2013 | ||||||
Federal | ||||||||
Current tax expense | $ | -51,000 | $ | -62,000 | ||||
Deferred tax benefit | 2,748,000 | 183,000 | ||||||
2,697,000 | 121,000 | |||||||
State | ||||||||
Current tax expense | -56,000 | -54,000 | ||||||
Deferred tax benefit | 926,000 | 180,000 | ||||||
870,000 | 126,000 | |||||||
$ | 3,567,000 | $ | 247,000 | |||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | |||||||
The provision for income taxes differs from the amount of income tax computed by applying the federal statutory income tax rate to loss before taxes as a result of the following differences: | ||||||||
For the years ended June 30, | 2014 | 2013 | ||||||
Statutory federal tax rate | $ | 3,507,000 | $ | -129,000 | ||||
State income taxes, net of federal tax benefit | 552,000 | 69,000 | ||||||
Dividend received deduction | 245,000 | 255,000 | ||||||
Noncontrolling interest | -351,000 | 450,000 | ||||||
Valuation allowance | -153,000 | -397,000 | ||||||
Other | -233,000 | -1,000 | ||||||
$ | 3,567,000 | $ | 247,000 | |||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | |||||||
The components of the deferred tax asset and liabilities are as follows: | ||||||||
Deferred tax assets: | June 30, 2014 | June 30, 2013 | ||||||
Net operating loss carryforwards | $ | 10,110,000 | $ | 8,625,000 | ||||
Capital loss carryforwards | 940,000 | 896,000 | ||||||
Investment impairment reserve | 1,565,000 | 1,541,000 | ||||||
Accruals and reserves | 968,000 | 886,000 | ||||||
Depreciation and amortization | 571,000 | 528,000 | ||||||
State taxes | 707,000 | - | ||||||
Valuation allowance | -1,847,000 | -1,695,000 | ||||||
13,014,000 | 10,781,000 | |||||||
Deferred tax assets (liabilities): | ||||||||
Deferred gains on real estate sale | -9,633,000 | -9,612,000 | ||||||
Unrealized gains on marketable securities | -3,789,000 | -3,804,000 | ||||||
Equity earnings | -535,000 | -1,816,000 | ||||||
State taxes | - | -166,000 | ||||||
-13,957,000 | -15,398,000 | |||||||
Net deferred tax liability | $ | -943,000 | $ | -4,617,000 | ||||
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | ' | |||||||
As of June 30, 2014, the Company had estimated net operating losses (NOLs) of $25,165,000 and $18,087,000 for federal and state purposes, respectively. Below is the break-down of the NOLs for Intergroup, Santa Fe and Portsmouth. The carryforward expires in varying amounts through the year 2024. | ||||||||
Federal | State | |||||||
InterGroup | $ | 3,922,000 | $ | 1,502,000 | ||||
Santa Fe | 6,879,000 | 3,304,000 | ||||||
Portsmouth | 14,364,000 | 13,280,000 | ||||||
$ | 25,165,000 | $ | 18,086,000 | |||||
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 12 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ' | ||||||||||||||||
Information below represents reported segments for the years ended June 30, 2014 and 2013. Segment income (loss) from Hotel operations consists of the operation of the hotel and operation of the garage. Segment income from real estate operations consists of the operation of the rental properties. Income (loss) from investments consists of net investment gain (loss), dividend and interest income and investment related expenses. | |||||||||||||||||
As of and for the year | Hotel | Real Estate | Investment | ||||||||||||||
ended June 30, 2014 | Operations | Operations | Transactions | Other | Total | ||||||||||||
Revenues | $ | 50,963,000 | $ | 16,332,000 | $ | - | $ | - | $ | 67,295,000 | |||||||
Segment operating expenses | -48,764,000 | -8,982,000 | - | -2,168,000 | -59,914,000 | ||||||||||||
Segment income (loss) from operations | 2,199,000 | 7,350,000 | - | -2,168,000 | 7,381,000 | ||||||||||||
Interest expense - mortgage | -4,960,000 | -3,026,000 | - | - | -7,986,000 | ||||||||||||
Interest expense - occupancy tax | -328,000 | - | - | - | -328,000 | ||||||||||||
Loss on extinguishment of debt | -3,910,000 | - | - | - | -3,910,000 | ||||||||||||
Loss on disposal of assets | -1,092,000 | - | - | - | -1,092,000 | ||||||||||||
Depreciation and amortization expense | -2,573,000 | -2,150,000 | - | - | -4,723,000 | ||||||||||||
Gain from investments | - | - | 343,000 | - | 343,000 | ||||||||||||
Income tax benefit | - | - | - | 3,567,000 | 3,567,000 | ||||||||||||
Net income (loss) | $ | -10,664,000 | $ | 2,174,000 | $ | 343,000 | $ | 1,399,000 | $ | -6,748,000 | |||||||
Total assets | $ | 41,897,000 | $ | 63,697,000 | $ | 27,257,000 | $ | 32,609,000 | $ | 165,460,000 | |||||||
As of and for the year | Hotel | Real Estate | Investment | ||||||||||||||
ended June 30, 2013 | Operations | Operations | Transactions | Other | Total | ||||||||||||
Revenues | $ | 46,565,000 | $ | 15,474,000 | $ | - | $ | - | $ | 62,039,000 | |||||||
Segment operating expenses | -38,635,000 | -8,529,000 | - | -1,949,000 | -49,113,000 | ||||||||||||
Segment income (loss) from operations | 7,930,000 | 6,945,000 | - | -1,949,000 | 12,926,000 | ||||||||||||
Interest expense | -2,612,000 | -3,556,000 | - | - | -6,168,000 | ||||||||||||
Depreciation and amortization expense | -2,454,000 | -2,123,000 | - | - | -4,577,000 | ||||||||||||
Loss from investments | - | - | -1,803,000 | - | -1,803,000 | ||||||||||||
Income tax benefit | - | - | - | 247,000 | 247,000 | ||||||||||||
Net income (loss) | $ | 2,864,000 | $ | 1,266,000 | $ | -1,803,000 | $ | -1,702,000 | $ | 625,000 | |||||||
Total assets | $ | 41,728,000 | $ | 65,262,000 | $ | 27,904,000 | $ | 9,792,000 | $ | 144,686,000 | |||||||
STOCK_BASED_COMPENSATION_PLANS1
STOCK BASED COMPENSATION PLANS (Tables) | 12 Months Ended | |||||||||||||
Jun. 30, 2014 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | ' | |||||||||||||
The following table summarizes the stock options activity from June 30, 2012 through June 30, 2014: | ||||||||||||||
Number of | Weighted Average | Weighted Average | Aggregate | |||||||||||
Shares | Exercise Price | Remaining Life | Intrinsic Value | |||||||||||
Oustanding at | 30-Jun-12 | 242,000 | $ | 14.55 | 7.46 years | $ | 2,050,000 | |||||||
Granted | - | - | ||||||||||||
Exercised | -5,000 | 10.3 | ||||||||||||
Forfeited | - | - | ||||||||||||
Exchanged | -15,000 | 9.52 | ||||||||||||
Oustanding at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Exercisable at | 30-Jun-13 | 105,000 | $ | 13.01 | 1.86 years | $ | 838,000 | |||||||
Vested and Expected to vest at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Oustanding at | 30-Jun-13 | 222,000 | $ | 14.98 | 6.89 years | $ | 1,353,000 | |||||||
Granted | 160,000 | 18.96 | ||||||||||||
Exercised | -15,000 | 11.75 | ||||||||||||
Forfeited | - | - | ||||||||||||
Exchanged | - | - | ||||||||||||
Oustanding at | 30-Jun-14 | 367,000 | $ | 16.85 | 7.71 years | $ | 953,000 | |||||||
Exercisable at | 30-Jun-14 | 92,000 | $ | 11.3 | 5.10 years | $ | 717,000 | |||||||
Vested and Expected to vest at | 30-Jun-14 | 367,000 | $ | 16.85 | 7.71 years | $ | 953,000 | |||||||
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | ' | |||||||||||||
The table below summarizes the RSUs granted and outstanding. | ||||||||||||||
Weighted Average | ||||||||||||||
Grant Date | ||||||||||||||
Number of RSUs | Fair Value | |||||||||||||
RSUs outstanding as of | 30-Jun-12 | 8,245 | $ | 24.94 | ||||||||||
Granted | 8,195 | 20.99 | ||||||||||||
Converted to common stock | -8,245 | 24.94 | ||||||||||||
RSUs outstanding as of | 30-Jun-13 | 8,195 | $ | 20.99 | ||||||||||
Granted | - | - | ||||||||||||
Converted to common stock | -8,195 | 20.99 | ||||||||||||
RSUs outstanding as of | 30-Jun-14 | - | $ | - | ||||||||||
BUSINESS_AND_SIGNIFICANT_ACCOU2
BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Business Acquisition, Percentage of Voting Interests Acquired | 50.00% | ' |
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest | 93.00% | ' |
Allowance For Impairment Losses | $4,727,000 | $4,626,000 |
Other than Temporary Impairment Losses, Investments | 101,000 | 105,000 |
Allowance for Doubtful Accounts Receivable | 62,000 | 19,000 |
Advertising Expense | $434,000 | $419,000 |
Weighted Average Number of Shares Outstanding, Diluted | 2,368,861 | 2,407,128 |
Stock Option And Restricted Stock Units RSUs [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Weighted Average Number of Shares Outstanding, Diluted | 37,738 | 52,138 |
Franchise Fees [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Other Assets Amortization Period | '15 years | ' |
License Fees [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Other Assets Amortization Period | '10 years | ' |
Maximum [Member] | Building Improvements [Member] | Hotel Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '39 years | ' |
Maximum [Member] | Furniture and Fixtures [Member] | Hotel Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '7 years | ' |
Maximum [Member] | Building and Building Improvements [Member] | Real Estate Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '40 years | ' |
Maximum [Member] | Equipment [Member] | Real Estate Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '10 years | ' |
Minimum [Member] | Building Improvements [Member] | Hotel Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '3 years | ' |
Minimum [Member] | Furniture and Fixtures [Member] | Hotel Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '3 years | ' |
Minimum [Member] | Building and Building Improvements [Member] | Real Estate Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '5 years | ' |
Minimum [Member] | Equipment [Member] | Real Estate Operations [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Property, Plant and Equipment, Useful Life | '5 years | ' |
Santa Fe [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Business Acquisition, Percentage of Voting Interests Acquired | 84.80% | ' |
Percentage Of Voting Shares In Common Stock | 4.00% | ' |
Portsmouth [Member] | ' | ' |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ' | ' |
Equity Method Investment, Ownership Percentage | 68.80% | ' |
Noncontrolling Interest, Ownership Percentage by Parent | 12.90% | ' |
JUSTICE_INVESTORS_Details_Text
JUSTICE INVESTORS (Details Textual) (USD $) | 0 Months Ended | 12 Months Ended | 12 Months Ended | |||||
Dec. 01, 2008 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 01, 2008 | Jun. 30, 2014 | Dec. 01, 2008 | |
Altenative Redemption Structure [Member] | General Partner [Member] | Evon [Member] | Portsmouth [Member] | Portsmouth [Member] | ||||
Justice Investors [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Amendment To Limited Partnership Agreement Interests | 98.00% | ' | ' | ' | ' | ' | ' | ' |
Minimum Future Amendment To Limited Partnership Agreement Interests | 75.00% | ' | ' | ' | ' | ' | ' | ' |
Annual Revenues Of Partnership Percentage | 1.50% | ' | ' | ' | ' | ' | ' | ' |
General Partner Contribution To Asset Managers | $75,000 | ' | ' | ' | ' | ' | ' | ' |
Minimum Annual Compensation | 285,000 | ' | ' | ' | ' | ' | ' | ' |
Allocated Compensation Percentage | ' | ' | ' | ' | ' | 20.00% | ' | 80.00% |
Allocated Excess Compensation Percentage | 50.00% | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition, Percentage of Voting Interests Acquired | ' | ' | 50.00% | ' | 93.00% | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | ' | ' | ' | ' | 29.17% | ' | 12.90% | ' |
Partners' Capital Account, Redemptions | ' | ' | ' | 1,385,000 | 1,385,000 | ' | ' | ' |
Partners Capital Tendered Percentage | ' | ' | ' | 1.00% | 1.00% | ' | ' | ' |
Partners Capital Additional Partnership Percent | ' | ' | ' | ' | 17.15% | ' | ' | ' |
Proceeds from Partnership Contribution | ' | ' | ' | 2,928,000 | ' | ' | ' | ' |
Restricted Cash Redemption | ' | 0 | 16,163,000 | 16,163,000 | ' | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | ' | ' | ' | 6,681,000 | ' | ' | ' | ' |
Management Fee Expense | ' | ' | ' | 1,550,000 | ' | ' | ' | ' |
Legal Fees | ' | 365,000 | ' | 431,000 | ' | ' | ' | ' |
Payments for Other Taxes | ' | ' | ' | 4,700,000 | ' | ' | ' | ' |
Extinguishment of Debt, Gain (Loss), Net of Tax | ' | ' | ' | ' | 3,910,000 | ' | ' | ' |
Payments of Debt Extinguishment Costs | ' | ' | ' | ' | 3,808,000 | ' | ' | ' |
Short-term Debt, Refinanced, Amount | ' | ' | ' | ' | 102,000 | ' | ' | ' |
Management Services Agreement Term | ' | ' | ' | ' | '3 years | ' | ' | ' |
Increase (Decrease) in Partners' Capital | ' | ' | ' | ' | $64,100,000 | ' | ' | ' |
INVESTMENT_IN_HOTEL_NET_Detail
INVESTMENT IN HOTEL, NET (Details) (Hotel [Member], USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | $85,872,000 | $83,884,000 |
Accumulated Depreciation | -43,975,000 | -42,156,000 |
Net Book Value | 41,897,000 | 41,728,000 |
Land [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 2,738,000 | 2,738,000 |
Accumulated Depreciation | 0 | 0 |
Net Book Value | 2,738,000 | 2,738,000 |
Furniture and equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 23,306,000 | 22,271,000 |
Accumulated Depreciation | -20,072,000 | -19,310,000 |
Net Book Value | 3,234,000 | 2,961,000 |
Building and improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Cost | 59,828,000 | 58,875,000 |
Accumulated Depreciation | -23,903,000 | -22,846,000 |
Net Book Value | $35,925,000 | $36,029,000 |
INVESTMENT_IN_HOTEL_NET_Detail1
INVESTMENT IN HOTEL, NET (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Property, Plant and Equipment [Line Items] | ' | ' |
Capital Leased Assets, Gross | $2,131,000 | $2,131,000 |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation | 2,098,000 | 1,930,000 |
Gain (Loss) on Disposition of Assets, Total | -1,092,000 | 0 |
Hotel [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Gain (Loss) on Disposition of Assets, Total | -1,092,000 | ' |
Justice Investors [Member] | Hotel [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Gain (Loss) on Disposition of Assets, Total | $738,000 | ' |
INVESTMENT_IN_REAL_ESTATE_NET_1
INVESTMENT IN REAL ESTATE, NET (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Property, Plant and Equipment [Line Items] | ' | ' |
Investment in real estate, net | $63,697,000 | $65,262,000 |
Apartment Building [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Land | 25,781,000 | 25,781,000 |
Buildings, improvements and equipment | 74,039,000 | 73,453,000 |
Accumulated depreciation | -36,123,000 | -33,972,000 |
Investment in real estate, net | $63,697,000 | $65,262,000 |
INVESTMENT_IN_REAL_ESTATE_NET_2
INVESTMENT IN REAL ESTATE, NET (Details Textual) (Apartment Building [Member], USD $) | 1 Months Ended | |
Feb. 28, 2014 | Aug. 31, 2014 | |
Subsequent Event [Member] | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Number Of Apartment Sold | 249 | ' |
Real Estate Held-for-sale | $15,800,000 | ' |
Gain Loss On Sale Of Buildings | 208,000 | ' |
Additional Consideration Received from Sale of Buildings | 250,000 | ' |
Proceeds from Sale of Buildings | ' | $458,000 |
INVESTMENT_IN_MARKETABLE_SECUR2
INVESTMENT IN MARKETABLE SECURITIES (Details) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Gross Unrealized Gain | $128,000 | ($1,003,000) |
Net Unrealized Gain | -128,000 | -1,003,000 |
Fair Value | 11,420,000 | 12,624,000 |
Equity Securities [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Cost | 10,369,000 | 11,314,000 |
Gross Unrealized Gain | 2,717,000 | 3,391,000 |
Gross Unrealized Loss | -1,666,000 | -2,081,000 |
Net Unrealized Gain | 1,051,000 | 1,310,000 |
Fair Value | $11,420,000 | $12,624,000 |
INVESTMENT_IN_MARKETABLE_SECUR3
INVESTMENT IN MARKETABLE SECURITIES (Details 1) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Realized gain on marketable securities | $870,000 | $147,000 |
Unrealized gain (loss) on marketable securities | 128,000 | -1,003,000 |
Net gain (loss) on marketable securities | $998,000 | ($856,000) |
INVESTMENT_IN_MARKETABLE_SECUR4
INVESTMENT IN MARKETABLE SECURITIES (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Trading Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $1,615,000 | $1,670,000 |
OTHER_INVESTMENTS_NET_Details
OTHER INVESTMENTS, NET (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Other Investment [Line Items] | ' | ' |
Other investments, net | $15,837,000 | $15,280,000 |
Preferred stock - Comstock, at cost [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Other investments, net | 13,231,000 | 13,231,000 |
Private equity hedge fund, at cost [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Other investments, net | 1,650,000 | 1,774,000 |
Corporate debt and equity instruments, at cost [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Other investments, net | 269,000 | 269,000 |
Other preferred stock, at cost [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Other investments, net | 480,000 | 0 |
Warrants [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Other investments, net | $207,000 | $6,000 |
OTHER_INVESTMENTS_NET_Details_
OTHER INVESTMENTS, NET (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Other Investment [Line Items] | ' | ' |
Net unrealized gain (loss) on other investments and derivatives | $181,000 | ($216,000) |
Warrant [Member] | ' | ' |
Other Investment [Line Items] | ' | ' |
Available-for-sale Debt Securities, Amortized Cost Basis | 420,000 | 400,000 |
Available-for-sale Securities, Total | 207,000 | 6,000 |
Net unrealized gain (loss) on other investments and derivatives | $181,000 | $216,000 |
FAIR_VALUE_MEASUREMENTS_Detail
FAIR VALUE MEASUREMENTS (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Assets: | ' | ' |
Cash equivalents - money market | ' | $3,000 |
Other investments - warrants | 207,000 | 6,000 |
Investment in marketable securities | 11,420,000 | 12,624,000 |
Assets, Fair Value Disclosure | 11,627,000 | 12,633,000 |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Cash equivalents - money market | ' | 3,000 |
Other investments - warrants | 0 | ' |
Investment in marketable securities | 11,420,000 | 12,624,000 |
Assets, Fair Value Disclosure | 11,420,000 | 12,627,000 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Cash equivalents - money market | ' | 0 |
Other investments - warrants | 0 | 0 |
Investment in marketable securities | 0 | 0 |
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Cash equivalents - money market | ' | 0 |
Other investments - warrants | 207,000 | 6,000 |
Investment in marketable securities | 0 | 0 |
Assets, Fair Value Disclosure | 207,000 | 6,000 |
Basic Materials [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 5,081,000 | 4,733,000 |
Basic Materials [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 5,081,000 | 4,733,000 |
Basic Materials [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Basic Materials [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Technology [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 1,395,000 | 2,698,000 |
Technology [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 1,395,000 | 2,698,000 |
Technology [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Technology [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Financial Services [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 820,000 | 2,261,000 |
Financial Services [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 820,000 | 2,261,000 |
Financial Services [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Financial Services [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
REITs and Real Estate Companies [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 1,001,000 | 878,000 |
REITs and Real Estate Companies [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 1,001,000 | 878,000 |
REITs and Real Estate Companies [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
REITs and Real Estate Companies [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Other [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 3,123,000 | 2,054,000 |
Other [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 3,123,000 | 2,054,000 |
Other [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | 0 | 0 |
Other [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Investment in marketable securities | $0 | $0 |
FAIR_VALUE_MEASUREMENTS_Detail1
FAIR VALUE MEASUREMENTS (Details 1) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Net loss | ($101,000) | ($105,000) |
Other Investments [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Other non-marketable investments | 15,630,000 | 15,274,000 |
Other Investments [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Other non-marketable investments | 0 | 0 |
Other Investments [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Other non-marketable investments | 0 | 0 |
Other Investments [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Other non-marketable investments | $15,630,000 | $15,274,000 |
OTHER_ASSETS_NET_Details
OTHER ASSETS, NET (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Accounts receivable, net | $1,964,000 | $1,957,000 |
Prepaid expenses | 1,120,000 | 581,000 |
Occupancy tax deposit | 1,061,000 | 0 |
Inventory - hotel | 653,000 | 918,000 |
Miscellaneous assets, net | 2,961,000 | 2,435,000 |
Total other assets | $7,759,000 | $5,891,000 |
OTHER_ASSETS_NET_Details_Textu
OTHER ASSETS, NET (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Amortization Expense Of Loan fees And Franchise Costs | $88,000 | $72,000 |
OTHER_NOTES_PAYABLE_Details_Te
OTHER NOTES PAYABLE (Details Textual) (USD $) | 12 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Apr. 30, 2010 | |
Long-term Line of Credit | $91,000 | $71,000 | $2,500,000 |
Line of Credit Facility, Expiration Date | 29-Apr-10 | ' | ' |
Line of Credit Facility, Interest Rate Description | 'Pursuant to the modification, the annual floating interest rate was reduced by 0.5% to the WSJ Prime Rate plus 2.5% (with a minimum floor rate of 5.0% per annum). | ' | ' |
Line Of Credit Facility Modified Expiration Date | 30-Apr-14 | ' | ' |
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 4.00% | ' |
Justice [Member] | ' | ' | ' |
Debt Instrument, Interest Rate, Stated Percentage | 11.50% | ' | ' |
Other Notes Payable | $182,000 | $219,000 | ' |
MORTGAGE_NOTES_PAYABLE_Details
MORTGAGE NOTES PAYABLE (Details) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | $75,360,000 | $73,512,000 |
Interest Rate | 5.00% | 4.00% |
Mortgage Balance | 117,000,000 | 43,413,000 |
5.28% SF hotel [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Interest Rate | 5.28% | ' |
Mortgage Balance | 97,000,000 | ' |
Origination Date | 'December 2013 | ' |
Maturity Date | 'January 2024 | ' |
Number of Units | 543 | ' |
9.75% SF Hotel [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Interest Rate | 9.75% | ' |
Mortgage Balance | 20,000,000 | ' |
Origination Date | 'December 2013 | ' |
Maturity Date | 'January 2024 | ' |
Number of Units | 543 | ' |
5.22% SF hotel [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Interest Rate | ' | 5.22% |
Mortgage Balance | ' | 26,043,000 |
Origination Date | ' | 'July 2005 |
Maturity Date | ' | 'August 2015 |
Number of Units | ' | 543 |
6.42% SF Hotel [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Interest Rate | ' | 6.42% |
Mortgage Balance | ' | 17,370,000 |
Origination Date | ' | 'March 2005 |
Maturity Date | ' | 'August 2015 |
Number of Units | ' | 543 |
5.46% Ausitn [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 6,505,000 | 6,694,000 |
Interest Rate | 5.46% | 5.46% |
Origination Date | 'June 2003 | 'June 2003 |
Maturity Date | 'July 2023 | 'July 2023 |
Number of Units | 249 | 249 |
4.96% Florence [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 3,722,000 | 3,802,000 |
Interest Rate | 4.96% | 4.96% |
Origination Date | 'June 2005 | 'June 2005 |
Maturity Date | 'July 2015 | 'July 2014 |
Number of Units | 157 | 157 |
3.73% Las Colinas [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 18,970,000 | 19,326,000 |
Interest Rate | 3.73% | 3.73% |
Origination Date | 'November 2012 | 'November 2012 |
Maturity Date | 'December 2022 | 'December 2022 |
Number of Units | 358 | 358 |
3.51% Morris County [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 10,279,000 | 10,556,000 |
Interest Rate | 3.51% | 3.51% |
Origination Date | 'July 2012 | 'July 2012 |
Maturity Date | 'July 2022 | 'July 2022 |
Number of Units | 151 | 151 |
4.51% Morris County [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 2,740,000 | ' |
Interest Rate | 4.51% | ' |
Origination Date | 'June 2014 | ' |
Maturity Date | 'August 2022 | ' |
Number of Units | 151 | ' |
4.05% St. Louis [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 5,943,000 | 6,045,000 |
Interest Rate | 4.05% | 4.05% |
Origination Date | 'May 2013 | 'May 2013 |
Maturity Date | 'May2023 | 'May 2023 |
Number of Units | 264 | 264 |
4.25% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 383,000 | 390,000 |
Interest Rate | 4.25% | 4.25% |
Origination Date | 'September 2012 | 'September 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 4 | 4 |
4.25% Los Angels1 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 388,000 | 395,000 |
Interest Rate | 4.25% | 4.25% |
Origination Date | 'September 2012 | 'September 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 2 | 2 |
4.25% Los Angels2 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 417,000 | 425,000 |
Interest Rate | 4.25% | 4.25% |
Origination Date | 'August 2012 | 'August 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 1 | 1 |
4.25% Los Angels3 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 2,008,000 | 2,045,000 |
Interest Rate | 4.25% | 4.25% |
Origination Date | 'December 2011 | 'December 2011 |
Maturity Date | 'January 2022 | 'January 2022 |
Number of Units | 12 | 12 |
4.25% Los Angels4 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 445,000 | 453,000 |
Interest Rate | 4.25% | 4.25% |
Origination Date | 'September 2012 | 'September 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 1 | 1 |
4.85% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 5,475,000 | 5,570,000 |
Interest Rate | 4.85% | 4.85% |
Origination Date | 'January 2010 | 'January 2010 |
Maturity Date | 'December 2020 | 'December 2020 |
Number of Units | 31 | 31 |
4.85% Los Angels1 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 3,085,000 | 3,138,000 |
Interest Rate | 4.85% | 4.85% |
Origination Date | 'November 2010 | 'November 2010 |
Maturity Date | 'December 2020 | 'December 2020 |
Number of Units | 27 | 27 |
5.97% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 6,399,000 | 6,505,000 |
Interest Rate | 5.97% | 5.97% |
Origination Date | 'August 2007 | 'August 2007 |
Maturity Date | 'September 2022 | 'September 2022 |
Number of Units | 30 | 30 |
5.89% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 1,780,000 | 1,805,000 |
Interest Rate | 5.89% | 5.89% |
Origination Date | 'April 2011 | 'April 2011 |
Maturity Date | 'March 2021 | 'March 2021 |
Number of Units | 14 | 14 |
5.89% Los Angels1 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 1,213,000 | 1,230,000 |
Interest Rate | 5.89% | 5.89% |
Origination Date | 'April 2011 | 'April 2011 |
Maturity Date | 'March 2021 | 'March 2021 |
Number of Units | 9 | 9 |
5.60% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 1,427,000 | 1,447,000 |
Interest Rate | 5.60% | 5.60% |
Origination Date | 'April 2011 | 'April 2011 |
Maturity Date | 'May 2021 | 'May 2021 |
Number of Units | 9 | 9 |
3.50% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 491,000 | ' |
Interest Rate | 3.50% | ' |
Origination Date | 'July 2013 | ' |
Maturity Date | 'July 2043 | ' |
Number of Units | 8 | ' |
2.49% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | ' | 466,000 |
Interest Rate | ' | 2.49% |
Origination Date | ' | 'May 2001 |
Maturity Date | ' | 'November 2029 |
Number of Units | ' | 8 |
3.85% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 949,000 | 967,000 |
Interest Rate | 3.85% | 3.85% |
Origination Date | 'August 2012 | 'August 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 7 | 7 |
3.85% Los Angels1 [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 649,000 | 661,000 |
Interest Rate | 3.85% | 3.85% |
Origination Date | 'August 2012 | 'August 2012 |
Maturity Date | 'September 2042 | 'September 2042 |
Number of Units | 4 | 4 |
5.02% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 992,000 | 1,036,000 |
Interest Rate | 5.02% | 5.02% |
Origination Date | 'March 2009 | 'March 2009 |
Maturity Date | 'March 2015 | 'March 2014 |
Number of Units | 0 | 0 |
3.25% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | 1,100,000 | ' |
Interest Rate | 3.25% | ' |
Origination Date | 'April 2014 | ' |
Maturity Date | 'May 2017 | ' |
Number of Units | 0 | ' |
6.00% Los Angels [Member] | ' | ' |
Debt Disclosure [Line Items] | ' | ' |
Mortgage notes payable - real estate | ' | $556,000 |
Interest Rate | ' | 6.00% |
Origination Date | ' | 'September 2000 |
Maturity Date | ' | 'December 2013 |
Number of Units | ' | 0 |
MORTGAGE_NOTES_PAYABLE_Details1
MORTGAGE NOTES PAYABLE (Details 1) (USD $) | Jun. 30, 2014 |
Debt Disclosure [Line Items] | ' |
2015 | $2,845,000 |
2016 | 5,130,000 |
2017 | 2,339,000 |
2018 | 3,088,000 |
2019 | 3,239,000 |
Thereafter | 176,001,000 |
Long-term Debt | $192,642,000 |
MORTGAGE_NOTES_PAYABLE_Details2
MORTGAGE NOTES PAYABLE (Details Textual) (USD $) | 12 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||||
Jun. 30, 2014 | Jun. 30, 2014 | Aug. 31, 2012 | Aug. 31, 2012 | Apr. 30, 2014 | Jun. 30, 2014 | Jul. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | 31-May-13 | Nov. 30, 2012 | Sep. 30, 2012 | Jul. 31, 2012 | |
New Jersey [Member] | Two Mortgages On Two Properties [Member] | Four Mortgages On Four Properties [Member] | Office Building [Member] | Office Building [Member] | Apartment Building [Member] | Mezzanine Loan [Member] | Mortgage Loans [Member] | Two Hundred And Sixty Four Unit Apartment [Member] | Three Hundred And Fifghty Eight Unit Apartment [Member] | Two Unit Apartment [Member] | One Hundred And Fifty One Unit Apartment [Member] | ||
Debt Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage Loans on Real Estate, Face Amount of Mortgages | ' | $2,740,000 | $1,583,000 | $1,243,000 | $1,100,000 | ' | $500,000 | $20,000,000 | $97,000,000 | ' | ' | ' | ' |
Mortgage Loan On Real Estate Final Maturity Period | ' | '8 years | '30 years | '30 years | '3 years | ' | '30 years | ' | ' | '10 years | '10 years | '30 years | '10 years |
Mortgage Loans On Real Estate Loan Amortization Period | ' | ' | '30 years | '30 years | ' | ' | ' | ' | ' | '30 years | '30 years | ' | '25 years |
Mortgage Loans on Real Estate | ' | ' | 1,650,000 | 1,285,000 | 526,000 | 992,000 | 466,000 | ' | ' | 6,045,000 | 19,500,000 | 400,000 | 10,780,000 |
Mortgage Loans on Real Estate, Interest Rate | ' | 4.51% | 3.85% | 4.25% | 3.25% | ' | 3.50% | 9.75% | 5.28% | 4.05% | 3.73% | 4.25% | 3.51% |
Mortgage Loans on Real Estate, New Mortgage Loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,671,000 | 17,509,000 | 388,000 | 9,010,000 |
Proceeds From Issuance Of Mortgage Notes Payable On Real Estate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 529,000 | ' | 1,513,000 |
Mortgage Loans on Real Estate, Periodic Payment Terms | 'The term of the Mortgage Loan is 10 years with interest only due in the first three years and equal monthly principal and interest payments based upon a 30 year amortization schedule for the remaining seven years of the Mortgage Loan term. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Mortgage Deposits | ' | ' | ' | ' | $556,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity Date | ' | 'August 2022 | 'September 2042 | 'September 2042 | 'May 2017 | ' | 'July 2043 | 'January 1, 2024 | 'January 1, 2024 | 'May 2023 | 'December 2022 | 'September 2042 | 'August 2022 |
GARAGE_OPERATIONS_Details_Text
GARAGE OPERATIONS (Details Textual) (USD $) | 1 Months Ended | 12 Months Ended | |
Oct. 31, 2010 | Jun. 30, 2014 | Jun. 30, 2013 | |
Garage Operations [Line Items] | ' | ' | ' |
Garages Net Operating Income Description | 'The garages NOI exceeded the annual NOI of $2,000,000 for the years ended June 30, 2014 and 2013. | ' | ' |
Ace Parking [Member] | ' | ' | ' |
Garage Operations [Line Items] | ' | ' | ' |
Monthly Management Fee | $2,000 | ' | ' |
Monthly Accounting Fee | 250 | ' | ' |
Profit Fee Percentage In Criteria One | 1.00% | ' | ' |
Profit Fee Percentage In Criteria Two | 2.00% | ' | ' |
Profit Fee Percentage Determination Criteria One | 'if net operating income (NOI) from the garage operations exceeds $1,800,000 but is less than $2,000,000, then Ace Parking will be entitled to an Excess Profit Fee of one percent (1%) of the total annual NOI. | ' | ' |
Profit Fee Percentage Determination Criteria Two | 'If the annual NOI is $2,000,000 or higher, Ace Parking will be entitled to an Excess Profit Fee equal to two percent (2%) of the total annual NOI. | ' | ' |
Management And Incentive Fee Expense | ' | $44,000 | $44,000 |
MANAGEMENT_AGREEMENTS_Details_
MANAGEMENT AGREEMENTS (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Management Agreement [Line Items] | ' | ' |
Payment for Management Fee | $579,000 | $754,000 |
Management Fees Base Payment Description | 'Of that amount, 1.75% of the gross operating revenues was paid monthly. The balance or 0.75% was paid only to the extent that the partially adjusted net operating income (net operating income less capital expenditures) for the fiscal year exceeded the amount of the Hotels return for the fiscal year. The base management fee was limited to 1.75% for the period ended January 31, 2014 and year ended June 30, 2013, respectively. In January 2014 the Partnership amended the management agreement to a fixed rate of $20,000 per month. | ' |
Payment for Incentive Fee | 10,500 | ' |
GMP Management, Inc [Member] | ' | ' |
Management Agreement [Line Items] | ' | ' |
Management Fees Base Percentage | 5.00% | ' |
Payment for Management Fee | 424,000 | ' |
Payment for Incentive Fee | 235,000 | ' |
Management Services Term | '3 years | ' |
Hotel [Member] | ' | ' |
Management Agreement [Line Items] | ' | ' |
Management Fees Base Percentage | 2.50% | ' |
Payment for Management Fee | $325,000 | ' |
CONCENTRATION_OF_CREDIT_RISK_D
CONCENTRATION OF CREDIT RISK (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Concentration Risk [Line Items] | ' | ' |
Accounts Receivable, Net | $1,964,000 | $1,957,000 |
Hotel [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Accounts Receivable, Net | 1,203,000 | 525,000 |
Concentration Risk, Percentage | 65.00% | 32.00% |
Travel Agents and Airlines [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Accounts Receivable, Net | $915,000 | $595,000 |
Concentration Risk, Percentage | 50.00% | 30.00% |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Federal | ' | ' |
Current tax expense | ($51,000) | ($62,000) |
Deferred tax benefit | 2,748,000 | 183,000 |
Federal Income Tax Expense (Benefit), Continuing Operations | 2,697,000 | 121,000 |
State | ' | ' |
Current tax expense | -56,000 | -54,000 |
Deferred tax benefit | 926,000 | 180,000 |
State and Local Income Tax Expense (Benefit), Continuing Operations | 870,000 | 126,000 |
Income Tax Expense Benefit Including Discontinuing Operation | $3,567,000 | $247,000 |
INCOME_TAXES_Details_1
INCOME TAXES (Details 1) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Income Tax Disclosure [Line Items] | ' | ' |
Statutory federal tax rate | $3,507,000 | ($129,000) |
State income taxes, net of federal tax benefit | 552,000 | 69,000 |
Dividend received deduction | 245,000 | 255,000 |
Noncontrolling interest | -351,000 | 450,000 |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | -153,000 | -397,000 |
Other | -233,000 | -1,000 |
Income Tax Expense (Benefit), Continuing Operations, Discontinued Operations, Extraordinary Items | $3,567,000 | $247,000 |
INCOME_TAXES_Details_2
INCOME TAXES (Details 2) (USD $) | Jun. 30, 2014 | Jun. 30, 2013 |
Deferred tax assets: | ' | ' |
Net operating loss carryforwards | $10,110,000 | $8,625,000 |
Capital loss carryforwards | 940,000 | 896,000 |
Investment impairment reserve | 1,565,000 | 1,541,000 |
Accruals and reserves | 968,000 | 886,000 |
Depreciation and amortization | 571,000 | 528,000 |
State taxes | 707,000 | 0 |
Valuation allowance | -1,847,000 | -1,695,000 |
Deferred Tax Assets, Net of Valuation Allowance | 13,014,000 | 10,781,000 |
Deferred tax assets (liabilities): | ' | ' |
Deferred gains on real estate sale | -9,633,000 | -9,612,000 |
Unrealized gains on marketable securities | -3,789,000 | -3,804,000 |
Equity earnings | -535,000 | -1,816,000 |
State taxes | 0 | -166,000 |
Deferred Tax Liabilities, Gross | -13,957,000 | -15,398,000 |
Net deferred tax liability | ($943,000) | ($4,617,000) |
INCOME_TAXES_Details_3
INCOME TAXES (Details 3) (USD $) | Jun. 30, 2014 |
Income Tax Disclosure [Line Items] | ' |
Federal | $25,165,000 |
State | 18,086,000 |
Intergroup [Member] | ' |
Income Tax Disclosure [Line Items] | ' |
Federal | 3,922,000 |
State | 1,502,000 |
Santa Fe [Member] | ' |
Income Tax Disclosure [Line Items] | ' |
Federal | 6,879,000 |
State | 3,304,000 |
Portsmouth [Member] | ' |
Income Tax Disclosure [Line Items] | ' |
Federal | 14,364,000 |
State | $13,280,000 |
INCOME_TAXES_Details_Textual
INCOME TAXES (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Income Tax Disclosure [Line Items] | ' | ' |
Deferred Tax Assets, Operating Loss Carryforwards, Domestic | $25,165,000 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 18,086,000 | ' |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $152,000 | $397,000 |
SEGMENT_INFORMATION_Details
SEGMENT INFORMATION (Details) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | $67,295,000 | $62,039,000 |
Segment operating expenses | -59,914,000 | -49,113,000 |
Segment income (loss) from operations | 7,381,000 | 12,926,000 |
Interest expense - mortgage | -7,986,000 | -6,168,000 |
Interest expense - occupancy tax | -328,000 | 0 |
Loss on extinguishment of debt | -3,910,000 | 0 |
Loss on disposal of assets | -1,092,000 | 0 |
Depreciation and amortization expense | -4,723,000 | -4,577,000 |
Gain (Loss) from investments | 343,000 | -1,803,000 |
Income tax benefit | 3,567,000 | 247,000 |
Net income (loss) | -6,748,000 | 625,000 |
Total assets | 165,460,000 | 144,686,000 |
Real Estate [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 16,332,000 | 15,474,000 |
Segment operating expenses | -8,982,000 | -8,529,000 |
Segment income (loss) from operations | 7,350,000 | 6,945,000 |
Interest expense - mortgage | -3,026,000 | -3,556,000 |
Interest expense - occupancy tax | 0 | ' |
Loss on extinguishment of debt | 0 | ' |
Loss on disposal of assets | 0 | ' |
Depreciation and amortization expense | -2,150,000 | -2,123,000 |
Gain (Loss) from investments | 0 | 0 |
Income tax benefit | 0 | 0 |
Net income (loss) | 2,174,000 | 1,266,000 |
Total assets | 63,697,000 | 65,262,000 |
Hotel [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 50,963,000 | 46,565,000 |
Segment operating expenses | -48,764,000 | -38,635,000 |
Segment income (loss) from operations | 2,199,000 | 7,930,000 |
Interest expense - mortgage | -4,960,000 | -2,612,000 |
Interest expense - occupancy tax | -328,000 | ' |
Loss on extinguishment of debt | -3,910,000 | ' |
Loss on disposal of assets | -1,092,000 | ' |
Depreciation and amortization expense | -2,573,000 | -2,454,000 |
Gain (Loss) from investments | 0 | 0 |
Income tax benefit | 0 | 0 |
Net income (loss) | -10,664,000 | 2,864,000 |
Total assets | 41,897,000 | 41,728,000 |
Investment Transactions [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 0 | 0 |
Segment operating expenses | 0 | 0 |
Segment income (loss) from operations | 0 | 0 |
Interest expense - mortgage | 0 | 0 |
Interest expense - occupancy tax | 0 | ' |
Loss on extinguishment of debt | 0 | ' |
Loss on disposal of assets | 0 | ' |
Depreciation and amortization expense | 0 | 0 |
Gain (Loss) from investments | 343,000 | -1,803,000 |
Income tax benefit | 0 | 0 |
Net income (loss) | 343,000 | -1,803,000 |
Total assets | 27,257,000 | 27,904,000 |
Other Property [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 0 | 0 |
Segment operating expenses | -2,168,000 | -1,949,000 |
Segment income (loss) from operations | -2,168,000 | -1,949,000 |
Interest expense - mortgage | 0 | 0 |
Interest expense - occupancy tax | 0 | ' |
Loss on extinguishment of debt | 0 | ' |
Loss on disposal of assets | 0 | ' |
Depreciation and amortization expense | 0 | 0 |
Gain (Loss) from investments | 0 | 0 |
Income tax benefit | 3,567,000 | 247,000 |
Net income (loss) | 1,399,000 | -1,702,000 |
Total assets | $32,609,000 | $9,792,000 |
STOCK_BASED_COMPENSATION_PLANS2
STOCK BASED COMPENSATION PLANS (Details) (USD $) | 12 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2012 | |
Stock Based Compensation [Line Items] | ' | ' | ' |
Oustanding, Number of Shares | 222,000 | 242,000 | ' |
Granted, Number of Shares | 160,000 | 0 | ' |
Exercised, Number of Shares | -15,000 | -5,000 | ' |
Forfeited, Number of Shares | 0 | 0 | ' |
Exchanged, Number of Shares | 0 | -15,000 | ' |
Oustanding, Number of Shares | 367,000 | 222,000 | 242,000 |
Exercisable, Number of Shares | 92,000 | 105,000 | ' |
Vested and Expected to vest, Number of Shares | 367,000 | 222,000 | ' |
Oustanding, Weighted Average Exercise Price | $14.98 | $14.55 | ' |
Granted, Weighted Average Exercise Price | $18.96 | $0 | ' |
Exercised, Weighted Average Exercise Price | $11.75 | $10.30 | ' |
Forfeited, Weighted Average Exercise Price | $0 | $0 | ' |
Exchanged, Weighted Average Exercise Price | $0 | $9.52 | ' |
Oustanding, Weighted Average Exercise Price | $16.85 | $14.98 | $14.55 |
Exercisable, Weighted Average Exercise Price | $11.30 | $13.01 | ' |
Vested and Expected to vest, Weighted Average Exercise Price | $16.85 | $14.98 | ' |
Oustanding at Weighted Average Remaining Life | '7 years 8 months 16 days | '6 years 10 months 20 days | '7 years 5 months 16 days |
Granted at Weighted Average Remaining Life | ' | ' | ' |
Exercisable, Weighted Average Remaining Life | '5 years 1 month 6 days | '1 year 10 months 10 days | ' |
Vested and Expected to vest, Weighted Average Remaining Life | '7 years 8 months 16 days | '6 years 10 months 20 days | ' |
Outstanding, Aggregate Intrinsic Value | $1,353,000 | $2,050,000 | ' |
Granted, Aggregate Intrinsic Value | 0 | ' | ' |
Exercised, Aggregate Intrinsic Value | 0 | ' | ' |
Forfeited, Aggregate Intrinsic Value | 0 | ' | ' |
Exchanged, Aggregate Intrinsic Value | 0 | ' | ' |
Outstanding, Aggregate Intrinsic Value | 953,000 | 1,353,000 | 2,050,000 |
Exercisable, Aggregate Intrinsic Value | 717,000 | 838,000 | ' |
Vested and Expected to vest, Aggregate Intrinsic Value | $953,000 | $1,353,000 | ' |
STOCK_BASED_COMPENSATION_PLANS3
STOCK BASED COMPENSATION PLANS (Details 1) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Stock Based Compensation [Line Items] | ' | ' |
RSUs outstanding, Weighted Average Grant Date Fair Value | $0 | ' |
Restricted Stock Units (RSUs) [Member] | ' | ' |
Stock Based Compensation [Line Items] | ' | ' |
RSUs outstanding, Number of RSUs | 8,195 | 8,245 |
Granted, Number of RSUs | 0 | 8,195 |
Converted to common stock, Number of RSUs | -8,195 | -8,245 |
RSUs outstanding, Number of RSUs | 0 | 8,195 |
RSUs outstanding, Weighted Average Grant Date Fair Value | $20.99 | $24.94 |
Granted, Weighted Average Grant Date Fair Value | $0 | $20.99 |
Converted to common stock, Weighted Average Grant Date Fair Value | $20.99 | $24.94 |
RSUs outstanding, Weighted Average Grant Date Fair Value | $0 | $20.99 |
STOCK_BASED_COMPENSATION_PLANS4
STOCK BASED COMPENSATION PLANS (Details Textual) (USD $) | 12 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | |||||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2012 | Jun. 30, 2014 | Mar. 16, 2010 | Feb. 24, 2010 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jul. 31, 2011 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Mar. 16, 2010 | Feb. 29, 2012 | Jun. 30, 2014 | |
Incentive Stock [Member] | 2010 Incentive Plan [Member] | 2010 Incentive Plan [Member] | 2007 Stock Plan [Member] | 2007 Stock Plan [Member] | Restricted Stock unit Plan [Member] | Non Employee Directors [Member] | Non Employee Directors [Member] | Non Employee Directors [Member] | Non Employee Directors [Member] | Non Employee Directors [Member] | John V Winfield [Member] | Chief Executive Officer [Member] | Chief Executive Officer [Member] | ||||
Unrestricted Shares [Member] | 2007 Stock Plan [Member] | 2007 Stock Plan [Member] | 2007 Stock Plan [Member] | 2007 Stock Plan [Member] | 2007 Stock Plan [Member] | 2010 Incentive Plan [Member] | |||||||||||
Minimum [Member] | Maximum [Member] | ||||||||||||||||
Stock Based Compensation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount | $476,000 | $324,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12,000 | $16,000 | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | 1,477,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-Based Compensation Arrangement By Share-Based Payment Award Award Vesting Period 1 | '4 years 6 months | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Value, Share-based Compensation, Gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22,000 | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 160,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 160,000 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $18.96 | $0 | ' | $20.52 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $18.65 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | ' | ' | ' | ' | ' | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | ' | ' | ' | 26-Dec-18 | ' | 23-Feb-20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26-Dec-23 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $19.77 | ' |
Sharebased Compensation Arrangement By Share based Payment Award Options Vested And Expected To Vest Increase Or More In Market Price | ' | ' | ' | ' | $2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Shares Purchased for Award | ' | 5,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 90,000 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | ' | ' | ' | ' | 100,000 | ' | 60,000 | 600 | 200,000 | ' | 4,192 | 3,528 | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | ' | $10.30 | ' | ' | $10.30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10.30 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 367,000 | 222,000 | ' | ' | 20,000 | ' | 18,000 | ' | ' | ' | ' | ' | ' | ' | ' | 18,000 | ' |
Proceeds from Stock Options Exercised | 35,000 | 52,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued, Value, Stock Options Exercised, Net of Tax Benefit (Expense) | ' | $53,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 | ' | ' | ' | ' | $0.01 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '5 years 1 month 6 days | '1 year 10 months 10 days | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Beginning Balance | 367,000 | 222,000 | 242,000 | 26,805 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 133,195 |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years |
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | ' | ' | ' | 'In accordance with the terms of the 2010 Incentive Plan, the exercise prices were based on 100% and 110%, respectively | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights | ' | ' | ' | 'with 20% of the options vesting annually commencing on the first anniversary of the grant date. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details Textual) (USD $) | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2012 | Jun. 30, 2014 | Jun. 30, 2013 | |
Related Party Transaction [Line Items] | ' | ' | ' |
Amended Performance Compensation Description | ' | 'performance based compensation for his management of the Companys securities portfolio equal to 20% of all net investment gains generated in excess of an annual return equal to the Prime Rate of Interest (as published in the Wall Street Journal) plus 2%. | ' |
General and Administrative Expense, Total | ' | $2,168,000 | $1,949,000 |
Payment for Management Fee | ' | 579,000 | 754,000 |
Hotel [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Revenue Description | ' | 'one and one-half percent | ' |
Payment for Management Fee | ' | 325,000 | ' |
Portsmouth [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Investment Income, Dividend | 600,000 | ' | ' |
GMP Management, Inc [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Management Fees Revenue | ' | 325,000 | ' |
Compensation | ' | 235,000 | ' |
Property Management Fee, Percent Fee | ' | 5.00% | ' |
Payment for Management Fee | ' | 424,000 | ' |
Justice [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Management Fees Revenue | ' | 475,000 | 401,000 |
Limited Partners' Capital Account, Distribution Amount | 1,200,000 | ' | ' |
Payment for Management Fee | ' | 1,550,000 | ' |
General Partner [Member] | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Minimum Base Compensation | ' | 285,000 | ' |
General and Administrative Expense, Total | ' | 591,000 | 620,000 |
Compensation | ' | $305,000 | $335,000 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Details Textual) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | |
Feb. 13, 2014 | Feb. 28, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Commitments And Contingencies Disclosure [Line Items] | ' | ' | ' | ' |
Franchise Agreements Expiry Period | ' | ' | '15 years | ' |
Percentage Of Royalty Fees Payment With In One Year | ' | ' | 3.00% | ' |
Percentage Of Royalty Fees Payment In Three Years | ' | ' | 4.00% | ' |
Maximum Percentage Of Changes In Fees | ' | ' | 5.00% | ' |
Percentage Of Program Fees | ' | ' | 4.00% | ' |
Maximum Percentage Of Changes In Program Fees | ' | ' | 1.00% | ' |
Percentage Of Royalty Fees Payment In Four Years | ' | ' | 5.00% | ' |
Initial Franchise Fees | ' | ' | $3,806,000 | $3,374,000 |
Percentage Of Technology Recapture Charge | ' | ' | 0.75% | ' |
Decreases In Technology Fee | ' | ' | 0.65% | ' |
Technology Services Costs | ' | ' | 270,000 | 236,000 |
Litigation Settlement Expenses Reimbursement From Agent Maximum Amount | ' | ' | ' | 300,000 |
Proceeds From Insurance Claims Related To Legal Settlements | ' | ' | ' | 225,000 |
Litigation Settlement, Amount | ' | 525,000 | ' | ' |
Legal Fees | ' | ' | ' | 365,000 |
Payments for Legal Settlements | ' | ' | 525,000 | ' |
Proceeds from Legal Settlements | 4,700,000 | ' | 4,700,000 | ' |
Other Assets | ' | ' | 7,759,000 | 5,891,000 |
Prism [Member] | ' | ' | ' | ' |
Commitments And Contingencies Disclosure [Line Items] | ' | ' | ' | ' |
Litigation Settlement Expenses Reimbursement From Agent Agreed Percentage | ' | ' | ' | 50.00% |
Proceeds From Insurance Claims Related To Legal Settlements | ' | ' | ' | 112,500 |
Proceeds From Insurance Claims Related To Legal Settlements Agents Share Percentage | ' | ' | ' | 50.00% |
Legal Fees | ' | ' | ' | 300,000 |
City of San Francisco [Member] | ' | ' | ' | ' |
Commitments And Contingencies Disclosure [Line Items] | ' | ' | ' | ' |
Other Assets | ' | ' | 2,100,000 | ' |
Payments for Other Taxes | ' | ' | $4,700,000 | ' |
EMPLOYEE_BENEFIT_PLAN_Details_
EMPLOYEE BENEFIT PLAN (Details Textual) (USD $) | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Defined Benefit Plan, Contributions by Employer | $53,000 | $56,000 |
Defined Benefit Plan, Funded Percentage | 4.00% | ' |
SUBSEQUENT_EVENTS_Details_Text
SUBSEQUENT EVENTS (Details Textual) (Subsequent Event [Member], USD $) | 0 Months Ended |
Jul. 02, 2014 | |
Subsequent Event [Member] | ' |
Subsequent Event [Line Items] | ' |
Mortgage Notes Payable Refinanced Face Value | $4,250,000 |
Mortgage Loans on Real Estate, Interest Rate | 12.00% |
Mortgage Notes Payable Refinanced Maturity Term | '2 years |
Debt Instrument Fee Percent | 3.00% |