Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 05, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,015 | ||
Entity Registrant Name | HOMEFED CORP | ||
Entity Central Index Key | 833,795 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 15,411,500 | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Public Float | $ 194,486,900 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
ASSETS | ||
Real estate held for development | $ 301,683 | $ 143,301 |
Real estate held for investment, net | 43,347 | 45,184 |
Cash and cash equivalents | 66,676 | 61,495 |
Restricted cash | 6,395 | 6,419 |
Investments available for sale (amortized cost of $0 and $35,897) | 35,898 | |
Investment held to maturity, at amortized cost | 10,603 | 11,368 |
Equity method investments | 100,091 | 101,228 |
Accounts receivable, deposits and other assets | 16,719 | 16,100 |
Intangible assets, net | 9,179 | 12,196 |
Net deferred tax asset | 618 | |
TOTAL | 555,311 | 433,189 |
LIABILITIES | ||
Accounts payable and accrued liabilities | 7,899 | 6,009 |
Below market lease contract intangibles, net | 3,572 | 4,760 |
Non-refundable option payments | 25 | 25 |
Liability for environmental remediation | 1,466 | 1,495 |
Deferred revenue | 2,334 | 2,528 |
Net deferred tax liability | 4,984 | |
Income taxes payable | 3,022 | |
Other liabilities | 4,583 | 842 |
Long-term debt, net | 116,010 | |
Total liabilities | $ 138,911 | $ 20,643 |
COMMITMENTS AND CONTINGENCIES (Note 14) | ||
EQUITY | ||
Common stock, $.01 par value; 25,000,000 shares authorized; 15,407,500 and 15,387,500 shares outstanding after deducting 395,409 shares held in treasury | $ 154 | $ 154 |
Additional paid-in capital | 597,922 | 597,271 |
Accumulated deficit | (191,695) | (197,530) |
Total HomeFed Corporation common shareholders' equity | 406,381 | 399,895 |
Noncontrolling interest | 10,019 | 12,651 |
Total equity | 416,400 | 412,546 |
TOTAL | $ 555,311 | $ 433,189 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Consolidated Balance Sheets [Abstract] | ||
Investments available for sale, amortized cost | $ 0 | $ 35,897 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common shares, authorized | 25,000,000 | 25,000,000 |
Common shares, shares outstanding | 15,407,500 | 15,387,500 |
Treasury stock, shares | 395,409 | 395,409 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
REVENUES | |||
Sales of real estate | $ 40,594 | $ 35,637 | $ 50,097 |
Rental income | 23,210 | 17,623 | 511 |
Farming revenues | 5,042 | 5,199 | 5,054 |
Co-op marketing and advertising fees | 692 | 1,046 | 1,142 |
Total revenues | 69,538 | 59,505 | 56,804 |
EXPENSES | |||
Cost of sales | 22,243 | 18,593 | 23,198 |
Rental operating expenses | 17,485 | 12,835 | 124 |
Farming expenses | 3,467 | 3,314 | 3,031 |
General and administrative expenses | 13,689 | 15,287 | 12,381 |
Depreciation and amortization | 4,193 | 3,857 | 239 |
Reduction in estimated liability for environmental remediation | (662) | ||
Administrative services fees to Leucadia National Corporation | 180 | 180 | 180 |
Total expenses | 61,257 | 54,066 | 38,491 |
Income before losses from equity method investments | 8,281 | 5,439 | 18,313 |
Losses from equity method investments | (1,137) | (298) | |
Income from operations | 7,144 | 5,141 | 18,313 |
Interest and other income | 1,615 | 1,074 | 889 |
Income before income taxes and noncontrolling interest | 8,759 | 6,215 | 19,202 |
Income tax expense | (2,256) | (1,483) | (6,498) |
Net income | 6,503 | 4,732 | 12,704 |
Net income attributable to the noncontrolling interest | (668) | (846) | (1,436) |
Net income attributable to HomeFed Corporation common shareholders | $ 5,835 | $ 3,886 | $ 11,268 |
Basic and diluted earnings per common share attributable to HomeFed Corporation common shareholders | $ 0.38 | $ 0.29 | $ 1.43 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Consolidated Statements Of Comprehensive Income (Loss) [Abstract] | |||
Net income | $ 6,503 | $ 4,732 | $ 12,704 |
Other comprehensive income (loss): | |||
Net unrealized holding gains (losses) on investments arising during the period, net of taxes of $0, $0 and $(1) | (1) | (2) | |
Net change in unrealized holding gains (losses) on investments, net of taxes of $0, $0 and $(1) | (1) | (2) | |
Other comprehensive income (loss), net of income taxes | (1) | (2) | |
Comprehensive income | 6,503 | 4,731 | 12,702 |
Comprehensive income attributable to the noncontrolling interest | (668) | (846) | (1,436) |
Comprehensive income attributable to HomeFed Corporation common shareholders | $ 5,835 | $ 3,885 | $ 11,266 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Consolidated Statements Of Comprehensive Income (Loss) [Abstract] | |||
Net unrealized holding gains (losses) on investments arising during the period, tax provision (benefit) | $ 0 | $ 0 | $ (1) |
Net change in unrealized holding gains (losses) on investments, tax provision (benefit) | $ 0 | $ 0 | $ (1) |
Consolidated Statements of Chan
Consolidated Statements of Changes In Equity - USD ($) $ in Thousands | Common Stock $.01 Par Value [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income [Member] | Accumulated Deficit [Member] | Subtotal [Member] | Noncontrolling Interest [Member] | Total |
Balance at Dec. 31, 2012 | $ 79 | $ 380,982 | $ 3 | $ (212,684) | $ 168,380 | $ 8,659 | $ 177,039 |
Net income | 11,268 | 11,268 | 1,436 | 12,704 | |||
Other comprehensive loss, net of taxes | (2) | (2) | (2) | ||||
Share-based compensation expense | 189 | 189 | 189 | ||||
Balance at Dec. 31, 2013 | 79 | 381,171 | 1 | (201,416) | 179,835 | 10,095 | 189,930 |
Net income | 3,886 | 3,886 | 846 | 4,732 | |||
Other comprehensive loss, net of taxes | $ (1) | (1) | (1) | ||||
Shares issued to acquire assets from Leucadia National Corporation | 75 | 215,634 | 215,709 | 215,709 | |||
Noncontrolling interest acquired from Leucadia National Corporation | 1,710 | 1,710 | |||||
Share-based compensation expense | 200 | 200 | 200 | ||||
Exercise of options to purchase common shares, including excess tax benefit | 266 | 266 | 266 | ||||
Balance at Dec. 31, 2014 | 154 | 597,271 | (197,530) | 399,895 | 12,651 | 412,546 | |
Net income | 5,835 | 5,835 | 668 | 6,503 | |||
Distributions to noncontrolling interests | (3,300) | (3,300) | |||||
Share-based compensation expense | 117 | 117 | 117 | ||||
Exercise of options to purchase common shares, including excess tax benefit | 534 | 534 | 534 | ||||
Balance at Dec. 31, 2015 | $ 154 | $ 597,922 | $ (191,695) | $ 406,381 | $ 10,019 | $ 416,400 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 6,503 | $ 4,732 | $ 12,704 |
Adjustments to reconcile net income to net cash provided by (used for) operating activities: | |||
Reduction in estimated liability for environmental remediation | (662) | ||
Losses from equity method investments | 1,137 | 298 | |
Provision (benefit) for deferred income taxes | (2,683) | (446) | 2,381 |
Share-based compensation expense | 117 | 200 | 189 |
Excess tax benefit from exercise of stock options | (54) | (78) | |
Depreciation and amortization of property, equipment and leasehold improvements | 397 | 304 | 239 |
Other amortization | 4,854 | 4,449 | |
Amortization related to issuance costs and debt discount of Senior Notes | 668 | ||
Amortization related to investments | (1,141) | (847) | (35) |
Distributions from equity method investments | 549 | ||
Acquisition of real estate, held for development | (154,055) | ||
Changes in operating assets and liabilities: | |||
Real estate, held for development | (1,853) | (875) | 14,956 |
Real estate, held for investment | 336 | (867) | (183) |
Restricted cash related to development activities | 24 | (5,323) | |
Accounts receivable, deposits and other assets | (2,827) | (1,856) | (638) |
Deferred revenue | (194) | (211) | 1,853 |
Accounts payable and accrued liabilities | (297) | (1,349) | (654) |
Non-refundable option payments | (990) | 1,015 | |
Liability for environmental remediation | (29) | (48) | (2,402) |
Income taxes receivable/payable | 3,076 | (3,100) | 1,445 |
Other liabilities | 822 | 382 | 92 |
Net cash provided by (used for) operating activities | (145,199) | (5,076) | 30,300 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Cash acquired upon acquisition of assets from Leucadia National Corporation | 13,983 | ||
Acquisition of real estate, held for investment | (1,666) | (507) | |
Purchases of investments (other than short-term) | (44,792) | (77,586) | (68,374) |
Proceeds from sales of investments available for sale | 33,097 | 0 | 0 |
Proceeds from maturities of investments available for sale | 47,600 | 73,600 | 72,900 |
Proceeds from paydowns of investments held to maturity | 1,899 | ||
Capital distributions from equity method investments | 668 | ||
Net cash provided by investing activities | 37,804 | 8,999 | 4,019 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Issuance of long-term debt | 123,750 | ||
Reduction of debt | (7,274) | ||
Payment of debt issuance costs | (1,134) | ||
Distributions to noncontrolling interests | (3,300) | ||
Exercise of options to purchase common shares | 480 | 188 | |
Excess tax benefit from exercise of stock options | 54 | 78 | |
Net cash provided by financing activities | 112,576 | 266 | |
Net increase in cash and cash equivalents | 5,181 | 4,189 | 34,319 |
Cash and cash equivalents, beginning of period | 61,495 | 57,306 | 22,987 |
Cash and cash equivalents, end of period | 66,676 | 61,495 | 57,306 |
Supplemental disclosures of cash flow information: | |||
Cash paid for income taxes | $ 1,371 | $ 5,030 | $ 2,672 |
Cash paid for interest (net of amounts capitalized) | |||
Non-cash operating and investing activities: | |||
Common stock issued for acquisition of assets from Leucadia National Corporation | $ 215,709 | ||
Project development costs incurred that remain payable at year end | $ 4,194 | $ 2,007 | $ 2,494 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation – The accompanying consolidated financial statements include the accounts of HomeFed Corporation (th e “Company,”) and its consolidated subsidiaries. We also own equity interests in Brooklyn Renaissance Plaza, an operating business accounted for under the equity method of accounting. We are currently engaged, directly and through our subsidiaries, in the investment in and development of residential and commercial real estate properties in California, Virginia, South Carolina, Florida, Maine and New York. All intercompany balances and transactions have been eliminated in consolidation. Our main business, real estate development, is highly competitive, and there are numerous residential real estate developers and development projects operating in the same geographic areas in which we operate. In addition, the real estate industry is subject to increasing environmental, building, zoning and real estate regulations that are imposed by various federal, state and local authorities. Timing of the initiation and completion of development projects depends upon receipt of necessary authorizations and approvals. Furthermore, changes in prevailing local circumstances or applicable laws may require additional approvals, or modifications of approvals previously obtained. Delays could adversely affect our ability to complete our projects, significantly increase the costs of doing so or drive potential customers to purchase competitors’ products. Environmental laws may cause us to incur substantial compliance, mitigation and other costs, may restrict or prohibit development in certain areas and may delay completion of our development projects. Delays arising from compliance with environmental laws and regulations could adversely affect our ability to complete our projects and significantly increase development costs. Our business may also be adversely affected by inflation and is interest-rate sensitive. Certain amounts have been reclassifie d to be consistent with the 2015 presentation. Basis of Consolidation – Our policy is to consolidate all entities in which we can vote a majority of the outstanding voting stock. In addition, we consolidate entities which meet the definition of a variable interest entity for which we are the primary beneficiary. The primary beneficiary is the party who has the power to direct the activities of a variable interest entity that most significantly impact the entity’s economic performance and who has an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. We consider special allocations of cash flows and preferences, if any, to determine amounts allocable to noncontrolling interests. All intercompany transactions and balances are eliminated in consolidation. In situations where we have significant influence, but not control, of an entity that does not qualify as a variable interest entity, we apply the equity method of accounting. Critical Accounting Estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts in the financial statements and disclosures of contingent assets and liabilities. On an on-going basis, we evaluate all of these estimates and assumptions. Actual results could differ from those estimates. Profit Recognition on Sales of Real Estate – When we have an obligation to complete improvements on property subsequent to the date of sale, we utilize the percentage of completion method of accounting to record revenues and cost of sales. Under percentage of completion accounting, we recognize revenues and cost of sales based upon the ratio of development costs completed as of the date of sale to an estimate of total development costs which will ultimately be incurred, including an estimate for common areas. Revenues which cannot be recognized as of the date of sale are reported as deferred revenue on the consolidated balance sheets. We believe we can reasonably estimate our future costs and profit allocation in order to determine how much revenue should be deferred. However, such estimates are based on numerous assumptions and require management’s judgment. For example, the estimate of future development costs includes an assumption about the cost of construction services for which we have no current contractual arrangement. If the estimate of these future costs proves to be too low, then we will have recognized too much profit as of the date of sale resulting in less profit to be reported as the improvements are completed. However, to date our estimates of future development costs that have been used to determine the amount of revenue to be deferred at the date of sale have subsequently been proven to be reasonably accurate. Income Taxes – We provide for income taxes using the liability method. We record a valuation allowance to reduce our net deferred tax asset to an amount that we expect is more likely than not to be realized. If our estimate of the realizability of our deferred tax asset changes in the future, an adjustment to the valuation allowance would be recorded which would either increase or decrease income tax expense in such period. The valuation allowance is determined after considering all relevant facts and circumstances, and is based, in significant part, on our projection of taxable income in the future. Since any projection of future profit ability is inherently uncertain , changes i n the valuation allowance can be expected. After taking into consideration our 2015 results of operations, we determined that tax credits can be applied to our 2015 taxable income which results in our valuation allowance exceeding our deferred tax assets related to minimum tax credits. As a result, $1,550,000 of the deferred tax valuation allowance was reduced as a credit to income tax expense during 2015. During 2014, we concluded that we had enough profitable, historical evidence related to the Ashville Park project to include our sales forecasts of the project into our projection of taxable income. As a result, we were able to conclude that it is more likely than not that we will be able to realize an additional portion of our net deferred tax asset; accordingly, approximately $900,000 of the deferred tax valuation allowance was released as a credit to income tax expense during 2014. During 2013, we generated profits from lot sales at the San Elijo Hills and Ashville Park projects that were greater than projected as of December 31, 2012. Also, as of December 31, 2013, we had entered into agreements to sell additional lots at both projects which were expected to close during 2014. We considered its recent results and pending lot sale agreements to be positive evidence to be considered when estimating its future taxable income. As a result, we were able to conclude that it is more likely than not that we will be able to realize an additional portion of our net deferred tax asset; accordingly, approximately $1,350,000 of the deferred tax valuation allowance was released as a credit to income tax expense during 2013. The projection of future taxable income is based upon numerous assumptions about the future, including future market conditions where our projects are located, regulatory requirements, estimates of future real estate revenues and development costs, future interest expense, operating and overhead costs and other factors. To the extent our actual taxable income in the future exceeds our estimate, we will recognize additional tax benefits and reduce our valuation allowance; conversely, if the actual taxable income is less than the amounts projected, an addition to the valuation allowance would be recorded that would increase tax expense in the future. Adjustments to the valuatio n allowance in the future can be expected. We also record reserves for unrecognized tax benefits based on our assessment of the probability of successfully sustaining tax filing positions. Management exercises significant judgment when assessing the probability of successfully sustaining tax filing positions, and in determining whether a contingent tax liability should be recorded and if so estimating the amount. If our tax filing positions are successfully challenged, payments could be required that are in excess of reserved amounts or we may be required to reduce the carrying amount of our net deferred tax asset, either of which could be significant to our Consolidated Balance Sheets or results of operations. We record interest and penalties, if any, with respect to uncertain tax positions as components of income tax expense. At this time, we believe we can substantiate our tax positions, and it is more probable than not that the outcome will result in our favor. Based on our evaluation of our tax filings at December 31, 2014 and 2013, we did not record any amounts for uncertain tax positions. As of December 31, 2014, we had no gross unrecognized tax benefits. During the third quarter of 2015, resulting from a tax matter related to the Acquisition, we recorded an unrecognized tax benefit of approximately $2,550,000 which is reflected in Other liabilities and a corresponding reducti on in our Deferred tax liability . During the fourth quarter of 2015, we increased the unrecognized tax benefit by $400,000 related to this tax matter. For the year ended December 31, 2015, in terest expense of $40,000 was accrued. If any of our tax filing positions are successfully challenged, payments could be required that might be material. Provision for Environmental Remediation – We record environmental liabilities when it is probable that a liability has been incurred and the amount or range of the liability is reasonably estimable. During 2002, we recorded a charge of $11,150,000 representing our estimate of the cost (including legal fees) to implement the most likely remediation alternative with respect to approximately 30 acres of undeveloped land owned by a subsidiary of Otay Land Company. The estimated liability was neither discounted nor reduced for claims for recovery from previous owners and users of the land who may be liable, and may increase or decrease based upon the actual extent and nature of the remediation required, the actual cost of the remediation, the expenses of the regulatory process, the costs of post-remediation monitoring requirements, inflation and other items. We have periodically examined, and when appropriate, adjusted our liability for environmental remediation to reflect our current best estimate. A change to the current estimate could result from, among other things, that the cost to implement the remediation is different than our current estimate, that the cost of future on-going monitoring efforts is different than our current estimate, and/or requirements imposed by regulato ry authorities that we did not anticipate but is nevertheless required to implement. During 2012, we revised our estimate of future remediation costs, including on-going monitoring expenses, which resulted in a reduction in the previously accrued estimate of $1,500,000 . Such amount was reflected on the consolidated statement of operations as a reduction to expenses. During the fourth quarter of 2012, upon receipt of required approvals, we commenced remediation activities, which were completed in February 2013. We received final approval from the County of San Diego Department of Environmental Health in June 2013; as a result, we reduced our liability for environmental remediation by $650,000 . Provision for Impairment Losses on Real Estate – Our real estate is carried at cost. Whenever events or changes in circumstances suggest that the carrying amount may not be recoverable, management assesses the recoverability of the carrying amount of its real estate in accordance with GAAP. Some of the events or changes in circumstances that we consider as indicators of potential impairment include: (i) a change in market conditions in the local markets where we own real estate, (ii) a change in the availability of mortgages for retail buyers or a significant change in interest rates for mortgages, (iii) a change in expected use or development plans for properties, (iv) continuing operating or cash flow losses for real estate held for investment purposes, (v) an accumulation of costs in a development property that significantly exceeds its historical basis in property held long-term and (vi) a significant weather event that may have a negative impact on the property value. We use varying methods to determine if impairment exists, such as considering indicators of potential impairment and analyzing expected future cash flows and comparing the expected future undiscounted cash flows of the property to the carrying value. The accounting estimate related to the real estate impairment evaluation is susceptible to the use of assumptions about future sales proceeds and future expenditures. For projects under development, an estimate of future cash flows on an undiscounted basis is performed using estimated future expenditures necessary to maintain the existing project and using management’s best estimates about future sales prices and planned holding periods. If a property is considered impaired, the impairment charge is determined by the amount of the property’s carrying value that exceeds its fair value. We did not record any provisions for impairment losses during the years ended December 31, 2015, 2014 and 201 3 . Purchase Price Allocation – Under current authoritative accounting guidance, we determine whether a transaction or other event is a business combination, which requires that the assets acquired and the liabilities assumed constitute a business. Each business combination is then accounted for by applying the acquisition method of accounting. We record our investments based on the fair value of the identifiable assets acquired, intangible assets acquired, liabilities assumed and any noncontrolling interest in the acquired entity, as well as recognizing and measuring goodwill or a gain from a bargain purchase at the acquisition date. Assets are recorded at fair value using appraisals and valuations performed by management and independent third parties. Fair values are based on the exit price (i.e. the price that would be received in an orderly transaction to sell an asset or transfer a liability between market participants at the measurement date). We evaluate several factors, including market data for similar assets, expected cash flows discounted at risk adjusted rates and replacement cost for the assets to determine an appropriate exit cost when evaluating the fair value of our assets. We immediately expense acquisition-related costs and fees associated with business combinations. Real Estate – Real estate includes all expenditures incurred in connection with the acquisition, development and construction of the property, including interest paid to third parties and property taxes. At acquisition, land costs are allocated to individual parcel s or lots based on relative fair values or specific identification. Subsequent to acquisition, substantially all development costs are specifically identifiable to individual parcels or lots, or are considered allocated costs that are allocated principally based on relative sales value (principally property taxes, legal fees and consulting fees). Capitalized land costs are charged to cost of sales at the time that revenue is recognized. For Real estate held for investment, maintenance costs are expensed when incurred and depreciation is expensed on a straight-line basis over the estimated useful life of the assets or, if less, the term of the underlying lease. Cash and Cash Equivalents – Cash equivalents are money market accounts and short ‑term, highly liquid investments that have maturities of less than three months at the time of acquisition. Restricted Cash – Restricted cash consists of amounts escrowe d pursuant to the terms of our Purchase A greement related to BRP Leasing's obligation under the master lease with Brooklyn Renaissance Plaza. Also included in restricted cash are funds held in an interest bearing bank account serving as collateral for a letter of credit for the benefit of the City of Myrtle Beach related to future development improvements planned at The Market Common. Investments – Investments with maturities equal to or greater than three months at the time of acquisition and classified as available for sale are carried at fair value with unrealized gains and losses reflected as a separate component of shareholders’ equity, net of taxes. The cost of securities sold is based on specific identification. We have one investment security that is classified as a held-to-maturity investment, which we have the intention to hold to maturity and the ability to do so. It is carried at cost, less impairments, plus accreted interest. We evaluate investments with unrealized losses to determine if they experienced an other-than-temporary impairment. This evaluation is based on various factors, including length of time securities were in a loss position, ability and intent to hold investments until unrealized loss es are recovered or they mature and amount of the unrealized loss. See Note 3 for more information. Fair Value Hierarchy-- In determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs reflect our assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. We apply a hierarchy to categorize our fair value measurements broken down into three levels based on the transparency of inputs as follows: Level 1: Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level 2: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these financial instruments include cash instruments for which quoted prices are available but traded less frequently, derivative instruments whose fair value have been derived using a model where inputs to the model are directly observable in the market, or can be derived principally from or corroborated by observable market data, and instruments that are fair valued using other financial instruments, the parameters of which can be directly observed. Level 3: Instruments that have little to no pricing observability as of the reported date. These financial instruments are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. Investments available for sale are valued at quoted market prices. Certain financial instruments have bid and ask prices that can be observed in the marketplace. For financial instruments whose inputs are based on bid-ask prices, the financial instrument is valued at the point within the bid-ask range that meets our best estimate of fair value. We use prices and inputs that are current as of the measurement date. For financial instruments that do not have readily determinable fair values using quoted market prices, the determination of fair value is based upon consideration of available information, including types of financial instruments, current financial information, restrictions on dispositions, fair values of underlying financial instruments and quotations for similar instruments. The valuation of financial instruments may include the use of valuation models and other techniques. Adjustments to valuations derived from valuation models may be made when, in management’s judgment, features of the financial instrument such as its complexity, the market in which the financial instrument is traded and risk uncertainties about market conditions require that an adjustment be made to the value derived from the models. Adjustments from the price derived from a valuation model reflect management’s judgment that other participants in the market for the financial instrument being measured at fair value would also consider in valuing that same financial instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. The availability of observable inputs can vary and is affected by a wide variety of factors, including, for example, the type of financial instrument and market conditions. As the observability of prices and inputs may change for a financial instrument from period to period, this condition may cause a transfer of an instrument among the fair value hierarchy levels. Transfers among the levels are recognized at the beginning of each period. The degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. Equity Method Investments – In situations where we have significant influence, but not control, of an entity we apply the equity method of accounting. Under the equity method of accounting, our share of the investee’s underlying net income or loss is recorded as income (loss) from equity method investments. The recognition of our share of the investees’ results takes into account any special rights or priorities of investors; accordingly, we employ the hypothetical liquidation at book value model to calculate our share of the investees’ profits or losses , and additionally, amortizing the difference b etween the fair value of the assets at the date of acquisition and the hist orical book basis over the remaining useful life of each asset, to calculate our share of the investment . Our equity interests in Brooklyn Renaissance Plaza are the only investments accounted for under the equity method of accounting. We are required to periodically compare an investment’s carrying value to its estimated fair value. We would recognize an impairment charge if the carrying value exceeds the estimated fair value and is determined to be other than temporary. Allowance For Doubtful Accounts - We provide an allowance for doubtful accounts against the portion of accounts receivable, including straight-line rents, which is estimated to be uncollectible. Such allowances are reviewed periodically based upon our recovery experience. Deferred Leasing Commissions - Deferred leasing commissions represent costs to obtain tenants at our retail and office rental properties. We amortize these charges over the original term of the lease and are reflected in Depreciation and amortization expense. Intangible Assets (Liabilities), Net – Intangibles includes above market lease value and lease in place value as assets and below market lease value as a liability, all recorded at fair value at the date o f Acquisition. Above market lease value is amortized on a straight-line basis over the remaining term of the underlying leases , and below market lease values are amortized on a straight-line basis over the initial terms plus the terms of any below market renewal options of the underlying lease s and is included in Rental income. Lease in place value is amortized over the term of the underlying lease and is included in Depreciation and amortization expense. Intangible assets are reviewed for impairment on an interim basis when certain events or circumstances exist, primarily changes in the underlying lease. An intangible asset with an indefinite useful life is not amortized but assessed for impairment annually, or more frequently, when certain events or circumstances exist indicating an assessment for impairment is necessary. Impairment exists when the carrying amount exceeds its fair value. Fair value will be determined using valuation techniques consistent with what a market participant would use. Sales of Real Estate – Revenues from real estate sales are recognized when a sale is closed and title transfers to the buyer, the buyer’s initial investment is adequate, any receivables are probable of collection and the usual risks and rewards of ownership have been transferred to the buyer. Rental Income – Rental income is recognized on a straight-line basis over the terms of the leases. Any rent payments received in excess of the amounts recognized as revenue are deferred and reflected as D eferr ed revenue in the consolidated balance sheets. For those leases that provide for billing of common area maintenance, such revenue is recognized in the period that the related estimated expenses are incurred based upon the tenant lease provision. At December 31, 2015, we recorded a reduction of $150,000 to Rental income and Accounts receivable related to the straight-line calculation of rental income in 2014. This out of period adjustment does not have a material impact on rental income, net income or accounts receivable as of and for the years ending December 31, 2015 and 2014. Recognition of Fee Income – We may be contractually entitled to receive co-op marketing and advertising fees that are due when builders sell homes. These fees are generally based upon a fixed percentage of the homes’ selling price and are recorded as revenue when the home is sold. Revenue and Profit Sharing Arrangements – Certain of our lot purchase agreements with homebuilders include provisions that entitle us to a share of the revenues or profits realized by the homebuilders upon their sale of the homes, after certain thresholds are achieved. The actual amount which could be received by us is generally based on a formula and other specified criteria contained in the lot purchase agreements, and are generally not payable and cannot be determined with reasonable certainty until the builder has completed the sale of a substantial portion of the homes covered by the lot purchase agreement. Our policy is to accrue revenue earned pursuant to these agreements when amounts are fully earned and payable pursuant to the lot purchase agre ements, which is recorded as S ales of real estate. Any amounts received from homebuilders prior to then are deferred. Option Deposits – Option payments received from prospective buyers are recognized as liabilities until the title of the real estate is transferred or the option is forfeited, or in the case of refundable deposits, the prospective buyer decides not to purchase the real estate and the deposit is returned. Capitalization of Interest , Payroll and Real Estate Taxes – Interest , payroll related to construction and real estate taxes attributable to land and property construction are capitalized and added to the cost of those properties when active development begins and ends when the property development is fully completed and ready for its intended use. Debt discount and issuance costs – We net the debt discount and issuance costs against the carrying value of the debt. These costs are amortized as capitalized expenditures on a straight-line basis, which approximates the effective interest method, over the life of the respective debt liability. Farming Revenues and Expenses – Income from farming related activities are recognized when grapes are sold, and expenses from farming related activities are recognized when incurred. Share-Based Compensation – The cost of all share-based payments to employees, including grants of employee stock options and warrants, are recognized in the financial statements based on their fair values. The cost is recognized as an expense over the vesting period of the award on the straight-line basis . The fair value of each award is estimated at the date of grant using the Black-Scholes option pricing model. Recently Adopted or Issued Accounting Pronouncements – In January 2015, we adopted new Financial Accounting Standards Board (“FASB”) guidance on the reporting of discontinued operations. The new guidance requires that disposal of a component of an entity or a group of components of an entity be reported as discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, and would require expanded disclosures. The adoption of this guidance did not have an impact on our consolidated financial statements. In May 2014, the FASB issued new guidance that defines how companies report revenues from contracts with customers, and also requires enhanced disclosures. The core principle of this new guidance 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 and services. This guidance originally was effective for interim and annual periods beginning after December 15, 2016. In July 2015, the FASB confirmed a deferral of the effective date by one year, with early adoption on the original effective date permitted. We are currently evaluating the impact this new guidance will have on our consolidated financial statements. In February 2015, the FASB issued new guidance that amends current consolidation guidance including changes to both the variable and voting interest models used to evaluate whether an entity should be consolidated. This guidance also eliminates the deferral of certain consolidation standards for entities considered to be investment companies. This guidance will be effective for annual and interim periods beginning after December 15, 2015, and early adoption is permitted. We are evaluating the impact this new guidance will have on our consolidated financial statements. In April 2015, the FASB issued new guidance that requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance will be effective for annual and interim periods beginning after 2015; however, early adoption is permitted, and we early adopted it during the second quarter of 2015 . |
Acquisition
Acquisition | 12 Months Ended |
Dec. 31, 2015 | |
Acquisition [Abstract] | |
Acquisition | 2. ACQUISITION On February 28, 2014, we entered into an agreement with Leucadia National Corporation (“Leucadia”) pursuant to which we purchase d substantially all of Leucadia’s real estate properties and operations, its membership interests in Brooklyn Renaissance Holding Company LLC (“BRP Holding”) and Brooklyn Renaissance Hotel LLC (“BRP Hotel,” and collectively with BRP Holding, “Brooklyn Renaissance Plaza”), and cash in exchange for 7.5 million newly issued unregistered shares of HomeFed common stock (the “Acquisition”). On March 28, 2014, we completed the initial closing of the Acquisition, which consisted of all of the assets to be acquired except for a portion of Leucadia’s membership interest in BRP Holding, and cash of approximately $14,000,000 (in cluding cash acquired as part of working capital of approximately $1,500,000 ) , subject to certain post-closing adjustments. At the initial closing, we issued to Leucadia 6,986,337 shares of our unregistered common stock. During September 2014 , we acquired the balance of Leucadia’s membership interest in BRP Holding in exchange for 513,663 additional shares of our unregistered common stock. The entities and assets acquired from Leucadia are described below. Except for the 90% partnership interest in each of Pacho Limited Partnership and San Luis Bay Limited Partnership and the membership interests in Brooklyn Renaissance Plaza, we acquired 100% of the equity interests of the entities listed below. All of the entities are consolidated by us, except for the membership interests in Brooklyn Renaissance Plaza, which are accounted for under the equity method of accounting. We did not assume any debt or liabilities in the transaction other than liabilities incurred in the normal course of business. Entities/Assets Acquired Business Location BEI-Beach, LLC; LUK-MB2, LLC; LUK-MB3, LLC; LUK-MB5, LLC; Palm Isle Capital, LLC (collectively, “The Market Common”) Fully developed mixed-used retail, commercial and residential lifestyle center properties that are being leased; land for commercial and residential development Myrtle Beach, South Carolina Panama City BEI Holdings, LLC and its subsidiaries (the “SweetBay Project”) Mixed-use master planned community on 700 acres of land under development Panama City, Florida North East Point, LLC, HFC-Glen Cove, LLC, HFC-Rockport, LLC and Maine Seaboard Realty LLC (collectively, the “Maine Projects”) 160 acres of land under development for residential lots; and various mixed used buildings Islesboro, Maine, Brewster Point, Maine and Rockport, Maine BRP Leasing LLC (“BRP Leasing”) Indirect obligor of certain leased office space at Brooklyn Renaissance Plaza and beneficiary of related subleases Brooklyn, New York 90% partnership interests in Pacho Limited Partnership and San Luis Bay Limited Partnership (“Pacho Project”) Long-term leasehold interest in 2,369 acres of unentitled land San Luis Obispo County, California BRP Hotel 25.8% membership interest in a 665 room Marriott hotel Brooklyn, New York BRP Holding 61.25% membership interest in a 850,000 square foot office building complex and 888 space parking garage Brooklyn, New York At December 31, 2015 , Leucadia’s aggrega te interest in our common stock , including Leucadia’s approximate 31% interest owned prior to the Acquisition, is approximately 65% . Pursuant to a stockholders agreement between us and Leucadia, Leucadia has agreed to limit its voting rights such that it will not have a majority voting interest in the Company. The Acquisition was accounted for using the acquisition method of accounting. The aggregate purchase price of approximately $215,700,000 (or approximately $29 per our common share included in the consideration) was based on the fair value of the assets and liabilities acquired in the trans action and represent the best estimates of management. The following table reflects the allocation of the purchase price to the assets acquired and liabilities assumed at the acquisition date (in thousands): Assets Real estate held for development $ 38,292 Real estate held for investment 41,187 Cash 13,983 Restricted cash 1,096 Investment held to maturity 10,619 Equity method investments 102,743 Intangible assets 14,960 Accounts receivable, deposits and other assets 14,225 Total assets $ 237,105 Liabilities Accounts payable 2,023 Below market lease contract intangibles 5,588 Net deferred tax liability 11,843 Other liabilities 232 Total liabilities 19,686 Noncontrolling interests 1,710 Net assets acquired $ 215,709 GAAP specifies a hierarchy to classify fair value measurements as Level 1, Level 2 or Level 3, based on the degree to which the inputs to valuation techniques are observable. Level 3 valuations rely on inputs that are both significant to the fair value measurement and unobservable. With the exception of working capital components, the fair values of assets and liabilities acquired were determined using inputs that are principally unobservable, and as such are considered to be Level 3 valuations. Our management employed an independent third-party appraiser to assist us in determining the fair values of the assets acquired and liabilities assumed. The fair values of the individual real estate projects and investments were estimated by applying various valuation techniques including the income, market and cost approach. The income approach included discounted cash flow analyses, the market approach included comparable sales and rental information in local and national markets, and the cost approach incorporated replacement cost information. Generally, all three valuation techniques were used to determine the fair values of real estate assets and equity method investments, the income approach was used to determine the fair value of the investment held to maturity and the market approach was used to determine the fair value of intangibles. The more significant assumptions include discount rates ranging from 7% to 22% , and terminal values based on direct cap rates ranging from 6.5% to 9.5% . The fair values of noncontrolling interests, which represent 10% of the partnership interests in the Pacho Project, were based on the fair values determined for the entire project. Amounts allocated to intangibles and the amortization periods are as follows (in thousands): Amortization Amount (in years) Above market lease contracts $ 10,874 1 to 24 Lease in place value 4,086 1 to 24 Intangible assets $ 14,960 Below market lease contracts $ 5,588 1 to 24 Aggregate revenues and pre-tax income reflected in the consolidated statement of operations for the acquired assets were $34,65 0,000 and $3,15 0,000 during 2015 and $18,950,000 a nd $800,000 during 2014 , respectively. We expensed $2,200,000 for costs related to the Acquisition during 2014 reflected in General and administrative expenses . Unaudited pro forma opera ting results for the year ended December 31, 2014 , assuming the Acquisition had occurred on January 1, 2013, are as follows (in thousands, except per share amounts): 2014 2013 Revenues $ 64,604 $ 80,317 Net income (loss) attributable to HomeFed common shareholders $ 3,454 $ 7,188 Basic and diluted earnings (loss) per common share attributable to HomeFed common shareholders $ 0.22 $ 0.47 Pro forma adjustments principally reflect the amortization of acquired intangibles and the below market lease contracts, as well as adjustments to historical depreciation expense to account for the difference between the fair value of the acquired assets and their historical cost. In addition, our share of Brooklyn Renaissance Plaza’s results is less than historical amounts, reflecting our share of additional depreciation and amortization expenses for Brooklyn Renaissance Plaza due to its fair value being greater than historical cost. Actual acquisition costs incurred during 2014 have been removed from the pro forma 2014 period and are reflected in the pro forma 2013 period. The unaudited pro forma data is not indicative of future results of operations or what would have resulted if the Acquisition had actually occurred as of January 1, 2013. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2015 | |
Investments [Abstract] | |
Investments | 3. INVESTMENTS Available for Sale: Our financial instruments investment portfolio previously included cash and cash equivalents and investments classified as available for sale. During the second quarter of 2015, we decided to liquidate the investments portfolio in order to partially fund the purchase of the Otay real estate as de scribed in Note 4 . In addition, yields dropped to levels where the income generated no longer exceeded the fees incurred, and thus, we no longer derived any financial benefit from this investment portfolio. At December 31, 2014, the Company’s investments consisted of fixed income securities issued by the U.S. Government, maturing in one year or less, which were classified as available for sale. The par value, amortized cost, gross unrealized gains and losses and estimated fair value of investments classified as available for sale as of December 31, 2014 are as follows (in thousands): Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Gross Gross for Observable Total Par Amortized Unrealized Unrealized Identical Assets Inputs Fair Value Value Cost Gains Losses (Level 1) (Level 2) Measurements December 31, 2014 U.S. Treasury securities $ 35,900 $ 35,897 $ 1 $ - $ 35,898 $ - $ 35,898 Proceeds from sales of investments classified as available for sale were $33,1 00,000 during 2015. There were no proceeds from sales of investments classified as available for sale during 2014 and 2013. During the three year period ended December 31 , 2015, we did not hav e any material comprehensive income or loss. The difference between the par value and amortized cos t of an individual investment was accreted to interest income over the remaining life of the investment using the effective interest rate method. Held to Maturity : In connection with The Market Common, Leucadia purchased bonds designated as “Tax Increment Bonds (Myrtle Beach Air Force Base Redevelopment Project Area, Junior Lien Series 2006B)” (the “Series 2006B Bonds”) issued by the City of Myrtle Be ach, South Carolina . We acquired these bonds as part of the Acquisition. Interest and principal on the Series 2006B Bonds are special obligations of the City of Myrtle Beach payable only from a specified tax increment to be deposited in a special revenue account pursuant to an ordinance enacted by the City Council. The Series 2006B Bonds are junior to Series 2006A Bonds issued by the City of Myrtle Beach in the original principal amount of $30,795,000 . Interest and principal on the Series 2006B Bonds will not be paid until there is sufficient tax increment to service the interest and principal due on the Series 2006A Bonds and to establish various reserves and deposits. The tax increment that is pledged to service both bond series is generated from developed and to be developed residential and commercial property owned by us, and from two other large residential development projects adjacent to our project owned by third parties that are currently under development. The Series 2006B Bonds bear interest at the rate of 7.5% per annum, payable semi-annually. Currently there is not sufficient tax increment to fully pay interest on the Series 2006B Bonds. The Series 2006B Bonds mature in October 2031. At acquisition on March 28, 2014, we recorded the Series 2006B bonds at fair value of $10,619,000 based on expected future cash flows discounted at 10% . The Series 2006B Bonds have been classified as held-to-maturity investments as the Company has the positive intent and ability to hold the securities to maturity. The principal amount outstanding and accrued interest aggregated approximately $12,75 0,000 at December 31 , 2015 . T he par value, amortized cost and estimated fair value of this inv estment as of December 31, 2015 are as follows (in thousands): Fair Value Measurements Using Quoted Prices in Significant Active Markets Other for Observable Unobservable Total Par Amortized Identical Assets Inputs Inputs Fair Value Value Cost (Level 1) (Level 2) (Level 3) Measurements December 31, 2015 Non-public bond $ 10,050 $ 10,603 $ - $ - $ 11,538 $ 11,538 December 31, 2014 Non-public bond $ 10,050 $ 11,368 $ - $ - $ 11,368 $ 11,368 In determining fair value, we utilize estimates of future cash flow projections with inputs based on our internal data and any available market information. Inputs include estimates related to the assessed real estate values of the properties included in the tax district that services the Series 2006B Bonds, payments received and estimated tax increment generated from the estimated assessed property value. A present value calculation is applied to the estimate of future cash flows using an appropriate discount rate, currently 10% to reflect market risk and current market conditions when determining the estimated fair value of the asset. |
Real Estate
Real Estate | 12 Months Ended |
Dec. 31, 2015 | |
Real Estate [Abstract] | |
Real Estate | 4. REAL ESTATE R eal estate carrying values are as follows (in thousands): December 31, 2015 2014 Real estate held for development: Otay Land project $ 203,375 $ 41,809 San Elijo Hills project 21,500 27,080 Pacho project 17,983 17,496 Fanita Ranch property 17,035 15,440 SweetBay project 15,976 10,717 Ashville Park project 7,884 8,616 The Market Common 7,820 6,909 Rampage property 6,211 6,211 Maine projects 3,899 9,023 Total $ 301,683 $ 143,301 Real estate held for investment, gross Land: The Market Common $ 3,744 $ 3,744 Maine projects 2 474 Buildings: The Market Common 35,783 35,783 San Elijo Hills project 4,045 4,045 Maine projects 216 663 SweetBay project 523 523 Tenant improvements: The Market Common 1,570 1,269 San Elijo Hills project 475 475 46,358 46,976 Less: Accumulated depreciation (3,011) (1,792) Real estate held for investment, net $ 43,347 $ 45,184 In March 2015, we completed the acquisition of approximately 64 acres of land in the Otay Ranch area of San Diego County, California for a cash purchase price of $3,750,000 . The land is entitled for 26 acres of industrial development and 62 single family homes. On July 2, 2015, we completed the acquisition of approximately 1,600 acres in the Otay Ranch area of San Diego County, California for a cash purchase price of $150,000,000 . In June 2015, we made a $1,000,000 option deposit for the Otay land that was applied to the purchase price on July 2, 2015. The purchase was funded in part out of our working capital and in part by the proceeds of the private offering, sale and issuance of the 6.5% Senior Notes. The land that was purchased is contiguous with the land we already own ed and is entitled for approximately 2,640 single family lots , approximately 4,300 multi-family residential units and 40,000 square feet of commercial space. The purchased land includes approximately 30 acres of land designated for industrial and office space development and 700 acres of land designated for open space and preserve. Buildings classified as Real estate held for investment are depreciated over estimated useful lives ranging from 2 to 43 years. |
Intangible Assets, Net
Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets, Net [Abstract] | |
Intangible Assets, Net | 5 . INTANGIBLE ASSETS, NET A summary of intang ible assets, net at December 31, 2015 and 2014 is as follows (in thousands): December 31, December 31, Amortization 2015 2014 (in years) Above market lease contracts, net of accumulated amortization of $3,969 and $1,722 $ 6,905 $ 9,151 1 to 24 Lease in place value, net of accumulated amortization of $1,811 and $1,041 2,274 3,045 1 to 24 Intangible assets, net $ 9,179 $ 12,196 Below market lease contracts, net of accumulated amortization of $2,016 and $828 $ 3,572 $ 4,760 1 to 24 The amortization of above and below market lease contracts is recognized in Rental income. Above market lease values are amortized over the remaining terms of the underlying leases, and below market lease values are amortized over the initial terms plus the terms of any below market renewal options of the underlying leases. The lease in place intangible is amortized over the life o f the related lease and is reflected in Depreciati on and amortization expenses . Amortization expense on intangible assets was $75 0,000 during 2015 and $1,050,000 from the date of acquisition to December 31, 2014. The estimated future amortization expense for the lease in place intangible asset for each of the next five years is as follows: 2016 - $550,000 ; 2017 - $500,000 ; 2018 - $300,000 ; 2019 - $150,000 ; 2020 - $100,000 and thereafter - $700,000 . |
Equity Method Investments
Equity Method Investments | 12 Months Ended |
Dec. 31, 2015 | |
Equity Method Investments [Abstract] | |
Equity Method Investments | 6 . EQUITY METHOD INVESTMENTS At December 31, 2015 and 2014 , our equity method investments are comprised of the following (in thousands): December 31, December 31, 2015 2014 BRP Holding $ 74,753 $ 76,478 BRP Hotel 25,338 24,750 Total $ 100,091 $ 101,228 Income (loss) related to equity investment companies for the year ending December 31, 2015 and for the period from the acquisition date to December 31, 2014 is as follows (in thousands): 2015 2014 BRP Holding $ (1,725) $ (847) BRP Hotel 588 549 Total $ (1,137) $ (298) The following table provides summarized data with respect to our equity method investments for 2015 and the period from the acquisition date to December 31 , 2014 (in thousands): 2015 2014 Assets $ 224,200 $ 220,926 Liabilities $ 208,116 $ 213,061 Total revenues $ 99,778 $ 102,637 Income from continuing operations before extraordinary items $ 8,220 $ 7,084 Net income $ 8,220 $ 7,084 Our (losses) related to equity investment companies $ (1,137) $ (298) The recognition of our share of the investees’ results takes into account the special rights and priorities of investors; accordingly, we employ the hypothetical liquidation at book value model to calculate our share of the investees’ profits or losses, and additionally, amortizing the difference between the fair value of the assets at the date of acquisition and the historical book basis over the remaining useful life of each asset, to calculate our share of the investment. Since we employ a balance sheet approach and our assets and liabilities were assigned fair values at time of acquisition as a result of purchase accounting, our equity pick up can vastly differ from the investee’s statements of income. At the date of the Acquisition, our interest in BRP Holding and BRP Hotel were fair valued at $77,950,000 and $24,800,000 , respectively, while the historical basis was ( $15,250,000 ) and $7,150,000 in BRP Holding and BRP Hotel, respectively. At December 31, 2015 and 2014, the basis difference for BRP Holding of $89,200,000 and $94,000,000 , respectively, and for BRP Hotel of $15,200,000 and $15,450,000 , respectively, is being amortized over the estimated useful lives of the respective underlying assets and liabilities acquired. We have not provided any guarantees, nor are we conti n gently liable for any of the liabilities reflected in the above table. All such liabilities are non-recourse to us. Our exposure to adverse events at the investee companies is limited to the book value of the investment. There are no undistributed earnings of the equity investment companies accounted for under the equity method of accounting included in our consolidated retained earnings at December 31, 2015 and 2014. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2015 | |
Debt [Abstract] | |
Debt | 7 . DEBT On June 29, 2015, we and our domestic, wholly-owned subsidiaries as guarantors (the “Guarantors”) entered into purchase agreements (collectively, the “Purchase Agreements”) with certain investors named therein (the “Purchasers”) pursuant to which the Purchasers agreed to purchase an aggregate of $125,000,000 of 6.5% Senior Notes due 2018 (the “Notes”) from us in a private placement (the “Offering”). Pursuant to the terms of the Purchase Agreements, the purchase price for the Notes was 99% of the principal amount. Pursuant to the Placement Agency Agreement, Jefferies (the “Placement Agent”) received an initial placement fee equal to 50 basis points from the gross proceeds of the Offering and will receive on each of first and second anniversary of the Issue Date (as defined below) a fee equal to 50 basis points of the net proceeds from the sale of the Offering provided that Notes are outstanding at such dates. The Notes, which were issued on June 30, 2015 (the “Issue Date”) pursuant to an indenture, dated June 30, 2015, among us, the Guarantors and Wilmington Trust, N.A. as trustee (the “Indenture”), will mature on June 30, 2018 and will be fully and unconditionally guaranteed by the Guarantors on the terms provided in the Indenture. The Notes will be guaranteed by any of our future domestic, wholly-owned subsidiaries. Interest on the Notes will accrue at a rate of 6.50% per annum and will be payable semi-annually in arrears on July 1 and January 1, commencing January 1, 2016. The Indenture contains covenants that, among other things, limit our and certain of our subsidiaries’ ability to incur, issue, assume or guarantee certain indebtedness subject to exceptions (including allowing us to borrow up to $15,000,000 under our Rampage Vineyard revolving facility and another $35,000,000 of indebtedness secured by our other assets), incur liens, issue shares of disqualified or preferred stock, pay dividends on equity, buyback our common shares or consummate certain asset sales or affiliate transactions. Additionally certain customary events of default may result in an acceleration of the maturity of the Notes. At Dec em ber 31 , 2015, we are in compliance with all debt covenants. The Notes are senior unsecured obligations of the Company and the guarantees are the senior unsecured obligations of the Guarantors. We may not redeem or repurchase the Notes prior to June 30, 2016, after which time, we may redeem the Notes at our option, in whole or in part, at any time or in part from time to time at a redemption price equal to 100% of the principal amount of the Notes plus accrued and unpaid interest, if any, to, but not including, the date of redemption, subject to the rights of holders of record at the close of business on the relevant record date to receive interest due on the relevant interest payment date falling prior to or on the redemption date. Upon the occurrence of a Change of Control (as defined in the Indenture) after the Issue Date, to the extent the Notes were not otherwise redeemed, we must make an offer to purchase all of the Notes at a price in cash equal to 101% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, to the date of repurchase, in each case, as provided in, and subject to the terms of, the Indenture. Pursuant to the Indenture, we are required to use the net proceeds of certain asset sales to offer to purchase the Notes at a price equal to 100% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, to the date fixed for the closing of such asset offer sale. On September 17, 2015, in accordance with the Indenture governing the Notes, the Company launched a tender offer for Notes in an aggregate amount equal to the proceeds received from certain asset sales (the “2015 Asset Sale Offer”). On October 21, 2015, the Company closed the 2015 Asset Sale Offer and, as a result, repurchased at par an aggregate principal amount of $7,274,000 of outstanding Notes from participating holders. The Company additionally paid an aggregate of approximately $145,000 of accrued interest to the date of such repurchase to holders that tendered notes in the 2015 Asset Sale Offer. F or further discuss ion of the acquisition of land in the Otay Ranch area, see Note 4. Pursuant to the Indenture, we will use the net proceeds of certain asset sales to offer to purchase the Notes at a price equal to 100% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, to the date of repurchase. See Note 19 for a discussion of the asset sale offer which closed on January 28, 2016 . In April 2015, we entered into a $15,000,000 revolving line of credit agreement. Loans outstanding under this line of credit bear interest at monthly LIBOR plus 2.6% and are secured by the Rampage property. The draw period expires on January 1, 2021, and the loan matures on January 1, 2035. There is also a $3,000,000 operational line of credit available which is secured by the Rampage property’s crops and matures on January 1, 2018. As of February 5, 2016 , no amounts have been drawn under either line of credit. Real estate held for development includes capitalized interest, including amortization of issuance costs and debt discount, of $4,650,000 as of December 31 , 2015. The aggregate annual mandatory redemptions of all long-term debt during the five year period ending December 31, 2020 are as follows: 2016 -- $618,000 ; 2017 -- $0 ; 2018 -- $117,108,000 ; 2019-- $0 and 2020 -- $0 . The Notes are presented on the Balance She et net of issuance costs of $750,000 and debt discou nt of $1,000,000 at December 31 , 2015. |
Noncontrolling Interest
Noncontrolling Interest | 12 Months Ended |
Dec. 31, 2015 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest | 8 . NONCONTROLLING INTEREST Our ownership of San Elijo Hills project is through our indirect 85% owned subsidiary, Sa n Elijo Ranch, Inc. (“SERI”). Pursuant to a stockholders’ agreement with the holders of the noncontr olling interests in SERI, we loan funds to SERI and charge a 12% annual rate. Once this loan is fully repaid, the noncontrolling shareholders of SERI are entitled to 15% of future cash flows distributed to shareh olders. As of December 31, 2015 and 2014 , approximately $8,400,000 and $11,000,000, respectively has been recognized for the SERI noncontrolling interests. Amounts recorded for the noncontrolling interests have been reduced for income taxes calculated pursuant to tax sharing agreements. During the second quarter of 2015, dividends of $22,000,000 were declared and distributed by our subsidiary that owns the San Elijo Hills project, of which $3,300,000 was paid to the noncontrolling interests in the San Elijo Hills project, and the balance was transferred to the parent Company. The dividends retained by us did not increase the amount of consolidated liquidity reflected on our consolidated balance sheet; however, they did increase the liquidity of the parent Company. In December 2012, we purchased an indirect 20% noncontrolling interest in SERI for $5,000,000 , increasing our effective interest in SERI from 68% to 85%. The amount paid was $4,450,000 less than the amount recorded for the noncontrolling interest; such amount was credited to additional paid in capital. As part of the purchase, pending litigation commenced by the holder of the purchased noncontrolling interest against the Company was settled without any payment. At December 31, 2015 and 2014, n oncontrolling interest includes $1,650,000 for the 10% minority shareholder in the Pacho project. |
Stock Incentive Plans
Stock Incentive Plans | 12 Months Ended |
Dec. 31, 2015 | |
Stock Incentive Plans [Abstract] | |
Stock Incentive Plans | 9 . STOCK INCENTIVE PLANS On August 13, 2014, the Board of Directors adopted the RSU Opportunity Plan (the “RSU Plan ”) and approved a RSU Opportunity Notice (the “Notice”). An aggregate of 100,000 shares of Common Stock is avail able to be issued under the RSU Plan to our executive officers (the “Participants”). Participants may be granted restricted stock units (“RSUs”) based on satisfaction of established performance criteria at the end of the perform ance period specified in the RSU Plan . The performance period ends on December 31, 2016, and the degree to which the performance criteria has been satisfied and the actual amount of any awards to be granted are in the sole discretion of the Board of Directors. In the event that the Board of Directors determines that awards should be granted, the Board will issue awards no later than April 1, 2017. No awards have been made under the RSU Plan. Under our Amended and Restated 1999 Stock Incentiv e Plan (the “Plan”), we may grant options, stock appreciation rights and restricted stock to non-employee directors, certain non-employees and employees up to a maximum grant of 30,000 shares to any individual in a given taxable year. Pursuant to the Plan, each director of the Company is automatically granted options to purchase 1,000 shares on the date on which the annual meeting of stockholders is held. In August 2004, following shareholder approval, the Plan was amended to, among other things, increase the number of shares of common stock available for issuance by 300,000 shares. The Plan provides for the issuance of options and rights at not less than 100% of the fair market value of the underlying stock at the date of grant. Options granted to employees and certain non-employees generally become exercisable in five equal instalments starting one year from the date of grant and must be exercised within six years from the date of grant. Options granted to directors generally become exercisable in four equal instalments starting one year from the date of grant and must be exercised within five years from the date of grant. No stock appreciation rights have been granted. As of December 31, 2015, 392,400 shares were available for grant under the Plan. A summary of activity with respect to the Plan for 2015, 2014 and 2013 is as follows: Weighted- Common Weighted- Average Shares Average Remaining Aggregate Subject to Exercise Contractual Intrinsic Option Price Term Value Balance at January 1, 2013 96,500 $ 25.19 Granted 6,000 $ 32.30 Cancelled (8,000) $ 36.44 Balance at December 31, 2013 94,500 $ 24.69 Granted 7,000 $ 58.00 Exercised (8,000) $ 23.50 $ 266,850 Balance at December 31, 2014 93,500 $ 27.29 Granted 7,000 $ 47.85 Exercised (20,000) $ 24.00 $ 418,240 Cancelled (1,000) $ 21.00 Balance at December 31, 2015 79,500 $ 30.00 1.3 years $ 585,875 Exercisable at December 31, 2015 62,750 $ 25.74 0.6 years $ 563,075 We recorded compensation cost related to stock incentive plans of $120,000 , $200,000 and $190,000 for the years ended December 31, 2015, 2014 and 2013, respectively; such costs reduced net income by $70,000 , $120,000 and $110,000 for the years ended December 31, 2015, 2014 and 2013, respectively. As of December 31, 2015, total unrecognized compensation cost related to nonvested share-based compensation plans was $150,000; this cost is expected to be recognized over a weighted-average period of 1.5 years. The following summary presents the weighted-average assumptions used for the Black-Scholes option pricing model to determine the fair value for each of the stock option grants made during each of the three years in th e period ended December 31 : 2015 2014 2013 Risk free rate 1.56% 1.48% 1.20% Expected volatility 24.65% 29.60% 30.85% Expected dividend yield 0.0% 0.0% 0.0% Expected life 4.3 years 4.3 years 4.3 years Fair value per grant $ 10.90 $ 15.34 $ 8.70 The expected life assumptions were based on historical behavior for the awards identified. The expected volatility was based on the historical behavior of our stock price. In July 2004, the Board of Directors approved the repurchase of up to 500,000 shares of our common stock. In 2008, we purchased 394,931 shares of our common stock for approximately $5,900,000 in a private transaction with an unrelated party. During 2009, we purchased 478 shares of our common stock in an open market transaction in accordance with our repurchase plan . After considering these transaction s, we can repurchase up to 104,591 shares of common stock without additional board approval. Repurchased shares would be available for, among other things, use in connection with our stock option plan. The shares may be purchased from time to time, subject to prevailing market conditions, in the open market, in privately negotiated transactions or otherwise. Any such purchases may be commenced or suspended at any time without prior notice. |
Sales Of Real Estate
Sales Of Real Estate | 12 Months Ended |
Dec. 31, 2015 | |
Sales Of Real Estate [Abstract] | |
Sales Of Real Estate | 10. SALES OF REAL ESTATE Revenues from sales of real estate for each of the three years in t he period ended December 31, is co mprised of the following (in thousands): 2015 2014 2013 San Elijo Hills project: Developed lots $ 22,064 $ 10,468 $ 37,370 Single family homes - 15,279 - Revenues from profit sharing agreements - 1,784 - Residential condominium units at San Elijo Hills - - 689 Ashville Park project: Developed lots 6,562 6,298 12,038 Maine: Developed lots 7,475 - - Buildings 1,683 - - The Market Common: Developed lots 1,558 1,241 - Revenues from profit sharing agreements 1,252 567 - Total $ 40,594 $ 35,637 $ 50,097 At the time we close on sales of re al estate , a portion of the rev enue is initially deferred if we are required to make significant improvements to the property. For the years ended December 31, 2015 and 2014 , the activity in the deferred revenue account is as follows (in thousands): 2015 2014 Deferred revenue balance at January 1, $ 2,528 $ 2,739 Revenue deferred on the date of sale 1,769 1,062 Deferred revenue recognized in operations (1,963) (1,273) Deferred revenue balance at December 31, $ 2,334 $ 2,528 As of December 31, 2015, we estimate that we will spend approximately $1,2 50,000 to complete the required improvements, including costs related to common areas . We estimate these improvements will be substantially complete by the end of 2016. As of February 5, 2016 , we had entered into an agreement to sell 52 single family lots for $2,350,000 and 87 multi-family lots for $1,450,000 at The Market Common to a homebuilder. A non-refundable option deposit of $25,000 related to The Market Common was transferred from Leucadia to us as part of the Acquisition. |
Other Results Of Operations
Other Results Of Operations | 12 Months Ended |
Dec. 31, 2015 | |
Other Results Of Operations [Abstract] | |
Other Results Of Operations | 11. OTHER RESULTS OF OPERATIONS Interest and other income for each of the three years in the period ended December 31, consists of the following (in thousands): 2015 2014 2013 Interest income $ 1,198 $ 914 $ 55 Gain on settlement of a lawsuit - - 764 Management fee income from Leucadia 60 45 - Income from utility service agreement 229 - - Other 128 115 70 Total $ 1,615 $ 1,074 $ 889 A dvertising costs included in general and administrative expenses were $7 00,000 , $60 0,000 and $650,000 for 2015, 2014 and 2013 , respectively . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Income Taxes | 12 . INCOME TAXES The ( benefit ) provision for income taxes for each of the three years in th e period ended December 31, was as follows (in thousands): 2015 2014 2013 Current taxes: Federal $ 3,370 $ 1,501 $ 2,905 State and local 1,569 428 1,212 Total current income taxes 4,939 1,929 4,117 Deferred taxes: Federal (2,836) (410) 2,041 State and local 153 (36) 340 Total deferred income taxes (2,683) (446) 2,381 Provision for income taxes $ 2,256 $ 1,483 $ 6,498 Current federal income taxes from 2013 to 2015 principally relates to federal alternative minimum tax. The table below reconciles the expected statutory federal income tax to the actual income tax provision (in thousands): 2015 2014 2013 Expected federal income tax provision $ 3,066 $ 2,175 $ 6,721 State income taxes, net of federal income tax benefit 1,119 255 1,009 Decrease in valuation allowance (1,556) (897) (1,360) Permanent difference on tax exempt municipal bond interest (264) (202) - Permanent difference on real estate donation (157) - - Other permanent differences 49 87 77 Other (1) 65 51 Actual income tax provision $ 2,256 $ 1,483 $ 6,498 At December 31, 2015 and 2014, the net deferred tax asset (liability) consisted of the following (in thousands): 2015 2014 Deferred Tax Asset: Minimum tax credit carryovers 31,846 34,311 Land basis $ 1,906 $ 2,423 BRP equity interest 6,325 - Other, net 1,648 1,589 41,725 38,323 Valuation allowance (31,846) (33,402) 9,879 4,921 Deferred Tax Liability: Buildings (6,302) (6,930) Leaseholds (2,959) (2,975) (9,261) (9,905) Net deferred tax asset (liability) $ 618 $ (4,984) After taking into consideration our 2015 results of operations, we determined that tax credits can be applied to our 2015 taxable income which results in our valuation allowance exceeding our deferred tax assets related to minimum tax credits. As a result, $1,550,000 of the deferred tax valuation allowance was reduced as a credit to income tax expense during 2015. As discussed above, during 2014 and 2013 we were able to conclude that it is more likely than not that we will be able to realize an additional portion of our net deferred tax asset; accordingly, approximately $900,000 and $1,350,000 of the deferred tax valuation allowance was released as a credit to income tax expense during 2014 and 2013, respectively. The valuati on allowance fully covers all of our alternative minimum tax credit carryovers, which have no expiration date. Minimum tax credit carryovers do not offset alternative minimum tax; however, they are able to reduce our federal income tax rate to 20% in any given year. In order to fully utilize its alternative minimum ta x credit carryovers, we would have to generate an additional $210 ,000,000 of taxable income above our current estimate to fully utilize all of the credits. We have reserved for this benefit in the valuation allowance. The following table reconciles the total amount of unrecognized tax benefits as of the beginning and end of the period presented (in thousands): Unrecognized Tax Benefits Interest Total Balance, January 1, 2015 $ - $ - $ - Increases based on tax positions related to current period 2,936 - 2,936 Interest expense recognized - 40 40 Balance, December 31, 2015 $ 2,936 $ 40 $ 2,976 During the third quarter of 2015, resulting from a tax matter related to the Acquisition, we recorded an unrecognized tax benefit of approximately $2,550,000 which is reflected in Other liabilities and a corresponding reduction in our Deferred tax liability. During the fourth quarter of 2015, we increased the unrecognized tax benefit by $400,000 related to this tax matter. Over the next twelve months, the Company believes that the unrecognized tax benefits will not decrease. The statute of limitations with respect to the Company’s federal income tax returns has expired for all years through 2011, and with respect to California state income tax returns through 2010. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 1 3 . EARNINGS PER SHARE Basic earnings per share of common stock was calculated by dividing net income by the sum of the weighted average number of common shares outstanding, and for diluted earnings per share, the incremental weighted average number of shares issuable upon exercise of outstanding options for the periods they were outstanding. The treasury stock method is used for these calculations. The numerators and denominators used to calculate basic and diluted earnings per share for 2015, 2014 and 2013 are as follows (in thousands): Basic earnings per share of common stock was calculated by dividing net income by the sum of the weighted average number of common shares outstanding, and for diluted earnings per share, the incremental weighted average number of shares issuable upon exercise of outstanding options for the periods they were outstanding. The treasury stock method is used for these calculations. The numerators and denominators used to calculate basic and diluted earnings per share for 2015, 2014 and 2013 are as follows (in thousands): 2015 2014 2013 Numerator – net income attributable to HomeFed Corporation common shareholders $ 5,835 $ 3,886 $ 11,268 Denominator for basic earnings per share– weighted average shares 15,396 13,364 7,880 Stock options 30 38 13 Denominator for diluted earnings per share– weighted average shares 15,426 13,402 7,893 Options to purchase 9,600 , 4,400 and 6,000 weighted-average shares of common stock were outstanding during t he years ended December 31, 2015, 2014 and 2013 , respectively, but were not included in the computation of diluted per share amounts as the effect was antidilutive. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | 14 . COMMITMENTS AND CONTINGENCIES BRP Leasing is the indirect obligor under a lease for office space at BRP Holding. See Note 15 for information concerning BRP Leasing’s minimum annual rental expense. Future minimum annual rental income (exclusive of month-to-month leases, real estate taxes, maintenance and certain other charges) from real estate held for investment are aggregated as follows at December 31, 2015 (in thousands): 2016 $ 4,586 2017 4,449 2018 3,371 2019 2,683 2020 2,504 Thereafter 15,119 $ 32,712 A scho ol at the SweetBay Project has an outstanding loan of $5,525,000 for which we have pledged 42 acres of land as collateral; although we are not obligated to repay the loan , should the school fail to do so, we could lose the land we have pledged as collateral. Our corporate office space is leased under a non-cancellable lease that expires in October 2018. Rental expense (net of sublease income) was $250,000 , $250,000 and $350,000 , respectively, for 2015, 2014 and 2013. Future minimum annual rentals (exclusive of real estate, maintenance and other charges) are approximately $250,000 per year for the remainder of the lease term. A portion of this space is leased to Leucadia; see Note 15 for more information. We are required to obtain infrastructure improvement bonds primarily for the benefit of the City of San Marcos (the “City”) prior to the beginning of lot construction work and warranty bonds upon completion of such improvements in the San Elijo Hills project. These bonds provide funds primarily to the City in the event we are unable or unwilling to complete certain infrastructure improvements in the San Elijo Hills project. Leucadia is contractually obligated to obt ain these bonds on behalf of the project pursuant to the terms of agreements entered into when the project was acquired by us. We are responsible for paying all third party fees related to obtaining the bonds. Should the City or others draw on the bo nds for any reason, one of our subsidiaries would be obligated to reimburse Leucadia for the amount drawn. As of December 31, 2015 , the amount of outstanding bonds was approximately $3,850,000 , none of which has been drawn upon. We are also required to obtain infrastructure improvement bonds for the benefit of the City of Virginia Beach in connection with the Ashville Park p roject. As of December 31, 2015 , the amount of outstanding bonds was approximately $1,300,000 , none of which has been drawn upon. The Market Common is required to provide a letter of credit for the benefit of the City of Myrtle Beach to secure the completion of certain infrastructure improvements in the amount of $5,000,000 . Prior to closing of the Acquisition, we were required to replace the existing letter of credit. We placed $5,000,000 on deposit with a qualified financial institution to obtain the replacement letter of credit; such amount is reflected as restricted cash. As more fully discussed in the 2013 10-K, upon receipt of required approvals, we commenced remediation activities on approximately 30 acres of undeveloped land owned by Flat Rock Land Company, LLC (“Flat Ro ck”), a subsidiary of Otay . The remediation activities were completed in February 2013. We received final approval of the remediation from the County of San Diego Department of Environmental H ealth in June 2013. Otay and Flat Rock had commenced a lawsuit in California Superior Court seeking compensation from the parties who they believe are responsible for the contamination of the property. In February 2015, the court denied us any recovery. As a result, the defendants may be entitled to be reimbursed by us for their legal costs incurred, and we have accordingly accrued $350,000 during the first quarter of 2015 as we believe that such loss is probable and reasonably estimable. In addition, the defendants are seeking to recover attorney’s fees in the amount of approximately $13,500,000 pursuant to an attorneys’ fee provision in Otay Land’s purchase agreement for the property. In August 2015, the court denied the defendants’ request for recovery of attorney fees. The defendants have appealed the ruling. Based on our evaluation of applicable law, we believe the claim for attorney’s fees is without merit and we intend to defend against this claim vigorously. We can give no assurances as to the ultimate outcome of this matter or that any appeal will be successful. During the course of the Otay and Flat Rock litigation, we settled with one of the peripheral defendants which settlement included a cash payment of $400,000 and an assignment of the settling defendant’s then pending lawsuit in California Superior Court for the County of Orange against several other co-defendants for the costs of the settling defendant’s defense fees and costs and indemnification for settlement monies paid in connection with the environmental c ost recovery action. Otay and Flat Rock proceeded to prosecute that assigned action and obtained a judgment against some of the defendants in an amount in excess of $4,000,000 . In January 2016, we collected $1,000,000 of this judgment to settle the matter. However, other defendants prevailed on a defense resulting in a def ense judgment against Otay and Flat Rock subjecting them to payment of the prevailing defendants’ litigation costs and attorneys’ fees. As a result, we paid $200,000 during the third quarter of 2015. BRP Leasing is required to keep a minimum of $500,000 on deposit in an escrow account to secure its lease obligations. At December 31, 2015, $1,400,000 was in the escrow account and is classified as restricted cash. We have purchased insurance policies for general liability coverage including completed operations for our San Elijo Hills, Ashville Park and SweetBay projects with limits ranging from $5,000,000 to $17 ,000,000 . No claims have ever been made under these policies. In addition, we are indemnified by our homebuilders and we are named as an additional insured party under the policies of any contractor who works on the property. W e agreed to indemnify Leucadia for certain lease obligations of BRP Leasing that were assumed from a former subsidiary of Leucadia that was sold to a third party prior to the Acquisition. The former subsidiary of Leucadia remains the primary obligor under the lease obligations and Leucadia agreed to indemnify the third party buyer. The primary lease expires in 2018 and the aggregate amount of lease obligations as of December 31, 2015 was approximately $30,65 0,000 of which includes approximately $9,25 0,000 projected operating expenses and taxes related to the real estate. Substantially all of the space under the primary lease has been sublet to various third-party tenants for the full length of the lease term in amounts in excess of the obligations under the primary lease. We are subject to litigation w hich arises in the course of our business. We do not believe that the ultimate resolution of any such matters will materially affect our c onsolidated financial position, our consolidated results of operations or liquidity. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 15. RELATED PARTY TRANSACTIONS Joseph S. Steinberg, the chairman of our Board of Directors, and Ian M. Cumming, one of our directors, are each parties to a Purchase Agreement with us and the Guarantors, pursuant to which they each purchased Notes with a value of $5 million, or four percent (4%), of the principal amount of the Notes issued (such purchases, the “Affiliate Note Purchases”). Mr. Steinberg is also chairman of the Board of Directors of Leucadia. Each of Messrs. Steinberg and Cumming is considered to b e a “Related Person” under our Related Person T ransactions policy (the “Policy”). Accordingly, pursuant to and in accordance with the Policy and taking into account all relevant facts and circumstances, the Audit Committee considered the Affiliate Note Purchases and approved, and recommended to the Board the approval of, the Affiliate Note Purchases, which were unanimously approved by the Board (with Messrs. Steinberg and Cumming abstaining from the vote). Pursuant to a Placement Agency Agreement, Jefferies acted as Placement Agent for the Notes. Jefferies is a wholly-owned subsidiary of Jefferies Group LLC, a wholly owned subsidiary of Leucadia. Leucadia is our affiliate and a “Related Person” under the Policy. Accordingly, pursuant to and in accordance with the Policy, the Audit Committee considered the Placement Agency Agreement and approved, and recommended to the Board the approval of, the Placement Agency Agreement, which was unanimously approved by the Board (with Brian Friedman, Chairman of the Executive Committee of Jefferies Group LLC and Joseph S. Steinberg, abstaining from the vote). Pursuant to the Placement Agency Agreement, Jefferies received a fee equal to 50 basis points from the gross proceeds of the offering and will receive a fee equal to 50 basis points of the net proceeds from the sale of the Notes on each of the first and second anniversary of the Issue Date provided that Notes are outstanding at such dates. Additionally, we and each of the Guarantors has agreed to indemnify Jefferies against certain liabilities, including liabilities under the Securities Act, and to reimburse Jefferies all reasonable out-of-pocket expenses incurred in connection with any action or claim for which indemnification has or is reasonably likely to be sought by Jefferies. We sold a home in Rockport, Maine to one of our Directors, Patrick Bienvenue, for $375,000 which closed during the fourth quarter of 2015. The home sale was approved by the Audit Committee in accordance with our related party transaction policy taking into consideration the results of an independent appraisal, among other factors. Brooklyn Renaissance Plaza BRP Holding is the developer and owner of an 850,000 square foot office tower and parking garage located in Brooklyn, NY. We own a non-controlling 61.25% interest in the office tower and garage; the remaining interest in the office tower and garage is held by MWR L.L.C. (“MWR”). Prior to the construction of the project, Empire Insurance Company (“Empire”), a former subsidiary of Leucadia, entered into a twenty year master lease for nine floors in the office tower (approximately 286,000 square feet) that expires in October 2018. Empire immediately subleased four of the floors to Leucadia under the same terms and rates Empire committed to under the master lease. During 2000 and 2001, Empire subleased the remaining five floors to third party tenants for a term concurrent with the end of the master lease at amounts in excess of the rent Empire was obligated to pay under the master lease. MWR Associates (“Associates”), an affiliate of MWR, has the right to sublease two floors of the office tower. Leucadia and Associates entered into a pooling agreement, pursuant to which the subleasing of Leucadia’s four floors and Associates two floors would be jointly managed; sublease income and related expenses are shared pro rata between the parties based on the floors contributed to the pooling agreement. In connection with the sale of Empire to a third party, all of Empire’s and Leucadia’s rights and obligations under the master lease and subleases were assigned to and assumed by BRP Leasing. In connection with the Acquisition, Leucadia assigned its interest in the pooling agreement to HomeFed. Included in accounts receivable, deposits and other assets is $3,750,000 representing BRP Leasing’s share of undistributed amounts under the pooling agreement at December 31, 2015. For the year ended December 31, 2015, rental income includes BRP Leasing’s share of the pooling agreement of $5,30 0,000 , and rental income includes $7,450,000 of sublease income for the five floors originally sublet by Empire. Rental income includes a non-cash reduction of $1,650,000 for amortization related to purchase price accounting. For the year ended December 31, 2015, rental operating expenses includes rent paid to BRP Holding (for all nine floors) of $11,250,000 . Future minimum annual rental income (exclusive of month-to-month leases, real estate taxes, maintenance and certain other charges) from subleasing office space and participation in the pooling agreement is as follows at December 31, 2015 (in thousands): 2016 $ 12,129 2017 12,299 2018 10,266 2019 - 2020 - Thereafter - $ 34,694 Future minimum annual rental expense (exclusive of month-to-month leases, real estate taxes, maintenance and certain other charges) that BRP Leasing is obligated to pay rent to BRP Holding for office space is as follows at December 31, 2015 (in thousands): 2016 $ 7,561 2017 7,561 2018 6,301 2019 - 2020 - Thereafter - $ 21,423 Leucadia A portion of our corporate office space is sublet to Leucadia. Sublease payments from Leucadia reflected in other income were $12,000 in each of 2015, 2014 and 2013. We also received $5,000 of fee income per month related to the management and supervision of certain real estate in the Maine projects retained by Leucadia. For the years ended December, 31, 2015 and 2014, we recognized $60,000 and $45,000 , respectively . This agreement was terminated on December 31, 2015, and no future income will be earned. Pursuant to administrative services agreements, L eucadia provides administrative and accounting services to us , including providing the services of the Company’s Secretary. Ad ministrative fees paid to L eucadia were $180,000 in each of 2015, 2014 and 2013. The administrative services agreement automatically renews for successive annual periods unless terminated in accordance with its terms. Leucadia has the right to terminate th e a greement by giving the Company not less than one year’s prior notice, in which event the then monthly fee will remain in effect until the end of the notice period. We have the right to terminate th e a greement, without restriction or penalty, upon 30 days prior written notice to Leucadia. The agreement has not been terminated by either party. Leucadia is contractually obligated to obtain infrastructure improvement bonds on behalf of the San Elijo Hills project; see Note 14 for more information. See Note 2 for information concerning the purchase of assets from Leucadia. Our Chairman, Joseph S. Steinberg, is a significant stockholder of Leucadia and Chairman of Leucadia’s Board, and one of our Directors, Brian P. Friedman, is the President of Leucadia. The terms and conditions of the purchase of assets from Leucadia were negotiated and approved by a special independent committee of our Board of Directors and ratified by our Board of Directors. |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value [Abstract] | |
Fair Value | 16 . FAIR VALUE The carrying amounts and estimated fair values of our principal financial instruments that are not recognized on a recurring basis are as follows (in thousands): The carrying amounts and estimated fair values of our principal financial instruments that are not recognized on a recurring basis are as follows (in thousands): December 31, 2015 Carrying Fair Amount Value Financial Liabilities: Long-term debt (a) $ 116,010 $ 117,447 (a) The fair value of the long-term debt was determined by utilizing available market data inputs that are considered level 2 inputs. Quoted prices are available but trading is infrequent. We utilized the available market data based on the quoted market prices to determine an average fair market value over the last 10 business days of the reporting period . No assets or liabilities were measured at fair value on a nonrecurring basis as of December 31, 2015 and 2014. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Information [Abstract] | |
Segment Information | 1 7 . SEGMENT INFORMATION W e have three reportable segments—real estate, farming and corporate. Real estate operations consist of a variety of residential land development projects and commercial properties and other unimproved land, all in various stages of development. Real estate also includes the equity m ethod investments in BRP Holding and BRP Hotel, all of which were acquired during 2014 in the Acquisition. Farming operations consist of the Rampage property which includes an operating grape vineyard and an almond orchard under development. Corporate primarily consists of investment income and overhead expenses. Corporate amounts are not allocated to the operating units. Certain information concerning our segments for the years ended 2015, 2014 and 2013 is presented in the following table. Consolidated subsidiaries are reflected as of the date a majority controlling interest wa s acquired. C ertain real estate projects acquired from Leucadia became wholly owned subsidiaries as of March 28, 2014. During June 2015, we received proceeds of $123,750,000 from the issuan ce of the Notes (refer to Note 7 for further details) and used the proceeds in July 2015 to purchase approximately 1,600 acres in the Otay Ranch area of San Diego County, California which is reflected in the real estate segment . 2015 2014 2013 (in thousands) Revenues: Real estate $ 64,484 $ 54,294 $ 51,738 Farming 5,042 5,199 5,054 Corporate 12 12 12 Total consolidated revenues $ 69,538 $ 59,505 $ 56,804 Income (loss) from continuing operations before income taxes and noncontrolling interest: Real estate $ 16,137 $ 14,470 $ 24,822 Farming 1,242 1,719 1,899 Corporate (8,620) (9,974) (7,519) Total consolidated income from continuing operations before income taxes and noncontrolling interest $ 8,759 $ 6,215 $ 19,202 Depreciation and amortization expenses: Real estate $ 3,999 $ 3,781 $ 191 Farming 161 49 - Corporate 33 27 48 Total consolidated depreciation and amortization expenses $ 4,193 $ 3,857 $ 239 Identifiable assets employed: Real estate $ 522,410 378,170 Farming 12,894 11,531 Corporate 20,007 43,488 Total consolidated assets $ 555,311 433,189 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Data [Abstract] | |
Selected Quarterly Financial Data | 18. SELECTED QUARTERLY FINANCIAL DATA (unaudited) First Second Third Fourth Quarter Quarter Quarter Quarter (In thousands, except per share amounts) 2015: Sales of real estate $ 940 $ 1,841 $ 8,773 $ 29,040 Rental income $ 5,458 $ 5,876 $ 6,068 $ 5,808 Farming revenues $ - $ - $ 4,988 $ 54 Co-op marketing and advertising fees $ 153 $ 217 $ 193 $ 129 Cost of sales $ 264 $ 1,346 $ 6,561 $ 14,072 Farming expenses $ 898 $ 870 $ 1,226 $ 473 Income (loss) from operations $ (5,825) $ (2,997) $ 2,944 $ 13,022 Net income (loss) attributable to HomeFed Corporation common shareholders $ (3,237) $ (1,475) $ 2,069 $ 8,478 Basic earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.21) $ (0.10) $ 0.13 $ 0.55 Diluted earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.21) $ (0.10) $ 0.13 $ 0.55 2014: Sales of real estate $ 2,622 $ 16,708 $ 2,632 $ 13,675 Rental income $ 287 $ 5,591 $ 6,004 $ 5,741 Farming revenues $ - $ - $ 4,600 $ 599 Co-op marketing and advertising fees $ 278 $ 290 $ 216 $ 262 Cost of sales $ 1,350 $ 10,920 $ 308 $ 6,015 Farming expenses $ 991 $ 934 $ 980 $ 409 Income (loss) from operations $ (3,282) $ 2,354 $ 2,526 $ 3,543 Net income (loss) attributable to HomeFed Corporation common shareholders $ (1,981) $ 1,255 $ 1,554 $ 3,058 Basic earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.24) $ 0.08 $ 0.10 $ 0.20 Diluted earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.24) $ 0.08 $ 0.10 $ 0.20 In 2015 and 2014, the totals of quarterly per share amounts do not equal annual per share amounts because of changes in outstanding shares during the year. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | 19 . SUBSEQUENT EVENTS On December 10, 2015 , in accordance with the Inde nture governing the Notes, we launched a tender offer for Notes in an aggregate amount equal to the proceeds received from certain asset sales and on January 8, 2016, extended such offer (the “2016 Asset Sale Offer”). On January 28, 2016, we closed on the 2016 Asset Sale Offer and, as a result, repurchased at par an aggregate principal amount of $618,000 of outstanding Notes from par ticipating holders. We additionally paid an aggregate of ap proximately $3,000 of accrued interest to the date of such repurchase to holders that tendered notes in the 2016 Asset Sale Offer. As previously disclosed, Otay and Flat Rock secured a judgment against certain defendants in the California Superior Court for the County of Orange in January, 2015. Our efforts to enforce and collect that judgment against the judgment debtors were resolved in January 2016, and resulted in recovery of $1,000,000 in the first quarter of 2016. In January 2016, we closed on the sale of six single family lots with a home builder at The Market Common for $300,000 . In February 2016, we also closed on the sale of five multi-family lots at The Market Common for $125,000 . We are required to obtain infrastructure improvement bonds for the benefit of the City of Chula Vista in connection with the Otay Land project. In January 2016, we secured bonds of approximately $17,750,000 . |
Summary Of Significant Accoun28
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2015 | |
Summary Of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation – The accompanying consolidated financial statements include the accounts of HomeFed Corporation (th e “Company,”) and its consolidated subsidiaries. We also own equity interests in Brooklyn Renaissance Plaza, an operating business accounted for under the equity method of accounting. We are currently engaged, directly and through our subsidiaries, in the investment in and development of residential and commercial real estate properties in California, Virginia, South Carolina, Florida, Maine and New York. All intercompany balances and transactions have been eliminated in consolidation. Our main business, real estate development, is highly competitive, and there are numerous residential real estate developers and development projects operating in the same geographic areas in which we operate. In addition, the real estate industry is subject to increasing environmental, building, zoning and real estate regulations that are imposed by various federal, state and local authorities. Timing of the initiation and completion of development projects depends upon receipt of necessary authorizations and approvals. Furthermore, changes in prevailing local circumstances or applicable laws may require additional approvals, or modifications of approvals previously obtained. Delays could adversely affect our ability to complete our projects, significantly increase the costs of doing so or drive potential customers to purchase competitors’ products. Environmental laws may cause us to incur substantial compliance, mitigation and other costs, may restrict or prohibit development in certain areas and may delay completion of our development projects. Delays arising from compliance with environmental laws and regulations could adversely affect our ability to complete our projects and significantly increase development costs. Our business may also be adversely affected by inflation and is interest-rate sensitive. Certain amounts have been reclassifie d to be consistent with the 2015 presentation. |
Basis Of Consolidation | Basis of Consolidation – Our policy is to consolidate all entities in which we can vote a majority of the outstanding voting stock. In addition, we consolidate entities which meet the definition of a variable interest entity for which we are the primary beneficiary. The primary beneficiary is the party who has the power to direct the activities of a variable interest entity that most significantly impact the entity’s economic performance and who has an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. We consider special allocations of cash flows and preferences, if any, to determine amounts allocable to noncontrolling interests. All intercompany transactions and balances are eliminated in consolidation. In situations where we have significant influence, but not control, of an entity that does not qualify as a variable interest entity, we apply the equity method of accounting. |
Critical Accounting Estimates | Critical Accounting Estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts in the financial statements and disclosures of contingent assets and liabilities. On an on-going basis, we evaluate all of these estimates and assumptions. Actual results could differ from those estimates. |
Profit Recognition On Sales Of Real Estate | Profit Recognition on Sales of Real Estate – When we have an obligation to complete improvements on property subsequent to the date of sale, we utilize the percentage of completion method of accounting to record revenues and cost of sales. Under percentage of completion accounting, we recognize revenues and cost of sales based upon the ratio of development costs completed as of the date of sale to an estimate of total development costs which will ultimately be incurred, including an estimate for common areas. Revenues which cannot be recognized as of the date of sale are reported as deferred revenue on the consolidated balance sheets. We believe we can reasonably estimate our future costs and profit allocation in order to determine how much revenue should be deferred. However, such estimates are based on numerous assumptions and require management’s judgment. For example, the estimate of future development costs includes an assumption about the cost of construction services for which we have no current contractual arrangement. If the estimate of these future costs proves to be too low, then we will have recognized too much profit as of the date of sale resulting in less profit to be reported as the improvements are completed. However, to date our estimates of future development costs that have been used to determine the amount of revenue to be deferred at the date of sale have subsequently been proven to be reasonably accurate. |
Income Taxes | Income Taxes – We provide for income taxes using the liability method. We record a valuation allowance to reduce our net deferred tax asset to an amount that we expect is more likely than not to be realized. If our estimate of the realizability of our deferred tax asset changes in the future, an adjustment to the valuation allowance would be recorded which would either increase or decrease income tax expense in such period. The valuation allowance is determined after considering all relevant facts and circumstances, and is based, in significant part, on our projection of taxable income in the future. Since any projection of future profit ability is inherently uncertain , changes i n the valuation allowance can be expected. After taking into consideration our 2015 results of operations, we determined that tax credits can be applied to our 2015 taxable income which results in our valuation allowance exceeding our deferred tax assets related to minimum tax credits. As a result, $1,550,000 of the deferred tax valuation allowance was reduced as a credit to income tax expense during 2015. During 2014, we concluded that we had enough profitable, historical evidence related to the Ashville Park project to include our sales forecasts of the project into our projection of taxable income. As a result, we were able to conclude that it is more likely than not that we will be able to realize an additional portion of our net deferred tax asset; accordingly, approximately $900,000 of the deferred tax valuation allowance was released as a credit to income tax expense during 2014. During 2013, we generated profits from lot sales at the San Elijo Hills and Ashville Park projects that were greater than projected as of December 31, 2012. Also, as of December 31, 2013, we had entered into agreements to sell additional lots at both projects which were expected to close during 2014. We considered its recent results and pending lot sale agreements to be positive evidence to be considered when estimating its future taxable income. As a result, we were able to conclude that it is more likely than not that we will be able to realize an additional portion of our net deferred tax asset; accordingly, approximately $1,350,000 of the deferred tax valuation allowance was released as a credit to income tax expense during 2013. The projection of future taxable income is based upon numerous assumptions about the future, including future market conditions where our projects are located, regulatory requirements, estimates of future real estate revenues and development costs, future interest expense, operating and overhead costs and other factors. To the extent our actual taxable income in the future exceeds our estimate, we will recognize additional tax benefits and reduce our valuation allowance; conversely, if the actual taxable income is less than the amounts projected, an addition to the valuation allowance would be recorded that would increase tax expense in the future. Adjustments to the valuatio n allowance in the future can be expected. We also record reserves for unrecognized tax benefits based on our assessment of the probability of successfully sustaining tax filing positions. Management exercises significant judgment when assessing the probability of successfully sustaining tax filing positions, and in determining whether a contingent tax liability should be recorded and if so estimating the amount. If our tax filing positions are successfully challenged, payments could be required that are in excess of reserved amounts or we may be required to reduce the carrying amount of our net deferred tax asset, either of which could be significant to our Consolidated Balance Sheets or results of operations. We record interest and penalties, if any, with respect to uncertain tax positions as components of income tax expense. At this time, we believe we can substantiate our tax positions, and it is more probable than not that the outcome will result in our favor. Based on our evaluation of our tax filings at December 31, 2014 and 2013, we did not record any amounts for uncertain tax positions. As of December 31, 2014, we had no gross unrecognized tax benefits. During the third quarter of 2015, resulting from a tax matter related to the Acquisition, we recorded an unrecognized tax benefit of approximately $2,550,000 which is reflected in Other liabilities and a corresponding reducti on in our Deferred tax liability . During the fourth quarter of 2015, we increased the unrecognized tax benefit by $400,000 related to this tax matter. For the year ended December 31, 2015, in terest expense of $40,000 was accrued. If any of our tax filing positions are successfully challenged, payments could be required that might be material. |
Provision For Environmental Remediation | Provision for Environmental Remediation – We record environmental liabilities when it is probable that a liability has been incurred and the amount or range of the liability is reasonably estimable. During 2002, we recorded a charge of $11,150,000 representing our estimate of the cost (including legal fees) to implement the most likely remediation alternative with respect to approximately 30 acres of undeveloped land owned by a subsidiary of Otay Land Company. The estimated liability was neither discounted nor reduced for claims for recovery from previous owners and users of the land who may be liable, and may increase or decrease based upon the actual extent and nature of the remediation required, the actual cost of the remediation, the expenses of the regulatory process, the costs of post-remediation monitoring requirements, inflation and other items. We have periodically examined, and when appropriate, adjusted our liability for environmental remediation to reflect our current best estimate. A change to the current estimate could result from, among other things, that the cost to implement the remediation is different than our current estimate, that the cost of future on-going monitoring efforts is different than our current estimate, and/or requirements imposed by regulato ry authorities that we did not anticipate but is nevertheless required to implement. During 2012, we revised our estimate of future remediation costs, including on-going monitoring expenses, which resulted in a reduction in the previously accrued estimate of $1,500,000 . Such amount was reflected on the consolidated statement of operations as a reduction to expenses. During the fourth quarter of 2012, upon receipt of required approvals, we commenced remediation activities, which were completed in February 2013. We received final approval from the County of San Diego Department of Environmental Health in June 2013; as a result, we reduced our liability for environmental remediation by $650,000 . |
Provision For Impairment Losses On Real Estate | Provision for Impairment Losses on Real Estate – Our real estate is carried at cost. Whenever events or changes in circumstances suggest that the carrying amount may not be recoverable, management assesses the recoverability of the carrying amount of its real estate in accordance with GAAP. Some of the events or changes in circumstances that we consider as indicators of potential impairment include: (i) a change in market conditions in the local markets where we own real estate, (ii) a change in the availability of mortgages for retail buyers or a significant change in interest rates for mortgages, (iii) a change in expected use or development plans for properties, (iv) continuing operating or cash flow losses for real estate held for investment purposes, (v) an accumulation of costs in a development property that significantly exceeds its historical basis in property held long-term and (vi) a significant weather event that may have a negative impact on the property value. We use varying methods to determine if impairment exists, such as considering indicators of potential impairment and analyzing expected future cash flows and comparing the expected future undiscounted cash flows of the property to the carrying value. The accounting estimate related to the real estate impairment evaluation is susceptible to the use of assumptions about future sales proceeds and future expenditures. For projects under development, an estimate of future cash flows on an undiscounted basis is performed using estimated future expenditures necessary to maintain the existing project and using management’s best estimates about future sales prices and planned holding periods. If a property is considered impaired, the impairment charge is determined by the amount of the property’s carrying value that exceeds its fair value. We did not record any provisions for impairment losses during the years ended December 31, 2015, 2014 and 201 3 . |
Purchase Price Allocation | Purchase Price Allocation – Under current authoritative accounting guidance, we determine whether a transaction or other event is a business combination, which requires that the assets acquired and the liabilities assumed constitute a business. Each business combination is then accounted for by applying the acquisition method of accounting. We record our investments based on the fair value of the identifiable assets acquired, intangible assets acquired, liabilities assumed and any noncontrolling interest in the acquired entity, as well as recognizing and measuring goodwill or a gain from a bargain purchase at the acquisition date. Assets are recorded at fair value using appraisals and valuations performed by management and independent third parties. Fair values are based on the exit price (i.e. the price that would be received in an orderly transaction to sell an asset or transfer a liability between market participants at the measurement date). We evaluate several factors, including market data for similar assets, expected cash flows discounted at risk adjusted rates and replacement cost for the assets to determine an appropriate exit cost when evaluating the fair value of our assets. We immediately expense acquisition-related costs and fees associated with business combinations. |
Real Estate | Real Estate – Real estate includes all expenditures incurred in connection with the acquisition, development and construction of the property, including interest paid to third parties and property taxes. At acquisition, land costs are allocated to individual parcel s or lots based on relative fair values or specific identification. Subsequent to acquisition, substantially all development costs are specifically identifiable to individual parcels or lots, or are considered allocated costs that are allocated principally based on relative sales value (principally property taxes, legal fees and consulting fees). Capitalized land costs are charged to cost of sales at the time that revenue is recognized. For Real estate held for investment, maintenance costs are expensed when incurred and depreciation is expensed on a straight-line basis over the estimated useful life of the assets or, if less, the term of the underlying lease. |
Cash And Cash Equivalents | Cash and Cash Equivalents – Cash equivalents are money market accounts and short ‑term, highly liquid investments that have maturities of less than three months at the time of acquisition. |
Restricted Cash | Restricted Cash – Restricted cash consists of amounts escrowe d pursuant to the terms of our Purchase A greement related to BRP Leasing's obligation under the master lease with Brooklyn Renaissance Plaza. Also included in restricted cash are funds held in an interest bearing bank account serving as collateral for a letter of credit for the benefit of the City of Myrtle Beach related to future development improvements planned at The Market Common. |
Investments | Investments – Investments with maturities equal to or greater than three months at the time of acquisition and classified as available for sale are carried at fair value with unrealized gains and losses reflected as a separate component of shareholders’ equity, net of taxes. The cost of securities sold is based on specific identification. We have one investment security that is classified as a held-to-maturity investment, which we have the intention to hold to maturity and the ability to do so. It is carried at cost, less impairments, plus accreted interest. We evaluate investments with unrealized losses to determine if they experienced an other-than-temporary impairment. This evaluation is based on various factors, including length of time securities were in a loss position, ability and intent to hold investments until unrealized loss es are recovered or they mature and amount of the unrealized loss. See Note 3 for more information. |
Fair Value Hierarchy | Fair Value Hierarchy-- In determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs reflect our assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. We apply a hierarchy to categorize our fair value measurements broken down into three levels based on the transparency of inputs as follows: Level 1: Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level 2: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these financial instruments include cash instruments for which quoted prices are available but traded less frequently, derivative instruments whose fair value have been derived using a model where inputs to the model are directly observable in the market, or can be derived principally from or corroborated by observable market data, and instruments that are fair valued using other financial instruments, the parameters of which can be directly observed. Level 3: Instruments that have little to no pricing observability as of the reported date. These financial instruments are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. Investments available for sale are valued at quoted market prices. Certain financial instruments have bid and ask prices that can be observed in the marketplace. For financial instruments whose inputs are based on bid-ask prices, the financial instrument is valued at the point within the bid-ask range that meets our best estimate of fair value. We use prices and inputs that are current as of the measurement date. For financial instruments that do not have readily determinable fair values using quoted market prices, the determination of fair value is based upon consideration of available information, including types of financial instruments, current financial information, restrictions on dispositions, fair values of underlying financial instruments and quotations for similar instruments. The valuation of financial instruments may include the use of valuation models and other techniques. Adjustments to valuations derived from valuation models may be made when, in management’s judgment, features of the financial instrument such as its complexity, the market in which the financial instrument is traded and risk uncertainties about market conditions require that an adjustment be made to the value derived from the models. Adjustments from the price derived from a valuation model reflect management’s judgment that other participants in the market for the financial instrument being measured at fair value would also consider in valuing that same financial instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. The availability of observable inputs can vary and is affected by a wide variety of factors, including, for example, the type of financial instrument and market conditions. As the observability of prices and inputs may change for a financial instrument from period to period, this condition may cause a transfer of an instrument among the fair value hierarchy levels. Transfers among the levels are recognized at the beginning of each period. The degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. |
Equity Method Investments | Equity Method Investments – In situations where we have significant influence, but not control, of an entity we apply the equity method of accounting. Under the equity method of accounting, our share of the investee’s underlying net income or loss is recorded as income (loss) from equity method investments. The recognition of our share of the investees’ results takes into account any special rights or priorities of investors; accordingly, we employ the hypothetical liquidation at book value model to calculate our share of the investees’ profits or losses , and additionally, amortizing the difference b etween the fair value of the assets at the date of acquisition and the hist orical book basis over the remaining useful life of each asset, to calculate our share of the investment . Our equity interests in Brooklyn Renaissance Plaza are the only investments accounted for under the equity method of accounting. We are required to periodically compare an investment’s carrying value to its estimated fair value. We would recognize an impairment charge if the carrying value exceeds the estimated fair value and is determined to be other than temporary. |
Allowance For Doubtful Accounts | Allowance For Doubtful Accounts - We provide an allowance for doubtful accounts against the portion of accounts receivable, including straight-line rents, which is estimated to be uncollectible. Such allowances are reviewed periodically based upon our recovery experience. |
Deferred Leasing Commissions | Deferred Leasing Commissions - Deferred leasing commissions represent costs to obtain tenants at our retail and office rental properties. We amortize these charges over the original term of the lease and are reflected in Depreciation and amortization expense. |
Intangible Assets (Liabilities), Net | Intangible Assets (Liabilities), Net – Intangibles includes above market lease value and lease in place value as assets and below market lease value as a liability, all recorded at fair value at the date o f Acquisition. Above market lease value is amortized on a straight-line basis over the remaining term of the underlying leases , and below market lease values are amortized on a straight-line basis over the initial terms plus the terms of any below market renewal options of the underlying lease s and is included in Rental income. Lease in place value is amortized over the term of the underlying lease and is included in Depreciation and amortization expense. Intangible assets are reviewed for impairment on an interim basis when certain events or circumstances exist, primarily changes in the underlying lease. An intangible asset with an indefinite useful life is not amortized but assessed for impairment annually, or more frequently, when certain events or circumstances exist indicating an assessment for impairment is necessary. Impairment exists when the carrying amount exceeds its fair value. Fair value will be determined using valuation techniques consistent with what a market participant would use. |
Sales Of Real Estate | Sales of Real Estate – Revenues from real estate sales are recognized when a sale is closed and title transfers to the buyer, the buyer’s initial investment is adequate, any receivables are probable of collection and the usual risks and rewards of ownership have been transferred to the buyer. |
Rental Income | Rental Income – Rental income is recognized on a straight-line basis over the terms of the leases. Any rent payments received in excess of the amounts recognized as revenue are deferred and reflected as D eferr ed revenue in the consolidated balance sheets. For those leases that provide for billing of common area maintenance, such revenue is recognized in the period that the related estimated expenses are incurred based upon the tenant lease provision. At December 31, 2015, we recorded a reduction of $150,000 to Rental income and Accounts receivable related to the straight-line calculation of rental income in 2014. This out of period adjustment does not have a material impact on rental income, net income or accounts receivable as of and for the years ending December 31, 2015 and 2014. |
Recognition Of Fee Income | Recognition of Fee Income – We may be contractually entitled to receive co-op marketing and advertising fees that are due when builders sell homes. These fees are generally based upon a fixed percentage of the homes’ selling price and are recorded as revenue when the home is sold. |
Revenue And Profit Sharing Arrangements | Revenue and Profit Sharing Arrangements – Certain of our lot purchase agreements with homebuilders include provisions that entitle us to a share of the revenues or profits realized by the homebuilders upon their sale of the homes, after certain thresholds are achieved. The actual amount which could be received by us is generally based on a formula and other specified criteria contained in the lot purchase agreements, and are generally not payable and cannot be determined with reasonable certainty until the builder has completed the sale of a substantial portion of the homes covered by the lot purchase agreement. Our policy is to accrue revenue earned pursuant to these agreements when amounts are fully earned and payable pursuant to the lot purchase agre ements, which is recorded as S ales of real estate. Any amounts received from homebuilders prior to then are deferred. |
Option Deposits | Option Deposits – Option payments received from prospective buyers are recognized as liabilities until the title of the real estate is transferred or the option is forfeited, or in the case of refundable deposits, the prospective buyer decides not to purchase the real estate and the deposit is returned. |
Capitalization Of Interest, Payroll And Real Estate Taxes | Capitalization of Interest , Payroll and Real Estate Taxes – Interest , payroll related to construction and real estate taxes attributable to land and property construction are capitalized and added to the cost of those properties when active development begins and ends when the property development is fully completed and ready for its intended use. |
Debt Discount And Issuance Costs | Debt discount and issuance costs – We net the debt discount and issuance costs against the carrying value of the debt. These costs are amortized as capitalized expenditures on a straight-line basis, which approximates the effective interest method, over the life of the respective debt liability. |
Farming Revenues And Expenses | Farming Revenues and Expenses – Income from farming related activities are recognized when grapes are sold, and expenses from farming related activities are recognized when incurred. |
Share-Based Compensation | Share-Based Compensation – The cost of all share-based payments to employees, including grants of employee stock options and warrants, are recognized in the financial statements based on their fair values. The cost is recognized as an expense over the vesting period of the award on the straight-line basis . The fair value of each award is estimated at the date of grant using the Black-Scholes option pricing model. |
Recently Adopted Or Issued Accounting Pronouncements | Recently Adopted or Issued Accounting Pronouncements – In January 2015, we adopted new Financial Accounting Standards Board (“FASB”) guidance on the reporting of discontinued operations. The new guidance requires that disposal of a component of an entity or a group of components of an entity be reported as discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, and would require expanded disclosures. The adoption of this guidance did not have an impact on our consolidated financial statements. In May 2014, the FASB issued new guidance that defines how companies report revenues from contracts with customers, and also requires enhanced disclosures. The core principle of this new guidance 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 and services. This guidance originally was effective for interim and annual periods beginning after December 15, 2016. In July 2015, the FASB confirmed a deferral of the effective date by one year, with early adoption on the original effective date permitted. We are currently evaluating the impact this new guidance will have on our consolidated financial statements. In February 2015, the FASB issued new guidance that amends current consolidation guidance including changes to both the variable and voting interest models used to evaluate whether an entity should be consolidated. This guidance also eliminates the deferral of certain consolidation standards for entities considered to be investment companies. This guidance will be effective for annual and interim periods beginning after December 15, 2015, and early adoption is permitted. We are evaluating the impact this new guidance will have on our consolidated financial statements. In April 2015, the FASB issued new guidance that requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance will be effective for annual and interim periods beginning after 2015; however, early adoption is permitted, and we early adopted it during the second quarter of 2015 . |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Acquisition [Abstract] | |
Schedule Of Allocation Of Purchase Price To Assets Acquired And Liabilities Assumed | Assets Real estate held for development $ 38,292 Real estate held for investment 41,187 Cash 13,983 Restricted cash 1,096 Investment held to maturity 10,619 Equity method investments 102,743 Intangible assets 14,960 Accounts receivable, deposits and other assets 14,225 Total assets $ 237,105 Liabilities Accounts payable 2,023 Below market lease contract intangibles 5,588 Net deferred tax liability 11,843 Other liabilities 232 Total liabilities 19,686 Noncontrolling interests 1,710 Net assets acquired $ 215,709 |
Schedule Of Acquired Finite-Lived Intangible Assets | Amortization Amount (in years) Above market lease contracts $ 10,874 1 to 24 Lease in place value 4,086 1 to 24 Intangible assets $ 14,960 Below market lease contracts $ 5,588 1 to 24 |
Schedule Of Proforma Information | 2014 2013 Revenues $ 64,604 $ 80,317 Net income (loss) attributable to HomeFed common shareholders $ 3,454 $ 7,188 Basic and diluted earnings (loss) per common share attributable to HomeFed common shareholders $ 0.22 $ 0.47 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Investments [Abstract] | |
Schedule Of Available For Sale Investments | Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Gross Gross for Observable Total Par Amortized Unrealized Unrealized Identical Assets Inputs Fair Value Value Cost Gains Losses (Level 1) (Level 2) Measurements December 31, 2014 U.S. Treasury securities $ 35,900 $ 35,897 $ 1 $ - $ 35,898 $ - $ 35,898 |
Schedule Of Held To Maturity Securities | Fair Value Measurements Using Quoted Prices in Significant Active Markets Other for Observable Unobservable Total Par Amortized Identical Assets Inputs Inputs Fair Value Value Cost (Level 1) (Level 2) (Level 3) Measurements December 31, 2015 Non-public bond $ 10,050 $ 10,603 $ - $ - $ 11,538 $ 11,538 December 31, 2014 Non-public bond $ 10,050 $ 11,368 $ - $ - $ 11,368 $ 11,368 |
Real Estate (Tables)
Real Estate (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Real Estate [Abstract] | |
Schedule Of Real Estate | December 31, 2015 2014 Real estate held for development: Otay Land project $ 203,375 $ 41,809 San Elijo Hills project 21,500 27,080 Pacho project 17,983 17,496 Fanita Ranch property 17,035 15,440 SweetBay project 15,976 10,717 Ashville Park project 7,884 8,616 The Market Common 7,820 6,909 Rampage property 6,211 6,211 Maine projects 3,899 9,023 Total $ 301,683 $ 143,301 Real estate held for investment, gross Land: The Market Common $ 3,744 $ 3,744 Maine projects 2 474 Buildings: The Market Common 35,783 35,783 San Elijo Hills project 4,045 4,045 Maine projects 216 663 SweetBay project 523 523 Tenant improvements: The Market Common 1,570 1,269 San Elijo Hills project 475 475 46,358 46,976 Less: Accumulated depreciation (3,011) (1,792) Real estate held for investment, net $ 43,347 $ 45,184 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets, Net [Abstract] | |
Schedule Of Intangible Assets | December 31, December 31, Amortization 2015 2014 (in years) Above market lease contracts, net of accumulated amortization of $3,969 and $1,722 $ 6,905 $ 9,151 1 to 24 Lease in place value, net of accumulated amortization of $1,811 and $1,041 2,274 3,045 1 to 24 Intangible assets, net $ 9,179 $ 12,196 Below market lease contracts, net of accumulated amortization of $2,016 and $828 $ 3,572 $ 4,760 1 to 24 |
Equity Method Investments (Tabl
Equity Method Investments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity Method Investments [Abstract] | |
Schedule of Equity Method Investments | December 31, December 31, 2015 2014 BRP Holding $ 74,753 $ 76,478 BRP Hotel 25,338 24,750 Total $ 100,091 $ 101,228 |
Schedule of Income (Loss) Related To Equity Investment | 2015 2014 BRP Holding $ (1,725) $ (847) BRP Hotel 588 549 Total $ (1,137) $ (298) |
Schedule Of Equity Method Investments Summarized Financial Information | 2015 2014 Assets $ 224,200 $ 220,926 Liabilities $ 208,116 $ 213,061 Total revenues $ 99,778 $ 102,637 Income from continuing operations before extraordinary items $ 8,220 $ 7,084 Net income $ 8,220 $ 7,084 Our (losses) related to equity investment companies $ (1,137) $ (298) |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Stock Incentive Plans [Abstract] | |
Schedule Of Option Activity | Weighted- Common Weighted- Average Shares Average Remaining Aggregate Subject to Exercise Contractual Intrinsic Option Price Term Value Balance at January 1, 2013 96,500 $ 25.19 Granted 6,000 $ 32.30 Cancelled (8,000) $ 36.44 Balance at December 31, 2013 94,500 $ 24.69 Granted 7,000 $ 58.00 Exercised (8,000) $ 23.50 $ 266,850 Balance at December 31, 2014 93,500 $ 27.29 Granted 7,000 $ 47.85 Exercised (20,000) $ 24.00 $ 418,240 Cancelled (1,000) $ 21.00 Balance at December 31, 2015 79,500 $ 30.00 1.3 years $ 585,875 Exercisable at December 31, 2015 62,750 $ 25.74 0.6 years $ 563,075 |
Summary Of Weighted-Average Assumptions | 2015 2014 2013 Risk free rate 1.56% 1.48% 1.20% Expected volatility 24.65% 29.60% 30.85% Expected dividend yield 0.0% 0.0% 0.0% Expected life 4.3 years 4.3 years 4.3 years Fair value per grant $ 10.90 $ 15.34 $ 8.70 |
Sales Of Real Estate (Tables)
Sales Of Real Estate (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Sales Of Real Estate [Abstract] | |
Schedule Of Real Estate Sales Activity | 2015 2014 2013 San Elijo Hills project: Developed lots $ 22,064 $ 10,468 $ 37,370 Single family homes - 15,279 - Revenues from profit sharing agreements - 1,784 - Residential condominium units at San Elijo Hills - - 689 Ashville Park project: Developed lots 6,562 6,298 12,038 Maine: Developed lots 7,475 - - Buildings 1,683 - - The Market Common: Developed lots 1,558 1,241 - Revenues from profit sharing agreements 1,252 567 - Total $ 40,594 $ 35,637 $ 50,097 |
Schedule Of Changes In Deferred Revenue | 2015 2014 Deferred revenue balance at January 1, $ 2,528 $ 2,739 Revenue deferred on the date of sale 1,769 1,062 Deferred revenue recognized in operations (1,963) (1,273) Deferred revenue balance at December 31, $ 2,334 $ 2,528 |
Other Results Of Operations (Ta
Other Results Of Operations (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Results Of Operations [Abstract] | |
Schedule Of Interest And Other Income | 2015 2014 2013 Interest income $ 1,198 $ 914 $ 55 Gain on settlement of a lawsuit - - 764 Management fee income from Leucadia 60 45 - Income from utility service agreement 229 - - Other 128 115 70 Total $ 1,615 $ 1,074 $ 889 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Schedule Of Components Of Income Tax Benefit (Provision) | 2015 2014 2013 Current taxes: Federal $ 3,370 $ 1,501 $ 2,905 State and local 1,569 428 1,212 Total current income taxes 4,939 1,929 4,117 Deferred taxes: Federal (2,836) (410) 2,041 State and local 153 (36) 340 Total deferred income taxes (2,683) (446) 2,381 Provision for income taxes $ 2,256 $ 1,483 $ 6,498 |
Reconciliation Of Effective Tax Provision | 2015 2014 2013 Expected federal income tax provision $ 3,066 $ 2,175 $ 6,721 State income taxes, net of federal income tax benefit 1,119 255 1,009 Decrease in valuation allowance (1,556) (897) (1,360) Permanent difference on tax exempt municipal bond interest (264) (202) - Permanent difference on real estate donation (157) - - Other permanent differences 49 87 77 Other (1) 65 51 Actual income tax provision $ 2,256 $ 1,483 $ 6,498 |
Schedule Of Deferred Tax Assets | 2015 2014 Deferred Tax Asset: Minimum tax credit carryovers 31,846 34,311 Land basis $ 1,906 $ 2,423 BRP equity interest 6,325 - Other, net 1,648 1,589 41,725 38,323 Valuation allowance (31,846) (33,402) 9,879 4,921 Deferred Tax Liability: Buildings (6,302) (6,930) Leaseholds (2,959) (2,975) (9,261) (9,905) Net deferred tax asset (liability) $ 618 $ (4,984) |
Changes In Unrecognized Tax Benefits | Unrecognized Tax Benefits Interest Total Balance, January 1, 2015 $ - $ - $ - Increases based on tax positions related to current period 2,936 - 2,936 Interest expense recognized - 40 40 Balance, December 31, 2015 $ 2,936 $ 40 $ 2,976 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator For Loss Per Common Share | Basic earnings per share of common stock was calculated by dividing net income by the sum of the weighted average number of common shares outstanding, and for diluted earnings per share, the incremental weighted average number of shares issuable upon exercise of outstanding options for the periods they were outstanding. The treasury stock method is used for these calculations. The numerators and denominators used to calculate basic and diluted earnings per share for 2015, 2014 and 2013 are as follows (in thousands): 2015 2014 2013 Numerator – net income attributable to HomeFed Corporation common shareholders $ 5,835 $ 3,886 $ 11,268 Denominator for basic earnings per share– weighted average shares 15,396 13,364 7,880 Stock options 30 38 13 Denominator for diluted earnings per share– weighted average shares 15,426 13,402 7,893 |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments And Contingencies [Abstract] | |
Schedule Of Future Minimum Rental Payments Receivables From Real Estate Held For Investment | 2016 $ 4,586 2017 4,449 2018 3,371 2019 2,683 2020 2,504 Thereafter 15,119 $ 32,712 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Schedule Of Future Minimum Annual Rental Income | 2016 $ 12,129 2017 12,299 2018 10,266 2019 - 2020 - Thereafter - $ 34,694 |
Schedule Of Future Minimum Annual Rental Expense | 2016 $ 7,561 2017 7,561 2018 6,301 2019 - 2020 - Thereafter - $ 21,423 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value [Abstract] | |
Schedule Of Carrying Amounts And Estimated Fair Values | The carrying amounts and estimated fair values of our principal financial instruments that are not recognized on a recurring basis are as follows (in thousands): December 31, 2015 Carrying Fair Amount Value Financial Liabilities: Long-term debt (a) $ 116,010 $ 117,447 (a) The fair value of the long-term debt was determined by utilizing available market data inputs that are considered level 2 inputs. Quoted prices are available but trading is infrequent. We utilized the available market data based on the quoted market prices to determine an average fair market value over the last 10 business days of the reporting period . |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Information [Abstract] | |
Schedule Of Segment Reporting | 2015 2014 2013 (in thousands) Revenues: Real estate $ 64,484 $ 54,294 $ 51,738 Farming 5,042 5,199 5,054 Corporate 12 12 12 Total consolidated revenues $ 69,538 $ 59,505 $ 56,804 Income (loss) from continuing operations before income taxes and noncontrolling interest: Real estate $ 16,137 $ 14,470 $ 24,822 Farming 1,242 1,719 1,899 Corporate (8,620) (9,974) (7,519) Total consolidated income from continuing operations before income taxes and noncontrolling interest $ 8,759 $ 6,215 $ 19,202 Depreciation and amortization expenses: Real estate $ 3,999 $ 3,781 $ 191 Farming 161 49 - Corporate 33 27 48 Total consolidated depreciation and amortization expenses $ 4,193 $ 3,857 $ 239 Identifiable assets employed: Real estate $ 522,410 378,170 Farming 12,894 11,531 Corporate 20,007 43,488 Total consolidated assets $ 555,311 433,189 |
Selected Quarterly Financial 43
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Data [Abstract] | |
Schedule Of Quarterly Financial Data | First Second Third Fourth Quarter Quarter Quarter Quarter (In thousands, except per share amounts) 2015: Sales of real estate $ 940 $ 1,841 $ 8,773 $ 29,040 Rental income $ 5,458 $ 5,876 $ 6,068 $ 5,808 Farming revenues $ - $ - $ 4,988 $ 54 Co-op marketing and advertising fees $ 153 $ 217 $ 193 $ 129 Cost of sales $ 264 $ 1,346 $ 6,561 $ 14,072 Farming expenses $ 898 $ 870 $ 1,226 $ 473 Income (loss) from operations $ (5,825) $ (2,997) $ 2,944 $ 13,022 Net income (loss) attributable to HomeFed Corporation common shareholders $ (3,237) $ (1,475) $ 2,069 $ 8,478 Basic earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.21) $ (0.10) $ 0.13 $ 0.55 Diluted earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.21) $ (0.10) $ 0.13 $ 0.55 2014: Sales of real estate $ 2,622 $ 16,708 $ 2,632 $ 13,675 Rental income $ 287 $ 5,591 $ 6,004 $ 5,741 Farming revenues $ - $ - $ 4,600 $ 599 Co-op marketing and advertising fees $ 278 $ 290 $ 216 $ 262 Cost of sales $ 1,350 $ 10,920 $ 308 $ 6,015 Farming expenses $ 991 $ 934 $ 980 $ 409 Income (loss) from operations $ (3,282) $ 2,354 $ 2,526 $ 3,543 Net income (loss) attributable to HomeFed Corporation common shareholders $ (1,981) $ 1,255 $ 1,554 $ 3,058 Basic earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.24) $ 0.08 $ 0.10 $ 0.20 Diluted earnings (loss) per common share attributable to HomeFed Corporation shareholders $ (0.24) $ 0.08 $ 0.10 $ 0.20 |
Summary Of Significant Accoun44
Summary Of Significant Accounting Policies (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Jun. 30, 2013USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2015USD ($)a | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2002USD ($) | Sep. 30, 2015USD ($) | |
Summary Of Significant Accounting Policies [Abstract] | ||||||||
Deferred tax valuation allowance was released as a credit to income tax expense | $ 1,550,000 | $ 900,000 | $ 1,350,000 | |||||
Unrecognized tax benefits | $ 2,976,000 | 2,976,000 | 0 | $ 2,550,000 | ||||
Increase in unrecognized tax benefits | 400,000 | |||||||
Accrued interest expense | $ 40,000 | $ 40,000 | ||||||
Environmental remediation charge | $ 11,150,000 | |||||||
Area of land related to environmental remediation | a | 30 | |||||||
Reduction in rental income | $ 150,000 | |||||||
Reduction in the previously accrued environmental remediation amount | $ 650,000 | $ 1,500,000 | ||||||
Provision for impairment losses on real estate | $ 0 | $ 0 | $ 0 |
Acquisition (Narrative) (Detail
Acquisition (Narrative) (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2015USD ($)ft²aitem$ / sharesshares | Dec. 31, 2014USD ($) | |
Business Acquisition [Line Items] | ||
Shares issued to acquire assets | shares | 7,500,000 | |
Cash payments net of cash acquired | $ 14,000 | |
Cash acquired as part of working capital | $ 1,500 | |
Shares issued to acquire entity | shares | 6,986,337 | |
Shares issued to acquire entity, subject to approval | shares | 513,663 | |
Aggregate purchase price | $ 215,700 | |
Aggregate purchase price per share | $ / shares | $ 29 | |
Consolidated statement of operations for acquired assets, aggregate revenues | $ 34,650 | $ 18,950 |
Consolidated statement of operations for acquired assets, pre-tax income | $ 3,150 | 800 |
Expenses related to the acquisition | $ 2,200 | |
Brooklyn Renaissance Holding Company LLC [Member] | ||
Business Acquisition [Line Items] | ||
Ownership percentage | 61.25% | |
Area of office space | ft² | 850,000 | |
Number of garage spots | item | 888 | |
Brooklyn Renaissance Hotel LLC [Member] | ||
Business Acquisition [Line Items] | ||
Ownership percentage | 25.80% | |
Number of rooms | item | 665 | |
SweetBay Project [Member] | ||
Business Acquisition [Line Items] | ||
Area of land | a | 700 | |
Maine Projects [Member] | ||
Business Acquisition [Line Items] | ||
Area of land | a | 160 | |
Pacho Limited Partnership And San Luis Bay Limited Partnership [Member] | ||
Business Acquisition [Line Items] | ||
Ownership percentage of consolidated entity | 90.00% | |
Area of land | a | 2,369 | |
Leucadia [Member] | ||
Business Acquisition [Line Items] | ||
Ownership percentage of company by investee | 31.00% | |
Leucadia [Member] | Post Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Ownership percentage of company by investee | 65.00% | |
Minimum [Member] | ||
Business Acquisition [Line Items] | ||
Discount rate | 7.00% | |
Cap rate | 6.50% | |
Maximum [Member] | ||
Business Acquisition [Line Items] | ||
Discount rate | 22.00% | |
Cap rate | 9.50% |
Acquisition (Schedule Of Alloca
Acquisition (Schedule Of Allocation Of Purchase Price To Assets Acquired And Liabilities Assumed) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Acquisition [Abstract] | |
Real estate held for development | $ 38,292 |
Real estate held for investment | 41,187 |
Cash | 13,983 |
Restricted cash | 1,096 |
Investment held to maturity | 10,619 |
Equity method investments | 102,743 |
Intangible assets | 14,960 |
Accounts receivable, deposits and other assets | 14,225 |
Total assets | 237,105 |
Accounts Payable | 2,023 |
Below market lease contract intangibles | 5,588 |
Net deferred tax liability | 11,843 |
Other liabilities | 232 |
Total liabilities | 19,686 |
Noncontrolling interests | 1,710 |
Net assets acquired | $ 215,709 |
Acquisition (Schedule Of Acquir
Acquisition (Schedule Of Acquired Finite-Lived Intangible Assets) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 14,960 |
Below market lease contracts | 5,588 |
Above Market Lease Contracts [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | 10,874 |
Leases In Place Value [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 4,086 |
Minimum [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Below market lease contracts, amortization period | 1 year |
Minimum [Member] | Above Market Lease Contracts [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, amortization period | 1 year |
Minimum [Member] | Leases In Place Value [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, amortization period | 1 year |
Maximum [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Below market lease contracts, amortization period | 24 years |
Maximum [Member] | Above Market Lease Contracts [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, amortization period | 24 years |
Maximum [Member] | Leases In Place Value [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, amortization period | 24 years |
Acquisition (Schedule Of Profor
Acquisition (Schedule Of Proforma Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Acquisition [Abstract] | ||
Revenues | $ 64,604 | $ 80,317 |
Net income (loss) attributable to HomeFed common shareholders | $ 3,454 | $ 7,188 |
Basic and diluted earnings (loss) per common share attributable to HomeFed common shareholders | $ 0.22 | $ 0.47 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 28, 2014 | |
Schedule of Available-for-sale Securities [Line Items] | ||||
Proceeds from sales of investments available for sale | $ 33,097 | $ 0 | $ 0 | |
Fair value of investment | $ 10,603 | $ 11,368 | ||
Series 2006B Bonds [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Interest rate | 7.50% | |||
Expected Future cash flows discount rate | 10.00% | |||
Fair value of investment | $ 10,619 | |||
Aggregated principal amount and accrued interest | $ 12,750 | |||
Series 2006B Bonds [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Total principal amount of bonds issued by the City | $ 30,795 |
Investments (Schedule Of Availa
Investments (Schedule Of Available For Sale Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 0 | $ 35,897 |
Available-for-sale Securities, Total | 35,898 | |
US Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | 35,900 | |
Amortized Cost | 35,897 | |
Gross Unrealized Gains | $ 1 | |
Gross Unrealized Losses | ||
Available-for-sale Securities, Total | $ 35,898 | |
Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | US Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Total | $ 35,898 | |
Significant Other Observable Inputs (Level 2) [Member] | US Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Total |
Investments (Schedule Of Held T
Investments (Schedule Of Held To Maturity) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair value of investment | $ 10,603 | $ 11,368 |
Non-Public Bond [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Par Value | 10,050 | 10,050 |
Amortized Cost | 10,603 | 11,368 |
Fair value of investment | 11,538 | 11,368 |
Unobservable Inputs (Level 3) [Member] | Non-Public Bond [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair value of investment | $ 11,538 | $ 11,368 |
Real Estate (Narrative) (Detail
Real Estate (Narrative) (Details) $ in Thousands | Jul. 02, 2015USD ($)ft²aproperty | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($)aitem | Dec. 31, 2015 | Jun. 29, 2015 |
Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Area of real estate property | a | 1,600 | 64 | |||
Cash used for the purchase of real estate | $ | $ 150,000 | ||||
Cash consideration | $ | $ 3,750 | ||||
Refundable deposit on real estate | $ | $ 1,000 | ||||
Single Family Lots [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Number of single family lots entitled | property | 2,640 | ||||
Finished Single Family Lots [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Number of single family units | item | 62 | ||||
Commercial Lot [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Area of real estate property | ft² | 40,000 | ||||
Industrial Development [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Area of real estate property | a | 30 | 26 | |||
Multi-Family Lots [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Number of multi-family residential units entitled | property | 4,300 | ||||
Open Space and Preserve [Member] | Otay Land Project[Member] | |||||
Real Estate Properties [Line Items] | |||||
Area of real estate property | a | 700 | ||||
Building [Member] | Minimum [Member] | |||||
Real Estate Properties [Line Items] | |||||
Estimated useful life | 2 years | ||||
Building [Member] | Maximum [Member] | |||||
Real Estate Properties [Line Items] | |||||
Estimated useful life | 43 years | ||||
6.5 % Senior Notes due 2018 [Member] | |||||
Real Estate Properties [Line Items] | |||||
Interest rate | 6.50% |
Real Estate (Schedule Of Real E
Real Estate (Schedule Of Real Estate) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Real Estate Properties [Line Items] | ||
Held for development | $ 301,683 | $ 143,301 |
Land and buildings for real estate held For investment | 46,358 | 46,976 |
Less: Accumulated depreciation | (3,011) | (1,792) |
Real estate held for investment, net | 43,347 | 45,184 |
Otay Land Project[Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 203,375 | 41,809 |
San Elijo Hills [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 21,500 | 27,080 |
Buildings | 4,045 | 4,045 |
Tenant improvements | 475 | 475 |
Pacho [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 17,983 | 17,496 |
Fanita Ranch [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 17,035 | 15,440 |
SweetBay Project [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 15,976 | 10,717 |
Buildings | 523 | 523 |
Ashville Park [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 7,884 | 8,616 |
The Market Common [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 7,820 | 6,909 |
Held for investment | 3,744 | 3,744 |
Buildings | 35,783 | 35,783 |
Tenant improvements | 1,570 | 1,269 |
Rampage [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 6,211 | 6,211 |
Maine Projects [Member] | ||
Real Estate Properties [Line Items] | ||
Held for development | 3,899 | 9,023 |
Held for investment | 2 | 474 |
Buildings | $ 216 | $ 663 |
Intangible Assets, Net (Narrati
Intangible Assets, Net (Narrative) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Dec. 31, 2014 | Dec. 31, 2015 | |
Intangible Assets, Net [Abstract] | ||
Amortization expense | $ 1,050 | $ 750 |
Future amortization expense, intangible assets, 2016 | 550 | |
Future amortization expense, intangible assets, 2017 | 500 | |
Future amortization expense, intangible assets, 2018 | 300 | |
Future amortization expense, intangible assets, 2019 | 150 | |
Future amortization expense, intangible assets, 2020 | 100 | |
Future amortization expense, intangible assets, thereafter | $ 700 |
Intangible Assets, Net (Schedul
Intangible Assets, Net (Schedule Of Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets | $ 9,179 | $ 12,196 |
Below market lease contracts | 3,572 | 4,760 |
Below market lease contracts, Accumulated amortization | 2,016 | 828 |
Above Market Lease Contracts [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets | 6,905 | 9,151 |
Intangible assets, Accumulated amortization | (3,969) | (1,722) |
Leases In Place Value [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets | 2,274 | 3,045 |
Intangible assets, Accumulated amortization | $ 1,811 | $ 1,041 |
Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Below market lease contracts, Amortization | 1 year | |
Minimum [Member] | Above Market Lease Contracts [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, Amortization | 1 year | |
Minimum [Member] | Leases In Place Value [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, Amortization | 1 year | |
Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Below market lease contracts, Amortization | 24 years | |
Maximum [Member] | Above Market Lease Contracts [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, Amortization | 24 years | |
Maximum [Member] | Leases In Place Value [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, Amortization | 24 years |
Equity Method Investments (Narr
Equity Method Investments (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 |
BRP Holding [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, fair value | $ 77,950 | ||
Historical basis of entity | 15,250 | ||
Basis difference | $ 89,200 | $ 94,000 | |
BRP Hotel [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, fair value | 24,800 | ||
Historical basis of entity | $ 7,150 | ||
Basis difference | $ 15,200 | $ 15,450 |
Equity Method Investments (Sche
Equity Method Investments (Schedule of Equity Method Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | $ 100,091 | $ 101,228 |
BRP Holding [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | 74,753 | 76,478 |
BRP Hotel [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | $ 25,338 | $ 24,750 |
Equity Method Investments (Sc58
Equity Method Investments (Schedule of Income (Loss) Related to Equity Investment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||
Income (losses) from equity method investments | $ (1,137) | $ (298) |
BRP Holding [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (losses) from equity method investments | (1,725) | (847) |
BRP Hotel [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Income (losses) from equity method investments | $ 588 | $ 549 |
Equity Method Investments (Sc59
Equity Method Investments (Schedule Of Equity Method Investments Summarized Financial Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Equity Method Investments [Abstract] | ||
Assets | $ 224,200 | $ 220,926 |
Liabilities | 208,116 | 213,061 |
Total revenues | 99,778 | 102,637 |
Income from continuing operations before extraordinary items | 8,220 | 7,084 |
Net income | 8,220 | 7,084 |
Our (losses) related to equity investment companies | $ (1,137) | $ (298) |
Debt (Details)
Debt (Details) - USD ($) | Jun. 29, 2015 | Apr. 30, 2015 | Dec. 31, 2015 | Feb. 05, 2016 | Dec. 31, 2014 | Mar. 28, 2014 |
Debt Instrument [Line Items] | ||||||
Fair value of investment | $ 10,603,000 | $ 11,368,000 | ||||
Repayment of debt | 7,274,000 | |||||
Payment of accrued interest | 145,000 | |||||
Capitalized interest on real estate held for development | 4,650,000 | |||||
Debt issuance costs | 750,000 | |||||
Debt discount | 1,000,000 | |||||
Mandatory redemptions of long-term debt, 2016 | 618,000 | |||||
Mandatory redemptions of long-term debt, 2017 | 0 | |||||
Mandatory redemptions of long-term debt, 2018 | 117,108,000 | |||||
Mandatory redemptions of long-term debt, 2019 | 0 | |||||
Mandatory redemptions of long-term debt, 2020 | 0 | |||||
Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility | $ 15,000,000 | 15,000,000 | ||||
Operational Line of Credit [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility | $ 3,000,000 | |||||
LIBOR [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Spread on variable rate | 2.60% | |||||
Secured Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum amount allowed to borrow under debt covenants | $ 35,000,000 | |||||
6.5 % Senior Notes due 2018 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum amount allowed to borrow under debt covenants | $ 125,000,000 | |||||
Interest rate | 6.50% | |||||
Debt purchase price | 99.00% | |||||
Fee amount as percentage | 0.50% | |||||
Fee amount as percentage on first and second anniversary | 0.50% | |||||
Redemption price percentage | 100.00% | |||||
Redemption price percentage after change of control | 101.00% | |||||
Subsequent Event [Member] | Operational Line of Credit [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Amount outstanding | $ 0 | |||||
Series 2006B Bonds [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Fair value of investment | $ 10,619,000 | |||||
Expected Future cash flows discount rate | 10.00% | |||||
Interest rate | 7.50% |
Noncontrolling Interest (Detail
Noncontrolling Interest (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2012 | Jun. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | |
Noncontrolling Interest [Line Items] | ||||
Dividends declared and distributed by subsidiary | $ 22,000,000 | |||
Distributions to noncontrolling interests | $ 3,300,000 | $ 3,300,000 | ||
Noncontrolling interest | $ 10,019,000 | $ 12,651,000 | ||
CDS Devco, Inc. [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Previous ownership percentage of San Elijo Ranch, Inc. | 68.00% | |||
Percentage of future cash flows entitled to noncontrolling interests | 20.00% | |||
Acquisition of noncontrolling interest | $ 5,000,000 | |||
Difference between amount paid and recorded for noncontrolling interest | $ 4,450,000 | |||
San Elijo Ranch, Inc. [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership percentage of noncontrolling interest | 85.00% | |||
Rate of return on advances to subsidiary | 12.00% | |||
Noncontrolling interest | $ 8,400,000 | |||
Percentage of future cash flows entitled to noncontrolling interests | 15.00% | |||
Pacho Limited Partnership [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership percentage of noncontrolling interest | 10.00% | |||
Noncontrolling interest | $ 1,650,000 |
Stock Incentive Plans (Narrativ
Stock Incentive Plans (Narrative) (Details) - USD ($) | 12 Months Ended | |||||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 1999 | Aug. 31, 2004 | Jul. 31, 2004 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Maximum grants available per employee | 30,000 | |||||||
Common stock available for grant | 300,000 | |||||||
Number of shares available for grant | 392,400 | |||||||
Compensation costs related to stock incentive plans | $ 120,000 | $ 200,000 | $ 190,000 | |||||
Impact of compensation costs related to stock incentive plans on net income | 70,000 | $ 120,000 | $ 110,000 | |||||
Total unrecognized compensation cost | $ 150,000 | |||||||
Weighted-average period of recognition for total unrecognized compensation cost | 1 year 6 months | |||||||
Number of shares authorized for repurchase | 500,000 | |||||||
Common stock repurchased, shares | 478 | 394,931 | ||||||
Purchase of common shares for treasury | $ 5,900,000 | |||||||
Remaining number of shares authorized for repurchase | 104,591 | |||||||
Minimum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of fair market value allowed for the issuance of options and rights | 100.00% | |||||||
Director [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Automatic annual grant to directors | 1,000 | |||||||
Instalment period | 4 years | |||||||
Term until first instalment of vesting becomes exercisable | 1 year | |||||||
Term until expiration | 5 years | |||||||
Employees And Certain Non-Employees [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Instalment period | 5 years | |||||||
Term until first instalment of vesting becomes exercisable | 1 year | |||||||
Term until expiration | 6 years | |||||||
Restricted Stock Units [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common stock available for grant | 100,000 |
Stock Incentive Plans (Schedule
Stock Incentive Plans (Schedule Of Option Activity) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Stock Incentive Plans [Abstract] | |||
Common Shares Subject to Option, Balance | 93,500 | 94,500 | 96,500 |
Common Shares Subject to Option, Granted | 7,000 | 7,000 | 6,000 |
Common Shares Subject to Option, Exercised | (20,000) | (8,000) | |
Common Shares Subject to Option, Cancelled | (1,000) | (8,000) | |
Common Shares Subject to Option, Balance | 79,500 | 93,500 | 94,500 |
Common Shares Subject to Option, Exercisable at December 31, 2015 | 62,750 | ||
Weighted-Average Exercise Price, Balance | $ 27.29 | $ 24.69 | $ 25.19 |
Weighted-Average Exercise Price, Granted | 47.85 | 58 | 32.30 |
Weighted-Average Exercise Price, Exercised | 24 | 23.50 | |
Weighted-Average Exercise Price, Cancelled | 21 | 36.44 | |
Weighted-Average Exercise Price, Balance | 30 | $ 27.29 | $ 24.69 |
Weighted-Average Exercise Price, Exercisable at December 31, 2015 | $ 25.74 | ||
Weighted Average Remaining Contractual Term, Balance at December 31, 2015 | 1 year 3 months 18 days | ||
Weighted Average Remaining Contractual Term, Exercisable at December 31, 2015 | 7 months 6 days | ||
Aggregate Intrinsic Value, Exercised | $ 418,240 | $ 266,850 | |
Aggregate Intrinsic Value, Balance at December 31, 2015 | 585,875 | ||
Aggregate Intrinsic Value, Exercisable at December 31, 2015 | $ 563,075 |
Stock Incentive Plans (Summary
Stock Incentive Plans (Summary Of Weighted-Average Assumptions) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Stock Incentive Plans [Abstract] | |||
Risk free interest rate | 1.56% | 1.48% | 1.20% |
Expected volatility | 24.65% | 29.60% | 30.85% |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Expected life | 4 years 3 months 18 days | 4 years 3 months 18 days | 4 years 3 months 18 days |
Fair value per grant | $ 10.90 | $ 15.34 | $ 8.70 |
Sales Of Real Estate (Narrative
Sales Of Real Estate (Narrative) (Details) | Feb. 05, 2016USD ($)property | Dec. 31, 2015USD ($) |
Real Estate Properties [Line Items] | ||
Estimated costs to complete construction, including common areas | $ 1,250,000 | |
The Market Common [Member] | Subsequent Event [Member] | ||
Real Estate Properties [Line Items] | ||
Non-refundable option payment received | $ 25,000 | |
Single Family Lots [Member] | The Market Common [Member] | Subsequent Event [Member] | ||
Real Estate Properties [Line Items] | ||
Number of real estate lots agreed to sell | property | 52 | |
Sales price of real estate lots contracted to sell | $ 2,350,000 | |
Multi-Family Lots [Member] | The Market Common [Member] | Subsequent Event [Member] | ||
Real Estate Properties [Line Items] | ||
Number of real estate lots agreed to sell | property | 87 | |
Sales price of real estate lots contracted to sell | $ 1,450,000 |
Sales Of Real Estate (Schedule
Sales Of Real Estate (Schedule Of Real Estate Sales Activity) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | $ 29,040 | $ 8,773 | $ 1,841 | $ 940 | $ 13,675 | $ 2,632 | $ 16,708 | $ 2,622 | $ 40,594 | $ 35,637 | $ 50,097 |
Developed Lots [Member] | San Elijo Hills [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 22,064 | 10,468 | 37,370 | ||||||||
Developed Lots [Member] | Ashville Park [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 6,562 | 6,298 | 12,038 | ||||||||
Developed Lots [Member] | Maine Projects [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 7,475 | ||||||||||
Developed Lots [Member] | The Market Common [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 1,558 | 1,241 | |||||||||
Single Family Homes [Member] | San Elijo Hills [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 15,279 | ||||||||||
Revenues From Profit Sharing Agreements [Member] | San Elijo Hills [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 1,784 | ||||||||||
Revenues From Profit Sharing Agreements [Member] | The Market Common [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | 1,252 | $ 567 | |||||||||
Residential Condominium Unit [Member] | San Elijo Hills [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | $ 689 | ||||||||||
Building [Member] | Maine Projects [Member] | |||||||||||
Real Estate Properties [Line Items] | |||||||||||
Sales of real estate | $ 1,683 |
Sales Of Real Estate (Schedul67
Sales Of Real Estate (Schedule Of Changes In Deferred Revenue) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Sales Of Real Estate [Abstract] | ||
Deferred Revenue, Beginning Balance | $ 2,528 | $ 2,739 |
Revenue deferred on the date of sale | 1,769 | 1,062 |
Deferred revenue recognized in operations | (1,963) | (1,273) |
Deferred Revenue, Ending Balance | $ 2,334 | $ 2,528 |
Other Results Of Operations (Na
Other Results Of Operations (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Results Of Operations [Abstract] | |||
Advertising costs | $ 700,000 | $ 600,000 | $ 650,000 |
Other Results Of Operations (Sc
Other Results Of Operations (Schedule Of Interest And Other Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Results Of Operations [Abstract] | |||
Interest income | $ 1,198 | $ 914 | $ 55 |
Gain on settlement of a lawsuit | 764 | ||
Management fee income from Leucadia | 60 | 45 | |
Income from utility service agreement | 229 | ||
Other | 128 | 115 | 70 |
Total | $ 1,615 | $ 1,074 | $ 889 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | |
Income Taxes [Abstract] | |||||
Unrecognized tax benefits | $ 2,976,000 | $ 2,976,000 | $ 0 | $ 2,550,000 | |
Increase in unrecognized tax benefits | $ 400,000 | ||||
Increase in deferred tax valuation allowance | $ 1,550,000 | $ 900,000 | $ 1,350,000 | ||
Alternative minimum tax rate | 20.00% | ||||
Taxable income necessary to utilize all alternative minimum tax credits | $ 210,000,000 |
Income Taxes (Schedule Of Compo
Income Taxes (Schedule Of Components Of Income Tax Benefit (Provision)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Current taxes: Federal | $ 3,370 | $ 1,501 | $ 2,905 |
Current taxes: State and local | 1,569 | 428 | 1,212 |
Total current income taxes | 4,939 | 1,929 | 4,117 |
Deferred taxes: Federal | (2,836) | (410) | 2,041 |
Deferred taxes: State and local | 153 | (36) | 340 |
Total deferred income taxes | (2,683) | (446) | 2,381 |
Income tax provision | $ 2,256 | $ 1,483 | $ 6,498 |
Income Taxes (Reconciliation Of
Income Taxes (Reconciliation Of Effective Tax Provision) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Expected federal income tax provision | $ 3,066 | $ 2,175 | $ 6,721 |
State income taxes, net of federal income tax benefit | 1,119 | 255 | 1,009 |
Decrease in valuation allowance | (1,556) | (897) | (1,360) |
Permanent difference on tax exempt municipal bond interest | (264) | (202) | |
Permanent difference on real estate donation | (157) | ||
Other permanent differences | 49 | 87 | 77 |
Other | (1) | 65 | 51 |
Income tax provision | $ 2,256 | $ 1,483 | $ 6,498 |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Income Taxes [Abstract] | ||
Minimum tax credit carryovers | $ 31,846 | $ 34,311 |
Land basis | 1,906 | 2,423 |
BRP equity interest | 6,325 | |
Other, net | 1,648 | 1,589 |
Deferred tax asset, gross | 41,725 | 38,323 |
Valuation allowance | (31,846) | (33,402) |
Deferred tax assets, net | 9,879 | 4,921 |
Buildings | (6,302) | (6,930) |
Leaseholds | (2,959) | (2,975) |
Deferred tax liability | (9,261) | (9,905) |
Net deferred tax asset | $ 618 | |
Net deferred tax liability | $ (4,984) |
Income Taxes (Changes In Unreco
Income Taxes (Changes In Unrecognized Tax Benefits) (Details) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Unrecognized Tax Benefits Components [Line Items] | |
Unrecognized Tax Benefits, Beginning Balance | $ 0 |
Increases based on tax positions related to current period | 2,936,000 |
Interest expense recognized | 40,000 |
Unrecognized Tax Benefits, Ending Balance | $ 2,976,000 |
Unrecognized Tax Benefits [Member] | |
Unrecognized Tax Benefits Components [Line Items] | |
Unrecognized Tax Benefits, Beginning Balance | |
Increases based on tax positions related to current period | $ 2,936,000 |
Interest expense recognized | |
Unrecognized Tax Benefits, Ending Balance | $ 2,936,000 |
Interest [Member] | |
Unrecognized Tax Benefits Components [Line Items] | |
Unrecognized Tax Benefits, Beginning Balance | |
Increases based on tax positions related to current period | |
Interest expense recognized | $ 40,000 |
Unrecognized Tax Benefits, Ending Balance | $ 40,000 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||
Antidilutive outstanding options excluded from the computation of earnings per share | 9,600 | 4,400 | 6,000 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Calculation of Numerator and Denominator For Loss Per Common Share) (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||||||||||
Numerator- net income attributable to HomeFed Corporation common shareholders | $ 8,478 | $ 2,069 | $ (1,475) | $ (3,237) | $ 3,058 | $ 1,554 | $ 1,255 | $ (1,981) | $ 5,835 | $ 3,886 | $ 11,268 |
Denominator for basic earnings per share– weighted average shares | 15,396 | 13,364 | 7,880 | ||||||||
Stock options | 30 | 38 | 13 | ||||||||
Denominator for diluted earnings per share– weighted average shares | 15,426 | 13,402 | 7,893 |
Commitments And Contingencies77
Commitments And Contingencies (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2016USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2015USD ($)a | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Sep. 30, 2015USD ($) | |
Commitments And Contingencies [Line Items] | ||||||
Rental expense (net of sublease income) | $ 250,000 | $ 250,000 | $ 350,000 | |||
Future minimum annual rentals | 250,000 | |||||
Restricted cash | $ 6,395,000 | $ 6,419,000 | ||||
Area of land related to environmental remediation | a | 30 | |||||
Minimum [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Insurance coverage | $ 5,000,000 | |||||
Maximum [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Insurance coverage | 17,000,000 | |||||
San Elijo Hills [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Amount of outstanding bonds | 3,850,000 | |||||
Ashville Park [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Amount of outstanding bonds | 1,300,000 | |||||
SweetBay Project [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Loan outstanding of school | $ 5,525,000 | |||||
Area of land, pledged as collateral | a | 42 | |||||
The Market Common [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Letter of credit | $ 5,000,000 | |||||
Restricted cash | 5,000,000 | |||||
BRP Leasing [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Amount of indemnification | 30,650,000 | |||||
Amount of indemnification in projected operating expenses and taxes | 9,250,000 | |||||
Restricted cash | 500,000 | |||||
Escrow deposits related to leasing activities | $ 1,400,000 | |||||
Flat Rock [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Amount of legal costs to be reimbursed | $ 350,000 | |||||
Area of land related to environmental remediation | a | 30 | |||||
Recovery sought on purchase agreement | $ 13,500,000 | |||||
Otay Ranch And Flat Rock [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Recovery sought on purchase agreement | 4,000,000 | |||||
Settlement amount | $ 400,000 | |||||
Loss contingency accrual | $ 200,000 | |||||
Subsequent Event [Member] | Otay Ranch And Flat Rock [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Recovery of judgment, amount | $ 1,000,000 |
Commitments And Contingencies78
Commitments And Contingencies (Schedule Of Future Minimum Rental Payments Receivables From Real Estate Held For Investment) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Commitments And Contingencies [Abstract] | |
2,016 | $ 4,586 |
2,017 | 4,449 |
2,018 | 3,371 |
2,019 | 2,683 |
2,020 | 2,504 |
Thereafter | 15,119 |
Total | $ 32,712 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) $ in Thousands | Jun. 29, 2015 | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2015USD ($)ft²item | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) |
Related Party Transaction [Line Items] | ||||||||||||
Operating costs | $ 17,485 | $ 12,835 | $ 124 | |||||||||
Management fee income from Leucadia | 60 | 45 | ||||||||||
Monthly management fee income | 5 | |||||||||||
Administrative services fee expenses | 180 | 180 | 180 | |||||||||
Accounts receivable, deposits and other assets | $ 16,719 | $ 16,100 | 16,719 | 16,100 | ||||||||
Rental income | $ 5,808 | $ 6,068 | $ 5,876 | $ 5,458 | $ 5,741 | $ 6,004 | $ 5,591 | $ 287 | $ 23,210 | 17,623 | 511 | |
Notice required for Leucadia to cancel agreement | 1 year | |||||||||||
Notice required for company to cancel agreement | 30 days | |||||||||||
Leucadia [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of floors | item | 4 | |||||||||||
Rental income | $ 12 | $ 12 | $ 12 | |||||||||
Empire [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Master lease term | 20 years | |||||||||||
Area of office space | ft² | 286,000 | |||||||||||
Number of floors | item | 9 | |||||||||||
Rental income | $ 7,450 | |||||||||||
Third Party Tenants [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of floors | item | 5 | |||||||||||
MWR Associates [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of floors | item | 2 | |||||||||||
Director [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Sales price of property to related party | $ 375 | |||||||||||
BRP Holding [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Operating costs | $ 11,250 | |||||||||||
Area of office space | ft² | 850,000 | |||||||||||
Noncontrolling interest percentage | 61.25% | 61.25% | ||||||||||
Non-cash expense of amortization related to purchase price accounting | $ 1,650 | |||||||||||
BRP Leasing [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Accounts receivable, deposits and other assets | $ 3,750 | 3,750 | ||||||||||
Rental income | $ 5,300 | |||||||||||
6.5 % Senior Notes due 2018 [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Fee amount as percentage | 0.50% | |||||||||||
Fee amount as percentage on first and second anniversary | 0.50% |
Related Party Transactions (Sch
Related Party Transactions (Schedule Of Future Minimum Annual Rental Expense) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Related Party Transaction [Line Items] | |
2,016 | $ 4,586 |
2,017 | 4,449 |
2,018 | 3,371 |
2,019 | 2,683 |
2,020 | 2,504 |
Thereafter | 15,119 |
Total | 32,712 |
BRP Holding [Member] | |
Related Party Transaction [Line Items] | |
2,016 | 12,129 |
2,017 | 12,299 |
2,018 | 10,266 |
Total | $ 34,694 |
Related Party Transactions (S81
Related Party Transactions (Schedule Of Future Minimum Annual Rental Expense) (Details) | Dec. 31, 2015USD ($) |
Related Party Transaction [Line Items] | |
2,016 | $ 250,000 |
BRP Leasing [Member] | |
Related Party Transaction [Line Items] | |
2,016 | 7,561,000 |
2,017 | 7,561,000 |
2,018 | 6,301,000 |
Total | $ 21,423,000 |
Fair Value (Details)
Fair Value (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Assets measured at fair value on a nonrecurring basis | $ 0 | $ 0 | |
Liabilities measured at fair value on a nonrecurring basis | 0 | $ 0 | |
Carrying Amount [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Long-term debt | [1] | 116,010,000 | |
Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Long-term debt | [1] | $ 117,447,000 | |
[1] | The fair value of the long-term debt was determined by utilizing available market data inputs that are considered level 2 inputs. Quoted prices are available but trading is infrequent. We utilized the available market data based on the quoted market prices to determine an average fair market value over the last 10 business days of the reporting period |
Segment Information (Narrative)
Segment Information (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015USD ($)segment | Jul. 02, 2015a | Mar. 31, 2015a | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 3 | ||
Proceeds from issuance of notes | $ | $ 123,750 | ||
Otay Land Project[Member] | |||
Segment Reporting Information [Line Items] | |||
Area of real estate property (acres) purchased | a | 1,600 | 64 |
Segment Information (Schedule O
Segment Information (Schedule Of Segment Reporting) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Total consolidated revenues | $ 69,538 | $ 59,505 | $ 56,804 |
Total consolidated loss from continuing operations before income taxes and noncontrolling interest | 8,759 | 6,215 | 19,202 |
Total consolidated depreciation and amortization expenses | 4,193 | 3,857 | 239 |
Total consolidated assets | 555,311 | 433,189 | |
Real Estate [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated revenues | 64,484 | 54,294 | 51,738 |
Total consolidated loss from continuing operations before income taxes and noncontrolling interest | 16,137 | 14,470 | 24,822 |
Total consolidated depreciation and amortization expenses | 3,999 | 3,781 | 191 |
Total consolidated assets | 522,410 | 378,170 | |
Farming [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated revenues | 5,042 | 5,199 | 5,054 |
Total consolidated loss from continuing operations before income taxes and noncontrolling interest | 1,242 | 1,719 | 1,899 |
Total consolidated depreciation and amortization expenses | 161 | 49 | |
Total consolidated assets | 12,894 | 11,531 | |
Corporate [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated revenues | 12 | 12 | 12 |
Total consolidated loss from continuing operations before income taxes and noncontrolling interest | (8,620) | (9,974) | (7,519) |
Total consolidated depreciation and amortization expenses | 33 | 27 | $ 48 |
Total consolidated assets | $ 20,007 | $ 43,488 |
Selected Quarterly Financial 85
Selected Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Selected Quarterly Financial Data [Abstract] | |||||||||||
Sales of real estate | $ 29,040 | $ 8,773 | $ 1,841 | $ 940 | $ 13,675 | $ 2,632 | $ 16,708 | $ 2,622 | $ 40,594 | $ 35,637 | $ 50,097 |
Rental income | 5,808 | 6,068 | 5,876 | 5,458 | 5,741 | 6,004 | 5,591 | 287 | 23,210 | 17,623 | 511 |
Farming revenues | 54 | 4,988 | 599 | 4,600 | 5,042 | 5,199 | 5,054 | ||||
Co-op marketing and advertising fees | 129 | 193 | 217 | 153 | 262 | 216 | 290 | 278 | 692 | 1,046 | 1,142 |
Cost of sales | 14,072 | 6,561 | 1,346 | 264 | 6,015 | 308 | 10,920 | 1,350 | 22,243 | 18,593 | 23,198 |
Farming expenses | 473 | 1,226 | 870 | 898 | 409 | 980 | 934 | 991 | 3,467 | 3,314 | 3,031 |
Income (loss) from operations | 13,022 | 2,944 | (2,997) | (5,825) | 3,543 | 2,526 | 2,354 | (3,282) | 7,144 | 5,141 | 18,313 |
Net income (loss) attributable to HomeFed Corporation common shareholders | $ 8,478 | $ 2,069 | $ (1,475) | $ (3,237) | $ 3,058 | $ 1,554 | $ 1,255 | $ (1,981) | $ 5,835 | $ 3,886 | $ 11,268 |
Basic earnings (loss) per common share attributable to HomeFed Corporation common shareholders | $ 0.55 | $ 0.13 | $ (0.10) | $ (0.21) | $ 0.20 | $ 0.10 | $ 0.08 | $ (0.24) | |||
Diluted earnings (loss) per common share attributable to HomeFed Corporation common shareholders | $ 0.55 | $ 0.13 | $ (0.10) | $ (0.21) | $ 0.20 | $ 0.10 | $ 0.08 | $ (0.24) |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event [Member] $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Feb. 29, 2016USD ($)property | Jan. 31, 2016USD ($)property | Mar. 31, 2016USD ($) | Jan. 28, 2016USD ($) | |
Subsequent Event [Line Items] | ||||
Infrastructure improvement bonds | $ 17,750 | |||
Otay Ranch And Flat Rock [Member] | ||||
Subsequent Event [Line Items] | ||||
Recovery of judgment, amount | $ 1,000 | |||
6.5 % Senior Notes due 2018 [Member] | ||||
Subsequent Event [Line Items] | ||||
Aggregate principal amount repurchased | $ 618 | |||
Interest paid on repurchased principal | $ 3 | |||
Single Family Lots [Member] | The Market Common [Member] | ||||
Subsequent Event [Line Items] | ||||
Number of real estate lots sold | property | 6 | |||
Cash proceeds | $ 300 | |||
Multi-Family Lots [Member] | The Market Common [Member] | ||||
Subsequent Event [Line Items] | ||||
Number of real estate lots sold | property | 5 | |||
Cash proceeds | $ 125 |