Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Oct. 29, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ST JOE CO | |
Trading Symbol | JOE | |
Entity Central Index Key | 745,308 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Current Reporting Status | Yes | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 60,672,034 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
ASSETS | ||
Investment in real estate, net | $ 348,896 | $ 332,624 |
Cash and cash equivalents | 200,884 | 192,083 |
Investments - debt securities | 13,177 | 76,245 |
Investments - equity securities | 35,144 | |
Investments - equity securities | 35,023 | |
Restricted investments | 3,429 | 4,469 |
Income tax receivable | 3,395 | 8,371 |
Claim settlement receivable | 5,400 | 5,280 |
Other assets | 40,602 | 47,133 |
Property and equipment, net of accumulated depreciation of $60,397 and $60,697 at September 30, 2018 and December 31, 2017, respectively | 12,335 | 11,776 |
Investments held by special purpose entities | 207,338 | 207,989 |
Total assets | 870,600 | 920,993 |
Liabilities: | ||
Debt, net | 62,326 | 55,630 |
Other liabilities | 50,006 | 47,259 |
Deferred tax liabilities, net | 47,451 | 48,983 |
Senior notes held by special purpose entity | 176,715 | 176,537 |
Total liabilities | 336,498 | 328,409 |
Equity: | ||
Common stock, no par value; 180,000,000 shares authorized; 60,672,034 and 65,897,866 issued and outstanding at September 30, 2018 and December 31, 2017, respectively | 331,381 | 424,694 |
Retained earnings | 187,516 | 154,324 |
Accumulated other comprehensive loss | (302) | (1,461) |
Total stockholders' equity | 518,595 | 577,557 |
Non-controlling interest | 15,507 | 15,027 |
Total equity | 534,102 | 592,584 |
Total liabilities and equity | $ 870,600 | $ 920,993 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
CONSOLIDATED BALANCE SHEETS | ||
Property and equipment, Accumulated depreciation | $ 60,397 | $ 60,697 |
Common stock, par value | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 180,000,000 | 180,000,000 |
Common stock, issued (in shares) | 60,672,034 | 65,897,866 |
Common stock, outstanding (in shares) | 60,672,034 | 65,897,866 |
CONDENSED CONSOLIDATED BALANC_3
CONDENSED CONSOLIDATED BALANCE SHEETS - VIEs - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
ASSETS | ||
Investment in real estate | $ 348,896 | $ 332,624 |
Cash and cash equivalents | 200,884 | 192,083 |
Other assets | 40,602 | 47,133 |
Investments held by special purpose entities | 207,338 | 207,989 |
Total assets | 870,600 | 920,993 |
LIABILITIES | ||
Debt, net | 62,326 | 55,630 |
Other liabilities | 50,006 | 47,259 |
Senior notes held by special purpose entity | 176,715 | 176,537 |
Total liabilities | 336,498 | 328,409 |
Variable Interest Entities | ||
ASSETS | ||
Investment in real estate | 67,050 | 58,441 |
Cash and cash equivalents | 2,984 | 5,084 |
Other assets | 12,801 | 11,889 |
Investments held by special purpose entities | 207,338 | 207,989 |
Total assets | 290,173 | 283,403 |
LIABILITIES | ||
Debt, net | 53,371 | 46,783 |
Other liabilities | 5,292 | 4,357 |
Senior notes held by special purpose entity | 176,715 | 176,537 |
Total liabilities | $ 235,378 | $ 227,677 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue: | ||||
Leasing revenue | $ 3,138 | $ 3,033 | $ 9,279 | $ 8,431 |
Total revenue | 23,676 | 33,988 | 93,974 | 78,149 |
Expenses: | ||||
Cost of leasing revenue | 784 | 842 | 2,450 | 2,308 |
Other operating and corporate expenses | 5,113 | 4,968 | 16,068 | 15,303 |
Depreciation, depletion and amortization | 2,309 | 2,306 | 6,836 | 6,291 |
Total expenses | 21,732 | 29,201 | 63,227 | 73,014 |
Operating income | 1,944 | 4,787 | 30,747 | 5,135 |
Other income (expense): | ||||
Investment income, net | 2,575 | 6,452 | 12,221 | 31,110 |
Interest expense | (2,926) | (3,038) | (8,905) | (9,117) |
Other income, net | 268 | 583 | 787 | 4,646 |
Total other (expense) income, net | (83) | 3,997 | 4,103 | 26,639 |
Income before income taxes | 1,861 | 8,784 | 34,850 | 31,774 |
Income tax benefit (expense) | 3,483 | (2,643) | (2,815) | (10,831) |
Net income | 5,344 | 6,141 | 32,035 | 20,943 |
Net loss (income) attributable to non-controlling interest | 139 | (198) | 400 | 132 |
Net income attributable to the Company | $ 5,483 | $ 5,943 | $ 32,435 | $ 21,075 |
Basic and Diluted | ||||
Weighted average shares outstanding (in shares) | 61,066,731 | 70,202,807 | 63,418,118 | 72,037,772 |
Net income per share attributable to the Company (in dollars per share) | $ 0.09 | $ 0.08 | $ 0.51 | $ 0.29 |
Real estate | ||||
Revenue: | ||||
Revenue | $ 6,200 | $ 10,707 | $ 46,061 | $ 19,383 |
Expenses: | ||||
Cost of revenue | 3,709 | 6,405 | 10,831 | 10,350 |
Resorts and leisure | ||||
Revenue: | ||||
Revenue | 12,565 | 18,198 | 33,284 | 45,633 |
Expenses: | ||||
Cost of revenue | 9,669 | 14,513 | 26,488 | 38,200 |
Timber | ||||
Revenue: | ||||
Revenue | 1,773 | 2,050 | 5,350 | 4,702 |
Expenses: | ||||
Cost of revenue | $ 148 | $ 167 | $ 554 | $ 562 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | ||
Net income: | $ 5,344 | $ 6,141 | $ 32,035 | $ 20,943 | |
Other comprehensive income (loss): | |||||
Reclassification of net realized loss (gain) included in earnings | 104 | 1,050 | (10,757) | ||
Reclassification into retained earnings | [1] | 932 | |||
Reclassification of other-than-temporary impairment loss included in earnings | 1,660 | 403 | 1,723 | 769 | |
Other comprehensive loss, Before-tax-amount | 416 | (172) | 1,970 | (6,017) | |
Income tax (expense) benefit | [2] | (105) | (75) | (811) | 2,319 |
Total other comprehensive income (loss), net of tax | 311 | (247) | 1,159 | (3,698) | |
Total comprehensive income, net of tax | 5,655 | 5,894 | 33,194 | 17,245 | |
Unrestricted available-for-sale, Debt securities | |||||
Other comprehensive income (loss): | |||||
Net unrealized (loss) gain on investments | $ (1,244) | (1,726) | |||
Unrestricted available-for-sale, Debt and equity securities | |||||
Other comprehensive income (loss): | |||||
Net unrealized (loss) gain on investments | (683) | 3,967 | |||
Restricted | |||||
Other comprehensive income (loss): | |||||
Net unrealized (loss) gain on investments | $ 4 | $ (9) | $ 4 | ||
[1] | The reclassification into retained earnings relates to the adoption of Accounting Standards Update (“ASU”) 201601 Financial Instruments - Overall, as amended (“ASU 201601”). The new guidance was effective January 1, 2018, and required equity investments to be measured at fair value with changes in fair value recognized in results of operations rather than the condensed consolidated statements of comprehensive income. See Note 2. Summary of Significant Accounting Policies. | ||||
[2] | Income tax expense for the nine months ended September 30, 2018 includes $0.3 million of income tax expense related to the adoption of ASU 201802 Income Statement - Reporting Comprehensive Income (“ASU 201802”). The new guidance was effective January 1, 2018, and allowed a reclassification from accumulated other comprehensive income (loss) to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”). See Note 2. Summary of Significant Accounting Policies. |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018USD ($) | ||
Income tax (expense) benefit | $ (811) | [1] |
Scenario, Adjustment | ASU 2018-02 | ||
Income tax (expense) benefit | $ (300) | |
[1] | Income tax expense for the nine months ended September 30, 2018 includes $0.3 million of income tax expense related to the adoption of ASU 201802 Income Statement - Reporting Comprehensive Income (“ASU 201802”). The new guidance was effective January 1, 2018, and allowed a reclassification from accumulated other comprehensive income (loss) to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”). See Note 2. Summary of Significant Accounting Policies. |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - 9 months ended Sep. 30, 2018 - USD ($) $ in Thousands | DirectorsCommon Stock | Directors | OfficerCommon Stock | Officer | Common Stock | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Treasury Stock | Non-controlling Interest | Total |
Common Stock, Shares, Outstanding, Beginning Balance at Dec. 31, 2017 | 65,897,866 | 65,897,866 | ||||||||
Beginning Balance at Dec. 31, 2017 | $ 424,694 | $ 154,324 | $ (1,461) | $ 15,027 | $ 592,584 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Allocation of ownership interest in Pier Park Crossings JV | (490) | 490 | ||||||||
Additional ownership interest acquired in Artisan Park, LLC | $ 297 | (297) | ||||||||
Capital contribution from non-controlling interest | 887 | 887 | ||||||||
Capital distribution to non-controlling interest | (200) | $ (200) | ||||||||
Issuance of common stock (in shares) | 2,778 | 9,956 | ||||||||
Issuance of common stock | $ 57 | $ 57 | $ 192 | $ 192 | ||||||
Repurchase of common shares (in shares) | (5,238,566) | (5,238,566) | ||||||||
Repurchase of common shares | $ (93,369) | $ (93,369) | ||||||||
Retirement of treasury stock | $ (93,369) | $ 93,369 | ||||||||
Adoption of ASU 2018-02 Income Statement - Reporting Comprehensive Income | 313 | (313) | ||||||||
Other comprehensive income | 776 | 776 | ||||||||
Net income | 32,435 | (400) | $ 32,035 | |||||||
Common Stock, Shares, Outstanding, Ending Balance at Sep. 30, 2018 | 60,672,034 | 60,672,034 | ||||||||
Ending Balance at Sep. 30, 2018 | $ 331,381 | 187,516 | (302) | $ 15,507 | $ 534,102 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Adoption of ASU | ASU 2014-09 | 1,140 | $ 1,140 | ||||||||
Adoption of ASU | ASU 2016-01 | $ (696) | $ 696 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 32,035 | $ 20,943 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 6,836 | 6,291 |
Stock based compensation | 249 | 47 |
Loss (gain) on sale of investments | 961 | (10,757) |
Unrealized gain on investments, net | (641) | |
Other-than-temporary impairment loss | 1,723 | |
Other-than-temporary impairment loss | 769 | |
Deferred income tax (benefit) expense | (1,795) | 4,312 |
Impairment loss on investment in real estate | 99 | 52 |
Cost of real estate sold | 9,839 | 9,043 |
Expenditures for and acquisition of real estate to be sold | (13,580) | (6,137) |
Accretion income and other | (1,571) | (2,574) |
Loss on disposal of property and equipment | 13 | 81 |
Changes in operating assets and liabilities: | ||
Notes receivable | 559 | (1,548) |
Other assets | 5,160 | (1,835) |
Other liabilities | 1,096 | 4,077 |
Income taxes receivable | 4,976 | 26,671 |
Net cash provided by operating activities | 45,959 | 49,435 |
Cash flows from investing activities: | ||
Expenditures for operating property | (18,042) | (25,872) |
Expenditures for property and equipment | (1,692) | (2,520) |
Proceeds from the disposition of assets | 5,000 | |
Purchases of investments - debt securities | (62) | (84,927) |
Purchases of investments - equity securities | (10,442) | (19,081) |
Sales of investments - debt securities | 64,631 | 122,734 |
Sales of investments - equity securities | 11,051 | 21,522 |
Maturities of assets held by special purpose entities | 785 | 787 |
Net cash provided by investing activities | 51,229 | 12,643 |
Cash flows from financing activities: | ||
Capital contribution from non-controlling interest | 887 | 188 |
Capital distribution to non-controlling interest | (200) | (1,530) |
Capital contribution to unconsolidated affiliate | (159) | |
Repurchase of common shares | (93,369) | (135,995) |
Borrowings on debt | 9,304 | 1,624 |
Principal payments for debt | (1,103) | (1,050) |
Debt issuance costs | (1,159) | (20) |
Net cash used in financing activities | (85,799) | (136,783) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 11,389 | (74,705) |
Cash, cash equivalents and restricted cash at beginning of the period | 192,365 | 243,087 |
Cash, cash equivalents and restricted cash at end of the period | $ 203,754 | $ 168,382 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash, cash equivalents and restricted cash: | ||
Cash and cash equivalents | $ 200,884 | $ 166,773 |
Restricted cash included in other assets | 2,870 | 1,609 |
Total cash, cash equivalents and restricted cash shown in the statement of cash flows | 203,754 | 168,382 |
Cash paid during the period for: | ||
Interest | 10,884 | 10,879 |
Income taxes | 2,005 | 5,403 |
Non-cash financing and investment activities: | ||
(Decrease) increase in Community Development District debt | (409) | 59 |
(Decrease) increase in expenditures for operating properties and property and equipment financed through accounts payable | $ (655) | $ 4,125 |
Nature of Operations
Nature of Operations | 9 Months Ended |
Sep. 30, 2018 | |
Nature of Operations | |
Nature of Operations | 1. Nature of Operations The St. Joe Company together with its consolidated subsidiaries (“St. Joe” or the “Company”) is a Florida real estate development, asset management and operating company with real estate assets and operations currently concentrated primarily in Northwest Florida. Approximately 90% of the Company’s real estate land holdings are located within fifteen miles of the Gulf of Mexico. The Company conducts primarily all of its business in the following four reportable operating segments: 1) residential real estate, 2) resorts and leisure, 3) commercial leasing and sales and 4) forestry. In prior periods, the Company’s reportable operating segments were 1) residential real estate, 2) commercial real estate, 3) resorts and leisure, 4) leasing operations and 5) forestry. Commencing in the fourth quarter of 2017, the Company’s commercial real estate segment and leasing operations segment were combined into a new segment titled “commercial leasing and sales”. This change is consistent with the Company’s belief that the decision making and management of the assets in these segments are being made as one group. Prior to the fourth quarter of 2017, commercial real estate and leasing operations were treated as individual operating segments. All prior year segment information has been reclassified to conform to the 2018 presentation. The change in reporting segments had no effect on the condensed consolidated balance sheets, statements of income, statements of comprehensive income or statements of cash flows for the periods presented. See Note 17. Segment Information. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The accompanying unaudited interim condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for reporting on Form 10‑Q. Accordingly, certain information and footnotes required by United States generally accepted accounting principles (“GAAP”) for complete financial statements are not included herein. The unaudited interim condensed consolidated financial statements include the accounts of the Company and all of its majority-owned and controlled subsidiaries and variable interest entities where the Company is the primary beneficiary. Investments in joint ventures and limited partnerships in which the Company is not the primary beneficiary are accounted for by the equity method. All significant intercompany transactions and balances have been eliminated in consolidation. The December 31, 2017 condensed consolidated balance sheet amounts have been derived from the Company’s December 31, 2017 audited consolidated financial statements. Certain prior period amounts in the accompanying condensed consolidated financial statements have been reclassified to conform to the current year presentation. These reclassifications had no effect on the Company’s previously reported total assets and liabilities, stockholders’ equity or net income. Operating results for the nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2018. A variable interest entity (“VIE”) is an entity in which a controlling financial interest may be achieved through arrangements that do not involve voting interests. A VIE is required to be consolidated by its primary beneficiary, which is the entity that possesses the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and has the obligation to absorb losses or the right to receive benefits from the VIE that are significant to the entity. The Company consolidates VIEs when it is the primary beneficiary of the VIE, including real estate joint ventures determined to be VIEs. See Note 9. Real Estate Joint Ventures . The interim condensed consolidated financial statements reflect all normal recurring adjustments that, in the opinion of management, are necessary for fair presentation of the information contained herein. The interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2017. The Company adheres to the same accounting policies in preparation of its unaudited interim condensed consolidated financial statements as the Company’s December 31, 2017 annual financial statements, except for recently adopted accounting pronouncements detailed below. As required under GAAP, interim accounting for certain expenses, including income taxes, are based on full year assumptions. For interim financial reporting purposes, income taxes are recorded based upon estimated annual income tax rates. Concentration of Risks and Uncertainties The Company’s real estate investments are concentrated in Northwest Florida in a number of specific development projects. Uncertain economic or other conditions could have an adverse impact on the Company’s real estate values and could cause the Company to sell assets at depressed values in order to pay ongoing obligations. Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, investments, other receivables, investments held by special purpose entity or entities (“SPE”), and investments in retained interests. The Company deposits and invests cash with local and regional financial institutions, and as of September 30, 2018, these balances exceeded the amount of F.D.I.C. insurance provided on such deposits. In addition, as of September 30, 2018 the company had $10.0 million invested in U.S. Treasury securities, $3.2 million invested in two issuers of corporate debt securities that are non-investment grade, $35.1 million invested in f our issuers of preferred stock that are non-investment grade and one issuer of preferred stock that is investment grade, as well as investments of $175.2 million in short term commercial paper from t hirteen issuers. Earnings Per Share Basic and diluted earnings per share are calculated by dividing net income by the average number of common shares outstanding for the period. For the three and nine months ended September 30, 2018 and 2017, basic and diluted average shares outstanding were the same. There were no outstanding common stock equivalents as of September 30, 2018 or September 30, 2017. Non-vested restricted stock is included in outstanding shares at the time of grant. Revenue and Revenue Recognition Revenue consists primarily of real estate sales and related fees, resorts and leisure operations, leasing operations, and timber sales. Taxes collected from customers and remitted to governmental authorities (e.g. sales tax) are excluded from revenue, costs and expenses. Effective January 1, 2018, with the adoption of ASU 2014-09 Revenue from Contracts with Customers , as amended (“Topic 606”), estimated lot residuals (a percentage of the sales price of a completed home received when the home price or gross profit of the home exceeds a negotiated threshold) and certain estimated fees are recognized as revenue at the time of sale to homebuilders, subject to constraints, and any change in circumstances from the estimated amounts will be updated at each reporting period. For the three and nine months ended September 30, 2018, real estate revenue includes less than $0.1 million and $0.6 million, respectively, of estimated lot residuals and less than $0.1 million and $0.6 million, respectively, of certain estimated fees related to homebuilder homesite sales. Prior to 2018, these lot residuals and fees were recognized in revenue when consideration was received by the Company in periods subsequent to the initial recognition of revenue for the sale of the homesite. Recently Adopted Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09 that established the principles used to recognize revenue for all entities. In March 2016, the FASB issued ASU 2016‑08 that further clarified the implementation guidance on principal versus agent considerations. In April 2016, the FASB issued ASU 2016‑10 that clarified guidance on identifying performance obligations and to improve the operability and understandability of licensing implementation guidance. In May 2016, the FASB issued ASU 2016‑11 that rescinded SEC guidance pursuant to announcements at the March 3, 2016 Emerging Issues Task Force Meeting. In May 2016, the FASB issued ASU 2016‑12 that provided narrow-scope improvements and practical expedients to Revenue from Contracts with Customers . In December 2016, the FASB issued ASU 2016‑20 that included technical corrections and improvements to Topic 606. The Company adopted the new guidance as of January 1, 2018 and elected to implement Topic 606 using the modified retrospective application, with the cumulative effect recorded as an adjustment to opening retained earnings. The impact of adopting this guidance resulted in an adjustment to increase retained earnings by $1.5 million, offset by a decrease of $0.4 million related to tax effects, for a net effect of $1.1 million, an increase to accounts receivable, net by $2.1 million and a decrease to investment in real estate, net by $0.6 million as of January 1, 2018, related to the recognition of estimated lot residuals and certain fees for homesites sold to homebuilders, where the homes had not yet been sold to customers as of December 31, 2017. Financial Instruments In January 2016, the FASB issued ASU 2016‑01 that amended existing guidance to address certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The new guidance requires equity investments (except those accounted for under the equity method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in results of operations. Additionally, certain disclosure requirements and other aspects of accounting for financial instruments changed as a result of the new guidance. In February 2018, the FASB issued ASU 2018‑03 that included technical corrections and improvements to ASU 2016‑01. The Company adopted ASU 2016‑01 and ASU 2018‑03 simultaneously, effective January 1, 2018, and implemented it using a cumulative-effect adjustment between accumulated other comprehensive loss and retained earnings of $0.9 million, offset by an adjustment of $0.2 million related to tax effects, for a net effect of $0.7 million as of the date of adoption. As a result of the adoption of this guidance the change in the fair value of the Company’s equity investments is recognized in the condensed consolidated statements of income rather than the condensed consolidated statements of comprehensive income. Statement of Cash Flows In August 2016, the FASB issued ASU 2016‑15, which amended the classification of certain cash receipts and cash payments, to reduce the diversity in how these cash receipts and cash payments are presented and classified in the statement of cash flows. The Company adopted the new guidance as of January 1, 2018. As this guidance only affects the classification within the statement of cash flows, it did not have any impact on the Company’s cash flows. Statement of Cash Flows - Restricted Cash In November 2016, the FASB issued ASU 2016‑18, which required that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash or restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The Company adopted the new guidance as of January 1, 2018, using a retrospective transition method to each period presented. The adoption of this guidance did not have a material impact on the Company’s cash flows. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018‑02, which allowed a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Act. The ASU also required additional disclosures that include a description of the accounting policy for releasing income tax effects from accumulated other comprehensive income, whether the Company elected to reclassify the effects from the Tax Act and information about other tax effects related to the Tax Act that are reclassified from accumulated other comprehensive income to retained earnings, if any. This guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years and should be applied either in the period of adoption or retrospectively to each period in which the effect of the Tax Act is recognized. Early adoption is permitted, including adoption in an interim period. The Company elected to early adopt the new guidance as of January 1, 2018, and implemented it using a cumulative-effect adjustment to retained earnings from accumulated other comprehensive loss of $0.3 million related to unrealized gains and losses on available-for-sale securities as of the date of adoption. The new guidance also required the Company to disclose its policy on accounting for income tax effects in accumulated other comprehensive income (loss). In general, the Company applies the aggregate portfolio method with respect to available-for-sale debt securities. Recently Issued Accounting Pronouncements Leases In February 2016, the FASB issued ASU 2016‑02 that amends the existing accounting standards for lease accounting, including requiring lessees to recognize both finance and operating leases with terms of more than 12 months on the balance sheet. The accounting applied by a lessor is largely unchanged from existing guidance. This amendment also requires certain quantitative and qualitative disclosures about leasing arrangements. In January 2018, the FASB issued ASU 2018‑01 which provides an optional transition practical expedient to not evaluate under the new lease standard, existing or expired land easements that were not previously accounted for as leases. In July 2018, the FASB issued ASU 2018-10 that provides clarifications and improvements to ASU 2016-02. In July 2018, the FASB issued ASU 2018-11 that provides entities with an additional and optional transition method to apply the new standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The new guidance will be effective for annual and interim periods beginning after December 15, 2018. Accordingly, the standard will be effective for the Company beginning January 1, 2019. The Company intends to elect certain available practical expedients upon adoption, including ASU 2018-01 and ASU 2018-11. The Company is completing its analysis of the information necessary to fully adopt and remains on schedule. The Company is still evaluating if this standard will have a material impact on its consolidated balance sheets, but does not expect adoption will have a material impact on its consolidated income statements. The Company is continuing to assess potential impacts of the standard. It currently expects the most significant impact will be the recognition of right-of-use assets and lease liabilities for operating leases. Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016‑13 that requires a financial asset measured at amortized cost to be presented at the net amount expected to be collected and requires that credit losses from available-for-sale debt securities be presented as an allowance for credit loss. This new guidance will be effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted for annual and interim periods beginning after December 15, 2018. The Company is currently evaluating the impact that the adoption of this guidance will have on its financial condition, results of operations and cash flows. |
Investment in Real Estate
Investment in Real Estate | 9 Months Ended |
Sep. 30, 2018 | |
Investment in Real Estate | |
Investment in Real Estate | 3. Investment in Real Estate Real estate by property type and segment includes the following: September 30, December 31, 2018 2017 Development property: Residential real estate $ 103,384 $ 100,279 Resorts and leisure 2,427 4,131 Commercial leasing and sales 69,086 53,896 Forestry 2,146 2,488 Corporate 2,464 2,571 Total development property 179,507 163,365 Operating property: Residential real estate 7,344 7,344 Resorts and leisure 100,948 103,616 Commercial leasing and sales 111,296 110,491 Forestry 19,874 19,510 Other 50 50 Total operating property 239,512 241,011 Less: Accumulated depreciation 70,123 71,752 Total operating property, net 169,389 169,259 Investment in real estate, net $ 348,896 $ 332,624 Development property consists of land the Company is developing or intends to develop for sale or future operations and includes direct costs associated with the land, development and construction costs and indirect costs. Residential real estate includes residential communities. Resorts and leisure development property consists of the improvement and expansion of the existing beach club property, land and development costs and improvements to other property. Commercial leasing and sales development property primarily consists of land and development costs for commercial and industrial uses, including the Pier Park Crossings JV, land holdings near the Northwest Florida Beaches International Airport and Port of Port St. Joe. Development property in the resorts and leisure and commercial leasing and sales segments will be reclassified as operating property as it is placed into service. Operating property includes property that the Company uses for operations and activities. Residential real estate operating property consists primarily of residential utility assets. The resorts and leisure operating property includes the WaterColor Inn, WaterSound Inn, certain vacation rental properties, golf courses, a beach club and marinas. Commercial leasing and sales operating property includes property developed or purchased by the Company and used for retail and commercial rental purposes, including property in the Pier Park North JV, VentureCrossings and Beckrich Office Park, as well as other properties. Forestry operating property includes the Company’s timberlands. Operating property may be sold in the future as part of the Company’s principal real estate business. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2018 | |
Investments | |
Investments | 4. Investments Available-For-Sale Investments At September 30, 2018, investments - debt securities and restricted investments classified as available-for-sale securities were as follows: Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Investments - debt securities: U.S. Treasury securities $ 9,996 $ — $ 2 $ 9,994 Corporate debt securities 3,566 4 387 3,183 13,562 4 389 13,177 Restricted investments: Short-term bond 3,275 — 13 3,262 Money market fund 167 — — 167 3,442 — 13 3,429 $ 17,004 $ 4 $ 402 $ 16,606 At December 31, 2017, investments - debt securities, investments - equity securities and restricted investments classified as available-for-sale securities were as follows: Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Investments - debt securities: U.S. Treasury securities $ 9,892 $ — $ 22 $ 9,870 Corporate debt securities 67,781 411 1,817 66,375 77,673 411 1,839 76,245 Investments - equity securities: Preferred stock 35,955 423 1,355 35,023 Restricted investments: Short-term bond 4,264 — 13 4,251 Money market fund 218 — — 218 4,482 — 13 4,469 $ 118,110 $ 834 $ 3,207 $ 115,737 During the nine months ended September 30, 2018, realized losses from the sale of available-for-sale securities were $1.0 million and proceeds from the sale of available-for-sale securities were $64.6 million. During the three and nine months ended September 30, 2017, realized losses from the sale of available for-sale securities were $0.1 million and realized gains from the sale of available-for-sale securities were $10.8 million, respectively. During the nine months ended September 30, 2017 proceeds from the sale of available-for-sale securities were $144.3 million. The following table provides the U.S. Treasury securities, corporate debt securities and restricted investments unrealized loss position and related fair values as of September 30, 2018: Less Than 12 Months 12 Months or Greater Unrealized Unrealized Fair Value Losses Fair Value Losses Investments - debt securities: U.S. Treasury securities $ 9,994 $ 2 $ — $ — Corporate debt securities — — 2,405 387 Restricted investments: Short-term bond — — 3,262 13 $ 9,994 $ 2 $ 5,667 $ 400 The following table provides the U.S. Treasury securities, corporate debt securities, preferred stock and restricted investments unrealized loss position and related fair values as of December 31, 2017: Less Than 12 Months 12 Months or Greater Unrealized Unrealized Fair Value Losses Fair Value Losses Investments - debt securities: U.S. Treasury securities $ 9,870 $ 22 $ — $ — Corporate debt securities 15,515 691 29,595 1,126 Investments - equity securities: Preferred stock 11,263 1,337 1,986 18 Restricted investments: Short-term bond — — 4,251 13 $ 36,648 $ 2,050 $ 35,832 $ 1,157 As of September 30, 2018, the Company had unrealized losses of $0.4 million related to U.S. Treasury securities, corporate debt securities and restricted investments. The Company had unrealized losses of $3.2 million as of December 31, 2017 related to U.S. Treasury securities, corporate debt securities, preferred stock and restricted investments. As of September 30, 2018 and December 31, 2017, the Company did not intend to sell the investments - debt securities with a material unrealized loss and it is more likely than not that the Company will not be required to sell any of these securities prior to their anticipated recovery, which could be maturity. During the three and nine months ended September 30, 2018, the Company determined unrealized losses related to its corporate debt securities were other-than-temporarily impaired and recorded an impairment of $1.7 million for credit-related loss in investment income, net in the Company’s condensed consolidated statements of income. During the three months ended September 30, 2017, the Company determined unrealized losses related to its corporate debt securities were other-than-temporarily impaired and recorded an impairment of $0.4 million for credit-related loss in investment income, net in the Company’s condensed consolidated statements of income. During the nine months ended September 30, 2017, the Company determined unrealized losses related to its corporate debt securities and preferred stock were other-than-temporarily impaired and recorded an impairment of $0.8 million for credit-related loss in investment income, net in the Company’s condensed consolidated statements of income. The amortized cost and estimated fair value of investments - debt securities and restricted investments classified as available-for-sale at September 30, 2018, by contractual maturity are shown in the following table. Actual maturities may differ from contractual maturities since certain borrowers have the right to call or prepay obligations. Amortized Cost Fair Value Due in one year or less $ 12,707 $ 12,318 Due after one year through five years 785 785 Due after five years through ten years 70 74 13,562 13,177 Restricted investments 3,442 3,429 $ 17,004 $ 16,606 Investments - Equity Securities At September 30, 2018, investments - equity securities included $35.1 million of preferred stock investments recorded at fair value. During the three and nine months ended September 30, 2018, the Company had unrealized losses on investments - equity securities of $0.1 million and unrealized gains on investments - equity securities of $0.6 million, respectively, which were included within investment income, net on the condensed consolidated statements of income due to the adoption of ASU 2016‑01 on January 1, 2018. Prior to 2018, unrealized gains or losses related to these investments were recorded in accumulated other comprehensive income (loss). As of January 1, 2018 the outstanding unrealized losses of $0.9 million were reclassified to retained earnings with the adoption of ASU 2016‑01. Investment Management Agreement Mr. Bruce R. Berkowitz is the Chairman of the Company’s Board of Directors (the “Board”). He is the Manager of, and controls entities that own and control, Fairholme Holdings, LLC (“Fairholme”), which wholly owns Fairholme Capital Management, L.L.C. (“FCM”), a registered investment advisor registered with the Securities and Exchange Commission and the Fairholme Trust Company, L.L.C. (“FTC”), a non-depository trust company regulated by the Florida Office of Financial Regulation. Mr. Berkowitz is the Chief Investment Officer of FCM, and the Chief Executive Officer and a director of FTC. Since April 2013, FCM has provided investment advisory services to the Company directly, or more recently, as the sub-advisor to FTC, which has resulted in a total of $62.3 million of pre-tax income to the Company from April 2013 through September 30, 2018. Neither FCM nor FTC receives any compensation for services as the Company’s investment advisor. As of September 30, 2018, Fairholme, including Mr. Berkowitz and clients of FCM and FTC, collectively, beneficially owned 45.15% of the Company’s common stock. FCM and its client, The Fairholme Fund, a series of the Fairholme Funds, Inc., may be deemed affiliates of the Company. Both Mr. Cesar Alvarez and Mr. Howard Frank are members of the Company’s Board and also serve as directors of Fairholme Funds, Inc. Mr. Alvarez is also a director of FTC. Pursuant to the terms of an Investment Management Agreement, as amended, with the Company (the “Agreement”), FTC agreed to supervise and direct the investments of investment accounts established by the Company in accordance with the investment guidelines and restrictions approved by the Investment Committee of the Company’s Board. The investment guidelines are set forth in the Agreement and require that, as of the date of any investment: (i) no more than 15% of the investment account may be invested in securities of any one issuer (excluding the U.S. Government), (ii) any investment in any one issuer (excluding the U.S. Government) that exceeds 10% of the investment account, but not 15%, requires the consent of at least two members of the Investment Committee, (iii) 25% of the investment account must be held in cash or cash equivalents, (iv) the investment account is permitted to be invested in common equity securities; however, common stock investments shall be limited to exchange-traded common equities, shall not exceed 5% ownership of a single issuer and, cumulatively, the common stock held in the Company’s investment portfolio shall not exceed $100.0 million market value, and (v) the aggregate market value of investments in common stock, preferred stock or other equity investments cannot exceed 25% of the market value of the Company’s investment portfolio at the time of purchase. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2018 | |
Financial Instruments and Fair Value Measurements | |
Financial Instruments and Fair Value Measurements | 5. Financial Instruments and Fair Value Measurements Fair Value Measurements The financial instruments measured at fair value on a recurring basis at September 30, 2018 were as follows: Total Fair Level 1 Level 2 Level 3 Value Cash equivalents: Money market funds $ 6,214 $ — $ — $ 6,214 Commercial paper 175,245 — — 175,245 181,459 — — 181,459 Investments - debt securities U.S. Treasury securities 9,994 — — 9,994 Corporate debt securities — 3,183 — 3,183 9,994 3,183 — 13,177 Investments - equity securities Preferred stock 10,862 24,282 — 35,144 Restricted investments: Short-term bond 3,262 — — 3,262 Money market fund 167 — — 167 3,429 — — 3,429 $ 205,744 $ 27,465 $ — $ 233,209 The financial instruments measured at fair value on a recurring basis at December 31, 2017 were as follows: Total Fair Level 1 Level 2 Level 3 Value Cash equivalents: Money market funds $ 10,505 $ — $ — $ 10,505 Commercial paper 159,970 — — 159,970 170,475 — — 170,475 Investments - debt securities U.S. Treasury securities 9,870 — — 9,870 Corporate debt securities — 66,375 — 66,375 9,870 66,375 — 76,245 Investments - equity securities Preferred stock 10,717 24,306 — 35,023 Restricted investments: Short-term bond 4,251 — — 4,251 Money market fund 218 — — 218 4,469 — — 4,469 $ 195,531 $ 90,681 $ — $ 286,212 Money market funds, commercial paper, U.S. Treasury securities, certain preferred stocks and short-term bonds are measured based on quoted market prices in an active market and categorized within level 1 of the fair value hierarchy. Money market funds and commercial paper with a maturity date of 90 days or less from the date of purchase are classified as cash equivalents in the Company’s condensed consolidated balance sheets. The Company’s corporate debt securities and certain preferred stock are not traded on a nationally recognized exchange, but are traded in the U.S. over-the-counter market where there is less trading activity and the investments are measured primarily using pricing data from external pricing services that report prices observed for recently executed market transactions. For these reasons, the Company has determined that corporate debt securities and certain preferred stock are categorized as level 2 financial instruments since their fair values were determined from market inputs in an inactive market. Restricted investments include certain of the surplus assets that were transferred from the Company’s Pension Plan to a suspense account in the Company’s 401(k) Plan in December 2014. The Company has retained the risks and rewards of ownership of these assets; therefore, the assets held in the suspense account are included in the Company’s condensed consolidated financial statements until they are allocated to participants. As of September 30, 2018 and December 31, 2017, the assets held in the suspense account were invested in Vanguard Money Market Funds, which invest in short-term, high quality securities or short-term U.S. government securities and seek to provide current income and preserve shareholders’ principal investment and a Vanguard Short-Term Bond Fund, which invests in money market instruments and short-term high quality bonds, including asset-backed, government, and investment grade corporate securities with an expected maturity of 0‑3 years. The Vanguard Money Market Funds and Vanguard Short-Term Bond Fund are measured based on quoted market prices in an active market and categorized within level 1 of the fair value hierarchy. The Company’s Retirement Plan Investment Committee is responsible for investing decisions and allocation decisions of the suspense account. Refer to Note 15. Employee Benefit Plan . Fair Value of Financial Instruments The Company uses the following methods and assumptions in estimating fair value for financial instruments: · The fair value of the investments held by special purpose entities - time deposit is based on the present value of future cash flows at the current market rate. · The fair value of the investments held by special purpose entities - U.S. Treasury securities are measured based on quoted market prices in an active market. · The fair value of the senior notes held by special purpose entity is based on the present value of future cash flows at the current market rate. The carrying amount and fair value, measured on a nonrecurring basis, of the Company’s financial instruments were as follows: September 30, 2018 December 31, 2017 Carrying Carrying value Fair value Level value Fair value Level Assets Investments held by SPEs: Time deposit $ 200,000 $ 200,000 3 $ 200,000 $ 200,000 3 U.S. Treasury securities and cash $ 7,338 $ 6,916 1 $ 7,989 $ 7,797 1 Liabilities Senior Notes held by SPE $ 176,715 $ 187,606 3 $ 176,537 $ 198,530 3 Investments and Senior Notes Held by Special Purpose Entities In connection with a real estate sale in 2014, the Company received consideration including a $200.0 million fifteen-year installment note (the “Timber Note”) issued by Panama City Timber Finance Company, LLC. The Company contributed the Timber Note and assigned its rights as a beneficiary under a letter of credit to Northwest Florida Timber Finance, LLC. Northwest Florida Timber Finance, LLC monetized the Timber Note by issuing $180.0 million aggregate principal amount of its 4.8% Senior Secured Notes due in 2029 (the “Senior Notes”) at an issue price of 98.5% of face value to third party investors. The investments held by Panama City Timber Finance Company, LLC as of September 30, 2018, consist of a $200.0 million time deposit that, subsequent to April 2, 2014, pays interest at 4.0% and matures in March 2029, U.S. Treasuries of $6.9 million and cash of $0.4 million. The Senior Notes held by Northwest Florida Timber Finance, LLC as of September 30, 2018 consist of $176.7 million, net of the $3.3 million discount and debt issuance costs. Panama City Timber Finance Company, LLC and Northwest Florida Timber Finance, LLC are VIEs, which the Company consolidates as the primary beneficiary of each entity. |
Claim Settlement Receivable
Claim Settlement Receivable | 9 Months Ended |
Sep. 30, 2018 | |
Claim Settlement Receivable | |
Claim Settlement Receivable | 6. Claim Settlement Receivable On March 24, 2016, the Company entered into a full and final release agreement with BP p.l.c. and various related entities pursuant to which the Company, on its own behalf and on behalf of certain wholly owned subsidiaries, released any and all claims related to the Deepwater Horizon oil spill, which occurred on April 20, 2010. In exchange for this release, the Company will receive $13.2 million from BP Exploration & Production Inc., a large portion of which will reimburse the Company for expenses incurred. In each October 2018 and 2017, the Company received payments of $2.7 million and in October 2016, the Company received a payment of $5.0 million. The remaining settlement amount will be received in a payment of $2.7 million due in October 2019. The Company also received a guaranty of payments from BP North America Corporation Inc. As of March 24, 2016, the Company recorded the claim settlement receivable using an imputed interest rate of 3.0%, based on its best estimate of the prevailing market rates for the source of credit, resulting in an initial present value of $12.5 million and a discount of $0.7 million. The claim settlement of $12.5 million was recognized as other income in the Company’s consolidated statements of income for the year ended December 31, 2016. The discount is being accreted over the term of the receivable using the effective interest method. Interest income for the three and nine months ended September 30, 2018 was less than $0.1 million and $0.1 million, respectively. Interest income for the three and nine months ended September 30, 2017 was $0.1 million and $0.2 million, respectively. |
Sale of Vacation Rental Managem
Sale of Vacation Rental Management | 9 Months Ended |
Sep. 30, 2018 | |
Sale of Vacation Rental Management | |
Sale of Vacation Rental Management | 7. Sale of Vacation Rental Management In December 2017, the Company entered into and consummated an Asset Purchase Agreement (the “PCR Purchase Agreement”) with PCR Rentals LLC (“PCR”) for the sale of the Company’s short term vacation rental management business (the “PCR Rentals Sale”). The PCR Purchase Agreement contained representations and warranties, confidentiality and indemnification provisions of the type customarily found in these types of transactions. The Company also has a limited right of first refusal on any third party offer to purchase the vacation rental management business that will end upon the earlier of (i) 18 months after the date of the PCR Rentals Sale or (ii) the later of (x) the date of payoff of a promissory note secured by certain assets of PCR (the “PCR Note”) and (y) nine months after the date of the PCR Rentals Sale. On February 14, 2018, the PCR Note was paid in full, and as a result the right of first refusal will expire in November 2018. |
Other Assets
Other Assets | 9 Months Ended |
Sep. 30, 2018 | |
Other Assets | |
Other Assets | 8. Other Assets Other assets consist of the following: September 30, December 31, 2018 2017 Retained interest investments $ 11,388 $ 11,147 Accounts receivable, net 7,988 8,460 Notes receivable 3,963 9,522 Prepaid expenses 7,074 6,625 Straight line rent 3,656 3,804 Other assets 5,598 4,637 Accrued interest receivable for Senior Notes held by SPE 935 2,938 Total other assets $ 40,602 $ 47,133 Retained Interest Investments The Company has a beneficial interest in certain bankruptcy-remote qualified SPEs used in the installment sale monetization of certain sales of timberlands in 2007 and 2008. The SPEs’ assets are not available to satisfy the Company’s liabilities or obligations and the liabilities of the SPEs are not the Company’s liabilities or obligations. Therefore, the SPEs’ assets and liabilities are not consolidated in the Company’s condensed consolidated financial statements as of September 30, 2018 and December 31, 2017. The Company’s continuing involvement with the SPEs is the receipt of the net interest payments and the remaining principal of approximately $17.0 million to be received at the end of the installment notes’ fifteen year maturity period, in 2022 through 2024. The Company has a beneficial or retained interest investment related to these SPEs of $11.4 million and $11.1 million as of September 30, 2018 and December 31, 2017, respectively, recorded in other assets on the Company’s condensed consolidated balance sheets. Accounts Receivable, Net As of September 30, 2018, accounts receivable, net includes $2.4 million related to estimated lot residuals and certain estimated fees that are recognized as revenue at the time of sale to homebuilders, subject to constraints, and any change in circumstances from the estimated amounts will be updated at each reporting period. The receivable will be collected as the homebuilders build the homes and sell to retail buyers, which can occur over multiple years. Notes Receivable Notes receivable consists of the following: September 30, December 31, 2018 2017 PCR Note, secured by certain assets, 10% interest rate, principal payments due beginning September 2018 per agreed upon schedule, and any remaining amount outstanding is due by December 2020, paid in full February 2018 $ — $ 5,000 Pier Park Community Development District notes, non-interest bearing, due September 2022 803 1,527 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due February 2019 and any remaining amount outstanding is due by February 2020 1,160 — Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due September 2018 and any remaining amount outstanding is due by September 2019 809 904 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due June 2018 and any remaining amount outstanding is due by June 2019 506 857 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due November 2018 and any remaining amount outstanding is due by November 2019 336 1,060 Interest bearing homebuilder note, secured by the real estate sold — 6.3% interest rate, principal payment of less than $0.1 million due March 2019 and any remaining amount outstanding is due by March 2020 200 — Various mortgage notes, secured by certain real estate, bearing interest at various rates 149 174 Total notes receivable $ 3,963 $ 9,522 The Company evaluates the carrying value of the notes receivable and the need for an allowance for doubtful notes receivable at each reporting date. As of September 30, 2018 and December 31, 2017, there was no allowance for doubtful notes receivable. |
Real Estate Joint Ventures
Real Estate Joint Ventures | 9 Months Ended |
Sep. 30, 2018 | |
Real Estate Joint Ventures | |
Real Estate Joint Ventures | 9. Real Estate Joint Ventures The Company enters into real estate joint ventures, from time to time, for the purpose of developing real estate in which the Company may or may not have a controlling financial interest. GAAP requires consolidation of VIEs in which an enterprise has a controlling financial interest and is the primary beneficiary. A controlling financial interest will have both of the following characteristics: (a) the power to direct the VIE activities that most significantly impact economic performance and (b) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company examines specific criteria and uses judgment when determining whether the Company is the primary beneficiary and must consolidate a VIE. The Company continues to assess whether it is the primary beneficiary on an ongoing basis. Consolidated Real Estate Joint Ventures In April 2017, the Company entered into a joint venture agreement to develop, manage and lease apartments in Panama City Beach, Florida. The joint venture parties are working together to design, develop and construct a 240 unit multi-family apartment home community. The community will be located on land in the Pier Park area that was contributed to the joint venture by the Company. As of September 30, 2018 and December 31, 2017, the Company owned a 75.0% equity interest in the consolidated joint venture. The Company’s partners are responsible for the day-to-day activities of the joint venture. However, the Company has significant involvement in the design of the development and approves all major decisions, including project development, annual budgets and financing. The Company determined Pier Park Crossings JV is a VIE and that the Company is the VIE’s primary beneficiary as of September 30, 2018 and December 31, 2017. In December 2016, the Company transferred all of its interest in the Windmark Beach project to Windmark JV, LLC (“Windmark JV”). As of September 30, 2018 and December 31, 2017, the Company owned a 49.0% equity interest in Windmark JV. A wholly owned subsidiary of the Company is the managing member of Windmark JV and runs its day-to-day operations. Windmark JV owns and its members make major decisions related to the management and development of the Windmark Beach project. For financial accounting purposes, the Company is deemed to control Windmark JV, which is consolidated within the financial results of the Company as of September 30, 2018 and December 31, 2017. During 2012, the Company entered into a joint venture agreement with a partner to develop a retail center at Pier Park North. As of September 30, 2018 and December 31, 2017, the Company owned a 60.0% equity interest in the consolidated joint venture. The Company’s partner is responsible for the day-to-day activities of the joint venture. However, the Company has significant involvement in the design of the development and approves all major decisions, including project development, annual budgets and financing. The Company determined the joint venture is a VIE and that the Company is the VIE’s primary beneficiary as of September 30, 2018 and December 31, 2017. As of December 31, 2017, the Company was the primary beneficiary of Artisan Park, L.L.C and entitled to 74.0% of the profit or loss of this VIE. The Company is responsible for the day-to-day activities of Artisan Park L.L.C. Effective January 1, 2018, the Company acquired 100.0% ownership interest of Artisan Park, L.L.C. Unconsolidated Joint Ventures In April 2018, the Company entered into a joint venture agreement to develop and operate a 124 room hotel in Panama City Beach, Florida. The hotel will be located on land in the Pier Park area that is currently owned by the Company that will be contributed to the joint venture. As of September 30, 2018, the Company owned a 50.0% equity interest in the joint venture. The Company’s partners are responsible for the day-to-day activities of the joint venture. The Company has determined that it is not the primary beneficiary since it does not have the power to direct the activities that most significantly impact the economic performance of the joint venture. The Company determined Pier Park TPS, LLC (“Pier Park TPS JV”) is an unconsolidated joint venture that is accounted for using the equity method. As of September 30, 2018, the investment in the unconsolidated joint venture was $0.2 million and the Company’s maximum exposure to loss in the unconsolidated joint venture is generally limited to its investment in the joint venture. For the three and nine months ended September 30, 2018, the Company did not recognize any income accounted for under the equity method. As of September 30, 2018 and December 31, 2017, the Company was a partner in ALP Liquidating Trust (“ALP”) that is accounted for using the equity method. The joint venture was entered into to develop and sell certain mixed use residential and commercial projects. In 2008, the Company wrote-off its investment in ALP as a result of ALP reserving its assets to satisfy potential claims and obligations in accordance with its publicly reported liquidation basis of accounting. Subsequently, ALP changed its method of accounting to a going concern basis and reinstated its equity and stated it would report certain expenses as they are incurred. The Company has not recorded any additional equity income as a result of ALP’s change in accounting. As of September 30, 2018, the Company beneficially owned 23.9% of ALP’s outstanding beneficial interest units. Financial information for ALP is provided to the Company on a delayed basis. The summarized information as of June 30, 2018 and December 31, 2017 includes total assets of $10.1 million and $10.2 million, respectively, total liabilities of $0.2 million and $0.1 million, respectively and total equity of $9.9 million and $10.1 million, respectively. For the three and six months ended June 30, 2018, ALP reported a net loss of less than $0.1 million and $0.2 million, respectively. For the three and six months ended June 30, 2017, ALP reported a net loss of $0.2 million and $0.4 million, respectively. |
Debt, Net
Debt, Net | 9 Months Ended |
Sep. 30, 2018 | |
Debt, Net | |
Debt, Net | 10. Debt, Net Debt consists of the following at September 30, 2018: Unamortized Discount and Debt Issuance Principal Costs Net PPN JV Loan, due November 2025, bearing interest at 4.1% $ 46,644 $ 462 $ 46,182 Loan in the Pier Park Crossings JV, insured by The United States Department of Housing and Urban Development, due June 2060, bearing interest at 4.0% 8,311 1,121 7,190 Community Development District debt, secured by certain real estate or other collateral, due May 2023 — May 2039, bearing interest at 3.6% to 6.0% 6,407 — 6,407 Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% (effective rate of 4.0% at September 30, 2018) 1,598 17 1,581 WaterColor Crossings Construction Loan, due February 2029, bearing interest at LIBOR plus 1.7% (effective rate of 4.0% at September 30, 2018) 993 27 966 Total debt $ 63,953 $ 1,627 $ 62,326 Debt consists of the following at December 31, 2017: Unamortized Discount and Debt Issuance Principal Costs Net PPN JV Loan, due November 2025, bearing interest at 4.1% $ 47,295 $ 512 $ 46,783 Community Development District debt, secured by certain real estate or other collateral, due May 2031 — May 2039, bearing interest at 3.6% to 7.0% 7,241 — 7,241 Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% (effective rate of 3.3% at December 31, 2017) 1,624 18 1,606 Total debt $ 56,160 $ 530 $ 55,630 In October 2015, the Pier Park North JV refinanced a construction loan by entering into a $48.2 million loan (the “PPN JV Loan”). As of September 30, 2018, the PPN JV Loan was secured by a first lien on, and security interest in, a majority of the Pier Park North JV’s property. In connection with the PPN JV Loan, the Company entered into a limited guarantee in favor of the lender, based on its percentage ownership of the joint venture. In addition, the guarantee can become full recourse in the case of any fraud or intentional misrepresentation by the Pier Park North JV; any voluntary transfer or encumbrance of the property in violation of the due-on-sale clause in the security instrument; upon commencement of voluntary bankruptcy or insolvency proceedings and upon breach of covenants in the security instrument. In May 2018, the Pier Park Crossings JV entered into a $36.6 million loan, insured by the United States Department of Housing and Urban Development (“HUD”), to finance the construction of apartments in Panama City Beach, Florida (the “PPC JV Loan”). The PPC JV Loan provides for interest only payments during the first twenty-four months and monthly principal and interest payments thereafter through maturity in June 2060. The PPC JV Loan may not be prepaid prior to July 1, 2020. From July 1, 2020 through June 30, 2030, a prepayment premium is due to the lender of 1.0% - 10.0% of the principal prepaid. The PPC JV Loan is secured by the Pier Park Crossings JV’s real property and the assignment of rents and leases. Community Development District (“CDD”) bonds financed the construction of infrastructure improvements at some of the Company’s projects. The principal and interest payments on the bonds are paid by assessments on the properties benefited by the improvements financed by the bonds. The Company has recorded a liability for CDD debt that is associated with platted property, which is the point at which it becomes fixed or determinable. Additionally, the Company has recorded a liability for the portion of the CDD debt that is associated with unplatted property if it is probable and reasonably estimable that the Company will ultimately be responsible for repayment. The Company’s total outstanding CDD debt was $20.0 million and $21.7 million as of September 30, 2018 and December 31, 2017, respectively. The Company pays interest on this total outstanding CDD debt. During the second quarter of 2018, the CDD at SouthWood completed a refinance of its 2008 and 2011 bonds into 2018 bonds, reducing the interest rates. In March 2017, a wholly owned subsidiary of the Company entered into a $1.6 million construction loan to finance the construction of a commercial leasing property located in Panama City Beach, Florida (the “Pier Park Outparcel Construction Loan”). The Pier Park Outparcel Construction Loan provides for interest only payments during the first twelve months and monthly principal and interest payments thereafter with a final balloon payment at maturity. The Pier Park Outparcel Construction Loan is secured by the real property, assignment of rents and the security interest in the rents and personal property. In connection with the Pier Park Outparcel Construction Loan, the Company executed a guarantee in favor of the lender to guarantee the payment and performance of the borrower under the Pier Park Outparcel Construction Loan until the project meets certain cash flow stabilization requirements. In February 2018, a wholly owned subsidiary of the Company entered into a $1.9 million construction loan to finance the construction of a commercial leasing property located in Santa Rosa Beach, Florida (the “WaterColor Crossings Construction Loan”). The WaterColor Crossings Construction Loan provides for interest only payments during the first twelve months and monthly principal and interest payments thereafter with a final balloon payment at maturity. The WaterColor Crossings Construction Loan is secured by the real property, assignment of rents and the security interest in the rents and personal property. In connection with the WaterColor Crossings Construction Loan, the Company executed a guarantee in favor of the lender to guarantee the payment and performance of the borrower under the WaterColor Crossings Construction Loan. In May 2018, a wholly owned subsidiary of the Company entered into a $1.7 million construction loan to finance the construction of two beach homes located in Panama City Beach, Florida (the “Beach Homes Loan”). The Beach Homes Loan provides for interest only payments during the first twelve months and monthly principal and interest payments thereafter with a final balloon payment at maturity. The Beach Homes Loan is secured by the real property, assignment of rents and the security interest in the rents and personal property. In connection with the Beach Homes Loan, the Company executed a guarantee in favor of the lender to guarantee the payment and performance of the borrower under the Beach Homes Loan. As of September 30, 2018, there was no principal balance and the Company incurred less than $0.1 million of loan costs related to the Beach Homes Loan. The aggregate maturities of debt subsequent to September 30, 2018, for the years ending December 31 are: September 30, 2018 2018 $ 260 2019 1,583 2020 1,792 2021 1,976 2022 1,957 Thereafter 56,385 $ 63,953 |
Other Liabilities
Other Liabilities | 9 Months Ended |
Sep. 30, 2018 | |
Other Liabilities | |
Other Liabilities | 11. Other Liabilities Other liabilities consist of the following: September 30, December 31, 2018 2017 Accounts payable $ 10,526 $ 7,524 Accrued compensation 2,884 2,664 Deferred revenue 17,715 17,864 Membership deposits and initiation fees 9,962 9,704 Advance deposits 1,512 1,468 Other accrued liabilities 6,694 5,185 Accrued interest expense for Senior Notes held by SPE 713 2,850 Total other liabilities $ 50,006 $ 47,259 Deferred revenue as of September 30, 2018 and December 31, 2017 includes $12.5 million related to a 2006 agreement pursuant to which the Company agreed to sell land to the Florida Department of Transportation. Revenue is recognized when title to a specific parcel is legally transferred. Membership deposits and initiation fees consist of deposits and fees received for club memberships. Initiation fees are recognized as revenue over the estimated average duration of membership, which is evaluated periodically. Advance deposits consist of deposits received on hotel rooms and vacation rentals. Advance deposits are recorded as other liabilities in the condensed consolidated balance sheets without regard to whether they are refundable and are recognized as income at the time the service is provided for the related deposit. Other accrued liabilities include $3.4 million of accrued property taxes as of September 30, 2018, which are generally paid annually in November. As of December 31, 2017 the Company had no accrued property taxes. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Taxes | |
Income Taxes | 12. Income Taxes Income tax expense attributable to income from operations differed from the amount computed by applying the statutory federal income tax rate of 21% as of September 30, 2018 and 35% as of September 30, 2017 to pre-tax income or loss as a result of the following: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Tax at the federal statutory rate $ 420 $ 3,005 $ 7,402 $ 11,167 State income taxes (net of federal benefit) 88 301 1,532 1,117 2017 qualified timber gains at the federal statutory rate of 23.8% (1) — — (524) — Decrease in valuation allowance (3,480) (250) (4,931) (846) Change in federal AMT credit carryforward (1) (511) — (511) — Other — (413) (153) (607) Total income tax (benefit) expense $ (3,483) $ 2,643 $ 2,815 $ 10,831 (1) The Bipartisan Budget Act of 2018 was signed into law on February 9, 2018 (the “2018 Act”). The 2018 Act retroactively re-established the preferential 23.8% tax rate on C Corporation Qualified Timber Gains, extending its applicability from 2016 to include the 2017 tax year. The benefit of this retroactive tax rate reduction is being included in 2018 income from continuing operations. As of September 30, 2018 and December 31, 2017, the Company had state net operating loss carryforwards of $364.3 million and $391.7 million, respectively and no federal net operating loss carryforwards. The majority of state net operating losses are available to offset future taxable income through 2036. As of December 31, 2017, the Company had an income tax receivable of $8.4 million related to the reclassification of a federal AMT credit carryforward following the enactment of the Tax Act in December 2017, which is refundable to the Company in the years 2018 through 2021. During the nine months ended September 30, 2018, the federal AMT credit carryforward increased $1.0 million, including $0.5 million for the Qualified Timber Gain preferential rate and $0.5 million for actual deductible expenses, both of which were included on the Company’s 2017 tax return. During the nine months ended September 30, 2018, the Company also applied $6.0 million of current income tax payable to this receivable, resulting in an income tax receivable of $3.4 million as of September 30, 2018. The Tax Act was enacted on December 22, 2017 and changed many aspects of U.S. corporate income taxation including reducing the U.S. federal corporate tax rate from 35% to 21% for tax years beginning after December 31, 2017. The Company recognized the tax effects of the Tax Act during the year ended December 31, 2017, which included a $33.5 million income tax benefit from the reassessment of net deferred tax balances to reflect the newly enacted tax rate. In general, a valuation allowance is recorded if, based on the available evidence, it is more likely than not that some portion or all of the deferred tax asset will not be realized. Realization of the Company’s deferred tax assets is dependent upon the Company generating sufficient taxable income in future years in the appropriate tax jurisdictions to obtain a benefit from the reversal of deductible temporary differences and from loss carryforwards. In the third quarter of 2018, the Company reassessed its valuation allowance requirements and evaluated all available evidence in its analysis, including historical and projected pre-tax profits. Based on this assessment the Company determined that it had the ability to realize the net operating loss carryforward and release the valuation allowance. During the three and nine months ended September 30, 2018, the Company recorded $3.5 million and $5.0 million, respectively, of tax benefits related to the reversal of its valuation allowance established on deferred tax assets. As of December 31, 2017, the Company had a valuation allowance of $5.0 million. The Company had approximately $2.1 million of total unrecognized tax benefits as of both September 30, 2018 and December 31, 2017. Of this total, there are no amounts of unrecognized tax benefits that, if recognized, would affect the effective income tax rate. There were no decreases or increases related to prior year or current year tax positions. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2018 | |
Accumulated Other Comprehensive Loss | |
Accumulated Other Comprehensive Loss | 13. Accumulated Other Comprehensive Loss Following is a summary of the changes in the balances of accumulated other comprehensive loss, which is presented net of tax, as of September 30, 2018: Unrealized Gain and (Loss) on Available- for-Sale Securities Accumulated other comprehensive loss at December 31, 2017 $ (1,461) Other comprehensive income before reclassifications (1,295) Amounts reclassified from accumulated other comprehensive loss 2,454 Other comprehensive income 1,159 Accumulated other comprehensive loss at September 30, 2018 $ (302) Following is a summary of the tax effects allocated to other comprehensive income (loss) for the three months ended September 30, 2018 and 2017: Three Months Ended September 30, 2018 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized loss on investments - debt securities: Unrealized loss on available-for-sale investments $ (1,244) $ 316 $ (928) Reclassification adjustment for other-than-temporary impairment loss included in earnings 1,660 (421) 1,239 Net unrealized gain 416 (105) 311 Other comprehensive income $ 416 $ (105) $ 311 Three Months Ended September 30, 2017 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized (loss) gain on investments and restricted investments: Unrealized loss on available-for-sale investments $ (683) $ 263 $ (420) Unrealized gain on restricted investments 4 (2) 2 Reclassification adjustment for net loss included in earnings 104 (40) 64 Reclassification adjustment for other-than-temporary impairment loss included in earnings 403 (296) 107 Net unrealized loss (172) (75) (247) Other comprehensive loss $ (172) $ (75) $ (247) Following is a summary of the tax effects allocated to other comprehensive income (loss) for the nine months ended September 30, 2018 and 2017: Nine Months Ended September 30, 2018 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized loss on investments - debt securities and restricted investments: Unrealized loss on available-for-sale investments $ (1,726) $ 438 $ (1,288) Unrealized loss on restricted investments (9) 2 (7) Reclassification adjustment for net loss included in earnings 1,050 (266) 784 Reclassification adjustment for other-than-temporary impairment loss included in earnings 1,723 (436) 1,287 Reclassification into retained earnings for the adoption of ASU 2016-01 (1) 932 (236) 696 Reclassification into retained earnings for the adoption of ASU 2018-02 (2) — (313) (313) Net unrealized gain 1,970 (811) 1,159 Other comprehensive income $ 1,970 $ (811) $ 1,159 (1) The reclassification into retained earnings relates to the adoption of ASU 2016‑01. The new guidance was effective January 1, 2018, and required equity investments to be measured at fair value with changes in fair value recognized in results of operations rather than the condensed consolidated statements of comprehensive income. See Note 2. Summary of Significant Accounting Policies . (2) The reclassification into retained earnings relates to the adoption of ASU 2018‑02. The new guidance was effective January 1, 2018, and allowed a reclassification from accumulated other comprehensive income (loss) to retained earnings for stranded tax effects resulting from the Tax Act. See Note 2. Summary of Significant Accounting Policie s. Nine Months Ended September 30, 2017 Before- Tax (Expense) or Net-of- Tax Amount Benefit Tax Amount Unrealized gain on investments: Unrealized gain on available-for-sale investments $ 3,967 $ (1,526) $ 2,441 Unrealized gain on restricted investments 4 (2) 2 Reclassification adjustment for net gain included in earnings (10,757) 4,143 (6,614) Reclassification adjustment for other-than-temporary impairment loss included in earnings 769 (296) 473 Net unrealized loss (6,017) 2,319 (3,698) Other comprehensive loss $ (6,017) $ 2,319 $ (3,698) |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2018 | |
Stockholders’ Equity | |
Stockholders' Equity | 14. Stockholders’ Equity Stock Repurchase Program The Company’s Board has approved a stock repurchase program (the “Stock Repurchase Program”) pursuant to which the Company is authorized to repurchase shares of its common stock. The Stock Repurchase Program has no expiration date. During the nine months ended September 30, 2018 and 2017, the Company repurchased 5,238,566 and 7,811,937 shares, respectively, of its common stock at an average purchase price of $17.82 and $17.42, per share, respectively, for an aggregate purchase price of $93.4 million and $136.0 million, respectively, pursuant to its Stock Repurchase Program. As of September 30, 2018, the Company had a total authority of $42.9 million available for purchase of shares of its common stock pursuant to its Stock Repurchase Program. The Company may repurchase its common stock in open market purchases from time to time, in privately negotiated transactions or otherwise, pursuant to Rule 10b‑18 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The timing and amount of any additional shares to be repurchased will depend upon a variety of factors, including market and business conditions. Repurchases may be commenced or suspended at any time or from time to time without prior notice. The Stock Repurchase Program will continue until otherwise modified or terminated by the Company’s Board at any time in its sole discretion. In September 2018, the Company retired 5,238,566 shares of treasury stock at an aggregate cost of $93.4 million. Issuance of Common Stock for Director’s Fees On May 23, 2018, the Company’s Board approved granting to each non-employee director an equity grant with an aggregate fair market value of $50,000 or, at the director’s election, its cash equivalent. On July 2, 2018, 2,778 shares of restricted stock were granted to one of the Company’s directors pursuant to the Board’s May 23, 2018 approval and the Company’s 2015 Performance and Equity Incentive Plan (the “2015 Plan”). This restricted stock will vest on the date of the Company’s 2019 Annual Meeting of Shareholders (the “2019 Annual Meeting”) and is subject to forfeiture upon termination of service on the Board prior to the 2019 Annual Meeting. Three non-employee directors elected to receive cash in lieu of the stock. On May 25, 2017, the Company’s Board approved granting to each non-employee director an equity grant with an aggregate fair market value of $50,000 or, at the director’s election, its cash equivalent. On July 3, 2017, 5,334 shares of restricted stock were granted to two of the Company’s directors pursuant to the Board’s May 25, 2017 approval and the Company’s 2015 Plan. This restricted stock vested on May 23, 2018, the date of the Company’s 2018 Annual Meeting of Shareholders. Four non-employee directors elected to receive cash in lieu of the stock. On May 17, 2016, the Board approved the issuance of 8,919 restricted stock awards to three members of the Board as part of their 2016 compensation package and pursuant to the 2015 Plan. These restricted stock awards vested 25% on the date of issue and 25% on August 17, 2016, November 17, 2016 and February 17, 2017. For each of the three and nine months ended September 30, 2018 and 2017, the Company recorded expense of less than $0.1 million, related to restricted stock awards to the Company’s directors. Issuance of Common Stock for Officer Compensation Pursuant to the Company’s 2015 Plan, the Company’s named executive officers (“NEOs”) were provided with the opportunity to elect to receive up to 50% of their discretionary cash incentive award for 2017 performance in shares of Company stock and four of the Company’s NEOs elected to do so. On March 15, 2018, 9,956 shares of restricted stock were granted to four of the Company’s NEOs. The restricted stock vested immediately. For the nine months ended September 30, 2018, the Company recorded expense of $0.2 million related to restricted stock awards to the Company’s NEOs. |
Employee Benefit Plan
Employee Benefit Plan | 9 Months Ended |
Sep. 30, 2018 | |
Employee Benefit Plan | |
Employee Benefit Plan | 15. Employee Benefit Plan The Company maintains a 401(k) retirement plan covering substantially all officers and employees of the Company, which permits participants to defer up to the maximum allowable amount determined by the IRS of their eligible compensation. As part of the Pension Plan termination in 2014, the Company directed the Pension Plan to transfer $7.9 million of the Pension Plan’s surplus assets into a suspense account in the Company’s 401(k) Plan. The Company has retained the risks and rewards of ownership of these assets; therefore, the assets held in the suspense account are included in the Company’s condensed consolidated financial statements until they are allocated to participants. As of September 30, 2018, and December 31, 2017, the fair value of these assets was recorded in restricted investments on the Company’s condensed consolidated balance sheets and were $3.4 million and $4.5 million, respectively. The Company expenses the fair value of the assets at the time the assets are allocated to participants, which is expected to be allocated up to the next three years. During the nine months ended September 30, 2018 and 2017, the Company recorded an expense of $1.1 million and $1.2 million, respectively, for the fair value of the assets, less expenses, that were allocated to participants. Any gain or loss on these assets is reflected in the Company’s condensed consolidated statements of income and was less than a $0.1 million loss for the three and nine months ended September 30, 2018 and less than a $0.1 million gain for the three and nine months ended September 30, 2017. Refer to Note 5. Financial Instruments and Fair Value Measurements . |
Other Income (Expense)
Other Income (Expense) | 9 Months Ended |
Sep. 30, 2018 | |
Other Income (Expense) | |
Other Income (Expense) | 16. Other Income (Expense) Other income (expense) consists of the following: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Investment income, net Interest and dividend income $ 1,802 $ 4,445 $ 7,025 $ 13,016 Accretion income 218 375 641 1,696 Net realized gain (loss) on the sale of investments 125 (104) (961) 10,757 Other-than-temporary impairment loss (1,660) (403) (1,723) (769) Unrealized (loss) gain on investments, net (89) — 641 — Interest income from investments in SPEs 2,049 2,050 6,148 6,151 Interest accrued on notes receivable and other interest 130 89 450 259 Total investment income, net 2,575 6,452 12,221 31,110 Interest expense Interest expense and amortization of discount and issuance costs for Senior Notes issued by SPE (2,197) (2,195) (6,590) (6,582) Other interest expense (729) (843) (2,315) (2,535) Total interest expense (2,926) (3,038) (8,905) (9,117) Other income (expense), net Accretion income from retained interest investments 316 279 909 813 Miscellaneous (expense) income, net (48) 304 (122) 3,833 Other income, net 268 583 787 4,646 Total other (expense) income, net $ (83) $ 3,997 $ 4,103 $ 26,639 Investment Income, Net Interest and dividend income includes interest income accrued or received on the Company’s corporate debt securities, commercial paper and money market funds, and dividend income received from the Company’s preferred stock and other investments. Accretion income includes the amortization of the premium or accretion of discount related to the Company’s available-for-sale securities, which is amortized based on an effective interest rate method over the term of the available-for- sale securities. Net realized gain (loss) on the sale of investments include the gains or losses recognized on the sale of available-for-sale securities prior to maturity. Other-than-temporary impairment loss includes impairments related to the Company’s corporate debt securities for the three and nine months ended September 30, 2018 and impairments related to the Company’s corporate debt securities and preferred stock for the three and nine months ended September 30, 2017. Unrealized (loss) gain on investments, net includes unrealized gains or losses on investments - equity securities due to the adoption of ASU 2016‑01. Prior to 2018, unrealized gains or losses related to these investments were recorded in accumulated other comprehensive loss. Interest income from investments in SPEs primarily includes interest accrued or received on the investments held by Panama City Timber Finance Company, LLC, which is used to pay the interest expense for Senior Notes held by Northwest Florida Timber Finance, LLC. Interest Expense Interest expense includes interest expense related to the Company’s CDD debt, PPN JV Loan and Pier Park Outparcel Construction Loan. Borrowing costs, including the discount and issuance costs for the Senior Notes issued by Northwest Florida Timber Finance, LLC, are amortized based on the effective interest method at an effective rate of 4.9%. Other Income, Net Other income, net primarily includes income from the Company’s retained interest investments, insurance settlement proceeds and other income and expense items. During the nine months ended September 30, 2017, the Company negotiated an insurance settlement that resulted in proceeds of $3.5 million, for reimbursement of certain attorney fees and related costs incurred by the Company. This amount was included in other income, net in the condensed consolidated statements of income. The Company records the accretion of investment income from its retained interest investment over the life of the retained interest using the effective yield method with rates ranging from 3.7% to 12.2%. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2018 | |
Segment Information | |
Segment Information | 17. Segment Information The Company conducts primarily all of its business in the following four reportable operating segments: (1) residential real estate, (2) resorts and leisure, (3) commercial leasing and sales and (4) forestry. Prior to the fourth quarter of 2017, commercial real estate and leasing operations were treated as individual operating segments. See Note 1. Nature of Operations for additional information. The Company’s reportable segments are strategic business units that offer different products and services. They are each managed separately and decisions about allocations of resources are determined by management based on these strategic business units. The adoption of Topic 606 impacted the Company’s residential real estate segment as detailed below and had a de minimis impact on the resorts and leisure segment, but did not impact the commercial leasing and sales or forestry segments. The following summary details the Company’s revenue and the related timing of revenue recognition, along with cost of revenue by segment. Revenue from real estate sales, including sales of homesites, commercial properties, operating properties and rural or timberland, is recognized at the point in time when a sale is closed and title transfers to the buyer, the buyer’s initial investment is adequate, any receivables are probable of collection, the usual risks and rewards of ownership have been transferred to the buyer and the Company does not have significant continuing involvement with the real estate sold. The residential real estate segment generates revenue from the sale of developed homesites; the sale of parcels of entitled, undeveloped land; a lot residual on homebuilder sales that provides the Company a percentage of the sale price of the completed home if the home price exceeds a negotiated threshold; the sale of tap and impact fee credits; marketing fees and other fees on certain transactions. Prior to 2018, these lot residuals and certain fees were recognized in revenue when consideration was received by the Company in periods subsequent to the initial recognition of revenue for the sale of the homesite. Effective January 1, 2018, with the adoption of Topic 606, estimated lot residuals and certain estimated fees are recognized as revenue at the point in time of the sale to homebuilders, subject to constraints, and any change in circumstances from the estimated amounts will be updated at each reporting period. See Note 2. Summary of Significant Accounting Policies . The residential real estate segment incurs cost of revenue primarily from costs directly associated with the land, development and construction of real estate sold and indirect costs such as development overhead, capitalized interest, marketing, project administration and selling costs. As part of the Company’s April 2014 RiverTown real estate sale, the buyer, an affiliate of Mattamy (Jacksonville) Partnership d/b/a Mattamy Homes (“Mattamy”), was obligated to pay certain impact fees to the Company prior to April 2, 2019 and, depending on circumstances, potentially thereafter. On April 3, 2018, the Board of County Commissioners for St. Johns County adopted revised impact fee schedules that went into effect as of July 3, 2018, and increased impact fee rates for residential units. In June 2018, the Company received $23.1 million from Mattamy to pay the estimated impact fees based on Mattamy’s current development plans and the impact fee schedule in effect at the time of the payment. For the nine months ended September 30, 2018, the impact fees of $23.1 million were included in real estate revenue in the Company’s condensed consolidated statements of income. Mattamy may be required to pay to the Company additional impact fees based on its future development plans. Any consideration the Company may receive for additional impact fees will be based on a variety of factors outside the Company’s control, including impact fee increases or decreases by St. Johns County, home sizes and the number of homes built in the project. The Company received impact fees for a total of less than $0.1 million and $0. 2 million during the three months ended September 30, 2018 and 2017, respectively. The Company received impact fees for a total of $23.5 million and $0.5 million during the nine months ended September 30, 2018 and 2017, respectively. From April 2014 through September 30, 2018, the Company has received approximately $25.1 million in impact fee payments from Mattamy. The resort and leisure segment generates revenue and incurs costs from the WaterColor Inn and WaterSound Inn, the vacation rental program, management of The Pearl Hotel, membership sales, membership reservations, restaurants, golf courses, a beach club, marina operations and other related resort activities. The revenue is generally recognized at the point in time as services are provided. WaterColor Inn, WaterSound Inn, Vacation Rentals and Other Management Services - WaterColor Inn, WaterSound Inn and vacation rentals generate revenue from (1) the WaterColor Inn, WaterSound Inn and other management services, (2) management of The Pearl Hotel, (3) vacation rentals and (4) restaurants. The WaterColor Inn and WaterSound Inn generate revenue from service and rental fees and incur expenses from the cost of services and goods provided, maintenance of the inns’ facilities, personnel costs and third-party management fees. Revenue generated from the Company’s management services of The Pearl Hotel includes a monthly management fee, fifty percent of certain resort fees and a percentage of The Pearl Hotel’s gross operating profit. Expenses include primarily internal administrative costs. Prior to the sale of the short term vacation rental management business during December 2017, the vacation rental management business generated revenue from the rental of private homes owned by third parties and other services, which included the entire rental fee collected from the customer, including the homeowner’s portion. A percentage of the fee was remitted to the homeowner and presented in the cost of resorts and leisure revenue. Following the December 2017 sale, the Company no longer manages third party vacation rentals, but continues to manage vacation rental properties the Company owns. The vacation rental business incurs expenses from the holding cost of assets the Company owns and standard lodging personnel, such as front desk, reservations and marketing personnel. The Company’s restaurants generate revenue from food and beverage sales and incur expenses from the cost of services and goods provided and standard restaurant personnel costs. Clubs - Club operations include the Company’s golf courses, beach club and facilities that generate revenue from membership sales, membership reservations, daily play at the golf courses, merchandise sales and food and beverage sales and incur expenses from the services provided, maintenance of the golf courses, beach club and facilities, personnel costs and third-party management fees. Club membership revenue is recognized when billed to the member and the non-refundable initiation fee is deferred and recognized ratably over the estimated membership period. Marinas - The Company’s marinas generate revenue from boat slip rentals recognized over the term of the lease and fuel sales recognized at the time of sale, and incur expenses from cost of services provided, maintenance of the marina facilities, personnel costs and third-party management fees. The commercial leasing and sales segment includes leasing retail, office and commercial property, cell towers, and other assets as well as planning, development, entitlement, management and sale of the Company’s commercial land holdings for a variety of uses, including a broad range of retail, office, hotel, multi-family and industrial uses. Leasing revenue consists of long term rental revenue, which is recognized as earned, using the straight-line method over the life of each lease. Certain leases provide for tenant occupancy during periods for which no rent is due or where minimum rent payments change during the lease term. Accordingly, a receivable or liability is recorded representing the difference between the straight-line rent and the rent that is contractually due from the tenant. The commercial leasing and sales segment incurs leasing expenses primarily from maintenance and management of the Company’s properties, personnel costs and asset holding costs. Leasing operations include properties located in the Company’s Beckrich Office Park, consolidated Pier Park North JV and Windmark JV, as well as the Company’s industrial park, VentureCrossings and other properties. The commercial leasing and sales segment also generates revenue from the sale of developed and undeveloped land for retail, office, hotel, multi-family and industrial uses, from the sale of undeveloped land or land with limited development and entitlements and from the sale of commercial operating properties, which are recognized at the point in time when a sale is closed and title transfers to the buyer, the buyer’s initial investment is adequate, any receivables are probable of collection, the usual risks and rewards of ownership have been transferred to the buyer and the Company does not have significant continuing involvement with the real estate sold. Real estate sales in the commercial leasing and sales segment incur costs of revenue directly associated with the land, development, construction and selling costs. Pier Park North JV, Pier Park Crossings JV and other assets, which are subject to third-party financing incur interest and financing expenses related to the loans as described in Note 10. Debt, Net . The forestry segment produces and sells pulpwood, sawtimber and other forest products and may sell the Company’s timber or rural land holdings. Revenue from the sale of the Company’s forestry products is primarily from open market sales of timber on site without the associated delivery costs and is derived from either pay-as-cut sales contracts or timber bid sales. Under a pay-as-cut sales contract, the risk of loss and title to the specified timber transfers to the buyer when cut by the buyer, and the buyer or some other third party is responsible for all logging and hauling costs, if any. Revenue is recognized at the point in time when risk of loss and title are transferred. Timber bid sales are agreements in which the buyer agrees to purchase and harvest specified timber (i.e., mature pulpwood and/or sawlogs) on a tract of land over the term of the contract. Unlike a pay-as-cut sales contract, risk of loss and title to the trees transfer to the buyer when the contract is signed and revenue is recognized accordingly. The buyer pays the full purchase price when the contract is signed and the Company does not have any additional performance obligations. The forestry segment incurs costs of revenue from internal costs of forestry management and property taxes. The forestry segment may also generate revenue from the sale of the Company’s timber holdings, undeveloped land or land with limited development and easements, which are recognized at the point in time when a sale is closed and title transfers to the buyer, the buyer’s initial investment is adequate, any receivables are probable of collection, the usual risks and rewards of ownership have been transferred to the buyer and the Company does not have significant continuing involvement with the real estate sold. Costs incurred as part of a sale of these lands may include the cost of timber, land, minimal development costs and selling costs. Leasing revenue within the forestry segment consists primarily of hunting leases, which is recognized as income over the term of each lease. The Company uses income before income taxes and non-controlling interest and other measures for purposes of making decisions about allocating resources to each segment and assessing each segment’s performance, which the Company believes represents current performance measures. The accounting policies of the segments are set forth in Note 2 to the Company’s consolidated financial statements contained in Item 15 of the Company’s Annual Report on Form 10‑K for the year ended December 31, 2017. Total revenue represents sales to unaffiliated customers, as reported in the Company’s condensed consolidated statements of income. All significant intercompany transactions have been eliminated in consolidation. The category entitled “Other” consists of mitigation credit and title fee revenue and non-allocated corporate general and administrative expenses, net of investment income. Information by business segment is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Operating revenue: Residential real estate (a) $ 1,959 $ 9,411 $ 37,749 $ 15,391 Resorts and leisure 12,565 18,198 33,284 45,633 Commercial leasing and sales 6,225 3,470 12,720 11,028 Forestry revenue 2,627 2,719 7,415 5,630 Other (b) 300 190 2,806 467 Consolidated operating revenue $ 23,676 $ 33,988 $ 93,974 $ 78,149 (Loss) income before income taxes: Residential real estate (a) $ (368) $ 1,802 $ 26,048 $ 3,026 Resorts and leisure 1,747 2,916 3,615 4,521 Commercial leasing and sales 609 (164) 329 (301) Forestry 2,072 2,437 5,830 4,808 Other (2,199) 1,793 (972) 19,720 Consolidated income before income taxes $ 1,861 $ 8,784 $ 34,850 $ 31,774 September 30, December 31, 2018 2017 Total assets: Residential real estate $ 122,654 $ 117,732 Resorts and leisure 75,334 83,151 Commercial leasing and sales 177,048 163,271 Forestry 20,715 20,212 Other 474,849 536,627 Total assets $ 870,600 $ 920,993 (a) Includes revenue of $23.1 million for the nine months ended September 30, 2018 for a one-time payment of RiverTown impact fees related to the 2014 RiverTown real estate sale . (b) Includes revenue of $2.2 million for the nine months ended September 30, 2018 related to a specific sale of mitigation bank credits . |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2018 | |
Commitments and Contingencies | |
Commitments and Contingencies | 18. Commitments and Contingencies The Company establishes an accrued liability when it believes it is both probable that a material loss has been incurred and the amount of the loss can be reasonably estimated. The Company will evaluate the range of reasonably estimated losses and record an accrued liability based on what it believes to be the minimum amount in the range, unless it believes an amount within the range is a better estimate than any other amount. In such cases, there may be an exposure to loss in excess of the amounts accrued. The Company evaluates quarterly whether further developments could affect the amount of the accrued liability previously established or would make a loss contingency both probable and reasonably estimable. The Company also provides disclosure when it believes it is reasonably possible that a material loss will be incurred or when it believes it is reasonably possible that the amount of a loss will exceed the recorded liability. The Company reviews loss contingencies at least quarterly to determine whether the likelihood of loss has changed and to assess whether a reasonable estimate of the loss or range of loss can be made. This estimated range of possible losses is based upon currently available information and is subject to significant judgment and a variety of assumptions, as well as known and unknown uncertainties. The matters underlying the estimated range will change from time to time, and actual results may vary significantly from the current estimate. The Company is subject to a variety of litigation, claims, other disputes and governmental proceedings that arise from time to time in the ordinary course of its business, including litigation related to its prior homebuilding and development activities. The Company cannot assure that it will be successful in defending these matters. Based on current knowledge, the Company does not believe that loss contingencies arising from pending litigation, claims, other disputes and governmental proceedings, including those described herein, will have a material adverse effect on the consolidated financial position or liquidity of the Company. However, in light of the inherent uncertainties involved in these matters, an adverse outcome in one or more of these matters could be material to the Company’s results of operations or cash flows for any particular reporting period. The Company is subject to costs arising out of environmental laws and regulations, which include obligations to remove or limit the effects on the environment of the disposal or release of certain wastes or substances at various sites, including sites which have been previously sold. It is the Company’s policy to accrue and charge against earnings environmental cleanup costs when it is probable that a liability has been incurred and a range of loss can be reasonably estimated. As assessments and cleanups proceed, these accruals are reviewed and adjusted, if necessary, as additional information becomes available. The Company is in the process of assessing certain properties in regard to the effects, if any, on the environment from the disposal or release of wastes or substances. Management is unable to quantify future rehabilitation costs above present accruals at this time or provide a reasonably estimated range of loss. Other litigation, claims, disputes and governmental proceedings, including environmental matters, are pending against the Company. Accrued aggregate liabilities related to the matters described above and other litigation matters were $1.3 million as of each September 30, 2018 and December 31, 2017, respectively. Significant judgment is required in both the determination of probability and the determination as to whether the amount of an exposure is reasonably estimable. Due to uncertainties related to these matters, accruals are based only on the information available at the time. As additional information becomes available, management reassesses potential liabilities related to pending claims and litigation and may revise its previous estimates, which could materially affect the Company’s results of operations in a given period. The Company has retained certain self-insurance risks with respect to losses for third party liability and property damage, including its timber assets. At September 30, 2018 and December 31, 2017, the Company was required to provide surety bonds that guarantee completion of certain infrastructure in certain development projects and mitigation banks of $8.1 million and $8.6 million, respectively and standby letters of credit of less than $0.1 million at December 31, 2017, which may potentially result in liability to the Company if certain obligations of the Company are not met. As of September 30, 2018, the Company had a total of $41.5 million in contractual obligations. |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Event | |
Subsequent Event | 19. Subsequent Event On October 10, 2018 Hurricane Michael impacted the Florida Panhandle, which resulted in widespread damage to the area. The majority of the Company’s properties incurred minimal or no damage; however the Company’s Bay Point Marina in Bay County and Port St. Joe Marina in Gulf County, as well as certain timber and commercial leasing assets were impacted. The marinas suffered significant loss requiring long-term restoration and remain closed. The Company’s timber assets are self-insured and an initial assessment of timber operations revealed an approximate 3% loss of total timber assets, primarily located in eastern Bay County and Gulf County. Approximately 234,000 tons of timber were affected and will be salvaged or lost. The majority of the Company’s other timberlands, have little or no damage. GAAP guidance provides that property damaged by a natural disaster be evaluated for impairment loss in the period the loss occurs. The impairment loss will represent the Company’s estimate of property damage. The Company is continuing to make a full assessment of the extent of the impact. The Company maintains property and business interruption insurance, subject to certain deductibles, and is currently assessing claims under such policies; however, the timing and amount of insurance proceeds are uncertain and may not be sufficient to cover all losses. Timing differences are likely to exist between the impairment losses, capital expenditures made to repair or restore properties and recognition and receipt of insurance proceeds reflected in our financial statements. The Company expects that its results of operations related to the marinas and timber assets will be impacted in the near term. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Summary of Significant Accounting Policies | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying unaudited interim condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for reporting on Form 10‑Q. Accordingly, certain information and footnotes required by United States generally accepted accounting principles (“GAAP”) for complete financial statements are not included herein. The unaudited interim condensed consolidated financial statements include the accounts of the Company and all of its majority-owned and controlled subsidiaries and variable interest entities where the Company is the primary beneficiary. Investments in joint ventures and limited partnerships in which the Company is not the primary beneficiary are accounted for by the equity method. All significant intercompany transactions and balances have been eliminated in consolidation. The December 31, 2017 condensed consolidated balance sheet amounts have been derived from the Company’s December 31, 2017 audited consolidated financial statements. Certain prior period amounts in the accompanying condensed consolidated financial statements have been reclassified to conform to the current year presentation. These reclassifications had no effect on the Company’s previously reported total assets and liabilities, stockholders’ equity or net income. Operating results for the nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2018. A variable interest entity (“VIE”) is an entity in which a controlling financial interest may be achieved through arrangements that do not involve voting interests. A VIE is required to be consolidated by its primary beneficiary, which is the entity that possesses the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and has the obligation to absorb losses or the right to receive benefits from the VIE that are significant to the entity. The Company consolidates VIEs when it is the primary beneficiary of the VIE, including real estate joint ventures determined to be VIEs. See Note 9. Real Estate Joint Ventures . The interim condensed consolidated financial statements reflect all normal recurring adjustments that, in the opinion of management, are necessary for fair presentation of the information contained herein. The interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2017. The Company adheres to the same accounting policies in preparation of its unaudited interim condensed consolidated financial statements as the Company’s December 31, 2017 annual financial statements, except for recently adopted accounting pronouncements detailed below. As required under GAAP, interim accounting for certain expenses, including income taxes, are based on full year assumptions. For interim financial reporting purposes, income taxes are recorded based upon estimated annual income tax rates. |
Concentration of Risks and Uncertainties | Concentration of Risks and Uncertainties The Company’s real estate investments are concentrated in Northwest Florida in a number of specific development projects. Uncertain economic or other conditions could have an adverse impact on the Company’s real estate values and could cause the Company to sell assets at depressed values in order to pay ongoing obligations. Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, investments, other receivables, investments held by special purpose entity or entities (“SPE”), and investments in retained interests. The Company deposits and invests cash with local and regional financial institutions, and as of September 30, 2018, these balances exceeded the amount of F.D.I.C. insurance provided on such deposits. In addition, as of September 30, 2018 the company had $10.0 million invested in U.S. Treasury securities, $3.2 million invested in two issuers of corporate debt securities that are non-investment grade, $35.1 million invested in f our issuers of preferred stock that are non-investment grade and one issuer of preferred stock that is investment grade, as well as investments of $175.2 million in short term commercial paper from t hirteen issuers. |
Earnings Per Share | Earnings Per Share Basic and diluted earnings per share are calculated by dividing net income by the average number of common shares outstanding for the period. For the three and nine months ended September 30, 2018 and 2017, basic and diluted average shares outstanding were the same. There were no outstanding common stock equivalents as of September 30, 2018 or September 30, 2017. Non-vested restricted stock is included in outstanding shares at the time of grant. |
Revenue and Revenue Recognition | Revenue and Revenue Recognition Revenue consists primarily of real estate sales and related fees, resorts and leisure operations, leasing operations, and timber sales. Taxes collected from customers and remitted to governmental authorities (e.g. sales tax) are excluded from revenue, costs and expenses. Effective January 1, 2018, with the adoption of ASU 2014-09 Revenue from Contracts with Customers , as amended (“Topic 606”), estimated lot residuals (a percentage of the sales price of a completed home received when the home price or gross profit of the home exceeds a negotiated threshold) and certain estimated fees are recognized as revenue at the time of sale to homebuilders, subject to constraints, and any change in circumstances from the estimated amounts will be updated at each reporting period. For the three and nine months ended September 30, 2018, real estate revenue includes less than $0.1 million and $0.6 million, respectively, of estimated lot residuals and less than $0.1 million and $0.6 million, respectively, of certain estimated fees related to homebuilder homesite sales. Prior to 2018, these lot residuals and fees were recognized in revenue when consideration was received by the Company in periods subsequent to the initial recognition of revenue for the sale of the homesite. |
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09 that established the principles used to recognize revenue for all entities. In March 2016, the FASB issued ASU 2016‑08 that further clarified the implementation guidance on principal versus agent considerations. In April 2016, the FASB issued ASU 2016‑10 that clarified guidance on identifying performance obligations and to improve the operability and understandability of licensing implementation guidance. In May 2016, the FASB issued ASU 2016‑11 that rescinded SEC guidance pursuant to announcements at the March 3, 2016 Emerging Issues Task Force Meeting. In May 2016, the FASB issued ASU 2016‑12 that provided narrow-scope improvements and practical expedients to Revenue from Contracts with Customers . In December 2016, the FASB issued ASU 2016‑20 that included technical corrections and improvements to Topic 606. The Company adopted the new guidance as of January 1, 2018 and elected to implement Topic 606 using the modified retrospective application, with the cumulative effect recorded as an adjustment to opening retained earnings. The impact of adopting this guidance resulted in an adjustment to increase retained earnings by $1.5 million, offset by a decrease of $0.4 million related to tax effects, for a net effect of $1.1 million, an increase to accounts receivable, net by $2.1 million and a decrease to investment in real estate, net by $0.6 million as of January 1, 2018, related to the recognition of estimated lot residuals and certain fees for homesites sold to homebuilders, where the homes had not yet been sold to customers as of December 31, 2017. Financial Instruments In January 2016, the FASB issued ASU 2016‑01 that amended existing guidance to address certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The new guidance requires equity investments (except those accounted for under the equity method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in results of operations. Additionally, certain disclosure requirements and other aspects of accounting for financial instruments changed as a result of the new guidance. In February 2018, the FASB issued ASU 2018‑03 that included technical corrections and improvements to ASU 2016‑01. The Company adopted ASU 2016‑01 and ASU 2018‑03 simultaneously, effective January 1, 2018, and implemented it using a cumulative-effect adjustment between accumulated other comprehensive loss and retained earnings of $0.9 million, offset by an adjustment of $0.2 million related to tax effects, for a net effect of $0.7 million as of the date of adoption. As a result of the adoption of this guidance the change in the fair value of the Company’s equity investments is recognized in the condensed consolidated statements of income rather than the condensed consolidated statements of comprehensive income. Statement of Cash Flows In August 2016, the FASB issued ASU 2016‑15, which amended the classification of certain cash receipts and cash payments, to reduce the diversity in how these cash receipts and cash payments are presented and classified in the statement of cash flows. The Company adopted the new guidance as of January 1, 2018. As this guidance only affects the classification within the statement of cash flows, it did not have any impact on the Company’s cash flows. Statement of Cash Flows - Restricted Cash In November 2016, the FASB issued ASU 2016‑18, which required that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash or restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The Company adopted the new guidance as of January 1, 2018, using a retrospective transition method to each period presented. The adoption of this guidance did not have a material impact on the Company’s cash flows. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018‑02, which allowed a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Act. The ASU also required additional disclosures that include a description of the accounting policy for releasing income tax effects from accumulated other comprehensive income, whether the Company elected to reclassify the effects from the Tax Act and information about other tax effects related to the Tax Act that are reclassified from accumulated other comprehensive income to retained earnings, if any. This guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years and should be applied either in the period of adoption or retrospectively to each period in which the effect of the Tax Act is recognized. Early adoption is permitted, including adoption in an interim period. The Company elected to early adopt the new guidance as of January 1, 2018, and implemented it using a cumulative-effect adjustment to retained earnings from accumulated other comprehensive loss of $0.3 million related to unrealized gains and losses on available-for-sale securities as of the date of adoption. The new guidance also required the Company to disclose its policy on accounting for income tax effects in accumulated other comprehensive income (loss). In general, the Company applies the aggregate portfolio method with respect to available-for-sale debt securities. Recently Issued Accounting Pronouncements Leases In February 2016, the FASB issued ASU 2016‑02 that amends the existing accounting standards for lease accounting, including requiring lessees to recognize both finance and operating leases with terms of more than 12 months on the balance sheet. The accounting applied by a lessor is largely unchanged from existing guidance. This amendment also requires certain quantitative and qualitative disclosures about leasing arrangements. In January 2018, the FASB issued ASU 2018‑01 which provides an optional transition practical expedient to not evaluate under the new lease standard, existing or expired land easements that were not previously accounted for as leases. In July 2018, the FASB issued ASU 2018-10 that provides clarifications and improvements to ASU 2016-02. In July 2018, the FASB issued ASU 2018-11 that provides entities with an additional and optional transition method to apply the new standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The new guidance will be effective for annual and interim periods beginning after December 15, 2018. Accordingly, the standard will be effective for the Company beginning January 1, 2019. The Company intends to elect certain available practical expedients upon adoption, including ASU 2018-01 and ASU 2018-11. The Company is completing its analysis of the information necessary to fully adopt and remains on schedule. The Company is still evaluating if this standard will have a material impact on its consolidated balance sheets, but does not expect adoption will have a material impact on its consolidated income statements. The Company is continuing to assess potential impacts of the standard. It currently expects the most significant impact will be the recognition of right-of-use assets and lease liabilities for operating leases. Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016‑13 that requires a financial asset measured at amortized cost to be presented at the net amount expected to be collected and requires that credit losses from available-for-sale debt securities be presented as an allowance for credit loss. This new guidance will be effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted for annual and interim periods beginning after December 15, 2018. The Company is currently evaluating the impact that the adoption of this guidance will have on its financial condition, results of operations and cash flows. |
Investment in Real Estate (Tabl
Investment in Real Estate (Table) | 9 Months Ended |
Sep. 30, 2018 | |
Investment in Real Estate | |
Schedule of real estate by property type and segment | September 30, December 31, 2018 2017 Development property: Residential real estate $ 103,384 $ 100,279 Resorts and leisure 2,427 4,131 Commercial leasing and sales 69,086 53,896 Forestry 2,146 2,488 Corporate 2,464 2,571 Total development property 179,507 163,365 Operating property: Residential real estate 7,344 7,344 Resorts and leisure 100,948 103,616 Commercial leasing and sales 111,296 110,491 Forestry 19,874 19,510 Other 50 50 Total operating property 239,512 241,011 Less: Accumulated depreciation 70,123 71,752 Total operating property, net 169,389 169,259 Investment in real estate, net $ 348,896 $ 332,624 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Investments | |
Schedule of Investments | At September 30, 2018, investments - debt securities and restricted investments classified as available-for-sale securities were as follows: Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Investments - debt securities: U.S. Treasury securities $ 9,996 $ — $ 2 $ 9,994 Corporate debt securities 3,566 4 387 3,183 13,562 4 389 13,177 Restricted investments: Short-term bond 3,275 — 13 3,262 Money market fund 167 — — 167 3,442 — 13 3,429 $ 17,004 $ 4 $ 402 $ 16,606 At December 31, 2017, investments - debt securities, investments - equity securities and restricted investments classified as available-for-sale securities were as follows: Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Investments - debt securities: U.S. Treasury securities $ 9,892 $ — $ 22 $ 9,870 Corporate debt securities 67,781 411 1,817 66,375 77,673 411 1,839 76,245 Investments - equity securities: Preferred stock 35,955 423 1,355 35,023 Restricted investments: Short-term bond 4,264 — 13 4,251 Money market fund 218 — — 218 4,482 — 13 4,469 $ 118,110 $ 834 $ 3,207 $ 115,737 |
Schedule of Unrealized Loss Position and Related Fair Value of Investments | The following table provides the U.S. Treasury securities, corporate debt securities and restricted investments unrealized loss position and related fair values as of September 30, 2018: Less Than 12 Months 12 Months or Greater Unrealized Unrealized Fair Value Losses Fair Value Losses Investments - debt securities: U.S. Treasury securities $ 9,994 $ 2 $ — $ — Corporate debt securities — — 2,405 387 Restricted investments: Short-term bond — — 3,262 13 $ 9,994 $ 2 $ 5,667 $ 400 The following table provides the U.S. Treasury securities, corporate debt securities, preferred stock and restricted investments unrealized loss position and related fair values as of December 31, 2017: Less Than 12 Months 12 Months or Greater Unrealized Unrealized Fair Value Losses Fair Value Losses Investments - debt securities: U.S. Treasury securities $ 9,870 $ 22 $ — $ — Corporate debt securities 15,515 691 29,595 1,126 Investments - equity securities: Preferred stock 11,263 1,337 1,986 18 Restricted investments: Short-term bond — — 4,251 13 $ 36,648 $ 2,050 $ 35,832 $ 1,157 |
Schedule of Contractual Maturities of Investments | Amortized Cost Fair Value Due in one year or less $ 12,707 $ 12,318 Due after one year through five years 785 785 Due after five years through ten years 70 74 13,562 13,177 Restricted investments 3,442 3,429 $ 17,004 $ 16,606 |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Financial Instruments and Fair Value Measurements | |
Schedule of Financial Instruments Measured at Fair Value on Recurring Basis | The financial instruments measured at fair value on a recurring basis at September 30, 2018 were as follows: Total Fair Level 1 Level 2 Level 3 Value Cash equivalents: Money market funds $ 6,214 $ — $ — $ 6,214 Commercial paper 175,245 — — 175,245 181,459 — — 181,459 Investments - debt securities U.S. Treasury securities 9,994 — — 9,994 Corporate debt securities — 3,183 — 3,183 9,994 3,183 — 13,177 Investments - equity securities Preferred stock 10,862 24,282 — 35,144 Restricted investments: Short-term bond 3,262 — — 3,262 Money market fund 167 — — 167 3,429 — — 3,429 $ 205,744 $ 27,465 $ — $ 233,209 The financial instruments measured at fair value on a recurring basis at December 31, 2017 were as follows: Total Fair Level 1 Level 2 Level 3 Value Cash equivalents: Money market funds $ 10,505 $ — $ — $ 10,505 Commercial paper 159,970 — — 159,970 170,475 — — 170,475 Investments - debt securities U.S. Treasury securities 9,870 — — 9,870 Corporate debt securities — 66,375 — 66,375 9,870 66,375 — 76,245 Investments - equity securities Preferred stock 10,717 24,306 — 35,023 Restricted investments: Short-term bond 4,251 — — 4,251 Money market fund 218 — — 218 4,469 — — 4,469 $ 195,531 $ 90,681 $ — $ 286,212 |
Schedule of Carrying Amount and Fair Value Measured on Nonrecurring Basis of Financial Instruments | The carrying amount and fair value, measured on a nonrecurring basis, of the Company’s financial instruments were as follows: September 30, 2018 December 31, 2017 Carrying Carrying value Fair value Level value Fair value Level Assets Investments held by SPEs: Time deposit $ 200,000 $ 200,000 3 $ 200,000 $ 200,000 3 U.S. Treasury securities and cash $ 7,338 $ 6,916 1 $ 7,989 $ 7,797 1 Liabilities Senior Notes held by SPE $ 176,715 $ 187,606 3 $ 176,537 $ 198,530 3 |
Other Assets (Tables)
Other Assets (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Other Assets | |
Schedule of Other Assets | Other assets consist of the following: September 30, December 31, 2018 2017 Retained interest investments $ 11,388 $ 11,147 Accounts receivable, net 7,988 8,460 Notes receivable 3,963 9,522 Prepaid expenses 7,074 6,625 Straight line rent 3,656 3,804 Other assets 5,598 4,637 Accrued interest receivable for Senior Notes held by SPE 935 2,938 Total other assets $ 40,602 $ 47,133 |
Schedule of Notes Receivable | Notes receivable consists of the following: September 30, December 31, 2018 2017 PCR Note, secured by certain assets, 10% interest rate, principal payments due beginning September 2018 per agreed upon schedule, and any remaining amount outstanding is due by December 2020, paid in full February 2018 $ — $ 5,000 Pier Park Community Development District notes, non-interest bearing, due September 2022 803 1,527 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due February 2019 and any remaining amount outstanding is due by February 2020 1,160 — Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due September 2018 and any remaining amount outstanding is due by September 2019 809 904 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due June 2018 and any remaining amount outstanding is due by June 2019 506 857 Interest bearing homebuilder note, secured by the real estate sold — 5.5% interest rate, principal payment of $0.1 million due November 2018 and any remaining amount outstanding is due by November 2019 336 1,060 Interest bearing homebuilder note, secured by the real estate sold — 6.3% interest rate, principal payment of less than $0.1 million due March 2019 and any remaining amount outstanding is due by March 2020 200 — Various mortgage notes, secured by certain real estate, bearing interest at various rates 149 174 Total notes receivable $ 3,963 $ 9,522 |
Debt, Net (Tables)
Debt, Net (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Debt, Net | |
Schedule of Debt | Debt consists of the following at September 30, 2018: Unamortized Discount and Debt Issuance Principal Costs Net PPN JV Loan, due November 2025, bearing interest at 4.1% $ 46,644 $ 462 $ 46,182 Loan in the Pier Park Crossings JV, insured by The United States Department of Housing and Urban Development, due June 2060, bearing interest at 4.0% 8,311 1,121 7,190 Community Development District debt, secured by certain real estate or other collateral, due May 2023 — May 2039, bearing interest at 3.6% to 6.0% 6,407 — 6,407 Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% (effective rate of 4.0% at September 30, 2018) 1,598 17 1,581 WaterColor Crossings Construction Loan, due February 2029, bearing interest at LIBOR plus 1.7% (effective rate of 4.0% at September 30, 2018) 993 27 966 Total debt $ 63,953 $ 1,627 $ 62,326 Debt consists of the following at December 31, 2017: Unamortized Discount and Debt Issuance Principal Costs Net PPN JV Loan, due November 2025, bearing interest at 4.1% $ 47,295 $ 512 $ 46,783 Community Development District debt, secured by certain real estate or other collateral, due May 2031 — May 2039, bearing interest at 3.6% to 7.0% 7,241 — 7,241 Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% (effective rate of 3.3% at December 31, 2017) 1,624 18 1,606 Total debt $ 56,160 $ 530 $ 55,630 |
Schedule of Aggregate Maturities of Debt | September 30, 2018 2018 $ 260 2019 1,583 2020 1,792 2021 1,976 2022 1,957 Thereafter 56,385 $ 63,953 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Other Liabilities | |
Schedule of Other Liabilities | September 30, December 31, 2018 2017 Accounts payable $ 10,526 $ 7,524 Accrued compensation 2,884 2,664 Deferred revenue 17,715 17,864 Membership deposits and initiation fees 9,962 9,704 Advance deposits 1,512 1,468 Other accrued liabilities 6,694 5,185 Accrued interest expense for Senior Notes held by SPE 713 2,850 Total other liabilities $ 50,006 $ 47,259 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Income Taxes | |
Schedule of Effective Income Tax Rate Reconciliation | Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Tax at the federal statutory rate $ 420 $ 3,005 $ 7,402 $ 11,167 State income taxes (net of federal benefit) 88 301 1,532 1,117 2017 qualified timber gains at the federal statutory rate of 23.8% (1) — — (524) — Decrease in valuation allowance (3,480) (250) (4,931) (846) Change in federal AMT credit carryforward (1) (511) — (511) — Other — (413) (153) (607) Total income tax (benefit) expense $ (3,483) $ 2,643 $ 2,815 $ 10,831 (1) The Bipartisan Budget Act of 2018 was signed into law on February 9, 2018 (the “2018 Act”). The 2018 Act retroactively re-established the preferential 23.8% tax rate on C Corporation Qualified Timber Gains, extending its applicability from 2016 to include the 2017 tax year. The benefit of this retroactive tax rate reduction is being included in 2018 income from continuing operations. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Accumulated Other Comprehensive Loss | |
Summary of Changes in Accumulated Other Comprehensive Loss | Unrealized Gain and (Loss) on Available- for-Sale Securities Accumulated other comprehensive loss at December 31, 2017 $ (1,461) Other comprehensive income before reclassifications (1,295) Amounts reclassified from accumulated other comprehensive loss 2,454 Other comprehensive income 1,159 Accumulated other comprehensive loss at September 30, 2018 $ (302) |
Summary of Tax Effects Allocated to Other Comprehensive Income (Loss) | Following is a summary of the tax effects allocated to other comprehensive income (loss) for the three months ended September 30, 2018 and 2017: Three Months Ended September 30, 2018 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized loss on investments - debt securities: Unrealized loss on available-for-sale investments $ (1,244) $ 316 $ (928) Reclassification adjustment for other-than-temporary impairment loss included in earnings 1,660 (421) 1,239 Net unrealized gain 416 (105) 311 Other comprehensive income $ 416 $ (105) $ 311 Three Months Ended September 30, 2017 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized (loss) gain on investments and restricted investments: Unrealized loss on available-for-sale investments $ (683) $ 263 $ (420) Unrealized gain on restricted investments 4 (2) 2 Reclassification adjustment for net loss included in earnings 104 (40) 64 Reclassification adjustment for other-than-temporary impairment loss included in earnings 403 (296) 107 Net unrealized loss (172) (75) (247) Other comprehensive loss $ (172) $ (75) $ (247) Following is a summary of the tax effects allocated to other comprehensive income (loss) for the nine months ended September 30, 2018 and 2017: Nine Months Ended September 30, 2018 Before- Tax Benefit or Net-of- Tax Amount (Expense) Tax Amount Unrealized loss on investments - debt securities and restricted investments: Unrealized loss on available-for-sale investments $ (1,726) $ 438 $ (1,288) Unrealized loss on restricted investments (9) 2 (7) Reclassification adjustment for net loss included in earnings 1,050 (266) 784 Reclassification adjustment for other-than-temporary impairment loss included in earnings 1,723 (436) 1,287 Reclassification into retained earnings for the adoption of ASU 2016-01 (1) 932 (236) 696 Reclassification into retained earnings for the adoption of ASU 2018-02 (2) — (313) (313) Net unrealized gain 1,970 (811) 1,159 Other comprehensive income $ 1,970 $ (811) $ 1,159 (1) The reclassification into retained earnings relates to the adoption of ASU 2016‑01. The new guidance was effective January 1, 2018, and required equity investments to be measured at fair value with changes in fair value recognized in results of operations rather than the condensed consolidated statements of comprehensive income. See Note 2. Summary of Significant Accounting Policies . (2) The reclassification into retained earnings relates to the adoption of ASU 2018‑02. The new guidance was effective January 1, 2018, and allowed a reclassification from accumulated other comprehensive income (loss) to retained earnings for stranded tax effects resulting from the Tax Act. See Note 2. Summary of Significant Accounting Policie s. Nine Months Ended September 30, 2017 Before- Tax (Expense) or Net-of- Tax Amount Benefit Tax Amount Unrealized gain on investments: Unrealized gain on available-for-sale investments $ 3,967 $ (1,526) $ 2,441 Unrealized gain on restricted investments 4 (2) 2 Reclassification adjustment for net gain included in earnings (10,757) 4,143 (6,614) Reclassification adjustment for other-than-temporary impairment loss included in earnings 769 (296) 473 Net unrealized loss (6,017) 2,319 (3,698) Other comprehensive loss $ (6,017) $ 2,319 $ (3,698) |
Other Income (Expense) - (Table
Other Income (Expense) - (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Other Income (Expense) | |
Schedule of Other Income (Expense) | Other income (expense) consists of the following: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Investment income, net Interest and dividend income $ 1,802 $ 4,445 $ 7,025 $ 13,016 Accretion income 218 375 641 1,696 Net realized gain (loss) on the sale of investments 125 (104) (961) 10,757 Other-than-temporary impairment loss (1,660) (403) (1,723) (769) Unrealized (loss) gain on investments, net (89) — 641 — Interest income from investments in SPEs 2,049 2,050 6,148 6,151 Interest accrued on notes receivable and other interest 130 89 450 259 Total investment income, net 2,575 6,452 12,221 31,110 Interest expense Interest expense and amortization of discount and issuance costs for Senior Notes issued by SPE (2,197) (2,195) (6,590) (6,582) Other interest expense (729) (843) (2,315) (2,535) Total interest expense (2,926) (3,038) (8,905) (9,117) Other income (expense), net Accretion income from retained interest investments 316 279 909 813 Miscellaneous (expense) income, net (48) 304 (122) 3,833 Other income, net 268 583 787 4,646 Total other (expense) income, net $ (83) $ 3,997 $ 4,103 $ 26,639 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Segment Information | |
Schedule of Information by Business Segment | Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Operating revenue: Residential real estate (a) $ 1,959 $ 9,411 $ 37,749 $ 15,391 Resorts and leisure 12,565 18,198 33,284 45,633 Commercial leasing and sales 6,225 3,470 12,720 11,028 Forestry revenue 2,627 2,719 7,415 5,630 Other (b) 300 190 2,806 467 Consolidated operating revenue $ 23,676 $ 33,988 $ 93,974 $ 78,149 (Loss) income before income taxes: Residential real estate (a) $ (368) $ 1,802 $ 26,048 $ 3,026 Resorts and leisure 1,747 2,916 3,615 4,521 Commercial leasing and sales 609 (164) 329 (301) Forestry 2,072 2,437 5,830 4,808 Other (2,199) 1,793 (972) 19,720 Consolidated income before income taxes $ 1,861 $ 8,784 $ 34,850 $ 31,774 September 30, December 31, 2018 2017 Total assets: Residential real estate $ 122,654 $ 117,732 Resorts and leisure 75,334 83,151 Commercial leasing and sales 177,048 163,271 Forestry 20,715 20,212 Other 474,849 536,627 Total assets $ 870,600 $ 920,993 (a) Includes revenue of $23.1 million for the nine months ended September 30, 2018 for a one-time payment of RiverTown impact fees related to the 2014 RiverTown real estate sale . (b) Includes revenue of $2.2 million for the nine months ended September 30, 2018 related to a specific sale of mitigation bank credits . |
Nature of Operations - Real Est
Nature of Operations - Real Estate Assets (Details) | Sep. 30, 2018 |
Nature of Operations | |
Percentage of real estate land holdings located within fifteen miles of Gulf of Mexico | 90.00% |
Nature of Operations - Segments
Nature of Operations - Segments (Details) | 9 Months Ended |
Sep. 30, 2018segment | |
Nature of Operations | |
Number of reportable operating segments | 4 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies - Concentrations (Details) $ in Thousands | Sep. 30, 2018USD ($)issuer | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) |
Concentration risk | |||
Investments - debt securities | $ 13,177 | $ 76,245 | |
Investments - equity securities | 35,144 | ||
Cash and cash equivalents | 200,884 | $ 192,083 | $ 166,773 |
U.S. Treasury securities | |||
Concentration risk | |||
Investments - debt securities | 10,000 | ||
Preferred stock | |||
Concentration risk | |||
Investments - equity securities | $ 35,100 | ||
Commercial paper | |||
Concentration risk | |||
Number of issuers | issuer | 13 | ||
Cash and cash equivalents | $ 175,200 | ||
Non-investment grade | Corporate debt securities | |||
Concentration risk | |||
Investments - debt securities | $ 3,200 | ||
Number of issuers | issuer | 2 | ||
Non-investment grade | Preferred stock | |||
Concentration risk | |||
Number of issuers | issuer | 4 | ||
Investment grade | Preferred stock | |||
Concentration risk | |||
Number of issuers | issuer | 1 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - EPS (Details) - shares | Sep. 30, 2018 | Sep. 30, 2017 |
Summary of Significant Accounting Policies | ||
Common stock equivalents (in shares) | 0 | 0 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Real estate | ||||
Disaggregation of revenue | ||||
Revenue | $ 6,200 | $ 10,707 | $ 46,061 | $ 19,383 |
Homebuilder homesite sales, Lot residuals | ||||
Disaggregation of revenue | ||||
Revenue | 600 | |||
Homebuilder homesite sales, Lot residuals | Maximum | ||||
Disaggregation of revenue | ||||
Revenue | 100 | |||
Homebuilder homesite sales, Certain products and services | ||||
Disaggregation of revenue | ||||
Revenue | $ 600 | |||
Homebuilder homesite sales, Certain products and services | Maximum | ||||
Disaggregation of revenue | ||||
Revenue | $ 100 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - ASUs (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Sep. 30, 2018 | Dec. 31, 2017 |
Revenue initial application period cumulative effect transition | |||
Accounts receivable, net | $ 7,988 | $ 8,460 | |
Investment in real estate, net | $ 348,896 | $ 332,624 | |
Difference between Revenue Guidance in Effect before and after Topic 606 | ASU 2014-09 | |||
Revenue initial application period cumulative effect transition | |||
Adjustment to retained earnings, before tax | $ 1,500 | ||
Adjustment to retained earnings, tax | (400) | ||
Adjustment to retained earnings, net of tax | 1,100 | ||
Accounts receivable, net | 2,100 | ||
Investment in real estate, net | (600) | ||
Retained Earnings | ASU 2016-01 | |||
Revenue initial application period cumulative effect transition | |||
Adjustment to retained earnings, before tax | (900) | ||
Adjustment to retained earnings, tax | 200 | ||
Adjustment to retained earnings, net of tax | $ (700) |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Reclassification of Certain Tax Effects (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Sep. 30, 2018 |
Accumulated Other Comprehensive (Loss) Income | ||
New accounting pronouncements or change in accounting principle | ||
Reclassification into retained earnings for the adoption of ASU 2018-02, Tax (expense) or benefit | $ (300) | $ (313) |
Retained Earnings | ||
New accounting pronouncements or change in accounting principle | ||
Reclassification into retained earnings for the adoption of ASU 2018-02, Tax (expense) or benefit | $ 300 | $ 313 |
Investment in Real Estate - Rea
Investment in Real Estate - Real Estate by Property Type and Segment (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Real estate properties | ||
Investment in real estate, net | $ 348,896 | $ 332,624 |
Development property | ||
Real estate properties | ||
Investment in real estate, net | 179,507 | 163,365 |
Development property | Corporate/Other | ||
Real estate properties | ||
Investment in real estate, net | 2,464 | 2,571 |
Development property | Residential real estate | Operating Segments | ||
Real estate properties | ||
Investment in real estate, net | 103,384 | 100,279 |
Development property | Resorts and leisure | Operating Segments | ||
Real estate properties | ||
Investment in real estate, net | 2,427 | 4,131 |
Development property | Commercial leasing and sales | Operating Segments | ||
Real estate properties | ||
Investment in real estate, net | 69,086 | 53,896 |
Development property | Forestry | Operating Segments | ||
Real estate properties | ||
Investment in real estate, net | 2,146 | 2,488 |
Operating property | ||
Real estate properties | ||
Investment in real estate | 239,512 | 241,011 |
Less: Accumulated depreciation | 70,123 | 71,752 |
Investment in real estate, net | 169,389 | 169,259 |
Operating property | Corporate/Other | ||
Real estate properties | ||
Investment in real estate | 50 | 50 |
Operating property | Residential real estate | Operating Segments | ||
Real estate properties | ||
Investment in real estate | 7,344 | 7,344 |
Operating property | Resorts and leisure | Operating Segments | ||
Real estate properties | ||
Investment in real estate | 100,948 | 103,616 |
Operating property | Commercial leasing and sales | Operating Segments | ||
Real estate properties | ||
Investment in real estate | 111,296 | 110,491 |
Operating property | Forestry | Operating Segments | ||
Real estate properties | ||
Investment in real estate | $ 19,874 | $ 19,510 |
Investments - Schedule of inves
Investments - Schedule of investments (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Debt securities and restricted investments | ||
Amortized Cost | $ 17,004 | |
Gross Unrealized Gain | 4 | |
Gross Unrealized Loss | 402 | |
Fair Value | 16,606 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | $ 118,110 | |
Gross Unrealized Gains | 834 | |
Gross Unrealized Losses | 3,207 | |
Fair Value | 115,737 | |
Unrestricted available-for-sale, Debt securities | ||
Debt securities and restricted investments | ||
Amortized Cost | 13,562 | |
Gross Unrealized Gain | 4 | |
Gross Unrealized Loss | 389 | |
Fair Value | 13,177 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 77,673 | |
Gross Unrealized Gains | 411 | |
Gross Unrealized Losses | 1,839 | |
Fair Value | 76,245 | |
Unrestricted available-for-sale, Debt securities | U.S. Treasury securities | ||
Debt securities and restricted investments | ||
Amortized Cost | 9,996 | |
Gross Unrealized Loss | 2 | |
Fair Value | 9,994 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 9,892 | |
Gross Unrealized Losses | 22 | |
Fair Value | 9,870 | |
Unrestricted available-for-sale, Debt securities | Corporate debt securities | ||
Debt securities and restricted investments | ||
Amortized Cost | 3,566 | |
Gross Unrealized Gain | 4 | |
Gross Unrealized Loss | 387 | |
Fair Value | 3,183 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 67,781 | |
Gross Unrealized Gains | 411 | |
Gross Unrealized Losses | 1,817 | |
Fair Value | 66,375 | |
Equity securities | Preferred stock | ||
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 35,955 | |
Gross Unrealized Gains | 423 | |
Gross Unrealized Losses | 1,355 | |
Fair Value | 35,023 | |
Restricted | ||
Debt securities and restricted investments | ||
Amortized Cost | 3,442 | |
Gross Unrealized Loss | 13 | |
Fair Value | 3,429 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 4,482 | |
Gross Unrealized Losses | 13 | |
Fair Value | 4,469 | |
Restricted | Short-term bond | ||
Debt securities and restricted investments | ||
Amortized Cost | 3,275 | |
Gross Unrealized Loss | 13 | |
Fair Value | 3,262 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 4,264 | |
Gross Unrealized Losses | 13 | |
Fair Value | 4,251 | |
Restricted | Money market fund | ||
Debt securities and restricted investments | ||
Amortized Cost | 167 | |
Fair Value | $ 167 | |
Debt securities, equity securities and restricted investments | ||
Amortized Cost | 218 | |
Fair Value | $ 218 |
Investments - Realized Gains an
Investments - Realized Gains and Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Investments | |||
Gross realized loss | $ 1,000 | ||
(Losses) gains on sale of investments | $ (100) | (961) | $ 10,757 |
Proceeds from sale of available-for-sale debt securities | $ 64,631 | 122,734 | |
Proceeds from sale of available-for-sale securities | $ 144,300 |
Investments - Unrealized Loss P
Investments - Unrealized Loss Position (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Investments | ||
Less Than 12 Months, Fair Value | $ 9,994 | |
Less Than 12 Months, Unrealized Losses | 2 | |
12 Months or Greater, Fair Value | 5,667 | |
12 Months or Greater, Unrealized Losses | 400 | |
Less Than 12 Months, Fair Value | $ 36,648 | |
Less Than 12 Months, Unrealized Losses | 2,050 | |
12 Months or Greater, Fair Value | 35,832 | |
12 Months or Greater, Unrealized Losses | 1,157 | |
Unrestricted available-for-sale, Debt securities | U.S. Treasury securities | ||
Investments | ||
Less Than 12 Months, Fair Value | 9,994 | |
Less Than 12 Months, Unrealized Losses | 2 | |
Less Than 12 Months, Fair Value | 9,870 | |
Less Than 12 Months, Unrealized Losses | 22 | |
Unrestricted available-for-sale, Debt securities | Corporate debt securities | ||
Investments | ||
12 Months or Greater, Fair Value | 2,405 | |
12 Months or Greater, Unrealized Losses | 387 | |
Less Than 12 Months, Fair Value | 15,515 | |
Less Than 12 Months, Unrealized Losses | 691 | |
12 Months or Greater, Fair Value | 29,595 | |
12 Months or Greater, Unrealized Losses | 1,126 | |
Equity securities | Preferred stock | ||
Investments | ||
Less Than 12 Months, Fair Value | 11,263 | |
Less Than 12 Months, Unrealized Losses | 1,337 | |
12 Months or Greater, Fair Value | 1,986 | |
12 Months or Greater, Unrealized Losses | 18 | |
Restricted | Short-term bond | ||
Investments | ||
12 Months or Greater, Fair Value | 3,262 | |
12 Months or Greater, Unrealized Losses | $ 13 | |
12 Months or Greater, Fair Value | 4,251 | |
12 Months or Greater, Unrealized Losses | $ 13 |
Investments - Unrealized Losses
Investments - Unrealized Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Investments | |||||
Unrealized losses, debt securities | $ 402 | $ 402 | |||
Unrealized losses, all investments | $ 3,207 | ||||
Other-than-temporary impairment loss | $ 1,660 | $ 1,723 | |||
Other-than-temporary impairment loss | $ 403 | $ 769 |
Investments - Contractual Matur
Investments - Contractual Maturities of Investments (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Amortized Cost | ||
Amortized Cost | $ 17,004 | |
Fair Value | ||
Fair Value | 16,606 | |
Preferred stock | $ 35,023 | |
Unrestricted available-for-sale, Debt securities | ||
Amortized Cost | ||
Due in one year or less | 12,707 | |
Due after one year through five years | 785 | |
Due after five year through ten years | 70 | |
Amortized Cost | 13,562 | |
Fair Value | ||
Due in one year or less | 12,318 | |
Due after one year through five years | 785 | |
Due after five years through ten years | 74 | |
Fair Value | 13,177 | |
Restricted | ||
Amortized Cost | ||
Amortized Cost | 3,442 | |
Fair Value | ||
Fair Value | $ 3,429 |
Investments - Equity Securities
Investments - Equity Securities (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2018USD ($) | Sep. 30, 2018USD ($) | ||
Investments | |||
Investments - equity securities | $ 35,144 | $ 35,144 | |
Unrealized gains on investments - equity securities | $ (89) | 641 | |
Reclassification into retained earnings | $ 932 | [1] | |
[1] | The reclassification into retained earnings relates to the adoption of Accounting Standards Update (“ASU”) 201601 Financial Instruments - Overall, as amended (“ASU 201601”). The new guidance was effective January 1, 2018, and required equity investments to be measured at fair value with changes in fair value recognized in results of operations rather than the condensed consolidated statements of comprehensive income. See Note 2. Summary of Significant Accounting Policies. |
Investments - Investment Manage
Investments - Investment Management Agreement (Details) $ in Millions | 9 Months Ended | 66 Months Ended |
Sep. 30, 2018USD ($)item | Sep. 30, 2018USD ($) | |
Securities of any one issuer (excluding the U.S. Government) | ||
Investments | ||
Number of Investment Committee members required to authorize investment | item | 2 | |
Minimum | Securities of any one issuer (excluding the U.S. Government) | ||
Investments | ||
Investments, portfolio allocations requiring additional consent | 10.00% | |
Maximum | Securities of any one issuer (excluding the U.S. Government) | ||
Investments | ||
Investments, target portfolio allocations percent | 15.00% | |
Investments, portfolio allocations requiring additional consent | 15.00% | |
Cash, investment grade cash equivalents or U.S. treasury securities | Minimum | ||
Investments | ||
Investments, target portfolio allocations percent | 25.00% | |
Common stock investments | Maximum | ||
Investments | ||
Investments, target portfolio allocations, amount | $ 100 | |
Common stock investments | Maximum | Single issuer of exchange-traded common equities | ||
Investments | ||
Investments, target portfolio allocations percent | 5.00% | |
Common, preferred or other equity investments | Maximum | ||
Investments | ||
Investments, target portfolio allocations percent | 25.00% | |
FCM and FTC | ||
Investments | ||
Pre-tax income resulting from investment advisory services | $ 62.3 | |
Investor | FCM, FTC and Mr Berkowitz | ||
Investments | ||
Common stock ownership percentage | 45.15% | 45.15% |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Measurements - Measurements on Recurring Basis (Details) - Recurring basis - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Financial instruments and fair value measurements | ||
Cash equivalents | $ 181,459 | $ 170,475 |
Total | 233,209 | 286,212 |
Level 1 | ||
Financial instruments and fair value measurements | ||
Cash equivalents | 181,459 | 170,475 |
Total | 205,744 | 195,531 |
Level 2 | ||
Financial instruments and fair value measurements | ||
Total | 27,465 | 90,681 |
Unrestricted available-for-sale, Debt securities | ||
Financial instruments and fair value measurements | ||
Investments | 13,177 | 76,245 |
Unrestricted available-for-sale, Debt securities | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | 9,994 | 9,870 |
Unrestricted available-for-sale, Debt securities | Level 2 | ||
Financial instruments and fair value measurements | ||
Investments | 3,183 | 66,375 |
Restricted | ||
Financial instruments and fair value measurements | ||
Investments | 3,429 | 4,469 |
Restricted | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | 3,429 | 4,469 |
Money market fund | ||
Financial instruments and fair value measurements | ||
Cash equivalents | 6,214 | 10,505 |
Money market fund | Level 1 | ||
Financial instruments and fair value measurements | ||
Cash equivalents | 6,214 | 10,505 |
Money market fund | Restricted | ||
Financial instruments and fair value measurements | ||
Investments | 167 | 218 |
Money market fund | Restricted | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | 167 | 218 |
Commercial paper | ||
Financial instruments and fair value measurements | ||
Cash equivalents | 175,245 | 159,970 |
Commercial paper | Level 1 | ||
Financial instruments and fair value measurements | ||
Cash equivalents | 175,245 | 159,970 |
U.S. Treasury securities | Unrestricted available-for-sale, Debt securities | ||
Financial instruments and fair value measurements | ||
Investments | 9,994 | 9,870 |
U.S. Treasury securities | Unrestricted available-for-sale, Debt securities | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | 9,994 | 9,870 |
Corporate debt securities | Unrestricted available-for-sale, Debt securities | ||
Financial instruments and fair value measurements | ||
Investments | 3,183 | 66,375 |
Corporate debt securities | Unrestricted available-for-sale, Debt securities | Level 2 | ||
Financial instruments and fair value measurements | ||
Investments | 3,183 | 66,375 |
Preferred stock | Equity securities | ||
Financial instruments and fair value measurements | ||
Investments | 35,144 | 35,023 |
Preferred stock | Equity securities | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | 10,862 | 10,717 |
Preferred stock | Equity securities | Level 2 | ||
Financial instruments and fair value measurements | ||
Investments | 24,282 | 24,306 |
Short-term bond | Restricted | ||
Financial instruments and fair value measurements | ||
Investments | 3,262 | 4,251 |
Short-term bond | Restricted | Level 1 | ||
Financial instruments and fair value measurements | ||
Investments | $ 3,262 | $ 4,251 |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Measurements - Expected Maturity (Details) - Y | Sep. 30, 2018 | Dec. 31, 2017 |
Financial instruments and fair value measurements | ||
Debt Securities, Available-for-sale, Measurement Input [Extensible List] | us-gaap:MeasurementInputExpectedTermMember | us-gaap:MeasurementInputExpectedTermMember |
Restricted | Short-term bond | Minimum | ||
Financial instruments and fair value measurements | ||
Measurement input (in years) | 0 | 0 |
Restricted | Short-term bond | Maximum | ||
Financial instruments and fair value measurements | ||
Measurement input (in years) | 3 | 3 |
Financial Instruments and Fai_5
Financial Instruments and Fair Value Measurements - Carrying Amount and Fair Value (Details) - Nonrecurring - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Level 3 | Carrying Value | ||
Financial instruments and fair value measurements | ||
Senior Notes held by SPE | $ 176,715 | $ 176,537 |
Level 3 | Carrying Value | Time deposit | ||
Financial instruments and fair value measurements | ||
Investments held by SPEs | 200,000 | 200,000 |
Level 3 | Fair Value | ||
Financial instruments and fair value measurements | ||
Senior Notes held by SPE | 187,606 | 198,530 |
Level 3 | Fair Value | Time deposit | ||
Financial instruments and fair value measurements | ||
Investments held by SPEs | 200,000 | 200,000 |
Level 1 | Carrying Value | U. S Treasury securities and cash | ||
Financial instruments and fair value measurements | ||
Investments held by SPEs | 7,338 | 7,989 |
Level 1 | Fair Value | U. S Treasury securities and cash | ||
Financial instruments and fair value measurements | ||
Investments held by SPEs | $ 6,916 | $ 7,797 |
Financial Instruments and Fai_6
Financial Instruments and Fair Value Measurements - Held by Special Purpose Entities (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2014 | Dec. 31, 2017 | |
Financial instruments and fair value measurements | |||
Investments held by special purpose entities | $ 207,338 | $ 207,989 | |
Senior notes held by special purpose entity | 176,715 | $ 176,537 | |
Panama City Timber Finance Company, LLC | 2014 real estate sale | |||
Financial instruments and fair value measurements | |||
Notes received as consideration in sale of real estate | $ 200,000 | ||
Promissory notes maturity period | 15 years | ||
Panama City Timber Finance Company, LLC | Time deposit | |||
Financial instruments and fair value measurements | |||
Investments held by special purpose entities | $ 200,000 | ||
Investment interest rate (as a percent) | 4.00% | ||
Panama City Timber Finance Company, LLC | U.S. Treasury securities | |||
Financial instruments and fair value measurements | |||
Investments held by special purpose entities | $ 6,900 | ||
Panama City Timber Finance Company, LLC | Cash | |||
Financial instruments and fair value measurements | |||
Investments held by special purpose entities | 400 | ||
Northwest Florida Timber Finance, LLC | |||
Financial instruments and fair value measurements | |||
Loan amount | $ 180,000 | ||
Debt interest rate (as a percent) | 4.80% | ||
Issue price of senior secured notes (as a percent) | 98.50% | ||
Senior notes held by special purpose entity | 176,700 | ||
Unamortized discount and debt issuance costs | $ 3,300 |
Claim Settlement Receivable (De
Claim Settlement Receivable (Details) - USD ($) $ in Thousands | Mar. 24, 2016 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2016 | Dec. 31, 2017 |
Receivables | ||||||||||
Litigation settlement receivable | $ 5,400 | $ 5,400 | $ 5,280 | |||||||
BP Exploration & Production Inc. | ||||||||||
Receivables | ||||||||||
Claim settlement | $ 13,200 | |||||||||
Litigation settlement amount received | $ 2,700 | $ 2,700 | $ 5,000 | |||||||
Litigation settlement payment to be received in year four following settlement | $ 2,700 | |||||||||
Imputed interest rate on litigation settlement receivable | 3.00% | |||||||||
Litigation settlement receivable | $ 12,500 | |||||||||
Unamortized discount | $ 700 | |||||||||
Interest income | $ 100 | $ 100 | $ 200 | |||||||
BP Exploration & Production Inc. | Maximum | ||||||||||
Receivables | ||||||||||
Interest income | $ 100 | |||||||||
Other income | BP Exploration & Production Inc. | ||||||||||
Receivables | ||||||||||
Claim settlement | $ 12,500 |
Sale of Vacation Rental Manag_2
Sale of Vacation Rental Management (Details) - PCR Rentals Sale - Disposed of by Sale | 1 Months Ended |
Dec. 31, 2017 | |
Sale of business | |
Right of first refusal on third party offer to purchase, maximum period after date of sale | 18 months |
Right of first refusal on third party offer to purchase, minimum period after date of sale | 9 months |
Other Assets - Schedule of Othe
Other Assets - Schedule of Other Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Other Assets | ||
Retained interest investments | $ 11,388 | $ 11,147 |
Accounts receivable, net | 7,988 | 8,460 |
Notes receivable | 3,963 | 9,522 |
Prepaid expenses | 7,074 | 6,625 |
Straight line rent | 3,656 | 3,804 |
Other assets | 5,598 | 4,637 |
Accrued interest receivable for Senior Notes held by SPE | 935 | 2,938 |
Total other assets | $ 40,602 | $ 47,133 |
Other Assets - Retained Interes
Other Assets - Retained Interest Investments and Accounts Receivable, Net (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Investments | ||
Retained interest investments | $ 11,388 | $ 11,147 |
Accounts receivable, net | 7,988 | $ 8,460 |
Retained interest investments | ||
Investments | ||
Expected amount to receive upon maturity of note after payment of note and any other liabilities | $ 17,000 | |
Promissory notes maturity period | 15 years | |
Minimum | Retained interest investments | ||
Investments | ||
Notes maturity year | 2,022 | |
Maximum | Retained interest investments | ||
Investments | ||
Notes maturity year | 2,024 | |
Homebuilder Homesite Sales, Lot Residuals and Certain Fees Credits | ||
Investments | ||
Accounts receivable, net | $ 2,400 |
Other Assets - Notes Receivable
Other Assets - Notes Receivable (Details) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | |
Receivables | |||||||
Notes receivable | $ 3,963 | $ 3,963 | $ 9,522 | ||||
Allowance for notes receivable | 0 | 0 | 0 | ||||
PCR Note | |||||||
Receivables | |||||||
Notes receivable | $ 5,000 | ||||||
Interest rate on note receivable (as a percent) | 10.00% | ||||||
Pier Park Community Development District notes, non-interest bearing, due September 2022 | |||||||
Receivables | |||||||
Notes receivable | 803 | 803 | $ 1,527 | ||||
Interest bearing homebuilder note - 5.5% interest rate, due February 2020 | |||||||
Receivables | |||||||
Notes receivable | 1,160 | $ 1,160 | |||||
Interest rate (as a percent) | 5.50% | ||||||
Interest bearing homebuilder note - 5.5% interest rate, due February 2020 | Forecast | |||||||
Receivables | |||||||
Proceeds of principal payment | $ 100 | ||||||
Interest bearing homebuilder note - 5.5% interest rate, due September 2019 | |||||||
Receivables | |||||||
Notes receivable | 809 | $ 809 | 904 | ||||
Interest rate (as a percent) | 5.50% | ||||||
Proceeds of principal payment | 100 | ||||||
Interest bearing homebuilder note - 5.5% interest rate, due June 2019 | |||||||
Receivables | |||||||
Notes receivable | 506 | $ 506 | 857 | ||||
Interest rate (as a percent) | 5.50% | ||||||
Proceeds of principal payment | $ 100 | ||||||
Interest bearing homebuilder note - 5.5% interest rate, due November 2019 | |||||||
Receivables | |||||||
Notes receivable | 336 | $ 336 | 1,060 | ||||
Interest rate (as a percent) | 5.50% | ||||||
Interest bearing homebuilder note - 5.5% interest rate, due November 2019 | Forecast | |||||||
Receivables | |||||||
Proceeds of principal payment | $ 100 | ||||||
Interest bearing homebuilder note - 6.3% interest rate, due March 2020 | |||||||
Receivables | |||||||
Notes receivable | 200 | $ 200 | |||||
Interest rate (as a percent) | 6.30% | ||||||
Interest bearing homebuilder note - 6.3% interest rate, due March 2020 | Forecast | |||||||
Receivables | |||||||
Proceeds of principal payment | $ 100 | ||||||
Various mortgage notes, secured by certain real estate, bearing interest at various rates | |||||||
Receivables | |||||||
Notes receivable | $ 149 | $ 149 | $ 174 |
Real Estate Joint Ventures - Co
Real Estate Joint Ventures - Consolidated Real Estate Joint Ventures (Details) - item | Jan. 01, 2018 | Dec. 31, 2017 | Sep. 30, 2018 | Dec. 31, 2017 | Apr. 30, 2017 |
Pier Park Crossings JV | |||||
Variable interest entity | |||||
Number of units | 240 | ||||
Variable interest entity, ownership percentage | 75.00% | 75.00% | |||
Windmark | |||||
Variable interest entity | |||||
Variable interest entity, ownership percentage | 49.00% | 49.00% | |||
Pier Park North | |||||
Variable interest entity | |||||
Variable interest entity, ownership percentage | 60.00% | 60.00% | |||
Artisan Park, L.L.C | |||||
Variable interest entity | |||||
Variable interest entity, ownership percentage | 100.00% | 74.00% |
Real Estate Joint Ventures - Un
Real Estate Joint Ventures - Unconsolidated Real Estate VIE (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||
Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Apr. 30, 2018item | Dec. 31, 2017USD ($) | |
Pier Park TPS JV | |||||||
Investments | |||||||
Number of hotel rooms | item | 124 | ||||||
Ownership percentage | 50.00% | ||||||
Investment in joint venture | $ 0.2 | ||||||
ALP Liquidating Trust | |||||||
Investments | |||||||
Variable interest entity, ownership percentage | 23.90% | ||||||
Assets | $ 10.1 | $ 10.1 | $ 10.2 | ||||
Liabilities | 0.2 | 0.2 | 0.1 | ||||
Equity | 9.9 | 9.9 | $ 10.1 | ||||
Net loss | $ 0.2 | $ 0.2 | $ 0.4 | ||||
ALP Liquidating Trust | Maximum | |||||||
Investments | |||||||
Net loss | $ 0.1 |
Debt, Net - Schedule of Debt (D
Debt, Net - Schedule of Debt (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Debt instruments | ||
Debt, Principal | $ 63,953 | $ 56,160 |
Unamortized Discount and Debt Issuance Costs | 1,627 | 530 |
Debt, Net | 62,326 | 55,630 |
PPN JV Loan, due November 2025, bearing interest at 4.1% | ||
Debt instruments | ||
Debt, Principal | 46,644 | 47,295 |
Unamortized Discount and Debt Issuance Costs | 462 | 512 |
Debt, Net | $ 46,182 | $ 46,783 |
Debt interest rate (as a percent) | 4.10% | 4.10% |
Community Development District debt | ||
Debt instruments | ||
Debt, Principal | $ 6,407 | $ 7,241 |
Debt, Net | $ 6,407 | $ 7,241 |
Community Development District debt | Minimum | ||
Debt instruments | ||
Debt interest rate (as a percent) | 3.60% | 3.60% |
Community Development District debt | Maximum | ||
Debt instruments | ||
Debt interest rate (as a percent) | 6.00% | 7.00% |
Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% | ||
Debt instruments | ||
Debt, Principal | $ 1,598 | $ 1,624 |
Unamortized Discount and Debt Issuance Costs | 17 | 18 |
Debt, Net | $ 1,581 | $ 1,606 |
Basis spread on variable rate | 1.70% | 1.70% |
Effective interest rate (as a percent) | 4.00% | 3.30% |
Loan in Pier Park Crossings JV, due June 2060, bearing interest at 4.0% | ||
Debt instruments | ||
Debt, Principal | $ 8,311 | |
Unamortized Discount and Debt Issuance Costs | 1,121 | |
Debt, Net | $ 7,190 | |
Debt interest rate (as a percent) | 4.00% | |
WaterColor Crossings Construction Loan, due February 2029, bearing interest at LIBOR plus 1.7% | ||
Debt instruments | ||
Debt, Principal | $ 993 | |
Unamortized Discount and Debt Issuance Costs | 27 | |
Debt, Net | $ 966 | |
Basis spread on variable rate | 1.70% | |
Effective interest rate (as a percent) | 4.00% |
Debt, Net - Debt Agreements (De
Debt, Net - Debt Agreements (Details) $ in Thousands | 1 Months Ended | 120 Months Ended | |||||
May 31, 2018USD ($)item | Feb. 28, 2018USD ($) | Mar. 31, 2017USD ($) | Jun. 30, 2030 | Sep. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Oct. 31, 2015USD ($) | |
Debt instruments | |||||||
Total Community Development District debt | $ 20,000 | $ 21,700 | |||||
Outstanding debt | 62,326 | 55,630 | |||||
PPN JV Loan, due November 2025, bearing interest at 4.1% | |||||||
Debt instruments | |||||||
Loan amount | $ 48,200 | ||||||
Outstanding debt | 46,182 | 46,783 | |||||
Pier Park Outparcel Construction Loan, due March 2027, bearing interest at LIBOR plus 1.7% | |||||||
Debt instruments | |||||||
Loan amount | $ 1,600 | ||||||
Debt instrument, period subject to interest payments only | 12 months | ||||||
Outstanding debt | 1,581 | $ 1,606 | |||||
Loan in Pier Park Crossings JV, due June 2060, bearing interest at 4.0% | |||||||
Debt instruments | |||||||
Loan amount | $ 36,600 | ||||||
Debt instrument, period subject to interest payments only | 24 months | ||||||
Outstanding debt | 7,190 | ||||||
Loan in Pier Park Crossings JV, due June 2060, bearing interest at 4.0% | Minimum | Forecast | |||||||
Debt instruments | |||||||
Prepayment premium, as a percent of principal repaid | 1.00% | ||||||
Loan in Pier Park Crossings JV, due June 2060, bearing interest at 4.0% | Maximum | Forecast | |||||||
Debt instruments | |||||||
Prepayment premium, as a percent of principal repaid | 10.00% | ||||||
WaterColor Crossings Construction Loan, due February 2029, bearing interest at LIBOR plus 1.7% | |||||||
Debt instruments | |||||||
Loan amount | $ 1,900 | ||||||
Debt instrument, period subject to interest payments only | 12 months | ||||||
Outstanding debt | 966 | ||||||
Beach Homes Loan | |||||||
Debt instruments | |||||||
Loan amount | $ 1,700 | ||||||
Debt instrument, period subject to interest payments only | 12 months | ||||||
Number of homes financed | item | 2 | ||||||
Outstanding debt | 0 | ||||||
Beach Homes Loan | Maximum | |||||||
Debt instruments | |||||||
Loan costs | $ 100 |
Debt, Net - Maturities of Debt
Debt, Net - Maturities of Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Debt, Net | ||
2,018 | $ 260 | |
2,019 | 1,583 | |
2,020 | 1,792 | |
2,021 | 1,976 | |
2,022 | 1,957 | |
Thereafter | 56,385 | |
Long term debt | $ 63,953 | $ 56,160 |
Other Liabilities - Schedule of
Other Liabilities - Schedule of Other Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Other Liabilities | ||
Accounts payable | $ 10,526 | $ 7,524 |
Accrued compensation | 2,884 | 2,664 |
Deferred revenue | 17,715 | 17,864 |
Membership deposits and initiation fees | 9,962 | 9,704 |
Advance deposits | 1,512 | 1,468 |
Other accrued liabilities | 6,694 | 5,185 |
Accrued interest expense for Senior Notes held by SPE | 713 | 2,850 |
Total other liabilities | $ 50,006 | $ 47,259 |
Other Liabilities - Narrative (
Other Liabilities - Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Other Liabilities | ||
Deferred revenue | $ 17,715 | $ 17,864 |
Accrued property taxes | 3,400 | 0 |
Florida Department of Transportation | ||
Other Liabilities | ||
Deferred revenue | $ 12,500 | $ 12,500 |
Income Taxes - Expense (benefit
Income Taxes - Expense (benefit) reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Income Taxes | |||||
Statutory federal income tax rate (as a percent) | 21.00% | 35.00% | 35.00% | ||
Tax at the statutory federal rate | $ 420 | $ 3,005 | $ 7,402 | $ 11,167 | |
State income taxes (net of federal benefit) | 88 | 301 | 1,532 | 1,117 | |
2017 qualified timber gains at the federal statutory rate of 23.8% (1) | (524) | ||||
Decrease in valuation allowance | (3,480) | (250) | (4,931) | (846) | |
Change in federal AMT credit carryforward | (511) | (511) | |||
Other | (413) | (153) | (607) | ||
Income tax (benefit) expense | $ (3,483) | $ 2,643 | $ 2,815 | $ 10,831 | |
Timber statutory federal rate | 23.80% |
Income Taxes - Operating loss c
Income Taxes - Operating loss carryforwards (Details) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Federal | ||
Operating loss carryforwards | ||
Operating loss carryforwards | $ 0 | $ 0 |
State | ||
Operating loss carryforwards | ||
Operating loss carryforwards | $ 364.3 | $ 391.7 |
Income Taxes - Tax credit carry
Income Taxes - Tax credit carryforward (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Tax credit carryforward | ||
Income tax receivable | $ 3,395 | $ 8,371 |
Federal | ||
Tax credit carryforward | ||
Increase in alternative minimum tax credit credit carryforward | 1,000 | |
ATM credit carryforward | Federal | ||
Tax credit carryforward | ||
Income tax receivable | 3,400 | $ 8,400 |
Amount of income tax payable applied to income tax receivable | 6,000 | |
ATM credit carryforward, Qualified Timber Gain preferential rate | Federal | ||
Tax credit carryforward | ||
Increase in alternative minimum tax credit credit carryforward | 500 | |
ATM credit carryforward, Actual deductible expenses | Federal | ||
Tax credit carryforward | ||
Increase in alternative minimum tax credit credit carryforward | $ 500 |
Income Taxes - Tax Act (Details
Income Taxes - Tax Act (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Income Taxes | |||
Statutory federal income tax rate (as a percent) | 21.00% | 35.00% | 35.00% |
Income tax benefit from the reassessment of net deferred tax balances | $ 33.5 |
Income Taxes - Valuation Allowa
Income Taxes - Valuation Allowances and Unrecognized Tax Benefits (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | |
Income Taxes | |||
Amount of valuation allowance reversed | $ 3.5 | $ 5 | |
Valuation allowance | $ 5 | ||
Unrecognized tax benefits | 2.1 | 2.1 | 2.1 |
Unrecognized tax benefits that would impact effective tax rate | $ 0 | 0 | 0 |
Unrecognized tax benefits, period increase (decrease) | $ 0 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Summary of Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Summary of changes in accumulated other comprehensive loss | ||||
Beginning Balance | $ 592,584 | |||
Total other comprehensive income (loss), net of tax | $ 311 | $ (247) | 1,159 | $ (3,698) |
Ending Balance | 534,102 | 534,102 | ||
Unrealized (loss) gain on investments | ||||
Summary of changes in accumulated other comprehensive loss | ||||
Beginning Balance | (1,461) | |||
Other comprehensive income before reclassifications | (1,295) | |||
Amounts reclassified from accumulated other comprehensive loss | 2,454 | |||
Total other comprehensive income (loss), net of tax | 311 | $ (247) | 1,159 | $ (3,698) |
Ending Balance | $ (302) | $ (302) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Summary of the Tax Effects Allocated to Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | ||
Accumulated Other Comprehensive Loss | |||||
Reclassification adjustment for loss (gain) included in earnings, Before-tax-amount | $ 104 | $ 1,050 | $ (10,757) | ||
Reclassification of other-than-temporary impairment loss included in earnings, Before-tax-amount | $ 1,660 | 403 | 1,723 | 769 | |
Reclassification into retained earnings for the adoption of ASU, Before-tax-amount | [1] | 932 | |||
Other comprehensive loss, Before-tax-amount | 416 | (172) | 1,970 | (6,017) | |
Other comprehensive loss, Tax (expense) or benefit | [2] | (105) | (75) | (811) | 2,319 |
Total other comprehensive income (loss), net of tax | 311 | (247) | 1,159 | (3,698) | |
Unrealized (loss) gain on investments | |||||
Accumulated Other Comprehensive Loss | |||||
Unrealized (loss) gain on investments, Net-of-tax amount | (1,295) | ||||
Reclassification adjustment for loss (gain) included in earnings, Before-tax-amount | 104 | 1,050 | (10,757) | ||
Reclassification adjustment for loss (gain) included in earnings, Tax (expense) or benefit | (40) | (266) | 4,143 | ||
Reclassification adjustment for loss (gain) included in earnings, Net-of-tax amount | 64 | 784 | (6,614) | ||
Reclassification of other-than-temporary impairment loss included in earnings, Before-tax-amount | 1,660 | 403 | 1,723 | 769 | |
Reclassification adjustment for other-than-temporary impairment loss included in earnings, Tax (expense) or benefit | (421) | (296) | (436) | (296) | |
Reclassification adjustment for other-than-temporary impairment loss included in earnings, Net-of-tax amount | 1,239 | 107 | 1,287 | 473 | |
Other comprehensive loss, Before-tax-amount | 416 | (172) | 1,970 | (6,017) | |
Other comprehensive loss, Tax (expense) or benefit | (105) | (75) | (811) | 2,319 | |
Total other comprehensive income (loss), net of tax | 311 | (247) | 1,159 | (3,698) | |
Unrealized (loss) gain on investments | ASU 2016-01 | |||||
Accumulated Other Comprehensive Loss | |||||
Reclassification into retained earnings for the adoption of ASU, Before-tax-amount | 932 | ||||
Reclassification into retained earnings for the adoption of ASU, Tax (expense) or benefit | (236) | ||||
Reclassification into retained earnings for the adoption of ASU, Net-of-tax amount | 696 | ||||
Unrealized (loss) gain on investments | ASU 2018-02 | |||||
Accumulated Other Comprehensive Loss | |||||
Reclassification into retained earnings for the adoption of ASU, Tax (expense) or benefit | (313) | ||||
Reclassification into retained earnings for the adoption of ASU, Net-of-tax amount | (313) | ||||
Unrestricted available-for-sale, Debt securities | Unrealized (loss) gain on investments | |||||
Accumulated Other Comprehensive Loss | |||||
Unrealized (loss) gain on investments, Before-tax amount | (1,244) | (683) | (1,726) | 3,967 | |
Unrealized (loss) gain on investments, Tax (expense) or benefit | 316 | 263 | 438 | (1,526) | |
Unrealized (loss) gain on investments, Net-of-tax amount | $ (928) | (420) | (1,288) | 2,441 | |
Restricted | Unrealized (loss) gain on investments | |||||
Accumulated Other Comprehensive Loss | |||||
Unrealized (loss) gain on investments, Before-tax amount | 4 | (9) | 4 | ||
Unrealized (loss) gain on investments, Tax (expense) or benefit | (2) | 2 | (2) | ||
Unrealized (loss) gain on investments, Net-of-tax amount | $ 2 | $ (7) | $ 2 | ||
[1] | The reclassification into retained earnings relates to the adoption of Accounting Standards Update (“ASU”) 201601 Financial Instruments - Overall, as amended (“ASU 201601”). The new guidance was effective January 1, 2018, and required equity investments to be measured at fair value with changes in fair value recognized in results of operations rather than the condensed consolidated statements of comprehensive income. See Note 2. Summary of Significant Accounting Policies. | ||||
[2] | Income tax expense for the nine months ended September 30, 2018 includes $0.3 million of income tax expense related to the adoption of ASU 201802 Income Statement - Reporting Comprehensive Income (“ASU 201802”). The new guidance was effective January 1, 2018, and allowed a reclassification from accumulated other comprehensive income (loss) to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”). See Note 2. Summary of Significant Accounting Policies. |
Stockholders' Equity - Stock Re
Stockholders' Equity - Stock Repurchase Program (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Stockholders’ Equity | ||
Shares repurchased during the period (in shares) | 5,238,566 | 7,811,937 |
Average purchase price per share for share repurchase (in dollars per share) | $ 17.82 | $ 17.42 |
Aggregate cost | $ 93,369 | $ 135,995 |
Remaining authorized repurchase amount | $ 42,900 | |
Common Stock | ||
Stockholders’ Equity | ||
Shares repurchased during the period (in shares) | 5,238,566 | |
Retirement of treasury stock | $ 93,369 |
Stockholders' Equity - Issuance
Stockholders' Equity - Issuance of Common Stock (Details) - Restricted Stock | Jul. 02, 2018directorshares | Mar. 15, 2018employeeshares | Jul. 03, 2017directorshares | May 17, 2016directorshares | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Dec. 31, 2017employee | May 23, 2018USD ($) | May 25, 2017USD ($) |
Date of issue | |||||||||||
Share-based compensation | |||||||||||
Vesting percentage | 25.00% | ||||||||||
August 17, 2016 | |||||||||||
Share-based compensation | |||||||||||
Vesting percentage | 25.00% | ||||||||||
November 17, 2016 | |||||||||||
Share-based compensation | |||||||||||
Vesting percentage | 25.00% | ||||||||||
February 17, 2017 | |||||||||||
Share-based compensation | |||||||||||
Vesting percentage | 25.00% | ||||||||||
Directors | |||||||||||
Share-based compensation | |||||||||||
Fair value of equity grant award approved for each director | $ 50,000 | $ 50,000 | |||||||||
Number of restricted stock awards granted | shares | 2,778 | 5,334 | 8,919 | ||||||||
Number of directors granted restricted stock awards | director | 1 | 2 | 3 | ||||||||
Number of directors who elected to receive cash in lieu of the stock | director | 3 | 4 | |||||||||
Directors | Maximum | |||||||||||
Share-based compensation | |||||||||||
Stock compensation expense | $ 100,000 | $ 100,000 | $ 100,000 | $ 100,000 | |||||||
Officers | |||||||||||
Share-based compensation | |||||||||||
Number of restricted stock awards granted | shares | 9,956 | ||||||||||
Number of directors granted restricted stock awards | employee | 4 | ||||||||||
Stock compensation expense | $ 200,000 | ||||||||||
Percentage of total discretionary cash incentive award elected to be received in shares of Company stock | 50.00% | ||||||||||
Number of grantees who elected to receive a portion of total discretionary cash incentive award in shares of company stock | employee | 4 |
Employee Benefit Plan (Details)
Employee Benefit Plan (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2014 | Dec. 31, 2017 | |
Investment | ||||||
Assets contributed to 401(k) Plan | $ 7,900 | |||||
Restricted investments | $ 3,429 | $ 3,429 | $ 4,469 | |||
401(k) Plan distribution period (in years) | 3 years | |||||
Compensation expense for assets allocated to participants | $ 1,100 | $ 1,200 | ||||
Realized gain (loss) | $ (100) | (961) | 10,757 | |||
Restricted | Maximum | ||||||
Investment | ||||||
Realized gain (loss) | $ (100) | $ 100 | $ (100) | $ 100 |
Other Income (Expense) - Summar
Other Income (Expense) - Summary (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Investment income, net | ||||
Interest and dividend income | $ 1,802 | $ 4,445 | $ 7,025 | $ 13,016 |
Accretion income | 218 | 375 | 641 | 1,696 |
Net realized gain (loss) on the sale of investments | 125 | (104) | (961) | 10,757 |
Other-than-temporary impairment loss | (1,660) | (1,723) | ||
Other-than-temporary impairment loss | (403) | (769) | ||
Unrealized (loss) gain on investments, net | (89) | 641 | ||
Interest income from investments in SPEs | 2,049 | 2,050 | 6,148 | 6,151 |
Interest accrued on notes receivable and other interest | 130 | 89 | 450 | 259 |
Total investment income, net | 2,575 | 6,452 | 12,221 | 31,110 |
Interest expense | ||||
Interest expense and amortization of discount and issuance costs for Senior Notes issued by SPE | (2,197) | (2,195) | (6,590) | (6,582) |
Other interest expense | (729) | (843) | (2,315) | (2,535) |
Total interest expense | (2,926) | (3,038) | (8,905) | (9,117) |
Other income (expense), net | ||||
Accretion income from retained interest investments | 316 | 279 | 909 | 813 |
Miscellaneous (expense) income, net | (48) | 304 | (122) | 3,833 |
Other income, net | 268 | 583 | 787 | 4,646 |
Total other (expense) income, net | $ (83) | $ 3,997 | $ 4,103 | $ 26,639 |
Other Income (Expense) - Intere
Other Income (Expense) - Interest expense and Other income, net (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Other income (expense) | ||
Proceeds from settlement received | $ 3.5 | |
Minimum | ||
Other income (expense) | ||
Retained interest, effective interest rate (as a percent) | 3.70% | |
Maximum | ||
Other income (expense) | ||
Retained interest, effective interest rate (as a percent) | 12.20% | |
Senior Notes held by special purpose entity | ||
Other income (expense) | ||
Effective interest rate (as a percent) | 4.90% |
Segment Information - Narrative
Segment Information - Narrative (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 54 Months Ended | ||
Jun. 30, 2018USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)segment | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | |
Segments | ||||||
Number of reportable operating segments | segment | 4 | |||||
Revenues | $ 23,676 | $ 33,988 | $ 93,974 | $ 78,149 | ||
Percentage of resort fees included in revenue | 50.00% | 50.00% | 50.00% | |||
Mattamy - RiverTown sale | ||||||
Segments | ||||||
Impact fees received | $ 23,100 | $ 200 | $ 23,500 | $ 500 | $ 25,100 | |
Mattamy - RiverTown sale | Maximum | ||||||
Segments | ||||||
Impact fees received | $ 100 | |||||
Residential real estate | Real estate - Impact fees | Mattamy - RiverTown sale | ||||||
Segments | ||||||
Revenues | $ 23,100 |
Segment Information - Informati
Segment Information - Information by Business Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Segments | |||||
Revenues | $ 23,676 | $ 33,988 | $ 93,974 | $ 78,149 | |
(Loss) income before income taxes | 1,861 | 8,784 | 34,850 | 31,774 | |
Total assets | 870,600 | 870,600 | $ 920,993 | ||
Residential real estate | Real estate - Impact fees | Mattamy - RiverTown sale | |||||
Segments | |||||
Revenues | 23,100 | ||||
Operating Segments | Residential real estate | |||||
Segments | |||||
Revenues | 1,959 | 9,411 | 37,749 | 15,391 | |
(Loss) income before income taxes | (368) | 1,802 | 26,048 | 3,026 | |
Total assets | 122,654 | 122,654 | 117,732 | ||
Operating Segments | Resorts and leisure | |||||
Segments | |||||
Revenues | 12,565 | 18,198 | 33,284 | 45,633 | |
(Loss) income before income taxes | 1,747 | 2,916 | 3,615 | 4,521 | |
Total assets | 75,334 | 75,334 | 83,151 | ||
Operating Segments | Commercial leasing and sales | |||||
Segments | |||||
Revenues | 6,225 | 3,470 | 12,720 | 11,028 | |
(Loss) income before income taxes | 609 | (164) | 329 | (301) | |
Total assets | 177,048 | 177,048 | 163,271 | ||
Operating Segments | Forestry | |||||
Segments | |||||
Revenues | 2,627 | 2,719 | 7,415 | 5,630 | |
(Loss) income before income taxes | 2,072 | 2,437 | 5,830 | 4,808 | |
Total assets | 20,715 | 20,715 | 20,212 | ||
Corporate/Other | |||||
Segments | |||||
Revenues | 300 | 190 | 2,806 | 467 | |
(Loss) income before income taxes | (2,199) | $ 1,793 | (972) | $ 19,720 | |
Total assets | $ 474,849 | 474,849 | $ 536,627 | ||
Corporate/Other | Mitigation bank credit | |||||
Segments | |||||
Revenues | $ 2,200 |
Commitments and Contingencies -
Commitments and Contingencies - (Details) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Obligations | ||
Accrued liabilities for other litigation, claims, other disputes and governmental proceedings | $ 1.3 | $ 1.3 |
Purchase obligations, total | 41.5 | |
Maximum | ||
Obligations | ||
Amount of letters of credit outstanding | 0.1 | |
Surety bonds | ||
Obligations | ||
Commitment obligations | $ 8.1 | $ 8.6 |
Subsequent Event (Details)
Subsequent Event (Details) - Subsequent Event. - Hurricane Michael | Oct. 10, 2018T |
Subsequent Event | |
Estimated loss as a percent of total timber assets | 3.00% |
Estimated quantity of timber lost or to be salvaged (in tons) | 234,000 |