Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2015 | Oct. 09, 2015 | |
Document Information [Line Items] | ||
Entity Registrant Name | SANTA FE FINANCIAL CORP | |
Entity Central Index Key | 86,759 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | SFEF | |
Entity Common Stock, Shares Outstanding | 1,241,810 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,016 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 |
ASSETS | ||
Investment in Hotel, net | $ 40,413,000 | $ 39,938,000 |
Investment in real estate, net | 5,015,000 | 4,972,000 |
Investment in marketable securities | 8,597,000 | 1,955,000 |
Other investments, net | 1,015,000 | 7,711,000 |
Cash and cash equivalents | 3,948,000 | 1,146,000 |
Restricted cash - mortgage impounds | 920,000 | 656,000 |
Accounts receivable - Hotel, net | 2,229,000 | 6,791,000 |
Other assets, net | 4,163,000 | 4,366,000 |
Deferred tax asset | 7,908,000 | 8,351,000 |
Total assets | 74,208,000 | 75,886,000 |
Liabilities: | ||
Accounts payable and other liabilities | 13,841,000 | 15,975,000 |
Other notes payable | 9,031,000 | 9,155,000 |
Mortgage notes payable - real estate | 3,394,000 | 3,410,000 |
Mortgage notes payable - Hotel | 117,000,000 | 117,000,000 |
Total liabilities | $ 143,266,000 | $ 145,540,000 |
Commitments and contingencies | ||
Shareholders' deficit: | ||
Common stock - par value $.10 per share; Authorized shares - 2,000,000; Shares issued 1,339,638 and outstanding 1,241,810 | $ 134,000 | $ 134,000 |
Additional paid-in capital | 8,808,000 | 8,808,000 |
Accumulated deficit | (52,415,000) | (52,746,000) |
Treasury stock, at cost, 97,828 shares | (951,000) | (951,000) |
Total Santa Fe shareholders' deficit | (44,424,000) | (44,755,000) |
Noncontrolling interest | (24,634,000) | (24,899,000) |
Total shareholders' deficit | (69,058,000) | (69,654,000) |
Total liabilities and shareholders' deficit | $ 74,208,000 | $ 75,886,000 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares | Sep. 30, 2015 | Jun. 30, 2015 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common Stock, Shares Authorized | 2,000,000 | 2,000,000 |
Common Stock, Shares, Issued | 1,339,638 | 1,339,638 |
Common Stock, Shares, Outstanding | 1,241,810 | 1,241,810 |
Treasury Stock, Shares | 97,828 | 97,828 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Revenues: | ||
Hotel | $ 15,138,000 | $ 14,830,000 |
Real estate | 123,000 | 166,000 |
Total revenues | 15,261,000 | 14,996,000 |
Costs and operating expenses: | ||
Hotel operating expenses | (11,193,000) | (11,838,000) |
Real estate operating expenses | (64,000) | (60,000) |
Depreciation and amortization expense | (756,000) | (681,000) |
General and administrative expense | (298,000) | (276,000) |
Total costs and operating expenses | (12,311,000) | (12,855,000) |
Income from operations | 2,950,000 | 2,141,000 |
Other income (expense): | ||
Interest expense - mortgage | (1,965,000) | (2,049,000) |
Loss on disposal of assets | (30,000) | 0 |
Net gain (loss) on marketable securities | 178,000 | (696,000) |
Net unrealized loss on other investments | (37,000) | (36,000) |
Dividend and interest income | 2,000 | 6,000 |
Trading and margin interest expense | (59,000) | (126,000) |
Other expense, net | (1,911,000) | (2,901,000) |
Income (loss) before income taxes | 1,039,000 | (760,000) |
Income tax (expense) benefit | (443,000) | 182,000 |
Net income (loss) | 596,000 | (578,000) |
Less: Net (income) loss attributable to the noncontrolling interest | (265,000) | 49,000 |
Net income (loss) attributable to Santa Fe | $ 331,000 | $ (529,000) |
Basic and diluted net income (loss) per share attributable to Santa Fe (in dollars per share) | $ 0.27 | $ (0.43) |
Weighted average number of common shares outstanding - basic and diluted (in share) | 1,241,810 | 1,241,810 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 3 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 596,000 | $ (578,000) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Net unrealized (gain) loss on marketable securities | (201,000) | 792,000 |
Unrealized loss on other investments | 37,000 | 36,000 |
Loss on disposal of assets | 30,000 | 0 |
Depreciation and amortization | 756,000 | 681,000 |
Changes in assets and liabilities: | ||
Investment in marketable securities | 218,000 | 143,000 |
Accounts receivable | 4,562,000 | (383,000) |
Other assets | 250,000 | 347,000 |
Accounts payable and other liabilities | (2,134,000) | (3,365,000) |
Due to securities broker | 0 | (998,000) |
Obligations for securities sold | 0 | 1,075,000 |
Deferred tax asset | 443,000 | (182,000) |
Net cash provided by (used in) operating activities | 4,557,000 | (2,432,000) |
Cash flows from investing activities: | ||
Payments for hotel and real estate investments | (1,351,000) | (1,313,000) |
Net cash provided by (used in) investing activities | (1,351,000) | (1,313,000) |
Cash flows from financing activities: | ||
Restricted cash - withdrawal of (payments to) mortgage impounds, net | (264,000) | 98,000 |
Proceeds from mortgage and other notes payable, net | (140,000) | 4,345,000 |
Net cash (used in) provided by financing activities | (404,000) | 4,443,000 |
Net increase in cash and cash equivalents: | 2,802,000 | 698,000 |
Cash and cash equivalents at the beginning of the period | 1,146,000 | 1,139,000 |
Cash and cash equivalents at the end of the period | 3,948,000 | 1,837,000 |
Supplemental information: | ||
Interest paid | $ 1,976,000 | $ 2,083,000 |
Non-cash transaction: | ||
Conversion of other investments to marketable securities | 6,659,000 | 0 |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies [Text Block] | The condensed consolidated financial statements included herein have been prepared by Santa Fe Financial Corporation (“Santa Fe” or the “Company”), without audit, according to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in the condensed consolidated financial statements prepared in accordance with generally accepted accounting principles (U.S. GAAP) have been condensed or omitted pursuant to such rules and regulations, although the Company believes the disclosures that are made are adequate to make the information presented not misleading. Further, the condensed consolidated financial statements reflect, in the opinion of management, all adjustments (which included only normal recurring adjustments) necessary for a fair statement of the financial position, cash flows and results of operations as of and for the periods indicated. It is suggested that these financial statements be read in conjunction with the audited financial statements of Santa Fe and the notes therein included in the Company's Annual Report on Form 10-K for the year ended June 30, 2015. The June 30, 2015 Condensed Consolidated Balance Sheet was derived from the Company’s Form 10-K for the year ended June 30, 2015. The results of operations for the three months ended September 30, 2015 are not necessarily indicative of results to be expected for the full fiscal year ending June 30, 2016. For the three months ended September 30, 2015 and 2014, the Company had no components of comprehensive income other than net income itself. Santa Fe Financial Corporation, a Nevada corporation, (“Santa Fe” or the “Company”) owns approximately 68.8 81.7 13.1 Portsmouth’s primary business is conducted through its general and limited partnership interest in Justice Investors, a California limited partnership (“Justice” or the “Partnership”). 93 Justice, through its subsidiaries Justice Holdings Company, LLC (“Holdings”), a Delaware Limited Liability Company, Justice Operating Company, LLC (“Operating”) and Justice Mezzanine Company, LLC (“Mezzanine”), owns a 543-room Hotel property located at 750 Kearny Street, San Francisco California, known as the Hilton San Francisco Financial District (the Hotel) and related facilities including a five level underground parking garage. Holdings and Mezzanine are both a wholly-owned subsidiaries of the Partnership; Operating is a wholly-owned subsidiary of Mezzanine. Mezzanine is the Mezzanine borrower under certain indebtedness of Justice, and in December 2013, the Partnership conveyed ownership of the Hotel to Operating. The Hotel is operated by the partnership as a full service Hilton brand hotel pursuant to a Franchise License Agreement with HLT Franchise Holding LLC (Hilton) . Justice also has a Management Agreement with Prism Hospitality L.P. (“Prism”) to perform management functions for the Hotel. The management agreement with Prism had an original term of ten years and can be terminated at any time with or without cause by the Partnership owner. Effective January 2014, the management agreement with Prism was amended by the Partnership. Effective December 1, 2013, GMP Management, Inc., a company owned by a Justice limited partner and related party, also provides management services for the Partnership pursuant to a Management Services Agreement, which is for a term of 3 years, but which can be terminated earlier by the Partnership for cause. Management believes that the revenues expected to be generated from the operations of the hotel, garage and leases will be sufficient to meet all of the Partnership’s current and future obligations and financial requirements. Management also believes that there is significant value in the Hotel to support additional borrowings, if necessary. In addition to the operations of the Hotel, the Company also generates income from the ownership and management of real estate. On December 31, 1997, the Company acquired a controlling 55.4 Basic income per share is calculated based upon the weighted average number of common shares outstanding during each respective period. During the three months ended September 30, 2015 and 2014, the Company did not have any potentially dilutive securities outstanding. Recently Issued Accounting Pronouncements In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs We are in the process of evaluating this guidance. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, In April 2014, the FASB issued ASU 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment In May 2014, the Financial Accounting Standards Board (the "FASB") issued Accounting Standard Update No. 2014-09, Revenue from Contracts with Customers In August 2014, the FASB issued Accounting Standard Update No. 2014-15, Presentation of Financial Statements Going Concern In July 2015, the FASB issued Accounting Standard Update No. 2015-11, Simplifying the Measurement of Inventory |
INVESTMENT IN HOTEL, NET
INVESTMENT IN HOTEL, NET | 3 Months Ended |
Sep. 30, 2015 | |
Real Estate [Abstract] | |
Real Estate Disclosure [Text Block] | NOTE 2 INVESTMENT IN HOTEL, NET Investment in hotel consisted of the following as of: Accumulated Net Book September 30, 2015 Cost Depreciation Value Land $ 1,896,000 $ - $ 1,896,000 Furniture and equipment 26,197,000 (21,965,000) 4,232,000 Building and improvements 58,355,000 (24,070,000) 34,285,000 $ 86,448,000 $ (46,035,000) $ 40,413,000 Accumulated Net Book June 30, 2015 Cost Depreciation Value Land $ 1,896,000 $ - $ 1,896,000 Furniture and equipment 25,958,000 (21,605,000) 4,353,000 Building and improvements 57,494,000 (23,805,000) 33,689,000 $ 85,348,000 $ (45,410,000) $ 39,938,000 |
INVESTMENT IN REAL ESTATE, NET
INVESTMENT IN REAL ESTATE, NET | 3 Months Ended |
Sep. 30, 2015 | |
Real Estate [Abstract] | |
Investment In Real Estate [Text Block] | NOTE 3 INVESTMENT IN REAL ESTATE, NET The Company owns and operates a 27-unit and 2-unit multi-family apartment complex located in Los Angeles, California and owns land held for development located in Maui, Hawaii. Investment in real estate consisted of the following: As of September 30, 2015 June 30, 2015 Land $ 2,430,000 $ 2,430,000 Buildings, improvements and equipment 2,697,000 2,634,000 Accumulated depreciation (1,085,000) (1,065,000) 4,042,000 3,999,000 Land held for development 973,000 973,000 Investment in real estate, net $ 5,015,000 $ 4,972,000 |
INVESTMENT IN MARKETABLE SECURI
INVESTMENT IN MARKETABLE SECURITIES | 3 Months Ended |
Sep. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | NOTE 4 - INVESTMENT IN MARKETABLE SECURITIES The Company’s investment in marketable securities consists primarily of corporate equities. The Company has also invested in corporate bonds and income producing securities, which may include interests in real estate based companies and REITs, where financial benefit could transfer to its shareholders through income and/or capital gain. At September 30, 2015 and June 30, 2015, all of the Company’s marketable securities are classified as trading securities. The change in the unrealized gains and losses on these investments are included in earnings. Trading securities are summarized as follows: Gross Gross Net Fair Investment Cost Unrealized Gain Unrealized Loss Unrealized Gain (Loss) Value As of September 30, 2015 Corporate Equities $ 9,457,000 $ 551,000 $ (1,411,000) $ (860,000) $ 8,597,000 As of June 30, 2015 Corporate Equities $ 3,016,000 $ 368,000 $ (1,429,000) $ (1,061,000) $ 1,955,000 As of September 30, 2015, approximately 95% of the investment marketable securities balance above is comprised of the common stock of Comstock Mining, Inc. As of September 30, 2015 and June 30, 2015, the Company had $ 1,407,000 1,420,000 Net gain (loss) on marketable securities on the statement of operations is comprised of realized and unrealized gains (losses). Below is the composition of the two components for the three months ended September 30, 2015 and 2014, respectively. For the three months ended September 30, 2015 2014 Realized (loss) gain on marketable securities $ (23,000) $ 96,000 Unrealized gain (loss) on marketable securities 201,000 (792,000) Net gain (loss) on marketable securities $ 178,000 $ (696,000) |
OTHER INVESTMENTS, NET
OTHER INVESTMENTS, NET | 3 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
Other Investments Disclosure [Text Block] | NOTE 5 OTHER INVESTMENTS, NET The Company may also invest, with the approval of the Securities Investment Committee and other Company guidelines, in private investment equity funds and other unlisted securities, such as convertible notes through private placements. Those investments in non-marketable securities are carried at cost on the Company’s balance sheet as part of other investments, net of other than temporary impairment losses. Other investments also include non-marketable warrants carried at fair value. Other investments, net consist of the following: Type September 30, 2015 June 30, 2015 Preferred stock - Comstock, at cost $ - $ 6,659,000 Private equity hedge fund, at cost 777,000 777,000 Other preferred stock, at cost 204,000 223,000 Warrants - at fair value 34,000 52,000 $ 1,015,000 $ 7,711,000 As of June 30, 2015, the Company had $ 6,659,000 6,659 On August 27, 2015, all of such preferred stock was converted into common stock of Comstock. Such shares are now included on the balance sheet under “Investment in marketable securities”. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | NOTE 6 - FAIR VALUE MEASUREMENTS The carrying values of the Company’s financial instruments not required to be carried at fair value on a recurring basis approximate fair value due to their short maturities (i.e., accounts receivable, other assets, accounts payable and other liabilities) or the nature and terms of the obligation (i.e., other notes payable and mortgage notes payable). The assets measured at fair value on a recurring basis are as follows: As of September 30, 2015 Assets: Level 1 Level 2 Level 3 Total Other investments - warrants $ - $ - $ 34,000 $ 34,000 Investment in marketable securities: Basic materials 8,187,000 - - 8,187,000 Other 410,000 - - 410,000 8,597,000 - - 8,597,000 $ 8,597,000 $ - $ 34,000 $ 8,631,000 As of June 30, 2015 Assets: Level 1 Level 2 Level 3 Total Other investments - warrants $ - $ - $ 52,000 $ 52,000 Investment in marketable securities: Basic materials 1,392,000 - - 1,392,000 Other 563,000 - - 563,000 1,955,000 - - 1,955,000 $ 1,955,000 $ - $ 52,000 $ 2,007,000 The fair values of investments in marketable securities are determined by the most recently traded price of each security at the balance sheet date. The fair value of the warrants was determined based upon a Black-Scholes option valuation model. Financial assets that are measured at fair value on a non-recurring basis and are not included in the tables above include “Other investments, net (non-marketable securities),” that were initially measured at cost and have been written down to fair value as a result of impairment or adjusted to record the fair value of new instruments received (i.e., preferred shares) in exchange for old instruments (i.e., debt instruments). The following table shows the fair value hierarchy for these assets measured at fair value on a non-recurring basis as follows: Net loss for the three months Assets Level 1 Level 2 Level 3 September 30, 2015 ended September 30, 2015 Other non-marketable investments $ - $ - $ 981,000 $ 981,000 $ - Net loss for the three months Assets Level 1 Level 2 Level 3 June 30, 2015 ended September 30, 2014 Other non-marketable investments $ - $ - $ 7,659,000 $ 7,659,000 $ - Other investments in non-marketable securities are carried at cost net of any impairment loss. The Company has no significant influence or control over the entities that issue these investments and holds less than 20% ownership in each of the investments. These investments are reviewed on a periodic basis for other-than-temporary impairment. The Company reviews several factors to determine whether a loss is other-than-temporary. These factors include but are not limited to: (i) the length of time an investment is in an unrealized loss position, (ii) the extent to which fair value is less than cost, (iii) the financial condition and near term prospects of the issuer and (iv) our ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair value. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 3 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | NOTE 7 SEGMENT INFORMATION The Company operates in three reportable segments, the operation of the hotel (“Hotel Operations”), its multi-family residential properties (“Real Estate Operations) and the investment of its cash in marketable securities and other investments (“Investment Transactions”). These three operating segments, as presented in the financial statements, reflect how management internally reviews each segment’s performance. Management also makes operational and strategic decisions based on this same information. Information below represents reporting segments for the three months ended September 30, 2015 and 2014, respectively. Operating income for rental properties consist of rental income. Operating income from hotel operations consists of the operation of the hotel and operation of the garage. Income (loss) from investment transactions consist of net investment gain (loss), impairment loss on other investments, net unrealized gain (loss) on other investments, dividend and interest income and trading and margin interest expense. As of and for the three months Hotel Real Estate Investment ended September 30, 2015 Operations Operations Transactions Other Total Revenues $ 15,138,000 $ 123,000 $ - $ - $ 15,261,000 Segment operating expenses (11,193,000) (64,000) - (298,000) (11,555,000) Segment income (loss) 3,945,000 59,000 - (298,000) 3,706,000 Loss on disposal of assets (30,000) - - - (30,000) Interest expense - mortgage (1,941,000) (24,000) - - (1,965,000) Depreciation and amortization expense (737,000) (19,000) - - (756,000) Income from investments - - 84,000 - 84,000 Income tax expense - - - (443,000) (443,000) Net income (loss) $ 1,237,000 $ 16,000 $ 84,000 $ (741,000) $ 596,000 Total assets $ 48,321,000 $ 5,015,000 $ 9,612,000 $ 11,260,000 $ 74,208,000 As of and for the three months Hotel Real Estate Investment ended September 30, 2014 Operations Operations Transactions Other Total Revenues $ 14,830,000 $ 166,000 $ - $ - $ 14,996,000 Segment operating expenses (11,838,000) (60,000) - (276,000) (12,174,000) Segment income (loss) 2,992,000 106,000 - (276,000) 2,822,000 Interest expense (2,024,000) (25,000) - - (2,049,000) Depreciation and amortization expense (666,000) (15,000) - - (681,000) Loss from investments - - (852,000) - (852,000) Income tax benefit - - - 182,000 182,000 Net income (loss) $ 302,000 $ 66,000 $ (852,000) $ (94,000) $ (578,000) Total assets $ 38,504,000 $ 4,965,000 $ 12,170,000 $ 37,547,000 $ 93,186,000 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | NOTE 8 RELATED PARTY TRANSACTIONS Certain shared costs and expenses, primarily administrative expenses, rent and insurance are allocated among the Company, the Company’s parent, Santa Fe and InterGroup, the parent of Santa Fe, based on management's estimate of the pro rata utilization of resources. For the three months ended September 30, 2015 and 2014, these expenses were approximately $36,000 for each respective period. During the three months ended September 30, 2015 and 2014, the Company received management fees from Justice Investors totaling $163,000 and $140,000, respectively. These fees are eliminated in consolidation. In connection with the redemption of limited partnership interests of Justice Investors, Limited Partnership (which took place during fiscal year ended June 30, 2014), Justice Operating Company, LLC agreed to pay a total of $ 1,550,000 400,000 Four of the Portsmouth directors serve as directors of Intergroup. Three of those directors also serve as directors of Santa Fe. The three Santa Fe directors also serve as directors of InterGroup. John V. Winfield serves as Chief Executive Officer and Chairman of the Company, Portsmouth, and InterGroup. Depending on certain market conditions and various risk factors, the Chief Executive Officer, Portsmouth and InterGroup may, at times, invest in the same companies in which the Company invests. The Company encourages such investments because it places personal resources of the Chief Executive Officer, and the resources of Portsmouth and InterGroup, at risk in connection with investment decisions made on behalf of the Company. |
BASIS OF PRESENTATION AND SIG14
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs We are in the process of evaluating this guidance. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, In April 2014, the FASB issued ASU 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment In May 2014, the Financial Accounting Standards Board (the "FASB") issued Accounting Standard Update No. 2014-09, Revenue from Contracts with Customers In August 2014, the FASB issued Accounting Standard Update No. 2014-15, Presentation of Financial Statements Going Concern In July 2015, the FASB issued Accounting Standard Update No. 2015-11, Simplifying the Measurement of Inventory |
INVESTMENT IN HOTEL, NET (Table
INVESTMENT IN HOTEL, NET (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Real Estate Properties [Table Text Block] | Investment in hotel consisted of the following as of: Accumulated Net Book September 30, 2015 Cost Depreciation Value Land $ 1,896,000 $ - $ 1,896,000 Furniture and equipment 26,197,000 (21,965,000) 4,232,000 Building and improvements 58,355,000 (24,070,000) 34,285,000 $ 86,448,000 $ (46,035,000) $ 40,413,000 Accumulated Net Book June 30, 2015 Cost Depreciation Value Land $ 1,896,000 $ - $ 1,896,000 Furniture and equipment 25,958,000 (21,605,000) 4,353,000 Building and improvements 57,494,000 (23,805,000) 33,689,000 $ 85,348,000 $ (45,410,000) $ 39,938,000 |
INVESTMENT IN REAL ESTATE, NET
INVESTMENT IN REAL ESTATE, NET (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Real Estate [Abstract] | |
Schedule of Investment In Real Estate [Table Text Block] | The Company owns and operates a 27-unit and 2-unit multi-family apartment complex located in Los Angeles, California and owns land held for development located in Maui, Hawaii. Investment in real estate consisted of the following: As of September 30, 2015 June 30, 2015 Land $ 2,430,000 $ 2,430,000 Buildings, improvements and equipment 2,697,000 2,634,000 Accumulated depreciation (1,085,000) (1,065,000) 4,042,000 3,999,000 Land held for development 973,000 973,000 Investment in real estate, net $ 5,015,000 $ 4,972,000 |
INVESTMENT IN MARKETABLE SECU17
INVESTMENT IN MARKETABLE SECURITIES (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities [Table Text Block] | At September 30, 2015 and June 30, 2015, all of the Company’s marketable securities are classified as trading securities. The change in the unrealized gains and losses on these investments are included in earnings. Trading securities are summarized as follows: Gross Gross Net Fair Investment Cost Unrealized Gain Unrealized Loss Unrealized Gain (Loss) Value As of September 30, 2015 Corporate Equities $ 9,457,000 $ 551,000 $ (1,411,000) $ (860,000) $ 8,597,000 As of June 30, 2015 Corporate Equities $ 3,016,000 $ 368,000 $ (1,429,000) $ (1,061,000) $ 1,955,000 |
Gain (Loss) on Investments [Table Text Block] | Net gain (loss) on marketable securities on the statement of operations is comprised of realized and unrealized gains (losses). Below is the composition of the two components for the three months ended September 30, 2015 and 2014, respectively. For the three months ended September 30, 2015 2014 Realized (loss) gain on marketable securities $ (23,000) $ 96,000 Unrealized gain (loss) on marketable securities 201,000 (792,000) Net gain (loss) on marketable securities $ 178,000 $ (696,000) |
OTHER INVESTMENTS, NET (Tables)
OTHER INVESTMENTS, NET (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
Schedule Of Other Investments Not Readily Marketable [Table Text Block] | Other investments, net consist of the following: Type September 30, 2015 June 30, 2015 Preferred stock - Comstock, at cost $ - $ 6,659,000 Private equity hedge fund, at cost 777,000 777,000 Other preferred stock, at cost 204,000 223,000 Warrants - at fair value 34,000 52,000 $ 1,015,000 $ 7,711,000 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The assets measured at fair value on a recurring basis are as follows: As of September 30, 2015 Assets: Level 1 Level 2 Level 3 Total Other investments - warrants $ - $ - $ 34,000 $ 34,000 Investment in marketable securities: Basic materials 8,187,000 - - 8,187,000 Other 410,000 - - 410,000 8,597,000 - - 8,597,000 $ 8,597,000 $ - $ 34,000 $ 8,631,000 As of June 30, 2015 Assets: Level 1 Level 2 Level 3 Total Other investments - warrants $ - $ - $ 52,000 $ 52,000 Investment in marketable securities: Basic materials 1,392,000 - - 1,392,000 Other 563,000 - - 563,000 1,955,000 - - 1,955,000 $ 1,955,000 $ - $ 52,000 $ 2,007,000 |
Fair Value Measurements, Nonrecurring [Table Text Block] | The following table shows the fair value hierarchy for these assets measured at fair value on a non-recurring basis as follows: Net loss for the three months Assets Level 1 Level 2 Level 3 September 30, 2015 ended September 30, 2015 Other non-marketable investments $ - $ - $ 981,000 $ 981,000 $ - Net loss for the three months Assets Level 1 Level 2 Level 3 June 30, 2015 ended September 30, 2014 Other non-marketable investments $ - $ - $ 7,659,000 $ 7,659,000 $ - |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 3 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Information below represents reporting segments for the three months ended September 30, 2015 and 2014, respectively. Operating income for rental properties consist of rental income. Operating income from hotel operations consists of the operation of the hotel and operation of the garage. Income (loss) from investment transactions consist of net investment gain (loss), impairment loss on other investments, net unrealized gain (loss) on other investments, dividend and interest income and trading and margin interest expense. As of and for the three months Hotel Real Estate Investment ended September 30, 2015 Operations Operations Transactions Other Total Revenues $ 15,138,000 $ 123,000 $ - $ - $ 15,261,000 Segment operating expenses (11,193,000) (64,000) - (298,000) (11,555,000) Segment income (loss) 3,945,000 59,000 - (298,000) 3,706,000 Loss on disposal of assets (30,000) - - - (30,000) Interest expense - mortgage (1,941,000) (24,000) - - (1,965,000) Depreciation and amortization expense (737,000) (19,000) - - (756,000) Income from investments - - 84,000 - 84,000 Income tax expense - - - (443,000) (443,000) Net income (loss) $ 1,237,000 $ 16,000 $ 84,000 $ (741,000) $ 596,000 Total assets $ 48,321,000 $ 5,015,000 $ 9,612,000 $ 11,260,000 $ 74,208,000 As of and for the three months Hotel Real Estate Investment ended September 30, 2014 Operations Operations Transactions Other Total Revenues $ 14,830,000 $ 166,000 $ - $ - $ 14,996,000 Segment operating expenses (11,838,000) (60,000) - (276,000) (12,174,000) Segment income (loss) 2,992,000 106,000 - (276,000) 2,822,000 Interest expense (2,024,000) (25,000) - - (2,049,000) Depreciation and amortization expense (666,000) (15,000) - - (681,000) Loss from investments - - (852,000) - (852,000) Income tax benefit - - - 182,000 182,000 Net income (loss) $ 302,000 $ 66,000 $ (852,000) $ (94,000) $ (578,000) Total assets $ 38,504,000 $ 4,965,000 $ 12,170,000 $ 37,547,000 $ 93,186,000 |
BASIS OF PRESENTATION AND SIG21
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details Textual) | 3 Months Ended |
Sep. 30, 2015 | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest | 93.00% |
Portsmouth [Member] | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Equity Method Investment, Ownership Percentage | 68.80% |
Intergroup [Member] | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Equity Method Investment, Ownership Percentage | 81.70% |
Noncontrolling Interest, Ownership Percentage by Parent | 13.10% |
Woodland Village Inc [Member] | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Equity Method Investment, Ownership Percentage | 55.40% |
INVESTMENT IN HOTEL, NET (Detai
INVESTMENT IN HOTEL, NET (Details) - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 |
Property, Plant and Equipment [Line Items] | ||
Cost | $ 86,448,000 | $ 85,348,000 |
Accumulated Depreciation | (46,035,000) | (45,410,000) |
Net Book Value | 40,413,000 | 39,938,000 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 1,896,000 | 1,896,000 |
Accumulated Depreciation | 0 | 0 |
Net Book Value | 1,896,000 | 1,896,000 |
Furniture and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 26,197,000 | 25,958,000 |
Accumulated Depreciation | (21,965,000) | (21,605,000) |
Net Book Value | 4,232,000 | 4,353,000 |
Building and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 58,355,000 | 57,494,000 |
Accumulated Depreciation | (24,070,000) | (23,805,000) |
Net Book Value | $ 34,285,000 | $ 33,689,000 |
INVESTMENT IN REAL ESTATE, NE23
INVESTMENT IN REAL ESTATE, NET (Details) - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 |
Property, Plant and Equipment [Line Items] | ||
Land | $ 2,430,000 | $ 2,430,000 |
Buildings, improvements and equipment | 2,697,000 | 2,634,000 |
Accumulated depreciation | (1,085,000) | (1,065,000) |
Real Estate Investment Property Net | 4,042,000 | 3,999,000 |
Land held for development | 973,000 | 973,000 |
Investment in real estate, net | $ 5,015,000 | $ 4,972,000 |
INVESTMENT IN MARKETABLE SECU24
INVESTMENT IN MARKETABLE SECURITIES (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | |
Investment - Corporate Equities | |||
Net Unrealized (Loss) Gain | $ 201,000 | $ (792,000) | |
Fair Value | 8,597,000 | $ 1,955,000 | |
Equity Securities [Member] | |||
Investment - Corporate Equities | |||
Cost | 9,457,000 | 3,016,000 | |
Gross Unrealized Gain | 551,000 | 368,000 | |
Gross Unrealized Loss | (1,411,000) | (1,429,000) | |
Net Unrealized (Loss) Gain | (860,000) | (1,061,000) | |
Fair Value | $ 8,597,000 | $ 1,955,000 |
INVESTMENT IN MARKETABLE SECU25
INVESTMENT IN MARKETABLE SECURITIES (Details 1) - USD ($) | 3 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Realized (loss) gain on marketable securities | $ (23,000) | $ 96,000 |
Unrealized gain (loss) on marketable securities | 201,000 | (792,000) |
Net gain (loss) on marketable securities | $ 178,000 | $ (696,000) |
INVESTMENT IN MARKETABLE SECU26
INVESTMENT IN MARKETABLE SECURITIES (Details Textual) - USD ($) | 3 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Jun. 30, 2015 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Trading Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ 1,407,000 | $ 1,420,000 |
OTHER INVESTMENTS, NET (Details
OTHER INVESTMENTS, NET (Details) - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 |
Other Investment [Line Items] | ||
Other investments, net | $ 1,015,000 | $ 7,711,000 |
Preferred stock - Comstock, at cost [Member] | ||
Other Investment [Line Items] | ||
Other investments, net | 0 | 6,659,000 |
Private equity hedge fund, at cost [Member] | ||
Other Investment [Line Items] | ||
Other investments, net | 777,000 | 777,000 |
Other preferred stock, at cost [Member] | ||
Other Investment [Line Items] | ||
Other investments, net | 204,000 | 223,000 |
Warrants - at fair value [Member] | ||
Other Investment [Line Items] | ||
Other investments, net | $ 34,000 | $ 52,000 |
OTHER INVESTMENTS, NET (Detai28
OTHER INVESTMENTS, NET (Details Textual) - Comstock Mining Inc [Member] | Jun. 30, 2015USD ($)shares |
Schedule of Investments [Line Items] | |
Preferred Stock, Value, Issued | $ | $ 6,659,000 |
Preferred Stock, Shares Issued | 6,659 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other investments - warrants | $ 34,000 | $ 52,000 |
Investment in marketable securities | 8,597,000 | 1,955,000 |
Assets, Fair Value Disclosure | 8,631,000 | 2,007,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other investments - warrants | 0 | 0 |
Investment in marketable securities | 8,597,000 | 1,955,000 |
Assets, Fair Value Disclosure | 8,597,000 | 1,955,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other investments - warrants | 0 | 0 |
Investment in marketable securities | 0 | 0 |
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other investments - warrants | 34,000 | 52,000 |
Investment in marketable securities | 0 | 0 |
Assets, Fair Value Disclosure | 34,000 | 52,000 |
Basic materials [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 8,187,000 | 1,392,000 |
Basic materials [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 8,187,000 | 1,392,000 |
Basic materials [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 0 | 0 |
Basic materials [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 0 | 0 |
Other [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 410,000 | 563,000 |
Other [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 410,000 | 563,000 |
Other [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | 0 | 0 |
Other [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investment in marketable securities | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Deta30
FAIR VALUE MEASUREMENTS (Details 1) - USD ($) | 3 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other non-marketable investments | $ 981,000 | $ 7,659,000 | |
Net loss | 0 | $ 0 | |
Other Investments [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other non-marketable investments | 0 | 0 | |
Other Investments [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other non-marketable investments | 0 | 0 | |
Other Investments [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other non-marketable investments | $ 981,000 | $ 7,659,000 |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) - USD ($) | 3 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 15,261,000 | $ 14,996,000 | |
Segment operating expenses | (11,555,000) | (12,174,000) | |
Segment income (loss) | 2,950,000 | 2,141,000 | |
Interest expense - mortgage | (1,965,000) | (2,049,000) | |
Loss on disposal of assets | (30,000) | 0 | |
Depreciation and amortization expense | (756,000) | (681,000) | |
Income (Loss) from investments | 84,000 | (852,000) | |
Income tax Expenses (Benefit) | (443,000) | 182,000 | |
Net income (loss) | 596,000 | (578,000) | |
Total assets | 74,208,000 | 93,186,000 | $ 75,886,000 |
Hotel [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 15,138,000 | 14,830,000 | |
Segment operating expenses | (11,193,000) | (11,838,000) | |
Segment income (loss) | 3,945,000 | 2,992,000 | |
Interest expense - mortgage | (1,941,000) | (2,024,000) | |
Loss on disposal of assets | (30,000) | ||
Depreciation and amortization expense | (737,000) | (666,000) | |
Income (Loss) from investments | 0 | 0 | |
Income tax Expenses (Benefit) | 0 | 0 | |
Net income (loss) | 1,237,000 | 302,000 | |
Total assets | 48,321,000 | 38,504,000 | |
Real Estate Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 123,000 | 166,000 | |
Segment operating expenses | (64,000) | (60,000) | |
Segment income (loss) | 59,000 | 106,000 | |
Interest expense - mortgage | (24,000) | (25,000) | |
Loss on disposal of assets | 0 | ||
Depreciation and amortization expense | (19,000) | (15,000) | |
Income (Loss) from investments | 0 | 0 | |
Income tax Expenses (Benefit) | 0 | 0 | |
Net income (loss) | 16,000 | 66,000 | |
Total assets | 5,015,000 | 4,965,000 | |
Investment Transactions [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 0 | 0 | |
Segment operating expenses | 0 | 0 | |
Segment income (loss) | 0 | 0 | |
Interest expense - mortgage | 0 | 0 | |
Loss on disposal of assets | 0 | ||
Depreciation and amortization expense | 0 | 0 | |
Income (Loss) from investments | 84,000 | (852,000) | |
Income tax Expenses (Benefit) | 0 | 0 | |
Net income (loss) | 84,000 | (852,000) | |
Total assets | 9,612,000 | 12,170,000 | |
Other Property [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 0 | 0 | |
Segment operating expenses | (298,000) | (276,000) | |
Segment income (loss) | (298,000) | (276,000) | |
Interest expense - mortgage | 0 | 0 | |
Loss on disposal of assets | 0 | ||
Depreciation and amortization expense | 0 | 0 | |
Income (Loss) from investments | 0 | 0 | |
Income tax Expenses (Benefit) | (443,000) | 182,000 | |
Net income (loss) | (741,000) | (94,000) | |
Total assets | $ 11,260,000 | $ 37,547,000 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Textual) - USD ($) | 3 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Related Party Transaction [Line Items] | ||
Management Fees Revenue, Total | $ 163,000 | $ 140,000 |
Costs and Expenses, Related Party | 36,000 | $ 36,000 |
Management Fee Payable | 400,000 | |
Justice [Member] | ||
Related Party Transaction [Line Items] | ||
Payment for Management Fee | $ 1,550,000 |