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SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
The Company currently has three reportable segments: (i) entertainment golf, (ii) traditional golf and (iii) corporate. The chief operating decision maker (“CODM”) for each segment is the chief executive officer and president, who reviews discrete financial information for each reportable segment to manage the Company, including resource allocation and performance assessment.

The Company's entertainment golf segment, launched in 2018, is comprised of Drive Shack venues that feature tech-enabled hitting bays with in-bay dining, full-service restaurants, bars, and event spaces and Puttery venues that feature indoor putting courses anchored by bars and other social spaces as well as a full-service kitchen that serve to create engaging and fun experiences for guests. As of June 30, 2022, the Company owned or leased four Drive Shack venues across three states which are located in Orlando, Florida; West Palm Beach, Florida; Raleigh, North Carolina; and Richmond, Virginia, and leased three Puttery venues located in The Colony, Texas; Charlotte, North Carolina; and Washington, D.C.

The Company's traditional golf segment is one of the largest operators of golf courses and country clubs in the United States. As of June 30, 2022, the Company owned, leased or managed 53 traditional golf properties across nine states.

The corporate segment consists primarily of investments in loans and securities, interest income on short-term investments, general and administrative expenses as a public company, interest expense on the junior subordinated notes payable (Note 8) and income tax expense (Note 14).
Summary financial data on the Company’s segments is given below, together with a reconciliation to the same data for the Company as a whole:
Six Months Ended June 30, 2022Entertainment GolfTraditional GolfCorporateTotal
Revenues
Golf operations$13,827 $108,641 $393 $122,861 
Sales of food and beverages16,066 16,744 — 32,810 
Total revenues29,893 125,385 393 155,671 
Operating costs
Operating expenses16,785 103,783 45 120,613 
Cost of sales - food and beverages4,444 4,705 — 9,149 
General and administrative expense (A)
4,800 6,817 9,005 20,622 
Depreciation and amortization6,842 5,273 210 12,325 
Pre-opening costs (C)
2,685 — — 2,685 
(Gain) Loss on lease terminations and impairment15,048 (16)— 15,032 
Total operating costs50,604 120,562 9,260 180,426 
Operating income (loss) (20,711)4,823 (8,867)(24,755)
Other income (expenses)
Interest and investment income2 41 373 416 
Interest expense (D)
(110)(5,327)(757)(6,194)
Other income (loss), net(16)3,590 66 3,640 
Total other income (expenses)(124)(1,696)(318)(2,138)
Income tax expense40 2 1,547 1,589 
Net income (loss)(20,875)3,125 (10,732)(28,482)
   Less: net loss attributable to NCI— — (81)(81)
   Net loss attributable to the company(20,875)3,125 (10,651)(28,401)
   Preferred dividends— — (2,790)(2,790)
Net income (loss) applicable to common stockholders$(20,875)$3,125 $(13,441)$(31,191)
June 30, 2022Entertainment GolfTraditional GolfCorporateTotal
Total assets$196,605 $248,672 $12,761 $458,038 
Total liabilities69,734 325,114 66,189 461,037 
Preferred stock— — 61,583 61,583 
Noncontrolling interest2,579 — (514)2,065 
Equity (loss) attributable to common stockholders$124,292 $(76,442)$(114,497)$(66,647)
Additions to property and equipment (including finance leases) during the three months ended June 30, 2022$6,276 $2,428 $(86)$8,618 
Three Months Ended June 30, 2022Entertainment GolfTraditional GolfCorporateTotal
Revenues
Golf operations$7,397 $59,972 $208 $67,577 
Sales of food and beverages8,316 10,796 — 19,112 
Total revenues15,713 70,768 208 86,689 
Operating costs
Operating expenses8,525 56,968 (20)65,473 
Cost of sales - food and beverages2,701 3,087 — 5,788 
General and administrative expense (A)
1,074 3,923 6,561 11,558 
Depreciation and amortization3,401 2,629 102 6,132 
Pre-opening costs (C)
1,938 — — 1,938 
Loss on lease terminations and impairment2,159 2 — 2,161 
Total operating costs19,798 66,609 6,643 93,050 
Operating income (loss) (4,085)4,159 (6,435)(6,361)
Other income (expenses)
Interest and investment income2 15 199 216 
Interest expense (D)
(52)(3,078)(417)(3,547)
Capitalized interest (D)
— — — — 
Other income (loss), net— 962 31 993 
Total other income (expenses)(50)(2,101)(187)(2,338)
Income tax expense8 2 858 868 
Net income (loss)(4,143)2,056 (7,480)(9,567)
   Less: net loss attributable to NCI— — (134)(134)
   Net loss attributable to the company(4,143)2,056 (7,346)(9,433)
   Preferred dividends— — (1,395)(1,395)
Net income (loss) applicable to common stockholders$(4,143)$2,056 $(8,741)$(10,828)
Six Months Ended June 30, 2021Entertainment GolfTraditional GolfCorporateTotal
Revenues
Golf operations$8,737 $106,175 $— $114,912 
Sales of food and beverages11,075 8,984 — 20,059 
Total revenues19,812 115,159 — 134,971 
Operating costs
Operating expenses10,679 93,823 2 104,504 
Cost of sales - food and beverages2,530 2,725 — 5,255 
General and administrative expense (A)
4,472 5,073 6,095 15,640 
General and administrative expense - acquisition and transaction expenses (B)
368 — 4 372 
Depreciation and amortization5,904 6,003 122 12,029 
Pre-opening costs (C)
1,344 — 1 1,345 
(Gain) Loss on lease terminations and impairment22 (561)3,187 2,648 
Total operating costs25,319 107,063 9,411 141,793 
Operating loss(5,507)8,096 (9,411)(6,822)
Other income (expenses)
Interest and investment income— 36 276 312 
Interest expense (D)
(159)(4,620)(641)(5,420)
Capitalized interest (D)
— 28 53 81 
Other income (loss), net— (176)97 (79)
Total other income (expenses)(159)(4,732)(215)(5,106)
Income tax expense— — 945 945 
Net income (loss)(5,666)3,364 (10,571)(12,873)
   Preferred dividends— — (2,790)(2,790)
Loss applicable to common stockholders$(5,666)$3,364 $(13,361)$(15,663)

June 30, 2021Entertainment GolfTraditional GolfCorporateTotal
Total assets$171,386 $262,049 $62,404 $495,839 
Total liabilities47,133 336,894 62,302 446,329 
Preferred stock— — 61,583 61,583 
Equity$124,253 $(74,845)$(61,481)$(12,073)
Additions to property and equipment (including finance leases) during the six months ended June 30, 2021$10,903 $2,989 $375 $14,267 
Three Months Ended June 30, 2021Entertainment GolfTraditional GolfCorporateTotal
Revenues
Golf operations$5,316 $56,434 $— $61,750 
Sales of food and beverages6,273 5,856 — 12,129 
Total revenues11,589 62,290 — 73,879 
Operating costs
Operating expenses5,546 50,087 2 55,635 
Cost of sales - food and beverages1,445 1,706 — 3,151 
General and administrative expense (A)
2,274 2,693 2,885 7,852 
General and administrative expense - acquisition and transaction expenses (B)
176 — — 176 
Depreciation and amortization2,952 2,782 50 5,784 
Pre-opening costs (C)
788 — 1 789 
(Gain) Loss on lease terminations and impairment— (561)— (561)
Total operating costs13,181 56,707 2,938 72,826 
Operating income (loss)(1,592)5,583 (2,938)1,053 
Other income (expenses)
Interest and investment income— 16 143 159 
Interest expense (D)
(77)(2,369)(325)(2,771)
Capitalized interest (D)
— 20 38 58 
Other income (loss), net— (62)44 (18)
Total other income (expenses)(77)(2,395)(100)(2,572)
Income tax expense— — 450 450 
Net income (loss)(1,669)3,188 (3,488)(1,969)
   Preferred dividends— — (1,395)(1,395)
Net income (loss) applicable to common stockholders$(1,669)$3,188 $(4,883)$(3,364)

(A)General and administrative expenses included severance expenses of $0.2 million and $0.4 million for the three and six months ended June 30, 2022 and $0.1 million and $0.1 million three and six months ended June 30, 2021, respectively.
(B)Acquisition and transaction expenses include costs related to completed and potential acquisitions and transactions and strategic initiatives which may include advisory, legal, accounting and other professional or consulting fees.
(C)Pre-opening costs are expensed as incurred and consist primarily of venue-related marketing expenses, lease expense, employee payroll, travel and related expenses, training costs, food, beverage and other operating expenses incurred prior to opening an entertainment golf venue.
(D)Interest expense included the accretion of membership deposit liabilities in the amount of $2.9 million and $4.9 million for the three and six months ended June 30, 2022 and $2.1 million and $4.1 million three and six months ended June 30, 2021, respectively. Interest expense and capitalized interest are combined in interest expense, net on the Consolidated Statements of Operations.