VARIABLE INTEREST ENTITIES

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entity Disclosure [Text Block]

3. VARIABLE INTEREST ENTITIES

The Company had variable interests in, and was the primary beneficiary of, variable interest entities (“VIEs”) through its investments in (i) the Sunset & Gardner Joint Venture and (ii) the 3032 Wilshire Joint Venture. The Company has consolidated the accounts of these variable interest entities.

Sale of Joint Venture Properties

On December 21, 2022, the Company consummated the disposition of the Sunset & Gardner Joint Venture Property to an unaffiliated third party for $12.9 million in cash, before customary closing and transaction costs.

The Company’s condensed consolidated statements of operations and comprehensive income include a net operating loss of approximately $23 thousand for the three months ended March 31, 2023 and a net operating gain of approximately $208 thousand for the three months ended March 31, 2022, related to the Sunset & Gardner Joint Venture Property.

On October 11, 2022, the Company consummated the disposition of the Wilshire Joint Venture Property to an unaffiliated third party for $16.5 million in cash, before customary closing and transaction costs.

The Company’s condensed consolidated statements of operations include net operating losses of approximately $70 thousand and $379 thousand for the three months ended March 31, 2023 and 2022, respectively, related to the Wilshire Joint Venture Property.

Joint Ventures

The following table reflects the aggregate assets and liabilities of the Sunset & Gardner Joint Venture and the Wilshire Joint Venture, which were consolidated by the Company, as of March 31, 2023 and December 31, 2022 (amounts in thousands):

	March 31,		December 31,
	2023		2022
ASSETS
Cash, cash equivalents and restricted cash	$	148	$	531
Prepaid expenses and other assets, net	23		19
Other receivables, net	26		26
TOTAL ASSETS (1)	$	197	$	576
LIABILITIES
Accounts payable and accrued expenses	$	26	$	31
TOTAL LIABILITIES	$	26	$	31

(1)The assets of the Sunset & Gardner Joint Venture and Wilshire Joint Venture can be used only to settle obligations of the respective consolidated joint ventures.