Segments (Tables)

3 Months Ended

Mar. 31, 2016

Segments

Net Operating Income of Reportable Segments

Net operating income of the Company’s reportable segments for the three months ended March 31, 2016 and 2015 was as follows (in thousands):

	Three Months Ended March 31,
	2016		2015
	(Unaudited)
Office real estate
Rental revenues	$	5,521	$	7,703
Rental expenses		1,456		1,754
Real estate taxes		539		691
Segment net operating income		3,526		5,258
Retail real estate
Rental revenues		13,032		6,625
Rental expenses		2,336		1,399
Real estate taxes		1,284		566
Segment net operating income		9,412		4,660
Multifamily residential real estate
Rental revenues		4,730		3,862
Rental expenses		1,537		1,607
Real estate taxes		526		400
Segment net operating income		2,667		1,855
General contracting and real estate services
Segment revenues		36,803		29,071
Segment expenses		35,037		28,142
Segment gross profit		1,766		929
Net operating income	$	17,371	$	12,702

Reconciliation of Net Operating Income to Net Income

The following table reconciles net operating income to net income for the three months ended March 31, 2016 and 2015 (in thousands):

	Three Months Ended March 31,
	2016		2015
	(Unaudited)
Net operating income	$	17,371	$	12,702
Depreciation and amortization		(8,149)		(4,908)
General and administrative expenses		(2,484)		(2,328)
Acquisition, development and other pursuit costs		(704)		(171)
Impairment charges		(35)		—
Interest income		182		—
Interest expense		(3,791)		(3,046)
Loss on extinguishment of debt		—		(227)
Gain on real estate dispositions and acquisitions		26,674		6,197
Change in fair value of interest rate derivatives		(2,389)		(147)
Other (expense) income		76		15
Income tax benefit (provision)		(218)		31
Net income	$	26,533	$	8,118