Segments (Tables)

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Schedule of Net Operating Income of Reportable Segments

The following table presents NOI for the Company's five reportable segments for the three months ended March 31, 2024 and 2023 (in thousands):

	Three Months Ended March 31,
	2024		2023
Retail real estate
Rental revenues	$	25,651	$	22,959
Rental expenses	4,211		3,644
Real estate taxes	2,415		2,268
Segment net operating income	19,025		17,047
Office real estate
Rental revenues	21,878		19,657
Rental expenses	6,123		5,159
Real estate taxes	2,215		2,085
Segment net operating income	13,540		12,413
Multifamily real estate
Rental revenues	14,352		13,602
Rental expenses	4,271		4,157
Real estate taxes	1,295		1,059
Segment net operating income	8,786		8,386
General contracting and real estate services
General contracting and real estate services revenues	126,975		84,238
General contracting and real estate services expenses	122,898		81,170
Segment gross profit	4,077		3,068
Real estate financing
Interest income	4,000		3,536
Interest expense(a)	1,332		1,097
Segment gross profit	2,668		2,439
Net operating income	$	48,096	$	43,353

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(a) Interest expense within the real estate financing segment is allocated based on the average outstanding principal of notes receivable in the real estate financing portfolio and the effective interest rates on the credit facility, the M&T term loan facility, and the TD term loan facility, each as defined in Note 9.

Schedule of Reconciliation of Net Income

The following table reconciles NOI to net income, the most directly comparable GAAP measure, for the three months ended March 31, 2024 and 2023 (in thousands):

	Three Months Ended March 31,
	2024		2023
Net operating income	$	48,096	$	43,353
Interest income(a)	626		183
Depreciation and amortization	(20,435)		(18,468)
Amortization of right-of-use assets - finance leases	(395)		(277)
General and administrative expenses	(5,874)		(5,448)
Impairment charges	—		(102)
Interest expense(b)	(16,643)		(11,205)
Change in fair value of derivatives and other	12,888		(2,447)
Unrealized credit loss provision	(83)		(77)
Other income (expense), net	79		93
Income tax provision	(534)		(188)
Net income	$	17,725	$	5,417

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(a) Excludes real estate financing segment interest income of $4.0 million and $3.5 million for the three months ended March 31, 2024 and 2023, respectively.

(b) Excludes real estate financing segment interest expense of $1.3 million and $1.1 million for the three months ended March 31, 2024 and 2023, respectively.