Annual report pursuant to Section 13 and 15(d)

DISCONTINUED OPERATIONS

v3.6.0.2
DISCONTINUED OPERATIONS
 12 Months Ended
Dec. 31, 2016
Discontinued Operations and Disposal Groups [Abstract]  
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS

On February 13, 2014, Drive Shack Inc. completed the spin-off of New Media Investment Group Inc. (“New Media”) from Drive Shack Inc.
On November 6, 2014, Drive Shack Inc. completed the spin-off of New Senior Investment Group Inc. (“New Senior”) from Drive Shack Inc.
In April 2015, Drive Shack Inc. closed the sale of its commercial real estate properties in Beavercreek, OH for $7.0 million, net of closing costs, and recognized a net gain on the sale of these assets of approximately $0.3 million. In addition, Drive Shack Inc. repaid the related debt on this property of $6.0 million held within CDO IX, which was eliminated in consolidation.

As a result of the spin-offs and the sale of the commercial real estate properties in Beavercreek, OH (which was initially reported as held-for-sale as of September 30, 2014), the assets, liabilities and results of operations of those components of Drive Shack Inc.’s operations that (i) were part of the spin-offs and/or (ii) represent operations Drive Shack Inc. plans to sell in which it has no significant continuing involvement, are presented separately in discontinued operations in the Company’s Consolidated Financial Statements for all periods presented.

There were no assets and liabilities of discontinued operations as of December 31, 2016 and 2015.

Results of operations from discontinued operations were as follows:
 
Year Ended December 31,
 
2016
 
2015
 
2014
Revenues
 
 
 
 
 
Media income
$
—

 
$
—

 
$
68,212

Rental income
—

 
556

 
194,729

Care and ancillary income
—

 
—

 
20,428

Total revenues
—

 
556

 
283,369

 
 
 
 
 
 
Operating Costs
 
 
 
 
 
Property operating expenses
—

 
187

 
152,896

General and administrative expense (A)
—

 
30

 
20,096

Depreciation and amortization
—

 
11

 
90,627

Management fee to affiliate
—

 
—

 
7,789

Gain on settlement of investments
—

 
(318
)
 
—

Total operating costs
—

 
(90
)
 
271,408

 
 
 
 
 
 
Other Income (Expenses)
 
 
 
 
 
Interest expense
—

 
—

 
(49,705
)
Other income
—

 
—

 
1,444

Total other income (expenses)
—

 
—

 
(48,261
)
Income tax (benefit)
—

 
—

 
(1,111
)
Income (loss) from discontinued operations, net of tax
$
—

 
$
646

 
$
(35,189
)

(A)
Includes acquisition and spin-off related expenses of $15.8 million for the year ended December 31, 2014. There were no acquisition and spin-off related expenses for the years ended December 31, 2016 and 2015.