Note 17 – Segment Information

The Company owns and operates residential real estate assets that generate rental and other property-related income through the leasing of residential units to a diverse base of tenants. The Company evaluates operating performance on an individual property investment level and based on the investments’ similar economic characteristics. The Company’s Chief Operating Decision Makers (“CODMs”) are its Chief Executive Officer, Chief Investment Officer and Chief Financial Officer. The CODMs’ primary financial measure for operating performance is NOI as it measures the core operations of property performance by excluding corporate level expenses and those other items not related to property operating performance. CODMs are provided financial reports which include an income statement with property revenues, property operating expenses, and property net income. These financial reports assist the CODMs in assessing the Company’s financial performance and in allocating resources appropriately. The Company views its residential real estate assets as two reportable segments, consisting of (i) residential communities and (ii) scattered single-family homes. The CODMs do not distinguish or group operations on a geographic, tenant or other basis when assessing the financial performance of the Company’s portfolio of properties/investments.

Residential communities segment includes the acquisition, ownership, management, renovation, construction, and development of residential communities, which include both detached single-family home communities and attached unit communities such as apartments, townhouses, and duplexes. Each residential community is, generally, located on a single, contiguous land parcel and has amenities including clubhouses, gyms, pools and common areas. In addition, these residential communities typically have onsite property management.

Scattered single-family homes segment includes the ownership, management, and renovation of scattered single-family homes, which are, generally, detached homes with no onsite property management.

The following table summarizes NOI by the Company’s reportable segments for the years ended December 31, 2025 and 2024, and reconciles NOI to net loss attributable to common stockholders on the Company’s statements of operations and comprehensive income (loss) (amounts in thousands):

  ​ ​ ​

2025

  ​ ​ ​

2024

Rental and other property revenues

Residential communities

$

37,554

$

16,449

Scattered single-family homes

30,582

32,135

Total rental and other property revenues

 

68,136

 

48,584

Property operating expenses

 

  ​

 

  ​

Residential communities

 

16,651

 

6,950

Scattered single-family homes

 

16,534

 

17,194

Total property operating expenses

 

33,185

 

24,144

Net operating income

 

  ​

 

  ​

Residential communities

 

20,903

 

9,499

Scattered single-family homes

 

14,048

 

14,941

Total net operating income

 

34,951

 

24,440

Reconciling items:

 

  ​

 

  ​

Interest income from loan investments

 

598

 

1,630

Property management and asset management fee expenses

 

(5,372)

 

(4,715)

General and administrative expenses

 

(11,249)

 

(10,592)

Management fees to related party

 

(10,471)

 

(9,111)

Acquisition and other transaction costs

 

(418)

 

(255)

Weather-related losses, net

 

(59)

 

(170)

Depreciation and amortization

 

(29,418)

 

(19,940)

Other (expense) income, net

 

(139)

 

330

Income from preferred equity investments

 

8,759

 

11,937

Share of net earnings of equity method investment

1,058

Recovery of credit losses, net

 

103

 

93

(Impairment) and gain on sale of real estate investments, net

(4,216)

7,081

Gain on sale of available-for-sale investments

 

3,664

 

Loss on extinguishment of debt

 

(27)

 

(151)

Interest expense, net

 

(23,988)

 

(18,092)

Interest income

 

5,258

 

5,424

Income tax expense

(1,632)

Net loss

 

(32,598)

 

(12,091)

Preferred stock dividends

 

(9,203)

 

(4,022)

Preferred stock accretion

 

(4,538)

 

(244)

Net loss attributable to noncontrolling interests

 

34,848

 

12,123

Net loss attributable to common stockholders

$

(11,491)

$

(4,234)

The following table reconciles the Company’s total rental and other property revenues for reportable segments to total revenues on the Company’s consolidated statement of operations and comprehensive income (loss) for the years ended December 31, 2025 and 2024 (amounts in thousands):

  ​ ​ ​

2025

  ​ ​ ​

2024

Revenues

Rental and other property revenues

Residential communities

$

37,554

$

16,449

Scattered single-family homes

30,582

32,135

Total rental and other property revenues

 

68,136

 

48,584

Interest income from loan investments

598

1,630

Total revenues

$

68,734

$

50,214

At December 31, 2025 and 2024, net real estate assets totaled $556.2 million and $338.6 million for residential communities, respectively, and $311.8 million and $344.5 million for scattered single-family homes, respectively.

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Mar 20, 2025

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.