Seritage Growth Properties Segments Disclosure
Note 14 – Segment Reporting
The Company currently operates in a reportable segment which includes the ownership, development, redevelopment, management, sale and leasing of real estate properties. Substantially all of our revenues are derived from contractual rents and tenant expense reimbursements as outlined within lease agreements. The Company’s CODM, who is our , assesses and measures the operating and financial results on an aggregated basis and does not allocate resources or make decisions distinguishing between individual properties, geographies, sizes, or types. All revenue has been generated and all tangible assets are held in the United States.
The Company’s CODM regularly reviews the operating results of the Company to determine how to best allocate resources. The Company’s measure of segment profitability is consolidated net loss. The CODM uses consolidated net loss when deciding whether to market a property for sale, make an investment in a property to improve its marketability, or reduce general and administrative expenses. Consolidated net loss is also used to monitor budgeted versus actual results. The measure of segment assets is reported on the consolidated balance sheets as Total assets.
The table below reconciles total segment revenues to consolidated net loss and includes the significant segment expenses regularly provided to and reviewed by the CODM as part of their decision making process (in thousands):
|
|
Year Ended December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
Total revenue |
|
$ |
18,204 |
|
|
$ |
17,622 |
|
Real estate taxes |
|
|
(2,455 |
) |
|
|
(3,935 |
) |
Abandoned project costs |
|
|
— |
|
|
|
(5,732 |
) |
Common area maintenance |
|
|
(7,759 |
) |
|
|
(9,302 |
) |
Property insurance |
|
|
(4,493 |
) |
|
|
(5,354 |
) |
Personnel expenses (1) |
|
|
(21,837 |
) |
|
|
(17,163 |
) |
Interest expense |
|
|
(20,273 |
) |
|
|
(24,972 |
) |
Other segment items (2) |
|
|
(29,602 |
) |
|
|
(103,116 |
) |
Net loss |
|
$ |
(68,215 |
) |
|
$ |
(151,952 |
) |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Mar 31, 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.