Company: CMCT
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000908311-25-000038
Chunk: 183

Company: Creative Media & Community Trust Corp
Filing Date: 2025-05-09
Form: 10-Q
Item: Item 8
Chunk 183
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 on Form 10-K for the year ended December 31, 2024.For the Company’s real estate segments, the Company defines net operating income (loss) as rental and other property income and expense reimbursements less property related expenses, and excludes non-property income and expenses, interest expense, depreciation and amortization, corporate related general and administrative expenses, gain (loss) on sale of real estate, gain (loss) on early extinguishment of debt, impairment of real estate, transaction costs, and provision (benefit) for income taxes. For the Company’s lending segment, the Company defines net operating income as interest income net of interest expense and general overhead expenses.The Company’s chief operating decision maker (“CODM”) is the Company’s executive management team, comprised of the Chief Executive Officer, Chief Investment Officer, Chief Financial Officer, and the 1st Vice President for portfolio oversight of CIM. The CODM evaluates performance and allocates resources based on segment net operating income (loss). All expense categories on the statement of operations are significant and there are no other significant segment expenses that would require disclosure. The CODM uses net operating income (loss) to make key operating decisions, such as identifying attractive investment opportunities, evaluating underwriting standards, determining the appropriate level of leverage to enhance returns on equity and deciding on the sources of financing. 

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Table of ContentsCREATIVE MEDIA & COMMUNITY TRUST CORPORATION AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTSMarch 31, 2025 (Unaudited) – (Continued)

The net operating income (loss) of the Company’s segments for the three months ended March 31, 2025 and 2024 is as follows (in thousands): Three Months Ended March 31, 20252024Office (1):Revenues$13,054 $14,611 Property expenses:  Operating5,636 6,859 General and administrative288 4 Total property expenses5,924 6,863 (Loss) income from unconsolidated entities(29)117 Segment net operating income—office7,101 7,865 Hotel:  Revenues12,681 11,854 Property expenses:  Operating7,986 7,785 General and administrative11 7 Total property expenses7,997 7,792 Segment net operating income—hotel4,684 4,062 Multifamily (1):Revenues4