ADDED
Statements regarding intrinsic value, potential market values, or capital recycling reflect management s current beliefs and estimates, are not appraisals or guarantees of value, and are subject to risks and uncertainties.
Such social responsibility was originally defined as providing decent, affordable housing for individuals without regard to race.
The Company changed its form from a REIT to a corporation so that it could pursue a variety of investments beyond real estate and broaden its social impact by pursuing opportunities with the potential to increase shareholder value, consistent with the Company s underlying commitment to social responsibility.
As of June 30, 2025, InterGroup owns approximately 75.9% of the outstanding common shares of Portsmouth.
As of June 30, 2025, the Company s President, Chairman of the Board, and Chief Executive Officer, John V.
Winfield, owns approximately 2.5% of the outstanding common shares of Portsmouth.
Portsmouth s primary business has historically been conducted through its general and limited partnership interest in Justice Investors Limited Partnership, a California limited partnership ( Justice or the Partnership ).
The franchise agreement requires the hotel to meet certain brand standards and capital improvement requirements, noncompliance with which could have an adverse impact on operations, as discussed in Item 1A Risk Factors.
In connection with the refinancing of the Hotel on March 28, 2025, the Company formed Justice Pledgor, LLC, a Delaware limited liability company ( Pledgor ), which became the sole member of Operating.
The refinancing transaction resulted in an increase in Portsmouth s leverage of approximately $1 million and subjects us to additional covenants and payment obligations, which are described in Item 7 Management s Discussion and Analysis of Financial Condition and Results of Operations.
REMOVED
There may be other risks and uncertainties that we are unable to predict at this time or that we currently do not expect to have a material adverse effect on our business.
Any such risks could cause our results to differ materially from those expressed in forward-looking statements.
Such social responsibility was originally defined as providing decent and affordable housing to people without regard to race.
The Company changed its form from a REIT to a corporation so that it could pursue a variety of investments beyond real estate and broaden its social impact to engage in any opportunity which would offer the potential to increase shareholder value within the Company s underlying commitment to social responsibility.
As of June 30, 2024, InterGroup owns approximately 75.7% of the outstanding common shares of Portsmouth.
As of June 30, 2024, the Company s President, Chairman of the Board and Chief Executive Officer, John Winfield, owns approximately 2.5% of the outstanding common shares of Portsmouth.
Portsmouth s primary business was conducted through its general and limited partnership interest in Justice Investors Limited Partnership, a California limited partnership ( Justice or the Partnership ).
4 Effective December 23, 2021, the partnership was dissolved.
For the fiscal years ended June 30, 2024 and 2023, hotel management fees were $706,000 and $711,000, and incentive fees of $0 and $505,000, respectively, offset by key money amortization of $250,000 for both years and are included in Hotel operating expenses in the consolidated statements of operations.
However, the Company is currently in discussions with Aimbridge regarding a dispute in connection with the validity of the incentive fees as they relate directly to the Covid pandemic.