Quarterly Report (10-q)

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

FORM 10-Q

_________________

(Mark One)

[X ]

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2018

[ ]

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from_________ to _________

Commission File Number: 001-36769

_____________________

FRP HOLDINGS, INC.

(Exact name of registrant as specified in its charter)

_____________________

Florida		47-2449198
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

200 W. Forsyth St., 7th Floor, Jacksonville, FL		32202
(Address of principal executive offices)		(Zip Code)

904-396-5733

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [x] No [_]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [x] No [_]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer [_]		Accelerated filer [x]

Non-accelerated filer [_]		Smaller reporting company [x]

Emerging growth company [_]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [_]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [_] No [x]

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

	Class				Outstanding at September 30, 2018
	Common Stock, $.10 par value per share				10,076,524 shares

FRP HOLDINGS, INC.

FORM 10-Q

QUARTER ENDED SEPTEMBER 30, 2018

CONTENTS

Page No.

Preliminary Note Regarding Forward-Looking Statements		3

	Part I. Financial Information

Item 1.	Financial Statements
	Consolidated Balance Sheets	4
	Consolidated Statements of Income	5
	Consolidated Statements of Comprehensive Income	6
	Consolidated Statements of Cash Flows	7
	Condensed Notes to Consolidated Financial Statements	8

Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	19

Item 3.	Quantitative and Qualitative Disclosures about Market Risks	33

Item 4.	Controls and Procedures	33

	Part II. Other Information

Item 1.	Legal Proceedings	33
Item 1A.	Risk Factors	34

Item 2.	Purchase of Equity Securities by the Issuer	34

Item 6.	Exhibits	34

Signatures		35

Exhibit 31	Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002	37

Exhibit 32	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002	40

Preliminary Note Regarding Forward-Looking Statements.

This Quarterly Report on Form 10-Q, together with other statements and information publicly disseminated by us, contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words or phrases “anticipate,” “estimate,” ”believe,” “budget,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,” “would,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target” and similar expressions identify forward-looking statements. Such statements reflect management’s current views with respect to financial results related to future events and are based on assumptions and expectations that may not be realized and are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual results, financial or otherwise, may differ, perhaps materially, from the results discussed in the forward-looking statements. Risk factors discussed in Item 1A of this Form 10-Q and other factors that might cause differences, some of which could be material, include, but are not limited to: the possibility that we may be unable to find appropriate reinvestment opportunities for the proceeds from the Sale Transaction; levels of construction activity in the markets served by our mining properties; demand for apartments in Washington D.C.: our ability to obtain zoning and entitlements necessary for property development; the impact of lending and capital market conditions on our liquidity, our ability to finance projects or repay our debt; general real estate investment and development risks; vacancies in our properties; risks associated with developing and managing properties in partnership with others; competition; our ability to renew leases or re-lease spaces as leases expire; illiquidity of real estate investments; bankruptcy or defaults of tenants; the impact of restrictions imposed by our credit facility; the level and volatility of interest rates; environmental liabilities; inflation risks; cyber security risks; as well as other risks listed from time to time in our SEC filings, including but not limited to, our annual and quarterly reports. We have no obligation to revise or update any forward-looking statements, other than as imposed by law, as a result of future events or new information. Readers are cautioned not to place undue reliance on such forward-looking statements.

These forward-looking statements are made as of the date hereof based on management’s current expectations, and the Company does not undertake an obligation to update such statements, whether as a result of new information, future events or otherwise. Additional information regarding these and other risk factors may be found in the Company’s other filings made from time to time with the Securities and Exchange Commission.

PART I. FINANCIAL INFORMATION, ITEM 1. FINANCIAL STATEMENTS

FRP HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Unaudited) (In thousands, except share data)

	September 30			December 31
Assets:	2018			2017
Real estate investments at cost:
Land	$	83,721			87,235
Buildings and improvements		146,632			147,670
Projects under construction		6,131			1,764
Total investments in properties		236,484			236,669
Less accumulated depreciation and depletion		29,772			26,755
Net investments in properties		206,712			209,914

Real estate held for investment, at cost		7,176			7,176
Investments in joint ventures		25,090			13,406
Net real estate investments		238,978			230,496

Cash and cash equivalents		34,782			4,524
Cash held in escrow		34,270			333

Accounts receivable, net		738			615
Investments available for sale		191,288			—
Federal and state income taxes receivable		2,022			2,962
Unrealized rents		594			223
Deferred costs		942			2,708
Other assets		451			179
Assets of discontinued operations		3,194			176,694
Total assets	$	507,259			418,734

Liabilities:
Secured notes payable, current portion	$	—			125
Secured notes payable, less current portion		88,755			90,029
Accounts payable and accrued liabilities		2,829			2,081
Environmental remediation liability		100			2,037
Deferred revenue		32			107
Deferred income taxes		23,795			25,982
Deferred compensation		1,452			1,457
Tenant security deposits		53			54
Liabilities of discontinued operations		1,872			32,280
Total liabilities		118,888			154,152

Commitments and contingencies (Note 8)

Equity:
Common stock, $.10 par value 25,000,000 shares authorized, 10,076,524 and 10,014,667 shares issued and outstanding, respectively		1,008			1,001
Capital in excess of par value		58,030			55,636
Retained earnings		310,620			186,855
Accumulated other comprehensive income (loss), net		(375	)		38
Total shareholders’ equity		369,283			243,530
Noncontrolling interest MRP		19,088			21,052
Total equity		388,371			264,582
Total liabilities and shareholders’ equity	$	507,259			418,734

See accompanying notes.

FRP HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(In thousands except per share amounts)

(Unaudited)

	THREE MONTHS ENDED						NINE MONTHS ENDED
	SEPTEMBER 30,						SEPTEMBER 30,
	2018			2017			2018			2017
Revenues:
Rental revenue	$	3,440			3,102			9,937			4,609
Mining Royalty and rents		2,102			1,763			5,885			5,311
Revenue – reimbursements		200			170			548			469
Total Revenues		5,742			5,035			16,370			10,389

Cost of operations:
Depreciation, depletion and amortization		1,821			2,804			6,350			3,303
Operating expenses		983			875			2,951			1,312
Environmental remediation		(465	)		—			(465	)		—
Property taxes		663			647			1,949			1,384
Management company indirect		550			351			1,366			962
Corporate expenses (Note 4 Related Party)		522			617			2,910			2,510
Total cost of operations		4,074			5,294			15,061			9,471

Total operating profit (loss)		1,668			(259	)		1,309			918

Interest income		1,654			—			1,875			—
Interest expense		(768	)		(783	)		(2,418	)		(783	)
Equity in loss of joint ventures		(13	)		(12	)		(36	)		(1,589	)
Gain on remeasurement of investment in real
estate partnership		—			60,196			—			60,196
Loss on investment land sold		(3	)		—			(3	)		—

Income before income taxes		2,538			59,142			727			58,742
Provision for income taxes		508			15,543			269			15,371
Income from continuing operations		2,030			43,599			458			43,371

Income (loss) from discontinued operations, net		(78	)		1 ,585			122,109			4,969

Net income		1,952			45,184			122,567			48,340
Gain (loss) attributable to noncontrolling interest		(272	)		19,793			(1,199	)		19,793
Net income attributable to the Company	$	2,224			25,391			123,766			28,547

Earnings per common share:
Income from continuing operations-
Basic	$	0.20			4.36			0.05			4.35
Diluted	$	0.20			4.33			0.05			4.32
Discontinued operations-
Basic	$	(0.01	)		0.16			12.17			0.50
Diluted	$	(0.01	)		0.16			12.08			0.50
Net income attributable to the Company-
Basic	$	0.22			2.54			12.33			2.86
Diluted	$	0.22			2.52			12.24			2.84

Number of shares (in thousands) used in computing:
-basic earnings per common share		10,062			10,004			10,037			9,967
-diluted earnings per common share		10,135			10,066			10,110			10,035

See accompanying notes.

FRP HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In thousands except per share amounts)

(Unaudited)

	THREE MONTHS ENDED					NINE MONTHS ENDED
	SEPTEMBER 30,					SEPTEMBER 30,
	2018			2017		2018			2017
Net income	$	1,952			45,184		122,567			48,340
Other comp. loss net of tax:
Unrealized loss on investments available for sale		(413	)		—		(413	)		—
Comprehensive income	$	1,539			45,184		122,154			48,340
Less: comprehensive income (loss) attributable to
noncontrolling interests		(272	)		19,793		(1,199	)		19,793
Comprehensive income attributable to the
Company	$	1,811			25,391		123,353			28,547

FRP HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

NINE MONTHS ENDED SEPTEMBER 30, 2018 AND 2017

(In thousands) (Unaudited)

		2018		2017
Cash flows from operating activities:
Net income	$	122,567		48,340
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, depletion and amortization		6,597		3,403
Deferred income taxes		(2,187	)	19,620
Equity in loss of joint ventures		36		1,589
Gain on remeasurement of investment in real estate partnership		—		(60,196	)
Gain on sale of equipment		(19	)	(15	)
Income from discontinued operations, net of tax		(122,109	)	(4,969	)
Stock-based compensation		1,169		588
Realized loss on available for sale investments		290		—
Net changes in operating assets and liabilities:
Accounts receivable		(123	)	(102	)
Deferred costs and other assets		(909	)	473
Accounts payable and accrued liabilities		673		(346	)
Income taxes payable and receivable		940		(2,739	)
Other long-term liabilities		(1,943	)	25
Net cash provided by operating activities of continuing operations		4,982		5,671
Net cash (used in) provided by operating activities of discontinued operations		(46,642	)	9,650
Net cash (used in) provided by operating activities		(41,660	)	15,321

Cash flows from investing activities:
Investments in properties		(5,729	)	(2,492	)
Investments in joint ventures		(7,160	)	(621	)
Purchases of investments available for sale		(313,306	)	—
Proceeds from sales of investments available for sale		121,161		—
Cash at consolidation of real estate partnership		—		2,295
Cash held in escrow		(33,937	)	(15	)
Proceeds from the sale of assets		77		16
Net cash used in investing activities of continuing operations		(238,894	)	(817	)
Net cash provided (used in) by investing activities of discontinued operations		340,744		(10,103	)
Net cash provided by (used in) investing activities		101,850		(10,920	)
Cash flows from financing activities:
Distribution to noncontrolling interest		(765	)	—
Decrease in bank overdrafts		—		(254	)
Proceeds from long-term debt		—		43
Repayment of long-term debt		(1,552	)	(166	)
Payment on revolving credit facility		—		(754	)
Debt issue costs		—		(21	)
Repurchase of company stock		—		(74	)
Exercise of employee stock options		1,231		2,127
Net cash (used in) provided by financing activities of continuing operations		(1,086	)	901
Net cash used in financing activities of discontinued operations		(28,846	)	(2,672	)
Net cash used in financing activities		(29,932	)	(1,771	)

Net increase in cash and cash equivalents		30,258		2,630
Cash and cash equivalents at beginning of period		4,524		—
Cash and cash equivalents at end of the period	$	34,782		2,630

See accompanying notes.

FRP HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2018

(Unaudited)

(1) Description of Business and Basis of Presentation.

FRP Holdings, Inc. is a holding company engaged in the real estate business, namely (i) mining royalty land ownership and leasing, (ii) land acquisition, entitlement and development primarily for future warehouse/office or residential building construction, (iii) ownership, leasing, and management of a residential apartment building, and (iv) warehouse/office building ownership, leasing and management.

The accompanying consolidated financial statements include the accounts of FRP Holdings, Inc. (the “Company” or “FRP”) inclusive of our operating real estate subsidiaries, FRP Development Corp. (“Development”) and Florida Rock Properties, Inc. (”Properties”). Our investment in the Brooksville joint venture, BC FRP Realty joint venture, and RiverFront Holdings II joint venture are accounted for under the equity method of accounting (See Note 11).

Effective July 1, 2017 the Company consolidated the assets (at fair value), liabilities and operating results of our Riverfront Investment Partners I, LLC partnership (“Dock 79”) which was previously accounted for under the equity method. The ownership of Dock 79 attributable to our partner MRP Realty is reflected on our consolidated balance sheet as a noncontrolling interest. Such noncontrolling interests are reported on the Consolidated Balance Sheets within equity but separately from shareholders' equity. On the Consolidated Statements of Income, all of the revenues and expenses from Dock 79 are reported in net income, including both the amounts attributable to the Company and the noncontrolling interest. The amounts of consolidated net income attributable to the noncontrolling interest are clearly identified on the accompanying Consolidated Statements of Income.

On May 21, 2018, the Company completed the disposition of 40 industrial warehouse properties and 3 additional land parcels to an affiliate of Blackstone Real Estate Partners VIII, L.P. for $347.2 million. One warehouse property valued at $11.7 million was excluded from the sale due to the tenant exercising its right of first refusal to purchase the property. This results in disposition of all of the Company’s industrial flex/office warehouse properties and as a result, these properties have been reclassified as discontinued operations for all periods presented. The Asset Management segment will contain the remaining three office buildings on a go forward basis.

These statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and the instructions to Form 10-Q and do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (primarily consisting of normal recurring accruals) considered necessary for a fair statement of the results for the interim periods have been included. Operating results for the nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. The accompanying consolidated financial statements and the information included under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations" should be read in conjunction with the Company's consolidated financial statements and related notes included in the Company’s Form 10-K for the year ended December 31, 2017.

(2) Recently Issued Accounting Standards. In February 2016, the FASB issued ASU No. 2016-02, “Leases”, which requires lessees to recognize a right-to-use asset and a lease obligation for all leases. Lessees are permitted to make an accounting policy election to not recognize an asset and liability for leases with a term of twelve months or less. Additional qualitative and quantitative disclosures, including significant judgments made by management, will be required. Lessors will account for leases using an approach that is substantially equivalent to existing accounting standards. The new standard will become effective for the Company beginning with the first quarter 2019 and requires a modified retrospective transition approach and includes a number of practical expedients. Early adoption of the standard is permitted. As the Company is primarily a lessor the adoption of this guidance is not expected to have a material impact on its financial statements.

In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers” which replaces existing revenue recognition standards and significantly expand the disclosure requirements for revenue arrangements. It may be adopted either retrospectively or on a modified retrospective basis to new contracts and existing contracts with remaining performance obligations as of the effective date. Lease contracts with customers constitute a vast majority of our revenues and are a specific scope exception. The new standard was adopted beginning with the first quarter of 2018 in connection with our revenues not subject to leases and did not have a material impact on our financial statements.

(3) Business Segments. The Company is reporting its financial performance based on four reportable segments, Asset Management, Mining Royalty Lands, Land Development and Construction and RiverFront on the Anacostia, as described below.

The Asset Management segment owns, leases and manages warehouse/office buildings located predominately in the Baltimore/Northern Virginia/Washington, DC market area. The flex/office warehouses in the Asset Management Segment were sold (with one remaining warehouse held for sale) and reclassified to discontinued operations leaving only three office buildings.

Through our Land Development and Construction segment, we own and are continuously monitoring for their “highest and best use” several parcels of land that are in various stages of development. Our overall strategy in this segment is to convert all of our non-income producing lands into income production through (i) an orderly process of constructing new buildings for us to own and operate or (ii) a sale to, or joint venture with, third parties.

In July 2017, Phase I (Dock 79) of the development known as RiverFront on the Anacostia in Washington, D.C., a 300,000 square foot residential apartment building developed by a joint venture between the Company and MidAtlantic Realty Partners (“MRP”), reached stabilization, meaning 90% of the individual apartments have been leased and are occupied by third party tenants. Upon reaching stabilization, the Company had, for a period of one year, the exclusive right to (i) cause the joint venture to sell the property or (ii) cause the Company’s and MRP’s percentage interests in the joint venture to be adjusted so as to take into account the value of the development at the time of stabilization. The attainment of stabilization also resulted in a change of control for accounting purposes as the veto rights of the minority shareholder lapsed and the Company became the primary beneficiary. As such, beginning July 1, 2017, the Company consolidated the assets (at current fair value), liabilities and operating results of the joint venture as a new segment called RiverFront on the Anacostia.

Operating results and certain other financial data for the Company’s business segments are as follows (in thousands):

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Revenues:
Asset management	$	568		559		1,717		1,710
Mining royalty lands		2,125		1,786		5,952		5,381
Land development and construction		330		323		944		931
RiverFront on the Anacostia		2,719		2,367		7,757		2,367
		5,742		5,035		16,370		10,389

Operating profit (loss):
Before corporate expenses:
Asset management	$	276		249		783		771
Mining royalty lands		1,961		1,667		5,497		4,993
Land development and construction		(139	)	(390	)	(1,146	)	(1,168	)
RiverFront on the Anacostia		92		(1,168	)	(915	)	(1,168	)
Operating profit before corporate expenses		2,190		358		4,219		3,428
Corporate expenses:
Allocated to asset management		(34	)	(27	)	(146	)	(118	)
Allocated to mining royalty lands		(28	)	(30	)	(157	)	(124	)
Allocated to land development and construction		(408	)	(210	)	(1,110	)	(935	)
Allocated to RiverFront on the Anacostia		(52	)	(27	)	(289	)	(27	)
Unallocated		—		(323	)	(1,208	)	(1,306	)
Total corporate expenses		(522	)	(617	)	(2,910	)	(2,510	)
	$	1,668		(259	)	1,309		918

Interest expense	$	768		783		2,418		783

Depreciation, depletion and amortization:
Asset management	$	145		125		405		385
Mining royalty lands		55		17		145		91
Land development and construction		57		98		171		263
RiverFront on the Anacostia		1,564		2,564		5,629		2,564
	$	1,821		2,804		6,350		3,303
Capital expenditures:
Asset management	$	17		131		184		162
Mining royalty lands		—		—		—		—
Land development and construction		4,268		292		5,578		1,999
RiverFront on the Anacostia		25		331		(33	)	331
	$	4,310		754		5,729		2,492

		September 30,	December 31,
Identifiable net assets		2018	2017

Asset management	$	10,687	2,960
Discontinued operations		3,194	176,694
Mining royalty lands		38,307	38,656
Land development and construction		51,801	46,684
Riverfront on the Anacostia		138,853	144,386
Investments available for sale		191,288	—
Cash items		69,052	4,524
Unallocated corporate assets		4,077	4,830
	$	507,259	418,734

(4) Related Party Transactions. The Company is a party to a Transition Services Agreement which resulted from our January 30, 2015 spin-off of Patriot Transportation Holding, Inc. (Patriot). The Transition Services Agreement sets forth the terms on which Patriot will provide to FRP certain services that were shared prior to the Spin-off, including the services of certain shared executive officers. The boards of the respective companies amended and extended this agreement for one year effective October 1, 2018.

months ended September 30, 2018 and 2017, respectively. Included in the charges above are amounts recognized for corporate executive stock-based compensation expense. These charges are reflected as part of corporate expenses.

To determine these allocations between FRP and Patriot as set forth in the Transition Services Agreement, we generally employed the same methodology historically used by the Company pre Spin-off to allocate said expenses and thus we believe that the allocations to FRP are a reasonable approximation of the costs related to FRP’s operations but any such related-party transactions cannot be presumed to be carried out on an arm’s-length basis as the terms were negotiated while Patriot was still a subsidiary of FRP.

(5) Long-Term Debt. Long-term debt is summarized as follows (in thousands):

	September 30,		December 31,
	2018		2017
5.6% to 8% mortgage notes
due in installments through 2027	$	—		29,664
Riverfront permanent loan		88,755		88,653
	$	88,755		118,317
Less portion due within one year		—		4,463
	$	88,755		113,854

On May 21, 2018 in conjunction with the sale of the warehouse business the Companies mortgages notes were prepaid and the credit line with First Tennessee Bank, N.A. was terminated. Prepayment penalties of $3,420,000 were paid.

On January 30, 2015, the Company entered into a five-year credit agreement with Wells Fargo with a maximum facility amount of $20 million (the "Credit Agreement"). The Credit Agreement provides a revolving credit facility (the “Revolver”) with a $10 million sublimit available for standby letters of credit. As of September 30, 2018, there was no debt outstanding on the revolver, $1,930,000 outstanding under letters of credit and $18,070,000 available for borrowing. The letters of credit were issued to guarantee certain obligations to state agencies related to real estate development. Most of the letters of credit are irrevocable for a period of one year and typically are automatically extended for additional one-year periods. The Revolver bears interest at a rate of 1.4% over the selected LIBOR, which may change quarterly based on the Company’s ratio of Consolidated Total Debt to Consolidated Total Capital, as defined which excludes FRP RiverFront. A commitment fee of 0.15% per annum is payable quarterly on the unused portion of the commitment. The commitment fee may also change quarterly based upon the ratio described above. The credit agreement contains certain conditions and financial covenants, including a minimum $110 million tangible net worth. As of September 30, 2018, the tangible net worth covenant would have limited our ability to pay dividends or repurchase stock with borrowed funds to a maximum of $168 million combined. The Company was in compliance with all covenants as of September 30, 2018.

Effective July 1, 2017 the Company consolidated the assets (at current fair value), liabilities and operating results of our Riverfront Investment Partners I, LLC partnership (“Dock 79”) which was previously accounted for under the equity method. As such the full amount of our construction loan and secondary financing were recorded in the consolidated financial statements and described below.

Effective August 7, 2014, Dock 79 obtained a commitment for a construction loan from a financial institution in the principal amount of $65,000,000 to fund certain development and construction costs of Dock 79. The interest rate on the loan through the initial maturity date was based on the 2.35% over one-month LIBOR. This loan was paid in full on November 17, 2017. Also effective August 7, 2014, Dock 79 partnership member EB5 Capital-Jobs Fund 8, L.P. (“EB5”) made an initial capital contribution of $17 million in cash into an escrow account with a financial institution all of which were used for construction. Associated with the $17 million cash contribution, EB5 was entitled to earn an investment return. The investment return required Dock 79 to pay interest monthly based on an annual rate of 4.95% for the first 5 years. Due to the mandatory redemption requirements associated with the EB5 financing arrangement, the related investment was classified as a liability on the balance sheets. EB5 was paid in full on November 17, 2017. Subsequent to the repayment of the investment return, EB5 is no longer a partner in Dock 79.

On November 17, 2017, Dock 79’s construction loan and EB5 investment were refinanced by borrowing a principal sum of $90,000,000 pursuant to a Loan Agreement and Deed of Trust Note entered into with EagleBank ("Loan Documents"). The loan is secured by the Dock 79 real property and improvements, bears a fixed interest rate of 4.125% per annum and has a term of 120 months. During the first 48 months of the loan term, Dock 79 will make monthly payments of interest only, and thereafter, make monthly payments of principal and interest in equal installments based upon a 30-year amortization period. The loan is a non-recourse loan. However, all amounts due under the Loan Documents will become immediately due upon an event of default by Dock 79, such events including, without limitation, Dock 79's (i) failure to: pay, permit inspections or observe covenants under the Loan Documents, (ii) breach of representations made under the Loan Documents (iii) voluntary or involuntary bankruptcy, and (iv) dissolution, or the dissolution of the guarantor. MidAtlantic Realty Partners, LLC, an affiliate of MRP, has executed a carve-out guaranty in connection with the loan.

During the three months ended September 30, 2018 and September 30, 2017 the Company capitalized interest costs of $243,000 and $210,000, respectively. During the nine months ended September 30, 2018 and September 30, 2017 the Company capitalized interest costs of $742,000 and $812,000, respectively.

(6) Earnings per Share. The following details the computations of the basic and diluted earnings per common share (in thousands, except per share amounts):

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Weighted average common shares
outstanding during the period
- shares used for basic
earnings per common share		10,062		10,004		10,037		9,967

Common shares issuable under
share based payment plans
which are potentially dilutive		73		62		73		68

Common shares used for diluted
earnings per common share		10,135		10,066		10,110		10,035

Net income attributable to the Company	$	2,224		25,391		123,766		28,547

Basic earnings per common share:
Basic	$	0.22		2.54		12.33		2.86
Diluted	$	0.22		2.52		12.24		2.84

For the three and nine months ended September 30, 2018, no shares attributable to outstanding stock options were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive. For the three and nine months ended September 30, 2017, 13,610 and 22,422 shares attributable to outstanding stock options were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive.

(7) Stock-Based Compensation Plans. The Company has two Stock Option Plans (the 2006 Stock Incentive Plan and the 2016 Equity Incentive Option Plan) under which options for shares of common stock were granted to directors, officers and key employees. The 2016 plan permits the grant of stock options, stock appreciation rights, restricted stock awards, restricted stock units, or stock awards. The options awarded under the plans have similar characteristics. All stock options are non-qualified and expire ten years from the date of grant. Stock based compensation awarded to directors, officers and employees are exercisable immediately or become exercisable in cumulative installments of 20% or 25% at the end of each year following the date of grant. When stock options are exercised the Company issues new

shares after receipt of exercise proceeds and taxes due, if any, from the grantee. The number of common shares available for future issuance was 527,662 at September 30, 2018.

The Company utilizes the Black-Scholes valuation model for estimating fair value of stock compensation for options awarded to officers and employees. Each grant is evaluated based upon assumptions at the time of grant. The assumptions were no dividend yield, expected volatility between 32% and 43%, risk-free interest rate of .6% to 4.2% and expected life of 3.0 to 7.0 years.

The dividend yield of zero is based on the fact that the Company does not pay cash dividends and has no present intention to pay cash dividends. Expected volatility is estimated based on the Company’s historical experience over a period equivalent to the expected life in years. The risk-free interest rate is based on the U.S. Treasury constant maturity interest rate at the date of grant with a term consistent with the expected life of the options granted. The expected life calculation is based on the observed and expected time to exercise options by the employees.

As previously disclosed, Thompson S. Baker II resigned from his position as CEO and from the board of directors on March 13, 2017. In recognition of his outstanding service to the Company, the Board approved the vesting of all of Mr. Baker's outstanding FRP stock options, which expired 90 days following the termination of his employment. The vesting of Mr. Baker’s outstanding FRP options that were issued prior to the spin-off required Patriot to record modification stock compensation expense of $150,000. FRP reimbursed Patriot for this cost under the transition services agreement. The vesting of Mr. Baker’s outstanding FRP options that were issued subsequent to the spin-off required modified stock compensation expense of $41,000.

On May 21, 2018, under the 2016 Equity Incentive Plan change-in-control clause, all unvested stock options held by the Company’s named executive officers became vested and fully exercisable. Included in stock compensation expense was $402,000 for the vesting of option grants from 2016 and 2017 due to the asset disposition.

The Company recorded the following stock compensation expense in its consolidated statements of income (in thousands):

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Stock option grants	$	17		33		486		143
Annual director stock award		—		—		683		445
	$	17		33		1,169		588

A summary of changes in outstanding options is presented below (in thousands, except share and per share amounts):

				Weighted		Weighted		Weighted
	Number			Average		Average		Average
	Of			Exercise		Remaining		Grant Date
Options	Shares			Price		Term (yrs)		Fair Value(000's)
Outstanding at
January 1, 2018		174,510		$	28.70		6.0	$	1,901
Granted		—		$	—			$	—
Exercised		(49,857	)	$	24.69			$	(495	)
Outstanding at
September 30, 2018		124,653		$	30.31		6.1	$	1,406
Exercisable at
September 30, 2018		108,188		$	30.34		6.0	$	1,182
Vested during
nine months ended
September 30, 2018		28,129						$	454

The aggregate intrinsic value of exercisable in-the-money options was $3,436,000 and the aggregate intrinsic value of

outstanding in-the-money options was $3,963,000 based on the market closing price of $62.10 on September 28, 2018 less exercise prices.

The unrecognized compensation cost of options granted to FRP employees but not yet vested as of September 30, 2018 was $97,000, which is expected to be recognized over a weighted-average period of 2.2 years.

Gains of $1,866,000 were realized by option holders during the nine months ended September 30, 2018. Patriot realized the tax benefits of $646,000 of these gains because these options were exercised by Patriot employees for options granted prior to the spin-off.

(8) Contingent Liabilities. Certain of the Company’s subsidiaries are involved in litigation on a number of matters and are subject to certain claims which arise in the normal course of business. The Company has retained certain self-insurance risks with respect to losses for third party liability and property damage. The liability at any point in time depends upon the relative ages and amounts of the individual open claims. In the opinion of management, none of these matters are expected to have a material adverse effect on the Company’s consolidated financial condition, results of operations or cash flows.

The Company executed a letter of intent with MRP in May 2016 to develop Phase II of the Riverfront on the Anacostia project and recorded an estimated environmental remediation expense of $2.0 million for the Company’s estimated liability under the proposed agreement. The Company substantially completed the remediation and reduced the estimated liability in the quarter ending September 30, 2018 by $465,000. The Company has no obligation to remediate any known contamination on Phases III and IV of the development until such time as it makes a commitment to commence construction on each phase.

(9) Concentrations. The mining royalty lands segment has a total of four tenants currently leasing mining locations and one lessee that accounted for 17% of the Company’s consolidated revenues during the nine months ended September 30, 2018 and $284,000 of accounts receivable at September 30, 2018. The termination of these lessees’ underlying leases could have a material adverse effect on the Company. The Company places its cash and cash equivalents with First Tennessee Bank and BB&T. At times, such amounts may exceed FDIC limits.

(10) Fair Value Measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. Level 1 means the use of quoted prices in active markets for identical assets or liabilities. Level 2 means the use of values that are derived principally from or corroborated by observable market data. Level 3 means the use of inputs are those that are unobservable and significant to the overall fair value measurement.

During the quarter ending September 30, 2018 the Company invested in 78 corporate bonds with individual maturities ranging from 2020 through 2024. The unrealized loss on these bonds of $567,000 was recorded as part of comprehensive income and was based on the estimated market value by National Financial Services, LLC (“NFS”) obtained from sources that may include pricing vendors, broker/dealers who clear through NFS and/or other sources (Level 2). The amortized cost of the investments was $191,853,000 and the carrying amount and fair value of such bonds were $191,288,000 as of September 30, 2018.

At September 30, 2018 and 2017, the carrying amount reported in the consolidated balance sheets for cash and cash equivalents and revolving credit approximate their fair value based upon the short-term nature of these items.

The fair values of the Company’s other mortgage notes payable were estimated based on current rates available to the Company for debt of the same remaining maturities. At September 30, 2018, the carrying amount and fair value of such other long-term debt was $88,755,000 and $85,642,000, respectively. At December 31, 2017, the carrying amount and fair value of such other long-term debt was $118,317,000 and $122,271,000, respectively.

(11) Investments in Joint Ventures (Equity Method).

Brooksville. In 2006, the Company entered into a Joint Venture Agreement with Vulcan Materials Company to jointly own and develop approximately 4,300 acres of land near Brooksville, Florida. Under the terms of the joint venture, FRP contributed its fee interest in approximately 3,443 acres formerly leased to Vulcan under a long-term mining lease which had a net book value of $2,548,000. Vulcan is entitled to mine a portion of the property until 2032 and pay royalties to the Company. FRP also contributed $3,018,000 for one-half of the acquisition costs of a 288-acre contiguous parcel. Vulcan contributed 553 acres that it owned as well as its leasehold interest in the 3,443 acres that it leased from FRP and $3,018,000 for one-half of the acquisition costs of the 288-acre contiguous parcel. The joint venture is jointly controlled by Vulcan and FRP. Distributions will be made on a 50-50 basis except for royalties and depletion specifically allocated to the Company. Other income for the nine months ended September 30, 2018 includes a loss of $35,000 representing the Company’s portion of the loss of this joint venture.

BC FRP Realty (Windlass Run). During the quarter ending March 2016, we entered into an agreement with a Baltimore development company (St. John Properties, Inc.) to jointly develop the remaining lands of our Windlass Run Business Park. The 50/50 partnership initially calls for FRP to combine its 25 acres (valued at $7,500,000) with St. John Properties’ adjacent 10 acres fronting on a major state highway (valued at $3,239,536) which resulted in an initial cash distribution of $2,130,232 to FRP in May 2016. Thereafter, the venture will jointly develop the combined properties into a multi-building business park to consist of approximately 329,000 square feet of single story office space. On September 28, 2017 BC FRP Realty, LLC obtained $17,250,000 of construction financing commitments for 4 buildings through September 15, 2022 from BB&T at 2.5% over LIBOR. The balance outstanding on these loans at September 30, 2018 was $8,374,000.

RiverFront Holdings II, LLC. On May 4, 2018, the Company and MRP formed a Joint Venture to develop Phase II and closed on construction financing with Eagle Bank. The Company has contributed its land with an agreed value of $16.3 million (cost basis of $4.6 million) and $6.2 million of cash. MRP contributed capital of $5.6 million to the joint venture including development costs paid prior to the formation of the joint venture and a $725,000 development fee. The Company further agreed to fund $13.75 million preferred equity financing at 7.5% interest rate of which $690,000 was advanced through September 30, 2018. The loan from Eagle Bank allows draws of up to $71 million during construction at an interest rate of 3.25% over LIBOR. The loan is interest only and matures in 36 months with a 12-month extension assuming completion of construction and at least one occupancy. There is a provision for an additional 72 months extension with a 30-year amortization of principal at 2.15% over seven-year US Treasury Constant if NOI is sufficient for a 9% yield. The Company’s equity interest in the joint venture is accounted for under the equity method of accounting as MRP acts as the administrative agent of the joint venture and oversees and controls the day to day operations of the project.

Investments in Joint Ventures (in thousands):

									The
									Company's
						Total Assets	Net Loss		Share of Net
				Total		of the	of the		Loss of the
	Ownership			Investment		Partnership	Partnership		Partnership

As of September 30, 2018
Brooksville Quarry, LLC	50.00	%			7,477	14,404	(70	)	(35	)
BC FRP Realty, LLC	50.00	%			5,966	20,689	—		—
RiverFront Holdings II, LLC	80.00	%			11,646	20,793	(1	)	(1	)
Total			$		25,089	55,886	(71	)	(36	)

As of December 31, 2017
RiverFront Holdings I, LLC (1)	—		$		—	—	(2,019	)	(1,558	)
Brooksville Quarry, LLC	50.00	%			7,516	14,411	(80	)	(40	)
BC FRP Realty, LLC	50.00	%			5,890	15,027	—		—
Total			$		13,406	29,438	(2,099	)	(1,598	)

(1)

The Company consolidated this joint venture effective July 1, 2017 (see Footnote 12).

Income statements for the RiverFront Holdings I, LLC, prior to consolidation July 1, 2017 (in thousands):

	Six Months Ended
	June 30,
	2017
Revenues:
Rental Revenue		3,053
Revenue – Reimbursements		33
Total Revenues		3,086
Cost of operations:
Depreciation and amortization		1,958
Operating expenses		1,096
Property taxes		459
Total cost of operations		3,513
Total operating profit		(427	)
Interest expense		(1,592	)
Net loss of the Partnership		(2,019	)

The amount of consolidated accumulated deficit for these joint ventures was $(2,664,000) and $(2,638,000) as of September 30, 2018 and December 31, 2017 respectively.

(12) Consolidation of RiverFront Investment Partners I, LLC. On March 30, 2012 the Company entered into a Contribution Agreement with MRP to form a joint venture to develop the first phase only of the four-phase master development known as RiverFront on the Anacostia in Washington, D.C. The purpose of the Joint Venture is to develop and own an approximately 300,000 square foot residential apartment building (including approximately 18,000 square feet of retail) on approximately 2 acres of the roughly 5.82-acre site. The joint venture, RiverFront Investment Partners I, LLC (“RiverFront I”) was formed in June 2013 as contemplated. The Company contributed land with an agreed to value of $13,500,000 (cost basis of $6,165,000) and contributed cash of $4,866,000 to the Joint Venture for a 77.14% stake in the venture. MRP contributed capital of $5,553,000 to the joint venture including development costs paid prior to formation of the joint venture. Construction commenced in October 2014, and first occupancy was in August 2016. The Company’s equity interest in the joint venture was previously accounted for under the equity method of accounting as MRP acted as the administrative agent of the joint venture and oversaw and controlled the day to day operations of the project.

In July 2017, Phase I (Dock 79) reached stabilization, meaning 90% of the individual apartments had been leased and occupied by third party tenants. Upon reaching stabilization, the Company has, for a period of one year, the exclusive right to (i) cause the joint venture to sell the property or (ii) cause the Company’s and MRP’s percentage interests in the joint venture to be adjusted so as to take into account the contractual payouts assuming a sale at the value of the development at the time of this “Conversion election”.

The attainment of stabilization resulted in a change of control for accounting purposes as the veto rights of the minority shareholder lapsed and the Company became the primary beneficiary. As such, beginning July 1, 2017, the Company consolidated the assets (at fair value), liabilities and operating results of the joint venture. This consolidation resulted in a gain on remeasurement of investment in real estate partnership of $60,196,000 of which $20,469,000 was attributed to the noncontrolling interest. In accordance with the terms of the Joint Venture agreements, the Company used the fair value amount at date of conversion and calculated an adjusted ownership under the Conversion election. As such for financial reporting purposes effective July 1, 2017 the Company ownership is based upon this substantive profit sharing arrangement and is estimated at 66.0% on a prospective basis.

	As of July 1, 2017 (in thousands)
	Riverfront			Gain on Remeasure-
	Holdings I, LLC			ment		Revised

Land	$	7,220		$	21,107		$	28,327
Building and improvements, net		81,773			34,362			116,135
Value of leases in place		—			4,727			4,727
Cash		2,295			—			2,295
Cash held in escrow		171			—			171
Accounts receivable		40			—			40
Prepaid expenses		142			—			142
Total Assets	$	91,641		$	60,196		$	151,837

Long-term Debt	$	78,587		$	—		$	78,587
Amortizable debt costs		(852	)		—			(852	)
Other liabilities		905			—			905
Equity – FRP		8,583			39,727			48,310
Equity – MRP		4,418			20,469			24,887
Total Liabilities and Capital	$	91,641		$	60,196		$	151,837

(13) Discontinued Operations.

On May 21, 2018, the Company completed the disposition of 40 industrial warehouse properties and three additional land parcels to an affiliate of Blackstone Real Estate Partners VIII, L.P. for $347.2 million. One warehouse property valued at $11.7 million was excluded from the sale due to the tenant exercising its right of first refusal to purchase the property. These properties comprised substantially all the assets of our Asset Management segment and have been reclassified as discontinued operations for all periods presented. The results of operations associated with discontinued operations for the three and nine-month periods ended September 30, 2018 and 2017 were as follows (in thousands):

	THREE MONTHS ENDED						NINE MONTHS ENDED
	SEPTEMBER 30,						SEPTEMBER 30,
	2018			2017			2018			2017
Revenues:
Rental revenue	$	190			5,636			9,602			16,634
Revenue – reimbursements		29			1,383			2,274			3,713
Total Revenues		219			7,019			11,876			20,347

Cost of operations:
Depreciation, depletion and amortization		29			1,965			3,131			5,727
Operating expenses		52			1,004			1,694			2,570
Property taxes		19			754			1,266			2,208
Management company indirect		370			209			1,360			542
Corporate expenses		56			—			1,458			—
Total cost of operations		526			3,932			8,909			11,047

Total operating profit (loss)		(307	)		3,087			2,967			9,300

Interest expense		—			(468	)		(587	)		(1,087	)
Gain on sale of buildings		200			—			165,007			—

Income (loss) before income taxes		(107	)		2,619			167,387			8,213
Provision for (benefit from) income taxes		(29	)		1,034			45,278			3,244

Income (loss) from discontinued operations	$	(78	)		1,585			122,109			4,969

The components of the balance sheet are as follows (in thousands):

	September 30		December 31
Assets:	2018		2017
Real estate investments at cost:
Land	$	546		40,465
Buildings and improvements		3,315		186,657
Projects under construction		—		6,617
Total investments in properties		3,861		233,739
Less accumulated depreciation and depletion		2,353		68,049
Net investments in properties		1,508		165,690

Accounts receivable, net		1,020		405
Unrealized rents		284		4,088
Deferred costs		382		6,509
Other assets		—		2
Assets of discontinued operations	$	3,194		176,694

Liabilities:
Secured notes payable, current portion	$	—		23,825
Secured notes payable, less current portion		—		4,338
Accounts payable and accrued liabilities		249		2,289
Deferred revenue		59		967
Federal and state income taxes payable		1,527		—
Tenant security deposits		37		861
Liabilities of discontinued operations	$	1,872		32,280

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS

The following discussion includes a non-GAAP financial measure within the meaning of Regulation G promulgated by the Securities and Exchange Commission to supplement the financial results as reported in accordance with GAAP. The non-GAAP financial measure discussed is net operating income (NOI). The Company uses this metric to analyze its continuing operations and to monitor, assess, and identify meaningful trends in its operating and financial performance. This measure is not, and should not be viewed as, a substitute for GAAP financial measures. Refer to “Non-GAAP Financial Measure” below in this quarterly report for a more detailed discussion, including reconciliations of this non-GAAP financial measure to its most directly comparable GAAP financial measure.

Overview - FRP Holdings, Inc. is a holding company engaged in the real estate business, namely (i) mining royalty land ownership and leasing, (ii) land acquisition, entitlement and development primarily for future warehouse/office or residential building construction, (iii) ownership, leasing, and management of a residential apartment building, and (iv) warehouse/office building ownership, leasing and management.

The Company’s operations are influenced by a number of external and internal factors. External factors include levels of economic and industrial activity in the United States and the Southeast, construction activity and costs, aggregates sales by lessees from the Company’s mining properties, interest rates, market conditions in the Baltimore/Northern Virginia/Washington DC area, and our ability to obtain zoning and entitlements necessary for property development. Internal factors include administrative costs, success in leasing efforts and construction cost management.

Asset Management Segment.

The Asset Management segment owns, leases and manages warehouse/office buildings located predominately in the Baltimore/Northern Virginia/Washington, DC market area, although The Company disposed of all but one of its warehouse properties in May 2018. We focus primarily on owning flexible type facilities that cater to the maximum number of tenant types. As most of our buildings are less than 150,000 square feet, we focus on local and regional vs. national tenants. Hands-on service provided by our in-house construction and property management teams keeps us close to our tenant base. These practices are the cornerstone of our mission to provide the highest quality product and services at competitive rates resulting in tenant satisfaction and ultimately, retention.

These assets create revenue and cash flows through tenant rental payments, lease management fees and reimbursements for building operating costs. The major cash outlays incurred in this segment are for operating expenses, real estate taxes, building repairs, lease commissions and other lease closing costs, construction of tenant improvements, capital to acquire existing operating buildings and closing costs related thereto and personnel costs of our property management team.

Management focuses on several factors to measure our success on a comparative basis in this segment. The major factors we focus on are (1) revenue growth, (2) net operating income, (3) growth in occupied square feet, (4) actual occupancy rate, (5) average annual occupied square feet, (6) average annual occupancy rate (defined as the occupied sf at the end of each month during a fiscal year divided by the number of months to date in that fiscal year as a percentage of the average number of square feet in the portfolio over that same time period), (7) growth of our portfolio (in square feet), and (8) tenant retention success rate (as a percentage of total square feet to be renewed).

Mining Royalty Lands Segment.

Our Mining Royalty Lands segment owns several properties comprising approximately 15,000 acres currently under lease for mining rents or royalties (this does not include the 4,280 acres owned in our Brooksville joint venture with Vulcan Materials). Other than one location in Virginia, all of these properties are located in Florida and Georgia. The typical lease in this segment requires the tenant to pay us a royalty based on the number of tons of mined materials sold from our property during a given fiscal year multiplied by a percentage of the average annual sales price per ton sold. As a result of this royalty payment structure, we do not bear the cost risks associated with the mining operations, however, we are subject to the cyclical nature of the construction markets in these States as both volumes and prices tend to fluctuate through those cycles. In certain locations, typically where the reserves on our property have been depleted but the tenant still has a need for the leased land, we collect a fixed annual rental amount. We believe strongly in the potential for future growth in construction in Florida, Georgia, and Virginia which would positively benefit our profitability in this segment. Our mining properties had estimated remaining reserves of 540 million tons as of December 31, 2017 after a total of 6.3 million tons were consumed in fiscal 2017.

The major expenses in this segment are comprised of collection and accounting for royalties, management’s oversight of the mining leases, land entitlement for post-mining uses and property taxes at our non-leased locations and at our Grandin location which, unlike our other leased mining locations, are not paid by the tenant. As such, our costs in this business are very low as a percentage of revenue, are relatively stable and are not affected by increases in production at our locations. Our current mining tenants include Vulcan Materials, Martin Marietta and Cemex, among others.

Additionally, these locations provide us with excellent opportunities for valuable “second lives” for these assets through proper land planning and entitlement.

Significant “2^nd life” Mining Lands:

Location	Acreage	Status
Brooksville, Fl	4,280 +/-	Development of Regional of Impact and County Land Use and Master Zoning in place for 5,800 residential unit, mixed-use development
Ft. Myers, FL	1,993 +/-	Approval in place for 105, 1 acre, waterfront residential lots after mining completed.
Gulf Hammock, Fl	1,600 +/-	Currently on the market
Total	7,873 +/-

Land Development and Construction Segment.

Through our Land Development and Construction segment, we own and are continuously monitoring for their “highest and best use” several parcels of land that are in various stages of development. Our overall strategy in this segment is to convert all of our non-income producing lands into income production through (i) an orderly process of constructing new warehouse/office buildings for us to own and operate or (ii) a sale to, or joint venture with, third parties.

Revenues in this segment are generated predominately from land sales and interim property rents. The significant cash outlays incurred in this segment are for land acquisition costs, entitlement costs, property taxes, design and permitting, the personnel costs of our in-house management team and horizontal and vertical construction costs.

Since 1990, one of our primary strategies in this segment has been to acquire, entitle and ultimately develop commercial/industrial business parks providing 5–15 building pads which we typically convert into warehouse/office buildings. To date, our management team has converted 29 of these pads into developed buildings. Our typical practice has been to transfer these assets to the Asset Management segment on the earlier to occur of (i) commencement of rental revenue or (ii) issuance of the certificate of occupancy. We have also opportunistically sold several of these pad sites over time to third party “users”.

The remaining pad sites in our inventory today are fully entitled, located in business parks in four different submarkets in the DC/Baltimore/Northern Virginia area, and can support an additional +/- 600,000 square feet of warehouse/office buildings.

Summary of Our Remaining Lot Inventory:

Location	Acreage	SF +/-	Status
Lakeside, MD	15	187,550	1 lot ready for building construction.
Windlass Run Business Park, MD	17.5 (50% Interest)	164,500 (50% Interest)	Company owns a 50% in a joint venture formed in April 2016 with St. John Properties. The joint venture owns the 35 acres and plans to develop the land into 12 office buildings for a total of 329,000 sq. ft.
Hollander 95 Business Park, MD	26	234,450	Horizontal development completed.
Total	58.5	586,500

Having sites ready for vertical construction has rewarded us in the past. It is the main reason why we were able to convert three of our finished pads at Patriot Business Park into build-to-suit opportunities in 2012, 2013 and 2014. We completed construction on a 79,550 square foot spec building at Hollander Business Park that was put into service in the third quarter of fiscal 2016. Also in the third quarter of fiscal 2016 we started construction on a 103,448-square-foot building in Patriot Business Center that was placed in service in 2017. Our final building at Patriot Business Park was under construction in 2017 and completed in the second quarter of 2018. In April 2016 we entered into a joint venture agreement to develop 12 office buildings on our remaining lots at Windlass Run and on adjacent frontage property owned by St. John Properties. During second quarter of fiscal 2018 we started construction on a 93,450 square foot spec building at Hollander Business Park. We will continue to actively monitor these submarkets where we have lots ready for construction and take advantage of the opportunities presented to us.

In addition to the inventory of finished building lots, we have several other properties that were either spun-off to us from Florida Rock Industries in 1986 or acquired by us from unrelated third-parties. These properties, as a result of our “highest and best use” studies, are being prepared for income generation through sale or joint venture with third parties, and in certain cases we are leasing these properties on an interim basis for an income stream while we wait for the development market to mature.

Our customary strategy when selling parcels outright is to attempt to convert the proceeds into income producing real estate for our Asset Management segment through a Section 1031 tax-deferred exchange. An example of this is the Windlass Run 179-acre tract purchased for $5.2 million in 2002. When purchased, the entire parcel was zoned for commercial/industrial uses. We successfully rezoned the 109 acres for medium density residential development and on April 17, 2013, we entered into a contract to sell the residential portion of the property for $19 million. The first phase of the Windlass Run residential land was sold for $8 million and the proceeds were used in a Section 1031 exchange to acquire our Transit Business Park in 2013. Phase 2 was sold in November 2015 for $11.1 million and we used $9.9 million of the proceeds to acquire the Port Capital Building.

An example of property in this segment being developed through joint venture is Phase I of our RiverFront on the Anacostia project which was contributed to a joint venture with MRP in 2014 and is now complete as a 305-unit apartment building including 18,000 square feet of ground floor retail.

Significant Investment Lands Inventory:

Location	Approx. Acreage	Status	NBV
RiverFront on the Anacostia Phases III-IV	2.5	Phase II contributed to JV and under construction.	$6,103,000
Hampstead Trade Center, MD	73	Residential conceptual design program ongoing	$7,566,000
Square 664E, on the Anacostia River in DC	2	Under lease to Vulcan Materials as a concrete batch plant through 2021 with one 5-year renewal option.	$8,219,000
Total	77.5		$21,888,000

RIVERFRONT ON THE ANACOSTIA PHASES III-IV: This property consists of 2.5 acres on the Anacostia River and is immediately adjacent to the Washington National’s baseball park in the SE Central Business District of Washington, DC. Once zoned for industrial use and under a ground lease, this property is no longer under lease and has been rezoned for the construction of approximately 860,000 square feet of “mixed-use” development in three phases. See “RiverFront on the Anacostia Segment” below for discussion on Phase I. Phases II, III and IV are slated for residential, office, and hotel/residential buildings, respectively, all with permitted first floor retail uses.

On August 24, 2015, in anticipation of commencing construction of the new Frederick Douglass bridge at a location immediately to the west of the existing bridge, the District of Columbia filed a Declaration of Taking for a total of 7,390 square feet of permanent easement and a 5,022 square foot temporary construction easement on land along the western boundary of the land that will ultimately hold Phase III and IV. Previously, the Company and the District had conceptually agreed to a land swap with no compensation that would have permitted the proposed new bridge, including construction easements, to be on property wholly owned by the District. As a result, the Planned Unit Development was designed and ultimately approved by the Zoning Commission as if the land swap would occur once the District was ready to move forward with the new bridge construction. In September 2016 the Company received $1,115,400 as settlement for the easement. The Company will continue to seek an agreement from the District that the existing bridge easement will terminate when the new bridge has been placed in service and the existing bridge has been removed. The Company’s position is that otherwise Phase IV will be adversely impacted and additional compensation or other relief will be due the Company.

HAMPSTEAD TRADE CENTER: We purchased this 118-acre tract in 2005 for $4.3 million in a Section 1031 exchange with plans of developing it as a commercial business park. The “great recession” caused us to reassess our plans for this property. As a result, Management has determined that the prudent course of action is to attempt to rezone the property for residential uses and sell the entire tract to another developer such that we can redeploy this capital into assets with more near-term income producing potential. In the fourth quarter of fiscal 2016, the Company received approval from the Town of Hampstead and has rezoned the property for residential use. The Town of Hampstead determined that there was a procedural error made during the rezoning process and expects to correct their error by year end in order to properly memorialize the residential zoning. We are fully engaged in the formal process of seeking PUD entitlements for this 118-acre tract.

SQUARE 664E, WASHINGTON, DC: This property sits on the Anacostia River at the base of South Capitol Street in an area named Buzzard Point, approximately 1 mile down river from our RiverFront on the Anacostia property. The Square 664E property consists of approximately 2 acres and is currently under lease to Vulcan Materials for use as a concrete batch plant. The lease terminates on August 31, 2021 and Vulcan has the option to renew for one additional period of five (5) years. In the quarter ending December 31, 2014, the District of Columbia announced that it had selected Buzzard Point for the future site of the new DC United major league soccer stadium. The selected stadium location is separated from our property by just one small industrial lot. In March 2017 reconstruction of the bulkhead was completed at a cost of $4 million in anticipation of future high-rise development.

RiverFront on the Anacostia Segment.

In 2014, approximately 2.1 acres (Phase I) of the total 5.8 acres was contributed to a joint venture owned by the Company (77%) and our partner, MRP Realty (23%), and construction commenced in October 2014 on a 305-unit residential apartment building with approximately 18,000 sq. ft. of first floor retail space. Lease up commenced in May 2016 and rent stabilization of the residential units of 90% occupied was achieved in the third quarter of 2017. Upon reaching stabilization, the Company has, for a period of one year, the exclusive right to (i) cause the joint venture to sell the property or (ii) cause the Company’s and MRP’s percentage interests in the joint venture to be adjusted so as to take into account the contractual payouts assuming a sale at the value of the development at the time of this “Conversion election”.

The attainment of stabilization also results in a change of control for accounting purposes as the veto rights of the minority shareholder lapsed and the Company became the primary beneficiary. As such, beginning July 1, 2017, the Company consolidated the assets (at current fair value based on a third-party opinion), liabilities and operating results of the joint venture. This consolidation resulted in a gain on remeasurement of investment in real estate partnership of $60,196,000 of which $20,469,000 was attributed to the noncontrolling interest. The Company used the fair value amount to calculate adjusted ownership under the Conversion election. As such for financial reporting purposes effective July 1, 2017 the Company ownership is based upon this substantive profit sharing arrangement and is estimated at 66.0% on a prospective basis.

Comparative Results of Operations for the Three months ended September 30, 2018 and 2017

Consolidated Results

	Three months ended
(dollars in thousands)	September 30,
	2018			2017			Change			%
Revenues:
Rental Revenue	$	3,440		$	3,102		$	338			10.9	%
Mining Royalty and rents		2,102			1,763			339			19.2	%
Revenue-Reimbursements		200			170			30			17.6	%
Total Revenues		5,742			5,035			707			14.0	%

Cost of operations:
Depreciation/Depletion/Amortization		1,821			2,804			(983	)		-35.1	%
Operating Expenses		983			875			108			12.3	%
Environmental remediation		(465	)		—			(465	)		100.0	%
Property Taxes		663			647			16			2.5	%
Mgmt company indirect		550			351			199			56.7	%
Corporate Expense		522			617			(95	)		-15.4	%
Total cost of operations		4,074			5,294			(1,220	)		-23.0	%

Total operating profit (loss)		1,668			(259	)		1,927			-744.0	%

Interest Income and other		1,654			—			1,654			100.0	%
Interest Expense		(768	)		(783	)		15			-1.9	%
Equity in loss of joint ventures		(13	)		(12	)		(1	)		8.3	%
Gain on remeasurement of investment in real
estate partnership		—			60,196			(60,196	)		-100.0	%
Loss on investment land sold		(3	)		—			(3	)		100.0	%

Income before income taxes		2,538			59,142			(56,604	)		-95.7	%
Provision for income taxes		508			15,543			(15,035	)		-96.7	%
Income from continuing operations		2,030			43,599			(41,569	)		-95.3	%

Income (loss) from discontinued operations, net		(78	)		1,585			(1,663	)		-104.9	%


Net income		1,952			45,184		(43,232	)	-95.7	%
Gain (loss) attributable to noncontrolling interest		(272	)		19,793		(20,065	)	-101.4	%
Net income attributable to the Company	$	2,224		$	25,391	$	(23,167	)	-91.2	%

Net income for the third quarter of 2018 was $2,224,000 or $.22 per share versus $25,391,000 or $2.52 per share in the same period last year. Loss from discontinued operations for the third quarter of 2018 was $78,000 or $.01 per share versus income from discontinued operations of $1,585,000 or $.16 per share in the same period last year. The third quarter of 2017 included a gain on remeasurement of investment of $60.2 million in the Company’s Dock 79 real estate partnership as a result of the asset’s stabilization and the ensuing change in control of the partnership for accounting purposes. This change in control brought with it this substantial and non-taxable gain. The gain is based on the difference between the carrying value and the fair value of all assets and liabilities in the partnership and is included in Income from continuing operations before income taxes. An affiliate of Blackstone Real Estate Group has the option to purchase the Company’s last remaining warehouse property at 1502 Quarry Drive for $11.7 million if the current tenant fails to properly exercise its right of first refusal. The Company currently is seeking a court determination that the tenant has failed to exercise its right of first refusal.

Asset Management Segment Results

	Three months ended September 30
(dollars in thousands)	2018			%			2017		%			Change			%

Rental revenue	$	544			95.8	%		538		96.2	%		6			1.1	%
Revenue-reimbursements		24			4.2	%		21		3.8	%		3			14.3	%

Total revenue		568			100.0	%		559		100.0	%		9			1.6	%

Depreciation, depletion and amortization		145			25.5	%		125		22.4	%		20			16.0	%
Operating expenses		106			18.7	%		119		21.3	%		(13	)		-10.9	%
Property taxes		43			7.6	%		38		6.8	%		5			13.2	%
Management company indirect		(2	)		-.4	%		28		5.0	%		(30	)		-107.1	%
Corporate expense		34			6.0	%		27		4.8	%		7			25.9	%

Cost of operations		326			57.4	%		337		60.3	%		(11	)		-3.3	%

Operating profit	$	242			42.6	%		222		39.7	%		20			9.0	%

Most of the Asset Management Segment was reclassified to discontinued operations leaving only three office buildings. Total revenues in this segment were $568,000, up $9,000 or 1.6%, over the same period last year. Operating profit was $242,000, up $20,000 compared to the same quarter last year.

Mining Royalty Lands Segment Results

Highlights of the Three Months ended September 30, 2018:

Mining Royalty and rents revenue were up $339,000, or 19.2%.

	Three months ended September 30
(dollars in thousands)	2018		%			2017		%

Mining Royalty and rents	$	2,102		98.9	%		1,763		98.7	%
Revenue-reimbursements		23		1.1	%		23		1.3	%

Total revenue		2,125		100.0	%		1,786		100.0	%

Depreciation, depletion and amortization		55		2.6	%		17		.9	%
Operating expenses		48		2.2	%		43		2.4	%
Property taxes		61		2.9	%		59		3.3	%
Corporate expense		28		1.3	%		30		1.7	%

Cost of operations		192		9.0	%		149		8.3	%

Operating profit	$	1,933		91.0	%		1,637		91.7	%

Total revenues in this segment were $2,125,000 versus $1,786,000 in the same period last year. Total operating profit in this segment was $1,933,000, an increase of $296,000 versus $1,637,000 in the same period last year.

Land Development and Construction Segment Results

Highlights of the Three Months ended September 30, 2018:

Construction began on Phase II of our RiverFront on the Anacostia project in April. Substantially completed environmental remediation cost $465,000 lower than the $2 million estimated cost recorded in fiscal 2016.

	Three months ended September 30
(dollars in thousands)	2018			2017			Change

Rental revenue	$	214			207			7
Revenue-reimbursements		116			116			—

Total revenue		330			323			7

Depreciation, depletion and amortization		57			98			(41	)
Operating expenses		143			52			91
Environmental remediation		(465	)		—			(465	)
Property taxes		269			282			(13	)
Management company indirect		465			281			184
Corporate expense		408			210			198

Cost of operations		877			923			(46	)

Operating loss	$	(547	)		(600	)		53

The Land Development and Construction segment is responsible for (i) seeking out and identifying opportunistic purchases of income producing warehouse/office buildings, and (ii) developing our non-income producing properties into income production.

With respect to ongoing projects:

We are fully engaged in the formal process of seeking PUD entitlements for our 118-acre tract in Hampstead, Maryland, now known as “Hampstead Overlook.”

We began construction in the third quarter of last year on our joint venture with St. John Properties and expect to complete construction of the first phase of this project by the end of the year. This first phase will comprise four single-story buildings totaling 100,000 square feet of office and retail space.

We are the principal capital source of a residential development venture in Essexshire now known as “Hyde Park.” We have committed up to $9.2 million in exchange for an interest rate of 10% and a preferred return of 20% after which a “waterfall” determines the split of proceeds. This project will hold 125 town homes and 4 single family lots and is currently in the entitlement process.

Last quarter, we began construction on a 94,350-square-foot spec building at Hollander Business Park. This Class “A” facility will be our first building with a 32-foot clear and should come on line in the second quarter of 2019.

In April of this past quarter, we began construction on Phase II of our RiverFront on the Anacostia project, now known as “The Maren.” We expect to deliver the building in the first half of 2020.

At the end of this quarter, the Company signed a Letter of Intent to enter into a joint venture agreement with MidAtlantic Realty Partners (MRP) for the development of the first phase of a multifamily, mixed-use development in northeast Washington, DC known as “Bryant Street.” FRP plans to contribute to the joint venture $35 million in common equity and another $20-25 million in preferred equity.

RiverFront on the Anacostia Segment Results

Highlights of the Three Months ended September 30, 2018:

Beginning July 1, 2017, the Company consolidated the assets (at current fair value), liabilities and operating results of the joint venture and established the RiverFront on the Anacostia segment as its fourth segment. FRP’s share of prior period results are included in the line Equity in loss of joint ventures in the Company’s overall Consolidated Statements of Income.

	Three Months Ended September 30
(dollars in thousands)	2018		%			2017			%

Rental revenue	$	2,682		98.6	%		2,357			99.6	%
Revenue-reimbursements		37		1.4	%		10			.4	%

Total revenue		2,719		100.0	%		2,367			100.0	%

Depreciation and amortization		1,564		57.5	%		2,564			108.3	%
Operating expenses		686		25.2	%		661			27.9	%
Property taxes		290		10.7	%		268			11.3	%
Management company indirect		87		3.2	%		42			1.8	%
Corporate expense		52		1.9	%		27			1.2	%

Cost of operations		2,679		98.5	%		3,562			150.5	%

Operating profit (loss)	$	40		1.5	%	$	(1,195	)		-50.5	%

Average occupancy for the quarter was 95.8% and at the end of the third quarter, Dock 79 was 94.4% leased and 93.8% occupied. During the third quarter, 50.0% of expiring leases renewed with an average increase in rent of 2.62%. Dock 79 is a joint venture between the Company and MRP, in which FRP Holdings, Inc. is the majority partner with 66% ownership.

Comparative Results of Operations for the Nine months ended September 30, 2018 and 2017

Consolidated Results

	Nine months ended
(dollars in thousands)	September 30,
	2018			2017			Change			%
Revenues:
Rental Revenue	$	9,937		$	4,609		$	5,328			115.6	%
Mining Royalty and rents		5,885			5,311			574			10.8	%
Revenue-Reimbursements		548			469			79			16.8	%
Total Revenues		16,370			10,389			5,981			57.6	%

Cost of operations:
Depreciation/Depletion/Amortization		6,350			3,303			3,047			92.2	%
Operating Expenses		2,951			1,312			1,639			124.9	%
Environmental remediation		(465	)		—			(465	)		100.0	%
Property Taxes		1,949			1,384			565			40.8	%
Mgmt company indirect		1,366			962			404			42.0	%
Corporate Expense		2,910			2,510			400			15.9	%
Total cost of operations		15,061			9,471			5,590			59.0	%

Total operating profit		1,309			918			391			42.6	%

Interest Income and other		1,875			—			1,875			100.0	%
Interest Expense		(2,418	)		(783	)		(1,635	)		208.8	%
Equity in loss of joint ventures		(36	)		(1,589	)		1,553			-97.7	%
Gain on remeasurement of investment in real
estate partnership		—			60,196			(60,196	)		-100.0	%
Loss on investment land sold		(3	)		—			(3	)		100.0	%

Income before income taxes		727			58,742			(58,015	)		-98.8	%
Provision for income taxes		269			15,371			(15,102	)		-98.3	%
Income from continuing operations		458			43,371			(42,913	)		-98.9	%

Income from discontinued operations, net		122,109			4,969			117,140			2357.4	%

Net income		122,567			48,340			74,227			153.6	%
Gain (loss) attributable to noncontrolling interest		(1,199	)		19,793			(20,992	)		-106.1	%
Net income attributable to the Company	$	123,766		$	28,547		$	95,219			333.5	%

Net income for first nine months of 2018 was $123,766,000 or $12.24 per share versus $28,547,000 or $2.84 per share in the same period last year. Income from discontinued operations for the first nine months of 2018 was $122,109,000 or $12.08 per share versus $4,969,000 or $.50 per share in the same period last year. The third quarter of 2017 included a gain on remeasurement of investment of $60.2 million in the Company’s Dock 79 real estate partnership as a result of the asset’s stabilization and the ensuing change in control of the partnership for accounting purposes. This change in control brought with it this substantial and non-taxable gain. The gain is based on the difference between the carrying value and the fair value of all assets and liabilities in the partnership and is included in Income from continuing operations before income taxes.

Total revenues were $16,370,000, up 57.6%, versus the same period last year, primarily because of the addition of rental revenues from Dock 79 when its results were consolidated starting in July 2017.

Asset Management Segment Results

	Nine months ended September 30
(dollars in thousands)	2018		%			2017		%			Change			%

Rental revenue	$	1,643		95.7	%		1,651		96.5	%		(8	)		-0.5	%
Revenue-reimbursements		74		4.3	%		59		3.5	%		15			25.4	%

Total revenue		1,717		100.0	%		1,710		100.0	%		7			0.4	%

Depreciation, depletion and amortization		405		23.6	%		385		22.5	%		20			5.2	%
Operating expenses		335		19.5	%		371		21.7	%		(36	)		-9.7	%
Property taxes		122		7.1	%		109		6.4	%		13			11.9	%
Management company indirect		72		4.2	%		74		4.3	%		(2	)		-2.7	%
Corporate expense		146		8.5	%		118		6.9	%		28			23.7	%

Cost of operations		1,080		62.9	%		1,057		61.8	%		23			2.2	%

Operating profit	$	637		37.1	%		653		38.2	%		(16	)		-2.5	%

Total revenues in this segment were $1,717,000, up $7,000 or .4%, over the same period last year. Operating profit of $637,000 was down $16,000 compared to the same quarter last year due primarily to an increase of $28,000 in corporate expense allocation.

Mining Royalty Lands Segment Results

Highlights of the Nine Months ended September 30, 2018:

Mining Royalty and rents revenue were up $574,000, or 10.8%.

	Nine months ended September 30
(dollars in thousands)	2018		%			2017		%

Mining Royalty and rents	$	5,885		98.9	%		5,311		98.7	%
Revenue-reimbursements		67		1.1	%		70		1.3	%

Total revenue		5,952		100.0	%		5,381		100.0	%

Depreciation, depletion and amortization		145		2.4	%		91		1.7	%
Operating expenses		128		2.2	%		121		2.2	%
Property taxes		182		3.1	%		176		3.3	%
Corporate expense		157		2.6	%		124		2.3	%

Cost of operations		612		10.3	%		512		9.5	%

Operating profit	$	5,340		89.7	%		4,869		90.5	%

Total revenues in this segment were $5,952,000 versus $5,381,000 in the same period last year. Total operating profit in this segment was $5,340,000, an increase of $471,000 versus $4,869,000 in the same period last year.

Land Development and Construction Segment Results

Highlights of the Nine Months ended September 30, 2018:

Construction began on Phase II of our RiverFront on the Anacostia project in April. Substantially completed environmental remediation cost $465,000 lower than the $2 million estimated cost recorded in fiscal 2016.

	Nine months ended September 30
(dollars in thousands)	2018			2017			Change

Rental revenue	$	609			601			8
Revenue-reimbursements		335			330			5

Total revenue		944			931			13

Depreciation, depletion and amortization		171			263			(92	)
Operating expenses		618			159			459
Environmental remediation		(465	)		—			(465	)
Property taxes		768			831			(63	)
Management company indirect		998			846			152
Corporate expense		1,110			935			175

Cost of operations		3,200			3,034			166

Operating loss	$	(2,256	)		(2,103	)		(153	)

RiverFront on the Anacostia Segment Results

Highlights of the Nine Months ended September 30, 2018:

Beginning July 1, 2017, the Company consolidated the assets (at current fair value), liabilities and operating results of the joint venture and established the RiverFront on the Anacostia segment as its fourth segment. FRP’s share of prior period results are included in the line Equity in loss of joint ventures in the Company’s overall Consolidated Statements of Income.

	Nine Months Ended September 30
(dollars in thousands)	2018			%			2017			%

Rental revenue	$	7,685			99.1	%		2,357			99.6	%
Revenue-reimbursements		72			0.9	%		10			.4	%

Total revenue		7,757			100.0	%		2,367			100.0	%

Depreciation and amortization		5,629			72.6	%		2,564			108.3	%
Operating expenses		1,870			24.1	%		661			27.9	%
Property taxes		877			11.3	%		268			11.3	%
Management company indirect		296			3.8	%		42			1.8	%
Corporate expense		289			3.7	%		27			1.2	%

Cost of operations		8,961			115.5	%		3,562			150.5	%

Operating loss	$	(1,204	)		-15.5	%	$	(1,195	)		-50.5	%

Average occupancy for the first nine months was 94.8% and at the end of the third quarter, Dock 79 was 94.4% leased and 93.8% occupied. Through the first nine months of the year, 56.1% of expiring leases renewed with an average increase in rent of 3.27%. Dock 79 is a joint venture between the Company and MRP, in which FRP Holdings, Inc. is the majority partner with 66% ownership.

Liquidity and Capital Resources. The growth of the Company’s businesses requires significant cash needs to acquire and develop land or operating buildings and to construct new buildings and tenant improvements. As of September 30, 2018, we had no debt borrowed under our $20 million Wells Fargo revolver, $1,930,000 outstanding under letters of credit and $18,070,000 available to borrow under the revolver. In November 2017, we secured $90 million in permanent financing for Dock 79 from EagleBank, the proceeds of which were used to pay off $79 million of construction and mezzanine debt. The remainder was distributed pari passu between the Company and our partners.

Cash Flows - The following table summarizes our cash flows from operating, investing and financing activities for each of the periods presented (in thousands of dollars):

		Nine months
		Ended September 30,
		2018		2017
Total cash provided by (used for):
Operating activities	$	(41,660	)		15,321
Investing activities		101,850			(10,920	)
Financing activities		(29,932	)		(1,771	)
Increase in cash and cash equivalents	$	30,258			2,630

Outstanding debt at the beginning of the period	$	118,317			40,745
Outstanding debt at the end of the period	$	88,755			115,113

Operating Activities – For the nine months ended September 30, 2018, net cash used for operating activities increased to $41,660,000 versus cash provided by operating activities of $15,321,000 in the same period last year. Net cash used in operating activities of discontinued operations was $46,642,000 primarily due to income tax payments on the taxable gains on the sale of buildings. Net cash provided by operating activities of continuing operations was lower primarily due to environmental remediation payments related to Phase II of RiverFront construction.

Investing Activities - For the nine months ended September 30, 2018, cash provided by investing activities increased to $101,850,000 versus cash used in investing activities of $10,920,000 in the same period last year due primarily to the proceeds on the sale of the buildings offset by the investments in available for sale investments. During the quarter ending September 30, 2018 the Company invested in 78 corporate bonds with individual maturities ranging from 2020 through 2024. The unrealized loss on these bonds of $567,000 was recorded as part of comprehensive income and was based on the estimated market value by National Financial Services, LLC (“NFS”) obtained from sources that may include pricing vendors, broker/dealers who clear through NFS and/or other sources. The carrying amount and fair value of such bonds were $191,288,000 as of September 30, 2018.

Financing Activities – For the nine months ended September 30, 2018, cash required by financing activities was $29,932,000 versus $1,771,000 in the same period last year primarily due to the payoff of mortgage loans related to the buildings sold.

Credit Facilities - On January 30, 2015, in connection with the Spin-off, the Company terminated its $55 million credit facility entered with Wells Fargo Bank, N.A. in 2012 and simultaneously entered into a new five-year credit agreement with Wells Fargo with a maximum facility amount of $20 million (the "Credit Agreement"). The Credit Agreement provides a revolving credit facility (the “Revolver”) with a $10 million sublimit available for standby letters of credit. As of September 30, 2018, there was no debt outstanding on the revolver and $1,930,000 outstanding under letters of credit and $18,070,000 available for borrowing. The letters of credit were issued to guarantee certain obligations to

state agencies related to real estate development. Most of the letters of credit are irrevocable for a period of one year and typically are automatically extended for additional one-year periods. The Revolver bears interest at a rate of 1.4% over the selected LIBOR, which may change quarterly based on the Company’s ratio of Consolidated Total Debt to Consolidated Total Capital, as defined. A commitment fee of 0.15% per annum is payable quarterly on the unused portion of the commitment. The commitment fee may also change quarterly based upon the ratio described above. The credit agreement contains certain conditions and financial covenants, including a minimum $110 million tangible net worth. As of September 30, 2018, the tangible net worth covenant would have limited our ability to pay dividends or repurchase stock with borrowed funds to a maximum of $168 million combined. The Company was in compliance with all covenants as of September 30, 2018.

On November 17, 2017, Riverfront Holdings I, LLC (the "Joint Venture") refinanced the Dock 79 project pursuant to a Loan Agreement and Deed of Trust Note entered into with EagleBank ("Loan Documents"). The Joint Venture, which was formed between FRP Holdings, Inc. (the "Company") and MRP in 2014 in connection with the development of the Riverfront on the Anacostia property, borrowed a principal sum of $90,000,000 in connection with the refinancing. The loan is secured by the Dock 79 real property and improvements, bears a fixed interest rate of 4.125% per annum and has a term of 120 months. During the first 48 months of the loan term, the Joint Venture will make monthly payments of interest only, and thereafter, make monthly payments of principal and interest in equal installments based upon a 30-year amortization period. The loan is a non-recourse loan to the Company. However, all amounts due under the Loan Documents will become immediately due upon an event of default by the Joint Venture, such events including, without limitation, Joint Venture's (i) failure to: pay, permit inspections or observe covenants under the Loan Documents, (ii) breach of representations made under the Loan Documents (iii) voluntary or involuntary bankruptcy, and (iv) dissolution, or the dissolution of the guarantor. MidAtlantic Realty Partners, LLC, an affiliate of MRP, has executed a carve-out guaranty in connection with the loan.

Cash Requirements – The Board of Directors has authorized Management to repurchase shares of the Company’s common stock from time to time as opportunities arise. As of September 30, 2018, $4,883,000 was authorized for future repurchases of common stock. The Company does not currently pay any cash dividends on common stock.

The Company currently expects its 2018 capital expenditures to include approximately $10,156,000 for real estate development and acquisitions, of which $7,585,000 has been expended to date, which will be funded from either cash and investments on hand, cash generated from operations and property sales, or borrowings under our credit facilities.

Summary and Outlook. In light of all that happened last quarter, the last three months were bound to be quiet by comparison. They were not, however, uneventful. The proximity of Dock 79 to the site of baseball’s midsummer classic and its surrounding festivities generated tremendous business for our restaurant tenants. It also directly exposed the building to thousands of potential new tenants, as well as the more than eight million people who tuned in to see the game. Mining royalty revenue is up for the third straight quarter and more impressive is the fact that this is the most revenue this segment has generated through the first nine months of any year ever. Perhaps most interestingly, as mentioned above, we have a Letter of Intent with MRP for the first phase of a development in northeast DC along the Metro. The development is in what is known as an “Opportunity Zone” and will defer and possibly reduce a significant tax liability for the Company. This will represent a very serious investment into what we and our partners believe is the ground floor of the next great area for development in our nation’s capital. Finally, we are trying to remain good stewards of your proceeds from last quarter’s asset sale. We have laddered out the bonds we purchased to a maximum of only two years in order to preserve liquidity and mitigate the opportunity cost of rising interest rates. More importantly, we are searching for ways that make sense to put your money to work—which is to say in investments where we feel we can add value or where there is still room to grow. That means partnering with people like MRP to find the next great neighborhood in DC or developing raw land in and around the Mid-Atlantic. It also means remaining patient until markets and asset prices cool off a bit. At the risk of repeating ourselves, it does us no good to sell at the top of the market if only to turn around and reinvest at the same peak. Again, we will not wait forever to return these proceeds to you whether in the form of new investments or as a dividend. However, we will be disciplined, and we will be patient before we make any decision regarding this money. It is too good an opportunity to squander.

Non-GAAP Financial Measures.

To supplement the financial results presented in accordance with GAAP, FRP presents certain non-GAAP financial

measures within the meaning of Regulation G promulgated by the Securities and Exchange Commission. The non-GAAP financial measure included in this quarterly report is net operating income (NOI). FRP uses this non-GAAP financial measure to analyze its continuing operations and to monitor, assess, and identify meaningful trends in its operating and financial performance. This measure is not, and should not be viewed as, a substitute for GAAP financial measures.

Net Operating Income Reconciliation
Nine months ended 09/30/18 (in thousands)
	Asset		Land			RiverFront			Mining		Unallocated			FRP
	Management		Development			Anacostia			Royalties		Corporate			Holdings
	Segment		Segment			Segment			Segment		Expenses			Totals
Income (loss) from continuing operations		1,648		(1,625	)		(2,967	)		3,870		(468	)		458
Income Tax Allocation		611		(603	)		(655	)		1,435		(519	)		269
Income (loss) from continuing operations before income taxes		2,259		(2,228	)		(3,622	)		5,305		(987	)		727

Less:
Unrealized rents		—		—			163			—		—			163
Interest income		1,622		32			—			—		221			1,875
Plus:
Unrealized rents		27		—			—			369		—			396
Loss on investment land sold		—		3			—			—		—			3
Equity in loss of Joint Venture		—		1			—			35		—			36
Interest Expense		—		—			2,418			—		—			2,418
Depreciation/Amortization		405		171			5,629			145		—			6,350
Management Co. Indirect		72		998			296			—		—			1,366
Allocated Corporate Expenses		146		1,110			289			157		1,208			2,910

Net Operating Income		1,287		23			4,847			6,011		—			12,168

Net Operating Income Reconciliation
Nine months ended 09/30/17 (in thousands)
	Asset		Land			RiverFront		Mining		Unallocated			FRP
	Management		Development			Anacostia		Royalties		Corporate			Holdings
	Segment		Segment			Segment		Segment		Expenses			Totals
Income (loss) from continuing operations		395		(1,280	)		42,098		2,935		(777	)		43,371
Income Tax Allocation		258		(823	)		14,562		1,903		(529	)		15,371
Income (loss) from continuing operations before income taxes		653		(2,103	)		56,660		4,838		(1,306	)		58,742

Less:
Unrealized rents		—		—			50		—		—			50
Gain on investment land sold		—		—			60,196		—		—			60,196
Plus:
Unrealized rents		70		—			—		341		—			411
Equity in loss of Joint Venture		—		—			1,558		31		—			1,589
Interest Expense		—		—			783		—		—			783
Depreciation/Amortization		385		263			2,564		91		—			3,303
Management Co. Indirect		74		846			42		—		—			962
Allocated Corporate Expenses		118		935			27		124		1,306			2,510

Net Operating Income (loss)		1,300		(59)			1,388		5,425		—			8,054

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISKS

Interest Rate Risk - We are exposed to the impact of interest rate changes through our variable-rate borrowings under a Credit Agreement with Wells Fargo.

Under the Wells Fargo Credit Agreement, the applicable margin for borrowings at September 30, 2018 was 1.4%. The applicable margin for such borrowings will be increased in the event that our debt to capitalization ratio as calculated under the Wells Fargo Credit Agreement Facility exceeds a target level.

The Company did not have any variable rate debt at September 30, 2018, so a sensitivity analysis was not performed to determine the impact of hypothetical changes in interest rates on the Company’s results of operations and cash flows.

ITEM 4. CONTROLS AND PROCEDURES

CONCLUSION REGARDING THE EFFECTIVENESS OF DISCLOSURE CONTROLS AND PROCEDURES

The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Company’s reports under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including the Company’s Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), as appropriate, to allow timely decisions regarding required disclosure.

The Company also maintains a system of internal accounting controls over financial reporting that are designed to provide reasonable assurance to the Company’s management and Board of Directors regarding the preparation and fair presentation of published financial statements.

All control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance of achieving the desired control objectives.

As of September 30, 2018, the Company, under the supervision and with the participation of the Company's management, including the CEO, CFO and CAO, carried out an evaluation of the effectiveness of the design and operation of the Company's disclosure controls and procedures. Based on this evaluation, the Company’s CEO, CFO and CAO concluded that the Company's disclosure controls and procedures are effective in alerting them in a timely manner to material information required to be included in periodic SEC filings.

There have been no changes in the Company’s internal controls over financial reporting during our most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1.

LEGAL PROCEEDINGS

In April 2018, The Gill Corporation (“Gill”), a tenant of the Company, purportedly exercise its right of first refusal to purchase a warehouse property located in Harford County, Maryland, for a purchase price of $11.7 million. This warehouse property was scheduled to be sold to an affiliate of Blackstone Real Estate in the transaction that closed in June 2018. Gill has declined to close on the purchase pursuant to the right of first refusal, contending that the Company has an obligation to replace the roof at an estimated cost of $664,900. Gill has subsequently sued the Company to enforce the right of first refusal and to require the Company to pay the cost of replacing the roof or, in the alternative, for damages. The Company believes that these claims are without merit and is vigorously defending the action.

Item 1A.

RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2017, which could materially affect our business, financial condition or future results. The risks described in our Annual Report on Form 10-K are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition and/or operating results.

Item 2. PURCHASES OF EQUITY SECURITIES BY THE ISSUER

(c)

Total

Number of

(d)

Purchased

Approximate

(a)

As Part of

Dollar Value of

Total

(b)

Publicly

Shares that May

Number of

Average

Announced

Yet Be Purchased

Price Paid

Plans or

Under the Plans

Period

Purchased

per Share

Programs

or Programs (1)

July 1

Through

July 31

—

4,883,000

August 1

Through

August 31

—

4,883,000

September 1

Through

September 30

—

4,883,000

Total

—

(1) On February 4, 2015, the Board of Directors authorized management to expend up to $5,000,000 to repurchase shares of the Company’s common stock from time to time as opportunities arise.

Item 6. EXHIBITS

(a)

Exhibits. The response to this item is submitted as a separate Section entitled "Exhibit Index", on page 36.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

		FRP Holdings, Inc.


Date: November 8, 2018	By	JOHN D. BAKER II
		John D. Baker II
		Chief Executive Officer
		(Principal Executive Officer)


	By	JOHN D. MILTON, JR.
		John D. Milton, Jr.
		Executive Vice President, Treasurer,
		Secretary and Chief Financial Officer
		(Principal Financial Officer)


	By	JOHN D. KLOPFENSTEIN
		John D. Klopfenstein
		Controller and Chief Accounting
		Officer (Principal Accounting Officer)

FRP HOLDINGS, INC.

FORM 10-Q FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2018

EXHIBIT INDEX

(14)	Financial Code of Ethical Conduct between the Company, Chief Executive Officers and Financial Managers, adopted December 3, 2014, incorporated by reference to Exhibit 14 to the Company’s Form 10-Q filed on November 9, 2017.
(31)(a)	Certification of John D. Baker II.
(31)(b)	Certification of John D. Milton, Jr.
(31)(c)	Certification of John D. Klopfenstein.
(32)	Certification of Chief Executive Officer, Chief Financial Officer, and Chief Accounting Officer under Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS	XBRL Instance Document
101.XSD	XBRL Taxonomy Extension Schema
101.CAL	XBRL Taxonomy Extension Calculation Linkbase
101.DEF	XBRL Taxonomy Extension Definition Linkbase
101.LAB	XBRL Taxonomy Extension Label Linkbase
101.PRE	XBRL Taxonomy Extension Presentation Linkbase

CERTIFICATIONS Exhibit 31(a)

I, John D. Baker II, certify that:

I have reviewed this report on Form 10-Q of FRP Holdings, Inc.;

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

designed such disclosure controls and procedures, or caused such disclosure controls to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosures controls and procedures, as of the end of the period covered by this report based on such evaluation; and

disclosed in this report any changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial report; and

The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

all significant deficiencies in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 7, 2018 /s/John D. Baker II

Chief Executive Officer

CERTIFICATIONS Exhibit 31(b)

I, John D. Milton, Jr., certify that:

I have reviewed this report on Form 10-Q of FRP Holdings, Inc.;

any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 7, 2018 /s/John D. Milton, Jr.

Executive Vice President, Treasurer,

Secretary and Chief Financial Officer

CERTIFICATIONS Exhibit 31(c)

I, John D. Klopfenstein, certify that:

I have reviewed this report on Form 10-Q of FRP Holdings, Inc.;

any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 7, 2018 /s/John D. Klopfenstein

Controller and Chief Accounting Officer

Exhibit 32

CERTIFICATION UNDER SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned certifies that this periodic report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in this periodic report fairly presents, in all material respects, the financial condition and results of operations of FRP Holdings, Inc.

		FRP Holdings, Inc.


Date: November 7, 2018	By	/s/JOHN D. BAKER II
		John D. Baker II
		Chief Executive Officer
		(Principal Executive Officer)


	By	/s/JOHN D. MILTON, JR.
		John D. Milton, Jr.
		Executive Vice President, Treasurer,
		Secretary and Chief Financial Officer
		(Principal Financial Officer)


	By	/s/JOHN D. KLOPFENSTEIN
		John D. Klopfenstein
		Controller and Chief Accounting
		Officer (Principal Accounting Officer)

A signed original of this written statement required by Section 906 has been provided to FRP Holdings, Inc. and will be retained by FRP Holdings, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification accompanies the issuer’s Quarterly report on Form 10-Q and is not filed as provided in SEC Release Nos. 33-8212, 34-4751 and IC-25967, dated June 30, 2003.

Document and Entity Information	9 Months Ended
Document and Entity Information	Sep. 30, 2018 shares
Document And Entity Information
Entity Registrant Name	FRP HOLDINGS, INC.
Entity Central Index Key	0000844059
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding	10,076,524
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2018
Is Entity a smaller reporting company	true
Is Entity an emerging growth company	false

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Assets:
Land	$ 83,721	$ 87,235
Buildings and improvements	146,632	147,670
Projects under construction	6,131	1,764
Total investments in properties	236,484	236,669
Less accumulated depreciation and depletion	29,772	26,755
Net investments in properties	206,712	209,914
Real estate held for investment, at cost	7,176	7,176
Investments in joint ventures	25,090	13,406
Net real estate investments	238,978	230,496
Cash and cash equivalents	34,782	4,524
Cash held in escrow	34,270	333
Accounts receivable, net	738	615
Investments available for sale	191,288	0
Federal and state income taxes receivable	2,022	2,962
Unrealized rents	594	223
Deferred costs	942	2,708
Other assets	451	179
Assets of discontinued operations	3,194	176,694
Total assets	507,259	418,734
Liabilities:
Secured notes payable, current portion	0	125
Secured notes payable, less current portion	88,755	90,029
Accounts payable and accrued liabilities	2,829	2,081
Environmental remediation liability	100	2,037
Deferred revenue	32	107
Deferred income taxes	23,795	25,982
Deferred compensation	1,452	1,457
Tenant security deposits	53	54
Liabilities of discontinued operations	1,872	32,280
Total liabilities	118,888	154,152
Commitments and contingencies (Note 8)
Equity:
Common stock, $.10 par value; 25,000,000 shares authorized, 10,076,524 and 10,014,667 shares issued and outstanding, respectively	1,008	1,001
Capital in excess of par value	58,030	55,636
Retained earnings	310,620	186,855
Accumulated other comprehensive income (loss), net	(375)	38
Total shareholders' equity	369,283	243,530
Noncontrolling interest MRP	19,088	21,052
Total Equity	388,371	264,582
Total liabilities and shareholders' equity	$ 507,259	$ 418,734

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.10	$ 0.10
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued and outstanding	10,076,524	10,014,667

Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Consolidated Statements of Income - USD ($) $ in Thousands	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Revenues:
Rental revenue	$ 3,440	$ 3,102	$ 9,937	$ 4,609
Mining Royalty and rents	2,102	1,763	5,885	5,311
Revenue - reimbursements	200	170	548	469
Total revenues	5,742	5,035	16,370	10,389
Cost of operations:
Depreciation, depletion and amortization	1,821	2,804	6,350	3,303
Operating expenses	983	875	2,951	1,312
Environmental remediation	(465)	0	(465)	0
Property taxes	663	647	1,949	1,384
Management company indirect	550	351	1,366	962
Corporate expenses (Note 4 Related Party)	522	617	2,910	2,510
Total cost of operations	4,074	5,294	15,061	9,471
Total operating profit (loss)	1,668	(259)	1,309	918
Interest income	1,654	0	1,875	0
Interest expense	(768)	(783)	(2,418)	(783)
Equity in loss of joint ventures	(13)	(12)	(36)	(1,589)
Gain on remeasurement of investment in real estate partnership	0	60,196	0	60,196
Loss on investment land sold	(3)	0	(3)	0
Income before income taxes	2,538	59,142	727	58,742
Provision for income taxes	508	15,543	269	15,371
Income from continuing operations	2,030	43,599	458	43,371
Income (loss) from discontinued operations, net	(78)	1,585	122,109	4,969
Net income	1,952	45,184	122,567	48,340
Gain (loss) attributable to noncontrolling interest	(272)	19,793	(1,199)	19,793
Net income attributable to the Company	$ 2,224	$ 25,391	$ 123,766	$ 28,547
Basic earnings per common share
Income from continuing operations	$ 0.20	$ 4.36	$ 0.05	$ 4.35
Discontinued operations	(0.01)	0.16	12.17	0.50
Net income attributable to the Company	0.22	2.54	12.33	2.86
Diluted earnings per common share
Income from continuing operations	0.20	4.33	0.05	4.32
Discontinued operations	(0.01)	0.16	12.08	0.50
Net income attributable to the Company	$ 0.22	$ 2.52	$ 12.24	$ 2.84
Number of shares (in thousands) used in computing:
-basic earnings per common share	10,062	10,004	10,037	9,967
-diluted earnings per common share	10,135	10,066	10,110	10,035

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Income Statement [Abstract]
Net income	$ 1,952	$ 45,184	$ 122,567	$ 48,340
Unrealized loss on investments available for sale	(413)	0	(413)	0
Comprehensive income	1,539	45,184	122,154	48,340
Less: comprehensive income (loss) attributable to noncontrolling interests	(272)	19,793	(1,199)	19,793
Comprehensive income attributable to the Company	$ 1,811	$ 25,391	$ 123,353	$ 28,547

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities:
Net income	$ 122,567	$ 48,340
Adjustments to reconcile net income to net cash provided by operating activities:
Income from discontinued operations, net	(122,109)	(4,969)
Depreciation, depletion and amortization	6,597	3,403
Deferred income taxes	(2,187)	19,620
Equity in loss of joint ventures	36	1,589
Gain on remeasurement of investment in real estate partnership	0	(60,196)
Gain on sale of equipment	(19)	(15)
Stock-based compensation	1,169	588
Realized loss on available for sale investments	290	0
Net changes in operating assets and liabilities:
Accounts receivable	(123)	(102)
Deferred costs and other assets	(909)	473
Accounts payable and accrued liabilities	673	(346)
Income taxes payable and receivable	940	(2,739)
Other long-term liabilities	(1,943)	25
Net cash provided by operating activities of continuing operations	4,982	5,671
Net cash (used in) provided by operating activities of discontinued operations	(46,642)	9,650
Net cash (used in) provided by operating activities	(41,660)	15,321
Cash flows from investing activities:
Investments in properties	(5,729)	(2,492)
Investments in joint ventures	(7,160)	(621)
Purchases of investments available for sale	(313,306)	0
Proceeds from sales of investments available for sale	121,161	0
Proceeds from the sale of assets	77	16
Cash at consolidation of real estate partnership	0	2,295
Cash held in escrow	(33,937)	(15)
Net cash used in investing activities of continuing operations	(238,894)	(817)
Net cash provided by (used in) investing activities of discontinued operations	340,744	(10,103)
Net cash provided by (used in) investing activities	101,850	(10,920)
Cash flows from financing activities:
Distribution to noncontrolling interest	(765)	0
Decrease in bank overdrafts	0	(254)
Proceeds from long-term debt	0	43
Repayment of long-term debt	(1,552)	(166)
Payment on revolving credit facility	0	(754)
Debt issue costs	0	(21)
Repurchase of Company Stock	0	(74)
Exercise of employee stock options	1,231	2,127
Net cash (used in) provided by financing activities of continuing operations	(1,086)	901
Net cash used in financing activities of discontinued operations	(28,846)	(2,672)
Net cash used in financing activities	(29,932)	(1,771)
Net increase in cash and cash equivalents	30,258	2,630
Cash and cash equivalents at beginning of period	4,524	0
Cash and cash equivalents at end of the period	$ 34,782	$ 2,630

Description of Business and Basis of Presentation

9 Months Ended

Sep. 30, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation and Basis of Presentation

(1) Description of Business and Basis of Presentation.

Recently Issued Accounting Standards

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Recently Issued Accounting Standards

Business Segments

9 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Business Segments

Operating results and certain other financial data for the Company’s business segments are as follows (in thousands):

	Three Months ended						Nine Months ended
	September 30,						September 30,
	2018			2017			2018			2017
Revenues:
Asset management	$	568			559			1,717			1,710
Mining royalty lands		2,125			1,786			5,952			5,381
Land development and construction		330			323			944			931
RiverFront on the Anacostia		2,719			2,367			7,757			2,367
		5,742			5,035			16,370			10,389

Operating profit (loss):
Before corporate expenses:
Asset management	$	276			249			783			771
Mining royalty lands		1,961			1,667			5,497			4,993
Land development and construction		(139	)		(390	)		(1,146	)		(1,168	)
RiverFront on the Anacostia		92			(1,168	)		(915	)		(1,168	)
Operating profit before corporate expenses		2,190			358			4,219			3,428
Corporate expenses:
Allocated to asset management		(34	)		(27	)		(146	)		(118	)
Allocated to mining royalty lands		(28	)		(30	)		(157	)		(124	)
Allocated to land development and construction		(408	)		(210	)		(1,110	)		(935	)
Allocated to RiverFront on the Anacostia		(52	)		(27	)		(289	)		(27	)
Unallocated		—			(323	)		(1,208	)		(1,306	)
Total corporate expenses		(522	)		(617	)		(2,910	)		(2,510	)
	$	1,668			(259	)		1,309			918

Interest expense	$	768			783			2,418			783

Depreciation, depletion and amortization:
Asset management	$	145			125			405			385
Mining royalty lands		55			17			145			91
Land development and construction		57			98			171			263
RiverFront on the Anacostia		1,564			2,564			5,629			2,564
	$	1,821			2,804			6,350			3,303
Capital expenditures:
Asset management	$	17			131			184			162
Mining royalty lands		—			—			—			—
Land development and construction		4,268			292			5,578			1,999
RiverFront on the Anacostia		25			331			(33	)		331
	$	4,310			754			5,729			2,492

		September 30,	December 31,
Identifiable net assets		2018	2017

Asset management	$	10,687	2,960
Discontinued operations		3,194	176,694
Mining royalty lands		38,307	38,656
Land development and construction		51,801	46,684
Riverfront on the Anacostia		138,853	144,386
Investments available for sale		191,288	—
Cash items		69,052	4,524
Unallocated corporate assets		4,077	4,830
	$	507,259	418,734

Related Party Transactions

9 Months Ended

Sep. 30, 2018

Related Party Transactions

The consolidated statements of income reflect charges and/or allocation from Patriot for these services of $360,000 and $352,000 for the three months ended September 30, 2018 and 2017 and $1,089,000 and $1,229,000 for the nine months ended September 30, 2018 and 2017, respectively. Included in the charges above are amounts recognized for corporate executive stock-based compensation expense. These charges are reflected as part of corporate expenses.

Long-Term Debt

9 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Long-Term Debt

(5) Long-Term Debt. Long-term debt is summarized as follows (in thousands):

	September 30,		December 31,
	2018		2017
5.6% to 8% mortgage notes
due in installments through 2027	$	—		29,664
Riverfront permanent loan		88,755		88,653
	$	88,755		118,317
Less portion due within one year		—		4,463
	$	88,755		113,854

Earnings per Share

9 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Earnings per Share

(6) Earnings per Share. The following details the computations of the basic and diluted earnings per common share (in thousands, except per share amounts):

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Weighted average common shares
outstanding during the period
- shares used for basic
earnings per common share		10,062		10,004		10,037		9,967

Common shares issuable under
share based payment plans
which are potentially dilutive		73		62		73		68

Common shares used for diluted
earnings per common share		10,135		10,066		10,110		10,035

Net income attributable to the Company	$	2,224		25,391		123,766		28,547

Basic earnings per common share:
Basic	$	0.22		2.54		12.33		2.86
Diluted	$	0.22		2.52		12.24		2.84

Stock-Based Compensation Plans

9 Months Ended

Sep. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation Plans

The Company recorded the following stock compensation expense in its consolidated statements of income (in thousands):

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Stock option grants	$	17		33		486		143
Annual director stock award		—		—		683		445
	$	17		33		1,169		588

A summary of changes in outstanding options is presented below (in thousands, except share and per share amounts):

				Weighted		Weighted		Weighted
	Number			Average		Average		Average
	Of			Exercise		Remaining		Grant Date
Options	Shares			Price		Term (yrs)		Fair Value(000's)
Outstanding at
January 1, 2018		174,510		$	28.70		6.0	$	1,901
Granted		—		$	—			$	—
Exercised		(49,857	)	$	24.69			$	(495	)
Outstanding at
September 30, 2018		124,653		$	30.31		6.1	$	1,406
Exercisable at
September 30, 2018		108,188		$	30.34		6.0	$	1,182
Vested during
nine months ended
September 30, 2018		28,129						$	454

The aggregate intrinsic value of exercisable in-the-money options was $3,436,000 and the aggregate intrinsic value of outstanding in-the-money options was $3,963,000 based on the market closing price of $62.10 on September 28, 2018 less exercise prices.

Contingent liabilities

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Contingent liabilities

Concentrations

9 Months Ended

Sep. 30, 2018

Risks and Uncertainties [Abstract]

Concentrations

Fair Value Measurements

9 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Fair Value Measurements

Investment in Joint Ventures (Equity Method)

9 Months Ended

Sep. 30, 2018

Equity Method Investments and Joint Ventures [Abstract]

Investment in Joint Ventures (Equity Method)

(11) Investments in Joint Ventures (Equity Method).

Investments in Joint Ventures (in thousands):

									The
									Company's
						Total Assets	Net Loss		Share of Net
				Total		of the	of the		Loss of the
	Ownership			Investment		Partnership	Partnership		Partnership

As of September 30, 2018
Brooksville Quarry, LLC	50.00	%			7,477	14,404	(70	)	(35	)
BC FRP Realty, LLC	50.00	%			5,966	20,689	—		—
RiverFront Holdings II, LLC	80.00	%			11,646	20,793	(1	)	(1	)
Total			$		25,089	55,886	(71	)	(36	)

As of December 31, 2017
RiverFront Holdings I, LLC (1)	—		$		—	—	(2,019	)	(1,558	)
Brooksville Quarry, LLC	50.00	%			7,516	14,411	(80	)	(40	)
BC FRP Realty, LLC	50.00	%			5,890	15,027	—		—
Total			$		13,406	29,438	(2,099	)	(1,598	)

(1)

The Company consolidated this joint venture effective July 1, 2017 (see Footnote 12).

Income statements for the RiverFront Holdings I, LLC, prior to consolidation July 1, 2017 (in thousands):

	Six Months Ended
	June 30,
	2017
Revenues:
Rental Revenue		3,053
Revenue – Reimbursements		33
Total Revenues		3,086
Cost of operations:
Depreciation and amortization		1,958
Operating expenses		1,096
Property taxes		459
Total cost of operations		3,513
Total operating profit		(427	)
Interest expense		(1,592	)
Net loss of the Partnership		(2,019	)

The amount of consolidated accumulated deficit for these joint ventures was $(2,664,000) and $(2,638,000) as of September 30, 2018 and December 31, 2017 respectively.

Consolidation of RiverFront Investment Partners I, LLC.

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Consolidation of RiverFront Investment Partners I, LLC.

	As of July 1, 2017 (in thousands)
	Riverfront			Gain on Remeasure-
	Holdings I, LLC			ment		Revised

Land	$	7,220		$	21,107		$	28,327
Building and improvements, net		81,773			34,362			116,135
Value of leases in place		—			4,727			4,727
Cash		2,295			—			2,295
Cash held in escrow		171			—			171
Accounts receivable		40			—			40
Prepaid expenses		142			—			142
Total Assets	$	91,641		$	60,196		$	151,837

Long-term Debt	$	78,587		$	—		$	78,587
Amortizable debt costs		(852	)		—			(852	)
Other liabilities		905			—			905
Equity – FRP		8,583			39,727			48,310
Equity – MRP		4,418			20,469			24,887
Total Liabilities and Capital	$	91,641		$	60,196		$	151,837

Discontinued Operations

9 Months Ended

Sep. 30, 2018

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

(13) Discontinued Operations.

	THREE MONTHS ENDED						NINE MONTHS ENDED
	SEPTEMBER 30,						SEPTEMBER 30,
	2018			2017			2018			2017
Revenues:
Rental revenue	$	190			5,636			9,602			16,634
Revenue – reimbursements		29			1,383			2,274			3,713
Total Revenues		219			7,019			11,876			20,347

Cost of operations:
Depreciation, depletion and amortization		29			1,965			3,131			5,727
Operating expenses		52			1,004			1,694			2,570
Property taxes		19			754			1,266			2,208
Management company indirect		370			209			1,360			542
Corporate expenses		56			—			1,458			—
Total cost of operations		526			3,932			8,909			11,047

Total operating profit (loss)		(307	)		3,087			2,967			9,300

Interest expense		—			(468	)		(587	)		(1,087	)
Gain on sale of buildings		200			—			165,007			—

Income (loss) before income taxes		(107	)		2,619			167,387			8,213
Provision for (benefit from) income taxes		(29	)		1,034			45,278			3,244

Income (loss) from discontinued operations	$	(78	)		1,585			122,109			4,969

The components of the balance sheet are as follows (in thousands):

	September 30		December 31
Assets:	2018		2017
Real estate investments at cost:
Land	$	546		40,465
Buildings and improvements		3,315		186,657
Projects under construction		—		6,617
Total investments in properties		3,861		233,739
Less accumulated depreciation and depletion		2,353		68,049
Net investments in properties		1,508		165,690

Accounts receivable, net		1,020		405
Unrealized rents		284		4,088
Deferred costs		382		6,509
Other assets		—		2
Assets of discontinued operations	$	3,194		176,694

Liabilities:
Secured notes payable, current portion	$	—		23,825
Secured notes payable, less current portion		—		4,338
Accounts payable and accrued liabilities		249		2,289
Deferred revenue		59		967
Federal and state income taxes payable		1,527		—
Tenant security deposits		37		861
Liabilities of discontinued operations	$	1,872		32,280

Business Segments (Tables)

9 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Business segments (in thousands)

	Three Months ended						Nine Months ended
	September 30,						September 30,
	2018			2017			2018			2017
Revenues:
Asset management	$	568			559			1,717			1,710
Mining royalty lands		2,125			1,786			5,952			5,381
Land development and construction		330			323			944			931
RiverFront on the Anacostia		2,719			2,367			7,757			2,367
		5,742			5,035			16,370			10,389

Operating profit (loss):
Before corporate expenses:
Asset management	$	276			249			783			771
Mining royalty lands		1,961			1,667			5,497			4,993
Land development and construction		(139	)		(390	)		(1,146	)		(1,168	)
RiverFront on the Anacostia		92			(1,168	)		(915	)		(1,168	)
Operating profit before corporate expenses		2,190			358			4,219			3,428
Corporate expenses:
Allocated to asset management		(34	)		(27	)		(146	)		(118	)
Allocated to mining royalty lands		(28	)		(30	)		(157	)		(124	)
Allocated to land development and construction		(408	)		(210	)		(1,110	)		(935	)
Allocated to RiverFront on the Anacostia		(52	)		(27	)		(289	)		(27	)
Unallocated		—			(323	)		(1,208	)		(1,306	)
Total corporate expenses		(522	)		(617	)		(2,910	)		(2,510	)
	$	1,668			(259	)		1,309			918

Interest expense	$	768			783			2,418			783

Depreciation, depletion and amortization:
Asset management	$	145			125			405			385
Mining royalty lands		55			17			145			91
Land development and construction		57			98			171			263
RiverFront on the Anacostia		1,564			2,564			5,629			2,564
	$	1,821			2,804			6,350			3,303
Capital expenditures:
Asset management	$	17			131			184			162
Mining royalty lands		—			—			—			—
Land development and construction		4,268			292			5,578			1,999
RiverFront on the Anacostia		25			331			(33	)		331
	$	4,310			754			5,729			2,492

		September 30,	December 31,
Identifiable net assets		2018	2017

Asset management	$	10,687	2,960
Discontinued operations		3,194	176,694
Mining royalty lands		38,307	38,656
Land development and construction		51,801	46,684
Riverfront on the Anacostia		138,853	144,386
Investments available for sale		191,288	—
Cash items		69,052	4,524
Unallocated corporate assets		4,077	4,830
	$	507,259	418,734

Long-Term Debt (Tables)

9 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Long-term debt (in thousands)

	September 30,		December 31,
	2018		2017
5.6% to 8% mortgage notes
due in installments through 2027	$	—		29,664
Riverfront permanent loan		88,755		88,653
	$	88,755		118,317
Less portion due within one year		—		4,463
	$	88,755		113,854

Earnings per Share (Tables)

9 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Earnings per share (in thousands, except per share amounts)

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Weighted average common shares
outstanding during the period
- shares used for basic
earnings per common share		10,062		10,004		10,037		9,967

Common shares issuable under
share based payment plans
which are potentially dilutive		73		62		73		68

Common shares used for diluted
earnings per common share		10,135		10,066		10,110		10,035

Net income attributable to the Company	$	2,224		25,391		123,766		28,547

Basic earnings per common share:
Basic	$	0.22		2.54		12.33		2.86
Diluted	$	0.22		2.52		12.24		2.84

Stock-Based Compensation Plans (Tables)

9 Months Ended

Sep. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock Compensation Expense (in thousands

	Three Months ended				Nine Months ended
	September 30,				September 30,
	2018		2017		2018		2017
Stock option grants	$	17		33		486		143
Annual director stock award		—		—		683		445
	$	17		33		1,169		588

Summary of Stock Activity (in thousands, except share and per share amounts)

				Weighted		Weighted		Weighted
	Number			Average		Average		Average
	Of			Exercise		Remaining		Grant Date
Options	Shares			Price		Term (yrs)		Fair Value(000's)
Outstanding at
January 1, 2018		174,510		$	28.70		6.0	$	1,901
Granted		—		$	—			$	—
Exercised		(49,857	)	$	24.69			$	(495	)
Outstanding at
September 30, 2018		124,653		$	30.31		6.1	$	1,406
Exercisable at
September 30, 2018		108,188		$	30.34		6.0	$	1,182
Vested during
nine months ended
September 30, 2018		28,129						$	454

Investment in Joint Ventures (Tables)

9 Months Ended

Sep. 30, 2018

Equity Method Investments and Joint Ventures [Abstract]

Investments in Joint Ventures (in thousands)

									The
									Company's
						Total Assets	Net Loss		Share of Net
				Total		of the	of the		Loss of the
	Ownership			Investment		Partnership	Partnership		Partnership

As of September 30, 2018
Brooksville Quarry, LLC	50.00	%			7,477	14,404	(70	)	(35	)
BC FRP Realty, LLC	50.00	%			5,966	20,689	—		—
RiverFront Holdings II, LLC	80.00	%			11,646	20,793	(1	)	(1	)
Total			$		25,089	55,886	(71	)	(36	)

As of December 31, 2017
RiverFront Holdings I, LLC (1)	—		$		—	—	(2,019	)	(1,558	)
Brooksville Quarry, LLC	50.00	%			7,516	14,411	(80	)	(40	)
BC FRP Realty, LLC	50.00	%			5,890	15,027	—		—
Total			$		13,406	29,438	(2,099	)	(1,598	)

Income statements for Riverfront Holdings I, LLC (in thousands)

	Six Months Ended
	June 30,
	2017
Revenues:
Rental Revenue		3,053
Revenue – Reimbursements		33
Total Revenues		3,086
Cost of operations:
Depreciation and amortization		1,958
Operating expenses		1,096
Property taxes		459
Total cost of operations		3,513
Total operating profit		(427	)
Interest expense		(1,592	)
Net loss of the Partnership		(2,019	)

Consolidation of RiverFront Investment Partners I, LLC. (Tables)

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

RiverFront remeasurement balance sheet

	As of July 1, 2017
	Riverfront			Gain on Remeasure-
	Holdings I, LLC			ment		Revised

Land	$	7,220		$	21,107		$	28,327
Building and improvements, net		81,773			34,362			116,135
Value of leases in place		—			4,727			4,727
Cash		2,295			—			2,295
Cash held in escrow		171			—			171
Accounts receivable		40			—			40
Prepaid expenses		142			—			142
Total Assets	$	91,641		$	60,196		$	151,837

Long-term Debt	$	78,587		$	—		$	78,587
Amortizable debt costs		(852	)		—			(852	)
Other liabilities		905			—			905
Equity – FRP		8,583			39,727			48,310
Equity - MRP		4,418			20,469			24,887
Total Liabilities and Capital	$	91,641		$	60,196		$	151,837

Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2018

Discontinued Operations and Disposal Groups [Abstract]

Discontinued operations results of operations

	THREE MONTHS ENDED						NINE MONTHS ENDED
	SEPTEMBER 30,						SEPTEMBER 30,
	2018			2017			2018			2017
Revenues:
Rental revenue	$	190			5,636			9,602			16,634
Revenue – reimbursements		29			1,383			2,274			3,713
Total Revenues		219			7,019			11,876			20,347

Cost of operations:
Depreciation, depletion and amortization		29			1,965			3,131			5,727
Operating expenses		52			1,004			1,694			2,570
Property taxes		19			754			1,266			2,208
Management company indirect		370			209			1,360			542
Corporate expenses		56			—			1,458			—
Total cost of operations		526			3,932			8,909			11,047

Total operating profit (loss)		(307	)		3,087			2,967			9,300

Interest expense		—			(468	)		(587	)		(1,087	)
Gain on sale of buildings		200			—			165,007			—

Income (loss) before income taxes		(107	)		2,619			167,387			8,213
Provision for (benefit from) income taxes		(29	)		1,034			45,278			3,244

Income (loss) from discontinued operations	$	(78	)		1,585			122,109			4,969

Discontinued operations balance sheet components

	September 30		December 31
Assets:	2018		2017
Real estate investments at cost:
Land	$	546		40,465
Buildings and improvements		3,315		186,657
Projects under construction		—		6,617
Total investments in properties		3,861		233,739
Less accumulated depreciation and depletion		2,353		68,049
Net investments in properties		1,508		165,690

Accounts receivable, net		1,020		405
Unrealized rents		284		4,088
Deferred costs		382		6,509
Other assets		—		2
Assets of discontinued operations	$	3,194		176,694

Liabilities:
Secured notes payable, current portion	$	—		23,825
Secured notes payable, less current portion		—		4,338
Accounts payable and accrued liabilities		249		2,289
Deferred revenue		59		967
Federal and state income taxes payable		1,527		—
Tenant security deposits		37		861
Liabilities of discontinued operations	$	1,872		32,280

Business Segments - Business segments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Jun. 30, 2017
Segment Reporting Information [Line Items]
Revenues	$ 5,742	$ 5,035	$ 16,370	$ 10,389
Operating profit	1,668	(259)	1,309	918
Interest expense	768	783	2,418	783
Depreciation, depletion and amortization	1,821	2,804	6,350	3,303
Cash items	69,052		69,052		$ 4,524
Total identifiable net assets	507,259		507,259		418,734
Investments available for sale	191,288		191,288		0
Unallocated
Segment Reporting Information [Line Items]
Corporate expenses	0	(323)	(1,208)	(1,306)
Discontinued Operations, Disposed of by Sale [Member]
Segment Reporting Information [Line Items]
Revenues	219	7,019	11,876	20,347
Operating profit	(307)	3,087	2,967	9,300
Interest expense	0	468	587	1,087
Depreciation, depletion and amortization	29	1,965	3,131	5,727
Total identifiable net assets	3,194		3,194		176,694
Asset Management
Segment Reporting Information [Line Items]
Revenues	568	559	1,717	1,710
Operating profit (loss) before corporate expenses	276	249	783	771
Corporate expenses	(34)	(27)	(146)	(118)
Capital expenditures	17	131	184	162
Depreciation, depletion and amortization	145	125	405	385
Total identifiable net assets	10,687		10,687		2,960
Mining royalty lands
Segment Reporting Information [Line Items]
Revenues	2,125	1,786	5,952	5,381
Operating profit (loss) before corporate expenses	1,961	1,667	5,497	4,993
Corporate expenses	(28)	(30)	(157)	(124)
Capital expenditures	0	0	0	0
Depreciation, depletion and amortization	55	17	145	91
Total identifiable net assets	38,307		38,307		38,656
Land Development and Construction
Segment Reporting Information [Line Items]
Revenues	330	323	944	931
Operating profit (loss) before corporate expenses	(139)	(390)	(1,146)	(1,168)
Corporate expenses	(408)	(210)	(1,110)	(935)
Capital expenditures	4,268	292	5,578	1,999
Depreciation, depletion and amortization	57	98	171	263
Total identifiable net assets	51,801		51,801		46,684
RiverFront on the Anacostia
Segment Reporting Information [Line Items]
Revenues	2,719	2,367	7,757	2,367
Operating profit (loss) before corporate expenses	92	(1,168)	(915)	(1,168)
Corporate expenses	(52)	(27)	(289)	(27)
Capital expenditures	25	331	(33)	331
Depreciation, depletion and amortization	1,564	2,564	5,629	2,564
Total identifiable net assets	138,853		138,853		$ 144,386	$ 151,837
Corporate
Segment Reporting Information [Line Items]
Total identifiable net assets	4,077	4,830	4,077	4,830
Total Segments
Segment Reporting Information [Line Items]
Revenues	5,742	5,035	16,370	10,389
Operating profit (loss) before corporate expenses	2,190	358	4,219	3,428
Operating profit	1,668	(259)	1,309	918
Corporate expenses	(522)	(617)	(2,910)	(2,510)
Interest expense	768	783	2,418	783
Capital expenditures	4,310	754	5,729	2,492
Depreciation, depletion and amortization	$ 1,821	$ 2,804	$ 6,350	$ 3,303

Long-term debt (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Debt Disclosure [Abstract]
5.6% to 8% mortgage notes due in installments through 2027	$ 0	$ 29,664
Riverfront permanent loan	88,755	88,653
Total debt	88,755	118,317
Less portion due within one year	0	4,463
Long-term debt	$ 88,755	$ 113,854

Earnings per share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share, Basic and Diluted [Abstract]
Weighted average common shares outstanding during the period - shares used for basic earnings per common share	10,062	10,004	10,037	9,967
Common shares issuable under share based payment plans which are potentially dilutive	73	62	73	68
Common shares used for diluted earnings per common share	10,135	10,066	10,110	10,035
Net income attributable to the Company	$ 2,224	$ 25,391	$ 123,766	$ 28,547
Earnings per common share:
Basic	$ 0.22	$ 2.54	$ 12.33	$ 2.86
Diluted	$ 0.22	$ 2.52	$ 12.24	$ 2.84

Summary of Stock Activity (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2018 USD ($) Years $ / shares shares	Dec. 31, 2017 USD ($) Years $ / shares shares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Options outstanding \| shares	124,653	174,510
Options granted \| shares	0
Options exercised \| shares	(49,857)
Options outstanding weighted average exercise price \| $ / shares	$ 30.31	$ 28.70
Options outstanding weighted average exercise price - Granted \| $ / shares	0
Options outstanding weighted average exercise price - Exercised \| $ / shares	$ 24.69
Options outstanding weighted average remaining term \| Years	6.1	6.0
Options outstanding weighted average grant date fair value \| $	$ 1,406	$ 1,901
Options granted weighted average grant date fair value \| $	0
Options exercised weighted average grant date fair value \| $	$ (495)
Options exercisable at September 30, 2018 \| shares	108,188
Options exerciseable weighted average exercise price \| $ / shares	$ 30.34
Options exerciseable weighted average remaining term \| Years	6.0
Options vested weighted average grant date fair value \| $	$ 454
Options vested during nine months ended September 30, 2018 \| shares	28,129
Options exercisable weighted average grant date fair value \| $	$ 1,182

Stock Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock option grants	$ 17	$ 33	$ 486	$ 143
Annual director stock award	0	0	683	445
Stock based compensation expense	$ 17	$ 33	$ 1,169	$ 588

Investments in Joint Ventures (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Mar. 31, 2016	Jun. 30, 2013	Oct. 04, 2006
Company's share of Net Loss of the Partnership	$ (13)	$ (12)		$ (36)	$ (1,589)
Revenue - Reimbursements	200	170		548	469
Total revenues	5,742	5,035		16,370	10,389
Operating expenses	983	875		2,951	1,312
Property taxes	663	647		1,949	1,384
Total cost of operations	4,074	5,294		15,061	9,471
Total operating profit	1,668	(259)		1,309	918
Interest expense	$ (768)	$ (783)		$ (2,418)	$ (783)
Brooksville Quarry, LLC
Ownership percent	50.00%			50.00%		50.00%			50.00%
Total Investment	$ 7,477			$ 7,477		$ 7,516
Total Assets of the Partnership	$ 14,404			14,404		14,411
Net Loss of the Partnership				(70)		(80)
Company's share of Net Loss of the Partnership				$ (35)		$ (40)
BC FRP Realty, LLC
Ownership percent	50.00%			50.00%		50.00%	50.00%
Total Investment	$ 5,966			$ 5,966		$ 5,890
Total Assets of the Partnership	$ 20,689			20,689		15,027
Net Loss of the Partnership				0		0
Company's share of Net Loss of the Partnership				$ 0		$ 0
RiverFront Holdings II, LLC
Ownership percent	80.00%			80.00%
Total Investment	$ 11,646			$ 11,646
Total Assets of the Partnership	20,793			20,793
Net Loss of the Partnership				(1)
Company's share of Net Loss of the Partnership				(1)
Riverfront Holdings I, LLC
Ownership percent						0.00%		77.14%
Total Investment			$ 8,583			$ 0
Total Assets of the Partnership						0
Net Loss of the Partnership						(2,019)
Company's share of Net Loss of the Partnership						(1,558)
Rental revenue			3,053
Revenue - Reimbursements			33
Total revenues			3,086
Depreciation and amortization			1,958
Operating expenses			1,096
Property taxes			459
Total cost of operations			3,513
Total operating profit			(427)
Interest expense			(1,592)
Net loss of the Partnership			$ (2,019)
Joint Ventures
Total Investment	25,089			25,089		13,406
Total Assets of the Partnership	$ 55,886			55,886		29,438
Net Loss of the Partnership				(71)		(2,099)
Company's share of Net Loss of the Partnership				$ (36)		$ (1,598)

Consolidation of RiverFront Investment Partners I, LLC. - RiverFront remeasurement balance sheet (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Dec. 31, 2016
Land	$ 83,721	$ 87,235
Cash	34,782	4,524	$ 2,630		$ 0
Cash held in escrow	34,270	333
Accounts receivable	738	615
Total Assets	507,259	418,734
Long-term Debt	0	29,664
Total Liabilities and Capital	507,259	418,734
Gain on remeasurement
Land				$ 21,107
Building and improvements, net				34,362
Value of leases in place				4,727
Cash				0
Cash held in escrow				0
Accounts receivable				0
Prepaid expenses				0
Total Assets				60,196
Long-term Debt				0
Amortizable debt costs				0
Other liabilities				0
Equity – FRP				39,727
Equity - MRP				20,469
Total Liabilities and Capital				60,196
RiverFront on the Anacostia
Land				28,327
Building and improvements, net				116,135
Value of leases in place				4,727
Cash				2,295
Cash held in escrow				171
Accounts receivable				40
Prepaid expenses				142
Total Assets	$ 138,853	144,386		151,837
Long-term Debt				78,587
Amortizable debt costs				(852)
Other liabilities				905
Equity – FRP				48,310
Equity - MRP				24,887
Total Liabilities and Capital				151,837
Riverfront Holdings I, LLC
Land				7,220
Building and improvements, net				81,773
Value of leases in place				0
Cash				2,295
Cash held in escrow				171
Accounts receivable				40
Prepaid expenses				142
Total Assets				91,641
Long-term Debt				78,587
Amortizable debt costs				(852)
Other liabilities				905
Equity – FRP		$ 0		8,583
Equity - MRP				4,418
Total Liabilities and Capital				$ 91,641

Discontinued Operations - Discontinued operations results of operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Rental revenue	$ 3,440	$ 3,102	$ 9,937	$ 4,609
Revenue reimbursements	200	170	548	469
Total Revenues	5,742	5,035	16,370	10,389
Depreciation, depletion and amortization	1,821	2,804	6,350	3,303
Operating expenses	983	875	2,951	1,312
Property taxes	663	647	1,949	1,384
Management company indirect	550	351	1,366	962
Corporate expenses	522	617	2,910	2,510
Total cost of operations	4,074	5,294	15,061	9,471
Total operating profit (loss)	1,668	(259)	1,309	918
Interest expense	(768)	(783)	(2,418)	(783)
Income (loss) before income taxes	2,538	59,142	727	58,742
Provision for (benefit from) income taxes	508	15,543	269	15,371
Income (loss) from discontinued operations	(78)	1,585	122,109	4,969
Discontinued Operations, Disposed of by Sale [Member]
Rental revenue	190	5,636	9,602	16,634
Revenue reimbursements	29	1,383	2,274	3,713
Total Revenues	219	7,019	11,876	20,347
Depreciation, depletion and amortization	29	1,965	3,131	5,727
Operating expenses	52	1,004	1,694	2,570
Property taxes	19	754	1,266	2,208
Management company indirect	370	209	1,360	542
Corporate expenses	56	0	1,458	0
Total cost of operations	526	3,932	8,909	11,047
Total operating profit (loss)	(307)	3,087	2,967	9,300
Interest expense	0	(468)	(587)	(1,087)
Gain on sale of buildings	200	0	165,007	0
Income (loss) before income taxes	(107)	2,619	167,387	8,213
Provision for (benefit from) income taxes	(29)	1,034	45,278	3,244
Income (loss) from discontinued operations	$ (78)	$ 1,585	$ 122,109	$ 4,969

Discontinued Operations - Discontinued operations balance sheet components (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Land	$ 83,721	$ 87,235
Buildings and improvements	146,632	147,670
Projects under construction	6,131	1,764
Total investments in properties	236,484	236,669
Less accumulated depreciation and depletion	29,772	26,755
Net investments in properties	206,712	209,914
Accounts receivable, net	738	615
Unrealized rents	594	223
Deferred costs	942	2,708
Other assets	451	179
Assets of discontinued operations	3,194	176,694
Secured notes payable, current portion	0	125
Secured notes payable, less current portion	88,755	90,029
Accounts payable and accrued liabilities	2,829	2,081
Deferred revenue	32	107
Tenant security deposits	53	54
Liabilities of discontinued operations	1,872	32,280
Discontinued Operations, Disposed of by Sale [Member]
Land	546	40,465
Buildings and improvements	3,315	186,657
Projects under construction	0	6,617
Total investments in properties	3,861	233,739
Less accumulated depreciation and depletion	2,353	68,049
Net investments in properties	1,508	165,690
Accounts receivable, net	1,020	405
Unrealized rents	284	4,088
Deferred costs	382	6,509
Other assets	0	2
Assets of discontinued operations	3,194	176,694
Secured notes payable, current portion	0	23,825
Secured notes payable, less current portion	0	4,338
Accounts payable and accrued liabilities	249	2,289
Deferred revenue	59	967
Federal and state income taxes payable	1,527	0
Tenant security deposits	37	861
Liabilities of discontinued operations	$ 1,872	$ 32,280

Description of Business and Basis of Presentation (Details Narrative) $ in Thousands	3 Months Ended
	Jun. 30, 2018 USD ($)	Sep. 30, 2018 integer	May 21, 2018 USD ($) integer
Warehouse properties		3
Discontinued Operations, Disposed of by Sale [Member]
Warehouse properties			40
Land parcels			3
Sales price \| $	$ 347,200
Excluded [Member]
Warehouse properties			1
Property value \| $			$ 11,700

Business Segments (Details Narrative) $ in Thousands	3 Months Ended	9 Months Ended
Business Segments (Details Narrative) $ in Thousands	Jun. 30, 2018 USD ($)	Sep. 30, 2018 a Segments integer	May 21, 2018 USD ($) integer	Jun. 30, 2017
Reportable business segments \| Segments		4
Warehouse properties		3
Discontinued Operations, Disposed of by Sale [Member]
Warehouse properties			40
Land parcels			3
Sales price \| $	$ 347,200
Excluded [Member]
Warehouse properties			1
Property value \| $			$ 11,700
Mining royalty lands
Mining royalty lands acres \| a		15,000
Brooksville Quarry, LLC
Mining royalty lands acres \| a		4,280
RiverFront on the Anacostia
Stabilization percent leased and occupied				90.00%

Related Party Transactions (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Related Party Transactions [Abstract]
Charges/allocation related to Transition Services Agreement with Patriot	$ 360	$ 352	$ 1,089	$ 1,229

Long-Term Debt (Details Narrative) - USD ($) $ in Thousands	3 Months Ended				9 Months Ended		12 Months Ended
Long-Term Debt (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017	Sep. 30, 2017	Mar. 30, 2015	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Nov. 17, 2017	Jan. 30, 2015	Aug. 07, 2014
Mortgage interest description							5.6% to 8% mortgage notes due in installments through 2027
Capitalized interest	$ 243		$ 210		$ 742	$ 812
Prepayment penalty					3,420
Riverfront permanent loan	88,755	$ 88,653			$ 88,755		$ 88,653
Dock 79 Construction loan
RiverFront construction loan										$ 65,000
Interest rate										2.35%
Dock 79 EB5 Financing
RiverFront EB5 secondary financing										$ 17,000
Interest rate										4.95%
Dock 79 EagleBank
Term		120 months
Riverfront permanent loan								$ 90,000
Interest rate								4.125%
Payment terms		During the first 48 months of the loan term, the Joint Venture will make monthly payments of interest only, and thereafter, make monthly payments of principal and interest in equal installments based upon a 30-year amortization period.
Wells Fargo Bank, N.A.
Term				5 years
Revolving Credit Agreement									$ 20,000
Sublimit for standby letters of credit									$ 10,000
Commitment fee					0.15%
Letters of credit issued	1,930				$ 1,930
Borrowed under the revolver	0				0
Available for borrowing	18,070				18,070
Tangible net worth covenant	110,000				110,000
Available to pay dividends or repurchase stock	$ 168,000				$ 168,000
Interest rate over LIBOR					1.40%
Covenant compliance					all

Earnings per Share (Details Narrative) - shares	3 Months Ended		9 Months Ended
Earnings per Share (Details Narrative) - shares	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share [Abstract]
Anti-dilutive shares	0	13,610	0	22,422

Stock-Based Compensation Plans (Details Narrative) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2018 USD ($) Years shares	Dec. 31, 2017 USD ($)	Sep. 28, 2018 $ / shares
Number of stock option plans	2
Options expire from date of grant	10 years
Exercisable installments	Immediate or 20% or 25%
Shares available for future issuance \| shares	527,662
Aggregate intrinsic value of exercisable in-the-money options	$ 3,436
Aggregate intrinsic value of outstanding in-the-money options	3,963
Market close price \| $ / shares			$ 62.10
Total unrecognized compensation cost of options granted but not yet vested	$ 97
Weighted average period for compensation to be recognized \| Years	2.2
Gains realized by option holders	$ 1,866
Expected minimum volatility	32.00%
Expected maximum volatility	43.00%
Risk-free interest rate minimum	0.60%
Risk-free interest rate maximum	4.20%
Expected life minimum \| Years	3
Expecited life maximum \| Years	7
Dividend yield	0.00%
Modification stock compensation expense		$ 41
Stock compensation expense for the vesting of option grants due to asset disposition	$ 402
Patriot Transportation
Gains realized by option holders	$ 646
Modification stock compensation expense		$ 150

Contingent Liabilities (Details Narrative) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2016	Sep. 30, 2018	Sep. 30, 2017
Contingent Liabilities
Environmental remediation expense (recovery)	$ (465)	$ 0	$ 2,000	$ (465)	$ 0

Concentrations (Details Narrative) $ in Thousands	9 Months Ended
Concentrations (Details Narrative) $ in Thousands	Sep. 30, 2018 USD ($) integer
Tenants leasing mining locations \| integer	4
Mining Top Customer
Customer revenue concentration	17.00%
Accounts receivable concentration \| $	$ 284

Fair Value Measurements (Details Narrative) $ in Thousands	9 Months Ended
Fair Value Measurements (Details Narrative) $ in Thousands	Sep. 30, 2018 USD ($) integer	Dec. 31, 2017 USD ($)
Number of corporate bonds \| integer	78
Unrealized loss on corporate bonds	$ 567
Amortized cost of investments	191,853
Carrying amount of other long-term debt	88,755	$ 118,317
Fair value of other long-term debt	85,642	$ 122,271
Fair Value, Measurements, Recurring [Member]
Assets measured at fair value	$ 191,288

Investments in Joint Ventures (Details Narrative) $ in Thousands	1 Months Ended	3 Months Ended				9 Months Ended		12 Months Ended
	May 31, 2016 USD ($)	Sep. 30, 2018 USD ($) integer	Sep. 30, 2017 USD ($)	Mar. 31, 2016 USD ($) a ft²	Dec. 31, 2006 USD ($)	Sep. 30, 2018 USD ($) integer	Sep. 30, 2017 USD ($)	Dec. 31, 2017 USD ($)	Sep. 28, 2017 USD ($) integer	Oct. 04, 2006 a
Company's share of the loss of the joint venture		$ 13	$ 12			$ 36	$ 1,589
Joint Venture consolidated retained earnings		(2,664)				(2,664)		$ (2,638)
Outstanding balance		$ 0				0		$ 29,664
Cash contribution						$ 7,160	$ 621
Construction loan description								5.6% to 8% mortgage notes due in installments through 2027
Buildings \| integer		3				3
Eagle BankRiverFront Holdings II, OOC
Interest rate over LIBOR						3.25%
Construction loan description						<p class="MsoNormal" style="text-align: justify">.Â The loan from Eagle Bank allows draws of up to $71 million during construction at an interest rate of 3.25% over libor. The loan is interest only and matures in 36 months with a 12 month extension assuming completion of construction and at least one occupancy.Â There is a provision for an additional 72 months extension with a 30 year amortization of principal at 2.15% over 7 year US Treasury Constant if NOI is sufficient for a 9% yield.<p></p></p>
Vulcan
Joint venture percentage stake										50.00%
Acres conributed \| a										553
Vulcan leasehold interest \| a										3,443
FRP additional contribution for land					$ 3,018
Additional land acquired \| a										288
St Johns Properties JV St Johns
Value of land contributed				$ 3,240
Joint venture percentage stake				50.00%
Acres conributed \| a				10
MRP
Other ownership capital contribution		$ 5,600				$ 5,600
Development fee						$ 725
Brooksville Quarry, LLC
Land acreage \| a										4,300
Joint venture percentage stake		50.00%				50.00%		50.00%		50.00%
Acres conributed \| a										3,443
Book value of land contribution					2,548
FRP additional contribution for land					$ 3,018
Additional land acquired \| a										288
Company's share of the loss of the joint venture						$ 35		$ 40
BC FRP Realty, LLC
Square feet \| ft²				329,000
Value of land contributed				$ 7,500
Joint venture percentage stake		50.00%		50.00%		50.00%		50.00%
Distribution received	$ 2,130
Acres conributed \| a				25
Company's share of the loss of the joint venture						$ 0		$ 0
Construction financing through September 15, 2022									$ 17,250
Interest rate over LIBOR						2.50%
Outstanding balance		$ 8,374				$ 8,374
Buildings \| integer									4
RiverFront Holdings II, LLC
Value of land contributed						$ 16,300
Joint venture percentage stake		80.00%				80.00%
Book value of land contribution						$ 4,600
Company's share of the loss of the joint venture						1
Cash contribution						6,200
Preferred equity financing						13,750
Preferred equity financing advanced						$ 690
Preferred equity financing interest rate						7.50%

Consolidation of RiverFront Investment Partners I, LLC. (Details Narrative) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	Jun. 30, 2013 USD ($)	Sep. 30, 2018 USD ($)	Sep. 30, 2017 USD ($)	Sep. 30, 2018 USD ($)	Sep. 30, 2017 USD ($)	Dec. 31, 2017 USD ($)	Jun. 30, 2017	Mar. 30, 2012 a ft²
Gain on remeasurement of investment of real estate partnership		$ 0	$ 60,196	$ 0	$ 60,196	$ 60,196
Noncontrolling Interest
Gain on remeasurement of investment of real estate partnership						$ 20,469
MRP
Capital contribution	$ 5,553
Riverfront Holdings I, LLC
Square feet \| ft²								300,000
Retail square feet \| ft²								18,000
Area of land to develop \| a								2
Land acreage \| a								5.82
Value of land contributed	13,500
Book value of land contribution	6,165
Cash contributed	$ 4,866
Joint venture percentage stake	77.14%					0.00%
RiverFront on the Anacostia
Joint venture percentage stake							66.00%
Stabilization percent leased and occupied							90.00%

Discontinued Operations (Details Narrative) $ in Thousands	3 Months Ended
Discontinued Operations (Details Narrative) $ in Thousands	Jun. 30, 2018 USD ($)	Sep. 30, 2018 integer	May 21, 2018 USD ($) integer
Warehouse properties		3
Discontinued Operations, Disposed of by Sale [Member]
Warehouse properties			40
Land parcels			3
Sales price \| $	$ 347,200
Excluded [Member]
Warehouse properties			1
Property value \| $			$ 11,700