Annual report pursuant to Section 13 and 15(d)

Discontinued Operations

v2.4.0.6
Discontinued Operations
 12 Months Ended
Dec. 31, 2012
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
Discontinued Operations
On December 19, 2012, the Company completed the contribution of its equity interests in its wholly owned subsidiary, Two Harbors Property Investment LLC, to Silver Bay. Two Harbors Property Investment LLC previously housed the Company's portfolio of single-family rental properties. As the Company will not have any significant continuing involvement in Two Harbors Property Investment LLC, all of the associated operating results were removed from continuing operations and are presented separately as discontinued operations for the years ended December 31, 2012 and 2011.
Summarized financial information for the discontinued operations are presented below.
 
Year Ended
 
December 31,
 
2012
 
2011
 
2010
Income:
  

 
   

 
   

Gain on contribution of entity
$
10,641

 
$
—

 
$
—

Real estate related revenues
2,730

 
—

 
—

Total income
13,371

 
—

 
—

Expenses:
 
 
 
 
 
Management fees
1,579

 
—

 
—

Real estate related expenses
4,731

 
—

 
—

Other operating expenses
2,571

 
89

 
—

Total expenses
8,881

 
89

 
—

Income (loss) from discontinued operations
$
4,490

 
$
(89
)
 
$
—



The excess of the fair value of Silver Bay common stock received over the carrying value of the investment in real estate through Two Harbors Property Investment LLC and contributed by the Company has been recognized as a gain on contribution of entity.