| Business and Significant Accounting Policies | NOTE 1 – BUSINESS AND SIGNIFICANT
ACCOUNTING POLICIES Description of Business Portsmouth’s
primary business is conducted through its general and limited partnership interest in Justice Investors Limited Partnership, a
California limited partnership (“Justice” or the “Partnership”). As of June 30, 2020, Santa Fe Financial Corporation
(“Santa Fe”), a public company, owns approximately 68.8% of the outstanding common shares of Portsmouth Square, Inc.
(“Portsmouth” or the “Company”). Santa Fe is an 83.7%-owned subsidiary of The InterGroup Corporation (“InterGroup”),
a public company. InterGroup also directly owns approximately 13.7% of the common stock of Portsmouth. Justice, through its subsidiaries Justice Operating
Company, LLC (“Operating”) and Justice Mezzanine Company, LLC (“Mezzanine”) owns and operates a 544-room
hotel property located at 750 Kearny Street, San Francisco California, known as the Hilton San Francisco Financial District (the
“Hotel”) and related facilities including a five-level underground parking garage. Mezzanine is a wholly owned subsidiary of the
Partnership; Operating is a wholly owned subsidiary of Mezzanine. Mezzanine is the borrower under certain mezzanine indebtedness
of Justice, and in December 2013, the Partnership conveyed ownership of the Hotel to Operating. The Hotel is operated by the partnership
as a full-service Hilton brand hotel pursuant to a Franchise License Agreement with HLT Franchise Holding LLC (“Hilton”)
through January 31, 2030. Justice entered into a Hotel management agreement
(“HMA”) with Interstate Management Company, LLC (“Interstate”) to manage the Hotel, along with its five-level
parking garage, with an effective takeover date of February 3, 2017. The term of the management agreement is for an initial period
of ten years commencing on the takeover date and automatically renews for successive one (1) year periods, to not exceed five years
in the aggregate, subject to certain conditions. Under the terms of the HMA, base management fee payable to Interstate shall be
one and seven-tenths percent (1.70%) of total Hotel revenue. The HMA also provides for Interstate to advance a key money incentive
fee to the Hotel for capital improvements in the form of a self-exhausting, interest free note payable in the amount of $2,000,000
in a separate key money agreement. As of June 30, 2020 and 2019, balance of the key money including accrued interests are $1,009,000
and $2,049,000, respectively, and are included in restricted cash in the consolidated balance sheets. As of June 30, 2020 and 2019,
balance of the unamortized portion of the key money are $1,646,000 and $1,896,000, respectively, and are included in the related
party notes payable in the consolidated balance sheets. On October 25, 2019, Interstate merged with Aimbridge Hospitality, North
America’s largest independent hotel management firm. With the completion of the merger, the newly combined company will be
positioned under the Aimbridge Hospitality name in the Americas. Principles of Consolidation The consolidated financial statements include
the accounts of the Company and Justice. All significant inter-company transactions and balances have been eliminated. Investment in Hotel, Net Property and equipment are stated at cost.
Building improvements are depreciated on a straight-line basis over their useful lives ranging from 3 to 39 years. Furniture, fixtures,
and equipment are depreciated on a straight-line basis over their useful lives ranging from 3 to 7 years. Repairs and maintenance are charged to expense
as incurred. Costs of significant renewals and improvements are capitalized and depreciated over the shorter of its remaining estimated
useful life or life of the asset. The cost of assets sold or retired and the related accumulated depreciation are removed from
the accounts; any resulting gain or loss is included in other income (expenses). The Company reviews property and equipment
for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable
in accordance with generally accepted accounting principles (“GAAP”). If the carrying amount of the asset, including
any intangible assets associated with that asset, exceeds its estimated undiscounted net cash flow, before interest, the Partnership
will recognize an impairment loss equal to the difference between the assets’ carrying amount and its estimated fair value.
If impairment is recognized, the reduced carrying amount of the asset will be accounted for as its new cost. For a depreciable
asset, the new cost will be depreciated over the asset’s remaining useful life. Generally, fair values are estimated using
discounted cash flow, replacement cost or market comparison analyses. The process of evaluating for impairment requires estimates
as to future events and conditions, which are subject to varying market and economic factors. Therefore, it is reasonably possible
that a change in estimate resulting from judgments as to future events could occur which would affect the recorded amounts of the
property. No impairment losses were recorded for the years ended June 30, 2020 and 2019. Investment in Marketable Securities Marketable securities are stated at fair value
as determined by the most recently traded price of each security at the balance sheet date. Marketable securities are classified
as trading securities with all unrealized gains and losses on the Company’s investment portfolio recorded through the consolidated
statements of operations. Other Investments, Net Other investments
include non-marketable securities (carried at cost, net of any impairments loss) and non –marketable warrants (carried at
fair value). The Company has no significant influence or control over the entities that issue these investments. These investments
are reviewed on a periodic basis for other-than-temporary impairment. The Company reviews several factors to determine whether
a loss is other-than-temporary. These factors include but are not limited to: (i) the length of time an investment is in an unrealized
loss position, (ii) the extent to which fair value is less than cost, (iii) the financial condition and near term prospects of
the issuer and (iv) our ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in
fair value. For the years ended June 30, 2020 and 2019, the Company recorded impairment losses related to other investments of
$80,000 and $36,000, respectively. As of June 30, 2020 and 2019, the allowance for impairment losses was $2,257,000 and $2,256,000,
respectively. Cash and Cash Equivalents Cash equivalents consist of highly liquid investments
with an original maturity of three months or less when purchased and are carried at cost, which approximates fair value. As of
June 30, 2020 and 2019, the Company does not have any cash equivalents. Restricted Cash Restricted cash is comprised of amounts held
by lenders for payment of real estate taxes, insurance, replacement and capital addition reserves for the Hotel. It also includes
key money received from Interstate that is restricted for capital improvements. Accounts Receivable - Hotel, Net Accounts receivable from Hotel customers are
carried at cost less an allowance for doubtful accounts that is based on management’s assessment of the collectability of
accounts receivable. As of June 30, 2020 and 2019, the allowance for doubtful accounts was $25,000 and $4,000, respectively. The
Partnership extends unsecured credit to its customers but mitigates the associated credit risk by performing ongoing credit evaluations
of its customers. Other Assets, Net Other assets include prepaid insurance, accounts
receivable, franchise fees, and other miscellaneous assets. Franchise fees are stated at cost and amortized over the life of the
agreement (15 years). Income Taxes The Company consolidates Justice (“Hotel”)
for financial reporting purposes and is not taxed on its non-controlling interest in the Hotel. The income tax benefit (expense)
during the fiscal year ended June 30, 2020 and 2019 represent the income tax effect on the Company’s pretax (loss) income
which includes its share in the net (loss) income of the Hotel. Deferred income taxes are calculated under
the liability method. Deferred income tax assets and liabilities are based on differences between the financial statement and tax
basis of assets and liabilities at the current enacted tax rates. Changes in deferred income tax assets and liabilities are included
as a component of income tax expense. Changes in deferred income tax assets and liabilities attributable to changes in enacted
tax rates are charged or credited to income tax expense in the period of enactment. Valuation allowances are established for certain
deferred tax assets where realization is not likely. We have considered the income tax accounting
and disclosure implications of the relief provided by the Coronavirus Aid, Relief, and Economic Security (CARES) Act enacted on
March 27, 2020. The effect of tax law changes is required to be recognized either in the interim period in which the legislation
is enacted or reflected in the computation of the annual effective tax rate, depending on the nature of the change. As of June
30, 2020, we evaluated the income tax provisions of the CARES Act and have determined there to be no material effect on the fiscal
year tax provision. We will continue to evaluate the income tax provisions of the CARES Act and monitor the tax law changes that
could have income tax accounting and disclosure implications. Assets and liabilities are established for
uncertain tax positions taken or positions expected to be taken in income tax returns when such positions are judged to not meet
the “more-likely-than-not” threshold based on the technical merits of the positions. Due to Securities Broker Various securities brokers have advanced funds
to the Company for the purchase of marketable securities under standard margin agreements. These advanced funds are recorded as
a liability. Obligations for Securities Sold Obligation for securities sold represents the
fair market value of shares sold with the promise to deliver that security at some future date and the fair market value of shares
underlying the written call options with the obligation to deliver that security when and if the option is exercised. The obligation
may be satisfied with current holdings of the same security or by subsequent purchases of that security. Unrealized gains and losses
from changes in the obligation are included in the consolidated statement of operations. Accounts Payable and Other Liabilities Accounts payable and other liabilities include
trade payables, advance customer deposits, accrued wages, accrued real estate taxes, and other liabilities. Fair Value of Financial Instruments Fair value is defined as the price that would
be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between
market participants at the measurement date. Accounting standards for fair value measurement establishes a hierarchy for inputs
used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring
that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing
the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are
inputs that reflect the Company’s assumptions about the assumptions market participants would use in pricing the asset or
liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels
based on the observability of inputs as follows: Level 1 Level 2 Level 3 Revenue Recognition On July 1, 2018, we adopted ASC 606, Revenue
from Contracts with Customers Advertising Costs Advertising costs are expensed as incurred
and are included in Hotel operating expenses in the consolidated statements of operations. Advertising costs were $176,000 and
$282,000 for the years ended June 30, 2020 and 2019, respectively. Basic and Diluted Income (Loss) per Share Basic income (loss) per share is calculated
based upon the weighted average number of common shares outstanding during each fiscal year. As of June 30, 2020 and 2019, the
Company did not have any potentially dilutive securities outstanding. Use of Estimates The preparation of financial statements in
conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires the use of estimates
and assumptions regarding certain types of assets, liabilities, revenues, and expenses. Such estimates primarily relate to the
recording of allowance for doubtful accounts and allowance for impairment losses which are based on management’s assessment
of the collectability of accounts receivable and the fair market value of nonmarketable securities, respectively, as of the end
of the fiscal year. Actual results may differ from those estimates. Debt Issuance Costs Debt issuance costs related to a recognized
debt liability are presented in the consolidated balance sheets as a direct deduction from the carrying amount of the debt liability
and are amortized over the life of the debt. Loan amortization costs are included in interest expense in the consolidated statement
of operations. Recent Accounting Pronouncements In February 2016, the Financial Accounting
Standards Board (FASB) issued ASU 2016-02, Leases (Topic 842) Leases (Topic 842): Targeted Improvements On June 16, 2016, the FASB issued ASU 2016-13,
“ Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments |
