Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting

v3.22.1
Segment Reporting
 3 Months Ended
Mar. 31, 2022
Segment Reporting Information [Line Items]  
Segment Reporting

17.    SEGMENT REPORTING

The Company operates in two business segments: (i) multifamily real estate and services and (ii) commercial and other real estate. The Company provides property management, leasing, acquisition, development, construction and tenant-related services for its commercial and other real estate and multifamily real estate portfolio. The Company’s multifamily services business also provides similar services for third parties. The Company had no revenues from foreign countries recorded for the three months ended March 31, 2022 and 2021. The Company had no long lived assets in foreign locations as of March 31, 2022 and December 31, 2021. The accounting policies of the segments are the same as those described in Note 2: Significant Accounting Policies, excluding depreciation and amortization.

The Company evaluates performance based upon net operating income from the combined properties and operations in each of its real estate segments (commercial and other real estate and multifamily real estate and services). All properties classified as discontinued operations have been excluded.

Selected results of operations for the three months ended March 31, 2022 and 2021 and selected asset information as of March 31, 2022 and December 31, 2021 regarding the Company’s operating segments are as follows. Amounts for prior periods have been restated to conform to the current period segment reporting presentation (dollars in thousands):

Commercial

Multifamily

Corporate

Total

& Other Real Estate

Real Estate & Services (d)

& Other (e)

Company

Total revenues:

Three months ended:

March 31, 2022

$

53,084 

$

46,517 

$

(502)

$

99,099 

March 31, 2021

39,072 

37,316 

(295)

76,093 

Total operating and

interest expenses (a):

Three months ended:

March 31, 2022

$

14,476 

$

24,786 

$

32,601 

$

71,863 

March 31, 2021

16,122 

22,156 

27,995 

66,273 

Equity in earnings (loss) of

unconsolidated joint ventures:

Three months ended:

March 31, 2022

$

-

$

(487)

$

-

$

(487)

March 31, 2021

(119)

(1,337)

-

(1,456)

Net operating income (loss) (b):

Three months ended:

March 31, 2022

$

38,608 

$

21,244 

$

(33,103)

$

26,749 

March 31, 2021

22,831 

13,823 

(28,290)

8,364 

Total assets:

March 31, 2022

$

951,402 

$

3,297,133 

$

11,290 

$

4,259,825 

December 31, 2021

1,216,717 

3,294,226 

16,375 

4,527,318 

Total long-lived assets (c):

March 31, 2022

$

875,098 

$

3,094,290 

$

(1,544)

$

3,967,844 

December 31, 2021

1,087,198 

3,098,492 

(1,309)

4,184,381 

Total investments in

unconsolidated joint ventures:

March 31, 2022

$

-

$

135,116 

$

-

$

135,116 

December 31, 2021

-

137,772 

-

137,772 

(a)Total operating and interest expenses represent the sum of: real estate taxes; utilities; operating services; real estate services expenses; general and administrative, acquisition related costs and interest expense (net of interest income). All interest expense, net of interest and other investment income, (including for property-level mortgages) is excluded from segment amounts and classified in Corporate & Other for all periods.

(b)Net operating income represents total revenues less total operating and interest expenses (as defined and classified in Note “a”), plus equity in earnings (loss) of unconsolidated joint ventures, for the period.

(c)Long-lived assets are comprised of net investment in rental property and unbilled rents receivable.

(d)Segment assets and operations were owned through a consolidated and variable interest entity commencing in February 2018, and which also include the Company’s consolidated hotel operations.

(e)Corporate & Other represents all corporate-level items (including interest and other investment income, interest expense, non-property general and administrative expense), as well as intercompany eliminations necessary to reconcile to consolidated Company totals.

Veris Residential, Inc.

The following schedule reconciles net operating income to net income (loss) available to common shareholders (dollars in thousands):

Three Months Ended

March 31,

2022

2021

Net operating income

$

26,749

$

8,364

Add (deduct):

Depreciation and amortization

(26,514)

(28,173)

Land and other impairments, net

(2,932)

(413)

Realized gains (losses) and unrealized losses on disposition of

rental property, net

1,836

-

Gain on disposition of developable land

2,623

-

Gain (loss) from extinguishment of debt, net

(6,289)

-

Income (loss) from continuing operations

(4,527)

(20,222)

Discontinued operations

Income from discontinued operations

-

10,962

Realized gains (losses) and unrealized gains (losses) on

disposition of rental property and impairments, net

-

22,781

Total discontinued operations, net

-

33,743

Net income (loss)

(4,527)

13,521

Noncontrolling interests in consolidated joint ventures

974

1,335

Noncontrolling interests in Operating Partnership

898

2,305

Noncontrolling interest in discontinued operations

-

(3,067)

Redeemable noncontrolling interests

(6,437)

(6,471)

Net income (loss) available to common shareholders

$

(9,092)

$

7,623

Veris Residential, L.P.

The following schedule reconciles net operating income to net income (loss) available to common unitholders (dollars in thousands):

Three Months Ended

March 31,

2022

2021

Net operating income

$

26,749

$

8,364

Add (deduct):

Depreciation and amortization

(26,514)

(28,173)

Land and other impairments, net

(2,932)

(413)

Realized gains (losses) and unrealized losses on disposition of

rental property, net

1,836

-

Gain on disposition of developable land

2,623

-

Gain (loss) from extinguishment of debt, net

(6,289)

-

Income (loss) from continuing operations

(4,527)

(20,222)

Discontinued operations

Income from discontinued operations

-

10,962

Realized gains (losses) and unrealized gains (losses) on

disposition of rental property and impairments, net

-

22,781

Total discontinued operations, net

-

33,743

Net income (loss)

(4,527)

13,521

Noncontrolling interests in consolidated joint ventures

974

1,335

Redeemable noncontrolling interests

(6,437)

(6,471)

Net income (loss) available to common unitholders

$

(9,990)

$

8,385
 
VERIS RESIDENTIAL, L.P. [Member]  
Segment Reporting Information [Line Items]  
Segment Reporting 17.    SEGMENT REPORTING

The Company operates in two business segments: (i) multifamily real estate and services and (ii) commercial and other real estate. The Company provides property management, leasing, acquisition, development, construction and tenant-related services for its commercial and other real estate and multifamily real estate portfolio. The Company’s multifamily services business also provides similar services for third parties. The Company had no revenues from foreign countries recorded for the three months ended March 31, 2022 and 2021. The Company had no long lived assets in foreign locations as of March 31, 2022 and December 31, 2021. The accounting policies of the segments are the same as those described in Note 2: Significant Accounting Policies, excluding depreciation and amortization.

The Company evaluates performance based upon net operating income from the combined properties and operations in each of its real estate segments (commercial and other real estate and multifamily real estate and services). All properties classified as discontinued operations have been excluded.

Selected results of operations for the three months ended March 31, 2022 and 2021 and selected asset information as of March 31, 2022 and December 31, 2021 regarding the Company’s operating segments are as follows. Amounts for prior periods have been restated to conform to the current period segment reporting presentation (dollars in thousands):

Commercial

Multifamily

Corporate

Total

& Other Real Estate

Real Estate & Services (d)

& Other (e)

Company

Total revenues:

Three months ended:

March 31, 2022

$

53,084 

$

46,517 

$

(502)

$

99,099 

March 31, 2021

39,072 

37,316 

(295)

76,093 

Total operating and

interest expenses (a):

Three months ended:

March 31, 2022

$

14,476 

$

24,786 

$

32,601 

$

71,863 

March 31, 2021

16,122 

22,156 

27,995 

66,273 

Equity in earnings (loss) of

unconsolidated joint ventures:

Three months ended:

March 31, 2022

$

-

$

(487)

$

-

$

(487)

March 31, 2021

(119)

(1,337)

-

(1,456)

Net operating income (loss) (b):

Three months ended:

March 31, 2022

$

38,608 

$

21,244 

$

(33,103)

$

26,749 

March 31, 2021

22,831 

13,823 

(28,290)

8,364 

Total assets:

March 31, 2022

$

951,402 

$

3,297,133 

$

11,290 

$

4,259,825 

December 31, 2021

1,216,717 

3,294,226 

16,375 

4,527,318 

Total long-lived assets (c):

March 31, 2022

$

875,098 

$

3,094,290 

$

(1,544)

$

3,967,844 

December 31, 2021

1,087,198 

3,098,492 

(1,309)

4,184,381 

Total investments in

unconsolidated joint ventures:

March 31, 2022

$

-

$

135,116 

$

-

$

135,116 

December 31, 2021

-

137,772 

-

137,772 

(a)Total operating and interest expenses represent the sum of: real estate taxes; utilities; operating services; real estate services expenses; general and administrative, acquisition related costs and interest expense (net of interest income). All interest expense, net of interest and other investment income, (including for property-level mortgages) is excluded from segment amounts and classified in Corporate & Other for all periods.

(b)Net operating income represents total revenues less total operating and interest expenses (as defined and classified in Note “a”), plus equity in earnings (loss) of unconsolidated joint ventures, for the period.

(c)Long-lived assets are comprised of net investment in rental property and unbilled rents receivable.

(d)Segment assets and operations were owned through a consolidated and variable interest entity commencing in February 2018, and which also include the Company’s consolidated hotel operations.

(e)Corporate & Other represents all corporate-level items (including interest and other investment income, interest expense, non-property general and administrative expense), as well as intercompany eliminations necessary to reconcile to consolidated Company totals.

Veris Residential, Inc.

The following schedule reconciles net operating income to net income (loss) available to common shareholders (dollars in thousands):

Three Months Ended

March 31,

2022

2021

Net operating income

$

26,749

$

8,364

Add (deduct):

Depreciation and amortization

(26,514)

(28,173)

Land and other impairments, net

(2,932)

(413)

Realized gains (losses) and unrealized losses on disposition of

rental property, net

1,836

-

Gain on disposition of developable land

2,623

-

Gain (loss) from extinguishment of debt, net

(6,289)

-

Income (loss) from continuing operations

(4,527)

(20,222)

Discontinued operations

Income from discontinued operations

-

10,962

Realized gains (losses) and unrealized gains (losses) on

disposition of rental property and impairments, net

-

22,781

Total discontinued operations, net

-

33,743

Net income (loss)

(4,527)

13,521

Noncontrolling interests in consolidated joint ventures

974

1,335

Noncontrolling interests in Operating Partnership

898

2,305

Noncontrolling interest in discontinued operations

-

(3,067)

Redeemable noncontrolling interests

(6,437)

(6,471)

Net income (loss) available to common shareholders

$

(9,092)

$

7,623

Veris Residential, L.P.

The following schedule reconciles net operating income to net income (loss) available to common unitholders (dollars in thousands):

Three Months Ended

March 31,

2022

2021

Net operating income

$

26,749

$

8,364

Add (deduct):

Depreciation and amortization

(26,514)

(28,173)

Land and other impairments, net

(2,932)

(413)

Realized gains (losses) and unrealized losses on disposition of

rental property, net

1,836

-

Gain on disposition of developable land

2,623

-

Gain (loss) from extinguishment of debt, net

(6,289)

-

Income (loss) from continuing operations

(4,527)

(20,222)

Discontinued operations

Income from discontinued operations

-

10,962

Realized gains (losses) and unrealized gains (losses) on

disposition of rental property and impairments, net

-

22,781

Total discontinued operations, net

-

33,743

Net income (loss)

(4,527)

13,521

Noncontrolling interests in consolidated joint ventures

974

1,335

Redeemable noncontrolling interests

(6,437)

(6,471)

Net income (loss) available to common unitholders

$

(9,990)

$

8,385