Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting

v2.4.0.8
Segment Reporting
 3 Months Ended
Mar. 31, 2014
Segment Reporting [Abstract]  
Segment Reporting

17.   SEGMENT REPORTING

 

The Company operates in three business segments: (i) commercial and other real estate, (ii) multi-family real estate, and (iii) multi-family services.  The Company provides leasing, property management, acquisition, development, construction and tenant-related services for its commercial and other real estate and multi-family real estate portfolio.  The Company’s multi‑family services business also provides similar services for third parties.  The Company no longer considers construction services as a reportable segment as it has significantly reduced its operations.  The Company had no revenues from foreign countries recorded for the three months ended March 31, 2014 and 2013.  The Company had no long lived assets in foreign locations as of March 31, 2014 and December 31, 2013. 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 in each of its real estate segments (commercial and other, and multi-family) and from its multi-family services segment.

 

 

Selected results of operations for the three months ended March 31, 2014 and 2013 and selected asset information as of March 31, 2014 and December 31, 2013 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)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real Estate

 

 

 

 

 

 

 

 

 

 

 

 

Commercial

 

 

Multi-

 

 

Multi-family

 

 

 

Corporate

 

 

Total

 

 

& Other

 

 

family

 

 

Services

 

 

 

& Other (d)

 

 

Company

Total revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three months ended:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
157,520 

 

$
5,801 

 

$
6,948 

(e)

 

$
(673)

 

$
169,596 

March 31, 2013

 
155,595 

 

 
1,281 

 

 
5,484 

(f)

 

 
8,553 

 

 
170,913 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total operating and

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  interest expenses (a):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
86,933 

 

$
2,701 

 

$
10,159 

 

 

$
41,211 

 

$
141,004 

March 31, 2013

 
70,393 

 

 
536 

 

 
7,475 

 

 

 
39,455 

 

 
117,859 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity in earnings (loss) of

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  unconsolidated joint ventures:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
988 

 

$
(2,223)

 

$

 -

 

 

$

 -

 

$
(1,235)

March 31, 2013

 
385 

 

 
(2,135)

 

 

 -

 

 

 

 -

 

 
(1,750)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net operating income (loss) (b):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
71,575 

 

$
877 

 

$
(3,211)

 

 

$
(41,884)

 

$
27,357 

March 31, 2013

 
85,587 

 

 
(1,390)

 

 
(1,991)

 

 

 
(30,902)

 

 
51,304 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
3,891,009 

 

$
373,128 

 

$
9,903 

 

 

$
80,303 

 

$
4,354,343 

December 31, 2013

 
3,886,574 

 

 
377,237 

 

 
10,488 

 

 

 
241,029 

 

 
4,515,328 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total long-lived assets (c):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
3,609,308 

 

$
240,645 

 

$
4,155 

 

 

$
4,194 

 

$
3,858,302 

December 31, 2013

 
3,620,494 

 

 
240,501 

 

 
3,468 

 

 

 
3,730 

 

 
3,868,193 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total investments in

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  unconsolidated joint ventures:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2014

$
53,420 

 

$
126,143 

 

$
93 

 

 

$

 -

 

$
179,656 

December 31, 2013

 
53,160 

 

 
127,276 

 

 
693 

 

 

 

 -

 

 
181,129 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(a)Total operating and interest expenses represent the sum of: real estate taxes; utilities; operating services; direct construction costs; real estate services expenses; general and administrative and interest expense (net of interest income). All interest expense, net of interest 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 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, unbilled rents receivable and goodwill.

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

(e)Includes $829 of fees earned for this period from the multi-family real estate segment, which are eliminated in consolidation.

(f)Includes $195 of fees earned for this period from the multi-family real estate segment, which are eliminated in consolidation. 

 

 

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

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

March 31,

 

 

 
2014 

 

 
2013 

Net operating income

 

$
27,357 

 

$
51,304 

Less:

 

 

 

 

 

 

Depreciation and amortization

 

 
(44,985)

 

 
(43,348)

Income (loss) from continuing operations

 

 
(17,628)

 

 
7,956 

Discontinued operations:

 

 

 

 

 

 

Income from discontinued operations

 

 

 -

 

 
5,133 

Total discontinued operations

 

 

 -

 

 
5,133 

Net income (loss)

 

 
(17,628)

 

 
13,089 

Noncontrolling interest in consolidated joint ventures

 

 
322 

 

 
62 

Noncontrolling interest in Operating Partnership

 

 
2,008 

 

 
(973)

Noncontrolling interest in discontinued operations

 

 

 -

 

 
(622)

Net income (loss) available to common shareholders

 

$
(15,298)

 

$
11,556