Quarterly report pursuant to Section 13 or 15(d)

Deferred Charges, Goodwill And Other Assets, Net (Tables)

v3.19.3
Deferred Charges, Goodwill And Other Assets, Net (Tables)
9 Months Ended
Sep. 30, 2019
Deferred Charges, Goodwill And Other Assets [Line Items]  
Schedule Of Deferred Charges, Goodwill And Other Assets

September 30,

December 31,

(dollars in thousands)

2019

2018

Deferred leasing costs

$

147,809

$

173,822

Deferred financing costs - unsecured revolving credit facility (a)

5,328

5,356

153,137

179,178

Accumulated amortization

(59,955)

(71,326)

Deferred charges, net

93,182

107,852

Notes receivable (b)

1,792

47,409

In-place lease values, related intangibles and other assets, net

98,349

89,860

Goodwill (c)

2,945

2,945

Right of use assets (d)

22,376

-

Prepaid expenses and other assets, net (e)

42,531

107,168

Total deferred charges, goodwill and other assets, net

$

261,175

$

355,234

(a)Deferred financing costs related to all other debt liabilities (other than for the unsecured revolving credit facility) are netted against those debt liabilities for all periods presented. See Note 2: Significant Accounting Policies – Deferred Financing Costs.

(b)Includes as of September 30, 2019 and December 31, 2018, respectively: a mortgage receivable with a balance of zero and $45.2 million (acquired in August 2017) which bore interest at 5.85 percent and was repaid in May 2019 in connection with the acquisition of 107 Morgan; and an interest-free note receivable with a net present value of $1.8 million and $2.2 million which matures in April 2023. The Company believes this balance is fully collectible.

(c)All goodwill is attributable to the Company’s Multi-family Real Estate and Services segment.

(d)Balance recorded starting in 2019, pursuant to the Company’s adoption of ASU 2016-02 (Topic 842). This amount has a corresponding liability of $23.7 million, which is included in Accounts payable, accrued expense and other liabilities. See Note 12: Commitments and Contingencies – Ground

Lease agreements for further details.

(e)Includes as of September 30, 2019 and December 31, 2018, zero and $49.2 million, respectively, of proceeds from property sales held by a qualified intermediary. The Company utilized the proceeds as of December 31, 2018 on acquisitions completed during the nine months ended September 30, 2019.

Schedule Of Fair Value Of The Derivative Financial Instruments

Fair Value

Asset Derivatives designated

September 30,

December 31,

as hedging instruments

2019

2018

Balance sheet location

Interest rate swaps

$

222

$

10,175 

Deferred charges, goodwill and other assets

Schedule Of Cash Flow Hedging, Derivative Financial Instruments On The Income Statement

Derivatives in Cash Flow Hedging Relationships

Amount of Gain or (Loss) Recognized in OCI on Derivative

Location of Gain or (Loss) Reclassified from Accumulated OCI into Income

Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income

Location of Gain or (Loss) Recognized in Income on Derivative

Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion, Reclassification for Forecasted Transactions No Longer Probable of Occurring)

Total Amount of Interest Expense presented in the consolidated statements

2019

2018

2019

2018

2019

2018

2019

2018

Three months ended September 30,

Interest rate swaps

$

(195)

$

1,283

Interest expense

$

551

$

929

Interest and other

$

132

$

47

$

(23,450)

$

(21,094)

investment income (loss)

Nine months ended September 30,

Interest rate swaps

$

(4,608)

$

8,938

Interest expense

$

3,419

$

1,650

Interest and other

$

1,926

$

(127)

$

(71,739)

$

(60,168)

investment income (loss)

Mack-Cali Realty LP [Member]  
Deferred Charges, Goodwill And Other Assets [Line Items]  
Schedule Of Deferred Charges, Goodwill And Other Assets

September 30,

December 31,

(dollars in thousands)

2019

2018

Deferred leasing costs

$

147,809

$

173,822

Deferred financing costs - unsecured revolving credit facility (a)

5,328

5,356

153,137

179,178

Accumulated amortization

(59,955)

(71,326)

Deferred charges, net

93,182

107,852

Notes receivable (b)

1,792

47,409

In-place lease values, related intangibles and other assets, net

98,349

89,860

Goodwill (c)

2,945

2,945

Right of use assets (d)

22,376

-

Prepaid expenses and other assets, net (e)

42,531

107,168

Total deferred charges, goodwill and other assets, net

$

261,175

$

355,234

(a)Deferred financing costs related to all other debt liabilities (other than for the unsecured revolving credit facility) are netted against those debt liabilities for all periods presented. See Note 2: Significant Accounting Policies – Deferred Financing Costs.

(b)Includes as of September 30, 2019 and December 31, 2018, respectively: a mortgage receivable with a balance of zero and $45.2 million (acquired in August 2017) which bore interest at 5.85 percent and was repaid in May 2019 in connection with the acquisition of 107 Morgan; and an interest-free note receivable with a net present value of $1.8 million and $2.2 million which matures in April 2023. The Company believes this balance is fully collectible.

(c)All goodwill is attributable to the Company’s Multi-family Real Estate and Services segment.

(d)Balance recorded starting in 2019, pursuant to the Company’s adoption of ASU 2016-02 (Topic 842). This amount has a corresponding liability of $23.7 million, which is included in Accounts payable, accrued expense and other liabilities. See Note 12: Commitments and Contingencies – Ground

Lease agreements for further details.

(e)Includes as of September 30, 2019 and December 31, 2018, zero and $49.2 million, respectively, of proceeds from property sales held by a qualified intermediary. The Company utilized the proceeds as of December 31, 2018 on acquisitions completed during the nine months ended September 30, 2019.

Schedule Of Fair Value Of The Derivative Financial Instruments

Fair Value

Asset Derivatives designated

September 30,

December 31,

as hedging instruments

2019

2018

Balance sheet location

Interest rate swaps

$

222

$

10,175 

Deferred charges, goodwill and other assets

Schedule Of Cash Flow Hedging, Derivative Financial Instruments On The Income Statement

Derivatives in Cash Flow Hedging Relationships

Amount of Gain or (Loss) Recognized in OCI on Derivative

Location of Gain or (Loss) Reclassified from Accumulated OCI into Income

Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income

Location of Gain or (Loss) Recognized in Income on Derivative

Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion, Reclassification for Forecasted Transactions No Longer Probable of Occurring)

Total Amount of Interest Expense presented in the consolidated statements

2019

2018

2019

2018

2019

2018

2019

2018

Three months ended September 30,

Interest rate swaps

$

(195)

$

1,283

Interest expense

$

551

$

929

Interest and other

$

132

$

47

$

(23,450)

$

(21,094)

investment income (loss)

Nine months ended September 30,

Interest rate swaps

$

(4,608)

$

8,938

Interest expense

$

3,419

$

1,650

Interest and other

$

1,926

$

(127)

$

(71,739)

$

(60,168)

investment income (loss)