| Schedule of Selected Results of Operations and Asset Information |
Selected results of operations for the three and nine months ended September 30, 2023 and 2022 and selected asset information as of September 30, 2023 and December 31, 2022 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):
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Commercial
& Other Real Estate |
|
Multifamily
Real Estate & Services (d) |
|
Corporate
& Other (e) |
|
Total
Company |
| Total revenues: |
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|
|
|
|
|
|
| Three months ended: |
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|
|
|
|
|
|
|
| September 30, 2023 |
|
$ |
4,682 |
|
|
$ |
66,202 |
|
|
$ |
598 |
|
|
$ |
71,482 |
|
| September 30, 2022 |
|
3,241 |
|
|
60,363 |
|
|
(469) |
|
|
63,135 |
|
| Nine months ended: |
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|
|
| September 30, 2023 |
|
$ |
12,745 |
|
|
$ |
192,625 |
|
|
$ |
1,573 |
|
|
$ |
206,943 |
|
| September 30, 2022 |
|
7,922 |
|
|
159,756 |
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(1,414) |
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|
166,264 |
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| Total operating and interest expenses (a): |
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| Three months ended: |
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| September 30, 2023 |
|
$ |
3,513 |
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|
$ |
26,338 |
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|
$ |
78,877 |
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|
$ |
108,728 |
|
| September 30, 2022 |
|
614 |
|
|
31,117 |
|
|
28,795 |
|
|
60,526 |
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| Nine months ended: |
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|
|
|
| September 30, 2023 |
|
$ |
8,104 |
|
|
$ |
78,400 |
|
|
$ |
155,738 |
|
|
$ |
242,242 |
|
| September 30, 2022 |
|
5,612 |
|
|
82,125 |
|
|
82,727 |
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|
170,464 |
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|
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| Equity in earnings (loss) of unconsolidated joint ventures: |
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| Three months ended: |
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| September 30, 2023 |
|
$ |
— |
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|
$ |
210 |
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|
$ |
— |
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|
$ |
210 |
|
| September 30, 2022 |
|
— |
|
|
(304) |
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|
— |
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|
(304) |
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| Nine months ended: |
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| September 30, 2023 |
|
$ |
— |
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|
$ |
2,843 |
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|
$ |
— |
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|
$ |
2,843 |
|
| September 30, 2022 |
|
— |
|
|
1,847 |
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|
— |
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|
1,847 |
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| Net operating income (loss) (b): |
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| Three months ended: |
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| September 30, 2023 |
|
$ |
1,169 |
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$ |
40,074 |
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|
$ |
(78,279) |
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$ |
(37,036) |
|
| September 30, 2022 |
|
2,627 |
|
|
28,942 |
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|
(29,264) |
|
|
2,305 |
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| Nine months ended: |
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|
|
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| September 30, 2023 |
|
$ |
4,641 |
|
|
$ |
117,068 |
|
|
$ |
(154,165) |
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|
$ |
(32,456) |
|
| September 30, 2022 |
|
2,310 |
|
|
79,478 |
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|
(84,141) |
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|
(2,353) |
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| Total assets: |
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| September 30, 2023 |
|
$ |
164,956 |
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|
$ |
3,146,961 |
|
|
$ |
17,973 |
|
|
$ |
3,329,890 |
|
| December 31, 2022 |
|
597,459 |
|
|
3,302,188 |
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|
21,121 |
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|
3,920,768 |
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| Total long-lived assets (c): |
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| September 30, 2023 |
|
$ |
153,828 |
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|
$ |
2,952,451 |
|
|
$ |
(1,715) |
|
|
$ |
3,104,564 |
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| December 31, 2022 |
|
547,923 |
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|
3,101,286 |
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(1,330) |
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|
3,647,879 |
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| Total investments in unconsolidated joint ventures: |
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| September 30, 2023 |
|
$ |
— |
|
|
119,830 |
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|
$ |
— |
|
|
$ |
119,830 |
|
| December 31, 2022 |
|
— |
|
|
126,158 |
|
|
— |
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|
126,158 |
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(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.
(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.
|
| Schedule of Reconciliation of Net Operating Income to Net Income Available to Common Shareholders |
The following schedule reconciles net operating income to net income (loss) available to common shareholders (dollars in thousands):
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Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
| Net operating (loss) income |
|
$ |
(37,036) |
|
$ |
2,305 |
|
$ |
(32,456) |
|
$ |
(2,353) |
| Add (deduct): |
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|
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| Depreciation and amortization |
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(23,212) |
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|
(22,359) |
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|
(70,543) |
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|
(61,815) |
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|
|
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|
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| Land and other impairments, net |
|
— |
|
|
(2,535) |
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|
(3,396) |
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|
(9,367) |
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|
|
|
|
|
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|
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| (Loss) gain on disposition of developable land |
|
— |
|
— |
|
(23) |
|
57,747 |
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|
|
|
|
|
|
|
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| Loss from extinguishment of debt, net |
|
(1,046) |
|
|
— |
|
(3,702) |
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|
(129) |
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| Other income, net |
|
(57) |
|
— |
|
2,794 |
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|
— |
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| Loss from continuing operations before income tax expense |
|
(61,351) |
|
|
(22,589) |
|
|
(107,326) |
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|
(15,917) |
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| Provision for income taxes |
|
(293) |
|
|
— |
|
|
(293) |
|
|
— |
|
| Loss from continuing operations after income tax expense |
|
(61,644) |
|
|
(22,589) |
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|
(107,619) |
|
|
(15,917) |
|
| Discontinued operations |
|
|
|
|
|
|
|
|
| Income (loss) from discontinued operations |
|
971 |
|
(78,213) |
|
3,290 |
|
|
(52,158) |
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| Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net |
|
423 |
|
(5,100) |
|
(2,286) |
|
|
(7,704) |
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| Total discontinued operations, net |
|
1,394 |
|
(83,313) |
|
1,004 |
|
(59,862) |
| Net loss |
|
(60,250) |
|
|
(105,902) |
|
|
(106,615) |
|
|
(75,779) |
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| Noncontrolling interests in consolidated joint ventures |
|
592 |
|
726 |
|
1,815 |
|
2,484 |
| Noncontrolling interests in Operating Partnership |
|
5,322 |
|
2,613 |
|
10,016 |
|
2,929 |
| Noncontrolling interest in discontinued operations |
|
(121) |
|
7,710 |
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|
(97) |
|
5,597 |
| Redeemable noncontrolling interests |
|
(350) |
|
(6,365) |
|
|
(7,333) |
|
(19,168) |
| Net loss available to common shareholders |
|
$ |
(54,807) |
|
|
$ |
(101,218) |
|
$ |
(102,214) |
|
|
$ |
(83,937) |
The following schedule reconciles net operating income to net income (loss) available to common unitholders (dollars in thousands):
|
|
|
|
|
|
|
|
|
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|
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|
|
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|
|
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|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
| Net operating (loss) income |
|
$ |
(37,036) |
|
$ |
2,305 |
|
$ |
(32,456) |
|
$ |
(2,353) |
| Add (deduct): |
|
|
|
|
|
|
|
|
| Depreciation and amortization |
|
(23,212) |
|
|
(22,359) |
|
|
(70,543) |
|
|
(61,815) |
|
|
|
|
|
|
|
|
|
|
| Land and other impairments, net |
|
— |
|
|
(2,535) |
|
|
(3,396) |
|
|
(9,367) |
|
|
|
|
|
|
|
|
|
|
| (Loss) gain on disposition of developable land |
|
— |
|
|
— |
|
(23) |
|
|
57,747 |
|
|
|
|
|
|
|
|
|
| Loss from extinguishment of debt, net |
|
(1,046) |
|
|
— |
|
(3,702) |
|
|
(129) |
| Other income, net |
|
(57) |
|
|
— |
|
2,794 |
|
|
— |
| Loss from continuing operations before income tax expense |
|
(61,351) |
|
|
(22,589) |
|
|
(107,326) |
|
|
(15,917) |
|
| Provision for income taxes |
|
(293) |
|
|
— |
|
|
(293) |
|
|
— |
|
| Loss from continuing operations after income tax expense |
|
(61,644) |
|
|
(22,589) |
|
|
(107,619) |
|
|
(15,917) |
|
| Discontinued operations |
|
|
|
|
|
|
|
|
| Income (loss) from discontinued operations |
|
971 |
|
(78,213) |
|
3,290 |
|
(52,158) |
| Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net |
|
423 |
|
(5,100) |
|
(2,286) |
|
(7,704) |
| Total discontinued operations, net |
|
1,394 |
|
(83,313) |
|
1,004 |
|
(59,862) |
| Net loss |
|
(60,250) |
|
|
(105,902) |
|
(106,615) |
|
|
(75,779) |
| Noncontrolling interests in consolidated joint ventures |
|
592 |
|
726 |
|
1,815 |
|
2,484 |
| Redeemable noncontrolling interests |
|
(350) |
|
|
(6,365) |
|
|
(7,333) |
|
|
(19,168) |
|
| Net loss available to common unitholders |
|
$ |
(60,008) |
|
|
$ |
(111,541) |
|
$ |
(112,133) |
|
|
$ |
(92,463) |
|