Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Oct. 30, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ISTAR INC. | |
Entity Central Index Key | 1,095,651 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 84,804,518 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
ASSETS | |||
Real estate, at cost | $ 2,969,113 | $ 3,145,563 | |
Less: accumulated depreciation | (478,575) | (468,849) | |
Real estate, net | 2,490,538 | 2,676,714 | |
Real estate available and held for sale | [1] | 296,591 | 285,982 |
Total real estate | 2,787,129 | 2,962,696 | |
Loans receivable and other lending investments, net | [2] | 1,585,399 | 1,377,843 |
Other investments | 290,519 | 354,119 | |
Cash and cash equivalents | 656,742 | 472,061 | |
Accrued interest and operating lease income receivable, net | 15,533 | 16,367 | |
Deferred operating lease income receivable, net | 98,076 | 98,262 | |
Deferred expenses and other assets, net | 209,397 | 181,785 | |
Total assets | 5,642,795 | 5,463,133 | |
Liabilities: | |||
Accounts payable, accrued expenses and other liabilities | 190,029 | 180,902 | |
Loan Participations Payable, net | 148,163 | 0 | |
Debt obligations, net | [3] | 4,144,817 | 4,022,684 |
Total liabilities | 4,483,009 | 4,203,586 | |
Commitments and contingencies (refer to Note 10) | 0 | 0 | |
Redeemable noncontrolling interests (refer to Note 4) | 11,577 | 11,199 | |
iStar Inc. shareholders' equity: | |||
High Performance Units (refer to Note 12) | 0 | 9,800 | |
Common Stock, $0.001 par value, 200,000 shares authorized, 147,463 issued and 85,179 outstanding as of September 30, 2015 and 145,807 issued and 85,191 outstanding as of December 31, 2014 | 147 | 146 | |
Additional paid-in capital | 4,023,962 | 4,007,514 | |
Retained earnings (deficit) | (2,633,164) | (2,556,469) | |
Accumulated other comprehensive income (loss) (refer to Note 12) | (5,313) | (971) | |
Treasury stock, at cost, $0.001 par value, 62,284 shares as of September 30, 2015 and 60,617 shares as of December 31, 2014 | (283,256) | (262,954) | |
Total iStar Inc. shareholders' equity | 1,102,402 | 1,197,092 | |
Noncontrolling interests | 45,807 | 51,256 | |
Total equity | 1,148,209 | 1,248,348 | |
Total liabilities and equity | 5,642,795 | 5,463,133 | |
Series D, E, F, G and I Preferred Stock | |||
iStar Inc. shareholders' equity: | |||
Preferred Stock | 22 | 22 | |
Series J convertible perpetual preferred stock | |||
iStar Inc. shareholders' equity: | |||
Preferred Stock | $ 4 | $ 4 | |
[1] | As of September 30, 2015 and December 31, 2014, the Company had $132.8 million and $155.8 million, respectively, of residential properties available for sale in its operating properties portfolio. | ||
[2] | The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million, respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. | ||
[3] | The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2015 | Dec. 31, 2014 | |
Common Stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Common Stock, shares authorized | 200,000,000 | 200,000,000 | |
Common Stock, shares issued | 147,463,000 | 145,807,000 | |
Common Stock, shares outstanding | 85,179,000 | 85,191,000 | |
Treasury stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Treasury stock, shares | 62,284,000 | 60,617,000 | |
Series D, E, F, G and I Preferred Stock | |||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 |
Series J convertible perpetual preferred stock | |||
Liquidation Preference (in dollars per share) | [1],[2] | $ 50 | $ 50 |
[1] | Holders of shares of the Series D, E, F, G, I and J preferred stock are entitled to receive dividends, when and as declared by the Company's Board of Directors, out of funds legally available for the payment of dividends. Dividends are cumulative from the date of original issue and are payable quarterly in arrears on or before the 15th day of each March, June, September and December or, if not a business day, the next succeeding business day. Any dividend payable on the preferred stock for any partial dividend period will be computed on the basis of a 360-day year consisting of twelve 30-day months. Dividends will be payable to holders of record as of the close of business on the first day of the calendar month in which the applicable dividend payment date falls or on another date designated by the Company's Board of Directors for the payment of dividends that is not more than 30 nor less than 10 days prior to the dividend payment date. | ||
[2] | The Company declared and paid dividends of $6.0 million, $8.3 million, $5.9 million, $4.6 million and $7.0 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the nine months ended September 30, 2015 and 2014. The Company declared and paid dividends of $6.8 million on its Series J Convertible Perpetual Preferred Stock during the nine months ended September 30, 2015 and 2014. All of the dividends qualified as return of capital for tax reporting purposes. There are no dividend arrearages on any of the preferred shares currently outstanding. |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Revenues: | |||||
Operating lease income | $ 55,699 | $ 60,691 | $ 170,990 | $ 183,766 | |
Interest income | 33,599 | 31,098 | 102,224 | 94,139 | |
Other income | 16,888 | 18,407 | 40,214 | 62,253 | |
Land development revenue | 14,301 | 3,290 | 29,101 | 11,920 | |
Total revenues | 120,487 | 113,486 | 342,529 | 352,078 | |
Costs and expenses: | |||||
Interest expense | 56,880 | 55,424 | 167,336 | 169,410 | |
Real estate expense | 35,154 | 41,285 | 111,143 | 124,452 | |
Land development cost of sales | 10,686 | 2,763 | 22,828 | 10,028 | |
Depreciation and amortization | 15,787 | 17,722 | 49,804 | 55,157 | |
General and administrative | 21,181 | 23,377 | 62,520 | 69,788 | |
Provision for (recovery of) loan losses | [1] | 7,500 | (673) | 30,944 | (6,865) |
Impairment of assets | 3,916 | 15,462 | 5,590 | 21,741 | |
Other expense | 3,334 | (285) | 6,345 | 4,626 | |
Total costs and expenses | 154,438 | 155,075 | 456,510 | 448,337 | |
Income (loss) before earnings from equity method investments and other items | (33,951) | (41,589) | (113,981) | (96,259) | |
Loss on early extinguishment of debt, net | (67) | (186) | (279) | (24,953) | |
Earnings from equity method investments | 10,572 | 49,578 | 25,904 | 76,848 | |
Income (loss) from continuing operations before income taxes | (23,446) | 7,803 | (88,356) | (44,364) | |
Income tax (expense) benefit | 2,893 | (103) | (3,796) | 619 | |
Income (loss) from continuing operations | [2] | (20,553) | 7,700 | (92,152) | (43,745) |
Income from sales of real estate | 26,511 | 27,791 | 66,021 | 61,465 | |
Net income (loss) | 5,958 | 35,491 | (26,131) | 17,720 | |
Net (income) loss attributable to noncontrolling interests | 706 | 412 | 3,176 | (367) | |
Net income (loss) attributable to iStar Inc. | 6,664 | 35,903 | (22,955) | 17,353 | |
Preferred dividends | (12,830) | (12,830) | (38,490) | (38,490) | |
Net (income) loss allocable to HPU holders and Participating Security holders | [3],[4] | 94 | (746) | 1,627 | 683 |
Net income (loss) allocable to common shareholders | $ (6,072) | $ 22,327 | $ (59,818) | $ (20,454) | |
Basic earnings per common share: | |||||
Income (loss) attributable to iStar Inc. from continuing operations—Basic (in dollars per share) | [2] | $ (0.07) | $ 0.26 | $ (0.70) | $ (0.24) |
Income (loss) attributable to iStar Inc. from continuing operations—Diluted (in dollars per share) | [2] | (0.07) | 0.21 | (0.70) | (0.24) |
Net income (loss) attributable to iStar Inc.—Basic (in dollars per share) | [2] | (0.07) | 0.26 | (0.70) | (0.24) |
Net income (loss) attributable to iStar Inc.—Diluted (in dollars per share) | [2] | $ (0.07) | $ 0.21 | $ (0.70) | $ (0.24) |
Weighted average number of common shares, Basic | [2] | 85,766 | 85,163 | 85,602 | 84,967 |
Weighted average number of common shares, Diluted | [2] | 85,766 | 130,160 | 85,602 | 84,967 |
Per HPU share data: | |||||
Income (loss) attributable to iStar Inc. from continuing operations—Basic (in dollars per share) | [2],[3] | $ (13.41) | $ 49.60 | $ (132.19) | $ (45.53) |
Income (loss) attributable to iStar Inc. from continuing operations—Diluted (in dollars per share) | [2],[3] | (13.41) | 40.13 | (132.19) | (45.53) |
Net income (loss) attributable to iStar Financial Inc.—Basic (in dollars per share) | [2],[3] | (13.41) | 49.60 | (132.19) | (45.53) |
Net income (loss) attributable to iStar Financial Inc.—Diluted (in dollars per share) | [2],[3] | $ (13.41) | $ 40.13 | $ (132.19) | $ (45.53) |
Weighted average High Performance Units outstanding for basic earnings per share | [2],[3] | 7 | 15 | 12 | 15 |
Weighted average High Performance Units outstanding for diluted earnings per share | [2],[3] | 7 | 15 | 12 | 15 |
[1] | For the three and nine months ended September 30, 2015, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million, respectively. For the three and nine months ended September 30, 2014, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million, respectively. | ||||
[2] | Income (loss) from continuing operations attributable to iStar Inc. was $(19.8) million and $(89.0) million for the three and nine months ended September 30, 2015, respectively, and $8.1 million and $(44.1) million for the three and nine months ended September 30, 2014, respectively. Refer to Note 14 for details on the calculation of earnings per share. | ||||
[3] | All of the Company's outstanding High Performance Units ("HPUs") were repurchased and retired on August 13, 2015 (refer to Note 12) | ||||
[4] | Participating Security holders are non-employee directors who hold common stock equivalents and restricted stock awards granted under the Company's Long Term Incentive Plans that are eligible to participate in dividends (refer to Note 13 and Note 14). |
Consolidated Statements of Ope5
Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income (Loss) from Continuing Operations Attributable to Parent | $ (19.8) | $ 8.1 | $ (89) | $ (44.1) |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Statement of Comprehensive Income [Abstract] | |||||
Net income (loss) | $ 5,958 | $ 35,491 | $ (26,131) | $ 17,720 | |
Other comprehensive income (loss): | |||||
Reclassification of (gains)/losses on available-for-sale securities into earnings upon realization | [1] | 0 | 0 | (2,531) | 0 |
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | [2] | 250 | (32) | 600 | 3,698 |
Realization of (gains)/losses on cumulative translation adjustment into earnings upon realization | [3] | 0 | 0 | 0 | 968 |
Unrealized gains/(losses) on available-for-sale securities | 31 | 23 | (607) | 134 | |
Unrealized gains/(losses) on cash flow hedges | (765) | 411 | (1,566) | (4,193) | |
Unrealized gains/(losses) on cumulative translation adjustment | (123) | (4) | (238) | 320 | |
Other comprehensive income (loss) | (607) | 398 | (4,342) | 927 | |
Comprehensive income (loss) | 5,351 | 35,889 | (30,473) | 18,647 | |
Comprehensive (income) loss attributable to noncontrolling interests | 706 | 410 | 3,176 | (364) | |
Comprehensive income (loss) attributable to iStar Inc. | $ 6,057 | $ 36,299 | $ (27,297) | $ 18,283 | |
[1] | Included in "Other income" in the Company's consolidated statements of operations. | ||||
[2] | Included in "Interest expense" in the Company's consolidated statements of operations are $132 and $251 for the three and nine months ended September 30, 2015, respectively, and $(32) and $64 for the three and nine months ended September 30, 2014, respectively. For the three and nine months ended September 30, 2015, $118 and $349, respectively, are included in "Earnings from equity method investments" in the Company consolidated statements of operations. For the nine months ended September 30, 2014, $3,634 is included in "Other expense" in the Company's consolidated statements of operations (refer to Note 11). | ||||
[3] | Included in "Earnings from equity method investments" in the Company's consolidated statements of operations. |
Consolidated Statements of Com7
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | [1] | $ 250 | $ (32) | $ 600 | $ 3,698 |
Interest Expense | |||||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | 132 | $ (32) | 251 | 64 | |
Earnings from equity method investments | |||||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | $ 118 | $ 349 | |||
Other Expense | |||||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | $ (3,634) | ||||
[1] | Included in "Interest expense" in the Company's consolidated statements of operations are $132 and $251 for the three and nine months ended September 30, 2015, respectively, and $(32) and $64 for the three and nine months ended September 30, 2014, respectively. For the three and nine months ended September 30, 2015, $118 and $349, respectively, are included in "Earnings from equity method investments" in the Company consolidated statements of operations. For the nine months ended September 30, 2014, $3,634 is included in "Other expense" in the Company's consolidated statements of operations (refer to Note 11). |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Preferred Stock | [1] | Series J Preferred Stock | [1] | HPU's | Common Stock at Par | Additional Paid-In Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | Treasury Stock at Cost | Noncontrolling Interests | ||||||
Beginning Balance at Dec. 31, 2013 | $ 1,301,465 | $ 22 | $ 4 | $ 9,800 | $ 144 | $ 4,022,138 | $ (2,521,618) | $ (4,276) | $ (262,954) | $ 58,205 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Dividends declared—preferred | (38,490) | (38,490) | ||||||||||||||||
Issuance of stock/restricted stock unit amortization, net | (11,385) | 2 | (11,387) | |||||||||||||||
Net income (loss) for the period | [2] | 19,046 | 17,353 | 1,693 | ||||||||||||||
Change in accumulated other comprehensive income (loss) | 927 | 927 | ||||||||||||||||
Change in additional paid in capital attributable to redeemable noncontrolling interest | (1,091) | (1,091) | ||||||||||||||||
Contributions from noncontrolling interests | 505 | 505 | ||||||||||||||||
Distributions to noncontrolling interests | (4,787) | (4,787) | ||||||||||||||||
Change in noncontrolling interests | [3] | 3,915 | 3,915 | |||||||||||||||
Ending Balance at Sep. 30, 2014 | 1,262,275 | 22 | 4 | 9,800 | 146 | 4,009,660 | (2,542,755) | (3,349) | (262,954) | 51,701 | ||||||||
Beginning Balance at Dec. 31, 2014 | 1,248,348 | 22 | 4 | 9,800 | 146 | 4,007,514 | (2,556,469) | (971) | (262,954) | 51,256 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Dividends declared—preferred | (38,490) | (38,490) | ||||||||||||||||
Issuance of stock/restricted stock unit amortization, net | 4,320 | 4,320 | ||||||||||||||||
Net income (loss) for the period | [2] | (23,400) | (22,955) | (445) | ||||||||||||||
Change in accumulated other comprehensive income (loss) | (4,342) | (4,342) | ||||||||||||||||
Repurchase of stock | (20,302) | (20,302) | ||||||||||||||||
HPUs acquired during period, value | (9,811) | [4] | $ (9,800) | [4] | 1 | [4] | 15,238 | [4] | (15,250) | [4] | 0 | 0 | 0 | |||||
Change in additional paid in capital attributable to redeemable noncontrolling interest | (3,110) | (3,110) | ||||||||||||||||
Contributions from noncontrolling interests | 127 | 127 | ||||||||||||||||
Distributions to noncontrolling interests | (5,131) | (5,131) | ||||||||||||||||
Ending Balance at Sep. 30, 2015 | $ 1,148,209 | $ 22 | $ 4 | $ 147 | $ 4,023,962 | $ (2,633,164) | $ (5,313) | $ (283,256) | $ 45,807 | |||||||||
[1] | Refer to Note 12 for details on the Company's Cumulative Redeemable Preferred Stock. | |||||||||||||||||
[2] | For the nine months ended September 30, 2015 and 2014, net income (loss) shown above excludes $2,731 and $1,326 of net loss attributable to redeemable noncontrolling interests. | |||||||||||||||||
[3] | During the nine months ended September 30, 2014, the Company sold its 72% interest in a previously consolidated entity to one of its unconsolidated ventures (refer to Note 4 and Note 6). | |||||||||||||||||
[4] | All of the Company's outstanding HPUs were repurchased and retired on August 13, 2015 (refer to Note 12). |
Consolidated Statements of Cha9
Consolidated Statements of Changes in Equity (Parenthetical) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ||
Net Income (Loss) Attributable to Redeemable Noncontrolling Interest | $ (2,731) | $ (1,326) |
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | 72.00% |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | ||
Cash flows from operating activities: | |||
Net income (loss) | $ (26,131) | $ 17,720 | |
Adjustments to reconcile net income (loss) to cash flows from operating activities: | |||
Provision for (recovery of) loan losses | [1] | 30,944 | (6,865) |
Impairment of assets | 5,590 | 21,741 | |
Depreciation and amortization | 49,804 | 55,157 | |
Payments for withholding taxes upon vesting of stock-based compensation | (1,683) | (18,482) | |
Non-cash expense for stock-based compensation | 10,066 | 8,544 | |
Amortization of discounts/premiums and deferred financing costs on debt obligations, net | 12,745 | 12,937 | |
Amortization of discounts/premiums and deferred interest on loans, net | (61,403) | (44,953) | |
(Gain) loss from sales of loans | 0 | (19,067) | |
Earnings from equity method investments | (25,904) | (76,848) | |
Distributions from operations of other investments | 13,487 | 76,719 | |
Deferred operating lease income | (5,374) | (6,787) | |
Income from sales of real estate and land development | (72,294) | (63,357) | |
Loss on early extinguishment of debt, net | 279 | 24,953 | |
Debt discount and prepayment penalty on repayments and repurchases of debt obligations | (576) | (14,532) | |
Other operating activities, net | 12,292 | 33,732 | |
Changes in assets and liabilities: | |||
Changes in accrued interest and operating lease income receivable, net | 834 | 1,189 | |
Changes in deferred expenses and other assets, net | 97 | (4,904) | |
Changes in accounts payable, accrued expenses and other liabilities | (29,737) | (7,247) | |
Cash flows used in operating activities | (86,964) | (10,350) | |
Cash flows from investing activities: | |||
Originations and fundings of loans receivable, net | (435,700) | (361,858) | |
Capital expenditures on real estate assets | (122,588) | (103,511) | |
Acquisitions of real estate assets | 0 | (2,964) | |
Repayments of and principal collections on loans receivable and other lending investments, net | 238,468 | 454,951 | |
Net proceeds from sales of loans receivable | 6,655 | 65,029 | |
Net proceeds from sales of real estate and land development | 310,736 | 331,733 | |
Distributions from other investments | 93,156 | 55,567 | |
Contributions to other investments | (9,304) | (157,431) | |
Changes in restricted cash held in connection with investing activities | (9,065) | 27,187 | |
Other investing activities, net | 12,347 | (998) | |
Cash flows from (used in) investing activities | 84,705 | 307,705 | |
Cash flows from financing activities: | |||
Borrowings from debt obligations | 549,000 | 1,349,822 | |
Repayments of debt obligations | (430,048) | (1,445,635) | |
Proceeds from loan participations payable | 138,075 | 0 | |
Preferred dividends paid | (38,490) | (38,490) | |
Repurchase of stock | (19,004) | 0 | |
Redemption of HPUs | (9,811) | 0 | |
Payments for deferred financing costs | (2,255) | (19,552) | |
Other financing activities, net | (939) | (4,280) | |
Cash flows from (used in) financing activities | 186,528 | (158,135) | |
Effect of exchange rate changes on cash | 412 | 0 | |
Changes in cash and cash equivalents | 184,681 | 139,220 | |
Cash and cash equivalents at beginning of period | 472,061 | 513,568 | |
Cash and cash equivalents at end of period | $ 656,742 | $ 652,788 | |
[1] | For the three and nine months ended September 30, 2015, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million, respectively. For the three and nine months ended September 30, 2014, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million, respectively. |
Business and Organization
Business and Organization | 9 Months Ended |
Sep. 30, 2015 | |
Business and Organization [Abstract] | |
Business and Organization | Business and Organization Business —iStar Inc. (the "Company"), doing business as "iStar", finances, invests in and develops real estate and real estate related projects as part of its fully-integrated investment platform. The Company has invested more than $35 billion over the past two decades and is structured as a real estate investment trust ("REIT") with a diversified portfolio focused on larger assets located in major metropolitan markets. The Company's primary business segments are real estate finance, net lease, operating properties and land & development (refer to Note 16 ). Organization —The Company began its business in 1993 through the management of private investment funds and became publicly traded in 1998. Since that time, the Company has grown through the origination of new investments, as well as through corporate acquisitions. |
Basis of Presentation and Princ
Basis of Presentation and Principles of Consolidation | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation Basis of Presentation —The accompanying unaudited consolidated financial statements have been prepared in conformity with the instructions to Form 10-Q and Article 10-01 of Regulation S-X for interim financial statements. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles in the United States of America ("GAAP") for complete financial statements. These unaudited consolidated financial statements and related notes should be read in conjunction with the consolidated financial statements and related notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2014 , as amended on Form 10-K/A on March 27, 2015 (the " 2014 Annual Report"). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. In the opinion of management, the accompanying consolidated financial statements contain all adjustments, consisting of normal recurring adjustments necessary for a fair statement of the results for the interim periods presented. Such operating results may not be indicative of the expected results for any other interim periods or the entire year. Certain prior year amounts have been reclassified in the consolidated financial statements and the related notes to conform to the 2015 presentation. During the year ended December 31, 2014, the Company determined that its classification of proceeds received from land sales for the quarterly periods ended March 31, June 30 and September 30, 2014 was incorrectly classified as a component of cash flows from operating activities rather than cash flows from investing activities. The Company evaluated the impact on the previously issued statements of cash flows for the aforementioned periods and concluded that it was not material. However, in order to correctly present such cash flows, the Company will revise the amounts as those financial statements are presented in the respective 2015 quarterly filings. The impact of the correction for the nine months ended September 30, 2014 is as follows ($ in thousands): As Previously Reported Change As Revised Cash flows from operating activities: Nine months ended September 30, 2014 $ 1,570 $ (11,920 ) $ (10,350 ) Cash flows from investing activities: Nine months ended September 30, 2014 $ 295,785 $ 11,920 $ 307,705 Principles of Consolidation —The consolidated financial statements include the financial statements of the Company, its wholly owned subsidiaries, controlled partnerships and variable interest entities ("VIEs") for which the Company is the primary beneficiary. All significant intercompany balances and transactions have been eliminated in consolidation. The Company's involvement with VIEs affects its financial performance and cash flows primarily through amounts recorded in "Operating lease income," "Earnings from equity method investments," "Real estate expense" and "Interest expense" in the Company's consolidated statements of operations. The Company has not provided financial support to those VIEs that it was not previously contractually required to provide. Consolidated VIEs —As of September 30, 2015 , the Company consolidated four VIEs for which it is considered the primary beneficiary. As of September 30, 2015 , the total assets of these consolidated VIEs were $202.1 million and total liabilities were $26.1 million . The classifications of these assets are primarily within "Real estate, net" and "Other investments" on the Company's consolidated balance sheets. The classifications of liabilities are primarily within "Accounts payable, accrued expenses and other liabilities" on the Company's consolidated balance sheets. The liabilities of these VIEs are non-recourse to the Company and can only be satisfied from each VIE's respective assets. The Company's total unfunded commitments related to consolidated VIEs was $38.8 million as of September 30, 2015 . Unconsolidated VIEs —As of September 30, 2015 , 25 of the Company's investments were in VIEs where it is not the primary beneficiary and accordingly the VIEs have not been consolidated in the Company's consolidated financial statements. As of September 30, 2015 , the Company's maximum exposure to loss from these investments does not exceed the sum of the $161.9 million carrying value of the investments, which are classified in "Other investments" on the Company's consolidated balance sheets, and $21.6 million of related unfunded commitments. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Loan participations payable, net — The Company accounts for transfers of financial assets under ASC Topic 860, “Transfers and Servicing”, as either sales or secured borrowings. Transfers of financial assets that result in sales accounting are those in which (1) the transfer legally isolates the transferred assets from the transferor, (2) the transferee has the right to pledge or exchange the transferred assets and no condition both constrains the transferee’s right to pledge or exchange the assets and provides more than a trivial benefit to the transferor, and (3) the transferor does not maintain effective control over the transferred assets. If the transfer does not meet these criteria, the transfer is presented on the balance sheet as "Loan participations payable, net". Financial asset activities that are accounted for as sales are removed from the balance sheet with any realized gain (loss) reflected in earnings during the period of sale. As of September 30, 2015 , the remainder of the Company's significant accounting policies, which are detailed in the Company's 2014 Annual Report, have not changed materially. New Accounting Pronouncements — In September 2015, the FASB issued ASU 2015-16, Simplifying the Accounting for Measurement-Period Adjustments ("ASU 2015-16") which requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustments are determined. The amendments in ASU 2015-16 require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendments in ASU 2015-16 also require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been issued. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03") which requires debt issuance costs to be presented as a deduction from the carrying value of the related debt obligation in the balance sheet, which is consistent with the presentation of debt discounts. In August 2015, the FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, which clarified that ASU 2015-03 does not address issuance costs associated with revolving-debt arrangements and that it would be acceptable for an entity deferring such costs to present such costs as an asset and subsequently amortize the costs ratably over the term of the revolving debt arrangement. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In February 2015, the FASB issued ASU 2015-02, Amendments to the Consolidation Analysis ("ASU 2015-02") which updates the consolidation model for limited partnerships and similar legal entities. ASU 2015-02 includes the evaluation of fees paid to a decision maker as a variable interest and amends the effect of fee arrangements and related parties on the primary beneficiary determination. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In November 2014, the FASB issued ASU 2014-16, Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share is More Akin to Debt or to Equity ("ASU 2014-16") which eliminates the diversity in practice for the accounting for hybrid financial instruments issued in the form of a share. ASU 2014-16 requires management to consider all terms and features, whether stated or implied, of a hybrid instrument when determining whether the nature of the instrument is more akin to a debt instrument or an equity instrument. Embedded derivative features, which are accounted for separately from host contracts, should also be considered in the analysis of the hybrid instrument. ASU 2014-16 is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern ("ASU 2014-15") which requires management to evaluate whether there is substantial doubt that the Company is able to continue operating as a going concern within one year after the date the financial statements are issued or available to be issued. If there is substantial doubt, additional disclosure is required, including the principal condition or event that raised the substantial doubt, the Company's evaluation of the condition or event in relation to its ability to meet its obligations and the Company's plan to alleviate (or, which is intended to alleviate) the substantial doubt. ASU 2014-15 is effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period ("ASU 2014-12") which requires a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition in accordance with Topic 718, Compensation—Stock Compensation . ASU 2014-12 is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU 2014-09, Revenue from Contracts with Customers ("ASU 2014-09") which supersedes existing industry-specific guidance, including ASC 360-20, Real Estate Sales . The new standard is principles-based and requires more estimates and judgment than current guidance. Certain contracts with customers, including lease contracts and financial instruments and other contractual rights, are not within the scope of the new guidance. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers - Deferral of the Effective Date , to defer the effective date of ASU 2014-09 by one year. ASU 2014-09 is now effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted beginning January 1, 2017. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. |
Real Estate
Real Estate | 9 Months Ended |
Sep. 30, 2015 | |
Real Estate [Abstract] | |
Real Estate | Real Estate The Company's real estate assets were comprised of the following ($ in thousands): Net Lease Operating Properties Land & Development Total As of September 30, 2015 Land and land improvements, at cost $ 309,522 $ 134,490 $ 874,543 $ 1,318,555 Buildings and improvements, at cost 1,227,500 423,058 — 1,650,558 Less: accumulated depreciation (386,225 ) (82,821 ) (9,529 ) (478,575 ) Real estate, net 1,150,797 474,727 865,014 2,490,538 Real estate available and held for sale (1) 1,953 136,945 157,693 296,591 Total real estate $ 1,152,750 $ 611,672 $ 1,022,707 $ 2,787,129 As of December 31, 2014 Land and land improvements, at cost $ 311,890 $ 146,417 $ 868,650 $ 1,326,957 Buildings and improvements, at cost 1,240,593 578,013 — 1,818,606 Less: accumulated depreciation (364,323 ) (96,159 ) (8,367 ) (468,849 ) Real estate, net 1,188,160 628,271 860,283 2,676,714 Real estate available and held for sale (1) 4,521 162,782 118,679 285,982 Total real estate $ 1,192,681 $ 791,053 $ 978,962 $ 2,962,696 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , the Company had $132.8 million and $155.8 million , respectively, of residential properties available for sale in its operating properties portfolio. Real Estate Available and Held for Sale— During the nine months ended September 30, 2015 , the Company reclassified residential units and lots with a carrying value of $55.5 million and net lease assets with a carrying value of $8.2 million to held for sale due to substantial completion of construction and active marketing for sale. During the nine months ended September 30, 2015 , the Company reclassified a commercial operating property with a carrying value of $2.9 million to held for investment due to a change in business strategy. Acquisitions— The following acquisitions of real estate were reflected in the Company's consolidated statements of cash flows for the nine months ended September 30, 2015 and 2014 ($ in thousands): For the Nine Months Ended September 30, 2015 2014 Acquisitions of real estate assets — 2,964 (1) _______________________________________________________________________________ (1) During the nine months ended September 30, 2014 , the Company purchased two condominium units for $3.0 million . During the nine months ended September 30, 2015 , the Company acquired, via deed-in-lieu, title to a residential property, which had a total fair value of $13.4 million and previously served as collateral for loans receivable held by the Company. No gain or loss was recorded in connection with this transaction. During the nine months ended September 30, 2014 , the Company acquired, via deed-in-lieu, title to three commercial operating properties and a land asset, which had a total fair value of $77.9 million and previously served as collateral for loans receivable held by the Company. No gain or loss was recorded in connection with this transaction. The following table summarizes the Company's pro forma revenues and net income for the nine months ended September 30, 2014 , as if the acquisition of the properties acquired during the nine months ended September 30, 2014 was completed on January 1, 2013 ($ in thousands): Pro forma total revenues 356,378 Pro forma net income (loss) 17,306 From the date of acquisition through September 30, 2014 , $5.3 million in total revenues and $1.7 million in net loss of the acquiree are included in the Company’s consolidated statements of operations for the three and nine months ended September 30, 2014 . The pro forma revenues and net income are presented for informational purposes only and may not be indicative of what the actual results of operations of the Company would have been assuming the transaction occurred on January 1, 2013, nor do they purport to represent the Company’s results of operations for future periods. Dispositions— During the nine months ended September 30, 2015 and 2014 , the Company sold residential condominiums for total net proceeds of $113.4 million and $165.6 million , respectively, and recorded income from sales of real estate totaling $36.8 million and $56.9 million , respectively. During the nine months ended September 30, 2015 , the Company sold net lease assets for net proceeds of $39.4 million resulting in a gain of $15.6 million . The gain was recorded in "Income from sales of real estate" in the Company's consolidated statements of operations. During the nine months ended September 30, 2015, the Company sold a commercial operating property for $68.5 million to a newly formed unconsolidated entity in which the Company owns a 50.0% equity interest (refer to Note 6). The Company recognized a gain on sale of $13.6 million , reflecting the Company's share of the interest sold, which was recorded as "Income from sales of real estate" in the Company's consolidated statements of operations. During the nine months ended September 30, 2015 , the Company sold residential lots and units for proceeds of $29.1 million which had associated cost of sales of $22.8 million . In April 2015 , the Company transferred a land asset to a purchaser at a stated price of $16.1 million , as part of an agreement to construct an amphitheater, for which the Company received proceeds of $5.3 million , with the remainder to be received upon completion of the development project. Due to the Company's continuing involvement in the project, no sale was recognized and the proceeds were recorded in "Accounts payable, accrued expenses and other liabilities" on the Company's consolidated balance sheets (refer to Note 7 ). During the nine months ended September 30, 2014 , the Company sold residential lots and units for proceeds of $11.9 million which had associated cost of sales of $10.0 million . During the nine months ended September 30, 2015 , the Company, through a consolidated entity for which it has a 90% ownership interest, sold a leasehold interest in a commercial operating property for net proceeds of $93.5 million and simultaneously entered into a ground lease with an initial term of 99 years . In connection with this transaction, the Company recorded a lease incentive asset of $38.1 million , which is included in "Deferred expenses and other assets, net" on the Company's consolidated balance sheets, and deferred a gain of $5.3 million , which is included in "Accounts payable, accrued expenses and other liabilities" on the Company's consolidated balance sheets. During the nine months ended September 30, 2014 , the Company sold a net lease asset for net proceeds of $93.7 million which approximated carrying value to a newly formed unconsolidated entity in which the Company has a noncontrolling equity interest of 51.9% and contributed land with a carrying value of $9.5 million to newly formed unconsolidated entities (refer to Note 6). The Company also sold its 72% interest in a previously consolidated entity, which owns a net lease asset subject to a non-recourse mortgage of $26.0 million , for net proceeds of $10.1 million that approximated carrying value (refer to Note 6). During the nine months ended September 30, 2014 , the Company sold properties with a carrying value of $6.8 million for proceeds that approximated carrying value and sold a commercial operating property with a carrying value of $29.4 million resulting in a gain of $4.6 million . The gain was recorded as "Income from sales of real estate" in the Company's consolidated statements of operations. During the same period, the Company also sold a net lease asset for net proceeds of $7.8 million . The Company recorded an impairment loss of $3.0 million in connection with the sale. Impairments— During the nine months ended September 30, 2015 and September 30, 2014 , the Company recorded impairments on real estate assets totaling $5.6 million and $21.7 million , respectively. The impairment recorded in 2015 resulted from a change in business strategy for two commercial operating properties and unfavorable local market conditions for one residential property. Of the impairment recorded in 2014, $15.4 million resulted from unfavorable local market conditions for two real estate properties, $3.3 million resulted from a change in business strategy for a residential property and $3.0 million resulted from the sale of a net lease asset. Tenant Reimbursements— The Company receives reimbursements from tenants for certain facility operating expenses including common area costs, insurance, utilities and real estate taxes. Tenant expense reimbursements were $6.8 million and $20.4 million for the three and nine months ended September 30, 2015 , respectively, and $7.6 million and $23.1 million for the three and nine months ended September 30, 2014 . These amounts are included in "Operating lease income" in the Company's consolidated statements of operations. Redeemable Noncontrolling Interest— As of September 30, 2015 and December 31, 2014 , the Company had a redeemable noncontrolling interest of $7.8 million and $9.9 million , respectively, which is not currently redeemable, for which the Company records changes in the fair value over the redemption periods. As of September 30, 2015 and December 31, 2014 , this interest had an estimated redemption value of $11.1 million and $23.6 million , respectively. Allowance for Doubtful Accounts— As of September 30, 2015 and December 31, 2014 , the allowance for doubtful accounts related to real estate tenant receivables was $2.0 million and $1.3 million , respectively, and the allowance for doubtful accounts related to deferred operating lease income was $2.4 million at both dates. These amounts are included in "Accrued interest and operating lease income receivable, net" and "Deferred operating lease income receivable, net", respectively, on the Company's consolidated balance sheets. |
Loans Receivable and Other Lend
Loans Receivable and Other Lending Investments, net | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
Loans Receivable and Other Lending Investments, net | Loans Receivable and Other Lending Investments, net The following is a summary of the Company's loans receivable and other lending investments by class ($ in thousands): As of Type of Investment September 30, December 31, Senior mortgages $ 923,138 $ 737,535 Corporate/Partnership loans 671,738 497,796 Subordinate mortgages 28,633 53,331 Total gross carrying value of loans 1,623,509 1,288,662 Reserves for loan losses (128,558 ) (98,490 ) Total loans receivable, net 1,494,951 1,190,172 Other lending investments—securities 90,448 187,671 Total loans receivable and other lending investments, net (1) $ 1,585,399 $ 1,377,843 _______________________________________________________________________________ (1) The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million , respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. In June 2015 , the Company received a loan with a fair value of $146.7 million as a non-cash paydown on an existing loan and reduced the principal balance by the same amount. The loan received has been recorded as a loan receivable and is included in "Loans receivable and other lending investments, net" on the Company’s consolidated balance sheet. During the nine months ended September 30, 2015 , the Company sold a loan with a carrying value of $5.5 million . No gain or loss was recognized as a result of the transaction. During the nine months ended September 30, 2014 , the Company sold loans with an aggregate carrying value of $30.8 million , which resulted in a realized gain of $19.1 million . Gains and losses on sales of loans are included in "Other income" in the Company's consolidated statements of operations. Reserve for Loan Losses —Changes in the Company's reserve for loan losses were as follows ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Reserve for loan losses at beginning of period $ 121,934 $ 137,904 $ 98,490 $ 377,204 Provision for (recovery of) loan losses (1) 7,500 (673 ) 30,944 (6,865 ) Charge-offs (876 ) (17,324 ) (876 ) (250,432 ) Reserve for loan losses at end of period $ 128,558 $ 119,907 $ 128,558 $ 119,907 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2015 , the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million , respectively. For the three and nine months ended September 30, 2014 , the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million , respectively. The Company's recorded investment in loans (comprised of a loan's carrying value plus accrued interest) and the associated reserve for loan losses were as follows ($ in thousands): Individually Evaluated for Impairment (1) Collectively Evaluated for Impairment (2) Total As of September 30, 2015 Loans $ 178,136 $ 1,454,295 $ 1,632,431 Less: Reserve for loan losses (95,520 ) (33,038 ) (128,558 ) Total $ 82,616 $ 1,421,257 $ 1,503,873 As of December 31, 2014 Loans $ 139,672 $ 1,156,031 $ 1,295,703 Less: Reserve for loan losses (64,990 ) (33,500 ) (98,490 ) Total $ 74,682 $ 1,122,531 $ 1,197,213 _______________________________________________________________________________ (1) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $0.2 million and $0.2 million as of September 30, 2015 and December 31, 2014 , respectively. The Company's loans individually evaluated for impairment primarily represent loans on non-accrual status and therefore, the unamortized amounts associated with these loans are not currently being amortized into income. (2) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $8.9 million and $10.6 million as of September 30, 2015 and December 31, 2014 , respectively. Credit Characteristics —As part of the Company's process for monitoring the credit quality of its loans, it performs a quarterly loan portfolio assessment and assigns risk ratings to each of its performing loans. Risk ratings, which range from 1 (lower risk) to 5 (higher risk), are based on judgments which are inherently uncertain and there can be no assurance that actual performance will be similar to current expectation. The Company's recorded investment in performing loans, presented by class and by credit quality, as indicated by risk rating, was as follows ($ in thousands): As of September 30, 2015 As of December 31, 2014 Performing Loans Weighted Average Risk Ratings Performing Loans Weighted Average Risk Ratings Senior mortgages $ 798,972 2.94 $ 611,009 2.73 Corporate/Partnership loans 626,332 3.40 501,620 3.88 Subordinate mortgages 28,991 3.64 53,836 2.87 Total $ 1,454,295 3.15 $ 1,166,465 3.23 As of September 30, 2015 , the Company's recorded investment in loans, aged by payment status and presented by class, were as follows ($ in thousands): Current Less Than and Equal to 90 Days Greater Than 90 Days (1) Total Past Due Total Senior mortgages $ 810,706 $ — $ 116,509 $ 116,509 $ 927,215 Corporate/Partnership loans 676,225 — — — 676,225 Subordinate mortgages 28,991 — — — 28,991 Total $ 1,515,922 $ — $ 116,509 $ 116,509 $ 1,632,431 _______________________________________________________________________________ (1) As of September 30, 2015 , the Company had four loans which were greater than 90 days delinquent and were in various stages of resolution, including legal proceedings, environmental concerns and foreclosure-related proceedings, and ranged from 1.0 to 7.0 years outstanding. Impaired Loans —The Company's recorded investment in impaired loans, presented by class, were as follows ($ in thousands) (1) : As of September 30, 2015 As of December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With an allowance recorded: Senior mortgages $ 128,243 $ 127,285 $ (69,627 ) $ 130,645 $ 129,744 $ (64,440 ) Corporate/Partnership loans 49,893 49,893 (25,893 ) 9,027 9,057 (550 ) Total $ 178,136 $ 177,178 $ (95,520 ) $ 139,672 $ 138,801 $ (64,990 ) ____________________________________________________________ (1) All of the Company's non-accrual loans are considered impaired and included in the table above. As of December 31, 2014 , impaired loans also includes certain loans modified through troubled debt restructurings in accordance with GAAP with a recorded investment of $10.4 million although they are performing and on accrual status. The Company did not have impaired loans without related allowances recorded. The Company's average recorded investment in impaired loans and interest income recognized, presented by class, were as follows ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Average Interest Average Interest Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Senior mortgages $ — $ — $ 40,635 $ 1,234 $ — $ — $ 44,574 $ 1,922 With an allowance recorded: Senior mortgages 128,969 4 192,513 18 129,730 38 385,277 140 Corporate/Partnership loans 49,893 — 34,330 40 28,880 12 63,948 157 Subtotal 178,862 4 226,843 58 158,610 50 449,225 297 Total: Senior mortgages 128,969 4 233,148 1,252 129,730 38 429,851 2,062 Corporate/Partnership loans 49,893 — 34,330 40 28,880 12 63,948 157 Total $ 178,862 $ 4 $ 267,478 $ 1,292 $ 158,610 $ 50 $ 493,799 $ 2,219 Troubled Debt Restructurings —During the three and nine months ended September 30, 2015 , the Company modified two loans that were determined to be troubled debt restructurings. The Company restructured one non-performing loan with a recorded investment of $5.8 million to grant a maturity extension of one year. The Company also modified one non-performing loan with a recorded investment of $11.6 million to grant a discounted payoff option and a maturity extension of one year. The Company's recorded investment in these loans was not impacted by the modifications. During the three and nine months ended September 30, 2014, the Company restructured one non-performing loan that was determined to be a troubled debt restructuring with a recorded investment of $7.0 million to grant a maturity extension of one year and included conditional extension options. The Company's recorded investment in this loan was not impacted by the modification. Generally when granting concessions, the Company will seek to protect its position by requiring incremental pay downs, additional collateral or guarantees and in some cases lookback features or equity kickers to offset concessions granted should conditions impacting the loan improve. The Company's determination of credit losses is impacted by troubled debt restructurings whereby loans that have gone through troubled debt restructurings are considered impaired, assessed for specific reserves, and are not included in the Company's assessment of general loan loss reserves. Loans previously restructured under troubled debt restructurings that subsequently default are reassessed to incorporate the Company's current assumptions on expected cash flows and additional provision expense is recorded to the extent necessary. As of September 30, 2015 , there were no unfunded commitments associated with modified loans considered troubled debt restructurings. Securities —Other lending investments—securities includes the following ($ in thousands): Face Value Amortized Cost Basis Net Unrealized Gain (Loss) Estimated Fair Value Net Carrying Value As of September 30, 2015 Available-for-Sale Securities Municipal debt securities $ 1,010 $ 1,010 $ 121 $ 1,131 $ 1,131 Held-to-Maturity Securities Corporate debt securities 83,193 89,317 — 90,253 89,317 Total $ 84,203 $ 90,327 $ 121 $ 91,384 $ 90,448 As of December 31, 2014 Available-for-Sale Securities Municipal debt securities $ 1,020 $ 1,020 $ 147 $ 1,167 $ 1,167 Held-to-Maturity Securities Corporate debt securities 176,254 186,504 — 190,199 186,504 Total $ 177,274 $ 187,524 $ 147 $ 191,366 $ 187,671 |
Other Investments
Other Investments | 9 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
Other Investments | Other Investments The Company's other investments and its proportionate share of earnings (losses) from equity method investments were as follows ($ in thousands): Carrying Value as of Equity in Earnings (Losses) September 30, 2015 December 31, 2014 For the Three Months Ended September 30, For the Nine Months 2015 2014 2015 2014 iStar Net Lease I LLC ("Net Lease Venture") $ 68,719 $ 125,361 $ 971 $ 349 $ 4,270 $ 152 Other real estate equity investments (1) 81,437 88,848 (2,906 ) 33,509 (4,545 ) 36,004 Other investments (2)(3) 51,751 63,262 2,159 11,889 6,658 39,863 Madison Funds 38,299 45,971 331 3,982 (115 ) 1,591 Marina Palms, LLC ("Marina Palms") 50,313 30,677 10,017 (151 ) 19,636 (762 ) Total other investments 290,519 354,119 $ 10,572 $ 49,578 $ 25,904 $ 76,848 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2014 , the Company recognized $32.9 million of earnings from equity method investments resulting from asset sales by one of its equity method investees. (2) For the nine months ended September 30, 2014 , the Company recognized $23.4 million of earnings from equity method investments resulting from asset sales and a legal settlement by one of its equity method investees. (3) In conjunction with the sale of the Company's interests in Oak Hill Advisors, L.P. in 2011, the Company retained a share of the carried interest related to various funds. During the three and nine months ended September 30, 2014 , the Company recognized $9.0 million of carried interest income. Net Lease Venture —In February 2014 , the Company partnered with a sovereign wealth fund to form a new unconsolidated entity in which the Company has a noncontrolling equity interest of approximately 51.9% . This entity is not a VIE and the Company does not have controlling interest due to the substantive participating rights of its partner. The partners plan to contribute up to an aggregate $500 million of equity to acquire and develop net lease assets over time. The Company is responsible for sourcing new opportunities and managing the venture and its assets in exchange for a promote and management fee. Several of the Company's officers whose time is substantially devoted to the net lease venture own a total of 0.6% equity ownership in the venture via co-investment. These officers are also entitled to an amount equal to 50% of any promote payment received based on the 47.5% partner's interest. During the nine months ended September 30, 2014 , the Company sold a net lease asset for net proceeds of $93.7 million , which approximated carrying value, to the venture. The Company also sold its 72% interest in a previously consolidated entity, which owns a net lease asset subject to a mortgage of $26.0 million , to the venture for net proceeds of $10.1 million , which approximated carrying value. During the same period, the venture purchased a portfolio of 58 net lease assets for a purchase price of $200.0 million from a third party. As of September 30, 2015 and December 31, 2014 , the venture's carrying value of total assets was $387.2 million and $348.1 million , respectively. In June 2015, the venture placed ten year financing of $120.0 million on one of its net lease assets. Net proceeds from the financing were distributed to its members of which the Company received approximately $61.2 million . Marina Palms —As of September 30, 2015 , the Company owned a 47.5% equity interest and a $10.0 million preferred partnership interest in Marina Palms, a residential condominium development. As of September 30, 2015 and December 31, 2014 , the venture's carrying value of total assets was $376.0 million and $265.7 million , respectively. Other real estate equity investments —During the nine months ended September 30, 2015 , the Company sold a commercial operating property for $68.5 million to a newly formed unconsolidated entity in which the Company owns a 50.0% equity interest (refer to Note 4). The venture placed financing on the property and proceeds from the financing were distributed to its members. Net proceeds received by the Company were $55.4 million , which was net of the Company's $13.6 million non-cash equity contribution to the venture and inclusive of a $21.0 million distribution from the financing proceeds. This entity is not a VIE and the Company does not have a controlling interest due to shared control of the entity with its partner. During the nine months ended September 30, 2014 , the Company contributed land to a newly formed unconsolidated entity in which the Company received an initial equity interest of 85.7% . This entity is a VIE and the Company does not have controlling interest due to shared control of the entity with its partner. As of September 30, 2015 and December 31, 2014 , the venture's carrying value of total assets was $7.4 million and $9.4 million , respectively. Additionally, the Company committed to provide $45.7 million of mezzanine financing to the entity. As of September 30, 2015 , the loan balance was $32.3 million and was included in "Loans receivable and other lending investments, net" on the Company's consolidated balance sheets. As of September 30, 2015 , the Company's other real estate equity investments included equity interests in real estate ventures ranging from 16% to 76% , comprised of investments of $11.3 million in operating properties and $62.6 million in land assets. As of December 31, 2014 , the Company's real estate equity investments included $13.2 million in operating properties and $66.1 million in land assets. Madison Funds —As of September 30, 2015 , the Company owned a 29.5% interest in Madison International Real Estate Fund II, LP, a 32.9% interest in Madison International Real Estate Liquidity Fund III, LP, a 32.9% interest in Madison International Real Estate Liquidity Fund III AIV, LP and a 29.5% interest in Madison GP1 Investors, LP (collectively, the "Madison Funds"). The Madison Funds invest in ownership positions of entities that own real estate assets. The Company determined that these entities are VIEs and that the Company is not the primary beneficiary. Other investments —As of September 30, 2015 , the Company also had smaller investments in real estate related funds and other strategic investments in several other entities that were accounted for under the equity method or cost method. During the nine months ended September 30, 2015 , the Company sold available-for-sale securities for proceeds of $7.3 million for realized gains of $2.5 million , which are included in "Other income" in the Company's consolidated statements of operations. The amount reclassified out of accumulated other comprehensive income into earnings was determined based on the specific identification method. Summarized investee financial information —The following table presents the investee level summarized financial information of the Company's equity method investments, which were significant subsidiaries for the nine months ended September 30, 2015 ($ in thousands): Revenues Expenses Net Income Attributable to Parent Entities For the Nine Months Ended September 30, 2015 Marina Palms $ 142,419 $ (88,661 ) $ 53,758 For the Nine Months Ended September 30, 2014 Marina Palms $ 86 $ (1,694 ) $ (1,608 ) |
Other Assets and Other Liabilit
Other Assets and Other Liabilities | 9 Months Ended |
Sep. 30, 2015 | |
Other Assets and Other Liabilities [Abstract] | |
Other Assets and Other Liabilities | Other Assets and Other Liabilities Deferred expenses and other assets, net, consist of the following items ($ in thousands): As of September 30, 2015 December 31, 2014 Intangible assets, net (1) $ 73,588 $ 50,088 Other assets 30,163 37,085 Deferred financing fees, net (2) 29,834 36,774 Restricted cash 28,125 19,283 Other receivables 24,146 13,115 Leasing costs, net (3) 18,920 20,031 Corporate furniture, fixtures and equipment, net (4) 4,621 5,409 Deferred expenses and other assets, net $ 209,397 $ 181,785 _______________________________________________________________________________ (1) Intangible assets, net are primarily related to the acquisition of real estate assets. This balance also includes a lease incentive asset of $38.1 million (refer to Note 4 ). Accumulated amortization on intangible assets was $35.5 million and $45.1 million as of September 30, 2015 and December 31, 2014 , respectively. The amortization of above market leases and lease incentive assets decreased operating lease income in the Company's consolidated statements of operations by $1.8 million and $5.5 million for the three and nine months ended September 30, 2015 , respectively, and $1.6 million and $5.6 million for the three and nine months ended September 30, 2014 , respectively. These intangible lease assets are amortized over the term of the lease. The amortization expense for other intangible assets was $0.9 million and $3.0 million for the three and nine months ended September 30, 2015 , respectively, and $1.1 million and $4.9 million for the three and nine months ended September 30, 2014 , respectively. These amounts are included in "Depreciation and amortization" in the Company's consolidated statements of operations. (2) Accumulated amortization on deferred financing fees was $24.6 million and $15.4 million as of September 30, 2015 and December 31, 2014 , respectively. (3) Accumulated amortization on leasing costs was $9.8 million and $9.0 million as of September 30, 2015 and December 31, 2014 , respectively. (4) Accumulated depreciation on corporate furniture, fixtures and equipment was $7.8 million and $7.1 million as of September 30, 2015 and December 31, 2014 , respectively. Accounts payable, accrued expenses and other liabilities consist of the following items ($ in thousands): As of September 30, 2015 December 31, 2014 Other liabilities (1) $ 76,770 $ 48,256 Accrued expenses 60,017 62,866 Accrued interest payable 42,457 57,895 Intangible liabilities, net (2) 10,785 11,885 Accounts payable, accrued expenses and other liabilities $ 190,029 $ 180,902 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , "Other liabilities" includes $13.6 million and $6.8 million , respectively, related to a profit sharing payable to a developer for residential units sold. As of September 30, 2015 and December 31, 2014 , "Other liabilities" also includes $6.9 million and $7.7 million , respectively, related to tax increment financing bonds which were issued by a governmental entity to fund the installation of infrastructure within one of the Company's master planned community developments. The balance represents a special assessment associated with each individual land parcel, which will decrease as the Company sells parcels. As of September 30, 2015, includes $1.3 million related to treasury share repurchases that settled in October 2015. (2) Intangible liabilities, net are primarily related to the acquisition of real estate assets. Accumulated amortization on intangible liabilities was $6.3 million and $6.2 million as of September 30, 2015 and December 31, 2014 , respectively. The amortization of intangible liabilities increased operating lease income in the Company's consolidated statements of operations by $0.5 million and $1.2 million for the three and nine months ended September 30, 2015 , respectively, and $0.5 million and $2.1 million for the three and nine months ended September 30, 2014 , respectively. Deferred tax assets and liabilities of the Company's TRS entities were as follows ($ in thousands): As of September 30, 2015 December 31, 2014 Deferred tax assets (1) $ 64,165 $ 54,318 Valuation allowance (64,165 ) (54,318 ) Net deferred tax assets (liabilities) $ — $ — _______________________________________________________________________________ (1) Deferred tax assets as of September 30, 2015 include timing differences related primarily to asset basis of $41.7 million , deferred expenses and other items of $18.9 million and net operating loss ("NOL") carryforwards of $3.6 million . Deferred tax assets as of December 31, 2014 , include timing differences related primarily to asset basis of $45.2 million , NOL carryforwards of $4.1 million and deferred expenses and other items of $5.0 million . |
Loan Participations Payable, ne
Loan Participations Payable, net (Notes) | 9 Months Ended |
Sep. 30, 2015 | |
Loan Participations Payable [Abstract] | |
Loan Participations Payable, net | Loan Participations Payable, net During the nine months ended September 30, 2015 , the Company transferred to a third party a $100.0 million junior loan participation in a $250.0 million mezzanine loan commitment that it had previously originated. The Company had funded $38.9 million of the junior loan prior to transfer and received proceeds of $38.9 million upon transfer. The transferee is responsible for funding the remaining $61.1 million under the junior loan commitment, which bears interest at a rate of 5.90% . The Company will fund these commitments if the transferee defaults. For the nine months ended September 30, 2015 , the transferee funded an additional $10.0 million directly to the borrower. During the nine months ended September 30, 2015 , the Company transferred to a third party a $100.0 million senior loan participation in a $220.2 million senior loan commitment that it had previously originated. The transferred participation bears interest at a rate of LIBOR+ 3.50% with a LIBOR floor of 0.25% . The Company had fully funded the $100.0 million transferred participation prior to transfer and received net proceeds of $99.2 million . These transfers of financial assets did not meet the sales criteria established under ASC Topic 860 and have been accounted for as loan participations payable as of September 30, 2015 , with a balance of $148.2 million , net of a discount. As of September 30, 2015 , the corresponding loan receivable balances were $148.9 million and are included in "Loans receivable and other lending investments, net" on the Company's consolidated balance sheets. The principal and interest due on these participations are paid from cash flows of the corresponding loans receivable, which serve as collateral for the participations. |
Debt Obligations, net
Debt Obligations, net | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt Obligations, net | Debt Obligations, net As of September 30, 2015 and December 31, 2014 , the Company's debt obligations were as follows ($ in thousands): Carrying Value as of Stated Interest Rates Scheduled Maturity Date September 30, 2015 December 31, 2014 Secured credit facilities and term loans: 2012 Tranche A-2 Facility $ 339,860 $ 358,504 LIBOR + 5.75% (1) March 2017 2015 Revolving Credit Facility 250,000 — Various (2) March 2018 Term loans collateralized by net lease assets 241,740 248,955 4.851% - 7.26% (3) Various through 2026 Total secured credit facilities and term loans 831,600 607,459 Unsecured notes: 6.05% senior notes — 105,765 6.05 % — 5.875% senior notes 261,403 261,403 5.875 % March 2016 3.875% senior notes 265,000 265,000 3.875 % July 2016 3.00% senior convertible notes (4) 200,000 200,000 3.00 % November 2016 1.50% senior convertible notes (5) 200,000 200,000 1.50 % November 2016 5.85% senior notes 99,722 99,722 5.85 % March 2017 9.00% senior notes 275,000 275,000 9.00 % June 2017 4.00% senior notes 550,000 550,000 4.00 % November 2017 7.125% senior notes 300,000 300,000 7.125 % February 2018 4.875% senior notes 300,000 300,000 4.875 % July 2018 5.00% senior notes 770,000 770,000 5.00 % July 2019 Total unsecured notes 3,221,125 3,326,890 Other debt obligations: Other debt obligations 100,000 100,000 LIBOR + 1.50% October 2035 Total debt obligations 4,152,725 4,034,349 Debt discounts, net (7,908 ) (11,665 ) Total debt obligations, net (6) $ 4,144,817 $ 4,022,684 _______________________________________________________________________________ (1) The loan has a LIBOR floor of 1.25% . As of September 30, 2015 , inclusive of the floor, the 2012 Tranche A-2 Facility loan incurred interest at a rate of 7.00% . (2) The loan bears interest at the Company's election of either (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.5% or (c) LIBOR plus 1.00% and subject to a margin ranging from 1.25% to 1.75% , or (ii) LIBOR subject to a margin ranging from 2.25% to 2.75% . At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through March 2019. (3) As of September 30, 2015 and December 31, 2014 , includes a loan with a floating rate of LIBOR plus 2.00% . As of September 30, 2015 , the weighted average interest rate of these loans is 5.3% . (4) The Company's 3.00% senior convertible fixed rate notes due November 2016 (" 3.00% Convertible Notes") are convertible at the option of the holders, into 85.0 shares per $1,000 principal amount of 3.00% Convertible Notes, at $11.77 per share at any time prior to the close of business on November 14, 2016. (5) The Company's 1.50% senior convertible fixed rate notes due November 2016 (" 1.50% Convertible Notes") are convertible at the option of the holders, into 57.8 shares per $1,000 principal amount of 1.50% Convertible Notes, at $17.29 per share at any time prior to the close of business on November 14, 2016. (6) The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014 . Future Scheduled Maturities —As of September 30, 2015 , future scheduled maturities of outstanding debt obligations are as follows ($ in thousands): Unsecured Debt Secured Debt Total 2015 (remaining three months) $ — $ — $ — 2016 926,403 — 926,403 2017 924,722 339,860 1,264,582 2018 600,000 263,790 863,790 2019 770,000 31,183 801,183 Thereafter 100,000 196,767 296,767 Total principal maturities 3,321,125 831,600 4,152,725 Unamortized discounts, net (6,251 ) (1,657 ) (7,908 ) Total debt obligations, net $ 3,314,874 $ 829,943 $ 4,144,817 2015 Revolving Credit Facility —On March 27, 2015, the Company entered into a secured revolving credit facility with a maximum capacity of $250.0 million (the "2015 Revolving Credit Facility"). Borrowings under this credit facility bear interest at a floating rate indexed to one of several base rates plus a margin which adjusts upward or downward based upon the Company's corporate credit rating. An undrawn credit facility commitment fee ranges from 0.375% to 0.5% , based on average utilization each quarter. During the three months ended September 30, 2015 , the weighted average cost of the credit facility was 3.17% . Commitments under the revolving facility mature in March 2018. At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through March 2019. 2012 Secured Credit Facilities —In March 2012, the Company entered into an $880.0 million senior secured credit agreement providing for two tranches of term loans: a $410.0 million 2012 A-1 tranche due March 2016, which bears interest at a rate of LIBOR + 4.00% (the "2012 Tranche A-1 Facility"), and a $470.0 million 2012 A-2 tranche due March 2017, which bears interest at a rate of LIBOR + 5.75% (the "2012 Tranche A-2 Facility," together the "2012 Secured Credit Facilities"). The 2012 A-1 and A-2 tranches were issued at 98.0% of par and 98.5% of par, respectively, and both tranches include a LIBOR floor of 1.25% . Proceeds from the 2012 Secured Credit Facilities, together with cash on hand, were used to repurchase and repay other outstanding debt. The 2012 Secured Credit Facilities are collateralized by a first lien on a fixed pool of assets. Proceeds from principal repayments and sales of collateral are applied to amortize the 2012 Secured Credit Facilities. Proceeds received for interest, rent, lease payments and fee income are retained by the Company. The Company may also make optional prepayments, subject to prepayment fees. The 2012 Tranche A-1 Facility was fully repaid in August 2013. Additionally, through September 30, 2015 , the Company made cumulative amortization repayments of $130.1 million on the 2012 Tranche A-2 Facility. For the three and nine months ended September 30, 2015 , repayments of the 2012 Tranche A-2 Facility prior to maturity resulted in losses on early extinguishment of debt of $0.1 million and $0.3 million , respectively, related to the accelerated amortization of discounts and unamortized deferred financing fees on the portion of the facility that was repaid. For the three and nine months ended September 30, 2014 , repayments of the 2012 Tranche A-2 Facility prior to maturity resulted in losses on early extinguishment of debt of $0.2 million and $1.0 million . These amounts are included in "Loss on early extinguishment of debt, net" in the Company's consolidated statements of operations. Unsecured Notes —In June 2014, the Company issued $550.0 million aggregate principal amount of 4.00% senior unsecured notes due November 2017 and $770.0 million aggregate principal amount of 5.00% senior unsecured notes due July 2019. Net proceeds from these transactions, together with cash on hand, were used to fully repay and terminate the February 2013 secured credit facility which had an outstanding balance of $1.32 billion . In connection with the repayment and termination of the February 2013 secured credit facility, for the nine months ended September 30, 2014 the Company recorded a loss on early extinguishment of debt of $22.8 million related to unamortized discounts and financing fees at the time of refinancing. This amount is included in "Loss on early extinguishment of debt, net" in the Company's consolidated statements of operations. Encumbered/Unencumbered Assets —As of September 30, 2015 and December 31, 2014 , the carrying value of the Company's encumbered and unencumbered assets by asset type are as follows ($ in thousands): As of September 30, 2015 December 31, 2014 Encumbered Assets Unencumbered Assets Encumbered Assets Unencumbered Assets Real estate, net $ 870,397 $ 1,620,141 $ 620,378 $ 2,056,336 Real estate available and held for sale 17,078 279,513 10,496 275,486 Loans receivable and other lending investments, net (1)(2) 91,997 1,377,514 46,515 1,364,828 Other investments 19,593 270,926 17,708 336,411 Cash and other assets — 979,748 — 768,475 Total $ 999,065 $ 4,527,842 $ 695,097 $ 4,801,536 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , the amounts presented exclude general reserves for loan losses of $33.0 million and $33.5 million , respectively. (2) As of September 30, 2015 , the amount presented excludes loan participations of $148.9 million . Debt Covenants The Company's outstanding unsecured debt securities contain corporate level covenants that include a covenant to maintain a ratio of unencumbered assets to unsecured indebtedness of at least 1.2 x and a covenant not to incur new indebtedness, if on a pro forma basis, the Company's fixed charge coverage ratio is 1.5 x or lower, except for incurrences of permitted debt. If any of the Company's covenants are breached and not cured within applicable cure periods, the breach could result in acceleration of its debt securities unless a waiver or modification is agreed upon with the requisite percentage of the bondholders. The Company's 2012 Secured Credit Facilities and the 2015 Revolving Credit Facility contain certain covenants, including covenants relating to collateral coverage, dividend payments, restrictions on fundamental changes, transactions with affiliates, matters relating to the liens granted to the lenders and the delivery of information to the lenders. In particular, the 2012 Secured Credit Facilities require the Company to maintain collateral coverage of at least 1.25 x outstanding borrowings on the facilities. The 2015 Revolving Credit Facility is secured by a borrowing base of assets and requires the Company to maintain both collateral coverage of at least 1.5 x outstanding borrowings on the facility and a consolidated ratio of cash flow to fixed charges of at least 1.5 x. The 2015 Revolving Credit Facility does not require that proceeds from the borrowing base be used to pay down outstanding borrowings provided the collateral coverage remains at least 1.5x outstanding borrowings on the facility. To satisfy this covenant, the Company has the option to pay down outstanding borrowings or substitute assets in the borrowing base. In addition, for so long as the Company maintains its qualification as a REIT, the 2012 Secured Credit Facilities and the 2015 Revolving Credit Facility permit the Company to distribute 100% of its REIT taxable income on an annual basis (prior to deducting certain cumulative NOL carryforwards in the case of the 2015 Revolving Credit Facility). The Company may not pay common dividends if it ceases to qualify as a REIT. The Company's 2012 Secured Credit Facilities and the 2015 Revolving Credit Facility contain cross default provisions that would allow the lenders to declare an event of default and accelerate the Company's indebtedness to them if the Company fails to pay amounts due in respect of its other recourse indebtedness in excess of specified thresholds or if the lenders under such other indebtedness are otherwise permitted to accelerate such indebtedness for any reason. The indentures governing the Company's unsecured public debt securities permit the bondholders to declare an event of default and accelerate the Company's indebtedness to them if the Company's other recourse indebtedness in excess of specified thresholds is not paid at final maturity or if such indebtedness is accelerated. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Unfunded Commitments —The Company generally funds construction and development loans and build-outs of space in net lease assets over a period of time if and when the borrowers and tenants meet established milestones and other performance criteria. The Company refers to these arrangements as Performance-Based Commitments. In addition, the Company sometimes establishes a maximum amount of additional funding which it will make available to a borrower or tenant for an expansion or addition to a project if it approves of the expansion or addition in its sole discretion. The Company refers to these arrangements as Discretionary Fundings. Finally, the Company has committed to invest capital in several real estate funds and other ventures. These arrangements are referred to as Strategic Investments. As of September 30, 2015 , the maximum amount of fundings the Company may be required to make under each category, assuming all performance hurdles and milestones are met under the Performance-Based Commitments, that it approves all Discretionary Fundings and that 100% of its capital committed to Strategic Investments is drawn down, are as follows ($ in thousands): Loans and Other Lending Investments Real Estate Other Investments Total Performance-Based Commitments $ 620,370 $ 18,586 $ 60,816 $ 699,772 Strategic Investments — — 45,890 45,890 Discretionary Fundings 5,000 — — 5,000 Total $ 625,370 $ 18,586 $ 106,706 $ 750,662 Legal Proceedings —The Company and/or one or more of its subsidiaries is party to various pending litigation matters that are considered ordinary routine litigation incidental to the Company's business as a finance and investment company focused on the commercial real estate industry, including loan foreclosure and foreclosure-related proceedings. In addition to such matters, the Company is a party to the following legal proceedings: On March 7, 2014, a shareholder action purporting to assert derivative, class and individual claims was filed in the Circuit Court for Baltimore City, Maryland naming the Company, a number of its current and former senior executives (including its chief executive officer) and current and former directors as defendants. The complaint sought unspecified damages and other relief and alleged breach of fiduciary duty, breach of contract and other causes of action arising out of shares of common stock issued by the Company to its senior executives pursuant to restricted stock unit awards granted in December 2008 and modified in July 2011. On October 30, 2014, the Court granted the defendants’ Motions to Dismiss and plaintiffs’ claims against all of the defendants in this action were dismissed. Plaintiffs have filed a notice of appeal. Appellate briefs have been submitted and oral argument has been scheduled for December 2015. On January 22, 2015, the United States District Court for the District of Maryland (the "Court") entered a judgment in favor of the Company in the matter of U.S. Home Corporation ("Lennar") v. Settlers Crossing, LLC, et al. (Civil Action No. DKC 08-1863). The litigation involved a dispute over the purchase and sale of approximately 1,250 acres of land in Prince George’s County, Maryland. The Court found that the Company was entitled to specific performance and awarded damages to it in the aggregate amount of: (i) the remaining purchase price to be paid by Lennar of $114.0 million ; plus (ii) interest on the unpaid amount at a rate of 12% per annum, calculated on a per diem basis, from May 27, 2008, until Lennar proceeds to settlement on the land; plus (iii) real estate taxes paid by the Company; plus (iv) actual and reasonable attorneys' fees and costs incurred by the Company in connection with the litigation. The Court ordered Lennar to proceed to settlement on the land and to pay the total amounts awarded to the Company within 30 days of the judgment. A third party is entitled to a 15% participation interest in all proceeds. Lennar has appealed the Court's judgment. The Court has granted Lennar's motion to stay the judgment pending appeal, subject to Lennar posting a required appeal bond, which has been posted. The Court also clarified the judgment that the unpaid amount will accrue simple interest at a rate of 12% annually, including while the appeal is pending. The Court of Appeals has entered a briefing schedule for the appeal and oral argument has not yet been scheduled. There can be no assurance as to the timing or actual receipt by the Company of amounts awarded by the Court or the outcome of any appeal. On a quarterly basis, the Company evaluates developments in legal proceedings that could require a liability to be accrued and/or disclosed. Based on its current knowledge, and after consultation with legal counsel, the Company believes it is not a party to, nor are any of its properties the subject of, any pending legal proceeding that would have a material adverse effect on the Company's consolidated financial statements. |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The Company's use of derivative financial instruments is primarily limited to the utilization of interest rate swaps, interest rate caps and foreign exchange contracts. The principal objective of such financial instruments is to minimize the risks and/or costs associated with the Company's operating and financial structure and to manage its exposure to interest rates and foreign exchange rates. Derivatives not designated as hedges are not speculative and are used to manage the Company's exposure to interest rate movements, foreign exchange rate movements, and other identified risks, but may not meet the strict hedge accounting requirements. The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the consolidated balance sheets as of September 30, 2015 and December 31, 2014 ($ in thousands): Derivative Assets as of Derivative Liabilities as of September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives Designated in Hedging Relationships Foreign exchange contracts Other Assets $ 98 N/A $ — N/A $ — Other Liabilities $ 478 Interest rate swaps N/A — Other Assets 52 Other Liabilities 426 N/A — Total $ 98 $ 52 $ 426 $ 478 Derivatives not Designated in Hedging Relationships Foreign exchange contracts Other Assets $ 633 Other Assets $ 1,534 Other Liabilities $ 36 N/A $ — Interest rate cap Other Assets 1,024 Other Assets 4,775 N/A — N/A — Total $ 1,657 $ 6,309 $ 36 $ — The tables below present the effect of the Company's derivative financial instruments in the consolidated statements of operations and the consolidated statements of comprehensive income (loss) for the three and nine months ended September 30, 2015 and 2014 ($ in thousands): Derivatives Designated in Hedging Relationships Location of Gain (Loss) Recognized in Income Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Ineffective Portion) For the Three Months Ended September 30, 2015 Interest rate cap Interest Expense $ — $ (176 ) N/A Interest rate cap Earnings from equity method investments (2 ) — N/A Interest rate swaps Interest Expense (461 ) 43 N/A Interest rate swap Earnings from equity method investments (421 ) (117 ) N/A Foreign exchange contracts Earnings from equity method investments 119 — N/A For the Three Months Ended September 30, 2014 Interest rate cap Interest Expense — 15 N/A Interest rate swap Interest Expense 322 (47 ) N/A Foreign exchange contracts Other Expense 89 — N/A For the Nine Months Ended September 30, 2015 Interest rate cap Interest Expense — (378 ) N/A Interest rate cap Earnings from equity method investments (12 ) — N/A Interest rate swaps Interest Expense (745 ) 127 N/A Interest rate swaps Earnings from equity method investments (744 ) (349 ) N/A Foreign exchange contracts Earnings from equity method investments (65 ) — N/A For the Nine Months Ended September 30, 2014 Interest rate cap Interest Expense — 15 N/A Interest rate cap Other Expense (2,984 ) — (3,634 ) Interest rate swap Interest Expense (719 ) 49 N/A Foreign exchange contracts Other Expense (490 ) — N/A Amount of Gain (Loss) Recognized in Income Location of Gain (Loss) Recognized in Income For the Three Months Ended September 30, For the Nine Months Derivatives not Designated in Hedging Relationships 2015 2014 2015 2014 Interest rate cap Other Expense $ (1,180 ) $ 728 $ (3,751 ) $ 224 Foreign exchange contracts Other Expense 691 5,141 2,278 5,888 Foreign Exchange Contracts —The Company is exposed to fluctuations in foreign exchange rates on investments it holds in foreign entities. The Company uses foreign exchange contracts to hedge its exposure to changes in foreign exchange rates on its foreign investments. Foreign exchange contracts involve fixing the U.S. dollar ("USD") to the respective foreign currency exchange rate for delivery of a specified amount of foreign currency on a specified date. The foreign exchange contracts are typically cash settled in USD for their fair value at or close to their settlement date. For derivatives designated as net investment hedges, the effective portion of changes in the fair value of the derivatives are reported in Accumulated Other Comprehensive Income as part of the cumulative translation adjustment. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. Amounts are reclassified out of Accumulated Other Comprehensive Income into earnings when the hedged foreign entity is either sold or substantially liquidated. As of September 30, 2015 , the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations that were designated ($ and Rs in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells Indian rupee ("INR")/Buys USD Forward ₨ 456,000 $ 6,553 December 2016 For derivatives not designated as net investment hedges, the changes in the fair value of the derivatives are reported in the Company's consolidated statements of operations within "Other Expense." As of September 30, 2015 , the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations that were not designated ($, €, £ and C$ in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells euro ("EUR")/Buys USD Forward € 5,700 $ 6,333 October 2015 Sells pound sterling ("GBP")/Buys USD Forward £ 3,000 $ 4,685 October 2015 Sells Canadian dollar ("CAD")/Buys USD Forward C$ 10,500 $ 8,353 October 2015 The Company marks its foreign investments each quarter based on current exchange rates and records the gain or loss through "Other expense" in its consolidated statements of operations for loan investments or "Accumulated other comprehensive income (loss)," on its consolidated balance sheets for net investments in foreign subsidiaries. The Company recorded net gains (losses) related to foreign investments of $(0.1) million and $(0.1) million during the three and nine months ended September 30, 2015 , respectively, and $0.1 million and $0.4 million during the three and nine months ended September 30, 2014 , respectively, in its consolidated statements of operations. Interest Rate Hedges —For derivatives designated as interest rate hedges, the effective portion of changes in the fair value of the derivatives are reported in Accumulated Other Comprehensive Income (Loss). The ineffective portion of the change in fair value of the derivatives is recognized directly in the Company's consolidated statements of operations. As of September 30, 2015 , the Company had the following outstanding interest rate swap that was used to hedge its variable rate debt that was designated ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate swap $ 27,068 LIBOR + 2.00% 3.47% October 2012 November 2019 For derivatives not designated as interest rate hedges, the changes in the fair value of the derivatives are reported in the Company's consolidated statements of operations within "Other Expense." As of September 30, 2015 , the Company had the following outstanding interest rate cap that was used to hedge its variable rate debt that was not designated ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate cap $ 500,000 LIBOR 1.00% July 2014 July 2017 Over the next 12 months , the Company expects that $0.1 million related to terminated cash flow hedges will be reclassified from "Accumulated other comprehensive income (loss)" into interest expense and $0.7 million relating to other cash flow hedges will be reclassified from "Accumulated other comprehensive income (loss)" into earnings. Credit Risk-Related Contingent Features —The Company has agreements with each of its derivative counterparties that contain a provision where if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations. The Company reports derivative instruments on a gross basis on the consolidated financial statements. In connection with its foreign currency derivatives which were in a liability position as of September 30, 2015 , the Company has posted collateral of $1.4 million and $3.0 million , respectively, as of September 30, 2015 and December 31, 2014 , which is included in "Deferred expenses and other assets, net" on the Company's consolidated balance sheets. The Company's net exposure under these contracts was zero as of September 30, 2015 . |
Equity
Equity | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Equity | Equity Preferred Stock —The Company had the following series of Cumulative Redeemable and Convertible Perpetual Preferred Stock outstanding as of September 30, 2015 and December 31, 2014 : Cumulative Preferential Cash Dividends (1)(2) Series Shares Issued and Outstanding (in thousands) Par Value Liquidation Preference Rate per Annum Equivalent to Fixed Annual Rate (per share) D 4,000 $ 0.001 $ 25.00 8.00 % $ 2.00 E 5,600 0.001 25.00 7.875 % 1.97 F 4,000 0.001 25.00 7.80 % 1.95 G 3,200 0.001 25.00 7.65 % 1.91 I 5,000 0.001 25.00 7.50 % 1.88 J 4,000 0.001 50.00 4.50 % 2.25 25,800 _______________________________________________________________________________ (1) Holders of shares of the Series D, E, F, G, I and J preferred stock are entitled to receive dividends, when and as declared by the Company's Board of Directors, out of funds legally available for the payment of dividends. Dividends are cumulative from the date of original issue and are payable quarterly in arrears on or before the 15th day of each March, June, September and December or, if not a business day, the next succeeding business day. Any dividend payable on the preferred stock for any partial dividend period will be computed on the basis of a 360 -day year consisting of twelve 30 -day months. Dividends will be payable to holders of record as of the close of business on the first day of the calendar month in which the applicable dividend payment date falls or on another date designated by the Company's Board of Directors for the payment of dividends that is not more than 30 nor less than 10 days prior to the dividend payment date. (2) The Company declared and paid dividends of $6.0 million , $8.3 million , $5.9 million , $4.6 million and $7.0 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the nine months ended September 30, 2015 and 2014 . The Company declared and paid dividends of $6.8 million on its Series J Convertible Perpetual Preferred Stock during the nine months ended September 30, 2015 and 2014 . All of the dividends qualified as return of capital for tax reporting purposes. There are no dividend arrearages on any of the preferred shares currently outstanding. Dividends —In order to maintain its qualification as a REIT, the Company must currently distribute, at a minimum, an amount equal to 90% of its taxable income, excluding net capital gains, and must distribute 100% of its taxable income (including net capital gains) to avoid paying corporate federal income taxes. The Company has recorded NOLs and may record NOLs in the future, which may reduce its taxable income in future periods and lower or eliminate entirely the Company's obligation to pay dividends for such periods in order to maintain its REIT qualification. As of December 31, 2014, the Company had $856.4 million of NOL carryforwards at the corporate REIT level that can generally be used to offset both ordinary and capital taxable income in future years and will expire through 2034 if unused. Because taxable income differs from cash flow from operations due to non-cash revenues and expenses (such as depreciation and certain asset impairments), in certain circumstances, the Company may generate operating cash flow in excess of its dividends or, alternatively, may need to make dividend payments in excess of operating cash flows. The 2012 Tranche A-2 Facility and 2015 Revolving Credit Facility permit the Company to distribute 100% of its REIT taxable income on an annual basis (prior to deducting certain cumulative NOL carryforwards in the case of the 2015 Revolving Credit Facility), for so long as the Company maintains its qualification as a REIT. The 2012 Tranche A-2 Facility and 2015 Revolving Credit Facility restrict the Company from paying any common dividends if it ceases to qualify as a REIT. The Company did not declare or pay any common stock dividends for the nine months ended September 30, 2015 and 2014 . Stock Repurchase Program —During the nine months ended September 30, 2015 , the Company repurchased 1,667,209 shares of its outstanding common stock for $20.3 million , at an average cost of $12.16 per share. In September 2015, the Company's Board of Directors approved an increase in the repurchase limit under the Company's previously approved stock repurchase program to $50.0 million . The program authorizes the repurchase of common stock from time to time in open market and privately negotiated purchases, including pursuant to one or more trading plans. As of September 30, 2015 , the Company had remaining authorization to repurchase up to $48.7 million of common stock under its stock repurchase program. HPU Repurchase —In August 2015, the Company repurchased and retired all of its 14,888 HPUs outstanding, representing approximately 2.8 million common stock equivalents. The Company repurchased these HPUs at fair value from current and former employees through an arms-length tender offer. HPU holders could elect to receive $9.30 in cash or 0.7 shares of iStar common stock, or a combination thereof, per common stock equivalent underlying the HPUs. Approximately 37% of the outstanding HPUs were exchanged for $9.8 million in cash and approximately 63% of the outstanding HPUs were exchanged for 1.2 million shares of iStar common stock with a fair value of $15.2 million , representing the number of shares issued at the closing price of the Company's common stock on August 13, 2015. The transaction value in excess of the HPUs carrying value of $9.8 million was recorded as a reduction to retained earnings in the Company's consolidated statements of changes in equity. Accumulated Other Comprehensive Income (Loss) —"Accumulated other comprehensive income (loss)" reflected in the Company's shareholders' equity is comprised of the following ($ in thousands): As of September 30, 2015 December 31, 2014 Unrealized gains (losses) on available-for-sale securities $ (155 ) $ 2,983 Unrealized gains (losses) on cash flow hedges (1,375 ) (409 ) Unrealized losses on cumulative translation adjustment (3,783 ) (3,545 ) Accumulated other comprehensive income (loss) $ (5,313 ) $ (971 ) |
Stock-Based Compensation Plans
Stock-Based Compensation Plans and Employee Benefits | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation Plans and Employee Benefits | Stock-Based Compensation Plans and Employee Benefits Stock-Based Compensation —The Company recorded stock-based compensation expense for Performance Incentive Plans, Long-Term Incentive Plans and Directors' Awards of $2.9 million and $10.1 million for the three and nine months ended September 30, 2015 , respectively, and $3.3 million and $8.5 million for the three and nine months ended September 30, 2014 , respectively, in "General and administrative" in the Company's consolidated statements of operations. As of September 30, 2015 , there was $2.4 million of total unrecognized compensation cost related to all unvested restricted stock units ("Units") that are expected to be recognized over a weighted average remaining vesting/service period of 1.09 years. As of September 30, 2015 , approximately $16.1 million of stock-based compensation was included in "Accounts payable, accrued expenses and other liabilities" on the Company's consolidated balance sheets. As of September 30, 2015 , an aggregate of 3.7 million shares remain available for issuance pursuant to future awards under the Company's 2006 and 2009 Long-Term Incentive Plans. Performance Incentive Plans —The Company's Performance Incentive Plan ("iPIP") is designed to provide, primarily to senior executives and select professionals engaged in the Company's investment activities, long-term compensation which has a direct relationship to the realized returns on investments included in the plan. In May 2014 , the Company granted 73 iPIP points for the initial 2013-2014 investment pool and in February 2015 , the Company granted an additional 10 points for the 2013-2014 investment pool and 34 iPIP points for the 2015-2016 investment pool. The fair value of points are determined using a model that forecasts the Company's projected investment performance. iPIP is a liability-classified award which will be remeasured each reporting period at fair value until the awards are settled. Long-Term Incentive Plans —During the nine months ended September 30, 2015 , the Company granted 318,482 shares of common stock to certain employees as part of annual incentive awards that included a mix of cash and equity awards. The shares are fully-vested and 189,241 shares were issued net of statutory minimum required tax withholdings. The employees are restricted from selling these shares for up to two years from the date of grant. During the nine months ended September 30, 2015 , the Company granted new stock-based compensation awards to certain employees in the form of long-term incentive awards, comprised of the following: • 4,751 service-based Units were granted on various dates to certain employees, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The Units will cliff vest in one installment on the third anniversary of the grant date of the award, if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. As of September 30, 2015 , 4,751 of such service-based Units were outstanding. • 64,196 service-based Units were granted on January 30, 2015, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The Units will cliff vest in one installment on December 31, 2017, if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. As of September 30, 2015 , 61,557 of such service-based Units were outstanding. • 49,650 target amount of performance-based Units were granted on January 30, 2015, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The performance is based on the Company's total shareholder return ("TSR"), measured over a performance period ending on December 31, 2017, which is the date the awards cliff vest. Vesting will range from 0% to 200% of the target amount of the awards, depending on the Company’s TSR performance relative to the NAREIT All REITs Index (one-half of the target amount of the award) and the Russell 2000 Index (one-half of the target amount of the award) during the performance period. The Company, as well as any companies not included in each index at the beginning and end of the performance period, are excluded from calculation of the performance of such index. To the extent Units vest based on the Company's TSR performance, holders will receive an equivalent number of shares of common stock (after deducting shares for minimum required statutory withholdings), if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. The fair values of the performance-based Units were determined by utilizing a Monte Carlo model to simulate a range of possible future stock prices for the Company's common stock. The assumptions used to estimate the fair value of these performance-based awards were 0.75% for risk-free interest rate and 28.14% for expected stock price volatility. As of September 30, 2015 , 48,519 of such performance-based Units were outstanding. As of September 30, 2015 , the Company had the following additional stock-based compensation awards outstanding: • 62,662 service-based Units, granted on January 10, 2014, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The Units will cliff vest in one installment on December 31, 2016, if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. • 49,434 target amount of performance-based Units, granted on January 10, 2014, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest based on the Company’s TSR measured over a performance period ending on December 31, 2016, which is the date the awards cliff vest. The other terms of these performance-based Units are identical to the terms described above for the performance-based Units granted in 2015. The fair values of the performance-based Units were determined by utilizing a Monte Carlo model to simulate a range of possible future stock prices for the Company's common stock. The assumptions used to estimate the fair value of these performance-based awards were 0.76% for risk-free interest rate and 44.84% for expected stock price volatility. • 194,526 service-based Units, granted on February 1, 2013, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The Units will cliff vest in one installment on February 1, 2016, if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. • 10,666 service-based Units granted on various dates, representing the right to receive an equivalent number of shares of the Company's common stock (after deducting shares for minimum required statutory withholdings) if and when the Units vest. The Units have an original vesting term of three years. Upon vesting of these Units, holders will receive shares of the Company's common stock in the amount of the vested Units, net of statutory minimum required tax withholdings. Dividends will accrue as and when dividends are declared by the Company on shares of its common stock, but will not be paid unless and until the Units vest and are settled. Directors' Awards —During the nine months ended September 30, 2015 , the Company awarded to non-employee Directors a combined 50,360 common stock equivalents ("CSEs") and restricted shares at a fair value per share of $14.40 at the time of grant. These CSEs and restricted shares have a one year vesting period and pay dividends, if any, in an amount equal to the dividends paid on the equivalent number of shares of the Company's common stock from the date of grant, as and when dividends are paid on common stock. As of September 30, 2015 , a combined total of 289,261 CSEs and restricted shares of common stock granted to members of the Company's Board of Directors remained outstanding under the Company's Non-Employee Directors Deferral Plan, with an aggregate intrinsic value of $3.6 million . 401(k) Plan —The Company made gross contributions of $0.1 million and $1.0 million for the three and nine months ended September 30, 2015 , respectively, and $0.1 million and $0.8 million for the three and nine months ended September 30, 2014 , respectively. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Earnings per share ("EPS") is calculated using the two-class method, which allocates earnings among common stock and participating securities to calculate EPS when an entity's capital structure includes either two or more classes of common stock or common stock and participating securities. HPU holders are current and former Company employees who purchased high performance common stock units under the Company's High Performance Unit Program. These HPU units are treated as a separate class of common stock. The following table presents a reconciliation of income (loss) from continuing operations used in the basic and diluted EPS calculations ($ in thousands, except for per share data): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Income (loss) from continuing operations $ (20,553 ) $ 7,700 $ (92,152 ) $ (43,745 ) Income from sales of real estate 26,511 27,791 66,021 61,465 Net (income) loss attributable to noncontrolling interests 706 412 3,176 (367 ) Preferred dividends (12,830 ) (12,830 ) (38,490 ) (38,490 ) Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for basic earnings per common share (1) $ (6,166 ) $ 23,073 $ (61,445 ) $ (21,137 ) Add: Effect of 1.50% senior convertible unsecured notes (2) — 1,124 — — Add: Effect of 3.00% senior convertible unsecured notes (2) — 1,765 — — Add: Effect of Series J convertible perpetual preferred stock — 2,250 — — Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for diluted earnings per common share (1) $ (6,166 ) $ 28,212 $ (61,445 ) $ (21,137 ) _______________________________________________________________________________ (1) For the three months ended September 30, 2014, includes income from continuing operations allocable to Participating Security Holders of $2 on a basic and dilutive basis. (2) For the three months ended September 30, 2014, includes interest expense, amortization of fees, and other changes in income or loss that would result from the assumed conversion. For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Earnings allocable to common shares: Numerator for basic earnings per share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 22,327 $ (59,818 ) $ (20,454 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 22,327 $ (59,818 ) $ (20,454 ) Numerator for diluted earnings per share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 27,608 $ (59,818 ) $ (20,454 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 27,608 $ (59,818 ) $ (20,454 ) Denominator for basic and diluted earnings per share: Weighted average common shares outstanding for basic earnings per common share 85,766 85,163 85,602 84,967 Add: Effect of assumed shares issued under treasury stock method for restricted shares — 505 — — Add: Effect of joint venture shares — 298 — — Add: Effect of 1.50% senior convertible unsecured notes — 11,567 — — Add: Effect of 3.00% senior convertible unsecured notes — 16,992 — — Add: Effect of series J convertible perpetual preferred stock — 15,635 — — Weighted average common shares outstanding for diluted earnings per common share 85,766 130,160 85,602 84,967 Basic earnings per common share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.26 $ (0.70 ) $ (0.24 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.26 $ (0.70 ) $ (0.24 ) Diluted earnings per common share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.21 $ (0.70 ) $ (0.24 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.21 $ (0.70 ) $ (0.24 ) For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Earnings allocable to High Performance Units (1) : Numerator for basic earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 744 $ (1,627 ) $ (683 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 744 $ (1,627 ) $ (683 ) Numerator for diluted earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 602 $ (1,627 ) $ (683 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 602 $ (1,627 ) $ (683 ) Denominator for basic and diluted earnings per HPU share: Weighted average High Performance Units outstanding for basic and diluted earnings per share 7 15 12 15 Basic earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 49.60 $ (132.19 ) $ (45.53 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 49.60 $ (132.19 ) $ (45.53 ) Diluted earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 40.13 $ (132.19 ) $ (45.53 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 40.13 $ (132.19 ) $ (45.53 ) _______________________________________________________________________________ (1) All of the Company's outstanding HPUs were repurchased and retired on August 13, 2015 (refer to Note 12). For the three and nine months ended September 30, 2015 and 2014 , the following shares were not included in the diluted EPS calculation because they were anti-dilutive (in thousands) (1)(2) : For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Joint venture shares 298 — 298 298 3.00% convertible senior unsecured notes 16,992 — 16,992 16,992 Series J convertible perpetual preferred stock 15,635 — 15,635 15,635 1.50% convertible senior unsecured notes 11,567 — 11,567 11,567 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2015 and for the nine months ended September 30, 2014 , the effect of the Company's unvested Units, performance-based Units, CSEs and restricted stock awards were anti-dilutive. (2) For the three months ended September 30, 2014, the effect of 21 unvested performance-based Units were anti-dilutive. |
Fair Values
Fair Values | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Values | Fair Values Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following fair value hierarchy prioritizes the inputs to be used in valuation techniques to measure fair value: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; and Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). Certain of the Company's assets and liabilities are recorded at fair value either on a recurring or non-recurring basis. Assets required to be marked-to-market and reported at fair value every reporting period are classified as being valued on a recurring basis. Assets not required to be recorded at fair value every period may be recorded at fair value if a specific provision or other impairment is recorded within the period to mark the carrying value of the asset to market as of the reporting date. Such assets are classified as being valued on a non-recurring basis. The following fair value hierarchy table summarizes the Company's assets and liabilities recorded at fair value on a recurring and non-recurring basis by the above categories ($ in thousands): Fair Value Using Total Quoted market prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) As of September 30, 2015 Recurring basis: Derivative assets (1) $ 1,755 $ — $ 1,755 $ — Derivative liabilities (1) 426 — 426 — Available-for-sale securities (1) 1,131 — — 1,131 Non-recurring basis: Impaired loans (2) 29,200 — — 29,200 Impaired real estate (3) 7,941 — — 7,941 As of December 31, 2014 Recurring basis: Derivative assets (1) $ 6,361 $ — $ 6,361 $ — Derivative liabilities (1) 478 — 478 — Available-for-sale securities (1) 7,906 7,906 — — Non-recurring basis: Impaired loans (4) 37,169 — — 37,169 Impaired real estate (5) 7,102 — — 7,102 ____________________________________________________________ (1) The fair value of the Company's derivatives and available-for-sale securities are based upon third-party broker quotes. (2) The Company recorded a provision for loan losses on one loan with a fair value of $24.0 million based on the expected proceeds to be received from the borrower. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. (3) The Company recorded an impairment on one real estate asset with a fair value of $6.5 million based on a discount rate of 11% using discounted cash flows over a 1.75 year hold period. The Company recorded an impairment on one real estate asset with a fair value of $1.4 million based on a purchase option granted. (4) The Company recorded a recovery of loan losses on one loan with a fair value of $8.5 million based on the loan's remaining term of 1.5 years and interest rate of 4.7% using discounted cash flow analysis. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. In addition, the Company recorded a provision for loan losses on one loan, collateralized by a land asset, with a fair value of $23.5 million based upon a foreclosure sale agreement. The land asset was acquired by an unconsolidated entity in which the Company is a partner. (5) The Company recorded impairment on one real estate asset with a fair value of $7.1 million based on a discount rate of 15.0% using discounted cash flows over a 10 year lease term. Fair values of financial instruments— The Company's estimated fair values of its loans receivable and other lending investments and outstanding debt was $1.6 billion and $4.3 billion , respectively, as of September 30, 2015 and $1.4 billion and $4.1 billion , respectively, as of December 31, 2014 . The Company determined that the significant inputs used to value its loans receivable and other lending investments and debt obligations fall within Level 3 of the fair value hierarchy. The carrying value of other financial instruments including cash and cash equivalents, restricted cash, accrued interest receivable and accounts payable, approximate the fair values of the instruments. Cash and cash equivalents and restricted cash values are considered Level 1 on the fair value hierarchy. The fair value of other financial instruments, including derivative assets and liabilities, are included in the fair value hierarchy table above. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Company has determined that it has four reportable segments based on how management reviews and manages its business. These reportable segments include: Real Estate Finance, Net Lease, Operating Properties and Land & Development. The Real Estate Finance segment includes all of the Company's activities related to senior and mezzanine real estate loans and real estate related securities. The Net Lease segment includes all of the Company's activities related to the ownership and leasing of corporate facilities. The Operating Properties segment includes all of the Company's activities and operations related to its commercial and residential properties. The Land & Development segment includes the Company's activities related to its developable land portfolio. The Company evaluates performance based on the following financial measures for each segment. The Company's segment information is as follows ($ in thousands): Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total Three Months Ended September 30, 2015: Operating lease income $ — $ 37,379 $ 18,125 $ 195 $ — $ 55,699 Interest income 33,599 — — — — 33,599 Other income 7,988 8 7,602 376 914 16,888 Land development revenue — — — 14,301 — 14,301 Earnings (loss) from equity method investments — 971 469 6,647 2,485 10,572 Income from sales of real estate — 6,931 19,580 — — 26,511 Total revenue and other earnings 41,587 45,289 45,776 21,519 3,399 157,570 Real estate expense — (5,473 ) (22,448 ) (7,233 ) — (35,154 ) Land development cost of sales — — — (10,686 ) — (10,686 ) Other expense (2,039 ) — — — (1,295 ) (3,334 ) Allocated interest expense (14,030 ) (16,358 ) (6,724 ) (8,265 ) (11,503 ) (56,880 ) Allocated general and administrative (2) (3,527 ) (4,209 ) (1,841 ) (3,233 ) (5,490 ) (18,300 ) Segment profit (loss) (3) $ 21,991 $ 19,249 $ 14,763 $ (7,898 ) $ (14,889 ) $ 33,216 Other significant non-cash items: Provision for (recovery of) loan losses $ 7,500 $ — $ — $ — $ — $ 7,500 Impairment of assets — — 3,916 — — 3,916 Depreciation and amortization — 9,522 5,610 380 275 15,787 Capitalized expenditures — 1,439 26,358 18,043 — 45,840 Three Months Ended September 30, 2014: Operating lease income $ — $ 36,947 $ 23,513 $ 231 $ — $ 60,691 Interest income 31,098 — — — — 31,098 Other income 885 3,573 11,795 496 1,658 18,407 Land development revenue — — — 3,290 — 3,290 Earnings (loss) from equity method investments — 349 177 123 48,929 49,578 Income from sales of real estate — — 27,791 — — 27,791 Total revenue and other earnings 31,983 40,869 63,276 4,140 50,587 190,855 Real estate expense — (6,059 ) (28,795 ) (6,431 ) — (41,285 ) Land development cost of sales — — — (2,763 ) — (2,763 ) Other expense (283 ) — — — 568 285 Allocated interest expense (14,187 ) (18,156 ) (10,169 ) (7,490 ) (5,422 ) (55,424 ) Allocated general and administrative (2) (3,492 ) (4,610 ) (2,699 ) (3,566 ) (5,737 ) (20,104 ) Segment profit (loss) (3) $ 14,021 $ 12,044 $ 21,613 $ (16,110 ) $ 39,996 $ 71,564 Other significant non-cash items: Provision for (recovery of) loan losses $ (673 ) $ — $ — $ — $ — $ (673 ) Impairment of assets — 231 4,231 11,000 — 15,462 Depreciation and amortization — 9,522 7,606 320 274 17,722 Capitalized expenditures — 595 20,555 25,655 — 46,805 Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total Nine Months Ended September 30, 2015: Operating lease income $ — $ 111,500 $ 58,855 $ 635 $ — $ 170,990 Interest income 102,224 — — — — 102,224 Other income 8,834 133 27,069 1,163 3,015 40,214 Land development revenue — — — 29,101 — 29,101 Earnings (loss) from equity method investments — 4,270 1,302 13,719 6,613 25,904 Income from sales of real estate — 15,584 50,437 — — 66,021 Total revenue and other earnings 111,058 131,487 137,663 44,618 9,628 434,454 Real estate expense — (16,266 ) (73,812 ) (21,065 ) — (111,143 ) Land development cost of sales — — — (22,828 ) — (22,828 ) Other expense (2,259 ) — — — (4,086 ) (6,345 ) Allocated interest expense (42,828 ) (50,126 ) (21,449 ) (23,685 ) (29,248 ) (167,336 ) Allocated general and administrative (2) (9,750 ) (11,646 ) (5,298 ) (8,759 ) (17,001 ) (52,454 ) Segment profit (loss) (3) $ 56,221 $ 53,449 $ 37,104 $ (31,719 ) $ (40,707 ) $ 74,348 Other significant non-cash items: Provision for (recovery of) loan losses $ 30,944 $ — $ — $ — $ — $ 30,944 Impairment of assets — — 5,590 — — 5,590 Depreciation and amortization — 28,380 19,400 1,160 864 49,804 Capitalized expenditures — 3,553 58,201 67,888 — 129,642 Nine Months Ended September 30, 2014 Operating lease income $ — $ 113,502 $ 69,631 $ 633 $ — $ 183,766 Interest income 94,139 — — — — 94,139 Other income 20,327 4,306 32,335 865 4,420 62,253 Land development revenue — — — 11,920 — 11,920 Earnings (loss) from equity method investments — 1,497 1,125 (286 ) 74,512 76,848 Income from sales of real estate — — 61,465 — — 61,465 Total revenue and other earnings 114,466 119,305 164,556 13,132 78,932 490,391 Real estate expense — (17,253 ) (86,338 ) (20,861 ) — (124,452 ) Land development cost of sales — — — (10,028 ) — (10,028 ) Other expense (1,016 ) — — — (3,610 ) (4,626 ) Allocated interest expense (45,497 ) (54,775 ) (30,657 ) (21,943 ) (16,538 ) (169,410 ) Allocated general and administrative (2) (11,026 ) (13,592 ) (7,966 ) (10,839 ) (17,821 ) (61,244 ) Segment profit (loss) (3) $ 56,927 $ 33,685 $ 39,595 $ (50,539 ) $ 40,963 $ 120,631 Other significant non-cash items: Provision for (recovery of) loan losses $ (6,865 ) $ — $ — $ — $ — $ (6,865 ) Impairment of assets — 3,210 8,131 10,400 — 21,741 Depreciation and amortization — 29,332 23,838 1,114 873 55,157 Capitalized expenditures — 169 46,973 58,711 — 105,853 Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total As of September 30, 2015 Real estate Real estate, net $ — $ 1,150,797 $ 474,727 $ 865,014 $ — $ 2,490,538 Real estate available and held for sale — 1,953 136,945 157,693 — 296,591 Total real estate — 1,152,750 611,672 1,022,707 — 2,787,129 Loans receivable and other lending investments, net 1,585,399 — — — — 1,585,399 Other investments — 68,719 11,472 120,269 90,059 290,519 Total portfolio assets $ 1,585,399 $ 1,221,469 $ 623,144 $ 1,142,976 $ 90,059 4,663,047 Cash and other assets 979,748 Total assets $ 5,642,795 As of December 31, 2014 Real estate Real estate, net $ — $ 1,188,160 $ 628,271 $ 860,283 $ — $ 2,676,714 Real estate available and held for sale — 4,521 162,782 118,679 — 285,982 Total real estate — 1,192,681 791,053 978,962 — 2,962,696 Loans receivable and other lending investments, net 1,377,843 — — — — 1,377,843 Other investments — 125,360 13,220 106,155 109,384 354,119 Total portfolio assets $ 1,377,843 $ 1,318,041 $ 804,273 $ 1,085,117 $ 109,384 4,694,658 Cash and other assets 768,475 Total assets $ 5,463,133 _______________________________________________________________________________ (1) Corporate/Other represents all corporate level and unallocated items including any intercompany eliminations necessary to reconcile to consolidated Company totals. This caption also includes the Company's joint venture investments and strategic investments that are not included in the other reportable segments above. (2) General and administrative excludes stock-based compensation expense of $2.9 million and $10.1 million for the three and nine months ended September 30, 2015 and $3.3 million and $8.5 million for the three and nine months ended September 30, 2014 , respectively. (3) The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Segment profit $ 33,216 $ 71,564 $ 74,348 $ 120,631 Less: (Provision for) recovery of loan losses (7,500 ) 673 (30,944 ) 6,865 Less: Impairment of assets (3,916 ) (15,462 ) (5,590 ) (21,741 ) Less: Stock-based compensation expense (2,881 ) (3,273 ) (10,066 ) (8,544 ) Less: Depreciation and amortization (15,787 ) (17,722 ) (49,804 ) (55,157 ) Less: Income tax (expense) benefit 2,893 (103 ) (3,796 ) 619 Less: Loss on early extinguishment of debt, net (67 ) (186 ) (279 ) (24,953 ) Net income (loss) $ 5,958 $ 35,491 $ (26,131 ) $ 17,720 |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Loan participation payable, net | Loan participations payable, net — The Company accounts for transfers of financial assets under ASC Topic 860, “Transfers and Servicing”, as either sales or secured borrowings. Transfers of financial assets that result in sales accounting are those in which (1) the transfer legally isolates the transferred assets from the transferor, (2) the transferee has the right to pledge or exchange the transferred assets and no condition both constrains the transferee’s right to pledge or exchange the assets and provides more than a trivial benefit to the transferor, and (3) the transferor does not maintain effective control over the transferred assets. If the transfer does not meet these criteria, the transfer is presented on the balance sheet as "Loan participations payable, net". Financial asset activities that are accounted for as sales are removed from the balance sheet with any realized gain (loss) reflected in earnings during the period of sale. |
New accounting pronouncements | New Accounting Pronouncements — In September 2015, the FASB issued ASU 2015-16, Simplifying the Accounting for Measurement-Period Adjustments ("ASU 2015-16") which requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustments are determined. The amendments in ASU 2015-16 require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendments in ASU 2015-16 also require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been issued. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03") which requires debt issuance costs to be presented as a deduction from the carrying value of the related debt obligation in the balance sheet, which is consistent with the presentation of debt discounts. In August 2015, the FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, which clarified that ASU 2015-03 does not address issuance costs associated with revolving-debt arrangements and that it would be acceptable for an entity deferring such costs to present such costs as an asset and subsequently amortize the costs ratably over the term of the revolving debt arrangement. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In February 2015, the FASB issued ASU 2015-02, Amendments to the Consolidation Analysis ("ASU 2015-02") which updates the consolidation model for limited partnerships and similar legal entities. ASU 2015-02 includes the evaluation of fees paid to a decision maker as a variable interest and amends the effect of fee arrangements and related parties on the primary beneficiary determination. The guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In November 2014, the FASB issued ASU 2014-16, Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share is More Akin to Debt or to Equity ("ASU 2014-16") which eliminates the diversity in practice for the accounting for hybrid financial instruments issued in the form of a share. ASU 2014-16 requires management to consider all terms and features, whether stated or implied, of a hybrid instrument when determining whether the nature of the instrument is more akin to a debt instrument or an equity instrument. Embedded derivative features, which are accounted for separately from host contracts, should also be considered in the analysis of the hybrid instrument. ASU 2014-16 is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern ("ASU 2014-15") which requires management to evaluate whether there is substantial doubt that the Company is able to continue operating as a going concern within one year after the date the financial statements are issued or available to be issued. If there is substantial doubt, additional disclosure is required, including the principal condition or event that raised the substantial doubt, the Company's evaluation of the condition or event in relation to its ability to meet its obligations and the Company's plan to alleviate (or, which is intended to alleviate) the substantial doubt. ASU 2014-15 is effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period ("ASU 2014-12") which requires a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition in accordance with Topic 718, Compensation—Stock Compensation . ASU 2014-12 is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU 2014-09, Revenue from Contracts with Customers ("ASU 2014-09") which supersedes existing industry-specific guidance, including ASC 360-20, Real Estate Sales . The new standard is principles-based and requires more estimates and judgment than current guidance. Certain contracts with customers, including lease contracts and financial instruments and other contractual rights, are not within the scope of the new guidance. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers - Deferral of the Effective Date , to defer the effective date of ASU 2014-09 by one year. ASU 2014-09 is now effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted beginning January 1, 2017. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. |
Basis of Presentation and Pri28
Basis of Presentation and Principles of Consolidation (Reclassification) (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Error Corrections and Prior Period Adjustments | The impact of the correction for the nine months ended September 30, 2014 is as follows ($ in thousands): As Previously Reported Change As Revised Cash flows from operating activities: Nine months ended September 30, 2014 $ 1,570 $ (11,920 ) $ (10,350 ) Cash flows from investing activities: Nine months ended September 30, 2014 $ 295,785 $ 11,920 $ 307,705 |
Real Estate (Tables)
Real Estate (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Real Estate [Abstract] | |
Schedule of Real Estate Assets | The Company's real estate assets were comprised of the following ($ in thousands): Net Lease Operating Properties Land & Development Total As of September 30, 2015 Land and land improvements, at cost $ 309,522 $ 134,490 $ 874,543 $ 1,318,555 Buildings and improvements, at cost 1,227,500 423,058 — 1,650,558 Less: accumulated depreciation (386,225 ) (82,821 ) (9,529 ) (478,575 ) Real estate, net 1,150,797 474,727 865,014 2,490,538 Real estate available and held for sale (1) 1,953 136,945 157,693 296,591 Total real estate $ 1,152,750 $ 611,672 $ 1,022,707 $ 2,787,129 As of December 31, 2014 Land and land improvements, at cost $ 311,890 $ 146,417 $ 868,650 $ 1,326,957 Buildings and improvements, at cost 1,240,593 578,013 — 1,818,606 Less: accumulated depreciation (364,323 ) (96,159 ) (8,367 ) (468,849 ) Real estate, net 1,188,160 628,271 860,283 2,676,714 Real estate available and held for sale (1) 4,521 162,782 118,679 285,982 Total real estate $ 1,192,681 $ 791,053 $ 978,962 $ 2,962,696 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , the Company had $132.8 million and $155.8 million , respectively, of residential properties available for sale in its operating properties portfolio. |
Schedule of Acquisitions of Real Estate Assets, Cash Paid | The following acquisitions of real estate were reflected in the Company's consolidated statements of cash flows for the nine months ended September 30, 2015 and 2014 ($ in thousands): For the Nine Months Ended September 30, 2015 2014 Acquisitions of real estate assets — 2,964 (1) _______________________________________________________________________________ (1) During the nine months ended September 30, 2014 , the Company purchased two condominium units for $3.0 million . During the nine months ended September 30, 2015 , the Company acquired, via deed-in-lieu, title to a residential property, which had a total fair value of $13.4 million and previously served as collateral for loans receivable held by the Company. No gain or loss was recorded in connection with this transaction. During the nine months ended September 30, 2014 , the Company acquired, via deed-in-lieu, title to three commercial operating properties and a land asset, which had a total fair value of $77.9 million and previously served as collateral for loans receivable held by the Company. No gain or loss was recorded in connection with this transaction. The following table summarizes the Company's pro forma revenues and net income for the nine months ended September 30, 2014 , as if the acquisition of the properties acquired during the nine months ended September 30, 2014 was completed on January 1, 2013 ($ in thousands): Pro forma total revenues 356,378 Pro forma net income (loss) 17,306 |
Loans Receivable and Other Le30
Loans Receivable and Other Lending Investments, net (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
Schedule of the Company's loans and other lending investments by class | The following is a summary of the Company's loans receivable and other lending investments by class ($ in thousands): As of Type of Investment September 30, December 31, Senior mortgages $ 923,138 $ 737,535 Corporate/Partnership loans 671,738 497,796 Subordinate mortgages 28,633 53,331 Total gross carrying value of loans 1,623,509 1,288,662 Reserves for loan losses (128,558 ) (98,490 ) Total loans receivable, net 1,494,951 1,190,172 Other lending investments—securities 90,448 187,671 Total loans receivable and other lending investments, net (1) $ 1,585,399 $ 1,377,843 _______________________________________________________________________________ (1) The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million , respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. |
Schedule of changes in the Company's reserve for loan losses | Changes in the Company's reserve for loan losses were as follows ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Reserve for loan losses at beginning of period $ 121,934 $ 137,904 $ 98,490 $ 377,204 Provision for (recovery of) loan losses (1) 7,500 (673 ) 30,944 (6,865 ) Charge-offs (876 ) (17,324 ) (876 ) (250,432 ) Reserve for loan losses at end of period $ 128,558 $ 119,907 $ 128,558 $ 119,907 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2015 , the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million , respectively. For the three and nine months ended September 30, 2014 , the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million , respectively. |
Schedule of recorded investment in loans and associated reserve for loan losses | The Company's recorded investment in loans (comprised of a loan's carrying value plus accrued interest) and the associated reserve for loan losses were as follows ($ in thousands): Individually Evaluated for Impairment (1) Collectively Evaluated for Impairment (2) Total As of September 30, 2015 Loans $ 178,136 $ 1,454,295 $ 1,632,431 Less: Reserve for loan losses (95,520 ) (33,038 ) (128,558 ) Total $ 82,616 $ 1,421,257 $ 1,503,873 As of December 31, 2014 Loans $ 139,672 $ 1,156,031 $ 1,295,703 Less: Reserve for loan losses (64,990 ) (33,500 ) (98,490 ) Total $ 74,682 $ 1,122,531 $ 1,197,213 _______________________________________________________________________________ (1) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $0.2 million and $0.2 million as of September 30, 2015 and December 31, 2014 , respectively. The Company's loans individually evaluated for impairment primarily represent loans on non-accrual status and therefore, the unamortized amounts associated with these loans are not currently being amortized into income. (2) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $8.9 million and $10.6 million as of September 30, 2015 and December 31, 2014 , respectively. |
Schedule of investment in performing loans, presented by class and by credit quality, as indicated by risk rating | The Company's recorded investment in performing loans, presented by class and by credit quality, as indicated by risk rating, was as follows ($ in thousands): As of September 30, 2015 As of December 31, 2014 Performing Loans Weighted Average Risk Ratings Performing Loans Weighted Average Risk Ratings Senior mortgages $ 798,972 2.94 $ 611,009 2.73 Corporate/Partnership loans 626,332 3.40 501,620 3.88 Subordinate mortgages 28,991 3.64 53,836 2.87 Total $ 1,454,295 3.15 $ 1,166,465 3.23 |
Schedule of recorded investment in loans, aged by payment status and presented by class | As of September 30, 2015 , the Company's recorded investment in loans, aged by payment status and presented by class, were as follows ($ in thousands): Current Less Than and Equal to 90 Days Greater Than 90 Days (1) Total Past Due Total Senior mortgages $ 810,706 $ — $ 116,509 $ 116,509 $ 927,215 Corporate/Partnership loans 676,225 — — — 676,225 Subordinate mortgages 28,991 — — — 28,991 Total $ 1,515,922 $ — $ 116,509 $ 116,509 $ 1,632,431 _______________________________________________________________________________ (1) As of September 30, 2015 , the Company had four loans which were greater than 90 days delinquent and were in various stages of resolution, including legal proceedings, environmental concerns and foreclosure-related proceedings, and ranged from 1.0 to 7.0 years outstanding. |
Schedule of recorded investment in impaired loans, presented by class | The Company's recorded investment in impaired loans, presented by class, were as follows ($ in thousands) (1) : As of September 30, 2015 As of December 31, 2014 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With an allowance recorded: Senior mortgages $ 128,243 $ 127,285 $ (69,627 ) $ 130,645 $ 129,744 $ (64,440 ) Corporate/Partnership loans 49,893 49,893 (25,893 ) 9,027 9,057 (550 ) Total $ 178,136 $ 177,178 $ (95,520 ) $ 139,672 $ 138,801 $ (64,990 ) ____________________________________________________________ (1) All of the Company's non-accrual loans are considered impaired and included in the table above. As of December 31, 2014 , impaired loans also includes certain loans modified through troubled debt restructurings in accordance with GAAP with a recorded investment of $10.4 million although they are performing and on accrual status. The Company did not have impaired loans without related allowances recorded. |
Schedule of average recorded investment in impaired loans and interest income recognized, presented by class | The Company's average recorded investment in impaired loans and interest income recognized, presented by class, were as follows ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Average Interest Average Interest Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Senior mortgages $ — $ — $ 40,635 $ 1,234 $ — $ — $ 44,574 $ 1,922 With an allowance recorded: Senior mortgages 128,969 4 192,513 18 129,730 38 385,277 140 Corporate/Partnership loans 49,893 — 34,330 40 28,880 12 63,948 157 Subtotal 178,862 4 226,843 58 158,610 50 449,225 297 Total: Senior mortgages 128,969 4 233,148 1,252 129,730 38 429,851 2,062 Corporate/Partnership loans 49,893 — 34,330 40 28,880 12 63,948 157 Total $ 178,862 $ 4 $ 267,478 $ 1,292 $ 158,610 $ 50 $ 493,799 $ 2,219 |
Marketable securities | Securities —Other lending investments—securities includes the following ($ in thousands): Face Value Amortized Cost Basis Net Unrealized Gain (Loss) Estimated Fair Value Net Carrying Value As of September 30, 2015 Available-for-Sale Securities Municipal debt securities $ 1,010 $ 1,010 $ 121 $ 1,131 $ 1,131 Held-to-Maturity Securities Corporate debt securities 83,193 89,317 — 90,253 89,317 Total $ 84,203 $ 90,327 $ 121 $ 91,384 $ 90,448 As of December 31, 2014 Available-for-Sale Securities Municipal debt securities $ 1,020 $ 1,020 $ 147 $ 1,167 $ 1,167 Held-to-Maturity Securities Corporate debt securities 176,254 186,504 — 190,199 186,504 Total $ 177,274 $ 187,524 $ 147 $ 191,366 $ 187,671 |
Other Investments (Tables)
Other Investments (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
Schedule of other investments and its proportionate share of results for equity method investments | The Company's other investments and its proportionate share of earnings (losses) from equity method investments were as follows ($ in thousands): Carrying Value as of Equity in Earnings (Losses) September 30, 2015 December 31, 2014 For the Three Months Ended September 30, For the Nine Months 2015 2014 2015 2014 iStar Net Lease I LLC ("Net Lease Venture") $ 68,719 $ 125,361 $ 971 $ 349 $ 4,270 $ 152 Other real estate equity investments (1) 81,437 88,848 (2,906 ) 33,509 (4,545 ) 36,004 Other investments (2)(3) 51,751 63,262 2,159 11,889 6,658 39,863 Madison Funds 38,299 45,971 331 3,982 (115 ) 1,591 Marina Palms, LLC ("Marina Palms") 50,313 30,677 10,017 (151 ) 19,636 (762 ) Total other investments 290,519 354,119 $ 10,572 $ 49,578 $ 25,904 $ 76,848 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2014 , the Company recognized $32.9 million of earnings from equity method investments resulting from asset sales by one of its equity method investees. (2) For the nine months ended September 30, 2014 , the Company recognized $23.4 million of earnings from equity method investments resulting from asset sales and a legal settlement by one of its equity method investees. (3) In conjunction with the sale of the Company's interests in Oak Hill Advisors, L.P. in 2011, the Company retained a share of the carried interest related to various funds. During the three and nine months ended September 30, 2014 , the Company recognized $9.0 million of carried interest income. |
Summarized investee financial information | The following table presents the investee level summarized financial information of the Company's equity method investments, which were significant subsidiaries for the nine months ended September 30, 2015 ($ in thousands): Revenues Expenses Net Income Attributable to Parent Entities For the Nine Months Ended September 30, 2015 Marina Palms $ 142,419 $ (88,661 ) $ 53,758 For the Nine Months Ended September 30, 2014 Marina Palms $ 86 $ (1,694 ) $ (1,608 ) |
Other Assets and Other Liabil32
Other Assets and Other Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Other Assets and Other Liabilities [Abstract] | |
Schedule of deferred expenses and other assets, net | Deferred expenses and other assets, net, consist of the following items ($ in thousands): As of September 30, 2015 December 31, 2014 Intangible assets, net (1) $ 73,588 $ 50,088 Other assets 30,163 37,085 Deferred financing fees, net (2) 29,834 36,774 Restricted cash 28,125 19,283 Other receivables 24,146 13,115 Leasing costs, net (3) 18,920 20,031 Corporate furniture, fixtures and equipment, net (4) 4,621 5,409 Deferred expenses and other assets, net $ 209,397 $ 181,785 _______________________________________________________________________________ (1) Intangible assets, net are primarily related to the acquisition of real estate assets. This balance also includes a lease incentive asset of $38.1 million (refer to Note 4 ). Accumulated amortization on intangible assets was $35.5 million and $45.1 million as of September 30, 2015 and December 31, 2014 , respectively. The amortization of above market leases and lease incentive assets decreased operating lease income in the Company's consolidated statements of operations by $1.8 million and $5.5 million for the three and nine months ended September 30, 2015 , respectively, and $1.6 million and $5.6 million for the three and nine months ended September 30, 2014 , respectively. These intangible lease assets are amortized over the term of the lease. The amortization expense for other intangible assets was $0.9 million and $3.0 million for the three and nine months ended September 30, 2015 , respectively, and $1.1 million and $4.9 million for the three and nine months ended September 30, 2014 , respectively. These amounts are included in "Depreciation and amortization" in the Company's consolidated statements of operations. (2) Accumulated amortization on deferred financing fees was $24.6 million and $15.4 million as of September 30, 2015 and December 31, 2014 , respectively. (3) Accumulated amortization on leasing costs was $9.8 million and $9.0 million as of September 30, 2015 and December 31, 2014 , respectively. (4) Accumulated depreciation on corporate furniture, fixtures and equipment was $7.8 million and $7.1 million as of September 30, 2015 and December 31, 2014 , respectively. |
Schedule of accounts payable, accrued expenses and other liabilities | Accounts payable, accrued expenses and other liabilities consist of the following items ($ in thousands): As of September 30, 2015 December 31, 2014 Other liabilities (1) $ 76,770 $ 48,256 Accrued expenses 60,017 62,866 Accrued interest payable 42,457 57,895 Intangible liabilities, net (2) 10,785 11,885 Accounts payable, accrued expenses and other liabilities $ 190,029 $ 180,902 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , "Other liabilities" includes $13.6 million and $6.8 million , respectively, related to a profit sharing payable to a developer for residential units sold. As of September 30, 2015 and December 31, 2014 , "Other liabilities" also includes $6.9 million and $7.7 million , respectively, related to tax increment financing bonds which were issued by a governmental entity to fund the installation of infrastructure within one of the Company's master planned community developments. The balance represents a special assessment associated with each individual land parcel, which will decrease as the Company sells parcels. As of September 30, 2015, includes $1.3 million related to treasury share repurchases that settled in October 2015. (2) Intangible liabilities, net are primarily related to the acquisition of real estate assets. Accumulated amortization on intangible liabilities was $6.3 million and $6.2 million as of September 30, 2015 and December 31, 2014 , respectively. The amortization of intangible liabilities increased operating lease income in the Company's consolidated statements of operations by $0.5 million and $1.2 million for the three and nine months ended September 30, 2015 , respectively, and $0.5 million and $2.1 million for the three and nine months ended September 30, 2014 , respectively. |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities of the Company's TRS entities were as follows ($ in thousands): As of September 30, 2015 December 31, 2014 Deferred tax assets (1) $ 64,165 $ 54,318 Valuation allowance (64,165 ) (54,318 ) Net deferred tax assets (liabilities) $ — $ — _______________________________________________________________________________ (1) Deferred tax assets as of September 30, 2015 include timing differences related primarily to asset basis of $41.7 million , deferred expenses and other items of $18.9 million and net operating loss ("NOL") carryforwards of $3.6 million . Deferred tax assets as of December 31, 2014 , include timing differences related primarily to asset basis of $45.2 million , NOL carryforwards of $4.1 million and deferred expenses and other items of $5.0 million . |
Debt Obligations, net (Tables)
Debt Obligations, net (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of debt obligations | As of September 30, 2015 and December 31, 2014 , the Company's debt obligations were as follows ($ in thousands): Carrying Value as of Stated Interest Rates Scheduled Maturity Date September 30, 2015 December 31, 2014 Secured credit facilities and term loans: 2012 Tranche A-2 Facility $ 339,860 $ 358,504 LIBOR + 5.75% (1) March 2017 2015 Revolving Credit Facility 250,000 — Various (2) March 2018 Term loans collateralized by net lease assets 241,740 248,955 4.851% - 7.26% (3) Various through 2026 Total secured credit facilities and term loans 831,600 607,459 Unsecured notes: 6.05% senior notes — 105,765 6.05 % — 5.875% senior notes 261,403 261,403 5.875 % March 2016 3.875% senior notes 265,000 265,000 3.875 % July 2016 3.00% senior convertible notes (4) 200,000 200,000 3.00 % November 2016 1.50% senior convertible notes (5) 200,000 200,000 1.50 % November 2016 5.85% senior notes 99,722 99,722 5.85 % March 2017 9.00% senior notes 275,000 275,000 9.00 % June 2017 4.00% senior notes 550,000 550,000 4.00 % November 2017 7.125% senior notes 300,000 300,000 7.125 % February 2018 4.875% senior notes 300,000 300,000 4.875 % July 2018 5.00% senior notes 770,000 770,000 5.00 % July 2019 Total unsecured notes 3,221,125 3,326,890 Other debt obligations: Other debt obligations 100,000 100,000 LIBOR + 1.50% October 2035 Total debt obligations 4,152,725 4,034,349 Debt discounts, net (7,908 ) (11,665 ) Total debt obligations, net (6) $ 4,144,817 $ 4,022,684 _______________________________________________________________________________ (1) The loan has a LIBOR floor of 1.25% . As of September 30, 2015 , inclusive of the floor, the 2012 Tranche A-2 Facility loan incurred interest at a rate of 7.00% . (2) The loan bears interest at the Company's election of either (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.5% or (c) LIBOR plus 1.00% and subject to a margin ranging from 1.25% to 1.75% , or (ii) LIBOR subject to a margin ranging from 2.25% to 2.75% . At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through March 2019. (3) As of September 30, 2015 and December 31, 2014 , includes a loan with a floating rate of LIBOR plus 2.00% . As of September 30, 2015 , the weighted average interest rate of these loans is 5.3% . (4) The Company's 3.00% senior convertible fixed rate notes due November 2016 (" 3.00% Convertible Notes") are convertible at the option of the holders, into 85.0 shares per $1,000 principal amount of 3.00% Convertible Notes, at $11.77 per share at any time prior to the close of business on November 14, 2016. (5) The Company's 1.50% senior convertible fixed rate notes due November 2016 (" 1.50% Convertible Notes") are convertible at the option of the holders, into 57.8 shares per $1,000 principal amount of 1.50% Convertible Notes, at $17.29 per share at any time prior to the close of business on November 14, 2016. (6) The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014 . |
Schedule of future scheduled maturities of outstanding long-term debt obligations, net | Future Scheduled Maturities —As of September 30, 2015 , future scheduled maturities of outstanding debt obligations are as follows ($ in thousands): Unsecured Debt Secured Debt Total 2015 (remaining three months) $ — $ — $ — 2016 926,403 — 926,403 2017 924,722 339,860 1,264,582 2018 600,000 263,790 863,790 2019 770,000 31,183 801,183 Thereafter 100,000 196,767 296,767 Total principal maturities 3,321,125 831,600 4,152,725 Unamortized discounts, net (6,251 ) (1,657 ) (7,908 ) Total debt obligations, net $ 3,314,874 $ 829,943 $ 4,144,817 |
Schedule of carrying value of encumbered assets by asset type | Encumbered/Unencumbered Assets —As of September 30, 2015 and December 31, 2014 , the carrying value of the Company's encumbered and unencumbered assets by asset type are as follows ($ in thousands): As of September 30, 2015 December 31, 2014 Encumbered Assets Unencumbered Assets Encumbered Assets Unencumbered Assets Real estate, net $ 870,397 $ 1,620,141 $ 620,378 $ 2,056,336 Real estate available and held for sale 17,078 279,513 10,496 275,486 Loans receivable and other lending investments, net (1)(2) 91,997 1,377,514 46,515 1,364,828 Other investments 19,593 270,926 17,708 336,411 Cash and other assets — 979,748 — 768,475 Total $ 999,065 $ 4,527,842 $ 695,097 $ 4,801,536 _______________________________________________________________________________ (1) As of September 30, 2015 and December 31, 2014 , the amounts presented exclude general reserves for loan losses of $33.0 million and $33.5 million , respectively. (2) As of September 30, 2015 , the amount presented excludes loan participations of $148.9 million |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of unfunded commitments | As of September 30, 2015 , the maximum amount of fundings the Company may be required to make under each category, assuming all performance hurdles and milestones are met under the Performance-Based Commitments, that it approves all Discretionary Fundings and that 100% of its capital committed to Strategic Investments is drawn down, are as follows ($ in thousands): Loans and Other Lending Investments Real Estate Other Investments Total Performance-Based Commitments $ 620,370 $ 18,586 $ 60,816 $ 699,772 Strategic Investments — — 45,890 45,890 Discretionary Fundings 5,000 — — 5,000 Total $ 625,370 $ 18,586 $ 106,706 $ 750,662 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of fair value of derivative financial instruments as well as their classification on Consolidated Balance Sheets | The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the consolidated balance sheets as of September 30, 2015 and December 31, 2014 ($ in thousands): Derivative Assets as of Derivative Liabilities as of September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives Designated in Hedging Relationships Foreign exchange contracts Other Assets $ 98 N/A $ — N/A $ — Other Liabilities $ 478 Interest rate swaps N/A — Other Assets 52 Other Liabilities 426 N/A — Total $ 98 $ 52 $ 426 $ 478 Derivatives not Designated in Hedging Relationships Foreign exchange contracts Other Assets $ 633 Other Assets $ 1,534 Other Liabilities $ 36 N/A $ — Interest rate cap Other Assets 1,024 Other Assets 4,775 N/A — N/A — Total $ 1,657 $ 6,309 $ 36 $ — |
Schedule of derivative financial instruments on Consolidated Statements of Operations | The tables below present the effect of the Company's derivative financial instruments in the consolidated statements of operations and the consolidated statements of comprehensive income (loss) for the three and nine months ended September 30, 2015 and 2014 ($ in thousands): Derivatives Designated in Hedging Relationships Location of Gain (Loss) Recognized in Income Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Ineffective Portion) For the Three Months Ended September 30, 2015 Interest rate cap Interest Expense $ — $ (176 ) N/A Interest rate cap Earnings from equity method investments (2 ) — N/A Interest rate swaps Interest Expense (461 ) 43 N/A Interest rate swap Earnings from equity method investments (421 ) (117 ) N/A Foreign exchange contracts Earnings from equity method investments 119 — N/A For the Three Months Ended September 30, 2014 Interest rate cap Interest Expense — 15 N/A Interest rate swap Interest Expense 322 (47 ) N/A Foreign exchange contracts Other Expense 89 — N/A For the Nine Months Ended September 30, 2015 Interest rate cap Interest Expense — (378 ) N/A Interest rate cap Earnings from equity method investments (12 ) — N/A Interest rate swaps Interest Expense (745 ) 127 N/A Interest rate swaps Earnings from equity method investments (744 ) (349 ) N/A Foreign exchange contracts Earnings from equity method investments (65 ) — N/A For the Nine Months Ended September 30, 2014 Interest rate cap Interest Expense — 15 N/A Interest rate cap Other Expense (2,984 ) — (3,634 ) Interest rate swap Interest Expense (719 ) 49 N/A Foreign exchange contracts Other Expense (490 ) — N/A Amount of Gain (Loss) Recognized in Income Location of Gain (Loss) Recognized in Income For the Three Months Ended September 30, For the Nine Months Derivatives not Designated in Hedging Relationships 2015 2014 2015 2014 Interest rate cap Other Expense $ (1,180 ) $ 728 $ (3,751 ) $ 224 Foreign exchange contracts Other Expense 691 5,141 2,278 5,888 |
Foreign exchange contracts | Designated as hedge | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of September 30, 2015 , the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations that were designated ($ and Rs in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells Indian rupee ("INR")/Buys USD Forward ₨ 456,000 $ 6,553 December 2016 |
Foreign exchange contracts | Not designated as hedge | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of September 30, 2015 , the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations that were not designated ($, €, £ and C$ in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells euro ("EUR")/Buys USD Forward € 5,700 $ 6,333 October 2015 Sells pound sterling ("GBP")/Buys USD Forward £ 3,000 $ 4,685 October 2015 Sells Canadian dollar ("CAD")/Buys USD Forward C$ 10,500 $ 8,353 October 2015 |
Interest rate cap | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of September 30, 2015 , the Company had the following outstanding interest rate cap that was used to hedge its variable rate debt that was not designated ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate cap $ 500,000 LIBOR 1.00% July 2014 July 2017 |
Interest rate swap | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of September 30, 2015 , the Company had the following outstanding interest rate swap that was used to hedge its variable rate debt that was designated ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate swap $ 27,068 LIBOR + 2.00% 3.47% October 2012 November 2019 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Schedule of cumulative redeemable preferred stock outstanding by series | The Company had the following series of Cumulative Redeemable and Convertible Perpetual Preferred Stock outstanding as of September 30, 2015 and December 31, 2014 : Cumulative Preferential Cash Dividends (1)(2) Series Shares Issued and Outstanding (in thousands) Par Value Liquidation Preference Rate per Annum Equivalent to Fixed Annual Rate (per share) D 4,000 $ 0.001 $ 25.00 8.00 % $ 2.00 E 5,600 0.001 25.00 7.875 % 1.97 F 4,000 0.001 25.00 7.80 % 1.95 G 3,200 0.001 25.00 7.65 % 1.91 I 5,000 0.001 25.00 7.50 % 1.88 J 4,000 0.001 50.00 4.50 % 2.25 25,800 _______________________________________________________________________________ (1) Holders of shares of the Series D, E, F, G, I and J preferred stock are entitled to receive dividends, when and as declared by the Company's Board of Directors, out of funds legally available for the payment of dividends. Dividends are cumulative from the date of original issue and are payable quarterly in arrears on or before the 15th day of each March, June, September and December or, if not a business day, the next succeeding business day. Any dividend payable on the preferred stock for any partial dividend period will be computed on the basis of a 360 -day year consisting of twelve 30 -day months. Dividends will be payable to holders of record as of the close of business on the first day of the calendar month in which the applicable dividend payment date falls or on another date designated by the Company's Board of Directors for the payment of dividends that is not more than 30 nor less than 10 days prior to the dividend payment date. (2) The Company declared and paid dividends of $6.0 million , $8.3 million , $5.9 million , $4.6 million and $7.0 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the nine months ended September 30, 2015 and 2014 . The Company declared and paid dividends of $6.8 million on its Series J Convertible Perpetual Preferred Stock during the nine months ended September 30, 2015 and 2014 . All of the dividends qualified as return of capital for tax reporting purposes. There are no dividend arrearages on any of the preferred shares currently outstanding. |
Accumulated other comprehensive income (loss) reflected in the Company's shareholders' equity | "Accumulated other comprehensive income (loss)" reflected in the Company's shareholders' equity is comprised of the following ($ in thousands): As of September 30, 2015 December 31, 2014 Unrealized gains (losses) on available-for-sale securities $ (155 ) $ 2,983 Unrealized gains (losses) on cash flow hedges (1,375 ) (409 ) Unrealized losses on cumulative translation adjustment (3,783 ) (3,545 ) Accumulated other comprehensive income (loss) $ (5,313 ) $ (971 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Reconciliation of income (loss) from continuing operations used in the basic and diluted EPS calculations | The following table presents a reconciliation of income (loss) from continuing operations used in the basic and diluted EPS calculations ($ in thousands, except for per share data): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Income (loss) from continuing operations $ (20,553 ) $ 7,700 $ (92,152 ) $ (43,745 ) Income from sales of real estate 26,511 27,791 66,021 61,465 Net (income) loss attributable to noncontrolling interests 706 412 3,176 (367 ) Preferred dividends (12,830 ) (12,830 ) (38,490 ) (38,490 ) Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for basic earnings per common share (1) $ (6,166 ) $ 23,073 $ (61,445 ) $ (21,137 ) Add: Effect of 1.50% senior convertible unsecured notes (2) — 1,124 — — Add: Effect of 3.00% senior convertible unsecured notes (2) — 1,765 — — Add: Effect of Series J convertible perpetual preferred stock — 2,250 — — Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for diluted earnings per common share (1) $ (6,166 ) $ 28,212 $ (61,445 ) $ (21,137 ) _______________________________________________________________________________ (1) For the three months ended September 30, 2014, includes income from continuing operations allocable to Participating Security Holders of $2 on a basic and dilutive basis. (2) For the three months ended September 30, 2014, includes interest expense, amortization of fees, and other changes in income or loss that would result from the assumed conversion. |
Schedule of earnings per share allocable to common shares and HPU shares | For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Earnings allocable to common shares: Numerator for basic earnings per share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 22,327 $ (59,818 ) $ (20,454 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 22,327 $ (59,818 ) $ (20,454 ) Numerator for diluted earnings per share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 27,608 $ (59,818 ) $ (20,454 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (6,072 ) $ 27,608 $ (59,818 ) $ (20,454 ) Denominator for basic and diluted earnings per share: Weighted average common shares outstanding for basic earnings per common share 85,766 85,163 85,602 84,967 Add: Effect of assumed shares issued under treasury stock method for restricted shares — 505 — — Add: Effect of joint venture shares — 298 — — Add: Effect of 1.50% senior convertible unsecured notes — 11,567 — — Add: Effect of 3.00% senior convertible unsecured notes — 16,992 — — Add: Effect of series J convertible perpetual preferred stock — 15,635 — — Weighted average common shares outstanding for diluted earnings per common share 85,766 130,160 85,602 84,967 Basic earnings per common share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.26 $ (0.70 ) $ (0.24 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.26 $ (0.70 ) $ (0.24 ) Diluted earnings per common share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.21 $ (0.70 ) $ (0.24 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.07 ) $ 0.21 $ (0.70 ) $ (0.24 ) For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Earnings allocable to High Performance Units (1) : Numerator for basic earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 744 $ (1,627 ) $ (683 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 744 $ (1,627 ) $ (683 ) Numerator for diluted earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 602 $ (1,627 ) $ (683 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (94 ) $ 602 $ (1,627 ) $ (683 ) Denominator for basic and diluted earnings per HPU share: Weighted average High Performance Units outstanding for basic and diluted earnings per share 7 15 12 15 Basic earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 49.60 $ (132.19 ) $ (45.53 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 49.60 $ (132.19 ) $ (45.53 ) Diluted earnings per HPU share: Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 40.13 $ (132.19 ) $ (45.53 ) Net income (loss) attributable to iStar Inc. and allocable to HPU holders $ (13.41 ) $ 40.13 $ (132.19 ) $ (45.53 ) _______________________________________________________________________________ (1) All of the Company's outstanding HPUs were repurchased and retired on August 13, 2015 (refer to Note 12). |
Schedule of anti-dilutive shares | For the three and nine months ended September 30, 2015 and 2014 , the following shares were not included in the diluted EPS calculation because they were anti-dilutive (in thousands) (1)(2) : For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Joint venture shares 298 — 298 298 3.00% convertible senior unsecured notes 16,992 — 16,992 16,992 Series J convertible perpetual preferred stock 15,635 — 15,635 15,635 1.50% convertible senior unsecured notes 11,567 — 11,567 11,567 _______________________________________________________________________________ (1) For the three and nine months ended September 30, 2015 and for the nine months ended September 30, 2014 , the effect of the Company's unvested Units, performance-based Units, CSEs and restricted stock awards were anti-dilutive. (2) For the three months ended September 30, 2014, the effect of 21 unvested performance-based Units were anti-dilutive. |
Fair Values (Tables)
Fair Values (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities recorded at fair value on a recurring and non-recurring basis by levels | The following fair value hierarchy table summarizes the Company's assets and liabilities recorded at fair value on a recurring and non-recurring basis by the above categories ($ in thousands): Fair Value Using Total Quoted market prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) As of September 30, 2015 Recurring basis: Derivative assets (1) $ 1,755 $ — $ 1,755 $ — Derivative liabilities (1) 426 — 426 — Available-for-sale securities (1) 1,131 — — 1,131 Non-recurring basis: Impaired loans (2) 29,200 — — 29,200 Impaired real estate (3) 7,941 — — 7,941 As of December 31, 2014 Recurring basis: Derivative assets (1) $ 6,361 $ — $ 6,361 $ — Derivative liabilities (1) 478 — 478 — Available-for-sale securities (1) 7,906 7,906 — — Non-recurring basis: Impaired loans (4) 37,169 — — 37,169 Impaired real estate (5) 7,102 — — 7,102 ____________________________________________________________ (1) The fair value of the Company's derivatives and available-for-sale securities are based upon third-party broker quotes. (2) The Company recorded a provision for loan losses on one loan with a fair value of $24.0 million based on the expected proceeds to be received from the borrower. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. (3) The Company recorded an impairment on one real estate asset with a fair value of $6.5 million based on a discount rate of 11% using discounted cash flows over a 1.75 year hold period. The Company recorded an impairment on one real estate asset with a fair value of $1.4 million based on a purchase option granted. (4) The Company recorded a recovery of loan losses on one loan with a fair value of $8.5 million based on the loan's remaining term of 1.5 years and interest rate of 4.7% using discounted cash flow analysis. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. In addition, the Company recorded a provision for loan losses on one loan, collateralized by a land asset, with a fair value of $23.5 million based upon a foreclosure sale agreement. The land asset was acquired by an unconsolidated entity in which the Company is a partner. (5) The Company recorded impairment on one real estate asset with a fair value of $7.1 million based on a discount rate of 15.0% using discounted cash flows over a 10 year lease term. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of financial measures for each segment based on which performance is evaluated | The Company evaluates performance based on the following financial measures for each segment. The Company's segment information is as follows ($ in thousands): Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total Three Months Ended September 30, 2015: Operating lease income $ — $ 37,379 $ 18,125 $ 195 $ — $ 55,699 Interest income 33,599 — — — — 33,599 Other income 7,988 8 7,602 376 914 16,888 Land development revenue — — — 14,301 — 14,301 Earnings (loss) from equity method investments — 971 469 6,647 2,485 10,572 Income from sales of real estate — 6,931 19,580 — — 26,511 Total revenue and other earnings 41,587 45,289 45,776 21,519 3,399 157,570 Real estate expense — (5,473 ) (22,448 ) (7,233 ) — (35,154 ) Land development cost of sales — — — (10,686 ) — (10,686 ) Other expense (2,039 ) — — — (1,295 ) (3,334 ) Allocated interest expense (14,030 ) (16,358 ) (6,724 ) (8,265 ) (11,503 ) (56,880 ) Allocated general and administrative (2) (3,527 ) (4,209 ) (1,841 ) (3,233 ) (5,490 ) (18,300 ) Segment profit (loss) (3) $ 21,991 $ 19,249 $ 14,763 $ (7,898 ) $ (14,889 ) $ 33,216 Other significant non-cash items: Provision for (recovery of) loan losses $ 7,500 $ — $ — $ — $ — $ 7,500 Impairment of assets — — 3,916 — — 3,916 Depreciation and amortization — 9,522 5,610 380 275 15,787 Capitalized expenditures — 1,439 26,358 18,043 — 45,840 Three Months Ended September 30, 2014: Operating lease income $ — $ 36,947 $ 23,513 $ 231 $ — $ 60,691 Interest income 31,098 — — — — 31,098 Other income 885 3,573 11,795 496 1,658 18,407 Land development revenue — — — 3,290 — 3,290 Earnings (loss) from equity method investments — 349 177 123 48,929 49,578 Income from sales of real estate — — 27,791 — — 27,791 Total revenue and other earnings 31,983 40,869 63,276 4,140 50,587 190,855 Real estate expense — (6,059 ) (28,795 ) (6,431 ) — (41,285 ) Land development cost of sales — — — (2,763 ) — (2,763 ) Other expense (283 ) — — — 568 285 Allocated interest expense (14,187 ) (18,156 ) (10,169 ) (7,490 ) (5,422 ) (55,424 ) Allocated general and administrative (2) (3,492 ) (4,610 ) (2,699 ) (3,566 ) (5,737 ) (20,104 ) Segment profit (loss) (3) $ 14,021 $ 12,044 $ 21,613 $ (16,110 ) $ 39,996 $ 71,564 Other significant non-cash items: Provision for (recovery of) loan losses $ (673 ) $ — $ — $ — $ — $ (673 ) Impairment of assets — 231 4,231 11,000 — 15,462 Depreciation and amortization — 9,522 7,606 320 274 17,722 Capitalized expenditures — 595 20,555 25,655 — 46,805 Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total Nine Months Ended September 30, 2015: Operating lease income $ — $ 111,500 $ 58,855 $ 635 $ — $ 170,990 Interest income 102,224 — — — — 102,224 Other income 8,834 133 27,069 1,163 3,015 40,214 Land development revenue — — — 29,101 — 29,101 Earnings (loss) from equity method investments — 4,270 1,302 13,719 6,613 25,904 Income from sales of real estate — 15,584 50,437 — — 66,021 Total revenue and other earnings 111,058 131,487 137,663 44,618 9,628 434,454 Real estate expense — (16,266 ) (73,812 ) (21,065 ) — (111,143 ) Land development cost of sales — — — (22,828 ) — (22,828 ) Other expense (2,259 ) — — — (4,086 ) (6,345 ) Allocated interest expense (42,828 ) (50,126 ) (21,449 ) (23,685 ) (29,248 ) (167,336 ) Allocated general and administrative (2) (9,750 ) (11,646 ) (5,298 ) (8,759 ) (17,001 ) (52,454 ) Segment profit (loss) (3) $ 56,221 $ 53,449 $ 37,104 $ (31,719 ) $ (40,707 ) $ 74,348 Other significant non-cash items: Provision for (recovery of) loan losses $ 30,944 $ — $ — $ — $ — $ 30,944 Impairment of assets — — 5,590 — — 5,590 Depreciation and amortization — 28,380 19,400 1,160 864 49,804 Capitalized expenditures — 3,553 58,201 67,888 — 129,642 Nine Months Ended September 30, 2014 Operating lease income $ — $ 113,502 $ 69,631 $ 633 $ — $ 183,766 Interest income 94,139 — — — — 94,139 Other income 20,327 4,306 32,335 865 4,420 62,253 Land development revenue — — — 11,920 — 11,920 Earnings (loss) from equity method investments — 1,497 1,125 (286 ) 74,512 76,848 Income from sales of real estate — — 61,465 — — 61,465 Total revenue and other earnings 114,466 119,305 164,556 13,132 78,932 490,391 Real estate expense — (17,253 ) (86,338 ) (20,861 ) — (124,452 ) Land development cost of sales — — — (10,028 ) — (10,028 ) Other expense (1,016 ) — — — (3,610 ) (4,626 ) Allocated interest expense (45,497 ) (54,775 ) (30,657 ) (21,943 ) (16,538 ) (169,410 ) Allocated general and administrative (2) (11,026 ) (13,592 ) (7,966 ) (10,839 ) (17,821 ) (61,244 ) Segment profit (loss) (3) $ 56,927 $ 33,685 $ 39,595 $ (50,539 ) $ 40,963 $ 120,631 Other significant non-cash items: Provision for (recovery of) loan losses $ (6,865 ) $ — $ — $ — $ — $ (6,865 ) Impairment of assets — 3,210 8,131 10,400 — 21,741 Depreciation and amortization — 29,332 23,838 1,114 873 55,157 Capitalized expenditures — 169 46,973 58,711 — 105,853 Real Estate Finance Net Lease Operating Properties Land & Development Corporate/Other (1) Company Total As of September 30, 2015 Real estate Real estate, net $ — $ 1,150,797 $ 474,727 $ 865,014 $ — $ 2,490,538 Real estate available and held for sale — 1,953 136,945 157,693 — 296,591 Total real estate — 1,152,750 611,672 1,022,707 — 2,787,129 Loans receivable and other lending investments, net 1,585,399 — — — — 1,585,399 Other investments — 68,719 11,472 120,269 90,059 290,519 Total portfolio assets $ 1,585,399 $ 1,221,469 $ 623,144 $ 1,142,976 $ 90,059 4,663,047 Cash and other assets 979,748 Total assets $ 5,642,795 As of December 31, 2014 Real estate Real estate, net $ — $ 1,188,160 $ 628,271 $ 860,283 $ — $ 2,676,714 Real estate available and held for sale — 4,521 162,782 118,679 — 285,982 Total real estate — 1,192,681 791,053 978,962 — 2,962,696 Loans receivable and other lending investments, net 1,377,843 — — — — 1,377,843 Other investments — 125,360 13,220 106,155 109,384 354,119 Total portfolio assets $ 1,377,843 $ 1,318,041 $ 804,273 $ 1,085,117 $ 109,384 4,694,658 Cash and other assets 768,475 Total assets $ 5,463,133 _______________________________________________________________________________ (1) Corporate/Other represents all corporate level and unallocated items including any intercompany eliminations necessary to reconcile to consolidated Company totals. This caption also includes the Company's joint venture investments and strategic investments that are not included in the other reportable segments above. (2) General and administrative excludes stock-based compensation expense of $2.9 million and $10.1 million for the three and nine months ended September 30, 2015 and $3.3 million and $8.5 million for the three and nine months ended September 30, 2014 , respectively. (3) The following is a reconciliation of segment profit to net income (loss) ($ in thousands): |
Reconciliation of segment profit (loss) to income (loss) from continuing operations | The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 Segment profit $ 33,216 $ 71,564 $ 74,348 $ 120,631 Less: (Provision for) recovery of loan losses (7,500 ) 673 (30,944 ) 6,865 Less: Impairment of assets (3,916 ) (15,462 ) (5,590 ) (21,741 ) Less: Stock-based compensation expense (2,881 ) (3,273 ) (10,066 ) (8,544 ) Less: Depreciation and amortization (15,787 ) (17,722 ) (49,804 ) (55,157 ) Less: Income tax (expense) benefit 2,893 (103 ) (3,796 ) 619 Less: Loss on early extinguishment of debt, net (67 ) (186 ) (279 ) (24,953 ) Net income (loss) $ 5,958 $ 35,491 $ (26,131 ) $ 17,720 |
Business and Organization (Deta
Business and Organization (Details) $ in Billions | 273 Months Ended |
Sep. 30, 2015USD ($) | |
Business and Organization [Abstract] | |
Investment across a range of real estate sectors over the past two decades | $ 35 |
Basis of Presentation and Pri41
Basis of Presentation and Principles of Consolidation (Details) $ in Millions | Sep. 30, 2015USD ($)Investmententity |
Consolidated VIEs | |
Total revenues and total expenses related to consolidated VIEs | |
Number of variable interest entities (in investments) | entity | 4 |
Variable interest entity, consolidated, carrying amount, assets | $ 202.1 |
Variable interest entity, consolidated, carrying amount, liabilities | 26.1 |
Variable interest entity unfunded commitment | $ 38.8 |
Unconsolidated VIEs | |
Total revenues and total expenses related to consolidated VIEs | |
Number of variable interest entities (in investments) | Investment | 25 |
Variable interest entity unfunded commitment | $ 21.6 |
Carrying value of the investments | $ 161.9 |
Basis of Presentation and Pri42
Basis of Presentation and Principles of Consolidation (Reclassification) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | $ (86,964) | $ (10,350) |
Cash flows from investing activities: | $ 84,705 | 307,705 |
Scenario, Previously Reported [Member] | ||
Cash flows from operating activities: | 1,570 | |
Cash flows from investing activities: | 295,785 | |
Scenario, Adjustment [Member] | ||
Cash flows from operating activities: | (11,920) | |
Cash flows from investing activities: | 11,920 | |
Scenario, Actual [Member] | ||
Cash flows from operating activities: | (10,350) | |
Cash flows from investing activities: | $ 307,705 |
Real Estate (Schedule of Real E
Real Estate (Schedule of Real Estate Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Real Estate Properties [Line Items] | |||
Land and land improvements, at cost | $ 1,318,555 | $ 1,326,957 | |
Buildings and improvements, at cost | 1,650,558 | 1,818,606 | |
Less: accumulated depreciation | (478,575) | (468,849) | |
Real estate, net | 2,490,538 | 2,676,714 | |
Real estate available and held for sale | [1] | 296,591 | 285,982 |
Total real estate | 2,787,129 | 2,962,696 | |
Net Lease | |||
Real Estate Properties [Line Items] | |||
Land and land improvements, at cost | 309,522 | 311,890 | |
Buildings and improvements, at cost | 1,227,500 | 1,240,593 | |
Less: accumulated depreciation | (386,225) | (364,323) | |
Real estate, net | 1,150,797 | 1,188,160 | |
Real estate available and held for sale | [1] | 1,953 | 4,521 |
Total real estate | 1,152,750 | 1,192,681 | |
Operating Properties | |||
Real Estate Properties [Line Items] | |||
Land and land improvements, at cost | 134,490 | 146,417 | |
Buildings and improvements, at cost | 423,058 | 578,013 | |
Less: accumulated depreciation | (82,821) | (96,159) | |
Real estate, net | 474,727 | 628,271 | |
Real estate available and held for sale | [1] | 136,945 | 162,782 |
Total real estate | 611,672 | 791,053 | |
Land & Development | |||
Real Estate Properties [Line Items] | |||
Land and land improvements, at cost | 874,543 | 868,650 | |
Buildings and improvements, at cost | 0 | 0 | |
Less: accumulated depreciation | (9,529) | (8,367) | |
Real estate, net | 865,014 | 860,283 | |
Real estate available and held for sale | [1] | 157,693 | 118,679 |
Total real estate | $ 1,022,707 | $ 978,962 | |
[1] | As of September 30, 2015 and December 31, 2014, the Company had $132.8 million and $155.8 million, respectively, of residential properties available for sale in its operating properties portfolio. |
Real Estate (Real Estate Availa
Real Estate (Real Estate Available and Held for Sale) (Details) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2015USD ($) | Sep. 30, 2014property | Dec. 31, 2014USD ($) | ||
Real Estate Properties [Line Items] | ||||
Real estate available and held for sale | [1] | $ 296,591 | $ 285,982 | |
Residential Operating Properties | ||||
Real Estate Properties [Line Items] | ||||
Real estate available and held for sale | 132,800 | 155,800 | ||
Land & Development | ||||
Real Estate Properties [Line Items] | ||||
Real estate available and held for sale | [1] | 157,693 | 118,679 | |
Commercial Operating Properties | ||||
Real Estate Properties [Line Items] | ||||
Property Transferred from HFS, Aggregate, Carrying Value | 2,900 | |||
Condominium Units | ||||
Real Estate Properties [Line Items] | ||||
Number of properties acquired | property | 2 | |||
Net Lease | ||||
Real Estate Properties [Line Items] | ||||
Real estate available and held for sale | [1] | 1,953 | 4,521 | |
Operating Properties | ||||
Real Estate Properties [Line Items] | ||||
Real estate available and held for sale | [1] | 136,945 | $ 162,782 | |
Construction Substantially Complete | Residential Units [Member] | ||||
Real Estate Properties [Line Items] | ||||
Property Transferred to Held for Sale, Aggregate, Carrying Value | 55,500 | |||
Executed Contract with Third Party | Net Lease | ||||
Real Estate Properties [Line Items] | ||||
Property Transferred to Held for Sale, Aggregate, Carrying Value | $ 8,200 | |||
[1] | As of September 30, 2015 and December 31, 2014, the Company had $132.8 million and $155.8 million, respectively, of residential properties available for sale in its operating properties portfolio. |
Real Estate (Acquisitions) (Det
Real Estate (Acquisitions) (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015USD ($)property | Sep. 30, 2014USD ($)property | |
Real Estate Properties [Line Items] | ||
Acquisitions of real estate assets | $ 0 | $ 2,964 |
Condominium Units | ||
Real Estate Properties [Line Items] | ||
Acquisitions of real estate assets | $ 3,000 | |
Number of properties acquired | property | 2 | |
Real Estate Acquired in Satisfaction of Debt | ||
Real Estate Properties [Line Items] | ||
Fair Value of Assets Acquired | $ 13,400 | $ 77,900 |
Residential Operating Properties | Real Estate Acquired in Satisfaction of Debt | ||
Real Estate Properties [Line Items] | ||
Number of properties acquired | property | 1 | |
Commercial Operating Properties | Real Estate Acquired in Satisfaction of Debt | ||
Real Estate Properties [Line Items] | ||
Number of properties acquired | property | 3 |
Real Estate (Pro Forma Financia
Real Estate (Pro Forma Financial Information) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2014USD ($) | |
Real Estate [Abstract] | |
Pro forma total revenues | $ 356,378 |
Pro forma net income (loss) | 17,306 |
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 5,300 |
Business combination, pro forma information, earnings or loss of acquiree since acquisition date, actual | $ 1,700 |
Real Estate (Dispositions) (Det
Real Estate (Dispositions) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | Feb. 28, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Income from sales of real estate | $ 26,511 | $ 27,791 | $ 66,021 | $ 61,465 | ||
Net proceeds from sales of real estate | 10,100 | |||||
Land development revenue | 14,301 | 3,290 | 29,101 | 11,920 | ||
Land development cost of sales | $ 10,686 | $ 2,763 | $ 22,828 | $ 10,028 | ||
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | 72.00% | 90.00% | 72.00% | 72.00% | |
Property Contributed, Aggregate, Carrying Value | $ 29,400 | |||||
Transfer Mortgage Payable | 26,000 | |||||
Property sold, aggregate, carrying value | 6,800 | |||||
Condominium Units | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Proceeds from sale of other real estate | $ 113,400 | 165,600 | ||||
Income from sales of real estate | 36,800 | 56,900 | ||||
Net Lease Asset Two | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Income from sales of real estate | 15,600 | |||||
Proceeds from sale of property held-for-sale | $ 39,400 | |||||
Net Lease | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Net proceeds from sales of real estate | 7,800 | |||||
Impairment of long-lived assets to be disposed of or sold | $ 3,000 | |||||
Net Lease Asset One | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Initial term of ground lease | 99 years | |||||
Lease incentive asset | $ 38,100 | $ 38,100 | ||||
Land & Development | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Unpaid Purchase Price | 16,100 | 16,100 | ||||
Deferred Revenue | 5,300 | 5,300 | ||||
Operating Properties | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Net proceeds from sales of real estate | 93,500 | |||||
Deferred gain on sale of property | $ 5,300 | 5,300 | ||||
RCC | Operating Properties | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Income from sales of real estate | 13,600 | |||||
Sales price of real estate held for investment | $ 68,500 | |||||
iStar's ownership percentage | 50.00% | 50.00% | ||||
iStar Net Lease I LLC | Net Lease | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
iStar's ownership percentage | 51.90% | 51.90% | 51.90% | |||
Net proceeds from sales of real estate | $ 93,700 | |||||
iStar Net Lease I LLC | Net Lease Asset One | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Net proceeds from sales of real estate | 93,700 | |||||
Real Estate Equity Investment One | Land & Development | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Property Contributed, Aggregate, Carrying Value | 9,500 | |||||
Commercial Operating Properties | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Income from sales of real estate | $ 4,600 |
Real Estate (Impairments) (Deta
Real Estate (Impairments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Real Estate Properties [Line Items] | ||||
Impairment of assets | $ 3,916 | $ 15,462 | $ 5,590 | $ 21,741 |
Commercial Operating Properties | ||||
Real Estate Properties [Line Items] | ||||
Impairment of assets | 15,400 | |||
Residential Operating Properties | ||||
Real Estate Properties [Line Items] | ||||
Impairment of assets | 3,300 | |||
Net Lease | ||||
Real Estate Properties [Line Items] | ||||
Impairment of long-lived assets to be disposed of or sold | $ 3,000 |
Real Estate (Tenant Reimburseme
Real Estate (Tenant Reimbursements) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Real Estate [Abstract] | ||||
Tenant reimbursements | $ 6.8 | $ 7.6 | $ 20.4 | $ 23.1 |
Real Estate (Redeemable Noncont
Real Estate (Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Noncontrolling Interest [Line Items] | ||
Redeemable noncontrolling interests | $ 11,577 | $ 11,199 |
Not Currently Redeemable | ||
Noncontrolling Interest [Line Items] | ||
Redeemable noncontrolling interests | 7,800 | 9,900 |
Redeemable estimated redemption value | $ 11,100 | $ 23,600 |
Real Estate (Allowance for doub
Real Estate (Allowance for doubtful accounts) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Real Estate Tenant Receivables | ||
Schedule of Operating Lease Allowance for Doubtful Accounts [Line Items] | ||
Allowance for Doubtful Accounts Receivable | $ 2 | $ 1.3 |
Deferred Operating Lease | ||
Schedule of Operating Lease Allowance for Doubtful Accounts [Line Items] | ||
Allowance for Doubtful Accounts Receivable | $ 2.4 | $ 2.4 |
Loans Receivable and Other Le52
Loans Receivable and Other Lending Investments, net (Schedule of Loans Receivable) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Total gross carrying value of loans | $ 1,623,509 | $ 1,288,662 | |||||
Reserves for loan losses | (128,558) | $ (121,934) | (98,490) | $ (119,907) | $ (137,904) | $ (377,204) | |
Total loans receivable, net | 1,494,951 | 1,190,172 | |||||
Other lending investments—securities | 90,448 | 187,671 | |||||
Total loans receivable and other lending investments, net | [1] | 1,585,399 | 1,377,843 | ||||
Interest receivable | 8,900 | 7,000 | |||||
Senior mortgages | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Total gross carrying value of loans | 923,138 | 737,535 | |||||
Corporate/Partnership loans | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Total gross carrying value of loans | 671,738 | 497,796 | |||||
Subordinate mortgages | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Total gross carrying value of loans | $ 28,633 | $ 53,331 | |||||
[1] | The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million, respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. |
Loans Receivable and Other Le53
Loans Receivable and Other Lending Investments, net (Narrative) (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Loans Receivable Net of Deferred Income | $ 1,623,509,000 | $ 1,288,662,000 | |
Loans, Sold Loans Carrying Value | 5,500,000 | $ 30,800,000 | |
Realized Investment Gains (Losses) | 0 | $ 19,100,000 | |
Loans Receivable One | |||
Loans Receivable Net of Deferred Income | $ 146,700,000 |
Loans Receivable and Other Le54
Loans Receivable and Other Lending Investments, net (Reserve for Loan Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Allowance for Loan Losses [Roll Forward] | |||||
Reserve for loan losses at beginning of period | $ 121,934 | $ 137,904 | $ 98,490 | $ 377,204 | |
Provision for (recovery of) loan losses | [1] | 7,500 | (673) | 30,944 | (6,865) |
Charge-offs | (876) | (17,324) | (876) | (250,432) | |
Reserve for loan losses at end of period | 128,558 | 119,907 | 128,558 | 119,907 | |
Recoveries of previously recorded loan loss reserves | $ 100 | $ 900 | $ 600 | $ 8,500 | |
[1] | For the three and nine months ended September 30, 2015, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million, respectively. For the three and nine months ended September 30, 2014, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million, respectively. |
Loans Receivable and Other Le55
Loans Receivable and Other Lending Investments, net (Loans and Associated Reserve for Loan Losses) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Loans | $ 1,632,431 | $ 1,295,703 | |||||
Less: Reserve for loan losses | (128,558) | $ (121,934) | (98,490) | $ (119,907) | $ (137,904) | $ (377,204) | |
Total | 1,503,873 | 1,197,213 | |||||
Individually Evaluated for Impairment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Loans | [1] | 178,136 | 139,672 | ||||
Less: Reserve for loan losses | [1] | (95,520) | (64,990) | ||||
Total | [1] | 82,616 | 74,682 | ||||
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums | 200 | (200) | |||||
Collectively Evaluated for Impairment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Loans | [2] | 1,454,295 | 1,156,031 | ||||
Less: Reserve for loan losses | [2] | (33,038) | (33,500) | ||||
Total | [2] | 1,421,257 | 1,122,531 | ||||
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums | $ 8,900 | $ (10,600) | |||||
[1] | The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $0.2 million and $0.2 million as of September 30, 2015 and December 31, 2014, respectively. The Company's loans individually evaluated for impairment primarily represent loans on non-accrual status and therefore, the unamortized amounts associated with these loans are not currently being amortized into income. | ||||||
[2] | The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $8.9 million and $10.6 million as of September 30, 2015 and December 31, 2014, respectively. |
Loans Receivable and Other Le56
Loans Receivable and Other Lending Investments, net (Credit Characteristics for Performing Loans) (Details) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015USD ($) | Dec. 31, 2014USD ($) | |
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 1,632,431 | $ 1,295,703 |
Senior mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 927,215 | |
Corporate/Partnership loans | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 676,225 | |
Subordinate mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 28,991 | |
Real Estate Finance | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 1,454,295 | $ 1,166,465 |
Weighted Average Risk Ratings | 3.15 | 3.23 |
Real Estate Finance | Senior mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 798,972 | $ 611,009 |
Weighted Average Risk Ratings | 2.94 | 2.73 |
Real Estate Finance | Corporate/Partnership loans | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 626,332 | $ 501,620 |
Weighted Average Risk Ratings | 3.40 | 3.88 |
Real Estate Finance | Subordinate mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 28,991 | $ 53,836 |
Weighted Average Risk Ratings | 3.64 | 2.87 |
Minimum | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Risk rating | 1 | |
Maximum | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Risk rating | 5 |
Loans Receivable and Other Le57
Loans Receivable and Other Lending Investments, net (Credit Characteristics by Payment Status) (Details) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2015USD ($)Loan | Dec. 31, 2014USD ($) | ||
Recorded investment in loans, aged by payment status and presented by class | |||
Current | $ 1,515,922 | ||
Less Than and Equal to 90 Days | 0 | ||
Greater Than 90 Days | [1] | 116,509 | |
Total Past Due | 116,509 | ||
Loans | $ 1,632,431 | $ 1,295,703 | |
Financing receivable, number of loans greater than 90 days past due | Loan | 4 | ||
Financing receivables, past due time period | 90 days | ||
Senior mortgages | |||
Recorded investment in loans, aged by payment status and presented by class | |||
Current | $ 810,706 | ||
Less Than and Equal to 90 Days | 0 | ||
Greater Than 90 Days | [1] | 116,509 | |
Total Past Due | 116,509 | ||
Loans | 927,215 | ||
Corporate/Partnership loans | |||
Recorded investment in loans, aged by payment status and presented by class | |||
Current | 676,225 | ||
Less Than and Equal to 90 Days | 0 | ||
Greater Than 90 Days | 0 | ||
Total Past Due | 0 | ||
Loans | 676,225 | ||
Subordinate mortgages | |||
Recorded investment in loans, aged by payment status and presented by class | |||
Current | 28,991 | ||
Less Than and Equal to 90 Days | 0 | ||
Greater Than 90 Days | 0 | ||
Total Past Due | 0 | ||
Loans | $ 28,991 | ||
Minimum | |||
Recorded investment in loans, aged by payment status and presented by class | |||
Financing receivables, past due time period | 1 year | ||
Maximum | |||
Recorded investment in loans, aged by payment status and presented by class | |||
Financing receivables, past due time period | 7 years | ||
[1] | As of September 30, 2015, the Company had four loans which were greater than 90 days delinquent and were in various stages of resolution, including legal proceedings, environmental concerns and foreclosure-related proceedings, and ranged from 1.0 to 7.0 years outstanding. |
Loans Receivable and Other Le58
Loans Receivable and Other Lending Investments, net (Impaired Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | ||
Financing Receivable, Impaired [Line Items] | ||||||
Loans modified through troubled debt restructurings | $ 10,400 | |||||
Average Recorded Investment | $ 178,862 | $ 267,478 | $ 158,610 | $ 493,799 | ||
Interest Income Recognized | 4 | 1,292 | 50 | 2,219 | ||
Senior mortgages | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Average Recorded Investment | 128,969 | 233,148 | 129,730 | 429,851 | ||
Interest Income Recognized | 4 | 1,252 | 38 | 2,062 | ||
Corporate/Partnership loans | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Average Recorded Investment | 49,893 | 34,330 | 28,880 | 63,948 | ||
Interest Income Recognized | 0 | 40 | 12 | 157 | ||
With no related allowance recorded | Senior mortgages | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Average Recorded Investment | 0 | 40,635 | 0 | 44,574 | ||
Interest Income Recognized | 0 | 1,234 | 0 | 1,922 | ||
With an allowance recorded | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Recorded Investment | [1] | 178,136 | 178,136 | 139,672 | ||
Unpaid Principal Balance | [1] | 177,178 | 177,178 | 138,801 | ||
Related Allowance | [1] | (95,520) | (95,520) | (64,990) | ||
Average Recorded Investment | 178,862 | 226,843 | 158,610 | 449,225 | ||
Interest Income Recognized | 4 | 58 | 50 | 297 | ||
With an allowance recorded | Senior mortgages | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Recorded Investment | [1] | 128,243 | 128,243 | 130,645 | ||
Unpaid Principal Balance | [1] | 127,285 | 127,285 | 129,744 | ||
Related Allowance | [1] | (69,627) | (69,627) | (64,440) | ||
Average Recorded Investment | 128,969 | 192,513 | 129,730 | 385,277 | ||
Interest Income Recognized | 4 | 18 | 38 | 140 | ||
With an allowance recorded | Corporate/Partnership loans | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Recorded Investment | [1] | 49,893 | 49,893 | 9,027 | ||
Unpaid Principal Balance | [1] | 49,893 | 49,893 | 9,057 | ||
Related Allowance | [1] | (25,893) | (25,893) | $ (550) | ||
Average Recorded Investment | 49,893 | 34,330 | 28,880 | 63,948 | ||
Interest Income Recognized | $ 0 | $ 40 | $ 12 | $ 157 | ||
[1] | All of the Company's non-accrual loans are considered impaired and included in the table above. As of December 31, 2014, impaired loans also includes certain loans modified through troubled debt restructurings in accordance with GAAP with a recorded investment of $10.4 million although they are performing and on accrual status. The Company did not have impaired loans without related allowances recorded. |
Loans Receivable and Other Le59
Loans Receivable and Other Lending Investments, net (Troubled Debt Restructurings) (Details) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($)Loan | |
TDR 1 [Line Items] | ||
Financing receivable, pre modification recorded investment | $ 11,600,000 | $ 7,000,000 |
Finance receivable, troubled loans | Loan | 1 | |
Unfunded commitments, troubled debt restructurings | 0 | |
Individually Evaluated for Impairment | ||
TDR 1 [Line Items] | ||
Financing receivable, pre modification recorded investment | $ 5,800,000 |
Loans Receivable and Other Le60
Loans Receivable and Other Lending Investments, net (Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Investments, Debt and Equity Securities [Abstract] | ||
Face Value | $ 84,203 | $ 177,274 |
Amortized Cost Basis | 90,327 | 187,524 |
Debt Securitites, Unrealized Holding Gains | 121 | 147 |
Estimated Fair Value | 91,384 | 191,366 |
Net Carrying Value | 90,448 | 187,671 |
Municipal Bonds | ||
Available-for-Sale Securities | ||
Face Value | 1,010 | 1,020 |
Amortized Cost Basis | 1,010 | 1,020 |
Net Unrealized Gain (Loss) | 121 | 147 |
Estimated Fair Value | 1,131 | 1,167 |
Net Carrying Value | 1,131 | 1,167 |
Corporate Debt Securities | ||
Held-to-Maturity Securities | ||
Face Value | 83,193 | 176,254 |
Amortized Cost Basis | 89,317 | 186,504 |
Estimated Fair Value | 90,253 | 190,199 |
Net Carrying Value | $ 89,317 | $ 186,504 |
Other Investments (Schedule of
Other Investments (Schedule of Other Investments) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($)Investee | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($)Investee | Dec. 31, 2014USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | $ 290,519 | $ 290,519 | $ 354,119 | ||
Earnings (loss) from equity method investments | 10,572 | $ 49,578 | 25,904 | $ 76,848 | |
Equity Method Investee | Investee | 1 | 1 | |||
Net Lease Venture | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 68,719 | 68,719 | 125,361 | ||
Earnings (loss) from equity method investments | 971 | $ 349 | 4,270 | $ 152 | |
Other real estate equity investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 81,437 | 81,437 | 88,848 | ||
Earnings (loss) from equity method investments | (2,906) | 33,509 | (4,545) | 36,004 | |
Other Investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 51,751 | 51,751 | 63,262 | ||
Earnings (loss) from equity method investments | 2,159 | 11,889 | 6,658 | 39,863 | |
Madison Funds | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 38,299 | 38,299 | 45,971 | ||
Earnings (loss) from equity method investments | 331 | 3,982 | (115) | 1,591 | |
Marina Palms | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 50,313 | 50,313 | $ 30,677 | ||
Earnings (loss) from equity method investments | $ 10,017 | (151) | $ 19,636 | (762) | |
Equity Method Investee | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Earnings (loss) from equity method investments | 32,900 | 32,900 | |||
Equity method investee 2 | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Earnings (loss) from equity method investments | 23,400 | ||||
Oak Hill Funds | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Earnings (loss) from equity method investments | $ 9,000 | $ 9,000 |
Other Investments (Narrative) (
Other Investments (Narrative) (Details) | 1 Months Ended | 9 Months Ended | |||
Jun. 30, 2015USD ($)Investee | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($)leaseasset | Dec. 31, 2014USD ($) | Feb. 28, 2014USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||
Income from sales of real estate | $ 9,304,000 | $ 157,431,000 | |||
Net proceeds from sales of real estate | 10,100,000 | ||||
Acquisitions of real estate assets | $ 0 | $ 2,964,000 | |||
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | 72.00% | 72.00% | ||
Transfer Mortgage Payable | $ 26,000,000 | ||||
Number of Net Lease Assets Under Term Loan | Investee | 1 | ||||
Distributions from operations of other investments | $ 13,487,000 | 76,719,000 | |||
Equity method investments | 290,519,000 | $ 354,119,000 | |||
Proceeds from Sale of Available-for-sale Securities, Equity | 7,300,000 | ||||
Available-for-sale Securities, Gross Realized Gain (Loss) | 2,500,000 | ||||
Marina Palms | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 50,313,000 | 30,677,000 | |||
Net Lease Venture | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Acquisitions of real estate assets | $ 200,000,000 | ||||
Distributions from operations of other investments | $ 61,200,000 | ||||
Equity method investments | $ 68,719,000 | 125,361,000 | |||
Net Lease | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Number of properties acquired | leaseasset | 58 | ||||
MIRELF III | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 32.90% | ||||
MIRELF III AIV | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 32.90% | ||||
Madison GP1 Investors LP | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 29.50% | ||||
Madison International Real Estate Fund IILP | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 29.50% | ||||
Net Lease Asset One | Net Lease Venture | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net proceeds from sales of real estate | $ 93,700,000 | ||||
Land & Development | Marina Palms | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 47.50% | ||||
Total assets | $ 376,000,000 | 265,700,000 | |||
Equity method investment, preferred interest | 10,000,000 | ||||
Land & Development | Real Estate Equity Investment Two | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 85.70% | ||||
Equity method investments | 7,400,000 | 9,400,000 | |||
Loans Receivable, Commitments, Related Party | $ 45,700,000 | ||||
Land & Development | Other real estate equity investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | 62,600,000 | 66,100,000 | |||
Net Lease | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net proceeds from sales of real estate | $ 7,800,000 | ||||
Net Lease | Net Lease Venture | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 51.90% | 51.90% | |||
Partners' capital account, contributions | $ 500,000,000 | ||||
Equity method investment, related party ownership percentage | 0.60% | ||||
Equity method investment, related party promote fee percentage | 50.00% | ||||
Equity method investment, partner ownership percentage | 47.50% | ||||
Net proceeds from sales of real estate | $ 93,700,000 | ||||
Total assets | 387,200,000 | 348,100,000 | |||
Operating Properties | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net proceeds from sales of real estate | $ 93,500,000 | ||||
Operating Properties | RCC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 50.00% | ||||
Payments for other real estate equity investments | $ 55,400,000 | ||||
Income from sales of real estate | 13,600,000 | ||||
Distributions from operations of other investments | 21,000,000 | ||||
Operating Properties | Other real estate equity investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investments | $ 11,300,000 | $ 13,200,000 | |||
Minimum | Other real estate equity investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 16.00% | ||||
Maximum | Other real estate equity investments | |||||
Schedule of Equity Method Investments [Line Items] | |||||
iStar's ownership percentage | 76.00% | ||||
Loans Receivable and Other Lending Investments, Net | Land & Development | Real Estate Equity Investment Two | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Loans Receivable, Related Party | $ 32,300,000 | ||||
Net Lease | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Debt Instrument, Maturity Date | 10 years | ||||
Debt instrument, face amount | $ 120,000,000 |
Other Investments (Schedule o63
Other Investments (Schedule of Summarized Investee Financial Information) (Details) - Marina Palms - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Equity Method Investments, Summarized Financial Information [Line Items] | ||
Equity Method Investment, Summarized Financial Information, Revenue | $ 142,419 | $ 86 |
Equity Method Investment, Summarized Financial Information, Costs and Expenses | (88,661) | (1,694) |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | $ 53,758 | $ (1,608) |
Other Assets and Other Liabil64
Other Assets and Other Liabilities (Schedule of Other Assets) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | ||
Operating Leased Assets [Line Items] | ||||||
Intangible assets, net | [1] | $ 73,588 | $ 73,588 | $ 50,088 | ||
Other assets | 30,163 | 30,163 | 37,085 | |||
Deferred financing fees, net | [2] | 29,834 | 29,834 | 36,774 | ||
Restricted cash | 28,125 | 28,125 | 19,283 | |||
Other receivables | 24,146 | 24,146 | 13,115 | |||
Leasing costs, net | [3] | 18,920 | 18,920 | 20,031 | ||
Corporate furniture, fixtures and equipment, net | [4] | 4,621 | 4,621 | 5,409 | ||
Deferred expenses and other assets, net | 209,397 | 209,397 | 181,785 | |||
Intangible assets, accumulated amortization | 35,500 | 35,500 | 45,100 | |||
Amortization of above market lease | 1,800 | $ 1,600 | 5,500 | $ 5,600 | ||
Amortization of intangible assets | 900 | $ 1,100 | 3,000 | $ 4,900 | ||
Accumulated amortization of deferred financing fees | 24,600 | 24,600 | 15,400 | |||
Accumulated amortization on leasing costs | 9,800 | 9,800 | 9,000 | |||
Accumulated depreciation on corporate furniture, fixtures and equipment | 7,800 | 7,800 | $ 7,100 | |||
Net Lease Asset One | ||||||
Operating Leased Assets [Line Items] | ||||||
Lease incentive asset | $ 38,100 | $ 38,100 | ||||
[1] | Intangible assets, net are primarily related to the acquisition of real estate assets. This balance also includes a lease incentive asset of $38.1 million (refer to Note 4). Accumulated amortization on intangible assets was $35.5 million and $45.1 million as of September 30, 2015 and December 31, 2014, respectively. The amortization of above market leases and lease incentive assets decreased operating lease income in the Company's consolidated statements of operations by $1.8 million and $5.5 million for the three and nine months ended September 30, 2015, respectively, and $1.6 million and $5.6 million for the three and nine months ended September 30, 2014, respectively. These intangible lease assets are amortized over the term of the lease. The amortization expense for other intangible assets was $0.9 million and $3.0 million for the three and nine months ended September 30, 2015, respectively, and $1.1 million and $4.9 million for the three and nine months ended September 30, 2014, respectively. These amounts are included in "Depreciation and amortization" in the Company's consolidated statements of operations. | |||||
[2] | Accumulated amortization on deferred financing fees was $24.6 million and $15.4 million as of September 30, 2015 and December 31, 2014, respectively. | |||||
[3] | Accumulated amortization on leasing costs was $9.8 million and $9.0 million as of September 30, 2015 and December 31, 2014, respectively. | |||||
[4] | Accumulated depreciation on corporate furniture, fixtures and equipment was $7.8 million and $7.1 million as of September 30, 2015 and December 31, 2014, respectively. |
Other Assets and Other Liabil65
Other Assets and Other Liabilities (Schedule of Other Liabilities) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)property | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | ||
Real Estate Properties [Line Items] | ||||||
Other Liabilities | [1] | $ 76,770 | $ 76,770 | $ 48,256 | ||
Accrued expenses | 60,017 | 60,017 | 62,866 | |||
Accrued interest payable | 42,457 | 42,457 | 57,895 | |||
Intangible liabilities, net | [2] | 10,785 | 10,785 | 11,885 | ||
Accounts payable, accrued expenses and other liabilities | 190,029 | 190,029 | 180,902 | |||
Profit sharing payable | 13,600 | 13,600 | 6,800 | |||
Special assessment bond | 6,900 | 6,900 | 7,700 | |||
Payable for treasury share repurchases | 1,300 | 1,300 | ||||
Below market lease, accumulated amortization | 6,300 | 6,300 | $ 6,200 | |||
Amortization of below market lease | $ 500 | $ 500 | $ 1,200 | $ 2,100 | ||
Residential Real Estate | Master Planned Community | ||||||
Real Estate Properties [Line Items] | ||||||
Number of Properties | property | 1 | |||||
[1] | As of September 30, 2015 and December 31, 2014, "Other liabilities" includes $13.6 million and $6.8 million, respectively, related to a profit sharing payable to a developer for residential units sold. As of September 30, 2015 and December 31, 2014, "Other liabilities" also includes $6.9 million and $7.7 million, respectively, related to tax increment financing bonds which were issued by a governmental entity to fund the installation of infrastructure within one of the Company's master planned community developments. The balance represents a special assessment associated with each individual land parcel, which will decrease as the Company sells parcels. As of September 30, 2015, includes $1.3 million related to treasury share repurchases that settled in October 2015. | |||||
[2] | Intangible liabilities, net are primarily related to the acquisition of real estate assets. Accumulated amortization on intangible liabilities was $6.3 million and $6.2 million as of September 30, 2015 and December 31, 2014, respectively. The amortization of intangible liabilities increased operating lease income in the Company's consolidated statements of operations by $0.5 million and $1.2 million for the three and nine months ended September 30, 2015, respectively, and $0.5 million and $2.1 million for the three and nine months ended September 30, 2014, respectively. |
Other Assets and Other Liabil66
Other Assets and Other Liabilities (Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Schedule of deferred tax assets and liabilities [Line Items] | |||
Operating loss carryforwards | $ 856,400 | ||
Taxable REIT Subsidiaries [Member] | |||
Schedule of deferred tax assets and liabilities [Line Items] | |||
Deferred tax assets | [1] | $ 64,165 | 54,318 |
Valuation allowance | (64,165) | (54,318) | |
Net deferred tax assets (liabilities) | 0 | 0 | |
Real estate basis differences | 41,700 | 45,200 | |
Deferred expenses differences | 18,900 | 5,000 | |
Operating loss carryforwards | $ 3,600 | $ 4,100 | |
[1] | Deferred tax assets as of September 30, 2015 include timing differences related primarily to asset basis of $41.7 million, deferred expenses and other items of $18.9 million and net operating loss ("NOL") carryforwards of $3.6 million. Deferred tax assets as of December 31, 2014, include timing differences related primarily to asset basis of $45.2 million, NOL carryforwards of $4.1 million and deferred expenses and other items of $5.0 million. |
Loan Participations Payable, 67
Loan Participations Payable, net (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | ||
Proceeds from loan participations payable | $ 138,075 | $ 0 | ||
Unfunded Commitments | 750,662 | |||
Loan Participations Payable, net | 148,163 | $ 0 | ||
Loans Receivable Net of Deferred Income | 1,623,509 | 1,288,662 | ||
Loans Receivable, Net | 1,494,951 | $ 1,190,172 | ||
Loan Participation Payable One | ||||
Transfers Accounted for as Loan Participations Payable, Assets, Carrying Amount | 100,000 | |||
Loans Receivable, Commitments | 250,000 | |||
Loans Receivable, Funded Commitment | 38,900 | |||
Proceeds from loan participations payable | 38,900 | |||
Unfunded Commitments | $ 61,100 | |||
Loans Receivable with Fixed Rates of Interest | 5.90% | |||
Loans Receivable, Amount Funded to Borrower | $ 10,000 | |||
Loan Participation Payable Two | ||||
Debt Instrument, Description of Variable Rate Basis | [1] | LIBOR | ||
Loan Receivable, Basis Spread on Variable Rate | 3.50% | |||
Transfers Accounted for as Loan Participations Payable, Assets, Carrying Amount | $ 100,000 | |||
Loans Receivable, Commitments | 220,200 | |||
Loans Receivable, Funded Commitment | 100,000 | |||
Proceeds from loan participations payable | 99,200 | |||
Loan Participations Payable | ||||
Loans Receivable, Net | 148,900 | |||
Loan Participations Payable | ||||
Loan Participations Payable, net | $ 148,200 | |||
Minimum | Loan Participation Payable Two | ||||
Debt Instrument, Basis Spread on Variable Rate | 0.25% | |||
[1] | The loan has a LIBOR floor of 1.25%. As of September 30, 2015, inclusive of the floor, the 2012 Tranche A-2 Facility loan incurred interest at a rate of 7.00%. |
Debt Obligations, net (Schedule
Debt Obligations, net (Schedule of Debt) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | Jun. 10, 2014 | |||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 4,152,725 | $ 4,152,725 | $ 4,034,349 | |||||
Debt discounts, net | (7,908) | (7,908) | (11,665) | |||||
Total debt obligations, net | [1] | 4,144,817 | 4,144,817 | 4,022,684 | ||||
Interest Costs Capitalized | 1,300 | $ 1,400 | $ 4,000 | $ 3,300 | ||||
2012 Tranche A-1 Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 4.00% | |||||||
Variable interest rate, basis | LIBOR | |||||||
2012 Tranche A-2 Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | [2] | $ 339,860 | $ 339,860 | 358,504 | ||||
Stated Interest Rates | 7.00% | 7.00% | ||||||
Variable interest rate, spread | 5.75% | [2] | 5.75% | |||||
Variable interest rate, basis | [2] | LIBOR | ||||||
2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | [3] | $ 250,000 | $ 250,000 | 0 | ||||
Converted term loan, term | 1 year | |||||||
Term loans collateralized by net lease assets | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | [4] | $ 241,740 | $ 241,740 | 248,955 | ||||
Weighted average interest rate | 5.30% | 5.30% | ||||||
Stated interest rate, minimum | [4] | 4.851% | ||||||
Stated interest rate, maximum | [4] | 7.26% | ||||||
Total secured credit facilities and term loans | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 831,600 | $ 831,600 | 607,459 | |||||
6.05% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 0 | $ 0 | 105,765 | |||||
Stated Interest Rates | 6.05% | 6.05% | ||||||
5.875% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 261,403 | $ 261,403 | 261,403 | |||||
Stated Interest Rates | 5.875% | 5.875% | ||||||
3.875% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 265,000 | $ 265,000 | 265,000 | |||||
Stated Interest Rates | 3.875% | 3.875% | ||||||
3.00% senior convertible notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | [5] | $ 200,000 | $ 200,000 | 200,000 | ||||
Stated Interest Rates | [5] | 3.00% | 3.00% | |||||
Convertible debt conversion ratio | 0.085 | |||||||
Convertible debt conversion price | $ 11.77 | $ 11.77 | ||||||
1.50% senior convertible notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | [6] | $ 200,000 | $ 200,000 | 200,000 | ||||
Stated Interest Rates | [6] | 1.50% | 1.50% | |||||
Convertible debt conversion ratio | 0.0578 | |||||||
Convertible debt conversion price | $ 17.29 | $ 17.29 | ||||||
5.85% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 99,722 | $ 99,722 | 99,722 | |||||
Stated Interest Rates | 5.85% | 5.85% | ||||||
9.00% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 275,000 | $ 275,000 | 275,000 | |||||
Stated Interest Rates | 9.00% | 9.00% | ||||||
4.00% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 550,000 | $ 550,000 | 550,000 | |||||
Stated Interest Rates | 4.00% | 4.00% | 4.00% | |||||
7.125% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 300,000 | $ 300,000 | 300,000 | |||||
Stated Interest Rates | 7.125% | 7.125% | ||||||
4.875% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 300,000 | $ 300,000 | 300,000 | |||||
Stated Interest Rates | 4.875% | 4.875% | ||||||
5.00% senior notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 770,000 | $ 770,000 | 770,000 | |||||
Stated Interest Rates | 5.00% | 5.00% | 5.00% | |||||
Unsecured Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 3,221,125 | $ 3,221,125 | 3,326,890 | |||||
Other debt obligations | ||||||||
Debt Instrument [Line Items] | ||||||||
Total debt obligations | $ 100,000 | $ 100,000 | $ 100,000 | |||||
Variable interest rate, spread | 1.50% | |||||||
Variable interest rate, basis | LIBOR | |||||||
Minimum | 2012 Tranche A-2 Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 1.25% | |||||||
Minimum | London Interbank Offered Rate (LIBOR) | 2012 Tranche A-1 Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 1.25% | |||||||
Property One | London Interbank Offered Rate (LIBOR) | Term loans collateralized by net lease assets | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 2.00% | |||||||
Base Rate | London Interbank Offered Rate (LIBOR) | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 1.00% | |||||||
Base Rate | Federal Funds Effective Swap Rate | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Variable interest rate, spread | 0.50% | |||||||
Base Rate | Minimum | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, margin | 1.25% | |||||||
Base Rate | Maximum | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, margin | 1.75% | |||||||
London Interbank Offered Rate (LIBOR) | Minimum | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, margin | 2.25% | |||||||
London Interbank Offered Rate (LIBOR) | Maximum | 2015 Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, margin | 2.75% | |||||||
[1] | The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014. | |||||||
[2] | The loan has a LIBOR floor of 1.25%. As of September 30, 2015, inclusive of the floor, the 2012 Tranche A-2 Facility loan incurred interest at a rate of 7.00%. | |||||||
[3] | The loan bears interest at the Company's election of either (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.5% or (c) LIBOR plus 1.00% and subject to a margin ranging from 1.25% to 1.75%, or (ii) LIBOR subject to a margin ranging from 2.25% to 2.75%. At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through March 2019. | |||||||
[4] | As of September 30, 2015 and December 31, 2014, includes a loan with a floating rate of LIBOR plus 2.00%. As of September 30, 2015, the weighted average interest rate of these loans is 5.3%. | |||||||
[5] | The Company's 3.00% senior convertible fixed rate notes due November 2016 ("3.00% Convertible Notes") are convertible at the option of the holders, into 85.0 shares per $1,000 principal amount of 3.00% Convertible Notes, at $11.77 per share at any time prior to the close of business on November 14, 2016. | |||||||
[6] | The Company's 1.50% senior convertible fixed rate notes due November 2016 ("1.50% Convertible Notes") are convertible at the option of the holders, into 57.8 shares per $1,000 principal amount of 1.50% Convertible Notes, at $17.29 per share at any time prior to the close of business on November 14, 2016. |
Debt Obligations, net (Future S
Debt Obligations, net (Future Scheduled Maturities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Maturities of Long-term Debt [Abstract] | |||
2015 (remaining three months) | $ 0 | ||
2,016 | 926,403 | ||
2,017 | 1,264,582 | ||
2,018 | 863,790 | ||
2,019 | 801,183 | ||
Thereafter | 296,767 | ||
Total principal maturities | 4,152,725 | $ 4,034,349 | |
Unamortized discounts, net | (7,908) | (11,665) | |
Total debt obligations, net | [1] | 4,144,817 | $ 4,022,684 |
Unsecured Debt | |||
Maturities of Long-term Debt [Abstract] | |||
2015 (remaining three months) | 0 | ||
2,016 | 926,403 | ||
2,017 | 924,722 | ||
2,018 | 600,000 | ||
2,019 | 770,000 | ||
Thereafter | 100,000 | ||
Total principal maturities | 3,321,125 | ||
Unamortized discounts, net | (6,251) | ||
Total debt obligations, net | 3,314,874 | ||
Secured Debt | |||
Maturities of Long-term Debt [Abstract] | |||
2015 (remaining three months) | 0 | ||
2,016 | 0 | ||
2,017 | 339,860 | ||
2,018 | 263,790 | ||
2,019 | 31,183 | ||
Thereafter | 196,767 | ||
Total principal maturities | 831,600 | ||
Unamortized discounts, net | (1,657) | ||
Total debt obligations, net | $ 829,943 | ||
[1] | The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014. |
Debt Obligations, net (Secured
Debt Obligations, net (Secured Credit Facility Narrative) (Details) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 39 Months Ended | |||||
Mar. 31, 2012USD ($)tranche | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2015USD ($) | Mar. 27, 2015USD ($) | |||
Line of Credit Facility [Line Items] | |||||||||
Repayments of Debt | $ 430,048,000 | $ 1,445,635,000 | |||||||
Loss on early extinguishment of debt, net | $ 67,000 | $ 186,000 | $ 279,000 | 24,953,000 | |||||
2012 Secured Credit Facilities | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, face amount | $ 880,000,000 | ||||||||
Number of tranches | tranche | 2 | ||||||||
2012 Tranche A-1 Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, face amount | $ 410,000,000 | ||||||||
Variable interest rate, basis | LIBOR | ||||||||
Percentage of par credit facilities were issued at | 98.00% | ||||||||
Variable interest rate, spread | 4.00% | ||||||||
2012 Tranche A-2 Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, face amount | $ 470,000,000 | ||||||||
Repayments of Debt | $ 130,100,000 | ||||||||
Stated Interest Rates | 7.00% | 7.00% | |||||||
Loss on early extinguishment of debt, net | $ 100,000 | $ 200,000 | $ 300,000 | $ 1,000,000 | |||||
Variable interest rate, basis | [1] | LIBOR | |||||||
Percentage of par credit facilities were issued at | 98.50% | ||||||||
Variable interest rate, spread | 5.75% | [1] | 5.75% | ||||||
2015 Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 250,000,000 | ||||||||
Line of Credit Facility, Interest Rate at Period End | 3.17% | ||||||||
Converted term loan, term | 1 year | ||||||||
Minimum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.375% | ||||||||
Minimum | 2012 Tranche A-2 Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable interest rate, spread | 1.25% | ||||||||
Maximum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.50% | ||||||||
London Interbank Offered Rate (LIBOR) | Minimum | 2012 Tranche A-1 Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable interest rate, spread | 1.25% | ||||||||
[1] | The loan has a LIBOR floor of 1.25%. As of September 30, 2015, inclusive of the floor, the 2012 Tranche A-2 Facility loan incurred interest at a rate of 7.00%. |
Debt Obligations, net (Unsecure
Debt Obligations, net (Unsecured Notes Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Jun. 10, 2014 | |
Debt Instrument [Line Items] | ||||||
Repayments of Debt | $ 430,048 | $ 1,445,635 | ||||
Loss on early extinguishment of debt, net | $ (67) | $ (186) | $ (279) | (24,953) | ||
4.00% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Stated Interest Rates | 4.00% | 4.00% | 4.00% | |||
Debt instrument, face amount | $ 550,000 | |||||
5.00% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Stated Interest Rates | 5.00% | 5.00% | 5.00% | |||
Debt instrument, face amount | $ 770,000 | |||||
February 2013 Secured Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of Debt | $ 1,320,000 | |||||
Early Repayment | February 2013 Secured Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Loss on early extinguishment of debt, net | $ 22,800 |
Debt Obligations, net (Encumber
Debt Obligations, net (Encumbered/Unencumbered Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | |
Debt Instrument [Line Items] | |||||||
Real estate, net | $ 2,490,538 | $ 2,676,714 | |||||
Real estate available and held for sale | [1] | 296,591 | 285,982 | ||||
Loans receivable and other lending investments, net | [2] | 1,585,399 | 1,377,843 | ||||
Other investments | 290,519 | 354,119 | |||||
Cash and other assets | 979,748 | 768,475 | |||||
Total assets | 5,642,795 | 5,463,133 | |||||
Reserves for loan losses | 128,558 | $ 121,934 | 98,490 | $ 119,907 | $ 137,904 | $ 377,204 | |
Loan Participations Payable, net | 148,163 | 0 | |||||
Loans Receivable, Net | 1,494,951 | 1,190,172 | |||||
Encumbered Assets | |||||||
Debt Instrument [Line Items] | |||||||
Real estate, net | 870,397 | 620,378 | |||||
Real estate available and held for sale | 17,078 | 10,496 | |||||
Loans receivable and other lending investments, net | [3],[4] | 91,997 | 46,515 | ||||
Other investments | 19,593 | 17,708 | |||||
Cash and other assets | 0 | 0 | |||||
Total assets | 999,065 | 695,097 | |||||
Unencumbered Assets | |||||||
Debt Instrument [Line Items] | |||||||
Real estate, net | 1,620,141 | 2,056,336 | |||||
Real estate available and held for sale | 279,513 | 275,486 | |||||
Loans receivable and other lending investments, net | [3],[4] | 1,377,514 | 1,364,828 | ||||
Other investments | 270,926 | 336,411 | |||||
Cash and other assets | 979,748 | 768,475 | |||||
Total assets | 4,527,842 | 4,801,536 | |||||
Collectively Evaluated for Impairment | |||||||
Debt Instrument [Line Items] | |||||||
Reserves for loan losses | [5] | 33,038 | $ 33,500 | ||||
Loan Participations Payable | |||||||
Debt Instrument [Line Items] | |||||||
Loans Receivable, Net | $ 148,900 | ||||||
[1] | As of September 30, 2015 and December 31, 2014, the Company had $132.8 million and $155.8 million, respectively, of residential properties available for sale in its operating properties portfolio. | ||||||
[2] | The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million, respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. | ||||||
[3] | (2)As of September 30, 2015, the amount presented excludes loan participations of $148.9 million. | ||||||
[4] | As of September 30, 2015 and December 31, 2014, the amounts presented exclude general reserves for loan losses of $33.0 million and $33.5 million, respectively. | ||||||
[5] | The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs aggregating to a net discount of $8.9 million and $10.6 million as of September 30, 2015 and December 31, 2014, respectively. |
Debt Obligations, net (Debt Cov
Debt Obligations, net (Debt Covenants) (Details) | 9 Months Ended |
Sep. 30, 2015 | |
Unsecured Credit Facilities | |
Debt Instrument [Line Items] | |
Minimum ratio of unencumbered assets to unsecured indebtedness | 1.2 |
Debt instrument covenant multiple of minimum fixed charges on outstanding borrowings | 1.5 |
2012 Secured Credit Facilities | |
Debt Instrument [Line Items] | |
Multiple of the minimum collateral coverage on outstanding borrowings | 1.25 |
2015 Revolving Credit Facility | |
Debt Instrument [Line Items] | |
Debt instrument covenant multiple of minimum fixed charges on outstanding borrowings | 1.5 |
Multiple of the minimum collateral coverage on outstanding borrowings | 1.5 |
Total secured credit facilities and term loans | |
Debt Instrument [Line Items] | |
Percentage of REIT taxable income permitted for distribution under debt covenants | 100.00% |
Commitments and Contingencies74
Commitments and Contingencies (Unfunded Commitments) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Percentage of capital committed to strategic investments that may be drawn down | 100.00% |
Unfunded Financial Commitments [Line Items] | |
Performance-Based Commitments | $ 699,772 |
Strategic Investments | 45,890 |
Discretionary Fundings | 5,000 |
Total | 750,662 |
Loans and Other Lending Investments | |
Unfunded Financial Commitments [Line Items] | |
Performance-Based Commitments | 620,370 |
Strategic Investments | 0 |
Discretionary Fundings | 5,000 |
Total | 625,370 |
Real Estate | |
Unfunded Financial Commitments [Line Items] | |
Performance-Based Commitments | 18,586 |
Strategic Investments | 0 |
Discretionary Fundings | 0 |
Total | 18,586 |
Other Investments | |
Unfunded Financial Commitments [Line Items] | |
Performance-Based Commitments | 60,816 |
Strategic Investments | 45,890 |
Discretionary Fundings | 0 |
Total | $ 106,706 |
Commitments and Contingencies75
Commitments and Contingencies (Narrative) (Details) - Land & Development - Real Estate Sales $ in Millions | Jan. 22, 2015USD ($)a |
Other Commitments [Line Items] | |
Area of real estate property | a | 1,250 |
Unpaid purchase price | $ 114 |
Unpaid purchase price, interest rate | 12.00% |
Court Settlement Payment Period | 30 days |
Noncontrolling Interest, ownership percentage by noncontrolling owners | 15.00% |
Derivatives (Derivatives) (Deta
Derivatives (Derivatives) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Designated as hedge | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | $ 98 | $ 52 |
Derivative Liabilities, Fair Value | 426 | 478 |
Designated as hedge | Foreign exchange contracts | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 0 | |
Derivative Liabilities, Fair Value | 0 | |
Designated as hedge | Foreign exchange contracts | Other Assets | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 98 | |
Designated as hedge | Foreign exchange contracts | Other Liabilities | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Liabilities, Fair Value | 478 | |
Designated as hedge | Interest rate swaps | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 0 | |
Derivative Liabilities, Fair Value | 0 | |
Designated as hedge | Interest rate swaps | Other Assets | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 52 | |
Designated as hedge | Interest rate swaps | Other Liabilities | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Liabilities, Fair Value | 426 | |
Not designated as hedge | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 1,657 | 6,309 |
Derivative Liabilities, Fair Value | 36 | 0 |
Not designated as hedge | Foreign exchange contracts | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Liabilities, Fair Value | 0 | |
Not designated as hedge | Foreign exchange contracts | Other Assets | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | 633 | 1,534 |
Not designated as hedge | Foreign exchange contracts | Other Liabilities | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Liabilities, Fair Value | 36 | |
Not designated as hedge | Interest rate cap | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Liabilities, Fair Value | 0 | 0 |
Not designated as hedge | Interest rate cap | Other Assets | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative Assets, Fair Value | $ 1,024 | $ 4,775 |
Derivatives (Classification on
Derivatives (Classification on the Consolidated Statements of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Interest Expense | Interest rate cap | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | $ 0 | $ 0 | $ 0 | $ 0 |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (176) | 15 | (378) | 15 |
Interest Expense | Interest rate swaps | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | (461) | 322 | (745) | (719) |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 43 | (47) | 127 | 49 |
Earnings from equity method investments | Interest rate cap | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | (2) | (12) | ||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 0 | 0 | ||
Earnings from equity method investments | Interest rate swaps | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | (421) | (744) | ||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (117) | (349) | ||
Earnings from equity method investments | Foreign exchange contracts | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | 119 | (65) | ||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 0 | 0 | ||
Other Expense | Interest rate cap | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | (2,984) | |||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 0 | |||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Ineffective Portion) | (3,634) | |||
Other Expense | Interest rate cap | Not designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain or (Loss) Recognized in Income | (1,180) | 728 | (3,751) | 224 |
Other Expense | Foreign exchange contracts | Designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Effective Portion) | 89 | (490) | ||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 0 | 0 | ||
Other Expense | Foreign exchange contracts | Not designated as hedge | ||||
Derivative financial instruments on consolidated statements of operations | ||||
Amount of Gain or (Loss) Recognized in Income | $ 691 | $ 5,141 | $ 2,278 | $ 5,888 |
Derivatives (Foreign Exchange C
Derivatives (Foreign Exchange Contracts) (Details) € in Thousands, ₨ in Thousands, £ in Thousands, CAD in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015EUR (€) | Sep. 30, 2015GBP (£) | Sep. 30, 2015CAD | Sep. 30, 2015INR (₨) | |
Derivative [Line Items] | ||||||||
Foreign currency transaction gain (loss) | $ (100) | $ 100 | $ (100) | $ 400 | ||||
Sells Indian rupee (INR)/Buys USD Forward | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | 6,553 | $ 6,553 | ₨ 456,000 | |||||
Maturity of Foreign Currency Derivatives | Dec. 30, 2016 | |||||||
Sells euro (EUR)/Buys USD Forward | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | 6,333 | $ 6,333 | € 5,700 | |||||
Maturity of Foreign Currency Derivatives | Oct. 5, 2015 | |||||||
Sells pound sterling (GBP)/Buys USD Forward | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | 4,685 | $ 4,685 | £ 3,000 | |||||
Maturity of Foreign Currency Derivatives | Oct. 5, 2015 | |||||||
Sells Canadian dollar (CAD)/Buys USD Forward | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | $ 8,353 | $ 8,353 | CAD 10,500 | |||||
Maturity of Foreign Currency Derivatives | Oct. 5, 2015 |
Derivatives (Interest Rate Hedg
Derivatives (Interest Rate Hedges) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Interest rate swap | |
Derivative [Line Items] | |
Derivative, Variable Interest Rate | 2.00% |
Derivative, Notional Amount | $ 27,068 |
Derivative, Fixed Interest Rate | 3.47% |
Interest rate cap | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 500,000 |
Derivative, Cap Interest Rate | 1.00% |
Terminated Interest Rate Swap | |
Derivative [Line Items] | |
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 100 |
Interest rate swaps | |
Derivative [Line Items] | |
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 700 |
Derivatives (Credit Risk-Relate
Derivatives (Credit Risk-Related Contingent Features) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Forward Contracts | ||
Derivative [Line Items] | ||
Collateral Posted For Hedges | $ 1.4 | $ 3 |
Equity (Preferred Stock) (Detai
Equity (Preferred Stock) (Details) - USD ($) $ / shares in Units, shares in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | ||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 25,800 | 25,800 | ||
Number of days in year used in the computation of preferred stock dividends for any partial dividend period | 360 days | 360 days | ||
Number of months used in the computation of preferred stock dividends for any partial dividend period | 12 months | 12 months | ||
Number of days in month, dividends computation of dividends payable for any partial dividend period | 30 days | 30 days | ||
Amount of preferred dividends in arrears | $ 0 | |||
Maximum | ||||
Class of Stock [Line Items] | ||||
Number of days prior to dividend payment date that Board of Directors may elect to designate as the payment date | 30 days | 30 days | ||
Minimum | ||||
Class of Stock [Line Items] | ||||
Number of days prior to dividend payment date that Board of Directors may elect to designate as the payment date | 10 days | 10 days | ||
Series D | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 4,000 | 4,000 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 | |
Rate per Annum (as a percent) | [1],[2] | 8.00% | 8.00% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 2 | $ 2 | |
Dividends declared and paid | $ 6,000,000 | $ 6,000,000 | ||
Series E | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 5,600 | 5,600 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 | |
Rate per Annum (as a percent) | [1],[2] | 7.875% | 7.875% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 1.97 | $ 1.97 | |
Dividends declared and paid | $ 8,300,000 | $ 8,300,000 | ||
Series F | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 4,000 | 4,000 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 | |
Rate per Annum (as a percent) | [1],[2] | 7.80% | 7.80% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 1.95 | $ 1.95 | |
Dividends declared and paid | $ 5,900,000 | $ 5,900,000 | ||
Series G | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 3,200 | 3,200 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 | |
Rate per Annum (as a percent) | [1],[2] | 7.65% | 7.65% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 1.91 | $ 1.91 | |
Dividends declared and paid | $ 4,600,000 | $ 4,700,000 | ||
Series I | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 5,000 | 5,000 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 25 | $ 25 | |
Rate per Annum (as a percent) | [1],[2] | 7.50% | 7.50% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 1.88 | $ 1.88 | |
Dividends declared and paid | $ 7,000,000 | $ 7,100,000 | ||
Series J | ||||
Class of Stock [Line Items] | ||||
Shares Issued and Outstanding | 4,000 | 4,000 | ||
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Liquidation Preference (in dollars per share) | [1],[2] | $ 50 | $ 50 | |
Rate per Annum (as a percent) | [1],[2] | 4.50% | 4.50% | |
Equivalent to Fixed Annual Rate (in dollars per share) | [1],[2] | $ 2.25 | $ 2.25 | |
Dividends declared and paid | $ 6,800,000 | $ 6,800,000 | ||
[1] | Holders of shares of the Series D, E, F, G, I and J preferred stock are entitled to receive dividends, when and as declared by the Company's Board of Directors, out of funds legally available for the payment of dividends. Dividends are cumulative from the date of original issue and are payable quarterly in arrears on or before the 15th day of each March, June, September and December or, if not a business day, the next succeeding business day. Any dividend payable on the preferred stock for any partial dividend period will be computed on the basis of a 360-day year consisting of twelve 30-day months. Dividends will be payable to holders of record as of the close of business on the first day of the calendar month in which the applicable dividend payment date falls or on another date designated by the Company's Board of Directors for the payment of dividends that is not more than 30 nor less than 10 days prior to the dividend payment date. | |||
[2] | The Company declared and paid dividends of $6.0 million, $8.3 million, $5.9 million, $4.6 million and $7.0 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the nine months ended September 30, 2015 and 2014. The Company declared and paid dividends of $6.8 million on its Series J Convertible Perpetual Preferred Stock during the nine months ended September 30, 2015 and 2014. All of the dividends qualified as return of capital for tax reporting purposes. There are no dividend arrearages on any of the preferred shares currently outstanding. |
Equity (Dividends) (Details)
Equity (Dividends) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Dividends [Abstract] | ||
Minimum percentage of taxable income (excluding net capital gains) to be distributed in order to qualify as REIT | 90.00% | |
Percentage of taxable income (including net capital gains) to be distributed in order to qualify as REIT | 100.00% | |
Operating loss carryforwards | $ 856.4 |
Equity (Stock Repurchase Progra
Equity (Stock Repurchase Program) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 21, 2015 | |
Stock Repurchase Program | ||
Treasury stock, shares, acquired | 1,667,209 | |
Treasury stock value acquired including acquisition costs | $ 20,300,000 | |
Treasury stock acquired, average cost per share (usd per share) | $ 12.16 | |
Repurchase of common stock, authorized amount | $ 50,000,000 | |
Available repurchase of common stock, authorized amount | $ 48,700,000 |
Equity (HPU Repurchase) (Detail
Equity (HPU Repurchase) (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 13, 2015 | Sep. 30, 2015 | Dec. 31, 2014 |
HPUs outstanding | 14,888 | ||
Common stock equivalent underlying HPUs | 2,800,000 | ||
Cash exchange rate for CSE underlying HPU | $ 9.30 | ||
Common stock exchange rate for CSE underlying HPU | $ 0.7 | ||
HPU Cash Value Acquired | $ 9,800 | ||
HPU Stock Value Acquired | 1,200,000 | ||
Stock Issued | $ 15,200 | ||
High Performance Units, value | $ 9,800 | $ 0 | $ 9,800 |
HPU | |||
Stock Performance Award Percentage of Holders with Binding Commitments To Tender, Cash Redemption | 37.00% | ||
Stock Performance Award Percentage of Holders with Binding Commitments To Tender | 63.00% |
Equity (Accumulated Other Compr
Equity (Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Accumulated other comprehensive income (loss) reflected in the Company's shareholders' equity | ||
Unrealized gains (losses) on available-for-sale securities | $ (155) | $ 2,983 |
Unrealized gains (losses) on cash flow hedges | (1,375) | (409) |
Unrealized losses on cumulative translation adjustment | (3,783) | (3,545) |
Accumulated other comprehensive income (loss) | $ (5,313) | $ (971) |
Stock-Based Compensation Plan86
Stock-Based Compensation Plans and Employee Benefits (Stock-based Compensation) (Details) $ in Thousands | Jan. 30, 2015shares | Feb. 28, 2015shares | Jan. 31, 2015 | May. 31, 2014shares | Jan. 31, 2014 | Sep. 30, 2015USD ($)shares | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)Installmentshares | Sep. 30, 2014USD ($) | Feb. 01, 2013shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Stock-based compensation expense | $ | $ 2,881 | $ 3,273 | $ 10,066 | $ 8,544 | ||||||
Unrecognized compensation cost | $ | 2,400 | $ 2,400 | ||||||||
Weighted-average period to recognize the unrecognized compensation cost | 1 year 1 month 2 days | |||||||||
Deferred compensation share-based arrangements, liability, current and noncurrent | $ | $ 16,100 | $ 16,100 | ||||||||
2013 Performance Incentive Plan | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of Points Issued | 10 | 73 | ||||||||
2014 Performance Incentive Plan | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of Points Issued | 34 | |||||||||
Long-term Incentive Plan 2006 and 2009 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares available for issuance | 3,700,000 | 3,700,000 | ||||||||
Employees | Common Stock Subject to Sales Restriction | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Vested, Number of Shares | 318,482 | |||||||||
Restricted shares awarded | 189,241 | |||||||||
Sale restriction period | 2 years | |||||||||
Employees | Service Based Restricted Stock Units Vesting on December 31, 2017 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Granted units | 64,196 | |||||||||
Non-vested, outstanding (in shares) | 61,557 | 61,557 | ||||||||
Number of vesting installments | Installment | 1 | |||||||||
Employees | Performance Based Restricted Stock Units Vesting on December 31, 2017 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Granted units | 49,650 | |||||||||
Non-vested, outstanding (in shares) | 48,519 | 48,519 | ||||||||
Risk-free interest rate | 0.75% | |||||||||
Expected stock price volatility | 28.14% | |||||||||
Employees | Service Based Restricted Stock Units Vesting on December 31, 2016 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Non-vested, outstanding (in shares) | 62,662 | 62,662 | ||||||||
Number of vesting installments | Installment | 1 | |||||||||
Employees | Performance-based restricted stock units vesting on December 31, 2016 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Non-vested, outstanding (in shares) | 49,434 | 49,434 | ||||||||
Risk-free interest rate | 0.76% | |||||||||
Expected stock price volatility | 44.84% | |||||||||
Employees | Performance-based restricted stock units vesting on December 31, 2016 | Minimum | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Vesting percentage | 0.00% | |||||||||
Employees | Performance-based restricted stock units vesting on December 31, 2016 | Maximum | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Vesting percentage | 200.00% | |||||||||
Employees | Service-based restricted stock units vesting on February 1, 2016 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Non-vested, outstanding (in shares) | 194,526 | |||||||||
Employees | Service based restricted stock units with specified vesting dates | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Non-vested, outstanding (in shares) | 10,666 | 10,666 | ||||||||
Number of vesting installments | Installment | 1 | |||||||||
Employees 2 [Member] [Member] | Service based restricted stock units with specified vesting dates | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Granted units | 4,751 | |||||||||
Non-vested, outstanding (in shares) | 4,751 | 4,751 | ||||||||
Number of vesting installments | Installment | 1 |
Stock-Based Compensation Plan87
Stock-Based Compensation Plans and Employee Benefits (Directors' Awards) (Details) - Directors - CSE and restricted stock units $ / shares in Units, $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares granted | 50,360 |
Weighted average grant date fair value | $ / shares | $ 14.40 |
Vesting term | 1 year |
Non-vested, outstanding (in shares) | 289,261 |
Aggregate intrinsic value for directors | $ | $ 3.6 |
Stock-Based Compensation Plan88
Stock-Based Compensation Plans and Employee Benefits (401(k) Plan) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Gross contributions made by the Company | $ 0.1 | $ 0.1 | $ 1 | $ 0.8 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Earnings Per Share) (Details 1) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Class of Stock [Line Items] | |||||
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | $ 2,000 | ||||
Income (loss) from continuing operations | [1] | $ (20,553,000) | 7,700,000 | $ (92,152,000) | $ (43,745,000) |
Income from sales of real estate | 26,511,000 | 27,791,000 | 66,021,000 | 61,465,000 | |
Net (income) loss attributable to noncontrolling interests | 706,000 | 412,000 | 3,176,000 | (367,000) | |
Preferred dividends | (12,830,000) | (12,830,000) | (38,490,000) | (38,490,000) | |
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for basic earnings per common share(1) | (6,166,000) | 23,073,000 | (61,445,000) | (21,137,000) | |
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders, HPU holders and Participating Security Holders for diluted earnings per common share | [2] | (6,166,000) | 28,212,000 | (61,445,000) | (21,137,000) |
1.50% convertible senior unsecured notes | |||||
Class of Stock [Line Items] | |||||
Add: Effect of 1.5% and 3.00% senior convertible unsecured notes, and Series J convertible perpetual preferred stock | [3] | 0 | 1,124,000 | 0 | 0 |
3.00% convertible senior unsecured notes | |||||
Class of Stock [Line Items] | |||||
Add: Effect of 1.5% and 3.00% senior convertible unsecured notes, and Series J convertible perpetual preferred stock | [3] | 0 | 1,765,000 | 0 | 0 |
Series J convertible perpetual preferred stock | |||||
Class of Stock [Line Items] | |||||
Add: Effect of 1.5% and 3.00% senior convertible unsecured notes, and Series J convertible perpetual preferred stock | $ 0 | $ 2,250,000 | $ 0 | $ 0 | |
[1] | Income (loss) from continuing operations attributable to iStar Inc. was $(19.8) million and $(89.0) million for the three and nine months ended September 30, 2015, respectively, and $8.1 million and $(44.1) million for the three and nine months ended September 30, 2014, respectively. Refer to Note 14 for details on the calculation of earnings per share. | ||||
[2] | For the three months ended September 30, 2014, includes income from continuing operations allocable to Participating Security Holders of $2 on a basic and dilutive basis. | ||||
[3] | For the three months ended September 30, 2014, includes interest expense, amortization of fees, and other changes in income or loss that would result from the assumed conversion. |
Earnings Per Share (Schedule 90
Earnings Per Share (Schedule of Earnings Per Share) (Details 2) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Denominator for basic and diluted earnings per share: | |||||
Weighted average common shares outstanding for basic earnings per common share | [1] | 85,766 | 85,163 | 85,602 | 84,967 |
Weighted average common shares outstanding for diluted earnings per common share | [1] | 85,766 | 130,160 | 85,602 | 84,967 |
Basic earnings per common share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | [1] | $ (0.07) | $ 0.26 | $ (0.70) | $ (0.24) |
Diluted earnings per common share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | [1] | (0.07) | 0.21 | (0.70) | (0.24) |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | [1] | (0.07) | 0.21 | (0.70) | (0.24) |
Basic earnings per HPU share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | [1],[2] | (13.41) | 49.60 | (132.19) | (45.53) |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | [1] | (0.07) | 0.26 | (0.70) | (0.24) |
Diluted earnings per HPU share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | [1],[2] | (13.41) | 40.13 | (132.19) | (45.53) |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | [1],[2] | $ (13.41) | $ 40.13 | $ (132.19) | $ (45.53) |
Common Stock | |||||
Denominator for basic and diluted earnings per share: | |||||
Weighted average common shares outstanding for basic earnings per common share | 85,766 | 85,163 | 85,602 | 84,967 | |
Add: Effect of assumed shares issued under treasury stock method for restricted shares | 0 | 505 | 0 | 0 | |
Weighted average common shares outstanding for diluted earnings per common share | 85,766 | 130,160 | 85,602 | 84,967 | |
Basic earnings per common share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | $ (0.07) | $ 0.26 | $ (0.70) | $ (0.24) | |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | (0.07) | 0.26 | (0.70) | (0.24) | |
Diluted earnings per common share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | (0.07) | 0.21 | (0.70) | (0.24) | |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | $ (0.07) | $ 0.21 | $ (0.70) | $ (0.24) | |
HPU's | |||||
Denominator for basic and diluted earnings per HPU share: | |||||
Weighted average High Performance Units outstanding for basic and diluted earnings per share | [3] | 7 | 15 | 12 | 15 |
Basic earnings per HPU share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | $ (13.41) | $ 49.60 | $ (132.19) | $ (45.53) | |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | (13.41) | 49.60 | (132.19) | (45.53) | |
Diluted earnings per HPU share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | (13.41) | 40.13 | (132.19) | (45.53) | |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | $ (13.41) | $ 40.13 | $ (132.19) | $ (45.53) | |
Basic | Common Stock | |||||
Numerator for basic and diluted earnings per share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | $ (6,072) | $ 22,327 | $ (59,818) | $ (20,454) | |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | (6,072) | 22,327 | (59,818) | (20,454) | |
Basic | HPU's | |||||
Numerator for basic and diluted earnings per HPU share | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | [3] | (94) | 744 | (1,627) | (683) |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | [3] | (94) | 744 | (1,627) | (683) |
Diluted | Common Stock | |||||
Numerator for basic and diluted earnings per share: | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | (6,072) | 27,608 | (59,818) | (20,454) | |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | (6,072) | 27,608 | (59,818) | (20,454) | |
Diluted | HPU's | |||||
Numerator for basic and diluted earnings per HPU share | |||||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to HPU holders | [3] | (94) | 602 | (1,627) | (683) |
Net income (loss) attributable to iStar Inc. and allocable to HPU holders | [3] | $ (94) | $ 602 | $ (1,627) | $ (683) |
Joint venture shares | Common Stock | |||||
Denominator for basic and diluted earnings per share: | |||||
Add: Effect of joint venture shares | 0 | 298 | 0 | 0 | |
1.50% convertible senior unsecured notes | Common Stock | |||||
Denominator for basic and diluted earnings per share: | |||||
Add Effect of 1.50% and 3.00% senior convertible unsecured notes | 0 | 11,567 | 0 | 0 | |
3.00% convertible senior unsecured notes | Common Stock | |||||
Denominator for basic and diluted earnings per share: | |||||
Add Effect of 1.50% and 3.00% senior convertible unsecured notes | 0 | 16,992 | 0 | 0 | |
Series J convertible perpetual preferred stock | Common Stock | |||||
Denominator for basic and diluted earnings per share: | |||||
Add: Effect of series J convertible perpetual preferred stock | 0 | 15,635 | 0 | 0 | |
[1] | Income (loss) from continuing operations attributable to iStar Inc. was $(19.8) million and $(89.0) million for the three and nine months ended September 30, 2015, respectively, and $8.1 million and $(44.1) million for the three and nine months ended September 30, 2014, respectively. Refer to Note 14 for details on the calculation of earnings per share. | ||||
[2] | All of the Company's outstanding High Performance Units ("HPUs") were repurchased and retired on August 13, 2015 (refer to Note 12) | ||||
[3] | All of the Company's outstanding HPUs were repurchased and retired on August 13, 2015 (refer to Note 12). |
Earnings Per Share (Anti-diluti
Earnings Per Share (Anti-dilutive Shares) (Details) - shares | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Anti-dilutive shares | |||||
Anti-dilutive shares | 21 | ||||
Joint venture shares | |||||
Anti-dilutive shares | |||||
Anti-dilutive shares | [1],[2] | 298,000 | 0 | 298,000 | 298,000 |
3.00% convertible senior unsecured notes | |||||
Anti-dilutive shares | |||||
Anti-dilutive shares | [1],[2] | 16,992,000 | 0 | 16,992,000 | 16,992,000 |
Series J convertible perpetual preferred stock | |||||
Anti-dilutive shares | |||||
Anti-dilutive shares | [1],[2] | 15,635,000 | 0 | 15,635,000 | 15,635,000 |
1.50% convertible senior unsecured notes | |||||
Anti-dilutive shares | |||||
Anti-dilutive shares | [1],[2] | 11,567,000 | 0 | 11,567,000 | 11,567,000 |
[1] | For the three and nine months ended September 30, 2015 and for the nine months ended September 30, 2014, the effect of the Company's unvested Units, performance-based Units, CSEs and restricted stock awards were anti-dilutive. | ||||
[2] | For the three months ended September 30, 2014, the effect of 21 unvested performance-based Units were anti-dilutive. |
Fair Values (Schedule of Fair V
Fair Values (Schedule of Fair Value Measurement) (Details) $ in Thousands | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2015USD ($)Loanreal_estate_asset | Sep. 30, 2014 | Dec. 31, 2014USD ($)Loanreal_estate_asset | ||||
Assets and liabilities recorded at fair value | ||||||
Expected term | 1 year 9 months | |||||
Recurring basis | Quoted market prices in active markets (Level 1) | ||||||
Assets and liabilities recorded at fair value | ||||||
Available-for-sale securities | [1] | $ 7,906 | ||||
Recurring basis | Significant other observable inputs (Level 2) | ||||||
Assets and liabilities recorded at fair value | ||||||
Derivative assets | [1] | $ 1,755 | 6,361 | |||
Derivative liabilities | [1] | 426 | 478 | |||
Recurring basis | Significant unobservable inputs (Level 3) | ||||||
Assets and liabilities recorded at fair value | ||||||
Available-for-sale securities | [1] | 1,131 | ||||
Non-recurring basis | Significant unobservable inputs (Level 3) | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | 29,200 | [2] | 37,169 | [3] | ||
Impaired real estate | 7,941 | [4] | 7,102 | [5] | ||
Total | Recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Derivative assets | [1] | 1,755 | 6,361 | |||
Derivative liabilities | [1] | 426 | 478 | |||
Available-for-sale securities | [1] | 1,131 | 7,906 | |||
Total | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | 29,200 | [2] | 37,169 | [3] | ||
Impaired real estate | 7,941 | [4] | 7,102 | [5] | ||
Loans Receivable One | Non-recurring basis | Significant unobservable inputs (Level 3) | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | [2] | 24,000 | ||||
Loans Receivable Two | Non-recurring basis | Significant unobservable inputs (Level 3) | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | [2] | $ 5,200 | ||||
Discounted Cash Flow Valuation Technique | Loans Receivable One | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Number of Impaired Loans | Loan | 1 | |||||
Discounted Cash Flow Valuation Technique | Loans Receivable Two | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | [2] | $ 8,500 | ||||
Number of Impaired Loans | Loan | 1 | 1 | ||||
Weighted average expected term | 1 year 6 months | |||||
Discount rate (as a percent) | 4.70% | |||||
Discounted Cash Flow Valuation Technique | Loans Receivable Three | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Number of Impaired Real Estate Assets | real_estate_asset | 1 | |||||
Number of Impaired Loans | Loan | 1 | |||||
Discounted Cash Flow Valuation Technique | Commercial Operating Properties | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired real estate | $ 6,500 | |||||
Discount rate (as a percent) | 11.00% | |||||
Discounted Cash Flow Valuation Technique | Land & Development | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired real estate | $ 7,100 | |||||
Number of Impaired Real Estate Assets | real_estate_asset | 1 | |||||
Discount rate (as a percent) | 15.00% | |||||
Expected term | 10 years | |||||
Purchase Option Valuation Technique | Commercial Operating Properties | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired real estate | $ 1,400 | |||||
Market Approach Valuation Technique | Loans Receivable Three | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | [2] | $ 5,200 | ||||
Executed Foreclosure Sale Agreement | Loans Receivable Three | Non-recurring basis | ||||||
Assets and liabilities recorded at fair value | ||||||
Impaired loans | $ 23,500 | |||||
Number of Impaired Loans | Loan | 1 | |||||
[1] | The fair value of the Company's derivatives and available-for-sale securities are based upon third-party broker quotes. | |||||
[2] | The Company recorded a provision for loan losses on one loan with a fair value of $24.0 million based on the expected proceeds to be received from the borrower. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. | |||||
[3] | The Company recorded a recovery of loan losses on one loan with a fair value of $8.5 million based on the loan's remaining term of 1.5 years and interest rate of 4.7% using discounted cash flow analysis. The Company also recorded a provision for loan losses on one loan with a fair value of $5.2 million based on an appraisal. In addition, the Company recorded a provision for loan losses on one loan, collateralized by a land asset, with a fair value of $23.5 million based upon a foreclosure sale agreement. The land asset was acquired by an unconsolidated entity in which the Company is a partner. | |||||
[4] | The Company recorded an impairment on one real estate asset with a fair value of $6.5 million based on a discount rate of 11% using discounted cash flows over a 1.75 year hold period. The Company recorded an impairment on one real estate asset with a fair value of $1.4 million based on a purchase option granted. | |||||
[5] | The Company recorded impairment on one real estate asset with a fair value of $7.1 million based on a discount rate of 15.0% using discounted cash flows over a 10 year lease term. |
Fair Values (Narrative) (Detail
Fair Values (Narrative) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Book and estimated fair values of financial instruments | |||
Loans receivable and other lending investments, net | [1] | $ 1,585,399 | $ 1,377,843 |
Debt obligations, net | [2] | 4,144,817 | 4,022,684 |
Fair Value | |||
Book and estimated fair values of financial instruments | |||
Loans receivable and other lending investments, net | 1,600,000 | 1,400,000 | |
Debt obligations, net | $ 4,300,000 | $ 4,100,000 | |
[1] | The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million, respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. | ||
[2] | The Company capitalized interest relating to development activities of $1.3 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.4 million and $3.3 million for the three and nine months ended September 30, 2014. |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Segments) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)segments | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |||||
Segment Reporting | |||||||||
Number of reportable segments | segments | 4 | ||||||||
Operating lease income | $ 55,699 | $ 60,691 | $ 170,990 | $ 183,766 | |||||
Interest income | 33,599 | 31,098 | 102,224 | 94,139 | |||||
Other income | 16,888 | 18,407 | 40,214 | 62,253 | |||||
Land development revenue | 14,301 | 3,290 | 29,101 | 11,920 | |||||
Earnings (loss) from equity method investments | 10,572 | 49,578 | 25,904 | 76,848 | |||||
Income from sales of real estate | 26,511 | 27,791 | 66,021 | 61,465 | |||||
Total revenue and other earnings | 157,570 | 190,855 | 434,454 | 490,391 | |||||
Real estate expense | (35,154) | (41,285) | (111,143) | (124,452) | |||||
Land development cost of sales | (10,686) | (2,763) | (22,828) | (10,028) | |||||
Other expense | (3,334) | 285 | (6,345) | (4,626) | |||||
Allocated interest expense | (56,880) | (55,424) | (167,336) | (169,410) | |||||
Allocated general and administrative | [1] | (18,300) | (20,104) | (52,454) | (61,244) | ||||
Segment profit (loss) | 33,216 | 71,564 | [2] | 74,348 | [2] | 120,631 | [2] | ||
Provision for (recovery of) loan losses | [3] | 7,500 | (673) | 30,944 | (6,865) | ||||
Impairment of assets | 3,916 | 15,462 | 5,590 | 21,741 | |||||
Depreciation and amortization | 15,787 | 17,722 | 49,804 | 55,157 | |||||
Capitalized expenditures | 45,840 | 46,805 | 129,642 | 105,853 | |||||
Real estate, net | 2,490,538 | 2,490,538 | $ 2,676,714 | ||||||
Real estate available and held for sale | [4] | 296,591 | 296,591 | 285,982 | |||||
Total real estate | 2,787,129 | 2,787,129 | 2,962,696 | ||||||
Loans receivable and other lending investments, net | [5] | 1,585,399 | 1,585,399 | 1,377,843 | |||||
Other investments | 290,519 | 290,519 | 354,119 | ||||||
Total portfolio assets | 4,663,047 | 4,663,047 | 4,694,658 | ||||||
Cash and other assets | 979,748 | 979,748 | 768,475 | ||||||
Total assets | 5,642,795 | 5,642,795 | 5,463,133 | ||||||
Operating Segments | Real Estate Finance | |||||||||
Segment Reporting | |||||||||
Operating lease income | 0 | 0 | 0 | 0 | |||||
Interest income | 33,599 | 31,098 | 102,224 | 94,139 | |||||
Other income | 7,988 | 885 | 8,834 | 20,327 | |||||
Land development revenue | 0 | 0 | 0 | 0 | |||||
Earnings (loss) from equity method investments | 0 | 0 | 0 | 0 | |||||
Income from sales of real estate | 0 | 0 | 0 | 0 | |||||
Total revenue and other earnings | 41,587 | 31,983 | 111,058 | 114,466 | |||||
Real estate expense | 0 | 0 | 0 | 0 | |||||
Land development cost of sales | 0 | 0 | 0 | 0 | |||||
Other expense | (2,039) | (283) | (2,259) | (1,016) | |||||
Allocated interest expense | (14,030) | (14,187) | (42,828) | (45,497) | |||||
Allocated general and administrative | [1] | (3,527) | (3,492) | (9,750) | (11,026) | ||||
Segment profit (loss) | [2] | 21,991 | 14,021 | 56,221 | 56,927 | ||||
Provision for (recovery of) loan losses | 7,500 | (673) | 30,944 | (6,865) | |||||
Impairment of assets | 0 | 0 | 0 | 0 | |||||
Depreciation and amortization | 0 | 0 | 0 | 0 | |||||
Capitalized expenditures | 0 | 0 | 0 | 0 | |||||
Real estate, net | 0 | 0 | 0 | ||||||
Real estate available and held for sale | 0 | 0 | 0 | ||||||
Total real estate | 0 | 0 | 0 | ||||||
Loans receivable and other lending investments, net | 1,585,399 | 1,585,399 | 1,377,843 | ||||||
Other investments | 0 | 0 | 0 | ||||||
Total portfolio assets | 1,585,399 | 1,585,399 | 1,377,843 | ||||||
Operating Segments | Net Lease | |||||||||
Segment Reporting | |||||||||
Operating lease income | 37,379 | 36,947 | 111,500 | 113,502 | |||||
Interest income | 0 | 0 | 0 | 0 | |||||
Other income | 8 | 3,573 | 133 | 4,306 | |||||
Land development revenue | 0 | 0 | 0 | 0 | |||||
Earnings (loss) from equity method investments | 971 | 349 | 4,270 | 1,497 | |||||
Income from sales of real estate | 6,931 | 0 | 15,584 | 0 | |||||
Total revenue and other earnings | 45,289 | 40,869 | 131,487 | 119,305 | |||||
Real estate expense | (5,473) | (6,059) | (16,266) | (17,253) | |||||
Land development cost of sales | 0 | 0 | 0 | 0 | |||||
Other expense | 0 | 0 | 0 | 0 | |||||
Allocated interest expense | (16,358) | (18,156) | (50,126) | (54,775) | |||||
Allocated general and administrative | [1] | (4,209) | (4,610) | (11,646) | (13,592) | ||||
Segment profit (loss) | [2] | 19,249 | 12,044 | 53,449 | 33,685 | ||||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||||
Impairment of assets | 0 | 231 | 0 | 3,210 | |||||
Depreciation and amortization | 9,522 | 9,522 | 28,380 | 29,332 | |||||
Capitalized expenditures | 1,439 | 595 | 3,553 | 169 | |||||
Real estate, net | 1,150,797 | 1,150,797 | 1,188,160 | ||||||
Real estate available and held for sale | 1,953 | 1,953 | 4,521 | ||||||
Total real estate | 1,152,750 | 1,152,750 | 1,192,681 | ||||||
Loans receivable and other lending investments, net | 0 | 0 | 0 | ||||||
Other investments | 68,719 | 68,719 | 125,360 | ||||||
Total portfolio assets | 1,221,469 | 1,221,469 | 1,318,041 | ||||||
Operating Segments | Operating Properties | |||||||||
Segment Reporting | |||||||||
Operating lease income | 18,125 | 23,513 | 58,855 | 69,631 | |||||
Interest income | 0 | 0 | 0 | 0 | |||||
Other income | 7,602 | 11,795 | 27,069 | 32,335 | |||||
Land development revenue | 0 | 0 | 0 | 0 | |||||
Earnings (loss) from equity method investments | 469 | 177 | 1,302 | 1,125 | |||||
Income from sales of real estate | 19,580 | 27,791 | 50,437 | 61,465 | |||||
Total revenue and other earnings | 45,776 | 63,276 | 137,663 | 164,556 | |||||
Real estate expense | (22,448) | (28,795) | (73,812) | (86,338) | |||||
Land development cost of sales | 0 | 0 | 0 | 0 | |||||
Other expense | 0 | 0 | 0 | 0 | |||||
Allocated interest expense | (6,724) | (10,169) | (21,449) | (30,657) | |||||
Allocated general and administrative | [1] | (1,841) | (2,699) | (5,298) | (7,966) | ||||
Segment profit (loss) | [2] | 14,763 | 21,613 | 37,104 | 39,595 | ||||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||||
Impairment of assets | 3,916 | 4,231 | 5,590 | 8,131 | |||||
Depreciation and amortization | 5,610 | 7,606 | 19,400 | 23,838 | |||||
Capitalized expenditures | 26,358 | 20,555 | 58,201 | 46,973 | |||||
Real estate, net | 474,727 | 474,727 | 628,271 | ||||||
Real estate available and held for sale | 136,945 | 136,945 | 162,782 | ||||||
Total real estate | 611,672 | 611,672 | 791,053 | ||||||
Loans receivable and other lending investments, net | 0 | 0 | 0 | ||||||
Other investments | 11,472 | 11,472 | 13,220 | ||||||
Total portfolio assets | 623,144 | 623,144 | 804,273 | ||||||
Operating Segments | Land | |||||||||
Segment Reporting | |||||||||
Operating lease income | 195 | 231 | 635 | 633 | |||||
Interest income | 0 | 0 | 0 | 0 | |||||
Other income | 376 | 496 | 1,163 | 865 | |||||
Land development revenue | 14,301 | 3,290 | 29,101 | 11,920 | |||||
Earnings (loss) from equity method investments | 6,647 | 123 | 13,719 | (286) | |||||
Income from sales of real estate | 0 | 0 | 0 | 0 | |||||
Total revenue and other earnings | 21,519 | 4,140 | 44,618 | 13,132 | |||||
Real estate expense | (7,233) | (6,431) | (21,065) | (20,861) | |||||
Land development cost of sales | (10,686) | (2,763) | (22,828) | (10,028) | |||||
Other expense | 0 | 0 | 0 | 0 | |||||
Allocated interest expense | (8,265) | (7,490) | (23,685) | (21,943) | |||||
Allocated general and administrative | [1] | (3,233) | (3,566) | (8,759) | (10,839) | ||||
Segment profit (loss) | [2] | (7,898) | (16,110) | (31,719) | (50,539) | ||||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||||
Impairment of assets | 0 | 11,000 | 0 | 10,400 | |||||
Depreciation and amortization | 380 | 320 | 1,160 | 1,114 | |||||
Capitalized expenditures | 18,043 | 25,655 | 67,888 | 58,711 | |||||
Real estate, net | 865,014 | 865,014 | 860,283 | ||||||
Real estate available and held for sale | 157,693 | 157,693 | 118,679 | ||||||
Total real estate | 1,022,707 | 1,022,707 | 978,962 | ||||||
Loans receivable and other lending investments, net | 0 | 0 | 0 | ||||||
Other investments | 120,269 | 120,269 | 106,155 | ||||||
Total portfolio assets | 1,142,976 | 1,142,976 | 1,085,117 | ||||||
Corporate, Non-Segment | Corporate/Other | |||||||||
Segment Reporting | |||||||||
Operating lease income | [6] | 0 | 0 | 0 | 0 | ||||
Interest income | [6] | 0 | 0 | 0 | 0 | ||||
Other income | [6] | 914 | 1,658 | 3,015 | 4,420 | ||||
Land development revenue | [6] | 0 | 0 | 0 | 0 | ||||
Earnings (loss) from equity method investments | [6] | 2,485 | 48,929 | 6,613 | 74,512 | ||||
Income from sales of real estate | [6] | 0 | 0 | 0 | 0 | ||||
Total revenue and other earnings | [6] | 3,399 | 50,587 | 9,628 | 78,932 | ||||
Real estate expense | [6] | 0 | 0 | 0 | 0 | ||||
Land development cost of sales | [6] | 0 | 0 | 0 | 0 | ||||
Other expense | [6] | (1,295) | 568 | (4,086) | (3,610) | ||||
Allocated interest expense | [6] | (11,503) | (5,422) | (29,248) | (16,538) | ||||
Allocated general and administrative | [1],[6] | (5,490) | (5,737) | (17,001) | (17,821) | ||||
Segment profit (loss) | [2],[6] | (14,889) | 39,996 | (40,707) | 40,963 | ||||
Provision for (recovery of) loan losses | [6] | 0 | 0 | 0 | 0 | ||||
Impairment of assets | [6] | 0 | 0 | 0 | 0 | ||||
Depreciation and amortization | [6] | 275 | 274 | 864 | 873 | ||||
Capitalized expenditures | [6] | 0 | $ 0 | 0 | $ 0 | ||||
Real estate, net | [6] | 0 | 0 | 0 | |||||
Real estate available and held for sale | [6] | 0 | 0 | 0 | |||||
Total real estate | [6] | 0 | 0 | 0 | |||||
Loans receivable and other lending investments, net | [6] | 0 | 0 | 0 | |||||
Other investments | [6] | 90,059 | 90,059 | 109,384 | |||||
Total portfolio assets | [6] | $ 90,059 | $ 90,059 | $ 109,384 | |||||
[1] | General and administrative excludes stock-based compensation expense of $2.9 million and $10.1 million for the three and nine months ended September 30, 2015 and $3.3 million and $8.5 million for the three and nine months ended September 30, 2014, respectively. | ||||||||
[2] | The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014Segment profit$33,216 $71,564 $74,348 $120,631Less: (Provision for) recovery of loan losses(7,500) 673 (30,944) 6,865Less: Impairment of assets(3,916) (15,462) (5,590) (21,741)Less: Stock-based compensation expense(2,881) (3,273) (10,066) (8,544)Less: Depreciation and amortization(15,787) (17,722) (49,804) (55,157)Less: Income tax (expense) benefit2,893 (103) (3,796) 619Less: Loss on early extinguishment of debt, net(67) (186) (279) (24,953)Net income (loss)$5,958 $35,491 $(26,131) $17,720 | ||||||||
[3] | For the three and nine months ended September 30, 2015, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.1 million and $0.6 million, respectively. For the three and nine months ended September 30, 2014, the provision for loan losses includes recoveries of previously recorded loan loss reserves of $0.9 million and $8.5 million, respectively. | ||||||||
[4] | As of September 30, 2015 and December 31, 2014, the Company had $132.8 million and $155.8 million, respectively, of residential properties available for sale in its operating properties portfolio. | ||||||||
[5] | The Company's recorded investment in loans as of September 30, 2015 and December 31, 2014 includes accrued interest of $8.9 million and $7.0 million, respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. | ||||||||
[6] | Corporate/Other represents all corporate level and unallocated items including any intercompany eliminations necessary to reconcile to consolidated Company totals. This caption also includes the Company's joint venture investments and strategic investments that are not included in the other reportable segments above. |
Segment Reporting (Reconciliati
Segment Reporting (Reconciliation of Segment Profit (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||||
Reconciliation of segment profit (loss) to income (loss) from continuing operations | |||||||
Segment profit | $ 33,216 | $ 71,564 | [1] | $ 74,348 | [1] | $ 120,631 | [1] |
Less: (Provision for) recovery of loan losses | (7,500) | 673 | (30,944) | 6,865 | |||
Less: Impairment of assets | (3,916) | (15,462) | (5,590) | (21,741) | |||
Less: Stock-based compensation expense | (2,881) | (3,273) | (10,066) | (8,544) | |||
Less: Depreciation and amortization | (15,787) | (17,722) | (49,804) | (55,157) | |||
Less: Income tax (expense) benefit | 2,893 | (103) | (3,796) | 619 | |||
Less: Loss on early extinguishment of debt, net | (67) | (186) | (279) | (24,953) | |||
Net income (loss) | $ 5,958 | $ 35,491 | $ (26,131) | $ 17,720 | |||
[1] | The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014Segment profit$33,216 $71,564 $74,348 $120,631Less: (Provision for) recovery of loan losses(7,500) 673 (30,944) 6,865Less: Impairment of assets(3,916) (15,462) (5,590) (21,741)Less: Stock-based compensation expense(2,881) (3,273) (10,066) (8,544)Less: Depreciation and amortization(15,787) (17,722) (49,804) (55,157)Less: Income tax (expense) benefit2,893 (103) (3,796) 619Less: Loss on early extinguishment of debt, net(67) (186) (279) (24,953)Net income (loss)$5,958 $35,491 $(26,131) $17,720 |