Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 02, 2017 | |
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 | Mar. 31, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 72,105,169 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Real estate | ||
Real estate, at cost | $ 1,896,262 | $ 1,906,592 |
Less: accumulated depreciation | (419,671) | (414,840) |
Real estate, net | 1,476,591 | 1,491,752 |
Real estate available and held for sale | 71,934 | 83,764 |
Total real estate | 1,548,525 | 1,575,516 |
Land and development, net | 955,150 | 945,565 |
Loans receivable and other lending investments, net | 1,381,227 | 1,450,439 |
Other investments | 197,559 | 214,406 |
Cash and cash equivalents | 897,487 | 328,744 |
Accrued interest and operating lease income receivable, net | 12,561 | 14,775 |
Deferred operating lease income receivable, net | 97,859 | 96,420 |
Deferred expenses and other assets, net | 204,148 | 199,649 |
Total assets | 5,294,516 | 4,825,514 |
Liabilities: | ||
Accounts payable, accrued expenses and other liabilities | 192,040 | 211,570 |
Loan participations payable, net | 182,087 | 159,321 |
Debt obligations, net | 3,882,395 | 3,389,908 |
Total liabilities | 4,256,522 | 3,760,799 |
Commitments and contingencies (refer to Note 11) | 0 | 0 |
Redeemable noncontrolling interests (refer to Note 5) | 3,513 | 5,031 |
iStar Inc. shareholders' equity: | ||
Common Stock, $0.001 par value, 200,000 shares authorized, 72,105 and 72,042 shares issued and outstanding as of March 31, 2017 and December 31, 2016, respectively | 72 | 72 |
Additional paid-in capital | 3,603,586 | 3,602,172 |
Retained earnings (deficit) | (2,608,590) | (2,581,488) |
Accumulated other comprehensive income (loss) (refer to Note 13) | (3,974) | (4,218) |
Total iStar Inc. shareholders' equity | 991,120 | 1,016,564 |
Noncontrolling interests | 43,361 | 43,120 |
Total equity | 1,034,481 | 1,059,684 |
Total liabilities and equity | 5,294,516 | 4,825,514 |
Series D, E, F, G and I Preferred Stock | ||
iStar Inc. shareholders' equity: | ||
Preferred Stock | 22 | 22 |
Preferred Stock Series J | ||
iStar Inc. shareholders' equity: | ||
Preferred Stock | $ 4 | $ 4 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Common Stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common Stock, shares authorized (in shares) | 200,000 | 200,000 |
Common Stock, shares issued (in shares) | 72,105 | 72,042 |
Common Stock, shares outstanding (in shares) | 72,105 | 72,042 |
Series D, E, F, G and I Preferred Stock | ||
Liquidation preference (in dollars per share) | $ 25 | $ 25 |
Preferred Stock Series J | ||
Liquidation preference (in dollars per share) | $ 50 | $ 50 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues: | ||
Operating lease income | $ 52,591 | $ 54,937 |
Interest income | 29,058 | 33,219 |
Other income | 11,864 | 11,541 |
Land development revenue | 20,050 | 14,947 |
Total revenues | 113,563 | 114,644 |
Costs and expenses: | ||
Interest expense | 51,193 | 57,021 |
Real estate expense | 35,741 | 34,305 |
Land development cost of sales | 15,910 | 11,575 |
Depreciation and amortization | 13,067 | 14,708 |
General and administrative | 25,173 | 23,102 |
(Recovery of) provision for loan losses | (4,928) | 1,506 |
Impairment of assets | 4,413 | 0 |
Other expense | 1,869 | 740 |
Total costs and expenses | 142,438 | 142,957 |
Income (loss) before earnings from equity method investments and other items | (28,875) | (28,313) |
Loss on early extinguishment of debt, net | (210) | (125) |
Earnings from equity method investments | 5,702 | 8,267 |
Income (loss) from operations before income taxes | (23,383) | (20,171) |
Income tax (expense) benefit | (607) | 414 |
Income (loss) from operations | (23,990) | (19,757) |
Income from sales of real estate | 8,618 | 10,458 |
Net income (loss) | (15,372) | (9,299) |
Net (income) loss attributable to noncontrolling interests | 1,100 | 942 |
Net income (loss) attributable to iStar Inc. | (14,272) | (8,357) |
Preferred dividends | (12,830) | (12,830) |
Net income (loss) allocable to common shareholders | $ (27,102) | $ (21,187) |
Income (loss) attributable to iStar Inc. from operations: | ||
Basic and diluted (in dollars per share) | $ (0.38) | $ (0.27) |
Net income (loss) attributable to iStar Inc.: | ||
Basic and diluted (in dollars per share) | $ (0.38) | $ (0.27) |
Weighted average number of common shares: | ||
Basic and diluted (in shares) | 72,065 | 77,060 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ (15,372) | $ (9,299) | |
Other comprehensive income (loss): | |||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | [1] | 122 | 257 |
Unrealized gains/(losses) on available-for-sale securities | (17) | 19 | |
Unrealized gains/(losses) on cash flow hedges | 540 | (962) | |
Unrealized gains/(losses) on cumulative translation adjustment | (401) | (40) | |
Other comprehensive income (loss) | 244 | (726) | |
Comprehensive income (loss) | (15,128) | (10,025) | |
Comprehensive (income) loss attributable to noncontrolling interests | 1,100 | 942 | |
Comprehensive income (loss) attributable to iStar Inc. | $ (14,028) | $ (9,083) | |
[1] | Reclassified to "Interest expense" in the Company's consolidated statements of operations are $30 and $160 for the three months ended March 31, 2017 and 2016, respectively. Reclassified to "Earnings from equity method investments" in the Company's consolidated statements of operations are $92 and $97 for the three months ended March 31, 2017 and 2016, respectively. |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | [1] | $ 122 | $ 257 |
Interest Expense | |||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | 30 | 160 | |
Earnings from equity method investments | |||
Reclassification of (gains)/losses on cash flow hedges into earnings upon realization | $ 92 | $ 97 | |
[1] | Reclassified to "Interest expense" in the Company's consolidated statements of operations are $30 and $160 for the three months ended March 31, 2017 and 2016, respectively. Reclassified to "Earnings from equity method investments" in the Company's consolidated statements of operations are $92 and $97 for the three months ended March 31, 2017 and 2016, respectively. |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Preferred Stock | [1] | Preferred Stock Series J | [1] | Common Stock at Par | Additional Paid-In Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests | |
Beginning Balance at Dec. 31, 2015 | $ 1,101,330 | $ 22 | $ 4 | $ 81 | $ 3,689,330 | $ (2,625,474) | $ (4,851) | $ 42,218 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Dividends declared—preferred | (12,830) | (12,830) | |||||||||
Issuance of stock/restricted stock unit amortization, net | 604 | 604 | |||||||||
Net income (loss) for the period | [2] | (7,999) | (8,357) | 358 | |||||||
Change in accumulated other comprehensive income (loss) | (726) | (726) | |||||||||
Repurchase of stock | (58,132) | (6) | (58,126) | ||||||||
Change in additional paid in capital attributable to redeemable noncontrolling interest | 438 | 438 | |||||||||
Change in noncontrolling interest | [3] | (7,292) | (7,292) | ||||||||
Ending Balance at Mar. 31, 2016 | 1,015,393 | 22 | 4 | 75 | 3,632,246 | (2,646,661) | (5,577) | 35,284 | |||
Beginning Balance at Dec. 31, 2016 | 1,059,684 | 22 | 4 | 72 | 3,602,172 | (2,581,488) | (4,218) | 43,120 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Dividends declared—preferred | (12,830) | (12,830) | |||||||||
Issuance of stock/restricted stock unit amortization, net | 1,237 | 1,237 | |||||||||
Net income (loss) for the period | [2] | (14,031) | (14,272) | 241 | |||||||
Change in accumulated other comprehensive income (loss) | 244 | 244 | |||||||||
Change in additional paid in capital attributable to redeemable noncontrolling interest | 177 | 177 | |||||||||
Ending Balance at Mar. 31, 2017 | $ 1,034,481 | $ 22 | $ 4 | $ 72 | $ 3,603,586 | $ (2,608,590) | $ (3,974) | $ 43,361 | |||
[1] | Refer to Note 13 for details on the Company's Preferred Stock. | ||||||||||
[2] | For the three months ended March 31, 2017 and 2016, net income (loss) shown above excludes $(1,341) and $(1,300) of net loss attributable to redeemable noncontrolling interests. | ||||||||||
[3] | Includes a payment to acquire a noncontrolling interest (refer to Note 5). |
Consolidated Statements of Cha8
Consolidated Statements of Changes in Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Stockholders' Equity [Abstract] | ||
Net income (loss) attributable to redeemable noncontrolling interest | $ (1,341) | $ (1,300) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (15,372) | $ (9,299) |
Adjustments to reconcile net income (loss) to cash flows from operating activities: | ||
(Recovery of) provision for loan losses | (4,928) | 1,506 |
Impairment of assets | 4,413 | 0 |
Depreciation and amortization | 13,067 | 14,708 |
Non-cash expense for stock-based compensation | 5,881 | 4,577 |
Amortization of discounts/premiums and deferred financing costs on debt obligations, net | 3,512 | 4,601 |
Amortization of discounts/premiums on loans, net | (3,184) | (3,422) |
Deferred interest on loans, net | (11,467) | (12,114) |
Earnings from equity method investments | (5,702) | (8,267) |
Distributions from operations of other investments | 20,029 | 26,317 |
Deferred operating lease income | (2,109) | (2,126) |
Income from sales of real estate | (8,618) | (10,458) |
Land development revenue in excess of cost of sales | (8,618) | (10,458) |
Loss on early extinguishment of debt, net | 210 | 125 |
Debt discount on repayments of debt obligations | (267) | (492) |
Other operating activities, net | 2,683 | 1,599 |
Changes in assets and liabilities: | ||
Changes in accrued interest and operating lease income receivable, net | 2,214 | 2,415 |
Changes in deferred expenses and other assets, net | (8,726) | 1,034 |
Changes in accounts payable, accrued expenses and other liabilities | (24,987) | (23,023) |
Cash flows used in operating activities | (37,491) | (15,691) |
Cash flows from investing activities: | ||
Originations and fundings of loans receivable, net | (61,605) | (94,343) |
Capital expenditures on real estate assets | (7,781) | (17,735) |
Capital expenditures on land and development assets | (27,604) | (29,375) |
Repayments of and principal collections on loans receivable and other lending investments, net | 171,066 | 73,211 |
Net proceeds from sales of real estate | 30,215 | 35,680 |
Net proceeds from sales of land and development assets | 20,923 | 8,775 |
Distributions from other investments | 4,709 | 7,675 |
Contributions to other investments | (1,813) | (6,377) |
Changes in restricted cash held in connection with investing activities | 284 | 1,660 |
Other investing activities, net | 1,801 | 7,716 |
Cash flows provided by (used in) investing activities | 130,195 | (13,113) |
Cash flows from financing activities: | ||
Borrowings from debt obligations | 854,637 | 275,000 |
Repayments and repurchases of debt obligations | (353,191) | (282,755) |
Preferred dividends paid | (12,830) | (12,830) |
Repurchase of stock | 0 | (58,760) |
Payments for deferred financing costs | (11,497) | 0 |
Payments for withholding taxes upon vesting of stock-based compensation | (420) | (1,109) |
Other financing activities, net | (661) | (10,686) |
Cash flows provided by (used in) financing activities | 476,038 | (91,140) |
Effect of exchange rate changes on cash | 1 | 24 |
Changes in cash and cash equivalents | 568,743 | (119,920) |
Cash and cash equivalents at beginning of period | 328,744 | 711,101 |
Cash and cash equivalents at end of period | 897,487 | 591,181 |
Supplemental disclosure of non-cash investing and financing activity: | ||
Fundings of loan receivables and loan participations | 22,602 | 1,905 |
Accounts payable for capital expenditures on land and development assets | 0 | 3,650 |
Accounts payable for capital expenditures on real estate assets | 781 | 0 |
Land and Development | ||
Adjustments to reconcile net income (loss) to cash flows from operating activities: | ||
Land development revenue in excess of cost of sales | $ (4,140) | $ (3,372) |
Business and Organization
Business and Organization | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [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 and development (refer to Note 17). 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 | 3 Months Ended |
Mar. 31, 2017 | |
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, 2016 (the " 2016 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 Company's consolidated financial statements and the related notes to conform to the current period presentation. 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," "Interest 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 March 31, 2017 , the Company consolidates VIEs for which it is considered the primary beneficiary. As of March 31, 2017 , the total assets of these consolidated VIEs were $449.3 million and total liabilities were $74.4 million . The classifications of these assets are primarily within "Land and development, net" and "Real estate, net" on the Company's consolidated balance sheets. The classifications of liabilities are primarily within "Accounts payable, accrued expenses and other liabilities" and "debt obligations, net" 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 did not have any unfunded commitments related to consolidated VIEs as of March 31, 2017 . Unconsolidated VIEs —As of March 31, 2017 , the Company has investments 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 March 31, 2017 , the Company's maximum exposure to loss from these investments does not exceed the sum of the $52.9 million carrying value of the investments, which are classified in "Other investments" and "Loans receivable and other lending investments, net" on the Company's consolidated balance sheets, and $58.0 million of related unfunded commitments. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies On January 1, 2017, the Company adopted Accounting Standards Update ("ASU") 2016-09, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting ("ASU 2016-09") which was issued to simplify several aspects of the accounting for share-based payment transactions, including income tax, classification of awards as either equity or liabilities and classification on the statement of cash flows. The adoption of ASU 2016-09 did not have a material impact on the Company's consolidated financial statements. As of March 31, 2017 , the remainder of the Company's significant accounting policies, which are detailed in the Company's 2016 Annual Report, have not changed materially. New Accounting Pronouncements — In February 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-05, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets ("ASU 2017-05") to clarify the scope of Subtopic 610-20, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets, and to add guidance for partial sales of nonfinancial assets. The amendments in ASU 2017-05 simplify GAAP by eliminating several accounting differences between transactions involving assets and transactions involving businesses. The amendments in ASU 2017-05 require an entity to initially measure a retained noncontrolling interest in a nonfinancial asset at fair value consistent with how a retained noncontrolling interest in a business is measured. Also, if an entity transfers ownership interests in a consolidated subsidiary that is within the scope of ASC 610-20 and continues to have a controlling financial interest in that subsidiary, ASU 2017-05 requires the entity to account for the transaction as an equity transaction, which is consistent with how changes in ownership interests in a consolidated subsidiary that is a business are recorded when a parent retains a controlling financial interest in the business. ASU 2017-05 is 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. In January 2017, the FASB issued ASU 2017-01, Business Combinations: Clarifying the Definition of a Business ("ASU 2017-01") to provide a more robust framework to use in determining when a set of assets and activities is a business. The amendments provide more consistency in applying the guidance, reduce the costs of application, and make the definition of a business more operable. The Company's real estate acquisitions have historically been accounted for as a business combination or an asset acquisition. Under ASU 2017-01, certain transactions previously accounted for as business combinations under the existing guidance would be accounted for as asset acquisitions under the new guidance. As a result, the Company expects more transaction costs to be capitalized under real estate acquisitions and less transaction costs to be expensed under business combinations. ASU 2017-01 is effective for interim and annual reporting periods beginning after December 15, 2017. Early application is permitted under certain conditions. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows: Restricted Cash ("ASU 2016-18") which requires that restricted cash be included with cash and cash equivalents when reconciling beginning and ending cash and cash equivalents on the statement of cash flows. In addition, ASU 2016-18 requires disclosure of what is included in restricted cash. ASU 2016-18 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In August 2016 , the FASB issued ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15") which was issued to reduce diversity in practice in how certain cash receipts and cash payments, including debt prepayment or debt extinguishment costs, distributions from equity method investees, and other separately identifiable cash flows, are presented and classified in the statement of cash flows. ASU 2016-15 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In June 2016 , the FASB issued ASU 2016-13, Financial Instruments—Credit Losses: Measurement of Credit Losses on Financial Instruments ("ASU 2016-13") which was issued to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments held by a reporting entity. This amendment replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The Company currently records a general reserve that covers performing loans and reserves for loan losses are recorded when (i) available information as of each balance sheet date indicates that it is probable a loss has occurred in the portfolio and (ii) the amount of the loss can be reasonably estimated. The formula-based general reserve is derived from estimated principal default probabilities and loss severities applied to groups of loans based upon risk ratings assigned to loans with similar risk characteristics during our quarterly loan portfolio assessment. The Company estimates loss rates based on historical realized losses experienced within its portfolio and take into account current economic conditions affecting the commercial real estate market when establishing appropriate time frames to evaluate loss experience. The Company believes this general reserve component of its total loan loss reserves should minimize the impact of ASU 2016-13. ASU 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases ("ASU 2016-02"), which requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases. For operating leases, a lessee will be required to do the following: (i) recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the statement of financial position; (ii) recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis and (iii) classify all cash payments within operating activities in the statement of cash flows. For operating lease arrangements for which the Company is the lessee, primarily the lease of office space, the Company expects the impact of ASU 2016-02 to be the recognition of a right-of-use asset and lease liability on its consolidated balance sheets. The accounting applied by the Company as a lessor will be largely unchanged from that applied under previous GAAP. However, in certain instances, a new long-term lease of land subsequent to adoption could be classified as a sales-type lease, which could result in the Company derecognizing the underlying asset from its books and recording a profit or loss on sale and the net investment in the lease. ASU 2016-02 is effective for interim and annual reporting periods beginning after December 15, 2018. Early adoption is permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"), which addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU 2016-01 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is not permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In May 2014, the 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. Although most of the Company's revenue is operating lease income generated from lease contracts and interest income generated from financial instruments, certain other of the Company's revenue streams will be impacted by the new guidance. The Company currently expects that income from sales of real estate, land development revenue and other income will be impacted by ASU 2014-09. 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 | 3 Months Ended |
Mar. 31, 2017 | |
Real Estate [Abstract] | |
Real Estate | Real Estate The Company's real estate assets were comprised of the following ($ in thousands): Net Lease (1) Operating Properties Total As of March 31, 2017 Land, at cost $ 271,433 $ 211,054 $ 482,487 Buildings and improvements, at cost 1,097,049 316,726 1,413,775 Less: accumulated depreciation (370,168 ) (49,503 ) (419,671 ) Real estate, net 998,314 478,277 1,476,591 Real estate available and held for sale (2) — 71,934 71,934 Total real estate $ 998,314 $ 550,211 $ 1,548,525 As of December 31, 2016 Land, at cost $ 272,666 $ 211,054 $ 483,720 Buildings and improvements, at cost 1,111,589 311,283 1,422,872 Less: accumulated depreciation (368,665 ) (46,175 ) (414,840 ) Real estate, net 1,015,590 476,162 1,491,752 Real estate available and held for sale (2) 1,284 82,480 83,764 Total real estate $ 1,016,874 $ 558,642 $ 1,575,516 _______________________________________________________________________________ (1) In 2014, the Company partnered with a sovereign wealth fund to form a venture to acquire and develop net lease assets (the "Net Lease Venture") and gave a right of first refusal to the Net Lease Venture on all new net lease investments (refer to Note 7 for more information on the Net Lease Venture). The Company is responsible for sourcing new opportunities and managing the Net Lease Venture and its assets in exchange for a promote and management fee. (2) As of March 31, 2017 and December 31, 2016 , the Company had $71.9 million and $82.5 million , respectively, of residential properties available for sale in its operating properties portfolio. Real Estate Available and Held for Sale— During the three months ended March 31, 2016, the Company transferred one net lease asset with a carrying value of $0.7 million to held for sale due to an executed contract with a third party. Dispositions— During the three months ended March 31, 2017 and 2016 , the Company sold residential condominiums for total net proceeds of $10.2 million and $19.7 million , respectively, and recorded income from sales of real estate totaling $1.9 million and $4.9 million , respectively. During the three months ended March 31, 2017 and 2016, the Company sold net lease assets for net proceeds of $20.0 million and $10.0 million , respectively, resulting in gains of $6.7 million and $4.9 million , respectively. During the three months ended March 31, 2016, the Company also sold a commercial operating property for net proceeds of $5.9 million resulting in a gain of $0.7 million . The gains are recorded in "Income from sales of real estate" in the Company's consolidated statements of operations. Impairments— During the three months ended March 31, 2017 , the Company recorded an impairment of $4.4 million on a real estate asset held for sale due to shifting demand in the local condominium market along with a change in the Company's exit strategy. 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 $5.7 million and $6.3 million for the three months ended March 31, 2017 and 2016, respectively. These amounts are included in "Operating lease income" in the Company's consolidated statements of operations. Allowance for Doubtful Accounts— As of March 31, 2017 and December 31, 2016 , the allowance for doubtful accounts related to real estate tenant receivables was $1.4 million and $1.3 million , respectively, and the allowance for doubtful accounts related to deferred operating lease income was $1.3 million as of March 31, 2017 and December 31, 2016 . These amounts are included in "Accrued interest and operating lease income receivable, net" and "Deferred operating lease income receivable, net," respectively, on the Company's consolidated balance sheets. |
Land and Development
Land and Development | 3 Months Ended |
Mar. 31, 2017 | |
Land and development [Abstract] | |
Land and Development | Land and Development The Company's land and development assets were comprised of the following ($ in thousands): As of March 31, December 31, 2017 2016 Land and land development, at cost $ 961,907 $ 952,051 Less: accumulated depreciation (6,757 ) (6,486 ) Total land and development, net $ 955,150 $ 945,565 Acquisitions— In 2016, the Company acquired an additional 10.7% interest in a consolidated entity for $10.8 million . The Company owns 95.7% of the entity as of March 31, 2017. Dispositions— During the three months ended March 31, 2017 and 2016, the Company sold residential lots and units and recognized land development revenue of $20.1 million and $14.9 million , respectively, from its land and development portfolio. During the three months ended March 31, 2017 and 2016, the Company recognized land development cost of sales of $15.9 million and $11.6 million , respectively, from its land and development portfolio. Redeemable Noncontrolling Interest— The Company has a majority interest in a strategic venture that provides the third party minority partner an option to redeem its interest at fair value. The Company has reflected the partner's noncontrolling interest in this venture as a component of redeemable noncontrolling interest within its consolidated balance sheets. Changes in fair value are being accreted over the term from the date of issuance of the redemption option to the earliest redemption date using the interest method. As of March 31, 2017 and December 31, 2016 , this interest had a carrying value of zero and $1.3 million , respectively. As of March 31, 2017 and December 31, 2016, this interest did not have a redemption value. |
Loans Receivable and Other Lend
Loans Receivable and Other Lending Investments, net | 3 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Loans Receivable and Other Lending Investments, net | Loans Receivable and Other Lending Investments, net The following is a summary of the Company's loans receivable and other lending investments by class ($ in thousands): As of Type of Investment March 31, December 31, Senior mortgages $ 834,795 $ 940,738 Corporate/Partnership loans 519,198 490,389 Subordinate mortgages 25,242 24,941 Total gross carrying value of loans 1,379,235 1,456,068 Reserves for loan losses (79,389 ) (85,545 ) Total loans receivable, net 1,299,846 1,370,523 Other lending investments—securities 81,381 79,916 Total loans receivable and other lending investments, net $ 1,381,227 $ 1,450,439 Reserve for Loan Losses —Changes in the Company's reserve for loan losses were as follows ($ in thousands): For the Three Months Ended March 31, 2017 2016 Reserve for loan losses at beginning of period $ 85,545 $ 108,165 (Recovery of) provision for loan losses (4,928 ) 1,506 Charge-offs (1,228 ) — Reserve for loan losses at end of period $ 79,389 $ 109,671 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 March 31, 2017 Loans $ 250,801 $ 1,135,134 $ 1,385,935 Less: Reserve for loan losses (60,989 ) (18,400 ) (79,389 ) Total (3) $ 189,812 $ 1,116,734 $ 1,306,546 As of December 31, 2016 Loans $ 253,941 $ 1,209,062 $ 1,463,003 Less: Reserve for loan losses (62,245 ) (23,300 ) (85,545 ) Total (3) $ 191,696 $ 1,185,762 $ 1,377,458 _______________________________________________________________________________ (1) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs totaling net discounts of $0.7 million and $0.4 million as of March 31, 2017 and December 31, 2016 , 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 totaling net premiums of $2.9 million and $1.9 million as of March 31, 2017 and December 31, 2016 , respectively. (3) The Company's recorded investment in loans as of March 31, 2017 and December 31, 2016 includes accrued interest of $6.7 million and $6.9 million , respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. As of March 31, 2017 and December 31, 2016 , excludes $81.4 million and $79.9 million , respectively, of securities that are evaluated for impairment under ASC 320. Credit Characteristics —As part of the Company's process for monitoring the credit quality of its loans, it performs a quarterly loan portfolio assessment and assigns risk ratings to each of its performing loans. Risk ratings, which range from 1 (lower risk) to 5 (higher risk), are based on judgments which are inherently uncertain and there can be no assurance that actual performance will be similar to current expectation. The Company designates loans as non-performing at such time as: (1) the loan becomes 90 days delinquent; (2) the loan has a maturity default; or (3) management determines it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan. All non-performing loans are placed on non-accrual status and income is only recognized in certain cases upon actual cash receipt. The Company's recorded investment in performing loans, presented by class and by credit quality, as indicated by risk rating, was as follows ($ in thousands): As of March 31, 2017 As of December 31, 2016 Performing Loans Weighted Average Risk Ratings Performing Loans Weighted Average Risk Ratings Senior mortgages $ 756,720 2.31 $ 859,250 3.12 Corporate/Partnership loans 364,159 3.06 335,677 3.09 Subordinate mortgages 14,255 2.46 14,135 3.00 Total $ 1,135,134 2.55 $ 1,209,062 3.11 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 As of March 31, 2017 Senior mortgages $ 762,720 $ — $ 76,454 $ 76,454 $ 839,174 Corporate/Partnership loans 364,159 — 157,303 157,303 521,462 Subordinate mortgages 25,299 — — — 25,299 Total $ 1,152,178 $ — $ 233,757 $ 233,757 $ 1,385,935 As of December 31, 2016 Senior mortgages $ 868,505 $ — $ 76,677 $ 76,677 $ 945,182 Corporate/Partnership loans 335,677 — 157,146 157,146 492,823 Subordinate mortgages 24,998 — — — 24,998 Total $ 1,229,180 $ — $ 233,823 $ 233,823 $ 1,463,003 _______________________________________________________________________________ (1) As of March 31, 2017 , 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 8.0 years outstanding. As of December 31, 2016, 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 8.0 years outstanding. Impaired Loans —The Company's recorded investment in impaired loans, presented by class, were as follows ($ in thousands) (1) : As of March 31, 2017 As of December 31, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Subordinate mortgages $ 11,044 $ 11,027 $ — $ 10,862 $ 10,846 $ — Subtotal 11,044 11,027 — 10,862 10,846 — With an allowance recorded: Senior mortgages 82,454 82,571 (48,518 ) 85,933 85,780 (49,774 ) Corporate/Partnership loans 157,303 146,783 (12,471 ) 157,146 146,783 (12,471 ) Subtotal 239,757 229,354 (60,989 ) 243,079 232,563 (62,245 ) Total: Senior mortgages 82,454 82,571 (48,518 ) 85,933 85,780 (49,774 ) Corporate/Partnership loans 157,303 146,783 (12,471 ) 157,146 146,783 (12,471 ) Subordinate mortgages 11,044 11,027 — 10,862 10,846 — Total $ 250,801 $ 240,381 $ (60,989 ) $ 253,941 $ 243,409 $ (62,245 ) ____________________________________________________________ (1) All of the Company's non-accrual loans are considered impaired and included in the table above. 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 March 31, 2017 2016 Average Interest Average Interest With no related allowance recorded: Senior mortgages $ — $ — $ 4,542 $ — Subordinate mortgages 10,953 — — — Subtotal 10,953 — 4,542 — With an allowance recorded: Senior mortgages 84,194 — 126,843 — Corporate/Partnership loans 157,224 — 5,571 — Subtotal 241,418 — 132,414 — Total: Senior mortgages 84,194 — 131,385 — Corporate/Partnership loans 157,224 — 5,571 — Subordinate mortgages 10,953 — — — Total $ 252,371 $ — $ 136,956 $ — 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 March 31, 2017 Available-for-Sale Securities Municipal debt securities $ 21,230 $ 21,230 $ 409 $ 21,639 $ 21,639 Held-to-Maturity Securities Debt securities 59,867 59,742 2,321 62,063 59,742 Total $ 81,097 $ 80,972 $ 2,730 $ 83,702 $ 81,381 As of December 31, 2016 Available-for-Sale Securities Municipal debt securities $ 21,240 $ 21,240 $ 426 $ 21,666 $ 21,666 Held-to-Maturity Securities Debt securities 58,454 58,250 2,753 61,003 58,250 Total $ 79,694 $ 79,490 $ 3,179 $ 82,669 $ 79,916 |
Other Investments
Other Investments | 3 Months Ended |
Mar. 31, 2017 | |
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): Equity in Earnings (Losses) Carrying Value as of For the Three Months Ended March 31, March 31, 2017 December 31, 2016 2017 2016 Real estate equity investments iStar Net Lease I LLC ("Net Lease Venture") $ 92,024 $ 92,669 $ 981 $ 946 Marina Palms, LLC ("Marina Palms") 19,439 35,185 3,117 8,221 Other real estate equity investments 53,230 53,202 1,357 (1,702 ) Subtotal 164,693 181,056 5,455 7,465 Other strategic investments (1) 32,866 33,350 247 802 Total $ 197,559 $ 214,406 $ 5,702 $ 8,267 _______________________________________________________________________________ (1) 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 months ended March 31, 2016, the Company recognized $3.2 million of carried interest income. Net Lease Venture —In February 2014, the Company partnered with a sovereign wealth fund to form an unconsolidated entity in which the Company has an equity interest of approximately 51.9% . 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 senior executives 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 senior executives are also entitled to an amount equal to 50% of any promote payment received based on the 47.5% partner's interest. As of March 31, 2017 and December 31, 2016 , the venture's carrying value of total assets was $516.5 million and $511.3 million , respectively. During the three months ended March 31, 2017 and 2016, the Company recorded $0.5 million and $0.4 million of management fees, respectively, from the Net Lease Venture which are included in "Other income" in the Company's consolidated statements of operations. This entity is not a VIE and the Company does not have controlling interest due to the substantive participating rights of its partner. Marina Palms —As of March 31, 2017 , the Company owned a 47.5% equity interest in Marina Palms, a 468 unit, two tower residential condominium development in North Miami Beach, Florida. The 234 unit north tower has one unit remaining for sale as of March 31, 2017 . The 234 unit south tower is 84% sold or pre-sold (based on unit count) as of March 31, 2017 . This entity is not a VIE and the Company does not have controlling interest due to shared control of the entity with its partner. As of March 31, 2017 and December 31, 2016 , the venture's carrying value of total assets was $98.3 million and $201.8 million , respectively. Other real estate equity investments —As of March 31, 2017 , the Company's other real estate equity investments included equity interests in real estate ventures ranging from 20% to 85% , comprised of investments of $3.2 million in operating properties and $50.0 million in land assets. As of December 31, 2016 , the Company's other real estate equity investments included $3.6 million in operating properties and $49.6 million in land assets. In December 2016, the Company sold a land and development asset to a newly formed unconsolidated entity in which the Company owns a 50.0% equity interest. This entity is a VIE and the Company does not have a controlling interest due to shared control of the entity with its partner. The Company and its partner both made $7.0 million contributions to the venture and the Company provided financing to the entity in the form of a $27.0 million senior loan commitment, which had a carrying value of $23.1 million and $22.7 million as of March 31, 2017 and December 31, 2016, respectively, and is included in "Loans receivable and other lending investments, net" on the Company's consolidated balance sheets. During the three months ended March 31, 2017, the Company recorded $0.4 million of interest income on the senior loan. Other strategic investments —As of March 31, 2017 , 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. As of March 31, 2017 and December 31, 2016, the carrying value of the Company's cost method investments was $0.9 million and $1.4 million , respectively. Summarized investee financial information —The following table presents the investee level summarized financial information of the Company's equity method investments, which were significant subsidiaries for the three months ended March 31, 2017 and 2016 ($ in thousands): Revenues Expenses Net Income Attributable to Parent Entities For the Three Months Ended March 31, 2017 Marina Palms $ 23,669 $ (14,911 ) $ 8,758 Net Lease Venture 9,621 (7,588 ) 1,890 For the Three Months Ended March 31, 2016 Marina Palms $ 50,628 $ (25,511 ) $ 25,117 Net Lease Venture 7,830 (5,863 ) 1,823 |
Other Assets and Other Liabilit
Other Assets and Other Liabilities | 3 Months Ended |
Mar. 31, 2017 | |
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 March 31, 2017 December 31, 2016 Intangible assets, net (1) $ 61,723 $ 63,098 Other receivables (2) 51,047 52,820 Other assets 47,877 39,591 Restricted cash 26,290 25,883 Leasing costs, net (3) 11,812 12,566 Corporate furniture, fixtures and equipment, net (4) 5,399 5,691 Deferred expenses and other assets, net $ 204,148 $ 199,649 _______________________________________________________________________________ (1) Intangible assets, net includes above market and in-place lease assets and lease incentives related to the acquisition of real estate assets. Accumulated amortization on intangible assets, net was $33.2 million and $32.6 million as of March 31, 2017 and December 31, 2016 , respectively. The amortization of above market leases and lease incentive assets decreased operating lease income in the Company's consolidated statements of operations by $0.9 million and $1.2 million for the three months ended March 31, 2017 and 2016, respectively. These intangible lease assets are amortized over the term of the lease. The amortization expense for in-place leases was $0.5 million for the three months ended March 31, 2017 and 2016. These amounts are included in "Depreciation and amortization" in the Company's consolidated statements of operations. (2) As of March 31, 2017 and December 31, 2016 , included $25.8 million and $26.0 million , respectively, of receivables related to the construction and development of an amphitheater. (3) Accumulated amortization of leasing costs was $6.4 million and $6.7 million as of March 31, 2017 and December 31, 2016 , respectively. (4) Accumulated depreciation on corporate furniture, fixtures and equipment was $9.5 million and $9.0 million as of March 31, 2017 and December 31, 2016 , respectively. Accounts payable, accrued expenses and other liabilities consist of the following items ($ in thousands): As of March 31, 2017 December 31, 2016 Other liabilities (1) $ 79,398 $ 75,993 Accrued expenses (2) 62,139 72,693 Accrued interest payable 41,901 54,033 Intangible liabilities, net (3) 8,602 8,851 Accounts payable, accrued expenses and other liabilities $ 192,040 $ 211,570 _______________________________________________________________________________ (1) As of March 31, 2017 and December 31, 2016 , "Other liabilities" includes $24.0 million related to profit sharing arrangements with developers for certain properties sold. As of March 31, 2017 and December 31, 2016 , includes $1.4 million and $1.2 million , respectively, associated with "Real estate available and held for sale" on the Company's consolidated balance sheets. As of March 31, 2017 and December 31, 2016 , "Other liabilities" also includes $7.8 million and $8.5 million , respectively, related to tax increment financing bonds which were issued by government entities to fund development within two of the Company's land projects. The amount represents tax assessments associated with each project, which will decrease as the Company sells units. (2) As of March 31, 2017 and December 31, 2016 , accrued expenses includes $2.4 million and $1.7 million , respectively, associated with "Real estate available and held for sale" on the Company's consolidated balance sheets. (3) Intangible liabilities, net includes below market lease liabilities related to the acquisition of real estate assets. Accumulated amortization on below market leases was $6.7 million and $6.4 million as of March 31, 2017 and December 31, 2016 , respectively. The amortization of below market leases increased operating lease income in the Company's consolidated statements of operations by $0.3 million for the three months ended March 31, 2017 and 2016. Deferred tax assets and liabilities of the Company's taxable REIT subsidiaries were as follows ($ in thousands): As of March 31, 2017 December 31, 2016 Deferred tax assets (liabilities) $ 70,806 $ 66,498 Valuation allowance (70,806 ) (66,498 ) Net deferred tax assets (liabilities) $ — $ — |
Loan Participations Payable, ne
Loan Participations Payable, net | 3 Months Ended |
Mar. 31, 2017 | |
Loan Participations Payable [Abstract] | |
Loan Participations Payable, net | Loan Participations Payable, net The Company's loan participations payable, net were as follows ($ in thousands): Carrying Value as of March 31, 2017 December 31, 2016 Loan participations payable (1) $ 182,853 $ 160,251 Debt discounts and deferred financing costs, net (766 ) (930 ) Total loan participations payable, net $ 182,087 $ 159,321 _______________________________________________________________________________ (1) As of March 31, 2017 , the Company had three loan participations payable with a weighted average interest rate of 5.2% . As of December 31, 2016, the Company had three loan participations payable with a weighted average interest rate of 4.8% . Loan participations represent transfers of financial assets that did not meet the sales criteria established under ASC Topic 860 and are accounted for as loan participations payable, net. As of March 31, 2017 and December 31, 2016 , the corresponding loan receivable balances were $181.9 million and $159.1 million , respectively, and are included in "Loans receivable and other lending investments, net" on the Company's consolidated balance sheets. The principal and interest due on these loan participations payable are paid from cash flows of the corresponding loans receivable, which serve as collateral for the participations. |
Debt Obligations, net
Debt Obligations, net | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Obligations, net | Debt Obligations, net The Company's debt obligations were as follows ($ in thousands): Carrying Value as of Stated Interest Rates Scheduled Maturity Date March 31, 2017 December 31, 2016 Secured credit facilities and mortgages: 2015 $250 Million Secured Revolving Credit Facility $ — $ — LIBOR + 2.75% (1) March 2018 2016 Senior Secured Credit Facility 500,000 498,648 LIBOR + 3.75% (2) July 2020 2017 Secured Financing 227,000 — 3.795 % (3) April 2027 Mortgages collateralized by net lease assets 247,535 249,987 3.875% - 7.26% (4) Various through 2032 Total secured credit facilities and mortgages 974,535 748,635 Unsecured notes: 5.85% senior notes — 99,722 5.85 % — 9.00% senior notes 275,000 275,000 9.00 % June 2017 4.00% senior notes (5) 550,000 550,000 4.00 % November 2017 7.125% senior notes 300,000 300,000 7.125 % February 2018 4.875% senior notes (6) 300,000 300,000 4.875 % July 2018 5.00% senior notes (7) 770,000 770,000 5.00 % July 2019 6.50% senior notes (8) 275,000 275,000 6.50 % July 2021 6.00% senior notes (9) 375,000 — 6.00 % April 2022 Total unsecured notes 2,845,000 2,569,722 Other debt obligations: Trust preferred securities 100,000 100,000 LIBOR + 1.50% October 2035 Total debt obligations 3,919,535 3,418,357 Debt discounts and deferred financing costs, net (37,140 ) (28,449 ) Total debt obligations, net (10) $ 3,882,395 $ 3,389,908 _______________________________________________________________________________ (1) 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 1.0% 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. (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 1.0% and subject to a margin of 2.75% or (ii) LIBOR subject to a margin of 3.75% with a minimum LIBOR rate of 1.0% . (3) The Company entered into a $200 million notional rate lock swap, bringing the effective interest rate down from 3.795% to 3.773% . (4) As of March 31, 2017 and December 31, 2016 , includes a loan with a floating rate of LIBOR plus 2.0% . As of March 31, 2017 , the weighted average interest rate of these loans is 5.1% . (5) The Company can prepay these senior notes without penalty beginning August 1, 2017. (6) The Company can prepay these senior notes without penalty beginning January 1, 2018. (7) The Company can prepay these senior notes without penalty beginning July 1, 2018. (8) The Company can prepay these senior notes without penalty beginning July 1, 2020. (9) The Company can prepay these senior notes without penalty beginning April 1, 2021. (10) The Company capitalized interest relating to development activities of $2.0 million and $1.4 million during the three months ended March 31, 2017 and 2016, respectively. Future Scheduled Maturities —As of March 31, 2017 , future scheduled maturities of outstanding debt obligations are as follows ($ in thousands): Unsecured Debt Secured Debt Total 2017 (remaining nine months) $ 825,000 $ — $ 825,000 2018 600,000 10,648 610,648 2019 770,000 28,770 798,770 2020 — 500,000 500,000 2021 275,000 119,072 394,072 Thereafter 475,000 316,045 791,045 Total principal maturities 2,945,000 974,535 3,919,535 Unamortized discounts and deferred financing costs, net (21,148 ) (15,992 ) (37,140 ) Total debt obligations, net $ 2,923,852 $ 958,543 $ 3,882,395 _____________________________________________________________________________ (1) The Company has $825.0 million of debt obligations maturing in two separate tranches during 2017, and $310.6 million of other debt obligations maturing before the end of May 2018, as listed in the debt obligations table above. The Company's plans to satisfy these obligations primarily consist of accessing the debt and/or equity markets to obtain capital to satisfy the maturing obligations. In addition, management intends to execute on its business strategy of disposing of assets and selling interests in business lines as well as collecting loan repayments from borrowers to further generate available liquidity. Should these sources of capital not be sufficiently available, the Company will slow its pace of making new investments and will need to identify alternative sources of capital. As of May 3, 2017 , the Company had approximately $1.2 billion of cash and available capacity under existing borrowing arrangements. 2017 Secured Financing —In March 2017, the Company entered into a $227.0 million secured financing transaction (the "2017 Secured Financing") that accrues interest at 3.795% and matures in April 2027 . Subsequent to March 31, 2017, the 2017 Secured Financing was assumed by an entity in which the Company has a 49% noncontrolling interest (refer to Note 18). The 2017 Secured Financing is collateralized by 12 properties including seven ground net leases and one master lease (covering the accounts of five properties). In connection with the 2017 Secured Financing, the Company incurred $7.4 million of lender and third-party fees, substantially all of which was capitalized in "Debt obligations, net" on the Company's consolidated balance sheets. 2016 Secured Term Loan —In December 2016, the Company arranged a $170.0 million delayed draw secured term loan (the "2016 Secured Term Loan"). During the three months ended March 31, 2017, the Company allowed the 2016 Secured Term Loan to expire and replaced the 2016 Secured Term Loan with the 2017 Secured Financing. The 2016 Secured Term Loan was collateralized by the 12 properties that now serve as collateral for the 2017 Secured Financing which were sold subsequent to March 31, 2017. 2016 Senior Secured Credit Facility —In June 2016, the Company entered into a senior secured credit facility of $450.0 million (the "2016 Senior Secured Credit Facility"). In August 2016, the Company upsized the facility to $500.0 million . The initial $450.0 million of the 2016 Senior Secured Credit Facility was issued at 99% of par and the upsize was issued at par. The 2016 Senior Secured Credit Facility initially accrued interest at a floating rate of LIBOR plus 4.50% with a 1.00% LIBOR floor. In January 2017, the Company repriced the 2016 Senior Secured Credit Facility to LIBOR plus 3.75% with a 1.00% LIBOR floor. The 2016 Senior Secured Credit Facility is collateralized 1.25 x by a first lien on a fixed pool of assets. Proceeds from principal repayments and sales of collateral are applied to amortize the 2016 Senior Secured Credit Facility. 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, and is required to repay 0.25% of the principal amount on the first business day of each quarter. Proceeds from the 2016 Senior Secured Credit Facility, together with cash on hand, were primarily used to repay other secured debt. In connection with the 2016 Senior Secured Credit Facility, the Company incurred $4.5 million of lender fees, substantially all of which was capitalized in "Debt obligations, net" on the Company's consolidated balance sheets. The Company also incurred $6.2 million in third party fees, of which $4.3 million was capitalized in “Debt obligations, net” on the Company's consolidated balance sheets, as it related to new lenders, and $1.9 million was recognized in “Other expense” in the Company's consolidated statements of operations as it related primarily to those lenders from the original facility that modified their debt under the new facility. In connection with the repricing of the 2016 Senior Secured Credit Facility in January 2017, the Company incurred an additional $0.8 million in fees, substantially all of which was recognized in "Other expense." 2015 Secured Revolving Credit Facility —In March 2015, the Company entered into a secured revolving credit facility with a maximum capacity of $250.0 million (the "2015 Secured 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 0.50% , based on average utilization each quarter. During the three months ended March 31, 2017 , the weighted average cost of the credit facility was 3.46% . 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. As of March 31, 2017 , based on the Company's borrowing base of assets, the Company had $236.0 million of borrowing capacity available under the 2015 Secured Revolving Credit Facility. Unsecured Notes —In March 2017, the Company issued $375.0 million principal amount of 6.00% senior unsecured notes due April 2022. Proceeds from the offering were primarily used to repay in full the $99.7 million principal amount of 5.85% senior unsecured notes due March 2017 and, subsequent to March 31, 2017, repay in full the $275.0 million principal amount of 9.00% senior unsecured notes due June 2017. In March 2016, the Company repaid its $261.4 million principal amount of 5.875% senior unsecured notes at maturity using available cash. In addition, the Company issued $275.0 million principal amount of 6.50% senior unsecured notes due July 2021. Proceeds from the offering were primarily used to repay in full the $265.0 million principal amount of senior unsecured notes due July 2016 and repay $5.0 million of the 2015 Secured Revolving Credit Facility. In November 2016, in connection with the retirement of the Company's $200.0 million principal amount of 3.0% senior unsecured convertible notes due November 2016, the Company converted $9.6 million principal amount into 0.8 million shares of our common stock. Encumbered/Unencumbered Assets —The carrying value of the Company's encumbered and unencumbered assets by asset type are as follows ($ in thousands): As of March 31, 2017 December 31, 2016 Encumbered Assets Unencumbered Assets Encumbered Assets Unencumbered Assets Real estate, net $ 1,005,826 $ 470,765 $ 881,212 $ 610,540 Real estate available and held for sale — 71,934 — 83,764 Land and development, net 35,165 919,985 35,165 910,400 Loans receivable and other lending investments, net (1)(2) 137,293 1,080,448 172,581 1,142,050 Other investments — 197,559 — 214,406 Cash and other assets — 1,212,055 — 639,588 Total $ 1,178,284 $ 3,952,746 $ 1,088,958 $ 3,600,748 _______________________________________________________________________________ (1) As of March 31, 2017 and December 31, 2016 , the amounts presented exclude general reserves for loan losses of $18.4 million and $23.3 million , respectively. (2) As of March 31, 2017 and December 31, 2016 , the amounts presented exclude loan participations of $181.9 million and $159.1 million , respectively. 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 additional indebtedness (except for incurrences of permitted debt), if on a pro forma basis, the Company's consolidated fixed charge coverage ratio, determined in accordance with the indentures governing the Company's debt securities, is 1.5 x or lower. 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. If the Company's ability to incur additional indebtedness under the fixed charge coverage ratio is limited, the Company is permitted to incur indebtedness for the purpose of refinancing existing indebtedness and for other permitted purposes under the indentures. The Company's 2016 Senior Secured Credit Facility and the 2015 Secured 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 2016 Senior Secured Credit Facility requires the Company to maintain collateral coverage of at least 1.25 x outstanding borrowings on the facility. The 2015 Secured 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 Secured 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 1.5 x 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 2016 Senior Secured Credit Facility and the 2015 Secured Revolving Credit Facility permit the Company to distribute 100% of its REIT taxable income on an annual basis (prior to deducting certain cumulative net operating loss ("NOL") carryforwards). The Company may not pay common dividends if it ceases to qualify as a REIT. The Company's 2016 Senior Secured Credit Facility and the 2015 Secured 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 | 3 Months Ended |
Mar. 31, 2017 | |
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 real estate 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 March 31, 2017 , 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 (1) Real Estate Other Investments Total Performance-Based Commitments $ 305,862 $ 9,814 $ 24,059 $ 339,735 Strategic Investments — — 45,564 45,564 Total (2) $ 305,862 $ 9,814 $ 69,623 $ 385,299 _______________________________________________________________________________ (1) Excludes $155.3 million of commitments on loan participations sold that are not the obligation of the Company. (2) The Company did not have any Discretionary Fundings as of March 31, 2017 . 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: Shareholder Action As previously reported, a shareholder action was filed in 2014 in Maryland state court purporting to assert derivative, class and individual claims against the Company, a number of our current and former senior executives (including our chief executive officer) and current and former directors as defendants. The complaint alleged breach of fiduciary duty, breach of contract and other causes of action arising out of compensation awards granted by the Company to our senior executives in December 2008 and modified in July 2011. On October 30, 2014, the Maryland Circuit Court dismissed all of plaintiffs' claims in the action. Plaintiffs appealed and, on January 28, 2016, the Maryland Court of Special Appeals affirmed the order of the Circuit Court. Plaintiffs appealed that decision and, on January 20, 2017, the Maryland Court of Appeals (Maryland’s highest court) issued its opinion affirming the dismissal of all of plaintiffs’ claims against the Company and the other defendants. This matter is concluded. U.S. Home Corporation ("Lennar") v. Settlers Crossing, LLC, et al. (Civil Action No. DKC 08-1863) This litigation involves a dispute over the purchase and sale of approximately 1,250 acres of land in Prince George’s County, Maryland. On January 22, 2015, the United States District Court for the District of Maryland (the District Court) entered a judgment in favor of the Company, as seller, and against Lennar, as purchaser. The District Court found that the Company is entitled to specific performance and awarded damages to the Company in the aggregate amount of: (i) the remaining purchase price to be paid by Lennar of $114.0 million ; plus (ii) simple interest on the unpaid amount at a rate of 12% annually, calculated 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. Lennar appealed the District Court's judgment and posted an appeal bond. On April 12, 2017, the United States Court of Appeals for the Fourth Circuit (the Court of Appeals) affirmed the judgment of the District Court in its entirety. Lennar has filed a petition with the Court of Appeals for rehearing en banc, only with respect to the calculation of interest owed by Lennar on the unpaid purchase price following the date of the judgment of the District Court, which petition is pending. Lennar’s time period to seek review of the Court of Appeals’ decision by the United States Supreme Court has not expired. On April 21, 2017, the Company and Lennar completed settlement of transfer of the land, pursuant to which we conveyed the land to Lennar and received net proceeds of $231.1 million after payment of $6.3 million in documentary transfer taxes, subject to certain holdbacks and subject also to final resolution of the amount of post-judgment interest owed by Lennar, consisting of $114.0 million of sales proceeds, $121.8 million of interest and $1.6 million of real estate tax reimbursements. The amount of attorneys’ fees and costs to be recovered by the Company will be determined through further proceedings before the District Court. A portion of the net proceeds received by the Company has been paid to the third party which holds a 4.3% participation interest in all proceeds received by the Company. On a quarterly basis, the Company evaluates developments in legal proceedings that could require a liability to be accrued and/or disclosed. Based on its current knowledge, and after consultation with legal counsel, the Company believes it is not a party to, nor are any of its properties the subject of, any pending legal proceeding that would have a material adverse effect on the Company's consolidated financial statements. |
Derivatives
Derivatives | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The Company's use of derivative financial instruments is primarily limited to the utilization of interest rate swaps, interest rate caps and foreign exchange contracts. The principal objective of such financial instruments is to minimize the risks and/or costs associated with the Company's operating and financial structure and to manage its exposure to interest rates and foreign exchange rates. Derivatives not designated as hedges are not speculative and are used to manage the Company's exposure to interest rate movements, foreign exchange rate movements, and other identified risks, but may not meet the strict hedge accounting requirements. The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the consolidated balance sheets ($ in thousands): Derivative Assets as of Derivative Liabilities as of March 31, 2017 December 31, 2016 March 31, 2017 December 31, 2016 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 N/A $ — N/A $ — Other Liabilities $ 307 Other Liabilities $ 8 Interest rate swaps Other assets 58 N/A — N/A — Other Liabilities 39 Total $ 58 $ — $ 307 $ 47 Derivatives not Designated in Hedging Relationships Foreign exchange contracts N/A $ — Other Assets $ 702 Other Liabilities $ 264 N/A $ — Interest rate cap Other Assets 71 Other Assets 25 N/A — N/A — Total $ 71 $ 727 $ 264 $ — 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) ($ 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 March 31, 2017 Interest rate swaps Interest Expense 467 (30 ) N/A Interest rate cap Earnings from equity method investments (5 ) (5 ) N/A Interest rate swap Earnings from equity method investments 78 (87 ) N/A Foreign exchange contracts Earnings from equity method investments (299 ) — N/A For the Three Months Ended March 31, 2016 Interest rate cap Interest Expense — (185 ) N/A Interest rate cap Earnings from equity method investments (1 ) — N/A Interest rate swaps Interest Expense (502 ) 25 N/A Interest rate swap Earnings from equity method investments (459 ) (97 ) N/A Foreign exchange contracts Earnings from equity method investments (87 ) — N/A Amount of Gain (Loss) Recognized in Income Location of Gain (Loss) Recognized in Income For the Three Months Ended March 31, Derivatives not Designated in Hedging Relationships 2017 2016 Interest rate cap Other Expense $ 47 $ (803 ) Foreign exchange contracts Other Expense (125 ) (182 ) 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 March 31, 2017 , 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 ₨ 350,000 $ 5,089 April 2017 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 March 31, 2017 , 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 £ in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells euro ("EUR")/Buys USD Forward € 6,300 $ 6,549 April 2017 Sells pound sterling ("GBP")/Buys USD Forward £ 3,400 $ 4,168 April 2017 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 related to foreign investments of $0.1 million during the three months ended March 31, 2017 and 2016 in its consolidated statements of operations. Interest Rate Hedges —For derivatives designated as cash flow hedges, the effective portion of changes in the fair value of the derivatives are reported in Accumulated Other Comprehensive Income (Loss). The ineffective portion of the change in fair value of the derivatives is recognized directly in the Company's consolidated statements of operations. As of March 31, 2017 , the Company had the following outstanding interest rate swap that was used to hedge its variable rate debt that was designated as a cash flow hedge ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate swap $ 26,254 LIBOR + 2.00% 3.47% October 2012 November 2019 During the three months ended March 31, 2017, the Company entered into and settled a rate lock swap in connection with the 2017 Secured Financing. As a result of the settlement, the Company recorded a $0.4 million unrealized gain in “Accumulated other comprehensive income” on the Company’s consolidated balance sheets. The unrealized gain will be amortized from accumulated other comprehensive as a reduction to interest expense over the term of the 2017 Secured Financing. For derivatives not designated as cash flow hedges, the changes in the fair value of the derivatives are reported in the Company's consolidated statements of operations within "Other Expense." As of March 31, 2017 , the Company had the following outstanding interest rate cap that was used to hedge its variable rate debt that was not designated as a cash flow hedge ($ 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 $0.3 million related to 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 in the consolidated financial statements. In connection with its foreign currency derivatives which were in a liability position as of March 31, 2017 and December 31, 2016 , the Company has posted collateral of $1.8 million and $0.4 million , respectively, and 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 March 31, 2017 . |
Equity
Equity | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Equity | Equity Preferred Stock —The Company had the following series of Cumulative Redeemable and Convertible Perpetual Preferred Stock outstanding as of March 31, 2017 and December 31, 2016 : Cumulative Preferential Cash Dividends (1)(2) Series Shares Issued and Outstanding (in thousands) Par Value Liquidation Preference (3)(4) 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 (convertible) 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 $2.0 million , $2.8 million , $2.0 million , $1.5 million and $2.3 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the three months ended March 31, 2017 and 2016 . The Company declared and paid dividends of $2.3 million on its Series J Convertible Perpetual Preferred Stock during the three months ended March 31, 2017 and 2016 . The character of the 2016 dividends were as follows: 47.30% is a capital gain distribution, of which 76.15% represents unrecaptured section 1250 gain and 23.85% long term capital gain, and 52.70% is ordinary income. There are no dividend arrearages on any of the preferred shares currently outstanding. (3) The Company may, at its option, redeem the Series D, E, F, G, and I Preferred Stock, in whole or in part, at any time and from time to time, for cash at a redemption price equal to 100% of the liquidation preference of $25.00 per share, plus accrued and unpaid dividends, if any, to the redemption date. (4) Each share of the Series J Preferred Stock is convertible at the holder's option at any time, initially into 3.9087 shares of the Company's common stock (equal to an initial conversion price of approximately $12.79 per share), subject to specified adjustments. The Company may not redeem the Series J Preferred Stock prior to March 15, 2018. On or after March 15, 2018, the Company may, at its option, redeem the Series J Preferred Stock, in whole or in part, at any time and from time to time, for cash at a redemption price equal to 100% of the liquidation preference of $50.00 per share, plus accrued and unpaid dividends, if any, to the redemption date. Dividends —To maintain its qualification as a REIT, the Company must annually 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 eliminate corporate federal income taxes payable by the REIT. 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, 2015, the Company had $902.9 million of NOL carryforwards at the corporate REIT level that can generally be used to offset both ordinary taxable income and capital gain net income in future years. The NOL carryforwards will expire beginning in 2029 and through 2035 if unused. The amount of NOL carryforwards as of December 31, 2016 will be determined upon finalization of the Company's 2016 tax return. 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 2016 Senior Secured Credit Facility and 2015 Secured 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), as long as the Company maintains its REIT qualification. The 2016 Senior Secured Credit Facility and 2015 Secured 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 three months ended March 31, 2017 and 2016 . Stock Repurchase Program —In February 2016, after having substantially utilized the remaining availability previously authorized, the Company's Board of Directors authorized a new $50.0 million stock repurchase program. After having substantially utilized the availability authorized in February 2016, the Company's Board of Directors authorized an increase to the stock repurchase program to $50.0 million , effective August 4, 2016. 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. During the three months ended March 31, 2017 , the Company did not repurchase any shares of common stock. During the three months ended March 31, 2016 , the Company repurchased 5.8 million shares of its outstanding common stock for $58.1 million , at an average cost of $9.94 per share. As of March 31, 2017 , the Company had remaining authorization to repurchase up to $50.0 million of common stock available to repurchase under its stock repurchase program. Accumulated Other Comprehensive Income (Loss) —"Accumulated other comprehensive income (loss)" reflected in the Company's shareholders' equity is comprised of the following ($ in thousands): As of March 31, 2017 December 31, 2016 Unrealized gains (losses) on available-for-sale securities $ 132 $ 149 Unrealized gains (losses) on cash flow hedges 689 27 Unrealized losses on cumulative translation adjustment (4,795 ) (4,394 ) Accumulated other comprehensive income (loss) $ (3,974 ) $ (4,218 ) |
Stock-Based Compensation Plans
Stock-Based Compensation Plans and Employee Benefits | 3 Months Ended |
Mar. 31, 2017 | |
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, including the effect of performance incentive plans (see below), of $5.9 million and $4.6 million for the three months ended March 31, 2017 and 2016, respectively, in "General and administrative" in the Company's consolidated statements of operations. As of March 31, 2017 , there was $3.0 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 2.1 years. 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. The fair value of points is 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. The following is a summary of granted iPIP points. • In May 2014, the Company granted 73 iPIP points in the initial 2013-2014 investment pool. • In January 2015, the Company granted an additional 10 iPIP points in the 2013-2014 investment pool and 34 iPIP points in the 2015-2016 investment pool. • In January 2016, the Company granted an additional 10 iPIP points in the 2013-2014 investment pool and an additional 40 iPIP points in the 2015-2016 investment pool. • In June 2016, the Company granted an additional 2.5 iPIP points in the 2015-2016 investment pool. • In February 2017, the Company granted an additional 5 iPIP points in the 2013-2014 investment pool, an additional 18 iPIP points in the 2015-2016 investment pool, and 44 iPIP points in the 2017-2018 investment pool. As of March 31, 2017 and December 31, 2016 , the Company had accrued compensation costs relating to iPIP of $28.3 million and $22.4 million , respectively, which are included in "Accounts payable, accrued expenses and other liabilities" on the Company's consolidated balance sheets. Long-Term Incentive Plan —The Company's 2009 Long-Term Incentive Plan (the "2009 LTIP") is designed to provide incentive compensation for officers, key employees, directors and advisors of the Company. The 2009 LTIP provides for awards of stock options, shares of restricted stock, phantom shares, restricted stock units, dividend equivalent rights and other share-based performance awards. All awards under the 2009 LTIP are made at the discretion of the Company's Board of Directors or a committee of the Board of Directors. The Company's shareholders approved the 2009 LTIP in 2009 and approved the performance-based provisions of the 2009 LTIP, as amended, in 2014. As of March 31, 2017 , an aggregate of 3.4 million shares remain available for issuance pursuant to future awards under the Company's 2009 LTIP. Restricted Share Issuances —During the three months ended March 31, 2017 , the Company granted 97,967 shares of common stock to certain employees under the 2009 LTIP as part of annual incentive awards that included a mix of cash and equity awards. The shares are fully-vested and 62,704 shares were issued net of statutory minimum required tax withholdings. The employees are restricted from selling these shares for up to 18 months from the date of grant. 2017 Restricted Stock Unit Activity —During the three months ended March 31, 2017 , the Company granted new stock-based compensation awards to certain employees in the form of long-term incentive awards, comprised of the following: • 115,571 service-based Units granted on February 22, 2017, 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, 2019, 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 March 31, 2017 , 115,571 of such service-based Units were outstanding. As of March 31, 2017 , the Company had the following additional stock-based compensation awards outstanding: • 80,000 service-based Units granted on June 15, 2016, 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 vest in equal annual installments over four years on each anniversary of the grant date, if the employee remains employed by the Company on the vesting date, subject to certain accelerated vesting rights. Upon vesting of these Units, the holder 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. • 109,417 service-based Units granted on January 29, 2016, 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, 2018, 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. • 39,071 target amount of performance-based Units 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 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. • 56,020 service-based Units 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. • 4,751 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 —As of March 31, 2017 , a combined total of 333,384 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 $3.9 million . 401(k) Plan —The Company made gross contributions of $0.6 million for the three months ended March 31, 2017 and 2016. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Earnings per share ("EPS") is calculated using the two-class method, which allocates earnings among common stock and participating securities to calculate EPS when an entity's capital structure includes either two or more classes of common stock or common stock and participating securities. The following table presents a reconciliation of income (loss) from operations used in the basic and diluted EPS calculations ($ in thousands, except for per share data): For the Three Months Ended March 31, 2017 2016 Income (loss) from operations $ (23,990 ) $ (19,757 ) Income from sales of real estate 8,618 10,458 Net (income) loss attributable to noncontrolling interests 1,100 942 Preferred dividends (12,830 ) (12,830 ) Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders and Participating Security Holders for basic and diluted earnings per common share $ (27,102 ) $ (21,187 ) For the Three Months Ended March 31, 2017 2016 Earnings allocable to common shares: Numerator for basic and diluted earnings per share: Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders $ (27,102 ) $ (21,187 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (27,102 ) $ (21,187 ) Denominator for basic and diluted earnings per share: Weighted average common shares outstanding for basic and diluted earnings per common share 72,065 77,060 Basic and diluted earnings per common share: Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders $ (0.38 ) $ (0.27 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.38 ) $ (0.27 ) The following shares were not included in the diluted EPS calculation because they were anti-dilutive (in thousands) (1) : For the Three Months Ended March 31, 2017 2016 3.00% convertible senior unsecured notes — 16,992 Series J convertible perpetual preferred stock 15,635 15,635 1.50% convertible senior unsecured notes — 11,567 Joint venture shares 298 298 _______________________________________________________________________________ (1) For the three months ended March 31, 2017 and 2016 , the effect of the Company's unvested Units, performance-based Units, CSEs and restricted stock awards were anti-dilutive. |
Fair Values
Fair Values | 3 Months Ended |
Mar. 31, 2017 | |
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 March 31, 2017 Recurring basis: Derivative assets (1) $ 129 $ — $ 129 $ — Derivative liabilities (1) 571 — 571 — Available-for-sale securities (1) 21,639 — — 21,639 Non-recurring basis: Impaired real estate (2) 10,141 — — 10,141 As of December 31, 2016 Recurring basis: Derivative assets (1) $ 727 $ — $ 727 $ — Derivative liabilities (1) 47 — 47 — Available-for-sale securities (1) 21,666 — — 21,666 Non-recurring basis: Impaired loans (3) 7,200 — — 7,200 Impaired real estate (4) 3,063 — — 3,063 ____________________________________________________________ (1) The fair value of the Company's derivatives are based upon widely accepted valuation techniques utilized by a third-party specialist using observable inputs such as interest rates and contractual cash flow and are classified as Level 2. The fair value of the Company's available-for-sale securities are based upon unadjusted third-party broker quotes and are classified as Level 3. (2) The Company recorded an impairment on one real estate asset with a fair value of $10.1 million based on a discount rate of 11% using discounted cash flows over a two year sellout period. (3) The Company recorded a provision for loan losses on one loan with a fair value of $5.2 million using an appraisal based on market comparable sales. In addition, the Company recorded a recovery of loan losses on one loan with a fair value of $2.0 million based on proceeds to be received. (4) The Company recorded an impairment on one real estate asset with a fair value of $3.1 million based on a discount rate of 11% using discounted cash flows over a two year sellout period. The following table summarizes changes in Level 3 available-for-sale securities reported at fair value on the Company's consolidated balance sheets for the three months ended March 31, 2017 and 2016 ($ in thousands): 2017 2016 Beginning balance $ 21,666 $ 1,161 Purchases — 4,366 Repayments (10 ) (10 ) Unrealized (losses) gains recorded in other comprehensive income (17 ) 19 Ending balance $ 21,639 $ 5,536 Fair values of financial instruments— The Company's estimated fair values of its loans receivable and other lending investments and outstanding debt was $1.4 billion and $4.2 billion , respectively, as of March 31, 2017 and $1.5 billion and $3.6 billion , respectively, as of December 31, 2016 . The Company determined that the significant inputs used to value its loans receivable and other lending investments and debt obligations fall within Level 3 of the fair value hierarchy. The carrying value of other financial instruments including cash and cash equivalents, restricted cash, accrued interest receivable and accounts payable, approximate the fair values of the instruments. Cash and cash equivalents and restricted cash values are considered Level 1 on the fair value hierarchy. The fair value of other financial instruments, including derivative assets and liabilities, are included in the fair value hierarchy table above. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Company has determined that it has four reportable segments based on how management reviews and manages its business. These reportable segments include: Real Estate Finance, Net Lease, Operating Properties and Land and Development. The Real Estate Finance segment includes all of the Company's activities related to senior and mezzanine real estate loans and real estate related securities. The Net Lease segment includes the Company's activities and operations related to the ownership of properties generally leased to single corporate tenants. The Operating Properties segment includes the Company's activities and operations related to its commercial and residential properties. The Land and Development segment includes the Company's activities related to its developable land portfolio. The Company evaluates performance based on the following financial measures for each segment. The Company's segment information is as follows ($ in thousands): Real Estate Finance Net Lease Operating Properties Land and Development Corporate/Other (1) Company Total Three Months Ended March 31, 2017: Operating lease income $ — $ 36,496 $ 15,989 $ 106 $ — $ 52,591 Interest income 29,058 — — — — 29,058 Other income 76 506 10,355 386 541 11,864 Land development revenue — — — 20,050 — 20,050 Earnings (loss) from equity method investments — 981 632 3,842 247 5,702 Income from sales of real estate — 6,720 1,898 — — 8,618 Total revenue and other earnings 29,134 44,703 28,874 24,384 788 127,883 Real estate expense — (4,726 ) (21,518 ) (9,497 ) — (35,741 ) Land development cost of sales — — — (15,910 ) — (15,910 ) Other expense (605 ) — — — (1,264 ) (1,869 ) Allocated interest expense (11,888 ) (15,783 ) (5,606 ) (8,118 ) (9,798 ) (51,193 ) Allocated general and administrative (2) (3,596 ) (4,642 ) (1,755 ) (3,926 ) (5,373 ) (19,292 ) Segment profit (loss) (3) $ 13,045 $ 19,552 $ (5 ) $ (13,067 ) $ (15,647 ) $ 3,878 Other significant items: Recovery of loan losses $ (4,928 ) $ — $ — $ — $ — $ (4,928 ) Impairment of assets — — 4,413 — — 4,413 Depreciation and amortization — 8,428 4,039 270 330 13,067 Capitalized expenditures — 771 8,210 26,592 — 35,573 Three Months Ended March 31, 2016: Operating lease income $ — $ 35,750 $ 19,081 $ 106 $ — $ 54,937 Interest income 33,219 — — — — 33,219 Other income 1,297 80 7,344 1,065 1,755 11,541 Land development revenue — — — 14,947 — 14,947 Earnings (loss) from equity method investments — 946 (142 ) 6,661 802 8,267 Income from sales of real estate — 4,928 5,530 — — 10,458 Total revenue and other earnings 34,516 41,704 31,813 22,779 2,557 133,369 Real estate expense — (4,508 ) (21,120 ) (8,677 ) — (34,305 ) Land development cost of sales — — — (11,575 ) — (11,575 ) Other expense 86 — — — (826 ) (740 ) Allocated interest expense (14,702 ) (16,236 ) (6,620 ) (8,359 ) (11,104 ) (57,021 ) Allocated general and administrative (2) (3,831 ) (4,296 ) (1,870 ) (3,270 ) (5,258 ) (18,525 ) Segment profit (loss) (3) $ 16,069 $ 16,664 $ 2,203 $ (9,102 ) $ (14,631 ) $ 11,203 Other significant items: Provision for loan losses $ 1,506 $ — $ — $ — $ — $ 1,506 Depreciation and amortization — 8,851 5,283 300 274 14,708 Capitalized expenditures — 851 15,797 34,268 — 50,916 Real Estate Finance Net Lease Operating Properties Land and Development Corporate/Other (1) Company Total As of March 31, 2017 Real estate Real estate, net $ — $ 998,314 $ 478,277 $ — $ — $ 1,476,591 Real estate available and held for sale — — 71,934 — — 71,934 Total real estate — 998,314 550,211 — — 1,548,525 Land and development, net — — — 955,150 — 955,150 Loans receivable and other lending investments, net 1,381,227 — — — — 1,381,227 Other investments — 92,024 3,215 69,454 32,866 197,559 Total portfolio assets $ 1,381,227 $ 1,090,338 $ 553,426 $ 1,024,604 $ 32,866 4,082,461 Cash and other assets 1,212,055 Total assets $ 5,294,516 As of December 31, 2016 Real estate Real estate, net $ — $ 1,015,590 $ 476,162 $ — $ — $ 1,491,752 Real estate available and held for sale — 1,284 82,480 — — 83,764 Total real estate — 1,016,874 558,642 — — 1,575,516 Land and development, net — — — 945,565 — 945,565 Loans receivable and other lending investments, net 1,450,439 — — — — 1,450,439 Other investments — 92,669 3,583 84,804 33,350 214,406 Total portfolio assets $ 1,450,439 $ 1,109,543 $ 562,225 $ 1,030,369 $ 33,350 4,185,926 Cash and other assets 639,588 Total assets $ 4,825,514 _______________________________________________________________________________ (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 $5.9 million and $4.6 million for the three months ended March 31, 2017 and 2016. respectively. (3) The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended March 31, 2017 2016 Segment profit $ 3,878 $ 11,203 Less: Recovery of (provision for) loan losses 4,928 (1,506 ) Less: Impairment of assets (4,413 ) — Less: Stock-based compensation expense (5,881 ) (4,577 ) Less: Depreciation and amortization (13,067 ) (14,708 ) Less: Income tax (expense) benefit (607 ) 414 Less: Loss on early extinguishment of debt, net (210 ) (125 ) Net income (loss) $ (15,372 ) $ (9,299 ) |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On April 12, 2017, the Company repaid in full the $275.0 million principal amount of 9.00% senior unsecured notes due June 2017 at par. In connection with the repayment prior to maturity, the Company paid a $2.75 million make whole premium. On April 14, 2017, two institutional investors acquired, through a merger and related transactions, a 51% interest in the Company's ground net lease business, a component of the Company's net lease segment, consisting of 12 properties subject to long-term net leases including seven ground net leases and one master lease (covering five properties). The Company will deconsolidate the 12 properties and own a 49% noncontrolling interest in the new entity and account for its investment in the new entity as an equity method investment. The Company received total consideration of $340.0 million , including the venture's assumption of the $227.0 million 2017 Secured Financing. The Company had a carrying value of approximately $156.0 million in the 12 properties and will recognize an approximate gain of $178.0 million in connection with the sale. The new entity, named Safety, Income and Growth, Inc., has filed a registration statement on Form S-11 for a possible initial public offering ("IPO") and the Company has committed to pay up to $25.0 million in offering costs in connection with an IPO. On April 21, 2017, the Company and Lennar completed settlement of transfer of the land, pursuant to which we conveyed the land to Lennar and received net proceeds of $231.1 million after payment of $6.3 million in documentary transfer taxes, subject to certain holdbacks and subject also to final resolution of the amount of post-judgment interest owed by Lennar, consisting of $114.0 million of sales proceeds, $121.8 million of interest and $1.6 million of real estate tax reimbursements. The amount of attorneys’ fees and costs to be recovered by the Company will be determined through further proceedings before the District Court. A portion of the net proceeds received by the Company has been paid to the third party which holds a 4.3% participation interest in all proceeds received by the Company. |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | On January 1, 2017, the Company adopted Accounting Standards Update ("ASU") 2016-09, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting ("ASU 2016-09") which was issued to simplify several aspects of the accounting for share-based payment transactions, including income tax, classification of awards as either equity or liabilities and classification on the statement of cash flows. The adoption of ASU 2016-09 did not have a material impact on the Company's consolidated financial statements. As of March 31, 2017 , the remainder of the Company's significant accounting policies, which are detailed in the Company's 2016 Annual Report, have not changed materially. New Accounting Pronouncements — In February 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-05, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets ("ASU 2017-05") to clarify the scope of Subtopic 610-20, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets, and to add guidance for partial sales of nonfinancial assets. The amendments in ASU 2017-05 simplify GAAP by eliminating several accounting differences between transactions involving assets and transactions involving businesses. The amendments in ASU 2017-05 require an entity to initially measure a retained noncontrolling interest in a nonfinancial asset at fair value consistent with how a retained noncontrolling interest in a business is measured. Also, if an entity transfers ownership interests in a consolidated subsidiary that is within the scope of ASC 610-20 and continues to have a controlling financial interest in that subsidiary, ASU 2017-05 requires the entity to account for the transaction as an equity transaction, which is consistent with how changes in ownership interests in a consolidated subsidiary that is a business are recorded when a parent retains a controlling financial interest in the business. ASU 2017-05 is 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. In January 2017, the FASB issued ASU 2017-01, Business Combinations: Clarifying the Definition of a Business ("ASU 2017-01") to provide a more robust framework to use in determining when a set of assets and activities is a business. The amendments provide more consistency in applying the guidance, reduce the costs of application, and make the definition of a business more operable. The Company's real estate acquisitions have historically been accounted for as a business combination or an asset acquisition. Under ASU 2017-01, certain transactions previously accounted for as business combinations under the existing guidance would be accounted for as asset acquisitions under the new guidance. As a result, the Company expects more transaction costs to be capitalized under real estate acquisitions and less transaction costs to be expensed under business combinations. ASU 2017-01 is effective for interim and annual reporting periods beginning after December 15, 2017. Early application is permitted under certain conditions. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows: Restricted Cash ("ASU 2016-18") which requires that restricted cash be included with cash and cash equivalents when reconciling beginning and ending cash and cash equivalents on the statement of cash flows. In addition, ASU 2016-18 requires disclosure of what is included in restricted cash. ASU 2016-18 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In August 2016 , the FASB issued ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15") which was issued to reduce diversity in practice in how certain cash receipts and cash payments, including debt prepayment or debt extinguishment costs, distributions from equity method investees, and other separately identifiable cash flows, are presented and classified in the statement of cash flows. ASU 2016-15 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In June 2016 , the FASB issued ASU 2016-13, Financial Instruments—Credit Losses: Measurement of Credit Losses on Financial Instruments ("ASU 2016-13") which was issued to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments held by a reporting entity. This amendment replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The Company currently records a general reserve that covers performing loans and reserves for loan losses are recorded when (i) available information as of each balance sheet date indicates that it is probable a loss has occurred in the portfolio and (ii) the amount of the loss can be reasonably estimated. The formula-based general reserve is derived from estimated principal default probabilities and loss severities applied to groups of loans based upon risk ratings assigned to loans with similar risk characteristics during our quarterly loan portfolio assessment. The Company estimates loss rates based on historical realized losses experienced within its portfolio and take into account current economic conditions affecting the commercial real estate market when establishing appropriate time frames to evaluate loss experience. The Company believes this general reserve component of its total loan loss reserves should minimize the impact of ASU 2016-13. ASU 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. Management does not believe the guidance will have a material impact on the Company's consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases ("ASU 2016-02"), which requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases. For operating leases, a lessee will be required to do the following: (i) recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the statement of financial position; (ii) recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis and (iii) classify all cash payments within operating activities in the statement of cash flows. For operating lease arrangements for which the Company is the lessee, primarily the lease of office space, the Company expects the impact of ASU 2016-02 to be the recognition of a right-of-use asset and lease liability on its consolidated balance sheets. The accounting applied by the Company as a lessor will be largely unchanged from that applied under previous GAAP. However, in certain instances, a new long-term lease of land subsequent to adoption could be classified as a sales-type lease, which could result in the Company derecognizing the underlying asset from its books and recording a profit or loss on sale and the net investment in the lease. ASU 2016-02 is effective for interim and annual reporting periods beginning after December 15, 2018. Early adoption is permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"), which addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU 2016-01 is effective for interim and annual reporting periods beginning after December 15, 2017. Early adoption is not permitted. Management is evaluating the impact of the guidance on the Company's consolidated financial statements. In May 2014, the 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. Although most of the Company's revenue is operating lease income generated from lease contracts and interest income generated from financial instruments, certain other of the Company's revenue streams will be impacted by the new guidance. The Company currently expects that income from sales of real estate, land development revenue and other income will be impacted by ASU 2014-09. 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 (Tables)
Real Estate (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Real Estate [Abstract] | |
Schedule of real estate assets | The Company's real estate assets were comprised of the following ($ in thousands): Net Lease (1) Operating Properties Total As of March 31, 2017 Land, at cost $ 271,433 $ 211,054 $ 482,487 Buildings and improvements, at cost 1,097,049 316,726 1,413,775 Less: accumulated depreciation (370,168 ) (49,503 ) (419,671 ) Real estate, net 998,314 478,277 1,476,591 Real estate available and held for sale (2) — 71,934 71,934 Total real estate $ 998,314 $ 550,211 $ 1,548,525 As of December 31, 2016 Land, at cost $ 272,666 $ 211,054 $ 483,720 Buildings and improvements, at cost 1,111,589 311,283 1,422,872 Less: accumulated depreciation (368,665 ) (46,175 ) (414,840 ) Real estate, net 1,015,590 476,162 1,491,752 Real estate available and held for sale (2) 1,284 82,480 83,764 Total real estate $ 1,016,874 $ 558,642 $ 1,575,516 _______________________________________________________________________________ (1) In 2014, the Company partnered with a sovereign wealth fund to form a venture to acquire and develop net lease assets (the "Net Lease Venture") and gave a right of first refusal to the Net Lease Venture on all new net lease investments (refer to Note 7 for more information on the Net Lease Venture). The Company is responsible for sourcing new opportunities and managing the Net Lease Venture and its assets in exchange for a promote and management fee. (2) As of March 31, 2017 and December 31, 2016 , the Company had $71.9 million and $82.5 million , respectively, of residential properties available for sale in its operating properties portfolio. |
Land and Development (Tables)
Land and Development (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Land and development [Abstract] | |
Land and land development assets | The Company's land and development assets were comprised of the following ($ in thousands): As of March 31, December 31, 2017 2016 Land and land development, at cost $ 961,907 $ 952,051 Less: accumulated depreciation (6,757 ) (6,486 ) Total land and development, net $ 955,150 $ 945,565 |
Loans Receivable and Other Le31
Loans Receivable and Other Lending Investments, net (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 March 31, December 31, Senior mortgages $ 834,795 $ 940,738 Corporate/Partnership loans 519,198 490,389 Subordinate mortgages 25,242 24,941 Total gross carrying value of loans 1,379,235 1,456,068 Reserves for loan losses (79,389 ) (85,545 ) Total loans receivable, net 1,299,846 1,370,523 Other lending investments—securities 81,381 79,916 Total loans receivable and other lending investments, net $ 1,381,227 $ 1,450,439 |
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 March 31, 2017 2016 Reserve for loan losses at beginning of period $ 85,545 $ 108,165 (Recovery of) provision for loan losses (4,928 ) 1,506 Charge-offs (1,228 ) — Reserve for loan losses at end of period $ 79,389 $ 109,671 |
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 March 31, 2017 Loans $ 250,801 $ 1,135,134 $ 1,385,935 Less: Reserve for loan losses (60,989 ) (18,400 ) (79,389 ) Total (3) $ 189,812 $ 1,116,734 $ 1,306,546 As of December 31, 2016 Loans $ 253,941 $ 1,209,062 $ 1,463,003 Less: Reserve for loan losses (62,245 ) (23,300 ) (85,545 ) Total (3) $ 191,696 $ 1,185,762 $ 1,377,458 _______________________________________________________________________________ (1) The carrying value of these loans include unamortized discounts, premiums, deferred fees and costs totaling net discounts of $0.7 million and $0.4 million as of March 31, 2017 and December 31, 2016 , 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 totaling net premiums of $2.9 million and $1.9 million as of March 31, 2017 and December 31, 2016 , respectively. (3) The Company's recorded investment in loans as of March 31, 2017 and December 31, 2016 includes accrued interest of $6.7 million and $6.9 million , respectively, which are included in "Accrued interest and operating lease income receivable, net" on the Company's consolidated balance sheets. As of March 31, 2017 and December 31, 2016 , excludes $81.4 million and $79.9 million , respectively, of securities that are evaluated for impairment under ASC 320. |
Schedule of investment in performing loans, presented by class and by credit quality, as indicated by risk rating | The Company's recorded investment in performing loans, presented by class and by credit quality, as indicated by risk rating, was as follows ($ in thousands): As of March 31, 2017 As of December 31, 2016 Performing Loans Weighted Average Risk Ratings Performing Loans Weighted Average Risk Ratings Senior mortgages $ 756,720 2.31 $ 859,250 3.12 Corporate/Partnership loans 364,159 3.06 335,677 3.09 Subordinate mortgages 14,255 2.46 14,135 3.00 Total $ 1,135,134 2.55 $ 1,209,062 3.11 |
Schedule of recorded investment in loans, aged by payment status and presented by class | 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 As of March 31, 2017 Senior mortgages $ 762,720 $ — $ 76,454 $ 76,454 $ 839,174 Corporate/Partnership loans 364,159 — 157,303 157,303 521,462 Subordinate mortgages 25,299 — — — 25,299 Total $ 1,152,178 $ — $ 233,757 $ 233,757 $ 1,385,935 As of December 31, 2016 Senior mortgages $ 868,505 $ — $ 76,677 $ 76,677 $ 945,182 Corporate/Partnership loans 335,677 — 157,146 157,146 492,823 Subordinate mortgages 24,998 — — — 24,998 Total $ 1,229,180 $ — $ 233,823 $ 233,823 $ 1,463,003 _______________________________________________________________________________ (1) As of March 31, 2017 , 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 8.0 years outstanding. As of December 31, 2016, 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 8.0 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 March 31, 2017 As of December 31, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Subordinate mortgages $ 11,044 $ 11,027 $ — $ 10,862 $ 10,846 $ — Subtotal 11,044 11,027 — 10,862 10,846 — With an allowance recorded: Senior mortgages 82,454 82,571 (48,518 ) 85,933 85,780 (49,774 ) Corporate/Partnership loans 157,303 146,783 (12,471 ) 157,146 146,783 (12,471 ) Subtotal 239,757 229,354 (60,989 ) 243,079 232,563 (62,245 ) Total: Senior mortgages 82,454 82,571 (48,518 ) 85,933 85,780 (49,774 ) Corporate/Partnership loans 157,303 146,783 (12,471 ) 157,146 146,783 (12,471 ) Subordinate mortgages 11,044 11,027 — 10,862 10,846 — Total $ 250,801 $ 240,381 $ (60,989 ) $ 253,941 $ 243,409 $ (62,245 ) ____________________________________________________________ (1) All of the Company's non-accrual loans are considered impaired and included in the table above. |
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 March 31, 2017 2016 Average Interest Average Interest With no related allowance recorded: Senior mortgages $ — $ — $ 4,542 $ — Subordinate mortgages 10,953 — — — Subtotal 10,953 — 4,542 — With an allowance recorded: Senior mortgages 84,194 — 126,843 — Corporate/Partnership loans 157,224 — 5,571 — Subtotal 241,418 — 132,414 — Total: Senior mortgages 84,194 — 131,385 — Corporate/Partnership loans 157,224 — 5,571 — Subordinate mortgages 10,953 — — — Total $ 252,371 $ — $ 136,956 $ — |
Schedule of other lending investments - 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 March 31, 2017 Available-for-Sale Securities Municipal debt securities $ 21,230 $ 21,230 $ 409 $ 21,639 $ 21,639 Held-to-Maturity Securities Debt securities 59,867 59,742 2,321 62,063 59,742 Total $ 81,097 $ 80,972 $ 2,730 $ 83,702 $ 81,381 As of December 31, 2016 Available-for-Sale Securities Municipal debt securities $ 21,240 $ 21,240 $ 426 $ 21,666 $ 21,666 Held-to-Maturity Securities Debt securities 58,454 58,250 2,753 61,003 58,250 Total $ 79,694 $ 79,490 $ 3,179 $ 82,669 $ 79,916 |
Other Investments (Tables)
Other Investments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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): Equity in Earnings (Losses) Carrying Value as of For the Three Months Ended March 31, March 31, 2017 December 31, 2016 2017 2016 Real estate equity investments iStar Net Lease I LLC ("Net Lease Venture") $ 92,024 $ 92,669 $ 981 $ 946 Marina Palms, LLC ("Marina Palms") 19,439 35,185 3,117 8,221 Other real estate equity investments 53,230 53,202 1,357 (1,702 ) Subtotal 164,693 181,056 5,455 7,465 Other strategic investments (1) 32,866 33,350 247 802 Total $ 197,559 $ 214,406 $ 5,702 $ 8,267 _______________________________________________________________________________ (1) 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 months ended March 31, 2016, the Company recognized $3.2 million of carried interest income. |
Summarized investee financial information | The following table presents the investee level summarized financial information of the Company's equity method investments, which were significant subsidiaries for the three months ended March 31, 2017 and 2016 ($ in thousands): Revenues Expenses Net Income Attributable to Parent Entities For the Three Months Ended March 31, 2017 Marina Palms $ 23,669 $ (14,911 ) $ 8,758 Net Lease Venture 9,621 (7,588 ) 1,890 For the Three Months Ended March 31, 2016 Marina Palms $ 50,628 $ (25,511 ) $ 25,117 Net Lease Venture 7,830 (5,863 ) 1,823 |
Other Assets and Other Liabil33
Other Assets and Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 March 31, 2017 December 31, 2016 Intangible assets, net (1) $ 61,723 $ 63,098 Other receivables (2) 51,047 52,820 Other assets 47,877 39,591 Restricted cash 26,290 25,883 Leasing costs, net (3) 11,812 12,566 Corporate furniture, fixtures and equipment, net (4) 5,399 5,691 Deferred expenses and other assets, net $ 204,148 $ 199,649 _______________________________________________________________________________ (1) Intangible assets, net includes above market and in-place lease assets and lease incentives related to the acquisition of real estate assets. Accumulated amortization on intangible assets, net was $33.2 million and $32.6 million as of March 31, 2017 and December 31, 2016 , respectively. The amortization of above market leases and lease incentive assets decreased operating lease income in the Company's consolidated statements of operations by $0.9 million and $1.2 million for the three months ended March 31, 2017 and 2016, respectively. These intangible lease assets are amortized over the term of the lease. The amortization expense for in-place leases was $0.5 million for the three months ended March 31, 2017 and 2016. These amounts are included in "Depreciation and amortization" in the Company's consolidated statements of operations. (2) As of March 31, 2017 and December 31, 2016 , included $25.8 million and $26.0 million , respectively, of receivables related to the construction and development of an amphitheater. (3) Accumulated amortization of leasing costs was $6.4 million and $6.7 million as of March 31, 2017 and December 31, 2016 , respectively. (4) Accumulated depreciation on corporate furniture, fixtures and equipment was $9.5 million and $9.0 million as of March 31, 2017 and December 31, 2016 , respectively. |
Schedule of accounts payable, accrued expenses and other liabilities | Accounts payable, accrued expenses and other liabilities consist of the following items ($ in thousands): As of March 31, 2017 December 31, 2016 Other liabilities (1) $ 79,398 $ 75,993 Accrued expenses (2) 62,139 72,693 Accrued interest payable 41,901 54,033 Intangible liabilities, net (3) 8,602 8,851 Accounts payable, accrued expenses and other liabilities $ 192,040 $ 211,570 _______________________________________________________________________________ (1) As of March 31, 2017 and December 31, 2016 , "Other liabilities" includes $24.0 million related to profit sharing arrangements with developers for certain properties sold. As of March 31, 2017 and December 31, 2016 , includes $1.4 million and $1.2 million , respectively, associated with "Real estate available and held for sale" on the Company's consolidated balance sheets. As of March 31, 2017 and December 31, 2016 , "Other liabilities" also includes $7.8 million and $8.5 million , respectively, related to tax increment financing bonds which were issued by government entities to fund development within two of the Company's land projects. The amount represents tax assessments associated with each project, which will decrease as the Company sells units. (2) As of March 31, 2017 and December 31, 2016 , accrued expenses includes $2.4 million and $1.7 million , respectively, associated with "Real estate available and held for sale" on the Company's consolidated balance sheets. (3) Intangible liabilities, net includes below market lease liabilities related to the acquisition of real estate assets. Accumulated amortization on below market leases was $6.7 million and $6.4 million as of March 31, 2017 and December 31, 2016 , respectively. The amortization of below market leases increased operating lease income in the Company's consolidated statements of operations by $0.3 million for the three months ended March 31, 2017 and 2016. |
Schedule of deferred tax assets and liabilities | Deferred tax assets and liabilities of the Company's taxable REIT subsidiaries were as follows ($ in thousands): As of March 31, 2017 December 31, 2016 Deferred tax assets (liabilities) $ 70,806 $ 66,498 Valuation allowance (70,806 ) (66,498 ) Net deferred tax assets (liabilities) $ — $ — |
Loan Participations Payable, 34
Loan Participations Payable, net (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Loan Participations Payable [Abstract] | |
Schedule of Participating Mortgage Loans | The Company's loan participations payable, net were as follows ($ in thousands): Carrying Value as of March 31, 2017 December 31, 2016 Loan participations payable (1) $ 182,853 $ 160,251 Debt discounts and deferred financing costs, net (766 ) (930 ) Total loan participations payable, net $ 182,087 $ 159,321 _______________________________________________________________________________ (1) As of March 31, 2017 , the Company had three loan participations payable with a weighted average interest rate of 5.2% . As of December 31, 2016, the Company had three loan participations payable with a weighted average interest rate of 4.8% . |
Debt Obligations, net (Tables)
Debt Obligations, net (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of debt obligations | The Company's debt obligations were as follows ($ in thousands): Carrying Value as of Stated Interest Rates Scheduled Maturity Date March 31, 2017 December 31, 2016 Secured credit facilities and mortgages: 2015 $250 Million Secured Revolving Credit Facility $ — $ — LIBOR + 2.75% (1) March 2018 2016 Senior Secured Credit Facility 500,000 498,648 LIBOR + 3.75% (2) July 2020 2017 Secured Financing 227,000 — 3.795 % (3) April 2027 Mortgages collateralized by net lease assets 247,535 249,987 3.875% - 7.26% (4) Various through 2032 Total secured credit facilities and mortgages 974,535 748,635 Unsecured notes: 5.85% senior notes — 99,722 5.85 % — 9.00% senior notes 275,000 275,000 9.00 % June 2017 4.00% senior notes (5) 550,000 550,000 4.00 % November 2017 7.125% senior notes 300,000 300,000 7.125 % February 2018 4.875% senior notes (6) 300,000 300,000 4.875 % July 2018 5.00% senior notes (7) 770,000 770,000 5.00 % July 2019 6.50% senior notes (8) 275,000 275,000 6.50 % July 2021 6.00% senior notes (9) 375,000 — 6.00 % April 2022 Total unsecured notes 2,845,000 2,569,722 Other debt obligations: Trust preferred securities 100,000 100,000 LIBOR + 1.50% October 2035 Total debt obligations 3,919,535 3,418,357 Debt discounts and deferred financing costs, net (37,140 ) (28,449 ) Total debt obligations, net (10) $ 3,882,395 $ 3,389,908 _______________________________________________________________________________ (1) 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 1.0% 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. (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 1.0% and subject to a margin of 2.75% or (ii) LIBOR subject to a margin of 3.75% with a minimum LIBOR rate of 1.0% . (3) The Company entered into a $200 million notional rate lock swap, bringing the effective interest rate down from 3.795% to 3.773% . (4) As of March 31, 2017 and December 31, 2016 , includes a loan with a floating rate of LIBOR plus 2.0% . As of March 31, 2017 , the weighted average interest rate of these loans is 5.1% . (5) The Company can prepay these senior notes without penalty beginning August 1, 2017. (6) The Company can prepay these senior notes without penalty beginning January 1, 2018. (7) The Company can prepay these senior notes without penalty beginning July 1, 2018. (8) The Company can prepay these senior notes without penalty beginning July 1, 2020. (9) The Company can prepay these senior notes without penalty beginning April 1, 2021. (10) The Company capitalized interest relating to development activities of $2.0 million and $1.4 million during the three months ended March 31, 2017 and 2016, respectively. |
Schedule of future scheduled maturities of outstanding long-term debt obligations, net | As of March 31, 2017 , future scheduled maturities of outstanding debt obligations are as follows ($ in thousands): Unsecured Debt Secured Debt Total 2017 (remaining nine months) $ 825,000 $ — $ 825,000 2018 600,000 10,648 610,648 2019 770,000 28,770 798,770 2020 — 500,000 500,000 2021 275,000 119,072 394,072 Thereafter 475,000 316,045 791,045 Total principal maturities 2,945,000 974,535 3,919,535 Unamortized discounts and deferred financing costs, net (21,148 ) (15,992 ) (37,140 ) Total debt obligations, net $ 2,923,852 $ 958,543 $ 3,882,395 _____________________________________________________________________________ (1) The Company has $825.0 million of debt obligations maturing in two separate tranches during 2017, and $310.6 million of other debt obligations maturing before the end of May 2018, as listed in the debt obligations table above. The Company's plans to satisfy these obligations primarily consist of accessing the debt and/or equity markets to obtain capital to satisfy the maturing obligations. In addition, management intends to execute on its business strategy of disposing of assets and selling interests in business lines as well as collecting loan repayments from borrowers to further generate available liquidity. Should these sources of capital not be sufficiently available, the Company will slow its pace of making new investments and will need to identify alternative sources of capital. As of May 3, 2017 , the Company had approximately $1.2 billion of cash and available capacity under existing borrowing arrangements. |
Schedule of carrying value of encumbered assets by asset type | The carrying value of the Company's encumbered and unencumbered assets by asset type are as follows ($ in thousands): As of March 31, 2017 December 31, 2016 Encumbered Assets Unencumbered Assets Encumbered Assets Unencumbered Assets Real estate, net $ 1,005,826 $ 470,765 $ 881,212 $ 610,540 Real estate available and held for sale — 71,934 — 83,764 Land and development, net 35,165 919,985 35,165 910,400 Loans receivable and other lending investments, net (1)(2) 137,293 1,080,448 172,581 1,142,050 Other investments — 197,559 — 214,406 Cash and other assets — 1,212,055 — 639,588 Total $ 1,178,284 $ 3,952,746 $ 1,088,958 $ 3,600,748 _______________________________________________________________________________ (1) As of March 31, 2017 and December 31, 2016 , the amounts presented exclude general reserves for loan losses of $18.4 million and $23.3 million , respectively. (2) As of March 31, 2017 and December 31, 2016 , the amounts presented exclude loan participations of $181.9 million and $159.1 million , respectively. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of unfunded commitments | As of March 31, 2017 , the maximum amount of fundings the Company may be required to make under each category, assuming all performance hurdles and milestones are met under the Performance-Based Commitments, that it approves all Discretionary Fundings and that 100% of its capital committed to Strategic Investments is drawn down, are as follows ($ in thousands): Loans and Other Lending Investments (1) Real Estate Other Investments Total Performance-Based Commitments $ 305,862 $ 9,814 $ 24,059 $ 339,735 Strategic Investments — — 45,564 45,564 Total (2) $ 305,862 $ 9,814 $ 69,623 $ 385,299 _______________________________________________________________________________ (1) Excludes $155.3 million of commitments on loan participations sold that are not the obligation of the Company. (2) The Company did not have any Discretionary Fundings as of March 31, 2017 . |
Derivatives (Tables)
Derivatives (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of fair value of derivative financial instruments as well as their classification on Consolidated Balance Sheets | The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the consolidated balance sheets ($ in thousands): Derivative Assets as of Derivative Liabilities as of March 31, 2017 December 31, 2016 March 31, 2017 December 31, 2016 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 N/A $ — N/A $ — Other Liabilities $ 307 Other Liabilities $ 8 Interest rate swaps Other assets 58 N/A — N/A — Other Liabilities 39 Total $ 58 $ — $ 307 $ 47 Derivatives not Designated in Hedging Relationships Foreign exchange contracts N/A $ — Other Assets $ 702 Other Liabilities $ 264 N/A $ — Interest rate cap Other Assets 71 Other Assets 25 N/A — N/A — Total $ 71 $ 727 $ 264 $ — |
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) ($ 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 March 31, 2017 Interest rate swaps Interest Expense 467 (30 ) N/A Interest rate cap Earnings from equity method investments (5 ) (5 ) N/A Interest rate swap Earnings from equity method investments 78 (87 ) N/A Foreign exchange contracts Earnings from equity method investments (299 ) — N/A For the Three Months Ended March 31, 2016 Interest rate cap Interest Expense — (185 ) N/A Interest rate cap Earnings from equity method investments (1 ) — N/A Interest rate swaps Interest Expense (502 ) 25 N/A Interest rate swap Earnings from equity method investments (459 ) (97 ) N/A Foreign exchange contracts Earnings from equity method investments (87 ) — N/A Amount of Gain (Loss) Recognized in Income Location of Gain (Loss) Recognized in Income For the Three Months Ended March 31, Derivatives not Designated in Hedging Relationships 2017 2016 Interest rate cap Other Expense $ 47 $ (803 ) Foreign exchange contracts Other Expense (125 ) (182 ) |
Foreign exchange contracts | Designated as hedge | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of March 31, 2017 , 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 ₨ 350,000 $ 5,089 April 2017 |
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 March 31, 2017 , 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 £ in thousands): Derivative Type Notional Amount Notional (USD Equivalent) Maturity Sells euro ("EUR")/Buys USD Forward € 6,300 $ 6,549 April 2017 Sells pound sterling ("GBP")/Buys USD Forward £ 3,400 $ 4,168 April 2017 |
Interest rate swap | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of March 31, 2017 , the Company had the following outstanding interest rate swap that was used to hedge its variable rate debt that was designated as a cash flow hedge ($ in thousands): Derivative Type Notional Amount Variable Rate Fixed Rate Effective Date Maturity Interest rate swap $ 26,254 LIBOR + 2.00% 3.47% October 2012 November 2019 |
Interest rate cap | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of notional amounts of outstanding derivative positions | As of March 31, 2017 , the Company had the following outstanding interest rate cap that was used to hedge its variable rate debt that was not designated as a cash flow hedge ($ 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 |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Schedule of cumulative redeemable and convertible perpetual preferred stock outstanding by series | The Company had the following series of Cumulative Redeemable and Convertible Perpetual Preferred Stock outstanding as of March 31, 2017 and December 31, 2016 : Cumulative Preferential Cash Dividends (1)(2) Series Shares Issued and Outstanding (in thousands) Par Value Liquidation Preference (3)(4) 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 (convertible) 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 $2.0 million , $2.8 million , $2.0 million , $1.5 million and $2.3 million on its Series D, E, F, G and I Cumulative Redeemable Preferred Stock during the three months ended March 31, 2017 and 2016 . The Company declared and paid dividends of $2.3 million on its Series J Convertible Perpetual Preferred Stock during the three months ended March 31, 2017 and 2016 . The character of the 2016 dividends were as follows: 47.30% is a capital gain distribution, of which 76.15% represents unrecaptured section 1250 gain and 23.85% long term capital gain, and 52.70% is ordinary income. There are no dividend arrearages on any of the preferred shares currently outstanding. (3) The Company may, at its option, redeem the Series D, E, F, G, and I Preferred Stock, in whole or in part, at any time and from time to time, for cash at a redemption price equal to 100% of the liquidation preference of $25.00 per share, plus accrued and unpaid dividends, if any, to the redemption date. (4) Each share of the Series J Preferred Stock is convertible at the holder's option at any time, initially into 3.9087 shares of the Company's common stock (equal to an initial conversion price of approximately $12.79 per share), subject to specified adjustments. The Company may not redeem the Series J Preferred Stock prior to March 15, 2018. On or after March 15, 2018, the Company may, at its option, redeem the Series J Preferred Stock, in whole or in part, at any time and from time to time, for cash at a redemption price equal to 100% of the liquidation preference of $50.00 per share, plus accrued and unpaid dividends, if any, to the redemption date. |
Accumulated other comprehensive income (loss) reflected in the Company's shareholders' equity | "Accumulated other comprehensive income (loss)" reflected in the Company's shareholders' equity is comprised of the following ($ in thousands): As of March 31, 2017 December 31, 2016 Unrealized gains (losses) on available-for-sale securities $ 132 $ 149 Unrealized gains (losses) on cash flow hedges 689 27 Unrealized losses on cumulative translation adjustment (4,795 ) (4,394 ) Accumulated other comprehensive income (loss) $ (3,974 ) $ (4,218 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 operations used in the basic and diluted EPS calculations ($ in thousands, except for per share data): For the Three Months Ended March 31, 2017 2016 Income (loss) from operations $ (23,990 ) $ (19,757 ) Income from sales of real estate 8,618 10,458 Net (income) loss attributable to noncontrolling interests 1,100 942 Preferred dividends (12,830 ) (12,830 ) Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders and Participating Security Holders for basic and diluted earnings per common share $ (27,102 ) $ (21,187 ) |
Schedule of earnings per share allocable to common shares and HPU shares | For the Three Months Ended March 31, 2017 2016 Earnings allocable to common shares: Numerator for basic and diluted earnings per share: Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders $ (27,102 ) $ (21,187 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (27,102 ) $ (21,187 ) Denominator for basic and diluted earnings per share: Weighted average common shares outstanding for basic and diluted earnings per common share 72,065 77,060 Basic and diluted earnings per common share: Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders $ (0.38 ) $ (0.27 ) Net income (loss) attributable to iStar Inc. and allocable to common shareholders $ (0.38 ) $ (0.27 ) |
Schedule of anti-dilutive shares | The following shares were not included in the diluted EPS calculation because they were anti-dilutive (in thousands) (1) : For the Three Months Ended March 31, 2017 2016 3.00% convertible senior unsecured notes — 16,992 Series J convertible perpetual preferred stock 15,635 15,635 1.50% convertible senior unsecured notes — 11,567 Joint venture shares 298 298 _______________________________________________________________________________ (1) For the three months ended March 31, 2017 and 2016 , the effect of the Company's unvested Units, performance-based Units, CSEs and restricted stock awards were anti-dilutive. |
Fair Values (Tables)
Fair Values (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 March 31, 2017 Recurring basis: Derivative assets (1) $ 129 $ — $ 129 $ — Derivative liabilities (1) 571 — 571 — Available-for-sale securities (1) 21,639 — — 21,639 Non-recurring basis: Impaired real estate (2) 10,141 — — 10,141 As of December 31, 2016 Recurring basis: Derivative assets (1) $ 727 $ — $ 727 $ — Derivative liabilities (1) 47 — 47 — Available-for-sale securities (1) 21,666 — — 21,666 Non-recurring basis: Impaired loans (3) 7,200 — — 7,200 Impaired real estate (4) 3,063 — — 3,063 ____________________________________________________________ (1) The fair value of the Company's derivatives are based upon widely accepted valuation techniques utilized by a third-party specialist using observable inputs such as interest rates and contractual cash flow and are classified as Level 2. The fair value of the Company's available-for-sale securities are based upon unadjusted third-party broker quotes and are classified as Level 3. (2) The Company recorded an impairment on one real estate asset with a fair value of $10.1 million based on a discount rate of 11% using discounted cash flows over a two year sellout period. (3) The Company recorded a provision for loan losses on one loan with a fair value of $5.2 million using an appraisal based on market comparable sales. In addition, the Company recorded a recovery of loan losses on one loan with a fair value of $2.0 million based on proceeds to be received. (4) The Company recorded an impairment on one real estate asset with a fair value of $3.1 million based on a discount rate of 11% using discounted cash flows over a two year sellout period. |
Summary of changes in Level 3 available-for-sale securities reported at fair value | The following table summarizes changes in Level 3 available-for-sale securities reported at fair value on the Company's consolidated balance sheets for the three months ended March 31, 2017 and 2016 ($ in thousands): 2017 2016 Beginning balance $ 21,666 $ 1,161 Purchases — 4,366 Repayments (10 ) (10 ) Unrealized (losses) gains recorded in other comprehensive income (17 ) 19 Ending balance $ 21,639 $ 5,536 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 and Development Corporate/Other (1) Company Total Three Months Ended March 31, 2017: Operating lease income $ — $ 36,496 $ 15,989 $ 106 $ — $ 52,591 Interest income 29,058 — — — — 29,058 Other income 76 506 10,355 386 541 11,864 Land development revenue — — — 20,050 — 20,050 Earnings (loss) from equity method investments — 981 632 3,842 247 5,702 Income from sales of real estate — 6,720 1,898 — — 8,618 Total revenue and other earnings 29,134 44,703 28,874 24,384 788 127,883 Real estate expense — (4,726 ) (21,518 ) (9,497 ) — (35,741 ) Land development cost of sales — — — (15,910 ) — (15,910 ) Other expense (605 ) — — — (1,264 ) (1,869 ) Allocated interest expense (11,888 ) (15,783 ) (5,606 ) (8,118 ) (9,798 ) (51,193 ) Allocated general and administrative (2) (3,596 ) (4,642 ) (1,755 ) (3,926 ) (5,373 ) (19,292 ) Segment profit (loss) (3) $ 13,045 $ 19,552 $ (5 ) $ (13,067 ) $ (15,647 ) $ 3,878 Other significant items: Recovery of loan losses $ (4,928 ) $ — $ — $ — $ — $ (4,928 ) Impairment of assets — — 4,413 — — 4,413 Depreciation and amortization — 8,428 4,039 270 330 13,067 Capitalized expenditures — 771 8,210 26,592 — 35,573 Three Months Ended March 31, 2016: Operating lease income $ — $ 35,750 $ 19,081 $ 106 $ — $ 54,937 Interest income 33,219 — — — — 33,219 Other income 1,297 80 7,344 1,065 1,755 11,541 Land development revenue — — — 14,947 — 14,947 Earnings (loss) from equity method investments — 946 (142 ) 6,661 802 8,267 Income from sales of real estate — 4,928 5,530 — — 10,458 Total revenue and other earnings 34,516 41,704 31,813 22,779 2,557 133,369 Real estate expense — (4,508 ) (21,120 ) (8,677 ) — (34,305 ) Land development cost of sales — — — (11,575 ) — (11,575 ) Other expense 86 — — — (826 ) (740 ) Allocated interest expense (14,702 ) (16,236 ) (6,620 ) (8,359 ) (11,104 ) (57,021 ) Allocated general and administrative (2) (3,831 ) (4,296 ) (1,870 ) (3,270 ) (5,258 ) (18,525 ) Segment profit (loss) (3) $ 16,069 $ 16,664 $ 2,203 $ (9,102 ) $ (14,631 ) $ 11,203 Other significant items: Provision for loan losses $ 1,506 $ — $ — $ — $ — $ 1,506 Depreciation and amortization — 8,851 5,283 300 274 14,708 Capitalized expenditures — 851 15,797 34,268 — 50,916 Real Estate Finance Net Lease Operating Properties Land and Development Corporate/Other (1) Company Total As of March 31, 2017 Real estate Real estate, net $ — $ 998,314 $ 478,277 $ — $ — $ 1,476,591 Real estate available and held for sale — — 71,934 — — 71,934 Total real estate — 998,314 550,211 — — 1,548,525 Land and development, net — — — 955,150 — 955,150 Loans receivable and other lending investments, net 1,381,227 — — — — 1,381,227 Other investments — 92,024 3,215 69,454 32,866 197,559 Total portfolio assets $ 1,381,227 $ 1,090,338 $ 553,426 $ 1,024,604 $ 32,866 4,082,461 Cash and other assets 1,212,055 Total assets $ 5,294,516 As of December 31, 2016 Real estate Real estate, net $ — $ 1,015,590 $ 476,162 $ — $ — $ 1,491,752 Real estate available and held for sale — 1,284 82,480 — — 83,764 Total real estate — 1,016,874 558,642 — — 1,575,516 Land and development, net — — — 945,565 — 945,565 Loans receivable and other lending investments, net 1,450,439 — — — — 1,450,439 Other investments — 92,669 3,583 84,804 33,350 214,406 Total portfolio assets $ 1,450,439 $ 1,109,543 $ 562,225 $ 1,030,369 $ 33,350 4,185,926 Cash and other assets 639,588 Total assets $ 4,825,514 _______________________________________________________________________________ (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 $5.9 million and $4.6 million for the three months ended March 31, 2017 and 2016. respectively. (3) The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended March 31, 2017 2016 Segment profit $ 3,878 $ 11,203 Less: Recovery of (provision for) loan losses 4,928 (1,506 ) Less: Impairment of assets (4,413 ) — Less: Stock-based compensation expense (5,881 ) (4,577 ) Less: Depreciation and amortization (13,067 ) (14,708 ) Less: Income tax (expense) benefit (607 ) 414 Less: Loss on early extinguishment of debt, net (210 ) (125 ) Net income (loss) $ (15,372 ) $ (9,299 ) |
Reconciliation of segment profit to income (loss) | The following is a reconciliation of segment profit to net income (loss) ($ in thousands): For the Three Months Ended March 31, 2017 2016 Segment profit $ 3,878 $ 11,203 Less: Recovery of (provision for) loan losses 4,928 (1,506 ) Less: Impairment of assets (4,413 ) — Less: Stock-based compensation expense (5,881 ) (4,577 ) Less: Depreciation and amortization (13,067 ) (14,708 ) Less: Income tax (expense) benefit (607 ) 414 Less: Loss on early extinguishment of debt, net (210 ) (125 ) Net income (loss) $ (15,372 ) $ (9,299 ) |
Business and Organization (Deta
Business and Organization (Details) $ in Billions | Mar. 31, 2017USD ($) |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Investment across a range of real estate sectors over the past two decades (more than) | $ 35 |
Basis of Presentation and Pri43
Basis of Presentation and Principles of Consolidation (VIEs) (Details) $ in Millions | Mar. 31, 2017USD ($) |
Consolidated VIEs | |
Variable interest entities | |
Variable interest entity, consolidated, carrying amount, assets | $ 449.3 |
Variable interest entity, consolidated, carrying amount, liabilities | 74.4 |
Unconsolidated VIEs | |
Variable interest entities | |
Carrying value of the investments | 52.9 |
Variable interest entity unfunded commitment | $ 58 |
Real Estate (Schedule of Real E
Real Estate (Schedule of Real Estate Assets) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Real Estate Properties [Line Items] | ||
Land, at cost | $ 482,487 | $ 483,720 |
Buildings and improvements, at cost | 1,413,775 | 1,422,872 |
Less: accumulated depreciation | (419,671) | (414,840) |
Real estate, net | 1,476,591 | 1,491,752 |
Real estate available and held for sale | 71,934 | 83,764 |
Total real estate | 1,548,525 | 1,575,516 |
Net Lease | ||
Real Estate Properties [Line Items] | ||
Land, at cost | 271,433 | 272,666 |
Buildings and improvements, at cost | 1,097,049 | 1,111,589 |
Less: accumulated depreciation | (370,168) | (368,665) |
Real estate, net | 998,314 | 1,015,590 |
Real estate available and held for sale | 0 | 1,284 |
Total real estate | 998,314 | 1,016,874 |
Operating Properties | ||
Real Estate Properties [Line Items] | ||
Land, at cost | 211,054 | 211,054 |
Buildings and improvements, at cost | 316,726 | 311,283 |
Less: accumulated depreciation | (49,503) | (46,175) |
Real estate, net | 478,277 | 476,162 |
Real estate available and held for sale | 71,934 | 82,480 |
Total real estate | 550,211 | 558,642 |
Residential Operating Properties | ||
Real Estate Properties [Line Items] | ||
Real estate available and held for sale | $ 71,900 | $ 82,500 |
Real Estate (Real Estate Availa
Real Estate (Real Estate Available and Held for Sale) (Details) - Executed Contract with Third Party - Net Lease $ in Millions | 3 Months Ended |
Mar. 31, 2016USD ($)lease_asset | |
Real Estate Properties [Line Items] | |
Net lease asset transferred | lease_asset | 1 |
Property transferred to held for sale, carrying value | $ | $ 0.7 |
Real Estate (Dispositions) (Det
Real Estate (Dispositions) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Income from sales of real estate | $ 8,618 | $ 10,458 |
Residential Condominiums | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from sale of other real estate | 10,200 | 19,700 |
Income from sales of real estate | 1,900 | 4,900 |
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 | 6,700 | 4,900 |
Net proceeds from sales of real estate | $ 20,000 | 10,000 |
Commercial Operating Properties | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Income from sales of real estate | 700 | |
Net proceeds from sales of real estate | $ 5,900 |
Real Estate (Impairments) (Deta
Real Estate (Impairments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Investment [Line Items] | ||
Impairment of assets | $ 4,413 | $ 0 |
Held-for-Sale, Change in Business Strategy | ||
Investment [Line Items] | ||
Impairment of assets | $ 4,400 |
Real Estate (Tenant Reimburseme
Real Estate (Tenant Reimbursements) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Lease Income | ||
Real Estate Properties [Line Items] | ||
Tenant reimbursements | $ 5.7 | $ 6.3 |
Real Estate (Allowance for Doub
Real Estate (Allowance for Doubtful Accounts) (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Real Estate Tenant Receivables | ||
Schedule of Operating Lease Allowance for Doubtful Accounts [Line Items] | ||
Allowance for doubtful accounts receivable | $ 1.4 | $ 1.3 |
Deferred Operating Lease | ||
Schedule of Operating Lease Allowance for Doubtful Accounts [Line Items] | ||
Allowance for doubtful accounts receivable | $ 1.3 | $ 1.3 |
Land and Development (Schedule
Land and Development (Schedule of Land and Development) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Total land and development, net | $ 955,150 | $ 945,565 |
Land & Development | ||
Property, Plant and Equipment [Line Items] | ||
Land and land development, at cost | 961,907 | 952,051 |
Less: accumulated depreciation | (6,757) | (6,486) |
Total land and development, net | $ 955,150 | $ 945,565 |
Land and Development (Acquisiti
Land and Development (Acquisitions, Dispositions, and Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Noncontrolling interest increase (percent) | 10.70% | ||
Noncontrolling interest, decrease from redemptions or purchase of interests | $ 10,800 | ||
Noncontrolling interest, ownership percentage by parent | 95.70% | ||
Land development revenue | $ 20,050 | $ 14,947 | |
Land development cost of sales | 15,910 | $ 11,575 | |
Redeemable noncontrolling interests | 3,513 | 5,031 | |
Not Currently Redeemable | |||
Property, Plant and Equipment [Line Items] | |||
Redeemable noncontrolling interests | $ 0 | $ 1,300 |
Loans Receivable and Other Le52
Loans Receivable and Other Lending Investments, net (Schedule of Loans Receivable) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross carrying value of loans | $ 1,379,235 | $ 1,456,068 | ||
Reserves for loan losses | (79,389) | (85,545) | $ (109,671) | $ (108,165) |
Total loans receivable, net | 1,299,846 | 1,370,523 | ||
Other lending investments—securities | 81,381 | 79,916 | ||
Total loans receivable and other lending investments, net | 1,381,227 | 1,450,439 | ||
Senior mortgages | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross carrying value of loans | 834,795 | 940,738 | ||
Corporate/Partnership loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross carrying value of loans | 519,198 | 490,389 | ||
Subordinate mortgages | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross carrying value of loans | $ 25,242 | $ 24,941 |
Loans Receivable and Other Le53
Loans Receivable and Other Lending Investments, net (Reserve for Loan Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Allowance for Loan Losses [Roll Forward] | ||
Reserve for loan losses at beginning of period | $ 85,545 | $ 108,165 |
(Recovery of) provision for loan losses | (4,928) | 1,506 |
Charge-offs | (1,228) | 0 |
Reserve for loan losses at end of period | $ 79,389 | $ 109,671 |
Loans Receivable and Other Le54
Loans Receivable and Other Lending Investments, net (Loans and Associated Reserve for Loan Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans | $ 1,385,935 | $ 1,463,003 | ||
Less: Reserve for loan losses | (79,389) | $ (109,671) | (85,545) | $ (108,165) |
Total | 1,306,546 | 1,377,458 | ||
Release of general reserve | 1,228 | $ 0 | ||
Interest receivable | 6,700 | 6,900 | ||
Held-to-maturity and available-for-sale securities | 81,381 | 79,916 | ||
Individually Evaluated for Impairment | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans | 250,801 | 253,941 | ||
Less: Reserve for loan losses | (60,989) | (62,245) | ||
Total | 189,812 | 191,696 | ||
Unamortized discounts, premiums, deferred fees and costs | (700) | (400) | ||
Collectively Evaluated for Impairment | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Loans | 1,135,134 | 1,209,062 | ||
Less: Reserve for loan losses | (18,400) | (23,300) | ||
Total | 1,116,734 | 1,185,762 | ||
Unamortized discounts, premiums, deferred fees and costs | $ 2,900 | $ 1,900 |
Loans Receivable and Other Le55
Loans Receivable and Other Lending Investments, net (Credit Characteristics for Performing Loans) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 1,385,935 | $ 1,463,003 |
Senior mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 839,174 | 945,182 |
Corporate/Partnership loans | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 521,462 | 492,823 |
Subordinate mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | 25,299 | 24,998 |
Real Estate Finance | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 1,135,134 | $ 1,209,062 |
Weighted Average Risk Ratings | 2.55 | 3.11 |
Real Estate Finance | Senior mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 756,720 | $ 859,250 |
Weighted Average Risk Ratings | 2.31 | 3.12 |
Real Estate Finance | Corporate/Partnership loans | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 364,159 | $ 335,677 |
Weighted Average Risk Ratings | 3.06 | 3.09 |
Real Estate Finance | Subordinate mortgages | ||
Recorded Investments in loans, presented by class and by credit quality, as indicated by risk rating | ||
Loans | $ 14,255 | $ 14,135 |
Weighted Average Risk Ratings | 2.46 | 3 |
Loans Receivable and Other Le56
Loans Receivable and Other Lending Investments, net (Credit Characteristics by Payment Status) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)loan | Dec. 31, 2016USD ($)loan | |
Recorded investment in loans, aged by payment status and presented by class | ||
Current | $ 1,152,178 | $ 1,229,180 |
Less Than and Equal to 90 Days | 0 | 0 |
Greater Than 90 Days | 233,757 | 233,823 |
Total Past Due | 233,757 | 233,823 |
Loans | $ 1,385,935 | $ 1,463,003 |
Financing receivable, number of loans greater than 90 days past due | loan | 4 | 4 |
Financing receivables, past due time period | 90 days | 90 days |
Minimum | ||
Recorded investment in loans, aged by payment status and presented by class | ||
Financing receivables, past due time period | 1 year | 1 year |
Maximum | ||
Recorded investment in loans, aged by payment status and presented by class | ||
Financing receivables, past due time period | 8 years | 8 years |
Senior mortgages | ||
Recorded investment in loans, aged by payment status and presented by class | ||
Current | $ 762,720 | $ 868,505 |
Less Than and Equal to 90 Days | 0 | 0 |
Greater Than 90 Days | 76,454 | 76,677 |
Total Past Due | 76,454 | 76,677 |
Loans | 839,174 | 945,182 |
Corporate/Partnership loans | ||
Recorded investment in loans, aged by payment status and presented by class | ||
Current | 364,159 | 335,677 |
Less Than and Equal to 90 Days | 0 | 0 |
Greater Than 90 Days | 157,303 | 157,146 |
Total Past Due | 157,303 | 157,146 |
Loans | 521,462 | 492,823 |
Subordinate mortgages | ||
Recorded investment in loans, aged by payment status and presented by class | ||
Current | 25,299 | 24,998 |
Less Than and Equal to 90 Days | 0 | 0 |
Greater Than 90 Days | 0 | 0 |
Total Past Due | 0 | 0 |
Loans | $ 25,299 | $ 24,998 |
Loans Receivable and Other Le57
Loans Receivable and Other Lending Investments, net (Impaired Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | $ 250,801 | $ 253,941 | |
Unpaid Principal Balance | 240,381 | 243,409 | |
Related Allowance | (60,989) | (62,245) | |
Average Recorded Investment | 252,371 | $ 136,956 | |
Interest Income Recognized | 0 | 0 | |
Senior mortgages | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 82,454 | 85,933 | |
Unpaid Principal Balance | 82,571 | 85,780 | |
Related Allowance | (48,518) | (49,774) | |
Average Recorded Investment | 84,194 | 131,385 | |
Interest Income Recognized | 0 | 0 | |
Subordinate mortgages | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 11,044 | 10,862 | |
Unpaid Principal Balance | 11,027 | 10,846 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 10,953 | 0 | |
Interest Income Recognized | 0 | 0 | |
Corporate/Partnership loans | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 157,303 | 157,146 | |
Unpaid Principal Balance | 146,783 | 146,783 | |
Related Allowance | (12,471) | (12,471) | |
Average Recorded Investment | 157,224 | 5,571 | |
Interest Income Recognized | 0 | 0 | |
With no related allowance recorded | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 11,044 | 10,862 | |
Unpaid Principal Balance | 11,027 | 10,846 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 10,953 | 4,542 | |
Interest Income Recognized | 0 | 0 | |
With no related allowance recorded | Senior mortgages | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 0 | 4,542 | |
Interest Income Recognized | 0 | 0 | |
With no related allowance recorded | Subordinate mortgages | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 11,044 | 10,862 | |
Unpaid Principal Balance | 11,027 | 10,846 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 10,953 | 0 | |
Interest Income Recognized | 0 | 0 | |
With an allowance recorded | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 239,757 | 243,079 | |
Unpaid Principal Balance | 229,354 | 232,563 | |
Related Allowance | (60,989) | (62,245) | |
Average Recorded Investment | 241,418 | 132,414 | |
Interest Income Recognized | 0 | 0 | |
With an allowance recorded | Senior mortgages | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 82,454 | 85,933 | |
Unpaid Principal Balance | 82,571 | 85,780 | |
Related Allowance | (48,518) | (49,774) | |
Average Recorded Investment | 84,194 | 126,843 | |
Interest Income Recognized | 0 | 0 | |
With an allowance recorded | Corporate/Partnership loans | |||
Financing Receivable, Impaired [Line Items] | |||
Recorded Investment | 157,303 | 157,146 | |
Unpaid Principal Balance | 146,783 | 146,783 | |
Related Allowance | (12,471) | $ (12,471) | |
Average Recorded Investment | 157,224 | 5,571 | |
Interest Income Recognized | $ 0 | $ 0 |
Loans Receivable and Other Le58
Loans Receivable and Other Lending Investments, net (Securities) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Investments, Debt and Equity Securities [Abstract] | ||
Face Value | $ 81,097 | $ 79,694 |
Amortized Cost Basis | 80,972 | 79,490 |
Net Unrealized Gain (Loss) | 2,730 | 3,179 |
Estimated Fair Value | 83,702 | 82,669 |
Net Carrying Value | 81,381 | 79,916 |
Municipal debt securities | ||
Available-for-Sale Securities | ||
Face Value | 21,230 | 21,240 |
Amortized Cost Basis | 21,230 | 21,240 |
Net Unrealized Gain (Loss) | 409 | 426 |
Estimated Fair Value | 21,639 | 21,666 |
Net Carrying Value | 21,639 | 21,666 |
Debt securities | ||
Held-to-Maturity Securities | ||
Face Value | 59,867 | 58,454 |
Amortized Cost Basis | 59,742 | 58,250 |
Net Unrealized Gain (Loss) | 2,321 | 2,753 |
Estimated Fair Value | 62,063 | 61,003 |
Net Carrying Value | $ 59,742 | $ 58,250 |
Other Investments (Schedule of
Other Investments (Schedule of Other Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | $ 197,559 | $ 214,406 | |
Earnings (loss) from equity method investments | 5,702 | $ 8,267 | |
Other strategic investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 32,866 | 33,350 | |
Earnings (loss) from equity method investments | 247 | 802 | |
Oak Hill Funds | |||
Schedule of Equity Method Investments [Line Items] | |||
Earnings (loss) from equity method investments | 3,200 | ||
Real estate equity investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 164,693 | 181,056 | |
Earnings (loss) from equity method investments | 5,455 | 7,465 | |
Real estate equity investments | Net lease venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 92,024 | 92,669 | |
Earnings (loss) from equity method investments | 981 | 946 | |
Real estate equity investments | Marina Palms | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 19,439 | 35,185 | |
Earnings (loss) from equity method investments | 3,117 | 8,221 | |
Real estate equity investments | Other real estate equity investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 53,230 | $ 53,202 | |
Earnings (loss) from equity method investments | $ 1,357 | $ (1,702) |
Other Investments (Narrative) (
Other Investments (Narrative) (Details) | 1 Months Ended | 3 Months Ended | |
Dec. 31, 2016USD ($) | Mar. 31, 2017USD ($)unit | Mar. 31, 2016USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||
Earnings from equity method investments | $ 5,702,000 | $ 8,267,000 | |
Equity method investments, carrying value | $ 214,406,000 | 197,559,000 | |
Contributions | 1,813,000 | 6,377,000 | |
Cost method investments | 1,400,000 | $ 900,000 | |
Net lease venture | |||
Schedule of Equity Method Investments [Line Items] | |||
iStar's ownership percentage | 51.90% | ||
Partners' capital account, contributions (up to) | $ 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% | ||
Total assets carrying value | 511,300,000 | $ 516,500,000 | |
Net lease venture | Other income | |||
Schedule of Equity Method Investments [Line Items] | |||
Management fees revenue | $ 500,000 | $ 400,000 | |
Marina Palms | |||
Schedule of Equity Method Investments [Line Items] | |||
iStar's ownership percentage | 47.50% | ||
Total assets carrying value | 201,800,000 | $ 98,300,000 | |
Number of units | unit | 468 | ||
Marine Palms North Tower | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of units | unit | 234 | ||
Marine Palms South Tower | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of units | unit | 234 | ||
Percentage of units pre-sold | 84.00% | ||
Other real estate equity investments | Operating Properties | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | 3,600,000 | $ 3,200,000 | |
Contributions | 7,000,000 | ||
Loan commitments | 27,000,000 | ||
Loans receivable, carrying value | 22,700,000 | 23,100,000 | |
Interest income | 400,000 | ||
Other real estate equity investments | Land & Development | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments, carrying value | $ 49,600,000 | $ 50,000,000 | |
Other real estate equity investments | Minimum | |||
Schedule of Equity Method Investments [Line Items] | |||
iStar's ownership percentage | 20.00% | ||
Other real estate equity investments | Maximum | |||
Schedule of Equity Method Investments [Line Items] | |||
iStar's ownership percentage | 85.00% | ||
Newly formed unconsolidated entity | |||
Schedule of Equity Method Investments [Line Items] | |||
iStar's ownership percentage | 50.00% |
Other Investments (Schedule o61
Other Investments (Schedule of Summarized Investee Financial Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Marina Palms | ||
Equity Method Investments, Summarized Financial Information [Line Items] | ||
Revenues | $ 23,669 | $ 50,628 |
Expenses | (14,911) | (25,511) |
Net Income Attributable to Parent Entities | 8,758 | 25,117 |
Net Lease Venture | ||
Equity Method Investments, Summarized Financial Information [Line Items] | ||
Revenues | 9,621 | 7,830 |
Expenses | (7,588) | (5,863) |
Net Income Attributable to Parent Entities | $ 1,890 | $ 1,823 |
Other Assets and Other Liabil62
Other Assets and Other Liabilities (Schedule of Other Assets) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Operating Leased Assets [Line Items] | |||
Intangible assets, net | $ 61,723 | $ 63,098 | |
Other receivables | 51,047 | 52,820 | |
Other assets | 47,877 | 39,591 | |
Restricted cash | 26,290 | 25,883 | |
Leasing costs, net | 11,812 | 12,566 | |
Corporate furniture, fixtures and equipment, net | 5,399 | 5,691 | |
Deferred expenses and other assets, net | 204,148 | 199,649 | |
Intangible assets, accumulated amortization | 33,200 | 32,600 | |
Amortization of above market lease | 900 | $ 1,200 | |
Accumulated amortization on leasing costs | 6,400 | 6,700 | |
Accumulated depreciation on corporate furniture, fixtures and equipment | 9,500 | 9,000 | |
Depreciation and Amortization | |||
Operating Leased Assets [Line Items] | |||
Amortization of intangible assets | 500 | $ 500 | |
Operating Properties | |||
Operating Leased Assets [Line Items] | |||
Other receivables | $ 25,800 | $ 26,000 |
Other Assets and Other Liabil63
Other Assets and Other Liabilities (Schedule of Other Liabilities) (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017USD ($)property | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) | |
Real Estate Properties [Line Items] | |||
Other liabilities | $ 79,398 | $ 75,993 | |
Accrued expenses | 62,139 | 72,693 | |
Accrued interest payable | 41,901 | 54,033 | |
Intangible liabilities, net | 8,602 | 8,851 | |
Accounts payable, accrued expenses and other liabilities | 192,040 | 211,570 | |
Developer fee payable | 24,000 | 24,000 | |
Special assessment bond | 7,800 | 8,500 | |
Below market lease, accumulated amortization | 6,700 | 6,400 | |
Amortization of below market lease | 300 | $ 300 | |
Real Estate Available and Held for Sale | |||
Real Estate Properties [Line Items] | |||
Accrued expenses | $ 2,400 | 1,700 | |
Residential Real Estate | Master Planned Community | |||
Real Estate Properties [Line Items] | |||
Number of properties | property | 2 | ||
Real Estate Assets Held-for-Sale | |||
Real Estate Properties [Line Items] | |||
Other liabilities | $ 1,400 | $ 1,200 |
Other Assets and Other Liabil64
Other Assets and Other Liabilities (Deferred Tax Assets and Liabilities) (Details) - Taxable REIT Subsidiaries - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of deferred tax assets and liabilities [Line Items] | ||
Deferred tax assets (liabilities) | $ 70,806 | $ 66,498 |
Valuation allowance | (70,806) | (66,498) |
Net deferred tax assets (liabilities) | $ 0 | $ 0 |
Loan Participations Payable, 65
Loan Participations Payable, net (Details) $ in Thousands | Mar. 31, 2017USD ($)loan | Dec. 31, 2016USD ($)loan |
Loan Participations Payable, net [Line Items] | ||
Unamortized discounts and deferred financing costs, net | $ (37,140) | $ (28,449) |
Loan participations payable, net | 182,087 | 159,321 |
Loans receivable, net | $ 1,299,846 | $ 1,370,523 |
Total loan participations payable, net | ||
Loan Participations Payable, net [Line Items] | ||
Number of loan participations payable | loan | 3 | 3 |
Weighted average interest rate (as a percent) | 5.20% | 4.80% |
Total loan participations payable, net | ||
Loan Participations Payable, net [Line Items] | ||
Loan participations payable, gross | $ 182,853 | $ 160,251 |
Unamortized discounts and deferred financing costs, net | (766) | (930) |
Total loan participations payable, net | ||
Loan Participations Payable, net [Line Items] | ||
Loans receivable, net | $ 181,900 | $ 159,100 |
Debt Obligations, net (Schedule
Debt Obligations, net (Schedule of Debt) (Details) - USD ($) | 3 Months Ended | 7 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Aug. 31, 2016 | |
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 3,919,535,000 | $ 3,418,357,000 | ||
Debt discounts and deferred financing costs, net | (37,140,000) | (28,449,000) | ||
Total debt obligations, net | 3,882,395,000 | 3,389,908,000 | ||
Interest costs capitalized | 2,000,000 | $ 1,400,000 | ||
2015 $250 Million Secured Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 250,000,000 | |||
Total debt obligations | $ 0 | 0 | ||
Converted term loan, term | 1 year | |||
2015 $250 Million Secured Revolving Credit Facility | Minimum | Interest Rate Category One | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, margin (as a percent) | 1.25% | |||
2015 $250 Million Secured Revolving Credit Facility | Minimum | Interest Rate Category Two | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, margin (as a percent) | 2.25% | |||
2015 $250 Million Secured Revolving Credit Facility | Maximum | Interest Rate Category One | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, margin (as a percent) | 1.75% | |||
2015 $250 Million Secured Revolving Credit Facility | Maximum | Interest Rate Category Two | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, margin (as a percent) | 2.75% | |||
2015 $250 Million Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 2.75% | |||
2015 $250 Million Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 1.00% | |||
2015 $250 Million Secured Revolving Credit Facility | Federal Funds Effective Swap Rate | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 0.50% | |||
2016 Senior Secured Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 450,000,000 | $ 500,000,000 | ||
Total debt obligations | $ 500,000,000 | $ 498,648,000 | ||
Basis point spread on variable interest rate (as a percent) | 1.00% | |||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 3.75% | 4.50% | ||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 1.00% | 1.00% | ||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 2.75% | |||
2016 Senior Secured Credit Facility | Federal Funds Effective Swap Rate | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 0.50% | |||
2017 Secured Financing | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 227,000,000 | |||
Total debt obligations | $ 227,000,000 | $ 0 | ||
Stated interest rates (as a percent) | 3.795% | |||
Effective interest rate (as a percent) | 3.773% | |||
Mortgages collateralized by net lease assets | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 247,535,000 | 249,987,000 | ||
Stated interest rate, minimum (as a percent) | 3.875% | |||
Stated interest rate, maximum (as a percent) | 7.26% | |||
Weighted average interest rate (as a percent) | 5.10% | |||
Mortgages collateralized by net lease assets | London Interbank Offered Rate (LIBOR) | Property One | ||||
Debt Instrument [Line Items] | ||||
Basis point spread on variable interest rate (as a percent) | 2.00% | |||
Total secured credit facilities and mortgages | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 974,535,000 | 748,635,000 | ||
5.85% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 0 | 99,722,000 | ||
Stated interest rates (as a percent) | 5.85% | |||
9.00% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 275,000,000 | 275,000,000 | ||
Stated interest rates (as a percent) | 9.00% | |||
4.00% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 550,000,000 | 550,000,000 | ||
Stated interest rates (as a percent) | 4.00% | |||
7.125% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 300,000,000 | 300,000,000 | ||
Stated interest rates (as a percent) | 7.125% | |||
4.875% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 300,000,000 | 300,000,000 | ||
Stated interest rates (as a percent) | 4.875% | |||
5.00% senior notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 770,000,000 | 770,000,000 | ||
Stated interest rates (as a percent) | 5.00% | |||
6.50% senior notes | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 275,000,000 | |||
Total debt obligations | $ 275,000,000 | 275,000,000 | ||
Stated interest rates (as a percent) | 6.50% | 6.50% | ||
6.00% senior notes | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 375,000,000 | |||
Total debt obligations | $ 375,000,000 | 0 | ||
Stated interest rates (as a percent) | 6.00% | |||
Unsecured Notes | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 2,845,000,000 | 2,569,722,000 | ||
Trust preferred securities | ||||
Debt Instrument [Line Items] | ||||
Total debt obligations | $ 100,000,000 | $ 100,000,000 | ||
Basis point spread on variable interest rate (as a percent) | 1.50% | |||
Interest rate swaps | 2017 Secured Financing | ||||
Debt Instrument [Line Items] | ||||
Notional amount | $ 200,000,000 |
Debt Obligations, net (Future S
Debt Obligations, net (Future Scheduled Maturities) (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017USD ($)tranche | May 02, 2017USD ($) | Dec. 31, 2016USD ($) | |
Maturities of Long-term Debt [Abstract] | |||
2017 (remaining nine months) | $ 825,000 | ||
2,018 | 610,648 | ||
2,019 | 798,770 | ||
2,020 | 500,000 | ||
2,021 | 394,072 | ||
Thereafter | 791,045 | ||
Total principal maturities | 3,919,535 | $ 3,418,357 | |
Unamortized discounts and deferred financing costs, net | (37,140) | (28,449) | |
Total debt obligations, net | 3,882,395 | $ 3,389,908 | |
Unsecured Debt | |||
Maturities of Long-term Debt [Abstract] | |||
2017 (remaining nine months) | 825,000 | ||
2,018 | 600,000 | ||
2,019 | 770,000 | ||
2,020 | 0 | ||
2,021 | 275,000 | ||
Thereafter | 475,000 | ||
Total principal maturities | 2,945,000 | ||
Unamortized discounts and deferred financing costs, net | (21,148) | ||
Total debt obligations, net | $ 2,923,852 | ||
Number of tranches | tranche | 2 | ||
Secured Debt | |||
Maturities of Long-term Debt [Abstract] | |||
2017 (remaining nine months) | $ 0 | ||
2,018 | 10,648 | ||
2,019 | 28,770 | ||
2,020 | 500,000 | ||
2,021 | 119,072 | ||
Thereafter | 316,045 | ||
Total principal maturities | 974,535 | ||
Unamortized discounts and deferred financing costs, net | (15,992) | ||
Total debt obligations, net | 958,543 | ||
Other Debt Obligations | |||
Maturities of Long-term Debt [Abstract] | |||
2,018 | $ 310,600 | ||
Subsequent Event | |||
Maturities of Long-term Debt [Abstract] | |||
Remaining borrowing capacity | $ 1,168,000 |
Debt Obligations, net (Secured
Debt Obligations, net (Secured Credit Facility Narrative) (Details) | 1 Months Ended | 3 Months Ended | 7 Months Ended | |||||
Mar. 31, 2017USD ($)propertylease | Jan. 31, 2017USD ($) | Dec. 31, 2016USD ($)property | Mar. 31, 2015USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Apr. 14, 2017 | Aug. 31, 2016USD ($) | |
2017 Secured Financing | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 227,000,000 | $ 227,000,000 | ||||||
Stated interest rates (as a percent) | 3.795% | 3.795% | ||||||
Number of properties collateralizing loan | property | 12 | |||||||
Number of ground net leases collateralizing loan | lease | 7 | |||||||
Number of master lease collateralizing loan | lease | 1 | |||||||
Number of properties covered under master lease agreement | property | 5 | |||||||
Deferred financing costs | $ 7,400,000 | $ 7,400,000 | ||||||
2016 Senior Secured Credit Facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 450,000,000 | $ 450,000,000 | $ 500,000,000 | |||||
Percentage of par credit facilities were issued at | 99.00% | 99.00% | ||||||
Basis point spread on variable interest rate (as a percent) | 1.00% | |||||||
Multiple of the minimum collateral coverage on outstanding borrowings (at least) | 1.25 | 1.25 | ||||||
Required quarterly principal payment (as a percent) | 0.25% | |||||||
Deferred finance costs, gross | 4,500,000 | |||||||
Debt instrument, thirst party fees, amount recognized | 6,200,000 | |||||||
Debt issuance fees | $ 800,000 | |||||||
Debt instrument, third party fees, amount capitalized | 4,300,000 | |||||||
2016 Senior Secured Credit Facility | Other Expense | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, thirst party fees, amount recognized | $ 1,900,000 | |||||||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis point spread on variable interest rate (as a percent) | 3.75% | 4.50% | ||||||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis point spread on variable interest rate (as a percent) | 1.00% | 1.00% | ||||||
2016 Senior Secured Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis point spread on variable interest rate (as a percent) | 2.75% | |||||||
2015 $250 Million Secured Revolving Credit Facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 250,000,000 | $ 250,000,000 | ||||||
Multiple of the minimum collateral coverage on outstanding borrowings (at least) | 1.5 | 1.5 | ||||||
Line of credit facility, maximum borrowing capacity | $ 236,000,000 | $ 250,000,000 | $ 236,000,000 | |||||
Interest rate during period | 3.46% | |||||||
Converted term loan, term | 1 year | |||||||
2015 $250 Million Secured Revolving Credit Facility | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Commitment fee percentage | 0.375% | |||||||
2015 $250 Million Secured Revolving Credit Facility | Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Commitment fee percentage | 0.50% | |||||||
2015 $250 Million Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis point spread on variable interest rate (as a percent) | 2.75% | |||||||
2015 $250 Million Secured Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis point spread on variable interest rate (as a percent) | 1.00% | |||||||
2016 Secured Term Loan | Secured Debt | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt instrument, face amount | $ 170,000,000 | $ 170,000,000 | ||||||
Number of properties collateralizing loan | property | 12 | |||||||
Subsequent Event | Safety, Income nad Growth, Inc. | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Noncontrolling interest (as a percent) | 49.00% |
Debt Obligations, net (Unsecure
Debt Obligations, net (Unsecured Notes Narrative) (Details) - USD ($) shares in Millions | Apr. 12, 2017 | Mar. 31, 2017 | Nov. 30, 2016 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 |
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 353,191,000 | $ 282,755,000 | ||||
6.00% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | $ 375,000,000 | $ 375,000,000 | ||||
Stated interest rates (as a percent) | 6.00% | 6.00% | ||||
5.85% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 99,700,000 | |||||
Stated interest rates (as a percent) | 5.85% | 5.85% | ||||
9.00% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Stated interest rates (as a percent) | 9.00% | 9.00% | ||||
5.875% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 261,400,000 | |||||
Stated interest rates (as a percent) | 5.875% | 5.875% | ||||
6.50% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | $ 275,000,000 | $ 275,000,000 | ||||
Stated interest rates (as a percent) | 6.50% | 6.50% | 6.50% | 6.50% | ||
3.875% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 265,000,000 | |||||
2015 $250 Million Secured Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | $ 250,000,000 | $ 250,000,000 | ||||
Repayments of debt | $ 5,000,000 | |||||
3.00% senior convertible notes | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 200,000,000 | |||||
Stated interest rates (as a percent) | 3.00% | |||||
Conversion of senior unsecured convertible notes into common stock | $ 9,600,000 | |||||
Shares of common stock converted (in shares) | 0.8 | |||||
Subsequent Event | 9.00% senior notes | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of debt | $ 275,000,000 | |||||
Stated interest rates (as a percent) | 9.00% |
Debt Obligations, net (Encumber
Debt Obligations, net (Encumbered/Unencumbered Assets) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Real estate, net | $ 1,476,591 | $ 1,491,752 |
Real estate available and held for sale | 71,934 | 83,764 |
Land and development, net | 955,150 | 945,565 |
Loans receivable and other lending investments, net | 1,381,227 | 1,450,439 |
Other investments | 197,559 | 214,406 |
Cash and other assets | 1,212,055 | 639,588 |
Total assets | 5,294,516 | 4,825,514 |
Loans receivable, net | 1,299,846 | 1,370,523 |
Total loan participations payable, net | ||
Debt Instrument [Line Items] | ||
Loans receivable, net | 181,900 | 159,100 |
Collectively Evaluated for Impairment | ||
Debt Instrument [Line Items] | ||
General reserves for loan losses | 18,400 | 23,300 |
Encumbered Assets | ||
Debt Instrument [Line Items] | ||
Real estate, net | 1,005,826 | 881,212 |
Real estate available and held for sale | 0 | 0 |
Land and development, net | 35,165 | 35,165 |
Loans receivable and other lending investments, net | 137,293 | 172,581 |
Other investments | 0 | 0 |
Cash and other assets | 0 | 0 |
Total assets | 1,178,284 | 1,088,958 |
Unencumbered Assets | ||
Debt Instrument [Line Items] | ||
Real estate, net | 470,765 | 610,540 |
Real estate available and held for sale | 71,934 | 83,764 |
Land and development, net | 919,985 | 910,400 |
Loans receivable and other lending investments, net | 1,080,448 | 1,142,050 |
Other investments | 197,559 | 214,406 |
Cash and other assets | 1,212,055 | 639,588 |
Total assets | $ 3,952,746 | $ 3,600,748 |
Debt Obligations, net (Debt Cov
Debt Obligations, net (Debt Covenants) (Details) | 3 Months Ended |
Mar. 31, 2017 | |
Unsecured Credit Facilities | |
Debt Instrument [Line Items] | |
Minimum ratio of unencumbered assets to unsecured indebtedness (at least) | 1.2 |
Debt instrument covenant multiple of minimum fixed charges on outstanding borrowings | 1.5 |
2016 Senior Secured Credit Facility | |
Debt Instrument [Line Items] | |
Multiple of the minimum collateral coverage on outstanding borrowings (at least) | 1.25 |
2015 $250 Million Secured 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 (at least) | 1.5 |
Total secured credit facilities and mortgages | |
Debt Instrument [Line Items] | |
Percentage of REIT taxable income permitted for distribution under debt covenants | 100.00% |
Commitments and Contingencies72
Commitments and Contingencies (Narrative) (Details) $ in Thousands | Apr. 21, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Jan. 22, 2015USD ($)a |
Other Commitments [Line Items] | ||||
Percentage of capital committed to strategic investments that may be drawn down | 100.00% | |||
Area of land subject to litigation (in acres) | a | 1,250 | |||
Net proceeds from sales of land and development assets | $ 20,923 | $ 8,775 | ||
Land & Development | Real Estate Sales | ||||
Other Commitments [Line Items] | ||||
Unpaid purchase price | $ 114,000 | |||
Unpaid purchase price, interest rate | 12.00% | |||
Subsequent Event | Real Estate Sales | ||||
Other Commitments [Line Items] | ||||
Net proceeds from sales of land and development assets | $ 231,100 | |||
Payments for documentary transfer taxes | 6,300 | |||
Sales proceeds from sale of land | 114,000 | |||
Proceeds from interest received | 121,800 | |||
Proceeds from real estate tax reimbursements | $ 1,600 | |||
Participation interests held by third party (as a percent) | 4.30% |
Commitments and Contingencies73
Commitments and Contingencies (Unfunded Commitments) (Details) $ in Thousands | Mar. 31, 2017USD ($) |
Other Commitments [Line Items] | |
Performance-Based Commitments | $ 339,735 |
Strategic Investments | 45,564 |
Total | 385,299 |
Loans and Other Lending Investments | |
Other Commitments [Line Items] | |
Performance-Based Commitments | 305,862 |
Strategic Investments | 0 |
Total | 305,862 |
Real Estate | |
Other Commitments [Line Items] | |
Performance-Based Commitments | 9,814 |
Strategic Investments | 0 |
Total | 9,814 |
Other Investments | |
Other Commitments [Line Items] | |
Performance-Based Commitments | 24,059 |
Strategic Investments | 45,564 |
Total | 69,623 |
Loan participations, not the obligation of the Company | |
Other Commitments [Line Items] | |
Performance-Based Commitments | $ 155,300 |
Derivatives (Fair Value of Deri
Derivatives (Fair Value of Derivative Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Designated as hedge | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative assets, fair value | $ 58 | $ 0 |
Derivative liabilities, fair value | 307 | 47 |
Designated as hedge | Foreign exchange contracts | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative assets, fair value | 0 | 0 |
Designated as hedge | Foreign exchange contracts | Other Liabilities | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative liabilities, fair value | 307 | 8 |
Designated as hedge | Interest rate swaps | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative assets, fair value | 58 | 0 |
Derivative liabilities, fair value | 0 | |
Designated as hedge | Interest rate swaps | Other Liabilities | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative liabilities, fair value | 39 | |
Not designated as hedge | ||
Derivative financial instruments on consolidated balance sheets | ||
Derivative assets, fair value | 71 | 727 |
Derivative liabilities, fair value | 264 | 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 | 0 | 702 |
Derivative liabilities, fair value | 264 | |
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 | $ 71 | $ 25 |
Derivatives (Classification on
Derivatives (Classification on the Consolidated Statements of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
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) | $ 467 | $ (502) |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (30) | 25 |
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 | |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (185) | |
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) | 78 | (459) |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (87) | (97) |
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) | (5) | (1) |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | (5) | 0 |
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) | (299) | (87) |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) | 0 | 0 |
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 | 47 | (803) |
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 | $ (125) | $ (182) |
Derivatives (Foreign Exchange C
Derivatives (Foreign Exchange Contracts) (Details) € in Thousands, ₨ in Thousands, £ in Thousands, $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Mar. 31, 2017EUR (€) | Mar. 31, 2017GBP (£) | Mar. 31, 2017INR (₨) | |
Derivative [Line Items] | |||||
Foreign currency transaction gain (loss) | $ 100 | $ (100) | |||
April 2017 Maturity | Sells Indian rupee (INR)/Buys USD Forward | |||||
Derivative [Line Items] | |||||
Notional Amount | 5,089 | ₨ 350,000 | |||
April 2017 Maturity | Sells euro (EUR)/Buys USD Forward | |||||
Derivative [Line Items] | |||||
Notional Amount | 6,549 | € 6,300 | |||
April 2017 Maturity | Sells pound sterling (GBP)/Buys USD Forward | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 4,168 | £ 3,400 |
Derivatives (Interest Rate Hedg
Derivatives (Interest Rate Hedges) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Derivative [Line Items] | |
Gain (loss) recognized in accumulated other comprehensive income | $ 400 |
Interest rate swap | |
Derivative [Line Items] | |
Notional Amount | $ 26,254 |
Fixed Rate (as a percent) | 3.47% |
Interest rate swap | London Interbank Offered Rate (LIBOR) | |
Derivative [Line Items] | |
Variable Rate (as a percent) | 2.00% |
Interest rate cap | |
Derivative [Line Items] | |
Notional Amount | $ 500,000 |
Fixed Rate (as a percent) | 1.00% |
Terminated interest rate swap | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified within twelve months | $ 300 |
Interest rate swaps | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified within twelve months | $ 100 |
Derivatives (Credit Risk-Relate
Derivatives (Credit Risk-Related Contingent Features) (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Derivative [Line Items] | ||
Credit derivative, maximum exposure, undiscounted | $ 0 | |
Deferred Expenses and Other Assets, Net | Forward Contracts | ||
Derivative [Line Items] | ||
Collateral posted for hedges | $ 1,800,000 | $ 400,000 |
Equity (Preferred Stock) (Detai
Equity (Preferred Stock) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 25,800,000 | 25,800,000 | |
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 | |
Capital gains distribution (as a percent) | 47.30% | ||
Unrecaptured Section 1250 gain (s a percent) | 76.15% | ||
Long term capital gain (as a percent) | 23.85% | ||
Ordinary income (as a percent) | 52.70% | ||
Amount of preferred dividends in arrears | $ 0 | $ 0 | |
Redemption price as a percentage of liquidation preference | 100.00% | 100.00% | |
Shares issued upon conversion | 3.9087 | 3.9087 | |
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 (in shares) | 4,000,000 | 4,000,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 25 | $ 25 | $ 25 |
Rate per Annum | 8.00% | 8.00% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 2 | $ 2 | |
Dividends declared and paid | $ 2,000,000 | $ 2,000,000 | |
Series E | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 5,600,000 | 5,600,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 25 | $ 25 | |
Rate per Annum | 7.875% | 7.875% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 1.97 | $ 1.97 | |
Dividends declared and paid | $ 2,800,000 | 2,800,000 | |
Series F | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 4,000,000 | 4,000,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 25 | $ 25 | |
Rate per Annum | 7.80% | 7.80% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 1.95 | $ 1.95 | |
Dividends declared and paid | $ 2,000,000 | 2,000,000 | |
Series G | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 3,200,000 | 3,200,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 25 | $ 25 | |
Rate per Annum | 7.65% | 7.65% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 1.91 | $ 1.91 | |
Dividends declared and paid | $ 1,500,000 | 1,500,000 | |
Series I | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 5,000,000 | 5,000,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 25 | $ 25 | |
Rate per Annum | 7.50% | 7.50% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 1.88 | $ 1.88 | |
Dividends declared and paid | $ 2,300,000 | 2,300,000 | |
Series J | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding (in shares) | 4,000,000 | 4,000,000 | |
Par Value (in dollars per share) | $ 0.001 | $ 0.001 | |
Liquidation preference (in dollars per share) | $ 50 | $ 50 | |
Rate per Annum | 4.50% | 4.50% | |
Equivalent to Fixed Annual Rate (in dollars per share) | $ 2.25 | $ 2.25 | |
Dividends declared and paid | $ 2,300,000 | $ 2,300,000 | |
Redemption price as a percentage of liquidation preference | 100.00% | ||
Conversion price per share (in dollars per share) | $ 12.79 | $ 12.79 |
Equity (Dividends) (Details)
Equity (Dividends) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
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 | $ 902.9 |
Equity (Stock Repurchase Progra
Equity (Stock Repurchase Program) (Details) - USD ($) $ / shares in Units, shares in Millions | 3 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2017 | Aug. 04, 2016 | Feb. 15, 2016 | |
Stock Repurchase Program | ||||
Repurchase of common stock, authorized amount | $ 50,000,000 | $ 50,000,000 | ||
Treasury stock, shares, acquired | 5.8 | |||
Treasury stock value acquired including acquisition costs | $ 58,100,000 | |||
Treasury stock acquired, average cost per share (in dollars per share) | $ 9.94 | |||
Available repurchase of common stock, authorized amount (up to) | $ 50,000,000 |
Equity (Accumulated Other Compr
Equity (Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accumulated other comprehensive income (loss) reflected in the Company's shareholders' equity | ||
Unrealized gains (losses) on available-for-sale securities | $ 132 | $ 149 |
Unrealized gains (losses) on cash flow hedges | 689 | 27 |
Unrealized losses on cumulative translation adjustment | (4,795) | (4,394) |
Accumulated other comprehensive income (loss) | $ (3,974) | $ (4,218) |
Stock-Based Compensation Plan83
Stock-Based Compensation Plans and Employee Benefits (Stock-based Compensation) (Details) $ in Thousands | Feb. 22, 2017shares | Jun. 15, 2016shares | Jan. 29, 2016Installmentshares | Jan. 30, 2015Installmentshares | Feb. 28, 2017shares | Jun. 30, 2016shares | Jan. 31, 2016shares | Jan. 31, 2015shares | May 31, 2014shares | Mar. 31, 2017USD ($)shares | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Stock-based compensation expense | $ | $ 5,881 | $ 4,577 | ||||||||||
Unrecognized compensation cost | $ | $ 3,000 | |||||||||||
Weighted-average period to recognize the unrecognized compensation cost | 2 years 1 month 3 days | |||||||||||
Accrued expenses | $ | $ 62,139 | $ 72,693 | ||||||||||
Long-term Incentive Plan 2009 | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Shares available for issuance | 3,400,000 | |||||||||||
2013-2014 Performance Incentive Plan | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of points issued (in shares) | 5 | 10 | 10 | 73 | ||||||||
2015-2016 Performance Plan | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of points issued (in shares) | 18 | 2.5 | 40 | 34 | ||||||||
2017-2018 Performance Incentive Plan | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of points issued (in shares) | 44 | |||||||||||
All Performance Incentive Plans | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Accrued expenses | $ | $ 28,300 | $ 22,400 | ||||||||||
Common Stock Subject to Sales Restriction | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Vested, number of shares | 97,967 | |||||||||||
Restricted shares awarded | 62,704 | |||||||||||
Sale restriction period | 18 months | |||||||||||
Service Based Restricted Stock Units Vesting on December 31, 2019 | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Granted units (in share) | 115,571 | |||||||||||
Number of vesting installments | Installment | 1 | |||||||||||
Non-vested, outstanding (in shares) | 115,571 | |||||||||||
Service Based Restricted Stock Units Vesting 20% on each Anniversary Date | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Vesting term | 4 years | |||||||||||
Service Based Restricted Stock Units Vesting 20% on each Anniversary Date | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Granted units (in share) | 80,000 | |||||||||||
Service Based Restricted Stock Units Vesting on December 31, 2018 | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-vested, outstanding (in shares) | 109,417 | |||||||||||
Performance Based Restricted Stock Units Vesting on December 31, 2017 | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-vested, outstanding (in shares) | 39,071 | |||||||||||
Risk-free interest rate (as a percent) | 0.75% | |||||||||||
Expected stock price volatility (as a percent) | 28.14% | |||||||||||
Performance Based Restricted Stock Units Vesting on December 31, 2017 | Employees | Minimum | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Vesting percentage | 0.00% | |||||||||||
Performance Based Restricted Stock Units Vesting on December 31, 2017 | Employees | Maximum | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Vesting percentage | 200.00% | |||||||||||
Service Based Restricted Stock Units Vesting on December 31, 2017 | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of vesting installments | Installment | 1 | |||||||||||
Non-vested, outstanding (in shares) | 56,020 | |||||||||||
Service Based Restricted Stock Units with specified vesting dates | Employees | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-vested, outstanding (in shares) | 4,751 | |||||||||||
Vesting term | 3 years |
Stock-Based Compensation Plan84
Stock-Based Compensation Plans and Employee Benefits (Directors' Awards) (Details) - Directors - CSE and Restricted Stock Units $ in Millions | Mar. 31, 2017USD ($)shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, outstanding (in shares) | shares | 333,384 |
Aggregate intrinsic value for directors | $ | $ 3.9 |
Stock-Based Compensation Plan85
Stock-Based Compensation Plans and Employee Benefits (401(k) Plan) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Gross contributions made by the Company | $ 0.6 | $ 0.6 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Earnings Per Share) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share [Abstract] | ||
Income (loss) from operations | $ (23,990) | $ (19,757) |
Income from sales of real estate | 8,618 | 10,458 |
Net (income) loss attributable to noncontrolling interests | 1,100 | 942 |
Preferred dividends | (12,830) | (12,830) |
Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders and Participating Security Holders for basic and diluted earnings per common share | $ (27,102) | $ (21,187) |
Earnings Per Share (Earnings Al
Earnings Per Share (Earnings Allocable to Common Shares) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Denominator for basic and diluted earnings per share: | ||
Weighted average common shares outstanding for basic and diluted earnings per common share | 72,065 | 77,060 |
Basic and diluted earnings per common share: | ||
Net income (loss) attributable to iStar Inc. and allocable to common shareholders (in dollars per share) | $ (0.38) | $ (0.27) |
Common Stock | ||
Denominator for basic and diluted earnings per share: | ||
Weighted average common shares outstanding for basic and diluted earnings per common share | 72,065 | 77,060 |
Basic and diluted earnings per common share: | ||
Income (loss) from operations attributable to iStar Inc. and allocable to common shareholders (in dollars per share) | $ (0.38) | $ (0.27) |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders (in dollars per share) | $ (0.38) | $ (0.27) |
Basic and Diluted | Common Stock | ||
Numerator for basic earnings per share: | ||
Income (loss) from continuing operations attributable to iStar Inc. and allocable to common shareholders | $ (27,102) | $ (21,187) |
Net income (loss) attributable to iStar Inc. and allocable to common shareholders | $ (27,102) | $ (21,187) |
Earnings Per Share (Anti-diluti
Earnings Per Share (Anti-dilutive Shares) (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
3.00% convertible senior unsecured notes | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive shares | 0 | 16,992 |
Stated interest rates (as a percent) | 3.00% | |
Series J convertible perpetual preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive shares | 15,635 | 15,635 |
1.50% convertible senior unsecured notes | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive shares | 0 | 11,567 |
Stated interest rates (as a percent) | 1.50% | |
Joint venture shares | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive shares | 298 | 298 |
Fair Values (Schedule of Fair V
Fair Values (Schedule of Fair Value Measurement) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)loan | Dec. 31, 2016USD ($)loan | |
Recurring basis | Quoted market prices in active markets (Level 1) | ||
Assets and liabilities recorded at fair value | ||
Derivative assets | $ 0 | $ 0 |
Derivative liabilities | 0 | 0 |
Available-for-sale securities | 0 | 0 |
Recurring basis | Significant other observable inputs (Level 2) | ||
Assets and liabilities recorded at fair value | ||
Derivative assets | 129 | 727 |
Derivative liabilities | 571 | 47 |
Recurring basis | Significant unobservable inputs (Level 3) | ||
Assets and liabilities recorded at fair value | ||
Available-for-sale securities | $ 21,639 | $ 21,666 |
Non-recurring basis | ||
Assets and liabilities recorded at fair value | ||
Sellout period | 2 years | |
Non-recurring basis | Loans Receivable One | ||
Assets and liabilities recorded at fair value | ||
Number of impaired loans | loan | 1 | |
Sellout period | 2 years | |
Non-recurring basis | Comparable Sales | Loans Receivable One | ||
Assets and liabilities recorded at fair value | ||
Impaired loans | $ 5,200 | |
Number of impaired loans | loan | 1 | |
Non-recurring basis | Comparable Sales | Loans Receivable Two | ||
Assets and liabilities recorded at fair value | ||
Impaired loans | $ 2,000 | |
Number of impaired loans | loan | 1 | |
Non-recurring basis | Quoted market prices in active markets (Level 1) | ||
Assets and liabilities recorded at fair value | ||
Impaired loans | $ 0 | |
Impaired real estate | $ 0 | |
Non-recurring basis | Significant unobservable inputs (Level 3) | ||
Assets and liabilities recorded at fair value | ||
Impaired loans | 7,200 | |
Impaired real estate | 10,141 | $ 3,063 |
Number of impaired loans | loan | 1 | |
Fair Value | Recurring basis | ||
Assets and liabilities recorded at fair value | ||
Derivative assets | 129 | $ 727 |
Derivative liabilities | 571 | 47 |
Available-for-sale securities | 21,639 | 21,666 |
Fair Value | Non-recurring basis | ||
Assets and liabilities recorded at fair value | ||
Impaired loans | 7,200 | |
Impaired real estate | $ 10,141 | $ 3,063 |
Fair Value | Non-recurring basis | Discounted Cash Flow Valuation Technique | ||
Assets and liabilities recorded at fair value | ||
Discount rate | 11.00% | 11.00% |
Fair Values (Schedule of Level
Fair Values (Schedule of Level 3 Assets) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 21,666 | $ 1,161 |
Purchases | 0 | 4,366 |
Repayments | (10) | (10) |
Unrealized (losses) gains recorded in other comprehensive income | (17) | 19 |
Ending balance | $ 21,639 | $ 5,536 |
Fair Values (Narrative) (Detail
Fair Values (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Book and estimated fair values of financial instruments | ||
Loans receivable and other lending investments, net | $ 1,381,227 | $ 1,450,439 |
Debt obligations, net | 3,882,395 | 3,389,908 |
Fair Value | ||
Book and estimated fair values of financial instruments | ||
Loans receivable and other lending investments, net | 1,400,000 | 1,500,000 |
Debt obligations, net | $ 4,200,000 | $ 3,600,000 |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Segments) (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017USD ($)segments | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) | |
Segment Reporting [Abstract] | |||
Number of reportable segments | segments | 4 | ||
Segment Reporting | |||
Operating lease income | $ 52,591 | $ 54,937 | |
Interest income | 29,058 | 33,219 | |
Other income | 11,864 | 11,541 | |
Land development revenue | 20,050 | 14,947 | |
Earnings (loss) from equity method investments | 5,702 | 8,267 | |
Income from sales of real estate | 8,618 | 10,458 | |
Total revenue and other earnings | 127,883 | 133,369 | |
Real estate expense | (35,741) | (34,305) | |
Land development cost of sales | (15,910) | (11,575) | |
Other expense | (1,869) | (740) | |
Allocated interest expense | (51,193) | (57,021) | |
Allocated general and administrative | (19,292) | (18,525) | |
Segment profit (loss) | 3,878 | 11,203 | |
Other significant items: | |||
(Recovery of) provision for loan losses | (4,928) | 1,506 | |
Impairment of assets | 4,413 | ||
Depreciation and amortization | 13,067 | 14,708 | |
Capitalized expenditures | 35,573 | 50,916 | |
Real estate, net | 1,476,591 | $ 1,491,752 | |
Real estate available and held for sale | 71,934 | 83,764 | |
Total real estate | 1,548,525 | 1,575,516 | |
Land and development, net | 955,150 | 945,565 | |
Loans receivable and other lending investments, net | 1,381,227 | 1,450,439 | |
Other investments | 197,559 | 214,406 | |
Total portfolio assets | 4,082,461 | 4,185,926 | |
Cash and other assets | 1,212,055 | 639,588 | |
Total assets | 5,294,516 | 4,825,514 | |
Stock-based compensation expense | 5,881 | 4,577 | |
Land and Development | |||
Segment Reporting | |||
Income from sales of real estate | 4,140 | 3,372 | |
Operating Segments | Real Estate Finance | |||
Segment Reporting | |||
Operating lease income | 0 | 0 | |
Interest income | 29,058 | 33,219 | |
Other income | 76 | 1,297 | |
Land development revenue | 0 | 0 | |
Earnings (loss) from equity method investments | 0 | 0 | |
Income from sales of real estate | 0 | 0 | |
Total revenue and other earnings | 29,134 | 34,516 | |
Real estate expense | 0 | 0 | |
Land development cost of sales | 0 | 0 | |
Other expense | (605) | 86 | |
Allocated interest expense | (11,888) | (14,702) | |
Allocated general and administrative | (3,596) | (3,831) | |
Segment profit (loss) | 13,045 | 16,069 | |
Other significant items: | |||
(Recovery of) provision for loan losses | (4,928) | 1,506 | |
Impairment of assets | 0 | ||
Depreciation and amortization | 0 | 0 | |
Capitalized expenditures | 0 | 0 | |
Real estate, net | 0 | 0 | |
Real estate available and held for sale | 0 | 0 | |
Total real estate | 0 | 0 | |
Land and development, net | 0 | 0 | |
Loans receivable and other lending investments, net | 1,381,227 | 1,450,439 | |
Other investments | 0 | 0 | |
Total portfolio assets | 1,381,227 | 1,450,439 | |
Operating Segments | Net Lease | |||
Segment Reporting | |||
Operating lease income | 36,496 | 35,750 | |
Interest income | 0 | 0 | |
Other income | 506 | 80 | |
Land development revenue | 0 | 0 | |
Earnings (loss) from equity method investments | 981 | 946 | |
Income from sales of real estate | 6,720 | 4,928 | |
Total revenue and other earnings | 44,703 | 41,704 | |
Real estate expense | (4,726) | (4,508) | |
Land development cost of sales | 0 | 0 | |
Other expense | 0 | 0 | |
Allocated interest expense | (15,783) | (16,236) | |
Allocated general and administrative | (4,642) | (4,296) | |
Segment profit (loss) | 19,552 | 16,664 | |
Other significant items: | |||
(Recovery of) provision for loan losses | 0 | 0 | |
Impairment of assets | 0 | ||
Depreciation and amortization | 8,428 | 8,851 | |
Capitalized expenditures | 771 | 851 | |
Real estate, net | 998,314 | 1,015,590 | |
Real estate available and held for sale | 0 | 1,284 | |
Total real estate | 998,314 | 1,016,874 | |
Land and development, net | 0 | 0 | |
Loans receivable and other lending investments, net | 0 | 0 | |
Other investments | 92,024 | 92,669 | |
Total portfolio assets | 1,090,338 | 1,109,543 | |
Operating Segments | Operating Properties | |||
Segment Reporting | |||
Operating lease income | 15,989 | 19,081 | |
Interest income | 0 | 0 | |
Other income | 10,355 | 7,344 | |
Land development revenue | 0 | 0 | |
Earnings (loss) from equity method investments | 632 | (142) | |
Income from sales of real estate | 1,898 | 5,530 | |
Total revenue and other earnings | 28,874 | 31,813 | |
Real estate expense | (21,518) | (21,120) | |
Land development cost of sales | 0 | 0 | |
Other expense | 0 | 0 | |
Allocated interest expense | (5,606) | (6,620) | |
Allocated general and administrative | (1,755) | (1,870) | |
Segment profit (loss) | (5) | 2,203 | |
Other significant items: | |||
(Recovery of) provision for loan losses | 0 | 0 | |
Impairment of assets | 4,413 | ||
Depreciation and amortization | 4,039 | 5,283 | |
Capitalized expenditures | 8,210 | 15,797 | |
Real estate, net | 478,277 | 476,162 | |
Real estate available and held for sale | 71,934 | 82,480 | |
Total real estate | 550,211 | 558,642 | |
Land and development, net | 0 | 0 | |
Loans receivable and other lending investments, net | 0 | 0 | |
Other investments | 3,215 | 3,583 | |
Total portfolio assets | 553,426 | 562,225 | |
Operating Segments | Land and Development | |||
Segment Reporting | |||
Operating lease income | 106 | 106 | |
Interest income | 0 | 0 | |
Other income | 386 | 1,065 | |
Land development revenue | 20,050 | 14,947 | |
Earnings (loss) from equity method investments | 3,842 | 6,661 | |
Income from sales of real estate | 0 | 0 | |
Total revenue and other earnings | 24,384 | 22,779 | |
Real estate expense | (9,497) | (8,677) | |
Land development cost of sales | (15,910) | (11,575) | |
Other expense | 0 | 0 | |
Allocated interest expense | (8,118) | (8,359) | |
Allocated general and administrative | (3,926) | (3,270) | |
Segment profit (loss) | (13,067) | (9,102) | |
Other significant items: | |||
(Recovery of) provision for loan losses | 0 | 0 | |
Impairment of assets | 0 | ||
Depreciation and amortization | 270 | 300 | |
Capitalized expenditures | 26,592 | 34,268 | |
Real estate, net | 0 | 0 | |
Real estate available and held for sale | 0 | 0 | |
Total real estate | 0 | 0 | |
Land and development, net | 955,150 | 945,565 | |
Loans receivable and other lending investments, net | 0 | 0 | |
Other investments | 69,454 | 84,804 | |
Total portfolio assets | 1,024,604 | 1,030,369 | |
Corporate/Other | |||
Segment Reporting | |||
Operating lease income | 0 | 0 | |
Interest income | 0 | 0 | |
Other income | 541 | 1,755 | |
Land development revenue | 0 | 0 | |
Earnings (loss) from equity method investments | 247 | 802 | |
Income from sales of real estate | 0 | 0 | |
Total revenue and other earnings | 788 | 2,557 | |
Real estate expense | 0 | 0 | |
Land development cost of sales | 0 | 0 | |
Other expense | (1,264) | (826) | |
Allocated interest expense | (9,798) | (11,104) | |
Allocated general and administrative | (5,373) | (5,258) | |
Segment profit (loss) | (15,647) | (14,631) | |
Other significant items: | |||
(Recovery of) provision for loan losses | 0 | 0 | |
Impairment of assets | 0 | ||
Depreciation and amortization | 330 | 274 | |
Capitalized expenditures | 0 | $ 0 | |
Real estate, net | 0 | 0 | |
Real estate available and held for sale | 0 | 0 | |
Total real estate | 0 | 0 | |
Land and development, net | 0 | 0 | |
Loans receivable and other lending investments, net | 0 | 0 | |
Other investments | 32,866 | 33,350 | |
Total portfolio assets | $ 32,866 | $ 33,350 |
Segment Reporting (Reconciliati
Segment Reporting (Reconciliation of Segment Profit to Net Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Reconciliation of segment profit (loss) to income (loss) from continuing operations | ||
Segment profit | $ 3,878 | $ 11,203 |
Less: Recovery of (provision for) loan losses | 4,928 | (1,506) |
Less: Impairment of assets | (4,413) | 0 |
Less: Stock-based compensation expense | (5,881) | (4,577) |
Less: Depreciation and amortization | (13,067) | (14,708) |
Less: Income tax (expense) benefit | (607) | 414 |
Less: Loss on early extinguishment of debt, net | (210) | (125) |
Net income (loss) | $ (15,372) | $ (9,299) |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) $ in Thousands | Apr. 21, 2017USD ($) | Apr. 14, 2017USD ($)propertyleaseinvestor | Apr. 12, 2017USD ($) | Mar. 31, 2017property | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) |
Subsequent Event [Line Items] | ||||||
Repayments of debt | $ 353,191 | $ 282,755 | ||||
Gain sale of properties | 8,618 | 10,458 | ||||
Net proceeds from sales of land and development assets | $ 20,923 | $ 8,775 | ||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Number of properties | property | 12 | |||||
Carrying value of properties | $ 156,000 | |||||
Gain sale of properties | $ 178,000 | |||||
9.00% senior notes | ||||||
Subsequent Event [Line Items] | ||||||
Stated interest rates (as a percent) | 9.00% | 9.00% | ||||
9.00% senior notes | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Repayments of debt | $ 275,000 | |||||
Stated interest rates (as a percent) | 9.00% | |||||
Payments of make whole premium | $ 2,750 | |||||
2017 Secured Financing | ||||||
Subsequent Event [Line Items] | ||||||
Stated interest rates (as a percent) | 3.795% | 3.795% | ||||
Number of properties covered under master lease agreement | property | 5 | |||||
Real Estate Sales | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Net proceeds from sales of land and development assets | $ 231,100 | |||||
Payments for documentary transfer taxes | 6,300 | |||||
Sales proceeds from sale of land | 114,000 | |||||
Proceeds from interest received | 121,800 | |||||
Proceeds from real estate tax reimbursements | $ 1,600 | |||||
Participation interests held by third party (as a percent) | 4.30% | |||||
Safety, Income nad Growth, Inc. | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Noncontrolling interest (as a percent) | 49.00% | |||||
Ground Net Lease Business | Safety, Income nad Growth, Inc. | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Number of Institutional Investors | investor | 2 | |||||
Ownership interests acquired in ground net lease business | 51.00% | |||||
Number of properties | property | 12 | |||||
Number of ground net leases | lease | 7 | |||||
Number of master leases | lease | 1 | |||||
Number of properties covered under master lease agreement | property | 5 | |||||
Noncontrolling interest (as a percent) | 49.00% | |||||
Consideration transferred | $ 340,000 | |||||
Offering costs in connection with IPO | 25,000 | |||||
Ground Net Lease Business | Safety, Income nad Growth, Inc. | 2017 Secured Financing | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Assumption of long term debt | $ 227,000 |