Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 29, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-40896 | |
Entity Registrant Name | INVENTRUST PROPERTIES CORP. | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 34-2019608 | |
Entity Address, Address Line One | 3025 Highland Parkway, | |
Entity Address, Address Line Two | Suite 350 | |
Entity Address, City or Town | Downers Grove, | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60515 | |
City Area Code | (855) | |
Local Phone Number | 377-0510 | |
Title of 12(b) Security | Common stock, $0.001 par value | |
Trading Symbol | IVT | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 67,874,528 | |
Entity Central Index Key | 0001307748 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Investment properties | ||
Land | $ 698,532 | $ 694,668 |
Building and other improvements | 1,979,896 | 1,956,117 |
Construction in progress | 7,202 | 5,889 |
Total | 2,685,630 | 2,656,674 |
Less accumulated depreciation | (476,541) | (461,352) |
Net investment properties | 2,209,089 | 2,195,322 |
Cash, cash equivalents and restricted cash | 75,116 | 99,763 |
Intangible assets, net | 110,920 | 114,485 |
Accounts and rents receivable | 29,766 | 35,353 |
Deferred costs and other assets, net | 51,477 | 42,408 |
Total assets | 2,476,368 | 2,487,331 |
Liabilities | ||
Debt, net | 827,527 | 814,568 |
Accounts payable and accrued expenses | 28,764 | 44,583 |
Distributions payable | 15,360 | 14,594 |
Intangible liabilities, net | 29,730 | 30,344 |
Other liabilities | 26,938 | 29,198 |
Total liabilities | 928,319 | 933,287 |
Commitments and contingencies | ||
Stockholders' Equity | ||
Preferred stock, $0.001 par value, 40,000,000 shares authorized, none outstanding | 0 | 0 |
Common stock, $0.001 par value, 146,000,000 shares authorized, 67,874,528 shares issued and outstanding as of March 31, 2024 and 67,807,831 shares issued and outstanding as of December 31, 2023 | 68 | 68 |
Additional paid-in capital | 5,471,191 | 5,468,728 |
Distributions in excess of accumulated net income | (3,945,286) | (3,932,826) |
Accumulated comprehensive income | 22,076 | 18,074 |
Total stockholders' equity | 1,548,049 | 1,554,044 |
Total liabilities and stockholders' equity | $ 2,476,368 | $ 2,487,331 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 40,000,000 | 40,000,000 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 146,000,000 | 146,000,000 |
Common stock, shares issued (in shares) | 67,874,528 | 67,807,831 |
Common stock, shares outstanding (in shares) | 67,874,528 | 67,807,831 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income | ||
Lease income, net | $ 66,493 | $ 64,830 |
Total income | 66,798 | 65,205 |
Operating expenses | ||
Depreciation and amortization | 28,168 | 26,758 |
Property operating | 9,999 | 10,230 |
Real estate taxes | 8,981 | 9,628 |
General and administrative | 7,974 | 7,731 |
Total operating expenses | 55,122 | 54,347 |
Other (expense) income | ||
Interest expense, net | (9,634) | (9,509) |
Equity in losses of unconsolidated entities | 0 | (663) |
Other income and expense, net | 858 | 447 |
Total other (expense) income, net | (8,776) | (9,725) |
Net income | $ 2,900 | $ 1,133 |
Weighted-average common shares outstanding - basic (in shares) | 67,874,528 | 67,508,641 |
Weighted-average common shares outstanding - diluted (in shares) | 68,272,050 | 67,654,524 |
Net (loss) income per common share - basic (in dollars per share) | $ 0.04 | $ 0.02 |
Net (loss) income per common share - diluted (in dollars per share) | 0.04 | 0.02 |
Distributions declared per common share outstanding (in dollars per share) | 0.23 | 0.22 |
Distributions paid per common share outstanding (in dollars per share) | $ 0.22 | $ 0.20 |
Comprehensive income (loss) | ||
Net income | $ 2,900 | $ 1,133 |
Unrealized loss on derivatives | 7,319 | (3,317) |
Reclassification to net income | (3,317) | (2,892) |
Comprehensive income (loss) | 6,902 | (5,076) |
Other property income | ||
Income | ||
Income | 305 | 295 |
Other fee income | ||
Income | ||
Income | $ 0 | $ 80 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Distributions in Excess of Accumulated Net Income | Accumulated Comprehensive Income |
Balance beginning of period (in shares) at Dec. 31, 2022 | 67,472,553 | ||||
Balance beginning of period at Dec. 31, 2022 | $ 1,603,909 | $ 67 | $ 5,456,968 | $ (3,879,847) | $ 26,721 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 1,133 | 1,133 | |||
Unrealized gain (loss) on derivatives | (3,317) | (3,317) | |||
Reclassification to interest expense, net | (2,892) | (2,892) | |||
Distributions declared | (14,548) | (14,548) | |||
Stock-based compensation, net (in shares) | 36,088 | ||||
Stock-based compensation, net | 2,120 | $ 1 | 2,119 | ||
Balance end of period (in shares) at Mar. 31, 2023 | 67,508,641 | ||||
Balance end of period at Mar. 31, 2023 | $ 1,586,405 | $ 68 | 5,459,087 | (3,893,262) | 20,512 |
Balance beginning of period (in shares) at Dec. 31, 2023 | 67,807,831 | 67,807,831 | |||
Balance beginning of period at Dec. 31, 2023 | $ 1,554,044 | $ 68 | 5,468,728 | (3,932,826) | 18,074 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 2,900 | 2,900 | |||
Unrealized gain (loss) on derivatives | 7,319 | 7,319 | |||
Reclassification to interest expense, net | (3,317) | (3,317) | |||
Distributions declared | (15,360) | (15,360) | |||
Stock-based compensation, net (in shares) | 66,697 | ||||
Stock-based compensation, net | $ 2,463 | 2,463 | |||
Balance end of period (in shares) at Mar. 31, 2024 | 67,874,528 | 67,874,528 | |||
Balance end of period at Mar. 31, 2024 | $ 1,548,049 | $ 68 | $ 5,471,191 | $ (3,945,286) | $ 22,076 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net income | $ 2,900 | $ 1,133 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 28,168 | 26,758 |
Amortization of market-lease intangibles and inducements, net | (576) | (1,516) |
Amortization of debt discounts and financing costs | 575 | 854 |
Straight-line rent adjustments, net | (906) | (909) |
Reversal of estimated credit losses | (46) | (305) |
Equity in losses of unconsolidated entities | 0 | 663 |
Stock-based compensation expense, net | 2,191 | 1,967 |
Changes in operating assets and liabilities: | ||
Accounts and rents receivable | 6,539 | 5,505 |
Deferred costs and other assets, net | (4,749) | (3,513) |
Accounts payable and accrued expenses | (17,311) | (14,735) |
Other liabilities | (1,982) | 123 |
Net cash provided by operating activities | 14,803 | 16,025 |
Cash flows from investing activities: | ||
Purchase of investment properties | (16,527) | (129,635) |
Capital expenditures and tenant improvements | (4,872) | (4,734) |
Investment in development and redevelopment projects | (1,230) | (809) |
Distributions from unconsolidated entities | 0 | 79,255 |
Lease commissions and other leasing costs | (991) | (475) |
Other investing activities, net | (39) | 38 |
Net cash used in investing activities | (23,659) | (56,360) |
Cash flows from financing activities: | ||
Payment of tax withholdings for stock-based compensation | (1,197) | (556) |
Distributions to shareholders | (14,594) | (13,837) |
Line of credit proceeds | 0 | 30,000 |
Line of credit repayments | 0 | (30,000) |
Payoffs of debt | 0 | (13,700) |
Principal payments on mortgage debt | 0 | (32) |
Other financing activities | 0 | (11) |
Net cash used in financing activities | (15,791) | (28,136) |
Net decrease in cash, cash equivalents and restricted cash | (24,647) | (68,471) |
Cash, cash equivalents and restricted cash at the beginning of the period | 99,763 | 137,762 |
Cash, cash equivalents and restricted cash at the end of the period | 75,116 | 69,291 |
Cash flow disclosure, including non-cash activities: | ||
Cash paid for interest, net of capitalized interest | 12,713 | 11,343 |
Cash paid for income taxes | 3 | 3 |
Previously held equity investments in real estate assets acquired | 0 | 39,603 |
Distributions payable to shareholders | 15,360 | 14,548 |
Accrued capital expenditures and tenant improvements | 4,465 | 3,969 |
Capitalized costs placed in service | 3,066 | 2,424 |
Gross issuance of shares for stock-based compensation | 2,888 | 1,395 |
Purchase of investment properties: | ||
Net investment properties | 25,286 | 181,039 |
Accounts and rents receivable, lease intangibles, and deferred costs and other assets | 4,477 | 49,322 |
Accounts payable and accrued expenses, lease intangibles, and other liabilities | (646) | (8,950) |
Assumption of mortgage debt, at fair value | (12,590) | (91,776) |
Cash outflow for purchase of investment properties, net | 16,527 | 129,635 |
Assumption of mortgage principal | 13,000 | 92,468 |
Capitalized acquisition costs | (108) | (78) |
Credits and other changes in cash outflow, net | 81 | (425) |
Gross acquisition price of investment properties | $ 29,500 | $ 221,600 |
Organization
Organization | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization On October 4, 2004, InvenTrust Properties Corp. was incorporated as Inland American Real Estate Trust, Inc., a Maryland corporation, and elected to operate in a manner to be taxed as a real estate investment trust ("REIT") for federal tax purposes. The Company changed its name to InvenTrust Properties Corp. in April of 2015 and is focused on owning, leasing, redeveloping, acquiring, and managing a multi-tenant retail platform. As a REIT, the Company is entitled to a tax deduction for some or all of the dividends paid to stockholders. Accordingly, the Company generally will not be subject to federal income taxes as long as it currently distributes to stockholders an amount equal to or in excess of the Company's taxable income. If the Company fails to qualify as a REIT in any taxable year, without the benefit of certain relief provisions, the Company will be subject to federal and state income tax on its taxable income at regular corporate tax rates. The accompanying condensed consolidated financial statements include the accounts of the Company, as well as all wholly-owned subsidiaries. Subsidiaries generally consist of limited liability companies ("LLCs") and limited partnerships ("LPs"). All significant intercompany balances and transactions have been eliminated. Each retail property is owned by a separate legal entity that maintains its own books and financial records. Each separate legal entity's assets are not available to satisfy the liabilities of other affiliated entities. The Company has a single reportable segment, multi-tenant retail, for disclosure purposes in accordance with GAAP. The following table summarizes the Company's retail portfolio as of March 31, 2024 and 2023: Wholly-Owned Retail Properties 2024 2023 No. of properties 63 62 Gross Leasable Area (square feet) 10,385 10,295 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in accordance with GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates, judgments and assumptions are required in a number of areas, including, but not limited to, evaluating the impairment of long-lived assets, allocating the purchase price of acquired retail properties, determining the fair value of debt and evaluating the collectibility of accounts receivable. The Company bases these estimates, judgments and assumptions on historical experience and various other factors that the Company believes to be reasonable under the circumstances. Actual results may differ from these estimates. Recently Issued Accounting Pronouncements The following table summarizes recently issued accounting pronouncements and the potential impact on the Company: Standard Description Effective Date Effect on the financial statements or other significant matters ASU No. 2023-07 The Accounting Standards Update ("ASU") is intended to improve financial reporting by requiring enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker so investors can better understand an entity's overall performance and assess future cash flows. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. Fiscal years beginning January 1, 2024, and interim periods for fiscal years beginning The Company is continuing to evaluate this guidance, but expects the standard to impact its disclosures pertaining to having a single reportable segment and is not anticipated to have an impact on the Company's financial position, results of operations, or cash flows. Other recently issued accounting standards or pronouncements not disclosed in the foregoing table have been excluded because they are either not relevant to the Company, or are not expected to have, or did not have, a material effect on the condensed consolidated financial statements of the Company. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Operating Leases Minimum lease payments to be received under long-term operating leases and short-term specialty leases, excluding additional percentage rent based on tenants' sales volume and tenant reimbursements of certain operating expenses, and assuming no exercise of renewal options or early termination rights, are as follows: As of March 31, 2024 Remaining 2024 $ 144,351 2025 183,689 2026 164,701 2027 131,947 2028 105,073 Thereafter 359,216 Total $ 1,088,977 The foregoing table includes payments from tenants who have taken possession of their space and tenants who have been moved to the cash basis of accounting for revenue recognition purposes. The remaining lease terms range from less than one year to fifty-seven years. The following table reflects the disaggregation of lease income, net: Three months ended March 31 2024 2023 Minimum base rent $ 42,447 $ 40,476 Real estate tax recoveries 8,105 8,517 Common area maintenance, insurance, and other recoveries 7,854 6,949 Ground rent income 4,737 4,710 Amortization of market-lease intangibles and inducements, net 576 1,516 Short-term and other lease income 1,261 1,314 Termination fee income 561 134 Straight-line rent adjustments, net 906 909 Reversal of uncollectible billed rent and recoveries, net 46 305 Lease income, net $ 66,493 $ 64,830 |
Acquired Properties
Acquired Properties | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquired Properties | Acquired Properties The following table reflects the retail properties acquired, accounted for as asset acquisitions, during the three months ended March 31, 2024: Acquisition Date Property Metropolitan Area Square Feet Gross Assumption of February 1, 2024 The Plant (a) Phoenix, AZ 57 $ 29,500 $ 13,000 57 $ 29,500 $ 13,000 (a) The Company recognized a fair value adjustment of $410 related to the mortgage payable secured by the property. The following table reflects the retail properties acquired, accounted for as asset acquisitions, during the three months ended March 31, 2023: Acquisition Date Property Metropolitan Area Square Feet Gross Assumption of January 18, 2023 Bay Colony (a) Houston, TX 416 $ 79,100 $ 41,969 January 18, 2023 Blackhawk Town Center (a) Houston, TX 127 26,300 13,008 January 18, 2023 Cyfair Town Center (a) Houston, TX 433 79,200 30,880 January 18, 2023 Stables Town Center (a) Houston, TX 148 37,000 6,611 1,124 $ 221,600 $ 92,468 (a) These retail properties were acquired from the Company's unconsolidated joint venture, IAGM Retail Fund I, LLC, as disclosed in "Note 6. Investment in Unconsolidated Entities". The Company recognized a fair value adjustment of $692 related to the pooled mortgage debt on these properties. Transaction costs of $108 and $78 were capitalized during the three months ended March 31, 2024 and 2023, respectively. |
Disposed Properties
Disposed Properties | 3 Months Ended |
Mar. 31, 2024 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposed Properties | Disposed Properties There were no properties disposed of during the three months ended March 31, 2024 and 2023. |
Investment in Unconsolidated En
Investment in Unconsolidated Entities | 3 Months Ended |
Mar. 31, 2024 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment in Unconsolidated Entities | Investment in Unconsolidated Entities Liquidation of Joint Venture Interest in IAGM On April 17, 2013, the Company and PGGM Private Real Estate Fund formed IAGM Retail Fund I, LLC ("IAGM"), a joint venture partnership for the purpose of acquiring, owning, managing, and disposing of retail properties and sharing in the profits and losses from those retail properties and their activities. On January 18, 2023, the Company acquired the four remaining retail properties from IAGM for an aggregate purchase price of $222.3 million by acquiring 100% of the membership interests in each of IAGM's wholly owned subsidiaries . The Company assumed aggregate mortgage debt of $92.5 million and funded the remaining balance with its available liquidity. IAGM recognized a gain on sale of $45.2 million, of which the Company's share was approximately $24.9 million. Subsequent to the transaction, IAGM proportionately distributed substantially all net proceeds from the sale, of which the Company's share was approximately $71.4 million . In connection with the foregoing, IAGM adopted a liquidation plan on January 11, 2023. On December 15, 2023, IAGM was fully liquidated. The Company's aggregate deferred gains related to its previously owned equity interest in real estate acquisitions from IAGM of $39.9 million are reflected in the basis of the respective acquired assets. Previously, deferred gains were reflected as a reduction of the Company's investment in IAGM and amortized to equity in earnings of unconsolidated entities. On January 18, 2023, the Company also acquired IAGM's two interest rate swap agreements which achieved fixed interest rates on an aggregate notional amount of $75.0 million of the assumed pooled mortgage priced in a Secured Overnight Financing Rate ("SOFR"), each of which reprice monthly ("1-Month Term SOFR"). IAGM recognized a gain on sale of $2.6 million representing the fair value of the derivatives, of which the Company's share was approximately $1.4 million. The Company deferred its share of IAGM's gain on sale of derivatives, initially reflecting it within accumulated comprehensive income and amortizing it to interest expense, net, through the instruments' maturity date. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2024 | |
Notes and Loans Payable [Abstract] | |
Debt | Debt The Company's debt consists of mortgages payable, unsecured term loans, senior notes, and an unsecured revolving line of credit. The Company believes it has the ability to repay, refinance or extend any of its debt, and that it has adequate sources of funds to meet short-term cash needs. It is anticipated that the Company will use proceeds from property sales, cash on hand, and available capacity on credit agreements, if any, to repay, refinance or extend the mortgages payable maturing in the near term. The Company's credit agreements and mortgage loans require compliance with certain covenants, such as debt service coverage ratios, investment restrictions and distribution limitations. As of March 31, 2024 and December 31, 2023, the Company was in compliance with all loan covenants. On February 6, 2023, the Company extinguished the $13.7 million mortgage payable secured by Renaissance Center with its available liquidity. Credit Agreements On September 22, 2021, the Company entered into an amendment to the Revolving Credit Agreement (the "Amended Revolving Credit Agreement"), which provides for, among other things, an extension of the maturity of the $350.0 million Revolving Credit Agreement to September 22, 2025, with two six-month extension options. On September 22, 2021, the Company entered into an amendment to its $400.0 million Term Loan Credit Agreement (the "Amended Term Loan Agreement"), which provides for, among other things, an extension of the maturity dates and a reallocation of indebtedness under the two outstanding tranches of term loans thereunder. The Amended Term Loan Agreement consists of a $200.0 million 5-year tranche maturing on September 22, 2026, and a $200.0 million 5.5-year tranche maturing on March 22, 2027. On June 3, 2022, in connection with and upon effectiveness of the Note Purchase Agreement (as defined below) and in accordance with the terms of the Amended Term Loan Credit Agreement and Amended Revolving Credit Agreement, each of the administrative agents under such agreements released all of the subsidiary guarantors from their guaranty obligations that were previously made for the benefit of the lenders under such agreements. Interest Rate Swaps The Company is party to five effective interest rate swap agreements and two interest rate forward swap agreements, which address the periods between the maturity dates of the effective swaps and the maturity dates of the Amended Term Loan Agreement. In tandem, the interest rate swaps achieve fixed interest rates for a constant notional amount through the maturity dates of the Amended Term Loan Agreement. On March 16, 2023, the Company entered into one interest rate swap agreement with a notional amount of $100.0 million at 3.69%, achieving a fixed interest rate of 4.99%. As of the effective date of April 3, 2023, the entirety of the Company's variable rate term loans were swapped to fixed rates through the maturity dates of the Amended Term Loan Agreement. Senior Notes On August 11, 2022, the Company issued $250.0 million aggregate principal amount of senior notes in a private placement, of which (i) $150.0 million are designated as 5.07% Senior Notes, Series A, due August 11, 2029 (the "Series A Notes") and (ii) $100.0 million are designated as 5.20% Senior Notes, Series B, due August 11, 2032 (the "Series B Notes" and, together with the Series A Notes, the "Notes") pursuant to a note purchase agreement (the "Note Purchase Agreement"), dated June 3, 2022, between the Company and the various purchasers named therein. The Notes were issued at par in accordance with the Note Purchase Agreement and pay interest semiannually on February 11th and August 11th until their respective maturities. The Company may prepay at any time all or any part of the Notes, in an amount not less than 5% of the aggregate principal amount of any series of the Notes then outstanding in the case of a partial prepayment, at 100% of the principal amount prepaid plus accrued interest and a Make-Whole Amount (as defined in the Note Purchase Agreement). The Notes will be required to be absolutely and unconditionally guaranteed by certain subsidiaries of the Company that guarantee certain material credit facilities of the Company. Currently, there are no subsidiary guarantees of the Notes. The following table summarizes the Company's debt as of March 31, 2024 and December 31, 2023: As of March 31, 2024 As of December 31, 2023 Maturity Date Rate Type Interest Rate Amount Interest Rate Amount Mortgages Payable Fixed rate mortgages payable Various Fixed 4.01% (a) $ 109,080 4.01% (a) $ 96,080 Variable rate mortgages payable (b) 11/2/2024 Variable 1M SOFR + 1.65% (c) 72,468 1M SOFR + 1.65% (c) 72,468 Total 181,548 168,548 Term Loan $200.0 million 5 years 9/22/2026 Fixed 2.81% (d) 100,000 2.81% (d) 100,000 $200.0 million 5 years 9/22/2026 Fixed 2.81% (d) 100,000 2.81% (d) 100,000 $200.0 million 5.5 years 3/22/2027 Fixed 2.77% (d) 50,000 2.77% (d) 50,000 $200.0 million 5.5 years 3/22/2027 Fixed 2.76% (d) 50,000 2.76% (d) 50,000 $200.0 million 5.5 years 3/22/2027 Fixed 4.99% (d) 100,000 4.99% (d) 100,000 Total 400,000 400,000 Senior Notes $150.0 million Series A Notes 8/11/2029 Fixed 5.07% 150,000 5.07% 150,000 $100.0 million Series B Notes 8/11/2032 Fixed 5.20% 100,000 5.20% 100,000 Total 250,000 250,000 Revolving Line of Credit $350.0 million total capacity 9/22/2025 Variable 1M SOFR + 1.14% (c)(e) — 1M SOFR + 1.14% (c)(e) — Total debt 4.28% 831,548 4.29% 818,548 Debt discounts and issuance costs, net (4,021) (3,980) Debt, net $ 827,527 $ 814,568 (a) Interest rates reflect the weighted average of the Company's mortgages payable. (b) These mortgages payable are cross collateralized by three properties and have one 12-month extension option. (c) As of March 31, 2024 and December 31, 2023, 1-Month Term SOFR was 5.33% and 5.35%, respectively. (d) Interest rates reflect the fixed rates achieved through the Company's interest rate swaps. (e) Interest rate applies to drawn balance only. Additional annual facility fee of 0.15% applies to entire line of credit capacity. The following table summarizes the scheduled maturities of the Company's mortgages payable as of March 31, 2024: Scheduled maturities by year: As of March 31, 2024 2024 $ 88,168 2025 35,880 2026 — 2027 26,000 2028 — Thereafter 31,500 Total mortgage payable maturities $ 181,548 |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Recurring Measurements The following financial instruments are remeasured at fair value on a recurring basis: Fair Value Measurements as of March 31, 2024 December 31, 2023 Cash Flow Hedges: (a) (b) Level 1 Level 2 (c) Level 3 Level 1 Level 2 (c) Level 3 Derivative interest rate swaps — $ 22,076 — — $ 18,074 — (a) During the twelve months subsequent to March 31, 2024, an estimated $11,277 of derivative interest rate balances recognized in accumulated comprehensive income will be reclassified into earnings. (b) As of March 31, 2024 and December 31, 2023, the Company determined that the credit valuation adjustments associated with nonperformance risk are not significant to the overall valuation of its derivatives. As a result, the Company's derivative valuations in their entirety are classified as Level 2 of the fair value hierarchy. (c) The Company's derivative assets or liabilities are recognized as a part of deferred costs and other assets, net or other liabilities, respectively. Nonrecurring Measurements Investment Properties During the three months ended March 31, 2024 and 2023 , the Company had no Level 3 nonrecurring fair value measurements. Financial Instruments Not Measured at Fair Value The table below summarizes the estimated fair value of financial instruments presented at carrying values in the Company's condensed consolidated financial statements as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 Carrying Value Estimated Market Carrying Value Estimated Market Mortgages payable $ 181,548 $ 173,231 7.34 % $ 168,548 $ 161,320 6.86 % Senior notes 250,000 231,959 6.49 % 250,000 233,635 6.31 % Term loans 400,000 399,187 5.65 % 400,000 399,539 5.10 % Revolving line of credit — — N/A — — N/A The market interest rates used to estimate the fair value of the Company's mortgages payable, senior notes, term loans, and revolving line of credit reflect the terms currently available on similar borrowing terms to borrowers with credit profiles similar to that of the Company. The Company classifies its debt instrument valuations within Level 2 of the fair value hierarchy. |
Earnings Per Share and Equity T
Earnings Per Share and Equity Transactions | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Share and Equity Transactions | Earnings Per Share and Equity Transactions Basic earnings per share ("EPS") is computed by dividing net income or loss attributed to common shares by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that may occur from awards issued pursuant to stock-based compensation plans. The following table reconciles the amounts used in calculating basic and diluted EPS: Three months ended March 31 2024 2023 Numerator: Net income attributed to common shares - basic and diluted $ 2,900 $ 1,133 Denominator: Weighted average common shares outstanding - basic 67,874,528 67,508,641 Dilutive effect of unvested restricted shares (a) (b) 397,522 145,883 Weighted average common shares outstanding - diluted 68,272,050 67,654,524 Basic and diluted earnings per common share: Net income per common share - basic $ 0.04 $ 0.02 Net income per common share - diluted $ 0.04 $ 0.02 (a) For the three months ended March 31, 2024 and 2023, the Company has excluded the anti-dilutive effect of market-based awards granted in 2024 and 2023, respectively. ATM Program On March 7, 2022, the Company established an at-the-market equity offering program (the "ATM Program") through which the Company may sell from time to time up to an aggregate of $250.0 million of its common stock. In connection with the ATM Program, the Company may sell shares of its common stock to or through sales agents, or may enter into separate forward sale agreements with one of the agents, or one of their respective affiliates, as a forward purchaser. As of March 31, 2024, $244.6 million of common stock remains available for issuance under the ATM Program. Share Repurchase Program |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Incentive Award Plan The Company's Board adopted the InvenTrust Properties Corp. 2015 Incentive Award Plan effective as of June 19, 2015 and the first amendment to such plan on May 6, 2016 (as amended, the "Incentive Award Plan"). The Company is authorized to issue or transfer up to 3,000,000 shares (the "Share Limit") of the Company's common stock pursuant to awards granted under the Incentive Award Plan. On March 20, 2024, the Company's Board adopted the second amendment to the Incentive Award Plan (the "Amendment"), subject to approval of the Incentive Award Plan, as amended by the Amendment, by the Company's stockholders at the Company's 2024 annual meeting of stockholders to be held on May 7, 2024. If the Incentive Award Plan, as amended by the Amendment, is approved by the Company's stockholders, it will, among other things, increase the Share Limit by 2,750,000 shares to 5,750,000 shares. Outstanding restricted stock unit ("RSU") awards are categorized as either time-based awards, performance-based awards, or market-based awards. All awards are granted at fair value, earn dividends throughout the vesting period, and have no voting rights. As of March 31, 2024, 143,456 shares were available for future issuance under the Incentive Award Plan. Market-based awards are valued as of the grant date utilizing a Monte Carlo simulation model that assesses the probability of satisfying certain market performance thresholds over a three year performance period. The following table summarizes the Company's significant assumptions used in the Monte Carlo simulation models: At Grant Date 2024 2023 Volatility 31.00% 34.00% Risk free interest rate 4.42% 4.45% Dividend Yield 3.40% 3.20% The following table summarizes the Company's RSU activity during the three months ended March 31, 2024: Unvested Time- Unvested Performance Weighted-Average Grant Outstanding as of January 1, 2024 147,592 1,024,771 $19.36 Shares granted 159,252 335,936 $19.39 Shares vested — (113,954) $28.90 Unearned performance shares added back to Share Limit — (82,665) $28.90 Shares forfeited (2,190) (17,360) $17.41 Outstanding as of March 31, 2024 304,654 1,146,728 $18.24 Employee Stock Purchase Plan On May 4, 2023, the Company established an Employee Stock Purchase Plan (the "ESPP") pursuant to which employees may purchase up to an aggregate of 3,300,000 shares of the Company's common stock, of which 3,288,272 shares remain available for future issuance as of March 31, 2024. Stock-Based Compensation Expense The following table summarizes the Company's stock-based compensation expense: Three months ended March 31 2024 2023 Incentive Award Plan, net (a) $ 2,156 $ 1,967 Employee Stock Purchase Plan (b) 35 — Stock-based compensation expense, net $ 2,191 $ 1,967 (a) As of March 31, 2024, there was $16,868 of total estimated unrecognized compensation expense related to the Incentive Award Plan which will be recognized through December 2026. (b) As of March 31, 2024, there was $183 of total estimated unrecognized compensation expense related to the ESPP which will be recognized through December 2025. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Matters The Company is subject, from time to time, to various types of third-party legal claims or litigation that arise in the ordinary course of business, including, but not limited to, property loss claims, personal injury or other damages resulting from contact with the Company's properties. These claims and lawsuits and any resulting damages are generally covered by the Company's insurance policies. The Company accrues for legal costs associated with loss contingencies when these costs are probable and reasonably estimable. While the resolution of these matters cannot be predicted with certainty, based on currently available information, management does not expect that the final outcome of any pending claims or legal proceedings will have a material adverse effect on the financial condition, results of operations or cash flows of the Company. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events In preparing its condensed consolidated financial statements, the Company evaluated events and transactions occurring after March 31, 2024 through the date the financial statements were issued for recognition and disclosure purposes. On April 9, 2024, the Company acquired Moores Mill, a 70,000 square foot neighborhood center anchored by Publix in Atlanta, Georgia for a gross acquisition price of $28.0 million. The Company used cash on hand to fund the acquisition. |
Organization (Tables)
Organization (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Multi-Tenant Retail Portfolio | The following table summarizes the Company's retail portfolio as of March 31, 2024 and 2023: Wholly-Owned Retail Properties 2024 2023 No. of properties 63 62 Gross Leasable Area (square feet) 10,385 10,295 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Minimum Lease Payments to be Received | Minimum lease payments to be received under long-term operating leases and short-term specialty leases, excluding additional percentage rent based on tenants' sales volume and tenant reimbursements of certain operating expenses, and assuming no exercise of renewal options or early termination rights, are as follows: As of March 31, 2024 Remaining 2024 $ 144,351 2025 183,689 2026 164,701 2027 131,947 2028 105,073 Thereafter 359,216 Total $ 1,088,977 |
Schedule of Disaggregation of Lease Income, Net | The following table reflects the disaggregation of lease income, net: Three months ended March 31 2024 2023 Minimum base rent $ 42,447 $ 40,476 Real estate tax recoveries 8,105 8,517 Common area maintenance, insurance, and other recoveries 7,854 6,949 Ground rent income 4,737 4,710 Amortization of market-lease intangibles and inducements, net 576 1,516 Short-term and other lease income 1,261 1,314 Termination fee income 561 134 Straight-line rent adjustments, net 906 909 Reversal of uncollectible billed rent and recoveries, net 46 305 Lease income, net $ 66,493 $ 64,830 |
Acquired Properties (Tables)
Acquired Properties (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Retail Properties Acquired | The following table reflects the retail properties acquired, accounted for as asset acquisitions, during the three months ended March 31, 2024: Acquisition Date Property Metropolitan Area Square Feet Gross Assumption of February 1, 2024 The Plant (a) Phoenix, AZ 57 $ 29,500 $ 13,000 57 $ 29,500 $ 13,000 (a) The Company recognized a fair value adjustment of $410 related to the mortgage payable secured by the property. The following table reflects the retail properties acquired, accounted for as asset acquisitions, during the three months ended March 31, 2023: Acquisition Date Property Metropolitan Area Square Feet Gross Assumption of January 18, 2023 Bay Colony (a) Houston, TX 416 $ 79,100 $ 41,969 January 18, 2023 Blackhawk Town Center (a) Houston, TX 127 26,300 13,008 January 18, 2023 Cyfair Town Center (a) Houston, TX 433 79,200 30,880 January 18, 2023 Stables Town Center (a) Houston, TX 148 37,000 6,611 1,124 $ 221,600 $ 92,468 (a) These retail properties were acquired from the Company's unconsolidated joint venture, IAGM Retail Fund I, LLC, as disclosed in "Note 6. Investment in Unconsolidated Entities". The Company recognized a fair value adjustment of $692 related to the pooled mortgage debt on these properties. |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Notes and Loans Payable [Abstract] | |
Schedule of Debt | The following table summarizes the Company's debt as of March 31, 2024 and December 31, 2023: As of March 31, 2024 As of December 31, 2023 Maturity Date Rate Type Interest Rate Amount Interest Rate Amount Mortgages Payable Fixed rate mortgages payable Various Fixed 4.01% (a) $ 109,080 4.01% (a) $ 96,080 Variable rate mortgages payable (b) 11/2/2024 Variable 1M SOFR + 1.65% (c) 72,468 1M SOFR + 1.65% (c) 72,468 Total 181,548 168,548 Term Loan $200.0 million 5 years 9/22/2026 Fixed 2.81% (d) 100,000 2.81% (d) 100,000 $200.0 million 5 years 9/22/2026 Fixed 2.81% (d) 100,000 2.81% (d) 100,000 $200.0 million 5.5 years 3/22/2027 Fixed 2.77% (d) 50,000 2.77% (d) 50,000 $200.0 million 5.5 years 3/22/2027 Fixed 2.76% (d) 50,000 2.76% (d) 50,000 $200.0 million 5.5 years 3/22/2027 Fixed 4.99% (d) 100,000 4.99% (d) 100,000 Total 400,000 400,000 Senior Notes $150.0 million Series A Notes 8/11/2029 Fixed 5.07% 150,000 5.07% 150,000 $100.0 million Series B Notes 8/11/2032 Fixed 5.20% 100,000 5.20% 100,000 Total 250,000 250,000 Revolving Line of Credit $350.0 million total capacity 9/22/2025 Variable 1M SOFR + 1.14% (c)(e) — 1M SOFR + 1.14% (c)(e) — Total debt 4.28% 831,548 4.29% 818,548 Debt discounts and issuance costs, net (4,021) (3,980) Debt, net $ 827,527 $ 814,568 (a) Interest rates reflect the weighted average of the Company's mortgages payable. (b) These mortgages payable are cross collateralized by three properties and have one 12-month extension option. (c) As of March 31, 2024 and December 31, 2023, 1-Month Term SOFR was 5.33% and 5.35%, respectively. (d) Interest rates reflect the fixed rates achieved through the Company's interest rate swaps. (e) Interest rate applies to drawn balance only. Additional annual facility fee of 0.15% applies to entire line of credit capacity. |
Schedule of Maturities for Outstanding Mortgage Indebtedness | The following table summarizes the scheduled maturities of the Company's mortgages payable as of March 31, 2024: Scheduled maturities by year: As of March 31, 2024 2024 $ 88,168 2025 35,880 2026 — 2027 26,000 2028 — Thereafter 31,500 Total mortgage payable maturities $ 181,548 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Quantitative Disclosure of the Fair Value for Each Major Category of Assets and Liabilities | The following financial instruments are remeasured at fair value on a recurring basis: Fair Value Measurements as of March 31, 2024 December 31, 2023 Cash Flow Hedges: (a) (b) Level 1 Level 2 (c) Level 3 Level 1 Level 2 (c) Level 3 Derivative interest rate swaps — $ 22,076 — — $ 18,074 — (a) During the twelve months subsequent to March 31, 2024, an estimated $11,277 of derivative interest rate balances recognized in accumulated comprehensive income will be reclassified into earnings. (b) As of March 31, 2024 and December 31, 2023, the Company determined that the credit valuation adjustments associated with nonperformance risk are not significant to the overall valuation of its derivatives. As a result, the Company's derivative valuations in their entirety are classified as Level 2 of the fair value hierarchy. (c) The Company's derivative assets or liabilities are recognized as a part of deferred costs and other assets, net or other liabilities, respectively. |
Schedule of Fair Value of Financial Instruments Presented at Carrying Values | The table below summarizes the estimated fair value of financial instruments presented at carrying values in the Company's condensed consolidated financial statements as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 Carrying Value Estimated Market Carrying Value Estimated Market Mortgages payable $ 181,548 $ 173,231 7.34 % $ 168,548 $ 161,320 6.86 % Senior notes 250,000 231,959 6.49 % 250,000 233,635 6.31 % Term loans 400,000 399,187 5.65 % 400,000 399,539 5.10 % Revolving line of credit — — N/A — — N/A |
Earnings Per Share and Equity_2
Earnings Per Share and Equity Transactions (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table reconciles the amounts used in calculating basic and diluted EPS: Three months ended March 31 2024 2023 Numerator: Net income attributed to common shares - basic and diluted $ 2,900 $ 1,133 Denominator: Weighted average common shares outstanding - basic 67,874,528 67,508,641 Dilutive effect of unvested restricted shares (a) (b) 397,522 145,883 Weighted average common shares outstanding - diluted 68,272,050 67,654,524 Basic and diluted earnings per common share: Net income per common share - basic $ 0.04 $ 0.02 Net income per common share - diluted $ 0.04 $ 0.02 (a) For the three months ended March 31, 2024 and 2023, the Company has excluded the anti-dilutive effect of market-based awards granted in 2024 and 2023, respectively. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Share-based Payment Award, Valuation Assumptions | The following table summarizes the Company's significant assumptions used in the Monte Carlo simulation models: At Grant Date 2024 2023 Volatility 31.00% 34.00% Risk free interest rate 4.42% 4.45% Dividend Yield 3.40% 3.20% |
Schedule of Restricted Stock Unit Activity | The following table summarizes the Company's RSU activity during the three months ended March 31, 2024: Unvested Time- Unvested Performance Weighted-Average Grant Outstanding as of January 1, 2024 147,592 1,024,771 $19.36 Shares granted 159,252 335,936 $19.39 Shares vested — (113,954) $28.90 Unearned performance shares added back to Share Limit — (82,665) $28.90 Shares forfeited (2,190) (17,360) $17.41 Outstanding as of March 31, 2024 304,654 1,146,728 $18.24 |
Schedule of Company's Stock-Based Compensation Expense | The following table summarizes the Company's stock-based compensation expense: Three months ended March 31 2024 2023 Incentive Award Plan, net (a) $ 2,156 $ 1,967 Employee Stock Purchase Plan (b) 35 — Stock-based compensation expense, net $ 2,191 $ 1,967 (a) As of March 31, 2024, there was $16,868 of total estimated unrecognized compensation expense related to the Incentive Award Plan which will be recognized through December 2026. (b) As of March 31, 2024, there was $183 of total estimated unrecognized compensation expense related to the ESPP which will be recognized through December 2025. |
Organization (Details)
Organization (Details) - Retail | Mar. 31, 2024 ft² property | Mar. 31, 2023 ft² property |
Entity Information [Line Items] | ||
Number of retail properties | property | 63 | 62 |
Gross Leasable Area (square feet) | ft² | 10,385,000 | 10,295,000 |
Revenue Recognition - Minimum L
Revenue Recognition - Minimum Lease Payments (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Minimum Lease Payments: | |
Remaining 2024 | $ 144,351 |
2025 | 183,689 |
2026 | 164,701 |
2027 | 131,947 |
2028 | 105,073 |
Thereafter | 359,216 |
Total | $ 1,088,977 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) | Mar. 31, 2024 |
Minimum | |
Disaggregation of Revenue [Line Items] | |
Remaining lease term | 1 year |
Maximum | |
Disaggregation of Revenue [Line Items] | |
Remaining lease term | 57 years |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Lease Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Minimum base rent | $ 42,447 | $ 40,476 |
Lease income, net | 66,493 | 64,830 |
Real estate tax recoveries | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 8,105 | 8,517 |
Common area maintenance, insurance, and other recoveries | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 7,854 | 6,949 |
Ground rent income | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 4,737 | 4,710 |
Amortization of market-lease intangibles and inducements, net | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 576 | 1,516 |
Short-term and other lease income | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 1,261 | 1,314 |
Termination fee income | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 561 | 134 |
Straight-line rent adjustments, net | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | 906 | 909 |
Reversal of uncollectible billed rent and recoveries, net | ||
Disaggregation of Revenue [Line Items] | ||
Lease income, net | $ 46 | $ 305 |
Acquired Properties - Schedule
Acquired Properties - Schedule of Retail Properties Acquired (Details) - Retail ft² in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) ft² | Mar. 31, 2023 USD ($) ft² | |
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 57 | 1,124 |
Gross Acquisition Price | $ 29,500 | $ 221,600 |
Assumption of Mortgage Debt | 13,000 | 92,468 |
Fair value assumption of mortgage debt | $ 410 | $ 692 |
The Plant | ||
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 57 | |
Gross Acquisition Price | $ 29,500 | |
Assumption of Mortgage Debt | $ 13,000 | |
Bay Colony | ||
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 416 | |
Gross Acquisition Price | $ 79,100 | |
Assumption of Mortgage Debt | $ 41,969 | |
Blackhawk Town Center | ||
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 127 | |
Gross Acquisition Price | $ 26,300 | |
Assumption of Mortgage Debt | $ 13,008 | |
Cyfair Town Center | ||
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 433 | |
Gross Acquisition Price | $ 79,200 | |
Assumption of Mortgage Debt | $ 30,880 | |
Stables Town Center | ||
Real Estate Properties [Line Items] | ||
Gross Leasable Area (square feet) | ft² | 148 | |
Gross Acquisition Price | $ 37,000 | |
Assumption of Mortgage Debt | $ 6,611 |
Acquired Properties - Narrative
Acquired Properties - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | ||
Transaction costs capitalized | $ 108 | $ 78 |
Investment in Unconsolidated _2
Investment in Unconsolidated Entities - Narrative (Details) | 3 Months Ended | ||||
Jan. 19, 2023 USD ($) | Jan. 18, 2023 USD ($) property interest_rate_swap | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 16, 2023 USD ($) | |
Variable Interest Entity [Line Items] | |||||
Gain on sale of investment real estate | $ 24,900,000 | ||||
Distributions from unconsolidated entities | $ 0 | $ 79,255,000 | |||
Gain on sale of derivatives | $ 1,400,000 | ||||
Interest Rate Swap | |||||
Variable Interest Entity [Line Items] | |||||
Number of instruments acquired | interest_rate_swap | 2 | ||||
Notional amount | $ 75,000,000 | $ 100,000,000 | |||
IAGM | |||||
Variable Interest Entity [Line Items] | |||||
Number of properties acquired | property | 4 | ||||
Purchase price | $ 222,300,000 | ||||
Assumed aggregate mortgage debt | 92,500,000 | ||||
Distributions from unconsolidated entities | $ 71,400,000 | ||||
IAGM Retail Fund LLC | |||||
Variable Interest Entity [Line Items] | |||||
Gain on sale of derivatives | $ 2,600,000 | ||||
IAGM Retail Fund LLC | |||||
Variable Interest Entity [Line Items] | |||||
Ownership percentage | 100% | ||||
Gain on sale of investment real estate | $ 45,200,000 | ||||
Deferred gain on real estates | $ 39,900,000 |
Debt - Narrative (Details)
Debt - Narrative (Details) | Feb. 06, 2023 USD ($) | Aug. 11, 2022 USD ($) | Sep. 22, 2021 USD ($) tranche extension_option | Mar. 31, 2024 USD ($) interest_rate_swap | Dec. 31, 2023 | Mar. 16, 2023 USD ($) interest_rate_swap | Jan. 18, 2023 USD ($) |
Debt Instrument [Line Items] | |||||||
Number of tranches | tranche | 2 | ||||||
Interest rate | 4.28% | 4.29% | |||||
Interest Rate Swap | |||||||
Debt Instrument [Line Items] | |||||||
Number of interest rate derivative instruments | interest_rate_swap | 5 | 1 | |||||
Notional amount | $ 100,000,000 | $ 75,000,000 | |||||
Fixed interest rate | 4.99% | ||||||
Interest Rate Forward Swap | |||||||
Debt Instrument [Line Items] | |||||||
Number of interest rate derivative instruments | interest_rate_swap | 2 | ||||||
Mortgages payable | |||||||
Debt Instrument [Line Items] | |||||||
Extinguishment of mortgage payable | $ 13,700,000 | ||||||
Revolving line of credit | Revolving line of credit | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing capacity | $ 350,000,000 | ||||||
Number of extension options | extension_option | 2 | ||||||
Extension option on line of credit, period | 6 months | ||||||
Unsecured Debt | Term loans | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 400,000,000 | ||||||
Unsecured Debt | Term Loan, Tranche One | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 200,000,000 | ||||||
Debt instrument, term | 5 years | ||||||
Unsecured Debt | Term Loan, Tranche Two | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 200,000,000 | ||||||
Debt instrument, term | 5 years 6 months | ||||||
Secured Debt | 5.5 year - variable rate | Interest Rate Swap | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 3.69% | ||||||
Senior notes | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 250,000,000 | ||||||
Aggregate principal amount | 5% | ||||||
Debt instrument, redemption price percentage | 100% | ||||||
Senior notes | 5.07%, Senior Notes, Series A, Due 2029 | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing capacity | $ 150,000,000 | ||||||
Debt instrument, face amount | $ 150,000,000 | ||||||
Interest rate | 5.07% | 5.07% | 5.07% | ||||
Senior notes | 5.20%, Senior Notes, Series B, Due 2032 | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing capacity | $ 100,000,000 | ||||||
Debt instrument, face amount | $ 100,000,000 | ||||||
Interest rate | 5.20% | 5.20% | 5.20% |
Debt - Summary of Debt (Details
Debt - Summary of Debt (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Mar. 31, 2024 USD ($) property extension_option | Jun. 30, 2023 | Dec. 31, 2023 USD ($) | Aug. 11, 2022 USD ($) | |
Debt Instrument [Line Items] | ||||
Interest rate | 4.28% | 4.29% | ||
Amount | $ 831,548,000 | $ 818,548,000 | ||
Debt discounts and issuance costs, net | (4,021,000) | (3,980,000) | ||
Debt, net | 827,527,000 | 814,568,000 | ||
Mortgages payable | ||||
Debt Instrument [Line Items] | ||||
Amount | $ 181,548,000 | $ 168,548,000 | ||
Mortgages payable | Fixed rate mortgages payable | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.01% | 4.01% | ||
Amount | $ 109,080,000 | $ 96,080,000 | ||
Mortgages payable | Variable rate mortgages payable (b) | ||||
Debt Instrument [Line Items] | ||||
Amount | $ 72,468,000 | $ 72,468,000 | ||
Number of properties that collateralize mortgage payable | property | 3 | |||
Number of extension options | extension_option | 1 | |||
Extension option period | 12 months | |||
Mortgages payable | Variable rate mortgages payable (b) | One-month SOFR | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 1.65% | 1.65% | ||
Term Loan | ||||
Debt Instrument [Line Items] | ||||
Amount | $ 400,000,000 | $ 400,000,000 | ||
Term Loan | One-month SOFR | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, variable rate, percent | 5.33% | 5.35% | ||
Term Loan | 5 year - fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.81% | 2.81% | ||
Amount | $ 100,000,000 | $ 100,000,000 | ||
Debt instrument, face amount | $ 200,000,000 | |||
Debt instrument, term | 5 years | |||
Term Loan | 5 year - fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.81% | 2.81% | ||
Amount | $ 100,000,000 | $ 100,000,000 | ||
Debt instrument, face amount | $ 200,000,000 | |||
Debt instrument, term | 5 years | |||
Term Loan | 5.5 year - fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.77% | 2.77% | ||
Amount | $ 50,000,000 | $ 50,000,000 | ||
Debt instrument, face amount | $ 200,000,000 | |||
Debt instrument, term | 5 years 6 months | |||
Term Loan | 5.5 year- fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.76% | 2.76% | ||
Amount | $ 50,000,000 | $ 50,000,000 | ||
Debt instrument, face amount | $ 200,000,000 | |||
Debt instrument, term | 5 years 6 months | |||
Term Loan | 5.5 year- fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.99% | 4.99% | ||
Amount | $ 100,000,000 | $ 100,000,000 | ||
Debt instrument, face amount | $ 200,000,000 | |||
Debt instrument, term | 5 years 6 months | |||
Senior notes | ||||
Debt Instrument [Line Items] | ||||
Amount | $ 250,000,000 | $ 250,000,000 | ||
Debt instrument, face amount | $ 250,000,000 | |||
Senior notes | 5.07% - fixed rate | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.07% | 5.07% | 5.07% | |
Amount | $ 150,000,000 | $ 150,000,000 | ||
Debt instrument, face amount | $ 150,000,000 | |||
Maximum borrowing capacity | $ 150,000,000 | |||
Senior notes | 5.20%, Senior Notes, Series B, Due 2032 | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.20% | 5.20% | 5.20% | |
Amount | $ 100,000,000 | $ 100,000,000 | ||
Debt instrument, face amount | $ 100,000,000 | |||
Maximum borrowing capacity | 100,000,000 | |||
Revolving Line of Credit | Revolving line of credit | ||||
Debt Instrument [Line Items] | ||||
Amount | 0 | $ 0 | ||
Maximum borrowing capacity | $ 350,000,000 | |||
Revolving Line of Credit | One-month SOFR | Revolving line of credit | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (percent) | 1.14% | 1.14% | ||
Facility fee | 0.15% |
Debt - Mortgage Maturities (Det
Debt - Mortgage Maturities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of maturities for outstanding mortgage indebtedness | ||
Total mortgage payable maturities | $ 831,548 | $ 818,548 |
Mortgages payable | ||
Schedule of maturities for outstanding mortgage indebtedness | ||
2024 | 88,168 | |
2025 | 35,880 | |
2026 | 0 | |
2027 | 26,000 | |
2028 | 0 | |
Thereafter | 31,500 | |
Total mortgage payable maturities | $ 181,548 | $ 168,548 |
Fair Value Measurements - Recur
Fair Value Measurements - Recurring Measurements (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Cash Flow Hedges: | ||
Deferred amounts in accumulated comprehensive income (loss) that will be reclassified into earnings | $ 11,277 | |
Fair Value, Measurements, Recurring | Level 1 | ||
Cash Flow Hedges: | ||
Derivative interest rate swaps | 0 | $ 0 |
Fair Value, Measurements, Recurring | Level 2 | ||
Cash Flow Hedges: | ||
Derivative interest rate swaps | 22,076 | 18,074 |
Fair Value, Measurements, Recurring | Level 3 | ||
Cash Flow Hedges: | ||
Derivative interest rate swaps | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) | Mar. 31, 2024 | Mar. 31, 2023 |
Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nonrecurring fair value measurements | $ 0 | $ 0 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Instruments Not Measure at Fair Value (Details) $ in Thousands | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) |
Mortgages payable | Market Interest Rate | ||
Debt Instrument [Line Items] | ||
Fair value measurement input (percent) | 0.0734 | 0.0686 |
Mortgages payable | Carrying Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | $ 181,548 | $ 168,548 |
Mortgages payable | Estimated Fair Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | $ 173,231 | $ 161,320 |
Senior notes | Market Interest Rate | ||
Debt Instrument [Line Items] | ||
Fair value measurement input (percent) | 0.0649 | 0.0631 |
Senior notes | Carrying Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | $ 250,000 | $ 250,000 |
Senior notes | Estimated Fair Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | $ 231,959 | $ 233,635 |
Term loans | Market Interest Rate | ||
Debt Instrument [Line Items] | ||
Fair value measurement input (percent) | 0.0565 | 0.0510 |
Term loans | Carrying Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | $ 400,000 | $ 400,000 |
Term loans | Estimated Fair Value | ||
Debt Instrument [Line Items] | ||
Debt instrument, fair value disclosure | 399,187 | 399,539 |
Revolving line of credit | Carrying Value | ||
Debt Instrument [Line Items] | ||
Line of credit and term loan, estimated fair value | 0 | 0 |
Revolving line of credit | Estimated Fair Value | ||
Debt Instrument [Line Items] | ||
Line of credit and term loan, estimated fair value | $ 0 | $ 0 |
Earnings Per Share and Equity_3
Earnings Per Share and Equity Transactions - Reconciliation of Basic and Diluted Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Numerator: | ||
Net income attributed to common shares - basic | $ 2,900 | $ 1,133 |
Net income attributed to common shares - diluted | $ 2,900 | $ 1,133 |
Denominator: | ||
Weighted average common shares outstanding - basic (in shares) | 67,874,528 | 67,508,641 |
Dilutive effect of unvested restricted shares (in shares) | 397,522 | 145,883 |
Weighted average common shares outstanding - diluted (in shares) | 68,272,050 | 67,654,524 |
Basic and diluted earnings per common share: | ||
Net (loss) income per common share - basic (in dollars per share) | $ 0.04 | $ 0.02 |
Net (loss) income per common share - diluted (in dollars per share) | $ 0.04 | $ 0.02 |
Earnings Per Share and Equity_4
Earnings Per Share and Equity Transactions - Narrative (Details) - USD ($) shares in Millions | Mar. 07, 2022 | Mar. 31, 2024 | Feb. 23, 2022 |
Class of Stock [Line Items] | |||
Stock repurchase program, authorized amount | $ 150,000,000 | ||
ATM Program | |||
Class of Stock [Line Items] | |||
Sale of stock consideration received on transaction | $ 250,000,000 | ||
Remaining number of shares available for issuance | 244.6 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - shares | 3 Months Ended | ||
May 07, 2024 | Mar. 31, 2024 | Jun. 19, 2015 | |
Restricted Stock Units (RSUs) | 2015 Incentive Award Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized (shares) | 3,000,000 | ||
Number of shares available for grant (shares) | 143,456 | ||
Market performance thresholds period | 3 years | ||
Restricted Stock Units (RSUs) | 2015 Incentive Award Plan | Forecast | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized (shares) | 5,750,000 | ||
Additional shares authorized (shares) | 2,750,000 | ||
Employee Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized (shares) | 3,300,000 | ||
Number of shares available for grant (shares) | 3,288,272 |
Stock-Based Compensation - Sign
Stock-Based Compensation - Significant Assumptions Used in the Monte Carlo simulation Models (Details) - 2015 Incentive Award Plan - Unvested Time- Based RSUs | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Volatility | 31% | 34% |
Risk free interest rate | 4.42% | 4.45% |
Dividend Yield | 3.40% | 3.20% |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Restricted Stock Activity (Details) | 3 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Unvested Time- Based RSUs | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Outstanding as beginning (in shares) | 147,592 |
Shares granted (in shares) | 159,252 |
Shares vested (in shares) | 0 |
Unearned performance shares added back to share limit (in shares) | 0 |
Shares forfeited (in shares) | (2,190) |
Outstanding as ending (in shares) | 304,654 |
Weighted-Average Grant Date Price Per Share | |
Outstanding as beginning (in dollars per share) | $ / shares | $ 19.36 |
Shares granted (in dollars per share) | $ / shares | 19.39 |
Shares vested (in dollars per share) | $ / shares | 28.90 |
Unearned performance shares added back to share limit (in dollars per share) | $ / shares | 28.90 |
Shares forfeited (in dollars per share) | $ / shares | 17.41 |
Outstanding as ending (in dollars per share) | $ / shares | $ 18.24 |
Unvested Performance and Market-Based RSUs | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Outstanding as beginning (in shares) | 1,024,771 |
Shares granted (in shares) | 335,936 |
Shares vested (in shares) | (113,954) |
Unearned performance shares added back to share limit (in shares) | (82,665) |
Shares forfeited (in shares) | (17,360) |
Outstanding as ending (in shares) | 1,146,728 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense, net | $ 2,191 | $ 1,967 |
Incentive Award Plan, Net | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense, net | 2,156 | 1,967 |
Estimated unrecognized compensation expense | 16,868 | |
Employee Stock Purchase Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense, net | 35 | $ 0 |
Estimated unrecognized compensation expense | $ 183 |
Subsequent Events (Details)
Subsequent Events (Details) ft² in Thousands, $ in Thousands | 3 Months Ended | ||
Apr. 09, 2024 USD ($) ft² | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | |
Subsequent Event [Line Items] | |||
Gross acquisition price of investment properties | $ 29,500 | $ 221,600 | |
Subsequent Event | Moores Mill | |||
Subsequent Event [Line Items] | |||
Gross Leasable Area (square feet) | ft² | 70 | ||
Gross acquisition price of investment properties | $ 28,000 |