Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 31, 2015 | |
Document Information [Line Items] | ||
Entity Registrant Name | AMERICAN CAMPUS COMMUNITIES INC | |
Entity Central Index Key | 1,283,630 | |
Trading Symbol | acc | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock Shares Outstanding | 112,318,741 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||
Document Information [Line Items] | ||
Entity Registrant Name | American Campus Communities Operating Partnership LP | |
Entity Central Index Key | 1,357,369 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | ||
Investments in real estate: | ||||
Investments in real estate, net | $ 5,488,948 | $ 5,533,849 | ||
Cash and cash equivalents | 8,765 | 25,062 | ||
Restricted cash | 40,673 | 31,937 | ||
Student contracts receivable, net | 8,052 | 10,145 | ||
Other assets | 263,732 | 233,755 | ||
Total assets | 5,810,170 | 5,834,748 | ||
Liabilities: | ||||
Secured mortgage, construction and bond debt | 1,105,432 | 1,331,914 | ||
Unsecured notes | 798,389 | 798,305 | ||
Unsecured term loans | 600,000 | 600,000 | ||
Unsecured revolving credit facility | 229,400 | 242,500 | ||
Accounts payable and accrued expenses | 68,185 | 70,629 | ||
Other liabilities | 115,701 | 121,645 | ||
Total liabilities | $ 2,917,107 | $ 3,164,993 | ||
Commitments and contingencies (Note 14) | ||||
Redeemable noncontrolling interests/redeemable limited partners | $ 62,091 | $ 54,472 | ||
American Campus Communities, Inc. stockholders’ equity: | ||||
Common stock, $.01 par value, 800,000,000 shares authorized, 112,314,405 and 107,175,236 shares issued and outstanding at June 30, 2015 and December 31, 2014, respectively | 1,123 | 1,072 | ||
Additional paid in capital | 3,323,010 | 3,102,540 | ||
Accumulated earnings and dividends | (490,368) | (487,986) | ||
Accumulated other comprehensive loss | (6,891) | (6,072) | ||
Total American Campus Communities, Inc. stockholders’ equity | 2,826,874 | 2,609,554 | ||
Total equity | 2,830,972 | 2,615,283 | ||
Partners’ capital: | ||||
Accumulated other comprehensive loss | (6,891) | (6,072) | ||
Total liabilities and equity | 5,810,170 | 5,834,748 | ||
Wholly-owned properties, net | ||||
Investments in real estate: | ||||
Investments in real estate, net | 5,370,868 | [1] | 5,308,707 | [2] |
Liabilities: | ||||
Secured mortgage, construction and bond debt | 991,374 | 1,153,997 | ||
Wholly-owned properties held for sale | ||||
Investments in real estate: | ||||
Investments in real estate, net | 26,498 | 131,014 | ||
On-campus participating properties, net | ||||
Investments in real estate: | ||||
Investments in real estate, net | 91,582 | 94,128 | ||
Partially owned properties | ||||
American Campus Communities, Inc. stockholders’ equity: | ||||
Noncontrolling interests - partially owned properties | 4,098 | 5,729 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Investments in real estate: | ||||
Investments in real estate, net | 5,488,948 | 5,533,849 | ||
Cash and cash equivalents | 8,765 | 25,062 | ||
Restricted cash | 40,673 | 31,937 | ||
Student contracts receivable, net | 8,052 | 10,145 | ||
Other assets | 263,732 | 233,755 | ||
Total assets | 5,810,170 | 5,834,748 | ||
Liabilities: | ||||
Secured mortgage, construction and bond debt | 1,105,432 | 1,331,914 | ||
Unsecured notes | 798,389 | 798,305 | ||
Unsecured term loans | 600,000 | 600,000 | ||
Unsecured revolving credit facility | 229,400 | 242,500 | ||
Accounts payable and accrued expenses | 68,185 | 70,629 | ||
Other liabilities | 115,701 | 121,645 | ||
Total liabilities | $ 2,917,107 | $ 3,164,993 | ||
Commitments and contingencies (Note 14) | ||||
Redeemable noncontrolling interests/redeemable limited partners | $ 62,091 | $ 54,472 | ||
American Campus Communities, Inc. stockholders’ equity: | ||||
Accumulated other comprehensive loss | (6,891) | (6,072) | ||
Partners’ capital: | ||||
General partner – 12,222 OP units outstanding at both June 30, 2015 and December 31, 2014 | 99 | 100 | ||
Limited partner – 112,302,183 and 107,163,014 OP units outstanding at June 30, 2015 and December 31, 2014, respectively | 2,833,666 | 2,615,526 | ||
Accumulated other comprehensive loss | (6,891) | (6,072) | ||
Total partners’ capital | 2,826,874 | 2,609,554 | ||
Total capital | 2,830,972 | 2,615,283 | ||
Total liabilities and equity | 5,810,170 | 5,834,748 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Wholly-owned properties, net | ||||
Investments in real estate: | ||||
Investments in real estate, net | 5,370,868 | 5,308,707 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Wholly-owned properties held for sale | ||||
Investments in real estate: | ||||
Investments in real estate, net | 26,498 | 131,014 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | On-campus participating properties, net | ||||
Investments in real estate: | ||||
Investments in real estate, net | 91,582 | 94,128 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Partially owned properties | ||||
Partners’ capital: | ||||
Noncontrolling interests - partially owned properties | $ 4,098 | $ 5,729 | ||
[1] | The balance above excludes the net book value of three wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of June 30, 2015 (see Note 4). These properties were sold in July 2015. | |||
[2] | The balance above excludes the net book value of seven wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of December 31, 2014 (see Note 4). These properties were sold in January 2015. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares | Jun. 30, 2015 | Dec. 31, 2014 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (shares) | 800,000,000 | 800,000,000 |
Common stock, shares issued (shares) | 112,314,405 | 107,175,236 |
Common stock, shares outstanding (shares) | 112,314,405 | 107,175,236 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||
General partner, OP units outstanding (shares) | 12,222 | 12,222 |
Limited partner, OP units outstanding (shares) | 112,302,183 | 107,163,014 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Revenues | ||||
Third-party development services | $ 1,677 | $ 1,581 | $ 2,241 | $ 1,768 |
Third-party management services | 2,324 | 1,997 | 4,325 | 3,982 |
Resident services | 701 | 608 | 1,531 | 1,481 |
Total revenues | 177,874 | 171,977 | 370,367 | 355,160 |
Operating expenses | ||||
Third-party development and management services | 3,952 | 2,720 | 6,999 | 5,506 |
General and administrative | 5,738 | 4,978 | 10,581 | 9,352 |
Depreciation and amortization | 51,578 | 48,450 | 102,229 | 96,625 |
Ground/facility leases | 1,961 | 1,582 | 4,059 | 3,145 |
Total operating expenses | 143,422 | 136,544 | 285,739 | 271,732 |
Operating income | 34,452 | 35,433 | 84,628 | 83,428 |
Nonoperating income and (expenses) | ||||
Interest income | 1,085 | 1,037 | 2,197 | 2,068 |
Interest expense | (20,586) | (20,989) | (42,574) | (42,079) |
Amortization of deferred financing costs | (1,338) | (1,461) | (2,717) | (2,960) |
Gain from disposition of real estate | 3,790 | 0 | 48,042 | 0 |
Loss from early extinguishment of debt | (1,175) | 0 | (1,770) | 0 |
Total nonoperating (expenses) income | (18,224) | (21,413) | 3,178 | (42,971) |
Income before income taxes and discontinued operations | 16,228 | 14,020 | 87,806 | 40,457 |
Income tax provision | (310) | (289) | (621) | (579) |
Income from continuing operations | 15,918 | 13,731 | 87,185 | 39,878 |
Discontinued operations: | ||||
Loss attributable to discontinued operations | 0 | 0 | 0 | (123) |
Gain from disposition of real estate | 0 | 0 | 0 | 2,843 |
Total discontinued operations | 0 | 0 | 0 | 2,720 |
Net income | 15,918 | 13,731 | 87,185 | 42,598 |
Net income attributable to noncontrolling interests | (338) | (293) | (1,408) | (762) |
Net income attributable to ACC, Inc. and Subsidiaries common stockholders | 15,580 | 13,438 | 85,777 | 41,836 |
Other comprehensive loss | ||||
Change in fair value of interest rate swaps | 845 | (4,877) | (1,023) | (5,870) |
Comprehensive income | $ 16,425 | $ 8,561 | $ 84,754 | $ 35,966 |
Income per share attributable to ACC, Inc. and Subsidiaries common stockholders - basic | ||||
Income from continuing operations per share (in dollars per share) | $ 0.14 | $ 0.13 | $ 0.76 | $ 0.37 |
Net income per share (in dollars per share) | 0.14 | 0.13 | 0.76 | 0.39 |
Income per share attributable to ACC, Inc. and Subsidiaries common stockholders - diluted | ||||
Income from continuing operations per share (in dollars per share) | 0.14 | 0.12 | 0.76 | 0.37 |
Net income per share (in dollars per share) | $ 0.14 | $ 0.12 | $ 0.76 | $ 0.39 |
Weighted-average common shares outstanding | ||||
Basic (in shares) | 112,308,114 | 104,918,131 | 111,635,345 | 104,870,167 |
Diluted (in shares) | 112,983,939 | 105,609,561 | 113,652,341 | 105,583,346 |
Weighted-average common units outstanding | ||||
Distributions declared per common share (in dollars per share) | $ 0.4 | $ 0.38 | $ 0.78 | $ 0.74 |
Distributions declared per common unit (in dollars per unit) | $ 0.4 | $ 0.38 | $ 0.78 | $ 0.74 |
Redeemable noncontrolling interests | ||||
Discontinued operations: | ||||
Net income attributable to noncontrolling interests | $ (246) | $ (205) | $ (993) | $ (586) |
Wholly-owned properties | ||||
Revenues | ||||
Operating lease revenue | 167,468 | 163,056 | 347,366 | 335,006 |
Operating expenses | ||||
Operating expenses excluding general, administrative, depreciation and lease expense | 77,251 | 76,034 | 156,261 | 151,842 |
On-campus participating properties | ||||
Revenues | ||||
Operating lease revenue | 5,704 | 4,735 | 14,904 | 12,923 |
Operating expenses | ||||
Operating expenses excluding general, administrative, depreciation and lease expense | 2,942 | 2,780 | 5,610 | 5,262 |
Partially owned properties | ||||
Discontinued operations: | ||||
Net income attributable to noncontrolling interests | (92) | (88) | (415) | (176) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Revenues | ||||
Third-party development services | 1,677 | 1,581 | 2,241 | 1,768 |
Third-party management services | 2,324 | 1,997 | 4,325 | 3,982 |
Resident services | 701 | 608 | 1,531 | 1,481 |
Total revenues | 177,874 | 171,977 | 370,367 | 355,160 |
Operating expenses | ||||
Third-party development and management services | 3,952 | 2,720 | 6,999 | 5,506 |
General and administrative | 5,738 | 4,978 | 10,581 | 9,352 |
Depreciation and amortization | 51,578 | 48,450 | 102,229 | 96,625 |
Ground/facility leases | 1,961 | 1,582 | 4,059 | 3,145 |
Total operating expenses | 143,422 | 136,544 | 285,739 | 271,732 |
Operating income | 34,452 | 35,433 | 84,628 | 83,428 |
Nonoperating income and (expenses) | ||||
Interest income | 1,085 | 1,037 | 2,197 | 2,068 |
Interest expense | (20,586) | (20,989) | (42,574) | (42,079) |
Amortization of deferred financing costs | (1,338) | (1,461) | (2,717) | (2,960) |
Gain from disposition of real estate | 3,790 | 0 | 48,042 | 0 |
Loss from early extinguishment of debt | (1,175) | 0 | (1,770) | 0 |
Total nonoperating (expenses) income | (18,224) | (21,413) | 3,178 | (42,971) |
Income before income taxes and discontinued operations | 16,228 | 14,020 | 87,806 | 40,457 |
Income tax provision | (310) | (289) | (621) | (579) |
Income from continuing operations | 15,918 | 13,731 | 87,185 | 39,878 |
Discontinued operations: | ||||
Loss attributable to discontinued operations | 0 | 0 | 0 | (123) |
Gain from disposition of real estate | 0 | 0 | 0 | 2,843 |
Total discontinued operations | 0 | 0 | 0 | 2,720 |
Net income | 15,918 | 13,731 | 87,185 | 42,598 |
Net income attributable to ACC, Inc. and Subsidiaries common stockholders | 15,826 | 13,643 | 86,770 | 42,422 |
Series A preferred unit distributions | (44) | (45) | (88) | (90) |
Net income available to common unitholders | 15,782 | 13,598 | 86,682 | 42,332 |
Other comprehensive loss | ||||
Change in fair value of interest rate swaps | 845 | (4,877) | (1,023) | (5,870) |
Comprehensive income | $ 16,627 | $ 8,721 | $ 85,659 | $ 36,462 |
Income per unit attributable to common unitholders – basic | ||||
Income from continuing operations per unit (in dollars per unit) | $ 0.14 | $ 0.13 | $ 0.76 | $ 0.37 |
Net income per unit (in dollars per unit) | 0.14 | 0.13 | 0.76 | 0.39 |
Income per unit attributable to common unitholders – diluted | ||||
Income from continuing operations per unit (in dollars per unit) | 0.14 | 0.12 | 0.76 | 0.37 |
Net income per unit (in dollars per unit) | $ 0.14 | $ 0.12 | $ 0.76 | $ 0.39 |
Weighted-average common units outstanding | ||||
Basic (in shares) | 113,756,045 | 106,148,350 | 112,946,677 | 106,100,386 |
Diluted (in shares) | 114,431,870 | 106,839,780 | 113,652,341 | 106,813,565 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Wholly-owned properties | ||||
Revenues | ||||
Operating lease revenue | $ 167,468 | $ 163,056 | $ 347,366 | $ 335,006 |
Operating expenses | ||||
Operating expenses excluding general, administrative, depreciation and lease expense | 77,251 | 76,034 | 156,261 | 151,842 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | On-campus participating properties | ||||
Revenues | ||||
Operating lease revenue | 5,704 | 4,735 | 14,904 | 12,923 |
Operating expenses | ||||
Operating expenses excluding general, administrative, depreciation and lease expense | 2,942 | 2,780 | 5,610 | 5,262 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Partially owned properties | ||||
Discontinued operations: | ||||
Net income attributable to noncontrolling interests | $ (92) | $ (88) | $ (415) | $ (176) |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY/ CAPITAL (unaudited) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands | Total | Common shares | Additional Paid in Capital | Accumulated Earnings and Dividends | Accumulated Other Comprehensive Loss | Noncontrolling Interests - Partially Owned PropertiesPartially owned properties | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P.General Partner | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P.Limited Partner | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P.Accumulated Other Comprehensive Loss | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P.Noncontrolling Interests - Partially Owned PropertiesPartially owned properties |
Equity, December 31, 2014 (in shares) at Dec. 31, 2014 | 107,175,236 | ||||||||||
Equity, December 31, 2014 at Dec. 31, 2014 | $ 2,615,283 | $ 1,072 | $ 3,102,540 | $ (487,986) | $ (6,072) | $ 5,729 | |||||
Capital, December 31, 2014 (in units) at Dec. 31, 2014 | 12,222 | 107,163,014 | |||||||||
Capital, December 31, 2014 at Dec. 31, 2014 | $ 2,615,283 | $ 100 | $ 2,615,526 | $ (6,072) | $ 5,729 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Adjustments to reflect redeemable limited partners' / noncontrolling interests at fair value | 3,880 | 3,880 | 3,880 | 3,880 | |||||||
Amortization of restricted stock awards | 3,976 | 3,976 | 3,976 | $ 3,976 | |||||||
Vesting of restricted stock awards and restricted stock units (in shares) | 128,321 | 128,321 | |||||||||
Vesting of restricted stock awards and restricted stock units | (2,390) | $ 1 | (2,391) | (2,390) | $ (2,390) | ||||||
Distributions to common and restricted stockholders | (88,159) | (88,159) | (88,159) | (10) | (88,149) | ||||||
Distributions to noncontrolling interests - partially owned properties | (546) | (546) | (546) | (546) | |||||||
Increase in ownership of consolidated subsidiary | (1,708) | (208) | (1,500) | (1,708) | $ (208) | (1,500) | |||||
Conversion of operating partnership units to common stock (shares) | 77,183 | 77,183 | |||||||||
Conversion of operating partnership units to common stock | 2,580 | $ 1 | 2,579 | 2,580 | $ 2,580 | ||||||
Net proceeds from sale of common stock/Issuance of units in exchange for contributions of equity offering proceeds (shares) | 4,933,665 | 4,933,665 | |||||||||
Net proceeds from sale of common stock/Issuance of units in exchange for contributions of equity offering proceeds | 212,683 | $ 49 | 212,634 | 212,683 | $ 212,683 | ||||||
Change in fair value of interest rate swaps | (1,023) | (1,023) | (1,023) | (1,023) | |||||||
Amortization of interest rate swap terminations | 204 | 204 | 204 | 204 | |||||||
Net income | 86,192 | 85,777 | 415 | 86,192 | $ 9 | $ 85,768 | 415 | ||||
Equity, June 30, 2015 (in shares) at Jun. 30, 2015 | 112,314,405 | ||||||||||
Equity, June 30, 2015 at Jun. 30, 2015 | $ 2,830,972 | $ 1,123 | $ 3,323,010 | $ (490,368) | $ (6,891) | $ 4,098 | |||||
Capital, June 30, 2015 (in units) at Jun. 30, 2015 | 12,222 | 112,302,183 | |||||||||
Capital, June 30, 2015 at Jun. 30, 2015 | $ 2,830,972 | $ 99 | $ 2,833,666 | $ (6,891) | $ 4,098 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Operating activities | ||
Net income | $ 87,185 | $ 42,598 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Gains from disposition of real estate | (48,042) | (2,843) |
Depreciation and amortization | 101,855 | 96,672 |
Amortization of deferred financing costs and debt premiums/discounts | (2,980) | (3,347) |
Share-based compensation | 4,464 | 3,863 |
Income tax provision | 621 | 579 |
Amortization of interest rate swap terminations | 204 | 15 |
Changes in operating assets and liabilities: | ||
Restricted cash | (3,445) | (2,315) |
Student contracts receivable, net | 1,213 | 268 |
Other assets | 453 | (4,921) |
Accounts payable and accrued expenses | (13,951) | (14,338) |
Other liabilities | (325) | (2,956) |
Net cash provided by operating activities | 127,252 | 113,275 |
Investing activities | ||
Proceeds from disposition of properties | 395,880 | 1,327 |
Proceeds from disposition of land | 0 | 1,681 |
Cash paid for property acquisitions | (274,926) | (9,117) |
Cash paid for land acquisitions | (12,190) | (2,962) |
Investment in on-campus participating property under development | 0 | (20,252) |
Proceeds from loans receivable | 0 | 2,984 |
Change in escrow deposits for investment transactions | (5,939) | 1,532 |
Change in restricted cash related to capital reserves | 2,433 | 2,295 |
Increase in ownership of consolidated subsidiary | (1,708) | 0 |
Purchase of corporate furniture, fixtures and equipment | (4,142) | (2,295) |
Net cash used in investing activities | (38,907) | (175,013) |
Financing activities | ||
Proceeds from unsecured notes | 0 | 399,444 |
Proceeds from sale of common stock | 216,666 | 0 |
Offering costs | (2,282) | 0 |
Pay-off of mortgage and construction loans | (208,980) | (85,187) |
Proceeds from revolving credit facilities | 450,100 | 260,800 |
Pay downs of revolving credit facilities | (463,200) | (411,500) |
Proceeds from construction loan | 258 | 20,255 |
Scheduled principal payments on debt | (7,216) | (8,178) |
Debt issuance and assumption costs | (196) | (4,852) |
Termination of forward starting interest rate swaps | 0 | (4,122) |
Distributions to common and restricted stockholders | (88,159) | (78,174) |
Distributions to noncontrolling partners | (1,633) | (1,175) |
Net cash (used in) provided by financing activities | (104,642) | 87,311 |
Net change in cash and cash equivalents | (16,297) | 25,573 |
Cash and cash equivalents at beginning of period | 25,062 | 38,751 |
Cash and cash equivalents at end of period | 8,765 | 64,324 |
Supplemental disclosure of non-cash investing and financing activities | ||
Loans assumed in connection with property acquisitions | (11,621) | 0 |
Issuance of common units in connection with property acquisitions | (14,182) | 0 |
Change in fair value of derivative instruments, net | (1,023) | (1,748) |
Supplemental disclosure of cash flow information | ||
Interest paid | 46,739 | 54,159 |
Wholly-owned properties | ||
Investing activities | ||
Capital expenditures for wholly-owned properties/on-campus participating properties | (27,920) | (25,244) |
Investments in wholly-owned properties under development | (109,536) | (124,044) |
On-campus participating properties | ||
Investing activities | ||
Capital expenditures for wholly-owned properties/on-campus participating properties | (859) | (918) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||
Operating activities | ||
Net income | 87,185 | 42,598 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Gains from disposition of real estate | (48,042) | (2,843) |
Depreciation and amortization | 101,855 | 96,672 |
Amortization of deferred financing costs and debt premiums/discounts | (2,980) | (3,347) |
Share-based compensation | 4,464 | 3,863 |
Income tax provision | 621 | 579 |
Amortization of interest rate swap terminations | 204 | 15 |
Changes in operating assets and liabilities: | ||
Restricted cash | (3,445) | (2,315) |
Student contracts receivable, net | 1,213 | 268 |
Other assets | 453 | (4,921) |
Accounts payable and accrued expenses | (13,951) | (14,338) |
Other liabilities | (325) | (2,956) |
Net cash provided by operating activities | 127,252 | 113,275 |
Investing activities | ||
Proceeds from disposition of properties | 395,880 | 1,327 |
Proceeds from disposition of land | 0 | 1,681 |
Cash paid for property acquisitions | (274,926) | (9,117) |
Cash paid for land acquisitions | (12,190) | (2,962) |
Investment in on-campus participating property under development | 0 | (20,252) |
Proceeds from loans receivable | 0 | 2,984 |
Change in escrow deposits for investment transactions | (5,939) | 1,532 |
Change in restricted cash related to capital reserves | 2,433 | 2,295 |
Increase in ownership of consolidated subsidiary | (1,708) | 0 |
Purchase of corporate furniture, fixtures and equipment | (4,142) | (2,295) |
Net cash used in investing activities | (38,907) | (175,013) |
Financing activities | ||
Proceeds from unsecured notes | 0 | 399,444 |
Proceeds from issuance of common units in exchange for contributions, net | 214,384 | 0 |
Pay-off of mortgage and construction loans | (208,980) | (85,187) |
Proceeds from revolving credit facilities | 450,100 | 260,800 |
Pay downs of revolving credit facilities | (463,200) | (411,500) |
Proceeds from construction loan | 258 | 20,255 |
Scheduled principal payments on debt | (7,216) | (8,178) |
Debt issuance and assumption costs | $ (196) | (4,852) |
Termination of forward starting interest rate swaps | (4,122) | |
Net cash (used in) provided by financing activities | $ (104,642) | 87,311 |
Net change in cash and cash equivalents | (16,297) | 25,573 |
Cash and cash equivalents at beginning of period | 25,062 | 38,751 |
Cash and cash equivalents at end of period | 8,765 | 64,324 |
Supplemental disclosure of non-cash investing and financing activities | ||
Loans assumed in connection with property acquisitions | (11,621) | 0 |
Issuance of common units in connection with property acquisitions | (14,182) | 0 |
Change in fair value of derivative instruments, net | (1,023) | (1,748) |
Supplemental disclosure of cash flow information | ||
Interest paid | 46,739 | 54,159 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Unvested Restricted Awards | ||
Financing activities | ||
Distributions paid | (603) | (584) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Common and preferred units | ||
Financing activities | ||
Distributions paid | (88,643) | (78,591) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Partially owned properties | ||
Financing activities | ||
Distributions to noncontrolling partners | (546) | (174) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Wholly-owned properties | ||
Investing activities | ||
Capital expenditures for wholly-owned properties/on-campus participating properties | (27,920) | (25,244) |
Investments in wholly-owned properties under development | (109,536) | (124,044) |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | On-campus participating properties | ||
Investing activities | ||
Capital expenditures for wholly-owned properties/on-campus participating properties | $ (859) | $ (918) |
Organization and Description of
Organization and Description of Business | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Description of Business | Organization and Description of Business American Campus Communities, Inc. (“ACC”) is a real estate investment trust (“REIT”) that commenced operations effective with the completion of an initial public offering (“IPO”) on August 17, 2004. Through ACC’s controlling interest in American Campus Communities Operating Partnership, L.P. (“ACCOP”), ACC is one of the largest owners, managers and developers of high quality student housing properties in the United States in terms of beds owned and under management. ACC is a fully integrated, self-managed and self-administered equity REIT with expertise in the acquisition, design, financing, development, construction management, leasing and management of student housing properties. ACC’s common stock is publicly traded on the New York Stock Exchange (“NYSE”) under the ticker symbol “ACC.” The general partner of ACCOP is American Campus Communities Holdings, LLC (“ACC Holdings”), an entity that is wholly-owned by ACC. As of June 30, 2015 , ACC Holdings held an ownership interest in ACCOP of less than 1% . The limited partners of ACCOP are ACC and other limited partners consisting of current and former members of management and nonaffiliated third parties. As of June 30, 2015 , ACC owned an approximate 98.6% limited partnership interest in ACCOP. As the sole member of the general partner of ACCOP, ACC has exclusive control of ACCOP’s day-to-day management. Management operates ACC and ACCOP as one business. The management of ACC consists of the same members as the management of ACCOP. ACC consolidates ACCOP for financial reporting purposes, and ACC does not have significant assets other than its investment in ACCOP. Therefore, the assets and liabilities of ACC and ACCOP are the same on their respective financial statements. References to the “Company,” “we,” “us” or “our” mean collectively ACC, ACCOP and those entities/subsidiaries owned or controlled by ACC and/or ACCOP. References to the “Operating Partnership” mean collectively ACCOP and those entities/subsidiaries owned or controlled by ACCOP. Unless otherwise indicated, the accompanying Notes to the Consolidated Financial Statements apply to both the Company and the Operating Partnership. As of June 30, 2015 , our property portfolio contained 159 properties with approximately 96,400 beds in approximately 31,400 units. Our property portfolio consisted of 134 owned off-campus student housing properties that are in close proximity to colleges and universities, 20 American Campus Equity (“ACE®”) properties operated under ground/facility leases with ten university systems and five on-campus participating properties operated under ground/facility leases with the related university systems. Of the 159 properties, eight were under development as of June 30, 2015 , and when completed will consist of a total of approximately 5,200 beds in approximately 1,400 units. Our communities contain modern housing units and are supported by a resident assistant system and other student-oriented programming, with many offering resort-style amenities. Through one of ACC’s taxable REIT subsidiaries (“TRSs”), we also provide construction management and development services, primarily for student housing properties owned by colleges and universities, charitable foundations, and others. As of June 30, 2015 , also through one of ACC’s TRSs, we provided third-party management and leasing services for 39 properties that represented approximately 30,400 beds in approximately 11,600 units. Third-party management and leasing services are typically provided pursuant to management contracts that have initial terms that range from one to five years . As of June 30, 2015 , our total owned and third-party managed portfolio included 198 properties with approximately 126,800 beds in approximately 43,000 units. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements, presented in U.S. dollars, are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities as of the date of the financial statements, and revenue and expenses during the reporting periods. Our actual results could differ from those estimates and assumptions. All material intercompany transactions among consolidated entities have been eliminated. All dollar amounts in the tables herein, except share, per share, unit and per unit amounts, are stated in thousands unless otherwise indicated. Certain prior period amounts have been reclassified to conform to the current period presentation. Recent Accounting Pronouncements In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update 2015-03 ("ASU 2015-03"), "Simplifying the Presentation of Debt Issuance Costs." ASU 2015-03 requires all costs incurred to issue debt be presented in the balance sheet as a direct deduction from the carrying value of the debt rather than being recorded as a deferred charge and presented as an asset. ASU 2015-03 is effective for interim and annual periods beginning after December 15, 2015, with early adoption permitted, and retrospective application required. The Company plans to adopt ASU 2015-03 as of January 1, 2016 and does not expect it to have a material impact on its consolidated financial statements. In February 2015, the FASB issued Accounting Standards Update 2015-02 ("ASU 2015-02"), "Amendments to the Consolidation Analysis.” ASU 2015-02 changes the analysis a reporting entity must perform to determine whether it should consolidate certain types of legal entities. ASU 2015-02 modifies whether limited partnerships and similar entities are variable interest entities ("VIEs") or voting interest entities and eliminates the presumption a general partner should consolidate a limited partnership. ASU 2015-02 is effective for interim and annual periods beginning after December 15, 2015, with early adoption permitted. The Company plans to adopt ASU 2015-02 as of January 1, 2016 and is currently evaluating the potential impact of the new standard on its consolidated financial statements. In May 2014, the FASB issued Accounting Standards Update 2014-09 (“ASU 2014-09”), "Revenue From Contracts With Customers". ASU 2014-09 provides a single comprehensive revenue recognition model for contracts with customers (excluding certain contracts, such as lease contracts) to improve comparability within industries. ASU 2014-09 requires an entity to recognize revenue to reflect the transfer of goods or services to customers at an amount the entity expects to be paid in exchange for those goods and services and provide enhanced disclosures, all to provide more comprehensive guidance for transactions such as service revenue and contract modifications. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017 and may be applied using either a full retrospective or modified approach upon adoption. The Company plans to adopt ASU 2014-09 as of January 1, 2018 and is currently evaluating the potential impact of the new standard on its consolidated financial statements. Interim Financial Statements The accompanying interim financial statements are unaudited, but have been prepared in accordance with GAAP for interim financial information and in conjunction with the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all disclosures required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting solely of normal recurring matters) necessary for a fair presentation of the financial statements of the Company for these interim periods have been included. Because of the seasonal nature of the Company’s operations, the results of operations and cash flows for any interim period are not necessarily indicative of results for other interim periods or for the full year. These financial statements should be read in conjunction with the financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . Use of Estimates 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, disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Investments in Real Estate Investments in real estate are recorded at historical cost. Major improvements that extend the life of an asset are capitalized and depreciated over the remaining useful life of the asset. The cost of ordinary repairs and maintenance are charged to expense when incurred. Depreciation and amortization are recorded on a straight-line basis over the estimated useful lives of the assets as follows: Buildings and improvements 7-40 years Leasehold interest - on-campus participating properties 25-34 years (shorter of useful life or respective lease term) Furniture, fixtures and equipment 3-7 years Project costs directly associated with the development and construction of an owned real estate project, which include interest, property taxes, and amortization of deferred finance costs, are capitalized as construction in progress. Upon completion of the project, costs are transferred into the applicable asset category and depreciation commences. Interest totaling approximately $2.9 million and $2.7 million was capitalized during the three months ended June 30, 2015 and 2014 , respectively, and $5.4 million and $4.9 million was capitalized during the six months ended June 30, 2015 and 2014 , respectively. Management assesses whether there has been an impairment in the value of the Company’s investments in real estate whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Impairment is recognized when estimated expected future undiscounted cash flows are less than the carrying value of the property, or when it is probable that a property will be sold prior to the end of its estimated useful life, at which time an impairment charge is recognized for any excess of the carrying value of the property over the expected net proceeds from the disposal. The estimation of expected future net cash flows is inherently uncertain and relies on assumptions regarding current and future economics and market conditions. If such conditions change, then an adjustment to the carrying value of the Company’s long-lived assets could occur in the future period in which the conditions change. To the extent that a property is impaired, the excess of the carrying amount of the property over its estimated fair value is charged to earnings. The Company believes that there were no impairments of the carrying values of its investments in real estate as of June 30, 2015 . The Company allocates the purchase price of acquired properties to net tangible and identified intangible assets based on relative fair values. Fair value estimates are based on information obtained from a number of sources, including independent appraisals that may be obtained in connection with the acquisition or financing of the respective property, our own analysis of recently acquired and existing comparable properties in our portfolio, and other market data. Information obtained about each property as a result of due diligence, marketing and leasing activities is also considered. The value allocated to land is generally based on the actual purchase price adjusted to fair value (as necessary) if acquired separately, or market research/comparables if acquired as part of an existing operating property. The value allocated to building is based on the fair value determined on an “as-if vacant” basis, which is estimated using an income, or discounted cash flow, approach that relies upon internally determined assumptions that we believe are consistent with current market conditions for similar properties. The value allocated to furniture, fixtures, and equipment is based on an estimate of the fair value of the appliances and fixtures inside the units. We have determined these estimates to have been primarily based upon unobservable inputs and therefore are considered to be Level 3 inputs within the fair value hierarchy. We record the acquisition of undeveloped land parcels that do not meet the accounting criteria to be accounted for as business combinations at the purchase price paid and capitalize the associated acquisition costs. Long-Lived Assets–Held for Sale Long-lived assets to be disposed of are classified as held for sale in the period in which all of the following criteria are met: a. Management, having the authority to approve the action, commits to a plan to sell the asset. b. The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets. c. An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated. d. The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year. e. The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value. f. Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Concurrent with this classification, the asset is recorded at the lower of cost or fair value less estimated selling costs, and depreciation ceases. Discontinued Operations A discontinued operation represents (i) a component of an entity or group of components that has been disposed of or is classified as held for sale in a single transaction and represents a strategic shift that has or will have a major effect on an entity's operations and financial results, or (ii) an acquired business that is classified as held for sale on the date of acquisition. A strategic shift could include a disposal of (i) a separate major line of business, (ii) a separate major geographic area of operations, (iii) a major equity method investment, or (iv) other major parts of an entity. The Company classifies disposals of real estate that do not meet the definition of a discontinued operation within income from continuing operations in the accompanying consolidated statements of comprehensive income. Loans Receivable Loans held for investment are intended to be held to maturity and, accordingly, are carried at cost, net of unamortized loan purchase discounts, and net of an allowance for loan losses when such loan is deemed to be impaired. Loan purchase discounts are amortized over the term of the loan. The Company considers a loan impaired when, based upon current information and events, it is probable that it will be unable to collect all amounts due for both principal and interest according to the contractual terms of the loan agreement. Management’s estimate of the collectability of principal and interest payments under the company’s loans receivable from CaPFA Capital Corp. 2000F (“CaPFA”), which mature in December 2040 and carry a balance of approximately $55.8 million as of June 30, 2015 , are highly dependent on the future operating performance of the properties securing the loans. As future economic conditions and/or market conditions at the properties change, management will continue to evaluate the collectability of such amounts. The Company believes there were no impairments of the carrying value of its loans receivable as of June 30, 2015 . Loans receivable are included in other assets on the accompanying consolidated balance sheets. Intangible Assets A portion of the purchase price of acquired properties is allocated to the value of in-place leases for both student and commercial tenants, which is based on the difference between (i) the property valued with existing in-place leases adjusted to market rental rates and (ii) the property valued “as-if” vacant. As lease terms for student leases are typically one year or less, rates on in-place leases generally approximate market rental rates. Factors considered in the valuation of in-place leases include an estimate of the carrying costs during the expected lease-up period considering current market conditions, nature of the tenancy, and costs to execute similar leases. Carrying costs include estimates of lost rentals at market rates during the expected lease-up period, as well as marketing and other operating expenses. The value of in-place leases is amortized over the remaining initial term of the respective leases. The purchase price of property acquisitions is not expected to be allocated to student tenant relationships, considering the terms of the leases and the expected levels of renewals. In connection with the property acquisitions discussed in Note 3 herein, the Company capitalized approximately $0.9 million and $- 0 - for the three months ended June 30, 2015 and 2014 , respectively, and $3.0 million and $- 0 - for the six months ended June 30, 2015 and 2014 , respectively, related to management’s estimate of the fair value of in-place leases assumed. Amortization expense was approximately $1.7 million and $0.9 million for the three months ended June 30, 2015 and 2014 , respectively, and $2.3 million and $1.8 million for the six months ended June 30, 2015 and 2014 , respectively. Accumulated amortization at June 30, 2015 and December 31, 2014 was approximately $30.2 million and $27.9 million , respectively. The value of in-place leases, net of amortization, is included in other assets on the accompanying consolidated balance sheets and the amortization of in-place leases is included in depreciation and amortization expense in the accompanying consolidated statements of comprehensive income. For acquired properties subject to an in-place property tax incentive arrangement, a portion of the purchase price is allocated to the present value of expected future property tax savings over the projected incentive arrangement period. Unamortized in-place property tax incentive arrangements as of June 30, 2015 and December 31, 2014 were approximately $56.2 million and $36.7 million , respectively, and are included in other assets on the accompanying consolidated balance sheets. Amortization of in-place property tax incentive arrangements is included in wholly-owned properties operating expense in the accompanying consolidated statements of comprehensive income. Mortgage Debt - Premiums and Discounts Mortgage debt premiums and discounts represent fair value adjustments to account for the difference between the stated rates and market rates of mortgage debt assumed in connection with the Company’s property acquisitions. The mortgage debt premiums and discounts are amortized to interest expense over the term of the related mortgage loans using the effective-interest method. The amortization of mortgage debt premiums and discounts resulted in a net decrease to interest expense of approximately $2.8 million and $3.2 million for the three months ended June 30, 2015 and 2014 , respectively, and $5.8 million and $6.4 million for the six months ended June 30, 2015 and 2014 , respectively. Mortgage debt premiums and discounts are included in secured mortgage, construction and bond debt on the accompanying consolidated balance sheets and amortization of mortgage debt premiums and discounts is included in interest expense on the accompanying consolidated statements of comprehensive income. Unsecured Notes - Original Issue Discount In April 2013 and again in June 2014 , the Company issued $400 million of senior unsecured notes (see Note 8 ) at 99.659 percent and 99.861 percent of par value, respectively, and recorded an original issue discount of approximately $1.4 million and $0.6 million , respectively. The total unamortized original issue discount was approximately $1.6 million and $1.7 million as of June 30, 2015 and December 31, 2014 , respectively, and is included in unsecured notes on the accompanying consolidated balance sheets. Amortization of the original issue discounts of approximately $42,000 and $30,000 for the three months ended June 30, 2015 and 2014 , respectively, and $83,000 and $59,000 for the six months ended June 30, 2015 and 2014 , respectively, is included in interest expense on the accompanying consolidated statements of comprehensive income. Pre-development Expenditures Pre-development expenditures such as architectural fees, permits and deposits associated with the pursuit of third-party and owned development projects are expensed as incurred, until such time that management believes it is probable that the contract will be executed and/or construction will commence. Because the Company frequently incurs these pre-development expenditures before a financing commitment and/or required permits and authorizations have been obtained, the Company bears the risk of loss of these pre-development expenditures if financing cannot ultimately be arranged on acceptable terms or the Company is unable to successfully obtain the required permits and authorizations. As such, management evaluates the status of third-party and owned projects that have not yet commenced construction on a periodic basis and expenses any deferred costs related to projects whose current status indicates the commencement of construction is unlikely and/or the costs may not provide future value to the Company in the form of revenues. Such write-offs are included in third-party development and management services expenses (in the case of third-party development projects) or general and administrative expenses (in the case of owned development projects) on the accompanying consolidated statements of comprehensive income. As of June 30, 2015 , the Company has deferred approximately $6.8 million in pre-development costs related to third-party and owned development projects that have not yet commenced construction. Such costs are included in other assets on the accompanying consolidated balance sheets. Earnings per Share – Company Basic earnings per share is computed using net income attributable to common shareholders and the weighted average number of shares of the Company’s common stock outstanding during the period. Diluted earnings per share reflects common shares issuable from the assumed conversion of Operating Partnership units ("OP Units") and common share awards granted. Only those items having a dilutive impact on basic earnings per share are included in diluted earnings per share. The following potentially dilutive securities were outstanding for the three and six months ended June 30, 2015 and 2014 , but were not included in the computation of diluted earnings per share because the effects of their inclusion would be anti-dilutive. Three Months Ended Six Months Ended 2015 2014 2015 2014 Common OP Units (Note 10) 1,447,931 1,230,219 — 1,230,219 Preferred OP Units (Note 10) 110,040 107,662 110,199 110,131 Total potentially dilutive securities 1,557,971 1,337,881 110,199 1,340,350 The following is a summary of the elements used in calculating basic and diluted earnings per share: Three Months Ended Six Months Ended 2015 2014 2015 2014 Numerator – basic earnings per share: Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Income from continuing operations attributable to noncontrolling interests (338 ) (293 ) (1,408 ) (728 ) Income from continuing operations attributable to common shareholders 15,580 13,438 85,777 39,150 Amount allocated to participating securities (269 ) (263 ) (603 ) (584 ) Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities 15,311 13,175 85,174 38,566 Income from discontinued operations — — — 2,720 Income from discontinued operations attributable to noncontrolling interests — — — (34 ) Income from discontinued operations attributable to common shareholders — — — 2,686 Net income attributable to common shareholders - basic $ 15,311 $ 13,175 $ 85,174 $ 41,252 Numerator – diluted earnings per share: Net income attributable to common shareholders - basic $ 15,311 $ 13,175 $ 85,174 $ 41,252 Income allocated to Common OP Units — — 904 — Net income attributable to common shareholders - diluted $ 15,311 $ 13,175 $ 86,078 $ 41,252 Denominator: Basic weighted average common shares outstanding 112,308,114 104,918,131 111,635,345 104,870,167 Unvested Restricted Stock Awards (Note 11) 675,825 691,430 705,664 713,179 Common OP units (Note 10) — — 1,311,332 — Diluted weighted average common shares outstanding 112,983,939 105,609,561 113,652,341 105,583,346 Earnings per share – basic: Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities $ 0.14 $ 0.13 $ 0.76 $ 0.37 Income from discontinued operations attributable to common shareholders $ — $ — $ — $ 0.02 Net income attributable to common shareholders $ 0.14 $ 0.13 $ 0.76 $ 0.39 Earnings per share – diluted: Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities $ 0.14 $ 0.12 $ 0.76 $ 0.37 Income from discontinued operations attributable to common shareholders $ — $ — $ — $ 0.02 Net income attributable to common shareholders $ 0.14 $ 0.12 $ 0.76 $ 0.39 Earnings per Unit – Operating Partnership Basic earnings per OP Unit is computed using net income attributable to common unitholders and the weighted average number of common units outstanding during the period. Diluted earnings per OP Unit reflects the potential dilution that could occur if securities or other contracts to issue OP Units were exercised or converted into OP Units or resulted in the issuance of OP Units and then shared in the earnings of the Operating Partnership. The following is a summary of the elements used in calculating basic and diluted earnings per unit: Three Months Ended Six Months Ended 2015 2014 2015 2014 Numerator – basic and diluted earnings per unit: Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Income from continuing operations attributable to noncontrolling interests – partially owned properties (92 ) (88 ) (415 ) (176 ) Income from continuing operations attributable to Series A preferred units (44 ) (45 ) (88 ) (87 ) Amount allocated to participating securities (269 ) (263 ) (603 ) (584 ) Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities 15,513 13,335 86,079 39,031 Income from discontinued operations — — — 2,720 Income from discontinued operations attributable to Series A preferred units — — — (3 ) Income from discontinued operations attributable to common unitholders — — — 2,717 Net income attributable to common unitholders $ 15,513 $ 13,335 $ 86,079 $ 41,748 Denominator: Basic weighted average common units outstanding 113,756,045 106,148,350 112,946,677 106,100,386 Unvested Restricted Stock Awards (Note 11) 675,825 691,430 705,664 713,179 Diluted weighted average common units outstanding 114,431,870 106,839,780 113,652,341 106,813,565 Earnings per unit - basic: Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities $ 0.14 $ 0.13 $ 0.76 $ 0.37 Income from discontinued operations attributable to common unitholders $ — $ — $ — $ 0.02 Net income attributable to common unitholders $ 0.14 $ 0.13 $ 0.76 $ 0.39 Earnings per unit - diluted: Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities $ 0.14 $ 0.12 $ 0.76 $ 0.37 Income from discontinued operations attributable to common unitholders $ — $ — $ — $ 0.02 Net income attributable to common unitholders $ 0.14 $ 0.12 $ 0.76 $ 0.39 |
Property Acquisitions
Property Acquisitions | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Property Acquisitions | Property Acquisitions During the first six months of 2015, the Company acquired the following wholly-owned properties for approximately $304.4 million : Property Location Primary University Served Acquisition Date Units Beds Park Point (1) Syracuse, NY Syracuse University February 2015 66 226 University Walk (2) Knoxville, TN University of Tennessee February 2015 177 526 1200 West Marshall Richmond, VA Virginia Commonwealth University March 2015 136 406 8 1/2 Canal Street (3) Richmond, VA Virginia Commonwealth University March 2015 160 540 Vistas San Marcos San Marcos, TX Texas State University March 2015 255 600 Crest at Pearl Austin, TX University of Texas June 2015 141 343 UP at Metroplex Binghamtom, NY Binghamton University - SUNY June 2015 186 710 1,121 3,351 (1) As part of this transaction, the Company assumed approximately $11.6 million of fixed rate mortgage debt. (2) University Walk completed construction and opened for operations in August 2014 and was purchased by the Company in February 2015. This property was consolidated for financial reporting purposes prior to the acquisition date because the entity that owned this property was deemed to be a variable interest entity (“VIE”) and the Company was determined to be the primary beneficiary of the VIE. (3) As part of this transaction, the Company issued 343,895 Common OP Units to the seller, valued at $41.24 per unit. The acquired properties’ results of operations have been included in the accompanying consolidated statements of comprehensive income since the respective acquisition closing dates, with the exception of University Walk which was consolidated prior to its acquisition date. The allocation of the total consideration to the assets acquired for Crest at Pearl and UP at Metroplex is preliminary pending the receipt of information necessary to complete the valuation of certain tangible and intangible assets associated with those acquisitions. The following pro forma information for three and six months ended June 30, 2015 and 2014 presents consolidated financial information for the Company as if the property acquisitions discussed above had occurred at the beginning of the earliest period presented. The pro forma information is provided for informational purposes only and is not indicative of results that would have occurred or which may occur in the future: Three Months Ended Six Months Ended 2015 2014 2015 2014 Total revenues $ 180,236 $ 177,346 $ 378,700 $ 365,910 Net income attributable to common shareholders $ 17,107 $ 12,539 $ 89,826 $ 39,010 Net income per share attributable to common shareholders, as adjusted - basic $ 0.15 $ 0.12 $ 0.80 $ 0.37 Net income per share attributable to common shareholders, as adjusted - diluted $ 0.15 $ 0.12 $ 0.79 $ 0.36 |
Property Dispositions and Disco
Property Dispositions and Discontinued Operations | 6 Months Ended |
Jun. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Property Dispositions and Discontinued Operations | Property Dispositions and Discontinued Operations During the first six months of 2015, the Company sold the following wholly-owned properties for approximately $404.6 million , resulting in proceeds of approximately $395.9 million . The combined net gain on these dispositions of approximately $48.0 million is included in income from continuing operations on the accompanying consolidated statements of comprehensive income for the six months ended June 30, 2015 . Property Location Primary University Served Disposition Date Units Beds The Highlands Reno, NV University of Nevada at Reno January 2015 216 732 The Outpost San Marcos San Marcos, TX Texas State University February 2015 162 486 University Meadows Mt. Pleasant, MI Central Michigan University February 2015 184 616 Eagles Trail Hattiesburg, MS University of Southern Mississippi March 2015 216 792 The View Lincoln, NE University of Nebraska January 2015 157 590 Chapel Ridge Chapel Hill, NC University of North Carolina January 2015 180 544 Chapel View Chapel Hill, NC University of North Carolina January 2015 224 358 The Village at Alafaya Club Orlando, FL University of Central Florida January 2015 228 839 University Place Charlottesville, VA University of Virginia January 2015 144 528 University Greens Norman, OK University of Oklahoma January 2015 156 516 Lakeside Apartments Athens, GA University of Georgia May 2015 244 776 The Club Athens, GA University of Georgia May 2015 120 480 The Estates Gainsville, FL University of Florida May 2015 396 1,044 South View Harrisonburg, VA James Madison University May 2015 240 960 Stone Gate Harrisonburg, VA James Madison University May 2015 168 672 The Commons Harrisonburg, VA James Madison University May 2015 132 528 University Heights Knoxville, TN University of Tennessee May 2015 204 636 3,371 11,097 The following wholly-owned properties were classified as held for sale on the accompanying consolidated balance sheet as of June 30, 2015 , all of which were sold in July 2015 (see note 16 ). Concurrent with this classification, these properties were recorded at the lower of cost or fair value less estimated selling costs. No impairment charges were recorded for these properties, as the sales prices net of selling costs exceeded the properties' carrying values. Property Location Primary University Served Units Beds The Woods at Greenland Murfreesboro, TN Middle Tennessee State University 78 276 Raiders Crossing Murfreesboro, TN Middle Tennessee State University 96 276 University Gables Murfreesboro, TN Middle Tennessee State University 168 648 342 1,200 In February 2014, the Company sold Hawks Landing, a 484 -bed owned off-campus property located near the campus of Miami University of Ohio for a sales price of approximately $17.3 million . Because Hawks Landing was classified as held for sale as of December 31, 2013, the new accounting guidelines on discontinued operations did not apply for this disposition, as such, the resulting gain on disposition of approximately $2.8 million is included in discontinued operations on the accompanying consolidated statements of comprehensive income for the six months ended June 30, 2014 . Below is a summary of the results of operations for Hawks Landing: Six Months Ended Total revenues $ 279 Total operating expenses (239 ) Depreciation and amortization — Operating income 40 Total nonoperating expenses (163 ) Net loss $ (123 ) |
Investments in Wholly-Owned Pro
Investments in Wholly-Owned Properties | 6 Months Ended |
Jun. 30, 2015 | |
Wholly-owned properties | |
Real Estate Properties [Line Items] | |
Investments in Wholly-Owned Properties | Investments in Wholly-Owned Properties Wholly-owned properties consisted of the following: June 30, 2015 December 31, 2014 Land (1) $ 578,167 $ 571,242 Buildings and improvements 4,902,540 4,937,345 Furniture, fixtures and equipment 278,225 289,168 Construction in progress 305,596 185,414 6,064,528 5,983,169 Less accumulated depreciation (693,660 ) (674,462 ) Wholly-owned properties, net $ 5,370,868 (2) $ 5,308,707 (3) (1) The land balance above includes undeveloped land parcels with book values of approximately $40.8 million and $40.6 million as of June 30, 2015 and December 31, 2014 , respectively. Also includes land totaling approximately $37.6 million and $30.2 million as of June 30, 2015 and December 31, 2014 , respectively, related to properties under development. (2) The balance above excludes the net book value of three wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of June 30, 2015 (see Note 4 ). These properties were sold in July 2015. (3) The balance above excludes the net book value of seven wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of December 31, 2014 (see Note 4 ). These properties were sold in January 2015. |
On-Campus Participating Propert
On-Campus Participating Properties | 6 Months Ended |
Jun. 30, 2015 | |
On-campus participating properties | |
Real Estate Properties [Line Items] | |
On-Campus Participating Properties | On-Campus Participating Properties On-campus participating properties are as follows: Historical Cost Lessor/University Lease Commencement Required Debt June 30, 2015 December 31, 2014 Texas A&M University System / Prairie View A&M University (1) 2/1/1996 9/1/2023 $ 43,395 $ 43,036 Texas A&M University System / Texas A&M International 2/1/1996 9/1/2023 6,977 6,937 Texas A&M University System / Prairie View A&M University (2) 10/1/1999 8/31/2025 27,227 26,828 8/31/2028 University of Houston System / University of Houston (3) 9/27/2000 8/31/2035 36,702 36,606 West Virginia University Project / West Virginia University 7/16/2013 7/16/2045 43,611 43,636 157,912 157,043 Less accumulated amortization (66,330 ) (62,915 ) On-campus participating properties, net $ 91,582 $ 94,128 (1) Consists of three phases placed in service between 1996 and 1998. (2) Consists of two phases placed in service in 2000 and 2003. (3) Consists of two phases placed in service in 2001 and 2005. |
Investments in Unconsolidated J
Investments in Unconsolidated Joint Ventures | 6 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Unconsolidated Joint Ventures | Investments in Unconsolidated Joint Ventures As of June 30, 2015 , the Company owned a noncontrolling interest in one unconsolidated joint venture that is accounted for utilizing the equity method of accounting. The Company discontinued applying the equity method in regards to its investment in this joint venture as a result of the Company’s share of losses exceeding its investment in the joint venture. Because the Company had not guaranteed any obligations of the investee and was not otherwise committed to provide further financial support to the investee, it therefore suspended recording its share of losses once the investment was reduced to zero. The Company also earns fees for providing management services to this joint venture, which totaled approximately $0.6 million and $0.4 million for the three months ended June 30, 2015 and 2014 , respectively, and $0.9 million and $0.8 million for the six months ended June 30, 2015 and 2014 , respectively. |
Debt
Debt | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Debt A summary of the Company’s outstanding consolidated indebtedness, including unamortized debt premiums and discounts, is as follows: June 30, 2015 December 31, 2014 Debt secured by wholly-owned properties: Mortgage loans payable: Unpaid principal balance $ 936,274 $ 1,094,306 Unamortized debt premiums 55,422 60,586 Unamortized debt discounts (322 ) (895 ) 991,374 1,153,997 Construction loans payable — 63,637 991,374 1,217,634 Debt secured by on-campus participating properties: Mortgage loan payable 30,073 30,553 Bonds payable 39,785 39,785 Construction loan payable 44,200 43,942 114,058 114,280 Total secured mortgage, construction and bond debt 1,105,432 1,331,914 Unsecured notes, net of unamortized original issue discount 798,389 798,305 Unsecured term loans 600,000 600,000 Unsecured revolving credit facility 229,400 242,500 Total debt $ 2,733,221 $ 2,972,719 Pay-off of Mortgage and Construction Debt During the six months ended June 30, 2015 , the Company paid off approximately $126.9 million of fixed rate mortgage debt secured by six wholly-owned properties (Newtown Crossing, Olde Towne University Square, Peninsular Place, The Estates, South View, and Stone Gate). In addition, the Company paid off approximately $37.4 million of fixed rate mortgage debt in connection with the sale of Chapel View and University Meadows in the first quarter 2015 and Lakeside Apartments and The Commons in the second quarter 2015. During the six months ended June 30, 2015 , the Company also paid off approximately $44.6 million of variable rate construction debt secured by two owned on-campus ACE properties (The Suites and Hilltop Townhomes). The remaining decrease in construction loans payable of $19.0 million is related to our purchase of University Walk in February 2015, as the seller/developer paid off the outstanding construction loan balance with sales proceeds. Unsecured Notes In June 2014 , the Operating Partnership issued an additional $400 million in senior unsecured notes under its existing shelf registration. These 10 -year notes were issued at 99.861 percent of par value with a coupon of 4.125 percent and a yield of 4.142 percent , and are fully and unconditionally guaranteed by the Company. Interest on the notes is payable semi-annually on January 1 and July 1, with the first payment beginning on January 1, 2015. The notes will mature on July 1, 2024. Net proceeds from the sale of the unsecured notes totaled approximately $395.3 million after deducting the underwriting discount and offering expenses. The underwriting discount and offering expenses were capitalized to deferred financing costs and will be amortized over the term of the unsecured notes. The Company used $340 million of the offering proceeds to pay down the outstanding balance on its revolving credit facility in full. The terms of the unsecured notes include certain financial covenants that require the Operating Partnership to limit the amount of total debt and secured debt as a percentage of total asset value, as defined. In addition, the Operating Partnership must maintain a minimum ratio of unencumbered asset value to unsecured debt, as well as a minimum interest coverage level. As of June 30, 2015 , the Company was in compliance with all such covenants. In connection with the issuance of unsecured notes discussed above, the Company terminated two forward starting interest rate swap contracts with notional amounts totaling $200 million , resulting in payments to both counterparties totaling approximately $4.1 million , which were recorded in accumulated other comprehensive loss and will be amortized to interest expense over the term of the unsecured notes. When including the effect of these interest rate swap terminations, the effective yield on the unsecured notes is 4.269% . Refer to Note 12 for more information on the interest rate swap contracts mentioned above. Unsecured Credit Facility The Company has an aggregate unsecured credit facility totaling $1.1 billion which is comprised of two unsecured term loans totaling $600 million and a $500 million unsecured revolving credit facility, which may be expanded by up to an additional $500 million upon the satisfaction of certain conditions. The maturity date of the unsecured revolving credit facility is March 1, 2018, and can be extended for an additional 12 months to March 1, 2019, subject to the satisfaction of certain conditions. The maturity date of the $350 million term loan facility ("Term Loan I Facility") is January 10, 2017 and can be extended to January 10, 2019 through the exercise of two 12 -month extension options, subject to the satisfaction of certain conditions. The maturity date of the $250 million term loan ("Term Loan II Facility") is March 1, 2019. Each loan bears interest at a variable rate, at the Company’s option, based upon a base rate or one-, two-, three- or six-month LIBOR, plus, in each case, a spread based upon the Company’s investment grade rating from either Moody’s Investor Services, Inc. or Standard & Poor’s Rating Group. As of June 30, 2015 , the Term Loan II Facility bore interest at a variable rate of 1.69% per annum ( 0.19% + 1.50% spread). The Company has entered into multiple interest rate swap contracts with notional amounts totaling $350 million that effectively fix the interest rate to a weighted average annual rate of 0.89% on the outstanding balance of the Term Loan I Facility. Including the current spread of 1.50% , the all-in weighted average annual rate on the Term Loan I Facility was 2.39% at June 30, 2015 . Refer to Note 12 for more information on the interest rate swap contracts mentioned above. Availability under the revolving credit facility is limited to an “aggregate borrowing base amount” equal to 60% of the value of the Company’s unencumbered properties, calculated as set forth in the unsecured credit facility. Additionally, the Company is required to pay a facility fee of 0.25% per annum on the $500 million revolving credit facility. As of June 30, 2015 , the revolving credit facility bore interest at a weighted average annual rate of 1.74% ( 0.19% + 1.30% spread + 0.25% facility fee), and availability under the revolving credit facility totaled $270.6 million as of June 30, 2015 . The terms of the unsecured credit facility include certain restrictions and covenants, which limit, among other items, the incurrence of additional indebtedness, liens, and the disposition of assets. The facility contains customary affirmative and negative covenants and also contains financial covenants that, among other things, require the Company to maintain certain minimum ratios of “EBITDA” (earnings before interest, taxes, depreciation and amortization) to fixed charges and total indebtedness. The Company may not pay distributions that exceed a specified percentage of funds from operations, as adjusted, for any four consecutive quarters. The financial covenants also include consolidated net worth and leverage ratio tests. As of June 30, 2015 , the Company was in compliance with all such covenants. |
Stockholders' Equity _ Partners
Stockholders' Equity / Partners' Capital | 6 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity / Partners' Capital | Stockholders' Equity / Partners' Capital Stockholders' Equity - Company In June of 2015, the Company established an at-the-market share offering program (the “ATM Equity Program”) through which the Company may issue and sell, from time to time, shares of common stock having an aggregate offering price of up to $500 million . The shares that may be sold under this program include shares of common stock of the Company with an aggregate offering price of approximately $194 million that were not sold under the company's prior ATM program that expired in May 2015. Actual sales under the program will depend on a variety of factors, including, but not limited to, market conditions, the trading price of the Company’s common stock and determinations of the appropriate sources of funding for the Company. The following table presents activity under the Company’s ATM Equity Programs during the three and six months ended June 30, 2015 : Three Months Ended Six Months Ended June 30, 2015 Total net proceeds $ — $ 213,416 Commissions paid to sales agents $ — $ 3,250 Weighted average price per share $ — $ 43.92 Shares of common stock sold — 4,933,665 The Company did not sell any shares under the ATM Equity Program for the comparable three and six month periods in 2014. As of June 30, 2015 , the Company had approximately $500 million available for issuance under its ATM Equity Program. Partners’ Capital – Operating Partnership In connection with the ATM Equity Program discussed above, ACCOP issued a number of common OP units to ACC equivalent to the number of common shares issued by ACC. In connection with our purchase of 8 1/2 Canal Street during the first quarter of 2015, we issued 343,895 common OP units to the seller, valued at $41.24 per unit. See Note 3 for more details. During the six months ended June 30, 2015 , 76,183 common OP units and 1,000 Series A preferred units were converted into an equal number of shares of ACC’s common stock. During the year ended December 31, 2014 , 50,000 common OP units and 2,269 Series A preferred units were converted into an equal number of shares of ACC's common stock. |
Noncontrolling Interests
Noncontrolling Interests | 6 Months Ended |
Jun. 30, 2015 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | Noncontrolling Interests Operating Partnership Partially-owned properties: As of June 30, 2015 , the Operating Partnership consolidates three joint ventures that own and operate University Village at Sweet Home, University Centre and Villas at Chestnut Ridge owned-off campus properties. The portion of net assets attributable to the third-party partners in these joint ventures is classified as “noncontrolling interests - partially owned properties” within capital on the accompanying consolidated balance sheets of the Operating Partnership. Accordingly, the third-party partners’ share of the income or loss of the joint ventures is reported on the consolidated statements of comprehensive income of the Operating Partnership as “net income attributable to noncontrolling interests – partially owned properties.” As discussed in Note 3 , the Company entered into a purchase and contribution agreement with a private developer whereby the Company was obligated to purchase the property (University Walk) as long as the developer met certain construction completion deadlines and other closing conditions. The $1.5 million equity contribution from the developer is reflected as noncontrolling interests - partially owned properties within capital on the accompanying consolidated balance sheets of the Operating Partnership as of December 31, 2014 . The Company purchased University Walk in February 2015 and paid approximately $1.7 million in cash consideration for the remaining noncontrolling interest and recognized the $0.2 million excess of consideration paid over the carrying amount of the noncontrolling interest acquired as an adjustment to additional paid in capital in the accompanying consolidated statement of changes in capital. OP Units: For the portion of OP Units that the Operating Partnership is required, either by contract or securities law, to deliver registered common shares of ACC to the exchanging OP unit holder, or for which the Operating Partnership has the intent or history of exchanging such units for cash, we classify the units as “redeemable limited partners” in the mezzanine section of the consolidated balance sheets of the Operating Partnership. The units classified as such include Series A preferred units as well as common units that are not held by ACC or ACC Holdings. The value of redeemable limited partners on the consolidated balance sheets of the Operating Partnership is reported at the greater of fair value, which is based on the closing market value of the Company's common stock, or historical cost at the end of each reporting period. Changes in the value from period to period are charged to limited partner’s capital on the consolidated statement of changes in capital of the Operating Partnership. Below is a table summarizing the activity of redeemable limited partners for the six months ended June 30, 2015 : December 31, 2014 $ 54,472 Net income 993 Distributions (1,087 ) Redeemable limited partner units issued as consideration (see Note 3) 14,182 Conversion of redeemable limited partner units into shares of ACC common stock (2,589 ) Adjustments to reflect redeemable limited partner units at fair value (3,880 ) June 30, 2015 $ 62,091 As of June 30, 2015 and December 31, 2014 , approximately 1.4% and 1.2% , respectively, of the equity interests of the Operating Partnership were held by owners of common OP Units and Series A preferred units not held by ACC or ACC Holdings. Company The noncontrolling interests of the Company include the third-party equity interests in partially-owned properties, as discussed above, which are presented as a component of equity in the Company’s consolidated balance sheets. The Company’s noncontrolling interests also include the redeemable limited partners presented in the consolidated balance sheets of the Operating Partnership, which are referred to as “redeemable noncontrolling interests” in the mezzanine section of the Company’s consolidated balance sheets. Noncontrolling interests on the Company’s consolidated statements of comprehensive income include the income/loss attributable to third-party equity interests in partially-owned properties, as well as the income/loss attributable to redeemable noncontrolling interests (i.e. OP Units not held by ACC or ACC Holdings.) |
Incentive Award Plan
Incentive Award Plan | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Incentive Award Plan | Incentive Award Plan Restricted Stock Units (“RSUs”) Upon reelection to the Board of Directors in May 2015, all members of the Company’s Board of Directors were granted restricted stock units (“RSUs”) in accordance with the American Campus Communities, Inc. 2010 Incentive Award Plan (the “Plan”). These RSUs were valued at $95,000 for the Chairman of the Board of Directors and at $71,500 for all other members. The number of RSUs was determined based on the fair market value of the Company’s stock on the date of grant, as defined in the Plan. All awards vested and settled immediately on the date of grant, and the Company delivered shares of common stock and cash, as determined by the Compensation Committee of the Board of Directors. A compensation charge of approximately $0.6 million was recorded during the six months ended June 30, 2015 related to these awards. A summary of ACC’s RSUs under the Plan as of June 30, 2015 and activity during the six months then ended is presented below: Number of RSUs Outstanding at December 31, 2014 — Granted 14,825 Settled in common shares (12,155 ) Settled in cash (2,670 ) Outstanding at June 30, 2015 — Restricted Stock Awards (“RSAs”) A summary of RSAs under the American Campus Communities, Inc. 2010 Incentive Award Plan (the "Plan") as of June 30, 2015 and activity during the six months then ended, is presented below: Number of RSAs Nonvested balance at December 31, 2014 609,514 Granted 273,038 Vested (116,166 ) Forfeited (1) (100,831 ) Nonvested balance at June 30, 2015 665,555 (1) Includes shares withheld to satisfy tax obligations upon vesting. The fair value of RSAs is calculated based on the closing market value of ACC’s common stock on the date of grant. The fair value of these awards is amortized to expense over the vesting periods, which amounted to approximately $1.9 million and $1.6 million for three months ended June 30, 2015 and 2014 , respectively, and $4.0 million and $3.5 million for six months ended June 30, 2015 and 2014 , respectively. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps and forward starting swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Forward starting swaps are used to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows relating to interest payments on a forecasted issuance of debt. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in other comprehensive income (outside of earnings) and subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. The ineffective portion of changes in the fair value of the derivative is recognized directly in earnings. Ineffectiveness resulting from the derivative instruments summarized below was immaterial for both the three and six month periods ended June 30, 2015 and 2014 . The following table summarizes the Company’s outstanding interest rate swap contracts as of June 30, 2015 : Hedged Debt Instrument Effective Date Maturity Date Pay Fixed Rate Receive Floating Rate Index Current Notional Amount Fair Value Cullen Oaks mortgage loan Feb 18, 2014 Feb 15, 2021 2.275% LIBOR - 1 month $ 14,960 $ (446 ) Cullen Oaks mortgage loan Feb 18, 2014 Feb 15, 2021 2.275% LIBOR - 1 month 15,114 (450 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.8695% LIBOR – 1 month 125,000 (546 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.88% LIBOR – 1 month 100,000 (452 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.8875% LIBOR – 1 month 62,500 (290 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.889% LIBOR – 1 month 62,500 (291 ) Park Point mortgage loan Nov 1, 2013 Oct 5, 2018 1.545% LIBOR - 1 month 70,000 (844 ) Total $ 450,074 $ (3,319 ) In March 2014, the Company entered into two forward starting interest rate swap contracts with notional amounts totaling $200 million designated to hedge the Company's exposure to increasing interest rates related to interest payments on an anticipated issuance of unsecured notes. In connection with the issuance of unsecured notes in June 2014, the Company terminated both swap contracts resulting in payments to both counterparties totaling approximately $4.1 million , which were recorded in accumulated other comprehensive loss and will be amortized to interest expense over the term of the unsecured notes. As of June 30, 2015 , approximately $0.4 million of the $4.1 million payment was amortized from accumulated other comprehensive loss to interest expense. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of June 30, 2015 and December 31, 2014 : Liability Derivatives Fair Value as of Description Balance Sheet June 30, 2015 December 31, 2014 Interest rate swaps contracts Other liabilities $ 3,319 $ 2,306 Total derivatives designated as hedging instruments $ 3,319 $ 2,306 |
Fair Value Disclosures
Fair Value Disclosures | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures The following table presents information about the Company’s financial instruments measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014 , and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities the Company has the ability to access. Fair values determined by Level 2 inputs utilize inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets and inputs other than quoted prices observable for the asset or liability, such as interest rates and yield curves observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In instances in which the inputs used to measure fair value may fall into different levels of the fair value hierarchy, the level in the fair value hierarchy within which the fair value measurement in its entirety has been determined is based on the lowest level input significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. Disclosures concerning financial instruments measured at fair value are as follows: Fair Value Measurements as of June 30, 2015 December 31, 2014 Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Liabilities: Derivative financial instruments $ — $ 3,319 $ — $ 3,319 $ — $ 2,306 $ — $ 2,306 Mezzanine: Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) $ — $ 62,091 $ — $ 62,091 $ — $ 54,472 $ — $ 54,472 The Company uses derivative financial instruments, specifically interest rate swaps and forward starting swaps, for nontrading purposes. The Company uses interest rate swaps to manage interest rate risk arising from previously unhedged interest payments associated with variable rate debt and forward starting swaps to reduce exposure to variability in cash flows relating to interest payments on forecasted issuances of debt. Through June 30, 2015 , derivative financial instruments were designated and qualified as cash flow hedges. Derivative contracts with positive net fair values inclusive of net accrued interest receipts or payments are recorded in other assets. Derivative contracts with negative net fair values, inclusive of net accrued interest payments or receipts, are recorded in other liabilities. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts). The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves. The Company incorporates credit valuation adjustments to appropriately reflect its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds and guarantees. Although the Company has determined the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by the Company and its counterparty. However, as of June 30, 2015 and December 31, 2014 , the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of the Company’s derivative financial instruments. As a result, the Company has determined each of its derivative valuations in its entirety is classified in Level 2 of the fair value hierarchy. Redeemable noncontrolling interests in the Operating Partnership have a redemption feature and are marked to their redemption value. The redemption value is based on the fair value of the Company’s common stock at the redemption date, and therefore, is calculated based on the fair value of the Company’s common stock at the balance sheet date. Since the valuation is based on observable inputs such as quoted prices for similar instruments in active markets, redeemable noncontrolling interests in the Operating Partnership are classified in Level 2 of the fair value hierarchy. Other Fair Value Disclosures Cash and Cash Equivalents, Restricted Cash, Student Contracts Receivable, Other Assets, Accounts Payable and Accrued Expenses and Other Liabilities: The Company estimates that the carrying amount approximates fair value, due to the short maturity of these instruments. Derivative Instruments: These instruments are reported on the balance sheet at fair value, which is based on calculations provided by independent, third-party financial institutions and represent the discounted future cash flows expected, based on the projected future interest rate curves over the life of the instrument. Unsecured Term Loans and Unsecured Revolving Credit Facility: The fair value of these instruments approximates carrying values due to the variable interest rate feature of these instruments. Loans Receivable: The fair value of loans receivable is based on a discounted cash flow analysis consisting of scheduled cash flows and discount rate estimates to approximate those that a willing buyer and seller might use. These financial instruments utilize Level 3 inputs. Unsecured Notes: In calculating the fair value of unsecured notes, interest rate and spread assumptions reflect current creditworthiness and market conditions available for the issuance of unsecured notes with similar terms and remaining maturities. These financial instruments utilize Level 2 inputs. Mortgage Loans Payable: The fair value of mortgage loans payable is based on the present value of the cash flows at current market interest rates through maturity. The Company has concluded the fair value of these financial instruments are Level 2, as the majority of the inputs used to value these instruments fall within Level 2 of the fair value hierarchy. Bonds Payable: The fair value of bonds payable is based on quoted prices in markets that are not active due to the unique characteristics of these financial instruments; as such, the Company has concluded the inputs used to measure fair value fall within Level 2 of the fair value hierarchy. The table below contains the estimated fair value and related carrying amounts for the Company’s financial instruments as of June 30, 2015 and December 31, 2014 : June 30, 2015 December 31, 2014 Estimated Fair Value Carrying Amount Estimated Fair Value Carrying Amount Assets: Loans receivable $ 47,092 $ 55,836 $ 47,092 $ 54,260 Liabilities: Unsecured notes $ 792,080 $ 798,389 $ 802,943 $ 798,305 Mortgage loans 1,015,175 1,021,447 1,182,501 1,184,550 Bonds payable 43,972 39,785 45,176 39,785 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments Construction Contracts: As of June 30, 2015 , the Company estimates additional costs to complete eight wholly-owned development projects under construction to be approximately $175.0 million . The Company expects to fund this amount through a combination of cash flows generated from operations, proceeds from potential property dispositions, draws under the Company's unsecured revolving credit facility, possible issuance of securities under the Company's ATM Equity Program and potential debt or equity offerings under the Company's automatic shelf registration statement. Development-related Guarantees: For certain of its third-party development projects, the Company commonly provides alternate housing and project cost guarantees, subject to force majeure. These guarantees are typically limited, on an aggregate basis, to the amount of the projects’ related development fees or a contractually agreed-upon maximum exposure amount. Alternate housing guarantees typically expire five days after construction is complete and generally require the Company to provide substitute living quarters and transportation for students to and from the university if the project is not complete by an agreed-upon completion date. Under project cost guarantees, the Company is responsible for the construction cost of a project in excess of an approved budget. The budget consists primarily of costs included in the general contractors’ guaranteed maximum price contract (“GMP”). In most cases, the GMP obligates the general contractor, subject to force majeure and approved change orders, to provide completion date guarantees and to cover cost overruns and liquidated damages. In addition, the GMP is typically secured with payment and performance bonds. Project cost guarantees expire upon completion of certain developer obligations, which are normally satisfied within one year after completion of the project. The Company’s estimated maximum exposure amount under the above guarantees is approximately $4.2 million as of June 30, 2015 . In the normal course of business, the Company enters into various development-related purchase commitments with parties that provide development-related goods and services. In the event that the Company was to terminate development services prior to the completion of projects under construction, the Company could potentially be committed to satisfy outstanding purchase orders with such parties. At June 30, 2015 , management did not anticipate any material deviations from schedule or budget related to third-party development projects currently in progress. In August 2013, the Company entered into an agreement to convey fee interest in a parcel of land, on which one of our student housing properties resides (University Crossings), to Drexel University (the “University”). Concurrent with the land conveyance, the Company as lessee entered into a ground lease agreement with the University as lessor for an initial term of 40 years , with three 10 -year extensions, at the Company’s option. As part of the ground lease agreement, the Company committed to spend a minimum of $22.3 million in renovation and capital improvement costs over a five year period to improve the unit finishes, expand and improve amenity space and upgrade the exterior facade and other systems. As of June 30, 2015 , the Company has spent approximately $21.9 million in renovations and capital improvements and anticipates spending an additional $13.1 million in 2015. In addition, the Company also agreed to convey the building and improvements to the University at an undetermined date in the future and to pay real estate transfer taxes not to exceed $2.4 million . The Company paid approximately $0.6 million in real estate transfer taxes upon the conveyance of land to the University, leaving approximately $1.8 million to be paid by the Company upon the transfer of the building and improvements. In addition, in connection with certain property acquisitions, the Company has assumed the obligation to fund future infrastructure improvements located near the acquired properties. Because the ultimate cost of such obligations was not determinable as of the property acquisition date, it is likely that such payments made by the Company will be expensed at such time the local municipalities decide to move forward with the projects. As of June 30, 2015 , the timing and amount of such obligations was not determinable and, as such, the Company has not accrued any liabilities associated with such payments. Contingencies Litigation: The Company is subject to various claims, lawsuits and legal proceedings, as well as other matters that have not been fully resolved and that have arisen in the ordinary course of business. While it is not possible to ascertain the ultimate outcome of such matters, management believes that the aggregate amount of such liabilities, if any, in excess of amounts provided or covered by insurance, will not have a material adverse effect on the consolidated financial position or results of operations of the Company. However, the outcome of claims, lawsuits and legal proceedings brought against the Company is subject to significant uncertainty. Therefore, although management considers the likelihood of such an outcome to be remote, the ultimate results of these matters cannot be predicted with certainty. Letters of Intent: In the ordinary course of the Company’s business, the Company enters into letters of intent indicating a willingness to negotiate for acquisitions, dispositions or joint ventures. Such letters of intent are non-binding, and neither party to the letter of intent is obligated to pursue negotiations unless and until a definitive contract is entered into by the parties. Even if definitive contracts are entered into, the letters of intent relating to the acquisition and disposition of real property and resulting contracts generally contemplate that such contracts will provide the acquirer with time to evaluate the property and conduct due diligence, during which periods the acquirer will have the ability to terminate the contracts without penalty or forfeiture of any deposit or earnest money. There can be no assurance that definitive contracts will be entered into with respect to any matter covered by letters of intent or that the Company will consummate any transaction contemplated by any definitive contract. Furthermore, due diligence periods for real property are frequently extended as needed. Once the due diligence period expires, the Company is then at risk under a real property acquisition contract, but only to the extent of any earnest money deposits associated with the contract. Environmental Matters: The Company is not aware of any environmental liability with respect to the properties that would have a material adverse effect on the Company’s business, assets or results of operations. However, there can be no assurance that such a material environmental liability does not exist. The existence of any such material environmental liability could have an adverse effect on the Company’s results of operations and cash flows. |
Segments
Segments | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Segments | Segments The Company defines business segments by their distinct customer base and service provided. The Company has identified four reportable segments: Wholly-Owned Properties, On-Campus Participating Properties, Development Services, and Property Management Services. Management evaluates each segment’s performance based on operating income before depreciation, amortization, minority interests and allocation of corporate overhead. Intercompany fees are reflected at the contractually stipulated amounts. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Wholly-Owned Properties Rental revenues and other income $ 168,169 $ 163,664 $ 348,897 $ 336,487 Interest income 270 279 541 551 Total revenues from external customers 168,439 163,943 349,438 337,038 Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead (76,688 ) (76,645 ) (155,742 ) (153,025 ) Ground/facility leases (1,222 ) (932 ) (2,445 ) (1,868 ) Interest expense (6,915 ) (10,729 ) (15,653 ) (22,121 ) Operating income before depreciation, amortization, and allocation of corporate overhead $ 83,614 $ 75,637 $ 175,598 $ 160,024 Depreciation and amortization $ 49,248 $ 46,657 $ 97,557 $ 93,166 Capital expenditures $ 68,989 $ 80,483 $ 137,456 $ 149,288 Total segment assets at June 30, $ 5,590,474 $ 5,452,209 $ 5,590,474 $ 5,452,209 On-Campus Participating Properties Rental revenues and other income $ 5,704 $ 4,735 $ 14,904 $ 12,923 Interest income — 3 — 6 Total revenues from external customers 5,704 4,738 14,904 12,929 Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead (2,675 ) (2,592 ) (5,102 ) (4,889 ) Ground/facility leases (739 ) (650 ) (1,614 ) (1,277 ) Interest expense (1,488 ) (1,112 ) (2,966 ) (2,261 ) Operating income before depreciation, amortization and allocation of corporate overhead $ 802 $ 384 $ 5,222 $ 4,502 Depreciation and amortization $ 1,735 $ 1,228 $ 3,451 $ 2,440 Capital expenditures $ 78 $ 8,878 $ 859 $ 21,170 Total segment assets at June 30, $ 109,254 $ 106,150 $ 109,254 $ 106,150 Development Services Development and construction management fees $ 1,677 $ 1,581 $ 2,241 $ 1,768 Operating expenses (3,925 ) (2,737 ) (7,032 ) (5,580 ) Operating loss before depreciation, amortization and allocation of corporate overhead $ (2,248 ) $ (1,156 ) $ (4,791 ) $ (3,812 ) Total segment assets at June 30, $ 4,619 $ 2,010 $ 4,619 $ 2,010 Property Management Services Property management fees from external customers $ 2,324 $ 1,997 $ 4,325 $ 3,982 Intersegment revenues 5,607 5,516 11,475 11,203 Total revenues 7,931 7,513 15,800 15,185 Operating expenses (3,032 ) (2,965 ) (5,860 ) (6,061 ) Operating income before depreciation, amortization and allocation of corporate overhead $ 4,899 $ 4,548 $ 9,940 $ 9,124 Total segment assets at June 30, $ 7,894 $ 7,037 $ 7,894 $ 7,037 Reconciliations Total segment revenues and other income $ 183,751 $ 177,775 $ 382,383 $ 366,920 Unallocated interest income earned on investments and corporate cash 815 755 1,656 1,511 Elimination of intersegment revenues (5,607 ) (5,516 ) (11,475 ) (11,203 ) Total consolidated revenues, including interest income $ 178,959 $ 173,014 $ 372,564 $ 357,228 Segment operating income before depreciation, amortization and allocation of corporate overhead $ 87,067 $ 79,413 $ 185,969 $ 169,838 Depreciation and amortization (52,916 ) (49,911 ) (104,946 ) (99,585 ) Net unallocated expenses relating to corporate interest and overhead (20,538 ) (15,482 ) (39,489 ) (29,796 ) Gain from disposition of real estate 3,790 — 48,042 — Loss from early extinguishment of debt (1,175 ) — (1,770 ) — Income tax provision (310 ) (289 ) (621 ) (579 ) Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Total segment assets $ 5,712,241 $ 5,567,406 $ 5,712,241 $ 5,567,406 Unallocated corporate assets 97,929 153,587 97,929 153,587 Total assets at June 30, $ 5,810,170 $ 5,720,993 $ 5,810,170 $ 5,720,993 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Distributions : On August 5, 2015 , the Company declared a distribution per share of $0.40 which will be paid on August 27, 2015 to all common stockholders of record as of August 17, 2015 . At the same time, the Operating Partnership will pay an equivalent amount per unit to holders of Common Units, as well as the quarterly cumulative preferential distribution to holders of Series A Preferred Units (see Note 10 ). Property Dispositions : In July 2015, the Company sold three wholly owned properties containing 1,200 beds for approximately $32.1 million . Refer to Note 4 for additional information about these properties. |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements, presented in U.S. dollars, are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities as of the date of the financial statements, and revenue and expenses during the reporting periods. Our actual results could differ from those estimates and assumptions. All material intercompany transactions among consolidated entities have been eliminated. All dollar amounts in the tables herein, except share, per share, unit and per unit amounts, are stated in thousands unless otherwise indicated. Certain prior period amounts have been reclassified to conform to the current period presentation. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update 2015-03 ("ASU 2015-03"), "Simplifying the Presentation of Debt Issuance Costs." ASU 2015-03 requires all costs incurred to issue debt be presented in the balance sheet as a direct deduction from the carrying value of the debt rather than being recorded as a deferred charge and presented as an asset. ASU 2015-03 is effective for interim and annual periods beginning after December 15, 2015, with early adoption permitted, and retrospective application required. The Company plans to adopt ASU 2015-03 as of January 1, 2016 and does not expect it to have a material impact on its consolidated financial statements. In February 2015, the FASB issued Accounting Standards Update 2015-02 ("ASU 2015-02"), "Amendments to the Consolidation Analysis.” ASU 2015-02 changes the analysis a reporting entity must perform to determine whether it should consolidate certain types of legal entities. ASU 2015-02 modifies whether limited partnerships and similar entities are variable interest entities ("VIEs") or voting interest entities and eliminates the presumption a general partner should consolidate a limited partnership. ASU 2015-02 is effective for interim and annual periods beginning after December 15, 2015, with early adoption permitted. The Company plans to adopt ASU 2015-02 as of January 1, 2016 and is currently evaluating the potential impact of the new standard on its consolidated financial statements. In May 2014, the FASB issued Accounting Standards Update 2014-09 (“ASU 2014-09”), "Revenue From Contracts With Customers". ASU 2014-09 provides a single comprehensive revenue recognition model for contracts with customers (excluding certain contracts, such as lease contracts) to improve comparability within industries. ASU 2014-09 requires an entity to recognize revenue to reflect the transfer of goods or services to customers at an amount the entity expects to be paid in exchange for those goods and services and provide enhanced disclosures, all to provide more comprehensive guidance for transactions such as service revenue and contract modifications. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017 and may be applied using either a full retrospective or modified approach upon adoption. The Company plans to adopt ASU 2014-09 as of January 1, 2018 and is currently evaluating the potential impact of the new standard on its consolidated financial statements. |
Interim Financial Statements | Interim Financial Statements The accompanying interim financial statements are unaudited, but have been prepared in accordance with GAAP for interim financial information and in conjunction with the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all disclosures required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting solely of normal recurring matters) necessary for a fair presentation of the financial statements of the Company for these interim periods have been included. Because of the seasonal nature of the Company’s operations, the results of operations and cash flows for any interim period are not necessarily indicative of results for other interim periods or for the full year. These financial statements should be read in conjunction with the financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . |
Use of Estimates | Use of Estimates 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, disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Investments in Real Estate | Investments in Real Estate Investments in real estate are recorded at historical cost. Major improvements that extend the life of an asset are capitalized and depreciated over the remaining useful life of the asset. The cost of ordinary repairs and maintenance are charged to expense when incurred. Depreciation and amortization are recorded on a straight-line basis over the estimated useful lives of the assets as follows: Buildings and improvements 7-40 years Leasehold interest - on-campus participating properties 25-34 years (shorter of useful life or respective lease term) Furniture, fixtures and equipment 3-7 years Project costs directly associated with the development and construction of an owned real estate project, which include interest, property taxes, and amortization of deferred finance costs, are capitalized as construction in progress. Upon completion of the project, costs are transferred into the applicable asset category and depreciation commences. Interest totaling approximately $2.9 million and $2.7 million was capitalized during the three months ended June 30, 2015 and 2014 , respectively, and $5.4 million and $4.9 million was capitalized during the six months ended June 30, 2015 and 2014 , respectively. Management assesses whether there has been an impairment in the value of the Company’s investments in real estate whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Impairment is recognized when estimated expected future undiscounted cash flows are less than the carrying value of the property, or when it is probable that a property will be sold prior to the end of its estimated useful life, at which time an impairment charge is recognized for any excess of the carrying value of the property over the expected net proceeds from the disposal. The estimation of expected future net cash flows is inherently uncertain and relies on assumptions regarding current and future economics and market conditions. If such conditions change, then an adjustment to the carrying value of the Company’s long-lived assets could occur in the future period in which the conditions change. To the extent that a property is impaired, the excess of the carrying amount of the property over its estimated fair value is charged to earnings. The Company believes that there were no impairments of the carrying values of its investments in real estate as of June 30, 2015 . The Company allocates the purchase price of acquired properties to net tangible and identified intangible assets based on relative fair values. Fair value estimates are based on information obtained from a number of sources, including independent appraisals that may be obtained in connection with the acquisition or financing of the respective property, our own analysis of recently acquired and existing comparable properties in our portfolio, and other market data. Information obtained about each property as a result of due diligence, marketing and leasing activities is also considered. The value allocated to land is generally based on the actual purchase price adjusted to fair value (as necessary) if acquired separately, or market research/comparables if acquired as part of an existing operating property. The value allocated to building is based on the fair value determined on an “as-if vacant” basis, which is estimated using an income, or discounted cash flow, approach that relies upon internally determined assumptions that we believe are consistent with current market conditions for similar properties. The value allocated to furniture, fixtures, and equipment is based on an estimate of the fair value of the appliances and fixtures inside the units. We have determined these estimates to have been primarily based upon unobservable inputs and therefore are considered to be Level 3 inputs within the fair value hierarchy. We record the acquisition of undeveloped land parcels that do not meet the accounting criteria to be accounted for as business combinations at the purchase price paid and capitalize the associated acquisition costs. |
Long-Lived Assets-Held for Sale | Long-Lived Assets–Held for Sale Long-lived assets to be disposed of are classified as held for sale in the period in which all of the following criteria are met: a. Management, having the authority to approve the action, commits to a plan to sell the asset. b. The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets. c. An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated. d. The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year. e. The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value. f. Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Concurrent with this classification, the asset is recorded at the lower of cost or fair value less estimated selling costs, and depreciation ceases. |
Discontinued Operations | Discontinued Operations A discontinued operation represents (i) a component of an entity or group of components that has been disposed of or is classified as held for sale in a single transaction and represents a strategic shift that has or will have a major effect on an entity's operations and financial results, or (ii) an acquired business that is classified as held for sale on the date of acquisition. A strategic shift could include a disposal of (i) a separate major line of business, (ii) a separate major geographic area of operations, (iii) a major equity method investment, or (iv) other major parts of an entity. The Company classifies disposals of real estate that do not meet the definition of a discontinued operation within income from continuing operations in the accompanying consolidated statements of comprehensive income. |
Loans Receivable | Loans Receivable Loans held for investment are intended to be held to maturity and, accordingly, are carried at cost, net of unamortized loan purchase discounts, and net of an allowance for loan losses when such loan is deemed to be impaired. Loan purchase discounts are amortized over the term of the loan. The Company considers a loan impaired when, based upon current information and events, it is probable that it will be unable to collect all amounts due for both principal and interest according to the contractual terms of the loan agreement. Management’s estimate of the collectability of principal and interest payments under the company’s loans receivable from CaPFA Capital Corp. 2000F (“CaPFA”), which mature in December 2040 and carry a balance of approximately $55.8 million as of June 30, 2015 , are highly dependent on the future operating performance of the properties securing the loans. As future economic conditions and/or market conditions at the properties change, management will continue to evaluate the collectability of such amounts. The Company believes there were no impairments of the carrying value of its loans receivable as of June 30, 2015 . Loans receivable are included in other assets on the accompanying consolidated balance sheets. |
Intangible Assets | Intangible Assets A portion of the purchase price of acquired properties is allocated to the value of in-place leases for both student and commercial tenants, which is based on the difference between (i) the property valued with existing in-place leases adjusted to market rental rates and (ii) the property valued “as-if” vacant. As lease terms for student leases are typically one year or less, rates on in-place leases generally approximate market rental rates. Factors considered in the valuation of in-place leases include an estimate of the carrying costs during the expected lease-up period considering current market conditions, nature of the tenancy, and costs to execute similar leases. Carrying costs include estimates of lost rentals at market rates during the expected lease-up period, as well as marketing and other operating expenses. The value of in-place leases is amortized over the remaining initial term of the respective leases. The purchase price of property acquisitions is not expected to be allocated to student tenant relationships, considering the terms of the leases and the expected levels of renewals. |
Mortgage Debt - Premiums and Discounts | Mortgage Debt - Premiums and Discounts Mortgage debt premiums and discounts represent fair value adjustments to account for the difference between the stated rates and market rates of mortgage debt assumed in connection with the Company’s property acquisitions. The mortgage debt premiums and discounts are amortized to interest expense over the term of the related mortgage loans using the effective-interest method. The amortization of mortgage debt premiums and discounts resulted in a net decrease to interest expense of approximately $2.8 million and $3.2 million for the three months ended June 30, 2015 and 2014 , respectively, and $5.8 million and $6.4 million for the six months ended June 30, 2015 and 2014 , respectively. Mortgage debt premiums and discounts are included in secured mortgage, construction and bond debt on the accompanying consolidated balance sheets and amortization of mortgage debt premiums and discounts is included in interest expense on the accompanying consolidated statements of comprehensive income. |
Pre-development Expenditures | Pre-development Expenditures Pre-development expenditures such as architectural fees, permits and deposits associated with the pursuit of third-party and owned development projects are expensed as incurred, until such time that management believes it is probable that the contract will be executed and/or construction will commence. Because the Company frequently incurs these pre-development expenditures before a financing commitment and/or required permits and authorizations have been obtained, the Company bears the risk of loss of these pre-development expenditures if financing cannot ultimately be arranged on acceptable terms or the Company is unable to successfully obtain the required permits and authorizations. As such, management evaluates the status of third-party and owned projects that have not yet commenced construction on a periodic basis and expenses any deferred costs related to projects whose current status indicates the commencement of construction is unlikely and/or the costs may not provide future value to the Company in the form of revenues. Such write-offs are included in third-party development and management services expenses (in the case of third-party development projects) or general and administrative expenses (in the case of owned development projects) on the accompanying consolidated statements of comprehensive income. |
Earnings per Share - Company/Earnings per Unit - Operating Partnership | Earnings per Unit – Operating Partnership Basic earnings per OP Unit is computed using net income attributable to common unitholders and the weighted average number of common units outstanding during the period. Diluted earnings per OP Unit reflects the potential dilution that could occur if securities or other contracts to issue OP Units were exercised or converted into OP Units or resulted in the issuance of OP Units and then shared in the earnings of the Operating Partnership. Earnings per Share – Company Basic earnings per share is computed using net income attributable to common shareholders and the weighted average number of shares of the Company’s common stock outstanding during the period. Diluted earnings per share reflects common shares issuable from the assumed conversion of Operating Partnership units ("OP Units") and common share awards granted. Only those items having a dilutive impact on basic earnings per share are included in diluted earnings per share. |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Schedule of estimated useful lives of assets | Depreciation and amortization are recorded on a straight-line basis over the estimated useful lives of the assets as follows: Buildings and improvements 7-40 years Leasehold interest - on-campus participating properties 25-34 years (shorter of useful life or respective lease term) Furniture, fixtures and equipment 3-7 years |
Schedule of potentially dilutive securities not included in calculating diluted earnings per share | The following potentially dilutive securities were outstanding for the three and six months ended June 30, 2015 and 2014 , but were not included in the computation of diluted earnings per share because the effects of their inclusion would be anti-dilutive. Three Months Ended Six Months Ended 2015 2014 2015 2014 Common OP Units (Note 10) 1,447,931 1,230,219 — 1,230,219 Preferred OP Units (Note 10) 110,040 107,662 110,199 110,131 Total potentially dilutive securities 1,557,971 1,337,881 110,199 1,340,350 |
Schedule of summary of elements used in calculating basic earnings per share/unit | The following is a summary of the elements used in calculating basic and diluted earnings per share: Three Months Ended Six Months Ended 2015 2014 2015 2014 Numerator – basic earnings per share: Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Income from continuing operations attributable to noncontrolling interests (338 ) (293 ) (1,408 ) (728 ) Income from continuing operations attributable to common shareholders 15,580 13,438 85,777 39,150 Amount allocated to participating securities (269 ) (263 ) (603 ) (584 ) Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities 15,311 13,175 85,174 38,566 Income from discontinued operations — — — 2,720 Income from discontinued operations attributable to noncontrolling interests — — — (34 ) Income from discontinued operations attributable to common shareholders — — — 2,686 Net income attributable to common shareholders - basic $ 15,311 $ 13,175 $ 85,174 $ 41,252 Numerator – diluted earnings per share: Net income attributable to common shareholders - basic $ 15,311 $ 13,175 $ 85,174 $ 41,252 Income allocated to Common OP Units — — 904 — Net income attributable to common shareholders - diluted $ 15,311 $ 13,175 $ 86,078 $ 41,252 Denominator: Basic weighted average common shares outstanding 112,308,114 104,918,131 111,635,345 104,870,167 Unvested Restricted Stock Awards (Note 11) 675,825 691,430 705,664 713,179 Common OP units (Note 10) — — 1,311,332 — Diluted weighted average common shares outstanding 112,983,939 105,609,561 113,652,341 105,583,346 Earnings per share – basic: Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities $ 0.14 $ 0.13 $ 0.76 $ 0.37 Income from discontinued operations attributable to common shareholders $ — $ — $ — $ 0.02 Net income attributable to common shareholders $ 0.14 $ 0.13 $ 0.76 $ 0.39 Earnings per share – diluted: Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities $ 0.14 $ 0.12 $ 0.76 $ 0.37 Income from discontinued operations attributable to common shareholders $ — $ — $ — $ 0.02 Net income attributable to common shareholders $ 0.14 $ 0.12 $ 0.76 $ 0.39 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Schedule of summary of elements used in calculating basic earnings per share/unit | The following is a summary of the elements used in calculating basic and diluted earnings per unit: Three Months Ended Six Months Ended 2015 2014 2015 2014 Numerator – basic and diluted earnings per unit: Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Income from continuing operations attributable to noncontrolling interests – partially owned properties (92 ) (88 ) (415 ) (176 ) Income from continuing operations attributable to Series A preferred units (44 ) (45 ) (88 ) (87 ) Amount allocated to participating securities (269 ) (263 ) (603 ) (584 ) Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities 15,513 13,335 86,079 39,031 Income from discontinued operations — — — 2,720 Income from discontinued operations attributable to Series A preferred units — — — (3 ) Income from discontinued operations attributable to common unitholders — — — 2,717 Net income attributable to common unitholders $ 15,513 $ 13,335 $ 86,079 $ 41,748 Denominator: Basic weighted average common units outstanding 113,756,045 106,148,350 112,946,677 106,100,386 Unvested Restricted Stock Awards (Note 11) 675,825 691,430 705,664 713,179 Diluted weighted average common units outstanding 114,431,870 106,839,780 113,652,341 106,813,565 Earnings per unit - basic: Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities $ 0.14 $ 0.13 $ 0.76 $ 0.37 Income from discontinued operations attributable to common unitholders $ — $ — $ — $ 0.02 Net income attributable to common unitholders $ 0.14 $ 0.13 $ 0.76 $ 0.39 Earnings per unit - diluted: Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities $ 0.14 $ 0.12 $ 0.76 $ 0.37 Income from discontinued operations attributable to common unitholders $ — $ — $ — $ 0.02 Net income attributable to common unitholders $ 0.14 $ 0.12 $ 0.76 $ 0.39 |
Property Acquisitions (Tables)
Property Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Schedule of business acquisitions | During the first six months of 2015, the Company acquired the following wholly-owned properties for approximately $304.4 million : Property Location Primary University Served Acquisition Date Units Beds Park Point (1) Syracuse, NY Syracuse University February 2015 66 226 University Walk (2) Knoxville, TN University of Tennessee February 2015 177 526 1200 West Marshall Richmond, VA Virginia Commonwealth University March 2015 136 406 8 1/2 Canal Street (3) Richmond, VA Virginia Commonwealth University March 2015 160 540 Vistas San Marcos San Marcos, TX Texas State University March 2015 255 600 Crest at Pearl Austin, TX University of Texas June 2015 141 343 UP at Metroplex Binghamtom, NY Binghamton University - SUNY June 2015 186 710 1,121 3,351 (1) As part of this transaction, the Company assumed approximately $11.6 million of fixed rate mortgage debt. (2) University Walk completed construction and opened for operations in August 2014 and was purchased by the Company in February 2015. This property was consolidated for financial reporting purposes prior to the acquisition date because the entity that owned this property was deemed to be a variable interest entity (“VIE”) and the Company was determined to be the primary beneficiary of the VIE. (3) As part of this transaction, the Company issued 343,895 Common OP Units to the seller, valued at $41.24 per unit. |
Summary of pro forma information | The pro forma information is provided for informational purposes only and is not indicative of results that would have occurred or which may occur in the future: Three Months Ended Six Months Ended 2015 2014 2015 2014 Total revenues $ 180,236 $ 177,346 $ 378,700 $ 365,910 Net income attributable to common shareholders $ 17,107 $ 12,539 $ 89,826 $ 39,010 Net income per share attributable to common shareholders, as adjusted - basic $ 0.15 $ 0.12 $ 0.80 $ 0.37 Net income per share attributable to common shareholders, as adjusted - diluted $ 0.15 $ 0.12 $ 0.79 $ 0.36 |
Property Dispositions and Dis26
Property Dispositions and Discontinued Operations (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of properties sold during period | The combined net gain on these dispositions of approximately $48.0 million is included in income from continuing operations on the accompanying consolidated statements of comprehensive income for the six months ended June 30, 2015 . Property Location Primary University Served Disposition Date Units Beds The Highlands Reno, NV University of Nevada at Reno January 2015 216 732 The Outpost San Marcos San Marcos, TX Texas State University February 2015 162 486 University Meadows Mt. Pleasant, MI Central Michigan University February 2015 184 616 Eagles Trail Hattiesburg, MS University of Southern Mississippi March 2015 216 792 The View Lincoln, NE University of Nebraska January 2015 157 590 Chapel Ridge Chapel Hill, NC University of North Carolina January 2015 180 544 Chapel View Chapel Hill, NC University of North Carolina January 2015 224 358 The Village at Alafaya Club Orlando, FL University of Central Florida January 2015 228 839 University Place Charlottesville, VA University of Virginia January 2015 144 528 University Greens Norman, OK University of Oklahoma January 2015 156 516 Lakeside Apartments Athens, GA University of Georgia May 2015 244 776 The Club Athens, GA University of Georgia May 2015 120 480 The Estates Gainsville, FL University of Florida May 2015 396 1,044 South View Harrisonburg, VA James Madison University May 2015 240 960 Stone Gate Harrisonburg, VA James Madison University May 2015 168 672 The Commons Harrisonburg, VA James Madison University May 2015 132 528 University Heights Knoxville, TN University of Tennessee May 2015 204 636 3,371 11,097 The following wholly-owned properties were classified as held for sale on the accompanying consolidated balance sheet as of June 30, 2015 , all of which were sold in July 2015 (see note 16 ). Concurrent with this classification, these properties were recorded at the lower of cost or fair value less estimated selling costs. No impairment charges were recorded for these properties, as the sales prices net of selling costs exceeded the properties' carrying values. Property Location Primary University Served Units Beds The Woods at Greenland Murfreesboro, TN Middle Tennessee State University 78 276 Raiders Crossing Murfreesboro, TN Middle Tennessee State University 96 276 University Gables Murfreesboro, TN Middle Tennessee State University 168 648 342 1,200 |
Schedule of summary of results of disposition and discontinued operations | Because Hawks Landing was classified as held for sale as of December 31, 2013, the new accounting guidelines on discontinued operations did not apply for this disposition, as such, the resulting gain on disposition of approximately $2.8 million is included in discontinued operations on the accompanying consolidated statements of comprehensive income for the six months ended June 30, 2014 . Below is a summary of the results of operations for Hawks Landing: Six Months Ended Total revenues $ 279 Total operating expenses (239 ) Depreciation and amortization — Operating income 40 Total nonoperating expenses (163 ) Net loss $ (123 ) |
Investments in Wholly-Owned P27
Investments in Wholly-Owned Properties (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Wholly-owned properties | |
Real Estate Properties [Line Items] | |
Schedule of Real Estate Properties | Wholly-owned properties consisted of the following: June 30, 2015 December 31, 2014 Land (1) $ 578,167 $ 571,242 Buildings and improvements 4,902,540 4,937,345 Furniture, fixtures and equipment 278,225 289,168 Construction in progress 305,596 185,414 6,064,528 5,983,169 Less accumulated depreciation (693,660 ) (674,462 ) Wholly-owned properties, net $ 5,370,868 (2) $ 5,308,707 (3) (1) The land balance above includes undeveloped land parcels with book values of approximately $40.8 million and $40.6 million as of June 30, 2015 and December 31, 2014 , respectively. Also includes land totaling approximately $37.6 million and $30.2 million as of June 30, 2015 and December 31, 2014 , respectively, related to properties under development. (2) The balance above excludes the net book value of three wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of June 30, 2015 (see Note 4 ). These properties were sold in July 2015. (3) The balance above excludes the net book value of seven wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of December 31, 2014 (see Note 4 ). These properties were sold in January 2015. |
On-Campus Participating Prope28
On-Campus Participating Properties (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
On-campus participating properties | |
Real Estate Properties [Line Items] | |
Schedule of Real Estate Properties | On-campus participating properties are as follows: Historical Cost Lessor/University Lease Commencement Required Debt June 30, 2015 December 31, 2014 Texas A&M University System / Prairie View A&M University (1) 2/1/1996 9/1/2023 $ 43,395 $ 43,036 Texas A&M University System / Texas A&M International 2/1/1996 9/1/2023 6,977 6,937 Texas A&M University System / Prairie View A&M University (2) 10/1/1999 8/31/2025 27,227 26,828 8/31/2028 University of Houston System / University of Houston (3) 9/27/2000 8/31/2035 36,702 36,606 West Virginia University Project / West Virginia University 7/16/2013 7/16/2045 43,611 43,636 157,912 157,043 Less accumulated amortization (66,330 ) (62,915 ) On-campus participating properties, net $ 91,582 $ 94,128 (1) Consists of three phases placed in service between 1996 and 1998. (2) Consists of two phases placed in service in 2000 and 2003. (3) Consists of two phases placed in service in 2001 and 2005. |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of summary of outstanding consolidated indebtedness, including unamortized debt premiums and discounts | A summary of the Company’s outstanding consolidated indebtedness, including unamortized debt premiums and discounts, is as follows: June 30, 2015 December 31, 2014 Debt secured by wholly-owned properties: Mortgage loans payable: Unpaid principal balance $ 936,274 $ 1,094,306 Unamortized debt premiums 55,422 60,586 Unamortized debt discounts (322 ) (895 ) 991,374 1,153,997 Construction loans payable — 63,637 991,374 1,217,634 Debt secured by on-campus participating properties: Mortgage loan payable 30,073 30,553 Bonds payable 39,785 39,785 Construction loan payable 44,200 43,942 114,058 114,280 Total secured mortgage, construction and bond debt 1,105,432 1,331,914 Unsecured notes, net of unamortized original issue discount 798,389 798,305 Unsecured term loans 600,000 600,000 Unsecured revolving credit facility 229,400 242,500 Total debt $ 2,733,221 $ 2,972,719 |
Stockholders' Equity _ Partne30
Stockholders' Equity / Partners' Capital (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Summary of Equity Program activity | The following table presents activity under the Company’s ATM Equity Programs during the three and six months ended June 30, 2015 : Three Months Ended Six Months Ended June 30, 2015 Total net proceeds $ — $ 213,416 Commissions paid to sales agents $ — $ 3,250 Weighted average price per share $ — $ 43.92 Shares of common stock sold — 4,933,665 |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Noncontrolling Interest [Abstract] | |
Schedule of summarized activity of redeemable limited partners | Below is a table summarizing the activity of redeemable limited partners for the six months ended June 30, 2015 : December 31, 2014 $ 54,472 Net income 993 Distributions (1,087 ) Redeemable limited partner units issued as consideration (see Note 3) 14,182 Conversion of redeemable limited partner units into shares of ACC common stock (2,589 ) Adjustments to reflect redeemable limited partner units at fair value (3,880 ) June 30, 2015 $ 62,091 |
Incentive Award Plan (Tables)
Incentive Award Plan (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of restricted stock units | A summary of ACC’s RSUs under the Plan as of June 30, 2015 and activity during the six months then ended is presented below: Number of RSUs Outstanding at December 31, 2014 — Granted 14,825 Settled in common shares (12,155 ) Settled in cash (2,670 ) Outstanding at June 30, 2015 — |
Summary of restricted stock awards | A summary of RSAs under the American Campus Communities, Inc. 2010 Incentive Award Plan (the "Plan") as of June 30, 2015 and activity during the six months then ended, is presented below: Number of RSAs Nonvested balance at December 31, 2014 609,514 Granted 273,038 Vested (116,166 ) Forfeited (1) (100,831 ) Nonvested balance at June 30, 2015 665,555 (1) Includes shares withheld to satisfy tax obligations upon vesting. |
Derivative Instruments and He33
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of summary of outstanding interest rate swap contracts | The following table summarizes the Company’s outstanding interest rate swap contracts as of June 30, 2015 : Hedged Debt Instrument Effective Date Maturity Date Pay Fixed Rate Receive Floating Rate Index Current Notional Amount Fair Value Cullen Oaks mortgage loan Feb 18, 2014 Feb 15, 2021 2.275% LIBOR - 1 month $ 14,960 $ (446 ) Cullen Oaks mortgage loan Feb 18, 2014 Feb 15, 2021 2.275% LIBOR - 1 month 15,114 (450 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.8695% LIBOR – 1 month 125,000 (546 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.88% LIBOR – 1 month 100,000 (452 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.8875% LIBOR – 1 month 62,500 (290 ) Term Loan I Facility Feb 2, 2012 Jan 2, 2017 0.889% LIBOR – 1 month 62,500 (291 ) Park Point mortgage loan Nov 1, 2013 Oct 5, 2018 1.545% LIBOR - 1 month 70,000 (844 ) Total $ 450,074 $ (3,319 ) |
Schedule of fair value of derivative financial instruments and classification on consolidated balance sheet | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of June 30, 2015 and December 31, 2014 : Liability Derivatives Fair Value as of Description Balance Sheet June 30, 2015 December 31, 2014 Interest rate swaps contracts Other liabilities $ 3,319 $ 2,306 Total derivatives designated as hedging instruments $ 3,319 $ 2,306 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial instruments measured at fair value | Disclosures concerning financial instruments measured at fair value are as follows: Fair Value Measurements as of June 30, 2015 December 31, 2014 Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Liabilities: Derivative financial instruments $ — $ 3,319 $ — $ 3,319 $ — $ 2,306 $ — $ 2,306 Mezzanine: Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) $ — $ 62,091 $ — $ 62,091 $ — $ 54,472 $ — $ 54,472 |
Schedule of estimated fair value and related carrying amounts of mortgage loans and bonds payable | The table below contains the estimated fair value and related carrying amounts for the Company’s financial instruments as of June 30, 2015 and December 31, 2014 : June 30, 2015 December 31, 2014 Estimated Fair Value Carrying Amount Estimated Fair Value Carrying Amount Assets: Loans receivable $ 47,092 $ 55,836 $ 47,092 $ 54,260 Liabilities: Unsecured notes $ 792,080 $ 798,389 $ 802,943 $ 798,305 Mortgage loans 1,015,175 1,021,447 1,182,501 1,184,550 Bonds payable 43,972 39,785 45,176 39,785 |
Segments (Tables)
Segments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of segment information | Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Wholly-Owned Properties Rental revenues and other income $ 168,169 $ 163,664 $ 348,897 $ 336,487 Interest income 270 279 541 551 Total revenues from external customers 168,439 163,943 349,438 337,038 Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead (76,688 ) (76,645 ) (155,742 ) (153,025 ) Ground/facility leases (1,222 ) (932 ) (2,445 ) (1,868 ) Interest expense (6,915 ) (10,729 ) (15,653 ) (22,121 ) Operating income before depreciation, amortization, and allocation of corporate overhead $ 83,614 $ 75,637 $ 175,598 $ 160,024 Depreciation and amortization $ 49,248 $ 46,657 $ 97,557 $ 93,166 Capital expenditures $ 68,989 $ 80,483 $ 137,456 $ 149,288 Total segment assets at June 30, $ 5,590,474 $ 5,452,209 $ 5,590,474 $ 5,452,209 On-Campus Participating Properties Rental revenues and other income $ 5,704 $ 4,735 $ 14,904 $ 12,923 Interest income — 3 — 6 Total revenues from external customers 5,704 4,738 14,904 12,929 Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead (2,675 ) (2,592 ) (5,102 ) (4,889 ) Ground/facility leases (739 ) (650 ) (1,614 ) (1,277 ) Interest expense (1,488 ) (1,112 ) (2,966 ) (2,261 ) Operating income before depreciation, amortization and allocation of corporate overhead $ 802 $ 384 $ 5,222 $ 4,502 Depreciation and amortization $ 1,735 $ 1,228 $ 3,451 $ 2,440 Capital expenditures $ 78 $ 8,878 $ 859 $ 21,170 Total segment assets at June 30, $ 109,254 $ 106,150 $ 109,254 $ 106,150 Development Services Development and construction management fees $ 1,677 $ 1,581 $ 2,241 $ 1,768 Operating expenses (3,925 ) (2,737 ) (7,032 ) (5,580 ) Operating loss before depreciation, amortization and allocation of corporate overhead $ (2,248 ) $ (1,156 ) $ (4,791 ) $ (3,812 ) Total segment assets at June 30, $ 4,619 $ 2,010 $ 4,619 $ 2,010 Property Management Services Property management fees from external customers $ 2,324 $ 1,997 $ 4,325 $ 3,982 Intersegment revenues 5,607 5,516 11,475 11,203 Total revenues 7,931 7,513 15,800 15,185 Operating expenses (3,032 ) (2,965 ) (5,860 ) (6,061 ) Operating income before depreciation, amortization and allocation of corporate overhead $ 4,899 $ 4,548 $ 9,940 $ 9,124 Total segment assets at June 30, $ 7,894 $ 7,037 $ 7,894 $ 7,037 Reconciliations Total segment revenues and other income $ 183,751 $ 177,775 $ 382,383 $ 366,920 Unallocated interest income earned on investments and corporate cash 815 755 1,656 1,511 Elimination of intersegment revenues (5,607 ) (5,516 ) (11,475 ) (11,203 ) Total consolidated revenues, including interest income $ 178,959 $ 173,014 $ 372,564 $ 357,228 Segment operating income before depreciation, amortization and allocation of corporate overhead $ 87,067 $ 79,413 $ 185,969 $ 169,838 Depreciation and amortization (52,916 ) (49,911 ) (104,946 ) (99,585 ) Net unallocated expenses relating to corporate interest and overhead (20,538 ) (15,482 ) (39,489 ) (29,796 ) Gain from disposition of real estate 3,790 — 48,042 — Loss from early extinguishment of debt (1,175 ) — (1,770 ) — Income tax provision (310 ) (289 ) (621 ) (579 ) Income from continuing operations $ 15,918 $ 13,731 $ 87,185 $ 39,878 Total segment assets $ 5,712,241 $ 5,567,406 $ 5,712,241 $ 5,567,406 Unallocated corporate assets 97,929 153,587 97,929 153,587 Total assets at June 30, $ 5,810,170 $ 5,720,993 $ 5,810,170 $ 5,720,993 |
Organization and Description 36
Organization and Description of Business - (Details) - Jun. 30, 2015 | Unituniversity_systemPropertyBed |
Real Estate Properties [Line Items] | |
Number of properties | 159 |
Number of beds | Bed | 96,400 |
Number of units | Unit | 31,400 |
Minimum | |
Real Estate Properties [Line Items] | |
Initial term of contract | 1 year |
Maximum | |
Real Estate Properties [Line Items] | |
Initial term of contract | 5 years |
Wholly-owned properties | |
Real Estate Properties [Line Items] | |
Number of beds | Bed | 3,351 |
Number of units | Unit | 1,121 |
Wholly-owned properties | Off Campus Properties | |
Real Estate Properties [Line Items] | |
Number of properties | 134 |
Wholly-owned properties | American Campus Equity | |
Real Estate Properties [Line Items] | |
Number of properties | 20 |
Number of university systems | university_system | 10 |
Wholly-owned properties | On-campus participating properties | |
Real Estate Properties [Line Items] | |
Number of properties | 5 |
Wholly-owned properties | Under Development | |
Real Estate Properties [Line Items] | |
Number of properties | 8 |
Number of beds | Bed | 5,200 |
Number of units | Unit | 1,400 |
Management And Leasing Services | |
Real Estate Properties [Line Items] | |
Number of properties | 39 |
Number of beds | Bed | 30,400 |
Number of units | Unit | 11,600 |
Real Estate Investment | |
Real Estate Properties [Line Items] | |
Number of properties | 198 |
Number of beds | Bed | 126,800 |
Number of units | Unit | 43,000 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | |
Real Estate Properties [Line Items] | |
Limited Partner ownership interest (percent) | 98.60% |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Maximum | |
Real Estate Properties [Line Items] | |
General Partner ownership interest (percent) (less than) | 1.00% |
Summary of Significant Accoun37
Summary of Significant Accounting Policies - Estimated Useful Lives of Assets (Details) | 6 Months Ended |
Jun. 30, 2015 | |
Minimum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
Minimum | Furniture, fixtures and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Maximum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 40 years |
Maximum | Furniture, fixtures and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
On-campus participating properties | Minimum | Leasehold interest | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 25 years |
On-campus participating properties | Maximum | Leasehold interest | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 34 years |
Summary of Significant Accoun38
Summary of Significant Accounting Policies - Potentially Dilutive Securities Not Included in Calculating Diluted Earnings Per Share (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Potential dilutive securities (shares) | 1,557,971 | 1,337,881 | 110,199 | 1,340,350 |
Common OP Units | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Potential dilutive securities (shares) | 1,447,931 | 1,230,219 | 0 | 1,230,219 |
Preferred OP Units | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Potential dilutive securities (shares) | 110,040 | 107,662 | 110,199 | 110,131 |
Summary of Significant Accoun39
Summary of Significant Accounting Policies - Summary of Elements Used in Calculating Basic and Diluted Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Numerator – basic earnings per share: | ||||
Income from continuing operations | $ 15,918 | $ 13,731 | $ 87,185 | $ 39,878 |
Income from continuing operations attributable to noncontrolling interests | (338) | (293) | (1,408) | (728) |
Income from continuing operations attributable to common shareholders | 15,580 | 13,438 | 85,777 | 39,150 |
Amount allocated to participating securities | (269) | (263) | (603) | (584) |
Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities | 15,311 | 13,175 | 85,174 | 38,566 |
Income from discontinued operations | 0 | 0 | 0 | 2,720 |
Income from discontinued operations attributable to noncontrolling interests | 0 | 0 | 0 | (34) |
Income from discontinued operations attributable to common shareholders | 0 | 0 | 0 | 2,686 |
Net income attributable to common shareholders - basic | 15,311 | 13,175 | 85,174 | 41,252 |
Numerator – diluted earnings per share: | ||||
Net income attributable to common shareholders - basic | 15,311 | 13,175 | 85,174 | 41,252 |
Income allocated to Common OP Units | 0 | 0 | 904 | 0 |
Net income attributable to common shareholders - diluted | $ 15,311 | $ 13,175 | $ 86,078 | $ 41,252 |
Denominator: | ||||
Basic weighted average common shares outstanding (in shares) | 112,308,114 | 104,918,131 | 111,635,345 | 104,870,167 |
Antidilutive securities (shares) | 1,557,971 | 1,337,881 | 110,199 | 1,340,350 |
Diluted weighted average common shares outstanding (in shares) | 112,983,939 | 105,609,561 | 113,652,341 | 105,583,346 |
Earnings per share – basic: | ||||
Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities (in dollars per share) | $ 0.14 | $ 0.13 | $ 0.76 | $ 0.37 |
Income from discontinued operations attributable to common shareholders (in dollars per share) | 0 | 0 | 0 | 0.02 |
Net income attributable to common shareholders (in dollars per share) | 0.14 | 0.13 | 0.76 | 0.39 |
Earnings per share – diluted: | ||||
Income from continuing operations attributable to common shareholders, net of amount allocated to participating securities (in dollars per share) | 0.14 | 0.12 | 0.76 | 0.37 |
Income from discontinued operations attributable to common shareholders (in dollars per share) | 0 | 0 | 0 | 0.02 |
Net income attributable to common shareholders (in dollars per share) | $ 0.14 | $ 0.12 | $ 0.76 | $ 0.39 |
Restricted Stock Awards | ||||
Denominator: | ||||
Antidilutive securities (shares) | 675,825 | 691,430 | 705,664 | 713,179 |
Common OP Units | ||||
Denominator: | ||||
Antidilutive securities (shares) | 0 | 0 | 1,311,332 | 0 |
Summary of Significant Accoun40
Summary of Significant Accounting Policies - Summary of Elements Used in Calculating Basic and Diluted Earnings per Unit (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Numerator – basic and diluted earnings per unit: | ||||
Income from continuing operations | $ 15,918 | $ 13,731 | $ 87,185 | $ 39,878 |
Income from continuing operations attributable to noncontrolling interests | (338) | (293) | (1,408) | (728) |
Amount allocated to participating securities | (269) | (263) | (603) | (584) |
Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities | 15,311 | 13,175 | 85,174 | 38,566 |
Income from discontinued operations | 0 | 0 | 0 | 2,720 |
Income from discontinued operations attributable to common shareholders | 0 | 0 | 0 | 2,686 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Numerator – basic and diluted earnings per unit: | ||||
Income from continuing operations | 15,918 | 13,731 | 87,185 | 39,878 |
Income from continuing operations attributable to Series A preferred units | (44) | (45) | (88) | (87) |
Amount allocated to participating securities | (269) | (263) | (603) | (584) |
Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities | 15,513 | 13,335 | 86,079 | 39,031 |
Income from discontinued operations | 0 | 0 | 0 | 2,720 |
Income from discontinued operations attributable to Series A preferred units | 0 | 0 | 0 | (3) |
Income from discontinued operations attributable to common shareholders | 0 | 0 | 0 | 2,717 |
Net income attributable to common unitholders | $ 15,513 | $ 13,335 | $ 86,079 | $ 41,748 |
Denominator: | ||||
Basic weighted average common units outstanding (in units) | 113,756,045 | 106,148,350 | 112,946,677 | 106,100,386 |
Diluted weighted average common units outstanding (in units) | 114,431,870 | 106,839,780 | 113,652,341 | 106,813,565 |
Earnings per unit - basic: | ||||
Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities (in dollars per unit) | $ 0.14 | $ 0.13 | $ 0.76 | $ 0.37 |
Income from discontinued operations attributable to common unitholders (in dollars per unit) | 0 | 0 | 0 | 0.02 |
Net income attributable to common unitholders (in dollars per unit) | 0.14 | 0.13 | 0.76 | 0.39 |
Earnings per unit - diluted: | ||||
Income from continuing operations attributable to common unitholders, net of amount allocated to participating securities (in dollars per unit) | 0.14 | 0.12 | 0.76 | 0.37 |
Income from discontinued operations attributable to common unitholders (in dollars per unit) | 0 | 0 | 0 | 0.02 |
Net income attributable to common unitholders (in dollars per unit) | $ 0.14 | $ 0.12 | $ 0.76 | $ 0.39 |
Partially owned properties | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Numerator – basic and diluted earnings per unit: | ||||
Income from continuing operations attributable to noncontrolling interests | $ (92) | $ (88) | $ (415) | $ (176) |
Restricted Stock Awards | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Denominator: | ||||
Unvested Restricted Stock Awards (in units) | 675,825 | 691,430 | 705,664 | 713,179 |
Summary of Significant Accoun41
Summary of Significant Accounting Policies - Additional Information (Detail Textuals) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2014 | Apr. 30, 2013 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Significant Accounting Policies [Line Items] | |||||||
Capitalized Interest | $ 2,900,000 | $ 2,700,000 | $ 5,400,000 | $ 4,900,000 | |||
Loans receivable | 55,800,000 | 55,800,000 | |||||
Increase (decrease) to interest expense from amortization of debt premiums and discounts | (2,800,000) | (3,200,000) | (5,800,000) | (6,400,000) | |||
Deferred pre-development costs | 6,800,000 | 6,800,000 | |||||
Senior notes - April 2013 | |||||||
Significant Accounting Policies [Line Items] | |||||||
Increase (decrease) to interest expense from amortization of debt premiums and discounts | 42,000 | 30,000 | 83,000 | 59,000 | |||
Debt instrument proceeds as percentage of par value (percent) | 99.659% | ||||||
Original issue discount on senior unsecured notes | $ 1,400,000 | ||||||
Unamortized debt discounts | 1,600,000 | 1,600,000 | $ 1,700,000 | ||||
Senior notes - June 2014 | |||||||
Significant Accounting Policies [Line Items] | |||||||
Original issue discount on senior unsecured notes | $ 600,000 | ||||||
In-place leases assumed | |||||||
Significant Accounting Policies [Line Items] | |||||||
Capitalized amount of acquired intangible assets | 900,000 | 0 | 3,000,000 | 0 | |||
Amortization expense of acquired intangible assets | 1,700,000 | 900,000 | 2,300,000 | 1,800,000 | |||
Accumulated amortization | 30,200,000 | 30,200,000 | 27,900,000 | ||||
Property tax arrangement | |||||||
Significant Accounting Policies [Line Items] | |||||||
Finite-lived intangible assets | $ 56,200,000 | $ 56,200,000 | $ 36,700,000 | ||||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Senior notes - April 2013 | |||||||
Significant Accounting Policies [Line Items] | |||||||
Senior unsecured notes issued | $ 400,000,000 | ||||||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Senior notes - June 2014 | |||||||
Significant Accounting Policies [Line Items] | |||||||
Senior unsecured notes issued | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | ||||
Debt instrument proceeds as percentage of par value (percent) | 99.861% |
Property Acquisitions (Details)
Property Acquisitions (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2015$ / Unitshares | Jun. 30, 2015USD ($)UnitBed$ / Unitshares | ||
Business Acquisition [Line Items] | |||
Number of units | 31,400 | ||
Number of beds | Bed | 96,400 | ||
Park Point | |||
Business Acquisition [Line Items] | |||
Debt assumed as part of business acquisition | $ | $ 11.6 | ||
Common OP Units | 8 1/2 Canal | |||
Business Acquisition [Line Items] | |||
Equity issued as part of business acquisition (in shares) | shares | 343,895 | 343,895 | |
Equity issued as part of business acquisition (in dollars per unit) | $ / Unit | 41.24 | 41.24 | |
Wholly-owned properties | |||
Business Acquisition [Line Items] | |||
Number of units | 1,121 | ||
Number of beds | Bed | 3,351 | ||
Wholly-owned properties | 2015 acquisitions | |||
Business Acquisition [Line Items] | |||
Purchase price | $ | $ 304.4 | ||
Wholly-owned properties | Park Point | |||
Business Acquisition [Line Items] | |||
Number of units | [1] | 66 | |
Number of beds | Bed | [1] | 226 | |
Wholly-owned properties | University Walk | |||
Business Acquisition [Line Items] | |||
Number of units | [2] | 177 | |
Number of beds | Bed | [2] | 526 | |
Wholly-owned properties | 1200 West Marshall | |||
Business Acquisition [Line Items] | |||
Number of units | 136 | ||
Number of beds | Bed | 406 | ||
Wholly-owned properties | 8 1/2 Canal | |||
Business Acquisition [Line Items] | |||
Number of units | [3] | 160 | |
Number of beds | Bed | [3] | 540 | |
Wholly-owned properties | The Vistas | |||
Business Acquisition [Line Items] | |||
Number of units | 255 | ||
Number of beds | Bed | 600 | ||
Wholly-owned properties | Crest at Pearl | |||
Business Acquisition [Line Items] | |||
Number of units | 141 | ||
Number of beds | Bed | 343 | ||
Wholly-owned properties | UP at Metroplex | |||
Business Acquisition [Line Items] | |||
Number of units | 186 | ||
Number of beds | Bed | 710 | ||
[1] | As part of this transaction, the Company assumed approximately $11.6 million of fixed rate mortgage debt. | ||
[2] | University Walk completed construction and opened for operations in August 2014 and was purchased by the Company in February 2015. This property was consolidated for financial reporting purposes prior to the acquisition date because the entity that owned this property was deemed to be a variable interest entity (“VIE”) and the Company was determined to be the primary beneficiary of the VIE. | ||
[3] | As part of this transaction, the Company issued 343,895 Common OP Units to the seller, valued at $41.24 per unit. |
Property Acquisitions - Pro For
Property Acquisitions - Pro Forma Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Business Acquisition, Pro Forma Information [Abstract] | ||||
Total revenues | $ 180,236 | $ 177,346 | $ 378,700 | $ 365,910 |
Net income attributable to common shareholders | $ 17,107 | $ 12,539 | $ 89,826 | $ 39,010 |
Net income per share attributable to common shareholders, as adjusted - basic (in dollars per share) | $ 0.15 | $ 0.12 | $ 0.80 | $ 0.37 |
Net income per share attributable to common shareholders, as adjusted - diluted (in dollars per share) | $ 0.15 | $ 0.12 | $ 0.79 | $ 0.36 |
Property Dispositions and Dis44
Property Dispositions and Discontinued Operations - Summary of Properties Sold During Period (Details) - Jun. 30, 2015 | UnitBed |
Schedule of Properties Sold During Period [Line Items] | |
Number of beds | 96,400 |
Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 3,371 |
Number of beds | 11,097 |
Wholly-owned properties held for sale | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 342 |
Number of beds | 1,200 |
The Highlands | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 216 |
Number of beds | 732 |
The Outpost San Marcos | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 162 |
Number of beds | 486 |
University Meadows | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 184 |
Number of beds | 616 |
Eagles Trail | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 216 |
Number of beds | 792 |
The View | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 157 |
Number of beds | 590 |
Chapel Ridge | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 180 |
Number of beds | 544 |
Chapel View | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 224 |
Number of beds | 358 |
The Village at Alafaya Club | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 228 |
Number of beds | 839 |
University Place | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 144 |
Number of beds | 528 |
University Greens | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 156 |
Number of beds | 516 |
Lakeside Apartments | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 244 |
Number of beds | 776 |
The Club | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 120 |
Number of beds | 480 |
The Estates | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 396 |
Number of beds | 1,044 |
South View | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 240 |
Number of beds | 960 |
Stone Gate | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 168 |
Number of beds | 672 |
The Commons | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 132 |
Number of beds | 528 |
University Heights | Wholly-owned properties | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 204 |
Number of beds | 636 |
The Woods at Greenland | Wholly-owned properties held for sale | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 78 |
Number of beds | 276 |
Raiders Crossing | Wholly-owned properties held for sale | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 96 |
Number of beds | 276 |
University Gables | Wholly-owned properties held for sale | |
Schedule of Properties Sold During Period [Line Items] | |
Number of units | Unit | 168 |
Number of beds | 648 |
Property Dispositions and Dis45
Property Dispositions and Discontinued Operations - Summary of Operations for Properties (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Total revenues | $ 279 | |||
Total operating expenses | (239) | |||
Depreciation and amortization | 0 | |||
Operating income | 40 | |||
Total nonoperating expenses | (163) | |||
Net loss | $ 0 | $ 0 | $ 0 | $ (123) |
Property Dispositions and Dis46
Property Dispositions and Discontinued Operations - Additional Information (Detail Textuals) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015USD ($)Bed | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($)Bed | Jun. 30, 2014USD ($) | Feb. 28, 2014USD ($)Bed | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from disposition of properties | $ 395,880 | $ 1,327 | |||
Gain (Loss) on disposition of real estate | $ 3,790 | $ 0 | $ 48,042 | 0 | |
Number of beds | Bed | 96,400 | 96,400 | |||
Gain (loss) from disposition of property | $ 0 | $ 0 | $ 0 | 2,843 | |
Wholly-owned properties | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Sale price of disposed property | $ 404,600 | 404,600 | |||
Proceeds from disposition of properties | 395,900 | ||||
Gain (Loss) on disposition of real estate | $ 48,000 | ||||
Number of beds | Bed | 11,097 | 11,097 | |||
Off Campus Properties | Hawks Landing | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Sale price of disposed property | $ 17,300 | ||||
Number of beds | Bed | 484 | ||||
Gain (loss) from disposition of property | $ 2,800 |
Investments in Wholly-Owned P47
Investments in Wholly-Owned Properties - Summary (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | |||
Real Estate Properties [Line Items] | |||||
Investment Property, Net | $ 5,488,948 | $ 5,533,849 | |||
Wholly-owned properties | |||||
Real Estate Properties [Line Items] | |||||
Land | [1] | 578,167 | 571,242 | ||
Buildings and improvements | 4,902,540 | 4,937,345 | |||
Furniture, fixtures and equipment | 278,225 | 289,168 | |||
Construction in progress | 305,596 | 185,414 | |||
Real estate properties gross | 6,064,528 | 5,983,169 | |||
Less accumulated depreciation | (693,660) | (674,462) | |||
Investment Property, Net | $ 5,370,868 | [2] | $ 5,308,707 | [3] | |
[1] | The land balance above includes undeveloped land parcels with book values of approximately $40.8 million and $40.6 million as of June 30, 2015 and December 31, 2014, respectively. Also includes land totaling approximately $37.6 million and $30.2 million as of June 30, 2015 and December 31, 2014, respectively, related to properties under development. | ||||
[2] | The balance above excludes the net book value of three wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of June 30, 2015 (see Note 4). These properties were sold in July 2015. | ||||
[3] | The balance above excludes the net book value of seven wholly-owned properties classified as held for sale in the accompanying consolidated balance sheet as of December 31, 2014 (see Note 4). These properties were sold in January 2015. |
Investments in Wholly-Owned P48
Investments in Wholly-Owned Properties - Summary (Detail Textuals) $ in Millions | Jun. 30, 2015USD ($) | Dec. 31, 2014USD ($)Property |
Real Estate Properties [Line Items] | ||
Undeveloped land parcels | $ 40.8 | $ 40.6 |
Under Development | ||
Real Estate Properties [Line Items] | ||
Undeveloped land parcels | $ 37.6 | $ 30.2 |
Wholly-owned properties | ||
Real Estate Properties [Line Items] | ||
Number of real estate properties, held for sale | Property | 7 |
On-Campus Participating Prope49
On-Campus Participating Properties (Details) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2015USD ($)phase | Dec. 31, 2014USD ($) | ||
Real Estate Properties [Line Items] | |||
Investment Property, Net | $ 5,488,948 | $ 5,533,849 | |
On-campus participating properties | |||
Real Estate Properties [Line Items] | |||
Real estate properties, gross | 157,912 | 157,043 | |
Less accumulated amortization | (66,330) | (62,915) | |
Investment Property, Net | $ 91,582 | 94,128 | |
On-campus participating properties | Texas A and M International | |||
Real Estate Properties [Line Items] | |||
Lease Commencement | Feb. 1, 1996 | ||
Required Debt Repayment | Sep. 1, 2023 | ||
Real estate properties, gross | $ 6,977 | 6,937 | |
Phases Placed In Service Between 1996 and 1998 | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Number of Project Phases | phase | 3 | ||
Phases Placed In Service Between 1996 and 1998 | On-campus participating properties | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Lease Commencement | [1] | Feb. 1, 1996 | |
Required Debt Repayment | [1] | Sep. 1, 2023 | |
Real estate properties, gross | [1] | $ 43,395 | 43,036 |
Phases Placed In Service In 2000 and 2003 | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Number of Project Phases | phase | 2 | ||
Phases Placed In Service In 2000 and 2003 | On-campus participating properties | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Lease Commencement | [2] | Oct. 1, 1999 | |
Real estate properties, gross | [2] | $ 27,227 | 26,828 |
Phases Placed In Service In 2001 and 2005 | University Of Houston | |||
Real Estate Properties [Line Items] | |||
Number of Project Phases | phase | 2 | ||
Phases Placed In Service In 2001 and 2005 | On-campus participating properties | University Of Houston | |||
Real Estate Properties [Line Items] | |||
Lease Commencement | [3] | Sep. 27, 2000 | |
Required Debt Repayment | [3] | Aug. 31, 2035 | |
Real estate properties, gross | [3] | $ 36,702 | 36,606 |
Phases Placed in Service in 2013 | On-campus participating properties | West Virginia University | |||
Real Estate Properties [Line Items] | |||
Lease Commencement | Jul. 16, 2013 | ||
Required Debt Repayment | Jul. 16, 2045 | ||
Real estate properties, gross | $ 43,611 | $ 43,636 | |
Minimum | Phases Placed In Service In 2000 and 2003 | On-campus participating properties | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Required Debt Repayment | [2] | Aug. 31, 2025 | |
Maximum | Phases Placed In Service In 2000 and 2003 | On-campus participating properties | Prairie View A and M University | |||
Real Estate Properties [Line Items] | |||
Required Debt Repayment | [2] | Aug. 31, 2028 | |
[1] | Consists of three phases placed in service between 1996 and 1998. | ||
[2] | Consists of two phases placed in service in 2000 and 2003. | ||
[3] | Consists of two phases placed in service in 2001 and 2005. |
Investments in Unconsolidated50
Investments in Unconsolidated Joint Ventures - (Detail Textuals) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||||
Management fee earned | $ 2,324 | $ 1,997 | $ 4,325 | $ 3,982 |
Equity Method Investments | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Management fee earned | $ 600 | $ 400 | $ 900 | $ 800 |
Debt - Summary of Outstanding C
Debt - Summary of Outstanding Consolidated Indebtedness, Including Unamortized Debt Premiums and Discounts (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | $ 1,105,432 | $ 1,331,914 |
Unsecured notes, net of unamortized original issue discount | 798,389 | 798,305 |
Unsecured term loans | 600,000 | 600,000 |
Unsecured revolving credit facility | 229,400 | 242,500 |
Total debt | 2,733,221 | 2,972,719 |
Wholly-owned properties, net | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | 991,374 | 1,153,997 |
Total debt | 991,374 | 1,217,634 |
Wholly-owned properties, net | Mortgage loans payable | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | 936,274 | 1,094,306 |
Unamortized debt premiums | 55,422 | 60,586 |
Unamortized debt discounts | (322) | (895) |
Wholly-owned properties, net | Construction loans payable | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | 0 | 63,637 |
On-campus participating properties, net | ||
Debt Instrument [Line Items] | ||
Total debt | 114,058 | 114,280 |
On-campus participating properties, net | Mortgage loans payable | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | 30,073 | 30,553 |
On-campus participating properties, net | Construction loans payable | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | 44,200 | 43,942 |
On-campus participating properties, net | Bonds payable | ||
Debt Instrument [Line Items] | ||
Secured mortgage, construction and bond debt | $ 39,785 | $ 39,785 |
Debt - Additional Information (
Debt - Additional Information (Detail Textuals) | 1 Months Ended | 6 Months Ended | ||
Jun. 30, 2014USD ($)Contract | Jun. 30, 2015USD ($)PropertyExtension_optionLoan | Jun. 30, 2014USD ($)Contract | Mar. 31, 2014USD ($) | |
Debt Instrument [Line Items] | ||||
Repayments of debt during period | $ 7,216,000 | $ 8,178,000 | ||
Number of properties | Property | 159 | |||
Notional amount | $ 450,074,000 | |||
Termination of forward starting interest rate swap | $ 0 | 4,122,000 | ||
Credit facility, additional extension period | 12 months | |||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Debt Instrument [Line Items] | ||||
Repayments of debt during period | $ 7,216,000 | 8,178,000 | ||
Termination of forward starting interest rate swap | 4,122,000 | |||
Senior notes - June 2014 | AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | ||||
Debt Instrument [Line Items] | ||||
Face amount | $ 400,000,000 | $ 400,000,000 | ||
Maturity period | 10 years | |||
Debt instrument proceeds as percentage of par value (percent) | 99.861% | |||
Interest rate of note and outstanding bond (percent) | 4.125% | 4.125% | ||
Yield rate (percent) | 4.142% | 4.142% | ||
Net proceeds from sale of notes | $ 395,300,000 | |||
Offering proceeds to pay down outstanding balance | $ 340,000,000 | |||
Effective interest rate after effect of derivative instruments | 4.269% | 4.269% | ||
Interest Rate Swap | ||||
Debt Instrument [Line Items] | ||||
Notional amount | $ 350,000,000 | |||
Term Loan I Facility | ||||
Debt Instrument [Line Items] | ||||
Number of loan extension options | Extension_option | 2 | |||
Duration of loan extension options | 12 months | |||
Basis spread on variable rate | 1.50% | |||
Line of credit, weighted average annual interest rate (percent) | 0.89% | |||
Interest rate during period | 2.39% | |||
Term Loan II Facility | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate at period end | 1.69% | |||
Reference rate | 0.19% | |||
Basis spread on variable rate | 1.50% | |||
Revolving credit facility | ||||
Debt Instrument [Line Items] | ||||
Ratio of borrowing amount to value of properties (percent) | 60.00% | |||
Unsecured Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Credit facility | $ 1,100,000,000 | |||
Credit facility, additional borrowing capacity | 500,000,000 | |||
Unsecured Revolving Credit Facility | Term loan facility | ||||
Debt Instrument [Line Items] | ||||
Credit facility | $ 600,000,000 | |||
Number of unsecured term loans | Loan | 2 | |||
Unsecured Revolving Credit Facility | Term Loan I Facility | ||||
Debt Instrument [Line Items] | ||||
Credit facility | $ 350,000,000 | |||
Unsecured Revolving Credit Facility | Term Loan II Facility | ||||
Debt Instrument [Line Items] | ||||
Secured agency facility | 250,000,000 | |||
Unsecured Revolving Credit Facility | Revolving credit facility | ||||
Debt Instrument [Line Items] | ||||
Credit facility | $ 500,000,000 | |||
Variable interest rate at period end | 1.74% | |||
Reference rate | 0.19% | |||
Basis spread on variable rate | 1.30% | |||
Line of credit, required unused commitment fee per annum (percent) | 0.25% | |||
Current borrowing capacity of credit facility | $ 270,600,000 | |||
Forward starting swap contracts | ||||
Debt Instrument [Line Items] | ||||
Termination of forward starting interest rate swap | $ 4,100,000 | |||
Forward starting swap contracts | Interest Rate Swap | ||||
Debt Instrument [Line Items] | ||||
Number of interest rate swap contracts terminated | Contract | 2 | 2 | ||
Notional amount | $ 200,000,000 | $ 200,000,000 | $ 200,000,000 | |
Termination of forward starting interest rate swap | $ 4,100,000 | |||
Newtown Crossing, Olde Town University Square, Peninsular Place, The Estates, South View and Stone Gate | Mortgage debt | ||||
Debt Instrument [Line Items] | ||||
Repayments of debt during period | $ 126,900,000 | |||
Number of properties | Property | 6 | |||
The View and University Meadows | Mortgage debt | ||||
Debt Instrument [Line Items] | ||||
Repayments of debt during period | $ 37,400,000 | |||
The Suites and Hilltop Townhomes | Construction loan | ||||
Debt Instrument [Line Items] | ||||
Repayments of debt during period | $ 44,600,000 | |||
Number of properties | Property | 2 | |||
University Walk | ||||
Debt Instrument [Line Items] | ||||
Construction loan | $ 19,000,000 |
Stockholders' Equity _ Partne53
Stockholders' Equity / Partners' Capital - Summary of Equity Program Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | |
Class of Stock [Line Items] | |||
Total net proceeds | $ 216,666 | $ 0 | |
ATM Equity Program | |||
Class of Stock [Line Items] | |||
Total net proceeds | $ 0 | 213,416 | |
Commissions paid to sales agents | $ 0 | $ 3,250 | |
Weighted average price per share (in usd per share) | $ 0 | $ 43.92 | |
Shares of common stock sold | 0 | 4,933,665 |
Stockholders' Equity _ Partne54
Stockholders' Equity / Partners' Capital - (Detail Textuals) | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Mar. 31, 2015$ / Unitshares | Jun. 30, 2015USD ($)$ / Unitshares | Dec. 31, 2014shares | |
Schedule of Equity Method Investments [Line Items] | |||
Available stock issuance under ATM Equity Program, value | $ | $ 500,000,000 | ||
ATM Equity Program | |||
Schedule of Equity Method Investments [Line Items] | |||
ATM equity program, aggregate offering price authorized (up to $500 million) | $ | 500,000,000 | ||
ATM equity program, common stock offering price | $ | $ 194,000,000 | ||
Common OP Units | |||
Schedule of Equity Method Investments [Line Items] | |||
Conversion of units to common stock (shares) | 76,183 | 50,000 | |
Common shares | |||
Schedule of Equity Method Investments [Line Items] | |||
Shares issued as result of stock conversion | 77,183 | 52,269 | |
Series A Preferred Unit | |||
Schedule of Equity Method Investments [Line Items] | |||
Conversion of units to common stock (shares) | 1,000 | 2,269 | |
8 1/2 Canal | Common OP Units | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity issued as part of business acquisition (in shares) | 343,895 | 343,895 | |
Equity issued as part of business acquisition (in dollars per unit) | $ / Unit | 41.24 | 41.24 |
Noncontrolling Interests - Summ
Noncontrolling Interests - Summarized Activity of Redeemable Limited Partners (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Increase (Decrease) in Temporary Equity [Roll Forward] | |
Beginning balance | $ 54,472 |
Distributions | (546) |
Adjustments to reflect redeemable limited partner units at fair value | 3,880 |
Ending balance | 62,091 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | |
Increase (Decrease) in Temporary Equity [Roll Forward] | |
Beginning balance | 54,472 |
Distributions | (546) |
Adjustments to reflect redeemable limited partner units at fair value | 3,880 |
Ending balance | 62,091 |
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | Redeemable noncontrolling interests | |
Increase (Decrease) in Temporary Equity [Roll Forward] | |
Beginning balance | 54,472 |
Net income | 993 |
Distributions | (1,087) |
Redeemable limited partner units issued as consideration (see Note 3) | 14,182 |
Conversion of redeemable limited partner units into shares of ACC common stock | (2,589) |
Adjustments to reflect redeemable limited partner units at fair value | (3,880) |
Ending balance | $ 62,091 |
Noncontrolling Interests - Addi
Noncontrolling Interests - Additional Information (Detail Textuals) $ in Millions | 1 Months Ended | 12 Months Ended | |
Feb. 28, 2015USD ($) | Dec. 31, 2014USD ($) | Jun. 30, 2015Entity | |
Noncontrolling Interest [Line Items] | |||
Contributions by noncontrolling partners | $ 1.5 | ||
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP, L.P. | |||
Noncontrolling Interest [Line Items] | |||
Number of third-party joint venture partners (entities) | Entity | 3 | ||
Equity interests held by owners of common units and series A preferred units/ retained by seller (percent) | 1.20% | 1.40% | |
University Walk | |||
Noncontrolling Interest [Line Items] | |||
Cash paid as part of business acquisition | $ 1.7 | ||
Adjustment to additional paid in capital as part of business acquisition | $ 0.2 |
Incentive Award Plan - Summary
Incentive Award Plan - Summary of Restricted Stock Units (Details) - Restricted Stock Units | 6 Months Ended |
Jun. 30, 2015shares | |
Number of RSUs | |
Granted (shares) | 14,825 |
Settled in common shares (shares) | (12,155) |
Settled in cash (shares) | (2,670) |
Incentive Award Plan - Summar58
Incentive Award Plan - Summary of Restricted Stock Awards (Details) - Restricted Stock Awards | 6 Months Ended | |
Jun. 30, 2015shares | ||
Number of RSAs | ||
Beginning balance (shares) | 609,514 | |
Granted (shares) | 273,038 | |
Vested (shares) | (116,166) | |
Forfeited (shares) | [1] | (100,831) |
Ending balance (shares) | 665,555 | |
[1] | Includes shares withheld to satisfy tax obligations upon vesting. |
Incentive Award Plan - Addition
Incentive Award Plan - Additional Information (Detail Textuals) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
May. 31, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Restricted Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Allocated share-based compensation expense | $ 600,000 | ||||
Restricted Stock Awards | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Allocated share-based compensation expense | $ 1,900,000 | $ 1,600,000 | $ 4,000,000 | $ 3,500,000 | |
Chairman of the Board of Directors | Restricted Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock-based awards, stock granted during period, value | $ 95,000 | ||||
All other members | Restricted Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock-based awards, stock granted during period, value | $ 71,500 |
Derivative Instruments and He60
Derivative Instruments and Hedging Activities - Summary of Outstanding Interest Rate Swap Contracts (Details) - Jun. 30, 2015 - USD ($) $ in Thousands | Total |
Derivative [Line Items] | |
Current Notional Amount | $ 450,074 |
Fair Value | $ (3,319) |
Interest Rate Swap One - 2.2750 Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 18, 2014 |
Maturity Date | Feb. 15, 2021 |
Pay Fixed Rate (percent) | 2.275% |
Receive Floating Rate Index | LIBOR - 1 month |
Current Notional Amount | $ 14,960 |
Fair Value | $ (446) |
Interest Rate Swap Two - 2.2750 Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 18, 2014 |
Maturity Date | Feb. 15, 2021 |
Pay Fixed Rate (percent) | 2.275% |
Receive Floating Rate Index | LIBOR - 1 month |
Current Notional Amount | $ 15,114 |
Fair Value | $ (450) |
Interest Rate Swap - 0.8695% Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 2, 2012 |
Maturity Date | Jan. 2, 2017 |
Pay Fixed Rate (percent) | 0.8695% |
Receive Floating Rate Index | LIBOR – 1 month |
Current Notional Amount | $ 125,000 |
Fair Value | $ (546) |
Interest Rate Swap - 0.88% Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 2, 2012 |
Maturity Date | Jan. 2, 2017 |
Pay Fixed Rate (percent) | 0.88% |
Receive Floating Rate Index | LIBOR – 1 month |
Current Notional Amount | $ 100,000 |
Fair Value | $ (452) |
Interest Rate Swap - 0.8875% Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 2, 2012 |
Maturity Date | Jan. 2, 2017 |
Pay Fixed Rate (percent) | 0.8875% |
Receive Floating Rate Index | LIBOR – 1 month |
Current Notional Amount | $ 62,500 |
Fair Value | $ (290) |
Interest Rate Swap - 0.889% Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Feb. 2, 2012 |
Maturity Date | Jan. 2, 2017 |
Pay Fixed Rate (percent) | 0.889% |
Receive Floating Rate Index | LIBOR – 1 month |
Current Notional Amount | $ 62,500 |
Fair Value | $ (291) |
Interest Rate Swap - 1.545% Fixed Rate | |
Derivative [Line Items] | |
Effective Date | Nov. 1, 2013 |
Maturity Date | Oct. 5, 2018 |
Pay Fixed Rate (percent) | 1.545% |
Receive Floating Rate Index | LIBOR - 1 month |
Current Notional Amount | $ 70,000 |
Fair Value | $ (844) |
Derivative Instruments and He61
Derivative Instruments and Hedging Activities - Fair Value of Derivative Financial Instruments and Classification on Consolidated Balance Sheet (Details) - Designated as hedging instrument - Other liabilities - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Derivatives, Fair Value [Line Items] | ||
Total derivatives liabilities designated as hedging instruments | $ 3,319 | $ 2,306 |
Interest rate swaps contracts | ||
Derivatives, Fair Value [Line Items] | ||
Total derivatives liabilities designated as hedging instruments | $ 3,319 | $ 2,306 |
Derivative Instruments and He62
Derivative Instruments and Hedging Activities - Additional Information (Detail Textuals) $ in Thousands | 1 Months Ended | 6 Months Ended | ||
Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($)Contract | |
Derivative [Line Items] | ||||
Notional amount | $ 450,074 | |||
Payments related to terminated swap contracts | 0 | $ 4,122 | ||
Amortization of interest rate swap terminations | 204 | 15 | ||
Interest Rate Swap | ||||
Derivative [Line Items] | ||||
Notional amount | 350,000 | |||
Forward starting swap contracts | ||||
Derivative [Line Items] | ||||
Number of interest rate swap contracts (contracts) | Contract | 2 | |||
Payments related to terminated swap contracts | $ 4,100 | |||
Amortization of interest rate swap terminations | $ 400 | |||
Forward starting swap contracts | Interest Rate Swap | ||||
Derivative [Line Items] | ||||
Notional amount | 200,000 | $ 200,000 | $ 200,000 | |
Payments related to terminated swap contracts | $ 4,100 |
Fair Value Disclosures - Financ
Fair Value Disclosures - Financial Instruments Measured at Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Liabilities: | ||
Derivative financial instruments | $ 3,319 | $ 2,306 |
Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) | 62,091 | 54,472 |
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) | ||
Liabilities: | ||
Derivative financial instruments | 0 | 0 |
Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Liabilities: | ||
Derivative financial instruments | 3,319 | 2,306 |
Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) | 62,091 | 54,472 |
Significant Unobservable Inputs (Level 3) | ||
Liabilities: | ||
Derivative financial instruments | 0 | 0 |
Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership) | $ 0 | $ 0 |
Fair Value Disclosures - Estima
Fair Value Disclosures - Estimated Fair Value and Related Carrying Amounts of Mortgage Loans and Bonds Payable (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Estimated Fair Value | ||
Assets: | ||
Loans receivable | $ 47,092 | $ 47,092 |
Liabilities: | ||
Unsecured notes | 792,080 | 802,943 |
Mortgage loans | 1,015,175 | 1,182,501 |
Bonds payable | 43,972 | 45,176 |
Carrying Amount | ||
Assets: | ||
Loans receivable | 55,836 | 54,260 |
Liabilities: | ||
Unsecured notes | 798,389 | 798,305 |
Mortgage loans | 1,021,447 | 1,184,550 |
Bonds payable | $ 39,785 | $ 39,785 |
Commitments and Contingencies -
Commitments and Contingencies - (Detail Textuals) $ in Millions | 1 Months Ended | 6 Months Ended |
Aug. 31, 2013USD ($)Contract | Jun. 30, 2015USD ($)Property | |
Loss Contingencies [Line Items] | ||
Number of properties, under development | Property | 8 | |
Alternate Housing Guarantees and Project Cost Guarantees | ||
Loss Contingencies [Line Items] | ||
Estimated maximum exposure under guarantee, amount | $ 4.2 | |
Alternate Housing Guarantees | ||
Loss Contingencies [Line Items] | ||
Guarantee expiration period | 5 days | |
Project Cost Guarantees | ||
Loss Contingencies [Line Items] | ||
Guarantee expiration period | 1 year | |
Drexel University Property | ||
Loss Contingencies [Line Items] | ||
Lease term | 40 years | |
Number of lease renewal options | Contract | 3 | |
Lease extension period | 10 years | |
Time period Company to improvements | 5 years | |
Commitment to pay real estate transfer taxes, amount | $ 1.8 | |
Real estate transfer taxes paid upon conveyance of land | 0.6 | |
Capital Addition Purchase Commitments | Drexel University Property | ||
Loss Contingencies [Line Items] | ||
Commitment as part of ground lease agreement, amount | 22.3 | |
Payments for capital improvements | $ 21.9 | |
Purchase commitment expected in fiscal year 2015 | 13.1 | |
Maximum | Drexel University Property | ||
Loss Contingencies [Line Items] | ||
Commitment to pay real estate transfer taxes, amount | $ 2.4 | |
Construction contracts | ||
Loss Contingencies [Line Items] | ||
Other commitment | $ 175 |
Segments - Summary (Details)
Segments - Summary (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||
Total revenues | $ 177,874 | $ 171,977 | $ 370,367 | $ 355,160 | |
Interest expense | (20,586) | (20,989) | (42,574) | (42,079) | |
Operating expenses | (143,422) | (136,544) | (285,739) | (271,732) | |
Property management fees from external customers | 2,324 | 1,997 | 4,325 | 3,982 | |
Income from continuing operations | 15,918 | 13,731 | 87,185 | 39,878 | |
Total assets | 5,810,170 | 5,810,170 | $ 5,834,748 | ||
Operating segments | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 183,751 | 177,775 | 382,383 | 366,920 | |
Income from continuing operations | 15,918 | 13,731 | 87,185 | 39,878 | |
Total segment assets | 5,712,241 | 5,567,406 | 5,712,241 | 5,567,406 | |
Unallocated corporate assets | 97,929 | 153,587 | 97,929 | 153,587 | |
Total assets | 5,810,170 | 5,720,993 | 5,810,170 | 5,720,993 | |
Operating segments | Wholly-owned properties | |||||
Segment Reporting Information [Line Items] | |||||
Rental revenues | 168,169 | 163,664 | 348,897 | 336,487 | |
Interest income | 270 | 279 | 541 | 551 | |
Total revenues | 168,439 | 163,943 | 349,438 | 337,038 | |
Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead | (76,688) | (76,645) | (155,742) | (153,025) | |
Ground/facility leases | (1,222) | (932) | (2,445) | (1,868) | |
Interest expense | (6,915) | (10,729) | (15,653) | (22,121) | |
Operating income before depreciation, amortization, and allocation of corporate overhead | 83,614 | 75,637 | 175,598 | 160,024 | |
Depreciation and amortization | 49,248 | 46,657 | 97,557 | 93,166 | |
Capital expenditures | 68,989 | 80,483 | 137,456 | 149,288 | |
Total segment assets | 5,590,474 | 5,452,209 | 5,590,474 | 5,452,209 | |
Operating segments | On-campus participating properties | |||||
Segment Reporting Information [Line Items] | |||||
Rental revenues | 5,704 | 4,735 | 14,904 | 12,923 | |
Interest income | 0 | 3 | 0 | 6 | |
Total revenues | 5,704 | 4,738 | 14,904 | 12,929 | |
Operating expenses before depreciation, amortization, ground/facility leases and allocation of corporate overhead | (2,675) | (2,592) | (5,102) | (4,889) | |
Ground/facility leases | (739) | (650) | (1,614) | (1,277) | |
Interest expense | (1,488) | (1,112) | (2,966) | (2,261) | |
Operating income before depreciation, amortization, and allocation of corporate overhead | 802 | 384 | 5,222 | 4,502 | |
Depreciation and amortization | 1,735 | 1,228 | 3,451 | 2,440 | |
Capital expenditures | 78 | 8,878 | 859 | 21,170 | |
Total segment assets | 109,254 | 106,150 | 109,254 | 106,150 | |
Operating segments | Development Services | |||||
Segment Reporting Information [Line Items] | |||||
Operating income before depreciation, amortization, and allocation of corporate overhead | (2,248) | (1,156) | (4,791) | (3,812) | |
Development and construction management fees | 1,677 | 1,581 | 2,241 | 1,768 | |
Operating expenses | (3,925) | (2,737) | (7,032) | (5,580) | |
Total segment assets | 4,619 | 2,010 | 4,619 | 2,010 | |
Operating segments | Property Management Services | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 7,931 | 7,513 | 15,800 | 15,185 | |
Operating income before depreciation, amortization, and allocation of corporate overhead | 4,899 | 4,548 | 9,940 | 9,124 | |
Operating expenses | (3,032) | (2,965) | (5,860) | (6,061) | |
Property management fees from external customers | 2,324 | 1,997 | 4,325 | 3,982 | |
Intersegment revenues | 5,607 | 5,516 | 11,475 | 11,203 | |
Total segment assets | 7,894 | 7,037 | 7,894 | 7,037 | |
Unallocated interest income earned on investments and corporate cash | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 815 | 755 | 1,656 | 1,511 | |
Elimination of intersegment revenues | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | (5,607) | (5,516) | (11,475) | (11,203) | |
Total consolidated revenues, including interest income | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 178,959 | 173,014 | 372,564 | 357,228 | |
Segment operating income before depreciation, amortization and allocation of corporate overhead | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | 87,067 | 79,413 | 185,969 | 169,838 | |
Depreciation and amortization | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | (52,916) | (49,911) | (104,946) | (99,585) | |
Net unallocated expenses relating to corporate interest and overhead | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | (20,538) | (15,482) | (39,489) | (29,796) | |
Gain from disposition of real estate | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | 3,790 | 48,042 | 0 | ||
Loss from early extinguishment of debt | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | (1,175) | 0 | (1,770) | 0 | |
Income tax provision | |||||
Segment Reporting Information [Line Items] | |||||
Income from continuing operations | $ (310) | $ (289) | $ (621) | $ (579) |
Segments - Additional Informati
Segments - Additional Information (Detail Textuals) | 6 Months Ended |
Jun. 30, 2015Segment | |
Segment Reporting [Abstract] | |
Identified reportable segments (segments) | 4 |
Subsequent Events - (Details)
Subsequent Events - (Details) $ / shares in Units, $ in Millions | Aug. 05, 2015$ / shares | Jul. 31, 2015USD ($)PropertyBed | Jun. 30, 2015USD ($)$ / shares | Jun. 30, 2014$ / shares | Jun. 30, 2015USD ($)$ / shares | Jun. 30, 2014$ / shares |
Subsequent Event [Line Items] | ||||||
Common Stock, dividends per share, declared (in dollars per units) | $ 0.4 | $ 0.38 | $ 0.78 | $ 0.74 | ||
Dividend Declared | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Common Stock, dividends per share, declared (in dollars per units) | $ 0.40 | |||||
Dividend distribution date | Aug. 27, 2015 | |||||
Dividend payable, date of record | Aug. 17, 2015 | |||||
Wholly-owned properties | ||||||
Subsequent Event [Line Items] | ||||||
Sale price of disposed property | $ | $ 404.6 | $ 404.6 | ||||
Wholly-owned properties | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Number of properties sold | Property | 3 | |||||
Number of bed in property sold | Bed | 1,200 | |||||
Sale price of disposed property | $ | $ 32.1 |