Seritage Growth Properties (SRG) 10-Q 5 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	Apr. 28, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Trading Symbol	SRG
Entity Registrant Name	SERITAGE GROWTH PROPERTIES
Entity Central Index Key	1,628,063
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Class A Common Shares [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		28,173,528
Class B Common Shares [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		1,434,922
Class C Common Shares [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		5,772,835

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Investment in real estate
Land	$ 840,021	$ 840,021
Buildings and improvements	841,931	839,663
Accumulated depreciation	(104,502)	(89,940)
Real Estate Investment Property, at Cost, Total	1,577,450	1,589,744
Construction in progress	75,318	55,208
Net investment in real estate	1,652,768	1,644,952
Investment in unconsolidated joint ventures	428,343	425,020
Cash and cash equivalents	26,542	52,026
Restricted cash	113,875	87,616
Tenant and other receivables, net	24,287	23,172
Lease intangible assets, net	420,253	464,399
Prepaid expenses, deferred expenses and other assets, net	14,977	15,052
Total assets	2,681,045	2,712,237
Liabilities
Mortgage loans payable, net	1,174,018	1,166,871
Accounts payable, accrued expenses and other liabilities	129,139	121,055
Total liabilities	1,303,157	1,287,926
Commitments and contingencies (Note 9)
Shareholders' Equity
Additional paid-in capital	993,014	925,563
Accumulated deficit	(149,668)	(121,338)
Total shareholders' equity	843,699	804,557
Non-controlling interests	534,189	619,754
Total equity	1,377,888	1,424,311
Total liabilities and equity	2,681,045	2,712,237
Class A Common Shares [Member]
Shareholders' Equity
Common shares	281	258
Total equity	281	258
Class B Common Shares [Member]
Shareholders' Equity
Common shares	14	16
Total equity	14	16
Class C Common Shares [Member]
Shareholders' Equity
Common shares	58	58
Total equity	$ 58	$ 58

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Class A Common Shares [Member]
Common shares, par value	$ 0.01	$ 0.01
Common shares, authorized	100,000,000	100,000,000
Common shares, outstanding	28,090,710	25,843,251
Common shares, issued	28,090,710	25,843,251
Class B Common Shares [Member]
Common shares, par value	$ 0.01	$ 0.01
Common shares, authorized	5,000,000	5,000,000
Common shares, outstanding	1,439,967	1,589,020
Common shares, issued	1,439,967	1,589,020
Class C Common Shares [Member]
Common shares, par value	$ 0.01	$ 0.01
Common shares, authorized	50,000,000	50,000,000
Common shares, outstanding	5,778,885	5,754,685
Common shares, issued	5,778,885	5,754,685

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
REVENUE
Rental income	$ 49,174	$ 45,226
Tenant reimbursements	16,224	17,778
Total revenue	65,398	63,004
EXPENSES
Property operating	4,742	7,118
Real estate taxes	12,422	11,469
Depreciation and amortization	58,663	39,509
General and administrative	6,274	4,439
Provision for doubtful accounts	39
Acquisition-related expenses		73
Total expenses	82,140	62,608
Operating loss	(16,742)	396
Equity in income of unconsolidated joint ventures	1,002	2,086
Interest and other income	78	60
Interest expense	(16,592)	(15,730)
Unrealized loss on interest rate cap	(471)	(1,371)
Loss before income taxes	(32,725)	(14,559)
Provision for income taxes	(119)	(155)
Net loss	(32,844)	(14,714)
Net loss attributable to non-controlling interests	(13,006)	(6,379)
Net loss attributable to common shareholders	$ (19,838)	$ (8,335)
Net loss per share attributable to Class A and Class C common shareholders - Basic and diluted	$ (0.59)	$ (0.27)
Weighted average Class A and Class C common shares outstanding - Basic and diluted	33,510	31,391

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENT OF EQUITY - USD ($) $ in Thousands	Total	Class A Common Shares [Member]	Class B Common Shares [Member]	Class C Common Shares [Member]	Additional Paid-In Capital [Member]	Accumulated Deficit [Member]	Non-Controlling Interest [Member]
Beginning balance at Dec. 31, 2015	$ 1,570,077	$ 248	$ 16	$ 68	$ 924,508	$ (38,145)	$ 683,382
Beginning balance, shares at Dec. 31, 2015		24,818,000	1,589,000	6,773,000
Net loss	(14,714)					(8,335)	(6,379)
Dividends and distributions declared	(13,952)					(7,908)	(6,044)
Stock-based compensation	267				267
Stock issued in conversion of securities		$ 11
Stock sold in conversion of securities				$ (11)
Stock issued in conversion securities, shares		1,050,600
Stock sold in conversion of securities, shares				(1,051,000)
Ending balance at Mar. 31, 2016	1,541,678	$ 259	$ 16	$ 57	924,775	(54,388)	670,959
Ending balance, shares at Mar. 31, 2016		25,869,000	1,589,000	5,722,000
Beginning balance at Dec. 31, 2016	1,424,311	$ 258	$ 16	$ 58	925,563	(121,338)	619,754
Beginning balance, shares at Dec. 31, 2016		25,843,251	1,589,020	5,754,685
Net loss	(32,844)					(19,838)	(13,006)
Dividends and distributions declared	(13,969)					(8,492)	(5,477)
Vesting of restricted share units		$ 0			0
Vesting of restricted share units, shares		4,000
Stock-based compensation	390				390
Stock issued in conversion of securities		$ 0
Stock sold in conversion of securities				$ 0
Stock issued in conversion securities, shares		24,200
Stock sold in conversion of securities, shares				24,000
Share class surrenders			$ (2)		2
Share class surrenders, shares			(149,053)
OP Unit exchanges		$ 23			67,059		(67,082)
OP Unit exchanges, shares		2,267,821
Ending balance at Mar. 31, 2017	$ 1,377,888	$ 281	$ 14	$ 58	$ 993,014	$ (149,668)	$ 534,189
Ending balance, shares at Mar. 31, 2017		28,090,710	1,439,967	5,778,885

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical)	3 Months Ended
	Mar. 31, 2017$ / sharesshares
Dividends and distributions declared, per share | $ / shares	$ 0.25
Class A Common Shares [Member]
Share class exchanges, common shares	24,200
OP Unit exchanges, shares	2,267,821
Class B Common Shares [Member]
Share class surrenders, shares	149,053

CONDENSED CONSOLIDATED STATEME7

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
CASH FLOW FROM OPERATING ACTIVITIES
Net loss	$ (32,844)	$ (14,714)
Adjustments to reconcile net loss to net cash provided by operating activities:
Equity in income of unconsolidated joint ventures	(1,002)	(2,086)
Distributions from unconsolidated joint ventures	3,623	3,851
Unrealized loss on interest rate cap	471	1,371
Stock-based compensation	390	267
Depreciation and amortization	58,663	39,509
Amortization of deferred financing costs	1,582	1,340
Amortization of above and below market leases, net	(195)	(192)
Straight-line rent adjustment	(1,534)	(4,404)
Change in operating assets and liabilities
Tenants and other receivables	419	(381)
Prepaid expenses, deferred expenses and other assets	(687)	1,540
Accounts payable, accrued expenses and other liabilities	9,039	(970)
Net cash provided by operating activities	37,925	25,131
CASH FLOW FROM INVESTING ACTIVITIES
Investments in unconsolidated joint ventures	(5,943)
Development of real estate	(22,848)	(7,033)
Net cash used in investing activities	(28,791)	(7,033)
CASH FLOW FROM FINANCING ACTIVITIES
Proceeds from Future Funding Facility	7,011
Payment of deferred financing costs	(1,446)	(6)
Common dividends paid	(8,447)	(15,738)
Non-controlling interests distributions paid	(5,477)	(12,088)
Net cash used in financing activities	(8,359)	(27,832)
Net increase (decrease) in cash, cash equivalents, and restricted cash	775	(9,734)
Cash, cash equivalents, and restricted cash, beginning of period	139,642	155,342
Cash, cash equivalents, and restricted cash, end of period	140,417	145,608
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash payments for interest	16,052	14,805
Capitalized interest	1,177	560
Income taxes paid	119	155
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Development of real estate financed with accounts payable	5,899	3,857
Dividends and distribution declared and unpaid	$ 13,969	$ 13,952

Organization

Organization	3 Months Ended
	Mar. 31, 2017
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization	Note 1 – Organization Seritage Growth Properties (“Seritage”) was organized in Maryland on June 3, 2015 and was initially capitalized with 100 shares of Class A common shares. The Company conducts its operations through Seritage Growth Properties, L.P. (the “Operating Partnership”), a Delaware limited partnership that was formed on April 22, 2015. Unless the context otherwise requires, “Seritage” and the “Company” refer to Seritage, the Operating Partnership, and its subsidiaries. On June 11, 2015, Sears Holdings Corporation (“Sears Holdings”) effected a rights offering (the “Rights Offering”) to Sears Holdings stockholders to purchase common shares of Seritage in order to fund, in part, the $2.7 billion acquisition of 234 of Sears Holdings’ owned properties and one of its ground leased properties (the “Wholly Owned Properties”), and its 50% interests in three joint ventures (such joint ventures, the “JVs,” and such 50% joint venture interests, the “JV Interests”) that collectively own 28 properties, ground lease one property and lease two properties (collectively, the “JV Properties”) (collectively, the “Transaction”). The Rights Offering ended on July 2, 2015, and the Company’s Class A common shares were listed on the New York Stock Exchange (“NYSE”) on July 6, 2015. On July 7, 2015, the Company completed the Transaction with Sears Holdings and commenced operations. The Company did not have any operations prior to the completion of the Rights Offering and the Transaction. Seritage is a fully-integrated, self-administered, self-managed real estate investment trust (“REIT”) primarily engaged in the real property business through the Company’s investment in the Operating Partnership. As of March 31, 2017, 201 of the Company’s wholly-owned properties were leased to Sears Holdings pursuant to a master lease agreement (the “Master Lease”) and operated under either the Sears or Kmart brand. At numerous properties, third-party tenants under direct leases occupy a portion of leasable space alongside Sears and Kmart, and 24 properties are leased only to third parties. A substantial majority of the space at the JV Properties is also leased (or subleased) by the JVs to Sears Holdings under master lease agreements (collectively, the “JV Master Leases”). The Master Lease and the JV Master Leases provide the Company and the JVs with the right to recapture certain space from Sears Holdings at each property for retenanting or redevelopment purposes.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2 – Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K, as amended, (the “Annual Report”), for the year ended December 31, 2016. Certain footnote disclosures which would substantially duplicate those contained in our Annual Report have been condensed or omitted from this quarterly report. In the opinion of management, all adjustments necessary for a fair presentation (which include only normal recurring adjustments) have been included in this quarterly report. Capitalized terms used, but not defined in this quarterly report, have the same meanings as set forth in our Annual Report. The accompanying condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). The condensed consolidated financial statements include the accounts of the Company, the Operating Partnership, each of their wholly-owned subsidiaries, and all other entities in which they have a controlling financial interest or entities that meet the definition of a variable interest entity (“VIE”) in which the Company has, as a result of ownership, contractual interests or other financial interests, both the power to direct activities that most significantly impact the economic performance of the VIE and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. All intercompany accounts and transactions have been eliminated. If the Company has an interest in a VIE but it is not determined to be the primary beneficiary, the Company accounts for its interest under the equity method of accounting. Similarly, for those entities which are not VIEs and over which the Company has the ability to exercise significant influence, but does not have a controlling financial interest, the Company accounts for its interests under the equity method of accounting. The Company continually reconsiders its determination of whether an entity is a VIE and whether the Company qualifies as its primary beneficiary. To the extent such variable interests are in entities that cannot be evaluated under the VIE model, the Company evaluates its interests using the voting interest entity model. The Company holds a 60.7% interest in the Operating Partnership and is the sole general partner which gives the Company exclusive and complete responsibility for the day-to-day management, authority to make decisions, and control of the Operating Partnership. Through consideration of new consolidation guidance effective for the Company as of January 1, 2016, it has been concluded that the Operating Partnership is a VIE as the limited partners in the Operating Partnership, although entitled to vote on certain matters, do not possess kick-out rights or substantive participating rights. Accordingly, the Company consolidates its interest in the Operating Partnership. However, as the Company holds what is deemed a majority voting interest in the Operating Partnership, it qualifies for the exemption from providing certain of the disclosure requirements associated with investments in VIEs. The portions of consolidated entities not owned by the Company and the Operating Partnership are presented as non-controlling interests as of and during the periods presented. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. The most significant assumptions and estimates relate to fair values of acquired assets and liabilities assumed for purposes of applying the acquisition method of accounting, the useful lives of tangible and intangible assets, real estate impairment assessments, and assessing the recoverability of accounts receivables. These estimates are based on historical experience and other assumptions which management believes are reasonable under the circumstances. Management evaluates its estimates on an ongoing basis and makes revisions to these estimates and related disclosures as experience develops or new information becomes known. Actual results could differ from these estimates. Segment Reporting The Company currently operates in a single reportable segment which includes the acquisition, ownership, development, redevelopment, management, and leasing of retail properties. The Company’s chief operating decision maker, its Chief Executive Officer, assesses and measures the operating and financial results for each property on an individual basis and does not distinguish or group properties based on geography, size, or type. The Company, therefore, aggregates all properties into one reportable segment due to their similarities with regard to the nature and economics of the properties, tenants, and operations. Accounting for Real Estate Acquisitions Upon the acquisition of real estate, the Company assesses the fair value of acquired assets and liabilities assumed, including land, buildings, improvements and identified intangibles such as above-market and below-market leases, in-place leases and other items, as applicable, and allocates the purchase price based on these assessments. In making estimates of fair values, the Company may use a number of sources, including data provided by third parties, as well as information obtained by the Company as a result of its due diligence, including expected future cash flows of the property and various characteristics of the markets where the property is located. The fair values of tangible assets are determined on an "if vacant" basis. The "if vacant" fair value allocated to land is generally estimated via a market or sales comparison approach with the subject site being compared to similar properties that have sold or are currently listed for sale. The comparable properties are adjusted for dissimilar characteristics such as market conditions, location, access/frontage, size, shape/topography, or intended use, including the impact of any encumbrances on such use. The "if vacant" value allocated to buildings and site improvements is generally estimated using an income approach and a cost approach that utilizes published guidelines for current replacement cost or actual construction costs for similar, recently developed properties. Assumptions used in the income approach include capitalization and discount rates, lease-up time, market rents, make-ready costs, land value, and site improvement value. The estimated fair value of in-place tenant leases includes lease origination costs (the costs the Company would have incurred to lease the property to the current occupancy level) and the lost revenues during the period necessary to lease-up from vacant to the current occupancy level. Such estimates include the fair value of leasing commissions, legal costs and tenant coordination costs that would be incurred to lease the property to this occupancy level. Additionally, the Company evaluates the time period over which such occupancy level would be achieved and includes an estimate of the net operating costs (primarily real estate taxes, insurance and utilities) incurred during the lease-up period, which generally ranges up to one year. The fair value of acquired in-place tenant leases is included in lease intangible assets on the condensed consolidated balance sheets and amortized over the remaining lease term for each tenant. Identifiable intangible assets and liabilities are calculated for above-market and below-market tenant and ground leases where the Company is either the lessor or the lessee. The difference between the contractual rental rates and the Company’s estimate of market rental rates is measured over a period equal to the remaining non-cancelable term of the leases, including significantly below-market renewal options for which exercise of the renewal option appears to be reasonably assured. Above-market tenant leases and below-market ground leases are included in lease intangible assets on the condensed consolidated balance sheets; below-market tenant leases and above-market ground leases are included in accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets. The values assigned to above-market and below-market tenant leases are amortized as reductions and increases, respectively, to base rental revenue over the remaining term of the respective leases. The values assigned to below-market and above-market ground leases are amortized as increases and reductions, respectively, to property operating expenses over the remaining term of the respective leases. The Company expenses transaction costs associated with business combinations in the period incurred; these costs are included in acquisition-related expenses within the condensed consolidated statements of operations. The Company capitalizes transaction costs associated with asset acquisitions; these costs are allocated to the fair values of the net assets acquired, included within the condensed consolidated balance sheets and depreciated or amortized over the remaining life or term of the acquired assets. Real Estate Investments Real estate assets are recorded at cost, less accumulated depreciation and amortization. Expenditures for ordinary repairs and maintenance will be expensed as incurred. Significant renovations which improve the property or extend the useful life of the assets are capitalized. As real estate is undergoing redevelopment activities, all amounts directly associated with and attributable to the project, including planning, development and construction costs, interest costs, personnel costs of employees directly involved and other miscellaneous costs incurred during the period of redevelopment, are capitalized. The capitalization period begins when redevelopment activities are underway and ends when the project is substantially complete. Depreciation of real estate assets, excluding land, is recognized on a straight-line basis over their estimated useful lives as follows: Building: 25 – 40 years Site improvements: 5 – 15 years Tenant improvements: shorter of the estimated useful life or non-cancelable term of lease The Company amortizes identified intangibles that have finite lives over the period they are expected to contribute directly or indirectly to the future cash flows of the property or business acquired, generally the remaining non-cancelable term of a related lease. On a periodic basis, management assesses whether there are indicators that the value of the Company’s real estate assets (including any related intangible assets or liabilities) may be impaired. If an indicator is identified, a real estate asset is considered impaired only if management’s estimate of current and projected operating cash flows (undiscounted and unleveraged), taking into account the anticipated and probability weighted holding period, are less than a real estate asset’s carrying value. Various factors are considered in the estimation process, including expected future operating income, trends and prospects and the effects of demand, competition, and other economic factors. If management determines that the carrying value of a real estate asset is impaired, a loss will be recorded for the excess of its carrying amount over its estimated fair value. No such impairment losses were recognized for the three months ended March 31, 2017 or March 31, 2016. Investments in Unconsolidated Joint Ventures The Company accounts for its investments in unconsolidated joint ventures using the equity method of accounting as the Company exercises significant influence, but does not control these entities. These investments are initially recorded at cost and are subsequently adjusted for cash contributions, cash distributions, and earnings which are recognized in accordance with the terms of the applicable agreement. On a periodic basis, management assesses whether there are indicators, including the operating performance of the underlying real estate and general market conditions, that the value of the Company’s investments in unconsolidated joint ventures may be impaired. An investment’s value is impaired only if management’s estimate of the fair value of the Company’s investment is less than its carrying value and such difference is deemed to be other-than-temporary. To the extent impairment has occurred, the loss is measured as the excess of the carrying amount of the investment over its estimated fair value. No such impairment losses were recognized for the three months ended March 31, 2017 or March 31, 2016. Cash and Cash Equivalents The Company considers instruments with an original maturity of three months or less to be cash and cash equivalents. Cash and cash equivalents balances may, at a limited number of banks and financial institutions, exceed insurable amounts. The Company believes it mitigates this risk by investing in or through major financial institutions and primarily in funds that are insured by the United States federal government. Restricted Cash Restricted cash represents cash deposited in escrow accounts which generally can only be used for the payment of real estate taxes, debt service, insurance, and future capital expenditures as required by certain loan and lease agreements, as well as legally restricted tenant security deposits. As of March 31, 2017, the Company had approximately $113.9 million of restricted cash, including $82.8 million reserved for redevelopment costs, tenant allowances and leasing commissions, deferred maintenance, environmental remediation and other capital expenditures, $16.5 million reserved for basic property carrying costs such as real estate taxes, insurance and ground rent, and $14.6 million of other restricted cash which consisted primarily of prepaid rental income. Tenant and Other Receivables Accounts receivable includes unpaid amounts billed to tenants, accrued revenues for future billings to tenants for property expenses, and amounts arising from the straight-lining of rent. The Company periodically reviews its receivables for collectability, taking into consideration changes in factors such as the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates, and economic conditions in the area where the property is located. In the event that the collectability of a receivable with respect to any tenant is in doubt, a provision for uncollectible amounts will be established or a direct write-off of the specific rent receivable will be made. For accrued rental revenues related to the straight-line method of reporting rental revenue, the Company performs a periodic review of receivable balances to assess the risk of uncollectible amounts and establish appropriate provisions. Revenue Recognition Rental income is recognized on a straight-line basis over the non-cancelable terms of the related leases. For leases that have fixed and measurable rent escalations, the difference between such rental income earned and the cash rent due under the provisions of the lease is recorded as deferred rent receivable and included as a component of tenant and other receivables on the condensed consolidated balance sheets. In leasing tenant space, the Company may provide funding to the lessee through a tenant allowance. In accounting for a tenant allowance, the Company will determine whether the allowance represents funding for the construction of leasehold improvements and evaluate the ownership of such improvements. If the Company is considered the owner of the improvements for accounting purposes, the Company will capitalize the amount of the tenant allowance and depreciate it over the shorter of the useful life of the improvements or the related lease term. If the tenant allowance represents a payment for a purpose other than funding leasehold improvements, or in the event the Company is not considered the owner of the improvements for accounting purposes, the allowance is considered to be a lease incentive and is recognized over the lease term as reduction of rental revenue on a straight-line basis. The Company commences recognizing revenue based on an evaluation of a number of factors. In most cases, revenue recognition under a lease begins when the lessee takes possession of or controls the physical use of the leased asset. Generally, this occurs on the lease commencement date. Tenant reimbursement income arises from tenant leases which provide for the recovery of all or a portion of the operating expenses and real estate taxes of the respective property. This revenue is accrued in the same periods as the expenses are incurred. Accounting for Recapture and Termination Activity Pursuant to the Master Lease Seritage 100% Recapture Rights. The Company generally treats the delivery of a 100% recapture notice as a modification of the Master Lease as of the date of notice. Such a notice and lease modification result in the following accounting adjustments for the recaptured property: − Accrued rental revenues related to the straight-line method of reporting rental revenue that are deemed uncollectable as result of the lease modification are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. − Intangible lease assets and liabilities that are deemed to be impacted by the lease modification are amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. A 100% recapture will generally occur in conjunction with obtaining a new tenant or a real estate development project. As such, termination fees, if any, associated with the 100% recapture notice are generally capitalized as either an initial direct cost of obtaining a new lease or a necessary cost of the real estate project and depreciated over the life of the new lease obtained or the real estate asset being constructed or improved. Seritage 50% Recapture Rights. The Company generally treats the delivery of a 50% recapture notice as a modification of the Master Lease as of the date of notice. Such a notice and lease modification result in the following accounting adjustments for the recaptured property: − The portion of accrued rental revenues related to the straight-line method of reporting rental revenue that are subject to the lease modification are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. The portion of accrued rental revenues related to the straight-line method of reporting rental revenue that is attributable to the retained space is amortized over the remaining life of the Master Lease. − The portion of intangible lease assets and liabilities that is deemed to be impacted by the lease modification is amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. The portion of intangible lease assets and liabilities that is attributable to the retained space is amortized over the remaining useful life of the asset or liability. Sears Holdings Termination Rights. The Master Lease provides Sears Holdings with certain rights to terminate the Master Lease with respect to properties that cease to be profitable for operation by Sears Holdings. Such a termination would generally result in the following accounting adjustments for the terminated property: − Accrued rental revenues related to the straight-line method of reporting rental revenue that are subject to the termination are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. − Intangible lease assets and liabilities that are deemed to be impacted by the termination are amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. − Termination fees required to be paid by Sears Holdings are recognized as follows: • For the portion of the termination fee attributable to the annual base rent of the subject property, termination income is recognized on a straight-line basis over the shortened life of the lease from the date the termination fee becomes legally binding to the date of vacancy. • For the portion of the termination fee attributable to estimated real estate taxes and property operating expenses for the subject property, prepaid rental income is recorded in the period such fee is received and recognized as tenant reimbursement revenue in the same periods as the expenses are incurred. Derivatives The Company’s use of derivative instruments is limited to the management of interest rate exposure and not for speculative purposes. In connection with the issuance of the Company’s Mortgage Loans and Future Funding Facility, the Company purchased for $5.0 million an interest rate cap with a term of four years, a notional amount of $1,261 million and a strike rate of 3.5%. The interest rate cap is measured at fair value and included as a component of prepaid expenses, deferred expenses and other assets on the condensed consolidated balance sheets. The Company has elected not to utilize hedge accounting, and therefore, the change in fair value is included within change in fair value of interest rate cap on the condensed consolidated statements of operations. For the three months ended March 31, 2017, the Company recorded a loss of $471 thousand related to the change in fair value of the interest rate cap compared to a loss of $1.4 million for the three months ended March 31, 2016. Stock-Based Compensation The Company generally recognizes equity awards to employees as compensation expense and includes such expense within general and administrative expenses on the condensed consolidated statements of operations. Compensation expense for equity awards is generally based on the fair value of the common shares at the date of the grant and is recognized (i) ratably over the vesting period for awards with time-based vesting and (ii) for awards with performance-based vesting, at the date the achievement of performance criteria is deemed probable, an amount equal to that which would have been recognized ratably from the date of the grant through the date the achievement of performance criteria is deemed probable, and then ratably from the date the achievement of performance criteria is deemed probable through the remainder of the vesting period. Concentration of Credit Risk Concentrations of credit risk arise when a number of operators, tenants, or obligors related to the Company's investments are engaged in similar business activities, or activities in the same geographic region, or have similar economic features that would cause their ability to meet contractual obligations, including those to the Company, to be similarly affected by changes in economic conditions. As of March 31, 2017, a majority of the Company's real estate properties were leased to Sears Holdings, and the majority of Company’s rental revenues were derived from the Master Lease (see Note 5). Until the Company further diversifies the tenancy of its portfolio, an event that has a material adverse effect on Sears Holdings’ business, financial condition or results of operations could have a material adverse effect on the Company’s business, financial condition or results of operations. Sears Holdings is a publicly traded company that is subject to the informational filing requirements of the Securities Exchange Act of 1934, as amended, and is required to file periodic reports on Form 10-K and Form 10-Q with the SEC. Refer to www.sec.gov for Sears Holdings publicly-available financial information. Other than the Company's tenant concentration, management believes the Company's portfolio was reasonably diversified by geographical location and did not contain any other significant concentrations of credit risk. As of March 31, 2017, the Company's portfolio of 235 Wholly Owned Properties was diversified by location across 49 states and Puerto Rico. Earnings per Share The Company has three classes of common stock. The rights, including the liquidation and dividend rights, of the holders of the Company’s Class A common shares and Class C non-voting common shares are identical, except with respect to voting. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. The net earnings (loss) per share amounts are the same for Class A and Class C common shares because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. Class B non-economic common shares are excluded from earnings per share computations as they do not have economic rights. All outstanding non-vested shares that contain non-forfeitable rights to dividends are considered participating securities and are included in computing earnings per share pursuant to the two-class method which specifies that all outstanding non-vested share-based payment awards that contain non-forfeitable rights to distributions are considered participating securities and should be included in the computation of earnings per share. Recently Issued Accounting Pronouncements In February 2017, the Financial Accounting Standards Boards (“FASB”) issued Accounting Standards Update (“ASU”) 2017-05, “Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets” to provide guidance for recognizing gains and losses from the transfer of nonfinancial assets. The standard requires a company to derecognize nonfinancial assets once it transfers control of a distinct nonfinancial asset or distinct in substance nonfinancial assets to noncustomers. Additionally, when a company transfers its controlling interest in a nonfinancial asset, but retains a non-controlling ownership interest, the company is required to measure any non-controlling interest it receives or retains at fair value. ASU 2017-15 is effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within that reporting period. The effective date of this guidance coincides with revenue recognition guidance. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. In January 2017, the FASB issued ASU 2017-01 which changes the definition of a business to exclude acquisitions where substantially all of the fair value of the assets acquired are concentrated in a single identifiable asset or a group of similar identifiable assets. While there are various differences between the accounting for an asset acquisition and a business combination, the Company expects that the largest impact will be the capitalization of transaction costs for asset acquisitions which are expensed for business combinations. ASU 2017-01 is effective, on a prospective basis, for interim and annual periods beginning after January 1, 2019; early adoption is permitted. The Company has chosen to early adopt ASU 2017-01 during the current period on a prospective basis and it did not have an impact on the condensed consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, "Statement of Cash Flows - Restricted Cash." ASU 2016-18 requires that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or cash equivalents. Therefore, amounts generally described as restricted cash and equivalents should be included with cash and cash equivalents when reconciling the beginning and end of period total amounts on the statement of cash flows. ASU 2016-18 is effective, on a retroactive basis, for interim and annual periods beginning after December 15, 2017; early adoption is permitted. The Company early adopted this guidance on March 31, 2017, which changes our statements of cash flows and related disclosure for all periods presented and accordingly, the following is a summary of our cash, cash equivalents, and restricted cash total as presented in our statements of cash flows for the three months ended March 31, 2017 and March 31, 2016 (in thousands): Three Months Ended March 31, 2017 March 31, 2016 Cash and cash equivalents $ 26,542 $ 56,425 Restricted cash 113,875 89,183 Total cash, cash equivalents, and restricted cash shown in the statement of cash flows $ 140,417 $ 145,608 In August 2016, the FASB issued ASU 2016-15, "Classification of Certain Cash Receipts and Cash Payments." ASU 2016-15 provides classification guidance for eight specific topics including debt extinguishment costs, contingent consideration payments made after a business combination, and distributions received from equity method investees. ASU 2016-18 is effective, on a prospective basis, for interim and annual periods beginning after December 15, 2017; early adoption is permitted. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. On February 25, 2016, the FASB issued Accounting Standards Codification (“ASC”) 842 (“ASC 842”), “Leases” which replaces the existing guidance in ASC 840, Leases. ASC 842 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. ASC 842 requires a dual approach for lessee accounting under which a lessee would account for leases as finance leases or operating leases. Both finance leases and operating leases will result in the lessee recognizing a right-of-use (ROU) asset and a corresponding lease liability. For finance leases, the lessee would recognize interest expense and amortization of the ROU asset and for operating leases, the lessee would recognize a straight-line total lease expense. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. In September 2015, the FASB issued ASU 2015-16, which amends Topic 805, Business Combinations In May 2014, with subsequent updates issued in August 2015 and March, April, May and December 2016, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. ASU 2014-09 states that “an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.” While ASU 2014-09 specifically references contracts with customers, it may apply to certain other transactions such as the sale of real estate or equipment. In July 2015, the FASB voted to defer the effective date of ASU 2014-09 by one year. Accordingly, ASU 2014-09 is effective for annual periods beginning after December 15, 2017, with early adoption permitted for annual periods beginning after December 15, 2016. The standard can be applied either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment recognized as of the date of initial application. Expanded quantitative and qualitative disclosures regarding revenue recognition will be required for contracts that are subject to this guidance. While the Company anticipates additional disclosure, it does not expect the adoption of this pronouncement will have a material effect on its condensed consolidated financial statements; however, it will continue to evaluate this assessment until the guidance becomes effective.

Lease Intangible Assets and Lia

Lease Intangible Assets and Liabilities	3 Months Ended
	Mar. 31, 2017
Real Estate [Abstract]
Lease Intangible Assets and Liabilities	Note 3 – Lease Intangible Assets and Liabilities Lease intangible assets (acquired in-place leases, above-market leases and below-market ground leases) and liabilities (acquired below-market leases), net of accumulated amortization, were $420.3 million and $16.3 million, respectively, as of March 31, 2017 and $464.4 million and $16.8 million, respectively, as of December 31, 2016. The following table summarizes the Company’s lease intangible assets and liabilities (in thousands): March 31, 2017 Gross Accumulated Lease Intangible Assets Asset Amortization Balance In-place leases, net $ 569,856 $ (167,759 ) $ 402,097 Below-market ground leases, net 11,766 (356 ) 11,410 Above-market leases, net 8,964 (2,218 ) 6,746 Total $ 590,586 $ (170,333 ) $ 420,253 Gross Accumulated Lease Intangible Liabilities Liability Amortization Balance Below-market leases, net $ 20,011 $ (3,715 ) $ 16,296 Total $ 20,011 $ (3,715 ) $ 16,296 December 31, 2016 Gross Accumulated Lease Intangible Assets Asset Amortization Balance In-place leases, net $ 592,871 $ (146,964 ) $ 445,907 Below-market ground leases, net 11,766 (305 ) 11,461 Above-market leases, net 8,964 (1,933 ) 7,031 Total $ 613,601 $ (149,202 ) $ 464,399 Gross Accumulated Lease Intangible Liabilities Liability Amortization Balance Below-market leases, net $ 20,011 $ (3,184 ) $ 16,827 Total $ 20,011 $ (3,184 ) $ 16,827 Amortization of acquired below-market leases, net of acquired above-market leases, resulted in additional rental income of $0.2 million and $0.2 million for the three months ended March 31, 2017 and March 31, 2016, respectively. Future amortization of these intangibles is estimated to increase rental income as set forth below (in thousands): Remainder of 2017 $ (728 ) 2018 (970 ) 2019 (943 ) 2020 (808 ) 2021 (792 ) Amortization of acquired below-market ground leases resulted in additional property expense of $51 thousand for the three months ended March 31, 2017 and March 31, 2016. Future amortization of below-market ground leases is estimated to increase property expenses as set forth below (in thousands): Remainder of 2017 $ 152 2018 203 2019 203 2020 203 2021 203 Amortization of acquired in-place leases resulted in additional depreciation and amortization expense of $43.8 million and $23.1 million for the three months ended March 31, 2017 and March 31, 2016, respectively. Future estimated amortization of acquired in-place leases is set forth below (in thousands): Remainder of 2017 $ 76,738 2018 59,011 2019 56,047 2020 54,411 2021 48,853

Investments in Unconsolidated J

Investments in Unconsolidated Joint Ventures	3 Months Ended
	Mar. 31, 2017
Equity Method Investments And Joint Ventures [Abstract]
Investments in Unconsolidated Joint Ventures	Note 4 – Investments in Unconsolidated Joint Ventures The Company conducts a portion of its property rental activities through investments in unconsolidated joint ventures for which the Company holds less than a controlling interest. The Company’s partners in these unconsolidated joint ventures are unrelated real estate entities or commercial enterprises. The Company and its unconsolidated joint venture partners make initial and/or ongoing capital contributions to these unconsolidated joint ventures. The obligations to make capital contributions are governed by each unconsolidated joint venture’s respective operating agreement and related governing documents. The Company currently has investments in three unconsolidated entities: GS Portfolio Holdings LLC (the “GGP JV”), a joint venture between Seritage and a subsidiary of GGP Inc. (together with its subsidiaries, “GGP”), SPS Portfolio Holdings LLC (the “Simon JV”), a joint venture between Seritage and a subsidiary of Simon Property Group, Inc. (together with its subsidiaries, “Simon”), and MS Portfolio LLC (the “Macerich JV”), a joint venture between Seritage and a subsidiary of The Macerich Company (together with its subsidiaries, “Macerich”). A substantial majority of the space at the JV Properties is leased to Sears Holdings under the JV Master Leases which include recapture rights and termination rights with similar terms as those described under the Master Lease. The Company’s investments in unconsolidated joint ventures at March 31, 2017, consisted of (in thousands): Seritage % # of Total Initial Joint Venture Ownership Properties GLA Investment GGP JV 50 % 12 2,161 $ 165,000 Macerich JV 50 % 9 1,573 150,000 Simon JV 50 % 10 1,714 114,012 Total 31 5,448 $ 429,012 As of March 31, 2017, the GGP JV had recaptured space at four properties and announced plans to recapture space at five additional properties according to a specific schedule. The GGP JV will recapture 100% of the space currently occupied by Sears Holdings at Paramus Park in Paramus, NJ and Alderwood in Lynnwood, WA, while Sears Holdings will continue to occupy a downsized space at the other locations. No recaptures notices have been submitted related to properties in the Macerich JV or the Simon JV as of March 31, 2017. Each unconsolidated joint venture is obligated to maintain financial statements in accordance with GAAP. The Company shares in the profits and losses of these unconsolidated joint ventures generally in accordance with the Company’s respective equity interests. In some instances, the Company may recognize profits and losses related to investment in an unconsolidated joint venture that differ from the Company’s equity interest in the unconsolidated joint venture. This may arise from impairments that the Company recognizes related to its investment that differ from the impairments the unconsolidated joint venture recognizes with respect to its assets; differences between the Company’s basis in assets it has transferred to the unconsolidated joint venture and the unconsolidated joint venture’s basis in those assets; the Company’s deferral of the unconsolidated joint venture’s profits from land sales to the Company; or other items. There were no joint venture impairment charges for the three months ended March 31, 2017 or March 31, 2016. The following tables present combined condensed financial data for all of the Company’s unconsolidated joint ventures (in thousands): March 31, 2017 December 31, 2016 ASSETS Investment in real estate Land $ 214,109 $ 214,109 Buildings and improvements 597,516 598,978 Accumulated depreciation (64,306 ) (56,324 ) 747,319 756,763 Construction in progress 64,903 48,885 Net investment in real estate 812,222 805,648 Cash and cash equivalents 9,595 3,434 Tenant and other receivables, net 4,966 6,133 Other assets, net 37,542 38,646 Total assets $ 864,325 $ 853,861 LIABILITIES AND MEMBERS INTERESTS Liabilities Accounts payable, accrued expenses and other liabilities $ 17,997 $ 14,177 Total liabilities 17,997 14,177 Members Interest Additional paid in capital 844,182 830,389 Retained earnings 2,146 9,295 Total members interest 846,328 839,684 Total liabilities and members interest $ 864,325 $ 853,861 Three Months Ended March 31, 2017 March 31, 2016 EQUITY IN INCOME OF UNCONSOLIDATED JOINT VENTURES Total revenue $ 16,344 $ 17,538 Property operating expenses (3,322 ) (3,404 ) Depreciation and amortization (10,972 ) (9,739 ) Operating income 2,050 4,395 Other expenses (46 ) (223 ) Net income $ 2,004 $ 4,172 Equity in income of unconsolidated joint ventures $ 1,002 $ 2,086

Leases

Leases	3 Months Ended
	Mar. 31, 2017
Leases [Abstract]
Leases	Note 5 – Leases Master Lease On July 7, 2015, subsidiaries of Seritage and subsidiaries of Sears Holdings entered into the Master Lease. The Master Lease generally is a triple net lease with respect to all space which is leased thereunder to Sears Holdings, subject to proportional sharing by Sears Holdings for repair and maintenance charges, real property taxes, insurance and other costs and expenses which are common to both the space leased by Sears Holdings and other space occupied by unrelated third-party tenants in the same or other buildings pursuant to third-party leases, space which is recaptured pursuant to the Company recapture rights described below and all other space which is constructed on the properties. Under the Master Lease, Sears Holdings and/or one or more of its subsidiaries will be required to make all expenditures reasonably necessary to maintain the premises in good appearance, repair and condition for as long as they are in occupancy. The Master Lease has an initial term of 10 years and contains three options for five-year renewals of the term and a final option for a four-year renewal. As of March 31, 2017 and March 31, 2016, the annualized base rent paid directly by Sears Holdings and its subsidiaries under the Master Lease was approximately $124.1 million and $133.3 million, respectively. In each of the initial and first two renewal terms, annual base rent will be increased by 2.0% per annum for each lease year over the rent for the immediately preceding lease year. For subsequent renewal terms, rent will be set at the commencement of the renewal term at a fair market rent based on a customary third-party appraisal process, taking into account all the terms of the Master Lease and other relevant factors, but in no event will the renewal rent be less than the rent payable in the immediately preceding lease year. Revenues from the Master Lease for the three months ended March 31, 2017 and March 31, 2016 are as follows (in thousands and excluding straight-line rental income of $1.0 million and $3.1 million, respectively): Three Months Ended March 31, 2017 March 31, 2016 Rental income $ 31,651 $ 33,385 Termination fee income 6,136 — Tenant reimbursements 14,706 16,752 Total revenue $ 52,493 $ 50,137 The Master Lease provides the Company with the right to recapture up to approximately 50% of the space occupied by Sears Holdings at each of the 224 Wholly Owned Properties initially included in the Master Lease (subject to certain exceptions). While the Company is permitted to exercise its recapture rights all at once or in stages as to any particular property, it is not permitted to recapture all or substantially all of the space subject to the recapture right at more than 50 Wholly Owned Properties during any lease year. In addition, Seritage has the right to recapture any automotive care centers which are free-standing or attached as “appendages” to the properties, all outparcels or outlots and certain portions of the parking areas and common areas. Upon exercise of these recapture rights, the Company will generally incur certain costs and expenses for the separation of the recaptured space from the remaining Sears Holdings space as it reconfigures and rents the recaptured space to third-party tenants. The Company also has the right to recapture 100% of the space occupied by Sears Holdings at each of 21 identified Wholly Owned Properties by making a specified lease termination payment to Sears Holdings, after which the Company can reposition and re-lease those stores. The lease termination payment is calculated as the greater of an amount specified at the time the Company entered into the Master Lease with Sears Holdings and an amount equal to 10 times the adjusted EBITDA attributable to such space within the Sears Holdings main store which is not attributable to the space subject to the separate 50% recapture right discussed above for the 12-month period ending at the end of the fiscal quarter ending immediately prior to recapturing such space. As of March 31, 2017, the Company had exercised recapture rights at 30 properties: Property Recapture Type Notice Date Cockeysville, MD Partial March 2017 North Miami, FL 100% March 2017 Olean, NY Partial March 2017 Carson, CA Partial December 2016 Saugus, MA Partial December 2016 Guaynabo, PR Partial December 2016 Santa Cruz, CA Partial December 2016 Santa Monica, CA 100% December 2016 Roseville, MI Partial November 2016 Troy, MI Partial November 2016 Charleston, SC Partial October 2016 Rehoboth Beach, DE Partial October 2016 St. Petersburg, FL 100% October 2016 Warwick, RI Auto center October 2016 West Hartford, CT 100% October 2016 North Hollywood, CA Partial July 2016 Anderson, SC Partial July 2016 Ft. Wayne, IN Out parcel July 2016 Madison, WI Partial July 2016 Orlando, FL 100% July 2016 West Jordan, UT Partial July 2016 Albany, NY Auto center May 2016 Bowie, MD Auto center May 2016 Fairfax, VA Partial + auto May 2016 Hagerstown, MD Auto center May 2016 Wayne, NJ Partial May 2016 San Antonio, TX Auto center March 2016 Memphis, TN 100% December 2015 Honolulu, HI 100% December 2015 Braintree, MA 100% November 2015 Subsequent to March 31, 2017, the Company submitted notices to recapture space at 7 additional properties: Property Recapture Type Notice Date Aventura, FL 100% April 2017 Valley View, TX 100% April 2017 San Diego, CA 100% (1) April 2017 Carson, CA 100% (1) April 2017 Charleston, SC 100% (1) April 2017 Anderson, SC 100% (1) April 2017 Hialeah, FL 100% (1) April 2017 (1) Reached agreement to convert partial recapture rights to 100% recapture rights. Partial recapture rights had previously been exercised at Carson, CA, Anderson, SC and Charleston, SC. The Master Lease also provides for certain rights to Sears Holdings to terminate the Master Lease with respect to Wholly Owned Properties that cease to be profitable for operation by Sears Holdings. In order to terminate the Master Lease with respect to a certain property, Sears Holdings must make a payment to the Company of an amount equal to one year of rent (together with taxes and other expenses) with respect to such property. Sears Holdings must provide notice of not less than 90 days of their intent to exercise such termination right and such termination right will be limited so that it will not have the effect of reducing the fixed rent under the Master Lease by more than 20% per annum. In January 2017, pursuant to termination notices previously submitted to the Company, Sears Holdings vacated 17 stores totaling 1.7 million square feet of gross leasable area. The aggregate annual base rent at these stores was approximately $6.0 million, or 2.6% of the Company's total annual base rent as of March 31, 2017, including all signed leases. Sears Holdings paid rent until it vacated the stores and also paid a termination fee of approximately $10.0 million, an amount equal to one year of aggregate annual base rent plus one year of estimated real estate taxes and operating expenses. The 17 properties are as follows: Property Square Feet Cullman, AL 98,500 Sierra Vista, AZ 86,100 Thornton, CO 190,200 Chicago, IL 118,800 Springfield, IL 84,200 Elkhart, IN 86,500 Merrillville, IN 108,300 Houma, LA 96,700 New Iberia, LA 91,700 Alpena, MI 118,200 Manistee, MI 87,800 Sault Sainte Marie, MI 92,700 Kearney, NE 86,500 Deming, NM 96,600 Harlingen, TX 91,700 Yakima, WA 97,300 Riverton, WY 94,800 Total square feet 1,726,600 During the three months ended March 31, 2017, Sears Holdings provided notice that it intended to exercise its right to terminate the Master Lease with respect to 19 additional stores totaling 1.9 million square feet of gross leasable area. The aggregate annual base rent at these stores was approximately $5.9 million or 2.6% of the Company's total annual base rent as of March 31, 2017, including all signed leases. Sears Holdings continued to pay Seritage rent until it vacated the stores in April 2017 and also paid Seritage a termination fee of approximately $10.9 million, an amount equal to one year of aggregate annual base rent plus one year of estimated real estate taxes and operating expenses. The 19 properties are as follows: Property Square Feet El Paso, TX 103,657 Paducah, KY 108,244 Henderson, NV 122,823 Jefferson City, MO 92,016 Riverside, CA 94,500 Kissimmee, FL 112,505 Mount Pleasant, PA 83,536 Chapel Hill, OH 187,179 Concord, NC 137,499 Sioux Falls, SD 72,511 Platteville, WI 94,841 Muskogee, OK 87,500 Elkins, WV 94,885 Layton, UT 90,010 Detroit Lakes, MN 79,102 Hopkinsville, KY 70,326 Owensboro, KY 68,334 Leavenworth, KS 76,853 Kenton, OH 96,066 Total square feet 1,872,387

Debt

Debt	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Debt	Note 6 – Debt Mortgage Loans Payable On July 7, 2015, pursuant to the Transaction, the Company entered into a mortgage loan agreement (the “Mortgage Loan Agreement”) and mezzanine loan agreement (collectively, the “Loan Agreements”), providing for term loans in an initial principal amount of approximately $1,161 million (collectively, the “Mortgage Loans”) and a $100 million future funding facility (the “Future Funding Facility”), which the Company expects to be available to finance the redevelopment of properties in its portfolio from time to time, subject to satisfaction of certain conditions. As of March 31, 2017, the total principal amounts outstanding under the Mortgage Loans and the Future Funding Facility were $1,161 million and $27.0 million, respectively, and $73.0 million remained available under the Future Funding Facility for future draws by the Company. Interest under the Mortgage Loans is due and payable on the payment dates, and all outstanding principal amounts are due when the loan matures on the payment date in July 2019, pursuant to the Loan Agreements. The Company has two one-year extension options subject to the payment of an extension fee and satisfaction of certain other conditions. Borrowings under the Mortgage Loans bear interest at the London Interbank Offered Rates (“LIBOR”) plus, as of March 31, 2017, a weighted-average spread of 465 basis points; payments are made monthly on an interest-only basis. The weighted-average interest rates for the Mortgage Loans and Future Funding Facility for the three months ended March 31, 2017 and March 31, 2016 were 5.54% and 5.16%, respectively. The Loan Agreements contain a yield maintenance provision for the early extinguishment of the debt before March 9, 2018. The Mortgage Loans and Future Funding Facility are secured by all of the Company’s Wholly Owned Properties and a pledge of its equity in the JVs. The Loan Agreements contain customary covenants for a real estate financing, including restrictions that limit the Company’s ability to grant liens on its assets, incur additional indebtedness, or transfer or sell assets, as well as those that may require the Company to obtain lender approval for certain major tenant leases or significant redevelopment projects. Such restrictions also include cash flow sweep provisions based upon certain measures of the Company’s and Sears Holdings’ financial and operating performance, including (a) where the “Debt Yield” (the ratio of net operating income for the mortgage borrowers to their debt) is less than 11.0%, (b) if the performance of Sears Holdings at the stores subject to the Master Lease with Sears Holdings fails to meet specified rent ratio thresholds, (c) if the Company fails to meet specified tenant diversification tests and (d) upon the occurrence of a bankruptcy or insolvency action with respect to Sears Holdings or if there is a payment default under the Master Lease with Sears Holdings, in each case, subject to cure rights, including providing specified amounts of cash collateral or satisfying tenant diversification thresholds. In November 2016, the Company and the servicer for our Mortgage Loans entered into amendments to our Loan Agreements to resolve a disagreement regarding one of the cash flow sweep provisions in our Loan Agreements. The principal terms of these amendments are that the Company has (i) posted $30.0 million, and will post $3.3 million on a monthly basis, to a redevelopment project reserve account, which amounts may be used by the Company to fund redevelopment activity and (ii) extended the spread maintenance provision for prepayment of the loan by two months through March 9, 2018 (with the spread maintenance premium for the second month at a reduced amount). As a result of this agreement and the resolution of the related disagreement, no cash flow sweep was imposed. The Company believes it is currently in compliance with all material terms and conditions of the Loan Agreements. All obligations under the Loan Agreements are non-recourse to the borrowers and the pledgors of the JV Interests and the guarantors thereunder, except that (i) the borrowers and the guarantors will be liable, on a joint and several basis, for losses incurred by the lenders in respect of certain matters customary for commercial real estate loans, including misappropriation of funds and certain environmental liabilities and (ii) the indebtedness under the Loan Agreements will be fully recourse to the borrowers and guarantors upon the occurrence of certain events customary for commercial real estate loans, including without limitation prohibited transfers, prohibited voluntary liens, and bankruptcy. Additionally the guarantors delivered a limited completion guaranty with respect to future redevelopments undertaken by the borrowers at the properties, and the Company must maintain (i) a net worth of not less than $1.0 billion and (ii) a minimum liquidity of not less than $50.0 million, throughout the term of the Loan Agreements. The Company incurred $22.3 million of debt issuance costs related to the Mortgage Loans and Future Funding Facility which are recorded as a direct deduction from the carrying amount of the Mortgage Loans and Future Funding Facility and amortized over the term of the Loan Agreements. As of March 31, 2017, the unamortized balance of the Company’s debt issuance costs was $12.9 million as compared to $14.3 million as December 31, 2016. Unsecured Term Loan On February 23, 2017 (the “Closing Date”), the Operating Partnership, as borrower, and the Company Loans under the Unsecured Term Loan (which was undrawn on the Closing Date and as of March 31, 2017) may be requested by the Operating Partnership at any time from the Closing Date until thirty days prior to the stated maturity date, upon five business days prior notice to the Administrative Agent. The total commitments of the lenders under the Unsecured Term Loan is $200.0 million, provided that the maximum draw amount under the Unsecured Term Loan through April 30, 2017 was $100.0 million, which amount increased to $150.0 million on May 1, 2017 and increases to $200.0 million on September 1, 2017 so long as no cash flow sweep period is then in effect and continuing as of such date under the Company’s Mortgage Loan Agreement. Amounts drawn under the Unsecured Term Loan and repaid may not be redrawn. The Unsecured Term Loan will mature the earlier of (i) December 31, 2017 and (ii) the date on which the outstanding indebtedness under the Loan Agreements are repaid or refinanced in full. The Unsecured Term Loan may be prepaid at any time in whole or in part, without any penalty or premium. The principal amount of loans outstanding under the Unsecured Term Loan will bear a base annual interest rate of 6.50%. If a cash flow sweep period were to occur and be continuing under the Company’s Mortgage Loan Agreement (i) the interest rate on any outstanding advances would increase from and after such date by 1.5% per annum above the base interest rate and (ii) the interest rate on any advances made after such date would increase by 3.5% per annum above the base interest rate. Accrued and unpaid interest will be payable in cash, except that during the continuance of a cash flow sweep period under the existing mortgage loan agreement, the Operating Partnership may defer the payment of interest which deferred amount would be added to the outstanding principal balance of the loans. On the Closing Date, the Operating Partnership paid to the Initial Lenders an upfront commitment fee equal to $1.0 million. The Operating Partnership will also be required to pay an additional commitment fee of $1.0 million on the date that is ninety days after the Closing Date unless prior thereto (i) at least 33.3% of the principal amount of the Facility has been syndicated to lenders who are not affiliates of the Initial Lenders or (ii) the Unsecured Term Loan has been paid in full and the commitments have been terminated. The Unsecured Term Loan documentation requires that the Company at all times maintain (i) a net worth of not less than $1.0 billion, and (ii) a leverage ratio not to exceed 60.0%. The Unsecured Term Loan includes customary representations and warranties, covenants and indemnities. The Unsecured Term Loan also has customary events of default, including (subject to certain materiality thresholds and grace periods) payment default, failure to comply with covenants, material inaccuracy of representation or warranty, and bankruptcy or insolvency proceedings. If there is an event of default, the Lenders may declare all or any portion of the outstanding indebtedness to be immediately due and payable, exercise any rights they might have under any of the Unsecured Term Loan documents, and require the Operating Partnership to pay a default interest rate on overdue amounts equal to 1.50% in excess of the applicable base interest rate. Mr. Edward S. Lampert, the Company’s Chairman, is the Chairman and Chief Executive Officer of ESL, which controls JPP, LLC and JPP II, LLC. The terms of the Unsecured Term Loan were approved by the Company’s Audit Committee and the Company’s Board of Trustees (with Mr. Edward S. Lampert recusing himself).

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2017
Income Tax Disclosure [Abstract]
Income Taxes	Note 7 – Income Taxes The Company has elected to be taxed as a REIT as defined under Section 856(c) of the Code for federal income tax purposes and expects to continue to operate to qualify as a REIT. To qualify as a REIT, the Company must meet a number of organizational and operational requirements, including a requirement to currently distribute at least 90% of its adjusted REIT taxable income to its shareholders. As a REIT, the Company generally will not be subject to federal income tax on taxable income that is distributed to its shareholders. If the Company fails to qualify as a REIT or does not distribute 100% of its taxable income in any taxable year, it will be subject to federal taxes at regular corporate rates (including any applicable alternative minimum tax) and may not be able to qualify as a REIT for four subsequent taxable years. Even if the Company qualifies for taxation as a REIT, the Company is subject to certain state, local and Puerto Rico taxes on its income and property, and to federal income and excise taxes on its undistributed taxable income.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 8 – Fair Value Measurements ASC 820, Fair Value Measurement Level 1 - quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities Level 2 - observable prices based on inputs not quoted in active markets, but corroborated by market data Level 3 - unobservable inputs used when little or no market data is available The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company also considers counterparty credit risk in its assessment of fair value. Financial Assets and Liabilities Measured at Fair Value on a Recurring or Non-Recurring Basis All derivative instruments are carried at fair value and are valued using Level 2 input. The Company’s derivative instruments as of March 31, 2017 and December 31, 2016 consisted of a single interest rate cap. The Company utilizes an independent third party and interest rate market pricing models to assist management in determining the fair value of this instrument. The fair value of the Company’s interest rate cap at March 31, 2017 and December 31, 2016 was approximately $0.3 million and $0.7 million, respectively, and is included as a component of prepaid expenses, deferred expenses and other assets on the condensed consolidated balance sheets. The Company has elected not to utilize hedge accounting, and therefore, the change in fair value is included within change in fair value of interest rate cap on the condensed consolidated statements of operations. For the three months ended March 31, 2017 and March 31 2016, the Company recorded losses of $0.5 million and $1.4 million, respectively, related to the change in fair value of the interest rate cap. Financial Assets and Liabilities not Measured at Fair Value Financial assets and liabilities that are not measured at fair value on the condensed consolidated balance sheets include cash equivalents and mortgages payable. The fair value of cash equivalents is classified as Level 1 and the fair value of mortgages payable is classified as Level 2. Cash equivalents are carried at cost, which approximates fair value. The fair value of mortgages payable is calculated by discounting the future contractual cash flows of these instruments using current risk-adjusted rates available to borrowers with similar credit ratings. As of March 31, 2017 and December 31, 2016, the estimated fair value of the Company’s debt was $1.2 billion, which approximated the carrying value at such date as the current risk-adjusted rate approximates the stated rates on the Company’s mortgages.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 9 – Commitments and Contingencies Insurance The Company maintains general liability insurance and all-risk property and rental value, with sub-limits for certain perils such as floods and earthquakes on each of the Company’s properties. The Company also maintains coverage for terrorism acts as defined by Terrorism Risk Insurance Program Reauthorization Act, which expires in December 2020. Insurance premiums are charged directly to each of the retail properties. The Company will be responsible for deductibles and losses in excess of insurance coverage, which could be material. The Company continues to monitor the state of the insurance market and the scope and costs of coverage for acts of terrorism. However, the Company cannot anticipate what coverage will be available on commercially reasonable terms in the future. Environmental Matters Under various federal, state and local laws, ordinances and regulations, the Company may be considered an owner or operator of real property or may have arranged for the disposal or treatment of hazardous or toxic substances. As a result, the Company may be liable for certain costs, including removal, remediation, government fines, and injuries to persons and property. The Company does not believe that any resulting liability from such matters will have a material effect on the condensed consolidated financial position, results of operations, or liquidity of the Company. Under the Master Lease, Sears Holdings has indemnified the Company from certain environmental liabilities at the Wholly Owned Properties existing before, or caused by Sears Holdings during, the period in which each Wholly Owned Property is leased to Sears Holdings, including removal and remediation of all affected facilities and equipment constituting the automotive care center facilities (and each JV Master Lease includes a similar requirement of Sears Holdings). As of March 31, 2017 and December 31, 2016, the Company had approximately $11.4 million and $11.8 million, respectively, of restricted cash in a lender reserve account to fund potential environmental costs that were identified during due diligence related to the Transaction. Litigation and Other Matters In accordance with accounting standards regarding loss contingencies, the Company accrues an undiscounted liability for those contingencies where the incurrence of a loss is probable and the amount can be reasonably estimated, and the Company discloses the amount accrued and the amount of a reasonably possible loss in excess of the amount accrued or disclose the fact that such a range of loss cannot be estimated. The Company does not record liabilities when the likelihood that the liability has been incurred is probable but the amount cannot be reasonably estimated, or when the liability is believed to be only reasonably possible or remote. In such cases, the Company discloses the nature of the contingency, and an estimate of the possible loss, range of loss, or disclose the fact that an estimate cannot be made. The Company is subject, from time to time, to various legal proceedings and claims that arise in the ordinary course of business. While the resolution of such matters cannot be predicted with certainty, management believes, based on currently available information, that the final outcome of such matters will not have a material effect on the condensed consolidated financial position, results of operations, cash flows or liquidity of the Company. In May and June of 2015, four purported Sears Holdings shareholders filed lawsuits in the Delaware Court of Chancery challenging the Transaction, which lawsuits have since been consolidated into a single action captioned In re Sears Holdings Corporation Stockholder and Derivative Litigation

Related Party Disclosure

Related Party Disclosure	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Disclosure	Note 10 – Related Party Disclosure Edward S. Lampert Edward S. Lampert is Chairman and Chief Executive Officer of Sears Holdings and is the Chairman and Chief Executive Officer of ESL. Mr. Lampert beneficially owned approximately 53.8% of Sears Holdings’ outstanding common stock at March 31, 2017. Mr. Lampert is also the Chairman of Seritage. As of March 31, 2017, Mr. Lampert beneficially owned a 39.3% interest in the Operating Partnership and approximately 3.7% and 100% of the outstanding Class A common shares and Class B non-economic common shares, respectively. Unsecured Term Loan On February 23, 2017, the Operating Partnership, as borrower, and the Company Edward S. Lampert, the Company’s Chairman, is the Chairman and Chief Executive Officer of ESL, which controls JPP, LLC and JPP II, LLC. The terms of the unsecured delayed draw term loan facility were approved by the Company’s Audit Committee and the Company’s Board of Trustees (with Mr. Edward S. Lampert recusing himself). Transition Services Agreement On July 7, 2015, the Operating Partnership and Sears Holdings Management Corporation (“SHMC”), a wholly owned subsidiary of Sears Holdings, entered into a transition services agreement (the “Transition Services Agreement” or “TSA”). Pursuant to the TSA, SHMC was to provide certain limited services to the Operating Partnership during the period from the closing of the Transaction through the 18-month anniversary of the closing. On January 7, 2017, the TSA expired by its terms. During the three months ended March 31, 2017 the Company did not incur any fees under the TSA. During the three months ended March 31, 2016, the Company incurred fees of approximately $0.1 million for certain accounting and tax services provided in support of the Company’s 2015 yearend activities. These fees are included in general and administrative expenses on the condensed consolidated statements of operations.

Non-Controlling Interests

Non-Controlling Interests	3 Months Ended
	Mar. 31, 2017
Noncontrolling Interest [Abstract]
Non-Controlling Interests	Note 11 – Non-Controlling Interests Partnership Agreement On July 7, 2015, Seritage and ESL entered into the agreement of limited partnership of the Operating Partnership (the “Partnership Agreement”). Pursuant to the Partnership Agreement, as the sole general partner of the Operating Partnership, Seritage exercises exclusive and complete responsibility and discretion in its day-to-day management, authority to make decisions, and control of the Operating Partnership, and may not be removed as general partner by the limited partners. During the three months ended March 31, 2017, 2,267,821 Operating Partnership units were converted to Class A common shares. As of March 31, 2017, the Company held a 60.7% interest in the Operating Partnership and ESL held a 39.3% interest. The portions of consolidated entities not owned by the Company are presented as non-controlling interest as of and during the periods presented. Subsequent to the three months ended March 31, 2017, 76,768 Operating Partnership units were converted to Class A common shares.

Shareholders' Equity

Shareholders' Equity	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Shareholders' Equity	Note 12 – Shareholders’ Equity Class A Common Shares During the three months ended March 31, 2017, 2,267,821 Operating Partnership units were converted to Class A common shares and 24,200 net Class A common shares were converted to Class C non-voting common shares. As of March 31, 2017, 28,090,710 Class A common shares were issued and outstanding. Subsequent to the three months ended March 31, 2017, 76,768 Operating Partnership units were converted to Class A common shares and 6,050 net Class C non-voting common shares were converted to Class A common shares. Class B Non-Economic Common Shares During the three months ended March 31, 2017, 149,053 Class B non-economic common shares were surrendered to the Company. As of March 31, 2017, 1,439,967 Class B non-economic common shares were issued and outstanding. The Class B non-economic common shares have voting rights, but do not have economic rights and, as such, do not receive dividends and are not included in earnings per share computations. Subsequent to the three months ended March 31, 2017, 5,045 Class B non-economic common shares were surrendered to the Company. Class C Non-Voting Common Shares During the three months ended March 31, 2017, 24,200 net Class A common shares were converted to Class C non-voting common shares. As of March 31, 2017, 5,778,885 Class C non-voting common shares were issued and outstanding. The Class C non-voting common shares have economic rights, but do not have voting rights. Upon any transfer of a Class C non-voting common share to any person other than an affiliate of the holder of such share, such share shall automatically convert into one Class A common share. Subsequent to the three months ended March 31, 2017, 6,050, net Class C non-voting common shares were converted to Class A common shares. Dividends and Distributions The Company’s Board of Trustees declared the following common stock dividends during 2017 and 2016, with holders of Operating Partnership units entitled to an equal distribution per Operating Partnership unit held on the record date: Dividends per Class A and Class C Declaration Date Record Date Payment Date Common Share 2017 April 25 June 30 July 13 $ 0.25 February 28 March 31 April 13 0.25 2016 November 1 December 31 January 12 $ 0.25 August 2 September 30 October 13 0.25 May 3 June 30 July 14 0.25 March 8 March 31 April 14 0.25

Earnings per Share

Earnings per Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Earnings per Share	Note 13 – Earnings per Share The table below provides a reconciliation of net loss and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares. Potentially dilutive securities consist of shares of non-vested restricted stock and the redeemable non-controlling interests in the Operating Partnership. All outstanding non-vested shares that contain non-forfeitable rights to dividends are considered participating securities and are included in computing EPS pursuant to the two-class method which specifies that all outstanding non-vested share-based payment awards that contain non-forfeitable rights to distributions are considered participating securities and should be included in the computation of EPS. Earnings per share has not been presented for Class B shareholders, as they do not have economic rights. (in thousands except per share amounts) Three Months Ended March 31, 2017 March 31, 2016 Numerator - Basic and Diluted Net loss $ (32,844 ) $ (14,714 ) Net loss attributable to non-controlling interests 13,006 6,379 Net loss attributable to common shareholders $ (19,838 ) $ (8,335 ) Denominator - Basic and Diluted Weighted average Class A common shares outstanding 27,748 24,947 Weighted average Class C common shares outstanding 5,762 6,444 Weighted average Class A and Class C common shares outstanding 33,510 31,391 Net loss per share attributable to Class A and Class C common shareholders $ (0.59 ) $ (0.27 ) No adjustments were made to the numerator for the three months ended March 31, 2017 or March 31, 2016 because the Company generated a net loss. During periods of net loss, undistributed losses are not allocated to the participating securities as they are not required to absorb losses. No adjustments were made to the denominator for the three months ended March 31, 2017 or March 31, 2016 because (i) the inclusion of outstanding non-vested restricted shares would have had an anti-dilutive effect and (ii) including the non-controlling interest in the Operating Partnership would also require that the share of the Operating Partnership loss attributable to such interests be added back to net loss, therefore, resulting in no effect on earnings per share. As of March 31, 2017 and December 31, 2016, there were 275,041 and 216,348 shares, respectively, of non-vested restricted shares and share units outstanding.

Stock Based Compensation

Stock Based Compensation	3 Months Ended
	Mar. 31, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock Based Compensation	Note 14 – Stock Based Compensation On July 7, 2015, the Company adopted the Seritage Growth Properties 2015 Share Plan (the “Plan”). The number of shares of common stock reserved for issuance under the Plan is 3,250,000. The Plan provides for grants of restricted shares, share units, other share-based awards, options, and share appreciation rights, each as defined in the Plan (collectively, the "Awards"). Directors, officers, other employees, and consultants of the Company and its subsidiaries and affiliates are eligible for Awards. Restricted Shares and Share Units Pursuant to the Plan, the Company made grants of restricted shares or share units during the three months ended March 31, 2017 and March 31, 2016, as well as the period from July 7, 2015 (Date Operations Commenced) through December 31, 2015. The vesting terms of these grants are specific to the individual grant and vary in that a portion of the restricted shares and share units vest in equal annual amounts over the next three years (time-based vesting) and a portion of the restricted shares and share units vest on the third anniversary of the grants subject to the achievement of certain performance criteria (performance-based vesting). As of March 31, 2017, the performance criteria have not been met for any outstanding restricted shares or share units with performance-based vesting. In general, participating employees are required to remain employed for vesting to occur (subject to certain limited exceptions). Restricted shares and share units that do not vest are forfeited. Dividends on restricted shares and share units with time-based vesting are paid to holders of such shares and share units and are not returnable, even if the underlying shares or share units do not ultimately vest. Dividends on restricted shares and share units with performance-based vesting are accrued when declared and paid to holders of such shares on the third anniversary of the initial grant subject to the vesting of the underlying shares. The following table summarizes restricted share activity for the three months ended March 31, 2017: Three Months Ended March 31, 2017 Weighted- Average Grant Shares Date Fair Value Unvested restricted shares at beginning of period 216,348 $ 38.98 Restricted shares granted 62,578 45.23 Restricted shares vested (3,885 ) 46.48 Unvested restricted shares at end of period 275,041 $ 40.29 The Company recognized $0.4 million and $0.3 million in compensation expense related to the restricted shares for the three months ended March 31, 2017 and March 31, 2016, respectively.

Accounts Payable, Accrued Expen

Accounts Payable, Accrued Expenses and Other Liabilities	3 Months Ended
	Mar. 31, 2017
Payables And Accruals [Abstract]
Accounts Payable, Accrued Expenses and Other Liabilities	Note 15 – Accounts Payable, Accrued Expenses and Other Liabilities The following table summarizes the significant components of accounts payable, accrued expenses and other liabilities as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 December 31, 2016 Accrued real estate taxes $ 24,774 $ 23,942 Accounts payable and accrued expenses 21,756 26,463 Litigation charge 19,000 19,000 Below-market leases 16,296 16,827 Dividends payable 14,348 14,132 Prepaid rental income 14,168 1,979 Environmental reserve 11,584 11,584 Deferred maintenance 4,074 4,124 Accrued interest 3,139 3,004 Total accounts payable, accrued expenses and other liabilities $ 129,139 $ 121,055

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K, as amended, (the “Annual Report”), for the year ended December 31, 2016. Certain footnote disclosures which would substantially duplicate those contained in our Annual Report have been condensed or omitted from this quarterly report. In the opinion of management, all adjustments necessary for a fair presentation (which include only normal recurring adjustments) have been included in this quarterly report. Capitalized terms used, but not defined in this quarterly report, have the same meanings as set forth in our Annual Report. The accompanying condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). The condensed consolidated financial statements include the accounts of the Company, the Operating Partnership, each of their wholly-owned subsidiaries, and all other entities in which they have a controlling financial interest or entities that meet the definition of a variable interest entity (“VIE”) in which the Company has, as a result of ownership, contractual interests or other financial interests, both the power to direct activities that most significantly impact the economic performance of the VIE and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. All intercompany accounts and transactions have been eliminated. If the Company has an interest in a VIE but it is not determined to be the primary beneficiary, the Company accounts for its interest under the equity method of accounting. Similarly, for those entities which are not VIEs and over which the Company has the ability to exercise significant influence, but does not have a controlling financial interest, the Company accounts for its interests under the equity method of accounting. The Company continually reconsiders its determination of whether an entity is a VIE and whether the Company qualifies as its primary beneficiary. To the extent such variable interests are in entities that cannot be evaluated under the VIE model, the Company evaluates its interests using the voting interest entity model. The Company holds a 60.7% interest in the Operating Partnership and is the sole general partner which gives the Company exclusive and complete responsibility for the day-to-day management, authority to make decisions, and control of the Operating Partnership. Through consideration of new consolidation guidance effective for the Company as of January 1, 2016, it has been concluded that the Operating Partnership is a VIE as the limited partners in the Operating Partnership, although entitled to vote on certain matters, do not possess kick-out rights or substantive participating rights. Accordingly, the Company consolidates its interest in the Operating Partnership. However, as the Company holds what is deemed a majority voting interest in the Operating Partnership, it qualifies for the exemption from providing certain of the disclosure requirements associated with investments in VIEs. The portions of consolidated entities not owned by the Company and the Operating Partnership are presented as non-controlling interests as of and during the periods presented.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. The most significant assumptions and estimates relate to fair values of acquired assets and liabilities assumed for purposes of applying the acquisition method of accounting, the useful lives of tangible and intangible assets, real estate impairment assessments, and assessing the recoverability of accounts receivables. These estimates are based on historical experience and other assumptions which management believes are reasonable under the circumstances. Management evaluates its estimates on an ongoing basis and makes revisions to these estimates and related disclosures as experience develops or new information becomes known. Actual results could differ from these estimates.
Segment Reporting	Segment Reporting The Company currently operates in a single reportable segment which includes the acquisition, ownership, development, redevelopment, management, and leasing of retail properties. The Company’s chief operating decision maker, its Chief Executive Officer, assesses and measures the operating and financial results for each property on an individual basis and does not distinguish or group properties based on geography, size, or type. The Company, therefore, aggregates all properties into one reportable segment due to their similarities with regard to the nature and economics of the properties, tenants, and operations.
Accounting for Real Estate Acquisitions	Accounting for Real Estate Acquisitions Upon the acquisition of real estate, the Company assesses the fair value of acquired assets and liabilities assumed, including land, buildings, improvements and identified intangibles such as above-market and below-market leases, in-place leases and other items, as applicable, and allocates the purchase price based on these assessments. In making estimates of fair values, the Company may use a number of sources, including data provided by third parties, as well as information obtained by the Company as a result of its due diligence, including expected future cash flows of the property and various characteristics of the markets where the property is located. The fair values of tangible assets are determined on an "if vacant" basis. The "if vacant" fair value allocated to land is generally estimated via a market or sales comparison approach with the subject site being compared to similar properties that have sold or are currently listed for sale. The comparable properties are adjusted for dissimilar characteristics such as market conditions, location, access/frontage, size, shape/topography, or intended use, including the impact of any encumbrances on such use. The "if vacant" value allocated to buildings and site improvements is generally estimated using an income approach and a cost approach that utilizes published guidelines for current replacement cost or actual construction costs for similar, recently developed properties. Assumptions used in the income approach include capitalization and discount rates, lease-up time, market rents, make-ready costs, land value, and site improvement value. The estimated fair value of in-place tenant leases includes lease origination costs (the costs the Company would have incurred to lease the property to the current occupancy level) and the lost revenues during the period necessary to lease-up from vacant to the current occupancy level. Such estimates include the fair value of leasing commissions, legal costs and tenant coordination costs that would be incurred to lease the property to this occupancy level. Additionally, the Company evaluates the time period over which such occupancy level would be achieved and includes an estimate of the net operating costs (primarily real estate taxes, insurance and utilities) incurred during the lease-up period, which generally ranges up to one year. The fair value of acquired in-place tenant leases is included in lease intangible assets on the condensed consolidated balance sheets and amortized over the remaining lease term for each tenant. Identifiable intangible assets and liabilities are calculated for above-market and below-market tenant and ground leases where the Company is either the lessor or the lessee. The difference between the contractual rental rates and the Company’s estimate of market rental rates is measured over a period equal to the remaining non-cancelable term of the leases, including significantly below-market renewal options for which exercise of the renewal option appears to be reasonably assured. Above-market tenant leases and below-market ground leases are included in lease intangible assets on the condensed consolidated balance sheets; below-market tenant leases and above-market ground leases are included in accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets. The values assigned to above-market and below-market tenant leases are amortized as reductions and increases, respectively, to base rental revenue over the remaining term of the respective leases. The values assigned to below-market and above-market ground leases are amortized as increases and reductions, respectively, to property operating expenses over the remaining term of the respective leases. The Company expenses transaction costs associated with business combinations in the period incurred; these costs are included in acquisition-related expenses within the condensed consolidated statements of operations. The Company capitalizes transaction costs associated with asset acquisitions; these costs are allocated to the fair values of the net assets acquired, included within the condensed consolidated balance sheets and depreciated or amortized over the remaining life or term of the acquired assets.
Real Estate Investments	Real Estate Investments Real estate assets are recorded at cost, less accumulated depreciation and amortization. Expenditures for ordinary repairs and maintenance will be expensed as incurred. Significant renovations which improve the property or extend the useful life of the assets are capitalized. As real estate is undergoing redevelopment activities, all amounts directly associated with and attributable to the project, including planning, development and construction costs, interest costs, personnel costs of employees directly involved and other miscellaneous costs incurred during the period of redevelopment, are capitalized. The capitalization period begins when redevelopment activities are underway and ends when the project is substantially complete. Depreciation of real estate assets, excluding land, is recognized on a straight-line basis over their estimated useful lives as follows: Building: 25 – 40 years Site improvements: 5 – 15 years Tenant improvements: shorter of the estimated useful life or non-cancelable term of lease The Company amortizes identified intangibles that have finite lives over the period they are expected to contribute directly or indirectly to the future cash flows of the property or business acquired, generally the remaining non-cancelable term of a related lease. On a periodic basis, management assesses whether there are indicators that the value of the Company’s real estate assets (including any related intangible assets or liabilities) may be impaired. If an indicator is identified, a real estate asset is considered impaired only if management’s estimate of current and projected operating cash flows (undiscounted and unleveraged), taking into account the anticipated and probability weighted holding period, are less than a real estate asset’s carrying value. Various factors are considered in the estimation process, including expected future operating income, trends and prospects and the effects of demand, competition, and other economic factors. If management determines that the carrying value of a real estate asset is impaired, a loss will be recorded for the excess of its carrying amount over its estimated fair value. No such impairment losses were recognized for the three months ended March 31, 2017 or March 31, 2016.
Investments in Unconsolidated Joint Ventures	Investments in Unconsolidated Joint Ventures The Company accounts for its investments in unconsolidated joint ventures using the equity method of accounting as the Company exercises significant influence, but does not control these entities. These investments are initially recorded at cost and are subsequently adjusted for cash contributions, cash distributions, and earnings which are recognized in accordance with the terms of the applicable agreement. On a periodic basis, management assesses whether there are indicators, including the operating performance of the underlying real estate and general market conditions, that the value of the Company’s investments in unconsolidated joint ventures may be impaired. An investment’s value is impaired only if management’s estimate of the fair value of the Company’s investment is less than its carrying value and such difference is deemed to be other-than-temporary. To the extent impairment has occurred, the loss is measured as the excess of the carrying amount of the investment over its estimated fair value. No such impairment losses were recognized for the three months ended March 31, 2017 or March 31, 2016.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers instruments with an original maturity of three months or less to be cash and cash equivalents. Cash and cash equivalents balances may, at a limited number of banks and financial institutions, exceed insurable amounts. The Company believes it mitigates this risk by investing in or through major financial institutions and primarily in funds that are insured by the United States federal government.
Restricted Cash	Restricted Cash Restricted cash represents cash deposited in escrow accounts which generally can only be used for the payment of real estate taxes, debt service, insurance, and future capital expenditures as required by certain loan and lease agreements, as well as legally restricted tenant security deposits. As of March 31, 2017, the Company had approximately $113.9 million of restricted cash, including $82.8 million reserved for redevelopment costs, tenant allowances and leasing commissions, deferred maintenance, environmental remediation and other capital expenditures, $16.5 million reserved for basic property carrying costs such as real estate taxes, insurance and ground rent, and $14.6 million of other restricted cash which consisted primarily of prepaid rental income.
Tenant and Other Receivables	Tenant and Other Receivables Accounts receivable includes unpaid amounts billed to tenants, accrued revenues for future billings to tenants for property expenses, and amounts arising from the straight-lining of rent. The Company periodically reviews its receivables for collectability, taking into consideration changes in factors such as the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates, and economic conditions in the area where the property is located. In the event that the collectability of a receivable with respect to any tenant is in doubt, a provision for uncollectible amounts will be established or a direct write-off of the specific rent receivable will be made. For accrued rental revenues related to the straight-line method of reporting rental revenue, the Company performs a periodic review of receivable balances to assess the risk of uncollectible amounts and establish appropriate provisions.
Revenue Recognition	Revenue Recognition Rental income is recognized on a straight-line basis over the non-cancelable terms of the related leases. For leases that have fixed and measurable rent escalations, the difference between such rental income earned and the cash rent due under the provisions of the lease is recorded as deferred rent receivable and included as a component of tenant and other receivables on the condensed consolidated balance sheets. In leasing tenant space, the Company may provide funding to the lessee through a tenant allowance. In accounting for a tenant allowance, the Company will determine whether the allowance represents funding for the construction of leasehold improvements and evaluate the ownership of such improvements. If the Company is considered the owner of the improvements for accounting purposes, the Company will capitalize the amount of the tenant allowance and depreciate it over the shorter of the useful life of the improvements or the related lease term. If the tenant allowance represents a payment for a purpose other than funding leasehold improvements, or in the event the Company is not considered the owner of the improvements for accounting purposes, the allowance is considered to be a lease incentive and is recognized over the lease term as reduction of rental revenue on a straight-line basis. The Company commences recognizing revenue based on an evaluation of a number of factors. In most cases, revenue recognition under a lease begins when the lessee takes possession of or controls the physical use of the leased asset. Generally, this occurs on the lease commencement date. Tenant reimbursement income arises from tenant leases which provide for the recovery of all or a portion of the operating expenses and real estate taxes of the respective property. This revenue is accrued in the same periods as the expenses are incurred.
Accounting for Recapture and Termination Activity Pursuant to the Master Lease	Accounting for Recapture and Termination Activity Pursuant to the Master Lease Seritage 100% Recapture Rights. The Company generally treats the delivery of a 100% recapture notice as a modification of the Master Lease as of the date of notice. Such a notice and lease modification result in the following accounting adjustments for the recaptured property: − Accrued rental revenues related to the straight-line method of reporting rental revenue that are deemed uncollectable as result of the lease modification are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. − Intangible lease assets and liabilities that are deemed to be impacted by the lease modification are amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. A 100% recapture will generally occur in conjunction with obtaining a new tenant or a real estate development project. As such, termination fees, if any, associated with the 100% recapture notice are generally capitalized as either an initial direct cost of obtaining a new lease or a necessary cost of the real estate project and depreciated over the life of the new lease obtained or the real estate asset being constructed or improved. Seritage 50% Recapture Rights. The Company generally treats the delivery of a 50% recapture notice as a modification of the Master Lease as of the date of notice. Such a notice and lease modification result in the following accounting adjustments for the recaptured property: − The portion of accrued rental revenues related to the straight-line method of reporting rental revenue that are subject to the lease modification are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. The portion of accrued rental revenues related to the straight-line method of reporting rental revenue that is attributable to the retained space is amortized over the remaining life of the Master Lease. − The portion of intangible lease assets and liabilities that is deemed to be impacted by the lease modification is amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. The portion of intangible lease assets and liabilities that is attributable to the retained space is amortized over the remaining useful life of the asset or liability. Sears Holdings Termination Rights. The Master Lease provides Sears Holdings with certain rights to terminate the Master Lease with respect to properties that cease to be profitable for operation by Sears Holdings. Such a termination would generally result in the following accounting adjustments for the terminated property: − Accrued rental revenues related to the straight-line method of reporting rental revenue that are subject to the termination are amortized over the remaining shortened life of the lease from the date of notice to the date of vacancy. − Intangible lease assets and liabilities that are deemed to be impacted by the termination are amortized over the shorter of the shortened lease term from the date of notice to the date of vacancy or the remaining useful life of the asset or liability. − Termination fees required to be paid by Sears Holdings are recognized as follows: • For the portion of the termination fee attributable to the annual base rent of the subject property, termination income is recognized on a straight-line basis over the shortened life of the lease from the date the termination fee becomes legally binding to the date of vacancy. • For the portion of the termination fee attributable to estimated real estate taxes and property operating expenses for the subject property, prepaid rental income is recorded in the period such fee is received and recognized as tenant reimbursement revenue in the same periods as the expenses are incurred.
Derivatives	Derivatives The Company’s use of derivative instruments is limited to the management of interest rate exposure and not for speculative purposes. In connection with the issuance of the Company’s Mortgage Loans and Future Funding Facility, the Company purchased for $5.0 million an interest rate cap with a term of four years, a notional amount of $1,261 million and a strike rate of 3.5%. The interest rate cap is measured at fair value and included as a component of prepaid expenses, deferred expenses and other assets on the condensed consolidated balance sheets. The Company has elected not to utilize hedge accounting, and therefore, the change in fair value is included within change in fair value of interest rate cap on the condensed consolidated statements of operations. For the three months ended March 31, 2017, the Company recorded a loss of $471 thousand related to the change in fair value of the interest rate cap compared to a loss of $1.4 million for the three months ended March 31, 2016.
Stock-Based Compensation	Stock-Based Compensation The Company generally recognizes equity awards to employees as compensation expense and includes such expense within general and administrative expenses on the condensed consolidated statements of operations. Compensation expense for equity awards is generally based on the fair value of the common shares at the date of the grant and is recognized (i) ratably over the vesting period for awards with time-based vesting and (ii) for awards with performance-based vesting, at the date the achievement of performance criteria is deemed probable, an amount equal to that which would have been recognized ratably from the date of the grant through the date the achievement of performance criteria is deemed probable, and then ratably from the date the achievement of performance criteria is deemed probable through the remainder of the vesting period.
Concentration of Credit Risk	Concentration of Credit Risk Concentrations of credit risk arise when a number of operators, tenants, or obligors related to the Company's investments are engaged in similar business activities, or activities in the same geographic region, or have similar economic features that would cause their ability to meet contractual obligations, including those to the Company, to be similarly affected by changes in economic conditions. As of March 31, 2017, a majority of the Company's real estate properties were leased to Sears Holdings, and the majority of Company’s rental revenues were derived from the Master Lease (see Note 5). Until the Company further diversifies the tenancy of its portfolio, an event that has a material adverse effect on Sears Holdings’ business, financial condition or results of operations could have a material adverse effect on the Company’s business, financial condition or results of operations. Sears Holdings is a publicly traded company that is subject to the informational filing requirements of the Securities Exchange Act of 1934, as amended, and is required to file periodic reports on Form 10-K and Form 10-Q with the SEC. Refer to www.sec.gov for Sears Holdings publicly-available financial information. Other than the Company's tenant concentration, management believes the Company's portfolio was reasonably diversified by geographical location and did not contain any other significant concentrations of credit risk. As of March 31, 2017, the Company's portfolio of 235 Wholly Owned Properties was diversified by location across 49 states and Puerto Rico.
Earnings per Share	Earnings per Share The Company has three classes of common stock. The rights, including the liquidation and dividend rights, of the holders of the Company’s Class A common shares and Class C non-voting common shares are identical, except with respect to voting. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. The net earnings (loss) per share amounts are the same for Class A and Class C common shares because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. Class B non-economic common shares are excluded from earnings per share computations as they do not have economic rights. All outstanding non-vested shares that contain non-forfeitable rights to dividends are considered participating securities and are included in computing earnings per share pursuant to the two-class method which specifies that all outstanding non-vested share-based payment awards that contain non-forfeitable rights to distributions are considered participating securities and should be included in the computation of earnings per share.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In February 2017, the Financial Accounting Standards Boards (“FASB”) issued Accounting Standards Update (“ASU”) 2017-05, “Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets” to provide guidance for recognizing gains and losses from the transfer of nonfinancial assets. The standard requires a company to derecognize nonfinancial assets once it transfers control of a distinct nonfinancial asset or distinct in substance nonfinancial assets to noncustomers. Additionally, when a company transfers its controlling interest in a nonfinancial asset, but retains a non-controlling ownership interest, the company is required to measure any non-controlling interest it receives or retains at fair value. ASU 2017-15 is effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within that reporting period. The effective date of this guidance coincides with revenue recognition guidance. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. In January 2017, the FASB issued ASU 2017-01 which changes the definition of a business to exclude acquisitions where substantially all of the fair value of the assets acquired are concentrated in a single identifiable asset or a group of similar identifiable assets. While there are various differences between the accounting for an asset acquisition and a business combination, the Company expects that the largest impact will be the capitalization of transaction costs for asset acquisitions which are expensed for business combinations. ASU 2017-01 is effective, on a prospective basis, for interim and annual periods beginning after January 1, 2019; early adoption is permitted. The Company has chosen to early adopt ASU 2017-01 during the current period on a prospective basis and it did not have an impact on the condensed consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, "Statement of Cash Flows - Restricted Cash." ASU 2016-18 requires that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or cash equivalents. Therefore, amounts generally described as restricted cash and equivalents should be included with cash and cash equivalents when reconciling the beginning and end of period total amounts on the statement of cash flows. ASU 2016-18 is effective, on a retroactive basis, for interim and annual periods beginning after December 15, 2017; early adoption is permitted. The Company early adopted this guidance on March 31, 2017, which changes our statements of cash flows and related disclosure for all periods presented and accordingly, the following is a summary of our cash, cash equivalents, and restricted cash total as presented in our statements of cash flows for the three months ended March 31, 2017 and March 31, 2016 (in thousands): Three Months Ended March 31, 2017 March 31, 2016 Cash and cash equivalents $ 26,542 $ 56,425 Restricted cash 113,875 89,183 Total cash, cash equivalents, and restricted cash shown in the statement of cash flows $ 140,417 $ 145,608 In August 2016, the FASB issued ASU 2016-15, "Classification of Certain Cash Receipts and Cash Payments." ASU 2016-15 provides classification guidance for eight specific topics including debt extinguishment costs, contingent consideration payments made after a business combination, and distributions received from equity method investees. ASU 2016-18 is effective, on a prospective basis, for interim and annual periods beginning after December 15, 2017; early adoption is permitted. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. On February 25, 2016, the FASB issued Accounting Standards Codification (“ASC”) 842 (“ASC 842”), “Leases” which replaces the existing guidance in ASC 840, Leases. ASC 842 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. ASC 842 requires a dual approach for lessee accounting under which a lessee would account for leases as finance leases or operating leases. Both finance leases and operating leases will result in the lessee recognizing a right-of-use (ROU) asset and a corresponding lease liability. For finance leases, the lessee would recognize interest expense and amortization of the ROU asset and for operating leases, the lessee would recognize a straight-line total lease expense. The Company is currently assessing the impact that adoption of this guidance will have on its condensed consolidated financial statements and footnote disclosures. In September 2015, the FASB issued ASU 2015-16, which amends Topic 805, Business Combinations In May 2014, with subsequent updates issued in August 2015 and March, April, May and December 2016, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. ASU 2014-09 states that “an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.” While ASU 2014-09 specifically references contracts with customers, it may apply to certain other transactions such as the sale of real estate or equipment. In July 2015, the FASB voted to defer the effective date of ASU 2014-09 by one year. Accordingly, ASU 2014-09 is effective for annual periods beginning after December 15, 2017, with early adoption permitted for annual periods beginning after December 15, 2016. The standard can be applied either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment recognized as of the date of initial application. Expanded quantitative and qualitative disclosures regarding revenue recognition will be required for contracts that are subject to this guidance. While the Company anticipates additional disclosure, it does not expect the adoption of this pronouncement will have a material effect on its condensed consolidated financial statements; however, it will continue to evaluate this assessment until the guidance becomes effective.

Summary of Significant Accoun24

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Summary of Estimated Useful Lives	Depreciation of real estate assets, excluding land, is recognized on a straight-line basis over their estimated useful lives as follows: Building: 25 – 40 years Site improvements: 5 – 15 years Tenant improvements: shorter of the estimated useful life or non-cancelable term of lease
Summary of Cash, Cash Equivalents and Restricted Cash	the following is a summary of our cash, cash equivalents, and restricted cash total as presented in our statements of cash flows for the three months ended March 31, 2017 and March 31, 2016 (in thousands): Three Months Ended March 31, 2017 March 31, 2016 Cash and cash equivalents $ 26,542 $ 56,425 Restricted cash 113,875 89,183 Total cash, cash equivalents, and restricted cash shown in the statement of cash flows $ 140,417 $ 145,608

Lease Intangible Assets and L25

Lease Intangible Assets and Liabilities (Tables)	3 Months Ended
	Mar. 31, 2017
Summary of Lease Intangible Assets	The following table summarizes the Company’s lease intangible assets and liabilities (in thousands): March 31, 2017 Gross Accumulated Lease Intangible Assets Asset Amortization Balance In-place leases, net $ 569,856 $ (167,759 ) $ 402,097 Below-market ground leases, net 11,766 (356 ) 11,410 Above-market leases, net 8,964 (2,218 ) 6,746 Total $ 590,586 $ (170,333 ) $ 420,253 December 31, 2016 Gross Accumulated Lease Intangible Assets Asset Amortization Balance In-place leases, net $ 592,871 $ (146,964 ) $ 445,907 Below-market ground leases, net 11,766 (305 ) 11,461 Above-market leases, net 8,964 (1,933 ) 7,031 Total $ 613,601 $ (149,202 ) $ 464,399
Summary of Lease Intangible Liabilities	The following table summarizes the Company’s lease intangible assets and liabilities (in thousands): Gross Accumulated Lease Intangible Liabilities Liability Amortization Balance Below-market leases, net $ 20,011 $ (3,715 ) $ 16,296 Total $ 20,011 $ (3,715 ) $ 16,296 Gross Accumulated Lease Intangible Liabilities Liability Amortization Balance Below-market leases, net $ 20,011 $ (3,184 ) $ 16,827 Total $ 20,011 $ (3,184 ) $ 16,827
Schedule of Future Amortization for Below-Market Ground Leases	Future amortization of below-market ground leases is estimated to increase property expenses as set forth below (in thousands): Remainder of 2017 $ 152 2018 203 2019 203 2020 203 2021 203
Above-Market Leases, Net [Member]
Schedule of Future Amortization of Leases	Future amortization of these intangibles is estimated to increase rental income as set forth below (in thousands): Remainder of 2017 $ (728 ) 2018 (970 ) 2019 (943 ) 2020 (808 ) 2021 (792 )
In-Place Leases, Net [Member]
Schedule of Future Amortization of Leases	Future estimated amortization of acquired in-place leases is set forth below (in thousands): Remainder of 2017 $ 76,738 2018 59,011 2019 56,047 2020 54,411 2021 48,853

Investments in Unconsolidated26

Investments in Unconsolidated Joint Ventures (Tables)	3 Months Ended
	Mar. 31, 2017
Equity Method Investments And Joint Ventures [Abstract]
Summary of Company's Investments in Unconsolidated Joint Ventures	The Company’s investments in unconsolidated joint ventures at March 31, 2017, consisted of (in thousands): Seritage % # of Total Initial Joint Venture Ownership Properties GLA Investment GGP JV 50 % 12 2,161 $ 165,000 Macerich JV 50 % 9 1,573 150,000 Simon JV 50 % 10 1,714 114,012 Total 31 5,448 $ 429,012
Summary of Combined Condensed Financial Data of Unconsolidated Joint Ventures	The following tables present combined condensed financial data for all of the Company’s unconsolidated joint ventures (in thousands): March 31, 2017 December 31, 2016 ASSETS Investment in real estate Land $ 214,109 $ 214,109 Buildings and improvements 597,516 598,978 Accumulated depreciation (64,306 ) (56,324 ) 747,319 756,763 Construction in progress 64,903 48,885 Net investment in real estate 812,222 805,648 Cash and cash equivalents 9,595 3,434 Tenant and other receivables, net 4,966 6,133 Other assets, net 37,542 38,646 Total assets $ 864,325 $ 853,861 LIABILITIES AND MEMBERS INTERESTS Liabilities Accounts payable, accrued expenses and other liabilities $ 17,997 $ 14,177 Total liabilities 17,997 14,177 Members Interest Additional paid in capital 844,182 830,389 Retained earnings 2,146 9,295 Total members interest 846,328 839,684 Total liabilities and members interest $ 864,325 $ 853,861 Three Months Ended March 31, 2017 March 31, 2016 EQUITY IN INCOME OF UNCONSOLIDATED JOINT VENTURES Total revenue $ 16,344 $ 17,538 Property operating expenses (3,322 ) (3,404 ) Depreciation and amortization (10,972 ) (9,739 ) Operating income 2,050 4,395 Other expenses (46 ) (223 ) Net income $ 2,004 $ 4,172 Equity in income of unconsolidated joint ventures $ 1,002 $ 2,086

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2017
Leases [Abstract]
Summary of Revenue from Master Lease	Revenues from the Master Lease for the three months ended March 31, 2017 and March 31, 2016 are as follows (in thousands and excluding straight-line rental income of $1.0 million and $3.1 million, respectively): Three Months Ended March 31, 2017 March 31, 2016 Rental income $ 31,651 $ 33,385 Termination fee income 6,136 — Tenant reimbursements 14,706 16,752 Total revenue $ 52,493 $ 50,137
Summary of Recapture Rights Exercised by the Company	As of March 31, 2017, the Company had exercised recapture rights at 30 properties: Property Recapture Type Notice Date Cockeysville, MD Partial March 2017 North Miami, FL 100% March 2017 Olean, NY Partial March 2017 Carson, CA Partial December 2016 Saugus, MA Partial December 2016 Guaynabo, PR Partial December 2016 Santa Cruz, CA Partial December 2016 Santa Monica, CA 100% December 2016 Roseville, MI Partial November 2016 Troy, MI Partial November 2016 Charleston, SC Partial October 2016 Rehoboth Beach, DE Partial October 2016 St. Petersburg, FL 100% October 2016 Warwick, RI Auto center October 2016 West Hartford, CT 100% October 2016 North Hollywood, CA Partial July 2016 Anderson, SC Partial July 2016 Ft. Wayne, IN Out parcel July 2016 Madison, WI Partial July 2016 Orlando, FL 100% July 2016 West Jordan, UT Partial July 2016 Albany, NY Auto center May 2016 Bowie, MD Auto center May 2016 Fairfax, VA Partial + auto May 2016 Hagerstown, MD Auto center May 2016 Wayne, NJ Partial May 2016 San Antonio, TX Auto center March 2016 Memphis, TN 100% December 2015 Honolulu, HI 100% December 2015 Braintree, MA 100% November 2015
Summary of Submitted Additional Recapture Notices	Subsequent to March 31, 2017, the Company submitted notices to recapture space at 7 additional properties: Property Recapture Type Notice Date Aventura, FL 100% April 2017 Valley View, TX 100% April 2017 San Diego, CA 100% (1) April 2017 Carson, CA 100% (1) April 2017 Charleston, SC 100% (1) April 2017 Anderson, SC 100% (1) April 2017 Hialeah, FL 100% (1) April 2017 (1) Reached agreement to convert partial recapture rights to 100% recapture rights. Partial recapture rights had previously been exercised at Carson, CA, Anderson, SC and Charleston, SC.
Summary of Properties	The 17 properties are as follows: Property Square Feet Cullman, AL 98,500 Sierra Vista, AZ 86,100 Thornton, CO 190,200 Chicago, IL 118,800 Springfield, IL 84,200 Elkhart, IN 86,500 Merrillville, IN 108,300 Houma, LA 96,700 New Iberia, LA 91,700 Alpena, MI 118,200 Manistee, MI 87,800 Sault Sainte Marie, MI 92,700 Kearney, NE 86,500 Deming, NM 96,600 Harlingen, TX 91,700 Yakima, WA 97,300 Riverton, WY 94,800 Total square feet 1,726,600 The 19 properties are as follows: Property Square Feet El Paso, TX 103,657 Paducah, KY 108,244 Henderson, NV 122,823 Jefferson City, MO 92,016 Riverside, CA 94,500 Kissimmee, FL 112,505 Mount Pleasant, PA 83,536 Chapel Hill, OH 187,179 Concord, NC 137,499 Sioux Falls, SD 72,511 Platteville, WI 94,841 Muskogee, OK 87,500 Elkins, WV 94,885 Layton, UT 90,010 Detroit Lakes, MN 79,102 Hopkinsville, KY 70,326 Owensboro, KY 68,334 Leavenworth, KS 76,853 Kenton, OH 96,066 Total square feet 1,872,387

Shareholders' Equity (Tables)

Shareholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Summary of Dividends and Distributions	The Company’s Board of Trustees declared the following common stock dividends during 2017 and 2016, with holders of Operating Partnership units entitled to an equal distribution per Operating Partnership unit held on the record date: Dividends per Class A and Class C Declaration Date Record Date Payment Date Common Share 2017 April 25 June 30 July 13 $ 0.25 February 28 March 31 April 13 0.25 2016 November 1 December 31 January 12 $ 0.25 August 2 September 30 October 13 0.25 May 3 June 30 July 14 0.25 March 8 March 31 April 14 0.25

Earnings per Share (Tables)

Earnings per Share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Reconciliation of Net Loss and Number of Common Shares Used in Computations of Basic Earnings Per Share	The table below provides a reconciliation of net loss and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares. Potentially dilutive securities consist of shares of non-vested restricted stock and the redeemable non-controlling interests in the Operating Partnership. All outstanding non-vested shares that contain non-forfeitable rights to dividends are considered participating securities and are included in computing EPS pursuant to the two-class method which specifies that all outstanding non-vested share-based payment awards that contain non-forfeitable rights to distributions are considered participating securities and should be included in the computation of EPS. Earnings per share has not been presented for Class B shareholders, as they do not have economic rights. (in thousands except per share amounts) Three Months Ended March 31, 2017 March 31, 2016 Numerator - Basic and Diluted Net loss $ (32,844 ) $ (14,714 ) Net loss attributable to non-controlling interests 13,006 6,379 Net loss attributable to common shareholders $ (19,838 ) $ (8,335 ) Denominator - Basic and Diluted Weighted average Class A common shares outstanding 27,748 24,947 Weighted average Class C common shares outstanding 5,762 6,444 Weighted average Class A and Class C common shares outstanding 33,510 31,391 Net loss per share attributable to Class A and Class C common shareholders $ (0.59 ) $ (0.27 )

Stock Based Compensation (Table

Stock Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Restricted Share	The following table summarizes restricted share activity for the three months ended March 31, 2017: Three Months Ended March 31, 2017 Weighted- Average Grant Shares Date Fair Value Unvested restricted shares at beginning of period 216,348 $ 38.98 Restricted shares granted 62,578 45.23 Restricted shares vested (3,885 ) 46.48 Unvested restricted shares at end of period 275,041 $ 40.29

Accounts Payable, Accrued Exp31

Accounts Payable, Accrued Expenses and Other Liabilities (Tables)	3 Months Ended
	Mar. 31, 2017
Payables And Accruals [Abstract]
Components of Accounts Payable, Accrued Expenses and Other Liabilities	The following table summarizes the significant components of accounts payable, accrued expenses and other liabilities as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 December 31, 2016 Accrued real estate taxes $ 24,774 $ 23,942 Accounts payable and accrued expenses 21,756 26,463 Litigation charge 19,000 19,000 Below-market leases 16,296 16,827 Dividends payable 14,348 14,132 Prepaid rental income 14,168 1,979 Environmental reserve 11,584 11,584 Deferred maintenance 4,074 4,124 Accrued interest 3,139 3,004 Total accounts payable, accrued expenses and other liabilities $ 129,139 $ 121,055

Organization - Additional Infor

Organization - Additional Information (Detail) $ in Billions	Jun. 11, 2015USD ($)PropertyJointVentureRetailFacility	Jun. 03, 2015shares	Mar. 31, 2017Property
Organization And Basis Of Presentation [Line Items]
Operations Commenced Date			Jul. 7, 2015
Sears Holdings Corporation [Member]
Organization And Basis Of Presentation [Line Items]
Business acquisition fair value, purchase price | $	$ 2.7
Number of real estate properties acquired	234
Number of ground leased properties acquired	1
Interests in joint ventures acquired	50.00%
Number of joint venture acquired | JointVenture	3
Number of Wholly Owned Properties not lease back to Sears Holdings			201
Number of properties leased to third party tenants			24
Sears Holdings Corporation [Member] | Joint Venture [Member]
Organization And Basis Of Presentation [Line Items]
Number of retail facilities | RetailFacility	28
Number of retail facilities subject to ground lease | RetailFacility	1
Number of retail facilities subject to lease | RetailFacility	2
Class A Common Shares [Member]
Organization And Basis Of Presentation [Line Items]
Number of shares initially capitalized | shares		100

Summary of Significant Accoun33

Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)PropertySegmentState	Mar. 31, 2016USD ($)	Dec. 31, 2016USD ($)
Summary Of Significant Accounting Policies [Line Items]
Number of reportable segments | Segment	1
Impairment loss on real estate assets	$ 0	$ 0
Impairment loss	0	0
Restricted cash	113,875,000	89,183,000	$ 87,616,000
Prepaid rental income	$ 14,600,000
Number of wholly owned properties acquired | Property	235
Number of states in properties located | State	49
Interest Rate Cap [Member]
Summary Of Significant Accounting Policies [Line Items]
Interest rate caps purchased	$ 5,000,000
Derivative, term of contract	4 years
Notional amount	$ 1,261,000,000
Derivative strike rate	3.50%
Derivative losses	$ 471,000	$ 1,400,000
Master Lease [Member]
Summary Of Significant Accounting Policies [Line Items]
Right to recapture property space	50.00%
Sears Holdings Corporation [Member]
Summary Of Significant Accounting Policies [Line Items]
Right to recapture property space	100.00%
Sears Holdings Corporation [Member] | Master Lease [Member]
Summary Of Significant Accounting Policies [Line Items]
Right to recapture property space	100.00%
Restricted Cash Reserves [Member]
Summary Of Significant Accounting Policies [Line Items]
Restricted cash	$ 82,800,000
Basic Property Carrying Costs [Member]
Summary Of Significant Accounting Policies [Line Items]
Restricted cash	$ 16,500,000
Operating Partnership [Member] | ESL [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of operating partnership interest held by parent	60.70%

Summary of Significant Accoun34

Summary of Significant Accounting Policies - Summary of Estimated Useful Lives (Detail)	3 Months Ended
	Mar. 31, 2017
Minimum [Member] | Building [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives	25 years
Minimum [Member] | Site Improvement [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Maximum [Member] | Building [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives	40 years
Maximum [Member] | Site Improvement [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives	15 years

Summary of Significant Accoun35

Summary of Significant Accounting Policies - Summary of Cash, Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016	Dec. 31, 2015
Accounting Policies [Abstract]
Cash and cash equivalents	$ 26,542	$ 52,026	$ 56,425
Restricted cash	113,875	87,616	89,183
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$ 140,417	$ 139,642	$ 145,608	$ 155,342

Lease Intangible Assets and L36

Lease Intangible Assets and Liabilities - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, net of accumulated amortization	$ 420,253		$ 464,399
Identified intangible liability, net of accumulated amortization	16,296		16,827
Amortization of below-market leases, net of above-market leases	200	$ 200
Additional property expense	51	51
In-Place Leases, Net [Member]
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, net of accumulated amortization	402,097		$ 445,907
Amortization expense of intangible assets	$ 43,800	$ 23,100

Lease Intangible Assets and L37

Lease Intangible Assets and Liabilities - Summary of Lease Intangible Assets (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Gross Asset	$ 590,586	$ 613,601
Accumulated Amortization	(170,333)	(149,202)
Balance	420,253	464,399
In-Place Leases, Net [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Asset	569,856	592,871
Accumulated Amortization	(167,759)	(146,964)
Balance	402,097	445,907
Below-Market Ground Leases, Net [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Asset	11,766	11,766
Accumulated Amortization	(356)	(305)
Balance	11,410	11,461
Above-Market Leases, Net [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Asset	8,964	8,964
Accumulated Amortization	(2,218)	(1,933)
Balance	$ 6,746	$ 7,031

Lease Intangible Assets and L38

Lease Intangible Assets and Liabilities - Summary of Lease Intangible Liabilities (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Below Market Lease Net [Abstract]
Gross Liability	$ 20,011	$ 20,011
Accumulated Amortization	(3,715)	(3,184)
Balance	$ 16,296	$ 16,827

Lease Intangible Assets and L39

Lease Intangible Assets and Liabilities - Schedule of Future Annual Amortization of Below Market Leases (Detail) - Above-Market Leases, Net [Member] $ in Thousands	Mar. 31, 2017USD ($)
Finite-Lived Intangible Assets [Line Items]
Remainder of 2017	$ (728)
2,018	(970)
2,019	(943)
2,020	(808)
2,021	$ (792)

Lease Intangible Assets and L40

Lease Intangible Assets and Liabilities - Schedule of Future Amortization for Below-Market Ground Leases (Detail) - Leases Acquired In-Place Market Adjustment [Member] $ in Thousands	Mar. 31, 2017USD ($)
Finite-Lived Intangible Assets [Line Items]
Remainder of 2017	$ 152
2,018	203
2,019	203
2,020	203
2,021	$ 203

Lease Intangible Assets and L41

Lease Intangible Assets and Liabilities - Schedule of Future Estimated Annual Amortization of Acquired In Place Leases (Detail) - In-Place Leases, Net [Member] $ in Thousands	Mar. 31, 2017USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]
Remainder of 2017	$ 76,738
2,018	59,011
2,019	56,047
2,020	54,411
2,021	$ 48,853

Investments in Unconsolidated42

Investments in Unconsolidated Joint Ventures - Summary of Company's Investments in Unconsolidated Joint Ventures (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)ft²Property
Income Statement Equity Method Investments [Line Items]
Number of properties | Property	31
Total GLA | ft²	5,448
Initial Investment | $	$ 429,012
General Growth Properties, Inc. [Member]
Income Statement Equity Method Investments [Line Items]
Seritage % Ownership	50.00%
Number of properties | Property	12
Total GLA | ft²	2,161
Initial Investment | $	$ 165,000
The Macerich Company [Member]
Income Statement Equity Method Investments [Line Items]
Seritage % Ownership	50.00%
Number of properties | Property	9
Total GLA | ft²	1,573
Initial Investment | $	$ 150,000
Simon Property Group Inc [Member]
Income Statement Equity Method Investments [Line Items]
Seritage % Ownership	50.00%
Number of properties | Property	10
Total GLA | ft²	1,714
Initial Investment | $	$ 114,012

Investments in Unconsolidated43

Investments in Unconsolidated Joint Ventures - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)Location	Mar. 31, 2016USD ($)
Income Statement Equity Method Investments [Line Items]
Joint venture impairment charges | $	$ 0	$ 0
General Growth Properties, Inc. [Member]
Income Statement Equity Method Investments [Line Items]
Joint venture recaptured number of property space	4
Joint venture plans to recapture property space	5
Recapture property space, percentage	100.00%

Investments in Unconsolidated44

Investments in Unconsolidated Joint Ventures - Summary of Combined Condensed Financial Data of Unconsolidated Joint Ventures (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
ASSETS
Land	$ 214,109		$ 214,109
Buildings and improvements	597,516		598,978
Accumulated depreciation	(64,306)		(56,324)
Investment in real estate, gross	747,319		756,763
Construction in progress	64,903		48,885
Net investment in real estate	812,222		805,648
Cash and cash equivalents	9,595		3,434
Tenant and other receivables, net	4,966		6,133
Other assets, net	37,542		38,646
Total assets	864,325		853,861
LIABILITIES AND MEMBERS INTERESTS
Accounts payable, accrued expenses and other liabilities	17,997		14,177
Total liabilities	17,997		14,177
Members Interest
Additional paid in capital	844,182		830,389
Retained earnings	2,146		9,295
Total members interest	846,328		839,684
Total liabilities and members interest	864,325		$ 853,861
Total revenue	16,344	$ 17,538
Property operating expenses	(3,322)	(3,404)
Depreciation and amortization	(10,972)	(9,739)
Operating income	2,050	4,395
Other expenses	(46)	(223)
Net income	2,004	4,172
Equity in income of unconsolidated joint ventures	$ 1,002	$ 2,086

Leases - Additional Information

Leases - Additional Information (Detail) $ in Thousands	Jul. 06, 2015LeaseOption	Jun. 11, 2015Property	Apr. 30, 2017USD ($)Notice	Mar. 31, 2017USD ($)ft²Property	Mar. 31, 2016USD ($)	Jan. 31, 2017ft²Property	Jul. 07, 2015
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Base rent paid by Sears Holdings and subsidiaries under master lease | $				$ 51	$ 51
Number of real estate properties acquisition exercised | Property				30
Sears Holdings Corporation [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Right to recapture property space				100.00%
Number of real estate properties wholly-owned | Property		234
Sears Holdings Corporation [Member] | Subsequent Event [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Number of recapture notices submitted | Notice			7
Master Lease [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Lease term	10 years
Number of options for renewal of lease | Option	3
Renewal period of leases	5 years
Final option renewal period	4 years
Base rent paid by Sears Holdings and subsidiaries under master lease | $				$ 124,100	133,300
Number of renewal term that will be increased | Lease	2
Percentage of increase annual lease rent							2.00%
Straight-line rental income | $				$ 1,000	$ 3,100
Right to recapture property space				50.00%
Number of real estate properties wholly-owned | Property				224
Lease termination, description				While the Company is permitted to exercise its recapture rights all at once or in stages as to any particular property, it is not permitted to recapture all or substantially all of the space subject to the recapture right at more than 50 Wholly Owned Properties during any lease year.
Number of real estate properties wholly-owned | Property				50
Master Lease [Member] | Sears Holdings Corporation [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Number of options for renewal of lease | Option	1
Right to recapture property space				100.00%
Number of real estate properties wholly-owned | Property				21
Lease termination, description				The lease termination payment is calculated as the greater of an amount specified at the time the Company entered into the Master Lease with Sears Holdings and an amount equal to 10 times the adjusted EBITDA attributable to such space within the Sears Holdings main store which is not attributable to the space subject to the separate 50% recapture right discussed above for the 12-month period ending at the end of the fiscal quarter ending immediately prior to recapturing such space.
Percentage of reduction of fixed rent under master lease				20.00%
Lease termination notice period				90 days
Master Lease [Member] | Sears Holdings Corporation [Member] | Lease Terminations [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Number of unprofitable stores vacated pursuant | Property						17
Gross leasable area | ft²				1,872,387		1,726,600
Total annual base rent, percentage				2.60%
Lease termination fees paid | $				$ 10,000
Number of unprofitable stores to terminate | Property				19
Master Lease [Member] | Sears Holdings Corporation [Member] | Lease Terminations [Member] | 17 Properties [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Base rent paid by Sears Holdings and subsidiaries under master lease | $				$ 6,000
Master Lease [Member] | Sears Holdings Corporation [Member] | Lease Terminations [Member] | 19 Properties [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Base rent paid by Sears Holdings and subsidiaries under master lease | $				$ 5,900
Master Lease [Member] | Sears Holdings Corporation [Member] | Subsequent Event [Member] | Lease Terminations [Member]
Schedule Of Operating Leases Future Minimum Payments Receivable [Line Items]
Lease termination fees paid | $			$ 10,900

Leases - Summary of Revenue fro

Leases - Summary of Revenue from Master Lease (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Property Subject to or Available for Operating Lease [Line Items]
Rental income	$ 49,174	$ 45,226
Tenant reimbursements	16,224	17,778
Total revenue	65,398	63,004
Master Lease [Member]
Property Subject to or Available for Operating Lease [Line Items]
Rental income	31,651	33,385
Termination fee income	6,136
Tenant reimbursements	14,706	16,752
Total revenue	$ 52,493	$ 50,137

Leases - Summary of Recapture R

Leases - Summary of Recapture Rights Exercised by the Company (Detail)	3 Months Ended
	Mar. 31, 2017
Cockeysville, MD [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2017-03
North Miami, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2017-03
Olean, NY [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2017-03
Carson, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-12
Saugus, MA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-12
Guaynabo, PR [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-12
Santa Cruz, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-12
Santa Monica, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2016-12
Roseville, MI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-11
Troy, MI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-11
Charleston, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-10
Rehoboth Beach, DE [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-10
St. Petersburg, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2016-10
Warwick, RI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Auto center
Notice Date	2016-10
West Hartford, CT [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2016-10
North Hollywood, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-07
Anderson, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-07
Ft. Wayne, IN [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Out parcel
Notice Date	2016-07
Madison, WI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial + auto center
Notice Date	2016-07
Orlando, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2016-07
West Jordan, UT [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-07
Albany, NY [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Auto center
Notice Date	2016-05
Bowie, MD [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Auto center
Notice Date	2016-05
Fairfax, VA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial + auto center
Notice Date	2016-05
Hagerstown, MD [member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Auto center
Notice Date	2016-05
Wayne, NJ [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Partial
Notice Date	2016-05
San Antonio, TX [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type	Auto center
Notice Date	2016-03
Memphis, TN [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2015-12
Honolulu, HI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2015-12
Braintree, MA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type, Percentage	100.00%
Notice Date	2015-11

Leases - Summary of Submitted A

Leases - Summary of Submitted Additional Recapture Notices (Detail)	1 Months Ended	3 Months Ended
	Apr. 30, 2017	Mar. 31, 2017
Carson, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Notice Date		2016-12
Charleston, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Notice Date		2016-10
Anderson, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Notice Date		2016-07
Subsequent Event [Member] | Aventura, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | Valley View, TX [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | San Diego, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | Carson, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | Charleston, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | Anderson, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04
Subsequent Event [Member] | Hialeah, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Notice Date	2017-04

Leases - Summary of Submitted49

Leases - Summary of Submitted Additional Recapture Notices (Parenthetical) (Detail) - Subsequent Event [Member]	Apr. 30, 2017
San Diego, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Carson, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Charleston, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Anderson, SC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%
Hialeah, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Recapture Type Notice, Percentage	100.00%

Leases - Summary of Properties

Leases - Summary of Properties (Detail) - Lease Terminations [Member] - Master Lease [Member] - Sears Holdings Corporation [Member] - ft²	Mar. 31, 2017	Jan. 31, 2017
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	1,872,387	1,726,600
Cullman, AL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		98,500
Sierra Vista, AZ [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		86,100
Thornton, CO [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		190,200
Chicago, IL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		118,800
Springfield, IL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		84,200
Elkhart, IN [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		86,500
Merrillville, IN [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		108,300
Houma, LA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		96,700
New Iberia, LA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		91,700
Alpena, MI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		118,200
Manistee, MI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		87,800
Sault Sainte Marie, MI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		92,700
Kearney, NE [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		86,500
Deming, NM [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		96,600
Harlingen, TX [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		91,700
Yakima, WA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		97,300
Riverton, WY [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area		94,800
El Paso, TX [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	103,657
Paducah, KY [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	108,244
Henderson, NV [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	122,823
Jefferson City, MO [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	92,016
Riverside, CA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	94,500
Kissimmee, FL [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	112,505
Mount Pleasant, PA [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	83,536
Chapel Hill, OH [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	187,179
Concord, NC [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	137,499
Sioux Falls, SD [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	72,511
Platteville, WI [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	94,841
Muskogee, OK [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	87,500
Elkins, WV [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	94,885
Layton, UT [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	90,010
Detroit Lakes, MN [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	79,102
Hopkinsville, KY [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	70,326
Owensboro K Y
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	68,334
Leavenworth, KS [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	76,853
Kenton, OH [Member]
Property Subject to or Available for Operating Lease [Line Items]
Gross leasable area	96,066

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($)	Feb. 28, 2017	Nov. 30, 2016	Mar. 31, 2017	Mar. 31, 2016	Feb. 23, 2017	Dec. 31, 2016	Jul. 07, 2015
Debt Instrument [Line Items]
Amount transferred to redevelopment project reserve		$ 30,000,000
Amount to be transferred to redevelopment project reserve on monthly basis		$ 3,300,000
Principal terms of amendments			Company has (i) posted $30.0 million, and will post $3.3 million on a monthly basis, to a redevelopment project reserve account, which amounts may be used by the Company to fund redevelopment activity and (ii) extended the spread maintenance provision for prepayment of the loan by two months through March 9, 2018 (with the spread maintenance premium for the second month at a reduced amount). As a result of this agreement and the resolution of the related disagreement, no cash flow sweep was imposed.
Minimum net worth			$ 1,000,000,000
Minimum liquidity			50,000,000
Future Funding Facility [Member]
Debt Instrument [Line Items]
Principal amount outstanding			27,000,000
Amount available under funding facility			73,000,000
Mortgage Loans [Member]
Debt Instrument [Line Items]
Principal amount outstanding			$ 1,161,000,000
Mortgage loan agreement, description			The Loan Agreements contain customary covenants for a real estate financing, including restrictions that limit the Company’s ability to grant liens on its assets, incur additional indebtedness, or transfer or sell assets, as well as those that may require the Company to obtain lender approval for certain major tenant leases or significant redevelopment projects. Such restrictions also include cash flow sweep provisions based upon certain measures of the Company’s and Sears Holdings’ financial and operating performance, including (a) where the “Debt Yield” (the ratio of net operating income for the mortgage borrowers to their debt) is less than 11.0%, (b) if the performance of Sears Holdings at the stores subject to the Master Lease with Sears Holdings fails to meet specified rent ratio thresholds, (c) if the Company fails to meet specified tenant diversification tests and (d) upon the occurrence of a bankruptcy or insolvency action with respect to Sears Holdings or if there is a payment default under the Master Lease with Sears Holdings, in each case, subject to cure rights, including providing specified amounts of cash collateral or satisfying tenant diversification thresholds.
Maximum debt yield percentage			11.00%
Unamortized balance of company's debt issuance costs			$ 12,900,000			$ 14,300,000
Mortgage Loans [Member] | Future Funding Facility [Member]
Debt Instrument [Line Items]
Debt issuance and other costs			22,300,000
Unsecured Term Loan [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum			$ 200,000,000
Line of credit, maturity date			Dec. 31, 2017
Debt instrument, interest rate terms			The principal amount of loans outstanding under the Unsecured Term Loan will bear a base annual interest rate of 6.50%. If a cash flow sweep period were to occur and be continuing under the Company’s Mortgage Loan Agreement (i) the interest rate on any outstanding advances would increase from and after such date by 1.5% per annum above the base interest rate and (ii) the interest rate on any advances made after such date would increase by 3.5% per annum above the base interest rate.
Maximum net worth required for loan documentation			$ 1,000,000,000
Unsecured Term Loan [Member] | Mortgage Loan Agreement [Member]
Debt Instrument [Line Items]
Debt instrument, base annual interest rate			6.50%
Unsecured Term Loan [Member] | Minimum [Member] | Mortgage Loan Agreement [Member]
Debt Instrument [Line Items]
Debt instrument, base interest rate period one			1.50%
Debt instrument, base interest rate period two			3.50%
Unsecured Term Loan [Member] | Maximum [Member]
Debt Instrument [Line Items]
Maximum leverage ratio			60.00%
Unsecured Term Loan [Member] | Operating Partnership [Member]
Debt Instrument [Line Items]
Principal amount outstanding					$ 200,000,000
Line of credit facility, maximum					$ 200,000,000
Upfront commitment fee	$ 1,000,000
Additional commitment fee	$ 1,000,000
Number of days due to pay commitment fee after closing date	90 days
Default interest rate on overdue amounts excess of base interest rate			1.50%
Unsecured Term Loan [Member] | Operating Partnership [Member] | Minimum [Member]
Debt Instrument [Line Items]
Principal amount of commitment fee percentage	33.30%
Unsecured Term Loan [Member] | April 30, 2017 [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum			$ 100,000,000
Unsecured Term Loan [Member] | May 1, 2017 [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum			150,000,000
Unsecured Term Loan [Member] | September 1, 2017 [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum			$ 200,000,000
Mortgage Loans over $1,000,000 [Member] | Mortgage Loans [Member]
Debt Instrument [Line Items]
Expiration date			Jul. 31, 2019
Interest rate description			Borrowings under the Mortgage Loans bear interest at the London Interbank Offered Rates (“LIBOR”) plus, as of March 31, 2017, a weighted-average spread of 465 basis points; payments are made monthly on an interest-only basis.
Basis spread on variable rate			4.65%
Frequency of interest payment			Monthly
Early extinguishment of debt			Mar. 9, 2018
Maturity description			The Loan Agreements contain customary covenants for a real estate financing, including restrictions that limit the Company’s ability to grant liens on its assets, incur additional indebtedness, or transfer or sell assets, as well as those that may require the Company to obtain lender approval for certain major tenant leases or significant redevelopment projects. Such restrictions also include cash flow sweep provisions based upon certain measures of the Company’s and Sears Holdings’ financial and operating performance, including (a) where the “Debt Yield” (the ratio of net operating income for the mortgage borrowers to their debt) is less than 11.0%, (b) if the performance of Sears Holdings at the stores subject to the Master Lease with Sears Holdings fails to meet specified rent ratio thresholds, (c) if the Company fails to meet specified tenant diversification tests and (d) upon the occurrence of a bankruptcy or insolvency action with respect to Sears Holdings or if there is a payment default under the Master Lease with Sears Holdings, in each case, subject to cure rights, including providing specified amounts of cash collateral or satisfying tenant diversification thresholds. The Loan Agreements contain a yield maintenance provision for the early extinguishment of the debt before March 9, 2018.
Mortgage Loans over $1,000,000 [Member] | Mortgage Loans [Member] | Term Loans [Member]
Debt Instrument [Line Items]
Loan, face amount							$ 1,161,000,000
Mortgage Loans over $1,000,000 [Member] | Mortgage Loans [Member] | Future Funding Facility [Member]
Debt Instrument [Line Items]
Loan, face amount							$ 100,000,000
Weighted average interest rates			5.54%	5.16%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2017
Minimum [Member]
Income Tax Contingency [Line Items]
Distribution of taxable income to qualify as REIT, percent	90.00%

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Fair Value, Inputs, Level 2 [Member] | Mortgage Loans over $1,000,000 [Member] | Mortgage Loans [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgages payable, fair value	$ 1,200,000		$ 1,200,000
Interest Rate Cap [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative losses	471	$ 1,400
Interest Rate Cap [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets, fair value	$ 300		$ 700

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Thousands	1 Months Ended			3 Months Ended
	Oct. 31, 2016USD ($)	Jun. 30, 2015Lawsuit	May 31, 2015Lawsuit	Sep. 30, 2016USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Mar. 31, 2016USD ($)
Loss Contingencies [Line Items]
Restricted cash					$ 113,875	$ 87,616	$ 89,183
Number of Sears Holdings shareholders filed lawsuits | Lawsuit		4	4
Litigation settlement, amount	$ 19,000
Litigation charge				$ 19,000
Sears Holdings Corporation [Member]
Loss Contingencies [Line Items]
Litigation settlement, amount	$ 40,000
Environmental Expenses Reserve [Member]
Loss Contingencies [Line Items]
Restricted cash					$ 11,400	$ 11,800

Related Party Disclosure - Addi

Related Party Disclosure - Additional Information (Detail) - USD ($)	Jul. 07, 2015	Mar. 31, 2017	Mar. 31, 2016	Feb. 23, 2017
Transaction Services Agreement [Member]
Schedule of Other Related Party Transactions [Line Items]
Transition service agreement period	18 months
Transition service agreement expiration date Date		Jan. 7, 2017
Transition service agreement fees		$ 0	$ 100,000
Unsecured Term Loan [Member]
Schedule of Other Related Party Transactions [Line Items]
Line of credit facility, maximum		$ 200,000,000
Operating Partnership [Member] | Unsecured Term Loan [Member]
Schedule of Other Related Party Transactions [Line Items]
Line of credit facility, maximum				$ 200,000,000
Operating Partnership [Member] | ESL [Member]
Schedule of Other Related Party Transactions [Line Items]
Ownership interest percentage held by related party		39.30%
Operating Partnership [Member] | Sears Holdings Corporation [Member] | ESL [Member]
Schedule of Other Related Party Transactions [Line Items]
Beneficiary Ownership interest percentage held by related party		53.80%
Ownership interest percentage held by related party		39.30%
Operating Partnership [Member] | Sears Holdings Corporation [Member] | ESL [Member] | Class A Common Shares [Member]
Schedule of Other Related Party Transactions [Line Items]
Ownership interest percentage held by related party		3.70%
Operating Partnership [Member] | Sears Holdings Corporation [Member] | ESL [Member] | Class B Non-Economic Common Shares [Member]
Schedule of Other Related Party Transactions [Line Items]
Ownership interest percentage held by related party		100.00%

Non-controlling Interests - Add

Non-controlling Interests - Additional Information (Detail) - Operating Partnership [Member] - shares	May 05, 2017	Mar. 31, 2017
Noncontrolling Interest [Line Items]
Conversion of units into class A shares		2,267,821
Subsequent Event [Member]
Noncontrolling Interest [Line Items]
Conversion of units into class A shares	76,768
ESL [Member]
Noncontrolling Interest [Line Items]
Percentage of operating partnership interest held by parent		60.70%
Ownership interest percentage held by related party		39.30%

Shareholders' Equity - Addition

Shareholders' Equity - Additional Information (Detail) - shares	May 05, 2017	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016	Dec. 31, 2015
Class Of Stock [Line Items]
Conversion of common shares		24,200
Subsequent Event [Member] | Class C Non Voting to Class A common shares [Member]
Class Of Stock [Line Items]
Conversion of common shares	6,050
Class A Common Shares [Member]
Class Of Stock [Line Items]
Conversion of units into class A shares		2,267,821
Common shares, issued		28,090,710	25,843,251
Common shares, outstanding		28,090,710	25,843,251	25,869,000	24,818,000
Class B Non-Economic Common Shares [Member]
Class Of Stock [Line Items]
Common shares, issued		1,439,967	1,589,020
Common shares, outstanding		1,439,967	1,589,020	1,589,000	1,589,000
Common shares surrendered		149,053
Class B Non-Economic Common Shares [Member] | Subsequent Event [Member]
Class Of Stock [Line Items]
Common shares surrendered	5,045
Class C Non Voting Common Shares [Member]
Class Of Stock [Line Items]
Common shares, issued		5,778,885	5,754,685
Common shares, outstanding		5,778,885	5,754,685	5,722,000	6,773,000
Operating Partnership [Member]
Class Of Stock [Line Items]
Conversion of units into class A shares		2,267,821
Operating Partnership [Member] | Subsequent Event [Member]
Class Of Stock [Line Items]
Conversion of units into class A shares	76,768

Shareholders' Equity - Summary

Shareholders' Equity - Summary of Dividends and Distributions(Detail) - $ / shares	Apr. 25, 2017	Feb. 28, 2017	Nov. 01, 2016	Aug. 02, 2016	May 03, 2016	Mar. 08, 2016	Mar. 31, 2017	Mar. 31, 2016
Dividends Payable [Line Items]
Declaration Date		Feb. 28, 2017	Nov. 1, 2016	Aug. 2, 2016	May 3, 2016	Mar. 8, 2016
Record Date		Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016
Payment Date		Apr. 13, 2017	Jan. 12, 2016	Oct. 13, 2016	Jul. 14, 2016	Apr. 14, 2016
Dividends per Class A and Class C Common Share		$ 0.25	$ 0.25	$ 0.25	$ 0.25	$ 0.25	$ 0.25	$ 0.25
Subsequent Event [Member]
Dividends Payable [Line Items]
Declaration Date	Apr. 25, 2017
Record Date	Jun. 30, 2017
Payment Date	Jul. 13, 2017
Dividends per Class A and Class C Common Share	$ 0.25

Earnings per Share - Reconcilia

Earnings per Share - Reconciliation of Net Loss and Number of Common Shares Used in Computations of Basic Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Numerator - Basic and Diluted
Net loss	$ (32,844)	$ (14,714)
Net loss attributable to non-controlling interests	13,006	6,379
Net loss attributable to common shareholders	$ (19,838)	$ (8,335)
Denominator - Basic and Diluted
Weighted average common shares outstanding	33,510	31,391
Net loss per share attributable to Class A and Class C common shareholders	$ (0.59)	$ (0.27)
Class A Common Shares [Member]
Denominator - Basic and Diluted
Weighted average common shares outstanding	27,748	24,947
Class C Common Shares [Member]
Denominator - Basic and Diluted
Weighted average common shares outstanding	5,762	6,444

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	Mar. 31, 2017	Dec. 31, 2016
Time Based Restricted Shares and Share Units [Member]
Earning Per Share [Line Items]
Non-vested restricted stock outstanding	275,041	216,348

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Jul. 07, 2015
Time Based Restricted Shares and Share Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Restricted Share [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation costs	$ 11
Restricted Share [Member] | General and Administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense recognized	$ 0.4	$ 0.3
Seritage Growth Properties 2015 Share Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares of common stock reserved for issuance			3,250,000

Stock Based Compensation - Summ

Stock Based Compensation - Summary of Restricted Share (Detail) - Restricted Share [Member]	3 Months Ended
	Mar. 31, 2017$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested restricted shares at beginning of period | shares	216,348
Restricted shares granted | shares	62,578
Restricted shares vested | shares	(3,885)
Unvested restricted shares at end of period | shares	275,041
Weighted-Average Grant Date Fair Value, Unvested restricted shares at beginning of period | $ / shares	$ 38.98
Weighted-Average Grant Date Fair Value, Restricted shares granted | $ / shares	45.23
Weighted-Average Grant Date Fair Value, Restricted shares vested | $ / shares	46.48
Weighted-Average Grant Date Fair Value, Unvested restricted shares at end of period | $ / shares	$ 40.29

Accounts Payable, Accrued Exp63

Accounts Payable, Accrued Expenses and Other Liabilities - Components of Accounts Payable, Accrued Expenses and Other Liabilities (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Payables And Accruals [Abstract]
Accrued real estate taxes	$ 24,774	$ 23,942
Accounts payable and accrued expenses	21,756	26,463
Litigation charge	19,000	19,000
Below-market leases	16,296	16,827
Dividends payable	14,348	14,132
Prepaid rental income	14,168	1,979
Environmental reserve	11,584	11,584
Deferred maintenance	4,074	4,124
Accrued interest	3,139	3,004
Total accounts payable, accrued expenses and other liabilities	$ 129,139	$ 121,055