Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | May 11, 2021 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | Starwood Real Estate Income Trust, Inc. | |
Entity Central Index Key | 0001711929 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Interactive Data Current | Yes | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity Tax Identification Number | 82-2023409 | |
Entity Incorporation, State or Country Code | MD | |
Entity File Number | 000-56046 | |
Entity Address, Address Line One | 1601 Washington Avenue | |
Entity Address, Address Line Two | Suite 800 | |
Entity Address, City or Town | Miami Beach | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33139 | |
City Area Code | 305 | |
Local Phone Number | 695-5500 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Common Stock Class T | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 2,942,650 | |
Common Stock Class S | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 78,500,315 | |
Common Stock Class D | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 7,613,136 | |
Common Stock Class I | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 68,801,273 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | |
Assets | |||
Investments in real estate, net | $ 4,681,786 | $ 4,597,054 | |
Investments in real estate debt | 704,363 | 218,225 | |
Investments in unconsolidated real estate ventures | 11,204 | 10,991 | |
Cash and cash equivalents | 199,149 | 128,650 | |
Restricted cash | 284,936 | 164,761 | |
Other assets | 234,179 | 211,135 | |
Total assets | 6,115,617 | 5,330,816 | |
Liabilities and Equity | |||
Mortgage notes and revolving credit facility, net | [1] | 3,343,708 | 3,278,762 |
Secured financings on investments in real estate debt | 137,970 | 108,254 | |
Accounts payable, accrued expenses and other liabilities | 122,379 | 117,072 | |
Subscriptions received in advance | 231,243 | 113,532 | |
Due to affiliates | 116,566 | 96,371 | |
Total liabilities | 3,951,866 | 3,713,991 | |
Commitments and contingencies | |||
Redeemable non-controlling interest | 25,722 | 10,409 | |
Equity | |||
Preferred stock, $0.01 par value per share, 100,000,000 shares authorized; none issued and outstanding as of March 31, 2021 and December 31, 2020 | |||
Additional paid-in capital | 2,401,579 | 1,819,526 | |
Accumulated deficit and cumulative distributions | (274,596) | (224,198) | |
Total stockholders' equity | 2,128,175 | 1,596,237 | |
Non-controlling interests in consolidated joint ventures | 9,854 | 10,179 | |
Total equity | 2,138,029 | 1,606,416 | |
Total liabilities and equity | 6,115,617 | 5,330,816 | |
Common Stock Class T | |||
Equity | |||
Common stock value | 27 | 25 | |
Common Stock Class S | |||
Equity | |||
Common stock value | 605 | 464 | |
Common Stock Class D | |||
Equity | |||
Common stock value | 46 | 28 | |
Common Stock Class I | |||
Equity | |||
Common stock value | $ 514 | $ 392 | |
[1] | The majority of the Company’s mortgages contain yield or spread maintenance provisions. |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, authorized shares | 100,000,000 | 100,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | |
Common stock, shares authorized | 1,000,000,000 | |
Common stock, shares outstanding | 119,156,706 | 90,894,853 |
Common Stock Class T | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 2,674,868 | 2,463,182 |
Common stock, shares outstanding | 2,674,868 | 2,463,182 |
Common Stock Class S | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 60,490,804 | 46,431,661 |
Common stock, shares outstanding | 60,490,804 | 46,431,661 |
Common Stock Class D | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 4,609,087 | 2,847,097 |
Common stock, shares outstanding | 4,609,087 | 2,847,097 |
Common Stock Class I | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 51,381,947 | 39,152,913 |
Common stock, shares outstanding | 51,381,947 | 39,152,913 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Revenues | ||
Total revenues | $ 105,751,000 | $ 57,037,000 |
Expenses | ||
Operating expenses | 42,880,000 | 21,508,000 |
General and administrative | 2,706,000 | 2,358,000 |
Management fees | 7,420,000 | 3,946,000 |
Performance participation allocation | 8,708,000 | 46,000 |
Depreciation and amortization | 54,796,000 | 30,543,000 |
Total expenses | 116,510,000 | 58,401,000 |
Other income (expense) | ||
(Loss) earnings from unconsolidated real estate ventures | (22,000) | 360,000 |
Income (loss) from investments in real estate debt | 8,794,000 | (20,173,000) |
Interest expense | (17,945,000) | (19,641,000) |
Other (expense) income, net | (199,000) | 171,000 |
Total other expense | (9,372,000) | (39,283,000) |
Net loss | (20,131,000) | (40,647,000) |
Net loss attributable to non-controlling interests in consolidated joint ventures | 21,000 | 638,000 |
Net loss attributable to non-controlling interests in Operating Partnership | 221,000 | 332,000 |
Net loss attributable to stockholders | $ (19,889,000) | $ (39,677,000) |
Net loss per share of common stock, basic and diluted | $ (0.19) | $ (0.69) |
Weighted-average shares of common stock outstanding, basic and diluted | 106,818,450 | 57,844,231 |
Rental revenue | ||
Revenues | ||
Total revenues | $ 98,107,000 | $ 46,465,000 |
Hotel revenue | ||
Revenues | ||
Total revenues | 6,966,000 | 10,215,000 |
Other revenue | ||
Revenues | ||
Total revenues | 678,000 | 357,000 |
Rental property operating | ||
Expenses | ||
Operating expenses | 38,462,000 | 15,544,000 |
Hotel operating | ||
Expenses | ||
Operating expenses | $ 4,418,000 | $ 5,964,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Changes in Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Total Stockholders' Equity | Common StockCommon Stock Class T | Common StockCommon Stock Class S | Common StockCommon Stock Class D | Common StockCommon Stock Class I | Additional Paid-In Capital | Accumulated Deficit and Cumulative Distributions | Non-Controlling Interests |
Beginning Balance at Dec. 31, 2019 | $ 849,247 | $ 837,263 | $ 883,506 | $ (46,697) | $ 11,984 | ||||
Beginning Balance,shares at Dec. 31, 2019 | 14 | 262 | 17 | 161 | |||||
Common stock issued | 421,659 | 421,659 | $ 6 | $ 94 | $ 6 | $ 89 | 421,464 | ||
Offering costs | (20,528) | (20,528) | (20,528) | ||||||
Distribution reinvestments | 8,364 | 8,364 | 2 | 1 | 8,361 | ||||
Amortization of restricted stock grants | 21 | 21 | 21 | ||||||
Common stock repurchased | (980) | (980) | (980) | ||||||
Net loss | (40,647) | ||||||||
Net loss (allocated to redeemable non- controlling interest) | (40,315) | (39,677) | (39,677) | (638) | |||||
Contributions from non-controlling interests | 58,840 | 58,840 | |||||||
Distributions to non-controlling interests | (356) | (356) | |||||||
Distributions declared on common stock (see Note 10) | (16,368) | (16,368) | (16,368) | ||||||
Allocation to redeemable non- controlling interest | (302) | (302) | (302) | ||||||
Ending Balance at Mar. 31, 2020 | 1,259,282 | 1,189,452 | $ 20 | $ 358 | $ 23 | $ 251 | 1,291,542 | (102,742) | 69,830 |
Beginning Balance at Dec. 31, 2020 | 1,606,416 | 1,596,237 | 1,819,526 | (224,198) | 10,179 | ||||
Beginning Balance,shares at Dec. 31, 2020 | 25 | 464 | 28 | 392 | |||||
Common stock issued | 611,874 | 611,874 | $ 2 | $ 141 | $ 18 | $ 121 | 611,592 | ||
Offering costs | (30,594) | (30,594) | (30,594) | ||||||
Distribution reinvestments | 14,101 | 14,101 | 4 | 2 | 14,095 | ||||
Amortization of restricted stock grants | 53 | 53 | 53 | ||||||
Common stock repurchased | (12,259) | (12,259) | (4) | (1) | (12,254) | ||||
Net loss | (20,131) | ||||||||
Net loss (allocated to redeemable non- controlling interest) | (19,910) | (19,889) | (19,889) | (21) | |||||
Distributions to non-controlling interests | (304) | (304) | |||||||
Distributions declared on common stock (see Note 10) | (30,509) | (30,509) | (30,509) | ||||||
Allocation to redeemable non- controlling interest | (839) | (839) | (839) | ||||||
Ending Balance at Mar. 31, 2021 | $ 2,138,029 | $ 2,128,175 | $ 27 | $ 605 | $ 46 | $ 514 | $ 2,401,579 | $ (274,596) | $ 9,854 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Changes in Equity (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Statement Of Stockholders Equity [Abstract] | ||
Net loss allocated to redeemable non controlling interest | $ 221 | $ 332 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities | ||
Net loss | $ (20,131,000) | $ (40,647,000) |
Adjustments to reconcile net loss to net cash provided by operating activities | ||
Management fees | 7,420,000 | 3,946,000 |
Performance participation allocation | 8,708,000 | 46,000 |
Depreciation and amortization | 54,796,000 | 30,543,000 |
Amortization of deferred financing costs | 814,000 | 436,000 |
Straight-line rent amortization | (2,381,000) | (911,000) |
Deferred income amortization | (439,000) | (235,000) |
Unrealized (gain) loss on changes in fair value of financial instruments | (12,884,000) | 26,973,000 |
Foreign currency loss | 5,680,000 | |
Loss on sales of investment in real estate debt | 1,329,000 | |
Amortization of restricted stock grants | 53,000 | 21,000 |
Distributions from investments in unconsolidated real estate ventures | 276,000 | |
Loss (earnings) from unconsolidated real estate ventures | 22,000 | (360,000) |
Other items | 11,000 | (266,000) |
Change in assets and liabilities | ||
Increase in other assets | (435,000) | (11,561,000) |
Increase in due to affiliates | 1,001,000 | 144,000 |
Increase in accounts payable, accrued expenses and other liabilities | 8,039,000 | 17,711,000 |
Net cash provided by operating activities | 50,274,000 | 27,445,000 |
Cash flows from investing activities | ||
Acquisitions of real estate | (147,263,000) | (1,512,285,000) |
Capital improvements to real estate | (6,430,000) | (1,838,000) |
Investment in unconsolidated real estate ventures | (235,000) | |
Origination and purchase of investments in real estate debt | (504,692,000) | (65,754,000) |
Proceeds from paydown of principal and settlement of investments in real estate debt | 12,374,000 | 5,029,000 |
Net cash used in investing activities | (646,246,000) | (1,574,848,000) |
Cash flows from financing activities | ||
Proceeds from issuance of common stock, net | 491,593,000 | 307,520,000 |
Offering costs paid | (5,720,000) | (3,901,000) |
Subscriptions received in advance | 231,243,000 | 41,012,000 |
Repurchase of common stock | (12,259,000) | (980,000) |
Borrowings from mortgage notes and revolving credit facility | 112,158,000 | 1,007,273,000 |
Repayments of mortgage notes and revolving credit facility | (47,775,000) | (734,000) |
Repayments under secured financings on investments in real estate debt, short term net | (42,557,000) | |
Borrowings under secured financings on investments in real estate debt | 140,150,000 | 117,399,000 |
Repayments under secured financings on investments in real estate debt | (65,697,000) | |
Payment of deferred financing costs | (161,000) | (5,971,000) |
Contributions from non-controlling interests | 58,840,000 | |
Distributions to non-controlling interests | (304,000) | (356,000) |
Distributions | (14,025,000) | (6,177,000) |
Net cash provided by financing activities | 786,646,000 | 1,513,925,000 |
Net change in cash and cash equivalents and restricted cash | 190,674,000 | (33,478,000) |
Cash and cash equivalents and restricted cash at the beginning of the period | 293,411,000 | 188,961,000 |
Cash and cash equivalents and restricted cash at the end of the period | 484,085,000 | 155,483,000 |
Reconciliation of cash and cash equivalents and restricted cash to the condensed consolidated balance sheets: | ||
Cash and cash equivalents | 199,149,000 | 61,222,000 |
Restricted cash | 284,936,000 | 94,261,000 |
Cash and cash equivalents and restricted cash at the end of the period | 484,085,000 | 155,483,000 |
Non-cash financing activities: | ||
Accrued stockholder servicing fee due to affiliate | 27,626,000 | 18,151,000 |
Right of use asset/liability | 6,408,000 | |
Redeemable non-controlling interest issued as settlement for performance participation allocation | 15,061,000 | 10,366,000 |
Accrued distributions | 11,431,000 | 6,191,000 |
Distribution reinvestment | 14,101,000 | 8,364,000 |
Allocation to redeemable non-controlling interest | $ 839,000 | $ 302,000 |
Organization and Business Purpo
Organization and Business Purpose | 3 Months Ended |
Mar. 31, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Business Purpose | 1. Organization and Business Purpose Starwood Real Estate Income Trust, Inc. (the “Company”) was formed on June 22, 2017 as a Maryland corporation and has elected to be taxed as a real estate investment trust (“REIT”) for U.S. federal income tax purposes commencing with the taxable year ended December 31, 2019. The Company was organized to invest primarily in stabilized, income-oriented commercial real estate and debt secured by commercial real estate. The Company’s portfolio is principally comprised of properties located in the United States. The Company may diversify its portfolio on a global basis through the acquisition of properties outside of the United States, with a focus on Europe. To a lesser extent, the Company invests in real estate debt, including loans secured by real estate and real estate-related securities. The Company is the sole general partner of Starwood REIT Operating Partnership, L.P., a Delaware limited partnership (the “Operating Partnership”). Starwood REIT Special Limited Partner, L.L.C. (the “Special Limited Partner”), a wholly owned subsidiary of Starwood Capital Group Holdings, L.P. (the “Sponsor”), owns a special limited partner interest in the Operating Partnership. Substantially all of the Company’s business is conducted through the Operating Partnership. The Company and the Operating Partnership are externally managed by Starwood REIT Advisors, L.L.C. (the “Advisor”), an affiliate of the Sponsor. The Company has registered with the Securities and Exchange Commission (the “SEC”) an offering of up to $5.0 billion in shares of common stock, consisting of up to $4.0 billion in shares in its primary offering and up to $1.0 billion in shares pursuant to its distribution reinvestment plan (the “Offering”). The Company is selling in the Offering any combination of four classes of shares of its common stock, with a dollar value up to the maximum aggregate amount. The share classes have different upfront selling commissions, dealer manager fees and ongoing stockholder servicing fees. The Company intends to continue selling shares on a monthly basis. On October 29, 2020, the Company filed a registration statement on Form S-11 with the SEC for its follow-on public offering, which the Company anticipates will become effective in 2021. As of March 31, 2021, the Company owned 147 real estate properties, one investment in an unconsolidated real-estate venture and 56 positions in real estate debt investments. The Company currently operates in six reportable segments: Multifamily, Hotel, Industrial, Office, Medical Office and Investments in Real Estate Debt. Financial results by segment are reported in Note 14. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation and Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. All significant intercompany balances and transactions have been eliminated in consolidation. Management believes it has made all necessary adjustments, consisting of only normal recurring items, so that the condensed consolidated financial statements are presented fairly and that estimates made in preparing its condensed consolidated financial statements are reasonable and prudent. The accompanying unaudited condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2020 filed with the SEC. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company, the Company’s subsidiaries and joint ventures in which the Company has a controlling interest. For consolidated joint ventures, the non-controlling partner’s share of the assets, liabilities and operations of the joint ventures is included in non-controlling interests as equity of the Company. The non-controlling partner’s interest is generally computed as the joint venture partner’s ownership percentage. In determining whether the Company has a controlling financial interest in a partially owned entity and the requirement to consolidate the accounts of that entity, the Company considers whether the entity is a variable interest entity (“VIE”) and whether it is the primary beneficiary. The Company is the primary beneficiary of a VIE when it has (i) the power to direct the most significant activities impacting the economic performance of the VIE and (ii) the obligation to absorb losses or receive benefits significant to the VIE. The Operating Partnership is considered to be a VIE. The Company consolidates the Operating Partnership because it has the ability to direct the most significant activities of the entities such as purchases, dispositions, financings, budgets, and overall operating plans. Where the Company does not have the power to direct the activities of the VIE that most significantly impact its economic performance, the Company's interest for those partially owned entities are accounted for using the equity method of accounting. The Company meets the VIE disclosure exemption criteria, as the Company’s interest in the Operating Partnership is considered a majority voting interest. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the balance sheet. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents represent cash held in banks, cash on hand, and liquid investments with original maturities of three months or less. The Company may have bank balances in excess of federally insured amounts; however, the Company deposits its cash and cash equivalents with high credit-quality institutions to minimize credit risk exposure. Restricted Cash Restricted cash primarily consists Investments in Real Estate In accordance with the guidance for business combinations, the Company determines whether the acquisition of a property qualifies as a business combination, which requires that the assets acquired and liabilities assumed constitute a business. If the property acquired is not a business, the Company accounts for the transaction as an asset acquisition. All property acquisitions to date have been accounted for as asset acquisitions. The Company capitalizes acquisition-related costs associated with asset acquisitions. Upon acquisition of a property, the Company assesses the fair value of acquired tangible and intangible assets (including land, buildings, tenant improvements, “above-market” and “below-market” leases, acquired in-place leases, other identified intangible assets and assumed liabilities) and allocates the purchase price to the acquired assets and assumed liabilities. The Company assesses and considers fair value based on estimated cash flow projections that utilize discount and/or capitalization rates that it deems appropriate, as well as other available market information. Estimates of future cash flows are based on a number of factors including the historical operating results, known and anticipated trends and market and economic conditions. The fair value of the tangible assets of an acquired property considers the value of the property as if it were vacant. The Company also considers an allocation of purchase price of other acquired intangibles, including acquired in-place leases that may have a customer relationship intangible value, including (but not limited to) the nature and extent of the existing relationship with the tenants, the tenants’ credit quality and expectations of lease renewals. Based on its acquisitions to date, the Company’s allocation to customer relationship intangible assets has not been material. The cost of buildings and improvements includes the purchase price of the Company’s properties and any acquisition-related costs, along with any subsequent improvements to such properties. The Company’s investments in real estate are stated at cost and are generally depreciated on a straight-line basis over the estimated useful lives of the assets as follows: Description Depreciable Life Building 35 - 40 years Building and land improvements 5 - 15 years Furniture, fixtures and equipment 5 - 7 years Lease intangibles and leasehold improvements Shorter of useful life or lease term Repairs and maintenance are expensed to operations as incurred and are included in Rental property operating and Hotel operating expenses on the Company’s Condensed Consolidated Statements of Operations. Significant improvements to properties are capitalized. When assets are sold or retired, their costs and related accumulated depreciation are removed from the accounts with the resulting gains or losses reflected in net income or loss for the period. The Company records acquired above-market and below-market leases at their fair values (using a discount rate which reflects the risks associated with the leases acquired) equal to the difference between (1) the contractual amounts to be received pursuant to each in-place lease and (2) management’s estimate of fair market lease rates for each corresponding in-place lease, measured over a period equal to the remaining term of the lease for above-market leases and the initial term plus the term of any below-market fixed rate renewal options for below-market leases. Other intangible assets acquired include amounts for in-place lease values that are based on the Company’s evaluation of the specific characteristics of each tenant’s lease. Factors to be considered include estimates of carrying costs during hypothetical expected lease-up periods considering current market conditions, and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the expected lease-up periods, depending on local market conditions. In estimating costs to execute similar leases, the Company considers leasing commissions, legal and other related expenses. The amortization of acquired above-market and below-market leases is recorded as an adjustment to Rental revenue on the Company’s Condensed Consolidated Statements of Operations. The amortization of in-place leases is recorded as an adjustment to Depreciation and amortization expense on the Company’s Condensed Consolidated Statements of Operations. Certain of the Company’s investments in real estate are subject to a ground lease, for which a lease liability and corresponding right-of-use (“ROU”) asset were recognized. The Company calculates the amount of the lease liability and ROU asset by taking the present value of the remaining lease payments, and adjusting the ROU asset for any existing straight-line ground rent liability and acquired ground lease intangibles. The Company’s estimated incremental borrowing rate of a loan with a similar term as the ground lease was used as the discount rate. The lease liability is included as a component of Accounts payable, accrued expenses, and other liabilities and the related ROU asset is recorded as a component of Investments in real estate, net on the Company’s Condensed Consolidated Balance Sheets. The amortization of the below-market ground lease is recorded as an adjustment to Depreciation and amortization expense on the Company’s Condensed Consolidated Statements of Operations. The Company’s management reviews its real estate properties for impairment when there is an event or change in circumstances that indicates an impaired value. Since cash flows on real estate properties considered to be “long-lived assets to be held and used” are considered on an undiscounted basis to determine whether an asset has been impaired, the Company’s strategy of holding properties over the long term decreases the likelihood of recording an impairment loss. If the Company’s strategy changes or market conditions otherwise dictate an earlier sale date, an impairment loss may be recognized and such loss could be material to the Company’s results. If the Company determines that an impairment has occurred, the affected assets must be reduced to their fair value. During the periods presented, no such impairment occurred. Investments in Unconsolidated Real Estate Ventures Investments in unconsolidated joint ventures are initially recorded at cost, and subsequently adjusted for equity in earnings or losses and cash contributions and distributions. Under the equity method of accounting, the net equity investment of the Company is reflected within the Investments in Real Estate Debt The Company’s investments in real estate debt consists of loans secured by real estate and real estate-related securities. The Company has elected to classify its real estate-related securities as trading securities and record such investments at fair value. As such, the resulting unrealized gains and losses of such securities are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. The Company elected the fair value option (“FVO”) for its loans secured by real estate. As such, the resulting unrealized gains and losses of such loans are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. Interest income from the Company’s investments in real estate debt is recognized over the life of each investment using the effective interest method and is recorded on the accrual basis. Recognition of premiums and discounts associated with these investments is deferred and recorded over the term of the investment as an adjustment to yield. Upfront costs and fees related to items for which the fair value option is elected shall be recognized in earnings as incurred and not deferred. Such items are recorded as components of Income (loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. Derivative Instruments The Company uses derivative financial instruments such as foreign currency swaps, interest rate swaps and interest rate caps to manage risks from fluctuations in exchange rates and interest rates. The Company records its derivatives on its condensed consolidated balance sheets at fair value and such amounts are included in Other assets or Accounts payable, accrued expenses and other liabilities. Any changes in the fair value of these derivatives are recorded in earnings. Foreign Currency The Company's functional currency is the U.S. dollar. Nonmonetary assets and liabilities are translated at historical rates and monetary assets and liabilities are translated at exchange rates in effect at the end of the reporting period. Income statement accounts are translated at average rates for the reporting period. Gains and losses from translation of foreign denominated statements into U.S. dollars are included in current results of operations. Gains and losses resulting from foreign currency transactions are also included in current results of operations. Aggregate foreign currency translation and transaction losses included in operations totaled $5.7 million for the three months ended March 31, 2021. These amounts are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. Fair Value Measurements Under normal market conditions, the fair value of an investment is the amount that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). Additionally, there is a hierarchal framework that prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is impacted by a number of factors, including the type of investment and the characteristics specific to the investment and the state of the market place, including the existence and transparency of transactions between market participants. Investments with readily available active quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. Investments measured and reported at fair value are classified and disclosed in one of the following levels within the fair value hierarchy: Level 1 — quoted prices are available in active markets for identical investments as of the measurement date. The Company does not adjust the quoted price for these investments. Level 2 — quoted prices are available in markets that are not active or model inputs are based on inputs that are either directly or indirectly observable as of the measurement date. Level 3 — pricing inputs are unobservable and include instances where there is minimal, if any, market activity for the investment. These inputs require significant judgment or estimation by management or third parties when determining fair value and generally represent anything that does not meet the criteria of Levels 1 and 2. Due to the inherent uncertainty of these estimates, these values may differ materially from the values that would have been used had a ready market for these investments existed. Valuation The Company generally determines the fair value of its investments in real estate-related securities by utilizing third-party pricing service providers. In determining the value of a particular investment, the pricing service providers may use broker-dealer quotations, reported trades or valuation estimates from their internal pricing models to determine the reported price. The pricing service providers’ internal models for real estate-related securities usually consider the attributes applicable to a particular class of security (e.g., credit rating, seniority), current market data, and estimated cash flows for each class and incorporate deal collateral performance such as prepayment speeds and default rates, as available. As of March 31, 2021 and December 31, 2020, the Company’s investments in real estate-related securities are classified as Level 2. The Company’s investment in loans secured by real estate, such as its term loan, are unlikely to have readily available market quotations. In such cases, the Company will generally determine the initial value based on the origination amount or acquisition price of such investment if acquired by the Company or the par value of such investment if originated by the Company. Following the initial measurement, the Company will determine fair value by utilizing or reviewing certain of the following inputs (i) market yield data, (ii) discounted cash flow modeling, (iii) collateral asset performance, (iv) local or macro real estate performance, (v) capital market conditions, (vi) debt yield or loan-to-value ratios and (vii) borrower financial condition and performance. As of March 31, 2021, the Company’s term loan is classified as Level 3. Fair value of the Company’s indebtedness is estimated by modeling the cash flows required by the Company’s debt agreements and discounting them back to the present value using an appropriate discount rate. Additionally, the Company considers current market rate and conditions by evaluating similar borrowing agreements with comparable loan-to-value ratios and credit profiles. The inputs used in determining the fair value of the Company’s indebtedness are considered Level 3. As of March 31, 2021, the fair value of the Company’s mortgage notes, revolving credit facility and secured financings on investments in real estate debt The Company’s interest rate swap agreements are valued using a discounted cash flow analysis based on the terms of the contract and the forward interest rate curve adjusted for the Company’s nonperformance risk. The Company’s interest rate cap positions are valued using models developed by the respective counterparty as well as third party pricing service providers that use as their basis readily observable market parameters (such as forward yield curves and credit default swap data). The Company’s derivative positions are classified as Level 2. As of March 31, 2021 and December 31, 2020, the fair value of the Company’s interest rate caps were approximately $1.7 million and $5.4 million, respectively, below their cost. As of March 31, 2021 and December 31, 2020, the Company’s interest rate swaps had an aggregate fair value liability of $0.8 million and $5.2 million, respectively. The fair values of the Company’s foreign currency swaps are determined by comparing the contracted forward exchange rate to the current market exchange rate. The current market exchange rates are determined by using market spot rates, forward rates and interest rate curves for the underlying instruments. As of March 31, 2021, the fair value of the Company’s foreign currency swaps were approximately $3.6 million. The fair values of the Company’s financial instruments (other than investments in real estate debt, mortgage notes, revolving credit facility and derivative instruments), including cash, cash equivalents and restricted cash and other financial instruments, approximate their carrying or contract value. Deferred Charges The Company’s deferred charges include financing and leasing costs. Deferred financing costs include legal, structuring and other loan costs incurred by the Company for its financing agreements. Deferred financing costs related to the Company’s mortgage notes are recorded as an offset to the related liability and amortized over the term of the applicable financing instruments as interest expense. Deferred financing costs related to the Company’s revolving credit facility and its unsecured revolving credit facility are recorded as a component of Other assets on the Company’s Condensed Consolidated Balance Sheets and amortized over the term of the applicable financing agreement. Deferred leasing costs incurred in connection with new leases, which consist primarily of brokerage commissions, are recorded as a component of Other assets on the Company’s Condensed Consolidated Balance Sheets and amortized over the life of the related lease. Revenue Recognition The Company commences revenue recognition on its leases based on a number of factors, including the initial determination that the contract is or contains a lease. Generally, all of the Company’s contracts are, or contain leases, and therefore revenue is recognized when the lessee takes possession of or controls the physical use of the leased assets. In most instances this occurs on the lease commencement date. At the inception of a new lease, including new leases that arise from amendments, the Company assesses the terms and conditions of the lease to determine the proper lease classification. The Company adopted the provisions of Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) and related ASUs subsequently issued (collectively, “ASC 842”) as of January 1, 2019. A lease is classified as an operating lease if none of the following criteria are met: (i) ownership transfers to the lessee at the end of the lease term, (ii) the lessee has a purchase option that is reasonably expected to be exercised, (iii) the lease term is for a major part of the economic life of the leased property, (iv) the present value of the future lease payments and any residual value guaranteed by the lessee that is not already reflected in the lease payments equals or exceeds substantially all of the fair value of the leased property, and (v) the leased property is of such a specialized nature that it is expected to have no future alternative use to the Company at the end of the lease term. If one or more of these criteria are met, the lease will generally be classified as a sales-type lease, unless the lease contains a residual value guarantee from a third party other than the lessee, in which case it would be classified as a direct financing lease under certain circumstances in accordance with ASC 842. The Company’s rental revenue primarily consists of fixed contractual base rent arising from tenant leases at the Company’s properties under operating leases. Revenue under operating leases that are deemed probable of collection, is recognized as revenue 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 in the Company’s Condensed Consolidated Balance Sheets. The Company’s Hotel revenue consists of room revenue and food and beverage revenue. Room revenue is recognized when the related room is occupied and other hotel revenue is recognized when the service is rendered. For leases that are deemed not probable of collection, revenue is recorded as the lesser of (i) the amount which would be recognized on a straight-line basis or (ii) cash that has been received from the tenant, with any tenant and deferred rent receivable balances charged as a direct write-off against rental income in the period of the change in the collectability determination. Certain of the Company’s contracts contain nonlease components (e.g., charges for management fees, common area maintenance, and reimbursement of third-party maintenance expenses) in addition to lease components (i.e., monthly rental charges). Services related to nonlease components are provided over the same period of time as, and billed in the same manner as, monthly rental charges. The Company elected to apply the practical expedient available under ASC 842, for all classes of assets, not to segregate the lease components from the nonlease components when accounting for operating leases. Since the lease component is the predominant component under each of these leases, combined revenues from both the lease and nonlease components are accounted for in accordance with ASC 842 and reported as Rental revenues in the Company’s Condensed Consolidated Statements of Operations. In connection with its investments, the Company has acquired assets subject to loan programs designed to encourage housing development. The proceeds from these loans are governed by restrictive covenants. For certain housing development loans, so long as the Company remains in compliance with the covenants and program requirements, the loans will be forgiven in equal annual installments until the loans are discharged in full. The Company treats these loans as deferred income and records them as a component of Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. As of March 31, 2021 and December 31, 2020, deferred income related to these loans amounted to $5.6 million and $5.8 million, respectively. As the loan balances are reduced during the compliance period, the Company will record income associated with the discharge of the loans as a component of Other revenue on the Company’s Condensed Consolidated Statements of Operations. For the three months ended March 31, 2021 and 2020, Other revenue related to these loans amounted to $0.2 million and $0.2 million, respectively. Other revenues and interest income are recorded on an accrual basis. Organization and Offering Expenses Organization costs are expensed as incurred and recorded as a component of General and administrative expenses on the Company’s Condensed Consolidated Statements of Operations and offering costs are charged to equity as such amounts are incurred. The Advisor advanced $7.3 million of organization and offering expenses on behalf of the Company (including legal, accounting, and other expenses attributable to the organization, but excluding upfront selling commissions, dealer manager fees and stockholder servicing fees) through December 21, 2019, the first anniversary of the date on which the proceeds from escrow were released. The Company reimburses the Advisor for all such advanced expenses ratably over a 60-month period following December 21, 2019. These organization and offering costs are recorded as a component of Due to affiliates on the Company’s Condensed Consolidated Balance Sheets. Starwood Capital, L.L.C. (the “Dealer Manager”), a registered broker-dealer affiliated with the Advisor, serves as the dealer manager for the Offering. The Dealer Manager is entitled to receive selling commissions and dealer manager fees based on the transaction price of each applicable class of shares sold in the primary offering. The Dealer Manager is also entitled to receive a stockholder servicing fee based on the aggregate net asset value (“NAV”) of the Company’s outstanding Class T shares, Class S shares, and Class D shares. The following table details the selling commissions, dealer manager fees, and stockholder servicing fees for each applicable share class as of March 31, 2021: Common Stock Class T Common Stock Class S Common Stock Class D Common Stock Class I Selling commissions and dealer manager fees (% of transaction price) up to 3.5% up to 3.5% up to 1.5% — Stockholder servicing fee (% of NAV) 0.85% 0.85% 0.25% — For Class T shares sold in the primary offering, investors will pay upfront selling commissions of up to 3.0% of the transaction price and upfront dealer manager fees of 0.5% of the transaction price, however such amounts may vary at certain participating broker-dealers, provided that the sum will not exceed 3.5% of the transaction price. For Class S shares sold in the primary offering, investors will pay upfront selling commissions of up to 3.5% of the transaction price. For Class D shares sold in the primary offering, investors will pay upfront selling commissions of up to 1.5% of the transaction price. Prior to February 4, 2020, no upfront selling commissions were paid on Class D shares. The Dealer Manager is entitled to receive stockholder servicing fees of 0.85% per annum of the aggregate NAV for Class T shares and Class S shares. For Class T shares such stockholder servicing fee includes, an advisor stockholder servicing fee of 0.65% per annum, and a dealer stockholder servicing fee of 0.20% per annum, of the aggregate NAV for the Class T shares, however, with respect to Class T shares sold through certain participating broker-dealers, the advisor stockholder servicing fee and the dealer stockholder servicing fee may be other amounts, provided that the sum of such fees will always equal 0.85% per annum of the NAV of such shares. The Class D shares will incur a stockholder servicing fee equal to 0.25% per annum of the aggregate NAV for the Class D shares. There is no stockholder servicing fee with respect to Class I shares. The Dealer Manager has entered into agreements with the selected dealers distributing the Company’s shares in the Offering, which provide, among other things, for the re-allowance of the full amount of the selling commissions and dealer manager fees received and all or a portion of the stockholder servicing fees to such selected dealers. The Company will cease paying the stockholder servicing fee with respect to any Class T share, Class S share or Class D share sold in the primary offering at the end of the month in which the total selling commissions, dealer manager fees and stockholder servicing fees paid with respect to the shares held by such stockholder within such account would exceed 8.75% (or, in the case of Class T shares sold through certain participating broker-dealers, a lower limit as set forth in any applicable agreement between the Dealer Manager and a participating broker-dealer) of the gross proceeds from the sale of such share (including the gross proceeds of any shares issued under the Company’s distribution reinvestment plan with respect thereto). The Company will accrue the full cost of the stockholder servicing fee as an offering cost at the time each Class T, Class S and Class D share is sold during the primary offering. As of March 31, 2021 and December 31, 2020, the Company had accrued $98.4 million and $73.2 million respectively, of stockholder servicing fees related to shares sold and recorded such amount as a component of Due to affiliates on the Company’s Condensed Consolidated Balance Sheets. Income Taxes The Company elected to be taxed as a REIT under the Internal Revenue Code (the “Code”), for federal income tax purposes, beginning with its taxable year ended December 31, 2019. As long as the Company qualifies for taxation as a REIT, it generally will not be subject to U.S. federal corporate income tax on its net taxable income that is currently distributed to its stockholders. A REIT is subject to a number of organizational and operational requirements, including a requirement that it currently distributes at least 90% of its REIT taxable income (subject to certain adjustments) to its stockholders. If the Company fails to qualify as a REIT in a taxable year, without the benefit of certain relief provisions, it will be subject to federal and state income tax on its taxable income at regular corporate tax rates. Even if the Company qualifies for taxation as a REIT, it may also be subject to certain federal, state, and local taxes on its income and assets, including (1) taxes on any undistributed income, (2) taxes related to its taxable REIT subsidiaries (“TRSs”) and (3) certain state or local income taxes. The Company has formed wholly owned subsidiaries to function as TRSs and filed TRS elections, together with such subsidiaries, with the Internal Revenue Service. In general, a TRS may perform additional services for the Company’s tenants and generally may engage in any real estate or non-real estate-related business other than management or operation of a lodging facility or a health care facility. The TRSs are subject to taxation at the federal, state and local levels, as applicable, at the regular corporate tax rates. The Company accounts for applicable income taxes by utilizing the asset and liability method. As such, the Company records deferred tax assets and liabilities for the future tax consequences resulting from the difference between the carrying value of existing assets and liabilities and their respective tax basis. A valuation allowance for deferred tax assets is provided if the Company believes all or some portion of the deferred tax asset may not be realized. For the three months ended March 31, 2021 and 2020, the Company recognized an income tax expense of $0.1 million and $0.1 million, respectively, within Other (expense) income, net on the Company’s Condensed Consolidated Statements of Operations. As of March 31, 2021 and December 31, 2020, the Company recorded a net deferred tax liability of $1.2 million and $1.2 million, respectively, due to its hotel investments within Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. Net Loss per Share Basic |
Investments
Investments | 3 Months Ended |
Mar. 31, 2021 | |
Real Estate [Abstract] | |
Investments | 3. Investments Investments in Real Estate Investments in real estate, net consisted of the following ($ in thousands): March 31, 2021 December 31, 2020 Building and building improvements $ 3,967,595 $ 3,860,297 Land and land improvements 704,601 689,107 Furniture, fixtures and equipment 77,291 76,808 Right of use asset - operating lease (1) 101,382 101,382 Total 4,850,869 4,727,594 Accumulated depreciation and amortization (169,083 ) (130,540 ) Investments in real estate, net $ 4,681,786 $ 4,597,054 (1) During the three months ended March 31, 2021, the Company acquired interests in three office properties. The following table provides further details of the properties acquired during the three months ended March 31, 2021 ($ in thousands): Investment Ownership Interest Number of Properties Location Sector Acquisition Date Real Estate Acquisition (1) Stonebridge 100% 3 Atlanta, GA Office February 23, 2021 $ 135,242 3 $ 135,242 (1) The following table summarizes the purchase price allocation for the properties acquired during the three months ended March 31, 2021 ($ in thousands): Stonebridge Building and building improvements $ 101,135 Land and land improvements 15,205 In-place lease intangibles 15,264 Above-market lease intangibles 3,308 Below-market lease intangibles (162 ) Total purchase price (1) $ 134,750 (1) Purchase price does not include acquisition-related costs of $0.5 million. The weighted-average amortization periods for the acquired in-place lease intangibles, above-market lease intangibles and below-market lease intangibles for the properties acquired during the three months ended March 31, 2021 were nine years, nine years and nine years, respectively. The estimated future amortization on the Company’s below-market ground lease for each of the next five years and thereafter as of March 31, 2021 is as follows ($ in thousands): Below-market Ground Lease 2021 (remaining) $ 1,527 2022 2,036 2023 2,036 2024 2,036 2025 2,036 Thereafter 83,492 $ 93,163 Investments in Unconsolidated Real Estate Ventures On March 13, 2019, the Company entered into a joint venture (the "Joint Venture") to acquire a Fort Lauderdale hotel. The Company owns a 43% interest in the Joint Venture. The Joint Venture is accounted for using the equity method of accounting and is included in Investment in unconsolidated real estate venture in the Company’s Condensed Consolidated Balance Sheets. The Company's investment in the Joint Venture totaled $11.2 million and $11.0 million as of March 31, 2021 and December 31, 2020, respectively. The Company’s (loss) earnings from its investment in the Joint Venture is presented in (Loss) earnings from unconsolidated real estate ventures on the Company’s Condensed Consolidated Statements of Operations and totaled ($22,000) and $0.4 million for the three months ended March 31, 2021 and 2020, respectively. |
Intangibles
Intangibles | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangibles | 4. Intangibles The gross carrying amount and accumulated amortization of the Company’s intangible assets and liabilities consisted of the following ($ in thousands): March 31, 2021 December 31, 2020 Intangible assets: (1) In-place lease intangibles $ 209,012 $ 194,003 Above-market lease intangibles 25,440 22,132 Other 31,019 31,019 Total intangible assets 265,471 247,154 Accumulated amortization: In-place lease amortization (75,535 ) (60,142 ) Above-market lease intangibles (4,516 ) (3,506 ) Other (4,336 ) (3,650 ) Total accumulated amortization (84,387 ) (67,298 ) Intangible assets, net $ 181,084 $ 179,856 Intangible liabilities: (2) Below-market lease intangibles $ 36,353 $ 36,190 Accumulated amortization (4,592 ) (3,534 ) Intangible liabilities, net $ 31,761 $ 32,656 (1) Included in Other assets on the Company’s Condensed Consolidated Balance Sheets. (2) Included in Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. The estimated future amortization on the Company’s intangibles for each of the next five years and thereafter as of March 31, 2021 is as follows ($ in thousands): In-place Lease Intangibles Above-market Lease Intangibles Other Below-market Lease Intangibles 2021 (remaining) $ 25,044 $ 3,045 $ 2,061 $ (2,900 ) 2022 24,508 3,665 2,738 (3,680 ) 2023 18,969 3,232 2,653 (3,372 ) 2024 14,565 2,247 2,639 (3,041 ) 2025 11,818 1,856 2,507 (2,758 ) Thereafter 38,573 6,879 14,085 (16,010 ) $ 133,477 $ 20,924 $ 26,683 $ (31,761 ) |
Investments in Real Estate Debt
Investments in Real Estate Debt | 3 Months Ended |
Mar. 31, 2021 | |
Schedule Of Investments [Abstract] | |
Investments in Real Estate Debt | 5. Investments in Real Estate Debt The following tables detail the Company’s investments in real estate debt as of March 31, 2021 and December 31, 2020 ($ in thousands): March 31, 2021 Type of Security/Loan Number of Positions Weighted Average Coupon (1) Weighted Average Maturity Date (2) Cost Basis Fair Value RMBS 54 3.17% January 8, 2047 $ 201,666 $ 204,817 CMBS 1 6.26% July 25, 2039 3,040 2,854 Total real estate securities 55 3.22% November 29, 2046 204,706 207,671 Term loan (3) 1 L + 5.35% February 26, 2026 504,540 496,692 Total investments in real estate debt 56 4.81% February 13, 2032 $ 709,246 $ 704,363 December 31, 2020 Type of Security Number of Positions Weighted Average Coupon (1) Weighted Average Maturity Date (2) Cost Basis Fair Value RMBS 55 3.22% March 22, 2047 $ 213,863 $ 215,358 CMBS 1 6.26% July 25, 2039 3,066 2,867 56 $ 216,929 $ 218,225 (1) As of March 31, 2021, the Company’s RMBS investments had floating rate coupons ranging from 0.00% to 7.95% and its CMBS investment had a floating rate coupon of 6.26%. (2) Weighted average maturity date is based on the fully extended maturity date of the underlying collateral. (3) On February 26, 2021, the Company provided financing in the form of a term loan to an unaffiliated entity in connection with its acquisition of a premier United Kingdom holiday company. The loan is in the amount of £360 million with an initial term of five years, with a two year extension option. The majority of the Company’s investments in real estate securities consist of non-agency residential mortgage-backed securities (“RMBS”). The Company also has an investment in commercial mortgage-backed securities (“CMBS”). During the three months ended March 31, 2021, the Company recorded net unrealized losses on its investments in real estate debt of $0.3 million. During the three months ended March 31, 2020, the Company recorded net unrealized losses and realized losses on its investments in real estate debt of $22.6 million and $1.3 million, respectively. Such amounts are recorded as a component of Income (loss) from investments in real estate debt, net on the Company’s Condensed Consolidated Statements of Operations. |
Mortgage Notes and Revolving Cr
Mortgage Notes and Revolving Credit Facility | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Mortgage Notes and Revolving Credit Facility | 6. Mortgage Notes and Revolving Credit Facility The following table is a summary of the mortgage notes and revolving credit facility secured by the Company’s properties as of March 31, 2021 and December 31, 2020 ($ in thousands): Principal Balance Outstanding (3) Indebtedness Weighted Average Interest Rate (1) Weighted Average Maturity Date (2) Maximum Facility Size March 31, 2021 December 31, 2020 Fixed rate loans Fixed rate mortgages 3.09% 3/7/2030 N/A $ 2,300,015 $ 2,236,290 Total fixed rate loans 2,300,015 2,236,290 Variable rate loans Floating rate mortgages L + 1.81% 3/30/2025 N/A 887,252 886,594 Variable rate revolving credit facility (4) L + 2.00% 10/21/2021 $ 200,000 172,800 172,800 Total variable rate loans 1,060,052 1,059,394 Total loans secured by the Company's properties 3,360,067 3,295,684 Deferred financing costs, net (16,662 ) (17,208 ) Premium on assumed debt, net 303 286 Mortgage notes and revolving credit facility, net $ 3,343,708 $ 3,278,762 ( 1) ( 2 ) For loans where the Company, at its own discretion, has extension options, the maximum maturity date has been assumed. ( 3 ) The majority of the Company’s mortgages contain yield or spread maintenance provisions. ( 4 ) The Company’s revolving credit facility can be drawn upon to fund the acquisition of future real estate investments. The following table presents the future principal payments under the Company’s mortgage notes and revolving credit facility as of March 31, 2021 ($ in thousands): Year Amount 2021 (remaining) $ 175,126 2022 51,183 2023 3,931 2024 215,859 2025 647,055 Thereafter 2,266,913 Total $ 3,360,067 Interest paid on the Company’s mortgage notes and revolving credit facility for the three months ended March 31, 2021 and 2020 was $15.9 million and $9.9 The Company’s mortgage notes and revolving credit facility may contain customary events of default and covenants, including limitations on liens and indebtedness. The Company is not aware of any instance of noncompliance with financial covenants as of March 31, 2021. |
Secured Financings On Investmen
Secured Financings On Investments In Real Estate Debt | 3 Months Ended |
Mar. 31, 2021 | |
Secured Financings On Investments In Real Estate Debt [Abstract] | |
Secured Financings on Investments in Real Estate Debt | 7. Secured Financings on Investments in Real Estate Debt Secured financings on investments in real estate debt are treated as collateralized financing transactions and are carried at their contractual amounts, including accrued interest, as specified in the respective agreements. Although structured as a sale and repurchase obligation, a secured financing on investments in real estate debt operates as a financing under which securities are pledged as collateral to secure a short-term loan equal in value to a specified percentage of the market value of the pledged collateral. While used as collateral, the Company retains beneficial ownership of the pledged collateral, including the right to distributions. At the maturity of a secured financing on investments in real estate debt , the Company is required to repay the loan and concurrently receive the pledged collateral from the lender or, with the consent of the lender, renew such agreement at the then prevailing financing rate. Interest rates on these borrowings are determined based on prevailing rates corresponding to the terms of the borrowings, and interest is paid at the termination of the borrowing at which time the Company may enter into a new borrowing arrangement at prevailing market rates with the same counterparty or repay that counterparty and negotiate financing with a different counterparty. The fair value of financial instruments pledged as collateral on the Company’s secured financings on investments in real estate debt disclosed in the tables below represent the Company’s fair value of such instruments, which may differ from the fair value assigned to the collateral by its counterparties. During February 2021, the Company entered into a repurchase agreement with Barclays Bank PLC in order to finance its term loan investment (the “Barclays RA”). The Barclays RA interest is equal to the three-month USD LIBOR plus a spread. For financial statement purposes, the Company does not offset its secured financings on investments in real estate debt and securities lending transactions because the conditions for netting as specified by GAAP are not met. Although not offset on the Company’s Condensed Consolidated Balance Sheets, these transactions are included in the following tables ($ in thousands): March 31, 2021 Indebtedness Maturity Date Coupon Collateral Assets (1) Outstanding Balance Barclays RA 2/26/2026 L + 2.50% $ 496,692 $ 137,970 $ 496,692 $ 137,970 December 31, 2020 Indebtedness Weighted Average Maturity Date Weighted Average Coupon Collateral Assets (1) Outstanding Balance RMBS 3/17/2021 1.93% $ 155,538 $ 105,804 CMBS 1/6/2021 2.10% 2,867 2,450 $ 158,405 $ 108,254 (1) Represents the fair value of the Company’s investments in real estate debt. Interest paid on the Company’s secured financings on investments in real estate debt for the three months ended March 31, 2021 and 2020 was $0.9 million and $0.7 million, respectively. |
Unsecured Revolving Credit Faci
Unsecured Revolving Credit Facility | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Unsecured Revolving Credit Facility | 8. Unsecured Revolving Credit Facility On December 16, 2020, the Company entered into an unsecured line of credit (the “Line of Credit”) for $100 million with multiple banks. The Line of Credit expires on December 16, 2023 and commencing on the third anniversary of the closing date, may request additional one year extensions thereafter. Interest under the Line of Credit is determined based on one-month U.S. dollar-denominated LIBOR plus 3.0%. As of March 31, 2021 and December 31, 2020, the capacity of the Line of Credit was $100 million. There were no outstanding borrowings on the Line of Credit as of March 31, 2021 and December 31, 2020. |
Other Assets and Other Liabilit
Other Assets and Other Liabilities | 3 Months Ended |
Mar. 31, 2021 | |
Other Assets And Other Liabilities [Abstract] | |
Other Assets and Other Liabilities | 9 . Other Assets and Other Liabilities The following table summarizes the components of other assets ($ in thousands): March 31, 2021 December 31, 2020 Intangible assets, net $ 181,084 $ 179,856 Receivables 26,073 23,692 Prepaid expenses 1,683 4,047 Derivative instruments 8,656 1,410 Deferred financing costs, net 1,169 1,268 Interest receivable 3,098 548 Acquisition deposits 12,079 7 Other 337 307 Total $ 234,179 $ 211,135 The following table summarizes the components of accounts payable, accrued expenses, and other liabilities ($ in thousands): March 31, 2021 December 31, 2020 Intangible liabilities, net $ 31,761 $ 32,656 Accounts payable and accrued expenses 26,725 19,651 Real estate taxes payable 15,633 14,842 Deferred income 8,744 11,111 Distributions payable 11,431 8,682 Tenant security deposits 9,948 9,842 Accrued interest expense 8,028 7,309 Right of use liability - operating lease 6,381 6,390 Derivative instruments 778 5,167 Other 2,950 1,422 Total $ 122,379 $ 117,072 |
Equity and Redeemable Non-contr
Equity and Redeemable Non-controlling Interest | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Equity and Redeemable Non-controlling Interest | 10 . Equity and Redeemable Non-controlling Interest Authorized Capital The Company is authorized to issue preferred stock and four classes of common stock consisting of Class T shares, Class S shares, Class D shares, and Class I shares. The Company’s board of directors has the ability to establish the preferences and rights of each class or series of preferred stock, without stockholder approval, and as such, it may afford the holders of any series or class of preferred stock preferences, powers and rights senior to the rights of holders of common stock. The differences among the common share classes relate to upfront selling commissions, dealer manager fees and ongoing stockholder servicing fees. See Note 2 for a further description of such items. Other than the differences in upfront selling commissions, dealer manager fees and ongoing stockholder servicing fees, each class of common stock is subject to the same economic and voting rights. As of March 31, 2021, the Company had the authority to issue 1,100,000,000 shares of capital stock, consisting of the following: Classification Number of Shares Par Value Preferred Stock 100,000,000 $ 0.01 Class T Shares 250,000,000 $ 0.01 Class S Shares 250,000,000 $ 0.01 Class D Shares 250,000,000 $ 0.01 Class I Shares 250,000,000 $ 0.01 Total 1,100,000,000 See Note 15 for disclosure regarding an amendment to the Company’s charter to increase the number of authorized shares of common stock. Common Stock The following table details the movement in the Company’s outstanding shares of common stock: Three months ended March 31, 2021 Class T Class S Class D Class I Total December 31, 2020 2,463,182 46,431,661 2,847,097 39,152,913 90,894,853 Common stock shares issued 225,394 14,078,322 1,738,543 12,134,514 28,176,773 Distribution reinvestment plan shares issued 18,360 379,173 29,788 225,844 653,165 Common stock shares repurchased (32,068 ) (398,352 ) (6,341 ) (131,324 ) (568,085 ) March 31, 2021 2,674,868 60,490,804 4,609,087 51,381,947 119,156,706 Distributions The Company generally intends to distribute substantially all of its taxable income, which does not necessarily equal net income as calculated in accordance with GAAP, to its stockholders each year to comply with the REIT provisions of the Code. Each class of common stock receives the same gross distribution per share. The net distribution varies for each class based on the applicable stockholder servicing fee, which is deducted from the monthly distribution per share and paid directly to the applicable distributor. The following table details the aggregate distributions declared for each applicable class of common stock for the three months ended March 31, 2021: Class T Class S Class D Class I Gross distributions declared per share of common stock $ 0.3105 $ 0.3105 $ 0.3105 $ 0.3105 Stockholder servicing fee per share of common stock (0.0454 ) (0.0455 ) (0.0133 ) — Net distributions declared per share of common stock $ 0.2651 $ 0.2650 $ 0.2972 $ 0.3105 Redeemable Non-controlling Interest In connection with its performance participation interest, the Special Limited Partner holds Class I units in the Operating Partnership. See Note 11 for further details of the Special Limited Partner’s performance participation interest. Because the Special Limited Partner has the ability to redeem its Class I units for cash, at its election, the Company has classified these Class I units as Redeemable non-controlling interest in mezzanine equity on the Company’s Condensed Consolidated Balance Sheets. The Redeemable non-controlling interest is recorded at the greater of the carrying amount, adjusted for its share of the allocation of income or loss and dividends, or the redemption value, which is equivalent to fair value, of such units at the end of each measurement period. As the redemption value was greater than the adjusted carrying value at March 31, 2021, the Company recorded an allocation adjustment of $0.8 million between Additional paid-in capital and Redeemable non-controlling interest. The following table summarizes the Redeemable non-controlling interest activity for the three months ended March 31, 2021 ($ in thousands): December 31, 2020 $ 10,409 Settlement of 2020 performance participation allocation 15,061 GAAP income allocation (221 ) Distributions (366 ) Fair value allocation 839 March 31, 2021 $ 25,722 Share Repurchase Plan The Company has adopted a share repurchase plan, whereby on a monthly basis, stockholders may request that the Company repurchase all or any portion of their shares. The Company may choose to repurchase all, some or none of the shares that have been requested to be repurchased at the end of any particular month, in its discretion, subject to any limitations in the share repurchase plan. The total amount of aggregate repurchases of Class T, Class S, Class D, and Class I shares (excluding any early repurchase deduction) is limited to 2% of the aggregate NAV per month (measured using the aggregate NAV as of the end of the immediately preceding month) and 5% of the aggregate NAV per calendar quarter (measured using the aggregate NAV as of the end of the immediately preceding quarter). Shares are repurchased at a price equal to the transaction price on the applicable repurchase date, subject to any early repurchase deduction. Shares that have not been outstanding for at least one year are repurchased at 95% of the transaction price. Due to the illiquid nature of investments in real estate, the Company may not have sufficient liquid resources to fund repurchase requests and may elect not to repurchase some or all of the shares submitted for repurchase in a given period. Further, the Company may make exceptions to modify or suspend the share repurchase plan. The Company’s board of directors may also determine to terminate the share repurchase plan if required by applicable law or in connection with a transaction in which the Company’s stockholders receive liquidity for their shares of common stock, such as a sale or merger of the Company or listing of its shares on a national securities exchange. For the three months ended March 31, 2021 and 2020, the Company repurchased 568,085 and 45,719 shares of common stock representing a total of $12.3 million and $1.0 million, respectively. The Company had no unfulfilled repurchase requests during the three months ended March 31, 2021. Distribution Reinvestment Plan The Company has adopted a distribution reinvestment plan whereby stockholders (other than clients of participating broker dealers and residents of certain states that do not permit automatic enrollment in the distribution reinvestment plan) will have their cash distributions automatically reinvested in additional shares of common stock unless they elect to receive their distributions in cash. Stockholders who (i) reside in a state or jurisdiction that requires affirmative enrollment in the distribution reinvestment plan or (ii) are clients of a participating broker-dealer that requires affirmative enrollment in the distribution reinvestment plan will automatically receive their distributions in cash unless they elect to have their cash distributions reinvested in additional shares of the Company’s common stock. The per share purchase price for shares purchased pursuant to the distribution reinvestment plan will be equal to the transaction price before upfront selling commissions and dealer manager fees at the time the distribution is payable, which will generally be equal to the Company’s prior month’s NAV per share for that share class. Stockholders will not pay upfront selling commissions or dealer manager fees when purchasing shares pursuant to the distribution reinvestment plan. The stockholder servicing fees with respect to shares of the Company’s Class T shares, Class S shares and Class D shares are calculated based on the NAV for those shares and may reduce the NAV or, alternatively, the distributions payable with respect to shares of each such class, including shares issued in respect of distributions on such shares under the distribution reinvestment plan. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 1 1 . Related Party Transactions Acquisition of Investments On March 20, 2020, the Company acquired a 75% interest in 60 State Street, a 911,000-square-foot office building in Boston, Massachusetts through a joint venture, between the Company and the Sponsor. The Sponsor purchased a 25% interest (the “60 State Street Membership Interests”) alongside the Company with the intent of subsequently selling it to an unaffiliated buyer. The Sponsor subsequently exercised its right to put the 60 State Street Membership Interests to the Company. During the second quarter of 2020, the Company acquired the 60 State Street Membership Interests in three transactions at a cost of $59.0 million plus interest equal to one month LIBOR +2.40% or $0.3 million. As a result of this transaction, the Company wholly owns 60 State Street. On October 29, 2020, the Company borrowed $22 million from the Sponsor to fund an acquisition. The borrowing was repaid on Management Fee and Performance Participation Allocation The Advisor is entitled to an annual management fee equal to 1.25% of the Company’s NAV, payable monthly as compensation for the services it provides to the Company. The management fee can be paid, at the Advisor’s election, in cash, shares of common stock, or Operating Partnership units. During the three months ended March 31, 2021 and 2020, the Company incurred management fees of $7.4 million and $3.9 million, respectively. To date, the Advisor has elected to receive the management fee in shares of the Company’s common stock. For the three months ended March 31, 2021, the Company issued 214,021 unregistered Class I shares to the Advisor as payment for the management fee and also had a payable of $2.8 million related to the management fee as of March 31, 2021, which is included in Due to affiliates on the Company’s Condensed Consolidated Balance Sheets. During April 2021, the Advisor was issued 126,892 unregistered Class I shares as payment for the $2.8 million management fee accrued as of March 31, 2021. The shares issued to the Advisor for payment of the management fee were issued at the applicable NAV per share at the end of each month for which the fee was earned. Additionally, the Special Limited Partner, an affiliate of the Advisor, holds a performance participation interest in the Operating Partnership that entitles it to receive an allocation of the Operating Partnership’s total return to its capital account. Total return is defined as distributions paid or accrued plus the change in NAV. Under the Operating Partnership agreement, the annual total return will be allocated solely to the Special Limited Partner after the other unit holders have received a total return of 5% (after recouping any loss carryforward amount) and such allocation will continue until the allocation between the Special Limited Partner and all other unit holders is equal to 12.5% and 87.5%, respectively. Thereafter, the Special Limited Partner will receive an allocation of 12.5% of the annual total return. The annual distribution of the performance participation interest will be paid in cash or Class I units of the Operating Partnership, at the election of the Special Limited Partner. During the three months ended March 31, 2021 and 2020, the Company recognized $8.7 million and $46,000, respectively, of performance participation allocation in the Company’s Condensed Consolidated Statements of Operations. The 2020 performance participation allocation became payable on December 31, 2020 and, in January 2021, the Company issued 695,320 Class I units in the Operating Partnership to the Special Limited Partner as payment for the 2020 performance participation allocation. Such Class I units were issued at the NAV per unit as of December 31, 2020. Due to Affiliates The following table details the components of Due to affiliates ($ in thousands): March 31, 2021 December 31, 2020 Accrued stockholder servicing fee $ 98,409 $ 73,170 Performance participation allocation 8,708 15,061 Advanced organization and offering costs 5,465 5,830 Accrued management fee 2,776 2,103 Accrued affiliate service provider expenses 452 — Advanced operating expenses 756 207 Total $ 116,566 $ 96,371 Accrued stockholder servicing fee As described in Note 2, the Company accrues the full amount of the future stockholder servicing fees payable to the Dealer Manager for Class T, Class S, and Class D shares up to the 8.75% limit at the time such shares are sold. As of March 31, 2021 and December 31, 2020, the Company has accrued $98.4 million and $73.2 million, respectively, of stockholder servicing fees payable to the Dealer Manager related to the Class T, Class S shares and Class D shares sold. The Dealer Manager has entered into agreements with the selected dealers distributing the Company’s shares in the Offering, which provide, among other things, for the re-allowance of the full amount of the selling commissions and dealer manager fee and all or a portion of the stockholder servicing fees received by the Dealer Manager to such selected dealers. Advanced organization and offering costs The Advisor and its affiliates incurred $7.3 million of organization and offering costs (excluding upfront selling commissions, dealer manager fees and stockholder servicing fees) on behalf of the Company through December 21, 2019. Such amount is being reimbursed to the Advisor ratably over 60 months, which commenced in January 2020. Advanced operating expenses As of March 31, 2021 and December 31, 2020, the Advisor had advanced approximately $0.1 million and $0.1 million, respectively, of expenses on the Company’s behalf for general corporate expenses provided by unaffiliated third parties. Such amounts (incurred prior to 2019) are being reimbursed to the Advisor ratably over a 60 month period, which commenced in January 2020. For the three months ended March 31, 2021 and the year ended December 31, 2020, the Advisor had incurred approximately $1.4 million and $2.7 million, respectively, of expenses on the Company’s behalf for general corporate expenses. Such amounts are being reimbursed to the Advisor one month in arrears. Accrued affiliate service provider expenses The Company has engaged and expects to continue to engage Highmark Residential (formerly Milestone Management), a portfolio company owned by an affiliate of the Sponsor, to provide property management services (including leasing, revenue management, accounting, legal and contract management, expense management, and capital expenditure projects and transaction support services) for a portion of the Company’s multifamily properties. The cost for such services is a percentage of the gross receipts and project costs respectively (which will be reviewed periodically and adjusted if appropriate), plus actual costs allocated for transaction support services. During the three months ended March 31, 2021 and 2020, the Company has incurred approximately $1.3 million and $0.5 million, respectively, of expenses due to Highmark Residential services in connection with its investments and such amount is included in Rental property operating expenses on the Company’s Condensed Consolidated Statements of Operations. The Company has engaged Rinaldi, Finkelstein & Franklin L.L.C. (“RFF”), a law firm owned and controlled by Ellis F. Rinaldi, Co-General Counsel and Senior Managing Director of the Sponsor and certain of its affiliates, to provide corporate legal support services to the Company. During the three months ended March 31, 2021 and 2020, the amounts incurred for services provided by RFF were $0.1 million and $0.1 million, respectively. The Company has engaged Essex Title, LLC (“Essex”), a title agent company majority owned by the Sponsor. Essex acts as an agent for one or more underwriters in issuing title policies and/or providing support services in connection with investments by the Company, Starwood Capital and its affiliates and third parties. Essex focuses on transactions in rate-regulated states where the cost of title insurance is non-negotiable. Essex will not perform services in non-regulated states for the Company, unless (i) in the context of a portfolio transaction that includes properties in rate-regulated states, (ii) as part of a syndicate of title insurance companies where the rate is negotiated by other insurers or their agents, (iii) when a third party is paying all or a material portion of the premium or (iv) when providing only support services to the underwriter. Essex earns fees, which would have otherwise been paid to third parties, by providing title agency services and facilitating placement of title insurance with underwriters. Starwood receives distributions from Essex in connection with investments by the Company based on its equity interest in Essex. In each case, there will be no related offset to the Company. During the three months ended March 31, 2021 and 2020, the Company did not incur any expenses from Essex. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 1 2 . Commitments and Contingencies As of March 31, 2021 and December 31, 2020, the Company is not subject to any material litigation nor is the Company aware of any material litigation threatened against it. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Leases | 1 3 . Leases Lessee Certain of the Company’s investments in real estate are subject to a ground lease. The Company’s ground lease is classified as an operating lease based on the characteristics of the lease. The ground lease was acquired as part of the acquisition of real estate and no incremental costs were incurred for such ground lease. The Company’s ground lease is non-cancelable and does not contain any additional renewal options. The following table presents the future lease payments due under the Company’s ground lease as of March 31, 2021 ($ in thousands): Operating Leases 2021 (remaining) $ 299 2022 399 2023 399 2024 399 2025 399 Thereafter 16,355 Total undiscounted future lease payments 18,250 Difference between undiscounted cash flows and discounted cash flows 11,869 Total lease liability $ 6,381 The Company utilized its incremental borrowing rate of 6% to determine its lease liabilities. As of March 31, 2021, the weighted average remaining lease term of the Company’s operating lease was 46 years. Payments under the Company’s ground lease contain fixed payment components. The Company’s ground lease contained escalations prior to the Company’s hold period. Lessor The Company’s rental revenue primarily consists of rent earned from operating leases at the Company’s multifamily, industrial, office and medical office properties. Leases at the Company’s industrial, office and medical office properties generally include a fixed base rent and certain leases also contain a variable component. The variable component of the Company’s operating leases at its industrial, office and medical office properties primarily consist of the reimbursement of operating expenses such as real estate taxes, insurance, and common area maintenance costs. Leases at the Company’s industrial, office and medical office properties are generally longer term and may contain extension and termination options at the lessee’s election. The Company’s rental revenue earned from leases at the Company’s multifamily properties primarily consists of a fixed base rent and certain leases contain a variable component that allows for the pass-through of certain operating expenses such as utilities. Leases at the Company’s multifamily properties are short term in nature, generally not greater than 12 months in length. The following table summarizes the fixed and variable components of the Company’s operating leases ($ in thousands): Three Months Ended March 31, 2021 2020 Fixed lease payments $ 88,232 $ 40,603 Variable lease payments 9,875 5,862 Rental revenue $ 98,107 $ 46,465 The following table presents the undiscounted future minimum rents the Company expects to receive for its industrial, office and medical office properties ($ in thousands) as of March 31, 2021. Leases at the Company’s multifamily properties are short term, generally 12 months or less, and are therefore not included. Year Future Minimum Rents 2021 (remaining) $ 106,212 2022 130,117 2023 122,209 2024 108,646 2025 96,454 Thereafter 390,191 Total $ 953,829 |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Reporting | 1 4 . Segment Reporting The Company operates in six reportable segments: Multifamily properties, Hotel properties, Industrial properties, Office properties, Medical office properties and Investments in real estate debt. The Company allocates resources and evaluates results based on the performance of each segment individually. The Company believes that segment net operating income is the key performance metric that captures the unique operating characteristics of each segment. The following table sets forth the total assets by segment ($ in thousands): March 31, 2021 December 31, 2020 Multifamily $ 2,709,742 $ 2,738,210 Hotel 243,489 244,065 Industrial 537,306 551,898 Office 1,218,088 1,186,328 Medical office 195,668 196,559 Investments in real estate debt 704,363 218,225 Other (Corporate) 506,961 195,531 Total assets $ 6,115,617 $ 5,330,816 The following table sets forth the financial results by segment for the three months ended March 31, 2021 ($ in thousands): Multifamily Hotel Industrial Office Medical Office Investments in Real Estate Debt Total Revenues: Rental revenue $ 54,379 $ — $ 10,579 $ 29,569 $ 3,580 $ — $ 98,107 Hotel revenue — 6,966 — — — — 6,966 Other revenue 555 64 — 49 10 — 678 Total revenues 54,934 7,030 10,579 29,618 3,590 — 105,751 Expenses: Rental property operating 23,030 — 2,919 10,918 1,595 — 38,462 Hotel operating — 4,418 — — — — 4,418 Total segment expenses 23,030 4,418 2,919 10,918 1,595 — 42,880 Income from investments in real estate debt — — — — — 8,794 8,794 Loss from unconsolidated real estate ventures — (22 ) — — — — (22 ) Segment net operating income $ 31,904 $ 2,590 $ 7,660 $ 18,700 $ 1,995 $ 8,794 $ 71,643 Depreciation and amortization $ (29,247 ) $ (2,129 ) $ (6,063 ) $ (15,167 ) $ (2,190 ) $ — $ (54,796 ) General and administrative (2,706 ) Management fees (7,420 ) Performance participation allocation (8,708 ) Interest expense (17,945 ) Other expense, net (199 ) Net loss $ (20,131 ) Net loss attributable to non- controlling interests in consolidated joint ventures 21 Net loss attributable to non- controlling interests in Operating Partnership 221 Net loss attributable to stockholders $ (19,889 ) The following table sets forth the financial results by segment for the three months ended March 31, 2020 ($ in thousands): Multifamily Hotel Industrial Office Medical Office Real Estate- Related Securities Total Revenues: Rental revenue $ 25,114 $ — $ 6,688 $ 12,813 $ 1,850 $ — $ 46,465 Hotel revenue — 10,215 — — — — 10,215 Other revenue 262 74 — 11 10 — 357 Total revenues 25,376 10,289 6,688 12,824 1,860 — 57,037 Expenses: Rental property operating 8,940 — 1,716 4,326 562 — 15,544 Hotel operating — 5,964 — — — — 5,964 Total segment expenses 8,940 5,964 1,716 4,326 562 — 21,508 Loss from investments in real estate- related securities, net — — — — — (20,173 ) (20,173 ) Earnings from unconsolidated real estate ventures — 360 — — — — 360 Segment net operating income (loss) $ 16,436 $ 4,685 $ 4,972 $ 8,498 $ 1,298 $ (20,173 ) $ 15,716 Depreciation and amortization $ (16,790 ) $ (2,078 ) $ (4,164 ) $ (6,781 ) $ (730 ) $ — $ (30,543 ) General and administrative (2,358 ) Management fees (3,946 ) Performance participation allocation (46 ) Interest expense (19,641 ) Other income, net 171 Net loss $ (40,647 ) Net loss attributable to non- controlling interests in consolidated joint ventures 638 Net loss attributable to non- controlling interests in Operating Partnership 332 Net loss attributable to stockholders $ (39,677 ) |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | 1 5 . Subsequent Events Acquisitions/New Investments Subsequent to March 31, 2021, the Company acquired, in two separate transactions, industrial real estate properties with an aggregate cost of approximately $562.8 million, exclusive of closing costs and related working capital. Status of the Offering As of May 11, 2021, the Company had sold an aggregate of 159,607,694 shares of its common stock (consisting of 3,118,329 Class T shares, 80,131,712 Class S shares, 7,713,063 Class D shares, and 68,644,590 Class I shares) in the Offering resulting in net proceeds of approximately $3.4 billion to the Company as payment for such shares. Share In this offering, we are selling up to $4,000,000,000 in shares in our primary offering and up to $1,000,000,000 in shares pursuant to our distribution reinvestment plan. In accordance with the terms of the offering, we may reallocate shares between the primary offering and distribution reinvestment plan. We have reallocated $300,000,000 in shares from our distribution reinvestment plan to our primary offering, and as a result, we are now offering up to $4,300,000,000 in shares in our primary offering and up to $700,000,000 in shares pursuant to our distribution reinvestment plan. Formation of Compensation Committee On May 7, 2021, the Company’s board of directors formed a compensation committee and appointed Richard D. Bronson, Robin Josephs and Peggy Lamb as members. Independent Director Compensation On May 7, 2021, the Company’s board of directors amended and restated the Company’s independent director compensation policy, effective April 1, 2021, to reflect the following updates: (1) each independent director shall receive an annual retainer of $175,000; (2) the chairperson of the compensation committee shall receive an annual retainer of $10,000; (3) compensation paid under the policy shall be in quarterly installments of which 40% shall be paid in cash in arrears and 60% shall be paid in the form of restricted shares of the Company’s Class I common stock (the “Class I Restricted Stock”); (4) the Class I Restricted Stock shall be granted on the third business day following the Company’s annual meeting of stockholders; and (5) the number of Class I Restricted Stock granted shall be determined by dividing 60% of the compensation due, taking into account any proration, by the then-current NAV of the Company’s Class I common stock as of the last day of the calendar month immediately preceding the grant date, and rounded to the nearest whole number. Charter Amendment Effective May 7, 2021, the Company amended its charter to increase the number of shares of stock that the Company has authority to issue to 3,100,000,000 shares, consisting of 3,000,000,000 shares of common stock, $0.01 par value per share, 500,000,000 of which are classified as Class T common stock, 1,000,000,000 of which are classified as Class S common stock, 500,000,000 of which are classified as Class D common stock and 1,000,000,000 of which are classified as Class I common stock, and 100,000,000 shares of preferred stock, $0.01 par value per share. Prior to the amendment, the Company had authority to issue 1,100,000,000 shares, consisting of 1,000,000,000 shares of common stock, $0.01 par value per share, 250,000,000 of which were classified as Class T common stock, 250,000,000 of which were classified as Class S common stock, 250,000,000 of which were classified as Class D common stock and 250,000,000 of which were classified as Class I common stock, and 100,000,000 shares of preferred stock, $0.01 par value per share. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. All significant intercompany balances and transactions have been eliminated in consolidation. Management believes it has made all necessary adjustments, consisting of only normal recurring items, so that the condensed consolidated financial statements are presented fairly and that estimates made in preparing its condensed consolidated financial statements are reasonable and prudent. The accompanying unaudited condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2020 filed with the SEC. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company, the Company’s subsidiaries and joint ventures in which the Company has a controlling interest. For consolidated joint ventures, the non-controlling partner’s share of the assets, liabilities and operations of the joint ventures is included in non-controlling interests as equity of the Company. The non-controlling partner’s interest is generally computed as the joint venture partner’s ownership percentage. In determining whether the Company has a controlling financial interest in a partially owned entity and the requirement to consolidate the accounts of that entity, the Company considers whether the entity is a variable interest entity (“VIE”) and whether it is the primary beneficiary. The Company is the primary beneficiary of a VIE when it has (i) the power to direct the most significant activities impacting the economic performance of the VIE and (ii) the obligation to absorb losses or receive benefits significant to the VIE. The Operating Partnership is considered to be a VIE. The Company consolidates the Operating Partnership because it has the ability to direct the most significant activities of the entities such as purchases, dispositions, financings, budgets, and overall operating plans. Where the Company does not have the power to direct the activities of the VIE that most significantly impact its economic performance, the Company's interest for those partially owned entities are accounted for using the equity method of accounting. The Company meets the VIE disclosure exemption criteria, as the Company’s interest in the Operating Partnership is considered a majority voting interest. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the balance sheet. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents represent cash held in banks, cash on hand, and liquid investments with original maturities of three months or less. The Company may have bank balances in excess of federally insured amounts; however, the Company deposits its cash and cash equivalents with high credit-quality institutions to minimize credit risk exposure. |
Restricted Cash | Restricted Cash Restricted cash primarily consists |
Investments in Real Estate | Investments in Real Estate In accordance with the guidance for business combinations, the Company determines whether the acquisition of a property qualifies as a business combination, which requires that the assets acquired and liabilities assumed constitute a business. If the property acquired is not a business, the Company accounts for the transaction as an asset acquisition. All property acquisitions to date have been accounted for as asset acquisitions. The Company capitalizes acquisition-related costs associated with asset acquisitions. Upon acquisition of a property, the Company assesses the fair value of acquired tangible and intangible assets (including land, buildings, tenant improvements, “above-market” and “below-market” leases, acquired in-place leases, other identified intangible assets and assumed liabilities) and allocates the purchase price to the acquired assets and assumed liabilities. The Company assesses and considers fair value based on estimated cash flow projections that utilize discount and/or capitalization rates that it deems appropriate, as well as other available market information. Estimates of future cash flows are based on a number of factors including the historical operating results, known and anticipated trends and market and economic conditions. The fair value of the tangible assets of an acquired property considers the value of the property as if it were vacant. The Company also considers an allocation of purchase price of other acquired intangibles, including acquired in-place leases that may have a customer relationship intangible value, including (but not limited to) the nature and extent of the existing relationship with the tenants, the tenants’ credit quality and expectations of lease renewals. Based on its acquisitions to date, the Company’s allocation to customer relationship intangible assets has not been material. The cost of buildings and improvements includes the purchase price of the Company’s properties and any acquisition-related costs, along with any subsequent improvements to such properties. The Company’s investments in real estate are stated at cost and are generally depreciated on a straight-line basis over the estimated useful lives of the assets as follows: Description Depreciable Life Building 35 - 40 years Building and land improvements 5 - 15 years Furniture, fixtures and equipment 5 - 7 years Lease intangibles and leasehold improvements Shorter of useful life or lease term Repairs and maintenance are expensed to operations as incurred and are included in Rental property operating and Hotel operating expenses on the Company’s Condensed Consolidated Statements of Operations. Significant improvements to properties are capitalized. When assets are sold or retired, their costs and related accumulated depreciation are removed from the accounts with the resulting gains or losses reflected in net income or loss for the period. The Company records acquired above-market and below-market leases at their fair values (using a discount rate which reflects the risks associated with the leases acquired) equal to the difference between (1) the contractual amounts to be received pursuant to each in-place lease and (2) management’s estimate of fair market lease rates for each corresponding in-place lease, measured over a period equal to the remaining term of the lease for above-market leases and the initial term plus the term of any below-market fixed rate renewal options for below-market leases. Other intangible assets acquired include amounts for in-place lease values that are based on the Company’s evaluation of the specific characteristics of each tenant’s lease. Factors to be considered include estimates of carrying costs during hypothetical expected lease-up periods considering current market conditions, and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the expected lease-up periods, depending on local market conditions. In estimating costs to execute similar leases, the Company considers leasing commissions, legal and other related expenses. The amortization of acquired above-market and below-market leases is recorded as an adjustment to Rental revenue on the Company’s Condensed Consolidated Statements of Operations. The amortization of in-place leases is recorded as an adjustment to Depreciation and amortization expense on the Company’s Condensed Consolidated Statements of Operations. Certain of the Company’s investments in real estate are subject to a ground lease, for which a lease liability and corresponding right-of-use (“ROU”) asset were recognized. The Company calculates the amount of the lease liability and ROU asset by taking the present value of the remaining lease payments, and adjusting the ROU asset for any existing straight-line ground rent liability and acquired ground lease intangibles. The Company’s estimated incremental borrowing rate of a loan with a similar term as the ground lease was used as the discount rate. The lease liability is included as a component of Accounts payable, accrued expenses, and other liabilities and the related ROU asset is recorded as a component of Investments in real estate, net on the Company’s Condensed Consolidated Balance Sheets. The amortization of the below-market ground lease is recorded as an adjustment to Depreciation and amortization expense on the Company’s Condensed Consolidated Statements of Operations. The Company’s management reviews its real estate properties for impairment when there is an event or change in circumstances that indicates an impaired value. Since cash flows on real estate properties considered to be “long-lived assets to be held and used” are considered on an undiscounted basis to determine whether an asset has been impaired, the Company’s strategy of holding properties over the long term decreases the likelihood of recording an impairment loss. If the Company’s strategy changes or market conditions otherwise dictate an earlier sale date, an impairment loss may be recognized and such loss could be material to the Company’s results. If the Company determines that an impairment has occurred, the affected assets must be reduced to their fair value. During the periods presented, no such impairment occurred. |
Investments in Unconsolidated Real Estate Ventures | Investments in Unconsolidated Real Estate Ventures Investments in unconsolidated joint ventures are initially recorded at cost, and subsequently adjusted for equity in earnings or losses and cash contributions and distributions. Under the equity method of accounting, the net equity investment of the Company is reflected within the |
Investments in Real Estate Debt | Investments in Real Estate Debt The Company’s investments in real estate debt consists of loans secured by real estate and real estate-related securities. The Company has elected to classify its real estate-related securities as trading securities and record such investments at fair value. As such, the resulting unrealized gains and losses of such securities are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. The Company elected the fair value option (“FVO”) for its loans secured by real estate. As such, the resulting unrealized gains and losses of such loans are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. Interest income from the Company’s investments in real estate debt is recognized over the life of each investment using the effective interest method and is recorded on the accrual basis. Recognition of premiums and discounts associated with these investments is deferred and recorded over the term of the investment as an adjustment to yield. Upfront costs and fees related to items for which the fair value option is elected shall be recognized in earnings as incurred and not deferred. Such items are recorded as components of Income (loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. |
Derivative Instruments | Derivative Instruments The Company uses derivative financial instruments such as foreign currency swaps, interest rate swaps and interest rate caps to manage risks from fluctuations in exchange rates and interest rates. The Company records its derivatives on its condensed consolidated balance sheets at fair value and such amounts are included in Other assets or Accounts payable, accrued expenses and other liabilities. Any changes in the fair value of these derivatives are recorded in earnings. |
Foreign Currency | Foreign Currency The Company's functional currency is the U.S. dollar. Nonmonetary assets and liabilities are translated at historical rates and monetary assets and liabilities are translated at exchange rates in effect at the end of the reporting period. Income statement accounts are translated at average rates for the reporting period. Gains and losses from translation of foreign denominated statements into U.S. dollars are included in current results of operations. Gains and losses resulting from foreign currency transactions are also included in current results of operations. Aggregate foreign currency translation and transaction losses included in operations totaled $5.7 million for the three months ended March 31, 2021. These amounts are recorded as a component of Income/(loss) from investments in real estate debt on the Company’s Condensed Consolidated Statements of Operations. |
Fair Value Measurements | Fair Value Measurements Under normal market conditions, the fair value of an investment is the amount that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). Additionally, there is a hierarchal framework that prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is impacted by a number of factors, including the type of investment and the characteristics specific to the investment and the state of the market place, including the existence and transparency of transactions between market participants. Investments with readily available active quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. Investments measured and reported at fair value are classified and disclosed in one of the following levels within the fair value hierarchy: Level 1 — quoted prices are available in active markets for identical investments as of the measurement date. The Company does not adjust the quoted price for these investments. Level 2 — quoted prices are available in markets that are not active or model inputs are based on inputs that are either directly or indirectly observable as of the measurement date. Level 3 — pricing inputs are unobservable and include instances where there is minimal, if any, market activity for the investment. These inputs require significant judgment or estimation by management or third parties when determining fair value and generally represent anything that does not meet the criteria of Levels 1 and 2. Due to the inherent uncertainty of these estimates, these values may differ materially from the values that would have been used had a ready market for these investments existed. |
Valuation | Valuation The Company generally determines the fair value of its investments in real estate-related securities by utilizing third-party pricing service providers. In determining the value of a particular investment, the pricing service providers may use broker-dealer quotations, reported trades or valuation estimates from their internal pricing models to determine the reported price. The pricing service providers’ internal models for real estate-related securities usually consider the attributes applicable to a particular class of security (e.g., credit rating, seniority), current market data, and estimated cash flows for each class and incorporate deal collateral performance such as prepayment speeds and default rates, as available. As of March 31, 2021 and December 31, 2020, the Company’s investments in real estate-related securities are classified as Level 2. The Company’s investment in loans secured by real estate, such as its term loan, are unlikely to have readily available market quotations. In such cases, the Company will generally determine the initial value based on the origination amount or acquisition price of such investment if acquired by the Company or the par value of such investment if originated by the Company. Following the initial measurement, the Company will determine fair value by utilizing or reviewing certain of the following inputs (i) market yield data, (ii) discounted cash flow modeling, (iii) collateral asset performance, (iv) local or macro real estate performance, (v) capital market conditions, (vi) debt yield or loan-to-value ratios and (vii) borrower financial condition and performance. As of March 31, 2021, the Company’s term loan is classified as Level 3. Fair value of the Company’s indebtedness is estimated by modeling the cash flows required by the Company’s debt agreements and discounting them back to the present value using an appropriate discount rate. Additionally, the Company considers current market rate and conditions by evaluating similar borrowing agreements with comparable loan-to-value ratios and credit profiles. The inputs used in determining the fair value of the Company’s indebtedness are considered Level 3. As of March 31, 2021, the fair value of the Company’s mortgage notes, revolving credit facility and secured financings on investments in real estate debt The Company’s interest rate swap agreements are valued using a discounted cash flow analysis based on the terms of the contract and the forward interest rate curve adjusted for the Company’s nonperformance risk. The Company’s interest rate cap positions are valued using models developed by the respective counterparty as well as third party pricing service providers that use as their basis readily observable market parameters (such as forward yield curves and credit default swap data). The Company’s derivative positions are classified as Level 2. As of March 31, 2021 and December 31, 2020, the fair value of the Company’s interest rate caps were approximately $1.7 million and $5.4 million, respectively, below their cost. As of March 31, 2021 and December 31, 2020, the Company’s interest rate swaps had an aggregate fair value liability of $0.8 million and $5.2 million, respectively. The fair values of the Company’s foreign currency swaps are determined by comparing the contracted forward exchange rate to the current market exchange rate. The current market exchange rates are determined by using market spot rates, forward rates and interest rate curves for the underlying instruments. As of March 31, 2021, the fair value of the Company’s foreign currency swaps were approximately $3.6 million. The fair values of the Company’s financial instruments (other than investments in real estate debt, mortgage notes, revolving credit facility and derivative instruments), including cash, cash equivalents and restricted cash and other financial instruments, approximate their carrying or contract value. |
Deferred Charges | Deferred Charges The Company’s deferred charges include financing and leasing costs. Deferred financing costs include legal, structuring and other loan costs incurred by the Company for its financing agreements. Deferred financing costs related to the Company’s mortgage notes are recorded as an offset to the related liability and amortized over the term of the applicable financing instruments as interest expense. Deferred financing costs related to the Company’s revolving credit facility and its unsecured revolving credit facility are recorded as a component of Other assets on the Company’s Condensed Consolidated Balance Sheets and amortized over the term of the applicable financing agreement. Deferred leasing costs incurred in connection with new leases, which consist primarily of brokerage commissions, are recorded as a component of Other assets on the Company’s Condensed Consolidated Balance Sheets and amortized over the life of the related lease. |
Revenue Recognition | Revenue Recognition The Company commences revenue recognition on its leases based on a number of factors, including the initial determination that the contract is or contains a lease. Generally, all of the Company’s contracts are, or contain leases, and therefore revenue is recognized when the lessee takes possession of or controls the physical use of the leased assets. In most instances this occurs on the lease commencement date. At the inception of a new lease, including new leases that arise from amendments, the Company assesses the terms and conditions of the lease to determine the proper lease classification. The Company adopted the provisions of Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) and related ASUs subsequently issued (collectively, “ASC 842”) as of January 1, 2019. A lease is classified as an operating lease if none of the following criteria are met: (i) ownership transfers to the lessee at the end of the lease term, (ii) the lessee has a purchase option that is reasonably expected to be exercised, (iii) the lease term is for a major part of the economic life of the leased property, (iv) the present value of the future lease payments and any residual value guaranteed by the lessee that is not already reflected in the lease payments equals or exceeds substantially all of the fair value of the leased property, and (v) the leased property is of such a specialized nature that it is expected to have no future alternative use to the Company at the end of the lease term. If one or more of these criteria are met, the lease will generally be classified as a sales-type lease, unless the lease contains a residual value guarantee from a third party other than the lessee, in which case it would be classified as a direct financing lease under certain circumstances in accordance with ASC 842. The Company’s rental revenue primarily consists of fixed contractual base rent arising from tenant leases at the Company’s properties under operating leases. Revenue under operating leases that are deemed probable of collection, is recognized as revenue 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 in the Company’s Condensed Consolidated Balance Sheets. The Company’s Hotel revenue consists of room revenue and food and beverage revenue. Room revenue is recognized when the related room is occupied and other hotel revenue is recognized when the service is rendered. For leases that are deemed not probable of collection, revenue is recorded as the lesser of (i) the amount which would be recognized on a straight-line basis or (ii) cash that has been received from the tenant, with any tenant and deferred rent receivable balances charged as a direct write-off against rental income in the period of the change in the collectability determination. Certain of the Company’s contracts contain nonlease components (e.g., charges for management fees, common area maintenance, and reimbursement of third-party maintenance expenses) in addition to lease components (i.e., monthly rental charges). Services related to nonlease components are provided over the same period of time as, and billed in the same manner as, monthly rental charges. The Company elected to apply the practical expedient available under ASC 842, for all classes of assets, not to segregate the lease components from the nonlease components when accounting for operating leases. Since the lease component is the predominant component under each of these leases, combined revenues from both the lease and nonlease components are accounted for in accordance with ASC 842 and reported as Rental revenues in the Company’s Condensed Consolidated Statements of Operations. In connection with its investments, the Company has acquired assets subject to loan programs designed to encourage housing development. The proceeds from these loans are governed by restrictive covenants. For certain housing development loans, so long as the Company remains in compliance with the covenants and program requirements, the loans will be forgiven in equal annual installments until the loans are discharged in full. The Company treats these loans as deferred income and records them as a component of Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. As of March 31, 2021 and December 31, 2020, deferred income related to these loans amounted to $5.6 million and $5.8 million, respectively. As the loan balances are reduced during the compliance period, the Company will record income associated with the discharge of the loans as a component of Other revenue on the Company’s Condensed Consolidated Statements of Operations. For the three months ended March 31, 2021 and 2020, Other revenue related to these loans amounted to $0.2 million and $0.2 million, respectively. Other revenues and interest income are recorded on an accrual basis. |
Organization and Offering Expenses | Organization and Offering Expenses Organization costs are expensed as incurred and recorded as a component of General and administrative expenses on the Company’s Condensed Consolidated Statements of Operations and offering costs are charged to equity as such amounts are incurred. The Advisor advanced $7.3 million of organization and offering expenses on behalf of the Company (including legal, accounting, and other expenses attributable to the organization, but excluding upfront selling commissions, dealer manager fees and stockholder servicing fees) through December 21, 2019, the first anniversary of the date on which the proceeds from escrow were released. The Company reimburses the Advisor for all such advanced expenses ratably over a 60-month period following December 21, 2019. These organization and offering costs are recorded as a component of Due to affiliates on the Company’s Condensed Consolidated Balance Sheets. Starwood Capital, L.L.C. (the “Dealer Manager”), a registered broker-dealer affiliated with the Advisor, serves as the dealer manager for the Offering. The Dealer Manager is entitled to receive selling commissions and dealer manager fees based on the transaction price of each applicable class of shares sold in the primary offering. The Dealer Manager is also entitled to receive a stockholder servicing fee based on the aggregate net asset value (“NAV”) of the Company’s outstanding Class T shares, Class S shares, and Class D shares. The following table details the selling commissions, dealer manager fees, and stockholder servicing fees for each applicable share class as of March 31, 2021: Common Stock Class T Common Stock Class S Common Stock Class D Common Stock Class I Selling commissions and dealer manager fees (% of transaction price) up to 3.5% up to 3.5% up to 1.5% — Stockholder servicing fee (% of NAV) 0.85% 0.85% 0.25% — For Class T shares sold in the primary offering, investors will pay upfront selling commissions of up to 3.0% of the transaction price and upfront dealer manager fees of 0.5% of the transaction price, however such amounts may vary at certain participating broker-dealers, provided that the sum will not exceed 3.5% of the transaction price. For Class S shares sold in the primary offering, investors will pay upfront selling commissions of up to 3.5% of the transaction price. For Class D shares sold in the primary offering, investors will pay upfront selling commissions of up to 1.5% of the transaction price. Prior to February 4, 2020, no upfront selling commissions were paid on Class D shares. The Dealer Manager is entitled to receive stockholder servicing fees of 0.85% per annum of the aggregate NAV for Class T shares and Class S shares. For Class T shares such stockholder servicing fee includes, an advisor stockholder servicing fee of 0.65% per annum, and a dealer stockholder servicing fee of 0.20% per annum, of the aggregate NAV for the Class T shares, however, with respect to Class T shares sold through certain participating broker-dealers, the advisor stockholder servicing fee and the dealer stockholder servicing fee may be other amounts, provided that the sum of such fees will always equal 0.85% per annum of the NAV of such shares. The Class D shares will incur a stockholder servicing fee equal to 0.25% per annum of the aggregate NAV for the Class D shares. There is no stockholder servicing fee with respect to Class I shares. The Dealer Manager has entered into agreements with the selected dealers distributing the Company’s shares in the Offering, which provide, among other things, for the re-allowance of the full amount of the selling commissions and dealer manager fees received and all or a portion of the stockholder servicing fees to such selected dealers. The Company will cease paying the stockholder servicing fee with respect to any Class T share, Class S share or Class D share sold in the primary offering at the end of the month in which the total selling commissions, dealer manager fees and stockholder servicing fees paid with respect to the shares held by such stockholder within such account would exceed 8.75% (or, in the case of Class T shares sold through certain participating broker-dealers, a lower limit as set forth in any applicable agreement between the Dealer Manager and a participating broker-dealer) of the gross proceeds from the sale of such share (including the gross proceeds of any shares issued under the Company’s distribution reinvestment plan with respect thereto). The Company will accrue the full cost of the stockholder servicing fee as an offering cost at the time each Class T, Class S and Class D share is sold during the primary offering. As of March 31, 2021 and December 31, 2020, the Company had accrued $98.4 million and $73.2 million respectively, of stockholder servicing fees related to shares sold and recorded such amount as a component of Due to affiliates on the Company’s Condensed Consolidated Balance Sheets. |
Income Taxes | Income Taxes The Company elected to be taxed as a REIT under the Internal Revenue Code (the “Code”), for federal income tax purposes, beginning with its taxable year ended December 31, 2019. As long as the Company qualifies for taxation as a REIT, it generally will not be subject to U.S. federal corporate income tax on its net taxable income that is currently distributed to its stockholders. A REIT is subject to a number of organizational and operational requirements, including a requirement that it currently distributes at least 90% of its REIT taxable income (subject to certain adjustments) to its stockholders. If the Company fails to qualify as a REIT in a taxable year, without the benefit of certain relief provisions, it will be subject to federal and state income tax on its taxable income at regular corporate tax rates. Even if the Company qualifies for taxation as a REIT, it may also be subject to certain federal, state, and local taxes on its income and assets, including (1) taxes on any undistributed income, (2) taxes related to its taxable REIT subsidiaries (“TRSs”) and (3) certain state or local income taxes. The Company has formed wholly owned subsidiaries to function as TRSs and filed TRS elections, together with such subsidiaries, with the Internal Revenue Service. In general, a TRS may perform additional services for the Company’s tenants and generally may engage in any real estate or non-real estate-related business other than management or operation of a lodging facility or a health care facility. The TRSs are subject to taxation at the federal, state and local levels, as applicable, at the regular corporate tax rates. The Company accounts for applicable income taxes by utilizing the asset and liability method. As such, the Company records deferred tax assets and liabilities for the future tax consequences resulting from the difference between the carrying value of existing assets and liabilities and their respective tax basis. A valuation allowance for deferred tax assets is provided if the Company believes all or some portion of the deferred tax asset may not be realized. For the three months ended March 31, 2021 and 2020, the Company recognized an income tax expense of $0.1 million and $0.1 million, respectively, within Other (expense) income, net on the Company’s Condensed Consolidated Statements of Operations. As of March 31, 2021 and December 31, 2020, the Company recorded a net deferred tax liability of $1.2 million and $1.2 million, respectively, due to its hotel investments within Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. |
Net Loss per Share | Net Loss per Share Basic net loss per share is computed by dividing net loss attributable to stockholders for the period by the weighted average number of common shares outstanding during the period. All classes of common stock are allocated net loss at the same rate per share and receive the same gross distribution per share. Diluted loss per share is computed by dividing net loss attributable to stockholders for the period by the weighted average number of common shares and common share equivalents outstanding (unless their effect is antidilutive) for the period. There are no common share equivalents outstanding that would have a dilutive effect as a result of the net loss, and accordingly, the weighted average number of common shares outstanding is identical for the periods ended March 31, 2021 and 2020, for both basic and diluted shares. The restricted stock grants of Class I shares held by the Company’s independent directors are not considered to be participating securities because they do not contain non-forfeitable rights to distributions. As a result, there is no impact of these restricted stock grants on basic and diluted net loss per common share until the restricted stock grants have fully vested. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes Topic 740, Income Taxes In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Estimated Useful Life of Assets | The Company’s investments in real estate are stated at cost and are generally depreciated on a straight-line basis over the estimated useful lives of the assets as follows: Description Depreciable Life Building 35 - 40 years Building and land improvements 5 - 15 years Furniture, fixtures and equipment 5 - 7 years Lease intangibles and leasehold improvements Shorter of useful life or lease term |
Schedule of Selling Commissions, Dealer Manager Fees And Stockholder Servicing | The following table details the selling commissions, dealer manager fees, and stockholder servicing fees for each applicable share class as of March 31, 2021: Common Stock Class T Common Stock Class S Common Stock Class D Common Stock Class I Selling commissions and dealer manager fees (% of transaction price) up to 3.5% up to 3.5% up to 1.5% — Stockholder servicing fee (% of NAV) 0.85% 0.85% 0.25% — |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Real Estate [Abstract] | |
Schedule of Investments in Real Estate, Net | Investments in real estate, net consisted of the following ($ in thousands): March 31, 2021 December 31, 2020 Building and building improvements $ 3,967,595 $ 3,860,297 Land and land improvements 704,601 689,107 Furniture, fixtures and equipment 77,291 76,808 Right of use asset - operating lease (1) 101,382 101,382 Total 4,850,869 4,727,594 Accumulated depreciation and amortization (169,083 ) (130,540 ) Investments in real estate, net $ 4,681,786 $ 4,597,054 (1) |
Schedule of Details of Properties Acquired | The following table provides further details of the properties acquired during the three months ended March 31, 2021 ($ in thousands): Investment Ownership Interest Number of Properties Location Sector Acquisition Date Real Estate Acquisition (1) Stonebridge 100% 3 Atlanta, GA Office February 23, 2021 $ 135,242 3 $ 135,242 (1) |
Schedule of Purchase Price Allocation of Properties | The following table summarizes the purchase price allocation for the properties acquired during the three months ended March 31, 2021 ($ in thousands): Stonebridge Building and building improvements $ 101,135 Land and land improvements 15,205 In-place lease intangibles 15,264 Above-market lease intangibles 3,308 Below-market lease intangibles (162 ) Total purchase price (1) $ 134,750 (1) Purchase price does not include acquisition-related costs of $0.5 million. |
Estimated Future Amortization on the Company's Below-Market Ground Lease | The estimated future amortization on the Company’s below-market ground lease for each of the next five years and thereafter as of March 31, 2021 is as follows ($ in thousands): Below-market Ground Lease 2021 (remaining) $ 1,527 2022 2,036 2023 2,036 2024 2,036 2025 2,036 Thereafter 83,492 $ 93,163 |
Intangibles (Tables)
Intangibles (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Gross Carrying Amount and Accumulated Amortization of Intangible Assets and Liabilities | The gross carrying amount and accumulated amortization of the Company’s intangible assets and liabilities consisted of the following ($ in thousands): March 31, 2021 December 31, 2020 Intangible assets: (1) In-place lease intangibles $ 209,012 $ 194,003 Above-market lease intangibles 25,440 22,132 Other 31,019 31,019 Total intangible assets 265,471 247,154 Accumulated amortization: In-place lease amortization (75,535 ) (60,142 ) Above-market lease intangibles (4,516 ) (3,506 ) Other (4,336 ) (3,650 ) Total accumulated amortization (84,387 ) (67,298 ) Intangible assets, net $ 181,084 $ 179,856 Intangible liabilities: (2) Below-market lease intangibles $ 36,353 $ 36,190 Accumulated amortization (4,592 ) (3,534 ) Intangible liabilities, net $ 31,761 $ 32,656 (1) Included in Other assets on the Company’s Condensed Consolidated Balance Sheets. (2) Included in Accounts payable, accrued expenses and other liabilities on the Company’s Condensed Consolidated Balance Sheets. |
Summary of Estimated Future Amortization on Intangibles | The estimated future amortization on the Company’s intangibles for each of the next five years and thereafter as of March 31, 2021 is as follows ($ in thousands): In-place Lease Intangibles Above-market Lease Intangibles Other Below-market Lease Intangibles 2021 (remaining) $ 25,044 $ 3,045 $ 2,061 $ (2,900 ) 2022 24,508 3,665 2,738 (3,680 ) 2023 18,969 3,232 2,653 (3,372 ) 2024 14,565 2,247 2,639 (3,041 ) 2025 11,818 1,856 2,507 (2,758 ) Thereafter 38,573 6,879 14,085 (16,010 ) $ 133,477 $ 20,924 $ 26,683 $ (31,761 ) |
Investments in Real Estate De_2
Investments in Real Estate Debt (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Schedule Of Investments [Abstract] | |
Summary of Investments in Real Estate Debt | The following tables detail the Company’s investments in real estate debt as of March 31, 2021 and December 31, 2020 ($ in thousands): March 31, 2021 Type of Security/Loan Number of Positions Weighted Average Coupon (1) Weighted Average Maturity Date (2) Cost Basis Fair Value RMBS 54 3.17% January 8, 2047 $ 201,666 $ 204,817 CMBS 1 6.26% July 25, 2039 3,040 2,854 Total real estate securities 55 3.22% November 29, 2046 204,706 207,671 Term loan (3) 1 L + 5.35% February 26, 2026 504,540 496,692 Total investments in real estate debt 56 4.81% February 13, 2032 $ 709,246 $ 704,363 December 31, 2020 Type of Security Number of Positions Weighted Average Coupon (1) Weighted Average Maturity Date (2) Cost Basis Fair Value RMBS 55 3.22% March 22, 2047 $ 213,863 $ 215,358 CMBS 1 6.26% July 25, 2039 3,066 2,867 56 $ 216,929 $ 218,225 (1) As of March 31, 2021, the Company’s RMBS investments had floating rate coupons ranging from 0.00% to 7.95% and its CMBS investment had a floating rate coupon of 6.26%. (2) Weighted average maturity date is based on the fully extended maturity date of the underlying collateral. (3) On February 26, 2021, the Company provided financing in the form of a term loan to an unaffiliated entity in connection with its acquisition of a premier United Kingdom holiday company. The loan is in the amount of £360 million with an initial term of five years, with a two year extension option. |
Mortgage Notes and Revolving _2
Mortgage Notes and Revolving Credit Facility (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Summary of Mortgage Notes and Revolving Credit Facility Secured by Company's Properties | The following table is a summary of the mortgage notes and revolving credit facility secured by the Company’s properties as of March 31, 2021 and December 31, 2020 ($ in thousands): Principal Balance Outstanding (3) Indebtedness Weighted Average Interest Rate (1) Weighted Average Maturity Date (2) Maximum Facility Size March 31, 2021 December 31, 2020 Fixed rate loans Fixed rate mortgages 3.09% 3/7/2030 N/A $ 2,300,015 $ 2,236,290 Total fixed rate loans 2,300,015 2,236,290 Variable rate loans Floating rate mortgages L + 1.81% 3/30/2025 N/A 887,252 886,594 Variable rate revolving credit facility (4) L + 2.00% 10/21/2021 $ 200,000 172,800 172,800 Total variable rate loans 1,060,052 1,059,394 Total loans secured by the Company's properties 3,360,067 3,295,684 Deferred financing costs, net (16,662 ) (17,208 ) Premium on assumed debt, net 303 286 Mortgage notes and revolving credit facility, net $ 3,343,708 $ 3,278,762 ( 1) ( 2 ) For loans where the Company, at its own discretion, has extension options, the maximum maturity date has been assumed. ( 3 ) The majority of the Company’s mortgages contain yield or spread maintenance provisions. ( 4 ) The Company’s revolving credit facility can be drawn upon to fund the acquisition of future real estate investments. |
Summary of Future Principal Payment Under Company's Mortgage Notes and Revolving Credit Facility | The following table presents the future principal payments under the Company’s mortgage notes and revolving credit facility as of March 31, 2021 ($ in thousands): Year Amount 2021 (remaining) $ 175,126 2022 51,183 2023 3,931 2024 215,859 2025 647,055 Thereafter 2,266,913 Total $ 3,360,067 |
Secured Financings On Investm_2
Secured Financings On Investments In Real Estate Debt (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Secured Financings On Investments In Real Estate Debt [Abstract] | |
Schedule of Secured Financings on Investments in Real Estate Debt Transactions | For financial statement purposes, the Company does not offset its secured financings on investments in real estate debt and securities lending transactions because the conditions for netting as specified by GAAP are not met. Although not offset on the Company’s Condensed Consolidated Balance Sheets, these transactions are included in the following tables ($ in thousands): March 31, 2021 Indebtedness Maturity Date Coupon Collateral Assets (1) Outstanding Balance Barclays RA 2/26/2026 L + 2.50% $ 496,692 $ 137,970 $ 496,692 $ 137,970 December 31, 2020 Indebtedness Weighted Average Maturity Date Weighted Average Coupon Collateral Assets (1) Outstanding Balance RMBS 3/17/2021 1.93% $ 155,538 $ 105,804 CMBS 1/6/2021 2.10% 2,867 2,450 $ 158,405 $ 108,254 (1) Represents the fair value of the Company’s investments in real estate debt. |
Other Assets and Other Liabil_2
Other Assets and Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Assets And Other Liabilities [Abstract] | |
Schedule of Components of Other Assets | The following table summarizes the components of other assets ($ in thousands): March 31, 2021 December 31, 2020 Intangible assets, net $ 181,084 $ 179,856 Receivables 26,073 23,692 Prepaid expenses 1,683 4,047 Derivative instruments 8,656 1,410 Deferred financing costs, net 1,169 1,268 Interest receivable 3,098 548 Acquisition deposits 12,079 7 Other 337 307 Total $ 234,179 $ 211,135 |
Schedule of Components of Accounts Payable, Accrued Expenses and Other Liabilities | The following table summarizes the components of accounts payable, accrued expenses, and other liabilities ($ in thousands): March 31, 2021 December 31, 2020 Intangible liabilities, net $ 31,761 $ 32,656 Accounts payable and accrued expenses 26,725 19,651 Real estate taxes payable 15,633 14,842 Deferred income 8,744 11,111 Distributions payable 11,431 8,682 Tenant security deposits 9,948 9,842 Accrued interest expense 8,028 7,309 Right of use liability - operating lease 6,381 6,390 Derivative instruments 778 5,167 Other 2,950 1,422 Total $ 122,379 $ 117,072 |
Equity and Redeemable Non-con_2
Equity and Redeemable Non-controlling Interest (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Schedule of Company's Authorized Capital | As of March 31, 2021, the Company had the authority to issue 1,100,000,000 shares of capital stock, consisting of the following: Classification Number of Shares Par Value Preferred Stock 100,000,000 $ 0.01 Class T Shares 250,000,000 $ 0.01 Class S Shares 250,000,000 $ 0.01 Class D Shares 250,000,000 $ 0.01 Class I Shares 250,000,000 $ 0.01 Total 1,100,000,000 |
Schedule of Common Stock Outstanding shares | The following table details the movement in the Company’s outstanding shares of common stock: Three months ended March 31, 2021 Class T Class S Class D Class I Total December 31, 2020 2,463,182 46,431,661 2,847,097 39,152,913 90,894,853 Common stock shares issued 225,394 14,078,322 1,738,543 12,134,514 28,176,773 Distribution reinvestment plan shares issued 18,360 379,173 29,788 225,844 653,165 Common stock shares repurchased (32,068 ) (398,352 ) (6,341 ) (131,324 ) (568,085 ) March 31, 2021 2,674,868 60,490,804 4,609,087 51,381,947 119,156,706 |
Schedule of Aggregate Distributions Declared for Each Class of Common Stock | The following table details the aggregate distributions declared for each applicable class of common stock for the three months ended March 31, 2021: Class T Class S Class D Class I Gross distributions declared per share of common stock $ 0.3105 $ 0.3105 $ 0.3105 $ 0.3105 Stockholder servicing fee per share of common stock (0.0454 ) (0.0455 ) (0.0133 ) — Net distributions declared per share of common stock $ 0.2651 $ 0.2650 $ 0.2972 $ 0.3105 |
Schedule of Redeemable Noncontrolling Interest Activity | The following table summarizes the Redeemable non-controlling interest activity for the three months ended March 31, 2021 ($ in thousands): December 31, 2020 $ 10,409 Settlement of 2020 performance participation allocation 15,061 GAAP income allocation (221 ) Distributions (366 ) Fair value allocation 839 March 31, 2021 $ 25,722 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Summary of Components of Due to Affiliates | The following table details the components of Due to affiliates ($ in thousands): March 31, 2021 December 31, 2020 Accrued stockholder servicing fee $ 98,409 $ 73,170 Performance participation allocation 8,708 15,061 Advanced organization and offering costs 5,465 5,830 Accrued management fee 2,776 2,103 Accrued affiliate service provider expenses 452 — Advanced operating expenses 756 207 Total $ 116,566 $ 96,371 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Schedule of Future Lease Payments | The following table presents the future lease payments due under the Company’s ground lease as of March 31, 2021 ($ in thousands): Operating Leases 2021 (remaining) $ 299 2022 399 2023 399 2024 399 2025 399 Thereafter 16,355 Total undiscounted future lease payments 18,250 Difference between undiscounted cash flows and discounted cash flows 11,869 Total lease liability $ 6,381 |
Summary of Fixed and Variable Components of Operating Leases | The following table summarizes the fixed and variable components of the Company’s operating leases ($ in thousands): Three Months Ended March 31, 2021 2020 Fixed lease payments $ 88,232 $ 40,603 Variable lease payments 9,875 5,862 Rental revenue $ 98,107 $ 46,465 |
Schedule of Undiscounted Future Minimum Rents Income Receivables | The following table presents the undiscounted future minimum rents the Company expects to receive for its industrial, office and medical office properties ($ in thousands) as of March 31, 2021. Leases at the Company’s multifamily properties are short term, generally 12 months or less, and are therefore not included. Year Future Minimum Rents 2021 (remaining) $ 106,212 2022 130,117 2023 122,209 2024 108,646 2025 96,454 Thereafter 390,191 Total $ 953,829 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Summary of Total Assets by Segment | The following table sets forth the total assets by segment ($ in thousands): March 31, 2021 December 31, 2020 Multifamily $ 2,709,742 $ 2,738,210 Hotel 243,489 244,065 Industrial 537,306 551,898 Office 1,218,088 1,186,328 Medical office 195,668 196,559 Investments in real estate debt 704,363 218,225 Other (Corporate) 506,961 195,531 Total assets $ 6,115,617 $ 5,330,816 |
Summary of Financial Results by Segment | The following table sets forth the financial results by segment for the three months ended March 31, 2021 ($ in thousands): Multifamily Hotel Industrial Office Medical Office Investments in Real Estate Debt Total Revenues: Rental revenue $ 54,379 $ — $ 10,579 $ 29,569 $ 3,580 $ — $ 98,107 Hotel revenue — 6,966 — — — — 6,966 Other revenue 555 64 — 49 10 — 678 Total revenues 54,934 7,030 10,579 29,618 3,590 — 105,751 Expenses: Rental property operating 23,030 — 2,919 10,918 1,595 — 38,462 Hotel operating — 4,418 — — — — 4,418 Total segment expenses 23,030 4,418 2,919 10,918 1,595 — 42,880 Income from investments in real estate debt — — — — — 8,794 8,794 Loss from unconsolidated real estate ventures — (22 ) — — — — (22 ) Segment net operating income $ 31,904 $ 2,590 $ 7,660 $ 18,700 $ 1,995 $ 8,794 $ 71,643 Depreciation and amortization $ (29,247 ) $ (2,129 ) $ (6,063 ) $ (15,167 ) $ (2,190 ) $ — $ (54,796 ) General and administrative (2,706 ) Management fees (7,420 ) Performance participation allocation (8,708 ) Interest expense (17,945 ) Other expense, net (199 ) Net loss $ (20,131 ) Net loss attributable to non- controlling interests in consolidated joint ventures 21 Net loss attributable to non- controlling interests in Operating Partnership 221 Net loss attributable to stockholders $ (19,889 ) The following table sets forth the financial results by segment for the three months ended March 31, 2020 ($ in thousands): Multifamily Hotel Industrial Office Medical Office Real Estate- Related Securities Total Revenues: Rental revenue $ 25,114 $ — $ 6,688 $ 12,813 $ 1,850 $ — $ 46,465 Hotel revenue — 10,215 — — — — 10,215 Other revenue 262 74 — 11 10 — 357 Total revenues 25,376 10,289 6,688 12,824 1,860 — 57,037 Expenses: Rental property operating 8,940 — 1,716 4,326 562 — 15,544 Hotel operating — 5,964 — — — — 5,964 Total segment expenses 8,940 5,964 1,716 4,326 562 — 21,508 Loss from investments in real estate- related securities, net — — — — — (20,173 ) (20,173 ) Earnings from unconsolidated real estate ventures — 360 — — — — 360 Segment net operating income (loss) $ 16,436 $ 4,685 $ 4,972 $ 8,498 $ 1,298 $ (20,173 ) $ 15,716 Depreciation and amortization $ (16,790 ) $ (2,078 ) $ (4,164 ) $ (6,781 ) $ (730 ) $ — $ (30,543 ) General and administrative (2,358 ) Management fees (3,946 ) Performance participation allocation (46 ) Interest expense (19,641 ) Other income, net 171 Net loss $ (40,647 ) Net loss attributable to non- controlling interests in consolidated joint ventures 638 Net loss attributable to non- controlling interests in Operating Partnership 332 Net loss attributable to stockholders $ (39,677 ) |
Organization and Business Pur_2
Organization and Business Purpose - Additional Information (Details) | 3 Months Ended | |
Mar. 31, 2021USD ($)ClassPropertyPositionSegment | Dec. 31, 2020Position | |
Organization And Business Activities [Line Items] | ||
Common stock, shares registered, amount | $ 5,000,000,000 | |
Number of classes of common stock | Class | 4 | |
Number of properties owned | Property | 147 | |
Number of real estate related securities position | Position | 56 | 56 |
Number of reportable segments | Segment | 6 | |
Primary Offering | ||
Organization And Business Activities [Line Items] | ||
Common stock, shares authorized, amount | $ 4,000,000,000 | |
Distribution Reinvestment Plan | ||
Organization And Business Activities [Line Items] | ||
Common stock, shares authorized, amount | $ 1,000,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Summary of Estimated Useful Life of Assets (Details) | 3 Months Ended |
Mar. 31, 2021 | |
Property Plant And Equipment [Line Items] | |
Lease intangibles and leasehold improvements | Shorter of useful life or lease term |
Building | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 35 years |
Building | Maximum | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 40 years |
Building and Land Improvements | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 5 years |
Building and Land Improvements | Maximum | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 15 years |
Furniture, Fixtures and Equipment | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 5 years |
Furniture, Fixtures and Equipment | Maximum | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 7 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2020 | |
Significant Accounting Policies [Line Items] | ||||
Foreign currency translation and transaction losses | $ 5,700 | |||
Fair value of mortgage notes and repurchase agreements | 32,900 | |||
Fair value of derivatives | 1,700 | $ 5,400 | ||
Derivative liability, fair value, gross liability | 800 | 5,200 | ||
Deferred income | 8,744 | 11,111 | ||
Organization and offering expenses | $ 116,566 | 96,371 | ||
Minimum REIT distribution percentage | 90.00% | |||
Income tax (benefit) provision | $ 100 | $ (100) | ||
Deferred tax liability, net | $ 1,200 | 1,200 | ||
Class S Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage | 0.85% | |||
Class S Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions and dealer manager fee percentage | 3.50% | |||
Class T Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage | 0.85% | |||
Class T Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions and dealer manager fee percentage | 3.50% | |||
Class D Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage | 0.25% | |||
Class D Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions and dealer manager fee percentage | 1.50% | |||
Advanced Organization And Offering Costs | ||||
Significant Accounting Policies [Line Items] | ||||
Organization and offering expenses | $ 5,465 | 5,830 | ||
Advisor | ||||
Significant Accounting Policies [Line Items] | ||||
Period to reimburse the advisor for all organization and offering expenses | 60 months | 60 months | ||
Advisor | Class T Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Advisor Percentage of stockholder servicing fee on NAV per annum | 0.65% | |||
Advisor | Advanced Organization And Offering Costs | ||||
Significant Accounting Policies [Line Items] | ||||
Organization and offering expenses | $ 7,300 | $ 7,300 | ||
Dealer Manager | Class S Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions percentage | 3.50% | |||
Dealer Manager | Class T Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront dealer manager fee percentage | 0.50% | |||
Dealer stockholder servicing fee percentage | 0.20% | |||
Annual stockholder servicing fee percentage | 0.85% | |||
Dealer Manager | Class T Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions percentage | 3.00% | |||
Upfront selling commissions and dealer manager fee percentage | 3.50% | |||
Dealer Manager | Class D Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront dealer manager fee percentage | 0.00% | |||
Annual stockholder servicing fee percentage | 0.25% | |||
Dealer Manager | Class D Shares (Member) | Maximum | ||||
Significant Accounting Policies [Line Items] | ||||
Upfront selling commissions percentage | 1.50% | |||
Dealer Manager | Class S Share And T Shares [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage | 0.85% | |||
Dealer Manager | Class I Shares (Member) | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage | 0.00% | |||
Dealer Manager | Common Stock Class T, Class S and Class D | ||||
Significant Accounting Policies [Line Items] | ||||
Annual stockholder servicing fee percentage of gross proceeds limit | 8.75% | |||
Other Revenue | ||||
Significant Accounting Policies [Line Items] | ||||
Other income | $ 200 | $ 200 | ||
Accounts Payable, Accrued Expenses and Other Liabilities | ||||
Significant Accounting Policies [Line Items] | ||||
Deferred income | 5,600 | 5,800 | ||
Due to Affiliates | Common Stock Class T, Class S and Class D | ||||
Significant Accounting Policies [Line Items] | ||||
Stockholder servicing fees accrued | 98,400 | $ 73,200 | ||
Foreign Currency Swaps | ||||
Significant Accounting Policies [Line Items] | ||||
Fair value of derivatives | $ 3,600 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Selling Commissions, Dealer Manager Fees And Stockholder Servicing (Details) | Mar. 31, 2021 |
Class T Shares (Member) | |
Significant Accounting Policies [Line Items] | |
Stockholder servicing fee (% of NAV) | 0.85% |
Class T Shares (Member) | Maximum | |
Significant Accounting Policies [Line Items] | |
Selling commissions and dealer manager fees (% of transaction price) | 3.50% |
Class S Shares (Member) | |
Significant Accounting Policies [Line Items] | |
Stockholder servicing fee (% of NAV) | 0.85% |
Class S Shares (Member) | Maximum | |
Significant Accounting Policies [Line Items] | |
Selling commissions and dealer manager fees (% of transaction price) | 3.50% |
Class D Shares (Member) | |
Significant Accounting Policies [Line Items] | |
Stockholder servicing fee (% of NAV) | 0.25% |
Class D Shares (Member) | Maximum | |
Significant Accounting Policies [Line Items] | |
Selling commissions and dealer manager fees (% of transaction price) | 1.50% |
Investments - Schedule of Inves
Investments - Schedule of Investments in Real Estate, Net (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | |
Real Estate Investment Property Net [Abstract] | |||
Building and building improvements | $ 3,967,595 | $ 3,860,297 | |
Land and land improvements | 704,601 | 689,107 | |
Furniture, fixtures and equipment | 77,291 | 76,808 | |
Right of use asset - operating lease | [1] | 101,382 | 101,382 |
Total | 4,850,869 | 4,727,594 | |
Accumulated depreciation and amortization | (169,083) | (130,540) | |
Investments in real estate, net | $ 4,681,786 | $ 4,597,054 | |
[1] | Refer to Note 13 for additional details on the Company’s leases. |
Investments - Additional Inform
Investments - Additional Information (Details) | Mar. 13, 2019 | Mar. 31, 2021USD ($)Property | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)Property |
Real Estate Properties [Line Items] | ||||
Number of acquired real estate properties | 3 | 73 | ||
Percentage of ownership interest in joint venture | 43.00% | |||
Investment in joint venture | $ | $ 11,204,000 | $ 10,991,000 | ||
Income (loss) from Unconsolidated Real Estate Ventures | $ | $ (22,000) | $ 400,000 | ||
In-place Lease Intangibles | ||||
Real Estate Properties [Line Items] | ||||
Weighted-average amortization period | 9 years | |||
Above Market Leases Intangibles | ||||
Real Estate Properties [Line Items] | ||||
Weighted-average amortization period | 9 years | |||
Below-Market Ground Lease | ||||
Real Estate Properties [Line Items] | ||||
Weighted-average amortization period | 9 years | |||
Multifamily | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired real estate properties | 60 | |||
Industrial Assets | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired real estate properties | 10 | |||
Office Buildings | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired real estate properties | 2 | |||
Medical Office Building | ||||
Real Estate Properties [Line Items] | ||||
Number of acquired real estate properties | 1 |
Investments - Schedule of Detai
Investments - Schedule of Details of Properties Acquired (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021USD ($)Property | ||
Real Estate Properties [Line Items] | ||
Number of Properties | Property | 3 | |
Real Estate Acquisition | $ | $ 135,242 | [1] |
Atlanta GA [Member] | Stonebridge [Member] | Office Buildings | ||
Real Estate Properties [Line Items] | ||
Ownership Interest | 100.00% | |
Number of Properties | Property | 3 | |
Acquisition Date | Feb. 23, 2021 | |
Real Estate Acquisition | $ | $ 135,242 | [1] |
[1] | Purchase price is inclusive of acquisition-related costs. |
Investments - Schedule of Purch
Investments - Schedule of Purchase Price Allocation of Properties (Details) - Stonebridge [Member] $ in Thousands | Mar. 31, 2021USD ($) | |
Real Estate Properties [Line Items] | ||
Building and building improvements | $ 101,135 | |
Land and land improvements | 15,205 | |
In-place lease intangibles | 15,264 | |
Above-market lease intangibles | 3,308 | |
Below-market lease intangibles | (162) | |
Total purchase price | $ 134,750 | [1] |
[1] | Purchase price does not include acquisition-related costs of $0.5 million. |
Investments - Schedule of Pur_2
Investments - Schedule of Purchase Price Allocation of Properties (Details) (Parenthetical) $ in Millions | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Real Estate Investment Property Net [Abstract] | |
Acquisition related costs | $ 0.5 |
Investments - Estimated Future
Investments - Estimated Future Amortization on the Company's Below-Market Ground Lease (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Real Estate [Line Items] | ||
2021 (remaining) | $ 2,900 | |
2022 | 3,680 | |
2023 | 3,372 | |
2024 | 3,041 | |
2025 | 2,758 | |
Thereafter | 16,010 | |
Below Market Lease Net | 31,761 | $ 32,656 |
Below-Market Ground Lease | ||
Real Estate [Line Items] | ||
2021 (remaining) | 1,527 | |
2022 | 2,036 | |
2023 | 2,036 | |
2024 | 2,036 | |
2025 | 2,036 | |
Thereafter | 83,492 | |
Below Market Lease Net | $ 93,163 |
Intangibles - Summary of Gross
Intangibles - Summary of Gross Carrying Amount and Accumulated Amortization of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Intangible assets: | ||
Total intangible assets, gross | $ 265,471 | $ 247,154 |
Total accumulated amortization | (84,387) | (67,298) |
Intangible assets, net | 181,084 | 179,856 |
Intangible liabilities: | ||
Below-market lease intangibles | 36,353 | 36,190 |
Accumulated amortization | (4,592) | (3,534) |
Below Market Lease Net | 31,761 | 32,656 |
In-place Lease Intangibles | ||
Intangible assets: | ||
Total intangible assets, gross | 209,012 | 194,003 |
Total accumulated amortization | (75,535) | (60,142) |
Intangible assets, net | 133,477 | |
Above Market Leases Intangibles | ||
Intangible assets: | ||
Total intangible assets, gross | 25,440 | 22,132 |
Total accumulated amortization | (4,516) | (3,506) |
Intangible assets, net | 20,924 | |
Other | ||
Intangible assets: | ||
Total intangible assets, gross | 31,019 | 31,019 |
Total accumulated amortization | (4,336) | $ (3,650) |
Intangible assets, net | $ 26,683 |
Intangibles - Summary of Estima
Intangibles - Summary of Estimated Future Amortization on Intangibles (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets, net | $ 181,084 | $ 179,856 |
Below-market Lease Intangibles | ||
2021 (remaining) | (2,900) | |
2022 | (3,680) | |
2023 | (3,372) | |
2024 | (3,041) | |
2025 | (2,758) | |
Thereafter | (16,010) | |
Intangible liabilities, net | (31,761) | $ (32,656) |
In-place Lease Intangibles | ||
Finite Lived Intangible Assets [Line Items] | ||
2021 (remaining) | 25,044 | |
2022 | 24,508 | |
2023 | 18,969 | |
2024 | 14,565 | |
2025 | 11,818 | |
Thereafter | 38,573 | |
Intangible assets, net | 133,477 | |
Above Market Leases Intangibles | ||
Finite Lived Intangible Assets [Line Items] | ||
2021 (remaining) | 3,045 | |
2022 | 3,665 | |
2023 | 3,232 | |
2024 | 2,247 | |
2025 | 1,856 | |
Thereafter | 6,879 | |
Intangible assets, net | 20,924 | |
Other | ||
Finite Lived Intangible Assets [Line Items] | ||
2021 (remaining) | 2,061 | |
2022 | 2,738 | |
2023 | 2,653 | |
2024 | 2,639 | |
2025 | 2,507 | |
Thereafter | 14,085 | |
Intangible assets, net | $ 26,683 |
Investments in Real Estate De_3
Investments in Real Estate Debt - Summary of Investments in Real Estate Debt (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2021USD ($)Position | Dec. 31, 2020USD ($)Position | ||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | |||
Number of Positions | Position | 56 | 56 | |
Weighted Average Coupon | [1] | 4.81% | |
Weighted Average Maturity Date | [2] | Feb. 13, 2032 | |
Cost Basis | $ 709,246 | $ 216,929 | |
Investments in real estate debt | $ 704,363 | $ 218,225 | |
RMBS | |||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | |||
Number of Positions | Position | 54 | 55 | |
Weighted Average Coupon | [1] | 3.17% | 3.22% |
Weighted Average Maturity Date | [2] | Jan. 8, 2047 | Mar. 22, 2047 |
Cost Basis | $ 201,666 | $ 213,863 | |
Investments in real estate debt | $ 204,817 | $ 215,358 | |
Real Estate Securities | |||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | |||
Number of Positions | Position | 55 | ||
Weighted Average Coupon | [1] | 3.22% | |
Weighted Average Maturity Date | [2] | Nov. 29, 2046 | |
Cost Basis | $ 204,706 | ||
Investments in real estate debt | $ 207,671 | ||
CMBS | |||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | |||
Number of Positions | Position | 1 | 1 | |
Weighted Average Coupon | [1] | 6.26% | 6.26% |
Weighted Average Maturity Date | [2] | Jul. 25, 2039 | Jul. 25, 2039 |
Cost Basis | $ 3,040 | $ 3,066 | |
Investments in real estate debt | $ 2,854 | $ 2,867 | |
Term Loan | |||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | |||
Number of Positions | Position | [3] | 1 | |
Weighted Average Coupon | [1],[3] | 5.35% | |
Weighted Average Maturity Date | [2],[3] | Feb. 26, 2026 | |
Cost Basis | [3] | $ 504,540 | |
Investments in real estate debt | [3] | $ 496,692 | |
[1] | As of March 31, 2021, the Company’s RMBS investments had floating rate coupons ranging from 0.00% to 7.95% and its CMBS investment had a floating rate coupon of 6.26%. | ||
[2] | Weighted average maturity date is based on the fully extended maturity date of the underlying collateral. | ||
[3] | On February 26, 2021, the Company provided financing in the form of a term loan to an unaffiliated entity in connection with its acquisition of a premier United Kingdom holiday company. The loan is in the amount of £360 million with an initial term of five years, with a two year extension option. |
Investments in Real Estate De_4
Investments in Real Estate Debt - Summary of Investments in Real Estate Debt (Parenthetical) (Details) - GBP (£) £ in Millions | Feb. 26, 2021 | Mar. 31, 2021 |
Caravan Holiday | United Kingdom | ||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | ||
Unsecured revolving credit facility | £ 360 | |
Debt instrument, term | 5 years | |
CMBS | ||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | ||
Floating coupon rate | 6.26% | |
Minimum [Member] | RMBS | ||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | ||
Floating coupon rate | 0.00% | |
Maximum | RMBS | ||
Schedule Of Trading Securities And Other Trading Assets [Line Items] | ||
Floating coupon rate | 7.95% |
Investments in Real Estate De_5
Investments in Real Estate Debt - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Schedule Of Investments [Abstract] | ||
Unrealized losses on investments in real estate debt | $ 0.3 | $ 22.6 |
Realized losses investments in real estate debt | $ 1.3 |
Mortgage Notes and Revolving _3
Mortgage Notes and Revolving Credit Facility - Summary of Mortgage Notes and Revolving Credit Facility Secured by Company's Properties (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 16, 2020 | Mar. 31, 2020 | ||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 2.40% | |||||
Maximum Facility Size | $ 100,000 | |||||
Principal Balance Outstanding | [1] | $ 3,360,067 | $ 3,295,684 | |||
Deferred financing costs, net | [1] | (16,662) | (17,208) | |||
Premium on assumed debt, net | [1] | 303 | 286 | |||
Mortgage notes and revolving credit facility, net | [1] | $ 3,343,708 | 3,278,762 | |||
Fixed Rate Loans | ||||||
Debt Instrument [Line Items] | ||||||
Principal Balance Outstanding | [1] | 2,236,290 | $ 2,300,015 | |||
Variable Rate Loans | ||||||
Debt Instrument [Line Items] | ||||||
Principal Balance Outstanding | [1] | 1,059,394 | 1,060,052 | |||
One-Month LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Weighted Average Interest Rate | 0.11% | |||||
Variable Rate Revolving Credit Facilities | Variable Rate Loans | ||||||
Debt Instrument [Line Items] | ||||||
Maximum Facility Size | [2] | $ 200,000 | ||||
Principal Balance Outstanding | [1],[2] | 172,800 | ||||
Variable Rate Revolving Credit Facilities | Variable Rate Loans | Weighted Average | ||||||
Debt Instrument [Line Items] | ||||||
Weighted Average Maturity Date | [2],[3] | Oct. 21, 2021 | ||||
Variable Rate Revolving Credit Facilities | One-Month LIBOR | Variable Rate Loans | Weighted Average | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | [2],[4] | 2.00% | ||||
Fixed Rate Mortgages | Fixed Rate Loans | ||||||
Debt Instrument [Line Items] | ||||||
Weighted Average Interest Rate | [4] | 3.09% | ||||
Principal Balance Outstanding | [1] | 2,236,290 | 2,300,015 | |||
Fixed Rate Mortgages | Fixed Rate Loans | Weighted Average | ||||||
Debt Instrument [Line Items] | ||||||
Weighted Average Maturity Date | [3] | Mar. 7, 2030 | ||||
Floating Rate Mortgages | Variable Rate Loans | ||||||
Debt Instrument [Line Items] | ||||||
Principal Balance Outstanding | [1] | $ 886,594 | $ 887,252 | |||
Floating Rate Mortgages | Variable Rate Loans | Weighted Average | ||||||
Debt Instrument [Line Items] | ||||||
Weighted Average Maturity Date | [3] | Mar. 30, 2025 | ||||
Floating Rate Mortgages | One-Month LIBOR | Variable Rate Loans | Weighted Average | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | [4] | 1.75% | ||||
[1] | The majority of the Company’s mortgages contain yield or spread maintenance provisions. | |||||
[2] | The Company’s revolving credit facility can be drawn upon to fund the acquisition of future real estate investments. | |||||
[3] | For loans where the Company, at its own discretion, has extension options, the maximum maturity date has been assumed. | |||||
[4] | The term “L” refers to the one-month LIBOR. As of March 31, 2021, one-month LIBOR was equal to 0.11%. |
Mortgage Notes and Revolving _4
Mortgage Notes and Revolving Credit Facility - Summary of Mortgage Notes and Revolving Credit Facility Secured by Company's Properties (Parenthetical) (Details) | Mar. 31, 2021 |
One-Month LIBOR | |
Debt Instrument [Line Items] | |
Debt weighted average interest rate | 0.11% |
Mortgage Notes and Revolving _5
Mortgage Notes and Revolving Credit Facility - Summary of Future Principal Payment Under Company's Mortgage Notes (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |||
2021 (remaining) | $ 175,126 | ||
2022 | 51,183 | ||
2023 | 3,931 | ||
2024 | 215,859 | ||
2025 | 647,055 | ||
Thereafter | 2,266,913 | ||
Total | [1] | $ 3,360,067 | $ 3,295,684 |
[1] | The majority of the Company’s mortgages contain yield or spread maintenance provisions. |
Mortgage Notes and Revolving _6
Mortgage Notes and Revolving Credit Facility - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Debt Disclosure [Abstract] | ||
Interest paid on mortgage notes and revolving credit facility | $ 15.9 | $ 9.9 |
Secured Financings on Investm_3
Secured Financings on Investments in Real Estate Debt - Schedule of Secured Financings on Investments in Real Estate Debt Transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | ||
Secured Financings On Investments In Real Estate Debt [Line Items] | |||
Collateral Assets | [1] | $ 496,692 | $ 158,405 |
Outstanding Balance | $ 137,970 | $ 108,254 | |
BPLC | |||
Secured Financings On Investments In Real Estate Debt [Line Items] | |||
Weighted Average Maturity Date | Feb. 26, 2026 | ||
Collateral Assets | [1] | $ 496,692 | |
Outstanding Balance | $ 137,970 | ||
RMBS | |||
Secured Financings On Investments In Real Estate Debt [Line Items] | |||
Weighted Average Maturity Date | Mar. 17, 2021 | ||
Weighted Average Interest Rate | 1.93% | ||
Collateral Assets | [1] | $ 155,538 | |
Outstanding Balance | $ 105,804 | ||
CMBS | |||
Secured Financings On Investments In Real Estate Debt [Line Items] | |||
Weighted Average Maturity Date | Jan. 6, 2021 | ||
Weighted Average Interest Rate | 2.10% | ||
Collateral Assets | [1] | $ 2,867 | |
Outstanding Balance | $ 2,450 | ||
[1] | Represents the fair value of the Company’s investments in real estate debt. |
Secured Financings on Investm_4
Secured Financings on Investments in Real Estate Debt - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Secured Financings On Investments In Real Estate Debt [Abstract] | ||
Secured financings on investments in real estate debt, interest paid | $ 0.9 | $ 0.7 |
Unsecured Revolving Credit Fa_2
Unsecured Revolving Credit Facility - Additional Information (Details) - USD ($) $ in Thousands | Dec. 16, 2020 | Mar. 31, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | |||
Uncommitted line of credit | $ 100,000 | ||
Line of Credit Facility, Expiration Date | Dec. 16, 2023 | ||
Line of Credit Facility, Description | The Line of Credit expires on December 16, 2023 and commencing on the third anniversary of the closing date, may request additional one year extensions thereafter. Interest under the Line of Credit is determined based on one-month U.S. dollar-denominated LIBOR plus 3.0%. | ||
Maximum Facility Size | $ 100,000 | ||
Line of Credit Facility, Interest Rate Description | one-month U.S. dollar-denominated LIBOR plus 3.0%. | ||
Outstanding borrowings | $ 0 | $ 0 |
Other Assets and Other Liabil_3
Other Assets and Other Liabilities - Schedule of Components of Other Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Other Assets [Abstract] | ||
Intangible assets, net | $ 181,084 | $ 179,856 |
Receivables | 26,073 | 23,692 |
Prepaid expenses | 1,683 | 4,047 |
Derivative instruments | 8,656 | 1,410 |
Deferred financing costs, net | 1,169 | 1,268 |
Interest receivable | 3,098 | 548 |
Acquisition deposits | 12,079 | 7 |
Other | 337 | 307 |
Total | $ 234,179 | $ 211,135 |
Other Assets and Other Liabil_4
Other Assets and Other Liabilities - Schedule of Components of Accounts Payable, Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Other Liabilities Disclosure [Abstract] | ||
Intangible liabilities, net | $ 31,761 | $ 32,656 |
Accounts payable and accrued expenses | 26,725 | 19,651 |
Real estate taxes payable | 15,633 | 14,842 |
Deferred income | 8,744 | 11,111 |
Distributions payable | 11,431 | 8,682 |
Tenant security deposits | 9,948 | 9,842 |
Accrued interest expense | 8,028 | 7,309 |
Right of use liability - operating lease | 6,381 | 6,390 |
Derivative instruments | 778 | 5,167 |
Other | 2,950 | 1,422 |
Total | $ 122,379 | $ 117,072 |
Equity and Redeemable Non-con_3
Equity and Redeemable Non-controlling Interest - Additional Information (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021USD ($)Classshares | Mar. 31, 2020USD ($)shares | |
Equity [Abstract] | ||
Number of classes of common stock | Class | 4 | |
Number of shares authorized | shares | 1,100,000,000 | |
Fair value allocation | $ | $ 839 | $ 302 |
Common stock repurchase limitations of aggregate NAV per month percentage | 2.00% | |
Common stock repurchase limitations of aggregate NAV per calendar quarter percentage | 5.00% | |
Minimum hold period for repurchases without a discount | 1 year | |
Repurchase percentage within one year at a discount | 95.00% | |
Repurchase of common stock | shares | 568,085 | 45,719 |
Payments for repurchase of common stock | $ | $ 12,300 | $ 1,000 |
Equity and Redeemable Non-con_4
Equity and Redeemable Non-controlling Interest - Schedule of Company's Authorized Capital (Details) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Class Of Stock [Line Items] | ||
Preferred stock, authorized shares | 100,000,000 | 100,000,000 |
Number of Shares | 1,000,000,000 | |
Total Number of Shares | 1,100,000,000 | |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Par value | $ 0.01 | |
Common Stock Class T | ||
Class Of Stock [Line Items] | ||
Number of Shares | 250,000,000 | 250,000,000 |
Par value | $ 0.01 | $ 0.01 |
Common Stock Class S | ||
Class Of Stock [Line Items] | ||
Number of Shares | 250,000,000 | 250,000,000 |
Par value | $ 0.01 | $ 0.01 |
Common Stock Class D | ||
Class Of Stock [Line Items] | ||
Number of Shares | 250,000,000 | 250,000,000 |
Par value | $ 0.01 | $ 0.01 |
Common Stock Class I | ||
Class Of Stock [Line Items] | ||
Number of Shares | 250,000,000 | 250,000,000 |
Par value | $ 0.01 | $ 0.01 |
Equity and Redeemable Non-con_5
Equity and Redeemable Non-controlling Interest - Schedule of Common Stock Outstanding shares (Details) - shares | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Class Of Stock [Line Items] | ||
Beginning balance | 90,894,853 | |
Common stock shares issued | 28,176,773 | |
Distribution reinvestment plan shares issued | 653,165 | |
Common stock shares repurchased | (568,085) | (45,719) |
Ending balance | 119,156,706 | |
Common Stock Class T | ||
Class Of Stock [Line Items] | ||
Beginning balance | 2,463,182 | |
Common stock shares issued | 225,394 | |
Distribution reinvestment plan shares issued | 18,360 | |
Common stock shares repurchased | (32,068) | |
Ending balance | 2,674,868 | |
Common Stock Class S | ||
Class Of Stock [Line Items] | ||
Beginning balance | 46,431,661 | |
Common stock shares issued | 14,078,322 | |
Distribution reinvestment plan shares issued | 379,173 | |
Common stock shares repurchased | (398,352) | |
Ending balance | 60,490,804 | |
Common Stock Class D | ||
Class Of Stock [Line Items] | ||
Beginning balance | 2,847,097 | |
Common stock shares issued | 1,738,543 | |
Distribution reinvestment plan shares issued | 29,788 | |
Common stock shares repurchased | (6,341) | |
Ending balance | 4,609,087 | |
Common Stock Class I | ||
Class Of Stock [Line Items] | ||
Beginning balance | 39,152,913 | |
Common stock shares issued | 12,134,514 | |
Distribution reinvestment plan shares issued | 225,844 | |
Common stock shares repurchased | (131,324) | |
Ending balance | 51,381,947 |
Equity and Redeemable Non-con_6
Equity and Redeemable Non-controlling Interest - Schedule of Aggregate Distributions Declared for Each Class of Common Stock (Details) | 3 Months Ended |
Mar. 31, 2021$ / shares | |
Common Stock Class T | |
Class Of Stock [Line Items] | |
Gross distributions declared per share of common stock | $ 0.3105 |
Stockholder servicing fee per share of common stock | (0.0454) |
Net distributions declared per share of common stock | 0.2651 |
Common Stock Class S | |
Class Of Stock [Line Items] | |
Gross distributions declared per share of common stock | 0.3105 |
Stockholder servicing fee per share of common stock | (0.0455) |
Net distributions declared per share of common stock | 0.2650 |
Common Stock Class D | |
Class Of Stock [Line Items] | |
Gross distributions declared per share of common stock | 0.3105 |
Stockholder servicing fee per share of common stock | (0.0133) |
Net distributions declared per share of common stock | 0.2972 |
Common Stock Class I | |
Class Of Stock [Line Items] | |
Gross distributions declared per share of common stock | 0.3105 |
Net distributions declared per share of common stock | $ 0.3105 |
Equity and Redeemable Non-con_7
Equity and Redeemable Non-controlling Interest - Schedule of Redeemable Noncontrolling Interest (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Equity [Abstract] | ||
Beginning balance | $ 10,409 | $ 10,409 |
Settlement of 2020 performance participation allocation | 15,061 | |
GAAP income allocation | (221) | |
Distributions | (366) | |
Fair value allocation | 839 | $ 302 |
Ending balance | $ 25,722 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - USD ($) | Apr. 01, 2021 | Oct. 29, 2020 | Apr. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2020 | Jan. 31, 2021 | Dec. 31, 2020 | Mar. 20, 2020 | Dec. 31, 2019 |
Related Party Transaction [Line Items] | |||||||||||
Acquired interest rate on property | 75.00% | ||||||||||
Acquired interest rate on property by related party | 25.00% | ||||||||||
Purchase Price | $ 59,000,000 | ||||||||||
Description of variable rate basis | one month LIBOR +2.40% | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.40% | ||||||||||
Principle amount | $ 300,000 | $ 300,000 | |||||||||
Percentage of management fee on NAV per annum | 1.25% | ||||||||||
Management fees | $ 7,420,000 | $ 3,946,000 | |||||||||
Annual hurdle percentage | 5.00% | ||||||||||
Recognized liabilities for Performance Participation expense | $ 8,708,000 | 46,000 | |||||||||
Due to affiliates | 116,566,000 | $ 96,371,000 | |||||||||
Operating expenses | 42,880,000 | 21,508,000 | |||||||||
Rental property operating | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Operating expenses | 38,462,000 | 15,544,000 | |||||||||
Accrued Stockholder Servicing Fee | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | 98,409,000 | 73,170,000 | |||||||||
Advanced Organization And Offering Costs | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | 5,465,000 | 5,830,000 | |||||||||
Accrued Affiliate Service Provider Expenses | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | 452,000 | ||||||||||
Accrued Affiliate Service Provider Expenses | Rental property operating | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Operating expenses | $ 1,300,000 | 500,000 | |||||||||
Class I Unit | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Units issued as payment for performance participation allocation | 695,320 | ||||||||||
Subsequent Event | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Purchase Price | $ 562,800,000 | ||||||||||
Unregistered Class I shares | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Stock issued as management fees, shares | 214,021 | ||||||||||
Management fees, accrued | $ 2,800,000 | ||||||||||
Unregistered Class I shares | Subsequent Event | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Stock issued as management fees, shares | 126,892 | ||||||||||
Sponsor | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Description of variable rate basis | one month LIBOR plus 3.00% | ||||||||||
Borrowings to fund acquisition | $ 22,000 | ||||||||||
Borrowing repayment date | Nov. 3, 2020 | ||||||||||
Special Limited Partner | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Related party allocation percentage of annual total return | 12.50% | ||||||||||
All Other Unit Holders [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Related party allocation percentage of annual total return | 87.50% | ||||||||||
Dealer Manager | Common Stock Class T, Class S and Class D | Accrued Stockholder Servicing Fee | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | $ 98,400,000 | 73,200,000 | |||||||||
Dealer Manager | Common Stock Class T, Class S and Class D | Accrued Stockholder Servicing Fee | Maximum | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Annual stockholder servicing fee percentage | 8.75% | ||||||||||
Advisor | Advanced Organization And Offering Costs | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | $ 7,300,000 | $ 7,300,000 | |||||||||
Advisor | Advanced Expenses | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | 1,400,000 | 2,700,000 | |||||||||
Advisor | Advanced Expenses | Unaffiliated Third Party | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to affiliates | 100,000 | $ 100,000 | |||||||||
Affiliate Service Provider Expenses | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Cost of legal services | $ 100,000 | $ 100,000 |
Related Party Transactions - Su
Related Party Transactions - Summary of Components of Due to Affiliates (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Related Party Transaction [Line Items] | ||
Due to affiliates | $ 116,566 | $ 96,371 |
Accrued Stockholder Servicing Fee | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 98,409 | 73,170 |
Advanced Organization And Offering Costs | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 5,465 | 5,830 |
Performance Participation Allocation | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 8,708 | 15,061 |
Accrued Management Fee | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 2,776 | 2,103 |
Accrued Affiliate Service Provider Expenses | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 452 | |
Advanced Operating Expenses | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | $ 756 | $ 207 |
Leases - Additional Information
Leases - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Leases [Abstract] | |
Lessee, operating lease acquisition, incremental cost | $ 0 |
Incremental borrowing rate to determine lease liabilities | 6.00% |
Operating lease, weighted average remaining lease term | 46 years |
Leases - Schedule of Future Lea
Leases - Schedule of Future Lease Payments (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2021 (remaining) | $ 299 | |
2022 | 399 | |
2023 | 399 | |
2024 | 399 | |
2025 | 399 | |
Thereafter | 16,355 | |
Total undiscounted future lease payments | 18,250 | |
Difference between undiscounted cash flows and discounted cash flows | 11,869 | |
Total lease liability | $ 6,381 | $ 6,390 |
Leases - Summary of Fixed and V
Leases - Summary of Fixed and Variable Components of Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Fixed lease payments | $ 88,232 | $ 40,603 |
Variable lease payments | 9,875 | 5,862 |
Rental revenue | $ 98,107 | $ 46,465 |
Leases - Schedule of Undiscount
Leases - Schedule of Undiscounted Future Minimum Rents Income Receivables (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Leases [Abstract] | |
2021 (remaining) | $ 106,212 |
2022 | 130,117 |
2023 | 122,209 |
2024 | 108,646 |
2025 | 96,454 |
Thereafter | 390,191 |
Total | $ 953,829 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 6 |
Segment Reporting - Summary of
Segment Reporting - Summary of Total Assets by Segment (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Segment Reporting Information [Line Items] | ||
Total Assets | $ 6,115,617 | $ 5,330,816 |
Multifamily | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 2,709,742 | 2,738,210 |
Hotel | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 243,489 | 244,065 |
Industrial | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 537,306 | 551,898 |
Office | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 1,218,088 | 1,186,328 |
Medical Office | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 195,668 | 196,559 |
Other (Corporate) | ||
Segment Reporting Information [Line Items] | ||
Total Assets | 506,961 | 195,531 |
Investments In Real Estate Debt | ||
Segment Reporting Information [Line Items] | ||
Total Assets | $ 704,363 | $ 218,225 |
Segment Reporting - Summary o_2
Segment Reporting - Summary of Financial Results by Segment (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Revenues: | ||
Total revenues | $ 105,751,000 | $ 57,037,000 |
Expenses | ||
Operating expenses | 42,880,000 | 21,508,000 |
Income (loss) from investments in real estate debt | 8,794,000 | (20,173,000) |
(Loss) earnings from unconsolidated real estate ventures | (22,000) | 360,000 |
Segment net operating income (loss) | 71,643,000 | 15,716,000 |
Depreciation and amortization | (54,796,000) | (30,543,000) |
General and administrative | (2,706,000) | (2,358,000) |
Management fees | (7,420,000) | (3,946,000) |
Performance participation allocation | (8,708,000) | (46,000) |
Interest expense | (17,945,000) | (19,641,000) |
Other (expense) income, net | (199,000) | 171,000 |
Net loss | (20,131,000) | (40,647,000) |
Net loss attributable to non-controlling interests in consolidated joint ventures | 21,000 | 638,000 |
Net loss attributable to non-controlling interests in Operating Partnership | 221,000 | 332,000 |
Net loss attributable to stockholders | (19,889,000) | (39,677,000) |
Rental Revenue | ||
Revenues: | ||
Total revenues | 98,107,000 | 46,465,000 |
Expenses | ||
Operating expenses | 38,462,000 | 15,544,000 |
Hotel Revenue | ||
Revenues: | ||
Total revenues | 6,966,000 | 10,215,000 |
Expenses | ||
Operating expenses | 4,418,000 | 5,964,000 |
Other revenue | ||
Revenues: | ||
Total revenues | 678,000 | 357,000 |
Operating Segments | Multifamily | ||
Revenues: | ||
Total revenues | 54,934,000 | 25,376,000 |
Expenses | ||
Operating expenses | 23,030,000 | 8,940,000 |
Segment net operating income (loss) | 31,904,000 | 16,436,000 |
Depreciation and amortization | (29,247,000) | (16,790,000) |
Operating Segments | Hotel | ||
Revenues: | ||
Total revenues | 7,030,000 | 10,289,000 |
Expenses | ||
Operating expenses | 4,418,000 | 5,964,000 |
(Loss) earnings from unconsolidated real estate ventures | (22,000) | 360,000 |
Segment net operating income (loss) | 2,590,000 | 4,685,000 |
Depreciation and amortization | (2,129,000) | (2,078,000) |
Operating Segments | Industrial | ||
Revenues: | ||
Total revenues | 10,579,000 | 6,688,000 |
Expenses | ||
Operating expenses | 2,919,000 | 1,716,000 |
Segment net operating income (loss) | 7,660,000 | 4,972,000 |
Depreciation and amortization | (6,063,000) | (4,164,000) |
Operating Segments | Office | ||
Revenues: | ||
Total revenues | 29,618,000 | 12,824,000 |
Expenses | ||
Operating expenses | 10,918,000 | 4,326,000 |
Segment net operating income (loss) | 18,700,000 | 8,498,000 |
Depreciation and amortization | (15,167,000) | (6,781,000) |
Operating Segments | Medical Office | ||
Revenues: | ||
Total revenues | 3,590,000 | 1,860,000 |
Expenses | ||
Operating expenses | 1,595,000 | 562,000 |
Segment net operating income (loss) | 1,995,000 | 1,298,000 |
Depreciation and amortization | (2,190,000) | (730,000) |
Operating Segments | Investments In Real Estate Debt | ||
Expenses | ||
Income (loss) from investments in real estate debt | 8,794,000 | (20,173,000) |
Segment net operating income (loss) | 8,794,000 | (20,173,000) |
Operating Segments | Rental Revenue | Multifamily | ||
Revenues: | ||
Total revenues | 54,379,000 | 25,114,000 |
Expenses | ||
Operating expenses | 23,030,000 | 8,940,000 |
Operating Segments | Rental Revenue | Industrial | ||
Revenues: | ||
Total revenues | 10,579,000 | 6,688,000 |
Expenses | ||
Operating expenses | 2,919,000 | 1,716,000 |
Operating Segments | Rental Revenue | Office | ||
Revenues: | ||
Total revenues | 29,569,000 | 12,813,000 |
Expenses | ||
Operating expenses | 10,918,000 | 4,326,000 |
Operating Segments | Rental Revenue | Medical Office | ||
Revenues: | ||
Total revenues | 3,580,000 | 1,850,000 |
Expenses | ||
Operating expenses | 1,595,000 | 562,000 |
Operating Segments | Hotel Revenue | Hotel | ||
Revenues: | ||
Total revenues | 6,966,000 | 10,215,000 |
Expenses | ||
Operating expenses | 4,418,000 | 5,964,000 |
Operating Segments | Other revenue | Multifamily | ||
Revenues: | ||
Total revenues | 555,000 | 262,000 |
Operating Segments | Other revenue | Hotel | ||
Revenues: | ||
Total revenues | 64,000 | 74,000 |
Operating Segments | Other revenue | Office | ||
Revenues: | ||
Total revenues | 49,000 | 11,000 |
Operating Segments | Other revenue | Medical Office | ||
Revenues: | ||
Total revenues | $ 10,000 | $ 10,000 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) - USD ($) | May 11, 2021 | Apr. 01, 2021 | Jun. 30, 2020 | May 07, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Subsequent Event [Line Items] | ||||||
Payments to Acquire Commercial Real Estate | $ 59,000,000 | |||||
Reallocated share, value | $ 300,000,000 | |||||
Number of shares authorized | 1,100,000,000 | |||||
Common stock, shares authorized | 1,000,000,000 | |||||
Common stock, par value | $ 0.01 | |||||
Preferred stock, authorized shares | 100,000,000 | 100,000,000 | ||||
Preferred stock, par value | $ 0.01 | $ 0.01 | ||||
Primary Offering | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares authorized, amount | $ 4,000,000,000 | |||||
Reallocated share, value | 4,300,000,000 | |||||
Distribution Reinvestment Plan | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares authorized, amount | 1,000,000,000 | |||||
Reallocated share, value | $ 700,000,000 | |||||
Common Stock Class T | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 2,674,868 | 2,463,182 | ||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | ||||
Common Stock Class S | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 60,490,804 | 46,431,661 | ||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | ||||
Common Stock Class D | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 4,609,087 | 2,847,097 | ||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | ||||
Common Stock Class I | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 51,381,947 | 39,152,913 | ||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | ||||
Common stock, par value | $ 0.01 | $ 0.01 | ||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Payments to Acquire Commercial Real Estate | $ 562,800,000 | |||||
Common stock, shares issued | 159,607,694 | |||||
Proceeds from issuance of common stock, post 06/30 | $ 3,400,000,000 | |||||
Percentage of quarterly installment for compensation paid in cash | 40.00% | |||||
Number of shares authorized | 3,100,000,000 | |||||
Common stock, shares authorized | 3,000,000,000 | |||||
Common stock, par value | $ 0.01 | |||||
Preferred stock, authorized shares | 100,000,000 | |||||
Preferred stock, par value | $ 0.01 | |||||
Subsequent Event | Independent Director | ||||||
Subsequent Event [Line Items] | ||||||
Annual retention payable as compenstion | $ 175,000 | |||||
Subsequent Event | Chairperson | ||||||
Subsequent Event [Line Items] | ||||||
Annual retention payable as compenstion | $ 10,000 | |||||
Subsequent Event | Common Stock Class T | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 3,118,329 | |||||
Common stock, shares authorized | 500,000,000 | |||||
Subsequent Event | Common Stock Class S | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 80,131,712 | |||||
Common stock, shares authorized | 1,000,000,000 | |||||
Subsequent Event | Common Stock Class D | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 7,713,063 | |||||
Common stock, shares authorized | 500,000,000 | |||||
Subsequent Event | Common Stock Class I | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, shares issued | 68,644,590 | |||||
Percentage of quarterly installment for compensation paid in restricted shares | 60.00% | |||||
Determination of restricted shares granted, percentage | 60.00% | |||||
Restricted stock grant, description | Class I Restricted Stock shall be granted on the third business day following the Company’s annual meeting of stockholders | |||||
Common stock, shares authorized | 1,000,000,000 |