Federal Realty Investment Trust (FRT) 10-Q 31 Oct 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	9 Months Ended
	Sep. 30, 2018	Oct. 26, 2018
Document And Entity Information [Abstract]
9/30/2018	Sep. 30, 2018
Entity Registrant Name	FEDERAL REALTY INVESTMENT TRUST
Entity Central Index Key	34,903
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Common Stock, Shares Outstanding		73,863,142

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
ASSETS
Operating (including $1,665,185 and $1,639,486 of consolidated variable interest entities, respectively)	$ 7,256,876	$ 6,950,188
Construction-in-progress (including $60,937 and $43,393 of consolidated variable interest entities, respectively)	481,994	684,873
Assets held for sale	21,990	0
Real estate, at cost, total	7,760,860	7,635,061
Less accumulated depreciation and amortization (including $280,028 and $247,410 of consolidated variable interest entities, respectively)	(2,018,627)	(1,876,544)
Net real estate	5,742,233	5,758,517
Cash and cash equivalents	41,872	15,188
Accounts and notes receivable, net	151,403	209,877
Mortgage notes receivable, net	30,429	30,429
Investment in real estate partnerships	27,647	23,941
Prepaid expenses and other assets	292,080	237,803
TOTAL ASSETS	6,285,664	6,275,755
Liabilities
Mortgages payable, net (including $445,831 and $460,372 of consolidated variable interest entities, respectively)	476,057	491,505
Capital lease obligations	71,529	71,556
Notes payable, net	305,483	320,265
Senior notes and debentures, net	2,403,565	2,401,440
Accounts payable and accrued expenses	184,683	196,332
Dividends payable	77,809	75,931
Security deposits payable	17,698	16,667
Other liabilities and deferred credits	173,953	169,388
Total liabilities	3,710,777	3,743,084
Commitments and contingencies (Note 6)
Redeemable noncontrolling interests	141,448	141,157
Shareholders’ equity
Common shares of beneficial interest, $.01 par, 100,000,000 shares authorized, 73,859,280 and 73,090,877 shares issued and outstanding, respectively	741	733
Additional paid-in capital	2,946,555	2,855,321
Accumulated dividends in excess of net income	(795,649)	(749,367)
Accumulated other comprehensive income	127	22
Total shareholders’ equity of the Trust	2,311,771	2,266,706
Noncontrolling interests	121,668	124,808
Total shareholders’ equity	2,433,439	2,391,514
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	6,285,664	6,275,755
5.0% Series C Cumulative Redeemable Preferred Shares, (stated at liquidation preference $25,000 per share), 6,000 shares issued and outstanding
Shareholders’ equity
Preferred shares, authorized 15,000,000 shares, $.01 par	150,000	150,000
5.417% Series 1 Cumulative Convertible Preferred Shares, (stated at liquidation preference $25 per share), 399,896 shares issued and outstanding
Shareholders’ equity
Preferred shares, authorized 15,000,000 shares, $.01 par	$ 9,997	$ 9,997

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Dec. 31, 2017
Operating real estate, consolidated variable interest entities	$ 1,665,185	$ 1,665,185	$ 1,639,486
Construction-in-progress, consolidated variable interest entities	60,937	60,937	43,393
Accumulated depreciation and amortization, consolidated variable interest entities	280,028	280,028	247,410
Mortgages payable, consolidated variable interest entities	$ 445,831	$ 445,831	$ 460,372
Preferred shares, authorized	15,000,000	15,000,000	15,000,000
Preferred shares, par value	$ 0.01	$ 0.01	$ 0.01
Preferred shares, percentage	5.417%	5.417%
Common shares of beneficial interest, par value	$ 0.01	$ 0.01	$ 0.01
Common shares of beneficial interest, shares authorized	100,000,000	100,000,000	100,000,000
Common shares of beneficial interest, shares issued	73,859,280	73,859,280	73,090,877
Common shares of beneficial interest, shares outstanding	73,859,280	73,859,280	73,090,877
5.417% Series 1 Cumulative Convertible Preferred
Preferred shares, percentage		5.417%	5.417%
Preferred shares, liquidation preference	$ 25	$ 25	$ 25
Preferred shares, shares issued	399,896	399,896	399,896
Preferred shares, shares outstanding	399,896	399,896	399,896
5.0% Series C Cumulative Redeemable Preferred
Preferred shares, percentage		5.00%	5.00%
Preferred shares, liquidation preference	$ 25,000	$ 25,000	$ 25,000
Preferred shares, shares issued	6,000	6,000	6,000
Preferred shares, shares outstanding	6,000	6,000	6,000

Consolidated Statements Of Oper

Consolidated Statements Of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
REVENUE
Rental income	$ 223,777	$ 212,048	$ 664,834	$ 620,741
Other property income	5,183	5,171	12,942	10,429
Mortgage interest income	793	734	2,284	2,221
Total revenue	229,753	217,953	680,060	633,391
EXPENSES
Rental expenses	41,909	41,250	126,587	119,487
Real estate taxes	29,086	27,492	85,841	79,104
General and administrative	7,638	9,103	23,980	26,013
Depreciation and amortization	60,778	55,611	177,269	159,656
Total operating expenses	139,411	133,456	413,677	384,260
OPERATING INCOME	90,342	84,497	266,383	249,131
Other interest income	319	79	657	253
Interest expense	(28,166)	(26,287)	(82,116)	(73,952)
Loss from real estate partnerships	(1,440)	(182)	(2,693)	(296)
INCOME FROM CONTINUING OPERATIONS	61,055	58,107	182,231	175,136
Gain on sale of real estate, net	3,125	50,775	10,413	69,949
NET INCOME	64,180	108,882	192,644	245,085
Net income attributable to noncontrolling interests	(1,622)	(2,105)	(5,244)	(5,827)
NET INCOME ATTRIBUTABLE TO THE TRUST	62,558	106,777	187,400	239,258
Dividends on preferred shares	(2,010)	(177)	(6,031)	(448)
NET INCOME AVAILABLE FOR COMMON SHAREHOLDERS	$ 60,548	$ 106,600	$ 181,369	$ 238,810
EARNINGS PER COMMON SHARE, BASIC:
Net income available for common shareholders	$ 0.82	$ 1.47	$ 2.47	$ 3.31
Weighted average number of common shares	73,400	72,091	73,100	71,983
EARNINGS PER COMMON SHARE, DILUTED:
Net income available for common shareholders	$ 0.82	$ 1.47	$ 2.47	$ 3.30
Weighted average number of common shares	73,408	72,206	73,136	72,110
COMPREHENSIVE INCOME	$ 63,895	$ 109,240	$ 192,749	$ 246,920
COMPREHENSIVE INCOME ATTRIBUTABLE TO THE TRUST	$ 62,273	$ 107,135	$ 187,505	$ 241,093

Consolidated Statement Of Share

Consolidated Statement Of Shareholders' Equity - 9 months ended Sep. 30, 2018 - USD ($) $ in Thousands	Total	Preferred Shares	Common Shares	Additional Paid-in Capital	Accumulated Dividends in Excess of Net Income	Accumulated Other Comprehensive Income	Noncontrolling Interests	Common SharesAdditional Paid-in Capital
Beginning balance (in shares) at Dec. 31, 2017		405,896	73,090,877
Beginning balance at Dec. 31, 2017	$ 2,391,514	$ 159,997	$ 733	$ 2,855,321	$ (749,367)	$ 22	$ 124,808
Increase (Decrease) in Stockholders' Equity [Roll Forward]
January 1, 2018 adoption of new accounting standard - See Note 2	(6,028)				(6,028)
Net income, excluding $2,920 attributable to redeemable noncontrolling interests	189,724				187,400		2,324
Other comprehensive income - change in fair value of interest rate swaps	105					105
Dividends declared to common shareholders	(221,623)				(221,623)
Dividends declared to preferred shareholders	(6,031)				(6,031)
Distributions declared to noncontrolling interests	(4,010)						(4,010)
Shares issued (in shares)			612,727
Shares issued	77,371		$ 6					$ 77,365
Exercise of stock options (in shares)			93,593
Exercise of stock options	4,041		$ 1	4,040
Shares issued under dividend reinvestment plan (in shares)			13,750
Shares issued under dividend reinvestment plan	1,647			1,647
Share-based compensation expense, net of forfeitures (in shares)			55,773
Share-based compensation expense, net of forfeitures	9,638		$ 1	9,637
Shares withheld for employee taxes (in shares)			(8,189)
Shares withheld for employee taxes	(927)			(927)
Conversion and redemption of OP units (in Shares)			749
Conversion and redemption of OP units	(5,906)			(528)			(5,378)
Contributions from noncontrolling interests	3,924						3,924
Ending balance (in shares) at Sep. 30, 2018		405,896	73,859,280
Ending balance at Sep. 30, 2018	$ 2,433,439	$ 159,997	$ 741	$ 2,946,555	$ (795,649)	$ 127	$ 121,668

Consolidated Statement Of Sha_2

Consolidated Statement Of Shareholders' Equity (Parentheticals) $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)
Statement of Stockholders' Equity [Abstract]
Net income attributable to redeemable noncontrolling interests	$ 2,920

Consolidated Statements Of Cash

Consolidated Statements Of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
OPERATING ACTIVITIES
Net income	$ 192,644	$ 245,085
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	177,269	159,656
Gain on sale of real estate, net	(10,413)	(69,949)
Loss from real estate partnerships	2,693	296
Other, net	3,251	(5,182)
Changes in assets and liabilities, net of effects of acquisitions and dispositions:
Proceeds from new market tax credit transaction, net of deferred costs	12,353	0
Increase in accounts receivable, net	(4,514)	(1,565)
Increase in prepaid expenses and other assets	(11,682)	(4,627)
Increase in accounts payable and accrued expenses	2,896	12,619
Increase in security deposits and other liabilities	219	3,138
Net cash provided by operating activities	364,716	339,471
INVESTING ACTIVITIES
Acquisition of real estate	(3,624)	(437,772)
Capital expenditures - development and redevelopment	(217,437)	(335,666)
Capital expenditures - other	(50,744)	(52,875)
Proceeds from sale of real estate and real estate partnership interests	142,711	127,538
Proceeds from partnership formation	37,998	0
Investment in real estate partnerships	(616)	(502)
Distribution from real estate partnership in excess of earnings	237	1,672
Leasing costs	(19,938)	(11,295)
Issuance of mortgage and other notes receivable, net	(360)	(500)
Net cash used in investing activities	(111,773)	(709,400)
FINANCING ACTIVITIES
Net (repayment) borrowings under revolving credit facility, net of costs	(14,500)	41,500
Issuance of senior notes, net of costs	0	399,454
Repayment of mortgages and capital leases	(15,137)	(54,844)
Issuance of common shares, net of costs	81,628	51,189
Issuance of preferred shares, net of costs	0	145,456
Dividends paid to common and preferred shareholders	(224,311)	(210,845)
Shares withheld for employee taxes	(927)	(4,216)
Contributions from noncontrolling interests	2,753	13,312
Distributions to and redemptions of noncontrolling interests	(12,848)	(12,882)
Net cash (used in) provided by financing activities	(183,342)	368,124
Increase (decrease) in cash, cash equivalents and restricted cash	69,601	(1,805)
Cash, cash equivalents, and restricted cash at beginning of year	25,200	34,849
Cash, cash equivalents, and restricted cash at end of period	$ 94,801	$ 33,044

Business And Organization

Business And Organization	9 Months Ended
	Sep. 30, 2018
Nature Of Operations [Abstract]
BUSINESS AND ORGANIZATION	BUSINESS AND ORGANIZATION Federal Realty Investment Trust (the “Trust”) is an equity real estate investment trust (“REIT”) specializing in the ownership, management, and redevelopment of retail and mixed-use properties. Our properties are located primarily in densely populated and affluent communities in strategically selected metropolitan markets in the Mid-Atlantic and Northeast regions of the United States, California, and South Florida. As of September 30, 2018 , we owned or had a majority interest in community and neighborhood shopping centers and mixed-use properties which are operated as 105 predominantly retail real estate projects. We operate in a manner intended to enable us to qualify as a REIT for federal income tax purposes. A REIT that distributes at least 90% of its taxable income to its shareholders each year and meets certain other conditions is not taxed on that portion of its taxable income which is distributed to its shareholders. Therefore, federal income taxes on our taxable income have been and are generally expected to be immaterial. We are obligated to pay state taxes, generally consisting of franchise or gross receipts taxes in certain states. Such state taxes also have not been material.

Summary Of Significant Accounti

Summary Of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The accompanying consolidated balance sheet as of December 31, 2017 , which has been derived from audited financial statements, and unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States (GAAP) have been omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. It is suggested that these financial statements be read in conjunction with the financial statements and notes thereto included in the Trust’s latest Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal, recurring adjustments) necessary for a fair presentation for the periods presented have been included. The results of operations for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the full year. Principles of Consolidation Our consolidated financial statements include the accounts of the Trust, its corporate subsidiaries, and all entities in which the Trust has a controlling interest or has been determined to be the primary beneficiary of a variable interest entity (“VIE”). The equity interests of other investors are reflected as noncontrolling interests or redeemable noncontrolling interests. All significant intercompany transactions and balances are eliminated in consolidation. We account for our interests in joint ventures, which we do not control, using the equity method of accounting. Certain 2017 amounts have been reclassified to conform to current period presentation. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America, referred to as “GAAP,” requires management to make estimates and assumptions that in certain circumstances affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities, and revenues and expenses. These estimates are prepared using management’s best judgment, after considering past, current and expected events and economic conditions. Actual results could differ from these estimates. Recently Adopted and Issued Accounting Pronouncements Standard Description Date of Adoption Effect on the financial statements or significant matters Recently Adopted: Revenue from Contracts with Customers (Topic 606) and related updates: Revenue from Revenue from Revenue from Revenue from Revenue from Revenue from In May 2014, the the FASB issued ASU 2014-09, "Revenue from Contracts with Customers." ASU 2014-09 as amended and interpreted by ASU 2015-14, ASU 2016-08, ASU 2016-10, ASU 2016-12, and ASU 2016-20, supersedes nearly all existing revenue recognition guidance under GAAP and replaces it with a core revenue recognition principle, that an entity will recognize revenue when it transfers control of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services, and creates a five-step model for revenue recognition in accordance with this principle. ASU 2014-09 also requires new disclosures in both interim and annual reporting periods. The guidance in ASU 2014-09 does not apply to contracts within the scope of ASC 840, Leases. January 2018 We implemented the new revenue recognition guidance retrospectively with the cumulative effect recognized in accumulated dividends in excess of net income at the date of initial application. The primary impact relates to condominium sales. Most of our revenue is accounted for under the leasing standard, and therefore is not subject to this standard. Standard Description Date of Adoption Effect on the financial statements or significant matters ASU 2016-15, August 2016, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments This ASU provides classification guidance for eight specific topics including debt extinguishment costs, contingent consideration payments made after a business combination, and distributions received from equity method investees. January 2018 This standard did not have an impact on our consolidated financial statements. ASU 2016-18, November 2016, Statement of Cash Flows (Topic 203) - Restricted Cash This ASU requires that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or cash equivalents. Amounts generally described as restricted cash and equivalents should be included with cash and cash equivalents when reconciling the beginning and end of period total amounts on the statement of cash flows. January 2018 Prior to the adoption of this standard, "net cash provided by operating activities" was $339.6 million and "net cash used in investing activities" was $708.3 million, for the nine months ended September 30, 2017. After the adoption, "net cash provided by operating activities" was $339.5 million and "net cash used in investing activities" was $709.4 million, for the nine months ended September 30, 2017. The reclassification is reflected in "increase in cash, cash equivalents, and restricted cash" in the Consolidated Statements of Cash Flows. See additional disclosures in "Consolidated Statement of Cash Flows - Supplemental Disclosures." ASU 2017-05, February 2017, Other Income - Gains and Losses from the Recognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets This ASU clarifies that ASC 610-20 applies to all nonfinancial assets (including real estate) for which the counterparty is not a customer and also clarifies that all businesses are derecognized using the deconsolidation guidance. Additionally, it defines an insubstance nonfinancial asset as a financial asset that is promised to a counterparty in a contract in which substantially all of the fair value of the assets promised in the contract is concentrated in nonfinancial assets, which excludes cash or cash equivalents and liabilities. January 2018 The new guidance impacts the gain recognized when a real estate asset is sold to a non-customer and a noncontrolling interest is retained. The adoption of this standard did not have a significant impact on our consolidated financial statements. ASU 2017-09, May 2017, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting The ASU clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. Under the new guidance, an entity will not apply modification accounting if the awards' fair value, vesting conditions, and the classification of the award as equity or a liability are the same immediately before and after the change. The new guidance is applied prospectively to awards granted or modified after the adoption date. January 2018 The adoption of this standard did not have an impact to our financial statements, as there have been no modifications to awards for the nine months ended September 30, 2018. Standard Description Date of Adoption Effect on the financial statements or significant matters Not Yet Adopted: Leases (Topic 842) and related updates: ASU 2016-02, February 2016, Leases (Topic 842) ASU 2018-10, July 2018, Codification improvements to Topic 842, Leases ASU 2018-11, July 2018, Leases (Topic 842) This ASU significantly changes the accounting for leases by requiring lessees to recognize assets and liabilities for leases greater than 12 months on their balance sheet. The lessor model stays substantially the same; however, there were modifications to conform lessor accounting with the lessee model, eliminate real estate specific guidance, further define certain lease and non-lease components, and change the definition of initial direct costs of leases requiring significantly more leasing related costs to be expensed upfront. ASU 2018-10 provides narrow amendments that clarify how to apply certain aspects of the guidance in ASU 2016-02. ASU 2018-11 provides the option of an additional transition method, by allowing entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. It also provides lessors an option to not separate lease and non-lease components when certain criteria are met. January 2019 We are currently assessing the full impact of this standard to our consolidated financial statements. We have, however, identified certain areas which will be impacted as follows: We are currently a lessee for land underneath all or a portion of 14 properties that are subject to ground leases (in addition to 4 other properties that we currently account for as capital leases). Upon adoption, we will recognize the lease obligation for the 14 ground leases and a corresponding right of use asset on our consolidated balance sheet. Additionally, we will no longer be able to capitalize certain internal leasing and external legal leasing costs. For the nine months ended September 30, 2018, we have capitalized approximately $5.3 million of internal leasing and external legal leasing costs, of which a portion will will be expensed when we adopt ASU 2016-02. Consolidated Statements of Cash Flows—Supplemental Disclosures The following tables provide supplemental disclosures related to the Consolidated Statements of Cash Flows: Nine Months Ended September 30, 2018 2017 (In thousands) SUPPLEMENTAL DISCLOSURES: Total interest costs incurred $ 96,903 $ 92,520 Interest capitalized (14,787 ) (18,568 ) Interest expense $ 82,116 $ 73,952 Cash paid for interest, net of amounts capitalized $ 85,614 $ 70,486 Cash paid for income taxes $ 699 $ 342 NON-CASH INVESTING AND FINANCING TRANSACTIONS (1): Mortgage loan refinanced $ — $ 166,823 Mortgage loans assumed with acquisition $ — $ 79,401 DownREIT operating partnership units issued with acquisition of noncontrolling interest $ — $ 5,918 DownREIT operating partnership units redeemed for common shares $ 101 $ 2,569 Shares issued under dividend reinvestment plan $ 1,431 $ 1,528 (1) See Note 3 for additional disclosures relating to our investment in the Assembly Row hotel joint venture. September 30, December 31, 2018 2017 (In thousands) RECONCILIATION OF CASH, CASH EQUIVALENTS, AND RESTRICTED CASH: Cash and cash equivalents $ 41,872 $ 15,188 Restricted cash (1) 52,929 10,012 Total cash, cash equivalents, and restricted cash $ 94,801 $ 25,200 (1) Restricted cash balances are included in "prepaid expenses and other assets" on our consolidated balance sheets.

Real Estate

Real Estate	9 Months Ended
	Sep. 30, 2018
Real Estate [Abstract]
REAL ESTATE	REAL ESTATE On June 15, 2018 , we formed a new joint venture to develop Jordan Downs Plaza which, when completed, will be an approximately 113,000 square foot grocery anchored shopping center located in Los Angeles County, California. We initially invested $34.4 million as a result of a pre-funding requirement for equity to be advanced prior to the start of construction. We own approximately 91% of the venture, and control the 9.4 acre land parcel on which the shopping center will be constructed under a long-term ground lease that expires June 15, 2093 (including two 10-year option periods which may be exercised at our option). The Jordan Downs Plaza development is expected to generate income tax credits under the New Market Tax Credit Program ("NMTC") which was provided for in the Community Renewal Tax Relief Act of 2000 ("the Act") and is intended to induce investment in underserved areas of the United States. The Act permits taxpayers to claim credits against their Federal income taxes for qualified investments. A third party bank contributed $13.9 million to the development, and is entitled to the related tax credit benefits, but they do not have an interest in the underlying economics of the property. The transaction also includes a put/call provision whereby we may be obligated or entitled to purchase the third party bank’s interest. We believe the put will be exercised at its $1,000 strike price. Based on our assessment of control, we concluded that the project and certain other transaction related entities should be consolidated. The $13.9 million in proceeds received in exchange for the transfer of the tax credits has been deferred and will be recognized when the tax benefits are delivered to the third party bank without risk of recapture. Direct and incremental costs of $1.6 million incurred in structuring the NMTC transaction have also been deferred. The Trust anticipates recognizing the net cash received as revenue upon completion of the seven-year NMTC compliance period. Cash in escrow at September 30, 2018 of $39.7 million reflects cash that will ultimately be used for the development of the shopping center. The cash is held in escrow pursuant to the new market tax credit transaction documents and will be released as qualified development expenditures are incurred. In August 2018 , we contributed hotel related assets valued at $44.0 million to our Assembly Row hotel joint venture, and received a cash distribution of $38.0 million . At September 30, 2018 , our investment in the venture was $5.6 million . The joint venture is considered a variable interest entity controlled by our partner, and as a result, we are using the equity method to account for our investment. On August 16, 2018 , we sold the residential building at our Chelsea Commons property in Chelsea, Massachusetts for a sales price of $15.0 million , resulting in a gain of $3.1 million . During the three and nine months ended September 30, 2018 , we closed on the sale of 8 and 167 condominium units, respectively, at our Assembly Row and Pike & Rose properties (combined) and received proceeds net of closing costs of $6.7 million and $128.1 million , respectively. For the nine months ended September 30, 2018 , we recognized a gain of $7.3 million , net of $1.7 million of income taxes. The cost basis for remaining condominium units that are ready for their intended use as of September 30, 2018 is $22.0 million , and is included in "assets held for sale" on our consolidated balance sheets.

Debt

Debt	9 Months Ended
	Sep. 30, 2018
Debt Instruments [Abstract]
DEBT	DEBT On March 1, 2018 , we repaid the $10.5 million mortgage loan on The Grove at Shrewsbury (West) at par. On August 10, 2018, we exercised our option to extend the maturity date of our $275.0 million unsecured term loan by one year to November 21, 2019. During the three and nine months ended September 30, 2018 , the maximum amount of borrowings outstanding under our $800.0 million revolving credit facility was $161.0 million and $177.0 million , respectively, and the weighted average interest rate, before amortization of debt fees, was 2.8% and 2.6% , respectively. During the three and nine months ended September 30, 2018 , the weighted average borrowings outstanding were $85.9 million and $101.8 million , respectively. At September 30, 2018 , the outstanding balance was $26.5 million . Our revolving credit facility, term loan and certain notes require us to comply with various financial covenants, including the maintenance of minimum shareholders' equity and debt coverage ratios and a maximum ratio of debt to net worth. As of September 30, 2018 , we were in compliance with all default related debt covenants.

Fair Value Of Financial Instrum

Fair Value Of Financial Instruments	9 Months Ended
	Sep. 30, 2018
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS Except as disclosed below, the carrying amount of our financial instruments approximates their fair value. The fair value of our mortgages payable, notes payable and senior notes and debentures is sensitive to fluctuations in interest rates. Quoted market prices (Level 1) were used to estimate the fair value of our marketable senior notes and debentures and discounted cash flow analysis (Level 2) is generally used to estimate the fair value of our mortgages and notes payable. Considerable judgment is necessary to estimate the fair value of financial instruments. The estimates of fair value presented herein are not necessarily indicative of the amounts that could be realized upon disposition of the financial instruments. A summary of the carrying amount and fair value of our mortgages payable, notes payable and senior notes and debentures is as follows: September 30, 2018 December 31, 2017 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Mortgages and notes payable $ 781,540 $ 774,192 $ 811,770 $ 824,419 Senior notes and debentures $ 2,403,565 $ 2,350,325 $ 2,401,440 $ 2,498,445 As of September 30, 2018 , we have two interest rate swap agreements with a notional amount of $275.0 million that are measured at fair value on a recurring basis. The interest rate swap agreements fix the variable portion of our $275.0 million term loan at 1.72% through November 1, 2018. We assess effectiveness of our cash flow hedges both at inception and on an ongoing basis. The effective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recorded in accumulated other comprehensive loss and is subsequently reclassified into interest expense as interest is incurred on the related variable rate debt. Within the next 12 months, we expect to reclassify an estimated $0.1 million as a decrease to interest expense. Our cash flow hedges become ineffective if critical terms of the hedging instrument and the debt instrument do not perfectly match such as notional amounts, settlement dates, reset dates, calculation period and LIBOR rate. In addition, we evaluate the default risk of the counterparty by monitoring the credit-worthiness of the counterparty. When ineffectiveness exists, the ineffective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recognized in earnings in the period affected. Hedge ineffectiveness has not impacted earnings as of September 30, 2018 , and we do not anticipate it will have a significant effect in the future. The fair values of the interest rate swap agreements are based on the estimated amounts we would receive or pay to terminate the contracts at the reporting date and are determined using interest rate pricing models and interest rate related observable inputs. The fair value of our swaps at September 30, 2018 was an asset of $0.1 million and is included in "prepaid expenses and other assets" on our consolidated balance sheets. For the three and nine months ended September 30, 2018 , the change in valuation on our interest rate swaps resulted in a $ 0.3 million decrease in our derivative asset and a $0.1 million increase in our derivative asset, respectively, (including $0.2 million and $ 0.3 million , respectively, reclassified from other comprehensive income as a decrease to interest expense). The change in valuation on our interest rate swaps is included in "accumulated other comprehensive income." A summary of our financial assets that are measured at fair value on a recurring basis, by level within the fair value hierarchy is as follows: September 30, 2018 December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (In thousands) Interest rate swaps $ — $ 133 $ — $ 133 $ — $ 22 $ — $ 22 One of our equity method investees has two interest rate swaps which qualify for cash flow hedge accounting. During the three and nine months ended September 30, 2018 our share of the change in fair value of the related swaps included in "accumulated other comprehensive income" was less than $0.1 million .

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES We are sometimes involved in lawsuits, warranty claims, and environmental matters arising in the ordinary course of business. Management makes assumptions and estimates concerning the likelihood and amount of any potential loss relating to these matters. We are currently a party to various legal proceedings. We accrue a liability for litigation if an unfavorable outcome is probable and the amount of loss can be reasonably estimated. If an unfavorable outcome is probable and a reasonable estimate of the loss is a range, we accrue the best estimate within the range; however, if no amount within the range is a better estimate than any other amount, the minimum within the range is accrued. Legal fees related to litigation are expensed as incurred. We do not believe that the ultimate outcome of these matters, either individually or in the aggregate, could have a material adverse effect on our financial position or overall trends in results of operations; however, litigation is subject to inherent uncertainties. Also under our leases, tenants are typically obligated to indemnify us from and against all liabilities, costs and expenses imposed upon or asserted against us (1) as owner of the properties due to certain matters relating to the operation of the properties by the tenant, and (2) where appropriate, due to certain matters relating to the ownership of the properties prior to their acquisition by us. Under the terms of certain partnership agreements, the partners have the right to exchange their operating partnership units for cash or the same number of our common shares, at our option. A total of 739,287 downREIT operating partnership units are outstanding which have a total fair value of $93.5 million , based on our closing stock price on September 30, 2018 .

Shareholders' Equity

Shareholders' Equity	9 Months Ended
	Sep. 30, 2018
Stockholders' Equity Note [Abstract]
SHAREHOLDERS’ EQUITY	SHAREHOLDERS’ EQUITY The following table provides a summary of dividends declared and paid per share: Nine Months Ended September 30, 2018 2017 Declared Paid Declared Paid Common shares $ 3.020 $ 3.000 $ 2.960 $ 2.940 5.417% Series 1 Cumulative Convertible Preferred shares $ 1.016 $ 1.016 $ 1.016 $ 1.016 5.0% Series C Cumulative Redeemable Preferred shares (1) $ 0.938 $ 0.993 $ — $ — (1) Amount represents dividends per depository share, each representing 1/1000th of a share. On May 7, 2018, we replaced our existing at-the-market (“ATM”) equity program with a new ATM program in which we may from time to time offer and sell common shares having an aggregate offering price of up to $400.0 million . We intend to use the net proceeds to fund potential acquisition opportunities, fund our development and redevelopment pipeline, repay amounts outstanding under our revolving credit facility and/or for general corporate purposes. For the three months ended September 30, 2018 , we sold 413,395 common shares at a weighted average price per share of $129.01 for net cash proceeds of $52.8 million and paid $0.5 million in commissions and less than $0.1 million in additional offering expenses related to the sales of these common shares. For the nine months ended September 30, 2018 , we sold 612,658 common shares at a weighted average price per share of $127.86 for net cash proceeds of $77.4 million and paid $0.8 million in commissions and $0.2 million in additional offering expenses related to the sales of these common shares. As of September 30, 2018 , we had the capacity to issue up to $321.7 million in common shares under our ATM equity program.

Components Of Rental Income

Components Of Rental Income	9 Months Ended
	Sep. 30, 2018
Components Of Rental Income and Expense [Abstract]
COMPONENTS OF RENTAL INCOME	COMPONENTS OF RENTAL INCOME The principal components of rental income are as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands) Minimum rents Retail and commercial $ 153,923 $ 147,971 $ 459,496 $ 434,390 Residential 18,746 13,837 51,866 40,781 Cost reimbursement 44,044 43,602 131,779 124,997 Percentage rents 2,392 2,304 7,873 7,524 Other 4,672 4,334 13,820 13,049 Total rental income $ 223,777 $ 212,048 $ 664,834 $ 620,741 Minimum rents include the following: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In millions) Straight-line rents $ 1.4 $ 3.9 $ 4.7 $ 11.3 Amortization of above market leases $ (1.2 ) $ (1.6 ) $ (4.2 ) $ (4.4 ) Amortization of below market leases $ 3.2 $ 2.5 $ 8.0 $ 7.7

Share-Based Compensation Plans

Share-Based Compensation Plans	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
SHARE-BASED COMPENSATION PLANS	SHARE-BASED COMPENSATION PLANS A summary of share-based compensation expense included in net income is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands) Grants of common shares and options $ 2,494 $ 2,945 $ 9,638 $ 9,402 Capitalized share-based compensation 157 (405 ) (769 ) (1,103 ) Share-based compensation expense $ 2,651 $ 2,540 $ 8,869 $ 8,299

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE We have calculated earnings per share (“EPS”) under the two-class method. The two-class method is an earnings allocation methodology whereby EPS for each class of common stock and participating securities is calculated according to dividends declared and participation rights in undistributed earnings. For the three and nine months ended September 30, 2018 and 2017 , we had 0.2 million weighted average unvested shares outstanding, which are considered participating securities. Therefore, we have allocated our earnings for basic and diluted EPS between common shares and unvested shares; the portion of earnings allocated to the unvested shares is reflected as “earnings allocated to unvested shares” in the reconciliation below. In the dilutive EPS calculation, dilutive stock options were calculated using the treasury stock method consistent with prior periods. There were 682 anti-dilutive stock options for both the three and nine months ended September 30, 2018 and 2017 . The conversions of downREIT operating partnership units and 5.417% Series 1 Cumulative Convertible Preferred Shares are anti-dilutive for all periods presented and accordingly, have been excluded from the weighted average common shares used to compute diluted EPS. Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands, except per share data) NUMERATOR Income from continuing operations $ 61,055 $ 58,107 $ 182,231 $ 175,136 Less: Preferred share dividends (2,010 ) (177 ) (6,031 ) (448 ) Less: Income from continuing operations attributable to noncontrolling interests (1,622 ) (2,105 ) (5,244 ) (5,537 ) Less: Earnings allocated to unvested shares (211 ) (317 ) (719 ) (785 ) Income from continuing operations available for common shareholders 57,212 55,508 170,237 168,366 Gain on sale of real estate, net 3,125 50,775 10,413 69,659 Net income available for common shareholders, basic and diluted $ 60,337 $ 106,283 $ 180,650 $ 238,025 DENOMINATOR Weighted average common shares outstanding—basic 73,400 72,091 73,100 71,983 Stock options 8 115 36 127 Weighted average common shares outstanding—diluted 73,408 72,206 73,136 72,110 EARNINGS PER COMMON SHARE, BASIC: Net income available for common shareholders $ 0.82 $ 1.47 $ 2.47 $ 3.31 EARNINGS PER COMMON SHARE, DILUTED: Net income available for common shareholders $ 0.82 $ 1.47 $ 2.47 $ 3.30 Income from continuing operations attributable to the Trust $ 59,433 $ 56,002 $ 176,987 $ 169,599

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policy)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of presentation The accompanying consolidated balance sheet as of December 31, 2017 , which has been derived from audited financial statements, and unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States (GAAP) have been omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. It is suggested that these financial statements be read in conjunction with the financial statements and notes thereto included in the Trust’s latest Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal, recurring adjustments) necessary for a fair presentation for the periods presented have been included. The results of operations for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the full year.
Principles of Consolidation	Principles of Consolidation Our consolidated financial statements include the accounts of the Trust, its corporate subsidiaries, and all entities in which the Trust has a controlling interest or has been determined to be the primary beneficiary of a variable interest entity (“VIE”). The equity interests of other investors are reflected as noncontrolling interests or redeemable noncontrolling interests. All significant intercompany transactions and balances are eliminated in consolidation. We account for our interests in joint ventures, which we do not control, using the equity method of accounting. Certain 2017 amounts have been reclassified to conform to current period presentation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America, referred to as “GAAP,” requires management to make estimates and assumptions that in certain circumstances affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities, and revenues and expenses. These estimates are prepared using management’s best judgment, after considering past, current and expected events and economic conditions. Actual results could differ from these estimates
Recently Adopted Accounting Pronouncements	Recently Adopted and Issued Accounting Pronouncements Standard Description Date of Adoption Effect on the financial statements or significant matters Recently Adopted: Revenue from Contracts with Customers (Topic 606) and related updates: Revenue from Revenue from Revenue from Revenue from Revenue from Revenue from In May 2014, the the FASB issued ASU 2014-09, "Revenue from Contracts with Customers." ASU 2014-09 as amended and interpreted by ASU 2015-14, ASU 2016-08, ASU 2016-10, ASU 2016-12, and ASU 2016-20, supersedes nearly all existing revenue recognition guidance under GAAP and replaces it with a core revenue recognition principle, that an entity will recognize revenue when it transfers control of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services, and creates a five-step model for revenue recognition in accordance with this principle. ASU 2014-09 also requires new disclosures in both interim and annual reporting periods. The guidance in ASU 2014-09 does not apply to contracts within the scope of ASC 840, Leases. January 2018 We implemented the new revenue recognition guidance retrospectively with the cumulative effect recognized in accumulated dividends in excess of net income at the date of initial application. The primary impact relates to condominium sales. Most of our revenue is accounted for under the leasing standard, and therefore is not subject to this standard. Standard Description Date of Adoption Effect on the financial statements or significant matters ASU 2016-15, August 2016, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments This ASU provides classification guidance for eight specific topics including debt extinguishment costs, contingent consideration payments made after a business combination, and distributions received from equity method investees. January 2018 This standard did not have an impact on our consolidated financial statements. ASU 2016-18, November 2016, Statement of Cash Flows (Topic 203) - Restricted Cash This ASU requires that the statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or cash equivalents. Amounts generally described as restricted cash and equivalents should be included with cash and cash equivalents when reconciling the beginning and end of period total amounts on the statement of cash flows. January 2018 Prior to the adoption of this standard, "net cash provided by operating activities" was $339.6 million and "net cash used in investing activities" was $708.3 million, for the nine months ended September 30, 2017. After the adoption, "net cash provided by operating activities" was $339.5 million and "net cash used in investing activities" was $709.4 million, for the nine months ended September 30, 2017. The reclassification is reflected in "increase in cash, cash equivalents, and restricted cash" in the Consolidated Statements of Cash Flows. See additional disclosures in "Consolidated Statement of Cash Flows - Supplemental Disclosures." ASU 2017-05, February 2017, Other Income - Gains and Losses from the Recognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets This ASU clarifies that ASC 610-20 applies to all nonfinancial assets (including real estate) for which the counterparty is not a customer and also clarifies that all businesses are derecognized using the deconsolidation guidance. Additionally, it defines an insubstance nonfinancial asset as a financial asset that is promised to a counterparty in a contract in which substantially all of the fair value of the assets promised in the contract is concentrated in nonfinancial assets, which excludes cash or cash equivalents and liabilities. January 2018 The new guidance impacts the gain recognized when a real estate asset is sold to a non-customer and a noncontrolling interest is retained. The adoption of this standard did not have a significant impact on our consolidated financial statements. ASU 2017-09, May 2017, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting The ASU clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. Under the new guidance, an entity will not apply modification accounting if the awards' fair value, vesting conditions, and the classification of the award as equity or a liability are the same immediately before and after the change. The new guidance is applied prospectively to awards granted or modified after the adoption date. January 2018 The adoption of this standard did not have an impact to our financial statements, as there have been no modifications to awards for the nine months ended September 30, 2018. Standard Description Date of Adoption Effect on the financial statements or significant matters Not Yet Adopted: Leases (Topic 842) and related updates: ASU 2016-02, February 2016, Leases (Topic 842) ASU 2018-10, July 2018, Codification improvements to Topic 842, Leases ASU 2018-11, July 2018, Leases (Topic 842) This ASU significantly changes the accounting for leases by requiring lessees to recognize assets and liabilities for leases greater than 12 months on their balance sheet. The lessor model stays substantially the same; however, there were modifications to conform lessor accounting with the lessee model, eliminate real estate specific guidance, further define certain lease and non-lease components, and change the definition of initial direct costs of leases requiring significantly more leasing related costs to be expensed upfront. ASU 2018-10 provides narrow amendments that clarify how to apply certain aspects of the guidance in ASU 2016-02. ASU 2018-11 provides the option of an additional transition method, by allowing entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. It also provides lessors an option to not separate lease and non-lease components when certain criteria are met. January 2019 We are currently assessing the full impact of this standard to our consolidated financial statements. We have, however, identified certain areas which will be impacted as follows: We are currently a lessee for land underneath all or a portion of 14 properties that are subject to ground leases (in addition to 4 other properties that we currently account for as capital leases). Upon adoption, we will recognize the lease obligation for the 14 ground leases and a corresponding right of use asset on our consolidated balance sheet. Additionally, we will no longer be able to capitalize certain internal leasing and external legal leasing costs. For the nine months ended September 30, 2018, we have capitalized approximately $5.3 million of internal leasing and external legal leasing costs, of which a portion will will be expensed when we adopt ASU 2016-02.

Summary Of Significant Accoun_3

Summary Of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Supplemental disclosures related to the Consolidated Statements Of Cash Flows	The following tables provide supplemental disclosures related to the Consolidated Statements of Cash Flows: Nine Months Ended September 30, 2018 2017 (In thousands) SUPPLEMENTAL DISCLOSURES: Total interest costs incurred $ 96,903 $ 92,520 Interest capitalized (14,787 ) (18,568 ) Interest expense $ 82,116 $ 73,952 Cash paid for interest, net of amounts capitalized $ 85,614 $ 70,486 Cash paid for income taxes $ 699 $ 342 NON-CASH INVESTING AND FINANCING TRANSACTIONS (1): Mortgage loan refinanced $ — $ 166,823 Mortgage loans assumed with acquisition $ — $ 79,401 DownREIT operating partnership units issued with acquisition of noncontrolling interest $ — $ 5,918 DownREIT operating partnership units redeemed for common shares $ 101 $ 2,569 Shares issued under dividend reinvestment plan $ 1,431 $ 1,528 (1) See Note 3 for additional disclosures relating to our investment in the Assembly Row hotel joint venture.
Reconciliation of cash, cash equivalents, and restricted cash	September 30, December 31, 2018 2017 (In thousands) RECONCILIATION OF CASH, CASH EQUIVALENTS, AND RESTRICTED CASH: Cash and cash equivalents $ 41,872 $ 15,188 Restricted cash (1) 52,929 10,012 Total cash, cash equivalents, and restricted cash $ 94,801 $ 25,200 (1) Restricted cash balances are included in "prepaid expenses and other assets" on our consolidated balance sheets.

Fair Value Of Financial Instr_2

Fair Value Of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2018
Fair Value Disclosures [Abstract]
Summary of carrying amount and fair value of financial instruments	A summary of the carrying amount and fair value of our mortgages payable, notes payable and senior notes and debentures is as follows: September 30, 2018 December 31, 2017 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Mortgages and notes payable $ 781,540 $ 774,192 $ 811,770 $ 824,419 Senior notes and debentures $ 2,403,565 $ 2,350,325 $ 2,401,440 $ 2,498,445
Summary of financial liabilities measured at fair value on a recurring basis	A summary of our financial assets that are measured at fair value on a recurring basis, by level within the fair value hierarchy is as follows: September 30, 2018 December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (In thousands) Interest rate swaps $ — $ 133 $ — $ 133 $ — $ 22 $ — $ 22

Shareholders' Equity (Tables)

Shareholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2018
Stockholders' Equity Note [Abstract]
Summary of dividends declared and paid per share	The following table provides a summary of dividends declared and paid per share: Nine Months Ended September 30, 2018 2017 Declared Paid Declared Paid Common shares $ 3.020 $ 3.000 $ 2.960 $ 2.940 5.417% Series 1 Cumulative Convertible Preferred shares $ 1.016 $ 1.016 $ 1.016 $ 1.016 5.0% Series C Cumulative Redeemable Preferred shares (1) $ 0.938 $ 0.993 $ — $ — (1) Amount represents dividends per depository share, each representing 1/1000th of a share.

Components Of Rental Income (Ta

Components Of Rental Income (Tables)	9 Months Ended
	Sep. 30, 2018
Components Of Rental Income and Expense [Abstract]
Principal components of rental income	The principal components of rental income are as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands) Minimum rents Retail and commercial $ 153,923 $ 147,971 $ 459,496 $ 434,390 Residential 18,746 13,837 51,866 40,781 Cost reimbursement 44,044 43,602 131,779 124,997 Percentage rents 2,392 2,304 7,873 7,524 Other 4,672 4,334 13,820 13,049 Total rental income $ 223,777 $ 212,048 $ 664,834 $ 620,741
Minimum rents	Minimum rents include the following: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In millions) Straight-line rents $ 1.4 $ 3.9 $ 4.7 $ 11.3 Amortization of above market leases $ (1.2 ) $ (1.6 ) $ (4.2 ) $ (4.4 ) Amortization of below market leases $ 3.2 $ 2.5 $ 8.0 $ 7.7

Share-Based Compensation Plans

Share-Based Compensation Plans (Tables)	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of share-based compensation expense included in net income	A summary of share-based compensation expense included in net income is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands) Grants of common shares and options $ 2,494 $ 2,945 $ 9,638 $ 9,402 Capitalized share-based compensation 157 (405 ) (769 ) (1,103 ) Share-based compensation expense $ 2,651 $ 2,540 $ 8,869 $ 8,299

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
Schedule of earnings per share	In the dilutive EPS calculation, dilutive stock options were calculated using the treasury stock method consistent with prior periods. There were 682 anti-dilutive stock options for both the three and nine months ended September 30, 2018 and 2017 . The conversions of downREIT operating partnership units and 5.417% Series 1 Cumulative Convertible Preferred Shares are anti-dilutive for all periods presented and accordingly, have been excluded from the weighted average common shares used to compute diluted EPS. Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (In thousands, except per share data) NUMERATOR Income from continuing operations $ 61,055 $ 58,107 $ 182,231 $ 175,136 Less: Preferred share dividends (2,010 ) (177 ) (6,031 ) (448 ) Less: Income from continuing operations attributable to noncontrolling interests (1,622 ) (2,105 ) (5,244 ) (5,537 ) Less: Earnings allocated to unvested shares (211 ) (317 ) (719 ) (785 ) Income from continuing operations available for common shareholders 57,212 55,508 170,237 168,366 Gain on sale of real estate, net 3,125 50,775 10,413 69,659 Net income available for common shareholders, basic and diluted $ 60,337 $ 106,283 $ 180,650 $ 238,025 DENOMINATOR Weighted average common shares outstanding—basic 73,400 72,091 73,100 71,983 Stock options 8 115 36 127 Weighted average common shares outstanding—diluted 73,408 72,206 73,136 72,110 EARNINGS PER COMMON SHARE, BASIC: Net income available for common shareholders $ 0.82 $ 1.47 $ 2.47 $ 3.31 EARNINGS PER COMMON SHARE, DILUTED: Net income available for common shareholders $ 0.82 $ 1.47 $ 2.47 $ 3.30 Income from continuing operations attributable to the Trust $ 59,433 $ 56,002 $ 176,987 $ 169,599

Business And Organization (Deta

Business And Organization (Details)	9 Months Ended
	Sep. 30, 2018project
Nature Of Operations [Abstract]
Number of real estate properties	105
Minimum percentage of taxable income distributed to shareholders	90.00%

Summary Of Significant Accoun_4

Summary Of Significant Accounting Policies Recently Adopted Accounting Pronouncements (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)leaseproperty	Sep. 30, 2017USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative impact to accumulated dividends in excess of net income, net of tax	$ (6,028)
Net cash provided by operating activities	364,716	$ 339,471
Net cash used in investing activities	$ (111,773)	(709,400)
Properties subject to ground leases | property	14
Capital leases | lease	4
Capitalized internal leasing and external legal leasing costs	$ 5,300
Condominium sales
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative impact to accumulated dividends in excess of net income, net of tax	5,400
Cumulative impact to accumulated dividends in excess of net income, tax	1,400
Additional cumulative effect
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative impact to accumulated dividends in excess of net income, net of tax	$ 600
Previously Reported | ASU 2016-18
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Net cash provided by operating activities		339,600
Net cash used in investing activities		(708,300)
Restatement Adjustment | ASU 2016-18
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Net cash provided by operating activities		339,500
Net cash used in investing activities		$ (709,400)

Summary Of Significant Accoun_5

Summary Of Significant Accounting Policies Consolidated Statement of Cash Flows - Supplemental Disclosures (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Accounting Policies [Abstract]
Total interest costs incurred			$ 96,903	$ 92,520
Interest capitalized			(14,787)	(18,568)
Interest expense	$ 28,166	$ 26,287	82,116	73,952
Cash paid for interest, net of amounts capitalized			85,614	70,486
Cash paid for income taxes			699	342
Mortgage loan refinanced			0	166,823
Mortgage loans assumed with acquisition			0	79,401
DownREIT operating partnership units issued with acquisition of noncontrolling interest			0	5,918
DownREIT operating partnership units redeemed for common shares			101	2,569
Shares issued under dividend reinvestment plan			$ 1,431	$ 1,528

Summary Of Significant Accoun_6

Summary Of Significant Accounting Policies Consolidated Statement of Cash Flows - Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands		Sep. 30, 2018	Dec. 31, 2017	Sep. 30, 2017	Dec. 31, 2016
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract]
Cash and cash equivalents		$ 41,872	$ 15,188
Restricted cash	[1]	52,929	10,012
Total cash, cash equivalents, and restricted cash		$ 94,801	$ 25,200	$ 33,044	$ 34,849
[1]	(1)Restricted cash balances are included in "prepaid expenses and other assets" on our consolidated balance sheets.

Real Estate (Significant Dispos

Real Estate (Significant Dispositions) (Details)	Aug. 16, 2018USD ($)	Jun. 15, 2018USD ($)aft²	Aug. 31, 2018USD ($)	Sep. 30, 2018USD ($)condominiums	Sep. 30, 2018USD ($)condominiums	Sep. 30, 2017USD ($)	Dec. 31, 2017USD ($)
Significant Acquisition and Dispositions
Distribution from real estate partnership in excess of earnings					$ 237,000	$ 1,672,000
Our investment in joint venture				$ 27,647,000	27,647,000		$ 23,941,000
Assets held for sale				21,990,000	21,990,000		$ 0
Jordan Downs Plaza
Significant Acquisition and Dispositions
Square footage of real estate property | ft²		113,000
Construction pre-funding investment		$ 34,400,000
Controlling interest percentage		91.00%
Land parcel acre on which the shopping center will be constructed | a		9.4
Contributions from a third party bank		$ 13,900,000
Strike price of put option		1,000
Direct and incremental costs of structuring the NMTC transaction		$ 1,600,000
Cash in escrow to be used for development				39,700,000	39,700,000
Assembly Row Hotel | Hotel | Equity Method Investment
Significant Acquisition and Dispositions
Contribution of Property			$ 44,000,000
Distribution from real estate partnership in excess of earnings			$ 38,000,000
Our investment in joint venture				$ 5,600,000	$ 5,600,000
Chelsea Commons | Residential
Significant Acquisition and Dispositions
Proceeds from sale	$ 15,000,000
Gain on sale	$ 3,100,000
Assembly Row and Pike & Rose | Condominiums
Significant Acquisition and Dispositions
Number of condominium units sold | condominiums				8	167
Proceeds from sale				$ 6,700,000	$ 128,100,000
Gain on sale					7,300,000
Taxes related to the sale of condominiums					1,700,000
Assets held for sale				$ 22,000,000	$ 22,000,000

Debt (Details)

Debt (Details) - USD ($) $ in Millions	Mar. 01, 2018	Sep. 30, 2018	Sep. 30, 2018	Aug. 10, 2018
Debt Instrument [Line Items]
Maximum borrowing capacity under revolving credit facility		$ 800	$ 800
Maximum amount outstanding under revolving credit facility		$ 161	$ 177
Weighted average interest rate, before amortization of debt fees		2.80%	2.60%
Weighted average borrowings outstanding		$ 85.9	$ 101.8
Outstanding balance of revolving credit facility		$ 26.5	$ 26.5
Mortgage loan | The Grove at Shrewsbury (West)
Debt Instrument [Line Items]
Principal amount of mortgage loan repayment	$ 10.5
Extended maturity date by one year | Term loan
Debt Instrument [Line Items]
Unsecured term loan				$ 275

Fair Value of Financial Instr_3

Fair Value of Financial Instruments - Summary of Carrying Value and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Mortgages payable and notes payable | Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of long-term debt	$ 781,540	$ 811,770
Mortgages payable and notes payable | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of long-term debt	774,192	824,419
Senior notes and debentures | Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of long-term debt	2,403,565	2,401,440
Senior notes and debentures | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of long-term debt	$ 2,350,325	$ 2,498,445

Fair Value Of Financial Instr_4

Fair Value Of Financial Instruments (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2018USD ($)agreement	Sep. 30, 2018USD ($)agreement	Dec. 31, 2017USD ($)
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Interest rate cash flow hedge to be reclassified within next 12 months, net	$ 100	$ 100
(Decrease) increase in our derivative asset (less than for equity method investees)		105
Interest expense reclassified from other comprehensive income	200	300
Accumulated other comprehensive income
Fair Value, Balance Sheet Grouping, Financial Statement Captions
(Decrease) increase in our derivative asset (less than for equity method investees)		105
Accumulated other comprehensive income | One of our equity method investees
Fair Value, Balance Sheet Grouping, Financial Statement Captions
(Decrease) increase in our derivative asset (less than for equity method investees)	100	100
Term loan | Accumulated other comprehensive income
Fair Value, Balance Sheet Grouping, Financial Statement Captions
(Decrease) increase in our derivative asset (less than for equity method investees)	(300)	100
Fair Value, Measurements, Recurring | Prepaid expenses and other assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of interest rate swaps	100	100
Interest Rate Swap | Term loan
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Term loan	$ 275,000	$ 275,000
Interest rate of variable portion of term loan	1.72%	1.72%
Interest Rate Swap | Fair Value, Measurements, Recurring
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Number of interest rate swap agreements | agreement	2	2
Notional amount of interest rate swap agreements	$ 275,000	$ 275,000
Fair value of interest rate swaps	$ 133	$ 133	$ 22
Interest Rate Swap | Fair Value, Measurements, Recurring | One of our equity method investees
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Number of interest rate swap agreements | agreement	2	2
Interest Rate Swap | Fair Value, Measurements, Recurring | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of interest rate swaps	$ 133	$ 133	$ 22

Fair Value of Financial Instr_5

Fair Value of Financial Instruments - Summary of Financial Liabilities Measured on a Recurring Basis (Details) - Interest Rate Swap - Fair Value, Measurements, Recurring - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Fair value of interest rate swaps	$ 133	$ 22
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Fair value of interest rate swaps	0	0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Fair value of interest rate swaps	133	22
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Fair value of interest rate swaps	$ 0	$ 0

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	Sep. 30, 2018USD ($)shares
Commitments and Contingencies Disclosure [Abstract]
downREIT operating partnership units, outstanding | shares	739,287
downREIT operating partnership units outstanding, fair value | $	$ 93.5

Shareholders' Equity (Summary o

Shareholders' Equity (Summary of Dividends) (Details) - $ / shares		3 Months Ended		9 Months Ended		12 Months Ended
		Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Dividends
Dividends declared per common share				$ 3.020	$ 2.960
Dividends paid per common share				$ 3	$ 2.940
Preferred shares, percentage		5.417%	5.417%	5.417%	5.417%
5.417% Series 1 Cumulative Convertible Preferred
Dividends
Preferred shares, percentage				5.417%	5.417%	5.417%
Dividends declared per preferred shares				$ 1.016	$ 1.016
Dividends paid per preferred share				$ 1.016	$ 1.016
5.0% Series C Cumulative Redeemable Preferred
Dividends
Preferred shares, percentage				5.00%	5.00%	5.00%
Dividends declared per preferred shares	[1]			$ 0.938	$ 0
Dividends paid per preferred share	[1]			$ 0.993	$ 0
[1]	(1)Amount represents dividends per depository share, each representing 1/1000th of a share.

Shareholders' Equity Narrative

Shareholders' Equity Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2017	May 07, 2018
Class of Stock [Line Items]
Net cash proceeds of common stock		$ 81,628	$ 51,189
At The Market Equity Program
Class of Stock [Line Items]
Aggregate offering price of common share				$ 400,000
Shares sold	413,395	612,658
Weighted average price per common share	$ 129.010	$ 127.86
Net cash proceeds of common stock	$ 52,800	$ 77,400
Remaining capacity to issue	321,700	321,700
At The Market Equity Program | Commissions
Class of Stock [Line Items]
Commissions related to sales of common shares	500	800
At The Market Equity Program | Other offering costs
Class of Stock [Line Items]
Commissions related to sales of common shares	$ 100	$ 200

Components Of Rental Income (Sc

Components Of Rental Income (Schedule Of Principal Components Of Rental Income) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Cost reimbursement	$ 44,044	$ 43,602	$ 131,779	$ 124,997
Percentage rents	2,392	2,304	7,873	7,524
Other	4,672	4,334	13,820	13,049
Total rental income	223,777	212,048	664,834	620,741
Retail and commercial
Minimum rents	153,923	147,971	459,496	434,390
Residential
Minimum rents	$ 18,746	$ 13,837	$ 51,866	$ 40,781

Components Of Rental Income (_2

Components Of Rental Income (Schedule Of Minimum Rent) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Minimum Rent [Line Items]
Straight-line rents	$ 1.4	$ 3.9	$ 4.7	$ 11.3
Amortization of above market leases
Minimum Rent [Line Items]
Amortization of above and below market leases	(1.2)	(1.6)	(4.2)	(4.4)
Amortization of below market leases
Minimum Rent [Line Items]
Amortization of above and below market leases	$ 3.2	$ 2.5	$ 8	$ 7.7

Share-Based Compensation (Detai

Share-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation, Allocation and Classification in Financial Statements [Abstract]
Grants of common shares and options	$ 2,494	$ 2,945	$ 9,638	$ 9,402
Capitalized share-based compensation	157	(405)	(769)	(1,103)
Share-based compensation expense	$ 2,651	$ 2,540	$ 8,869	$ 8,299

Earnings Per Share (Narrative)

Earnings Per Share (Narrative) (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share [Abstract]
Weighted average unvested shares outstanding	200,000	200,000	200,000	200,000
Anti-dilutive stock options	682	682	682	682
Cumulative convertible preferred shares, dividend rate	5.417%	5.417%	5.417%	5.417%

Earnings Per Share (Schedule Of

Earnings Per Share (Schedule Of Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share [Abstract]
INCOME FROM CONTINUING OPERATIONS	$ 61,055	$ 58,107	$ 182,231	$ 175,136
Less: Preferred share dividends	(2,010)	(177)	(6,031)	(448)
Less: Income from continuing operations attributable to noncontrolling interests	(1,622)	(2,105)	(5,244)	(5,537)
Less: Earnings allocated to unvested shares	(211)	(317)	(719)	(785)
Income from continuing operations available for common shareholders	57,212	55,508	170,237	168,366
Gain on sale of real estate, net	3,125	50,775	10,413	69,659
Net income available for common shareholders, basic and diluted	$ 60,337	$ 106,283	$ 180,650	$ 238,025
Weighted average common shares outstanding—basic	73,400	72,091	73,100	71,983
Stock options	8	115	36	127
Weighted average common shares outstanding—diluted	73,408	72,206	73,136	72,110
Earnings per common share, basic	$ 0.82	$ 1.47	$ 2.47	$ 3.31
Earnings per common share, diluted	$ 0.82	$ 1.47	$ 2.47	$ 3.30
Income from continuing operations attributable to the Trust	$ 59,433	$ 56,002	$ 176,987	$ 169,599