Centerspace (CSR) 10-Q 1 Aug 22 2022 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2022	Jul. 25, 2022
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-35624
Entity Registrant Name	CENTERSPACE
Entity Incorporation, State or Country Code	ND
Entity Tax Identification Number	45-0311232
Entity Address, Address Line One	3100 10th Street SW
Entity Address, Address Line Two	Post Office Box 1988
Entity Address, City or Town	Minot
Entity Address, State or Province	ND
Entity Address, Postal Zip Code	58702-1988
City Area Code	701
Local Phone Number	837-4738
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		15,372,353
Entity Central Index Key	0000798359
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false
Common Shares of Beneficial Interest, no par value
Entity Information [Line Items]
Title of 12(b) Security	Common Shares of Beneficial Interest, no par value
Trading Symbol	CSR
Security Exchange Name	NYSE
Series C Preferred Stock
Entity Information [Line Items]
Title of 12(b) Security	Series C Cumulative Redeemable Preferred Shares
Trading Symbol	CSR-PRC
Security Exchange Name	NYSE

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Real estate investments
Property owned	$ 2,401,427	$ 2,271,170
Less accumulated depreciation	(487,834)	(443,592)
Total property owned	1,913,593	1,827,578
Mortgage loans receivable at fair value	0	43,276
Total real estate investments	1,913,593	1,870,854
Cash and cash equivalents	13,156	31,267
Restricted cash	1,914	7,358
Other assets	18,950	30,582
TOTAL ASSETS	1,947,613	1,940,061
LIABILITIES
Accounts payable and accrued expenses	48,077	62,403
Revolving lines of credit	73,000	76,000
Notes payable, net of unamortized loan costs of $626 and $656, respectively	299,374	299,344
Mortgages payable, net of unamortized loan costs of $3,632 and $3,187, respectively	497,917	480,703
TOTAL LIABILITIES	918,368	918,450
COMMITMENTS AND CONTINGENCIES (NOTE 10)
SERIES D PREFERRED UNITS (Cumulative convertible preferred units, $100 par value, 166 units issued and outstanding at June 30, 2022 and December 31, 2021, aggregate liquidation preference of $16,560)	18,627	25,331
EQUITY
Series C Preferred Shares of Beneficial Interest (Cumulative redeemable preferred shares, no par value, $25 per share liquidation preference, 3,881 shares issued and outstanding at June 30, 2022 and December 31, 2021, aggregate liquidation preference of $97,036)	93,530	93,530
Common Shares of Beneficial Interest (Unlimited authorization, no par value, 15,373 shares issued and outstanding at June 30, 2022 and 15,016 shares issued and outstanding at December 31, 2021)	1,207,849	1,157,255
Accumulated distributions in excess of net income	(511,552)	(474,318)
Accumulated other comprehensive income (loss)	(2,362)	(4,435)
Total shareholders’ equity	787,465	772,032
Noncontrolling interests – Operating Partnership and Series E preferred units	222,528	223,600
Noncontrolling interests – consolidated real estate entities	625	648
Total equity	1,010,618	996,280
TOTAL LIABILITIES, MEZZANINE EQUITY, AND EQUITY	$ 1,947,613	$ 1,940,061

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
EQUITY
Preferred units, par value (in dollars per share)	$ 100	$ 100
Preferred units, shares issued (in shares)	166	166
Preferred units, shares outstanding (in shares)	166	166
Preferred units, liquidation preference	$ 16,560	$ 16,560
Preferred shares, liquidation preference (in dollars per share)	$ 25	$ 25
Preferred shares of beneficial interest, shares issued (in shares)	3,881	3,881
Preferred shares of beneficial interest, shares outstanding (in shares)	3,881	3,881
Preferred shares of beneficial interest, liquidation preference	$ 97,036	$ 97,036
Common shares of beneficial interest, shares issued (in shares)	15,373	15,016
Common shares of beneficial interest, shares outstanding (in shares)	15,373	15,016
Term Loans
LIABILITIES
Unamortized loan costs	$ 626	$ 656
Mortgages
LIABILITIES
Unamortized loan costs	$ 3,632	$ 3,187

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement [Abstract]
REVENUE	$ 63,116	$ 46,656	$ 123,430	$ 93,304
EXPENSES
Property operating expenses, excluding real estate taxes	19,011	13,018	38,025	26,467
Real estate taxes	7,205	5,742	14,064	11,534
Property management expense	2,721	2,085	4,974	3,852
Casualty (gain) loss	382	(27)	980	74
Depreciation and amortization	24,768	19,308	55,769	39,300
General and administrative expenses	5,221	3,797	9,721	7,703
TOTAL EXPENSES	59,308	43,923	123,533	88,930
Gain (loss) on sale of real estate and other investments	27	26,840	27	26,840
Operating income (loss)	3,835	29,573	(76)	31,214
Interest expense	(7,561)	(7,089)	(15,276)	(14,320)
Interest and other income (loss)	(17)	619	1,046	1,050
NET INCOME (LOSS)	(3,743)	23,103	(14,306)	17,944
Dividends to Series D preferred unitholders	(160)	(160)	(320)	(320)
Net (income) loss attributable to noncontrolling interests – Operating Partnership and Series E preferred units	950	(1,386)	3,107	(917)
Net (income) loss attributable to noncontrolling interests – consolidated real estate entities	(38)	(19)	(61)	(36)
Net income (loss) attributable to controlling interests	(2,991)	21,538	(11,580)	16,671
Dividends to preferred shareholders	(1,607)	(1,607)	(3,214)	(3,214)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$ (4,598)	$ 19,931	$ (14,794)	$ 13,457
NET EARNINGS (LOSS) PER COMMON SHARE - BASIC (in dollars per share)	$ (0.30)	$ 1.49	$ (0.97)	$ 1.02
NET EARNINGS (LOSS) PER COMMON SHARE - DILUTED (in dollars per share)	$ (0.30)	$ 1.48	$ (0.97)	$ 1.02

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ (3,743)	$ 23,103	$ (14,306)	$ 17,944
Other comprehensive income:
Unrealized gain (loss) from derivative instrument	0	(386)	1,581	1,625
(Gain) loss on derivative instrument reclassified into earnings	188	1,120	492	2,216
Total comprehensive income (loss)	(3,555)	23,837	(12,233)	21,785
Net comprehensive (income) loss attributable to noncontrolling interests – Operating Partnership and Series E preferred units	984	(1,430)	3,463	(1,169)
Net (income) loss attributable to noncontrolling interests – consolidated real estate entities	(38)	(19)	(61)	(36)
Comprehensive income (loss) attributable to controlling interests	$ (2,609)	$ 22,388	$ (8,831)	$ 20,580

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Series C Preferred Stock	Series E Preferred Units	PREFERRED SHARES	COMMON SHARES	ACCUMULATED DISTRIBUTIONS IN EXCESS OF NET INCOME	ACCUMULATED DISTRIBUTIONS IN EXCESS OF NET INCOME Series C Preferred Stock	ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	NONCONTROLLING INTERESTS	NONCONTROLLING INTERESTS Series E Preferred Units
Beginning balance at Dec. 31, 2020	$ 672,823			$ 93,530	$ 968,263	$ (427,681)		$ (15,905)	$ 54,616
Beginning balance (in shares) at Dec. 31, 2020					13,027
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) attributable to controlling interests and noncontrolling interests	17,624					16,671			953
Change in fair value of derivatives	3,841							3,841
Distributions - common shares and units	(20,368)					(19,086)			(1,282)
Distributions - Series C preferred shares	(3,214)	$ (3,214)					$ (3,214)
Share-based compensation, net of forfeitures (in shares)					27
Share-based compensation, net of forfeitures	1,487				$ 1,487
Sale of common shares, net (in shares)					896
Sale of common shares, net	66,356				$ 66,356
Redemption of units for common shares (in shares)					95
Redemption of units for common shares	0				$ 418				(418)
Change in redemption value of Series D preferred units	(1,462)				(1,462)
Other	(1,201)				(1,122)				(79)
Ending balance at Jun. 30, 2021	735,886			93,530	$ 1,033,940	(433,310)		(12,064)	53,790
Ending balance (in shares) at Jun. 30, 2021					14,045
Beginning balance at Mar. 31, 2021	671,452			93,530	$ 980,453	(443,409)		(12,798)	53,676
Beginning balance (in shares) at Mar. 31, 2021					13,220
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) attributable to controlling interests and noncontrolling interests	22,943					21,538			1,405
Change in fair value of derivatives	734							734
Distributions - common shares and units	(10,449)					(9,832)			(617)
Distributions - Series C preferred shares	(1,607)	(1,607)					(1,607)
Share-based compensation, net of forfeitures (in shares)					24
Share-based compensation, net of forfeitures	678				$ 678
Sale of common shares, net (in shares)					732
Sale of common shares, net	54,574				$ 54,574
Redemption of units for common shares (in shares)					69
Redemption of units for common shares	0				$ 638				(638)
Change in redemption value of Series D preferred units	(1,462)				(1,462)
Other	(977)				(941)				(36)
Ending balance at Jun. 30, 2021	735,886			93,530	$ 1,033,940	(433,310)		(12,064)	53,790
Ending balance (in shares) at Jun. 30, 2021					14,045
Beginning balance at Dec. 31, 2021	996,280			93,530	$ 1,157,255	(474,318)		(4,435)	224,248
Beginning balance (in shares) at Dec. 31, 2021					15,016
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) attributable to controlling interests and noncontrolling interests	(14,626)					(11,580)			(3,046)
Change in fair value of derivatives	2,073							2,073
Distributions - common shares and units	(23,894)					(22,440)			(1,454)
Distributions - Series C preferred shares	(3,214)	(3,214)					(3,214)
Distributions - Series E preferred stock			$ (3,515)							$ (3,515)
Share-based compensation, net of forfeitures (in shares)					25
Share-based compensation, net of forfeitures	1,199				$ 1,199
Sale of common shares, net (in shares)					321
Sale of common shares, net	31,569				$ 31,569
Issuance of units	22,882				$ 13,023				9,859
Redemption of units for common shares (in shares)					11
Redemption of units for common shares	0				$ (375)				375
Redemption of units for cash	(3,230)								(3,230)
Change in redemption value of Series D preferred units	6,704				6,704
Shares withheld for taxes	(1,273)				(1,273)
Other	(337)				(253)				(84)
Ending balance at Jun. 30, 2022	1,010,618			93,530	$ 1,207,849	(511,552)		(2,362)	223,153
Ending balance (in shares) at Jun. 30, 2022					15,373
Beginning balance at Mar. 31, 2022	1,025,906			93,530	$ 1,203,685	(495,732)		(2,550)	226,973
Beginning balance (in shares) at Mar. 31, 2022					15,366
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) attributable to controlling interests and noncontrolling interests	(3,903)					(2,991)			(912)
Change in fair value of derivatives	188							188
Distributions - common shares and units	(11,948)					(11,222)			(726)
Distributions - Series C preferred shares	(1,607)	$ (1,607)					$ (1,607)
Distributions - Series E preferred stock			$ (1,758)							$ (1,758)
Share-based compensation, net of forfeitures (in shares)					6
Share-based compensation, net of forfeitures	480				$ 480
Redemption of units for common shares (in shares)					1
Redemption of units for common shares	0				$ 13				(13)
Redemption of units for cash	(327)								(327)
Change in redemption value of Series D preferred units	3,785				3,785
Other	(198)				(114)				(84)
Ending balance at Jun. 30, 2022	$ 1,010,618			$ 93,530	$ 1,207,849	$ (511,552)		$ (2,362)	$ 223,153
Ending balance (in shares) at Jun. 30, 2022					15,373

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Distributions - common shares and units (in dollars per share)	$ 0.73	$ 0.70	$ 1.45	$ 1.40
Series C Preferred Stock
Distributions - preferred shares and units (in dollars per share)	0.4140625	$ 0.4140625	0.828125	$ 0.828125
Series E Preferred Units
Distributions - preferred shares and units (in dollars per share)	$ 0.96875		$ 1.93750

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ (14,306)	$ 17,944
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization, including amortization of capitalized loan costs	56,124	39,792
(Gain) loss on sale of real estate and other investments	0	(26,840)
Share-based compensation expense	1,199	1,487
(Gain) loss on interest rate swap termination, amortization, and mark-to-market	(425)	0
Other, net	1,975	2,177
Changes in other assets and liabilities:
Other assets	3,131	(858)
Accounts payable and accrued expenses	(13,207)	(3,128)
Net cash provided by (used by) operating activities	34,491	30,574
CASH FLOWS FROM INVESTING ACTIVITIES
Increase in mortgages and notes receivable	0	(12,795)
Proceeds from sale of real estate and other investments	0	59,233
Payments for acquisitions of real estate investments	(9,546)	(77,997)
Payments for improvements of real estate investments	(13,945)	(8,993)
Other investing activities	(56)	(240)
Net cash provided by (used by) investing activities	(23,547)	(40,792)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on mortgages payable	(25,911)	(10,326)
Proceeds from revolving lines of credit	45,000	136,704
Principal payments on revolving lines of credit	(48,000)	(202,575)
Net proceeds from notes payable	0	49,940
Payment for termination of interest rate swap	(3,209)	0
Net proceeds from issuance of common shares	31,569	66,356
Redemption of partnership units	(3,205)	0
Distributions paid to common shareholders	(22,030)	(18,373)
Distributions paid to preferred shareholders	(3,214)	(3,214)
Distributions paid to preferred unitholders	(320)	(320)
Distributions paid to noncontrolling interests – Operating Partnership and Series E preferred units	(4,842)	(1,348)
Other financing activities	(337)	(298)
Net cash provided by (used by) financing activities	(34,499)	16,546
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH	(23,555)	6,328
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT BEGINNING OF PERIOD	38,625	7,310
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF PERIOD	15,070	13,638
SUPPLEMENTARY SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Accrued capital expenditures	2,811	2,034
Operating partnership units converted to shares	(375)	418
Distributions declared but not paid to common shareholders	11,948	10,449
Retirement of shares withheld for taxes	1,272	905
Real estate assets acquired through assumption of debt	41,623	0
Fair value adjustment to debt	1,224	0
Note receivable exchanged through real estate acquisition	43,276	0
Real estate assets acquired through issuance of operating partnership units	22,882	0
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest	14,439	13,541
Cash and cash equivalents	13,156	5,194
Restricted cash	1,914	8,444
Total cash, cash equivalents and restricted cash	$ 15,070	$ 13,638

ORGANIZATION

ORGANIZATION	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	ORGANIZATION Centerspace, collectively with its consolidated subsidiaries (“Centerspace,” “the Company,” “we,” “us,” or “our”), is a North Dakota real estate investment trust (“REIT”) focused on the ownership, management, acquisition, redevelopment, and development of apartment communities. As of June 30, 2022, Centerspace owned interests in 83 apartment communities consisting of 14,838 apartment homes.

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION Centerspace conducts a majority of its business activities through a consolidated operating partnership, Centerspace, LP (f/k/a IRET Properties), a North Dakota limited partnership (the “Operating Partnership”), as well as through a number of other consolidated subsidiary entities. The accompanying Condensed Consolidated Financial Statements include the Company’s accounts and the accounts of all its subsidiaries in which it maintains a controlling interest, including the Operating Partnership. All intercompany balances and transactions are eliminated in consolidation. The Condensed Consolidated Financial Statements also reflect the Operating Partnership’s ownership of a joint venture entity in which the Operating Partnership has a general partner or controlling interest. This entity is consolidated into the Company’s operations, with noncontrolling interests reflecting the noncontrolling partners’ share of ownership, income, and expenses. UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Centerspace’s interim 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 applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain disclosures accompanying annual consolidated financial statements prepared in accordance with GAAP are omitted. The year-end balance sheet data was derived from audited consolidated financial statements, but does not include all disclosures required by GAAP. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for the fair presentation of financial position, results of operations, and cash flows for the interim periods, have been included. The current period’s results of operations are not necessarily indicative of results which ultimately may be achieved for the year. The interim Condensed Consolidated Financial Statements and accompanying notes thereto should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, as filed with the SEC on February 28, 2022. USE OF ESTIMATES The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. CASH, CASH EQUIVALENTS, AND RESTRICTED CASH As of June 30, 2022 and December 31, 2021, restricted cash consisted primarily of real estate deposits and escrows held by lenders for real estate taxes, insurance, and capital additions. LEASES As a lessor, Centerspace primarily leases multifamily apartment homes which qualify as operating leases with terms that are generally one year or less. Rental revenues are recognized in accordance with ASC 842, Leases , using a method that represents a straight-line basis over the term of the lease. Rental income represents approximately 97.9% of total revenues and includes gross market rent less adjustments for gain or loss to lease, concessions, vacancy loss, and bad debt. Other property revenues represent the remaining 2.1% of total revenues and are primarily driven by other fee income, which is typically recognized when earned, at a point in time. Some of the Company’s apartment communities have commercial spaces available for lease. Lease terms for these spaces typically range from three Many of the leases contain non-lease components for utility reimbursement from residents and common area maintenance from commercial tenants. Centerspace has elected the practical expedient to combine lease and non-lease components for all asset classes. The combined components are included in lease income and are accounted for under ASC 842. The aggregate amount of future scheduled lease income on commercial operating leases, excluding any variable lease income and non-lease components, as of June 30, 2022, was as follows: (in thousands) 2022 (remainder) $ 1,112 2023 2,599 2024 2,534 2025 2,469 2026 1,876 Thereafter 1,528 Total scheduled lease income - commercial operating leases $ 12,118 REVENUES AND GAINS ON SALE OF REAL ESTATE Revenue is recognized in accordance with the transfer of goods and services to customers at an amount that reflects the consideration to which the Company expects to be entitled for those goods and services. Revenue streams that are included in revenues from contracts with customers include other property revenue such as application fees and other miscellaneous items. Centerspace recognizes revenue for these rental related items not included as a component of a lease as earned. The following table presents the disaggregation of revenue streams for the three and six months ended June 30, 2022 and 2021: (in thousands) Three Months Ended June 30, Six Months Ended June 30, Revenue Stream Applicable Standard 2022 2021 2022 2021 Fixed lease income - operating leases Leases $ 59,387 $ 43,659 $ 116,061 $ 87,499 Variable lease income - operating leases Leases 2,300 2,103 4,822 4,072 Other property revenue Revenue from contracts with customers 1,429 894 2,547 1,733 Total revenue $ 63,116 $ 46,656 $ 123,430 $ 93,304 In addition to lease income and other property revenue, the Company recognizes gains or losses on the sale of real estate when the criteria for derecognition of an asset are met, including when (1) a contract exists and (2) the buyer obtained control of the nonfinancial asset that was sold. IMPAIRMENT OF LONG-LIVED ASSETS The Company evaluates long-lived assets, including investments in real estate, for impairment indicators at least quarterly. The judgments regarding the existence of impairment indicators are based on factors such as operational performance, market conditions, expected holding period of each property, and legal and environmental concerns. If indicators exist, the Company compares the expected future undiscounted cash flows for the property against the carrying amount of that property. If the sum of the estimated undiscounted cash flows is less than the carrying amount, an impairment loss is recorded for the difference between the estimated fair value and the carrying amount. If the anticipated holding period for properties, the estimated fair value of properties, or other factors change based on market conditions or otherwise, the evaluation of impairment charges may be different and such differences could be material to the consolidated financial statements. The evaluation of anticipated cash flows is subjective and is based, in part, on assumptions regarding future occupancy, rental rates, and capital requirements that could differ materially from actual results. Reducing planned property holding periods may increase the likelihood of recording impairment losses. During the three and six months ended June 30, 2022 and 2021, the Company recorded no impairment charges. MORTGAGE LOANS RECEIVABLE AND NOTES RECEIVABLE The Company has a tax increment financing note receivable (“TIF”) with a principal balance of $6.3 million and $6.4 million at June 30, 2022 and December 31, 2021, respectively, which appears within other assets in the Condensed Consolidated Balance Sheets. The note bears an interest rate of 4.5% with payments due in February and August of each year. Centerspace originated a $29.9 million construction loan and a $15.3 million mezzanine loan for the development of a multifamily community located in Minneapolis, Minnesota. The construction and mezzanine loans bore and accrued interest at 4.5% and 11.5%, respectively. The Company exercised its option to purchase the apartment community in exchange for the loans and cash, during the six months ended June 30, 2022. As of June 30, 2022, the loans had no remaining balance. As of December 31, 2021, the Company had fully funded the $29.9 million construction loan and $13.4 million of the mezzanine loan, both of which appear within mortgage loans receivable in the Condensed Consolidated Balance Sheets. VARIABLE INTEREST ENTITIES Centerspace has determined that its Operating Partnership and each of its less-than-wholly owned real estate partnerships are variable interest entities (each, a “VIE”), as the limited partners or the functional equivalent of limited partners lack substantive kick-out rights and substantive participating rights. The Company is the primary beneficiary of the VIEs, and the VIEs are required to be consolidated on the balance sheet because the Company has a controlling financial interest in the VIEs and has both the power to direct the activities of the VIEs that most significantly impact the economic performance of the VIEs as well as the obligation to absorb losses or the right to receive benefits from the VIEs that could potentially be significant to the VIEs. Because the Operating Partnership is a VIE, all of the Company’s assets and liabilities are held through a VIE.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE Basic earnings per share is computed by dividing net income available to common shareholders by the weighted average number of common shares of beneficial interest (“common shares”) outstanding during the period. Centerspace has issued restricted stock units (“RSUs”) and incentive stock options (“ISOs”) under the 2015 Incentive Plan, Series D Convertible Preferred Units (“Series D preferred units”), and Series E Convertible Preferred Units (“Series E preferred units”), which could have a dilutive effect on the earnings per share upon exercise of the RSUs or ISOs or upon conversion of the Series D or Series E preferred units (refer to Note 4 for further discussion of the Series D and the Series E preferred units). Other than the issuance of RSUs, ISOs, Series D preferred units, and Series E preferred units, there are no outstanding options, warrants, convertible stock or other contractual obligations requiring issuance of additional shares that would result in dilution of earnings. Under the terms of the Operating Partnership’s Agreement of Limited Partnership, limited partners have the right to require the Operating Partnership to redeem their limited partnership units (“Units”) any time following the first anniversary of the date they acquired such Units (“Exchange Right”). Upon the exercise of Exchange Rights, and in Centerspace’s sole discretion, it may issue common shares in exchange for Units on a one-for-one basis. For the three months ended June 30, 2022, operating partnership units of 995,000, Series D preferred units of 228,000, Series E preferred units of 2.2 million, time-based RSUs of 9,000, weighted average stock options of 39,000, and performance-based RSUs of 30,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the three months ended June 30, 2021, weighted average stock options of 44,000 and performance-based RSUs of 31,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the six months ended June 30, 2022, operating partnership units of 978,000, Series D preferred units of 228,000, Series E preferred units of 2.2 million, time-based RSUs of 11,000, weighted average stock options of 46,000, and performance-based RSUs of 30,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the six months ended June 30, 2021, weighted average stock options of 44,000 and performance-based RSUs of 28,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. The following table presents a reconciliation of the numerator and denominator used to calculate basic and diluted earnings per share reported in the Condensed Consolidated Financial Statements for the three and six months ended June 30, 2022 and 2021. (in thousands, except per share data) Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 NUMERATOR Net income (loss) attributable to controlling interests $ (2,991) $ 21,538 $ (11,580) $ 16,671 Dividends to preferred shareholders (1,607) (1,607) (3,214) (3,214) Numerator for basic earnings (loss) per share – net income available to common shareholders (4,598) 19,931 (14,794) 13,457 Noncontrolling interests – Operating Partnership and Series E preferred units (950) 1,386 (3,107) 917 Dividends to preferred unitholders 160 160 320 320 Numerator for diluted earnings (loss) per share $ (5,388) $ 21,477 $ (17,581) $ 14,694 DENOMINATOR Denominator for basic earnings per share weighted average shares 15,369 13,353 15,233 13,216 Effect of redeemable operating partnership units — 916 — 939 Effect of Series D preferred units — 228 — 228 Effect of dilutive restricted stock units and stock options — 17 — 18 Denominator for diluted earnings per share 15,369 14,514 15,233 14,401 NET EARNINGS (LOSS) PER COMMON SHARE – BASIC $ (0.30) $ 1.49 $ (0.97) $ 1.02 NET EARNINGS (LOSS) PER COMMON SHARE – DILUTED $ (0.30) $ 1.48 $ (0.97) $ 1.02

EQUITY AND MEZZANINE EQUITY

EQUITY AND MEZZANINE EQUITY	6 Months Ended
	Jun. 30, 2022
Equity [Abstract]
EQUITY AND MEZZANINE EQUITY	EQUITY AND MEZZANINE EQUITY Operating Partnership Units. The Operating Partnership had 995,000 and 832,000 outstanding Units at June 30, 2022 and December 31, 2021, respectively. During the six months ended June 30, 2022, we issued 209,000 Units as partial consideration for the acquisition of three apartment communities. Exchange Rights . Centerspace redeemed Units in exchange for common shares in connection with Unitholders exercising their exchange rights during the three and six months ended June 30, 2022 and 2021 as detailed in the table below. (in thousands) Three Months Ended June 30, Number of Units Net Book Basis 2022 1 $ (13) 2021 69 $ 639 Six Months Ended June 30, 2022 11 $ 375 2021 95 $ 418 Pursuant to the exercise of exchange rights, the Company redeemed Units for cash during the three and six months ended June 30, 2022 and 2021 as detailed in the table below. (in thousands, except per Unit data) Three Months Ended June 30, Number of Units Aggregate Cost Average Price Per Unit 2022 4 $ 327 $ 92.03 Six Months Ended June 30, 2022 35 $ 3,230 $ 93.03 Series E Preferred Units (Noncontrolling Interests). On September 1, 2021, Centerspace issued 1.8 million Series E preferred units with a par value of $100 per Series E preferred unit as partial consideration for the acquisition of 17 apartment communities. The Series E preferred unit holders receive a preferred distribution at the rate of 3.875% per year. Each Series E preferred unit is convertible, at the holder’s option, into 1.2048 Units. The Series E preferred units have an aggregate liquidation preference of $181.4 million. The holders of the Series E preferred units do not have voting rights and are required to hold the units for one year before they may elect to convert. Common Shares and Equity Awards . Common shares outstanding on June 30, 2022 and December 31, 2021, totaled 15.4 million and 15.0 million, respectively. There were 5,538 and 24,297 shares issued upon the vesting of equity awards under the 2015 Incentive Plan during the three and six months ended June 30, 2022, respectively, with a total grant-date fair value of $397,000 and $619,000, respectively. There were 23,385 and 26,186 shares issued upon the vesting of equity awards under the 2015 Incentive Plan during the three and six months ended June 30, 2021, respectively, with a total grant-date fair value of $750,000 and $914,000, respectively. These shares vested based on performance and service criteria. Equity Distribution Agreement. Centerspace had an equity distribution agreement in connection with an at-the-market offering (“2019 ATM Program”) through which it could offer and sell common shares having an aggregate sales price of up to $150.0 million. In September 2021, the Company replaced the 2019 ATM Program with a new at-the-market offering (“2021 ATM Program”) through which it may offer and sell common shares having an aggregate sales price of up to $250.0 million, in amounts and at times determined by management. Under the 2021 ATM Program, the Company may enter into separate forward sale agreements. The proceeds from the sale of common shares under the 2021 ATM Program may be used for general corporate purposes, including the funding of acquisitions, construction or mezzanine loans, community renovations, and the repayment of indebtedness. The table below provides details on the sale of common shares during the three and six months ended June 30, 2022 and 2021 under both the 2019 and 2021 ATM Programs. As of June 30, 2022, common shares having an aggregate offering price of up to $126.6 million remained available under the 2021 ATM Program. (in thousands, except per share amounts) Three Months Ended June 30, Number of Common Shares Net Consideration (1) Average Net Price Per Share 2022 — $ — $ — 2021 731 $ 54,636 $ 74.64 Six Months Ended June 30, 2022 321 $ 31,732 $ 98.89 2021 896 $ 66,495 $ 74.19 (1) Total consideration is net of $338 in commissions and issuance costs during the six months ended June 30, 2022 and $528 and $709 for the three and six months ended June 30, 2021, respectively. Share Repurchase Program. On June 13, 2022, the Board of Trustees approved a new share repurchase program (the “Share Repurchase Program”), providing for the repurchase of up to an aggregate of $50.0 million of the Company's outstanding common shares. Under the Share Repurchase Program, the Company is authorized to repurchase common shares through open market purchases, privately-negotiated transactions, block trades or otherwise in accordance with applicable federal securities laws, including through Rule 10b5-1 trading plans and under Rule 10b-18 of the Securities and Exchange Act of 1934, as amended. The repurchases have no time limit and may be suspended or discontinued completely at any time. The specific timing and amount of repurchases will vary based on available capital resources or other financial and operational performance, market conditions, securities law limitations, and other factors. During the six months ended June 30, 2022, the Company had no share repurchases under this program. As of June 30, 2022, the Company had $50.0 million remaining authorized for purchase under this program. Series C Preferred Shares. Series C preferred shares outstanding were 3.9 million shares at June 30, 2022 and December 31, 2021. The Series C preferred shares are nonvoting and redeemable for cash at $25.00 per share at Centerspace’s option after October 2, 2022. Holders of these shares are entitled to cumulative distributions, payable quarterly (as and if declared by the Board of Trustees). Distributions accrue at an annual rate of $1.65625 per share, which is equal to 6.625% of the $25.00 per share liquidation preference ($97.0 million liquidation preference in the aggregate). Series D Preferred Units (Mezzanine Equity). Series D preferred units outstanding were 165,600 preferred units at June 30, 2022 and December 31, 2021. The Series D preferred units have a par value price of $100 per preferred unit. The Series D preferred unit holders receive a preferred distribution at the rate of 3.862% per year. The Series D preferred units have a put option which allows the holder to redeem any or all of the Series D preferred units for cash equal to the issuance price. Each Series D preferred unit is convertible, at the holder’s option, into 1.37931 Units. The Series D preferred units have an aggregate liquidation preference of $16.6 million. Changes in the redemption value are charged to common shares on the Condensed Consolidated Balance Sheets from period to period. The holders of the Series D preferred units do not have voting rights. Distributions to Series D unitholders are presented in the Condensed Consolidated Statements of Equity within net income (loss) attributable to controlling interests and noncontrolling interests.

DEBT

DEBT	6 Months Ended
	Jun. 30, 2022
Debt Disclosure [Abstract]
DEBT	DEBTAs of June 30, 2022, 52 apartment communities were not encumbered by mortgages and were available to provide credit support for the unsecured borrowings. The Company’s primary unsecured credit facility (“unsecured credit facility”) is a revolving, multi-bank line of credit, with the Bank of Montreal serving as administrative agent. The line of credit has total commitments and borrowing capacity of $250.0 million, based on the value of unencumbered properties. As of June 30, 2022, the additional borrowing availability was $177.0 million beyond the $73.0 million drawn. This unsecured credit facility was amended on September 30, 2021 to extend the maturity date to September 2025 and to provide for an accordion option to increase borrowing capacity up to $400.0 million. The interest rates on the line of credit is based, at the Company’s option, on either the lender’s base rate plus a margin, ranging from 25-80 basis points, or the London Interbank Offered Rate (“LIBOR”), plus a margin that ranges from 125-180 basis points based on the consolidated leverage ratio, as defined under the Third Amended and Restated Credit Agreement. The unsecured credit facility and unsecured senior notes are subject to customary financial covenants and limitations. The Company believes that it was in compliance with all such financial covenants and limitations as of June 30, 2022. In January 2021, Centerspace amended and expanded its private shelf agreement with PGIM, Inc., an affiliate of Prudential Financial, Inc., and certain affiliates of PGIM, Inc. (collectively, “PGIM”) to increase the aggregate amount available for issuance of unsecured senior promissory notes (“unsecured senior notes”) to $225.0 million. In September 2021, the Company entered into a note purchase agreement for the issuance of $125.0 million senior unsecured promissory notes, of which $25.0 million was issued under the private shelf agreement with PGIM. Under the private shelf agreement with PGIM, the Company has issued $200.0 million unsecured senior notes with $25.0 million remaining available as of June 30, 2022. The following table shows the notes issued under both private shelf agreements. (in thousands) Amount Maturity Date Interest Rate Series A $ 75,000 September 13, 2029 3.84 % Series B $ 50,000 September 30, 2028 3.69 % Series C $ 50,000 June 6, 2030 2.70 % Series 2021-A $ 35,000 September 17, 2030 2.50 % Series 2021-B $ 50,000 September 17, 2031 2.62 % Series 2021-C $ 25,000 September 17, 2032 2.68 % Series 2021-D $ 15,000 September 17, 2034 2.78 % In September 2021, Centerspace entered into a $198.9 million Fannie Mae Credit Facility Agreement (the “FMCF”) for the acquisition of 16 apartment communities. The FMCF is currently secured by mortgages on those apartment communities. The notes are interest-only, with varying maturity dates of 7, 10, and 12 years, and a blended, weighted average interest rate of 2.78%. As of June 30, 2022, the FMCF had a balance of $198.9 million. The FMCF is included within mortgages payable on the Condensed Consolidated Balance Sheets. As of June 30, 2022, Centerspace owned 15 apartment communities that served as collateral for mortgage loans, in addition to the apartment communities secured by the FMCF. All of these mortgage loans were non-recourse to the Company other than for standard carve-out obligations. As of June 30, 2022, the Company believes that there were no material defaults or instances of noncompliance in regards to any of these mortgages payable. Centerspace also has a $6.0 million operating line of credit. This operating line of credit is designed to enhance treasury management activities and more effectively manage cash balances. This operating line matures on November 29, 2022, with pricing based on a market spread plus the one-month LIBOR index rate. The following table summarizes indebtedness. (in thousands) June 30, 2022 December 31, 2021 Weighted Average Maturity in Years at June 30, 2022 Lines of credit $ 73,000 $ 76,000 3.25 Unsecured senior notes (1) 300,000 300,000 8.13 Unsecured debt 373,000 376,000 7.18 Mortgages payable - Fannie Mae credit facility 198,850 198,850 9.07 Mortgages payable - other 302,360 284,934 5.47 Total debt $ 874,210 $ 859,784 6.96 Weighted average interest rate on lines of credit (rate with swap) (2) 2.80 % 2.74 % Weighted average interest rate on unsecured senior notes 3.12 % 3.12 % Weighted average interest rate on mortgages payable - Fannie Mae credit facility 2.78 % 2.78 % Weighted average interest rate on mortgages payable - other 3.85 % 3.81 % Weighted average interest rate on total debt 3.27 % 3.26 % (1) Included within notes payable on the Condensed Consolidated Balance Sheets. (2) The interest rate swap was terminated in February 2022. Refer to Note 6 - Derivative Instruments for additional information. The aggregate amount of required future principal payments as of June 30, 2022, was as follows: (in thousands) 2022 (remainder) $ 2,808 2023 45,988 2024 5,012 2025 106,850 2026 50,088 Thereafter 663,464 Total payments $ 874,210

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	6 Months Ended
	Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	DERIVATIVE INSTRUMENTS Centerspace used interest rate derivatives to stabilize interest expense and to manage its exposure to interest rate fluctuations. To accomplish this objective, the Company primarily used interest rate swap contracts to fix variable interest rate debt. Changes in the fair value of derivatives designated and that qualified as cash flow hedges were recorded in accumulated other comprehensive income (“OCI”). Amounts recorded in accumulated other comprehensive income will be reclassified to interest expense in the periods in which interest payments are incurred on variable rate debt. During the next twelve months, the Company estimates an additional $604,000 will be reclassified as an increase to interest expense. Derivatives not designated as hedges were not speculative and were used to manage the Company’s exposure to interest rate movements and other identified risks but did not meet the strict hedge accounting requirements. Changes in fair value of derivatives not designated in hedging relationships were recorded directly to earnings within other income (loss) in the Condensed Consolidated Statement of Operations. During the six months ended June 30, 2022, the Company recorded a gain of $582,000 related to the interest rate swap not designated in a hedging relationship, prior to its termination. In February 2022, the Company paid $3.2 million to terminate its $75.0 million interest rate swap and its $70.0 million forward swap. As of June 30, 2022 the Company had no remaining interest rate swaps. As of December 31, 2021 , Centerspace had one interest rate swap contract designated as a cash flow hedge of interest rate risk with a notional amount of $75.0 million to fix the interest rate on the line of credit. The Company also had one additional interest rate swap with an effective date of January 31, 2023 and a notional amount of $70.0 million which was not designated as a hedge in a qualifying hedging relationship. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Condensed Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021 . (in thousands) June 30, 2022 December 31, 2021 Balance Sheet Location Fair Value Fair Value Total derivative instruments designated as hedging instruments - interest rate swaps Accounts Payable and Accrued Expenses $ — $ 4,610 Total derivative instruments not designated as hedging instruments - interest rate swaps Accounts Payable and Accrued Expenses $ — $ 1,097 The table below presents the effect of the Company’s derivative financial instruments on the Condensed Consolidated Statements of Operations as of June 30, 2022 and 2021. (in thousands) Gain (Loss) Recognized in OCI Location of Gain (Loss) Reclassified from Accumulated OCI into Income Gain (Loss) Reclassified from Accumulated OCI into Income Three months ended June 30, 2022 2021 2022 2021 Total derivatives in cash flow hedging relationships - Interest rate contracts $ — $ (386) Interest expense $ (188) $ (1,120) Six months ended June 30, Total derivatives in cash flow hedging relationships - Interest rate contracts $ 1,581 $ 1,625 Interest expense $ (492) $ (2,216)

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	6 Months Ended
	Jun. 30, 2022
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS Cash and cash equivalents, restricted cash, accounts payable, accrued expenses, and other liabilities are carried at amounts that reasonably approximate their fair value due to their short-term nature. For variable rate line of credit debt that re-prices frequently, fair values are based on carrying values. In determining the fair value of other financial instruments, Centerspace applies FASB ASC 820, “ Fair Value Measurement and Disclosures. ” Fair value hierarchy under ASC 820 distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity (Levels 1 and 2) and the reporting entity’s own assumptions about market participant assumptions (Level 3). Fair value estimates may differ from the amounts that may ultimately be realized upon sale or disposition of the assets and liabilities. Fair Value Measurements on a Recurring Basis (in thousands) Total Level 1 Level 2 Level 3 June 30, 2022 Assets Notes receivable $ 6,072 — — $ 6,072 December 31, 2021 Assets Mortgages and notes receivable $ 49,484 — — $ 49,484 Liabilities Derivative instruments - interest rate swaps $ 5,707 $ — — $ 5,707 The fair value of the interest rate swaps was determined using the market standard methodology of netting discounted expected variable cash payments and receipts. The variable cash payments and receipts were based on an expectation of future interest rates (a forward curve) derived from observable market interest rate curves. The Company also considered both its own nonperformance risk and the counterparty’s nonperformance risk in the fair value measurement (Level 3). Centerspace utilizes an income approach with Level 3 inputs based on expected future cash flows to value mortgages and notes receivable. The inputs include market transactions for similar instruments, management estimates of comparable interest rates (range of 3.75% to 10.75%), and instrument specific credit risk (range of 0.5% to 1.0%). Changes in the fair value of these receivables from period to period are reported in interest and other income on the Condensed Consolidated Statements of Operations. (in thousands) Fair Value Measurement at June 30, Other Gains (Losses) Interest Income Total Changes in Fair Value Included in Current-Period Earnings Six months ended June 30, 2022 Notes receivable $ 6,072 $ 7 $ 142 $ 149 Six months ended June 30, 2021 Mortgage loans and notes receivable $ 43,796 $ 7 $ 990 $ 997 As of June 30, 2022 and December 31, 2021, Centerspace had an investment of $966,000 and $903,000, respectively, in a real estate technology venture consisting of privately held entities that develop technology related to the real estate industry. This investment is measured at net asset value (“NAV”) as a practical expedient under ASC 820. As of June 30, 2022, the Company had unfunded commitments of $1.0 million. Fair Value Measurements on a Nonrecurring Basis There were no non-financial assets or liabilities measured at fair value on a nonrecurring basis at June 30, 2022 and December 31, 2021. Financial Assets and Liabilities Not Measured at Fair Value The fair value of unsecured senior notes and mortgages payable are estimated based on the discounted cash flows of the loans using market research and management estimates of comparable interest rates, excluding any prepayment penalties (Level 3). The estimated fair values of the Company’s financial instruments as of June 30, 2022 and December 31, 2021, respectively, are as follows: (in thousands) June 30, 2022 December 31, 2021 Carrying Amount Fair Value Carrying Amount Fair Value FINANCIAL ASSETS Cash and cash equivalents $ 13,156 $ 13,156 $ 31,267 $ 31,267 Restricted cash $ 1,914 $ 1,914 $ 7,358 $ 7,358 FINANCIAL LIABILITIES Revolving lines of credit (1) $ 73,000 $ 73,000 $ 76,000 $ 76,000 Unsecured senior notes $ 300,000 $ 255,779 $ 300,000 $ 308,302 Mortgages payable - Fannie Mae $ 198,850 $ 170,710 $ 198,850 $ 198,850 Mortgages payable - other $ 302,360 $ 282,506 $ 284,934 $ 284,546 (1) Excluding the effect of interest rate swap agreements. Refer to Note 6 for discussion on the fair value of the interest rate swap agreements.

ACQUISITIONS AND DISPOSITIONS

ACQUISITIONS AND DISPOSITIONS	6 Months Ended
	Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]
ACQUISITIONS AND DISPOSITIONS	ACQUISITIONS AND DISPOSITIONS ACQUISITIONS Centerspace had no acquisitions during the three months ended June 30, 2022 and 2021. The acquisitions during the six months ended June 30, 2022 and 2021 are detailed below. Six Months Ended June 30, 2022 Date (in thousands) Total Form of Consideration Investment Allocation Acquisitions Cash Units (1) Other (2) Land Building Intangible Other (3) 191 homes - Martin Blu - Minneapolis, MN January 4, 2022 $ 49,825 $ 3,031 $ 18,885 $ 27,909 $ 3,547 $ 45,212 $ 1,813 $ (747) 31 homes - Elements - Minneapolis, MN January 4, 2022 9,066 1,290 1,748 6,028 941 7,853 335 (63) 45 homes - Zest - Minneapolis, MN January 4, 2022 11,364 1,429 2,249 7,686 936 10,261 574 (407) 130 homes - Noko Apartments - Minneapolis, MN January 26, 2022 46,619 3,343 — 43,276 1,915 42,754 1,950 — Total Acquisitions $ 116,874 $ 9,093 $ 22,882 $ 84,899 $ 7,339 $ 106,080 $ 4,672 $ (1,217) (1) Fair value of operating partnership units issued on acquisition. (2) Assumption of seller's debt upon closing for Martin Blu, Zest, and Elements. Mezzanine and construction loans, financed by Centerspace, exchanged as partial consideration for the acquisition of Noko Apartments. (3) Debt discount on assumed mortgage. Six Months Ended June 30, 2021 Date (in thousands) Total Form of Consideration Investment Allocation Acquisitions Cash Land Building Intangible 256 homes - Union Pointe - Longmont, CO January 6, 2021 $ 76,900 $ 76,900 $ 5,727 $ 69,966 $ 1,207 DISPOSITIONS During the three and six months ended June 30, 2022, Centerspace disposed of no real estate compared to $60.0 million in the three and six months ended June 30, 2021. The dispositions during the six months ended June 30, 2021 are detailed below. Six Months Ended June 30, 2021 (in thousands) Dispositions Date Sale Price Book Value and Sales Cost Gain/(Loss) Multifamily 76 homes - Crystal Bay-Rochester, MN May 25, 2021 $ 13,650 $ 10,255 $ 3,395 40 homes - French Creek-Rochester, MN May 25, 2021 6,700 4,474 2,226 182 homes - Heritage Manor-Rochester, MN May 25, 2021 14,125 4,892 9,233 140 homes - Olympik Village-Rochester, MN May 25, 2021 10,725 6,529 4,196 151 homes-Winchester/Village Green-Rochester, MN May 25, 2021 14,800 7,010 7,790 Total Dispositions $ 60,000 $ 33,160 $ 26,840

SEGMENT REPORTING

SEGMENT REPORTING	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
SEGMENT REPORTING	SEGMENT REPORTING Centerspace operates in a single reportable segment which includes the ownership, management, development, redevelopment, and acquisition of apartment communities. Each of the operating properties is considered a separate operating segment because each property earns revenues, incurs expenses, and has discrete financial information. The chief operating decision-makers evaluate each property’s operating results to make decisions about resources to be allocated and to assess performance and do not group the properties based on geography, size, or type for this purpose. The apartment communities have similar long-term economic characteristics and provide similar products and services to residents. No apartment community comprises more than 10% of consolidated revenues, profits, or assets. Accordingly, the apartment communities are aggregated into a single reportable segment. “All other” includes non-multifamily components of mixed-use properties and apartment communities the Company has sold. The members of the executive management team are the chief operating decision-makers. This team measures the performance of the reportable segment based on net operating income (“NOI”), a non-GAAP measure, which the Company defines as total real estate revenues less property operating expenses, including real estate taxes. Centerspace believes that NOI is an important supplemental measure of operating performance for real estate because it provides a measure of operations that is unaffected by depreciation, amortization, financing, property management overhead, casualty losses, and general and administrative expense. NOI does not represent cash generated by operating activities in accordance with GAAP and should not be considered an alternative to net income, net income available for common shareholders, or cash flow from operating activities as a measure of financial performance. The following tables present NOI for the three and six months ended June 30, 2022 and 2021, respectively, along with reconciliations to net income in the Condensed Consolidated Financial Statements. Segment assets are also reconciled to total assets as reported in the Condensed Consolidated Financial Statements. (in thousands) Three Months Ended June 30, 2022 Multifamily All Other Total Revenue $ 62,201 $ 915 $ 63,116 Property operating expenses, including real estate taxes 25,986 230 26,216 Net operating income $ 36,215 $ 685 $ 36,900 Property management (2,721) Casualty gain (loss) (382) Depreciation and amortization (24,768) General and administrative expenses (5,221) Gain (loss) on sale of real estate and other investments 27 Interest expense (7,561) Interest and other income (17) Net income (loss) $ (3,743) (in thousands) Three Months Ended June 30, 2021 Multifamily All Other Total Revenue $ 44,957 $ 1,699 $ 46,656 Property operating expenses, including real estate taxes 17,967 793 18,760 Net operating income $ 26,990 $ 906 $ 27,896 Property management (2,085) Casualty gain (loss) 27 Depreciation and amortization (19,308) General and administrative expenses (3,797) Gain (loss) on sale of real estate and other investments 26,840 Interest expense (7,089) Interest and other income 619 Net income (loss) $ 23,103 (in thousands) Six Months Ended June 30, 2022 Multifamily All Other Total Revenue $ 121,599 $ 1,831 $ 123,430 Property operating expenses, including real estate taxes 51,529 560 52,089 Net operating income $ 70,070 $ 1,271 $ 71,341 Property management expenses (4,974) Casualty gain (loss) (980) Depreciation and amortization (55,769) General and administrative expenses (9,721) Gain (loss) on sale of real estate and other investments 27 Interest expense (15,276) Interest and other income 1,046 Net income (loss) $ (14,306) (in thousands) Six Months Ended June 30, 2021 Multifamily All Other Total Revenue $ 89,198 $ 4,106 $ 93,304 Property operating expenses, including real estate taxes 35,841 2,160 38,001 Net operating income $ 53,357 $ 1,946 $ 55,303 Property management expenses (3,852) Casualty gain (loss) (74) Depreciation and amortization (39,300) General and administrative expenses (7,703) Gain (loss) on sale of real estate and other investments 26,840 Interest expense (14,320) Interest and other income 1,050 Net income (loss) $ 17,944 Segment Assets and Accumulated Depreciation Segment assets are summarized as follows as of June 30, 2022, and December 31, 2021, respectively, along with reconciliations to the Condensed Consolidated Financial Statements: (in thousands) As of June 30, 2022 Multifamily All Other Total Segment assets Property owned $ 2,374,726 $ 26,701 $ 2,401,427 Less accumulated depreciation (480,113) (7,721) (487,834) Total property owned $ 1,894,613 $ 18,980 $ 1,913,593 Cash and cash equivalents 13,156 Restricted cash 1,914 Other assets 18,950 Total Assets $ 1,947,613 (in thousands) As of December 31, 2021 Multifamily All Other Total Segment assets Property owned $ 2,244,250 $ 26,920 $ 2,271,170 Less accumulated depreciation (436,004) (7,588) (443,592) Total property owned $ 1,808,246 $ 19,332 $ 1,827,578 Mortgage loans receivable 43,276 Cash and cash equivalents 31,267 Restricted cash 7,358 Other assets 30,582 Total Assets $ 1,940,061

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Litigation. In the ordinary course of operations, Centerspace becomes involved in litigation. At this time, the Company knows of no material pending or threatened legal proceedings, or other proceedings contemplated by governmental authorities, that would have a material impact on it. Environmental Matters. Under various federal, state, and local laws, ordinances, and regulations, a current or previous owner or operator of real estate may be liable for the costs of removal of, or remediation of, certain hazardous or toxic substances in, on, around, or under the property. While the Company currently has no knowledge of any material violation of environmental laws, ordinances, or regulations at any of the properties, there can be no assurance that areas of contamination will not be identified at any of its properties or that changes in environmental laws, regulations, or cleanup requirements would not result in material costs.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	6 Months Ended
	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
SHARE-BASED COMPENSATION	SHARE-BASED COMPENSATION Share-based awards are provided to officers, non-officer employees, and trustees under the 2015 Incentive Plan approved by shareholders on September 15, 2015, as amended and restated on May 18, 2021 (the “2015 Incentive Plan”) which allows for awards in the form of cash, unrestricted and restricted common shares, stock options, stock appreciation rights, and RSUs up to an aggregate of 775,000 shares over the ten-year period in which the plan is in effect. Under the 2015 Incentive Plan, officers and non-officer employees may earn share awards under a long-term incentive plan, which is a forward-looking program that measures long-term performance over the stated performance period. These awards are payable to the extent deemed earned in shares. The terms of the long-term incentive awards granted under the revised program may vary from year to year. 2022 LTIP Awards Awards granted to employees on January 1, 2022, consisted of an aggregate of 5,849 time-based RSU awards, 13,407 performance RSUs based on total shareholder return (“TSR”), and 30,002 stock options. The time-based awards vest as to one-third of the shares on each of January 1, 2023, January 1, 2024, and January 1, 2025. The stock options vest as to 25% on each of January 1, 2023, January 1, 2024, January 1, 2025, and January 1, 2026. The fair value of stock options was $17.094 per share and was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions: 2022 Exercise price $ 110.90 Risk-free rate 1.44 % Expected term 6.25 years Expected volatility 21.2 % Dividend yield 2.597 % The TSR performance RSUs are earned based on the Company’s TSR as compared to the FTSE Nareit Apartment Index over a forward looking three-year period. The maximum number of RSUs eligible to be earned is 26,814 RSUs, which is 200% of the RSUs granted. Earned awards (if any) will fully vest as of the last day of the measurement period. These awards have market conditions in addition to service conditions that must be met for the awards to vest. Compensation expense is recognized ratably based on the grant date fair value, as determined using the Monte Carlo valuation model, regardless of whether the market conditions are achieved and the awards ultimately vest. Therefore, previously recorded compensation expense is not adjusted in the event that the market conditions are not achieved. The Company based the expected volatility on a weighted average of the historical volatility of the Company’s daily closing share price and a select peer average volatility, the risk-free interest rate on the interest rates on U.S. treasury bonds with a maturity equal to the remaining performance period of the award, and the expected term on the performance period of the award. The assumptions used to value the TSR performance RSUs were an expected volatility of 22.40%, a risk-free interest rate of 0.97%, and an expected life of 3 years. The share price at the grant date, January 1, 2022, was $110.90 per share. Awards granted to employees on February 1, 2022, consist of an aggregate of 1,295 time-based RSU awards which vest as to one-third of the RSUs on each of January 1, 2023, January 1, 2024, and January 1, 2025. Awards granted to trustees on May 17, 2022 consist of 6,563 time-based RSUs, which vest on May 17, 2023. These awards are classified as equity awards. Share-Based Compensation Expense

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION Centerspace conducts a majority of its business activities through a consolidated operating partnership, Centerspace, LP (f/k/a IRET Properties), a North Dakota limited partnership (the “Operating Partnership”), as well as through a number of other consolidated subsidiary entities. The accompanying Condensed Consolidated Financial Statements include the Company’s accounts and the accounts of all its subsidiaries in which it maintains a controlling interest, including the Operating Partnership. All intercompany balances and transactions are eliminated in consolidation. The Condensed Consolidated Financial Statements also reflect the Operating Partnership’s ownership of a joint venture entity in which the Operating Partnership has a general partner or controlling interest. This entity is consolidated into the Company’s operations, with noncontrolling interests reflecting the noncontrolling partners’ share of ownership, income, and expenses.
UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS	UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Centerspace’s interim 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 applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain disclosures accompanying annual consolidated financial statements prepared in accordance with GAAP are omitted. The year-end balance sheet data was derived from audited consolidated financial statements, but does not include all disclosures required by GAAP. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for the fair presentation of financial position, results of operations, and cash flows for the interim periods, have been included. The current period’s results of operations are not necessarily indicative of results which ultimately may be achieved for the year. The interim Condensed Consolidated Financial Statements and accompanying notes thereto should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, as filed with the SEC on February 28, 2022.
USE OF ESTIMATES	USE OF ESTIMATES The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH	CASH, CASH EQUIVALENTS, AND RESTRICTED CASH As of June 30, 2022 and December 31, 2021, restricted cash consisted primarily of real estate deposits and escrows held by lenders for real estate taxes, insurance, and capital additions.
LEASES	LEASES As a lessor, Centerspace primarily leases multifamily apartment homes which qualify as operating leases with terms that are generally one year or less. Rental revenues are recognized in accordance with ASC 842, Leases , using a method that represents a straight-line basis over the term of the lease. Rental income represents approximately 97.9% of total revenues and includes gross market rent less adjustments for gain or loss to lease, concessions, vacancy loss, and bad debt. Other property revenues represent the remaining 2.1% of total revenues and are primarily driven by other fee income, which is typically recognized when earned, at a point in time. three
REVENUES AND GAINS ON SALE OF REAL ESTATE	REVENUES AND GAINS ON SALE OF REAL ESTATE Revenue is recognized in accordance with the transfer of goods and services to customers at an amount that reflects the consideration to which the Company expects to be entitled for those goods and services. Revenue streams that are included in revenues from contracts with customers include other property revenue such as application fees and other miscellaneous items. Centerspace recognizes revenue for these rental related items not included as a component of a lease as earned.
IMPAIRMENT OF LONG-LIVED ASSETS	IMPAIRMENT OF LONG-LIVED ASSETS The Company evaluates long-lived assets, including investments in real estate, for impairment indicators at least quarterly. The judgments regarding the existence of impairment indicators are based on factors such as operational performance, market conditions, expected holding period of each property, and legal and environmental concerns. If indicators exist, the Company compares the expected future undiscounted cash flows for the property against the carrying amount of that property. If the sum of the estimated undiscounted cash flows is less than the carrying amount, an impairment loss is recorded for the difference between the estimated fair value and the carrying amount. If the anticipated holding period for properties, the estimated fair value of properties, or other factors change based on market conditions or otherwise, the evaluation of impairment charges may be different and such differences could be material to the consolidated financial statements. The evaluation of anticipated cash flows is subjective and is based, in part, on assumptions regarding future occupancy, rental rates, and capital requirements that could differ materially from actual results. Reducing planned property holding periods may increase the likelihood of recording impairment losses.
VARIABLE INTEREST ENTITIES	VARIABLE INTEREST ENTITIES Centerspace has determined that its Operating Partnership and each of its less-than-wholly owned real estate partnerships are variable interest entities (each, a “VIE”), as the limited partners or the functional equivalent of limited partners lack substantive kick-out rights and substantive participating rights. The Company is the primary beneficiary of the VIEs, and the VIEs are required to be consolidated on the balance sheet because the Company has a controlling financial interest in the VIEs and has both the power to direct the activities of the VIEs that most significantly impact the economic performance of the VIEs as well as the obligation to absorb losses or the right to receive benefits from the VIEs that could potentially be significant to the VIEs. Because the Operating Partnership is a VIE, all of the Company’s assets and liabilities are held through a VIE.

BASIS OF PRESENTATION AND SIG_3

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Future Scheduled Lease Income for Operating Leases	The aggregate amount of future scheduled lease income on commercial operating leases, excluding any variable lease income and non-lease components, as of June 30, 2022, was as follows: (in thousands) 2022 (remainder) $ 1,112 2023 2,599 2024 2,534 2025 2,469 2026 1,876 Thereafter 1,528 Total scheduled lease income - commercial operating leases $ 12,118
Schedule of Disaggregation of Revenue	The following table presents the disaggregation of revenue streams for the three and six months ended June 30, 2022 and 2021: (in thousands) Three Months Ended June 30, Six Months Ended June 30, Revenue Stream Applicable Standard 2022 2021 2022 2021 Fixed lease income - operating leases Leases $ 59,387 $ 43,659 $ 116,061 $ 87,499 Variable lease income - operating leases Leases 2,300 2,103 4,822 4,072 Other property revenue Revenue from contracts with customers 1,429 894 2,547 1,733 Total revenue $ 63,116 $ 46,656 $ 123,430 $ 93,304

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Reconciliation of Numerator and Denominator Used To Calculate Basic and Diluted EPS	The following table presents a reconciliation of the numerator and denominator used to calculate basic and diluted earnings per share reported in the Condensed Consolidated Financial Statements for the three and six months ended June 30, 2022 and 2021. (in thousands, except per share data) Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 NUMERATOR Net income (loss) attributable to controlling interests $ (2,991) $ 21,538 $ (11,580) $ 16,671 Dividends to preferred shareholders (1,607) (1,607) (3,214) (3,214) Numerator for basic earnings (loss) per share – net income available to common shareholders (4,598) 19,931 (14,794) 13,457 Noncontrolling interests – Operating Partnership and Series E preferred units (950) 1,386 (3,107) 917 Dividends to preferred unitholders 160 160 320 320 Numerator for diluted earnings (loss) per share $ (5,388) $ 21,477 $ (17,581) $ 14,694 DENOMINATOR Denominator for basic earnings per share weighted average shares 15,369 13,353 15,233 13,216 Effect of redeemable operating partnership units — 916 — 939 Effect of Series D preferred units — 228 — 228 Effect of dilutive restricted stock units and stock options — 17 — 18 Denominator for diluted earnings per share 15,369 14,514 15,233 14,401 NET EARNINGS (LOSS) PER COMMON SHARE – BASIC $ (0.30) $ 1.49 $ (0.97) $ 1.02 NET EARNINGS (LOSS) PER COMMON SHARE – DILUTED $ (0.30) $ 1.48 $ (0.97) $ 1.02

EQUITY AND MEZZANINE EQUITY (Ta

EQUITY AND MEZZANINE EQUITY (Tables)	6 Months Ended
	Jun. 30, 2022
Equity [Abstract]
Schedule of Conversions of Stock	Centerspace redeemed Units in exchange for common shares in connection with Unitholders exercising their exchange rights during the three and six months ended June 30, 2022 and 2021 as detailed in the table below. (in thousands) Three Months Ended June 30, Number of Units Net Book Basis 2022 1 $ (13) 2021 69 $ 639 Six Months Ended June 30, 2022 11 $ 375 2021 95 $ 418 Pursuant to the exercise of exchange rights, the Company redeemed Units for cash during the three and six months ended June 30, 2022 and 2021 as detailed in the table below. (in thousands, except per Unit data) Three Months Ended June 30, Number of Units Aggregate Cost Average Price Per Unit 2022 4 $ 327 $ 92.03 Six Months Ended June 30, 2022 35 $ 3,230 $ 93.03
Schedule of Sale of Common Shares	The table below provides details on the sale of common shares during the three and six months ended June 30, 2022 and 2021 under both the 2019 and 2021 ATM Programs. As of June 30, 2022, common shares having an aggregate offering price of up to $126.6 million remained available under the 2021 ATM Program. (in thousands, except per share amounts) Three Months Ended June 30, Number of Common Shares Net Consideration (1) Average Net Price Per Share 2022 — $ — $ — 2021 731 $ 54,636 $ 74.64 Six Months Ended June 30, 2022 321 $ 31,732 $ 98.89 2021 896 $ 66,495 $ 74.19

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Jun. 30, 2022
Debt Disclosure [Abstract]
Schedule of Debt	The following table shows the notes issued under both private shelf agreements. (in thousands) Amount Maturity Date Interest Rate Series A $ 75,000 September 13, 2029 3.84 % Series B $ 50,000 September 30, 2028 3.69 % Series C $ 50,000 June 6, 2030 2.70 % Series 2021-A $ 35,000 September 17, 2030 2.50 % Series 2021-B $ 50,000 September 17, 2031 2.62 % Series 2021-C $ 25,000 September 17, 2032 2.68 % Series 2021-D $ 15,000 September 17, 2034 2.78 % The following table summarizes indebtedness. (in thousands) June 30, 2022 December 31, 2021 Weighted Average Maturity in Years at June 30, 2022 Lines of credit $ 73,000 $ 76,000 3.25 Unsecured senior notes (1) 300,000 300,000 8.13 Unsecured debt 373,000 376,000 7.18 Mortgages payable - Fannie Mae credit facility 198,850 198,850 9.07 Mortgages payable - other 302,360 284,934 5.47 Total debt $ 874,210 $ 859,784 6.96 Weighted average interest rate on lines of credit (rate with swap) (2) 2.80 % 2.74 % Weighted average interest rate on unsecured senior notes 3.12 % 3.12 % Weighted average interest rate on mortgages payable - Fannie Mae credit facility 2.78 % 2.78 % Weighted average interest rate on mortgages payable - other 3.85 % 3.81 % Weighted average interest rate on total debt 3.27 % 3.26 % (1) Included within notes payable on the Condensed Consolidated Balance Sheets.
Aggregate Amount of Required Future Principal Payments on Mortgages Payable	The aggregate amount of required future principal payments as of June 30, 2022, was as follows: (in thousands) 2022 (remainder) $ 2,808 2023 45,988 2024 5,012 2025 106,850 2026 50,088 Thereafter 663,464 Total payments $ 874,210

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	6 Months Ended
	Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Fair Value of Derivative Instruments	The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Condensed Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021 . (in thousands) June 30, 2022 December 31, 2021 Balance Sheet Location Fair Value Fair Value Total derivative instruments designated as hedging instruments - interest rate swaps Accounts Payable and Accrued Expenses $ — $ 4,610 Total derivative instruments not designated as hedging instruments - interest rate swaps Accounts Payable and Accrued Expenses $ — $ 1,097
Schedule of Derivative Instruments	The table below presents the effect of the Company’s derivative financial instruments on the Condensed Consolidated Statements of Operations as of June 30, 2022 and 2021. (in thousands) Gain (Loss) Recognized in OCI Location of Gain (Loss) Reclassified from Accumulated OCI into Income Gain (Loss) Reclassified from Accumulated OCI into Income Three months ended June 30, 2022 2021 2022 2021 Total derivatives in cash flow hedging relationships - Interest rate contracts $ — $ (386) Interest expense $ (188) $ (1,120) Six months ended June 30, Total derivatives in cash flow hedging relationships - Interest rate contracts $ 1,581 $ 1,625 Interest expense $ (492) $ (2,216)

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	6 Months Ended
	Jun. 30, 2022
Fair Value Disclosures [Abstract]
Estimated Fair Values of Financial Instruments	Fair Value Measurements on a Recurring Basis (in thousands) Total Level 1 Level 2 Level 3 June 30, 2022 Assets Notes receivable $ 6,072 — — $ 6,072 December 31, 2021 Assets Mortgages and notes receivable $ 49,484 — — $ 49,484 Liabilities Derivative instruments - interest rate swaps $ 5,707 $ — — $ 5,707 The estimated fair values of the Company’s financial instruments as of June 30, 2022 and December 31, 2021, respectively, are as follows: (in thousands) June 30, 2022 December 31, 2021 Carrying Amount Fair Value Carrying Amount Fair Value FINANCIAL ASSETS Cash and cash equivalents $ 13,156 $ 13,156 $ 31,267 $ 31,267 Restricted cash $ 1,914 $ 1,914 $ 7,358 $ 7,358 FINANCIAL LIABILITIES Revolving lines of credit (1) $ 73,000 $ 73,000 $ 76,000 $ 76,000 Unsecured senior notes $ 300,000 $ 255,779 $ 300,000 $ 308,302 Mortgages payable - Fannie Mae $ 198,850 $ 170,710 $ 198,850 $ 198,850 Mortgages payable - other $ 302,360 $ 282,506 $ 284,934 $ 284,546 (1) Excluding the effect of interest rate swap agreements. Refer to Note 6 for discussion on the fair value of the interest rate swap agreements.
Changes in Fair Value Receivables	Changes in the fair value of these receivables from period to period are reported in interest and other income on the Condensed Consolidated Statements of Operations. (in thousands) Fair Value Measurement at June 30, Other Gains (Losses) Interest Income Total Changes in Fair Value Included in Current-Period Earnings Six months ended June 30, 2022 Notes receivable $ 6,072 $ 7 $ 142 $ 149 Six months ended June 30, 2021 Mortgage loans and notes receivable $ 43,796 $ 7 $ 990 $ 997

ACQUISITIONS AND DISPOSITIONS (

ACQUISITIONS AND DISPOSITIONS (Tables)	6 Months Ended
	Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Schedule of Acquisitions	The acquisitions during the six months ended June 30, 2022 and 2021 are detailed below. Six Months Ended June 30, 2022 Date (in thousands) Total Form of Consideration Investment Allocation Acquisitions Cash Units (1) Other (2) Land Building Intangible Other (3) 191 homes - Martin Blu - Minneapolis, MN January 4, 2022 $ 49,825 $ 3,031 $ 18,885 $ 27,909 $ 3,547 $ 45,212 $ 1,813 $ (747) 31 homes - Elements - Minneapolis, MN January 4, 2022 9,066 1,290 1,748 6,028 941 7,853 335 (63) 45 homes - Zest - Minneapolis, MN January 4, 2022 11,364 1,429 2,249 7,686 936 10,261 574 (407) 130 homes - Noko Apartments - Minneapolis, MN January 26, 2022 46,619 3,343 — 43,276 1,915 42,754 1,950 — Total Acquisitions $ 116,874 $ 9,093 $ 22,882 $ 84,899 $ 7,339 $ 106,080 $ 4,672 $ (1,217) (1) Fair value of operating partnership units issued on acquisition. (2) Assumption of seller's debt upon closing for Martin Blu, Zest, and Elements. Mezzanine and construction loans, financed by Centerspace, exchanged as partial consideration for the acquisition of Noko Apartments. (3) Debt discount on assumed mortgage. Six Months Ended June 30, 2021 Date (in thousands) Total Form of Consideration Investment Allocation Acquisitions Cash Land Building Intangible 256 homes - Union Pointe - Longmont, CO January 6, 2021 $ 76,900 $ 76,900 $ 5,727 $ 69,966 $ 1,207
Schedule of Dispositions	The dispositions during the six months ended June 30, 2021 are detailed below. Six Months Ended June 30, 2021 (in thousands) Dispositions Date Sale Price Book Value and Sales Cost Gain/(Loss) Multifamily 76 homes - Crystal Bay-Rochester, MN May 25, 2021 $ 13,650 $ 10,255 $ 3,395 40 homes - French Creek-Rochester, MN May 25, 2021 6,700 4,474 2,226 182 homes - Heritage Manor-Rochester, MN May 25, 2021 14,125 4,892 9,233 140 homes - Olympik Village-Rochester, MN May 25, 2021 10,725 6,529 4,196 151 homes-Winchester/Village Green-Rochester, MN May 25, 2021 14,800 7,010 7,790 Total Dispositions $ 60,000 $ 33,160 $ 26,840

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Revenues and Net Operating Income for Reportable Segments	The following tables present NOI for the three and six months ended June 30, 2022 and 2021, respectively, along with reconciliations to net income in the Condensed Consolidated Financial Statements. Segment assets are also reconciled to total assets as reported in the Condensed Consolidated Financial Statements. (in thousands) Three Months Ended June 30, 2022 Multifamily All Other Total Revenue $ 62,201 $ 915 $ 63,116 Property operating expenses, including real estate taxes 25,986 230 26,216 Net operating income $ 36,215 $ 685 $ 36,900 Property management (2,721) Casualty gain (loss) (382) Depreciation and amortization (24,768) General and administrative expenses (5,221) Gain (loss) on sale of real estate and other investments 27 Interest expense (7,561) Interest and other income (17) Net income (loss) $ (3,743) (in thousands) Three Months Ended June 30, 2021 Multifamily All Other Total Revenue $ 44,957 $ 1,699 $ 46,656 Property operating expenses, including real estate taxes 17,967 793 18,760 Net operating income $ 26,990 $ 906 $ 27,896 Property management (2,085) Casualty gain (loss) 27 Depreciation and amortization (19,308) General and administrative expenses (3,797) Gain (loss) on sale of real estate and other investments 26,840 Interest expense (7,089) Interest and other income 619 Net income (loss) $ 23,103 (in thousands) Six Months Ended June 30, 2022 Multifamily All Other Total Revenue $ 121,599 $ 1,831 $ 123,430 Property operating expenses, including real estate taxes 51,529 560 52,089 Net operating income $ 70,070 $ 1,271 $ 71,341 Property management expenses (4,974) Casualty gain (loss) (980) Depreciation and amortization (55,769) General and administrative expenses (9,721) Gain (loss) on sale of real estate and other investments 27 Interest expense (15,276) Interest and other income 1,046 Net income (loss) $ (14,306) (in thousands) Six Months Ended June 30, 2021 Multifamily All Other Total Revenue $ 89,198 $ 4,106 $ 93,304 Property operating expenses, including real estate taxes 35,841 2,160 38,001 Net operating income $ 53,357 $ 1,946 $ 55,303 Property management expenses (3,852) Casualty gain (loss) (74) Depreciation and amortization (39,300) General and administrative expenses (7,703) Gain (loss) on sale of real estate and other investments 26,840 Interest expense (14,320) Interest and other income 1,050 Net income (loss) $ 17,944
Segment Assets and Accumulated Depreciation	Segment assets are summarized as follows as of June 30, 2022, and December 31, 2021, respectively, along with reconciliations to the Condensed Consolidated Financial Statements: (in thousands) As of June 30, 2022 Multifamily All Other Total Segment assets Property owned $ 2,374,726 $ 26,701 $ 2,401,427 Less accumulated depreciation (480,113) (7,721) (487,834) Total property owned $ 1,894,613 $ 18,980 $ 1,913,593 Cash and cash equivalents 13,156 Restricted cash 1,914 Other assets 18,950 Total Assets $ 1,947,613 (in thousands) As of December 31, 2021 Multifamily All Other Total Segment assets Property owned $ 2,244,250 $ 26,920 $ 2,271,170 Less accumulated depreciation (436,004) (7,588) (443,592) Total property owned $ 1,808,246 $ 19,332 $ 1,827,578 Mortgage loans receivable 43,276 Cash and cash equivalents 31,267 Restricted cash 7,358 Other assets 30,582 Total Assets $ 1,940,061

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
Schedule of Fair Value of Stock Options	The fair value of stock options was $17.094 per share and was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions: 2022 Exercise price $ 110.90 Risk-free rate 1.44 % Expected term 6.25 years Expected volatility 21.2 % Dividend yield 2.597 %

ORGANIZATION (Details)

ORGANIZATION (Details) - Residential Real Estate	Jun. 30, 2022 apartmentHome apartmentCommunity
Real Estate Properties [Line Items]
Number of real estate properties | apartmentCommunity	83
Number of apartment units | apartmentHome	14,838

BASIS OF PRESENTATION AND SIG_4

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Leases (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Lessor, Operating Lease, Payments, Fiscal Year Maturity [Abstract]
2022 (remainder)	$ 1,112
2023	2,599
2024	2,534
2025	2,469
2026	1,876
Thereafter	1,528
Total scheduled lease income - commercial operating leases	$ 12,118
Minimum
Lessor, Lease, Description [Line Items]
Lease terms	3 years
Maximum
Lessor, Lease, Description [Line Items]
Lease terms	15 years
Rental Income | Revenue | Product Concentration Risk
Lessor, Lease, Description [Line Items]
Concentration risk	97.90%
Fee Income | Revenue | Product Concentration Risk
Lessor, Lease, Description [Line Items]
Concentration risk	2.10%

BASIS OF PRESENTATION AND SIG_5

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Accounting Policies [Abstract]
Fixed lease income - operating leases	$ 59,387	$ 43,659	$ 116,061	$ 87,499
Variable lease income - operating leases	2,300	2,103	4,822	4,072
Revenue from contracts with customers	1,429	894	2,547	1,733
Total revenue	$ 63,116	$ 46,656	$ 123,430	$ 93,304

BASIS OF PRESENTATION AND SIG_6

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Impairment of Long-Lived Assets (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Accounting Policies [Abstract]
Impairment of real estate investments	$ 0	$ 0	$ 0	$ 0

BASIS OF PRESENTATION AND SIG_7

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Mortgage Receivable and Notes Receivable (Details) - USD ($) $ in Thousands	1 Months Ended	6 Months Ended
	Sep. 30, 2021	Jun. 30, 2022	Dec. 31, 2021
MORTGAGE RECEIVABLE AND NOTES RECEIVABLE
Mortgage loans receivable at fair value		$ 0	$ 43,276
Multi Family Same-Store | Ironwood Apartments - New Hope, MN | Tax Increment Financing
MORTGAGE RECEIVABLE AND NOTES RECEIVABLE
Loan commitment		$ 6,300	6,400
Multi-Family Residential | Ironwood Apartments - New Hope, MN | Tax Increment Financing
MORTGAGE RECEIVABLE AND NOTES RECEIVABLE
Interest rate		4.50%
Multi-Family Residential | Minneapolis, Minnesota | Construction Loans
MORTGAGE RECEIVABLE AND NOTES RECEIVABLE
Interest rate	4.50%
Mortgage loans receivable at fair value	$ 29,900		29,900
Multi-Family Residential | Minneapolis, Minnesota | Mezzanine Loan
MORTGAGE RECEIVABLE AND NOTES RECEIVABLE
Interest rate	11.50%
Mortgage loans receivable at fair value	$ 15,300		$ 13,400

EARNINGS PER SHARE - Narrative

EARNINGS PER SHARE - Narrative (Details) shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022 shares	Jun. 30, 2021 shares	Jun. 30, 2022 shares	Jun. 30, 2021 shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Ratio of units exchanged for shares			1
Performance-based RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	30	31	30	28
Operating Partnership Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	995		978
Series D Preferred Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	228		228
Series E Preferred Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	2,200		2,200
Time-based RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	9		11
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded (in shares)	39	44	46	44

EARNINGS PER SHARE - Reconcilia

EARNINGS PER SHARE - Reconciliation of Numerator and Denominator Used To Calculate Basic and Dilutes EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
NUMERATOR
Net income (loss) attributable to controlling interests	$ (2,991)	$ 21,538	$ (11,580)	$ 16,671
Dividends to preferred shareholders	(1,607)	(1,607)	(3,214)	(3,214)
Numerator for basic earnings (loss) per share – net income available to common shareholders	(4,598)	19,931	(14,794)	13,457
Noncontrolling interests – Operating Partnership and Series E preferred units	(950)	1,386	(3,107)	917
Dividends to preferred unitholders	160	160	320	320
Numerator for diluted earnings (loss) per share	$ (5,388)	$ 21,477	$ (17,581)	$ 14,694
DENOMINATOR
Denominator for basic earnings per share weighted average shares (in shares)	15,369	13,353	15,233	13,216
Effect of redeemable operating partnership units (in shares)	0	916	0	939
Effect of preferred units (in shares)	0	228	0	228
Effect of dilutive restricted stock units and stock options (in shares)	0	17	0	18
Denominator for diluted earnings per share (in shares)	15,369	14,514	15,233	14,401
NET EARNINGS (LOSS) PER COMMON SHARE - BASIC (in dollars per share)	$ (0.30)	$ 1.49	$ (0.97)	$ 1.02
NET EARNINGS (LOSS) PER COMMON SHARE - DILUTED (in dollars per share)	$ (0.30)	$ 1.48	$ (0.97)	$ 1.02

EQUITY AND MEZZANINE EQUITY - A

EQUITY AND MEZZANINE EQUITY - Additional Information (Details)		3 Months Ended		6 Months Ended
	Sep. 01, 2021 USD ($) apartmentCommunity $ / shares shares	Jun. 30, 2022 USD ($) $ / shares shares	Jun. 30, 2021 USD ($) apartmentProperty shares	Jun. 30, 2022 USD ($) apartmentCommunity $ / shares shares	Jun. 30, 2021 USD ($) shares	Jun. 13, 2022 USD ($)	Dec. 31, 2021 USD ($) $ / shares shares	Sep. 30, 2021 USD ($)	Dec. 31, 2019 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock repurchase program, authorized amount						$ 50,000,000
Remaining authorized repurchase amount		$ 50,000,000		$ 50,000,000
Noncontrolling interests , operating partnership, outstanding (in shares) | shares		995,000		995,000			832,000
Noncontrolling interests , operating partnership, issued (in shares) | shares				209,000
Preferred shares, shares issued (in shares) | shares		3,881,000		3,881,000			3,881,000
Preferred shares liquidation preference		$ 97,036,000		$ 97,036,000			$ 97,036,000
Common stock outstanding (in shares) | shares		15,373,000		15,373,000			15,016,000
Sale of common shares, net			$ 54,574,000	$ 31,569,000	$ 66,356,000
Preferred shares of beneficial interest, shares outstanding (in shares) | shares		3,881,000		3,881,000			3,881,000
Preferred shares, liquidation preference (in dollars per share) | $ / shares		$ 25		$ 25			$ 25
Preferred units, shares issued (in shares) | shares		166,000		166,000			166,000
Preferred units, par value (in dollars per share) | $ / shares		$ 100		$ 100			$ 100
Preferred units, liquidation preference		$ 16,560,000		$ 16,560,000			$ 16,560,000
2022 Acquisitions, Three Apartment Communities
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of apartment homes acquired | apartmentCommunity				3
2021 Acquisitions
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of apartment homes acquired	17		0
Series E Preferred Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Preferred shares, shares issued (in shares) | shares	1,800,000
Preferred units, par value (in dollars per share) | $ / shares	$ 100
Preferred units, conversion ratio	1.2048
Preferred shares liquidation preference	$ 181,400,000
Preferred shares, dividend rate	0.03875%
Series C Preferred Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Preferred shares liquidation preference		$ 97,000,000		$ 97,000,000
Preferred shares of beneficial interest, shares outstanding (in shares) | shares		3,900,000		3,900,000			3,900,000
Preferred shares, liquidation preference (in dollars per share) | $ / shares		$ 25		$ 25
Preferred shares, annual distribution accrual rate (in dollars per share) | $ / shares				$ 1.65625
Preferred shares, dividend rate				6.625%
Series D Preferred Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Preferred units, shares issued (in shares) | shares		165,600		165,600			165,600
Preferred units, par value (in dollars per share) | $ / shares		$ 100		$ 100
Distribution rate				3.862%
Units converted, ratio		1.37931		1.37931
Preferred units, liquidation preference		$ 16,600,000		$ 16,600,000
At-The-Market Offering
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate gross sales price of common shares, authorized amount								$ 250,000,000	$ 150,000,000
Aggregate gross sales price of common shares, remaining authorized amount		$ 126,600,000		$ 126,600,000
2015 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity awards issued (in shares) | shares		5,538	23,385	24,297	26,186
Sale of common shares, net		$ 397,000	$ 750,000	$ 619,000	$ 914,000

EQUITY AND MEZZANINE EQUITY - S

EQUITY AND MEZZANINE EQUITY - Schedule of Conversions of Common Stock (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Conversion of Stock [Line Items]
Net Book Basis	$ 0	$ 0	$ 0	$ 0
Exercise of Exchange Rights
Conversion of Stock [Line Items]
Number of units redeemed (in shares)	1	69	11	95
Net Book Basis	$ (13)	$ 639	$ 375	$ 418
Redemption Of Units For Cash
Conversion of Stock [Line Items]
Number of units converted (in shares)	4		35
Aggregate Cost	$ 327		$ 3,230
Average Price Per Unit (in dollars per share)	$ 92.03		$ 93.03

EQUITY AND MEZZANINE EQUITY -_2

EQUITY AND MEZZANINE EQUITY - Sale of Common Shares (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Commission and issuance costs		$ 528	$ 338	$ 709
At-The-Market Offering
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common shares (in shares)	0	731	321	896
Net Consideration	$ 0	$ 54,636	$ 31,732	$ 66,495
Average Net Price Per Share (in dollars per share)	$ 0	$ 74.64	$ 98.89	$ 74.19

DEBT - Narrative (Details)

DEBT - Narrative (Details)	6 Months Ended
	Jun. 30, 2022 USD ($) loan apartmentCommunity	Dec. 31, 2021 USD ($)	Sep. 30, 2021 USD ($) apartmentCommunity	Jan. 31, 2021 USD ($)
Line of Credit Facility [Line Items]
Number of real estate properties, unencumbered by mortgages | apartmentCommunity	52
Revolving lines of credit	$ 73,000,000	$ 76,000,000
Outstanding debt	$ 874,210,000	$ 859,784,000
Weighted average interest rate	3.27%	3.26%
Line of Credit | Base Rate | Minimum
Line of Credit Facility [Line Items]
Basis spread on variable rate	0.25%
Line of Credit | Base Rate | Maximum
Line of Credit Facility [Line Items]
Basis spread on variable rate	0.80%
Line of Credit | London Interbank Offered Rate (LIBOR) | Minimum
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.25%
Line of Credit | London Interbank Offered Rate (LIBOR) | Maximum
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.80%
Operating Line of Credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 6,000,000
BMO Line of Credit | Line of Credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	250,000,000
Remaining borrowing capacity	177,000,000
Revolving lines of credit	73,000,000
Accordion option			$ 400,000,000
Unsecured Senior Notes | Private Shelf Agreement
Line of Credit Facility [Line Items]
Debt available for issuance	25,000,000			$ 225,000,000
Amount			25,000,000
Outstanding debt	$ 200,000,000
Unsecured Senior Notes | Note Purchase Agreement
Line of Credit Facility [Line Items]
Amount			125,000,000
Mortgages
Line of Credit Facility [Line Items]
Number of real estate properties, serving as collateral for mortgage loans | apartmentCommunity	15
Number of material defaults or instances of noncompliance | loan	0
Mortgages | Mortgages payable - Fannie Mae
Line of Credit Facility [Line Items]
Amount			$ 198,900,000
Outstanding debt	$ 198,850,000	$ 198,850,000
Weighted average interest rate	2.78%	2.78%
Mortgages | Mortgages payable - Fannie Mae | Interest Only Payment Date One
Line of Credit Facility [Line Items]
Term	7 years
Mortgages | Mortgages payable - Fannie Mae | Interest Only Payment Date Two
Line of Credit Facility [Line Items]
Term	10 years
Mortgages | Mortgages payable - Fannie Mae | Interest Only Payment Date Three
Line of Credit Facility [Line Items]
Term	12 years
Mortgages | Mortgages payable - Fannie Mae | 2021 Acquisitions
Line of Credit Facility [Line Items]
Number of apartment units | apartmentCommunity			16

DEBT - September Note Purchase

DEBT - September Note Purchase Agreement, Schedule of Debt (Details) - Unsecured Debt	Jun. 30, 2022 USD ($)
Series A
Line of Credit Facility [Line Items]
Amount	$ 75,000,000
Interest Rate	3.84%
Series B
Line of Credit Facility [Line Items]
Amount	$ 50,000,000
Interest Rate	3.69%
Series C
Line of Credit Facility [Line Items]
Amount	$ 50,000,000
Interest Rate	2.70%
Series 2021-A
Line of Credit Facility [Line Items]
Amount	$ 35,000,000
Interest Rate	2.50%
Series 2021-B
Line of Credit Facility [Line Items]
Amount	$ 50,000,000
Interest Rate	2.62%
Series 2021-C
Line of Credit Facility [Line Items]
Amount	$ 25,000,000
Interest Rate	2.68%
Series 2021-D
Line of Credit Facility [Line Items]
Amount	$ 15,000,000
Interest Rate	2.78%

DEBT - Schedule of Debt (Detail

DEBT - Schedule of Debt (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Total debt	$ 874,210	$ 859,784
Weighted average maturity (in years)	6 years 11 months 15 days
Weighted average interest rate	3.27%	3.26%
Mortgages payable - Fannie Mae | Mortgages
Debt Instrument [Line Items]
Total debt	$ 198,850	$ 198,850
Weighted average maturity (in years)	9 years 25 days
Weighted average interest rate	2.78%	2.78%
Mortgages payable - other | Mortgages
Debt Instrument [Line Items]
Total debt	$ 302,360	$ 284,934
Weighted average maturity (in years)	5 years 5 months 19 days
Weighted average interest rate	3.85%	3.81%
Unsecured Debt
Debt Instrument [Line Items]
Total debt	$ 373,000	$ 376,000
Weighted average maturity (in years)	7 years 2 months 4 days
Unsecured Debt | Line of Credit
Debt Instrument [Line Items]
Total debt	$ 73,000	76,000
Weighted average maturity (in years)	3 years 3 months
Unsecured Debt | Unsecured senior notes
Debt Instrument [Line Items]
Total debt	$ 300,000	$ 300,000
Weighted average maturity (in years)	8 years 1 month 17 days
Weighted average interest rate	3.12%	3.12%
Unsecured Debt | Primary Line Of Credit | Line of Credit
Debt Instrument [Line Items]
Weighted average interest rate	2.80%	2.74%

DEBT - Schedule of future payme

DEBT - Schedule of future payments (Details) $ in Thousands	Jun. 30, 2022 USD ($)
Debt Disclosure [Abstract]
2022 (remainder)	$ 2,808
2023	45,988
2024	5,012
2025	106,850
2026	50,088
Thereafter	663,464
Total payments	$ 874,210

DERIVATIVE INSTRUMENTS - Additi

DERIVATIVE INSTRUMENTS - Additional Information (Details)	1 Months Ended	6 Months Ended
	Feb. 28, 2022 USD ($)	Jun. 30, 2022 USD ($) derivativeInstrument	Jun. 30, 2021 USD ($)	Jan. 31, 2023 USD ($) derivativeInstrument	Dec. 31, 2021 USD ($) derivativeInstrument
Derivative [Line Items]
Cash flow hedge gain (loss) to be reclassified within twelve months		$ 604,000
Payments to terminate derivative		$ 3,209,000	$ 0
Interest Rate Swap
Derivative [Line Items]
Number of instruments held | derivativeInstrument		0
Interest Rate Swap | Designated as Hedging Instrument
Derivative [Line Items]
Payments to terminate derivative	$ 3,200,000
Notional amount	75,000,000				$ 75,000,000
Number of instruments held | derivativeInstrument					1
Interest Rate Swap | Not Designated as Hedging Instrument
Derivative [Line Items]
Gain on derivative		$ 582,000
Interest Rate Swap | Not Designated as Hedging Instrument | Scenario, Forecast
Derivative [Line Items]
Notional amount				$ 70,000,000
Number of instruments held | derivativeInstrument				1
Forward Swap | Designated as Hedging Instrument
Derivative [Line Items]
Notional amount	$ 70,000,000

DERIVATIVE INSTRUMENTS - Fair V

DERIVATIVE INSTRUMENTS - Fair Value of Derivative Financial Instruments (Details) - Interest Rate Swap - Accounts Payable and Accrued Expenses - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Designated as Hedging Instrument
Derivative [Line Items]
Total derivative instruments	$ 0	$ 4,610
Not Designated as Hedging Instrument
Derivative [Line Items]
Total derivative instruments	$ 0	$ 1,097

DERIVATIVE INSTRUMENTS - Deriva

DERIVATIVE INSTRUMENTS - Derivative Instruments on Statement of Operations (Details) - Interest Rate Contract - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Derivative [Line Items]
Gain (Loss) Recognized in OCI	$ 0	$ (386)	$ 1,581	$ 1,625
Interest Expense
Derivative [Line Items]
Gain (Loss) Reclassified from Accumulated OCI into Income	$ (188)	$ (1,120)	$ (492)	$ (2,216)

FAIR VALUE MEASUREMENTS - Fair

FAIR VALUE MEASUREMENTS - Fair Value Measurements on a Recurring Basis (Details) - Fair Value, Recurring - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables	$ 6,072	$ 49,484	$ 43,796
Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments - interest rate swaps		5,707
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables	0	0
Level 1 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments - interest rate swaps		0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables	0	0
Level 2 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments - interest rate swaps		0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables	$ 6,072	49,484
Level 3 | Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments - interest rate swaps		$ 5,707

FAIR VALUE MEASUREMENTS - Narra

FAIR VALUE MEASUREMENTS - Narrative (Details) - Fair Value, Recurring $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate investment, unfunded commitments	$ 1,000
Level 3 | Interest Rate | Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables, measurement input	0.0375
Level 3 | Interest Rate | Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables, measurement input	0.1075
Level 3 | Credit Risk | Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables, measurement input	0.005
Level 3 | Credit Risk | Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables, measurement input	0.010
Fair Value Measured at Net Asset Value Per Share
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate investment, fair value disclosure	$ 966	$ 903

FAIR VALUE MEASUREMENTS - Chang

FAIR VALUE MEASUREMENTS - Changes in Fair Value of Receivables (Details) - Fair Value, Recurring - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans and notes receivable	$ 6,072	$ 43,796	$ 49,484
Change in fair value of receivables	149	997
Other Gains (Losses)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Change in fair value of receivables	7	7
Interest Income
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Change in fair value of receivables	$ 142	$ 990

FAIR VALUE MEASUREMENTS - Finan

FAIR VALUE MEASUREMENTS - Financial Assets and Liabilities Not Measured at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
FINANCIAL LIABILITIES
Unsecured senior notes	$ 299,374	$ 299,344
Mortgages payable	874,210
Carrying Amount
FINANCIAL ASSETS
Cash and cash equivalents and restricted cash	13,156	31,267
FINANCIAL LIABILITIES
Revolving lines of credit	73,000	76,000
Unsecured senior notes	300,000	300,000
Carrying Amount | Mortgages | Mortgages payable - Fannie Mae
FINANCIAL LIABILITIES
Mortgages payable	198,850	198,850
Carrying Amount | Mortgages | Mortgages payable - other
FINANCIAL LIABILITIES
Mortgages payable	302,360	284,934
Carrying Amount | Restricted cash
FINANCIAL ASSETS
Cash and cash equivalents and restricted cash	1,914	7,358
Fair Value
FINANCIAL ASSETS
Cash and cash equivalents and restricted cash	13,156	31,267
FINANCIAL LIABILITIES
Revolving lines of credit	73,000	76,000
Unsecured senior notes	255,779	308,302
Fair Value | Mortgages | Mortgages payable - Fannie Mae
FINANCIAL LIABILITIES
Mortgages payable	170,710	198,850
Fair Value | Mortgages | Mortgages payable - other
FINANCIAL LIABILITIES
Mortgages payable	282,506	284,546
Fair Value | Restricted cash
FINANCIAL ASSETS
Cash and cash equivalents and restricted cash	$ 1,914	$ 7,358

ACQUISITIONS AND DISPOSITIONS -

ACQUISITIONS AND DISPOSITIONS - Acquisitions (Details) $ in Thousands		3 Months Ended		6 Months Ended
	Sep. 01, 2021 apartmentCommunity	Jun. 30, 2022 USD ($) apartmentProperty	Jun. 30, 2021 USD ($) apartmentProperty	Jun. 30, 2022 USD ($) apartmentHome	Jun. 30, 2021 USD ($) apartmentHome
Acquisitions and development projects placed in service [Abstract]
Total acquisition cost				$ 116,874
Form of Consideration
Cash				9,093
Units				22,882
Other				84,899
Investment Allocation
Land		$ 7,339		7,339
Building		106,080		106,080
Intangible Assets		4,672		4,672
Other		$ (1,217)		$ (1,217)
2022 Acquisitions
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentProperty		0
Martin Blu - Minneapolis, MN
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentHome				191
Total acquisition cost				$ 49,825
Form of Consideration
Cash				3,031
Units				18,885
Other				27,909
Investment Allocation
Land		$ 3,547		3,547
Building		45,212		45,212
Intangible Assets		1,813		1,813
Other		(747)		$ (747)
Elements - Minneapolis, MN
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentHome				31
Total acquisition cost				$ 9,066
Form of Consideration
Cash				1,290
Units				1,748
Other				6,028
Investment Allocation
Land		941		941
Building		7,853		7,853
Intangible Assets		335		335
Other		(63)		$ (63)
Zest - Minneapolis, MN
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentHome				45
Total acquisition cost				$ 11,364
Form of Consideration
Cash				1,429
Units				2,249
Other				7,686
Investment Allocation
Land		936		936
Building		10,261		10,261
Intangible Assets		574		574
Other		(407)		$ (407)
Noko Apartments - Minneapolis, MN
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentHome				130
Total acquisition cost				$ 46,619
Form of Consideration
Cash				3,343
Units				0
Other				43,276
Investment Allocation
Land		1,915		1,915
Building		42,754		42,754
Intangible Assets		1,950		1,950
Other		$ 0		$ 0
2021 Acquisitions
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired	17		0
Union Pointe Apartment Homes - Longmont, CO
Acquisitions and development projects placed in service [Abstract]
Number of apartment homes acquired | apartmentHome					256
Total acquisition cost					$ 76,900
Form of Consideration
Cash					76,900
Investment Allocation
Land			$ 5,727		5,727
Building			69,966		69,966
Intangible Assets			$ 1,207		$ 1,207

ACQUISITIONS AND DISPOSITIONS_2

ACQUISITIONS AND DISPOSITIONS - Dispositions (Details) - Disposed of by Sale $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($) apartmentProperty	Jun. 30, 2021 USD ($) apartmentUnit	Jun. 30, 2022 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentProperty	0
Sales Price	$ 60,000	$ 60,000	$ 60,000
Book Value and Sales Cost	33,160		33,160
Gain/(Loss)			26,840
Multifamily | Crystal Bay - Rochester, MN
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentUnit		76
Sales Price	13,650		13,650
Book Value and Sales Cost	10,255		10,255
Gain/(Loss)			3,395
Multifamily | French Creek - Rochester, MN
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentUnit		40
Sales Price	6,700		6,700
Book Value and Sales Cost	4,474		4,474
Gain/(Loss)			2,226
Multifamily | Heritage Manor- Rochester, MN
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentUnit		182
Sales Price	14,125		14,125
Book Value and Sales Cost	4,892		4,892
Gain/(Loss)			9,233
Multifamily | Olympik Village - Rochester, MN
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentUnit		140
Sales Price	10,725		10,725
Book Value and Sales Cost	6,529		6,529
Gain/(Loss)			4,196
Multifamily | Winchester/Village Green-Rochester, MN
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of properties sold | apartmentUnit		151
Sales Price	14,800		14,800
Book Value and Sales Cost	$ 7,010		7,010
Gain/(Loss)			$ 7,790

SEGMENT REPORTING - Revenues an

SEGMENT REPORTING - Revenues and Net Operating Income for Reportable Segments (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) segment	Jun. 30, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | segment			1
Segment revenues and net operating income [Abstract]
Revenue	$ 63,116	$ 46,656	$ 123,430	$ 93,304
Property operating expenses, including real estate taxes	26,216	18,760	52,089	38,001
Net operating income	36,900	27,896	71,341	55,303
Property management	(2,721)	(2,085)	(4,974)	(3,852)
Casualty gain (loss)	(382)	27	(980)	(74)
Depreciation and amortization	(24,768)	(19,308)	(55,769)	(39,300)
General and administrative expenses	(5,221)	(3,797)	(9,721)	(7,703)
Gain (loss) on sale of real estate and other investments	27	26,840	27	26,840
Interest expense	(7,561)	(7,089)	(15,276)	(14,320)
Interest and other income (loss)	(17)	619	1,046	1,050
Net income (loss)	(3,743)	23,103	(14,306)	17,944
Multifamily
Segment revenues and net operating income [Abstract]
Revenue	62,201	44,957	121,599	89,198
Property operating expenses, including real estate taxes	25,986	17,967	51,529	35,841
Net operating income	36,215	26,990	70,070	53,357
All Other
Segment revenues and net operating income [Abstract]
Revenue	915	1,699	1,831	4,106
Property operating expenses, including real estate taxes	230	793	560	2,160
Net operating income	$ 685	$ 906	$ 1,271	$ 1,946

SEGMENT REPORTING - Segment Ass

SEGMENT REPORTING - Segment Assets and Accumulated Depreciation (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021
Segment Reporting Information [Line Items]
Property owned	$ 2,401,427	$ 2,271,170
Less accumulated depreciation	(487,834)	(443,592)
Total property owned	1,913,593	1,827,578
Mortgage loans receivable	0	43,276
Cash and cash equivalents	13,156	31,267	$ 5,194
Restricted cash	1,914	7,358	$ 8,444
Other assets	18,950	30,582
Total Assets	1,947,613	1,940,061
Multifamily
Segment Reporting Information [Line Items]
Property owned	2,374,726	2,244,250
Less accumulated depreciation	(480,113)	(436,004)
Total property owned	1,894,613	1,808,246
All Other
Segment Reporting Information [Line Items]
Property owned	26,701	26,920
Less accumulated depreciation	(7,721)	(7,588)
Total property owned	$ 18,980	$ 19,332

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) - Subject to Restrictions on Taxable Dispositions	Jun. 30, 2022 apartmentProperty apartmentHome
Real Estate Properties [Line Items]
Number of properties | apartmentProperty	37
Number of apartment units | apartmentHome	6,754

SHARE-BASED COMPENSATION - Addi

SHARE-BASED COMPENSATION - Additional Information (Details) $ / shares in Units, $ in Millions						6 Months Ended
	May 17, 2022 shares	Feb. 01, 2022 shares	Jan. 01, 2022 $ / shares shares	Jan. 01, 2021 shares	Sep. 15, 2015 shares	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares (in shares)					775,000
Term of award					10 years	3 years
Share price at grant date (in dollars per share) | $ / shares			$ 110.90
Stock-based compensation expense | $						$ 1.2	$ 1.5
Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options granted (in shares)			30,002
Fair value of stock options (in dollars per share) | $ / shares			$ 17.094
Time-based RSUs | Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (in shares)		1,295	5,849
Restricted shares vesting percentage		0.33%
Time-based RSUs | Trustee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (in shares)	6,563
Performance-based RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares eligible to be earned (in shares)				26,814
Shares eligible to be earned, percentage of awards granted				2
Expected volatility						22.40%
Risk-free rate						0.97%
Expected term						3 years
Performance-based RSUs | Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (in shares)			13,407
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted shares vesting percentage			25%
Stock Options | Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted shares vesting percentage		33%

SHARE-BASED COMPENSATION - Sche

SHARE-BASED COMPENSATION - Schedule of Assumptions Used in Black-Scholes Pricing Model (Details) - Stock Options - 2022 LTIP Awards	6 Months Ended
	Jun. 30, 2022 $ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price (in dollars per share)	$ 110.90
Risk-free rate	1.44%
Expected term	6 years 3 months
Expected volatility	21.20%
Dividend yield	2.597%