Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Nov. 01, 2013 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Entity Registrant Name | 'DDR CORP | ' |
Entity Central Index Key | '0000894315 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 359,243,879 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Land | $1,902,915 | $1,900,401 |
Buildings | 5,970,428 | 5,773,961 |
Fixtures and tenant improvements | 542,226 | 489,626 |
Total real estate rental property | 8,415,569 | 8,163,988 |
Less: Accumulated depreciation | -1,779,865 | -1,670,717 |
Real estate rental property, net | 6,635,704 | 6,493,271 |
Land held for development and construction in progress | 496,368 | 475,123 |
Real estate held for sale, net | 7,369 | 0 |
Total real estate assets, net | 7,139,441 | 6,968,394 |
Investments in and advances to joint ventures | 631,983 | 613,017 |
Cash and cash equivalents | 35,351 | 31,174 |
Restricted cash | 25,853 | 23,658 |
Notes receivable, net | 77,857 | 68,718 |
Other assets, net | 434,658 | 350,876 |
Total assets | 8,345,143 | 8,055,837 |
Unsecured indebtedness: | ' | ' |
Senior notes | 2,453,336 | 2,147,097 |
Unsecured term loan | 350,000 | 350,000 |
Revolving credit facilities | 42,869 | 147,905 |
Total unsecured indebtedness | 2,846,205 | 2,645,002 |
Secured indebtedness: | ' | ' |
Secured term loan | 400,000 | 400,000 |
Mortgage indebtedness | 1,349,852 | 1,274,141 |
Total secured indebtedness | 1,749,852 | 1,674,141 |
Total indebtedness | 4,596,057 | 4,319,143 |
Accounts payable and other liabilities | 346,933 | 326,024 |
Dividends payable | 49,826 | 44,210 |
Total liabilities | 4,992,816 | 4,689,377 |
Commitments and contingencies (Note 9) | ' | ' |
DDR Equity: | ' | ' |
Cumulative redeemable preferred shares | 205,000 | ' |
Common shares, with par value, $0.10 stated value; 600,000,000 and 500,000,000 shares authorized; 324,215,984 and 315,239,299 shares issued at September 30, 2013 and December 31, 2012, respectively | 32,422 | 31,524 |
Paid-in capital | 4,789,730 | 4,629,257 |
Accumulated distributions in excess of net income | -1,867,741 | -1,694,822 |
Deferred compensation obligation | 16,492 | 15,556 |
Accumulated other comprehensive loss | -29,866 | -27,925 |
Less: Common shares in treasury at cost: 980,825 and 977,673 shares at September 30, 2013 and December 31, 2012, respectively | -17,484 | -16,452 |
Total DDR shareholders' equity | 3,328,553 | 3,342,138 |
Non-controlling interests | 23,774 | 24,322 |
Total equity | 3,352,327 | 3,366,460 |
Total liabilities and equity | 8,345,143 | 8,055,837 |
Class H Preferred Shares [Member] | ' | ' |
DDR Equity: | ' | ' |
Cumulative redeemable preferred shares | 55,000 | 205,000 |
Class J Preferred Shares [Member] | ' | ' |
DDR Equity: | ' | ' |
Cumulative redeemable preferred shares | 200,000 | 200,000 |
Class K Preferred Shares [Member] | ' | ' |
DDR Equity: | ' | ' |
Cumulative redeemable preferred shares | $150,000 | $0 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Common shares, par value | $0.10 | $0.10 |
Common shares, shares authorized | 600,000,000 | 500,000,000 |
Common shares, shares issued | 324,215,984 | 315,239,299 |
Treasury at cost | 980,825 | 977,673 |
Class H Preferred Shares [Member] | ' | ' |
Cumulative redeemable preferred shares, liquidation value | $500 | $500 |
Cumulative redeemable preferred shares, shares authorized | 750,000 | 750,000 |
Cumulative redeemable preferred shares, shares issued | 110,000 | 410,000 |
Cumulative redeemable preferred shares, shares outstanding | 110,000 | 410,000 |
Preferred stock dividend rate | 7.38% | 7.38% |
Cumulative redeemable preferred shares, par value | ' | ' |
Class J Preferred Shares [Member] | ' | ' |
Cumulative redeemable preferred shares, liquidation value | $500 | $500 |
Cumulative redeemable preferred shares, shares authorized | 750,000 | 750,000 |
Cumulative redeemable preferred shares, shares issued | 400,000 | 400,000 |
Cumulative redeemable preferred shares, shares outstanding | 400,000 | 400,000 |
Preferred stock dividend rate | 6.50% | 6.50% |
Class K Preferred Shares [Member] | ' | ' |
Cumulative redeemable preferred shares, liquidation value | $500 | ' |
Cumulative redeemable preferred shares, shares authorized | 750,000 | ' |
Cumulative redeemable preferred shares, shares issued | 300,000 | ' |
Cumulative redeemable preferred shares, shares outstanding | 300,000 | ' |
Preferred stock dividend rate | 6.25% | ' |
Cumulative redeemable preferred shares, par value | ' | ' |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues from operations: | ' | ' | ' | ' |
Minimum rents | $150,654 | $134,046 | $436,950 | $387,299 |
Percentage and overage rents | 885 | 296 | 3,261 | 2,433 |
Recoveries from tenants | 48,443 | 41,839 | 140,896 | 123,953 |
Fee and other income | 19,386 | 21,096 | 58,934 | 57,369 |
Total revenue from operations | 219,368 | 197,277 | 640,041 | 571,054 |
Rental operation expenses: | ' | ' | ' | ' |
Operating and maintenance | 34,728 | 31,287 | 101,412 | 93,215 |
Real estate taxes | 28,541 | 24,668 | 82,940 | 73,326 |
Impairment charges | 24,136 | 2,560 | 54,134 | 44,692 |
General and administrative | 19,246 | 18,547 | 59,123 | 56,691 |
Depreciation and amortization | 74,141 | 59,620 | 211,200 | 178,535 |
Total rental operation expenses | 180,792 | 136,682 | 508,809 | 446,459 |
Other income (expense): | ' | ' | ' | ' |
Interest income | 6,691 | 5,661 | 20,365 | 9,829 |
Interest expense | -57,936 | -53,724 | -166,990 | -161,203 |
Loss on debt retirement, net | ' | ' | 0 | -13,495 |
Other income (expense), net | -2,282 | -1,868 | -3,288 | -7,100 |
Total other income (expense) | -53,527 | -49,931 | -149,913 | -171,969 |
(Loss) income before earnings from equity method investments and other items | -14,951 | 10,664 | -18,681 | -47,374 |
Equity in net income of joint ventures | 3,780 | 5,486 | 5,543 | 16,966 |
Impairment of joint venture investments | 0 | -26,111 | 0 | -26,671 |
Gain on change in control of interests | 0 | 40,645 | 1,066 | 79,993 |
(Loss) income before tax expense of taxable REIT subsidiaries and state franchise and income taxes | -11,171 | 30,684 | -12,072 | 22,914 |
Tax expense of taxable REIT subsidiaries and state franchise and income taxes | -406 | -263 | -2,481 | -798 |
(Loss) income from continuing operations | -11,577 | 30,421 | -14,553 | 22,116 |
Income (loss) from discontinued operations | 9,443 | -3,816 | -2,623 | -53,671 |
(Loss) income before gain on disposition of real estate | -2,134 | 26,605 | -17,176 | -31,555 |
Gain on disposition of real estate, net of tax | 1,929 | 261 | 347 | 6,161 |
Net (loss) income | -205 | 26,866 | -16,829 | -25,394 |
Non-controlling interests | -170 | -128 | -556 | -424 |
Net (loss) income attributable to DDR | -375 | 26,738 | -17,385 | -25,818 |
Write-off of preferred share original issuance costs | 0 | -5,804 | -5,246 | -5,804 |
Preferred dividends | -6,608 | -7,681 | -21,113 | -21,616 |
Net (loss) income attributable to DDR common shareholders | ($6,983) | $13,253 | ($43,744) | ($53,238) |
Basic earnings per share data: | ' | ' | ' | ' |
(Loss) income from continuing operations attributable to DDR common shareholders | ($0.05) | $0.05 | ($0.13) | $0 |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.19) |
Net (loss) income attributable to DDR common shareholders | ($0.02) | $0.04 | ($0.14) | ($0.19) |
Diluted earnings per share data: | ' | ' | ' | ' |
(Loss) income from continuing operations attributable to DDR common shareholders | ($0.05) | $0.05 | ($0.13) | $0 |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.19) |
Net (loss) income attributable to DDR common shareholders | ($0.02) | $0.04 | ($0.14) | ($0.19) |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Loss (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net (loss) income | ($205) | $26,866 | ($16,829) | ($25,394) |
Other comprehensive (loss) income: | ' | ' | ' | ' |
Foreign currency translation | -429 | 6,662 | -16,364 | -11,757 |
Change in fair value of interest-rate contracts | -1,537 | -3,988 | 11,107 | -14,995 |
Amortization of interest-rate contracts | 118 | 415 | 354 | 235 |
Unrealized gains on available-for-sale securities | 2,639 | 0 | 2,639 | 0 |
Total other comprehensive income (loss) | 791 | 3,089 | -2,264 | -26,517 |
Comprehensive income (loss) | 586 | 29,955 | -19,093 | -51,911 |
Comprehensive (loss) income attributable to non-controlling interests: | ' | ' | ' | ' |
Allocation of net income | -170 | -128 | -556 | -424 |
Foreign currency translation | -290 | -558 | 323 | -423 |
Total comprehensive loss attributable to non-controlling interests | -460 | -686 | -233 | -847 |
Total comprehensive income (loss) attributable to DDR | $126 | $29,269 | ($19,326) | ($52,758) |
Consolidated_Statement_of_Equi
Consolidated Statement of Equity (USD $) | Total | Preferred Shares [Member] | Common Shares [Member] | Paid-in Capital [Member] | Accumulated Distributions in Excess of Net Income [Member] | Deferred Compensation Obligation [Member] | Accumulated Other Comprehensive Loss [Member] | Treasury Stock at Cost [Member] | Non-Controlling Interests [Member] |
In Thousands | |||||||||
Balance at Dec. 31, 2012 | $3,366,460 | $405,000 | $31,524 | $4,629,257 | ($1,694,822) | $15,556 | ($27,925) | ($16,452) | $24,322 |
Issuance of common shares related to stock plans | 1,545 | ' | 10 | 1,280 | ' | ' | ' | 255 | ' |
Issuance of common shares for cash offering | 158,048 | ' | 888 | 155,923 | ' | ' | ' | 1,237 | ' |
Issuance of preferred shares | 144,863 | 150,000 | ' | -5,137 | ' | ' | ' | ' | ' |
Issuance of restricted stock | ' | ' | ' | -3,118 | ' | 1,103 | ' | 2,015 | ' |
Vesting of restricted stock | -1,664 | ' | ' | 3,042 | ' | -167 | ' | -4,539 | ' |
Stock-based compensation | 3,237 | ' | ' | 3,237 | ' | ' | ' | ' | ' |
Contributions from non-controlling interests | 281 | ' | ' | ' | ' | ' | ' | ' | 281 |
Distributions to non-controlling interests | -1,062 | ' | ' | ' | ' | ' | ' | ' | -1,062 |
Redemption of preferred shares | -150,000 | -150,000 | ' | 5,246 | -5,246 | ' | ' | ' | ' |
Dividends declared-common shares | -129,210 | ' | ' | ' | -129,210 | ' | ' | ' | ' |
Dividends declared-preferred shares | -21,078 | ' | ' | ' | -21,078 | ' | ' | ' | ' |
Comprehensive (loss) income | -19,093 | ' | ' | ' | -17,385 | ' | -1,941 | ' | 233 |
Balance at Sep. 30, 2013 | $3,352,327 | $405,000 | $32,422 | $4,789,730 | ($1,867,741) | $16,492 | ($29,866) | ($17,484) | $23,774 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Assets | Assets | |
Statement Of Cash Flows [Abstract] | ' | ' |
Net cash flow provided by operating activities: | $276,678,000 | $197,425,000 |
Cash flow from investing activities: | ' | ' |
Real estate acquired, net of liabilities assumed | -326,661,000 | -236,580,000 |
Real estate developed and improvements to operating real estate | -158,909,000 | -138,348,000 |
Proceeds from disposition of real estate | 156,654,000 | 96,736,000 |
Equity contributions to joint ventures | -20,143,000 | -54,803,000 |
Issuance of joint venture advances, net | -41,000,000 | -149,921,000 |
Distributions of proceeds from sale and refinancing of joint venture interests | 1,696,000 | 1,034,000 |
Return of investments in joint ventures | 5,479,000 | 9,517,000 |
Purchase of securities available for sale | -1,800,000 | 0 |
Issuance of notes receivable | -22,014,000 | -592,000 |
Repayment of notes receivable | 13,715,000 | 975,000 |
Change in restricted cash - capital improvements | -2,526,000 | 6,681,000 |
Net cash flow used for investing activities: | -395,509,000 | -465,301,000 |
Cash flow from financing activities: | ' | ' |
(Repayments) proceeds of revolving credit facilities, net | -104,340,000 | 66,502,000 |
Proceeds from issuance of senior notes, net of underwriting commissions and offering expenses of $650 and $709 in 2013 and 2012, respectively | 295,591,000 | 291,503,000 |
Repayment of senior notes | 0 | -445,682,000 |
Proceeds from mortgages and other secured debt | 45,042,000 | 353,506,000 |
Repayment of term loans and mortgage debt | -112,835,000 | -327,905,000 |
Payment of debt issuance costs | -3,921,000 | -9,038,000 |
Redemption of preferred shares | -150,000,000 | -170,000,000 |
Proceeds from issuance of preferred shares, net of underwriting commissions and offering expenses of $412 and $845 in 2013 and 2012, respectively | 144,863,000 | 192,855,000 |
Proceeds from issuance of common shares, net of underwriting commissions and offering expenses of $473 and $805 in 2013 and 2012, respectively | 158,048,000 | 418,522,000 |
Repurchase of common shares in conjunction with equity award plans | -4,060,000 | -2,757,000 |
Contributions from non-controlling interests | 281,000 | 249,000 |
Distributions to non-controlling interests and redeemable operating partnership units | -1,057,000 | -8,774,000 |
Dividends paid | -144,671,000 | -111,523,000 |
Net cash flow provided by financing activities: | 122,941,000 | 247,458,000 |
Cash and cash equivalents | ' | ' |
Increase (decrease) in cash and cash equivalents | 4,110,000 | -20,418,000 |
Effect of exchange rate changes on cash and cash equivalents | 67,000 | -561,000 |
Cash and cash equivalents, beginning of period | 31,174,000 | 41,206,000 |
Cash and cash equivalents, end of period | 35,351,000 | 20,227,000 |
Supplemental disclosure of non-cash investing and financing activities: | ' | ' |
Dividends payable | 49,826,000 | 43,200,000 |
Portion of debt to acquire the assets | 148,500,000 | 25,400,000 |
Accounts payable and other liabilities to acquire the assets | ' | ' |
Number of joint venture assets acquired | 5 | 5 |
Reversal of previously held equity interest recorded in Investments and Advances to Joint Ventures | 15,400,000 | 36,800,000 |
Increase in net assets | 1,000,000 | 80,000,000 |
Cumulative redeemable preferred shares, redeemed value | 150,000,000 | ' |
Cumulative redeemable preferred shares | 205,000,000 | ' |
Preferred stock dividend rate | 7.38% | 7.50% |
Preferred stock issuance cost write off | 5,246,000 | 5,804,000 |
Real Estate Expenditures included in Accounts Payable | 25,100,000 | ' |
Value of assumed debt | ' | $246,200,000 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (Parenthetical) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Statement Of Cash Flows [Abstract] | ' | ' |
Senior notes, issuance cost | $650 | $709 |
Preferred shares, issuance cost | 412 | 845 |
Common shares, issuance cost | $473 | $805 |
Nature_of_Business_and_Financi
Nature of Business and Financial Statement Presentation | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Nature of Business and Financial Statement Presentation | ' |
1. NATURE OF BUSINESS AND FINANCIAL STATEMENT PRESENTATION | |
DDR Corp. and its related real estate joint ventures and subsidiaries (collectively, the “Company” or “DDR”) are primarily engaged in the business of acquiring, owning, developing, redeveloping, expanding, leasing and managing shopping centers. In addition, the Company engages in the origination and acquisition of loans and debt securities, which are generally collateralized directly or indirectly by shopping centers. Unless otherwise provided, references herein to the Company or DDR include DDR Corp., its wholly-owned and majority-owned subsidiaries and its consolidated and unconsolidated joint ventures. The Company’s tenant base primarily includes national and regional retail chains and local retailers. Consequently, the Company’s credit risk is concentrated in the retail industry. | |
Use of Estimates in Preparation of Financial Statements | |
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during the year. Actual results could differ from those estimates. | |
Unaudited Interim Financial Statements | |
These financial statements have been prepared by the Company in accordance with generally accepted accounting principles for interim financial information and the applicable rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all information and footnotes required by generally accepted accounting principles for complete financial statements. However, in the opinion of management, the interim financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the results of the periods presented. The results of operations for the three- and nine-month periods ended September 30, 2013 and 2012, are not necessarily indicative of the results that may be expected for the full year. These condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012, as amended. | |
Principles of Consolidation | |
The condensed consolidated financial statements include the results of the Company and all entities in which the Company has a controlling interest or has been determined to be the primary beneficiary of a variable interest entity (“VIE”). Investments in joint ventures that the Company does not control are accounted for under the equity method of accounting. | |
At September 30, 2013 and December 31, 2012, the Company’s investments in consolidated real estate joint ventures in which the Company was deemed to be the primary beneficiary had total real estate assets of $186.3 million and $184.6 million, respectively, mortgages of $19.4 million and $21.5 million, respectively, and other liabilities of $1.8 million and $1.9 million, respectively. | |
New Accounting Standards Implemented | |
Presentation of Other Comprehensive Income | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued guidance on the presentation of comprehensive income. This guidance requires presentation of reclassification adjustments from other comprehensive income to net income in a single note or on the face of the financial statements. This guidance was effective for the Company on January 1, 2013. This guidance did not materially impact the Company’s consolidated financial statements. |
Investments_in_and_Advances_to
Investments in and Advances to Joint Ventures | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity Method Investments And Joint Ventures [Abstract] | ' | ||||||||||||||||
Investments in and Advances to Joint Ventures | ' | ||||||||||||||||
2. INVESTMENTS IN AND ADVANCES TO JOINT VENTURES | |||||||||||||||||
At September 30, 2013 and December 31, 2012, the Company had ownership interests in various unconsolidated joint ventures that had an investment in 203 and 206 shopping center properties, respectively. Condensed combined financial information of the Company’s unconsolidated joint venture investments is as follows (in thousands): | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Condensed Combined Balance Sheets | |||||||||||||||||
Land | $ | 1,552,832 | $ | 1,569,548 | |||||||||||||
Buildings | 4,653,035 | 4,681,462 | |||||||||||||||
Fixtures and tenant improvements | 284,451 | 244,293 | |||||||||||||||
6,490,318 | 6,495,303 | ||||||||||||||||
Less: Accumulated depreciation | (873,212 | ) | (833,816 | ) | |||||||||||||
5,617,106 | 5,661,487 | ||||||||||||||||
Land held for development and construction in progress | 283,241 | 348,822 | |||||||||||||||
Real estate, net | 5,900,347 | 6,010,309 | |||||||||||||||
Cash and restricted cash(A) | 355,283 | 467,200 | |||||||||||||||
Receivables, net | 104,422 | 99,098 | |||||||||||||||
Other assets | 410,985 | 427,014 | |||||||||||||||
$ | 6,771,037 | $ | 7,003,621 | ||||||||||||||
Mortgage debt | $ | 4,210,034 | $ | 4,246,407 | |||||||||||||
Notes and accrued interest payable to DDR(B) | 156,743 | 143,338 | |||||||||||||||
Other liabilities | 293,711 | 342,614 | |||||||||||||||
4,660,488 | 4,732,359 | ||||||||||||||||
Redeemable preferred equity | 198,521 | 154,556 | |||||||||||||||
Accumulated equity | 1,912,028 | 2,116,706 | |||||||||||||||
$ | 6,771,037 | $ | 7,003,621 | ||||||||||||||
Company’s share of Accumulated Equity | $ | 391,417 | $ | 432,500 | |||||||||||||
(A) | Includes $230.8 million and $347.9 million at September 30, 2013 and December 31, 2012, respectively, from Sonae Sierra Brasil. | ||||||||||||||||
(B) | The Company has net amounts receivable from several joint ventures aggregating $35.9 million and $34.3 million at September 30, 2013 and December 31, 2012, respectively, which are included in Investments in and Advances to Joint Ventures on the condensed consolidated balance sheets. The remaining amounts were fully reserved by the Company in prior years. | ||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Condensed Combined Statements of Operations | |||||||||||||||||
Revenues from operations | $ | 181,671 | $ | 183,187 | $ | 545,603 | $ | 498,018 | |||||||||
Operating expenses(A) | 65,435 | 62,191 | 191,389 | 174,252 | |||||||||||||
Impairment charges | 21,875 | — | 66,438 | 840 | |||||||||||||
Depreciation and amortization | 58,080 | 64,491 | 179,027 | 142,361 | |||||||||||||
Interest expense | 58,433 | 58,876 | 175,840 | 167,740 | |||||||||||||
203,823 | 185,558 | 612,694 | 485,193 | ||||||||||||||
(Loss) income before tax expense and discontinued operations | (22,152 | ) | (2,371 | ) | (67,091 | ) | 12,825 | ||||||||||
Income tax expense (primarily Sonae Sierra Brasil), net | (6,446 | ) | (6,591 | ) | (20,299 | ) | (18,781 | ) | |||||||||
Loss from continuing operations | (28,598 | ) | (8,962 | ) | (87,390 | ) | (5,956 | ) | |||||||||
Discontinued operations: | |||||||||||||||||
Loss from discontinued operations | (2,403 | ) | (42,976 | ) | (7,054 | ) | (57,661 | ) | |||||||||
(Loss) gain on disposition of real estate, net of tax(B) | (21,228 | ) | 1,183 | (27,133 | ) | 1,290 | |||||||||||
Loss before gain on disposition of real estate, net | (52,229 | ) | (50,755 | ) | (121,577 | ) | (62,327 | ) | |||||||||
Gain on disposition of real estate, net | 151 | 1,128 | 794 | 14,230 | |||||||||||||
Net loss | $ | (52,078 | ) | $ | (49,627 | ) | $ | (120,783 | ) | $ | (48,097 | ) | |||||
Non-controlling interests | (5,800 | ) | (6,155 | ) | (19,715 | ) | (19,689 | ) | |||||||||
Net loss attributable to unconsolidated joint ventures | $ | (57,878 | ) | $ | (55,782 | ) | $ | (140,498 | ) | $ | (67,786 | ) | |||||
Company’s share of equity in net income (loss) of joint ventures(C) | $ | 2,800 | $ | (1,613 | ) | $ | 4,328 | $ | 11,739 | ||||||||
Amortization of basis differentials(D) | 980 | 7,099 | 1,215 | 5,227 | |||||||||||||
Equity in net income of joint ventures | $ | 3,780 | $ | 5,486 | $ | 5,543 | $ | 16,966 | |||||||||
(A) | Operating expenses for the nine-month period ended September 30, 2012, include transaction costs associated with the formation of the unconsolidated joint venture BRE DDR Retail Holdings I. | ||||||||||||||||
(B) | Primarily attributable to an investment in the Coventry II Fund in which the Company had a 20% interest. The joint venture recorded a loss of $32.6 million on the transfer of its ownership of one of its properties to the lender. The Company’s share of the loss is zero as the Company had previously written off its investment in this operating property. | ||||||||||||||||
(C) | The Company is not recording income or loss from those investments in which its investment basis is zero and the Company does not have the obligation or intent to fund any additional capital. | ||||||||||||||||
(D) | The difference between the Company’s share of net loss, as reported above, and the amounts included in the condensed consolidated statements of operations is attributable to the amortization of basis differentials, deferred gains and differences in gain (loss) on sale of certain assets due to the basis differentials and other than temporary impairment charges. | ||||||||||||||||
Investments in and Advances to Joint Ventures include the following items, which represent the difference between the Company’s investment basis and its share of all of the unconsolidated joint ventures’ underlying net assets (in millions): | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Company’s share of accumulated equity | $ | 391.4 | $ | 432.5 | |||||||||||||
Redeemable preferred equity and other(A) | 199 | (B) | 155 | ||||||||||||||
Basis differentials | 8.6 | (5.9 | ) | ||||||||||||||
Deferred development fees, net of portion related to the Company’s interest | (2.9 | ) | (2.9 | ) | |||||||||||||
Notes and accrued interest payable to DDR | 35.9 | (B) | 34.3 | ||||||||||||||
Investments in and Advances to Joint Ventures | $ | 632 | $ | 613 | |||||||||||||
(A) | Primarily relates to $198.5 million and $154.6 million of preferred equity investments through investments with affiliates of Blackstone Real Estate Partners VII L.P. (“Blackstone”) at September 30, 2013 and December 31, 2012, respectively. | ||||||||||||||||
(B) | In conjunction with the Company’s acquisition of its joint venture partner’s interest in 30 assets in October 2013, $148.8 million was applied to fund the acquisition cost of the assets (Note 17). | ||||||||||||||||
Service fees and income earned by the Company through management, financing, leasing and development activities performed related to all of the Company’s unconsolidated joint ventures are as follows (in millions): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Management and other fees | $ | 7.4 | $ | 7.6 | $ | 22.6 | $ | 20.9 | |||||||||
Development fees and leasing commissions | 2.7 | 2.3 | 7.9 | 6.2 | |||||||||||||
Interest income | 5.3 | 4.7 | 14.4 | 5.1 | |||||||||||||
BRE DDR Retail Holdings II Joint Venture | |||||||||||||||||
In August 2013, a newly formed joint venture between consolidated affiliates of the Company and an affiliate of Blackstone acquired a portfolio of seven prime shopping centers, (“BRE DDR Retail Holdings II”). The purchase price was $332.0 million, including assumed debt of $206.6 million and $28.0 million of new mortgage debt. An affiliate of Blackstone owns 95% of the common equity of the joint venture and an affiliate of DDR owns the remaining 5%. DDR also invested $30.0 million in preferred equity in the joint venture with a fixed dividend rate of 9%. DDR’s investment was funded primarily through proceeds from asset sales. DDR will provide leasing and management services and has certain rights allowing it to potentially acquire four assets in the portfolio. | |||||||||||||||||
DDRTC Core Retail Fund LLC | |||||||||||||||||
In April 2013, the Company purchased its unconsolidated joint venture partner’s 85% ownership interest in five assets. The aggregate purchase price of these assets was $110.5 million. The Company recorded an aggregate Gain on Change in Control of Interests related to the difference between the Company’s carrying value and fair value of the previously held equity interest. At closing, $92.4 million of aggregate mortgage debt was repaid. Upon acquisition, these shopping centers were unencumbered and consolidated into the Company’s results from operations. |
Acquisitions
Acquisitions | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Acquisitions | ' | ||||||||||||||||
3. ACQUISITIONS | |||||||||||||||||
In the nine-month period ended September 30, 2013, the Company acquired the following operating shopping centers: | |||||||||||||||||
Location | Date Acquired | Gross | Face Value of | ||||||||||||||
Purchase | Mortgage | ||||||||||||||||
Price | Debt | ||||||||||||||||
(in millions) | Assumed | ||||||||||||||||
(in millions) | |||||||||||||||||
Orlando, FL and Atlanta, GA | Jul-13 | $ | 258.5 | $ | 139.4 | ||||||||||||
Parcels adjacent to existing shopping centers | Jun-13 | 11.7 | N/A | ||||||||||||||
Tampa, FL, Atlanta, GA, Newport News, VA and Richmond, VA (2 assets) (A) | Apr-13 | 110.5 | N/A | ||||||||||||||
Dallas, TX | Mar-13 | 40.3 | N/A | ||||||||||||||
Oakland, CA | Feb-13 | 41.1 | N/A | ||||||||||||||
(A) | Acquired from unconsolidated joint venture. | ||||||||||||||||
The Company accounted for these acquisitions utilizing the purchase method of accounting. The acquisition cost of the operating shopping centers was allocated as follows (in thousands): | |||||||||||||||||
Weighted Average | |||||||||||||||||
Amortization Period | |||||||||||||||||
(in Years) | |||||||||||||||||
Land | $ | 76,915 | N/A | ||||||||||||||
Buildings | 323,047 | N/A | |||||||||||||||
Tenant improvements | 9,714 | N/A | |||||||||||||||
In-place leases (including lease origination costs and fair market value of leases)(A) | 52,253 | 5.9 | |||||||||||||||
Tenant relations | 25,916 | 7.2 | |||||||||||||||
487,845 | |||||||||||||||||
Less: Mortgage debt assumed | (148,497 | ) | |||||||||||||||
Less: Below-market leases | (16,716 | ) | 18.7 | ||||||||||||||
Net assets acquired | $ | 322,632 | |||||||||||||||
(A) | Includes above-market value of leases of $6.0 million. | ||||||||||||||||
Consideration: | |||||||||||||||||
Cash (including debt repaid at closing) | $ | 306,100 | |||||||||||||||
Fair value of previously held equity interests | 16,532 | ||||||||||||||||
Total consideration | $ | 322,632 | |||||||||||||||
The costs related to the acquisition of these assets, which were not material, were expensed as incurred and included in other income (expense), net. | |||||||||||||||||
The following unaudited supplemental pro forma operating data is presented for the three- and nine-month periods ended September 30, 2013 and 2012, as if the acquisition of the interests in the properties acquired in 2013 and 2012 was completed on January 1, 2012 (in thousands, except per share amounts). The Gain on Change in Control related to the acquisitions from unconsolidated joint ventures was adjusted to the assumed acquisition date. The unaudited supplemental pro forma operating data is not necessarily indicative of what the actual results of operations of the Company would have been assuming the transactions had been completed as set forth above, nor do they purport to represent the Company’s results of operations for future periods. | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Pro forma revenues | $ | 220,586 | $ | 214,349 | $ | 658,291 | $ | 631,873 | |||||||||
Pro forma loss from continuing operations | $ | (11,638 | ) | $ | (10,521 | ) | $ | (15,767 | ) | $ | (58,757 | ) | |||||
Pro forma income (loss) from discontinued operations | $ | 9,443 | $ | (3,816 | ) | $ | (2,623 | ) | $ | (53,671 | ) | ||||||
Pro forma net loss attributable to DDR common shareholders | $ | (7,044 | ) | $ | (27,689 | ) | $ | (44,958 | ) | $ | (134,111 | ) | |||||
Per share data: | |||||||||||||||||
Basic earnings per share data: | |||||||||||||||||
Loss from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | (0.07 | ) | $ | (0.13 | ) | $ | (0.26 | ) | |||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.17 | ) | ||||||||||
Net loss attributable to DDR common shareholders | $ | (0.02 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.43 | ) | |||||
Diluted earnings per share data: | |||||||||||||||||
Loss from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | (0.07 | ) | $ | (0.13 | ) | $ | (0.26 | ) | |||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.17 | ) | ||||||||||
Net loss attributable to DDR common shareholders | $ | (0.02 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.43 | ) | |||||
Notes_Receivable
Notes Receivable | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Receivables [Abstract] | ' | ||||||||
Notes Receivable | ' | ||||||||
4. NOTES RECEIVABLE | |||||||||
The Company has notes receivable, including accrued interest, that are collateralized by certain rights in development projects, partnership interests, sponsor guaranties and/or real estate assets, some of which are subordinate to other financings. | |||||||||
Notes receivable consist of the following (in thousands): | |||||||||
September 30, | December 31, | ||||||||
2013 | 2012 | ||||||||
Loans receivable | $ | 71,645 | $ | 60,378 | |||||
Other notes | 1,038 | 3,093 | |||||||
Tax Increment Financing Bonds (“TIF Bonds”)(A) | 5,174 | 5,247 | |||||||
$ | 77,857 | $ | 68,718 | ||||||
(A) | Principal and interest are payable solely from the incremental real estate taxes, if any, generated by the respective shopping center and development project pursuant to the terms of the financing agreement. | ||||||||
As of September 30, 2013 and December 31, 2012, the Company had seven and six loans receivable outstanding, respectively. The following table reconciles the loans receivable on real estate for the nine-month periods ended September 30, 2013 and 2012 (in thousands): | |||||||||
2013 | 2012 | ||||||||
Balance at January 1 | $ | 60,378 | $ | 84,541 | |||||
Additions: | |||||||||
New mortgage loans | 21,967 | 592 | |||||||
Interest | 319 | 790 | |||||||
Accretion of discount | 651 | 615 | |||||||
Deductions: | |||||||||
Payments of principal and interest | (11,670 | ) | — | ||||||
Other(A) | — | (31,700 | ) | ||||||
Balance at September 30 | $ | 71,645 | $ | 54,838 | |||||
(A) | Loan assumed by the Company’s unconsolidated joint venture BRE DDR Retail Holdings I and reclassified into Investments in and Advances to Joint Ventures in the Company’s consolidated balance sheet at December 31, 2012, upon the Company’s acquisition of its equity interest of the joint venture. This loan was applied toward funding of the Company’s acquisition of its joint venture partner’s interest in 30 prime power centers that were previously owned by BRE DDR Retail Holdings I (the “Blackstone Acquisition”) (Note 17). | ||||||||
In addition, at September 30, 2013, the Company had one loan outstanding aggregating $9.8 million that matured in September 2011 and was more than 90 days past due. The Company is no longer accruing interest income on this note as no payments have been received. A loan loss reserve of $4.3 million was established in 2012 based on the estimated value of the underlying real estate collateral. |
Other_Assets_Net
Other Assets, Net | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||
Other Assets, Net | ' | ||||||||
5. OTHER ASSETS, NET | |||||||||
Other assets consist of the following (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Intangible assets: | |||||||||
In-place leases (including lease origination costs and fair market value of leases), net | $ | 102,485 | $ | 67,105 | |||||
Tenant relations, net | 79,358 | 62,175 | |||||||
Total intangible assets, net(A) | 181,843 | 129,280 | |||||||
Other assets: | |||||||||
Accounts receivable, net(B) | 119,061 | 126,228 | |||||||
Deferred charges, net | 38,367 | 42,498 | |||||||
Prepaid expenses | 15,850 | 12,469 | |||||||
Other assets | 44,042 | 29,821 | |||||||
Deposits | 35,495 | 10,580 | |||||||
Total other assets, net | $ | 434,658 | $ | 350,876 | |||||
(A) | The Company recorded amortization expense of $8.6 million and $4.9 million for the three-month periods ended September 30, 2013 and 2012, and $22.4 million and $11.7 million for the nine-month periods ended September 30, 2013 and 2012, respectively, related to these intangible assets. | ||||||||
(B) | Includes straight-line rents receivable, net, of $61.4 million and $58.2 million at September 30, 2013 and December 31, 2012, respectively. |
Revolving_Credit_Facilities_an
Revolving Credit Facilities and Term Loans | 9 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||
Revolving Credit Facilities and Term Loans | ' | ||||||||||
6. REVOLVING CREDIT FACILITIES AND TERM LOANS | |||||||||||
The following table discloses certain information regarding the Company’s Revolving Credit Facilities (as defined below) and term loans (in millions): | |||||||||||
Carrying Value at | Weighted-Average | ||||||||||
Interest Rate at | |||||||||||
September 30, 2013 | September 30, 2013 | Maturity Date | |||||||||
Unsecured indebtedness: | |||||||||||
Unsecured Credit Facility | $ | 42.9 | 2.2 | % | April 2017 | ||||||
PNC Facility | — | N/A | Apr-17 | ||||||||
Unsecured Term Loan – Tranche 1 | 50 | 2.3 | % | January 2017 | |||||||
Unsecured Term Loan – Tranche 2 | 300 | 3.4 | % | Jan-19 | |||||||
Secured indebtedness: | |||||||||||
Secured Term Loan | 400 | 2 | % | Apr-17 | |||||||
Revolving Credit Facilities | |||||||||||
The Company maintains an unsecured revolving credit facility with a syndicate of financial institutions, arranged by JP Morgan Securities, LLC and Wells Fargo Securities, LLC (the “Unsecured Credit Facility”), which was last amended in January 2013. The Unsecured Credit Facility provides for borrowings of up to $750 million, if certain financial covenants are maintained, and an accordion feature for expansion of availability to $1.25 billion upon the Company’s request, provided that new or existing lenders agree to the existing terms of the facility and increase their commitment level and the ability to extend the maturity for one year to April 2018 at the Company’s option. The Unsecured Credit Facility includes a competitive bid option on periodic interest rates for up to 50% of the facility. The Unsecured Credit Facility also provides for an annual facility fee, which was 30 basis points on the entire facility at September 30, 2013. The Unsecured Credit Facility also allows for foreign currency-denominated borrowings. At September 30, 2013, the Company had US$5.0 million of Euro borrowings and US$25.4 million of Canadian dollar borrowings outstanding (Note 8). | |||||||||||
The Company also maintains a $65 million unsecured revolving credit facility with PNC Bank, National Association, (the “PNC Facility” and, together with the Unsecured Credit Facility, the “Revolving Credit Facilities”). The PNC Facility was also amended in January 2013 to reflect terms consistent with those contained in the Unsecured Credit Facility. | |||||||||||
The Company’s borrowings under the Revolving Credit Facilities bear interest at variable rates at the Company’s election, based on either (i) the prime rate plus a specified spread (0.40% at September 30, 2013), as defined in the respective facility, or (ii) LIBOR, plus a specified spread (1.40% at September 30, 2013). The specified spreads vary depending on the Company’s long-term senior unsecured debt rating from Moody’s Investors Service and Standard and Poor’s. The Company is required to comply with certain covenants relating to total outstanding indebtedness, secured indebtedness, maintenance of unencumbered real estate assets and fixed charge coverage. The Company was in compliance with these covenants at September 30, 2013. | |||||||||||
Secured Term Loan | |||||||||||
The Company maintains a collateralized term loan (the “Secured Term Loan”) with a syndicate of financial institutions, for which KeyBank National Association serves as the administrative agent, which was amended in January 2013. The Secured Term Loan includes an option to extend the maturity for one year to April 2018, at the Company’s option. Borrowings under the Secured Term Loan bear interest at variable rates based on LIBOR, as defined in the loan agreement, plus a specified spread based on the Company’s long-term senior unsecured debt rating (1.55% at September 30, 2013). The collateral for the Secured Term Loan is real estate assets, or investment interests in certain assets, that are already encumbered by first mortgage loans. The Company is required to comply with covenants similar to those contained in the Revolving Credit Facilities. The Company was in compliance with these covenants at September 30, 2013. |
Senior_Notes
Senior Notes | 9 Months Ended |
Sep. 30, 2013 | |
Debt Disclosure [Abstract] | ' |
Senior Notes | ' |
7. SENIOR NOTES | |
In May 2013, the Company issued $300 million aggregate principal amount of 3.375% senior unsecured notes due May 2023. The Company used the net proceeds to partially fund the Blackstone Acquisition (Note 17). |
Financial_Instruments
Financial Instruments | 9 Months Ended | ||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Financial Instruments | ' | ||||||||||||||||||||||||||||||||||||
8. FINANCIAL INSTRUMENTS | |||||||||||||||||||||||||||||||||||||
Measurement of Fair Value | |||||||||||||||||||||||||||||||||||||
At September 30, 2013, the Company used pay-fixed interest rate swaps to manage its exposure to changes in benchmark interest rates (the “Swaps”). The estimated fair values were determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves and volatility. The fair values of interest rate swaps are estimated using the market standard methodology of netting the discounted fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of interest rates (forward curves) derived from observable market interest rate curves. In addition, credit valuation adjustments, which consider the impact of any credit enhancements to the contracts, are incorporated in the fair values to account for potential nonperformance risk, including the Company’s own nonperformance risk and the respective counterparty’s nonperformance risk. The Company determined that the significant inputs used to value its derivatives fell within Level 2 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||
Items Measured at Fair Value on a Recurring Basis | |||||||||||||||||||||||||||||||||||||
The following table presents information about the Company’s financial assets and liabilities, which consist of interest rate swap agreements (included in Other Liabilities) and marketable securities (included in Other Assets), which include investments in the Company’s elective deferred compensation plan and investments in securities at September 30, 2013 and December 31, 2012, measured at fair value on a recurring basis, and indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions): | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||||
Assets (liabilities): | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments | $ | — | $ | (6.0 | ) | $ | — | $ | (6.0 | ) | |||||||||||||||||||||||||||
Marketable securities | $ | 7.5 | $ | — | $ | — | $ | 7.5 | |||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments | $ | — | $ | (17.1 | ) | $ | — | $ | (17.1 | ) | |||||||||||||||||||||||||||
Marketable securities | $ | 2.9 | $ | — | $ | — | $ | 2.9 | |||||||||||||||||||||||||||||
The unrealized gain of $11.1 million included in other comprehensive income (loss) (“OCI”) is attributable to the net change in fair value during the nine-month period ended September 30, 2013, related to derivative financial instruments, none of which were reported in the Company’s condensed consolidated statements of operations because the swaps are documented and qualify as hedging instruments. | |||||||||||||||||||||||||||||||||||||
Other Fair Value Instruments | |||||||||||||||||||||||||||||||||||||
Investments in unconsolidated joint ventures are considered financial assets. See discussion of related fair value considerations in Note 13. | |||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents, Restricted Cash, Accounts Receivable, Marketable Securities, Accounts Payable, Accrued Expenses and Other Liabilities | |||||||||||||||||||||||||||||||||||||
The carrying amounts reported in the condensed consolidated balance sheets for these financial instruments approximated fair value because of their short-term maturities. The Company’s marketable equity securities have been classified as available-for-sale and are recorded at fair value, with any realized gains and losses recorded using the specific identification method and any unrealized gains or losses recorded in OCI. The fair value of cash and cash equivalents, restricted cash and available-for-sale securities are classified as Level 1 in the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||
Notes Receivable and Advances to Affiliates | |||||||||||||||||||||||||||||||||||||
The fair value is estimated using a discounted cash flow analysis, in which the Company used unobservable inputs such as market interest rates determined by the loan to value and market capitalization rates related to the underlying collateral at which management believes similar loans would be made and classified as Level 3 in the fair value hierarchy. The fair value of these notes was approximately $305.9 million and $250.7 million at September 30, 2013 and December 31, 2012, respectively, as compared to the carrying amounts of $303.6 million and $250.4 million, respectively. The carrying value of the TIF bonds, which was $5.2 million at both September 30, 2013 and December 31, 2012, approximated their fair value. | |||||||||||||||||||||||||||||||||||||
Debt | |||||||||||||||||||||||||||||||||||||
The fair market value of senior notes, except senior convertible notes, is determined using the trading price of the Company’s public debt. The fair market value for all other debt is estimated using a discounted cash flow technique that incorporates future contractual interest and principal payments and a market interest yield curve with adjustments for duration, optionality and risk profile including the Company’s nonperformance risk and loan to value. The Company’s senior notes, except senior convertible notes, and all other debt including senior convertible notes are classified as Level 2 and Level 3, respectively, in the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||
Considerable judgment is necessary to develop estimated fair values of financial instruments. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize on disposition of the financial instruments. | |||||||||||||||||||||||||||||||||||||
Debt instruments at September 30, 2013 and December 31, 2012, with carrying values that are different than estimated fair values, are summarized as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Carrying | Fair Value | Carrying | Fair Value | ||||||||||||||||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||||||||||||||
Senior notes | $ | 2,453,336 | $ | 2,702,949 | $ | 2,147,097 | $ | 2,503,127 | |||||||||||||||||||||||||||||
Revolving Credit Facilities and term loans | 792,869 | 794,912 | 897,905 | 903,210 | |||||||||||||||||||||||||||||||||
Mortgage indebtedness | 1,349,852 | 1,371,949 | 1,274,141 | 1,324,969 | |||||||||||||||||||||||||||||||||
$ | 4,596,057 | $ | 4,869,810 | $ | 4,319,143 | $ | 4,731,306 | ||||||||||||||||||||||||||||||
Risk Management Objective of Using Derivatives | |||||||||||||||||||||||||||||||||||||
The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources and duration of its debt funding and, from time to time, through the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the values of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings. | |||||||||||||||||||||||||||||||||||||
The Company has interests in consolidated joint ventures that own real estate assets in Canada and Russia. The net assets of these subsidiaries are exposed to volatility in currency exchange rates. The Company uses non-derivative financial instruments to economically hedge a portion of this exposure. The Company manages its currency exposure related to the net assets of its Canadian and European subsidiaries through foreign currency-denominated debt agreements. | |||||||||||||||||||||||||||||||||||||
Cash Flow Hedges of Interest Rate Risk | |||||||||||||||||||||||||||||||||||||
The Company’s objectives in using interest rate derivatives are to manage its exposure to interest rate movements. To accomplish this objective, the Company generally uses interest rate swaps as part of its interest rate risk management strategy. Swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. | |||||||||||||||||||||||||||||||||||||
As of September 30, 2013 and December 31, 2012, the notional amount of the Company’s Swaps was $631.8 million and $632.8 million, respectively. The following table discloses certain information regarding the Company’s 10 outstanding interest rate swaps (not including the specified spreads), as well as their classification on the condensed consolidated balance sheets, as of September 30, 2013 and December 31, 2012 (in millions): | |||||||||||||||||||||||||||||||||||||
Maturity Date | Aggregate | Counterparty Pays | DDR Pays | Fair Value | |||||||||||||||||||||||||||||||||
Notional | Variable Rate | Fixed | |||||||||||||||||||||||||||||||||||
Amount | Rate | ||||||||||||||||||||||||||||||||||||
September 30, | December 31, | ||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Asset | Liability | Asset | Liability | ||||||||||||||||||||||||||||||||||
Jun-14 | $ | 100 | 1 Month LIBOR | 1 | % | $ | — | $ | (0.6 | ) | $ | — | $ | (1.2 | ) | ||||||||||||||||||||||
Jun-15 | $ | 50 | 1 Month LIBOR | 0.6 | % | — | (0.2 | ) | — | (0.3 | ) | ||||||||||||||||||||||||||
Jul-15 | $ | 100 | 1 Month LIBOR | 0.5 | % | — | (0.4 | ) | — | (0.5 | ) | ||||||||||||||||||||||||||
Sep-17 | $ | 81.8 | 1 Month LIBOR | 2.8 | % | — | (5.6 | ) | — | (7.8 | ) | ||||||||||||||||||||||||||
Jan-18 | $ | 100 | 1 Month LIBOR | 0.9 | % | 1 | — | — | (0.7 | ) | |||||||||||||||||||||||||||
Feb-19 | $ | 100 | 1 Month LIBOR | 1.6 | % | — | (0.3 | ) | — | (3.5 | ) | ||||||||||||||||||||||||||
Feb-19 | $ | 100 | 1 Month LIBOR | 1.5 | % | 0.1 | — | — | (3.1 | ) | |||||||||||||||||||||||||||
Other Assets | $ | 1.1 | N/A | $ | — | N/A | |||||||||||||||||||||||||||||||
Accounts Payable | N/A | $ | (7.1 | ) | N/A | $ | (17.1 | ) | |||||||||||||||||||||||||||||
All components of the Swaps were included in the assessment of hedge effectiveness. The Company expects that within the next 12 months it will reflect an increase to interest expense (and a corresponding decrease to earnings) of approximately $6.7 million, which includes amortization of previously settled interest rate contracts. | |||||||||||||||||||||||||||||||||||||
The effective portion of changes in the fair value of derivatives designated, and that qualify, as cash flow hedges is recorded in accumulated OCI and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. During 2013, such derivatives were used to hedge the forecasted variable cash flows associated with existing or probable future obligations. The ineffective portion of the change in the fair value of derivatives is recognized directly in earnings. During the nine-month periods ended September 30, 2013 and 2012, the amount of hedge ineffectiveness recorded was not material. | |||||||||||||||||||||||||||||||||||||
The Company is exposed to credit risk in the event of non-performance by the counterparties to the Swaps if the derivative position has a positive balance. The Company believes it mitigates its credit risk by entering into swaps with major financial institutions. The Company continually monitors and actively manages interest costs on its variable-rate debt portfolio and may enter into additional interest rate swap positions or other derivative interest rate instruments based on market conditions. The Company has not entered, and does not plan to enter, into any derivative financial instruments for trading or speculative purposes. | |||||||||||||||||||||||||||||||||||||
Credit Risk-Related Contingent Features | |||||||||||||||||||||||||||||||||||||
The Company has agreements with each of its Swap counterparties that contain a provision whereby if the Company defaults on certain of its unsecured indebtedness, the Company could also be declared in default on its Swaps, resulting in an acceleration of payment under the Swaps. | |||||||||||||||||||||||||||||||||||||
Net Investment Hedges | |||||||||||||||||||||||||||||||||||||
The Company is exposed to foreign exchange risk from its consolidated and unconsolidated international investments. The Company has foreign currency-denominated debt agreements that expose the Company to fluctuations in foreign exchange rates. The Company has designated these foreign currency borrowings as a hedge of its net investment in its Canadian and European subsidiaries. Changes in the spot rate value are recorded as adjustments to the debt balance with offsetting unrealized gains and losses recorded in OCI. Because the notional amount of the non-derivative instrument substantially matches the portion of the net investment designated as being hedged, and the non-derivative instrument is denominated in the functional currency of the hedged net investment, the hedge ineffectiveness recognized in earnings is not material. | |||||||||||||||||||||||||||||||||||||
Effect on Net Income (Loss) and OCI | |||||||||||||||||||||||||||||||||||||
The effect of the Company’s cash flow hedges and net investment hedge instruments on net income (loss) and OCI is as follows (in millions): | |||||||||||||||||||||||||||||||||||||
Amount of Gain (Loss) | Location of Gain | Amount of Gain (Loss) | |||||||||||||||||||||||||||||||||||
Recognized in OCI | (Loss) Reclassified | Reclassified from Accumulated OCI | |||||||||||||||||||||||||||||||||||
(Effective Portion) | from Accumulated | (Effective Portion) | |||||||||||||||||||||||||||||||||||
Three-Month | Nine-Month | OCI (Effective | Three-Month | Nine-Month | |||||||||||||||||||||||||||||||||
Periods Ended | Periods Ended | Portion) | Periods Ended | Periods Ended | |||||||||||||||||||||||||||||||||
September 30 | September 30 | September 30 | September 30 | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
Cash flow hedges: | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | (1.5 | ) | $ | (4.0 | ) | $ | 11.1 | $ | (10.3 | ) | Interest expense | $ | (0.1 | ) | $ | 0.4 | $ | (0.3 | ) | $ | 0.2 | |||||||||||||||
Net investment hedges: | |||||||||||||||||||||||||||||||||||||
Euro-denominated | $ | (0.2 | ) | $ | (0.2 | ) | $ | (0.1 | ) | $ | 0.1 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||
Canadian dollar-denominated | (0.5 | ) | (1.3 | ) | 0.8 | (0.9 | ) | — | — | — | — | ||||||||||||||||||||||||||
Total: | $ | (0.7 | ) | $ | (1.5 | ) | $ | 0.7 | $ | (0.8 | ) | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2013 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
9. COMMITMENTS AND CONTINGENCIES | |
Legal Matters | |
Coventry II | |
The Company is a party to various joint ventures with the Coventry II Fund, through which 10 existing or proposed retail properties, along with a portfolio of former Service Merchandise locations, were acquired at various times from 2003 through 2006. The properties were acquired by the joint ventures as value-add investments, with major renovation and/or ground-up development contemplated for many of the properties. The Company was generally responsible for day-to-day management of the properties through December 2011. On November 4, 2009, Coventry Real Estate Advisors L.L.C., Coventry Real Estate Fund II, L.L.C. and Coventry Fund II Parallel Fund, L.L.C. (collectively, “Coventry”) filed suit against the Company and certain of its affiliates and officers in the Supreme Court of the State of New York, County of New York. The complaint alleges that the Company: (i) breached contractual obligations under a co-investment agreement and various joint venture limited liability company agreements, project development agreements and management and leasing agreements; (ii) breached its fiduciary duties as a member of various limited liability companies; (iii) fraudulently induced the plaintiffs to enter into certain agreements; and (iv) made certain material misrepresentations. The complaint also requests that a general release made by Coventry in favor of the Company in connection with one of the joint venture properties be voided on the grounds of economic duress. The complaint seeks compensatory and consequential damages in an amount not less than $500 million, as well as punitive damages. | |
In response to this action, the Company filed a motion to dismiss the complaint or, in the alternative, to sever the plaintiffs’ claims. In June 2010, the court granted the motion in part (which was affirmed on appeal), dismissing Coventry’s claim that the Company breached a fiduciary duty owed to Coventry. The Company also filed an answer to the complaint, and asserted various counterclaims against Coventry. On October 10, 2011, the Company filed a motion for summary judgment, seeking dismissal of all of Coventry’s remaining claims. On April 18, 2013, the court issued an order granting the majority of the Company’s motion. Among other findings, the order dismissed all claims of fraud and misrepresentation against the Company and its officers, dismissed all claims for breach of the joint venture agreements and development agreements, and dismissed Coventry’s claim of economic duress. The court’s decision denied the Company’s motion solely with respect to several claims for breach of contract under the Company’s prior management agreements in connection with certain assets. Coventry appealed the court’s ruling. The Company cross-appealed the ruling with respect to those limited aspects of the motion that were not granted. | |
The Company believes that the allegations in the lawsuit are without merit and that it has strong defenses against this lawsuit. The Company will continue to vigorously defend itself against the allegations contained in the complaint. This lawsuit is subject to the uncertainties inherent in the litigation process and, therefore, no assurance can be given as to its ultimate outcome and no loss provision has been recorded in the accompanying financial statements because a loss contingency is not deemed probable or estimable. However, based on the information presently available to the Company, the Company does not expect that the ultimate resolution of this lawsuit will have a material adverse effect on the Company’s financial condition, results of operations or cash flows. | |
Contract Termination | |
In January 2008, the Company entered into a Services Agreement (the “Agreement”) with Oxford Building Services, Inc. (“Oxford”). Oxford’s obligations under the Agreement were guaranteed by Control Building Services, Inc. (“Control”), an affiliate of Oxford. The Agreement required that Oxford identify and contract directly with various service providers (“Vendors”) to provide maintenance, repairs, supplies and a variety of on-site services to certain properties in the Company’s portfolio, in exchange for which Oxford would pay such Vendors for the services. Under the Agreement, the Company remitted funds to Oxford to pay the Vendors under the Vendors’ contracts with Oxford. | |
On or about January 23, 2013, Oxford advised the Company that approximately $11 million paid by the Company to Oxford for the sole purpose of paying various Vendors had instead been used to repay commercial financing obligations incurred by Oxford and its affiliates to a third-party lender. As a result, Oxford had insufficient funds to pay the Vendors in accordance with the Agreement. On January 28, 2013, the Company terminated the Agreement based upon Oxford’s violations of the Agreement principally due to its insolvency. On February 26, 2013, Oxford and several affiliates filed petitions for Chapter 11 bankruptcy in the United States Bankruptcy Court for the District of New Jersey (Case No. 13-13821). | |
In its initial filings in the bankruptcy case, Oxford has claimed that the Company refused to pay Oxford approximately $5 million allegedly due and owing to Vendors for work performed at the Company’s properties prior to the termination of the Agreement. Further, Oxford threatened to commence litigation against the Company to recover the alleged amounts owed should a consensual resolution not be reached. The Company denies that any sums are due to Oxford, and if any such claim is asserted, the Company will vigorously defend against it. Furthermore, as a result of the funds previously paid by the Company to Oxford, the Company also denies that any sums are due from the Company to any Vendors and will vigorously defend against any such claims. On March 18, 2013, the Company filed suit in the Court of Common Pleas, Cuyahoga County, Ohio, against Control, Control Equity Group, Inc. (the non-bankrupt parent company of Oxford) and the individual principals of Oxford. The suit asserts claims for, among other things, breach of the Control guaranty, fraud, conversion and civil conspiracy. | |
Other | |
In addition to the litigation discussed above, the Company and its subsidiaries are subject to various legal proceedings, which, taken together, are not expected to have a material adverse effect on the Company. The Company is also subject to a variety of legal actions for personal injury or property damage arising in the ordinary course of its business, most of which are covered by insurance. While the resolution of all matters cannot be predicted with certainty, management believes that the final outcome of such legal proceedings and claims will not have a material adverse effect on the Company’s liquidity, financial position or results of operations. |
Equity
Equity | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Equity | ' | ||||||||||||||||
10. EQUITY | |||||||||||||||||
Common Shares | |||||||||||||||||
In May 2013, the Company entered into forward sale agreements with respect to 39.1 million of its common shares. In September 2013 and October 2013, the Company settled forward equity agreements totaling 3.96 million and 35.14 million common shares, respectively, for an aggregate net proceeds of $701.3 million, at a price to the Company of $17.94 per share. The Company used the net proceeds received upon settlement of the forward sale agreements to partially fund the Blackstone Acquisition (Note 17). | |||||||||||||||||
From January 1, 2013 through September 30, 2013, the Company issued 5.0 million common shares at a weighted-average price of $17.70 per share, generating gross proceeds of $88.4 million. The net proceeds primarily were used to acquire shopping center assets (Note 3). | |||||||||||||||||
Common share dividends declared were as follows: | |||||||||||||||||
Three-Month | Nine-Month | ||||||||||||||||
Periods Ended | Periods Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Common share dividends declared | $ | 0.135 | $ | 0.12 | $ | 0.405 | $ | 0.36 | |||||||||
Preferred Shares | |||||||||||||||||
In April 2013, the Company issued $150.0 million of its newly designated 6.250% Class K cumulative redeemable preferred shares (“Class K Preferred Shares”) at a price of $500.00 per share (or $25.00 per depositary share). In May 2013, the Company redeemed $150.0 million of its Class H Preferred Shares at a redemption price of $25.1127 per depositary share (the sum of $25.00 per depositary share and dividends per depositary share of $0.1127 prorated to the redemption date). The Company recorded a charge of $5.2 million to net loss attributable to common shareholders related to the write-off of the Class H Preferred Shares’ original issuance costs. | |||||||||||||||||
2013 Value Sharing Equity Program | |||||||||||||||||
On December 31, 2012, the Company adopted the 2013 Value Sharing Equity Program (“2013 VSEP”), which granted awards to certain officers of the Company on January 1, 2013. The 2013 VSEP awards, if earned, may result in the granting of common shares of the Company to participants on future measurement dates over three years, subject to an additional service-based vesting schedule. As a result, in general, the total compensation available to participants under the 2013 VSEP, if any, will be fully earned only after seven years (the three-year performance period and the final four-year service-based vesting period). | |||||||||||||||||
The 2013 VSEP is designed to allow DDR to reward participants for superior financial performance and allow them to share in “value created” (as defined below), based upon (1) increases in DDR’s adjusted market capitalization over pre-established periods of time and (2) increases in relative total shareholder return of DDR as compared to the performance of the FTSE NAREIT Equity REITs Total Return Index for the FTSE International Limited NAREIT U.S. Real Estate Index Series (the “NAREIT Index”). Under the 2013 VSEP, participants are granted two types of performance-based awards – a “relative performance award” and an “absolute performance award” – that, if earned, are settled with DDR common shares that are generally subject to additional service-based vesting requirements for a period of four years. | |||||||||||||||||
Absolute Performance Awards. Under the absolute performance awards, on five specified measurement dates (occurring on December 31, 2013 and every six months thereafter through December 31, 2015), DDR will measure the “Value Created” during the period between the start of the 2013 VSEP and the applicable measurement date. Value Created is measured for each period for the absolute performance awards as the increase in DDR’s market capitalization (i.e. the product of DDR’s five-day trailing average share price as of each measurement date (price-only appreciation, not total shareholder return) and the number of shares outstanding as of the measurement date), as adjusted for equity issuances and/or equity repurchases, between the start of the 2013 VSEP and the applicable measurement date. The share price used for purposes of determining Value Created for the absolute performance awards during any measurement period is capped based on an 8.0% per year compound annual growth rate for DDR shares from the start of the 2013 VSEP through the end of 2015 (the “Maximum Ending Share Price”). | |||||||||||||||||
Each participant has been assigned a “percentage share” of the Value Created for the absolute performance awards, but the total share of Value Created for all participants for the absolute performance awards is capped at $18.0 million (the aggregate percentage share for all participants for the absolute performance awards is 1.4133%). As a result, each participant’s total share of Value Created for the absolute performance awards is capped at an individual maximum limit. After the first measurement date, each participant will earn DDR common shares with an aggregate value equal to two-sixths of the participant’s percentage share of the Value Created for this award. After each of the next three measurement dates, each participant will earn DDR common shares with an aggregate value equal to three-sixths, then four-sixths, and then five-sixths, respectively, of the participant’s percentage share of the Value Created for this award. After the final measurement date (or, if earlier, upon a change in control, as defined in the 2013 VSEP), each participant will earn DDR common shares with an aggregate value equal to the participant’s full percentage share of the Value Created. In addition, for each measurement date, the number of DDR common shares earned by a participant will be reduced by the number of DDR common shares previously earned by the participant for prior measurement periods. | |||||||||||||||||
Relative Performance Awards. Under the relative performance awards, on December 31, 2015 (or, if earlier, upon a change in control), DDR will compare its dividend-adjusted share price performance during the period between the start of the 2013 VSEP and December 31, 2015, to the performance of a comparable hypothetical investment in the NAREIT Index (in each case as adjusted for equity issuances and/or equity repurchases during the same period). No relative performance awards will be earned by participants unless and until the absolute performance awards have already been earned by DDR achieving its Maximum Ending Share Price, and thus achieving maximum performance for the absolute performance awards. | |||||||||||||||||
If DDR’s relative performance exceeds the NAREIT Index, then the relative performance awards may be earned provided certain conditions are met. First, DDR’s five-day trailing average share price as of December 31, 2015, must be equal to or exceed the Maximum Ending Share Price. Second, the participant must be employed with DDR on the measurement date for the relative performance awards. If, after satisfaction of those conditions, DDR’s relative performance exceeds the NAREIT Index performance (subject to a not-less-than-minimum level of NAREIT Index performance), then each participant will earn DDR common shares based on the participant’s full “percentage share” of the Value Created for the relative performance awards, which percentage shares have been assigned by DDR. The total share of Value Created for all participants for the relative performance awards is capped at $36.0 million (the aggregate percentage share for all participants for the relative performance awards is 1.9337%), and, as a result, each participant’s total share of Value Created for the relative performance awards is capped at an individual maximum limit. | |||||||||||||||||
Unless otherwise determined by DDR, the DDR shares earned under the absolute performance awards and relative performance awards will generally be subject to additional service-based restrictions that are expected to vest in 20% annual increments beginning on the date of grant and on each of the first four anniversaries of the date of grant. The fair value of the 2013 VSEP grants was estimated on the date of grant using a Monte Carlo approach model based on the following assumptions: | |||||||||||||||||
Range | |||||||||||||||||
Risk-free interest rate | 0.36 | % | |||||||||||||||
Weighted-average dividend yield | 4 | % | |||||||||||||||
Expected life | 3 years | ||||||||||||||||
Expected volatility | 18-24 | % | |||||||||||||||
As of September 30, 2013, $7.7 million of total unrecognized compensation costs are related to the two market metric components associated with the awards granted under the 2013 VSEP and are expected to be recognized over the 6.25-year term, which includes the vesting period. |
Other_Comprehensive_Loss
Other Comprehensive Loss | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Other Comprehensive Loss | ' | ||||||||||||||||
11. OTHER COMPREHENSIVE LOSS | |||||||||||||||||
The changes in accumulated other comprehensive loss by component are as follows (in thousands): | |||||||||||||||||
Gains and | Foreign | Net | Total | ||||||||||||||
Losses on | Currency | Unrealized | |||||||||||||||
Cash | Items | Gains on | |||||||||||||||
Flow | Marketable | ||||||||||||||||
Hedges | Securities(A) | ||||||||||||||||
Balance, December 31, 2012 | $ | (22,247 | ) | $ | (5,678 | ) | $ | — | $ | (27,925 | ) | ||||||
Other comprehensive income (loss) before reclassifications | 11,107 | (16,041 | ) | 2,639 | (2,295 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss(B) | 354 | — | — | 354 | |||||||||||||
Net current-period other comprehensive income (loss) | 11,461 | (16,041 | ) | 2,639 | (1,941 | ) | |||||||||||
Balance, September 30, 2013 | $ | (10,786 | ) | $ | (21,719 | ) | $ | 2,639 | $ | (29,866 | ) | ||||||
(A) | Included in Other Assets in the condensed consolidated balance sheets. | ||||||||||||||||
(B) | Reflects amortization classified in Interest Expense of $0.4 million offset by amortization classified in Equity in Net Income of Joint Ventures of $0.1 million, which were previously recognized in Accumulated Other Comprehensive Income in the Company’s condensed consolidated statements of operations for the nine months ended September 30, 2013. |
Fee_and_Other_Income
Fee and Other Income | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Fee and Other Income | ' | ||||||||||||||||
12. FEE AND OTHER INCOME | |||||||||||||||||
Fee and other income from continuing operations was composed of the following (in millions): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Management, development and other fee income | $ | 10.3 | $ | 10.2 | $ | 31.2 | $ | 33.1 | |||||||||
Ancillary and other property income | 8 | 6.8 | 21.1 | 19.5 | |||||||||||||
Lease termination fees | 1 | 4 | 6.2 | 4.5 | |||||||||||||
Other miscellaneous | 0.1 | 0.1 | 0.4 | 0.3 | |||||||||||||
Total fee and other income | $ | 19.4 | $ | 21.1 | $ | 58.9 | $ | 57.4 | |||||||||
Impairment_Charges_and_Impairm
Impairment Charges and Impairment of Joint Venture Investments | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Impairment Charges and Impairment of Joint Venture Investments | ' | ||||||||||||||||||||
13. IMPAIRMENT CHARGES AND IMPAIRMENT OF JOINT VENTURE INVESTMENTS | |||||||||||||||||||||
The Company recorded impairment charges during the three- and nine-month periods ended September 30, 2013 and 2012, based on the difference between the carrying value of the assets or investments and the estimated fair market value as follows (in millions): | |||||||||||||||||||||
Three-Month | Nine-Month | ||||||||||||||||||||
Periods Ended | Periods Ended | ||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Land held for development | $ | — | $ | 1.6 | $ | — | $ | 8 | |||||||||||||
Undeveloped land | — | 1 | 2.6 | 20.1 | |||||||||||||||||
Assets marketed for sale (A) | 24.1 | — | 51.5 | 16.6 | |||||||||||||||||
Total continuing operations | $ | 24.1 | $ | 2.6 | $ | 54.1 | $ | 44.7 | |||||||||||||
Sold assets or assets held for sale | — | 5.7 | 12.7 | 61.1 | |||||||||||||||||
Total discontinued operations | $ | — | $ | 5.7 | $ | 12.7 | $ | 61.1 | |||||||||||||
Joint venture investments | — | 26.1 | — | 26.7 | |||||||||||||||||
Total impairment charges | $ | 24.1 | $ | 34.4 | $ | 66.8 | $ | 132.5 | |||||||||||||
(A) | The impairment charges were triggered primarily due to the Company’s marketing of these assets for sale and management’s assessment of the likelihood and timing of one or more potential transactions. | ||||||||||||||||||||
Items Measured at Fair Value on a Non-Recurring Basis | |||||||||||||||||||||
For a description of the Company’s methodology on determining fair value, refer to Note 11 of the Company’s Financial Statements filed on its Annual Report on Form 10-K for the year ended December 31, 2012, as amended. | |||||||||||||||||||||
The following table presents information about the Company’s impairment charges on both financial and nonfinancial assets that were measured on a fair value basis for the nine-month period ended September 30, 2013 and the year ended December 31, 2012. The table also indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions): | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Total | |||||||||||||||||
Losses | |||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||
Long-lived assets held and used | $ | — | $ | — | $ | 161.4 | $ | 161.4 | $ | 66.8 | |||||||||||
December 31, 2012 | |||||||||||||||||||||
Long-lived assets held and used and held for sale | — | — | 180.7 | 180.7 | 126.5 | ||||||||||||||||
Unconsolidated joint venture investment | — | — | 4.7 | 4.7 | 26.7 | ||||||||||||||||
Deconsolidated joint venture investment | — | — | 56.1 | 56.1 | 9.3 | ||||||||||||||||
The following table presents quantitative information about the significant unobservable inputs used by the Company to determine the fair value of non-recurring items (in millions): | |||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||||||||
Fair Value at | Range | ||||||||||||||||||||
Description | September 30, | December 31, | Valuation Technique | Unobservable Inputs | 2013 | 2012 | |||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Impairment of consolidated assets | $ | 87.1 | $ | 136.6 | Indicative Bid(A) / Contracted Price | Indicative Bid(A) / Contracted Price | N/A | N/A | |||||||||||||
74.3 | 44.1 | Income Capitalization Approach(B) | Market Capitalization Rate | 7.7 – 10% | 8 – 12% | ||||||||||||||||
Price Per Square Foot | $12 – $117 | $15 – $47 | |||||||||||||||||||
Impairment of joint venture investments(C) | — | 4.7 | Income Capitalization Approach | Market Capitalization Rate | — | 8% | |||||||||||||||
Discounted Cash Flow | Discount Rate | — | 11% | ||||||||||||||||||
Terminal Capitalization Rate | — | 5.5 – 8.5% | |||||||||||||||||||
Deconsolidated joint venture investment(D) | — | 56.1 | Discounted Cash Flow | Discount Rate | — | 8 – 15% | |||||||||||||||
(A) | Fair value measurements based upon indicative bids were developed by third-party sources (including offers and comparable sales values), subject to the Company’s determination of reasonableness. The Company does not have access to certain unobservable inputs used by these third parties to determine these estimated fair values. | ||||||||||||||||||||
(B) | Vacant space in certain assets was valued on a price per square foot. | ||||||||||||||||||||
(C) | The fair value measurements also include consideration of the fair market value of debt. These inputs are further described in the debt section of Note 8. | ||||||||||||||||||||
(D) | Related to loss reported in Change in Control and Sale of Interests recorded in 2012. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||||||||||
Discontinued Operations | ' | ||||||||||||||||
14. DISCONTINUED OPERATIONS | |||||||||||||||||
The Company sold 28 properties during the nine-month period ended September 30, 2013, and had one property held for sale at September 30, 2013. In addition, the Company sold 29 properties in 2012. These asset sales are included in discontinued operations for the three- and nine-month periods ended September 30, 2013 and 2012. The balance sheet related to the asset held for sale and the operating results related to assets sold or designated as held for sale as of September 30, 2013, are as follows (in thousands): | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | |||||||||||||||||
Land | $ | 1,682 | |||||||||||||||
Buildings | 7,441 | ||||||||||||||||
Fixtures and tenant improvements | 245 | ||||||||||||||||
9,368 | |||||||||||||||||
Less: Accumulated depreciation | (1,999 | ) | |||||||||||||||
Total asset held for sale | $ | 7,369 | |||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Revenues | $ | 2,169 | $ | 7,786 | $ | 11,956 | $ | 27,164 | |||||||||
Operating expenses | 561 | 2,490 | 3,608 | 9,512 | |||||||||||||
Impairment charges | — | 5,698 | 12,661 | 61,165 | |||||||||||||
Interest, net | 412 | 1,547 | 2,609 | 5,957 | |||||||||||||
Depreciation and amortization | 454 | 1,691 | 2,941 | 7,322 | |||||||||||||
1,427 | 11,426 | 21,819 | 83,956 | ||||||||||||||
Income (loss) from discontinued operations | 742 | (3,640 | ) | (9,863 | ) | (56,792 | ) | ||||||||||
Gain (loss) on disposition of real estate, net of tax | 8,701 | (176 | ) | 7,240 | 3,121 | ||||||||||||
Income (loss) from discontinued operations | $ | 9,443 | $ | (3,816 | ) | $ | (2,623 | ) | $ | (53,671 | ) | ||||||
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
15. EARNINGS PER SHARE | |||||||||||||||||
The following table calculates the Company’s earnings per share (“EPS”) and provides a reconciliation of net loss from continuing operations and the number of common shares used in the computations of “basic” EPS, which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic Earnings: | |||||||||||||||||
Continuing Operations: | |||||||||||||||||
(Loss) income from continuing operations | $ | (11,577 | ) | $ | 30,421 | $ | (14,553 | ) | $ | 22,116 | |||||||
Plus: Gain on disposition of real estate | 1,929 | 261 | 347 | 6,161 | |||||||||||||
Plus: Loss attributable to non-controlling interests | (170 | ) | (128 | ) | (556 | ) | (424 | ) | |||||||||
Write-off of preferred share original issuance costs | — | (5,804 | ) | (5,246 | ) | (5,804 | ) | ||||||||||
Preferred dividends | (6,608 | ) | (7,681 | ) | (21,113 | ) | (21,616 | ) | |||||||||
Less: Earnings attributable to unvested shares and operating partnership units | (330 | ) | (323 | ) | (1,052 | ) | (919 | ) | |||||||||
Basic—(Loss) income from continuing operations | $ | (16,756 | ) | $ | 16,746 | $ | (42,173 | ) | $ | (486 | ) | ||||||
Discontinued Operations: | |||||||||||||||||
Basic—Income (loss) from discontinued operations | 9,443 | (3,816 | ) | (2,623 | ) | (53,671 | ) | ||||||||||
Basic—Net (loss) income attributable to DDR common shareholders after allocation to participating securities | $ | (7,313 | ) | $ | 12,930 | $ | (44,796 | ) | $ | (54,157 | ) | ||||||
Diluted Earnings: | |||||||||||||||||
Continuing Operations: | |||||||||||||||||
Basic—(Loss) income from continuing operations | $ | (16,426 | ) | $ | 17,069 | $ | (41,121 | ) | $ | 433 | |||||||
Less: Earnings attributable to unvested shares and operating partnership units | (330 | ) | (323 | ) | (1,052 | ) | (919 | ) | |||||||||
Diluted—(Loss) income from continuing operations | (16,756 | ) | 16,746 | (42,173 | ) | (486 | ) | ||||||||||
Discontinued Operations: | |||||||||||||||||
Basic—Income (loss) from discontinued operations | 9,443 | (3,816 | ) | (2,623 | ) | (53,671 | ) | ||||||||||
Diluted—Net (loss) income attributable to DDR common shareholders after allocation to participating securities | $ | (7,313 | ) | $ | 12,930 | $ | (44,796 | ) | $ | (54,157 | ) | ||||||
Number of Shares: | |||||||||||||||||
Basic—Average shares outstanding | 318,184 | 302,232 | 316,146 | 286,016 | |||||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock options | — | 490 | — | 479 | |||||||||||||
Value sharing equity program | — | 202 | — | 169 | |||||||||||||
Forward equity agreement | — | — | — | 1,033 | |||||||||||||
Diluted—Average shares outstanding | 318,184 | 302,924 | 316,146 | 287,697 | |||||||||||||
Basic Earnings Per Share: | |||||||||||||||||
(Loss) income from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | 0.05 | $ | (0.13 | ) | $ | 0 | |||||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.19 | ) | ||||||||||
Net (loss) income attributable to DDR common shareholders | $ | (0.02 | ) | $ | 0.04 | $ | (0.14 | ) | $ | (0.19 | ) | ||||||
Dilutive Earnings Per Share: | |||||||||||||||||
(Loss) income from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | 0.05 | $ | (0.13 | ) | $ | 0 | |||||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.19 | ) | ||||||||||
Net (loss) income attributable to DDR common shareholders | $ | (0.02 | ) | $ | 0.04 | $ | (0.14 | ) | $ | (0.19 | ) | ||||||
The following potentially dilutive securities are considered in the calculation of EPS as described below: | |||||||||||||||||
Potentially Dilutive Securities: | |||||||||||||||||
• | The Company’s senior convertible notes due 2040, which are convertible into common shares of the Company with a conversion price of $15.44 at September 30, 2013, were not included in the computation of diluted EPS for all periods presented because the Company’s common share price did not exceed 125% of the conversion price in these periods and would therefore be anti-dilutive. | ||||||||||||||||
• | Shares subject to issuance under the Company’s 2013 VSEP were not considered in the computation of diluted EPS for the three- and nine-month periods ended September 30, 2013, because they were anti-dilutive due to the Company’s loss from continuing operations (Note 10). | ||||||||||||||||
• | The 39.1 million common shares that were subject to the forward equity agreements entered into in May 2013 were not included in the computation of diluted EPS using the treasury stock method for the three- and nine-month periods ended September 30, 2013, because they were anti-dilutive due to the Company’s loss from continuing operations. The Company settled the forward equity agreements on September 27, 2013 and October 1, 2013. |
Segment_Information
Segment Information | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||
16. SEGMENT INFORMATION | |||||||||||||||||||||
The Company has three reportable operating segments: shopping centers, loan investments and Brazil equity investment. Each consolidated shopping center is considered a separate operating segment; however, each shopping center on a stand-alone basis represents less than 10% of the revenues, profit or loss, and assets of the combined reported operating segment and meets the majority of the aggregation criteria under the applicable standard. | |||||||||||||||||||||
The tables below present information about the Company’s reportable operating segments and reflect the impact of discontinued operations (Note 14) (in thousands): | |||||||||||||||||||||
Three-Month Period Ended September 30, 2013 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 219,354 | $ | 14 | $ | 219,368 | |||||||||||||||
Operating expenses(B) | (87,330 | ) | (75 | ) | (87,405 | ) | |||||||||||||||
Net operating income (loss) | 132,024 | (61 | ) | 131,963 | |||||||||||||||||
Depreciation and amortization | (74,141 | ) | (74,141 | ) | |||||||||||||||||
Interest income | 6,691 | 6,691 | |||||||||||||||||||
Other income (expense), net | $ | (2,282 | ) | (2,282 | ) | ||||||||||||||||
Unallocated expenses(C) | (77,588 | ) | (77,588 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (660 | ) | $ | 4,440 | 3,780 | ||||||||||||||||
Loss from continuing operations | $ | (11,577 | ) | ||||||||||||||||||
Three-Month Period Ended September 30, 2012 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 197,272 | $ | 5 | $ | 197,277 | |||||||||||||||
Operating expenses(B) | (58,365 | ) | (150 | ) | (58,515 | ) | |||||||||||||||
Net operating income (loss) | 138,907 | (145 | ) | 138,762 | |||||||||||||||||
Depreciation and amortization | (59,620 | ) | (59,620 | ) | |||||||||||||||||
Interest income | 5,661 | 5,661 | |||||||||||||||||||
Other income (expense), net | $ | (1,868 | ) | (1,868 | ) | ||||||||||||||||
Gain on change in control of interests | 40,645 | 40,645 | |||||||||||||||||||
Unallocated expenses(C) | (72,534 | ) | (72,534 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (441 | ) | $ | 5,927 | 5,486 | ||||||||||||||||
Impairment of joint venture investments | (26,111 | ) | |||||||||||||||||||
Income from continuing operations | $ | 30,421 | |||||||||||||||||||
Nine-Month Period Ended September 30, 2013 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 640,012 | $ | 29 | $ | 640,041 | |||||||||||||||
Operating expenses(B) | (238,109 | ) | (377 | ) | (238,486 | ) | |||||||||||||||
Net operating income (loss) | 401,903 | (348 | ) | 401,555 | |||||||||||||||||
Depreciation and amortization | (211,200 | ) | (211,200 | ) | |||||||||||||||||
Interest income | 20,365 | 20,365 | |||||||||||||||||||
Other income (expense), net | $ | (3,288 | ) | (3,288 | ) | ||||||||||||||||
Gain on change in control on interests | 1,066 | 1,066 | |||||||||||||||||||
Unallocated expenses(C) | (228,594 | ) | (228,594 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (7,677 | ) | $ | 13,220 | 5,543 | ||||||||||||||||
Loss from continuing operations | $ | (14,553 | ) | ||||||||||||||||||
As of September 30, 2013: | |||||||||||||||||||||
Total gross real estate assets | $ | 8,921,305 | $ | 8,921,305 | |||||||||||||||||
Notes receivable, net | $ | 302,130 | (D) | $ | (224,273 | )(D) | $ | 77,857 | |||||||||||||
Nine-Month Period Ended September 30, 2012 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 571,042 | $ | 12 | $ | 571,054 | |||||||||||||||
Operating expenses(B) | (210,800 | ) | (433 | ) | (211,233 | ) | |||||||||||||||
Net operating income (loss) | 360,242 | (421 | ) | 359,821 | |||||||||||||||||
Depreciation and amortization | (178,535 | ) | (178,535 | ) | |||||||||||||||||
Interest income | 9,829 | 9,829 | |||||||||||||||||||
Other income (expense), net | $ | (7,100 | ) | (7,100 | ) | ||||||||||||||||
Gain on change in control of interests | 79,993 | 79,993 | |||||||||||||||||||
Unallocated expenses(C) | (232,187 | ) | (232,187 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (3,484 | ) | $ | 20,450 | 16,966 | ||||||||||||||||
Impairment of joint venture investments | (26,671 | ) | |||||||||||||||||||
Income from continuing operations | $ | 22,116 | |||||||||||||||||||
As of September 30, 2012: | |||||||||||||||||||||
Total gross real estate assets | $ | 8,583,201 | $ | 7,093 | $ | 8,590,294 | |||||||||||||||
Notes receivable, net | $ | 240,583 | (D) | $ | (177,470 | )(D) | $ | 63,113 | |||||||||||||
(A) | The carrying value of the Brazil Equity Investment is not a measure used by executive management for purposes of decision making related to asset allocation or performance assessment of this segment. | ||||||||||||||||||||
(B) | Includes impairment charges of $24.1 million and $2.6 million for the three-month periods ended September 30, 2013 and 2012, respectively, and $54.1 million and $44.7 million for the nine-month periods ended September 30, 2013 and 2012, respectively. | ||||||||||||||||||||
(C) | Unallocated expenses consist of general and administrative expenses, interest expense, loss/gain on debt retirement, and tax benefit/expense as listed in the condensed consolidated statements of operations. | ||||||||||||||||||||
(D) | Amount includes loans to affiliates classified in Investments in and Advances to Joint Ventures on the condensed consolidated balance sheet. |
Subsequent_Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2013 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
17. SUBSEQUENT EVENTS | |
In October 2013, the Company acquired sole ownership of a portfolio of 30 prime power centers that were previously owned by BRE DDR Retail Holdings I, the Company’s joint venture with an affiliate of Blackstone. The transaction was valued at approximately $1.46 billion ($1.54 billion at 100%). The transaction included a cash payment of $566.4 million to an affiliate of Blackstone, of which $25.0 million was funded in the second quarter of 2013 and is recorded in Other Assets on the condensed consolidated balance sheet as of September 30, 2013. Furthermore, in connection with the closing of the Blackstone Acquisition, the Company assumed an affiliate of Blackstone’s 95% share of $792.9 million of mortgage debt, of which $139.0 million was repaid upon closing. In addition, $148.8 million of the preferred equity interest and mezzanine loan previously funded by the Company was repaid upon the closing of the Blackstone Acquisition. The Company will account for this transaction as a step acquisition. Due to the change in control that occurred, the Company expects to record a Gain on Change in Control of Interest related to the difference between the Company’s carrying value and fair value of the previously held equity interest. The Company funded the cash portion of the consideration received by an affiliate of Blackstone, and the repayment of certain of the BRE DDR Retail Holdings I’s debt, with a portion of the net proceeds of its issuance and sale of 3.375% Notes due 2023 and its issuance and sale of 39.1 million of its common shares in a forward equity offering (Note 10). |
Nature_of_Business_and_Financi1
Nature of Business and Financial Statement Presentation (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Use of Estimates in Preparation of Financial Statements | ' |
Use of Estimates in Preparation of Financial Statements | |
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during the year. Actual results could differ from those estimates. | |
Unaudited Interim Financial Statements | ' |
Unaudited Interim Financial Statements | |
These financial statements have been prepared by the Company in accordance with generally accepted accounting principles for interim financial information and the applicable rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all information and footnotes required by generally accepted accounting principles for complete financial statements. However, in the opinion of management, the interim financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the results of the periods presented. The results of operations for the three- and nine-month periods ended September 30, 2013 and 2012, are not necessarily indicative of the results that may be expected for the full year. These condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012, as amended. | |
Principles of Consolidation | ' |
Principles of Consolidation | |
The condensed consolidated financial statements include the results of the Company and all entities in which the Company has a controlling interest or has been determined to be the primary beneficiary of a variable interest entity (“VIE”). Investments in joint ventures that the Company does not control are accounted for under the equity method of accounting. | |
At September 30, 2013 and December 31, 2012, the Company’s investments in consolidated real estate joint ventures in which the Company was deemed to be the primary beneficiary had total real estate assets of $186.3 million and $184.6 million, respectively, mortgages of $19.4 million and $21.5 million, respectively, and other liabilities of $1.8 million and $1.9 million, respectively. | |
Presentation of Other Comprehensive Income | ' |
Presentation of Other Comprehensive Income | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued guidance on the presentation of comprehensive income. This guidance requires presentation of reclassification adjustments from other comprehensive income to net income in a single note or on the face of the financial statements. This guidance was effective for the Company on January 1, 2013. This guidance did not materially impact the Company’s consolidated financial statements. |
Investments_in_and_Advances_to1
Investments in and Advances to Joint Ventures (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity Method Investments And Joint Ventures [Abstract] | ' | ||||||||||||||||
Condensed Combined Financial Information of Company's Unconsolidated Joint Venture Investments | ' | ||||||||||||||||
Condensed combined financial information of the Company’s unconsolidated joint venture investments is as follows (in thousands): | |||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||
Condensed Combined Balance Sheets | |||||||||||||||||
Land | $ | 1,552,832 | $ | 1,569,548 | |||||||||||||
Buildings | 4,653,035 | 4,681,462 | |||||||||||||||
Fixtures and tenant improvements | 284,451 | 244,293 | |||||||||||||||
6,490,318 | 6,495,303 | ||||||||||||||||
Less: Accumulated depreciation | (873,212 | ) | (833,816 | ) | |||||||||||||
5,617,106 | 5,661,487 | ||||||||||||||||
Land held for development and construction in progress | 283,241 | 348,822 | |||||||||||||||
Real estate, net | 5,900,347 | 6,010,309 | |||||||||||||||
Cash and restricted cash(A) | 355,283 | 467,200 | |||||||||||||||
Receivables, net | 104,422 | 99,098 | |||||||||||||||
Other assets | 410,985 | 427,014 | |||||||||||||||
$ | 6,771,037 | $ | 7,003,621 | ||||||||||||||
Mortgage debt | $ | 4,210,034 | $ | 4,246,407 | |||||||||||||
Notes and accrued interest payable to DDR(B) | 156,743 | 143,338 | |||||||||||||||
Other liabilities | 293,711 | 342,614 | |||||||||||||||
4,660,488 | 4,732,359 | ||||||||||||||||
Redeemable preferred equity | 198,521 | 154,556 | |||||||||||||||
Accumulated equity | 1,912,028 | 2,116,706 | |||||||||||||||
$ | 6,771,037 | $ | 7,003,621 | ||||||||||||||
Company’s share of Accumulated Equity | $ | 391,417 | $ | 432,500 | |||||||||||||
(A) | Includes $230.8 million and $347.9 million at September 30, 2013 and December 31, 2012, respectively, from Sonae Sierra Brasil. | ||||||||||||||||
(B) | The Company has net amounts receivable from several joint ventures aggregating $35.9 million and $34.3 million at September 30, 2013 and December 31, 2012, respectively, which are included in Investments in and Advances to Joint Ventures on the condensed consolidated balance sheets. The remaining amounts were fully reserved by the Company in prior years. | ||||||||||||||||
Condensed Combined Statements of Operations of Unconsolidated Joint Venture Investments | ' | ||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Condensed Combined Statements of Operations | |||||||||||||||||
Revenues from operations | $ | 181,671 | $ | 183,187 | $ | 545,603 | $ | 498,018 | |||||||||
Operating expenses(A) | 65,435 | 62,191 | 191,389 | 174,252 | |||||||||||||
Impairment charges | 21,875 | — | 66,438 | 840 | |||||||||||||
Depreciation and amortization | 58,080 | 64,491 | 179,027 | 142,361 | |||||||||||||
Interest expense | 58,433 | 58,876 | 175,840 | 167,740 | |||||||||||||
203,823 | 185,558 | 612,694 | 485,193 | ||||||||||||||
(Loss) income before tax expense and discontinued operations | (22,152 | ) | (2,371 | ) | (67,091 | ) | 12,825 | ||||||||||
Income tax expense (primarily Sonae Sierra Brasil), net | (6,446 | ) | (6,591 | ) | (20,299 | ) | (18,781 | ) | |||||||||
Loss from continuing operations | (28,598 | ) | (8,962 | ) | (87,390 | ) | (5,956 | ) | |||||||||
Discontinued operations: | |||||||||||||||||
Loss from discontinued operations | (2,403 | ) | (42,976 | ) | (7,054 | ) | (57,661 | ) | |||||||||
(Loss) gain on disposition of real estate, net of tax(B) | (21,228 | ) | 1,183 | (27,133 | ) | 1,290 | |||||||||||
Loss before gain on disposition of real estate, net | (52,229 | ) | (50,755 | ) | (121,577 | ) | (62,327 | ) | |||||||||
Gain on disposition of real estate, net | 151 | 1,128 | 794 | 14,230 | |||||||||||||
Net loss | $ | (52,078 | ) | $ | (49,627 | ) | $ | (120,783 | ) | $ | (48,097 | ) | |||||
Non-controlling interests | (5,800 | ) | (6,155 | ) | (19,715 | ) | (19,689 | ) | |||||||||
Net loss attributable to unconsolidated joint ventures | $ | (57,878 | ) | $ | (55,782 | ) | $ | (140,498 | ) | $ | (67,786 | ) | |||||
Company’s share of equity in net income (loss) of joint ventures(C) | $ | 2,800 | $ | (1,613 | ) | $ | 4,328 | $ | 11,739 | ||||||||
Amortization of basis differentials(D) | 980 | 7,099 | 1,215 | 5,227 | |||||||||||||
Equity in net income of joint ventures | $ | 3,780 | $ | 5,486 | $ | 5,543 | $ | 16,966 | |||||||||
(A) | Operating expenses for the nine-month period ended September 30, 2012, include transaction costs associated with the formation of the unconsolidated joint venture BRE DDR Retail Holdings I. | ||||||||||||||||
(B) | Primarily attributable to an investment in the Coventry II Fund in which the Company had a 20% interest. The joint venture recorded a loss of $32.6 million on the transfer of its ownership of one of its properties to the lender. The Company’s share of the loss is zero as the Company had previously written off its investment in this operating property. | ||||||||||||||||
(C) | The Company is not recording income or loss from those investments in which its investment basis is zero and the Company does not have the obligation or intent to fund any additional capital. | ||||||||||||||||
(D) | The difference between the Company’s share of net loss, as reported above, and the amounts included in the condensed consolidated statements of operations is attributable to the amortization of basis differentials, deferred gains and differences in gain (loss) on sale of certain assets due to the basis differentials and other than temporary impairment charges. | ||||||||||||||||
Investments in and Advances to Joint Ventures | ' | ||||||||||||||||
Investments in and Advances to Joint Ventures include the following items, which represent the difference between the Company’s investment basis and its share of all of the unconsolidated joint ventures’ underlying net assets (in millions): | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Company’s share of accumulated equity | $ | 391.4 | $ | 432.5 | |||||||||||||
Redeemable preferred equity and other(A) | 199 | (B) | 155 | ||||||||||||||
Basis differentials | 8.6 | (5.9 | ) | ||||||||||||||
Deferred development fees, net of portion related to the Company’s interest | (2.9 | ) | (2.9 | ) | |||||||||||||
Notes and accrued interest payable to DDR | 35.9 | (B) | 34.3 | ||||||||||||||
Investments in and Advances to Joint Ventures | $ | 632 | $ | 613 | |||||||||||||
(A) | Primarily relates to $198.5 million and $154.6 million of preferred equity investments through investments with affiliates of Blackstone Real Estate Partners VII L.P. (“Blackstone”) at September 30, 2013 and December 31, 2012, respectively. | ||||||||||||||||
(B) | In conjunction with the Company’s acquisition of its joint venture partner’s interest in 30 assets in October 2013, $148.8 million was applied to fund the acquisition cost of the assets (Note 17). | ||||||||||||||||
Service Fees and Income Earned from Company's Unconsolidated Joint Ventures | ' | ||||||||||||||||
Service fees and income earned by the Company through management, financing, leasing and development activities performed related to all of the Company’s unconsolidated joint ventures are as follows (in millions): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Management and other fees | $ | 7.4 | $ | 7.6 | $ | 22.6 | $ | 20.9 | |||||||||
Development fees and leasing commissions | 2.7 | 2.3 | 7.9 | 6.2 | |||||||||||||
Interest income | 5.3 | 4.7 | 14.4 | 5.1 |
Acquisitions_Tables
Acquisitions (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Summary of Acquired Shopping Centers | ' | ||||||||||||||||
In the nine-month period ended September 30, 2013, the Company acquired the following operating shopping centers: | |||||||||||||||||
Location | Date Acquired | Gross | Face Value of | ||||||||||||||
Purchase | Mortgage | ||||||||||||||||
Price | Debt | ||||||||||||||||
(in millions) | Assumed | ||||||||||||||||
(in millions) | |||||||||||||||||
Orlando, FL and Atlanta, GA | July 2013 | $ | 258.5 | $ | 139.4 | ||||||||||||
Parcels adjacent to existing shopping centers | June 2013 | 11.7 | N/A | ||||||||||||||
Tampa, FL, Atlanta, GA, Newport News, VA and Richmond, VA (2 assets) (A) | April 2013 | 110.5 | N/A | ||||||||||||||
Dallas, TX | March 2013 | 40.3 | N/A | ||||||||||||||
Oakland, CA | February 2013 | 41.1 | N/A | ||||||||||||||
(A) | Acquired from unconsolidated joint venture. | ||||||||||||||||
Schedule of Acquisition Cost of Shopping Centers | ' | ||||||||||||||||
The acquisition cost of the operating shopping centers was allocated as follows (in thousands): | |||||||||||||||||
Weighted Average | |||||||||||||||||
Amortization Period | |||||||||||||||||
(in Years) | |||||||||||||||||
Land | $ | 76,915 | N/A | ||||||||||||||
Buildings | 323,047 | N/A | |||||||||||||||
Tenant improvements | 9,714 | N/A | |||||||||||||||
In-place leases (including lease origination costs and fair market value of leases)(A) | 52,253 | 5.9 | |||||||||||||||
Tenant relations | 25,916 | 7.2 | |||||||||||||||
487,845 | |||||||||||||||||
Less: Mortgage debt assumed | (148,497 | ) | |||||||||||||||
Less: Below-market leases | (16,716 | ) | 18.7 | ||||||||||||||
Net assets acquired | $ | 322,632 | |||||||||||||||
(A) | Includes above-market value of leases of $6.0 million. | ||||||||||||||||
Consideration | ' | ||||||||||||||||
Consideration: | |||||||||||||||||
Cash (including debt repaid at closing) | $ | 306,100 | |||||||||||||||
Fair value of previously held equity interests | 16,532 | ||||||||||||||||
Total consideration | $ | 322,632 | |||||||||||||||
Unaudited Supplemental to Pro Forma Operating Data | ' | ||||||||||||||||
The following unaudited supplemental pro forma operating data is presented for the three- and nine-month periods ended September 30, 2013 and 2012, as if the acquisition of the interests in the properties acquired in 2013 and 2012 was completed on January 1, 2012 (in thousands, except per share amounts). The Gain on Change in Control related to the acquisitions from unconsolidated joint ventures was adjusted to the assumed acquisition date. The unaudited supplemental pro forma operating data is not necessarily indicative of what the actual results of operations of the Company would have been assuming the transactions had been completed as set forth above, nor do they purport to represent the Company’s results of operations for future periods. | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Pro forma revenues | $ | 220,586 | $ | 214,349 | $ | 658,291 | $ | 631,873 | |||||||||
Pro forma loss from continuing operations | $ | (11,638 | ) | $ | (10,521 | ) | $ | (15,767 | ) | $ | (58,757 | ) | |||||
Pro forma income (loss) from discontinued operations | $ | 9,443 | $ | (3,816 | ) | $ | (2,623 | ) | $ | (53,671 | ) | ||||||
Pro forma net loss attributable to DDR common shareholders | $ | (7,044 | ) | $ | (27,689 | ) | $ | (44,958 | ) | $ | (134,111 | ) | |||||
Per share data: | |||||||||||||||||
Basic earnings per share data: | |||||||||||||||||
Loss from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | (0.07 | ) | $ | (0.13 | ) | $ | (0.26 | ) | |||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.17 | ) | ||||||||||
Net loss attributable to DDR common shareholders | $ | (0.02 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.43 | ) | |||||
Diluted earnings per share data: | |||||||||||||||||
Loss from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | (0.07 | ) | $ | (0.13 | ) | $ | (0.26 | ) | |||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.17 | ) | ||||||||||
Net loss attributable to DDR common shareholders | $ | (0.02 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.43 | ) | |||||
Notes_Receivable_Tables
Notes Receivable (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Receivables [Abstract] | ' | ||||||||
Components of Notes Receivable | ' | ||||||||
Notes receivable consist of the following (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Loans receivable | $ | 71,645 | $ | 60,378 | |||||
Other notes | 1,038 | 3,093 | |||||||
Tax Increment Financing Bonds | 5,174 | 5,247 | |||||||
(“TIF Bonds”)(A) | |||||||||
$ | 77,857 | $ | 68,718 | ||||||
(A) | Principal and interest are payable solely from the incremental real estate taxes, if any, generated by the respective shopping center and development project pursuant to the terms of the financing agreement. | ||||||||
Loans Receivable on Real Estate | ' | ||||||||
The following table reconciles the loans receivable on real estate for the nine-month periods ended September 30, 2013 and 2012 (in thousands): | |||||||||
2013 | 2012 | ||||||||
Balance at January 1 | $ | 60,378 | $ | 84,541 | |||||
Additions: | |||||||||
New mortgage loans | 21,967 | 592 | |||||||
Interest | 319 | 790 | |||||||
Accretion of discount | 651 | 615 | |||||||
Deductions: | |||||||||
Payments of principal and interest | (11,670 | ) | — | ||||||
Other(A) | — | (31,700 | ) | ||||||
Balance at September 30 | $ | 71,645 | $ | 54,838 | |||||
(A) | Loan assumed by the Company’s unconsolidated joint venture BRE DDR Retail Holdings I and reclassified into Investments in and Advances to Joint Ventures in the Company’s consolidated balance sheet at December 31, 2012, upon the Company’s acquisition of its equity interest of the joint venture. This loan was applied toward funding of the Company’s acquisition of its joint venture partner’s interest in 30 prime power centers that were previously owned by BRE DDR Retail Holdings I (the “Blackstone Acquisition”) (Note 17). |
Other_Assets_Net_Tables
Other Assets, Net (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||
Components of Other Assets | ' | ||||||||
Other assets consist of the following (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Intangible assets: | |||||||||
In-place leases (including lease origination costs and fair market value of leases), net | $ | 102,485 | $ | 67,105 | |||||
Tenant relations, net | 79,358 | 62,175 | |||||||
Total intangible assets, net(A) | 181,843 | 129,280 | |||||||
Other assets: | |||||||||
Accounts receivable, net(B) | 119,061 | 126,228 | |||||||
Deferred charges, net | 38,367 | 42,498 | |||||||
Prepaid expenses | 15,850 | 12,469 | |||||||
Other assets | 44,042 | 29,821 | |||||||
Deposits | 35,495 | 10,580 | |||||||
Total other assets, net | $ | 434,658 | $ | 350,876 | |||||
(A) | The Company recorded amortization expense of $8.6 million and $4.9 million for the three-month periods ended September 30, 2013 and 2012, and $22.4 million and $11.7 million for the nine-month periods ended September 30, 2013 and 2012, respectively, related to these intangible assets. | ||||||||
(B) | Includes straight-line rents receivable, net, of $61.4 million and $58.2 million at September 30, 2013 and December 31, 2012, respectively. |
Revolving_Credit_Facilities_an1
Revolving Credit Facilities and Term Loans (Tables) | 9 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||
Information Regarding Company's Revolving Credit Facilities, Term Loans | ' | ||||||||||
The following table discloses certain information regarding the Company’s Revolving Credit Facilities (as defined below) and term loans (in millions): | |||||||||||
Carrying Value at | Weighted-Average | ||||||||||
Interest Rate at | |||||||||||
September 30, 2013 | September 30, 2013 | Maturity Date | |||||||||
Unsecured indebtedness: | |||||||||||
Unsecured Credit Facility | $ | 42.9 | 2.2 | % | April 2017 | ||||||
PNC Facility | — | N/A | Apr-17 | ||||||||
Unsecured Term Loan – Tranche 1 | 50 | 2.3 | % | January 2017 | |||||||
Unsecured Term Loan – Tranche 2 | 300 | 3.4 | % | Jan-19 | |||||||
Secured indebtedness: | |||||||||||
Secured Term Loan | 400 | 2 | % | Apr-17 |
Financial_Instruments_Tables
Financial Instruments (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Items Measured at Fair Value on a Recurring Basis | ' | ||||||||||||||||||||||||||||||||||||
The following table presents information about the Company’s financial assets and liabilities, which consist of interest rate swap agreements (included in Other Liabilities) and marketable securities (included in Other Assets), which include investments in the Company’s elective deferred compensation plan and investments in securities at September 30, 2013 and December 31, 2012, measured at fair value on a recurring basis, and indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions): | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||
Assets (liabilities): | |||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments | $ | — | $ | (6.0 | ) | $ | — | $ | (6.0 | ) | |||||||||||||||||||||||||||
Marketable securities | $ | 7.5 | $ | — | $ | — | $ | 7.5 | |||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments | $ | — | $ | (17.1 | ) | $ | — | $ | (17.1 | ) | |||||||||||||||||||||||||||
Marketable securities | $ | 2.9 | $ | — | $ | — | $ | 2.9 | |||||||||||||||||||||||||||||
Debt Instruments with Carrying Values Different than Estimated Fair Values | ' | ||||||||||||||||||||||||||||||||||||
Debt instruments at September 30, 2013 and December 31, 2012, with carrying values that are different than estimated fair values, are summarized as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Carrying | Fair Value | Carrying | Fair Value | ||||||||||||||||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||||||||||||||
Senior notes | $ | 2,453,336 | $ | 2,702,949 | $ | 2,147,097 | $ | 2,503,127 | |||||||||||||||||||||||||||||
Revolving Credit Facilities and term loans | 792,869 | 794,912 | 897,905 | 903,210 | |||||||||||||||||||||||||||||||||
Mortgage indebtedness | 1,349,852 | 1,371,949 | 1,274,141 | 1,324,969 | |||||||||||||||||||||||||||||||||
$ | 4,596,057 | $ | 4,869,810 | $ | 4,319,143 | $ | 4,731,306 | ||||||||||||||||||||||||||||||
Information Regarding Swaps | ' | ||||||||||||||||||||||||||||||||||||
The following table discloses certain information regarding the Company’s 10 outstanding interest rate swaps (not including the specified spreads), as well as their classification on the condensed consolidated balance sheets, as of September 30, 2013 and December 31, 2012 (in millions): | |||||||||||||||||||||||||||||||||||||
Maturity Date | Aggregate | Counterparty | DDR Pays | Fair Value | |||||||||||||||||||||||||||||||||
Notional | Pays Variable | Fixed | |||||||||||||||||||||||||||||||||||
Amount | Rate | Rate | |||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||
Asset | Liability | Asset | Liability | ||||||||||||||||||||||||||||||||||
Jun-14 | $ | 100 | 1 Month LIBOR | 1 | % | $ | — | $ | (0.6 | ) | $ | — | $ | (1.2 | ) | ||||||||||||||||||||||
Jun-15 | $ | 50 | 1 Month LIBOR | 0.6 | % | — | (0.2 | ) | — | (0.3 | ) | ||||||||||||||||||||||||||
Jul-15 | $ | 100 | 1 Month LIBOR | 0.5 | % | — | (0.4 | ) | — | (0.5 | ) | ||||||||||||||||||||||||||
Sep-17 | $ | 81.8 | 1 Month LIBOR | 2.8 | % | — | (5.6 | ) | — | (7.8 | ) | ||||||||||||||||||||||||||
Jan-18 | $ | 100 | 1 Month LIBOR | 0.9 | % | 1 | — | — | (0.7 | ) | |||||||||||||||||||||||||||
Feb-19 | $ | 100 | 1 Month LIBOR | 1.6 | % | — | (0.3 | ) | — | (3.5 | ) | ||||||||||||||||||||||||||
Feb-19 | $ | 100 | 1 Month LIBOR | 1.5 | % | 0.1 | — | — | (3.1 | ) | |||||||||||||||||||||||||||
Other Assets | $ | 1.1 | N/A | $ | — | N/A | |||||||||||||||||||||||||||||||
Accounts Payable | N/A | $ | (7.1 | ) | N/A | $ | (17.1 | ) | |||||||||||||||||||||||||||||
Effect of Company's Derivative Instruments on Net Income (Loss) | ' | ||||||||||||||||||||||||||||||||||||
The effect of the Company’s cash flow hedges and net investment hedge instruments on net income (loss) and OCI is as follows (in millions): | |||||||||||||||||||||||||||||||||||||
Amount of Gain (Loss) | Location of | Amount of Gain (Loss) | |||||||||||||||||||||||||||||||||||
Recognized in OCI | Gain (Loss) | Reclassified from Accumulated OCI | |||||||||||||||||||||||||||||||||||
(Effective Portion) | Reclassified | (Effective Portion) | |||||||||||||||||||||||||||||||||||
from | |||||||||||||||||||||||||||||||||||||
Accumulated | |||||||||||||||||||||||||||||||||||||
OCI | |||||||||||||||||||||||||||||||||||||
Three-Month | Nine-Month | (Effective | Three-Month | Nine-Month | |||||||||||||||||||||||||||||||||
Periods Ended | Periods Ended | Portion) | Periods Ended | Periods Ended | |||||||||||||||||||||||||||||||||
September 30 | September 30 | September 30 | September 30 | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
Cash flow hedges: | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | (1.5 | ) | $ | (4.0 | ) | $ | 11.1 | $ | (10.3 | ) | Interest | $ | (0.1 | ) | $ | 0.4 | $ | (0.3 | ) | $ | 0.2 | |||||||||||||||
expense | |||||||||||||||||||||||||||||||||||||
Net Investment Hedge Derivative Instruments on OCI | ' | ||||||||||||||||||||||||||||||||||||
Amount of Gain (Loss) | Location of Gain | Amount of Gain (Loss) | |||||||||||||||||||||||||||||||||||
Recognized in OCI | (Loss) Reclassified | Reclassified from Accumulated OCI | |||||||||||||||||||||||||||||||||||
(Effective Portion) | from Accumulated | (Effective Portion) | |||||||||||||||||||||||||||||||||||
Three-Month | Nine-Month | OCI (Effective | Three-Month | Nine-Month | |||||||||||||||||||||||||||||||||
Periods Ended | Periods Ended | Portion) | Periods Ended | Periods Ended | |||||||||||||||||||||||||||||||||
September 30 | September 30 | September 30 | September 30 | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||
Cash flow hedges: | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | (1.5 | ) | $ | (4.0 | ) | $ | 11.1 | $ | (10.3 | ) | Interest expense | $ | (0.1 | ) | $ | 0.4 | $ | (0.3 | ) | $ | 0.2 | |||||||||||||||
Net investment hedges: | |||||||||||||||||||||||||||||||||||||
Euro-denominated | $ | (0.2 | ) | $ | (0.2 | ) | $ | (0.1 | ) | $ | 0.1 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||
Canadian dollar-denominated | (0.5 | ) | (1.3 | ) | 0.8 | (0.9 | ) | — | — | — | — | ||||||||||||||||||||||||||
Total: | $ | (0.7 | ) | $ | (1.5 | ) | $ | 0.7 | $ | (0.8 | ) | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||
Equity_Tables
Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Common Share Dividends Declared | ' | ||||||||||||||||
Common share dividends declared were as follows: | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Common share dividends declared | $ | 0.135 | $ | 0.12 | $ | 0.405 | $ | 0.36 | |||||||||
Summary of Fair Value of Value Sharing Equity Program Grants | ' | ||||||||||||||||
The fair value of the 2013 VSEP grants was estimated on the date of grant using a Monte Carlo approach model based on the following assumptions: | |||||||||||||||||
Range | |||||||||||||||||
Risk-free interest rate | 0.36 | % | |||||||||||||||
Weighted-average dividend yield | 4 | % | |||||||||||||||
Expected life | 3 years | ||||||||||||||||
Expected volatility | 18-24 | % |
Other_Comprehensive_Loss_Table
Other Comprehensive Loss (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Changes in Accumulated Other Comprehensive Loss by Component | ' | ||||||||||||||||
The changes in accumulated other comprehensive loss by component are as follows (in thousands): | |||||||||||||||||
Gains and | Foreign | Net | Total | ||||||||||||||
Losses on | Currency | Unrealized | |||||||||||||||
Cash | Items | Gains on | |||||||||||||||
Flow | Marketable | ||||||||||||||||
Hedges | Securities(A) | ||||||||||||||||
Balance, December 31, 2012 | $ | (22,247 | ) | $ | (5,678 | ) | $ | — | $ | (27,925 | ) | ||||||
Other comprehensive income (loss) before reclassifications | 11,107 | (16,041 | ) | 2,639 | (2,295 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss(B) | 354 | — | — | 354 | |||||||||||||
Net current-period other comprehensive income (loss) | 11,461 | (16,041 | ) | 2,639 | (1,941 | ) | |||||||||||
Balance, September 30, 2013 | $ | (10,786 | ) | $ | (21,719 | ) | $ | 2,639 | $ | (29,866 | ) | ||||||
(A) | Included in Other Assets in the condensed consolidated balance sheets. | ||||||||||||||||
(B) | Reflects amortization classified in Interest Expense of $0.4 million offset by amortization classified in Equity in Net Income of Joint Ventures of $0.1 million, which were previously recognized in Accumulated Other Comprehensive Income in the Company’s condensed consolidated statements of operations for the nine months ended September 30, 2013. |
Fee_and_Other_Income_Tables
Fee and Other Income (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Schedule of Fee and Other Income from Continuing Operations | ' | ||||||||||||||||
Fee and other income from continuing operations was composed of the following (in millions): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Management, development and other fee income | $ | 10.3 | $ | 10.2 | $ | 31.2 | $ | 33.1 | |||||||||
Ancillary and other property income | 8 | 6.8 | 21.1 | 19.5 | |||||||||||||
Lease termination fees | 1 | 4 | 6.2 | 4.5 | |||||||||||||
Other miscellaneous | 0.1 | 0.1 | 0.4 | 0.3 | |||||||||||||
Total fee and other income | $ | 19.4 | $ | 21.1 | $ | 58.9 | $ | 57.4 | |||||||||
Impairment_Charges_and_Impairm1
Impairment Charges and Impairment of Joint Venture Investments (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Impairment Charges on Consolidated Assets | ' | ||||||||||||||||||||
The Company recorded impairment charges during the three- and nine-month periods ended September 30, 2013 and 2012, based on the difference between the carrying value of the assets or investments and the estimated fair market value as follows (in millions): | |||||||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Land held for development | $ | — | $ | 1.6 | $ | — | $ | 8 | |||||||||||||
Undeveloped land | — | 1 | 2.6 | 20.1 | |||||||||||||||||
Assets marketed for sale (A) | 24.1 | — | 51.5 | 16.6 | |||||||||||||||||
Total continuing operations | $ | 24.1 | $ | 2.6 | $ | 54.1 | $ | 44.7 | |||||||||||||
Sold assets or assets held for sale | — | 5.7 | 12.7 | 61.1 | |||||||||||||||||
Total discontinued operations | $ | — | $ | 5.7 | $ | 12.7 | $ | 61.1 | |||||||||||||
Joint venture investments | — | 26.1 | — | 26.7 | |||||||||||||||||
Total impairment charges | $ | 24.1 | $ | 34.4 | $ | 66.8 | $ | 132.5 | |||||||||||||
(A) | The impairment charges were triggered primarily due to the Company’s marketing of these assets for sale and management’s assessment of the likelihood and timing of one or more potential transactions. | ||||||||||||||||||||
Impairment Charges Measured at Fair Value on Non-Recurring Basis | ' | ||||||||||||||||||||
The following table presents information about the Company’s impairment charges on both financial and nonfinancial assets that were measured on a fair value basis for the nine-month period ended September 30, 2013 and the year ended December 31, 2012. The table also indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions): | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Total | |||||||||||||||||
Losses | |||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||
Long-lived assets held and used | $ | — | $ | — | $ | 161.4 | $ | 161.4 | $ | 66.8 | |||||||||||
December 31, 2012 | |||||||||||||||||||||
Long-lived assets held and used and held for sale | — | — | 180.7 | 180.7 | 126.5 | ||||||||||||||||
Unconsolidated joint venture investment | — | — | 4.7 | 4.7 | 26.7 | ||||||||||||||||
Deconsolidated joint venture investment | — | — | 56.1 | 56.1 | 9.3 | ||||||||||||||||
Summary of Significant Unobservable Inputs | ' | ||||||||||||||||||||
The following table presents quantitative information about the significant unobservable inputs used by the Company to determine the fair value of non-recurring items (in millions): | |||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||||||||
Fair Value at | Range | ||||||||||||||||||||
Description | September 30, | December 31, | Valuation Technique | Unobservable Inputs | 2013 | 2012 | |||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Impairment of consolidated assets | $ | 87.1 | $ | 136.6 | Indicative Bid(A) / Contracted Price | Indicative Bid(A) / Contracted Price | N/A | N/A | |||||||||||||
74.3 | 44.1 | Income Capitalization Approach(B) | Market Capitalization Rate | 7.7 – 10% | 8 – 12% | ||||||||||||||||
Price Per Square Foot | $12 – $117 | $15 – $47 | |||||||||||||||||||
Impairment of joint venture investments(C) | — | 4.7 | Income Capitalization Approach | Market Capitalization Rate | — | 8% | |||||||||||||||
Discounted Cash Flow | Discount Rate | — | 11% | ||||||||||||||||||
Terminal Capitalization Rate | — | 5.5 – 8.5% | |||||||||||||||||||
Deconsolidated joint venture investment(D) | — | 56.1 | Discounted Cash Flow | Discount Rate | — | 8 – 15% | |||||||||||||||
(A) | Fair value measurements based upon indicative bids were developed by third-party sources (including offers and comparable sales values), subject to the Company’s determination of reasonableness. The Company does not have access to certain unobservable inputs used by these third parties to determine these estimated fair values. | ||||||||||||||||||||
(B) | Vacant space in certain assets was valued on a price per square foot. | ||||||||||||||||||||
(C) | The fair value measurements also include consideration of the fair market value of debt. These inputs are further described in the debt section of Note 8. | ||||||||||||||||||||
(D) | Related to loss reported in Change in Control and Sale of Interests recorded in 2012. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Discontinued Operations And Disposal Groups [Abstract] | ' | ||||||||||||||||
Components of Condensed Balance Sheet Related to Assets Held for Sale | ' | ||||||||||||||||
The balance sheet related to the asset held for sale and the operating results related to assets sold or designated as held for sale as of September 30, 2013, are as follows (in thousands): | |||||||||||||||||
September 30, 2013 | |||||||||||||||||
Land | $ | 1,682 | |||||||||||||||
Buildings | 7,441 | ||||||||||||||||
Fixtures and tenant improvements | 245 | ||||||||||||||||
9,368 | |||||||||||||||||
Less: Accumulated depreciation | (1,999 | ) | |||||||||||||||
Total asset held for sale | $ | 7,369 | |||||||||||||||
Operating Results Relating to Assets Sold or Designated as Held for Sale | ' | ||||||||||||||||
The operating results related to assets sold or designated as held for sale as of September 30, 2013, are as follows (in thousands): | |||||||||||||||||
Nine-Month Periods | |||||||||||||||||
Ended September 30, | |||||||||||||||||
Three-Month Periods | |||||||||||||||||
Ended September 30, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Revenues | $ | 2,169 | $ | 7,786 | $ | 11,956 | $ | 27,164 | |||||||||
Operating expenses | 561 | 2,490 | 3,608 | 9,512 | |||||||||||||
Impairment charges | — | 5,698 | 12,661 | 61,165 | |||||||||||||
Interest, net | 412 | 1,547 | 2,609 | 5,957 | |||||||||||||
Depreciation and amortization | 454 | 1,691 | 2,941 | 7,322 | |||||||||||||
1,427 | 11,426 | 21,819 | 83,956 | ||||||||||||||
Income (loss) from discontinued operations | 742 | (3,640 | ) | (9,863 | ) | (56,792 | ) | ||||||||||
Gain (loss) on disposition of real estate, net of tax | 8,701 | (176 | ) | 7,240 | 3,121 | ||||||||||||
Income (loss) from discontinued operations | $ | 9,443 | $ | (3,816 | ) | $ | (2,623 | ) | $ | (53,671 | ) | ||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Computation of Company's Earnings Per Share (EPS) and Reconciliation of Net (Loss) Income from Continuing Operations and Number of Common Shares Used in Computations of "Basic" EPS and "Diluted" EPS | ' | ||||||||||||||||
The following table calculates the Company’s earnings per share (“EPS”) and provides a reconciliation of net loss from continuing operations and the number of common shares used in the computations of “basic” EPS, which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts): | |||||||||||||||||
Three-Month Periods | Nine-Month Periods | ||||||||||||||||
Ended September 30, | Ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic Earnings: | |||||||||||||||||
Continuing Operations: | |||||||||||||||||
(Loss) income from continuing operations | $ | (11,577 | ) | $ | 30,421 | $ | (14,553 | ) | $ | 22,116 | |||||||
Plus: Gain on disposition of real estate | 1,929 | 261 | 347 | 6,161 | |||||||||||||
Plus: Loss attributable to non-controlling interests | (170 | ) | (128 | ) | (556 | ) | (424 | ) | |||||||||
Write-off of preferred share original issuance costs | — | (5,804 | ) | (5,246 | ) | (5,804 | ) | ||||||||||
Preferred dividends | (6,608 | ) | (7,681 | ) | (21,113 | ) | (21,616 | ) | |||||||||
Less: Earnings attributable to unvested shares and operating partnership units | (330 | ) | (323 | ) | (1,052 | ) | (919 | ) | |||||||||
Basic—(Loss) income from continuing operations | $ | (16,756 | ) | $ | 16,746 | $ | (42,173 | ) | $ | (486 | ) | ||||||
Discontinued Operations: | |||||||||||||||||
Basic—Income (loss) from discontinued operations | 9,443 | (3,816 | ) | (2,623 | ) | (53,671 | ) | ||||||||||
Basic—Net (loss) income attributable to DDR common shareholders after allocation to participating securities | $ | (7,313 | ) | $ | 12,930 | $ | (44,796 | ) | $ | (54,157 | ) | ||||||
Diluted Earnings: | |||||||||||||||||
Continuing Operations: | |||||||||||||||||
Basic—(Loss) income from continuing operations | $ | (16,426 | ) | $ | 17,069 | $ | (41,121 | ) | $ | 433 | |||||||
Less: Earnings attributable to unvested shares and operating partnership units | (330 | ) | (323 | ) | (1,052 | ) | (919 | ) | |||||||||
Diluted—(Loss) income from continuing operations | (16,756 | ) | 16,746 | (42,173 | ) | (486 | ) | ||||||||||
Discontinued Operations: | |||||||||||||||||
Basic—Income (loss) from discontinued operations | 9,443 | (3,816 | ) | (2,623 | ) | (53,671 | ) | ||||||||||
Diluted—Net (loss) income attributable to DDR common shareholders after allocation to participating securities | $ | (7,313 | ) | $ | 12,930 | $ | (44,796 | ) | $ | (54,157 | ) | ||||||
Number of Shares: | |||||||||||||||||
Basic—Average shares outstanding | 318,184 | 302,232 | 316,146 | 286,016 | |||||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock options | — | 490 | — | 479 | |||||||||||||
Value sharing equity program | — | 202 | — | 169 | |||||||||||||
Forward equity agreement | — | — | — | 1,033 | |||||||||||||
Diluted—Average shares outstanding | 318,184 | 302,924 | 316,146 | 287,697 | |||||||||||||
Basic Earnings Per Share: | |||||||||||||||||
(Loss) income from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | 0.05 | $ | (0.13 | ) | $ | 0 | |||||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.19 | ) | ||||||||||
Net (loss) income attributable to DDR common shareholders | $ | (0.02 | ) | $ | 0.04 | $ | (0.14 | ) | $ | (0.19 | ) | ||||||
Dilutive Earnings Per Share: | |||||||||||||||||
(Loss) income from continuing operations attributable to DDR common shareholders | $ | (0.05 | ) | $ | 0.05 | $ | (0.13 | ) | $ | 0 | |||||||
Income (loss) from discontinued operations attributable to DDR common shareholders | 0.03 | (0.01 | ) | (0.01 | ) | (0.19 | ) | ||||||||||
Net (loss) income attributable to DDR common shareholders | $ | (0.02 | ) | $ | 0.04 | $ | (0.14 | ) | $ | (0.19 | ) | ||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Company's Reportable Segments | ' | ||||||||||||||||||||
The tables below present information about the Company’s reportable operating segments and reflect the impact of discontinued operations (Note 14) (in thousands): | |||||||||||||||||||||
Three-Month Period Ended September 30, 2013 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 219,354 | $ | 14 | $ | 219,368 | |||||||||||||||
Operating expenses(B) | (87,330 | ) | (75 | ) | (87,405 | ) | |||||||||||||||
Net operating income (loss) | 132,024 | (61 | ) | 131,963 | |||||||||||||||||
Depreciation and amortization | (74,141 | ) | (74,141 | ) | |||||||||||||||||
Interest income | 6,691 | 6,691 | |||||||||||||||||||
Other income (expense), net | $ | (2,282 | ) | (2,282 | ) | ||||||||||||||||
Unallocated expenses(C) | (77,588 | ) | (77,588 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (660 | ) | $ | 4,440 | 3,780 | ||||||||||||||||
Loss from continuing operations | $ | (11,577 | ) | ||||||||||||||||||
Three-Month Period Ended September 30, 2012 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 197,272 | $ | 5 | $ | 197,277 | |||||||||||||||
Operating expenses(B) | (58,365 | ) | (150 | ) | (58,515 | ) | |||||||||||||||
Net operating income (loss) | 138,907 | (145 | ) | 138,762 | |||||||||||||||||
Depreciation and amortization | (59,620 | ) | (59,620 | ) | |||||||||||||||||
Interest income | 5,661 | 5,661 | |||||||||||||||||||
Other income (expense), net | $ | (1,868 | ) | (1,868 | ) | ||||||||||||||||
Gain on change in control of interests | 40,645 | 40,645 | |||||||||||||||||||
Unallocated expenses(C) | (72,534 | ) | (72,534 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (441 | ) | $ | 5,927 | 5,486 | ||||||||||||||||
Impairment of joint venture investments | (26,111 | ) | |||||||||||||||||||
Income from continuing operations | $ | 30,421 | |||||||||||||||||||
Nine-Month Period Ended September 30, 2013 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 640,012 | $ | 29 | $ | 640,041 | |||||||||||||||
Operating expenses(B) | (238,109 | ) | (377 | ) | (238,486 | ) | |||||||||||||||
Net operating income (loss) | 401,903 | (348 | ) | 401,555 | |||||||||||||||||
Depreciation and amortization | (211,200 | ) | (211,200 | ) | |||||||||||||||||
Interest income | 20,365 | 20,365 | |||||||||||||||||||
Other income (expense), net | $ | (3,288 | ) | (3,288 | ) | ||||||||||||||||
Gain on change in control on interests | 1,066 | 1,066 | |||||||||||||||||||
Unallocated expenses(C) | (228,594 | ) | (228,594 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (7,677 | ) | $ | 13,220 | 5,543 | ||||||||||||||||
Loss from continuing operations | $ | (14,553 | ) | ||||||||||||||||||
As of September 30, 2013: | |||||||||||||||||||||
Total gross real estate assets | $ | 8,921,305 | $ | 8,921,305 | |||||||||||||||||
Notes receivable, net | $ | 302,130 | (D) | $ | (224,273 | )(D) | $ | 77,857 | |||||||||||||
Nine-Month Period Ended September 30, 2012 | |||||||||||||||||||||
Shopping | Loan | Brazil | Other | Total | |||||||||||||||||
Centers | Investments | Equity | |||||||||||||||||||
Investment (A) | |||||||||||||||||||||
Total revenues | $ | 571,042 | $ | 12 | $ | 571,054 | |||||||||||||||
Operating expenses(B) | (210,800 | ) | (433 | ) | (211,233 | ) | |||||||||||||||
Net operating income (loss) | 360,242 | (421 | ) | 359,821 | |||||||||||||||||
Depreciation and amortization | (178,535 | ) | (178,535 | ) | |||||||||||||||||
Interest income | 9,829 | 9,829 | |||||||||||||||||||
Other income (expense), net | $ | (7,100 | ) | (7,100 | ) | ||||||||||||||||
Gain on change in control of interests | 79,993 | 79,993 | |||||||||||||||||||
Unallocated expenses(C) | (232,187 | ) | (232,187 | ) | |||||||||||||||||
Equity in net (loss) income of joint ventures | (3,484 | ) | $ | 20,450 | 16,966 | ||||||||||||||||
Impairment of joint venture investments | (26,671 | ) | |||||||||||||||||||
Income from continuing operations | $ | 22,116 | |||||||||||||||||||
As of September 30, 2012: | |||||||||||||||||||||
Total gross real estate assets | $ | 8,583,201 | $ | 7,093 | $ | 8,590,294 | |||||||||||||||
Notes receivable, net | $ | 240,583 | (D) | $ | (177,470 | )(D) | $ | 63,113 | |||||||||||||
(A) | The carrying value of the Brazil Equity Investment is not a measure used by executive management for purposes of decision making related to asset allocation or performance assessment of this segment. | ||||||||||||||||||||
(B) | Includes impairment charges of $24.1 million and $2.6 million for the three-month periods ended September 30, 2013 and 2012, respectively, and $54.1 million and $44.7 million for the nine-month periods ended September 30, 2013 and 2012, respectively. | ||||||||||||||||||||
(C) | Unallocated expenses consist of general and administrative expenses, interest expense, loss/gain on debt retirement, and tax benefit/expense as listed in the condensed consolidated statements of operations. | ||||||||||||||||||||
(D) | Amount includes loans to affiliates classified in Investments in and Advances to Joint Ventures on the condensed consolidated balance sheet. |
Nature_of_Business_and_Financi2
Nature of Business and Financial Statement Presentation - Additional Information (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Significant Accounting Policies [Line Items] | ' | ' |
Total real estate assets, net | $7,139,441,000 | $6,968,394,000 |
Variable Interest Entity, Primary Beneficiary [Member] | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' |
Total real estate assets, net | 186,300,000 | 184,600,000 |
Mortgages | 19,400,000 | 21,500,000 |
Other real estate liabilities | $1,800,000 | $1,900,000 |
Investments_in_and_Advances_to2
Investments in and Advances to Joint Ventures - Additional Information (Detail) (USD $) | 1 Months Ended | 9 Months Ended | 1 Months Ended | |||
Aug. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Apr. 30, 2013 | Aug. 31, 2013 | |
Assets | Assets | Store | DDRTC JV [Member] | BRE DDR Retail Holdings II [Member] | ||
Store | Assets | ShoppingCenter | ||||
Assets | ||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' |
Shopping centers owned | ' | 203 | ' | 206 | ' | ' |
Shopping centers owned | ' | ' | ' | ' | ' | 7 |
Joint venture purchase price | ' | ' | ' | ' | ' | $332,000,000 |
Debt assumed | ' | ' | 246,200,000 | ' | ' | 206,600,000 |
New Mortgage Debt | ' | 21,967,000 | 592,000 | ' | ' | 28,000,000 |
Ownership interest of joint venture partner | ' | ' | ' | ' | 85.00% | 95.00% |
Ownership interest in joint venture | 5.00% | ' | ' | ' | ' | ' |
Investment on preferred equity | 30,000,000 | 198,500,000 | ' | 154,600,000 | ' | ' |
Fixed distribution rate | 9.00% | ' | ' | ' | ' | ' |
Number of assets included in right of first offer | ' | ' | ' | ' | ' | 4 |
Number of joint venture assets acquired | ' | 5 | 5 | ' | 5 | ' |
Purchase price of acquired entities | ' | ' | ' | ' | 110,500,000 | ' |
Repaid mortgage debt | ' | ' | ' | ' | $92,400,000 | ' |
Investments_in_and_Advances_to3
Investments in and Advances to Joint Ventures - Condensed Combined Financial Information of Company's Unconsolidated Joint Venture Investments (Detail) (USD $) | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Land | $1,902,915 | ' | $1,900,401 |
Buildings | 5,970,428 | ' | 5,773,961 |
Fixtures and tenant improvements | 542,226 | ' | 489,626 |
Total real estate rental property | 8,415,569 | ' | 8,163,988 |
Less: Accumulated depreciation | -1,779,865 | ' | -1,670,717 |
Land held for development and construction in progress | 496,368 | ' | 475,123 |
Total real estate assets, net | 7,139,441 | ' | 6,968,394 |
Other assets | 434,658 | ' | 350,876 |
Total assets | 8,345,143 | ' | 8,055,837 |
Mortgage debt | 1,749,852 | ' | 1,674,141 |
Total liabilities | 4,992,816 | ' | 4,689,377 |
Redeemable preferred equity | 198,500 | 30,000 | 154,600 |
Total liabilities and equity | 8,345,143 | ' | 8,055,837 |
Unconsolidated Joint Ventures [Member] | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Land | 1,552,832 | ' | 1,569,548 |
Buildings | 4,653,035 | ' | 4,681,462 |
Fixtures and tenant improvements | 284,451 | ' | 244,293 |
Total real estate rental property | 6,490,318 | ' | 6,495,303 |
Less: Accumulated depreciation | -873,212 | ' | -833,816 |
Total real estate assets, net | 5,617,106 | ' | 5,661,487 |
Land held for development and construction in progress | 283,241 | ' | 348,822 |
Total real estate assets, net | 5,900,347 | ' | 6,010,309 |
Cash and restricted cash | 355,283 | ' | 467,200 |
Receivables, net | 104,422 | ' | 99,098 |
Other assets | 410,985 | ' | 427,014 |
Total assets | 6,771,037 | ' | 7,003,621 |
Mortgage debt | 4,210,034 | ' | 4,246,407 |
Notes and accrued interest payable to DDR | 156,743 | ' | 143,338 |
Other liabilities | 293,711 | ' | 342,614 |
Total liabilities | 4,660,488 | ' | 4,732,359 |
Redeemable preferred equity | 198,521 | ' | 154,556 |
Accumulated equity | 1,912,028 | ' | 2,116,706 |
Total liabilities and equity | 6,771,037 | ' | 7,003,621 |
Company's share of Accumulated Equity | $391,417 | ' | $432,500 |
Investments_in_and_Advances_to4
Investments in and Advances to Joint Ventures - Condensed Combined Financial Information of Company's Unconsolidated Joint Venture Investments (Parenthetical) (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Equity Method Investments [Line Items] | ' | ' |
Amounts receivable from joint ventures | $35,900 | $34,300 |
Unconsolidated Joint Ventures [Member] | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Cash and restricted cash | 355,283 | 467,200 |
Amounts receivable from joint ventures | 35,900 | 34,300 |
Sonae Sierra Brasil BV SARL [Member] | Unconsolidated Joint Ventures [Member] | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Cash and restricted cash | $230,800 | $347,900 |
Investments_in_and_Advances_to5
Investments in and Advances to Joint Ventures - Condensed Combined Statements of Operations of Unconsolidated Joint Venture Investments (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Condensed Combined Statements of Operations | ' | ' | ' | ' |
Revenues from operations | $219,368 | $197,277 | $640,041 | $571,054 |
Operating expenses | 180,792 | 136,682 | 508,809 | 446,459 |
Impairment charges | 24,136 | 2,560 | 54,134 | 44,692 |
Depreciation and amortization | 74,141 | 59,620 | 211,200 | 178,535 |
Interest expense | 57,936 | 53,724 | 166,990 | 161,203 |
(Loss) income before tax expense and discontinued operations | -11,171 | 30,684 | -12,072 | 22,914 |
Income tax expense (primarily Sonae Sierra Brasil), net | -406 | -263 | -2,481 | -798 |
Loss from continuing operations | -11,577 | 30,421 | -14,553 | 22,116 |
Discontinued Operations: | ' | ' | ' | ' |
(Loss) gain on disposition of real estate, net of tax | 8,701 | -176 | 7,240 | 3,121 |
Loss before gain on disposition of real estate, net | -2,134 | 26,605 | -17,176 | -31,555 |
Gain on disposition of real estate, net | 1,929 | 261 | 347 | 6,161 |
Non-controlling interests | -170 | -128 | -556 | -424 |
Net loss attributable to unconsolidated joint ventures | -375 | 26,738 | -17,385 | -25,818 |
Equity in net income of joint ventures | 3,780 | 5,486 | 5,543 | 16,966 |
Unconsolidated Joint Ventures [Member] | ' | ' | ' | ' |
Condensed Combined Statements of Operations | ' | ' | ' | ' |
Revenues from operations | 181,671 | 183,187 | 545,603 | 498,018 |
Operating expenses | 65,435 | 62,191 | 191,389 | 174,252 |
Impairment charges | 21,875 | 0 | 66,438 | 840 |
Depreciation and amortization | 58,080 | 64,491 | 179,027 | 142,361 |
Interest expense | 58,433 | 58,876 | 175,840 | 167,740 |
Total expenses | 203,823 | 185,558 | 612,694 | 485,193 |
(Loss) income before tax expense and discontinued operations | -22,152 | -2,371 | -67,091 | 12,825 |
Income tax expense (primarily Sonae Sierra Brasil), net | -6,446 | -6,591 | -20,299 | -18,781 |
Loss from continuing operations | -28,598 | -8,962 | -87,390 | -5,956 |
Discontinued Operations: | ' | ' | ' | ' |
Loss from discontinued operations | -2,403 | -42,976 | -7,054 | -57,661 |
(Loss) gain on disposition of real estate, net of tax | -21,228 | 1,183 | -27,133 | 1,290 |
Loss before gain on disposition of real estate, net | -52,229 | -50,755 | -121,577 | -62,327 |
Gain on disposition of real estate, net | 151 | 1,128 | 794 | 14,230 |
Net loss | -52,078 | -49,627 | -120,783 | -48,097 |
Non-controlling interests | -5,800 | -6,155 | -19,715 | -19,689 |
Net loss attributable to unconsolidated joint ventures | -57,878 | -55,782 | -140,498 | -67,786 |
Company's share of equity in net income (loss) of joint ventures | 2,800 | -1,613 | 4,328 | 11,739 |
Amortization of basis differentials | 980 | 7,099 | 1,215 | 5,227 |
Equity in net income of joint ventures | $3,780 | $5,486 | $5,543 | $16,966 |
Investments_in_and_Advances_to6
Investments in and Advances to Joint Ventures - Condensed Combined Statements of Operations of Unconsolidated Joint Venture Investments (Parenthetical) (Detail) (USD $) | Sep. 30, 2013 | Aug. 31, 2013 | Sep. 30, 2013 |
Coventry II Fund JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Investment Percentage in joint venture | ' | 5.00% | 20.00% |
Loss on property transfer | ' | ' | $32,600,000 |
Joint venture net loss attributable to company | ' | ' | 0 |
Investment basis Value For which No Income Loss Recognized | 0 | ' | ' |
Obligation or Intent to fund additional capital | $0 | ' | ' |
Investments_in_and_Advances_to7
Investments in and Advances to Joint Ventures - Investments in and Advances to Joint Ventures (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Notes and accrued interest payable to DDR | $35,900,000 | $34,300,000 |
Investments in and Advances to Joint Ventures | 631,983,000 | 613,017,000 |
Unconsolidated Joint Ventures [Member] | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Company's share of accumulated equity | 391,400,000 | 432,500,000 |
Redeemable preferred equity and other | 199,000,000 | 155,000,000 |
Basis differentials | 8,600,000 | -5,900,000 |
Deferred development fees, net of portion related to the Company's interest | -2,900,000 | -2,900,000 |
Notes and accrued interest payable to DDR | 35,900,000 | 34,300,000 |
Investments in and Advances to Joint Ventures | $632,000,000 | $613,000,000 |
Investments_in_and_Advances_to8
Investments in and Advances to Joint Ventures - Investments in and Advances to Joint Ventures (Parenthetical) (Detail) (USD $) | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 | Oct. 31, 2013 |
Subsequent Events [Member] | ||||
ShoppingCenter | ||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Preferred equity investment in BRE DDR Retail Holdings, LLC | $198,500,000 | $30,000,000 | $154,600,000 | ' |
Number of joint venture assets acquired | ' | ' | ' | 30 |
Preferred equity interest | ' | ' | ' | $148,800,000 |
Investments_in_and_Advances_to9
Investments in and Advances to Joint Ventures - Service Fees and Income Earned by Company's Unconsolidated Joint Ventures (Detail) (Unconsolidated Joint Ventures [Member], USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Unconsolidated Joint Ventures [Member] | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Management and other fees | $7.40 | $7.60 | $22.60 | $20.90 |
Development fees and leasing commissions | 2.7 | 2.3 | 7.9 | 6.2 |
Interest income | $5.30 | $4.70 | $14.40 | $5.10 |
Acquisitions_Summary_of_Acquir
Acquisitions - Summary of Acquired Shopping Centers (Detail) (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Business Acquisition [Line Items] | ' | ' |
Face Value of Mortgage Debt Assumed | ' | $246,200,000 |
Orlando, FL and Atlanta, GA [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date of shopping centers | 'July 2013 | ' |
Gross Purchase Price | 258,500,000 | ' |
Face Value of Mortgage Debt Assumed | 139,400,000 | ' |
Parcels Adjacent to Existing Shopping Centers [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date of shopping centers | 'June 2013 | ' |
Gross Purchase Price | 11,700,000 | ' |
Face Value of Mortgage Debt Assumed | ' | ' |
Tampa, FL, Atlanta, GA, Newport News, VA and Richmond, VA (2 assets) [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date of shopping centers | 'April 2013 | ' |
Gross Purchase Price | 110,500,000 | ' |
Face Value of Mortgage Debt Assumed | ' | ' |
Dallas, TX [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date of shopping centers | 'March 2013 | ' |
Gross Purchase Price | 40,300,000 | ' |
Face Value of Mortgage Debt Assumed | ' | ' |
Oakland, CA [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date of shopping centers | 'February 2013 | ' |
Gross Purchase Price | 41,100,000 | ' |
Face Value of Mortgage Debt Assumed | ' | ' |
Acquisitions_Schedule_of_Acqui
Acquisitions - Schedule of Acquisition Cost of Shopping Centers (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Business Acquisition [Line Items] | ' | ' |
Less: Mortgage debt assumed | ' | ($246,200) |
Shopping Centers Acquired [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Land | 76,915 | ' |
Buildings | 323,047 | ' |
Tenant improvements | 9,714 | ' |
Assets acquired | 487,845 | ' |
Less: Mortgage debt assumed | -148,497 | ' |
Less: Below-market leases | -16,716 | ' |
Net assets acquired | 322,632 | ' |
Leases, Acquired-in-Place, Market Adjustment [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Weighted Average Amortization Period | '5 years 10 months 24 days | ' |
Leases, Acquired-in-Place, Market Adjustment [Member] | Shopping Centers Acquired [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Intangible assets acquired | 52,253 | ' |
Tenant Relations [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Weighted Average Amortization Period | '7 years 2 months 12 days | ' |
Tenant Relations [Member] | Shopping Centers Acquired [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Intangible assets acquired | $25,916 | ' |
Below-Market Leases [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Weighted Average Amortization Period | '18 years 8 months 12 days | ' |
Acquisitions_Schedule_of_Acqui1
Acquisitions - Schedule of Acquisition Cost of Shopping Centers (Parenthetical) (Detail) (USD $) | Sep. 30, 2013 |
In Millions, unless otherwise specified | |
Business Combinations [Abstract] | ' |
Above-market value of leases | $6 |
Acquisitions_Consideration_Det
Acquisitions - Consideration (Detail) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
Business Combination [Abstract] | ' |
Cash (including debt repaid at closing) | $306,100 |
Fair value of previously held equity interests | 16,532 |
Total consideration | $322,632 |
Acquisitions_Unaudited_Supplem
Acquisitions - Unaudited Supplement to Pro Forma Operating Data (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Business Combinations [Abstract] | ' | ' | ' | ' |
Pro forma revenues | $220,586 | $214,349 | $658,291 | $631,873 |
Pro forma loss from continuing operations | -11,638 | -10,521 | -15,767 | -58,757 |
Pro forma income (loss) from discontinued operations | 9,443 | -3,816 | -2,623 | -53,671 |
Pro forma net loss attributable to DDR common shareholders | ($7,044) | ($27,689) | ($44,958) | ($134,111) |
Basic earnings per share data: | ' | ' | ' | ' |
Loss from continuing operations attributable to DDR common shareholders | ($0.05) | ($0.07) | ($0.13) | ($0.26) |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.17) |
Net loss attributable to DDR common shareholders | ($0.02) | ($0.08) | ($0.14) | ($0.43) |
Diluted earnings per share data: | ' | ' | ' | ' |
Loss from continuing operations attributable to DDR common shareholders | ($0.05) | ($0.07) | ($0.13) | ($0.26) |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.17) |
Net loss attributable to DDR common shareholders | ($0.02) | ($0.08) | ($0.14) | ($0.43) |
Notes_Receivable_Components_of
Notes Receivable - Components of Notes Receivable (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Receivables [Abstract] | ' | ' | ' | ' |
Loans receivable | $71,645 | $60,378 | $54,838 | $84,541 |
Other notes | 1,038 | 3,093 | ' | ' |
Tax Increment Financing Bonds ("TIF Bonds") | 5,174 | 5,247 | ' | ' |
Notes receivable, net | $77,857 | $68,718 | $63,113 | ' |
Notes_Receivable_Additional_In
Notes Receivable - Additional Information (Detail) (USD $) | 9 Months Ended | 12 Months Ended | 1 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Oct. 31, 2013 |
SecurityLoan | SecurityLoan | Subsequent Events [Member] | |
ShoppingCenter | |||
Mortgage Loans on Real Estate [Line Items] | ' | ' | ' |
Number of loans receivable outstanding | 7 | 6 | ' |
Number of prime power centers acquired | ' | ' | 30 |
Maturity date of the principal amount | 'September 2011 | ' | ' |
Principal amount of loans subject to delinquent principal or interest | $9.80 | ' | ' |
Number of loans outstanding | 1 | ' | ' |
Loan loss reserve | $4.30 | ' | ' |
Past due on interest payments | '90 days | ' | ' |
Notes_Receivable_Loans_Receiva
Notes Receivable - Loans Receivable on Real Estate (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Mortgage Loans On Real Estate [Abstract] | ' | ' |
Balance at January 1 | $60,378 | $84,541 |
Additions: | ' | ' |
New mortgage loans | 21,967 | 592 |
Interest | 319 | 790 |
Accretion of discount | 651 | 615 |
Deductions: | ' | ' |
Payments of principal and interest | -11,670 | 0 |
Other | 0 | -31,700 |
Balance at September 30 | $71,645 | $54,838 |
Other_Assets_Net_Components_of
Other Assets, Net - Components of Other Assets (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total intangible assets, net | $181,843 | $129,280 |
Accounts receivable, net | 119,061 | 126,228 |
Deferred charges, net | 38,367 | 42,498 |
Prepaid expenses | 15,850 | 12,469 |
Other assets | 44,042 | 29,821 |
Deposits | 35,495 | 10,580 |
Total other assets, net | 434,658 | 350,876 |
Lease Origination Costs and Fair Market Value of Leases, Acquired-in-Place [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total intangible assets, net | 102,485 | 67,105 |
Tenant Relations, Net [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total intangible assets, net | $79,358 | $62,175 |
Other_Assets_Net_Components_of1
Other Assets, Net - Components of Other Assets (Parenthetical) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' | ' | ' | ' |
Amortization expense | $8.60 | $4.90 | $22.40 | $11.70 | ' |
Straight-line rents receivable, net | $61.40 | ' | $61.40 | ' | $58.20 |
Revolving_Credit_Facilities_an2
Revolving Credit Facilities and Term Loans - Information Regarding Company's Revolving Credit Facilities, Term Loans (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Unsecured revolving credit facility arranged by JP Morgan Securities, LLC and Wells Fargo Securities LLC [Member] | Unsecured revolving credit facility with PNC Bank National Association [Member] | Unsecured Term Loan - Tranche 1 [Member] | Unsecured Term Loan- Tranche 2 [Member] | Secured Term Loan with Key Bank National Association [Member] | |||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Carrying Value | ' | ' | $42,900,000 | $0 | ' | ' | ' |
Unsecured term loan | 350,000,000 | 350,000,000 | ' | ' | 50,000,000 | 300,000,000 | ' |
Secured term loan | $400,000,000 | $400,000,000 | ' | ' | ' | ' | $400,000,000 |
Weighted Average Interest Rate | ' | ' | 2.20% | ' | ' | ' | ' |
Term Loan | ' | ' | ' | ' | 2.30% | 3.40% | 2.00% |
Maturity Date | ' | ' | 30-Apr-17 | 30-Apr-17 | ' | ' | ' |
Term loan maturity date | ' | ' | ' | ' | 31-Jan-17 | 31-Jan-19 | 30-Apr-17 |
Revolving_Credit_Facilities_an3
Revolving Credit Facilities and Term Loans - Additional Information (Detail) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Unsecured revolving credit facility arranged by JP Morgan Securities, LLC and Wells Fargo Securities LLC [Member] | ' |
Debt Instrument [Line Items] | ' |
Unsecured revolving credit facility borrowing capacity | $750,000,000 |
Accordion feature | 1,250,000,000 |
Extension maturity period | '1 year |
Extended Maturity Date | 30-Apr-18 |
Line of credit facility competitive bid option on periodic interest rates | 'Up to 50% of the facility |
Facility fee | 0.30% |
Carrying Value | 42,900,000 |
Unsecured revolving credit facility with PNC Bank National Association [Member] | ' |
Debt Instrument [Line Items] | ' |
Carrying Value | 0 |
Unsecured revolving credit facility | 65,000,000 |
Revolving Credit Facilities [Member] | ' |
Debt Instrument [Line Items] | ' |
Specified spread line of credit facility LIBOR rate | 1.40% |
Specified spread line of credit facility prime rate | 0.40% |
Covenant compliance | 'The Company was in compliance with these covenants at September 30, 2013. |
Secured Term Loan with Key Bank National Association [Member] | ' |
Debt Instrument [Line Items] | ' |
Extension maturity period | '1 year |
Extended Maturity Date | 30-Apr-18 |
Specified spread line of credit facility LIBOR rate | 1.55% |
Covenant compliance | 'The Company was in compliance with these covenants at September 30, 2013. |
Euro-denominated borrowings [Member] | ' |
Debt Instrument [Line Items] | ' |
Carrying Value | 5,000,000 |
Canadian borrowings [Member] | ' |
Debt Instrument [Line Items] | ' |
Carrying Value | $25,400,000 |
Senior_Notes_Additional_Inform
Senior Notes - Additional Information (Detail) (Senior Unsecured Notes Due May 2023 [Member], USD $) | 1 Months Ended |
In Millions, unless otherwise specified | 31-May-13 |
Senior Unsecured Notes Due May 2023 [Member] | ' |
Debt Instrument [Line Items] | ' |
Senior notes principal amount | $300 |
Interest rate of senior notes | 3.38% |
Debt Instrument, Maturity Date | 31-May-23 |
Financial_Instruments_Items_Me
Financial Instruments - Items Measured at Fair Value on a Recurring Basis (Detail) (Fair Value, Measurements, Recurring [Member], USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative financial instruments | ($6) | ($17.10) |
Marketable securities | 7.5 | 2.9 |
Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative financial instruments | 0 | 0 |
Marketable securities | 7.5 | 2.9 |
Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative financial instruments | -6 | -17.1 |
Marketable securities | 0 | 0 |
Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative financial instruments | 0 | 0 |
Marketable securities | $0 | $0 |
Financial_Instruments_Addition
Financial Instruments - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Derivative | Derivative | ||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ' | ' | ' | ' |
Change in fair value of interest-rate contracts | ($1,537,000) | ($3,988,000) | $11,107,000 | ($14,995,000) | ' |
Approximate fair value of notes | 305,900,000 | ' | 305,900,000 | ' | 250,700,000 |
Carrying amount of notes | 303,600,000 | ' | 303,600,000 | ' | 250,400,000 |
Tax Increment Financing Bonds ("TIF Bonds") | 5,174,000 | ' | 5,174,000 | ' | 5,247,000 |
Aggregate notional amount | 631,800,000 | ' | 631,800,000 | ' | 632,800,000 |
Number of interest rate derivatives held | 10 | ' | 10 | ' | ' |
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months, net | ($6,700,000) | ' | ($6,700,000) | ' | ' |
Financial_Instruments_Debt_Ins
Financial Instruments - Debt Instruments with Carrying Values Different than Estimated Fair Values (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Disclosures [Abstract] | ' | ' |
Senior notes, Carrying Amount | $2,453,336 | $2,147,097 |
Revolving Credit Facilities and term loans, Carrying Amount | 792,869 | 897,905 |
Mortgage indebtedness, Carrying Amount | 1,349,852 | 1,274,141 |
Total indebtedness | 4,596,057 | 4,319,143 |
Senior notes, Fair Value | 2,702,949 | 2,503,127 |
Revolving Credit Facilities and term loans, Fair Value | 794,912 | 903,210 |
Mortgage indebtedness, Fair Value | 1,371,949 | 1,324,969 |
Long-term debt, Fair Value Total | $4,869,810 | $4,731,306 |
Financial_Instruments_Informat
Financial Instruments - Information Regarding Swaps (Detail) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Derivative [Line Items] | ' | ' |
Notional amount of interest rate derivatives | $631.80 | $632.80 |
Asset | 1.1 | 0 |
Liability | -7.1 | -17.1 |
Interest Rate Swaps One [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 28-Jun-14 | ' |
Notional amount of interest rate derivatives | 100 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 1.00% | ' |
Asset | 0 | 0 |
Liability | -0.6 | -1.2 |
Interest Rate Swaps Two [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 1-Jun-15 | ' |
Notional amount of interest rate derivatives | 50 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 0.60% | ' |
Asset | 0 | 0 |
Liability | -0.2 | -0.3 |
Interest Rate Swaps Three [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 1-Jul-15 | ' |
Notional amount of interest rate derivatives | 100 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 0.50% | ' |
Asset | 0 | 0 |
Liability | -0.4 | -0.5 |
Interest Rate Swaps Four [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 1-Sep-17 | ' |
Notional amount of interest rate derivatives | 81.8 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 2.80% | ' |
Asset | 0 | 0 |
Liability | -5.6 | -7.8 |
Interest Rate Swaps Five [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 2-Jan-18 | ' |
Notional amount of interest rate derivatives | 100 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 0.90% | ' |
Asset | 1 | 0 |
Liability | 0 | -0.7 |
Interest Rate Swaps Six [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 1-Feb-19 | ' |
Notional amount of interest rate derivatives | 100 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 1.60% | ' |
Asset | 0 | 0 |
Liability | -0.3 | -3.5 |
Interest Rate Swaps Seven [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Maturity Date | 1-Feb-19 | ' |
Notional amount of interest rate derivatives | 100 | ' |
Counterparty Pays Variable Rate | '1 Month LIBOR | ' |
Fixed Rate | 1.50% | ' |
Asset | 0.1 | 0 |
Liability | $0 | ($3.10) |
Financial_Instruments_Net_Inve
Financial Instruments - Net Investment Hedge Derivative Instruments on OCI (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Derivative [Line Items] | ' | ' | ' | ' |
Amount of Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) | ($0.70) | ($1.50) | $0.70 | ($0.80) |
Euro-denominated [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Amount of Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) | -0.2 | -0.2 | -0.1 | 0.1 |
Canadian dollar-denominated [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Amount of Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) | ($0.50) | ($1.30) | $0.80 | ($0.90) |
Financial_Instruments_Effect_o
Financial Instruments - Effect of the Company's Derivative Instruments on Net Income (Loss) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Interest Rate Products [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in OCI, (Effective Portion) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in OCI, (Effective Portion) | ($1.50) | ($4) | $11.10 | ($10.30) |
Interest Expense [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in OCI, (Effective Portion) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into (Income) Loss, (Effective Portion) | ($0.10) | $0.40 | ($0.30) | $0.20 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Jan. 23, 2013 |
Property | Oxford [Member] | Oxford [Member] | |
Contingencies And Commitments [Line Items] | ' | ' | ' |
Number of existing retail properties | 10 | ' | ' |
Minimum amount of compensatory and consequential damages | 'Not less than $500 million | ' | ' |
Amount transferred to pay vendors pursuant to an agreement | ' | ' | $11 |
Unasserted claim under agreement | ' | $5 | ' |
Equity_Additional_Information_
Equity - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 9 Months Ended | ||||||||||
Share data in Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Apr. 30, 2013 | 31-May-13 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 |
Forward Sale [Member] | Subsequent Events [Member] | Subsequent Events [Member] | Class K Preferred Stock [Member] | Class H Preferred Shares [Member] | Class H Preferred Shares [Member] | Class H Preferred Shares [Member] | VSEP Grants [Member] | Additional Vesting [Member] | Performance Period [Member] | Absolute Performance Awards [Member] | Relative Performance Awards [Member] | |||||
Forward Contracts [Member] | Forward Sale [Member] | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of common shares | ' | ' | ' | ' | 39.1 | ' | 39.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares settled under forward equity agreement | ' | ' | 3.96 | ' | ' | 35.14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Settlement rate of shares settled under forward equity agreement | ' | ' | $17.94 | ' | ' | $17.94 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of common stock, forward equity agreements | ' | ' | $158,048,000 | $418,522,000 | ' | $701,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common shares issued | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common equity program, generating gross proceeds per share | ' | ' | $17.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gross proceeds | ' | ' | 88,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cumulative redeemable preferred shares | 205,000,000 | ' | 205,000,000 | ' | ' | ' | ' | 150,000,000 | ' | 55,000,000 | 205,000,000 | ' | ' | ' | ' | ' |
Preferred stock dividend rate | ' | ' | 7.38% | 7.50% | ' | ' | ' | 6.25% | ' | ' | ' | ' | ' | ' | ' | ' |
preferred stock stated value | ' | ' | ' | ' | ' | ' | ' | $500 | ' | $500 | $500 | ' | ' | ' | ' | ' |
Cumulative redeemable preferred shares share redemption price per share | ' | ' | ' | ' | ' | ' | ' | $25 | $25 | ' | ' | ' | ' | ' | ' | ' |
Preferred Stock redemption value | ' | ' | ' | ' | ' | ' | ' | ' | 150,000,000 | ' | ' | ' | ' | ' | ' | ' |
Cumulative redeemable preferred shares total redemption price per share | ' | ' | ' | ' | ' | ' | ' | ' | $25.11 | ' | ' | ' | ' | ' | ' | ' |
Redeemable preferred stock dividend per share prorated to redemption date | ' | ' | ' | ' | ' | ' | ' | ' | $0.11 | ' | ' | ' | ' | ' | ' | ' |
Write-off of preferred share original issuance costs | 0 | 5,804,000 | 5,246,000 | 5,804,000 | ' | ' | ' | ' | 5,200,000 | ' | ' | ' | ' | ' | ' | ' |
Period for which the options granted are generally vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '7 years | '4 years | '3 years | ' | ' |
Compound annual growth rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.00% | ' |
Performance awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18,000,000 | 36,000,000 |
Aggregate percentage of performance awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.41% | 1.93% |
Expected vesting percentage | ' | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation costs | ' | ' | $7,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of recognition of unrecognized stock option compensation costs | ' | ' | '6 years 3 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity_Common_Share_Dividends_
Equity - Common Share Dividends Declared (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Equity [Abstract] | ' | ' | ' | ' |
Common share dividends declared | $0.14 | $0.12 | $0.41 | $0.36 |
Equity_Summary_of_Fair_Value_o
Equity - Summary of Fair Value of Value Sharing Equity Program Grants (Detail) (VSEP Grants [Member]) | 9 Months Ended |
Sep. 30, 2013 | |
Fair Value Inputs, Equity, Quantitative Information [Line Items] | ' |
Risk-free interest rate | 0.36% |
Weighted-average dividend yield | 4.00% |
Expected life | '3 years |
Minimum [Member] | ' |
Fair Value Inputs, Equity, Quantitative Information [Line Items] | ' |
Expected volatility | 18.00% |
Maximum [Member] | ' |
Fair Value Inputs, Equity, Quantitative Information [Line Items] | ' |
Expected volatility | 24.00% |
Other_Comprehensive_Loss_Chang
Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss by Component (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | ' | ' | ($27,925) | ' |
Net current-period other comprehensive income (loss) | 791 | 3,089 | -2,264 | -26,517 |
Balance at Sep. 30, 2013 | -29,866 | ' | -29,866 | ' |
Gains and Losses on Cash Flow Hedges [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | ' | ' | -22,247 | ' |
Other comprehensive income (loss) before reclassifications | ' | ' | 11,107 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 354 | ' |
Net current-period other comprehensive income (loss) | ' | ' | 11,461 | ' |
Balance at Sep. 30, 2013 | -10,786 | ' | -10,786 | ' |
Foreign Currency Items [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | ' | ' | -5,678 | ' |
Other comprehensive income (loss) before reclassifications | ' | ' | -16,041 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 0 | ' |
Net current-period other comprehensive income (loss) | ' | ' | -16,041 | ' |
Balance at Sep. 30, 2013 | -21,719 | ' | -21,719 | ' |
Net Unrealized Gains on Marketable Securities [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | ' | ' | 0 | ' |
Other comprehensive income (loss) before reclassifications | ' | ' | 2,639 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 0 | ' |
Net current-period other comprehensive income (loss) | ' | ' | 2,639 | ' |
Balance at Sep. 30, 2013 | 2,639 | ' | 2,639 | ' |
Accumulated Other Comprehensive Loss [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | ' | ' | -27,925 | ' |
Other comprehensive income (loss) before reclassifications | ' | ' | -2,295 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 354 | ' |
Net current-period other comprehensive income (loss) | ' | ' | -1,941 | ' |
Balance at Sep. 30, 2013 | ($29,866) | ' | ($29,866) | ' |
Other_Comprehensive_Loss_Chang1
Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss by Component (Parenthetical) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustment | ($118) | ($415) | ($354) | ($235) |
Interest Expense [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustment | ' | ' | 400 | ' |
Equity in Net Income of Joint Ventures [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustment | ' | ' | $100 | ' |
Fee_and_Other_Income_Schedule_
Fee and Other Income - Schedule of Fee and Other Income from Continuing Operations (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Income Statement [Abstract] | ' | ' | ' | ' |
Management, development and other fee income | $10,300,000 | $10,200,000 | $31,200,000 | $33,100,000 |
Ancillary and other property income | 8,000,000 | 6,800,000 | 21,100,000 | 19,500,000 |
Lease termination fees | 1,000,000 | 4,000,000 | 6,200,000 | 4,500,000 |
Other miscellaneous | 100,000 | 100,000 | 400,000 | 300,000 |
Total fee and other income | $19,386,000 | $21,096,000 | $58,934,000 | $57,369,000 |
Impairment_Charges_and_Impairm2
Impairment Charges and Impairment of Joint Venture Investments - Impairment Charges on Consolidated Assets (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Impairment Charges And Impairment Of Joint Venture Investments [Abstract] | ' | ' | ' | ' |
Land held for development | $0 | $1,600,000 | $0 | $8,000,000 |
Undeveloped land | 0 | 1,000,000 | 2,600,000 | 20,100,000 |
Assets marketed for sale | 24,100,000 | 0 | 51,500,000 | 16,600,000 |
Total continuing operations | 24,136,000 | 2,560,000 | 54,134,000 | 44,692,000 |
Sold assets or assets held for sale | 0 | 5,700,000 | 12,700,000 | 61,100,000 |
Total discontinued operations | 0 | 5,698,000 | 12,661,000 | 61,165,000 |
Joint venture investments | 0 | 26,111,000 | 0 | 26,671,000 |
Total impairment charges | $24,100,000 | $34,400,000 | $66,800,000 | $132,500,000 |
Impairment_Charges_and_Impairm3
Impairment Charges and Impairment of Joint Venture Investments - Impairment Charges Measured at Fair Value on Non-Recurring Basis (Detail) (Fair Value Measurements [Member], USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Long-lived assets held and used, Fair Value Measurements | $161.40 | ' |
Long-lived assets held and used and held for sale, Fair Value Measurements | ' | 180.7 |
Unconsolidated joint venture investment, Fair Value Measurements | ' | 4.7 |
Deconsolidated joint venture investment, Fair Value Measurements | ' | 56.1 |
Long-lived assets held and used and held for sale, Total Losses | 66.8 | 126.5 |
Unconsolidated joint venture investment, Total Losses | ' | 26.7 |
Deconsolidated joint venture investment, Total Losses | ' | 9.3 |
Level 1 [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Long-lived assets held and used, Fair Value Measurements | 0 | ' |
Long-lived assets held and used and held for sale, Fair Value Measurements | ' | 0 |
Unconsolidated joint venture investment, Fair Value Measurements | ' | 0 |
Deconsolidated joint venture investment, Fair Value Measurements | ' | 0 |
Level 2 [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Long-lived assets held and used, Fair Value Measurements | 0 | ' |
Long-lived assets held and used and held for sale, Fair Value Measurements | ' | 0 |
Unconsolidated joint venture investment, Fair Value Measurements | ' | 0 |
Deconsolidated joint venture investment, Fair Value Measurements | ' | 0 |
Level 3 [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Long-lived assets held and used, Fair Value Measurements | 161.4 | ' |
Long-lived assets held and used and held for sale, Fair Value Measurements | ' | 180.7 |
Unconsolidated joint venture investment, Fair Value Measurements | ' | 4.7 |
Deconsolidated joint venture investment, Fair Value Measurements | ' | $56.10 |
Impairment_Charges_and_Impairm4
Impairment Charges and Impairment of Joint Venture Investments - Summary of Significant Unobservable Inputs (Detail) (Fair Value Measurements [Member], USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Impairment of Consolidated Assets [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Unobservable Input | 'Price Per Square Foot | 'Price Per Square Foot |
Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Unobservable Input | 'Terminal Capitalization Rate | 'Terminal Capitalization Rate |
Income Capitalization Approach [Member] | Impairment of Consolidated Assets [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Fair Value | 74.3 | 44.1 |
Valuation Technique | 'Income Capitalization Approach(B) | 'Income Capitalization Approach (B) |
Unobservable Input | 'Market Capitalization Rate | 'Market Capitalization Rate |
Income Capitalization Approach [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Fair Value | 0 | 4.7 |
Valuation Technique | 'Income Capitalization Approach | 'Income Capitalization Approach |
Unobservable Input | 'Market Capitalization Rate | 'Market Capitalization Rate |
Indicative Bid/Contracted Price [Member] | Impairment of Consolidated Assets [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Fair Value | 87.1 | 136.6 |
Valuation Technique | 'Indicative Bid(A) / Contracted Price | 'Indicative Bid (A) / Contracted Price |
Unobservable Input | 'Indicative Bid(A) / Contracted Price | 'Indicative Bid (A) / Contracted Price |
Discounted Cash Flow [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Valuation Technique | 'Discounted Cash Flow | 'Discounted Cash Flow |
Unobservable Input | 'Discount Rate | 'Discount Rate |
Discounted Cash Flow [Member] | Deconsolidated Joint Venture Investment, Discounted Cash Flow [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Fair Value | 0 | 56.1 |
Valuation Technique | 'Discounted Cash Flow | 'Discounted Cash Flow |
Unobservable Input | 'Discount Rate | 'Discount Rate |
Level 3 [Member] | Income Capitalization Approach [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 8.00% |
Level 3 [Member] | Discounted Cash Flow [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 11.00% |
Minimum [Member] | Level 3 [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 5.50% |
Minimum [Member] | Level 3 [Member] | Income Capitalization Approach [Member] | Impairment of Consolidated Assets [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 7.70% | 8.00% |
Range (per square foot) | 12 | 15 |
Minimum [Member] | Level 3 [Member] | Discounted Cash Flow [Member] | Deconsolidated Joint Venture Investment, Discounted Cash Flow [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 8.00% |
Maximum [Member] | Level 3 [Member] | Impairment of Joint Venture Investments, Income Capitalization Approach [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 8.50% |
Maximum [Member] | Level 3 [Member] | Income Capitalization Approach [Member] | Impairment of Consolidated Assets [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 10.00% | 12.00% |
Range (per square foot) | 117 | 47 |
Maximum [Member] | Level 3 [Member] | Discounted Cash Flow [Member] | Deconsolidated Joint Venture Investment, Discounted Cash Flow [Member] | ' | ' |
Fair Value Assets And Liabilities Measured On Nonrecurring Basis [Line Items] | ' | ' |
Range | 0.00% | 15.00% |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Dec. 31, 2012 | |
Property | Property | |
Discontinued Operations And Disposal Groups [Abstract] | ' | ' |
Number of properties sold | 28 | 29 |
Number of assets held for sale | 1 | ' |
Discontinued_Operations_Compon
Discontinued Operations - Components of Condensed Balance Sheet Related to Assets Held for Sale (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Discontinued Operations And Disposal Groups [Abstract] | ' | ' |
Land | $1,682 | ' |
Buildings | 7,441 | ' |
Fixtures and tenant improvements | 245 | ' |
Carrying amount of real estate assets held for sale | 9,368 | ' |
Less: Accumulated depreciation | -1,999 | ' |
Total asset held for sale | $7,369 | $0 |
Discontinued_Operations_Operat
Discontinued Operations - Operating Results Relating to Assets Sold or Designated as Held for Sale (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Discontinued Operations And Disposal Groups [Abstract] | ' | ' | ' | ' |
Revenues | $2,169 | $7,786 | $11,956 | $27,164 |
Operating expenses | 561 | 2,490 | 3,608 | 9,512 |
Impairment charges | 0 | 5,698 | 12,661 | 61,165 |
Interest, net | 412 | 1,547 | 2,609 | 5,957 |
Depreciation and amortization | 454 | 1,691 | 2,941 | 7,322 |
Total expenses | 1,427 | 11,426 | 21,819 | 83,956 |
Income (loss) from discontinued operations | 742 | -3,640 | -9,863 | -56,792 |
Gain (loss) on disposition of real estate, net of tax | 8,701 | -176 | 7,240 | 3,121 |
Income (loss) from discontinued operations | $9,443 | ($3,816) | ($2,623) | ($53,671) |
Earnings_Per_Share_Computation
Earnings Per Share - Computation of Company's Earnings Per Share (EPS) and Reconciliation of Net (Loss) Income from Continuing Operations and Number of Common Shares Used in Computations of "Basic" EPS and "Diluted" EPS (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Continuing Operations: | ' | ' | ' | ' |
(Loss) income from continuing operations | ($11,577) | $30,421 | ($14,553) | $22,116 |
Plus: Gain on disposition of real estate | 1,929 | 261 | 347 | 6,161 |
Plus: Loss attributable to non-controlling interests | -170 | -128 | -556 | -424 |
Write-off of preferred share original issuance costs | 0 | -5,804 | -5,246 | -5,804 |
Preferred dividends | -6,608 | -7,681 | -21,113 | -21,616 |
Less: Earnings attributable to unvested shares and operating partnership units | -330 | -323 | -1,052 | -919 |
Basic-(Loss) income from continuing operations | -16,756 | 16,746 | -42,173 | -486 |
Discontinued Operations: | ' | ' | ' | ' |
Basic-Income (loss) from discontinued operations | 9,443 | -3,816 | -2,623 | -53,671 |
Basic-Net (loss) income attributable to DDR common shareholders after allocation to participating securities | -7,313 | 12,930 | -44,796 | -54,157 |
Continuing Operations: | ' | ' | ' | ' |
Basic-(Loss) income from continuing operations | -16,426 | 17,069 | -41,121 | 433 |
Less: Earnings attributable to unvested shares and operating partnership units | -330 | -323 | -1,052 | -919 |
Diluted-(Loss) income from continuing operations | -16,756 | 16,746 | -42,173 | -486 |
Discontinued Operations: | ' | ' | ' | ' |
Basic-Income (loss) from discontinued operations | 9,443 | -3,816 | -2,623 | -53,671 |
Diluted-Net (loss) income attributable to DDR common shareholders after allocation to participating securities | ($7,313) | $12,930 | ($44,796) | ($54,157) |
Number of Shares: | ' | ' | ' | ' |
Basic-Average shares outstanding | 318,184 | 302,232 | 316,146 | 286,016 |
Effect of dilutive securities: | ' | ' | ' | ' |
Stock options | 0 | 490 | 0 | 479 |
Value sharing equity program | 0 | 202 | 0 | 169 |
Forward equity agreement | 0 | 0 | 0 | 1,033 |
Diluted-Average shares outstanding | 318,184 | 302,924 | 316,146 | 287,697 |
Basic Earnings Per Share: | ' | ' | ' | ' |
(Loss) income from continuing operations attributable to DDR common shareholders | ($0.05) | $0.05 | ($0.13) | $0 |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.19) |
Net (loss) income attributable to DDR common shareholders | ($0.02) | $0.04 | ($0.14) | ($0.19) |
Dilutive Earnings Per Share: | ' | ' | ' | ' |
(Loss) income from continuing operations attributable to DDR common shareholders | ($0.05) | $0.05 | ($0.13) | $0 |
Income (loss) from discontinued operations attributable to DDR common shareholders | $0.03 | ($0.01) | ($0.01) | ($0.19) |
Net (loss) income attributable to DDR common shareholders | ($0.02) | $0.04 | ($0.14) | ($0.19) |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Forward equity [Member] | ' | ' |
Dilutive Securities Included And Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Forward equity agreement entered, not included in the computation of diluted EPS | 39.1 | 39.1 |
Senior convertible notes due 2040 [Member] | ' | ' |
Dilutive Securities Included And Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Senior convertible notes convertible to common shares price | 15.44 | 15.44 |
Conversion price per share greater than applicable trading day | ' | 125.00% |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2013 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 3 |
Quantitative threshold of revenues, profit or loss and assets for identifying reportable segments | 10.00% |
Segment_Information_Companys_R
Segment Information - Company's Reportable Segments (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Operating Statistics [Line Items] | ' | ' | ' | ' | ' |
Total revenues | $219,368 | $197,277 | $640,041 | $571,054 | ' |
Operating expenses | -87,405 | -58,515 | -238,486 | -211,233 | ' |
Net operating income (loss) | 131,963 | 138,762 | 401,555 | 359,821 | ' |
Depreciation and amortization | -74,141 | -59,620 | -211,200 | -178,535 | ' |
Interest income | 6,691 | 5,661 | 20,365 | 9,829 | ' |
Other income (expense), net | -2,282 | -1,868 | -3,288 | -7,100 | ' |
Unallocated expenses | -77,588 | -72,534 | -228,594 | -232,187 | ' |
Equity in net (loss) income of joint ventures | 3,780 | 5,486 | 5,543 | 16,966 | ' |
(Loss) income from continuing operations | -11,577 | 30,421 | -14,553 | 22,116 | ' |
Gain on change in control of interests | 0 | 40,645 | 1,066 | 79,993 | ' |
Impairment of joint venture investments | 0 | -26,111 | 0 | -26,671 | ' |
Total gross real estate assets | 8,921,305 | 8,590,294 | 8,921,305 | 8,590,294 | ' |
Notes receivable, net | 77,857 | 63,113 | 77,857 | 63,113 | 68,718 |
Operating Segments [Member] | Shopping Centers [Member] | ' | ' | ' | ' | ' |
Operating Statistics [Line Items] | ' | ' | ' | ' | ' |
Total revenues | 219,354 | 197,272 | 640,012 | 571,042 | ' |
Operating expenses | -87,330 | -58,365 | -238,109 | -210,800 | ' |
Net operating income (loss) | 132,024 | 138,907 | 401,903 | 360,242 | ' |
Depreciation and amortization | -74,141 | -59,620 | -211,200 | -178,535 | ' |
Equity in net (loss) income of joint ventures | -660 | -441 | -7,677 | -3,484 | ' |
Gain on change in control of interests | ' | 40,645 | 1,066 | 79,993 | ' |
Total gross real estate assets | 8,921,305 | 8,583,201 | 8,921,305 | 8,583,201 | ' |
Operating Segments [Member] | Loan Investments [Member] | ' | ' | ' | ' | ' |
Operating Statistics [Line Items] | ' | ' | ' | ' | ' |
Total revenues | 14 | 5 | 29 | 12 | ' |
Operating expenses | -75 | -150 | -377 | -433 | ' |
Net operating income (loss) | -61 | -145 | -348 | -421 | ' |
Interest income | 6,691 | 5,661 | 20,365 | 9,829 | ' |
Notes receivable, net | 302,130 | 240,583 | 302,130 | 240,583 | ' |
Operating Segments [Member] | Brazil Equity Investment [Member] | ' | ' | ' | ' | ' |
Operating Statistics [Line Items] | ' | ' | ' | ' | ' |
Equity in net (loss) income of joint ventures | 4,440 | 5,927 | 13,220 | 20,450 | ' |
Corporate, Non-Segment [Member] | ' | ' | ' | ' | ' |
Operating Statistics [Line Items] | ' | ' | ' | ' | ' |
Other income (expense), net | -2,282 | -1,868 | -3,288 | -7,100 | ' |
Unallocated expenses | -77,588 | -72,534 | -228,594 | -232,187 | ' |
Total gross real estate assets | ' | 7,093 | ' | 7,093 | ' |
Notes receivable, net | ($224,273) | ($177,470) | ($224,273) | ($177,470) | ' |
Segment_Information_Companys_R1
Segment Information - Company's Reportable Segments (Parenthetical) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Segment Reporting [Abstract] | ' | ' | ' | ' |
Impairment charges | $24,136 | $2,560 | $54,134 | $44,692 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 9 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | |||
Share data in Millions, unless otherwise specified | Sep. 30, 2013 | 31-May-13 | Sep. 30, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 |
Senior Unsecured Notes Due May 2023 [Member] | Forward Sale [Member] | Subsequent Events [Member] | Subsequent Events [Member] | Subsequent Events [Member] | Subsequent Events [Member] | ||
ShoppingCenter | Senior Unsecured Notes Due May 2023 [Member] | Forward Sale [Member] | Preferred Equity Interest and Mezzanine Loan [Member] | ||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Number of prime power centers acquired | ' | ' | ' | 30 | ' | ' | ' |
Transaction value for sole ownership interest acquired | ' | ' | ' | $1,460,000,000 | ' | ' | ' |
Total Transaction value for sole ownership interest acquired | ' | ' | ' | 1,540,000,000 | ' | ' | ' |
Ownership interest acquired cash paid | 306,100,000 | ' | ' | 566,400,000 | ' | ' | ' |
Notes maturity date | ' | 31-May-23 | ' | ' | 31-May-23 | ' | ' |
Sale of common shares | ' | ' | 39.1 | ' | ' | 39.1 | ' |
Sole ownership interest acquired, mortgage debt assumed that was repaid at closing | ' | ' | ' | 139,000,000 | ' | ' | ' |
Preferred equity and Mezzanine loan repaid | ' | ' | ' | 148,800,000 | ' | ' | 148,800,000 |
Ownership interest percentage | ' | ' | ' | 100.00% | ' | ' | ' |
Ownership interest of joint venture partner | ' | ' | ' | 95.00% | ' | ' | ' |
Sole ownership interest acquired, mortgage debt assumed | ' | ' | ' | 792,900,000 | ' | ' | ' |
Sole ownership interest acquired, cash deposit paid | $25,000,000 | ' | ' | ' | ' | ' | ' |
Interest rate of Notes | ' | 3.38% | ' | ' | ' | ' | ' |