Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 28, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | DDR | |
Entity Registrant Name | DDR CORP | |
Entity Central Index Key | 894,315 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 367,076,675 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Land | $ 1,987,849 | $ 1,990,406 |
Buildings | 6,338,139 | 6,412,532 |
Fixtures and tenant improvements | 738,741 | 735,685 |
Total real estate rental property | 9,064,729 | 9,138,623 |
Less: Accumulated depreciation | (2,004,413) | (1,996,176) |
Real estate rental property, net | 7,060,316 | 7,142,447 |
Construction in progress and land | 120,808 | 105,435 |
Total real estate assets, net | 7,181,124 | 7,247,882 |
Investments in and advances to joint ventures, net | 395,362 | 454,131 |
Cash and cash equivalents | 19,715 | 30,430 |
Restricted cash | 46,587 | 8,795 |
Accounts receivable, net | 117,559 | 121,367 |
Notes receivable, net | 49,895 | 49,503 |
Other assets, net | 282,724 | 285,410 |
Total assets | 8,092,966 | 8,197,518 |
Unsecured indebtedness: | ||
Senior notes | 2,914,186 | 2,913,217 |
Unsecured term loan | 398,516 | 398,399 |
Revolving credit facilities | 90,000 | 0 |
Total unsecured indebtedness | 3,402,702 | 3,311,616 |
Secured indebtedness: | ||
Secured term loan | 199,893 | 199,843 |
Mortgage indebtedness | 918,331 | 982,509 |
Total secured indebtedness | 1,118,224 | 1,182,352 |
Total indebtedness | 4,520,926 | 4,493,968 |
Accounts payable and other liabilities | 369,391 | 382,293 |
Dividends payable | 75,402 | 75,245 |
Total liabilities | 4,965,719 | 4,951,506 |
Commitments and contingencies | ||
DDR Equity | ||
Common shares, with par value, $0.10 stated value; 600,000,000 shares authorized; 366,671,261 and 366,298,335 shares issued at March 31, 2017 and December 31, 2016, respectively | 36,667 | 36,630 |
Additional paid-in capital | 5,497,660 | 5,487,212 |
Accumulated distributions in excess of net income | (2,761,977) | (2,632,327) |
Deferred compensation obligation | 10,083 | 15,149 |
Accumulated other comprehensive loss | (3,432) | (4,192) |
Less: Common shares in treasury at cost: 705,276 and 947,893 shares at March 31, 2017 and December 31, 2016, respectively | (10,300) | (14,957) |
Total DDR shareholders' equity | 3,118,701 | 3,237,515 |
Non-controlling interests | 8,546 | 8,497 |
Total equity | 3,127,247 | 3,246,012 |
Total liabilities and equity | 8,092,966 | 8,197,518 |
Class J Cumulative Redeemable Preferred Shares [Member] | ||
DDR Equity | ||
Cumulative redeemable preferred shares | 200,000 | 200,000 |
Class K Cumulative Redeemable Preferred Shares [Member] | ||
DDR Equity | ||
Cumulative redeemable preferred shares | $ 150,000 | $ 150,000 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Common shares, par value | $ 0.10 | $ 0.10 |
Common shares, shares authorized | 600,000,000 | 600,000,000 |
Common shares, shares issued | 366,671,261 | 366,298,335 |
Treasury at cost | 705,276 | 947,893 |
Class J Cumulative Redeemable 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% |
Cumulative redeemable preferred shares, par value | ||
Class K Cumulative Redeemable 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 | 300,000 | 300,000 |
Cumulative redeemable preferred shares, shares outstanding | 300,000 | 300,000 |
Preferred stock dividend rate | 6.25% | 6.25% |
Cumulative redeemable preferred shares, par value |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues from operations: | ||
Minimum rents | $ 167,229 | $ 177,367 |
Percentage and overage rents | 1,699 | 1,936 |
Recoveries from tenants | 57,476 | 61,599 |
Fee and other income | 14,017 | 13,521 |
Total revenue from operations | 240,421 | 254,423 |
Rental operation expenses: | ||
Operating and maintenance | 32,991 | 37,258 |
Real estate taxes | 34,329 | 35,784 |
Impairment charges | 21,973 | 0 |
General and administrative | 31,072 | 17,876 |
Depreciation and amortization | 90,884 | 96,902 |
Total rental operation expenses | 211,249 | 187,820 |
Other income (expense): | ||
Interest income | 8,392 | 9,050 |
Interest expense | (51,827) | (57,897) |
Other income (expense), net | (4) | 1,773 |
Total other income (expense) | (43,439) | (47,074) |
(Loss) income before earnings from equity method investments and other items | (14,267) | 19,529 |
Equity in net (loss) income of joint ventures | (1,665) | 14,421 |
Reserve of preferred equity interests | (76,000) | 0 |
(Loss) income before tax expense | (91,932) | 33,950 |
Tax expense of taxable REIT subsidiaries and state franchise and income taxes | (223) | (458) |
(Loss) income from continuing operations | (92,155) | 33,492 |
Gain on disposition of real estate, net | 38,127 | 12,381 |
Net (loss) income | (54,028) | 45,873 |
Income attributable to non-controlling interests, net | (213) | (300) |
Net (loss) income attributable to DDR | (54,241) | 45,573 |
Preferred dividends | (5,594) | (5,594) |
Net (loss) income attributable to common shareholders | $ (59,835) | $ 39,979 |
Per share data: | ||
Basic | $ (0.16) | $ 0.11 |
Diluted | $ (0.16) | $ 0.11 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net (loss) income | $ (54,028) | $ 45,873 |
Other comprehensive income: | ||
Foreign currency translation | 192 | 842 |
Change in fair value of interest-rate contracts | 435 | 46 |
Change in cash flow hedges reclassed to earnings | 178 | 172 |
Total other comprehensive income | 805 | 1,060 |
Comprehensive (loss) income | (53,223) | 46,933 |
Comprehensive income attributable to non-controlling interests: | ||
Allocation of net income | (213) | (300) |
Foreign currency translation | (45) | (262) |
Total comprehensive income attributable to non-controlling interests | (258) | (562) |
Total comprehensive (loss) income attributable to DDR | $ (53,481) | $ 46,371 |
CONSOLIDATED STATEMENT OF EQUIT
CONSOLIDATED STATEMENT OF EQUITY - 3 months ended Mar. 31, 2017 - USD ($) $ in Thousands | Total | Preferred Shares | Common Shares | Additional Paid-in Capital | Accumulated Distributions in Excess of Net Income | Deferred Compensation Obligation | Accumulated Other Comprehensive Loss | Treasury Stock at Cost | Non-Controlling Interests |
Balance at Dec. 31, 2016 | $ 3,246,012 | $ 350,000 | $ 36,630 | $ 5,487,212 | $ (2,632,327) | $ 15,149 | $ (4,192) | $ (14,957) | $ 8,497 |
Issuance of common shares related to stock plans | 5,757 | 0 | 37 | 5,720 | 0 | 0 | 0 | 0 | 0 |
Stock-based compensation, net | 4,319 | 0 | 0 | 4,728 | 0 | (5,066) | 0 | 4,657 | 0 |
Distributions to non-controlling interests | (209) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (209) |
Dividends declared-common shares | (69,815) | 0 | 0 | 0 | (69,815) | 0 | 0 | 0 | 0 |
Dividends declared-preferred shares | (5,594) | 0 | 0 | 0 | (5,594) | 0 | 0 | 0 | 0 |
Comprehensive (loss) income | (53,223) | 0 | 0 | 0 | (54,241) | 0 | 760 | 0 | 258 |
Balance at Mar. 31, 2017 | $ 3,127,247 | $ 350,000 | $ 36,667 | $ 5,497,660 | $ (2,761,977) | $ 10,083 | $ (3,432) | $ (10,300) | $ 8,546 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash flow from operating activities: | ||
Net (loss) income | $ (54,028) | $ 45,873 |
Adjustments to reconcile net (loss) income to net cash flow provided by operating activities: | ||
Depreciation and amortization | 90,884 | 96,902 |
Stock-based compensation | 5,243 | 1,633 |
Amortization and write-off of deferred finance charges and fair market value of debt adjustments | 906 | 661 |
Equity in net loss (income) of joint ventures | 1,665 | (14,421) |
Reserve of preferred equity interests | 76,000 | 0 |
Operating cash distributions from joint ventures | 1,806 | 1,724 |
Gain on disposition of real estate | (38,127) | (12,381) |
Impairment charges | 21,973 | 0 |
Change in notes receivable accrued interest | (2,479) | (3,437) |
Net change in accounts receivable | 2,694 | 2,659 |
Net change in accounts payable and accrued expenses | (8,521) | (24,877) |
Net change in other operating assets and liabilities | (6,109) | (12,538) |
Total adjustments | 145,935 | 35,925 |
Net cash flow provided by operating activities | 91,907 | 81,798 |
Cash flow from investing activities: | ||
Real estate acquired, net of liabilities and cash assumed | (86,028) | (59,886) |
Real estate developed and improvements to operating real estate | (28,138) | (46,946) |
Proceeds from disposition of real estate | 113,170 | 186,736 |
Equity contributions to joint ventures | (21,506) | 0 |
Distributions from unconsolidated joint ventures | 2,900 | 17,056 |
Repayment of notes receivable | 167 | 126 |
Net cash flow (used for) provided by investing activities | (19,435) | 97,086 |
Cash flow from financing activities: | ||
Proceeds from revolving credit facilities, net | 90,000 | 140,000 |
Repayment of senior notes | 0 | (240,000) |
Repayment of term loans and mortgage debt | (63,302) | (7,979) |
Payment of debt issuance costs | (132) | 0 |
Issuance (repurchase) of common shares in conjunction with equity award plans and dividend reinvestment plan | 3,500 | (232) |
Distributions to non-controlling interests and redeemable operating partnership units | (209) | (321) |
Dividends paid | (75,253) | (68,639) |
Net cash flow used for financing activities | (45,396) | (177,171) |
Effect of foreign exchange rate changes on cash and cash equivalents | 1 | 2 |
Net increase in cash, cash equivalents and restricted cash | 27,076 | 1,713 |
Cash, cash equivalents and restricted cash, beginning of period | 39,225 | 32,520 |
Cash, cash equivalents and restricted cash, end of period | $ 66,302 | $ 34,235 |
Nature of Business and Financia
Nature of Business and Financial Statement Presentation | 3 Months Ended |
Mar. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of Business and Financial Statement Presentation | 1. Nature of Business and Financial Statement Presentation Nature of Business DDR Corp. and its related consolidated real estate subsidiaries (collectively, the “Company” or “DDR”) and unconsolidated joint ventures are primarily engaged in the business of acquiring, owning, developing, redeveloping, expanding, leasing, financing and managing shopping centers. Unless otherwise provided, references herein to the Company or DDR include DDR Corp. and its wholly-owned subsidiaries and consolidated 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 (“GAAP”) 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. Reclassifications Certain reclassifications have been made to the Company’s 2016 financial statements to conform to the 2017 presentation. 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 months ended March 31, 2017 and 2016, 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, 2016 . Principles of Consolidation The 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”). All significant inter-company balances and transactions have been eliminated in consolidation. Investments in real estate joint ventures in which the Company has the ability to exercise significant influence, but does not have financial or operating control, are accounted for using the equity method of accounting. Accordingly, the Company’s share of the earnings (or loss) of these joint ventures is included in consolidated net income (loss). The Company has two unconsolidated joint ventures included in the Company’s joint venture investments that are considered VIEs for which the Company is not the primary beneficiary. The Company’s maximum exposure to losses associated with these VIEs is limited to its aggregate investment, which was $329.5 million and $405.4 million as of March 31, 2017 and December 31, 2016, respectively. Statements of Cash Flows and Supplemental Disclosure of Non-Cash Investing and Financing Information Non-cash investing and financing activities are summarized as follows (in millions): Three Months Ended March 31, 2017 2016 Accounts payable related to construction in progress $ 12.5 $ 26.6 Dividends declared 75.4 75.0 Common Shares Common share dividends declared were $0.19 per share for each of the three months ended March 31, 2017 and 2016. Fee and Other Income Fee and other income was composed of the following (in millions): Three Months Ended March 31, 2017 2016 Management and other fee income $ 9.4 $ 8.2 Ancillary and other property income 4.3 4.1 Lease termination fees 0.2 1.2 Other 0.1 — Total fee and other income $ 14.0 $ 13.5 New Accounting Standards Adopted Business Combinations In September 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-16, Business Combinations (Topic 805) have an adjustment to provisional amounts recognized. The guidance requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. Any adjustments should be calculated as if the accounting had been completed at the acquisition date. The guidance is effective for public companies for fiscal years beginning after December 15, 2016. In addition, in January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805) - Clarifying the Definition of a Business . ASU No. 2017-01 clarifies the definition and provides a more robust framework to use in determining when a set of assets and activities constitutes a business. ASU No. 2017-01 is intended to provide guidance when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The guidance is effective for public companies for fiscal years beginning after December 15, 2017. Early adoption is permitted for both standards. Application of the guidance is prospective. The Company adopted the standards effective January 1, 2017, with respect to its asset acquisitions. Under these new standards, the Company’s purchase of a shopping center is expected to be classified as an acquisition of an asset and not classified as an acquisition of a business. Transaction costs from the acquisition of a business are expensed as incurred, in contrast to transaction costs from the acquisition of an asset, which are capitalized to real estate assets upon acquisition. As a result of these new standards, the majority of the transaction costs incurred related to the acquisition of shopping centers are capitalized to real estate assets (Note This change did not have a material impact on the Company’s financial statements. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments. Statement of Cash Flows (Topic 230: Restricted Cash The Company adopted the updated standards effective January 1, 2017. The adoption of these standards modified the Company's 2017 presentation of certain activities within the consolidated statements of cash flows and related disclosures. New Accounting Standards to Be Adopted Revenue Recognition In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers The Company is in the process of evaluating the impact that the adoption of ASU No. 2014-09 will have on its consolidated financial statements and disclosures. Most significantly for the real estate industry, leasing transactions are not within the scope of the new standard. A majority of the Company’s tenant-related revenue is recognized pursuant to lease agreements and will be governed by the recently issued leasing guidance discussed below. Excluding revenue related to leasing transactions, the Company anticipates that upon adoption of ASU No. 2014-09, the recognition of lease commission income earned pursuant to its management agreements with unconsolidated joint ventures most likely will be accelerated into an earlier quarter than recognized in current GAAP. The majority of the Company’s lease commission income is recognized 50% upon lease execution and 50% upon tenant rent commencement. Under the new standard, the Company anticipates that a lease commission will be recognized in its entirety upon lease execution. This revenue is not considered material to the Company’s consolidated financial statements. Accounting for Leases In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Leases The Company is in the process of evaluating the impact that the adoption of ASU No. 2016-02 will have on its consolidated financial statements and disclosures. The Company has currently identified several areas within its accounting policies it believes could be impacted by the new standard. The Company may have a change in presentation on its consolidated statement of operations with regards to Recoveries from Tenants which includes reimbursements from tenants for certain operating expenses, real estate taxes and insurance. Tenant expense reimbursements with a service obligation are not covered within the scope of ASU No. 2016-02. The Company also has certain lease arrangements with its tenants for space at its shopping centers in which the contractual amounts due under the lease by the lessee are not allocated between the rental and expense reimbursement components (“Gross Leases”). The aggregate revenue earned under Gross Leases is presented as Minimum Rents in the consolidated statements of operations. As a result, the Company anticipates it will be required to bifurcate the presentation of certain expense reimbursements as well as allocate the fair value of the embedded revenue associated with these reimbursements for Gross Leases, which represent an immaterial portion of the Company’s lease portfolio, and separately present such amounts in its consolidated statements of operations based upon materiality. In addition, the Company has ground lease agreements in which the Company is the lessee for land underneath all or a portion of the buildings at five shopping centers. Currently, the Company accounts for these arrangements as operating leases. Under the new standard, the Company will record its rights and obligations under these leases as an asset and liability on its consolidated balance sheets. The Company is currently in the process of evaluating the inputs required to calculate the amount that will be recorded on its balance sheet for each ground lease. Lastly, this standard impacts the lessor’s ability to capitalize costs related to the leasing of vacant space. However, the Company does not believe this change regarding capitalization will have a material impact on its consolidated financial statements. |
Investments in and Advances to
Investments in and Advances to Joint Ventures | 3 Months Ended |
Mar. 31, 2017 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in and Advances to Joint Ventures | 2. Investments in and Advances to Joint Ventures At March 31, 2017 and December 31, 2016, the Company had ownership interests in various unconsolidated joint ventures that had an investment in 150 and 151 shopping center properties, respectively. Condensed combined financial information of the Company’s unconsolidated joint venture investments is as follows (in thousands): March 31, 2017 December 31, 2016 Condensed Combined Balance Sheets Land $ 1,268,425 $ 1,287,675 Buildings 3,338,488 3,376,720 Fixtures and tenant improvements 205,412 203,824 4,812,325 4,868,219 Less: Accumulated depreciation (914,860 ) (884,356 ) 3,897,465 3,983,863 Construction in progress and land 58,932 56,983 Real estate, net 3,956,397 4,040,846 Cash and restricted cash 60,822 50,378 Receivables, net 43,931 50,685 Other assets, net 242,234 248,664 $ 4,303,384 $ 4,390,573 Mortgage debt $ 2,898,615 $ 3,034,399 Notes and accrued interest payable to the Company 3,028 1,584 Other liabilities 194,458 206,949 3,096,101 3,242,932 Redeemable preferred equity – 395,945 393,338 Accumulated equity 811,338 754,303 $ 4,303,384 $ 4,390,573 Company's share of accumulated equity $ 106,819 $ 97,977 Redeemable preferred equity, net 319,315 393,338 Basis differentials (30,987 ) (36,117 ) Deferred development fees, net of portion related to the Company's interest (2,813 ) (2,651 ) Amounts payable to the Company 3,028 1,584 Investments in and Advances to Joint Ventures, net $ 395,362 $ 454,131 Three Months Ended March 31, 2017 2016 Condensed Combined Statements of Operations Revenues from operations $ 127,048 $ 127,910 Expenses from operations: Operating expenses 36,668 37,656 Impairment charges 52,657 — Depreciation and amortization 45,096 49,035 Interest expense 30,130 33,322 Preferred share expense 8,128 8,264 Other (income) expense, net 6,573 5,811 179,252 134,088 Loss from continuing operations (52,204 ) (6,178 ) (Loss) gain on disposition of real estate, net (173 ) 53,483 Net (loss) income attributable to unconsolidated joint ventures $ (52,377 ) $ 47,305 Company's share of equity in net (loss) income of joint ventures $ (5,293 ) $ 11,274 Basis differential adjustments (A) 3,628 3,147 Equity in net (loss) income of joint ventures $ (1,665 ) $ 14,421 (A) The difference between the Company’s share of net income (loss), as reported above, and the amounts included in the Company’s consolidated statements of operations is attributable to the amortization of basis differentials, the recognition of deferred gains and differences in gain (loss) on sale of certain assets recognized due to the basis differentials and other than temporary impairment charges. 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 Months Ended March 31, 2017 2016 Management and other fees $ 6.9 $ 6.2 Interest income 7.5 8.3 Development fees and leasing commissions 2.5 1.9 The Company’s joint venture agreements generally include provisions whereby each partner has the right to trigger a purchase or sale of its interest in the joint venture or to initiate a purchase or sale of the properties after a certain number of years or if either party is in default of the joint venture agreements. The Company is not obligated to purchase the interests of its outside joint venture partners under these provisions. BRE DDR Retail Holdings Joint Ventures The Company’s two unconsolidated investments with The Blackstone Group L.P. (“Blackstone”), BRE DDR Retail Holdings III (“BRE DDR III”) and BRE DDR Retail Holdings IV (“BRE DDR IV”) and, together (the “BRE DDR Joint Ventures”), have substantially similar terms and are summarized as follows (in millions, except properties owned): Common Equity Preferred Investment Properties Owned Formation Initial Initial March 31, 2017 Net of Reserve Inception March 31, 2017 BRE DDR III Oct 2014 $ 19.6 $ 300.0 $ 314.6 $ 244.6 70 49 BRE DDR IV Dec 2015 12.9 82.6 74.5 68.5 6 6 An affiliate of Blackstone is the managing member and effectively owns 95% of the common equity of each of the two BRE DDR Joint Ventures, and consolidated affiliates of DDR effectively own the remaining 5%. The Company provides leasing and property management services to all of the joint venture properties. The Company cannot be removed as the property and leasing manager until the preferred equity, as discussed below, is redeemed in full (except for certain specified events). The Company’s preferred interests are entitled to certain preferential cumulative distributions payable out of operating cash flows and certain capital proceeds pursuant to the terms and conditions of the preferred investments. The preferred distributions are recognized as Interest Income within the Company’s consolidated statements of operations and are classified as a note receivable in Investments in and Advances to Joint Ventures on the Company’s consolidated balance sheets. Blackstone has the right to defer up to 23.5% of the preferred fixed distributions as a payment in kind distribution or “PIK.” The preferred investments have an annual distribution rate of 8.5% including any deferred and unpaid preferred distributions. Blackstone has made this PIK deferral election since the formation of both joint ventures. The cash portion of the preferred fixed distributions is generally payable first out of operating cash flows and is current for both BRE DDR Joint Ventures. The Company has no expectation that the preferred fixed distribution will become impaired. The unpaid preferred investment (and any accrued distributions) is payable (1) at Blackstone’s option, in whole or in part, subject to early redemption premiums in certain circumstances during the first three years of the joint ventures; (2) at varying equity sharing levels with the common members under certain circumstances including specified financial covenants, upon a sale of properties over a certain threshold; (3) at DDR’s option after seven years (2021 for BRE DDR III and 2022 for BRE DDR IV); and (4) upon the incurrence of additional indebtedness by the joint ventures in excess of a certain threshold. Specifically, for BRE DDR III the use of net asset sale proceeds prior to 2021 to repay the preferred investment is first subject to a remaining minimum net asset sales threshold of $46.3 million payable to common equity members only, with net asset sale proceeds generated thereafter allocated at 51.5% to the preferred member. For BRE DDR IV, the preferred investment is collateralized by assets in which DDR has a 5% common equity interest for 95% of the value and by an additional six assets in which DDR has a nominal interest. The repayment of the BRE DDR IV preferred investment prior to 2022 is first subject to a remaining minimum net asset sales threshold of $26.0 million, of which $6.0 million is allocated to the preferred member. The net asset sale proceeds generated thereafter are expected to be available to repay the preferred member. In March 2017, the Company recorded a valuation allowance on each of the BRE DDR III and BRE DDR IV preferred investment interests of $70.0 million and $6.0 million, respectively, or $76.0 million in the aggregate. The valuation allowances were triggered late in the first quarter by an increase in the estimated market capitalization rates for the underlying real estate collateral of the investments. The values of open air shopping centers anchored by big box national retailers, particularly in secondary markets, have been under increasing pressure and most recently decreased due to the continued perceived threat of internet retail competition and recent tenant bankruptcies. Several large national retailers filed for bankruptcy in March and April 2017. A majority of the shopping centers collateralizing the preferred investments are those which have been most impacted by the rising capitalization rates. These factors have also reduced the number of potential investors and well-capitalized buyers for these types of assets. The managing member of the two joint ventures exercises significant influence over the timing of asset sales. Due to the Company’s expectation regarding the likely timing of asset sales, the valuation of the Company’s investments considers how management believes a third party market participant would value the securities in the current higher capitalization rate environment. As a result, the investments were impaired to reflect the risk that the securities are not repaid in full in advance of the Company’s redemption rights in 2021 and 2022. The Company will continue to monitor the investments and related valuation allowance which could be increased or decreased in future periods, as appropriate. The preferred 8.5% distribution rate has two components, a cash interest rate of 6.5% and an accrued PIK of 2.0%. As a result of the valuation allowances recorded, effective in March 2017, the Company will no longer recognize as interest income the 2.0% PIK. Although Blackstone has the right to change its payment election, the Company expects future preferred dividends to continue to include the PIK component. The recognition of the PIK interest income will be reevaluated based upon any future adjustments to the aggregate valuation allowance, as appropriate. |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisitions | 3. Acquisitions In January 2017, the Company acquired one shopping center in Chicago, Illinois, for $81.0 million. This acquisition was accounted for as an asset acquisition and the fair value was allocated as follows (in thousands): Weighted-Average Amortization Period (in Years) Land $ 23,588 N/A Buildings 35,659 (A) Tenant improvements 8,565 (A) In-place leases (including lease origination costs and fair market value of leases) 7,051 16.0 Tenant relations 6,934 16.3 Other assets 419 N/A 82,216 Less: Below-market leases (1,872 ) 20.0 Less: Other liabilities assumed (581 ) N/A Net assets acquired $ 79,763 (A) Depreciated in accordance with the Company’s policy. Total consideration for the acquisition was paid in cash. The costs related to the acquisition of this asset were capitalized to real estate assets (Note 1). Included in the Company’s consolidated statements of operations are $1.5 million in total revenues from the date of acquisition through March 31, 2017, for the acquired property. |
Notes Receivable
Notes Receivable | 3 Months Ended |
Mar. 31, 2017 | |
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. At March 31, 2017 and December 31, 2016, the Company had loans and other receivables outstanding of $49.9 million and $49.5 million, respectively, with maturity dates ranging from September 2017 to June 2023 and interest rates ranging from 5.6% to 12.0%. The following table reconciles the loans receivable on real estate (in thousands): 2017 2016 Balance at January 1 $ 49,488 $ 41,988 Additions: Interest 261 — Accretion of discount 269 254 Deductions: Collections of principal and interest (134 ) (126 ) Balance at March 31 $ 49,884 $ 42,116 At March 31, 2017, the Company did not have any loans outstanding that were past due. In April 2017, a loan receivable of $30.6 million with a maturity date of September 2017 was repaid in full. |
Other Assets, Net
Other Assets, Net | 3 Months Ended |
Mar. 31, 2017 | |
Other Assets [Abstract] | |
Other Assets, Net | 5. Other Assets, Net Other assets consist of the following (in thousands): March 31, 2017 December 31, 2016 Intangible assets: In-place leases, net $ 96,603 $ 99,600 Above-market leases, net 18,917 20,405 Lease origination costs 12,784 12,931 Tenant relations, net 108,068 108,662 Total intangible assets, net (A) 236,372 241,598 Other assets: Prepaid expenses 32,967 26,842 Other assets 3,032 6,274 Deposits 5,967 5,965 Deferred charges, net 4,386 4,731 Total other assets, net $ 282,724 $ 285,410 (A) The Company recorded amortization expense related to its intangibles, excluding above- and below-market leases, of $16.6 million and $19.5 million for the three months ended March 31, 2017 and 2016, respectively. |
Revolving Credit Facilities
Revolving Credit Facilities | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Revolving Credit Facilities | 6. Revolving Credit Facilities The following table discloses certain information regarding the Company’s Revolving Credit Facilities (as defined below) (in millions): Carrying Value at March 31, 2017 Weighted-Average Interest Rate (A) March 31, 2017 Maturity Date Unsecured Credit Facility $ 90.0 2.0% June 2019 PNC Facility — N/A June 2019 (A) Interest rate on variable-rate debt was calculated using the base rate and spreads in effect at March 31, 2017. The Company maintains an unsecured revolving credit facility with a syndicate of financial institutions, arranged by J.P. Morgan Securities, LLC and Wells Fargo Securities, LLC (the “Unsecured Credit Facility”). The Unsecured Credit Facility provides for borrowings of up to $750 million, if certain financial covenants are maintained, two six-month options to extend the maturity to June 2020 upon the Company’s request and an accordion feature for expansion of availability up to $1.25 billion, provided that new or existing lenders agree to the existing terms of the facility and increase their commitment level. 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 20 basis points on the entire facility at March 31, 2017. The Company also maintains a $50 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 terms are substantially 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 LIBOR, plus a specified spread (1.0% at March 31, 2017) or the prime rate, as defined in the respective facility. 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 under the Revolving Credit Facilities relating to total outstanding indebtedness, secured indebtedness, maintenance of unencumbered real estate assets and fixed charge coverage. The Company was in compliance with these financial covenants at March 31, 2017. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | 7. Financial Instruments and Fair Value Measurements The following methods and assumptions were used by the Company in estimating fair value disclosures of financial instruments: Notes Receivable and Advances to Affiliates The fair value is estimated using a discounted cash flow analysis in which the Company uses 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 $371.1 million and $445.2 million at March 31, 2017 and December 31, 2016, respectively, as compared to the carrying amounts of $369.6 million and $443.3 million, respectively. Debt The fair market value of senior 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 non-performance risk and loan to value. The Company’s senior notes and all other debt 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 with carrying values that are different than estimated fair values are summarized as follows (in thousands): March 31, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Senior Notes $ 2,914,186 $ 3,026,001 $ 2,913,217 $ 3,056,896 Revolving Credit Facilities and term loans 688,409 691,460 598,242 601,131 Mortgage Indebtedness 918,331 946,958 982,509 1,012,869 $ 4,520,926 $ 4,664,419 $ 4,493,968 $ 4,670,896 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 8. Commitments and Contingencies Accrued Expense During the first quarter of 2017, the Company recorded a separation charge aggregating $11.5 million which is comprised of $9.4 million related to the March 2, 2017, management transition and $2.1 million related to other contractual staffing reductions. These charges are the result of the termination without cause of several of its executives under the terms of their respective employment agreements. This charge included stock-based compensation expense of approximately $3.3 million relating to the acceleration of expense associated with the grant date fair value of the unvested stock-based awards. At March 31, 2017, approximately $8.2 million was included in accounts payable and accrued expenses related to the charge in the Company’s consolidated balance sheet. The Company expects to record an additional $5 million charge in the second quarter of 2017 reflecting the remaining separation costs associated with the restructuring announced on April 3, 2017. |
Other Comprehensive Loss
Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Other Comprehensive Loss | 9 . Other Comprehensive Loss The changes in accumulated other comprehensive loss by component are as follows (in thousands): Gains on Cash Flow Hedges Foreign Currency Items Total Balance, December 31, 2016 $ (3,930 ) $ (262 ) $ (4,192 ) Other comprehensive income before reclassifications 435 147 582 Change in cash flow hedges reclassed to earnings (A) 178 — 178 Net current-period other comprehensive income 613 147 760 Balance, March 31, 2017 $ (3,317 ) $ (115 ) $ (3,432 ) (A) Includes amortization classified in Interest Expense of $0.2 million in the Company’s consolidated statement of operations for the three months ended March 31, 2017, which was previously recognized in accumulated other comprehensive loss. |
Impairment Charges and Reserves
Impairment Charges and Reserves | 3 Months Ended |
Mar. 31, 2017 | |
Asset Impairment Charges [Abstract] | |
Impairment Charges and Reserves | 10 . Impairment Charges and Reserves The Company recorded impairment charges and reserves based on the difference between the carrying value of the assets or investments and the estimated fair market value as follows (in millions): Three Months Ended March 31, 2017 2016 Assets marketed for sale (A) $ 22.0 $ — Reserve of preferred equity interests (B) 76.0 — Total impairment charges $ 98.0 $ — (A) Triggered by changes in asset hold-period assumptions and/or expected future cash flows. ( B ) In March 2017, the Company recorded an aggregate valuation allowance on its preferred equity interests in the BRE DDR Joint Ventures (Note 2). Items Measured at Fair Value on a Non-Recurring Basis The Company is required to assess the fair value of certain impaired consolidated and unconsolidated joint venture investments. The valuation of impaired real estate assets and investments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each asset, as well as the income capitalization approach considering prevailing market capitalization rates, analysis of recent comparable sales transactions, actual sales negotiations and bona fide purchase offers received from third parties and/or consideration of the amount that currently would be required to replace the asset, as adjusted for obsolescence. In general, the Company considers multiple valuation techniques when measuring fair value of an investment. However, in certain circumstances, a single valuation technique may be appropriate. For operational real estate assets, the significant valuation assumptions included the capitalization rate used in the income capitalization valuation as well as the projected property net operating income. For projects under development or not at stabilization, the significant valuation assumptions included the discount rate, the timing and the estimated costs for the construction completion and project stabilization, projected net operating income and the exit capitalization rate. For the valuation of the preferred equity interests, the significant assumptions used in the discounted cash flow analysis included the discount rate, projected net operating income, the timing of the expected redemption and the exit capitalization rates. These valuations were calculated based on market conditions and assumptions made by management at the time the valuation adjustments were recorded, which may differ materially from actual results if market conditions or the underlying assumptions change. 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 three months ended March 31, 2017, and the year ended December 31, 2016. 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 March 31, 2017 Long-lived assets held and used $ — $ — $ 14.8 $ 14.8 $ 22.0 Reserve of preferred equity interests — — 319.3 319.3 76.0 December 31, 2016 Long-lived assets held and used — — 438.2 438.2 110.9 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, except price per square foot, which is in thousands): Quantitative Information about Level 3 Fair Value Measurements Fair Value at Range March 31, December 31, Valuation Unobservable Description 2017 2016 Technique Inputs 2017 2016 Impairment of consolidated assets $ — $ 13.4 Indicative Bid (A) Contracted Price Indicative Bid (A) Contracted Price N/A N/A — 398.2 Income Capitalization Approach (B) Sales Comparison Approach Market Capitalization Rate N/A 7%–10% Price per Square Foot N/A $15–$31 14.8 26.6 Indicative Bid (A) Indicative Bid (A) N/A N/A Discounted Cash Flow Discount Rate 9% 10%–11% Terminal Capitalization Rate 10% 10%–12% Reserve of preferred equity interests 319.3 — Discounted Cash Flow Discount Rate 8.3%–8.6% N/A Terminal Capitalization Rate 5.3%–10.3% N/A NOI Growth Rate 1% N/A (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 corroboration for 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 based on a price per square foot. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 1 1 . Earnings Per Share The following table provides a reconciliation of net (loss) income from continuing operations and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts): Three Months Ended March 31, 2017 2016 Numerators – Basic and Diluted (Loss) income from continuing operations $ (92,155 ) $ 33,492 Plus: Gain on disposition of real estate 38,127 12,381 Plus: Income attributable to non-controlling interests (213 ) (300 ) Less: Preferred dividends (5,594 ) (5,594 ) Less: Earnings attributable to unvested shares and operating partnership units (251 ) (210 ) Net (loss) income attributable to common shareholders after allocation to participating securities $ (60,086 ) $ 39,769 Denominators – Number of Shares Basic — 366,430 364,691 Effect of dilutive securities — — 351 Diluted — 366,430 365,042 (Loss) Earnings Per Share: Basic $ (0.16 ) $ 0.11 Diluted $ (0.16 ) $ 0.11 Shares subject to issuance under the Company’s 2016 VSEP were not considered in the computation of diluted EPS for the three months ended March 31, 2017 and 2016, as the calculation was anti-dilutive. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | 1 2 . Segment Information The tables below present information about the Company’s reportable operating segments (in thousands): Three Months Ended March 31, 2017 Shopping Centers Loan Investments Other Total Total revenues $ 240,406 $ 15 $ 240,421 Rental operation expenses (67,320 ) — (67,320 ) Net operating income 173,086 15 173,101 Impairment charges (21,973 ) (21,973 ) Depreciation and amortization (90,884 ) (90,884 ) Interest income 8,392 8,392 Other income (expense), net $ (4 ) (4 ) Unallocated expenses (A) (83,122 ) (83,122 ) Equity in net loss of joint ventures (1,665 ) (1,665 ) Reserve of preferred equity interests (76,000 ) (76,000 ) Loss from continuing operations $ (92,155 ) As of March 31, 2017: Total gross real estate assets $ 9,185,537 $ 9,185,537 Notes receivable, net (B) $ 369,200 $ (319,305 ) $ 49,895 Three Months Ended March 31, 2016 Shopping Centers Loan Investments Other Total Total revenues $ 254,417 $ 6 $ 254,423 Rental operation expenses (73,003 ) (39 ) (73,042 ) Net operating income (loss) 181,414 (33 ) 181,381 Depreciation and amortization (96,902 ) (96,902 ) Interest income 9,050 9,050 Other income (expense), net $ 1,773 1,773 Unallocated expenses (A) (76,231 ) (76,231 ) Equity in net income of joint ventures 14,421 14,421 Income from continuing operations $ 33,492 As of March 31, 2016: Total gross real estate assets $ 9,973,081 $ 9,973,081 Notes receivable, net (B) $ 440,526 $ (397,934 ) $ 42,592 (A) Unallocated expenses consist of General and Administrative Expenses, Interest Expense and Tax Expense as listed in the Company’s consolidated statements of operations. (B) Amount includes loans to affiliates classified in Investments in and Advances to Joint Ventures on the Company’s consolidated balance sheets. |
Nature of Business and Financ20
Nature of Business and Financial Statement Presentation (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of Business | Nature of Business DDR Corp. and its related consolidated real estate subsidiaries (collectively, the “Company” or “DDR”) and unconsolidated joint ventures are primarily engaged in the business of acquiring, owning, developing, redeveloping, expanding, leasing, financing and managing shopping centers. Unless otherwise provided, references herein to the Company or DDR include DDR Corp. and its wholly-owned subsidiaries and consolidated 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 | Use of Estimates in Preparation of Financial Statements The preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) 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. |
Reclassifications | Reclassifications Certain reclassifications have been made to the Company’s 2016 financial statements to conform to the 2017 presentation. |
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 months ended March 31, 2017 and 2016, 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, 2016 . |
Principles of Consolidation | Principles of Consolidation The 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”). All significant inter-company balances and transactions have been eliminated in consolidation. Investments in real estate joint ventures in which the Company has the ability to exercise significant influence, but does not have financial or operating control, are accounted for using the equity method of accounting. Accordingly, the Company’s share of the earnings (or loss) of these joint ventures is included in consolidated net income (loss). The Company has two unconsolidated joint ventures included in the Company’s joint venture investments that are considered VIEs for which the Company is not the primary beneficiary. The Company’s maximum exposure to losses associated with these VIEs is limited to its aggregate investment, which was $329.5 million and $405.4 million as of March 31, 2017 and December 31, 2016, respectively. Statements of Cash Flows and Supplemental Disclosure of Non-Cash Investing and Financing Information Non-cash investing and financing activities are summarized as follows (in millions): Three Months Ended March 31, 2017 2016 Accounts payable related to construction in progress $ 12.5 $ 26.6 Dividends declared 75.4 75.0 Common Shares Common share dividends declared were $0.19 per share for each of the three months ended March 31, 2017 and 2016. Fee and Other Income Fee and other income was composed of the following (in millions): Three Months Ended March 31, 2017 2016 Management and other fee income $ 9.4 $ 8.2 Ancillary and other property income 4.3 4.1 Lease termination fees 0.2 1.2 Other 0.1 — Total fee and other income $ 14.0 $ 13.5 |
New Accounting Standards Adopted and to Be Adopted | New Accounting Standards Adopted Business Combinations In September 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-16, Business Combinations (Topic 805) have an adjustment to provisional amounts recognized. The guidance requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. Any adjustments should be calculated as if the accounting had been completed at the acquisition date. The guidance is effective for public companies for fiscal years beginning after December 15, 2016. In addition, in January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805) - Clarifying the Definition of a Business . ASU No. 2017-01 clarifies the definition and provides a more robust framework to use in determining when a set of assets and activities constitutes a business. ASU No. 2017-01 is intended to provide guidance when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The guidance is effective for public companies for fiscal years beginning after December 15, 2017. Early adoption is permitted for both standards. Application of the guidance is prospective. The Company adopted the standards effective January 1, 2017, with respect to its asset acquisitions. Under these new standards, the Company’s purchase of a shopping center is expected to be classified as an acquisition of an asset and not classified as an acquisition of a business. Transaction costs from the acquisition of a business are expensed as incurred, in contrast to transaction costs from the acquisition of an asset, which are capitalized to real estate assets upon acquisition. As a result of these new standards, the majority of the transaction costs incurred related to the acquisition of shopping centers are capitalized to real estate assets (Note This change did not have a material impact on the Company’s financial statements. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments. Statement of Cash Flows (Topic 230: Restricted Cash The Company adopted the updated standards effective January 1, 2017. The adoption of these standards modified the Company's 2017 presentation of certain activities within the consolidated statements of cash flows and related disclosures. New Accounting Standards to Be Adopted Revenue Recognition In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers The Company is in the process of evaluating the impact that the adoption of ASU No. 2014-09 will have on its consolidated financial statements and disclosures. Most significantly for the real estate industry, leasing transactions are not within the scope of the new standard. A majority of the Company’s tenant-related revenue is recognized pursuant to lease agreements and will be governed by the recently issued leasing guidance discussed below. Excluding revenue related to leasing transactions, the Company anticipates that upon adoption of ASU No. 2014-09, the recognition of lease commission income earned pursuant to its management agreements with unconsolidated joint ventures most likely will be accelerated into an earlier quarter than recognized in current GAAP. The majority of the Company’s lease commission income is recognized 50% upon lease execution and 50% upon tenant rent commencement. Under the new standard, the Company anticipates that a lease commission will be recognized in its entirety upon lease execution. This revenue is not considered material to the Company’s consolidated financial statements. Accounting for Leases In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Leases The Company is in the process of evaluating the impact that the adoption of ASU No. 2016-02 will have on its consolidated financial statements and disclosures. The Company has currently identified several areas within its accounting policies it believes could be impacted by the new standard. The Company may have a change in presentation on its consolidated statement of operations with regards to Recoveries from Tenants which includes reimbursements from tenants for certain operating expenses, real estate taxes and insurance. Tenant expense reimbursements with a service obligation are not covered within the scope of ASU No. 2016-02. The Company also has certain lease arrangements with its tenants for space at its shopping centers in which the contractual amounts due under the lease by the lessee are not allocated between the rental and expense reimbursement components (“Gross Leases”). The aggregate revenue earned under Gross Leases is presented as Minimum Rents in the consolidated statements of operations. As a result, the Company anticipates it will be required to bifurcate the presentation of certain expense reimbursements as well as allocate the fair value of the embedded revenue associated with these reimbursements for Gross Leases, which represent an immaterial portion of the Company’s lease portfolio, and separately present such amounts in its consolidated statements of operations based upon materiality. In addition, the Company has ground lease agreements in which the Company is the lessee for land underneath all or a portion of the buildings at five shopping centers. Currently, the Company accounts for these arrangements as operating leases. Under the new standard, the Company will record its rights and obligations under these leases as an asset and liability on its consolidated balance sheets. The Company is currently in the process of evaluating the inputs required to calculate the amount that will be recorded on its balance sheet for each ground lease. Lastly, this standard impacts the lessor’s ability to capitalize costs related to the leasing of vacant space. However, the Company does not believe this change regarding capitalization will have a material impact on its consolidated financial statements. |
Nature of Business and Financ21
Nature of Business and Financial Statement Presentation (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Non-cash Investing and Financing Activities | Non-cash investing and financing activities are summarized as follows (in millions): Three Months Ended March 31, 2017 2016 Accounts payable related to construction in progress $ 12.5 $ 26.6 Dividends declared 75.4 75.0 |
Schedule of Fee and Other Income from Continuing Operations | Fee and other income was composed of the following (in millions): Three Months Ended March 31, 2017 2016 Management and other fee income $ 9.4 $ 8.2 Ancillary and other property income 4.3 4.1 Lease termination fees 0.2 1.2 Other 0.1 — Total fee and other income $ 14.0 $ 13.5 |
Investments in and Advances t22
Investments in and Advances to Joint Ventures (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Schedule Of Equity Method Investments [Line Items] | |
Service Fees and Income Earned by Company | 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 Months Ended March 31, 2017 2016 Management and other fees $ 6.9 $ 6.2 Interest income 7.5 8.3 Development fees and leasing commissions 2.5 1.9 |
Summary of Terms For Unconsolidated Joint Ventures Investments | The Company’s two unconsolidated investments with The Blackstone Group L.P. (“Blackstone”), BRE DDR Retail Holdings III (“BRE DDR III”) and BRE DDR Retail Holdings IV (“BRE DDR IV”) and, together (the “BRE DDR Joint Ventures”), have substantially similar terms and are summarized as follows (in millions, except properties owned): Common Equity Preferred Investment Properties Owned Formation Initial Initial March 31, 2017 Net of Reserve Inception March 31, 2017 BRE DDR III Oct 2014 $ 19.6 $ 300.0 $ 314.6 $ 244.6 70 49 BRE DDR IV Dec 2015 12.9 82.6 74.5 68.5 6 6 |
Unconsolidated Joint Ventures [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
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): March 31, 2017 December 31, 2016 Condensed Combined Balance Sheets Land $ 1,268,425 $ 1,287,675 Buildings 3,338,488 3,376,720 Fixtures and tenant improvements 205,412 203,824 4,812,325 4,868,219 Less: Accumulated depreciation (914,860 ) (884,356 ) 3,897,465 3,983,863 Construction in progress and land 58,932 56,983 Real estate, net 3,956,397 4,040,846 Cash and restricted cash 60,822 50,378 Receivables, net 43,931 50,685 Other assets, net 242,234 248,664 $ 4,303,384 $ 4,390,573 Mortgage debt $ 2,898,615 $ 3,034,399 Notes and accrued interest payable to the Company 3,028 1,584 Other liabilities 194,458 206,949 3,096,101 3,242,932 Redeemable preferred equity – 395,945 393,338 Accumulated equity 811,338 754,303 $ 4,303,384 $ 4,390,573 Company's share of accumulated equity $ 106,819 $ 97,977 Redeemable preferred equity, net 319,315 393,338 Basis differentials (30,987 ) (36,117 ) Deferred development fees, net of portion related to the Company's interest (2,813 ) (2,651 ) Amounts payable to the Company 3,028 1,584 Investments in and Advances to Joint Ventures, net $ 395,362 $ 454,131 |
Condensed Combined Statements of Operations of Unconsolidated Joint Venture Investments | Three Months Ended March 31, 2017 2016 Condensed Combined Statements of Operations Revenues from operations $ 127,048 $ 127,910 Expenses from operations: Operating expenses 36,668 37,656 Impairment charges 52,657 — Depreciation and amortization 45,096 49,035 Interest expense 30,130 33,322 Preferred share expense 8,128 8,264 Other (income) expense, net 6,573 5,811 179,252 134,088 Loss from continuing operations (52,204 ) (6,178 ) (Loss) gain on disposition of real estate, net (173 ) 53,483 Net (loss) income attributable to unconsolidated joint ventures $ (52,377 ) $ 47,305 Company's share of equity in net (loss) income of joint ventures $ (5,293 ) $ 11,274 Basis differential adjustments (A) 3,628 3,147 Equity in net (loss) income of joint ventures $ (1,665 ) $ 14,421 (A) The difference between the Company’s share of net income (loss), as reported above, and the amounts included in the Company’s consolidated statements of operations is attributable to the amortization of basis differentials, the recognition of deferred gains and differences in gain (loss) on sale of certain assets recognized due to the basis differentials and other than temporary impairment charges. |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Schedule of Acquisition Cost of Shopping Centers | This acquisition was accounted for as an asset acquisition and the fair value was allocated as follows (in thousands): Weighted-Average Amortization Period (in Years) Land $ 23,588 N/A Buildings 35,659 (A) Tenant improvements 8,565 (A) In-place leases (including lease origination costs and fair market value of leases) 7,051 16.0 Tenant relations 6,934 16.3 Other assets 419 N/A 82,216 Less: Below-market leases (1,872 ) 20.0 Less: Other liabilities assumed (581 ) N/A Net assets acquired $ 79,763 (A) Depreciated in accordance with the Company’s policy. |
Notes Receivable (Tables)
Notes Receivable (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Loans Receivable on Real Estate | The following table reconciles the loans receivable on real estate (in thousands): 2017 2016 Balance at January 1 $ 49,488 $ 41,988 Additions: Interest 261 — Accretion of discount 269 254 Deductions: Collections of principal and interest (134 ) (126 ) Balance at March 31 $ 49,884 $ 42,116 |
Other Assets, Net (Tables)
Other Assets, Net (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Other Assets [Abstract] | |
Components of Other Assets | Other assets consist of the following (in thousands): March 31, 2017 December 31, 2016 Intangible assets: In-place leases, net $ 96,603 $ 99,600 Above-market leases, net 18,917 20,405 Lease origination costs 12,784 12,931 Tenant relations, net 108,068 108,662 Total intangible assets, net (A) 236,372 241,598 Other assets: Prepaid expenses 32,967 26,842 Other assets 3,032 6,274 Deposits 5,967 5,965 Deferred charges, net 4,386 4,731 Total other assets, net $ 282,724 $ 285,410 (A) The Company recorded amortization expense related to its intangibles, excluding above- and below-market leases, of $16.6 million and $19.5 million for the three months ended March 31, 2017 and 2016, respectively. |
Revolving Credit Facilities (Ta
Revolving Credit Facilities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Information Regarding Company's Revolving Credit Facilities | The following table discloses certain information regarding the Company’s Revolving Credit Facilities (as defined below) (in millions): Carrying Value at March 31, 2017 Weighted-Average Interest Rate (A) March 31, 2017 Maturity Date Unsecured Credit Facility $ 90.0 2.0% June 2019 PNC Facility — N/A June 2019 (A) Interest rate on variable-rate debt was calculated using the base rate and spreads in effect at March 31, 2017. |
Financial Instruments and Fai27
Financial Instruments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Debt Instruments with Carrying Values Different than Estimated Fair Values | Debt instruments with carrying values that are different than estimated fair values are summarized as follows (in thousands): March 31, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Senior Notes $ 2,914,186 $ 3,026,001 $ 2,913,217 $ 3,056,896 Revolving Credit Facilities and term loans 688,409 691,460 598,242 601,131 Mortgage Indebtedness 918,331 946,958 982,509 1,012,869 $ 4,520,926 $ 4,664,419 $ 4,493,968 $ 4,670,896 |
Other Comprehensive Loss (Table
Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component | The changes in accumulated other comprehensive loss by component are as follows (in thousands): Gains on Cash Flow Hedges Foreign Currency Items Total Balance, December 31, 2016 $ (3,930 ) $ (262 ) $ (4,192 ) Other comprehensive income before reclassifications 435 147 582 Change in cash flow hedges reclassed to earnings (A) 178 — 178 Net current-period other comprehensive income 613 147 760 Balance, March 31, 2017 $ (3,317 ) $ (115 ) $ (3,432 ) (A) Includes amortization classified in Interest Expense of $0.2 million in the Company’s consolidated statement of operations for the three months ended March 31, 2017, which was previously recognized in accumulated other comprehensive loss. |
Impairment Charges and Reserv29
Impairment Charges and Reserves (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Asset Impairment Charges [Abstract] | |
Impairment Charges and Reserves on Assets or Investments | The Company recorded impairment charges and reserves based on the difference between the carrying value of the assets or investments and the estimated fair market value as follows (in millions): Three Months Ended March 31, 2017 2016 Assets marketed for sale (A) $ 22.0 $ — Reserve of preferred equity interests (B) 76.0 — Total impairment charges $ 98.0 $ — (A) Triggered by changes in asset hold-period assumptions and/or expected future cash flows. ( B ) In March 2017, the Company recorded an aggregate valuation allowance on its preferred equity interests in the BRE DDR Joint Ventures (Note 2). |
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 three months ended March 31, 2017, and the year ended December 31, 2016. 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 March 31, 2017 Long-lived assets held and used $ — $ — $ 14.8 $ 14.8 $ 22.0 Reserve of preferred equity interests — — 319.3 319.3 76.0 December 31, 2016 Long-lived assets held and used — — 438.2 438.2 110.9 |
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, except price per square foot, which is in thousands): Quantitative Information about Level 3 Fair Value Measurements Fair Value at Range March 31, December 31, Valuation Unobservable Description 2017 2016 Technique Inputs 2017 2016 Impairment of consolidated assets $ — $ 13.4 Indicative Bid (A) Contracted Price Indicative Bid (A) Contracted Price N/A N/A — 398.2 Income Capitalization Approach (B) Sales Comparison Approach Market Capitalization Rate N/A 7%–10% Price per Square Foot N/A $15–$31 14.8 26.6 Indicative Bid (A) Indicative Bid (A) N/A N/A Discounted Cash Flow Discount Rate 9% 10%–11% Terminal Capitalization Rate 10% 10%–12% Reserve of preferred equity interests 319.3 — Discounted Cash Flow Discount Rate 8.3%–8.6% N/A Terminal Capitalization Rate 5.3%–10.3% N/A NOI Growth Rate 1% N/A (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 corroboration for 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 based on a price per square foot. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
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 provides a reconciliation of net (loss) income from continuing operations and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts): Three Months Ended March 31, 2017 2016 Numerators – Basic and Diluted (Loss) income from continuing operations $ (92,155 ) $ 33,492 Plus: Gain on disposition of real estate 38,127 12,381 Plus: Income attributable to non-controlling interests (213 ) (300 ) Less: Preferred dividends (5,594 ) (5,594 ) Less: Earnings attributable to unvested shares and operating partnership units (251 ) (210 ) Net (loss) income attributable to common shareholders after allocation to participating securities $ (60,086 ) $ 39,769 Denominators – Number of Shares Basic — 366,430 364,691 Effect of dilutive securities — — 351 Diluted — 366,430 365,042 (Loss) Earnings Per Share: Basic $ (0.16 ) $ 0.11 Diluted $ (0.16 ) $ 0.11 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Summary of Information about Company's Reportable Operating Segments | The tables below present information about the Company’s reportable operating segments (in thousands): Three Months Ended March 31, 2017 Shopping Centers Loan Investments Other Total Total revenues $ 240,406 $ 15 $ 240,421 Rental operation expenses (67,320 ) — (67,320 ) Net operating income 173,086 15 173,101 Impairment charges (21,973 ) (21,973 ) Depreciation and amortization (90,884 ) (90,884 ) Interest income 8,392 8,392 Other income (expense), net $ (4 ) (4 ) Unallocated expenses (A) (83,122 ) (83,122 ) Equity in net loss of joint ventures (1,665 ) (1,665 ) Reserve of preferred equity interests (76,000 ) (76,000 ) Loss from continuing operations $ (92,155 ) As of March 31, 2017: Total gross real estate assets $ 9,185,537 $ 9,185,537 Notes receivable, net (B) $ 369,200 $ (319,305 ) $ 49,895 Three Months Ended March 31, 2016 Shopping Centers Loan Investments Other Total Total revenues $ 254,417 $ 6 $ 254,423 Rental operation expenses (73,003 ) (39 ) (73,042 ) Net operating income (loss) 181,414 (33 ) 181,381 Depreciation and amortization (96,902 ) (96,902 ) Interest income 9,050 9,050 Other income (expense), net $ 1,773 1,773 Unallocated expenses (A) (76,231 ) (76,231 ) Equity in net income of joint ventures 14,421 14,421 Income from continuing operations $ 33,492 As of March 31, 2016: Total gross real estate assets $ 9,973,081 $ 9,973,081 Notes receivable, net (B) $ 440,526 $ (397,934 ) $ 42,592 (A) Unallocated expenses consist of General and Administrative Expenses, Interest Expense and Tax Expense as listed in the Company’s consolidated statements of operations. (B) Amount includes loans to affiliates classified in Investments in and Advances to Joint Ventures on the Company’s consolidated balance sheets. |
Nature of Business and Financ32
Nature of Business and Financial Statement Presentation - Additional Information (Detail) $ / shares in Units, $ in Millions | 3 Months Ended | ||
Mar. 31, 2017USD ($)JointVenture$ / shares | Mar. 31, 2016$ / shares | Dec. 31, 2016USD ($) | |
Nature Of Business And Financial Statement Presentation [Line Items] | |||
Maximum exposure to losses associated with VIEs | $ | $ 329.5 | $ 405.4 | |
Common share dividends declared per share | $ / shares | $ 0.19 | $ 0.19 | |
Percentage of lease commission income upon lease execution | 50.00% | ||
Percentage of lease commission income upon tenant rent commencement | 50.00% | ||
Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Nature Of Business And Financial Statement Presentation [Line Items] | |||
Number of unconsolidated joint ventures | JointVenture | 2 |
Nature of Business and Financ33
Nature of Business and Financial Statement Presentation - Non-cash Investing and Financing Activities (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |||
Accounts payable related to construction in progress | $ 12,500 | $ 26,600 | |
Dividends declared | $ 75,402 | $ 75,000 | $ 75,245 |
Nature of Business and Financ34
Nature of Business and Financial Statement Presentation - Schedule of Fee and Other Income from Continuing Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement [Abstract] | ||
Management and other fee income | $ 9,400 | $ 8,200 |
Ancillary and other property income | 4,300 | 4,100 |
Lease termination fees | 200 | 1,200 |
Other | 100 | 0 |
Total fee and other income | $ 14,017 | $ 13,521 |
Investments in and Advances t35
Investments in and Advances to Joint Ventures - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2017USD ($)ShoppingCenter | Mar. 31, 2017USD ($)ShoppingCenterInvestment | Dec. 31, 2016ShoppingCenter | |
Schedule Of Equity Method Investments [Line Items] | |||
Preferred investment interest valuation allowance | $ 76,000,000 | $ 76,000,000 | |
Unconsolidated Joint Ventures [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Shopping centers owned | ShoppingCenter | 150 | 150 | 151 |
BRE DDR Joint Ventures [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Number of unconsolidated investments | Investment | 2 | ||
Maximum preferred investment fixed distribution deferral | 23.50% | 23.50% | |
Redemption of preferred equity in full or in part at partners option | during the first three years | ||
Redemption of preferred investment in full at company option | after seven years | ||
Dividend, cash interest rate | 6.50% | ||
Dividend, accrued PIK interest rate | 2.00% | ||
BRE DDR Joint Ventures [Member] | Unpaid Preferred Investments Distributions [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Preferred equity fixed dividend rate per annum | 8.50% | ||
BRE DDR III [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Ownership interest of joint venture partner | 95.00% | ||
Ownership interest in joint venture | 5.00% | 5.00% | |
Redemption of preferred investment in full at company option year | 2,021 | ||
Minimum net asset sales threshold payable | $ 46,300,000 | $ 46,300,000 | |
Preferred investment interest valuation allowance | $ 70,000,000 | $ 70,000,000 | |
BRE DDR III [Member] | Preferred Equity [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Remaining net asset sale proceeds | 51.50% | ||
BRE DDR IV [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Ownership interest of joint venture partner | 95.00% | ||
Ownership interest in joint venture | 5.00% | 5.00% | |
Redemption of preferred investment in full at company option year | 2,022 | ||
Minimum net asset sales threshold payable | $ 26,000,000 | $ 26,000,000 | |
Preferred investment interest valuation allowance | 6,000,000 | 6,000,000 | |
BRE DDR IV [Member] | Preferred Equity [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Minimum net asset sales threshold payable | $ 6,000,000 | $ 6,000,000 | |
Number of assets with nominal interest | ShoppingCenter | 6 | 6 |
Investments in and Advances t36
Investments in and Advances to Joint Ventures - Condensed Combined Financial Information of Company's Unconsolidated Joint Venture Investments (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Condensed Combined Balance Sheets | ||
Land | $ 1,987,849 | $ 1,990,406 |
Buildings | 6,338,139 | 6,412,532 |
Fixtures and tenant improvements | 738,741 | 735,685 |
Total real estate rental property | 9,064,729 | 9,138,623 |
Less: Accumulated depreciation | (2,004,413) | (1,996,176) |
Real estate rental property, net | 7,060,316 | 7,142,447 |
Construction in progress and land | 120,808 | 105,435 |
Total real estate assets, net | 7,181,124 | 7,247,882 |
Other assets, net | 282,724 | 285,410 |
Total assets | 8,092,966 | 8,197,518 |
Mortgage debt | 918,331 | 982,509 |
Total liabilities | 4,965,719 | 4,951,506 |
Total liabilities and equity | 8,092,966 | 8,197,518 |
Company's share of accumulated equity | 106,819 | 97,977 |
Redeemable preferred equity, net | 319,315 | 393,338 |
Basis differentials | (30,987) | (36,117) |
Deferred development fees, net of portion related to the Company's interest | (2,813) | (2,651) |
Amounts payable to the Company | 3,028 | 1,584 |
Investments in and Advances to Joint Ventures, net | 395,362 | 454,131 |
Unconsolidated Joint Ventures [Member] | ||
Condensed Combined Balance Sheets | ||
Land | 1,268,425 | 1,287,675 |
Buildings | 3,338,488 | 3,376,720 |
Fixtures and tenant improvements | 205,412 | 203,824 |
Total real estate rental property | 4,812,325 | 4,868,219 |
Less: Accumulated depreciation | (914,860) | (884,356) |
Real estate rental property, net | 3,897,465 | 3,983,863 |
Construction in progress and land | 58,932 | 56,983 |
Total real estate assets, net | 3,956,397 | 4,040,846 |
Cash and restricted cash | 60,822 | 50,378 |
Receivables, net | 43,931 | 50,685 |
Other assets, net | 242,234 | 248,664 |
Total assets | 4,303,384 | 4,390,573 |
Mortgage debt | 2,898,615 | 3,034,399 |
Notes and accrued interest payable to the Company | 3,028 | 1,584 |
Other liabilities | 194,458 | 206,949 |
Total liabilities | 3,096,101 | 3,242,932 |
Redeemable preferred equity – DDR | 395,945 | 393,338 |
Accumulated equity | 811,338 | 754,303 |
Total liabilities and equity | $ 4,303,384 | $ 4,390,573 |
Investments in and Advances t37
Investments in and Advances to Joint Ventures - Condensed Combined Statements of Operations of Unconsolidated Joint Venture Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Expenses from operations: | ||
Operating expenses | $ 211,249 | $ 187,820 |
Impairment charges | 21,973 | 0 |
Depreciation and amortization | 90,884 | 96,902 |
Interest expense | 51,827 | 57,897 |
Other (income) expense, net | 4 | (1,773) |
(Loss) income from continuing operations | (92,155) | 33,492 |
Gain on disposition of real estate, net | 38,127 | 12,381 |
Company's share of equity in net (loss) income of joint ventures | (5,293) | 11,274 |
Basis differential adjustments | 3,628 | 3,147 |
Equity in net (loss) income of joint ventures | (1,665) | 14,421 |
Unconsolidated Joint Ventures [Member] | ||
Condensed Combined Statements of Operations | ||
Revenues from operations | 127,048 | 127,910 |
Expenses from operations: | ||
Operating expenses | 36,668 | 37,656 |
Impairment charges | 52,657 | 0 |
Depreciation and amortization | 45,096 | 49,035 |
Interest expense | 30,130 | 33,322 |
Preferred share expense | 8,128 | 8,264 |
Other (income) expense, net | 6,573 | 5,811 |
Total expenses | 179,252 | 134,088 |
(Loss) income from continuing operations | (52,204) | (6,178) |
Gain on disposition of real estate, net | (173) | 53,483 |
Net (loss) income attributable to unconsolidated joint ventures | $ (52,377) | $ 47,305 |
Investments in and Advances t38
Investments in and Advances to Joint Ventures - Service Fees and Income Earned by Company's Unconsolidated Joint Ventures (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Equity Method Investments And Joint Ventures [Abstract] | ||
Management and other fees | $ 6.9 | $ 6.2 |
Interest income | 7.5 | 8.3 |
Development fees and leasing commissions | $ 2.5 | $ 1.9 |
Investments in and Advances t39
Investments in and Advances to Joint Ventures - Summary of Terms For Unconsolidated Joint Ventures Investments (Detail) - BRE DDR Retail Holdings Joint Venture Acquisitions [Member] $ in Millions | 3 Months Ended | ||
Mar. 31, 2017USD ($)ShoppingCenter | Dec. 31, 2015USD ($)ShoppingCenter | Oct. 31, 2014USD ($)ShoppingCenter | |
BRE DDR III [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Unconsolidated Joint Venture Partner Formation Date Month And Year | 2014-10 | ||
Common Equity Initial | $ 19.6 | ||
Redeemable preferred equity – DDR | $ 314.6 | $ 300 | |
Preferred Investment, Net of Reserve | $ 244.6 | ||
Properties Owned | ShoppingCenter | 49 | 70 | |
BRE DDR IV [Member] | |||
Schedule Of Equity Method Investments [Line Items] | |||
Unconsolidated Joint Venture Partner Formation Date Month And Year | 2015-12 | ||
Common Equity Initial | $ 12.9 | ||
Redeemable preferred equity – DDR | $ 74.5 | $ 82.6 | |
Preferred Investment, Net of Reserve | $ 68.5 | ||
Properties Owned | ShoppingCenter | 6 | 6 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) $ in Millions | 1 Months Ended | 3 Months Ended |
Jan. 31, 2017USD ($)ShoppingCenter | Mar. 31, 2017USD ($) | |
Business Acquisition [Line Items] | ||
Revenues from the date of acquisition | $ 1.5 | |
Shopping Center [Member] | ||
Business Acquisition [Line Items] | ||
Number of business acquired | ShoppingCenter | 1 | |
Shopping Center [Member] | Chicago, IL [Member] | ||
Business Acquisition [Line Items] | ||
Business acquisitions value | $ 81 |
Acquisitions - Schedule of Acqu
Acquisitions - Schedule of Acquisition Cost of Shopping Centers (Detail) - Shopping Center Acquired [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Business Acquisition [Line Items] | |
Land | $ 23,588 |
Buildings | 35,659 |
Tenant improvements | 8,565 |
Other assets | 419 |
Assets acquired | 82,216 |
Less: Below-market leases | (1,872) |
Less: Other liabilities assumed | (581) |
Net assets acquired | 79,763 |
In-Place Leases (Including Lease Origination Costs and Fair Market Value of Leases) [Member] | |
Business Acquisition [Line Items] | |
Intangible assets acquired | $ 7,051 |
Weighted Average Amortization Period | 16 years |
Tenant Relations [Member] | |
Business Acquisition [Line Items] | |
Intangible assets acquired | $ 6,934 |
Weighted Average Amortization Period | 16 years 3 months 18 days |
Below-Market Leases [Member] | |
Business Acquisition [Line Items] | |
Weighted Average Amortization Period | 20 years |
Notes Receivable - Additional I
Notes Receivable - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Apr. 30, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and other receivables outstanding | $ 49,895 | $ 42,592 | $ 49,503 | |
Maturity Start Date | 2017-09 | |||
Maturity End Date | 2023-06 | |||
Repayment of notes receivable | $ 167 | $ 126 | ||
Subsequent Event [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Repayment of notes receivable | $ 30,600 | |||
Subsequent Event [Member] | Notes Receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loan maturity date | 2017-09 | |||
Minimum [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Interest Rate | 5.60% | |||
Maximum [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Interest Rate | 12.00% |
Notes Receivable - Loans Receiv
Notes Receivable - Loans Receivable on Real Estate (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Receivables [Abstract] | ||
Balance at January 1 | $ 49,488 | $ 41,988 |
Additions: | ||
Interest | 261 | 0 |
Accretion of discount | 269 | 254 |
Deductions: | ||
Collections of principal and interest | (134) | (126) |
Balance at March 31 | $ 49,884 | $ 42,116 |
Other Assets, Net - Components
Other Assets, Net - Components of Other Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Intangible assets: | ||
Total intangible assets, net | $ 236,372 | $ 241,598 |
Other assets: | ||
Prepaid expenses | 32,967 | 26,842 |
Other assets | 3,032 | 6,274 |
Deposits | 5,967 | 5,965 |
Deferred charges, net | 4,386 | 4,731 |
Total other assets, net | 282,724 | 285,410 |
In-place leases, net [Member] | ||
Intangible assets: | ||
Total intangible assets, net | 96,603 | 99,600 |
Above-market leases, net [Member] | ||
Intangible assets: | ||
Total intangible assets, net | 18,917 | 20,405 |
Lease Origination Costs [Member] | ||
Intangible assets: | ||
Total intangible assets, net | 12,784 | 12,931 |
Tenant Relations, Net [Member] | ||
Intangible assets: | ||
Total intangible assets, net | $ 108,068 | $ 108,662 |
Other Assets, Net - Component45
Other Assets, Net - Components of Other Assets (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Other Assets [Abstract] | ||
Amortization expense | $ 16.6 | $ 19.5 |
Revolving Credit Facilities - I
Revolving Credit Facilities - Information Regarding Company's Revolving Credit Facilities (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | ||
Carrying Value | $ 90,000 | $ 0 |
Revolving Credit Facility [Member] | Unsecured Debt [Member] | JP Morgan Securities, LLC and Wells Fargo Securities, LLC [Member] | ||
Debt Instrument [Line Items] | ||
Carrying Value | $ 90,000 | |
Weighted-Average Interest Rate | 2.00% | |
Lines of Credit Maturity Date | 2019-06 | |
Revolving Credit Facility [Member] | Unsecured Debt [Member] | PNC Bank National Association [Member] | ||
Debt Instrument [Line Items] | ||
Carrying Value | $ 0 | |
Lines of Credit Maturity Date | 2019-06 |
Revolving Credit Facilities - A
Revolving Credit Facilities - Additional Information (Detail) - Unsecured Debt [Member] - Revolving Credit Facility [Member] | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Debt Instrument [Line Items] | |
Covenant compliance | The Company was in compliance with these financial covenants at March 31, 2017. |
LIBOR [Member] | |
Debt Instrument [Line Items] | |
Specified spread line of credit facility | 1.00% |
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 |
Line of credit facility competitive bid option on periodic interest rates | up to 50% of the facility |
Facility fee | 0.20% |
Revolving credit facility maturity extension option | two six-month options to extend the maturity to June 2020 upon the Company’s request |
PNC Bank National Association [Member] | |
Debt Instrument [Line Items] | |
Unsecured revolving credit facility | $ 50,000,000 |
Financial Instruments and Fai48
Financial Instruments and Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Carrying amount of notes | $ 369.6 | $ 443.3 |
Level 3 [Member] | ||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Approximate fair value of notes | $ 371.1 | $ 445.2 |
Financial Instruments and Fai49
Financial Instruments and Fair Value Measurements - Debt Instruments with Carrying Values Different than Estimated Fair Values (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior notes | $ 2,914,186 | $ 2,913,217 |
Revolving Credit Facilities and term loans | 688,409 | 598,242 |
Mortgage Indebtedness | 918,331 | 982,509 |
Total indebtedness | 4,520,926 | 4,493,968 |
Fair Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior notes | 3,026,001 | 3,056,896 |
Revolving Credit Facilities and term loans | 691,460 | 601,131 |
Mortgage Indebtedness | 946,958 | 1,012,869 |
Total indebtedness | $ 4,664,419 | $ 4,670,896 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - Employee Severance - USD ($) $ in Millions | 3 Months Ended | |
Jun. 30, 2017 | Mar. 31, 2017 | |
Contingencies And Commitments [Line Items] | ||
Aggregate separation charge | $ 11.5 | |
Scenario Forecast [Member] | ||
Contingencies And Commitments [Line Items] | ||
Severance costs and stock-based compensation expense | $ 5 | |
Accounts Payable and Accrued Expenses [Member] | ||
Contingencies And Commitments [Line Items] | ||
Accrued separation charge | 8.2 | |
Management Transition [Member] | ||
Contingencies And Commitments [Line Items] | ||
Aggregate separation charge | 9.4 | |
Stock-based compensation expense | 3.3 | |
Other Contractual Staffing Reductions [Member] | ||
Contingencies And Commitments [Line Items] | ||
Aggregate separation charge | $ 2.1 |
Other Comprehensive Loss - Chan
Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss by Component (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | $ 3,237,515 | |
Other comprehensive income before reclassifications | 582 | |
Change in cash flow hedges reclassed to earnings | 178 | $ 172 |
Net current-period other comprehensive income | 760 | |
Ending Balance | 3,118,701 | |
Gains on Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | (3,930) | |
Other comprehensive income before reclassifications | 435 | |
Change in cash flow hedges reclassed to earnings | 178 | |
Net current-period other comprehensive income | 613 | |
Ending Balance | (3,317) | |
Foreign Currency Items [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | (262) | |
Other comprehensive income before reclassifications | 147 | |
Change in cash flow hedges reclassed to earnings | 0 | |
Net current-period other comprehensive income | 147 | |
Ending Balance | (115) | |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | (4,192) | |
Ending Balance | $ (3,432) |
Other Comprehensive Loss - Ch52
Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss by Component (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Change in cash flow hedges reclassed to earnings | $ (178) | $ (172) |
Interest Expense [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Change in cash flow hedges reclassed to earnings | $ 200 |
Impairment Charges and Reserv53
Impairment Charges and Reserves - Impairment Charges on Assets or Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Impairment Charges And Impairment Of Joint Venture Investments [Abstract] | ||
Assets marketed for sale | $ 22,000 | $ 0 |
Reserve of preferred equity interests | 76,000 | 0 |
Total impairment charges | $ 98,000 | $ 0 |
Impairment Charges and Reserv54
Impairment Charges and Reserves - Impairment Charges Measured at Fair Value on Non-Recurring Basis (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Reserve of preferred equity interests, Total Losses | $ 76,000 | $ 0 | |
Fair Value Measurements [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Reserve of preferred equity interests, Fair Value Measurements | 319,300 | ||
Long-lived assets held and used, Fair Value Measurements | 14,800 | $ 438,200 | |
Long-lived assets held and used, Total Losses | 22,000 | 110,900 | |
Reserve of preferred equity interests, Total Losses | 76,000 | ||
Fair Value Measurements [Member] | Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-lived assets held and used, Fair Value Measurements | 0 | 0 | |
Reserve of preferred equity interests, Fair Value Measurements | 0 | ||
Fair Value Measurements [Member] | Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-lived assets held and used, Fair Value Measurements | 0 | 0 | |
Reserve of preferred equity interests, Fair Value Measurements | 0 | ||
Fair Value Measurements [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-lived assets held and used, Fair Value Measurements | 14,800 | $ 438,200 | |
Reserve of preferred equity interests, Fair Value Measurements | $ 319,300 |
Impairment Charges and Reserv55
Impairment Charges and Reserves - Summary of Significant Unobservable Inputs (Detail) - Fair Value Measurements [Member] $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($)$ / ft² | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 14.8 | $ 438.2 |
Fair Value | 319.3 | |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 319.3 | |
Impairment of Consolidated Assets [Member] | Income Capitalization/Sales Comparison Approach [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 398.2 |
Impairment of Consolidated Assets [Member] | Indicative Bid/Contracted Price [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 13.4 |
Impairment of Consolidated Assets [Member] | Indicative Bid [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 14.8 | $ 26.6 |
Impairment of Consolidated Assets [Member] | Minimum [Member] | Income Capitalization/Sales Comparison Approach [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 7.00% | |
Price per Square Foot, Range | $ / ft² | 15 | |
Impairment of Consolidated Assets [Member] | Minimum [Member] | Discounted Cash Flow [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 10.00% | |
Range | 10.00% | |
Impairment of Consolidated Assets [Member] | Maximum [Member] | Income Capitalization/Sales Comparison Approach [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 10.00% | |
Price per Square Foot, Range | $ / ft² | 31 | |
Impairment of Consolidated Assets [Member] | Maximum [Member] | Discounted Cash Flow [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 9.00% | 11.00% |
Range | 10.00% | 12.00% |
Reserve of Preferred Equity Interests [Member] | Discounted Cash Flow [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 319.3 | $ 0 |
Reserve of Preferred Equity Interests [Member] | Minimum [Member] | Discounted Cash Flow [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 8.30% | |
Range | 5.30% | |
Reserve of Preferred Equity Interests [Member] | Maximum [Member] | Discounted Cash Flow [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 8.60% | |
Range | 10.30% | |
Range | 1.00% |
Earnings Per Share - Computatio
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 ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share [Abstract] | ||
(Loss) income from continuing operations | $ (92,155) | $ 33,492 |
Plus: Gain on disposition of real estate | 38,127 | 12,381 |
Income attributable to non-controlling interests, net | (213) | (300) |
Less: Preferred dividends | (5,594) | (5,594) |
Less: Earnings attributable to unvested shares and operating partnership units | (251) | (210) |
Net (loss) income attributable to common shareholders after allocation to participating securities | $ (60,086) | $ 39,769 |
Denominators – Number of Shares | ||
Basic—Average shares outstanding | 366,430 | 364,691 |
Effect of dilutive securities—Stock options | 0 | 351 |
Diluted—Average shares outstanding | 366,430 | 365,042 |
(Loss) Earnings Per Share: | ||
Basic | $ (0.16) | $ 0.11 |
Diluted | $ (0.16) | $ 0.11 |
Segment Information - Summary o
Segment Information - Summary of Information about Company's Reportable Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Total revenues | $ 240,421 | $ 254,423 | |
Rental operation expenses | (67,320) | (73,042) | |
Net operating income | 173,101 | 181,381 | |
Impairment charges | (21,973) | 0 | |
Depreciation and amortization | (90,884) | (96,902) | |
Interest income | 8,392 | 9,050 | |
Other income (expense), net | (4) | 1,773 | |
Unallocated expenses | (83,122) | (76,231) | |
Equity in net (loss) income of joint ventures | (1,665) | 14,421 | |
Reserve of preferred equity interests | (76,000) | 0 | |
(Loss) income from continuing operations | (92,155) | 33,492 | |
Total gross real estate assets | 9,185,537 | 9,973,081 | |
Notes receivable, net | 49,895 | 42,592 | $ 49,503 |
Operating Segments [Member] | Shopping Center [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 240,406 | 254,417 | |
Rental operation expenses | (67,320) | (73,003) | |
Net operating income | 173,086 | 181,414 | |
Impairment charges | (21,973) | ||
Depreciation and amortization | (90,884) | (96,902) | |
Equity in net (loss) income of joint ventures | (1,665) | 14,421 | |
Total gross real estate assets | 9,185,537 | 9,973,081 | |
Operating Segments [Member] | Loan Investments [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 15 | 6 | |
Rental operation expenses | 0 | (39) | |
Net operating income | 15 | (33) | |
Interest income | 8,392 | 9,050 | |
Reserve of preferred equity interests | (76,000) | ||
Notes receivable, net | 369,200 | 440,526 | |
Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Other income (expense), net | (4) | 1,773 | |
Unallocated expenses | (83,122) | (76,231) | |
Notes receivable, net | $ (319,305) | $ (397,934) |