Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2023 | Apr. 24, 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-13274 | |
Entity Registrant Name | Veris Residential, Inc. | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 22-3305147 | |
Entity Address, Address Line One | Harborside 3, 210 Hudson St. | |
Entity Address, Address Line Two | Ste. 400 | |
Entity Address, City or Town | Jersey City | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07311 | |
City Area Code | 732 | |
Local Phone Number | 590-1010 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | VRE | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 91,681,639 | |
Entity Central Index Key | 0000924901 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
VERIS RESIDENTIAL, L.P. | ||
Entity File Number | 333-57103 | |
Entity Registrant Name | Veris Residential, L.P. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 22-3315804 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001067063 |
VERIS RESIDENTIAL, INC. AND SUB
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Rental property | ||
Land and leasehold interests | $ 482,254 | $ 492,204 |
Buildings and improvements | 2,906,269 | 3,332,315 |
Tenant improvements | 42,089 | 122,509 |
Furniture, fixtures and equipment | 99,342 | 99,094 |
Gross investment in rental property | 3,529,954 | 4,046,122 |
Less – accumulated depreciation and amortization | (442,047) | (631,910) |
Total investment in rental property | 3,087,907 | 3,414,212 |
Real estate held for sale, net | 397,499 | 193,933 |
Net investment in rental property | 3,485,406 | 3,608,145 |
Cash and cash equivalents | 37,487 | 26,782 |
Restricted cash | 19,642 | 20,867 |
Investments in unconsolidated joint ventures | 124,218 | 126,158 |
Unbilled rents receivable, net | 40,960 | 39,734 |
Deferred charges and other assets, net | 88,392 | 96,162 |
Accounts receivable | 4,551 | 2,920 |
Total assets | 3,800,656 | 3,920,768 |
LIABILITIES AND EQUITY | ||
Mortgages, loans payable and other obligations, net | 1,820,498 | 1,903,977 |
Dividends and distributions payable | $ 110 | $ 110 |
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Accounts payable, accrued expenses and other liabilities | Accounts payable, accrued expenses and other liabilities |
Accounts payable, accrued expenses and other liabilities | $ 55,990 | $ 72,041 |
Rents received in advance and security deposits | 22,795 | 22,941 |
Accrued interest payable | 7,086 | 7,131 |
Total liabilities | 1,906,479 | 2,006,200 |
Commitments and contingencies | ||
Redeemable noncontrolling interests | 520,208 | 515,231 |
Veris Residential, Inc. stockholders’ equity: | ||
Common stock, $0.01 par value, 190,000,000 shares authorized, 91,620,404 and 91,141,649 shares outstanding | 915 | 911 |
Additional paid-in capital | 2,533,854 | 2,532,182 |
Dividends in excess of net earnings | (1,321,358) | (1,301,385) |
Accumulated other comprehensive income | 3,119 | 3,977 |
Total Veris Residential, Inc. stockholders’ equity | 1,216,530 | 1,235,685 |
Noncontrolling interests in subsidiaries: | ||
Operating Partnership | 121,045 | 126,109 |
Consolidated joint ventures | 36,394 | 37,543 |
Total noncontrolling interests in subsidiaries | 157,439 | 163,652 |
Total equity | 1,373,969 | 1,399,337 |
Total liabilities and equity | $ 3,800,656 | $ 3,920,768 |
VERIS RESIDENTIAL, INC. AND S_2
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 190,000,000 | 190,000,000 |
Common stock, shares outstanding (in shares) | 91,620,404 | 91,141,649 |
VERIS RESIDENTIAL, INC. AND S_3
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
REVENUES | ||
Total revenues | $ 66,925 | $ 46,169 |
EXPENSES | ||
Real estate taxes | 11,142 | 7,837 |
Utilities | 2,689 | 2,409 |
Operating services | 11,970 | 8,480 |
Real estate services expenses | 1,943 | 2,363 |
General and administrative | 10,286 | 19,451 |
Transaction related costs | 1,027 | 0 |
Depreciation and amortization | 23,876 | 18,838 |
Land and other impairments, net | 3,396 | 2,932 |
Total expenses | 66,329 | 62,310 |
OTHER (EXPENSE) INCOME | ||
Interest expense | (22,014) | (11,606) |
Interest and other investment income | 116 | 158 |
Equity in earnings (loss) of unconsolidated joint ventures | (68) | (487) |
(Loss) gain on disposition of developable land | (22) | 2,623 |
Other income, net | 1,998 | 0 |
Total other (expense) income, net | (19,990) | (9,312) |
Net loss from continuing operations | (19,394) | (25,453) |
Discontinued operations: | ||
Income from discontinued operations | 2,384 | 19,090 |
Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Net loss | (16,230) | (4,527) |
Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Noncontrolling interests in Operating Partnership of income from continuing operations | 2,329 | 2,779 |
Noncontrolling interests in Operating Partnership in discontinued operations | (293) | (1,881) |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Net loss available to common shareholders | $ (19,973) | $ (9,092) |
Basic earnings per common share: | ||
Loss from continuing operations (in dollars per share) | $ (0.30) | $ (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | (0.27) | (0.13) |
Diluted earnings per common share: | ||
Loss from continuing operations (in dollars per share) | (0.30) | (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
Basic weighted average shares outstanding (in shares) | 91,226 | 90,951 |
Diluted weighted average shares outstanding (in shares) | 100,526 | 99,934 |
Revenue from leases | ||
REVENUES | ||
Total revenues | $ 59,678 | $ 40,508 |
Real estate services | ||
REVENUES | ||
Total revenues | 911 | 910 |
Parking income | ||
REVENUES | ||
Total revenues | 4,459 | 3,682 |
Other income | ||
REVENUES | ||
Total revenues | $ 1,877 | $ 1,069 |
VERIS RESIDENTIAL, INC. AND S_4
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net loss | $ (16,230) | $ (4,527) |
Other comprehensive income (loss): | ||
Net unrealized gain (loss) on derivative instruments for interest rate swaps | (945) | 2,182 |
Comprehensive income (loss) | (17,175) | (2,345) |
Comprehensive (income) loss attributable to noncontrolling interests in consolidated joint ventures | 587 | 974 |
Comprehensive (income) loss attributable to redeemable noncontrolling interests | (6,366) | (6,437) |
Comprehensive (income) loss attributable to noncontrolling interests in Operating Partnership | 2,123 | 702 |
Comprehensive income (loss) attributable to common shareholders | $ (20,831) | $ (7,106) |
VERIS RESIDENTIAL, INC. AND S_5
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Dividends in Excess of Net Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests in Subsidiaries |
Balance, beginning (in shares) at Dec. 31, 2021 | 90,948,000 | |||||
Balance, beginning at Dec. 31, 2021 | $ 1,449,418 | $ 909 | $ 2,530,383 | $ (1,249,319) | $ 9 | $ 167,436 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (4,527) | (9,092) | 4,565 | |||
Unit distributions | 218 | 218 | ||||
Redeemable noncontrolling interests | (9,670) | (2,942) | (6,728) | |||
Change in noncontrolling interests in consolidated joint ventures | 11 | 11 | ||||
Redemption of common units for common stock | 0 | |||||
Redemption of common units | (1,442) | (1,442) | ||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan (in shares) | 1,000 | |||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan | 11 | 11 | ||||
Directors' deferred compensation plan, value | 110 | 110 | ||||
Stock compensation (in shares) | 7,000 | |||||
Stock compensation | 4,490 | 1,957 | 2,533 | |||
Other comprehensive income (loss) | 2,182 | 1,986 | 196 | |||
Rebalancing of ownership percentage between parent and subsidiaries | 0 | 1,669 | (1,669) | |||
Balance, ending (in shares) at Mar. 31, 2022 | 90,956,000 | |||||
Balance, ending at Mar. 31, 2022 | $ 1,440,801 | $ 909 | 2,531,188 | (1,258,411) | 1,995 | 165,120 |
Balance, beginning (in shares) at Dec. 31, 2022 | 91,141,649 | 91,142,000 | ||||
Balance, beginning at Dec. 31, 2022 | $ 1,399,337 | $ 911 | 2,532,182 | (1,301,385) | 3,977 | 163,652 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (16,230) | (19,973) | 3,743 | |||
Unit distributions | 0 | |||||
Redeemable noncontrolling interests | (11,343) | (4,516) | (6,827) | |||
Change in noncontrolling interests in consolidated joint ventures | (562) | (562) | ||||
Redemption of common units for common stock (in shares) | 379,000 | |||||
Redemption of common units for common stock | 0 | $ 4 | 4,855 | (4,859) | ||
Redemption of common units | (16) | (16) | ||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan | 1 | 1 | ||||
Directors' deferred compensation plan, value | 110 | 110 | ||||
Stock compensation (in shares) | 115,000 | |||||
Stock compensation | 3,864 | 3,471 | 393 | |||
Cancellation of restricted shares (in shares) | (16,000) | |||||
Cancellation of restricted shares | (247) | (247) | ||||
Other comprehensive income (loss) | (945) | (858) | (87) | |||
Rebalancing of ownership percentage between parent and subsidiaries | $ 0 | (2,002) | 2,002 | |||
Balance, ending (in shares) at Mar. 31, 2023 | 91,620,404 | 91,620,000 | ||||
Balance, ending at Mar. 31, 2023 | $ 1,373,969 | $ 915 | $ 2,533,854 | $ (1,321,358) | $ 3,119 | $ 157,439 |
VERIS RESIDENTIAL, INC. AND S_6
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss | $ (16,230) | $ (4,527) | |||||
Net income from discontinued operations | (3,164) | (20,926) | |||||
Net loss from continuing operations | (19,394) | (25,453) | |||||
Adjustments to reconcile net income (loss) to net cash provided by | |||||||
Depreciation and amortization, including related intangible assets | 23,853 | 18,849 | |||||
Amortization of deferred compensation stock units | 110 | 110 | |||||
Amortization of stock compensation | 3,864 | 4,490 | |||||
Amortization of deferred financing costs | 1,187 | 1,177 | |||||
Equity in (earnings) loss of unconsolidated joint ventures | 68 | 487 | |||||
Distributions of cumulative earnings from unconsolidated joint ventures | 0 | 13 | |||||
Loss (gain) on disposition of developable land | 22 | (2,623) | |||||
Land and other impairments, net | 3,396 | 2,932 | |||||
Gain on insurance proceeds | (1,998) | 0 | |||||
Changes in operating assets and liabilities: | |||||||
(Increase) decrease in unbilled rents receivable, net | (142) | 2,030 | |||||
Decrease (increase) in deferred charges and other assets | 2,717 | (3,390) | |||||
Decrease in accounts receivable, net | 291 | 84 | |||||
(Decrease) increase in accounts payable, accrued expenses and other liabilities | (6,256) | 2,166 | |||||
Increase in rents received in advance and security deposits | 322 | 834 | |||||
Increase (decrease) in accrued interest payable | 281 | (101) | |||||
Net cash flows provided by operating activities - continuing operations | 8,321 | 1,605 | |||||
Net cash flows provided by operating activities - discontinued operations | 3,776 | 29,896 | |||||
Net cash provided by operating activities | 12,097 | 31,501 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
Rental property acquisitions and related intangibles | 0 | (5,000) | |||||
Rental property additions, improvements and other costs | (2,786) | (5,395) | |||||
Development of rental property and other related costs | (2,928) | (21,152) | |||||
Proceeds from the sales of rental property | 6,364 | 28,596 | |||||
Repayment of notes receivable | 769 | 709 | |||||
Proceeds from insurance settlements | 2,939 | 0 | |||||
Investment in unconsolidated joint ventures | (43) | 0 | |||||
Distributions in excess of cumulative earnings from unconsolidated joint ventures | 1,915 | 2,227 | |||||
Net cash provided by (used in) investing activities - continuing operations | 6,230 | (15) | |||||
Net cash provided by investing activities - discontinued operations | 83,006 | 193,070 | |||||
Net cash provided by investing activities | 89,236 | 193,055 | |||||
CASH FLOW FROM FINANCING ACTIVITIES | |||||||
Borrowings from revolving credit facility | 16,000 | 18,000 | |||||
Repayment of revolving credit facility | (16,000) | (88,000) | |||||
Proceeds from mortgages and loans payable | 0 | 16,479 | |||||
Repayment of mortgages, loans payable and other obligations | (84,128) | (150,122) | |||||
Redemption of redeemable noncontrolling interests, net | 0 | (12,000) | |||||
Payment of early debt extinguishment costs | 0 | (5,140) | |||||
Common unit redemptions | 0 | (1,442) | |||||
Payment of financing costs | (1,359) | 0 | |||||
Contribution from noncontrolling interests | 0 | 11 | |||||
Distributions to redeemable noncontrolling interests | (6,366) | (6,471) | |||||
Payment of common dividends and distributions | 0 | (35) | |||||
Net cash used in financing activities | (91,853) | (228,720) | |||||
Net increase (decrease) in cash and cash equivalents | 9,480 | (4,164) | |||||
Cash, cash equivalents and restricted cash, beginning of period | [1] | 47,649 | 51,455 | $ 51,455 | |||
Cash, cash equivalents and restricted cash, end of period | $ 57,129 | [2] | $ 47,291 | [2] | $ 47,649 | [1] | |
[1]Includes Restricted Cash of $20,867 and $19,701 as of December 31, 2022 and 2021, respectively.[2]Includes Restricted Cash of $19,642 and $21,153 as of March 31, 2023 and 2022, respectively. |
VERIS RESIDENTIAL, INC. AND S_7
VERIS RESIDENTIAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Statement of Cash Flows [Abstract] | ||||
Restricted cash | $ 19,642 | $ 20,867 | $ 21,153 | $ 19,701 |
VERIS RESIDENTIAL, L.P. AND SUB
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Rental property | ||
Land and leasehold interests | $ 482,254 | $ 492,204 |
Buildings and improvements | 2,906,269 | 3,332,315 |
Tenant improvements | 42,089 | 122,509 |
Furniture, fixtures and equipment | 99,342 | 99,094 |
Gross investment in rental property | 3,529,954 | 4,046,122 |
Less – accumulated depreciation and amortization | (442,047) | (631,910) |
Total investment in rental property | 3,087,907 | 3,414,212 |
Real estate held for sale, net | 397,499 | 193,933 |
Net investment in rental property | 3,485,406 | 3,608,145 |
Cash and cash equivalents | 37,487 | 26,782 |
Restricted cash | 19,642 | 20,867 |
Investments in unconsolidated joint ventures | 124,218 | 126,158 |
Unbilled rents receivable, net | 40,960 | 39,734 |
Deferred charges and other assets, net | 88,392 | 96,162 |
Accounts receivable | 4,551 | 2,920 |
Total assets | 3,800,656 | 3,920,768 |
LIABILITIES AND EQUITY | ||
Mortgages, loans payable and other obligations, net | 1,820,498 | 1,903,977 |
Dividends and distributions payable | 110 | 110 |
Accounts payable, accrued expenses and other liabilities | 55,990 | 72,041 |
Rents received in advance and security deposits | 22,795 | 22,941 |
Accrued interest payable | 7,086 | 7,131 |
Total liabilities | 1,906,479 | 2,006,200 |
Commitments and contingencies | ||
Redeemable noncontrolling interests | 520,208 | 515,231 |
Partners’ Capital: | ||
Accumulated other comprehensive income | 3,119 | 3,977 |
Total liabilities and equity | 3,800,656 | 3,920,768 |
VERIS RESIDENTIAL, L.P. | ||
Rental property | ||
Land and leasehold interests | 482,254 | 492,204 |
Buildings and improvements | 2,906,269 | 3,332,315 |
Tenant improvements | 42,089 | 122,509 |
Furniture, fixtures and equipment | 99,342 | 99,094 |
Gross investment in rental property | 3,529,954 | 4,046,122 |
Less – accumulated depreciation and amortization | (442,047) | (631,910) |
Total investment in rental property | 3,087,907 | 3,414,212 |
Real estate held for sale, net | 397,499 | 193,933 |
Net investment in rental property | 3,485,406 | 3,608,145 |
Cash and cash equivalents | 37,487 | 26,782 |
Restricted cash | 19,642 | 20,867 |
Investments in unconsolidated joint ventures | 124,218 | 126,158 |
Unbilled rents receivable, net | 40,960 | 39,734 |
Deferred charges and other assets, net | 88,392 | 96,162 |
Accounts receivable | 4,551 | 2,920 |
Total assets | 3,800,656 | 3,920,768 |
LIABILITIES AND EQUITY | ||
Mortgages, loans payable and other obligations, net | 1,820,498 | 1,903,977 |
Dividends and distributions payable | 110 | 110 |
Accounts payable, accrued expenses and other liabilities | 55,990 | 72,041 |
Rents received in advance and security deposits | 22,795 | 22,941 |
Accrued interest payable | 7,086 | 7,131 |
Total liabilities | 1,906,479 | 2,006,200 |
Commitments and contingencies | ||
Redeemable noncontrolling interests | 520,208 | 515,231 |
Partners’ Capital: | ||
General Partner, 91,620,404 and 91,141,649 common units outstanding | 1,147,640 | 1,163,935 |
Limited partners, 9,116,254 and 9,301,521 common units/LTIPs outstanding | 186,816 | 193,882 |
Accumulated other comprehensive income | 3,119 | 3,977 |
Total Veris Residential, L.P. partners’ capital | 1,337,575 | 1,361,794 |
Noncontrolling interests in consolidated joint ventures | 36,394 | 37,543 |
Total equity | 1,373,969 | 1,399,337 |
Total liabilities and equity | $ 3,800,656 | $ 3,920,768 |
VERIS RESIDENTIAL, L.P. AND S_2
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Parenthetical) - VERIS RESIDENTIAL, L.P. - shares | Mar. 31, 2023 | Dec. 31, 2022 |
General Partner common units outstanding (in shares) | 91,620,404 | 91,141,649 |
Limited partners common units outstanding (in shares) | 9,116,254 | 9,301,521 |
VERIS RESIDENTIAL, L.P. AND S_3
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
REVENUES | ||
Total revenues | $ 66,925 | $ 46,169 |
EXPENSES | ||
Real estate taxes | 11,142 | 7,837 |
Utilities | 2,689 | 2,409 |
Operating services | 11,970 | 8,480 |
Real estate services expenses | 1,943 | 2,363 |
General and administrative | 10,286 | 19,451 |
Transaction related costs | 1,027 | 0 |
Depreciation and amortization | 23,876 | 18,838 |
Land and other impairments, net | 3,396 | 2,932 |
Total expenses | 66,329 | 62,310 |
OTHER (EXPENSE) INCOME | ||
Interest expense | (22,014) | (11,606) |
Interest and other investment income | 116 | 158 |
Equity in earnings (loss) of unconsolidated joint ventures | (68) | (487) |
(Loss) gain on disposition of developable land | (22) | 2,623 |
Other income, net | 1,998 | 0 |
Total other (expense) income, net | (19,990) | (9,312) |
Net loss from continuing operations | (19,394) | (25,453) |
Discontinued operations: | ||
Income from discontinued operations | 2,384 | 19,090 |
Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Net loss | (16,230) | (4,527) |
Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Net loss available to common shareholders | $ (19,973) | $ (9,092) |
Basic earnings per common share: | ||
Loss from continuing operations (in dollars per share) | $ (0.30) | $ (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | (0.27) | (0.13) |
Diluted earnings per common share: | ||
Loss from continuing operations (in dollars per share) | (0.30) | (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
Revenue from leases | ||
REVENUES | ||
Total revenues | $ 59,678 | $ 40,508 |
Real estate services | ||
REVENUES | ||
Total revenues | 911 | 910 |
Parking income | ||
REVENUES | ||
Total revenues | 4,459 | 3,682 |
Other income | ||
REVENUES | ||
Total revenues | 1,877 | 1,069 |
VERIS RESIDENTIAL, L.P. | ||
REVENUES | ||
Total revenues | 66,925 | 46,169 |
EXPENSES | ||
Real estate taxes | 11,142 | 7,837 |
Utilities | 2,689 | 2,409 |
Operating services | 11,970 | 8,480 |
Real estate services expenses | 1,943 | 2,363 |
General and administrative | 10,286 | 19,451 |
Transaction related costs | 1,027 | 0 |
Depreciation and amortization | 23,876 | 18,838 |
Land and other impairments, net | 3,396 | 2,932 |
Total expenses | 66,329 | 62,310 |
OTHER (EXPENSE) INCOME | ||
Interest expense | (22,014) | (11,606) |
Interest and other investment income | 116 | 158 |
Equity in earnings (loss) of unconsolidated joint ventures | (68) | (487) |
(Loss) gain on disposition of developable land | (22) | 2,623 |
Other income, net | 1,998 | 0 |
Total other (expense) income, net | (19,990) | (9,312) |
Net loss from continuing operations | (19,394) | (25,453) |
Discontinued operations: | ||
Income from discontinued operations | 2,384 | 19,090 |
Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Net loss | (16,230) | (4,527) |
Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Net loss available to common shareholders | $ (22,009) | $ (9,990) |
Basic earnings per common share: | ||
Loss from continuing operations (in dollars per share) | $ (0.30) | $ (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | (0.27) | (0.13) |
Diluted earnings per common share: | ||
Loss from continuing operations (in dollars per share) | (0.30) | (0.34) |
Discontinued operations (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
Basic weighted average units outstanding (in shares) | 100,526 | 99,934 |
Diluted weighted average units outstanding (in shares) | 100,526 | 99,934 |
VERIS RESIDENTIAL, L.P. | Revenue from leases | ||
REVENUES | ||
Total revenues | $ 59,678 | $ 40,508 |
VERIS RESIDENTIAL, L.P. | Real estate services | ||
REVENUES | ||
Total revenues | 911 | 910 |
VERIS RESIDENTIAL, L.P. | Parking income | ||
REVENUES | ||
Total revenues | 4,459 | 3,682 |
VERIS RESIDENTIAL, L.P. | Other income | ||
REVENUES | ||
Total revenues | $ 1,877 | $ 1,069 |
VERIS RESIDENTIAL, L.P. AND S_4
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Net loss | $ (16,230) | $ (4,527) |
Other comprehensive income (loss): | ||
Net unrealized gain (loss) on derivative instruments for interest rate swaps | (945) | 2,182 |
Comprehensive income (loss) | (17,175) | (2,345) |
Comprehensive (income) loss attributable to noncontrolling interests in consolidated joint ventures | 587 | 974 |
Comprehensive (income) loss attributable to redeemable noncontrolling interests | (6,366) | (6,437) |
Comprehensive income (loss) attributable to common shareholders | (20,831) | (7,106) |
VERIS RESIDENTIAL, L.P. | ||
Net loss | (16,230) | (4,527) |
Other comprehensive income (loss): | ||
Net unrealized gain (loss) on derivative instruments for interest rate swaps | (945) | 2,182 |
Comprehensive income (loss) | (17,175) | (2,345) |
Comprehensive (income) loss attributable to noncontrolling interests in consolidated joint ventures | 587 | 974 |
Comprehensive (income) loss attributable to redeemable noncontrolling interests | (6,366) | (6,437) |
Comprehensive income (loss) attributable to common shareholders | $ (22,954) | $ (7,808) |
VERIS RESIDENTIAL, L.P. AND S_5
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | General Partner Common Units | Common Unitholders | VERIS RESIDENTIAL, L.P. | VERIS RESIDENTIAL, L.P. Accumulated Other Comprehensive Income (Loss) | VERIS RESIDENTIAL, L.P. General Partner Common Units | VERIS RESIDENTIAL, L.P. Limited Partner Common Units/ Vested LTIP Units | VERIS RESIDENTIAL, L.P. Common Unitholders | VERIS RESIDENTIAL, L.P. Limited Partner Common Unitholders | VERIS RESIDENTIAL, L.P. Noncontrolling Interest in Consolidated Joint Ventures |
Balance, beginning (in shares) at Dec. 31, 2021 | 90,948,000 | 9,013,000 | ||||||||
Balance, beginning at Dec. 31, 2021 | $ 1,449,418 | $ 1,449,418 | $ 9 | $ 1,211,790 | $ 197,236 | $ 40,383 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net income (loss) | (4,527) | (4,527) | (9,092) | (898) | 5,463 | |||||
Unit distributions | 218 | 218 | 218 | |||||||
Redeemable noncontrolling interests | (9,670) | (9,670) | (2,942) | (291) | (6,437) | |||||
Change in noncontrolling interests in consolidated joint ventures | 11 | 11 | 11 | |||||||
Vested LTIP units (in shares) | 35,000 | |||||||||
Redemption of common units (in shares) | (86,000) | |||||||||
Redemption of common units | (1,442) | $ 0 | (1,442) | (1,442) | ||||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan (in shares) | 1,000 | |||||||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan | 11 | 11 | 11 | |||||||
Directors' deferred compensation plan, value | 110 | 110 | 110 | 110 | ||||||
Other comprehensive income (loss) | 2,182 | 1,986 | 2,182 | 1,986 | 196 | |||||
Stock compensation (in shares) | 7,000 | |||||||||
Stock compensation | 4,490 | 4,490 | 1,957 | 2,533 | ||||||
Balance, ending (in shares) at Mar. 31, 2022 | 90,956,000 | 8,962,000 | ||||||||
Balance, ending at Mar. 31, 2022 | $ 1,440,801 | 1,440,801 | 1,995 | 1,201,834 | 197,552 | 39,420 | ||||
Balance, beginning (in shares) at Dec. 31, 2022 | 91,141,649 | 91,142,000 | 9,301,000 | |||||||
Balance, beginning at Dec. 31, 2022 | $ 1,399,337 | 1,399,337 | 3,977 | 1,163,935 | 193,882 | 37,543 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net income (loss) | (16,230) | (16,230) | (19,973) | (2,036) | 5,779 | |||||
Redeemable noncontrolling interests | (11,343) | (11,343) | (4,516) | (461) | (6,366) | |||||
Change in noncontrolling interests in consolidated joint ventures | (562) | (562) | (562) | |||||||
Vested LTIP units (in shares) | 195,000 | |||||||||
Redemption of common units for common stock (in shares) | 379,000 | (379,000) | ||||||||
Redemption of common units for common stock | 0 | 0 | 4,859 | (4,859) | ||||||
Redemption of common units (in shares) | (1,000) | |||||||||
Redemption of common units | (16) | 4,859 | (16) | (16) | ||||||
Shares issued under Dividend Reinvestment and Stock Purchase Plan | 1 | 1 | 1 | |||||||
Directors' deferred compensation plan, value | 110 | 110 | 110 | 110 | ||||||
Other comprehensive income (loss) | (945) | $ (858) | (945) | (858) | (87) | |||||
Stock compensation (in shares) | 115,000 | |||||||||
Stock compensation | 3,864 | 3,864 | 3,471 | 393 | ||||||
Cancellation of restricted shares (in shares) | (16,000) | |||||||||
Cancellation of restricted shares | $ (247) | (247) | (247) | |||||||
Balance, ending (in shares) at Mar. 31, 2023 | 91,620,404 | 91,620,000 | 9,116,000 | |||||||
Balance, ending at Mar. 31, 2023 | $ 1,373,969 | $ 1,373,969 | $ 3,119 | $ 1,147,640 | $ 186,816 | $ 36,394 |
VERIS RESIDENTIAL, L.P. AND S_6
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss | $ (16,230) | $ (4,527) | |||||
Net income from discontinued operations | 3,164 | 20,926 | |||||
Net loss from continuing operations | (19,394) | (25,453) | |||||
Adjustments to reconcile net income (loss) to net cash provided by | |||||||
Depreciation and amortization, including related intangible assets | 23,853 | 18,849 | |||||
Amortization of deferred compensation stock units | 110 | 110 | |||||
Amortization of stock compensation | 3,864 | 4,490 | |||||
Amortization of deferred financing costs | 1,187 | 1,177 | |||||
Equity in (earnings) loss of unconsolidated joint ventures | 68 | 487 | |||||
Distributions of cumulative earnings from unconsolidated joint ventures | 0 | 13 | |||||
Loss (gain) on disposition of developable land | 22 | (2,623) | |||||
Land and other impairments, net | 3,396 | 2,932 | |||||
Gain on insurance proceeds | (1,998) | 0 | |||||
Changes in operating assets and liabilities: | |||||||
(Increase) decrease in unbilled rents receivable, net | (142) | 2,030 | |||||
Decrease (increase) in deferred charges and other assets | 2,717 | (3,390) | |||||
Decrease in accounts receivable, net | 291 | 84 | |||||
(Decrease) increase in accounts payable, accrued expenses and other liabilities | (6,256) | 2,166 | |||||
Increase in rents received in advance and security deposits | 322 | 834 | |||||
Increase (decrease) in accrued interest payable | 281 | (101) | |||||
Net cash flows provided by operating activities - continuing operations | 8,321 | 1,605 | |||||
Net cash flows provided by operating activities - discontinued operations | 3,776 | 29,896 | |||||
Net cash provided by operating activities | 12,097 | 31,501 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
Rental property acquisitions and related intangibles | 0 | (5,000) | |||||
Rental property additions, improvements and other costs | (2,786) | (5,395) | |||||
Development of rental property and other related costs | (2,928) | (21,152) | |||||
Proceeds from the sales of rental property | 6,364 | 28,596 | |||||
Repayment of notes receivable | 769 | 709 | |||||
Proceeds from insurance settlements | 2,939 | 0 | |||||
Investment in unconsolidated joint ventures | (43) | 0 | |||||
Distributions in excess of cumulative earnings from unconsolidated joint ventures | 1,915 | 2,227 | |||||
Net cash provided by (used in) investing activities - continuing operations | 6,230 | (15) | |||||
Net cash provided by investing activities - discontinued operations | 83,006 | 193,070 | |||||
Net cash provided by investing activities | 89,236 | 193,055 | |||||
CASH FLOW FROM FINANCING ACTIVITIES | |||||||
Borrowings from revolving credit facility | 16,000 | 18,000 | |||||
Repayment of revolving credit facility | (16,000) | (88,000) | |||||
Proceeds from mortgages and loans payable | 0 | 16,479 | |||||
Repayment of mortgages, loans payable and other obligations | (84,128) | (150,122) | |||||
Redemption of redeemable noncontrolling interests, net | 0 | (12,000) | |||||
Payment of early debt extinguishment costs | 0 | (5,140) | |||||
Common unit redemptions | 0 | (1,442) | |||||
Payment of financing costs | (1,359) | 0 | |||||
Contribution from noncontrolling interests | 0 | 11 | |||||
Distributions to redeemable noncontrolling interests | (6,366) | (6,471) | |||||
Payment of common dividends and distributions | 0 | (35) | |||||
Net cash used in financing activities | (91,853) | (228,720) | |||||
Net increase (decrease) in cash and cash equivalents | 9,480 | (4,164) | |||||
Cash, cash equivalents and restricted cash, beginning of period | [1] | 47,649 | 51,455 | $ 51,455 | |||
Cash, cash equivalents and restricted cash, end of period | 57,129 | [2] | 47,291 | [2] | 47,649 | [1] | |
VERIS RESIDENTIAL, L.P. | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss | (16,230) | (4,527) | |||||
Net income from discontinued operations | 3,164 | 20,926 | |||||
Net loss from continuing operations | (19,394) | (25,453) | |||||
Adjustments to reconcile net income (loss) to net cash provided by | |||||||
Depreciation and amortization, including related intangible assets | 23,853 | 18,849 | |||||
Amortization of deferred compensation stock units | 110 | 110 | |||||
Amortization of stock compensation | 3,864 | 4,490 | |||||
Amortization of deferred financing costs | 1,187 | 1,177 | |||||
Equity in (earnings) loss of unconsolidated joint ventures | 68 | 487 | |||||
Distributions of cumulative earnings from unconsolidated joint ventures | 0 | 13 | |||||
Loss (gain) on disposition of developable land | 22 | (2,623) | |||||
Land and other impairments, net | 3,396 | 2,932 | |||||
Gain on insurance proceeds | (1,998) | 0 | |||||
Changes in operating assets and liabilities: | |||||||
(Increase) decrease in unbilled rents receivable, net | (142) | 2,030 | |||||
Decrease (increase) in deferred charges and other assets | 2,717 | (3,390) | |||||
Decrease in accounts receivable, net | 291 | 84 | |||||
(Decrease) increase in accounts payable, accrued expenses and other liabilities | (6,256) | 2,166 | |||||
Increase in rents received in advance and security deposits | 322 | 834 | |||||
Increase (decrease) in accrued interest payable | 281 | (101) | |||||
Net cash flows provided by operating activities - continuing operations | 8,321 | 1,605 | |||||
Net cash flows provided by operating activities - discontinued operations | 3,776 | 29,896 | |||||
Net cash provided by operating activities | 12,097 | 31,501 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
Rental property acquisitions and related intangibles | 0 | (5,000) | |||||
Rental property additions, improvements and other costs | (2,786) | (5,395) | |||||
Development of rental property and other related costs | (2,928) | (21,152) | |||||
Proceeds from the sales of rental property | 6,364 | 28,596 | |||||
Repayment of notes receivable | 769 | 709 | |||||
Proceeds from insurance settlements | 2,939 | 0 | |||||
Investment in unconsolidated joint ventures | (43) | 0 | |||||
Distributions in excess of cumulative earnings from unconsolidated joint ventures | 1,915 | 2,227 | |||||
Net cash provided by (used in) investing activities - continuing operations | 6,230 | (15) | |||||
Net cash provided by investing activities - discontinued operations | 83,006 | 193,070 | |||||
Net cash provided by investing activities | 89,236 | 193,055 | |||||
CASH FLOW FROM FINANCING ACTIVITIES | |||||||
Borrowings from revolving credit facility | 16,000 | 18,000 | |||||
Repayment of revolving credit facility | (16,000) | (88,000) | |||||
Proceeds from mortgages and loans payable | 0 | 16,479 | |||||
Repayment of mortgages, loans payable and other obligations | (84,128) | (150,122) | |||||
Redemption of redeemable noncontrolling interests, net | 0 | (12,000) | |||||
Payment of early debt extinguishment costs | 0 | (5,140) | |||||
Common unit redemptions | 0 | (1,442) | |||||
Payment of financing costs | (1,359) | 0 | |||||
Contribution from noncontrolling interests | 0 | 11 | |||||
Distributions to redeemable noncontrolling interests | (6,366) | (6,471) | |||||
Payment of common dividends and distributions | 0 | (35) | |||||
Net cash used in financing activities | (91,853) | (228,720) | |||||
Net increase (decrease) in cash and cash equivalents | 9,480 | (4,164) | |||||
Cash, cash equivalents and restricted cash, beginning of period | [3] | 47,649 | 51,455 | 51,455 | |||
Cash, cash equivalents and restricted cash, end of period | $ 57,129 | [4] | $ 47,291 | [4] | $ 47,649 | [3] | |
[1]Includes Restricted Cash of $20,867 and $19,701 as of December 31, 2022 and 2021, respectively.[2]Includes Restricted Cash of $19,642 and $21,153 as of March 31, 2023 and 2022, respectively.[3]Includes Restricted Cash of $20,867 and $19,701 as of December 31, 2022 and 2021, respectively.[4]Includes Restricted Cash of $19,642 and $21,153 as of March 31, 2023 and 2022, respectively. |
VERIS RESIDENTIAL, L.P. AND S_7
VERIS RESIDENTIAL, L.P. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Restricted cash | $ 19,642 | $ 20,867 | $ 21,153 | $ 19,701 |
VERIS RESIDENTIAL, L.P. | ||||
Restricted cash | $ 19,642 | $ 20,867 | $ 21,153 | $ 19,701 |
ORGANIZATION AND BASIS OF PRESE
ORGANIZATION AND BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND BASIS OF PRESENTATION | ORGANIZATION AND BASIS OF PRESENTATION ORGANIZATION Veris Residential, Inc., a Maryland corporation, together with its subsidiaries (collectively, the “General Partner”) is a fully-integrated self-administered, self-managed real estate investment trust (“REIT”). The General Partner controls Veris Residential, L.P., a Delaware limited partnership, together with its subsidiaries (collectively, the “Operating Partnership”), as its sole general partner and owned a 91.0 and 90.7 percent common unit interest in the Operating Partnership as of March 31, 2023 and December 31, 2022, respectively. The Company develops, owns and operates predominantly multifamily rental properties located primarily in the Northeast, as well as a portfolio of Class A office properties. The Company is in the process of transitioning to a pure-play multifamily REIT and is focused on conducting business in a socially, ethically, and environmentally responsible manner, while seeking to maximize value for all stakeholders. Veris Residential, Inc. was incorporated on May 24, 1994. Unless stated otherwise or the context requires, the “Company” refers to the General Partner and its subsidiaries, including the Operating Partnership and its subsidiaries. As of March 31, 2023, the Company owned or had interests in 24 multifamily rental properties as well as non-core assets comprised of five office properties and four parking/retail properties. The Properties are comprised of: (a) 25 wholly-owned or Company-controlled properties comprised of 17 multifamily properties and eight non-core assets, and (b) eight properties owned by unconsolidated joint ventures in which the Company has investment interests, including seven multifamily properties and a non-core asset . BASIS OF PRESENTATION The accompanying consolidated financial statements include all accounts of the Company, its majority-owned and/or controlled subsidiaries, which consist principally of the Operating Partnership and variable interest entities for which the Company has determined itself to be the primary beneficiary, if any. See Note 2 to the 2022 10-K: Significant Accounting Policies – Investments in Unconsolidated Joint Ventures, for the Company’s treatment of unconsolidated joint venture interests. Intercompany accounts and transactions have been eliminated. Accounting Standards Codification (“ASC”) 810, Consolidation, provides guidance on the identification of entities for which control is achieved through means other than voting rights (“variable interest entities” or “VIEs”) and the determination of which business enterprise, if any, should consolidate the VIEs. Generally, the consideration of whether an entity is a VIE applies when either: (1) the equity investors (if any) lack (i) the ability to make decisions about the entity’s activities through voting or similar rights, (ii) the obligation to absorb the expected losses of the entity, or (iii) the right to receive the expected residual returns of the entity; (2) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support; or (3) the equity investors have voting rights that are not proportionate to their economic interests and substantially all of the activities of the entity involve or are conducted on behalf of an investor with a disproportionately small voting interest. The Company consolidates VIEs in which it is considered to be the primary beneficiary. The primary beneficiary is defined by the entity having both of the following characteristics: (1) the power to direct the activities that, when taken together, most significantly impact the variable interest entity’s performance: and (2) the obligation to absorb losses and right to receive the returns from the VIE that would be significant to the VIE. Under ASC 810, the Operating Partnership is considered a variable interest entity of the parent company, Veris Residential, Inc. As the Operating Partnership is already consolidated in the balance sheets of Veris Residential, Inc., this has no impact on the consolidated financial statements of Veris Residential, Inc. As of March 31, 2023 and December 31, 2022, the Company’s investments in consolidated real estate joint ventures, which are variable interest entities in which the Company is deemed to be the primary beneficiary, other than Veris Residential Partners, L.P. (See Note 14: Redeemable Noncontrolling Interests – Rockpoint Transaction), have total real estate assets of $457.0 million and $468.1 million, respectively, other assets of $6.0 million and $6.0 million, respectively, mortgages of $285.5 million and $285.5 million, respectively, and other liabilities of $16.2 million and $17.3 million, respectively. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES These financial statements should be read in conjunction with the Company’s audited Annual Report on Form 10-K for the year ended December 31, 2022, as certain disclosures in this Quarterly Report on Form 10-Q that would duplicate those included in the 10-K are not included in these financial statements. Rental Property Rental properties are reported at cost less accumulated depreciation and amortization. Costs directly related to the acquisition, development and construction of rental properties are capitalized. The Company adopted Financial Accounting Standards Board (“FASB”) guidance Accounting Standards Update (“ASU”) 2017-01 on January 1, 2017, which revises the definition of a business and is expected to result in more transactions to be accounted for as asset acquisitions and significantly limit transactions that would be accounted for as business combinations. Where an acquisition has been determined to be an asset acquisition, acquisition-related costs are capitalized. Capitalized development and construction costs include pre-construction costs essential to the development of the property, development and construction costs, interest, property taxes, insurance, salaries and other project costs incurred during the period of development. Capitalized development and construction salaries and related costs approximated $0.1 million and $0.4 million for the three months ended March 31, 2023 and 2022, respectively. Ordinary repairs and maintenance are expensed as incurred; major replacements and improvements, which enhance or extend the life of the asset, are capitalized and depreciated over their estimated useful lives. Fully-depreciated assets are removed from the accounts. Included in net investment in rental property as of March 31, 2023 and December 31, 2022 is real estate and building and tenant improvements not in service, as follows (dollars in thousands) : March 31, December 31, Land held for development (including pre-development costs, if any) (a)(b) $ 254,460 $ 264,934 Development and construction in progress, including land (c)(d) 203,095 205,173 Total $ 457,555 $ 470,107 (a) Includes predevelopment and infrastructure costs included in buildings and improvements of $93.9 million and $97.7 million as of March 31, 2023 and December 31, 2022, respectively. (b) Includes $64.6 million of land and $7.5 million of building and improvements classified as to assets held for sale at March 31, 2023. (c) Includes land of $13.6 million as of March 31, 2023 and December 31, 2022. (d) Includes $2.2 million of land and $128.1 million of building and improvements classified as to assets held for sale at March 31, 2023. The Company considers a construction project as substantially completed and held available for occupancy upon the substantial completion of improvements, but no later than one year from cessation of major construction activity (as distinguished from activities such as routine maintenance and cleanup). If portions of a rental project are substantially completed and occupied by tenants or residents, or held available for occupancy, and other portions have not yet reached that stage, the substantially completed portions are accounted for as a separate project. The Company allocates costs incurred between the portions under construction and the portions substantially completed and held available for occupancy, primarily based on a percentage of the relative commercial square footage or multifamily units of each portion, and capitalizes only those costs associated with the portion under construction. Dividends and Distributions Payable The Company has suspended its common dividends since September 2020, which was initially a strategic decision by the Board of Directors to allow for greater financial flexibility during the COVID-19 pandemic and to retain incremental capital to support the Company's value-enhancing investments across the portfolio and was based upon its estimates of taxable income. Based upon its current estimates of taxable income and its expectation of disposition activity, the Board has made the strategic decision to continue to suspend its dividend to support the transformation of the Company to a pure-play multifamily REIT and will re-evaluate this decision when such transition is substantially complete. The declaration and payment of dividends and distributions will continue to be determined by the Board of Directors of the General Partner in light of conditions then existing, including the Company’s earnings, cash flows, financial condition, capital requirements, debt maturities, the availability of debt and equity capital, applicable REIT and legal restrictions and the general overall economic conditions and other factors. |
RECENT TRANSACTIONS
RECENT TRANSACTIONS | 3 Months Ended |
Mar. 31, 2023 | |
Recent Transactions [Abstract] | |
RECENT TRANSACTIONS | RECENT TRANSACTIONS Real Estate Held for Sale/Discontinued Operations/Dispositions The Company has discontinued operations related to its former New Jersey office and hotel portfolio (collectively, the “Office Portfolio”) which represented a strategic shift in the Company’s operations beginning in 2019. In the first quarter of 2023, the Company identified six office properties (including a property not in service) and two hotels as discontinued operations. See Note 7: Discontinued Operations. As of March 31, 2023, the Company identified as held for sale several office properties totaling approximately 2.2 million square feet and several developable land parcels, which are located in Jersey City, Holmdel and Parsippany, New Jersey. As of March 31, 2023, a land parcel that was previously identified as held for sale was reclassified as held and used. As a result of recent sales contracts in place, the Company determined that the carrying value of three land parcels held for sale were not expected to be recovered from estimated net sales proceeds, and accordingly, recorded land and other impairments of $3.4 million during the three months ended March 31, 2023. The total estimated sales proceeds of real estate held for sale, net of expected selling costs, are expected to be approximately $456.5 million. In April 2023, the Company completed the sale of three office properties totaling approximately 1.9 million square feet for a gross sales price of $420 million. The following table summarizes the real estate held for sale, net, and other assets and liabilities (dollars in thousands) as of March 31, 2023: Office Other Assets Total Land $ 16,232 $ 59,463 $ 75,695 Building & Other 553,740 8,204 561,944 Less: Accumulated depreciation (235,700) — (235,700) Less: Cumulative unrealized losses on property held for sale (4,440) — (4,440) Real estate held for sale, net $ 329,832 $ 67,667 $ 397,499 Other assets and liabilities Office Other Assets Total Unbilled rents receivable, net (a) $ 32,491 $ — $ 32,491 Deferred charges, net (a) 27,900 — 27,900 Accounts payable, accrued exp & other liability (7,786) (41) (7,827) Unearned rents/deferred rental income (a) (6,624) — (6,624) (a) Expected to be removed with the completion of the sales. The Company disposed of the following rental property during the three months ended March 31, 2023 (dollars in thousands) : Disposition Property Location # of Rentable Property Net Net Discontinued 02/10/23 XS Hotels Weehawken, New Jersey 2 — Hotel $ 93,358 (a) $ 92,578 $ 780 Totals 2 — $ 93,358 $ 92,578 $ 780 (a) Included the proceeds of $84 million used to repay the mortgage loan encumbering the property at closing. The Company disposed of the following developable land holding during the three months ended March 31, 2023 (dollars in thousands): Disposition Property Location Net Net Realized 03/17/23 Columbia-Honeywell Morris Township, New Jersey $ 8,214 (a) $ 8,236 $ (22) Totals $ 8,214 $ 8,236 $ (22) (a) Included deposits totaling $1.1 million received by the Company in December 2022 and January 2023. |
INVESTMENTS IN UNCONSOLIDATED J
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES | 3 Months Ended |
Mar. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES | INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES As of March 31, 2023, the Company had an aggregate investment of approximately $124.2 million in its equity method joint ventures. The Company formed these ventures with unaffiliated third parties, or acquired interests in them, to develop or manage properties, or in anticipation of possible development of rental properties. As of March 31, 2023, the unconsolidated joint ventures owned: seven multifamily properties totaling 2,146 apartment units, a retail property aggregating approximately 51,000 square feet and interests and/or rights to developable land parcels able to accommodate up to 829 apartment units. The Company’s unconsolidated interests range from 20 percent to 85 percent subject to specified priority allocations in certain of the joint ventures. The amounts reflected in the following tables (except for the Company’s share of equity in earnings) are based on the historical financial information of the individual joint ventures. The Company does not record losses of the joint ventures in excess of its investment balances unless the Company is liable for the obligations of the joint venture or is otherwise committed to provide financial support to the joint venture. The outside basis portion of the Company’s investments in joint ventures is amortized over the anticipated useful lives of the underlying ventures’ tangible and intangible assets acquired and liabilities assumed. The debt of the Company’s unconsolidated joint ventures generally is non-recourse to the Company, except for customary exceptions pertaining to such matters as intentional misuse of funds, environmental conditions, and material misrepresentations. The Company has agreed to guarantee repayment of a portion of the debt of its unconsolidated joint ventures. As of March 31, 2023, the outstanding balance of such debt, subject to guarantees, totaled $18.2 million of which $2.0 million was guaranteed by the Company. The Company performed management, leasing, development and other services for the properties owned by the unconsolidated joint ventures, related parties to the Company, and recognized $0.9 million and $0.9 million for such services in the three months ended March 31, 2023 and 2022, respectively. The Company had $0.3 million and $0.2 million in accounts receivable due from its unconsolidated joint ventures as of March 31, 2023 and December 31, 2022, respectively. As of March 31, 2023, the Company does not have any investments in unconsolidated joint ventures that are considered VIEs. The following is a summary of the Company's unconsolidated joint ventures as of March 31, 2023 and December 31, 2022 (dollars in thousands) : Property Debt Entity / Property Name Number of Company's Carrying Value As of March 31, 2023 Interest March 31, December 31, Balance Maturity Multifamily Metropolitan and Lofts at 189 units 25.00 % $ 1,364 $ 1,747 $ 60,767 (d) (d) RiverTrace at Port Imperial 316 units 22.50 % 4,954 5,114 82,000 11/10/26 3.21 % Capstone at Port Imperial 360 units 40.00 % 22,803 23,234 135,000 12/22/24 SOFR+ 1.2 % Riverpark at Harrison 141 units 45.00 % — — 30,192 07/01/35 3.19 % Station House 378 units 50.00 % 32,275 32,372 90,942 07/01/33 4.82 % Urby at Harborside (e) 762 units 85.00 % 60,725 61,594 187,807 08/01/29 5.197 % PI North - Land (b) (f) 829 potential units 20.00 % 1,678 1,678 — — — Other (g) 419 419 — — — Totals: $ 124,218 $ 126,158 $ 586,708 (a) Company's effective ownership % represents the Company's entitlement to residual distributions after payments of priority returns, where applicable. (b) The Company's ownership interests in this venture are subordinate to its partner's preferred capital balance and the Company is not expected to meaningfully participate in the venture's cash flows in the near term. (c) Through the joint venture, the Company also owns a 25 percent interest in a 50,973 square feet retail building ("Shops at 40 Park") and a 50 percent interest in a 59-unit, five story multifamily rental property ("Lofts at 40 Park"). (d) Property debt balance consists of: (i) an interest only loan, collateralized by the Metropolitan at 40 Park, with a balance of $36,500, bears interest at LIBOR +2.85 percent, matures in October 2023; (ii) an amortizable loan, collateralized by the Shops at 40 Park, with a balance of $6,067, bears interest at LIBOR +1.50 percent and matured in October 2022. The loan was extended on October 11, 2022, for three months and matured in January 2023 with a fixed rate of 5.125%. On January 10, 2023, the loan was modified bearing interest at SOFR +2% and matures in January 2025; (iii) an interest only loan, collateralized by the Lofts at 40 Park, with a balance of $18,200, which bears interest at LIBOR +1.50 percent and matured in January 2023. On January 10, 2023, the loan was extended for three months and prior to its maturity date, it was extended an additional three months to July 1, 2023. (e) The Company owns an 85 percent interest with shared control over major decisions such as, approval of budgets, property financings and leasing guidelines. The Company had guaranteed $22 million of the principal outstanding debt. On February 1, 2023, the lender has released the guarantor of all obligations under the Guaranty Agreement. (f) The Company owns a 20 percent residual interest in undeveloped land parcels 6 and I that can accommodate the development of 829 multifamily units. (g) The Company owns other interests in various unconsolidated joint ventures, including interests in assets previously owned and interest in ventures whose businesses are related to its core operations. These ventures are not expected to significantly impact the Company's operations in the near term. The following is a summary of the Company’s equity in earnings (loss) of unconsolidated joint ventures for the three months ended March 31, 2023 and 2022 (dollars in thousands) : Three Months Ended Entity / Property Name 2023 2022 Multifamily Metropolitan and Lofts at 40 Park $ (282) $ (139) RiverTrace at Port Imperial 137 67 Capstone at Port Imperial (187) 26 Riverpark at Harrison 337 — Station House (97) (358) Urby at Harborside 66 (26) PI North - Land (40) (70) Liberty Landing (2) — Other Other — 13 Company's equity in earnings (loss) of unconsolidated joint ventures (a) $ (68) $ (487) (a) Amounts are net of amortization of basis differences of $154 and $154 for the three months ended March 31, 2023 and 2022, respectively. The following is a summary of the combined financial position of the unconsolidated joint ventures in which the Company had investment interests as of March 31, 2023 and December 31, 2022 (dollars in thousands ): March 31, December 31, Assets: Rental Property, net $ 756,963 $ 745,210 Other assets 37,800 39,241 Total assets $ 794,763 $ 784,451 Liabilities and partners'/members' capital: Mortgages and loans payable $ 586,708 $ 587,913 Other liabilities 16,217 15,545 Partners'/members' capital 191,838 180,993 Total liabilities and partners'/members' capital $ 794,763 $ 784,451 The following is a summary of the combined results from operations of the unconsolidated joint ventures for the period in which the Company had investment interests during the three months ended March 31, 2023 and 2022, respectively (dollars in thousands): Three Months Ended 2023 2022 Total revenues $ 21,825 $ 36,127 Operating and other expenses (8,444) (25,499) Depreciation and amortization (5,565) (6,560) Interest expense (7,713) (6,776) Net income (loss) $ 103 $ (2,708) |
DEFERRED CHARGES AND OTHER ASSE
DEFERRED CHARGES AND OTHER ASSETS, NET | 3 Months Ended |
Mar. 31, 2023 | |
Other Assets [Abstract] | |
DEFERRED CHARGES AND OTHER ASSETS, NET | DEFERRED CHARGES AND OTHER ASSETS, NET (dollars in thousands) March 31, December 31, Deferred leasing costs $ 54,674 $ 59,651 Deferred financing costs - revolving credit facility (a) 6,684 6,684 61,358 66,335 Accumulated amortization (26,792) (30,471) Deferred charges, net 34,566 35,864 Notes receivable (b) 561 1,309 In-place lease values, related intangibles and other assets, net (c) 11,462 12,298 Right of use assets (c) 2,896 2,896 Prepaid expenses and other assets, net 38,907 43,795 Total deferred charges and other assets, net $ 88,392 $ 96,162 (a) Deferred financing costs related to all other debt liabilities (other than for the revolving credit facility) are netted against those debt liabilities for all periods presented. See Note 2 to the Company's 2022 10-K: Significant Accounting Policies – Deferred Financing Costs. (b) As of March 31, 2023 and December 31, 2022, respectively, includes an interest-free note receivable with a net present value of $42 thousand and $0.2 million which matures in April 2023. The Company believes this balance is fully collectible. Also includes $0.4 million, net of a loan loss allowance of $21 thousand, as of March 31, 2023 and $1.0 million, net of a loan loss allowance of $26.0 thousand, as of December 31, 2022, of seller-financing provided by the Company to the buyers of the Metropark portfolio. The receivable is secured against available cash of one of the Metropark properties disposed of and earned an annual return of four percent for 90 days after the disposition, with the interest rate increased to 15 percent through November 18, 2021 and to 10 percent thereafter, pursuant to an amended operating agreement. (c) This amount has a corresponding liability of $3.2 million as of both March 31, 2023 and December 31, 2022, which is included in Accounts payable, accrued expense and other liabilities. See Note 12: Commitments and Contingencies – Ground Lease agreements for further details. DERIVATIVE FINANCIAL INSTRUMENTS Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps and caps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate caps designated as cash flow hedges involve the receipt of variable amounts from a counterparty if interest rates rise above the strike rate on the contract in exchange for an up-front premium. The changes in the fair value of derivatives designated and that qualify as cash flow hedges are recorded in accumulated other comprehensive income and subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. During the next 12 months, the Company estimates $2.3 million will be reclassified as a decrease to interest expense. As of March 31, 2023, the Company had four interest rate caps outstanding with a notional amount of $548 million designated as cash flow hedges of interest rate risk. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of March 31, 2023 and December 31, 2022 (dollars in thousands) : Asset Derivatives designated Fair Value Balance sheet location March 31, December 31, Interest rate caps $ 8,122 $ 9,808 Deferred charges and other assets The table below presents the effect of the Company’s derivative financial instruments on the Consolidated Statements of Operations for the three months ending March 31, 2023 and 2022 (dollars in thousands) : Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income Total Amount of Interest Expense presented in the consolidated statements of operations Three months ended March 31, 2023 2022 2023 2022 2023 2022 Interest Rate Caps $ (524) $ 2,182 Interest expense $ 421 $ 1 $ 22,014 $ 11,606 Credit-risk-related Contingent Features |
RESTRICTED CASH
RESTRICTED CASH | 3 Months Ended |
Mar. 31, 2023 | |
Restricted Cash and Investments [Abstract] | |
RESTRICTED CASH | RESTRICTED CASH Restricted cash generally includes tenant and resident security deposits for certain of the Company’s properties, and escrow and reserve funds for debt service, real estate taxes, property insurance, capital improvements, tenant improvements and leasing costs established pursuant to certain mortgage financing arrangements, and is comprised of the following (dollars in thousands) : March 31, December 31, Security deposits $ 9,512 $ 9,175 Escrow and other reserve funds 10,130 11,692 Total restricted cash $ 19,642 $ 20,867 |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 3 Months Ended |
Mar. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS | DISCONTINUED OPERATIONS The Company announced that its Board had determined to sell the Company’s entire Office Portfolio, including both the suburban and waterfront office portfolios. As the decision to sell the Office Portfolio represented a strategic shift in the Company’s operations, the results of certain of these properties that were disposed of or classified as held for sale are being classified as discontinued operations for all periods presented. In late 2019 through December 31, 2021, the Company completed the sale of all but one of its 37 properties in the suburban office portfolio, totaling 6.3 million square feet, for net sales proceeds of $1.0 billion. The last property in the suburban office portfolio, a 350,000 square foot office property, was reclassified as held for sale at September 30, 2022, and the Company expects to dispose of this property in the second quarter of 2023. As a result of the sales contract in place, the Company determined that the carrying value of this held for sale property was not expected to be recovered from estimated net sales proceeds and accordingly, during the year ended December 31, 2022, recognized an unrealized held for sale loss allowance of $4.4 million. As of March 31, 2023, the Company also identified as discontinued operations several waterfront office properties totaling approximately 3.7 million square feet, which are located in Jersey City and Hoboken, New Jersey. In addition, the hotels sold were also classified as discontinued operations. The following table summarizes income from discontinued operations and the related realized gains (losses) and unrealized losses on disposition of rental property and impairments, net, for the three months ended March 31, 2023 and 2022 (dollars in thousands): Three Months Ended March 31, 2023 2022 Total revenues $ 16,682 $ 52,929 Operating and other expenses (8,598) (22,744) Depreciation and amortization (4,878) (7,676) Interest expense (822) (3,419) Income from discontinued operations 2,384 19,090 Realized gains on disposition of rental property 780 1,836 Realized gains, net 780 1,836 Total discontinued operations, net $ 3,164 $ 20,926 |
REVOLVING CREDIT FACILITY AND T
REVOLVING CREDIT FACILITY AND TERM LOANS | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
REVOLVING CREDIT FACILITY AND TERM LOANS | REVOLVING CREDIT FACILITY AND TERM LOANS On May 6, 2021, the Company entered into a revolving credit and term loan agreement (“2021 Credit Agreement”) with a group of seven lenders that provides for a $250 million senior secured revolving credit facility (the “2021 Credit Facility”) and a $150 million senior secured term loan facility (the “2021 Term Loan”), and delivered written notice to the administrative agent to terminate the 2017 credit agreement, which termination became effective on May 13, 2021. The terms of the 2021 Credit Facility included: (1) a three year term ending in May 2024; (2) revolving credit loans may be made to the Company in an aggregate principal amount of up to $250 million (subject to increase as discussed below), with a sublimit under the 2021 Credit Facility for the issuance of letters of credit in an amount not to exceed $50 million; and (3) a first priority lien in unencumbered properties of the Company with an appraised value greater than or equal to $800 million which must include the Company’s Harborside 2/3 and Harborside 5 properties; and (4) a facility fee payable quarterly equal to 35 basis points if usage of the 2021 Credit Facility is less than or equal to 50%, and 25 basis points if usage of the 2021 Credit Facility is greater than 50%. The terms of the 2021 Term Loan included: (1) an eighteen-month term ending in November 2022; (2) a single draw of the term loan commitments up to an aggregate principal amount of $150 million; and (3) a first priority lien in unencumbered properties of the Company with an appraised value greater than or equal to $800 million which must include the Company’s Harborside 2/3 and Harborside 5 properties. Interest on borrowings under the 2021 Credit Facility and 2021 Term Loan was based on applicable base rate (the “Base Rate”) plus a margin ranging from 125 basis points to 275 basis points depending on the Base Rate elected, currently 0.12%. The Base Rate shall be either (A) the highest of (i) the Wall Street Journal prime rate, (ii) the greater of the then effective (x) Federal Funds Effective Rate, or (y) Overnight Bank Funding Rate plus 50 basis points, and (iii) a LIBO Rate, as adjusted for statutory reserve requirements for eurocurrency liabilities (the “Adjusted LIBO Rate”) and calculated for a one-month interest period, plus 100 basis points (such highest amount being the “ABR Rate”), or (B) the Adjusted LIBO Rate for the applicable interest period; provided, however, that the ABR Rate shall not be less than 1% and the Adjusted LIBO Rate shall not be less than zero. The 2021 Credit Agreement, which applies to both the 2021 Credit Facility and 2021 Term Loan, included certain restrictions and covenants which limited, among other things the incurrence of additional indebtedness, the incurrence of liens and the disposition of real estate properties, and which require compliance with financial ratios relating to the minimum collateral pool value ($800 million), maximum collateral pool leverage ratio (40 percent), minimum number of collateral pool properties (two), the maximum total leverage ratio (65 percent), the minimum debt service coverage ratio (1.10 times until May 6, 2022, 1.20 times from May 7, 2022 through May 6, 2023, and 1.40 times thereafter), and the minimum tangible net worth ratio (80% of tangible net worth as of December 31, 2020 plus 80% of net cash proceeds of equity issuances by the General Partner or the Operating Partnership). The Company was in compliance with its debt covenants under its 2021 Credit Facility as of March 31, 2023. As of both March 31, 2023 and December 31, 2022, the Company had no borrowings under the 2021 Credit Facility and 2021 Term Loan. In April 2023, the Company terminated the 2021 Credit Agreement and the 2021 Credit Facility. |
MORTGAGES, LOANS PAYABLE AND OT
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS | MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS The Company has mortgages, loans payable and other obligations which primarily consist of various loans collateralized by certain of the Company’s rental properties, land and development projects. As of March 31, 2023, 20 of the Company’s properties, with a total carrying value of approximately $3.2 billion, are encumbered by the Company's mortgages and loans payable. Payments on mortgages, loans payable and other obligations are generally due in monthly installments of principal and interest, or interest only. The Company was in compliance with its debt covenants under its mortgages and loans payable as of March 31, 2023, except as otherwise disclosed. A summary of the Company’s mortgages, loans payable and other obligations as of March 31, 2023 and December 31, 2022 is as follows (dollars in thousands) : Property/Project Name Lender Effective Rate (a) March 31, December 31, Maturity Port Imperial 4/5 Hotel (b) Fifth Third Bank LIBOR+ 3.40 % $ — $ 84,000 — Portside at Pier One CBRE Capital Markets/FreddieMac 3.57 % 58,998 58,998 08/01/23 Signature Place Nationwide Life Insurance Company 3.74 % 43,000 43,000 08/01/24 Liberty Towers American General Life Insurance Company 3.37 % 265,000 265,000 10/01/24 Haus25 (c) QuadReal Finance LIBOR+ 2.70 % 297,324 297,324 12/01/24 Portside 5/6 (d) New York Life Insurance Company 4.56 % 97,000 97,000 03/10/26 BLVD 425 New York Life Insurance Company 4.17 % 131,000 131,000 08/10/26 BLVD 401 New York Life Insurance Company 4.29 % 117,000 117,000 08/10/26 The Upton (e) Bank of New York Mellon LIBOR+ 1.58 % 75,000 75,000 10/27/26 145 Front at City Square (f) MUFG Union Bank SOFR+ 1.71 % 63,000 63,000 12/10/26 Riverhouse 9 at Port Imperial (g) JP Morgan SOFR+ 1.41 % 110,000 110,000 06/21/27 Quarry Place at Tuckahoe Natixis Real Estate Capital LLC 4.48 % 41,000 41,000 08/05/27 BLVD 475 N/S The Northwestern Mutual Life Insurance Co. 2.91 % 165,000 165,000 11/10/27 Riverhouse 11 at Port Imperial The Northwestern Mutual Life Insurance Co. 4.52 % 100,000 100,000 01/10/29 Soho Lofts (h) New York Community Bank 3.77 % 160,000 160,000 07/01/29 Port Imperial South 4/5 Garage American General Life & A/G PC 4.85 % 32,038 32,166 12/01/29 Emery at Overlook Ridge New York Community Bank 3.21 % 72,000 72,000 01/01/31 Principal balance outstanding 1,827,360 1,911,488 Unamortized deferred financing costs (6,862) (7,511) Total mortgages, loans payable and other obligations, net $ 1,820,498 $ 1,903,977 (a) Reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to-market adjustment of acquired debt and other transaction costs, as applicable. (b) The loan was paid off on disposition of the hotels on February 10, 2023. (c) This construction loan has a LIBOR floor of 2.0 percent, has a maximum borrowing capacity of $300 million and provides, subject to certain conditions, a one year extension option with a fee of 25 basis points. The Company entered into an interest-rate cap agreement for the mortgage loan. (d) The Company has guaranteed 10 percent of the outstanding principal, subject to certain conditions. (e) On October 27, 2021, the Company obtained a $75 million mortgage loan and entered into an interest-rate cap agreement for the mortgage loan. (f) On January 12, 2023, the Company entered into an interest-rate cap agreement for the mortgage loan. (g) On June 21, 2022, the Company obtained a $110 million mortgage loan and entered into an interest-rate cap agreement for the mortgage loan. (h) Effective rate reflects the first five years of interest payments at a fixed rate. Interest payments after that period ends are based on LIBOR plus 2.75% annually. Cash Paid for Interest and Interest Capitalized Cash paid for interest for the three months ended March 31, 2023 and 2022 was $20.5 million and $17.8 million (of which $1.1 million and $5.0 million pertained to properties classified as discontinued operations), respectively. Interest capitalized by the Company for the three months ended March 31, 2023 and 2022 was zero and $6.4 million, respectively. Summary of Indebtedness (dollars in thousands) March 31, December 31, Balance Weighted Average Balance Weighted Average Interest Rate Fixed Rate & Hedged Debt (a) $ 1,820,498 4.32 % $ 1,757,308 4.27 % Revolving Credit Facility & Other Variable Rate Debt — — % 146,669 6.86 % Totals/Weighted Average: $ 1,820,498 4.32 % $ 1,903,977 4.47 % (a) As of March 31, 2023 and December 31, 2022, includes debt with interest rate caps outstanding with a notional amount of $548 million and $485 million. |
EMPLOYEE BENEFIT 401(k) PLANS
EMPLOYEE BENEFIT 401(k) PLANS | 3 Months Ended |
Mar. 31, 2023 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT 401(k) PLANS | EMPLOYEE BENEFIT 401(k) PLANSEmployees of the General Partner, who meet certain minimum age and service requirements, are eligible to participate in the Veris Residential, Inc. 401(k) Savings/Retirement Plan (the “401(k) Plan”). Eligible employees may elect to defer from one percent up to 60 percent of their annual compensation on a pre-tax basis to the 401(k) Plan, subject to certain limitations imposed by federal law. The amounts contributed by employees are immediately vested and non-forfeitable. The Company may make discretionary matching or profit sharing contributions to the 401(k) Plan on behalf of eligible participants in any plan year. Participants are always 100 percent vested in their pre-tax contributions and will begin vesting in any matching or profit sharing contributions made on their behalf after two years of service with the Company at a rate of 20 percent per year, becoming 100 percent vested after a total of six years of service with the Company. All contributions are allocated as a percentage of compensation of the eligible participants for the Plan year. The assets of the 401(k) Plan are held in trust and a separate account is established for each participant. A participant may receive a distribution of his or her vested account balance in the 401(k) Plan in a single sum or in installment payments upon his or her termination of service with the Company. Total expense recognized by the Company for the 401(k) Plan for the three months ended March 31, 2023 and 2022 was $147 thousand and $182 thousand, respectively. |
DISCLOSURE OF FAIR VALUE OF ASS
DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIES | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIES | DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIESThe following disclosure of estimated fair value was determined by management using available market information and appropriate valuation methodologies. However, considerable judgment is necessary to interpret market data and develop estimated fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize on disposition of the assets and liabilities at March 31, 2023 and December 31, 2022. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Cash equivalents, receivables, notes receivables, accounts payable, and accrued expenses and other liabilities are carried at amounts which reasonably approximate their fair values as of March 31, 2023 and December 31, 2022. The fair value of the Company’s long-term debt, consisting of mortgages, loans payable and other obligations aggregated approximately $1.7 billion and $1.8 billion as compared to the book value of approximately $1.8 billion and $1.9 billion as of March 31, 2023 and December 31, 2022, respectively. The fair value of the Company’s long-term debt was valued using level 3 inputs (as provided by ASC 820, Fair Value Measurements and Disclosures). The fair value was estimated using a discounted cash flow analysis valuation based on the borrowing rates currently available to the Company for loans with similar terms and maturities. The fair value of the mortgage debt was determined by discounting the future contractual interest and principal payments by a market rate. Although the Company has determined that the majority of the inputs used to value its derivative financial instruments fall within level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivative financial instruments utilize level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. The Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its derivative financial instruments. As a result, the Company has determined that its derivative financial instruments valuations in their entirety are classified in level 2 of the fair value hierarchy. The notes receivable by the Company are presented at the lower of cost basis or net amount expected to be collected in accordance with ASC 326. For its seller-financing note receivable provided to the buyers of the Metropark portfolio, the Company calculated the net present value of contractual cash flows of the total receivable. The Company accordingly recorded a loan loss allowance charge of $21 thousand at March 31, 2023, which was deducted from the amortized cost basis of the note receivable. Such charge was recorded in Interest and other investment income (loss) for the three months ended March 31, 2023. See Note 5: Deferred charges and other assets, net. The fair value measurements used in the evaluation of the Company’s rental properties for impairment analysis are considered to be Level 3 valuations within the fair value hierarchy, as there are significant unobservable assumptions. Assumptions that were utilized in the fair value calculations include, but are not limited to, discount rates, market capitalization rates, expected lease rental rates, room rental and food and beverage revenue rates, third-party broker information and information from potential buyers, as applicable. Valuations of real estate identified as held for sale are based on estimated sale prices, net of estimated selling costs, of such property. In the absence of an executed sales agreement with a set sales price, management’s estimate of the net sales price may be based on a number of unobservable assumptions, including, but not limited to, the Company’s estimates of future cash flows, market capitalization rates and discount rates, if applicable. For developable land, an estimated per-unit market value assumption is also considered based on development rights or plans for the land. As of March 31, 2023, assumptions that were utilized in the fair value calculation included: Description Primary Valuation Unobservable Location Range of Land holdings held for sale on which the Company recognized impairment losses Sale prices per purchase and sale agreements Market rate per unit Waterfront $76,000 - $78,000 As of March 31, 2023, the Company identified as held for sale several office properties totaling approximately 2.2 million square feet and several developable land parcels, which are located in Jersey City, Holmdel and Parsippany, New Jersey. As a result of recent sales contracts in place, the Company determined that the carrying value of three land parcels held for sale were not expected to be recovered from estimated net sales proceeds, and accordingly, recorded land and other impairments of $3.4 million during the three months ended March 31, 2023. Disclosure about fair value of assets and liabilities is based on pertinent information available to management as of March 31, 2023 and December 31, 2022. The ongoing impact of COVID-19 worldwide has impacted global economic activity and continues to cause volatility in financial markets. The extent to which COVID-19 impacts the Company’s fair value estimates in the future will depend on developments going forward, many of which are highly uncertain and cannot be predicted. In consideration of the |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES TAX ABATEMENT AGREEMENTS Pursuant to agreements with certain municipalities, the Company is required to make payments in lieu of property taxes (“PILOT”) on certain of its properties and has tax abatement agreements on other properties, as follows: PILOT Payments Property Name Location Asset Type PILOT Three Months Ended 2023 2022 (Dollars in Thousands) 111 River Street (a) Hoboken, NJ Office 4/2022 $ — $ 85 Harborside Plaza 4A (b) Jersey City, NJ Office 2/2022 — 218 Harborside Plaza 5 (c) Jersey City, NJ Office 6/2022 — 1,109 BLVD 401 (Marbella 2) (d) Jersey City, NJ Multifamily 4/2026 403 359 RiverHouse 11 at Port Imperial (e) Weehawken, NJ Multifamily 7/2033 374 350 Port Imperial 4/5 Hotel (f) Weehawken, NJ Hotel 12/2033 224 733 RiverHouse 9 at Port Imperial (g) Weehawken, NJ Multifamily 6/2046 382 322 Haus25 (h) Jersey City, NJ Mixed-Use 3/2047 574 — The James (i) Park Ridge, NJ Multifamily 6/2051 143 — Total Pilot taxes $ 2,100 $ 3,176 (a) The property was disposed of in the first quarter of 2022. (b) The annual PILOT is equal to two percent of Total Project Costs, as defined. The total Project Costs are $49.5 million. (c) The annual PILOT is equal to two percent of Total Project Costs, as defined. The total Project Costs are $170.9 million. (d) The annual PILOT is equal to ten percent of Gross Revenues for years 1-4, 12 percent for years 5-8 and 14 percent for years 9-10, as defined. (e) The annual PILOT is equal to 12 percent of Gross Revenues for years 1-5, 13 percent for years 6-10 and 14 percent for years 11-15, as defined. (f) The annual PILOT is equal to two percent of Total Project Costs, as defined. The property was disposed of during the first quarter of 2023. (g) The annual PILOT is equal to 11 percent of Gross Revenues for years 1-10, 12.5 percent for years 11-18 and 14 percent for years 19-25, as defined. (h) For a term of 25 years following substantial completion, which occurred in April 2022. The annual PILOT is equal to seven percent of Gross Revenues, as defined. (i) The property was acquired in July 2022. For a term of 30 years following substantial completion which occurred in June 2021. The annual PILOT is equal to 10 percent of Gross Revenues for years 1-10, 11.5 percent for years 11-21 and 12.5 percent for years 22-30, as defined. At the conclusion of the above-referenced agreements, it is expected that the properties will be assessed by the municipality and be subject to real estate taxes at the then prevailing rates. LITIGATION The Company is a defendant in litigation arising in the normal course of its business activities. Management does not believe that the ultimate resolution of these matters will have a materially adverse effect upon the Company’s financial condition taken as whole. GROUND LEASE AGREEMENTS Future minimum rental payments under the terms of all non-cancelable ground leases under which the Company is the lessee, as of March 31, 2023 and December 31, 2022, are as follows (dollars in thousands) : Year As of March 31, 2023 Amount April 1 through December 31, 2023 $ 144 2024 192 2025 199 2026 199 2027 200 2028 through 2101 31,664 Total lease payments 32,598 Less: imputed interest (29,357) Total $ 3,241 Year As of December 31, 2022 Amount 2023 $ 192 2024 192 2025 199 2026 199 2027 200 2028 through 2101 31,664 Total lease payments 32,646 Less: imputed interest (29,418) Total $ 3,228 Ground lease expense incurred by the Company amounted to $265 thousand and $348 thousand for the three months ended March 31, 2023 and 2022, respectively. In accordance with ASU 2016-02 (Topic 842), the Company capitalized operating leases for two ground leases, which had a balance of $2.9 million at March 31, 2023. Such amount represents the net present value (“NPV”) of future payments detailed above. The incremental borrowing rate used to arrive at the NPV was 7.618 percent for the ground lease terms of 82.58 years each. These rates were arrived at by adjusting the fixed rates of the Company’s mortgage debt with debt having terms approximating the remaining lease term of the Company’s ground leases and calculating notional rates for fully-collateralized loans. OTHER As of March 31, 2023, the Company has outstanding stay-on award agreements with 24 employees, which provides them with the potential to receive compensation, in cash or Company stock at the employees’ option, contingent upon remaining with the Company in good standing until the occurrence of certain corporate transactions, which have not been identified. The total potential cost of such awards is currently estimated to be up to approximately $3.0 million, including the potential future issuance of up to 33,866 shares of the Company’s common stock. Such cash or stock awards would only be earned and payable if such transaction was identified and communicated to the employee within seven years of the agreement dates, all of which were signed in late 2020 and early 2021, and all other conditions were satisfied. |
TENANT LEASES
TENANT LEASES | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
TENANT LEASES | TENANT LEASES The Company’s consolidated office properties are leased to tenants under operating leases with various expiration dates through 2043. Substantially all of the commercial leases provide for annual base rents plus recoveries and escalation charges based upon the tenant’s proportionate share of and/or increases in real estate taxes and certain operating costs, as defined, and the pass-through of charges for electrical usage. Future minimum rentals to be received under non-cancelable commercial operating leases (excluding properties classified as discontinued operations) at March 31, 2023 and December 31, 2022 are as follows (dollars in thousands) : Year As of March 31, 2023 Amount April 1 through December 31, 2023 $ 10,818 2024 13,904 2025 12,737 2026 10,606 2027 7,531 2028 and thereafter 42,794 Total $ 98,390 Year As of December 31, 2022 Amount 2023 $ 14,983 2024 13,733 2025 12,389 2026 10,251 2027 7,169 2028 and thereafter 42,188 Total $ 100,713 Multifamily rental property residential leases are excluded from the above table as they generally expire within one year. |
REDEEMABLE NONCONTROLLING INTER
REDEEMABLE NONCONTROLLING INTERESTS | 3 Months Ended |
Mar. 31, 2023 | |
Temporary Equity Disclosure [Abstract] | |
REDEEMABLE NONCONTROLLING INTERESTS | REDEEMABLE NONCONTROLLING INTERESTSThe Company evaluates the terms of the partnership units issued in accordance with the FASB’s Distinguishing Liabilities from Equity guidance. Units which embody an unconditional obligation requiring the Company to redeem the units for cash after a specified or determinable date (or dates) or upon the occurrence of an event that is not solely within the control of the issuer are determined to be contingently redeemable under this guidance and are included as Redeemable noncontrolling interests and classified within the mezzanine section between Total liabilities and Stockholders’ equity on the Company’s Consolidated Balance Sheets. Convertible units for which the Company has the option to settle redemption amounts in cash or Common Stock are included in the caption Noncontrolling interests in subsidiaries within the equity section on the Company’s Consolidated Balance Sheet. Rockpoint Transaction On February 27, 2017, the Company, Veris Residential Trust (“VRT”), the Company’s subsidiary through which the Company conducts its multifamily residential real estate operations, Veris Residential Partners, L.P. (“VRLP”), the operating partnership through which VRT conducts all of its operations, and certain other affiliates of the Company entered into a preferred equity investment agreement (the “Original Investment Agreement”) with certain affiliates of Rockpoint Group, L.L.C. (Rockpoint Group, L.L.C. and its affiliates, collectively, “Rockpoint”). The Original Investment Agreement provided for VRT to contribute property to VRLP in exchange for common units of limited partnership interests in VRLP (the “Common Units”) and for multiple equity investments by Rockpoint in VRLP from time to time for up to an aggregate of $300 million of preferred units of limited partnership interests in VRLP (the “Preferred Units”). The initial closing under the Original Investment Agreement occurred on March 10, 2017 for $150 million of Preferred Units and the parties agreed that the Company’s contributed equity value (“VRT Contributed Equity Value”), was $1.23 billion at closing. During the year ended December 31, 2018, a total additional amount of $105 million of Preferred Units were issued and sold to Rockpoint pursuant to the Original Investment Agreement. During the year ended December 31, 2019, a total additional amount of $45 million of Preferred Units were issued and sold to Rockpoint pursuant to the Original Investment Agreement, which brought the Preferred Units to the full balance of $300 million. In addition, certain contributions of property to VRLP by VRT subsequent to the execution of the Original Investment Agreement resulted in VRT being issued approximately $46 million of Preferred Units and Common Units in VRLP prior to June 26, 2019. On June 26, 2019, the Company, VRT, VRLP, certain other affiliates of the Company and Rockpoint entered into an additional preferred equity investment agreement (the “Add On Investment Agreement”). The closing under the Add On Investment Agreement occurred on June 28, 2019. Pursuant to the Add On Investment Agreement, Rockpoint invested an additional $100 million in Preferred Units and the Company and VRT agreed to contribute to VRLP two additional properties located in Jersey City, New Jersey. The Company used the $100 million in proceeds received to repay outstanding borrowings under its revolving credit facility and other debt by June 30, 2019. In addition, Rockpoint has a right of first refusal to invest another $100 million in Preferred Units in the event VRT determines that VRLP requires additional capital prior to March 1, 2023 and, subject thereto, VRLP may issue up to approximately $154 million in Preferred Units to VRT or an affiliate so long as at the time of such funding VRT determines in good faith that VRLP has a valid business purpose to use such proceeds. Included in general and administrative expenses for the year ended December 31, 2019 were $371 thousand in fees associated with the modifications of the Original Investment Agreement, which were made upon signing of the Add On Investment Agreement. Under the terms of the new transaction with Rockpoint, set forth in the Third Amended and Restated Limited Partnership Agreement of VRLP, dated as of June 28, 2019 (the “VRLP Partnership Agreement”), the cash flow from operations of VRLP will be distributable to Rockpoint and VRT as follows: • first, to provide a 6% annual return to Rockpoint and VRT on their capital invested in Preferred Units (the “Preferred Base Return”); • second, 95.36% to VRT and 4.64% to Rockpoint until VRT has received a 6% annual return (the “VRT Base Return”) on the equity value of the properties contributed by it to VRLP in exchange for Common Units (previously 95% and 5%, respectively, under the Original Investment Agreement), subject to adjustment in the event VRT contributes additional property to VRLP in the future; and • third, pro rata to Rockpoint and VRT based on total respective capital invested in and contributed equity value of Preferred Units and Common Units (based on Rockpoint’s $400 million of invested capital at March 31, 2023, this pro rata distribution would be approximately 21.89% to Rockpoint in respect of Preferred Units, 2.65% to VRT in respect of Preferred Units and 75.46% to VRT in respect of Common Units). VRLP’s cash flow from capital events will generally be distributable by VRLP to Rockpoint and VRT as follows: • first, to Rockpoint and VRT to the extent there is any unpaid, accrued Preferred Base Return; • second, as a return of capital to Rockpoint and to VRT in respect of Preferred Units; • third, 95.36% to VRT and 4.64% to Rockpoint until VRT has received the VRT Base Return in respect of Common Units (previously 95% and 5%, respectively, under the Original Investment Agreement), subject to adjustment in the event VRT contributes additional property to VRLP in the future; • fourth, 95.36% to VRT and 4.64% to Rockpoint until VRT has received a return of capital based on the equity value of the properties contributed by it to VRLP in exchange for Common Units (previously 95% and 5%, respectively, under the Original Investment Agreement), subject to adjustment in the event VRT contributes additional property to the capital of VRLP in the future; • fifth, pro rata to Rockpoint and VRT based on respective total capital invested in and contributed equity value of Preferred and Common Units until Rockpoint has received an 11% internal rate of return (based on Rockpoint’s $400 million of invested capital at March 31, 2023, this pro rata distribution would be approximately 21.89% to Rockpoint in respect of Preferred Units, 2.65% to VRT in respect of Preferred Units and 75.46% to VRT in respect of Common Units); and • sixth, to Rockpoint and VRT in respect of their Preferred Units based on 50% of their pro rata shares described in “fifth” above and the balance to VRT in respect of its Common Units (based on Rockpoint’s $400 million of invested capital at March 31, 2023, this pro rata distribution would be approximately 10.947% to Rockpoint in respect of Preferred Units, 1.325% to VRT in respect of Preferred Units and 87.728% to VRT in respect of Common Units). In general, VRLP may not sell its properties in taxable transactions, although it may engage in tax-deferred like-kind exchanges of properties or it may proceed in another manner designed to avoid the recognition of gain for tax purposes. In connection with the Add On Investment Agreement, on June 26, 2019, VRT increased the size of its board of trustees from six to seven persons, with five trustees being designated by the Company and two trustees being designated by Rockpoint. In addition, as was the case under the Original Investment Agreement, VRT and VRLP are required to obtain Rockpoint’s consent with respect to: • debt financings in excess of a 65% loan-to-value ratio; • corporate level financings that are pari-passu or senior to the Preferred Units; • new investment opportunities to the extent the opportunity requires an equity capitalization in excess of 10% of VRLP’s NAV; • new investment opportunities located in a Metropolitan Statistical Area where VRLP owns no property as of the previous quarter; • declaration of bankruptcy of VRT; • transactions between VRT and the Company, subject to certain limited exceptions; • any equity granted or equity incentive plan adopted by VRLP or any of its subsidiaries; and • certain matters relating to the Credit Enhancement Note (as defined below) between the Company and VRLP (other than ordinary course borrowings or repayments thereunder). Under a Discretionary Demand Promissory Note (the “Credit Enhancement Note”), the Company may provide periodic cash advances to VRLP. The Credit Enhancement Note provides for an interest rate equal to the London Inter-Bank Offered Rate plus fifty (50) basis points above the applicable interest rate under the Company’s revolving credit facility. The maximum aggregate principal amount of advances at any one time outstanding under the Credit Enhancement Note is limited to $50 million, an increase of $25 million from the prior transaction. VRT and VRLP also have agreed, as was the case under the Original Investment Agreement, to register the Preferred Units under certain circumstances in the future in the event VRT or VRLP becomes a publicly traded company. During the period commencing on June 28, 2019 and ending on March 1, 2023 (the “Lockout Period”), Rockpoint’s interest in the Preferred Units cannot be redeemed or repurchased, except in connection with (a) a sale of all or substantially all of VRLP or a sale of a majority of the then-outstanding interests in VRLP, in each case, which sale is not approved by Rockpoint, or (b) a spin-out or initial public offering of common stock of VRT, or distributions of VRT equity interests by the Company or its affiliates to shareholders or their respective parent interestholders (an acquisition pursuant clauses (a) or (b) above, an “Early Purchase”). VRT has the right to acquire Rockpoint’s interest in the Preferred Units in connection with an Early Purchase for a purchase price generally equal to (i) the amount that Rockpoint would receive upon the sale of the assets of VRLP for fair market value and a distribution of the net sale proceeds in accordance with (A) the capital event distribution priorities discussed above (in the case of certain Rockpoint Preferred Holders) and (B) the distribution priorities applicable in the case of a liquidation of VRLP (in the case of the other Rockpoint Preferred Holder), plus (ii) a make whole premium (such purchase price, the “Purchase Payment”). The make whole premium is an amount equal to (i) $173.5 million until December 28, 2020, or $198.5 million thereafter, less distributions theretofore made to Rockpoint with respect to its Preferred Base Return or any deficiency therein, plus (ii) $1.5 million less certain other distributions theretofore made to Rockpoint. The fair market value of VRLP’s assets is determined by a third party appraisal of the net asset value (“NAV”) of VRLP and the fair market value of VRLP’s assets, to be completed within ninety (90) calendar days of March 1, 2023 and annually thereafter. After the Lockout Period, either VRT may acquire from Rockpoint, or Rockpoint may sell to VRT, all, but not less than all, of Rockpoint’s interest in the Preferred Units (each, a “Put/Call Event”) for a purchase price equal to the Purchase Payments (determined without regard to the make whole premium and any related tax allocations). An acquisition of Rockpoint’s interest in the Preferred Units pursuant to a Put/Call Event is generally required to be structured as a purchase of the common equity in the applicable Rockpoint entities holding direct or indirect interests in the Preferred Units (the “Put/Call Interests”). Subject to certain exceptions, Rockpoint also has a right of first offer and a participation right with respect to other common equity interests of VRLP or any subsidiary of VRLP that may be offered for sale by VRLP or its subsidiaries from time to time. Upon a Put/Call Event, other than in the event of a sale of VRLP, Rockpoint may elect to convert all, but not less than all, of its Preferred Units to Common Units in VRLP. As such, the Preferred Units contain a substantive redemption feature that is outside of the Company’s control and accordingly, pursuant to ASC 480-1—S99-3A, the Preferred Units are classified in mezzanine equity measured based on the estimated future redemption value as of March 31, 2023. The Company determines the redemption value of these interests by hypothetically liquidating the estimated NAV of the VRT real estate portfolio including debt principal through the applicable waterfall provisions of the new transaction with Rockpoint. The estimation of NAV includes unobservable inputs that consider assumptions of market participants in pricing the underlying assets of VRLP. For properties under development, the Company applies a discount rate to the estimated future cash flows allocable to the Company during the period under construction and then applies a direct capitalization method to the estimated stabilized cash flows. For operating properties, the direct capitalization method is used by applying a capitalization rate to the projected net operating income. For developable land holdings, an estimated per-unit market value assumption is considered based on development rights or plans for the land. Estimated future cash flows used in such analyses are based on the Company’s business plan for each respective property including capital expenditures, management’s views of market and economic conditions, and considers items such as current and future rental rates, occupancies and market transactions for comparable properties. The estimated future redemption value of the Preferred Units, including current preferred return payments of $2.0 million is approximately $480.0 million as of March 31, 2023. On April 5, 2023, VRT delivered notice to Rockpoint that VRT was exercising its right to purchase and redeem the Put/Call Interests from Rockpoint. On April 6, 2023, Rockpoint delivered notice to VRT that Rockpoint was exercising its right under the VRLP Partnership Agreement to defer the closing of VRT’s purchase and redemption of the Put/Call Interests for one year. Within ninety (90) days of March 1, 2024, VRLP must engage an appraiser mutually agreed by VRT and Rockpoint or otherwise selected pursuant to VRLP Partnership Agreement, to determine the fair market value of the Partnership’s assets, which valuation will be used to determine the Purchase Payments (determined without regard to the make whole premium). Closing of (i) the purchase and redemption of the Put/Call Interests, or, (ii) if a Rockpoint conversion election has been made, the issuance of Common Interests in VRLP will occur within thirty (30) calendar days following the determination of the fair market value of VRLP’s assets and the Purchase Payments (determined without regard to the make whole premium), which closing will occur no earlier than the second quarter of 2024. Preferred Units On February 3, 2017, the Operating Partnership issued 42,800 shares of a new class of 3.5 percent Series A Preferred Limited Partnership Units of the Operating Partnership (the “Series A Units”). The Series A Units were issued to the Company’s partners in the Plaza VIII & IX Associates L.L.C. joint venture that owns a development site adjacent to the Company’s Harborside property in Jersey City, New Jersey as non-cash consideration for their approximate 37.5 percent interest in the joint venture. Each Series A Unit has a stated value of $1,000, pays dividends quarterly at an annual rate of 3.5 percent (subject to increase under certain circumstances), is convertible into 28.15 common units of limited partnership interests of the Operating Partnership beginning generally five years from the date of issuance, or an aggregate of up to 1,204,820 common units. The conversion rate was based on a value of $35.52 per common unit. The Series A Units have a liquidation and dividend preference senior to the common units and include customary anti-dilution protections for stock splits and similar events. The Series A Units are redeemable for cash at their stated value beginning five years from the date of issuance at the option of the holder. During the three months ended March 31, 2022, 12,000 Series A Units were redeemed for cash at the stated value. On February 28, 2017, the Operating Partnership authorized the issuance of 9,213 shares of a new class of 3.5 percent Series A-1 Preferred Limited Partnership Units of the Operating Partnership (the “Series A-1 Units”). 9,122 Series A-1 Units were issued on February 28, 2017 and an additional 91 Series A-1 Units were issued in April 2017 pursuant to acquiring additional interests in a joint venture that owns Monaco Towers in Jersey City, New Jersey. The Series A-1 Units were issued as non-cash consideration for the partner’s approximate 13.8 percent ownership interest in the joint venture. Each Series A-1 Unit has a stated value of $1,000 (the “Stated Value”), pays dividends quarterly at an annual rate equal to the greater of (x) 3.50 percent, or (y) the then-effective annual dividend yield on the General Partner’s common stock, and is convertible into 27.936 common units of limited partnership interests of the Operating Partnership beginning generally five years from the date of issuance, or an aggregate of up to 257,375 Common Units. The conversion rate was based on a value of $35.80 per common unit. The Series A-1 Units have a liquidation and dividend preference senior to the Common Units and include customary anti-dilution protections for stock splits and similar events. The Series A-1 Units are redeemable for cash at their stated value beginning five years from the date of issuance at the option of the holder. The Series A-1 Units are pari passu with the 3.5% Series A Units issued on February 3, 2017. The following tables set forth the changes in Redeemable noncontrolling interests for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands) : Series A and Rockpoint Interests in VRT Total Balance at January 1, 2023 $ 40,231 $ 475,000 $ 515,231 Net 40,231 475,000 515,231 Income Attributed to Noncontrolling Interests 350 6,016 6,366 Distributions (350) (6,016) (6,366) Redemption Value Adjustment — 4,977 4,977 Balance at March 31, 2023 $ 40,231 $ 479,977 $ 520,208 Series A and Rockpoint Total Balance at January 1, 2022 $ 52,324 $ 468,989 $ 521,313 Redemption/Payout (12,000) — (12,000) Net 40,324 468,989 509,313 Income Attributed to Noncontrolling Interests 421 6,016 6,437 Distributions (421) (6,016) (6,437) Redemption Value Adjustment (22) 3,221 3,199 Balance at March 31, 2022 $ 40,302 $ 472,210 $ 512,512 |
VERIS RESIDENTIAL, INC. STOCKHO
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL | 3 Months Ended |
Mar. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL | VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITALTo maintain its qualification as a REIT, not more than 50 percent in value of the outstanding shares of the General Partner may be owned, directly or indirectly, by five or fewer individuals at any time during the last half of any taxable year of the General Partner, other than its initial taxable year (defined to include certain entities), applying certain constructive ownership rules. To help ensure that the General Partner will not fail this test, the General Partner’s Charter provides, among other things, certain restrictions on the transfer of common stock to prevent further concentration of stock ownership. Moreover, to evidence compliance with these requirements, the General Partner must maintain records that disclose the actual ownership of its outstanding common stock and demands written statements each year from the holders of record of designated percentages of its common stock requesting the disclosure of the beneficial owners of such common stock. Partners’ Capital in the accompanying consolidated financial statements relates to (a) General Partners’ capital consisting of common units in the Operating Partnership held by the General Partner, and (b) Limited Partners’ capital consisting of common units and LTIP units held by the limited partners. See Note 16: Noncontrolling Interests in Subsidiaries. The following table reflects the activity of the General Partner capital for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands) : Three Months Ended 2023 2022 Opening Balance $ 1,235,685 $ 1,281,982 Net loss available to common shareholders (19,973) (9,092) Redeemable noncontrolling interests (4,516) (2,942) Redemption of common units for common stock 4,859 — Shares issued under Dividend Reinvestment and Stock Purchase Plan 1 11 Directors' deferred compensation plan 110 110 Stock Compensation 3,471 1,957 Cancellation of common stock (247) — Other comprehensive income (loss) (858) 1,986 Rebalancing of ownership percent between parent and subsidiaries (2,002) 1,669 Balance at March 31 $ 1,216,530 $ 1,275,681 Any transactions resulting in the issuance of additional common and preferred stock of the General Partner result in a corresponding issuance by the Operating Partnership of an equivalent amount of common and preferred units to the General Partner. ATM PROGRAM On December 13, 2021, the Company entered into a distribution agreement (the “Distribution Agreement”) with J.P. Morgan Securities LLC, BofA Securities, Inc., BNY Mellon Capital Markets, LLC, Capital One Securities, Inc., Comerica Securities, Inc., Goldman Sachs & Co. LLC, R. Seelaus & Co., LLC and Samuel A. Ramirez & Company, Inc., as sales agents. Pursuant to the Distribution Agreement, the Company may issue and sell, from time to time, shares of common stock, par value $0.01 per share, having a combined aggregate offering price of up to $200 million. The Company will pay a commission that will not exceed, but may be lower than, 2% of the gross proceeds of all shares sold through the ATM Program. As of March 31, 2023, the Company had not sold any shares pursuant to the ATM Program. DIVIDEND REINVESTMENT AND STOCK PURCHASE PLAN The General Partner has a Dividend Reinvestment and Stock Purchase Plan (the “DRIP”) which commenced in March 1999 under which approximately 5.4 million shares of the General Partner’s common stock have been reserved for future issuance. The DRIP provides for automatic reinvestment of all or a portion of a participant’s dividends from the General Partner’s shares of common stock. The DRIP also permits participants to make optional cash investments up to $5,000 a month without restriction and, if the Company waives this limit, for additional amounts subject to certain restrictions and other conditions set forth in the DRIP prospectus filed as part of the Company’s effective registration statement on Form S-3 filed with the SEC for the approximately 5.4 million shares of the General Partner’s common stock reserved for issuance under the DRIP. INCENTIVE STOCK PLAN In May 2013, the General Partner established the 2013 Incentive Stock Plan (the “2013 Plan”) under which a total of 4,600,000 shares has been reserved for issuance. In June 2021, stockholders of the Company approved amendments to the 2013 Plan to increase the total shares reserved for issuance under the plan from 4,600,000 to 6,565,000 shares. Stock Options In addition to stock options issued in June 2021 under the 2013 Plan, in March 2021, the General Partner granted 950,000 stock options with an exercise price equal to the closing price of the Company’s common stock on the grant date of $15.79 per share to the Chief Executive Officer as an employment “inducement award” that is intended to comply with New York Stock Exchange Rule 303A.08. In April 2022, the General Partner granted 250,000 stock options with an exercise price equal to the closing price of the Company’s common stock on the grant date of $16.33 per share to the Chief Investment Officer as an employment “inducement award” that is intended to comply with New York Stock Exchange Rule 303A.08. There were no stock options that were exercised under any stock option plans for the three months ended March 31, 2023 and 2022, respectively. The Company has a policy of issuing new shares to satisfy stock option exercises. As of March 31, 2023 and December 31, 2022, the stock options outstanding had a weighted average remaining contractual life of approximately 4.3 and 4.6 years, respectively. The Company recognized stock options expense of $322 thousand and $253 thousand for the three months ended March 31, 2023 and 2022, respectively. Appreciation-Only LTIP Units In March 2019, the Company granted 625,000 Appreciation-Only LTIP Units (“AO LTIP Units”) which were a class of partnership interests in the Operating Partnership that were intended to qualify as “profits interests” for federal income tax purposes. The AO LTIP Units were cancelled and forfeited in March 2023 as they did not vest. The Company recognized AO LTIP unit expense of $124 thousand and $155 thousand for the three months ended March 31, 2023 and 2022. Time-based Restricted Stock Awards and Restricted Stock Units The Company has issued restricted stock units and common stock (“Restricted Stock Awards”) to officers, certain other employees and non-employee members of the Board of Directors of the General Partner, which allow the holders to each receive a certain amount of shares of the General Partner’s common stock generally over a one-year to three-year vesting period. On June 15, 2022, the Company issued Restricted Stock Awards to non-employee members of the Board of Directors of the General Partner which vest within one year, of which 49,784 unvested Restricted Stock Awards were outstanding at March 31, 2023. During the years ended December 31, 2021 and December 31, 2022 and the three months ended March 31, 2023, the Company granted restricted stock units to certain non-executive employees of the Company which will vest after three years, of which 309,192 were still outstanding and unvested as of March 31, 2023. Restricted Stock Awards allow holders to receive shares of the Company’s common stock upon vesting. Vesting of the Restricted Stock Awards issued is based on time and service. All currently outstanding and unvested Restricted Stock Awards provided to the officers, certain other employees, and members of the Board of Directors of the General Partner were issued under the 2013 Plan and as inducement awards. As of March 31, 2023, the Company had $5.3 million of total unrecognized compensation cost related to unvested Restricted Stock Awards granted under the Company’s stock compensation plans. That cost is expected to be recognized over a weighted average period of 1.8 years. Long-Term Incentive Plan Awards The Company has granted long-term incentive plans awards (“LTIP Awards”) to senior management of the Company, including the General Partner’s executive officers. LTIP Awards generally are granted in the form of restricted stock units (each, an “RSU” and collectively, the “RSU LTIP Awards”) and constitute awards under the 2013 Plan. Prior to 2021, LTIP Awards were in the form of LTIP Units. LTIP Awards are typically issued from the Company’s Outperformance Plan adopted by the General Partner’s Board of Directors. Each RSU entitles the holder to one share of the General Partner's common stock upon vesting. LTIP Awards are subject to forfeiture depending on the extent that awards vest. The number of market-based and performance-based LTIP Units that actually vest for each award recipient will be determined at the end of the related measurement period. In 2021, the Company has adopted an annual LTIP Award grant program in the form of RSUs. A portion of the RSUs are subject to time-based vesting conditions and will vest in three equal, annual installments over a three year period ending on the three year anniversary of the grant date. Currently, there are 777,685 awards outstanding and unvested. Another portion of the annual LTIP Awards have market-based vesting conditions, and recipients will only earn the full amount of the market-based RSUs if, over the three-year performance period, the General Partner achieves an absolute TSR target and if the General Partner’s relative TSR as compared to a group of peer REITs exceeds certain thresholds. The market-based award targets are determined annually by the compensation committee of the Board of Directors. Currently, there are 857,004 awards outstanding and unvested. In addition, the Company has granted RSUs subject to the achievement of adjusted funds from operations targets. The RSU LTIP Awards are designed to align the interests of senior management to relative and absolute performance of the Company over a three years performance period. Currently there are 764,976 awards outstanding and unvested. In April 2022, the General Partner granted approximately 60,000 RSUs subject to time-vesting conditions, vesting over three years, to three executive officers as “inducement awards” intended to comply with New York Stock Exchange Rule 303A.08. Prior to vesting, recipients of LTIP Units will generally be entitled to receive per unit distributions equal to one-tenth of the regular quarterly distributions payable on a common share but will not be entitled to receive any special distributions. Distributions with respect to the other nine-tenths of regular quarterly distributions payable on a common unit will accrue but shall only become payable upon vesting of the LTIP Unit. As of March 31, 2023, the Company had $14.7 million of total unrecognized compensation cost related to unvested LTIP awards granted under the Company’s stock compensation plans. That cost is expected to be recognized over a weighted average period of 2.0 years. Deferred Stock Compensation Plan For Directors The Amended and Restated Deferred Compensation Plan for Directors, which commenced January 1, 1999, allows non-employee directors of the Company to elect to defer up to 100 percent of their annual retainer fee into deferred stock units. The deferred stock units are convertible into an equal number of shares of common stock upon the directors’ termination of service from the Board of Directors or a change in control of the Company, as defined in the plan. Deferred stock units are credited to each director quarterly using the closing price of the Company’s common stock on the applicable dividend record date for the respective quarter. Each participating director’s account is also credited for an equivalent amount of deferred stock units based on the dividend rate for each quarter. During the three months ended March 31, 2023 and 2022, 7,571 and 6,183 deferred stock units were earned, respectively. As of March 31, 2023 and December 31, 2022, there were 73,071 and 66,196 deferred stock units outstanding, respectively. EARNINGS PER SHARE/UNIT Basic EPS or EPU excludes dilution and is computed by dividing net income available to common shareholders or unitholders by the weighted average number of shares or units outstanding for the period. Diluted EPS or EPU reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. In the calculation of basic and diluted EPS and EPU, a redemption value adjustment of redeemable noncontrolling interests attributable to common shareholders or unitholders is included in the calculation to arrive at the numerator of net income (loss) available to common shareholders or unitholders. The following information presents the Company’s results for the three months ended March 31, 2023 and 2022 in accordance with ASC 260, Earnings Per Share (dollars in thousands, except per share amounts) : Veris Residential, Inc.: Three Months Ended Computation of Basic EPS 2023 2022 Loss from continuing operations $ (19,394) $ (25,453) Add (deduct): Noncontrolling interests in consolidated joint ventures 587 974 Add (deduct): Noncontrolling interests in Operating Partnership 2,329 2,779 Add (deduct): Redeemable noncontrolling interests (6,366) (6,437) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to common shareholders (4,516) (2,942) Loss from continuing operations available to common shareholders $ (27,360) $ (31,079) Income from discontinued operations available to common shareholders 2,871 19,045 Net loss available to common shareholders for basic earnings per share (24,489) (12,034) Weighted average common shares 91,226 90,951 Basic EPS : Loss from continuing operations available to common shareholders $ (0.30) $ (0.34) Income from discontinued operations available to common shareholders 0.03 0.21 Net loss available to common shareholders $ (0.27) $ (0.13) Three Months Ended Computation of Diluted EPS 2023 2022 Net loss from continuing operations available to common shareholders $ (27,360) $ (31,079) Add (deduct): Noncontrolling interests in Operating Partnership (2,329) (2,779) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to the Operating Partnership unitholders (461) (291) Loss from continuing operations for diluted earnings per share (30,150) (34,149) Income from discontinued operations for diluted earnings per share 3,164 20,926 Net loss available for diluted earnings per share $ (26,986) $ (13,223) Weighted average common shares 100,526 99,934 Diluted EPS : Loss from continuing operations available to common shareholders $ (0.30) $ (0.34) Income from discontinued operations available to common shareholders 0.03 0.21 Loss available to common shareholders $ (0.27) $ (0.13) The following schedule reconciles the weighted average shares used in the basic EPS calculation to the shares used in the diluted EPS calculation (in thousands) : Three Months Ended 2023 2022 Basic EPS shares 91,226 90,951 Add: Operating Partnership – common and vested LTIP units 9,300 8,983 Diluted EPS Shares 100,526 99,934 Contingently issuable shares under Restricted Stock Awards were excluded from the denominator during all periods presented as such securities were anti-dilutive during the periods. Shares issuable under all outstanding stock options were excluded from the denominator during all periods presented as such securities were anti-dilutive during the periods. Also not included in the computations of diluted EPS were the unvested LTIP Units and unvested AO LTIP Units as such securities were anti-dilutive during all periods presented. Unvested LTIP Awards outstanding as of March 31, 2023 and 2022 were 1,662,578 and 2,218,081, respectively. Unvested restricted common stock outstanding as of March 31, 2023 and 2022 were 49,784 and 39,529 shares, respectively. Unvested AO LTIP Units outstanding as of March 31, 2022 were 625,000. No dividends were declared per common share for the three-month periods ended March 31, 2023 and 2022. Veris Residential, L.P.: Three Months Ended Computation of Basic EPU 2023 2022 Loss from continuing operations $ (19,394) $ (25,453) Add (deduct): Noncontrolling interests in consolidated joint ventures 587 974 Add (deduct): Redeemable noncontrolling interests (6,366) (6,437) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests (4,977) (3,233) Loss from continuing operations available to unitholders (30,150) (34,149) Income from discontinued operations available to unitholders 3,164 20,926 Net loss available to common unitholders for basic earnings per unit $ (26,986) $ (13,223) Weighted average common units 100,526 99,934 Basic EPU : Loss from continuing operations available to unitholders $ (0.30) $ (0.34) Income from discontinued operations available to unitholders 0.03 0.21 Net loss available to common unitholders for basic earnings per unit $ (0.27) $ (0.13) Three Months Ended Computation of Diluted EPU 2023 2022 Net loss from continuing operations available to common unitholders $ (30,150) $ (34,149) Income from discontinued operations for diluted earnings per unit 3,164 20,926 Net loss available to common unitholders for diluted earnings per unit $ (26,986) $ (13,223) Weighted average common unit 100,526 99,934 Diluted EPU : Loss from continuing operations available to common unitholders $ (0.30) $ (0.34) Income from discontinued operations available to common unitholders 0.03 0.21 Net loss available to common unitholders $ (0.27) $ (0.13) The following schedule reconciles the weighted average units used in the basic EPU calculation to the units used in the diluted EPU calculation (in thousands) : Three Months Ended 2023 2022 Basic EPU units 100,526 99,934 Diluted EPU Units 100,526 99,934 Contingently issuable shares under Restricted Stock Awards were excluded from the denominator during all periods presented as such securities were anti-dilutive during the periods. Shares issuable under all outstanding stock options were excluded from the denominator during all periods presented as such securities were anti-dilutive during the periods. Also not included in the computations of diluted EPU were the unvested LTIP Units and unvested AO LTIP Units as such securities were anti-dilutive during all periods presented. Unvested LTIP Awards outstanding as of March 31, 2023 and 2022 were 1,662,578 and 2,218,081, respectively. Unvested restricted common stock outstanding as of March 31, 2023 and 2022 were 49,784 and 39,529 shares, respectively. Unvested AO LTIP Units outstanding as of March 31, 2022 were 625,000. No distributions were declared per common unit for the three-month periods ended March 31, 2023 and 2022. |
NONCONTROLLING INTERESTS IN SUB
NONCONTROLLING INTERESTS IN SUBSIDIARIES | 3 Months Ended |
Mar. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
NONCONTROLLING INTERESTS IN SUBSIDIARIES | NONCONTROLLING INTERESTS IN SUBSIDIARIES Noncontrolling interests in subsidiaries in the accompanying consolidated financial statements relate to (i) common units (“Common Units”) and LTIP units in the Operating Partnership, held by parties other than the General Partner (“Limited Partners”), and (ii) interests in consolidated joint ventures for the portion of such ventures not owned by the Company. The following table reflects the activity of noncontrolling interests for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands): Three Months Ended 2023 2022 Opening Balance at January 1 $ 163,652 $ 167,436 Net income 3,743 4,565 Unit distributions — 218 Redeemable noncontrolling interests (6,827) (6,728) Change in noncontrolling interests in consolidated joint ventures (562) 11 Redemption of common units for common stock (4,859) — Redemption of common units (16) (1,442) Stock compensation 393 2,533 Other comprehensive (loss) income (87) 196 Rebalancing of ownership percentage between parent and subsidiaries 2,002 (1,669) Balance at March 31 $ 157,439 $ 165,120 Pursuant to ASC 810, Consolidation, on the accounting and reporting for noncontrolling interests and changes in ownership interests of a subsidiary, changes in a parent’s ownership interest (and transactions with noncontrolling interests unitholders in the subsidiary) while the parent retains its controlling interest in its subsidiary should be accounted for as equity transactions. The carrying value of the noncontrolling interests shall be adjusted to reflect the change in its ownership interest in the subsidiary, with the offset to equity attributable to the parent. Accordingly, as a result of equity transactions which caused changes in ownership percentages between Veris Residential, Inc. stockholders’ equity and noncontrolling interests in the Operating Partnership that occurred during the three months ended March 31, 2023, the Company has increased noncontrolling interests in the Operating Partnership and decreased additional paid-in capital in Veris Residential, Inc. stockholders’ equity by approximately $2.0 million as of March 31, 2023. NONCONTROLLING INTERESTS IN OPERATING PARTNERSHIP (applicable only to General Partner) Common Units During the three months ended March 31, 2023, the Company redeemed for cash 1,168 common units at their fair value of $16 thousand. Certain individuals and entities own common units in the Operating Partnership. A common unit and a share of Common Stock of the General Partner have substantially the same economic characteristics in as much as they effectively share equally in the net income or loss of the Operating Partnership. Common unitholders have the right to redeem their common units, subject to certain restrictions. The redemption is required to be satisfied in shares of Common Stock, cash, or a combination thereof, calculated as follows: one share of the General Partner’s Common Stock, or cash equal to the fair market value of a share of the General Partner’s Common Stock at the time of redemption, for each common unit. The General Partner, in its sole discretion, determines the form of redemption of common units (i.e., whether a common unitholder receives Common Stock, cash, or any combination thereof). If the General Partner elects to satisfy the redemption with shares of Common Stock as opposed to cash, it is obligated to issue shares of its Common Stock to the redeeming unitholder. Regardless of the rights described above, the common unitholders may not put their units for cash to the General Partner or the Operating Partnership under any circumstances. When a unitholder redeems a common unit, noncontrolling interests in the Operating Partnership is reduced and Veris Residential, Inc. Stockholders’ equity is increased. LTIP Units From time to time, the Company has granted LTIP awards to executive officers of the Company. All of the LTIP Awards granted through January 2021 are in the form of units in the Operating Partnership. See Note 15: Veris Residential, Inc. Stockholders’ Equity and Veris Residential, L.P.’s Partners’ Capital – Long-Term Incentive Plan Awards. LTIP Units are designed to qualify as “profits interests” in the Operating Partnership for federal income tax purposes. As a general matter, the profits interests characteristics of the LTIP Units mean that initially they will not be economically equivalent in value to a common unit. If and when events specified by applicable tax regulations occur, LTIP Units can over time increase in value up to the point where they are equivalent to common units on a one-for-one basis. After LTIP Units are fully vested, and to the extent the special tax rules applicable to profits interests have allowed them to become equivalent in value to common units, LTIP Units may be converted on a one-for-one basis into common units. Common units in turn have a one-for-one relationship in value with shares of the General Partner’s common stock, and are redeemable on a one-for-one basis for cash or, at the election of the Company, shares of the General Partner’s common stock. AO LTIP Units (Appreciation-Only LTIP Units) On March 13, 2019, the Company granted 625,000 AO LTIP Units pursuant to the AO Long Term Incentive Plan Award Agreement. See Note 15: Veris Residential, Inc. Stockholders’ Equity and Veris Residential, L.P.’s Partners’ Capital – Incentive Stock Plan (Appreciation-Only LTIP Units). AO LTIP Units were a class of partnership interests in the Operating Partnership that were intended to qualify as “profit interests” for federal income tax purposes and generally only allowed the recipient to realize value to the extent the fair market value of a share of Common Stock exceeds the threshold level set at the time the AO LTIP Units were granted, subject to any vesting conditions applicable to the award. The value of vested AO LTIP Units is realized through conversion of the AO LTIP Units into Common Units. The number of Common Units into which vested AO LTIP Units may be converted is determined based on the quotient of (i) the excess of the fair market value of the Common Stock on the conversion date over the threshold level designated at the time the AO LTIP Unit was granted, divided by (ii) the fair market value of the Common Stock on the conversion date. AO LTIP Units, once vested, had a finite term during which they may be converted into Common Units. The AO LTIP Units were cancelled and forfeited in March 2023 as they did not vest. Noncontrolling Interests Ownership in Operating Partnership As of March 31, 2023 and December 31, 2022, the noncontrolling interests common unitholders owned 9.0 percent and 9.3 percent of the Operating Partnership, respectively. NONCONTROLLING INTERESTS IN CONSOLIDATED JOINT VENTURES (applicable to General Partner and Operating Partnership) The Company consolidates certain joint ventures in which it has ownership interests. Various entities and/or individuals hold noncontrolling interests in these ventures. PARTICIPATION RIGHTS The Company’s interests in a potential future development provides for the initial distributions of net cash flow solely to the Company, and thereafter, other parties have participation rights in 50 percent of the excess net cash flow remaining after the distribution to the Company of the aggregate amount equal to the sum of: (a) the Company’s capital contributions, plus (b) an IRR of 10 percent per annum. |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING The Company operates in two business segments: (i) multifamily real estate and services and (ii) commercial and other real estate. The Company provides property management, leasing, acquisition, development, construction and tenant-related services for its commercial and other real estate and multifamily real estate portfolio. The Company’s multifamily services business also provides similar services for third parties. The Company had no revenues from foreign countries recorded for the three months ended March 31, 2023 and 2022. The Company had no long lived assets in foreign locations as of March 31, 2023 and December 31, 2022. The accounting policies of the segments are the same as those described in Note 2: Significant Accounting Policies, excluding depreciation and amortization. The Company evaluates performance based upon net operating income from the combined properties and operations in each of its real estate segments (commercial and other real estate and multifamily real estate and services). All properties classified as discontinued operations have been excluded. Selected results of operations for the three months ended March 31, 2023 and 2022 and selected asset information as of March 31, 2023 and December 31, 2022 regarding the Company’s operating segments are as follows. Amounts for prior periods have been restated to conform to the current period segment reporting presentation (dollars in thousands) : Commercial Multifamily Corporate Total Total revenues: Three months ended: March 31, 2023 $ 3,948 $ 62,977 $ — $ 66,925 March 31, 2022 154 46,517 (502) 46,169 Total operating and interest expenses (a): Three months ended: March 31, 2023 $ 5,005 $ 27,053 $ 28,897 $ 60,955 March 31, 2022 (1,980) 24,786 29,182 51,988 Equity in earnings (loss) of unconsolidated joint ventures: Three months ended: March 31, 2023 $ — $ (68) $ — $ (68) March 31, 2022 — (487) — (487) Net operating income (loss) (b): Three months ended: March 31, 2023 $ (1,057) $ 35,856 $ (28,897) $ 5,902 March 31, 2022 2,134 21,244 (29,684) (6,306) Total assets: March 31, 2023 $ 586,320 $ 3,195,735 $ 18,601 $ 3,800,656 December 31, 2022 597,459 3,302,188 21,121 3,920,768 Total long-lived assets (c): March 31, 2023 $ 542,737 $ 2,985,057 $ (1,428) $ 3,526,366 December 31, 2022 547,923 3,101,286 (1,330) 3,647,879 Total investments in unconsolidated joint ventures: March 31, 2023 $ — 124,218 $ — $ 124,218 December 31, 2022 — 126,158 — 126,158 (a) Total operating and interest expenses represent the sum of: real estate taxes; utilities; operating services; real estate services expenses; general and administrative, acquisition related costs and interest expense (net of interest income). All interest expense, net of interest and other investment income (including for property-level mortgages), is excluded from segment amounts and classified in Corporate & Other for all periods. (b) Net operating income represents total revenues less total operating and interest expenses (as defined and classified in Note “a”), plus equity in earnings (loss) of unconsolidated joint ventures, for the period. (c) Long-lived assets are comprised of net investment in rental property and unbilled rents receivable. (d) Segment assets and operations were owned through a consolidated and variable interest entity commencing in February 2018. (e) Corporate & Other represents all corporate-level items (including interest and other investment income, interest expense, non-property general and administrative expense), as well as intercompany eliminations necessary to reconcile to consolidated Company totals. Veris Residential, Inc. The following schedule reconciles net operating income to net income (loss) available to common shareholders (dollars in thousands) : Three Months Ended 2023 2022 Net operating income (loss) $ 5,902 $ (6,306) Add (deduct): Depreciation and amortization (23,876) (18,838) Land and other impairments, net (3,396) (2,932) (Loss) Gain on disposition of developable land (22) 2,623 Other income, net 1,998 — Loss from continuing operations (19,394) (25,453) Discontinued operations Income from discontinued operations 2,384 19,090 Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net 780 1,836 Total discontinued operations, net 3,164 20,926 Net loss (16,230) (4,527) Noncontrolling interests in consolidated joint ventures 587 974 Noncontrolling interests in Operating Partnership 2,329 2,779 Noncontrolling interest in discontinued operations (293) (1,881) Redeemable noncontrolling interests (6,366) (6,437) Net loss available to common shareholders $ (19,973) $ (9,092) Veris Residential, L.P. The following schedule reconciles net operating income to net income (loss) available to common unitholders (dollars in thousands) : Three Months Ended 2023 2022 Net operating income (loss) $ 5,902 $ (6,306) Add (deduct): Depreciation and amortization (23,876) (18,838) Land and other impairments, net (3,396) (2,932) Gain on disposition of developable land (22) 2,623 Other income, net 1,998 — Loss from continuing operations (19,394) (25,453) Discontinued operations Income from discontinued operations 2,384 19,090 Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net 780 1,836 Total discontinued operations, net 3,164 20,926 Net loss (16,230) (4,527) Noncontrolling interests in consolidated joint ventures 587 974 Redeemable noncontrolling interests (6,366) (6,437) Net loss available to common unitholders $ (22,009) $ (9,990) |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policy) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Rental Property | Rental Property Rental properties are reported at cost less accumulated depreciation and amortization. Costs directly related to the acquisition, development and construction of rental properties are capitalized. The Company adopted Financial Accounting Standards Board (“FASB”) guidance Accounting Standards Update (“ASU”) 2017-01 on January 1, 2017, which revises the definition of a business and is expected to result in more transactions to be accounted for as asset acquisitions and significantly limit transactions that would be accounted for as business combinations. Where an acquisition has been determined to be an asset acquisition, acquisition-related costs are capitalized. Capitalized development and construction costs include pre-construction costs essential to the development of the property, development and construction costs, interest, property taxes, insurance, salaries and other project costs incurred during the period of development. Capitalized development and construction salaries and related costs approximated $0.1 million and $0.4 million for the three months ended March 31, 2023 and 2022, respectively. Ordinary repairs and maintenance are expensed as incurred; major replacements and improvements, which enhance or extend the life of the asset, are capitalized and depreciated over their estimated useful lives. Fully-depreciated assets are removed from the accounts. |
Dividends and Distributions Payable | Dividends and Distributions Payable The Company has suspended its common dividends since September 2020, which was initially a strategic decision by the Board of Directors to allow for greater financial flexibility during the COVID-19 pandemic and to retain incremental capital to support the Company's value-enhancing investments across the portfolio and was based upon its estimates of taxable income. Based upon its current estimates of taxable income and its expectation of disposition activity, the Board has made the strategic decision to continue to suspend its dividend to support the transformation of the Company to a pure-play multifamily REIT and will re-evaluate this decision when such transition is substantially complete. The declaration and payment of dividends and distributions will continue to be determined by the Board of Directors of the General Partner in light of conditions then existing, including the Company’s earnings, cash flows, financial condition, capital requirements, debt maturities, the availability of debt and equity capital, applicable REIT and legal restrictions and the general overall economic conditions and other factors. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule Of Rental Property Improvements | Included in net investment in rental property as of March 31, 2023 and December 31, 2022 is real estate and building and tenant improvements not in service, as follows (dollars in thousands) : March 31, December 31, Land held for development (including pre-development costs, if any) (a)(b) $ 254,460 $ 264,934 Development and construction in progress, including land (c)(d) 203,095 205,173 Total $ 457,555 $ 470,107 (a) Includes predevelopment and infrastructure costs included in buildings and improvements of $93.9 million and $97.7 million as of March 31, 2023 and December 31, 2022, respectively. (b) Includes $64.6 million of land and $7.5 million of building and improvements classified as to assets held for sale at March 31, 2023. (c) Includes land of $13.6 million as of March 31, 2023 and December 31, 2022. (d) Includes $2.2 million of land and $128.1 million of building and improvements classified as to assets held for sale at March 31, 2023. |
RECENT TRANSACTIONS (Tables)
RECENT TRANSACTIONS (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Recent Transactions [Abstract] | |
Schedule Of Assets Held For Sale | The following table summarizes the real estate held for sale, net, and other assets and liabilities (dollars in thousands) as of March 31, 2023: Office Other Assets Total Land $ 16,232 $ 59,463 $ 75,695 Building & Other 553,740 8,204 561,944 Less: Accumulated depreciation (235,700) — (235,700) Less: Cumulative unrealized losses on property held for sale (4,440) — (4,440) Real estate held for sale, net $ 329,832 $ 67,667 $ 397,499 Other assets and liabilities Office Other Assets Total Unbilled rents receivable, net (a) $ 32,491 $ — $ 32,491 Deferred charges, net (a) 27,900 — 27,900 Accounts payable, accrued exp & other liability (7,786) (41) (7,827) Unearned rents/deferred rental income (a) (6,624) — (6,624) (a) Expected to be removed with the completion of the sales. |
Schedule Of Real Estate Properties Sold And Disposed | The Company disposed of the following rental property during the three months ended March 31, 2023 (dollars in thousands) : Disposition Property Location # of Rentable Property Net Net Discontinued 02/10/23 XS Hotels Weehawken, New Jersey 2 — Hotel $ 93,358 (a) $ 92,578 $ 780 Totals 2 — $ 93,358 $ 92,578 $ 780 (a) Included the proceeds of $84 million used to repay the mortgage loan encumbering the property at closing. |
Schedule Of Disposed Developable Land | The Company disposed of the following developable land holding during the three months ended March 31, 2023 (dollars in thousands): Disposition Property Location Net Net Realized 03/17/23 Columbia-Honeywell Morris Township, New Jersey $ 8,214 (a) $ 8,236 $ (22) Totals $ 8,214 $ 8,236 $ (22) |
INVESTMENTS IN UNCONSOLIDATED_2
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Summary Of Unconsolidated Joint Ventures | The following is a summary of the Company's unconsolidated joint ventures as of March 31, 2023 and December 31, 2022 (dollars in thousands) : Property Debt Entity / Property Name Number of Company's Carrying Value As of March 31, 2023 Interest March 31, December 31, Balance Maturity Multifamily Metropolitan and Lofts at 189 units 25.00 % $ 1,364 $ 1,747 $ 60,767 (d) (d) RiverTrace at Port Imperial 316 units 22.50 % 4,954 5,114 82,000 11/10/26 3.21 % Capstone at Port Imperial 360 units 40.00 % 22,803 23,234 135,000 12/22/24 SOFR+ 1.2 % Riverpark at Harrison 141 units 45.00 % — — 30,192 07/01/35 3.19 % Station House 378 units 50.00 % 32,275 32,372 90,942 07/01/33 4.82 % Urby at Harborside (e) 762 units 85.00 % 60,725 61,594 187,807 08/01/29 5.197 % PI North - Land (b) (f) 829 potential units 20.00 % 1,678 1,678 — — — Other (g) 419 419 — — — Totals: $ 124,218 $ 126,158 $ 586,708 (a) Company's effective ownership % represents the Company's entitlement to residual distributions after payments of priority returns, where applicable. (b) The Company's ownership interests in this venture are subordinate to its partner's preferred capital balance and the Company is not expected to meaningfully participate in the venture's cash flows in the near term. (c) Through the joint venture, the Company also owns a 25 percent interest in a 50,973 square feet retail building ("Shops at 40 Park") and a 50 percent interest in a 59-unit, five story multifamily rental property ("Lofts at 40 Park"). (d) Property debt balance consists of: (i) an interest only loan, collateralized by the Metropolitan at 40 Park, with a balance of $36,500, bears interest at LIBOR +2.85 percent, matures in October 2023; (ii) an amortizable loan, collateralized by the Shops at 40 Park, with a balance of $6,067, bears interest at LIBOR +1.50 percent and matured in October 2022. The loan was extended on October 11, 2022, for three months and matured in January 2023 with a fixed rate of 5.125%. On January 10, 2023, the loan was modified bearing interest at SOFR +2% and matures in January 2025; (iii) an interest only loan, collateralized by the Lofts at 40 Park, with a balance of $18,200, which bears interest at LIBOR +1.50 percent and matured in January 2023. On January 10, 2023, the loan was extended for three months and prior to its maturity date, it was extended an additional three months to July 1, 2023. (e) The Company owns an 85 percent interest with shared control over major decisions such as, approval of budgets, property financings and leasing guidelines. The Company had guaranteed $22 million of the principal outstanding debt. On February 1, 2023, the lender has released the guarantor of all obligations under the Guaranty Agreement. (f) The Company owns a 20 percent residual interest in undeveloped land parcels 6 and I that can accommodate the development of 829 multifamily units. |
Summary Of Company's Equity In Earnings (Loss) Of Unconsolidated Joint Ventures | The following is a summary of the Company’s equity in earnings (loss) of unconsolidated joint ventures for the three months ended March 31, 2023 and 2022 (dollars in thousands) : Three Months Ended Entity / Property Name 2023 2022 Multifamily Metropolitan and Lofts at 40 Park $ (282) $ (139) RiverTrace at Port Imperial 137 67 Capstone at Port Imperial (187) 26 Riverpark at Harrison 337 — Station House (97) (358) Urby at Harborside 66 (26) PI North - Land (40) (70) Liberty Landing (2) — Other Other — 13 Company's equity in earnings (loss) of unconsolidated joint ventures (a) $ (68) $ (487) (a) Amounts are net of amortization of basis differences of $154 and $154 for the three months ended March 31, 2023 and 2022, respectively. |
Schedule of Equity Method Investment, Summarized Financial Information, Balance Sheet | The following is a summary of the combined financial position of the unconsolidated joint ventures in which the Company had investment interests as of March 31, 2023 and December 31, 2022 (dollars in thousands ): March 31, December 31, Assets: Rental Property, net $ 756,963 $ 745,210 Other assets 37,800 39,241 Total assets $ 794,763 $ 784,451 Liabilities and partners'/members' capital: Mortgages and loans payable $ 586,708 $ 587,913 Other liabilities 16,217 15,545 Partners'/members' capital 191,838 180,993 Total liabilities and partners'/members' capital $ 794,763 $ 784,451 |
Schedule of Equity Method Investment, Summarized Financial Information, Income Statement | The following is a summary of the combined results from operations of the unconsolidated joint ventures for the period in which the Company had investment interests during the three months ended March 31, 2023 and 2022, respectively (dollars in thousands): Three Months Ended 2023 2022 Total revenues $ 21,825 $ 36,127 Operating and other expenses (8,444) (25,499) Depreciation and amortization (5,565) (6,560) Interest expense (7,713) (6,776) Net income (loss) $ 103 $ (2,708) |
DEFERRED CHARGES AND OTHER AS_2
DEFERRED CHARGES AND OTHER ASSETS, NET (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Other Assets [Abstract] | |
Schedule Of Deferred Charges, Goodwill And Other Assets | (dollars in thousands) March 31, December 31, Deferred leasing costs $ 54,674 $ 59,651 Deferred financing costs - revolving credit facility (a) 6,684 6,684 61,358 66,335 Accumulated amortization (26,792) (30,471) Deferred charges, net 34,566 35,864 Notes receivable (b) 561 1,309 In-place lease values, related intangibles and other assets, net (c) 11,462 12,298 Right of use assets (c) 2,896 2,896 Prepaid expenses and other assets, net 38,907 43,795 Total deferred charges and other assets, net $ 88,392 $ 96,162 (a) Deferred financing costs related to all other debt liabilities (other than for the revolving credit facility) are netted against those debt liabilities for all periods presented. See Note 2 to the Company's 2022 10-K: Significant Accounting Policies – Deferred Financing Costs. (b) As of March 31, 2023 and December 31, 2022, respectively, includes an interest-free note receivable with a net present value of $42 thousand and $0.2 million which matures in April 2023. The Company believes this balance is fully collectible. Also includes $0.4 million, net of a loan loss allowance of $21 thousand, as of March 31, 2023 and $1.0 million, net of a loan loss allowance of $26.0 thousand, as of December 31, 2022, of seller-financing provided by the Company to the buyers of the Metropark portfolio. The receivable is secured against available cash of one of the Metropark properties disposed of and earned an annual return of four percent for 90 days after the disposition, with the interest rate increased to 15 percent through November 18, 2021 and to 10 percent thereafter, pursuant to an amended operating agreement. (c) This amount has a corresponding liability of $3.2 million as of both March 31, 2023 and December 31, 2022, which is included in Accounts payable, accrued expense and other liabilities. See Note 12: Commitments and Contingencies – Ground Lease agreements for further details. |
Schedule Of Fair Value Of The Derivative Financial Instruments | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of March 31, 2023 and December 31, 2022 (dollars in thousands) : Asset Derivatives designated Fair Value Balance sheet location March 31, December 31, Interest rate caps $ 8,122 $ 9,808 Deferred charges and other assets |
Schedule Of Cash Flow Hedging, Derivative Financial Instruments On The Income Statement | The table below presents the effect of the Company’s derivative financial instruments on the Consolidated Statements of Operations for the three months ending March 31, 2023 and 2022 (dollars in thousands) : Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income Total Amount of Interest Expense presented in the consolidated statements of operations Three months ended March 31, 2023 2022 2023 2022 2023 2022 Interest Rate Caps $ (524) $ 2,182 Interest expense $ 421 $ 1 $ 22,014 $ 11,606 |
RESTRICTED CASH (Tables)
RESTRICTED CASH (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Restricted Cash and Investments [Abstract] | |
Schedule Of Restricted Cash | Restricted cash generally includes tenant and resident security deposits for certain of the Company’s properties, and escrow and reserve funds for debt service, real estate taxes, property insurance, capital improvements, tenant improvements and leasing costs established pursuant to certain mortgage financing arrangements, and is comprised of the following (dollars in thousands) : March 31, December 31, Security deposits $ 9,512 $ 9,175 Escrow and other reserve funds 10,130 11,692 Total restricted cash $ 19,642 $ 20,867 |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary Of Income From Discontinued Operations And Related Realized And Unrealized Gains (Losses) (Details) | The following table summarizes income from discontinued operations and the related realized gains (losses) and unrealized losses on disposition of rental property and impairments, net, for the three months ended March 31, 2023 and 2022 (dollars in thousands): Three Months Ended March 31, 2023 2022 Total revenues $ 16,682 $ 52,929 Operating and other expenses (8,598) (22,744) Depreciation and amortization (4,878) (7,676) Interest expense (822) (3,419) Income from discontinued operations 2,384 19,090 Realized gains on disposition of rental property 780 1,836 Realized gains, net 780 1,836 Total discontinued operations, net $ 3,164 $ 20,926 |
MORTGAGES, LOANS PAYABLE AND _2
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Summary Of Mortgages, Loans Payable And Other Obligations | A summary of the Company’s mortgages, loans payable and other obligations as of March 31, 2023 and December 31, 2022 is as follows (dollars in thousands) : Property/Project Name Lender Effective Rate (a) March 31, December 31, Maturity Port Imperial 4/5 Hotel (b) Fifth Third Bank LIBOR+ 3.40 % $ — $ 84,000 — Portside at Pier One CBRE Capital Markets/FreddieMac 3.57 % 58,998 58,998 08/01/23 Signature Place Nationwide Life Insurance Company 3.74 % 43,000 43,000 08/01/24 Liberty Towers American General Life Insurance Company 3.37 % 265,000 265,000 10/01/24 Haus25 (c) QuadReal Finance LIBOR+ 2.70 % 297,324 297,324 12/01/24 Portside 5/6 (d) New York Life Insurance Company 4.56 % 97,000 97,000 03/10/26 BLVD 425 New York Life Insurance Company 4.17 % 131,000 131,000 08/10/26 BLVD 401 New York Life Insurance Company 4.29 % 117,000 117,000 08/10/26 The Upton (e) Bank of New York Mellon LIBOR+ 1.58 % 75,000 75,000 10/27/26 145 Front at City Square (f) MUFG Union Bank SOFR+ 1.71 % 63,000 63,000 12/10/26 Riverhouse 9 at Port Imperial (g) JP Morgan SOFR+ 1.41 % 110,000 110,000 06/21/27 Quarry Place at Tuckahoe Natixis Real Estate Capital LLC 4.48 % 41,000 41,000 08/05/27 BLVD 475 N/S The Northwestern Mutual Life Insurance Co. 2.91 % 165,000 165,000 11/10/27 Riverhouse 11 at Port Imperial The Northwestern Mutual Life Insurance Co. 4.52 % 100,000 100,000 01/10/29 Soho Lofts (h) New York Community Bank 3.77 % 160,000 160,000 07/01/29 Port Imperial South 4/5 Garage American General Life & A/G PC 4.85 % 32,038 32,166 12/01/29 Emery at Overlook Ridge New York Community Bank 3.21 % 72,000 72,000 01/01/31 Principal balance outstanding 1,827,360 1,911,488 Unamortized deferred financing costs (6,862) (7,511) Total mortgages, loans payable and other obligations, net $ 1,820,498 $ 1,903,977 (a) Reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to-market adjustment of acquired debt and other transaction costs, as applicable. (b) The loan was paid off on disposition of the hotels on February 10, 2023. (c) This construction loan has a LIBOR floor of 2.0 percent, has a maximum borrowing capacity of $300 million and provides, subject to certain conditions, a one year extension option with a fee of 25 basis points. The Company entered into an interest-rate cap agreement for the mortgage loan. (d) The Company has guaranteed 10 percent of the outstanding principal, subject to certain conditions. (e) On October 27, 2021, the Company obtained a $75 million mortgage loan and entered into an interest-rate cap agreement for the mortgage loan. (f) On January 12, 2023, the Company entered into an interest-rate cap agreement for the mortgage loan. (g) On June 21, 2022, the Company obtained a $110 million mortgage loan and entered into an interest-rate cap agreement for the mortgage loan. |
Summary Of Indebtedness | Summary of Indebtedness (dollars in thousands) March 31, December 31, Balance Weighted Average Balance Weighted Average Interest Rate Fixed Rate & Hedged Debt (a) $ 1,820,498 4.32 % $ 1,757,308 4.27 % Revolving Credit Facility & Other Variable Rate Debt — — % 146,669 6.86 % Totals/Weighted Average: $ 1,820,498 4.32 % $ 1,903,977 4.47 % (a) As of March 31, 2023 and December 31, 2022, includes debt with interest rate caps outstanding with a notional amount of $548 million and $485 million. |
DISCLOSURE OF FAIR VALUE OF A_2
DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule Of Valuation Techniques And Significant Unobservable Assumptions | As of March 31, 2023, assumptions that were utilized in the fair value calculation included: Description Primary Valuation Unobservable Location Range of Land holdings held for sale on which the Company recognized impairment losses Sale prices per purchase and sale agreements Market rate per unit Waterfront $76,000 - $78,000 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Tax Abatement Agreements | Pursuant to agreements with certain municipalities, the Company is required to make payments in lieu of property taxes (“PILOT”) on certain of its properties and has tax abatement agreements on other properties, as follows: PILOT Payments Property Name Location Asset Type PILOT Three Months Ended 2023 2022 (Dollars in Thousands) 111 River Street (a) Hoboken, NJ Office 4/2022 $ — $ 85 Harborside Plaza 4A (b) Jersey City, NJ Office 2/2022 — 218 Harborside Plaza 5 (c) Jersey City, NJ Office 6/2022 — 1,109 BLVD 401 (Marbella 2) (d) Jersey City, NJ Multifamily 4/2026 403 359 RiverHouse 11 at Port Imperial (e) Weehawken, NJ Multifamily 7/2033 374 350 Port Imperial 4/5 Hotel (f) Weehawken, NJ Hotel 12/2033 224 733 RiverHouse 9 at Port Imperial (g) Weehawken, NJ Multifamily 6/2046 382 322 Haus25 (h) Jersey City, NJ Mixed-Use 3/2047 574 — The James (i) Park Ridge, NJ Multifamily 6/2051 143 — Total Pilot taxes $ 2,100 $ 3,176 (a) The property was disposed of in the first quarter of 2022. (b) The annual PILOT is equal to two percent of Total Project Costs, as defined. The total Project Costs are $49.5 million. (c) The annual PILOT is equal to two percent of Total Project Costs, as defined. The total Project Costs are $170.9 million. (d) The annual PILOT is equal to ten percent of Gross Revenues for years 1-4, 12 percent for years 5-8 and 14 percent for years 9-10, as defined. (e) The annual PILOT is equal to 12 percent of Gross Revenues for years 1-5, 13 percent for years 6-10 and 14 percent for years 11-15, as defined. (f) The annual PILOT is equal to two percent of Total Project Costs, as defined. The property was disposed of during the first quarter of 2023. (g) The annual PILOT is equal to 11 percent of Gross Revenues for years 1-10, 12.5 percent for years 11-18 and 14 percent for years 19-25, as defined. (h) For a term of 25 years following substantial completion, which occurred in April 2022. The annual PILOT is equal to seven percent of Gross Revenues, as defined. |
Future Minimum Rental Payments Of Ground Leases | Future minimum rental payments under the terms of all non-cancelable ground leases under which the Company is the lessee, as of March 31, 2023 and December 31, 2022, are as follows (dollars in thousands) : Year As of March 31, 2023 Amount April 1 through December 31, 2023 $ 144 2024 192 2025 199 2026 199 2027 200 2028 through 2101 31,664 Total lease payments 32,598 Less: imputed interest (29,357) Total $ 3,241 Year As of December 31, 2022 Amount 2023 $ 192 2024 192 2025 199 2026 199 2027 200 2028 through 2101 31,664 Total lease payments 32,646 Less: imputed interest (29,418) Total $ 3,228 |
TENANT LEASES (Tables)
TENANT LEASES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Future Minimum Rentals To Be Received Under Non-Cancelable Operating Leases | Future minimum rentals to be received under non-cancelable commercial operating leases (excluding properties classified as discontinued operations) at March 31, 2023 and December 31, 2022 are as follows (dollars in thousands) : Year As of March 31, 2023 Amount April 1 through December 31, 2023 $ 10,818 2024 13,904 2025 12,737 2026 10,606 2027 7,531 2028 and thereafter 42,794 Total $ 98,390 Year As of December 31, 2022 Amount 2023 $ 14,983 2024 13,733 2025 12,389 2026 10,251 2027 7,169 2028 and thereafter 42,188 Total $ 100,713 |
REDEEMABLE NONCONTROLLING INT_2
REDEEMABLE NONCONTROLLING INTERESTS (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Temporary Equity Disclosure [Abstract] | |
Schedule Of Changes In The Value Of The Redeemable Noncontrolling Interests | The following tables set forth the changes in Redeemable noncontrolling interests for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands) : Series A and Rockpoint Interests in VRT Total Balance at January 1, 2023 $ 40,231 $ 475,000 $ 515,231 Net 40,231 475,000 515,231 Income Attributed to Noncontrolling Interests 350 6,016 6,366 Distributions (350) (6,016) (6,366) Redemption Value Adjustment — 4,977 4,977 Balance at March 31, 2023 $ 40,231 $ 479,977 $ 520,208 Series A and Rockpoint Total Balance at January 1, 2022 $ 52,324 $ 468,989 $ 521,313 Redemption/Payout (12,000) — (12,000) Net 40,324 468,989 509,313 Income Attributed to Noncontrolling Interests 421 6,016 6,437 Distributions (421) (6,016) (6,437) Redemption Value Adjustment (22) 3,221 3,199 Balance at March 31, 2022 $ 40,302 $ 472,210 $ 512,512 |
VERIS RESIDENTIAL, INC. STOCK_2
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule Of General Partner Capital | The following table reflects the activity of the General Partner capital for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands) : Three Months Ended 2023 2022 Opening Balance $ 1,235,685 $ 1,281,982 Net loss available to common shareholders (19,973) (9,092) Redeemable noncontrolling interests (4,516) (2,942) Redemption of common units for common stock 4,859 — Shares issued under Dividend Reinvestment and Stock Purchase Plan 1 11 Directors' deferred compensation plan 110 110 Stock Compensation 3,471 1,957 Cancellation of common stock (247) — Other comprehensive income (loss) (858) 1,986 Rebalancing of ownership percent between parent and subsidiaries (2,002) 1,669 Balance at March 31 $ 1,216,530 $ 1,275,681 |
Schedule Of Reconciliation Of Shares Used In Basic EPS Calculation To Shares Used In Diluted EPS Calculation | The following information presents the Company’s results for the three months ended March 31, 2023 and 2022 in accordance with ASC 260, Earnings Per Share (dollars in thousands, except per share amounts) : Veris Residential, Inc.: Three Months Ended Computation of Basic EPS 2023 2022 Loss from continuing operations $ (19,394) $ (25,453) Add (deduct): Noncontrolling interests in consolidated joint ventures 587 974 Add (deduct): Noncontrolling interests in Operating Partnership 2,329 2,779 Add (deduct): Redeemable noncontrolling interests (6,366) (6,437) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to common shareholders (4,516) (2,942) Loss from continuing operations available to common shareholders $ (27,360) $ (31,079) Income from discontinued operations available to common shareholders 2,871 19,045 Net loss available to common shareholders for basic earnings per share (24,489) (12,034) Weighted average common shares 91,226 90,951 Basic EPS : Loss from continuing operations available to common shareholders $ (0.30) $ (0.34) Income from discontinued operations available to common shareholders 0.03 0.21 Net loss available to common shareholders $ (0.27) $ (0.13) Three Months Ended Computation of Diluted EPS 2023 2022 Net loss from continuing operations available to common shareholders $ (27,360) $ (31,079) Add (deduct): Noncontrolling interests in Operating Partnership (2,329) (2,779) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to the Operating Partnership unitholders (461) (291) Loss from continuing operations for diluted earnings per share (30,150) (34,149) Income from discontinued operations for diluted earnings per share 3,164 20,926 Net loss available for diluted earnings per share $ (26,986) $ (13,223) Weighted average common shares 100,526 99,934 Diluted EPS : Loss from continuing operations available to common shareholders $ (0.30) $ (0.34) Income from discontinued operations available to common shareholders 0.03 0.21 Loss available to common shareholders $ (0.27) $ (0.13) The following schedule reconciles the weighted average shares used in the basic EPS calculation to the shares used in the diluted EPS calculation (in thousands) : Three Months Ended 2023 2022 Basic EPS shares 91,226 90,951 Add: Operating Partnership – common and vested LTIP units 9,300 8,983 Diluted EPS Shares 100,526 99,934 Veris Residential, L.P.: Three Months Ended Computation of Basic EPU 2023 2022 Loss from continuing operations $ (19,394) $ (25,453) Add (deduct): Noncontrolling interests in consolidated joint ventures 587 974 Add (deduct): Redeemable noncontrolling interests (6,366) (6,437) Add (deduct): Redemption value adjustment of redeemable noncontrolling interests (4,977) (3,233) Loss from continuing operations available to unitholders (30,150) (34,149) Income from discontinued operations available to unitholders 3,164 20,926 Net loss available to common unitholders for basic earnings per unit $ (26,986) $ (13,223) Weighted average common units 100,526 99,934 Basic EPU : Loss from continuing operations available to unitholders $ (0.30) $ (0.34) Income from discontinued operations available to unitholders 0.03 0.21 Net loss available to common unitholders for basic earnings per unit $ (0.27) $ (0.13) Three Months Ended Computation of Diluted EPU 2023 2022 Net loss from continuing operations available to common unitholders $ (30,150) $ (34,149) Income from discontinued operations for diluted earnings per unit 3,164 20,926 Net loss available to common unitholders for diluted earnings per unit $ (26,986) $ (13,223) Weighted average common unit 100,526 99,934 Diluted EPU : Loss from continuing operations available to common unitholders $ (0.30) $ (0.34) Income from discontinued operations available to common unitholders 0.03 0.21 Net loss available to common unitholders $ (0.27) $ (0.13) The following schedule reconciles the weighted average units used in the basic EPU calculation to the units used in the diluted EPU calculation (in thousands) : Three Months Ended 2023 2022 Basic EPU units 100,526 99,934 Diluted EPU Units 100,526 99,934 |
NONCONTROLLING INTERESTS IN S_2
NONCONTROLLING INTERESTS IN SUBSIDIARIES (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Schedule Of Activity Of Noncontrolling Interests | The following table reflects the activity of noncontrolling interests for the three months ended March 31, 2023 and 2022, respectively (dollars in thousands): Three Months Ended 2023 2022 Opening Balance at January 1 $ 163,652 $ 167,436 Net income 3,743 4,565 Unit distributions — 218 Redeemable noncontrolling interests (6,827) (6,728) Change in noncontrolling interests in consolidated joint ventures (562) 11 Redemption of common units for common stock (4,859) — Redemption of common units (16) (1,442) Stock compensation 393 2,533 Other comprehensive (loss) income (87) 196 Rebalancing of ownership percentage between parent and subsidiaries 2,002 (1,669) Balance at March 31 $ 157,439 $ 165,120 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule Of Selected Results Of Operations And Asset Information | Selected results of operations for the three months ended March 31, 2023 and 2022 and selected asset information as of March 31, 2023 and December 31, 2022 regarding the Company’s operating segments are as follows. Amounts for prior periods have been restated to conform to the current period segment reporting presentation (dollars in thousands) : Commercial Multifamily Corporate Total Total revenues: Three months ended: March 31, 2023 $ 3,948 $ 62,977 $ — $ 66,925 March 31, 2022 154 46,517 (502) 46,169 Total operating and interest expenses (a): Three months ended: March 31, 2023 $ 5,005 $ 27,053 $ 28,897 $ 60,955 March 31, 2022 (1,980) 24,786 29,182 51,988 Equity in earnings (loss) of unconsolidated joint ventures: Three months ended: March 31, 2023 $ — $ (68) $ — $ (68) March 31, 2022 — (487) — (487) Net operating income (loss) (b): Three months ended: March 31, 2023 $ (1,057) $ 35,856 $ (28,897) $ 5,902 March 31, 2022 2,134 21,244 (29,684) (6,306) Total assets: March 31, 2023 $ 586,320 $ 3,195,735 $ 18,601 $ 3,800,656 December 31, 2022 597,459 3,302,188 21,121 3,920,768 Total long-lived assets (c): March 31, 2023 $ 542,737 $ 2,985,057 $ (1,428) $ 3,526,366 December 31, 2022 547,923 3,101,286 (1,330) 3,647,879 Total investments in unconsolidated joint ventures: March 31, 2023 $ — 124,218 $ — $ 124,218 December 31, 2022 — 126,158 — 126,158 (a) Total operating and interest expenses represent the sum of: real estate taxes; utilities; operating services; real estate services expenses; general and administrative, acquisition related costs and interest expense (net of interest income). All interest expense, net of interest and other investment income (including for property-level mortgages), is excluded from segment amounts and classified in Corporate & Other for all periods. (b) Net operating income represents total revenues less total operating and interest expenses (as defined and classified in Note “a”), plus equity in earnings (loss) of unconsolidated joint ventures, for the period. (c) Long-lived assets are comprised of net investment in rental property and unbilled rents receivable. (d) Segment assets and operations were owned through a consolidated and variable interest entity commencing in February 2018. (e) Corporate & Other represents all corporate-level items (including interest and other investment income, interest expense, non-property general and administrative expense), as well as intercompany eliminations necessary to reconcile to consolidated Company totals. |
Schedule Of Reconciliation Of Net Operating Income To Net Income Available To Common Shareholders | The following schedule reconciles net operating income to net income (loss) available to common shareholders (dollars in thousands) : Three Months Ended 2023 2022 Net operating income (loss) $ 5,902 $ (6,306) Add (deduct): Depreciation and amortization (23,876) (18,838) Land and other impairments, net (3,396) (2,932) (Loss) Gain on disposition of developable land (22) 2,623 Other income, net 1,998 — Loss from continuing operations (19,394) (25,453) Discontinued operations Income from discontinued operations 2,384 19,090 Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net 780 1,836 Total discontinued operations, net 3,164 20,926 Net loss (16,230) (4,527) Noncontrolling interests in consolidated joint ventures 587 974 Noncontrolling interests in Operating Partnership 2,329 2,779 Noncontrolling interest in discontinued operations (293) (1,881) Redeemable noncontrolling interests (6,366) (6,437) Net loss available to common shareholders $ (19,973) $ (9,092) The following schedule reconciles net operating income to net income (loss) available to common unitholders (dollars in thousands) : Three Months Ended 2023 2022 Net operating income (loss) $ 5,902 $ (6,306) Add (deduct): Depreciation and amortization (23,876) (18,838) Land and other impairments, net (3,396) (2,932) Gain on disposition of developable land (22) 2,623 Other income, net 1,998 — Loss from continuing operations (19,394) (25,453) Discontinued operations Income from discontinued operations 2,384 19,090 Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net 780 1,836 Total discontinued operations, net 3,164 20,926 Net loss (16,230) (4,527) Noncontrolling interests in consolidated joint ventures 587 974 Redeemable noncontrolling interests (6,366) (6,437) Net loss available to common unitholders $ (22,009) $ (9,990) |
ORGANIZATION AND BASIS OF PRE_2
ORGANIZATION AND BASIS OF PRESENTATION (Details) $ in Millions | Mar. 31, 2023 USD ($) property | Dec. 31, 2022 USD ($) |
Real Estate Properties [Line Items] | ||
Percentage of ownership interest | 91% | 90.70% |
Consolidated joint ventures, total real estate assets | $ | $ 457 | $ 468.1 |
Consolidated joint ventures, other assets | $ | 6 | 6 |
Consolidated joint ventures, mortgages | $ | 285.5 | 285.5 |
Consolidated joint ventures, other liabilities | $ | $ 16.2 | $ 17.3 |
Multi-Family Properties | ||
Real Estate Properties [Line Items] | ||
Number of properties | 24 | |
Office | ||
Real Estate Properties [Line Items] | ||
Number of properties | 5 | |
Parking/Retail | ||
Real Estate Properties [Line Items] | ||
Number of properties | 4 | |
Company Controlled Properties | ||
Real Estate Properties [Line Items] | ||
Number of properties | 25 | |
Non-Core Assets | ||
Real Estate Properties [Line Items] | ||
Number of properties | 8 | |
Multi-Family Properties, Company Controlled | ||
Real Estate Properties [Line Items] | ||
Number of properties | 17 | |
Nvestment Properties | ||
Real Estate Properties [Line Items] | ||
Number of properties | 8 | |
Multi-Family Properties, Investment | ||
Real Estate Properties [Line Items] | ||
Number of properties | 7 | |
Non-Core Assets, Investment | ||
Real Estate Properties [Line Items] | ||
Number of properties | 7 |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Accounting Policies [Abstract] | ||
Capitalized development and construction salaries and other related costs | $ 0.1 | $ 0.4 |
Maximum period after cessation of major construction activity that projects are considered complete | 1 year |
SIGNIFICANT ACCOUNTING POLICI_5
SIGNIFICANT ACCOUNTING POLICIES - Schedule Of Rental Property Improvements (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Land held for development (including pre-development costs, if any) | $ 254,460 | $ 264,934 |
Development and construction in progress, including land | 203,095 | 205,173 |
Total | 457,555 | 470,107 |
Land Held For Development (Including Pre-Development Costs, If Any) | ||
Property, Plant and Equipment [Line Items] | ||
Buildings and improvement | 93,900 | 97,700 |
Development And Construction In Progress, Including Land | ||
Property, Plant and Equipment [Line Items] | ||
Land | 13,600 | $ 13,600 |
Disposal Group, Held-for-sale, Not Discontinued Operations | Land Held For Development (Including Pre-Development Costs, If Any) | ||
Property, Plant and Equipment [Line Items] | ||
Buildings and improvement | 7,500 | |
Land | 64,600 | |
Disposal Group, Held-for-sale, Not Discontinued Operations | Development And Construction In Progress, Including Land | ||
Property, Plant and Equipment [Line Items] | ||
Buildings and improvement | 128,100 | |
Land | $ 2,200 |
RECENT TRANSACTIONS - Narrative
RECENT TRANSACTIONS - Narrative (Details) $ in Thousands, ft² in Millions | 1 Months Ended | 3 Months Ended | |
Apr. 30, 2023 USD ($) ft² landParcel | Mar. 31, 2023 USD ($) ft² apartmentUnit property | Mar. 31, 2022 USD ($) | |
Real Estate Properties [Line Items] | |||
Land and other impairments, net | $ 3,396 | $ 2,932 | |
Discontinued Operations, Held-for-sale | |||
Real Estate Properties [Line Items] | |||
Number of properties | property | 6 | ||
Land and other impairments, net | $ 3,400 | ||
Office | |||
Real Estate Properties [Line Items] | |||
Number of properties | property | 5 | ||
Office | Disposal Not Held For Sale | Subsequent Event | |||
Real Estate Properties [Line Items] | |||
Number of properties | landParcel | 3 | ||
Area of property (in square feet) | ft² | 1.9 | ||
Sale price | $ 420,000 | ||
Office | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | |||
Real Estate Properties [Line Items] | |||
Estimated expected sales proceeds | $ 456,500 | ||
Office | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | Discontinued Operations, Held-for-sale | |||
Real Estate Properties [Line Items] | |||
Area of property (in square feet) | ft² | 2.2 | ||
Hotels | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | Discontinued Operations, Held-for-sale | |||
Real Estate Properties [Line Items] | |||
Number of real estate properties, unrecoverable | apartmentUnit | 2 | ||
Land Parcel | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | Discontinued Operations, Held-for-sale | |||
Real Estate Properties [Line Items] | |||
Number of real estate properties, unrecoverable | property | 3 |
RECENT TRANSACTIONS - Schedule
RECENT TRANSACTIONS - Schedule Of Real Estate Held For Sale/Discontinued Operations/Dispositions (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Less: Accumulated depreciation | $ (442,047) | $ (631,910) |
Real estate held for sale, net | 397,499 | $ 193,933 |
Total | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Land | 75,695 | |
Building & Other | 561,944 | |
Less: Accumulated depreciation | (235,700) | |
Less: Cumulative unrealized losses on property held for sale | (4,440) | |
Real estate held for sale, net | 397,499 | |
Unbilled rents receivable, net | 32,491 | |
Deferred charges, net | 27,900 | |
Accounts payable, accrued exp & other liability | (7,827) | |
Unearned rents/deferred rental income | (6,624) | |
Office Portfolio | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Land | 16,232 | |
Building & Other | 553,740 | |
Less: Accumulated depreciation | (235,700) | |
Less: Cumulative unrealized losses on property held for sale | (4,440) | |
Real estate held for sale, net | 329,832 | |
Unbilled rents receivable, net | 32,491 | |
Deferred charges, net | 27,900 | |
Accounts payable, accrued exp & other liability | (7,786) | |
Unearned rents/deferred rental income | (6,624) | |
Other Assets Held for Sale | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Land | 59,463 | |
Building & Other | 8,204 | |
Less: Accumulated depreciation | 0 | |
Less: Cumulative unrealized losses on property held for sale | 0 | |
Real estate held for sale, net | 67,667 | |
Unbilled rents receivable, net | 0 | |
Deferred charges, net | 0 | |
Accounts payable, accrued exp & other liability | (41) | |
Unearned rents/deferred rental income | $ 0 |
RECENT TRANSACTIONS - Schedul_2
RECENT TRANSACTIONS - Schedule Of Disposed Properties (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2023 USD ($) ft² building | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Buildings | building | 2 |
Rentable Square Feet | ft² | 0 |
Net Sales Proceeds | $ 93,358 |
Net Carrying Value | $ 92,578 |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | XS Hotels | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Buildings | building | 2 |
Rentable Square Feet | ft² | 0 |
Net Sales Proceeds | $ 93,358 |
Net Carrying Value | 92,578 |
Debt extinguished | 84,000 |
Discontinued Operations, Disposed of by Sale | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Discontinued Operations Realized Gains (Losses)/ Unrealized Losses, net | 780 |
Discontinued Operations, Disposed of by Sale | XS Hotels | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Discontinued Operations Realized Gains (Losses)/ Unrealized Losses, net | $ 780 |
RECENT TRANSACTIONS - Schedul_3
RECENT TRANSACTIONS - Schedule Of Disposed Developable Land (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Jan. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2023 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Deposits received | $ 1,100 | $ 1,100 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Net Sales Proceeds | $ 8,214 | ||
Net Carrying Value | 8,236 | ||
Realized Gains (Losses)/ Unrealized Losses, net | (22) | ||
Columbia-Honeywell | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Net Sales Proceeds | 8,214 | ||
Net Carrying Value | 8,236 | ||
Realized Gains (Losses)/ Unrealized Losses, net | $ (22) |
INVESTMENTS IN UNCONSOLIDATED_3
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES - Narrative (Details) ft² in Thousands, $ in Millions | 3 Months Ended | ||
Mar. 31, 2023 USD ($) ft² apartmentUnit property investment | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||
Investments in equity method joint ventures | $ 124.2 | ||
Management, leasing, development and other services fees | 0.9 | $ 0.9 | |
Accounts receivable due from unconsolidated joint ventures | $ 0.3 | $ 0.2 | |
Unconsolidated Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of VIEs | investment | 0 | ||
Unconsolidated Joint Venture | Minimum | Unconsolidated Interests | |||
Schedule of Equity Method Investments [Line Items] | |||
Percentage of interest in venture | 20% | ||
Unconsolidated Joint Venture | Maximum | Unconsolidated Interests | |||
Schedule of Equity Method Investments [Line Items] | |||
Percentage of interest in venture | 85% | ||
Multifamily | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of properties | property | 7 | ||
Number of units in real estate property | apartmentUnit | 2,146 | ||
Unconsolidated Joint Venture Retail Buildings | |||
Schedule of Equity Method Investments [Line Items] | |||
Area of mixed use project (in square feet) | ft² | 51 | ||
Unconsolidated Joint Venture Land Parcels | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of units in real estate property | apartmentUnit | 829 | ||
Unconsolidated Joint Ventures | Guarantee of Indebtedness of Others | |||
Schedule of Equity Method Investments [Line Items] | |||
Amount outstanding | $ 18.2 | ||
Unconsolidated Joint Ventures | Parent Company | Guarantee of Indebtedness of Others | |||
Schedule of Equity Method Investments [Line Items] | |||
Guaranteed amount | $ 2 |
INVESTMENTS IN UNCONSOLIDATED_4
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES - Summary Of Unconsolidated Joint Ventures (Details) $ in Thousands | 3 Months Ended | |||
Jan. 10, 2023 USD ($) | Mar. 31, 2023 USD ($) ft² apartmentUnit potentialApartmentUnit floor | Dec. 31, 2022 USD ($) | Oct. 11, 2022 | |
Schedule of Equity Method Investments [Line Items] | ||||
Carrying Value | $ 124,218 | $ 126,158 | ||
Property Debt, Balance | 586,708 | |||
Metropolitan and Lofts at 40 Park | Metropolitan at 40 Park | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Property Debt, Balance | $ 36,500 | |||
Metropolitan and Lofts at 40 Park | Metropolitan at 40 Park | LIBOR | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Variable interest rate | 2.85% | |||
Metropolitan and Lofts at 40 Park | The Shops At 40 Park Property | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Property Debt, Balance | $ 6,067 | |||
Interest rate, stated | 5.125% | |||
Residual ownership interest | 25% | |||
Rentable Square Feet | ft² | 50,973 | |||
Variable interest rate | 2% | |||
Metropolitan and Lofts at 40 Park | The Shops At 40 Park Property | LIBOR | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Variable interest rate | 1.50% | |||
Metropolitan and Lofts at 40 Park | Lofts At 40 Park Property | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 59 | |||
Property Debt, Balance | $ 18,200 | |||
Indirect ownership interest | 50% | |||
Number of stories | floor | 5 | |||
Variable interest rate | 1.50% | |||
PI North - Land | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 829 | |||
Residual ownership interest | 20% | |||
Multifamily | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 2,146 | |||
Multifamily | Metropolitan and Lofts at 40 Park | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 189 | |||
Company's Effective Ownership Percentage | 25% | |||
Carrying Value | $ 1,364 | 1,747 | ||
Property Debt, Balance | $ 60,767 | |||
Multifamily | RiverTrace at Port Imperial | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 316 | |||
Company's Effective Ownership Percentage | 22.50% | |||
Carrying Value | $ 4,954 | 5,114 | ||
Property Debt, Balance | $ 82,000 | |||
Interest rate, stated | 3.21% | |||
Multifamily | Capstone at Port Imperial | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 360 | |||
Company's Effective Ownership Percentage | 40% | |||
Carrying Value | $ 22,803 | 23,234 | ||
Property Debt, Balance | $ 135,000 | |||
Multifamily | Capstone at Port Imperial | Secured Overnight Financing Rate (SOFR) | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Variable interest rate | 1.20% | |||
Multifamily | Riverpark at Harrison | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 141 | |||
Company's Effective Ownership Percentage | 45% | |||
Carrying Value | $ 0 | 0 | ||
Property Debt, Balance | $ 30,192 | |||
Interest rate, stated | 3.19% | |||
Multifamily | Station House | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 378 | |||
Company's Effective Ownership Percentage | 50% | |||
Carrying Value | $ 32,275 | 32,372 | ||
Property Debt, Balance | $ 90,942 | |||
Interest rate, stated | 4.82% | |||
Multifamily | Urby at Harborside | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | apartmentUnit | 762 | |||
Company's Effective Ownership Percentage | 85% | |||
Carrying Value | $ 60,725 | 61,594 | ||
Property Debt, Balance | $ 187,807 | |||
Interest rate, stated | 5.197% | |||
Guaranteed amount | $ 22,000 | |||
Multifamily | PI North - Land | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Number of Apartment Units or Rentable SF | potentialApartmentUnit | 829 | |||
Company's Effective Ownership Percentage | 20% | |||
Carrying Value | $ 1,678 | 1,678 | ||
Property Debt, Balance | $ 0 | |||
Interest rate, stated | 0% | |||
Other | Other | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Carrying Value | $ 419 | $ 419 | ||
Property Debt, Balance | $ 0 | |||
Interest rate, stated | 0% |
INVESTMENTS IN UNCONSOLIDATED_5
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES - Summary Of Company's Equity In Earnings (Loss) Of Unconsolidated Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | $ (68) | $ (487) |
Amortization of basis difference | 154 | 154 |
Multifamily | Metropolitan and Lofts at 40 Park | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | (282) | (139) |
Multifamily | RiverTrace at Port Imperial | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | 137 | 67 |
Multifamily | Capstone at Port Imperial | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | (187) | 26 |
Multifamily | Riverpark at Harrison | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | 337 | 0 |
Multifamily | Station House | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | (97) | (358) |
Multifamily | Urby at Harborside | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | 66 | (26) |
Multifamily | PI North - Land | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | (40) | (70) |
Multifamily | Liberty Landing | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | (2) | 0 |
Other | Other | ||
Schedule of Equity Method Investments [Line Items] | ||
Gain on sale from unconsolidated joint ventures | $ 0 | $ 13 |
INVESTMENTS IN UNCONSOLIDATED_6
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES - Schedule of Equity Method Investment, Summarized Financial Information, Balance Sheet (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Assets: | ||
Net investment in rental property | $ 3,485,406 | $ 3,608,145 |
Deferred charges and other assets, net | 88,392 | 96,162 |
Total assets | 3,800,656 | 3,920,768 |
Liabilities and partners'/members' capital: | ||
Mortgages, loans payable and other obligations, net | 1,820,498 | 1,903,977 |
Total liabilities and equity | 3,800,656 | 3,920,768 |
Equity Method Investment, Nonconsolidated Investee or Group of Investees | ||
Assets: | ||
Net investment in rental property | 756,963 | 745,210 |
Deferred charges and other assets, net | 37,800 | 39,241 |
Total assets | 794,763 | 784,451 |
Liabilities and partners'/members' capital: | ||
Mortgages, loans payable and other obligations, net | 586,708 | 587,913 |
Other liabilities | 16,217 | 15,545 |
Partners'/members' capital | 191,838 | 180,993 |
Total liabilities and equity | $ 794,763 | $ 784,451 |
INVESTMENTS IN UNCONSOLIDATED_7
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES - Schedule of Equity Method Investment, Summarized Financial Information, Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Schedule of Equity Method Investments [Line Items] | |||
Total revenues | $ 66,925 | $ 46,169 | |
Operating and other expenses | (11,970) | (8,480) | |
Depreciation and amortization | (23,876) | (18,838) | |
Interest expense | (22,014) | (11,606) | |
Net loss | (16,230) | $ (4,527) | |
Equity Method Investment, Nonconsolidated Investee or Group of Investees | |||
Schedule of Equity Method Investments [Line Items] | |||
Total revenues | 21,825 | $ 36,127 | |
Operating and other expenses | (8,444) | (25,499) | |
Depreciation and amortization | (5,565) | (6,560) | |
Interest expense | (7,713) | (6,776) | |
Net loss | $ 103 | $ (2,708) |
DEFERRED CHARGES AND OTHER AS_3
DEFERRED CHARGES AND OTHER ASSETS, NET - Schedule Of Deferred Charges, Goodwill And Other Assets (Details) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2023 USD ($) property building | Dec. 31, 2022 USD ($) | Nov. 19, 2021 | Nov. 18, 2021 | |
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Deferred leasing costs | $ 54,674,000 | $ 59,651,000 | ||
Deferred financing costs - revolving credit facility | 6,684,000 | 6,684,000 | ||
Deferred charges, gross | 61,358,000 | 66,335,000 | ||
Accumulated amortization | (26,792,000) | (30,471,000) | ||
Deferred charges, net | 34,566,000 | 35,864,000 | ||
Notes receivable | 561,000 | 1,309,000 | ||
In-place lease values, related intangibles and other assets, net | 11,462,000 | 12,298,000 | ||
Right of use assets | 2,896,000 | 2,896,000 | ||
Prepaid expenses and other assets, net | 38,907,000 | 43,795,000 | ||
Total deferred charges and other assets, net | 88,392,000 | 96,162,000 | ||
Liability | 3,200,000 | 3,200,000 | ||
Metropark | ||||
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Loan loss allowance charge | $ 21,000 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||||
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Number of buildings on properties sold | building | 2 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Metropark | ||||
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Number of buildings on properties sold | property | 1 | |||
Interest-Free Notes Receivable | ||||
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Notes receivable | $ 42,000 | 200,000 | ||
Seller Financing Receivable | ||||
Deferred Charges, Goodwill And Other Assets [Line Items] | ||||
Notes receivable | 400,000 | 1,000,000 | ||
Loan loss allowance charge | $ 21,000 | $ 26,000 | ||
Annual return on the equity value | 4% | |||
Interest rate, stated | 10% | 15% |
DEFERRED CHARGES AND OTHER AS_4
DEFERRED CHARGES AND OTHER ASSETS, NET - Narrative (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2023 USD ($) interestRateCap | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Estimated additional amount to be reclassified to interest expense | $ 2.3 |
Interest Rate Caps | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivatives, net liability position | $ 0 |
Designated as Hedging Instrument | Cash Flow Hedging | Interest Rate Caps | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Number of interest rate derivatives outstanding | interestRateCap | 4 |
Notional value | $ 548 |
DEFERRED CHARGES AND OTHER AS_5
DEFERRED CHARGES AND OTHER ASSETS, NET - Schedule Of Fair Value Of The Derivative Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Designated as Hedging Instrument | Interest Rate Caps | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Asset derivatives | $ 8,122 | $ 9,808 |
DEFERRED CHARGES AND OTHER AS_6
DEFERRED CHARGES AND OTHER ASSETS, NET - Schedule Of Cash Flow Hedging, Derivative Financial Instruments On The Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Total Amount of Interest Expense presented in the consolidated statements of operations | $ 22,014 | $ 11,606 |
Not Designated as Hedging Instrument | Interest Rate Caps | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in OCI on Derivative | (524) | 2,182 |
Total Amount of Interest Expense presented in the consolidated statements of operations | 22,014 | 11,606 |
Not Designated as Hedging Instrument | Interest Rate Caps | Interest expense | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income | $ 421 | $ 1 |
RESTRICTED CASH - Schedule Of R
RESTRICTED CASH - Schedule Of Restricted Cash (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Restricted Cash and Investments [Abstract] | ||||
Security deposits | $ 9,512 | $ 9,175 | ||
Escrow and other reserve funds | 10,130 | 11,692 | ||
Total restricted cash | $ 19,642 | $ 20,867 | $ 21,153 | $ 19,701 |
DISCONTINUED OPERATIONS - Narra
DISCONTINUED OPERATIONS - Narrative (Details) ft² in Thousands, $ in Millions | 12 Months Ended | 36 Months Ended | ||
Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) ft² property | Mar. 31, 2023 ft² | Sep. 30, 2022 ft² | |
Discontinued Operations, Held-for-sale | Office Portfolio | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of properties sold | property | 1 | |||
Area of property (in square feet) | 350 | |||
Unrealized loss on real estate held for sale | $ | $ 4.4 | |||
Discontinued Operations, Held-for-sale | Waterfront Office Properties | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Area of property (in square feet) | 3,700 | |||
Discontinued Operations, Disposed of by Sale | Office Portfolio | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of properties sold | property | 37 | |||
Area of property (in square feet) | 6,300 | |||
Sales proceeds | $ | $ 1,000 |
DISCONTINUED OPERATIONS - Summa
DISCONTINUED OPERATIONS - Summary Of Income From Discontinued Operations And Related Realized And Unrealized Gains (Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Income from discontinued operations | $ 2,384 | $ 19,090 |
Realized gains, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Office Portfolio | Discontinued Operations | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Total revenues | 16,682 | 52,929 |
Operating and other expenses | (8,598) | (22,744) |
Depreciation and amortization | (4,878) | (7,676) |
Interest expense | (822) | (3,419) |
Income from discontinued operations | 2,384 | 19,090 |
Realized gains on disposition of rental property | 780 | 1,836 |
Realized gains, net | 780 | 1,836 |
Total discontinued operations, net | $ 3,164 | $ 20,926 |
REVOLVING CREDIT FACILITY AND_2
REVOLVING CREDIT FACILITY AND TERM LOANS (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2023 USD ($) property | Dec. 31, 2020 | Dec. 31, 2022 USD ($) | May 06, 2021 USD ($) lender | |
2021 Credit Facility | Until May 6, 2022 | ||||
Line of Credit Facility [Line Items] | ||||
Debt service coverage ratio | 1.10% | |||
2021 Credit Facility | May 7, 2022 through May 6, 2023 | ||||
Line of Credit Facility [Line Items] | ||||
Debt service coverage ratio | 1.20% | |||
2021 Credit Facility | After May 6, 2023 | ||||
Line of Credit Facility [Line Items] | ||||
Debt service coverage ratio | 1.40% | |||
2021 Term Loan | ||||
Line of Credit Facility [Line Items] | ||||
Loan period | 18 months | |||
2021 Credit Agreement | ||||
Line of Credit Facility [Line Items] | ||||
Loan period | 3 years | |||
2021 Credit Agreement, Letter Of Credit | ||||
Line of Credit Facility [Line Items] | ||||
Borrowing capacity under the credit facility | $ 50 | |||
2021 Credit Facility, Usage Less Or Equal To Fifty Percent | ||||
Line of Credit Facility [Line Items] | ||||
Facility fee basis points | 0.35% | |||
2021 Credit Facility, Usage Greater Than Fifty Percent | ||||
Line of Credit Facility [Line Items] | ||||
Facility fee basis points | 0.25% | |||
2021 Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Number of lenders | lender | 7 | |||
Secured debt | $ 250 | |||
Variable interest rate | 0.12% | |||
Maximum collateral pool leverage ratio | 40% | |||
Tangible net worth ratio | 80% | |||
Percentage of net cash proceeds of equity issuances | 80% | |||
2021 Credit Facility | 2021 Credit Facility | Overnight Bank Funding Rate | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 0.50% | |||
2021 Credit Facility | 2021 Credit Facility | Adjusted LIBO Rate | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 1% | |||
2021 Credit Facility | 2021 Credit Agreement | Harborside 2/3 And Harborside 5 | ||||
Line of Credit Facility [Line Items] | ||||
Appraisal value | $ 800 | |||
2021 Credit Facility | Minimum | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 1.25% | |||
Number of collateral pool properties | property | 2 | |||
2021 Credit Facility | Minimum | 2021 Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Appraisal value | $ 800 | |||
2021 Credit Facility | Maximum | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 2.75% | |||
Total leverage ratio | 65% | |||
2021 Term Loan | ||||
Line of Credit Facility [Line Items] | ||||
Secured debt | $ 150 | |||
Borrowing capacity under the credit facility | $ 150 | |||
2021 Term Loan | Harborside 2/3 And Harborside 5 | ||||
Line of Credit Facility [Line Items] | ||||
Appraisal value | 800 | |||
2021 Credit Agreement | ||||
Line of Credit Facility [Line Items] | ||||
Borrowing capacity under the credit facility | $ 250 | |||
2021 Credit Agreement | Overnight Bank Funding Rate | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 0% | |||
2021 Credit Agreement | Adjusted LIBO Rate | ||||
Line of Credit Facility [Line Items] | ||||
Variable interest rate | 1% | |||
2021 Credit Agreement | Unsecured Revolving Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Outstanding borrowings under the facility | $ 0 | $ 0 |
MORTGAGES, LOANS PAYABLE AND _3
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS - Narrative (Details) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 USD ($) property | Mar. 31, 2022 USD ($) | |
Debt Instrument [Line Items] | ||
Number of properties with encumbered company mortgages | property | 20 | |
Carrying value of encumbered properties | $ 3,200 | |
Cash paid for interest | 20.5 | $ 17.8 |
Interest capitalized | 0 | 6.4 |
Discontinued Operations | ||
Debt Instrument [Line Items] | ||
Cash paid for interest | $ 1.1 | $ 5 |
MORTGAGES, LOANS PAYABLE AND _4
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS - Summary Of Mortgages, Loans Payable And Other Obligations (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2023 | Dec. 31, 2022 | Jun. 21, 2022 | Oct. 27, 2021 | |
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 1,800,000 | $ 1,900,000 | ||
Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | 1,827,360 | 1,911,488 | ||
Unamortized deferred financing costs | (6,862) | (7,511) | ||
Total mortgages, loans payable and other obligations, net | 1,820,498 | 1,903,977 | ||
Secured Debt | Port Imperial 4/5 Hotel | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 0 | 84,000 | ||
Secured Debt | Port Imperial 4/5 Hotel | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 3.40% | |||
Secured Debt | Portside at Pier One | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 3.57% | |||
Principal balance outstanding | $ 58,998 | 58,998 | ||
Secured Debt | Signature Place | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 3.74% | |||
Principal balance outstanding | $ 43,000 | 43,000 | ||
Secured Debt | Liberty Towers | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 3.37% | |||
Principal balance outstanding | $ 265,000 | 265,000 | ||
Secured Debt | Haus 25 | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 297,324 | 297,324 | ||
Loan period | 1 year | |||
Borrowing capacity under the credit facility | $ 300,000 | |||
Extension fee | 25% | |||
Secured Debt | Haus 25 | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 2.70% | |||
Secured Debt | Haus 25 | Minimum | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 2% | |||
Secured Debt | Portside 5/6 | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.56% | |||
Principal balance outstanding | $ 97,000 | 97,000 | ||
Debt instrument, percent guaranteed | 10% | |||
Secured Debt | BLVD 425 | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.17% | |||
Principal balance outstanding | $ 131,000 | 131,000 | ||
Secured Debt | BLVD 401 | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.29% | |||
Principal balance outstanding | $ 117,000 | 117,000 | ||
Secured Debt | The Upton | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 75,000 | 75,000 | ||
Debt instrument, face amount | $ 75,000 | |||
Secured Debt | The Upton | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 1.58% | |||
Secured Debt | 145 Front at City Square (f) | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 63,000 | 63,000 | ||
Secured Debt | 145 Front at City Square (f) | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 1.71% | |||
Secured Debt | Riverhouse 9 At Port Imperial | ||||
Debt Instrument [Line Items] | ||||
Principal balance outstanding | $ 110,000 | 110,000 | $ 110,000 | |
Secured Debt | Riverhouse 9 At Port Imperial | SOFR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 1.41% | |||
Secured Debt | Quarry Place at Tuckahoe | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.48% | |||
Principal balance outstanding | $ 41,000 | 41,000 | ||
Secured Debt | BLVD 475 N/S | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 2.91% | |||
Principal balance outstanding | $ 165,000 | 165,000 | ||
Secured Debt | Riverhouse 11 at Port Imperial | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.52% | |||
Principal balance outstanding | $ 100,000 | 100,000 | ||
Secured Debt | Soho Lofts | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 3.77% | |||
Principal balance outstanding | $ 160,000 | 160,000 | ||
Secured Debt | Soho Lofts | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Variable interest rate | 2.75% | |||
Secured Debt | Port Imperial South 4/5 Garage | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 4.85% | |||
Principal balance outstanding | $ 32,038 | 32,166 | ||
Secured Debt | Emery At Overlook Ridge | ||||
Debt Instrument [Line Items] | ||||
Effective rate | 3.21% | |||
Principal balance outstanding | $ 72,000 | $ 72,000 |
MORTGAGES, LOANS PAYABLE AND _5
MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS - Summary Of Indebtedness (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Totals/Weighted Average | $ 1,820,498 | $ 1,903,977 |
Weighted Average Interest Rate | 4.32% | 4.47% |
Fixed Rate & Hedged Debt | ||
Debt Instrument [Line Items] | ||
Balance | $ 1,820,498 | $ 1,757,308 |
Weighted Average Interest Rate | 4.32% | 4.27% |
Revolving Credit Facility & Other Variable Rate Debt | ||
Debt Instrument [Line Items] | ||
Balance | $ 0 | $ 146,669 |
Weighted Average Interest Rate | 0% | 6.86% |
Revolving Credit Facility & Other Variable Rate Debt | Interest Rate Caps | ||
Debt Instrument [Line Items] | ||
Balance | $ 548,000 | $ 485,000 |
EMPLOYEE BENEFIT 401(k) PLANS (
EMPLOYEE BENEFIT 401(k) PLANS (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||
Minimum employee subscription rate, percentage of compensation | 1% | |
Maximum employee subscription rate, percentage of compensation | 60% | |
Employee pre-tax contributions vested percentage | 100% | |
Vesting rate | 20% | |
Percentage vested after total service period | 100% | |
Expenses for employee benefit plan | $ 147 | $ 182 |
Minimum | ||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||
Employer contribution vesting period | 2 years | |
Maximum | ||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||
Employer contribution vesting period | 6 years |
DISCLOSURE OF FAIR VALUE OF A_3
DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIES - Narrative (Details) $ in Thousands, ft² in Millions | 3 Months Ended | ||
Mar. 31, 2023 USD ($) ft² property | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Real Estate Properties [Line Items] | |||
Loans payable and other obligations | $ 1,700,000 | $ 1,800,000 | |
Principal balance outstanding | 1,800,000 | $ 1,900,000 | |
Land and other impairments, net | $ 3,396 | $ 2,932 | |
Office | |||
Real Estate Properties [Line Items] | |||
Number of properties | property | 5 | ||
Discontinued Operations, Held-for-sale | |||
Real Estate Properties [Line Items] | |||
Number of properties | property | 6 | ||
Land and other impairments, net | $ 3,400 | ||
Discontinued Operations, Held-for-sale | Office | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | |||
Real Estate Properties [Line Items] | |||
Rentable Square Feet | ft² | 2.2 | ||
Discontinued Operations, Held-for-sale | Land Parcel | Jersey City, Holmdel, Parsippany, Morris Township, Wall and Weehawken, New Jersey | |||
Real Estate Properties [Line Items] | |||
Number of real estate properties, unrecoverable | property | 3 | ||
Metropark | |||
Real Estate Properties [Line Items] | |||
Loan loss allowance charge | $ 21 |
DISCLOSURE OF FAIR VALUE OF A_4
DISCLOSURE OF FAIR VALUE OF ASSETS AND LIABILITIES - Schedule Of Valuation Techniques And Significant Unobservable Assumptions (Details) - Land Holdings Held For Sale - Waterfront - Valuation Technique, Consensus Pricing Model - Market rate per unit $ in Thousands | Mar. 31, 2023 USD ($) |
Minimum | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Servicing asset, measurement input | 76 |
Maximum | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Servicing asset, measurement input | 78 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Tax Abatement Agreements (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 2,100 | $ 3,176 |
111 River Street | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | 0 | 85 |
Harborside Plaza 4A | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 0 | 218 |
Percentage of PILOT on project costs | 2% | |
Total project costs | $ 49,500 | |
Harborside Plaza 5 | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 0 | 1,109 |
Percentage of PILOT on project costs | 2% | |
Total project costs | $ 170,900 | |
Blvd 401 (Marbella 2) | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 403 | 359 |
Blvd 401 (Marbella 2) | Years 1-4 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 10% | |
Blvd 401 (Marbella 2) | Years 5-8 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 12% | |
Blvd 401 (Marbella 2) | Years 9-10 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 14% | |
Riverhouse 11 at Port Imperial | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 374 | 350 |
Riverhouse 11 at Port Imperial | Years 1-5 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 12% | |
Riverhouse 11 at Port Imperial | Years 6-10 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 13% | |
Riverhouse 11 at Port Imperial | Years 11-15 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 14% | |
Port Imperial 4/5 Hotel | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 224 | 733 |
Percentage of PILOT on project costs | 2% | |
Riverhouse 9 At Port Imperial | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 382 | 322 |
Riverhouse 9 At Port Imperial | Years 1-10 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 11% | |
Riverhouse 9 At Port Imperial | Years 11-18 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 12.50% | |
Riverhouse 9 At Port Imperial | Years 19-25 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 14% | |
Haus 25 | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 574 | 0 |
Percentage of PILOT on gross revenues | 7% | |
Project period | 25 years | |
The James | ||
Commitments And Contingencies [Line Items] | ||
Total Pilot taxes | $ 143 | $ 0 |
Percentage of PILOT on gross revenues | 10% | |
Project period | 30 years | |
The James | Years 11-21 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 11.50% | |
The James | Years 22-30 | ||
Commitments And Contingencies [Line Items] | ||
Percentage of PILOT on gross revenues | 12.50% |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - Future Minimum Rental Payments Of Ground Leases (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Commitments and Contingencies Disclosure [Abstract] | ||
Remaining | $ 144 | |
Year one | 192 | $ 192 |
Year two | 199 | 192 |
Year three | 199 | 199 |
Year four | 200 | 199 |
After year four | 31,664 | |
Year five | 200 | |
After year five | 31,664 | |
Total lease payments | 32,598 | 32,646 |
Less: imputed interest | (29,357) | (29,418) |
Operating lease | $ 3,241 | $ 3,228 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES - Ground Lease Agreements - Narrative (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 USD ($) groundLease | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Lessee, Lease, Description [Line Items] | |||
Ground lease expense incurred | $ 265 | $ 348 | |
Operating lease | $ 3,241 | $ 3,228 | |
Number of ground leases | groundLease | 2 | ||
Accounting Standards Update 2016-02 | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease | $ 2,900 | ||
Maximum | |||
Lessee, Lease, Description [Line Items] | |||
Borrowing rate | 7.618% | ||
Remaining lease term | 82 years 6 months 29 days |
COMMITMENTS AND CONTINGENCIES_4
COMMITMENTS AND CONTINGENCIES - Other - Narrative (Details) - Stay-On Award Agreement $ in Millions | 3 Months Ended |
Mar. 31, 2023 USD ($) employee shares | |
Commitments And Contingencies [Line Items] | |
Number of employees | employee | 24 |
Potential shares (in shares) | shares | 33,866 |
Vesting period | 7 years |
Maximum | |
Commitments And Contingencies [Line Items] | |
Stay on award agreement cost | $ | $ 3 |
TENANT LEASES - Narrative (Deta
TENANT LEASES - Narrative (Details) | Mar. 31, 2023 |
Multi-Family Properties | |
Leases [Line Items] | |
Lease period | 1 year |
TENANT LEASES - Future Minimum
TENANT LEASES - Future Minimum Rentals To Be Received Under Non-Cancelable Operating Leases (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Remainder of year | $ 10,818 | |
Year one | 13,904 | $ 14,983 |
Year two | 12,737 | 13,733 |
Year three | 10,606 | 12,389 |
Year four | 7,531 | 10,251 |
After year four | 42,794 | |
Year five | 7,169 | |
After year five | 42,188 | |
Total | $ 98,390 | $ 100,713 |
REDEEMABLE NONCONTROLLING INT_3
REDEEMABLE NONCONTROLLING INTERESTS - Narrative (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
Apr. 05, 2023 | Jun. 30, 2019 USD ($) | Jun. 28, 2019 USD ($) | Jun. 26, 2019 USD ($) property trustee | Mar. 10, 2017 USD ($) | Feb. 28, 2017 USD ($) $ / shares shares | Feb. 27, 2017 USD ($) | Feb. 03, 2017 USD ($) $ / shares shares | Jun. 30, 2019 USD ($) | Mar. 31, 2023 USD ($) $ / shares | Mar. 31, 2022 USD ($) $ / shares shares | Jun. 30, 2019 USD ($) | Dec. 31, 2019 USD ($) | Jun. 25, 2019 trustee | Apr. 30, 2017 shares | |
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Payment for borrowings | $ 16,000,000 | $ 88,000,000 | |||||||||||||
General and administrative | 10,286,000 | 19,451,000 | |||||||||||||
Current preferred return payments | 2,000,000 | ||||||||||||||
Rockpoint | Designated By Rockpoint | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Number of board members | trustee | 2 | ||||||||||||||
RRT | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Number of board members | trustee | 7 | 6 | |||||||||||||
RRT | Designated By Veris | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Number of board members | trustee | 5 | ||||||||||||||
VERIS RESIDENTIAL, L.P. | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Payment for borrowings | 16,000,000 | 88,000,000 | |||||||||||||
General and administrative | $ 10,286,000 | $ 19,451,000 | |||||||||||||
Common unit distribution per unit declared (in dollars per share) | $ / shares | $ 0 | $ 0 | |||||||||||||
Series A Units | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Stock redeemed or called (in shares) | shares | 12,000 | ||||||||||||||
Series A Units | VERIS RESIDENTIAL, L.P. | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Preferred units shares issued (in shares) | shares | 42,800 | ||||||||||||||
Preferred unit annual rate | 3.50% | ||||||||||||||
Preferred unit in operating partnership | $ 1,000 | ||||||||||||||
Convertible preferred units ratio | 28.15 | ||||||||||||||
Expiration period | 5 years | ||||||||||||||
Shares that may be converted to common units (in shares) | shares | 1,204,820 | ||||||||||||||
Common unit distribution per unit declared (in dollars per share) | $ / shares | $ 35.52 | ||||||||||||||
Series A Units | VERIS RESIDENTIAL, L.P. | The Joint Venture | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Percentage of interest in venture | 37.50% | ||||||||||||||
Series A-1 Units | VERIS RESIDENTIAL, L.P. | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Preferred units shares issued (in shares) | shares | 9,213 | 91 | |||||||||||||
Preferred unit annual rate | 3.50% | ||||||||||||||
Preferred unit in operating partnership | $ 1,000 | ||||||||||||||
Convertible preferred units ratio | 27.936 | ||||||||||||||
Expiration period | 5 years | 5 years | |||||||||||||
Shares that may be converted to common units (in shares) | shares | 257,375 | ||||||||||||||
Common unit distribution per unit declared (in dollars per share) | $ / shares | $ 35.80 | ||||||||||||||
Series A-1 Units | VERIS RESIDENTIAL, L.P. | The Joint Venture | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Percentage of interest in venture | 13.80% | ||||||||||||||
Series A-1 Units | VERIS RESIDENTIAL, L.P. | Monaco (BLVD 495 N/S) | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Preferred units shares issued (in shares) | shares | 9,122 | ||||||||||||||
Investment Agreement | Minimum | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Incremental closing payments, limited partnership interest | $ 105,000,000 | ||||||||||||||
RRLP | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Annual return on the equity value | 6% | ||||||||||||||
RRLP | Investment Agreement | Cash Flow From Capital Events, Distribution Four | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 5% | ||||||||||||||
RRLP | Credit Enhancement Note | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Variable interest rate | 0.50% | ||||||||||||||
Borrowing capacity under the credit facility | $ 50,000,000 | ||||||||||||||
Increased line of credit | 25,000,000 | ||||||||||||||
Rockpoint | Rockpoint | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Redemption restriction period | 90 days | ||||||||||||||
Estimated redemption value | $ 480,000,000 | ||||||||||||||
Rockpoint | Rockpoint | Subsequent Event | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Redemption restriction period | 90 days | ||||||||||||||
Issuance period following conversion election | 30 days | ||||||||||||||
Rockpoint | Rockpoint | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 4.64% | ||||||||||||||
Rockpoint | Rockpoint | Cash Flow From Capital Events, Distribution Five | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Invested capital | $ 400,000,000 | ||||||||||||||
Rockpoint | Rockpoint | Cash Flow From Capital Events, Distribution Six | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Invested capital | $ 400,000,000 | ||||||||||||||
Rockpoint | Rockpoint | Distribution One | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Purchase price | $ 173,500,000 | ||||||||||||||
Purchase price, less distributions | 198,500,000 | ||||||||||||||
Rockpoint | Rockpoint | Distribution Two | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Purchase price, less distributions | $ 1,500,000 | ||||||||||||||
Rockpoint | Preferred Units | Rockpoint | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 10.947% | ||||||||||||||
Rockpoint | Preferred Units | Rockpoint | Cash Flow From Capital Events, Distribution Five | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 21.89% | ||||||||||||||
Rockpoint | Investment Agreement | Maximum | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Contributed amount to obtain equity units | $ 300,000,000 | ||||||||||||||
Rockpoint | Investment Agreement | Rockpoint | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Incremental closing payments, limited partnership interest | $ 46,000,000 | $ 150,000,000 | $ 45,000,000 | ||||||||||||
Contributed equity value | $ 1,230,000,000 | ||||||||||||||
Rockpoint | Investment Agreement | Rockpoint | Maximum | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Contributed amount to obtain equity units | $ 300,000,000 | ||||||||||||||
Rockpoint | Add On Investment Agreement | Rockpoint | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Contributed amount to obtain equity units | $ 100,000,000 | ||||||||||||||
Number of properties in which additional interest was acquired during period | property | 2 | ||||||||||||||
Payment for borrowings | $ 100,000,000 | ||||||||||||||
Right of first refusal to invest | 100,000,000 | ||||||||||||||
General and administrative | $ 371,000 | ||||||||||||||
Rockpoint | Add On Investment Agreement | Rockpoint | Maximum | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Contributed amount to obtain equity units | $ 154,000,000 | ||||||||||||||
Rockpoint | RRLP | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Invested capital | $ 400,000,000 | ||||||||||||||
Rockpoint | RRLP | Cash Flow From Capital Events, Distribution Four | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 4.64% | ||||||||||||||
Rockpoint | RRLP | Rockpoint | Cash Flow From Capital Events, Distribution Three | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 4.64% | ||||||||||||||
Rockpoint | RRLP | Rockpoint | Cash Flow From Capital Events, Distribution Five | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Internal rate of return | 11% | ||||||||||||||
Rockpoint | RRLP | Rockpoint | Cash Flow From Capital Events, Distribution Six | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata share | 50% | ||||||||||||||
Rockpoint | RRLP | RRT | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Annual return on the equity value | 6% | ||||||||||||||
Rockpoint | RRLP | Preferred Units | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 21.89% | ||||||||||||||
Rockpoint | RRLP | Investment Agreement | Rockpoint | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 5% | ||||||||||||||
Rockpoint | RRLP | Investment Agreement | Rockpoint | Cash Flow From Capital Events, Distribution Three | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 95% | ||||||||||||||
RRT | Preferred Units | RRT | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 2.65% | ||||||||||||||
RRT | Preferred Units | RRT | Cash Flow From Capital Events, Distribution Five | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 2.65% | ||||||||||||||
RRT | Preferred Units | RRT | Cash Flow From Capital Events, Distribution Six | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 1.325% | ||||||||||||||
RRT | Common Unit | RRT | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 75.46% | ||||||||||||||
RRT | Common Unit | RRT | Cash Flow From Capital Events, Distribution Five | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 75.46% | ||||||||||||||
RRT | Common Unit | RRT | Cash Flow From Capital Events, Distribution Six | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Pro rata distribution | 87.728% | ||||||||||||||
RRT | RRLP | Cash Flow From Capital Events, Distribution Four | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 95.36% | ||||||||||||||
RRT | RRLP | RRT | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Loan-to-value ratio | 65% | ||||||||||||||
Equity capitalization percent | 10% | ||||||||||||||
RRT | RRLP | RRT | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Annual return on the equity value | 95.36% | ||||||||||||||
RRT | RRLP | RRT | Cash Flow From Capital Events | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 95.36% | ||||||||||||||
RRT | RRLP | Investment Agreement | Cash Flow From Capital Events, Distribution Four | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 95% | ||||||||||||||
RRT | RRLP | Investment Agreement | RRT | Cash Flow From Operations | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Annual return on the equity value | 95% | ||||||||||||||
RRT | RRLP | Investment Agreement | RRT | Cash Flow From Capital Events, Distribution Three | |||||||||||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||||||||||
Base return | 5% |
REDEEMABLE NONCONTROLLING INT_4
REDEEMABLE NONCONTROLLING INTERESTS - Schedule Of Changes In The Value Of The Redeemable Noncontrolling Interests (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Income Attributed to Noncontrolling Interests | $ (6,366) | $ (6,437) |
Redemption Value Adjustment | (11,343) | (9,670) |
Redeemable Noncontrolling Interests | ||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Beginning balance | 515,231 | 521,313 |
Redemption/Payout | (12,000) | |
Net | 515,231 | 509,313 |
Income Attributed to Noncontrolling Interests | 6,366 | 6,437 |
Distributions | (6,366) | (6,437) |
Redemption Value Adjustment | 4,977 | 3,199 |
Ending balance | 520,208 | 512,512 |
Redeemable Noncontrolling Interests | Series A and A-1 Preferred Units In VRLP | ||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Beginning balance | 40,231 | 52,324 |
Redemption/Payout | (12,000) | |
Net | 40,231 | 40,324 |
Income Attributed to Noncontrolling Interests | 350 | 421 |
Distributions | (350) | (421) |
Redemption Value Adjustment | 0 | (22) |
Ending balance | 40,231 | 40,302 |
Redeemable Noncontrolling Interests | Rockpoint | ||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Beginning balance | 475,000 | 468,989 |
Redemption/Payout | 0 | |
Net | 475,000 | 468,989 |
Income Attributed to Noncontrolling Interests | 6,016 | 6,016 |
Distributions | (6,016) | (6,016) |
Redemption Value Adjustment | 4,977 | 3,221 |
Ending balance | $ 479,977 | $ 472,210 |
VERIS RESIDENTIAL, INC. STOCK_3
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Schedule Of General Partner Capital (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balance, beginning | $ 1,235,685 | |
Redeemable noncontrolling interests | (6,366) | $ (6,437) |
Redemption of common units for common stock | (16) | (1,442) |
Directors' deferred compensation plan | 110 | 110 |
Other comprehensive income (loss) | (945) | 2,182 |
Rebalancing of ownership percent between parent and subsidiaries | 0 | 0 |
Balance, ending | 1,216,530 | |
Common Unitholders | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balance, beginning | 1,235,685 | 1,281,982 |
Net loss available to common shareholders | (19,973) | (9,092) |
Redeemable noncontrolling interests | (4,516) | (2,942) |
Redemption of common units for common stock | 4,859 | 0 |
Shares issued under Dividend Reinvestment and Stock Purchase Plan | 1 | 11 |
Directors' deferred compensation plan | 110 | 110 |
Stock Compensation | 3,471 | 1,957 |
Cancellation of common stock | (247) | 0 |
Other comprehensive income (loss) | (858) | 1,986 |
Rebalancing of ownership percent between parent and subsidiaries | (2,002) | 1,669 |
Balance, ending | $ 1,216,530 | $ 1,275,681 |
VERIS RESIDENTIAL, INC. STOCK_4
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Share/Unit Repurchase Program And Dividend Reinvestment And Stock Purchase Plan - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Dec. 31, 2022 | |
Stockholders Equity [Line Items] | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Combined aggregate offering price | $ 200,000 | |
ATM, shares issued (in shares) | 0 | |
Dividend Reinvestment And Stock Purchase Plan | ||
Stockholders Equity [Line Items] | ||
Reserved stocks for issuance (in shares) | 5,400,000 | |
Monthly cash investment without restriction, maximum | $ 5 | |
Minimum | ||
Stockholders Equity [Line Items] | ||
ATM commission | 2% |
VERIS RESIDENTIAL, INC. STOCK_5
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Stock Option Plans - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Apr. 30, 2022 | Mar. 31, 2021 | Mar. 31, 2023 | Mar. 31, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | May 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Options exercised (in shares) | 0 | 0 | |||||
Weighted average remaining contractual life | 4 years 3 months 18 days | 4 years 7 months 6 days | |||||
Stock options expense | $ 322 | $ 253 | |||||
Chief Executive Officer | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares granted (in shares) | 950,000 | ||||||
Share price (in dollars per share) | $ 15.79 | ||||||
Chief Investment Officer | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares granted (in shares) | 250,000 | ||||||
Share price (in dollars per share) | $ 16.33 | ||||||
2013 Incentive Stock Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Reserved stocks for issuance (in shares) | 6,565,000 | 4,600,000 |
VERIS RESIDENTIAL, INC. STOCK_6
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Appreciation-Only LTIP Units - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2023 | Mar. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options expense | $ 322 | $ 253 | |
AO LTIP Units Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares to be vested and exercisable (in shares) | 625,000 | ||
Stock options expense | $ 124 | $ 155 |
VERIS RESIDENTIAL, INC. STOCK_7
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Restricted Stock Awards - Narrative (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2023 USD ($) shares | |
Unvested Restricted Stock | Board Member | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 1 year |
Unvested stock outstanding (in shares) | 49,784 |
Unvested Restricted Stock | Non-Executive Employees | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Unvested stock outstanding (in shares) | 309,192 |
Unvested Restricted Stock | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 1 year |
Unvested Restricted Stock | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Time-Based Award | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total unrecognized compensation cost | $ | $ 5.3 |
Total unrecognized compensation cost, period of recognition | 1 year 9 months 18 days |
VERIS RESIDENTIAL, INC. STOCK_8
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Long-Term Incentive Plan Awards - Narrative (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Apr. 30, 2022 executive shares | Mar. 31, 2022 shares | Mar. 31, 2023 USD ($) shares | Dec. 31, 2021 installment shares | |
2021 RSU LTIP Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Performance period | 3 years | |||
Unvested LTIP | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total unrecognized compensation cost | $ | $ 14.7 | |||
Total unrecognized compensation cost, period of recognition | 2 years | |||
Time-Based Award | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total unrecognized compensation cost | $ | $ 5.3 | |||
Total unrecognized compensation cost, period of recognition | 1 year 9 months 18 days | |||
Time-Based Award | 2021 RSU LTIP Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares granted (in shares) | 857,004 | |||
Restricted Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of installments | installment | 3 | |||
Vesting period | 3 years | |||
Share-based compensation arrangement by share-based payment award, vested (in shares) | 777,685 | |||
Unit distribution per common share distribution, percentage | 10% | |||
Unit distribution per common share, accrued percentage | 90% | |||
Restricted Stock Units | Three Executive Officers | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Shares granted (in shares) | 60,000 | |||
Number of executives | executive | 3 | |||
Unvested Restricted Stock | Non-Executive Employees | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Unvested stock outstanding (in shares) | 309,192 | |||
Unvested Restricted Stock | Non-Executive Employees | 2021 RSU LTIP Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unvested stock outstanding (in shares) | 764,976 |
VERIS RESIDENTIAL, INC. STOCK_9
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Deferred Stock Compensation Plan For Directors - Narrative (Details) - shares | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |||
Maximum percentage of retainer fee that directors may defer | 100% | ||
Deferred stock units earned (in shares) | 7,571 | 6,183 | |
Deferred stock units outstanding (in shares) | 73,071 | 66,196 |
VERIS RESIDENTIAL, INC. STOC_10
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Earnings Per Share Tables - Basic Computation Of EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Stockholders Equity [Line Items] | ||
Loss from continuing operations | $ (19,394) | $ (25,453) |
Add (deduct): Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Add (deduct): Noncontrolling interests in Operating Partnership | 2,329 | 2,779 |
Add (deduct): Redeemable noncontrolling interests | (6,366) | (6,437) |
Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to common shareholders | (4,516) | (2,942) |
Loss from continuing operations available to common shareholders | (27,360) | (31,079) |
Income from discontinued operations available to common shareholders | 2,871 | 19,045 |
Net loss available to common shareholders for basic earnings per share | $ (24,489) | $ (12,034) |
Weighted average common shares (in shares) | 91,226 | 90,951 |
Loss from continuing operations available to common shareholders (in dollars per share) | $ (0.30) | $ (0.34) |
Income from discontinued operations available to common shareholders (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
VERIS RESIDENTIAL, L.P. | ||
Stockholders Equity [Line Items] | ||
Loss from continuing operations | $ (19,394) | $ (25,453) |
Add (deduct): Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Add (deduct): Redeemable noncontrolling interests | (6,366) | (6,437) |
Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to common shareholders | (4,977) | (3,233) |
Loss from continuing operations available to common shareholders | (30,150) | (34,149) |
Income from discontinued operations available to common shareholders | 3,164 | 20,926 |
Net loss available to common shareholders for basic earnings per share | $ (26,986) | $ (13,223) |
Loss from continuing operations available to common shareholders (in dollars per share) | $ (0.30) | $ (0.34) |
Income from discontinued operations available to common shareholders (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
VERIS RESIDENTIAL, INC. STOC_11
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Earnings Per Share Tables - Diluted Computation Of EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Stockholders Equity [Line Items] | ||
Net loss from continuing operations available to common shareholders | $ (27,360) | $ (31,079) |
Add (deduct): Noncontrolling interests in Operating Partnership | (2,329) | (2,779) |
Add (deduct): Redemption value adjustment of redeemable noncontrolling interests attributable to the Operating Partnership unitholders | (461) | (291) |
Loss from continuing operations for diluted earnings per share | (30,150) | (34,149) |
Income from discontinued operations for diluted earnings per share | 3,164 | 20,926 |
Net loss available for diluted earnings per share | $ (26,986) | $ (13,223) |
Weighted average common shares (in shares) | 100,526 | 99,934 |
Loss from continuing operations available to common unitholders (in dollars per share) | $ (0.30) | $ (0.34) |
Income from discontinued operations available to common unitholders (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
VERIS RESIDENTIAL, L.P. | ||
Stockholders Equity [Line Items] | ||
Net loss from continuing operations available to common shareholders | $ (30,150) | $ (34,149) |
Income from discontinued operations for diluted earnings per share | 3,164 | 20,926 |
Net loss available for diluted earnings per share | $ (26,986) | $ (13,223) |
Weighted average common unit (in shares) | 100,526 | 99,934 |
Loss from continuing operations available to common unitholders (in dollars per share) | $ (0.30) | $ (0.34) |
Income from discontinued operations available to common unitholders (in dollars per share) | 0.03 | 0.21 |
Net loss available to common shareholders (in dollars per share) | $ (0.27) | $ (0.13) |
VERIS RESIDENTIAL, INC. STOC_12
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Schedule Of Reconciliation Of Shares Used In Basic EPS Calculation To Shares Used In Diluted EPS Calculation (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Stockholders Equity [Line Items] | ||
Basic weighted average shares outstanding (in shares) | 91,226 | 90,951 |
Diluted EPS shares (in shares) | 100,526 | 99,934 |
Operating Partnership – common and vested LTIP units | ||
Stockholders Equity [Line Items] | ||
Weighted average number of shares outstanding, diluted adjustment (in shares) | 9,300 | 8,983 |
VERIS RESIDENTIAL, L.P. | ||
Stockholders Equity [Line Items] | ||
Basic EPU units (in shares) | 100,526 | 99,934 |
Diluted EPU Units (in shares) | 100,526 | 99,934 |
VERIS RESIDENTIAL, INC. STOC_13
VERIS RESIDENTIAL, INC. STOCKHOLDERS’ EQUITY AND VERIS RESIDENTIAL, L.P.’S PARTNERS’ CAPITAL - Earnings Per Share/Unit - Narrative (Details) - $ / shares | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
VERIS RESIDENTIAL, L.P. | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Distribution declared per common unit (in dollars per share) | $ 0 | $ 0 |
Unvested LTIP Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 1,662,578 | 2,218,081 |
Unvested LTIP Units | VERIS RESIDENTIAL, L.P. | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 1,662,578 | 2,218,081 |
Unvested Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 49,784 | 39,529 |
Unvested Restricted Stock | VERIS RESIDENTIAL, L.P. | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 49,784 | 39,529 |
Unvested AO LTIP Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 625,000 | 625,000 |
Unvested AO LTIP Units | VERIS RESIDENTIAL, L.P. | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Anti-dilutive securities excluded from the computation of earnings per share (in shares) | 625,000 | 625,000 |
NONCONTROLLING INTERESTS IN S_3
NONCONTROLLING INTERESTS IN SUBSIDIARIES - Schedule Of Activity Of Noncontrolling Interests (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Balance, value | $ 163,652 | |
Unit distributions | $ 218 | |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Redemption of common units for common stock | 0 | |
Redemption of common units | (16) | (1,442) |
Other comprehensive (loss) income | (945) | 2,182 |
Rebalancing of ownership percentage between parent and subsidiaries | 0 | 0 |
Balance, value | 157,439 | |
Noncontrolling Interests in Subsidiaries | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Balance, value | 163,652 | 167,436 |
Net income | 3,743 | 4,565 |
Unit distributions | 0 | 218 |
Redeemable noncontrolling interests | (6,827) | (6,728) |
Change in noncontrolling interests in consolidated joint ventures | (562) | 11 |
Redemption of common units for common stock | (4,859) | 0 |
Redemption of common units | (16) | (1,442) |
Stock compensation | 393 | 2,533 |
Other comprehensive (loss) income | (87) | 196 |
Rebalancing of ownership percentage between parent and subsidiaries | 2,002 | (1,669) |
Balance, value | $ 157,439 | $ 165,120 |
NONCONTROLLING INTERESTS IN S_4
NONCONTROLLING INTERESTS IN SUBSIDIARIES - Narrative (Details) $ in Thousands | 3 Months Ended | ||
Mar. 13, 2019 shares | Mar. 31, 2023 USD ($) shares | Dec. 31, 2022 | |
Noncontrolling Interest [Line Items] | |||
Rebalance of ownership percentage | $ | $ 2,000 | ||
Number of common shares received upon redemption of common units (in shares) | 1 | ||
Conversion ratio | 1 | ||
Participation Rights | |||
Noncontrolling Interest [Line Items] | |||
Excess net cash flow remaining after the distribution to the Company | 50% | ||
Internal rate of return | 10% | ||
VERIS RESIDENTIAL, L.P. | |||
Noncontrolling Interest [Line Items] | |||
Percentage of noncontrolling interest | 9% | 9.30% | |
AO LTIP Units Award | |||
Noncontrolling Interest [Line Items] | |||
Shares granted (in shares) | 625,000 | ||
Flex Portfolio | |||
Noncontrolling Interest [Line Items] | |||
Redemption of common units (in shares) | 1,168 | ||
Proceeds from sale of properties | $ | $ 16 |
SEGMENT REPORTING - Narrative (
SEGMENT REPORTING - Narrative (Details) | 3 Months Ended | ||
Mar. 31, 2023 USD ($) segment | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of business segments | segment | 2 | ||
Total revenues | $ 66,925,000 | $ 46,169,000 | |
Foreign Locations | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 0 | $ 0 | |
Long lived assets | $ 0 | $ 0 |
SEGMENT REPORTING - Schedule Of
SEGMENT REPORTING - Schedule Of Selected Results Of Operations And Asset Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Segment Reporting Information [Line Items] | |||
Total revenues | $ 66,925 | $ 46,169 | |
Total operating and interest expenses | 60,955 | 51,988 | |
Equity in earnings (loss) of unconsolidated joint ventures | (68) | (487) | |
Net operating income (loss) | 5,902 | (6,306) | |
Total assets | 3,800,656 | $ 3,920,768 | |
Total long-lived assets | 3,526,366 | 3,647,879 | |
Total investments in unconsolidated joint ventures | 124,218 | 126,158 | |
Corporate & Other | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 0 | (502) | |
Total operating and interest expenses | 28,897 | 29,182 | |
Equity in earnings (loss) of unconsolidated joint ventures | 0 | 0 | |
Net operating income (loss) | (28,897) | (29,684) | |
Total assets | 18,601 | 21,121 | |
Total long-lived assets | (1,428) | (1,330) | |
Total investments in unconsolidated joint ventures | 0 | 0 | |
Commercial & Other Real Estate | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 3,948 | 154 | |
Total operating and interest expenses | 5,005 | (1,980) | |
Equity in earnings (loss) of unconsolidated joint ventures | 0 | 0 | |
Net operating income (loss) | (1,057) | 2,134 | |
Total assets | 586,320 | 597,459 | |
Total long-lived assets | 542,737 | 547,923 | |
Total investments in unconsolidated joint ventures | 0 | 0 | |
Multiple-Family Real Estate & Services | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 62,977 | 46,517 | |
Total operating and interest expenses | 27,053 | 24,786 | |
Equity in earnings (loss) of unconsolidated joint ventures | (68) | (487) | |
Net operating income (loss) | 35,856 | $ 21,244 | |
Total assets | 3,195,735 | 3,302,188 | |
Total long-lived assets | 2,985,057 | 3,101,286 | |
Total investments in unconsolidated joint ventures | $ 124,218 | $ 126,158 |
SEGMENT REPORTING - Schedule _2
SEGMENT REPORTING - Schedule Of Reconciliation Of Net Operating Income To Net Income Available To Common Shareholders (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Segment Reporting Information [Line Items] | ||
Net operating income (loss) | $ 5,902 | $ (6,306) |
Depreciation and amortization | (23,876) | (18,838) |
Land and other impairments, net | (3,396) | (2,932) |
(Loss) Gain on disposition of developable land | (22) | 2,623 |
Other income, net | 1,998 | 0 |
Loss from continuing operations | (19,394) | (25,453) |
Income from discontinued operations | 2,384 | 19,090 |
Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Net loss | (16,230) | (4,527) |
Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Noncontrolling interests in Operating Partnership | 2,329 | 2,779 |
Noncontrolling interests in Operating Partnership in discontinued operations | (293) | (1,881) |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Net loss available to common shareholders | (19,973) | (9,092) |
VERIS RESIDENTIAL, L.P. | ||
Segment Reporting Information [Line Items] | ||
Net operating income (loss) | 5,902 | (6,306) |
Depreciation and amortization | (23,876) | (18,838) |
Land and other impairments, net | (3,396) | (2,932) |
(Loss) Gain on disposition of developable land | (22) | 2,623 |
Other income, net | 1,998 | 0 |
Loss from continuing operations | (19,394) | (25,453) |
Income from discontinued operations | 2,384 | 19,090 |
Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net | 780 | 1,836 |
Total discontinued operations, net | 3,164 | 20,926 |
Net loss | (16,230) | (4,527) |
Noncontrolling interests in consolidated joint ventures | 587 | 974 |
Redeemable noncontrolling interests | (6,366) | (6,437) |
Net loss available to common shareholders | $ (22,009) | $ (9,990) |