XML 46 R31.htm IDEA: XBRL DOCUMENT v3.21.2
Segment Information
 6 Months Ended
Jun. 30, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company has two reportable segments, real estate and debt and preferred equity investments. We evaluate real estate performance and allocate resources based on earnings contributions.
The primary sources of revenue are generated from tenant rents and escalations and reimbursement revenue. Real estate property operating expenses consist primarily of security, maintenance, utility costs, insurance, real estate taxes and ground rent expense (at certain applicable properties). See Note 5, "Debt and Preferred Equity Investments," for additional details on our debt and preferred equity investments.
Selected consolidated results of operations for the three and six months ended June 30, 2021 and 2020, and selected asset information as of June 30, 2021 and December 31, 2020, regarding our operating segments are as follows (in thousands):
Real Estate SegmentDebt and Preferred Equity SegmentTotal Company
Total revenues
Three months ended:
June 30, 2021$198,000 $20,107 $218,107 
June 30, 2020213,756 39,943 253,699 
Six months ended:
June 30, 2021$404,829 $39,380 $444,209 
June 30, 2020489,526 78,476 568,002 
Net income
Three months ended:
June 30, 2021$100,239 $16,895 $117,134 
June 30, 202040,057 26,570 66,627 
Six months ended:
June 30, 2021$80,212 $33,067 $113,279 
June 30, 2020151,290 42,451 193,741 
Total assets
As of:
June 30, 2021$10,042,944 $1,123,220 $11,166,164 
December 31, 202010,579,899 1,127,668 11,707,567 
Interest costs for the debt and preferred equity segment include actual costs incurred for borrowings on the 2017 MRA and the FHLB Facility. Interest is imputed on the investments that do not collateralize the 2017 MRA and the FHLB Facility using our weighted average corporate borrowing cost. We also allocate loan loss reserves, net of recoveries, and transaction related costs to the debt and preferred equity segment. We do not allocate marketing, general and administrative expenses to the debt and preferred equity segment because the use of personnel and resources is dependent on transaction volume between the two segments and varies between periods. In addition, we base performance on the individual segments prior to allocating marketing, general and administrative expenses. For the three and six months ended June 30, 2021, marketing, general and administrative expenses totaled $22.1 million and $44.9 million, respectively. For the three and six months ended June 30, 2020, marketing, general and administrative expenses totaled $23.5 million and $43.1 million, respectively. All other expenses, except interest, relate entirely to the real estate assets.
There were no transactions between the above two segments.