Unconsolidated Real Estate Joint Ventures (Tables)

12 Months Ended

Dec. 31, 2018

Unconsolidated Real Estate Joint Ventures [Line Items]

Equity Method Investments and Joint Ventures Disclosure [Text Block]

Unconsolidated Real Estate Joint Ventures

On December 21, 2018, the Company entered into two real estate joint venture agreements to acquire two recreation anchored lodging properties located in St. Petersburg Beach, Florida with an initial investment of $29.5 million. The Company has a 65% interest in these joint ventures and accounts for its investment under the equity method of accounting. The Company's partner, Gencom and its affiliates, own the remaining 35% interest in the joint ventures. There are two separate joint ventures, one that holds the investment in the real estate of the recreation anchored lodging properties and the other holds lodging operations, which are facilitated by a management agreement with an eligible independent contractor. The Company's investment in the operating entity is held in a TRS.

As of December 31, 2018, management determined the Company's investments in these joint ventures were considered to be variable interests and the underlying entities are variable interest entities (VIE). The Company is not the primary beneficiary of the VIEs as the Company does not individually have the power to direct the activities that are most important to the joint ventures. The power to direct these activities is shared equally among the Company and its partner, and accordingly these investments are not consolidated. See Note 10 for further discussion on these VIEs.

The joint venture that holds the real property obtained a short-term secured mortgage loan of $60.0 million upon closing. The maturity date of this mortgage loan is June 21, 2019. The loan bears interest of LIBOR + 3.75% with monthly interest payments required.

The Company recognized income of $52 thousand and received no distributions during 2018 related to the equity investment in these joint ventures.

In addition, as of December 31, 2018 and 2017, the Company had invested $4.9 million and $5.6 million, respectively, in unconsolidated joint ventures for three theatre projects located in China. The Company recognized a loss of $74 thousand and income of $72 thousand and $619 thousand and received distributions of $567 thousand, $442 thousand and $816 thousand from its investment in these joint ventures for the years ended December 31, 2018, 2017 and 2016, respectively.