Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Schedule of components of income tax expense (benefit)

The following represents the Company’s TRS income tax benefit (expense) ($ in thousands):

	For the Years Ended December 31,
	2021		2020		2019
Current tax benefit (expense)(1)(2)	$	82	$	(106)	$	(35)
Total income tax (expense) benefit	$	82	$	(106)	$	(35)

(1) For the years ended December 31, 2021, 2020, and 2019, excludes a REIT tax expense of $0.1 million, $0.1 million, $0.4 million, respectively.

(2) Under the Tax Cuts and Jobs Act, the alternative minimum tax credit carryforward is a refundable tax credit over a four year period beginning in 2018 and ending in 2021 upon which the full amount of the credit will be allowed. The CARES Act enacted on March 27, 2020 permits corporate taxpayers to accelerate the full amount of its alternative minimum tax credits. The Company filed a claim for refund and received a $3.0 million refund in 2020 for which the benefit had been recognized in 2017. An additional refund of alternative minimum taxes in the amount of $0.7 million was received during the year ended December 31, 2021 for which a tax benefit was recorded.

Schedule of deferred tax assets and liabilities

Deferred tax assets and liabilities of the Company’s TRS entities were as follows ($ in thousands):

	As of December 31,
	2021		2020
Deferred tax assets(1)	$	69,360	$	80,101
Valuation allowance		(69,360)		(80,101)
Net deferred tax assets (liabilities)	$	—	$	—

(1) Deferred tax assets as of December 31, 2021 include temporary differences related primarily to asset basis of $18.7 million, deferred expenses and other items of $8.0 million, NOL carryforwards of $40.3 million and other credits of $2.4 million. Deferred tax assets as of December 31, 2020 include temporary differences related primarily to asset basis of $26.7 million, deferred expenses and other items of $12.7 million, NOL carryforwards of $38.4 million and other credits of $2.3 million. The Company has determined that the change in tax law associated with the Tax Cuts and Jobs Act will not have a material effect on whether its deferred tax assets are realizable.

Schedule of Discontinued Operations

The following table presents the Company’s consolidated assets and liabilities recorded in “Real estate and other assets available and held for sale and classified as discontinued operations” and “Liabilities associated with real estate held for sale and classified as discontinued operations,” respectively, on the Company’s consolidated balance sheets as of December 31, 2021 and 2020 ($ in thousands).

	As of
	December 31,
	2021		2020
ASSETS
Real estate
Real estate, at cost	$	1,537,655	$	1,542,101
Less: accumulated depreciation		(271,183)		(250,198)
Total real estate, net		1,266,472		1,291,903
Net investment in leases ($10,871 of allowances as of December 31, 2020)		486,389		429,101
Loans receivable held for sale		48,675		45,399
Other investments		103,229		78,998
Finance lease right of use assets		150,099		143,727
Accrued interest and operating lease income receivable, net		2,997		3,926
Deferred operating lease income receivable, net		63,156		55,223
Deferred expenses and other assets, net		178,694		180,293
Total real estate and other assets available and held for sale and classified as discontinued operations	$	2,299,711	$	2,228,570
LIABILITIES
Accounts payable, accrued expenses and other liabilities	$	92,865	$	122,441
Finance lease liabilities		161,258		150,520
Debt obligations, net		714,296		717,695
Total liabilities associated with real estate held for sale and classified as discontinued operations	$	968,419	$	990,656

The transaction described above involving the Company's net lease business qualified for discontinued operations and the following table summarizes net income from discontinued operations for the years ended December 31, 2021, 2020 and 2019 ($ in thousands):

	For the Years Ended December 31,
	2021		2020		2019
Revenues:
Operating lease income	$	164,811	$	164,446	$	174,094
Interest income		3,717		3,440		2,018
Interest income from sales-type leases		35,826		33,552		20,496
Other income		5,178		5,412		9,183
Total revenues		209,532		206,850		205,791
Costs and expenses:
Interest expense		43,232		42,746		42,220
Real estate expense(1)		27,366		26,410		24,589
Depreciation and amortization		52,221		50,765		51,083
(Recovery of) provision for loan losses		(1,150)		186		—
(Recovery of) provision for losses on net investment in leases		(10,871)		1,760		—
Impairment of assets		2,286		2,036		2,471
Other expense		16,476		—		—
Total costs and expenses		129,560		123,903		120,363
Income from sales of real estate		8,476		—		224,654
Income from discontinued operations before earnings from equity method investments and other items		88,448		82,947		310,082
Earnings from equity method investments		8,123		2,654		(529)
Selling profit from sales-type leases		25,034		—		180,416
Net income from discontinued operations before income taxes		121,605		85,601		489,969
Income tax expense		(153)		(146)		(69)
Net income from discontinued operations		121,452		85,455		489,900
Net (income) from discontinued operations attributable to noncontrolling interests		(5,620)		(11,251)		(10,730)
Net income from discontinued operations attributable to iStar Inc.	$	115,832	$	74,204	$	479,170

(1) For the years ended December 31, 2021, 2020 and 2019, the Company recorded $8.4 million, $8.2 million and $5.0 million, respectively, of “Real estate expense” in its consolidated statements of operations from its Ground Leases with Safehold Inc. (“SAFE”).

The following table presents cash flows provided by operating activities and cash flows used in investing activities from discontinued operations for the years ended December 31, 2021, 2020 and 2019 ($ in thousands).

	For the Years Ended December 31,
	2021		2020		2019
Cash flows provided by operating activities	$	85,249	$	112,783	$	117,425
Cash flows provided by (used in) investing activities		2,030		(51,998)		(74,028)