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Equity Method Investments (Tables)

3 Months Ended

Mar. 31, 2022

Equity Method Investments and Joint Ventures [Abstract]

The following table summarizes our equity method investments (in thousands), which were included in other assets on the condensed consolidated balance sheets:


Investee	Ownership Percentage	March 31, 2022		December 31, 2021
EMEA 1 Joint Venture with GIC	20%	$	127,827	$	131,516
EMEA 2 Joint Venture with GIC	20%	35,255		34,944
Asia-Pacific 1 Joint Venture with GIC	20%	64,188		60,108
Asia-Pacific 2 Joint Venture with PGIM	20%	30,286		—
Other	Various	19,759		18,481
Total		$	277,315	$	245,049

Summary of the maximum exposure losses of VIE Joint Ventures

The following table summarizes our maximum exposure to loss related to the VIE Joint Ventures as of March 31, 2022 (in thousands):


	Asia-Pacific 1 Joint Venture		EMEA 2 Joint Venture		Asia-Pacific 2 Joint Venture
Equity Investment	$	64,188	$	35,255	$	30,286
Outstanding Receivables	2,124		18,676		6,950
Future Equity Contribution Commitments (1)	2,030		67,033		1,086
Maximum Future Payments under Debt Guarantees (2)	N/A (3)		37,133		N/A (3)
Total	$	68,342	$	158,097	$	38,322

(1)The joint ventures' partners are required to make additional equity contributions proportionately upon certain occurrences, such as a shortfall in capital necessary to complete certain construction phases or make interest payments on their outstanding debt.

(2)In connection with our 20% equity investment in the EMEA 2 Joint Venture, we provided the lenders with our guarantees covering 20% of all payments of principal and interest due under EMEA 2 Joint Venture's credit facility agreements (see Note 11).

(3)The joint venture’s debt is secured by the net assets of the respective joint venture without recourse to its partners.

Summary of other related party transactions

The following table presents the revenues and expenses from these arrangements with the Joint Ventures in our condensed consolidated statements of operations (in thousands):


		Three Months Ended March 31,
Related Party	Nature of Transaction	2022		2021
EMEA 1 Joint Venture	Revenues	$	6,302	$	7,189
EMEA 1 Joint Venture	Expenses (1)	4,328		4,541
Asia-Pacific 1 Joint Venture	Revenues	2,811		—
EMEA 2 Joint Venture	Revenues	4,107		—
Asia-Pacific 2 Joint Venture	Revenues	85		—

(1)We have a sub-lease agreement with the EMEA 1 Joint Venture to sub-lease a portion of London ("LD") 10-2 data center or former LD10 data center, for a total of 15 years. Balances primarily consist of rent expenses for the LD10-2 data center.

The following table presents the assets and liabilities from related party transactions with the Joint Ventures in our condensed consolidated balance sheets (in thousands):


Related Party	Balance Sheet Line Item	March 31, 2022		December 31, 2021
EMEA 1 Joint Venture	Receivables	$	36,099	$	32,077
	Contract Assets (1)	54,132		54,503
	Finance Lease Right of Use Assets	113,081		118,817
	Other Liabilities and Payables	1,011		2,483
	Other Liabilities and Payables - construction obligation (2)	41,453		39,382
	Deferred Revenue	16,375		16,886
	Finance Lease Right of Use Liabilities	119,539		124,918
Asia-Pacific 1 Joint Venture	Receivables	2,124		2,124
	Payables	—		121
EMEA 2 Joint Venture	Receivables	18,676		26,953
	Contract Assets	1,753		1,492
	Payables	2,049		1,755
Asia-Pacific 2 Joint Venture	Receivables	6,950		—

(1)A portion of the EMEA 1 Joint Venture contract asset balance relates to commitments to complete a residual portion of the Paris 9 data center sold to the EMEA 1 Joint Venture, which is reimbursable in full upon completion.

(2)The balance primarily relates to the obligation to pay for future construction for certain sites sold as a part of the EMEA 1 Joint Venture transaction.

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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