Goodwill and Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2016

The following table summarizes our intangible assets, which are comprised of servicing rights intangibles and lease intangibles, as of March 31, 2016 and December 31, 2015 (amounts in thousands):


	As of March 31, 2016						As of December 31, 2015
	Gross Carrying		Accumulated		Net Carrying		Gross Carrying		Accumulated		Net Carrying
	Value		Amortization		Value		Value		Amortization		Value
Domestic servicing rights, at fair value	$	95,492	$	—	$	95,492	$	119,698	$	—	$	119,698
European servicing rights (1)		30,778		(28,656)		2,122		31,593		(28,967)		2,626
In-place lease intangible assets		88,364		(19,899)		68,465		74,983		(8,898)		66,085
Favorable lease intangible assets		15,914		(1,517)		14,397		14,103		(942)		13,161
Total net intangible assets	$	230,548	$	(50,072)	$	180,476	$	240,377	$	(38,807)	$	201,570

(1)

The fair value as of March 31, 2016 and December 31, 2015 was $4.9 million and $5.3 million, respectively.

Summary of activity within intangible assets

The following table summarizes the activity within intangible assets for the three months ended March 31, 2016 (amounts in thousands):


	Domestic		European		In-place Lease		Favorable Lease
	Servicing		Servicing		Intangible		Intangible
	Rights		Rights		Assets		Assets		Total
Balance as of January 1, 2016	$	119,698	$	2,626	$	66,085	$	13,161	$	201,570
Impact of ASU 2015-02 Adoption (1)		(17,467)		—		—		—		(17,467)
Acquisition of additional Woodstar Portfolio properties		—		—		6,837		—		6,837
Acquisition of additional REO Portfolio properties		—		—		4,290		1,268		5,558
Amortization		—		(435)		(10,716)		(528)		(11,679)
Foreign exchange (loss) gain		—		(69)		1,969		496		2,396
Changes in fair value due to changes in inputs and assumptions		(6,739)		—		—		—		(6,739)
Balance as of March 31, 2016	$	95,492	$	2,122	$	68,465	$	14,397	$	180,476

(1)

As discussed in Notes 2 and 14, our implementation of ASU 2015-02 resulted in the consolidation of certain CMBS trusts effective January 1, 2016, which required the elimination of $17.5 million of domestic servicing rights associated with these newly consolidated trusts.

Schedule of future amortization expense

The following table sets forth the estimated aggregate amortization of our European servicing rights, in-place lease intangible assets and favorable lease intangible assets for the next five years and thereafter (amounts in thousands):


2016 (remainder of)	$	18,931
2017		11,622
2018		10,080
2019		8,663
2020		6,708
Thereafter		28,980
Total	$	84,984