Real Estate Assets (Tables)

9 Months Ended

Sep. 30, 2020

Business Acquisition

real estate owned [Table Text Block]

The Company's real estate assets consisted of:

	As of:
	September 30, 2020	December 31, 2019
Residential properties:
Properties (1,2)	44	42
Units	12,936	12,256
Beds	6,095	6,095
New Market Properties:
Properties (2)	54	52
Gross leasable area (square feet) (3)	6,208,278	6,041,629
Preferred Office Properties:
Properties (2,4)	9	10
Rentable square feet	3,169,000	3,204,000
(1) The acquired second phases of CityPark View and Crosstown Walk communities are managed in combination with the initial phases and so together are considered a single property, as is the Regent at Lenox Village within the Lenox Portfolio.
(2) One multifamily community, two student housing properties, two grocery-anchored shopping centers and two office buildings are owned through consolidated joint ventures. One grocery-anchored shopping center is an investment in an unconsolidated joint venture.
(3) The Company also owns approximately 47,600 square feet of gross leasable area of ground floor retail space which is embedded within the Lenox Portfolio and is not included in the totals above for New Market Properties.
(4) Excludes our 251 Armour property, comprising 35,000 rentable square feet that is under development and our 4th & Brevard land parcel, that is slated for future development.

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The Company allocated the purchase prices to the acquired assets and liabilities based upon their fair values, as shown in the following table. The purchase price allocation was based upon the Company's best estimates of the fair values of the acquired assets and liabilities.

	New Market Properties' acquisitions during the nine-month periods ended September 30,
(In thousands, except amortization period data)	2020		2019
Land	$	9,328	$	57,916
Buildings and improvements	12,264		101,873
Tenant improvements	2,099		8,230
In-place leases	3,043		16,080
Above market leases	107		2,759
Leasing costs	1,237		5,768
Below market leases	(359)		(10,537)
Prepaid taxes and other assets	61		98
Security deposits, prepaid rents, and other	(249)		(748)
Net assets acquired	$	27,531	$	181,439
Cash paid	$	19,640	$	65,526
Mortgage debt	7,891		115,913
Total consideration	$	27,531	$	181,439
Three-month period ended September 30, 2020
Revenue	$	678	$	3,976
Net income (loss)	$	5	$	(997)
Nine-month period ended September 30, 2020
Revenue	$	1,723	$	13,094
Net income (loss)	$	59	$	(2,126)
Capitalized acquisition costs incurred by the Company	$	470	$	4,022
Capitalized acquisition costs paid to related party (included above)	$	249	$	1,799
Remaining amortization period of intangible
assets and liabilities (years)	10.2		8.0

schedule of depreciation and amortization expense [Table Text Block]

The Company recorded aggregate amortization and depreciation expense of:

(In thousands)	Three-month periods ended September 30,				Nine-month periods ended September 30,
	2020		2019		2020		2019
Depreciation:
Buildings and improvements	$	29,050	$	25,509	$	85,811	$	72,686
Furniture, fixtures, and equipment	12,817		12,296		38,132		37,961
	41,867		37,805		123,943		110,647
Amortization:
Acquired intangible assets	9,510		8,169		27,873		25,732
Deferred leasing costs	368		217		1,132		670
Website development costs	49		48		148		142
Total depreciation and amortization	$	51,794	$	46,239	$	153,096	$	137,191

Schedule of Joint Venture Activity

The following tables summarize the balance sheet and statements of income data for Neapolitan Way shopping center subsequent to its contribution into the joint venture as of and for the periods presented:

(in thousands)	September 30, 2020
Total assets	$	39,843
Total liabilities	$	26,142

	Three months ended		Nine months ended
	September 30,		September 30,
	2020		2020
Rental and other property revenues	$	651	$	651
Total operating expenses	$	797	$	797
Interest expense	$	94	$	94
Net income (loss)	$	(240)	$	(240)
Net income (loss) attributable to the Company	$	(120)	$	(120)

multifamily community [Domain]

Business Acquisition

Table of Properties Acquired

During the nine-month period ended September 30, 2020, the Company completed the acquisition of the following multifamily communities:

Acquisition date	Property	Location	Units
3/31/2020	Horizon at Wiregrass	Tampa, Florida	392
4/30/2020	Parkside at the Beach	Panama City Beach, Florida	288
			680

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The Company allocated the purchase prices and capitalized acquisition costs to the acquired assets and liabilities based upon their fair values, as shown in the following table. The purchase price allocations were based upon the Company's best estimates of the fair values of the acquired assets and liabilities.

	Multifamily Community acquired during the nine-month period ended
(In thousands, except amortization period data)	September 30, 2020
Land	$	12,945
Buildings and improvements	100,113
Furniture, fixtures and equipment	26,284
Lease intangibles	5,968
Prepaids & other assets	24
Accrued taxes	(437)
Security deposits, prepaid rents, and other liabilities	(384)
Net assets acquired	$	144,513
Cash paid	$	99,476
Mortgage debt, net	45,037
Total consideration	$	144,513
Three-months ended September 30, 2020
Revenue	$	2,883
Net income (loss)	$	(1,832)
Nine-months ended September 30, 2020
Revenue	$	5,258
Net income (loss)	$	(4,018)
Capitalized acquisition costs incurred by the Company	$	4,085
Acquisition costs paid to related party (included above)	$	—
Remaining amortization period of intangible
assets and liabilities (months)	11.5

student housing community [Domain]

Business Acquisition

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The Company allocated the asset's fair value and capitalized acquisition costs to the acquired assets and liabilities based upon their fair values, as shown in the following table. The purchase price allocations were based upon the Company's best estimates of the fair values of the acquired assets and liabilities.

	Student housing property acquired during the nine-month period ended
(In thousands, except amortization period data)	September 30, 2019
Land	$	7,289
Buildings and improvements	68,163
Furniture, fixtures and equipment	16,966
Lease intangibles	983
Accrued taxes	(158)
Security deposits, prepaid rents, and other liabilities	(2,579)
Net assets acquired	$	90,664
Satisfaction of loan receivables	$	46,397
Cash paid	2,717
Mortgage debt, net	41,550
Total consideration	$	90,664
Three-months ended September 30, 2020
Revenue	$	2,042
Net income (loss)	$	36
Nine-months ended September 30, 2020
Revenue	$	5,980
Net income (loss)	$	307
Capitalized acquisition costs incurred by the Company	$	1,016
Acquisition costs paid to related party	$	936
Remaining amortization period of intangible
assets and liabilities (months)	0

Retail Segment [Member]

Business Acquisition

Table of Properties Acquired

During the nine-month periods ended September 30, 2020 and 2019, the Company completed the acquisition of the following grocery-anchored shopping centers:

Acquisition date	Property	Location	Gross leasable area (square feet)
1/29/2020	Wakefield Crossing	Raleigh, North Carolina	75,927
3/19/2020	Midway Market	Dallas, Texas	85,599
			161,526
1/17/2019	Gayton Crossing	Richmond, Virginia	158,316
5/28/2019	Free State Shopping Center	Washington, D.C.	264,152
6/12/2019	Disston Plaza	Tampa - St. Petersburg, Florida	129,150
6/12/2019	Polo Grounds Mall	West Palm Beach, Florida	130,285
8/16/2019	Fairfield Shopping Center (1)	Virginia Beach, VA	231,829
			913,732
(1) Property is owned through a consolidated joint venture.