Investments in Unconsolidated Joint Ventures (Tables)

12 Months Ended

Dec. 31, 2023

Summary of Financial Information of Unconsolidated Joint Ventures

The following tables summarize our investments in unconsolidated joint ventures as of the dates thereof and the income or loss from these investments for the periods set forth below.

(Amounts in thousands)	Paramount	As of December 31,
Our Share of Investments:	Ownership	2023		2022
712 Fifth Avenue (1)	50.0%	$	-	$	-
Market Center (1)	67.0%		-		192,948
55 Second Street (2)	44.1%		30,322		85,340
111 Sutter Street (1)	49.0%		-		-
1600 Broadway (2)	9.2%		8,646		9,113
60 Wall Street (1)	5.0%		-		25,034
One Steuart Lane (2)	35.0% (3)		89,949		77,961
Oder-Center, Germany (2)	9.5%		3,322		3,107
Investments in unconsolidated joint ventures		$	132,239	$	393,503

(Amounts in thousands)	For the Year Ended December 31,
Our Share of Net (Loss) Income:	2023				2022				2021
712 Fifth Avenue (1)	$	-			$	-			$	(10,265	)
Market Center (1)		(161,514	)	(4)		(10,405	)			(11,848	)
55 Second Street (2)		(55,018	)	(5)		(2,943	)			(2,912	)
111 Sutter Street (1)		-				(35,190	)	(6)		(2,658	)
1600 Broadway (2)		-				(9	)			-
60 Wall Street (1)		(25,001	)	(7)		(89	)			66
One Steuart Lane (2)		(28,727	)	(8)		(4,696	)			2,678
Oder-Center, Germany (2)		(38	)			81				43
Loss from unconsolidated joint ventures	$	(270,298	)		$	(53,251	)		$	(24,896	)

(1)At December 31, 2023, our basis in the joint ventures that own 712 Fifth Avenue, Market Center, 111 Sutter and 60 Wall Street was negative. Since we have no further obligation to fund additional capital to these joint ventures, we have discontinued the equity method of accounting, and accordingly, we no longer recognize our proportionate share of earnings. Instead, we recognize income only to the extent we receive cash distributions from the joint ventures and recognize losses to the extent we make cash contributions to the joint ventures.

(2)As of December 31, 2023, the carrying amount of our investments in 55 Second Street, 1600 Broadway, One Steuart Lane and Oder-Center, Germany was greater than our share of equity in these investments by $462, $306, $590, $4,063, respectively, and primarily represents the unamortized portion of our capitalized acquisition costs.

(3)Represents RDF’s economic interest in One Steuart Lane, a for-sale residential condominium project. Our economic interest in One Steuart Lane (based on our 7.4% ownership interest in RDF) is 2.6%.

(4)In the fourth quarter of 2023, the joint venture that owns Market Center recognized a $341,872 real estate impairment loss, of which our 67.0% share was $229,054. Given that our share of the real estate impairment loss together with our share of operating and other losses recognized in the fourth quarter brought the basis of our investment in the joint venture below zero, in accordance with GAAP we were limited to recognizing $148,906 of the real estate impairment loss during the year ended December 31, 2023.

(5)In the fourth quarter of 2023, the joint venture that owns 55 Second Street recognized a $119,279 real estate impairment loss, of which our share was $52,590.

(6)In the fourth quarter of 2022, the joint venture that owns 111 Sutter Street recognized a $64,663 real estate impairment loss, of which our share was $31,685.

(7)In May 2023, the joint venture that owns 60 Wall Street defaulted on the $575,000 non-recourse mortgage loan securing the property. The joint venture is currently in negotiations with the lender to modify the loan. Additionally, in the second quarter of 2023, the joint venture recognized a $455,893 real estate impairment loss, of which our share was $24,734.

(8)In the third quarter of 2023, One Steuart Lane recognized $68,407 of impairment losses related to residential condominium units, of which RDF’s share was $23,942.

Unconsolidated Joint Ventures [Member]

Summary of Financial Information of Unconsolidated Joint Ventures

The following tables provide the combined summarized financial information of our unconsolidated joint ventures as of the dates thereof and for the periods set forth below.

(Amounts in thousands)	As of December 31,
Balance Sheets:	2023		2022
Real estate, net	$	1,528,595	$	2,377,084
Cash and cash equivalents and restricted cash		167,355		252,540
Intangible assets, net		52,164		69,599
For-sale residential condominium units (1)		246,824		322,232
Other assets		84,179		87,054
Total assets	$	2,079,117	$	3,108,509
Notes and mortgages payable, net	$	1,744,706	$	1,834,916
Intangible liabilities, net		5,026		10,972
Other liabilities		98,462		50,783
Total liabilities		1,848,194		1,896,671
Equity		230,923		1,211,838
Total liabilities and equity	$	2,079,117	$	3,108,509

(Amounts in thousands)	For the Year Ended December 31,
Income Statements:	2023				2022				2021
Revenues:
Rental revenue	$	155,549			$	194,031			$	229,420
Other income (2)		11,234				65,850				139,705
Total revenues		166,783				259,881				369,125
Expenses:
Operating (2)		169,826		(3)		152,313				220,396
Depreciation and amortization		67,727				85,949				107,079
Total expenses		237,553				238,262				327,475
Other income (expense):
Interest and other income (loss), net		3,035				991				(111	)
Interest and debt expense		(73,485	)			(62,173	)			(63,493	)
Real estate impairment loss		(917,044	)	(4)		(64,663	)	(5)		-
Loss before income taxes		(1,058,264	)			(104,226	)			(21,954	)
Income tax expense		(32	)			(60	)			(32	)
Net loss	$	(1,058,296	)		$	(104,286	)		$	(21,986	)

(1)Represents residential condominium units at One Steuart Lane that are available for sale.

(2)Includes proceeds and cost of sales from the sale of residential condominium units at One Steuart Lane.

(3)Includes $68,407 of impairment losses related to condominium units at One Steuart Lane, of which RDF’s share was $23,942. See note 8 on page 86.

(4)Represents real estate impairment losses related to Market Center, 55 Second Street, and 60 Wall Street, of which our share was $148,906, $52,590, and $24,734, respectively. See notes 4, 5, and 7 on page 86.

(5)Represents a real estate impairment loss on 111 Sutter Street, of which our share was $31,685.