Real Estate Fund Investments (Tables)

9 Months Ended

Sep. 30, 2016

Summary of Investment in Unconsolidated Real Estate Fund and Income from Fund Investments

The following tables summarize our investments in unconsolidated real estate funds as of September 30, 2016, and income or loss recognized from these investments for the three and nine months ended September 30, 2016.

(Amounts in thousands)	As of September 30, 2016
Our Share of Investments:
Property funds ⁽¹⁾	$	20,813
Alternative investment fund ⁽²⁾		4,708
Investments in unconsolidated real estate funds	$	25,521

⁽¹⁾

Represents our investments in Paramount Group Real Estate Fund II, L.P. (“Fund II”), Paramount Group Real Estate Fund III, L.P. (“Fund III”), and Paramount Group Real Estate Fund VII, L.P. (“Fund VII”) and Paramount Group Real Estate Fund VII-H, L.P. (“Fund VII-H”).

⁽²⁾

Represents our investment in Paramount Group Real Estate Fund VIII, L.P. (“Fund VIII”).

	For the Three Months Ended			For the Nine Months Ended
(Amounts in thousands)	September 30, 2016			September 30, 2016
Our Share of Net Loss:
Net investment income (loss)	$	170		$	(437	)
Net unrealized losses		(361	)		(2,939	)
Carried interest		(1,063	)		836
Loss from unconsolidated real estate funds ⁽¹⁾	$	(1,254	)	$	(2,540	)

⁽¹⁾

Excludes asset management and other fee income from real estate funds, which is included as a component of “fee and other income” in our consolidated statements of income for the three and nine months ended September 30, 2016.

Summary of the Fair Value of Property Funds and the Alternative Investment Fund Consolidated with Balance Sheet and Income from Fund Investments

Below is a summary of the fair value of our Property Funds and the Alternative Investment Fund that were consolidated on our balance sheet as of December 31, 2015 and income from fund investments for the three and nine months ended September 30, 2015.

(Amounts in thousands)	As of December 31, 2015
Real estate fund investments ⁽¹⁾	$	416,438
Cash and other assets, net		7,050
Total real estate fund investments		423,488
Less: noncontrolling interests in consolidated real estate funds		(396,196	)
Paramount Group, Inc.'s equity in real estate fund investments	$	27,292

⁽¹⁾

Represents the fair value of investments owned by Fund II, Fund III, Fund VII, Fund VII-H and Fund VIII.

	For the			For the
	Three Months Ended			Nine Months Ended
(Amounts in thousands)	September 30, 2015			September 30, 2015
Net investment income	$	3,206		$	10,363
Net realized gains		11,955			11,955
Previously recorded unrealized gains on exited investments		(6,790	)		(6,058	)
Net unrealized gains		2,562			13,966
Income from real estate fund investments		10,933			30,226
Less: noncontrolling interests in consolidated real estate funds ⁽¹⁾		(8,763	)		(19,283	)
Income from real estate fund investments attributable to Paramount Group, Inc.	$	2,170		$	10,943

⁽¹⁾

Includes $1,372 and $3,985 of asset management fee income that was reflected as a reduction of the amounts attributable to noncontrolling interests for the three and nine months ended September 30, 2015, respectively.