XML 32 R21.htm IDEA: XBRL DOCUMENT v3.19.1
Revenues
3 Months Ended
Mar. 31, 2019
Revenues [Abstract]  
Revenues

 

13.

Revenues

 

 

Our revenues consist of rental revenues and revenues from contracts with customers. The following table sets forth the details of our revenues.

 

 

For the Three Months Ended March 31,

 

(Amounts in thousands)

2019

 

 

2018

 

Rental revenue

$

182,616

 

(1)

$

177,679

 

Fee and other income:

 

 

 

 

 

 

 

Fee income:

 

 

 

 

 

 

 

Property management

 

1,642

 

 

 

1,502

 

Asset management

 

2,318

 

 

 

1,610

 

Acquisition, disposition and leasing

 

1,331

 

 

 

-

 

Other

 

708

 

 

 

353

 

Total fee income

 

5,999

 

 

 

3,465

 

Other income (2)

 

3,177

 

 

 

3,127

 

Total fee and other income

 

9,176

 

 

 

6,592

 

Total revenues

$

191,792

 

 

$

184,271

 

 

 

(1)

Includes $17,373 of variable rental revenue, primarily related to tenant reimbursements.

 

 

(2)

Primarily comprised of (i) tenant requested services, including overtime heating and cooling and (ii) parking income.  

 

 

 

Rental Revenue

 

Rental revenue is recognized in accordance with ASC Topic 842, Leases, and consists of (i) cash rents, which represents revenue each tenant pays in accordance with the terms of its respective lease and that is recognized on a straight-line basis over the non-cancellable term of the lease, and includes the effects of rent steps and rent abatements under the leases, (ii) amortization of acquired above and below-market leases, net, (iii) tenant reimbursements, which are recoveries of all or a portion of the operating expenses and real estate taxes of the property and is recognized in the same period as the expenses are incurred and (iv) lease termination income. Our leases, which comprise the lease-up of office, retail and storage space to tenants, primarily under non-cancellable operating leases, have terms generally ranging from five to fifteen years. Most of our leases provide tenants with extension options at either fixed or market rates and few of our leases provide tenants with options to early terminate, but such options generally impose an economic penalty on the tenant upon exercising.  

 

The following table is a schedule of future undiscounted cash flows under non-cancelable operating leases in effect as of March 31, 2019, for the nine month period from April 1, 2019 through December 31, 2019 and each of the five succeeding years commencing January 1, 2020.

 

 

(Amounts in thousands)

 

 

 

2019

 

$

461,668

 

2020

 

 

612,577

 

2021

 

 

568,412

 

2022

 

 

536,275

 

2023

 

 

497,176

 

2024

 

 

462,287

 

Thereafter

 

 

2,284,890

 

Total

 

$

5,423,285

 

 


 

Revenue from Contracts with Customers

 

Revenue from contracts with customers, which is primarily comprised of (i) property management fees, (ii) asset management fees, (iii) fees relating to acquisitions, dispositions and leasing services and (iv) other fee income, is recognized in accordance with ASC Topic 606, Revenue From Contracts With Customers. Fee income is generated from the various services we provide to our customers and is disaggregated based on the types of services we provide pursuant to ASC Topic 606.

 

Fee income is recognized as and when we satisfy our performance obligations pursuant to contractual agreements. Property management and asset management services are provided continuously over time and revenue is recognized over that time. Fee income relating to acquisitions, dispositions and leasing services is recognized upon completion of the acquisition, disposition or leasing services as required in the contractual agreements. The amount of fee income to be recognized is stated in the contract as a fixed price or as a stated percentage of revenues, contributed capital or transaction price. Fee income is reported in a non-operating segment, and therefore is shown as a reconciling item to net income in Note 20, Segments.