Investments in Unconsolidated Joint Ventures (Tables)

12 Months Ended

Dec. 31, 2021

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	2021		2020
712 Fifth Avenue ⁽¹⁾	50.0%	$	-	$	-
Market Center	67.0%		185,344		192,306
55 Second Street ⁽²⁾	44.1%		88,284		92,298
111 Sutter Street	49.0%		35,182		37,818
60 Wall Street ⁽²⁾	5.0%		19,230		19,164
One Steuart Lane ⁽²⁾	35.0% ⁽³⁾		76,428		67,505
Oder-Center, Germany ⁽²⁾	9.5%		3,628		3,633
Investments in unconsolidated joint ventures		$	408,096	$	412,724

(Amounts in thousands)	For the Year Ended December 31,
Our Share of Net (Loss) Income:	2021				2020			2019
712 Fifth Avenue ⁽¹⁾	$	(10,265	)		$	687		$	1,849
Market Center ⁽⁴⁾		(11,848	)			(11,315	)		(744	)
55 Second Street ⁽²⁾⁽⁵⁾		(2,912	)			(2,723	)		(826	)
111 Sutter Street ⁽⁶⁾		(2,658	)			(3,172	)		(4,394	)
60 Wall Street ⁽²⁾		66				(70	)		(551	)
One Steuart Lane ⁽²⁾		2,678		⁽⁷⁾		(2,043	)		(118	)
Oder-Center, Germany ⁽²⁾		43				17			78
Loss from unconsolidated joint ventures	$	(24,896	)		$	(18,619	)	$	(4,706	)

⁽¹⁾

At December 31, 2020, our basis in the joint venture that owns 712 Fifth Avenue was negative $22,345. Since we have no further obligation to fund additional capital to the joint venture, we no longer recognize our proportionate share of earnings from the joint venture. Instead, we recognize income only to the extent we receive cash distributions from the joint venture and recognize losses to the extent we make cash contributions to the joint venture. During the year ended December 31, 2021, we received $1,485 in distributions from the joint venture and made an $11,750 contribution to the joint venture. Accordingly, we recognized a loss of $10,265, which is included in “loss from unconsolidated joint ventures” on our consolidated statement of income. Additionally, the joint venture had net losses of $4,498 for the year ended December 31, 2021, of which our 50.0% share was $2,249. Accordingly, our basis in the joint venture, taking into account distributions received, contributions made and our share of losses, was negative $14,329 as of December 31, 2021.

⁽²⁾

As of December 31, 2021, the carrying amount of our investments in 55 Second Street, 60 Wall Street, One Steuart Lane and Oder-Center, Germany was greater than our share of equity in these investments by $478, $2,617, $751, $4,658, respectively, and primarily represents the unamortized portion of our capitalized acquisition costs.

⁽³⁾

Represents our consolidated Residential Development Fund’s (“RDF”) economic interest in One Steuart Lane, a for-sale residential condominium project.

⁽⁴⁾

Acquired on December 11, 2019.

⁽⁵⁾

Acquired on August 21, 2019.

⁽⁶⁾

Acquired on February 7, 2019.

⁽⁷⁾

Includes RDF’s share of gain on sale of residential condominium units.

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 and for the periods set forth below.


(Amounts in thousands)	As of December 31,
Balance Sheets:	2021		2020
Real estate, net	$	2,246,152	$	2,674,858
Cash and cash equivalents and restricted cash		216,910		120,149
Intangible assets, net		58,590		110,307
For-sale residential condominium units ⁽¹⁾		359,638		-
Other assets		46,646		45,761
Total assets	$	2,927,936	$	2,951,075

Notes and mortgages payable, net	$	1,791,404	$	1,801,084
Intangible liabilities, net		18,397		26,772
Other liabilities		61,097		87,575
Total liabilities		1,870,898		1,915,431
Equity		1,057,038		1,035,644
Total liabilities and equity	$	2,927,936	$	2,951,075



(Amounts in thousands)	For the Year Ended December 31,
Income Statements:	2021				2020			2019
Revenues:
Rental revenue	$	229,420			$	243,713		$	164,316
Other income		139,705		⁽²⁾		2,828			2,108
Total revenues		369,125				246,541			166,424
Expenses:
Operating		220,396		⁽²⁾		109,114			68,491
Depreciation and amortization		107,079				117,640			68,318
Total expenses		327,475				226,754			136,809
Other income (expense):
Interest and other (loss) income, net		(111	)			(36	)		663
Interest and debt expense		(63,493	)			(58,239	)		(51,113	)
Net loss before income taxes		(21,954	)			(38,488	)		(20,835	)
Income tax expense		(32	)			(47	)		(16	)
Net loss	$	(21,986	)		$	(38,535	)	$	(20,851	)

⁽¹⁾

Represents the cost of 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.