Real Estate Investments

3 Months Ended

Mar. 31, 2022

Real Estate [Abstract]

Real Estate Investments

5. Real Estate Investments

As of March 31, 2022, the major components of the Company’s investments in multifamily properties were as follows (in thousands):

Operating Properties	Land		Buildings and Improvements			Intangible Lease Assets			Construction in Progress		Furniture, Fixtures and Equipment			Totals
Arbors on Forest Ridge	$	2,330	$	11,760		$	—		$	1	$	1,865		$	15,956
Cutter's Point		3,330		13,088			—			1		7,393			23,812
Silverbrook		4,860		25,691			—			196		5,690			36,437
The Summit at Sabal Park		5,770		13,885			—			—		2,048			21,703
Courtney Cove		5,880		14,345			—			17		2,548			22,790
Radbourne Lake		2,440		22,848			—			—		2,642			27,930
Timber Creek		11,260		13,334			—			380		3,931			28,905
Sabal Palm at Lake Buena Vista		7,580		42,461			—			10		2,874			52,925
Cornerstone		1,500		30,915			—			21		3,833			36,269
The Preserve at Terrell Mill		10,170		53,148			—			—		9,414			72,732
Versailles		6,720		21,953			—			2		4,155			32,830
Seasons 704 Apartments		7,480		14,725			—			—		2,262			24,467
Madera Point		4,920		18,155			—			—		2,698			25,773
Venue at 8651		2,350		17,548			—			322		3,914			24,134
Parc500		3,860		21,193			—			5		4,228			29,286
The Venue on Camelback		8,340		38,513			—			141		3,450			50,444
Old Farm		11,078		71,070			—			174		4,031			86,353
Stone Creek at Old Farm		3,493		19,718			—			2		936			24,149
Hollister Place		2,782		21,202			—			1,468		2,793			28,245
Rockledge Apartments		17,451		97,417			—			—		6,405			121,273
Atera Apartments		22,371		38,691			—			7		2,545			63,614
Crestmont Reserve		4,124		21,068			—			—		1,558			26,750
Brandywine I & II		6,237		73,769			—			—		5,385			85,391
Bella Vista		10,942		37,310			—			6		2,865			51,123
The Enclave		11,046		30,515			—			—		2,500			44,061
The Heritage		6,835		35,131			—			26		2,562			44,554
Summers Landing		1,798		18,447			—			1		821			21,067
Residences at Glenview Reserve		3,367		42,339			—			—		2,602			48,308
Residences at West Place		3,345		52,369			—			—		1,855			57,569
Avant at Pembroke Pines		48,434		276,632			—			1,056		12,425			338,547
Arbors of Brentwood		6,346		56,063			—			—		2,414			64,823
Torreyana Apartments		23,824		43,771			—			3		1,533			69,131
Bloom		23,805		82,595			—			19		3,007			109,426
Bella Solara		12,605		53,440			—			22		2,068			68,135
Fairways at San Marcos		10,993		72,922			—			297		2,005			86,217
The Verandas at Lake Norman		9,510		52,800			—			115		857			63,282
Creekside at Matthews		11,515		45,337			—			—		1,046			57,898
Six Forks Station		11,357		61,517			—			218		1,045			74,137
High House at Cary		23,809		67,656			1,376			19		827			93,687
		375,857		1,745,341			1,376			4,529		127,030			2,254,133
Accumulated depreciation and amortization		—		(218,292	)		(917	)		—		(89,793	)		(309,002	)
Total Operating Properties	$	375,857	$	1,527,049		$	459		$	4,529	$	37,237		$	1,945,131

As of December 31, 2021, the major components of the Company’s investments in multifamily properties were as follows (in thousands):

Operating Properties	Land		Buildings and Improvements			Intangible Lease Assets			Construction in Progress		Furniture, Fixtures and Equipment			Totals
Arbors on Forest Ridge	$	2,330	$	11,755		$	—		$	—	$	1,821		$	15,906
Cutter's Point		3,330		13,091			—			—		7,379			23,800
Silverbrook		4,860		27,495			—			—		5,566			37,921
The Summit at Sabal Park		5,770		13,882			—			—		1,978			21,630
Courtney Cove		5,880		14,350			—			—		2,444			22,674
Radbourne Lake		2,440		22,744			—			64		2,455			27,703
Timber Creek		11,260		13,310			—			239		3,827			28,636
Sabal Palm at Lake Buena Vista		7,580		42,456			—			2		2,758			52,796
Cornerstone		1,500		30,901			—			21		3,722			36,144
The Preserve at Terrell Mill		10,170		53,080			—			—		8,997			72,247
Versailles		6,720		21,887			—			—		4,075			32,682
Seasons 704 Apartments		7,480		14,644			—			—		2,078			24,202
Madera Point		4,920		18,090			—			48		2,612			25,670
Venue at 8651		2,350		17,495			—			334		3,843			24,022
Parc500		3,860		21,172			—			—		4,147			29,179
The Venue on Camelback		8,340		38,328			—			306		3,248			50,222
Old Farm		11,078		70,993			—			99		3,902			86,072
Stone Creek at Old Farm		3,493		19,714			—			2		899			24,108
Hollister Place		2,782		21,196			—			1,308		2,739			28,025
Rockledge Apartments		17,451		97,374			—			—		5,968			120,793
Atera Apartments		22,371		36,857			—			1,824		2,384			63,436
Crestmont Reserve		4,124		21,067			—			—		1,515			26,706
Brandywine I & II		6,237		73,737			—			—		5,160			85,134
Bella Vista		10,942		37,193			—			51		2,687			50,873
The Enclave		11,046		30,469			—			11		2,403			43,929
The Heritage		6,835		35,011			—			68		2,386			44,300
Summers Landing		1,798		18,433			—			1		790			21,022
Residences at Glenview Reserve		3,367		42,306			—			—		2,366			48,039
Residences at West Place		3,345		52,310			—			—		1,591			57,246
Avant at Pembroke Pines		48,434		275,968			—			1,414		11,611			337,427
Arbors of Brentwood		6,346		56,040			—			—		2,235			64,621
Torreyana Apartments		23,824		43,700			—			25		1,371			68,920
Bloom		23,805		82,545			—			16		2,697			109,063
Bella Solara		12,605		53,415			—			24		1,854			67,898
Fairways at San Marcos		10,993		72,920			—			2		1,989			85,904
The Verandas at Lake Norman		9,510		52,884			—			6		650			63,050
Creekside at Matthews		11,515		45,271			—			18		756			57,560
Six Forks Station		11,357		62,129			1,200			195		748			75,629
High House at Cary		23,809		67,654			1,376			—		768			93,607
		375,857		1,743,866			2,576			6,078		120,419			2,248,796
Accumulated depreciation and amortization		—		(203,125	)		(1,029	)		—		(82,942	)		(287,096	)
Total Operating Properties	$	375,857	$	1,540,741		$	1,547		$	6,078	$	37,477		$	1,961,700

Depreciation expense was $22.6 million and $19.9 million for the three months ended March 31, 2022 and 2021, respectively.

Amortization expense related to the Company’s intangible lease assets was $1.1 million and $0.8 million for the three months ended March 31, 2022 and 2021, respectively. Amortization expense related to the Company’s intangible lease assets for all acquisitions completed through March 31, 2022 is expected to be $0.5 million for the remainder of the year ended December 31, 2022. Due to the six-month useful life attributable to intangible lease assets, the value of intangible lease assets on any acquisition prior to September 30, 2021 has been fully amortized and the assets and related accumulated amortization have been written off as of March 31, 2022.

Acquisitions

There were no acquisitions of real estate during the three months ended March 31, 2022 and 2021.

Dispositions

There were no dispositions of real estate during the three months ended March 31, 2022 and 2021.

Casualty Losses

As of March 31, 2022, seven of the Company’s properties, Silverbrook, Venue at 8651, Bloom, Old Farm, Timber Creek, The Preserve at Terrell Mill and Six Forks, suffered significant property damages as a result of fires and flooding. As of March 31, 2022, 49 units were excluded from the Portfolio’s total unit count and all same store pools due to reconstruction. Business interruption proceeds for lost rent are included in miscellaneous income in the accompanying consolidated statements of operations and comprehensive income in relation to these events.