Segment Reporting

9 Months Ended

Sep. 30, 2021

Segment Reporting [Abstract]

Segment Reporting

16. Segment Reporting

As of September 30, 2021, we operated in six reportable segments: healthcare properties, office properties, industrial properties, self-storage properties, multifamily properties and student housing properties. In September 2021, we invested in two self storage properties and a student housing property (see Note 3 — “Investments in Real Estate, net”). As such, self-storage and student housing were identified as segments during the third quarter of 2021. We allocate resources and evaluate results based on the performance of each segment individually. We believe that segment net operating income is the key performance metric that captures the unique operating characteristics of each segment. We define segment net operating income as real estate revenues and property operating expenses and the net of revenues and property operating expenses of unconsolidated entities that is allocable to the Company’s ownership interest.

The following table summarizes our total assets by segment:

$ in thousands	September 30, 2021		December 31, 2020
Healthcare	$	81,001	$	76,166
Office		38,302		35,788
Industrial		60,419		31,143
Self-Storage		59,235		—
Multifamily		86,863		13,118
Student Housing		79,060		—
Corporate and other		11,579		6,623
Total assets	$	416,459	$	162,838

The following table summarizes our financial results by segment for the three months ended September 30, 2021:

$ in thousands	Healthcare			Office			Industrial			Self-Storage		Multifamily			Student Housing		Corporate and Other		Total
Revenues:
Rental revenue	$	—		$	683		$	612		$	91	$	1,239		$	123	$	—	$	2,748
Other revenue		—			—			—			—		88			—		—		88
Total revenues		—			683			612			91		1,327			123		—		2,836
Expenses:
Rental property operating		—			113			129			—		381			—		—		623
Total expenses		—			113			129			—		381			—		—		623
Income from unconsolidated entities		4,745			—			—			—		510			—		—		5,255
Income from real estate-related securities		—			—			—			—		—			—		19		19
Segment net operating income	$	4,745		$	570		$	483		$	91	$	1,456		$	123	$	19	$	7,487
Depreciation and amortization	$	(5,073	)	$	(298	)	$	(214	)	$	—	$	(905	)	$	—	$	—	$	(6,490	)
General and administrative																				(893	)
Interest expense																				(730	)
Performance participation allocation																				(1,446	)
Net loss attributable to Invesco Real Estate Income Trust Inc.																			$	(2,072	)
Dividends to preferred stockholders																			$	(2	)
Net income attributable to non-controlling interests in consolidated joint ventures																				(4	)
Net loss attributable to common stockholders																			$	(2,078	)

The following table reconciles our segment income from unconsolidated entities to loss from unconsolidated entities, net on our condensed consolidated statement of operations for the three months ended September 30, 2021:

$ in thousands
Segment income from unconsolidated entities	$	5,255
Depreciation and amortization attributable to unconsolidated entities		(5,073	)
Income from unconsolidated entities	$	182

The following table reconciles our segment depreciation and amortization to depreciation and amortization on our condensed consolidated statement of operations for the three months ended September 30, 2021:

$ in thousands
Segment depreciation and amortization	$	(6,490	)
Depreciation and amortization attributable to unconsolidated entities		5,073
Depreciation and amortization	$	(1,417	)

The following table summarizes our financial results by segment for the nine months ended September 30, 2021:

$ in thousands	Healthcare			Office			Industrial			Self- Storage		Multifamily			Student Housing		Corporate and Other		Total
Revenues:
Rental revenue	$	—		$	2,061		$	1,744		$	91	$	3,296		$	123	$	—	$	7,315
Other revenue		—			—			—			—		268			—		—		268
Total revenues		—			2,061			1,744			91		3,564			123		—		7,583
Expenses:
Rental property operating		—			330			411			—		993			—		—		1,734
Total expenses		—			330			411			—		993			—		—		1,734
Income from unconsolidated entities		15,288			—			—			—		1,428			—		—		16,716
Income from real estate-related securities		—			—			—			—		—			—		83		83
Segment net operating income	$	15,288		$	1,731		$	1,333		$	91	$	3,999		$	123	$	83	$	22,648
Depreciation and amortization	$	(15,030	)	$	(893	)	$	(639	)	$	—	$	(3,447	)	$	—	$	—	$	(20,009	)
General and administrative																				(3,033	)
Interest expense																				(1,813	)
Performance participation allocation																				(2,237	)
Net loss attributable to Invesco Real Estate Income Trust Inc.																			$	(4,444	)
Dividends to preferred stockholders																			$	(6	)
Net income attributable to non-controlling interests in consolidated joint ventures																				(4	)
Net loss attributable to common stockholders																			$	(4,454	)

The following table reconciles our segment income from unconsolidated entities to income from unconsolidated entities, net on our condensed consolidated statement of operations for the nine months ended September 30, 2021:

$ in thousands
Segment income from unconsolidated entities	$	16,716
Depreciation and amortization attributable to unconsolidated entities		(15,030	)
Income from unconsolidated entities	$	1,686

The following table reconciles our segment depreciation and amortization to depreciation and amortization on our condensed consolidated statement of operations for the nine months ended September 30, 2021:

$ in thousands
Segment depreciation and amortization	$	(20,009	)
Depreciation and amortization attributable to unconsolidated entities		15,030
Depreciation and amortization	$	(4,979	)