Segment Reporting

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Reporting

Segment ReportingAs of June 30, 2022, we operated in eight reportable segments: healthcare, office, industrial, self-storage, multifamily, student housing, grocery-anchored retail and real estate preferred equity. 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 our ownership interest.

The following table summarizes our total assets by segment:

$ in thousands	June 30, 2022		December 31, 2021
Healthcare	$	81,760	$	80,455
Office	39,157		38,633
Industrial	146,802		60,071
Self-Storage	82,719		57,305
Multifamily	229,760		67,866
Student Housing	234,138		242,014
Grocery-Anchored Retail	65,943		—
Real Estate Preferred Equity	23,608		21,088
Corporate and Other	64,721		44,945
Total assets	$	968,608	$	612,377

The following table summarizes our financial results by segment for the three months ended June 30, 2022:

$ in thousands	Healthcare		Office		Industrial		Self-Storage		Multifamily		Student Housing		Grocery-Anchored Retail		Real Estate Preferred Equity		Corporate and Other		Total
Revenues:
Rental revenue	$	—	$	608	$	2,680	$	1,300	$	3,133	$	4,249	$	1,294	$	—	$	—	$	13,264
Other revenue	—		—		89		166		171		215		2		—		—		643
Total revenues	—		608		2,769		1,466		3,304		4,464		1,296		—		—		13,907
Expenses:
Rental property operating	—		108		823		478		1,149		1,859		455		—		53		4,925
Total expenses	—		108		823		478		1,149		1,859		455		—		53		4,925
Income from unconsolidated entities, net	5,225		—		—		—		—		—		—		641		938		6,804
Income from real estate-related securities	—		—		—		—		—		—		—		—		(1,123)		(1,123)
Segment net operating income	$	5,225	$	500	$	1,946	$	988	$	2,155	$	2,605	$	841	$	641	$	(238)	$	14,663
Depreciation and amortization	$	(4,778)	$	(443)	$	(1,648)	$	(2,164)	$	(1,928)	$	(5,088)	$	(494)	$	—	$	(243)	$	(16,786)
General and administrative																			(1,289)
Unrealized gain on derivative instruments																			954
Interest expense																			(3,238)
Management fee - related party																			(187)
Performance participation interest - related party																			(2,273)
Other expense																			(9)
Net loss attributable to Invesco Real Estate Income Trust Inc.																			$	(8,165)
Dividends to preferred stockholders																			$	(2)
Net loss attributable to non-controlling interests in consolidated joint ventures																			430
Net loss attributable to non-controlling interest in INREIT OP																			38
Net loss attributable to common stockholders																			$	(7,699)

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 three months ended June 30, 2022:

$ in thousands
Segment income from unconsolidated entities	$	6,804
Depreciation and amortization attributable to unconsolidated entities	(5,076)
Income from unconsolidated entities, net	$	1,728

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 June 30, 2022:

$ in thousands
Segment depreciation and amortization	$	(16,786)
Depreciation and amortization attributable to unconsolidated entities	5,076
Depreciation and amortization	$	(11,710)

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

$ in thousands	Healthcare		Office		Industrial		Multifamily		Real Estate Preferred Equity		Corporate and Other		Total
Revenues:
Rental revenue	$	—	$	691	$	566	$	1,195	$	—	$	—	$	2,452
Other revenue	—		—		—		117		—		—		117
Total revenues	—		691		566		1,312		—		—		2,569
Expenses:
Rental property operating	—		121		119		359		—		—		599
Total expenses	—		121		119		359		—		—		599
Income from unconsolidated real estate entities, net	4,584		—		—		—		471		—		5,055
Income from real estate-related securities	—		—		—		—		—		55		55
Segment net operating income	$	4,584	$	570	$	447	$	953	$	471	$	55	$	7,080
Depreciation and amortization	$	(5,283)	$	(297)	$	(214)	$	(1,526)	$	—	$	—	$	(7,320)
General and administrative													(979)
Interest expense													(580)
Performance participation interest - related party													(609)
Net loss attributable to Invesco Real Estate Income Trust Inc.													$	(2,408)
Dividends to preferred stockholders													$	(2)
Net loss attributable to common stockholders													$	(2,410)

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 June 30, 2021:

$ in thousands
Segment income from unconsolidated entities	$	5,055
Depreciation and amortization attributable to unconsolidated entities	(5,283)
Loss from unconsolidated entities, net	$	(228)

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 June 30, 2021:

$ in thousands
Segment depreciation and amortization	$	(7,320)
Depreciation and amortization attributable to unconsolidated entities	5,283
Depreciation and amortization	$	(2,037)

The following table summarizes our financial results by segment for the six months ended June 30, 2022:

$ in thousands	Healthcare		Office		Industrial		Self-Storage		Multifamily		Student Housing		Grocery-Anchored Retail		Real Estate Preferred Equity		Corporate and Other		Total
Revenues:
Rental revenue	$	—	$	1,345	$	4,325	$	2,403	$	4,376	$	8,462	$	2,016	$	—	$	—	$	22,927
Other revenue	—		—		177		328		290		429		2		—		—		1,226
Total revenues	—		1,345		4,502		2,731		4,666		8,891		2,018		—		—		24,153
Expenses:
Rental property operating	—		239		1,272		874		1,563		3,435		665		—		95		8,143
Total expenses	—		239		1,272		874		1,563		3,435		665		—		95		8,143
Income from unconsolidated entities, net	13,402		—		—		—		—		—		—		1,247		1,158		15,807
Income from real estate-related securities	—		—		—		—		—		—		—				(1,095)		(1,095)
Segment net operating income	$	13,402	$	1,106	$	3,230	$	1,857	$	3,103	$	5,456	$	1,353	$	1,247	$	(32)	$	30,722
Depreciation and amortization	$	(9,802)	$	(858)	$	(2,230)	$	(4,872)	$	(2,421)	$	(9,358)	$	(741)	$	—	$	(306)	$	(30,588)
General and administrative																			(2,912)
Unrealized gain on derivative instruments																			2,470
Interest expense																			(5,275)
Management fee - related party																			(301)
Performance participation interest - related party																			(4,394)
Other expense																			(84)
Net loss attributable to Invesco Real Estate Income Trust Inc.																			$	(10,362)
Dividends to preferred stockholders																			$	(4)
Net loss attributable to non-controlling interests in consolidated joint ventures																			444
Net loss attributable to non-controlling interest in INREIT OP																			299
Net loss attributable to common stockholders																			$	(9,623)

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 six months ended June 30, 2022:

$ in thousands
Segment income from unconsolidated entities	$	15,807
Depreciation and amortization attributable to unconsolidated entities	(10,100)
Income from unconsolidated entities, net	$	5,707

The following table reconciles our segment depreciation and amortization to depreciation and amortization on our condensed consolidated statement of operations for the six months ended June 30, 2022:

$ in thousands
Segment depreciation and amortization	$	(30,588)
Depreciation and amortization attributable to unconsolidated entities	10,100
Depreciation and amortization	$	(20,488)

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

$ in thousands	Healthcare		Office		Industrial		Multifamily		Real Estate Preferred Equity		Corporate and Other		Total
Revenues:
Rental revenue	$	—	$	1,378	$	1,132	$	2,057	$	—	$	—	$	4,567
Other revenue	—		—		—		180		—		—		180
Total revenues	—		1,378		1,132		2,237		—		—		4,747
Expenses:
Rental property operating	—		217		282		612		—		—		1,111
Total expenses	—		217		282		612		—		—		1,111
Income from unconsolidated real estate entities, net	10,542		—		—		—		918		—		11,460
Income from real estate-related securities	—		—		—		—		—		64		64
Segment net operating income	$	10,542	$	1,161	$	850	$	1,625	$	918	$	64	$	15,160
Depreciation and amortization	$	(9,957)	$	(595)	$	(425)	$	(2,542)	$	—	$	—	$	(13,519)
General and administrative													(2,140)
Interest expense													(1,082)
Performance participation interest - related party													(791)
Net loss attributable to Invesco Real Estate Income Trust Inc.													$	(2,372)
Dividends to preferred stockholders													$	(4)
Net loss attributable to common stockholders													$	(2,376)

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 six months ended June 30, 2021:

$ in thousands
Segment income from unconsolidated entities	$	11,460
Depreciation and amortization attributable to unconsolidated entities	(9,957)
Income from unconsolidated entities, net	$	1,503

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

$ in thousands
Segment depreciation and amortization	$	(13,519)
Depreciation and amortization attributable to unconsolidated entities	9,957
Depreciation and amortization	$	(3,562)