Discontinued Operations and Gain (Loss) on Disposition of Rental Properties

11 Months Ended

Dec. 31, 2013

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations and Gain (Loss) on Disposition of Rental Properties

Discontinued Operations and Gain (Loss) on Disposition of Rental Properties

The following table lists rental properties included in discontinued operations:

Property	Location	Square Feet/ Number of Units (Unaudited)	Period Disposed	11 Months Ended 12/31/13	Year Ended 1/31/13	Year Ended 1/31/12
Commercial Group:
Orchard Town Center	Westminster, Colorado	603,000 square feet	Q4-2013	Yes	Yes	Yes
Colorado Studios	Denver, Colorado	75,000 square feet	Q3-2013	Yes	Yes	Yes
Higbee Building	Cleveland, Ohio	815,000 square feet	Q2-2013	Yes	Yes	Yes
Sheraton Station Square	Pittsburgh, Pennsylvania	399 rooms	Q2-2013	Yes	Yes	Yes
Fairmont Plaza	San Jose, California	335,000 square feet	Q4-2012	—	Yes	Yes
White Oak Village	Richmond, Virginia	843,000 square feet	Q3-2012	—	Yes	Yes
Quebec Square	Denver, Colorado	739,000 square feet	Q1-2012	—	Yes	Yes
Ritz-Carlton hotel	Cleveland, Ohio	206 rooms	Q4-2011	—	—	Yes
250 Huron	Cleveland, Ohio	119,000 square feet	Q4-2011	—	—	Yes
Waterfront Station – East 4th & West 4th Buildings	Washington, D.C.	631,000 square feet	Q2-2011	—	—	Yes
Charleston Marriott hotel	Charleston, West Virginia	352 rooms	Q1-2011	—	—	Yes
Seven triple net lease properties	Various	422,000 square feet	Various (1)	Yes	Yes	Yes
Residential Group:
Millender Center	Detroit, Michigan	339 units	Q1-2013	Yes	Yes	Yes
Emerald Palms	Miami, Florida	505 units	Q4-2012	—	Yes	Yes
Southfield	Whitemarsh, Maryland	212 units	Q3-2012	—	Yes	Yes

(1) Includes, one triple net lease property disposed of during Q4-2013, one triple net lease property disposed of during Q1-2013, three triple net lease properties disposed of during Q3-2012 and two triple net lease properties disposed of during Q2-2012.

The following table summarizes the operating results related to discontinued operations:

	11 Months Ended			Years Ended
	December 31, 2013			January 31, 2013			January 31, 2012
	(in thousands)
Revenues from real estate operations	$	42,257		$	90,171		$	121,335
Expenses
Operating expenses	25,614			46,873			65,478
Depreciation and amortization	6,774			17,125			24,650
Impairment of real estate	22,519			4,254			13,692
	54,907			68,252			103,820
Interest expense	(4,733		)	(15,197		)	(22,134		)
Amortization of mortgage procurement costs	(290		)	(1,173		)	(1,577		)
Loss on extinguishment of debt	(40		)	(464		)	—
Interest income	225			389			6,012
Gain on disposition of rental properties	41,831			100,900			133,554
Earnings before income taxes	24,343			106,374			133,370
Income tax expense (benefit)	10,463			47,353			21,016
Earnings from discontinued operations	13,880			59,021			112,354
Noncontrolling interests
Gain on disposition of rental properties	5,960			965			81,758
Operating earnings from rental properties	67			420			1,993
	6,027			1,385			83,751
Earnings from discontinued operations attributable to Forest City Enterprises, Inc.	$	7,853		$	57,636		$	28,603

The following table summarizes the pre-tax gain (loss) on disposition of rental properties:

	11 Months Ended			Years Ended
	December 31, 2013			January 31, 2013			January 31, 2012
	(in thousands)
Apartment Communities:
Millender Center	$	21,660		$	—		$	—
Emerald Palms	—			45,845			—
Southfield	—			13,445			—
Hotels:
Sheraton Station Square	18,096			—			—
Charleston Marriott	—			—			9,957
Ritz-Carlton	—			—			2,431
Office Buildings:
Higbee Building	2,922			—			—
Colorado Studios	1,239			—			—
Fairmont Plaza	—			26,877			—
Waterfront Station – East 4th & West 4th Buildings	—			—			111,738
250 Huron	—			—			9,428
Orchard Town Center (Regional Mall)	(2,157		)	—			—
Triple net lease properties	(132		)	6,568			—
Quebec Square (Specialty Retail Center)	—			8,879			—
Other	203			(714		)	—
	$	41,831		$	100,900		$	133,554