Investments in Partnerships (Tables)

12 Months Ended

Dec. 31, 2021

Equity Method Investments and Joint Ventures [Abstract]

Summary of Equity Investments

The following table presents summarized financial information of our equity investments in unconsolidated partnerships as of December 31, 2021 and 2020:

	December 31,
(in thousands of dollars)	2021			2020
ASSETS:
Investments in real estate, at cost:
Operating properties	$	847,560		$	824,328
Construction in progress		6,456			20,632
Total investments in real estate		854,016			844,960
Accumulated depreciation		(247,133	)		(224,641	)
Net investments in real estate		606,883			620,319
Cash and cash equivalents		59,004			28,060
Deferred costs and other assets, net		155,247			161,465
Total assets		821,134			809,844
LIABILITIES AND PARTNERS’ INVESTMENT:
Mortgage loans payable, net		493,904			491,119
FDP Term Loan, net		194,602			201,000
Partnership Loan		115,543			100,000
Other liabilities		141,619			132,715
Total liabilities		945,668			924,834
Net investment		(124,534	)		(114,990	)
Partners’ share		(62,771	)		(59,080	)
PREIT’s share		(61,763	)		(55,910	)
Excess investment (1)		6,718			6,390
Net investments and advances	$	(55,045	)	$	(49,520	)
Investment in partnerships, at equity	$	16,525		$	27,066
Distributions in excess of partnership investments		(71,570	)		(76,586	)
Net investments and advances	$	(55,045	)	$	(49,520	)

(1) Excess investment represents the unamortized difference between our investment and our share of the equity in the underlying net investment in the unconsolidated partnerships. The excess investment is amortized over the life of the properties, and the amortization is included in “Equity in (loss) income of partnerships.”

Summary of Share of Equity in (Loss) Income of Partnerships

The following table summarizes our share of equity in (loss) income of partnerships for the years ended December 31, 2021 and 2020:

	For the Year Ended December 31,
(in thousands of dollars)	2021			2020
Real estate revenue	$	120,861		$	101,762
Expenses:
Property operating and other expenses		(52,111	)		(48,285	)
Interest expense		(44,547	)		(27,665	)
Depreciation and amortization		(29,200	)		(34,947	)
Total expenses		(125,858	)		(110,897	)
Net (loss) income		(4,997	)		(9,135	)
Less: Partners’ share		1,469			4,186
PREIT’s share		(3,528	)		(4,949	)
Amortization of excess investment		(204	)		(595	)
Equity in (loss) income of partnerships	$	(3,732	)	$	(5,544	)

Schedule of Assets and Liabilities of Unconsolidated Joint Venture

The table below includes the total assets and liabilities of the unconsolidated joint venture as of the December 10, 2020 remeasurement date.

Unconsolidated joint venture assets	$	401,655
Unconsolidated joint venture liabilities		363,393
Unconsolidated joint venture net assets	$	38,262
Equity interest in joint venture (based on 50% ownership)	$	19,131
Equity interests on the consolidated balance sheets (1)	$	16,261
Maximum risk of loss	$	16,261

(1) Amount shown is net of a 15% discount for non-controlling interest ownership

Schedule of Principal Payments Based On Respective Partnership Interest

Our proportionate share, based on our respective partnership interest, of principal payments due in the next five years and thereafter is as follows:

	Company’s Proportionate Share
(in thousands of dollars) For the Year Ending December 31,	Principal Amortization		Balloon Payments		Total		Property Total
2022	$	4,131	$	21,500	$	25,631	$	94,292
2023		4,009		36,362		40,371		82,191
2024		3,838		—		3,838		7,675
2025		4,625		26,299		30,924		61,848
2026 and thereafter		13,794		111,313		125,107		250,238
Total principal payments	$	30,397	$	195,474	$	225,871		496,244
Less: Unamortized debt issuance costs								2,340
Carrying value of mortgage notes payable							$	493,904