SEGMENT INFORMATION (Tables)

9 Months Ended

Sep. 30, 2024

Segment Reporting [Abstract]

Schedule of Real Estate Investments, Net Operating Income and Unconsolidated Real Estate Ventures of Reportable Segments

The following tables provide selected asset information and results of operations of the Company’s reportable segments (in thousands):

Real estate investments, at cost:
	September 30, 2024		December 31, 2023
Philadelphia CBD	$	1,535,263	$	1,534,893
Pennsylvania Suburbs	803,267		900,230
Austin, Texas	790,435		801,973
Total Core Segments	3,128,965		3,237,096
Other	280,640		305,136
Operating properties	$	3,409,605	$	3,542,232
Corporate
Right of use asset - operating leases, net	$	18,565	$	19,031
Construction-in-progress	$	166,278	$	135,529
Land held for development	$	78,259	$	82,510
Prepaid leasehold interests in land held for development, net	$	27,762	$	27,762

Net operating income:

	Three Months Ended September 30,
	2024						2023
	Total revenue		Operating expenses (a)		Net operating income		Total revenue		Operating expenses (a)		Net operating income
Philadelphia CBD	$	56,448	$	(19,959)	$	36,489	$	56,367	$	(18,609)	$	37,758
Pennsylvania Suburbs	31,681		(10,081)		21,600		32,611		(9,770)		22,841
Austin, Texas	21,951		(8,429)		13,522		24,457		(10,044)		14,413
Other	10,430		(5,076)		5,354		10,295		(5,526)		4,769
Corporate	11,272		(2,734)		8,538		5,642		(2,450)		3,192
Operating properties	$	131,782	$	(46,279)	$	85,503	$	129,372	$	(46,399)	$	82,973

	Nine Months Ended September 30,
	2024						2023
	Total revenue		Operating expenses (a)		Net operating income		Total revenue		Operating expenses (a)		Net operating income
Philadelphia CBD	$	169,159	$	(58,912)	$	110,247	$	169,265	$	(59,452)	$	109,813
Pennsylvania Suburbs	95,366		(29,337)		66,029		97,484		(29,633)		67,851
Austin, Texas	67,360		(26,276)		41,084		73,475		(30,021)		43,454
Other	31,706		(15,670)		16,036		28,572		(15,788)		12,784
Corporate	20,021		(9,812)		10,209		15,685		(8,359)		7,326
Operating properties	$	383,612	$	(140,007)	$	243,605	$	384,481	$	(143,253)	$	241,228

Includes property operating expenses, real estate taxes and third-party management expense.

Unconsolidated real estate ventures:
	Investment in real estate ventures				Equity in income (loss) of real estate ventures
	As of				Three Months Ended September 30,				Nine Months Ended September 30,
	September 30, 2024		December 31, 2023		2024		2023		2024		2023
Philadelphia CBD	$	419,700	$	450,136	$	(125,593)	$	(6,537)	$	(145,429)	$	(14,208)
Metropolitan Washington, D.C.	86,666		71,931		(6,915)		(1,306)		(8,608)		(3,896)
Mid-Atlantic Office JV	10,925		—		7,222		182		7,222		595
MAP Venture	—		(48,733)		10		(3,078)		(6,552)		(6,995)
Austin, Texas	85,409		79,160		(586)		—		(590)		—
Total	$	602,700	$	552,494	$	(125,862)	$	(10,739)	$	(153,957)	$	(24,504)

Schedule of Reconciliation of Consolidated Net Income to Consolidated NOI

The following is a reconciliation of consolidated net income (loss), as defined by GAAP, to consolidated NOI, (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Net loss	$	(165,720)	$	(21,636)	$	(151,867)	$	(39,649)
Plus:
Interest expense	30,561		24,355		85,104		70,677
Interest expense - amortization of deferred financing costs	1,247		1,110		3,753		3,251
Depreciation and amortization	44,301		48,966		133,530		141,645
General and administrative expenses	12,681		8,069		32,726		26,911
Equity in loss of unconsolidated real estate ventures	125,862		10,739		153,957		24,504
Provision for impairment	37,980		11,666		44,407		16,134
Gain on early extinguishment of debt	—		—		(941)		—
Less:
Interest and investment income	639		293		2,572		1,318
Income tax benefit (provision)	—		3		(11)		(35)
Net gain on sale of undepreciated real estate	—		—		—		781
Net gain on real estate venture transactions	770		—		54,503		181
Consolidated net operating income	$	85,503	$	82,973	$	243,605	$	241,228