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INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURES
 3 Months Ended
Mar. 31, 2025
Equity Method Investments and Joint Ventures [Abstract]  
INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURES
4. INVESTMENT IN UNCONSOLIDATED REAL ESTATE VENTURES
As of March 31, 2025, the Company held ownership interests in nine unconsolidated real estate ventures, with a net aggregate investment balance of $570.4 million. As of March 31, 2025, four of the real estate ventures owned properties (directly or through leasehold interests) that contained an aggregate of approximately 4.3 million net rentable square feet of office space; one of the real estate ventures directly owns one property with 341 rentable residential units; one of the real estate ventures directly owns a mixed use building featuring 0.2 million square feet of office space and 326 rentable residential units; two of the real estate ventures owned 1.4 acres of land held for development; and one of the real estate ventures owned land in active development.
The Company accounts for its interests in the unconsolidated real estate ventures, which range from 20% to 85%, using the equity method. Certain of the unconsolidated real estate ventures are subject to specified priority allocations of distributable cash, including cash from operations and cash from capital events, such as sales of properties.
The Company earned management fees from the unconsolidated real estate ventures of $1.0 million and $1.9 million for the three months ended March 31, 2025 and 2024, respectively.
The Company earned leasing commissions from the unconsolidated real estate ventures of $1.5 million and $0.6 million for the three months ended March 31, 2025 and 2024, respectively
The Company had outstanding accounts receivable balances from the unconsolidated real estate ventures of $5.8 million and $5.0 million as of March 31, 2025 and December 31, 2024, respectively.
The amounts reflected in the following tables (except for the Company’s share of equity in income) are based on the financial information of the individual unconsolidated real estate ventures.
The following is a summary of the financial position of the unconsolidated real estate ventures in which the Company held interests as of March 31, 2025 and December 31, 2024 (in thousands):
March 31, 2025December 31, 2024
Net property$1,646,618 $1,641,085 
Other assets238,568 238,406 
Other liabilities111,963 107,801 
Debt, net759,750 752,325 
Equity (a)1,013,473 1,019,365 
(a)This amount does not include the effect of the basis difference between the Company’s historical cost basis and the basis recorded at the real estate venture level, which is typically amortized over the life of the related assets and liabilities. Basis differentials occur from the impairment of investments, purchases of third-party interests in existing real estate ventures and upon the transfer of assets that were previously owned by the Company into a real estate venture. In addition, certain acquisition, transaction and other costs may not be reflected in the net assets at the real estate venture level.

The following is a summary of results of operations of the unconsolidated real estate ventures in which the Company held interests during the three-month periods ended March 31, 2025 and 2024 (in thousands):
Three Months Ended March 31,
2025 (a)
2024
Revenue$42,551 $45,949 
Operating expenses(16,662)(24,881)
Interest expense, net(14,908)(17,363)
Depreciation and amortization(17,267)(20,889)
Loss on property disposition— (490)
Net loss$(6,286)$(17,674)
Ownership interest %VariousVarious
Company's share of net loss$(10,306)$(13,814)
Basis adjustments and other(205)226 
Equity in loss of unconsolidated real estate ventures$(10,511)$(13,588)
(a)Excludes amounts related to the Herndon Innovation Center Metro Portfolio Venture, LLC and the New MAP Venture as the Company discontinued applying the equity method of accounting. The Company discontinued applying the equity method of accounting on the Herndon Innovation Center
Metro Portfolio Venture, LLC after March 31, 2024 and has no further investments in Herndon Innovation Center as of December 31, 2024. The Company discontinued applying the equity method of accounting on the New MAP Venture after June 30, 2024. As of June 30, 2024, the Company's investment in the New MAP Venture was zero, and the Company discontinued applying the equity method of accounting on the New MAP Venture.
KB JV
On June 28, 2024, the Company formed an unconsolidated real estate venture, KB JV, LLC (the "KB JV"), which acquired leasehold interests in 14 properties, located in Richmond, Virginia, from a different unconsolidated real estate venture of the Company, the MAP Venture, for $26.0 million. The Company and an unaffiliated third party each owned a 50% equity interest in the KB JV and the portfolio assets were unencumbered by third party debt. In connection with the formation of KB JV and its purchase of the 14 properties, the KB JV loaned $13.0 million to the Company. The loan from the KB JV was classified within “Unsecured term loans, net” on the consolidated balance sheet.
On December 20, 2024, the KB JV sold its entire interest in the 14 properties for $66.8 million, generating approximately $15.5 million of net proceeds to the Company for its 50% ownership interest in the KB JV, after repayment of the above-referenced $13.0 million loan. As of March 31, 2025, the KB JV has ceased operations and the Company has no further investments in the KB JV.