BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of New Accounting Pronouncements

The following table provides a brief description of recent accounting standards updates (“ASUs”).



Standard	Description	Date of Adoption	Effect on the Financial Statements or Other Significant Matters
ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments; ASU 2018-19, Codification Improvements to Topic 326; ASU 2019-05, Financial Instruments - Credit Losses - Targeted Transition Relief	These ASUs require entities to estimate a lifetime expected credit loss for most financial assets, such as loans and other financial instruments, and to present the net amount expected to be collected. In 2018, another ASU was issued to amend ASU 2016-13, which clarifies that it does not apply to operating lease receivables. In 2019, an additional ASU was issued to provide transition relief in which an entity is allowed to elect the fair value option on an instrument-by-instrument basis for eligible instruments, upon adoption of Topic 326.	These ASUs are effective for annual reporting periods beginning after December 15, 2019. Early adoption is permitted.	We elected the fair value option for all of our mortgages and notes receivable at January 1, 2020, as allowed by ASU 2019-05. As a result, we do not have any receivables or other financial instruments to which we are applying this standard.
ASU 2018-13, Fair Value Measurements (Topic 820) - Disclosure Framework - Changes to the Disclosure Requirement for Fair Value Measurements	This ASU eliminates certain disclosure requirements affecting all levels of measurement, and modifies and adds new disclosure requirements for Level 3 measurements.	This ASU is effective for annual reporting periods beginning after December 15, 2019. Early adoption is permitted.	The new standard did not have a material impact on our condensed consolidated financial statements but did require additional disclosures.
ASU 2020-04, Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting	This ASU contains practical expedients for reference rate reform related activities that impact debt, leases, derivatives and other contracts. The guidance in ASU 2020-04 is optional and may be elected over time as reference rate reform activities occur.	This ASU is optional and may be elected over time.	We are currently evaluating the practical expedients and the impact they may have on our condensed consolidated financial statements.

Schedule of Cash, Cash Equivalents, and Restricted Cash



	(in thousands)
Balance sheet description	June 30, 2020		December 31, 2019		June 30, 2019
Cash and cash equivalents	$	52,714	$	26,579	$	17,406
Restricted cash	2,535		19,538		4,672
Total cash, cash equivalents and restricted cash	$	55,249	$	46,117	$	22,078

Schedule of Cash, Cash Equivalents, and Restricted Cash



	(in thousands)
Balance sheet description	June 30, 2020		December 31, 2019		June 30, 2019
Cash and cash equivalents	$	52,714	$	26,579	$	17,406
Restricted cash	2,535		19,538		4,672
Total cash, cash equivalents and restricted cash	$	55,249	$	46,117	$	22,078

Future Scheduled Lease Income for Operating Leases

The aggregate amount of future scheduled lease income on our operating leases for commercial spaces, excluding any variable lease income and non-lease components, as of June 30, 2020, was as follows:



	(in thousands)
2020 (remainder)	$	1,490
2021	3,044
2022	3,047
2023	2,870
2024	2,339
Thereafter	5,021
Total scheduled lease income - operating leases	$	17,811

Schedule of Disaggregation of Revenue

The following table presents the disaggregation of revenue streams for the three and six months ended June 30, 2020:



		(in thousands)
		Three Months Ended June 30,				Six Months Ended June 30,
Revenue Stream	Applicable Standard	2020		2019		2020		2019
Fixed lease income - operating leases	Leases	$	41,910	$	44,342	$	83,843	$	88,084
Variable lease income - operating leases	Leases	1,302		1,548		3,082		2,632
Other property revenue	Revenue from contracts with customers	698		1,044		1,391		1,826
Total revenue		$	43,910	$	46,934	$	88,316	$	92,542

Schedule of Equity Securities at Fair Value

Marketable securities consisted of equity securities. We report equity securities at fair value based on quoted market prices (Level 1 inputs). Any unrealized gains or losses are included in interest and other income on the consolidated statements of operations. As of June 30, 2020, we had no marketable securities. As of December 31, 2019, the cost basis of marketable securities was $6.9 million, the gross unrealized gain was $113,000, and the carrying value was $7.1 million. During the six months ended June 30, 2020, we had a realized loss of $3.4 million.