Business Combinations (Tables)

9 Months Ended

Sep. 30, 2016

The following table summarizes the business combination, including the assets acquired and liabilities assumed as indicated (in thousands):



	February 12, 2016
Fair value of our equity interest before business combination	$	22,514		⁽¹⁾
Gain recognized on equity interest remeasured to fair value	$	37,383		⁽²⁾

Amounts recognized for assets and liabilities assumed:
Assets:
Property	$	58,665
Unamortized lease costs	8,936
Accrued rent and accounts receivable	102
Cash and cash equivalents	3,555
Other, net	4,992
Liabilities:
Debt, net	(48,727		)
Accounts payable and accrued expenses	(1,339		)
Other, net	(3,670		)
Total net assets	$	22,514

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(1)	Includes $2.5 million of cash received from the partner.


(2)	Amount is included in Gain on Sale and Acquisition of Real Estate Joint Venture and Partnership Interests in our Condensed Consolidated Statement of Operations.

The following table summarizes the transactions related to these acquisitions, including the assets acquired and liabilities assumed as indicated (in thousands):



	September 30, 2016
Fair value of our equity interest before acquisition	$	13,579
Fair value of consideration transferred	$	443,745
Acquisition costs (included in operating expenses)	$	660
Gain on acquisition	$	9,015		₍₁₎

Amounts recognized for assets and liabilities assumed:
Assets:
Property	$	432,205
Unamortized lease costs	81,801
Accrued rent and accounts receivable	122
Cash and cash equivalents	556
Other, net	6,812
Liabilities:
Accounts payable and accrued expenses	(6,383		)
Other, net	(62,254		)
Total net assets	$	452,859

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(1)	Amount is included in Gain on Sale and Acquisition of Real Estate Joint Venture and Partnership Interests in our Condensed Consolidated Statement of Operations.

Pro Forma Impact Of Acquisitions

The following table summarizes the impact to revenues and net income attributable to common shareholders from our business combination and acquisitions (in thousands):



	Three Months Ended September 30, 2016		Nine Months Ended September 30, 2016
Increase in revenues	$	7,562	$	11,491
Decrease in net income attributable to common shareholders	87		1,012

The following unaudited supplemental pro forma data is presented for the periods ended September 30, 2016 and 2015, as if these transactions occurring in 2016 were completed on January 1, 2015. The gains and acquisition costs related to these transactions were adjusted to the assumed acquisition date. The unaudited supplemental pro forma data is not necessarily indicative of what the actual results of our operations would have been assuming the transactions had been completed as set forth above, nor does it purport to represent our results of operations for future periods (in thousands, except per share amounts):



	Three Months Ended September 30,				Nine Months Ended September 30,
	Pro Forma 2016 ⁽¹⁾		Pro Forma 2015 ⁽¹⁾		Pro Forma 2016 ⁽¹⁾		Pro Forma 2015 ⁽¹⁾
Revenues	$	141,232	$	139,444	$	424,472	$	409,049
Net income	53,437		47,021		167,642		183,693
Net income attributable to common shareholders - basic	44,001		45,234		154,778		165,057
Net income attributable to common shareholders - diluted	44,001		45,706		156,275		165,057
Earnings per share – basic	.35		.37		1.23		1.34
Earnings per share – diluted	.34		.36		1.22		1.33

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(1)	There are no non-recurring pro forma adjustments included within or excluded from the amounts in the preceding table.