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Investments in and Advances to Unconsolidated Affiliates (Tables)
 9 Months Ended
Sep. 30, 2017
Equity Method Investments and Joint Ventures [Abstract]  
Schedule of Equity Method Investments
The Company’s investments in and advances to unconsolidated affiliates consist of the following (dollars in thousands):
 
 
Nominal Ownership Interest
 
September 30, 2017
 
December 31, 2016
Fund
Property
September 30, 2017
 
 
Core:
 
 
 
 
 
 
 
840 N. Michigan (a)
88.43%
 
$
70,859

 
$
74,131

 
Renaissance Portfolio
20%
 
35,139

 
36,437

 
Gotham Plaza
49%
 
29,196

 
29,421

 
Brandywine Market Square (a, b)
61.11%
 
20,642

 
5,469

 
Brandywine Portfolio (a, b)
22.22%
 
15,948

 
15,286

 
Georgetown Portfolio
50%
 
3,751

 
4,287

 
 
 
 
175,535

 
165,031

 
 
 
 
 
 
 
Mervyns I & II:
KLA/Mervyn's, LLC (c)
10.5%
 
—

 
—

 
 
 
 
 
 
 
Fund III:
 
 
 
 
 
 
 
Fund III Other Portfolio
90%
 
168

 
8,108

 
Self Storage Management (d)
95%
 
241

 
241

 
 
 
 
409

 
8,349

Fund IV:
 
 
 
 
 
 
 
Broughton Street Portfolio (e)
50%
 
57,368

 
54,839

 
Fund IV Other Portfolio
90%
 
20,392

 
21,817

 
650 Bald Hill Road
90%
 
13,642

 
18,842

 
 
 
 
91,402

 
95,498

 
 
 
 
 
 
 
Various Funds:
Due from Related Parties (f)
 
 
2,343

 
2,193

 
Other (g)
 
 
556

 
957

 
Investments in and advances to unconsolidated affiliates
 
$
270,245

 
$
272,028

 
 
 
 
 
 
 
Core:
 
 
 
 
 
 
 
Crossroads (h)
49%
 
$
15,262

 
$
13,691

 
Distributions in excess of income from,
and investments in, unconsolidated affiliates
 
$
15,262

 
$
13,691

__________

(a)
Represents a tenancy-in-common interest.
(b)
During May 2017, as discussed below, the Company increased its ownership in Brandywine Market Square, which was formerly included within the Brandywine Portfolio.
(c)
Distributions have exceeded the Company’s non-recourse investment, therefore the carrying value is zero.
(d)
Represents a variable interest entity.
(e)
The Company is entitled to a 15% return on its cumulative capital contribution which was $15.2 million and $14.5 million at September 30, 2017 and December 31, 2016, respectively. In addition, the Company is entitled to a 9% preferred return on a portion of its equity, which was $47.0 million and $45.4 million at September 30, 2017 and December 31, 2016, respectively.
(f)
Represents deferred fees.
(g)
Includes a cost-method investment in Albertson’s (Note 8) and other investments.
(h)
Distributions have exceeded the Company’s investment; however, the Company recognizes a liability balance as it may be required to fund future obligations of the entity.
Schedule of Condensed Balance Sheet
The following combined and condensed Balance Sheets and Statements of Income, in each period, summarize the financial information of the Company’s investments in unconsolidated affiliates (in thousands):
 
 
September 30,
 
December 31,
 
 
2017
 
2016
Combined and Condensed Balance Sheets
 
 

 
 

Assets:
 
 

 
 

Rental property, net
 
$
540,609

 
$
576,505

Real estate under development
 
22,359

 
18,884

Investment in unconsolidated affiliates
 
6,854

 
6,853

Other assets
 
103,335

 
75,254

Total assets
 
$
673,157

 
$
677,496

Liabilities and partners’ equity:
 
 

 
 

Mortgage notes payable
 
$
401,768

 
$
407,344

Other liabilities
 
57,125

 
30,117

Partners’ equity
 
214,264

 
240,035

Total liabilities and partners’ equity
 
$
673,157

 
$
677,496

 
 
 
 
 
Company's share of accumulated equity
 
$
177,251

 
$
191,049

Basis differential
 
69,728

 
61,827

Deferred fees, net of portion related to the Company's interest
 
5,662

 
3,268

Amounts receivable by the Company
 
2,342

 
2,193

Investments in and advances to unconsolidated affiliates, net of Company's share of distributions in excess of income from and investments in unconsolidated affiliates
 
$
254,983

 
$
258,337
Schedule of Condensed Income Statement
 
 
Three Months Ended September 30,
 
Nine Months Ended
September 30,
 
 
2017
 
2016
 
2017
 
2016
Combined and Condensed Statements of Income
 
 

 
 

 
 
 
 
Total revenues
 
$
20,883

 
$
26,590

 
$
63,460

 
$
58,984

Operating and other expenses
 
(6,847
)
 
(7,066
)
 
(18,985
)
 
(18,082
)
Interest expense
 
(4,788
)
 
(5,242
)
 
(13,967
)
 
(11,355
)
Depreciation and amortization
 
(6,208
)
 
(15,398
)
 
(18,720
)
 
(24,262
)
Loss on debt extinguishment
 
—

 
—

 
(154
)
 
—

(Loss) gain on disposition of properties
 
—

 
(1,452
)
 
17,778

 
(1,452
)
Net income attributable to unconsolidated affiliates
 
$
3,040

 
$
(2,568
)
 
$
29,412

 
$
3,833

 
 
 
 
 
 
 
 
 
Company’s share of equity in
net income of unconsolidated affiliates
 
$
4,544

 
$
377

 
$
23,156

 
$
4,267

Basis differential amortization
 
(543
)
 
(479
)
 
(2,112
)
 
(675
)
Company’s equity in earnings (losses)
of unconsolidated affiliates
 
$
4,001

 
$
(102
)
 
$
21,044

 
$
3,592