Restatement (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of Condensed Balance Sheet

The following combined and condensed Balance Sheets and Statements of Operations, in each period, summarize the financial information of the Company’s investments in unconsolidated affiliates that were held as of December 31, 2021, and accordingly exclude the results of any investments disposed of or consolidated prior to that date (in thousands):

	December 31,
	2021		2020
Combined and Condensed Balance Sheets
Assets:
Rental property, net	$	631,661	$	633,375
Real estate under development		8,112		14,664
Other assets		78,300		70,710
Total assets	$	718,073	$	718,749
Liabilities and partners’ equity:
Mortgage notes payable	$	571,461	$	569,040
Other liabilities		69,166		76,341
Partners’ equity		77,446		73,368
Total liabilities and partners’ equity	$	718,073	$	718,749
Company's share of accumulated equity	$	113,285	$	112,088
Basis differential		66,031		66,724
Deferred fees, net of portion related to the Company's interest		4,071		3,559
Amounts receivable/payable by the Company		666		363
Investments in and advances to unconsolidated affiliates, net of Company's    share of distributions in excess of income from and investments in    unconsolidated affiliates		184,053		182,734
Investments carried at fair value or cost		128,334		74,479
Company's share of distributions in excess of income from and    investments in unconsolidated affiliates		9,939		15,616
Investments in and advances to unconsolidated affiliates	$	322,326	$	272,829

Schedule of Condensed Income Statement

	Year Ended December 31,
	2021			2020			2019
Combined and Condensed Statements of Operations
Total revenues	$	80,823		$	78,054		$	77,507
Operating and other expenses		(28,572	)		(28,718	)		(24,894	)
Interest expense		(21,228	)		(22,651	)		(25,660	)
Depreciation and amortization		(30,518	)		(30,917	)		(25,012	)
Loss on extinguishment of debt		(35	)		—			—
Gain on disposition of properties (a)		3,206			—			—
Net income (loss) attributable to unconsolidated affiliates	$	3,676		$	(4,232	)	$	1,941
Company’s share of equity in net income (loss) of unconsolidated affiliates	$	6,023		$	(2,503	)	$	1,118
Income attributable to unconsolidated affiliates recently sold or consolidated		—			1,280		$	6,155
Basis differential amortization		(693	)		(1,834	)		(1,374	)
Company’s equity in earnings (losses) of unconsolidated affiliates	$	5,330		$	(3,057	)	$	5,899

a)Represents the gain on the sale of two land parcels by the Family Center at Riverdale on January 4, 2021. 

Restatement

Schedule of Condensed Balance Sheet

	December 31, 2020
(dollars in thousands, except per share amounts)	As Reported		Adjustments				As Restated
ASSETS
Investments in real estate, at cost
Operating real estate, net	$	3,260,139	$	(69,378	)	(a)	$	3,190,761
Real estate under development		247,349		(148	)	(a)		247,201
Net investments in real estate		3,507,488		(69,526	)			3,437,962
Notes receivable, net		101,450		(568	)	(b)		100,882
Investments in and advances to unconsolidated affiliates		249,807		23,022		(a,b)		272,829
Other assets, net		173,809		(3,528	)	(a)		170,281
Right-of-use assets - operating leases, net		76,268		—				76,268
Cash and cash equivalents		19,232		(533	)	(a)		18,699
Restricted cash		14,692		(3,596	)	(a)		11,096
Rents receivable, net		44,136		(1,084	)	(a)		43,052
Total assets	$	4,186,882	$	(55,813	)		$	4,131,069
LIABILITIES
Mortgage and other notes payable, net	$	1,125,356	$	23,230		(a,b,c)	$	1,148,586

Unsecured notes payable, net		500,083			(79,225	)	(c)		420,858
Unsecured line of credit		138,400			—				138,400
Accounts payable and other liabilities		269,911			(1,469	)	(a)		268,442
Lease liability - operating leases, net		88,816			—				88,816
Dividends and distributions payable		147			—				147
Distributions in excess of income from, and investments in, unconsolidated affiliates		15,616			—				15,616
Total liabilities		2,138,329			(57,464	)			2,080,865
Commitments and contingencies
EQUITY
Acadia Shareholders' Equity
Common shares, $0.001 par value, authorized 200,000,000 shares, issued and outstanding 86,268,303 shares		86			—				86
Additional paid-in capital		1,683,165			—				1,683,165
Accumulated other comprehensive loss		(74,891	)		—				(74,891	)
Distributions in excess of accumulated earnings		(167,046	)		(275	)	(b)		(167,321	)
Total Acadia shareholders’ equity		1,441,314			(275	)			1,441,039
Noncontrolling interests		607,239			1,926		(a,b)		609,165
Total equity		2,048,553			1,651				2,050,204
Total liabilities and equity	$	4,186,882		$	(55,813	)		$	4,131,069

Schedule of Condensed Income Statement

	Year Ended December 31, 2020
(in thousands except per share amounts)	As Reported			Adjustments				As Restated
Revenues
Rental income	$	251,002		$	(4,570	)	(a)	$	246,432
Other		4,482			(6	)	(a)		4,476
Total revenues		255,484			(4,576	)			250,908
Operating expenses
Depreciation and amortization		149,793			(2,564	)	(a)		147,229
General and administrative		36,055			(257	)	(a)		35,798
Real estate taxes		43,505			(1,028	)	(a)		42,477
Property operating		56,595			(1,044	)	(a)		55,551
Impairment charges		85,598			—				85,598
Total operating expenses		371,546			(4,893	)			366,653
Gain on disposition of properties		683			—				683
Operating loss		(115,379	)		317				(115,062	)
Equity in losses of unconsolidated affiliates		(1,237	)		(1,820	)	(a)		(3,057	)
Interest and other income		8,979			—				8,979
Realized and unrealized holding gains on investments and other		113,930			(568	)	(b)		113,362
Interest expense		(72,060	)		2,389		(a,b)		(69,671	)
Loss from continuing operations before income taxes		(65,767	)		318				(65,449	)
Income tax provision		(271	)		2		(a)		(269	)
Net loss		(66,038	)		320				(65,718	)
Net loss attributable to noncontrolling interests		57,279			(537	)	(a,b)		56,742
Net loss attributable to Acadia	$	(8,759	)	$	(217	)		$	(8,976	)
Net income attributable to participating securities	$	233		$	—			$	233
Shares for basic loss per share		86,442			—				86,442
Basic loss per share	$	(0.10	)	$	(0.01	)		$	(0.11	)

	Year Ended December 31, 2019
(in thousands except per share amounts)	As Reported			Adjustments				As Restated
Revenues
Rental income	$	291,190		$	(5,720	)	(a,b)	$	285,470
Other		4,137			(22	)	(a)		4,115
Total revenues		295,327			(5,742	)			289,585
Operating expenses
Depreciation and amortization		125,443			(2,863	)	(a,b)		122,580
General and administrative		35,416			(1,117	)	(a,b)		34,299
Real estate taxes		39,315			(982	)	(a)		38,333
Property operating		51,153			(1,255	)	(a)		49,898
Impairment charges		1,721			—				1,721
Total operating expenses		253,048			(6,217	)			246,831
Gain on disposition of properties		30,324			—				30,324
Operating income		72,603			475				73,078
Equity in earnings of unconsolidated affiliates		8,922			(3,023	)	(a)		5,899
Interest and other income		7,988			—				7,988
Realized and unrealized holding gains on investments and other		6,947			—		(b)		6,947
Interest expense		(73,788	)		4,575		(a,b)		(69,213	)
Income from continuing operations before income taxes		22,672			2,027				24,699
Income tax provision		(1,468	)		3		(a)		(1,465	)
Net income		21,204			2,030				23,234
Net loss attributable to noncontrolling interests		31,841			(1,358	)	(a,b)		30,483
Net income attributable to Acadia	$	53,045		$	672			$	53,717
Net income attributable to participating securities	$	413		$	—			$	413
Shares for basic and diluted income per share		84,436			—				84,436
Basic and diluted income per share	$	0.62		$	0.01			$	0.63

Schedule of Comprehensive Income

	Year Ended December 31, 2020
(in thousands)	As Reported			Adjustments				As Restated
Net loss	$	(66,038	)	$	320			$	(65,718	)
Other comprehensive loss
Unrealized loss on valuation of swap agreements		(74,236	)		550		(a)		(73,686	)
Reclassification of realized interest on swap agreements		15,203			(144	)	(a)		15,059
Other comprehensive loss		(59,033	)		406				(58,627	)
Comprehensive loss		(125,071	)		726				(124,345	)
Comprehensive loss attributable to noncontrolling interests		72,596			(644	)			71,952
Loss attributable to Acadia	$	(52,475	)	$	82			$	(52,393	)

	Year Ended December 31, 2019
(in thousands)	As Reported			Adjustments				As Restated
Net income	$	21,204		$	2,030			$	23,234
Other comprehensive loss
Unrealized loss on valuation of swap agreements		(35,674	)		(209	)	(a)		(35,883	)
Reclassification of realized interest on swap agreements		(872	)		2		(a)		(870	)
Other comprehensive loss		(36,546	)		(207	)			(36,753	)
Comprehensive loss		(15,342	)		1,823				(13,519	)
Comprehensive loss attributable to noncontrolling interests		36,696			(1,450	)			35,246
Comprehensive Income attributable to Acadia	$	21,354		$	373			$	21,727

Schedule of Cash Flow Statement

	Year Ended December 31, 2020
(in thousands)	As Reported			Adjustments				As Restated
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$	(66,038	)		320			$	(65,718	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization		149,793			(2,564	)	(a,b)		147,229
Straight-line rents		(5,096	)		227		(a)		(4,869	)
Non-cash lease expense		3,392			—				3,392
Net unrealized holding gains on investments		(72,391	)		—				(72,391	)
Distributions of operating income from unconsolidated affiliates		3,286			—				3,286
Equity in (earnings) losses of unconsolidated affiliates		1,237			1,820		(a)		3,057
Stock compensation expense		10,912			—				10,912
Amortization of financing costs		5,169			(131	)	(a,b)		5,038
Impairment charges		85,598			—		(b)		85,598
Gain on disposition of properties		(683	)		—				(683	)
Allowance for credit loss		24,770			(201	)	(a)		24,569
Adjustments to straight-line rent reserves		22,074			(203	)	(a)		21,871
Gain on debt extinguishment		(18,339	)		—				(18,339	)
Other, net		(8,753	)		598		(a,b)		(8,155	)
Changes in assets and liabilities:
Other liabilities		(4,208	)		249		(a)		(3,959	)
Lease liability - operating leases		(1,579	)		—				(1,579	)
Prepaid expenses and other assets		32			(28	)	(a)		4
Rents receivable		(29,810	)		1,489		(a)		(28,321	)
Accounts payable and accrued expenses		3,199			(194	)	(a)		3,005
Net cash provided by operating activities		102,565			1,382				103,947
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of real estate		(21,208	)		—				(21,208	)
Development, construction and property improvement costs		(40,483	)		3,904		(a)		(36,579	)
Proceeds from the disposition of properties, net		20,930			—				20,930
Investments in and advances to unconsolidated affiliates and other		(4,291	)		(10,192	)	(a)		(14,483	)
Return of capital from unconsolidated affiliates and other		14,686			—				14,686
Issuance of notes receivable		(59,000	)		—				(59,000	)
Return of deposits for properties under contract		187			—				187
Payment of deferred leasing costs		(7,979	)		1,572		(a)		(6,407	)
Change in control of previously unconsolidated affiliate		950			—				950
Net cash used in investing activities		(96,208	)		(4,716	)			(100,924	)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on mortgage and other notes		(55,449	)		3,500		(a)		(51,949	)
Principal payments on unsecured debt		(136,490	)		—				(136,490	)
Proceeds received on mortgage and other notes		7,261			(1,910	)	(a)		5,351
Proceeds from unsecured debt		236,804			—				236,804
Payments of finance lease obligations		(903	)		—				(903	)
Proceeds from the sale (repurchase) of Common Shares		(22,386	)		—				(22,386	)
Capital contributions from noncontrolling interests		52,674			(500	)	(a)		52,174
Distributions to noncontrolling interests		(31,461	)		—				(31,461	)
Dividends paid to Common Shareholders		(50,182	)		—				(50,182	)
Deferred financing and other costs		(2,311	)		96		(a)		(2,215	)
Net cash used in financing activities		(2,443	)		1,186				(1,257	)
Increase in cash and restricted cash		3,914			(2,148	)			1,766
Cash of $14,149 and restricted cash of $13,880 beginning of period		30,010			(1,981	)			28,029
Cash of $18,699 and restricted cash of $11,096 end of period	$	33,924		$	(4,129	)		$	29,795

	Year Ended December 31, 2020
(in thousands)	As Reported			Adjustments				As Restated
Supplemental disclosure of cash flow information
Cash paid during the period for interest, net of capitalized interest of $7,110	$	72,392		$	(2,009	)	(a)	$	70,383
Cash paid for income taxes, net of (refunds)	$	(329	)	$	—			$	(329	)
Supplemental disclosure of non-cash investing and financing activities
Adjustment to equity as a result of the implementation of CECL	$	400		$	—			$	400
Assumption of accounts payable and accrued expenses through acquisition of real estate	$	116		$	—			$	116
Note receivable exchanged for real estate	$	72,430		$	—			$	72,430
Acquisition of real estate through assumption of debt	$	—		$	—			$	—
Distribution declared and payable	$	—		$	123		(c)	$	123
Right-of-use assets, finance leases (modified) obtained in exchange for finance lease liabilities	$	(70,427	)	$	—			$	(70,427	)
Right-of-use assets, finance leases obtained in exchange for assets under capital lease	$	—		$	—			$	—
Right-of-use assets, operating leases exchanged for operating lease liabilities	$	33,189		$	—			$	33,189
Capital lease obligation exchanged for finance lease liability	$	—		$	—			$	—
Other liabilities exchanged for operating lease liabilities	$	—		$	—			$	—
Assumption of debt through investments in unconsolidated affiliates	$	—		$	—			$	—
Debt exchanged for deferred gain on tax credits	$	—		$	—			$	—
Other assets exchanged for deferred gain on tax credits	$	—		$	—			$	—
Settlement of note receivable through cancellation of OP Units	$	—		$	—			$	—
Right of use assets, operating leases terminated in exchange for finance lease liabilities	$	(1,432	)	$	—			$	(1,432	)
Change in control of previously unconsolidated (consolidated) investment
Increase in real estate	$	(135,190	)	$	—			$	(135,190	)
Decrease in investments in and advances to unconsolidated affiliates		96,816			—				96,816
Change in other assets and liabilities		1,238			—				1,238
Acquisition of noncontrolling interest asset		(588	)		—				(588	)
Decrease in notes receivable		38,674			—				38,674
Decrease in right-of-use assets, finance leases		—			—				—
Decrease in finance lease liability		—			—				—
Increase in cash and restricted cash upon change of control	$	950		$	—			$	950

	Year Ended December 31, 2019
(in thousands)	As Reported			Adjustments				As Restated
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	21,204			2,030			$	23,234
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		125,443			(2,863	)	(a,b)		122,580
Straight-line rents		—			(4,185	)	(c)		(4,185	)
Distributions of operating income from unconsolidated affiliates		11,273			—				11,273
Equity in (earnings) losses of unconsolidated affiliates		(8,922	)		3,023		(a)		(5,899	)
Stock compensation expense		10,957			(951	)	(b)		10,006
Amortization of financing costs		7,577			(859	)	(a,b)		6,718
Impairment charges		1,721			—				1,721
Gain on disposition of properties		(30,324	)		—				(30,324	)
Allowance for credit loss		—			2,742		(a,c)		2,742
Adjustments to straight-line rent reserves		—			1,961		(a,b,c)		1,961
Deferred gain on tax credits		(5,034	)		—				(5,034	)
Other, net		(11,627	)		52		(a)		(11,575	)
Changes in assets and liabilities:
Other liabilities		(4,466	)		(384	)	(a)		(4,850	)
Lease liability - operating leases		—			2,014		(b)		2,014
Prepaid expenses and other assets		8,198			8		(a)		8,206
Rents receivable		(455	)		1,544		(c)		1,089
Accounts payable and accrued expenses		1,632			73		(a)		1,705
Net cash provided by operating activities		127,177			4,205				131,382
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of real estate		(319,673	)		—				(319,673	)
Acquisition of leasehold interests		(39,031	)		—				(39,031	)
Development, construction and property improvement costs		(89,270	)		(115	)	(a)		(89,385	)
Proceeds from the disposition of properties, net		88,738			—				88,738
Investments in and advances to unconsolidated affiliates and other		(151,281	)		(13,641	)	(a)		(164,922	)
Return of capital from unconsolidated affiliates and other		105,999			6				106,005
Issuance of notes receivable		(3,608	)		—				(3,608	)
Proceeds from notes receivable		15,250			—				15,250
Return of deposits for properties under contract		2,870			—				2,870
Payment of deferred leasing costs		(7,051	)		269		(a)		(6,782	)
Net cash used in investing activities		(397,057	)		(13,481	)			(410,538	)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on mortgage and other notes		(168,211	)		27,627		(a)		(140,584	)
Principal payments on unsecured debt		(521,600	)		—				(521,600	)
Proceeds received on mortgage and other notes		326,268			(18,900	)	(a)		307,368
Proceeds from unsecured debt		526,400			—				526,400
Payments of finance lease obligations		(2,749	)		—				(2,749	)
Proceeds from the sale (repurchase) of Common Shares		145,498			—				145,498
Capital contributions from noncontrolling interests		161,628			(263	)	(a)		161,365
Distributions to noncontrolling interests		(101,370	)		6		(a)		(101,364	)
Dividends paid to Common Shareholders		(93,902	)		—				(93,902	)
Deferred financing and other costs		(6,920	)		444		(a)		(6,476	)
Net cash provided by financing activities		265,042			8,914				273,956
Decrease in cash and restricted cash		(4,838	)		(362	)			(5,200	)
Cash of $20,074 and restricted cash of $13,155 beginning of period		34,848			(1,619	)			33,229
Cash of $14,149 and restricted cash of $13,880 end of period	$	30,010		$	(1,981	)		$	28,029

	Year Ended December 31, 2019
(in thousands)	As Reported			Adjustments				As Restated
Supplemental disclosure of cash flow information
Cash paid during the period for interest, net of capitalized interest of $12,586	$	53,586		$	15,490			$	69,076
Cash paid for income taxes, net of (refunds)	$	730		$	—			$	730
Supplemental disclosure of non-cash investing and financing activities
Adjustment to equity as a result of the implementation of CECL	$	—		$	—			$	—
Assumption of accounts payable and accrued expenses through acquisition of real estate	$	4,666		$	—			$	4,666
Note receivable exchanged for real estate	$	13,530		$	—			$	13,530
Acquisition of real estate through assumption of debt	$	—		$	—			$	—
Distribution declared and payable	$	—		$	26,914		(c)	$	26,914
Right-of-use assets, finance leases (modified) obtained in exchange for finance lease liabilities	$	16,349		$	—			$	16,349
Right-of-use assets, finance leases obtained in exchange for assets under capital lease	$	76,965		$	—			$	76,965
Right-of-use assets, operating leases exchanged for operating lease liabilities	$	57,165		$	—			$	57,165
Capital lease obligation exchanged for finance lease liability	$	71,111		$	—			$	71,111
Other liabilities exchanged for operating lease liabilities	$	946		$	—			$	946
Assumption of debt through investments in unconsolidated affiliates	$	4,688		$	—			$	4,688
Debt exchanged for deferred gain on tax credits	$	—		$	(5,262	)	(c)	$	(5,262	)
Other assets exchanged for deferred gain on tax credits	$	—		$	228		(c)	$	228
Settlement of note receivable through cancellation of OP Units	$	—		$	—			$	—
Right of use assets, operating leases terminated in exchange for finance lease liabilities	$	—		$	—			$	—
Change in control of previously unconsolidated (consolidated) investment
Increase in real estate	$	828		$	—			$	828
Decrease in investments in and advances to unconsolidated affiliates		(1,189	)		—				(1,189	)
Change in other assets and liabilities		12			—				12
Acquisition of noncontrolling interest asset		—			—				—
Decrease in notes receivable		—			—				—
Decrease in right-of-use assets, finance leases		11,051			—				11,051
Decrease in finance lease liability		(10,702	)		—				(10,702	)
Increase in cash and restricted cash upon change of control	$	—		$	—			$	—