Leases (Tables)

3 Months Ended

Mar. 31, 2019

Summary of Lease Income Types Relating to Lease Payments

The following table presents the lease income types relating to lease payments for residential and retail leases for the quarter ended March 31, 2019 (amounts in thousands):

	Quarter Ended March 31, 2019
Lease Income Type	Residential Leases		Retail Leases		Total
Residential and retail rent	$	592,520	$	18,470	$	610,990
Parking rent		9,137		72		9,209
Storage rent		919		44		963
Pet rent		2,887		—		2,887
Total lease revenue (1)	$	605,463	$	18,586	$	624,049

(1)	Excludes other rental income of $38.3 million, which is accounted for under the revenue recognition standard.

Summary of Right-of-Use Assets and Related Lease Liabilities

The following table presents the Company’s ROU assets and related lease liabilities as of March 31, 2019 (amounts in thousands):

	2019
Right-of-use assets:
Corporate office leases (1)	$	16,024
Ground leases		418,659
Right-of-use assets	$	434,683
Lease liabilities:
Corporate office leases (1)	$	17,585
Ground leases		264,652
Lease liabilities	$	282,237

(1)	The Company has two corporate office leases that are considered short-term and therefore, there is no balance sheet impact and both leases continue to be expensed on a straight-line basis throughout the year.

Summary of Quantitative Disclosures for Lessees

The following table illustrates the quantitative disclosures for lessees as of and for the quarter ended March 31, 2019 (amounts in thousands):

	2019
Lease cost:
Operating lease cost:
Corporate office leases	$	918
Ground leases		5,550
Short-term lease cost:
Corporate office leases		56
Ground leases		—
Variable lease cost:
Corporate office leases		261
Ground leases		851
Total lease cost	$	7,636
Other information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases:
Corporate office leases	$	1,248
Ground leases	$	4,493
ROU assets obtained in exchange for new operating lease liabilities:
Corporate office leases	$	16,687
Ground leases	$	422,018
Weighted-average remaining lease term – operating leases:
Corporate office leases	6.5 years
Ground leases	56.8 years
Weighted-average discount rate – operating leases:
Corporate office leases		3.7	%
Ground leases		5.0	%

Summary of Undiscounted Cash Flows for Contractual Obligations for Minimum Rent Payments/Receipts

The following table summarizes the Company’s undiscounted cash flows for contractual obligations for minimum rent payments/receipts under operating leases for the next five years and thereafter as of March 31, 2019:

(Payments)/Receipts Due by Year (in thousands)
	Remaining 2019			2020			2021			2022			2023			2024			Thereafter			Total
Operating Leases:
Minimum Rent Payments (a)	$	(12,607	)	$	(17,208	)	$	(17,148	)	$	(14,993	)	$	(14,843	)	$	(15,101	)	$	(938,561	)	$	(1,030,461	)
Minimum Rent Receipts (b)	$	49,268		$	62,481		$	58,439		$	54,378		$	46,987		$	39,364		$	135,548		$	446,465

(a)	Minimum basic rent due for corporate office leases and base rent due on ground leases where the Company is the lessee.

(b)	Minimum basic rent receipts due for various retail space where the Company is the lessor. Excludes residential leases due to their short-term nature.

Summary of Reconciliation of Lease Liabilities

The following table provides a reconciliation of lease liabilities from our undiscounted cash flows for minimum rent payments for the quarter ended March 31, 2019 (amount in thousands):

	2019
Total minimum rent payments	$	1,030,461
Less: Lease discount		(748,224	)
Lease liabilities	$	282,237