0000950170-23-062150.txt : 20231109 0000950170-23-062150.hdr.sgml : 20231109 20231109163440 ACCESSION NUMBER: 0000950170-23-062150 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 83 CONFORMED PERIOD OF REPORT: 20230930 FILED AS OF DATE: 20231109 DATE AS OF CHANGE: 20231109 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CBL & ASSOCIATES PROPERTIES INC CENTRAL INDEX KEY: 0000910612 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 621545718 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-12494 FILM NUMBER: 231393179 BUSINESS ADDRESS: STREET 1: 2030 HAMILTON PLACE BVLD, SUITE 500 STREET 2: CBL CENTER CITY: CHATTANOOGA STATE: TN ZIP: 37421 BUSINESS PHONE: 4238550001 MAIL ADDRESS: STREET 1: 2030 HAMILTON PLACE BVLD, SUITE 500 STREET 2: CBL CENTER CITY: CHATTANOOGA STATE: TN ZIP: 37421 10-Q 1 cbl-20230930.htm 10-Q 10-Q
0000910612falseQ3--12-31May 31, 2028May 31, 2024June 30, 2025June 7, 2027June 30, 2025May 31, 20260000910612cbl:OperatingPropertyLoanMember2023-01-012023-09-300000910612cbl:LandParcelSaleMember2023-01-012023-09-300000910612cbl:MallsMember2022-12-310000910612srt:MaximumMember2023-01-012023-09-300000910612cbl:AmbassadorInfrastructureLLCMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-12-310000910612cbl:PerformanceStockUnitsAndNonvestedRestrictedStockAwardsMember2022-01-012022-09-300000910612us-gaap:NoncontrollingInterestMember2022-04-012022-06-300000910612us-gaap:ParentMember2022-01-012022-03-310000910612us-gaap:ProductAndServiceOtherMember2023-07-012023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-03-3100009106122023-04-012023-06-300000910612us-gaap:NoncontrollingInterestMember2023-09-300000910612cbl:CBLDMCILLCMembercbl:CBLTRSMedOFCHoldingLLCMember2023-06-300000910612cbl:WestgateMallCMBSLLCMember2023-07-012023-09-300000910612cbl:WestMelbourneILLCPhaseIIMember2023-09-300000910612cbl:WestMelbourneILLCPhaseIAndIIAndPortOrangeILLCMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2023-07-012023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-12-310000910612cbl:AllOtherMember2023-01-012023-09-300000910612us-gaap:NoncontrollingInterestMember2023-04-012023-06-300000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMembercbl:AtlantaOutletJVLLCMember2023-09-300000910612us-gaap:SubsequentEventMembercbl:AtlantaOutletShoppesCMBSLLCMember2023-10-012023-10-310000910612cbl:VariableRateInterestMemberMember2022-12-310000910612cbl:WestMelbourneILLCPhaseIIMember2023-01-012023-09-300000910612cbl:AllOtherMember2022-07-012022-09-3000009106122023-05-310000910612cbl:BIDevelopmentIILLCMember2023-01-012023-09-300000910612cbl:OpenAirCentersAndOutparcelsLoanMember2022-12-3100009106122022-06-300000910612us-gaap:CommonStockMember2021-12-310000910612us-gaap:RetainedEarningsMember2022-07-012022-09-300000910612us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember2023-01-012023-09-3000009106122023-01-012023-09-300000910612cbl:OutparcelSale2Member2022-01-012022-09-300000910612cbl:SecuredTermLoanMember2023-09-300000910612cbl:OutparcelAtPavilionAtPortOrangeMember2022-01-012022-09-300000910612us-gaap:ParentMember2022-07-012022-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-07-012022-09-300000910612us-gaap:USTreasurySecuritiesMember2022-12-310000910612cbl:LandParcelSaleMember2023-07-012023-09-300000910612us-gaap:ParentMember2023-03-310000910612us-gaap:FairValueInputsLevel2Memberus-gaap:InterestRateSwapMember2023-09-300000910612cbl:VariableRateInterestMemberMembercbl:NonRecourseLoansonOperatingPropertiesMember2023-09-300000910612us-gaap:ParentMember2023-04-012023-06-300000910612cbl:CblTrsJointVentureLlcMember2023-04-300000910612cbl:BIDevelopmentIILLCMember2023-01-012023-09-3000009106122022-04-012022-06-300000910612cbl:OperatingPropertyLoanMember2023-09-300000910612cbl:LaredoOutletShoppesCmbsllcMemberus-gaap:SubsequentEventMember2023-10-310000910612us-gaap:ProductAndServiceOtherMember2022-07-012022-09-300000910612us-gaap:ParentMember2022-03-310000910612cbl:OperatingExpenseReimbursementsMember2023-07-012023-09-300000910612us-gaap:ParentMembercbl:CBLHoldingsMember2023-09-300000910612us-gaap:PerformanceSharesMembersrt:OfficerMember2023-02-170000910612us-gaap:SubsequentEventMember2023-11-022023-11-020000910612cbl:MarketingMember2022-07-012022-09-300000910612us-gaap:VariableInterestEntityPrimaryBeneficiaryMemberus-gaap:NonrecourseMember2023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-04-012023-06-300000910612us-gaap:ParentMember2022-06-300000910612us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember2023-01-012023-03-310000910612us-gaap:USTreasurySecuritiesMember2023-09-300000910612us-gaap:MajorityOwnedSubsidiaryUnconsolidatedMember2023-01-012023-09-300000910612cbl:SeniorSecuredTermLoanMembercbl:ExitCreditAgreementMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2021-12-310000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-07-012022-09-300000910612cbl:NonRecourseLoansonOperatingPropertiesMember2023-09-300000910612cbl:OutparcelSale2Member2022-07-012022-09-300000910612cbl:FixedRateInterestMembercbl:NonRecourseLoansonOperatingPropertiesMember2023-09-300000910612us-gaap:PerformanceSharesMember2023-02-172023-02-170000910612cbl:NonRecourseLoansonOperatingPropertiesMember2022-12-310000910612cbl:FiveMortgageNotesPayableMember2023-09-300000910612cbl:AlamanceCrossingCmbsLlcMember2023-09-300000910612us-gaap:DebtInstrumentRedemptionPeriodOneMembercbl:SeniorSecuredTermLoanMembercbl:ExitCreditAgreementMember2023-01-012023-09-300000910612us-gaap:NoncontrollingInterestMember2022-09-300000910612cbl:AlamanceCrossingEastMember2023-09-300000910612cbl:MarketingMember2022-01-012022-09-300000910612cbl:OpenAirCentersAndOutparcelsLoanMember2023-09-3000009106122023-10-012023-09-300000910612us-gaap:RetainedEarningsMember2023-06-3000009106122022-03-310000910612cbl:MallsMember2023-07-012023-09-3000009106122043-10-012023-09-300000910612cbl:AlamanceCrossingEastMember2023-01-012023-09-300000910612us-gaap:CommonStockMember2022-03-310000910612us-gaap:PerformanceSharesMembersrt:ChiefExecutiveOfficerMember2023-02-172023-02-1700009106122021-12-310000910612us-gaap:CommonStockMember2023-03-310000910612cbl:BIDevelopmentIILLCMember2022-07-012022-09-300000910612cbl:SeniorSecuredTermLoanMembersrt:MaximumMembercbl:ExitCreditAgreementMember2023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-01-012022-03-3100009106122022-12-310000910612cbl:AtlantaOutletOutparcelsMember2023-09-300000910612cbl:WestMelbourneILLCPhaseIMember2022-12-3100009106122023-11-060000910612us-gaap:PerformanceSharesMembersrt:ChiefExecutiveOfficerMember2023-02-170000910612cbl:MallsMember2023-09-300000910612cbl:PerformanceStockUnitsAndNonvestedRestrictedStockAwardsMember2023-07-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2023-01-012023-03-310000910612cbl:GreenbrierMallMember2022-09-300000910612srt:MaximumMemberus-gaap:PerformanceSharesMember2023-02-012023-02-280000910612us-gaap:RestrictedStockMember2023-09-300000910612us-gaap:NoncontrollingInterestMember2022-03-310000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-07-012023-09-300000910612cbl:FixedRateInterestMember2023-09-300000910612cbl:OperatingExpenseReimbursementsMember2022-07-012022-09-300000910612cbl:PortOrangeILlcMember2023-09-300000910612us-gaap:CommonStockMember2022-06-300000910612cbl:MarketingMember2023-07-012023-09-300000910612us-gaap:NoncontrollingInterestMember2022-07-012022-09-300000910612cbl:AllOtherMember2023-09-300000910612cbl:BIDevelopmentIILLCMember2022-07-012022-09-300000910612cbl:FixedRateInterestMember2022-12-310000910612us-gaap:NoncontrollingInterestMember2022-06-300000910612us-gaap:ParentMember2023-01-012023-03-310000910612cbl:BIDevelopmentIILLCMember2022-01-012022-09-3000009106122028-10-012023-09-300000910612us-gaap:CommonStockMember2022-09-300000910612cbl:OperatingExpenseReimbursementsMember2022-01-012022-09-3000009106122023-07-012023-09-300000910612cbl:VariableRateInterestMemberMember2023-09-300000910612us-gaap:NoncontrollingInterestMember2023-03-310000910612us-gaap:ParentMember2022-09-300000910612cbl:PerformanceStockUnitsAndNonvestedRestrictedStockAwardsMember2023-01-012023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-03-310000910612us-gaap:ParentMember2023-09-300000910612us-gaap:CashFlowHedgingMemberus-gaap:InterestRateSwapMember2023-07-012023-09-300000910612cbl:AmbassadorInfrastructureLLCMember2023-09-300000910612us-gaap:InterestExpenseMemberus-gaap:CashFlowHedgingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:InterestRateSwapMember2023-01-012023-09-300000910612srt:ScenarioForecastMember2023-01-012023-12-310000910612us-gaap:CashFlowHedgingMemberus-gaap:InterestRateSwapMember2023-01-012023-09-300000910612cbl:MallsMember2023-01-012023-09-300000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMembercbl:CBLDMCILLCMembercbl:CBLTRSMedOFCHoldingLLCMember2023-09-300000910612cbl:AllOtherMember2022-01-012022-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-3100009106122023-05-012023-05-310000910612cbl:WestMelbourneILLCPhaseIMember2023-01-012023-09-300000910612us-gaap:RetainedEarningsMember2022-06-300000910612cbl:VolusiaMallMembersrt:ScenarioForecastMember2023-11-300000910612cbl:ManagementDevelopmentandLeasingFeesMember2023-01-012023-09-300000910612us-gaap:RetainedEarningsMember2023-04-012023-06-3000009106122023-09-300000910612us-gaap:DebtInstrumentRedemptionPeriodOneMembercbl:ExitCreditAgreementMember2023-01-012023-09-300000910612cbl:VolusiaMallMembersrt:ScenarioForecastMember2023-11-012023-11-300000910612srt:MinimumMemberus-gaap:PerformanceSharesMember2023-02-012023-02-280000910612us-gaap:ParentMember2023-06-300000910612cbl:CBLTRSMedOFCHoldingLLCMember2023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-06-300000910612us-gaap:ParentMember2023-07-012023-09-300000910612cbl:SeniorSecuredTermLoanMembercbl:ExitCreditAgreementMember2023-09-300000910612us-gaap:RestrictedStockMember2023-01-012023-09-300000910612cbl:SecuredTermLoanMember2022-12-310000910612cbl:VariableRateInterestMemberMembercbl:SecuredTermLoanMember2022-12-310000910612cbl:CBLTRSMedOFCHoldingLLCMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2023-04-012023-06-300000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMembercbl:VisionCBLHamiltonPlaceLLCMember2023-09-300000910612us-gaap:RetainedEarningsMember2022-04-012022-06-300000910612us-gaap:InterestRateSwapMember2023-06-300000910612cbl:WestgateMallCMBSLLCMember2023-01-012023-09-300000910612us-gaap:InterestExpenseMemberus-gaap:CashFlowHedgingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:InterestRateSwapMember2023-07-012023-09-300000910612us-gaap:RestrictedStockMember2023-07-012023-09-300000910612us-gaap:CommonStockMember2023-06-300000910612us-gaap:RetainedEarningsMember2023-09-300000910612us-gaap:PerformanceSharesMembersrt:OfficerMember2023-02-172023-02-170000910612cbl:AtlantaOutletShoppesCMBSLLCMember2023-09-300000910612cbl:JCPenneyParcelMembercbl:CoolSpringGalleriaMember2022-07-012022-07-310000910612us-gaap:RestrictedStockMember2022-01-012022-09-300000910612cbl:BIDevelopmentIILLCMember2023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-06-300000910612cbl:CBLTRSMedOFCHoldingLLCMemberus-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember2023-09-300000910612cbl:BrookfieldSquareAnchorRedevelopmentLoanMemberus-gaap:SubsequentEventMember2023-10-012023-10-010000910612us-gaap:PerformanceSharesMember2022-07-012022-09-300000910612cbl:BIDevelopmentIILLCMember2023-07-012023-09-300000910612cbl:OneMonthUsdSofrCmeMemberus-gaap:CashFlowHedgingMembercbl:PayFixedOrReceiveVariableSwapMembercbl:IntangibleLeaseAssetsAndOtherAssetsMember2023-09-300000910612cbl:VariableRateInterestMemberMembercbl:OpenAirCentersAndOutparcelsLoanMember2023-09-300000910612us-gaap:NoncontrollingInterestMember2022-12-3100009106122022-09-300000910612cbl:AllOtherMember2022-12-310000910612us-gaap:MortgagesMember2023-09-300000910612us-gaap:RestrictedStockMember2023-02-012023-02-280000910612us-gaap:CommonStockMember2022-01-012022-03-310000910612us-gaap:NoncontrollingInterestMember2022-01-012022-03-310000910612cbl:ManagementDevelopmentandLeasingFeesMember2023-07-012023-09-300000910612us-gaap:CashFlowHedgingMembercbl:PayFixedOrReceiveVariableSwapMembercbl:IntangibleLeaseAssetsAndOtherAssetsMember2023-09-300000910612us-gaap:NoncontrollingInterestMember2023-07-012023-09-300000910612cbl:ManagementDevelopmentandLeasingFeesMember2022-01-012022-09-300000910612us-gaap:VariableInterestEntityPrimaryBeneficiaryMember2023-09-300000910612us-gaap:RestrictedStockMembersrt:MinimumMember2023-02-012023-02-280000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-06-300000910612cbl:AllOtherMember2023-07-012023-09-300000910612cbl:AmbassadorInfrastructureLLCMemberus-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember2023-09-300000910612us-gaap:SubsequentEventMembercbl:AtlantaOutletShoppesCMBSLLCMember2023-10-310000910612us-gaap:NoncontrollingInterestMember2021-12-3100009106122022-07-012022-09-300000910612us-gaap:RetainedEarningsMember2022-09-300000910612cbl:BIDevelopmentLLCMemberus-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember2023-09-300000910612us-gaap:PerformanceSharesMember2023-07-012023-09-3000009106122023-02-280000910612us-gaap:RestrictedStockMembersrt:MaximumMember2023-02-012023-02-280000910612us-gaap:CashFlowHedgingMembercbl:PayFixedOrReceiveVariableSwapMembercbl:IntangibleLeaseAssetsAndOtherAssetsMember2023-01-012023-09-300000910612us-gaap:RetainedEarningsMember2023-03-310000910612us-gaap:PerformanceSharesMember2023-02-012023-02-280000910612cbl:CBLDMCILLCMembercbl:CBLTRSMedOFCHoldingLLCMember2023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-01-012022-03-310000910612cbl:CrossCreekMallMember2023-06-300000910612us-gaap:AdditionalPaidInCapitalMember2023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-04-012022-06-300000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember2023-09-300000910612us-gaap:ParentMember2022-04-012022-06-300000910612us-gaap:PerformanceSharesMember2023-02-170000910612us-gaap:ParentMember2021-12-310000910612cbl:WestMelbourneILLCPhaseIIMember2022-12-310000910612cbl:VariableRateInterestMemberMembercbl:OpenAirCentersAndOutparcelsLoanMember2022-12-310000910612cbl:MarketingMember2023-01-012023-09-300000910612srt:MinimumMember2023-01-012023-09-300000910612us-gaap:RestrictedStockMember2022-12-310000910612cbl:WestMelbourneILLCPhaseIMember2023-09-300000910612cbl:NonRecourseLoansOnOperatingPropertiesOpenAirCentersAndOutparcelsLoanAndSecuredTermLoanMember2023-09-300000910612cbl:FixedRateInterestMembercbl:OpenAirCentersAndOutparcelsLoanMember2023-09-300000910612cbl:OperatingExpenseReimbursementsMember2023-01-012023-09-300000910612us-gaap:InterestRateSwapMember2023-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-04-012022-06-300000910612cbl:WestgateMallCMBSLLCMember2023-09-300000910612us-gaap:ProductAndServiceOtherMember2023-01-012023-09-300000910612cbl:WestgateMallMember2023-09-300000910612cbl:VariableRateInterestMemberMembercbl:NonRecourseLoansonOperatingPropertiesMember2022-12-310000910612us-gaap:RetainedEarningsMember2023-07-012023-09-300000910612us-gaap:PerformanceSharesMember2022-01-012022-09-300000910612us-gaap:CommonStockMember2022-12-310000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMembercbl:BIDevelopmentIILLCMember2023-09-300000910612cbl:BrookfieldSquareAnchorRedevelopmentLoanMemberus-gaap:SubsequentEventMember2023-10-012023-10-310000910612us-gaap:ProductAndServiceOtherMember2022-01-012022-09-300000910612cbl:CBLAssociatesPropertiesIncMembersrt:SubsidiariesMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2023-03-310000910612cbl:FixedRateInterestMembercbl:OpenAirCentersAndOutparcelsLoanMember2022-12-310000910612cbl:PortOrangeILlcMember2023-01-012023-09-300000910612srt:MinimumMembercbl:UnconsolidatedAffiliatesMember2023-09-300000910612cbl:CblTrsJointVentureLlcMember2023-04-012023-04-300000910612us-gaap:NoncontrollingInterestMember2023-06-300000910612us-gaap:PerformanceSharesMember2022-12-310000910612cbl:CrossCreekMallMember2023-06-012023-06-300000910612us-gaap:ParentMember2022-12-310000910612cbl:WestgateMallMember2023-01-012023-09-300000910612cbl:BIDevelopmentIILLCMember2022-01-012022-09-300000910612cbl:PortOrangeILlcMember2022-12-310000910612cbl:FixedRateInterestMembercbl:NonRecourseLoansonOperatingPropertiesMember2022-12-310000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-09-300000910612cbl:AtlantaOutletOutparcelsMember2023-01-012023-09-300000910612us-gaap:CommonStockMember2023-09-300000910612cbl:AmbassadorInfrastructureLLCMember2022-12-310000910612cbl:BIDevelopmentIILLCMember2022-12-310000910612us-gaap:RetainedEarningsMember2022-03-310000910612srt:SubsidiariesMember2023-09-300000910612us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMembercbl:VisionCblMayfaireTcHotelLlcMember2023-09-3000009106122023-02-012023-02-280000910612us-gaap:PerformanceSharesMember2023-09-3000009106122022-01-012022-09-300000910612us-gaap:AdditionalPaidInCapitalMember2023-06-300000910612cbl:VariableRateInterestMemberMembercbl:SecuredTermLoanMember2023-09-300000910612cbl:LouisvilleOutletShoppesLLCMember2023-04-300000910612us-gaap:RestrictedStockMember2022-07-012022-09-300000910612cbl:BIDevelopmentIILLCMember2023-07-012023-09-3000009106122022-01-012022-03-310000910612us-gaap:AdditionalPaidInCapitalMember2022-09-300000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-03-310000910612cbl:LaredoOutletShoppesCmbsllcMemberus-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMemberus-gaap:SubsequentEventMember2023-10-012023-10-310000910612us-gaap:PerformanceSharesMember2023-01-012023-09-300000910612us-gaap:RetainedEarningsMember2021-12-310000910612cbl:PerformanceStockUnitsAndNonvestedRestrictedStockAwardsMember2022-07-012022-09-300000910612cbl:LaredoOutletShoppesCmbsllcMemberus-gaap:SubsequentEventMember2023-10-012023-10-3100009106122023-06-300000910612cbl:ManagementDevelopmentandLeasingFeesMember2022-07-012022-09-300000910612us-gaap:MajorityOwnedSubsidiaryUnconsolidatedMember2022-01-012022-09-300000910612us-gaap:RetainedEarningsMember2022-12-310000910612us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-09-300000910612cbl:MallsMember2022-07-012022-09-3000009106122023-01-012023-03-310000910612us-gaap:NoncontrollingInterestMember2023-01-012023-03-310000910612cbl:MallsMember2022-01-012022-09-3000009106122023-03-310000910612srt:MaximumMembercbl:UnconsolidatedAffiliatesMember2023-09-300000910612cbl:AtlantaOutletShoppesCMBSLLCMember2023-01-012023-09-300000910612us-gaap:AdditionalPaidInCapitalMember2022-03-310000910612us-gaap:RetainedEarningsMember2023-01-012023-03-310000910612us-gaap:ParentMembersrt:SubsidiariesMember2023-09-300000910612cbl:AlamanceCrossingCmbsLlcMember2023-01-012023-09-300000910612us-gaap:RetainedEarningsMember2022-01-012022-03-31cbl:Propertycbl:Mallxbrli:purecbl:LandParcelcbl:Office_buildingcbl:Loancbl:Segmentcbl:Subsidiarycbl:OpenAir_centercbl:Lifestyle_centercbl:Entitycbl:Outparcelcbl:Outlet_centerxbrli:sharescbl:Other_propertycbl:Statecbl:Acquisitioniso4217:USDxbrli:sharesiso4217:USD

 

UNITED STATES OF AMERICA

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2023

or

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM ____________ TO _______________

COMMISSION FILE NO. 1-12494 (CBL & ASSOCIATES PROPERTIES, INC.)

 

CBL & ASSOCIATES PROPERTIES, INC.

(Exact Name of registrant as specified in its charter)

 

 

Delaware

62-1545718

 

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification Number)

 

2030 Hamilton Place Blvd., Suite 500, Chattanooga, TN 37421-6000

(Address of principal executive office, including zip code)

423-855-0001

(Registrant’s telephone number, including area code)

N/A

(Former name, former address and former fiscal year, if changed since last report)

Securities registered under Section 12(b) of the Act:

 

Title of each Class

Trading

Symbol(s)

Name of each exchange on

which registered

Common Stock, $0.001 par value

CBL

New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

 

 

Yes

No

 

 

 

 

 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

 

 

Yes

No

 

 

 

 

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

 

 

  Yes

No

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.

 

  Yes

No

As of November 6, 2023, 32,001,237 shares of common stock were outstanding, excluding 34 treasury shares.


 

CBL & Associates Properties, Inc.

Table of Contents

 

 

 

 

 

 

PART I

FINANCIAL INFORMATION

1

Item 1.

Condensed Consolidated Financial Statements (Unaudited)

1

 

 

 

 

Condensed Consolidated Balance Sheets as of September 30, 2023 and December 31, 2022

1

 

Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2023 and 2022

2

 

Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three and Nine Months Ended September 30, 2023 and 2022

3

 

Condensed Consolidated Statements of Equity for the Three and Nine Months Ended September 30, 2023 and 2022

4

 

Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2023 and 2022

5

 

 

 

 

Notes to Unaudited Condensed Consolidated Financial Statements

6

 

 

 

Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

24

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

39

Item 4.

Controls and Procedures

39

 

 

 

PART II

OTHER INFORMATION

40

 

 

 

Item 1.

Legal Proceedings

40

Item1A.

Risk Factors

40

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

40

Item 3.

Defaults Upon Senior Securities

40

Item 4.

Mine Safety Disclosures

40

Item 5.

Other Information

40

Item 6.

Exhibits

41

 

 

 

 

SIGNATURES

42

 

 

 


 

PART I – FINANCIAL INFORMATION

ITEM 1: Condensed Consolidated Financial Statements (Unaudited)

 

CBL & Associates Properties, Inc.

Condensed Consolidated Balance Sheets

(In thousands, except share data)

(Unaudited)

 

 

 

September 30,

 

 

December 31,

 

ASSETS (1)

 

2023

 

 

2022

 

Real estate assets:

 

 

 

 

 

 

Land

 

$

585,476

 

 

$

596,715

 

Buildings and improvements

 

 

1,208,266

 

 

 

1,198,597

 

 

 

1,793,742

 

 

 

1,795,312

 

Accumulated depreciation

 

 

(205,547

)

 

 

(136,901

)

 

 

1,588,195

 

 

 

1,658,411

 

Developments in progress

 

 

6,555

 

 

 

5,576

 

Net investment in real estate assets

 

 

1,594,750

 

 

 

1,663,987

 

Cash and cash equivalents

 

 

34,509

 

 

 

44,718

 

Restricted cash

 

 

85,167

 

 

 

97,231

 

Available-for-sale securities - at fair value (amortized cost of $258,507 and $293,476 as of September 30, 2023 and December 31, 2022, respectively)

 

 

258,254

 

 

 

292,422

 

Receivables:

 

 

 

 

 

 

Tenant

 

 

36,927

 

 

 

40,620

 

Other

 

 

3,786

 

 

 

3,876

 

Investments in unconsolidated affiliates

 

 

73,434

 

 

 

77,295

 

In-place leases, net

 

 

175,579

 

 

 

247,497

 

Above market leases, net

 

 

130,047

 

 

 

171,265

 

Intangible lease assets and other assets

 

 

43,898

 

 

 

39,332

 

 

$

2,436,351

 

 

$

2,678,243

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

Mortgage and other indebtedness, net

 

$

1,900,473

 

 

$

2,000,186

 

Below market leases, net

 

 

86,167

 

 

 

110,616

 

Accounts payable and accrued liabilities

 

 

120,741

 

 

 

200,312

 

Total liabilities (1)

 

 

2,107,381

 

 

 

2,311,114

 

Shareholders' equity:

 

 

 

 

 

 

Common stock, $.001 par value, 200,000,000 shares authorized, 32,014,631 and 31,780,075 issued and outstanding as of September 30, 2023 and December 31, 2022, respectively (in each case, excluding 34 treasury shares)

 

32

 

 

 

32

 

Additional paid-in capital

 

 

717,559

 

 

 

710,497

 

Accumulated other comprehensive income (loss)

 

 

957

 

 

 

(1,054

)

Accumulated deficit

 

 

(380,258

)

 

 

(338,934

)

Total shareholders' equity

 

 

338,290

 

 

 

370,541

 

Noncontrolling interests

 

 

(9,320

)

 

 

(3,412

)

Total equity

 

 

328,970

 

 

 

367,129

 

 

$

2,436,351

 

 

$

2,678,243

 

(1)
As of September 30, 2023, includes $186,582 of assets related to consolidated variable interest entities that can be used only to settle obligations of the consolidated variable interest entities and $212,100 of liabilities of consolidated variable interest entities for which creditors do not have recourse to the general credit of the Company. See Note 8.

The accompanying notes are an integral part of these condensed consolidated statements.

1


 

CBL & Associates Properties, Inc.

Condensed Consolidated Statements of Operations

(In thousands, except per share data)

(Unaudited)

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

REVENUES:

 

 

 

 

 

 

 

 

 

 

 

 

Rental revenues

 

$

124,783

 

 

$

131,642

 

 

$

379,949

 

 

$

398,806

 

Management, development and leasing fees

 

 

1,840

 

 

 

1,783

 

 

 

6,096

 

 

 

5,338

 

Other

 

 

2,728

 

 

 

2,855

 

 

 

9,532

 

 

 

9,256

 

Total revenues

 

 

129,351

 

 

 

136,280

 

 

 

395,577

 

 

 

413,400

 

EXPENSES:

 

 

 

 

 

 

 

 

 

 

 

 

Property operating

 

 

(22,621

)

 

 

(24,390

)

 

 

(68,742

)

 

 

(69,046

)

Depreciation and amortization

 

 

(45,118

)

 

 

(61,050

)

 

 

(148,129

)

 

 

(194,469

)

Real estate taxes

 

 

(13,794

)

 

 

(13,880

)

 

 

(43,063

)

 

 

(42,569

)

Maintenance and repairs

 

 

(8,487

)

 

 

(10,272

)

 

 

(30,002

)

 

 

(31,068

)

General and administrative

 

 

(14,398

)

 

 

(14,625

)

 

 

(49,783

)

 

 

(51,149

)

Loss on impairment

 

 

 

 

 

 

 

 

 

 

 

(252

)

Litigation settlement

 

 

2,060

 

 

 

36

 

 

 

2,178

 

 

 

182

 

Other

 

 

 

 

 

 

 

 

(198

)

 

 

(834

)

Total expenses

 

 

(102,358

)

 

 

(124,181

)

 

 

(337,739

)

 

 

(389,205

)

OTHER INCOME (EXPENSES):

 

 

 

 

 

 

 

 

 

 

 

 

Interest and other income

 

 

3,628

 

 

 

152

 

 

 

9,260

 

 

 

1,216

 

Interest expense

 

 

(42,891

)

 

 

(37,652

)

 

 

(130,588

)

 

 

(183,428

)

Gain on deconsolidation

 

 

19,728

 

 

 

 

 

 

47,879

 

 

 

36,250

 

Loss on available-for-sale securities

 

 

 

 

 

(39

)

 

 

 

 

 

(39

)

Gain on sales of real estate assets

 

 

3,414

 

 

 

3,528

 

 

 

4,896

 

 

 

3,547

 

Reorganization items, net

 

 

 

 

 

1,220

 

 

 

 

 

 

262

 

Income tax provision

 

 

(1,263

)

 

 

(2,422

)

 

 

(1,381

)

 

 

(2,751

)

Equity in earnings of unconsolidated affiliates

 

 

3,266

 

 

 

5,702

 

 

 

2,822

 

 

 

16,308

 

Total other expenses

 

 

(14,118

)

 

 

(29,511

)

 

 

(67,112

)

 

 

(128,635

)

Net income (loss)

 

 

12,875

 

 

 

(17,412

)

 

 

(9,274

)

 

 

(104,440

)

Net (income) loss attributable to noncontrolling interests in:

 

 

 

 

 

 

 

 

 

 

 

 

Operating Partnership

 

 

6

 

 

 

(25

)

 

 

6

 

 

 

34

 

Other consolidated subsidiaries

 

 

381

 

 

 

3,143

 

 

 

4,001

 

 

 

8,002

 

Net income (loss) attributable to the Company

 

 

13,262

 

 

 

(14,294

)

 

 

(5,267

)

 

 

(96,404

)

Earnings allocable to unvested restricted stock

 

 

(305

)

 

 

(216

)

 

 

(837

)

 

 

(426

)

Net income (loss) attributable to common shareholders

 

$

12,957

 

 

$

(14,510

)

 

$

(6,104

)

 

$

(96,830

)

Basic and diluted per share data attributable to common shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

$

0.41

 

 

$

(0.47

)

 

$

(0.19

)

 

$

(3.26

)

Diluted earnings per share

 

 

0.41

 

 

 

(0.47

)

 

 

(0.19

)

 

 

(3.26

)

Weighted-average basic shares

 

 

31,305

 

 

 

30,973

 

 

 

31,307

 

 

 

29,725

 

Weighted-average diluted shares

 

 

31,305

 

 

 

30,973

 

 

 

31,307

 

 

 

29,725

 

 

The accompanying notes are an integral part of these condensed consolidated statements.

 

2


 

CBL & Associates Properties, Inc.

Condensed Consolidated Statements of Comprehensive Income (Loss)

(In thousands, except share data)

(Unaudited)

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Net income (loss)

 

$

12,875

 

 

$

(17,412

)

 

$

(9,274

)

 

$

(104,440

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized gain on interest rate swap

 

 

330

 

 

 

 

 

 

1,210

 

 

 

 

Unrealized gain on available-for-sale securities

 

 

288

 

 

 

268

 

 

 

801

 

 

 

277

 

Total other comprehensive income

 

 

618

 

 

 

268

 

 

 

2,011

 

 

 

277

 

Comprehensive income (loss)

 

 

13,493

 

 

 

(17,144

)

 

 

(7,263

)

 

 

(104,163

)

Comprehensive (income) loss attributable to noncontrolling interests in:

 

 

 

 

 

 

 

 

 

 

 

 

    Operating Partnership

 

 

6

 

 

 

(25

)

 

 

6

 

 

 

34

 

    Other consolidated subsidiaries

 

 

381

 

 

 

3,143

 

 

 

4,001

 

 

 

8,002

 

Comprehensive income (loss) attributable to the Company

 

 

13,880

 

 

 

(14,026

)

 

 

(3,256

)

 

 

(96,127

)

Earnings allocable to unvested restricted stock

 

 

(305

)

 

 

(216

)

 

 

(837

)

 

 

(426

)

Comprehensive income (loss) attributable to common shareholders

 

$

13,575

 

 

$

(14,242

)

 

$

(4,093

)

 

$

(96,553

)

 

The accompanying notes are an integral part of these condensed consolidated statements.

3


 

CBL & Associates Properties, Inc.

Condensed Consolidated Statements of Equity

(In thousands, except share data)

(Unaudited)

 

 

Equity

 

 

 

Shareholders' Equity

 

 

 

 

 

 

 

 

 

Common
Stock

 

 

Additional
Paid-in
Capital

 

 

Accumulated
Other
Comprehensive
Income (Loss)

 

 

Accumulated Deficit

 

 

Total
Shareholders'
Equity

 

 

Noncontrolling
Interests

 

 

Total
Equity

 

Balance, December 31, 2021

 

$

21

 

 

$

547,726

 

 

$

(3

)

 

$

(151,545

)

 

$

396,199

 

 

$

4,901

 

 

$

401,100

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(40,722

)

 

 

(40,722

)

 

 

(2,501

)

 

 

(43,223

)

Other comprehensive income

 

 

 

 

 

 

 

 

42

 

 

 

 

 

 

42

 

 

 

 

 

 

42

 

Share-based compensation expense

 

 

 

 

 

2,743

 

 

 

 

 

 

 

 

 

2,743

 

 

 

 

 

 

2,743

 

Conversion of exchangeable notes into 10,982,795 shares of common stock

 

 

11

 

 

 

152,527

 

 

 

 

 

 

 

 

 

152,538

 

 

 

 

 

 

152,538

 

Contributions from noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

143

 

 

 

143

 

Balance, March 31, 2022

 

 

32

 

 

 

702,996

 

 

 

39

 

 

 

(192,267

)

 

 

510,800

 

 

 

2,543

 

 

 

513,343

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(41,388

)

 

 

(41,388

)

 

 

(2,417

)

 

 

(43,805

)

Other comprehensive loss

 

 

 

 

 

 

 

 

(33

)

 

 

 

 

 

(33

)

 

 

 

 

 

(33

)

Dividends declared - common stock

 

 

 

 

 

 

 

 

 

 

 

(7,954

)

 

 

(7,954

)

 

 

 

 

 

(7,954

)

Share-based compensation expense

 

 

 

 

 

2,818

 

 

 

 

 

 

 

 

 

2,818

 

 

 

 

 

 

2,818

 

Adjustment for noncontrolling interests

 

 

 

 

 

70

 

 

 

 

 

 

 

 

 

70

 

 

 

(70

)

 

 

 

Distributions to noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2,744

)

 

 

(2,744

)

Balance, June 30, 2022

 

 

32

 

 

 

705,884

 

 

 

6

 

 

 

(241,609

)

 

 

464,313

 

 

 

(2,688

)

 

 

461,625

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(14,294

)

 

 

(14,294

)

 

 

(3,118

)

 

 

(17,412

)

Other comprehensive loss

 

 

 

 

 

 

 

 

268

 

 

 

 

 

 

268

 

 

 

 

 

 

268

 

Dividends declared - common stock

 

 

 

 

 

 

 

 

 

 

 

(7,959

)

 

 

(7,959

)

 

 

 

 

 

(7,959

)

Share-based compensation expense

 

 

 

 

 

2,855

 

 

 

 

 

 

 

 

 

2,855

 

 

 

 

 

 

2,855

 

Adjustment for noncontrolling interests

 

 

 

 

 

29

 

 

 

 

 

 

 

 

 

29

 

 

 

(29

)

 

 

 

Distributions to noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2

)

 

 

(2

)

Balance, September 30, 2022

 

$

32

 

 

$

708,768

 

 

$

274

 

 

$

(263,862

)

 

$

445,212

 

 

$

(5,837

)

 

$

439,375

 

 

 

 

Equity

 

 

 

Shareholders' Equity

 

 

 

 

 

 

 

 

 

Common
Stock

 

 

Additional
Paid-in
Capital

 

 

Accumulated
Other
Comprehensive
Income (Loss)

 

 

Accumulated
Deficit

 

 

Total
Shareholders'
Equity

 

 

Noncontrolling
Interests

 

 

Total
Equity

 

Balance, December 31, 2022

 

$

32

 

 

$

710,497

 

 

$

(1,054

)

 

$

(338,934

)

 

$

370,541

 

 

$

(3,412

)

 

$

367,129

 

Net income (loss)

 

 

 

 

 

 

 

 

 

 

 

2,259

 

 

 

2,259

 

 

 

(1,745

)

 

 

514

 

Other comprehensive income

 

 

 

 

 

 

 

 

530

 

 

 

 

 

 

530