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Financing Arrangement
 6 Months Ended
Jun. 30, 2019
Co-Venture Arrangement [Abstract]  
Financing Arrangement Financing Arrangement:
On September 30, 2009, the Company formed a joint venture whereby a third party acquired a 49.9% interest in Chandler Fashion Center, a 1,318,000 square foot regional shopping center in Chandler, Arizona, and Freehold Raceway Mall, a 1,673,000 square foot regional shopping center in Freehold, New Jersey (collectively referred to herein as "Chandler Freehold"). As a result of the Company having certain rights under the agreement to repurchase the assets after the seventh year of the formation of Chandler Freehold, the transaction did not qualify for sale treatment. The Company, however, is not obligated to repurchase the assets. The Company accounts for its investment in Chandler Freehold as a financing arrangement. The fair value (Level 3 measurement) of the financing arrangement obligation at June 30, 2019 and December 31, 2018 was based upon a terminal capitalization rate of 4.8%, a discount rate of 5.8% and market rents per square foot of $35 to $115. The fair value of the financing arrangement obligation is sensitive to these significant unobservable inputs and a change in these inputs may result in a significantly higher or lower fair value measurement. Distributions to the partner, excluding distributions of excess loan proceeds, and changes in fair value of the financing arrangement obligation are recognized as interest (income) expense in the Company's consolidated statements of operations.
During the three and six months ended June 30, 2019 and 2018, the Company incurred interest (income) expense in connection with the financing arrangement as follows:
 
For the Three Months Ended June 30,
 
For the Six Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
Distributions of the partner's share of net income
$
1,982

 
$
2,464

 
$
3,879

 
$
4,466

Distributions in excess of the partner's share of net income
2,033

 
1,411

 
3,953

 
3,049

Adjustment to fair value of financing arrangement obligation
(17,258
)
 
(8,768
)
 
(31,522
)
 
(4,386
)
 
$
(13,243
)
 
$
(4,893
)
 
$
(23,690
)
 
$
3,129


On June 27, 2019, the Company replaced the existing mortgage note payable on Chandler Fashion Center with a new $256,000 loan (See Note 10—Mortgage Notes Payable). In connection with the refinancing transaction, the Company distributed $27,944 of the excess loan proceeds to its joint venture partner.