Assets and Liabilities Measured at Fair Value on a Recurring Basis (Tables)

3 Months Ended

Mar. 31, 2022

Schedule of Major Categories of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables show the major categories of assets and liabilities measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021, using unadjusted quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3); and fair value using the practical expedient (millions):


Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Fair Value Using Practical Expedient		Total at March 31, 2022
Real estate properties	$	—	$	—	$	20,179.1	$	—	$	20,179.1
Real estate joint ventures	—		—		7,253.3		—		7,253.3
Real estate funds	—		—		—		805.8		805.8
Real estate operating business	—		—		487.6		—		487.6
Marketable securities:

U.S. government agency notes	—		1,076.5		—		—		1,076.5
Foreign government agency notes	—		17.1		—		—		17.1
U.S. treasury securities	—		875.2		—		—		875.2
Corporate bonds	—		572.4		—		—		572.4

Loans receivable(1)	—		—		1,329.2		—		1,329.2
Total Investments at March 31, 2022	$	—	$	2,541.2	$	29,249.2	$	805.8	$	32,596.2
Loans payable	$	—	$	—	$	(2,338.0)	$	—	$	(2,338.0)
Line of credit	$	—	$	—	$	(500.0)	$	—	$	(500.0)


Description	Level 1: Quoted Prices in Active Markets for Identical Assets		Level 2: Significant Other Observable Inputs		Level 3: Significant Unobservable Inputs		Fair Value Using Practical Expedient		Total at December 31, 2021
Real estate properties	$	—	$	—	$	18,903.9	$	—	$	18,903.9
Real estate joint ventures	—		—		7,175.9		—		7,175.9
Real estate funds	—		—		—		811.5		811.5
Real estate operating business	—		—		326.3		—		326.3
Marketable securities:
U.S. government agency notes	—		864.1		—		—		864.1
Foreign government agency notes	—		7.6		—		—		7.6
U.S. treasury securities	—		784.3		—		—		784.3
Corporate bonds	—		551.8		—				551.8

Loans receivable(1)	—		—		1,492.6		—		1,492.6
Total Investments at December 31, 2021	$	—	$	2,207.8	$	27,898.7	$	811.5	$	30,918.0
Loans payable	$	—	$	—	$	(2,380.5)	$	—	$	(2,380.5)
Line of credit	$	—	$	—	$	(500.0)	$	—	$	(500.0)

(1) Includes loans receivable with related parties.

Schedule of Reconciliation of Assets Measured at Fair Value on Recurring Basis, Unobservable Inputs

The following tables show the reconciliation of the beginning and ending balances for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2022 and 2021 (in millions):


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable		Line of Credit
For the three months ended March 31, 2022
Beginning balance January 1, 2022	$	18,903.9	$	7,175.9	$	326.3	$	1,492.6	$	27,898.7	$	(2,380.5)	$	(500.0)
Total realized and unrealized gains included in changes in net assets	1,204.0		122.8		60.4		1.0		1,388.2		3.7		—
Purchases(1)	228.9		251.3		100.9		5.2		586.3		(3.0)		—
Sales	(157.7)		—		—		(161.4)		(319.1)		—		—
Settlements(2)	—		(296.7)		—		(8.2)		(304.9)		41.8		—
Ending balance March 31, 2022	$	20,179.1	$	7,253.3	$	487.6	$	1,329.2	$	29,249.2	$	(2,338.0)	$	(500.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2021
Beginning balance January 1, 2021	$	16,476.7	$	6,128.9	$	250.0	$	1,562.5	$	24,418.1	$	(2,411.4)
Total realized and unrealized gains included in changes in net assets	290.8		54.3		—		12.6		357.7		3.5
Purchases(1)	52.0		32.2		—		46.6		130.8		—
Sales(4)	(3.0)		—		—		(81.2)		(84.2)		—
Settlements(2)	—		(0.1)		—		(10.9)		(11.0)		4.3
Ending balance March 31, 2021	$	16,816.5	$	6,215.3	$	250.0	$	1,529.6	$	24,811.4	$	(2,403.6)

(1)Includes purchases, contributions for joint ventures, capital expenditures, lending for loans receivable and assumption of loans payable.

(2)Includes operating income for real estate joint ventures net of distributions, principal payments and payoffs of loans receivable, and principal payments and extinguishment of loans payable.

(3)Includes loans receivable with related parties.

(4)Real estate properties amount shown is inclusive of post closing realized losses.

Schedule of Reconciliation of Liabilities Measured at Fair Value on Recurring Basis, Unobservable Inputs


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable		Line of Credit
For the three months ended March 31, 2022
Beginning balance January 1, 2022	$	18,903.9	$	7,175.9	$	326.3	$	1,492.6	$	27,898.7	$	(2,380.5)	$	(500.0)
Total realized and unrealized gains included in changes in net assets	1,204.0		122.8		60.4		1.0		1,388.2		3.7		—
Purchases(1)	228.9		251.3		100.9		5.2		586.3		(3.0)		—
Sales	(157.7)		—		—		(161.4)		(319.1)		—		—
Settlements(2)	—		(296.7)		—		(8.2)		(304.9)		41.8		—
Ending balance March 31, 2022	$	20,179.1	$	7,253.3	$	487.6	$	1,329.2	$	29,249.2	$	(2,338.0)	$	(500.0)


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(3)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2021
Beginning balance January 1, 2021	$	16,476.7	$	6,128.9	$	250.0	$	1,562.5	$	24,418.1	$	(2,411.4)
Total realized and unrealized gains included in changes in net assets	290.8		54.3		—		12.6		357.7		3.5
Purchases(1)	52.0		32.2		—		46.6		130.8		—
Sales(4)	(3.0)		—		—		(81.2)		(84.2)		—
Settlements(2)	—		(0.1)		—		(10.9)		(11.0)		4.3
Ending balance March 31, 2021	$	16,816.5	$	6,215.3	$	250.0	$	1,529.6	$	24,811.4	$	(2,403.6)

(1)Includes purchases, contributions for joint ventures, capital expenditures, lending for loans receivable and assumption of loans payable.

(2)Includes operating income for real estate joint ventures net of distributions, principal payments and payoffs of loans receivable, and principal payments and extinguishment of loans payable.

(3)Includes loans receivable with related parties.

(4)Real estate properties amount shown is inclusive of post closing realized losses.

Schedule of Unobservable Inputs Related to Level 3 Fair Value Measurements

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements for the quarter ended March 31, 2022.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.8% - 9.8% (6.6%)

4.5% - 8.5% (5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.0% - 8.0% (5.0%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

4.8% - 8.0% (5.8%)

3.5% - 6.8% (4.4%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

2.0% - 6.0% (3.8%)

Apartment

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.3% - 7.0% (5.8%)

4.0% - 5.5% (4.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

3.5% - 5.0% (4.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

6.0% - 11.5% (7.0%)

5.0% - 8.7% (5.7%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.5% - 8.6% (5.2%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

9.8% (9.8%)

7.8% (7.8%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

7.5% (7.5%)

Real Estate Operating Business

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Growth Rate

8.2%

5.3%

Market Approach

EBITDA Multiple

25.0x

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

35.8% - 57.5% (45.4%)

1.8% - 3.7% (3.2%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

35.8% - 57.5% (45.4%)

1.2 - 1.4 (1.3)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

31.2% - 38.4% (34.1%)

3.3% - 3.9% (3.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

31.2% - 38.4% (34.1%)

1.2 - 1.3 (1.2)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

27.2% - 67.8% (41.2%)

1.9% - 3.2% (2.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

27.2% - 67.8% (41.2%)

1.2 - 1.5 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

34.8% - 74.2% (45.4%)

3.2% - 4.2% (3.6%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

34.8% - 74.2% (45.4%)

1.2- 1.8 (1.4)

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Loans Receivable, including those with related parties

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

40.4% - 94.7% (69.8%)

2.3% - 9.5% (5.6%)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

29.9% - 71.3% (65.3%)

4.3% - 5.2% (4.7%)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

38.4% - 76.5% (49.0%)

2.5% - 8.6% (5.0%)

Retail & Hospitality

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

59.8% - 79.8% (67.6%)

3.0% - 7.3% (4.3%)

The following table shows quantitative information about unobservable inputs related to the Level 3 fair value measurements as of December 31, 2021.

Type

Asset Class

Valuation
Technique(s)

Unobservable

Inputs(1)

Range (Weighted Average)

Real Estate Properties and Joint Ventures

Office

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.8% - 9.5% (6.6%)

4.5% - 8.5% (5.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.0% - 8.0% (5.0%)

Industrial

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.0% - 8.3% (6.0%)

4.0% - 6.8% (4.6%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

2.5% - 6.5% (4.0%)

Apartment

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

5.3% - 7.3% (5.9%)

4.0% - 5.8% (4.5%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

3.5% - 5.3% (4.0%)

Retail

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

6.0% - 11.8% (7.0%)

5.0% - 9.5% (5.7%)

Income Approach—Direct Capitalization

Overall Capitalization Rate

4.5% - 9.3% (5.2%)

Hotel

Income Approach—Discounted Cash Flow

Discount Rate
Terminal Capitalization Rate

9.8%

7.8%

Income Approach—Direct Capitalization

Overall Capitalization Rate

7.3%

Real Estate Operating
Business

Income Approach—Discounted Cash Flow

Discount Rate

7.3

Terminal Growth Rate

4.0

Market Approach

EBITDA Multiple

21.6x

Loans Payable

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

36.1% - 63.5% (45.8%)

1.8% - 3.7% (3.2%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

36.1% - 63.5% (45.8%)

1.2 - 1.4 (1.3)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

34.0% - 44.9% (38.3%)

3.3% - 3.7% (3.4%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

34.0% - 44.9% (38.3%)

1.2 - 1.3 (1.3)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

28.8% - 53.6% (40.0%)

2.1% - 3.0% (2.8%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

28.8% - 53.6% (40.0%)

1.3 - 1.4 (1.3)

Retail

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

36.0% - 76.3% (46.0%)

3.1% - 4.0% (3.5%)

Net Present Value

Loan to Value Ratio
Weighted Average Cost of Capital Risk Premium Multiple

36.0% - 76.3% (46.0%)

1.2 - 1.9 (1.4)

Loans Receivable, including those with related parties

Office

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

41.9% - 94.7% (73.1%)

2.4% - 9.5% (5.7%)

Industrial

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

29.9% - 71.3% (65.9%)

4.3% - 5.1% (4.6%)

Apartment

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

38.4% - 77.3% (49.1%)

2.5% - 8.6% (5.0%)

Retail & Hospitality

Discounted Cash Flow

Loan to Value Ratio
Equivalency Rate

59.8% - 79.8% (65.0%)

3.5% - 6.9% (5.2%)

(1) Equivalency Rate is defined as the prevailing market interest rate used to discount the contractual loan payments.

Schedule of Fair Value of Net Unrealized Gains Included in Changes in Net Assets Attributable to Investments and Loans Payable Using Significant Unobservable Inputs

The amount of total net unrealized gains included in changes in net assets relating to Level 3 investments and loans payable using significant unobservable inputs still held as of the reporting date is as follows (millions):


	Real Estate Properties		Real Estate Joint Ventures		Real Estate Operating Business		Loans Receivable(1)		Total Level 3 Investments		Loans Payable
For the three months ended March 31, 2022	$	1,202.3	$	125.6	$	60.4	$	0.9	$	1,389.2	$	3.7

For the three months ended March 31, 2021	$	287.8	$	50.0	$	—	$	5.0	$	342.8	$	3.5

(1) Amount shown is reflective of loans receivable and loans receivable with related parties.