Segment Information (Tables)

9 Months Ended

Sep. 30, 2022

Schedule of Reconciliation of Net Operating Income of Reportable Segments

The following tables present revenues, NOI, capital expenditures and total assets for the three and nine months ended September 30, 2022 and 2021 from our Residential segment as well as Other, and reconcile NOI to net income (loss) as reported (in thousands):


	Three Months Ended September 30, 2022
	Residential		Other (1)		Consolidated
Real estate rental revenue	49,889		4,714		$	54,603
Real estate expenses	18,198		1,363		19,561
Net operating income	$	31,691	$	3,351	$	35,042
Other income (expense):
Property management expenses					(1,916)
General and administrative expenses					(6,403)
Transformation costs					(2,399)
Depreciation and amortization					(23,632)

Interest expense					(6,582)

Loss on extinguishment of debt					(4,917)
Other income					68








Net loss					$	(10,739)


Capital expenditures	$	7,764	$	567	$	8,331
Total assets	$	1,694,750	$	184,784	$	1,879,534


	Three Months Ended September 30, 2021
	Residential		Other (1), (2)		Consolidated
Real estate rental revenue	38,046		4,453		$	42,499
Real estate expenses	14,146		1,299		15,445
Net operating income	$	23,900	$	3,154	$	27,054
Other income (expense):
Property management expenses					(1,499)
General and administrative expenses					(7,909)
Transformation costs					(1,016)
Depreciation and amortization					(18,252)

Interest expense					(8,106)
Loss on interest rate derivatives					(106)
Loss on extinguishment of debt					(12,727)
Other income					231



Discontinued operations:
Income from operations of properties sold or held for sale					7,208
Gain on sale of real estate					46,441


Net income					$	31,319


Capital expenditures	$	7,283	$	1,002	$	8,285
Total assets	$	1,355,893	$	496,917	$	1,852,810

______________________________

(1) Other represents Watergate 600, an office property that does not meet the qualitative or quantitative criteria for a reportable segment.

(2) Total assets and capital expenditures include office and retail properties classified as discontinued operations.


	Nine Months Ended September 30, 2022
	Residential		Other (1)		Consolidated
Real estate rental revenue	$	139,869	13,918		$	153,787
Real estate expenses	51,411		3,886		55,297
Net operating income	$	88,458	$	10,032	$	98,490
Other income (expense):
Property management expenses					(5,462)
General and administrative expenses					(20,998)
Transformation costs					(6,645)
Depreciation and amortization					(69,871)

Interest expense					(18,388)

Loss on extinguishment of debt					(4,917)
Other income					454









Net loss					$	(27,337)


Capital expenditures	$	17,623	$	2,745	$	20,368


	Nine Months Ended September 30, 2021
	Residential		Other (1), (2)		Consolidated
Real estate rental revenue	111,075		13,328		$	124,403
Real estate expenses	41,440		3,740		45,180
Net operating income	$	69,635	$	9,588	$	79,223
Other income (expense):
Property management expenses					(4,448)
General and administrative expenses					(19,838)
Transformation costs					(4,796)
Depreciation and amortization					(52,542)

Interest expense					(28,387)
Other income					3,037
Loss on extinguishment of debt					(12,727)
Loss on interest rate derivatives					(5,866)



Discontinued operations:
Income from operations of properties sold or held for sale					23,083
Gain on sale of real estate					46,441
Net income					$	23,180


Capital expenditures	$	15,082	$	3,604	$	18,686

______________________________

(1) Other represents Watergate 600, an office property that does not meet the qualitative or quantitative criteria for a reportable segment.

(2) Total assets and capital expenditures include office and retail properties classified as discontinued operations.