XML 47 R30.htm IDEA: XBRL DOCUMENT v2.4.0.8
Unconsolidated Investments (Tables)
 6 Months Ended
Jun. 30, 2014
Equity Method Investments and Joint Ventures [Abstract]  
Schedule of Investments in Unconsolidated Joint Ventures
The Company has unconsolidated investments through real estate related joint ventures and loan pool participations. The following table details its investments in joint ventures and loan pool participations as of June 30, 2014 and December 31, 2013:
 
 
June 30,
 
December 31,
(Dollars in millions)
 
2014
 
2013
Investments in joint ventures
 
$
473.3

 
$
751.4

Investments in loan pool participations
 
58.9

 
34.7

Total
 
$
532.2

 
$
786.1
Schedule of Joint Ventures by Location and Investment Type
The following table details our investments in joint ventures by investment type and geographic location as of June 30, 2014:
(Dollars in millions)
Multifamily
Commercial
Loan
Residential
Other
Total
Western U.S.
$
134.3

$
157.4

$
50.1

$
50.0

$
9.3

$
401.1

United Kingdom
—

44.3

—

—

—

44.3

Spain
—

—

—

—

27.9

27.9

Total
$
134.3

$
201.7

$
50.1

$
50.0

$
37.2

$
473.3

The following table details our investments in joint ventures by investment type and geographic location as of December 31, 2013:
(Dollars in millions)
Multifamily
Commercial
Loan
Residential
Other
Total
Western U.S.
$
133.3

$
160.3

$
50.3

$
48.7

$
8.0

$
400.6

Japan
68.8

—

—

—

—

68.8

United Kingdom
—

104.5

6.3

—

—

110.8

Ireland
48.2

96.1

—

—

—

144.3

Spain
—

—

—

—

26.9

26.9

Total
$
250.3

$
360.9

$
56.6

$
48.7

$
34.9

$
751.4
Schedule of Joint Venture Cash Distributions
During the three and six months ended June 30, 2014 and 2013, the Company received the following cash distributions from its investment in KWR for the settlement of hedges, refinancing of property level debt, and operating distributions:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(Dollars in millions)
2014
 
2013
 
2014
 
2013
Operating distributions
$
1.3

 
$
0.5

 
$
1.7

 
$
2.5

Refinancing of property level debt
—

 
4.4

 
—

 
5.3

Settlement of hedges
—

 
0.2

 
—

 
10.8

Total
$
1.3

 
$
5.1

 
$
1.7

 
$
18.6
Schedule of New Joint Venture Investments
See the table below for a breakdown of contributions to new joint venture investments for the six months ended June 30, 2014:
 
Multifamily
 
Commercial
 
 
 
(Dollars in millions)
Amount
No. of Properties
 
Amount
No. of Properties
 
Total
No. of Properties
Western U.S.
$
4.0

1

 
$
—

—

 
$
4.0

1

United Kingdom(1)
—

—

 
57.2

14

 
57.2

14

Total contributions - new joint venture investments
$
4.0

1

 
$
57.2

14

 
$
61.2

15

(1)Kennedy Wilson's contribution in a joint venture investment that was subsequently contributed into KWE as part of its initial investment. See note 1.
Schedule of Joint Venture Cash Distributions by Investment Type and Geographic Location
The following table details cash distributions by investment type and geographic location for the six months ended June 30, 2014:
 
Multifamily
Commercial
Residential and Other
Total
(Dollars in millions)
Operating
Investing
Operating
Investing
Operating
Investing
Operating
Investing
Western U.S.
$
4.8

$
1.5

$
3.0

4.4

3.6

$
3.3

$
11.4

$
9.2

Japan
1.7

—

—

—

—

—

1.7

—

United Kingdom
—

—

5.3

9.8

—

—

5.3

9.8

Ireland
—

—

31.6

30.3

—

—

31.6

30.3

Spain
—

—

—

—

—

1.0

—

1.0

Total
$
6.5

$
1.5

$
39.9

$
44.5

$
3.6

$
4.3

$
50.0

$
50.3
Schedule of Investment in Loan Pools
The following table represents the demographics of the Company's investment in the loan pools including the initial unpaid principal balance ("UPB") and the UPB as of June 30, 2014.
(Dollars in millions)
 
Kennedy Wilson Ownership
 
Unpaid Principal Balance
 
Kennedy Wilson Initial Equity Invested
 
Investment Balance at June 30, 2014
 
Expected Accretion Over Total Estimated Collection Period
 
 
Acquisition Date
 
Location
 
 
Initial(1)
 
June 30, 2014(1)
 
 
 
 
Accreted to Date
February 2010(2)
 
Western U.S.
 
15.0%
 
$
342.4

 
$
—

 
$
11.2

 
$
0.6

 
$
4.6

 
$
4.6

April 2012
 
Western U.S.
 
75.0%
 
43.4

 
2.8

 
30.9

 
2.4

 
4.3

 
4.0

August 2012
 
Ireland
 
10.0%
 
492.7

 
345.9

 
7.0

 
8.5

 
1.9

 
0.8

December 2012
 
United Kingdom
 
5.0%
 
661.9

 
110.2

 
19.3

 
2.7

 
2.0

 
1.6

April 2013
 
United Kingdom
 
10.0%
 
198.4

 
111.0

 
13.0

 
5.6

 
5.6

 
1.2

August 2013
 
United Kingdom
 
20.0%
 
145.5

 
145.5

 
7.5

 
8.7

 
4.9

 
1.2

May 2014
 
United Kingdom
 
33.3%
 
111.0

 
111.0

 
30.3

 
30.4

 
2.3

 
0.1

Total
 
 
 
 
 
$
1,995.3

 
$
826.4

 
$
119.2

 
$
58.9

 
$
25.6

 
$
13.5

                          
(1) Estimated foreign exchange rate is £0.59 = $1 USD and €0.73 = $1 USD as of June 30, 2014.
(2) Equity invested represents guarantee claims against note holders in loan pool.
Schedule of Interest Income and Foreign Currency Gain (Loss) Recognized in Loan Pool Participations
The following table presents the income from unconsolidated investments for loan pools and foreign currency gain and (loss) recognized by Kennedy Wilson during the three and six months ended June 30, 2014 and 2013 for the loan pools that were outstanding:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(Dollars in millions)
2014
 
2013
 
2014
 
2013
Income from unconsolidated investments
$
2.5

 
$
2.9

 
$
4.6

 
$
5.4

Foreign currency translation gain (loss)
0.2

 
(1.1
)
 
0.4

 
(5.0
)
Total
$
2.7

 
$
1.8

 
$
5.0

 
$
0.4