Long-Term Incentive Plan Units

12 Months Ended

Dec. 31, 2013

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

In connection with its initial offering in 2007, the Company established the Manager LTIP and the Individual LTIP. Pursuant to the terms of the Manager LTIP, the Company issued 375,000 long-term incentive plan units to its Manager. Pursuant to the terms of the Individual LTIP, each year since inception the Company has issued annual awards to its independent directors and, beginning in 2010, issued awards to certain of its dedicated and partially dedicated personnel.

As of August 17, 2010, LTIP units awarded to the Manager were fully vested and expensed. LTIP units held pursuant to the Manager LTIP are generally exercisable by the holder at any time after vesting. Each LTIP unit is convertible into one common share. There is no cash flow effect from the issuance of the Manager LTIP units. Since inception, the aggregate expense associated with the Manager LTIP was $8.6 million.

Since inception, the Company has awarded 29,562 Individual LTIP units to the Company's independent directors, including 5,466 Individual LTIP units granted on September 11, 2013, and has awarded 18,272 Individual LTIP units to certain of its partially dedicated personnel, including 10,272 Individual LTIP units granted on December 12, 2013. The vesting period for awards of Individual LTIP units to directors has generally been one year from the date of grant, while for awards of Individual LTIP units to partially dedicated personnel, the vesting period has been up to two years. Units held pursuant to the Individual LTIPs are generally exercisable by the holder at any time after vesting. Each unit is convertible into one common share. Costs associated with the Individual LTIPs are measured as of the grant date and expensed ratably over the vesting period. Since inception the total expense associated with the Individual LTIP units awarded is $0.7 million. Total expense associated with Individual LTIPs for the years ended December 31, 2013, 2012, and 2011 are $0.18 million, $0.14 million, and $0.15 million, respectively. Since inception, 11,782 common shares were issued in connection with the conversion of Individual LTIP units awarded to independent directors at the direction of the three award holders and approximately $0.2 million was transferred from the share-based LTIP awards to common shares in shareholders' equity.

Detailed below is a roll-forward of the Company's LTIP units outstanding for the years ended December 31, 2013, 2012, and 2011:



	Year Ended December 31, 2013					Year Ended December 31, 2012					Year Ended December 31, 2011
	Manager	Director/ Employee		Total		Manager	Director/ Employee		Total		Manager	Director/ Employee		Total
LTIP Units Outstanding (12/31/2012, 12/31/2011, and 12/31/2010, respectively)	375,000	22,096		397,096		375,000	15,500		390,500		375,000	10,000		385,000
Granted	—	15,738		15,738		—	7,846		7,846		—	6,750		6,750
Exercised	—	(1,782	)	(1,782	)	—	(1,250	)	(1,250	)	—	(1,250	)	(1,250	)
LTIP Units Outstanding (12/31/2013, 12/31/2012, and 12/31/2011, respectively)	375,000	36,052		411,052		375,000	22,096		397,096		375,000	15,500		390,500
LTIP Units Vested and Outstanding (12/31/2013, 12/31/2012, and 12/31/2011, respectively)	375,000	20,314		395,314		375,000	14,250		389,250		375,000	8,750		383,750

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

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