INVESTMENT IN UNCONSOLIDATED ENTITIES

9 Months Ended

Sep. 30, 2022

Equity Method Investments and Joint Ventures [Abstract]

As of September 30, 2022 and December 31, 2021, the Company’s investments in unconsolidated entities were composed of the following (dollars in thousands):


	Number of Properties as of September 30, 2022			Investment Balance at
Joint Venture		Location	Ownership %	September 30, 2022		December 31, 2021
110 William Joint Venture	1	New York, New York	60.0%	$	—	$	—
353 Sacramento Joint Venture	1	San Francisco, California	55.0%	46,572		49,916
Pacific Oak Opportunity Zone Fund I	3	Various	46.0%	26,266		27,215
PORT II OP LP	(1)	(1)	(1)	(1)		11,125
				$	72,838	$	88,256

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(1) On July 1, 2022, the Company, through PORT OP, made a tender offer to purchase 76,735 shares of PORT II common stock held by unrelated parties for a price of $14.66 per share. As a result, the Company determined that it became the primary beneficiary of PORT II, which resulted in the consolidation of PORT II into the Company’s consolidated financial statements. On July 29, 2022, the Company consummated the transactions with the unrelated parties and owned 100% of PORT II. See Note 3 for the assessment of the fair value of the assets and liabilities of PORT II. There are no liquidity arrangements or agreements to fund capital or purchase assets that could require the Company to provide financial support to PORT II. The Company and the aforementioned unrelated parties did not guarantee any debt in connection with the transaction.