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Investments in Unconsolidated Ventures (Tables)
6 Months Ended
Jun. 30, 2017
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments
The following tables present the Company’s investments in unconsolidated ventures as of June 30, 2017 and December 31, 2016 and activity for the three and six months ended June 30, 2017 and 2016 (dollars in thousands):
 
 
 
 
 
 
 
 
 
 
 
 
Properties as of June 30, 2017(1)
Portfolio
 
Partner(2)
 
Acquisition Date
 
Ownership
 
Purchase Price(3)
 
Equity Investment(4)
 
Senior Housing Facilities
 
MOB
 
SNF
 
Hospitals
 
Total
Eclipse
 
Colony NorthStar/Formation Capital, LLC
 
May-2014
 
5.6
%
 
$
1,048,000

 
$
23,400

 
44

 

 
35

 

 
79

Envoy
 
Formation Capital, LLC/Safanad Management Limited
 
Sep-2014
 
11.4
%
 
145,000

 
5,000

 

 

 
14

 

 
14

Griffin - American
 
Colony NorthStar
 
Dec-2014
 
14.3
%
 
3,238,547

 
200,600

 
90

 
108

 
41

 
14

 
253

Espresso
 
Formation Capital, LLC/Safanad Management Limited
 
Jul-2015
 
36.7
%
 
870,000

 
55,000

 
6

 

 
152

 

 
158

Trilogy
 
Griffin-American Healthcare REIT III, Inc./Management Team of Trilogy Investors, LLC
 
Dec-2015
 
29.0
%
 
1,162,613

 
225,800

 
8

 

 
67

 

 
75

Total
 
 
 
 
 
 
 
$
6,464,160

 
$
509,800

 
148

 
108

 
309

 
14

 
579

_______________________________________
(1)
Excludes properties held for sale as of June 30, 2017.
(2)
During January 2017, NorthStar Realty completed its previously announced merger with Colony and NSAM, with Colony NorthStar surviving the mergers.
(3)
Purchase price represent the actual or implied gross purchase price for the joint venture on the acquisition date. Purchase price is not adjusted for subsequent acquisitions or dispositions of interest.
(4)
Represents initial and subsequent contributions to the underlying joint venture through June 30, 2017. In January 2017, the Company funded an additional capital contribution of $5.3 million into the Trilogy joint venture. The additional funding related to certain business initiatives, including the acquisition of additional senior housing and skilled nursing facilities and repayment of certain outstanding obligations.
 
 
Three Months Ended June 30, 2017
 
Three Months Ended June 30, 2016
 
Carrying Value
 
 
 
 
Depreciation, Amortization Expense & Transaction Costs
 
 
 
 
 
Depreciation, Amortization Expense & Transaction Costs
 
 
 
 
 
 
Portfolio
 
Equity in Earnings (Losses)
 
 
Cash Distributions
 
Equity in Earnings (Losses)
 
 
Cash Distributions
 
June 30, 2017 (Unaudited)(1)
 
December 31, 2016(2)
Eclipse
 
$
(558
)
 
$
(441
)
 
$
116

 
$
170

 
$
(447
)
 
$
494

 
$
15,118

 
$
15,932

Envoy
 
(5
)
 

 

 
133

 
179

 

 
6,391

 
6,398

Griffin - American
 
(2,417
)
 
(3,579
)
 
4,219

 
(3,337
)
 
(4,837
)
 
2,719

 
136,214

 
144,629

Espresso
 
(2,402
)
 
(1,261
)
 
1,334

 
(1,899
)
 
(621
)
 
1,541

 
23,395

 
29,353

Trilogy
 
(1,673
)
 
(5,590
)
 

 
(12,499
)
 
(16,075
)
 

 
164,777

 
164,222

Total
 
$
(7,055
)
 
$
(10,871
)
 
$
5,669

 
$
(17,432
)
 
$
(21,801
)
 
$
4,754

 
$
345,895

 
$
360,534

_______________________________________
(1)
Includes $1.3 million, $0.4 million, $13.4 million, $7.6 million and $9.8 million of capitalized acquisition costs for the Company’s investments in the Eclipse, Envoy, Griffin-American, Espresso and Trilogy joint ventures, respectively.
(2)
Includes $1.3 million, $0.4 million, $13.4 million, $7.6 million and $9.3 million of capitalized acquisition costs for the Company’s investments in the Eclipse, Envoy, Griffin-American, Espresso and Trilogy joint ventures, respectively.
 
 
Six Months Ended June 30, 2017
 
Six Months Ended June 30, 2016
 
 
 
 
Depreciation, Amortization Expense & Transaction Costs
 
 
 
 
 
Depreciation, Amortization Expense & Transaction Costs
 
 
Portfolio
 
Equity in Earnings (Losses)
 
 
Cash Distributions
 
Equity in Earnings (Losses)
 
 
Cash Distributions
Eclipse
 
$
(410
)
 
$
(895
)
 
$
404

 
$
295

 
$
(897
)
 
$
982

Envoy
 
172

 

 
179

 
(309
)
 
178

 

Griffin - American
 
(4,534
)
 
(7,184
)
 
5,697

 
(6,215
)
 
(9,578
)
 
5,580

Winterfell(1)
 

 

 

 
1,423

 

 
591

Espresso
 
(2,649
)
 
(2,388
)
 
3,307

 
(1,385
)
 
(1,753
)
 
3,240

Trilogy
 
(5,256
)
 
(10,690
)
 

 
(25,278
)
 
(31,920
)
 

Total
 
$
(12,677
)
 
$
(21,157
)
 
$
9,587

 
$
(31,469
)
 
$
(43,970
)
 
$
10,393

_______________________________________
(1)
In March 2016, the Company acquired NorthStar Realty’s 60.0% interest in the Winterfell JV. The transaction was approved by the Company’s board of directors, including all of its independent directors, and the purchase price was supported by an independent third-party appraisal for the Winterfell portfolio. The Company originally acquired a 40.0% equity interest in the Winterfell JV in May 2015. The Company accordingly now owns 100.0% of the equity in the Winterfell portfolio as of March 1, 2016 and consolidates the portfolio.
The below table indicates the Company’s investments for which Colony NorthStar is also an equity partner in the joint venture. Each investment was approved by the Company’s board of directors, including all of its independent directors. Refer to Note 4, “Investments in Unconsolidated Ventures” for further discussion of these investments (dollars in thousands):
Portfolio
 
Partner(s)
 
Acquisition Date
 
Ownership
 
Purchase Price(1)
 
Equity Investment(2)
Eclipse
 
Colony NorthStar/Formation Capital, LLC
 
May-2014
 
5.6%
 
$
59,097

 
$
23,400

Griffin-American
 
Colony NorthStar
 
Dec-2014
 
14.3%
 
463,436

 
200,600

_______________________________________
(1)
Purchase price represents the Company’s proportionate share of the actual or implied gross purchase price for the joint venture on the acquisition date. Purchase price is not adjusted for subsequent acquisitions or dispositions of interest.
(2)
Represents initial and subsequent contributions to the underlying joint venture through June 30, 2017.