QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
☒ | Accelerated filer | ☐ | |||||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | |||||||||||||||
Emerging growth company |
Page | ||||||||||||||
PART I. FINANCIAL INFORMATION | ||||||||||||||
Item 1. | ||||||||||||||
Condensed Consolidated Balance Sheets - As of September 30, 2024 and December 31, 2023 | ||||||||||||||
Condensed Consolidated Statements of Operations - Three and Nine Months Ended September 30, 2024 and 2023 | ||||||||||||||
Condensed Consolidated Statements of Comprehensive Income (Loss) - Three and Nine Months Ended September 30, 2024 and 2023 | ||||||||||||||
Condensed Consolidated Statements of Cash Flows - Nine Months Ended September 30, 2024 and 2023 | ||||||||||||||
Condensed Consolidated Statements of Equity and Redeemable Noncontrolling Interest - Three and Nine Months Ended September 30, 2024 and 2023 | ||||||||||||||
Item 2. | ||||||||||||||
Item 3. | ||||||||||||||
Item 4. | ||||||||||||||
PART II. OTHER INFORMATION | ||||||||||||||
Item 1. | ||||||||||||||
Item 1A. | ||||||||||||||
Item 2. | ||||||||||||||
Item 5. | ||||||||||||||
Item 6. | ||||||||||||||
September 30, | December 31, | |||||||||||||
2024 | 2023 | |||||||||||||
ASSETS | ||||||||||||||
Real estate investments | ||||||||||||||
Real estate property | $ | $ | ||||||||||||
Accumulated depreciation | ( | ( | ||||||||||||
Real estate property, net | ||||||||||||||
Real estate developments | ||||||||||||||
Investments in real estate joint ventures and partnerships | ||||||||||||||
Real estate intangible assets, net | ||||||||||||||
Real estate investments, net | ||||||||||||||
Cash and cash equivalents | ||||||||||||||
Restricted cash | ||||||||||||||
Accounts receivable, net of allowances (credit losses and doubtful accounts) of $ | ||||||||||||||
Goodwill | ||||||||||||||
Other receivables, net of allowances of $ | ||||||||||||||
Prepaid expenses and other assets | ||||||||||||||
Assets held for sale | ||||||||||||||
Total assets | $ | $ | ||||||||||||
LIABILITIES AND EQUITY | ||||||||||||||
Liabilities: | ||||||||||||||
Notes payable and other debt | $ | $ | ||||||||||||
Accounts payable | ||||||||||||||
Accrued post-retirement benefits | ||||||||||||||
Deferred revenue | ||||||||||||||
Accrued and other liabilities | ||||||||||||||
Total liabilities | ||||||||||||||
Commitments and Contingencies (Note 8) | ||||||||||||||
Equity: | ||||||||||||||
Common stock - no par value; authorized, | ||||||||||||||
Accumulated other comprehensive income (loss) | ( | |||||||||||||
Distributions in excess of accumulated earnings | ( | ( | ||||||||||||
Total shareholders' equity | ||||||||||||||
Total liabilities and equity | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Operating Revenue: | ||||||||||||||||||||||||||
Commercial Real Estate | $ | $ | $ | $ | ||||||||||||||||||||||
Land Operations | ||||||||||||||||||||||||||
Total operating revenue | ||||||||||||||||||||||||||
Operating Costs and Expenses: | ||||||||||||||||||||||||||
Cost of Commercial Real Estate | ||||||||||||||||||||||||||
Cost of Land Operations | ||||||||||||||||||||||||||
Selling, general and administrative | ||||||||||||||||||||||||||
Impairment of assets | ||||||||||||||||||||||||||
Total operating costs and expenses | ||||||||||||||||||||||||||
Gain (loss) from disposals, net | ||||||||||||||||||||||||||
Operating Income (Loss) | ||||||||||||||||||||||||||
Other Income and (Expenses): | ||||||||||||||||||||||||||
Income (loss) related to joint ventures | ||||||||||||||||||||||||||
Interest and other income (expense), net (Note 2) | ||||||||||||||||||||||||||
Interest expense | ( | ( | ( | ( | ||||||||||||||||||||||
Income (Loss) from Continuing Operations Before Income Taxes | ||||||||||||||||||||||||||
Income tax benefit (expense) | ( | ( | ( | |||||||||||||||||||||||
Income (Loss) from Continuing Operations | ||||||||||||||||||||||||||
Income (loss) from discontinued operations, net of income taxes | ( | ( | ||||||||||||||||||||||||
Net Income (Loss) | ||||||||||||||||||||||||||
Loss (income) attributable to discontinued noncontrolling interest | ( | ( | ||||||||||||||||||||||||
Net Income (Loss) Attributable to A&B Shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Earnings (Loss) Per Share Available to A&B Shareholders: | ||||||||||||||||||||||||||
Basic Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Continuing operations available to A&B shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Discontinued operations available to A&B shareholders | ( | ( | ||||||||||||||||||||||||
Net income (loss) available to A&B shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Diluted Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Continuing operations available to A&B shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Discontinued operations available to A&B shareholders | ( | ( | ||||||||||||||||||||||||
Net income (loss) available to A&B shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Weighted-Average Number of Shares Outstanding: | ||||||||||||||||||||||||||
Basic | ||||||||||||||||||||||||||
Diluted | ||||||||||||||||||||||||||
Amounts Available to A&B Common Shareholders (Note 14): | ||||||||||||||||||||||||||
Continuing operations available to A&B common shareholders | $ | $ | $ | $ | ||||||||||||||||||||||
Discontinued operations available to A&B common shareholders | ( | ( | ||||||||||||||||||||||||
Net income (loss) available to A&B common shareholders | $ | $ | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Net Income (Loss) | $ | $ | $ | $ | ||||||||||||||||||||||
Other Comprehensive Income (Loss), net of tax: | ||||||||||||||||||||||||||
Cash flow hedges: | ||||||||||||||||||||||||||
Unrealized interest rate derivative gain (loss) | ( | ( | ||||||||||||||||||||||||
Reclassification adjustment to interest expense included in Net Income (Loss) | ( | ( | ( | ( | ||||||||||||||||||||||
Other comprehensive income (loss), net of tax | ( | ( | ||||||||||||||||||||||||
Comprehensive Income (Loss) | ||||||||||||||||||||||||||
Comprehensive (income) loss attributable to discontinued noncontrolling interest | ( | ( | ||||||||||||||||||||||||
Comprehensive Income (Loss) Attributable to A&B Shareholders | $ | $ | $ | $ |
Nine Months Ended September 30, | ||||||||||||||
2024 | 2023 | |||||||||||||
Cash Flows from Operating Activities: | ||||||||||||||
Net income (loss) | $ | $ | ||||||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operations: | ||||||||||||||
Loss (income) from discontinued operations | ( | |||||||||||||
Depreciation and amortization | ||||||||||||||
Provision for credit losses | ( | |||||||||||||
Loss (gain) from disposals, net | ( | ( | ||||||||||||
Impairment of assets | ||||||||||||||
Loss (gain) on de-designated interest rate swap valuation adjustment | ( | |||||||||||||
Share-based compensation expense | ||||||||||||||
Loss (income) related to joint ventures, net of operating cash distributions | ( | ( | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Trade and other receivables | ( | ( | ||||||||||||
Prepaid expenses and other assets | ( | ( | ||||||||||||
Development/other property inventory | ( | |||||||||||||
Accrued post-retirement benefits | ( | ( | ||||||||||||
Accounts payable | ( | |||||||||||||
Accrued and other liabilities | ( | |||||||||||||
Operating cash flows from continuing operations | ||||||||||||||
Operating cash flows from discontinued operations | ( | ( | ||||||||||||
Net cash provided by (used in) operations | ||||||||||||||
Cash Flows from Investing Activities: | ||||||||||||||
Capital expenditures for acquisitions | ( | ( | ||||||||||||
Capital expenditures for property, plant and equipment | ( | ( | ||||||||||||
Proceeds from disposal of assets | ||||||||||||||
Payments for purchases of investments in affiliates and other investments | ( | ( | ||||||||||||
Distributions of capital and other receipts from investments in affiliates and other investments | ||||||||||||||
Investing cash flows from continuing operations | ( | ( | ||||||||||||
Investing cash flows from discontinued operations | ||||||||||||||
Net cash provided by (used in) investing activities | ( | ( | ||||||||||||
Cash Flows from Financing Activities: | ||||||||||||||
Proceeds from issuance of notes payable and other debt | ||||||||||||||
Payments of notes payable and other debt and deferred financing costs | ( | ( | ||||||||||||
Borrowings (payments) on line-of-credit agreement, net | ||||||||||||||
Cash dividends paid | ( | ( | ||||||||||||
Repurchases of common stock and other payments | ( | ( | ||||||||||||
Financing cash flows from continuing operations | ( | ( | ||||||||||||
Financing cash flows from discontinued operations | ( | |||||||||||||
Net cash provided by (used in) financing activities | ( | ( | ||||||||||||
Cash, Cash Equivalents, Restricted Cash, and Cash included in Assets Held for Sale | ||||||||||||||
Net increase (decrease) in cash, cash equivalents, restricted cash, and cash included in assets held for sale | ( | |||||||||||||
Balance, beginning of period | ||||||||||||||
Balance, end of period | $ | $ |
Nine Months Ended September 30, | ||||||||||||||
2024 | 2023 | |||||||||||||
Other Cash Flow Information: | ||||||||||||||
Interest paid, net of capitalized interest, for continuing operations | $ | $ | ||||||||||||
Interest paid, net of capitalized interest, for discontinued operations | $ | $ | ||||||||||||
Income tax (payments)/refunds, net | $ | ( | $ | |||||||||||
Noncash Investing and Financing Activities from continuing operations: | ||||||||||||||
Capital expenditures included in accounts payable and accrued and other liabilities | $ | $ | ||||||||||||
Dividends declared but unpaid at end of period | $ | $ | ||||||||||||
Repurchases of capital stock in accrued and other liabilities | $ | $ | ||||||||||||
Noncash Investing and Financing Activities from discontinued operations: | ||||||||||||||
Capital expenditures included in liabilities associated with assets held for sale | $ | $ | ||||||||||||
Reconciliation of cash, cash equivalents, restricted cash, and cash included in assets held for sale: | ||||||||||||||
Beginning of the period: | ||||||||||||||
Cash and cash equivalents | $ | $ | ||||||||||||
Restricted cash | ||||||||||||||
Cash included in assets held for sale | ||||||||||||||
Cash, cash equivalents, restricted cash, and cash included in assets held for sale | $ | $ | ||||||||||||
End of the period: | ||||||||||||||
Cash and cash equivalents | $ | $ | ||||||||||||
Restricted cash | ||||||||||||||
Cash included in assets held for sale | ||||||||||||||
Cash, cash equivalents, restricted cash, and cash included in assets held for sale | $ | $ | ||||||||||||
Total Equity | ||||||||||||||||||||||||||||||||||||||
Common Stock | Accumulated Other Comprehensive Income (Loss) | (Distribution in Excess of Accumulated Earnings) Earnings Surplus | Total | Redeemable Non- Controlling Interest | ||||||||||||||||||||||||||||||||||
Shares | Stated Value | |||||||||||||||||||||||||||||||||||||
Balance, July 1, 2023 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | |||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | — | — | — | — | ||||||||||||||||||||||||||||||||||
Dividend on common stock ($ | — | — | — | ( | ( | — | ||||||||||||||||||||||||||||||||
Distributions to noncontrolling interest | — | — | — | — | — | ( | ||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
Shares issued (repurchased), net | ( | ( | — | ( | ( | — | ||||||||||||||||||||||||||||||||
Balance, September 30, 2023 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Total Equity | ||||||||||||||||||||||||||||||||||||||
Common Stock | Accumulated Other Comprehensive Income (Loss) | (Distribution in Excess of Accumulated Earnings) Earnings Surplus | Total | Redeemable Non- Controlling Interest | ||||||||||||||||||||||||||||||||||
Shares | Stated Value | |||||||||||||||||||||||||||||||||||||
Balance, July 1, 2024 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | ||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | — | — | ( | — | ( | — | ||||||||||||||||||||||||||||||||
Dividend on common stock ($ | — | — | — | ( | ( | — | ||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
Shares issued (repurchased), net | ( | — | ( | ( | — | |||||||||||||||||||||||||||||||||
Balance, September 30, 2024 | $ | $ | ( | $ | ( | $ | $ |
Total Equity | ||||||||||||||||||||||||||||||||||||||
Common Stock | Accumulated Other Comprehensive Income (Loss) | (Distribution in Excess of Accumulated Earnings) Earnings Surplus | Total | Redeemable Non- Controlling Interest | ||||||||||||||||||||||||||||||||||
Shares | Stated Value | |||||||||||||||||||||||||||||||||||||
Balance, January 1, 2023 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | |||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | — | — | — | — | ||||||||||||||||||||||||||||||||||
Dividend on common stock ($ | — | — | — | ( | ( | — | ||||||||||||||||||||||||||||||||
Distributions to noncontrolling interest | — | — | — | — | — | ( | ||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
Shares issued (repurchased), net | ( | — | ( | ( | — | |||||||||||||||||||||||||||||||||
Balance, September 30, 2023 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Total Equity | ||||||||||||||||||||||||||||||||||||||
Common Stock | Accumulated Other Comprehensive Income (Loss) | (Distribution in Excess of Accumulated Earnings) Earnings Surplus | Total | Redeemable Non- Controlling Interest | ||||||||||||||||||||||||||||||||||
Shares | Stated Value | |||||||||||||||||||||||||||||||||||||
Balance, January 1, 2024 | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | ||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | — | — | ( | — | ( | — | ||||||||||||||||||||||||||||||||
Dividend on common stock ($ | — | — | — | ( | ( | — | ||||||||||||||||||||||||||||||||
Share-based compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
Shares issued (repurchased), net | ( | — | ( | ( | — | |||||||||||||||||||||||||||||||||
Balance, September 30, 2024 | $ | $ | ( | $ | ( | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Interest income | $ | $ | $ | $ | ||||||||||||||||||||||
Post-retirement benefit (expense) | ( | ( | ( | |||||||||||||||||||||||
Gain (loss) on fair value adjustments related to interest rate swaps | ||||||||||||||||||||||||||
Financing charges | ( | |||||||||||||||||||||||||
Other income (expense), net | ( | ( | ( | ( | ||||||||||||||||||||||
Interest and other income (expense), net | $ | $ | $ | $ |
Fair value of assets acquired | ||||||||
Assets acquired: | ||||||||
Land | $ | |||||||
Property and improvements | ||||||||
In-place leases | ||||||||
Total assets acquired | $ | |||||||
Liabilities assumed: | ||||||||
Unfavorable leases | $ | |||||||
Total liabilities assumed | ||||||||
Net assets acquired | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Revenues | $ | $ | $ | $ | ||||||||||||||||||||||
Operating costs and expenses | ||||||||||||||||||||||||||
Gross Profit (Loss) | $ | $ | $ | $ | ||||||||||||||||||||||
Income (Loss) from Continuing Operations1 | $ | $ | $ | $ | ||||||||||||||||||||||
Net Income (Loss)1 | $ | $ | $ | $ | ||||||||||||||||||||||
1 Includes earnings from equity method investments held by the investee. |
Fair Value Measurements at | |||||||||||||||||||||||||||||
September 30, 2024 | |||||||||||||||||||||||||||||
Consolidated Balance Sheet Location | Total | Quoted Prices in Active Markets (Level 1) | Significant Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Derivative financial instruments - interest rate swaps | Prepaid expenses and other assets | $ | $ | $ | $ | ||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Derivative financial instruments - interest rate swaps | Accrued and other liabilities | $ | ( | $ | $ | ( | $ |
Fair Value Measurements at | |||||||||||||||||||||||||||||
December 31, 2023 | |||||||||||||||||||||||||||||
Consolidated Balance Sheet Location | Total | Quoted Prices in Active Markets (Level 1) | Significant Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Derivative financial instruments - interest rate swaps | Prepaid expenses and other assets | $ | $ | $ | $ | ||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Derivative financial instruments - interest rate swaps | Accrued and other liabilities | $ | ( | $ | $ | ( | $ |
Fair Value Measurements at | Quantitative Information about | |||||||||||||||||||||||||||||||||||||||||||
December 31, 2023 | Level 3 Fair Value Measurements | |||||||||||||||||||||||||||||||||||||||||||
Total | Quoted Prices in Active Markets (Level 1) | Significant Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Gains (Losses) | Valuation Technique/ Unobservable Inputs | Weighted Average Discount Rate | ||||||||||||||||||||||||||||||||||||||
Assets held for sale, net1,2 | $ | $ | $ | $ | $ | ( | Contract value | N/A | ||||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | ( | ||||||||||||||||||||||||||||||||||||||
1 Assets or liabilities are presented in Assets held for sale or Accrued and other liabilities, respectively, in the Condensed Consolidated Balance Sheets. Impairment loss was recorded during the year ended December 31, 2023, in Impairment of assets in the Condensed Consolidated Statements of Operations. | ||||||||||||||||||||||||||||||||||||||||||||
2 Assets held for sale of $ | ||||||||||||||||||||||||||||||||||||||||||||
Interest Rate (%) | Maturity Date | Principal Outstanding | ||||||||||||||||||||||||
September 30, 2024 | December 31, 2023 | |||||||||||||||||||||||||
Secured: | ||||||||||||||||||||||||||
Laulani Village | 2024 | $ | $ | |||||||||||||||||||||||
Pearl Highlands | 2024 | |||||||||||||||||||||||||
Photovoltaic Financing | (1) | (1) | ||||||||||||||||||||||||
Manoa Marketplace | (2) | 2029 | ||||||||||||||||||||||||
Subtotal | $ | $ | ||||||||||||||||||||||||
Unsecured: | ||||||||||||||||||||||||||
Series A Note | 2024 | $ | $ | |||||||||||||||||||||||
Series J Note | 2025 | |||||||||||||||||||||||||
Series B Note | 2026 | |||||||||||||||||||||||||
Series C Note | 2026 | |||||||||||||||||||||||||
Series F Note | 2026 | |||||||||||||||||||||||||
Series H Note | 2026 | |||||||||||||||||||||||||
Series K Note | 2027 | |||||||||||||||||||||||||
Series G Note | 2027 | |||||||||||||||||||||||||
Series L Note | 2028 | |||||||||||||||||||||||||
Series I Note | 2028 | |||||||||||||||||||||||||
Term Loan 5 | 2029 | |||||||||||||||||||||||||
Series M Note | 2032 | |||||||||||||||||||||||||
Subtotal | $ | $ | ||||||||||||||||||||||||
Revolving Credit Facilities: | ||||||||||||||||||||||||||
A&B Revolver | (3) | 2025 | (4) | |||||||||||||||||||||||
Total debt (contractual) | $ | $ | ||||||||||||||||||||||||
Unamortized debt premium (discount) | $ | $ | ||||||||||||||||||||||||
Unamortized debt issuance costs | ( | ( | ||||||||||||||||||||||||
Total debt (carrying value) | $ | $ | ||||||||||||||||||||||||
(1) Financing leases have a weighted average discount rate of | ||||||||||||||||||||||||||
(2) Loan has a stated interest rate of SOFR plus | ||||||||||||||||||||||||||
(3) Loan has a stated interest rate of SOFR plus | ||||||||||||||||||||||||||
(4) A&B Revolver has |
Effective | Maturity | Fixed Interest | Notional Amount at | Asset (Liability) Fair Value at | ||||||||||||||||||||||||||||
Date | Date | Rate | September 30, 2024 | September 30, 2024 | December 31, 2023 | |||||||||||||||||||||||||||
Interest Rate Swap Agreements | ||||||||||||||||||||||||||||||||
4/7/2016 | 8/1/2029 | $ | $ | $ | ||||||||||||||||||||||||||||
5/1/2024 | 12/9/2031 | $ | $ | ( | $ | ( | ||||||||||||||||||||||||||
Forward-Starting Interest Rate Swap Agreement | ||||||||||||||||||||||||||||||||
12/9/2024 | 12/9/2031 | $ | $ | ( | $ | ( | ||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Information regarding derivatives designated as hedging instruments | ||||||||||||||||||||||||||
Amount of gain (loss) recognized in OCI on derivatives | $ | ( | $ | $ | ( | $ | ||||||||||||||||||||
Impact of reclassification adjustment to interest expense included in Net Income (Loss) | $ | ( | $ | ( | $ | ( | $ | ( | ||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||
Commercial Real Estate | $ | $ | $ | $ | ||||||||||||||||||||||
Land Operations: | ||||||||||||||||||||||||||
Development sales revenue | ||||||||||||||||||||||||||
Unimproved/other property sales revenue | ||||||||||||||||||||||||||
Other operating revenue | ||||||||||||||||||||||||||
Land Operations | ||||||||||||||||||||||||||
Total revenues | $ | $ | $ | $ | ||||||||||||||||||||||
September 30, 2024 | December 31, 2023 | |||||||||||||
Accounts receivable | $ | $ | ||||||||||||
Allowances (credit losses and doubtful accounts) | ( | ( | ||||||||||||
Accounts receivable, net of allowance for credit losses and allowance for doubtful accounts | $ | $ | ||||||||||||
Variable consideration1 | $ | $ | ||||||||||||
Prepaid rent | ||||||||||||||
Other deferred revenue | ||||||||||||||
Deferred revenue | $ | $ | ||||||||||||
1 Variable consideration deferred as of the end of the periods related to amounts received in the sale of agricultural land on Maui in 2018 that, under revenue recognition guidance, could not be included in the transaction price. | ||||||||||||||
September 30, 2024 | December 31, 2023 | |||||||||||||
Leased property - real estate | $ | $ | ||||||||||||
Less: accumulated depreciation | ( | ( | ||||||||||||
Property under operating leases - net1 | $ | $ | ||||||||||||
1Property under operating leases as of September 30, 2024, and December 31, 2023, includes leased property included in Assets held for sale. |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Lease payments | $ | $ | $ | $ | ||||||||||||||||||||||
Variable lease payments | ||||||||||||||||||||||||||
Revenues deemed uncollectible, net | ( | ( | ( | ( | ||||||||||||||||||||||
Total rental income | $ | $ | $ | $ |
September 30, 2024 | ||||||||
2024 | ||||||||
2025 | ||||||||
2026 | ||||||||
2027 | ||||||||
2028 | ||||||||
2029 | ||||||||
Thereafter | ||||||||
Total future lease payments to be received | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Operating lease cost | $ | $ | $ | $ | ||||||||||||||||||||||
Finance lease cost: | ||||||||||||||||||||||||||
Amortization of right-of-use assets | ||||||||||||||||||||||||||
Interest on lease liabilities | ||||||||||||||||||||||||||
Total lease cost - operating and finance leases | $ | $ | $ | $ |
2024 Grants | 2023 Grants | |||||||||||||
Volatility of A&B common stock | ||||||||||||||
Average volatility of peer companies | ||||||||||||||
Risk-free interest rate |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Share-based expense: | ||||||||||||||||||||||||||
Time-based and market-based restricted stock units | $ | $ | $ | $ | ||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Income (loss) from continuing operations | $ | $ | $ | $ | ||||||||||||||||||||||
Distributions and allocations to participating securities | ( | ( | ( | ( | ||||||||||||||||||||||
Income (loss) from continuing operations available to A&B shareholders | ||||||||||||||||||||||||||
Income (loss) from discontinued operations | ( | ( | ||||||||||||||||||||||||
Exclude: Loss (income) attributable to discontinued noncontrolling interest | ( | ( | ||||||||||||||||||||||||
Net income (loss) available to A&B common shareholders | $ | $ | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Denominator for basic EPS - weighted average shares outstanding | ||||||||||||||||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||||
Restricted stock unit awards | ||||||||||||||||||||||||||
Denominator for diluted EPS - weighted average shares outstanding |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Number of anti-dilutive securities |
September 30, 2024 | December 31, 2023 | |||||||||||||
Post-retirement plans | $ | ( | $ | ( | ||||||||||
Non-qualified benefit plans | ( | ( | ||||||||||||
Interest rate swaps | ( | |||||||||||||
Accumulated other comprehensive income (loss) | $ | ( | $ |
Employee Benefit Plans | Interest Rate Swap | Total | ||||||||||||||||||
Balance, January 1, 2024 | $ | ( | $ | $ | ||||||||||||||||
Other comprehensive income (loss) before reclassifications, net of taxes of $ | ( | ( | ||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss)1 | ( | ( | ||||||||||||||||||
Other comprehensive income (loss), net of taxes | ( | ( | ||||||||||||||||||
Balance, September 30, 2024 | $ | ( | $ | ( | $ | ( |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Operating Revenue: | ||||||||||||||||||||||||||
Commercial Real Estate | $ | $ | $ | $ | ||||||||||||||||||||||
Land Operations | ||||||||||||||||||||||||||
Total operating revenue | ||||||||||||||||||||||||||
Operating Profit (Loss): | ||||||||||||||||||||||||||
Commercial Real Estate1 | ||||||||||||||||||||||||||
Land Operations | ||||||||||||||||||||||||||
Total operating profit (loss) | ||||||||||||||||||||||||||
Interest expense | ( | ( | ( | ( | ||||||||||||||||||||||
Corporate and other expense | ( | ( | ( | ( | ||||||||||||||||||||||
Income (Loss) from Continuing Operations Before Income Taxes | $ | $ | $ | $ | ||||||||||||||||||||||
1 Commercial Real Estate segment operating profit (loss) includes intersegment operating revenue, primarily from the Land Operations segment that is eliminated in the consolidated results of operations. | ||||||||||||||||||||||||||
September 30, 2024 | December 31, 2023 | |||||||||||||
Real estate investments | ||||||||||||||
Real estate property | $ | $ | ||||||||||||
Accumulated depreciation | ( | ( | ||||||||||||
Real estate property, net | ||||||||||||||
Real estate intangible assets, net | ||||||||||||||
Real estate investments, net | ||||||||||||||
Prepaid expenses and other assets | ||||||||||||||
Less: Impairment recognized on classification as held for sale | ( | ( | ||||||||||||
Total Assets held for sale | $ | $ | ||||||||||||
Accrued and other liabilities | ||||||||||||||
Total Liabilities associated with assets held for sale1 | $ | $ | ||||||||||||
1Liabilities associated with assets held for sale is presented in Accrued and other liabilities on the Condensed Consolidated Balance Sheets for all periods presented. |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Revenue | $ | $ | $ | $ | ||||||||||||||||||||||
Cost of sales1 | ( | ( | ( | |||||||||||||||||||||||
Selling, general and administrative1 | ( | ( | ( | ( | ||||||||||||||||||||||
Gain (loss) on disposal of assets, net | ( | ( | ||||||||||||||||||||||||
Operating income (loss) from discontinued operations1 | ( | ( | ||||||||||||||||||||||||
Income (loss) related to joint ventures | ( | ( | ||||||||||||||||||||||||
Interest and other income (expense), net | ( | |||||||||||||||||||||||||
Interest expense | ( | ( | ||||||||||||||||||||||||
Income (loss) from discontinued operations before income taxes1 | ( | ( | ||||||||||||||||||||||||
Income tax benefit (expense) attributable to discontinued operations | ||||||||||||||||||||||||||
Income (loss) from discontinued operations1 | ( | ( | ||||||||||||||||||||||||
Loss (income) attributable to discontinued noncontrolling interest | ( | ( | ||||||||||||||||||||||||
Income (loss) from discontinued operations attributable to A&B Shareholders1 | $ | ( | $ | $ | ( | $ | ||||||||||||||||||||
1For the three and nine months ended September 30, 2024, the Company recognized $ | ||||||||||||||||||||||||||
(amounts in thousands, except percentage and per share data; unaudited) | Three Months Ended September 30, | 2024 vs 2023 | ||||||||||||||||||||||||
2024 | 2023 | $ | % | |||||||||||||||||||||||
Operating revenue | $ | 61,944 | $ | 52,495 | $ | 9,449 | 18.0 | % | ||||||||||||||||||
Cost of operations | (32,445) | (27,297) | (5,148) | (18.9) | % | |||||||||||||||||||||
Selling, general and administrative | (7,436) | (7,562) | 126 | 1.7 | % | |||||||||||||||||||||
Impairment of assets | — | (649) | 649 | 100.0 | % | |||||||||||||||||||||
Operating income (loss) | 22,063 | 16,987 | 5,076 | 29.9 | % | |||||||||||||||||||||
Income (loss) related to joint ventures | 2,142 | 950 | 1,192 | 125.5 | % | |||||||||||||||||||||
Interest and other income (expense), net | 854 | 145 | 709 | 5X | ||||||||||||||||||||||
Interest expense | (5,680) | (6,077) | 397 | 6.5 | % | |||||||||||||||||||||
Income tax benefit (expense) | (75) | — | (75) | NM | ||||||||||||||||||||||
Income (loss) from continuing operations | 19,304 | 12,005 | 7,299 | 60.8 | % | |||||||||||||||||||||
Income (loss) from discontinued operations (net of income taxes) | (300) | 3,894 | (4,194) | NM | ||||||||||||||||||||||
Net income (loss) | 19,004 | 15,899 | 3,105 | 19.5 | % | |||||||||||||||||||||
(Income) loss attributable to discontinued noncontrolling interest | — | (1,250) | 1,250 | 100.0 | % | |||||||||||||||||||||
Net income (loss) attributable to A&B | $ | 19,004 | $ | 14,649 | $ | 4,355 | 29.7 | % | ||||||||||||||||||
Basic Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Basic earnings (loss) per share - continuing operations | $ | 0.27 | $ | 0.16 | $ | 0.11 | 68.8 | % | ||||||||||||||||||
Basic earnings (loss) per share - discontinued operations | (0.01) | 0.04 | (0.05) | NM | ||||||||||||||||||||||
$ | 0.26 | $ | 0.20 | $ | 0.06 | 30.0 | % | |||||||||||||||||||
Diluted Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Diluted earnings (loss) per share - continuing operations | $ | 0.27 | $ | 0.16 | $ | 0.11 | 68.8 | % | ||||||||||||||||||
Diluted earnings (loss) per share - discontinued operations | (0.01) | 0.04 | (0.05) | NM | ||||||||||||||||||||||
$ | 0.26 | $ | 0.20 | $ | 0.06 | 30.0 | % | |||||||||||||||||||
Continuing operations available to A&B common shareholders | $ | 19,298 | $ | 11,984 | $ | 7,314 | 61.0 | % | ||||||||||||||||||
Discontinued operations available to A&B common shareholders | (300) | 2,644 | (2,944) | NM | ||||||||||||||||||||||
Net income (loss) available to A&B common shareholders | $ | 18,998 | $ | 14,628 | $ | 4,370 | 29.9 | % | ||||||||||||||||||
Funds From Operations ("FFO")1 | $ | 28,230 | $ | 21,150 | $ | 7,080 | 33.5 | % | ||||||||||||||||||
Adjusted FFO1 | $ | 23,414 | $ | 17,430 | $ | 5,984 | 34.3 | % | ||||||||||||||||||
FFO per diluted share | $ | 0.39 | $ | 0.29 | $ | 0.10 | 34.5 | % | ||||||||||||||||||
Weighted average diluted shares outstanding (FFO/Adjusted FFO)2 | 72,817 | 72,844 | ||||||||||||||||||||||||
1 For definitions of capitalized terms and a discussion of management's use of a non-GAAP financial measure and the required reconciliation of non-GAAP measures to GAAP measures, refer to page 36. | ||||||||||||||||||||||||||
2 May differ from figure used in the consolidated statements of operations based on differing dilutive effects for net income (loss) versus FFO/Adjusted FFO. |
(amounts in thousands, except percentage data and per share data; unaudited) | Nine Months Ended September 30, | 2024 vs 2023 | ||||||||||||||||||||||||
2024 | 2023 | $ | % | |||||||||||||||||||||||
Operating revenue | $ | 174,193 | $ | 156,001 | $ | 18,192 | 11.7 | % | ||||||||||||||||||
Cost of operations | (92,334) | (82,871) | (9,463) | (11.4) | % | |||||||||||||||||||||
Selling, general and administrative | (21,927) | (26,200) | 4,273 | 16.3 | % | |||||||||||||||||||||
Impairment of assets | — | (649) | 649 | 100.0 | % | |||||||||||||||||||||
Gain (loss) from disposals, net | 2,148 | 1,117 | 1,031 | 92.3 | % | |||||||||||||||||||||
Operating income (loss) | 62,080 | 47,398 | 14,682 | 31.0 | % | |||||||||||||||||||||
Income (loss) related to joint ventures | 3,836 | 1,879 | 1,957 | 104.2 | % | |||||||||||||||||||||
Interest and other income (expense), net | 2,652 | 4 | 2,648 | 662X | ||||||||||||||||||||||
Interest expense | (17,119) | (16,975) | (144) | (0.8) | % | |||||||||||||||||||||
Income tax benefit (expense) | (174) | (7) | (167) | 24X | ||||||||||||||||||||||
Income (loss) from continuing operations | 51,275 | 32,299 | 18,976 | 58.8 | % | |||||||||||||||||||||
Income (loss) from discontinued operations (net of income taxes) | (3,181) | 3,902 | (7,083) | NM | ||||||||||||||||||||||
Net income (loss) | 48,094 | 36,201 | 11,893 | 32.9 | % | |||||||||||||||||||||
(Income) loss attributable to discontinued noncontrolling interest | — | (2,883) | 2,883 | 100.0 | % | |||||||||||||||||||||
Net income (loss) attributable to A&B | $ | 48,094 | $ | 33,318 | $ | 14,776 | 44.3 | % | ||||||||||||||||||
Basic Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Basic earnings (loss) per share - continuing operations | $ | 0.71 | $ | 0.44 | $ | 0.27 | 61.4 | % | ||||||||||||||||||
Basic earnings (loss) per share - discontinued operations | (0.05) | 0.02 | (0.07) | NM | ||||||||||||||||||||||
$ | 0.66 | $ | 0.46 | $ | 0.20 | 43.5 | % | |||||||||||||||||||
Diluted Earnings (Loss) Per Share of Common Stock: | ||||||||||||||||||||||||||
Diluted earnings (loss) per share - continuing operations | $ | 0.70 | $ | 0.44 | $ | 0.26 | 59.1 | % | ||||||||||||||||||
Diluted earnings (loss) per share - discontinued operations | (0.04) | 0.02 | (0.06) | NM | ||||||||||||||||||||||
$ | 0.66 | $ | 0.46 | $ | 0.20 | 43.5 | % | |||||||||||||||||||
Continuing operations available to A&B common shareholders | $ | 51,257 | $ | 32,217 | $ | 19,040 | 59.1 | % | ||||||||||||||||||
Discontinued operations available to A&B common shareholders | (3,181) | 1,019 | (4,200) | NM | ||||||||||||||||||||||
Net income (loss) available to A&B common shareholders | $ | 48,076 | $ | 33,236 | $ | 14,840 | 44.7 | % | ||||||||||||||||||
Funds From Operations ("FFO")1 | $ | 78,054 | $ | 59,553 | $ | 18,501 | 31.1 | % | ||||||||||||||||||
Adjusted FFO1 | $ | 65,886 | $ | 51,420 | $ | 14,466 | 28.1 | % | ||||||||||||||||||
FFO per diluted share | $ | 1.07 | $ | 0.82 | $ | 0.25 | 30.5 | % | ||||||||||||||||||
Weighted average diluted shares outstanding (FFO/Adjusted FFO)2 | 72,718 | 72,800 | ||||||||||||||||||||||||
1 For definitions of capitalized terms and a discussion of management's use of a non-GAAP financial measure and the required reconciliation of non-GAAP measures to GAAP measures, refer to page 36. | ||||||||||||||||||||||||||
2 May differ from figure used in the consolidated statements of operations based on differing dilutive effects for net income (loss) versus FFO/Adjusted FFO. |
(amounts in thousands, except percentage data and acres; unaudited) | Three Months Ended September 30, | 2024 vs 2023 | ||||||||||||||||||||||||
2024 | 2023 | $ | % | |||||||||||||||||||||||
Commercial Real Estate operating revenue | $ | 49,381 | $ | 48,232 | $ | 1,149 | 2.4 | % | ||||||||||||||||||
Commercial Real Estate operating costs and expenses | (25,292) | (25,078) | (214) | (0.9) | % | |||||||||||||||||||||
Selling, general and administrative | (1,292) | (1,703) | 411 | 24.1 | % | |||||||||||||||||||||
Intersegment operating revenue, net1 | 6 | 6 | — | — | % | |||||||||||||||||||||
Impairment of real estate assets | — | (649) | 649 | 100.0 | % | |||||||||||||||||||||
Interest and other income (expense), net | 26 | (159) | 185 | NM | ||||||||||||||||||||||
Commercial Real Estate operating profit (loss) | $ | 22,829 | $ | 20,649 | $ | 2,180 | 10.6 | % | ||||||||||||||||||
Net Operating Income ("NOI")2 | $ | 32,368 | $ | 31,011 | $ | 1,357 | 4.4 | % | ||||||||||||||||||
Same-Store Net Operating Income ("Same-Store NOI")2 | $ | 32,156 | $ | 30,879 | $ | 1,277 | 4.1 | % | ||||||||||||||||||
Gross leasable area ("GLA") in square feet ("SF") for improved properties at end of period | 4,014 | 3,934 | 80 | 2 | % | |||||||||||||||||||||
1 Intersegment operating revenue, net for Commercial Real Estate is primarily from the Land Operations segment and is eliminated in the consolidated results of operations. | ||||||||||||||||||||||||||
2 For a discussion of management's use of non-GAAP financial measures and the required reconciliation of non-GAAP measures to GAAP measures, refer to page 36. |
Nine Months Ended September 30, | 2024 vs 2023 | |||||||||||||||||||||||||
(amounts in thousands, except percentage data; unaudited) | 2024 | 2023 | $ | %1 | ||||||||||||||||||||||
Commercial Real Estate operating revenue | $ | 147,477 | $ | 145,635 | $ | 1,842 | 1.3 | % | ||||||||||||||||||
Commercial Real Estate operating costs and expenses | (75,842) | (75,075) | (767) | (1.0) | % | |||||||||||||||||||||
Selling, general and administrative | (4,358) | (5,643) | 1,285 | 22.8 | % | |||||||||||||||||||||
Intersegment operating revenue, net1 | 19 | 36 | (17) | (47.2) | % | |||||||||||||||||||||
Impairment of real estate assets | — | (649) | 649 | 100.0 | % | |||||||||||||||||||||
Interest and other income (expense), net | 125 | (98) | 223 | NM | ||||||||||||||||||||||
Commercial Real Estate operating profit (loss) | $ | 67,421 | $ | 64,206 | $ | 3,215 | 5.0 | % | ||||||||||||||||||
Net Operating Income ("NOI")2 | $ | 95,764 | $ | 92,734 | $ | 3,030 | 3.3 | % | ||||||||||||||||||
Same-Store Net Operating Income ("Same-Store NOI")2 | $ | 95,157 | $ | 92,363 | $ | 2,794 | 3.0 | % | ||||||||||||||||||
1 Intersegment operating revenue, net for Commercial Real Estate is primarily from the Land Operations segment and is eliminated in the consolidated results of operations. | ||||||||||||||||||||||||||
2 For a discussion of management's use of a non-GAAP financial measure and the required reconciliation of non-GAAP measures to GAAP measures, refer to page 36. |
Acquisitions | ||||||||||||||||||||||||||
Property | Location | Date (Month/Year) | Transaction Price | GLA (SF) | ||||||||||||||||||||||
Waihona Industrial | Oahu | 09/2024 | $29.7 | 81,495 |
Three Months Ended September 30, 2024 | Nine Months Ended September 30, 2024 | ||||||||||||||||||||||||||||
Leases | GLA (SF) | ABR2,4/SF | Rent Spread3 | Leases | GLA (SF) | ABR2,4/SF | Rent Spread3 | ||||||||||||||||||||||
Retail | 38 | 83,885 | $ | 57.48 | 18.2 | % | 103 | 210,993 | $ | 47.79 | 13.0 | % | |||||||||||||||||
Industrial | 27 | 81,848 | $ | 17.45 | 9.9 | % | 50 | 259,696 | $ | 16.50 | 7.5 | % | |||||||||||||||||
Office | 6 | 16,392 | $ | 26.00 | 3.5 | % | 9 | 19,754 | $ | 27.04 | 2.4 | % | |||||||||||||||||
Subtotal - Improved properties | 71 | 182,125 | $ | 36.66 | 15.3 | % | 162 | 490,443 | $ | 30.39 | 11.2 | % | |||||||||||||||||
Ground | 1 | N/A1 | $ | 0.0 | 28.8 | % | 1 | N/A1 | $ | 0.0 | 28.8 | % | |||||||||||||||||
1 Not applicable for ground leases as such leases would not be comparable from a GLA (SF) perspective | |||||||||||||||||||||||||||||
2Annualized Base Rent ("ABR") is the current month's contractual base rent multiplied by 12. Base rent is presented without consideration of percentage rent that may, in some cases, be significant. | |||||||||||||||||||||||||||||
3 Rent spread is calculated for comparable leases, a subset of the total population of leases for the period presented (described above). | |||||||||||||||||||||||||||||
4 Current ABR, in millions, is presented for ground leases |
As of | As of | Basis Point Change | ||||||||||||||||||
September 30, 2024 | September 30, 2023 | |||||||||||||||||||
Leased Occupancy | 94.0% | 94.6% | (60) | |||||||||||||||||
Physical Occupancy | 93.5% | 93.9% | (40) | |||||||||||||||||
Economic Occupancy | 93.0% | 92.9% | 10 |
Leased Occupancy | ||||||||||||||||||||
As of | As of | Basis Point Change | ||||||||||||||||||
September 30, 2024 | September 30, 2023 | |||||||||||||||||||
Retail | 92.9% | 94.0% | (110) | |||||||||||||||||
Industrial | 97.4% | 96.8% | 60 | |||||||||||||||||
Office | 80.6% | 84.5% | (390) | |||||||||||||||||
Total Leased Occupancy | 94.0% | 94.6% | (60) |
Economic Occupancy | ||||||||||||||||||||
As of | As of | Basis Point Change | ||||||||||||||||||
September 30, 2024 | September 30, 2023 | |||||||||||||||||||
Retail | 91.4% | 91.9% | (50) | |||||||||||||||||
Industrial | 97.2% | 95.9% | 130 | |||||||||||||||||
Office | 79.3% | 83.5% | (420) | |||||||||||||||||
Total Economic Occupancy | 93.0% | 92.9% | 10 |
Same-Store Leased Occupancy | ||||||||||||||||||||
As of | As of | Basis Point Change | ||||||||||||||||||
September 30, 2024 | September 30, 2023 | |||||||||||||||||||
Retail | 94.1% | 95.4% | (130) | |||||||||||||||||
Industrial | 97.2% | 96.7% | 50 | |||||||||||||||||
Office | 83.9% | 88.1% | (420) | |||||||||||||||||
Total Same-Store Leased Occupancy | 94.8% | 95.6% | (80) |
Same-Store Economic Occupancy | ||||||||||||||||||||
As of | As of | Basis Point Change | ||||||||||||||||||
September 30, 2024 | September 30, 2023 | |||||||||||||||||||
Retail | 92.6% | 93.1% | (50) | |||||||||||||||||
Industrial | 96.9% | 95.8% | 110 | |||||||||||||||||
Office | 82.3% | 87.0% | (470) | |||||||||||||||||
Total Same-Store Economic Occupancy | 93.7% | 93.8% | (10) |
Three Months Ended September 30, | ||||||||||||||
(amounts in thousands; unaudited) | 2024 | 2023 | ||||||||||||
Development sales revenue | $ | 1,853 | $ | — | ||||||||||
Unimproved/other property sales revenue | 10,557 | 4,025 | ||||||||||||
Other operating revenue1 | 153 | 238 | ||||||||||||
Total Land Operations operating revenue | 12,563 | 4,263 | ||||||||||||
Land Operations operating costs and expenses | (7,153) | (2,219) | ||||||||||||
Selling, general and administrative | (236) | (450) | ||||||||||||
Intersegment operating charges, net2 | (6) | 45 | ||||||||||||
Earnings (loss) from joint ventures | 2,142 | 950 | ||||||||||||
Interest and other income (expense), net | 571 | 289 | ||||||||||||
Total Land Operations operating profit (loss) | $ | 7,881 | $ | 2,878 | ||||||||||
1 Other operating revenue includes revenue related to licensing and leasing of non-core legacy agricultural lands during the three months ended September 30, 2024 and 2023. | ||||||||||||||
2 Intersegment operating charges for Land Operations are primarily from the Commercial Real Estate segment and are eliminated in the consolidated results of operations. |
Nine Months Ended September 30, | ||||||||||||||
(amounts in thousands; unaudited) | 2024 | 2023 | ||||||||||||
Development sales revenue | $ | 5,989 | $ | — | ||||||||||
Unimproved/other property sales revenue | 20,182 | 8,075 | ||||||||||||
Other operating revenue1 | 545 | 2,291 | ||||||||||||
Total Land Operations operating revenue | 26,716 | 10,366 | ||||||||||||
Land Operations operating costs and expenses | (16,492) | (7,796) | ||||||||||||
Selling, general and administrative | (874) | (1,380) | ||||||||||||
Gain (loss) on disposal of assets, net | 2,148 | 1,117 | ||||||||||||
Intersegment operating charges, net2 | (24) | (100) | ||||||||||||
Earnings (loss) from joint ventures | 3,836 | 1,879 | ||||||||||||
Interest and other income (expense), net | 670 | 399 | ||||||||||||
Total Land Operations operating profit (loss) | $ | 15,980 | $ | 4,485 | ||||||||||
1 Other operating revenue includes revenue related to licensing and leasing of non-core legacy agricultural lands during the nine months ended September 30, 2024 and 2023. Other revenue also includes trucking and storage operations during the nine months ended September 30, 2023. | ||||||||||||||
2 Intersegment operating charges primarily from CRE that are eliminated in the consolidated results of operations. |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Net Income (Loss) available to A&B common shareholders | $ | 18,998 | $ | 14,628 | $ | 48,076 | $ | 33,236 | ||||||||||||||||||
Depreciation and amortization of commercial real estate properties | 8,932 | 9,166 | 26,797 | 27,336 | ||||||||||||||||||||||
(Income) loss from discontinued operations, net of income taxes | 300 | (3,894) | 3,181 | (3,902) | ||||||||||||||||||||||
Income (loss) attributable to discontinued noncontrolling interest | — | 1,250 | — | 2,883 | ||||||||||||||||||||||
FFO | $ | 28,230 | $ | 21,150 | $ | 78,054 | $ | 59,553 | ||||||||||||||||||
Add (deduct) Adjusted FFO defined adjustments | ||||||||||||||||||||||||||
Impairment losses - abandoned development costs | — | 649 | — | 649 | ||||||||||||||||||||||
(Gain)/loss on sale of legacy business1 | — | — | (2,125) | (1,117) | ||||||||||||||||||||||
Non-cash changes to liabilities related to legacy operations2 | — | 200 | 2,193 | 795 | ||||||||||||||||||||||
Provision for current expected credit losses | (628) | — | (628) | — | ||||||||||||||||||||||
Legacy joint venture (income)/loss3 | (2,142) | (950) | (3,836) | (1,879) | ||||||||||||||||||||||
(Gain)/loss on fair value adjustments related to interest rate swaps | — | — | (3,675) | — | ||||||||||||||||||||||
Non-recurring financing charges | — | — | 2,350 | — | ||||||||||||||||||||||
Amortization of share-based compensation | 1,266 | 1,023 | 3,654 | 5,283 | ||||||||||||||||||||||
Maintenance capital expenditures4 | (2,503) | (3,463) | (7,745) | (6,434) | ||||||||||||||||||||||
Leasing commissions paid | (389) | (293) | (927) | (1,109) | ||||||||||||||||||||||
Straight-line lease adjustments | (564) | (849) | (1,868) | (4,217) | ||||||||||||||||||||||
Amortization of net debt premiums or discounts and deferred financing costs | 247 | 243 | 738 | 724 | ||||||||||||||||||||||
Amortization of above and below-market leases, net | (103) | (280) | (299) | (828) | ||||||||||||||||||||||
Adjusted FFO | $ | 23,414 | $ | 17,430 | $ | 65,886 | $ | 51,420 | ||||||||||||||||||
1 Amounts in 2024 primarily related to the favorable resolution of contingent liabilities related to the sale of a legacy business in a prior year. Amounts in 2023 related to gain on disposal of the Company's ownership interest in a legacy trucking and storage business on Maui. | ||||||||||||||||||||||||||
2 Primarily related to environmental reserves associated with legacy business activities in the Land Operations segment. | ||||||||||||||||||||||||||
3 Includes joint ventures engaged in legacy business activities within the Land Operations segment. | ||||||||||||||||||||||||||
4 Includes ongoing maintenance capital expenditures only. |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
CRE Operating Profit | $ | 22,829 | $ | 20,649 | $ | 67,421 | $ | 64,206 | ||||||||||||||||||
Depreciation and amortization | 8,932 | 9,166 | 26,797 | 27,336 | ||||||||||||||||||||||
Straight-line lease adjustments | (564) | (849) | (1,868) | (4,217) | ||||||||||||||||||||||
Favorable/(unfavorable) lease amortization | (103) | (334) | (299) | (849) | ||||||||||||||||||||||
Termination fees and other | 8 | (132) | (520) | (132) | ||||||||||||||||||||||
Interest and other income (expense), net | (26) | 159 | (125) | 98 | ||||||||||||||||||||||
Impairment losses | — | 649 | — | 649 | ||||||||||||||||||||||
Selling, general, administrative | 1,292 | 1,703 | 4,358 | 5,643 | ||||||||||||||||||||||
NOI | 32,368 | 31,011 | 95,764 | 92,734 | ||||||||||||||||||||||
Less: NOI from acquisitions, dispositions, and other adjustments | (212) | (132) | (607) | (371) | ||||||||||||||||||||||
Same-Store NOI | $ | 32,156 | $ | 30,879 | $ | 95,157 | $ | 92,363 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||
Capital expenditures for real estate | ||||||||||||||||||||||||||
Ongoing maintenance capital expenditures | ||||||||||||||||||||||||||
Building/area improvements | $ | 1,335 | $ | 2,797 | $ | 3,851 | $ | 4,459 | ||||||||||||||||||
Tenant space improvements | 1,168 | 666 | 3,894 | 1,975 | ||||||||||||||||||||||
Total ongoing maintenance capital expenditures for real estate | 2,503 | 3,463 | 7,745 | 6,434 | ||||||||||||||||||||||
Discretionary capital expenditures | ||||||||||||||||||||||||||
Property acquisitions | 29,826 | — | 29,826 | 9,464 | ||||||||||||||||||||||
Development and redevelopment1 | 630 | 2,362 | 2,028 | 5,385 | ||||||||||||||||||||||
Tenant space improvements - nonrecurring | — | 77 | — | 84 | ||||||||||||||||||||||
Total discretionary capital expenditures for real estate | 30,456 | 2,439 | 31,854 | 14,933 | ||||||||||||||||||||||
Capitalized indirect costs | 701 | 514 | 2,016 | 1,631 | ||||||||||||||||||||||
Total capital expenditures for real estate1 | 33,660 | 6,416 | 41,615 | 22,998 | ||||||||||||||||||||||
Corporate and other capital expenditures | 33 | 9 | 89 | 61 | ||||||||||||||||||||||
Total Capital Expenditures1 | $ | 33,693 | $ | 6,425 | $ | 41,704 | $ | 23,059 |
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. | ||||||||
ALEXANDER & BALDWIN, INC. | ||||||||
October 25, 2024 | By: /s/ Clayton K.Y. Chun | |||||||
Clayton K.Y. Chun | ||||||||
Executive Vice President, Chief Financial Officer and Treasurer | ||||||||
October 25, 2024 | By: /s/ Anthony J. Tommasino | |||||||
Anthony J. Tommasino | ||||||||
Vice President and Controller |
By /s/ Lance K. Parker | ||||||||
Lance K. Parker | ||||||||
President and Chief Executive Officer | ||||||||
Date: | October 25, 2024 |
By /s/ Clayton K.Y. Chun | ||||||||
Clayton K.Y. Chun | ||||||||
Executive Vice President, Chief Financial Officer and Treasurer | ||||||||
Date: | October 25, 2024 |
/s/ Lance K. Parker | |||||
Name: | Lance K. Parker | ||||
Title: | President and Chief Executive Officer | ||||
Date: | October 25, 2024 |
/s/ Clayton K.Y. Chun | |||||
Name: | Clayton K.Y. Chun | ||||
Title: | Executive Vice President, Chief Financial Officer and Treasurer | ||||
Date: | October 25, 2024 |
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Allowances (credit losses and doubtful accounts) | $ 1,549 | $ 2,888 |
Allowance for credit losses on other receivables | $ 2,264 | $ 3,545 |
Common stock authorized (in shares) | 225,000,000 | 225,000,000 |
Common stock outstanding (in shares) | 72,632,947 | 72,447,510 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
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Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
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Statement of Comprehensive Income [Abstract] | ||||
Net Income (Loss) | $ 19,004 | $ 15,899 | $ 48,094 | $ 36,201 |
Cash flow hedges: | ||||
Unrealized interest rate derivative gain (loss) | (6,818) | 7,540 | (3,918) | 8,044 |
Reclassification adjustment to interest expense included in Net Income (Loss) | (449) | (442) | (1,391) | (1,239) |
Other comprehensive income (loss), net of tax | (7,267) | 7,098 | (5,309) | 6,805 |
Comprehensive Income (Loss) | 11,737 | 22,997 | 42,785 | 43,006 |
Comprehensive (income) loss attributable to discontinued noncontrolling interest | 0 | (1,250) | 0 | (2,883) |
Comprehensive Income (Loss) Attributable to A&B Shareholders | $ 11,737 | $ 21,747 | $ 42,785 | $ 40,123 |
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NONCONTROLLING INTEREST (Parenthetical) - $ / shares |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
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Statement of Stockholders' Equity [Abstract] | ||||
Dividends declared (in dollars per share) | $ 0.2225 | $ 0.22 | $ 0.668 | $ 0.66 |
Background and Basis of Presentation |
9 Months Ended |
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Sep. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation Description of Business: Alexander & Baldwin, Inc. ("A&B" or the "Company") is a fully integrated real estate investment trust ("REIT") headquartered in Honolulu, Hawai‘i, whose history in Hawai‘i dates back to 1870. Over time, the Company has evolved from a 571-acre sugar plantation on Maui to become one of Hawai‘i's premier commercial real estate companies and the owner of the largest grocery-anchored, neighborhood shopping center portfolio in the state. The Company operates in two segments: Commercial Real Estate ("CRE") and Land Operations. As of September 30, 2024, the Company's commercial real estate portfolio resides entirely in Hawai‘i and consists of 22 retail centers, 14 industrial assets and four office properties, representing a total of four million square feet of gross leasable area ("GLA"), as well as 142 acres of commercial land, of which substantially all is leased pursuant to urban ground leases. Throughout this quarterly report on Form 10-Q, references to "we," "our," "us" and "our Company" refer to Alexander & Baldwin, Inc., together with its consolidated subsidiaries. Basis of Presentation: The interim condensed consolidated financial statements are unaudited. Because of the nature of the Company's operations, the results for interim periods are not necessarily indicative of results to be expected for the year. While these condensed consolidated financial statements reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America ("GAAP") for complete financial statements. Therefore, the interim condensed consolidated financial statements should be read in conjunction with the consolidated balance sheets as of December 31, 2023 and 2022, and the related consolidated statements of operations, comprehensive income (loss), cash flows, and equity and redeemable noncontrolling interest for each of the three years ended December 31, 2023, 2022, and 2021, respectively, and the notes thereto included in the Company's Annual Report filed on Form 10-K for the year ended December 31, 2023 ("2023 Form 10-K"), and other subsequent filings with the U.S. Securities and Exchange Commission ("SEC"). Reclassifications: Certain amounts presented in the prior year have been reclassified to conform to the current year presentation (e.g., captions previously presented in the prior years that, in the currently presented periods, are less than five percent of total assets or total liabilities were combined in the current year condensed consolidated balance sheets). Operating lease right-of-use assets, which was previously reported separately on the condensed consolidated balance sheets, is now presented in Prepaid expenses and other assets for all periods presented. Operating lease liabilities and Liabilities associated with assets held for sale, which were previously reported separately on the condensed consolidated balance sheets, are now presented in Accrued and other liabilities for all periods presented. Rounding: Amounts in the condensed consolidated financial statements and notes are rounded to the nearest thousand. Accordingly, a recalculation of some per-share amounts and percentages, if based on the reported data, may result in differences.
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Significant Accounting Policies |
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies | Significant Accounting Policies The Company's significant accounting policies are described in Note 2 to the consolidated financial statements included in Item 8 of the Company's 2023 Form 10-K. Changes to the Company's significant accounting policies are included herein. Recently issued accounting pronouncements In October 2023, the FASB issued ASU No. 2023-06 ("ASU 2023-06"), Disclosure Improvements - Codification Amendment in Response to the SEC’s Disclosure Update and Simplification Initiative. This ASU modified the disclosure and presentation requirements of a variety of codification topics by aligning them with the SEC’s regulations. The amendments to the various topics should be applied prospectively, and the effective date will be determined for each individual disclosure based on the effective date of the SEC’s removal of the related disclosure. If the SEC has not removed the applicable requirements from Regulation S-X or Regulation S-K by June 30, 2027, then this ASU will not become effective. Early adoption is prohibited. The Company does not expect the amendments of this accounting standard update to have a material impact on its consolidated financial statements and related disclosures. In November 2023, the FASB issued ASU No. 2023-07 (“ASU 2023-07”), Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments in the ASU enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. Early adoption is permitted. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements and related disclosures. In December 2023, the FASB issued ASU No. 2023-09 (“ASU 2023-09”), Income Taxes (Topic 740): Improvement to Income Tax Disclosures to enhance the transparency and decision usefulness of income tax disclosures, primarily related to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for annual periods beginning after December 15, 2024, on a prospective basis. Early adoption is permitted. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements and related disclosures. Interest and other income (expense), net Interest and other income (expense), net for the three and nine months ended September 30, 2024 and 2023, included the following (in thousands):
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Real Estate Asset Acquisitions |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Asset Acquisitions | Real Estate Asset Acquisitions During the nine months ended September 30, 2024, the Company acquired one industrial commercial real estate asset for $29.8 million, including acquisition costs. The transaction was structured to qualify as a reverse like-kind exchange under Section 1031 of the Internal Revenue Code and accordingly, was acquired by a variable interest entity ("VIE") formed by an exchange accommodation titleholder using funds loaned by the Company. The Company will operate the VIE pursuant to a management agreement until the reverse exchange transaction is completed or the Company elects to collapse the reverse exchange structure. As the primary beneficiary with the ability to control the activities that most significantly impact the VIE's economic performance and all the risks and rewards of ownership, the Company has consolidated the VIE. The assets of the VIE primarily consist of leased property (net real estate and intangibles). The allocation of purchase price to assets acquired and liabilities assumed is as follows (in thousands):
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Investments in Affiliates |
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Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Affiliates | Investments in Affiliates The Company's investments in affiliates principally consist of equity investments in limited liability companies in which the Company has the ability to exercise significant influence over the operating and financial policies of these investments. Accordingly, the Company accounts for its investments using the equity method of accounting. Operating results presented in the Company's condensed consolidated financial statements include the Company's proportionate share of net income (loss) from its equity method investments. Summarized financial information of entities accounted for by the equity method on a combined basis for the three and nine months ended September 30, 2024 and 2023, is as follows (in thousands):
During the nine months ended September 30, 2024 and 2023, Income (loss) related to joint ventures was $3.8 million and $1.9 million, respectively, and return on investment operating cash distributions was $0.8 million and zero, respectively.
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Fair Value Measurements |
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Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Recurring Fair Value Measurements The following tables present the fair value of those assets and (liabilities) measured on a recurring basis as of September 30, 2024 and December 31, 2023, (in thousands):
Derivative Financial Instruments: The Company records its interest rate swaps at fair value. The fair values of the Company's interest rate swaps are classified as Level 2 measurements in the fair value hierarchy and are based on the estimated amounts that the Company would receive or pay to terminate the contracts at the reporting date and are determined using interest rate pricing models and interest rate related observable inputs (refer to Note 7 – Derivative Instruments for fair value information regarding the Company's derivative instruments). Non-Recurring Fair Value Certain financial and nonfinancial assets and liabilities are measured at fair value on a nonrecurring basis and are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment. The Company’s process for identifying and recording impairment is discussed in Note 2 to the consolidated financial statements included in Item 8 of the Company's 2023 Form 10-K. Impairment of Assets Held for Sale, net: As of September 30, 2024 and December 31, 2023, one CRE improved property met the criteria for classification as held for sale and accordingly, was measured at its fair value less costs to sell, resulting in an impairment charge of $2.2 million recorded during the year ended December 31, 2023. During the three and nine months ended September 30, 2024, the Company recorded no additional fair value adjustment related to assets and liabilities held for sale. The Company classifies these fair value measurements as Level 3 in the fair value hierarchy because they are determined using significant unobservable inputs such as management assumptions about expected sales proceeds from third parties. The following table presents the fair value hierarchy and quantitative information about the significant unobservable inputs used to determine the fair value of long-lived assets held and used and assets held for sale, net for which a nonrecurring fair value adjustment was recorded (in thousands):
Financial Assets and Liabilities not Measured at Fair Value Financial assets and liabilities that are not measured at fair value on our condensed consolidated balance sheets include cash and cash equivalents, restricted cash, accounts and notes receivable, net and notes payable and other debt. The fair value of the Company's cash and cash equivalents, restricted cash, accounts receivable, net and short-term borrowings approximate their carrying values due to the short-term nature of the instruments, and are classified as Level 1 measurement in the fair value hierarchy. The fair value of the Company's notes receivable approximated the carrying amount of $8.1 million and $20.8 million as of September 30, 2024 and December 31, 2023, respectively. The fair value of these notes is estimated using a discounted cash flow analysis in which the Company uses unobservable inputs such as market interest rates determined by the loan-to-value and market capitalization rates related to the underlying collateral at which management believes similar loans would be made, and is classified as a Level 3 measurement in the fair value hierarchy. At September 30, 2024, the carrying amount of the Company's notes payable and other debt was $472.2 million and the corresponding fair value was $473.2 million. At December 31, 2023, the carrying amount of the Company's notes payable and other debt was $464.0 million and the corresponding fair value was $452.5 million. The fair value of debt is calculated by discounting the future cash flows of the debt at rates based on instruments with similar risk, terms and maturities as compared to the Company's existing debt arrangements, and is classified as a Level 3 measurement in the fair value hierarchy.
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Notes Payable and Other Debt |
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Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notes Payable and Other Debt | Notes Payable and Other Debt As of September 30, 2024 and December 31, 2023, notes payable and other debt consisted of the following (dollars in thousands):
On April 15, 2024, the Company entered into an agreement (the "Prudential Agreement") with PGIM, Inc. and its affiliates ("Prudential") for an unsecured note purchase and private shelf facility that enables the Company to issue notes in an aggregate amount up to $300.0 million, less the sum of all principal amounts then outstanding on any notes issued by the Company or any of its subsidiaries to Prudential and the amounts of any notes that are committed under the Prudential Agreement for a period of three years from execution of the agreement. In addition, on April 15, 2024, the Company issued a $60.0 million note (the "Series M Note") under the Prudential Agreement, and used proceeds from the note to pay off the debt secured by Laulani Village that matured on May 1, 2024. The Series M Note has a coupon rate of 6.09%, paid semiannually, and matures in full on April 15, 2032. On October 17, 2024, the Company entered into a Fourth Amended and Restated Credit Agreement with Bank of America N.A, as administrative agent, First Hawaiian Bank, KeyBank National Association, Wells Fargo Bank, National Association, and other lenders party thereto, which amended and restated the existing $500.0 million committed revolving credit facility ("A&B Revolver"). The Fourth Amended and Restated Credit Agreement decreased the total revolving commitment to $450.0 million extended the term of the facility to October 2028 with two six-month extension options, and amended certain covenants.
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Derivative Instruments |
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Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments | Derivative Instruments The Company is exposed to interest rate risk related to its variable-rate interest debt. From time to time, the Company may use interest rate swaps to manage its exposure to interest rate risk. Cash Flow Hedges of Interest Rate Risk As of September 30, 2024, the Company had three interest rate swap agreements, all three of which were designated as cash flow hedges. The key terms are as follows (dollars in thousands):
The asset related to the interest rate swap and liabilities related to the interest rate swap and forward interest rate swap as of September 30, 2024 and December 31, 2023, are presented within Prepaid expenses and other assets and Accrued and other liabilities, respectively, in the condensed consolidated balance sheets. Changes in fair value of designated cash flow hedges are recorded in Accumulated other comprehensive income (loss) and subsequently reclassified into interest expense as interest is incurred on the related variable-rate debt. Changes in fair value of undesignated cash flow hedges, including de-designated hedges, are recorded in Interest and other income (expense), net. In 2022, the Company entered into two forward starting interest rate swap agreements with notional amounts of $57.0 million and $73.0 million in order to hedge interest rate fluctuations related to $130.0 million of future financing aligned with the effective and maturity dates listed. The Company designated the hedging relationships of these two forward interest swap agreements as cash flow hedges at their inception. In December 2023, the Company de-designated the forward interest swap agreements as it was determined that underlying cash flows related to the designated hedging relationships were no longer probable of occurring. As a result, for the year ended December 31, 2023, the Company reclassified from Accumulated other comprehensive income (loss) and recognized in Interest and other income (expense), net a $2.7 million loss related to the fair value adjustment of the de-designated hedging relationships. Subsequent changes in fair value of the forward interest rate swaps were recorded in earnings until, on February 29, 2024, the Company re-designated the hedging relationships of both forward interest rate swaps in anticipation of future financing. The Company recorded a gain on forward interest rate swap valuation adjustment of $3.7 million during the nine months ended September 30, 2024, that occurred prior to the date of re-designation. Cash settlements related to the $57.0 million notional amount interest rate swap began on May 1, 2024. As of September 30, 2024, there was one forward-starting interest rate swap remaining. Statement of Comprehensive Income (Loss) Derivative Instruments Impact The following table represents the pre-tax effect of the derivative instruments in the Company's condensed consolidated statements of comprehensive income (loss) during the three and nine months ended September 30, 2024 and 2023, (in thousands):
As of September 30, 2024, the Company expects to reclassify $1.9 million of net losses on derivative instruments from accumulated other comprehensive income to earnings during the next 12 months.
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Commitments and Contingencies |
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Sep. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments and other financial arrangements Bonds related to the Company's real estate activities totaled $17.0 million as of September 30, 2024, and represent commercial bonds issued by third party sureties (permit, subdivision, license and notary bonds). If drawn upon, the Company would be obligated to reimburse the surety that issued the bond for the amount of the bond, reduced for the work completed to date. Legal proceedings and other contingencies Prior to the sale of approximately 41,000 acres of agricultural land on Maui to Mahi Pono Holdings, LLC ("Mahi Pono") in December 2018, the Company, through East Maui Irrigation Company, LLC ("EMI"), also owned approximately 16,000 acres of watershed lands in East Maui and held four water licenses to approximately 30,000 acres owned by the State of Hawai‘i in East Maui. The sale to Mahi Pono included the sale of a 50% interest in EMI (which closed February 1, 2019), and provided for the Company and Mahi Pono, through EMI, to jointly continue the existing process to secure a long-term lease from the State for delivery of irrigation water to Mahi Pono for use in Central Maui. The last of these water license agreements expired in 1986, and all four agreements were then extended as revocable permits that were renewed annually. In 2001, a request was made to the State Board of Land and Natural Resources (the "BLNR") to replace these revocable permits with a long-term water lease. Pending the completion by the BLNR of a contested case hearing it ordered to be held on the request for the long-term lease, the BLNR has kept the existing permits on a holdover basis. Three parties (Healoha Carmichael; Lezley Jacintho; and Na Moku Aupuni O Ko‘olau Hui) filed a lawsuit on April 10, 2015, (the "Initial Lawsuit") alleging that the BLNR has been renewing the revocable permits annually rather than keeping them in holdover status. The lawsuit challenged the BLNR’s decision to continue the revocable permits for calendar year 2015 and asked the court to void the revocable permits and to declare that the renewals were illegally issued without preparation of an environmental assessment ("EA"). In December 2015, the BLNR decided to reaffirm its prior decisions to keep the permits in holdover status. This decision by the BLNR was challenged by the three parties. In January 2016, the court ruled in the Initial Lawsuit that the renewals were not subject to the EA requirement, but that the BLNR lacked legal authority to keep the revocable permits in holdover status beyond one year (the "Initial Ruling"). The Initial Ruling was appealed to the Intermediate Court of Appeals ("ICA") of the State of Hawai‘i. In May 2016, while the appeal of the Initial Ruling was pending, the Hawai‘i State Legislature passed House Bill 2501, which specified that the BLNR has the legal authority to issue holdover revocable permits for the disposition of water rights for a period not to exceed three years. The governor signed this bill into law as Act 126 in June 2016. Pursuant to Act 126, the annual authorization of the existing holdover permits was sought and granted by the BLNR in December 2016, November 2017 and November 2018 for calendar years 2017, 2018, and 2019. No extension of Act 126 was approved by the Hawai‘i State Legislature in 2019. In June 2019, the ICA vacated the Initial Ruling, effectively reversing the determination that the BLNR lacked authority to keep the revocable permits in holdover status beyond one year (the "ICA Ruling"). The ICA remanded the case back to the trial court to determine whether the holdover status of the permits was both (a) "temporary" and (b) in the best interest of the State, as required by statute. The plaintiffs filed a motion with the ICA for reconsideration of its decision, which was denied on July 5, 2019. On September 30, 2019, the plaintiffs filed a request with the Supreme Court of Hawai‘i to review and reverse the ICA Ruling. On November 25, 2019, the Supreme Court of Hawai‘i granted the plaintiffs' request to review the ICA Ruling and, on May 5, 2020, oral argument was held. On October 11, 2019, the BLNR took up the renewal of all the existing water revocable permits in the state, acting under the ICA Ruling, and approved the continuation of the four East Maui water revocable permits for another one-year period through December 31, 2020. On November 13, 2020, the BLNR approved another renewal of such permits through December 31, 2021. On March 2, 2022, the Supreme Court of Hawai’i vacated the ICA’s ruling relating to the BLNR's decision to continue the revocable permits for the calendar year 2015, holding that Hawaii Revised Statutes Chapter 343 (the Hawaii Environmental Policy Act) did apply to the permits. The court remanded the matter back to the Circuit Court to determine if any exceptions would apply and, if not, how HRS Chapter 343 should be applied in light of the steps taken by A&B/EMI toward the long-term water lease. The Supreme Court of Hawai’i also determined that the BLNR had the statutory authority to continue the permits for more than one year, but required the BLNR to make findings of fact and conclusions of law determining that the action would serve the best interests of the State. On remand, the Carmichael Plaintiffs filed a motion for partial summary judgment asking the Circuit Court to conclude that the BLNR and A&B/EMI violated HRS Chapter 343 when the BLNR continued the revocable permits for calendar year 2015. On December 21, 2023, the Circuit Court entered its order granting in part and denying in part the motion for partial summary judgment, determining that the BLNR and A&B/EMI had violated HRS Chapter 343 when the BLNR continued the revocable permits for calendar year 2015, but denying the plaintiffs’ request for a declaration that A&B/EMI had no authority to divert any water until a final environmental impact statement had been accepted. Also on remand, the Carmichael Plaintiffs sought and were granted leave to file an amended complaint asserting a claim for unjust enrichment against A&B/EMI. The plaintiffs assert that they had a superior right to the water diverted by EMI from at least 2015 until September 2021 when BLNR accepted the final environmental impact statement for the long-term water lease, and EMI lacked the authority to divert water during that time period. In December 2023, the Carmichael Plaintiffs filed their amended complaint. In the companion case brought by Na Moku Aupuni O Ko‘olau Hui challenging the BLNR’s decision to continue the revocable permits for calendar year 2016, Na Moku filed a motion asking for a decision on appeal and requesting that the Circuit Court limit the current diversion of water pursuant to the revocable permits and order the BLNR to allow Na Moku to intervene in the contested case hearing ordered by the Circuit Court in the Sierra Club litigation addressed below. On January 2, 2024, the Circuit Court entered its order granting Na Moku’s request to invalidate the BLNR’s decision reaffirming the holdover status of the revocable permits for calendar year 2016 and denying Na Moku’s request to (1) impose a cap on the current amount of water diverted pursuant to the revocable permits, (2) order the BLNR to allow Na Moku to intervene in Sierra Club’s contested case hearing; and (3) declare that A&B/EMI had no legal authority to divert water pursuant to then-valid revocable permits. In January 2024, the circuit court entered final judgment in this case. In a separate matter, on December 7, 2018, a contested case request filed by the Sierra Club (contesting the BLNR's November 2018 approval of the 2019 revocable permits) was denied by the BLNR. On January 7, 2019, the Sierra Club filed a lawsuit in the circuit court of the first circuit in Hawai‘i against the BLNR, A&B and EMI, seeking to invalidate the 2019 and 2020 holdovers of the revocable permits for, among other things, failure to perform an EA. The lawsuit also sought to enjoin A&B/EMI from diverting more than 25 million gallons a day until a permit or lease is properly issued by the BLNR, and for the imposition of certain conditions on the revocable permits by the BLNR. The count seeking to invalidate the revocable permits based on the failure to perform an EA was dismissed by the court, based on the ICA Ruling in the Initial Lawsuit. The Sierra Club’s lawsuit was amended to include a challenge to the BLNR’s renewal of the revocable permits for calendar year 2020. After a full trial on the merits held beginning in August of 2020, the court ruled, on April 6, 2021, against the Sierra Club on its lawsuit challenging the 2019 and 2020 revocable permits. On February 17, 2022, the Sierra Club filed its notice of appeal challenging the decision on the August 2020 trial. The court separately considered a lawsuit filed by the Sierra Club appealing the BLNR’s decision to deny it a contested case hearing on the 2021 revocable permits, which were granted by the BLNR on or about November 13, 2020. In that case, on May 28, 2021, the court issued an interim decision that the Sierra Club’s due process rights were violated, ordered the BLNR to hold a contested case hearing on the 2021 permits, and that the permits would be vacated. On July 30, 2021, the court modified its ruling to say that the permits would not be invalidated, but left in place pending the outcome of the contested case hearing. The contested case hearing was held by the BLNR in December 2021 to address the continuation of the revocable permits for both calendar years 2021 and 2022 and the BLNR issued a decision on June 30, 2022. On December 27, 2021, while the BLNR’s decision in the contested case hearing was pending, the court further modified its ruling to allow the permits to remain in place until the earlier of May 1, 2022, the date on which the BLNR renders a substantive decision on the continuation of the permits for calendar year 2022, or further order of the court. On April 26, 2022, the court orally granted an extension of the May 1, 2022 deadline to the earlier of June 15, 2022, or the date on which the BLNR renders a substantive decision on the continuation of the permits for calendar year 2022, or as may be further ordered by the court. On June 1, 2022, the court granted an extension of the June 15, 2022 deadline to the earlier of July 15, 2022 or the date on which the BLNR renders a substantive decision on the continuation of the permits for calendar year 2022 or as may be further ordered by the court. On June 30, 2022, the BLNR issued its final decision on the contested case hearing on the permits for calendar years 2021 and 2022, approving the continuation of the permits through the end of calendar year 2022. The Company and the BLNR appealed the court’s determination that the Sierra Club was entitled to a contested case hearing on the 2021 revocable permits. At the request of the Sierra Club, the Intermediate Court of Appeals held oral argument on the matter on December 13, 2023. On April 12, 2024, the ICA issued its opinion holding that the Sierra Club was not entitled to a contested case hearing, the circuit court erred by modifying the permits, and the Sierra Club was not entitled to attorneys’ fees and costs. The Sierra Club filed an application with the Supreme Court of Hawai’i for a writ of certiorari challenging the ICA’s opinion. On July 11, 2024, the Supreme Court of Hawai’i entered its order accepting Sierra Club's application for a writ of certiorari. In July 2022, the Sierra Club filed a separate appeal challenging the BLNR’s June 30, 2022 decision on the contested case hearing on the permits for calendar years 2021 and 2022. On March 31, 2023, the court entered its decision on appeal, dismissing the appeal as moot. On January 29, 2024, the court entered final judgment in this case. On February 8, 2024, the Sierra Club filed a notice of appeal with the Hawaii Intermediate Court of Appeals. On November 10, 2022, the BLNR voted to continue the revocable permits for calendar year 2023 and, at that same meeting, denied the Sierra Club’s oral request for a contested case hearing. The Sierra Club subsequently submitted a written request to the BLNR for a contested case hearing on the continuation of the revocable permits, which the BLNR denied on December 9, 2022. On November 29, 2022, the Sierra Club filed an appeal of the BLNR’s decisions to deny its oral request for a contested case hearing and to continue the revocable permits for 2023 and on December 15, 2022, the Sierra Club amended its appeal to also challenge the BLNR’s denial of its written request for a contested case hearing. On June 16, 2023, the Circuit Court entered its Decision on Appeal; and Interim Modification of Permits Pursuant to HRS 91-14(g) in which the court concluded that the Sierra Club was again entitled to a contested case hearing on the continuation of the revocable permits for calendar year 2023. The court also modified the BLNR’s decision to continue the revocable permits by reducing the cap to 31.5 million gallons per day. A&B/EMI filed motions to increase the modified cap and for leave to take an immediate appeal. On August 11, 2023, the court entered its order denying A&B/EMI’s motion for leave to take an immediate appeal. On September 8, 2023, the court entered its ruling denying without prejudice A&B/EMI’s motion to increase the modified cap. On August 17, 2023, Sierra Club filed its First Motion to Modify Permits, asking the court to impose conditions on the revocable permits requiring A&B/EMI to determine the water needs of the County of Maui Fire Department and to line one reservoir, which the court granted in part, ordering the parties to meet with the County of Maui Fire Department to discuss the Department’s water needs. In January 2024, the court entered final judgment in this case. In February 2024, A&B/EMI and BLNR filed separate notices of appeal with the Hawaii Intermediate Court of Appeals. On December 8, 2023, the BLNR issued a new revocable permit to the Company for calendar year 2024. On that same date, after the BLNR voted to grant the new revocable permit to the Company, Sierra Club made an oral request for a contested case hearing and, on December 18, 2023, filed a written request for the same. The BLNR has not decided on Sierra Club’s requests for a contested case hearing. In connection with A&B’s obligation to continue the existing process to secure a long-term water lease from the State, A&B and EMI will defend against the remaining claims made by the Sierra Club. In addition to the litigation described above, the Company is a party to, or may be contingently liable in connection with, other legal actions arising in the normal conduct of its businesses. While the outcomes of such litigation and claims cannot be predicted with certainty, in the opinion of management after consultation with counsel, the reasonably possible losses would not have a material effect on the Company's consolidated financial statements as a whole. Further note that certain of the Company's properties and assets may become the subject of other types of claims and assessments at various times (e.g., environmental matters based on normal operations of such assets). Depending on the facts and circumstances surrounding such potential claims and assessments, the Company records an accrual if it is deemed probable that a liability has been incurred and the amount of loss can be reasonably estimated/valued as of the date of the financial statements.
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Revenue and Contract Balances |
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Revenue and Contract Balances | Revenue and Contract Balances The Company generates revenue through its Commercial Real Estate and Land Operations segments. Through its Commercial Real Estate segment, the Company owns and operates a portfolio of commercial real estate properties and generates income (i.e., revenue) as a lessor through leases of such assets. Refer to Note 10 – Leases - The Company as a Lessor for further discussion of lessor income recognition. The Land Operations segment generates revenue from contracts with customers. The Company further disaggregates revenue from contracts with customers by revenue type when appropriate if the Company believes disaggregation best depicts how the nature, amount, timing, and uncertainty of the Company's revenue and cash flows are affected by economic factors. Revenue by type for the three and nine months ended September 30, 2024 and 2023, was as follows (in thousands):
The following table provides information about receivables, contract assets and contract liabilities from contracts with customers as of September 30, 2024 and December 31, 2023 (in thousands):
For the three and nine months ended September 30, 2024, the Company recognized $0.1 million in revenue related to the Company's variable consideration and other deferred revenue reported as of December 31, 2023.
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Leases - The Company as a Lessor |
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Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases - The Company as a Lessor | Leases - The Company as a Lessor The Company leases real estate property to tenants under operating leases. Such activity is primarily composed of operating leases within its CRE segment. The historical cost of, and accumulated depreciation on, leased property as of September 30, 2024, and December 31, 2023, were as follows (in thousands):
Total rental income (i.e., revenue) under these operating leases during the three and nine months ended September 30, 2024 and 2023, relating to lease payments and variable lease payments were as follows (in thousands):
Contractual future lease payments to be received on non-cancelable operating leases as of September 30, 2024, were as follows (in thousands):
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Leases - The Company as a Lessee |
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Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases - The Company as a Lessee | Leases - The Company as a Lessee There have been no material changes from the Company's leasing activities as a lessee described in Note 13 to the consolidated financial statements included in Item 8 of the Company's 2023 Form 10-K. The following table provides information about the Company's operating lease costs and finance lease costs recognized during the three and nine months ended September 30, 2024 and 2023, (in thousands):
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Leases - The Company as a Lessee | Leases - The Company as a Lessee There have been no material changes from the Company's leasing activities as a lessee described in Note 13 to the consolidated financial statements included in Item 8 of the Company's 2023 Form 10-K. The following table provides information about the Company's operating lease costs and finance lease costs recognized during the three and nine months ended September 30, 2024 and 2023, (in thousands):
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Share-based Payment Awards |
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Share-based Payment Awards | Share-based Payment Awards The 2022 Incentive Compensation Plan ("2022 Plan") allows for the granting of stock options, stock appreciation rights, stock awards, restricted stock units, dividend equivalent rights, and other awards. The shares of common stock authorized to be issued under the 2022 Plan are to be drawn from the shares of the Company's authorized but unissued common stock or from shares of its common stock that the Company acquired, including shares purchased on the open market or private transactions. During the nine months ended September 30, 2024, the Company granted approximately 356,500 of restricted stock unit awards with a weighted average grant date fair value of $17.73. During the nine months ended September 30, 2023, the Company granted approximately 403,400 of restricted stock unit awards with a weighted average grant date fair value of $21.82. The fair value of the Company's time-based and performance-based awards was determined using the Company's stock price on the grant date. The fair value of the Company's market-based awards was estimated using the Company's stock price on the date of grant and the probability of vesting using a Monte Carlo simulation. The Monte Carlo simulation was performed with the following weighted-average assumptions:
The Company recognizes compensation cost net of actual forfeitures of time-based or market-based awards. A summary of compensation cost related to share-based payments is as follows (in thousands):
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Income Taxes |
9 Months Ended |
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Sep. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company has been organized and operates in a manner that enables it to qualify, and management believes it will continue to qualify, as a REIT for federal income tax purposes. As of September 30, 2024, tax years 2020 and later are open to audit by the tax authorities. Management believes the result of any potential audits will not have a material adverse effect on its results of operations, financial condition, or liquidity.
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Earnings Per Share (“EPS”) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share (“EPS”) | Earnings Per Share ("EPS") Basic earnings per common share excludes dilution and is calculated by dividing net earnings allocated to common shares by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share is calculated by dividing net earnings allocated to common shares by the weighted-average number of common shares outstanding for the period, as adjusted for the potential dilutive effect of non-participating share-based awards as well as adjusted by the number of additional shares, if any, that would have been outstanding had the potentially dilutive common shares been issued. The following table provides a reconciliation of income (loss) from continuing operations to net income (loss) from continuing operations available to A&B common shareholders and net income (loss) available to A&B common shareholders (in thousands):
The number of shares used to compute basic and diluted earnings per share is as follows (in thousands):
The number of anti-dilutive securities, excluded from the calculation of diluted earnings per common share, consisted of the following (in thousands):
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Accumulated Other Comprehensive Income (Loss) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) For the nine months ended September 30, 2024, other comprehensive income (loss) principally includes unrealized interest rate hedging gains and losses and associated reclassification adjustments to interest expense. The components of Accumulated other comprehensive income (loss), net of taxes, were as follows as of September 30, 2024, and December 31, 2023, (in thousands):
The changes in Accumulated other comprehensive income (loss) by component for the nine months ended September 30, 2024, were as follows (in thousands, net of taxes):
1 Amounts reclassified from Accumulated other comprehensive income (loss) related to interest rate swap settlements are presented as an adjustment to Interest expense in the Condensed Consolidated Statements of Operations. Amounts reclassified from Accumulated other comprehensive income (loss) related to employee benefit plan items are presented as part of Interest and other income (expense), net in the Condensed Consolidated Statements of Operations.
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Segment Results |
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Results | Segment Results Operating segments are components of an enterprise that engage in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the chief operating decision maker (its Chief Executive Officer) to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. The Company operates and reports on two segments: Commercial Real Estate and Land Operations. Reportable segment information for the three and nine months ended September 30, 2024 and 2023, is summarized below (in thousands):
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Held for Sale and Discontinued Operations |
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Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Held for Sale and Discontinued Operations | Held for Sale and Discontinued Operations Held for Sale In November 2023, the Company entered into a disposition agreement with an unrelated third party for the sale of Waipouli Town Center, a retail property within the Commercial Real Estate segment. The transaction is structured to qualify as a like-kind exchange under section §1031 of the Internal Revenue Code of 1986, as amended (the "Code"). In order to allow time for the Company to identify suitable replacement property, the Company had up to one year from the agreement execution date to close the transaction, at its option. The Company determined that the property met the criteria to be classified as held for sale as of the agreement execution date of November 15, 2023, but would not be considered discontinued operations as it neither represents a strategic shift, nor will it have a material impact on the Company's operations and financial results. On October 21, 2024, the Company completed the disposition of Waipouli Town Center. Assets associated with Waipouli Town Center are presented in the Condensed Consolidated Balance Sheets as Assets held for sale as of September 30, 2024, and December 31, 2023. Liabilities associated with assets held for sale are presented in Accrued and other liabilities, as of September 30, 2024, and December 31, 2023. The following table presents information related to the major classes of assets and liabilities that were classified as held for sale in the Condensed Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023, (in thousands):
Discontinued Operations Income (loss) from discontinued operations for the three and nine months ended September 30, 2023, primarily relates to Grace Pacific and the Company-owned quarry land on Maui (collectively, the “Grace Disposal Group”), which was sold in November 2023. Income (loss) from discontinued operations for the three and nine months ended September 30, 2024, primarily relates to the resolution of cessation related claim liabilities associated with the Company's former sugar operations in the amount of $0.2 million and $3.2 million recognized during the three and nine months ended September 30, 2024, respectively. The following table summarizes income (loss) from discontinued operations included in the Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2024 and 2023, (in thousands):
During the nine months ended September 30, 2024, the Company recorded no additional fair value adjustment related to assets and liabilities held for sale. Related Party Transactions within Discontinued Operations and Held for Sale: Related to the Grace Disposal Group, the Company entered into contracts in the ordinary course of business, as a supplier, with affiliate entities that required accounting under the equity method due to the Company's financial interests in such entities and also with affiliate parties that are members in entities in which the Company also was a member and held a controlling financial interest. Related to the periods during which such relationships existed, revenues earned from transactions with such affiliates were $5.1 million for the three months ended September 30, 2023, and $13.2 million for the nine months ended September 30, 2023. Expenses recognized from transactions with such affiliates were $0.9 million for the three months ended September 30, 2023, and $4.4 million for the nine months ended September 30, 2023. Due to the sale of the Grace Disposal Group in November 2023, these relationships no longer exist and consequently, for the three and nine months ended September 30, 2024, there were no revenues earned or expenses recognized from transactions with such affiliates.
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Pay vs Performance Disclosure - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
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Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
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Pay vs Performance Disclosure | ||||
Net Income (Loss) Attributable to Parent | $ 19,004 | $ 14,649 | $ 48,094 | $ 33,318 |
Insider Trading Arrangements |
3 Months Ended | 9 Months Ended |
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Sep. 30, 2024
shares
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Sep. 30, 2024
shares
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Trading Arrangements, by Individual | ||
Non-Rule 10b5-1 Arrangement Adopted | false | |
Rule 10b5-1 Arrangement Terminated | false | |
Non-Rule 10b5-1 Arrangement Terminated | false | |
Meredith J. Ching [Member] | ||
Trading Arrangements, by Individual | ||
Material Terms of Trading Arrangement | On August 15, 2024, Meredith J. Ching, the Company's Executive Vice President of External Affairs, entered into a 10b5-1 trading plan intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act, providing for the potential sale of up to 10,525 shares of the Company's common stock and will remain in effect until the earlier of (1) January 31, 2026; or (2) the date on which an aggregate of 10,525 shares of common stock have been sold under the trading plan. In no event shall shares of the Company's common stock be sold under the trading plan prior to November 15, 2024. As of the date of this report, none of the shares were sold and no other adjustments were made to the trading plan during the quarterly period covered by this report. | |
Name | Meredith J. Ching | |
Title | Executive Vice President of External Affairs | |
Rule 10b5-1 Arrangement Adopted | true | |
Adoption Date | August 15, 2024 | |
Expiration Date | January 31, 2026 | |
Arrangement Duration | 534 days | |
Aggregate Available | 10,525 | 10,525 |
Significant Accounting Policies (Policies) |
9 Months Ended |
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Sep. 30, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation: The interim condensed consolidated financial statements are unaudited. Because of the nature of the Company's operations, the results for interim periods are not necessarily indicative of results to be expected for the year. While these condensed consolidated financial statements reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America ("GAAP") for complete financial statements. Therefore, the interim condensed consolidated financial statements should be read in conjunction with the consolidated balance sheets as of December 31, 2023 and 2022, and the related consolidated statements of operations, comprehensive income (loss), cash flows, and equity and redeemable noncontrolling interest for each of the three years ended December 31, 2023, 2022, and 2021, respectively, and the notes thereto included in the Company's Annual Report filed on Form 10-K for the year ended December 31, 2023 ("2023 Form 10-K"), and other subsequent filings with the U.S. Securities and Exchange Commission ("SEC").
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Reclassifications | Reclassifications: Certain amounts presented in the prior year have been reclassified to conform to the current year presentation (e.g., captions previously presented in the prior years that, in the currently presented periods, are less than five percent of total assets or total liabilities were combined in the current year condensed consolidated balance sheets). Operating lease right-of-use assets, which was previously reported separately on the condensed consolidated balance sheets, is now presented in Prepaid expenses and other assets for all periods presented. Operating lease liabilities and Liabilities associated with assets held for sale, which were previously reported separately on the condensed consolidated balance sheets, are now presented in Accrued and other liabilities for all periods presented.
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Rounding | Rounding: Amounts in the condensed consolidated financial statements and notes are rounded to the nearest thousand. Accordingly, a recalculation of some per-share amounts and percentages, if based on the reported data, may result in differences.
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Recently issued accounting pronouncements | Recently issued accounting pronouncements In October 2023, the FASB issued ASU No. 2023-06 ("ASU 2023-06"), Disclosure Improvements - Codification Amendment in Response to the SEC’s Disclosure Update and Simplification Initiative. This ASU modified the disclosure and presentation requirements of a variety of codification topics by aligning them with the SEC’s regulations. The amendments to the various topics should be applied prospectively, and the effective date will be determined for each individual disclosure based on the effective date of the SEC’s removal of the related disclosure. If the SEC has not removed the applicable requirements from Regulation S-X or Regulation S-K by June 30, 2027, then this ASU will not become effective. Early adoption is prohibited. The Company does not expect the amendments of this accounting standard update to have a material impact on its consolidated financial statements and related disclosures. In November 2023, the FASB issued ASU No. 2023-07 (“ASU 2023-07”), Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments in the ASU enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. Early adoption is permitted. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements and related disclosures. In December 2023, the FASB issued ASU No. 2023-09 (“ASU 2023-09”), Income Taxes (Topic 740): Improvement to Income Tax Disclosures to enhance the transparency and decision usefulness of income tax disclosures, primarily related to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for annual periods beginning after December 15, 2024, on a prospective basis. Early adoption is permitted. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements and related disclosures.
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Significant Accounting Policies (Tables) |
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Interest and Other Income (Expense), Net | Interest and other income (expense), net for the three and nine months ended September 30, 2024 and 2023, included the following (in thousands):
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Real Estate Asset Acquisitions (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The allocation of purchase price to assets acquired and liabilities assumed is as follows (in thousands):
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Investments in Affiliates (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Financial Information for Equity Method Investments | Operating results presented in the Company's condensed consolidated financial statements include the Company's proportionate share of net income (loss) from its equity method investments. Summarized financial information of entities accounted for by the equity method on a combined basis for the three and nine months ended September 30, 2024 and 2023, is as follows (in thousands):
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Fair Value Measurements (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables present the fair value of those assets and (liabilities) measured on a recurring basis as of September 30, 2024 and December 31, 2023, (in thousands):
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Schedule of Fair Value of the Long-Lived Assets Held-for-sale | The following table presents the fair value hierarchy and quantitative information about the significant unobservable inputs used to determine the fair value of long-lived assets held and used and assets held for sale, net for which a nonrecurring fair value adjustment was recorded (in thousands):
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Notes Payable and Other Debt (Tables) |
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Notes Payable and Other Debt | As of September 30, 2024 and December 31, 2023, notes payable and other debt consisted of the following (dollars in thousands):
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Derivative Instruments (Tables) |
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Cash Flow Hedges of Interest Rate Swaps | As of September 30, 2024, the Company had three interest rate swap agreements, all three of which were designated as cash flow hedges. The key terms are as follows (dollars in thousands):
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Schedule of Derivative Instruments in Consolidated Statements of Comprehensive Income (Loss) | The following table represents the pre-tax effect of the derivative instruments in the Company's condensed consolidated statements of comprehensive income (loss) during the three and nine months ended September 30, 2024 and 2023, (in thousands):
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Revenue and Contract Balances (Tables) |
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disaggregation of Revenue | Revenue by type for the three and nine months ended September 30, 2024 and 2023, was as follows (in thousands):
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Schedule of Contract Balances | The following table provides information about receivables, contract assets and contract liabilities from contracts with customers as of September 30, 2024 and December 31, 2023 (in thousands):
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Leases - The Company as a Lessor (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Historical Cost, and Accumulated Depreciation on Leased Property | The historical cost of, and accumulated depreciation on, leased property as of September 30, 2024, and December 31, 2023, were as follows (in thousands):
|
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Schedule of Total Rental Income Under Operating Leases | Total rental income (i.e., revenue) under these operating leases during the three and nine months ended September 30, 2024 and 2023, relating to lease payments and variable lease payments were as follows (in thousands):
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Schedule of Future Minimum Rentals on Non-cancelable Operating Leases | Contractual future lease payments to be received on non-cancelable operating leases as of September 30, 2024, were as follows (in thousands):
|
Leases - The Company as a Lessee (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Lease Cost and Other Amounts Relating to Finance and Operating Leases | The following table provides information about the Company's operating lease costs and finance lease costs recognized during the three and nine months ended September 30, 2024 and 2023, (in thousands):
|
Share-based Payment Awards (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Value Assumptions of Market-based Awards |
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Schedule of Compensation Cost Related to Share-Based Payments | The Company recognizes compensation cost net of actual forfeitures of time-based or market-based awards. A summary of compensation cost related to share-based payments is as follows (in thousands):
|
Earnings Per Share (“EPS”) (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Reconciliation of Income (Loss) and Computation of Earnings per Share | The following table provides a reconciliation of income (loss) from continuing operations to net income (loss) from continuing operations available to A&B common shareholders and net income (loss) available to A&B common shareholders (in thousands):
The number of shares used to compute basic and diluted earnings per share is as follows (in thousands):
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Schedule of Antidilutive Securities Outstanding | The number of anti-dilutive securities, excluded from the calculation of diluted earnings per common share, consisted of the following (in thousands):
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Accumulated Other Comprehensive Income (Loss) (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Components of Accumulated Other Comprehensive Income (Loss), Net of Taxes | The components of Accumulated other comprehensive income (loss), net of taxes, were as follows as of September 30, 2024, and December 31, 2023, (in thousands):
The changes in Accumulated other comprehensive income (loss) by component for the nine months ended September 30, 2024, were as follows (in thousands, net of taxes):
1 Amounts reclassified from Accumulated other comprehensive income (loss) related to interest rate swap settlements are presented as an adjustment to Interest expense in the Condensed Consolidated Statements of Operations. Amounts reclassified from Accumulated other comprehensive income (loss) related to employee benefit plan items are presented as part of Interest and other income (expense), net in the Condensed Consolidated Statements of Operations.
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Segment Results (Tables) |
9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Operating Segment Information | Reportable segment information for the three and nine months ended September 30, 2024 and 2023, is summarized below (in thousands):
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Held for Sale and Discontinued Operations (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disposal Groups Including Discontinued Operations | The following table presents information related to the major classes of assets and liabilities that were classified as held for sale in the Condensed Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023, (in thousands):
The following table summarizes income (loss) from discontinued operations included in the Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2024 and 2023, (in thousands):
|
Background and Basis of Presentation (Details) ft² in Millions |
9 Months Ended | |
---|---|---|
Sep. 30, 2024
a
ft²
segment
property
|
Dec. 31, 1870
a
|
|
Property, Plant and Equipment [Line Items] | ||
Area of land (in acres) | a | 571 | |
Number of operating segments | segment | 2 | |
Number of reportable segments | segment | 2 | |
Gross leasable area (in sqft) | ft² | 4 | |
Area of ground leases owned (acres) | a | 142 | |
Retail centers | ||
Property, Plant and Equipment [Line Items] | ||
Number of properties | 22 | |
Industrial assets | ||
Property, Plant and Equipment [Line Items] | ||
Number of properties | 14 | |
Office properties | ||
Property, Plant and Equipment [Line Items] | ||
Number of properties | 4 |
Significant Accounting Policies (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Accounting Policies [Abstract] | ||||
Interest income | $ 965 | $ 84 | $ 1,708 | $ 277 |
Post-retirement benefit (expense) | (107) | 130 | (320) | (215) |
Gain (loss) on fair value adjustments related to interest rate swaps | 0 | 0 | 3,675 | 0 |
Financing charges | 0 | 0 | (2,350) | 0 |
Other income (expense), net | (4) | (69) | (61) | (58) |
Interest and other income (expense), net | $ 854 | $ 145 | $ 2,652 | $ 4 |
Real Estate Asset Acquisitions - Narrative (Details) $ in Millions |
9 Months Ended |
---|---|
Sep. 30, 2024
USD ($)
property
| |
In-place lease | |
Real Estate [Line Items] | |
Weighted-average amortization period of in-place/favorable leases (in years) | 12 years 9 months 18 days |
Real Estate Acquisitions | |
Real Estate [Line Items] | |
Number of commercial real estate assets purchased | property | 1 |
Purchase consideration | $ | $ 29.8 |
Real Estate Asset Acquisitions - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Assets acquired: | ||
Total assets | $ 1,650,002 | $ 1,646,241 |
Liabilities: | ||
Total liabilities | 651,820 | $ 643,230 |
Real Estate Acquisitions | ||
Assets acquired: | ||
Land | 8,723 | |
Property and improvements | 20,978 | |
In-place leases | 1,051 | |
Total assets | 30,752 | |
Liabilities: | ||
Unfavorable leases | 926 | |
Total liabilities | 926 | |
Net assets acquired | $ 29,826 |
Investments in Affiliates - Schedule of Financial Information for Equity Method Investments (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Income Statement | ||||
Revenues | $ 61,944 | $ 52,495 | $ 174,193 | $ 156,001 |
Operating costs and expenses | 39,881 | 35,508 | 114,261 | 109,720 |
Income (loss) from continuing operations | 19,379 | 12,005 | 51,449 | 32,306 |
Net income (loss) | 19,004 | 14,649 | 48,094 | 33,318 |
Equity Method Investments | ||||
Income Statement | ||||
Revenues | 38,967 | 41,351 | 124,003 | 119,980 |
Operating costs and expenses | 32,439 | 36,077 | 107,126 | 106,180 |
Gross Profit (Loss) | 6,528 | 5,274 | 16,877 | 13,800 |
Income (loss) from continuing operations | 10,664 | 1,149 | 11,715 | 322 |
Net income (loss) | $ 10,664 | $ 1,149 | $ 11,715 | $ 322 |
Investments in Affiliates - Narrative (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Equity Method Investments and Joint Ventures [Abstract] | ||||
Income (loss) related to joint ventures | $ 2,142 | $ 950 | $ 3,836 | $ 1,879 |
Dividends and distributions from unconsolidated affiliates | $ 800 | $ 0 |
Notes Payable and Other Debt - Narrative (Details) |
Oct. 17, 2024
USD ($)
segment
|
Apr. 15, 2024
USD ($)
|
Sep. 30, 2024
USD ($)
option
|
---|---|---|---|
Prudential Agreement | Unsecured | |||
Debt Instrument [Line Items] | |||
Face amount | $ 300,000,000.0 | ||
Debt instrument, term (in years) | 3 years | ||
Series M Note | Unsecured | |||
Debt Instrument [Line Items] | |||
Face amount | $ 60,000,000.0 | ||
Stated interest rate (as percent) | 6.09% | ||
A&B Revolver | Revolving Credit Facilities: | |||
Debt Instrument [Line Items] | |||
Borrowing capacity | $ 500,000,000.0 | ||
Number of extension options | option | 2 | ||
A and B Revolver Due 2028 | Revolving Credit Facilities: | Subsequent Event | |||
Debt Instrument [Line Items] | |||
Borrowing capacity | $ 450,000,000.0 | ||
Number of extension options | segment | 2 | ||
Term of extension options (in months) | 6 months |
Derivative Instruments - Schedule of Cash Flow Hedges of Interest Rate Swaps (Details) - Cash Flow Hedging - Designated as Hedging Instrument - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
Dec. 31, 2022 |
---|---|---|---|
Interest Rate Swap, Effective April 07, 2016 | |||
Derivative [Line Items] | |||
Fixed interest rate (as percent) | 3.14% | ||
Notional amount | $ 51,345 | ||
Fair value of interest rate derivative asset | $ 3,065 | $ 4,142 | |
Interest Rate Swap, Effective May 1, 2024 | |||
Derivative [Line Items] | |||
Fixed interest rate (as percent) | 4.88% | ||
Notional amount | $ 57,000 | $ 57,000 | |
Fair value of interest rate derivative liability | $ (1,443) | (1,144) | |
Forward-Starting Interest Rate Swap, Effective December 9, 2024 | |||
Derivative [Line Items] | |||
Fixed interest rate (as percent) | 4.83% | ||
Notional amount | $ 73,000 | $ 73,000 | |
Fair value of interest rate derivative liability | $ (1,863) | $ (1,574) |
Derivative Instruments - Schedule of Derivative Instruments in Consolidated Statements of Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivatives | $ (6,818) | $ 7,540 | $ (3,918) | $ 8,044 |
Impact of reclassification adjustment to interest expense included in Net Income (Loss) | 449 | 442 | 1,391 | 1,239 |
Cash Flow Hedging | Designated as Hedging Instrument | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivatives | (6,818) | 7,540 | (3,918) | 8,044 |
Impact of reclassification adjustment to interest expense included in Net Income (Loss) | $ (449) | $ (442) | $ (1,391) | $ (1,239) |
Revenue and Contract Balances - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Disaggregation of Revenue [Line Items] | ||||
Total operating revenue | $ 61,944 | $ 52,495 | $ 174,193 | $ 156,001 |
Commercial Real Estate | ||||
Disaggregation of Revenue [Line Items] | ||||
Commercial Real Estate | 49,381 | 48,232 | 147,477 | 145,635 |
Land Operations | ||||
Disaggregation of Revenue [Line Items] | ||||
Land Operations | 12,563 | 4,263 | 26,716 | 10,366 |
Land Operations | Development sales revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Land Operations | 1,853 | 0 | 5,989 | 0 |
Land Operations | Unimproved/other property sales revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Land Operations | 10,557 | 4,025 | 20,182 | 8,075 |
Land Operations | Other operating revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Land Operations | $ 153 | $ 238 | $ 545 | $ 2,291 |
Revenue and Contract Balances - Schedule of Contract Balances (Details) - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Revenue from Contract with Customer [Abstract] | ||
Accounts receivable | $ 5,050 | $ 7,421 |
Allowances (credit losses and doubtful accounts) | (1,549) | (2,888) |
Accounts receivable, net of allowance for credit losses and allowance for doubtful accounts | 3,501 | 4,533 |
Variable consideration | 62,000 | 62,000 |
Prepaid rent | 7,163 | 4,985 |
Other deferred revenue | 3,336 | 3,368 |
Deferred revenue | $ 72,499 | $ 70,353 |
Revenue and Contract Balances - Narrative (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended |
---|---|---|
Sep. 30, 2024 |
Sep. 30, 2024 |
|
Revenue from Contract with Customer [Abstract] | ||
Revenue recognized related to contract liabilities | $ 0.1 | $ 0.1 |
Leases - The Company as a Lessor - Schedule of Historical Cost and Accumulated Depreciation of Leased Property (Details) - Leased property - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Lessor, Lease, Description [Line Items] | ||
Leased property - real estate | $ 1,646,929 | $ 1,607,919 |
Less: accumulated depreciation | (250,721) | (228,714) |
Property under operating leases - net | $ 1,396,208 | $ 1,379,205 |
Leases - The Company as a Lessor - Schedule of Total Rental Income Under Operating Leases (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Leases [Abstract] | ||||
Lease payments | $ 33,941 | $ 33,449 | $ 101,118 | $ 100,577 |
Variable lease payments | 15,875 | 15,250 | 47,626 | 46,317 |
Revenues deemed uncollectible, net | (363) | (321) | (960) | (821) |
Total rental income | $ 49,453 | $ 48,378 | $ 147,784 | $ 146,073 |
Leases - The Company as a Lessor - Schedule of Future Minimum Rentals on Non-cancelable Operating Leases as Lessor (Details) $ in Thousands |
Sep. 30, 2024
USD ($)
|
---|---|
Future minimum rentals on non-cancelable leases | |
2024 | $ 33,868 |
2025 | 129,964 |
2026 | 116,381 |
2027 | 103,196 |
2028 | 86,798 |
2029 | 68,848 |
Thereafter | 547,966 |
Total future lease payments to be received | $ 1,087,021 |
Leases - The Company as a Lessee (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Leases [Abstract] | ||||
Operating lease cost | $ 483 | $ 448 | $ 1,431 | $ 1,517 |
Amortization of right-of-use assets | 73 | 44 | 217 | 129 |
Interest on lease liabilities | 47 | 50 | 142 | 102 |
Total lease cost - operating and finance leases | $ 603 | $ 542 | $ 1,790 | $ 1,748 |
Share-based Payment Awards - Narrative (Details) - Time-based and market-based restricted stock units - 2022 Plan - $ / shares |
9 Months Ended | |
---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted (in shares) | 356,500 | 403,400 |
Granted (in dollars per share) | $ 17.73 | $ 21.82 |
Share-based Payment Awards - Schedule of Fair Value Assumptions of Market-based Awards (Details) - Time-based and market-based restricted stock units - 2022 Plan - Market Based Vesting |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2024 |
Dec. 31, 2023 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Volatility of A&B common stock (as percent) | 27.40% | |
Volatility of A&B common stock, minimum (as percent) | 31.80% | |
Volatility of A&B common stock, maximum (percent) | 49.10% | |
Average volatility of peer companies (as percent) | 29.90% | |
Average volatility of peer companies, minimum (as percent) | 33.60% | |
Average volatility of peer companies, maximum (percent) | 48.20% | |
Risk-free interest rate (as percent) | 4.00% | |
Risk-free interest rate, minimum (as percent) | 3.80% | |
Risk-free interest rate, maximum (percent) | 4.50% |
Share-based Payment Awards - Schedule of Compensation Cost related to Share-based Payments (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Time-based and market-based restricted stock units | 2022 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Time-based and market-based restricted stock units | $ 1,266 | $ 1,023 | $ 3,654 | $ 5,283 |
Earnings Per Share (“EPS”) - Schedule of Antidilutive Securities Outstanding (Details) - shares shares in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Earnings Per Share [Abstract] | ||||
Number of anti-dilutive securities (in shares) | 2 | 74 | 2 | 66 |
Segment Results - Narrative (Details) |
9 Months Ended |
---|---|
Sep. 30, 2024
segment
| |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Number of reportable segments | 2 |
Segment Results - Schedule of Operating Segment Information (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2024 |
Sep. 30, 2023 |
Sep. 30, 2024 |
Sep. 30, 2023 |
|
Segment Reporting Information, Profit (Loss) [Abstract] | ||||
Total operating revenue | $ 61,944 | $ 52,495 | $ 174,193 | $ 156,001 |
Total operating profit (loss) | 30,710 | 23,527 | 83,401 | 68,691 |
Interest expense | (5,680) | (6,077) | (17,119) | (16,975) |
Corporate and other expense | (5,651) | (5,445) | (14,833) | (19,410) |
Income (Loss) from Continuing Operations Before Income Taxes | 19,379 | 12,005 | 51,449 | 32,306 |
Commercial Real Estate | ||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||
Commercial Real Estate | 49,381 | 48,232 | 147,477 | 145,635 |
Total operating profit (loss) | 22,829 | 20,649 | 67,421 | 64,206 |
Land Operations | ||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||
Land Operations | 12,563 | 4,263 | 26,716 | 10,366 |
Total operating profit (loss) | $ 7,881 | $ 2,878 | $ 15,980 | $ 4,485 |
Held for Sale and Discontinued Operations - Schedule of Assets And Liabilities Held For Sale Included in Consolidated Balance Sheets (Details) - Discontinued Operations, Held-for-sale - USD ($) $ in Thousands |
Sep. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Real estate property | $ 17,592 | $ 17,556 |
Accumulated depreciation | (1,817) | (1,817) |
Real estate property, net | 15,775 | 15,739 |
Real estate intangible assets, net | 307 | 307 |
Real estate investments, net | 16,082 | 16,046 |
Prepaid expenses and other assets | 137 | 121 |
Less: Impairment recognized on classification as held for sale | (2,183) | (2,183) |
Total Assets held for sale | 14,036 | 13,984 |
Accrued and other liabilities | 55 | 55 |
Total Liabilities associated with assets held for sale | $ 55 | $ 55 |
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