Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2014

Trust Assets Measured at Fair Value on a Recurring Basis

The table below presents the Trust’s assets measured at fair value on a recurring basis as of June 30, 2014 according to the level in the fair value hierarchy within which those measurements fall (in thousands):


Recurring Basis	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Assets
Loan securities carried at fair value	$	—	$	—	$	226	$	226
Liabilities
Interest rate hedges		—		327		—		327

The table below presents the Trust’s assets measured at fair value on a recurring basis as of December 31, 2013, according to the level in the fair value hierarchy within which those measurements fall (in thousands):


Recurring Basis	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Assets
Loan securities carried at fair value	$	—	$	—	$	226	$	226
Interest rate hedges		—		316		—		316

Change in Fair Value for Financial Instruments

The table below includes a roll forward of the balance sheet amounts from January 1, 2014 to June 30, 2014 and from January 1, 2013 to June 30, 2013 including the change in fair value, for financial instruments classified by the Trust within Level 3 of the valuation hierarchy (in thousands). When a determination is made to classify a financial instrument within Level 3 of the valuation hierarchy, the determination is based upon the significance of the unobservable factors to the overall fair value measurement.


Loan Securities Carried at Fair Value	Six Months Ended June 30, 2014		Six Months Ended June 30, 2013
Fair value, January 1	$	226	$	11
Net unrealized gain		—		215

Fair value, June 30	$	226	$	226

The amount of total gains or losses for the period included in earnings attributable to the change in unrealized gains or losses relating to assets still held at the reporting date	$	—	$	215

Trust's Assets Measured at Fair Value on a Non-Recurring Basis

The table below presents the Trust’s assets measured at fair value on a non-recurring basis as of June 30, 2014, according to the level in the fair value hierarchy within which those measurements fall (in thousands):


Non-Recurring Basis	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Assets
Investments in real estate	$	—	$	—	$	22,623	$	22,623
Equity investments		—		—		11,505		11,505
Assets held for sale		—		—		2,356		2,356

	$	—	$	—	$	36,484	$	36,484

Carrying Value and Estimated Fair Value of Financial Instruments Not Recorded at Fair Value on a Recurring Basis

The carrying value and estimated fair value of financial instruments not recorded at fair value on a recurring basis but required to be disclosed at fair value were as follows (in thousands):


	June 30, 2014
					Fair value hierarchy level
	Carrying Amount		Fair Value		Level 1		Level 2		Level 3

Loans receivable	$	44,617	$	52,906	$	—	$	—	$	52,906
Secured financing receivable		30,659		30,659		—		—		30,659
Mortgage loans payable		474,107		473,788		—		—		473,788
Senior notes payable		75,072		79,727		79,727		—		—
Notes payable		1,661		1,661		—		—		1,661

	December 31, 2013
					Fair value hierarchy level
	Carrying Amount		Fair Value		Level 1		Level 2		Level 3

Loans receivable	$	101,100	$	105,045	$	—	$	—	$	105,045
Secured financing receivable		30,728		30,728		—		—		30,728
Mortgage loans payable		444,933		444,785		—		—		444,785
Senior notes payable		86,250		86,940		86,940		—		—
Secured financings		29,150		29,327		—		—		29,327
Notes payable		1,742		1,742		—		—		1,742

Trust's Financial Assets for which Fair Value Option was Elected

The following table presents as of June 30, 2014 and December 31, 2013 the Trust’s financial assets for which the fair value option was elected (in thousands):


Financial Instruments at Fair Value	June 30, 2014		December 31, 2013
Assets
Loan securities carried at fair value	$	226	$	226

	$	226	$	226

Difference Between Fair Values and Aggregate Contractual Amounts

The table below presents as of June 30, 2014 the difference between fair values and the aggregate contractual amounts due for which the fair value option has been elected (in thousands):


	Fair Value at June 30, 2014		Amount Due Upon Maturity		Difference
Assets
Loan securities carried at fair value	$	226	$	1,130	$	904

	$	226	$	1,130	$	904

- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) the reasons for electing a fair value option for each eligible item or group of similar eligible items and (b) if the fair value option is elected for some but not all eligible items within a group of similar eligible items: (i) a description of those similar items and the reasons for partial election and (ii) information of how the group of similar items relates to individual balance sheet line items; (c) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, information of how each line item in the statement of financial position relates to major categories of assets and liabilities presented in accordance with other fair value disclosures; (2) for items included in the income statement: (a) a description of how interest and dividends are measured and where they are reported in the income statement; (b) how the gains or losses attributable to changes in instrument-specific credit risk were determined; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk: (i) qualitative information about the reasons for the changes and (ii) how the gains and losses attributable to changes in instrument-specific credit risk were determined; and (3) certain other disclosures as required or determined to be provided.

+ References+ Details