Beneficiaries Equity of the Parent Company

9 Months Ended

Sep. 30, 2016

Equity [Abstract]

BENEFICIARIES' EQUITY OF THE PARENT COMPANY

10. BENEFICIARIES’ EQUITY OF THE PARENT COMPANY

Earnings per Share (EPS)

The following tables detail the number of shares and net income used to calculate basic and diluted earnings per share (in thousands, except share and per share amounts; results may not add due to rounding):

	Three-month periods ended September 30,
	2016						2015
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	7,884		$	7,884		$	20,308		$	20,308
Net income from continuing operations attributable to non-controlling interests		(58	)		(58	)		(161	)		(161	)
Nonforfeitable dividends allocated to unvested restricted shareholders		(79	)		(79	)		(76	)		(76	)
Preferred share dividends		(1,725	)		(1,725	)		(1,725	)		(1,725	)
Net income attributable to common shareholders	$	6,022		$	6,022		$	18,346		$	18,346
Denominator
Weighted-average shares outstanding		175,127,110			175,127,110			178,188,037			178,188,037
Contingent securities/Share based compensation		-			1,237,505			-			588,647
Weighted-average shares outstanding		175,127,110			176,364,615			178,188,037			178,776,684
Earnings per Common Share:
Net income attributable to common shareholders	$	0.03		$	0.03		$	0.10		$	0.10

	Nine-month periods ended September 30,
	2016						2015
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	52,871		$	52,871		$	31,960		$	31,960
Net income from continuing operations attributable to non-controlling interests		(425	)		(425	)		(221	)		(221	)
Nonforfeitable dividends allocated to unvested restricted shareholders		(263	)		(263	)		(253	)		(253	)
Preferred share dividends		(5,175	)		(5,175	)		(5,175	)		(5,175	)
Net income attributable to common shareholders	$	47,008		$	47,008		$	26,311		$	26,311
Denominator
Weighted-average shares outstanding		174,976,998			174,976,998			179,198,714			179,198,714
Contingent securities/Share based compensation		-			1,032,824			-			789,778
Weighted-average shares outstanding		174,976,998			176,009,822			179,198,714			179,988,492
Earnings per Common Share:
Net income attributable to common shareholders	$	0.27		$	0.27		$	0.15		$	0.15

Redeemable common limited partnership units totaling 1,479,799 at September 30, 2016 and 1,535,102 at September 30, 2015, were excluded from the diluted earnings per share computations because they are not dilutive.

Unvested restricted shares are considered participating securities which require the use of the two-class method for the computation of basic and diluted earnings per share. For the three- and nine-month periods ended September 30, 2016 and 2015, earnings representing nonforfeitable dividends as noted in the table above were allocated to the unvested restricted shares issued to the Company’s executives and other employees under the Company's shareholder-approved long-term incentive plan.

Common and Preferred Shares

On September 13, 2016, the Parent Company declared a distribution of $0.16 per common share, totaling $28.3 million, which was paid on October 19, 2016 to shareholders of record as of October 5, 2016. In addition, the Parent Company declared distributions on its Series E Preferred Shares to holders of record as of September 30, 2016. These shares are entitled to a preferential return of 6.90% per annum on the $25.00 per share liquidation preference. Distributions paid on October 17, 2016 to holders of Series E Preferred Shares totaled $1.7 million.

On November 5, 2013, the Parent Company commenced a continuous equity offering program (the “Offering Program”), under which it may sell, in at-the-market offerings, up to an aggregate amount of 16,000,000 common shares until November 5, 2016. From inception of the Offering Program through September 30, 2016, the Parent Company did not sell any shares under the program.

Common Share Repurchases

The Parent Company maintains a share repurchase program under which the Board of Trustees has authorized the Parent Company to repurchase shares of its preferred and common stock with no expiration date. On July 22, 2015, the Parent Company's Board of Trustees authorized additional share repurchases of up to $100.0 million. Prior to the authorization 539,200 common shares were available for repurchase under the preexisting share repurchase program. The Company expects to fund the share repurchases with a combination of available cash balances and availability under our line of credit. As of September 30, 2016, 5,209,437 common shares have been repurchased and retired at an average purchase price of $12.90 per share and totaling $67.3 million. The timing and amounts of any purchases will depend on a variety of factors, including market conditions, regulatory requirements, share prices, capital availability and other factors as determined by our management team. The repurchase program does not require the purchase of any minimum number of shares and may be suspended or discontinued at any time without notice. There were no shares repurchased under the program during the nine months ended September 30, 2016. There were 4,701,302 common shares repurchased and retired at an average purchase price of $12.92 per share totaling $60.8 million during the nine months ended September 30, 2015.

Maryland law applicable to the Company does not contemplate treasury stock, and common shares repurchased under the program are accounted for as a reduction of common shares (at $0.01 par value per share) and a decrease to additional paid-in-capital.