SEGMENTS

12 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

SEGMENTS

SEGMENTS

We operate in a single reportable segment which includes the ownership, management, development, redevelopment, and acquisition of apartment communities. Each of our operating properties is considered a separate operating segment because each property earns revenues, incurs expenses, and has discrete financial information. Our chief operating decision-makers evaluate each property’s operating results to make decisions about resources to be allocated and to assess performance. We do not group our operations based on geography, size, or type. Our apartment communities have similar long-term economic characteristics and provide similar products and services to our residents. No apartment community comprises more than 10% of consolidated revenues, profits, or assets. Accordingly, our apartment communities are aggregated into a single reportable segment. “All other” is composed of non-multifamily properties, non-multifamily components of mixed use properties, and properties disposed or designated as held for sale.

Our executive management team comprises our chief operating decision-makers. This team measures the performance of our reportable segment based on net operating income (“NOI”), which we define as total real estate revenues less property operating expenses, including real estate taxes. We believe that NOI is an important supplemental measure of operating performance for real estate because it provides a measure of operations that is unaffected by depreciation, amortization, financing, property management overhead, and general and administrative expense. NOI does not represent cash generated by operating activities in accordance with GAAP and should not be considered an alternative to net income, net income available for common shareholders, or cash flow from operating activities as a measure of financial performance.

The following tables present NOI for the years ended December 31, 2022, 2021, and 2020 from our reportable segment and reconcile net operating income to net income as reported in the consolidated financial statements. Segment assets are also reconciled to total assets as reported in the consolidated financial statements.

	(in thousands)
Year ended December 31, 2022	Multifamily		All Other		Total
Revenue	$	252,950	$	3,766	$	256,716
Property operating expenses, including real estate taxes	107,431		1,206		108,637
Net operating income	$	145,519	$	2,560	$	148,079
Property management expenses					(9,895)
Casualty loss					(1,591)
Depreciation and amortization					(105,257)
General and administrative expenses					(17,516)
Gain (loss) on sale of real estate and other investments					41
Interest expense					(32,750)
Interest and other income (loss)					1,248
Net income (loss)					$	(17,641)

	(in thousands)
Year ended December 31, 2021	Multifamily		All Other		Total
Revenue	$	195,624	$	6,081	$	201,705
Property operating expenses, including real estate taxes	79,096		2,761		81,857
Net operating income	$	116,528	$	3,320	$	119,848
Property management expenses					(8,752)
Casualty loss					(344)
Depreciation and amortization					(92,165)
General and administrative expenses					(16,213)
Gain (loss) on sale of real estate and other investments					27,518
Interest expense					(29,078)
Interest and other income					(2,915)
Net income (loss)					$	(2,101)

	(in thousands)
Year ended December 31, 2020	Multifamily		All Other		Total
Revenue	$	164,126	$	13,868	$	177,994
Property operating expenses, including real estate taxes	66,356		6,802		73,158
Net operating income	$	97,770	$	7,066	$	104,836
Property management expenses					(5,801)
Casualty loss					(1,662)
Depreciation and amortization					(75,593)
General and administrative expenses					(13,440)
Gain (loss) on sale of real estate and other investments					25,503
Interest expense					(27,525)
Interest and other income					(1,575)
Net income (loss)					$	4,743

Segment Assets and Accumulated Depreciation 

	(in thousands)
As of December 31, 2022	Multifamily		All Other		Total
Segment assets
Property owned	$	2,507,448	$	26,676	$	2,534,124
Less accumulated depreciation	(527,199)		(8,202)		(535,401)
Total property owned	$	1,980,249	$	18,474	$	1,998,723
Cash and cash equivalents					10,458
Restricted cash					1,433
Other assets					22,687
Total Assets					$	2,033,301

	(in thousands)
As of December 31, 2021	Multifamily		All Other		Total
Segment assets
Property owned	$	2,244,250	$	26,920	$	2,271,170
Less accumulated depreciation	(436,004)		(7,588)		(443,592)
Total property owned	$	1,808,246	$	19,332	$	1,827,578
Cash and cash equivalents					31,267
Restricted cash					7,358
Other assets					30,582
Mortgage loans receivable					43,276
Total Assets					$	1,940,061