SEGMENTS

12 Months Ended

Dec. 31, 2019

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.

Prior to the third quarter of fiscal year 2018, we reported our results in two reportable segments: multifamily and healthcare. We sold substantially all of our healthcare portfolio during the third quarter of fiscal year 2018 and classified it as discontinued operations, at which point healthcare no longer met the quantitative thresholds for reporting as a separate reportable segment.

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 year ended December 31, 2019, the transition period ended December 31, 2018, and the fiscal years ended April 30, 2018 and 2017 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, 2019	Multifamily		All Other		Total
Revenue	$	161,434	$	24,321	$	185,755
Property operating expenses, including real estate taxes	67,186		11,129		78,315
Net operating income	$	94,248	$	13,192	$	107,440
Property management expenses					(6,186		)
Casualty loss					(1,116		)
Depreciation and amortization					(74,271		)
General and administrative expenses					(14,450		)
Interest expense					(30,537		)
Loss on debt extinguishment					(2,360		)
Interest and other income					2,092
Income (loss) before gain (loss) on sale of real estate and other investments, gain (loss) on litigation settlement, and income (loss) from discontinued operations					(19,388		)
Gain (loss) on sale of real estate and other investments					97,624
Gain (loss) on litigation settlement					6,586
Gain (loss) from continuing operations					84,822
Income (loss) from discontinued operations					—
Net income (loss)					$	84,822



	(in thousands)
Transition period ended December 31, 2018	Multifamily		All Other		Total
Revenue	$	100,136	$	21,735	$	121,871
Property operating expenses, including real estate taxes	41,391		9,328		50,719
Net operating income	$	58,745	$	12,407	$	71,152
Property management expenses					(3,663		)
Casualty loss					(915		)
Depreciation and amortization					(50,456		)
Impairment of real estate investments					(1,221		)
General and administrative expenses					(9,812		)
Interest expense					(21,359		)
Loss on debt extinguishment					(556		)
Interest and other income					1,233
Income (loss) before gain on sale of real estate and other investments and income (loss) from discontinued operations					(15,597		)
Gain (loss) on sale of real estate and other investments					9,707
Gain (loss) from continuing operations					(5,890		)
Income (loss) from discontinued operations					570
Net income (loss)					$	(5,320	)



	(in thousands)
Year ended April 30, 2018	Multifamily ⁽¹⁾		All Other⁽¹⁾		Total
Revenue	$	159,983	$	9,762	$	169,745
Property operating expenses, including real estate taxes	70,460		2,574		73,034
Net operating income	$	89,523	$	7,188	$	96,711
Property management expenses					(5,526		)
Casualty loss					(500		)
Depreciation and amortization					(82,070		)
Impairment of real estate investments					(18,065		)
General and administrative expenses					(14,203		)
Acquisition and investment related costs					(51		)
Interest expense					(34,178		)
Loss on debt extinguishment					(940		)
Interest and other income					1,508
Income (loss) before gain on sale of real estate and other investments					(57,314		)
Gain (loss) on sale of real estate and other investments					20,120
Income (loss) from continuing operations					(37,194		)
Income (loss) from discontinued operations					164,823
Net income (loss)					$	127,629


(1)	Revenue, property operating expenses, including real estate taxes, and net operating income for the year ended April 30, 2018 have not been updated for properties sold during the year ended 2019.



	(in thousands)
Year ended April 30, 2017	Multifamily ⁽¹⁾		All Other⁽¹⁾		Total
Revenue	$	142,214	$	17,890	$	160,104
Property operating expenses, including real estate taxes	60,895		3,431		64,326
Net operating income	$	81,319	$	14,459	$	95,778
Property management expenses					(5,046		)
Casualty loss					(414		)
Depreciation and amortization					(44,253		)
Impairment of real estate investments					(57,028		)
General and administrative expenses					(15,871		)
Acquisition and investment related costs					(3,276		)
Interest expense					(34,314		)
Loss on debt extinguishment					(1,651		)
Interest and other income					1,146
Income (loss) before loss on sale of real estate and other investments and income (loss) from discontinued operations					(64,929		)
Gain (loss) on sale of real estate and other investments					18,701
Income (loss) from continuing operations					(46,228		)
Income (loss) from discontinued operations					76,753
Net income (loss)					$	30,525


(1)	Revenue, property operating expenses, including real estate taxes, and net operating income for the year ended April 30, 2017 have not been updated for properties sold during the year ended 2019.

Segment Assets and Accumulated Depreciation



	(in thousands)
As at December 31, 2019	Multifamily			All Other			Total
Segment assets
Property owned	$	1,609,471		$	33,607		$	1,643,078
Less accumulated depreciation	(339,272		)	(9,850		)	(349,122		)
Total property owned	$	1,270,199		$	23,757		$	1,293,956
Cash and cash equivalents							26,579
Restricted cash							19,538
Other assets							34,829
Unimproved land							1,376
Mortgage loans receivable							16,140
Total Assets							$	1,392,418



	(in thousands)
As at December 31, 2018	Multifamily			All Other			Total
Segment assets
Property owned	$	1,428,226		$	199,410		$	1,627,636
Less accumulated depreciation	(277,709		)	(76,162		)	(353,871		)
Total property owned	$	1,150,517		$	123,248		$	1,273,765
Cash and cash equivalents							13,792
Restricted cash							5,464
Other assets							27,265
Unimproved land							5,301
Mortgage loans receivable							10,410
Total Assets							$	1,335,997



	(in thousands)
As at April 30, 2018	Multifamily			All Other			Total
Segment assets ⁽¹⁾
Property owned	$	1,606,421		$	63,343		$	1,669,764
Less accumulated depreciation	(294,477		)	(16,847		)	(311,324		)
Total property owned	$	1,311,944		$	46,496		$	1,358,440
Cash and cash equivalents							11,891
Restricted cash							4,225
Other assets							30,297
Unimproved land							11,476
Mortgage loans receivable							10,329
Total Assets							$	1,426,658

(1)

Segment assets as of April 30, 2018 have not been updated for properties sold during the year ended 2019.