XML 60 R41.htm IDEA: XBRL DOCUMENT v3.20.4
Leases (Tables)
 12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Summary of Lease Income Types Relating to Lease Payments Along With the Total Other Rental Income

The following table presents the lease income types relating to lease payments for residential and non-residential leases along with the total other rental income for the years ended December 31, 2020 and 2019 (amounts in thousands):

 

 

 

Year Ended December 31, 2020

 

 

Year Ended December 31, 2019

 

Income Type

 

Residential

Leases

 

 

Non-Residential

Leases

 

 

Total

 

 

Residential

Leases

 

 

Non-Residential

Leases

 

 

Total

 

Residential and non-residential rent

 

$

2,336,778

 

 

$

51,663

 

 

$

2,388,441

 

 

$

2,414,201

 

 

$

71,988

 

 

$

2,486,189

 

Utility recoveries (RUBS income) (1)

 

 

70,699

 

 

 

677

 

 

 

71,376

 

 

 

67,659

 

 

 

917

 

 

 

68,576

 

Parking rent

 

 

38,743

 

 

 

412

 

 

 

39,155

 

 

 

37,557

 

 

 

348

 

 

 

37,905

 

Storage rent

 

 

3,674

 

 

 

84

 

 

 

3,758

 

 

 

3,745

 

 

 

71

 

 

 

3,816

 

Pet rent

 

 

11,457

 

 

 

—

 

 

 

11,457

 

 

 

11,617

 

 

 

—

 

 

 

11,617

 

Total lease revenue

 

$

2,461,351

 

 

$

52,836

 

 

 

2,514,187

 

 

$

2,534,779

 

 

$

73,324

 

 

 

2,608,103

 

Parking revenue

 

 

 

 

 

 

 

 

 

 

22,210

 

 

 

 

 

 

 

 

 

 

 

28,272

 

Other revenue

 

 

 

 

 

 

 

 

 

 

35,308

 

 

 

 

 

 

 

 

 

 

 

64,316

 

Total other rental income (2)

 

 

 

 

 

 

 

 

 

 

57,518

 

 

 

 

 

 

 

 

 

 

 

92,588

 

Rental income

 

 

 

 

 

 

 

 

 

$

2,571,705

 

 

 

 

 

 

 

 

 

 

$

2,700,691

 

 

(1)

RUBS income primarily consists of variable payments representing the recovery of utility costs from residents.

(2)

Other rental income is accounted for under the revenue recognition standard.    
Summary of Residential and Non-Residential Accounts Receivable and Straight-Line Receivable Balances

The following table presents residential and non-residential accounts receivable and straight-line receivable balances for the Company’s properties as of December 31, 2020 and 2019 (amounts in thousands):

 

 

 

Residential

 

 

Non-Residential

 

Balance Sheet (Other assets):

 

December 31, 2020

 

 

December 31, 2019

 

 

December 31, 2020

 

 

December 31, 2019

 

Resident/tenant accounts receivable balances

 

$

30,856

 

 

$

4,040

 

 

$

7,598

 

 

$

1,766

 

Allowance for doubtful accounts

 

 

(24,021

)

 

 

(1,190

)

 

 

(6,527

)

 

 

(1,412

)

Net receivable balances

 

$

6,835

 

(1)

$

2,850

 

 

$

1,071

 

 

$

354

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Straight-line receivable balances

 

$

19,992

 

 

$

1,841

 

 

$

13,413

 

 

$

26,450

 

 

(1)

The Company held residential security deposits approximating 31.6% of the net receivable balance at December 31, 2020.
Summary of Residential Bad Debt for Company's Properties

The following table presents residential bad debt for the Company’s properties for the years ended December 31, 2020 and 2019 (amounts in thousands):

 

 

Year Ended December 31,

 

Income Statement (Rental income):

 

 

2020

 

 

 

2019

 

Bad debt, net

 

$

42,505

 

 

$

12,067

 

% of rental income

 

 

1.7

%

 

 

0.5

%

 
Summary of Right-of-Use Assets and Related Lease Liabilities The following table presents the Company’s ROU assets and related lease liabilities as of December 31, 2020 and 2019 (amounts in thousands):

 

 

 

2020

 

 

2019

 

Right-of-use assets:

 

 

 

 

 

 

 

 

Corporate office leases (operating)

 

$

39,203

 

 

$

41,596

 

Ground leases (finance)

 

 

57,584

 

 

 

57,982

 

Ground leases (operating)

 

 

402,500

 

 

 

413,196

 

Right-of-use assets

 

$

499,287

 

 

$

512,774

 

Lease liabilities:

 

 

 

 

 

 

 

 

Corporate office leases (operating)

 

$

40,470

 

 

$

43,105

 

Ground leases (finance)

 

 

23,350

 

 

 

23,239

 

Ground leases (operating)

 

 

265,310

 

 

 

264,990

 

Lease liabilities

 

$

329,130

 

 

$

331,334

 

 
Summary of Quantitative Disclosures for Lessees

 

The following tables illustrate the quantitative disclosures for lessees as of and for the years ended December 31, 2020 and 2019 (amounts in thousands):

 

 

 

Year Ended

December 31, 2020

 

 

Year Ended

December 31, 2019

 

Lease cost:

 

 

 

 

 

 

 

 

Finance lease cost:

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

—

 

 

$

—

 

Interest on lease liabilities (capitalized)

 

 

1,029

 

 

 

225

 

Operating lease cost:

 

 

 

 

 

 

 

 

Corporate office leases

 

 

3,747

 

 

 

3,937

 

Ground leases

 

 

22,102

 

 

 

22,198

 

Variable lease cost:

 

 

 

 

 

 

 

 

Corporate office leases

 

 

1,307

 

 

 

1,489

 

Ground leases

 

 

3,304

 

 

 

3,700

 

Total lease cost

 

$

31,489

 

 

$

31,549

 

 

 

 

December 31, 2020

 

 

December 31, 2019

 

Other information:

 

 

 

 

 

 

 

 

Cash paid for amounts included in the measurement of lease liabilities:

 

 

 

 

 

 

 

 

Investing cash flows from finance leases (capitalized)

 

$

567

 

 

$

34,922

 

Operating cash flows from operating leases:

 

 

 

 

 

 

 

 

Corporate office leases

 

$

5,296

 

 

$

5,494

 

Ground leases

 

$

16,552

 

 

$

16,837

 

ROU assets obtained in exchange for new finance lease liabilities

 

$

—

 

 

$

23,201

 

ROU assets obtained in exchange for new operating lease liabilities:

 

 

 

 

 

 

 

 

Corporate office leases

 

$

—

 

 

$

44,298

 

Ground leases

 

$

—

 

 

$

422,018

 

Weighted-average remaining lease term – finance leases (1)

 

18.7 years

 

 

19.7 years

 

Weighted-average remaining lease term – operating leases:

 

 

 

 

 

 

 

 

Corporate office leases

 

17.4 years

 

 

18.1 years

 

Ground leases

 

55.3 years

 

 

56.2 years

 

Weighted-average discount rate – finance leases

 

 

3.0

%

 

 

3.0

%

Weighted-average discount rate – operating leases:

 

 

 

 

 

 

 

 

Corporate office leases

 

 

3.2

%

 

 

3.2

%

Ground leases

 

 

5.0

%

 

 

5.0

%

 

(1)

The weighted-average remaining lease term – finance leases does not include the remaining term of a fully prepaid finance lease entered into during the year ended December 31, 2019.

Summary of Undiscounted Cash Flows for Contractual Obligations for Minimum Rent Payments/Receipts

The following table summarizes the Company’s undiscounted cash flows for contractual obligations for minimum rent payments/receipts under operating and financing leases for the next five years and thereafter as of December 31, 2020:

 

(Payments)/Receipts Due by Year (in thousands)

 

 

 

2021

 

 

2022

 

 

2023

 

 

2024

 

 

2025

 

 

Thereafter

 

 

Total

 

Finance Leases:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Minimum Rent Payments (a)

 

$

(578

)

 

$

(590

)

 

$

(601

)

 

$

(614

)

 

$

(626

)

 

$

(33,224

)

 

$

(36,233

)

Operating Leases:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Minimum Rent Payments (a)

 

$

(17,160

)

 

$

(16,906

)

 

$

(16,997

)

 

$

(17,329

)

 

$

(17,375

)

 

$

(954,108

)

 

$

(1,039,875

)

Minimum Rent Receipts (b)

 

$

59,430

 

 

$

54,656

 

 

$

51,091

 

 

$

45,166

 

 

$

38,847

 

 

$

126,732

 

 

$

375,922

 

 

(a)

Minimum basic rent due for corporate office leases and base rent due on ground leases where the Company is the lessee.

(b)

Minimum basic rent receipts due for various non-residential space where the Company is the lessor.  Excludes residential leases due to their short-term nature.
Summary of Reconciliation of Lease Liabilities

The following table provides a reconciliation of lease liabilities from our undiscounted cash flows for minimum rent payments as of December 31, 2020 (amounts in thousands):

 

 

 

2020

 

Total minimum rent payments

 

$

1,076,108

 

Less: Lease discount

 

 

746,978

 

Lease liabilities

 

$

329,130