Segment Information

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company's segment disclosures present the measure used by the chief operating decision makers for purposes of assessing each segment's performance. The Company's chief operating decision makers are comprised of several members of its executive management team who use net operating income ("NOI") to assess the performance of the business for the Company's reportable operating segments. NOI represents total property revenues less direct property operating expenses.

The executive management team generally evaluates the Company's operating performance geographically. The Company defines its reportable operating segments as the three geographical regions in which its communities are located: Southern California, Northern California and Seattle Metro. 

Excluded from segment revenues and NOI are management and other fees from affiliates and interest and other income. Non-segment revenues and NOI included in the following schedule also consist of revenues generated from commercial properties and properties that have been sold. Other non-segment assets include items such as real estate under development, co-investments, real estate held for sale, cash and cash equivalents, marketable securities, notes and other receivables, and prepaid expenses and other assets.

The revenues and NOI for each of the reportable operating segments are summarized as follows for the years ended December 31, 2023, 2022, and 2021 ($ in thousands):

	Years Ended December 31,
	2023		2022		2021
Revenues:
Southern California	$	682,116	$	646,252	$	574,129
Northern California	666,836		639,306		584,034
Seattle Metro	282,092		271,248		239,839
Other real estate assets	27,220		38,869		33,416
Total property revenues	$	1,658,264	$	1,595,675	$	1,431,418
Net operating income:
Southern California	$	483,013	$	459,762	$	398,576
Northern California	464,949		445,933		401,870
Seattle Metro	201,228		191,476		160,959
Other real estate assets	23,595		31,235		24,777
Total net operating income	1,172,785		1,128,406		986,182
Management and other fees from affiliates	11,131		11,139		9,138
Corporate-level property management expenses	(45,872)		(40,704)		(36,211)
Depreciation and amortization	(548,438)		(539,319)		(520,066)
General and administrative	(63,474)		(56,577)		(51,838)
Expensed acquisition and investment related costs	(595)		(2,132)		(203)
Casualty loss	(433)		—		—
Gain on sale of real estate and land	59,238		94,416		142,993
Interest expense	(212,905)		(204,798)		(203,125)
Total return swap income	3,148		7,907		10,774
Interest and other income (loss)	46,259		(19,040)		98,744
Equity income from co-investments	10,561		26,030		111,721
Tax (expense) benefit on unconsolidated co-investments	(697)		10,236		(15,668)
Loss on early retirement of debt, net	—		(2)		(19,010)
Gain on remeasurement of co-investment	—		17,423		2,260
Net income	$	430,708	$	432,985	$	515,691

Total assets for each of the reportable operating segments are summarized as follows as of December 31, 2023 and 2022 ($ in thousands):

	As of December 31,
	2023		2022
Assets:
Southern California	$	3,802,648	$	3,892,003
Northern California	5,242,343		5,414,467
Seattle Metro	1,333,030		1,374,379
Other real estate assets	92,271		133,245
Net reportable operating segments - real estate assets	10,470,292		10,814,094
Real estate under development	23,724		24,857
Co-investments	1,061,733		1,127,491
Cash and cash equivalents, including restricted cash	400,334		42,681
Marketable securities	87,795		112,743
Notes and other receivables	174,621		103,045
Operating lease right-of-use assets	63,757		67,239
Prepaid expenses and other assets	79,171		80,755
Total assets	$	12,361,427	$	12,372,905