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Business Segments
 9 Months Ended
Sep. 30, 2023
Segment Reporting [Abstract]  
Business Segments Business Segments
We have two segments: Same Store and Other Real Estate. Our Same Store segment includes communities that are owned and managed by AIR and have reached a stabilized level of operations. Our Other Real Estate segment includes four properties acquired in 2022, four properties previously leased to Aimco, and four properties acquired in 2023.
Our chief operating decision maker (“CODM”) uses proportionate property net operating income (“NOI”) to assess the operating performance of our communities. Proportionate property NOI reflects our share of rental and other property revenues, excluding utility reimbursements, less direct property operating expenses, net of utility reimbursements. In our condensed consolidated statements of operations, utility reimbursements are included in rental and other property revenues in accordance with GAAP.
As of September 30, 2023, our Same Store segment included 63 apartment communities with 22,794 apartment homes and our Other Real Estate segment included 12 apartment communities with 3,829 apartment homes.
The following tables present the total revenues, property operating expenses, proportionate property net operating income (loss), and income (loss) before income tax expense of our segments on a proportionate basis, excluding amounts related to communities sold. To reflect how the CODM evaluates the business, prior period segment information has been recast to conform with our reportable segment composition as of September 30, 2023 (in thousands):
Same
Store		Other
Real Estate		Proportionate
and Other
Adjustments (1)		Corporate and
Amounts Not
Allocated to
Segments (2)		Consolidated
Three months ended September 30, 2023:
Total revenues$151,619 $29,543 $11,981 $4,164 $197,307 
Property operating expenses 40,353 8,158 9,076 489 58,076 
Other operating expenses not allocated to segments (3)— — — 100,695 100,695 
Total operating expenses40,353 8,158 9,076 101,184 158,771 
Proportionate property net operating income (loss)111,266 21,385 2,905 (97,020)38,536 
Other items included in income before income tax expense (4)— — — 676,571 676,571 
 Income before income tax expense$111,266 $21,385 $2,905 $579,551 $715,107 
Same
Store		Other
Real Estate		Proportionate
and Other
Adjustments (1)		Corporate and
Amounts Not
Allocated to
Segments (2)		Consolidated
Nine months ended September 30, 2023:
Total revenues$445,881 $86,104 $80,124 $11,568 $623,677 
Property operating expenses 117,014 28,010 37,850 7,248 190,122 
Other operating expenses not allocated to segments (3)— — — 320,567 320,567 
Total operating expenses117,014 28,010 37,850 327,815 510,689 
Proportionate property net operating income (loss)328,867 58,094 42,274 (316,247)112,988 
Other items included in income before income tax expense (4)— — — 594,085 594,085 
Income before income tax expense$328,867 $58,094 $42,274 $277,838 $707,073 
Same
Store		Other
Real Estate		Proportionate
and Other
Adjustments (1)		Corporate and
Amounts Not
Allocated to
Segments (2)		Consolidated
Three months ended September 30, 2022:
Total revenues$142,009 $14,025 $32,402 $12,435 $200,871 
Property operating expenses 37,349 4,783 13,468 8,409 64,009 
Other operating expenses not allocated to segments (3)— — — 110,290 110,290 
Total operating expenses37,349 4,783 13,468 118,699 174,299 
Proportionate property net operating income (loss)104,660 9,242 18,934 (106,264)26,572 
Other items included in income before income tax expense (4)— — — (23,130)(23,130)
 Income (loss) before income tax expense$104,660 $9,242 $18,934 $(129,394)$3,442 
Same
Store		Other
Real Estate		Proportionate
and Other
Adjustments (1)		Corporate and
Amounts Not
Allocated to
Segments (2)		Consolidated
Nine months ended September 30, 2022:
Total revenues$411,052 $16,437 $93,187 $45,173 $565,849 
Property operating expenses 111,316 5,799 38,559 21,005 176,679 
Other operating expenses not allocated to segments (3)— — — 300,720 300,720 
Total operating expenses111,316 5,799 38,559 321,725 477,399 
Proportionate property net operating income (loss)299,736 10,638 54,628 (276,552)88,450 
Other items included in income before income tax expense (4)— — — 528,955 528,955 
Income from before income tax expense$299,736 $10,638 $54,628 $252,403 $617,405 
(1)Represents adjustments to: (i) include AIR’s proportionate share of the results of unconsolidated apartment communities, which is excluded in the related consolidated amounts, and (ii) exclude the noncontrolling interests in consolidated real estate partnerships’ proportionate share of the results of communities, which is included in the related consolidated amounts. Also includes the reclassification of utility reimbursements from revenues to property operating expenses for the purpose of evaluating segment results. Utility reimbursements are included in rental and other property revenues in our condensed consolidated statements of operations prepared in accordance with GAAP.
(2)Includes: (i) the operating results of apartment communities sold during the periods shown or held for sale at the end of the period, if any, (ii) property management revenues, which are not part of our segment performance measure, property management expenses and casualty gains and losses, which are included in consolidated property operating expenses and are not part of our segment performance measure, and (iii) the depreciation of capitalized costs of non-real estate assets.
(3)Includes depreciation and amortization, general and administrative expenses, and other expenses, net, and may also include write-offs of deferred leasing commissions, which are not included in our measure of segment performance.
(4)Includes interest income, interest expense, loss on extinguishment of debt, gain on dispositions of real estate, provision for impairment loss, and loss from unconsolidated real estate partnerships.
The assets of our segments and the consolidated assets not allocated to our segments were as follows (in thousands):
September 30, 2023December 31, 2022
Same Store$4,119,544 $4,610,356 
Other Real Estate1,575,415 1,211,136 
Corporate and other assets (1)704,290 730,391 
Total consolidated assets$6,399,249 $6,551,883 
(1)Includes the assets not allocated to our segments including: (i) corporate assets; (ii) the mezzanine loan investment where the rights and obligations of ownership have been assigned to Aimco; and (iii) properties sold or classified as held for sale.
For the nine months ended September 30, 2023 and 2022, capital additions related to our segments were as follows (in thousands):
20232022
Same Store$114,844 $109,768 
Other Real Estate 13,530 1,422 
Total capital additions$128,374 $111,190