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Acquisitions | 12 Months Ended
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Dec. 31, 2016
Business Combinations [Abstract] |
Acquisitions | Acquisitions 2016 Acquisitions Merger with American Residential Properties, Inc. On February 29, 2016, the Company completed the ARPI Merger, in which ARPI merged with and into a wholly owned subsidiary of us in a stock-for-stock transaction, with our subsidiary continuing as the surviving entity (the "ARPI Merger"). The purpose of this acquisition was to solidify our position as the largest public owner and operator of single-family rental properties, increase scale and achieve operating synergies. ARPI’s portfolio is substantially similar to our own, meets our high quality portfolio standards and the acquisition of their portfolio has allowed us to add density in key markets. As a result of the ARPI Merger, each holder of ARPI common stock received 1.135 of our Class A common shares for each share of ARPI common stock and each holder of limited partnership interests in ARPI’s operating partnership received 1.135 Class A units of our operating partnership. We issued 36,546,170 Class A common shares and 1,343,843 Class A units in connection with the ARPI Merger, representing 12.7% of the total Class A common shares, Class B common shares and units of our operating partnership, collectively, as of the acquisition date. The equity transaction consideration of $530.5 million was calculated based on the 36,546,170 Class A common shares and 1,343,843 Class A units issued in connection with the ARPI Merger valued at the Company’s closing share price on the acquisition date of $14.00 per share. Transaction costs incurred by the Company related to the ARPI Merger totaled $7.4 million, of which $5.8 million and $1.6 million was incurred during the years ended December 31, 2016 and 2015, respectively. The following table summarizes the allocation of the estimated fair values of the assets and liabilities acquired as part of the ARPI Merger as of the acquisition date (in thousands):
Net assets acquired |  |
Land |  | $ | 262,396 |
Buildings and improvements |  | 1,014,857 |
Cash and cash equivalents |  | 15,499 |
Restricted cash |  | 9,521 |
Rent and other receivables |  | 843 |
Escrow deposits, prepaid expenses and other assets |  | 35,134 |
In-place leases |  | 22,696 |
Accounts payable and accrued expenses |  | (38,485 | )
Net assets acquired |  | 1,322,461 |
Debt assumed or extinguished |  |
Credit facility |  | 350,000 |
Exchangeable senior notes |  | 112,298 |
Asset-backed securitization |  | 329,703 |
Total debt assumed or extinguished |  | 792,001 |
Equity transaction consideration |  | 530,460 |
Total transaction consideration |  | $ | 1,322,461 |
Since the completion of the ARPI Merger, the Company has consolidated the 8,936 single-family properties acquired as part of the transaction and the related results of these operations are reflected in the Company’s consolidated financial statements. The following table presents the total revenues and net income attributable to the ARPI Merger that are included in our consolidated statements of operations for the year ended December 31, 2016 (in thousands):
| For the Period from February 29, 2016 to December 31, 2016
Total revenues | $ | 119,245 |
Net income | $ | 1,237 |
Pro Forma Supplemental Information The following table presents the Company’s supplemental consolidated pro forma total revenues and net loss as if the ARPI Merger had occurred on January 1, 2015 (in thousands, except per share amounts):
| For the Years Ended December 31,
| 2016 |  | 2015
Pro forma total revenues (1) | $ | 900,958 |  |  | $ | 754,710 |
Pro forma net loss (1) | $ | (8,989 | ) |  | $ | (54,995 | )
Pro forma net loss per share (1) | $ | (0.22 | ) |  | $ | (0.37 | )
(1) | This unaudited pro forma supplemental information does not purport to be indicative of what the Company's operating results would have been had the ARPI Merger occurred on January 1, 2015.
2015 Acquisitions RJ American Homes 4 Rent One, LLC and RJ American Homes 4 Rent Two, LLC Acquisition In October 2015, the Company acquired the remaining 67% outside ownership interest in two of its consolidated joint ventures, RJ American Homes 4 Rent One, LLC and RJ American Homes 4 Rent Two, LLC, which own a total of 377 single-family properties, for a purchase price of $44.4 million. As our investments in these joint ventures were already previously accounted for as consolidated joint ventures, this acquisition was recorded in equity and the 377 properties continue to be accounted for using the same historical cost basis. 2014 Acquisitions Ellington Portfolio Acquisition On December 31, 2014, the Company acquired a 100% ownership interest in a portfolio of 914 homes located in markets in Arizona, Colorado, Georgia, North Carolina, Tennessee and Texas for a total purchase price of approximately $126.0 million, which included $74.4 million in cash and the assumption of $51.6 million of debt (the "Ellington Portfolio Acquisition"). The debt consists of a 5-year note payable, which is secured by a first priority mortgage on 583 of the homes, and has a fixed interest rate of 4.06% and a maturity date of July 1, 2019. The Company completed the Ellington Portfolio Acquisition for the purpose of acquiring a portfolio of 914 single-family properties, which was 96.3% leased as of the acquisition date. The following table summarizes the estimated fair values of the assets and liabilities acquired as part of the Ellington Portfolio Acquisition as of the acquisition date (in thousands):
Land | $ | 25,615 |
Buildings and improvements | 98,117 |
In-place leases | 2,268 |
Secured note payable | (51,644 | )
Estimated fair value of assets and liabilities acquired | $ | 74,356 |
The 914 single-family properties acquired as part of the transaction on December 31, 2014, were consolidated into the Company's portfolio and reflected in its consolidated financial statements. Beazer Rental Homes Acquisition On July 1, 2014, the Company completed the acquisition of Beazer Rental Homes for the purpose of acquiring a 100% ownership interest in a portfolio of 1,372 homes located in markets in Arizona, California, Florida and Nevada (the "Beazer Rental Homes Acquisition"). The Beazer Rental Homes Acquisition was completed pursuant to an Agreement and Plan of Merger by and among American Homes 4 Rent, AMH Portfolio One, LLC, a wholly owned subsidiary of the Company ("Merger Sub"), and representatives of the Beazer shareholders, dated as of July 1, 2014 (the "Merger Agreement"). As provided in the Merger Agreement, the acquisition was completed as a tax-free merger of Beazer Rental Homes with Merger Sub. The merger consideration to the security holders of Beazer Rental Homes consisted of 8,158,001 Class A common shares in the Company, $5.0 million of cash to be held in an indemnification escrow for a period of six months and extinguishment of $108.2 million outstanding under the Beazer Rental Homes credit facility. The fair value of the Class A common shares issued has been estimated to be $144.8 million, which has been determined using the closing price in the Company's Class A common shares on the date of the Beazer Rental Homes Acquisition. As of December 31, 2014, the Company estimated that approximately $0.6 million would be withheld from the $5.0 million indemnification escrow to satisfy certain representation and warranty provisions in accordance with the Merger Agreement. Accordingly, the remaining $4.4 million indemnification escrow was recognized within total merger consideration as of December 31, 2014, with a corresponding liability included in accounts payable and accrued expenses in the consolidated balance sheets. The following table summarizes the estimated fair values of the assets and liabilities acquired as part of the Beazer Rental Homes Acquisition as of the acquisition date (in thousands):
Land | $ | 60,866 |
Buildings and improvements | 193,506 |
Cash and cash equivalents | 2,197 |
In-place leases | 2,655 |
Other current assets and liabilities, net | (1,785 | )
Estimated fair value of assets and liabilities acquired | $ | 257,439 |
Since the date of the Beazer Rental Homes Acquisition, the Company has consolidated the 1,372 single-family properties acquired as part of the transaction and the related results of these operations are reflected in the Company's consolidated financial statements. The following table presents the total revenues and net income attributable to the Company's 2014 year acquisitions that were included in our consolidated statement of operations for the year ended December 31, 2014 (in thousands):
| Beazer |  | Ellington
| Period from July 1, 2014 to December 31, 2014 |  | Period from December 31, 2014 to December 31, 2014
Total revenues | $ | 10,422 |  |  | $ | — |
Net income | $ | 1,713 |  |  | $ | — |
Pro Forma Supplemental Information The following table presents the Company's supplemental consolidated unaudited pro forma total revenues and net income as if the Ellington Portfolio Acquisition and the Beazer Rental Homes Acquisition had occurred on January 1, 2013 (in thousands):
| For the Years Ended December 31,
| 2014 |  | 2013
Pro forma total revenues (1) | $ | 421,033 |  |  | $ | 176,340 |
Pro forma net loss (1) | $ | (32,858 | ) |  | $ | (32,161 | )
(1) | This unaudited pro forma supplemental information does not purport to be indicative of what the Company's operating results would have been had the Ellington Portfolio Acquisition and the Beazer Rental Homes Acquisition occurred on January 1, 2013.

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- Definition The entire disclosure for business combinations, including leverage buyout transactions (as applicable), and divestitures. This may include a description of a business combination or divestiture (or series of individually immaterial business combinations or divestitures) completed during the period, including background, timing, and assets and liabilities recognized and reclassified or sold. This element does not include fixed asset sales and plant closings. + References No definition available. + Details
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