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Real Estate Investments | 9 Months Ended
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Sep. 30, 2018
Business Combinations [Abstract] |
Real Estate Investments | Real Estate Investments The following table details the components of Land, building and improvements in the Consolidated Balance Sheets:
(in thousands) |  | September 30, 2018 |  | December 31, 2017
Land |  | $ | 4,215,399 |  |  | 4,235,032 |
Land improvements |  | 626,787 |  |  | 556,140 |
Buildings |  | 5,126,219 |  |  | 4,999,378 |
Building and tenant improvements |  | 885,878 |  |  | 787,880 |
Total Land, building and improvements |  | $ | 10,854,283 |  |  | 10,578,430 |
Acquisitions The following table details the shopping centers acquired or land acquired or leased for development:
(in thousands) |  | Nine months ended September 30, 2018
Date Purchased |  | Property Name |  | City/State |  | Property Type |  | Ownership |  | Purchase Price |  | Debt Assumed, Net of Premiums |  | Intangible Assets |  | Intangible Liabilities
1/2/18 |  | Ballard Blocks I |  | Seattle, WA |  | Operating |  | 49.9% |  | $54,500 |  | — |  | 3,668 |  | 2,350
1/2/18 |  | Ballard Blocks II |  | Seattle, WA |  | Development |  | 49.9% |  | 4,000 |  | — |  | — |  | —
1/5/18 |  | The District at Metuchen |  | Metuchen, NJ |  | Operating |  | 20% |  | 33,830 |  | — |  | 3,147 |  | 1,905
1/10/18 |  | Hewlett Crossing I & II |  | Hewlett, NY |  | Operating |  | 100% |  | 30,900 |  | 9,700 |  | 3,114 |  | 1,868
4/3/2018 |  | Rivertowns Square |  | Dobbs Ferry, NY |  | Operating |  | 100% |  | 68,933 |  | — |  | 4,993 |  | 5,554
5/18/2018 |  | Crossroads Commons II |  | Boulder, CO |  | Operating |  | 20% |  | 10,500 |  | — |  | 447 |  | 769
9/7/2018 |  | Ridgewood Shopping Center |  | Raleigh, NC |  | Operating |  | 20% |  | 45,800 |  | 10,233 |  | 3,372 |  | 2,278
Total property acquisitions |  |  |  |  |  | $248,463 |  | 19,933 |  | 18,741 |  | 14,724
(in thousands) |  | Nine months ended September 30, 2017
Date Purchased |  | Property Name |  | City/State |  | Property Type |  | Ownership |  | Purchase Price |  | Debt Assumed, Net of Premiums |  | Intangible Assets |  | Intangible Liabilities
3/6/17 |  | The Field at Commonwealth |  | Chantilly, VA |  | Development |  | 100% |  | $9,500 |  | — |  | — |  | —
3/8/17 |  | Pinecrest Place (1) |  | Miami, FL |  | Development |  | 100% |  | — |  | — |  | — |  | —
4/13/17 |  | Mellody Farm (2) |  | Chicago, IL |  | Development |  | 100% |  | 26,200 |  | — |  | — |  | —
6/28/17 |  | Concord outparcel (3) |  | Miami, FL |  | Operating |  | 100% |  | 350 |  | — |  | — |  | —
7/20/17 |  | Aventura Square outparcel (4) |  | Miami, FL |  | Operating |  | 100% |  | 1,750 |  | — |  | 90 |  | 9
Total property acquisitions |  |  |  |  |  | $37,800 |  | — |  | 90 |  | 9
(1) The Company leased 10.67 acres for a ground up development.
(2) The Operating Partnership issued 195,732 partnership units valued at $13.1 million as partial consideration for the purchase.
(3) The Company purchased a 0.67 acre vacant outparcel adjacent to the Company's existing operating Concord Shopping Plaza.
(4) The Company purchased a 0.06 acre outparcel improved with a leased building adjacent to the Company's existing operating Aventura Square shopping center.
Equity One Merger General On March 1, 2017, Regency completed its merger with Equity One, a NYSE listed shopping center company, whereby Equity One merged with and into Regency, with Regency continuing as the surviving public company. Under the terms of the Merger Agreement, each Equity One stockholder received 0.45 of a newly issued share of Regency common stock for each share of Equity One common stock owned immediately prior to the effective time of the merger resulting in approximately 65.5 million Regency common shares being issued to effect the merger. The following table provides the components that made up the total purchase price for the Equity One merger:
(in thousands, except stock price) | Purchase Price
Shares of common stock issued for merger | 65,379 |
Closing stock price on March 1, 2017 | $ | 68.40 |
Value of common stock issued for merger | $ | 4,471,808 |
Other cash payments | 721,297 |
Total purchase price | $ | 5,193,105 |
As part of the merger, Regency acquired 121 properties, including 8 properties held through co-investment partnerships. The consolidated net assets and results of operations of Equity One are included in the consolidated financial statements from the closing date, March 1, 2017. Final Purchase Price Allocation of Merger The Equity One merger has been accounted for using the acquisition method of accounting in accordance with ASC 805, Business Combinations, which requires, among other things, that the assets acquired and liabilities assumed be recognized at their acquisition date fair values, and allows a measurement period, not to exceed one year from the acquisition date, to finalize the acquisition date fair values. The acquired assets and assumed liabilities of an acquired operating property generally include, but are not limited to: land, buildings and improvements, identified tangible and intangible assets and liabilities associated with in-place leases, including tenant improvements, leasing costs, value of above-market and below-market leases, and value of acquired in-place leases. This methodology requires estimating an “as-if vacant” fair value of the physical property, which includes land, building, and improvements and also determining the estimated fair value of identifiable intangible assets and liabilities, considering the following categories: (i) value of in-place leases, and (ii) above and below-market value of in-place leases, and deferred taxes related to the book tax difference created through purchase accounting. The excess of the purchase price consideration over the fair value of assets acquired and liabilities assumed results in goodwill in the business combination, which reflects expected synergies from combining Regency's and Equity One's operations and the deferred tax liability at one of the acquired taxable REIT subsidiaries. The goodwill is not deductible for tax purposes. The fair value of the acquired operating properties is based on a valuation prepared by Regency with assistance of a third party valuation specialist. The third party used stabilized Net Operating Income (“NOI”) and market specific capitalization and discount rates as the primary inputs in determining the fair value of the real estate assets. Management reviewed the inputs used by the third party specialist as well as the allocation of the purchase price to ensure reasonableness and that the procedures were performed in accordance with management's policy. Management and the third party valuation specialist have prepared their fair value estimates for each of the operating properties acquired, and completed the purchase price allocation during the measurement period. The following table summarizes the final purchase price allocation based on the Company's valuation, including estimates and assumptions of the acquisition date fair value of the tangible and intangible assets acquired and liabilities assumed:
(in thousands) |  | Final Purchase Price Allocation
Land |  | $ | 2,865,053 |
Building and improvements |  | 2,619,163 |
Properties in development |  | 68,744 |
Properties held for sale |  | 19,600 |
Investments in unconsolidated real estate partnerships |  | 99,666 |
Real estate assets |  | 5,672,226 |
Cash, accounts receivable and other assets |  | 112,909 |
Intangible assets |  | 458,877 |
Goodwill |  | 332,384 |
Total assets acquired |  | 6,576,396 |
Notes payable |  | 757,399 |
Accounts payable, accrued expenses, and other liabilities |  | 122,217 |
Lease intangible liabilities |  | 503,675 |
Total liabilities assumed |  | 1,383,291 |
Total purchase price |  | $ | 5,193,105 |
The following table details the weighted average amortization and net accretion periods, in years, of the major classes of intangible assets and intangible liabilities arising from the Equity One merger:
(in years) |  | Weighted Average Amortization / Accretion Period
Assets: |  |
In-place leases |  | 10.8
Above-market leases |  | 7.8
Below-market ground leases |  | 55.3
Liabilities: |  |
Below-market leases |  | 24.9
Pro forma Information The following unaudited pro forma financial data includes the incremental revenues, operating expenses, depreciation and amortization, and costs of the Equity One acquisition as if it had occurred on January 1, 2016:
|  | Three months ended September 30, |  | Nine months ended September 30,
(in thousands, except per share data) |  | 2017 |  | 2017
Total revenues |  | $ | 262,708 |  |  | $ | 788,345 |
Income from operations (1) |  | 63,537 |  |  | 190,112 |
Net income attributable to common stockholders (1) |  | 59,621 |  |  | 171,795 |
Income per common share - basic |  | 0.35 |  |  | 1.01 |
Income per common share - diluted |  | 0.35 |  |  | 1.01 |
(1) The pro forma earnings for the three and nine months ended September 30, 2017, were adjusted to exclude $1.2 million and $98.5 million of merger costs, respectively, as if they had occurred in 2016.
The pro forma financial data is not necessarily indicative of what the actual results of operations would have been assuming the transaction had been completed as set forth above, nor does it purport to represent the results of operations for future periods.

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- Definition The entire disclosure for certain real estate investment financial statements, real estate investment trust operating support agreements, real estate owned, retail land sales, time share transactions, as well as other real estate related disclosures. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 970 -URI http://asc.fasb.org/topic&trid=2156125 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 978 -URI http://asc.fasb.org/topic&trid=2134977 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 976 -URI http://asc.fasb.org/topic&trid=2134846 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 974 -URI http://asc.fasb.org/topic&trid=2156429 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 972 -URI http://asc.fasb.org/topic&trid=2134617 + Details
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