Revenue Recognition and Related Party Revenue (Tables)

9 Months Ended

Sep. 30, 2018

Fees Earned By and Expenses Reimbursable from Managed Funds

Summarized below is all fee and management revenue for the Investment Management segment. The revenue includes the fees and reimbursements earned by us from the Managed Funds for the three and nine months ended September 30, 2018, and other revenues that are not in the scope of ASC 606, Revenue from Contracts with Customers, but are included in this table for the purpose of disclosing all related party revenues (in thousands):



	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
	REIT II		Other Parties		Total		REIT II		Other Parties		Total
Advisory revenue:
Acquisition fees	$	—	$	379	$	379	$	162	$	635	$	797
Asset management fees	3,084		342		3,426		9,212		917		10,129
Other advisory fees and reimbursements	143		146		289		796		305		1,101
Total advisory revenue	3,227		867		4,094		10,170		1,857		12,027

Property Management and Services revenue:
Property management fees	1,977		345		2,322		6,181		1,061		7,242
Leasing commissions	1,192		245		1,437		3,703		659		4,362
Construction management fees	308		42		350		511		175		686
Other property management fees and reimbursements	155		88		243		577		331		908
Total property management and services revenue	3,632		720		4,352		10,972		2,226		13,198

Other revenue:
Insurance premiums⁽¹⁾	90		437		527		277		1,320		1,597
Non-operating property revenue	—		138		138		—		408		408
Total fees and management income	$	6,949	$	2,162	$	9,111	$	21,419	$	5,811	$	27,230


⁽¹⁾	Insurance premium income from other parties was from third parties not affiliated with us.

Fee Structure, Advisory Agreements

The following table summarizes the fee structure for our advisory agreements:



Fee Type	Performance Obligation Satisfied	Timing of Payment	Revenue Recognition
Acquisition Fee	Point in time (upon close of transaction)	In cash upon close of transaction	Revenue is recognized based on a percentage of the contract purchase price, including acquisition expenses and any debt.
Disposition Fee	Point in time (upon close of transaction)	In cash upon completion	Revenue is recognized based on a percentage of the contract sales price.
Asset Management Fee and Subordinated Participation	Over time	Monthly, in cash and/or ownership units	Because each increment of service is distinct, although substantially the same, revenue is recognized at the end of each reporting period based on a percentage of the cost of assets under management or the applicable NAV.

Fee Structure, Management Agreements

All property management agreements have terms as follows:



Fee	Performance Obligation Satisfied	Timing of Payment	Revenue Recognition
Property Management	Over time	In cash, monthly	Revenue is recognized based on a percentage of monthly cash receipts at each property.
Leasing Commissions	Point in time	In cash upon completion	Revenue is recognized based on a percentage of the contractual payments to be received per the terms of the lease and occurs when the lease is executed.
Construction Management	Point in time	In cash upon completion	Revenue is recognized based on a percentage of the cost of the construction project. Revenue recognition occurs upon completion of the contract (in the case of a normal capital improvement) or upon the tenant taking possession (in the case of a tenant improvement).

Receivables, Related Party

Summarized below is the detail of our outstanding receivable balance from related parties as of September 30, 2018 and December 31, 2017, respectively (in thousands):



	September 30, 2018				December 31, 2017
	REIT II		Other Parties		REIT II		Other Parties
Contract receivables:
Advisory	$	109	$	171	$	256	$	51
Property management and services	1,178		188		1,264		128
Total contract receivables	1,287		359		1,520		179
Other	119		4,473		72		4,331
Total	$	1,406	$	4,832	$	1,592	$	4,510