Investments in and Advances to Unconsolidated Affiliates (Tables)

12 Months Ended

Dec. 31, 2018

Equity Method Investments And Joint Ventures [Abstract]

The Company’s investments in and advances to unconsolidated affiliates consist of the following (dollars in thousands):

		Nominal Ownership Interest	December 31,			December 31,
Portfolio	Property	December 31, 2018	2018			2017
Core:
	840 N. Michigan^(a)	88.43%	$	65,013		$	69,846
	Renaissance Portfolio	20%		32,458			35,041
	Gotham Plaza	49%		29,550			29,416
	Town Center^{(a, b)}	75.22%		99,758			78,801
	Georgetown Portfolio	50%		4,653			3,479
				231,432			216,583

Mervyns I & II:	KLA/Mervyn's, LLC ^(c)	10.5%		—			—

Fund III:
	Fund III Other Portfolio	90%		21			167
	Self Storage Management ^(d)	95%		206			206
				227			373
Fund IV:
	Broughton Street Portfolio ^(e)	50%		3,236			48,335
	Fund IV Other Portfolio	90%		14,540			20,199
	650 Bald Hill Road	90%		12,880			13,609
				30,656			82,143

Various Funds:	Due (to) from Related Parties ^(f)			(461	)		2,415
	Other ^(g)			556			556
	Investments in and advances to unconsolidated affiliates		$	262,410		$	302,070

Core:
	Crossroads ^(h)	49%	$	15,623		$	15,292
	Distributions in excess of income from, and investments in, unconsolidated affiliates		$	15,623		$	15,292

(a)	Represents a tenancy-in-common interest.

(b)	During November 2017 and March 2018, as discussed below, the Company increased its ownership in Town Center.

(c)	Distributions, discussed below, have exceeded the Company’s non-recourse investment, therefore the carrying value is zero.

(d)	Represents a variable interest entity for which the Company was determined not to be the primary beneficiary.

(e)

The Company is entitled to a 15% return on its cumulative capital contribution which was $3.0 million and $15.4 million at December 31, 2018 and December 31, 2017, respectively. In addition, the Company is entitled to a 9% preferred return on a portion of its equity, which was $2.8 million and $41.2 million at December 31, 2018 and December 31, 2017, respectively.

(f)	Represents deferred fees.

(g)	Includes a cost-method investment in Albertson’s (Note 8), Storage Post and other investments.

(h)	Distributions have exceeded the Company’s investment; however, the Company recognizes a liability balance as it may be required to return distributions to fund future obligations of the entity.

Schedule of Condensed Balance Sheet

The following combined and condensed Balance Sheets and Statements of Income, in each period, summarize the financial information of the Company’s investments in unconsolidated affiliates (in thousands):

	December 31,
	2018			2017
Combined and Condensed Balance Sheets
Assets:
Rental property, net	$	488,000		$	518,900
Real estate under development		—			26,681
Investment in unconsolidated affiliates		6,853			6,853
Other assets		91,497			100,901
Total assets	$	586,350		$	653,335
Liabilities and partners’ equity:
Mortgage notes payable	$	408,967		$	405,652
Other liabilities		54,675			61,932
Partners’ equity		122,708			185,751
Total liabilities and partners’ equity	$	586,350		$	653,335

Company's share of accumulated equity	$	141,384		$	185,533
Basis differential		104,084			95,358
Deferred fees, net of portion related to the Company's interest		1,780			3,472
Amounts (payable) receivable by the Company		(461	)		2,415
Investments in and advances to unconsolidated affiliates, net of Company's share of distributions in excess of income from and investments in unconsolidated affiliates		246,787			286,778
Company's share of distributions in excess of income from and investments in unconsolidated affiliates		15,623			15,292
Investments in and advances to unconsolidated affiliates	$	262,410		$	302,070

Schedule of Condensed Income Statement

	Year Ended December 31,
	2018			2017			2016
Combined and Condensed Statements of Income
Total revenues	$	80,184		$	83,222		$	84,218
Operating and other expenses		(23,586	)		(24,711	)		(25,724	)
Interest expense		(19,954	)		(18,733	)		(16,300	)
Depreciation and amortization		(22,228	)		(24,192	)		(35,432	)
Loss on debt extinguishment		—			(154	)		—
(Loss) gain on disposition of properties		(1,673	)		18,957			(1,340	)
Net income attributable to unconsolidated affiliates	$	12,743		$	34,389		$	5,422

Company’s share of equity in net income of unconsolidated affiliates	$	12,345		$	26,039		$	40,538
Basis differential amortization		(3,043	)		(2,668	)		(1,089	)
Company’s equity in earnings of unconsolidated affiliates	$	9,302		$	23,371		$	39,449