Real Estate

6 Months Ended

Jun. 30, 2023

Acquisition And Disposition Of Properties And Discontinued Operations [Abstract]

2. Real Estate

The Company’s consolidated real estate is comprised of the following for the periods presented (in thousands):


	June 30,			December 31,
	2023			2022

Land	$	881,717		$	817,802
Buildings and improvements		2,997,760			2,987,594
Tenant improvements		239,305			216,899
Construction in progress		16,836			21,027
Right-of-use assets - finance leases (Note 11)		25,086			25,086
Total		4,160,704			4,068,408
Less: Accumulated depreciation and amortization		(774,128	)		(725,143	)
Operating real estate, net		3,386,576			3,343,265
Real estate under development		122,275			184,602
Net investments in real estate	$	3,508,851		$	3,527,867

Acquisitions and Dispositions

During the six months ended June 30, 2023 the Company did not acquire or dispose of any consolidated retail properties and other real estate investments.

Properties Held for Sale

At June 30, 2023, the Company had one property under contract for sale with assets totaling $11.1 million, which was probable of disposition. The property was classified as "held for sale" on the Company's consolidated balance sheets at June 30, 2023 and December 31, 2022. The Company has received $3.3 million of non-refundable deposits under the sales contract, which is recorded in Other liabilities on the Company's consolidated balance sheets. Assets of the held for sale property consisted of the following:


	June 30,			December 31,
	2023			2022
Assets
Buildings and improvements	$	12,562		$	12,562
Land		3,380			3,380
Tenant improvements		1,010			1,010
Less: Accumulated depreciation and amortization		(5,895	)		(5,895	)
	$	11,057		$	11,057

Real Estate Under Development and Construction in Progress

Real estate under development represents the Company’s consolidated properties that have not yet been placed into service while undergoing substantial development or construction.

Development activity for the Company’s consolidated properties comprised the following during the periods presented (dollars in thousands):


	January 1, 2023				Six Months Ended June 30, 2023						June 30, 2023
	Number of Properties		Carrying Value		Transfers In		Capitalized Costs		Transfers Out		Number of Properties		Carrying Value
Core		2	$	54,817	$	—	$	4,280	$	—		2	$	59,097
Fund II		—		34,072		—		1,813		—		—		35,885
Fund III		1		25,798		—		1,494		—		1		27,293
Fund IV (a)		1		69,915		—		—		69,915		—		—
Total		4	$	184,602	$	—	$	7,587	$	69,915		3	$	122,275

Transfers out include $69.9 million related to one Fund IV property that was transferred out of development.

The number of properties in the tables above refers to projects comprising the entire property under development; however, certain projects represent a portion of a property. At June 30, 2023, consolidated development projects included: portions of the Henderson 1 & 2 Portfolio for the Core Portfolio and Broad Hollow Commons at Fund III. In addition, at June 30, 2023, the Company had one Core unconsolidated development project, 1238 Wisconsin Avenue (Note 4).

During the six months ended June 30, 2023, the Company placed $69.9 million related to the remainder of one Fund IV, 717 N. Michigan Avenue, into service.

Construction in progress pertains to construction activity at the Company’s operating properties that are in service and continue to operate during the construction period.