Restricted Cash, Other Assets and Other Liabilities

3 Months Ended

Mar. 31, 2023

Restricted Cash, Other Assets And Other Liabilities [Abstract]

Restricted Cash, Other Assets and Other Liabilities

7. Restricted Cash, Other Assets and Other Liabilities

Restricted Cash

Restricted cash represents principally cash reserves that are maintained pursuant to the governing agreements of the various securitized debt of the Company and subsidiaries in the Operating segment.

Other Assets

The following table summarizes the Company's other assets:


(In thousands)	March 31, 2023		December 31, 2022
Straight-line rents	$	46,295	$	42,721
Investment deposits and pending deal costs	15,192		1,377


Derivative assets	—		11,793
Prepaid taxes and deferred tax assets, net	13,440		8,709
Receivables from resolution of investment	350		14,923
Operating lease right-of-use asset—corporate offices	23,141		23,689
Operating lease right-of-use asset—investment properties	307,304		305,760
Finance lease right-of-use asset—investment properties	117,349		120,261
Accounts receivable, net (1)	59,366		66,059
Prepaid expenses	27,260		28,760
Other assets	19,466		15,798
Fixed assets, net (2)	13,288		14,200
Total other assets	$	642,451	$	654,050

__________

(1) Includes primarily receivables from tenants in the Operating segment.

(2) Net of accumulated depreciation of $15.1 million at March 31, 2023 and $17.9 million at December 31, 2022.

Other Liabilities

The following table summarizes the Company's other liabilities:


(In thousands)	March 31, 2023		December 31, 2022
Deferred investment management fees (1)	$	7,555	$	6,264
Other deferred income (2)	65,782		55,188
Interest payable—corporate debt	5,807		4,431
Interest payable—investment level debt	5,889		5,624
Dividends payable	16,444		16,491


Securities sold short—consolidated funds	45,628		40,928
Due to custodians—consolidated funds	29,129		35,458
Current and deferred income tax liability	9,396		98
Contingent consideration payable—InfraBridge (Note 10)	10,938		—
Contingent consideration payable—Wafra (Note 10)	35,000		125,000
Warrants issued to Wafra (Note 10)	22,200		17,700
Operating lease liability—corporate offices	39,535		40,497
Operating lease liability—investment properties	287,150		282,433
Finance lease liability—investment properties	133,723		135,624
Accrued compensation	41,086		52,031
Accrued incentive fee and carried interest compensation	134,078		171,086
Accrued real estate and other taxes	15,886		21,580
Payable for Vantage SDC expansion capacity (3)	6,889		56,889
Accounts payable and accrued expenses	219,414		185,900
Due to affiliates (Note 16)	860		12,451
Other liabilities	1,179		6,423
Other liabilities	$	1,133,568	$	1,272,096

__________

(1) Deferred investment management fees are expected to be recognized as fee income over a weighted average period of 3.8 years as of at March 31, 2023 and 2.9 years as of December 31, 2022. Deferred investment management fees recognized as income of $1.4 million and $2.4 million in the three months ended March 31, 2023 and 2022, respectively, pertain to the deferred management fee balance at the beginning of each respective period.

(2) Represents primarily prepaid rental income and upfront payment received for data center installation services in the Operating segment.

(3) Represents deferred purchase consideration associated with a Vantage SDC add-on acquisition in 2021 that is to be paid upon future lease-up.

Deferred Income Taxes

The Company has significant deferred tax assets, related principally to capital loss carryforwards, outside basis difference in DBRG's interest in the OP, outside basis difference in investment in partnerships and net operating losses generated by a taxable U.S. subsidiary. As of March 31, 2023 and December 31, 2022, a full valuation allowance has been established as the realizability of these deferred tax assets did not meet the more-likely-than-not threshold. As a result, income tax expense for the three months ended March 31, 2023, generally reflects the income tax effect of foreign subsidiaries.