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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Schedule of Variable Interest Entities

As of December 31, 2022, the operating partnership has determined that 13 of its joint ventures met the definition of a VIE and are consolidated:

Entity			Property			Ownership Interest
Hudson 1455 Market, L.P.			1455 Market			55.0		%
Hudson 1099 Stewart, L.P.			Hill7			55.0		%
HPP-MAC WSP, LLC			One Westside and 10850 Pico			75.0		%
Hudson One Ferry REIT, L.P.			Ferry Building			55.0		%
Sunset Bronson Entertainment Properties, LLC			Sunset Bronson Studios, ICON, CUE			51.0		%
Sunset Gower Entertainment Properties, LLC			Sunset Gower Studios			51.0		%
Sunset 1440 North Gower Street, LLC			Sunset Gower Studios			51.0		%
Sunset Las Palmas Entertainment Properties, LLC			Sunset Las Palmas Studios, Harlow			51.0		%
Sunset Services Holdings, LLC			None(1)			51.0		%
Sunset Studios Holdings, LLC			EPIC			51.0		%
Hudson Media and Entertainment Management, LLC			None(2)			51.0		%
Hudson 6040 Sunset, LLC			6040 Sunset			51.0		%
Hudson 1918 Eighth, L.P.			1918 Eighth			55.0		%

__________________ 

1.Sunset Services Holdings, LLC wholly owns Services Holdings, LLC, which owns 100% interests in Sunset Bronson Services, LLC, Sunset Gower Services, LLC and Sunset Las Palmas Services, LLC, which provide services to Sunset Bronson Entertainment Properties, LLC, Sunset Gower Entertainment Properties, LLC and Sunset Las Palmas Entertainment Properties, LLC, respectively.

2.Hudson Media and Entertainment Management, LLC manages the following properties: Sunset Gower Studios, Sunset Bronson Studios, Sunset Las Palmas Studios, 6040 Sunset, ICON, CUE, EPIC and Harlow (collectively “Hollywood Media Portfolio”).

The following table summarizes the Company’s investments in unconsolidated joint ventures:

Property

Property Type

Submarket

Ownership Interest

Functional Currency

Sunset Waltham Cross Studios

Development

Broxbourne, United Kingdom

35%

Pound sterling

(1)

Sunset Glenoaks Studios

Development

Los Angeles

50%

U.S. dollar

(2)(3)

Bentall Centre

Operating Property

Downtown Vancouver

20%

Canadian dollar

(2)(4)

__________________ 

1.On July 29, 2021, the Company purchased 35% of the ownership interests in the joint venture that owns the Sunset Waltham Cross Studios development. The Company also owns 35% of the ownership interests in the joint venture entities formed to serve as the general partner and management services company for the property-owning joint venture entity.

2.The Company serves as the operating member of this joint venture.

3.The Company has provided various guarantees for the joint venture’s construction loan, including a completion guarantee, equity guarantee and recourse carve-out guarantee.

4.The Company has guaranteed the joint venture’s outstanding indebtedness in the amount of $98.1 million.

Schedule of Costs Capitalized

The Company recognized the following capitalized costs associated with development and redevelopment activities:

						Year Ended December 31,
						2022						2021						2020
Capitalized personnel costs						$	18,098					$	16,728					$	15,843
Capitalized interest						$	18,031					$	21,689					$	19,509

Property, Plant and Equipment Net

The Company computes depreciation and amortization using the straight-line method over the estimated useful lives of the assets as represented in the table below:

Asset Description						Estimated Useful Life (Years)
Building and improvements						Shorter of the ground lease term or 39
Land improvements						15
Furniture and fixtures						5 to 7
Tenant and leasehold improvements						Shorter of the estimated useful life or the lease term

The following table summarizes the Company’s non-real estate property, plant and equipment, net as of:

			December 31, 2022						December 31, 2021
Trailers			$	68,973					$	35,181
Production equipment			36,019						—
Trucks and other vehicles			20,306						12,204
Leasehold improvements			16,993						15,267
Furniture, fixtures and equipment			5,849						4,592
Other equipment			5,693						4,605
Non-real estate property, plant and equipment, at cost			153,833						71,849
Accumulated depreciation			(23,544)						(13,380)
NON-REAL ESTATE PROPERTY, PLANT AND EQUIPMENT, NET			$	130,289					$	58,469

Schedule of Cash and Cash Equivalents

The following table provides a reconciliation of cash and cash equivalents and restricted cash at the beginning and end of the periods presented:

						December 31,
						2022						2021						2020
BEGINNING OF THE PERIOD
Cash and cash equivalents						$	96,555					$	113,686					$	46,224
Restricted cash						100,321						35,854						12,034
TOTAL						$	196,876					$	149,540					$	58,258
END OF THE PERIOD
Cash and cash equivalents						$	255,761					$	96,555					$	113,686
Restricted cash						29,970						100,321						35,854
TOTAL						$	285,731					$	196,876					$	149,540

Schedule of Restricted Cash and Cash Equivalents

The following table provides a reconciliation of cash and cash equivalents and restricted cash at the beginning and end of the periods presented:

						December 31,
						2022						2021						2020
BEGINNING OF THE PERIOD
Cash and cash equivalents						$	96,555					$	113,686					$	46,224
Restricted cash						100,321						35,854						12,034
TOTAL						$	196,876					$	149,540					$	58,258
END OF THE PERIOD
Cash and cash equivalents						$	255,761					$	96,555					$	113,686
Restricted cash						29,970						100,321						35,854
TOTAL						$	285,731					$	196,876					$	149,540

Schedule of Prepaid Expenses and Other Assets, Net

The following table represents the Company’s prepaid expenses and other assets, net as of:

						December 31, 2022						December 31, 2021
Non-real estate investments						$	47,329					$	31,447
Interest rate derivative assets						9,292						368
Prepaid insurance						6,530						5,442
Deferred financing costs, net						5,824						7,750
Inventory						4,914						1,578
Prepaid property tax						2,041						2,192
Stock purchase warrant						95						1,664
Deposits and pre-development costs for future acquisitions						—						47,605
Other						22,812						20,954
PREPAID EXPENSES AND OTHER ASSETS, NET						$	98,837					$	119,000

Schedule of Revenue Streams

Revenue Stream

Components

Financial Statement Location

Rental revenues

Office, stage and storage rentals

Office and studio segments: rental

Tenant recoveries and other tenant-related revenues

Reimbursement of real estate taxes, insurance, repairs and maintenance, other operating expenses and must-take parking revenues

Office segment: rental Studio segment: rental and service and other revenues

Ancillary revenues

Revenues derived from tenants’ use of power, HVAC and telecommunications (i.e., telephone and internet) and lighting, equipment and vehicle rentals

Studio segment: service and other revenues

Other revenues

Parking revenue that is not associated with lease agreements and other

Office and studio segments: service and other revenues

Sale of real estate

Gains on sales derived from cash consideration less cost basis

Gains on sale of real estate

Management fee income

Income derived from management services provided to unconsolidated joint venture entities

Fee income

Management services reimbursement income

Reimbursement of costs incurred by the Company in the management of unconsolidated joint venture entities

Management services reimbursement income—unconsolidated real estate entities

The following table summarizes the Company’s revenue streams that are accounted for under ASC 606:

						Year Ended December 31,
						2022						2021						2020
Ancillary revenues						$	107,075					$	46,984					$	16,781
Other revenues						$	23,118					$	15,168					$	16,582
Studio-related tenant recoveries						$	1,951					$	1,962					$	1,560
Management fee income						$	7,972					$	3,221					$	2,815
Management services reimbursement income						$	4,163					$	1,132					$	—

The following table summarizes the Company’s receivables that are accounted for under ASC 606:

						December 31, 2022						December 31, 2021
Ancillary revenues						$	15,503					$	7,381
Other revenues						$	1,193					$	1,078

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