XML 63 R29.htm IDEA: XBRL DOCUMENT v2.4.0.8
Other Investments (Tables)
 9 Months Ended
Sep. 30, 2013
Schedule of Equity Method Investments [Line Items]  
Schedule of other investments and its proportionate share of results for equity method investments
The Company's other investments and its proportionate share of results from equity method investments were as follows ($ in thousands):
 
Carrying Value as of
 
Equity in Earnings
 
September 30, 2013
 
December 31, 2012
 
For the Three Months
Ended September 30,
 
For the Nine Months
Ended September 30,
 
 
 
 
 
2013
 
2012
 
2013
 
2012
LNR
$
—

 
$
205,773

 
$
—

 
$
15,206

 
$
16,465

 
$
36,017

Madison Funds
63,784

 
56,547

 
3,674

 
3,206

 
10,798

 
11,937

Oak Hill Funds
23,831

 
29,840

 
1,207

 
2,049

 
3,272

 
5,932

Real estate equity investments
45,927

 
47,619

 
(966
)
 
2,219

 
1,755

 
17,709

Other equity method investments
46,335

 
47,939

 
430

 
39

 
2,056

 
4,330

Total equity method investments
$
179,877

 
$
387,718

 
$
4,345

 
$
22,719

 
$
34,346

 
$
75,925

Other
7,633

 
11,125

 
 
 
 
 
 
 
 
Total other investments
$
187,510

 
$
398,843

 
 
 
 
 
 
 
 
LNR Property LLC (LNR)
  
Schedule of Equity Method Investments [Line Items]  
Schedule of summarized Income Statements
The following tables represent the latest available investee level summarized financial information for LNR ($ in thousands)(1):
 
For the Period from April 1, 2013 to
April 19, 2013
 
For the Three Months
Ended June 30, 2012
 
For the Period from October 1, 2012 to April 19, 2013
 
For the Nine Months
Ended June 30, 2012
Income Statements
 
 
 
 
 
 
 
Total revenue(2)
$
32,794

 
$
86,038

 
$
179,373

 
$
234,734

Income tax expense
$
736

 
$
1,293

 
$
2,137

 
$
4,935

Net income (loss) attributable to LNR
$
(51,983
)
 
$
63,420

 
$
179,719

 
$
150,219

iStar's ownership percentage
24
%
 
24
%
 
24
%
 
24
%
Equity in earnings from LNR(3)
$
—

 
$
15,206

 
$
55,553

 
$
36,017
Schedule of summarized Balance Sheets
 
As of June 30,
 
As of September 30,
 
2013
 
2012
Balance Sheets
 
 
 
Total assets(2)
$
—

 
$
98,513,452

Total debt(2)
$
—

 
$
97,521,520

Total liabilities(2)
$
—

 
$
97,639,696

Noncontrolling interests
$
—

 
$
8,067

LNR Property LLC equity
$
—

 
$
865,689

iStar's ownership percentage
0
%
 
24
%
iStar's equity in LNR(4)
$
—

 
$
205,773

Explanatory Notes:
_______________________________________________________________________________
(1)
The Company recorded its investment in LNR, which was sold in April 2013, on a one quarter lag, therefore, amounts in the Company's financial statements for the three and nine months ended September 30, 2013 and 2012 are based on balances and results from LNR for the period from April 1, 2013 to April 19, 2013 and for the period from October 1, 2012 to April 19, 2013, respectively.
(2)
LNR consolidates certain commercial mortgage-backed securities and collateralized debt obligation trusts that are considered VIEs (and for which it is the primary beneficiary), that have been included in the amounts presented above. As of September 30, 2012, the assets of these trusts, which aggregated $97.5 billion were the sole source of repayment of the related liabilities, which aggregated $97.2 billion and are non-recourse to LNR and its equity holders, including the Company. Excluding the amounts related to VIEs, as of September 30, 2012, total assets were $1.38 billion, total debt was $398.9 million and total liabilities were $517.1 million. In addition, total revenue presented above includes $5.1 million and $27.5 million for the period from April 1, 2013 to April 19, 2013 and three months ended June 30, 2012, respectively, and $55.5 million and $72.6 million for the period from October 1, 2012 to April 19, 2013 and nine months ended June 30, 2012, respectively, of servicing fee revenue that is eliminated upon consolidation of the VIE's at the LNR level. This income is then added back through consolidation at the LNR level as an adjustment to income allocable to noncontrolling entities and has no net impact on net income attributable to LNR.
(3)
The loss for the period from April 1, 2013 to April 19, 2013 had already been considered in the Company's other than temporary impairment assessment during the first and second quarters of 2013. As such, no equity in earnings was recorded during the quarter ended September 30, 2013. The total equity in earnings recognized for LNR was $55.6 million for the nine months ended September 30, 2013.
(4)
Represents the Company's investment in LNR at September 30, 2013 and December 31, 2012, respectively.
Schedule of equity method investment, carrying value rollforward
The following table reconciles the activity related to the Company's investment in LNR for each of the three months ended March 31, 2013, June 30, 2013 and September 30, 2013 and for the nine months ended September 30, 2013 ($ in thousands):
 
For the Three Months Ended March 31, 2013
 
For the Three Months Ended June 30, 2013
 
For the Three Months Ended September 30, 2013
 
For the Nine Months Ended September 30, 2013
 
Carrying value of LNR at beginning of period
$
205,773

 
$
220,281

 
$
—

 
$
205,773

 
Equity in earnings of LNR for the period
$
45,375

 
$
10,178

 
$
—

 
$
55,553

(a)
Balance before other than temporary impairment
$
251,148

 
$
230,459

 
$
—

 
$
261,326

 
Other than temporary impairment
$
(30,867
)
 
$
(10,178
)
 
$
—

 
$
(41,045
)
(b)
Sales proceeds pursuant to contract
$
—

 
$
(220,281
)
 
$
—

 
$
(220,281
)
 
Carrying value of LNR at end of period
$
220,281

 
$
—

 
$
—

 
$
—