Other Investments (Tables)

12 Months Ended

Dec. 31, 2022

Investments, All Other Investments [Abstract]

Schedule of other investments and proportionate share of earnings from equity method investments

The Company’s other investments and its proportionate share of earnings (losses) from equity method investments were as follows ($ in thousands):


	Carrying Value				Equity in Earnings (Losses)
	As of December 31,				For the Years Ended December 31,
	2022		2021		2022		2021		2020
Real estate equity investments
Safehold Inc. ("SAFE")⁽¹⁾	$	1,237,086	$	1,168,532	$	38,885	$	108,393	$	53,476
Ground Lease Plus Fund		65,791		17,630		2,807		6		—
Other real estate equity investments⁽²⁾		32,405		44,349		19,625		36,600		(12,929)
Subtotal		1,335,282		1,230,511		61,317		144,999		40,547
Other strategic investments⁽³⁾		25,400		66,770		(2,637)		9,345		(1,075)
Total	$	1,360,682	$	1,297,281	$	58,680	$	154,344	$	39,472

(1)

As of December 31, 2022, the Company owned 33.9 million shares of SAFE common stock which, based on the closing price of $28.62 on December 31, 2022, had a market value of $1.0 billion. Pursuant to ASC 323-10-40-1, an equity method investor shall account for a share issuance by an investee as if the investor had sold a proportionate share of its investment. Any gain or loss to the investor resulting from an investee’s share issuance shall be recognized in earnings. For the years ended December 31, 2022, 2021 and 2020, equity in earnings includes $0.9 million, $60.7 million and $14.4 million, respectively, of dilution gains resulting from SAFE equity offerings. During the year ended December 31, 2022, the Company distributed shares of SAFE common stock to its shareholders in the form of a dividend and realized a loss of $49.3 million on the distribution in equity in earnings from equity method investments.

(2)

During the year ended December 31, 2022, one of the Company’s real estate equity investments closed on the sale of a multifamily property. The Company received a distribution of $15.9 million from the sale and recognized a gain of $11.5 million in “Earnings from equity method investments” in the Company’s consolidated statements of operations.

(3)

During the years ended December 31, 2021 and 2020, the Company identified observable price changes in an equity security held by the Company as evidenced by orderly private issuances of similar securities by the same issuer. In accordance with ASC 321, the Company remeasured its equity investment at fair value and recognized aggregate mark-to-market gains during the years ended December 31, 2021 and 2020 of $18.9 million and $23.9 million, respectively, in “Other income” in the Company’s consolidated statements of operations. The Company’s equity security was redeemed at its carrying value in the fourth quarter of 2021.

Schedule of summarized financial information

The following table presents the investee level summarized financial information of the Company’s equity method investments ($ in thousands):


	As of December 31,					For the Years Ended December 31,
	2022		2021			2022		2021		2020
Balance Sheets					Income Statements
Total assets	$	6,124,451	$	6,107,890	Revenues	$	640,429	$	889,131	$	129,789
Total liabilities		3,754,720		3,019,208	Expenses		(237,671)		(254,001)		(188,605)
Noncontrolling interests		23,587		3,024	Net income (loss) attributable to parent entities		393,492		634,896		(59,010)
Total equity attributable to parent entities		2,346,143		3,085,657