Equity Investments - (Tables)

12 Months Ended

Dec. 31, 2020

Equity Method Investments and Joint Ventures [Abstract]

Schedule of Investments in Unconsolidated Entities

The Company’s preferred equity ownership interests accounted for under the equity method consist of the following as of December 31, 2020 and 2019, respectively (dollar amounts in thousands):


	December 31, 2020			December 31, 2019
Investment Name	Ownership Interest	Fair Value		Ownership Interest	Carrying Amount
BBA-EP320 II, L.L.C., BBA-Ten10 II, L.L.C., and Lexington on the Green Apartments, L.L.C. (collectively)	45%	$	11,441	45%	$	10,108
Somerset Deerfield Investor, LLC	45%	18,792		45%	17,417
RS SWD Owner, LLC, RS SWD Mitchell Owner, LLC, RS SWD IF Owner, LLC, RS SWD Mullis Owner, LLC, RS SWD JH Mullis Owner, LLC and RS SWD Saltzman Owner, LLC (collectively)	43%	5,140		43%	4,878
Audubon Mezzanine Holdings, L.L.C. (Series A)	57%	11,456		57%	10,998
EP 320 Growth Fund, L.L.C. (Series A) and Turnbury Park Apartments - BC, L.L.C. (Series A) (collectively)	46%	7,234		46%	6,847
Walnut Creek Properties Holdings, L.L.C.	36%	8,803		36%	8,288
Towers Property Holdings, LLC	37%	12,119		37%	11,278
Mansions Property Holdings, LLC	34%	11,679		34%	10,867
Sabina Montgomery Holdings, LLC - Series B and Oakley Shoals Apartments, LLC - Series A (collectively)	43%	4,320		43%	4,062
Gen1814, LLC - Series A, Highlands - Mtg. Holdings, LLC - Series A, and Polos at Hudson Investments, LLC - Series A (collectively)	37%	9,966		37%	9,396
Axis Apartments Holdings, LLC, Arbor-Stratford Holdings II, LLC - Series B, Highlands - Mtg. Holdings, LLC - Series B, Oakley Shoals Apartments, LLC - Series C, and Woodland Park Apartments II, LLC (collectively)	53%	12,337		53%	11,944
DCP Gold Creek, LLC	44%	6,357		—	—
1122 Chicago DE, LLC	53%	7,222		—	—
Rigsbee Ave Holdings, LLC	56%	10,222		—	—
Bighaus, LLC	42%	14,525		—	—
FF/RMI 20 Midtown, LLC	51%	23,936		—	—
Lurin-RMI, LLC	38%	7,216		—	—
Total - Preferred Equity Ownership Interests		$	182,765		$	106,083

The following table presents income from preferred equity ownership interests accounted for under the equity method using the fair value option for the year ended December 31, 2020 and income from preferred equity ownership interests accounted for under the equity method for the years ended December 31, 2019 and December 31, 2018, respectively (dollar amounts in thousands). Income from these investments, which includes $0.3 million of net unrealized gains during the year ended December 31, 2020 is presented in income from equity investments in the Company's accompanying consolidated statements of operations.


	For the Years Ended December 31,
Investment Name		2020		2019		2018
BBA-EP320 II, L.L.C., BBA-Ten10 II, L.L.C., and Lexington on the Green Apartments, L.L.C. (collectively)		$	1,260	$	1,167	$	1,050
Somerset Deerfield Investor, LLC		2,168		1,992		251
RS SWD Owner, LLC, RS SWD Mitchell Owner, LLC, RS SWD IF Owner, LLC, RS SWD Mullis Owner, LLC, RS SWD JH Mullis Owner, LLC and RS SWD Saltzman Owner, LLC (collectively)		551		539		76
Audubon Mezzanine Holdings, L.L.C. (Series A)		1,213		1,224		59
EP 320 Growth Fund, L.L.C. (Series A) and Turnbury Park Apartments - BC, L.L.C. (Series A) (collectively)		782		741		—
Walnut Creek Properties Holdings, L.L.C.		928		803		—
Towers Property Holdings, LLC		1,243		638		—
Mansions Property Holdings, LLC		1,198		615		—
Sabina Montgomery Holdings, LLC - Series B and Oakley Shoals Apartments, LLC - Series A (collectively)		454		188		—
Gen1814, LLC - Series A, Highlands - Mtg. Holdings, LLC - Series A, and Polos at Hudson Investments, LLC - Series A (collectively)		1,044		367		—
Axis Apartments Holdings, LLC, Arbor-Stratford Holdings II, LLC - Series B, Highlands - Mtg. Holdings, LLC - Series B, Oakley Shoals Apartments, LLC - Series C, and Woodland Park Apartments II, LLC (collectively)		1,293		267		—
DCP Gold Creek, LLC		701		—		—
1122 Chicago DE, LLC		835		—		—
Rigsbee Ave Holdings, LLC		1,148		—		—
Bighaus, LLC		1,002		—		—
FF/RMI 20 Midtown, LLC		686		—		—
Lurin-RMI, LLC		81		—		—
Total - Preferred Equity Ownership Interests		$	16,587	$	8,541	$	1,436

Summary combined financial information for the Company’s equity investments as of December 31, 2020 and 2019, respectively, and for the years ended December 31, 2020, 2019, and 2018, respectively, is shown below (dollar amounts in thousands):


	December 31, 2020		December 31, 2019
Balance Sheets:
Real estate, net	$	917,392	$	829,935
Residential loans, at fair value	268,693		266,739
Other assets	190,429		126,491
Total assets	$	1,376,514	$	1,223,165

Notes payable, net	$	649,241	$	610,636
Collateralized debt obligations	233,765		233,765
Other liabilities	23,734		23,387
Total liabilities	906,740		867,788
Members' equity	469,774		355,377
Total liabilities and members' equity	$	1,376,514	$	1,223,165


	For the Years Ended December 31,
	2020		2019		2018
Operating Statements: (1)
Rental revenues	$	80,339	$	63,265	$	37,921
Real estate sales	54,100		42,350		49,750
Cost of real estate sales	(32,779)		(25,534)		(37,452)
Interest income	14,438		9,214		—
Realized and unrealized gains, net	27,107		10,452		—
Other income	7,566		4,697		1,719
Operating expenses	(54,691)		(42,383)		(20,599)
Income before debt service, acquisition costs, and depreciation and amortization	96,080		62,061		31,339
Interest expense	(36,601)		(28,340)		(16,456)
Acquisition costs	—		—		(183)
Depreciation and amortization	(38,112)		(45,548)		(15,176)
Net income (loss)	$	21,367	$	(11,827)	$	(476)

(1)The Company records income (loss) from equity investments under either the equity method of accounting or the fair value option. Accordingly, the combined net (loss) income shown above is not indicative of the income recognized by the Company from equity investments.