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Impairment Charges and Reserves | 12 Months Ended
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Dec. 31, 2022
Asset Impairment Charges [Abstract] |
Impairment Charges and Reserves | 14. Impairment Charges and Reserves The Company recorded impairment charges and reserves based on the difference between the carrying value of the assets or investments and the estimated fair market value as follows (in millions):
| For the Year Ended December 31, |
| 2022 |  |  | 2021 |  |  | 2020 |
Sale of building to tenant(A) | $ | 2.5 |  |  | $ | — |  |  | $ | — |
Assets marketed for sale(B) |  | — |  |  |  | 7.3 |  |  |  | 3.2 |
Undeveloped land(B) |  | — |  |  |  | — |  |  |  | 2.0 |
Reserve of preferred equity interests(C) |  | — |  |  |  | — |  |  |  | 19.4 |
Total impairment charges | $ | 2.5 |  |  | $ | 7.3 |  |  | $ | 24.6 |
(a) In the second quarter of 2022, the impairment charges recorded were a result of a tenant exercising a $7.0 million fixed-price purchase option on their building pursuant to the lease agreement. This asset was sold in the fourth quarter of 2022. (b) In 2021, the impairment charges recorded were triggered by a change in the hold period assumptions. In 2020, the impairment charges recorded were triggered by indicative bids received. (c) As a result of an aggregate valuation allowance on its preferred equity interests in the BRE DDR Joint Ventures that were transferred or redeemed in the fourth quarter of 2020. Items Measured at Fair Value For operational real estate assets, the significant valuation assumptions included the capitalization rate used in the income capitalization valuation, as well as the projected property net operating income. For the valuation of the preferred equity interests, prior to the closing of the BRE DDR Joint Ventures transactions in the fourth quarter of 2020, the significant assumptions used in the discounted cash flow analysis included the discount rate, projected net operating income, the timing of the expected redemption and the exit capitalization rates. These valuations were calculated based on market conditions and assumptions made by management at the time the valuation adjustments and impairments were recorded, which may differ materially from actual results if market conditions or the underlying assumptions change. The following table presents information about the fair value of real estate that was impaired, and therefore, measured on a fair value basis, along with the related impairment charge, for the years ended December 31, 2022, 2021 and 2020. The table also indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions).
|  | Fair Value Measurements |
|  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |  |  | Total Impairment Charges |
December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Long-lived assets held and used |  | $ | — |  |  | $ | — |  |  | $ | 7.0 |  |  | $ | 7.0 |  |  | $ | 2.5 |
December 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Long-lived assets held and used |  |  | — |  |  |  | — |  |  |  | 10.0 |  |  |  | 10.0 |  |  |  | 7.3 |
December 31, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Long-lived assets held and used |  |  | — |  |  |  | — |  |  |  | 11.5 |  |  |  | 11.5 |  |  |  | 5.2 |
Preferred equity interests |  |  | — |  |  |  | — |  |  |  | 94.2 |  |  |  | 94.2 |  |  |  | 19.4 |
The following table presents quantitative information about the significant unobservable inputs used by the Company to determine the fair value for the years ended December 31, 2022 and 2021 (in millions):
|  | Quantitative Information About Level 3 Fair Value Measurements
|  |  |  |  | Valuation |  |  |  |  |  | Weighted
Description |  | Fair Value |  |  | Technique |  | Unobservable Inputs |  | Range |  | Average
December 31, 2022 |  |  |  |  |  |  |  |  |  |  |
Impairment of consolidated assets |  | $ | 7.0 |  |  | Indicative Bid(A) |  | Indicative Bid(A) |  | N/A |  | N/A
December 31, 2021 |  |  |  |  |  |  |  |  |  |  |
Impairment of consolidated assets |  |  | 10.0 |  |  | Indicative Bid(A) |  | Indicative Bid(A) |  | N/A |  | N/A
(A) Fair value measurements based upon an indicative bid and developed by third-party sources (including offers and comparable sales values), subject to the Company’s corroboration for reasonableness. The Company does not have access to certain unobservable inputs used by these third parties to determine these estimated fair values. Assets where the Company identified an impairment charge, were generally sold within one year of the period in which the impairment charge recorded.

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- Definition The entire disclosure for the details of the charge against earnings resulting from the aggregate write down of all assets from their carrying value to their fair value. Disclosure may also include a description of the impaired asset and facts and circumstances leading to the impairment, amount of the impairment loss and where the loss is located in the income statement, method(s) for determining fair value, and the segment in which the impaired asset is reported. + References No definition available. + Details
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