v3.26.1
Investment in Unconsolidated Real Estate Partnerships (Tables)
 6 Months Ended
Jun. 30, 2026
Equity Method Investments and Joint Ventures [Abstract]  
Schedule of Equity Method Investments We account for these Joint Ventures using the equity method of accounting and our ownership interests meet the definition of a VIE. However, we are not the primary beneficiary and do not consolidate these entities.
Virginia JV (1)Value-Add JV (2)Core JV
Initial formation dateOctober 2021June 2023July 2023
AIR ownership20%30%53%
Outside entities' ownership80%70%47%
Number of apartment communities1112
Apartment homes7484433,909
(1)On January 20, 2026, the Virginia JV sold an apartment community with 360 apartment homes for gross consideration of $138.1 million, recognizing a gain on the disposition of $40.5 million. On May 21, 2026, the Virginia JV sold an apartment community with 640 apartment homes for gross consideration of $216.2 million, recognizing a gain on the disposition of $60.7 million.
(2)Our partner holds a 70% legal ownership in the Value-Add JV, however, we are entitled to 50% of the net cash flows from operations, and various fees for providing property management, construction, and corporate services to the joint venture.
The following tables summarize certain relevant information with respect to our investments in unconsolidated joint ventures (in thousands):
June 30, 2026
Virginia JVValue-Add JVCore JV
Third-party debt (1)$146,228 $87,506 $890,832 
AIR Operating Partnership's investment in balance (2)
$7,701 $28,483 $249,388 
December 31, 2025
Virginia JVValue-Add JVCore JV
Third-party debt$395,000 $87,988 $890,925 
AIR Operating Partnership's investment in balance (2)
$8,877 $28,767 $255,465 
(1)In connection with the sale of two apartment communities, the Virginia JV repaid $248.8 million of third-party debt.
(2)Our investment in balance includes deferred acquisitions costs that are subject to amortization. Our investment in unconsolidated real estate partnerships in our condensed consolidated balance sheets also includes $20.0 million related to an immaterial unconsolidated investment as of June 30, 2026, and $21.2 million related to two immaterial unconsolidated investments as of December 31, 2025.
The table below presents income (loss) from unconsolidated real estate partnerships within our condensed consolidated statements of operations (in thousands):
Three Months EndedSix Months Ended
June 30, 2026June 30, 2025June 30, 2026June 30, 2025
Virginia JV (1)$11,977 $(462)$19,849 $(1,411)
Value-Add JV
415 (358)(370)(784)
Core JV
(2,635)(2,101)(4,606)(4,336)
Total (2)
$9,757 $(2,921)$14,873 $(6,531)
(1)For the three and six months ended June 30, 2026, the income (loss) from unconsolidated real estate partnerships includes AIR Operating Partnership's proportionate share of the gain on the disposition of real estate in the amount of $12.1 million and $20.2 million, respectively.
(2)For the three and six months ended June 30, 2026, our income (loss) from unconsolidated real estate partnerships in our condensed consolidated statements of operations also includes a $0.5 million gain on disposition related to an immaterial unconsolidated investment that we sold on April 27, 2026.