Real Estate (Tables)
|
9 Months Ended |
Sep. 30, 2026 |
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| Acquisition And Disposition Of Properties And Discontinued Operations [Abstract] |
|
| Schedule of Consolidated Real Estate |
The Company’s consolidated real estate is comprised of the following for the periods presented (in thousands):
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|
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|
|
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September 30,
2026 |
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|
December 31,
2025 |
|
Buildings and improvements |
|
$ |
3,126,806 |
|
|
$ |
3,421,366 |
|
Tenant improvements |
|
|
328,458 |
|
|
|
339,414 |
|
Land |
|
|
1,271,291 |
|
|
|
1,147,236 |
|
Construction in progress |
|
|
37,488 |
|
|
|
32,969 |
|
Right-of-use assets - finance leases (Note 11) |
|
|
61,366 |
|
|
|
61,366 |
|
Total |
|
|
4,825,409 |
|
|
|
5,002,351 |
|
Less: Accumulated depreciation and amortization |
|
|
(1,029,912 |
) |
|
|
(1,018,597 |
) |
Operating real estate, net |
|
|
3,795,497 |
|
|
|
3,983,754 |
|
Real estate under development |
|
|
212,538 |
|
|
|
167,051 |
|
Net investments in real estate |
|
$ |
4,008,035 |
|
|
$ |
4,150,805 |
|
|
| Schedule of Business Acquisitions, by Acquisition |
During the nine months ended September 30, 2026, the Company acquired the following consolidated REIT Portfolio retail properties (dollars in thousands):
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Property and Location |
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Percent
Acquired |
|
Date of
Acquisition |
|
Purchase
Price (a) |
|
2026 REIT Portfolio Acquisitions |
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|
|
|
|
|
|
1045 and 1165 Madison Avenue - New York, NY |
|
100% |
|
January 29, 2026 |
|
$ |
21,313 |
|
Rhode Island Place - Washington, D.C. |
|
100% |
|
March 4, 2026 |
|
|
9,464 |
|
846 W. Armitage Avenue - Chicago, IL |
|
100% |
|
March 5, 2026 |
|
|
4,440 |
|
225 Worth Avenue - Palm Beach, FL |
|
100% |
|
March 27, 2026 |
|
|
43,469 |
|
4-6 Newbury Street and 28 Newbury Street - Boston, MA |
|
100% |
|
April 10, 2026 |
|
|
110,154 |
|
129 5th Avenue - New York, NY |
|
100% |
|
June 15, 2026 |
|
|
9,611 |
|
8800-8804 Melrose Avenue - West Hollywood, CA |
|
100% |
|
July 2, 2026 |
|
|
30,204 |
|
171-173 Greenwich Avenue - Greenwich, CT |
|
100% |
|
August 5, 2026 |
|
|
10,109 |
|
385 Bleecker Street - New York, NY |
|
100% |
|
August 20, 2026 |
|
|
10,206 |
|
371-373 Bleecker Street - New York, NY |
|
100% |
|
August 20, 2026 |
|
|
10,009 |
|
69-73 Greene Street - New York, NY |
|
100% |
|
September 1, 2026 |
|
|
66,113 |
|
2310 N. Henderson Avenue - Dallas, TX (b) |
|
100% |
|
September 2, 2026 |
|
|
3,202 |
|
44 Main Street - Westport, CT |
|
100% |
|
September 29, 2026 |
|
|
23,108 |
|
Total 2026 REIT Portfolio Acquisitions (c) |
|
|
|
|
|
$ |
351,402 |
|
(a)Cumulative purchase price includes capitalized transaction costs of $5.7 million. (b)Development land parcel acquired as part of the overall Henderson Avenue development project in Dallas, TX for $3.2 million, inclusive of transaction costs. (c)In connection with an acquisition in the third quarter, the Company recorded, as part of the purchase price allocation, a $5.3 million liability for certain pre-acquisition leasing matters affecting a portion of the property. This estimate is based on currently available information and is subject to change. The Company does not currently expect amounts in excess of this liability to be material.
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| Schedule of Development in Process Activities |
Development activity for these properties during the periods presented is summarized below (dollars in thousands):
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January 1, 2026 |
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|
Nine Months Ended September 30, 2026 |
|
|
September 30, 2026 |
|
|
|
Number of
Properties |
|
|
Carrying
Value |
|
|
Transfers In |
|
|
Capitalized
Costs (a) |
|
|
Transfers Out |
|
|
Number of
Properties |
|
|
Carrying
Value |
|
REIT Portfolio (b) |
|
|
13 |
|
|
$ |
167,051 |
|
|
$ |
3,202 |
|
|
$ |
42,285 |
|
|
$ |
— |
|
|
|
14 |
|
|
$ |
212,538 |
|
Total |
|
|
13 |
|
|
$ |
167,051 |
|
|
$ |
3,202 |
|
|
$ |
42,285 |
|
|
$ |
— |
|
|
|
14 |
|
|
$ |
212,538 |
|
(a)Includes construction in progress at operating properties that remain in service during the construction period. (b)Transfers in for the period relate to the acquisition of development property 2310 N. Henderson Avenue (Note 2).
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| Schedule of Significant Assumptions Used in Calculating Fair Value of the Asset Acquisitions |
The most significant assumptions used in calculating the “as-if vacant” value for acquisition activity during 2026 are as follows:
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2026 |
|
|
|
Low |
|
High |
|
Exit Capitalization Rate |
|
|
5.00 |
% |
|
6.75 |
% |
Discount Rate |
|
|
6.25 |
% |
|
8.50 |
% |
Annual net rental rate per square foot on acquired buildings |
|
$ |
10.50 |
|
$ |
500.00 |
|
Annual net rental rate per square foot on acquired ground lease |
|
$ |
4.71 |
|
$ |
23.83 |
|
|