Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 14, 2019 | Jun. 29, 2018 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | WASHINGTON REAL ESTATE INVESTMENT TRUST | ||
Entity Central Index Key | 104,894 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 79,934,363 | ||
Entity Shell Company | false | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 2,365,862,442 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Land | $ 614,659 | $ 588,025 |
Income producing property | 2,271,926 | 2,113,977 |
Real estate investment property, at cost | 2,886,585 | 2,702,002 |
Accumulated depreciation and amortization | (770,535) | (683,692) |
Net income producing property | 2,116,050 | 2,018,310 |
Properties under development or held for future development | 87,231 | 54,422 |
Total real estate held for investment, net | 2,203,281 | 2,072,732 |
Investment in real estate sold or held for sale, net | 0 | 68,534 |
Cash and cash equivalents | 6,016 | 9,847 |
Restricted cash | 1,624 | 2,776 |
Rents and other receivables, net of allowance for doubtful accounts of $3,561 and $2,426 respectively | 73,861 | 69,766 |
Prepaid expenses and other assets | 132,322 | 125,087 |
Other assets related to properties sold or held for sale | 0 | 10,684 |
Total assets | 2,417,104 | 2,359,426 |
Liabilities | ||
Notes payable, net | 995,397 | 894,358 |
Mortgage notes payable, net | 59,792 | 95,141 |
Line of credit | 188,000 | 166,000 |
Accounts payable and other liabilities | 59,567 | 61,565 |
Dividend payable | 24,022 | 23,581 |
Advance rents | 11,736 | 12,487 |
Tenant security deposits | 10,112 | 9,149 |
Other liabilities related to properties sold or held for sale | 0 | 1,809 |
Total liabilities | 1,348,626 | 1,264,090 |
Shareholders’ equity | ||
Preferred shares; $0.01 par value; 10,000 shares authorized; no shares issued or outstanding | 0 | 0 |
Shares of beneficial interest, $0.01 par value; 100,000 shares authorized; 79,910 and 78,510 shares issued and outstanding, respectively | 799 | 785 |
Additional paid in capital | 1,526,574 | 1,483,980 |
Distributions in excess of net income | (469,085) | (399,213) |
Accumulated other comprehensive income | 9,839 | 9,419 |
Total shareholders’ equity | 1,068,127 | 1,094,971 |
Noncontrolling interests in subsidiary | 351 | 365 |
Total equity | 1,068,478 | 1,095,336 |
Total liabilities and equity | $ 2,417,104 | $ 2,359,426 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Rents and receivables, allowance for doubtful accounts | $ 3,561 | $ 2,426 |
Preferred shares, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred shares, authorized (in shares) | 10,000 | 10,000 |
Preferred shares, issued (in shares) | 0 | 0 |
Preferred shares, outstanding (in shares) | 0 | 0 |
Shares of beneficial interest, issued (in shares) | 79,910 | 78,510 |
Shares of beneficial interest, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Shares of beneficial interest, authorized (in shares) | 100,000 | 100,000 |
Shares of beneficial interest, outstanding (in shares) | 79,910 | 78,510 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue | |||
Real estate rental revenue | $ 336,890 | $ 325,078 | $ 313,264 |
Expenses | |||
Cost of Revenue | 116,230 | 115,650 | 115,013 |
Depreciation and amortization | 121,228 | 112,056 | 108,406 |
Acquisition costs | 0 | 0 | 1,178 |
Real estate impairment and casualty (gain), net | 1,886 | 33,152 | (676) |
General and administrative | 22,089 | 22,580 | 19,545 |
Total expenses | 261,433 | 283,438 | 243,466 |
Other operating income | |||
Gain on sale of real estate | 2,495 | 24,915 | 101,704 |
Real estate operating income | 77,952 | 66,555 | 171,502 |
Other income (expense) | |||
Interest expense | (51,144) | (47,534) | (53,126) |
Other income | 0 | 507 | 297 |
Loss on extinguishment of debt | (1,178) | 0 | 0 |
Income tax benefit | 0 | 84 | 615 |
Total other income (expense) | (52,322) | (46,943) | (52,214) |
Net income | 25,630 | 19,612 | 119,288 |
Less: Net loss attributable to noncontrolling interests in subsidiaries | 0 | 56 | 51 |
Net income attributable to the controlling interests | $ 25,630 | $ 19,668 | $ 119,339 |
Basic net income attributable to the controlling interests per share | |||
Basic net income attributable to the controlling interests per share (in dollars per share) | $ 0.32 | $ 0.25 | $ 1.65 |
Diluted net income attributable to the controlling interests per share | |||
Diluted net income attributable to the controlling interests per share (in dollars per share) | $ 0.32 | $ 0.25 | $ 1.65 |
Weighted average shares outstanding – basic (in shares) | 78,960 | 76,820 | 72,163 |
Weighted average shares outstanding – diluted (in shares) | 79,042 | 76,935 | 72,339 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 25,630 | $ 19,612 | $ 119,288 |
Unrealized gain on interest rate hedges | 420 | 1,808 | 8,161 |
Comprehensive income | 26,050 | 21,420 | 127,449 |
Less: Net loss attributable to noncontrolling interests in subsidiaries | 0 | 56 | 51 |
Comprehensive income attributable to the controlling interests | $ 26,050 | $ 21,476 | $ 127,500 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) shares in Thousands, $ in Thousands | Total | Shares Of Beneficial Interest At Par Value [Member] | Additional Paid In Capital [Member] | Distributions In Excess Of Net Income Attributable To The Controlling Interests [Member] | AOCI Attributable to Parent [Member] | Total Shareholders' Equity [Member] | Noncontrolling Interests In Subsidiaries [Member] |
Balance, shares at Dec. 31, 2015 | 68,191 | ||||||
Balance at Dec. 31, 2015 | $ 837,012 | $ 682 | $ 1,193,298 | $ (357,781) | $ (550) | $ 835,649 | $ 1,363 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income attributable to the controlling interests | 119,339 | 119,339 | 119,339 | ||||
Net loss attributable to noncontrolling interests and deconsolidation of noncontrolling interest | (51) | (51) | |||||
Unrealized gain (loss) on interest rate hedges | 8,161 | 8,161 | 8,161 | ||||
Distributions to noncontrolling interests | (196) | (196) | |||||
Dividends | (87,570) | (87,570) | (87,570) | ||||
Stock issued during period (in shares) | 6,223 | ||||||
Equity offerings, net of issuance costs | 172,936 | $ 62 | 172,874 | 172,936 | |||
Shares issued under Dividend Reinvestment Program (in shares) | 23 | ||||||
Shares issued under Dividend Reinvestment Program | 700 | $ 0 | 700 | 700 | |||
Share grants, net of share grant amortization and forfeitures (in shares) | 169 | ||||||
Share grants, net of forfeitures and tax withholdings | 1,766 | $ 2 | 1,764 | 1,766 | |||
Balance, shares at Dec. 31, 2016 | 74,606 | ||||||
Balance at Dec. 31, 2016 | 1,052,062 | $ 746 | 1,368,636 | (326,047) | 7,611 | 1,050,946 | 1,116 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adjustment for retrospective application of new accounting principle (see note 2) | (35) | (35) | (35) | ||||
Net income attributable to the controlling interests | 19,668 | 19,668 | 19,668 | ||||
Net loss attributable to noncontrolling interests and deconsolidation of noncontrolling interest | (56) | (56) | |||||
Unrealized gain (loss) on interest rate hedges | 1,808 | 1,808 | 1,808 | ||||
Distributions to noncontrolling interests | (4,199) | (3,128) | (3,128) | (1,071) | |||
Contributions from noncontrolling interest | 376 | 376 | |||||
Dividends | (92,834) | (92,834) | (92,834) | ||||
Stock issued during period (in shares) | 3,587 | ||||||
Equity offerings, net of issuance costs | 113,194 | $ 36 | 113,158 | 113,194 | |||
Shares issued under Dividend Reinvestment Program (in shares) | 80 | ||||||
Shares issued under Dividend Reinvestment Program | 2,576 | $ 1 | 2,575 | 2,576 | |||
Share grants, net of share grant amortization and forfeitures (in shares) | 237 | ||||||
Share grants, net of forfeitures and tax withholdings | 2,741 | $ 2 | 2,739 | 2,741 | |||
Balance, shares at Dec. 31, 2017 | 78,510 | ||||||
Balance at Dec. 31, 2017 | 1,095,336 | $ 785 | 1,483,980 | (399,213) | 9,419 | 1,094,971 | 365 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income attributable to the controlling interests | 25,630 | 25,630 | 25,630 | ||||
Net loss attributable to noncontrolling interests and deconsolidation of noncontrolling interest | 0 | ||||||
Unrealized gain (loss) on interest rate hedges | 420 | 420 | 420 | ||||
Distributions to noncontrolling interests | (14) | 0 | 0 | (14) | |||
Dividends | (95,502) | (95,502) | (95,502) | ||||
Stock issued during period (in shares) | 1,165 | ||||||
Equity offerings, net of issuance costs | 35,472 | $ 11 | 35,461 | 35,472 | |||
Shares issued under Dividend Reinvestment Program (in shares) | 81 | ||||||
Shares issued under Dividend Reinvestment Program | 1,973 | $ 1 | 1,972 | 1,973 | |||
Share grants, net of share grant amortization and forfeitures (in shares) | 154 | ||||||
Share grants, net of forfeitures and tax withholdings | 5,163 | $ 2 | 5,161 | 5,163 | |||
Balance, shares at Dec. 31, 2018 | 79,910 | ||||||
Balance at Dec. 31, 2018 | $ 1,068,478 | $ 799 | $ 1,526,574 | $ (469,085) | $ 9,839 | $ 1,068,127 | $ 351 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities | |||
Net income | $ 25,630 | $ 19,612 | $ 119,288 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Gain on sale of real estate | (2,495) | (24,915) | (101,704) |
Depreciation and amortization | 121,228 | 112,056 | 108,406 |
Provision for losses on accounts receivable | 2,136 | 882 | 1,706 |
Deferred tax benefit | 0 | (84) | (698) |
Real estate impairment and casualty (gain), net | 1,886 | 33,152 | (676) |
Share-based compensation expense | 6,746 | 4,771 | 3,491 |
Amortization of debt premiums, discounts and related financing costs | 2,101 | 1,897 | 3,187 |
Loss on extinguishment of debt, net | 1,178 | 0 | 0 |
Changes in other assets | (8,674) | (20,199) | (15,713) |
Changes in other liabilities | (2,367) | 3,454 | (2,562) |
Net cash provided by operating activities | 147,369 | 130,626 | 114,725 |
Cash flows from investing activities | |||
Real estate acquisitions, net | (106,400) | (138,371) | (227,413) |
Capital improvements to real estate | (71,070) | (60,515) | (57,094) |
Development in progress | (34,806) | (18,150) | (22,572) |
Net cash received from sale of real estate | 174,297 | 30,798 | 243,624 |
Real estate deposits, net | 0 | (6,250) | 0 |
Insurance proceeds | 0 | 0 | 883 |
Non-real estate capital improvements | (963) | (3,866) | (920) |
Net cash used in investing activities | (38,942) | (196,354) | (63,492) |
Cash flows from financing activities | |||
Line of credit borrowings, net | 22,000 | 46,000 | 15,000 |
Principal payments – mortgage notes payable | (170,081) | (52,571) | (270,061) |
Proceeds from dividend reinvestment program | 1,973 | 2,576 | 700 |
Repayments of unsecured term loan debt | (150,000) | 0 | 0 |
Proceeds from term loan | 250,000 | 50,000 | 100,000 |
Payment of financing costs | (5,650) | (319) | (1,590) |
Dividends paid | (95,059) | (91,666) | (85,648) |
Distributions to noncontrolling interests | (14) | (4,199) | (196) |
Net proceeds from equity offerings | 35,472 | 113,194 | 172,936 |
Payment of tax withholdings for restricted share awards | (2,051) | (2,286) | (1,960) |
Net cash (used in) provided by financing activities | (113,410) | 60,729 | (70,819) |
Net decrease in cash, cash equivalents and restricted cash | (4,983) | (4,999) | (19,586) |
Cash, cash equivalents and restricted cash at beginning of year | 12,623 | 17,622 | 37,208 |
Cash, cash equivalents and restricted cash at end of year | 7,640 | 12,623 | 17,622 |
Supplemental disclosure of cash flow information: | |||
Cash paid for interest, net of capitalized interest expense | 49,058 | 45,730 | 51,054 |
Cash paid for income taxes | 0 | 17 | 65 |
Change in accrued capital improvements and development costs | (2,769) | 3,264 | 3,788 |
Asset Acquisition, Consideration Transferred, Equity Interests Issued and Issuable | 0 | 376 | 0 |
Reconciliation of cash, cash equivalents and restricted cash: | |||
Cash, cash equivalents and restricted cash | $ 12,623 | $ 17,622 | $ 37,208 |
Nature of Business
Nature of Business | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature Of Business | NATURE OF BUSINESS Washington Real Estate Investment Trust (“Washington REIT”), a Maryland real estate investment trust, is a self-administered equity real estate investment trust, successor to a trust organized in 1960. Our business consists of the ownership and operation of income-producing real estate properties in the greater Washington Metro region. We own a diversified portfolio of office buildings, multifamily buildings and retail centers. Federal Income Taxes We believe that we qualify as a REIT under Sections 856-860 of the Internal Revenue Code of 1986, as amended (the "Code"), and intend to continue to qualify as such. We have considered the provisions of the Tax Cuts and Jobs Act (the "TCJA"), which was signed into law on December 22, 2017 and which generally took effect for taxable years beginning on or after January 1, 2018, and the TCJA does not have a material impact on our ability to continue to qualify as a REIT. To maintain our status as a REIT, we are, among other things, required to distribute 90% of our REIT taxable income (which is, generally, our ordinary taxable income, with certain modifications), excluding any net capital gains and any deductions for dividends paid to our shareholders on an annual basis. When selling a property, we generally have the option of (a) reinvesting the sales proceeds of property sold, in a way that allows us to defer recognition of some or all taxable gain realized on the sale, (b) distributing gains to the shareholders with no tax to us or (c) treating net long-term capital gains as having been distributed to our shareholders, paying the tax on the gain deemed distributed and allocating the tax paid as a credit to our shareholders. During the three years ended December 31, 2018 , we sold our interests in the following properties (in thousands): Disposition Date Property Type Gain on Sale January 19, 2018 Braddock Metro Center Office $ — June 28, 2018 2445 M Street Office $ 2,495 Total 2018 $ 2,495 October 23, 2017 Walker House Apartments Multifamily $ 23,838 Total 2017 $ 23,838 May 26, 2016 Dulles Station II (1) Office $ 527 June 27, 2016 Maryland Office Portfolio Transaction I (2) Office 23,585 September 22, 2016 Maryland Office Portfolio Transaction II (3) Office 77,592 Total 2016 $ 101,704 (1) Land held for future development and an interest in a parking garage. (2) Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. (3) Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. The taxable gains for Walker House Apartments, Dulles Station II and the properties included in Maryland Office Portfolio Transaction I were distributed to shareholders through quarterly dividends. The properties included in Maryland Office Portfolio Transaction II were identified for a reverse deferred exchange under Section 1031 of the Code. We acquired the replacement property, Riverside Apartments, during the second quarter of 2016 (see note 3, under "Acquisitions"). Generally, and subject to our ongoing qualification as a REIT, no provisions for income taxes are necessary except for taxes on undistributed taxable income and taxes on the income generated by our taxable REIT subsidiaries (“TRSs”). Our TRSs are subject to corporate federal and state income tax on their taxable income at regular statutory rates, or as calculated under the alternative minimum tax, as appropriate. During the second quarter of 2016, we recognized an income tax benefit of $0.7 million from a reduction of the valuation allowance for a deferred tax asset at one of our taxable REIT subsidiaries. As of both December 31, 2018 and 2017, our TRSs had a deferred tax asset of $1.4 million that was fully reserved. As of both December 31, 2018 and 2017 , we had deferred state and local tax liabilities of $0.6 million . These deferred tax liabilities are primarily related to temporary differences in the timing of the recognition of revenue, amortization and depreciation. Beginning in 2018, ordinary taxable income per share is equal to the Section 199A dividend that was created by the TCJA. The following is a breakdown of the taxable percentage of our dividends for the years ended December 31, 2018, 2017 and 2016 (unaudited): 2018 2017 2016 Ordinary income/Section 199A dividends 29 % 76 % 66 % Return of capital 71 % — % 33 % Qualified dividends — % 2 % — % Unrecaptured Section 1250 gain — % 8 % 1 % Capital gain — % 14 % — % |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Basis of Presentation | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Basis of Presentation | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION Principles of Consolidation and Basis of Presentation The accompanying audited consolidated financial statements include the consolidated accounts of Washington REIT and our subsidiaries and entities in which Washington REIT has a controlling financial interest, including where Washington REIT had been determined to be a primary beneficiary of a variable interest entity (“VIE”). See note 3 for additional information on the properties for which there is a noncontrolling interest. All intercompany balances and transactions have been eliminated in consolidation. We have prepared the accompanying audited consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission. Use of Estimates in the Financial Statements The preparation of financial statements in conformity with Generally Accepted Accounting Principles ("GAAP") requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recent Accounting Standards Standards Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters Accounting Standards Update (“ASU”) 2017-12, Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities. This standard better aligns a company’s financial reporting for hedging activities with the economic objectives of those activities. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2017-09, Compensation - Stock Compensation (Topic 718) - Scope of Modification Accounting. This standard provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments . This standard provides specific guidance on how cash receipts and payments should be presented and classified in the statement of cash flows for eight specific issues. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities . This standard eliminates the requirement for public entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This standard provides accounting guidance for all revenue arising from contracts with customers and affects all entities that enter into contracts to provide goods or services to their customers (unless the contracts are in the scope of other GAAP requirements, such as the leasing literature). The guidance also provides a model for the measurement and recognition of gains and losses on the sale of certain nonfinancial assets, such as property and equipment, including real estate. We adopted the standard as of January 1, 2018. We evaluated the requirements for recognition of revenue from contracts with customers and measuring gains and losses on the sale of properties in accordance with ASU 2014-09 and concluded the adoption of the new standard did not impact in any material respect the amount or timing of our revenue recognition. Standards Not Yet Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-02, Leases (Topic 842) . This standard amends existing lease accounting standards for both lessees and lessors. Lessees must classify most leases as either finance or operating leases. For lease contracts, or contracts with an embedded lease, with a duration of more than one year in which we are the lessee, the present value of future lease payments are recognized on our consolidated balance sheets as a right-of-use asset and a corresponding lease liability. Lessors Lease contracts currently classified as operating leases are accounted for similarly to existing guidance. However, lessors are required to account for each lease and non-lease component, such as common area maintenance or tenant service revenues, of a contract separately. In July 2018, the FASB issued 2018-11, Leases (Topic 842) - Targeted Improvements (“ASU 2018-11”), which provides lessors optional transition relief from implementing this aspect of ASU 2016-02 if the following criteria are met: (1) both components have the same timing and pattern of revenue and (2) if accounted for separately, both components would be classified as an operating lease. Also under ASU 2016-02, only incremental costs or initial direct costs of executing a lease contract qualify for capitalization, while prior accounting standards allowed for the capitalization of indirect leasing costs. We adopted the new standard as of January 1, 2019. Lessees We have evaluated lease contracts where we are the lessee to determine the impact they have on Washington REIT’s consolidated financial statements, and have determined that adoption of the new standard as of January 1, 2019 did not have a material impact on our consolidated financial statements. Lessors The leases for which we are lessor meet both criteria for relief under ASU 2018-11 and we elected not to bifurcate lease contracts into lease and non-lease components. Accordingly, both lease and non-lease components will be presented in “Real estate rental revenue” in our consolidated financial statements subsequent to adoption. Transition Under ASU 2018-11, the FASB offered optional transition relief, if elected as a package, and applied consistently by an entity to all of its leases. Accordingly, upon adoption we elected, as a package, the practical expedients for all leases as follows: (1) we will not reassess whether any expired or existing contracts are or contain leases, (2) we will not reassess the lease classification for any expired or existing leases and (3) we will not reassess initial direct costs for any existing leases. Under ASU 2016-02, entities are required to implement the standard as of the beginning of the earliest comparative period presented or January 1, 2017 for calendar-year public business entities. Under ASU 2018-11, the FASB offered optional transition relief that permits entities to continue to apply ASC 840, including its disclosure requirements, in the comparative periods presented in the year of adoption. Accordingly, we made a policy election to apply ASC 840 to comparative periods beginning on January 1, 2019. ASU 2016-13, Measurement of Credit Losses on Financial Instruments . This standard requires financial assets measured at an amortized cost basis, including trade receivables, to be presented at the net amount expected to be collected. The new standard is effective for public entities for fiscal years beginning after December 15, 2019 and for interim periods therein, with adoption one year earlier permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software . This standard requires a customer in a cloud computing arrangement that is a service contract to follow the internal-use software guidance to determine which implementation costs to capitalize as assets. The standard is effective for public entities for fiscal years beginning after December 31, 2019 and for interim periods therein, with early adoption permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. Revenue Recognition We lease multifamily properties under operating leases with terms of generally one year or less. We lease commercial properties (our office and retail segments) under operating leases with an average term of seven years. Substantially all commercial leases contain fixed escalations or, in some instances, changes based on the Consumer Price Index, which occur at specified times during the term of the lease. We recognize rental income and rental abatements from our multifamily and commercial leases when earned on a straight-line basis over the lease term. Recognition of rental income commences when control of the leased space has been transferred to the tenant. We recognize gains on sales of real estate when we have executed a contract for sale of the asset, transferred controlling financial interest in the asset to the buyer and determined that it is probable that we will collect substantially all of the consideration for the asset. Our real estate sale transactions typically meet these criteria at closing. We recognize cost reimbursement income from pass-through expenses on an accrual basis over the periods in which the expenses were incurred. Pass-through expenses are comprised of real estate taxes, operating expenses and common area maintenance costs which are reimbursed by tenants in accordance with specific allowable costs per tenant lease agreements. Parking revenues are derived from leases, monthly parking agreements and transient parking. We recognize parking revenues from leases on a straight-line basis over the lease term and other parking revenues as earned. Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable primarily represent amounts accrued and unpaid from tenants in accordance with the terms of the respective leases, subject to our revenue recognition policy. We review receivables monthly and establish reserves when, in the opinion of management, collection of the receivable is doubtful. We establish reserves for tenants whose rent payment histories or financial conditions cast doubt upon the tenants’ abilities to perform under their lease obligations. When we determine the collection of a receivable to be doubtful in the same quarter that we established the receivable, we recognize the allowance for that receivable as an offset to real estate revenues. When we determine a receivable that was initially established in a prior quarter to be doubtful, we recognize the allowance as an operating expense in Real estate expenses in the consolidated statements of income. In addition to rents due currently, accounts receivable include amounts representing minimal rental income accrued on a straight-line basis to be paid by tenants over the remaining term of their respective leases. Debt Issuance Costs We amortize external debt issuance costs using the effective interest rate method or the straight-line method which approximates the effective interest rate method, over the estimated life of the related debt. We record debt issuance costs related to notes and mortgage notes, net of amortization, on our consolidated balance sheets as an offset to their related debt. We record debt issuance costs related to revolving lines of credit on our consolidated balance sheets with Prepaid expenses and other assets, regardless of whether a balance on the line of credit is outstanding. We record the amortization of all debt issuance costs as interest expense. Deferred Leasing Costs We capitalize and amortize costs associated with the successful negotiation of leases, both external commissions and internal direct costs, on a straight-line basis over the terms of the respective leases. We record the amortization of deferred leasing costs in Depreciation and amortization on the consolidated statements of income. If an applicable lease terminates prior to the expiration of its initial lease term, we write off the carrying amount of the costs to amortization expense. We capitalize and amortize against revenue leasing incentives associated with the successful negotiation of leases on a straight-line basis over the terms of the respective leases. We record the amortization of deferred leasing incentives as a reduction of revenue. If an applicable lease terminates prior to the expiration of its initial lease term, we write off the carrying amount of the costs as a reduction of revenue. Real Estate and Depreciation We depreciate buildings on a straight-line basis over estimated useful lives ranging from 28 to 50 years. We capitalize all capital improvements associated with replacements, improvements or major repairs to real property that extend its useful life and depreciate them using the straight-line method over their estimated useful lives ranging from 3 to 30 years. We also capitalize costs incurred in connection with our development projects, including capitalizing interest incurred on borrowing obligations and other internal costs during periods in which qualifying expenditures have been made and activities necessary to get the development projects ready for their intended use are in progress. Capitalization of these costs begins when the activities and related expenditures commence and ceases when the project is substantially complete and ready for its intended use, at which time the project is placed into service and depreciation commences. In addition, we capitalize tenant leasehold improvements when certain criteria are met, including when we supervise construction and will own the improvements. We depreciate all tenant improvements over the shorter of the useful life of the improvements or the term of the related tenant lease. Real estate depreciation expense was $91.4 million , $90.1 million and $84.1 million during the years ended December 31, 2018 , 2017 and 2016 , respectively. We charge maintenance and repair costs that do not extend an asset’s useful life to expense as incurred. Interest expense and interest capitalized to real estate assets related to development and major renovation activities for the three years ended December 31, 2018 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Total interest incurred $ 53,235 $ 48,498 $ 53,794 Capitalized interest (2,091 ) (964 ) (668 ) Interest expense, net of capitalized interest $ 51,144 $ 47,534 $ 53,126 We recognize impairment losses on long-lived assets used in operations, development assets or land held for future development, if indicators of impairment are present and the net undiscounted cash flows estimated to be generated by those assets are less than the assets' carrying amount and estimated undiscounted cash flows associated with future development expenditures. If such carrying amount is in excess of the estimated undiscounted cash flows from the operation and disposal of the property, we would recognize an impairment loss equivalent to an amount required to adjust the carrying amount to its estimated fair value, calculated in accordance with current GAAP fair value provisions. Assets held for sale are recorded at the lower of cost or fair value less costs to sell. Acquisitions The properties we acquire typically are not businesses as defined by ASU 2017-01, Business Combinations (Topic 805) - Clarifying the Definition of a Business . Per this definition, a set of transferred assets and activities is not a business when substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. We therefore account for such acquisitions as asset acquisitions. Acquisition costs are capitalized and identifiable assets (including physical assets and in-place leases), liabilities assumed and any noncontrolling interests are measured by allocating the cost of the acquisition on a relative fair value basis. Acquisitions executed prior to our adoption of ASU 2017-01 as of January 1, 2017 were accounted for as business combinations. We determine the fair values of acquired buildings on an “as-if-vacant” basis considering a variety of factors, including the replacement cost of the property, estimated rental and absorption rates, estimated future cash flows and valuation assumptions consistent with current market conditions. We determine the fair value of land acquired based on comparisons to similar properties that have been recently marketed for sale or sold. The fair value of in-place leases consists of the following components – (a) the estimated cost to us to replace the leases, including foregone rents during the period of finding a new tenant and foregone recovery of tenant pass-throughs (referred to as “absorption cost”); (b) the estimated cost of tenant improvements, and other direct costs associated with obtaining a new tenant (referred to as “tenant origination cost”); (c) estimated leasing commissions associated with obtaining a new tenant (referred to as “leasing commissions”); (d) the above/at/below market cash flow of the leases, determined by comparing the projected cash flows of the leases in place, including consideration of renewal options, to projected cash flows of comparable market-rate leases (referred to as “net lease intangible”); and (e) the value, if any, of customer relationships, determined based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with the tenant (referred to as “customer relationship value”). We have attributed no value to customer relationships as of December 31, 2018 and 2017 . We discount the amounts used to calculate net lease intangibles using an interest rate which reflects the risks associated with the leases acquired. We classify tenant origination costs as income producing property on our consolidated balance sheets and amortize the tenant origination costs as depreciation expense on a straight-line basis over the remaining life of the underlying leases. We classify leasing commissions and absorption costs as other assets and amortize leasing commissions and absorption costs as amortization expense on a straight-line basis over the remaining life of the underlying leases. We classify net lease intangible assets as other assets and amortize them on a straight-line basis as a decrease to real estate rental revenue over the remaining term of the underlying leases. We classify net lease intangible liabilities as other liabilities and amortize them on a straight-line basis as an increase to real estate rental revenue over the remaining term of the underlying leases. If any of the fair value of below market lease intangibles includes fair value associated with a renewal option, such amounts are not amortized until the renewal option is executed, else the related value is expensed at that time. Should a tenant terminate its lease prior to the expiration date, we accelerate the amortization of the unamortized portion of the tenant origination cost, leasing commissions, absorption costs and net lease intangible associated with that lease, over its new, shorter term. Software Developed for Internal Use The costs of software developed for internal use that qualify for capitalization are included with Prepaid expenses and other assets on our consolidated balance sheets. These capitalized costs include external direct costs utilized in developing or obtaining the applications and expenses for employees who are directly associated with the development of the applications. Capitalization of such costs begins when the preliminary project stage is complete and continues until the project is substantially complete and is ready for its intended purpose. Completed projects are amortized on a straight-line basis over their estimated useful lives. Discontinued Operations We classify properties as held for sale when they meet the necessary criteria, which include: (a) senior management commits to and actively embarks upon a plan to sell the assets, (b) the sale is expected to be completed within one year under terms usual and customary for such sales and (c) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. We generally consider that a property has met these criteria when a sale of the property has been approved by the board of trustees, or a committee with authorization from the board of trustees, there are no known significant contingencies related to the sale and management believes it is probable that the sale will be completed within one year. Depreciation on these properties is discontinued at the time they are classified as held for sale, but operating revenues, operating expenses and interest expense continue to be recognized until the date of sale. Revenues and expenses of properties that are either sold or classified as held for sale are presented as discontinued operations for all periods presented in the consolidated statements of income if the dispositions represent a strategic shift that has (or will have) a major effect on our operations and financial results. Interest on debt that can be identified as specifically attributed to these properties is included in discontinued operations. If the dispositions do not represent a strategic shift that has (or will have) a major effect on our operations and financial results, then the revenues and expenses of the properties that are classified as sold or held for sale are presented as continuing operations in the consolidated statements of income for all periods presented. Segments We evaluate performance based upon net operating income from the combined properties in each segment. Our reportable operating segments are consolidations of similar properties. GAAP requires that segment disclosures present the measure(s) used by the chief operating decision maker for purposes of assessing segments’ performance. Net operating income is a key measurement of our segment profit and loss. Net operating income is defined as segment real estate rental revenue less segment real estate expenses. Cash and Cash Equivalents Cash and cash equivalents include cash and commercial paper with original maturities of 90 days or less. We maintain cash deposits with financial institutions that at times exceed applicable insurance limits. We reduce this risk by maintaining such deposits with high quality financial institutions that management believes are credit-worthy. Restricted Cash Restricted cash includes funds escrowed for tenant security deposits, real estate tax, insurance and mortgage escrows and escrow deposits required by lenders on certain of our properties to be used for future building renovations or tenant improvements. Earnings Per Common Share We determine “Basic earnings per share” using the two-class method as our unvested restricted share awards and units have non-forfeitable rights to dividends, and are therefore considered participating securities. We compute basic earnings per share by dividing net income attributable to the controlling interest less the allocation of undistributed earnings to unvested restricted share awards and units by the weighted-average number of common shares outstanding for the period. We also determine “Diluted earnings per share” under the two-class method with respect to the unvested restricted share awards. We further evaluate any other potentially dilutive securities at the end of the period and adjust the basic earnings per share calculation for the impact of those securities that are dilutive. Our dilutive earnings per share calculation includes the dilutive impact of operating partnership units under the if-converted method and our share based awards with performance conditions prior to the grant date and all market condition awards under the contingently issuable method. Stock Based Compensation We currently maintain equity based compensation plans for trustees, officers and employees. We recognize compensation expense for service-based share awards ratably over the period from the service inception date through the vesting period based on the fair market value of the shares on the date of grant. We account for forfeitures as they occur. If an award's service inception date precedes the grant date, we initially measure compensation expense for awards with performance conditions at fair value at the service inception date based on probability of payout, and we remeasure compensation expense at subsequent reporting dates until all of the award’s key terms and conditions are known and the grant date is established. We amortize awards with performance conditions using the graded expense method. We measure compensation expense for awards with market conditions based on the grant date fair value, as determined using a Monte Carlo simulation, and we amortize the expense ratably over the requisite service period, regardless of whether the market conditions are achieved and the awards ultimately vest. Compensation expense for the trustee grants, which fully vest immediately, is fully recognized upon issuance based upon the fair market value of the shares on the date of grant. Accounting for Uncertainty in Income Taxes We can recognize a tax benefit only if it is “more likely than not” that a particular tax position will be sustained upon examination or audit. To the extent that the “more likely than not” standard has been satisfied, the benefit associated with a tax position is measured as the largest amount that is greater than 50% likely of being recognized upon settlement. As of December 31, 2018 and 2017 , we did not have any unrecognized tax benefits. We do not believe that there will be any material changes to our uncertain tax positions over the next twelve months. We are subject to federal income tax as well as income tax of the states of Maryland and Virginia, and the District of Columbia. However, as a REIT, we generally are not subject to income tax on our taxable income to the extent it is distributed as dividends to our shareholders. Tax returns filed for 2014 through 2018 tax years are subject to examination by taxing authorities. We classify interest and penalties related to uncertain tax positions, if any, in our financial statements as a component of general and administrative expense. Derivatives We borrow funds at a combination of fixed and variable rates. Borrowings under our revolving credit facility and term loans bear interest at variable rates. Our interest rate risk management objectives are to minimize interest rate fluctuation on long-term indebtedness and limit the impact of interest rate changes on earnings and cash flows. To achieve these objectives, from time to time, we may enter into interest rate hedge contracts such as collars, swaps, caps and treasury lock agreements in order to mitigate our interest rate risk with respect to various debt instruments. We generally do not hold or issue these derivative contracts for trading or speculative purposes. The interest rate swaps we enter into are recorded at fair value on a recurring basis. We assess effectiveness of our cash flow hedges both at inception and on an ongoing basis. The effective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recorded in accumulated other comprehensive income (loss). Our cash flow hedges become ineffective if critical terms of the hedging instrument and the debt instrument such as notional amounts, settlement dates, reset dates, calculation period and LIBOR do not perfectly match. In addition, we evaluate the default risk of the counterparty by monitoring the creditworthiness of the counterparty. When ineffectiveness of a cash flow hedge exists, the ineffective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recognized in earnings in the period affected. |
Real Estate
Real Estate | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Real Estate Investment | REAL ESTATE As of December 31, 2018 and 2017 , our real estate investment portfolio classified as held and used, at cost, consists of properties as follows (in thousands): December 31, 2018 2017 Office $ 1,507,986 $ 1,355,033 Multifamily 919,285 895,811 Retail 459,314 451,158 $ 2,886,585 $ 2,702,002 Our results of operations are dependent on the overall economic health of our markets, tenants and the specific segments in which we own properties. These segments are office, retail and multifamily. All segments are affected by external economic factors, such as inflation, consumer confidence and unemployment rates, as well as changing tenant and consumer requirements. As of December 31, 2018 , one property, Arlington Tower, accounted for approximately 10% of total assets. No single property or tenant accounted for more than 10% of the real estate rental revenue. We have properties under development/redevelopment and held for current or future development. The cost of our real estate portfolio under development or held for future development as of December 31, 2018 and 2017 is as follows (in thousands): December 31, 2018 2017 Office $ 478 $ 680 Multifamily 83,945 49,616 Retail 2,808 4,126 $ 87,231 $ 54,422 In the multifamily segment, we have The Trove, a multifamily development adjacent to The Wellington, and we own land held for future multifamily development adjacent to Riverside Apartments. As of December 31, 2018 , we had invested $61.7 million and $22.9 million , including the costs of acquired land, in The Trove and the development adjacent to Riverside Apartments, respectively. In the retail segment, we have a redevelopment project to add rentable space at Spring Valley Village. As of December 31, 2018 , we had invested $6.5 million in the redevelopment. We substantially completed major construction activities on this project during the fourth quarter of 2018 and placed into service assets totaling $4.2 million . In addition, there are several other projects with minor development activity in the multifamily, office and retail segments. Acquisitions Our current strategy is to recycle legacy assets that lack the income growth potential we seek and to invest in high-quality assets with compelling value-add returns through redevelopment opportunities in our existing portfolio and acquisitions that meet our stringent investment criteria. We focus on properties inside the Washington metro region’s Beltway, near major transportation nodes and in areas with strong employment drivers and superior growth demographics. Properties and land for development acquired during the three years ended December 31, 2018 were as follows: Acquisition Date Property Type # of units (unaudited) Rentable Square Feet (unaudited) Contract Purchase Price (in thousands) January 18, 2018 Arlington Tower Office N/A 391,000 $ 250,000 April 4, 2017 Watergate 600 Office N/A 278,000 $ 135,000 May 20, 2016 Riverside Apartments Multifamily 1,222 N/A $ 244,750 The results of operations from acquired operating properties are included in the consolidated statements of income as of their acquisition dates. The revenue and earnings of our acquisitions during their year of acquisition for the three years ended December 31, 2018 are as follows (in thousands): Year Ended December 31, 2018 2017 2016 Real estate rental revenue $ 22,389 $ 14,518 $ 13,112 Net income (loss) 3,623 2,226 (1,688 ) As discussed in note 2 , we record the acquired physical assets (land, building and tenant improvements), in-place leases (absorption, tenant origination costs, leasing commissions, and net lease intangible assets/liabilities), and any other liabilities on a relative fair value basis. We recorded the total cost of the above acquisitions as follows (in thousands): 2018 2017 2016 Land $ 63,970 $ 45,981 $ 38,924 Land held for development — — 15,968 Buildings 142,900 66,241 184,854 Tenant origination costs 13,625 12,084 — Leasing commissions/absorption costs 27,465 23,161 4,992 Net lease intangible assets 3,142 498 22 Net lease intangible liabilities (545 ) (9,585 ) (10 ) Deferred tax liability — (560 ) — Total $ 250,557 $ 137,820 $ 244,750 The weighted remaining average life for 2018 acquisition components above, other than land and building, are 71 months for tenant origination costs, 61 months for leasing commissions/absorption costs, 63 months for net lease intangible assets and 78 months for net lease intangible liabilities. The difference in the total contract purchase price of $250.0 million for the 2018 acquisition and cash paid for the acquisition per the consolidated statements of cash flows of $106.4 million is primarily due to a mortgage note assumed and repaid at settlement ( $135.5 million ), an acquisition deposit made during 2017 ( $6.3 million ), and a net credit to the buyer for certain expenditures ( $2.4 million ), partially offset by capitalized acquisition related costs ( $0.6 million ). The difference in the total contract price of $135.0 million for the 2017 acquisition and cash paid for the acquisition per the consolidated statements of cash flows of $138.4 million is primarily due to capitalized acquisition-related costs ( $2.8 million ) and a net credit to the buyer for certain expenditures ( $1.0 million ), partially offset by the issuance of 12,124 operating partnership units (“Operating Partnership Units”) as part of the consideration ( $0.4 million ). The Operating Partnership Units are units in WashREIT Watergate 600 OP LP, a consolidated subsidiary of Washington REIT. These Operating Partnership Units may be redeemed for either cash equal to the fair market value of a share of Washington REIT common stock at the time of redemption (based on a 20 -day average price) or, at the option of Washington REIT, one registered or unregistered share of Washington REIT common stock. In connection with the 2017 acquisition, we granted registration rights to the two contributors of the Watergate 600 property relating to the resale of any shares issued upon exchange of Operating Partnership Units pursuant to a shelf registration statement that we had an obligation to make available to the contributors approximately one year after the issuance of the Operating Partnership Units. This shelf registration statement was filed on March 8, 2018. The difference in the total contract price of $244.8 million for the 2016 acquisitions and cash paid for the acquisitions per the consolidated statements of cash flows of $227.4 million is primarily due to acquisition of land for development of $16.0 million and credits received at settlement totaling $1.4 million . Balances, net of accumulated depreciation or amortization, as appropriate, of the components of the fair value of in-place leases at December 31, 2018 and 2017 were as follows (in thousands): December 31, 2018 2017 Gross Carrying Value Accumulated Amortization Net Gross Carrying Value Accumulated Amortization Net Tenant origination costs $ 62,759 $ 41,109 $ 21,650 $ 66,378 $ 50,157 $ 16,221 Leasing commissions/absorption costs 126,707 87,660 39,047 123,992 95,115 28,877 Net lease intangible assets 18,062 13,617 4,445 19,362 16,089 3,273 Net lease intangible liabilities 35,530 24,073 11,457 43,230 28,174 15,056 Below-market ground lease intangible asset 12,080 2,093 9,987 12,080 1,903 10,177 Amortization of these combined components during the three years ended December 31, 2018 , 2017 and 2016 was as follows (in thousands): Year Ended December 31, 2018 2017 2016 Depreciation and amortization expense $ 22,723 $ 14,911 $ 17,655 Real estate rental revenue (increase) decrease, net (1,314 ) (922 ) 410 $ 21,409 $ 13,989 $ 18,065 Amortization of these combined components over the next five years is projected to be as follows (in thousands): Depreciation and amortization expense Real estate rental revenue, net increase Total 2019 $ 13,045 $ (1,066 ) $ 11,979 2020 9,513 (399 ) 9,114 2021 8,716 (567 ) 8,149 2022 8,214 (756 ) 7,458 2023 6,278 (1,030 ) 5,248 Thereafter 24,918 (3,194 ) 21,724 Variable Interest Entities In June 2011, we executed a joint venture operating agreement with a real estate development company to develop The Maxwell, a mid-rise multifamily property in Arlington, Virginia. Major construction activities at The Maxwell ended during December 2014, and the building became available for occupancy during the first quarter of 2015. Washington REIT was the 90% owner of the joint venture. The real estate development company owned 10% of the joint venture and was responsible for the development and construction of the property. During the fourth quarter of 2017, we purchased the 10% joint venture interest from the real estate development company for a contract purchase price of $4.1 million . With the completion of this transaction, the joint venture ended and Washington REIT became sole owner of The Maxwell. As a result, we no longer have any VIEs. We determined that, prior to completion of this transaction, The Maxwell joint venture was a VIE primarily based on the fact that the equity investment at risk was not sufficient to permit the entity to finance its activities without additional financial support. We also determined that Washington REIT was the primary beneficiary of the VIE due to the fact that Washington REIT was determined to have a controlling financial interest in the entity. In January 2016, Washington REIT exercised its right to purchase at par The Maxwell’s construction loan from the original third-party lender. Upon the purchase, the construction loan became an intercompany loan payable from the consolidated VIE to Washington REIT that is eliminated in consolidation. The intercompany loan payable was extinguished as part of Washington REIT’s purchase of the joint venture partner’s 10% interest during the fourth quarter of 2017. Properties Sold and Held for Sale We intend to hold our properties for investment with a view to long-term appreciation, to engage in the business of acquiring, developing and owning our properties, and to make occasional sales of the properties that no longer meet our long-term strategy or return objectives and where market conditions for sale are favorable. The proceeds from the sales may be reinvested into other properties, used to fund development operations or to support other corporate needs, or distributed to our shareholders. Depreciation on these properties is discontinued when classified as held for sale, but operating revenues, other operating expenses and interest continue to be recognized through the date of sale. During the first quarter of 2018, we sold Braddock Metro Center, a 356,000 square foot office property in Alexandria, Virginia for a contract sales price of $93.0 million . Due to then-ongoing negotiations to sell the property, we evaluated Braddock Metro Center for impairment and recognized a $9.1 million impairment charge during 2017 in order to reduce the carrying value of the property to its estimated fair value, less selling costs. We based this fair valuation on the expected sale price from a potential sale. There are few observable market transactions for similar properties. This fair valuation falls into Level 2 of the fair value hierarchy due to its reliance on a quoted price in a market that is not active. During the first quarter of 2018, we executed a purchase and sale agreement to sell 2445 M Street, a 292,000 square foot office property in Washington, DC, for a contract sales price of $100.0 million , with settlement originally scheduled for the third quarter of 2018. During 2017, we evaluated 2445 M Street for impairment and recognized a $24.1 million impairment charge in order to reduce the carrying value of the property to its estimated fair value. Upon execution of the purchase and sale agreement, the property met the criteria for classification as held for sale. Due to the property’s classification as held for sale, we recorded an additional impairment charge of $1.9 million in the first quarter of 2018 in order to reduce the carrying value of the property to its estimated fair value, less estimated selling costs. We based this fair value on the expected sales price from a potential sale. There are few observable market transactions for similar properties. This fair valuation falls into Level 2 of the fair value hierarchy due to its reliance on a quoted price in a market that is not active. During the second quarter of 2018, we executed an amendment to the purchase and sale agreement which increased the contract sales price to $101.6 million and advanced the settlement date. On June 28, 2018, we sold 2445 M Street, recognizing a gain on sale of real estate of $2.5 million . During the second quarter of 2017, we executed a purchase and sale agreement for the sale of Walker House Apartments, a 212 - unit multifamily property in Gaithersburg, Maryland, for a contract sales price of $32.2 million . We closed on the sale during the fourth quarter of 2017, recognizing a gain on sale of $23.8 million . During the second quarter of 2016, we sold Dulles Station, Phase II, which consists of land held for future development and an interest in a parking garage in Herndon, Virginia, for $12.1 million . Also during the second quarter of 2016, we executed two purchase and sale agreements with a single buyer for the sale of a portfolio of six office properties located in Maryland: 6110 Executive Boulevard, Wayne Plaza, 600 Jefferson Plaza, West Gude Drive, 51 Monroe Street and One Central Plaza (collectively, the "Maryland Office Portfolio") for an aggregate contract sales price of $240.0 million . We closed on the first sale transaction in June 2016 and closed on the second sale transaction in September 2016. We sold our interests in the following properties during the three years ended December 31, 2018 : Disposition Date Property Segment # of units (unaudited) Rentable Contract Gain on Sale January 19, 2018 Braddock Metro Center Office N/A 356,000 $ 93,000 $ — June 28, 2018 2445 M Street Office N/A 292,000 101,600 2,495 Total 2018 648,000 $ 194,600 $ 2,495 October 23, 2017 Walker House Apartments Multifamily 212 N/A $ 32,200 $ 23,838 Total 2017 $ 32,200 $ 23,838 May 26, 2016 Dulles Station, Phase II (1) Office N/A N/A $ 12,100 $ 527 June 27, 2016 Maryland Office Portfolio Transaction I (2) Office N/A 692,000 111,500 23,585 September 22, 2016 Maryland Office Portfolio Transaction II (3) Office N/A 491,000 128,500 77,592 Total 2016 1,183,000 $ 252,100 $ 101,704 (1) Land held for future development and an interest in a parking garage. (2) Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. (3) Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. We have fully transferred control of the assets associated with these disposed properties and do not have significant continuing involvement in the operations of these properties. While the Maryland Office Portfolio, in the aggregate, constitutes an individually significant disposition, it does not qualify for presentation and disclosure as a discontinued operation as it does not represent a strategic shift in our operations. Real estate rental revenue and net income for the Maryland Office Portfolio for the three years ended December 31, 2018 are as follows: Year Ending December 31, 2018 2017 2016 Real estate rental revenue $ — $ — $ 20,266 Net income — — 9,376 Casualty Gain We recorded a net casualty gain of $0.7 million during the second quarter of 2016 associated with a fire at Bethesda Hill Towers that damaged four units, which is included in real estate impairment and casualty (gain), net on our consolidated statements of income. The net casualty gain is comprised of $0.9 million in third-party insurance proceeds received by us, which were partially offset by casualty charges of $0.2 million to write off the net book value of the damaged units at Bethesda Hill Towers. |
Mortgage Notes Payable
Mortgage Notes Payable | 12 Months Ended |
Dec. 31, 2018 | |
Notes Payable, Noncurrent [Abstract] | |
Mortgage Notes Payable | MORTGAGE NOTES PAYABLE As of December 31, 2018 and 2017 , we had outstanding mortgage notes payable, each collateralized by one or more buildings and related land from our portfolio, as follows (in thousands): December 31, Properties Assumption/Issuance Date (1) Effective Interest Rate (2) 2018 2017 Payoff Date/Maturity Date Yale West (3) 2/21/2014 3.75 % $ 46,155 $ 46,629 1/31/2022 Olney Village Center 8/30/2011 4.94 % 11,215 13,091 10/1/2023 Kenmore Apartments (4) 2/2/2009 5.37 % — 32,194 8/31/2018 57,370 91,914 Premiums and discounts, net 2,520 3,385 Debt issuance costs, net (98 ) (158 ) $ 59,792 $ 95,141 (1) Each of these mortgages was assumed with the acquisition of the collateralized properties, except for the mortgage note secured by Kenmore Apartments, which was originally executed by Washington REIT. We record mortgages assumed in an acquisition at fair value. (2) Yield on the assumption/issuance date, including the effects of any premiums, discounts or fair value adjustments on the notes. (3) The maturity date of the mortgage note is January 1, 2052, but can be prepaid, without penalty, beginning on January 31, 2022. (4) This mortgage note was prepaid, without penalty, in August 2018. Except as noted above, principal and interest are payable monthly until the maturity date, at which time all unpaid principal and interest are payable in full. Total cost basis of the above mortgaged properties was $134.3 million and $208.3 million at December 31, 2018 and 2017 , respectively. Scheduled principal payments on the mortgage notes subsequent to December 31, 2018 are as follows (in thousands): 2019 $ 2,500 2020 2,659 2021 2,829 2022 46,984 2023 2,398 Thereafter — $ 57,370 |
Unsecured Lines Of Credit Payab
Unsecured Lines Of Credit Payable | 12 Months Ended |
Dec. 31, 2018 | |
Unsecured Debt [Abstract] | |
Unsecured Lines Of Credit Payable | UNSECURED LINES OF CREDIT PAYABLE During the first quarter of 2018, we entered into an amended and restated credit agreement (“Credit Agreement”) which provides for a $700.0 million unsecured revolving credit facility (“Revolving Credit Facility”), the continuation of an existing $150.0 million unsecured term loan (“2015 Term Loan”) and an additional $250.0 million unsecured term loan (“2018 Term Loan”). The Revolving Credit Facility has a four -year term ending in March 2022 , with two six -month extension options, and expands our prior $600.0 million unsecured revolving credit facility that was set to expire in June 2019 . The Credit Agreement has an accordion feature that allows us to increase the facility up to $1.5 billion in the aggregate, to the extent the lenders agree to provide additional revolving loan commitments or term loans. The 2015 Term Loan has a 5.5 year term and currently has an interest rate of one month LIBOR plus 110 basis points, based on Washington REIT's current unsecured debt ratings. We entered into two interest rate swaps to effectively fix the interest rate at 2.7% (see note 7 ). The 2018 Term Loan increases and replaces the $150.0 million unsecured term loan, initially entered into on July 22, 2016 (“2016 Term Loan”), that was scheduled to mature in July 2023 . The 2018 Term Loan is scheduled to mature in July 2023 and bears interest at a rate of either one month LIBOR plus a margin ranging from 0.85% to 1.75% or the base rate plus a margin ranging from 0% to 0.75% (in each case depending upon Washington REIT’s credit rating). We used the $100.0 million of additional proceeds from the 2018 Term Loan primarily to repay outstanding borrowings on the Revolving Credit Facility. We had previously used interest rate derivatives to effectively fix the interest rate of the 2016 Term Loan. These interest rate derivatives now effectively fix the interest rate on a $150.0 million portion of the 2018 Term Loan at 2.31% . In March 2018, we entered into interest rate derivatives that commenced on June 29, 2018 to effectively fix the interest rate on the remaining $100.0 million of the 2018 Term Loan at 3.71% . The 2018 Term Loan has an all-in fixed interest rate of 2.87% . The amount of the Revolving Credit Facility unused and available at December 31, 2018 was as follows (in thousands): Committed capacity $ 700,000 Borrowings outstanding (188,000 ) Unused and available $ 512,000 We executed borrowings and repayments on the Revolving Credit Facility during 2018 as follows (in thousands): Balance at December 31, 2017 $ 166,000 Borrowings 410,000 Repayments (388,000 ) Balance at December 31, 2018 $ 188,000 The Revolving Credit Facility bears interest at a rate of either LIBOR plus a margin ranging from 0.775% to 1.55% or the base rate plus a margin ranging from 0% to 0.55% (in each case depending upon Washington REIT’s credit rating). The base rate is the highest of the administrative agent's prime rate, the federal funds rate plus 0.5% and the LIBOR market index rate plus 1.0% . As of December 31, 2018 , the interest rate on the facility is LIBOR plus 1.0% and the one month LIBOR was 2.5% . All outstanding advances for the Revolving Credit Facility are due and payable upon maturity in March 2022 , unless extended pursuant to one or both of the two six-month extension options. Interest only payments are due and payable generally on a monthly basis. In addition, the Revolving Credit Facility requires the payment of a facility fee ranging from 0.10% to 0.30% (depending on Washington REIT’s credit rating) on the $700.0 million committed capacity, without regard to usage. As of December 31, 2018 , the facility fee is 0.20% . For the three years ended December 31, 2018 , we recognized interest expense (excluding facility fees) and facility fees as follows (in thousands): Year Ended December 31, 2018 2017 2016 Interest expense (excluding facility fees) $ 6,843 $ 3,857 $ 3,272 Facility fees 1,371 1,217 1,220 The Revolving Credit Facility contains and the prior unsecured credit facility that it replaced contained certain financial and non-financial covenants, all of which we have met as of December 31, 2018 and 2017 . Included in these covenants are limits on our total indebtedness, secured and unsecured indebtedness and required debt service payments. Information related to revolving credit facilities for the three years ended December 31, 2018 as follows (in thousands, except percentage amounts): Year Ended December 31, 2018 2017 2016 Total revolving credit facilities at December 31 $ 700,000 $ 600,000 $ 600,000 Borrowings outstanding at December 31 188,000 166,000 120,000 Weighted average daily borrowings during the year 230,934 179,633 214,962 Maximum daily borrowings during the year 429,000 252,000 358,000 Weighted average interest rate during the year 2.96 % 2.15 % 1.52 % Weighted average interest rate on borrowings outstanding at December 31 3.52 % 2.54 % 1.64 % The covenants under our Revolving Credit Facility require us to insure our properties against loss or damage in amounts customarily maintained by similar businesses or as they may be required by applicable law. The covenants for the notes require us to keep all of our insurable properties insured against loss or damage at least equal to their then full insurable value. We have an insurance policy that has no terrorism exclusion, except for non-certified nuclear, chemical and biological acts of terrorism. Our financial condition and results of operations are subject to the risks associated with acts of terrorism and the potential for uninsured losses as the result of any such acts. Effective November 26, 2002, under this existing coverage, any losses caused by certified acts of terrorism would be partially reimbursed by the United States under a formula established by federal law. Under this formula, the United States pays 85% of covered terrorism losses exceeding the statutorily established deductible paid by the insurance provider, and insurers pay 10% until aggregate insured losses from all insurers reach $100 billion in a calendar year. If the aggregate amount of insured losses under this program exceeds $100 billion during the applicable period for all insured and insurers combined, then each insurance provider will not be liable for payment of any amount which exceeds the aggregate amount of $100 billion . On January 12, 2015, the Terrorism Risk Insurance Program Reauthorization Act of 2015 was signed into law and extended the program through December 31, 2020. NOTES PAYABLE Our unsecured notes and term loans outstanding as of December 31, 2018 and 2017 are as follows (in thousands): Effective December 31, Payoff Date/ Coupon/Stated Rate Rate (1) 2018 2017 Maturity Date (2) 10 Year Unsecured Notes 4.95 % 5.05 % 250,000 $ 250,000 10/1/2020 2015 Term Loan 1 Month LIBOR + 110 basis points 2.72 % 150,000 150,000 3/15/2021 10 Year Unsecured Notes 3.95 % 4.02 % 300,000 300,000 10/15/2022 2016 Term Loan (3) 1 Month LIBOR + 165 basis points 2.86 % — 150,000 3/29/2018 2018 Term Loan (3) 1 Month LIBOR + 110 basis points 2.87 % 250,000 — 7/21/2023 30 Year Unsecured Notes 7.25 % 7.36 % 50,000 50,000 2/25/2028 Total principal 1,000,000 900,000 Premiums and discounts, net (1,189 ) (1,580 ) Deferred issuance costs, net (3,414 ) (4,062 ) Total $ 995,397 894,358 (1) For fixed rate notes, the effective rate represents the yield on issuance date, including the effects of discounts on the notes. For variable rate notes, the effective rate represents the rate as fixed by interest rate derivatives (see note 7 ). (2) No principal amounts are due prior to maturity. (3) The 2018 Term Loan increased and replaced the 2016 Term Loan (see note 5). The required principal payments on the unsecured notes and term loans as of December 31, 2018 are as follows (in thousands): 2019 $ — 2020 250,000 2021 150,000 2022 300,000 2023 250,000 Thereafter 50,000 $ 1,000,000 Interest on these notes is payable semi-annually, except for the term loans, for which interest is payable monthly. These notes contain certain financial and non-financial covenants, all of which we have met as of December 31, 2018 . Included in these covenants is the requirement to maintain a minimum level of unencumbered assets, as well as limits on our total indebtedness, secured indebtedness and required debt service payments. |
Notes Payable
Notes Payable | 12 Months Ended |
Dec. 31, 2018 | |
Notes Payable [Abstract] | |
Notes Payable | UNSECURED LINES OF CREDIT PAYABLE During the first quarter of 2018, we entered into an amended and restated credit agreement (“Credit Agreement”) which provides for a $700.0 million unsecured revolving credit facility (“Revolving Credit Facility”), the continuation of an existing $150.0 million unsecured term loan (“2015 Term Loan”) and an additional $250.0 million unsecured term loan (“2018 Term Loan”). The Revolving Credit Facility has a four -year term ending in March 2022 , with two six -month extension options, and expands our prior $600.0 million unsecured revolving credit facility that was set to expire in June 2019 . The Credit Agreement has an accordion feature that allows us to increase the facility up to $1.5 billion in the aggregate, to the extent the lenders agree to provide additional revolving loan commitments or term loans. The 2015 Term Loan has a 5.5 year term and currently has an interest rate of one month LIBOR plus 110 basis points, based on Washington REIT's current unsecured debt ratings. We entered into two interest rate swaps to effectively fix the interest rate at 2.7% (see note 7 ). The 2018 Term Loan increases and replaces the $150.0 million unsecured term loan, initially entered into on July 22, 2016 (“2016 Term Loan”), that was scheduled to mature in July 2023 . The 2018 Term Loan is scheduled to mature in July 2023 and bears interest at a rate of either one month LIBOR plus a margin ranging from 0.85% to 1.75% or the base rate plus a margin ranging from 0% to 0.75% (in each case depending upon Washington REIT’s credit rating). We used the $100.0 million of additional proceeds from the 2018 Term Loan primarily to repay outstanding borrowings on the Revolving Credit Facility. We had previously used interest rate derivatives to effectively fix the interest rate of the 2016 Term Loan. These interest rate derivatives now effectively fix the interest rate on a $150.0 million portion of the 2018 Term Loan at 2.31% . In March 2018, we entered into interest rate derivatives that commenced on June 29, 2018 to effectively fix the interest rate on the remaining $100.0 million of the 2018 Term Loan at 3.71% . The 2018 Term Loan has an all-in fixed interest rate of 2.87% . The amount of the Revolving Credit Facility unused and available at December 31, 2018 was as follows (in thousands): Committed capacity $ 700,000 Borrowings outstanding (188,000 ) Unused and available $ 512,000 We executed borrowings and repayments on the Revolving Credit Facility during 2018 as follows (in thousands): Balance at December 31, 2017 $ 166,000 Borrowings 410,000 Repayments (388,000 ) Balance at December 31, 2018 $ 188,000 The Revolving Credit Facility bears interest at a rate of either LIBOR plus a margin ranging from 0.775% to 1.55% or the base rate plus a margin ranging from 0% to 0.55% (in each case depending upon Washington REIT’s credit rating). The base rate is the highest of the administrative agent's prime rate, the federal funds rate plus 0.5% and the LIBOR market index rate plus 1.0% . As of December 31, 2018 , the interest rate on the facility is LIBOR plus 1.0% and the one month LIBOR was 2.5% . All outstanding advances for the Revolving Credit Facility are due and payable upon maturity in March 2022 , unless extended pursuant to one or both of the two six-month extension options. Interest only payments are due and payable generally on a monthly basis. In addition, the Revolving Credit Facility requires the payment of a facility fee ranging from 0.10% to 0.30% (depending on Washington REIT’s credit rating) on the $700.0 million committed capacity, without regard to usage. As of December 31, 2018 , the facility fee is 0.20% . For the three years ended December 31, 2018 , we recognized interest expense (excluding facility fees) and facility fees as follows (in thousands): Year Ended December 31, 2018 2017 2016 Interest expense (excluding facility fees) $ 6,843 $ 3,857 $ 3,272 Facility fees 1,371 1,217 1,220 The Revolving Credit Facility contains and the prior unsecured credit facility that it replaced contained certain financial and non-financial covenants, all of which we have met as of December 31, 2018 and 2017 . Included in these covenants are limits on our total indebtedness, secured and unsecured indebtedness and required debt service payments. Information related to revolving credit facilities for the three years ended December 31, 2018 as follows (in thousands, except percentage amounts): Year Ended December 31, 2018 2017 2016 Total revolving credit facilities at December 31 $ 700,000 $ 600,000 $ 600,000 Borrowings outstanding at December 31 188,000 166,000 120,000 Weighted average daily borrowings during the year 230,934 179,633 214,962 Maximum daily borrowings during the year 429,000 252,000 358,000 Weighted average interest rate during the year 2.96 % 2.15 % 1.52 % Weighted average interest rate on borrowings outstanding at December 31 3.52 % 2.54 % 1.64 % The covenants under our Revolving Credit Facility require us to insure our properties against loss or damage in amounts customarily maintained by similar businesses or as they may be required by applicable law. The covenants for the notes require us to keep all of our insurable properties insured against loss or damage at least equal to their then full insurable value. We have an insurance policy that has no terrorism exclusion, except for non-certified nuclear, chemical and biological acts of terrorism. Our financial condition and results of operations are subject to the risks associated with acts of terrorism and the potential for uninsured losses as the result of any such acts. Effective November 26, 2002, under this existing coverage, any losses caused by certified acts of terrorism would be partially reimbursed by the United States under a formula established by federal law. Under this formula, the United States pays 85% of covered terrorism losses exceeding the statutorily established deductible paid by the insurance provider, and insurers pay 10% until aggregate insured losses from all insurers reach $100 billion in a calendar year. If the aggregate amount of insured losses under this program exceeds $100 billion during the applicable period for all insured and insurers combined, then each insurance provider will not be liable for payment of any amount which exceeds the aggregate amount of $100 billion . On January 12, 2015, the Terrorism Risk Insurance Program Reauthorization Act of 2015 was signed into law and extended the program through December 31, 2020. NOTES PAYABLE Our unsecured notes and term loans outstanding as of December 31, 2018 and 2017 are as follows (in thousands): Effective December 31, Payoff Date/ Coupon/Stated Rate Rate (1) 2018 2017 Maturity Date (2) 10 Year Unsecured Notes 4.95 % 5.05 % 250,000 $ 250,000 10/1/2020 2015 Term Loan 1 Month LIBOR + 110 basis points 2.72 % 150,000 150,000 3/15/2021 10 Year Unsecured Notes 3.95 % 4.02 % 300,000 300,000 10/15/2022 2016 Term Loan (3) 1 Month LIBOR + 165 basis points 2.86 % — 150,000 3/29/2018 2018 Term Loan (3) 1 Month LIBOR + 110 basis points 2.87 % 250,000 — 7/21/2023 30 Year Unsecured Notes 7.25 % 7.36 % 50,000 50,000 2/25/2028 Total principal 1,000,000 900,000 Premiums and discounts, net (1,189 ) (1,580 ) Deferred issuance costs, net (3,414 ) (4,062 ) Total $ 995,397 894,358 (1) For fixed rate notes, the effective rate represents the yield on issuance date, including the effects of discounts on the notes. For variable rate notes, the effective rate represents the rate as fixed by interest rate derivatives (see note 7 ). (2) No principal amounts are due prior to maturity. (3) The 2018 Term Loan increased and replaced the 2016 Term Loan (see note 5). The required principal payments on the unsecured notes and term loans as of December 31, 2018 are as follows (in thousands): 2019 $ — 2020 250,000 2021 150,000 2022 300,000 2023 250,000 Thereafter 50,000 $ 1,000,000 Interest on these notes is payable semi-annually, except for the term loans, for which interest is payable monthly. These notes contain certain financial and non-financial covenants, all of which we have met as of December 31, 2018 . Included in these covenants is the requirement to maintain a minimum level of unencumbered assets, as well as limits on our total indebtedness, secured indebtedness and required debt service payments. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS On September 15, 2015 , we entered into two interest rate swap arrangements with a total notional amount of $150.0 million to swap the floating interest rate under the 2015 Term Loan (see note 6 ) to an all-in fixed interest rate of 2.72% starting on October 15, 2015 and extending until the maturity of the 2015 Term Loan on March 15, 2021 . On July 22, 2016 , we entered into two forward interest rate swap arrangements with a total notional amount of $150.0 million to swap the floating interest rate under the 2016 Term Loan (see note 6) to an all-in fixed interest rate of 2.86% , starting on March 31, 2017 and extending until the scheduled maturity of the 2016 Term Loan on July 21, 2023 . On March 29, 2018, we entered into the 2018 Term Loan, a $250.0 million floating interest rate term loan scheduled to mature on July 21, 2023, which increased and replaced the 2016 Term Loan. The interest rate swap arrangements that had effectively fixed the 2016 Term Loan now effectively fix the interest rate on a $150.0 million portion of the 2018 Term Loan at 2.31% . On March 29, 2018, we entered into four interest rate swap arrangements with a total notional amount of $100.0 million to effectively fix the interest rate on the remaining $100.0 million of the 2018 Term Loan at 3.71% , that commenced on June 29, 2018 and extending until the maturity of the 2018 Term Loan on July 21, 2023 . The $250.0 million 2018 Term Loan has an all-in fixed interest rate of 2.87% (see note 5 and note 6 ). The interest rate swaps qualify as cash flow hedges and are recorded at fair value in accordance with GAAP, based on discounted cash flow methodologies and observable inputs. We record the effective portion of changes in fair value of the cash flow hedges in other comprehensive income. The resulting unrealized loss on the effective portions of the cash flow hedges was the only activity in other comprehensive income (loss) during the periods presented in our consolidated financial statements. We assess the effectiveness of our cash flow hedges both at inception and on an ongoing basis. The cash flow hedges were effective for 2018 and 2017 and hedge ineffectiveness did not impact earnings in 2018 and 2017 . The fair values of the interest rate swaps as of December 31, 2018 and 2017 , are as follows (in thousands): Aggregate Notional Amount Effective Date Fair Value Derivative Assets (Liabilities) December 31, Derivative Instrument Maturity Date 2018 2017 Interest rate swaps $ 150,000 October 15, 2015 March 15, 2021 $ 2,720 $ 1,987 Interest rate swaps 150,000 March 31, 2017 July 21, 2023 7,918 7,432 Interest rate swaps 100,000 June 29, 2018 July 21, 2023 $ (799 ) $ — $ 400,000 $ 9,839 $ 9,419 We record interest rate swaps on our consolidated balance sheets with prepaid expenses and other assets when in a net asset position, and with accounts payable and other liabilities when in a net liability position. The interest rate swaps have been effective since inception. The gains or losses on the effective swaps are recognized in other comprehensive income, as follows (in thousands): Year Ending December 31, 2018 2017 2016 Unrealized gain on interest rate hedges $ 420 $ 1,808 $ 8,161 Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on our variable-rate debt. During the next twelve months, we estimate that $3.3 million will be reclassified as a decrease to interest expense. We have agreements with each of our derivative counterparties that contain a provision whereby we could be declared in default on our derivative obligations if repayment of the underlying indebtedness is accelerated by the lender due to our default on the indebtedness. As of December 31, 2018 , the fair value of the derivative assets, including accrued interest, was $10.6 million , and the fair value of the derivative liabilities, including accrued interest, was $0.8 million . As of December 31, 2018 , we have not posted any collateral related to these agreements. Derivative instruments expose us to credit risk in the event of non-performance by the counterparty under the terms of the interest rate hedge agreement. We believe that we minimize our credit risk on these transactions by dealing with major, creditworthy financial institutions. We monitor the credit ratings of counterparties and our exposure to any single entity, thus minimizing our credit risk concentration. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | FAIR VALUE DISCLOSURES Assets and Liabilities Measured at Fair Value For assets and liabilities measured at fair value on a recurring basis, quantitative disclosures about the fair value measurements are required to be disclosed separately for each major category of assets and liabilities, as follows: Level 1: Quoted prices in active markets for identical assets Level 2: Significant other observable inputs Level 3: Significant unobservable inputs The only assets or liabilities we had at December 31, 2018 and 2017 that are recorded at fair value on a recurring basis are the assets held in the Supplemental Executive Retirement Plan ("SERP"), which primarily consists of investments in mutual funds, and the interest rate swaps (see note 7 ). We base the valuations related to the SERP on assumptions derived from significant other observable inputs and accordingly these valuations fall into Level 2 in the fair value hierarchy. The valuation of the interest rate swaps is determined using widely accepted valuation techniques, including discounted cash flow analysis on the expected cash flows of each interest rate swap. This analysis reflects the contractual terms of the interest rate swaps, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments (or receipts) and the discounted expected variable cash receipts (or payments). The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves. To comply with the provisions of ASC 820, we incorporate credit valuation adjustments in the fair value measurements to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk. These credit valuation adjustments were concluded to not be significant inputs for the fair value calculations for the periods presented. In adjusting the fair value of our derivative contracts for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements, such as the posting of collateral, thresholds, mutual puts and guarantees. The valuation of interest rate swaps fall into Level 2 in the fair value hierarchy. The fair values of these assets and liabilities at December 31, 2018 and 2017 were as follows (in thousands): December 31, 2018 December 31, 2017 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: SERP $ 1,364 $ — $ 1,364 $ — $ 1,858 $ — $ 1,858 $ — Interest rate swaps 10,638 — 10,638 — 9,419 — 9,419 — Liabilities: Interest rate swaps (799 ) — (799 ) — — — — — Financial Assets and Liabilities Not Measured at Fair Value The following disclosures of estimated fair value were determined by management using available market information and established valuation methodologies, including discounted cash flow models. Many of these estimates involve significant judgment. The estimated fair value disclosed may not necessarily be indicative of the amounts we could realize on disposition of the financial instruments. The use of different market assumptions or estimation methodologies could have an effect on the estimated fair value amounts. In addition, fair value estimates are made at a point in time and thus, estimates of fair value subsequent to December 31, 2018 may differ significantly from the amounts presented. Below is a summary of significant methodologies used in estimating fair values and a schedule of fair values at December 31, 2018 . Cash and Cash Equivalents and Restricted Cash Cash and cash equivalents and restricted cash include cash and commercial paper with original maturities of less than 90 days , which are valued at the carrying value, which approximates fair value due to the short maturity of these instruments (Level 1 inputs). Debt Mortgage notes payable consist of instruments in which certain of our real estate assets are used for collateral. We estimate the fair value of the mortgage notes payable by discounting the contractual cash flows at a rate equal to the relevant treasury rates (with respect to the timing of each cash flow) plus credit spreads estimated through independent comparisons to real estate assets or loans with similar characteristics. Line of credit payable consist of bank facilities which we use for various purposes including working capital, acquisition funding and capital improvements. The line of credit advances and term loans with floating interest rates are priced at a specified rate plus a spread. We estimate the market value based on a comparison of the spreads of the advances to market given the adjustable base rate. We estimate the fair value of the notes payable by discounting the contractual cash flows at a rate equal to the relevant treasury rates (with respect to the timing of each cash flow) plus credit spreads derived using the relevant securities’ market prices. We classify these fair value measurements as Level 3 as we use significant unobservable inputs and management judgment due to the absence of quoted market prices. As of December 31, 2018 and 2017 , the carrying values and estimated fair values of our financial instruments were as follows (in thousands): December 31, 2018 2017 Carrying Value Fair Value Carrying Value Fair Value Cash and cash equivalents $ 6,016 $ 6,016 $ 9,847 $ 9,847 Restricted cash 1,624 1,624 2,776 2,776 Mortgage notes payable 59,792 60,398 95,141 97,181 Line of credit payable 188,000 188,000 166,000 166,000 Notes payable 995,397 1,015,210 894,358 931,377 |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Compensation [Abstract] | |
Stock Based Compensation | STOCK BASED COMPENSATION Washington REIT maintains short-term and long-term incentive plans that allow for stock-based awards to officers and non-officer employees. Stock based awards are provided to officers and non-officer employees, as well as trustees, under the Washington Real Estate Investment Trust 2016 Omnibus Incentive Plan which allows for awards in the form of restricted shares, restricted share units, options, and other awards up to an aggregate of 2,400,000 shares over the ten year period in which the plan will be in effect. Restricted share units are converted into shares of our stock upon full vesting through the issuance of new shares. There were no options issued or outstanding as of December 31, 2018 and 2017 . Short-Term Incentive Plan ("STIP") Under the STIP, executive officers earn awards, payable 50% in cash and 50% in restricted shares, based on a percentage of salary and an achievement rating subject to the discretion of the Compensation Committee of the board of trustees in consideration of various performance conditions and other subjective factors during a one -year performance period. With respect to the 50% of the STIP award payable in restricted shares, the restricted shares will vest over a three -year period commencing on the January 1 following the end of the one -year performance period. Prior to the adoption of the 2016 Omnibus Incentive Plan, stock based awards to officers, non-officer employees and trustees were issued under the Washington Real Estate Investment Trust 2007 Omnibus Long-Term Incentive Plan which allowed for awards in the form of restricted shares, restricted share units, options and other awards up to an aggregate of 2,000,000 shares while the plan was in effect. The grant date for the 50% of the STIP award payable in restricted shares is the date on which the Compensation Committee approves the STIP awards. We recognize compensation expense on this 50% when the grant date occurs at the end of the one -year period through the three -year vesting period. Bonuses payable under the short-term incentive plans for non-executive officers and staff are payable 100% in cash. Long-Term Incentive Plan ("LTIP") Under the LTIP, executive officers earn awards payable, 75% in unrestricted shares and 25% in restricted shares, based on a percentage of salary and the achievement of certain market conditions. For performance periods beginning prior to January 1, 2018, LTIP performance was evaluated based 50% on absolute total shareholder return (“TSR”) and 50% on relative TSR over a three -year evaluation period with a new three -year period initiating under the existing plan each year. During the first quarter of 2018, we amended the LTIP for executive officers to eliminate the absolute TSR component and only utilize relative TSR in the measurement of market condition performance. Under the amended LTIP, relative TSR is evaluated 50% relative to a defined population of peer companies and 50% relative to the FTSE NAREIT Diversified Index. The amendment became effective for three-year performance periods commencing on or after January 1, 2018. The officers' total award opportunities under the LTIP stated as a percentage of base salary ranges from 80% to 150% at target level. The unrestricted shares vest immediately at the end of the three -year performance period, and the restricted shares vest over a one -year period commencing on the January 1 following the end of the three -year performance period. We recognize compensation expense ratably (over three years for the 75% unrestricted shares and over four years for the 25% restricted shares) based on the grant date fair value, as determined using a Monte Carlo simulation, and regardless of whether the market conditions are achieved and the awards ultimately vest. We use a binomial model which employs the Monte Carlo method as of the grant date to determine the fair value of the officer LTIP awards. For three-year performance periods commencing on or after January 1, 2018, the market condition performance measurement is based on total shareholder return relative to a defined population of peer companies ( 50% weighting) and relative to the FTSE NAREIT Diversified Index ( 50% weighting). The model evaluates the awards for changing total shareholder return over the term of the vesting, relative to the peer companies and relative to the FTSE NAREIT Diversified Index, and uses random simulations that are based on past stock characteristics as well as dividend growth and other factors for Washington REIT and each of the peer companies. For three-year performance periods commencing prior to January 1, 2018, the market condition performance measurement was based on total shareholder return on an absolute basis (50% weighting) and relative to a defined population of peer companies (50% weighting). The assumptions used to value the officer LTIP awards were as follows: 2018 Awards 2017 Awards 2016 Awards Expected volatility (1) 17.9 % 18.5% - 18.7% 18.2 % Risk-free interest rate (2) 2.4 % 1.5 % 1.3 % Expected term (3) 3 and 4 years 3 and 4 years 3 and 4 years Share price at grant date $26.06 $30.84 - $32.69 $27.06 (1) Expected volatility based upon historical volatility of our daily closing share price. (2) Risk-free interest rate based on U.S. treasury constant maturity bonds on the measurement date with a maturity equal to the market condition performance period. (3) Expected term based on the market condition performance period. The calculated grant date fair value as a percentage of base salary for the officers for the three-year performance period that commenced in 2018 ranged from approximately 8% to 45% for the 50% of the LTIP based on TSR relative to a defined population of peer companies and from 9% to 51% for the 50% of the LTIP based on TSR relative to the FTSE NAREIT Diversified Index. The calculated grant date fair value as a percentage of base salary for the officers for the three-year performance period that commenced in 2017 ranged from approximately 37% to 67% for the 50% of the LTIP based on relative TSR and from 13% to 31% for the 50% of the LTIP based on absolute TSR. The calculated grant date fair value as a percentage of base salary for the officers for the three-year performance period that commenced in 2016 ranged from approximately 38% to 66% for the 50% of the LTIP based on relative TSR and from 17% to 30% for the 50% of the LTIP based on absolute TSR. During 2017, our chief executive officer was granted a one-time equity award of 100,000 restricted shares. None of the restricted shares vest until the fifth anniversary of the grant date, at which time 100% of the restricted shares will vest, subject to Mr. McDermott's continued employment with Washington REIT until such vesting date. Our non-executive officers and other employees earn restricted share unit awards under a long-term incentive plan for non-executive officers and staff, which became effective on January 1, 2016, based upon various percentages of their salaries and annual performance calculations. The restricted share unit awards vest ratably over three years from December 15 preceding the grant date based upon continued employment. For awards made through 2016, the service inception date precedes the grant date. For these awards, we initially measured compensation expense for awards with performance conditions at fair value at the service inception date based on probability of payout, and we remeasured compensation expense at subsequent reporting dates until all of the award's key terms and conditions are known and the grant date is established. We recognized compensation expense for these awards according to a graded vesting schedule over the four -year requisite service period. During 2016, we amended the LTIP for other officers and other employees. Among the changes to the LTIP was the inclusion of strategic goals with subjective performance criteria. As a result of these changes, the service inception date is the same as the grant date for awards made under the amended LTIP. We recognize compensation expense for these awards according to a graded vesting schedule over the three-year requisite service period. Restricted share awards made to retirement-eligible employees fully vest on the grant date. Employees are considered retirement-eligible when they are both over the age of 55 and have been employed by Washington REIT for at least 20 years, or over the age of 65. We fully recognize compensation expense for such awards as of the grant date. Trustee Awards We award share based compensation to our trustees in the form of restricted shares which vest immediately and are restricted from sale for the period of the trustees' service. The value of share-based compensation for each trustee was $100,000 for each of three years ended December 31, 2018 . Total Compensation Expense Total compensation expense recognized in the consolidated financial statements for each of the three years ended December 31, 2018 for all share based awards was $6.7 million , $4.8 million and $3.5 million , respectively, net of capitalized stock-based compensation expense of $0.3 million , $0.2 million and $0.1 million , respectively. Restricted Share Awards with Performance and Service Conditions The activity for the three years ended December 31, 2018 related to our restricted share awards, excluding those subject to market conditions, was as follows: Shares Wtd Avg Grant Fair Value Unvested at December 31, 2015 106,144 $ 27.71 Granted 251,694 26.01 Vested during year (211,771 ) 29.21 Forfeited (38,368 ) 26.14 Unvested at December 31, 2016 107,699 26.47 Granted 330,639 32.46 Vested during year (194,569 ) 30.50 Forfeited (7,075 ) 27.43 Unvested at December 31, 2017 236,694 27.96 Granted 304,087 25.98 Vested during year (224,150 ) 27.40 Forfeited (5,621 ) 29.43 Unvested at December 31, 2018 311,010 29.07 The total fair value of share grants vested for each of the three years ended December 31, 2018 was $6.1 million , $5.9 million and $6.2 million , respectively. As of December 31, 2018 , the total compensation cost related to non-vested share awards not yet recognized was $7.7 million , which we expect to recognize over a weighted average period of 26 months . Restricted and Unrestricted Shares with Market Conditions Stock based awards with market conditions under the LTIP were granted in 2018 , 2017 and 2016 with fair market values, as determined using a Monte Carlo simulation, as follows (in thousands): Grant Date Fair Value 2018 Awards 2017 Awards 2016 Awards Restricted Unrestricted Restricted Unrestricted Restricted Unrestricted Relative TSR $ 203 $ 608 $ 222 $ 666 $ 182 $ 546 Absolute/Index TSR (1) 230 690 100 299 82 246 The unamortized value of these awards with market conditions as of December 31, 2018 was as follows (in thousands): 2018 Awards 2017 Awards 2016 Awards Restricted Unrestricted Restricted Unrestricted Restricted Unrestricted Relative TSR $ 158 $ 427 $ 111 $ 222 $ 39 $ — Absolute/Index TSR (1) 179 484 50 100 18 — (1) The performance condition for the 2018 awards was evaluated based on 50% on TSR relative to a defined population of peer companies and 50% on TSR relative to the FTSE NAREIT Diversified Index. The performance conditions for the 2017 and 2016 awards were evaluated based 50% on absolute TSR and 50% on relative TSR. |
Other Benefit Plans
Other Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Defined Benefit Plan [Abstract] | |
Other Benefit Plans | OTHER BENEFIT PLANS We have a Retirement Savings Plan (the “401(k) Plan”), which permits all eligible employees to defer a portion of their compensation in accordance with the Code. Under the 401(k) Plan, we may make discretionary contributions on behalf of eligible employees. For each of the three years ended December 31, 2018 , we made contributions to the 401(k) plan of $0.5 million , $0.4 million and $0.4 million , respectively. We have adopted non-qualified deferred compensation plans for the officers and members of the board of trustees. The plans allow for a deferral of a percentage of annual cash compensation and trustee fees. The plans are unfunded and payments are to be made out of the general assets of Washington REIT. The deferred compensation liability was $1.1 million and $1.0 million at December 31, 2018 and 2017 , respectively. In November 2005, the board of trustees approved the establishment of a SERP for the benefit of officers. This is a defined contribution plan under which, upon a participant's termination of employment from Washington REIT for any reason other than discharge for cause, the participant will be entitled to receive a benefit equal to the participant's accrued benefit times the participant's vested interest. We account for this plan in accordance with ASC 710-10 and ASC 320-10, whereby the investments are reported at fair value, and unrealized holding gains and losses are included in earnings. At December 31, 2018 and 2017 , the accrued benefit liability was $1.4 million and $1.8 million , respectively. For each of the three years ended December 31, 2018 , we recognized current service cost of $0.3 million , $0.3 million and $0.2 million , respectively. |
Earnings Per Common Share
Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | EARNINGS PER COMMON SHARE We determine “Basic earnings per share” using the two-class method as our unvested restricted share awards and units have non-forfeitable rights to dividends, and are therefore considered participating securities. We compute basic earnings per share by dividing net income attributable to the controlling interest less the allocation of undistributed earnings to unvested restricted share awards and units by the weighted-average number of common shares outstanding for the period. We also determine “Diluted earnings per share” as the more dilutive of the two-class method or the treasury stock method with respect to the unvested restricted share awards. We further evaluate any other potentially dilutive securities at the end of the period and adjust the basic earnings per share calculation for the impact of those securities that are dilutive. Our dilutive earnings per share calculation includes the dilutive impact of operating partnership units under the if-converted method and our share based awards with performance conditions prior to the grant date and all market condition awards under the contingently issuable method. The computation of basic and diluted earnings per share for the three years ended December 31, 2018 was as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Numerator: Net income $ 25,630 $ 19,612 $ 119,288 Net loss attributable to noncontrolling interests — 56 51 Allocation of undistributed earnings to unvested restricted share awards and units (526 ) (362 ) (310 ) Adjusted net income attributable to the controlling interests $ 25,104 $ 19,306 $ 119,029 Denominator: Weighted average shares outstanding – basic 78,960 76,820 72,163 Effect of dilutive securities: Operating partnership units 12 9 — Employee restricted share awards 70 106 176 Weighted average shares outstanding – diluted 79,042 76,935 72,339 Basic net income attributable to the controlling interests per common share $ 0.32 $ 0.25 $ 1.65 Diluted net income attributable to the controlling interests per common share $ 0.32 $ 0.25 $ 1.65 Dividends declared per common share $ 1.20 $ 1.20 $ 1.20 |
Rentals Under Operating Leases
Rentals Under Operating Leases | 12 Months Ended |
Dec. 31, 2018 | |
Leases, Operating [Abstract] | |
Rentals Under Operating Leases | RENTALS UNDER OPERATING LEASES As of December 31, 2018 , non-cancelable commercial operating leases provide for future minimum rental income as follows (in thousands): 2019 $ 191,252 2020 175,925 2021 153,395 2022 133,359 2023 108,564 Thereafter 304,876 $ 1,067,371 Apartment leases are not included as the terms are generally for one year. Most of these commercial leases increase in future years based on agreed-upon percentages or in some instances, changes in the Consumer Price Index. Real estate tax, operating expense and common area maintenance reimbursement income for the three years ended December 31, 2018 was $33.2 million , $35.4 million and $35.2 million , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Development Commitments At December 31, 2018 , we had no committed contracts outstanding with third parties in connection with our development and redevelopment projects. Litigation We are involved from time to time in various legal proceedings, lawsuits, examinations by various tax authorities and claims that have arisen in the ordinary course of business. Management believes that the resolution of any such current matters will not have a material adverse effect on our financial condition or results of operations. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
Segment Information | SEGMENT INFORMATION We evaluate real estate performance and allocate resources by property type and have three reportable segments: office, multifamily, and retail. Office properties provide office space for various types of businesses and professions. Multifamily properties provide rental housing for individuals and families throughout the Washington metro region. Retail properties are typically grocery store anchored neighborhood centers that include other small shop tenants or regional power centers with several junior box tenants. Real estate rental revenue as a percentage of the total for each of the reportable operating segments for the three years ended December 31, 2018 was as follows: Year Ended December 31, 2018 2017 2016 Office 53 % 52 % 53 % Multifamily 28 % 29 % 27 % Retail 19 % 19 % 20 % The percentage of income producing real estate assets classified as held and used, at cost, for each of the reportable operating segments as of December 31, 2018 and 2017 was as follows: December 31, 2018 2017 Office 52 % 50 % Multifamily 32 % 33 % Retail 16 % 17 % The accounting policies of each of the segments are the same as those described in note 2. We evaluate performance based upon net operating income from the combined properties in each segment. Our reportable operating segments are consolidations of similar properties. GAAP requires that segment disclosures present the measure(s) used by the chief operating decision maker for purposes of assessing segments’ performance. Net operating income is a key measurement of our segment profit and loss. Net operating income is defined as segment real estate rental revenue less segment real estate expenses. The following tables present revenues, net operating income, capital expenditures and total assets for the three years ended December 31, 2018 from these segments, and reconciles net operating income of reportable segments to net income attributable to the controlling interests as reported (in thousands): Year Ended December 31, 2018 Office Retail Multifamily Corporate Consolidated Real estate rental revenue $ 178,474 $ 63,222 $ 95,194 $ — $ 336,890 Real estate expenses 63,321 15,674 37,235 — 116,230 Net operating income $ 115,153 $ 47,548 $ 57,959 $ — $ 220,660 Depreciation and amortization (121,228 ) General and administrative (22,089 ) Interest expense (51,144 ) Loss on extinguishment of debt (1,178 ) Real estate impairment (1,886 ) Gain on sale of real estate 2,495 Net income 25,630 Less: Net loss attributable to noncontrolling interests — Net income attributable to the controlling interests $ 25,630 Capital expenditures $ 42,019 $ 3,934 $ 25,117 $ 963 $ 72,033 Total assets $ 1,248,673 $ 341,021 $ 792,170 $ 35,240 $ 2,417,104 Year Ended December 31, 2017 Office Retail Multifamily Corporate and Other Consolidated Real estate rental revenue $ 167,438 $ 62,390 $ 95,250 $ — $ 325,078 Real estate expenses 62,824 15,186 37,640 — 115,650 Net operating income $ 104,614 $ 47,204 $ 57,610 $ — $ 209,428 Depreciation and amortization (112,056 ) General and administrative (22,580 ) Real estate impairment (33,152 ) Interest expense (47,534 ) Other income 507 Gain on sale of real estate 24,915 Income tax benefit 84 Net income 19,612 Less: Net loss attributable to noncontrolling interests 56 Net income attributable to the controlling interests $ 19,668 Capital expenditures $ 30,407 $ 2,128 $ 27,980 $ 3,866 $ 64,381 Total assets $ 1,203,187 $ 346,580 $ 767,279 $ 42,380 $ 2,359,426 Year Ended December 31, 2016 Office Retail Multifamily Corporate Consolidated Real estate rental revenue $ 165,934 $ 61,566 $ 85,764 $ — $ 313,264 Real estate expenses 64,405 15,860 34,748 — 115,013 Net operating income $ 101,529 $ 45,706 $ 51,016 $ — $ 198,251 Depreciation and amortization (108,406 ) General and administrative (19,545 ) Casualty gain 676 Acquisition costs (1,178 ) Interest expense (53,126 ) Other income 297 Gain on sale of real estate 101,704 Income tax benefit 615 Net income 119,288 Less: Net loss attributable to noncontrolling interests 51 Net income attributable to the controlling interests $ 119,339 Capital expenditures $ 30,337 $ 8,821 $ 17,936 $ 920 $ 58,014 Total assets $ 1,104,589 $ 352,056 $ 762,695 $ 34,279 $ 2,253,619 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) Unaudited financial data by quarter in each of the years ended December 31, 2018 and 2017 were as follows (in thousands, except for per share data): Quarter (1), (2) First Second Third Fourth 2018 Real estate rental revenue $ 84,881 $ 86,606 $ 82,502 $ 82,901 Net income $ 3,299 $ 10,750 $ 5,893 $ 5,688 Net income attributable to the controlling interests $ 3,299 $ 10,750 $ 5,893 $ 5,688 Net income per share Basic $ 0.04 $ 0.14 $ 0.07 $ 0.07 Diluted $ 0.04 $ 0.13 $ 0.07 $ 0.07 2017 Real estate rental revenue $ 77,501 $ 83,456 $ 82,819 $ 81,302 Net income $ 6,615 $ 7,847 $ 2,813 $ 2,337 Net income attributable to the controlling interests $ 6,634 $ 7,864 $ 2,833 $ 2,337 Net income per share Basic $ 0.09 $ 0.10 $ 0.04 $ 0.03 Diluted $ 0.09 $ 0.10 $ 0.04 $ 0.03 (1) With regard to per share calculations, the sum of the quarterly results may not equal full year results due to rounding. (2) The second quarter of 2018 includes gain on sale of real estate of $2.5 million . The fourth quarter of 2017 includes gain on sale of real estate of $24.9 million . The first quarter of 2018 includes real estate impairment of $1.9 million . The third and fourth quarters of 2017 include real estate impairments of $5.0 million and $28.2 million , respectively. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Shareholders' Equity | SHAREHOLDERS' EQUITY During the second quarter of 2016, we issued approximately 5.3 million common shares, including 0.7 million shares issued pursuant to the underwriters' over-allotment option, at a price to the public of $28.20 per share. We received net proceeds of approximately $143.4 million . On May 4, 2018, we entered into eight separate equity distribution agreements (collectively, the “2018 Equity Distribution Agreements”) with each of Wells Fargo Securities, LLC, BNY Mellon Capital Markets, LLC, Capital One Securities, Inc., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, KeyBanc Capital Markets Inc. and SunTrust Robinson Humphrey, Inc. relating to the issuance of up to $250.0 million of our common shares from time to time under our at-the-market program. Issuances of our common shares are made at market prices prevailing at the time of issuance. We may use net proceeds from the issuance of common shares under this program for general business purposes, including, without limitation, working capital, the acquisition, renovation, expansion, improvement, development or redevelopment of income producing properties or the repayment of debt. Our issuances and net proceeds on the 2018 Equity Distribution Agreements for the year ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 Issuance of common shares 1,165 Weighted average price per share $ 31.18 Net proceeds $ 35,472 The 2018 Equity Distribution Agreements replaced our previous equity distribution agreements with Wells Fargo Securities, LLC, BNY Mellon Capital Markets, LLC, Citigroup Global Markets Inc. and RBC Capital Markets LLC, dated June 23, 2015. Our issuances and net proceeds on the previous equity distribution agreements for the three years ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Issuance of common shares — 3,587 904 Weighted average price per share $ — $ 32.06 $ 33.32 Net proceeds $ — $ 113,194 $ 29,579 We have a dividend reinvestment program, whereby shareholders may use their dividends and optional cash payments to purchase common shares. The common shares sold under this program may either be common shares issued by us or common shares purchased in the open market. Net proceeds under this program are used for general corporate purposes. Our issuances and net proceeds on the dividend reinvestment program for the three years ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Issuance of common shares 81 80 23 Weighted average price per share $ 29.18 $ 32.25 $ 30.98 Net proceeds $ 1,973 $ 2,576 $ 700 |
Deferred Costs
Deferred Costs | 12 Months Ended |
Dec. 31, 2018 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Deferred Costs | DEFERRED COSTS As of December 31, 2018 and 2017 , deferred leasing costs and deferred leasing incentives were included in prepaid expenses and other assets as follows (in thousands): December 31, 2018 2017 Gross Carrying Value Accumulated Amortization Net Gross Carrying Value Accumulated Amortization Net Deferred leasing costs $ 69,648 $ 33,351 $ 36,297 $ 68,213 $ 28,523 $ 39,690 Deferred leasing incentives 25,198 14,081 11,117 24,946 11,114 13,832 Amortization, including write-offs, of deferred leasing costs and deferred leasing incentives for the three years ended December 31, 2018 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Deferred leasing costs amortization $ 6,442 $ 6,418 $ 6,076 Deferred leasing incentives amortization 2,966 3,163 2,994 |
Schedule II
Schedule II | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II | SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS FOR THE YEARS ENDED DECEMBER 31, 2018 , 2017 AND 2016 (IN THOUSANDS) Balance at Beginning of Year Additions Charged to Expenses Net Recoveries Balance at End of Year Allowance for doubtful accounts 2018 $ 2,426 $ 2,136 $ (1,001 ) $ 3,561 2017 $ 2,377 $ 882 $ (833 ) $ 2,426 2016 $ 2,297 $ 1,706 $ (1,626 ) $ 2,377 Valuation allowance for deferred tax assets 2018 $ 1,413 $ 6 $ — $ 1,419 2017 $ 2,882 $ — $ (1,469 ) $ 1,413 2016 $ 5,705 $ — $ (2,823 ) $ 2,882 |
Schedule III
Schedule III | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III | SCHEDULE III Initial Cost (b) Net Improvements (Retirement) since Acquisition Gross Amounts at Which Carried at December 31, 2018 Accumulated Depreciation at December 31, 2018 Properties Location Land Buildings and Improvements Land Buildings and Improvements Total (c) Year of Construction Date of Acquisition Net Rentable Square Feet Units Depreciation Life (d) Multifamily Properties 3801 Connecticut Avenue Washington, DC $ 420,000 $ 2,678,000 $ 17,999,000 $ 420,000 $ 20,677,000 $ 21,097,000 $ 12,439,000 1951 Jan 1963 178,000 307 30 years Roosevelt Towers Virginia 336,000 1,996,000 13,097,000 336,000 15,093,000 15,429,000 10,797,000 1964 May 1965 170,000 191 40 years Park Adams Virginia 287,000 1,654,000 13,326,000 287,000 14,980,000 15,267,000 10,562,000 1959 Jan 1969 173,000 200 35 years The Ashby at McLean (f) Virginia 4,356,000 17,102,000 25,934,000 4,356,000 43,036,000 47,392,000 27,080,000 1982 Aug 1996 274,000 256 30 years Bethesda Hill Apartments Maryland 3,900,000 13,412,000 14,491,000 3,900,000 27,903,000 31,803,000 20,002,000 1986 Nov 1997 225,000 195 30 years Bennett Park Virginia 2,861,000 917,000 81,091,000 4,774,000 80,095,000 84,869,000 37,404,000 2007 Feb 2001 215,000 224 28 years The Clayborne Virginia 269,000 — 31,192,000 699,000 30,762,000 31,461,000 16,021,000 2008 Jun 2003 60,000 74 26 years The Kenmore (a) Washington, DC 28,222,000 33,955,000 19,457,000 28,222,000 53,412,000 81,634,000 16,038,000 1948 Sep 2008 268,000 374 30 years The Maxwell Virginia 12,787,000 — 38,086,000 12,848,000 38,025,000 50,873,000 8,919,000 2014 Jun 2011 116,000 163 30 years The Paramount Virginia 8,568,000 38,716,000 2,727,000 8,568,000 41,443,000 50,011,000 9,614,000 1984 Oct 2013 141,000 135 30 years Yale West (a) Washington, DC 14,684,000 62,069,000 1,288,000 14,684,000 63,357,000 78,041,000 11,170,000 2011 Feb 2014 173,000 216 30 years The Wellington Virginia 30,548,000 116,563,000 12,236,000 30,548,000 128,799,000 159,347,000 16,484,000 1960 Jul 2015 600,000 711 30 years Wellington Land Parcel (Trove) (e) Virginia 15,000,000 — 45,271,000 — 60,271,000 60,271,000 — n/a Jul 2015 — n/a n/a Riverside Apartments Virginia 38,924,000 184,854,000 29,053,000 38,924,000 213,907,000 252,831,000 20,607,000 1971 May 2016 1,001,000 1,222 30 years Riverside Apartments Land Parcel (e) Virginia 15,968,000 — 6,936,000 — 22,904,000 22,904,000 — n/a May 2016 — n/a n/a $ 177,130,000 $ 473,916,000 $ 352,184,000 $ 148,566,000 $ 854,664,000 $ 1,003,230,000 $ 217,137,000 3,594,000 4,268 Office Buildings 1901 Pennsylvania Avenue Washington, DC $ 892,000 $ 3,481,000 $ 20,702,000 $ 892,000 $ 24,183,000 $ 25,075,000 $ 17,895,000 1960 May 1977 101,000 28 years 515 King Street Virginia 4,102,000 3,931,000 8,663,000 4,102,000 12,594,000 16,696,000 6,714,000 1966 Jul 1992 74,000 50 years 1220 19th Street Washington, DC 7,803,000 11,366,000 15,878,000 7,803,000 27,244,000 35,047,000 17,343,000 1976 Nov 1995 102,000 30 years 1600 Wilson Boulevard Virginia 6,661,000 16,742,000 30,017,000 6,661,000 46,759,000 53,420,000 27,579,000 1973 Oct 1997 170,000 30 years Silverline Center Virginia 12,049,000 71,825,000 101,406,000 12,049,000 173,231,000 185,280,000 95,527,000 1972 Nov 1997 547,000 30 years Courthouse Square Virginia — 17,096,000 10,000,000 — 27,096,000 27,096,000 16,505,000 1979 Oct 2000 119,000 30 years 1776 G Street Washington, DC 31,500,000 54,327,000 9,765,000 31,500,000 64,092,000 95,592,000 34,375,000 1979 Aug 2003 262,000 30 years Monument II Virginia 10,244,000 65,205,000 10,745,000 10,244,000 75,950,000 86,194,000 32,037,000 2000 Mar 2007 209,000 30 years 2000 M Street Washington, DC — 61,101,000 23,929,000 — 85,030,000 85,030,000 34,798,000 1971 Dec 2007 232,000 30 years 925 Corporate Drive Virginia 4,518,000 24,801,000 1,960,000 4,518,000 26,761,000 31,279,000 10,852,000 2007 Jun 2010 135,000 30 years 1000 Corporate Drive Virginia 4,897,000 25,376,000 (123,000 ) 4,898,000 25,252,000 30,150,000 9,953,000 2009 Jun 2010 137,000 30 years 1140 Connecticut Avenue Washington, DC 25,226,000 50,495,000 17,842,000 25,226,000 68,337,000 93,563,000 21,610,000 1966 Jan 2011 183,000 30 years 1227 25th Street Washington, DC 17,505,000 21,319,000 9,465,000 17,505,000 30,784,000 48,289,000 9,924,000 1988 Mar 2011 134,000 30 years John Marshall II Virginia 13,490,000 53,024,000 9,522,000 13,490,000 62,546,000 76,036,000 16,479,000 1996 Sep 2011 223,000 30 years Fairgate at Ballston Virginia 17,750,000 29,885,000 6,630,000 17,750,000 36,515,000 54,265,000 10,841,000 1988 Jun 2012 144,000 30 years Army Navy Building Washington, DC 30,796,000 39,315,000 12,935,000 30,796,000 52,250,000 83,046,000 10,195,000 1912 Mar 2014 108,000 30 years 1775 Eye Street, NW Washington, DC 48,086,000 51,074,000 14,384,000 48,086,000 65,458,000 113,544,000 13,880,000 1964 May 2014 186,000 30 years Watergate 600 Washington, DC 45,981,000 78,325,000 18,830,000 45,981,000 97,155,000 143,136,000 8,826,000 1972 Apr 2017 278,000 30 years Arlington Tower Virginia $ 63,970,000 $ 156,525,000 $ 5,231,000 $ 63,970,000 $ 161,756,000 $ 225,726,000 $ 6,939,000 1980 Jan 2018 391,000 30 years $ 345,470,000 $ 835,213,000 $ 327,781,000 $ 345,471,000 $ 1,162,993,000 $ 1,508,464,000 $ 402,272,000 3,735,000 Initial Cost (b) Net Improvements (Retirement) since Acquisition Gross Amounts at Which Carried at December 31, 2018 Accumulated Depreciation at December 31, 2018 Properties Location Land Buildings and Improvements Land Buildings and Improvements Total (c) Year of Construction Date of Acquisition Net Rentable Square Feet Units Depreciation Life (d) Retail Centers Takoma Park Maryland $ 415,000 $ 1,084,000 $ 261,000 $ 366,000 $ 1,394,000 $ 1,760,000 $ 1,201,000 1962 Jul 1963 51,000 50 years Westminster Maryland 519,000 1,775,000 9,900,000 519,000 11,675,000 12,194,000 8,282,000 1969 Sep 1972 150,000 37 years Concord Centre Virginia 413,000 850,000 6,185,000 413,000 7,035,000 7,448,000 3,826,000 1960 Dec 1973 75,000 33 years Wheaton Park Maryland 796,000 857,000 4,877,000 796,000 5,734,000 6,530,000 4,279,000 1967 Sep 1977 74,000 50 years Bradlee Shopping Center Virginia 4,152,000 5,383,000 14,746,000 4,152,000 20,129,000 24,281,000 13,582,000 1955 Dec 1984 171,000 40 years Chevy Chase Metro Plaza Washington, DC 1,549,000 4,304,000 8,340,000 1,549,000 12,644,000 14,193,000 7,821,000 1975 Sep 1985 49,000 50 years Shoppes of Foxchase Virginia 5,838,000 2,979,000 14,953,000 5,838,000 17,932,000 23,770,000 8,537,000 1960 Jun 1994 134,000 50 years Frederick County Square Maryland 6,561,000 6,830,000 5,422,000 6,561,000 12,252,000 18,813,000 8,770,000 1973 Aug 1995 227,000 30 years 800 S. Washington Street Virginia 2,904,000 5,489,000 6,144,000 2,904,000 11,633,000 14,537,000 5,826,000 1955 Jun 1998 46,000 30 years Centre at Hagerstown Maryland 13,029,000 25,415,000 2,166,000 13,029,000 27,581,000 40,610,000 15,294,000 2000 Jun 2002 333,000 30 years Frederick Crossing Maryland 12,759,000 35,477,000 1,660,000 12,759,000 37,137,000 49,896,000 18,011,000 1999 Mar 2005 295,000 30 years Randolph Shopping Center Maryland 4,928,000 13,025,000 1,200,000 4,928,000 14,225,000 19,153,000 6,329,000 1972 May 2006 82,000 30 years Montrose Shopping Center Maryland 11,612,000 22,410,000 2,455,000 11,020,000 25,457,000 36,477,000 10,997,000 1970 May 2006 147,000 30 years Gateway Overlook Maryland 28,816,000 52,249,000 2,417,000 29,110,000 54,372,000 83,482,000 21,460,000 2007 Dec 2010 220,000 30 years Olney Village Center (a) Maryland 15,842,000 39,133,000 2,306,000 15,842,000 41,439,000 57,281,000 11,320,000 1979 Aug 2011 199,000 30 years Spring Valley Village (f) Washington, DC 10,836,000 32,238,000 8,623,000 10,836,000 40,861,000 51,697,000 5,591,000 1941 Oct 2014 85,000 30 years $ 120,969,000 $ 249,498,000 $ 91,655,000 $ 120,622,000 $ 341,500,000 $ 462,122,000 $ 151,126,000 2,338,000 Total $ 643,569,000 $ 1,558,627,000 $ 771,620,000 $ 614,659,000 $ 2,359,157,000 $ 2,973,816,000 $ 770,535,000 9,667,000 4,268 a) At December 31, 2018 , our properties were encumbered by non-recourse mortgage amounts as follows: $11.2 million on Olney Village Center and $46.2 million on Yale West. Mortgage amounts exclude premiums and debt loan costs. b) The purchase cost of real estate investments has been divided between land and buildings and improvements on the basis of management’s determination of the fair values. c) At December 31, 2018 , total land, buildings and improvements are carried at $2,066.6 million for federal income tax purposes. d) The useful life shown is for the main structure. Buildings and improvements are depreciated over various useful lives ranging from 3 to 50 years. e) As of December 31, 2018 , Washington REIT had under development multifamily properties, the Wellington land parcel (Trove) and Riverside Apartments land parcel. The value not yet placed into service at December 31, 2018 was $60.3 million and $22.9 million , respectively. f) As of December 31, 2018 , Washington REIT had investments in various development, redevelopment and renovation projects, including Spring Valley Village and The Ashby at McLean. The total value of these projects, which has not yet been placed in service, is $4.0 million at December 31, 2018 . The following is a reconciliation of real estate assets and accumulated depreciation for the three years ended December 31, 2018 (in thousands): Year Ended December 31, 2018 2017 2016 Real estate assets Balance, beginning of period $ 2,831,683 $ 2,725,635 $ 2,673,891 Additions: Property acquisitions (1) 220,495 124,306 240,499 Improvements (1) 103,404 84,560 66,840 Deductions: Impairment write-down (2,177 ) (81,982 ) — Write-off of disposed assets (2,132 ) (2,655 ) (1,272 ) Property sales (177,457 ) (18,181 ) (254,323 ) Balance, end of period $ 2,973,816 $ 2,831,683 $ 2,725,635 Accumulated depreciation Balance, beginning of period $ 690,417 $ 657,425 $ 692,608 Additions: Depreciation 98,141 94,558 88,347 Deductions: Impairment write-down (291 ) (48,830 ) — Write-off of disposed assets (1,859 ) (1,708 ) (486 ) Property sales (15,873 ) (11,028 ) (123,044 ) Balance, end of period $ 770,535 $ 690,417 $ 657,425 (1) Includes non-cash accruals for capital items. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies and Basis of Presentation (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The accompanying audited consolidated financial statements include the consolidated accounts of Washington REIT and our subsidiaries and entities in which Washington REIT has a controlling financial interest, including where Washington REIT had been determined to be a primary beneficiary of a variable interest entity (“VIE”). See note 3 for additional information on the properties for which there is a noncontrolling interest. All intercompany balances and transactions have been eliminated in consolidation. We have prepared the accompanying audited consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission. |
Use of Estimates in the Financial Statements | Use of Estimates in the Financial Statements The preparation of financial statements in conformity with Generally Accepted Accounting Principles ("GAAP") requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Recent Accounting Pronouncements | Recent Accounting Standards Standards Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters Accounting Standards Update (“ASU”) 2017-12, Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities. This standard better aligns a company’s financial reporting for hedging activities with the economic objectives of those activities. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2017-09, Compensation - Stock Compensation (Topic 718) - Scope of Modification Accounting. This standard provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments . This standard provides specific guidance on how cash receipts and payments should be presented and classified in the statement of cash flows for eight specific issues. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities . This standard eliminates the requirement for public entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This standard provides accounting guidance for all revenue arising from contracts with customers and affects all entities that enter into contracts to provide goods or services to their customers (unless the contracts are in the scope of other GAAP requirements, such as the leasing literature). The guidance also provides a model for the measurement and recognition of gains and losses on the sale of certain nonfinancial assets, such as property and equipment, including real estate. We adopted the standard as of January 1, 2018. We evaluated the requirements for recognition of revenue from contracts with customers and measuring gains and losses on the sale of properties in accordance with ASU 2014-09 and concluded the adoption of the new standard did not impact in any material respect the amount or timing of our revenue recognition. Standards Not Yet Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-02, Leases (Topic 842) . This standard amends existing lease accounting standards for both lessees and lessors. Lessees must classify most leases as either finance or operating leases. For lease contracts, or contracts with an embedded lease, with a duration of more than one year in which we are the lessee, the present value of future lease payments are recognized on our consolidated balance sheets as a right-of-use asset and a corresponding lease liability. Lessors Lease contracts currently classified as operating leases are accounted for similarly to existing guidance. However, lessors are required to account for each lease and non-lease component, such as common area maintenance or tenant service revenues, of a contract separately. In July 2018, the FASB issued 2018-11, Leases (Topic 842) - Targeted Improvements (“ASU 2018-11”), which provides lessors optional transition relief from implementing this aspect of ASU 2016-02 if the following criteria are met: (1) both components have the same timing and pattern of revenue and (2) if accounted for separately, both components would be classified as an operating lease. Also under ASU 2016-02, only incremental costs or initial direct costs of executing a lease contract qualify for capitalization, while prior accounting standards allowed for the capitalization of indirect leasing costs. We adopted the new standard as of January 1, 2019. Lessees We have evaluated lease contracts where we are the lessee to determine the impact they have on Washington REIT’s consolidated financial statements, and have determined that adoption of the new standard as of January 1, 2019 did not have a material impact on our consolidated financial statements. Lessors The leases for which we are lessor meet both criteria for relief under ASU 2018-11 and we elected not to bifurcate lease contracts into lease and non-lease components. Accordingly, both lease and non-lease components will be presented in “Real estate rental revenue” in our consolidated financial statements subsequent to adoption. Transition Under ASU 2018-11, the FASB offered optional transition relief, if elected as a package, and applied consistently by an entity to all of its leases. Accordingly, upon adoption we elected, as a package, the practical expedients for all leases as follows: (1) we will not reassess whether any expired or existing contracts are or contain leases, (2) we will not reassess the lease classification for any expired or existing leases and (3) we will not reassess initial direct costs for any existing leases. Under ASU 2016-02, entities are required to implement the standard as of the beginning of the earliest comparative period presented or January 1, 2017 for calendar-year public business entities. Under ASU 2018-11, the FASB offered optional transition relief that permits entities to continue to apply ASC 840, including its disclosure requirements, in the comparative periods presented in the year of adoption. Accordingly, we made a policy election to apply ASC 840 to comparative periods beginning on January 1, 2019. ASU 2016-13, Measurement of Credit Losses on Financial Instruments . This standard requires financial assets measured at an amortized cost basis, including trade receivables, to be presented at the net amount expected to be collected. The new standard is effective for public entities for fiscal years beginning after December 15, 2019 and for interim periods therein, with adoption one year earlier permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software . This standard requires a customer in a cloud computing arrangement that is a service contract to follow the internal-use software guidance to determine which implementation costs to capitalize as assets. The standard is effective for public entities for fiscal years beginning after December 31, 2019 and for interim periods therein, with early adoption permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. |
Revenue Recognition | Revenue Recognition We lease multifamily properties under operating leases with terms of generally one year or less. We lease commercial properties (our office and retail segments) under operating leases with an average term of seven years. Substantially all commercial leases contain fixed escalations or, in some instances, changes based on the Consumer Price Index, which occur at specified times during the term of the lease. We recognize rental income and rental abatements from our multifamily and commercial leases when earned on a straight-line basis over the lease term. Recognition of rental income commences when control of the leased space has been transferred to the tenant. We recognize gains on sales of real estate when we have executed a contract for sale of the asset, transferred controlling financial interest in the asset to the buyer and determined that it is probable that we will collect substantially all of the consideration for the asset. Our real estate sale transactions typically meet these criteria at closing. We recognize cost reimbursement income from pass-through expenses on an accrual basis over the periods in which the expenses were incurred. Pass-through expenses are comprised of real estate taxes, operating expenses and common area maintenance costs which are reimbursed by tenants in accordance with specific allowable costs per tenant lease agreements. Parking revenues are derived from leases, monthly parking agreements and transient parking. We recognize parking revenues from leases on a straight-line basis over the lease term and other parking revenues as earned. |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable primarily represent amounts accrued and unpaid from tenants in accordance with the terms of the respective leases, subject to our revenue recognition policy. We review receivables monthly and establish reserves when, in the opinion of management, collection of the receivable is doubtful. We establish reserves for tenants whose rent payment histories or financial conditions cast doubt upon the tenants’ abilities to perform under their lease obligations. When we determine the collection of a receivable to be doubtful in the same quarter that we established the receivable, we recognize the allowance for that receivable as an offset to real estate revenues. When we determine a receivable that was initially established in a prior quarter to be doubtful, we recognize the allowance as an operating expense in Real estate expenses in the consolidated statements of income. In addition to rents due currently, accounts receivable include amounts representing minimal rental income accrued on a straight-line basis to be paid by tenants over the remaining term of their respective leases. |
Debt Issuance Costs | Debt Issuance Costs We amortize external debt issuance costs using the effective interest rate method or the straight-line method which approximates the effective interest rate method, over the estimated life of the related debt. We record debt issuance costs related to notes and mortgage notes, net of amortization, on our consolidated balance sheets as an offset to their related debt. We record debt issuance costs related to revolving lines of credit on our consolidated balance sheets with Prepaid expenses and other assets, regardless of whether a balance on the line of credit is outstanding. We record the amortization of all debt issuance costs as interest expense. |
Deferred Leasing Costs | Deferred Leasing Costs We capitalize and amortize costs associated with the successful negotiation of leases, both external commissions and internal direct costs, on a straight-line basis over the terms of the respective leases. We record the amortization of deferred leasing costs in Depreciation and amortization on the consolidated statements of income. If an applicable lease terminates prior to the expiration of its initial lease term, we write off the carrying amount of the costs to amortization expense. We capitalize and amortize against revenue leasing incentives associated with the successful negotiation of leases on a straight-line basis over the terms of the respective leases. We record the amortization of deferred leasing incentives as a reduction of revenue. If an applicable lease terminates prior to the expiration of its initial lease term, we write off the carrying amount of the costs as a reduction of revenue. |
Real Estate and Depreciation | Real Estate and Depreciation We depreciate buildings on a straight-line basis over estimated useful lives ranging from 28 to 50 years. We capitalize all capital improvements associated with replacements, improvements or major repairs to real property that extend its useful life and depreciate them using the straight-line method over their estimated useful lives ranging from 3 to 30 years. We also capitalize costs incurred in connection with our development projects, including capitalizing interest incurred on borrowing obligations and other internal costs during periods in which qualifying expenditures have been made and activities necessary to get the development projects ready for their intended use are in progress. Capitalization of these costs begins when the activities and related expenditures commence and ceases when the project is substantially complete and ready for its intended use, at which time the project is placed into service and depreciation commences. In addition, we capitalize tenant leasehold improvements when certain criteria are met, including when we supervise construction and will own the improvements. We depreciate all tenant improvements over the shorter of the useful life of the improvements or the term of the related tenant lease. Real estate depreciation expense was $91.4 million , $90.1 million and $84.1 million during the years ended December 31, 2018 , 2017 and 2016 , respectively. We charge maintenance and repair costs that do not extend an asset’s useful life to expense as incurred. Interest expense and interest capitalized to real estate assets related to development and major renovation activities for the three years ended December 31, 2018 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Total interest incurred $ 53,235 $ 48,498 $ 53,794 Capitalized interest (2,091 ) (964 ) (668 ) Interest expense, net of capitalized interest $ 51,144 $ 47,534 $ 53,126 We recognize impairment losses on long-lived assets used in operations, development assets or land held for future development, if indicators of impairment are present and the net undiscounted cash flows estimated to be generated by those assets are less than the assets' carrying amount and estimated undiscounted cash flows associated with future development expenditures. If such carrying amount is in excess of the estimated undiscounted cash flows from the operation and disposal of the property, we would recognize an impairment loss equivalent to an amount required to adjust the carrying amount to its estimated fair value, calculated in accordance with current GAAP fair value provisions. Assets held for sale are recorded at the lower of cost or fair value less costs to sell. Acquisitions The properties we acquire typically are not businesses as defined by ASU 2017-01, Business Combinations (Topic 805) - Clarifying the Definition of a Business . Per this definition, a set of transferred assets and activities is not a business when substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. We therefore account for such acquisitions as asset acquisitions. Acquisition costs are capitalized and identifiable assets (including physical assets and in-place leases), liabilities assumed and any noncontrolling interests are measured by allocating the cost of the acquisition on a relative fair value basis. Acquisitions executed prior to our adoption of ASU 2017-01 as of January 1, 2017 were accounted for as business combinations. We determine the fair values of acquired buildings on an “as-if-vacant” basis considering a variety of factors, including the replacement cost of the property, estimated rental and absorption rates, estimated future cash flows and valuation assumptions consistent with current market conditions. We determine the fair value of land acquired based on comparisons to similar properties that have been recently marketed for sale or sold. The fair value of in-place leases consists of the following components – (a) the estimated cost to us to replace the leases, including foregone rents during the period of finding a new tenant and foregone recovery of tenant pass-throughs (referred to as “absorption cost”); (b) the estimated cost of tenant improvements, and other direct costs associated with obtaining a new tenant (referred to as “tenant origination cost”); (c) estimated leasing commissions associated with obtaining a new tenant (referred to as “leasing commissions”); (d) the above/at/below market cash flow of the leases, determined by comparing the projected cash flows of the leases in place, including consideration of renewal options, to projected cash flows of comparable market-rate leases (referred to as “net lease intangible”); and (e) the value, if any, of customer relationships, determined based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with the tenant (referred to as “customer relationship value”). We have attributed no value to customer relationships as of December 31, 2018 and 2017 . We discount the amounts used to calculate net lease intangibles using an interest rate which reflects the risks associated with the leases acquired. We classify tenant origination costs as income producing property on our consolidated balance sheets and amortize the tenant origination costs as depreciation expense on a straight-line basis over the remaining life of the underlying leases. We classify leasing commissions and absorption costs as other assets and amortize leasing commissions and absorption costs as amortization expense on a straight-line basis over the remaining life of the underlying leases. We classify net lease intangible assets as other assets and amortize them on a straight-line basis as a decrease to real estate rental revenue over the remaining term of the underlying leases. We classify net lease intangible liabilities as other liabilities and amortize them on a straight-line basis as an increase to real estate rental revenue over the remaining term of the underlying leases. If any of the fair value of below market lease intangibles includes fair value associated with a renewal option, such amounts are not amortized until the renewal option is executed, else the related value is expensed at that time. Should a tenant terminate its lease prior to the expiration date, we accelerate the amortization of the unamortized portion of the tenant origination cost, leasing commissions, absorption costs and net lease intangible associated with that lease, over its new, shorter term. |
Internal Use Software, Policy [Policy Text Block] | Software Developed for Internal Use The costs of software developed for internal use that qualify for capitalization are included with Prepaid expenses and other assets on our consolidated balance sheets. These capitalized costs include external direct costs utilized in developing or obtaining the applications and expenses for employees who are directly associated with the development of the applications. Capitalization of such costs begins when the preliminary project stage is complete and continues until the project is substantially complete and is ready for its intended purpose. Completed projects are amortized on a straight-line basis over their estimated useful lives. |
Discontinued Operations | Discontinued Operations We classify properties as held for sale when they meet the necessary criteria, which include: (a) senior management commits to and actively embarks upon a plan to sell the assets, (b) the sale is expected to be completed within one year under terms usual and customary for such sales and (c) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. We generally consider that a property has met these criteria when a sale of the property has been approved by the board of trustees, or a committee with authorization from the board of trustees, there are no known significant contingencies related to the sale and management believes it is probable that the sale will be completed within one year. Depreciation on these properties is discontinued at the time they are classified as held for sale, but operating revenues, operating expenses and interest expense continue to be recognized until the date of sale. Revenues and expenses of properties that are either sold or classified as held for sale are presented as discontinued operations for all periods presented in the consolidated statements of income if the dispositions represent a strategic shift that has (or will have) a major effect on our operations and financial results. Interest on debt that can be identified as specifically attributed to these properties is included in discontinued operations. If the dispositions do not represent a strategic shift that has (or will have) a major effect on our operations and financial results, then the revenues and expenses of the properties that are classified as sold or held for sale are presented as continuing operations in the consolidated statements of income for all periods presented. |
Segments | Segments We evaluate performance based upon net operating income from the combined properties in each segment. Our reportable operating segments are consolidations of similar properties. GAAP requires that segment disclosures present the measure(s) used by the chief operating decision maker for purposes of assessing segments’ performance. Net operating income is a key measurement of our segment profit and loss. Net operating income is defined as segment real estate rental revenue less segment real estate expenses. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash and commercial paper with original maturities of 90 days or less. We maintain cash deposits with financial institutions that at times exceed applicable insurance limits. We reduce this risk by maintaining such deposits with high quality financial institutions that management believes are credit-worthy. |
Restricted Cash | Restricted Cash Restricted cash includes funds escrowed for tenant security deposits, real estate tax, insurance and mortgage escrows and escrow deposits required by lenders on certain of our properties to be used for future building renovations or tenant improvements. |
Earnings Per Common Share | Earnings Per Common Share We determine “Basic earnings per share” using the two-class method as our unvested restricted share awards and units have non-forfeitable rights to dividends, and are therefore considered participating securities. We compute basic earnings per share by dividing net income attributable to the controlling interest less the allocation of undistributed earnings to unvested restricted share awards and units by the weighted-average number of common shares outstanding for the period. We also determine “Diluted earnings per share” under the two-class method with respect to the unvested restricted share awards. We further evaluate any other potentially dilutive securities at the end of the period and adjust the basic earnings per share calculation for the impact of those securities that are dilutive. Our dilutive earnings per share calculation includes the dilutive impact of operating partnership units under the if-converted method and our share based awards with performance conditions prior to the grant date and all market condition awards under the contingently issuable method. |
Stock Based Compensation | Stock Based Compensation We currently maintain equity based compensation plans for trustees, officers and employees. We recognize compensation expense for service-based share awards ratably over the period from the service inception date through the vesting period based on the fair market value of the shares on the date of grant. We account for forfeitures as they occur. If an award's service inception date precedes the grant date, we initially measure compensation expense for awards with performance conditions at fair value at the service inception date based on probability of payout, and we remeasure compensation expense at subsequent reporting dates until all of the award’s key terms and conditions are known and the grant date is established. We amortize awards with performance conditions using the graded expense method. We measure compensation expense for awards with market conditions based on the grant date fair value, as determined using a Monte Carlo simulation, and we amortize the expense ratably over the requisite service period, regardless of whether the market conditions are achieved and the awards ultimately vest. Compensation expense for the trustee grants, which fully vest immediately, is fully recognized upon issuance based upon the fair market value of the shares on the date of grant. |
Accounting for Uncertainty in Income Taxes | Accounting for Uncertainty in Income Taxes We can recognize a tax benefit only if it is “more likely than not” that a particular tax position will be sustained upon examination or audit. To the extent that the “more likely than not” standard has been satisfied, the benefit associated with a tax position is measured as the largest amount that is greater than 50% likely of being recognized upon settlement. As of December 31, 2018 and 2017 , we did not have any unrecognized tax benefits. We do not believe that there will be any material changes to our uncertain tax positions over the next twelve months. We are subject to federal income tax as well as income tax of the states of Maryland and Virginia, and the District of Columbia. However, as a REIT, we generally are not subject to income tax on our taxable income to the extent it is distributed as dividends to our shareholders. Tax returns filed for 2014 through 2018 tax years are subject to examination by taxing authorities. We classify interest and penalties related to uncertain tax positions, if any, in our financial statements as a component of general and administrative expense. |
Derivatives | Derivatives We borrow funds at a combination of fixed and variable rates. Borrowings under our revolving credit facility and term loans bear interest at variable rates. Our interest rate risk management objectives are to minimize interest rate fluctuation on long-term indebtedness and limit the impact of interest rate changes on earnings and cash flows. To achieve these objectives, from time to time, we may enter into interest rate hedge contracts such as collars, swaps, caps and treasury lock agreements in order to mitigate our interest rate risk with respect to various debt instruments. We generally do not hold or issue these derivative contracts for trading or speculative purposes. The interest rate swaps we enter into are recorded at fair value on a recurring basis. We assess effectiveness of our cash flow hedges both at inception and on an ongoing basis. The effective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recorded in accumulated other comprehensive income (loss). Our cash flow hedges become ineffective if critical terms of the hedging instrument and the debt instrument such as notional amounts, settlement dates, reset dates, calculation period and LIBOR do not perfectly match. In addition, we evaluate the default risk of the counterparty by monitoring the creditworthiness of the counterparty. When ineffectiveness of a cash flow hedge exists, the ineffective portion of changes in fair value of the interest rate swaps associated with our cash flow hedges is recognized in earnings in the period affected. |
Nature of Business (Tables)
Nature of Business (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Dispositions | During the three years ended December 31, 2018 , we sold our interests in the following properties (in thousands): Disposition Date Property Type Gain on Sale January 19, 2018 Braddock Metro Center Office $ — June 28, 2018 2445 M Street Office $ 2,495 Total 2018 $ 2,495 October 23, 2017 Walker House Apartments Multifamily $ 23,838 Total 2017 $ 23,838 May 26, 2016 Dulles Station II (1) Office $ 527 June 27, 2016 Maryland Office Portfolio Transaction I (2) Office 23,585 September 22, 2016 Maryland Office Portfolio Transaction II (3) Office 77,592 Total 2016 $ 101,704 (1) Land held for future development and an interest in a parking garage. (2) Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. (3) Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. |
Taxable Percentage of Dividends Paid | The following is a breakdown of the taxable percentage of our dividends for the years ended December 31, 2018, 2017 and 2016 (unaudited): 2018 2017 2016 Ordinary income/Section 199A dividends 29 % 76 % 66 % Return of capital 71 % — % 33 % Qualified dividends — % 2 % — % Unrecaptured Section 1250 gain — % 8 % 1 % Capital gain — % 14 % — % |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies and Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Recent Accounting Standards | Recent Accounting Standards Standards Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters Accounting Standards Update (“ASU”) 2017-12, Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities. This standard better aligns a company’s financial reporting for hedging activities with the economic objectives of those activities. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2017-09, Compensation - Stock Compensation (Topic 718) - Scope of Modification Accounting. This standard provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments . This standard provides specific guidance on how cash receipts and payments should be presented and classified in the statement of cash flows for eight specific issues. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities . This standard eliminates the requirement for public entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. We adopted the standard as of January 1, 2018. The adoption of the new standard did not have a material impact on our consolidated financial statements. ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This standard provides accounting guidance for all revenue arising from contracts with customers and affects all entities that enter into contracts to provide goods or services to their customers (unless the contracts are in the scope of other GAAP requirements, such as the leasing literature). The guidance also provides a model for the measurement and recognition of gains and losses on the sale of certain nonfinancial assets, such as property and equipment, including real estate. We adopted the standard as of January 1, 2018. We evaluated the requirements for recognition of revenue from contracts with customers and measuring gains and losses on the sale of properties in accordance with ASU 2014-09 and concluded the adoption of the new standard did not impact in any material respect the amount or timing of our revenue recognition. Standards Not Yet Adopted Standard/Description Effective Date and Adoption Considerations Effect on Financial Statements or Other significant Matters ASU 2016-02, Leases (Topic 842) . This standard amends existing lease accounting standards for both lessees and lessors. Lessees must classify most leases as either finance or operating leases. For lease contracts, or contracts with an embedded lease, with a duration of more than one year in which we are the lessee, the present value of future lease payments are recognized on our consolidated balance sheets as a right-of-use asset and a corresponding lease liability. Lessors Lease contracts currently classified as operating leases are accounted for similarly to existing guidance. However, lessors are required to account for each lease and non-lease component, such as common area maintenance or tenant service revenues, of a contract separately. In July 2018, the FASB issued 2018-11, Leases (Topic 842) - Targeted Improvements (“ASU 2018-11”), which provides lessors optional transition relief from implementing this aspect of ASU 2016-02 if the following criteria are met: (1) both components have the same timing and pattern of revenue and (2) if accounted for separately, both components would be classified as an operating lease. Also under ASU 2016-02, only incremental costs or initial direct costs of executing a lease contract qualify for capitalization, while prior accounting standards allowed for the capitalization of indirect leasing costs. We adopted the new standard as of January 1, 2019. Lessees We have evaluated lease contracts where we are the lessee to determine the impact they have on Washington REIT’s consolidated financial statements, and have determined that adoption of the new standard as of January 1, 2019 did not have a material impact on our consolidated financial statements. Lessors The leases for which we are lessor meet both criteria for relief under ASU 2018-11 and we elected not to bifurcate lease contracts into lease and non-lease components. Accordingly, both lease and non-lease components will be presented in “Real estate rental revenue” in our consolidated financial statements subsequent to adoption. Transition Under ASU 2018-11, the FASB offered optional transition relief, if elected as a package, and applied consistently by an entity to all of its leases. Accordingly, upon adoption we elected, as a package, the practical expedients for all leases as follows: (1) we will not reassess whether any expired or existing contracts are or contain leases, (2) we will not reassess the lease classification for any expired or existing leases and (3) we will not reassess initial direct costs for any existing leases. Under ASU 2016-02, entities are required to implement the standard as of the beginning of the earliest comparative period presented or January 1, 2017 for calendar-year public business entities. Under ASU 2018-11, the FASB offered optional transition relief that permits entities to continue to apply ASC 840, including its disclosure requirements, in the comparative periods presented in the year of adoption. Accordingly, we made a policy election to apply ASC 840 to comparative periods beginning on January 1, 2019. ASU 2016-13, Measurement of Credit Losses on Financial Instruments . This standard requires financial assets measured at an amortized cost basis, including trade receivables, to be presented at the net amount expected to be collected. The new standard is effective for public entities for fiscal years beginning after December 15, 2019 and for interim periods therein, with adoption one year earlier permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software . This standard requires a customer in a cloud computing arrangement that is a service contract to follow the internal-use software guidance to determine which implementation costs to capitalize as assets. The standard is effective for public entities for fiscal years beginning after December 31, 2019 and for interim periods therein, with early adoption permitted. We are currently evaluating the impact the new standard may have on our consolidated financial statements. |
Schedule of Interest and Interest Capitalized | Interest expense and interest capitalized to real estate assets related to development and major renovation activities for the three years ended December 31, 2018 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Total interest incurred $ 53,235 $ 48,498 $ 53,794 Capitalized interest (2,091 ) (964 ) (668 ) Interest expense, net of capitalized interest $ 51,144 $ 47,534 $ 53,126 |
Real Estate (Tables)
Real Estate (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Real Estate [Abstract] | |
Schedule of Real Estate Properties | As of December 31, 2018 and 2017 , our real estate investment portfolio classified as held and used, at cost, consists of properties as follows (in thousands): December 31, 2018 2017 Office $ 1,507,986 $ 1,355,033 Multifamily 919,285 895,811 Retail 459,314 451,158 $ 2,886,585 $ 2,702,002 |
Schedule of Development Costs | The cost of our real estate portfolio under development or held for future development as of December 31, 2018 and 2017 is as follows (in thousands): December 31, 2018 2017 Office $ 478 $ 680 Multifamily 83,945 49,616 Retail 2,808 4,126 $ 87,231 $ 54,422 |
Schedule of Real Estate Properties Acquired | Properties and land for development acquired during the three years ended December 31, 2018 were as follows: Acquisition Date Property Type # of units (unaudited) Rentable Square Feet (unaudited) Contract Purchase Price (in thousands) January 18, 2018 Arlington Tower Office N/A 391,000 $ 250,000 April 4, 2017 Watergate 600 Office N/A 278,000 $ 135,000 May 20, 2016 Riverside Apartments Multifamily 1,222 N/A $ 244,750 |
Schedule of Revenue and Earnings from Acquisition | The revenue and earnings of our acquisitions during their year of acquisition for the three years ended December 31, 2018 are as follows (in thousands): Year Ended December 31, 2018 2017 2016 Real estate rental revenue $ 22,389 $ 14,518 $ 13,112 Net income (loss) 3,623 2,226 (1,688 ) |
Schedule of Purchase Price of Acquisitions | We recorded the total cost of the above acquisitions as follows (in thousands): 2018 2017 2016 Land $ 63,970 $ 45,981 $ 38,924 Land held for development — — 15,968 Buildings 142,900 66,241 184,854 Tenant origination costs 13,625 12,084 — Leasing commissions/absorption costs 27,465 23,161 4,992 Net lease intangible assets 3,142 498 22 Net lease intangible liabilities (545 ) (9,585 ) (10 ) Deferred tax liability — (560 ) — Total $ 250,557 $ 137,820 $ 244,750 |
Components of Fair Value of In-Place Leases | Balances, net of accumulated depreciation or amortization, as appropriate, of the components of the fair value of in-place leases at December 31, 2018 and 2017 were as follows (in thousands): December 31, 2018 2017 Gross Carrying Value Accumulated Amortization Net Gross Carrying Value Accumulated Amortization Net Tenant origination costs $ 62,759 $ 41,109 $ 21,650 $ 66,378 $ 50,157 $ 16,221 Leasing commissions/absorption costs 126,707 87,660 39,047 123,992 95,115 28,877 Net lease intangible assets 18,062 13,617 4,445 19,362 16,089 3,273 Net lease intangible liabilities 35,530 24,073 11,457 43,230 28,174 15,056 Below-market ground lease intangible asset 12,080 2,093 9,987 12,080 1,903 10,177 Amortization of these combined components during the three years ended December 31, 2018 , 2017 and 2016 was as follows (in thousands): Year Ended December 31, 2018 2017 2016 Depreciation and amortization expense $ 22,723 $ 14,911 $ 17,655 Real estate rental revenue (increase) decrease, net (1,314 ) (922 ) 410 $ 21,409 $ 13,989 $ 18,065 |
Components of Fair Value of In-Place Leases - Future Amortization | Amortization of these combined components over the next five years is projected to be as follows (in thousands): Depreciation and amortization expense Real estate rental revenue, net increase Total 2019 $ 13,045 $ (1,066 ) $ 11,979 2020 9,513 (399 ) 9,114 2021 8,716 (567 ) 8,149 2022 8,214 (756 ) 7,458 2023 6,278 (1,030 ) 5,248 Thereafter 24,918 (3,194 ) 21,724 |
Schedule of Properties Sold | We sold our interests in the following properties during the three years ended December 31, 2018 : Disposition Date Property Segment # of units (unaudited) Rentable Contract Gain on Sale January 19, 2018 Braddock Metro Center Office N/A 356,000 $ 93,000 $ — June 28, 2018 2445 M Street Office N/A 292,000 101,600 2,495 Total 2018 648,000 $ 194,600 $ 2,495 October 23, 2017 Walker House Apartments Multifamily 212 N/A $ 32,200 $ 23,838 Total 2017 $ 32,200 $ 23,838 May 26, 2016 Dulles Station, Phase II (1) Office N/A N/A $ 12,100 $ 527 June 27, 2016 Maryland Office Portfolio Transaction I (2) Office N/A 692,000 111,500 23,585 September 22, 2016 Maryland Office Portfolio Transaction II (3) Office N/A 491,000 128,500 77,592 Total 2016 1,183,000 $ 252,100 $ 101,704 (1) Land held for future development and an interest in a parking garage. (2) Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. (3) Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. |
Schedule of Revenue and Earnings from Disposed Property | Real estate rental revenue and net income for the Maryland Office Portfolio for the three years ended December 31, 2018 are as follows: Year Ending December 31, 2018 2017 2016 Real estate rental revenue $ — $ — $ 20,266 Net income — — 9,376 |
Mortgage Notes Payable (Tables)
Mortgage Notes Payable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Notes Payable, Noncurrent [Abstract] | |
Schedule of Debt | As of December 31, 2018 and 2017 , we had outstanding mortgage notes payable, each collateralized by one or more buildings and related land from our portfolio, as follows (in thousands): December 31, Properties Assumption/Issuance Date (1) Effective Interest Rate (2) 2018 2017 Payoff Date/Maturity Date Yale West (3) 2/21/2014 3.75 % $ 46,155 $ 46,629 1/31/2022 Olney Village Center 8/30/2011 4.94 % 11,215 13,091 10/1/2023 Kenmore Apartments (4) 2/2/2009 5.37 % — 32,194 8/31/2018 57,370 91,914 Premiums and discounts, net 2,520 3,385 Debt issuance costs, net (98 ) (158 ) $ 59,792 $ 95,141 (1) Each of these mortgages was assumed with the acquisition of the collateralized properties, except for the mortgage note secured by Kenmore Apartments, which was originally executed by Washington REIT. We record mortgages assumed in an acquisition at fair value. (2) Yield on the assumption/issuance date, including the effects of any premiums, discounts or fair value adjustments on the notes. (3) The maturity date of the mortgage note is January 1, 2052, but can be prepaid, without penalty, beginning on January 31, 2022. (4) This mortgage note was prepaid, without penalty, in August 2018. |
Schedule of Maturities of Long-term Debt | Scheduled principal payments on the mortgage notes subsequent to December 31, 2018 are as follows (in thousands): 2019 $ 2,500 2020 2,659 2021 2,829 2022 46,984 2023 2,398 Thereafter — $ 57,370 The required principal payments on the unsecured notes and term loans as of December 31, 2018 are as follows (in thousands): 2019 $ — 2020 250,000 2021 150,000 2022 300,000 2023 250,000 Thereafter 50,000 $ 1,000,000 |
Unsecured Lines Of Credit Pay_2
Unsecured Lines Of Credit Payable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Unsecured Debt [Abstract] | |
Schedule of Revolving Credit Facilities Covenant Compliance | The amount of the Revolving Credit Facility unused and available at December 31, 2018 was as follows (in thousands): Committed capacity $ 700,000 Borrowings outstanding (188,000 ) Unused and available $ 512,000 We executed borrowings and repayments on the Revolving Credit Facility during 2018 as follows (in thousands): Balance at December 31, 2017 $ 166,000 Borrowings 410,000 Repayments (388,000 ) Balance at December 31, 2018 $ 188,000 Information related to revolving credit facilities for the three years ended December 31, 2018 as follows (in thousands, except percentage amounts): Year Ended December 31, 2018 2017 2016 Total revolving credit facilities at December 31 $ 700,000 $ 600,000 $ 600,000 Borrowings outstanding at December 31 188,000 166,000 120,000 Weighted average daily borrowings during the year 230,934 179,633 214,962 Maximum daily borrowings during the year 429,000 252,000 358,000 Weighted average interest rate during the year 2.96 % 2.15 % 1.52 % Weighted average interest rate on borrowings outstanding at December 31 3.52 % 2.54 % 1.64 % For the three years ended December 31, 2018 , we recognized interest expense (excluding facility fees) and facility fees as follows (in thousands): Year Ended December 31, 2018 2017 2016 Interest expense (excluding facility fees) $ 6,843 $ 3,857 $ 3,272 Facility fees 1,371 1,217 1,220 |
Notes Payable (Tables)
Notes Payable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Notes Payable [Abstract] | |
Schedule of Long-term Debt Instruments | Our unsecured notes and term loans outstanding as of December 31, 2018 and 2017 are as follows (in thousands): Effective December 31, Payoff Date/ Coupon/Stated Rate Rate (1) 2018 2017 Maturity Date (2) 10 Year Unsecured Notes 4.95 % 5.05 % 250,000 $ 250,000 10/1/2020 2015 Term Loan 1 Month LIBOR + 110 basis points 2.72 % 150,000 150,000 3/15/2021 10 Year Unsecured Notes 3.95 % 4.02 % 300,000 300,000 10/15/2022 2016 Term Loan (3) 1 Month LIBOR + 165 basis points 2.86 % — 150,000 3/29/2018 2018 Term Loan (3) 1 Month LIBOR + 110 basis points 2.87 % 250,000 — 7/21/2023 30 Year Unsecured Notes 7.25 % 7.36 % 50,000 50,000 2/25/2028 Total principal 1,000,000 900,000 Premiums and discounts, net (1,189 ) (1,580 ) Deferred issuance costs, net (3,414 ) (4,062 ) Total $ 995,397 894,358 (1) For fixed rate notes, the effective rate represents the yield on issuance date, including the effects of discounts on the notes. For variable rate notes, the effective rate represents the rate as fixed by interest rate derivatives (see note 7 ). (2) No principal amounts are due prior to maturity. |
Schedule of Maturities of Long-term Debt | Scheduled principal payments on the mortgage notes subsequent to December 31, 2018 are as follows (in thousands): 2019 $ 2,500 2020 2,659 2021 2,829 2022 46,984 2023 2,398 Thereafter — $ 57,370 The required principal payments on the unsecured notes and term loans as of December 31, 2018 are as follows (in thousands): 2019 $ — 2020 250,000 2021 150,000 2022 300,000 2023 250,000 Thereafter 50,000 $ 1,000,000 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The fair values of the interest rate swaps as of December 31, 2018 and 2017 , are as follows (in thousands): Aggregate Notional Amount Effective Date Fair Value Derivative Assets (Liabilities) December 31, Derivative Instrument Maturity Date 2018 2017 Interest rate swaps $ 150,000 October 15, 2015 March 15, 2021 $ 2,720 $ 1,987 Interest rate swaps 150,000 March 31, 2017 July 21, 2023 7,918 7,432 Interest rate swaps 100,000 June 29, 2018 July 21, 2023 $ (799 ) $ — $ 400,000 $ 9,839 $ 9,419 We record interest rate swaps on our consolidated balance sheets with prepaid expenses and other assets when in a net asset position, and with accounts payable and other liabilities when in a net liability position. The interest rate swaps have been effective since inception. The gains or losses on the effective swaps are recognized in other comprehensive income, as follows (in thousands): Year Ending December 31, 2018 2017 2016 Unrealized gain on interest rate hedges $ 420 $ 1,808 $ 8,161 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Financial Assets And Liabilities Measured At Fair Value | The fair values of these assets and liabilities at December 31, 2018 and 2017 were as follows (in thousands): December 31, 2018 December 31, 2017 Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: SERP $ 1,364 $ — $ 1,364 $ — $ 1,858 $ — $ 1,858 $ — Interest rate swaps 10,638 — 10,638 — 9,419 — 9,419 — Liabilities: Interest rate swaps (799 ) — (799 ) — — — — — |
Financial Assets And Liabilities Not Measured At Fair Value | As of December 31, 2018 and 2017 , the carrying values and estimated fair values of our financial instruments were as follows (in thousands): December 31, 2018 2017 Carrying Value Fair Value Carrying Value Fair Value Cash and cash equivalents $ 6,016 $ 6,016 $ 9,847 $ 9,847 Restricted cash 1,624 1,624 2,776 2,776 Mortgage notes payable 59,792 60,398 95,141 97,181 Line of credit payable 188,000 188,000 166,000 166,000 Notes payable 995,397 1,015,210 894,358 931,377 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Compensation [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The assumptions used to value the officer LTIP awards were as follows: 2018 Awards 2017 Awards 2016 Awards Expected volatility (1) 17.9 % 18.5% - 18.7% 18.2 % Risk-free interest rate (2) 2.4 % 1.5 % 1.3 % Expected term (3) 3 and 4 years 3 and 4 years 3 and 4 years Share price at grant date $26.06 $30.84 - $32.69 $27.06 (1) Expected volatility based upon historical volatility of our daily closing share price. (2) Risk-free interest rate based on U.S. treasury constant maturity bonds on the measurement date with a maturity equal to the market condition performance period. (3) Expected term based on the market condition performance period. |
Schedule of Restricted Share Awards | The activity for the three years ended December 31, 2018 related to our restricted share awards, excluding those subject to market conditions, was as follows: Shares Wtd Avg Grant Fair Value Unvested at December 31, 2015 106,144 $ 27.71 Granted 251,694 26.01 Vested during year (211,771 ) 29.21 Forfeited (38,368 ) 26.14 Unvested at December 31, 2016 107,699 26.47 Granted 330,639 32.46 Vested during year (194,569 ) 30.50 Forfeited (7,075 ) 27.43 Unvested at December 31, 2017 236,694 27.96 Granted 304,087 25.98 Vested during year (224,150 ) 27.40 Forfeited (5,621 ) 29.43 Unvested at December 31, 2018 311,010 29.07 |
Performance Share Units with Market Conditions | Stock based awards with market conditions under the LTIP were granted in 2018 , 2017 and 2016 with fair market values, as determined using a Monte Carlo simulation, as follows (in thousands): Grant Date Fair Value 2018 Awards 2017 Awards 2016 Awards Restricted Unrestricted Restricted Unrestricted Restricted Unrestricted Relative TSR $ 203 $ 608 $ 222 $ 666 $ 182 $ 546 Absolute/Index TSR (1) 230 690 100 299 82 246 |
Schedule Of Unamortized Value Of Awards With Market Conditions | The unamortized value of these awards with market conditions as of December 31, 2018 was as follows (in thousands): 2018 Awards 2017 Awards 2016 Awards Restricted Unrestricted Restricted Unrestricted Restricted Unrestricted Relative TSR $ 158 $ 427 $ 111 $ 222 $ 39 $ — Absolute/Index TSR (1) 179 484 50 100 18 — |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The computation of basic and diluted earnings per share for the three years ended December 31, 2018 was as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Numerator: Net income $ 25,630 $ 19,612 $ 119,288 Net loss attributable to noncontrolling interests — 56 51 Allocation of undistributed earnings to unvested restricted share awards and units (526 ) (362 ) (310 ) Adjusted net income attributable to the controlling interests $ 25,104 $ 19,306 $ 119,029 Denominator: Weighted average shares outstanding – basic 78,960 76,820 72,163 Effect of dilutive securities: Operating partnership units 12 9 — Employee restricted share awards 70 106 176 Weighted average shares outstanding – diluted 79,042 76,935 72,339 Basic net income attributable to the controlling interests per common share $ 0.32 $ 0.25 $ 1.65 Diluted net income attributable to the controlling interests per common share $ 0.32 $ 0.25 $ 1.65 Dividends declared per common share $ 1.20 $ 1.20 $ 1.20 |
Rentals Under Operating Leases
Rentals Under Operating Leases (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Leases, Operating [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | As of December 31, 2018 , non-cancelable commercial operating leases provide for future minimum rental income as follows (in thousands): 2019 $ 191,252 2020 175,925 2021 153,395 2022 133,359 2023 108,564 Thereafter 304,876 $ 1,067,371 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
Real Estate Rental Revenue, Percent | Real estate rental revenue as a percentage of the total for each of the reportable operating segments for the three years ended December 31, 2018 was as follows: Year Ended December 31, 2018 2017 2016 Office 53 % 52 % 53 % Multifamily 28 % 29 % 27 % Retail 19 % 19 % 20 % |
Percentage of Real Estate Assets by Segment | The percentage of income producing real estate assets classified as held and used, at cost, for each of the reportable operating segments as of December 31, 2018 and 2017 was as follows: December 31, 2018 2017 Office 52 % 50 % Multifamily 32 % 33 % Retail 16 % 17 % |
Reconciliation of Net Operating Income of Reportable Segments | The following tables present revenues, net operating income, capital expenditures and total assets for the three years ended December 31, 2018 from these segments, and reconciles net operating income of reportable segments to net income attributable to the controlling interests as reported (in thousands): Year Ended December 31, 2018 Office Retail Multifamily Corporate Consolidated Real estate rental revenue $ 178,474 $ 63,222 $ 95,194 $ — $ 336,890 Real estate expenses 63,321 15,674 37,235 — 116,230 Net operating income $ 115,153 $ 47,548 $ 57,959 $ — $ 220,660 Depreciation and amortization (121,228 ) General and administrative (22,089 ) Interest expense (51,144 ) Loss on extinguishment of debt (1,178 ) Real estate impairment (1,886 ) Gain on sale of real estate 2,495 Net income 25,630 Less: Net loss attributable to noncontrolling interests — Net income attributable to the controlling interests $ 25,630 Capital expenditures $ 42,019 $ 3,934 $ 25,117 $ 963 $ 72,033 Total assets $ 1,248,673 $ 341,021 $ 792,170 $ 35,240 $ 2,417,104 Year Ended December 31, 2017 Office Retail Multifamily Corporate and Other Consolidated Real estate rental revenue $ 167,438 $ 62,390 $ 95,250 $ — $ 325,078 Real estate expenses 62,824 15,186 37,640 — 115,650 Net operating income $ 104,614 $ 47,204 $ 57,610 $ — $ 209,428 Depreciation and amortization (112,056 ) General and administrative (22,580 ) Real estate impairment (33,152 ) Interest expense (47,534 ) Other income 507 Gain on sale of real estate 24,915 Income tax benefit 84 Net income 19,612 Less: Net loss attributable to noncontrolling interests 56 Net income attributable to the controlling interests $ 19,668 Capital expenditures $ 30,407 $ 2,128 $ 27,980 $ 3,866 $ 64,381 Total assets $ 1,203,187 $ 346,580 $ 767,279 $ 42,380 $ 2,359,426 Year Ended December 31, 2016 Office Retail Multifamily Corporate Consolidated Real estate rental revenue $ 165,934 $ 61,566 $ 85,764 $ — $ 313,264 Real estate expenses 64,405 15,860 34,748 — 115,013 Net operating income $ 101,529 $ 45,706 $ 51,016 $ — $ 198,251 Depreciation and amortization (108,406 ) General and administrative (19,545 ) Casualty gain 676 Acquisition costs (1,178 ) Interest expense (53,126 ) Other income 297 Gain on sale of real estate 101,704 Income tax benefit 615 Net income 119,288 Less: Net loss attributable to noncontrolling interests 51 Net income attributable to the controlling interests $ 119,339 Capital expenditures $ 30,337 $ 8,821 $ 17,936 $ 920 $ 58,014 Total assets $ 1,104,589 $ 352,056 $ 762,695 $ 34,279 $ 2,253,619 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Unaudited financial data by quarter in each of the years ended December 31, 2018 and 2017 were as follows (in thousands, except for per share data): Quarter (1), (2) First Second Third Fourth 2018 Real estate rental revenue $ 84,881 $ 86,606 $ 82,502 $ 82,901 Net income $ 3,299 $ 10,750 $ 5,893 $ 5,688 Net income attributable to the controlling interests $ 3,299 $ 10,750 $ 5,893 $ 5,688 Net income per share Basic $ 0.04 $ 0.14 $ 0.07 $ 0.07 Diluted $ 0.04 $ 0.13 $ 0.07 $ 0.07 2017 Real estate rental revenue $ 77,501 $ 83,456 $ 82,819 $ 81,302 Net income $ 6,615 $ 7,847 $ 2,813 $ 2,337 Net income attributable to the controlling interests $ 6,634 $ 7,864 $ 2,833 $ 2,337 Net income per share Basic $ 0.09 $ 0.10 $ 0.04 $ 0.03 Diluted $ 0.09 $ 0.10 $ 0.04 $ 0.03 (1) With regard to per share calculations, the sum of the quarterly results may not equal full year results due to rounding. (2) The second quarter of 2018 includes gain on sale of real estate of $2.5 million . The fourth quarter of 2017 includes gain on sale of real estate of $24.9 million . The first quarter of 2018 includes real estate impairment of $1.9 million . The third and fourth quarters of 2017 include real estate impairments of $5.0 million and $28.2 million , respectively. |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of 2018 Equity Distribution Agreements | Our issuances and net proceeds on the 2018 Equity Distribution Agreements for the year ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 Issuance of common shares 1,165 Weighted average price per share $ 31.18 Net proceeds $ 35,472 |
Schedule of Previous Equity Distribution Agreements | Our issuances and net proceeds on the previous equity distribution agreements for the three years ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Issuance of common shares — 3,587 904 Weighted average price per share $ — $ 32.06 $ 33.32 Net proceeds $ — $ 113,194 $ 29,579 |
Schedule of Dividend Reinvestment | Our issuances and net proceeds on the dividend reinvestment program for the three years ended December 31, 2018 were as follows (in thousands; except per share data): Year Ended December 31, 2018 2017 2016 Issuance of common shares 81 80 23 Weighted average price per share $ 29.18 $ 32.25 $ 30.98 Net proceeds $ 1,973 $ 2,576 $ 700 |
Deferred Costs (Tables)
Deferred Costs (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Deferred Leasing Costs and Incentives | As of December 31, 2018 and 2017 , deferred leasing costs and deferred leasing incentives were included in prepaid expenses and other assets as follows (in thousands): December 31, 2018 2017 Gross Carrying Value Accumulated Amortization Net Gross Carrying Value Accumulated Amortization Net Deferred leasing costs $ 69,648 $ 33,351 $ 36,297 $ 68,213 $ 28,523 $ 39,690 Deferred leasing incentives 25,198 14,081 11,117 24,946 11,114 13,832 |
Schedule of Amortization and Write-Offs of Deferred Leasing Costs and Incentives | Amortization, including write-offs, of deferred leasing costs and deferred leasing incentives for the three years ended December 31, 2018 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Deferred leasing costs amortization $ 6,442 $ 6,418 $ 6,076 Deferred leasing incentives amortization 2,966 3,163 2,994 |
Nature of Business - Narrative
Nature of Business - Narrative and Taxable Percentage of Dividends (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain on sale of real estate | $ 2,500 | $ 24,900 | $ 2,495 | $ 24,915 | $ 101,704 |
Percentage of Distribution of Ordinary Taxable Income | 90.00% | ||||
Income tax benefit | $ 0 | 84 | $ 615 | ||
Deferred Tax Assets, Investment in Subsidiaries | 1,400 | $ 1,400 | $ 1,400 | ||
Ordinary income/Section 199A dividends | 29.00% | 76.00% | 66.00% | ||
Return of capital | 71.00% | 0.00% | 33.00% | ||
Qualified dividends | 0.00% | 2.00% | 0.00% | ||
Unrecaptured Section 1250 gain | 0.00% | 8.00% | 1.00% | ||
Capital gain | 0.00% | 14.00% | 0.00% | ||
Taxable Reit Subsidiary [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Income tax benefit | $ (700) | ||||
Deferred Tax Liabilities | $ 600 | $ 600 | $ 600 |
Nature of Business - Properties
Nature of Business - Properties Sold (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | $ 2,500 | $ 24,900 | $ 2,495 | $ 24,915 | $ 101,704 | |
Two Thousand Eighteen Properties Sold Group [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | 2,495 | |||||
Two Thousand Eighteen Properties Sold Group [Member] | Office Building [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Braddock Metro Center [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | 0 | |||||
Two Thousand Eighteen Properties Sold Group [Member] | Office Building [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | 2445 M Street [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | $ 2,495 | |||||
Two Thousand Seventeen Properties Sold Group [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | 23,838 | |||||
Two Thousand Seventeen Properties Sold Group [Member] | Multifamily [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Walker House [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | $ 23,838 | |||||
Two Thousand Sixteen Properties Sold Group [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | 101,704 | |||||
Two Thousand Sixteen Properties Sold Group [Member] | Office Building [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Dulles Station II [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | [1] | 527 | ||||
Two Thousand Sixteen Properties Sold Group [Member] | Office Building [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Maryland Office Portfolio Transaction I [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | [2] | 23,585 | ||||
Two Thousand Sixteen Properties Sold Group [Member] | Office Building [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Maryland Office Portfolio Transaction II [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain on sale of real estate | [3] | $ 77,592 | ||||
[1] | Land held for future development and an interest in a parking garage. | |||||
[2] | Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. | |||||
[3] | Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies and Basis of Presentation - Revenue Recognition and Accounts Receivable and Allowance (Details) | Dec. 31, 2018 |
Multifamily [Member] | |
Property Subject to or Available for Operating Lease [Line Items] | |
Lessor, operating lease term of contract | 1 year |
Office and Retail | |
Property Subject to or Available for Operating Lease [Line Items] | |
Lessor, operating lease term of contract | 7 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies and Basis of Presentation - Real Estate and Depreciation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Real estate depreciation | $ 91,400 | $ 90,100 | $ 84,100 |
Interest Expense | |||
Total interest incurred | 53,235 | 48,498 | 53,794 |
Capitalized interest | 2,091 | 964 | 668 |
Interest expense, net of capitalized interest | $ 51,144 | $ 47,534 | $ 53,126 |
Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 3 years | ||
Minimum [Member] | Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 28 years | ||
Minimum [Member] | Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 3 years | ||
Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 50 years | ||
Maximum [Member] | Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 50 years | ||
Maximum [Member] | Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life | 30 years |
Real Estate - Real Estate Inves
Real Estate - Real Estate Investment Portfolio (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)properties | Dec. 31, 2017USD ($) | |
Real Estate [Line Items] | ||
Real estate investment property, at cost | $ 2,886,585 | $ 2,702,002 |
Properties under development or held for future development | 87,231 | 54,422 |
Office Building [Member] | ||
Real Estate [Line Items] | ||
Real estate investment property, at cost | 1,507,986 | 1,355,033 |
Properties under development or held for future development | 478 | 680 |
Multifamily [Member] | ||
Real Estate [Line Items] | ||
Real estate investment property, at cost | 919,285 | 895,811 |
Properties under development or held for future development | 83,945 | 49,616 |
Retail Site [Member] | ||
Real Estate [Line Items] | ||
Real estate investment property, at cost | 459,314 | 451,158 |
Properties under development or held for future development | 2,808 | 4,126 |
The Wellington land parcel [Member] | ||
Real Estate [Line Items] | ||
Properties under development or held for future development | 61,700 | 60,300 |
Riverside Apartments land parcel [Member] | ||
Real Estate [Line Items] | ||
Properties under development or held for future development | 22,900 | $ 22,900 |
Spring Vally Retail Center [Member] | ||
Real Estate [Line Items] | ||
Real estate investment property, at cost | 4,200 | |
Properties under development or held for future development | $ 6,500 | |
Property Concentration Risk [Member] | Total Assets [Member] | ||
Real Estate [Line Items] | ||
Concentration risk (percent) | 10.00% | |
Concentration risk, number of properties | properties | 1 |
Real Estate - Schedule of Acqui
Real Estate - Schedule of Acquisitions (Details) $ in Thousands | Dec. 31, 2018USD ($)ft² | Jan. 18, 2018USD ($)ft² | Dec. 31, 2017USD ($) | Apr. 04, 2017USD ($)ft² | May 20, 2016USD ($)unit | |
Real Estate [Line Items] | ||||||
Rentable Square Feet | ft² | [1] | 9,667,000 | ||||
Real estate investment property, at cost | $ | $ 2,886,585 | $ 2,702,002 | ||||
Arlington Tower [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet | ft² | 391,000 | |||||
Real estate investment property, at cost | $ | $ 250,000 | |||||
Watergate 600 [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet | ft² | 278,000 | |||||
Real estate investment property, at cost | $ | $ 135,000 | |||||
Riverside Apartments [Member] | ||||||
Real Estate [Line Items] | ||||||
Number of Units | unit | 1,222 | |||||
Rentable Square Feet | ft² | 1,001,000 | |||||
Real estate investment property, at cost | $ | $ 244,750 | |||||
[1] | As of December 31, 2018, Washington REIT had under development multifamily properties, the Wellington land parcel (Trove) and Riverside Apartments land parcel. The value not yet placed into service at December 31, 2018 was $60.3 million and $22.9 million, respectively. |
Real Estate - Revenue and Earni
Real Estate - Revenue and Earnings of Acquisitions (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Real Estate [Line Items] | |||||||||||
Real estate rental revenue | $ 82,901 | $ 82,502 | $ 86,606 | $ 84,881 | $ 81,302 | $ 82,819 | $ 83,456 | $ 77,501 | $ 336,890 | $ 325,078 | $ 313,264 |
Net income (loss) | $ 5,688 | $ 5,893 | $ 10,750 | $ 3,299 | $ 2,337 | $ 2,813 | $ 7,847 | $ 6,615 | 25,630 | 19,612 | 119,288 |
Arlington Tower [Member] | |||||||||||
Real Estate [Line Items] | |||||||||||
Real estate rental revenue | 22,389 | ||||||||||
Net income (loss) | $ 3,623 | ||||||||||
Watergate 600 [Member] | |||||||||||
Real Estate [Line Items] | |||||||||||
Real estate rental revenue | 14,518 | ||||||||||
Net income (loss) | $ 2,226 | ||||||||||
Riverside Apartments [Member] | |||||||||||
Real Estate [Line Items] | |||||||||||
Real estate rental revenue | 13,112 | ||||||||||
Net income (loss) | $ (1,688) |
Real Estate - Cost of Asset Acq
Real Estate - Cost of Asset Acquisitions (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Real Estate [Line Items] | |||
Land | $ 614,659 | $ 588,025 | |
Arlington Tower [Member] | |||
Real Estate [Line Items] | |||
Land | 63,970 | ||
Land held for development | 0 | ||
Buildings | 142,900 | ||
Tenant origination costs | 13,625 | ||
Leasing commissions/absorption costs | 27,465 | ||
Net lease intangible assets | 3,142 | ||
Net lease intangible liabilities | (545) | ||
Deferred tax liability | 0 | ||
Total | $ 250,557 | ||
Watergate 600 [Member] | |||
Real Estate [Line Items] | |||
Land | 45,981 | ||
Land held for development | 0 | ||
Buildings | 66,241 | ||
Tenant origination costs | 12,084 | ||
Leasing commissions/absorption costs | 23,161 | ||
Net lease intangible assets | 498 | ||
Net lease intangible liabilities | (9,585) | ||
Deferred tax liability | (560) | ||
Total | $ 137,820 | ||
Riverside Apartments [Member] | |||
Real Estate [Line Items] | |||
Land | $ 38,924 | ||
Land held for development | 15,968 | ||
Buildings | 184,854 | ||
Tenant origination costs | 0 | ||
Leasing commissions/absorption costs | 4,992 | ||
Net lease intangible assets | 22 | ||
Net lease intangible liabilities | (10) | ||
Deferred tax liability | 0 | ||
Total | $ 244,750 |
Real Estate - Acquisitions Narr
Real Estate - Acquisitions Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 18, 2018 | Apr. 04, 2017 | May 20, 2016 | |
Real Estate [Line Items] | |||||||
Real estate investment property, at cost | $ 2,886,585 | $ 2,702,002 | |||||
Payments to acquire real estate | 106,400 | 138,371 | $ 227,413 | ||||
Repayments of Secured Debt | 170,081 | 52,571 | 270,061 | ||||
Asset Acquisition, Consideration Transferred, Equity Interests Issued and Issuable | 0 | 376 | 0 | ||||
Arlington Tower [Member] | |||||||
Real Estate [Line Items] | |||||||
Real estate investment property, at cost | $ 250,000 | ||||||
Payments to acquire real estate | 106,400 | ||||||
Repayments of Secured Debt | 135,500 | ||||||
Payments for Deposits on Real Estate Acquisitions | $ 6,300 | ||||||
Credit settlement adjustment | (2,400) | ||||||
Capitalized asset acquisition-related costs | $ (600) | ||||||
Arlington Tower [Member] | Tenant Origination Costs [Member] | |||||||
Real Estate [Line Items] | |||||||
Weighted average remaining life (months) | 71 months | ||||||
Arlington Tower [Member] | Leasing Commissions Absorption Costs [Member] | |||||||
Real Estate [Line Items] | |||||||
Weighted average remaining life (months) | 61 months | ||||||
Arlington Tower [Member] | Net Lease Intangible Assets [Member] | |||||||
Real Estate [Line Items] | |||||||
Weighted average remaining life (months) | 63 months | ||||||
Arlington Tower [Member] | Net lease intangible liabilities | |||||||
Real Estate [Line Items] | |||||||
Weighted average remaining life (months) | 78 months | ||||||
Watergate 600 [Member] | |||||||
Real Estate [Line Items] | |||||||
Real estate investment property, at cost | $ 135,000 | ||||||
Payments to acquire real estate | 138,400 | ||||||
Credit settlement adjustment | (1,000) | ||||||
Capitalized asset acquisition-related costs | $ (2,800) | ||||||
Issuance of OP Units as consideration in asset acquisition (shares) | 12,124 | ||||||
Asset Acquisition, Consideration Transferred, Equity Interests Issued and Issuable | $ 400 | ||||||
Duration for average share price valuation (days) | 20 days | ||||||
Riverside Apartments [Member] | |||||||
Real Estate [Line Items] | |||||||
Real estate investment property, at cost | $ 244,750 | ||||||
Payments to acquire real estate | 227,400 | ||||||
Credit settlement adjustment | (1,400) | ||||||
Riverside Apartments land parcel [Member] | |||||||
Real Estate [Line Items] | |||||||
Payments to acquire land | $ 16,000 |
Real Estate - Fair Value of In
Real Estate - Fair Value of In Place Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Tenant Origination Costs [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Tenant origination costs | $ 62,759 | $ 66,378 |
Accumulated Amortization | 41,109 | 50,157 |
Intangible Assets, Net | 21,650 | 16,221 |
Leasing Commissions Absorption Costs [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Leasing commissions/absorption costs | 126,707 | 123,992 |
Accumulated Amortization | 87,660 | 95,115 |
Intangible Assets, Net | 39,047 | 28,877 |
Net Lease Intangible Assets [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Net lease intangible assets | 18,062 | 19,362 |
Accumulated Amortization | 13,617 | 16,089 |
Intangible Assets, Net | 4,445 | 3,273 |
Net Lease Intangible Liabilities [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Net lease intangible liabilities | 35,530 | 43,230 |
Net Lease Intangible Liabilities, Accumulated Amortization | 24,073 | 28,174 |
Intangible Liabilities, Net | 11,457 | 15,056 |
Below-Market Ground Lease Intangible Assets [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Below-market ground lease intangible asset | 12,080 | 12,080 |
Accumulated Amortization | 2,093 | 1,903 |
Intangible Assets, Net | 9,987 | $ 10,177 |
Arlington Tower [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Tenant origination costs | 13,625 | |
Leasing commissions/absorption costs | 27,465 | |
Net lease intangible assets | 3,142 | |
Net lease intangible liabilities | $ 545 |
Real Estate - Amortization of L
Real Estate - Amortization of Leased Assets Acquired (Details) - Leases, Acquired-in-Place [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 22,723 | $ 14,911 | $ 17,655 |
Amortization of above and below Market Leases | (1,314) | (922) | 410 |
Finite-Lived Intangible Assets, Amortization Expense, Net of Revenue | $ 21,409 | $ 13,989 | $ 18,065 |
Real Estate - Acquired Finite-l
Real Estate - Acquired Finite-lived Intangible Assets (Details) - Leases, Acquired-in-Place [Member] $ in Thousands | Dec. 31, 2018USD ($) |
Depreciation and amortization expense | |
2,019 | $ 13,045 |
2,020 | 9,513 |
2,021 | 8,716 |
2,022 | 8,214 |
2,023 | 6,278 |
Thereafter | 24,918 |
Real estate rental revenue, net increase | |
2,019 | (1,066) |
2,020 | (399) |
2,021 | (567) |
2,022 | (756) |
2,023 | (1,030) |
Thereafter | (3,194) |
Total | |
2,019 | 11,979 |
2,020 | 9,114 |
2,021 | 8,149 |
2,022 | 7,458 |
2,023 | 5,248 |
Thereafter | $ 21,724 |
Real Estate - Variable Interest
Real Estate - Variable Interest Entities Narrative (Details) - The Maxwell [Member] - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended |
Jun. 30, 2011 | Dec. 31, 2017 | |
Real Estate [Line Items] | ||
Ownership percentage | 90.00% | |
Ownership percentage by noncontrolling owners | 10.00% | |
Percentage of joint venture interest acquired | 10.00% | |
Payments to acquire interest in joint venture | $ 4.1 |
Real Estate - Properties Sold a
Real Estate - Properties Sold and Held for Sale Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||
Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($)apartment | Sep. 30, 2017USD ($) | Jun. 30, 2016buildingsContracts | Dec. 31, 2018USD ($)ft² | Dec. 31, 2017USD ($)apartment | Dec. 31, 2016USD ($)ft² | ||
Real Estate [Line Items] | |||||||||
Gain on sale of real estate | $ 2,500 | $ 24,900 | $ 2,495 | $ 24,915 | $ 101,704 | ||||
Rentable Square Feet | ft² | [1] | 9,667,000 | |||||||
Impairment of real estate | $ 1,900 | 28,200 | $ 5,000 | ||||||
Two Thousand Eighteen Properties Sold Group [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 648,000 | ||||||||
Contract Sale Price | $ 194,600 | ||||||||
Gain on sale of real estate | 2,495 | ||||||||
Two Thousand Seventeen Properties Sold Group [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Contract Sale Price | $ 32,200 | 32,200 | |||||||
Gain on sale of real estate | 23,838 | ||||||||
2016 Properties Sold [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 1,183,000 | ||||||||
Contract Sale Price | $ 252,100 | ||||||||
Gain on sale of real estate | 101,704 | ||||||||
Braddock Metro Center [Member] | Office Building [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Contract Sale Price | $ 93,000 | ||||||||
Rentable Square Feet | ft² | 356,000 | ||||||||
Impairment of real estate | 9,100 | ||||||||
Braddock Metro Center [Member] | Office Building [Member] | Two Thousand Eighteen Properties Sold Group [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 356,000 | ||||||||
Contract Sale Price | $ 93,000 | ||||||||
Gain on sale of real estate | 0 | ||||||||
2445 M Street [Member] | Office Building [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Contract Sale Price | 101,600 | ||||||||
Impairment of real estate | $ 1,900 | $ 24,100 | |||||||
2445 M Street [Member] | Office Building [Member] | Two Thousand Eighteen Properties Sold Group [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 292,000 | ||||||||
Contract Sale Price | $ 101,600 | ||||||||
Gain on sale of real estate | $ 2,495 | ||||||||
2445 M Street [Member] | Office [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Disposal Group, Including Discontinued Operation, Consideration, Initial Amount | $ 100,000 | ||||||||
Walker House [Member] | Multifamily [Member] | Two Thousand Seventeen Properties Sold Group [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Number of Units | apartment | 212 | 212 | |||||||
Contract Sale Price | $ 32,200 | $ 32,200 | |||||||
Gain on sale of real estate | $ 23,838 | ||||||||
Dulles Station II [Member] | Office Building [Member] | 2016 Properties Sold [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Contract Sale Price | 12,100 | ||||||||
Gain on sale of real estate | [2] | $ 527 | |||||||
Maryland Office Portfolio Transaction I [Member] | Office Building [Member] | 2016 Properties Sold [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 692,000 | ||||||||
Contract Sale Price | $ 111,500 | ||||||||
Gain on sale of real estate | [3] | $ 23,585 | |||||||
Maryland Office Portfolio Transaction II [Member] | Office Building [Member] | 2016 Properties Sold [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Area of Real Estate Property | ft² | 491,000 | ||||||||
Contract Sale Price | $ 128,500 | ||||||||
Gain on sale of real estate | [4] | 77,592 | |||||||
Maryland Office Portfolio [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Number of purchase and sale agreements | Contracts | 2 | ||||||||
Number of buildings sold | buildings | 6 | ||||||||
Maryland Office Portfolio [Member] | Office Building [Member] | 2016 Properties Sold [Member] | Disposed of by Sale, Not Discontinued Operations [Member] | |||||||||
Real Estate [Line Items] | |||||||||
Contract Sale Price | $ 240,000 | ||||||||
[1] | As of December 31, 2018, Washington REIT had under development multifamily properties, the Wellington land parcel (Trove) and Riverside Apartments land parcel. The value not yet placed into service at December 31, 2018 was $60.3 million and $22.9 million, respectively. | ||||||||
[2] | Land held for future development and an interest in a parking garage. | ||||||||
[3] | Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. | ||||||||
[4] | Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. |
Real Estate - Schedule of Prope
Real Estate - Schedule of Properties Sold (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($)apartment | Dec. 31, 2018USD ($)ft² | Dec. 31, 2017USD ($)apartment | Dec. 31, 2016USD ($)ft² | ||
Real Estate [Line Items] | ||||||
Gain on Sale | $ 2,500 | $ 24,900 | $ 2,495 | $ 24,915 | $ 101,704 | |
Office Building [Member] | 2445 M Street [Member] | ||||||
Real Estate [Line Items] | ||||||
Contract Sale Price | 101,600 | |||||
Office Building [Member] | Braddock Metro Center [Member] | ||||||
Real Estate [Line Items] | ||||||
Contract Sale Price | $ 93,000 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | Two Thousand Eighteen Properties Sold Group [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 648,000 | |||||
Contract Sale Price | $ 194,600 | |||||
Gain on Sale | $ 2,495 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | Two Thousand Eighteen Properties Sold Group [Member] | Office Building [Member] | 2445 M Street [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 292,000 | |||||
Contract Sale Price | $ 101,600 | |||||
Gain on Sale | $ 2,495 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | Two Thousand Eighteen Properties Sold Group [Member] | Office Building [Member] | Braddock Metro Center [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 356,000 | |||||
Contract Sale Price | $ 93,000 | |||||
Gain on Sale | $ 0 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | Two Thousand Seventeen Properties Sold Group [Member] | ||||||
Real Estate [Line Items] | ||||||
Contract Sale Price | $ 32,200 | 32,200 | ||||
Gain on Sale | $ 23,838 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | Two Thousand Seventeen Properties Sold Group [Member] | Multifamily [Member] | Walker House [Member] | ||||||
Real Estate [Line Items] | ||||||
Number of Units | apartment | 212 | 212 | ||||
Contract Sale Price | $ 32,200 | $ 32,200 | ||||
Gain on Sale | $ 23,838 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | 2016 Properties Sold [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 1,183,000 | |||||
Contract Sale Price | $ 252,100 | |||||
Gain on Sale | 101,704 | |||||
Disposed of by Sale, Not Discontinued Operations [Member] | 2016 Properties Sold [Member] | Office Building [Member] | Dulles Station II [Member] | ||||||
Real Estate [Line Items] | ||||||
Contract Sale Price | 12,100 | |||||
Gain on Sale | [1] | $ 527 | ||||
Disposed of by Sale, Not Discontinued Operations [Member] | 2016 Properties Sold [Member] | Office Building [Member] | Maryland Office Portfolio Transaction I [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 692,000 | |||||
Contract Sale Price | $ 111,500 | |||||
Gain on Sale | [2] | $ 23,585 | ||||
Disposed of by Sale, Not Discontinued Operations [Member] | 2016 Properties Sold [Member] | Office Building [Member] | Maryland Office Portfolio Transaction II [Member] | ||||||
Real Estate [Line Items] | ||||||
Rentable Square Feet Sold | ft² | 491,000 | |||||
Contract Sale Price | $ 128,500 | |||||
Gain on Sale | [3] | $ 77,592 | ||||
[1] | Land held for future development and an interest in a parking garage. | |||||
[2] | Maryland Office Portfolio Transaction I consists of 6110 Executive Boulevard, 600 Jefferson Plaza, Wayne Plaza and West Gude Drive. | |||||
[3] | Maryland Office Portfolio Transaction II consists of 51 Monroe Street and One Central Plaza. |
Real Estate - Real Estate Renta
Real Estate - Real Estate Rental Revenue and Net Income from Maryland Office Portfolio (Details) - Maryland Office Portfolio [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disposal Group Income Statement Disclosures: | |||
Real estate rental revenue | $ 0 | $ 0 | $ 20,266 |
Net income | $ 0 | $ 0 | $ 9,376 |
Real Estate - Casualty Gains (D
Real Estate - Casualty Gains (Details) - Bethesda Hill Apartments [Member] $ in Millions | 3 Months Ended |
Jun. 30, 2016USD ($) | |
Real Estate [Line Items] | |
Net casualty gain recorded | $ 0.7 |
Insurance Recoveries | 0.9 |
Casualty charges to write off damaged units | $ 0.2 |
Mortgage Notes Payable (Details
Mortgage Notes Payable (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018USD ($)buildings | Dec. 31, 2017USD ($) | |||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Mortgage notes payable, net | $ 59,792 | $ 95,141 | ||
Collateral for mortgage notes payable | buildings | 1 | |||
Real estate investment property, at cost | $ 2,886,585 | 2,702,002 | ||
Mortgages Payable [Member] | ||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Total principal | 57,370 | 91,914 | ||
Premiums and discounts, net | 2,520 | 3,385 | ||
Deferred issuance costs, net | (98) | (158) | ||
Mortgage notes payable, net | $ 59,792 | 95,141 | ||
Yale West [Member] | Mortgages Payable [Member] | ||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Assumption/Issuance Date | [1] | Feb. 21, 2014 | ||
Effective Interest Rate (percent) | [2] | 3.75% | ||
Payoff Date/Maturity Date | [3] | Jan. 31, 2022 | ||
Total principal | $ 46,155 | 46,629 | ||
Olney Village Center Member | Mortgages Payable [Member] | ||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Assumption/Issuance Date | [1] | Aug. 30, 2011 | ||
Effective Interest Rate (percent) | [2] | 4.94% | ||
Payoff Date/Maturity Date | Oct. 1, 2023 | |||
Total principal | $ 11,215 | 13,091 | ||
Kenmore Apartments [Member] | Mortgages Payable [Member] | ||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Assumption/Issuance Date | [1] | Feb. 2, 2009 | ||
Effective Interest Rate (percent) | [2] | 5.37% | ||
Payoff Date/Maturity Date | Aug. 31, 2018 | |||
Total principal | $ 0 | [4] | 32,194 | |
First Mortgage [Member] | ||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||||
Real estate investment property, at cost | $ 134,300 | $ 208,300 | ||
[1] | Each of these mortgages was assumed with the acquisition of the collateralized properties, except for the mortgage note secured by Kenmore Apartments, which was originally executed by Washington REIT. We record mortgages assumed in an acquisition at fair value. | |||
[2] | Yield on the assumption/issuance date, including the effects of any premiums, discounts or fair value adjustments on the notes. | |||
[3] | The maturity date of the mortgage note is January 1, 2052, but can be prepaid, without penalty, beginning on January 31, 2022. | |||
[4] | This mortgage note was prepaid, without penalty, in August 2018. |
Mortgage Notes Payable - Schedu
Mortgage Notes Payable - Scheduled Principal Payments (Details) - Mortgages Payable [Member] - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Scheduled Principal Payments [Abstract] | ||
2,019 | $ 2,500 | |
2,020 | 2,659 | |
2,021 | 2,829 | |
2,022 | 46,984 | |
2,023 | 2,398 | |
Thereafter | 0 | |
Total principal | $ 57,370 | $ 91,914 |
Unsecured Lines Of Credit Pay_3
Unsecured Lines Of Credit Payable - Narrative (Details) | Mar. 30, 2018 | Dec. 31, 2018USD ($)extension_option | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Jun. 30, 2018 | Mar. 29, 2018USD ($)arrangement | Jul. 22, 2016USD ($) | Sep. 15, 2015USD ($) |
Line of Credit Facility [Line Items] | ||||||||
Total revolving credit facilities at December 31 | $ 700,000,000 | $ 600,000,000 | $ 600,000,000 | |||||
Weighted average interest rate during the year | 2.96% | 2.15% | 1.52% | |||||
U.S. Covered Terrorism Losses, Percent | 0.85 | |||||||
Insurance Provider, Covered Terrorism Losses, Percent | 0.10 | |||||||
Aggregate Insurance Limit For Terrorism Losses | $ 100,000,000,000 | |||||||
Derivative, Notional Amount | $ 100,000,000 | |||||||
Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Weighted average interest rate during the year | 1.00% | |||||||
Line of Credit Facility, Commitment Fee Percentage | 0.20% | |||||||
credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Total revolving credit facilities at December 31 | $ 1,500,000,000 | |||||||
credit facility 2018 [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Total revolving credit facilities at December 31 | $ 700,000,000 | |||||||
Line of credit facility, number of extensions allowed | extension_option | 2 | |||||||
Line Of Credit, Extension, Term | 6 months | |||||||
Debt Instrument, Term | 4 years | |||||||
credit facility 2015 [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Total revolving credit facilities at December 31 | $ 600,000,000 | |||||||
LIBOR [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Variable Rate | 2.50% | |||||||
LIBOR [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 1.00% | |||||||
LIBOR [Member] | 2015 Term Loan [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 1.10% | |||||||
Federal Funds Effective Swap Rate [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.50% | |||||||
Interest Rate Swap [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Notional Amount | $ 400,000,000 | |||||||
2018 Term Loan A [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Notional Amount | $ 150,000,000 | |||||||
Derivative, Fixed Interest Rate | 2.31% | |||||||
2018 Term Loan A [Member] | credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Face Amount | $ 150,000,000 | |||||||
2018 Term Loan B [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Fixed Interest Rate | 3.71% | |||||||
2018 Term Loan [Member] | credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Interest Rate, Stated Percentage | 2.87% | |||||||
Minimum [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of Credit Facility, Commitment Fee Percentage | 0.10% | |||||||
Minimum [Member] | LIBOR [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.775% | |||||||
Minimum [Member] | Base Rate [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.00% | |||||||
Maximum [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of Credit Facility, Commitment Fee Percentage | 0.30% | |||||||
Maximum [Member] | LIBOR [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 1.55% | |||||||
Maximum [Member] | Base Rate [Member] | Line of Credit [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.55% | |||||||
2018 Term Loan B [Member] | Interest Rate Swap [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Number of Instruments Held | arrangement | 4 | |||||||
Derivative, Notional Amount | $ 100,000,000 | |||||||
Derivative, Fixed Interest Rate | 3.71% | |||||||
2015 Term Loan [Member] | credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Face Amount | $ 150,000,000 | |||||||
Debt Instrument, Term | 5 years 6 months | |||||||
2015 Term Loan [Member] | Interest Rate Swap [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Number of Instruments Held | 2 | |||||||
Effective interest rate percentage | 2.72% | |||||||
Derivative, Notional Amount | $ 150,000,000 | $ 150,000,000 | ||||||
2015 Term Loan [Member] | Interest Rate Swap [Member] | credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Number of Instruments Held | 2 | |||||||
Effective interest rate percentage | 2.70% | |||||||
2018 Term Loan [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Face Amount | $ 250,000,000 | |||||||
2018 Term Loan [Member] | credit facility 2018 [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debt Instrument, Face Amount | $ 250,000,000 | |||||||
2018 Term Loan [Member] | Interest Rate Swap [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Fixed Interest Rate | 2.87% | |||||||
2018 Term Loan A [Member] | Interest Rate Swap [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Derivative, Notional Amount | $ 150,000,000 | $ 150,000,000 | ||||||
Derivative, Fixed Interest Rate | 2.31% | |||||||
2018 Term Loan A [Member] | Minimum [Member] | LIBOR [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.85% | |||||||
2018 Term Loan A [Member] | Minimum [Member] | Base Rate [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.00% | |||||||
2018 Term Loan A [Member] | Maximum [Member] | LIBOR [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 1.75% | |||||||
2018 Term Loan A [Member] | Maximum [Member] | Base Rate [Member] | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Spread on variable rate | 0.75% |
Unsecured Lines Of Credit Pay_4
Unsecured Lines Of Credit Payable - Revolving Line of Credit (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Line of Credit Facility [Line Items] | |||
Committed capacity | $ 700,000,000 | $ 600,000,000 | $ 600,000,000 |
Borrowings outstanding | (188,000,000) | (166,000,000) | $ (120,000,000) |
credit facility 2015 [Member] | Line of Credit [Member] | |||
Line of Credit Facility [Line Items] | |||
Committed capacity | 600,000,000 | ||
credit facility 2018 [Member] | |||
Line of Credit Facility [Line Items] | |||
Committed capacity | 1,500,000,000 | ||
credit facility 2018 [Member] | Line of Credit [Member] | |||
Line of Credit Facility [Line Items] | |||
Committed capacity | 700,000,000 | ||
Borrowings outstanding | (188,000,000) | $ (166,000,000) | |
Unused and available | $ 512,000,000 |
Unsecured Lines Of Credit Pay_5
Unsecured Lines Of Credit Payable - Repayment of Revolving Credit Facility (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Line of Credit Facility, Amount Outstanding [Roll Forward] | |
Long-term Line of Credit | $ 166,000 |
Long-term Line of Credit | 188,000 |
credit facility 2018 [Member] | Line of Credit [Member] | |
Line of Credit Facility, Amount Outstanding [Roll Forward] | |
Long-term Line of Credit | 166,000 |
Proceeds from Lines of Credit | 410,000 |
Repayments of Lines of Credit | (388,000) |
Long-term Line of Credit | $ 188,000 |
Unsecured Lines Of Credit Pay_6
Unsecured Lines Of Credit Payable - Recognized Interest Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Unsecured Debt [Abstract] | |||
Line of Credit Facility, Periodic Payment, Interest | $ 6,843 | $ 3,857 | $ 3,272 |
Line of Credit Facility, Commitment Fee Amount | $ 1,371 | $ 1,217 | $ 1,220 |
Unsecured Lines Of Credit Pay_7
Unsecured Lines Of Credit Payable - Revolving Credit Facility (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Unsecured Debt [Abstract] | |||
Total revolving credit facilities at December 31 | $ 700,000 | $ 600,000 | $ 600,000 |
Borrowings outstanding | 188,000 | 166,000 | 120,000 |
Weighted average daily borrowings during the year | 230,934 | 179,633 | 214,962 |
Maximum daily borrowings during the year | $ 429,000 | $ 252,000 | $ 358,000 |
Weighted average interest rate during the year | 2.96% | 2.15% | 1.52% |
Weighted average interest rate on borrowings outstanding at December 31 | 3.5224% | 2.54% | 1.64% |
Notes Payable - Unsecured Notes
Notes Payable - Unsecured Notes (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Debt Instrument [Line Items] | |||
Notes payable, net | $ 995,397,000 | $ 894,358,000 | |
Debt Instrument, Periodic Payment, Principal | 0 | ||
Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Total principal | 1,000,000,000 | 900,000,000 | |
Premiums and discounts, net | (1,189,000) | (1,580,000) | |
Deferred issuance costs, net | (3,414,000) | (4,062,000) | |
Notes payable, net | $ 995,397,000 | 894,358,000 | |
10 Year Unsecured Notes 5.05% [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Coupon/Stated Rate | 4.95% | ||
Effective Interest Rate (percent) | [1] | 5.05% | |
Total principal | $ 250,000,000 | 250,000,000 | |
Payoff Date/Maturity Date | [2] | Oct. 1, 2020 | |
2015 Term Loan [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Effective Interest Rate (percent) | [1] | 2.72% | |
Total principal | $ 150,000,000 | 150,000,000 | |
Payoff Date/Maturity Date | [2] | Mar. 15, 2021 | |
2015 Term Loan [Member] | Unsecured Debt [Member] | LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 1.10% | ||
10 Year Unsecured Notes 4.02% [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Coupon/Stated Rate | 3.95% | ||
Effective Interest Rate (percent) | [1] | 4.02% | |
Total principal | $ 300,000,000 | 300,000,000 | |
Payoff Date/Maturity Date | [2] | Oct. 15, 2022 | |
2016 Term Loan [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Effective Interest Rate (percent) | [1] | 2.86% | |
Total principal | $ 0 | 150,000,000 | |
Payoff Date/Maturity Date | [2] | Mar. 29, 2018 | |
2016 Term Loan [Member] | Unsecured Debt [Member] | LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 1.65% | ||
2018 Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Payoff Date/Maturity Date | [2] | Jul. 21, 2023 | |
2018 Term Loan [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Effective Interest Rate (percent) | [1] | 2.87% | |
Total principal | $ 250,000,000 | 0 | |
Payoff Date/Maturity Date | [2] | Jul. 21, 2023 | |
2018 Term Loan [Member] | Unsecured Debt [Member] | LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 1.10% | ||
30 Year Unsecured Notes 7.36% [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Coupon/Stated Rate | 7.25% | ||
Effective Interest Rate (percent) | [1] | 7.36% | |
Total principal | $ 50,000,000 | $ 50,000,000 | |
Payoff Date/Maturity Date | [2] | Feb. 25, 2028 | |
[1] | For fixed rate notes, the effective rate represents the yield on issuance date, including the effects of discounts on the notes. For variable rate notes, the effective rate represents the rate as fixed by interest rate derivatives (see note 7). | ||
[2] | No principal amounts are due prior to maturity. |
Notes Payable - Maturities of N
Notes Payable - Maturities of Notes Payable (Details) - Unsecured Debt [Member] - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Required Principal Payments [Abstract] | ||
2,019 | $ 0 | |
2,020 | 250,000 | |
2,021 | 150,000 | |
2,022 | 300,000 | |
2,023 | 250,000 | |
Thereafter | 50,000 | |
Total principal | $ 1,000,000 | $ 900,000 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) | 12 Months Ended | ||||||
Dec. 31, 2018USD ($) | Mar. 29, 2018USD ($)arrangement | Dec. 31, 2017USD ($) | Jul. 22, 2016USD ($) | Jul. 21, 2016 | Sep. 15, 2015USD ($) | ||
Derivative [Line Items] | |||||||
Derivative, Notional Amount | $ 100,000,000 | ||||||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 3,300,000 | ||||||
Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Notional Amount | 400,000,000 | ||||||
Fair Value Hedge Assets | 10,638,000 | $ 9,419,000 | |||||
Derivative Liability | 799,000 | $ 0 | |||||
2015 Term Loan [Member] | Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Number of Instruments Held | 2 | ||||||
Derivative, Notional Amount | $ 150,000,000 | $ 150,000,000 | |||||
Effective interest rate percentage | 2.72% | ||||||
2016 Term Loan [Member] | Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Number of Instruments Held | 2 | ||||||
Derivative, Notional Amount | $ 150,000,000 | ||||||
Effective interest rate percentage | 2.86% | ||||||
Debt Instrument, Maturity Date | Jul. 21, 2023 | ||||||
2018 Term Loan [Member] | |||||||
Derivative [Line Items] | |||||||
Debt Instrument, Face Amount | $ 250,000,000 | ||||||
Debt Instrument, Maturity Date | [1] | Jul. 21, 2023 | |||||
2018 Term Loan [Member] | Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Fixed Interest Rate | 2.87% | ||||||
2018 Term Loan A [Member] | Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Notional Amount | $ 150,000,000 | $ 150,000,000 | |||||
Derivative, Fixed Interest Rate | 2.31% | ||||||
2018 Term Loan B [Member] | Interest Rate Swap [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, Number of Instruments Held | arrangement | 4 | ||||||
Derivative, Notional Amount | $ 100,000,000 | ||||||
Derivative, Fixed Interest Rate | 3.71% | ||||||
Unsecured Debt [Member] | 2015 Term Loan [Member] | |||||||
Derivative [Line Items] | |||||||
Effective interest rate percentage | [2] | 2.72% | |||||
Debt Instrument, Maturity Date | [1] | Mar. 15, 2021 | |||||
Unsecured Debt [Member] | 2016 Term Loan [Member] | |||||||
Derivative [Line Items] | |||||||
Effective interest rate percentage | [2] | 2.86% | |||||
Debt Instrument, Maturity Date | [1] | Mar. 29, 2018 | |||||
Unsecured Debt [Member] | 2018 Term Loan [Member] | |||||||
Derivative [Line Items] | |||||||
Effective interest rate percentage | [2] | 2.87% | |||||
Debt Instrument, Maturity Date | [1] | Jul. 21, 2023 | |||||
[1] | No principal amounts are due prior to maturity. | ||||||
[2] | For fixed rate notes, the effective rate represents the yield on issuance date, including the effects of discounts on the notes. For variable rate notes, the effective rate represents the rate as fixed by interest rate derivatives (see note 7). |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Derivatives (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Mar. 29, 2018 | Jul. 22, 2016 | Sep. 15, 2015 | |
Derivative [Line Items] | ||||||
Derivative, Notional Amount | $ 100,000,000 | |||||
Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Derivative, Notional Amount | $ 400,000,000 | |||||
Fair Value Hedge Assets | 10,638,000 | $ 9,419,000 | ||||
Derivative Liability | 799,000 | 0 | ||||
Derivative Assets (Liabilities), at Fair Value, Net | 9,839,000 | 9,419,000 | ||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | 420,000 | 1,808,000 | $ 8,161,000 | |||
2015 Term Loan [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Derivative, Notional Amount | 150,000,000 | $ 150,000,000 | ||||
2018 Term Loan A [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Derivative, Notional Amount | 150,000,000 | $ 150,000,000 | ||||
2018 Term Loan B [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Derivative, Notional Amount | $ 100,000,000 | |||||
Prepaid expenses and other assets [Member] | 2015 Term Loan [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Fair Value Hedge Assets | 2,720,000 | 1,987,000 | ||||
Prepaid expenses and other assets [Member] | 2018 Term Loan A [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Fair Value Hedge Assets | 7,918,000 | 7,432,000 | ||||
Accounts Payable and Accrued Liabilities [Member] | 2018 Term Loan B [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Derivative Liability | $ (799,000) | $ 0 |
Fair Value Disclosures - Financ
Fair Value Disclosures - Financial Assets And Liabilities Measured At Fair Value (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Liabilities: | ||
Cash and Cash Equivalents and Restricted Cash Maturity Period | 90 days | |
Interest Rate Swap [Member] | ||
Assets: | ||
Interest rate swaps | $ 10,638 | $ 9,419 |
Liabilities: | ||
Interest rate swaps | (799) | 0 |
Interest Rate Swap [Member] | Level 1 [Member] | ||
Assets: | ||
Interest rate swaps | 0 | 0 |
Liabilities: | ||
Interest rate swaps | 0 | 0 |
Interest Rate Swap [Member] | Level 2 [Member] | ||
Assets: | ||
Interest rate swaps | 10,638 | 9,419 |
Liabilities: | ||
Interest rate swaps | (799) | 0 |
Interest Rate Swap [Member] | Level 3 [Member] | ||
Assets: | ||
Interest rate swaps | 0 | 0 |
Liabilities: | ||
Interest rate swaps | 0 | 0 |
Supplemental Employee Retirement Plan [Member] | ||
Assets: | ||
SERP | 1,364 | 1,858 |
Supplemental Employee Retirement Plan [Member] | Level 1 [Member] | ||
Assets: | ||
SERP | 0 | 0 |
Supplemental Employee Retirement Plan [Member] | Level 2 [Member] | ||
Assets: | ||
SERP | 1,364 | 1,858 |
Supplemental Employee Retirement Plan [Member] | Level 3 [Member] | ||
Assets: | ||
SERP | $ 0 | $ 0 |
Fair Value Disclosures - Fina_2
Fair Value Disclosures - Financial Assets And Liabilities Not Measured At Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans Payable, Fair Value Disclosure | $ 59,792 | $ 95,141 |
Line of credit payable | 188,000 | 166,000 |
Notes payable | 995,397 | 894,358 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 6,016 | 9,847 |
Restricted Cash, Fair Value Disclosure | 1,624 | 2,776 |
Loans Payable, Fair Value Disclosure | 60,398 | 97,181 |
Line of credit payable | 188,000 | 166,000 |
Notes payable | $ 1,015,210 | $ 931,377 |
Stock Based Compensation - Narr
Stock Based Compensation - Narrative (Details) | 12 Months Ended |
Dec. 31, 2018shares | |
Washington Real Estate Investment Trust 2016 Omnibus Long Term Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares authorized | 2,400,000 |
Plan in effect, period | 10 years |
Options outstanding | 0 |
Washington Real Estate Investment Trust 2007 Omnibus Long Term Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares authorized | 2,000,000 |
Stock Based Compensation - Shor
Stock Based Compensation - Short Term and Long-Term Incentive Plan Narrative (Details) - shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighting for performance measurement on FTSE NAREIT Diversified Index | 50.00% | ||
Restricted Share Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation cost not yet recognized, period for recognition | 26 months | ||
One-time equity award granted (shares) | 304,087 | 330,639 | 251,694 |
Restricted Share Awards [Member] | Chief Executive Officer [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
One-time equity award granted (shares) | 100,000 | ||
Percentage of equity award that vests on fifth anniversary of grant date | 100.00% | ||
New STIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 1 year | ||
Percentage of Potential Award Based Upon Service Requirement | 50.00% | ||
Share-based Compensation Arrangements by Share-based Payment Awards, Options, Vested after Performance Period, Percentage | 50.00% | ||
New STIP [Member] | Performance-Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
New LTIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage payable In unrestricted shares | 75.00% | ||
Percentage payable in restricted shares | 25.00% | ||
Performance period | 3 years | ||
Award vesting period | 3 years | ||
Grant Date Fair Value as a Percentage of Base Salary on absolute TSR | 50.00% | 50.00% | 50.00% |
Grant Date Fair Value as a Percentage of Base Salary on relative TSR | 50.00% | 50.00% | 50.00% |
Total compensation cost not yet recognized, period for recognition | 4 years | ||
Weighting for performance measurement based on select peer comapnies | 0.50 | ||
Weighting for performance measurement on FTSE NAREIT Diversified Index | 50.00% | ||
New LTIP [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Grant Date Fair Value as a Percentage of Base Salary on absolute TSR | 9.00% | 13.00% | 17.00% |
Grant Date Fair Value as a Percentage of Base Salary on relative TSR | 8.00% | 37.00% | 38.00% |
Grant date fair value as a percentage of base salary | 80.00% | ||
New LTIP [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Grant Date Fair Value as a Percentage of Base Salary on absolute TSR | 51.00% | 31.00% | 30.00% |
Grant Date Fair Value as a Percentage of Base Salary on relative TSR | 45.00% | 67.00% | 66.00% |
Grant date fair value as a percentage of base salary | 150.00% | ||
Cash [Member] | New STIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage payable In unrestricted shares | 100.00% | ||
Cash [Member] | New STIP [Member] | Performance-Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage payable In unrestricted shares | 50.00% | ||
Restricted Share Units [Member] | New STIP [Member] | Performance-Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage payable in restricted shares | 50.00% | ||
Restricted Share Units [Member] | New LTIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 1 year | ||
Restricted Share Units [Member] | New LTIP [Member] | Performance-Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation cost not yet recognized, period for recognition | 4 years | ||
Unrestricted Share Awards [Member] | New LTIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation cost not yet recognized, period for recognition | 3 years |
Stock Based Compensation - Assu
Stock Based Compensation - Assumptions for LTIP Awards (Details) - New LTIP [Member] - $ / shares | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected Volatility Rate | 18.20% | |||
Risk Free Interest Rate | [1] | 2.40% | 1.50% | 1.30% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | [1] | $ 27.06 | ||
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected Volatility Rate | [2] | 0.00% | 0.00% | |
Expected Term | [3] | 3 years | 3 years | 3 years |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 26.06 | $ 30.84 | ||
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected Volatility Rate | [2] | 17.90% | 18.70% | |
Expected Term | [3] | 4 years | 4 years | 4 years |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 26.06 | $ 32.69 | ||
[1] | Risk-free interest rate based on U.S. treasury constant maturity bonds on the measurement date with a maturity equal to the market condition performance period. | |||
[2] | Expected volatility based upon historical volatility of our daily closing share price. | |||
[3] | Expected term based on the market condition performance period. |
Stock Based Compensation - Trus
Stock Based Compensation - Trustee Awards and Total Compensation Expense Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Allocated Share-based Compensation Expense | $ 6,700,000 | $ 4,800,000 | $ 3,500,000 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount | 300,000 | 200,000 | 100,000 |
Director [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Deferred Compensation Arrangement with Individual, Fair Value of Shares Issued | $ 100,000 | $ 100,000 | $ 100,000 |
Stock Based Compensation - Rest
Stock Based Compensation - Restricted Share Awards with Performance and Service Conditions (Details) - Restricted Share Awards [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Other Than Options, Nonvested, Number, Beginning | 236,694 | 107,699 | 106,144 |
Other Than Options, Granted | 304,087 | 330,639 | 251,694 |
Other Than Options, Vested During Year | (224,150) | (194,569) | (211,771) |
Other Than Options, Forfeited | (5,621) | (7,075) | (38,368) |
Other Than Options, Nonvested, Number, Beginning | 311,010 | 236,694 | 107,699 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Other Than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.96 | $ 26.47 | $ 27.71 |
Other Than Options, Granted, Weighted Average Grant Date Fair Value | 25.98 | 32.46 | 26.01 |
Other Than Options, Vested During Year, Weighted Average Grant Date Fair Value | 27.40 | 30.50 | 29.21 |
Other Than Options, Forfeited, Weighted Average Grant Date Fair Value | 29.43 | 27.43 | 26.14 |
Other Than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 29.07 | $ 27.96 | $ 26.47 |
Stock Based Compensation - Re_2
Stock Based Compensation - Restricted Share Awards with Performance and Service Conditions Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of restricted share units vested | $ 6.1 | $ 5.9 | $ 6.2 |
Restricted Share Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 7.7 | ||
Total compensation cost not yet recognized, period for recognition | 26 months |
Stock Based Compensation - Re_3
Stock Based Compensation - Restricted and Unrestricted Shares with Market Conditions (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Relative TSR [Member] | Restricted Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted and Unrestricted Share Awards, Grant Date Fair Value | $ 203 | $ 222 | $ 182 | |
Unamortized Value Of Restricted and Unrestricted Shares | 158 | 111 | 39 | |
Relative TSR [Member] | Unrestricted Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted and Unrestricted Share Awards, Grant Date Fair Value | 608 | 666 | 546 | |
Unamortized Value Of Restricted and Unrestricted Shares | 427 | 222 | 0 | |
Absolute TSR [Member] | Restricted Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted and Unrestricted Share Awards, Grant Date Fair Value | [1] | 230 | 100 | 82 |
Unamortized Value Of Restricted and Unrestricted Shares | [1] | 179 | 50 | 18 |
Absolute TSR [Member] | Unrestricted Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted and Unrestricted Share Awards, Grant Date Fair Value | [1] | 690 | 299 | 246 |
Unamortized Value Of Restricted and Unrestricted Shares | [1] | $ 484 | $ 100 | $ 0 |
[1] | (1) The performance condition for the 2018 awards was evaluated based on 50% on TSR relative to a defined population of peer companies and 50% on TSR relative to the FTSE NAREIT Diversified Index. The performance conditions for the 2017 and 2016 awards were evaluated based 50% on absolute TSR and 50% on relative TSR. |
Other Benefit Plans - Narrative
Other Benefit Plans - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | |||
401I(k) plan contributions by employer | $ 0.5 | $ 0.4 | $ 0.4 |
Liability, Other Postretirement Defined Benefit Plan, Noncurrent | 1.1 | 1 | |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) | 0.3 | 0.3 | $ 0.2 |
Officer [Member] | |||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | |||
Accrued benefit liability | $ 1.4 | $ 1.8 |
Earnings Per Common Share - Com
Earnings Per Common Share - Computation Of Basic And Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||||||||
Numerator: | |||||||||||||||||||
Net income | $ 5,688 | $ 5,893 | $ 10,750 | $ 3,299 | $ 2,337 | $ 2,813 | $ 7,847 | $ 6,615 | $ 25,630 | $ 19,612 | $ 119,288 | ||||||||
Less: Net loss attributable to noncontrolling interests in subsidiaries | 0 | 56 | 51 | ||||||||||||||||
Allocation of undistributed earnings to unvested restricted share awards and units | (526) | (362) | (310) | ||||||||||||||||
Adjusted net income attributable to the controlling interests | $ 25,104 | $ 19,306 | $ 119,029 | ||||||||||||||||
Denominator: | |||||||||||||||||||
Weighted average shares outstanding – basic (in shares) | 78,960 | 76,820 | 72,163 | ||||||||||||||||
Effect of dilutive securities: | |||||||||||||||||||
Operating partnership units | 12 | 9 | 0 | ||||||||||||||||
Employee restricted share awards | 70 | 106 | 176 | ||||||||||||||||
Weighted average shares outstanding – diluted (in shares) | 79,042 | 76,935 | 72,339 | ||||||||||||||||
Basic net income attributable to the controlling interests per share (in dollars per share) | $ 0.07 | [1] | $ 0.07 | [1] | $ 0.14 | [1],[2] | $ 0.04 | [1],[2] | $ 0.03 | [1],[2] | $ 0.04 | [1],[2] | $ 0.10 | [1] | $ 0.09 | [1] | $ 0.32 | $ 0.25 | $ 1.65 |
Diluted net income attributable to the controlling interests per share (in dollars per share) | $ 0.07 | [1] | $ 0.07 | [1] | $ 0.13 | [1],[2] | $ 0.04 | [1],[2] | $ 0.03 | [1],[2] | $ 0.04 | [1],[2] | $ 0.10 | [1] | $ 0.09 | [1] | 0.32 | 0.25 | 1.65 |
Dividends declared per common share (in dollars per share) | $ 1.20 | $ 1.20 | $ 1.20 | ||||||||||||||||
[1] | With regard to per share calculations, the sum of the quarterly results may not equal full year results due to rounding. | ||||||||||||||||||
[2] | The second quarter of 2018 includes gain on sale of real estate of $2.5 million. The fourth quarter of 2017 includes gain on sale of real estate of $24.9 million. The first quarter of 2018 includes real estate impairment of $1.9 million. The third and fourth quarters of 2017 include real estate impairments of $5.0 million and $28.2 million, respectively. |
Rentals Under Operating Lease_2
Rentals Under Operating Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Leases, Operating [Abstract] | |||
2,019 | $ 191,252 | ||
2,020 | 175,925 | ||
2,021 | 153,395 | ||
2,022 | 133,359 | ||
2,023 | 108,564 | ||
Thereafter | 304,876 | ||
Operating Leases, Future Minimum Payments Receivable | 1,067,371 | ||
Operating Leased Assets [Line Items] | |||
Recovery of Direct Costs | $ 33,200 | $ 35,400 | $ 35,200 |
Multifamily Properties [Member] | |||
Operating Leased Assets [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 1 year |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Development Contracts with Third Parties, Number | 0 |
Segment Information - Financial
Segment Information - Financial Information by Segment (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of reportable segments | segment | 3 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||
Real estate rental revenue | $ 82,901 | $ 82,502 | $ 86,606 | $ 84,881 | $ 81,302 | $ 82,819 | $ 83,456 | $ 77,501 | $ 336,890 | $ 325,078 | $ 313,264 |
Cost of Revenue | 116,230 | 115,650 | 115,013 | ||||||||
Net operating income | 220,660 | 209,428 | 198,251 | ||||||||
Depreciation and amortization | (121,228) | (112,056) | (108,406) | ||||||||
General and administrative | (22,089) | (22,580) | (19,545) | ||||||||
Real estate impairment and casualty (gain), net | 1,886 | 33,152 | (676) | ||||||||
Acquisition costs | 0 | 0 | (1,178) | ||||||||
Interest expense | (51,144) | (47,534) | (53,126) | ||||||||
Other income | 0 | 507 | 297 | ||||||||
Gain on sale of real estate | 2,500 | 24,900 | 2,495 | 24,915 | 101,704 | ||||||
Income tax benefit | 0 | 84 | 615 | ||||||||
Loss on extinguishment of debt | (1,178) | 0 | 0 | ||||||||
Net income | (5,688) | (5,893) | (10,750) | (3,299) | (2,337) | (2,813) | (7,847) | (6,615) | (25,630) | (19,612) | (119,288) |
Less: Net loss attributable to noncontrolling interests in subsidiaries | 0 | (56) | (51) | ||||||||
Net income attributable to the controlling interests | (5,688) | $ (5,893) | $ (10,750) | $ (3,299) | (2,337) | $ (2,833) | $ (7,864) | $ (6,634) | (25,630) | (19,668) | (119,339) |
Capital expenditures | 72,033 | 64,381 | 58,014 | ||||||||
Total assets | 2,417,104 | 2,359,426 | $ 2,417,104 | $ 2,359,426 | $ 2,253,619 | ||||||
Office Building [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Real estate rental revenue as a percentage of total | 0.53 | 0.52 | 0.53 | ||||||||
Percentage of total income producing real estate assets | 0.52 | 0.50 | |||||||||
Segment Reconciliation [Abstract] | |||||||||||
Real estate rental revenue | $ 178,474 | $ 167,438 | $ 165,934 | ||||||||
Cost of Revenue | 63,321 | 62,824 | 64,405 | ||||||||
Net operating income | 115,153 | 104,614 | 101,529 | ||||||||
Capital expenditures | 42,019 | 30,407 | 30,337 | ||||||||
Total assets | 1,248,673 | 1,203,187 | $ 1,248,673 | $ 1,203,187 | $ 1,104,589 | ||||||
Multifamily [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Real estate rental revenue as a percentage of total | 0.28 | 0.29 | 0.27 | ||||||||
Percentage of total income producing real estate assets | 0.32 | 0.33 | |||||||||
Segment Reconciliation [Abstract] | |||||||||||
Real estate rental revenue | $ 95,194 | $ 95,250 | $ 85,764 | ||||||||
Cost of Revenue | 37,235 | 37,640 | 34,748 | ||||||||
Net operating income | 57,959 | 57,610 | 51,016 | ||||||||
Capital expenditures | 25,117 | 27,980 | 17,936 | ||||||||
Total assets | 792,170 | 767,279 | $ 792,170 | $ 767,279 | $ 762,695 | ||||||
Retail [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Real estate rental revenue as a percentage of total | 0.19 | 0.19 | 0.20 | ||||||||
Percentage of total income producing real estate assets | 0.16 | 0.17 | |||||||||
Segment Reconciliation [Abstract] | |||||||||||
Real estate rental revenue | $ 63,222 | $ 62,390 | $ 61,566 | ||||||||
Cost of Revenue | 15,674 | 15,186 | 15,860 | ||||||||
Net operating income | 47,548 | 47,204 | 45,706 | ||||||||
Capital expenditures | 3,934 | 2,128 | 8,821 | ||||||||
Total assets | 341,021 | 346,580 | 341,021 | 346,580 | 352,056 | ||||||
Corporate And Other [Member] | |||||||||||
Segment Reconciliation [Abstract] | |||||||||||
Real estate rental revenue | 0 | 0 | 0 | ||||||||
Cost of Revenue | 0 | 0 | 0 | ||||||||
Net operating income | 0 | 0 | 0 | ||||||||
Capital expenditures | 963 | 3,866 | 920 | ||||||||
Total assets | $ 35,240 | $ 42,380 | $ 35,240 | $ 42,380 | $ 34,279 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||
Real estate rental revenue | $ 82,901 | $ 82,502 | $ 86,606 | $ 84,881 | $ 81,302 | $ 82,819 | $ 83,456 | $ 77,501 | $ 336,890 | $ 325,078 | $ 313,264 | ||||||||
Net income | 5,688 | 5,893 | 10,750 | 3,299 | 2,337 | 2,813 | 7,847 | 6,615 | 25,630 | 19,612 | 119,288 | ||||||||
Net income attributable to the controlling interests | $ 5,688 | $ 5,893 | $ 10,750 | $ 3,299 | $ 2,337 | $ 2,833 | $ 7,864 | $ 6,634 | $ 25,630 | $ 19,668 | $ 119,339 | ||||||||
Net income per share - Basic (in dollars per share) | $ 0.07 | [1] | $ 0.07 | [1] | $ 0.14 | [1],[2] | $ 0.04 | [1],[2] | $ 0.03 | [1],[2] | $ 0.04 | [1],[2] | $ 0.10 | [1] | $ 0.09 | [1] | $ 0.32 | $ 0.25 | $ 1.65 |
Net income per share - Diluted (in dollars per share) | $ 0.07 | [1] | $ 0.07 | [1] | $ 0.13 | [1],[2] | $ 0.04 | [1],[2] | $ 0.03 | [1],[2] | $ 0.04 | [1],[2] | $ 0.10 | [1] | $ 0.09 | [1] | $ 0.32 | $ 0.25 | $ 1.65 |
Gain on sale of real estate | $ 2,500 | $ 24,900 | $ 2,495 | $ 24,915 | $ 101,704 | ||||||||||||||
Impairment of real estate | $ 1,900 | $ 28,200 | $ 5,000 | ||||||||||||||||
[1] | With regard to per share calculations, the sum of the quarterly results may not equal full year results due to rounding. | ||||||||||||||||||
[2] | The second quarter of 2018 includes gain on sale of real estate of $2.5 million. The fourth quarter of 2017 includes gain on sale of real estate of $24.9 million. The first quarter of 2018 includes real estate impairment of $1.9 million. The third and fourth quarters of 2017 include real estate impairments of $5.0 million and $28.2 million, respectively. |
Shareholders' Equity - Narrativ
Shareholders' Equity - Narrative (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 30, 2018 | |
Class of Stock [Line Items] | |||||
Net proceeds from equity offerings | $ 35,472 | $ 113,194 | $ 172,936 | ||
Common Stock [Member] | |||||
Class of Stock [Line Items] | |||||
Stock issued during period (in shares) | 5,300 | 1,165 | 3,587 | 6,223 | |
Shares Issued, Pursuant of Underwriter Over-Allotment | 700 | ||||
Shares issued (in dollars per share) | $ 28.20 | ||||
Net proceeds from equity offerings | $ 143,400 | ||||
2018 Equity Distribution Agreements [Member] | |||||
Class of Stock [Line Items] | |||||
Common stock reserved for future issuance | $ 250,000 | ||||
2018 Equity Distribution Agreements [Member] | Common Stock [Member] | |||||
Class of Stock [Line Items] | |||||
Stock issued during period (in shares) | 1,165 | ||||
Net proceeds from equity offerings | $ 35,472 |
Shareholders' Equity - Equity D
Shareholders' Equity - Equity Distribution Agreements (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Class of Stock [Line Items] | ||||
Net proceeds | $ 35,472 | $ 113,194 | $ 172,936 | |
Common Stock [Member] | ||||
Class of Stock [Line Items] | ||||
Issuance of common shares (in shares) | 5,300 | 1,165 | 3,587 | 6,223 |
Net proceeds | $ 143,400 | |||
2018 Equity Distribution Agreements [Member] | Common Stock [Member] | ||||
Class of Stock [Line Items] | ||||
Issuance of common shares (in shares) | 1,165 | |||
Weighted average price per share (in dollars per share) | $ 31.18 | |||
Net proceeds | $ 35,472 | |||
2016 Equity Distribution Agreements [Member] | Common Stock [Member] | ||||
Class of Stock [Line Items] | ||||
Issuance of common shares (in shares) | 0 | 3,587 | 904 | |
Weighted average price per share (in dollars per share) | $ 0 | $ 32.06 | $ 33.32 | |
Net proceeds | $ 0 | $ 113,194 | $ 29,579 |
Shareholders' Equity - Dividend
Shareholders' Equity - Dividend Reinvestment Program (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Dividend Reinvestment Program | |||
Net proceeds | $ 1,973 | $ 2,576 | $ 700 |
Common Stock [Member] | |||
Dividend Reinvestment Program | |||
Issuance of common shares (in shares) | 81 | 80 | 23 |
Weighted average price per share (in dollars per share) | $ 29.18 | $ 32.25 | $ 30.98 |
Net proceeds | $ 1 | $ 1 | $ 0 |
Deferred Costs - Deferred Lease
Deferred Costs - Deferred Lease Costs and Incentives in Prepaid Expenses and Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Deferred Costs, Leasing, Gross | $ 69,648 | $ 68,213 |
Deferred Costs, Leasing, Accumulated Amortization | 33,351 | 28,523 |
Deferred Costs, Leasing, Net | 36,297 | 39,690 |
Deferred Leasing Incentives, Gross | 25,198 | 24,946 |
Accumulated Amortization, Deferred Leasing Incentives | 14,081 | 11,114 |
Deferred Leasing Incentives, Net | $ 11,117 | $ 13,832 |
Deferred Costs - Amortization a
Deferred Costs - Amortization and Write-Offs of Deferred Leasing Costs and Incentives (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Deferred leasing costs amortization | $ 6,442 | $ 6,418 | $ 6,076 |
Deferred leasing incentives amortization | $ 2,966 | $ 3,163 | $ 2,994 |
Schedule II (Details)
Schedule II (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for doubtful accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Year | $ 2,426 | $ 2,377 | $ 2,297 |
Additions Charged to Expenses | 2,136 | 882 | 1,706 |
Net Recoveries | (1,001) | (833) | (1,626) |
Balance at End of Year | 3,561 | 2,426 | 2,377 |
Valuation allowance for deferred tax assets | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Year | 1,413 | 2,882 | 5,705 |
Additions Charged to Expenses | 6 | 0 | 0 |
Net Recoveries | 0 | (1,469) | (2,823) |
Balance at End of Year | $ 1,419 | $ 1,413 | $ 2,882 |
Schedule III (Details)
Schedule III (Details) | 12 Months Ended | |||||||||
Dec. 31, 2018USD ($)unit | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($)ft² | Jan. 18, 2018ft² | Dec. 31, 2017USD ($) | Apr. 04, 2017ft² | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Initial Cost, Land | [1] | $ 643,569,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 1,558,627,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 771,620,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 614,659,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 2,359,157,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | $ 2,831,683,000 | $ 2,725,635,000 | $ 2,673,891,000 | 2,973,816,000 | [2] | $ 2,831,683,000 | ||||
Accumulated Depreciation at December 31, 2016 | $ 690,417,000 | 657,425,000 | 692,608,000 | $ 770,535,000 | 690,417,000 | |||||
Net Rentable Area | ft² | [3] | 9,667,000 | ||||||||
Units | unit | 4,268 | |||||||||
Real estate, federal income tax basis | $ 2,066,600,000 | |||||||||
Properties under development or held for future development | 87,231,000 | 54,422,000 | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, beginning of period | $ 2,831,683,000 | 2,725,635,000 | 2,673,891,000 | |||||||
Property acquisitions | [4] | 220,495,000 | 124,306,000 | 240,499,000 | ||||||
Improvements | [4] | 103,404,000 | 84,560,000 | 66,840,000 | ||||||
Impairment write-down | (2,177,000) | (81,982,000) | 0 | |||||||
Write-off of disposed assets | (2,132,000) | (2,655,000) | (1,272,000) | |||||||
Property sales | (177,457,000) | (18,181,000) | (254,323,000) | |||||||
Balance, end of period | 2,973,816,000 | [2] | 2,831,683,000 | 2,725,635,000 | ||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, beginning of period | 690,417,000 | 657,425,000 | 692,608,000 | |||||||
Depreciation | 98,141,000 | 94,558,000 | 88,347,000 | |||||||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation, Other Deduction | 291,000 | 48,830,000 | 0 | |||||||
Write-off of disposed assets | (1,859,000) | (1,708,000) | (486,000) | |||||||
Property sales | (15,873,000) | (11,028,000) | (123,044,000) | |||||||
Balance, end of period | $ 770,535,000 | $ 690,417,000 | $ 657,425,000 | |||||||
Minimum [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Useful Life | 3 years | |||||||||
Maximum [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Useful Life | 50 years | |||||||||
Multifamily [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Initial Cost, Land | 177,130,000 | |||||||||
Initial Cost, Buildings and Improvements | 473,916,000 | |||||||||
Net Improvements (Retirement) since Acquisition | 352,184,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 148,566,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 854,664,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | $ 1,003,230,000 | 1,003,230,000 | ||||||||
Accumulated Depreciation at December 31, 2016 | $ 217,137,000 | $ 217,137,000 | ||||||||
Net Rentable Area | ft² | 3,594,000 | |||||||||
Units | unit | 4,268 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | $ 1,003,230,000 | |||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 217,137,000 | |||||||||
3801 Connecticut [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 420,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 2,678,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 17,999,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 420,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 20,677,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 21,097,000 | 21,097,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 12,439,000 | $ 12,439,000 | ||||||||
Year of Construction | Jan. 1, 1951 | |||||||||
Date of Acquisition | Jan. 1, 1963 | |||||||||
Net Rentable Area | ft² | [3] | 178,000 | ||||||||
Units | unit | 307 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 21,097,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 12,439,000 | |||||||||
Roosevelt Towers [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 336,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 1,996,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 13,097,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 336,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 15,093,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 15,429,000 | 15,429,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 10,797,000 | $ 10,797,000 | ||||||||
Year of Construction | Jan. 1, 1964 | |||||||||
Date of Acquisition | May 1, 1965 | |||||||||
Net Rentable Area | ft² | [3] | 170,000 | ||||||||
Units | unit | 191 | |||||||||
Depreciation Life | [5] | 40 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 15,429,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 10,797,000 | |||||||||
Park Adams [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 287,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 1,654,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 13,326,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 287,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 14,980,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 15,267,000 | 15,267,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 10,562,000 | $ 10,562,000 | ||||||||
Year of Construction | Jan. 1, 1959 | |||||||||
Date of Acquisition | Jan. 1, 1969 | |||||||||
Net Rentable Area | ft² | [3] | 173,000 | ||||||||
Units | unit | 200 | |||||||||
Depreciation Life | [5] | 35 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 15,267,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 10,562,000 | |||||||||
The Ashby at McLean [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 4,356,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 17,102,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 25,934,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,356,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 43,036,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 47,392,000 | 47,392,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 27,080,000 | $ 27,080,000 | ||||||||
Year of Construction | Jan. 1, 1982 | |||||||||
Date of Acquisition | Aug. 1, 1996 | |||||||||
Net Rentable Area | ft² | [3] | 274,000 | ||||||||
Units | unit | 256 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 47,392,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 27,080,000 | |||||||||
Bethesda Hill Apartments [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 3,900,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 13,412,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 14,491,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 3,900,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 27,903,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 31,803,000 | 31,803,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 20,002,000 | $ 20,002,000 | ||||||||
Year of Construction | Jan. 1, 1986 | |||||||||
Date of Acquisition | Nov. 1, 1997 | |||||||||
Net Rentable Area | ft² | [3] | 225,000 | ||||||||
Units | unit | 195 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 31,803,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 20,002,000 | |||||||||
Bennett Park [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 2,861,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 917,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 81,091,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,774,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 80,095,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 84,869,000 | 84,869,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 37,404,000 | $ 37,404,000 | ||||||||
Year of Construction | Jan. 1, 2007 | |||||||||
Date of Acquisition | Feb. 1, 2001 | |||||||||
Net Rentable Area | ft² | [3] | 215,000 | ||||||||
Units | unit | 224 | |||||||||
Depreciation Life | [5] | 28 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 84,869,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 37,404,000 | |||||||||
The Clayborne [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 269,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 0 | ||||||||
Net Improvements (Retirement) since Acquisition | 31,192,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 699,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 30,762,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 31,461,000 | 31,461,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 16,021,000 | $ 16,021,000 | ||||||||
Year of Construction | Jan. 1, 2008 | |||||||||
Date of Acquisition | Jun. 1, 2003 | |||||||||
Net Rentable Area | ft² | [3] | 60,000 | ||||||||
Units | unit | 74 | |||||||||
Depreciation Life | [5] | 26 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 31,461,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 16,021,000 | |||||||||
The Kenmore [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1],[6] | $ 28,222,000 | ||||||||
Initial Cost, Buildings and Improvements | [1],[6] | 33,955,000 | ||||||||
Net Improvements (Retirement) since Acquisition | [6] | 19,457,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | [6] | 28,222,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [6] | 53,412,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[6] | $ 81,634,000 | 81,634,000 | |||||||
Accumulated Depreciation at December 31, 2016 | [6] | $ 16,038,000 | $ 16,038,000 | |||||||
Year of Construction | Jan. 1, 1948 | |||||||||
Date of Acquisition | [6] | Sep. 1, 2008 | ||||||||
Net Rentable Area | ft² | [3] | 268,000 | ||||||||
Units | unit | 374 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[6] | $ 81,634,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | [6] | $ 16,038,000 | ||||||||
The Maxwell [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 12,787,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 0 | ||||||||
Net Improvements (Retirement) since Acquisition | 38,086,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 12,848,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 38,025,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 50,873,000 | 50,873,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 8,919,000 | $ 8,919,000 | ||||||||
Year of Construction | Jan. 1, 2014 | |||||||||
Date of Acquisition | Jun. 1, 2011 | |||||||||
Net Rentable Area | ft² | [3] | 116,000 | ||||||||
Units | unit | 163 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 50,873,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 8,919,000 | |||||||||
The Paramount [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 8,568,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 38,716,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 2,727,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 8,568,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 41,443,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 50,011,000 | 50,011,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 9,614,000 | $ 9,614,000 | ||||||||
Year of Construction | Jan. 1, 1984 | |||||||||
Date of Acquisition | Oct. 1, 2013 | |||||||||
Net Rentable Area | ft² | [3] | 141,000 | ||||||||
Units | unit | 135 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 50,011,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 9,614,000 | |||||||||
Yale West [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1],[6] | $ 14,684,000 | ||||||||
Initial Cost, Buildings and Improvements | [1],[6] | 62,069,000 | ||||||||
Net Improvements (Retirement) since Acquisition | [6] | 1,288,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | [6] | 14,684,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [6] | 63,357,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[6] | $ 78,041,000 | 78,041,000 | |||||||
Accumulated Depreciation at December 31, 2016 | [6] | $ 11,170,000 | $ 11,170,000 | |||||||
Year of Construction | Jan. 1, 2011 | |||||||||
Date of Acquisition | [6] | Feb. 1, 2014 | ||||||||
Net Rentable Area | ft² | [3] | 173,000 | ||||||||
Units | unit | 216 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Loans Payable | $ 46,200,000 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[6] | $ 78,041,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | [6] | $ 11,170,000 | ||||||||
The Wellington [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | 30,548,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 116,563,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 12,236,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 30,548,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 128,799,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 159,347,000 | 159,347,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 16,484,000 | $ 16,484,000 | ||||||||
Year of Construction | Jan. 1, 1960 | |||||||||
Date of Acquisition | Jul. 1, 2015 | |||||||||
Net Rentable Area | ft² | 600,000 | |||||||||
Units | unit | 711 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 159,347,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 16,484,000 | |||||||||
The Wellington land parcel [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1],[7] | $ 15,000,000 | ||||||||
Initial Cost, Buildings and Improvements | [1],[7] | 0 | ||||||||
Net Improvements (Retirement) since Acquisition | [7] | 45,271,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 0 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [7] | 60,271,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[7] | $ 60,271,000 | 60,271,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 0 | 0 | ||||||||
Date of Acquisition | Jul. 1, 2015 | |||||||||
Properties under development or held for future development | 61,700,000 | 60,300,000 | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[7] | $ 60,271,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 0 | |||||||||
Riverside Apartments [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | 38,924,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 184,854,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 29,053,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 38,924,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 213,907,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 252,831,000 | 252,831,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 20,607,000 | $ 20,607,000 | ||||||||
Year of Construction | Jan. 1, 1971 | |||||||||
Date of Acquisition | May 20, 2016 | |||||||||
Net Rentable Area | ft² | 1,001,000 | |||||||||
Units | unit | 1,222 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 252,831,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 20,607,000 | |||||||||
Riverside Apartments land parcel [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1],[7] | $ 15,968,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 0 | ||||||||
Net Improvements (Retirement) since Acquisition | [7] | 6,936,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 0 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [7] | 22,904,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[7] | $ 22,904,000 | 22,904,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 0 | 0 | ||||||||
Date of Acquisition | May 20, 2016 | |||||||||
Properties under development or held for future development | 22,900,000 | $ 22,900,000 | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[7] | $ 22,904,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | 0 | |||||||||
Office Building [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Initial Cost, Land | 345,470,000 | |||||||||
Initial Cost, Buildings and Improvements | 835,213,000 | |||||||||
Net Improvements (Retirement) since Acquisition | 327,781,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 345,471,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 1,162,993,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | 1,508,464,000 | 1,508,464,000 | ||||||||
Accumulated Depreciation at December 31, 2016 | 402,272,000 | $ 402,272,000 | ||||||||
Net Rentable Area | ft² | 3,735,000 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | 1,508,464,000 | |||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 402,272,000 | |||||||||
1901 Pennsylvania Avenue [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 892,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 3,481,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 20,702,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 892,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 24,183,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 25,075,000 | 25,075,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 17,895,000 | $ 17,895,000 | ||||||||
Year of Construction | Jan. 1, 1960 | |||||||||
Date of Acquisition | May 1, 1977 | |||||||||
Net Rentable Area | ft² | 101,000 | |||||||||
Depreciation Life | [5] | 28 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 25,075,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 17,895,000 | |||||||||
1220 19th Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 7,803,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 11,366,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 15,878,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 7,803,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 27,244,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 35,047,000 | 35,047,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 17,343,000 | $ 17,343,000 | ||||||||
Year of Construction | Jan. 1, 1976 | |||||||||
Date of Acquisition | Nov. 1, 1995 | |||||||||
Net Rentable Area | ft² | 102,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 35,047,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 17,343,000 | |||||||||
1600 Wilson Boulevard [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 6,661,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 16,742,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 30,017,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 6,661,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 46,759,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 53,420,000 | 53,420,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 27,579,000 | $ 27,579,000 | ||||||||
Year of Construction | Jan. 1, 1973 | |||||||||
Date of Acquisition | Oct. 1, 1997 | |||||||||
Net Rentable Area | ft² | 170,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 53,420,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 27,579,000 | |||||||||
515 King Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 4,102,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 3,931,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 8,663,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,102,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 12,594,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 16,696,000 | 16,696,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 6,714,000 | $ 6,714,000 | ||||||||
Year of Construction | Jan. 1, 1966 | |||||||||
Date of Acquisition | Jul. 1, 1992 | |||||||||
Net Rentable Area | ft² | 74,000 | |||||||||
Depreciation Life | [5] | 50 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 16,696,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 6,714,000 | |||||||||
Silverline Center [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 12,049,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 71,825,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 101,406,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 12,049,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 173,231,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 185,280,000 | 185,280,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 95,527,000 | $ 95,527,000 | ||||||||
Year of Construction | Jan. 1, 1972 | |||||||||
Date of Acquisition | Nov. 1, 1997 | |||||||||
Net Rentable Area | ft² | 547,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 185,280,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 95,527,000 | |||||||||
Courthouse Square [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 0 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 17,096,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 10,000,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 0 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 27,096,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 27,096,000 | 27,096,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 16,505,000 | $ 16,505,000 | ||||||||
Year of Construction | Jan. 1, 1979 | |||||||||
Date of Acquisition | Oct. 1, 2000 | |||||||||
Net Rentable Area | ft² | 119,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 27,096,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 16,505,000 | |||||||||
1776 G Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 31,500,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 54,327,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 9,765,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 31,500,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 64,092,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 95,592,000 | 95,592,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 34,375,000 | $ 34,375,000 | ||||||||
Year of Construction | Jan. 1, 1979 | |||||||||
Date of Acquisition | Aug. 1, 2003 | |||||||||
Net Rentable Area | ft² | 262,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 95,592,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 34,375,000 | |||||||||
Monument II [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 10,244,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 65,205,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 10,745,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 10,244,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 75,950,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 86,194,000 | 86,194,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 32,037,000 | $ 32,037,000 | ||||||||
Year of Construction | Jan. 1, 2000 | |||||||||
Date of Acquisition | Mar. 1, 2007 | |||||||||
Net Rentable Area | ft² | 209,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 86,194,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 32,037,000 | |||||||||
2000 M Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 0 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 61,101,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 23,929,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 0 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 85,030,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 85,030,000 | 85,030,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 34,798,000 | $ 34,798,000 | ||||||||
Year of Construction | Jan. 1, 1971 | |||||||||
Date of Acquisition | Dec. 1, 2007 | |||||||||
Net Rentable Area | ft² | 232,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 85,030,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 34,798,000 | |||||||||
925 Corporate Drive [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 4,518,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 24,801,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 1,960,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,518,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 26,761,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 31,279,000 | 31,279,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 10,852,000 | $ 10,852,000 | ||||||||
Year of Construction | Jan. 1, 2007 | |||||||||
Date of Acquisition | Jun. 1, 2010 | |||||||||
Net Rentable Area | ft² | 135,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 31,279,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 10,852,000 | |||||||||
1000 Corporate Drive [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 4,897,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 25,376,000 | ||||||||
Net Improvements (Retirement) since Acquisition | (123,000) | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,898,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 25,252,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 30,150,000 | 30,150,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 9,953,000 | $ 9,953,000 | ||||||||
Year of Construction | Jan. 1, 2009 | |||||||||
Date of Acquisition | Jun. 1, 2010 | |||||||||
Net Rentable Area | ft² | 137,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 30,150,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 9,953,000 | |||||||||
1140 Connecticut Avenue [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 25,226,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 50,495,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 17,842,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 25,226,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 68,337,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 93,563,000 | 93,563,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 21,610,000 | $ 21,610,000 | ||||||||
Year of Construction | Jan. 1, 1966 | |||||||||
Date of Acquisition | Jan. 1, 2011 | |||||||||
Net Rentable Area | ft² | 183,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 93,563,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 21,610,000 | |||||||||
1227 25th Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 17,505,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 21,319,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 9,465,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 17,505,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 30,784,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 48,289,000 | 48,289,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 9,924,000 | $ 9,924,000 | ||||||||
Year of Construction | Jan. 1, 1988 | |||||||||
Date of Acquisition | Mar. 1, 2011 | |||||||||
Net Rentable Area | ft² | 134,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 48,289,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 9,924,000 | |||||||||
John Marshall II Member | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 13,490,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 53,024,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 9,522,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 13,490,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 62,546,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 76,036,000 | 76,036,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 16,479,000 | $ 16,479,000 | ||||||||
Year of Construction | Jan. 1, 1996 | |||||||||
Date of Acquisition | Sep. 1, 2011 | |||||||||
Net Rentable Area | ft² | 223,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 76,036,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 16,479,000 | |||||||||
Fairgate at Ballston [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 17,750,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 29,885,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 6,630,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 17,750,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 36,515,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 54,265,000 | 54,265,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 10,841,000 | $ 10,841,000 | ||||||||
Year of Construction | Jan. 1, 1988 | |||||||||
Date of Acquisition | Jun. 1, 2012 | |||||||||
Net Rentable Area | ft² | 144,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 54,265,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 10,841,000 | |||||||||
The Army Navy Club Building [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1],[6] | $ 30,796,000 | ||||||||
Initial Cost, Buildings and Improvements | [1],[6] | 39,315,000 | ||||||||
Net Improvements (Retirement) since Acquisition | [6] | 12,935,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | [6] | 30,796,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [6] | 52,250,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[6] | $ 83,046,000 | 83,046,000 | |||||||
Accumulated Depreciation at December 31, 2016 | [6] | $ 10,195,000 | $ 10,195,000 | |||||||
Year of Construction | Jan. 1, 1912 | |||||||||
Date of Acquisition | Mar. 1, 2014 | |||||||||
Net Rentable Area | ft² | 108,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[6] | $ 83,046,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | [6] | $ 10,195,000 | ||||||||
1775 Eye Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 48,086,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 51,074,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 14,384,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 48,086,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 65,458,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 113,544,000 | 113,544,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 13,880,000 | $ 13,880,000 | ||||||||
Year of Construction | Jan. 1, 1964 | |||||||||
Date of Acquisition | May 1, 2014 | |||||||||
Net Rentable Area | ft² | 186,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 113,544,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 13,880,000 | |||||||||
Watergate 600 [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | $ 45,981,000 | |||||||||
Initial Cost, Buildings and Improvements | 78,325,000 | |||||||||
Net Improvements (Retirement) since Acquisition | 18,830,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 45,981,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 97,155,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | $ 143,136,000 | 143,136,000 | ||||||||
Accumulated Depreciation at December 31, 2016 | $ 8,826,000 | 8,826,000 | ||||||||
Year of Construction | Jan. 1, 1972 | |||||||||
Date of Acquisition | Apr. 1, 2017 | |||||||||
Net Rentable Area | ft² | 278,000 | |||||||||
Depreciation Life | 30 years | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | $ 143,136,000 | |||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 8,826,000 | |||||||||
Arlington Tower [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | 63,970,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 156,525,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 5,231,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 63,970,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 161,756,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 225,726,000 | 225,726,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 6,939,000 | 6,939,000 | ||||||||
Year of Construction | Jan. 1, 1980 | |||||||||
Date of Acquisition | Jan. 1, 2018 | |||||||||
Net Rentable Area | ft² | 391,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 225,726,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | 6,939,000 | |||||||||
Retail Site [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Initial Cost, Land | 120,969,000 | |||||||||
Initial Cost, Buildings and Improvements | 249,498,000 | |||||||||
Net Improvements (Retirement) since Acquisition | 91,655,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 120,622,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 341,500,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | 462,122,000 | 462,122,000 | ||||||||
Accumulated Depreciation at December 31, 2016 | 151,126,000 | $ 151,126,000 | ||||||||
Net Rentable Area | ft² | 2,338,000 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | 462,122,000 | |||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 151,126,000 | |||||||||
Takoma Park [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 415,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 1,084,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 261,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 366,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 1,394,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 1,760,000 | 1,760,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 1,201,000 | $ 1,201,000 | ||||||||
Year of Construction | Jan. 1, 1962 | |||||||||
Date of Acquisition | Jul. 1, 1963 | |||||||||
Net Rentable Area | ft² | 51,000 | |||||||||
Depreciation Life | [5] | 50 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 1,760,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 1,201,000 | |||||||||
Westminster [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 519,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 1,775,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 9,900,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 519,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 11,675,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 12,194,000 | 12,194,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 8,282,000 | $ 8,282,000 | ||||||||
Year of Construction | Jan. 1, 1969 | |||||||||
Date of Acquisition | Sep. 1, 1972 | |||||||||
Net Rentable Area | ft² | 150,000 | |||||||||
Depreciation Life | [5] | 37 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 12,194,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 8,282,000 | |||||||||
Concord Centre [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 413,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 850,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 6,185,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 413,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 7,035,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 7,448,000 | 7,448,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 3,826,000 | $ 3,826,000 | ||||||||
Year of Construction | Jan. 1, 1960 | |||||||||
Date of Acquisition | Dec. 1, 1973 | |||||||||
Net Rentable Area | ft² | 75,000 | |||||||||
Depreciation Life | [5] | 33 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 7,448,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 3,826,000 | |||||||||
Wheaton Park [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 796,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 857,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 4,877,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 796,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 5,734,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 6,530,000 | 6,530,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 4,279,000 | $ 4,279,000 | ||||||||
Year of Construction | Jan. 1, 1967 | |||||||||
Date of Acquisition | Sep. 1, 1977 | |||||||||
Net Rentable Area | ft² | 74,000 | |||||||||
Depreciation Life | [5] | 50 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 6,530,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 4,279,000 | |||||||||
Bradlee [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 4,152,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 5,383,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 14,746,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,152,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 20,129,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 24,281,000 | 24,281,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 13,582,000 | $ 13,582,000 | ||||||||
Year of Construction | Jan. 1, 1955 | |||||||||
Date of Acquisition | Dec. 1, 1984 | |||||||||
Net Rentable Area | ft² | 171,000 | |||||||||
Depreciation Life | [5] | 40 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 24,281,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 13,582,000 | |||||||||
Chevy Chase Metro Plaza [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | $ 1,549,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 4,304,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 8,340,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 1,549,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 12,644,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 14,193,000 | 14,193,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 7,821,000 | $ 7,821,000 | ||||||||
Year of Construction | Jan. 1, 1975 | |||||||||
Date of Acquisition | Sep. 1, 1985 | |||||||||
Net Rentable Area | ft² | 49,000 | |||||||||
Depreciation Life | [5] | 50 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 14,193,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 7,821,000 | |||||||||
Shoppes of Foxchase [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 5,838,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 2,979,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 14,953,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 5,838,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 17,932,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 23,770,000 | 23,770,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 8,537,000 | $ 8,537,000 | ||||||||
Year of Construction | Jan. 1, 1960 | |||||||||
Date of Acquisition | Jun. 1, 1994 | |||||||||
Net Rentable Area | ft² | 134,000 | |||||||||
Depreciation Life | [5] | 50 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 23,770,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 8,537,000 | |||||||||
Frederick County Square [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 6,561,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 6,830,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 5,422,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 6,561,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 12,252,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 18,813,000 | 18,813,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 8,770,000 | $ 8,770,000 | ||||||||
Year of Construction | Jan. 1, 1973 | |||||||||
Date of Acquisition | Aug. 1, 1995 | |||||||||
Net Rentable Area | ft² | 227,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 18,813,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 8,770,000 | |||||||||
800 S. Washington Street [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Virginia | |||||||||
Initial Cost, Land | [1] | $ 2,904,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 5,489,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 6,144,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 2,904,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 11,633,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 14,537,000 | 14,537,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 5,826,000 | $ 5,826,000 | ||||||||
Year of Construction | Jan. 1, 1955 | |||||||||
Date of Acquisition | Jun. 1, 1998 | |||||||||
Net Rentable Area | ft² | 46,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 14,537,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 5,826,000 | |||||||||
Centre at Hagerstown . [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 13,029,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 25,415,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 2,166,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 13,029,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 27,581,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 40,610,000 | 40,610,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 15,294,000 | $ 15,294,000 | ||||||||
Year of Construction | Jan. 1, 2000 | |||||||||
Date of Acquisition | Jun. 1, 2002 | |||||||||
Net Rentable Area | ft² | 333,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 40,610,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 15,294,000 | |||||||||
Frederick Crossing [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 12,759,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 35,477,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 1,660,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 12,759,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 37,137,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 49,896,000 | 49,896,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 18,011,000 | $ 18,011,000 | ||||||||
Year of Construction | Jan. 1, 1999 | |||||||||
Date of Acquisition | Mar. 1, 2005 | |||||||||
Net Rentable Area | ft² | 295,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 49,896,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 18,011,000 | |||||||||
Randolph Shopping Center [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 4,928,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 13,025,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 1,200,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 4,928,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 14,225,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 19,153,000 | 19,153,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 6,329,000 | $ 6,329,000 | ||||||||
Year of Construction | Jan. 1, 1972 | |||||||||
Date of Acquisition | May 1, 2006 | |||||||||
Net Rentable Area | ft² | 82,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 19,153,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 6,329,000 | |||||||||
Montrose Shopping Center [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 11,612,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 22,410,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 2,455,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 11,020,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 25,457,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 36,477,000 | 36,477,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 10,997,000 | $ 10,997,000 | ||||||||
Year of Construction | Jan. 1, 1970 | |||||||||
Date of Acquisition | May 1, 2006 | |||||||||
Net Rentable Area | ft² | 147,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 36,477,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 10,997,000 | |||||||||
Gateway Overlook [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1] | $ 28,816,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 52,249,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 2,417,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 29,110,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 54,372,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 83,482,000 | 83,482,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 21,460,000 | $ 21,460,000 | ||||||||
Year of Construction | Jan. 1, 2007 | |||||||||
Date of Acquisition | Dec. 1, 2010 | |||||||||
Net Rentable Area | ft² | 220,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 83,482,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 21,460,000 | |||||||||
Olney Village Center Member | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Maryland | |||||||||
Initial Cost, Land | [1],[6] | $ 15,842,000 | ||||||||
Initial Cost, Buildings and Improvements | [1],[6] | 39,133,000 | ||||||||
Net Improvements (Retirement) since Acquisition | [6] | 2,306,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | [6] | 15,842,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | [6] | 41,439,000 | ||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2],[6] | $ 57,281,000 | 57,281,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 11,320,000 | $ 11,320,000 | ||||||||
Year of Construction | Jan. 1, 1979 | |||||||||
Date of Acquisition | [6] | Aug. 1, 2011 | ||||||||
Net Rentable Area | ft² | 199,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Loans Payable | $ 11,200,000 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2],[6] | $ 57,281,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 11,320,000 | |||||||||
Spring Vally Retail Center [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Location | Washington, DC | |||||||||
Initial Cost, Land | [1] | 10,836,000 | ||||||||
Initial Cost, Buildings and Improvements | [1] | 32,238,000 | ||||||||
Net Improvements (Retirement) since Acquisition | 8,623,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Land | 10,836,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Buildings and Improvements | 40,861,000 | |||||||||
Gross Amounts at Which Carried at December 31, 2016, Total | [2] | $ 51,697,000 | 51,697,000 | |||||||
Accumulated Depreciation at December 31, 2016 | $ 5,591,000 | $ 5,591,000 | ||||||||
Year of Construction | Jan. 1, 1941 | |||||||||
Date of Acquisition | Oct. 1, 2014 | |||||||||
Net Rentable Area | ft² | 85,000 | |||||||||
Depreciation Life | [5] | 30 years | ||||||||
Properties under development or held for future development | $ 6,500,000 | |||||||||
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||||||||||
Balance, end of period | [2] | $ 51,697,000 | ||||||||
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward] | ||||||||||
Balance, end of period | $ 5,591,000 | |||||||||
The Ashby at McLean and Spring Valley Village [Member] | ||||||||||
Real Estate and Accumulated Depreciation [Line Items] | ||||||||||
Properties under development or held for future development | $ 4,000,000 | |||||||||
[1] | The purchase cost of real estate investments has been divided between land and buildings and improvements on the basis of management’s determination of the fair values. | |||||||||
[2] | At December 31, 2018, total land, buildings and improvements are carried at $2,066.6 million for federal income tax purposes. | |||||||||
[3] | As of December 31, 2018, Washington REIT had under development multifamily properties, the Wellington land parcel (Trove) and Riverside Apartments land parcel. The value not yet placed into service at December 31, 2018 was $60.3 million and $22.9 million, respectively. | |||||||||
[4] | Includes non-cash accruals for capital items. | |||||||||
[5] | The useful life shown is for the main structure. Buildings and improvements are depreciated over various useful lives ranging from 3 to 50 years. | |||||||||
[6] | At December 31, 2018, our properties were encumbered by non-recourse mortgage amounts as follows: $11.2 million on Olney Village Center and $46.2 million on Yale West. Mortgage amounts exclude premiums and debt loan costs. | |||||||||
[7] | As of December 31, 2018, Washington REIT had investments in various development, redevelopment and renovation projects, including Spring Valley Village and The Ashby at McLean. The total value of these projects, which has not yet been placed in service, is $4.0 million at December 31, 2018 |