Document And Entity Information
Document And Entity Information - USD ($) shares in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 15, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | Lightstone Value Plus Real Estate Investment Trust, Inc. | ||
Entity Central Index Key | 1,296,884 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Public Float | $ 0 | ||
Entity Common Stock, Shares Outstanding | 25 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Net investment property | $ 232,341 | $ 275,437 |
Investment in unconsolidated affiliated real estate entity | 0 | 1,989 |
Investment in related parties | 142,752 | 139,809 |
Cash and cash equivalents | 105,539 | 68,459 |
Marketable securities, available for sale | 52,495 | 81,016 |
Restricted escrows | 2,818 | 7,672 |
Tenant and other accounts receivable | 1,875 | 2,078 |
Mortgage receivable | 4,893 | 5,040 |
Intangible assets, net | 693 | 1,087 |
Prepaid expenses and other assets | 3,889 | 5,557 |
Total Assets | 547,295 | 588,144 |
Liabilities and Stockholders’ Equity | ||
Mortgages payable, net | 183,313 | 226,647 |
Notes payable, net | 18,586 | 18,609 |
Accounts payable, accrued expenses and other liabilities | 18,827 | 14,379 |
Due to related parties | 573 | 0 |
Tenant allowances and deposits payable | 1,429 | 2,030 |
Distributions payable | 4,432 | 4,528 |
Deferred rental income | 1,105 | 1,204 |
Acquired below market lease intangibles, net | 446 | 597 |
Total Liabilities | 228,711 | 267,994 |
Commitments and contingencies (See Note 18) | ||
Company’s Stockholders Equity: | ||
Preferred shares, $0.01 par value, 10,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $0.01 par value; 60,000 shares authorized, 25,101 and 25,639 shares issued and outstanding, respectively | 251 | 256 |
Additional paid-in-capital | 197,036 | 202,068 |
Accumulated other comprehensive income | 15,954 | 18,776 |
Accumulated surplus | 84,240 | 67,961 |
Total Company’s stockholders’ equity | 297,481 | 289,061 |
Noncontrolling interests | 21,103 | 31,089 |
Total Stockholders’ Equity | 318,584 | 320,150 |
Total Liabilities and Stockholders’ Equity | $ 547,295 | $ 588,144 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Preferred shares, par value | $ 0.01 | $ 0.01 |
Preferred shares, shares authorized | 10,000 | 10,000 |
Preferred shares, shares issued | 0 | 0 |
Preferred shares, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 60,000 | 60,000 |
Common stock, shares issued | 25,101 | 25,639 |
Common stock, shares outstanding | 25,101 | 25,639 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues: | |||
Rental income | $ 36,960 | $ 41,249 | $ 42,612 |
Tenant recovery income | 4,018 | 4,418 | 4,709 |
Other service income | 11,016 | 10,183 | 9,968 |
Total revenues | 51,994 | 55,850 | 57,289 |
Expenses: | |||
Property operating expenses | 27,130 | 28,280 | 27,992 |
Real estate taxes | 3,085 | 3,521 | 3,617 |
General and administrative costs | 5,028 | 5,009 | 6,707 |
Depreciation and amortization | 11,377 | 11,544 | 12,038 |
Total operating expenses | 46,620 | 48,354 | 50,354 |
Operating income | 5,374 | 7,496 | 6,935 |
Mark to market adjustment on derivative financial instruments | 67 | (223) | (199) |
Interest and dividend income | 19,567 | 11,317 | 13,972 |
Interest expense | (13,689) | (15,145) | (15,492) |
Gain on disposition of unconsolidated affiliated real estate entities | 0 | 0 | 4,418 |
Gain on disposition of real estate, net | 23,705 | 0 | 9,114 |
(Loss)/gain on sale and redemption of marketable securities (includes loss/(gain) of $327, ($41,460), ($468), respectively, of accumulated other comprehensive income reclassifications) | (964) | 34,710 | 1,445 |
Income from investments in unconsolidated affiliated real estate entities | 0 | 5,804 | 821 |
Other income, net | 1,392 | 2,002 | 913 |
Net income from continuing operations | 35,452 | 45,961 | 21,927 |
Net income from discontinued operations | 0 | 18,731 | 278 |
Net income | 35,452 | 64,692 | 22,205 |
Less: net income attributable to noncontrolling interests | (1,371) | (4,468) | (1,329) |
Net income attributable to Company’s common shares | $ 34,081 | $ 60,224 | $ 20,876 |
Basic and diluted earnings per Company’s common share: | |||
Continuing operations | $ 1.34 | $ 1.60 | $ 0.80 |
Discontinued operations | 0 | 0.73 | 0.01 |
Net earnings per Company’s common share | $ 1.34 | $ 2.33 | $ 0.81 |
Weighted average number of common shares outstanding, basic and diluted | 25,426 | 25,828 | 25,795 |
CONSOLIDATED STATEMENTS OF OPE5
CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
(Loss)/gain on sale and redemption of marketable securities | $ 327,000 | $ (41,460) | $ (468,000) |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income | $ 35,452 | $ 64,692 | $ 22,205 |
Other comprehensive (loss)/income: | |||
Holding (loss)/gain on available for sale securities | (3,500) | 6,289 | 18,948 |
Reclassification adjustment for loss/(gain) included in net income | 327 | (41,460) | (468) |
Other comprehensive(loss)/income | (3,173) | (35,171) | 18,480 |
Comprehensive income | 32,279 | 29,521 | 40,685 |
Less: Comprehensive income attributable to noncontrolling interests | (1,020) | (1,192) | (3,188) |
Comprehensive income attributable to the Company's common shares | $ 31,259 | $ 28,329 | $ 37,497 |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income [Member] | Accumulated Surplus [Member] | Total Noncontrolling Interests [Member] |
BALANCE at Dec. 31, 2013 | $ 308,125 | $ 256 | $ 211,447 | $ 34,050 | $ 23,002 | $ 39,370 |
BALANCE (in shares) at Dec. 31, 2013 | 25,635 | |||||
Net income | 22,205 | $ 0 | 0 | 0 | 20,876 | 1,329 |
Other comprehensive income (loss) | 18,480 | 0 | 0 | 16,621 | 0 | 1,859 |
Distributions declared | (18,064) | 0 | 0 | 0 | (18,064) | 0 |
Distributions paid to noncontrolling interests | (15,082) | 0 | 0 | 0 | 0 | (15,082) |
Contributions received from noncontrolling interests | 215 | 0 | 0 | 0 | 0 | 215 |
Redemption and cancellation of shares and noncontrolling interests | (5,615) | $ (3) | (13,159) | 0 | 0 | 7,547 |
Redemption and cancellation of shares and noncontrolling interests (in shares) | (297) | |||||
Shares issued from distribution reinvestment program | 5,739 | $ 5 | 5,734 | 0 | 0 | 0 |
Shares issued from distribution reinvestment program (in shares) | 512 | |||||
BALANCE at Dec. 31, 2014 | 316,003 | $ 258 | 204,022 | 50,671 | 25,814 | 35,238 |
BALANCE (in shares) at Dec. 31, 2014 | 25,850 | |||||
Net income | 64,692 | $ 0 | 0 | 0 | 60,224 | 4,468 |
Other comprehensive income (loss) | (35,171) | 0 | 0 | (31,895) | 0 | (3,276) |
Distributions declared | (18,077) | 0 | 0 | 0 | (18,077) | 0 |
Distributions paid to noncontrolling interests | (5,393) | 0 | 0 | 0 | 0 | (5,393) |
Contributions received from noncontrolling interests | 227 | 0 | 0 | 0 | 0 | 227 |
Redemption and cancellation of shares and noncontrolling interests | (3,584) | $ (3) | (3,406) | 0 | 0 | (175) |
Redemption and cancellation of shares and noncontrolling interests (in shares) | (341) | |||||
Shares issued from distribution reinvestment program | 1,453 | $ 1 | 1,452 | 0 | 0 | 0 |
Shares issued from distribution reinvestment program (in shares) | 130 | |||||
BALANCE at Dec. 31, 2015 | 320,150 | $ 256 | 202,068 | 18,776 | 67,961 | 31,089 |
BALANCE (in shares) at Dec. 31, 2015 | 25,639 | |||||
Net income | 35,452 | 0 | 0 | 34,081 | 1,371 | |
Other comprehensive income (loss) | (3,173) | $ 0 | 0 | (2,822) | 0 | (351) |
Distributions declared | (17,802) | 0 | 0 | 0 | (17,802) | 0 |
Distributions paid to noncontrolling interests | (11,014) | 0 | 0 | 0 | 0 | (11,014) |
Contributions received from noncontrolling interests | 8 | 0 | 0 | 0 | 0 | 8 |
Redemption and cancellation of shares and noncontrolling interests | (5,037) | $ (5) | (5,032) | 0 | 0 | 0 |
Redemption and cancellation of shares and noncontrolling interests (in shares) | (538) | |||||
BALANCE at Dec. 31, 2016 | $ 318,584 | $ 251 | $ 197,036 | $ 15,954 | $ 84,240 | $ 21,103 |
BALANCE (in shares) at Dec. 31, 2016 | 25,101 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 35,452 | $ 64,692 | $ 22,205 |
Less net income - discontinued operations | 0 | 18,731 | 278 |
Net income - continuing operations | 35,452 | 45,961 | 21,927 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 11,377 | 11,544 | 12,038 |
Loss/(gain) on sale of marketable securities available for sale | 964 | (34,710) | (1,445) |
Gain on disposition of unconsolidated affiliated real estate entities | 0 | 0 | (4,418) |
Gain on disposition of real estate | (23,705) | 0 | (9,114) |
Mark to market adjustment on derivative financial instruments | (67) | 223 | 199 |
Income from investments in unconsolidated affiliated real estate entities | 0 | (5,804) | (821) |
Other non-cash adjustments | 629 | 310 | 1,091 |
Changes in assets and liabilities: | |||
Decrease/(increase) in prepaid expenses and other assets | 424 | 813 | (1,095) |
(Increase)/decrease in tenant and other accounts receivable | (85) | (341) | 625 |
Decrease/(increase) in tenant allowance and deposits payable | (537) | 20 | 127 |
Increase in accounts payable, accrued expenses and other liabilities | 4,254 | 2,125 | 1,384 |
Increase/(decrease) in due to related parties | 573 | (339) | (171) |
(Decrease)/increase in deferred rental income | (99) | 37 | (242) |
Net cash provided by operating activities - continuing operations | 29,180 | 19,839 | 20,085 |
Net cash provided by operating activities - discontinued operations | 0 | 1,259 | 7,862 |
Net cash provided by operating activities | 29,180 | 21,098 | 27,947 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Purchase of investment property, net | (3,759) | (12,751) | (7,247) |
Purchase of marketable securities available for sale | (4,183) | (5,113) | (21,635) |
Proceeds from sale of marketable securities available for sale | 28,567 | 78,454 | 33,125 |
Settlement of derivative financial instrument | 0 | 0 | (3,543) |
Proceeds from disposition of investments in unconsolidated affiliated real estate entities | 0 | 0 | 4,418 |
Collections on mortgage receivable | 147 | 139 | 131 |
Deposits for purchase of real estate, net of refunds | 0 | 170 | (50) |
Contributions to investment in unconsolidated affiliated real estate entity | 0 | (1,568) | 0 |
Preferred investments in related parties | (61,469) | (103,158) | (36,637) |
Proceeds from preferred investments in related parties | 58,522 | 0 | 0 |
Distribution from investments in unconsolidated affiliated real estate entities | 1,989 | 15,230 | 470 |
Release of restricted escrows | 5,208 | 922 | 6,550 |
Proceeds from sale of investment property | 60,662 | 6,202 | 37,051 |
Net cash (used in)/provided by investing activities - continuing operations | 85,684 | (21,473) | 12,633 |
Net cash provided by/(used in) investing activities - discontinued operations | 0 | 92,425 | 3,159 |
Net cash provided by/(used in) investing activities | 85,684 | 70,952 | 15,792 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Proceeds from mortgage financing | 20,400 | 3,863 | 75,278 |
Mortgage payments | (63,470) | (2,406) | (73,405) |
Payment of loan fees and expenses | (773) | (69) | (971) |
Payment of notes payable | 0 | (19,957) | (1,600) |
Redemption and cancellation of common shares | (5,037) | (3,409) | (5,615) |
Contributions received from noncontrolling interests | 8 | 227 | 215 |
Distributions paid to noncontrolling interests | (11,014) | (5,393) | (15,082) |
Distributions paid to Company's stockholders | (17,898) | (16,662) | (12,284) |
Net cash used in financing activities - continuing operations | (77,784) | (43,806) | (33,464) |
Net cash used in financing activities - discontinued operations | 0 | (34,314) | (8,645) |
Net cash used in by financing activities | (77,784) | (78,120) | (42,109) |
Net change in cash and cash equivalents | 37,080 | 13,930 | 1,630 |
Cash and cash equivalents, beginning of year | 68,459 | 54,529 | 0 |
Cash and cash equivalents, end of year | $ 105,539 | $ 68,459 | $ 54,529 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2016 | |
Organization [Abstract] | |
Organization | 1. Organization Lightstone Value Plus Real Estate Investment Trust, Inc., a Maryland corporation (“Lightstone REIT”) was formed on June 8, 2004 Lightstone REIT is structured as an umbrella partnership real estate investment trust, or UPREIT, and substantially all of the Company’s current and future business is and will be conducted through Lightstone Value Plus REIT, L.P., a Delaware limited partnership formed on July 12, 2004 98 The Lightstone REIT and the Operating Partnership and its subsidiaries are collectively referred to as the ‘‘Company’’ and the use of ‘‘we,’’ ‘‘our,’’ ‘‘us’’ or similar pronouns refers to the Lightstone REIT, its Operating Partnership or the Company as required by the context in which such pronoun is used. The Company is managed by Lightstone Value Plus REIT, LLC (the “Advisor”), an affiliate of the Lightstone Group, Inc., under the terms and conditions of an advisory agreement. The Lightstone Group, Inc. previously served as the Company’s sponsor (the “Sponsor”) during its initial public offering, which closed on October 10, 2008. Subject to the oversight of the Company’s board of directors (the “Board of Directors”), the Advisor has primary responsibility for making investment decisions and managing the Company’s day-to-day operations. Through his ownership and control of The Lightstone Group, David Lichtenstein is the indirect owner of the Advisor and the indirect owner and manager of Lightstone SLP, LLC, which has subordinated profits interests (“SLP units”) in the Operating Partnership. Mr. Lichtenstein also acts as the Company’s Chairman and Chief Executive Officer. As a result, he exerts influence over but does not control Lightstone REIT or the Operating Partnership. The Company’s stock is not currently listed on a national securities exchange. The Company may seek to list its stock for trading on a national securities exchange only if a majority of its independent directors believe listing would be in the best interest of its stockholders. The Company does not intend to list its shares at this time. The Company does not anticipate that there would be any market for its shares of common stock until they are listed for trading. In the event the Company does not obtain listing prior to October 10, 2018 (the tenth anniversary of the completion of its initial public offering,) its charter requires that the Board of Directors must either (i) seek stockholder approval of an extension or amendment of this listing deadline; or (ii) seek stockholder approval to adopt a plan of liquidation of the corporation. As of December 31, 2016, on a collective basis, the Company wholly or majority owned and consolidated the operating results and financial condition of three retail properties containing a total of approximately 0.7 14 1.0 199 86 62 98 86 67 Discontinued Operations During the first quarter of 2015, a portfolio of 11 of the Company’s hotel hospitality properties (the “LVP REIT Hotels”) met the criteria to be classified as held for sale. The operating results of the LVP REIT Hotels, through its date of disposition, have been classified as discontinued operations in the consolidated statements of operations for all periods presented. See Note 3 for additional information. On January 22, 2014, the Company disposed of Crowe’s Crossing Shopping Center, (“Crowe’s Crossing”) a retail shopping center located in Stone Mountain, Georgia. The operating results of Crowe’s Crossing, through its date of disposition, have been classified as discontinued operations in the consolidated statements of operations for all periods presented. Noncontrolling Interests Partners of Operating Partnership On July 6, 2004, the Advisor contributed $ 2 200 In connection with the Company’s initial public offering, through March 2009 Lightstone SLP, LLC, an affiliate of the Advisor, purchased an aggregate of $ 30.0 100,000 In addition, during the years ended December 31, 2008 and 2009, the Operating Partnership issued at total of (i) 497,209 93,616 93.6 36.8 40.0 43,516 43.5 50,100 50.1 See Note 13 for further discussion of noncontrolling interests. Operating Partnership Activity Acquisitions and Investments: Through its Operating Partnership, the Company has and will continue to seek to acquire and operate commercial, residential, and hospitality properties, principally in the United States. The Company’s commercial holdings consist of retail (primarily multi-tenanted shopping centers), lodging and industrial. All such properties have been or will be acquired and operated by the Company alone or jointly with another party. Related Parties: Properties acquired and development activities have been and may continue to be managed by affiliates of Lightstone Value Plus REIT Management LLC (collectively, the “Property Managers”). The Company’s Advisor and its affiliates, the Property Managers and Lightstone SLP, LLC are related parties of the Company. Certain of these entities have received or will receive compensation and fees for services provided for the investment and management of the Company’s assets. These entities have and/or receive fees during the Company’s offering stage (which was completed on October 10, 2008), acquisition, operational and liquidation stages. The compensation levels during the offering, acquisition and operational stages are based on percentages of the offering proceeds raised, the contractual purchase price of the acquired properties and the annual revenue earned from such properties, and other such fees outlined in each of the respective agreements. See Note 14 for additional information. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies The consolidated financial statements include the accounts of Lightstone REIT and the Operating Partnership and its subsidiaries (over which the Company exercises financial and operating control). As of December 31, 2016, Lightstone REIT had a 98 The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during a reporting period. The most significant assumptions and estimates relate to the valuation of real estate, depreciable lives, and revenue recognition. Application of these assumptions requires the exercise of judgment as to future uncertainties and, as a result, actual results could differ from these estimates. Investments in entities where the Company has the ability to exercise significant influence, but does not exercise financial and operating control, and is not considered to be the primary beneficiary of a variable interest entity will be accounted for using the equity method. Investments in entities where the Company has virtually no influence will be accounted for using the cost method. The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. All cash equivalents are held in money market funds. To date, the Company has not experienced any losses on its cash and cash equivalents. For the Years Ended December 31, December 31, December 31, 2016 2015 2014 Cash paid for interest $ 9,152 $ 12,889 $ 16,810 Distributions declared $ 17,802 $ 18,077 $ 18,064 Value of shares issued from distribution reinvestment program $ - $ 1,453 $ 5,739 Non cash purchase of investment property $ 126 $ 320 $ 776 Debt assumed by joint venture in connection with disposition $ - $ 32,800 $ - Assignment of minority interest loans to joint venture in connection with disposition $ - $ 547 $ - Marketable securities consist of equity and debt securities that are designated as available-for-sale and are recorded at fair value. Unrealized holding gains or losses are reported as a component of accumulated other comprehensive income/(loss). Realized gains or losses resulting from the sale of these securities are determined based on the specific identification of the securities sold. An impairment charge is recognized when the decline in the fair value of a security below the amortized cost basis is determined to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the duration and severity of any decline in fair value below our amortized cost basis, any adverse changes in the financial condition of the issuers’ and its intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. The Board has authorized the Company from time to time to invest the Company’s available cash in marketable securities of real estate related companies. The Board has approved investments of marketable securities of real estate companies up to 30% of the Company’s total assets to be made at the Company’s discretion, subject to compliance with any REIT or other restrictions. Minimum rents are recognized on a straight-line accrual basis, over the terms of the related leases. The capitalized above-market lease values and the capitalized below-market lease values are amortized as an adjustment to rental income over the initial lease term, including any below-market renewal periods taken into account. Percentage rents, which are based on commercial tenants’ sales, are recognized once the sales reported by such tenants exceed any applicable breakpoints as specified in the tenants’ leases. Recoveries from commercial tenants for real estate taxes, insurance and other operating expenses, and from residential tenants for utility costs, are recognized as revenues in the period that the applicable costs are incurred. Room revenue for the hotel properties are recognized as stays occur, using the accrual method of accounting. Amounts paid in advance are deferred until stays occur. Other service income consists of revenues from food and beverage services, water park admissions and arcade income and is recognized when consumed. The Company makes estimates of the uncollectability of its tenant and other accounts receivable related to base rents, expense reimbursements and other revenues. The Company analyzes tenant and other accounts receivable and historical bad debt levels, customer credit worthiness and current economic trends when evaluating the adequacy of the allowance for doubtful accounts. In addition, tenants in bankruptcy are analyzed and estimates are made in connection with the expected recovery of pre-petition and post-petition claims. The Company’s reported net income or loss is directly affected by management’s estimate of the collectability of tenant and other accounts receivable. From time to time, we may make investments in mortgage loans. Mortgage loans are secured, in part, by mortgages recorded against the underlying properties which are not owned by us. Mortgage loans are carried at cost, net of any premiums or discounts which are accreted or amortized over the life of the related loan receivable utilizing the effective interest method. Premiums or discounts are no longer accreted or amortized for loans that are in default. We evaluate the collectability of both interest and principal of each of these loans quarterly to determine whether the value has been impaired. A loan is deemed to be impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due according to the existing contractual terms. When a loan is impaired, the amount of the loss accrual is calculated by comparing the carrying amount of the loan held for investment to its estimated realizable value. Accounting for Acquisitions The fair value of the real estate acquired is allocated to the acquired tangible assets, consisting of land, building and tenant improvements, and identified intangible assets and liabilities, consisting of the value of above-market and below-market leases for acquired in-place leases and the value of tenant relationships, based in each case on their fair values. Purchase accounting is applied to assets and liabilities related to real estate entities acquired based upon the percentage of interest acquired. Fees incurred related to acquisitions are expensed as incurred within general and administrative costs within the consolidated statements of operation. Transaction costs incurred related to the Company’s investment in unconsolidated real estate entities, accounted for under the equity method of accounting, are capitalized as part of the cost of the investment. Upon the acquisition of real estate operating properties, the Company estimates the fair value of acquired tangible assets and identified intangible assets and liabilities and assumed debt at the date of acquisition, based on evaluation of information and estimates available at that date. Based on these estimates, the Company evaluates the existence of goodwill or a gain from a bargain purchase and allocates the initial purchase price to the applicable assets, liabilities and noncontrolling interests, if any. As final information regarding fair value of the assets acquired, liabilities assumed and noncontrolling interests is received and estimates are refined, appropriate adjustments are made to the purchase price allocation. The allocations are finalized as soon as all the information necessary is available and in no case later than within twelve months from the acquisition date. In determining the fair value of the identified intangible assets and liabilities of an acquired property, above-market and below-market in-place lease values are recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease including consideration of any bargain renewal periods. The capitalized above-market lease values and the capitalized below-market lease values are amortized as an adjustment to rental income over the initial non-cancelable lease term, including any below-market renewal periods taken into account. The aggregate fair value of in-place leases is determined by evaluating various factors, including an estimate of carrying costs during the expected lease-up periods, current market conditions and similar leases. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses, and estimates of lost rental revenue during the expected lease-up periods based on current market demand. Management also estimates costs to execute similar leases including leasing commissions, legal and other related costs. The fair value assigned to this intangible asset is amortized over the remaining estimated lease term. Optional renewal periods are not considered. The aggregate fair value of other acquired intangible assets includes tenant relationships. Factors considered by management in assigning a value to these relationships include: assumptions of probability of lease renewals, investment in tenant improvements, leasing commissions and an approximate time lapse in rental income while a new tenant is located. The fair value assigned to this intangible asset is amortized over the remaining estimated lease term. Impairment Evaluation Management evaluates the recoverability of its investments in real estate assets at the lowest identifiable level, the individual property level. Long-lived assets are tested for recoverability whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. An impairment loss is recognized only if the carrying amount of a long-lived asset is not recoverable and exceeds its fair value. The Company evaluates the long-lived assets on a quarterly basis and will record an impairment charge when there is an indicator of impairment and the undiscounted projected cash flows are less than the carrying amount for a particular property. The estimated cash flows used for the impairment analysis and the determination of estimated fair value are based on the Company’s plans for the respective assets and the Company’s views of market and economic conditions. The estimates consider matters such as current and historical rental rates, occupancies for the respective properties and comparable properties, and recent sales data for comparable properties. Changes in estimated future cash flows due to changes in the Company’s plans or views of market and economic conditions could result in recognition of impairment losses, which, under the applicable accounting guidance, could be substantial. Real Estate-Related Debt Investments Real estate-related debt investments are intended to be held until maturity and accordingly, will be carried at cost, net of unamortized loan fees, origination fees, discounts, premiums and unfunded commitments. Real estate-related debt investments that are deemed impaired will be carried at amortized cost less a reserve, if deemed appropriate, which approximates fair value. Investment income will be recognized on an accrual basis. Impairment on Real Estate-Related Debt Investments Real estate-related debt investments will be considered impaired when, based on current information and events, it is probable that the Company will not be able to collect principal and interest amounts due according to the contractual terms. Income recognition will be suspended for a debt investment at the earlier of the date at which payments become 90 days past due or when, in the opinion of management, a full recovery of income and principal becomes doubtful. When the ultimate collectability of the principal of an impaired debt investment is in doubt, all payments will be applied to principal under the cost recovery method. When the ultimate collectability of the principal of an impaired debt investment is not in doubt, contractual interest will be recorded as interest income when received, under the cash basis method, until an accrual is resumed when the debt investment becomes contractually current and performance is demonstrated to be resumed. A debt investment will be written off when it is no longer realizable or is legally discharged. Assets and groups of assets and liabilities which comprise disposal groups are classified as “held for sale” when all of the following criteria are met: a decision has been made to sell, the assets are available for sale immediately, the assets are being actively marketed at a reasonable price in relation to the current fair value, a sale has been or is expected to be concluded within twelve months of the balance sheet date, and significant changes to the plan to sell are not expected. Assets and disposal groups held for sale are valued at the lower of book value or fair value less disposal costs. Assets held for sale are not depreciated. Additionally, if the disposal group represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results then the operating results and cash flows related to these assets and liabilities are included in discontinued operations in the consolidated statements of operations and consolidated statements of cash flows, respectively, for all periods presented, as long as the operations and cash flows of the disposal group is expected to be eliminated from ongoing operations as a result of the disposal and the Company will not have any significant continuing involvement in the operations of the disposal group after disposal. Depreciation expense is computed based on the straight-line method over the estimated useful life of the applicable real estate asset. We generally use estimated useful lives of up to thirty-nine years for buildings and improvements and five to ten years for furniture and fixtures. Expenditures for tenant improvements and construction allowances paid to commercial tenants are capitalized and amortized over the initial term of each lease or the useful life if shorter. Expenditures for ordinary maintenance and repairs are charged to expense as incurred. The Company will capitalize initial direct costs associated with financing activities. The costs will be capitalized upon the execution of the loan, presented in the consolidated balance sheets as a direct deduction from the carrying value of the corresponding loan and amortized over the initial term of the corresponding loan. Amortization of deferred loan costs will begin in the period during which the loan is originated using the effective interest method over the term of the loan. The Company evaluates all joint venture arrangements and investments in entities for consolidation. The percentage interest in the joint venture or investment in entities, evaluation of control and whether a variable interest entity (“VIE”) exists are all considered in determining if the arrangement qualifies for consolidation. The Company accounts for its investments in unconsolidated entities using the equity or cost method of accounting, as appropriate. Under the equity method, the cost of an investment is adjusted for the Company’s share of equity in net income or loss beginning on the date of acquisition and reduced by distributions received. The income or loss of each joint venture investor is allocated in accordance with the provisions of the applicable operating agreements. The allocation provisions in these agreements may differ from the ownership interest held by each investor. Differences between the carrying amount of the Company’s investment in the respective joint venture and the Company’s share of the underlying equity of such unconsolidated entities are amortized over the respective lives of the underlying assets as applicable. These items are reported as a single line item in the consolidated statements of operations as income or loss from investments in unconsolidated entities. Under the cost method of accounting, the dividends earned from the underlying entities are recorded to interest income. The Company continuously reviews its investment in unconsolidated entities for other than temporary declines in market value. Any decline that is not considered temporary will result in the recording of an impairment charge to the investment. The Company made an election in 2006 to be taxed as a real estate investment trust (a “REIT”) under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Code”), beginning with its first taxable year, which ended December 31, 2005. The Company elected and qualified to be taxed as a REIT in conjunction with the filing of its 2005 U.S. federal tax return. To maintain its status as a REIT, the Company must meet certain organizational and operational requirements, including a requirement to distribute at least 90% of its ordinary taxable income to stockholders. As a REIT, the Company generally will not be subject to U.S. federal income tax on taxable income that it distributes to its stockholders. If the Company fails to qualify as a REIT in any taxable year, it will then be subject to U.S. federal income taxes on its taxable income at regular corporate rates and will not be permitted to qualify for treatment as a REIT for U.S. federal income tax purposes for four years following the year during which qualification is lost unless the Internal Revenue Service grants the Company relief under certain statutory provisions. Such an event could have a material effect on the Company’s net income and net cash available for distribution to stockholders. Through December 31, 2016, the Company has complied with the requirements for maintaining its REIT status. The Company has net operating loss carryforwards of $ 12.7 The Company engages in certain activities through taxable REIT subsidiaries (“TRSs”). As such, the Company may be subject to U.S. federal and state income taxes and franchise taxes from these activities. As of December 31, 2016, the Company had no material uncertain income tax positions. The carrying amounts of cash and cash equivalents, restricted escrows, tenants’ accounts receivable, interest receivable from related parties, accounts payable and accrued expenses and loans due to related parties approximate their fair values because of the short maturity of these instruments. T he estimated fair value of the notes payable (line of credit) approximated its carrying value 18.6 As of December 31, 2016 As of December 31, 2015 Estimated Fair Estimated Fair Carrying Amount Value Carrying Amount Value Mortgages payable $ 185.6 $ 183.2 $ 228.6 $ 227.1 The fair value of the mortgages payable was determined by discounting the future contractual interest and principal payments by estimated current market interest rates. The Company may enter into derivative financial instrument transactions in order to mitigate interest rate risk on a related financial instrument. The Company may designate these derivative financial instruments as hedges and apply hedge accounting. The Company records all derivative instruments at fair value on the consolidated balance sheets. Derivative instruments designated in a hedge relationship to mitigate exposure to variability in expected future cash flows, or other types of forecasted transactions, will be considered cash flow hedges. The Company will formally document all relationships between hedging instruments and hedged items, as well as our risk- management objective and strategy for undertaking each hedge transaction. The Company will periodically review the effectiveness of each hedging transaction, which involves estimating future cash flows. Cash flow hedges will be accounted for by recording the fair value of the derivative instrument on the consolidated balance sheet as either an asset or liability, with a corresponding amount recorded in accumulated other comprehensive income (loss) within stockholders’ equity. Amounts will be reclassified from other comprehensive income/(loss) to the consolidated statements of operations in the period or periods the hedged forecasted transaction affects earnings. Derivative instruments designated in a hedge relationship to mitigate exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, will be considered fair value hedges. The effective portion of the derivative gain or loss is initially reported as a component of other comprehensive income/(loss) and subsequently reclassified into earnings when the transaction affects earnings. The ineffective portion of the gain or loss is reported in earnings immediately. The change in fair value of derivative instruments which have not been formally documented as effective hedges will be reported as a gain or loss within the consolidated statement of operations. The Company had a stock-based incentive award plan for the independent directors of its Board. This plan expired in April 2015. Awards were granted at fair market value on the date of the grant with fair value estimated using the Black-Scholes-Merton option valuation model, which incorporates assumptions surrounding the volatility, dividend yield, the risk-free interest rate, expected life, and the exercise price as compared to the underlying stock price on the grant date. The tax benefits, if any, associated with these share-based payments are classified as financing activities in the consolidated statement of cash flows. For the years ended December 31, 2016, 2015 and 2014, the Company had no material compensation costs related to the incentive award plan. The Company maintains its cash in bank deposit accounts, which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. The Company believes it is not exposed to any significant credit risk on its cash and cash equivalents. Basic net earnings per share is calculated by dividing net income attributable to common shareholders by the weighted-average number of shares of common stock outstanding during the applicable period. Dilutive income per share includes the potentially dilutive effect, if any, which would occur if our outstanding options to purchase our common stock were exercised. For all periods presented, there were no exercises of outstanding options and, therefore, dilutive net income per share is equivalent to basic net income per share. In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that clarifies the definition of a business and assists in the evaluation of whether a transaction will be accounted for as an acquisition of an asset or as a business combination. The guidance provides a test to determine when a set of assets and activities acquired 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, the set is not a business. Under the updated guidance, an acquisition of a single property will likely be treated as an asset acquisition as opposed to a business combination and associated transaction costs will be capitalized rather than expensed as incurred. Additionally, assets acquired, liabilities assumed, and any noncontrolling interest will be measured at their relative fair values. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2017, with early adoption permitted. This guidance will not have a material impact on the Company’s consolidated financial statements. In August 2016, the FASB issued an accounting standards update which provides guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including those related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance, and distributions received from equity method investees. This guidance is effective for fiscal years beginning after December 15, 2017, and for interim periods within those fiscal years. The guidance must be adopted on a retrospective basis and must be applied to all periods presented, but may be applied prospectively if retrospective application would be impracticable. This guidance will not have a material impact on the Company’s consolidated financial statements. In June 2016, the FASB issued an accounting standards update which replaces the incurred loss impairment methodology current in use with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The new guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. This guidance will not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued an accounting standards update that eliminates the requirement for public business entities to disclose the method 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 and is effective for periods beginning after December 15, 2017 and early adoption is not permitted. This guidance will not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued an accounting standards update that generally requires companies to measure investments in equity securities, except those accounted for under the equity method, at fair value and recognize any changes in fair value in net income. The new guidance must be applied using a modified-retrospective approach and is effective for periods beginning after December 15, 2017 and early adoption is not permitted. If the Company had adopted this standard during the year ended December 31, 2016, it would have resulted in a (decrease)/increase to net income of approximately ($3.5 million), $6.3 million and $18.9 million for the years ended December 31, 2016, 2015 and 2014, In April 2015, the FASB issued an accounting standards update to simplify the presentation of debt issuance costs. This update requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This new guidance was effective for the Company beginning January 1, 2016. The Company adopted this standard during the quarter ended March 31, 2016. As a result of adopting this standard on a retrospective basis, approximately $ 2.0 In May 2014, the FASB issued an accounting standards update that provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The Company does not expect the adoption of this standard to have a material impact on its financial position, results of operations or cash flows. The Company has reviewed and determined that other recently issued accounting pronouncements will not have a material impact on its financial position, results of operations and cash flows, or do not apply to its current operations. Certain prior period amounts may have been reclassified to conform to the current year presentation. |
Disposition of limited service
Disposition of limited service hotels | 12 Months Ended |
Dec. 31, 2016 | |
Dispositions [Abstract] | |
Disposition of limited service hotels | 3. Disposition of limited service hotels On January 19, 2015, the Board of Directors of the Company provided approval for the Company to form a joint venture (the “Joint Venture”) with Lightstone Value Plus Real Estate Investment Trust II, Inc. (“Lightstone II”), a related party real estate investment trust also sponsored by the Company’s Sponsor and for the Joint Venture to acquire the Company’s membership interests in the LVP REIT Hotels for an aggregate of approximately $ 122.4 The LVP REIT Hotels are comprised of the following 11 limited service hotels: · a 151 · a 90 · a 102 · a 97 · a 82 ⋅ a 121-room limited service hotel which operates as a Courtyard by Marriott (the “Courtyard - Baton Rouge”) located in Baton Rouge, Louisiana (90% owned by the Lightstone REIT since May 16, 2013); · a 108 90 · a 130 · a 83 95 · a 127 · a 104 On January 29, 2015 the Company, through the Operating Partnership, entered into an agreement to form the Joint Venture with Lightstone II whereby the Company and Lightstone II have 2.5 97.5 2.5 2.5 1.5 The LVP REIT Hotels were contributed to the Joint Venture in a series of transactions during 2015 as discussed below. On January 29, 2015, the Company, through a wholly owned subsidiary of the Operating Partnership, completed the disposition of its 100 64.6 30.5 34.1 The five limited service hotels included in the Hotel I Portfolio are as follows: · Courtyard Willoughby · Fairfield Inn - Des Moines · SpringHill Suites - Des Moines · Hampton Inn Miami · Hampton Inn & Suites - Fort Lauderdale The Company’s revolving credit facility that was collateralized by the Hotel I Portfolio and 34.1 On February 11, 2015, the Company, through a wholly owned subsidiary of its Operating Partnership, completed the disposition of its 100.0 90.0 23.4 12.2 11.6 The Courtyard Parsippany Loan and the Residence Inn - Baton Rouge Loan were assumed by the subsidiaries of the Joint Venture as part of the transaction. On June 10, 2015, the Company, through a wholly owned subsidiary of its Operating Partnership, completed the disposition of its (i) 100 95 the Fairfield Inn Jonesboro 100 28.0 12.9 15.1 The Promissory Note was On June 30, 2015, the Company through a wholly owned subsidiary of its Operating Partnership completed the disposition of its 90.0 7.4 1.2 6.1 The Courtyard Baton Rouge Loan was assumed by the subsidiaries of the Joint Venture as part of the transaction. The transactions described above represent the complete disposition of the LVP REIT Hotels by the Company previously approved by the Board of Directors. The Company recognized an aggregate gain on disposition of approximately $ 17.3 |
Dispositions of Investments in
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities | 12 Months Ended |
Dec. 31, 2016 | |
Disposition Of Investments In Unconsolidated Affiliated Real Estate Entities [Abstract] | |
Disposition of Investments in Unconsolidated Affiliated Real Estate Entities | Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities During the third quarter of 2014, the Company received an additional $ 4.4 4.4 1407 Broadway The Company had a 49.0 150.0 15.1 2.0 The Company accounted for this investment under the equity method of accounting as the Company exercised significant influence, but did not control this entity. As of Real Estate Entity Date Acquired Ownership December 31, 2016 December 31, 2015 1407 Broadway Mezz II LLC ("1407 Broadway") January 4, 2007 49.0 % $ - $ 1,989 Total Investment in unconsolidated affiliated real estate entity $ - $ 1,989 1407 Broadway Mezz II LLC As of December 31, 2015, the Company has a 49.0 150.0 9.9 5.7 19.9 15.1 0.5 1.6 1407 Broadway Financial Information For the Year Ended For the Year Ended Total revenue $ 13,510 $ 41,159 Property operating expenses 9,439 29,608 Depreciation and amortization 2,644 7,011 Operating income 1,427 4,540 Interest expense and other, net (1,343) (3,266) Gain on disposition 9,891 - Gain on debt extinguishment - - Net income $ 9,975 $ 1,274 Company's share of net earnings $ 5,804 $ 821 The following table represents the unaudited condensed balance sheets for 1407 Broadway: As of December 31, 2015 Real estate, at cost (net) $ - Intangible assets - Cash and restricted cash 5,964 Other assets - Total assets $ 5,964 Mortgage payable $ - Other liabilities 556 Member capital 5,408 Total liabilities and members' capital $ 5,964 |
Preferred Investments
Preferred Investments | 12 Months Ended |
Dec. 31, 2016 | |
Preferred Investment [Abstract] | |
Preferred Investment | 5. Preferred Investments Preferred Investments We have entered into several agreements with various related party entities that provide for us to make preferred contributions pursuant to certain instruments (the “Preferred Investments”) that entitle us to certain prescribed monthly preferred distributions. The Preferred Investments had an aggregate balance of $ 141.3 138.3 76.2 16.3 6.7 1.9 Preferred Investment Balance Unfunded Contributions Investment Income As of As of As of For the Year Ended December 31, Preferred Investments Dividend Rate December 31, 2016 December 31, 2015 December 31, 2016 2016 2015 2014 365 Bond Street 12 % $ - $ 42,237 $ - $ 2,252 $ 5,079 $ 1,944 40 East End Avenue 8% to 12 % 30,000 28,768 - 2,408 1,444 - 30-02 39th Avenue 9% to 12 % 12,300 7,301 37,700 1,429 184 - 485 7th Avenue 12 % 60,000 60,000 - 7,320 20 - East 11th Street 12 % 31,271 - 26,229 2,688 - - Miami Moxy 12 % 7,682 - 12,318 203 - Total Preferred Investments $ 141,253 $ 138,306 $ 76,247 $ 16,300 $ 6,727 $ 1,944 365 Bond Street Preferred Investment In March 2014, we entered into an agreement with various related party entities that provided for us to make contributions of up to $ 35.0 10.0 12 42.2 40 East End Avenue Preferred Investment In May 2015, we entered into an agreement with various related party entities that provides for us to make contributions of up to $ 30.0 8 12 30-02 39th Avenue Preferred Investment In August 2015, we entered into certain agreements that provide for us to make aggregate contributions of up to $ 50.0 9 12 485 7th Avenue Preferred Investment In December 2015, we entered into an agreement with various related party entities that provided for us to make contributions of up to $ 60.0 12 East 11th Street Preferred Investment On April 21, 2016, we entered into an agreement with various related party entities that provides for us to make contributions of up to $ 40.0 th 12 17.5 57.5 Miami Moxy Preferred Investment On September 30, 2016,we entered into an agreement with various related party entities that provides for us to make contributions of up to $ 20.0 12 |
Mortgage Receivable
Mortgage Receivable | 12 Months Ended |
Dec. 31, 2016 | |
Mortgage Loans on Real Estate, Commercial and Consumer, Net, (Investment Based Operations Presentation) [Abstract] | |
Mortgages Receivable | 6. Mortgage Receivable Senior Mortgage - Holiday Inn Express Hotel & Suites East Brunswick (the “Holiday Inn - East Brunswick”) On June 21, 2011, the Company acquired an $ 8.8 5.6 3.2 2.75 0.2 The Senior Mortgage, which was originated by Banc of America in July 2007 with an original principal balance of $ 9.1 6.33 monthly 56 Since the Senior Mortgage is in default, the borrower is required to transfer any excess cash to the Company on a monthly During each of the years ended December 31, 2016, 2015 and 2014, exclusive of the aforementioned loan discount amortization, the Company recognized approximately $ 0.5 |
Supplementary Financial Informa
Supplementary Financial Information | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Text Block Supplement [Abstract] | |
Supplementary Financial Information | 7. Supplementary Financial Information As of As of December 31, 2016 December 31, 2015 Investment property: Land and improvements $ 60,485 $ 68,869 Building and improvements 203,054 238,757 Furniture and fixtures 17,613 17,421 Construction in progress 962 668 Gross investment property 282,114 325,715 Less accumulated depreciation (49,773) (50,278) Net investment property $ 232,341 $ 275,437 As of As of December 31, 2016 December 31, 2015 Accounts payable and accrued expenses $ 4,653 $ 4,807 Accrued real estate taxes 1,009 610 Accrued interest payable 2,938 1,340 Accrued default interest payable (See Note 10) 9,175 7,117 Fair value of derivative financial instruments 90 157 Other liabilities 962 348 $ 18,827 $ 14,379 |
Marketable Securities and Fair
Marketable Securities and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Marketable Securities And Fair Value Measurements [Abstract] | |
Marketable Securities and Fair Value Measurements | 8. Marketable Securities and Fair Value Measurements Marketable Securities: As of December 31, 2016 Gross Unrealized Gross Unrealized Adjusted Cost Gains Losses Fair Value Equity Securities, primarily REITs $ 1,405 $ 325 $ - $ 1,730 Marco OP Units and Marco II OP Units 19,227 17,949 - 37,176 Corporate Bonds and Preferred Equities 11,382 - (397) 10,985 Mortgage Backed Securities ("MBS") 2,918 - (314) 2,604 Total $ 34,932 $ 18,274 $ (711) $ 52,495 As of December 31, 2015 Gross Unrealized Gross Unrealized Adjusted Cost Gains Losses Fair Value Equity Securities, primarily REITs $ 1,405 $ 487 $ (1) $ 1,891 Marco OP Units and Marco II OP Units 19,227 21,458 - 40,685 Corporate Bonds and Preferred Equities 35,880 474 (1,369) 34,985 Mortgage Backed Securities ("MBS") 3,769 - (314) 3,455 Total $ 60,281 $ 22,419 $ (1,684) $ 81,016 The Marco OP Units and the Marco II OP Units are exchangeable for a similar number of common operating partnership units (“Simon OP Units”) of Simon Property Group, L.P., (“Simon OP”), the operating partnership of Simon Property Group, Inc. (“Simon Inc.”). Subject to the various conditions, the Company may elect to exchange the Marco OP Units and/or the Marco II OP Units to Simon OP Units which must be immediately delivered to Simon Inc. in exchange for cash or similar number of shares of Simon Inc.’s common stock (“Simon Stock”). During the year ended December 31, 2015, the Company redeemed an aggregate of approximately 383,000 32.7 67.1 34.4 During the year ended December 31, 2014, the Company received a special dividend on its Marco OP Units aggregating approximately $ 5.7 The Company may sell certain of its investments prior to their stated maturities for strategic purposes, in anticipation of credit deterioration, or for duration management. At their respective dates of acquisition, the maturities of the Company’s MBS generally ranged from 27 30 . The Company considers the declines in market value of certain investments in its investment portfolio to be temporary in nature. When evaluating the investments for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the issuer and any changes thereto, and the Company’s intent to sell, or whether it is more likely than not it will be required to sell, the investment before recovery of the investment’s amortized cost basis. During the years ended December 31, 2016, 2015 and 2014, the Company did not recognize any impairment charges. As of December 31, 2016 and 2015, the Company does not consider any of its investments to be other-than-temporarily impaired. Notes Payable Margin Loan The Company has access to a margin loan (the “Margin Loan”) from a financial institution that holds custody of certain of the Company’s marketable securities. The Margin Loan, which is due on demand, bears interest at 1.62 Line of Credit On September 14, 2012, the Company entered into a non-revolving credit facility (the “Line of Credit”) with a financial institution which permits borrowings up to $ 25.0 June 19, 2017 2.12 252,000 The amount outstanding under the Line of Credit was $ 18.6 Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value: · Level 1 Quoted prices in active markets for identical assets or liabilities. · Level 2 Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. · Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Fair Value Measurement Using As of December 31, 2016 Level 1 Level 2 Level 3 Total Marketable Securities: Equity Securities, primarily REITs $ 1,730 $ - $ - $ 1,730 Marco OP and OP II Units - 37,176 - 37,176 Corporate Bonds and Preferred Equities - 10,985 - 10,985 MBS - 2,604 - 2,604 Total $ 1,730 $ 50,765 $ - $ 52,495 Fair Value Measurement Using As of December 31, 2015 Level 1 Level 2 Level 3 Total Marketable Securities: Equity Securities, primarily REITs $ 1,891 $ - $ - $ 1,891 Marco OP and OP II Units - 40,685 - 40,685 Corporate Bonds and Preferred Equities - 34,985 - 34,985 MBS - 3,455 - 3,455 Total $ 1,891 $ 79,125 $ - $ 81,016 The fair values of the Company’s investments in Corporate Bonds and Preferred Equities and MBS are measured using quoted prices for these investments; however, the markets for these assets are not active. Additionally, as noted and disclosed above, the Company’s Marco OP and OP II units are ultimately exchangeable for cash or similar number of shares of Simon Stock, therefore the Company uses the quoted market price of Simon Stock to measure the fair value of the Company’s Marco OP and OP II units. The Company did not have any other significant financial assets or liabilities, which would require revised valuations that are recognized at fair value. |
Dispositions and Discontinued O
Dispositions and Discontinued Operations | 12 Months Ended |
Dec. 31, 2016 | |
Dispositions [Abstract] | |
Dispositions and Discontinued Operations | 9. Dispositions and Discontinued Operations Dispositions The following dispositions did not qualify to be reported as discontinued operations and their operating results are reflected in the Company’s results from continuing operations in the consolidated statements of operations for all periods presented through their respective dates of disposition: · On July 31, 2014, the Company disposed of an industrial property located in Sarasota, Florida (“Sarasota”) for approximately $ 5.3 2.4 · On September 30, 2014, the Company disposed of two multi-family apartment buildings located in Greensboro/Charlotte, North Carolina (the “Camden Multi-Family Properties”) for approximately $ 32.4 11.5 · During the year ended December 31, 2016, the Company disposed of four apartment communities (three in May 2016 and the remaining one in July 2016) located in Southeast Michigan (the “Southeastern Michigan Multi-Family Properties”) for an aggregate of approximately $ 60.9 23.7 Discontinued Operations The following dispositions did qualify to be reported as discontinued operations and their operating results are classified as discontinued operations in the consolidated statements of operations for all periods presented through their respective dates of disposition: · On January 22, 2014, the Company disposed of Crowe’s Crossing for approximately $ 9.3 5.8 1.7 · During 2015, the Company disposed of the LVP REIT Hotels for approximately $ 122.4 17.3 For the Years Ended December 31, 2015 2014 Revenue $ 8,000 $ 36,266 Operating expenses 5,742 33,770 Operating income 2,258 2,496 Interest expense and other, net (849) (3,894) Gain on disposition of real estate 17,322 1,676 Net income from discontinued operations $ 18,731 $ 278 Cash flows generated from discontinued operations are presented separately in the consolidated statements of cash flows. |
Mortgages Payable
Mortgages Payable | 12 Months Ended |
Dec. 31, 2016 | |
Mortgages Payable [Abstract] | |
Mortgages Payable | 10. Mortgages Payable Weighted Average Interest Rate as of Amount Due at As of As of Property Interest Rate December 31, 2016 Maturity Date Maturity December 31, 2016 December 31, 2015 Southeastern Michigan Multi-Family Properties (Repaid in full on May 17, 2016) $ - $ - $ 38,437 Oakview Plaza 5.49% 5.49 % January 2017 25,583 25,583 26,014 Gulf Coast Industrial Portfolio 9.83% 9.83 % Due on demand 50,205 50,205 50,525 St. Augustine Outlet Center (Matured and repaid in full on April 11, 2016) - - 23,875 St. Augustine Outlet Center LIBOR + 4.50% 5.05 % August 2018 20,400 20,400 - Gantry Park 4.48% 4.48 % November 2024 65,317 74,500 74,500 DePaul Plaza LIBOR + 2.75% 3.24 % June 2020 13,494 14,888 15,295 Total mortgages payable 6.03 % $ 174,999 $ 185,576 $ 228,646 Less: Deferred financing costs (2,263) (1,999) Total mortgages payable, net $ 183,313 $ 226,647 LIBOR as of December 31, 2016 and 2015 was 0.77 0.42 2017 2018 2019 2020 2021 Thereafter Total Principal maturities $ 76,196 $ 21,967 $ 1,621 $ 14,924 $ 1,328 $ 69,540 $ 185,576 Less: Deferred financing costs (2,263) Total principal maturities, net $ 183,313 Pursuant to the Company’s loan agreements, escrows in the amount of approximately $ 2.1 7.1 On June 1, 2015, the Company entered into a modification of its existing mortgage payable collateralized by DePaul Plaza. The modification increased the original amount of the loan from $ 13.0 15.5 3.00 2.75 3.9 On April 11, 2016, the Company’s mortgage loan (outstanding principal balance of $ 23.7 On May 17, 2016, the Company’s mortgage loan (outstanding principal balance of $ 38.2 On July 28, 2016, the Company, entered into a mortgage loan for approximately $ 20.4 LIBOR+4.50% Certain of the Company’s debt agreements require the maintenance of certain ratios, including debt service coverage. The Company is currently in compliance with all of its financial debt covenants other than the debt associated with the Gulf Coast Industrial Portfolio which was placed in default by the special servicer during 2012 and is due on demand as discussed below. As a result of not meeting certain debt service coverage ratios on the non-recourse mortgage indebtedness secured by the Gulf Coast Industrial Portfolio, the lender elected to retain the excess cash flow from these properties beginning in July 2011. During the third quarter of 2012, the loan was transferred to a special servicer, who discontinued scheduled debt service payments and notified the Company that the loan was in default and although originally due in February 2017 became due on demand. Although the lender is currently not charging or being paid interest at the stated default rate, the Company is accruing default interest expense pursuant to the terms of the loan agreement. Default interest of approximately $ 2.1 5 9.2 7.1 Additionally, the Company’s non-recourse mortgage loan (outstanding principal balance of $ 25.6 |
Distributions Payable
Distributions Payable | 12 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
Distributions Payable | 11 . Distributions Payable On November 14, 2016, the Board declared a distribution for the three-month period ending December 31, 2016. The distribution was calculated based on shareholders of record each day during this three-month period at a rate of $ 0.0019178 365 7.0 10.00 On November 13, 2015, the Board declared a distribution for the three-month period ending December 31, 2015. The distribution was calculated based on shareholders of record each day during this three-month period at a rate of $ 0.0019178 365 7.0 10.00 |
Company's Stockholder's Equity
Company's Stockholder's Equity | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Company’s Stockholder’s Equity | 12. Company’s Stockholder’s Equity Preferred Shares Shares of preferred stock may be issued in the future in one or more series as authorized by the Company’s Board. Prior to the issuance of shares of any series, the Board is required by the Company’s charter to fix the number of shares to be included in each series and the terms, preferences, conversion or other rights, voting powers, restrictions, limitations as to dividends or other distributions, qualifications and terms or conditions of redemption for each series. Because the Company’s Board has the power to establish the preferences, powers and rights of each series of preferred stock, it may provide the holders of any series of preferred stock with preferences, powers and rights, voting or otherwise, senior to the rights of holders of our common stock. The issuance of preferred stock could have the effect of delaying, deferring or preventing a change in control of the Company, including an extraordinary transaction (such as a merger, tender offer or sale of all or substantially all of our assets) that might provide a premium price for holders of the Company’s common stock. As of December 31, 2016 and 2015, the Company had no outstanding preferred shares. Common Shares All of the common stock offered by the Company will be duly authorized, fully paid and nonassessable. Subject to the preferential rights of any other class or series of stock and to the provisions of its charter regarding the restriction on the ownership and transfer of shares of our stock, holders of the Company’s common stock will be entitled to receive distributions if authorized by the Board and to share ratably in the Company’s assets available for distribution to the stockholders in the event of a liquidation, dissolution or winding-up. Each outstanding share of the Company’s common stock entitles the holder to one vote on all matters submitted to a vote of stockholders, including the election of directors. There is no cumulative voting in the election of directors, which means that the holders of a majority of the outstanding common stock can elect all of the directors then standing for election, and the holders of the remaining common stock will not be able to elect any directors. Holders of the Company’s common stock have no conversion, sinking fund, redemption or exchange rights, and have no preemptive rights to subscribe for any of its securities. Maryland law provides that a stockholder has appraisal rights in connection with some transactions. However, the Company’ charter provides that the holders of its stock do not have appraisal rights unless a majority of the Board determines that such rights shall apply. Shares of the Company’s common stock have equal dividend, distribution, liquidation and other rights. Under its charter, the Company cannot make some material changes to its business form or operations without the approval of stockholders holding at least a majority of the shares of our stock entitled to vote on the matter. These include (1) amendment of its charter, (2) its liquidation or dissolution, (3) its reorganization, and (4) its merger, consolidation or the sale or other disposition of its assets. Share exchanges in which the Company is the acquirer, however, do not require stockholder approval. Distributions, Share Repurchase Program and Tender Offers Beginning February 1, 2006, the Company’s Board declared quarterly distributions in the amount of $ 0.0019178 7 10.00 365 Through January 19, 2014, the Company’s stockholders had the option to elect the receipt of shares in lieu of cash under the Company’s DRIP. Our DRIP Registration Statement on Form S-3D was filed and became effective under the Securities Act of 1933 on July 12, 2012. On January 19, 2015, the Board of Directors suspended the Company’s DRIP effective April 15, 2015. As of December 31, 2016, approximately 7.3 The amount of distributions distributed to our stockholders in the future will be determined by our Board and is dependent on a number of factors, including funds available for payment of distributions, the Company’s financial condition, capital expenditure requirements and annual distribution requirements needed to maintain the Company’s status as a REIT under the Internal Revenue Code. Our share repurchase program may provide our stockholders with limited, interim liquidity by enabling them to sell their shares back to us, subject to restrictions. During 2014 we redeemed approximately 0.3 9.91 0.3 10.00 0.5 9.36 Stock-Based Compensation The Company previously adopted a stock option plan under which its independent directors were eligible to receive annual nondiscretionary awards of nonqualified stock options. This plan expired in April 2015. The Company’s stock option plan was designed to enhance its profitability and value for the benefit of its stockholders by enabling it to offer independent directors stock based incentives, thereby creating a means to raise the level of equity ownership by such individuals in order to attract, retain and reward such individuals and strengthen the mutuality of interests between such individuals and our stockholders. The Company authorized and reserved 75,000 The Company’s stock option plan provided for the automatic grant of a nonqualified stock option through April 2015 to each of its independent directors, without any further action by the Board of Directors or the stockholders, to purchase 3,000 75,000 9.80 11.80 10.56 During the year ended December 31, 2014, the Company granted 12,000 The exercise price for all stock options granted under the stock option plan were initially fixed at $ 10 10 |
Noncontrolling Interests
Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | 13. Noncontrolling Interests The noncontrolling interests consist of (i) parties of the Company that hold units in the Operating Partnership, (ii) notes receivable from noncontrolling interests (see below) and (iii) certain interests in consolidated subsidiaries. The units held by noncontrolling interests in the Operating Partnership include SLP Units, limited partner units, Series A Preferred Units (see below) and Common Units. The noncontrolling interests in consolidated subsidiaries include ownership interests in (i) PRO-DFJV Holdings LLC (“PRO”) held by our Sponsor and (ii) 50-01 2 nd nd S hare Description See Note 14 for discussion of rights related to SLP Units. The limited partner and Common Units of the Operating Partnership have similar rights as those of the Company’s stockholders including distribution rights. Redemption of Series A Preferred Units and Repayment of Notes Receivable due from Noncontrolling Interests On January 2, 2014, the Operating Partnership redeemed the then remaining outstanding 50,100 Series A Preferred Units, held by various parties, at their liquidation preference of approximately $50.1 million and simultaneously received payment in full of an aggregate of $47.4 million of outstanding notes receivable due from noncontrolling interests, which were secured by the 50,100 Series A Preferred Units. Distributions During the years ended December 31, 2016, 2015 and 2014, the Company paid distributions to noncontrolling interests of $11.0 million, $5.4 million and $15.1 million, respectively. As of December 31, 2016 and 2015, the total distributions declared and not paid to noncontrolling interests was $0.6 million (paid on January 15, 2017) and $0.6 million (paid on January 15, 2016), respectively. Noncontrolling Interest of Subsidiary within the Operating Partnership On August 25, 2009, the Operating Partnership acquired an additional 15.0% membership interest in POAC and an additional 14.26% membership interest in Mill Run. In connection with the transactions, the Advisor earned an acquisition fee equal to 2.75% of the gross contractual purchase price, which was approximately $6.9 million ($5.6 million and $1.3 million related POAC and Mill Run, respectively). On August 25, 2009, the Operating Partnership contributed its investments of the 15.0% membership interest in POAC and the 14.26% membership interest in Mill Run to PRO in exchange for a 99.99% managing membership interest in PRO. In addition, the Company contributed $2,900 (in whole dollars) for a 0.01% non-managing membership interest in PRO. As the Operating Partnership is the managing member with control, PRO is consolidated into the results and financial position of the Company. On September 15, 2009, the Advisor accepted, in lieu of payment of $6.9 million for the acquisition fee, a 19.17% (approximately $6.9 million divided by the sum of $29.0 million plus approximately $6.9 million, or approximately $35.6 million) profit membership interest in PRO and assigned its rights to receive payment to the Sponsor, who assigned the same to David Lichtenstein. Under the terms of the operating agreement of PRO, the 19.17% profit membership interest was not entitled to receive any distributions until the Operating Partnership and the Company had received distributions equivalent to their aggregate initial capital contributions of $29.0 million, and then the 19.17% profit membership interest would receive distributions of approximately $6.9 million. Thereafter, any remaining distributions are split between the three members in proportion to their respective profit interests. In connection with PRO’s disposition of its membership interests in POAC and Mill Run in August 2010, the Company first received its aggregate initial capital contributions of $29.0 million and then David Lichtenstein received approximately $6.9 million. As a result, all subsequent distributions from PRO have been split between the three members in proportion to their respective profit interests. Consolidated Joint Venture On August 18, 2011, the Operating Partnership and its Sponsor formed the 2nd Street Joint Venture to own and operate the 50-01 2nd Street Associates, LLC (the “2nd Street Owner”). The Operating Partnership initially owned a 75.0% membership interest in the 2nd Street Joint Venture (the “2nd Street JV Interest”). The 2nd Street JV Interest is a managing membership interest. The Sponsor initially had a 25.0% non-managing membership interest with certain consent rights with respect to major decisions. Contributions are allocated in accordance with each investor’s ownership percentage. Profit and cash distributions, if any, will be allocated in accordance with each investor’s ownership percentage. In addition, the 2 nd nd nd nd nd On November 19, 2014, the 2 nd |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 14. Related Party Transactions The Company has agreements with the Advisor and its Property Managers to pay certain fees, as follows, in exchange for services performed by these entities and other related parties. The Company’s ability to secure financing and subsequent real estate operations are dependent upon its Advisor, Property Managers, and their affiliates to perform such services as provided in these agreements. Fees Amount Acquisition Fee The Advisor is paid an acquisition fee equal to 2.75 5 Property Management - Residential/Retail The Property Managers are paid a monthly management fee of up to 5 Property Management - Office/Industrial The Property Managers are paid monthly property management and leasing fees of up to 4.5 Asset Management Fee The Advisor or its affiliates is paid an asset management fee of 0.55 Reimbursement of Other expenses For any year in which the Company qualifies as a REIT, the Advisor must reimburse the Company for the amounts, if any, by which the total operating expenses, the sum of the advisor asset management fee plus other operating expenses paid during the previous fiscal year exceed the greater of 2 25 The Advisor or its affiliates are reimbursed for expenses that may include costs of goods and services, administrative services and non-supervisory services performed directly for the Company by independent parties. Lightstone SLP, LLC, an affiliate of our Sponsor, has purchased SLP Units in the Operating Partnership. These SLP Units, the purchase price of which will be repaid only after stockholders receive a stated preferred return and their net investment, will entitle Lightstone SLP, LLC to a portion of any regular distributions made by the Operating Partnership. Since our inception through March 31, 2010, cumulative distributions declared to Lightstone SLP, LLC were $ 4.9 7 7 8 During each of the years ended December 31, 2016, 2015 and 2014, distributions of $ 2.1 2.1 19.2 18.7 7 8 The SLP Units will also entitle Lightstone SLP, LLC to a portion of any liquidating distributions made by the Operating Partnership. The value of such distributions will depend upon the net sale proceeds upon the liquidation of the Lightstone REIT and, therefore, cannot be determined at the present time. Liquidating distributions to Lightstone SLP, LLC will always be subordinated until stockholders receive a distribution equal to their initial investment plus a stated preferred return, as described below: Operating Stage Distributions Amount of Distribution 7% Stockholder Return Threshold Once a cumulative non-compounded return of 7 7 10 12% Stockholder Return Threshold Once a cumulative non-compounded return of 12 7 70 30 Returns in Excess of 12% After the 12 60 40 Liquidating Stage Amount of Distribution 7% Stockholder Return Threshold Once stockholders have received liquidation distributions, and a cumulative non-compounded 7 7 12% Stockholder Return Threshold Once stockholders have received liquidation distributions [in an amount equal to their net investment] plus a cumulative non-compounded return of 12 7 70 30 Returns in Excess of 12% After stockholders and Lightstone LP, LLC have received liquidation distributions [in an amount equal to their net investment] plus a cumulative non-compounded return of 12 60 40 For the Year Ended December 31, December 31, December 31, 2016 2015 2014 Acquisition fees (general and administrative costs) $ - $ 8 $ 204 Asset management fees (general and administrative costs) 2,372 2,427 2,913 Property management fees (property operating expenses) 936 1,185 1,350 Development fees and leasing commissions* 116 344 552 Total $ 3,424 $ 3,964 $ 5,019 * Generally, capitalized and amortized over the estimated useful life of the associated asset. See Notes 3, 4, 5 and 13 for other related party transactions. |
Future Minimum Rentals
Future Minimum Rentals | 12 Months Ended |
Dec. 31, 2016 | |
Leases [Abstract] | |
Future Minimum Rentals | 15 . Future Minimum Rentals 2017 2018 2019 2020 2021 Thereafter Total $ 12,015 $ 9,799 $ 7,085 $ 4,053 $ 2,728 $ 5,785 $ 41,465 Pursuant to the lease agreements, tenants of the property may be required to reimburse the Company for some or the entire portion of the particular tenant's pro rata share of the real estate taxes and operating expenses of the property. Such amounts are not included in the future minimum lease payments above, but are included in tenant recovery income on the accompanying consolidated statements of operations. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information [Abstract] | |
Segment Information | 16 . Segment Information The Company currently operates in four business segments as of December 31, 2016: (i) retail real estate (the “Retail Segment”), (ii) multi-family residential real estate (the “Multi-Family Residential Segment”), (iii) industrial real estate (the “Industrial Segment”) and (iv) hospitality (the “Hospitality Segment”). The Company’s Advisor and its affiliates and third-party management companies provide leasing, property and facilities management, acquisition, development, construction and tenant-related services for its portfolio. The Company’s revenues for the years ended December 31, 2016, 2015 and 2014 were exclusively derived from activities in the United States. No revenues from foreign countries were received or reported. The Company had no long-lived assets in foreign locations as of December 31, 2016 and 2015. The accounting policies of the segments are the same as those described in Note 2, excluding depreciation and amortization. Unallocated assets, revenues and expenses relate to corporate related accounts. The Company evaluates performance based upon net operating income/(loss) from the combined properties in each real estate segment. The results of operations presented below exclude the LVP REIT Hotels and Crowe’s Crossing due to their classification as discontinued operations (see Notes 1 and 9). Prior to their classification as discontinued operations, the results of operations of LVP REIT Hotels were previously included in the Hospitality Segment and Crowe’s Crossing was previously included in the Retail Segment. Selected results of operations regarding the Company’s operating segments are as follows: For the Year Ended December 31, 2016 Retail Multi Family Industrial Hospitality Unallocated Total Total revenues $ 11,428 $ 12,553 $ 5,596 $ 22,417 $ - $ 51,994 Property operating expenses 3,623 3,507 2,000 17,998 2 27,130 Real estate taxes 1,419 482 869 315 - 3,085 General and administrative costs 71 72 94 375 4,416 5,028 Net operating income (loss) 6,315 8,492 2,633 3,729 (4,418) 16,751 Depreciation and amortization 4,627 2,291 1,646 2,813 - 11,377 Operating income (loss) $ 1,688 $ 6,201 $ 987 $ 916 $ (4,418) $ 5,374 Total purchase of investment property $ 1,581 $ 835 $ 936 $ 407 $ - $ 3,759 As of December 31, 2016: Total Assets $ 100,105 $ 71,170 $ 49,509 $ 25,071 $ 301,440 $ 547,295 For the Year Ended December 31, 2015 Multi-Family Retail Residential Industrial Hospitality Unallocated Total Total revenues $ 11,482 $ 17,479 $ 6,242 $ 20,647 $ - $ 55,850 Property operating expenses 3,969 5,450 2,050 16,809 2 28,280 Real estate taxes 1,401 1,062 758 300 - 3,521 General and administrative costs 9 166 (8) 305 4,537 5,009 Net operating income/(loss) 6,103 10,801 3,442 3,233 (4,539) 19,040 Depreciation and amortization 4,343 2,920 1,613 2,668 - 11,544 Operating income/(loss) $ 1,760 $ 7,881 $ 1,829 $ 565 (4,539) $ 7,496 Total purchase of investment property $ 8,918 $ 1,192 $ 929 $ 1,712 $ - $ 12,751 As of December 31, 2015: Total Assets $ 108,079 $ 113,601 $ 49,815 $ 26,825 $ 289,824 $ 588,144 For the Year Ended December 31, 2014 Multi-Family Retail Residential Industrial Hospitality Unallocated Total Total revenues $ 11,412 $ 19,774 $ 7,398 $ 18,705 $ - $ 57,289 Property operating expenses 3,427 6,732 2,114 15,717 2 27,992 Real estate taxes 1,150 1,456 761 250 - 3,617 General and administrative costs 19 305 10 216 6,157 6,707 Net operating income/(loss) 6,816 11,281 4,513 2,522 (6,159) 18,973 Depreciation and amortization 4,034 3,684 1,773 2,547 - 12,038 Operating income/(loss) $ 2,782 $ 7,597 $ 2,740 $ (25) (6,159) $ 6,935 Total purchase of investment property $ 2,545 $ 2,112 $ 899 $ 1,691 $ - $ 7,247 |
Quarterly Financial Data
Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | 17 . Quarterly Financial Data (Unaudited) 2016 Year ended Quarter ended Quarter ended Quarter ended Quarter ended December 31, December 31, September 30, June 30, March 31, Total revenue $ 51,994 $ 11,824 $ 13,060 $ 13,941 $ 13,169 Net income from continuing operation 35,452 3,575 7,357 22,908 1,612 Net income from discontinued operations - - - - - Net income 35,452 3,575 7,357 22,908 1,612 Less income attributable to noncontrolling interest (1,371) (205) (310) (622) (234) Net income applicable to Company's common shares 34,081 3,370 7,047 22,286 1,378 Basic and diluted net income per Company's share: Continuing operations 1.34 0.13 0.28 0.87 0.05 Net income per common share, basic and diluted $ 1.34 $ 0.13 $ 0.28 $ 0.87 $ 0.05 2015 Year ended Quarter ended Quarter ended Quarter ended Quarter ended December 31, December 31, September 30, June 30, March 31, Total revenue $ 55,850 $ 13,809 $ 14,734 $ 14,476 $ 12,831 Net income from continuing operation 45,961 1,933 1,160 35,690 7,178 Net income from discontinued operations 18,731 - - 4,126 14,605 Net income 64,692 1,933 1,160 39,816 21,783 Less income attributable to noncontrolling interest (4,468) (109) (265) (3,467) (627) Net income applicable to Company's common shares 60,224 1,824 895 36,349 21,156 Basic and diluted net income per Company's share: Continuing operations 1.60 0.07 0.03 1.24 0.26 Discontinued operations 0.73 - - 0.16 0.56 Net income per common share, basic and diluted $ 2.33 $ 0.07 $ 0.03 $ 1.40 $ 0.82 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 18. Commitments and Contingencies Legal Proceedings From time to time in the ordinary course of business, the Lightstone REIT may become subject to legal proceedings, claims or disputes. On July 13, 2011, JF Capital Advisors, filed a lawsuit against The Lightstone Group, LLC, the Company, and Lightstone Value Plus Real Estate Investment Trust II, Inc. in the Supreme Court of the State of New York seeking payment for services alleged to have been rendered, and to be rendered prospectively, under theories of unjust enrichment and breach of contract. Effective January 4, 2017, the litigation was settled in its entirety for an insignificant amount and this matter has now been fully disposed of. As of the date hereof, the Company is not a party to any material pending legal proceedings of which the outcome is probable or reasonably possible to have a material adverse effect on its results of operations or financial condition, which would require accrual or disclosure of the contingency and possible range of loss. Additionally, the Company has not recorded any loss contingencies related to legal proceedings in which the potential loss is deemed to be remote. Tax Protection Agreements On December 8, 2009, the Company, the Operating Partnership and PRO, (collectively, the LVP Parties”) entered into a definitive agreement (the “Contribution Agreement”) with Simon Inc. and certain of its affiliates (collectively, “Simon”) providing for the disposition of a substantial portion of the Company’s portfolio of retail properties at that time to Simon, including (i) the St. Augustine Center, which is wholly owned, (ii) a 40.0 36.8 On December 9, 2011 and December 4, 2012, GPH, LVH and certain of their subsidiaries (collectively, the “Holding Entities”) completed the disposition of their ownership interests in two outlet centers and a parcel of land (collectively, the “Outlet Centers Transactions”) to Simon. In connection with the closing of the Outlet Centers Transactions, the Holdings Entities, the Company, the Operating Partnership, PRO and certain affiliates of the Sponsor (collectively, the “Outlet Centers Parties”) entered into a tax matters agreement with Simon pursuant to which Simon generally may not engage in a transaction that could result in the recognition of the “built-in gain” with respect to the two outlets centers at the time of the closing for specified periods of up to eight years following the closing date. Simon has a number of obligations with respect to the allocation of partnership liabilities to the Outlet Centers Parties. For example, Simon agreed to maintain a debt level of no less than the cash portion of the proceeds from the Outlet Centers Transaction until at least the fourth anniversary of the closing, and the Outlet Centers Parties provided and will continue to have the opportunity to provide guaranties of collection with respect to a revolving credit facility (or indebtedness incurred to refinance the revolving credit facility) for at least four years following the closing of the Outlet Centers Transactions. The Outlet Centers Parties were also given the opportunity to enter into agreements to make specified capital contributions to Simon OP in the event that it defaults on certain of its indebtedness. If Simon breaches its obligations under the tax matters agreement, Simon will be required to indemnify the Outlet Centers Parties for certain taxes that they are deemed to incur, including taxes relating to the recognition of “built-in gains” with respect to the two outlet centers, and gains recognized as a result of a reduction in the allocation of partnership liabilities. These indemnification payments will be “grossed up” such that the amount of the payments will equal, on an after-tax basis, the tax liability deemed incurred because of the breach. Loan Collection Guaranties In connection with the closing of the POAC/Mill Run Transaction and the Outlet Centers Transactions, the LVP Parties have provided loan collection guaranties (the “Loan Collection Guaranties”) with respect to the draws under a revolving credit facility made by Simon in connection with the closing of the POAC/Mill Run Transaction and the Outlet Centers Transactions. Under the terms of the Loan Collection Guaranties, the LVP Parties are obligated to make payments in respect of principal and interest due under the revolving credit facilities after Simon OP has failed to make payments, the amount outstanding under the revolving credit facilities has been accelerated, and the lenders have failed to collect the full amount outstanding under the revolving credit facilities after exhausting other remedies. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | 19. Subsequent Events Distribution Declaration On March 17, 2017, the Company declared a distribution for the three-month period ending March 31, 2017. The distribution will be calculated based on shareholders of record each day during this three-month period at a rate of $ 0.0019178 365 7.0 10.00 |
Schedule III Real Estate and Ac
Schedule III Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2016 | |
SEC Schedule III, Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III Real Estate and Accumulated Depreciation | Schedule III Real Estate and Accumulated Depreciation December 31, 2016 Gross amount at which Initial Cost (A) carried at end of period Net Costs Buildings and Capitalized & Buildings and Improvements Impairments Improvements and Furniture Subsequent to Land and and Furniture Accumulated Date Depreciable Encumbrance Land and Fixtures Acquisition Improvements and Fixtures Total (B) Depreciation (C) Acquired Life (D) St. Augustine Outlet Center St. Augustine, FL $ 19,820 $ 11,206 $ 42,103 $ 10,920 $ 10,967 $ 53,262 $ 64,229 $ (13,603) 3/29/2006 & 10/2/2007 (D) Oakview Plaza Omaha, Nebraska 25,582 6,706 25,463 1,938 7,491 26,616 34,107 (7,739) 12/21/2006 (D) Gulfcoast Industrial Portfolio New Orleans/Baton Rouge, Louisiana & San Antonio, Texas 50,202 12,767 51,649 (5,045) 12,991 46,380 59,371 (11,300) 2/1/2007 (D) Crowne Plaza Boston Hotel Boston, Massachusetts - 2,400 7,612 22,335 3,333 29,014 32,347 (9,499) 3/21/2011 (D) 50-01 2nd St Long Island City, New York 72,954 19,656 51,724 748 19,690 52,438 72,128 (5,238) 8/18/2011 (D) Plaza at DePaul Bridgeton, Missouri 14,755 6,050 12,424 1,458 6,013 13,919 19,932 (2,394) 11/22/2011 (D) Total $ 183,313 $ 58,785 $ 190,975 $ 32,354 $ 60,485 $ 221,629 $ 282,114 $ (49,773) Notes to Schedule III: (A) The initial cost to the Company represents the original purchase price of the property, including amounts incurred subsequent to acquisition which were contemplated at the time the property was acquired. (B) Reconciliation of total real estate owned: For the years ended December 31, Reconciliation of total real estate owned: 2016 2015 2014 Balance at beginning of year $ 325,715 $ 314,917 $ 340,805 Improvements 3,341 11,311 6,222 Disposals (46,942) (513) (32,110) Balance at end of year $ 282,114 $ 325,715 $ 314,917 (C) Reconciliation of accumulated depreciation: For the years ended December 31, Reconciliation of accumulated depreciation 2016 2015 2014 Balance at beginning of year $ 50,278 $ 40,166 $ 33,966 Depreciation expense 10,417 10,595 10,442 Disposals (10,922) (483) (4,100) Balance at end of year $ 49,773 $ 50,278 $ 40,166 (D) Depreciation is computed based upon the following estimated lives: Buildings and improvements 15-39 years Furniture and fixtures 5-10 years (E) The table and schedules above reflect the Company’s properties as of December 31, 2016. The table and schedules exclude properties classified as held for sale or disposed of. |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Accounting | Basis of Presentation The consolidated financial statements include the accounts of Lightstone REIT and the Operating Partnership and its subsidiaries (over which the Company exercises financial and operating control). As of December 31, 2016, Lightstone REIT had a 98 The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during a reporting period. The most significant assumptions and estimates relate to the valuation of real estate, depreciable lives, and revenue recognition. Application of these assumptions requires the exercise of judgment as to future uncertainties and, as a result, actual results could differ from these estimates. Investments in entities where the Company has the ability to exercise significant influence, but does not exercise financial and operating control, and is not considered to be the primary beneficiary of a variable interest entity will be accounted for using the equity method. Investments in entities where the Company has virtually no influence will be accounted for using the cost method. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. All cash equivalents are held in money market funds. To date, the Company has not experienced any losses on its cash and cash equivalents. For the Years Ended December 31, December 31, December 31, 2016 2015 2014 Cash paid for interest $ 9,152 $ 12,889 $ 16,810 Distributions declared $ 17,802 $ 18,077 $ 18,064 Value of shares issued from distribution reinvestment program $ - $ 1,453 $ 5,739 Non cash purchase of investment property $ 126 $ 320 $ 776 Debt assumed by joint venture in connection with disposition $ - $ 32,800 $ - Assignment of minority interest loans to joint venture in connection with disposition $ - $ 547 $ - |
Marketable Securities | Marketable Securities Marketable securities consist of equity and debt securities that are designated as available-for-sale and are recorded at fair value. Unrealized holding gains or losses are reported as a component of accumulated other comprehensive income/(loss). Realized gains or losses resulting from the sale of these securities are determined based on the specific identification of the securities sold. An impairment charge is recognized when the decline in the fair value of a security below the amortized cost basis is determined to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the duration and severity of any decline in fair value below our amortized cost basis, any adverse changes in the financial condition of the issuers’ and its intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. The Board has authorized the Company from time to time to invest the Company’s available cash in marketable securities of real estate related companies. The Board has approved investments of marketable securities of real estate companies up to 30% of the Company’s total assets to be made at the Company’s discretion, subject to compliance with any REIT or other restrictions. |
Revenue Recognition | Revenue Recognition Minimum rents are recognized on a straight-line accrual basis, over the terms of the related leases. The capitalized above-market lease values and the capitalized below-market lease values are amortized as an adjustment to rental income over the initial lease term, including any below-market renewal periods taken into account. Percentage rents, which are based on commercial tenants’ sales, are recognized once the sales reported by such tenants exceed any applicable breakpoints as specified in the tenants’ leases. Recoveries from commercial tenants for real estate taxes, insurance and other operating expenses, and from residential tenants for utility costs, are recognized as revenues in the period that the applicable costs are incurred. Room revenue for the hotel properties are recognized as stays occur, using the accrual method of accounting. Amounts paid in advance are deferred until stays occur. Other service income consists of revenues from food and beverage services, water park admissions and arcade income and is recognized when consumed. |
Tenant and Other Accounts Receivable | Tenant and Other Accounts Receivable The Company makes estimates of the uncollectability of its tenant and other accounts receivable related to base rents, expense reimbursements and other revenues. The Company analyzes tenant and other accounts receivable and historical bad debt levels, customer credit worthiness and current economic trends when evaluating the adequacy of the allowance for doubtful accounts. In addition, tenants in bankruptcy are analyzed and estimates are made in connection with the expected recovery of pre-petition and post-petition claims. The Company’s reported net income or loss is directly affected by management’s estimate of the collectability of tenant and other accounts receivable. |
Mortgages Receivable | Mortgages Receivable From time to time, we may make investments in mortgage loans. Mortgage loans are secured, in part, by mortgages recorded against the underlying properties which are not owned by us. Mortgage loans are carried at cost, net of any premiums or discounts which are accreted or amortized over the life of the related loan receivable utilizing the effective interest method. Premiums or discounts are no longer accreted or amortized for loans that are in default. We evaluate the collectability of both interest and principal of each of these loans quarterly to determine whether the value has been impaired. A loan is deemed to be impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due according to the existing contractual terms. When a loan is impaired, the amount of the loss accrual is calculated by comparing the carrying amount of the loan held for investment to its estimated realizable value. |
Investments in Real Estate | Investments in Real Estate Accounting for Acquisitions The fair value of the real estate acquired is allocated to the acquired tangible assets, consisting of land, building and tenant improvements, and identified intangible assets and liabilities, consisting of the value of above-market and below-market leases for acquired in-place leases and the value of tenant relationships, based in each case on their fair values. Purchase accounting is applied to assets and liabilities related to real estate entities acquired based upon the percentage of interest acquired. Fees incurred related to acquisitions are expensed as incurred within general and administrative costs within the consolidated statements of operation. Transaction costs incurred related to the Company’s investment in unconsolidated real estate entities, accounted for under the equity method of accounting, are capitalized as part of the cost of the investment. Upon the acquisition of real estate operating properties, the Company estimates the fair value of acquired tangible assets and identified intangible assets and liabilities and assumed debt at the date of acquisition, based on evaluation of information and estimates available at that date. Based on these estimates, the Company evaluates the existence of goodwill or a gain from a bargain purchase and allocates the initial purchase price to the applicable assets, liabilities and noncontrolling interests, if any. As final information regarding fair value of the assets acquired, liabilities assumed and noncontrolling interests is received and estimates are refined, appropriate adjustments are made to the purchase price allocation. The allocations are finalized as soon as all the information necessary is available and in no case later than within twelve months from the acquisition date. In determining the fair value of the identified intangible assets and liabilities of an acquired property, above-market and below-market in-place lease values are recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease including consideration of any bargain renewal periods. The capitalized above-market lease values and the capitalized below-market lease values are amortized as an adjustment to rental income over the initial non-cancelable lease term, including any below-market renewal periods taken into account. The aggregate fair value of in-place leases is determined by evaluating various factors, including an estimate of carrying costs during the expected lease-up periods, current market conditions and similar leases. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses, and estimates of lost rental revenue during the expected lease-up periods based on current market demand. Management also estimates costs to execute similar leases including leasing commissions, legal and other related costs. The fair value assigned to this intangible asset is amortized over the remaining estimated lease term. Optional renewal periods are not considered. The aggregate fair value of other acquired intangible assets includes tenant relationships. Factors considered by management in assigning a value to these relationships include: assumptions of probability of lease renewals, investment in tenant improvements, leasing commissions and an approximate time lapse in rental income while a new tenant is located. The fair value assigned to this intangible asset is amortized over the remaining estimated lease term. Impairment Evaluation Management evaluates the recoverability of its investments in real estate assets at the lowest identifiable level, the individual property level. Long-lived assets are tested for recoverability whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. An impairment loss is recognized only if the carrying amount of a long-lived asset is not recoverable and exceeds its fair value. The Company evaluates the long-lived assets on a quarterly basis and will record an impairment charge when there is an indicator of impairment and the undiscounted projected cash flows are less than the carrying amount for a particular property. The estimated cash flows used for the impairment analysis and the determination of estimated fair value are based on the Company’s plans for the respective assets and the Company’s views of market and economic conditions. The estimates consider matters such as current and historical rental rates, occupancies for the respective properties and comparable properties, and recent sales data for comparable properties. Changes in estimated future cash flows due to changes in the Company’s plans or views of market and economic conditions could result in recognition of impairment losses, which, under the applicable accounting guidance, could be substantial. Real Estate-Related Debt Investments Real estate-related debt investments are intended to be held until maturity and accordingly, will be carried at cost, net of unamortized loan fees, origination fees, discounts, premiums and unfunded commitments. Real estate-related debt investments that are deemed impaired will be carried at amortized cost less a reserve, if deemed appropriate, which approximates fair value. Investment income will be recognized on an accrual basis. Impairment on Real Estate-Related Debt Investments Real estate-related debt investments will be considered impaired when, based on current information and events, it is probable that the Company will not be able to collect principal and interest amounts due according to the contractual terms. Income recognition will be suspended for a debt investment at the earlier of the date at which payments become 90 days past due or when, in the opinion of management, a full recovery of income and principal becomes doubtful. When the ultimate collectability of the principal of an impaired debt investment is in doubt, all payments will be applied to principal under the cost recovery method. When the ultimate collectability of the principal of an impaired debt investment is not in doubt, contractual interest will be recorded as interest income when received, under the cash basis method, until an accrual is resumed when the debt investment becomes contractually current and performance is demonstrated to be resumed. A debt investment will be written off when it is no longer realizable or is legally discharged. |
Assets and Liabilities Held for Sale and Discontinued Operations | Assets and Liabilities Held for Sale and Discontinued Operations Assets and groups of assets and liabilities which comprise disposal groups are classified as “held for sale” when all of the following criteria are met: a decision has been made to sell, the assets are available for sale immediately, the assets are being actively marketed at a reasonable price in relation to the current fair value, a sale has been or is expected to be concluded within twelve months of the balance sheet date, and significant changes to the plan to sell are not expected. Assets and disposal groups held for sale are valued at the lower of book value or fair value less disposal costs. Assets held for sale are not depreciated. Additionally, if the disposal group represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results then the operating results and cash flows related to these assets and liabilities are included in discontinued operations in the consolidated statements of operations and consolidated statements of cash flows, respectively, for all periods presented, as long as the operations and cash flows of the disposal group is expected to be eliminated from ongoing operations as a result of the disposal and the Company will not have any significant continuing involvement in the operations of the disposal group after disposal. |
Depreciation and Amortization | Depreciation and Amortization Depreciation expense is computed based on the straight-line method over the estimated useful life of the applicable real estate asset. We generally use estimated useful lives of up to thirty-nine years for buildings and improvements and five to ten years for furniture and fixtures. Expenditures for tenant improvements and construction allowances paid to commercial tenants are capitalized and amortized over the initial term of each lease or the useful life if shorter. Expenditures for ordinary maintenance and repairs are charged to expense as incurred. |
Deferred Costs | Deferred Costs The Company will capitalize initial direct costs associated with financing activities. The costs will be capitalized upon the execution of the loan, presented in the consolidated balance sheets as a direct deduction from the carrying value of the corresponding loan and amortized over the initial term of the corresponding loan. Amortization of deferred loan costs will begin in the period during which the loan is originated using the effective interest method over the term of the loan. |
Investments in Unconsolidated Affiliated Real Estate Entities | Investments in Unconsolidated Entities The Company evaluates all joint venture arrangements and investments in entities for consolidation. The percentage interest in the joint venture or investment in entities, evaluation of control and whether a variable interest entity (“VIE”) exists are all considered in determining if the arrangement qualifies for consolidation. The Company accounts for its investments in unconsolidated entities using the equity or cost method of accounting, as appropriate. Under the equity method, the cost of an investment is adjusted for the Company’s share of equity in net income or loss beginning on the date of acquisition and reduced by distributions received. The income or loss of each joint venture investor is allocated in accordance with the provisions of the applicable operating agreements. The allocation provisions in these agreements may differ from the ownership interest held by each investor. Differences between the carrying amount of the Company’s investment in the respective joint venture and the Company’s share of the underlying equity of such unconsolidated entities are amortized over the respective lives of the underlying assets as applicable. These items are reported as a single line item in the consolidated statements of operations as income or loss from investments in unconsolidated entities. Under the cost method of accounting, the dividends earned from the underlying entities are recorded to interest income. |
Income Taxes | Income Taxes The Company made an election in 2006 to be taxed as a real estate investment trust (a “REIT”) under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Code”), beginning with its first taxable year, which ended December 31, 2005. The Company elected and qualified to be taxed as a REIT in conjunction with the filing of its 2005 U.S. federal tax return. To maintain its status as a REIT, the Company must meet certain organizational and operational requirements, including a requirement to distribute at least 90% of its ordinary taxable income to stockholders. As a REIT, the Company generally will not be subject to U.S. federal income tax on taxable income that it distributes to its stockholders. If the Company fails to qualify as a REIT in any taxable year, it will then be subject to U.S. federal income taxes on its taxable income at regular corporate rates and will not be permitted to qualify for treatment as a REIT for U.S. federal income tax purposes for four years following the year during which qualification is lost unless the Internal Revenue Service grants the Company relief under certain statutory provisions. Such an event could have a material effect on the Company’s net income and net cash available for distribution to stockholders. Through December 31, 2016, the Company has complied with the requirements for maintaining its REIT status. The Company has net operating loss carryforwards of $ 12.7 The Company engages in certain activities through taxable REIT subsidiaries (“TRSs”). As such, the Company may be subject to U.S. federal and state income taxes and franchise taxes from these activities. As of December 31, 2016, the Company had no material uncertain income tax positions. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, restricted escrows, tenants’ accounts receivable, interest receivable from related parties, accounts payable and accrued expenses and loans due to related parties approximate their fair values because of the short maturity of these instruments. T he estimated fair value of the notes payable (line of credit) approximated its carrying value 18.6 As of December 31, 2016 As of December 31, 2015 Estimated Fair Estimated Fair Carrying Amount Value Carrying Amount Value Mortgages payable $ 185.6 $ 183.2 $ 228.6 $ 227.1 The fair value of the mortgages payable was determined by discounting the future contractual interest and principal payments by estimated current market interest rates. |
Accounting for Derivative Financial Investments and Hedging Activities | Accounting for Derivative Financial Investments and Hedging Activities. The Company may enter into derivative financial instrument transactions in order to mitigate interest rate risk on a related financial instrument. The Company may designate these derivative financial instruments as hedges and apply hedge accounting. The Company records all derivative instruments at fair value on the consolidated balance sheets. Derivative instruments designated in a hedge relationship to mitigate exposure to variability in expected future cash flows, or other types of forecasted transactions, will be considered cash flow hedges. The Company will formally document all relationships between hedging instruments and hedged items, as well as our risk- management objective and strategy for undertaking each hedge transaction. The Company will periodically review the effectiveness of each hedging transaction, which involves estimating future cash flows. Cash flow hedges will be accounted for by recording the fair value of the derivative instrument on the consolidated balance sheet as either an asset or liability, with a corresponding amount recorded in accumulated other comprehensive income (loss) within stockholders’ equity. Amounts will be reclassified from other comprehensive income/(loss) to the consolidated statements of operations in the period or periods the hedged forecasted transaction affects earnings. Derivative instruments designated in a hedge relationship to mitigate exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, will be considered fair value hedges. The effective portion of the derivative gain or loss is initially reported as a component of other comprehensive income/(loss) and subsequently reclassified into earnings when the transaction affects earnings. The ineffective portion of the gain or loss is reported in earnings immediately. The change in fair value of derivative instruments which have not been formally documented as effective hedges will be reported as a gain or loss within the consolidated statement of operations. |
Stock-Based Compensation | Stock-Based Compensation The Company had a stock-based incentive award plan for the independent directors of its Board. This plan expired in April 2015. Awards were granted at fair market value on the date of the grant with fair value estimated using the Black-Scholes-Merton option valuation model, which incorporates assumptions surrounding the volatility, dividend yield, the risk-free interest rate, expected life, and the exercise price as compared to the underlying stock price on the grant date. The tax benefits, if any, associated with these share-based payments are classified as financing activities in the consolidated statement of cash flows. For the years ended December 31, 2016, 2015 and 2014, the Company had no material compensation costs related to the incentive award plan. |
Concentration of Risk | Concentration of Risk The Company maintains its cash in bank deposit accounts, which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. The Company believes it is not exposed to any significant credit risk on its cash and cash equivalents. |
Net Earnings per Share | Net Earnings per Share Basic net earnings per share is calculated by dividing net income attributable to common shareholders by the weighted-average number of shares of common stock outstanding during the applicable period. Dilutive income per share includes the potentially dilutive effect, if any, which would occur if our outstanding options to purchase our common stock were exercised. For all periods presented, there were no exercises of outstanding options and, therefore, dilutive net income per share is equivalent to basic net income per share. |
New Accounting Pronouncements | New Accounting Pronouncements In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that clarifies the definition of a business and assists in the evaluation of whether a transaction will be accounted for as an acquisition of an asset or as a business combination. The guidance provides a test to determine when a set of assets and activities acquired 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, the set is not a business. Under the updated guidance, an acquisition of a single property will likely be treated as an asset acquisition as opposed to a business combination and associated transaction costs will be capitalized rather than expensed as incurred. Additionally, assets acquired, liabilities assumed, and any noncontrolling interest will be measured at their relative fair values. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2017, with early adoption permitted. This guidance will not have a material impact on the Company’s consolidated financial statements. In August 2016, the FASB issued an accounting standards update which provides guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including those related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance, and distributions received from equity method investees. This guidance is effective for fiscal years beginning after December 15, 2017, and for interim periods within those fiscal years. The guidance must be adopted on a retrospective basis and must be applied to all periods presented, but may be applied prospectively if retrospective application would be impracticable. This guidance will not have a material impact on the Company’s consolidated financial statements. In June 2016, the FASB issued an accounting standards update which replaces the incurred loss impairment methodology current in use with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The new guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. This guidance will not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued an accounting standards update that eliminates the requirement for public business entities to disclose the method 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 and is effective for periods beginning after December 15, 2017 and early adoption is not permitted. This guidance will not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued an accounting standards update that generally requires companies to measure investments in equity securities, except those accounted for under the equity method, at fair value and recognize any changes in fair value in net income. The new guidance must be applied using a modified-retrospective approach and is effective for periods beginning after December 15, 2017 and early adoption is not permitted. If the Company had adopted this standard during the year ended December 31, 2016, it would have resulted in a (decrease)/increase to net income of approximately ($3.5 million), $6.3 million and $18.9 million for the years ended December 31, 2016, 2015 and 2014, In April 2015, the FASB issued an accounting standards update to simplify the presentation of debt issuance costs. This update requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This new guidance was effective for the Company beginning January 1, 2016. The Company adopted this standard during the quarter ended March 31, 2016. As a result of adopting this standard on a retrospective basis, approximately $ 2.0 In May 2014, the FASB issued an accounting standards update that provides for a single five-step model to be applied to all revenue contracts with customers as well as requires additional financial statement disclosures that will enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows relating to customer contracts. Companies have an option to use either a retrospective approach or cumulative effect adjustment approach to implement the standard. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. The Company does not expect the adoption of this standard to have a material impact on its financial position, results of operations or cash flows. The Company has reviewed and determined that other recently issued accounting pronouncements will not have a material impact on its financial position, results of operations and cash flows, or do not apply to its current operations. |
Reclassifications | Reclassifications Certain prior period amounts may have been reclassified to conform to the current year presentation. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Supplemental Cash Flow Information | Supplemental cash flow information for the periods indicated is as follows: For the Years Ended December 31, December 31, December 31, 2016 2015 2014 Cash paid for interest $ 9,152 $ 12,889 $ 16,810 Distributions declared $ 17,802 $ 18,077 $ 18,064 Value of shares issued from distribution reinvestment program $ - $ 1,453 $ 5,739 Non cash purchase of investment property $ 126 $ 320 $ 776 Debt assumed by joint venture in connection with disposition $ - $ 32,800 $ - Assignment of minority interest loans to joint venture in connection with disposition $ - $ 547 $ - |
Summary of Estimated Fair Value of Debt | The estimated fair value (in millions) of the Company’s debt is summarized as follows: As of December 31, 2016 As of December 31, 2015 Estimated Fair Estimated Fair Carrying Amount Value Carrying Amount Value Mortgages payable $ 185.6 $ 183.2 $ 228.6 $ 227.1 |
Dispositions of Investments i31
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investments in Unconsolidated Affiliated Real Estate Entity [Abstract] | |
Summary of the Company’s investment | A summary of the Company’s investment in unconsolidated affiliated real estate entity is as follows: As of Real Estate Entity Date Acquired Ownership December 31, 2016 December 31, 2015 1407 Broadway Mezz II LLC ("1407 Broadway") January 4, 2007 49.0 % $ - $ 1,989 Total Investment in unconsolidated affiliated real estate entity $ - $ 1,989 |
Schedule of Discontinued Operations | The following table represents the unaudited condensed income statements for 1407 Broadway: For the Year Ended For the Year Ended Total revenue $ 13,510 $ 41,159 Property operating expenses 9,439 29,608 Depreciation and amortization 2,644 7,011 Operating income 1,427 4,540 Interest expense and other, net (1,343) (3,266) Gain on disposition 9,891 - Gain on debt extinguishment - - Net income $ 9,975 $ 1,274 Company's share of net earnings $ 5,804 $ 821 The following table represents the unaudited condensed balance sheets for 1407 Broadway: As of December 31, 2015 Real estate, at cost (net) $ - Intangible assets - Cash and restricted cash 5,964 Other assets - Total assets $ 5,964 Mortgage payable $ - Other liabilities 556 Member capital 5,408 Total liabilities and members' capital $ 5,964 |
Preferred Investments (Tables)
Preferred Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Preferred Investment [Abstract] | |
Summary of the Preferred Investments | The Preferred Investments are summarized as follows: Preferred Investment Balance Unfunded Contributions Investment Income As of As of As of For the Year Ended December 31, Preferred Investments Dividend Rate December 31, 2016 December 31, 2015 December 31, 2016 2016 2015 2014 365 Bond Street 12 % $ - $ 42,237 $ - $ 2,252 $ 5,079 $ 1,944 40 East End Avenue 8% to 12 % 30,000 28,768 - 2,408 1,444 - 30-02 39th Avenue 9% to 12 % 12,300 7,301 37,700 1,429 184 - 485 7th Avenue 12 % 60,000 60,000 - 7,320 20 - East 11th Street 12 % 31,271 - 26,229 2,688 - - Miami Moxy 12 % 7,682 - 12,318 203 - Total Preferred Investments $ 141,253 $ 138,306 $ 76,247 $ 16,300 $ 6,727 $ 1,944 |
Supplementary Financial Infor33
Supplementary Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Supplementary Financial Information [Abstract] | |
Summary of Investment Property | Investment property consists of the following: As of As of December 31, 2016 December 31, 2015 Investment property: Land and improvements $ 60,485 $ 68,869 Building and improvements 203,054 238,757 Furniture and fixtures 17,613 17,421 Construction in progress 962 668 Gross investment property 282,114 325,715 Less accumulated depreciation (49,773) (50,278) Net investment property $ 232,341 $ 275,437 |
Summary of Accounts payable, accrued expenses and other liabilities | Accounts payable, accrued expenses and other liabilities consist of the following: As of As of December 31, 2016 December 31, 2015 Accounts payable and accrued expenses $ 4,653 $ 4,807 Accrued real estate taxes 1,009 610 Accrued interest payable 2,938 1,340 Accrued default interest payable (See Note 10) 9,175 7,117 Fair value of derivative financial instruments 90 157 Other liabilities 962 348 $ 18,827 $ 14,379 |
Marketable Securities and Fai34
Marketable Securities and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Marketable Securities And Fair Value Measurements [Abstract] | |
Summary of Available for Sale Securities | The following is a summary of the Company’s available for sale securities as of the dates indicated: As of December 31, 2016 Gross Unrealized Gross Unrealized Adjusted Cost Gains Losses Fair Value Equity Securities, primarily REITs $ 1,405 $ 325 $ - $ 1,730 Marco OP Units and Marco II OP Units 19,227 17,949 - 37,176 Corporate Bonds and Preferred Equities 11,382 - (397) 10,985 Mortgage Backed Securities ("MBS") 2,918 - (314) 2,604 Total $ 34,932 $ 18,274 $ (711) $ 52,495 As of December 31, 2015 Gross Unrealized Gross Unrealized Adjusted Cost Gains Losses Fair Value Equity Securities, primarily REITs $ 1,405 $ 487 $ (1) $ 1,891 Marco OP Units and Marco II OP Units 19,227 21,458 - 40,685 Corporate Bonds and Preferred Equities 35,880 474 (1,369) 34,985 Mortgage Backed Securities ("MBS") 3,769 - (314) 3,455 Total $ 60,281 $ 22,419 $ (1,684) $ 81,016 |
Marketable Securities, Available for Sale, and Derivative Financial Instruments Measured at Fair Value on Recurring Basis | Marketable securities, available for sale, measured at fair value on a recurring basis as of the dates indicated are as follows: Fair Value Measurement Using As of December 31, 2016 Level 1 Level 2 Level 3 Total Marketable Securities: Equity Securities, primarily REITs $ 1,730 $ - $ - $ 1,730 Marco OP and OP II Units - 37,176 - 37,176 Corporate Bonds and Preferred Equities - 10,985 - 10,985 MBS - 2,604 - 2,604 Total $ 1,730 $ 50,765 $ - $ 52,495 Fair Value Measurement Using As of December 31, 2015 Level 1 Level 2 Level 3 Total Marketable Securities: Equity Securities, primarily REITs $ 1,891 $ - $ - $ 1,891 Marco OP and OP II Units - 40,685 - 40,685 Corporate Bonds and Preferred Equities - 34,985 - 34,985 MBS - 3,455 - 3,455 Total $ 1,891 $ 79,125 $ - $ 81,016 |
Dispositions and Discontinued35
Dispositions and Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Dispositions [Abstract] | |
Schedule of Discontinued Operations | The following summary presents the aggregate operating results, through their respective dates of disposition, of the LVP REIT Hotels and Crowe’s Crossing included in discontinued operations in the consolidated statements of operations for the periods indicated. For the Years Ended December 31, 2015 2014 Revenue $ 8,000 $ 36,266 Operating expenses 5,742 33,770 Operating income 2,258 2,496 Interest expense and other, net (849) (3,894) Gain on disposition of real estate 17,322 1,676 Net income from discontinued operations $ 18,731 $ 278 |
Mortgages Payable (Tables)
Mortgages Payable (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Mortgages Payable [Abstract] | |
Schedule of Mortgages Payable | Mortgages payable,net consists of the following: Weighted Average Interest Rate as of Amount Due at As of As of Property Interest Rate December 31, 2016 Maturity Date Maturity December 31, 2016 December 31, 2015 Southeastern Michigan Multi-Family Properties (Repaid in full on May 17, 2016) $ - $ - $ 38,437 Oakview Plaza 5.49% 5.49 % January 2017 25,583 25,583 26,014 Gulf Coast Industrial Portfolio 9.83% 9.83 % Due on demand 50,205 50,205 50,525 St. Augustine Outlet Center (Matured and repaid in full on April 11, 2016) - - 23,875 St. Augustine Outlet Center LIBOR + 4.50% 5.05 % August 2018 20,400 20,400 - Gantry Park 4.48% 4.48 % November 2024 65,317 74,500 74,500 DePaul Plaza LIBOR + 2.75% 3.24 % June 2020 13,494 14,888 15,295 Total mortgages payable 6.03 % $ 174,999 $ 185,576 $ 228,646 Less: Deferred financing costs (2,263) (1,999) Total mortgages payable, net $ 183,313 $ 226,647 |
Contractually Scheduled Principal Maturities During Next Five Years | The following table shows our contractually scheduled principal maturities during the next five years and thereafter as of December 31, 2016: 2017 2018 2019 2020 2021 Thereafter Total Principal maturities $ 76,196 $ 21,967 $ 1,621 $ 14,924 $ 1,328 $ 69,540 $ 185,576 Less: Deferred financing costs (2,263) Total principal maturities, net $ 183,313 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Amount Recorded in Pursuant to Related Party Arrangment | The Company, pursuant to the related party arrangements described above, has recorded the following amounts in operating expenses, except for development fees and leasing commissions which were capitalized, for the years indicated: For the Year Ended December 31, December 31, December 31, 2016 2015 2014 Acquisition fees (general and administrative costs) $ - $ 8 $ 204 Asset management fees (general and administrative costs) 2,372 2,427 2,913 Property management fees (property operating expenses) 936 1,185 1,350 Development fees and leasing commissions* 116 344 552 Total $ 3,424 $ 3,964 $ 5,019 * Generally, capitalized and amortized over the estimated useful life of the associated asset. |
Future Minimum Rentals (Tables)
Future Minimum Rentals (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Lease [Abstract] | |
Schedule of Future Minimum Rental Payments | As of December 31, 2016, the approximate fixed future minimum rental from the Company’s commercial real estate properties are as follows: 2017 2018 2019 2020 2021 Thereafter Total $ 12,015 $ 9,799 $ 7,085 $ 4,053 $ 2,728 $ 5,785 $ 41,465 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information [Abstract] | |
Results of Operations and Total Assets of Operating Segments | Selected results of operations regarding the Company’s operating segments are as follows: For the Year Ended December 31, 2016 Retail Multi Family Industrial Hospitality Unallocated Total Total revenues $ 11,428 $ 12,553 $ 5,596 $ 22,417 $ - $ 51,994 Property operating expenses 3,623 3,507 2,000 17,998 2 27,130 Real estate taxes 1,419 482 869 315 - 3,085 General and administrative costs 71 72 94 375 4,416 5,028 Net operating income (loss) 6,315 8,492 2,633 3,729 (4,418) 16,751 Depreciation and amortization 4,627 2,291 1,646 2,813 - 11,377 Operating income (loss) $ 1,688 $ 6,201 $ 987 $ 916 $ (4,418) $ 5,374 Total purchase of investment property $ 1,581 $ 835 $ 936 $ 407 $ - $ 3,759 As of December 31, 2016: Total Assets $ 100,105 $ 71,170 $ 49,509 $ 25,071 $ 301,440 $ 547,295 For the Year Ended December 31, 2015 Multi-Family Retail Residential Industrial Hospitality Unallocated Total Total revenues $ 11,482 $ 17,479 $ 6,242 $ 20,647 $ - $ 55,850 Property operating expenses 3,969 5,450 2,050 16,809 2 28,280 Real estate taxes 1,401 1,062 758 300 - 3,521 General and administrative costs 9 166 (8) 305 4,537 5,009 Net operating income/(loss) 6,103 10,801 3,442 3,233 (4,539) 19,040 Depreciation and amortization 4,343 2,920 1,613 2,668 - 11,544 Operating income/(loss) $ 1,760 $ 7,881 $ 1,829 $ 565 (4,539) $ 7,496 Total purchase of investment property $ 8,918 $ 1,192 $ 929 $ 1,712 $ - $ 12,751 As of December 31, 2015: Total Assets $ 108,079 $ 113,601 $ 49,815 $ 26,825 $ 289,824 $ 588,144 For the Year Ended December 31, 2014 Multi-Family Retail Residential Industrial Hospitality Unallocated Total Total revenues $ 11,412 $ 19,774 $ 7,398 $ 18,705 $ - $ 57,289 Property operating expenses 3,427 6,732 2,114 15,717 2 27,992 Real estate taxes 1,150 1,456 761 250 - 3,617 General and administrative costs 19 305 10 216 6,157 6,707 Net operating income/(loss) 6,816 11,281 4,513 2,522 (6,159) 18,973 Depreciation and amortization 4,034 3,684 1,773 2,547 - 12,038 Operating income/(loss) $ 2,782 $ 7,597 $ 2,740 $ (25) (6,159) $ 6,935 Total purchase of investment property $ 2,545 $ 2,112 $ 899 $ 1,691 $ - $ 7,247 |
Quarterly Financial Data (Table
Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Data | The following table presents selected unaudited quarterly financial data for each quarter during the years indicated. The operating results of certain properties are classified as discontinued operations (see Notes 1 and 9 for additional information): 2016 Year ended Quarter ended Quarter ended Quarter ended Quarter ended December 31, December 31, September 30, June 30, March 31, Total revenue $ 51,994 $ 11,824 $ 13,060 $ 13,941 $ 13,169 Net income from continuing operation 35,452 3,575 7,357 22,908 1,612 Net income from discontinued operations - - - - - Net income 35,452 3,575 7,357 22,908 1,612 Less income attributable to noncontrolling interest (1,371) (205) (310) (622) (234) Net income applicable to Company's common shares 34,081 3,370 7,047 22,286 1,378 Basic and diluted net income per Company's share: Continuing operations 1.34 0.13 0.28 0.87 0.05 Net income per common share, basic and diluted $ 1.34 $ 0.13 $ 0.28 $ 0.87 $ 0.05 2015 Year ended Quarter ended Quarter ended Quarter ended Quarter ended December 31, December 31, September 30, June 30, March 31, Total revenue $ 55,850 $ 13,809 $ 14,734 $ 14,476 $ 12,831 Net income from continuing operation 45,961 1,933 1,160 35,690 7,178 Net income from discontinued operations 18,731 - - 4,126 14,605 Net income 64,692 1,933 1,160 39,816 21,783 Less income attributable to noncontrolling interest (4,468) (109) (265) (3,467) (627) Net income applicable to Company's common shares 60,224 1,824 895 36,349 21,156 Basic and diluted net income per Company's share: Continuing operations 1.60 0.07 0.03 1.24 0.26 Discontinued operations 0.73 - - 0.16 0.56 Net income per common share, basic and diluted $ 2.33 $ 0.07 $ 0.03 $ 1.40 $ 0.82 |
Organization (Details Textual)
Organization (Details Textual) $ / shares in Units, $ in Thousands, ft² in Millions | Jan. 02, 2014USD ($)shares | Jan. 02, 2014USD ($)shares | Aug. 25, 2009 | Sep. 30, 2013USD ($)shares | Mar. 31, 2009USD ($)$ / shares | Dec. 31, 2016ft²Rate$ / availableshares | Dec. 31, 2015shares | Dec. 31, 2014shares | Dec. 31, 2009USD ($)shares | Jul. 06, 2004USD ($)shares |
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Date of incorporation | Jun. 8, 2004 | |||||||||
Lightstone REIT, partnership formation date | Jul. 12, 2004 | |||||||||
General partner ownership interest | 98.00% | |||||||||
Cash contributed for units | $ | $ 2 | |||||||||
Partners units acquired | 200 | |||||||||
Amount of SLP Units purchased | $ | $ 30,000 | |||||||||
Operating Partnership price per unit | $ / shares | $ 100,000 | |||||||||
Issuance of Common Units, shares | 497,209 | |||||||||
Number of shares redeemed | 500,000 | 300,000 | 300,000 | |||||||
Series A Preferred Units [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Issuance of Common Units, shares | 93,616 | |||||||||
Liquidation preference amount | $ | $ 93,600 | |||||||||
Number of shares redeemed | 50,100 | 50,100 | 43,516 | |||||||
Redemption of shares amount | $ | $ 50,100 | $ 50,100 | $ 43,500 | |||||||
Mill Run [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
General partner ownership interest | 14.26% | |||||||||
Ownership interest owned by noncontroling interest holder | 36.80% | |||||||||
POAC [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
General partner ownership interest | 15.00% | |||||||||
Ownership interest owned by noncontroling interest holder | 40.00% | |||||||||
Retail [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Occupancy Percentage Of Commercial Properties | 86.00% | |||||||||
Industrial Properties [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Occupancy Percentage Of Commercial Properties | 62.00% | |||||||||
Residential Real Estate [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Occupancy Percentage Of Commercial Properties | 98.00% | |||||||||
Hospitality [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Occupancy Percentage Of Commercial Properties | 67.00% | |||||||||
Average Revenue Per Available Room | $ / available | 86 | |||||||||
Wholly Owned Properties [Member] | Retail [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Area of Real Estate Property | ft² | 0.7 | |||||||||
Wholly Owned Properties [Member] | Industrial Properties [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Number of Real Estate Properties | 14 | |||||||||
Area of Real Estate Property | ft² | 1 | |||||||||
Wholly Owned Properties [Member] | Residential Real Estate [Member] | ||||||||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||||||||
Number of Units in Real Estate Property | Rate | 199 |
Summary of Significant Accoun42
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash paid for interest | $ 9,152 | $ 12,889 | $ 16,810 |
Distributions declared | 17,802 | 18,077 | 18,064 |
Value of shares issued from distribution reinvestment program | 0 | 1,453 | 5,739 |
Non cash purchase of investment property | 126 | 320 | 776 |
Debt assumed by joint venture in connection with disposition | 0 | 32,800 | 0 |
Assignment of minority interest loans to joint venture in connection with disposition | $ 0 | $ 547 | $ 0 |
Summary of Significant Accoun43
Summary of Significant Accounting Policies (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Carrying Amount | $ 185,576 | $ 228,646 |
Estimated Fair Value | $ 183,200 | $ 227,100 |
Summary of Significant Accoun44
Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Mar. 31, 2016 | |
Equity Method Investment, Ownership Percentage | 98.00% | |
Operating Loss Carryforwards | $ 12.7 | |
Notes Payable, Fair Value Disclosure | $ 18.6 | |
New Accounting Pronouncement or Change in Accounting Principle, Description | If the Company had adopted this standard during the year ended December 31, 2016, it would have resulted in a (decrease)/increase to net incomeof approximately ($3.5 million), $6.3 million and $18.9 million for the years ended December 31, 2016, 2015 and 2014, respectively. | |
Reclassification Of Financing CostsTo Mortgage Payable [Member] | ||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ 2 |
Disposition of limited servic45
Disposition of limited service hotels (Details Textual) | Jun. 30, 2015USD ($) | Jun. 10, 2015USD ($) | Feb. 11, 2015USD ($) | Jan. 29, 2015USD ($) | Jan. 19, 2015USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016USD ($) |
Business Combination, Consideration Transferred, Total | $ 122,400,000 | |||||||
Investments in and Advances to Affiliates, at Fair Value | $ 139,809,000 | $ 142,752,000 | ||||||
Sale consideration | $ 28,000,000 | $ 23,400,000 | $ 64,600,000 | |||||
Disposal Group, Including Discontinued Operation, Consideration | 28,000,000 | $ 23,400,000 | $ 64,600,000 | |||||
Gain (Loss) on Disposition of Real Estate, Discontinued Operations | $ 17,322,000 | $ 1,676,000 | ||||||
Hotel Portfolio [Member] | ||||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 100.00% | |||||||
Disposal Group Including Discontinued Operation Debt Repaid | $ 34.1 | |||||||
Lightstone II [Member] | ||||||||
Joint Venture Membership Percentage by Other Party | 97.50% | |||||||
Joint Venture with Lightstone II [Member] | ||||||||
Joint Venture Membership Percentage by Entity | 2.50% | 2.50% | ||||||
Investments in and Advances to Affiliates, at Fair Value | $ 1,500,000 | |||||||
Courtyard Marriott Persippany Nj [Member] | ||||||||
Number of Room in Limited Service Hotel | 151 | |||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 100.00% | |||||||
Courtyard Marriott Willoughby [Member] | ||||||||
Number of Room in Limited Service Hotel | 90 | |||||||
Fairfield Inn And Suites By Marriott [Member] | ||||||||
Number of Room in Limited Service Hotel | 102 | |||||||
Springhill Suites By Marriott [Member] | ||||||||
Number of Suite in Limited Service Hotel | 97 | |||||||
Holiday Inn Express Hotel And Suites, Auburn, Alabama [Member] | ||||||||
Number of Room in Limited Service Hotel | 82 | |||||||
Courtyard Marriott Baton Rouge La [Member] | ||||||||
Number of Room in Limited Service Hotel | 121 | |||||||
Ownership Percentage in Hotel by Subsidiary | 90.00% | |||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 90.00% | |||||||
Sale consideration | $ 7,400,000 | |||||||
Disposal Group Including Discontinued Operation Net Consideration | 1,200,000 | |||||||
Disposal Group Including Discontinued Operation Debt Repaid | 6,100,000 | |||||||
Disposal Group, Including Discontinued Operation, Consideration | $ 7,400,000 | |||||||
Residence Inn Baton Rouge La [Member] | ||||||||
Number of Room in Limited Service Hotel | 108 | |||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 90.00% | |||||||
Residence Inn Baton Rouge La [Member] | Lightstone Value Plus REIT LP [Member] | ||||||||
Ownership Percentage in Hotel by Subsidiary | 90.00% | |||||||
Aloft Rogers [Member] | ||||||||
Number of Room in Limited Service Hotel | 130 | |||||||
Fairfield Inn Jonesboro [Member] | ||||||||
Number of Room in Limited Service Hotel | 83 | |||||||
Fairfield Inn Jonesboro [Member] | Lightstone Value Plus REIT LP [Member] | ||||||||
Ownership Percentage in Hotel by Subsidiary | 95.00% | |||||||
Hampton Inn Miami [Member] | ||||||||
Number of Room in Limited Service Hotel | 127 | |||||||
Hampton Inn and Suites Fort Lauderdale [Member] | ||||||||
Number of Room in Limited Service Hotel | 104 | |||||||
Operating Partnership [Member] | Hotel Portfolio [Member] | ||||||||
Disposal Group Including Discontinued Operation Net Consideration | 12,900,000 | $ 12,200,000 | $ 30,500,000 | |||||
Disposal Group Including Discontinued Operation Debt Repaid | $ 15,100,000 | $ 11,600,000 | $ 34,100,000 | |||||
Operating Partnership [Member] | Holiday Inn Express Hotel And Suites, Auburn, Alabama [Member] | ||||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 100.00% | |||||||
Operating Partnership [Member] | Aloft Rogers [Member] | ||||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 100.00% | |||||||
Operating Partnership [Member] | Fairfield Inn Jonesboro [Member] | ||||||||
Disposal Group Including Discontinued Operation Membership Interest Sold | 95.00% |
Dispositions of Investments i46
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Equity Method Investments [Line Items] | ||
Ownership | 98.00% | |
Total Investments in unconsolidated affiliated real estate entity | $ 0 | $ 1,989 |
1407 Broadway Mezz II, LLC [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Date Acquired | Jan. 4, 2007 | |
Ownership | 49.00% | 49.00% |
Total Investments in unconsolidated affiliated real estate entity | $ 0 | $ 1,989 |
Dispositions of Investments i47
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||
Total revenue | $ 8,000 | $ 36,266 | |
Property operating expenses | 5,742 | 33,770 | |
Operating income | 2,258 | 2,496 | |
Interest expense and other, net | (849) | (3,894) | |
Gain on disposition | 17,322 | 1,676 | |
Net income | $ 0 | 18,731 | 278 |
1407 Broadway [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Total revenue | 13,510 | 41,159 | |
Property operating expenses | 9,439 | 29,608 | |
Depreciation and amortization | 2,644 | 7,011 | |
Operating income | 1,427 | 4,540 | |
Interest expense and other, net | (1,343) | (3,266) | |
Gain on disposition | 9,891 | 0 | |
Gain on debt extinguishment | 0 | 0 | |
Net income | 9,975 | 1,274 | |
Company's share of net earnings | $ 5,804 | $ 821 |
Dispositions of Investments i48
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities (Details 2) - 1407 Broadway [Member] $ in Thousands | Dec. 31, 2016USD ($) |
Schedule of Equity Method Investments [Line Items] | |
Real estate, at cost (net) | $ 0 |
Intangible assets | 0 |
Cash and restricted cash | 5,964 |
Other assets | 0 |
Total assets | 5,964 |
Mortgage payable | 0 |
Other liabilities | 556 |
Member capital | 5,408 |
Total liabilities and members' capital | $ 5,964 |
Dispositions of Investments i49
Dispositions of Investments in Unconsolidated Affiliated Real Estate Entities (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Apr. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Dispositions of Investments [Line Items] | |||||
Equity Method Investment Realized Gain Loss On Disposal | $ 23,705 | $ 0 | $ 9,114 | ||
Equity Method Investment, Ownership Percentage | 98.00% | ||||
Equity Method Investments | $ 0 | 1,989 | |||
Net Proceeds from Sale of Sub Leasehold Interest after Repayments | 15,100 | ||||
General Partners' Contributed Capital | $ 1,600 | ||||
1407 Broadway [Member] | |||||
Dispositions of Investments [Line Items] | |||||
Equity Method Investment, Ownership Percentage | 49.00% | 49.00% | |||
Proceeds from Sale of Sub Leasehold Interest | $ 150,000 | $ 15,100 | |||
Equity Method Investments | $ 0 | 1,989 | |||
Partners' Capital Account, Contributions | 19,900 | 500 | |||
Income Loss From Equity Method Investments Before Adjustment For Unrecorded Losses | 5,700 | ||||
Gain (Loss) on Disposition of Assets | 9,900 | ||||
Fourteen zero seven broad way [Member] | |||||
Dispositions of Investments [Line Items] | |||||
Equity Method Investments | $ 2,000 | ||||
Grand Prairie Holdings Llc [Member] | |||||
Dispositions of Investments [Line Items] | |||||
Equity Method Investment Realized Gain Loss On Disposal | $ 4,400 | $ 4,400 |
Preferred Investments (Details)
Preferred Investments (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Investments in and Advances to Affiliates [Line Items] | |||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 141,253 | $ 138,306 | |
Unfunded Investment Contribution Liabilities | 76,247 | ||
Preferred Stock Dividend Income | $ 16,300 | 6,727 | $ 1,944 |
365 Bond Street Preferred Investment [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 0 | 42,237 | |
Unfunded Investment Contribution Liabilities | 0 | ||
Preferred Stock Dividend Income | 2,252 | 5,079 | 1,944 |
40 East End Avenue Preferred Investment [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 30,000 | 28,768 | |
Unfunded Investment Contribution Liabilities | 0 | ||
Preferred Stock Dividend Income | $ 2,408 | 1,444 | 0 |
40 East End Avenue Preferred Investment [Member] | Maximum [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
40 East End Avenue Preferred Investment [Member] | Minimum [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 8.00% | ||
30-02 39th Avenue Preferred Investment [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 12,300 | 7,301 | |
Unfunded Investment Contribution Liabilities | 37,700 | ||
Preferred Stock Dividend Income | $ 1,429 | 184 | 0 |
30-02 39th Avenue Preferred Investment [Member] | Maximum [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
30-02 39th Avenue Preferred Investment [Member] | Minimum [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 9.00% | ||
485 7th Avenue | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 60,000 | 60,000 | |
Unfunded Investment Contribution Liabilities | 0 | ||
Preferred Stock Dividend Income | $ 7,320 | 20 | 0 |
East 11th Street | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 31,271 | 0 | |
Unfunded Investment Contribution Liabilities | 26,229 | ||
Preferred Stock Dividend Income | $ 2,688 | 0 | 0 |
Miami Moxy | |||
Investments in and Advances to Affiliates [Line Items] | |||
Preferred Stock, Dividend Rate, Percentage | 12.00% | ||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 7,682 | $ 0 | |
Unfunded Investment Contribution Liabilities | 12,318 | ||
Preferred Stock Dividend Income | $ 203 | $ 0 |
Preferred Investments (Details
Preferred Investments (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||||
Sep. 30, 2016 | Apr. 21, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Nov. 14, 2016 | Nov. 13, 2015 | Aug. 31, 2015 | May 31, 2015 | Mar. 31, 2014 | |
Annual distribution rate | 7.00% | 7.00% | 7.00% | |||||||
Unfunded Investment Contribution Liabilities | $ 76,247 | |||||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 141,253 | $ 138,306 | ||||||||
Percentage Of Preferred Distribution Rate | 12.00% | |||||||||
365 Bond Street Preferred Investment [Member] | ||||||||||
Preferred Equity Distributions Additional Investment Available | $ 10,000,000 | |||||||||
Preferred Equity Distributions Amount Declared | $ 35,000,000 | |||||||||
Annual distribution rate | 12.00% | |||||||||
Unfunded Investment Contribution Liabilities | 0 | |||||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 0 | 42,237 | ||||||||
40 East End Avenue Preferred Investment [Member] | ||||||||||
Preferred Equity Distributions Additional Investment Available | $ 30,000,000 | |||||||||
Annual distribution rate | 8.00% | |||||||||
Unfunded Investment Contribution Liabilities | 0 | |||||||||
Annualized Distribution Rate Upon Procurement Of Construction Financing | 12.00% | |||||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 30,000 | 28,768 | ||||||||
30-02 39th Avenue Preferred Investment [Member] | ||||||||||
Preferred Equity Distributions Additional Investment Available | $ 50,000,000 | |||||||||
Unfunded Investment Contribution Liabilities | 37,700 | |||||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 12,300 | 7,301 | ||||||||
30-02 39th Avenue Preferred Investment [Member] | Minimum [Member] | ||||||||||
Monthly Distribution Rate | 9.00% | |||||||||
30-02 39th Avenue Preferred Investment [Member] | Maximum [Member] | ||||||||||
Monthly Distribution Rate | 12.00% | |||||||||
Four Eighty Five Seventh Avenue Preferred Investment [Member] | ||||||||||
Preferred Equity Distributions Amount Declared | $ 60,000,000 | |||||||||
Annual distribution rate | 12.00% | |||||||||
Unfunded Investment Contribution Liabilities | 0 | |||||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | 60,000 | $ 60,000 | ||||||||
Preferred Investments [Member] | ||||||||||
Unfunded Investment Contribution Liabilities | 76,200,000 | |||||||||
Preferred Stock Investments Income | 16,300,000 | 6,700,000 | $ 1,900,000 | |||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 141,300,000 | $ 138,300,000 | ||||||||
Proceeds from Contributions from Affiliates | $ 20,000,000 | $ 40,000,000 | ||||||||
Percentage Of Preferred Distribution Rate | 12.00% | |||||||||
Preferred Investments [Member] | Minimum [Member] | ||||||||||
Investments in and Advances to Affiliates, at Fair Value, Period Increase (Decrease) | $ 17,500,000 | |||||||||
Preferred Investments [Member] | Maximum [Member] | ||||||||||
Investments in and Advances to Affiliates, at Fair Value, Period Increase (Decrease) | $ 57,500,000 |
Mortgage Receivable (Details Te
Mortgage Receivable (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jun. 21, 2011 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Jul. 31, 2007 | |
Acquisition Fees And Expenses Percentage Of Purchase Price | 2.75% | ||||
Notes Receivable [Member] | Rego Park JV Second Mortgage [Member] | |||||
Debt Instrument, Face Amount | $ 8,800 | $ 9,100 | |||
Payments to Acquire Notes Receivable | 5,600 | ||||
Debt Instrument, Unamortized Discount | $ 3,200 | ||||
Acquisition Fees And Expenses Percentage Of Purchase Price | 2.75% | ||||
Acquisition Related Expenses | $ 200 | ||||
Debt Instrument, Frequency of Periodic Payment | monthly | ||||
Notes Receivable [Member] | Holiday Inn - East Brunswick [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 6.33% | ||||
Debt Instrument, Frequency of Periodic Payment | monthly | ||||
Debt Instrument, Periodic Payment, Interest | $ 56 | ||||
Investment Income, Interest | $ 500 | $ 500 | $ 500 |
Supplementary Financial Infor53
Supplementary Financial Information (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Real Estate Investment Property, at Cost | ||
Land and improvements | $ 60,485 | $ 68,869 |
Building and improvements | 203,054 | 238,757 |
Furniture and fixtures | 17,613 | 17,421 |
Construction in progress | 962 | 668 |
Gross investment property | 282,114 | 325,715 |
Less accumulated depreciation | (49,773) | (50,278) |
Net investment property | $ 232,341 | $ 275,437 |
Supplementary Financial Infor54
Supplementary Financial Information (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts payable and accrued expenses | $ 4,653 | $ 4,807 |
Accrued real estate taxes | 1,009 | 610 |
Accrued interest payable | 2,938 | 1,340 |
Accrued default interest payable (See Note 10) | 9,175 | 7,117 |
Fair value of derivative financial instruments | 90 | 157 |
Other liabilities | 962 | 348 |
Accounts Payable and Other Accrued Liabilities | $ 18,827 | $ 14,379 |
Marketable Securities and Fai55
Marketable Securities and Fair Value Measurements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Adjusted Cost | $ 34,932 | $ 60,281 |
Gross Unrealized Gains | 18,274 | 22,419 |
Gross Unrealized Losses | (711) | (1,684) |
Fair Value | 52,495 | 81,016 |
Equity Securities, primarily REITs [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Adjusted Cost | 1,405 | 1,405 |
Gross Unrealized Gains | 325 | 487 |
Gross Unrealized Losses | 0 | (1) |
Fair Value | 1,730 | 1,891 |
Marco OP and OP II Units [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Adjusted Cost | 19,227 | 19,227 |
Gross Unrealized Gains | 17,949 | 21,458 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 37,176 | 40,685 |
Corporate Bonds And Preferred Equities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Adjusted Cost | 11,382 | 35,880 |
Gross Unrealized Gains | 0 | 474 |
Gross Unrealized Losses | (397) | (1,369) |
Fair Value | 10,985 | 34,985 |
MBS [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Adjusted Cost | 2,918 | 3,769 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (314) | (314) |
Fair Value | $ 2,604 | $ 3,455 |
Marketable Securities and Fai56
Marketable Securities and Fair Value Measurements (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | $ 52,495 | $ 81,016 |
Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 1,730 | 1,891 |
Marco Op Units And Op Two Units [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 37,176 | 40,685 |
Corporate Bonds And Preferred Equities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 10,985 | 34,985 |
Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 2,604 | 3,455 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 1,730 | 1,891 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 1,730 | 1,891 |
Fair Value, Inputs, Level 1 [Member] | Marco Op Units And Op Two Units [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Corporate Bonds And Preferred Equities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 50,765 | 79,125 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Marco Op Units And Op Two Units [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 37,176 | 40,685 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds And Preferred Equities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 10,985 | 34,985 |
Fair Value, Inputs, Level 2 [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 2,604 | 3,455 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Marco Op Units And Op Two Units [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Corporate Bonds And Preferred Equities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | $ 0 | $ 0 |
Marketable Securities and Fai57
Marketable Securities and Fair Value Measurements (Details Textual) - USD ($) | Sep. 14, 2012 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Shares of equity securities sold | 383,000 | |||
Dividend income | $ 5,700,000 | |||
Equity securities sold, cost basis | $ 32,700,000 | |||
Proceeds from sale of equity securities | 67,100,000 | |||
Realized gain on sale of equity securities | $ 34,400,000 | |||
Margin Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Debt instrument, interest rate terms | Libor plus 0.85% | |||
Debt instrument, interest rate at end of period | 1.62% | |||
Line of Credit [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Debt instrument, interest rate terms | Libor plus 1.35% | |||
Debt instrument, maturity date | Jun. 19, 2017 | |||
Line of credit facility, maximum borrowing capacity | $ 25,000,000 | |||
Line of credit facility, amount outstanding | $ 18,600,000 | |||
Line of credit facility, unused fee, as a percent of available but unused credt capacity | 2.12% | |||
Marco OP Units and Pro DFJV Holdings LLC [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Debt Instrument, Collateral Amount | $ 252,000 | |||
Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available for sale securities debt maturity minimum period | 27 years | |||
Available for sale securities debt maturity maximum period | 30 years |
Dispositions and Discontinued58
Dispositions and Discontinued Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue | $ 8,000 | $ 36,266 | |
Operating expenses | 5,742 | 33,770 | |
Operating income | 2,258 | 2,496 | |
Interest expense and other, net | (849) | (3,894) | |
Gain on disposition of real estate | 17,322 | 1,676 | |
Net income from discontinued operations | $ 0 | $ 18,731 | $ 278 |
Dispositions and Discontinued59
Dispositions and Discontinued Operations (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2014 | Jul. 31, 2014 | Jan. 22, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Disposition of limited service hotels [Line Items] | ||||||||
Repayment of debt | $ 63,470 | $ 2,406 | $ 73,405 | |||||
Gain (Loss) on Disposition of Property Plant Equipment | $ 11,500 | $ 2,400 | 23,700 | |||||
Crowes Crossing [Member] | ||||||||
Disposition of limited service hotels [Line Items] | ||||||||
Disposal of real estate | $ 9,300 | |||||||
Repayment of debt | $ 5,800 | |||||||
Gain (Loss) on Disposition of Property Plant Equipment | $ 1,700 | |||||||
Sarasota Florida Industrial [Member] | ||||||||
Disposition of limited service hotels [Line Items] | ||||||||
Disposal of real estate | $ 5,300 | |||||||
Camden Multi Family Properties [Member] | ||||||||
Disposition of limited service hotels [Line Items] | ||||||||
Disposal of real estate | $ 32,400 | |||||||
Real Estate Two [Member] | ||||||||
Disposition of limited service hotels [Line Items] | ||||||||
Disposal of real estate | $ 60,900 | |||||||
LVP REIT Hotels [Member] | ||||||||
Disposition of limited service hotels [Line Items] | ||||||||
Disposal of real estate | 122,400 | |||||||
Gain (Loss) on Disposition of Property Plant Equipment | $ 17,300 |
Mortgages Payable (Details)
Mortgages Payable (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Jul. 28, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | |||
Weighted Average Interest Rate | 6.03% | ||
Amount Due at Maturity | $ 174,999 | ||
Total mortgages payable | 185,576 | $ 228,646 | |
Less: Deferred financing costs | (2,263) | (1,999) | |
Total mortgages payable, net | 183,313 | 226,647 | |
Southeastern Michigan Multi Family Properties [Member] | |||
Debt Instrument [Line Items] | |||
Amount Due at Maturity | 0 | ||
Total mortgages payable, net | $ 0 | 38,437 | |
Oakview Plaza [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | 5.49% | ||
Weighted Average Interest Rate | 5.49% | ||
Maturity Date | 2017-01 | ||
Amount Due at Maturity | $ 25,583 | ||
Total mortgages payable, net | $ 25,583 | 26,014 | |
Gulf Coast Industrial Portfolio [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | 9.83% | ||
Weighted Average Interest Rate | 9.83% | ||
Amount Due at Maturity | $ 50,205 | ||
Total mortgages payable, net | 50,205 | 50,525 | |
St Augustine Outlet Center [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | LIBOR+4.50% | ||
Amount Due at Maturity | 0 | ||
Total mortgages payable, net | $ 0 | 23,875 | |
Debt Instrument, Maturity Date | Apr. 7, 2016 | ||
St Augustine Outlet Center 2 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | LIBOR + 4.50% | ||
Weighted Average Interest Rate | 5.05% | ||
Maturity Date | 2018-08 | ||
Amount Due at Maturity | $ 20,400 | ||
Total mortgages payable, net | $ 20,400 | 0 | |
Gantry Park [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | 4.48% | ||
Weighted Average Interest Rate | 4.48% | ||
Amount Due at Maturity | $ 65,317 | ||
Total mortgages payable, net | $ 74,500 | 74,500 | |
DePaul Plaza [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate terms | LIBOR + 2.75% | ||
Weighted Average Interest Rate | 3.24% | ||
Maturity Date | 2020-06 | ||
Amount Due at Maturity | $ 13,494 | ||
Total mortgages payable, net | $ 14,888 | $ 15,295 | |
Gantry Park [Member] | |||
Debt Instrument [Line Items] | |||
Maturity Date | 2024-11 |
Mortgages Payable (Details 1)
Mortgages Payable (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
2,017 | $ 76,196 | |
2,018 | 21,967 | |
2,019 | 1,621 | |
2,020 | 14,924 | |
2,021 | 1,328 | |
Thereafter | 69,540 | |
Total | 185,576 | $ 228,646 |
Less: Deferred financing costs | (2,263) | (1,999) |
Total principal maturities, net | $ 183,313 | $ 226,647 |
Mortgages Payable (Details Text
Mortgages Payable (Details Textual) - USD ($) $ in Thousands | Apr. 11, 2016 | Jun. 30, 2015 | Jun. 01, 2015 | Jul. 28, 2016 | May 17, 2016 | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | |||||||
Debt Instrument Interest London Interbank Offered Rate | 0.77% | 0.42% | |||||
Escrow Deposit | $ 2,818 | $ 7,672 | |||||
Debt Instrument, Increase, Accrued Interest | 2,100 | ||||||
Accrued default interest payable | 9,175 | 7,117 | |||||
Loan agreements [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Escrow Deposit | 2,100 | 7,100 | |||||
St. Augustine Outlet Center [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 20,400 | ||||||
Debt Instrument, Interest Rate Terms | LIBOR+4.50% | ||||||
Debt instrument, term of loan | 2 years | ||||||
St. Augustine Outlet Center [Member] | Mortgage payable [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | 25,600 | ||||||
Courtyard - Baton Rouge [Member] | Mortgage payable [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Accrued default interest payable | 9,200 | $ 7,100 | |||||
De Paul Plaza [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, face amount | $ 13,000 | 15,500 | |||||
Proceeds From Refinancing Of Debt | $ 3,900 | ||||||
Debt Instrument, Interest Rate Terms | LIBOR + 2.75% | ||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 3.00% | |||||
Mortgages [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of Debt | $ 23,700 | $ 38,200 |
Distributions Payable (Details
Distributions Payable (Details Textual) - USD ($) | Nov. 14, 2016 | Nov. 13, 2015 | Dec. 31, 2016 |
Distribution Rate Per Day | $ 0.0019178 | $ 0.0019178 | $ 0.0019178 |
Number Of Days Used To Calculate Dividend Per Day | 365 days | 365 days | 365 days |
Annualized Distribution Rate | 7.00% | 7.00% | 7.00% |
Share Price | $ 10 | $ 10 | $ 10 |
Company's Stockholder's Equity
Company's Stockholder's Equity (Details Textual) - USD ($) | Nov. 14, 2016 | Nov. 13, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Distribution Rate Per Day | $ 0.0019178 | $ 0.0019178 | $ 0.0019178 | ||
Annualized Distribution Rate | 7.00% | 7.00% | 7.00% | ||
Share Price | $ 10 | $ 10 | $ 10 | ||
Number Of Days Used To Calculate Dividend Per Day | 365 days | 365 days | 365 days | ||
Deferred Compensation Arrangement with Individual, Common Stock Reserved for Future Issuance | 7,300,000 | ||||
Stock Redeemed or Called During Period, Shares | 500,000 | 300,000 | 300,000 | ||
Share Based Compensaton Arrangement Share Based Payment Award Number Of Shares Granted Per Plan Participant | 3,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 75,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Beginning Balance | 75,000 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $ 9.80 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | 11.80 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | 10.56 | ||||
Investments Options Exercise Price | $ 10 | ||||
Option term | 10 years | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 12,000 |
Noncontrolling Interests (Detai
Noncontrolling Interests (Details Textual) - USD ($) | Jan. 02, 2014 | Aug. 14, 2012 | Nov. 19, 2014 | Jan. 02, 2014 | Aug. 18, 2011 | Sep. 15, 2009 | Aug. 25, 2009 | Sep. 30, 2013 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Jan. 15, 2017 | Jan. 15, 2016 | Aug. 31, 2010 | Dec. 31, 2009 | Jul. 06, 2004 |
Stock Redeemed or Called During Period, Shares | 500,000 | 300,000 | 300,000 | |||||||||||||
Payments of Ordinary Dividends, Noncontrolling Interest | $ 11,014,000 | $ 5,393,000 | $ 15,082,000 | |||||||||||||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 98.00% | |||||||||||||||
Preferred Stock, Shares Outstanding | 50,100 | 50,100 | 0 | 0 | ||||||||||||
Dividends, Cash | $ 17,802,000 | $ 18,077,000 | 18,064,000 | |||||||||||||
Acquisition Fees And Expenses Percentage Of Purchase Price | 2.75% | |||||||||||||||
Preferred Units, Contributed Capital | $ 2,000 | |||||||||||||||
Total Noncontrolling Interests [Member] | ||||||||||||||||
Cumulative Dividends | $ 600,000 | |||||||||||||||
Dividends, Cash | $ 0 | $ 0 | $ 0 | |||||||||||||
Total Noncontrolling Interests [Member] | Subsequent Event [Member] | ||||||||||||||||
Cumulative Dividends | $ 600,000 | |||||||||||||||
Prime Outlets Acquisition Company [Member] | ||||||||||||||||
Acquisition Related Expenses | $ 5,600,000 | |||||||||||||||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 15.00% | |||||||||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 40.00% | |||||||||||||||
Mill Run Llc [Member] | ||||||||||||||||
Acquisition Related Expenses | $ 1,300,000 | |||||||||||||||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 14.26% | |||||||||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 36.80% | |||||||||||||||
Pro Dfjvholdings Limited Liability Company [Member] | ||||||||||||||||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 99.99% | |||||||||||||||
Threshold To Receive Distributions | $ 29,000,000 | |||||||||||||||
Payments to Acquire Additional Interest in Subsidiaries | $ 2,900 | |||||||||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 0.01% | |||||||||||||||
Dividends, Cash | 6,900,000 | |||||||||||||||
Prime Outlets Acquisition Company And Mill Run Llc [Member] | ||||||||||||||||
Acquisition Related Expenses | $ 6,900,000 | $ 6,900,000 | ||||||||||||||
Acquisition Fees And Expenses Percentage Of Purchase Price | 2.75% | |||||||||||||||
Preferred Units, Contributed Capital | $ 29,000,000 | |||||||||||||||
Second Street Joint Venture [Member] | ||||||||||||||||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 15.80% | 75.00% | 59.20% | |||||||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 40.80% | |||||||||||||||
David Lichtenstein [Member] | ||||||||||||||||
Preferred Units, Contributed Capital | $ 6,900,000 | |||||||||||||||
Mortgage payable [Member] | Second Street Joint Venture [Member] | ||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.48% | |||||||||||||||
Debt Instrument, Face Amount | $ 74,500,000 | |||||||||||||||
Debt Instrument, Term | 10 years | |||||||||||||||
Debt Instrument Amortization Term | 30 years | |||||||||||||||
Sponsors And Other Affiliates [Member] | ||||||||||||||||
Payments of Ordinary Dividends, Noncontrolling Interest | $ 11,500,000 | |||||||||||||||
Second Street Owner [Member] | Gantry Park [Member] | ||||||||||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 25.00% | |||||||||||||||
Advisor [Member] | Pro Dfjvholdings Limited Liability Company [Member] | ||||||||||||||||
Profit ship Ownership Interest | 19.17% | |||||||||||||||
Advisors Interest Share in ship Profit, Description | (approximately $6.9 million divided by the sum of $29.0 million plus approximately $6.9 million, or approximately $35.6 million) | |||||||||||||||
Preferred Class A [Member] | ||||||||||||||||
Stock Redeemed or Called During Period, Shares | 50,100 | 50,100 | 43,516 | |||||||||||||
Stock Redeemed or Called During Period, Value | $ 50,100,000 | $ 50,100,000 | $ 43,500,000 | |||||||||||||
Repayment of Notes Receivable from Related Parties | $ 47,400,000 |
Related Party Transactions (Det
Related Party Transactions (Details) - Related Party [Member] - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Related Party Transaction [Line Items] | ||||
Acquisition fees (general and administrative costs) | $ 0 | $ 8 | $ 204 | |
Asset management fees (general and administrative costs) | 2,372 | 2,427 | 2,913 | |
Property management fees (property operating expenses) | 936 | 1,185 | 1,350 | |
Development fees and leasing commissions | [1] | 116 | 344 | 552 |
Total | $ 3,424 | $ 3,964 | $ 5,019 | |
[1] | Generally, capitalized and amortized over the estimated useful life of the associated asset. |
Related Party Transactions (D67
Related Party Transactions (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | 64 Months Ended | ||||
Aug. 30, 2010 | Jun. 30, 2010 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Nov. 14, 2016 | Nov. 13, 2015 | |
Investments in and Advances to Affiliates [Line Items] | ||||||||
Dividends, Cash | $ 17,802 | $ 18,077 | $ 18,064 | |||||
Acquisition Fees And Expenses, Percentage Of Purchase Price, Maximum | 5.00% | |||||||
Property Management Fees, Residential Hospitality Retail Properties, Maximum Percentage Gross Revenues | 5.00% | |||||||
Acquisition Fees And Expenses Percentage Of Purchase Price | 2.75% | |||||||
Property Management Fees, Office Industrial Properties, Maximum Percentage Gross Revenues | 4.50% | |||||||
Asset Management Fees, Percentage Of Average Invested Assets | 0.55% | |||||||
Minimum Percentage Of Other Operating Expenses For Reimbursement | 2.00% | |||||||
Minimum Percentage Of Net Income For Reimbursement | 25.00% | |||||||
Asset Management Fees Payout Terms | payable quarterly in an amount equal to 0.1375 of 1% of average invested assets as of the last day of the immediately preceding quarter. | |||||||
Payments of Ordinary Dividends, Noncontrolling Interest | $ 11,014 | 5,393 | $ 15,082 | |||||
Share Price | $ 10 | $ 10 | $ 10 | |||||
Operating Stage Distribution, 7% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 7.00% | |||||||
Share Price | $ 10 | |||||||
Distribution Due Cumulative Rate Of Return | 7.00% | |||||||
Operating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 12.00% | |||||||
Distribution Due Cumulative Rate Of Return | 7.00% | |||||||
Operating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 12.00% | |||||||
Liquidating Stage Distribution, 7% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 7.00% | |||||||
Distribution Due Cumulative Rate Of Return | 7.00% | |||||||
Liquidating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 12.00% | |||||||
Distribution Due Cumulative Rate Of Return | 7.00% | |||||||
Liquidating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 12.00% | |||||||
Lightstone Slp Llc [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Cumulative Dividends | $ 4,900 | |||||||
Distributions Annualized Rate Of Return | 0.00% | 8.00% | ||||||
Lightstone Slp Llc [Member] | Operating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 30.00% | |||||||
Lightstone Slp Llc [Member] | Operating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 40.00% | |||||||
Lightstone Slp Llc [Member] | Liquidating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 30.00% | |||||||
Lightstone Slp Llc [Member] | Liquidating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 40.00% | |||||||
SLP Units [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Dividends, Cash | $ 2,100 | |||||||
Cumulative Dividends | $ 19,200 | |||||||
Payments of Ordinary Dividends, Noncontrolling Interest | $ 2,100 | $ 18,700 | ||||||
SLP Units [Member] | Lightstone Slp Llc [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 7.00% | |||||||
Distributions Annualized Rate Of Return | 8.00% | 7.00% | ||||||
Stockholder [Member] | Operating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 70.00% | |||||||
Stockholder [Member] | Operating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Stockholder Return Threshold, Percent | 60.00% | |||||||
Stockholder [Member] | Liquidating Stage Distribution, 12% Stockholder Return Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 70.00% | |||||||
Stockholder [Member] | Liquidating Stage Distribution, In Excess of 12% Stockholder Returns Threshold [Member] | ||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||
Additional Distributions Percent Payable To Related Party | 60.00% |
Future Minimum Rentals (Details
Future Minimum Rentals (Details) $ in Thousands | Dec. 31, 2016USD ($) |
2,017 | $ 12,015 |
2,018 | 9,799 |
2,019 | 7,085 |
2,020 | 4,053 |
2,021 | 2,728 |
Thereafter | 5,785 |
Totel | $ 41,465 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Total revenues | $ 51,994 | $ 55,850 | $ 57,289 |
Property operating expenses | 27,130 | 28,280 | 27,992 |
Real estate taxes | 3,085 | 3,521 | 3,617 |
General and administrative costs | 5,028 | 5,009 | 6,707 |
Net operating income/(loss) | 16,751 | 19,040 | 18,973 |
Depreciation and amortization | 11,377 | 11,544 | 12,038 |
Operating income/(loss) | 5,374 | 7,496 | 6,935 |
Total purchase of investment property | 3,759 | 12,751 | 7,247 |
Total Assets | 547,295 | 588,144 | |
Retail [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 11,428 | 11,482 | 11,412 |
Property operating expenses | 3,623 | 3,969 | 3,427 |
Real estate taxes | 1,419 | 1,401 | 1,150 |
General and administrative costs | 71 | 9 | 19 |
Net operating income/(loss) | 6,315 | 6,103 | 6,816 |
Depreciation and amortization | 4,627 | 4,343 | 4,034 |
Operating income/(loss) | 1,688 | 1,760 | 2,782 |
Total purchase of investment property | 1,581 | 8,918 | 2,545 |
Total Assets | 100,105 | 108,079 | |
Multifamily [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 12,553 | 17,479 | 19,774 |
Property operating expenses | 3,507 | 5,450 | 6,732 |
Real estate taxes | 482 | 1,062 | 1,456 |
General and administrative costs | 72 | 166 | 305 |
Net operating income/(loss) | 8,492 | 10,801 | 11,281 |
Depreciation and amortization | 2,291 | 2,920 | 3,684 |
Operating income/(loss) | 6,201 | 7,881 | 7,597 |
Total purchase of investment property | 835 | 1,192 | 2,112 |
Total Assets | 71,170 | 113,601 | |
Industrial [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 5,596 | 6,242 | 7,398 |
Property operating expenses | 2,000 | 2,050 | 2,114 |
Real estate taxes | 869 | 758 | 761 |
General and administrative costs | 94 | (8) | 10 |
Net operating income/(loss) | 2,633 | 3,442 | 4,513 |
Depreciation and amortization | 1,646 | 1,613 | 1,773 |
Operating income/(loss) | 987 | 1,829 | 2,740 |
Total purchase of investment property | 936 | 929 | 899 |
Total Assets | 49,509 | 49,815 | |
Hospitality [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 22,417 | 20,647 | 18,705 |
Property operating expenses | 17,998 | 16,809 | 15,717 |
Real estate taxes | 315 | 300 | 250 |
General and administrative costs | 375 | 305 | 216 |
Net operating income/(loss) | 3,729 | 3,233 | 2,522 |
Depreciation and amortization | 2,813 | 2,668 | 2,547 |
Operating income/(loss) | 916 | 565 | (25) |
Total purchase of investment property | 407 | 1,712 | 1,691 |
Total Assets | 25,071 | 26,825 | |
Unallocated [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 0 | 0 | 0 |
Property operating expenses | 2 | 2 | 2 |
Real estate taxes | 0 | 0 | 0 |
General and administrative costs | 4,416 | 4,537 | 6,157 |
Net operating income/(loss) | (4,418) | (4,539) | (6,159) |
Depreciation and amortization | 0 | 0 | 0 |
Operating income/(loss) | (4,418) | (4,539) | (6,159) |
Total purchase of investment property | 0 | 0 | $ 0 |
Total Assets | $ 301,440 | $ 289,824 |
Quarterly Financial Data (Detai
Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information [Line Items] | |||||||||||
Total revenue | $ 51,994 | $ 55,850 | $ 57,289 | ||||||||
Net income from continuing operation | 35,452 | 45,961 | 21,927 | ||||||||
Net income from discontinued operations | 0 | 18,731 | 278 | ||||||||
Net income | 35,452 | 64,692 | 22,205 | ||||||||
Less income attributable to noncontrolling interest | 1,371 | 4,468 | 1,329 | ||||||||
Net income applicable to Company's common shares | $ 34,081 | $ 60,224 | $ 20,876 | ||||||||
Basic and diluted net income per Company's share: | |||||||||||
Continuing operations | $ 1.34 | $ 1.60 | $ 0.80 | ||||||||
Discontinued operations | 0 | 0.73 | 0.01 | ||||||||
Net income per common share, basic and diluted | $ 1.34 | $ 2.33 | $ 0.81 | ||||||||
Exclusive of discontinued operations [Member] | |||||||||||
Quarterly Financial Information [Line Items] | |||||||||||
Total revenue | $ 11,824 | $ 13,060 | $ 13,941 | $ 13,169 | $ 13,809 | $ 14,734 | $ 14,476 | $ 12,831 | $ 51,994 | $ 55,850 | |
Net income from continuing operation | 3,575 | 7,357 | 22,908 | 1,612 | 1,933 | 1,160 | 35,690 | 7,178 | 35,452 | 45,961 | |
Net income from discontinued operations | 0 | 0 | 0 | 0 | 0 | 0 | 4,126 | 14,605 | 0 | 18,731 | |
Net income | 3,575 | 7,357 | 22,908 | 1,612 | 1,933 | 1,160 | 39,816 | 21,783 | 35,452 | 64,692 | |
Less income attributable to noncontrolling interest | (205) | (310) | (622) | (234) | (109) | (265) | (3,467) | (627) | (1,371) | (4,468) | |
Net income applicable to Company's common shares | $ 3,370 | $ 7,047 | $ 22,286 | $ 1,378 | $ 1,824 | $ 895 | $ 36,349 | $ 21,156 | $ 34,081 | $ 60,224 | |
Basic and diluted net income per Company's share: | |||||||||||
Continuing operations | $ 0.13 | $ 0.28 | $ 0.87 | $ 0.05 | $ 0.07 | $ 0.03 | $ 1.24 | $ 0.26 | $ 1.34 | $ 1.60 | |
Discontinued operations | 0 | 0 | 0.16 | 0.56 | 0.73 | ||||||
Net income per common share, basic and diluted | $ 0.13 | $ 0.28 | $ 0.87 | $ 0.05 | $ 0.07 | $ 0.03 | $ 1.40 | $ 0.82 | $ 1.34 | $ 2.33 |
Commitments and Contingencies (
Commitments and Contingencies (Details Textual) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 08, 2009 | |
Guarantor Obligations [Line Items] | ||
Equity Method Investment, Ownership Percentage | 98.00% | |
Livermore Outlet Center [Member] | Maximum [Member] | ||
Guarantor Obligations [Line Items] | ||
Built In Gain Recognition Period | 8 years | |
Livermore Outlet Center [Member] | Minimum [Member] | ||
Guarantor Obligations [Line Items] | ||
Guarantee Period | 8 years | |
LVP Parties [Member] | Maximum [Member] | ||
Guarantor Obligations [Line Items] | ||
Built In Gain Recognition Period | 8 years | |
LVP Parties [Member] | Minimum [Member] | ||
Guarantor Obligations [Line Items] | ||
Guarantee Period | 4 years | |
POAC Properties, GPH and LVH [Member] | ||
Guarantor Obligations [Line Items] | ||
Equity Method Investment, Ownership Percentage | 40.00% | |
Mill Run Properties [Member] | ||
Guarantor Obligations [Line Items] | ||
Equity Method Investment, Ownership Percentage | 36.80% |
Subsequent Events (Details Text
Subsequent Events (Details Textual) - USD ($) | Nov. 14, 2016 | Nov. 13, 2015 | Mar. 17, 2017 | Dec. 31, 2016 |
Subsequent Events [Line Items] | ||||
Distribution Rate Per Day | $ 0.0019178 | $ 0.0019178 | $ 0.0019178 | |
Number Of Days Used To Calculate Dividend Per Day | 365 days | 365 days | 365 days | |
Annualized Distribution Rate | 7.00% | 7.00% | 7.00% | |
Subsequent Event [Member] | ||||
Subsequent Events [Line Items] | ||||
Distribution Rate Per Day | $ 0.0019178 | |||
Number Of Days Used To Calculate Dividend Per Day | 365 days | |||
Annualized Distribution Rate | 7.00% | |||
Dividends Declared Amount Per Share | $ 10 |
Schedule III Real Estate and 73
Schedule III Real Estate and Accumulated Depreciation (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Initial Cost | ||||||
Encumbrance | $ 183,313 | |||||
Land | [1] | 58,785 | ||||
Buildings and Improvements | [1] | 190,975 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 32,354 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 60,485 | |||||
Buildings and Improvements | 221,629 | |||||
Total | 282,114 | [2] | $ 325,715 | $ 314,917 | $ 340,805 | |
Accumulated Depreciation | $ (49,773) | [3] | $ (50,278) | $ (40,166) | $ (33,966) | |
Depreciable Life | [4] | |||||
St. Augustine Outlet Center, St. Augustine, FL [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 19,820 | |||||
Land | [1] | 11,206 | ||||
Buildings and Improvements | [1] | 42,103 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 10,920 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 10,967 | |||||
Buildings and Improvements | 53,262 | |||||
Total | [2] | 64,229 | ||||
Accumulated Depreciation | [3] | $ (13,603) | ||||
Depreciable Life | [4] | |||||
St. Augustine Outlet Center, St. Augustine, FL [Member] | Date Acquired One [Member] | ||||||
Gross amount at which carried at end of period | ||||||
Date Acquired | Mar. 29, 2006 | |||||
St. Augustine Outlet Center, St. Augustine, FL [Member] | Date Acquired Two [Member] | ||||||
Gross amount at which carried at end of period | ||||||
Date Acquired | Oct. 2, 2007 | |||||
Oakview Plaza Omaha, Nebraska [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 25,582 | |||||
Land | [1] | 6,706 | ||||
Buildings and Improvements | [1] | 25,463 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 1,938 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 7,491 | |||||
Buildings and Improvements | 26,616 | |||||
Total | [2] | 34,107 | ||||
Accumulated Depreciation | [3] | $ (7,739) | ||||
Date Acquired | Dec. 21, 2006 | |||||
Depreciable Life | [4] | |||||
Gulfcoast Industrial Portfolio New Orleans/Baton Rouge, Louisiana & San Antonio, Texas [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 50,202 | |||||
Land | [1] | 12,767 | ||||
Buildings and Improvements | [1] | 51,649 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | (5,045) | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 12,991 | |||||
Buildings and Improvements | 46,380 | |||||
Total | [2] | 59,371 | ||||
Accumulated Depreciation | [3] | $ (11,300) | ||||
Date Acquired | Feb. 1, 2007 | |||||
Depreciable Life | [4] | |||||
Crowne Plaza Boston Hotel Boston, Massachusetts [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 0 | |||||
Land | [1] | 2,400 | ||||
Buildings and Improvements | [1] | 7,612 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 22,335 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 3,333 | |||||
Buildings and Improvements | 29,014 | |||||
Total | [2] | 32,347 | ||||
Accumulated Depreciation | [3] | $ (9,499) | ||||
Date Acquired | Mar. 21, 2011 | |||||
Depreciable Life | [4] | |||||
50-01 2nd St Long Island City, New York [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 72,954 | |||||
Land | [1] | 19,656 | ||||
Buildings and Improvements | [1] | 51,724 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 748 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 19,690 | |||||
Buildings and Improvements | 52,438 | |||||
Total | [2] | 72,128 | ||||
Accumulated Depreciation | [3] | $ (5,238) | ||||
Date Acquired | Aug. 18, 2011 | |||||
Depreciable Life | [4] | |||||
Plaza at DePaul Bridgeton, Missouri [Member] | ||||||
Initial Cost | ||||||
Encumbrance | $ 14,755 | |||||
Land | [1] | 6,050 | ||||
Buildings and Improvements | [1] | 12,424 | ||||
Net Costs Capitalized & Impairments Subsequent to Acquisition | 1,458 | |||||
Gross amount at which carried at end of period | ||||||
Land and Improvements | 6,013 | |||||
Buildings and Improvements | 13,919 | |||||
Total | [2] | 19,932 | ||||
Accumulated Depreciation | [3] | $ (2,394) | ||||
Date Acquired | Nov. 22, 2011 | |||||
Depreciable Life | [4] | |||||
[1] | The initial cost to the Company represents the original purchase price of the property, including amounts incurred subsequent to acquisition which were contemplated at the time the property was acquired. | |||||
[2] | Reconciliation of total real estate owned | |||||
[3] | Reconciliation of accumulated depreciation | |||||
[4] | Depreciation is computed based upon the following estimated lives |
Schedule III Real Estate and 74
Schedule III Real Estate and Accumulated Depreciation (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Balance at beginning of year | $ 325,715 | $ 314,917 | $ 340,805 | |
Improvements | 3,341 | 11,311 | 6,222 | |
Disposals | (46,942) | (513) | (32,110) | |
Balance at end of year | $ 282,114 | [1] | $ 325,715 | $ 314,917 |
[1] | Reconciliation of total real estate owned |
Schedule III Real Estate and 75
Schedule III Real Estate and Accumulated Depreciation (Details 2) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Balance at beginning of year | $ 50,278 | $ 40,166 | $ 33,966 | |
Depreciation expense | 10,417 | 10,595 | 10,442 | |
Disposals | (10,922) | (483) | (4,100) | |
Balance at end of year | $ 49,773 | [1] | $ 50,278 | $ 40,166 |
[1] | Reconciliation of accumulated depreciation |